Years later, developer hopes he can finally build on Front Beach property in Ocean Springs

Mike Butler has been trying since 2015 to build residences on Front Beach in Ocean Springs, but neighborhood opposition has delayed the project for years.

Two unfinished townhouses sit on 5.6 acres that were empty after Hurricane Katrina in 2005 destroyed the previous development, an aging, 112-unit apartment complex.

Butler was forced to stop construction on the townhouses more than two years ago, after the neighbors took him to court and a judge declared the buildings must be torn down. The judge later tempered the ruling and allowed the townhouses to stand, provided they comply with city zoning laws.

The judge basically found that the city had failed to follow its own zoning regulations in granting Butler height and setback variances for 41 buildings in the development, known as The Sands.

Butler felt the high-end townhouses, which would have sold for up to $1.5 million each, suited the neighborhood of luxury and historic homes overlooking the white sand beach and Mississippi Sound.

But neighbors objected to the project’s density, height and other components. After the court battle, Butler entertained building another apartment complex because zoning would allow it.

Instead, he’s settled on another plan that neighbors find more acceptable. The Planning Commission was scheduled to hold a public hearing at 6 p.m. Tuesday to consider rezoning the property for the pared-down development.

“I have to do something there,” Butler told the Sun Herald on Monday. “We have so much time, effort and money tied into it, we don’t have a choice.”

Mike Butler, a developer of The Sands housing project, stands at the base of one of his unfinished townhouses on Front Beach in Ocean Springs on Thursday, Oct. 14, 2021.
Mike Butler, a developer of The Sands housing project, stands at the base of one of his unfinished townhouses on Front Beach in Ocean Springs on Thursday, Oct. 14, 2021.

New plans for Ocean Springs subdivision

Butler is hoping neighbors are ready to sign off on an agreement that scales back the development. He plans to build 31 single-family town homes.

Neighbors have agreed the two buildings already standing can remain, but that any other homes near the street or an adjacent property will have more generous setbacks of 25 feet.

A new residential zoning classification, R-6, allows smaller lot sizes, which Butler will use on the subdivision’s interior. Butler also has agreed, at the neighbors’ request, that none of the homes can be used as short-term rentals.

“I have to do something there,” Butler told the Sun Herald on Monday. “We have so much time, effort and money tied into it, we don’t have a choice.”

Michael Illanne, one of the neighbors who objected to previous development proposals, said he believes both sides will be able to sign the agreement that has been drawn up.

Illanne said opponents will sign off on the agreement as long as it includes a covenant that binds any future property owners to the same terms Butler is willing to accept.

Otherwise, the city’s new R-6 zoning would allow smaller setbacks for future property owners. A Planned Unit Development designation, also new and also being considered for the property by the Planning Commission, would give the city broad latitude to grant density, height and other variances.

“We believe that the settlement agreement and the covenant will protect the full-time, residential nature of the existing zoning regulation,” Illanne said. “We hope the agreement can be reached quickly.”

The new R-6 and PUD regulations can be applied in other parts of the city, Illanne pointed out.

On Tuesday evening, Billy Guice, an Ocean Springs attorney representing Illanne and other residents, told the Planning Commission that he believes the developer and his clients have reached an agreement that will end the ongoing litigation.

The Planning Commission then voted 5-1 to approve the rezoning and, in a separate vote, approved the subdivision plans, or PUD, which includes interior roads and other infrastructure. The Board of Aldermen will make a final decision Dec. 5 on The Sands development.

Two homes built as a part of The Sands development in Ocean Springs on Thursday, Oct. 14, 2021.
Two homes built as a part of The Sands development in Ocean Springs on Thursday, Oct. 14, 2021.

Original inspiration for The Sands

The Sands was originally envisioned by Butler’s partner in the development, Lee Brumfield. Brumfield died at age 64 in February 2021 when a car left U.S. 90 in Gulfport and hit him while he was walking on the beach sidewalk.

“Lee loved this project,” Butler said. “I want to make sure it happens for him.”

The Planning Commission’s decision on zoning for the property will be forwarded to the city’s Board of Aldermen, which has the final say.