Bend’s densest housing and commercial development, which will be located on the empty site of an old particle board plant in the shadow of the parkway, received the City Council’s unanimous approval Wednesday.

The 32-acre development, called Timber Yards, includes building heights of up to 75 feet and will have 1,600 housing units, including 250 that could be designated as affordable for seniors. It will also have a 180-room hotel and retail and office space. The development will focus on pedestrian-friendly infrastructure.

It will be built over the next 10 or more years near the Old Mill District at the old KorPine particle board plant, which was abandoned in 2016 after the plant’s roof collapsed under the weight of snow.

Fifty units of housing will be built per acre, according to plans from the applicant, Kennedy Wilson, a publicly-held global real estate investment company.

Construction of Timber Yards won’t be without impact. Neighboring businesses like Crux Fermentation Project will be most affected by changing traffic patterns and heavy machinery.

“The goal of Crux is simple: We want to remain a viable business for the next 10 years,” Larry Sidor, the owner and founder of Crux, told the council.

Timber Yards is envisioned as a vibrant, walkable community that will be built in nine phases, according to plans from Kennedy Wilson.

City Councilor Mike Riley called the development exciting, but he also recognized how much of a change it represents for the community, particularly because of the tall buildings.

It’s going to be an adjustment, he said. Riley brought up a concern with the lack of affordable housing within Timber Yards.

“I think we as a council need to continue to wrestle with the question about how do we ensure that not only are we providing housing, but how are we providing affordable housing?” Riley said.

Councilor Ariel Méndez agreed. The senior affordable housing included in Timber Yards’ plans are an aspiration, not a guarantee, he said.

“I think that successful communities are home to households of all income levels, and I would hope that there would be some kind of opportunity for that here,” he said.

However, the development will contribute around $2.5 million in construction excise tax, which directly funds affordable housing efforts.

Timber Yards will likely be designated as a Climate Friendly Area, which is a

designation that falls under statewide rules — called the Climate Friendly and

Equitable Communities rules — that aim to reduce greenhouse gas emissions by modifying land use zones and transportation.

Climate Friendly Areas are environments designed so people don’t have to completely rely on cars for every trip they make, said Elyse Vukelich, a planner with the city’s growth management department.

The areas are required to have strong bike, pedestrian and transit infrastructure, a higher housing density and access to jobs, businesses and parks and schools.

Ultimately, neighborhoods built this way give people the option to not take a car, and, therefore, reduce carbon emissions.

“These areas kind of already exist in Bend if you think about downtown, parts of the west side,” Vukelich said. “They’re already here. We’re just potentially creating more of them.”

The city is aiming to designate 275 to 300 acres of land as Climate Friendly Areas, and Timber Yards will likely be one of those areas, Vukelich said.

Other areas could include parts of downtown, the central west side and parts of Third Street, she said.

Numerous opportunities for public input on Climate Friendly Areas will take place in the near future, according to Vukelich, including direct engagement and a survey.