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Presbyterian Homes initially approached the City with a proposal for only a re- platting of the property and a Master and Final PUD. Upon review by Staff it was determined that the Presbyterian Homes property should be rezoned to better reflect the mix of uses that exist on the site. Four of the parcels that are included in the redevelopment (3120, 3 153, 3163, and 3220 Lake Johanna Boulevard) are currently zoned R -2, while the fifth parcel (3151 Lake Johanna Boulevard) is zoned Neighborhood Business (N -B). Institutional housing, which is how assisted living and nursing home facilities are defined in the Zoning Code, is a conditionally permitted use in the R -2 District. This means that a CUP is required in order to operate them. At the time the Sutton Place Apartments CUP was approved it was determined, by the City, that the independent senior units that would be located there were defined as institutional housing units just like the other housing units operated by Presbyterian Homes. Since that time, the City Attorney and Staff have reviewed the mix of uses on the site as part of this application, and have determined that independent senior units do not fit the definition of institutional housing, but rather, better fit the definition of multiple family dwellings. Multiple family dwellings are not permitted uses in the R -2 District. Even though independent senior housing units currently exist on the Presbyterian Homes property which is zoned R -2, and these units were approved by the City in the past and operate legally, Staff is recommending a rezoning of the property from R -2 to R -4, because it more clearly reflects the uses on the site. The R -4 District is substantially similar to the R -2 District in terms of setbacks, permitted and conditional uses, building height, and lot coverage. Both Districts allow institutional housing as a conditional use; however, the R -4 District allows multiple family dwellings through a PUD process where the R -2 District does not. Based on the City's interpretation of the uses that exist on the site currently, Staff believes that the R -4 District is a more appropriate zoning designation for this property than R -2. Upon further review of the proposed project, Staff recently discovered that the Presbyterian Homes properties located on the west side of Lake Johanna Boulevard have a 2030 Future Land Use designation of Low Density Residential. It was previously thought that the 2030 Future Land Use designation for 3151 Lake Johanna Boulevard was Neighborhood Business, because the property is zoned N -B. Based on this contradiction, any development proposal for this parcel would require either a rezoning or a comprehensive plan amendment in order to be approved. Given this oversight, a Comprehensive Plan amendment would also be required as part of this application to change the Future Land Use designation. Proper notification and a public hearing before the Planning Commission will be required in order to adopt such an amendment. Since notification could not be sent out in time for the October 6, public hearing, a second public hearing will be required at the November 3, Planning Commission meeting. The Council will not be able to take action on this item until after the Planning Commission public hearing. This proposal technically includes seven requests: 1. Rezoning to R -4 on the four properties currently zoned R -2 2. Rezoning to R -4 on the property currently zoned N -B City of Arden Hills Planning Commission Meeting for October 6, 2010 Page 4 of 11