Old Highway Knoll Property Due Diligence

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1 Page 1 of 11 April 2014 Old Highway Knoll Property Due Diligence 1. Introduction Background. This analysis looks at the development potential for the Old Highway Knoll property. Past plans and surveys that were created for the site were evaluated. During the development of past plans the extraterritorial jurisdiction (TJ) was in affect giving the City of Asheville jurisdiction. The TJ no longer exists and the majority of the property is within Buncombe County jurisdiction. Much time has elapsed since higher density developments were proposed and the county now has more restrictive, lower density requirements for the site. Correspondence. quinox met or talked over the phone with the City of Asheville, Buncombe County, and the Buncombe County Metropolitan Sewer District. All gave insight into what infrastructure on site may be reusable and how infrastructure would tie in. quinox also provided a draft of the Schematic Plan for Buncombe County to review. Schematic Plan Development. Based on ordinances reviewed, quinox feels comfortable that the site can fit around 20 lots or less with accommodation for required open space, community amenities, and two option for access (one which requires a variance) from Old Haywood Road. Geophysical Character / Description. The parcel encompasses approximately +/ acres. 2. Correspondence The following communications occurred as part of this due diligence study: 2.1 Correspondence with the City of Asheville quinox met in-person with Chris Collins in the City of Asheville (COA) Development Services R US OF BUILT INFRASTRUCTUR: The COA advises that reuse of existing infrastructure may be problematic since requirements have changed (stormwater). So much time has

2 Page 2 of 11 elapsed since construction, that infrastructure may no longer be viable. An independent inspector would need to sign off that the existing water line is still viable. INFO ON PAST DVLOPMNT: There is no record of what was permitted or approved for the development project that happen around There is a 1 2 year statute of limitations for any permitting which means approval processes need to start from the beginning. Additionally since the TJ change, the County has jurisdiction of the ~22 acre parcel. ANNXATION: Property could be annexed to COA, but other than the COA having higher allowable residential density there is no real benefit. Some of the ordinances (like road requirements) are more restrictive than the County s. ATR: There would likely be some COA permits required for connecting into water since it is the closest connection. The property is surrounded by the COA boundary on two sides and some of the infrastructure that the property would need to connect into is under COA jurisdiction. City water runs along Old Haywood Road and that would be the likely connection. STORMATR: Current stormwater regulations require all stormwater is maintained onsite. The 2002 development did not have the same requirements and stormwater then was proposed to connect into the city stormwater system. 2.2 Correspondence with Metropolitan Sewer District (MSD) of Buncombe County quinox met over the phone with Angel Banks, RO Manager MSD CHANGS SINC 2002: o Some requirements have changed since 2002, but as whole, there are no major changes. An 8 sewer line is now required, but that may have been what was installed originally. o Density would be a decrease from 2002 proposed development density. Therefore, the installed sewer lines designed for the higher density would likely have enough capacity for the target of homes. INSPCTION OF SR SYSTM TH FIRST STP: MSD s number one recommendations is to get an independent inspector out on site to look at sewer infrastructure to determine if it is a functioning system. Factors that may have compromised the system are: o Manhole covers are not secured or have been vandalized, allowing sediment into the system. o Grading had occurred after sewer installation could comprise the system. Soil added could break the line and soil removed could break the line (if heavy vehicles are on top). Any changes to grading may also not comply with MSD requirements for pipe depth.

3 Page 3 of 11 o As a rule, iron pipes can endure more stress and have a lifespan of 50 years. PVC pipes can be damaged if trees were allowed to grow over them. CONNCTING INTO TH MSD LIN: If the system looked at by an independent inspector is deemed viable, the permitting process could be engaged. An MSD inspector would come on site to determine the same findings. Until the permit is approved and, the sewer system is considered a privately maintained system and could not connect to MSD. MSD LIN LOCATION: The closest MSD line appears to run along Old Haywood Road. 2.3 Correspondence with Buncombe County Planning & Development quinox sent a copy of the schematic plan study to Gillian F. Phillips, Planner III for review. Gillian saw no issues with the proposed layout or design. She recommended that if in the future the property owner does want to subdivide the property, they will need to submit for a major subdivision approval before the Planning Board. She also suggests sending a draft plan prior to making a formal submittal. She had initial concerns that the hillside development ordinance would apply, however, we replied that it did not the average slope of the property is less than the required threshold. 3. Analysis of Site ORDINANC ANALYSIS: quinox analyzed both the Buncombe County and COA development ordinances (subdivision, roads, etc). SIT ANALYSIS: o quinox developed a slope analysis (attached) showing the best areas for development on site. o quinox went out on site to determine buildable areas, collect information, and look at existing infrastructure. o quinox analyzed the as built survey to look at installed infrastructure. If infrastructure is reusable, it is best to keep development close/ in line with it. PROTCTING NVIRONMNTALLY SNSITIV ARAS. e recommend keeping the COA parcel (~3 acre) out of development as it is environmentally sensitive and COA ordinances are more restrictive. Steep slopes (above 30%) within the ~22 acre also be set aside as natural area. DVLOPABL ARAS: e recommend developing the Buncombe County parcel (~22 acre), and we feel we able to accommodate for lots within their requirements. ROAD ACC: The main road access to Old Haywood graded for the development is not allowed under County ordinance because it is too steep. The options are:

4 Page 4 of 11 o o Ask for a variance. Look at other viable options for accessing the developable areas of the site 4. Analysis of Ordinances Governance Review of local and state laws include: BUNCOMB COUNTY: The acre parcel lies within Buncombe County and falls under the following regulations: Buncombe County Zoning/ Ordinances: Zone: R 2, Residential. According to the County 1, R 2 is primarily intended to provide locations for residential development and supporting recreational, community service and educational uses in areas where public water and sewer services are available or will likely be provided in the future. These areas will usually be adjacent to R 1 Single Family Residential Districts, will provide suitable areas for residential subdivisions requiring public water and sewer services, and in order to help maintain the present character of R 1 districts, will not allow manufactured home parks. Permitted Uses (Sec ): The following permitted uses (that relates to this project) that are allowed in this zone: Singular family residential (including modular) Planned Unit Development CONDITIONAL Duplex/ Two family residential dwelling Multi family Residential dwelling units (only one building) Subdivisions Accessory Building Private and non profit recreation facilities CONDITIONAL Vacation Rentals Bed and Breakfast Inns CONDITIONAL 1 The Zoning Ordinance of Buncombe County, Chapter 78, Code of Ordinances. Buncombe County. Last amended January 17, Reviewed on December 3, 2013.

5 Page 5 of 11 Dimensional Requirements for R 2 (Sec ): Square Feet: 30,000 (with no water and sewer) 15,000 (with water only) 10,000 (water and sewer) Minimum Land Area Per Dwelling Units Per Acre 2 : 30,000 (with no water and sewer) 15,000 (with water only) 10,000 (water and sewer) Plus 0 for additional detached unit Maximum Number Dwelling Per Unit Acre: 12 units Front Yard / Front Right of way Setback: 20 feet (same for accessory buildings) Side Yard Setback: 10 feet (same for accessory buildings) Rear Yard Setback: 20 feet (10 for accessory buildings) Height of Building: 35 feet Relationship of Building to Lot (Sec ): There should be no more than two principal buildings, in additional to accessory buildings on a single lot. An exception would be in a planned unit development. 2 The minimum land area shall be calculated based on that portion of the lot which is under control of and deeded to the property owner, exclusive of road rights-of-way

6 Page 6 of 11 Buncombe Subdivision Ordinance 3 : Road and Design Standards (Sec ): Major Subdivision (11 lots or more) Road idth: 20 feet Right of ways: Collector or any residential lot frontage road: 45 feet Utility access or alley: 20 feet Minimum cul de sac radius: 50 feet Shared private driveways: 20 feet Horizontal centerline design standards: Minimum centerline radius: 35 feet Road surface widths: Minimum paving width: 18 feet Shoulder (drivable surface): 2 feet each side Turnarounds: T turnarounds, minimum paved perpendicular cord: 60 feet Cul de sac pavement radius: 35 feet Increased widths: foot radius road widths: 25% increase foot radius road widths: 35% increase foot radius road widths: 45% increase >50 foot radius widths: 50% increase Maximum grades: Maximum centerline grade: 18% Maximum steep grade length: tangent grades in excess of 15% shall not exceed 200 feet in length and should have an entrance grade of 15% Road radii less than 90 feet: 15% maximum grade Intersections: Maximum grade of 10% grade on 30 feet of both sides Turnarounds: 10% maximum grade 3 Chapter 70, SUBDIVSIONS, Buncombe County Land Development and Subdivision Ordinance, As Amended

7 Page 7 of 11 Road variances: Reduced widths will be considered as a variance to protect trees and limit impact Private drives: Should be shown for first 20 feet or if traversing a cut/ fill slope Shared private drives: Shared private drives should be constructed by developer up to point of last unit and should conform to minimum standards. Minimum width: 10 feet Minimum width if longer than 300 feet: 13 feet Maximum grade: 20% Hillside development standards (Sec ): This ordinance is not applicable. quinox verified with online steep slope mapper provided by the County and City of Asheville. City the exhibit on the following page related to this.

8 Page 8 of 11 Note: The City of Asheville and Buncombe County share an online slope mapping tool that indicates whether or not a property falls under their respective slope ordinances. Using this tool, it was determined that the steep ordinance does not apply.

9 Page 9 of 11 CITY OF ASHVILL: The 3.73 acre parcel lies within The City of Asheville and falls under the following regulations: Asheville Code of Ordinances 4 : Permitted Uses (Sec , Table of Permitted Uses): The following permitted uses (that relates to this project) that are allowed in this zone: Singular family Accessory apartment (S) Dwelling, Duplex and Triplex (C) Parks and greenways and other recreation uses Homestays / vacation resort lodging (S) Accessory structures (S) Ancillary non residential units (C) Note: among other things, gated communities are prohibited Zone: R 4, Residential Single Family Medium Density District (Sec ). According to the city, the intent of the RS 4 Residential Single Family Medium Density District to establish a medium density for single family dwellings and to stabilize and protect the residential character of the district while promoting a suitable environment for single family living. Non single family development normally required to provide the basic elements of a balanced and attractive residential area is also permitted. Dimensional Requirements for R 4: Square Feet: 10,000 Lot idth Standard: Minimum width of 80 feet Maximum Number Dwelling Per Unit Acre: 4 units Front Yard / Front Right of way Setback: 25 feet 4 Reviewed 12/3/2013 on the online Municode

10 Page 10 of 11 Side Yard Setback: 10 feet Rear Yard Setback: 20 feet Height of Building: 40 feet Landscape and buffering standards (see Sec ). Landscape and buffer requirements TBD based on final design. Sidewalk Requirements (Sec ): All single family residential with more than 20 units, a multi family residential development (more than 10 units), and all new streets or extensions must have sidewalks. If a sidewalk is not required, than a recorded easement must be provided for future development of a sidewalk. The city may waive the requirement in lieu of fee. Required Open Space (Sec ): 20% of land must be dedicated to open space. Open space areas can include (only includes categories that apply to the Mike property): Open water, wetlands, and floodplains Land used for stormwater retention Land available for passive recreation by residents Road and Design Standards (Section 3.00) 5 Right of ways (RO) and Road idths: Residential, cul de sac, or loop street: 50 foot RO, 22 feet width Note: cul de sacs are discouraged Utility access or alley: 30 feet RO, 16 feet width Shared private driveways: 20 feet Driveways: feet wide and minimum 14 feet long Horizontal centerline design standards: Minimum centerline tangent at an intersection: 30 feet 5 As available of City of Asheville Development Services website, under Standard Details and Specifications. Reviewed 12/3/2013.

11 Page 11 of 11 Street offsets: Minimum 125 feet offset from centerline Intersections (residential streets): 30 foot minimum tangent distance Intersections to major streets: 800 feet minimum Offsets of residential streets: 125 feet minimum from centerline Radii for residential street intersects: 25 feet (back of curb), 30 feet when intersecting with a non residential street Curb and Gutter: Required on all streets (Rolled or Valley curb may be used on streets serving less than 20 homes). Sidewalk Requirements: Sidewalks are required on all new developments, but the city may allow for fee in lieu of. Sidewalks may conditionally be waived if greenway like facilities are available.

12 This is a schematic plan only intended to show development potential per Buncombe County ordinance requirements and is not intended for use in construction or permitting. ater Line* Sewer Line* Proposed Lot Lines lectric Line* Setback Requirements Storm Drain* Nature Trail Streams Potential Home Sites * These features were digitized using a survey provided with as built data as of 4/15/2002. All other data is Buncombe County or State supplied. K R C OPN SPAC, TYPICAL NATUR TRAIL ITH 30' ASMNT (OPN SPAC) R ' CRK BUFFR (OPN SPAC) 14 R R C 8 POTNTIAL COMMUNITY SHLTR AY 15 K 7 STABL/BARN Zone: R-2, Residential. According to The Zoning Ordinance of Buncombe County, Chapter 78, Code of primarily intended to provide locations for residential development and supporting recreational, community service and educational uses in areas where public water and sewer services are available or will likely be provided in the future. City of Asheville/ Buncombe County Boundary APPALACHIAN County Ordinance Notes*: Disclaimer Road Radii R35 Property Boundary OPN SPAC SD 2 XISTING BUILDINGS R35 LOG CABIN 1 SD OPN SPAC Note: Ordinances were reviewed from January-April 2014 and are subject to change. OAD SCAL 1" = 250' DR OO Y A H OLD 250 MAIN NTRANC ROAD LAYOUT MTS COUNTY STANDARDS / 7% GRAD AVG. APPROX. LOCATION OF UTILITIS, TYPICAL 3 22' ID ROAD 20' ID SHARD DRIVAY STBACK LINS, TYPICAL 20 4 POTNTIAL HOMSIT, TYPICAL NTRANC GATAY 6 open space. Road and Design Standards- Right-of-ways (RO) and Road idths: Residential roads: - 22 feet width Shared driveways - 20 feet width Maximum centerline grade: 18% Minimum centerline radius: 35 feet (includes cul-de-sacs) R45 Required Open Space: 20% of land must be dedicated to 17 Dimensional Requirements 30,000 (with no water and sewer); 15,000 (with water only); 10,000 (water and sewer). Front Yard / Front Right-of-way Setback: 20 feet Side Yard Setback: 10 feet Rear Yard Setback: 20 feet R35 *See Property Narrative and Property Summary for full ordinance review SCHMATIC DVLOPMNT STUDY Old Haywood Knoll LLC The study for the subdivision follows Buncombe County ordinance requirements and utilizes some of the existing infrastructure on site. The concept proposes 20 lots with an average size of 3 4 acre (30,000 sf), 35% open space with a community trail system and a proposed trail easement as well as creek buffer to protect the existing riparian area. Legend: Study Summary:

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