Developer closes on transit-friendly mixed-used development site in DeLand
By Tyler Williams
GrowthSpotter
April 5, 2024 at 4:57 p.m.
Luxer Development, hoping to move forward a project that has been in the works for years, recently purchased a large development site within walking distance of the future DeLand SunRail Station.
Starlight Homes, a subsidiary of homebuilder Ashton Woods, will be the homebuilder behind a portion of the large, mixed-use development. The project, called The Villages at Pelham Square, is located along Grand Avenue, to the south of New York Avenue West. The property consists of 123 acres situated to the east of the DeLand Amtrak Station, which is expected to begin SunRail service this summer after work began on the extension in May 2023.
The plans for the property call for 13 acres of commercial space, and a total of 646 residences, including 210 townhomes, 112 single-family homes, and 324 multifamily units. Property records indicate that Starlight Homes purchased 322 lots from Luxer Development for $8.1 million, closing on April 5. This transaction came three days after Luxer Development closed on the larger, 123-acre community for north of $10 million, acquiring the land from the previous owner, Orlando-based Sentinel Capital Holdings, which purchased the community in December 2021.
Shaman Foradi, Co-founder of Luxer Development, told GrowthSpotter that his company is the developer behind the multifamily and commercial portions of the project, but that he can’t provide a timeline for when construction will begin construction because his team is still working on approvals and ironing out some details. While Volusia County approved a rezone of the property in 2021, the County still needs to approve specific aspects of the development.
“We contracted to purchase the Pelham Square property a few months back and agreed to continue to work with the engineering firm that had been working on this project to bring back to life a mixed use project that had been struggling through some approval challenges in the past,” he said. “The project consists of several phases. As to the residential section, there are 112 single-family lots and 60 rear-loaded townhouse lots in the first phase, 48 townhouse lots in the second phase, and 102 front-loaded townhome lots in the southwest phase. The multifamily section is approved for up to 324 units. And finally there are eight commercial pads which front directly on to New York Avenue”.
“We certainly need to go through some approvals on [the multifamily]. Same thing with the commercial”, he continued. “We’re going to eventually develop the commercial. We’re looking to see what we can do with it as far as individual pads or build to suit”.
Foradi said that the location of this project made it an ideal place for investment, with close proximity to the future SunRail station and downtown DeLand, as well as the inclusion of commercial space fronting New York Avenue. The property will also include walking and jogging trails that connect to the transit station, as well as 65 acre of conservation green space. Additionally, Foradi mentioned that he is excited to partner with Starlight Homes on the project, explaining that he wanted a homebuilder that can build a variety of different home products.
“We’ve done a number of projects with them before”, he explained. “Starlight has the flexibility to build these kinds of products so we thought it would be a good fit,” he said.
Wohlfarth Consulting Group is the engineering firm working on the project.
The Villages at Pelham Square has been in the works for years. Richard Wohlfarth of Wohlfarth Consulting Group, previously initiated a request to rezone the property from A-3 (Transitional Agriculture) and I-1 (Light Industrial) to Planned Unit Development (PUD). In September 2021, the Volusia County Council formally approved Wohlfarth’s requested rezoning, despite notable opposition from many members of the public.
During the September 21, 2021 meeting, five members provided public comments on the project. Only one spoke in favor, calling it a “great compromise” with reasonable density given that the land has access to the future SunRail station. The remaining four community members expressed opposition and even disdain toward the project, citing concerns over traffic, overcrowded schools, and neighborhood character. One member called the proposed project “disgusting”, with another blaming developer greed and the influence of money.
The opposition to the rezoning was strongest among longtime Volusia County residents, who have seen the county’s population explode in recent years. Between 2000 and 2023, the county’s population grew 33% from approximately 443,000 to 590,000, according to U.S. Census data. Between 2020 and 2023 alone, Volusia County grew by 6.7%, compared to the 1.0% national population growth rate during the same period.
One way Volusia County officials plan to accommodate this explosive growth is by guiding more development to the area surrounding the future SunRail station, which at this point still has a somewhat rural feel to it.
County Chair Jeff Brower, when talking to Wohlfarth during the September 2021 meeting, said that The Villages at Pelham Square aligns with the County’s vision for the SunRail area. However, he explained that the developer has a large responsibility to get things right for the people living in the surrounding neighborhoods, as this will be the first of many developments to rise near the DeLand Station.
“You’ve probably heard me say that we are going to have multimodal developments around the train station and future SunRail. You have the first crack [at it]. You have to set the standard because this council can’t do something halfway. Just have an eye towards towards the people of the area. It’s going to be on all of us if we have destroyed one of the most beautiful streets in [the county], West Grand Avenue”, he cautioned. “You have to set the standard for what’s coming afterwards”.
Wohlfarth, for his part, explained that he understands the concerns of residents, which is why the rezoning and development included a relatively moderate density compared to what was allowed.
“What we can say very comfortably is we’re at the bottom level of the minimum [density]. We’re now at 160% of the minimum, which is like 33% of the maximum. So we’re developing this under the criteria established by the comp plan”.
He also explained that other measures were taken to ensure minimal disruption to neighbors, including the preservation of wooded land on the eastern and western edges of the property, and the expansion of Grand Ave., which the developer will pay for. Additionally, there would be major financial benefits to the County, which include over $1.5 million in annual tax income to Volusia County, as well as $6.5 million in total impact fees.
Ultimately, the County Council approved the rezoning during the meeting. However, as Foradi said, Luxer Development still needs to gain formal approval for the master plan before the project can move forward.
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