Smithfield council denies extension of vested rights for Whitley Towns townhouse project

The Smithfield Town Council voted to deny a developer's request to extend vested rights for the Whitley Towns townhouse project, a conditional B-3 application previously approved for property north of the former Heilig-Meyers/Kmart site.

Town staff described the project's history: the B-3 conditional zoning approval occurred on Oct. 5, 2021; the preliminary plat was approved June 7, 2022; and the construction plans and a zoning permit were approved on April 17, 2023. Under the statute cited in staff comments, vested rights tied to construction-plan approvals generally expire two years after approval unless extended by the governing body. The developer asked the council to extend vested rights through Dec. 31, 2025; the council declined the request.

Steven Winslow, a town staff member presenting the background, explained the council must weigh the developer's invested rights against changes in the town's priorities and land-use rules. Winslow noted the council recently adopted Ordinance ZA2403, which removed multifamily as a permitted use in the B-3 zoning district to preserve B-3 for commercial uses. Winslow said the adjacent Heilig-Meyers/Kmart property is also under active site-plan review for commercial redevelopment, and the combination of the rezoning and the neighboring commercial project figured into staff's recommendation that council consider whether an extension remains appropriate.

The developer's representative, Ethan Taylor of Stocks Engineering, told the council that permits tied to the preliminary approvals were in hand and that required environmental and utility permits had been secured. Taylor said fees and permit steps tied to the project had been paid and processed at the time the construction plans were approved.

After questions and discussion about options for the developer if the council denied the extension, a council member moved to deny the requested extension, a second was recorded, and the motion carried. The meeting minutes record the vote as "All in favor? Aye. Any opposed?" and the mayor declared "Motion carries." The transcript does not record an individual roll-call tally.

Winslow and other council members emphasized that denial does not prohibit future applications; the developer may pursue a rezoning or submit a new conditional zoning application, which the council said would require the same public-review steps and a separate decision.

Ending note: council members noted the area has seen other townhouse approvals nearby and that the desirability of retaining B-3 lands for commercial use informed the denial. Because the developer's two-year vested-rights window tied to April 17, 2023, was nearing expiration, the council acted at the meeting rather than extending the statutory period.