The KDH Cluster Fluster
Development Sparks Debate in Kill Devil Hills
Where It Began
The Outer Banks has been experiencing a “boom” while property values have increased dramatically nationally. With the pandemic bringing new visitors and residents, and the rise of online rental platforms, finding a place to rent or buy for the average family in Dare County has become increasingly difficult at a rapid rate.
Locals have asked legislators to address the rising rents and lack of family homes within a blue-collar buying price. Some suggest restricting Airbnb and other short term rental companies, creating guaranteed affordable housing, stopping development that brings the need for new employees, and rejecting permits for giant rental homes which bring large groups of people nearly impossible to serve. As local businesses watch their employees move out of town, families see their children choose to move inland after high school, and neighbors watch their children’s friends’ house turn into a weekly rental, the call for an answer is loud.
The Legislation
The answer the county and subsequently Kill Devil Hills has chosen is Density. KDH Mayor Ben Sproul defines the problem as an “imbalance between short-term and long-term rental stock. Because short term returns on investment are generally so much higher than long-term, we must be very proactive about encouraging deed restrictions.”
In 2018 Dare County passed Section 22-31.1 – Cluster Home Developments, which are, “more than one residential dwelling on one parcel of land whereby the dwellings are occupied on a long-term basis.” These houses are not to be confused with the “Cottage Court” style homes built on the beach road that are meant for vacation use. They are deeded for the use of people staying 31 days or more as enforced by the town. There is no rental price or purchase price affordability guarantee. Needing an acre, the average property owner won’t be utilizing new Density zoning. But those that can, must request a special use permit and abide by the long-term rental regulations.
The Town of Kill Devil Hills passed their own Cluster Home legislation in January of 2022, and further increased density by amending their Floor to Area Ratio (FAR) to .55 and .6 with two-foot setbacks between units. In May of this year, that special use permit was requested by Eddie Goodrich to build a cluster home development between Martin St. and Boundary on the west side of the bypass near MP 9.
Despite outrage surrounding a development in the Historic Village of Wanchese, and the subsequent county wide repeal of the allowance of 22 zoning areas for this type of build in April, the town of Kill Devil Hills presses forth with its approval of this 21-home project on seven adjoined lots. In an interview Mayor Sproul states, “These homes are the result of a creative incentive structure” that will create two and three bedroom homes that according to him, “are hardly ever seen in local new construction – prior to this new ordinance – going back decades.” A search of current homes for sale shows over 50 available and pending listings of 3 bedroom and less homes and condos built after 2013 in Kill Devil Hills. The average price is over 400k.
A Close-Knit Community Shows Up
Despite the “French Fry Alley” moniker, the stretch of Kill Devil Hills west of the bypass from Baum St to Fresh Pond Dr is truly a neighborhood. One of the few long-time working-class enclaves, the not-so-romantically named “Kill Devil Hills Realty Corp.” has historically hosted midsize houses, modular homes, and mobile homes with spacious yards and driveways. In more recent years, several multifamily and apartment buildings have been built, along with several larger homes intended for vacationing.
The year-round neighbors know each other and wave when walking their dogs, drive slowly past when kids practice basketball, and help each other after the inevitable storm. Those living or brought up in the area, which include some on the board, and myself, are able to live on the Outer Banks because of the home that we have found within this community. There is no denying the dramatic development increase of late, and many are worried about what will become of this area they grew up in or just recently have come to call home.
Not only concerning to the immediate community, but this build is also discussed in online groups like OBX Locals. One post about this project collected over 115 comments that are largely negative. Mayor Sproul responds that the online commentary is, “not representative of the community at large” and lauds the project for being boon for long term housing. As mentioned, this permit requires a hearing however, and there was barely an empty seat at the Kill Devil Hills Town Hall at 6pm June 14th.
The Hearing
Assumed to be a forgone conclusion, many opposed locals decided not to attend. In a way they were not wrong as the clerk James O’Dell explained that since this was a quasi-judicial “formalistic” hearing, “there would need to be substantive evidence” as in property evaluations, to be considered non-opinion-based testimony. He then reminded the board that they were to only deliberate based on the 4 factors required by NC law: that the project does not endanger the community, negatively affect adjoining property value, follows town’s ordinances, and is in harmony with the area it is located.
After the procedural explanations the applicant Eddie Goodrich was invited to speak. After being sworn in, he explains that “things that are happening elsewhere in Dare County and the town of Kill Devil Hills have nothing to do with what we plan to do. We plan to build long term affordable housing for the people that live and work in Kill Devil Hills.” He then describes the project and reiterates that the locals’ issues with cluster homes should not apply to his application.
It was opened up to the board for questioning and Commissioner Ivy Ingram, who lives in the neighborhood, asked him to explain his use of the term “affordable” as only long-term restrictions are in the plan. He replied over her, “well I wish I knew what that is because no one in Dare County seems to know what it is and I’m not sure I know,” he follows that with his partner Randy Saunders, “we can build and sell these houses as cheap as anybody and that’s what we intend to do.” He follows explaining it will not be a money maker and it will improve the community.
Mayor Sproul speaks next to address what he calls “the assumption of opposition,” and explains that due to the need for long term housing, “this opportunity to build in this style is intentional.” He goes on to repeat his previous assertion that it’s “the ratio of short term to long term that is really our housing issue, affordability is secondary.” He makes it clear that he believes this plan is a positive development for the area.
Commissioner Ingram points out the seven lots could each be developed into large houses adding a similar amount of people and cars. (The likelihood that an event or vacation home would be built behind a Walgreens or AutoZone seems small to this writer, however.) After examining the existing plan though, she measured and walked the area and that “one of my big concerns is that we’re gonna need a sidewalk in that area if this comes to fruition because there are a lot of pedestrians…” Mr. Goodrich pushes back saying, “I’ll have to see what you’re talking about first.” She replies if the developers won’t add sidewalks, she would push the town to put the publicly funded Martin St. sidewalk project up on the priority list.
Town planner Cameron Ray is next at the podium explaining that the site plan confirms to code. He follows that there are plans for westside sidewalks including Martin St, and that they can review that as it is a necessity. Commissioner Ingram points out that DOT will need to be involved “at some point.” And Mr. Ray agrees they’ll need to “make sure that light can accommodate the traffic.”
Adjoining property owners were invited to speak. Ashleigh Pack asked for clarification about where the edge of the development would land and was shown on overhead screens. The mic was then open, and several neighbors stepped forward, starting with Patricia Culb. She expressed concern about traffic and safety. Doubting the project would be attainable for local workers, she worries that it will change from what she considers a safe neighborhood to overbuilt with nonresident owned properties. Deborah Conte spoke next about flooding issues, parking and “maintaining character” and pointed out the developer was, “resisting putting in sidewalks.”
Owen White who has lived on Swan Street since he was born and it was,“dirt roads” followed. He posits that the density allowed on the seven lots would not be allowed on his two, but that anyone with 3 or more lots would now be incentivized to “jam as many [houses] in there as they can.” He agrees with his neighbors about the flooding due to impervious coverage especially during storms. Also, the danger posed by people using neighborhood roads as a through street concerns him greatly. The sidewalks will, “help people going to Walgreens, but they won’t stop the traffic” down the neighborhood streets that cut through while the rest of the neighborhood won’t, “bear the brunt.” He asks Mayor Sproul whether he’d like the street he lives on changed from a one way into a two way through street but didn’t get a response. Finishing he calls the affordability description “laughable,” quickly sharing that the average market rent in a smaller place is already too high.
His immediate neighbor of 26 years, Christine Luck speaks next. Unable to rebuild a deck due to setbacks, she speaks of her struggles with traffic to get to a job “only two miles away.” Outlining the issues with school traffic on Baum and people cutting through business lots at the Martin intersection, she does not believe the neighborhood is handling the increase in density that already exists. As for affordability she said she agrees with prior speakers and that though she “moved here 26 years ago there’s no way I could afford to move here now.”
Carl Iulucci next shared his story of how he ended up moving to the area from the Virgin Islands. With similar issues due to housing, that community had a “grand plan” to build employee accommodation which ended up becoming crime ridden. He refutes the assertion that the build is needed for young professionals as they can pay the current rents and mortgages on existing small homes unlike low-income families.
After the public testimony Mr. Goodrich is invited to respond to the speakers. He goes on to say his storm water plan was approved by Dare County and that he “never said anything about low income.” To address criminality he suggests criminals, “are around Dare County already. They might live right next door to you” and that tenants would have background checks. To Mr. Owens assertion about using his land for the same density, “quite frankly I agree with you and a lot of what you people were saying” but he challenges the assertion the people moving in would somehow not be a local or be someone you wouldn’t want as a neighbor, and that “for every one person here that has concerns there are 100 families in Dare county looking for a small home.”
After his rebuttal and questioning, the board moved to deliberate. Commissioner B.J. McAvoy expressed doubts that the project would be anything but a moneymaker for the developers, but that the board was only there in the function of evaluating plans. Reminded by the clerk to only vote based on the four required conditions, each board member agreed to each of the four requirements. The plan passed unanimously. It now moves onto the next phase, concerns or questions can be directed to the KDH planning committee.