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ARDEN HILLS SPECIAL CITY COUNCIL WORK SESSION—NOVEMBER 3, 2014 2 Councilmember Holden expressed concern with the comments from United Properties representatives as they have a vested interest in the site. Mr. Ulstad understood this concern and stated he would try to provide objective and unbiased comments and encouraged the Council to invite other commercial developers in for discussions. Mayor Grant questioned how the site needs for the retail area would change without immediate development on the thumb. Mr. Ulstad commented that he has not considered this delay in development. He believed that the retail component would not be possible without the interchange improvements. He stated the size of the retail would be critical in order to attract traffic from Highway 10 and I-35W, while also meeting the needs of the local residents. It was his opinion that 20 contiguous acres would be needed to provide an anchor(grocer) and diversity in the retail area. Councilmember Holden reviewed the proposed locations for retail in TCAAP. Mr. Ulstad recommended that 20 acres of retail be located west of the spine road adjacent to the County Road H interchange. He believed that more convenience retail could be located along Highway 96 and east of the spine road. Mr. McKelvey explained that the 20 acres would be the first piece to draw customers off of the freeway with an attractive anchor and a secondary attraction with restaurants or entertainment. Councilmember Holden asked why this site would be attractive to passing traffic when compared to Roseville. Mr. McKelvey reported this site would be incredibly easy to access. Ms. Pitchford stated this was the reason a grocer was being recommended as the strongest and best use for the site. She reported that once the residential area became fully developed, the grocer would become more stable. Further discussion ensued regarding the potential anchor for the retail site. Mr. Ulstad commented that Target may have bigger ticket items, but requires fewer trips than a grocer. He indicated that grocery stores have been the best single driver for retail and get people in the habit of going to the same place. He further discussed how the retail should be phased from the west side to the east side of the spine road. He suggested that the Council begin with a grocer as this would lead to surrounding retail. Ms. Pitchford stated that smaller convenience would want to be in the field of vision of the grocer. She envisioned a very cohesive, well thought out and organized plan for the retail site. She explained this would assist with leasing the property. Councilmember Holden questioned if the developers had any comparative developments in mind for the TCAAP site.