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Council tables Mustang Island PUD after residents object to density and proximity to Lost Colony condos

City Council · June 23, 2026
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

Council delayed action on a 131-lot Mustang Island planned-unit development after residents from Lost Colony and Sandpiper raised concerns about 35-foot lot-back walls, wetland impacts and loss of views; the developer agreed to explore height reductions and larger rear setbacks and will return with revised visuals.

The City Council on June 24 tabled a proposed planned-unit development (ZN9288) for roughly 35 acres on Mustang Island after sustained public opposition from neighboring Lost Colony and Sandpiper residents.

Planning staff described a revised submittal featuring 131 proposed lots, a mix of single-family and townhome types, and mapped jurisdictional wetlands that constrained placement of buildable lots. The plan proposed multiple narrow lot sizes (including 35-foot widths on some parcels) nearest an existing condominium community (Lost Colony). Twelve notices of opposition were filed in the 200-foot notification area.

Residents told council the massing and proximity constitute a near-temporal "wall" of houses backing directly onto longtime properties, would damage views and could depress property values; they also raised concerns about wetland impacts, traffic and infrastructure strain. The developer said wetlands constrained where homes could be placed, offered to lower permitted heights near Lost Colony (from 45 to 35 feet in most areas) and increase rear setbacks, and said the goal was a mix of relatively affordable beach houses and some higher-value beachfront lots. Councilmembers asked for street-level renderings and for developer-to-resident outreach.

Council voted unanimously to table the item to the June 30 meeting to allow the developer to present revised setbacks and visuals and to continue outreach to impacted property owners.