Pendo founder’s Topsail Island family compound plans get pushback from neighbors

One of Raleigh’s most prominent multimillionaires is pushing ahead with plans to build a “family compound” on conserved land on Topsail Island, despite public backlash.

Todd Olson, CEO of software tech giant Pendo, appeared before the Topsail Beach Planning Board this week, seeking to conditionally rezone part of nearly 150 acres of pristine coastline at 1 Shore Line Drive in Pender County.

On the island’s southernmost tip, fondly referred to by locals as “The Point,” it’s the last remaining tract of undeveloped land in town. It’s known mostly as a wildlife refuge, and currently zoned conservation.

Olson is seeking to rezone roughly 26 acres to build a private estate for his family. Plans include six single-family dwellings — around 4,000 square feet per building — along with access roads, swimming pool with cabana, maintenance building and garage, beach shelter, gazebo and uncovered deck, and an elevated pier with six boat lifts.

Olson opted not to speak at the meeting, which was livestreamed from inside the town’s historic Assembly Building on Monday morning. Instead, land surveyor Charles F. Riggs walked board members through the plans.

“This is the plan that complies with the current land-use plan,” Riggs told the 40-strong crowd gathered, many of whom came wearing “Save the Point“ stickers to oppose the project.

“We are conservation with limited residential.”

Olson’s application, filed on Dec. 21, is a slightly scaled-back version from what he initially pitched to residents during a public meeting last October. After fielding their concerns, Olson told the N&O that he reduced the project’s footprint by 11 acres, cut down the number of houses from eight to six, and pared down the pier from a nine to a six-boat slip. The revised proposal also offers more options for the pier’s location.

Olson is also working with the North Carolina Coastal Land Trust to permanently conserve the remaining 120 acres, using his own private funds.

“I’d say at this point, we have a verbal agreement, at least from our side,” he said in a phone interview after the meeting.

Olson is under contract to purchase the land from the McLeod family, but the sale is dependent on securing the conditional rezoning. The property is valued at $2.96 million, according to the latest county records.

In 2013, Olson cofounded Pendo out of a popular coworking space downtown. It’s now valued at over $2 billion, with its signage dotting Raleigh’s skyline, alongside Red Hat and Wells Fargo, atop the newly erected Raleigh Crossing tower. He recently hinted to Axios that an initial public offering, or IPO, could launch “sometime next year.”

Olson, who is married with six children, has vacationed in the area for over a decade. He already owns a home on Topsail’s south side, which he purchased in 2019.

“My wife and I took interest in this property in the first place because we didn’t want to see it fall in the hands of a developer,” he said. “You could end up with 80 homes at the end of the island. That’s still a possibility. [Our proposal] is far lower density than anything else on the islands. It’s a far better outcome.”

Neighbors push back

But many residents in this quiet, mostly blue-collar beach town aren’t convinced. Many oppose any kind of development.

Topsail Beach, located south of Surf City, has 466 full-time residents. A private Facebook page started by a group of concerned citizens has amassed more than 777 members since October.

Among their top concerns are erosion to the island’s sand dunes that provide protection from hurricanes and flooding, and the impact on nearby property values. Many also fear development would harm the wildlife — foxes, coyotes, pelicans, sea turtles and sandpipers — and its ecosystem.

“The [proposal] requires significant additional road construction that traverses wetlands, dunes and vegetation,” said John Alderson, who lives four houses down from the property. He was among the first in a long line of residents in attendance to speak against Olson’s application.

“It claims no impact, but how is that possible? Please do not allow this road to be built,” he pleaded to the board.

Others expressed concern about the development’s impact on local utilities and other resources.

“Where’s the power going to come from?” asked resident Nancy Thomason. “Will they need solar panels, and what will [that] look like? Will they need to put in windmills? I would be horrified if that was the case.”

At one point, the town’s attorney, Steve Coggins, had to interject when residents began to get unruly and speak out of turn.

“My job is to ensure that all parties — the public and the applicant — are afforded due process. Do not make my job harder,” he told the crowd, which remained calm for the remainder of the proceeding.

Next steps

No decision was made at the meeting. Two of the planning board’s five members were absent.

Christina Burke, Topsail’s assistant town manager, said the board has 65 days starting from the Monday meeting to make a recommendation to the town’s board of commissioners.

Then another public hearing will be held before the board’s final vote.