Board grants variances and special‑use permit to Duke Energy to rebuild Holland Road substation after contested hearing

The Fuquay‑Varina Board of Adjustment on June 8 approved variances and a special use permit allowing Duke Energy Progress to rebuild and expand an existing electrical substation on Holland Road.

Attorney Amy Kraut (variance hearing) and Amy Crow (special use hearing) presented the applications and justification materials. They said the existing facility was constructed in 1952, most recently expanded in 1972, and that strict application of current Land Development Ordinance (LDO) setbacks and buffer requirements would preclude modernization. Kraut outlined three proposed variances: reduce the 150‑foot setback between the substation fence and adjacent residential property lines, reduce the 100‑foot front setback for the heavy industrial district, and permit adjusted landscaping buffers in locations where danger‑tree and transmission‑line clearances prevent planting.

Duke representatives and technical witnesses said the rebuild would move the substation from a single‑bank to a two‑bank configuration to increase capacity and resiliency as the area grows. Derek Ramer, Duke’s district government and community relations manager, testified the existing single bank is nearing capacity and described a construction timeline that would begin in January 2027 with completion of major construction by June 2028 and final site restoration in fall 2028.

Opposition came from nearby landowners, led by Donald Magnum, who said the utility should not receive broader variances because the company is large and profitable and that construction and maintenance activity already affect adjacent properties. Magnum told the board he experiences frequent contractor activity near his driveway and questioned hardship claims. He also raised safety and nuisance concerns.

Duke called technical experts in substation engineering and civil design who explained safety clearances (danger‑tree zones), equipment spacing and proposed mitigation (evergreen buffers in safe areas, shielded lighting, and limited planting where transmission lines exist). Appraiser Nicholas Kirkland presented an impact study concluding the proposed rebuild would not substantially depress nearby property values; his match‑pair analysis and literature review found any measurable differences would fall within typical market variation.

The board made the required findings on variances — unnecessary hardship from strict LDO application, peculiar property conditions, hardship not caused by the owner, and consistency with the spirit of the ordinance — and voted to approve VA‑202601. After the variance approval, the board held the special use hearing (BOA SUP 2026‑02); board members found the proposed use would not materially endanger public health or safety, meets required conditions (with variances), would not substantially injure adjoining property values (noting public necessity), and is in harmony with the town’s plan for civic/institutional uses. The board approved BOA SUP 2026‑02 as presented.

The transcript records voice votes and motions with successful seconding; it does not show a roll‑call tally in the record. Duke said the project will improve reliability during peak demand and emergencies. Nearby residents expressed frustration with perceived frequent activity at the existing site and urged the board to seek closer compliance rather than expanded variances. The record contains technical testimony supporting the applicant’s safety and operational claims and an independent appraiser’s conclusion regarding property values.

The variances and permit are granted subject to the terms and exhibits included in Duke’s application and site‑plan review; staff indicated the applicant expects to submit final site plans by July 30, 2026.