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CR 92-219 Grocery/Retail - Hoyt Development ~ '\ -. . r \ "( y 0 .~ b "',. ' . P k \ . Council Report 92-219 October 19, 1992 GROCERY/RETAIL - HOYT DEVELOPMENT pro~osed Action. staIf recommends the following motion: 96 denyinq a conditional use. permit retail development on the 13 acre R.L. Move to apDrove Resolution 92- to construct a qrocery store Johnson site. Mr. Winship moved and Mr. Day seconded a motion to approve Resolution RZ92-31 recommending denial of a conditional use permit to construct a grocery store/retail center on the R.L.Johnson site. overview. The subject property is owned by R.L. Johnson and was the former site of the White Motors Company. The buildings were razed several years ago and the site has been vacant since. The applicant, Hoyt Development, is proposing to construct a grocery store/retail development on this vacant 13 acre parcel of land south of County Road 3. The applicant has applied for the following: The applicant has also applied. for tax increment October 6, 1992, the HRA denied the applicant's increment financing application. '. "'..... o a conditional use permit to construct a grocery store and adjacent retail stores a rezoning from 1-2 to PUD a comprehensive plan designation change from Business Park .to Commercial a preliminary subdivision approval (application has been withdrawn) o o o financing. preliminary On tax There was no discussion on this item during the last Planning Commission meeting. No one spoke at the public hearing. primary o o o o Issues to Consider. What are the specifics of the site plan? What are other issues to consider? What action is being recommended by the staff? If the Commission approves the conditional use permit what actions and additional information is the staff recommending? supporting Documents. o Analysis of Issues o Location Map o Site Plans . 0 Letter from Hoyt Development o Resolution 92-96 . .---.:..--:... -;. CR92-219 Page 2 '. Primary Issues to consider. o What are the specifics of the site plan? site Plan Specifics The applicant is proposing to construct a 66,000 square foot grocery store and other retail uses ranging in size from 20,000 square feet to 5000 square feet. The area on the site plan identified for outdoor storage may.become a retail area. There is also an area approximately 50'x 190' for expansion of the grocery store. This expansion would be on the north side of the grocery store. The site will be oriented toward 11th Avenue, with most afthe parking in the front af the buildings. A holding pond is located on the southwest side of the site. . The site plan is proposing to provide pedestrian/vehicular links to the CBD. . The two links will' be via 11th and 8th Avenue. The applicant is' proposing that the Mainstreet. design elements such as lighting and pavers be utilized in constructing these links. Many details. remain as to how these links would be designed and implemented. Fire Marshal The Fire Marshal has reviewed the proposed plan and has recommended the following: o Four fire hydrants are needed on the site. Two in front and two in the rear. o A looped water main is needed for pressure. The applicant has been notified of these concerns and will modify the site plan. Landscapinq One tree is required for every 1000 square feet of gross floor area. with the proposed site plan 110 trees are required in addition to the smaller other plantings. The site plan shows 97 trees. Additional trees. of the required size will have to be added. The landscape plan shows landscaping along the perimeter of the site. Although a significant amount of landscaping is detailed on the site plan, the staff would recommend the following: . o A landscaped/bermed area along the entire area adjacent to 11th Avenue. o Additional landscaping included within the interior parking area to break up large areas of blacktop. Staff would also recommend that the landscape plan be reviewed by a city contracted landscape architect and the developer incorporate any recommendations into the final plan. :: ----... :; , . CR92-219 Page 3 Trash There will be various trash enclosures located in the rear of the buildings. Access to the trash enclosures will be from the access road on the rear of the building. This will need to be reviewed as part of the traffic plan. staff would recommend that the developer be required to present plans detailing the exterior of the enclosures. The grocery store will have a trash compactor located at the rear of the building. The applicant will have to provide areas within the trash enclosures to accommodate an area for recycling. Loading Docks The loading docks for the grocery store are at the rear of the building. The site plan shows four loading areas. The trucks will be able to access these docks from the rear access road and exit via the proposed 8th Avenue access. staff have a concern about the access to these docks. This is . something that would be reviewed as part of the updated traffic report when the internal circulation of the site.is reviewed. . signage The site plan shows a monument sign by the 8th Avenue access. Because this sign is an off premise sign, it is not allowed. There is a pylon sign located at the front of the grocery store. This pylon sign has a similar look to the clock tower on Mainstreet. Any signage on the site will have to comply with the sign ordinance. A separate permit is required for any signage. Engineering Considerations The City Engineer has reviewed the site plan and has made some recommendations regarding the placement of the sanitary sewer and water mains/services. RCM, the City's storm sewer consultant, is reviewing the drainage and utility plan. The developer would be required to comply with any recommendations for changes to the plan. Park Dedication The applicant will be required to pay a park dedication fee as outlined in the new ordinance. The park dedication fee is 5% of the fair market value of the property. . Exterior materials . The site plan shows the exterior of the building will be brick with a stucco band around the top of the building on the west and northwest elevations, with the other sides having a rock faced block. The staff is also recommending that the south and north sides of the building have an exterior of brick. The entrance to the grocery store will have a Bermuda style metal roof. "- . CR92-219 Page 4 The front of the building will have brick columns in the front of the stores. A black' and. white elevation plan has been provided. Prior to any approval staff would recommend that a colored elevation drawing detailing actual colors and building materials be provided for review. setbacks since this site is proposed to be rezoned to PUD the City council has the ability to be flexible with respect to setbacks. . The following are the setbacks for the proposed project: o o o o south west north east 30 210 120 65 feet feet feet feet . If the property was zoned B-3, General Business the setbacks would be substantially less. parkinq The site plan shows 614 parking spaces. This number of parking spaces can accommodate 122,800 square feet of retail space. The building area shown on the site plan is 110,752 square feet. If the grocery store is expanded or if the . outdoor storage area is. converted to a building, more parking will be required for the sit~. There are 38 parking spaces in the rear of the grocery store for employee parking. These parking spaces are included in the total number of parking spaces. A number of parking spaces will have to be utilized for the areas in which grocery carts are collected. The area used for the cart collection area will decrease the number of parking spaces on the site. The staff is recommending that in future site plans, the areas used to collect grocery carts is detailed on the plan. Traffic Traffic studies have been done in the past regarding various developments on this site. However, these studies have looked at an industrial type development. In conjunction with this development there will have to bean update to the previous traffic studies. The applicant has been informed of this and 'has agreed to have a traffic study done at his expense. The updated traffic study will also look at the 8th Avenue access and the interior circulation on the site. . Access The site plan shows.two access points on 11th Avenue and another from 8th Avenue. One access point on 11th Avenue is near the LRT line and the second is north of 5th street. These access points are sUbject to change depending on the recommendations of the traffic study. " .J. . o CR92-219 Page 5 What are other issues to consider? The following are other issues that will have to be considered. in conjunction with the revised site plan: .0 o Impact on CBO grocery store as relates to the following: The existing Taits Super Valu operation. Construction of a new grocery store facility in the CBD. The overall retail base of the CBD. o Feasibility of project. This relates to the following: Market acceptance. This will need to be determined as part of a market study. Tenant Commitment. . The developer should provide evidence of tenant commitments. o Relationship of this project to the northerly parcel at County Road 3 and 11th Avenue. It would be logical to have a master plan prepared by the developer for this entire area to show how the projects relate to each other. o Financial Feasibility of Project. The applicant has stated that he required public assistance to make this project feasible. A preliminary tax increment application was denied by the HRA. What action is being recommended the staff? staff is recommending that the Conditional Use Permit is denied based on the findings of fact outlined in the attached resolution. This recommendation is based in part on the finding that staff is recommending denial of a Comprehensive Plan and zoning amendment for the subject site, which is be required for the applicants proposal. o If the city Council approves the condi tional use permit what actions and additional information is the staff recommending? The city Council can only approve the conditional use permit if the Comprehensive Plan and zoning amendment requests are approved. If these items are approved and prior to any .approval of the conditional use permit, the fOllowing information should be provided by the applicant: . o Traffic/circulation analysis to be undertaken by City consultant with reimbursement by the applicant. The applicant would provide the. City with estimated funds for study prior to the start of the study. Preliminary commitment of major tenant. Identification of minor tenants with letters of interest. Colored drawing of all elevations of project. Market study identifying public acceptance of project and ability to be successful. Preliminary commitment from private lender to finance project. Revised site plan reflecting landscape, drainage, traffic and design concerns identified by staff, Zoning and Planning Commission, Business Council, and City council/HRA. o o o o o ~ . CR92-219 Page 6 o Preparation ofa. master plan detailing how this. project relates to any development on the northerly parcel.. . A plan which details the specifics of the off-site pedestrian/vehicular links from this site to the CBD. Preparation of PUD agreement. Financial feasibility of project. .0 o o This information was identified by staff previously to be provided by the applicant, However, none of the information has been received to date. Alternatives. . . 1. By approving the conditional use permit, the applicant will be able to construct the grocery store/retail center. This can only occur if the City council also approves the Comprehensive Plan amendment and a rezoning of the property. 2. By denying the conditional use permit, the applicant will not be able to build a grocery store/retail center.' Denial would be based on the findings of fact in Resolution 92-96. 3. Continue for further information. If the City Council'indicates that further information is needed the item should be continued. 's ~ ~ (5) Ie) ..... T 3 'l:t ~. "- "- 1110 1/06 1/02 I (l) I . 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MINNESOTA 55344 Phone 612-94~197 Fax 612-94~199 HOPKINS GATEWAY CENTER NARRATIVE DESCRIPTION OF PROJECT Hoyt Development Company is proposing for approval a grocery anchored retail center for largescale users tntaling . approximately 130,000 square feet on the old White Motor site located at 11th Avenue and Excelsior Boulevard. The project will be anchored by a Rainbow Foods store of approximately 66,000 square" feet and other tenants of national stature. . The conception of this project was due to the evolution of Excelsior Boulevard into one of a retail nature. The uses to the north, the west and the east are all retail uses. with the property abutting a railroad line to the south. Its exposure, access, and ideal location spanning the major entrances to mainstreetfs retail district are key elements to Hoyt Development Company' sinterest in this proj ect. The City presently lacks a large scale grocery store and this site presents the only opportunity to obtain one. The evolution of the grocery business has mandated that the traditiona120,000 to 25,000 square foot grocery store can no longer compete with the large scale grocery stores and must adapt to a servicejconvenience.operation that provides a higher level of service toa loyal customer base. Studies will show that Hopkins shoppers are already utilizing the Cub Food store in Minnetonka and the Rainbow Foods sto~es in st. Louis Park and Eden Prairie. This project will draw shopping dollars into the City from Edina, Eden Prairie, and Minnetonka due to its access and visibility from Highway 169. Additionally, the Center will feature Fashion Bug, a nationally knmm clothing merchant with a strong destination impact. . The major benefits to the City are several: * $7,000,000 increase in city tax base. * The project will provide hundreds of high quality jobs. * The project will develop a site that is currently a blight and an eye sore cn the city's primary arterial. . * The project may well serve as the impetus for additional redevelopment on Excelsior Boulevard and additional tax base increases and jobs. DEVELOPMENT · CONSTRUCTION · MANA(';FM~NT . 1""'1= C::TU~f\lT . * The project will enlarge the retail base in the immediate area and provide much needed traffic to the downtown Main street retail district. * The design of the project is such that it will unify this development with Main street while providing a home for retailers who cannot locate on Main street. . * The project will impr~ve the access to and from Knox Lumber, as well as screen. the existing outdoor.lumberyard from view. * The project will include the construction of a bike and pedestrian trail way on the future light rail corridor. . Hopefully, this will serve as the impetus for the creation of a larger, trailway system within the city. While this project has gen~rated a large degree of debate, a survey questionnaire published in the Hopkins Sun Newspaper generated a large response. Over 80% of the respondents were strongly in favor of a large scale grocery store project on this site specifically, as opposed to any other previous proposals for a grocery store. We believe the rezoning and reguiding of this property is in the best interests of the community, the City at large and the citizens of Hopkins. The zoning of this property should not be industrial, rather, it should be retail. The existing zoning is a by-product of the previous use of the property having been industrial. In fact, this property has been Industrial for nearly 100 years. The historical evolution of development in the area dictates that this site be rezoned to retail. The national strength of the tenants under consideration for the property will provide the City with a long term, stable tax and job generator that will be a tremendous benefit to the city. The project has additionally been designed to compliment the long term plans of the Light Rail Commission. The existing Park and Ride lot could be expanded and a Train station located at the junction of 8th and Excelsior. This will create the opportunity for commuters to leave the train, shop in the Center, andreboard the train to their final destination. The light rail will also provide an alternative method of transportation to and from the Center~ Hoyt Development Company is anxious to involve itself with the retail community throughout Hopkins. We believe that through cooperation and dialogue this Center can be a tremendous asset to the Main Street retail community through the coordination of promotions, architecture, access, and advertising. The expansion of the retail base, by . construction of this project, will provide much needed . . credibility to "the downtown Hopkins area as a retail destination. we respectfully ask that the City grant favorable consideration to the proposal. We thank you for your consideration and assistance in the development of this project. . Sincerely, C-~~-~ ~ --~c:--' -- Bradley A. Hoyt: President ' -=:> BAH:kc HOPGATE.OOC . . i CITY OF HOPKINS HENNEPIN COUNTY, MINNESOTA RESOLUTION NO: 92-96 RESOLUTION MAKING FINDINGS OF FACT AND DENYING AN APPLICATION FOR A CONDITIONAL USE PERMIT TO CONSTRUCT A GROCERY STORE/RETAIL CENTER IN RE: Application of Hoyt Development, a Minnesota Corportation, for a conditional use permit to construct, a grocery store/retail center on the 13 acre vacant site located on the south side of County Road 3 . On July 28,1992, August 25, 1992, September 29, 1992 and October 27, 1992, the City of Hopkins zoning and planning Commission met at its regularly scheduled meeting to consider the application of Hoyt Development for a Comprehensive plan amendment , rezoning, a conditional use permit and preliminary plat for the development of a grocery store/retail center on th~ property located at the 13 acre site owned by R.L. Johnson. Representatives of Hoyt Development were present and the Planning commission heard testimony from all interested parties wishing to speak at the meeting and now make the following findings of Fact and Decision: 1. Hoyt Development is the applicant, proposing to development a grocery store/retail center on the currently vacant 13 acre site owned by R.L. Johnson. 2. The applicant has an option agreement for the subject property. 3. The subject property is 13 acres and is zoned 1-2, General Industrial. The applicants proposal does not conform with the existing zoning of the subj ect site. The proposed development requires a rezoning to either a commercial zoning or PUD. 4. The subject property is currently designated in the comprehensive Plan as Business Park. The applicants proposal does not conform with the comprehensive Plan. The applicant has applied for a Comprehensive Plan amendment to change the subject property's designation to commercial. ' . . . i . RESOLUTION NO:R92-96 .Page 2 5. The following are excerpts from the Comprehensive Plan that illustrate the inconsistencies between the proposed application and the goals, plans and policies of the Comprehensive Plan. Goals of the city of Hopkins 2. Improve Downtown Hopkins Page 1. It is rare to discover a distinctive, pedestrian- scale area set in the heart of a small suburban community, but Hopkins has one. Downtown Hopkins and Mainstreet give the city a strong central focus and sense of place or identity that many other communities try to create but cannot. Major improvements have been made Downtown in recent years through pUblic-private cooperative efforts, and these should continue. . Strength-Weaknesses-opportunities-Threats Strengths of Hopkins 2. Identifiable Downtown Page 3. Downtown Hopkins is one of a small number of old central shopping districts in Metropolitan Area communities. Although its strength in the retail market has declined, it remains well known and identifiable on a small scale, and a focus of the community. Several private and public improvements have occurred in recent years. Land Use and Development Land Use and Development Issues Downtown Hopkins Page 16. ...without question, Downtown Hopkins is one of a half dozen or so recognizable central COmmunity shopping area in the Metropolitan Areas, which alone makes it an asset worth protection. The community plainly recognized the importance of the Downtown and has a strong positive emotional response to the location. Land Use and Development Plan Page 23. . The former Minneapolis-Moline Company site east of Eleventh Avenue is designated for business park use, including offices, offic~s showroom . . . il; RESOLUTION NO: R92-96 Page 3 buildings, research and industry under certain planning conditions. development, and light architectural' and site Land Use and Development Plan Downtown policies Page 27. The Downtown will be kept in a compact arrangement in order to increase its commercial function and also to protect adjacent residential area. If an expansion of the commercial area is requested, the, city. will judge it on its effect on the residential area and will require that the developer design the building and site to protect the nearby housing. . Plan For Downtown Hopkins Market Study Recommendations Page 44. Encourage commercial development to be clustered close to the four-block core business district and where it.. reinforces and is consistent with existing establishment types. 6. The Comprehenisve Plan and Zoning designation of the subject property are inconsistent with" the proposed project identified by Hoyt Development. .. DECISION Hoyt Development's request for approval ofa conditional use permit to construct a grocery store/retail center located on the 13 acre site south of County Road' 3 is hereby denied. Adopted this 10th day of November, 1992. CITY OF HOPKINS BY: Nelson W. Berg, Mayor ATTEST: James A. Genellie, City Clerk