TO: Zoning Commission
THRU: Jennifer C Baptiste - Planning & Zoning Division Manager
FROM: Thomas Cohen - Planner I
DATE: August 11, 2026
RE:Title
P26-40: A request to conditionally rezone 131 Pepsi Lane (0447025655000) consisting of 4.56 acres ±, by Patrick Byker of Morning Star Law Group representing Carvana owned by BG Properties LLC at from Heavy Industrial (HI) to Conditional Heavy Industrial (HI/CZ).
Title
end
end
COUNCIL DISTRICT(S):
Council District(s)
2 - Council Member Malik Davis
b
Relationship To Strategic Plan:
Goal II: Responsive City Government Supporting a Diverse & Viable Economy
• Objective 2.3 - To leverage partnerships for job creation and retention, with a focus on the local and regional workforce to increase per capita income.
• Objective 2.4 - To sustain a favorable development climate to encourage business growth.
Goal VI: Collaborative Citizen & Business Engagement Base
• Objective 6.1: To ensure collaborative relationships with the business community, local governments, military, and stakeholders
Executive Summary:
The request is to conditionally rezone the property located at 131 Pepsi Lane (0447025655000) from Heavy Industrial (HI) to Conditional Heavy Industrial (HI/CZ). The stated intent is to operate a vehicle repair, cleaning, and storage operation for the internal use only of Carvana.
Background:
Owner: BG Properties LLC
Request: HI to HI/CZ
REID or PIN: 0447025655000
Parcel Size: ± 4.56
Existing Site Conditions: Large warehouse with garage
Adjacent Zoning:
• North: HI - Industrial uses
• South: HI - Industrial uses
• East: HI, LI, & CC - Industrial uses
• West: CC & LC - Park and Fire Station
Future Land Use: Employment Center
Public Notice: Notification letters were sent to property owners within 1,000 feet of the subject site equating to 106 notices sent.
Issues/Analysis:
The applicant requests to conditionally rezone the approximately 4.56 acres located at 131 Pepsi Lane (044702565500) from Heavy Industrial (HI) to Conditional Heavy Industrial (HI/CZ) to enable Carvana to have expanded use of the subject property.
The conditions proposed by the applicant are as follows:
1. Since the UDO limits Temporary Outdoor Vehicle Storage to 25% of the buildable area on the Carvana site, the Temporary Outdoor Vehicle Storage is increased to the extent shown on the site plan submitted by Carvana's engineers showing the areas of the site to be used for Temporary Outdoor Vehicle Storage. Accordingly, the site plan for the Carvana facility in the staff report shall be a condition to be applied to this site.
2. All chain link fencing and barbed wire on site will be removed. Carvana shall install a six foot high opaque fence to screen all outdoor storage on site at a minimum. The opaque fence shall be either wood or vinyl.
The 2040 Future Land Use Plan (FLUP) is central to the analysis of requests and are affixed by reasonableness to local contexts and service of the public good. According to the FLUP, the subject property is designated as an Employment Center (EC) which is meant for high intensity, nonresidential, uses with high impact or likelihood for nuisance.
This designation aligns directly with the existing Heavy Industrial zoning district and thus it aligns with the base zoning district to be conditioned. Heavy Industrial is intended for high intensity and large-scale uses such as heavy manufacturing, assembly, storage, and other related uses. The applicant represents Carvana whose intended use case was determined by official Zoning Verification Letter to be under Automobile Repair and Servicing (without painting/ body-work) via Project Number 2185731 which is permitted by right within the HI base district.
As part of routine operations, vehicles would need to be temporarily stored on the property before being worked on or sent elsewhere for sale or long-term storage. UDO Section 30-4.C.4.k.3.b requires that temporary outdoor vehicle storage may occur alongside this use provided that storage does not exceed 25% of the buildable area of the lot and is located to either the back or side of the principal structure with a wooden fence or masonry wall as a form of screening adhering to UDO Section 30-5.D, Fencing Standards. This section is the impetus for the request as the subject property is fronted on three sides by street, limiting temporary outdoor vehicle storage potential to only the small area on the north side of the subject property.
In simple terms, the applicant is proposing conditions to enable use of the southern lot on the subject property that fronts Pepsi Ln, N Eastern Blvd, and Person St to enable fuller use of the subject property for the necessary storage for the intended operation.
The surrounding area is predominantly commercial or industrial properties that would not be impacted by any increase in permitted temporary outdoor vehicle storage. However, to the west of the subject property is a playground provided by Fayetteville Fire Station 1 for local children and families who either attend the adjacent churches or live in the nearby residential area.
While UDO Section 30-4.C.4.k.3.b requires screening the outdoor storage, it dictates this is done in compliance with UDO Section 30-5.D in which solid fencing is not permitted within the front yard setback. This circle is squared by Condition Two which essentially overrides the requirements of the latter UDO section with the former.
The current fencing is a chain-link fence that is partially lined with barb wire. Such fencing is no longer permitted within the City of Fayetteville outside of specific exemptions that the current property does not meet the requisite standards for. Condition Two would require a solid wooden or vinyl fence to replace the currently non-conforming fence. Such fencing would be a marked improvement over the current fencing aesthetically and for screening purposes.
While the conditions ultimately increase the intensity of use on the subject property, such an increase is not inconsistent or unreasonable with the Future Land Use Plan or the local content respectively. The request would enable use of a longstanding dormant property in a key area of industrial development while providing better aesthetics and screening than is otherwise present.
Budget Impact:
Approval or denial of the requested map amendment does not create immediate and direct impacts on the budget other than the collection of the application fee and cost for relevant staff. Potential for indirect budget impact via business and property taxes.
Options:
• Approval (Recommended Action):
Recommend approval of the application based on the evidence submitted and the consistency with the Future Land Use Plan as outlined by the attached Consistency and Reasonableness Statement but subject to the conditions presented within the application.
• Approval, but with revised conditions
Recommend approval of the application based on the evidence submitted and the consistency with the Future Land Use Plan as outlined by the attached Consistency and Reasonableness Statement but subject to any revised conditions agreed to by the applicant, in writing.
• Denial
Deny the application based on the evidence submitted and inconsistency with the Future Land Use Plan.
Recommended Action::Recommended Action
The Professional Planning Staff recommends that the Zoning Commission recommends to City Council a motion to APPROVE the request as presented - to conditionally rezone the approximately 4.56 at 131 Pepsi Lane from Heavily Industrial (HI) to Conditional Heavy Industrial (HI/CZ) with the following conditions:
1. Since the UDO limits Temporary Outdoor Vehicle Storage to 25% of the buildable area on the Carvana site, the Temporary Outdoor Vehicle Storage is increased to the extent shown on the site plan submitted by Carvana's engineers showing the areas of the site to be used for Temporary Outdoor Vehicle Storage. Accordingly, the site plan for the Carvana facility in the staff report shall be a condition to be applied to this site.
2. All chain link fencing and barbed wire on site will be removed. Carvana shall install a minimum six foot high opaque fence to screen all outdoor storage on site. The opaque fence shall be either wood or vinyl.
end
Attachments:
1. Application
2. Aerial Notification Map
3. Current Zoning Map
4. Future Land Use Map
5. Site Pictures (Subject Site)
6. Site Pictures (Surrounding Properties)
7. Consistency and Reasonableness Statements
8. Site Plan