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7.2. SR 11-18-2019 ��i Eof lk — - Request for Action River To Item Number Mayor and City Council 7.2 Agenda Section Meeting Date Prepared by Public Hearin November 18, 2019 Zack Carlton,Planning Manager Item Description Reviewed by Ordinance Amendment:Auto Sales in the Focus Chris Leeseber , Senior Planner Area Study-The Point (A) Zoning District Reviewed by Cal Portner, City Administrator Action Requested Direct,by motion,the preparation of a finding of fact denying the proposed ordinance amendment as the use is not consistent with the Comprehensive Plan. The resolution would return to the City Council for adoption on December 16, 2019. Background/Discussion _ The applicant, Sun Rae Apartments LLC,has requested approval " CR 33 of an ordinance amendment that would allow auto sales at the former Saxon Motors property. The property previously operated as an auto dealership,but has not had an authorized use for nearly z 10 years. RR The property was included in the Focused Area Study (FAST) Hwy io boundary in 2010, and subsequently guided for high density - - CR 12 residential uses. The Comprehensive Plan,updated in 2014, formally adopted the FAST guidance into the Land Use plan, and '"'. the city rezoned all properties within the FAST land use district in `, 2016 to be consistent with the guidance from both documents. PR 'i " :.y Applicable Regulation 'Q,69 In reviewing a proposed amendment, consideration sball be given to existing conditions witbin the area directly and indirectly affected by the proposal, the conservation of property values, the use to wbicb the property affected is being Figure i devoted at the time, and relevant provisions, if any, in the land use plan. Nothing of significance in the area has changed since approval of the FAST plan in 2010, adoption of the Comprehensive Plan in 2014, or rezoning of the property in 2016 to facilitate an amendment to allow a high impact commercial use on a property guided for residential. Staff and the Planning Commission do not support changing the ordinance as the city has already seen a number of plans showing residential uses are feasible on the property. Additionally, adding auto sales as The Elk River Vision A welcoming community witb revolutionary and spirited resourcefulness, exceptional p D W E H E D D Y service, and community engagement that encourages and inspires prosperity /` UR an allowed use in a residential district is not the best mechanism to allow the use on this site as the land use still guides the property for residential uses. Planning Commission The Commission held a public hearing on October 22, 2019. One person,an adjacent property owner, spoke and asked the Commission to deny the ordinance amendment. The Commission discussed the need to follow the recommendations of the Comprehensive Plan and the FAST study as that is the best guidance for the property at this time and the plans do not support auto sales on this property. The long-term vacancy of the building was also discussed, noting that the property has become an eyesore for the community. However,the Commission was agreement of the need for patience to develop land in accordance with the Comprehensive Plan and not to make decisions based on an implied sense of urgency. Staff noted the previous decision to allow institutional uses in an industrial area based on the needs of one property owner that was having a difficult time finding a tenant. The Planning Commission was not in favor of an ordinance amendment to allow auto sales in an area guided for high density residential and unanimously recommended denial. Site History Automobile sales were first authorized on this property in 1993 with Conditional Use Permit (CUP) 93- 32. The property was zoned C-3 (Highway Commercial) at the time,which allowed car dealerships with a CUP. An expansion was permitted in 2002 with CUP 02-26. This is the last CUP issued for this property and the both recorded CUP document state "A Conditional Use Permit authorizes only the use specified in the permit and shall expire if, for any reason,the authorized use ceases for more than one (1) year." City records indicate that the dealership closed some time in 2009, and a sheriffs sale for the property was granted September 24, 2010. The property was purchased by a bank February 8, 2011, and the current owner purchased the site October 9, 2014. The property had been zoned C-3 from initial approval of the dealership until it was rezoned to FAST— The Point (High Density Residential) on August 15, 2016. This rezoning eliminated the possibility for auto sales on the property,but it did not"zone out"an existing use on the property as the dealership had been closed for approximately seven years and the CUP had expired. Financial Impact None Statutory Review Period Per State Statute §15.99, the required 60-day review period ends on November 29, 2019. Attachments ■ Planning Commission memo dated October 22, 2019 ■ Draft October 22, 2019, Planning Commission Minutes (partial) Elk Request for Action River To Item Number Planning Commission 4.2 Agenda Section Meeting Date Prepared by Public Hearing October 22, 2019 Zack Carlton,Planning Manager Item Description Reviewed by Sun Rae Apartments LLC / Pat Briggs - 17354 Chris Leeseber , Senior Planner Zane St. NW Reviewed by ■ Ordinance Amendment to allow Auto Sales in the FAST—The Point Zoning District, Case No. OA 19-09 Action Requested Recommend,by motion, denial of the proposed ordinance amendment as the use is not consistent with the Comprehensive Plan. Background/Discussion _ The applicant, Sun Rae Apartments LLC,has requested approval CR 31 of an ordinance amendment that would allow auto sales at the former Saxon Motors property. The property previously operated as an auto dealership,but has not had an authorized use for nearly 10 years. RR The property was included in the Focused Area Study (FAST) Hwy 10 ' boundary in 2010, and subsequently guided for high density - CR iz residential uses. The Comprehensive Plan,updated in 2014, formally adopted the FAST guidance into the Land Use plan, and , the city rezoned all properties within the FAST land use district in 2016 to be consistent with the guidance from both documents. 99 ti Applicable Regulation In reviewing a proposed amendment, consideration shall be given to existing conditions within the area directly and indirectly affected by the proposal, the conservation of property values, the use to which the property affected is being Figure i devoted at the time, and relevantprovisions, if any, in the land use plan. Nothing of significance in the area has changed since approval of the FAST plan in 2010, adoption of the Comprehensive Plan in 2014, or rezoning of the property in 2016 to facilitate an amendment to allow a high impact commercial use on a property guided for residential. Staff does not support changing the ordinance as the city has already seen a number of plans showing residential uses are feasible on the property. The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional p o w E R E o e r service, and community engagement that encourages and inspires prosperity11"N'ATURE] Financial Impact None Statutory Review Period Per State Statute 15.99, the required 60-day review period ends on November 29, 2019. Attachments ■ Location Map ■ Applicant's Narrative ■ City Maps — +iir ^. .'� rr ' JF 4 4i dp ILA Lo . . r .t 4? :w' b 01% Lril 'Jr . + Ln -14 4 OrrL {�4 Ln Xt ID It kn l f� r r � r #'V 7i e-4 1[J � L1 ' J f F%JU TES SEP 3 0 2019 Ordinance Amendment Narrative The property was forcefully rezoned, commercial uses are approved for this property. We are requesting to add a dealership to the approved list of uses.The property previously was a dealership. There are several other commercial businesses on the same street and commercial uses are already approved at this location. The benefit of this is that the property becomes occupied and put back into production for commerce. 1 1 9 9 9 0 • ' • • = •I MEZZO D •lei • Northsta Park: - - - - -, Existing bulness park ' Open space . a enhanceme is' ►y r The Pinnacl : 175th Aveni "Near term light iever Marsh I ndustrial and Residential: business park 4 -—Existing "Long term corporateresidential campus ,,,;�.�,�,, ., �;., • rd Avenue`- _ - _� �� e Point: -- l � � � � Hillside Hai High Density Housing Urban hillside Riverfront amenity 0 housing N N Attached/stacked to r q residential Open space est Ave. connections (D Elk River motion: K Hwy ice Commercia : y 'Existing residentia Small professional office ` } Station Area Villae: t Small service - Vertical mixed use "Retail j ; "Pedestrian enhancements , ta rac s Of�ree/Jab focusla River West Residential: Ground level retail 'SExssting residential "H©using buffered from tracks Office Village: }Office showroo ,-Technology. - The Hinge: Lightmanufacturing Community commercial, ' •4 retail and office '•L Integrate with wetlands , "Development orients to new streets _ .165th Avenue East Elk River Gateway: PotentiaPost 2020 Destination Retail Business Park: " Temporary Destination Retail —Eco-energy focus }Housing along the river z0 —Potential rail spur Ohne/Corporation campus —Manufacturing +Existing D1=Plant: _ —Road co nection could " "Reinvention"for futur come ea liar { ' —Site design/lconic �, architecture Future DeVeLOPment FrameWOrK Plan i 15r•7 -S q \I • i 1 a w ,`6'ril1 I I I J Legend: Existing Reaiciential 55 ■ Higher Density 155 AC —— —— – – –Residential Transit Center 120 AC r i r ■ Service/Commercial 35 AC ti ■ ❑eatination Retail 45 AC ■ - 1 -- Temporary Destination 25 AC f.. Retail ■ _r. Jobe Area 245 AG t Oper,Spac@ 250 AC i TOTAU 936 AC Gateway Property ` + Northatar Commuter Rail Station Future Interchange Location . n SBP' ts017' i2£1Q' ti � e - � sIN NN� - 1� : QIP ' ���/u ■..�. II�� X11��� _ ___ 1�.';'��u.� � 'u 111.1 l�I _ a F � � ■ISI���,. -� I^�■\\ 111���:�E iii i �� s�yil ��_� sg -' �� ■�r� �".�'�■ � tri.� � � a� •� l l .• , _ II •q � —■ 1� r�� � �r+"Tii �IY.■ ■r�:+fL`',a�liGW� �� '�* .1! _:�10i NuNut1 �L�::IIII _nv JI• � IIS �I .� ���• - 2-Al �"- •-. ���n� AND ■ LA 111�■ �. —� �j.-.-I.`r�f— .. --- ■■■ �;11'.", 1.11��-- � nn ri l,e- I_^I. �. 1�� • IN 9i�� SII � 11 ���� �11 —:,. I ��. 1• �� I_ ��, ���•, i � r SIV ■ ■ ■ n- .■ ��\ a 71 f� ■ � � - � 7.111 1 .. 1111111 .-. .. ,r •1� �...�, q" �. »` �: ,,�� Ijl\� nn '�'� � n•� e�� ` , �' Y �I� - Irmo I���& ��:'aq�_—i�,�� yNJ � •. !IIII. r lel■ i� �;���; u j�� e•�1 IiSlnllu o ■ r �� ■i ����I®=i�-yam.© 11 ���(11�'I MA .............. - ■bw10-4 � I� ■■ ' •rypmn/_a s mind _ lllt.■\ � o_®L�a� �c.y N I/YP� ���Cls�V �� s� r i� I- �� �� 9� inn �=' L � I _ _ ■ilsa■� ------------ � --�_ i � ��i ��',A"�. �.er ®Inver � a■� NN � RMIA �In1�111KL1 � Iain• ig - l#, 1111111 ^ A �IrH r� -ION II NHC �ia�d� ��lff�� 5�, k,;,S�r •... � ��Yrr:1'1 �,�r(d� � �) � -.s�� Ily�■�� _ .mil=��� � '■�!��' 'lt FAST 7 r_ VAT Al m FAST fi�.7 - - v' � 5•.. E m 7 m s - 0 A fm - � Sec. 30-1587. - Focused area study (FAST). The focused area study (FAST) district is established to provide land use, architectural, and bulk regulations to the 900 acres of property located on each side of Highway 10/169 between 177th Avenue and 185th Avenue. The FAST is intended to incorporate the findings and recommendations developed from the 171 5C focused area study and as amended from time to time. Because of the diverse range of activities envisioned within the district, all within a common master plan, zoning is regulated through the development of sub-zones. The subzones are: (A) The Point (B) The Pinnacle (C) North Business Park (D) Hillside Heights (E) Office Village (F) River West Residential (G) Hwy 10/169 Service Commercial (H) The Hinge (1) East Elk River Gateway (1) The Point(A) . a. Purpose. Subzone "A" is established to provide an environment for high density residential development and to maximize the recreational and aesthetic benefits of the river. Most development is less than three stories. b. Permitted uses are as follow: 1. Licensed daycare facilities (16 or fewer children). 2. Model homes in compliance with section 30-800. 3. Public parks. 4. Residential, duplexes. 5. Residential, multiple-family. 6. Residential, single-family. 7. Residential, triplexes. 8. State-licensed residential facilities or housing. C. Accessory uses are as follows: 1. Accessory structures (provided the materials are the same as those of the existing principal structure). 2. Public shelters. 3. Signs as permitted in section 30-851 et seq. d. Conditional uses are as follows: 1. Boardinghouses. 2. Business offices. 3. Development of property within the 50-foot setback of the wild and scenic river district. 4. Institutional uses. 5. Licensed day care facilities (17 or more children). 6. Nonprofit clubs. 7. Outpatient health care facilities. 8. Professional offices. 9. Townhomes (maximum 12 units per structure). e. Bulk regulations. Bulk regulations are listed in section 30-1588. f. Architectural standards. Architectural standards are outlined in section 30-938. Planning Commission Page 5 October 22, 2019 ----------------------------- Mr. Carlton stated the response letter to the applicant would include the comments from the site visit as well as Planning Commission comments. Commissioner Rydberg stated this is a five month period for cold storage in a building that’s been vacant for ten years, and felt the commission should be careful packing more conditions with electrical, plumbing, and sprinklers for a five month use for a building that will probably be torn down in the future. Chair Johnson stated as long as they’re meeting state code for cold storage, he’s comfortable with it. Commissioner Larson-Vito stated the building and fire codes should be addressed and the building left in a suitable condition after the temporary use ceases, referencing Applicable Regulation #2. Commissioner Rydberg stated he felt that was overstepping and felt the fire marshal and building inspector comments should be sufficient. Moved by Commissioner Rydberg and seconded by Commissioner Beise to recommend approval of the request by Sun Rae Apartments LLC / Pat Briggs for an Interim Use Permit for indoor storage at 17354 Zane St. NW with the following conditions: 1. The IUP shall expire on May 31, 2020. 2. Staff shall be permitted to conduct an inspection of the building on June 1, 2020, to verify termination of the use. 3. The applicant must submit architectural documentation identifying the building classification and necessary improvements to ensure it meets the designated building classification. 4. Prior to establishment of the use, the Fire Marshal and Fire Chief shall conduct an inspection of the building to review potential fire code issues/concerns. 5. All concerns identified by the site visit or submittal of plans will need to be addressed prior to establishing the use. 6. Outdoor storage shall not be allowed. 7. The applicant must submit a copy of a lease agreement for a single- use tenant to end May 31, 2020. Motion carried 7-0. 4.2. Sun Rae Apartments LLC / Pat Briggs  Ordinance Amendment to allow auto sales in the FAST The Point (A) Zoning District, Case No. OA 19-09 Mr. Carlton presented the staff report. Councilmember Ovall asked if there was a timeline for the access removal along US Highway 10. Planning Commission Page 6 October 22, 2019 ----------------------------- Mr. Carlton stated MnDOT officials are very focused on this area and still determining the improvements and costs involved along this specific area of US Highway 10 as well as the affects further into Ramsey and Anoka, and to his knowledge at this time it’s unknown if and when those improvements will occur. Chair Johnson opened the public hearing. Thomas Price – 17533 US Highway 10 – stated he has owned his property since 1978 and is a former assistant Sherburne County attorney. He explained the history of this area near his property along US Highway 10 and asked the Planning Commission to look to the future of this location and its land use, already guided by the FAST plan, and keeps those parameters by not allowing a car sales lot. There being no one else to speak, Chair Johnson closed the public hearing. Chair Johnson stated he was present during the time period when the FAST study and Comprehensive Plan were developed and has a good understanding of why this area was guided to high density residential due to the access points and river location. He stated he didn’t want to stray away from those guidelines. Commissioner Rydberg echoed Chair Johnson’s thoughts and Mr. Price’s comments and stated he is also not in support of straying away from the FAST study guidance. Councilmember Ovall stated he’ll play devil’s advocate and feels indifferent about the lack of action to date and current status of the property. He felt the building’s infrastructure, walls, decking, and parking lot all need work but in the end, the building is still there and sitting empty. He stated if this ordinance was amended to allow car sales, it would open the building back up to what it was originally and would create a rehabbed property. In doing so, he stated the building would be maintained and updated, generating traffic to the area, allowing economic activity by adding jobs and bringing the property back onto the tax rolls. He discussed the challenges of guiding this property to high density housing and requirements of needing TIF funds, and asked the commission to look at it from that angle. Chair Johnson stated while he appreciates that thought process, he felt the appropriate way to handle this approach would be to rezone the entire area rather than adding an ordinance amending that particular parcel, which in turn would make it more of a mixed use area. He stated he isn’t in favor of amending the ordinance now if the city is reviewing the Comprehensive Plan in 2020. Councilmember Ovall stated he couldn’t speak to the traffic volumes and not an expert on that. He did appreciate the comments of Mr. Price and would have liked to have heard from the area homeowners of what they would like to see. Chair Johnson indicated in the past, neighboring homeowners were not in favor of commercial uses in that area. Planning Commission Page 7 October 22, 2019 ----------------------------- Commissioner Larson-Vito wasn’t in favor of spot zoning and band aid fixing a particular property with the current and future goals of high density housing. She stated she did understand the concerns with this property’s condition but in keeping in accordance with the Comprehensive Plan and based upon the information presented today, she stated they should deny this request. Commissioner Thiel agreed with Commissioner Larson-Vito and echoed the comments already made by the other commissioners. Councilmember Ovall asked what different action could be taken for this property being potentially blighted. He stated it’s a drain on city services with the calls for public service for city staff. He stated if they do nothing, there’s the potential this property will be blighted another 5-10 years. Chair Johnson stated he understood where Councilmember Ovall was coming from and suggested he has this discussion with the City Council. He indicated the council makes the ultimate decision but the Planning Commission follows the Comprehensive Plan to make its decisions and how those requests fit into the plan. Mr. Carlton stated the city has seen plans for high density residential proposed for this property and the plans were generally supported by both Planning Commission and City Council. He stated while the mixed use wasn’t included in those plans, the housing possibility and TIF opportunities are still available. He stated land use plans take time and patience, and although none of them were present for this decision, the last time when there was a sense of urgency for a property sitting vacant was when the decision was made allowing an institutional use in a business park zoning district. He stated they are now able to see lessons learned when reacting to a situation very similar to this one. He agreed the Comprehensive Plan study in 2020 will focus specifically on this area and will also include transportation study and urban service updates to best facilitate growth and development. Commissioner Rydberg agreed with Mr. Carlton and while they’ve seen some development plans and proposals presented for this parcel, a review of the plans guided for this area will allow for the necessary reflection and guidance for this area. He indicated he would not be supportive of this ordinance amendment. Moved by Commissioner Beise and seconded by Commissioner Jordan to recommend denial of the request by Sun Rae Apartments LLC / Pat Briggs for an Ordinance Amendment to allow auto sales in the FAST The Point (A) Zoning District as the use is not consistent with the Comprehensive Plan. Motion carried 7-0. Ordinance Amendment Sun Rae Apartments–Auto Sales Request to allow auto sales in the FAST offices, in/outpatient health facilities, and professional offices.Current commercial uses allowed in the district are business 2016.Area rezoned based on guidance from Comp Plan/FAST in Area subject to the FAST Plan (2010), Comp Plan (2014)DistrictWould allow establishment of auto/vehicle sales at SaxonSE corner of the district.Guided with a focus for High Density Residential–The Point Zoning Background d.Conditional 10.Townhomes9.8.7.6.5.4.3.2.1.BoardinghousesResidential Professional Nonprofit Licensed Health Health scenic river district.Development Business care facilities, inpatient.care facilities, outpatient.uses are as follows:offices.day care facilities (13 or more children).clubs.facilities (seven to 16 persons)., attached.offices.of property within the 50.-foot setback of the wild and Conditional Uses (Updated) FAST Commercial Uses Access changes along Hwy 102020 Plan UpdatesTransportation/access guided land use recommendationsIncrease housing options along the riverFacilitate public access to the riverProximity to other commercial districts and gravel mine Land uses will become more intensive with investment (access)1Other access points would be eliminated. to Jerry’s Auto and Broadway Pizza-mile between interchanges places new interchange closer FAST Plan Assumptions One property owner spoke PC unanimously recommended denialLongCommission discussed following plan guidanceDo not support auto sales on propertyNot falling to implied urgency (schools in industrial areas)Agreed on need for patience -term vacancy concerns/eyesore–leave residential. Planning Commission Direct, consistent with the Comprehensive Plan. the ordinance amendment application as the proposal is not The resolution would return for approval on December 16by motion, the preparation of a finding of fact denying Action Requested Land UseZoning