Historic Preservation Commission

MINUTES HISTORIC PRESERVATION COMMISSION December 14, 2016 City of High Point Municipal Office Building City Council Chambers 6:00 p.m. MEMBERS PRESENT: Julius Clark, Chair Janet Catania Jerry Mingo Glenn Chavis Gloria Halstead Tom Lugarich Dories Patrick MEMBERS ABSENT: STAFF PRESENT: Bob Robbins, Development Services Administrator David Fencl, Senior Planner Patricia Evans, Recording Secretary The meeting began at 6:00 p.m. in City Council Chambers. A. Call to Order and Determination of Quorum Mr. Clark determined that a quorum was present and called the meeting to order. B. Approval of November 9, 2016 Minutes of the Historic Preservation Commission Ms. Halstead made a motion to approve the November 9, 2016 minutes as presented. The motion was seconded by Ms. Patrick. The minutes were approved by a vote of 7-0. C. Public Hearing Items D. Gray Angell, Jr., Trustee of the Amended and Restated Don G. Angell Revocable Trust 1013 Johnson St. CA-16-09 A request to demolish the Carter Dalton house, fence and storage shed. David Fencl, Senior Planner, presented Certificate of Appropriateness application CA-16- 09 and noted the following in his presentation:  The house caught on fire in mid-January 2013 and suffered extensive damage.  Historic Preservation Commission Minutes December 14, 2016 Page 2 of 8  The owner, Don G. Angell, Sr. passed away on January 31, 2013. Upon his death, ownership of the property transferred to the Amended and Restated Don G. Angell Revocable Trust. The Trust stated in their application that they did not have the wherewithal to attempt to reconstruct the house and they have made efforts to sell the house and land.  One potential buyer of the property went through the process of obtaining a Certificate of Appropriateness in September 2014 to repair and restore the exterior, demolish a portion of the house and build a new addition. The buyer was unable to obtain financing following the approval. According to the applicant, following the potential buyer’s withdrawal, there have been no other serious offers.  The Development Ordinance states that an application for a Certificate of Appropriateness authorizing the relocation, demolition or destruction of a designated landmark or a building, structure, or site within the district may not be denied except as provided in Section 9-4-4 (b)(7) which states that the effective date of a Certificate of Appropriateness may be delayed for up to 365 days from the date of approval. The maximum period of delay authorized shall be reduced by the Historic Preservation Commission where it finds that the owner would suffer extreme hardship or be permanently deprived of all beneficial use of or return from such property by virtue of the delay. During such period, the Commission shall negotiate with the owner and with any other parties in an effort to find a means of preserving the building or site. If the Commission finds that a building or site within a district has no special significance or value toward maintaining the character of the district, it shall waive all or part of such period and authorize earlier demolition or removal.  The Design Review Guidelines states that demolition, or total destruction, of historic properties is not encouraged. The Guidelines state that the purpose of the 365 day waiting period from the time a written request is presented to the Commission until the time the demolition may occur is to give the Commission adequate time to explore every alternative to demolition of the building.  The guidelines state that in the following instances demolition in Historic Districts is not allowed: 1. The demolition of any building, or object within a historic district prior to applying to the High Point Historic Preservation Commission for a Certificate of Appropriateness. 2. The demolition of any building or wing of a building without Commission approval of a building or landscaping plan that treats the void created by the proposed demolition.  The applicant’s property is currently zoned Residential Single Family – 7 (RS-7) and will transition to Residential Single Family -5 (R-5) when the new Development Ordinance becomes effective on January 1, 2017. Only uses that are permitted in these single-family districts will be permitted.  Historic Preservation Commission Minutes December 14, 2016 Page 3 of 8  If the applicant’s demolition request is approved and the structures are removed the applicant’s property is still located in the Johnson Street Historic District and any changes or improvements to the site will require an approved Certificate of Appropriateness.  The Historic Preservation Foundation of North Carolina (Preservation North Carolina) holds a preservation easement on the applicant’s property that requires written approval of its President or Executive Director prior to any removal or demolition of the Carter Dalton House. Mr. Fencl noted that staff recommends approval of the requested Certificate of Appropriateness with no delay provided the applicant receives written approval from the Historic Preservation Foundation of North Carolina, protects existing trees on the site to the maximum extent practicable and establishes grass on all disturbed areas of the site following removal of the structures. Ms. Catania stated she understood that the Adams Inn wants the lot for a parking area. If the Adams Inn wants to buy the property for a parking lot would that be possible for them? Mr. Fencl stated any improvements to the site will require the Commission’s approval. Also, approval of a site plan would be required in addition to a Certificate of Appropriateness. Ms. Catania questioned whether someone could buy the lot and put a house on it? Mr. Fencl stated that a house could be built on the property but that it would also require a Certificate of Appropriateness from the Commission. Ms. Catania questioned if a new house would have to be within the confines of what’s along the street as far as the structure is concerned? Mr. Fencl stated it would require a Certification of Appropriateness, but that does not necessarily mean it has to be a historically inspired house. However, as a Commission you would be reviewing the character, the siting and massing of the house, roof pitch and proposed materials to make sure it would complement and fit within the district. Ms. Catania asked if it would it be grandfathered in? Mr. Fencl noted it would not be grandfathered. It would be new construction in a historic area. Ms. Catania asked if there were any plans to go on the market after it is demolished? Mr. Fencl responded that he was unsure of the applicant’s plans but encouraged Ms. Catania to ask the applicant and their representatives that were present what were their future plans for the property. Ms. Halsted commented that she understood the Don Angell estate was in bankruptcy according to the Winston Salem Journal. Is that accurate?  Historic Preservation Commission Minutes December 14, 2016 Page 4 of 8 Mr. Fencl stated that he could not speak to that question. Ms. Halstead stated that she had read in the Winston Salem Journal that Gray Angell and his mother had been dismissed as executors of the estate and that Edwin Allman, an attorney in Winston Salem had been appointed by the court as executor of the estate. Is the Carter Dalton House part of the estate that Mr. Allman is the executor for? Mr. Fencl stated that staff does not know whether or not that is accurate. He suggested that the Commission ask these questions of the applicant. Mr. Fencl suggested the Commission may want to delay taking any action for a month in order to make sure whether the applicant has authority to seek a Certificate of Appropriateness for the demolition of the Carter Dalton house and allow the applicant the opportunity to submit the information needed so that everybody is satisfied that the applicant has standing to apply for the Certificate of Appropriateness. Ms. Halstead asked what assets are currently being held in the Don Angell estate? She noted that when an applicant came before the Commission in the past for a COA he intimated there was no allowance for putting a tarp over the roof, so it wouldn’t be so exposed to the elements. Mr. Chavis questioned whether the house was insured and who pays and owns the property after the demolition? If the house is demolished, who is going to pay for the demolition and who is going to own the property? Ms. Halstead questioned if the Don Angell Trust was part of the estate that was in bankruptcy? Mr. Fencl encouraged the Commission to ask the applicant and his representatives that were present these questions. Speaking in Favor of the Request: Speaking in favor of CA-16-09 was D. Gray Angell, Jr. 142 Bermuda Village Drive, Advance, NC. Mr. Angell provided the following information in response to the questions by the Commission:  Mr. Angell stated he was speaking as a trustee of the Amended and Restated Don G. Angell Revocable Trust.  Mr. Angell stated the reason he was removed from the estate is because he was buying items from the estate and that is not allowed.  The estate was never in bankruptcy. When his father passed away his assets were transferred into the estate. The liabilities exceeded the assets. He was selling the assets to liquidate the estate and pay back the creditors on a percentage basis. The reason he was removed as executor of the estate was that he was buying assets from the estate, which was a conflict of interest. This is the last asset to be liquidated.  Historic Preservation Commission Minutes December 14, 2016 Page 5 of 8  The house was insured for the amount of the mortgage around $130,000 to $140,000. The issue was the extensive cost to repair.  Mr. Angell stated it was his intention to buy the property, demolish the house and leave it as a grass residential lot. Once the demolition is completed the property would be sold at that point.  Mr. Angell stated that Eddie Allman has accepted his offer for the property. He feels like he has the right to represent the property as a trustee of the estate.  Mr. Angell noted that he has no intention for the property to be a parking lot. Ms. Halstead questioned how does it work with Mr. Allman being executor and where the trust is at this time? Mr. Angell requested Rebecca Ganzhorn, CPA to answer Ms. Halstead’s questions. Becky Ganzhorn, 400 Anita Drive, Winston-Salem, NC provided the following information:  Ms. Ganzhorn stated she was the accountant for the estate and trust. After Mr. Angell passed the assets and land were transferred through the estate to the trust. The land is owned by the Don Angell Trust not the estate which is why Mr. Gray Angell can represent the Trust. Ms. Halstead noted that speaking with Benjamin Briggs in the past year it was her understanding a party was interested in purchasing the Carter Dalton house and property and they had to go through Mr. Allman. Ms. Ganzhorn stated they had been working with Mr. Allman and there is nothing the Trust does without the approval of Mr. Allman. The estate is not in bankruptcy, but it is insolvent. Any net proceeds in excess of costs have to be paid into the estate. Before anything is done, approval of Mr. Allman is sought and obtained. Ms. Halstead questioned if they had papers showing Mr. Allman’s approval? Mr. Angell replied he did not have papers, but he did have Mr. Allman’s approvals in email. Mr. Angell stated that Mr. Allman has accepted the offer. They got a realtor’s opinion of the value of the raw land, offered the value of the raw land to the estate less the demolition cost. The remainder would be the net proceeds to the estate at that point. He stated that he advised Mr. Allman that after the demolition of the property the deal would be solid and he would seek court approval for sale of the asset at that point. Ms. Halstead questioned his standing.  Historic Preservation Commission Minutes December 14, 2016 Page 6 of 8 Ms. Ganzhorn added the estate doesn’t own the property, so it doesn’t have standing. Mr. Angell’s standing is based on the limitations of the Trust to do what it wants to do, because all assets have to go into the estate to liquidate debt to pay the creditors. Mr. Peter Freeman, Architect, 1102 N. Main Street, High Point, NC spoke in favor of the request.  The intention is for the property to remain in the historic area.  Mr. Freeman stated that Mr. Angell’s request is in the best interest of the Commission. Speaking in Opposition of the Request Speaking in opposition to COA request CA-16-09 was Ryan Verstat, 1006 Johnson St., High Point, N.C.  Mr. Verstat stated he lives across the street from the Carter Dalton house. Mr. Verstat said people on the street have concerns what is going to happen to the property and what safeguards are in place if the property is torn down? Since two other homes on Johnson Street have been demolished and turned into parking lots. Also speaking in opposition to COA request CA-16-09 was Steven Dudash, 900 Johnson St., High Point, N.C.  Mr. Dudash expressed concerns that the City had not enforced the zoning laws that were being violated at 1013 Johnson Street for 4-5 years prior to the fire and the City needed to give Johnson Street and its other historic areas more attention. Mr. Chavis questioned if taxes were getting paid on the property? Ms. Halstead questioned who paid the taxes? Ms. Ganzhorn stated the taxes were being paid by the Trust. Ms. Catania expressed concerns about what will happen on the property in the future and is sympathetic to the neighborhood’s concerns. Ms. Coralle Cowan of 905 Johnson Street, High Point, NC questioned whether the Trust had received permission for the demolition from Preservation North Carolina. Mr. Robbins recommended to the Commission that the applicant get permission from Preservation North Carolina before approval of the COA is granted for the demolition. Mr. Freeman wanted the Commission to know that the applicant has received an order from the City to demolish or repair the Carter Dalton House and this request is in response to that order. Mr. Verstat questioned whether the City or HPC had pursued any other options other than a sale to one entity or a private individual who could do the required repairs to preserve the house?  Historic Preservation Commission Minutes December 14, 2016 Page 7 of 8 Mr. Robbins responded by stating he was unaware whether any other options had been considered for repair of the house. He has heard that several individuals have tried to locate a buyer for the Carter Dalton House, but that any buyer may need to have the ability to finance many of the repairs themselves due to banks not wanting to loan money for repairs that may exceed the value of the home. Ms. Halstead made a motion that the Commission delay approval of the COA request for 365 days to determine if the applicant has the authority to apply for a COA. The motion failed to receive a second. Mr. Clark made a motion to approve Certificate of Appropriateness Case 16-09 as presented by staff. Ms. Halstead seconded the motion. The Historic Preservation Commission approved the motion by a vote of 5-1 with Mr. Clark abstaining from the vote. Mr. Clark suggested that the applicant delay the demolition for 6 months in order to obtain a letter from Preservation North Carolina, which must authorize the action due to its easement on the property. Dories Patrick and Glenn Chavis left the meeting at 7:05 pm. D. Old Business 1. 2016 CLG Grant Update – Design Guidelines Mr. David Fencl, Senior Planner, gave a brief report on the status of the Certified Local Government grant to update the Design Review Guidelines. He noted that staff has selected Jo Ramsey Leimenstoll and Heather Wagner Slane to develop new design guidelines and is working on executing a contract. Mr. Fencl stated that Commission members will be heavily involved in updating the Guidelines. 2. Discussion of quasi-judical hearings Mr. Robbins discussed the requirements for quasi-judicial hearings with the Commission. He explained that there is a lot more to quasi-judicial hearings than swearing in speakers and requires the Commission to base their decisions on evidence submitted during the hearing and creating findings of fact. Staff is aware of a proposed bill under review by the NC General Assembly, which may require all historic preservation commissions in North Carolina to hold quasi-judicial hearings. Staff recommends that we delay making a change in any procedures until the state mandates the change to prevent having to make changes to the Development Ordinance and the HPC’s rules of procedure more than once. E. New Business 1. Approval of 2017 Meeting Schedule Ms. Halstead made a motion to approve the 2017 meeting schedule as presented. The motion was seconded by Mr. Mingo. The schedule was approved by a vote of 5-0. F. Adjournment Mr. Clark invited the commission and staff to Wreaths Across America Saturday, December 17, 2016 at 12:00 p.m. located at Greenhill Cemetery.  Historic Preservation Commission Minutes December 14, 2016 Page 8 of 8 There being no further business the meeting adjourned at 7:21 p.m.