KNOXVILLE, Tenn. (WOKI / WVLT) — A proposed redevelopment of the former Kerbela Shriners property in South Knoxville has been halted after the Knoxville City Council voted Tuesday night to overturn the project’s approval.
In a narrow 5-4 vote, council members upheld an appeal filed by the South Waterfront Advisory and Advocacy Group, reversing a previous decision by the Knox County Planning Commission that had approved the development in August.
The proposal, submitted by CR Endeavors, called for a 55-and-older residential community on the historic South Knoxville site.
Appeal Focused on South Waterfront Vision Plan
The project required a Level III Alternative Compliance Review, with developers seeking seven exceptions to requirements outlined in the South Waterfront Redevelopment and Vision Plan, which was adopted in 2006.
Opponents argued the proposal did not align with the vision plan or the district’s form-based development code.
The South Waterfront Advisory and Advocacy Group appealed the Planning Commission’s decision, contending the development failed to meet long-established goals for the area.
Developer Made Revisions
Following multiple stakeholder meetings, CR Endeavors revised the proposal in an effort to address community concerns.
The updated plan included:
- A public plaza at Dawson Street and Sevier Avenue
- Additional landscaping and lighting
- Space for food trucks
- A public east-west walkway
- Donation of a portion of the property to the City of Knoxville
Despite those changes, a majority of City Council members voted to overturn the project’s approval.
City Council Attorney Rob Frost noted that Tuesday’s hearing marked the first Level III appeal ever considered by Knoxville City Council.
Developer Responds
Following the vote, CR Endeavors released a statement expressing disappointment while indicating it is considering future options.
“We love Knoxville, and we love this site,” the company said. “We believe the proposed 55-and-older community offers a thoughtful next chapter for a property with a long history in South Knoxville.”
The developer said it respects the council’s decision and will evaluate its next steps while considering the feedback received during the process.
What Happens Next?
The council’s vote prevents the approved version of the project from advancing into the design and development stages.
Any future redevelopment proposal for the property would likely require additional review and approval before moving forward.
The former Kerbela Shriners site remains one of the most closely watched redevelopment properties along Knoxville’s South Waterfront corridor, where city leaders and residents continue to balance growth with the area’s long-term planning goals.
