Powell Place Residential Development Rezoning Advances in Holly Springs (NC) After Public Hearing; Traffic and Infrastructure Impact Question Addressed
Town officials reviewed a mixed-housing proposal south of Honeycutt Farm, focusing on traffic impacts, road improvements, housing mix, and whether the plan meets long-term growth goals.
Holly Springs, Jan. 25, 2026 — Town Council held a legislative public hearing last Tuesday (Jan. 20th) on a proposed rezoning request for Powell Place, a residential development planned for approximately 32 acres along Rouse Road, south of the Honeycutt Farm subdivision.
The request, formally titled 25-REZ-02 (document), seeks approval for a Neighborhood Residential Conditional District (NRCD) zoning designation, which would allow a mix of townhomes and single-family homes on the site. The proposal now moves to the Planning Board for review before returning to the council for a final decision in February.
Location and Zoning Context
The property is located at 7051 and 7121 Rouse Road (map), immediately south of Honeycutt Farm and east of existing residential development. It is currently zoned Rural Residential (RR) and designated for Mixed Residential use in the town’s comprehensive plan.
Planning staff explained that the mixed residential designation is intended to support a range of housing types while allowing transitions in density, with smaller lots typically placed toward the center of a development and larger lots along its edges.
The rezoning request would allow the project to proceed under a conditional district framework, meaning that all development standards would be legally binding if approved.
Development Layout and Design
The Powell Place proposal includes fewer than 100 homes and is designed around a mix of housing types:
Rear-loaded townhomes
Rear-loaded single-family homes
Front-loaded single-family homes
The townhomes and smaller-lot homes are concentrated toward the center of the site, while larger detached homes are placed around the perimeter to better transition to the surrounding neighborhoods.
The development also includes:
A central stormwater pond designed as a recreational amenity
Enhanced perimeter buffering
Greenway connections linking to the existing Honeycutt Farm sidewalk network
Internal public streets, with private alleys serving rear-loaded units
Town staff noted that the current plan reflects multiple revisions made since the project was first introduced, including changes to lot layout, open space configuration, and infrastructure placement.
Changes to the Rezoning Area
One of the more significant revisions involved reducing the rezoning boundary. An exempt subdivision was used to remove frontage along Rouse Road from the development area, leaving that portion under separate ownership.
Town staff said this change was prompted by concerns about roadway access, topography, and long-term development constraints, particularly related to stream crossings and frontage improvements.
While the revised layout reduced the amount of land to be rezoned, it also limited the extent of road improvements required as part of the project.
Infrastructure and Utilities
Town engineering staff reported that:
Water and sewer service will be extended from the existing infrastructure in Honeycutt Farm
A downstream sewer capacity analysis confirmed adequate capacity
A new water main will be installed along Rouse Road
The project qualifies under the town’s Water Resource Management Policy
As part of that policy, the developer committed to:
Constructed wetlands instead of traditional stormwater ponds
Sustainable building practices, including Leadership in Energy and Environmental Design (LEED) certification for homes
The project is classified as a Priority Level 2 residential development under the town’s utility allocation system and has sufficient allocation capacity for its projected buildout.
Traffic and Road Improvements
Traffic impacts were a central focus of the hearing. A site-specific traffic analysis identified several required improvements, including:
A right-turn lane on Spence Farm Road
Left- and right-turn improvements at the Rouse Road and Piney Grove–Wilbon Road intersection
Approximately 600 feet of road widening along Rouse Road
Town staff noted that, while additional roadway improvements were requested during review, constraints related to stream crossings and property ownership limited the extent of improvements that could be required as part of this rezoning.
The council was asked to consider whether the proposed transportation improvements sufficiently mitigate the project’s impact under a legislative rezoning standard.
Developer Presentation
Representatives for the applicant, KB Home, told the council the project was designed to align with the town’s comprehensive plan and provide a broader mix of housing options in southern Holly Springs.
They noted that:
The project introduces townhomes to an area currently dominated by single-family development
Nearly half of the site will remain as open space or a protected environmental area
Housing prices are expected to range from the low $300,000s to the low $500,000s
The development is under three units per acre
The applicant also explained that additional roadway widening along Rouse Road was not feasible due to cost constraints and the limited number of homes under construction.
What Happens Next
The Powell Place rezoning will next be reviewed by the Holly Springs Planning Board on January 27th. The board will issue a recommendation before the proposal returns to the Town Council for a legislative vote scheduled for February 17th.
If approved, the project would proceed to detailed engineering and subdivision review before construction could begin.