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: May 26, 2026
RE:Title
P26-17. Conditional Rezoning of a parcel addressed as 120 N. Cool Springs Street, REID number 0437738825000 currently zoned as Downtown - 2 (DT-2) to Downtown - 2/Conditional Zoning (DT-2/CZ), consisting of .42 acres ± and being the properties of the J & L REI Holdings, LLC., represented by Jonathan Acevedo.
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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.
Goal IV: The City of Fayetteville will be a highly desirable place to live, work and recreate.
Objective 4.5 - To ensure a place for people to live in great neighborhoods.
Executive Summary:
The subject property is currently owned by J&L REI Holdings.
The applicant is requesting to conditionally rezone approximately 0.47 acres or 20,473.2 square feet located at the corner of N. Cool Spring Streets and Adam Street addressed as 120 N. Cool Spring Street. The parcel is currently zoned as DT - 2 and is seeking to be rezoned to DT - 2/CZ.
The subject property has direct access onto either N. Cool Spring Street or Adam Street.
The property is served by public water and sewer and has not been the subject of a rezoning application within the past five years. This request is not associated with an annexation.
On April 14, 2026, the Zoning Commission voted unanimously to recommend City Council approve this conditional rezoning request.
Background:
Owner: J&L REI Holdings
Applicants: Jonathan Acevedo of Ace Development Group, LLC.
Requested Action: Conditional rezoning from DT - 2 to DT - 2/CZ
REID #: 0437738825000
Status of Property:
Size: 0.47 acres ± or 20,473.2 square feet
Surrounding Land Use & Zoning:
• North: Downtown 2 (DT - 2) - Single - Family Residential
• South: Downtown 2 (DT - 2) - Commercial
• West: Downtown 2 (DT - 2) - Commercial
• East: Downtown 2 (DT - 2) - Commercial Office Building
Letters Mailed: 74
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 Downtown (DTMXU). The Downtown (DTMXU) designation is defined as “intense commercial, retail, service. Many five plus story buildings (especially located in the core). Dense residential uses, stacked vertically and urban neighborhoods on edges.”
Issues/Analysis:
History:
This site is previously developed parcel that had a single - family residential home as late as April 2012. Sometime between April 2012 and July 2015, the home was demolished.
This area of the City is in the Historic Downtown Overlay District. As such, a separate application to the City’s Historic Resources Commission will have to be submitted once the development has locked in a design and façade.
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 Adam Street, the properties are zoned Downtown 2 (DT - 2) and have a single-family residential home.
To the south are properties zoned Downtown 2 (DT - 2) with a commercial office building.
To the west, across N. Cool Spring Street, the parcel is zoned Downtown 2 (DT - 2) and is a single - family residential home style building used as the Connections of Cumberland County’s main office.
To the east across Gillespie Street, are vacant lots and commercial office buildings zoned as Downtown 2 (DT - 2).
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 Downtown 2 (DT-2) to Downtown 2 Conditional Zoning (DT-2/CZ). The applicant is not submitting a development site plan as part of this application.
The Downtown 2 (DT - 2) zoning district is intended to encourage the urban form and character found in the traditional downtown area as well as promote redevelopment that will make the downtown area a more diverse and vibrant mixed -use urban center. The district is intended to create a downtown district by expanding the Hay Street experience.
As part of the conditional rezoning request, the applicant is requesting the following condition apply:
1.) Increase the maximum density allowed for the property from four (4) units to ten (10) units as consistent with the Downtown - 1 (DT-1) zoning district.
Land Use Plan Analysis:
The subject property is designated as Downtown (DTMXU) development on the City’s 2040 Future Land Use Map, adopted in May 2020. Development of this property with a use allowed in the DT - 2 zoning district is consistent with the intent and guiding policies of the Future Land Use Plan.
The rezoning to DT-2/CZ, with the condition 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 Downtown - 2 Conditional Use (DT - 2/CZ) is consistent with the City of Fayetteville’s 2040 Future Land Use Plan, which designates the area for Downtown (DTMXU) development. The request aligns with the Plan’s goals to support residential development.
Budget Impact:
The proposed conditional rezoning is expected to promote residential 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. Approve as Presented (Recommended Action): Based on the evidence presented, City Council moves to approve the conditional rezoning request, the applicant is requesting the following conditions apply:
1.) Increase the maximum density allowed for the property from four (4) units to ten (10) units as consistent with the Downtown - 1 (DT-1) zoning district.
2. Approve with Revised or Additional Conditions: City Council moves to approve the proposed conditional rezoning, subject to revised or additional conditions agreed to in writing by the applicant. Based on the evidence presented, the Commission finds that incorporating the revised conditions enhances compatibility with surrounding uses and strengthens alignment with the City’s adopted Future Land Use Plan, as reflected in an amended Consistency and Reasonableness Statement.
3. Denial of the Application: City Council moves to deny the proposed conditional rezoning. Based on the evidence and testimony provided during the legislative hearing, the Commission finds that the requested zoning is inconsistent with the Future Land Use Plan and does not adequately address the area's compatibility or long-term planning objectives.
Recommended Action::Recommended Action
The Professional Planning Staff and the Zoning commission recommends City Council approve the proposed map amendment rezonings with the following conditions:
1.) Increase the maximum density allowed for the property from four (4) units to ten (10) units as consistent with the Downtown - 1 (DT-1) zoning district.
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 Downtown (DTMXU). The rezoning advances Strategic, Compatible Growth goals identified in policies LU-1 and LU-5.
• Contextual Appropriateness: The proposed DT-2/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