VII.2. First Reading Ordinance Amending Article 5, Chapter 102 of the City Code Regarding Office Uses in Mixed Use Zones; Krzos CITY OF HOPKINS
City Council Report 2023-106
To: Honorable Mayor and Council Members
Mike Mornson, City Manager
From: Ryan Krzos, City Planner
Date: October 3, 2023
Subject: Zoning Text Amendment for Office Uses in Mixed Use Zones.
_____________________________________________________________________
RECOMMENDED ACTION
MOTION TO Adopt for first reading, Ordinance 2023-1201, amending Article 5, Chapter
102 of the City Code Regarding Office Uses in Mixed Use Zones.
BACKGROUND
The City’s updated Zoning Code established new provisions related to office uses in
certain areas of Hopkins. Specifically, office uses are permitted in upper stories only in
the MX-D and MX-TOD zones (as shown in the attached Zoning Code excerpt). As
such, new office uses are prohibited from locating on the first floor within buildings in
these zones. Under state statute, any first-floor office use already established when the
updated code was adopted is allowed to continue as a legal non-conforming use.
The MX-D zone encompasses Hopkins’ downtown center, principally properties along
Mainstreet. The stated intent of the MX-D zone is “to foster a walkable environment with
street-level storefronts to provide active shopping and services for residents and upper
story uses to include less active uses such as residences and offices.” The vision for
this area is informed by a policy of the 2040 Comprehensive Plan’s Downtown Section;
to encourage growth and expansion of commercial establishments that address two
market orientations: (1) the destination specialty market (e.g. entertainment, arts, and
experiential businesses), and (2) the local convenience market (e.g. food, social
services, and other daily needs). Furthermore, the Plan contains additional guidance
around creating an active pedestrian environment in the downtown. It should be noted
that the Comprehensive Plan is a guiding document and the policy prescriptions for how
to go about implementing these principles are not always directly spelled out.
Similarly, the MX-TOD zone covers areas in proximity to the Downtown and Blake Road
transit stations, with the same intended arrangement of street-level shopping and
services with upper story residences and offices. Prohibiting first-floor offices in these
zones represents the City’s policy decision on implementing the Comprehensive Plan’s
guiding principles. The rationale of this policy is that holding to exclusively retail and/or
service uses on the first-floor drives foot traffic and promotes visibility of activity
occurring inside the building from the street/sidewalk. Office uses are thought to
generate less foot traffic and often do not interface as well to the street/sidewalk.
Planning & Development
In the time since the code was adopted, staff has fielded inquiries from prospective
office tenants about occupying several spaces within the first floor of Mainstreet
buildings. As a result, staff revisited this policy given the apparent disconnect with
market demand.
Staff surveyed the ordinances of cities in the metro area as well as peer cities in the
region, particularly cities with downtowns that share similar characteristics to Hopkins’ –
see the attached summary matrix. In general, more of the studied cities allow office
uses without limitations than those that do limit them. Those that do limit office uses
specify locational requirements like Hopkins’ current standards or require special
approval (conditional use permit).
The proposed ordinance amendment would expand eligibility for first floor office uses in
the MX-D and MX-TOD zones, while still excluding first-floor in some buildings. Under
the proposal, in the MX-D Zone first floor office uses are allowed except within a
building located at a street corner. In the MX-TOD zone, first floor office would not be
allowed within space located nearer than 50 feet to the corner; since parcels are
generally larger, with more width and frontage, in the MX-TOD zones. Staff finds this
solution to be a reasonable middle ground since active uses and foot traffic are more
critical at intersections given their prominence from multiple entry points. Corner
locations also have more visibility so the impact is greater for the pedestrian and
creates the overall feeling a retail-focused environment.
In deciding on Ordinance amendments, the City is acting in a legislative capacity. When
considering a legislative action, the City is assigning zoning classifications or creating
development standards to regulate the types of uses and/or structures. Under the law,
the City has wide flexibility to create standards that will ensure the type of development
it desires; however, these regulations must be reasonable and supported by a rational
basis relating to promoting the public health, safety and welfare. Per the Zoning Code,
in making decisions about development code text amendments, the Planning & Zoning
Commission and City Council must consider all relevant factors, including at least the
following:
(1) Whether the proposed development code text amendment is in conformity with
the comprehensive plan; and
(2) Whether the proposed development code text amendment corrects an error or
inconsistency or will help meet the challenge of a changed or changing condition.
Consistency with the Comprehensive Plan
As previously noted, the Comprehensive Plan envisions activated pedestrian
environments in the downtown and near transit centers. The current limitation of first
floor offices is the attempt to enact this guidance. Staff finds that the proposed middle
ground sufficiently keeps with this guidance for active street/sidewalk level uses, by
maintaining the restriction on the first floor at street intersections.
Correcting an Error or Addressing a Changing Condition
Staff is putting forward the proposed text amendment to address a changing
commercial real estate market condition. Although the code update was developed
during a time when the COVID-19 pandemic was in full swing, we are beginning to fully
understand the societal change that the event brought about. The pandemic
accelerated the downward trend away from brick-and-mortar retail. Furthermore, as
office employers have stabilized, staff understands that a segment of office employers
are prioritizing amenity-rich urban environments. As such, it is likely that the new office
uses, if allowed, would be strategically locating in Hopkins so that employees could
capitalize on nearby shopping and services. Given the relatively high commercial
occupancy rate, particularly in the downtown, staff is not expecting a great degree of
turnover resulting in a dominance of first floor office uses. If trends further shift in that
regard, staff will revisit this policy change and respond accordingly.
The procedure for amending the Zoning Code involves publication of a notice in the
City’s official newspaper. The Planning and Zoning Commission must also conduct a
public hearing and provide a recommendation to the City Council. The Planning and
Zoning Commission held a public hearing on this matter at the September 26, 2023
meeting. No community members spoke during the public hearing. The Commission
discussed whether the amendment would be in keeping with the Comprehensive Plan’s
guidance around a vibrant, active downtown; how the new provisions would be
implemented; and whether additional areas of the first floor should be eligible. Following
discussion, the Commission approved a motion on a vote of 6-1 recommending that the
City Council adopt the ordinance as proposed.
SUPPORTING INFORMATION
• Proposed Ordinance 2023-1201 Amending Article 5, Chapter 102 of the City Code
Regarding Office Uses in Mixed-Use Zones
• Peer Community Comparison Chart
• Hopkins Zoning Map
CITY OF HOPKINS
HENNEPIN COUNTY, MINNESOTA
ORIDNANCE 2023-1201
AN ORDINANCE AMENDING CHAPTER 102 OF THE HOPKINS CITY CODE
REGARDING OFFICE USES IN CERTAIN MIXED-USE ZONES
THE CITY COUNCIL OF THE CITY OF HOPKINS HEREBY ORDAINS AS FOLLOWS:
SECTION 1. Hopkins City Code, Part III, Chapter 102, Article 5, Section 102-510 (a)
Table 5-1, is hereby amended by adding the double-underlined language as follows:
Table 5-1. Principal
Use Table ZONES
MX-TOD MX-D MX-N MX-S RX-TOD RX-D RX-N IX-TOD I-TOD IX-S I1 N1, N2 N3-A N3-B NX1 NX2 P1 P2 Reference
COMMERCIAL 102-540
Office ◓ ◑
◓ ◑ ● ● ● ● ● ● ● ● ● - - - - - - - 102-580(c)
KEY: ● = Permitted ◓ = Permitted in Upper Stories Only ◐ = Limited to No More than 25% of Footprint ◑ = Limited
on first floor to buildings on the interior of a block see 102-580(c) ○ = Requires Conditional Use Approval - =
Prohibited
SECTION 2. Hopkins City Code, Part III, Chapter 102, Article 5, Section 102-580 (c), is
hereby amended by adding new subsection (c) with the double-underlined language as
follows and re-lettering the subsequent subsections to increase by the next letter:
102-580 (c) OFFICE In the MX-D zone, office uses are allowed on the first floor only if
said use is within a building that does not have two street frontages along intersecting
streets. In the MX-TOD zone office uses are allowed on the ground floor only if all
portions of the space accommodating said use are at least 50 feet from the nearest
street corner of the block in which the building fronts on. Office uses are allowed in
upper stories only in buildings nearer to the street corner in the MX-D and MX-TOD
zones.
SECTION 3. The effective date of this ordinance shall be October 19, 2023.
First Reading: October 3, 2023
Second Reading: October 10, 2023
Date of Publication: October 19, 2023
Date Ordinance Takes Effect: October 19, 2023
By:___________________________
Patrick Hanlon, Mayor
ATTEST:
_______________________________
Amy Domeier, City Clerk
City Use Category Restrictions
Minneapolis Office None
St. Paul Office, Administrative
Office, Artist, Photographer
Studio etc.
Office, Insurance, Real
Estate, Sales
Office, Professional
None
Stillwater Office, General Business or
Professional
Office, Finance, Insurance,
Editorial, or Real Estate
Services
Office, Administrative
Office, Medical or Dental
None
Robbinsdale Office, Professional
Office, Medical
Office, Business
None
Excelsior Office, General Business
Office, Clinic (non-veterinary)
Use cannot be located at street level
on Water Street or at street level in
structures that have frontage on
both Water Street and one of the
following: Lake Street, 2nd Street, or
3rd Street; use must be located on
the upper level
White Bear
Lake
Offices, Professional Permitted in Upper Stories.
Allowed on first for if occupying no
more than 30% of both the gross
floor area and linear street frontage
on any parcel.
Park Ridge, IL
(pop. 39,656)
Offices, Professional Permitted: Above Ground Floor
Conditional: On Ground Floor
Whitefish Bay,
WI
(pop. 14,954)
Offices, Professional Permitted: Above Ground Floor
Conditional: On Ground Floor
La Grange, IL
(pop. 16,321)
Offices Restricted on first floor, except
interior building spaces that meets
all of the following criteria: (1) the
leased space does not abut or have
a window, door, or other opening
onto a public street, (2) the interior
of the leased space is not otherwise
visible from a public street, and (3)
the leased space is defined by
separate demising walls and is not
integrated with space that abuts or
is otherwise visible from a public
street.
HIGHWAY 7
HIGHWAY 1691ST ST N
EXCELSIOR BLVD
11TH AVE SMAINSTREET
7TH ST S
SMETANA RD
3RD ST N
2ND ST NE2ND ST N
5TH AVE NCAMBRIDGE ST
SHADY OAK RDLAKE ST NE
MINNETONKA BLVD
17TH AVE N12TH AVE N6TH ST S15TH AVE N14TH AVE N2ND AVE S11TH AVE N9TH AVE NBOYCE ST10TH AVE N8TH AVE N19TH AVE NBLAKE RD N7TH AVE N5TH ST S18TH AVE N6TH AVE NBLAKE RD S1ST ST S GOODRICH STOAKRIDGE RD16TH AVE N20TH AVE NANN LN
NOLAN DR
MANITOBA
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ASHLEY RDBIRCH PLHOLLY RD3RD ST S POWELL RDTYLER AVE NATWATER STLORING RD
13TH AVE NMONROE AVE SPRESTON LN
DIVISION ST
HARRISON AVE S21ST AVE NW
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ALTHEA LN8TH AVE SVAN BUREN AVE SSANDRA LN
MAPLE HILL RD17TH AVE S2ND ST S
ADAMS AVEHIAWATHA AVE
12TH AVE S13TH AVE SOXFORD ST
PARK LNJACKSON AVE NK-TEL
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R19TH AVE S7TH AVE S18TH AVE S9TH AVE SWASHINGTON AVE SMERILANE
8TH ST SMILL RDMILWA
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OAKWOOD RD6TH AVE SEDGEMOOR DRSAINT ALBANS RD E
FAIRWAY DRWAYSIDE RD
W
5TH AVE SANNAWAY DROAK RIDGE TR
CAMPBELL DRWASHINGTON AVE N
OAKVALE RD S
BRI
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OAKVALE RD N
37TH ST W
MINNETON
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VAN BUREN AVE N5TH ST N
4TH ST N
MONROE AVE NCOTTAGE
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INTERLACHEN RDTEXAS AVEHAZEL LNHERMAN TERHOPKINS CROSSROADSOAKGLEN DR47TH ST W
LAKE
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20TH AVE SSAINT
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10TH AVE S7TH ST W JOHN STOAKTON DR16TH AVE S15TH AVE SROYZELLE LN
MEADOWBROOK RDWILSHIRE
W
A
L
K
SWEET BRIAR LNBURNES DRFLETCHER PL
ELMO RDTEXAS AVE SMADISON AVE NOAK
D
R L
N
GRIFFIT STSAINT JOHNS RD
WAYSIDE RD E
FARM LN
OAKTON RDGJACKSON AVE SDEER RIDGE LN
CREE
K
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N
ROBINWOOD
LN
ROBINWOOD TERCEDAR POINTE DR SFARMDALE RD EOAK RIDGE RDWOODLAND DRCEDAR POINTE DR NEAST PARK VALLEY DRGETHSEMANE RDWEST PARK VALLEY DRCEDAR CROSSINGBROOKVIEW
DRHEDBERG DRRIDGE
W
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MADISON AVE SWEST PARK
RD
DRILLANE RD
WEBSTER PL
HONEYWOOD LNPOMPANO DR
AQ
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JEFFERSON AVE SFAIRWAY LN34TH ST W
LANDMARK TRAIL N 34TH CIRCLE WPARKSIDE BLVDLANDMARK
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S GROVE PLOLD SETTLERS TRAIL DEARBORN CTARTHUR STREGENCY LN E
POLK AVETRAILWOOD SMALONEY AVE
EDGEB
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OAK PARK LN
14TH AVE SHOPKINS CENTER
HARRISON AVE NHERM
A
N
CTALTHEA LN2ND ST N
HIGHWAY 1692ND ST N
10TH AVE SHIGHWAY 7
5TH AVE S12TH AVE S4TH ST N
2ND ST S MEADOWBROOK RDHIGHWAY 7 FRONTAGE RD
7TH ST S5TH AVE S6TH ST S
1ST ST S
ROBINWOOD LN
TYLER AVE N6TH ST S
2ND ST S
5TH ST S 2ND AVE S6TH AVE SHOPKINS CROSSROADS13TH AVE S9TH AVE S15TH AVE S11TH AVE SHIGHWAY 7
F
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3RD ST N
2ND ST N
7TH AVE S16TH AVE N3RD ST S21ST AVE N8TH AVE SMIN
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D12TH AVE NVAN BUREN AVE N0 600 1,200 1,800 2,400 3,000300
Feet
Date: 7/28/2022City of Hopkins
ZONING MAP
LEGEND
Front Street
PUD, Planned Unit Development Overlay
Neighborhood Zones
N1: Estates
N2-A: Suburban Neighborhood, Large Lot
N2-B: Suburban Neighborhood, Mid Lot
N3-A: Traditional Neighborhood, Mid Lot
N3-B: Traditional Neighborhood, Small Lot
NX1: N'hood Res Mix
NX2: Gen Urban Res Mix
Mixed-Use Zones
RX-TOD: Res-Ofc Mix, TOD Ctr
RX-D: Res-Ofc Mix, Downtown Ctr
RX-N: Res-Ofc Mix, N'hood Ctr
MX-TOD: Mixed-Use, TOD Ctr
MX-D: Mixed-Use, Downtown Ctr
MX-N: Mixed-Use, N'hood Ctr
MX-S: Mixed-Use, Suburban Ctr
IX-TOD: Employment Mix, TOD Ctr
I-TOD (UI): Industrial Mix, TOD Ctr
IX-S (CE): Employment Mix, Suburban Ctr
Special Zones
I1 (BP): Light Industrial
CLR: Closed Landfill Restricted
P1: Parks and Open Space
P2: Public-Institutional