The South Peak development authority is being termed not a “step” in Roanoke County development and politics, but a “leap.”
The Roanoke County board of supervisors voted 3-2 to move ahead with the South Peak community development authority (CDA) on Tuesday. The next step will be for supervisors to appoint board members to the authority.
The next big hurdle for the project will be securing investors to buy the bonds required to build the roads, stormwater system, and water/sewer system the hillside development will need.
In what’s really a historic move, the developers, Smith-Packett, will receive 70 percent of the total tax revenue from the upscale South Peak development (formerly Slate Hill, across from Tanglewood Mall) for the first 20 years. The county will receive the other 30 percent. After 20 years, the county gets it all.
Typical development agreements usually allow developments to keep three to seven percent of the tax proceeds for the first three years, according to supervisor Richard Flora. Supervisors Charlotte Moore, Butch Church, and Ed Elswick cast votes for the development. Flora and supervisor Mike Altizer voted against moving ahead with the development.
County staff researched similar development projects and found successes in the Dulles Town Center, the Short Pump Town Center near Richmond, and the Hampton Convention Center, county attorney Paul Mahoney said.
Mahoney also said community development projects in York County and Frederick County were examples of CDA developments that have not worked as well.
The authority will function as the administrative arm in the program. The board of supervisors would still have final say on decisions such as bond issuance. The same 3-to-2 vote for approval of the authority came at a first reading several weeks ago.
From Media Partner WSLS-10