Cottages Development Appeal

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ELECTRONICALLY FILED - 2022 Feb 25 5:40 PM - HORRY - COMMON PLEAS - CASE#2022CP2601234

STATE OF SOUTH CAROLINA ) IN THE COURT OF COMMON PLEAS


) FIFT EENTH JUDICIAL CIRCUIT
COUNTY OF HORRY )
)
Charles W. Martino, Jr.; T. Kirk Truslow;) CASE NO. 2022-CP-26-______
Michael Smith; Terry Livingtson; )
Cynthia Setzer; Juan Castro; Arthur )
Scott; and Gary Falatovich )
)
Petitioners )
) SUMMONS
The City of Myrtle Beach, South )
Carolina, Community Appearance )
Board; The City of Myrtle Beach, )
South Carolina; GDMB Commercial, )
LLC; and The Zoning Administrator )
for the City of Myrtle Beach, South )
Carolina )
)
Respondents )

TO THE ABOVE-NAMED RESPONDENTS:

YOU ARE HEREBY SUMMONED and required to answer the Petition/Complaint

filed herein, a copy of which is herewith served upon you, and to serve a copy of your

answer to this Petition/Complaint upon the subscriber, at the address shown below,

within thirty (30) days after service hereof, exclusive of the day of such service, and if

you fail to answer the Petition/Complaint, judgment by default will be rendered against

you for the relief demanded in the Petition/Complaint.

/s/ John M. Leiter


__________________________________
John M. Leiter, Esq., SC Bar #3187
Law Offices of John M. Leiter PA
405 79th Avenue North, Suite B
Myrtle Beach, SC 29572
Tel. 843-449-1451; Fax: 843-449-4884
Email: [email protected]
Attorney for Petitioners
ELECTRONICALLY FILED - 2022 Feb 25 5:40 PM - HORRY - COMMON PLEAS - CASE#2022CP2601234
STATE OF SOUTH CAROLINA ) IN THE COURT OF COMMON PLEAS
) FIFTEENTH JUDICIAL CIRCUIT
COUNTY OF HORRY )
)
Charles W. Martino, Jr.; T. Kirk Truslow; ) CASE NO. 2022-CP-26-______
Michael Smith; Terry Livingston; )
Cynthia Setzer; Juan Castro; Arthur ) PETITION FOR JUDICIAL REVIEW
Scott; and Gary Falatovich ) and COMPLAINT
)
Petitioners ) (Appeal of Decision of The Community
) Appearance Board, Declaratory Relief,
The City of Myrtle Beach, South ) Injunctive Relief, and FOIA Violation)
Carolina, Community Appearance )
Board; The City of Myrtle Beach, ) NON JURY
South Carolina; GDMB Commercial, )
LLC; and The Zoning Administrator )
for the City of Myrtle Beach, South )
Carolina )
)
Respondents )

TO THE ABOVE-NAMED RESPONDENTS:

The above-named Petitioners file this Petition pursuant to S.C. Code Ann. § 6-

29-900 and the Zoning Ordinance of the City of Myrtle Beach § 606 asserting that the

decision entered by the City of Myrtle Beach Community Appearance Board on January

27, 2022, and determinations, acts and/or omissions of the City of Myrtle Beach and the

City of Myrtle Beach Zoning Administrator leading to same, are contrary to law, and

states as follows:

INTRODUCTION

1. This matter is before the Court on appeal from a decision of the City of

Myrtle Beach Community Appearance Board (CAB) approving conceptual buildings,

landscaping, parking and fence for a 305-unit horizontal apartment complex containing

two-unit and multifamily dwellings (hereafter referred to as the “Cottages”) within the

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Cane Patch Tract of the Grande Dunes Planned Unit Development (“PUD”). The

Cottages development would provide traffic access directly onto 76th Avenue North (“76th

Ave. N.”) not only from the Cottages, but also from an adjoining 325 residential rental unit

development known as the Willows. The Cottages is located within a portion of the of the

Cane Patch Tract set aside for development consistent with the City’s R-7 zoning

classification. The Cottages is not an authorized use in the R-7 zoning classification, the

CAB’s decision approving its layout and design and the manner in which the CAB and the

City’s Zoning Administrator administered this matter was and is in clear and direct

violation of the City’s zoning code and contrary to law. The Petitioners also seek relief for

violations of the South Carolina Freedom of Information Act.

PARTIES AND JURISDICTION

2. Petitioner, Charles W. Martino, Jr., is an adult individual residing on

Briarwood Drive, in an area adjacent to the development at issue and he and his property

are adversely affected by the development of the property subject to this Petition.

3. Petitioner, T. Kirk Truslow, is an adult individual residing in an area adjacent

to the development at issue and he and his property are adversely affected by the

development of the property subject to this Petition.

4. Petitioner, Michael Smith, is an adult individual residing on Regina Court, in

an area adjacent to the development at issue and he and his property are adversely

affected by the development of the property subject to this Petition.

5. Petitioner, Terry Livingston, is an adult individual residing on Triana Court,

in an area adjacent to the development at issue and he and his property are adversely

affected by the development of the property subject to this Petition.

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6. Petitioner, Cynthia Setzer, is an adult individual residing on Catena Lane, in

an area adjacent to the development at issue and she and her property are adversely

affected by the development of the property subject to this Petition.

7. Petitioner, Juan Castro, is an adult individual residing on Catena Lane, in an

area adjacent to the development at issue and he and his property is adversely affected

by the development of the property subject to this Petition.

8. Petitioner, Arthur Scott, is an adult individual residing in an area adjacent to

the development at issue and he and his property is adversely affected by the

development of the property subject to this Petition.

9. Petitioner, Gary Falatovich, is an adult individual residing on Woodland

Drive, in an area adjacent to the development at issue and he and his property is

adversely affected by the development of the property subject to this Petition.

10. Respondent, The City of Myrtle Beach Board Community Appearance

Board (“CAB”), is an architectural review board established by the City of Myrtle Beach in

Article 6 under of the Zoning Ordinance of the City of Myrtle Beach (“Ordinance”) and the

authority granted by S.C. Code Ann. § 6-29-870.

11. Respondent, City of Myrtle Beach, South Carolina (the “City”) is a municipal

corporation and body politic created by and subject to the laws of the State of South

Carolina.

12. Upon information and belief, Respondent, GDMB Commercial, LLC is a

limited liability company having an address at 1400 Sunday Drive, #101, Raleigh, NC

27607 and, based on Horry County Tax Assessment Records, is the owner of a certain

26.69 acre parcel of land located along US Highway 17 Bypass between 71st Ave. N. and

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76th Ave. N., designated as Horry County PIN No.: 39500000030 Parcel No. 2, hereafter

referred to as the “Property”.

13. The Property is located in the northwest corner of the Cane Patch Tract of

the Grande Dunes PUD.

14. Upon information and belief, the Zoning Administrator for the City was

charged with the duty to properly administer the City Zoning Code, subject to those

limitations imposed on his authority by Ordinance.

15. Petitioners are aggrieved by the decision of the CAB made on January 27,

2022 granting final approval of the layout and design of 305 multifamily residential rental

units in the northwest corner of the Cane Patch Tract of the Grande Dunes PUD (i.e., the

“Cottages”) and the location of a road providing ingress and egress to 76th Ave. N. and

request:

a. An appeal from the CAB decision, together with

(i) Declaratory relief finding and declaring that any decision of the CAB
approving the Cottages development is contrary to law, ultra vires, void
and invalid as a matter of law as the CAB does not have the statutory
authority to review or approve plans which change the density of
development without compliance with the terms of the City’s Zoning
Code; and
(ii)
(iii) Declaratory relief finding and declaring that the CAB’s approval of the
Cottages plan is contrary to law and must be reversed as it fails to
protect the public health, safety and welfare and will cause substantial
injury to the value of other property in the immediate area

b. Declaratory relief finding and declaring that any decision by the Zoning
Administrator to place the Cottages development before the CAB, or
determine the Cottages development to be a “minor amendment” to the 76th
Ave. Carve-Out of the Cane Patch PUD, is contrary to law, outside the
scope of his authority, ultra vires, void ab initio, voidable and subject to
reversal by the Circuit Court.

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c. Declaratory relief finding and declaring that improper unilateral
interpretations by the Zoning Administrator which authorizes the
development of uses not specifically identified by Ordinance as permissible
in the Grande Dunes PUD in general, and in the Cane Patch Tract in
particular, and the submission of development plans for same to the CAB
for approval, violates Petitioners’ procedural and substantive due process
rights.

d. A request for declaratory relief finding and declaring that the City, through its
Zoning Administrator, failed to supply documents relative to the construction
of the Cottages prior to final approval by the CAB in violation of S.C. Code
Ann. § 30-4-10 and the grant of legal and/or equitable relief resulting from
same.

e. Supersedeas or other injunctive relief enjoining the City from issuing permits
or taking action on any requests for the approval of vested development
rights in the Cottages pending resolution of those issues raised in this action
and setting aside any actions taken by the City to approve same.

16. This Honorable Court has both subject matter and personal jurisdiction over

the parties to this action.

17. Venue is proper in Horry County pursuant to the provisions of S.C. Code

Ann. § 6-29-900 and the City Zoning Code Section 606.

18. Petitioners have standing to contest actions of government agencies which

violate a specific statute/ordinance and exceed such agencies’ specific authority to act as

illegal and ultra vires.

BACKGROUND

19. Petitioners incorporate herein by reference those allegations set forth in

paragraphs 1-18, as if the same were set forth at length hereafter.

20. PUDs are districts or development projects comprised of housing of

different types and densities and of compatible commercial uses, or commercial centers,

office parks, and mixed-use developments. A PUD is established by rezoning prior to

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development and is characterized by a unified site design for a mixed-use

development.” City of Myrtle Beach Zoning Code § 1903.

21. A PUD is required to be developed in strict compliance with an adopted

Ordinance and approved final plans. It is a contractual undertaking that is binding upon

the applicant and the owners of the land covered by the PUD, their successors and

assigns, and limits and controls the construction, location, use and operation of all land

and all improvements to be located within PUD. City of Myrtle Beach Zoning Code §

1903.H.

22. Changes that alter the concept of the PUD, including but not limited to,

changes in density, type and location, height of buildings, proposed open space,

development schedule, road standards or any changes in final governing agreements,

or provisions or covenants must be approved by Ordinance through the submission of a

PUD amendment application. City of Myrtle Beach Zoning Code § 1903.I.2.

23. “No variances may be granted within, or for, a Planned Unit

Development.” City of Myrtle Beach Zoning Code § 1903.I.3.

24. On October 27, 1998, the City amended its Zoning Code through the

enactment of Myrtle Beach Ordinance 981027-52, adopted October 27, 1998 to create

an area known as the “Grande Dunes PUD”. The Grande Dunes PUD is a mixed-use

PUD having multiple tracts, one of which is the “Cane Patch Tract”.

25. The Cane Patch Tract is located between Kings Highway and US 17

Bypass and runs along 76th Ave. N. adjacent to the Northwood Plan of Lots, one of the

City’s founding communities. All Petitioners herein reside either within single family

residential housing developments in the Cane Patch Tract or the Northwood Plan.

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26. The Property at issue is located in the northwest corner of the “Cane

Patch Tract” at the intersection of 76th Ave. N. and US 17 Bypass. It is a separate and

distinct 26.69 acre parcel of land fronting along US 17 Bypass between 71st Ave. North

and 76th Ave. N. within the City limits.

27. In or about May 2002, City Council enacted Ordinance No. 2002-28

approving a “Text Amendment” to Ordinance § 102.05 of the Grande Dunes PUD. In

applicable part, this amendment provides:

102. 05 Transfer Provision.

As the development of Grande Dunes Resort will evolve


over a number of years, it is necessary for a method to be a
part of this ordinance which allows for land use transfers to
occur in a manner that maintains adequate levels of public
facilities and provides for appropriate relationships to
surrounding properties. The accompanying table reflects this
transfer determination based on the impact to the
transportation system as it represents a measurable
relationship of intensity of use. The only area not subject to
this provision will be the Single-Family lots (see Exhibits 1,
1A and 2) in the Cane Patch Tract. This tract is to be
developed as defined by Exhibit 2: provided however that
Exhibit 1A contains a detailed line table which defines the
exact area and boundaries of the area subject to the
applicable R-7 zoning to be applied within the Cane Patch
Tract: and further provided that no road, street, thoroughfare,
alley or travel lane or lanes shall be constructed northwest
from Driftwood Drive up to US 17 Bypass that shall connect
to or serve a land use which is not consistent with R-7 uses.
They shall be developed in accordance with the R-7 zoning
regulations of the City of Myrtle Beach with the exception of
required front yard and side yard requirements for
Residential Uses which shall be changed to read as follows:

Front Yard - 20 feet


Side yard combined - 15 feet
Width on one side - 7.5 feet

Any portion of said lots which abut on 76th Ave. N. shall be designated
as a rear yard for setback purposes.

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28. Exhibit 1A carves out an area of the Cane Patch Tract extending west

along 76th Ave. N. from a commercial hotel to US Bypass 17 and restricts development

to uses consistent with the City’s “R-7 zoning” classification (hereafter the “76th Ave.

Carve-Out”).

29. There are three authorized uses in the City’s R-7 Zoning district, namely:

a. “Horse farms” as a “conditional use”;

b. “Permanent Residence, single-family dwellings” as a permitted use; and

c. “Residential Care facilities of nine or less persons with mental or physical

handicaps” as a permitted use.

30. The restriction in the “Transfer Provision” precluding construction of any

“road, street, thoroughfare, alley or travel lanes northwest from Driftwood Drive up to US

17 Bypass” refers to “Driftwood Drive” in the Northwood Plan of Lots, located across

76th Ave. N. from the entrance to “Seville”.1 A copy of the foregoing Exhibit 1A is

attached hereto, made a part hereof and marked Exhibit “A” to this Petition.

31. On information and belief, Petitioners are unaware of any modifications of

or amendments to Ordinance No. 2002-28 that were “approved by Ordinance through

the submission of a Planned Unit Development amendment application” under Section

1903.I.2 of the Zoning Code that would change the R-7 zoning classification of this

property and, accordingly, development of the 76th Ave. Carve-Out is and continues to

be limited and restricted to only those uses authorized in the City’s R-7 zoning

classification.

1
Seville is a component of the Cane Patch Tract comprised of only single-family
residential homes and constructed in compliance with the Grande Dunes PUD.
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32. Although minor changes to a PUD may be made by the Zoning

Administrator, the Zoning Administrator has no statutory authority to decide or approve

changes as a “minor amendment” where the change would:

a. Alter the concept of the PUD;

b. Change the permitted land uses;

c. Reduce the minimum building setback for principal structures;

d. Decrease the number of off-street parking spaces; or

e. Otherwise violate the restrictions applicable within the PUD.


City of Myrtle Beach Zoning Code
§ 1903.I.1.

33. On or about December 16, 2021, Development Resource Group

(hereafter “DRG”) submitted an application to the CAB for conceptual review of a

request for the construction of “Conceptual buildings, landscaping, parking and fence for

a 305 unit horizontal apartment complex” within the 76th Ave. Carve-Out (hereafter

referred to as the “Cottages”) The Cottages is proposed to consist of a combination of

Two-Family and Multifamily dwelling units with access to 76th Ave. North directly across

from Briarwood Drive, a roadway sitting between Driftwood Drive and US 17 Bypass.2

34. None of the uses contemplated by the Cottages are permitted in the R-7

zoning district and the construction of the accessway onto 76th Ave. North is precluded

as it would not connect 76th Ave. North to uses that were permitted in the R-7 zoning

classification.

2
Upon information and belief, DRG is an engineering and architectural company
that assists individuals and entities with the development of property. Although
information submitted by DRG along with the application makes reference to
“360” and “Freehold”, the interests of 360 and Freehold in the Property are not
specifically identified.

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35. After reviews of “conceptual plans”, DRG made application to the CAB for

a final review of the Cottages on or about January 10, 2022. On January 27, 2022,

notwithstanding a submission of a January 27, 2022 Memorandum to the Board by one

of the Petitioners herein raising the CAB’s inability to approve the Cottages due to

zoning issues, the CAB voted to approve those documents submitted by DRG for the

Cottages. A copy of the aforesaid Memorandum is attached hereto, made a part hereof

and marked Exhibit “B”.

36. Neither the Two-Family or Multifamily residential dwellings contemplated

by the Cottages can, by the exercise of common sense, logic, or otherwise, be

interpreted to be a “horse farm”, “single-family residential dwelling” or a “residential care

facility for persons with mental or physical handicaps” as two-family and multifamily

residential dwellings are defined in the City’s zoning code and excluded from being

constructed in the R-7 zoning classification.

37. The Cottages development alters the concept of the 76th Ave. Carve-Out,

changes the density and type of buildings, proposed open space and access ways, and

changes the governing agreements, or provisions or covenants in Ordinances

previously approved by the City without the submission of a PUD amendment

application under City of Myrtle Beach Zoning Code § 1903.I.2.

COUNT I – NOTICE OF APPEAL FROM CAB DECISION


AND REQUEST FOR DECLARATORY RELIEF

Any decision of the CAB approving the Cottages development is


contrary to law, in violation of City Ordinances, outside of the scope
of its authority to act, ultra vires, void and invalid as a matter of law
as the CAB does not have the statutory authority to review or
approve plans which change the type and density of development
without obtaining the required formal amendment to the Grande
Dunes PUD.

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38. Petitioners incorporate herein by reference those allegations set forth in

paragraphs 1-37 as if same were set forth at length hereafter.

39. The submissions made to the CAB for the Cottages Development included

a 2018 version of the Grande Dunes PUD dated 2018 stating:

“As the development of the Grande Dunes Resort will evolve over a
number of years, it is necessary for a method to be a part of this ordinance
which allows for land use transfers to occur in a manner that maintains
adequate levels of public facilities and provides for transfer relationships
to surrounding properties. The accompanying table reflects this transfer
determination based on the impact to the transportation system as it
represents a measurable relationship of intensity of use. The only area not
subject to this provision (relating to “density transfer provisions”) will
be the Single-Family lots (see Exhibits 1 and 2) in the Cane Patch
Tract. This tract is to be developed as defined by Exhibit 2. They shall
be developed in accordance with the R-7 zoning regulations of the
City of Myrtle Beach with the exception of required front yard and
side yard requirements for Residential Uses…”. (Emphasis added).

40. Exhibits 1 and 2 referenced above show the Siena Park and Seville

developments as constructed and continue to identify the remaining area of the 76th

Ave. Carve-Out separately from the other portions of the Cane Patch Tract. Copies of

Exhibits 1 and 2 are attached hereto, made a part hereof and marked collectively as

Exhibit “C”. Nothing in the aforesaid Exhibits change the R-7 zoning classification of this

area.

41. The Cottages proposed development plan changes the R-7 zoning

classification of this area, alters the concept of the Cane Patch Tract applicable to the

76th Ave. Carve-Out relating to density of development, the types of buildings permitted

for construction and modifies the agreements, provisions and covenants previously

approved by Ordinance enacted by the Council of the City for this area.

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42. Changes that alter the concept of the PUD, including but not limited to,

changes in density, type and location, height of buildings, proposed open space,

development schedule, road standards or any changes in final governing agreements,

or provisions or covenants are required to be approved by Ordinance through the

submission of a Planned Unit Development amendment application.” City of Myrtle

Beach Zoning Code § 1903.I.2. No variances may be granted within, or for, a Planned

Unit Development.” City of Myrtle Beach Zoning Code § 1903.I.3.

43. The CAB does not have the authority to waive or modify the site

development requirements of the City’s zoning code, or the requirements of any other

applicable city ordinance. Ordinance § 604.B.

44. The CAB’s decision modifies the permitted uses authorized for the 76th
Ave. Carve-Out and the site development requirements for this area contrary to the
City’s zoning code.
45. The CAB lacks statutory authority to hear, or make determinations on
development applications which change or alter the concept of a PUD, including but not
limited to, changes in density, type and location, height of buildings, proposed open
space, development schedule, road standards or any changes in final governing
agreements, or provisions or covenants, such authority being vested solely within the
City through the PUD amendment process, and any such determination is contrary to
law.
46. The CAB’s decision approving the Cottages application is contrary to law,

outside the scope of its authority, contrary to the procedures established by the City for

the type of changes required for the Cottages, ultra vires, void ab initio or voidable,

constitutes an error of law and should be reversed by the Circuit Court.

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COUNT II – NOTICE OF APPEAL FROM CAB DECISION AND REQUEST FOR
DECLARATORY RELIEF

The CAB’s approval of the Cottages plan is contrary to law,


and must be reversed as it fails to protect the public health,
safety and welfare and will cause substantial injury to the
value of other property in the immediate area

47. Petitioners incorporate herein by reference those allegations set forth in

paragraphs 1-46 as if same were set forth at length hereafter.

48. The Ordinance requires PUDs to be designed so that the public health,

welfare and safety is protected and does not cause substantial injury to the value of

other property in the immediate area. City of Myrtle Beach Zoning Code § 1903.B.6

and B.7.

49. The CAB’s site design review procedures require an assessment of

whether the proposed development would “sustain the comfort, health, tranquility, and

contentment of residents and attract new residents by reason of the City's favorable

environment; and thus, to promote and protect the peace, health and welfare of the

City.” Ordinance § 601.B.8.

50. The Cottages is intended to have direct access to 76th Ave. N. In addition,

it’s internal road system will provide direct site interconnected cross-access to 76th Ave.

N. from a neighboring 325 multifamily residential rental unit development known as the

“Willows”.

51. If constructed according to plans, the site interconnected cross-access will

permit traffic from 630 multifamily dwelling units to enter from and exit to 76th Ave. N.

across from Briarwood Drive in the Northwood Plan. It will also permit this traffic to use

the streets in the Northwood Plan for through traffic to 79th Ave. N.

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52. Both 76th Ave. N. and 79 th Ave. N. are 2-lane roadways extending between

US 17 Bypass and Kings Highway. They abut the Northwood Plan to its north and

south. Residents in the Northwood Plan, as well as adjoining residential communities,

walk, jog, walk dogs, ride bicycles, and operate golf carts within the roads in the

Northwood Plan and along 76th Ave. N. and 79 th Ave. N.

53. Grocery stores, restaurants, drug stores, hairdressers, nail salons and

other forms of retail shops for goods and services are located along Kings Highway,

between 0.6 and 0.8 miles away from the entrance of the Cottages onto 76th Ave. N.,

and are directly accessible from 76th Ave. N. and 79 th Ave. N.

54. The intersection of 76th Ave. N. and US 17 Bypass is an intersection

known to be prone to severe accidents and was referred to during CAB meetings on the

Cottages plan as a “death trap”.

55. In the summer of 2021, before the current Cottages plan was proposed,

76th Ave. N. and 79th Ave. N. were determined by the City to have problems with

speeding under pre-development conditions and, as a result, the City agreed to install

additional traffic calming measures on both roads to address existing adverse traffic

conditions.

56. The area of the Northwood plan between Driftwood Drive and US 17

Bypass is comprised of approximately 32.6 acres of land and contains 57 single-family

homes and one church (a density of one single family dwelling for every 0.57 acres of

land). The area of the Cottages contains approximately 26.6 acres of land and is

proposed to contain 305 multifamily dwelling units (a density of one dwelling unit for

every 0.087 acres of land).

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57. There are approximately 210 single-family homes combined in the

Northwood, Sienna Park and Seville developments.

58. The combined number of dwelling units contained in the Willows and

Cottages plans (i.e., 630) will increase the density of residential dwelling units in the

area by 200%.

59. Upon information and belief, Petitioners aver that the dwelling units

contemplated in both the Willows and Cottages plans are intended to be rental units

with both sites being under and subject to the control of a single owner.

60. The construction of a combination of 630 two-family and multifamily

residential rental dwelling units will decrease the value of the surrounding properties that

are developed for single-family residential homes.

61. The CAB’s approval of the Cottages plan fails to take into consideration

the substantial impact the Cottages development would have on the public health,

safety and welfare of surrounding property owners, and the devaluation of their

properties caused by the substantial increases in the density of development and traffic

flow from the Cottages plan, impermissibly alters the protections provided to residents

within the 76th Ave. Carve-Out and the adjoining Northwood Plan by the creation of the

R-7 zoning classification for that area, fails to follow those directives for CAB review

provided in the zoning code, is contrary to law and must be reversed.

COUNT III – ACTIONS OF THE ZONING ADMINISTRATOR


REQUEST FOR DECLARATORY RELIEF

Any decision by the City Zoning Administrator to place the


Cottages development before the CAB, or declare the Cottages
development to be a “minor amendment” to the 76th Ave.
Carve-Out of the Cane Patch PUD, is outside the scope of his

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authority, ultra vires, void ab initio, voidable and subject to
reversal by the Circuit Court.

62. Petitioners incorporate herein by reference those allegations set forth in

paragraphs 1-61 as if same were set forth at length hereafter.

63. Section 308 of the City’s zoning code provides that:

“In the planning and zoning context in which


applications for approval are required to be reviewed
by an appointed body after preliminary staff review,
applications that are incapable of review due to
incompleteness, failure to address required statutory
standards, or illegibility shall be returned to the
applicant for completion and correction prior to staff’s
submittal of the application to the reviewing body.”
(Emphasis added).

64. More specifically, the Zoning Administrator is required to examine

materials submitted to the CAB to ensure they satisfy submission requirements and

arrange for their presentation before the Board. This review is required to ensure that

projects that come before the Board are compliant with zoning standards. Ordinance §

605.A.

65. The 76th Ave. Carve-Out is limited to development consistent with the R-7

zoning classification which does not include multifamily dwellings. There are three

authorized uses in the City’s R-7 Zoning district, namely:

a. Horse farms as a conditional use;

b. Permanent Residence, single-family dwellings as a permitted use; and

c. Residential Care facilities of nine or less persons with mental or physical


handicaps” as a permitted use.

66. Although the Zoning Administrator has some authority to make minor
changes to an approved PUD as a “minor amendment”, the Zoning Administrator’s
authority to act does not permit “minor amendments” which:

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a. Alter the concept of the PUD;
b. Change the permitted land uses; or
c. Otherwise violate the restrictions applicable within the PUD.
City of Myrtle Beach Zoning Code § 1903.I.1.

67. Any attempt by the Zoning Administrator to “interpret” the zoning code to

include the Cottages within one of the three uses authorized in the R-7 zoning

classification, or to consider the Cottages as an authorized use under a “minor

amendment” to the Cane Patch Tract is precluded, as a matter of law, as it necessarily

changes the permitted land uses in the R-7 zoning classification from Single-Family

homes to Two-Family and Multifamily dwellings, alters the concept of the 76th Ave.

Carve-Out portion of the Cane Patch Tract and violates the restrictions, limitations and

covenants agreed to by City Council and approved by Ordinance some 20 years ago.

68. The Cottages development clearly, and as a matter of law, alters the

concept of the PUD, changes the permitted land uses in same or otherwise violates the

R-7 development restrictions applicable to the 76th Ave. Carve-Out and any action by

the Zoning Administrator that could be deemed or construed otherwise, is contrary to

law, outside the scope of the Zoning Administrator’s authority, ultra vires, void ab initio,

voidable and must be reversed as a matter of law.

COUNT IV – ZONING ADMINISTRATOR - DECLARATORY RELIEF –


VIOLATION OF DUE PROCESS RIGHTS

Unilateral interpretations by the Zoning Administrator


which authorize the development of uses not
specifically identified by ordinance as permissible in the
Grande Dunes PUD in general, and in the Cane Patch
Tract in particular, and place same before the CAB for
approval, violates Petitioners’ procedural and
substantive due process rights.

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69. Petitioners incorporate herein by reference those allegations set forth in

paragraphs 1-68 as if same were set forth at length hereafter.

70. The City provides a process through which changes in PUDs may be

pursued.

71. Changes that alter the concept of the PUD, including but not limited to,

changes in density, type and location, height of buildings, proposed open space,

development schedule, road standards or any changes in final governing agreements,

or provisions or covenants are required to be approved by Ordinance through the

submission of a Planned Unit Development amendment application.” City of Myrtle

Beach Zoning Code § 1903.I.2. No variances may be granted within, or for, a Planned

Unit Development.” City of Myrtle Beach Zoning Code § 1903.I.3.

72. The PUD amendment process requires review of such amendment by the

City’s Planning Commission, a full public hearing conducted by the Planning

Commission and approval by City Council through the enactment of an Ordinance.

Notification of the public hearing before the Planning Commission is required to be in

the form of advertisement in a local newspaper, public hearing sign(s) posted on the

property, and letters mailed to owners of property within 300 feet of the PUD.

73. Upon information and belief, Petitioners aver that the Zoning Administrator

has made improper unilateral legislative determinations in this and other cases involving

the Grande Dunes PUD, which authorize uses not specifically identified by Ordinance

as approved for the PUD, and, without making same a matter of public record,

submitted applications for the construction of same to the CAB for approval without

submitting them for prior review through the PUD amendment process.

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74. Such improper unilateral determinations eliminate requirements for

planning commission review and approval of amendments to the PUD, eliminates the

necessity for public hearings, and circumvents City Council review and approval of PUD

amendments by ordinance where, as here, the appropriateness, nature, extent and

density of uses permitted within the PUD are at issue.

75. As the CAB is not required to conduct a “public hearing” on any matter

before it, the aforesaid practice effectively avoids or limits public comment to only those

“architectural matters” that are within the “purview of the CAB”, precludes public

comment or questioning of proponents on matters that are not related to “architectural

matters”, reduces the time allowed for public comment and is violative of the public’s

rights to substantive and procedural due process otherwise afforded through public

hearings required in the PUD amendment process.

76. Accordingly, any action, inaction or failure of the Zoning Administrator

which authorized or permitted the Cottages development to proceed before the CAB is

void as a matter of law, outside the scope of the Zoning Administrator’s authority to act

and violates Petitioners’ rights to substantive and procedural due process.

77. The Petitioners pray the Circuit Court declare the actions of the Zoning

Administrator to be inappropriate, contrary to law and violative of Petitioners’ rights to

substantive and procedural due process, reverse any action, inaction or failure of the

Zoning Administrator which caused the Cottages to appear before the CAB for review

and approval, declare any such act or omissions to be ultra vires under the

circumstances and direct the Zoning Administrator to return the Cottages application to

the Applicant as noncompliant with the City’s zoning code.

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COUNT V – CITY OF MYRTLE BEACH
FREEDOM OF INFORMATION ACT VIOLATION

The City, through its Zoning Administrator, failed to supply


documents relative to the construction of the Cottages prior to
final approval by the CAB in violation of S.C. Code Ann. § 30-4-
10.

78. Petitioners incorporate herein by reference those allegations set forth in

paragraphs 1-77 as if same were set forth at length hereafter.

79. The City is a public body subject to the provisions of the South Carolina

Freedom of Information Act (FOIA) at S.C. Code Ann. § 30-4-10, et. seq.

80. The City maintains documents subject to public disclosure under the FOIA

in various departments throughout the City, including the office of the Zoning

Administrator.

81. The City, and its Zoning Administrator, have a duty to make a response to

FOIA records requests within ten (10) business days of the date of a FOIA request

unless the records requested are more than 24 months old.

82. On December 20, 2021, one of your Petitioners filed a request with the

City under the Freedom of Information Act requesting, “All plans, records, drawings,

traffic studies, traffic impact assessments, and all other documents submitted for the

development of property or properties along US 17 Bypass between 67th Street North

and 76th Street North.” (the “December 20, 2021, FOIA”).

83. The Willows and the Cottages are the only two development plans in the

area subject to the request.

84. In response, the City provided some, but not all, documents associated

with the Willows Plan for in person review on the morning of January 6, 2022. However,

it did not provide any documents associated with the current Cottages plan nor did it

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state any objections to the production of such documents or provide a reason why same

would not be produced.

85. At 1:30 p.m. on January 6, 2022, at a CAB meeting scheduled at the time,

the CAB discussed a revised conceptual plan submission for the Cottages, but did not

take any public comment on same. Petitioners believe that the CAB had a variety of

documents in its possession associated with the Cottages at its January 6, 2022

meeting, and a prior meeting held November 4, 2022, which it was required, but failed,

to produce in response to the December 20, 2022 FOIA.

86. The City did not provide any documents associated with the Cottages

under the December 20, 2021 FOIA until after the CAB meeting on January 27, 2022 at

which the Cottages request for final review was approved.

87. After the January 27, 2022 CAB meeting the City, through its Zoning

Administrator, began to piecemeal the production of documents requested.

88. From December 20, 2022 FOIA to date, the Petitioner has sought

documents and information from the City regarding how the use of the property for the

two-family and multifamily residential dwellings proposed by the Cottages were

approved in the R-7 zoning classification applicable to the 76 th Ave. Carve-Out.

89. To date, the City has failed to provide any document which would reflect a

statement of policy, or interpretation of the City’s zoning code, adopted by the City,

specifically relating to the R-7 zoning classification of the 76th Ave. Carve-Out, that

would permit two-family or multifamily dwellings within same, nor has it provided a

reason why such document has not been produced or admitted that no such document

exists.

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90. Petitioners believe, and therefore aver, that the City, through its Zoning

Administrator, has arbitrarily and capriciously violated the provisions of FOIA by (a)

voluntarily withholding records associated with the Cottages development until after the

CAB granted final approval for same; (b) attempting to impose unreasonable charges of

$1,000.00 for the search and production of documents that it has in its possession in

digital format; (c) advising Petitioner(s) that certain documents associated with the

Siena Park and Seville developments were no longer available; and (d) piece-mealed

the production of documents readily in its possession.

91. The failure of the City, by and through the office of its Zoning

Administrator, to supply information in a timely manner as required by FOIA has

adversely affected, and continues to adversely impact, (a) the ability of Petitioners to

obtain information and documents required to fully assess the appropriateness of the

procedures employed by the Zoning Administrator in matters associated with the

Cottages plan and (b) actions that could have been taken by the Petitioners if the

information was properly released.

92. Petitioners pray that this Court issue an order directing the City to produce

forthwith any written document, adopted by the City, which would reflect a statement of

policy or interpretation of the City’s zoning code stating that two-family or multifamily

dwellings were appropriate for construction within the R-7 zoning classification

attributable to the 76th Ave. Carve-Out or provide a response that no such document

can be produced. In addition, Petitioners request an award of attorney’s fees, costs and

expenses for failure to comply with the requirements of FOIA.

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COUNT VI – CITY OF MYRTLE BEACH – FREEDOM OF INFORMATION ACT
VIOLATION - REQUEST FOR SUPERSEDEAS OR INJUNCTIVE RELIEF

The City should be prevented or enjoined from issuing permits


or taking action on any requests for the approval of vested
development rights in the Cottages pending resolution of
those issues raised in this action.

93. Petitioners incorporate herein by reference those allegations set forth in

paragraphs 1-92 as if same were set forth at length hereafter.

94. For reasons set forth above, Petitioners believe the City, through the office

of the Zoning Administrator, violated the South Carolina FOIA.

95. The failure of the City, by and through the office of its Zoning

Administrator, to supply information in a timely manner as required by FOIA has

adversely affected, and continues to adversely impact, the ability of Petitioners to obtain

information and documents required to fully assess the appropriateness of the

procedures employed by the Zoning Administrator in the disposition of matters

associated with the Cottages plan.

96. Determinations regarding whether the Cottages development plan

complies with the City’s Zoning Code are at issue in this case.

97. There are two types of development plans which may be submitted to the

City for approval, namely a “Phased development plan” and a “Site specific

development plan”.

98. A “Phased development plan” is a development plan submitted to the

local governing body, or body authorized by the local governing body, to make land

use decisions that shows the types and density or intensity of uses for a specific

property or properties to be developed in phases, but which do not satisfy the

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requirements for a site-specific development plan. The Code of Ordinances, City of

Myrtle Beach, South Carolina § 20-72.

99. A “Site specific development plan” is a development plan submitted to the

local governing body, or a body authorized by the local governing body to make land

use decisions, by a landowner describing with reasonable certainty the types and

density or intensity of uses for a specific property or properties. The plan may be in the

form of, but is not limited to, the following plans or approvals: planned development;

subdivision plat; preliminary or general development plan; variance; conditional use or

special use permit plan; conditional or special use district zoning plan; or other land

use approval designations as are used by the City; provided that all such plans must

conform to, comply with and satisfy all applicable planning, zoning, subdivision, storm

water management and control, building, fire, water and sewer, road and other City

codes and ordinances applicable to such development.” The Code of Ordinances,

City of Myrtle Beach, South Carolina § 20-72.

100. Based on the information provided by the City to date under the

December 20, 2021 FOIA, the Petitioners are unable to determine whether the

Cottages application is being treated as a “site specific development plan” or a “phased

development plan” or what stage of review the Cottages plan is currently in.

101. Petitioners believe and therefore aver that the current status of the

Cottages development may tempt plan proponents to request the City to afford the

Cottages “vested rights” in its development.

102. The City may not approve the establishment of a vested right in an

approved phased development plan, and may only approve and establish a vested

right in any phase of a phased development plan, if it conforms to, complies with and

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satisfies all state statutes and county codes and ordinances including, but not limited

to, planning, zoning, subdivisions, storm water management and control, building, fire,

water and sewer, road and other state and county codes applicable to such

development. The Code of Ordinances, City of Myrtle Beach, South Carolina § 20-

73(d).

103. If the City approves a vested right for one or more phases of a phased

development plan, a site specific development plan is required for approval with respect

to each phase in accordance with regulations in effect at the time of vesting. The Code

of Ordinances, City of Myrtle Beach, South Carolina § 20-74(a)(3).

104. The form and content of a site specific development plan submitted by a

landowner must conform and comply with the city planning, zoning, subdivision, storm

water management and sediment control, building, electrical, mechanical, life safety,

fire, water and sewer, road and other codes, ordinances and regulations applicable to

such development or development plan. The Code of Ordinances, City of Myrtle

Beach, South Carolina § 20-74-(a)(1).

105. No vested right in a site specific development plan can be established

except in conformity with the city planning, zoning, subdivision, storm water

management and sediment control, building, electrical, mechanical, life safety, fire,

water and sewer, road and other land use codes, ordinances and regulations. The

Code of Ordinances, City of Myrtle Beach, South Carolina § 20-74(a)(2).

106. The Cottages development is not permitted in the R-7 Zoning

classification, no phased or site specific development plan can be submitted for the

Cottages that complies with the R-7 zoning classification for the 76th Ave. Carve-Out,

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the Petitioners’ rights to relief are clear and, accordingly, such development cannot be

subject to a vested rights approval by the City.

107. Based on information and belief, Petitioners believe and therefore aver

that following the CAB’s January 27, 2022 approval, additional plan reviews are still

required for the Cottages project, that the project is not approved until all departments

assigned to the project have signed off and that the project will not be ready to permit

until such reviews have occurred and the plans have been determined to be

appropriate.

108. To the extent a vested rights request has been made to the City but not

yet approved, the Petitioners pray that this Court enter a supersedeas as the Court

deems equitable under S.C. Code Ann. § 6-29-920 or otherwise to enjoin the City from

approving same or issuing permits for construction pending the disposition of this

Petition.

109. To the extent a vested rights request has been made to the City and has

been approved, the Petitioners pray that this Court grant equitable relief, declare such

approval to be void or invalid, suspend, set aside and/or vacate such approval as ultra

vires, and enjoin the City from approving any further request for a vested rights pending

the outcome of this litigation

110. The Petitioners pray that this Court enter a supersedeas as the Court

deems equitable, together with such other equitable or injunctive relief set forth above,

and enter an award of attorney’s fees costs and expenses in addition to any

compensatory or equitable relief requested herein.

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PRAYER FOR RELIEF

Petitioners respectfully request this Honorable Court enter an Order:

1. Enjoining the City from considering the Cottages plan for vested
rights treatment while this action is pending;

2. Requiring the City to produce any written document, adopted by the


City, which would reflect a statement of policy or interpretation of
the City’s zoning code stating that two-family or multifamily
dwellings were appropriate for construction within the R-7 zoning
classification attributable to the 76th Ave. Carve-Out or provide a
response that no such document can be produced;

3. Declaring any determination or any attempt by the City’s Zoning


Administrator to make a determination that the Cottages was a
permitted use in the 76th Ave. Carve-Out is void, invalid, ultra vires
and contrary to law;

4. Reversing the determination of the City’s Community Appearance


Board approving the final Cottages plan submission;

5. Enjoining the City of Myrtle Beach from taking any action with
respect to the Cottages application unless and until the City
complies with the requirements of the Grande Dunes PUD;

6. Awarding the Petitioners their attorney’s fees and costs expended;


and

7. Such other and further relief as this Honorable Court may deem
just and equitable.

RESPECT FULLY SUBMITTED,

/s/ John M. Leiter


__________________________________
John M. Leiter, Esq., SC Bar #3187
Law Offices of John M. Leiter PA
405 79th Avenue North, Suite B
Myrtle Beach, South Carolina 29572
Tel. 843-449-1451; Fax: 843-449-4884
Email: [email protected]
Attorney for Petitioners

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