Developer barely clears crucial hurdle to build high-end senior apartments in Dunwoody

This is a rendering of 84 Perimeter Center that was previously presented to the Dunwoody Planning Commission.

Credit: JSJ Perimeter

Credit: JSJ Perimeter

This is a rendering of 84 Perimeter Center that was previously presented to the Dunwoody Planning Commission.

By a thin margin, a Perimeter-area property was rezoned to make way for a large, high-end apartment complex for people 55 and older.

The Dunwoody City Council voted 4-3 to rezone the 2.9-acre property, clearing the way for the development project by JSJ Perimeter LLC. The land, located off Ashford Dunwoody Road and Perimeter Center East, was the expectant site of a new hotel for more than a decade, but the COVID-19 pandemic changed the developer’s intentions.

Three councilmembers had reservations about a hotel site becoming senior living apartments, but they were outvoted Monday night. Councilman Tom Lambert questioned whether the developer would honor its pledge to focus on senior housing.

“The age restriction on this is nothing more than a Trojan horse,” Lambert said during the meeting. “It’s nothing more than a way to get apartments into the city that the developer knows that we otherwise would not approve.”

John DiGiovanni, a representative for the Sandy Springs-based developer, previously said in a Dunwoody Planning Commission meeting that the age restriction aspect was added to make the project more appealing to the city, which rarely approves new residential housing projects.

DiGiovanni said JSJ Perimeter would violate the city’s rezoning agreement if the apartment complex becomes general-use and not primarily for seniors. The project isn’t for low-income communities, so it’s not tied to Department of Housing and Urban Development financing.

He added that removing the age requirement would violate several costly agreements, such as the developer’s mortgage and a $7 million tax abatement from the Dunwoody Development Authority. City attorney Bill Riley told the worried councilmembers that they’d be able to fine the developer up to $1,000 a day or threaten jail time if the age restriction is dropped.

“With this kind of money and these kind of consequences, you can be assured that there will be vigorous defenses and it’ll be a fight,” Riley said. “But that is the methodology in which you enforce your zoning ordinances and your conditions.”

The previously proposed 84 Perimeter Center Hotel, an 11-story tower with 160 rooms, was in the works for the site since 2008, which was just before Dunwoody was chartered as a city. JSJ Perimeter said the pandemic’s effects on the travel industry meant it was no longer economically viable, shifting plans to mixed-use and residential.

The developer’s new plans include constructing a 14-story apartment complex with 225 units in Dunwoody’s bustling retail center. The high-end, age-restricted housing project would also include amenities such as a bocce court, pet spa, a Peloton gym and a game room featuring virtual golf.

The developer would reserve 80% of the units for people 55 years and older, which is the minimum federal requirement for age-restricted living. City staff and HUD will keep track of that regulation, according to Dunwoody’s spokeswoman. More than 43,000 square feet of retail and commercial space is also included in the project, along with a five-level parking deck.

Councilman John Heneghan said the project ticks all of the city’s boxes for a new development.

“It’s senior living. It will not effect our schools,” he said. “It’s a housing type we do not have, and I look forward to moving forward with this project, which seems to meet all of our other recommendations.”

However, Lambert and councilmembers Stacey Harris and Joe Seconder voted against the rezoning and most of the developer’s requested special land use permits needed to bypass city code requirements.

Among those code variances was an increase to the project’s impervious coverage, meaning more artificial surfaces can be installed. Impervious coverage limits are intended to help stormwater runoff and prevent strain on drainage infrastructure.

“My fear is that if we continue to do this, we’re going to become a sea of concrete in the Perimeter area,” Lambert said. “If there’s one thing this past year has taught us, it’s the value of outdoor spaces and greenspace.”

The developer was given a two-year timeline to apply for a land disturbance permit, which would allow construction to begin. The city will revoke the rezoning if that deadline isn’t met.

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