Council reviews Interchange Overlay District; asks staff for options to remove IO tool from mapped areas

Town planning staff presented background and a status update on the Interchange Overlay (IO) District to the Castle Rock Town Council on April 15. The IO District is a voluntary zoning tool the town adopted after 2008 to encourage higher-density, mixed-use development at major interchanges by allowing increased building heights (up to six stories or 90 feet), reduced open-space minimums for interchange parcels, and other flexible development standards.

Staff reviewed the three interchange areas mapped in the code (north Meadows/Founders, Wolfensberger, and Plum Creek), showed historical aerial imagery to illustrate why the tool was adopted, and noted that only two parcels have subsequently opted into IO zoning: Castle Meadows (vested through Dec. 31, 2035) and Miller’s Landing (vested through Feb. 1, 2036; that project explicitly excluded residential uses). Staff reminded council that IO is a voluntary option — parcels must request a rezoning to IO and that rezoning still requires council approval.

Council discussion focused on whether the IO tool should remain an available option in the mapped areas. Mayor Pro Tem Kavey said she would prefer removing the IO option for the remaining parcels and asked staff to return with specific options and pros/cons for eliminating IO as an option in those areas. Council did not vote to change the code at this meeting; instead staff agreed to report back with potential amendments to remove IO as an available zoning option for the unmapped parcels and to outline consequences for investment, urban renewal coordination and existing vested IO entitlements.

Ending: Staff will prepare options and an analysis for council consideration, including the consequences for parcels that might seek IO rezoning in the future and for coordination with urban renewal planning.