Sevierville Planners Take Up 336 Apartments Off Lonesome Valley Road as Aldermen Weigh $704,526 Purchase of 402 W. Main
The Sevierville Planning Commission takes up final PUD approval for Phase 1 of a 336-unit apartment community on Lonesome Valley Road on Thursday, Nov. 5. Three days earlier, aldermen consider a $704,526 purchase of 402 West Main Street for the Old Knoxville Highway realignment.
A 336-unit apartment community planned off Lonesome Valley Road goes before the Sevierville Planning Commission for final approval of its first phase on Thursday, Nov. 5. Planning staff recommend approval, with conditions.
The vote comes three days after a different growth decision. On Monday night, Nov. 2, the Board of Mayor and Aldermen considers a $704,526 purchase of 402 West Main Street. The city needs the property to realign Old Knoxville Highway.
Together, the two meetings show how Sevierville is handling growth this fall: more rental housing on the edge of the tourist corridor, and road and sewer work closer to downtown.
The Lonesome Valley Road apartments
The site is Tax Map 72, Parcel 98.00, inside city limits. The plans label it at Lonesome Valley Road and Apple Valley Road. It sits in the VA Visitor Accommodation zoning district. The Planning Commission gave the development preliminary planned unit development (PUD) approval at its July 2 meeting. The request on Nov. 5 is final PUD approval for Phase 1, which covers all 336 apartment units.
Staff recommend approval once open comments on utilities, landscaping and amenity areas are resolved. A subdivision plat also has to be recorded for this phase before the city issues building permits.
What the site plan shows
| Item | Phase 1 plan |
|---|---|
| Total units | 336 |
| One-bedroom units | 168 (50.00%) |
| Two-bedroom units | 132 (39.29%) |
| Three-bedroom units | 36 (10.71%) |
| Building type | Three-story garden apartments, 24 units per building |
| Parking required / provided | 336 spaces / 350 spaces, including 30 accessible spaces |
| Zoning district | VA Visitor Accommodation |
| Preliminary PUD approval | July 2, 2026 |
| Final PUD hearing | Thursday, Nov. 5, 2026, 5 p.m., Civic Center |
Half the units are one-bedroom apartments. That mix fits the workforce Sevier County's hospitality economy depends on: hotel, restaurant and attraction staff who often cannot find rentals near work. Final approval would let the developer move toward recording a plat and pulling permits. Construction timing has not been set in the agenda materials, so watch for a recorded plat and building permits as the next signals that work is close.
Two acres off Veterans Boulevard
The first item on the Nov. 5 agenda is smaller, but it points to something bigger. Robert Campbell and Associates asks the commission to rezone about 2 acres of a Veterans Boulevard parcel (Tax Map 61, Parcel 148.01) from Arterial Commercial (AC) to Intermediate Commercial (IC). The owners are Ron and Betty Ogle.
Most of the parcel is already IC, which allows single-family housing. The applicant wants the rest to match so a residential subdivision can be built. The staff report adds context. The parcel is about 74 acres, and the owner holds several nearby parcels totaling well over 200 acres that could become one common development.
Staff would rather see High-Density Residential or Master Planned Development zoning on the requested piece and the western end of the property. Staff say that would allow homes while keeping incompatible commercial uses out later. It is worth watching. The staff report identifies a potential common development across the nearby parcels; no unified development approval is described.
Treehouse resort deferral likely
Phase 2 of the Sanctuary Treehouse Resort at 163 Pheasant Ridge Road is also on the agenda. It would add 13 treehouses in the TCL Tourist Commercial district. The applicant submitted revisions that go out for review the day before the meeting, and staff recommend deferring the item until those comments are resolved.
Monday: 402 West Main and Old Knoxville Highway
At the Nov. 2 aldermen meeting, the city considers buying 402 West Main Street for the roadway realignment tied to the Old Knoxville Highway Improvements Project. The property appraised at $600,000. The owners agreed to that value plus a $104,526 relocation stipend, for a total of $704,526. Closing is expected by January 2027.
Aldermen also consider Resolution R-2026-025. It authorizes the Public Works Director to administer right-of-way acquisitions for the same project. That means more owners along the corridor could hear from the city's right-of-way consultant in the months ahead.
Sewer relief on Collier Drive
An addendum to the Monday agenda adds a $184,775 contract with Haggard Plumbing for the Collier Drive force main. The line will relieve the Five Oaks lift station by sending flow to the Middle Creek gravity sewer system, including flows from the Windham Resort. Haggard was the low bidder, and Ardurra Engineering recommended the award.
A flag-lot request on Cedar Street
The Board of Zoning Appeals also meets Nov. 5. In Case 26-09, W.C. Whaley asks for a variance from the 40-foot street frontage minimum to create a flag lot with 17 feet of frontage at 305 Cedar Street.
Dates to know
- Mon., Nov. 2, 6 p.m. — Board of Mayor and Aldermen, Civic Center Council Hall: 402 West Main Street purchase, R-2026-025 right-of-way resolution, Collier Drive force main award.
- Thu., Nov. 5, 5 p.m. — Planning Commission, Civic Center: Lonesome Valley Road final PUD, Veterans Boulevard rezoning, Sanctuary Treehouse Resort Phase 2.
- Thu., Nov. 5, 5 p.m. — Board of Zoning Appeals: 305 Cedar Street flag lot.
- By January 2027 — Expected closing on 402 West Main Street.
What it means for Sevierville homeowners
If you own near Lonesome Valley Road
Three hundred thirty-six new rentals add traffic and competition for renters. They also bring residents who may become buyers in a few years. If you own a rental nearby, check your lease renewals and pricing before the new units lease up.
If you own along Old Knoxville Highway
The 402 West Main deal shows how the city is pricing acquisitions: appraised value plus relocation help. If the right-of-way consultant contacts you, get your own sense of value before you negotiate. Background on the corridor is in Sevierville Sets Sept. 23 Meeting on Old Knoxville Hwy Phase 1. For another recent Sevierville PUD, see Sevierville Posts Bogart Drive 43-Unit Preliminary PUD.
Thinking of selling in Sevierville?
Start with How much is my Sevierville home worth in 2026? or How fast do homes sell in Sevierville?. Get a free home valuation, or request a cash offer if you want a fast, certain sale.
When does Sevierville vote on the Lonesome Valley Road apartments?
The Planning Commission considers final PUD approval for Phase 1 on Thursday, Nov. 5, 2026, at 5 p.m. at the Civic Center. Staff recommend approval subject to resolving comments on utilities, landscaping and amenity areas.
How many apartments are planned on Lonesome Valley Road?
Phase 1 includes 336 units: 168 one-bedroom, 132 two-bedroom and 36 three-bedroom apartments in three-story garden buildings of 24 units each, with 350 parking spaces.
Why is Sevierville buying 402 West Main Street?
The property is needed for the roadway realignment on the Old Knoxville Highway Improvements Project. It appraised at $600,000, and the owners agreed to that value plus a $104,526 relocation stipend, for $704,526 total.
What is proposed off Veterans Boulevard?
Robert Campbell and Associates asks to rezone about 2 acres from Arterial Commercial to Intermediate Commercial for a residential subdivision. Staff note the owner holds well over 200 acres nearby and would prefer High-Density Residential or Master Planned Development zoning.
What is the Collier Drive force main?
A $184,775 sewer project, proposed for award to Haggard Plumbing, that relieves the Five Oaks lift station by sending flow, including from the Windham Resort, to the Middle Creek gravity sewer system.
Source links
- City of Sevierville — Planning Commission agenda and packet, Nov. 5, 2026 (PDF)
- City of Sevierville — Board of Mayor and Aldermen agenda and packet, Nov. 2, 2026 (PDF)
- City of Sevierville — Board of Mayor and Aldermen addendum agenda, Nov. 2, 2026 (PDF)
- City of Sevierville — Board of Zoning Appeals agenda, Nov. 5, 2026 (PDF)
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- How much is my Sevierville home worth in 2026?
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