City taking next step this week on housing development rezoning

Following two public hearings, the city will have a final reading this week to rezone a property on Indiana Street for potential development of townhomes or single family residential homes.

The Graham City Council held a public hearing for the rezoning of a property at 1103 Indiana St. from Local Retail to Townhouse. A third and final reading of the ordinance to rezone the property will be considered at 8:30 a.m. Thursday, Aug. 28 at the council chamber at 608 Elm St.

“This is a property that I think most of the council is familiar with. We’ve been working on it for several years to try and get some residential development there,” City Manager Eric Garretty said Thursday, Aug. 14.

The public hearing followed a public hearing held in June from the Graham Planning and Zoning Commission. The city of Graham’s number one priority within its strategic plan is to make residential housing available and affordable. 

“Since the zoning was redone in 2007 it has been zoned Local Retail. We’ve had no interest in any type of commercial business there so that’s why we’re wanting to rezone it,” Public Works Director Randall Dawson said. “We have had people come to us about townhomes and single family homes on that lot.” 

As part of those efforts, the P&Z board approved the recommended rezoning of a 7.2-acre lot owned by the Graham Industrial Association from Local Retail to Townhouse.

“It does provide for both townhouse or single family residential homes. It gives you the residential options within the zone so that’s what we’re talking about doing,” Garretty said. “The main thing is getting it out of Local Retail, getting it into Townhouse that basically allows for those types of residential structural development.”

Resident Bronwen Choate submitted a public comment by email regarding the rezoning. She said after serving as the president of a local townhome association, she had some concerns.

“Number one, townhomes would share common roofs (which) are a problem when a storm necessitates replacing because homeowners do not have the same insurance company,” she said. “Number two, a townhome association must have legal stipulations, an elected board, annual meetings, homeowner monthly fees, liability insurance for common areas, maintenance of common areas, etc.”

She recommended the land be zoned for zero lot homes that would not require an association. 

The GIA acquired the Indiana Street property through a warranty deed with Sacalico Properties, LLC in October 2022. 

GIA Executive Director Melinda Brown said during the P&Z public hearing in June that housing on the property could range from $250,000-300,000 and could be single family, duplex or multiplex, but excludes apartments which fall under another zoning classification.

GIA president and P&Z chair, Terry Bishop, said several parties are interested in the Indiana property and this is the first step.

“We do hope that things will start to move forward, maybe quicker than they have in the past. We just feel, on the GIA side, it's our responsibility to be able to go ahead and check off some boxes that we know we can get checked off beforehand, and hopefully this will even facilitate that a little bit quicker once someone is ready to pull the trigger.” Brown said.

The GIA is the private arm of economic development that promotes economic growth by bringing potential businesses to the city through the purchasing, sale and leasing of property along with other services.

The GIA, along with the Graham Economic Improvement Corporation, are working to increase housing opportunities with the city.

The GEIC created an Affordable Housing Incentive Program in July 2024 to push for construction of new residential units, as well as renovation of existing units to provide more housing for Graham. 

This program has been utilized since its creation to bring developers into the city and encourage development.