Fredericksburg City Council members on a mid‑July agenda meeting voted to table a conditional‑use permit application from New Vista/Advanced Development LLC for a mixed townhome, condominium and office project at Keller Oaks, sending the proposal back to the Planning and Zoning Commission for additional review.

The application seeks approval for 21 townhomes on one parcel and 32 condominiums in four buildings on an adjacent parcel, along with a private community center and accessory office uses. Developer P. V. McMahon Jr., director of operations for Advanced Development LLC, told the council the project is the same master plan that received prior approvals in 2021 and said the applicant is now ready to construct after ownership changes among members of New Vista.

The project drew extensive public comment and technical objections. Neighbors expressed concerns about stormwater, traffic near South Milam Street and the high school, a nearby retaining wall that residents say already shows signs of tilt, and the lack of clarity about whether the earlier approvals remained valid. Ron Wolhoff, a longtime resident and former planning commissioner, said the proposal “does not fit in the comprehensive plan in many ways” and raised safety and traffic issues near the hospital and high school. Windcrest homeowners described loss of tree cover and possible damage to retaining walls; Marlene Pilat, president of the Patio Homes Homeowners Association, said vegetation that had protected her neighborhood was removed and asked council to deny the application.

City staff told council the applicant’s previously approved permit had lapsed because the developer did not act within the two‑year timeframe required by city code, so the application before council must be treated as a new CUP and evaluated against current regulations and the city’s 2024 comprehensive plan. Staff and several council members noted Planning and Zoning recommended denial at its July 2 meeting, citing unresolved issues in the application and plan.

Developer McMahon disputed some staff comments in his presentation and provided a detailed written response addressing parking counts, setbacks, replatting steps he said were taken to provide street frontage, and other technical points. He also said some letters in the record supporting the project were not posted to the city website.

After debate, multiple council members said they were not comfortable overturning Planning and Zoning’s recommendation and voiced a preference to have staff and P&Z work further with the developer and the Windcrest homeowners association to address outstanding concerns. The council then voted to table the item and send the application back to the Planning and Zoning Commission for further review and negotiation with neighbors.

The tabling preserves the applicant’s ability to revise and resubmit, but does not grant any development permits. Any future resubmission will require updated site plan review, development review committee consideration, and new Planning and Zoning findings before council action.

Council members who spoke during the discussion said they favored additional technical review, clarification on stormwater and retaining‑wall responsibility, and reconciliation of prior approvals with the city’s updated comprehensive plan.