Council denies rezoning and height variance for East Second Street parcels after neighbor opposition

The Blue Ridge City Council on the evening examined a proposed rezoning of parcels BR02022 and BR02023 at 742 East Second Street and voted to deny both the rezoning to Central Business District (CBD) and a related height variance.

Jennifer Bates, planning staff, told the council the application from V2 Holdings LLC sought rezoning from C1 (neighborhood commercial) to CBD to allow a hotel and also requested a variance to increase maximum building height from 35 feet to 49 feet 6 inches as measured from East First Street; staff recommended denial and the planning commission had recommended rezoning to CBD with staff conditions but made no recommendation on the conditional-use hotel permit. “Staff reviewed the application and the staff analysis is in your packet and staff recommended a denial of this application,” Bates said.

Members of the development team told council they had heard public concerns and would withdraw the conditional-use hotel request and the height-variance request if they pursued smaller commercial uses under CBD rather than a hotel. “If we're not doing a hotel…the variance we would like to retract,” architect Craig Peavey said, adding the team planned to pursue small retail storefronts and lofts that he said better match the town’s vernacular.

But neighbors and nearby business owners opposed moving the CBD boundary. Residents cited pedestrian-vehicle conflicts, heavy truck and school-bus traffic along East Second Street, parking strain at existing CBD businesses, and the prospect of a shifting commercial character. “CBD on East Second Street is a very high bar and I don't feel that was met today,” one councilmember said during deliberations. Several speakers described the rezoning as “spot zoning” and urged the council to protect the residential character adjacent to the site.

Councilmember motions followed the staff recommendation: a motion to accept staff’s recommendation not to rezone was seconded and carried by voice/raise of hands; the subsequently filed motion to deny the height variance likewise passed after brief discussion. The record does not show roll-call tallies or named individual votes; council used a voice/hand vote.

The council noted practical considerations in the discussion: CBD is intended for pedestrian downtown areas and East Second carries significant through traffic and heavy vehicles in places; members said that justified retaining C1 for the site or asking developers to return with a different proposal that better matches C1/C2-type uses. Developers and supporters were invited to rework the proposal in light of the council’s direction.

The council’s denial leaves the parcels zoned C1; staff and the applicants may pursue alternative proposals or return with a revised application consistent with the council’s comments.