Bee Cave settles lawsuit against developers of distribution center

The city of Bee Cave has settled a lawsuit against the developers of a proposed warehouse and distribution center, resolving a dispute over whether the project violated a 2015 development agreement. The city argued the industrial park would negatively impact the nearby Sweetwater neighborhood with increased pollution, noise, and traffic. Initially, the developers, Velocis and KBC Advisors, claimed they were exempt from city approval due to the property’s location within Bee Cave’s extraterritorial jurisdiction.

Under the settlement, the developers have agreed to donate $500,000 to the city and sell the site to Cesium Astro, a satellite technology company, for its global headquarters. Cesium Astro will modify the development’s design, reducing loading bays from 76 to four and limiting truck trips to a maximum of eight per month, requiring 24-hour notice and escorts for each delivery.

A separate lawsuit remains pending against former City Manager Clint Garza and Wheelock, the original landowners, alleging Garza withheld information about the warehouse plans from the City Council while receiving payments related to the development. Garza’s lawyer denies these allegations, stating the 2015 agreement delegated design approval to the Lazy J Municipal Utility District and that Garza properly disclosed the plans to city staff.

(Source：Austin American-statesman)