Arial - Foster - Elljean Plants

Last year the county council voted 4 to 2 give a 15 year property tax break to a private developer of the old Arial Mill and the developer planned to turn it into 205 apartments (see item 2). I voted "No" on the tax break. In general I am opposed to giving property tax breaks to residential developers who will bring-in hundreds of new residents, who will use county services and yet will not pay close to their fair share for the services because of their special tax cut.

The developers had already secured a 20% federal tax credit, a 10% state tax credit, and 25% textile building tax credit. That’s over 55% off their construction costs. It is also an opportunity zone, so there is no capital gains tax if they hold the building 10 years or more and then sell it. And the developers asked for a county tax cut on top of it too.

A couple neighbors over there called me and said they’ve seen no activity at the site, and asked what was going on there. I called the planning department and asked about the status of permits. Over the past 14 months the project received storm water approval, applied for a development permit, was issued an electrical permit for 200 amp service and issued a demolition permit for inside the plant. The engineer states he does not believe the project is moving forward at this time. I don't know if it is only stalled or shelved totally.

I was also asked about the site of the former Foster and Elljean plants. The rumor was a big subdivision or apartments are going to be built there. I contacted the county planning department and no construction permits have been applied for or issued for the land. I don't know more than that. What I do know is we on the county council recently passed an ordinance that raised minimum lot sizes for new subdivisions to ½ acre, 1 acre or 2 acres depending on the area. Most of what is above SC 183, is a 2 acre minimum lot with 50% open space on new subdivisions, in order to protect the natural resources and wildlife up there. The area where the Foster and Elljean plant was is 1 acre minimum lot sizes and 40% open space.

Using round numbers, let’s say there is a 100 acre tract. Forty percent or 40 acres has to be open or not used. That would leave 60 usable acres. Of that 60 acres, about one-third or 20 acres would be needed for roads, sidewalks, curb, gutter and stormwater. That would leave 40 acres that could be sold and developed. So with the new rule of 1 acre minimum lot sizes, only 40 homes could be built per hundred acres. That is much lower housing density for sure. In contrast, in the city of Easley, with their rules, they’d build 275 homes on 100 acres.County-wide we put a 6-month moratorium on building new apartment or town homes complexes or RV parks. None of that can be built there until the council reviews those rules and housing densities.

I would bet higher mortgage rates have something to do with it. Before at 3.5% mortgage, the monthly mortgage payment plus taxes and insurance on a $200,000 home was $983. Today at 7.25% rates that payment is $1,403. Housing investment and sales have slowed as a result.