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NEW BUSINESS -11B <br />-AEN HILLS <br />MEMORANDUM <br />DATE: January 12, 2026 <br />TO: Honorable Mayor and City Councilmembers <br />Jessica Jagoe, City Administrator <br />FROM: Jake Reilly, Community Development Director <br />SUBJECT: Planning Case # 25-015 — Public Hearing Required <br />Applicant: HRE Arden Hills LLC <br />Property Location: 4440 Round Lake Road <br />Request: Conditional Use Permit <br />Budgeted Amount: Actual Amount: Funding Source: <br />N/A N/A N/A <br />Council Should Consider <br />Motion to approve, table, or deny the following: <br />• Adoption of Resolution 2026-005 for Planning Case 25-015 to allow a Conditional Use <br />Permit (CUP) for a project at 4440 Round Lake Road ("Subject Property"). Brandon <br />Champeau, Hempel Real Estate dba HRE Arden Hills LLC ("The Applicant") proposes <br />to lease space in the existing warehouse building to cannabis wholesale operators. <br />Background <br />1. Overview of the Request <br />Brandon Champeau, Hempel Real Estate dba HRE Arden Hills LLC ("Applicant") has submitted <br />a land use application for a Conditional Use Permit (CUP) for a project at 4440 Round Lake Road <br />("Subject Property"). The Applicant seeks approval to lease space in the existing warehouse <br />building to cannabis wholesale operators. The wholesale cannabis use triggers the requirement for <br />a CUP. All cannabis uses in Arden Hills require a CUP. The Subject Property is zoned GB, <br />Gateway Business District and is guided as Light Industrial & Office on the Land Use Plan. <br />2. Planning Case Background <br />The Subject Property was previously occupied by Saltbox, a business offering suites leased by <br />individual businesses - usually startup/small digital commerce companies - in this building. <br />Saltbox went through Concept Review with the City Council in March of 2022 (Planning Case <br />#22-005) and Site Plan Review with the Planning Commission and City Council in May and June <br />Page 1 of 10 <br />