Hutto council approves development agreement for Lemur Square, sets PID and annexation hearings

The Hutto City Council on April 17 approved a development agreement with Limmer Holdings LLC for a 111.851-acre mixed-use project at the southwest corner of Texas 130 and Limerick Loop and set the formal steps to create a public improvement district and consider voluntary annexation.

The agreement was adopted by a 6-0 vote on resolution R2025-108. Council then accepted the PID petition (resolution R2025-109) and called a public hearing on voluntary annexation (resolution R2025-110); both motions also passed 6-0. Mayor Snyder and six council members voted aye on each item.

Why it matters: the development will be annexed into Hutto and financed in part by a PID assessment that the city’s financial adviser said could translate to an equivalent PID assessment rate in the range of roughly $0.78–$0.84 per $100 of assessed value. Project proponents say the buildout could include 40-foot front lots, townhomes, multifamily and commercial space with a total private buildout estimated at about $500 million and roughly $1 million in annual ad valorem taxes at current rates.

City and developer presentations noted that the developer would contribute a community benefit fee (approximately $2,715,000 as proposed) and that the project contemplates issuing special-assessment bonds to fund up to about $27 million in public infrastructure; after issuance costs the anticipated project fund was shown around $20.7 million with additional developer cash estimated at about $11 million to reach a roughly $32 million public infrastructure budget. Jim, the project financial adviser, told council, “Full amount of bond bonds would be about $27,000,000,” and described holdback and vertical-construction safeguards commonly used in PID financings.

Council members and staff emphasized that approving the development agreement and accepting the petition are preliminary steps: the PID creation and annexation require additional public hearings and findings. The schedule presented would bring required public hearings on the PID and annexation on May 15 and zoning/related hearings on June 5; assessment levies and bond sizing would come only after due diligence and a separate Council action.

Opposition and safeguards: council discussion and public comments earlier in the meeting raised concerns about traffic, drainage and water supply in the area. Staff and the development team said the project would assist the city by funding design work for the Avery Lake interceptor connection and that final construction would require multiple permits (TxDOT, railroad, water-control entities). Councilmember Thornton asked whether the 84¢ equivalent assessment included the city rate; advisers confirmed the assessment is additional to regular city taxes and would appear as a separate line item on taxpayers’ bills.

Next steps: Council approved the development agreement tonight and called the PID and annexation public hearings. If the petition and annexation proceed after public hearings, the city will complete final PID financing steps—appraisal, assessment roll, bond sizing and required disclosures—before any assessment levy or bond sale.

Votes at a glance: R2025-108 (development agreement) — passed 6-0 (Kolar: aye; Thompson: aye; Snyder: aye; Thornton: aye; Porterfield: aye; Mayor Pro Tem Gordon: aye). R2025-109 (accept PID petition/call hearing) — passed 6-0 (same tally). R2025-110 (call public hearing on voluntary annexation) — passed 6-0 (same tally).