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As part of the application, the developer also received approval for a Final PUD for Phase I of the development. The first phase was for Buildings 1 and 3. The applicant included an Initial Phase Development Plan(Attachment B) which details what aspects of the Jro'ect will p be constructed with Phase I. While the Final PUD for Phase I has been approved, future approvals for Phase II and III will require review before both the Planning Commission and City Council. Since the approval of the Master and Final PUD for Phase I the developer has been in negotiations with Walgreens Pharmacy. The terms of their agreement will include Walgreens purchasing the parcel that the Walgreens store will be built on. This is made slightly more complicated by the existence of Building 3 with would be attached to the Walgreens store, but located on a separate parcel of land with a zero lot line runningalong g the wall that divides the stores. At this time the applicants are requesting an amendment to the approved Master and Final PUD for Phase I that would allow an alternate development option that excludes Building 3. The applicants would like to maintain the option to construct Building 3 at a later date, reserving the space in the interim as a landscaped green space (Attachment Q. The applicants feel that the ability to move forward with the construction of Phase I without the inclusion of Building 3 will greatly assist in their negotiations with Walgreens and allow the g g development to take place. In essence the applicants are requesting the inclusion of an alternate build out scenario; the original approval of the Final PUD for Phase I which includes Building 3 would remains in place, and a second option that excludes would also be possible. Everything else about the development application would remain unchanged from the original approval. -- Given the delays of the project due to unforeseen market conditions and extended negotiations with Walgreens, the applicants are also requesting a one year extension for filing g the Final Plat with the County and for submitting for building permits for each of the three — phases. The Applicants have submitted a letter describing their request Attachment A as well as a site plan of how the green space would be programmed (Attachment C . 2. Planned Unit Development(PUD) Process The PUD process is a tool that provides additional flexibility p for developments that an underlying zoning district would not otherwise allow. For may example, a PUD change the p Y g setbacks, lot coverage, lot sizes,parking requirements, signage, building height, building materials, landscaping requirements, etc. The process is meant to create a better development than the standard regulations may otherwise allow. The PUD process allows the City to negotiate certain aspects of the development; however, any conditions imposed on the PUD must have a rational basis related to the impacts of the development. While each PUD City of Arden Hills Planning Commission Meeting for May 5, 2010 C:IDOCUME-1IMEAGAN—I.BEEILOCALS—I I TempIELFDl05-05-10-PC Report-Arden Plaza-PUD Amendment.doc Page 2 of 7