Legal battle over Pepper Square development intensifies in far North Dallas

CBS News

25-04-2025

The legal battle over a controversial development plan in far North Dallas continues.
A new lawsuit was recently filed to block the Pepper Square shopping center development plan, which was approved by the city last month.
CBS News Texas
Battle against development continues
Homeowners who live in the area say their fight is far from over.
"Frustration. Disappointment. Because this [shopping center] could be such a jewel," said North Dallas resident Matt Bach when asked about the legal fight.
Bach, along with dozens of other frustrated homeowners, admitted they thought a vote by the Dallas City Council on March 26 was the end of a three-year-long battle to stop a major development plan aimed at replacing what is now the Pepper Square shopping center at Beltline and Preston.
"When we did our survey, 90% of the people did not want this development. So, you would have thought that [argument] would carry that day," Bach explained.
Concerns voiced over density
The plans created by developer Henry S. Miller include a shopping center, an 11-story apartment building with a little less than 900 units, retail, walking paths, and 2 acres of green space. But some neighbors have criticized the plan, citing safety and density concerns, given that it would be near one of the busiest intersections in Dallas.
"It's about density that we are objecting," Bach told the City Council in the public comment portion of the March 26 meeting.
Temporary restraining order filed
Despite the city's approval, the battle from neighbors could see new life.
"Let's not pack in apartment complexes just so we have a bunch of renters," said attorney Austin Smith, who now represents the Save Pepper Square Neighborhood Association.
Smith's firm recently filed a new temporary restraining order to block construction at Pepper Square. In the suit, he accuses the city of "spot zoning."
"What spot zoning is," Smith explained, "is the city decides to not only abandon the criteria but picks out a plot and re-zones something that's dramatically inconsistent with what it was previously zoned to."
Initiative sparks debate
In a court hearing Friday, Smith claimed the city is going against its Forward Dallas 2.0 initiative, which the city adopted last year as a land-use planning guide. Under Forward Dallas 2.0, Pepper Square is designated as a "community mixed-use property."
Smith argues the new zoning approved last month conflicts with the Forward Dallas initiative without proper cause to do so.
However, other pro-development agencies see the project as a plus. "There are two things people don't like: change and the way things are," said Dallas Cothrum, president of Masterplan, which represented Henry S. Miller during the zoning process—a process that included dozens of zoning meetings among city leaders. He said the Pepper Square development pushes Dallas in the right direction.
"I'd like to see us continue to encourage local developers to do projects in Dallas," Cothrum told CBS News Texas. "And we desperately need to redevelop lots of parts of the city, and the city sorely needs the tax base."
CEO defends development
Greg Miller, CEO of Henry S. Miller, wrote a statement to CBS News Texas:
"Dallas City Council considered and approved the rezoning application after a full, multi-year, public process, which included numerous public hearings, neighborhood meetings, and, of course, departmental review from the city's staff. We look forward to delivering an exciting new mixed-use development for the neighborhood to enjoy. The project will include neighborhood-serving retail, restaurants, medium-density housing, City Trail connectivity, new landscaping, and more than 2 acres of publicly accessible gathering space. While the case moves forward, we remain committed to working with the city and the many other stakeholders to deliver a project that benefits Far North Dallas. Because this is part of ongoing litigation, we won't discuss specific legal arguments, but we look forward to presenting our case in court."
Judge's decision pending
The judge did not rule on the case Friday, so the battle continues with another hearing scheduled in the coming days.
"I hope the judge sees this case like we do. And I hope he sees that the city willfully decided not to follow its criteria," Smith said after the case.
Bach hopes this case inspires compromise and says neighbors are open to a retail-focused development instead of hundreds of apartments. "This is not isolated. It's only Pepper Square. It's going to be in your neighborhood too. Get together, form coalitions, make your voices heard," Bach added.
CBS News Texas has also reached out to the City of Dallas for direct comment on this lawsuit but has not heard back.