The second phase of a Downtown Raleigh project could be as high as 40 stories.
Fallon Company of Boston is holding a neighborhood meeting before submitting its rezoning request for the second phase of Raleigh Crossing. The 301 Hillsborough Building was the first phase. The new rezoning will affect 309 and 327 Hillsborough St. which are currently zoned as 20-story buildings. The Fallon Company has requested 40 stories, and offered two zoning requirements.
A spokesperson from the company stated that phase 2 will be a mixed use tower, which would primarily be residential. The company is reversing its plans and wants to build a taller tower for the second phase. Fallon officials said to the Triangle Business Journal that in 2021, the company did not want more height than the current 20-story zone.
The proposed rezoning of 327 Hillsborough, which builds on the momentum created by our 301 Hillsborough next-door project, aligns with Downtown Raleigh's vision of a vibrant urban centre in the heart the city. The Fallon Company released a statement that said the rezoning brought the project height in line with other nearby sites, and enabled us to deliver an efficient and market-leading product which continues to bring new life and energy into the area.
Fallon originally planned to build a second phase consisting of two smaller towers containing a hotel and an apartment building. However, the pandemic altered all plans. The first phase of the project, a tower with 19 stories, was completed in early 2022. 301 Hillsborough, a mixed-use building with retail and office space on the ground floor, is located in downtown Raleigh. Pendo, a Raleigh-based tech company, leases five of the top floors to house its headquarters.
The conditions that the company intends to include in its application for rezoning are a bikeshare facility with up to 8 bikes and an art installation. The two lots are 0.79 acres in size and have an assessed value of $6.9m.
The new Raleigh City Council is more reluctant to vote for taller requests. The last time the City Council approved a request for 40 stories was in October of 2022, before four new council members were elected.
Kane Realty retracted its request to build North Hills at 40 stories in March.
The city is currently mulling over several requests for 40-story buildings. Four parcels located on W. Davie Street, S. McDowell Street, and Salisbury Street are also eligible for 40-story requests. Three parcels of land on Kindley Street have also been rezoned for 40 stories.