Cary board approves Maplewood redevelopment agreement in TIF District after extensive public comment
Loading...
Summary
The Village of Cary approved a redevelopment agreement for the Maplewood site in Central Cary TIF District No. 3. The plan calls for phased demolition and mixed residential development, a projected $95 million development budget and a developer reimbursement cap of $12,350,000; trustees approved the RDA by roll call after developer presentations and resident concerns about density, traffic and public services.
The Cary Village Board on Jan. 12 approved an ordinance authorizing a redevelopment agreement (RDA) with JM Developers for the Maplewood property in Central Cary TIF District No. 3. The board's action authorizes the village to enter a binding contract that, if followed by zoning approval, will allow phased demolition and construction of a mixed residential development.
Village staff and the developer presented the financial and physical terms. Director Brian Simmons said the village acquired the property from School District 26 under an August 2024 intergovernmental agreement for $2,750,000 and provided roughly $2.7 million to relocate the bus transportation center. Simmons described a development budget of about $95,000,000 with projected tax increment of approximately $36,500,000 over the life of the TIF and anticipated annual increment near $1,800,000. "The developer share of the increment is maxed at $12,350,000," Simmons said, explaining the cap on reimbursements.
Developer representatives said the proposal calls for 13 single-family for-sale homes, 15 townhomes, 16 duplexes and three multifamily buildings totaling 236 units (a mix of studios, one-, two- and three-bedroom units). Michael Pulakidas of Clark & Associates said the design was adjusted after public meetings to reduce building heights near existing homes and to remove an access point to Prairie Street. "We believe this is a thoughtful, well-informed path forward for the Maplewood site and a lasting investment in the village of Cary," Pulakidas said.
Staff outlined how TIF proceeds will be shared. By state statute, 42% of any increment must be set aside for impacted taxing bodies (the presentation named two school districts and the library). The remaining 58% of increment is split 50/50 between the village and developer for the portion up to the developer cap. Simmons said the agreement anticipates certain one-time revenues to the village — about $1.1 million in water and sewer tap-on fees, roughly $300,000 in building permits and about $110,000 in plan-review/inspection fees — and also a negotiated $1,000,000 impact payment to the village general fund.
Residents at the meeting urged changes or expressed opposition. Concerns included the proposed density and whether the market exists for studio apartments in Cary; adequacy of a $140,000 impact fee for Cary Fire Protection District services; construction traffic impacts on Krenz Avenue and neighborhood streets; and whether selling the property "as is" while reimbursing demolition costs gives developers a double benefit. Elaine Bailey said, "A high density project like this will significantly alter the character of our development," and asked the board to seek more owner-occupied single-family homes.
Staff and the developer answered questions at length. Officials pointed to RDA provisions that prohibit construction traffic through the existing Frankie Subdivision and require use of an access road for multi-family and townhome traffic; they also said the developer must demonstrate financing and obtain permits before the village transfers title. On environmental questions, attorney Scott Euler noted the village retains ownership until conveyance and that the developer performs site inspections; staff said prior studies have not shown contamination but that tank removal and further testing remain.
Trustees asked about legal limits on restricting future buyers from renting for-sale homes; attorney Euler said the village cannot impose sale-to-owner-occupant requirements under current law, though an HOA (initially controlled by the builder) could later impose rental limits. Simmons confirmed that payments to the developer from TIF increment would not begin until the multifamily portion is completed.
After presentations and public comment, trustees approved the ordinance authorizing the redevelopment agreement by roll call. The board described next steps as zoning/entitlement review this spring, demolition and remediation shortly after the developer obtains zoning and permits, access-road construction in summer 2027 and substantial completion of the project in 2028–29 if timelines hold.
The RDA includes performance benchmarks, a cap on developer reimbursement, statutory set-asides for schools and library, and provisions for recourse (mortgage, special service area) if the project is not completed.
