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Village Center debate focuses on water quality, traffic

Groups take sides on proposed B-1 rezoning near Lewes
July 15, 2016

Sussex County's Planning and Zoning Commission heard a variety of opinions concerning a rezoning application for the Gills Neck Village Center in Lewes.

Ideas ran the gamut from moving the proposed center to the east to add a layer of protection to the City of Lewes wells located across Kings Highway to completely abandoning the project. Most of the nearly 4-hour hearing centered around water-quality and traffic issues.

Following the July 14 public hearing, the commission deferred on a vote. A hearing before Sussex County Council has been scheduled for 1:30 p.m., Tuesday, Aug. 23, in the county's administration building, 2 The Circle, Georgetown.

VILLAGE CENTER OVER THE YEARS

2007: 520,000 square feet with commercial, office space and housing on 60 acres. Application was withdrawn before a council vote.

2009: 387,000 square feet retail. Denied by county council.

2015: 215,000 square feet retail. Placed on hold by developer.

2016: Maximum 75,000 square feet retail center based on limits of B-1 zoning.

J.G. Townsend Jr. & Co. has refiled an application for B-1 neighborhood zoning for an 11.6-acre parcel at Gills Neck Road and Kings Highway. The rezoning would pave the way for the Gills Neck Village Center, a long debated commercial project proposed as part of a 30-year development plan along Gills Neck Road. When all proposed projects are complete, about 2,000 homes or units will have been built along Gills Neck Road.

Over nearly a decade, the proposed Village Center has been downsized from a 520,000-square-foot complex with commercial, housing and office space on 60 acres to a 75,000-square foot shopping center on less than 12 acres.

Nick Hammonds, of developer Jack Lingo Asset Management, said the proposed Village Center would be about the size of The Villages of Five Points Food Lion shopping center, excluding businesses and restaurants within the village itself.

According to a preliminary plan presented to county officials, the center would include a 20,000- to 30,000-square-foot specialty grocery store and other stores such as a restaurant, bank, pharmacy, coffee shop, salon and/or fitness center. In answer to concerns expressed by residents and officials about possible contaminants, the center would not include a gas station or dry cleaner, Hammonds said.

"There is nothing in writing that there won't be a gas station or dry cleaner," attorney John Sergovic said, adding the two uses would be allowed should B-1 zoning be approved. "The developer should embrace a conditional use and not elude it," he said. Sergovic is representing Lewes Partnership for Managing Growth.

SHOPPING CENTERS IN THE AREA

All Tanger outlets: 565,000 square feet

Pelican Square (Acme center): 144,000 square feet

Midway center: 175,000 square feet, retail only

Rehoboth Mall: 126,000 square feet

Lighthouse Plaza (Giant center): 102,000 square feet

Shops at Sea Crest (Safeway center): 101,000 square feet

Villages of Five Points (Food Lion center): 72,000 square feet, excluding shops in the residential area

Opponents said the commission and county council should deny the application and request the developer file a conditional-use application that would allow county officials more latitude to deal with concerns about wellhead protection, public safety and traffic.

Commission Chairman Bob Wheatley reminded the large crowd that county officials cannot place conditions on a rezoning request. He said the commission's only task is to decide whether B-1 zoning is appropriate for the parcel in question.

Opponents said an updated traffic study should be required because the developer's plan is based on a 2006 study. State transportation officials said the study is still valid because the proposed Village Center project has been substantially reduced in size.

Hammonds said the developer has nearly completed all road and intersection improvements required by DelDOT based on the larger shopping center application, even though the project has been downsized. Work is currently underway on the second phase of improvements at the Kings Highway-Gills Neck Road intersection in front of Cape Henlopen High School.

City of Lewes in opposition to B-1

Based on traffic and drinking water concerns, City of Lewes and Board of Public Works officials presented a resolution to the commission in opposition to B-1 zoning but in support of a conditional-use application as long as the developer located the shopping center closer to the proposed Governors housing project to the east and as far away as possible from the wellhead protection area.

The city's five wells are located within a few hundred feet of the proposed project.

According to the resolution, the parcel "threatens the drinking water of Lewes and Sussex County citizens," based on a BPW commissioned hydrologist's report, as well as a 2009 DNREC letter and a 2003 University of Delaware report.

Ring Lardner, the developer's engineer, said a study commissioned by the developer showed the proposed shopping center would not have a detrimental impact on the Lewes wells.

"The BPW report is used by those who oppose any development at the site," said Gene Bayard, the developer's attorney. "The only issue is the nitrate level from 35 years of leaching septic systems and ag practices," he said.

"We will take all steps to protect the Lewes wells following wellhead protection regulations," Hammonds said.

In addition, Lewes officials asked county officials to request a comprehensive development plan for all remaining acreage on the parcel and to require the developer to provide a bond or escrowed account for expenditures relating to any water quality issues caused by development of the parcel.

Dennis Crawford, a Senators resident, said a consortium of eight neighborhoods in the area of Gills Neck Road is opposed to commercial development on the parcel. "We do not need more shopping in this area," he said. During the hearing, eight of those neighborhood residents spoke about concerns with traffic, crime, the environment and the potential domino effect with the approval of B-1 commercial zoning.

John Mateyko, president of Lewes Partnership for Managing Growth, said his group supports a small, local-serving shopping center of no more than 20,000-25,000 square feet.

He said a larger center would attract traffic from Route 1 and only exacerbate congested traffic conditions along Kings Highway. He said a neighborhood shopping center of that size would support the 2,000 projected homes at build-out in the Gills Neck Road area while a larger center would not.

In addition, he said, there is no way possible that traffic generated by a larger center could be assimilated with existing local, ferry, school and state park traffic.

Lopez: B-1 is reasonable, logical

Sen. Ernie Lopez, R-Lewes, said he was disappointed about the negative reaction to the proposed B-1 zoning. It was Lopez who met with residents and the developer to reach a compromise that resulted in a down-scaled shopping center and a change from a CR-1 zoning request to a B-1 request.

"This was not a backroom deal," he said. "It was from direct input from neighbors who were saying what they wanted. There were many desires for B-1. I'm disappointed that some of those same people are now in opposition. Less than one year ago this was acceptable."

Lopez said neighborhood business zoning is reasonable and logical. "CR-1 zoning or a conditional use is too heavy handed and the wrong approach," he said.

 

In Friday's edition of the Cape Gazette, read a breakdown of the key issues in the debate over the rezoning application.

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