A commercially zoned parcel in the northern part of Fountain Hills may soon see some development after being relatively dormant for nearly 50 years.

The Town Council approved a Special Use Permit (SUP) to allow construction of residential apartments within the common commercial (C-C) zoning district on the property at its Sept. 19, meeting. Residential development is allowed within commercial zoning with a SUP.

Developer John Gurczak is proposing to build seven, two-story apartments across three lots at the north end of a parking lot along Ivory Drive north of El Pueblo Boulevard. The three lots provide a parcel that is 11,800 square feet.

“The (developer) is proposing to construct a building on the property that will have seven, two-story apartments. Each apartment is approximately 1,656 square feet in size,” development Services Director John Wesley said in his staff report to the council.

Wesley also said the town’s R-5 zoning district allows the most density for multi-family housing. He added that under that zoning just six units would be permitted on this parcel.

“The density gives me pause,” said Councilman Allen Skillicorn. “This is higher than what is in this area. I’d like to see something here, but this is too dense.”

The density is what makes the project attractive to Vice Mayor Sharron Grzybowski.

“We have a housing problem,” Grzybowski said. “The density is what makes the units more affordable.”

The neighbors who provided input were in support of the residential.

“The neighbors say they do not want commercial on this property,” Councilwoman Brenda Kalivianakis said. “This fits this property.”

The garages for the planned apartments would be accessed from an alley crossing the property with 15-foot drives. In its recommendation to the council the Planning and Zoning Commission included a stipulation that the driveways be extended to 18 feet and the alley be paved by the developer. Both were agreed to.

The total block bounded on three sides by Ivory Drive and El Pueblo and Glenbrook boulevards is approximately 7.2 acres. It was zoned for C-C when platted in 1973 under Maricopa County jurisdiction. The initial building on the parcel was constructed prior to 1986, with additional development added slowly. There has been no new development in the tract since 2004.

Earlier this year the council approved a mixed-use plan for a commercial building with residential on the second floor. Gurczak, who is also the developer of that project and said he recently received the building permit to allow construction to begin at the corner of Ivory and El Pueblo. However, Gurczak noted he has experienced some delays related to utilities on that project, so he now expects construction on the two to be simultaneous.

Rod Wavembuorg who is president of the Tract 106 property owners’ association also spoke to the Planning and Zoning Commission as a representative of the POA. He said they have no specific objection to the plan, but he made it clear that the property owners in the tract want it to remain commercial zoning. He said their biggest concern is protecting the integrity of their CC&Rs and bylaws which have no provision for allowing residential uses. It should be noted that the town has no say in association bylaws and the POA has no input regarding town ordinances or regulations. If a property owner does something the POA objects to but permitted by the town it is an issue between the specific owner and the association.

The council has also recently approved a SUP for 10 residential units on commercial property at Fountain Hills and Glenbrook boulevards, which is near this property, but not part of the same tract.