The city of Bee Cave, Texas, is in a legal battle over the construction of a large industrial business park located in its extraterritorial jurisdiction (ETJ). This proposed development, known as the West Austin Business Park, is creating a stir among city officials and residents, who are concerned about the impact it may have on traffic, noise, and the overall character of the area.
In a recent court filing, Bee Cave officials claim they were deliberately misled about the intentions behind the industrial park development. The city says that the developers of the site, Velocis, a Dallas-based firm, kept key information from them for over a year, leading to concerns about the potential for “irreparable harm” to the community. Bee Cave’s filing states that the developers did not provide complete information regarding the project, which is set to be a 270,000-square-foot facility with 80 bays for various businesses.
Bee Cave alleges that Velocis intentionally withheld information, only sharing it in an incomplete manner, which the city believes was done to create a misleading narrative of good intentions. Velocis, however, maintains that the project complies with current regulations, asserting it is entitled to proceed without needing to adhere to zoning laws as the area falls outside the city limits.
The developers purchased the land in 2023 from WS-COS Investments LLC and argue that their plans align with the urban area’s commercial usage guidelines. They are seeking to find a resolution that will be acceptable to both them and the city, but agreement appears elusive.
A significant point of contention is a 2015 development agreement between Bee Cave and WS-COS Investments, which proposed a mix of residential and commercial development on the 23-acre tract near State Highway 71 and Sweetwater Village Drive. Bee Cave officials argue that the agreement was violated when the industrial park was proposed, and they claim that any development proposals ought to have been relayed to the city and the Design and Review Committee.
Further complicating matters, Eppright Homes, a local homebuilder involved in the nearby upscale Madrone Canyon neighborhood, has expressed frustration regarding the lack of transparency surrounding the business park development. According to Chief Financial Officer Katie Zunker, her company received misleading information, leading to concerns of deception on the part of the developers. “I think there was deception that went on,” Zunker stated. “I think that they were hiding everything, keeping it quiet, close to their vest.”
Zunker conveyed that sales have reportedly been put on hold because of the construction activity in the area, and she believes that the only solution to the situation is the demolition of the industrial park.
Bee Cave is set to discuss the ongoing litigation further during its upcoming city council meeting on September 24. This decision could have significant implications for the future of the West Austin Business Park and the surrounding community.
The stakes are high as Bee Cave navigates this situation, balancing the interests of economic development against the needs and desires of the local population. With tensions rising, the outcome of this lawsuit remains a focal point for the community as they seek to protect their area’s character and quality of life.
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