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Gilbert Town Council delays decision on mixed-use development

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The Gilbert Town Council voted Tuesday to continue until May 20 a decision on Mill Creek Residential's request for a minor general plan amendment and PAD rezoning for the proposed Modera Gabriella Pointe mixed-use development.

The project, which would combine residential and commercial uses, has drawn both interest and skepticism from the council but town staff recommended denial.

Mill Creek Residential is seeking approval to develop a 14.99-acre site located south of the southeast corner of Higley and Warner Roads, within the northeast section of the Gateway Character Area. The proposal includes:

  • A minor general plan amendment on 10.53 acres of the site, changing its land use designation from regional commercial to residential with a density of 25 to 50 dwelling units per acre;
  • A rezoning request for the entire site, changing the rear 10.53-acre portion from regional commercial to multifamily residential high with a planned area development overlay, while the 4.46 acres fronting Higley Road would be rezoned to regional commercial with a PAD overlay.

The proposed development would feature:

  • A three-story mixed-use building along Higley Road with 15,000 square feet of commercial space on the ground floor and residential units above;
  • A pedestrian bridge connecting the commercial area to the residential section;
  • Four apartment buildings with 335 units, nine garage buildings and surface parking;
  • An average of 31% open space between the commercial and residential portions together.

Staff’s concerns

Town staff recommended denying the requests, citing two primary concerns: the loss of regional commercial land and the oversaturation of multifamily housing in the area, Senior Planner Keith Newman said.

According to the 2020 general plan, this area is intended for office, light industrial and commercial activities that serve the surrounding neighborhoods, not more multifamily residential development.

Newman said preserving regional commercial zoning is essential for Gilbert’s long-term economic vitality, as only 1.7% of regional commercial land in the town remains vacant.

He added that the area already contains a high concentration of multifamily housing, with 991 existing units within a half-mile radius.

The proposed project would add 335 more units, increasing the total to more than 1,300 units, making it the most concentrated area for multifamily housing in Gilbert outside of Cooley Station Village Center.

Mill Creek’s justification

Mill Creek Residential defended the proposal, arguing that it represents the best and most viable use for the land.

Its attorney, Brennan Ray, said that current commercial zoning is unlikely to attract major anchors due to market conditions and changing consumer habits.

“We believe that what we are proposing is the highest and best use,” Ray said.

He highlighted the shifts in retail trends since the COVID-19 pandemic, which have reduced the demand for large-scale commercial developments.

According to Ray, the proposed mixed-use project would stimulate nearby commercial growth by increasing the local population and spending power.

Mill Creek also presented traffic data suggesting that the development would generate fewer vehicle trips than a fully commercial development.

However, this information was only submitted to the council shortly before the meeting, giving town staff no time to verify or challenge the data, a point of concern for staff and council members.

Council’s concerns and decision

Several council members voiced concerns over the loss of commercial land and the timing of the traffic study submission.

Councilmember Chuck Bongiovanni expressed hesitation about converting commercial property into multifamily housing, especially after the Arizona Legislature removed the rental tax, which reduces the town’s potential revenue.

“Why would this council ever approve taking away commercial property for a multifamily apartment?” Bongiovanni asked, noting that the development would no longer generate rental tax revenue.

Other council members expressed frustration over the lack of time for staff to review Mill Creek’s traffic data. Councilmember Kenny Buckland noted that the data was presented to him two weeks before the meeting, but staff only received it on the day of the meeting.

“I want our team to be able to collaborate over the same data so that we can make smart decisions,” he said. “And I think getting it to them five hours before this meeting is just too late.”

Next steps

After Councilmember Yung Koprowski first broached the idea of continuing the matter for further staff review, Mill Creek Residential requested a two-month continuance, and the council voted unanimously to do so.

This delay will give both the applicant and town staff more time to review the project thoroughly, particularly the traffic study and the potential impacts on the surrounding area. However, Planning Manager Eva Cutro said she was unsure if two months would be adequate or not.

Mill Creek agreed to use the extra time to conduct further analysis and address the council’s concerns.

“We believe that in light of the (council) discussion, the dive needs to go deeper into what it is that we’re proposing,” Ray said.

We would like to invite our readers to submit their civil comments, pro or con, on this issue. Email AZOpinions@iniusa.org. Tom Blodgett can be reached by email at tblodgett@iniusa.org or follow him @sp_blodgett on X.

Modera Gabriella Pointe, Gilbert Town Council, Mill Creek Residential, Keith Newman, Brennan Ray, Chuck Bongiovanni, Kenny Buckland, Yung Koprowski, Eva Cutro

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