A new mixed-use development is officially moving forward in Sussex County, bringing a combination of residential and commercial space to a highly visible corridor near Lewes and Milton. 

The Chappell Farm project has now received final site plan approval, bringing 128 apartment units to the area and marking a key step toward construction and future growth in the area.

Final Approval Clears the Way for Development

The Sussex County Planning and Zoning Commission voted unanimously to approve the final site plan for Chappell Farm on March 18th, signaling that the project has met all zoning requirements and conditions set during earlier stages. 

The approval passed with a 5-0 vote, confirming that all necessary agency reviews and compliance measures were completed.

The conditional use permitting multifamily housing on the site was originally approved by Sussex County Council in June 2021. 

The preliminary site plan followed in April 2023. 

With the final plan now approved, the project is positioned to move toward construction.

It is worth noting that the project was reviewed as part of “Other Business,” meaning it was not subject to public comment during this stage of the process.

Image courtesy of Becker Morgan Group

Residential Component and Amenities

The residential portion of Chappell Farm includes four multifamily buildings, each approximately 15,040 square feet. 

Together, these buildings will bring a total of 128 apartment units to the site.

Beyond housing, the development is planned with a range of amenities aimed at creating a more complete living environment. These include:

• A community clubhouse
• Outdoor pool
• Playground
• Pedestrian pathways extending throughout the property

The design reflects a growing trend in Coastal Delaware, where new residential developments are focusing not just on housing but on creating lifestyle-oriented communities.

Image courtesy of Becker Morgan Group

Project Location and Layout

Chappell Farm will be developed on a roughly 15-acre parcel located at the northwest corner of Coastal Highway and Cave Neck Road, a high-traffic intersection that continues to see growth and infrastructure improvements.

The layout of the site is designed to separate uses while still keeping everything connected:

• Commercial buildings will be positioned along Cave Neck Road
• Residential buildings will be located toward the center and rear of the property
• A service road will provide internal access throughout the development

This L-shaped configuration allows the commercial portion to remain highly visible and accessible, while the residential area offers a more private setting away from the main roadway.

Commercial Space and Local Impact

In addition to residential units, the project includes a substantial commercial component. 

The approved plan features nearly 24,000 square feet of commercial space, with broader development plans indicating up to 40,000 square feet.

The commercial portion is expected to serve both residents and the surrounding area, with anticipated uses such as:

• Retail shops
• A pharmacy
• A gas station

Given the location along Route 1, this commercial space has the potential to become a convenient stop for both local traffic and visitors moving through the area.

Sussex County Government

Zoning and Infrastructure Considerations

To move forward, the Chappell Farm project required multiple zoning adjustments. 

The site was previously zoned for agricultural-residential use and has since been updated to support its new mixed-use purpose.

The approved zoning includes:

• Medium-Density Residential for the apartment buildings
• Heavy Commercial for the retail and service areas

The project also aligns with planned improvements in the area. 

Access to the site will connect with a proposed public service road and tie into ongoing Delaware Department of Transportation improvements at the intersection of Coastal Highway and Cave Neck Road.

Stormwater management systems and parking facilities are also included in the plan, ensuring the development meets current infrastructure and environmental standards.

What This Means for Coastal Delaware

Chappell Farm is another example of how Sussex County continues to evolve, especially along major corridors like Route 1. 

With a mix of housing and commercial space, the project reflects the region’s increasing demand for developments that combine convenience, accessibility, and community-focused design.

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Sources: Meeting Agenda, Meeting Minutes, Meeting Audio, Application Docket