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Joint Study Session #1-Mtg Dec 12 2006 City Council Joint Study Session #1 Meeting of December 12,2006 Brief Description: Joint discussion on the Shady Oak Road Redevelopment Study detailed site planning concepts. Introduction Over the past two years the Hopkins and Minnetonka city councils have held a series of joint meetings to collaborate on plans to reconstruct Shady Oak Road from Excelsior Boulevard to Highway 7, and to examine opportunities for redevelopment along the Shady Oak Road corridor. A major milestone was reached on September 20, 2006 when together the councils held a public hearing and adopted resolutions approving a preliminary layout for the roadway project. Recently, planning consultant Mark Koegler has prepared detailed site planning concepts for the councils' review and discussion on December 12. Commercial real estate consultant Jim McComb will also be at the December 12 meeting to share his insight and observations about market conditions for the project area. Redevelopment Project Budget As councilmembers know, the Hennepin County Board took action on November 16 to reallocate $9 million of county community works funds from the Shady Oak Road redevelopment to other county projects. These funds were to have given our cities the opportunity for early purchase of some of the "total takings" of property required for the road reconstruction and redevelopment projects. Although this is a setback, our cities can continue to work together to complete the redevelopment plans, and seek to have funding restored during the county's budget cycle in 2007. A copy of the December 5 letter from Mayors Callison and Maxwell to area residents and businesses explaining this situation is enclosed. Also, Larry Blackstad of Community Works and Craig Twinem of Public Works will be at the meeting to clarify the current status of the redevelopment and roadway projects. Detailed Site Planning Concepts Enclosed are a memorandum and planning maps prepared by Mark Koegler that review the land use plan options for the redevelopment areas along Shady Oak Road, as well as four detailed site planning concepts prepared for these areas. Mr. Koegler will review the land use options and site planning concepts at the meeting, and will solicit direct feedback from councilmembers about the concepts. City Council Joint Study Session of December 12, 2006 Shady Oak Road Redevelopment Study Page 2 Discussion Point Staff needs to know if these site planning concepts are on the right track as we prepare for the next round of neighborhood meetings, which are yet to be scheduled. Summary City staff and the consultants are very interested in hearing councilmembers' comments and observations. Based on the councils' discussion on December 12, and comments received from residents and businesses at the neighborhood meetings, we will be preparing a preferred site plan concept for further review. Submitted through: Rick Getschow, Hopkins City Manager John Gunyou, Minnetonka City Manager Originated by: Jim Kerrigan, Hopkins Director of Economic Development & Planning Steve Stadler, Hopkins Public Works Director Lee Gustafson, Minnetonka City Engineer Ron Rankin, Minnetonka Community Development Director ,t' Atl, \ ,I: , ,,,'I.I \ ([Ji? '\'6~' \ I , 1:1, :!li nka " 'I, I 'flie/ii, t "';1MWll1 : e 0 \:! U t! t !! iil,! i:'jl~ ',it ':1'\;;'11 \ 1,li II, I Ij;, 11 I !, ~ ',i ii '; II ' I ' 1/ : City of lIopkins December 5, 2006 Dear Shady Oak Property or Business Owner: By now you may have heard that the Hennepin County Board of Commissioners recently voted to reallocate $9 million dollars from the Shady Oak Road redevelopment project to other county projects. Although the roadway construction funding was not affected, the lost funding had been budgeted for property acquisitions, including some of the total takings required for the road work to be done from Excelsior Boulevard to Hwy. 7. The immediate impact of the funding loss is the inability to do early takings of property needed for rights-of-way. We want to assure you that in spite of this significant setback, the cities of Minnetonka and Hopkins remain committed to seeing the Shady Oak Road redevelopment project through to completion. Joint redevelopment planning by the two cities will continue as planned, and we encourage your participation in the community meetings that will be scheduled in the coming months. Our efforts to restore funding will focus on the county's next budget cycle, one year from now. The redevelopment plan will be completed by spring 2007, so that project funding needs may be reconsidered in Hennepin County's 2008-2012 capital improvement plan. Over the coming year, our cities will take the lead in educating county commissioners and building support for the project, emphasizing our collaborative efforts over the past three years both between the two cities and with Hennepin County Community Works. Your continued support of this important project would be greatly appreciated. If you have any questions or concerns, please be sure to contact Ron Rankin, Minnetonka Community Development Director, at (952) 939-8200, or Jim Kerrigan, Hopkins Director of Economic Development and Planning, at (952) 935-8474. Sincerely, ~a.~ Janis Callison Mayor of Minnetonka 14600 Minnetonka Boulevard Minnetonka, MN 55345 ~/~ Gene Maxwell Mayor of Hopkins 1010 1 st Street South Hopkins, MN 55343 MEMORANDUM Hoisington Koegler Group Inc. 1113 110 To: Mayors, City Councils and Staff Members - Cities of Minnetonka and Hopkins Mark Koegler Shady Oak Road Redevelopment Study December 5,2006 From: Subject: Date: Introduction The ongoing land use planning efforts for the redevelopment of the Shady Oak Road area impacted by pending roadway reconstruction is continuing supplemented by a new component of the project, a market analysis. As we began to look at land use concepts in more detail, it was determined that the project could benefit from input on the market for retail, office and housing uses in the project area. Accordingly, McComb Group Ltd. has been added to the project consulting team to provide an overview of the market and insight on planned uses that are likely to have "real world" marketplace acceptance. At this time, the McComb Group is in the early portions of their work. Jim McComb will be at the meeting on Tuesday to review information on the trade area and general observations about the market conditions of the project area. Initial market insights have also been used to help create the land use concepts that will be discussed at the meeting. Project Context The attached context map provides an overview of the location of the Shady Oak Road project area relative to downtown Hopkins and areas further east. As planning for this area continues, consideration should be given to the proximity, linkage and competitive aspects of the Shady Oak Road commercial area to downtown Hopkins. The Context Map also shows the potential locations of future LR T stations. The Shady Oak Road station is generally within ~ mile of the project area which is considered still within a reasonable distance for people to walk to transit stations. Land Use Plan Options The Shady Oak Road project area has been divided into two areas, one labeled as primary and the other as secondary (see attached Redevelopment Areas map). The primary area is that in which redevelopment will take place in full or in part due to property acquisitions resulting from the roadway reconstruction. The secondary area is that in which long-term change may occur. Accordingly, detailed planning is being done at this time for the primary area and more generalized land use planning is being done for the secondary area. Both the specific. planning and general planning can be incorporated into the upcoming comprehensive plan updates for both Hopkins and Minnetonka. Three land use concepts have been assembled for the project area. The purpose of these options is to stimulate discussion on land use patterns that are appropriate for the area. The following is an overview of each of the alternatives. 123 North Third Street, Suite 100, Minneapolis, MN 55401-1659 Ph (612) 338-0800 Fx (612) 338-6838 www.hkgi.com Direct (612) 252-7120 Email mkoegler@hkgi.com Shady Oak Road Redevelopment Study Memo December 5, 2006 Page 2 Land Use Concept A Within the primary study area under Concept A, retail uses along the west side of Shady Oak Road would be replaced in kind. This option establishes a retail corridor from Bradford Road on the south to the western extension of Main Street. North of the Main Street extension, the plan calls for medium density residential. Medium density at this location would provide a transition between Shady Oak Road and the residential neighborhood lying to the west. One of the three secondary areas under this concept is shown as being a commercial use. Property currently containing the gas station and dry cleaners at the comer of Shady Oak Road and Excelsior Boulevard would remain commercial. The parcel at the northeast comer of Main Street and Shady Oak Road is shown as medium density residential. This site is a key entry on Main Street and should be considered as a western gateway to downtown Hopkins. The secondary area in the northeast comer of Shady Oak Road and Excelsior Boulevard contains a mix of uses. Medium density residential is located just south of the Oaks townhomes with high density residential further south and east of 20th A venue. The single-family homes on the east side of 20th Avenue remain unchanged. Land Use Concept B Under Concept B, the primary study area contains a mix of commercial and housing uses. The commercial area stretches from Bradford Road on the south to the southern edge of the existing shopping center. High density residential would eventually replace the shopping center and would also occur north of the Main Street extension. Commercial designations would also be placed upon the parcels at the northwest comer of Shady Oak Road and Excelsior Boulevard and at the northeast comer of Main Street and Shady Oak Road. At this second location, a future office development might replace the auto sales and service uses that are there today. The area in the northeast comer of Shady Oak Road and Excelsior Boulevard is shown as mixed use and low density residential. This concept uses 20th Avenue as the divide between the two uses and in doing so, preserves the single-family homes on the east side of the street and replaces the small townhome area on the northern edge of 20th Avenue with single-family homes. The small townhome complex is in the process of being vacated and demolished. This concept removes a number of single-family homes on the west side of 20th Avenue. The long-term redevelopment of this area needs to consider the amount of property required to contain specified land uses. Excluding the single-family homes from this mixed use area would only leave a parcel depth of approximately 90 to 150 feet, not enough to develop as mixed use. Land Use Concept C Land Use Concept C attempts to interject more mixed use into the redevelopment area. In the primary zone, it retains the commercial area north of Bradford Road. Proper.ty depths in this area pose a practical limitations for larger scale mixed use or higher density housing. Mixed use development is shown both north and south of the Main Street extension. Mixed use south of the Main Street extension may face some design challenges due to the depth of the parcel. As in Concept B, the two smaller parcels in the secondary project area are shown as commercial. The property in the northeast comer of Shady Oak Road and Excelsior Boulevard are split between medium 2 Shady Oak Road Redevelopment Study Memo December 5, 2006 Page 3 density residential and mixed use. The medium density residential abuts a similar existing use, the Oaks. Long-range redevelopment in this area is shown encompassing the areas on both sides of 20th Avenue. Detailed Site Plan Concepts Within the primary zones, we have assembled a range of site planning concepts to explore a variety of uses at a higher level of detail. The four detailed site planning concepts that follow do not directly correlate to the general land use concepts presented previously in this memorandum. They do; however, depict the range of land use alternatives contained in the general concepts. Detail is also shown for one part of the secondary area. Detailed plans are shown for the Main Street gateway property in the northeast comer of Main Street and Shady Oak Road. The small size of these two parcels combined with their shallow property depth makes them a challenge for redevelopment in the long-term. Detailed plans are included in order to better understand what land use designations may work for this property. All four of the site planning concepts are based on a set of assumptions pertaining to required property acquisitions for the Shady Oak Road improvements. Up until very recently, it was assumed that all properties within the primary area would be acquired with the likely exception of the existing strip retail center just south of the Main Street extension. Accordingly, each of the concepts reflects the ability to phase-in a long-term plan accounting for the fact that the shopping center may remain in place or could be redeveloped at some point in the future. Recent shifts in project funding may result in the VFW building remaining in place. Should that occur, it will be very difficult at best to redevelop any of the remaining property . Site Planning Concept 1 Site planning Concept #1 is somewhat of a "replacement in-kind" of the existing retail pattern in the area south of the extension of Main Street and north of Bradford Road. Redevelopment of this area is limited by the land area available for parking. Simply put, there is a finite amount of building construction that can occur as long as the parking that serves the buildings is accommodated only in surface lots. In this scenario, three one-story buildings totaling approximately 38,000 square feet could be developed. These buildings could contain a mix of retail and office uses. They are depicted in the traditional suburban retail model with the building separated from the street with a parking field that serves the uses. This traditional arrangement is favored by many retailers. This concept meets the parking requirements stipulated in the Hopkins Zoning Ordinance. North of the extension of Main Street, this concept shows a 17 unit townhome development which would be considered a medium density residential use. In this case, the gross density would be about 9.5 units per acre. A small open space plaza is shown as a design feature on the north end of the townhomes. Across the street along Main Street, eight additional townhome units are shown, mirroring the Oaks development across the street. Site Planning Concept 2 Site planning concept 2 begins to explore a different development pattern, one that has buildings that address the street and relegate parking to the rear. The problem with street front orientation is the need to have separate entrances off of both the street and parking lot sides of the buildings. Many smaller retailers shy away from locations that require multiple entrances. While the sidewalk and trails that are part of the road reconstruction will vastly improve pedestrian and bicycle safety, Shady Oak Road will never be a 3 Shady Oak Road Redevelopment Study Memo December 5, 2006 Page 4 pedestrian scale street like Main Street is in downtown Hopkins. As such, there is not likely to be much customer usage of doors to businesses off of the sidewalk that abuts Shady Oak Road. One type of use could take advantage of the street front presence. Smaller office condominiums are being built in many locations throughout the Twin Cities. Most of these buildings are smaller in scale and have a residential architecture appearance. Office condos would not be hindered by dual entrances. Preliminary market comments from the McComb Group indicate that such uses might be feasible for the Shady Oak Road area. Concept 2 shows a string of commercial buildings (possibly some office condos) along the area north of Bradford Road. A larger scale commercial building could be constructed on the shopping center site at some point in the future. All of the identified commercial buildings are one story structures due to parking limitations. On the north side of the Main Street extension, Concept 2 shows a three story, residential building containing approximately 70 units. As shown, the density of the residential area would be approximately 40 units per acre. Parking for the residential building would be contained within lower level enclosed parking and surface parking. Concept 2 examines the placement of another small office condominium building in the secondary project area on the north side of Main Street. The site can accommodate a building of 9,000 square feet but can only do so with a parking configuration that is less than ideal. Parking would need to be directly accessed off of the alley that passes along the north side of the lot. Site Planning Concept 3 Concept 3 keeps most of the elements of Concept 2 in place except that it expands the presence of housing between Bradford Road and the extension of Main Street. A 3 story, 42 unit housing building is shown just south of the extension of Main Street. The parking requirements for the building would be met by both surface and underground parking. Site Planning Concept 4 Concept 4 is different than the others in that it attempts to maxImIze the amount of potential redevelopment. It places two new commercial (office and retail) buildings between Bradford Road and the extension of Main Street separated by a new 3 level parking structure. Both of the new buildings could be two stories totaling about 94,000 square feet. Parking to serve the buildings would be from surface lots (1 07 spaces) and from approximately 270 spaces in the parking ramp. The parking ramp would be a 3 story structure; however, due to the grades in the area, the Shady Oak Road side of the structure could be 2 stories in height which would correlate with the height of the adjacent commercial buildings. On the north side of the extension of Main Street, a new mixed use building is shown with commercial uses on the main level and two stories of housing above. In this configuration, 40 housing units would sit on top of approximately 25,000 square feet of office and retail uses. All of the residential resident parking required would be underground with surface lots serving both residential visitor parking and parking for the commercial uses. The property in the northeast comer of Shady Oak Road and Main Street contains a small office building to anchor the comer. Parking is accommodated in a surface lot just east of the building. 4 Shady Oak Road Redevelopment Study Memo December 5, 2006 Page 5 Building Typology The final graphic sheet in the packet is a set of representative images of buildings for each of the land use categories. We will have some additional elevations to present at the meeting on Tuesday relating to the site planning concepts. 5 . . . -'- - ~ '!"" ~' \l 30' &0' 1:/0' . . I r-I NO fl T'''. i~ W ft. HennePI~;co~rity. Minnasoul' o II. '.I""kln,\~ . . . . . . ... f 0 Low Density · Residential Medium Density Residential High Density . Residential :~ ~ . Retail/Commercial Dr",- -", :,. Mixed Use ,. . .~ '1 .8_ .'..... - ~ ',. , " \ ~ "(f) ,. C ic:1' ,II .8;:.i: : I Q) "ct.. :tIll, C',' 0 Ir ,~ C":r: It I rr ~j I ~ f~l' ,~~~ , ) , ' :f'\.' .. " .. ;,; I 1(" ~ '1 ' ""1-,-0'- ;.;.;-..=.._~. . ... ~ " .....EcXGelsior~ Blvq. i · .- ---":='=!:.= .;! ~, H Hennepin '~ounty. 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