Caine Center annexation and mixed‑use plan continued for more study; council schedules executive session discussion

The Caldwell City Council continued until Sept. 15 an annexation, initial zoning, preliminary plat and special use permit application for the proposed Caine Center development after several hours of public testimony and extensive council questions.

Planning staff described the roughly 13‑acre proposal at the southwest corner of Holmdale and Montana: about 120 multifamily units across fourplex and sixplex buildings, a C‑1 commercial zone around the hard corner that could include a convenience store with fuel (which requires a special use permit), a drive‑through restaurant and multiple build‑to‑suit commercial lots. The applicant revised earlier plans to reduce density, add open space and shift building locations to address code changes and Planning & Zoning recommendations.

Staff said the project currently proposes 9.1 units per acre (about 120 units) and is seeking density bonus points to exceed the base Neighborhood 2 density limit of eight units per acre. The applicant intends to provide universal‑design ground‑floor units and other amenities and said the revised plan meets the city’s updated multifamily code and open‑space requirements.

Councilors, staff and members of the public questioned traffic impacts at Holmdale and Montana and nearby school peak hours. Staff noted a transportation impact study (TIS) and mitigation needs, and city engineering said the city plans to design and build a roundabout at Holmdale and Tenth (planned for design in fiscal year 2026 with construction anticipated thereafter). Council members pressed whether interim improvements or turn lanes would be required before the roundabout is built and whether drive‑through uses and gas station queuing could be managed to avoid blocking Holmdale.

Neighbors and several commenters opposed the proposal, citing vehicle queuing, school capacity, the proximity of multifamily housing to single‑family neighborhoods, and environmental concerns related to proposed underground fuel tanks near the Phyllis Canal. The applicant noted modern double‑wall underground storage tank standards, insurance requirements and state monitoring rules and said industry safeguards and regulatory oversight are in place; residents submitted examples of past UST failures during public comment.

Planning staff recommended approval subject to standard conditions and technical clarifications; however, after extended discussion the council voted to continue the matter to the Sept. 15 regular meeting and to hold an executive session for legal advice before taking final action.

No final decision was made on annexation, zoning or the special use permit at the meeting; the matter will be back on council agenda with additional staff legal briefing.