Mixed-use development rebranded as Blue Hill District

The northeastern edge of Chapel Hill, formerly Fordham-Ephesus District, is rebranding itself as Blue Hill District.  

The newly branded district, Chapel Hill’s mixed-use development, strives to be a place where people have access to everything – living, shopping and dining. The area covers around 180 acres between South Elliott Road, East Franklin Street, Fordham Boulevard and Ephesus Church Road. Around $24,000 was allocated out of Chapel Hill’s economic development budget to market and brand Blue Hill District, said Dwight Bassett, Chapel Hill's economic development officer. 

Bassett said the project was first proposed to Chapel Hill town council in 2011 and there had been little investment in the area in decades. 

Michael Parker, a Chapel Hill council member, said there were two reasons for pushing development in what is now Blue Hill District – improvement of traffic flow and the area’s lack of development. 

The town contributed $10 million to the project for roads and infrastructure to help incentivize developers to get involved, Bassett said. 

In 2014, commercial developers and investors became more involved in the district’s development after a form-based code was adopted. A form-based code is a development regulation that streamlines development proposals to the town manager for approval. 

More than $125 million has been invested in the area through commercial developers including Avison Young, Village Plaza’s Regency Centers, Eastgate Crossing’s Federal Realty, Quality Inn’s Atma Hotel Group and Elliott Square Ram’s Development.  

Parker said the Blue Hill District rebranding will take time for citizens to get used to.

"If those folks who are essentially the owners in the area feel that this will help their businesses and give them something that they can create an identity around, then I’m all for it,” he said.  

Parker said it’s too early to know residents’ reactions to the area’s new development, but there have been some concerns about the Berkshire Chapel Hill, one of the larger developments in Blue Hill District, because of walkability issues. 

"But on the other hand, there are people glad to see the area invested and are starting to see some new retail," Parker said. "In terms of what the built environment looks like, it's really kind of too soon to tell how it's all going to shake out."

Tom Henkel, founding member of the Chapel Hill Alliance for a Livable Town, believes the form-based code was contrary to what the community wanted in 2014. Formed in 2015, CHALT is a grassroots organization that opposes new developments in Chapel Hill that they believe put small businesses and affordable housing at risk. 

Henkel said the original plan proposed in 2011 was a small area plan that called for two to three story buildings with ample green space. 

“They just went ahead and introduced this new code,” Henkel said. “My guess is that it is what the developers wanted but I can’t say for sure. They behaved as though they simply gave in to the developers.” 

Henkel said he's concerned with the proposed buildings in the area, which he believes will exacerbate flooding. The town has stormwater regulation in place but developers have too much autonomy because of the form-based code, Henkel said. He also believes this is problematic because the town will have “inadequate stormwater measures.”

 On the contrary, Bassett said residents are excited about the quality of what is being provided in Blue Hill District.  

“I think it’s a great place,” Bassett said. “I hope that in 10-20 years, we’ll look back at this district and say, ‘That was a really great addition to Chapel Hill.’”  

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