Volume 1, Issue 3 October, 2006
 
The Real Estate Report
Local Government News Impacting the Real Estate Industry


 

Fellow REALTORS®:

Thank you for your positive feedback on this monthly compilation of issues and events affecting our local real estate industry. I encourage you to forward any items of interest to Sue for inclusion in upcoming issues.

Best,

Mark Zimmerman
Chair, Legislative Affairs Committee
Greater Chapel Hill Association of REALTORS®


New Development

Town of Chapel Hill Re-evaluates Plans for Downtown Mixed-Use Developments
The team negotiating with Ram Development Company on proposed business and residential condominium towers on two municipal parking sites met in a closed session on October 20, 2006 to discuss the future of the proposed mixed-use development projects. The negotiating team, which includes council members Cam Hill and Sally Greene, met to discuss scenarios that Ram submitted earlier in the month of October. The committee might not make a recommendation to the Town Council until November or later. Town leaders are being cautious because they are trying to shield taxpayers from risk. For full story, click here.

Chapel Hill Residents Express Concerns About Collector Streets
Chapel Hill residents informed town council that they oppose a plan to build roads in Durham County that would connect to Orange County streets to carry traffic to arterial roads. The collector-streets plan calls for an organized set of roads to connect existing and future development. Chapel Hill residents are concerned that the plan doesn’t address what impact the roads and traffic would have on Chapel Hill neighborhoods. For full story, click here.

Proposed Condominium Development Projects Generate Neighborhood Aesthetic Concerns
Residents who live in the areas surrounding the proposed Northampton and Grove Park condominium projects are concerned with the proposed height of each development and their potential to dwarf existing single-family homes. A proposal to float balloons in order to demonstrate how high the proposed developments would be, if built, was presented to Chapel Hill Town Council members, who supported the idea. For full story, click here and here.

Chapel Hill Town Council Approves Permit for Castalia at Meadowmont
The Council approved a special use permit application for Castalia at Meadowmont
for a three-story building including office floor area and residential units. The 4.2 acre site is located on the south side of the intersection of West Barbee Chapel Road and Old Barn Lane in Meadowmont. The applicant agreed to provide a payment-in-lieu of affordable housing in the amount of $150,000.

Development Underway in Chatham County
Briar Chapel, a mixed- use development south of Chapel Hill, is under construction and will include nearly 2,400 homes, commercial space, and two schools.
From The Market Report

Greenbridge Developments, LLC Update
Greenbridge Developments is currently accepting applications and reports that 40% of their units are already sold. For more information, please click here.

 


Regulatory Issues

Carrboro Considers Development Moratorium
The Carrboro Planning Board asked the Board of Aldermen on Tuesday, Oct. 3, to consider suspending development in the Northern Study Area, 3,787 acres north of town where many developers are looking to build. The temporary halt on development would mean no rezonings could occur, no major subdivisions currently under review would be approved, and no new development permit applications would be accepted for building in that area, an effort to slow the town's growth. The board decided Tuesday that it needs to refer the proposal to two citizen advisory committees first, along with the Town of Chapel Hill, the Orange County Board of Commissioners and UNC-Chapel Hill before taking action.

If the Board of Alderman decides to move forward on the moratorium after other involved parties are consulted, the Aldermen will have to draft a proposal for the moratorium. The Aldermen must hold a public hearing on the moratorium before deciding whether to adopt it. For full story, click here.

Orange County District Representation to be Put on November Ballot
In November Orange County voters can decide whether they want to change the way County Commissioners are elected. In an effort to provide more rural representation on the board, commissioners have approved a proposal to divide Orange County into two voting districts that would add 2 seats to the current 5-member board. Having the districts would ensure that at least 2 representatives come from northern, more rural part of the county. For full story, click here.

Chapel Hill Increases Downtown Service District Tax
Under the 2006/07 adopted budget, the tax rate for the Downtown Service District increased from 5.3 to 9 cents per $100 assessed value. The district was created in 1989 in response to requests from downtown businesses and property owners for enhanced promotional activities and supplemental services. Currently, district funds are allocated entirely to the Chapel Hill Downtown Partnership. Funds from the district tax increase will fund a downtown groundskeeper for nine months and may be used to address parking concerns, including possible free parking meters on Saturdays.
From Town Staff Reports


Orange County Taxes Increase 6 Cents, 7.1%
The Orange County Board of Commissioners voted to increase Orange County Taxes by 6 cents to 90.3 cents per $100 of assessed value, a 7.1% increase. The County Commissioners also voted to increase the Chapel Hill-Carrboro City School District tax from 18.34 cents to 18.85 cents per $100 of assessed value, a 2.8% increase generating $400,000 to help with the opening of Carrboro High School. For more information, click here.


Chapel Hill Relaxes Some Sign Restrictions
In response to a petition from business owners, the Council reviewed options regarding changeable/moveable signage outside the Town Center. The Council agreed to expand sandwich board use to commercial areas with sidewalks on both sides of a road and speed limits no greater than 35 miles per hour.

Chapel Hill Board of Realtors Receives New Name
The Chapel Hill Board of Realtors has a new name. The BOR received official notification from the National Association of REALTORS and the new name is the Greater Chapel Hill Association of REALTORS. A design firm has been hired to create a new logo for the Association or REALTORS with hopes of unveiling it at the annual member meeting in October.


Schools

Chapel Hill-Carrboro School Board Begins Solicitation for Construction Bids for New Elementary School
Commissioners unanimously approved final plans for Chapel Hill-Carrboro City Schools’ 10th elementary school and authorized the district’s Board of Education to solicit construction bids. The board’s decision keeps the school on a timeline to open for the 2008-2009 school year. The 10th school is to be built at Twin Creeks Park on Old N.C. 86 near Eubanks Road. Carrboro has planning jurisdiction and has agreed to an expedited review.
From Herald-Sun

Juniors Will Relocate To Carrboro High Next Year
A divided school board voted to open Carrboro High next year with an incoming class of juniors. The Chapel Hill-Carrboro school board was torn between requiring juniors in Carrboro High's assignment zone to enroll and allowing them greater freedom to stay at one of Chapel Hill's established high schools. Originally, administrators recommended allowing transfers out of Carrboro High only to students who could prove that leaving an athletic, arts or academic program would harm their college or career ambitions. The board has agreed on a less hard-line approach by allowing students to state their appeal cases in writing by March 1. Each appeal will be reviewed on a case-by-case basis. For full story, click here.


County

Orange County Begins Comprehensive Plan Overhaul
On Oct. 3, 2006, the Orange County Board of County Commissioners met to review a draft of the plan for the process to create the new Orange County Comprehensive Plan. The current plan was adopted in 1981. The County Commissioners think that the current process will take too long to revise (2 years) and want to accelerate the timeline. The new plan will focus on updating the entire Comprehensive Plan, not just the land use portion. The Chamber is exploring a partnership with the Village Project to ensure that citizen participation is taken into consideration before the new plan is created. The Chamber has formed the OC Comprehensive Plan subcommittee which will work to establish the Chamber’s basic principles/objectives regarding the revised plan. To join the subcommittee, please contact Kendra Maultsby Mudd, Director of Government Affairs, at kmudd@carolinachamber.org.

Economic Plan Progressing in Orange
One year into a five-year plan to add jobs and commercial property, Orange County is making progress. The county -- along with Carrboro, Chapel Hill, Hillsborough and both of the county's chambers of commerce -- adopted a plan last year to add 5,000 new private sector jobs and $125 million in new commercial property by June 2010. Two approved hotels and other projects in Chapel Hill already have created $45,000,000 in new commercial property. The jobs are expected to come closer to the end of the five-year period. For full story, click here.

Commissioners Appoint Laura Blackmon as County Manager
The Orange County Board of Commissioners has agreed to hire Laura Blackmon as the next Orange County Manager. Ms. Blackmon comes to Orange County from Osceola County, Florida, where she has served as assistant, deputy, or acting county manager since 2001. Ms. Blackmon is an Alabama native and has a Master of Arts (M.A.) in Political Science/Public Administration from the University of Florida at Gainesville. She began her professional career as a high school Social Studies teacher before entering government administration. The Commissioners hired The Mercer Group Inc. as the consultant for the manager’s search process and conducted a national search that drew 90 applicants from across the country. The vote to appoint Ms. Blackmon was unanimous.

 


The Triangle

Raleigh Ranked Sixth in the Nation in Growth
Raleigh ranked sixth in the nation in numerical growth from July 2004 to July 2005. The city added nearly 14,000 new residents, more than any city on the East Coast, according to U.S. Census estimates. As of July 1, 2005, the city’s population was 341,530. Most of the growth is in the subdivisions on the outskirts of the city. As new developments are being planned and built, population growth is expected to continue. For full story, click here.

TTA Hires Interim General Manager
David D. King, a former deputy state transportation secretary who retired this spring after a 33-year career, was named TTA's interim general manager. TTA gave King a 12-month contract and he will begin serving in his new role on October 9, 2006. He will take a lead role in developing transit plans for the region in the wake of TTA's failure to win federal funding for an $810 million commuter train service. King spent most of his career at the state Department of Transportation overseeing and expanding state efforts in rail, aviation, ferries and public transportation. For full story, click here.

RTP Ranks #1 Research Hub in the Country
The top place for technology companies is the Research Triangle Park region. According to a new report by the Silicon Valley Leadership Group, a consortium of businesses in the storied tech corridor, for the second year in a row, the group named Raleigh-Durham tops among other U.S. research hubs. The Triangle got high marks for a strong job market, affordable housing and manageable traffic. The region has had a strong run during the summer, attracting an expansion of Fidelity Investments that will create 2,000 jobs and Novartis.
From News & Observer


State

Eminent Domain Legislation Approved by Senate Committee
Two proposals discussed by House and Senate Committees would modify eminent domain laws in NC in favor of property owners. House Bill 1965 would restrict purposes for which eminent domain may be used by repealing local acts that broaden the power beyond what is set out by statute, and by limiting the use of eminent domain for certain revenue bond projects. This bill has become law and was signed by Governor Easley on August 10, 2006. House Bill 2213 would amend the NC Constitution to prohibit takings of private property for economic development, and to provide the prompt payment of compensation with the right of trial by jury. The bill has been re-referred to the House Committee On Rules, Calendar, and Operations.
From NCCBI Press Release


Federal

Federal Trade Commission May Settle With More Multiple Listing Services
The National Association of Realtors (NAR) has learned that the Federal Trade Commission may be seeking to wrap up its antitrust investigations of 14 multiple listing services. Each of these investigations focused on the treatment of exclusive agency listings by the MLS, and in particular, whether exclusive agency listings were included in IDX feeds and included in advertising on third party Web sites such as REALTOR.com. NAR has been informed that at least one MLS has signed a consent order and other MLSs are under pressure to do same. However, it is the understanding of the NAR that the FTC is pushing for consent orders from certain MLSs, and complaints may be filed if the MLSs do not sign.
From National Association of Realtors


Other

Vote November 7 for Orange County Commissioners
Elections for Orange County Commissioners will take place on Tuesday, November 7, 2006 between the hours of 6:30am-7:30pm. The candidates listed on the ballot for County Commissioner are Alice Gordon (D), Barry Jacobs (D), Mike Nelson (D), and Jamie Daniel (R). For more information, visit the Chamber’s web sitehttp://www.carolinachamber.org/elections which details comprehensive candidate responses from the 2006 Orange County Elections Brochure.

Chapel Hill Increases Downtown Patrols
More officers are hitting the streets of Chapel Hill in the fight against underage drinking. The Chapel Hill Police Department is putting extra foot patrol officers downtown as students returned to UNC’s campus in August. Officers are also running checks at bars and grocery stores to make sure ID’s are being checked but say they are mostly responding to noise complaints. For full story, click here.

Chapel Hill Police Forms Special Unit to Target Gangs
The Chapel Hill Police Department, with help from the state, is establishing a gang unit of sorts. More and more, patrol officers have encountered people who claim gang membership. The Chapel Hill police will focus on developing gang expertise among certain officers. The department wants at least one officer on each shift trained to analyze gang-related activity and two have been trained so far. A $50,000 grant from the Governor’s Crime Commission will help pay for training, extra hours, and community outreach sessions. For full story, click here.

Carrboro’s Club Nova Wins Housing Award
On October 11, 2006, Carrboro’s Club Nova Apartment complex received an Housing North Carolina Award. The award was bestowed based on Club Nova’s features of community, support and affordability. The three-story apartment complex opened two years ago behind the Club Nova clubhouse at 103 W. Main St. The nonprofit organization helps people with mental illness become part of the larger community and get training to find work. The units are designed to be energy-efficient and feature a solar energy system. For full story, click here.