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Attachment D <br />PC Agenda Item — 3A <br />'It <br />EN HILLS <br />MEMORANDUM <br />DATE: December 10, 2025 <br />TO: Planning Commission Chair and Commissioners <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 />Requested Action <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 prior to operating. The Subject Property is <br />zoned GB, Gateway Business District and is guided as Light Industrial & Office on the Land Use <br />Plan. <br />Background <br />1. Overview of the Request <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 />of 2022 (Planning Case #22-007). As part of improvements to the property in 2022, a new site <br />plan was approved to reconfigure the parking lot layout to allow for 144 parking stalls. <br />Portal Warehousing ("The Operator") became the new operator of the building in 2024 and has <br />been operating under the same flexible warehousing business model operated by Saltbox. Portal <br />handles the on -demand logistical services for receipt and delivery of packages and/or products and <br />provides order fulfillment assistance to small business owners. Products arrive at the loading <br />dock(s) and the on -site logistics staff ensure items are delivered to individual suites or to secure <br />warehouse space. Approximately one half of the warehouse is unoccupied. The Applicant <br />purchased the property early in 2025. <br />Page 1 of 10 <br />