7.2 SR 08-21-2023it ci
Elk*
River
Request for Action
To
Item Number
Mayor and City Council
7.2
Agenda Section
Meeting Date
Prepared by
Public Hearings
August 21, 2023
Chris Leeseberg, Senior Planner
Item Description
Reviewed by
Conditional Use Permit Amendment: Aegir Brewing,
Zack Carlton, Community Development Director
19050 Industrial Blvd
Reviewed by
Cal Portner, City Administrator
Action Requested
Approve, by motion, a Conditional Use Permit (CUP) with the following conditions to satisfy the standards set
forth in Section 30-654:
1. The CUP shall not be recorded until the city building official and
fire marshal have inspected, and approved, the building for -
compliance with all state and local building codes and all
applicable conditions of approval have been completed.
2. The space labeled "Event Space" shall only be used for corn hole/ - !.
bag toss lanes. Any other uses shall require a special event permit. " CR33
3. All comments on the Comment Letter dated July 20, 2023, shall
be addressed. -
4. No tap room operations or expanded brewery operations can 1
occur until: RR
a. The CUP has been recorded.
b. The building has received a Certificate of Occupancy. H.y 10
5. A taproom license shall be obtained from the state and city. CR 12
6. No more than 20,000 barrels of its own brands of malt liquor may -
be brewed annually.
7. Parking areas shall be used for parking only and may not be used
for outdoor patio areas or other activities such as, but not limited ti
4},
to, seating, bands, or events/shows.
8. Outdoor patio areas shall be delineated with a permanent fence
and shall not be in required parking areas.
Figure I
9. No demolition or construction activities shall occur within or on
the exterior of the building until the Conditional Use Permit is approved and a building permit has been
applied for and issued.
10. CUP CU 20-15 shall become void.
Background/Discussion
(Case No. CU 23-17)
The property is 1.46 acres in size and is zoned Light Industrial (I-1) where tap rooms and microbreweries require a
Conditional Use Permit (CUP). The applicant received a CUP (CU 20-15) to utilize approximately half of the
9,000 square foot building and now they are seeking a CUP to expand the bar/tavern/nightclub.
The Elk River Vision
A n elcoming community with revolutionary and spirited resourcefulness, exceptional
service, and community engagement that encourages and inspires prosperity.
p I I E I E 0 IY
NATUREI
Updated.• January 2023
Planning Commission
During the public hearing, no public spoke for or against the request and staff have not received any comments
since the commission meeting. While the commission had no concerns about the request, parking was the main
topic discussed. Parking background information can be reviewed on the attached Planning Commission memo
dated July 25, 2023.
The applicant asked the commission to consider the parking requirements for the "Event Space" be based on five
corn holes lanes and not as assembly/bar space. The commission agreed with the applicant and recommended
that. With that direction, the site would require 46 stalls. The site has 43 existing stalls and shows 14 proof -of
parking for a total of 57 future stalls.
It was also discussed if the "Event Space" was to be used for anything other corn hole, it would require a special
event permit. This would be to analyze if there would be adequate parking on site.
The commission unanimously recommended approval of the request.
Financial Impact
None
Mission/Policy/Goal
■ Meet changing needs - Agile
■ Reflect the culture of citizens and what is important to majority
Attachments
■ Planning Commission memo dated July 25, 2023
/Request for Action
To
Item Number
Planning Commission
4.3
Agenda Section
Tmeeting Date
Prepared by
Public Hearings
July 25, 2023
Chris Leeseberg, Senior Planner
Item Description
Reviewed by
Aegir Brewing Company LLC —
Zack Carlton, Community Development Director
Reviewed by
Tim Jones, 19050 Industrial Blvd. NW
Amendment to Conditional Use Permit CU 20-15 to
expand bar/tavern/nightclub space, Case No. CU 23-17
Action Requested
Recommend, by motion, approval of the Conditional Use Permit with
the following conditions to satisfy the standards set forth in Section 30-
654:
1. Plans showing satisfaction of the required parking and
stormwater requirements shall be submitted to city staff by
August 14, 2023.
2. All comments on the Comment Letter dated July 20, 2023, shall
be addressed.
3. The Conditional Use Permit shall not be recorded until the city
building official and fire marshal have inspected, and approved,
the building for compliance with all state and local building
codes and all applicable conditions of approval have been
completed.
4. No demolition or construction activities can occur within or on
the exterior of the building until the Conditional Use Permit is
approved and a building permit has been applied for and
issued.
5. No tap room operations or expanded brewery operations can
occur until:
cR 33
a. The Conditional Use Permit has been recorded.
b. The building has received a Certificate of Occupancy. Figure i
6. A taproom license shall be obtained from the state and city.
7. No more than 20,000 barrels of its own brands of malt liquor may be brewed annually.
8. Parking areas shall be used for parking only and may not be used for outdoor patio areas or other activities
such as, but not limited to, seating, bands, or events/shows.
9. Any outdoor patio area shall be delineated with a permanent fence and shall not be located in required
parking areas.
Background/Discussion
The property is 1.46 acres in size, has a land use designation of industrial, and is zoned Light Industrial (I-1) where
tap rooms and microbreweries require a Conditional Use Permit (CUP).
The Elk River Vision P I I E I E I 11
A welcoming community avith revolutionary and spirited resourcefulness, exceptional [NATUREI
service, and community engagement that encourages and inspires prosperity. Updated. January 2023
The applicant received a CUP (CU 20-15) to utilize approximately half of the 9,000 square foot building and now
they are seeking a CUP to expand the bar/tavern/nightclub.
As the building plans show, the project includes the demolition of many interior partition walls and a roof access
to create additional space for use of patrons and the creation of multiple storage areas. It is the assumption these
storage areas are for general storage and not warehousing. An event area, corn bag toss lanes, and two sound
stages are also proposed. The general use of the building is not changing from what was approved in 2020 but the
useable amount of floor space is nearly doubling.
Parking
Manufacturing fabricating general industrial.• six stalls plus one off-street parking space for each 500 square feet of floor
area. The manufacturing floor area of the subject building is 836 square feet requiring 6 plus 2 parking stalls for a
total of 8 parking stalls.
Nigbtclub, tavern or bar.- one parking space for every 50 square feet of floor area. Based on the submitted plans and
staffs analysis of the spaces to be used by patrons for nightclub, tavern, or bar activities, the floor area is 3,670
square feet requiring 73 parking stalls.
Oce building: one parking space for each 300 square feet of floor area.
Bon ing alley: five parking spaces for each bowling lane.
Assembly or exhibition ball, auditorium, theater or sorts arena: one parking space for each three seats (people), based
upon design capacity (building code).
One plan shows an expansion area as Corn Bag Toss Lanes and another plan identifies the same area as Event
Space, which is adjacent to a sound stage. Having corn bag toss lanes does not make it another use/event, as pool
table and dartboard areas found in these types of venues are still part of the nightclub, tavern, or bar, and parking
needs to be accounted for as such.
The use of the Event Space, which is a space beyond the original CUP, will require some parking quantities
associated with it. If the Event Space were to be considered strictly a commercial recreation use (corn hole), this
would most closely reflect bowling alley requirements of 5 spaces for each lane (25 stalls) but corn bag setups are
not permanent and can be removed allowing the space to be used for seating, gathering, or dancing. For
comparison, the Event Space with no fixed seating results in 400 occupants, based on the state building code,
which would require 133 parking stalls (400/3). The submitted site plan shows the existing layout of 49 parking
stalls. Staffs conservative calculations show a requirement of 81 total parking stalls, viewing all the open space as
nightclub, tavern, or bar.
Overview of Parkin
"Event Space" only
Total
Commercial Recreation Use corn hole only)
25 stalls
58 stalls
Nightclub, Tavern, or Bar
40 stalls
81 stalls
Assembly/DancingAssembly/Dancing
133 stalls
206 stalls
Applicable Regulations
In approving a Conditional Use Permit, the council may impose such specific conditions with regard to the
development or operation of the proposed use as it considers necessary to satisfy the seven standards set forth in
Section 30-654 and the requirements contained in this article and to promote compatibility with and minimize any
potentially adverse effects upon adjacent properties, the neighborhood or the city.
The issuance of a Conditional Use Permit can be ordered only if the use at the proposed location:
1. mill not endanger, injure or detrimentally affect the use and enjoyment of other property in the immediate vicinity or the public
health, safety, morals, comfort, convenience orgeneral n elfare of the neighborhood or the city.
With proper on -site parking, the proposed industrial use, within the industrial park, will not endanger,
injure or detrimentally affect the use and enjoyment of other property in the immediate vicinity or the
public health, safety, morals, comfort, convenience, or general welfare of the neighborhood or the city.
Staff have drafted recommendations for the commission to consider.
2. Will be consistent with the comprehensive plan.
The property is guided for industrial and the proposed use is considered industrial. The use will be
consistent with the Comprehensive Plan.
Staff do not see a need to impose specific conditions to satisfy this standard.
3. mill not impede the normal and orderly development and improvement of surrounding vacantproperty.
With the exception of a city -owned (EDA) parcel, there are no other vacant properties in the
development. The use will not impede the normal and orderly development and improvement of
surrounding vacant property.
Staff does not see a need to impose specific conditions to satisfy this standard.
4. mill be served adequately by and will not adversely affect essential public facilities and services including streets, police and fare
protection, drainage, refuse di posal, water and sewer ystems, parks and schools; and will not, in particular, create traffic
congestion or interference with traffic on adjacent and neighboring public thoroughfares.
Staff have had discussions with the applicant regarding allowing parking on both sides of Industrial
Boulevard as they are having issues supporting their parking needs on -site in the evenings. This was
determined not to be an option as Resolution 11-34 was adopted by the City Council in 2011 establishing
no parking on one side, as the city expended Municipal Street Aid Funds for street improvements, and
these improvements do not provide adequate width for parking on both sides.
Utilizing street parking as a substitute for required on -site parking can adversely impact large vehicular
traffic (semi -trucks) within an established industrial area and would affect the surrounding business uses.
The primary parking for this use will be for taproom customers and may occur after the traditional
business hours of the industrial uses.
Due to ongoing parking issues, the following condition should be considered: parking areas shall be used
for parking only and may not be used for outdoor patio areas or other activities such as, but not limited
to, seating, bands, or events/shows.
Based on staff s conservative calculations, a minimum of 81 parking stalls shall be provided on the subject
property.
As was outlined in their previous CUP, increased parking will also require stormwater and civil plans to
maintain compliance with city ordinances.
The commission can take one of two actions for this standard: 1) Proceed with the recommendation to
the council with a condition the applicant provide the proper plans addressing parking and stormwater; or
2) Postpone the item so the applicant can continue working out their parking and stormwater
requirements, possibly bringing a variance forward.
5. mill not involve uses, activities, processes, materials, equipment and conditions of operation that mill be detrimental to any
persons or property because of excessive traffic, noise, smoke, fumes, glare, odors, dust or vibrations.
As outlined in standard #4, street parking could be detrimental for existing businesses due to the potential
of reduced drive widths for large truck deliveries to navigate through.
6. mill not result in the destruction, loss or damage of a natural, scenic or historic feature of major importance.
Although site work for parking and stormwater management likely will be needed, the use will not result
in the destruction, loss or damage of a natural, scenic or historic feature of major importance.
Staff do not see a need to impose specific conditions to satisfy this standard.
7. W1711 fully coyly with all other requirements of this Code, including any applicable requirements and standards for the
issuance of a license or permit to establish and operate the proposed use in the city.
The use will need to fully comply with all other requirements of this Code, including any applicable
requirements and standards for the issuance of a license or permit to establish and operate the proposed
use in the city.
A freestanding sign was installed on the property without a permit. A sign permit shall be applied for.
If denial of such a permit should occur, it shall accompany recommendations or determinations by findings or a
report stating how the proposed use does not comply with the standards set forth in Section 30-654.
Financial Impact
None
Mission/Policy/Goal
■ Meet changing needs - Agile
■ Reflect the culture of citizens and what is important to majority
Attachments
■ Location Map
■ Applicant's Narrative
■ Submitted Plans
■ April 12, 2023, Meeting Notes
■ Parking Email with Attachments
■ Resolution 11-34
■ Parking Calculations Exhibit
■ Comment Letter dated July 20, 2023
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Aegir Brewery
Conditional Use Permit
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Case No: CU 23-17
Elk
River
CU 23-17 Narrative submitted in CitizenServe
We would like to open up the other half of our building to be used for AEGIR Brewing corn hole leagues.
We would not be adding any additional signage or parking with this change.
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Aegir Meeting April 12, 2023 with Mark Pistulka and Chris Leeseberg
Representatives from Aegir discussed their plans to take down walls and a false ceiling in the back (south)
section of their building. Currently, this section of the building is set up for offices but has no tenants and the
space is not included in the approved CUP. They would like to use the space for brewery storage and don't
currently intend to have occupants. They indicated the offices and space are useless until they can move walls;
the walls with electrical panels would stay and would obtain permits, if required, to move gas or electric lines.
They asked if they need to work with an architect since they're only removing stuff. They utilized a state
website for demolition requirements and found a deconstruction form. Mark indicated this form details
where to send it in and outlines how to dispose of the product being deconstructed.
Mark indicated state and city building codes will require an architect whether they are changing one part of
the building or the entire building, including removal of walls and ceilings. The use of the space is being
changed for the current office space use. Mark asked what their future plans for this space look like. Mark
indicated city staff reviews architectural plans and inspect buildings during construction to ensure compliance
with codes and regulations outlined by the architect. He doesn't know what would be required. Chris stated
an architect may require things that building officials may not be aware of.
Aegir asked if an engineer could sign off on the plans? Mark stated the architect will determine if there is a
need for an engineer for their plans. Chris suggested someone else can prepare the plan documents, and if
willing, an architect can sign off on those drawings. He recommended they talk to an architect about their
future plans and layout to save costs in the long run. The architect will want to know their future occupancy
plans.
Aegir then asked questions about amending the CUP. Chris explained the CUP was for the north half of the
building only and any changes including the south half (currently office space) would require an amendment
to their current CUP.
Aegir indicated they are working with an asphalt company to discuss parking lot/space expansion to support
their plans. Chris suggested they make sure the parking lot is expanded in a manner that supports their future
plans. He explained that the amendment to the CUP allows them two years to complete requirements. An
extension can be granted if they show good faith. Their plans can be done in phases but suggested spelling
them out in detail. Chris indicated parking will dictate their overall occupant load.
Aegir asked if the CUP can be contingent on adding more parking? Chris indicated parts of the application
could be, but specific uses could not occur until the parking is satisfied.
The deck layout was reviewed and since the deck is in the same spot as originally proposed, no CUP
amendment is required. Aegir discussed building permit timelines for deck approval as they want it done by
May 5.
Mark asked if they are attaching the deck to the building? Aegir stated no, it's a standalone deck raised one
foot above grade. They discussed the need for diamond piers and Mark indicated code doesn't require
diamond piers for a standalone deck. He asked about the frost level and if the area is wet? An architect and
engineer will not force someone to do something that isn't required in the code. A raised platform requires a
permit. The state building code states you are exempt from requiring a permit for a raised platform or deck
not more than 30" above adjacent grade and not attached to a structure with frost footings and which is not
part of an accessible route. Mark suggested they talk to an architect to verify permit needs.
Regarding the parking lot: the asphalt company will need to work within setback and easement requirements.
The city has not received a call from them. Curbing is required by city ordinance and Aegir can ask the
council to waive the curbing requirement.
There is a 10' setback from property lines for parking lots. Aegir may discuss with the adjacent property
regarding parking lot expansion.
Chris will email a link to apply online for a variance and CUP amendment.
From:
Tim Jones
To:
Leeseberg, Chris
Subject:
Re: CU 23-17 Application
Date:
Thursday, June 29, 2023 2:08:15 PM
Attachments:
Site Parkina.mdf
Parking Calculator.xlsx
Area.pdf
Hi Chris,
Yes we would like to proceed with the plans submitted for the CUP. I see you have changed
them to show many areas as "bar" that are not designated as that on our architectural plans.
Please proceed with THE SUBMITTED plans, not your interpretation of those plans. By the
codes on the architectural drawings we submitted, we would not need to add additional
parking. Thank you.
Tim
Sent from any 1Phone
On Jun 29, 2023, at 10:42 AM, Leeseberg, Chris <CLeeseberg@elkrivermn.gov>
wrote:
Hi Tim,
Thank you for your CUP application. After a quick look at the plans you submitted
and reading your note regarding not adding additional parking, we wanted to clarify
the CUP approval process will require the site to meet all parking requirements for
the proposed uses. As you know with the previous CUP process and your own
experiences, parking is a concern. Our quick calculations show you will have
approximately 4,700 sq.ft. of bar/tavern/nightclub space (see "Area" exhibit) which
will require approximately 94 parking spaces for just that portion of the business. It
does not include office, manufacturing, warehouse, and retail area requirements.
We wanted to clarify this with you so you can make decisions on when and what you
want to do with the interior project against what the site can support. Even without
expanding the existing Aegir business at this time, you will need to show the site
supports the proper amount of parking with your proposed remodeling along with
the brewery operation.
I have attached the parking exhibit and spreadsheet staff created for you to assist you
with parking. These are the documents we shared with you the day after our April
12 meeting.
Please let us know if you have any questions.
Thank you
Chris Leeseberg
City of Elk River — Senior Planner
iction, building pen
RESOLUTION I I-^34
A RESOLUTION FOR THE CITY OF ELK RIVER
• A RESOLUTION ESTABLISHING NO PARKING ON ONE SIDE OF INDUSTRIAL BOULEVARD
NORTHWEST, MUNICIPAL STATE AID ROUTE 125
WHEREAS, the City has planned the improvement of Industrial Boulevard Northwest, State Aid Route No.
125, State Aid Project No. 205-125-002; and
WHEREAS, the City will be expending Municipal Street Aid Funds on the improvements of this street; and
WHEREAS, these improvements do not provide adequate width for parking on both sides of the street; and
WHEREAS, approval of the proposed construction as a Municipal State Aid Street project must therefore be
conditioned upon certain parking restrictions.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF ELK RIVER, MINNESOTA:
That the City shall ban the parking of motor vehicles at all times on the inner side of this looped street.
ATTEST:
Tina Allard, City Clerk
is
Passed and adopted this 6th day of Ju 2011.
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AREA'B'
If considered nighidab, tavem, or bar
-3,670 agft) 50 = 73
O-835sgft150016=8
Total 81
If only Corn Bag Toss Lanes
O -1,670sgft150=33
51ana- 5 = 25
Total 58
If considered assembly span with no tables
O -3,670 sgft 150=73
O (2,000 sgft)5)13=i33
Total 206
Staff Parking Calculations Exhibit
Not for Construction
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Elk of
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13065 Orono Parkway
Elk River, MN 55330
July 20, 2023
Aegir Brewing Company LLC
Tim Jones
19050 Industrial Blvd. NW
Elk River, MN 55330
VIA EMAIL: aegirbrewco&gmail.com
RE: Conditional Use Permit Application Comment Letter, Case File No. CU 23-17
Dear Mr. Jones:
Thank you for your application for a Conditional Use Permit (CUP) to amend your current CUP
(CU 20-15) to expand your bar/tavern/nightclub located at the address listed above. I will be
reviewing your application and preparing the staff reports for the Planning Commission and City
Council.
On June 28, 2023, the city received your application for the above use. Per Minnesota State Statute
§15.99, the city is required to make a decision within 60 days of receipt of the completed application.
Subd. 3 of that section requires the city to notify an applicant within 15 business days if information
is missing, delaying the start of the 60-day review period. A city may extend the 60-day review period
up to 120 days to complete the review.
While additional clarifying information is required, the application for a CUP has been deemed
complete, and the 60-day review period starts. This application has been assigned Case Number CU
23-17 and is scheduled to be reviewed by the Planning Commission on Tuesday, July 25, 2023, at
6:30 p.m. at the Elk River City Hall, 13065 Orono Parkway. With a Planning Commission
recommendation on that date, the City Council will review your application on Monday, August 21,
2023.
Staff conducted a site plan review and had the following comments:
Building Department
■ Stair to mezzanine required to remain per mechanical code 306.5 to access/service
mechanical equipment.
■ If mechanical systems location are changing, provide plans showing new location. A
licensed mechanical engineer will be required to apply for a mechanical permit & provide
design plans for equipment.
Sound stage required to be accessible, provide design.
Both sound stage occupant loads not listed on plans
Phone: 763.635.1000
P0WERE0 69
1'4A uRE
www.ElkRiverMN.gov
■ Provide proper occupant loading of 7 sgft/occupant for area B event area. Corn bag toss
can be easily removed and used for overflow of occupants for larger events. Second exist
will be required.
■ Provide plans where water fountain will be placed. Plumbing plans will need to be
submitted to State for review.
■ Storage area 113 is open to event space, will space be used for occupants for larger events?
What barrier will be in place to keep out customer? Please note on plans.
■ Changes to the fire suppression system will need to be submitted to the State for review by
sprinkler contractor and require an inspection permit from the City.
■ A CUP will need to be approved prior to the review of the building permit.
Fire Department
■ Sprinkler system modification may be needed and plans shall be submitted by the sprinkler
contractor for work to be performed.
Parking/Access
■ The submitted plans show approximately 3,670 sq.ft. of bar/tavern/nightclub space
requiring a total of 81 parking spaces.
■ An updated plan showing correct parking requirements shall be submitted.
Engineering
■ Stormwater management plans are required with any increase of impervious surfaces.
Signage
■ Permits are required for wall, freestanding, and temporary signs.
Please let me know if you have any questions.
Sincerely,
Chris Leeseberg, Senior Planner
Ph: 763.635.1033
cleeseberg(cr�,ElkRiverMN.gov
Aeg*lr Brewing
Conditional Use Permit
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Case No: CU 23-17
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Background
■ Zoned Light Industrial (I-1)
■ 1.46 acres in size
■ Tap rooms and microbreweries require a CUP
■ Seeking to expand bar/tavern/nightclub
■ Amend current CUP
Background
■ Project includes
■ Demo of many interior walls and a roof access
■ Creating additional space for use of patrons and multiple
storage areas
■ An event area, corn bag toss lanes, and two sound stages are
also proposed
Approved CUP Plan dated 8-21-2023
Nightclub, tavern, bar
Corn Hole Lanes Only - 5 Max
Prod uction/Warehouse
I= Approved CUP Site Plan dated 8-21-2023
r--------------------- ---------------------------7
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Parking areas shall be used for parking only and may not be used for 1
outdoor patio areas or other activities such as, but not limited to, seating, 1
bands, or events/shows. ,
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parking/circulation area must be anchored . f
into the pavement but can be removable
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Planning Commission
■ PH - no public spoke for or against the request
■ Staff have not received any comments since the PC meeting
■ Applicant requested parking requirements for the "Event
Space" be based on five corn holes lanes and not as
assembly/bar space
■ PC agreed
■ Site would require 46 stalls
■ Site has 43 existing stalls & 14 proof -of parking
■ Total of 57 future stalls
Planning Commission
■ A special event permit required if the "Event Space" is used for
anything other corn hole
■ Require parking could be analyzed
■ The commission unanimously recommended approval of the
request
Action Requested
■ Approve, by motion, the CUP with the 10 conditions outlined
in the memo
■ Add 1ph condition:
■ Any deviations from the CUP plans dated 8-21-2023 shall
require an amendment to the Conditional Use Permit
Approved CUP Plan dated 8-21-2023
Nightclub, tavern, bar
Corn Hole Lanes Only - 5 Max
Prod uction/Warehouse
I= Approved CUP Site Plan dated 8-21-2023
r--------------------- ---------------------------7
------- T---- r---- r--7JIL
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Parking areas shall be used for parking only and may not be used for 1
outdoor patio areas or other activities such as, but not limited to, seating, 1
bands, or events/shows. ,
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