Developer proposes annexation, sewer extension and TAD to enable mixed‑use project near Highway 441

David Branch proposed that the City of Demorest annex property owned by Artisan and Irvin and create a mixed‑use zoning district to enable a planned development, according to remarks at the March 4 work session.

Branch told the council the proposal includes extending sewer service up Highway 441 to the properties and creating a Tax Allocation District (TAD) that would reimburse the city or developer for the sewer extension and developer‑related site development costs, with tap and impact fees also contributing to reimbursement. He said the project would provide a “new city beachhead,” expand the city’s footprint and substantially grow the revenue base.

The proposal, as presented, outlines three connected actions: annexation of privately owned parcels into the city limits; establishment of a mixed‑use zoning district that would allow the proposed development; and use of a TAD to finance offsite infrastructure and recover developer costs over time. The council asked questions and explored details but did not take formal action at the work session.

Council members discussed the potential economic benefits and the city’s role in extending infrastructure to serve private development. Councilman Shawn Allen and City Manager Mark Musselwhite joined the discussion, noting the city would need further analysis and public outreach before any annexation or TAD formation.

Next steps: the proposal will require more detailed engineering estimates for the sewer extension, legal review of annexation and TAD formation, and public hearings before any ordinance or resolution is adopted.