TO: Mayor and Members of City Council
THRU: Jodi Phelps, Assistant City Manager
Gerald Newton, Development Services Director
FROM: Jennifer C. Baptiste - Development Ombudsman/Special Project Coordinator
DATE: April 27, 2026
RE:Title
Approve P26-07. Rezoning of seventeen parcels currently zoned as Community Commercial (CC) (REID numbers 0437515504000, 0437512757000, 0437514432000, 0437513435000, 04375131483000, 0437514236000, 0437515591000, 0437515229000, 0437515441000, 0437515665000, 0437512743000, 0437512885000, 0437513207000, 0437513274000, 0437515214000, 0437515336000, and 0437515476000), addressed as 0 Gillespie, 411 Chase Street, 110 Chase Street, 0 Chase Street, 112 Chase Street, 0 Chase Street, 422 Gillespie Street, 434 Gillespie Street, 430 Gillespie Street, 412 Gillespie Street, 415 Chase Street, 135 Blount Street, 113 Chase Street, 0 Chase Street, 438 Gillespie Street, 432 Gillespie Street, and 426 Gillespie Street; eighteen parcels zoned Mixed Residential 5 (MR-5) (REID numbers 0437510429000, 0437511349000, 0437510474000, 0437513842000, 0437513760000, 0437511545000, 0437510695000, 0437510555000, 0437511619000, 0437511723000, 0437512627000, 043751388000, 0437512323000, 0437512467000, 0437514749000, 0437510579000, 04375115930000, and 0437512602000), addressed as 434 Chase Street, 145 Chase Street, 129 Blount Street, 412 Gillespie Street, 0 Chase Street, 424 Chase Street, 432 Chase Street, 420 Chase Street, 418 Chase Street, 417 Chase Street, 125 Blount Street, 0 Chase Street, 116 Chase Street, 123 Blount Street, 428 Chase Street, 120 Chase Street, and 425 Chase Street; two parcels zoned Limited Commercial (LC) (REID numbers 0437515707000 and 0437516724000), addressed as 119 Blount Street and 402 Gillespie Street; three parcels split zoned Community Commercial (CC) and Mixed Residential 5 (MR-5) (REID numbers 0437513597000, 0437513572000, and 0437514671000), addressed as 422 Gillespie street, 426 Gillespie Street, and 418 Gillespie Street; one parcel split zoned Heavy Industrial (HI) and Mixed Residential 5 (MR-5) (REID number 0437510764000), addressed as 0 Blount Street to Mixed-Use Conditional Use (MU/CZ), totaling 8.77 acres ± and being the properties of the City of Fayetteville, represented by Derrick McArthur or Economic & Community Development and Austin Amandolia of HR & A Advisors, Inc.
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COUNCIL DISTRICT(S):
Council District(s)
2 - Malik Davis
b
Relationship To Strategic Plan:
Goal II: Responsive City Government Supporting a Diverse and Viable Economy
• Objective 2.1 - To ensure a diverse City tax base.
• Objective 2.2 - To invest in community places to ensure revitalization and increase quality of life.
Executive Summary:
The subject properties are currently owned by the City of Fayetteville.
The applicant is requesting to rezone approximately 8.77 acres located at the corner of Blount and Gillespie Streets and having various addresses. Seventeen (17) parcels are zoned as Community Commercial (CC), another eighteen (18) parcels zoned as Mixed Residential 5 (MR-5), two (2) parcels zoned Limited Commercial (LC), three (3) parcels split zoned Community Commercial (CC) and Mixed Residential 5 (MR-5), and one (1) parcel split zoned Heavy Industrial (HI) and Mixed Residential 5 (MR-5) to Mixed Use Conditional Use (MU/CZ). The proposed rezoning would place the parcel under a single zoning district and allow for easier site development.
Most of the subject properties have direct access onto either Blount Street or Gillespie Street while others have internal access via an interior roadway, Chase Street.
The properties are served by public water and sewer and have not been the subject of a rezoning application within the past five years. This request is not associated with an annexation.
Background:
Owner: The City of Fayetteville
Applicants: Derrick McArthur of The City of Fayetteville’s Economic & Community Development Department
Austin Amandolia of HR & A Advisors, Inc.
Requested Action: Various zoning districts to MU/CZ
REID #: Various
Status of Property: Most properties are devoid of structures but REID # 0437512885000, 135 Blount Street, is the current site of the historic E.E. Smith House.
Size: 8.77 acres ±
Surrounding Land Use & Zoning:
• North: Community Commercial (CC) - Vacant Commercial & Single-Family Residential
Limited Commercial (LC) - Vacant
Office Institutional (OI) - Single-Family Residential
• South: Heavy Industrial (HI) - Vacant
Community Commercial (CC) - Religious Institution
• West: Heavy Industrial (HI) - Commercial
• East: Community Commercial (CC) - Commercial Office Building
Limited Commercial (LC) - Vacant Office Building
Office Institutional (OI) - Commercial Office Building
Letters Mailed: 135
Land Use Plans:
With the adoption of the 2040 Comprehensive Plan: Future Land Use Map & Plan on May 26, 2020, all properties within the City of Fayetteville-and those within its Municipal Influence Area (MIA)-are guided by the land use policies and long-range development vision outlined in the Plan.
The subject property is designated as Community Center (CC) and Employment Center (EC). The Community Center (CC) designation is defined as development with “150,000 - 4000,000 square feet nonresidential leasable space. Vertically mixed uses with 3 - 5 stories. Ground floors mainly nonresidential, upper floors office (or maybe residential). High density residential and multi-family inter-mixed. Single family on edges.”
The Employment Center (EC) designation is defined as “high intensity nonresidential uses with high impact or likelihood for nuisances.” The intent is to encourage regional employment centers with larger industrial uses and or business parks that house a variety of production orientated uses.
Issues/Analysis:
History:
This site consists of forty - one individual parcels with separate REID numbers. Parcels were acquired between 2011 and 2018 through a combination of methods. The vast majority of properties were purchased by the City with a handful being acquired through eminent domain.
Initially, the project was conceived of as a Hope Six Business Park which transitioned into the Centere City Business Park. Both projects were designed to incorporate commercial, industrial and recreational uses on the site to support the adjacent neighborhoods.
The current proposal maintains the intent of the initial two projects but adds residential elements to the site.
Surrounding Area:
The subject properties are located at the corner of Blount and Gillespie Streets and is approximately half a mile south of Downtown Fayetteville.
To the north, across Blount Street, the properties are zoned Community Commercial (CC), Limited Commercial (LC), and Office Institutional (OI) and have vacant commercial buildings and single-family residential homes.
To the south are properties zoned Heavy Industrial (HI) and Community Commercial (CC) with a vacant industrial site and a religious institution, Mattock Memorial AME Zion Church.
To the west, across the railroad tracks, the parcels are zoned Heavy Industrial (HI) and are currently developed with various commercial businesses and warehouses.
To the west, across Gillespie Street, are properties zoned Community Commercial (CC), Limited Commercial (LC), and Office Institutional (OI) with commercial office buildings.
Map Amendment (Conditional Rezoning):
Section 30- 2. C. 1 of Fayetteville’s Unified Development Ordinance outlines the process for amending the Official Zoning Map through a rezoning (map amendment). The City Council holds the authority to approve such amendments, which may be initiated by city boards, officials, or eligible applicants. Down-zoning initiated by third parties is prohibited without the written consent of affected property owners, in accordance with state law. Rezoning applications accompanied by applicant-proposed conditions are treated as Conditional Rezonings and follow a separate review process. The standard review process includes staff analysis, potential input from the Historic Resources Commission, a public hearing, recommendation by the Zoning Commission, and final consideration by the City Council. The Zoning Commission and the City Council must adopt a consistent statement confirming whether the proposed amendment aligns with city-adopted plans and a reasonableness statement justifying the decision based on compatibility, community needs, and environmental impact. Once approved, rezoning actions do not expire but are subject to future amendments.
Conditional Rezoning:
Conditional Rezoning allows a property owner to rezone land to a zoning district with tailored conditions that ensure alignment with the City’s adopted plans and help address development impacts. This process may only be initiated by the property owner and follows the standard development review procedures with modifications specific to conditional zoning. Applications must include any proposed conditions and may also request vested rights. The Technical Review Committee reviews the application before the Zoning Commission holds a legislative hearing and issues a recommendation. If no appeal is filed, the City Council may act on the application without another public hearing; otherwise, a legislative hearing is held before final action. Approval requires both a plan consistency statement and a statement of reasonableness. Conditions must conform to City policies and cannot be less restrictive than base zoning standards unless they improve compatibility or planning outcomes. Approved conditions become binding, and only minor deviations may be administratively approved. Material changes require a new rezoning. Conditional zoning districts are designated with a “/CZ” suffix on the Official Zoning Map. If no development application is submitted within two years, the City may revert the zoning.
Specifics of this Conditional Rezoning:
The applicant is requesting a conditional rezoning from multiple zoning districts to Mixed Use - Conditional Zoning (MU/CZ). The applicant is not submitting a development site plan as part of this application.
The Mixed Use (MU) zoning district is intended to accommodate and foster the coordinated development of a compatible and balanced mix of mutually supporting living, working, shopping, educating, entertainment, and recreating uses. The district is subject to flexible standards intended to encourage an appropriate scale and balance of uses and development to ensure district development is compatible with surrounding uses. Uses may be either vertically integrated within a single building or horizontally integrated within separate buildings on the same site.
As part of the conditional rezoning request, the applicant is requesting the following conditions apply:
1.) The property shall not exceed a lot coverage of seventy-five percent (75%);
2.) The building height shall not exceed 75 feet; and
3.) The property shall be exempt from the minimum number of required off - street parking spaces.
Land Use Plan Analysis:
The subject properties are designated as Community Center (CC) and Employment Center (EC) development on the City’s 2040 Future Land Use Map, adopted in May 2020. Development of these properties with a use allowed in the Mixed-Use zoning district is consistent with the intent and guiding policies of the Future Land Use Plan.
The rezoning to MU/CZ, with the conditions identified above, matches the general intent of the Future Land Use Plan and the Unified Development Ordinance. This fulfills key strategies outlined in the Plan’s Strategic, Compatible Growth policies (LU-1 and LU-5), which encourage growth in areas served by infrastructure, support reinvestment in established neighborhoods, and improve gateways.
Consistency and Reasonableness Statements:
The proposed conditional rezoning from the various zoning districts to Mixed Use Conditional Use (MU/CZ) is consistent with the City of Fayetteville’s 2040 Future Land Use Plan, which designates the area for Community Center (CC) and Employment Center (EC) development. The request aligns with the Plan’s goals to support residential and nonresidential development.
Budget Impact:
The proposed conditional rezoning is expected to increase both residential and commercial redevelopment within the area, with minimal new infrastructure or service demands while taking unused properties and encouraging economic development as well as potentially increasing property tax revenue.
Options:
1. Approval as Presented (Recommended Action): Move to approve the map amendment to MU/CZ as presented. Based on the evidence presented and adopted the attached Plan Consistency and Statement of Reasonableness finding the request consistent with the Future Land Us Plan as well as approve the following conditions:
1.) The property shall not exceed a lot coverage of seventy-five percent (75%);
2.) The building height shall not exceed 75 feet; and
3.) The property shall be exempt from the minimum number of required off - street parking spaces.
2. Approval with Revised or Additional Conditions: Move to approve the proposed conditional rezoning, subject to revised or additional conditions agreed to in writing by the applicant and adopt the attached Plan Consistency and Statement of Reasonableness finding the request consistent with the Future Land Use Plan.
3. Denial of the Application: Move to deny the map amendment request, based on the evidence in the record, and adopt a Plan Inconsistency and Statement of Reasonableness setting forth why the request is inconsistent with the Future Land Use Plan and not in the public interest.
Recommended Action::Recommended Action
The Zoning Commission and Professional Planning Staff recommend that the City Council approve the proposed map amendment rezonings with the following conditions:
1.) The property shall not exceed a lot coverage of seventy-five percent (75%);
2.) The building height shall not exceed 75 feet; and
3.) The property shall be exempt from the minimum number of required off - street parking spaces.
Based on the following findings:
• Policy Consistency: The proposed conditional rezoning is consistent with the City’s adopted 2040 Future Land Use Plan (FLUP), which designates the area for Community Center (CC) and Employment Center (EC). The rezoning advances Strategic, Compatible Growth goals identified in policies LU-1 and LU-5.
• Contextual Appropriateness: The proposed MU/CZ zoning enhances the adjacent areas and supports the shift from a former mainly residential area to a mixed-use development consisting of residential, commercial, and recreational.
• Public Interest: The request does not currently involve any new construction or site modifications and will not increase demands on public infrastructure or services and will not adversely impact public health, safety, or general welfare.
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Attachments:
1. Plan Application
2. Aerial Notification Map
3. Zoning Map
4. Land Use Plan Map
5. Subject Property
6. Surrounding Property Photos
7. Signed Consistency and Reasonableness Statement