The small town of Calhan is considering a housing development proposal that could radically change the makeup of the rural community east of Black Forest.

In August, the town received an annexation request from Smith Land Development and Company LLC for a 96-acre parcel on the northwest corner of the town. The proposal, called North Tree, would annex the land to build about 475 single-family homes, according to submission documents.

The parcel was last sold in 2002, according to county assessor records. It remains undeveloped and described as “dry farm land.” William Vandergriff, a Calhan-area contractor, is listed as the senior manager of Smith Land Development. He has not responded to a request for comment.

This month, Calhan’s mayor and trustees approved a pre-annexation agreement for the property — a preliminary step that allows the town to take a deposit from the developer to pay for planning work to evaluate the request. The agreement gives the town 90 days to draft a proposed annexation agreement. After that, the town keeps the right to approve or deny the annexation petition through a public hearing process.

During the meeting, Trustee Chester Barlow said the agreement was a good faith effort on the part of Calhan.

“The town needs some improvement, and how are we going to get that if we signal to every single developer that we’re not interested in negotiating with them?” he said at the meeting.

The pre-annexation agreement passed 5-2. The town is in the process of collecting assessments from relevant public safety agencies, utilities and the school district. Calhan planning consultant Jeff Liljegren said the process to evaluate the proposal for the town’s requirements could take months.

“We’re in a very early process of review,” he said.

In the annexation application, the project is promoted as a way to “support the declining population” of Calhan. According to census data, Calhan’s resident count declined from 896 in 2000 to 762 in 2020.

An influx of 475 homes could drastically change those numbers. The proposal says the subdivision would provide “a more vibrant community, open spaces and parks for the community to enjoy, and support of the schools and businesses.”

Incorporated in 1919 after a community sprung up around a Rock Island Railroad depot, Calhan is a historic ranching town thanks to Big Sandy Creek’s draw for cattle operations, according to the town’s website. It is also close by Paint Mines Interpretive Park, an archeological site and tourist attraction, and is the yearly host for the El Paso County Fair.