Placement: Resolutions
Action Requested: Motion / Vote
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Resolution 25-R58, a Resolution of the City of Port St. Lucie, Florida, Providing for the First Amendment to the Annexation Agreement Between the City of Port St. Lucie, a Municipal Corporation of the State of Florida (The “City”), and Lulfs Groves, LLLP, a Florida Limited Liability Limited Partnership (“Lulfs) (P25-062)
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Submitted By: Bridget Kean, Deputy Director, Planning and Zoning
Strategic Plan Link: The City's Goal of Strategic Growth for a Resilient Future.
Executive Summary (General Business): This application for the first amendment to the annexation agreement for Lulfs Grove is associated with the application for a large scale comprehensive plan amendment for the property known as Lulfs Groves (P22-336). Lulfs Groves is a ±464 acre property that is located off of Glades-Cut Off Road, immediately south of the City’s Glades Wasterwater Treatment Plant. It was annexed into the City in 2008 and is subject to an executed and recorded annexation agreement that establishes Lulfs Groves as a primarily non-residential development with industrial, commercial, and institutional entitlements. It limits Lulfs Groves to 500 dwelling units.
In November 2022, the City received an application from Lucido and Associates, acting as the agent for Lulfs Groves, LLLP, for a large scale comprehensive plan amendment to change the land uses from industrial/commercial to primarily low density residential development. A transmittal hearing on the proposed comprehensive plan amendment, P22-336, was held on January 22, 2024. The amendment was approved for transmittal to the state land planning agency for review. The staff recommendation was for denial due to city staff’s concerns about the conversion of industrial and commercial land for additional residential development, the potential incompatibility of residential development adjacent to the City’s Glades wastewater treatment plant, and other concerns.
Following the transmittal hearing, City staff has been working with the applicant on a proposed amendment to the annexation agreement to reflect the revised land uses and entitlements and other changes. Staff did not bring forward the annexation agreement until after the transmittal hearing because the applicant had not submitted the amendment. The applicant stated that the property was under contract and they did not want to negotiate changes to the agreement before Council action on the transmittal hearing.
The applicant has requested that the City hold the adoption hearing for the associated proposed comprehensive plan amendment, P22-336, on September 22, 2025. Therefore, the proposed amendment to the annexation agreement is scheduled for the same meeting. The City Council should act on the proposed amendment to the annexation agreement prior to Council action on the associated comprehensive plan amendment.
Although City staff and the applicant have been negotiating changes to the annexation agreement for over a year, there is still no consensus on certain roadway requirements and certain utility requirements as further described under the Issues/Analysis section of the agenda memo. In addition, City staff does not support the proposed comprehensive plan amendment, P22-336, based on the analysis and findings in the staff report and City staff’s presentation at the January 22, 2024 City Council transmittal hearing. Staff does not support the applicant’s proposed amendment to the annexation agreement.
Presentation Information: Staff will provide a short presentation if requested by Council.
Staff Recommendation: Move that the Council not approve the proposed amendment to the annexation agreement.
Alternate Recommendations:
1. Move that the Council table the item and provide staff direction.
Background: The executed annexation agreement reflects the property’s existing industrial and commercial land uses of 90 acres of Commercial Service/Light Industrial/Heavy Industrial (CS/LI/HI), 311.50 acres of Commercial Service/Light Industrial/Residential, Office and Institutional (CS/LI/ROI), and 63 acres of Commercial General/Residential, Office and Institutional (CG/ROI). It provides for up to 2 million square feet of industrial uses and up 600,000 square feet of commercial, office, and institutional uses. It limits residential development to a maximum of 500 units. The proposed amendment to the annexation agreement replaces the currently approved land uses with 397.89 acres of Low Density Residential (RL) land use, 34.25 acres of General Commercial/Commercial Service/Institutional (CG/CS/I) land use, 13.93 acres of Open Space Recreation (OSR) land use, and 18.43 acres of Open Space Conservation (OSC) land use. It removes all industrial entitlements and caps residential development at 1,350 residential units (an increase of 850 units).
Issues/Analysis: In addition to updated land uses and entitlements, the proposed amendment to the annexation agreement updates required infrastructure improvements for utilities and city and county roadways. It includes new landscape buffer requirements for residential development near the City’s Glades WWTP, and it memorializes the public benefits the applicant stated the project would provide. This includes the dedication of a twelve (12) acre site for a future public park, the dedication of a five (5) acre civic site for a future fire station and other civic uses. The amendment requires the home builder/developer include a disclosure form with every purchase agreement and at the closing of each sale of a residence to notify the purchaser of the adjacent wastewater treatment plant.
Utility Requirement - Compensation for Gate Construction
The amendment also includes a requirement for the developer to pay the City One Hundred and Fifty Thousand Dollars ($150,000.00) for the installation of a motorized gate and/or system of gates to prevent unauthorized traffic from McCarty Road onto the City’s Glades WWTP access driveway. The subject property abuts the City’s Glades WWTP driveway to the north. The gates are intended to stop drivers, including construction trucks and future residents, from using the driveway to access the property. The Utility Systems Department wants the fee to be paid within 180 days of the effective date of the annexation agreement. The applicant is proposing the fee be paid 180 days after the approval of the PUD rezoning of the property.
Roadway Requirements - Right-of-Way Conveyance and Roadway Improvements
The proposed amendment to the annexation agreement includes requirements for Lulfs to design and construct, at its expense, two (2) on-site travel lanes of the extension of McCarty Road between the northern boundary of the Property and the connection with Burnside Street at the southern boundary of the Property and to construct, at its expense, two (2) on-site travel lanes of E/W 6 (Astoria Blvd.) from Glades Cut-Off Road to the western boundary of the Property. City staff’s proposed revisions identified these two roadways shall be be designed as two lane divided roadways and configured to accommodate future 4-lane roadways.
The City’s revisions included additional text to state that these two roadways are intended to provide site related access to future uses within the development. The Lulfs Groves team objected to and removed “site-related” from the roadway improvements for McCarty Road and E/W 6. The Lulfs team objected to the language stating that the text would arguably make these improvements ineligible for mobility fee credits, even if the City changes the mobility plan to allow credits for the first two lanes. It’s Lulfs position that these roadways are not “site related” improvements but are part of the City and County Road networks. The Lulfs team also removed the City requirement that McCarty Road through the property be designed as a two-lane divided roadway.
The Lulfs Groves team also deleted the city recommended right of way widths of 150 feet for arterial roadways and 135 feet for collector roadways. Instead, Lulfs is proposing right of way widths of 135 feet for arterials and 100 feet for collectors. The existing annexation agreement for Lulfs Groves requires a 150-foot-wide right-of-way for arterials. Lulfs wants to reduce it to 135 feet for arterials.
The applicant’s proposed 1st Amendment to the annexation agreement is attached as Exhibit “A” of the resolution.
A redlined copy of the applicant’s revisions to City staff’s recommendations is included in the submittal packet as Attachment “A” and the executed 2008 annexation agreement is provided as Attachment “B”.
Financial Information: N/A
Special Consideration: N/A
Location of Project: The property is generally located on the west side of Glades Cut Off Road, east of the C-24 Canal and south of Midway Road.
Business Impact Statement: N/A
Attachments:
1. Resolution
2. 1st Amendment to the Annexation Agreement Between the City of Port St. Lucie and Lulfs Groves, LLLP
3. Application and Cover Letter
4. Attachment “A” Redlined Version of 1st Amendment to the Annexation Agreement Between the City of Port St. Lucie and Lulfs Groves, LLLP
5. Attachment “B” Executed and Recorded Lulfs Groves Annexation Agreement Between the City of Port St. Lucie and Lulfs Groves, LLLP
6. Staff Presentation
NOTE: All of the listed items in the “Attachment” section above are in the custody of the City Clerk. Any item(s) not provided in City Council packets are available upon request from the City Clerk.
Internal Reference Number: 25184-01
Legal Sufficiency Review:
Reviewed by Elizabeth L. Hertz, Senior Deputy City Attorney. Approved as to Legal form and sufficiency by Richard Berrios, City Attorney.