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HomeMy WebLinkAboutRFD - 20-00141 - 150 N 2nd W - Rezone from LI to MU #20 00141 Rezone from Light Industrial to Mixed Use 150 N 2nd W February 19, 2020, Ray McDougal met with the Ready Team for a proposal of modern-industrial apartments at 150 N 2nd W. Below the apartments, the Applicant wanted to have an Auto Body shop. March 10, 2020, An application was received for a rezone from Ray McDougal on behalf of Sephlin and Daric Hepworth for 150 N 2nd W. An Affidavit of Legal Interest was requested. March 17, 2020, Affidavit of Legal Interest was received. Payment for application was received. April 1, 2020. Applicant was notified the legal description submitted did not map the correct area. The legal description identified land by Nature Park. April 2, 2020, a legal description was submitted and reviewed, mapping the same incorrect area. April 6, 2020, the legal description was amended. April 7, 2020, notice was sent to the newspaper to be published April 21st and May 1st. April 13, 2020, a Staff Review Summary was sent to Ray McDougal and the Hepworths. April 20, 2020, an official notice of the hearing and public hearing instructions were mailed to all adjacent property owners within 350’ of the annexation parcels. April 23, 2020, Notice was posted on the property at 150 N 2nd W. May 7, 2019, The hearing was held for the rezone before the Planning & Zoning Commission. 6:40 p.m. - (20-00141) – 150 N 2nd W – Rezone from Light Industrial (LI) to Mixed Use (MU) (action) – Ray McDougal Chairman Rory Kunz opened the public input portion of the hearing at 6:51p.m. Applicant Presentation – Ray McDougal – He is representing the Hepworths. The request is for the corner piece of W 2nd N and N 2nd W, by the old fertilizer elevator. Rory Kunz confirmed this parcel is across the street from the power company. The parcel is 0.9 acres currently zoned Light Industrial. The Comprehensive Plan lists the area as Neighborhood Commercial/Mixed Use. The rezone is to build a Boutique Hotel. The applicants feel like the zone of Mixed Use best fits this proposed use. There is nothing like this in the city. It is a short-term stay, but longer than a hotel, shorter stay than an apartment – a couple of weeks. The units will have kitchens like an apartment. This boutique hotel is a new product for Rexburg and is intended for those visitors of students, locals or vacationers. The Applicant would like to put some commercial on the main floor, like a bakery. This housing would be near the downtown corridor and city parks and a positive addition to the neighborhood. The proposal would fill up a corner that has been an eyesore, to spur further development and beautification of this area. The commercial component will provide services to nearby residential neighborhoods. Steve Oakey asked about the required landscaping. Have you gotten this far in the design? Ray McDougal answered; they are not far into the design. Some of the beautification will be included in the design of the exterior of the structure, in addition to the building and parking requirements. There is an agreement with Keith Davidson; the area owned by the City can be used for some green space until the road needs to be widened. Rory Kunz reminded those present, the request to the zoning and potential zoning of the parcel is the focus of the request. Melanie Davenport asked if the Applicant contracted with any of the adjacent properties. Why or why not? Ray has not talked to any neighbors. Jeff Lerwill to the east of the request could have been interested in being part of the request. Sephlin talked about contacting Jeff via email and he was not in attendance. Jeff Lerwill sold the property to the Hepworths and identified the parcel should be able to be rezoned to Mixed Use. Staff Report: Alan Parkinson – Staff has met with the Applicants. Public Works identified storm drainage will have to be contained on site. A traffic study may need to be conducted, depending on the traffic needs, depending on peak hours. Staff has some concern with noise from neighbors. Adjacent to the property is a mechanics shop, a contractor shop, and a powder coating business, which are strong industrial business. The wedge south of this property was recently rezoned to Light Industry. The request does comply with the Comprehensive Plan. Hotels are allowed in a Mixed Use zone. Currently, Staff is neutral on this request. Steve Oakey asked if you are rephrasing the Staff Report to a neutral stance. Alan Parkinson answered, yes, Staff’s position is neutral. A change was not able to get this change out to the Commission in time. Vince Haley asked what is going to happen for development in the future. Alan answered, he does not see anything happening with Rocky Mountain Power to the West and the North. South of the property could develop like a car repair shop. Premier Powder Coating has not given any indication of changing locations. Across 1st N, there is potentially some housing. In the near future, the City does not see much going on in this area. Vince Haley confirmed the property behind Wolfe Lighting changed a few months ago to Mixed Use. Alan restated, short term no changes are anticipated, but long – term, Staff sees the area transitioning to more residential housing. Mickelsen’s and a nearby warehouse are currently vacant. The economy will decide. Steve Oakey says the willingness of the Hepworths and the Lerwills to develop in this area; this is an indication of the likelihood of the where the development is going. Melanie Davenport asked about this being a spot zone. Alan clarified this would be a spot zoning in the fact Light Industrial will surround this parcel. No further Commissioner questions. Written Correspondence: None Favor: None Neutral: None Opposed: None Rebuttal: Ray McDougal confirmed this is a spot zone, but the proposal does match the Comprehensive Plan. Change has to start somewhere. A willing investor is a good opportunity for the city. Initially, Ray did not feel like an apartment complex would be a good fit for this area, but it is not uncommon for hotels to be adjacent to industrial zones in other areas. He feels the use will enhance the neighborhood. Chairman Rory Kunz closed the public input portion of the hearing at 7:07p.m. He asked for any conflicts of interest among the Commissioners that need to be expressed. None. Steve Oakey thinks it is good for us to recognize the cost to make the request. At the February 19th meeting, he felt there was a conflict between Staff and this request. He brought up the long lists of acceptable businesses in certain zones. This is a good example of the preferences of a property owner running up against the limitations of zoning lists. Second, the comment was made; it may be difficult for the Hepworths to conduct their business at this particular location. He does not believe either of these reasons are relevant. The developers are putting many, many dollars on the line to determine if their business model will work or not. The fact we have zoning that prevents them from taking on this experiment and their ideas do not appear on a list. He does not feel the developers need the Planning & Zoning Commissions’ permission. Steve would be in favor of granting them the opportunity to try if a motion is put forth. Melanie Davenport feels 1) she does not agree with the spot zone, 2) Ray McDougal identified he was not initially for the rezone for the project until he understood the use better. The use was given a higher priority than the zone. She would be more inclined to vote for the proposal, had the neighboring properties joined the application, especially since adjacent property owners have been contacted. Keith Esplin agrees with Ray McDougal’s analysis. It feels like a strange place for a boutique hotel. As he thinks about the places he has been, he has seen hotels near industrial uses. He does not feel this is a good place for apartments, for example. He feels that this is a transition area and he would support the proposal at this point. Greg Blacker drives by this place every day. It is a mud hole in the winter and springtime and a weed lot in the summer. He feels a use in this area would improve the location. He would be for the proposal. Melanie Davenport says, with a zone change, the property will not necessarily be used for the stated purpose. The zone could be changed and something completely different could be built. She is against the proposal. Vince Haley noted that since the Lerwills are not hear, we cannot take anyone’s word for what they would say or do if they were here or what they would want. Attorney Rammell stated, from a legal standpoint, if we deem something a spot zone, it cannot be given a negative connotation. The zone change needs to fit with the Comprehensive Plan. The courts have made this very clear. If the proposal fits within the Comprehensive Plan and it is a single parcel, there is not an issue with approval for the reason of a “spot zone.” Chairman Rory Kunz referred to a previous question, what do we see for further development in this area? Ray McDougal said change has to start somewhere. From Rory’s perspective, he does not feel Light Industrial will be in this location long-term. 20 to 40 years from now, he does not think Light Industrial will be here. Light Industrial will move to the fringes of town. Where the Comprehensive Plan does support Neighborhood Commercial/Mixed Used and may contradict his stance in the past. Kristi Anderson referred to Attorney Rammell’s comments. She confirmed spot zoning has come up several times in the past. Is this a weak reason to deny a request? Attorney Rammell said the Idaho Supreme Court in 2003, identified two types of spot zoning. One type dealt with the change of zoning that does not match the Comprehensive Plan. Alternatively, it can be used as a more general term, where someone says, it is a lone zone, but it matches the Comprehensive Plan. The court cases state that the term, “spot zoning,” is not to have any negative connotation. The most important factor is to determine if the request is within the Comprehensive Plan. Steve Oakey does not feel if the Commission lacks the vision and financial attachment, the Commission should punish the Hepworths or any other developer. He feels the Hepworths should be allowed the right to try.  MOTION: Recommend City Council approve the request to rezone 150 N 2nd W from Light Industrial to Mixed Use to allow them the right to try their business., Action: Approve, Moved by Steve Oakey, Seconded by Todd Marx. Commission Discusses the Motion: None VOTE: Motion passed (summary: Yes = 7, No = 1, Abstain = 0). Yes: Chairman Rory Kunz, Greg Blacker, Keith Esplin, Kristi Anderson, Steve Oakey, Todd Marx, Vince Haley. No: Melanie Davenport. *City Council will hear the application on May 20, 2020.