A secret bird paradise vs. new townhomes on Hilton Head: Can both exist?
There’s a hidden paradise for bird-lovers inside Indigo Run.
Shirley and Joe Newton are lucky enough to live right next to it. The backyard of their home faces a small island of trees in Otter Creek that attracts hundreds of birds each year.
The island is what’s known as a rookery, a place where birds nest and raise their young. During nesting season, spoonbills, egrets, herons, and wood storks fill the air with a cacophony of bird calls.
At dusk, the Newtons watch the birds from their back patio and enjoy a glass of wine. Hundreds of ibises flock to the rookery to roost every evening. Every morning, they all take off at the same time.
“It’s really spectacular to see,” Joe Newton said.
No one knows exactly how old the rookery is, but it’s been Indigo Run’s best-kept secret for years. A new development, however, has residents concerned about the rookery’s future.
Just across the creek from the nesting site, Charleston-based Material Capital Partners is proposing a 58-unit long-term-rental townhome community. Residents fear the construction and residential activity will drive the birds away.
Susan Martin, a local wildlife photographer who’s been visiting the rookery for more than 15 years, said she’s seen bird activity decline significantly over time, especially after Hurricane Matthew in 2016.
“Unless there is a buffer ... and they’re going to leave some trees there, it’ll absolutely ruin it,” Martin said. “Too many people, too many lights, too much noise, all coming from people living on that.”
Protect ‘what Hilton Head’s all about’
David McNair, President of the Indigo Run Community Owners Association, has joined the fight to protect the rookery.
He has lived on Hilton Head since 1979. A former developer himself, McNair spent decades building homes on Hilton Head before joining the COA.
“I love what Charles Fraser did,” McNair said, referring to the trailblazing Sea Pines developer who is credited with shaping modern Hilton Head Island through environmentally conscious planning and resort-style development. “Somehow we’ve kind of lost that.”
The new townhome development, called Driftwood, borders the private Indigo Run community. McNair is concerned that the development is too close to the bank of the creek, leaving only a thin buffer of trees between the new homes and the rookery.
Additionally, the McNair is concerned that the developer intends to clear-cut the property. Only two trees have been explicitly marked for protection, according to site development plans submitted to the South Carolina Department of Environmental Services.
If the developer increased the setbacks and preserved more trees, they could reduce the impact to the birds, according to McNair.
“They have a right to develop the property,” McNair said. “They just need to do it in a way that’s considering nature and the trees and the environment ... what Hilton Head’s all about, really.”
Residents want a park
Residents like Bill Bosley hopes that the town could purchase the property and turn it something resembling the Cypress Wetlands, a public park in Port Royal with a rookery and scenic boardwalk.
“It makes much better sense to preserve the wildlife, preserve the rookery and turn it into a park,” Bosley said.
McNair agrees, adding that it would be “great to share” the rookery with the rest of the island.
Many people already flock to Hilton Head for kayaking, birdwatching, and nature tours. A small parking lot and a boardwalk or trail would be all that’s needed to turn the site into a prime spot for birdwatchers, Bosley said.
The Town of Hilton Head has a program to purchase land to mitigate development, funded in part through a tax on real estate transfers. According to an October 2025 news release, the town has purchased more than $44.6 million in property since 2023. These investments prevented the development of 424 dwelling units, 106 hotel rooms or time-share units and 37,000 square feet of restaurant and office space, according to the news release.
The Packet reached out to the town to ask if it was feasible for the town to purchase the property at 229 Marshland Road and develop it into a park. Kelly Spinella, Interim Communications and Marketing Director, wrote via email that the property “was recently acquired and is not currently for sale.”
Property records show the 11.3 acre property was sold to MCP Driftwood HH Property Owner LLC for $7.2 million in February 2026. For more than a century, the property was part of a 37-acre tract owned by the descendants of Dennis Allen, one of many early black landowners who purchased property on former plantations following the Civil War. It was divided and later sold as the result of a lengthy heirs property dispute, court records show. The dispute was featured in a 2017 article in The Nation, a progressive monthly magazine founded by abolitionists in 1865.
What is the status of the development?
Developers recently applied for a permit through the South Carolina Department of Environmental Services. The public comment window for that application closed May 12.
Local advocates took to social media to urge others to submit comments with their concerns about the development. Kay Grinnell, President of Hilton Head Audubon, submitted a letter urging the SCDES to give the project “the highest level of environmental scrutiny” and deny any permits that would negatively impact the rookery or adjacent wetlands.
“The cumulative impacts of development in environmentally sensitive coastal areas must be carefully evaluated, particularly where wetlands, tidal systems, and nesting bird habitats are involved.” Grinnell wrote. “Once disturbed, these habitats may never fully recover.”
The Island Packet reached out to SCDES for information about the permit status but did not hear back in time for publication.
In addition to SCDES, developers must also seek permission from the Town of Hilton Head. According to public documents, developers have met with town staff about the project multiple times. The next step is to receive approval from the town’s Design Review Board, which is tasked with preserving the island’s character by overseeing the aesthetics of developments.
Architects with Hilton Head-based Wood+Partners submitted conceptual plans for the Driftwood development on May 13. The board will meet next on June 10; the agenda for the meeting has not been posted as of May 26.
What have developers said about the project?
A narrative attached to the DRB application says the project was developed in response to “growing demand for high-quality, long-term rental housing on the island.”
The project will introduce up to 58 units on 11.31 acres of property — averaging at just over 5 units per acre. Applicants point out that existing zoning allows for up to eight units per acre, and that the proposed density is “well below that limit, reflecting our intent to create a low-impact community that blends into its surroundings.”
Homes will be three to four bedrooms each ranging from 1,900 to 2,100 square feet, according to the narrative. Units will cluster around shared green spaces, and trees will be placed along streets and sidewalk to provide shade and “visual appeal.” Amenities will include a pool, clubhouse, fitness center, and gathering areas.
“The development team has worked diligently to design a project that is thoughtfully integrated with the surrounding community, responsive to the Town’s design objectives, and respectful of the natural character of Hilton Head Island,” the narrative states.
The Island Packet reached out to Material Capital Partners for comment, but did not receive a response in time for publication.
