Freeman Park (7/30/22)

The deal is done. Carolina Beach officially purchased the 9 properties making up Freeman Park (or the North End as many refer to it) on April 11.

I take no credit here. Previous councils worked long and hard to put this together. The credit belongs to them. I will however, take the time to explain it to you and tell you why I think it’s a wise move. 

A Brief History

The largest of the nine parcels has been owned by members of the Freeman family of Sea Breeze, an unincorporated part of the county that was once home to a thriving African American resort area. The Freemans were prominent members of their community and at one time were major land owners in southern New Hanover County. They literally owned thousands of acres from the river all the way to ocean. There are still many Freemans today living in Sea Breeze.

Back in the days of segregation African Americans were strongly discouraged from coming to Carolina Beach. The African American community developed thriving beach community know as Seabreeze.  The site was famous throughout the south.  In the way back days of the early 20th century Snow’s Cut didn’t exist and neither did the ICWW in our area. It was just called Myrtle Grove Sound and it petered out in Carolina Beach. The patrons of the Sea Breeze resort area would swim in the sound or just wade across (it was very shallow) to the area we now call Freeman Park to swim in the ocean.

In the 20s and 30s the ICWW was dredged and Snow’s Cut was created. The water got deeper and the currents (which until then were almost nonexistent) became strong. For context, sit by Snow’s Cut while the tide is running – it’s powerful. What we now call Freeman Park was cut off from Sea Breeze.

As far as I can figure, people have been driving out on the sand up there as long as there have been vehicles to do so. Ask any old timer around CB and they’ll talk about riding dune buggies and camping out there. It has never been Carolina Beach property (it’s in unincorporated New Hanover County) so the only law was the Sheriff’s Department. As the area grew more crowded, the lassie faire approach became untenable. The fires, trash, parties and bullshit got to be too much to ignore. It was getting too dangerous, too crazy and too dirty… it had to be managed. So CB took it over and started charging to enter. We could do that because we own the very first tract of land (see image.)

The Freeman family was always easy going about it. They didn’t make a fuss and in fact 2 to 3 family members served on the Freeman Park Committee for many years. 

Then an investor group started buying the parcels including a legal action to acquire the Freeman Tract. Ultimately they purchased all but one of the other tracts. The Town of Carolina Beach in a preemptive move to forestall possible development acquired one. When the town asked for easements to complete beach renourishment the investor group was unwilling to grant those without significant concessions that may have allowed a large-scale development. The Town, through the powers of eminent domain, took temporary easements to place a dredge pipe on the dry sand in front of the dunes. The investors sued and things got messy. Legal battles ensued and it’s way too complicated for me to explain here. To be honest, I barely understand it all.

Did they actually plan to build on this land? They did present several plans with a huge development, lots and a massive hotel complex. They had multiple appraisals which established values based on development. The erosion rate there is high, so it would be very risky to build there. There is no water, sewer or road, and the town had no obligation to provide these services. The land isn’t in the city limits.

But, why speculate about their plans? It really doesn’t matter. The deal is done.

The Terms

$ 7 million purchase price

–   $ 350,000                     from sand fund (2021/22 budget)
–   $ 2,300,000                  from sand fund (carry over from previous years)
–   $ 1,100,000                  from ROT (carry over from previous years)

=  $ 3,250,000 loan          from Truist Bank at 2.3% fixed rate

The Sand Fund

The “sand fund” is money that has been stashed away for about 8-10 years. It came directly from entrance fees, which are substantial. The purpose of the sand fund was to save for a potential renourishment project, because the federal government will not contribute. Why? Two reasons: 1) federal money only goes to beaches that protect houses or infrastructure (Freeman Park has neither); and 2) federal money will not go to designated Inlet Hazard Zones (Freeman Park is one.) If we want to add sand, it’s going to be on our dime.

We Can Afford This

It’s only a 10-year note. No balloon payment, no early payment penalty. An average payment of $366,000 per year.

Like I said, the entrance fees are substantial. In fact the entrance fees have been enough to manage the property, contribute to the town general fund AND add to the “sand fund.” Now instead of putting money in the “sand fund” it will be going to pay off the loan, and in 10 years we’ll be free and clear.

Here’s how much we’ve brought in the last two years, and what we project to bring in this year:

FY 2021 … $884,000 … (actual)
FY 2022 … $885,000 … (actual)
FY 2023 … $822,000 … (projected)

We also have an application in for a grant from the North Carolina Land and Water Fund. We’re requesting $3.25 million – enough to pay off the entire loan. Understand that a grant means limitations on what we can do out there. I certainly have no desire to develop the land, so the restrictions may be perfectly reasonable. We’ll see. 

On To the “Mike’s Opinion” Part…

Why do I think this is a good thing? Let me count the ways:

1. We protect a delicate ecosystem (300 acres!)
2. We preserve open space.
3. We provide access for recreation.
4. We create a source of town revenue.
5. We keep local control… It will be incorporated as a part of Carolina Beach and we are not beholden to New Hanover County or the State. We make our own decisions.
6. We end the lawsuits… The legal fees have been sizeable. Fortunately, New Hanover County pitched in, but we couldn’t have expected that to last forever.
7. We make beach renourishment possible… as discussed, there will be no federal money for renourishment. But when they dredge Carolina Beach Inlet or the Intracoastal Waterway (ICWW), they have to put the sand somewhere. Now it can go on Freeman Park.

Just this winter they dredged the ICWW and put the sand on Masonboro Island! Why? Because the old owners of the Freeman Park land wouldn’t allow it. The next time one of these areas is dredged, the sand may be put on Freeman Park. That could alleviate the narrow spot, or pinch point, but also the rest of the beach strand, because sand moves around.

How I’d Do It

I spent 5 years with a land trust in Wisconsin, and we made all land management decisions after input from an expert advisory committee. We had 3 wildlife biologists, a herpetologist (amphibians), an ornithologist (birds), a botanist (plants), a tree expert and 2 private landowners to offer some good-old-fashioned regular folk input.

When we took on a new preserve we would start slowly. We’d explore it, map it and mark the boundaries. We’d note interesting features, unique habitats and rare species. We’d remove any man-made structures and junk. We’d note the invasive species present (that was a big problem up there.) And then we would watch, for a year or more. In short, we would learn the land before we took any major action. Only then would we devise a management plan, which always included a public access component.

With that as my experience, it should come as no surprise that I’d like to see it stay natural, but accessible to the public.

The soft sand area east of the dunes should stay open to vehicles. It’s become a traditional use and I wouldn’t change it. (Besides, the entrance fees will pay for the maintenance.) The areas west of the dunes should remain unspoiled, but open for passive recreation. (Hiking, bird watching, fishing, wading, etc…) I’m open to hiking paths, observation towers or kayak launches. Things of that nature. Maybe even a paved bike path, but we’ll have to see.

First things first, we need an advisory committee of experts. Marine biology, wildlife biology, ornithology, erosion, coastal resources, botany, etc… I’m not looking to stock a committee with my buddies, I’m looking for expert advice. If they live in CB great, if not, I’d look elsewhere.

Financially, we must be cautious. Management of Freeman Park should be paid for by user fees only. This should not be a drain on our budget. In fact, if run properly it should also contribute to the general operation of the town. Perhaps we set it up as an enterprise fund. That means it is operated essentially as a separate budget, so that we can assure the public that its being run efficiently. (Just a thought, I’m not 100% about this idea.)