Who is really being hurt by Lexington County subdivision freeze? Realtors speak out
A realtors’ group is opposing Lexington County’s decision this week to temporarily block approval of any new subdivision development, arguing it will hurt homebuyers looking for affordable places to live.
The Central Carolina Realtors Association wrote to Lexington County Council after council members approved a six-month pause in approving most new subdivisions while the county revises its long-term development plan.
“A moratorium to allow for future planning is not a legitimate use of the police powers of the County,” reads the letter from association co-executive officer Taylor Oxendine. “It denies property owners the right to due process of their application for a permit.”
Oxendine argues Lexington County does not have the housing inventory to keep up with current demand, and “the cost of lumber and other materials and a backlogged supply chain continue to limit new home construction and have increased costs substantially.
“Therefore, as prices rise, a moratorium will only harm Lexington County teachers, nurses and public safety workers that need affordable housing to live in this area,” Oxendine wrote.
Lexington County Council Chairman Todd Cullum said he doesn’t believe the moratorium will stop homebuyers from finding a place to live in the county.
“I’ve heard from people in land sales, development, homebuilders, but I haven’t heard anyone say, ‘this will keep me from buying a home,’” Cullum said. “There’s an ample number of lots to build upon.”
He said the council needs to consider broader quality-of-life issues, and that hitting pause on newer developments will allow officials to weigh how the county’s fast-growing population will impact its roads, stormwater infrastructure and public safety resources.
Cullum points out that the building of single homes and subdivisions of less than 10 lots is still permitted during the 180-day moratorium, but more massive housing developments have been postponed. Even then, more than 20 new developments that have already been submitted are continuing through the county’s approval process.
“We had more building permits in the pandemic year of 2020 than we did a year prior,” Cullum said. “And we thought 2019 was a banner year... It’s time to take a break.”
Council members gave the measure initial approval on Tuesday, but stopped subdivision approval immediately under a “pending ordinance” rule. That irked Oxendine, who said the home construction business and the rest of the public didn’t know what a potential moratorium would entail before this week’s council meeting.
The ordinance stops construction of subdivisions with more than 10 lots, subdivisions with lots of less than half an acre, or developments with some “attached land use activities.”
Oxendine warns that a restricted real estate market could drive first time homebuyers out of Lexington County if the existing housing supply becomes unaffordable for middle-income buyers.
“Even a short-term freeze could end up damaging the economy as a whole,” he said. “We already have a severe inventory shortage, and it could get worse over the summer if interest rates go down. So even if it’s short term, it can have an impact because it will take time to restart. It could take six months or longer just to go through the red tape.”
He said the county needs to focus on “smart growth” focused on less developed areas and places that are currently lacking in housing.
Lexington is one of South Carolina’s fastest growing counties, and local governments have been put under stress by the influx of new residents. The county is currently considering expanding curbside trash collection because of increasing use — and associated costs — at a dozen collection sites around the county.
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