Leander’s undeveloped Palmera municipal utility district, or MUD, is set to double its original size after Leander City Council voted Feb. 19 to add about 220.3 acres to the district. The expanded MUD comprises a total of about 417 acres, of which 197 acres are zoned for planned unit development. Developer Blake Magee has proposed building more than 1,000 single-family homes on the site, leaving additional acres for green space and apartment units. A MUD allows a developer to finance independently a district’s home construction and public infrastructure using separate taxes. Palmera’s developer plans to build a 12– to 30-inch sewer line, which will service not only the future Palmera neighborhoods but future houses and businesses along Ronald Reagan between Hero Way and Brushy Creek. City Council’s vote included an increase in the district’s allowable debt, raising the limit from $22 million to $50 million. City Council approved an amended development agreement for the Palmera project, as well as a resolution confirming Palmera's annexation to the city at a later date. The original 197-acre Palmera Ridge MUD includes the former Kittie Hill Airport and is located at the northwest corner of the Hero Way and Ronald Reagan Boulevard intersection. City Council approved the original MUD creation in December 2013 and annexed the site in April 2014. Magee plans to build about 600 homes in Palmera Ridge and about 421 homes in the new site, called Palmera Bluff. The additional 220-acre tract is owned by Lawrence Toungate and is located northwest of the current Palmera Ridge site. Toungate's site is also located north of a planned extension of San Gabriel Parkway from CR 270 to Ronald Reagan Boulevard. According to the amended agreement, Magee would also pay for 36 percent of the San Gabriel extension, as well as the cost for the road segments leading to the new neighborhood. The Palmera Bluff site adjoins the San Gabriel River and has a 75– to 100-foot cliff, Leander Mayor Chris Fielder said. Trees located at the bottom of the cliff, as well as property surrounding the trees would be untouched during development, Fielder said. Assistant City Manager Tom Yantis said the amended development agreement requires Magee to follow the same standards as Palmera Ridge. The agreement includes a requirement that the developer conduct a survey of any trees 18 inches or higher within the new Palmera Bluff site, and take precaution while removing any trees in rights of way or drainage areas. Place 1 Councilwoman Andrea Navarrette and Place 6 Councilman David Siebold said they support Magee’s intentions for careful development that preserves land and trees. “This area is going to be a very nice place to live and I think it’s going to be a very desirable subdivision,” Siebold said.