Why Did St. Johns County Just Reverse Approval on 1,000+ Acres of New Development?

St. Johns County commissioners voted 3-2 on September 28, 2026 to deny two major developments they had approved just a month earlier: the Heritage Development East and West projects, which together covered more than 1,000 acres near I-95 and State Road 207 in the county's southwest and could have brought roughly 15,000 new homes to that corridor. The reversal came after commissioners questioned whether the projects actually met the state's requirements for Florida's new "agricultural enclave" law, and it's part of a bigger fight over how much control the county still has over its own growth.

I'm CC Underwood with Selling with CC, and if you're buying, selling, or just watching home values in St. Johns County, FL, this is one of the more consequential local stories of the year, because it touches how much new housing supply is actually coming and where.

What is Florida's agricultural enclave law and why does it matter here?

Senate Bill 686 took effect July 1, 2026, and it creates a new fast-track process for converting farmland into developed housing or commercial use. Any parcel that is at least 75% surrounded by existing development qualifies for consideration as an "enclave," and once an application is filed, the county commission has just 90 days to approve or deny it. If the county doesn't act in time, the project is automatically certified as approved. That timeline shifts real power away from the usual local planning process and toward whoever files the paperwork correctly.

What exactly did St. Johns County commissioners vote to deny?

The Heritage Development East and West projects, filed by local builder Chris Shee's MasterCraft Builder company under the new enclave law. Commissioners Krista Joseph, Ann Taylor, and Sarah Arnold voted to deny the projects on September 28, while Commission Chair Clay Murphy and Commissioner Christian Whitehurst voted to approve them. Arnold had actually voted in favor back in August, and she didn't publicly explain what changed her mind a month later.

Why did the county reverse itself after already approving the projects?

Public testimony leaned heavily on traffic congestion, water quality, and concerns about water supply in the I-95/SR 207 corridor. Commissioner Taylor specifically argued the proposals didn't actually meet the state's technical guidelines for an agricultural enclave designation, which gave the board legal footing to deny them rather than simply changing their minds on policy grounds. That distinction matters, because under SB 686 the board's job is now to judge applications against the state's evidence-based standard, not to weigh in on growth policy the way commissions traditionally have.

Is this the only agricultural enclave fight happening in St. Johns County?

No, and it's not even the largest one. A separate application covering roughly 4,400 acres along the Intracoastal Waterway north of Palm Valley Road, filed by BR4700 LLC and tied to the Davis family of Winn-Dixie founders, was already rejected by the same 3-2 commission vote back on September 15. The company behind that project, PARC Group, is reportedly considering legal action. County staff were also reviewing eight more agricultural enclave applications as of mid-September, so this is an ongoing pattern, not a one-time event.

Does this mean less new housing supply is coming to St. Johns County?

For now, yes, at least for these specific parcels, which is notable given how tight inventory has been running in parts of the county. But it's not the end of the story. SB 686's automatic-approval clause means developers who believe their applications genuinely meet the enclave criteria have a real incentive to challenge these denials in court, and the lobbying ties reported between the bill's drafting and at least one of the applicant companies suggest this fight over interpretation is far from settled. Commissioner Whitehurst himself warned that denying applications on anything other than hard evidence invites "more and more state interference into our county government process," which is a real risk if these denials get challenged and overturned.

What should buyers and sellers actually take away from this?

If you're watching specific corridors like I-95/SR 207 or the Palm Valley/Intracoastal area expecting a wave of new inventory, that supply just got a lot less certain in the near term. If you already own in those areas, less imminent large-scale development can support values in the short run, though the legal uncertainty cuts both ways. Either way, this is a live, contested process with real litigation risk attached, so anyone making a decision based on "there's a big new community coming" or "that farmland will stay undeveloped" near these corridors should verify current status before assuming either outcome.

FAQ

What did St. Johns County commissioners vote on September 28, 2026? They voted 3-2 to deny the Heritage Development East and West projects, over 1,000 acres near I-95 and State Road 207 that could have brought about 15,000 homes, reversing their own approval from a month earlier.

What is Florida's SB 686 agricultural enclave law? Effective July 1, 2026, it lets landowners seek fast-tracked approval to develop farmland that is at least 75% surrounded by existing development, giving county commissions only 90 days to decide or the project is automatically approved.

Who is behind the Heritage Development East and West projects? Local builder Chris Shee's company, MasterCraft Builder, filed the applications under the new agricultural enclave process.

Are there other major agricultural enclave applications pending in St. Johns County? Yes. A roughly 4,400-acre application near the Intracoastal Waterway north of Palm Valley Road, tied to BR4700 LLC and the Davis family, was denied September 15, and county staff were reviewing eight more applications as of mid-September 2026.

Could these denied developments still get approved through litigation? It's possible. The developer behind the 4,400-acre Palm Valley-area project, PARC Group, is reportedly considering legal action, and SB 686's automatic-approval mechanism gives developers a strong legal argument if they believe their applications met the state's criteria.

Does this affect home values in St. Johns County right now? Not directly or immediately, but it affects expectations about future housing supply in specific corridors, which is a real factor in how buyers and sellers should think about competition and pricing in those areas going forward.

CC Underwood, Selling with CC | Real Broker, LLC | Jacksonville & St. Johns County, FL | 904-304-7005 | CC@sellingwithcc.com