Plan to turn South High Senior Living into drug rehab center moves forward
Knoxville-Knox County Planning, in an 11-2 vote after much debate, approved a request to rezone a piece of South Knoxville property and helped clear the way for South High Senior Living to become a new substance abuse facility.
The 46,000-square-foot senior living facility at 835 Tipton Ave. is preparing for a sale to the McNabb Center, whose plans for a substance abuse facility have been criticized by some community members due to its location next to Dogwood Elementary School.
Public comments also included concerns about a potential decrease of nearby property values and the uncertain futures of current South High residents.
Knoxville-Knox County Planning's approval on April 13 serves a suggestion to Knoxville City Council, which must vote twice to approve the request for the project to move forward. The first vote will take place May 16.
Reasons for approving McNabb Center's request
Knoxville-Knox County Planning staff had recommended the request be denied, suggesting institutional zoning would allow for uses "that could adversely impact" Dogwood Elementary School, Cecil Webb Recreation Center and nearby residents.
One of those residents echoed this concern at the April 13 meeting, saying that while McNabb Center's plans could co-exist in the community, those plans could change down the road. At that point, the institutional zoning could allow for other types of more-intrusive institutional uses.
The zoning previously was institutional but was changed to residential in 2017 because the building was no longer a school. This allowed for South High Senior Living to renovate the facility into senior living.
Multiple planning commissioners supporting the request talked about the need to serve community members struggling with addiction, but not every commissioner agreed.
"(South High Senior Living) is an asset to that residential area," said Planning Commissioner Karyn Adams, who spoke of community events held at the property. "There's an alignment in the terms of the current usage that is important for us to think about. ...
"If we change this to institutional, we may very well lose this."
About the South High Senior Living residents
Roughly 42 of the 62 units at South High Senior Living were occupied upon Knox News' original report March 30.
A spokesperson told Knox News only a third of residents would still be living there at the time of the anticipated sale; the other two-thirds would have moved out or would be receiving care elsewhere.
Dover Signature Properties, which spent $12 million to transform the former high school into South High Senior Living in 2020, has offered to cover residents' moving expenses.
The property is owned by the city's Industrial Development Board under a payment-in-lieu-of-taxes agreement. A Dover Signature Properties spokesperson told Knox News the PILOT has 20 years remaining but would expire upon a sale to McNabb.
Another shift for Dover Signature Properties
Knox News reported last month the company is in talks to sell its Hyatt Place hotel on Gay Street to Ephant Group, led by one of Knoxville's newest and most notable downtown investors, HD Patel.
Dover Signature Properties recently opened The Tribute at the former state supreme court site in downtown Knoxville and is partnering with Bristol Development Group to open Church + Henley apartments next door.
The Tribute is part hotel, part apartment and part short-term rental. The $15 million redevelopment includes 63 units across seven stories, including two penthouse units featuring 2,500-square-foot decks.
Rick Dover, managing director of Dover Signature Properties, has the same guidelines for the hotel and the senior living facility: "My policy is not to comment unless and until a transaction occurs."
How the McNabb Center facility would operate
Houston Smelcer, vice president of development for the McNabb Center, told Knox News the substance abuse facility would require patients to stay on site. No one could come or go unless they are joining the program, graduating the program or leaving permanently against medical advice.
The nonprofit has facilities in eight East Tennessee counties, including the CenterPointe substance abuse facility on Ball Camp Pike Road.
"The cost of care in a private, for-profit facility can range anywhere from $30,000 to $50,000 per month," Smelcer previously told Knox News. "So, if your benefits don't cover that kind of care, it becomes cost-prohibitive almost immediately."
The option of expanding CenterPointe was on the table and could have led to serving 2,000 people per year. Opening a new facility at South High Senior Living would expand the reach north of 3,000 people per year, Smelcer said, and the McNabb Center regularly has "hundreds and hundreds" of people on a waitlist for these types of services.
The McNabb Center has a a purchase agreement with Dover Signature Properties for an undisclosed price and also provides victim services, social services and mental health care.
Ryan Wilusz is a downtown growth and development reporter. Phone 865-317-5138. Email ryan.wilusz@knoxnews.com. Instagram @knoxscruff.
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This article originally appeared on Knoxville News Sentinel: Knoxville senior living facility South High approved drug rehab zoning
