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HomeMy WebLinkAbout8A, Planning Case 10-008 - Arden Plaza Development Agreement Amend. #1. EN HILLS � Re uest for Council Action q Prepared By: Meagan Beekman, City Planner Council Meeting Date: July 12, 2010 Planning Case 10-008 — Arden Plaza Development Agreement Amendment No. 1 Budgeted Amount: Actual Amount: Funding Source: N/A N/A N/A Recommendation: Approve Planning Case 10-008 for Amendment No. 1 of the Arden Plaza Development Agreement, Based on the Findings of Fact and the Submitted Plans, as amended by the six conditions in the July 12, 2010, Report to the City Council. Supporting Documents: 1. Memorandum dated July 12, 2010, from Meagan Beekman 2. Letter from Denny Trooien dated June 30, 2010 3. Amendment No. 1 of the Arden Plaza Development Agreement _ _ _ _ EN HILL 5. MEMORANDUM DATE: July 12, 2010 TO: Mayor and City Council Patrick Klaers, City Administrator FROM: Meagan Beekman, City Planner SUBJECT: Planning Case #10-008 Arden Plaza, LLC (Dennis Trooien) 3585 Lexington Avenue North Southwest corner of County Road E and Lexington Avenue Master Planned Unit Development Amendment Requested Action Approve Planning Case 10-008 for Amendment No. 1 of the Arden Plaza Development Agreement, Based on the Findings of Fact and the Submitted Plans, as amended by the six conditions in the July 12, 2010, Report to the City Council. Back�round In June 2009 the Planning Commission and City Council approved a redevelopment application for the Arden Plaza retail center. The approved Master PUD includes the demolition of the existing office pod buildings, subdivision of the parcel into four lots, and the construction of four new buildings. As the proj ect was approved, Building 1 is 14,600 square feet and would be a pharmacy. Building 3 would be attached to Building 1 and would be anticipated to be a retail and/or restaurant use of 4,700 square feet. Building 2 would be a 6,000 square foot single restaurant user, and Building 4 would be 18,000 with a user that was yet to be determined. The entire proj ect would be completed in three phases. At their June 14, 2010, meeting, the City Council reviewed a request to amend the approved Master PUD and Final PUD for Phase I to allow an alternative development option that would exclude Building 3. The purpose of the applicant's request was to remove or delay the construction of Building 3 in order to move their negotiations with Walgreen's forward. The City of Arden Hills Czty Council Meeting for July 12, 2010 IlMetro-inetlardenhillslAdminl CouncillAgendas � Packet Information1201017-12-10 RegularlPacket Information107-12-10 - Arden Plaza PUD Amendment - Memo.doc Page 1 of 3 applicant also requested an extension to the plat filing and building permit deadlines laid out in their development agreement with the City, which is critical to moving the entire redevelopment proposal forward. At the time of their review, the City Council voted to table the application citing concerns over the removal of Building 3 and the ramifications this may have on the overall design and site plan of the development. While the applicant continues to work towards a solution that will accommodate the requirernents of the City and the needs of their future tenants, they have withdrawn their request for the alternative development option to remove Building 3, and are focusing their request on the timeline extensions only. Since the approval of the Master PUD in July 2009, the developer has been in negotiations with Walgreen's. Given the delays of the proj ect due to market conditions and extended negotiations with Walgreen's, the applicants are requesting a one year extension for filing the Final Plat with the County and for submitting for building permits for each of the three phases. According to the existing development agreement the deadline to pull building permits for Phase I of the Arden Plaza redevelopment is July 13, 2010. If the deadline is not extended, the development agreement will expire, essentially ending the proj ect. The one year extension will give the developer time to continue their negotiations with Walgreen's or another user for the site. The Applicants have submitted a letter describing their request (Attachment A). Findings of Fact The Planning Commission offers the following findings of fact. The application has since been modified to eliminate the request for the amendment to the Master PUD and Final PUD for Phase I allowing for the alternative development option. 1. On July 13, 2009, the City approved a Master PUD, Final PUD for Phase I, and Preliminary and Final Plat for the Arden Plaza property. 2. The applicant is requesting approval of an amendment to the Master PUD and Final PUD for Phase I to allow the addition of an alternate development option that excludes Building 3. 3. The proposed amendment would increase the amount of landscaped area on the site by 4,700 square feet. 4. The proposed amendment would decrease the amount of signage of the site by 93 square feet. 5. The proposed application is not anticipated to create a negative impact on the immediate area or the community as a whole. City ofA�den Hills City Council Meeting for July 12, 2010 IlMetro-inetiardenhillslAdminlCounciliAgendas & Packet Information1201017-12-10 RegularlPacket Information107-12-10 - Arden Plaza PUD Amendment - Memo.doc Page 2 of 3 Recommendation The Planning Commission reviewed Planning Case 10-008 on June 9, 2010, and recommended approval (4-3) of the Amendment to the Master Planned Unit Development, Final PUD for Phase 1, and Development Agreement, based on the findings of fact and the submitted plans, as amended by nine conditions of approval. Staff has since modi� ed the conditions of approval based on the revised request for the deadline extensions only. The six conditions of approval are as follows: 1. The applicant shall continue to abide by the conditions of all previous Master PUD and Final PUD for Phase I, permits, and reviews, except as hereinafter amended. 2. The applicant shall file the Final Plat with Ramsey County by June 1, 2011. 3. The applicant shall obtain building permits for Phase I of the redevelopment proj ect no later than June 1, 2011. 4. The applicant shall obtain building permits for Phase II of the redevelopment proj ect no later than June l, 2013 5. The applicant shall obtain building permits for Phase III of the redevelopment proj ect no later than June 1, 2014 6. Amendment No. 1 to the Arden Plaza Development Agreement shall be prepared by the City Attorney. The amendment shall be filed with the Final Plat. Requested Action Approve Planning Case 10-008 for Amendment No. 1 of the Arden Plaza Development Agreement, Based on the Findings of Fact and the Submitted Plans, as amended by the six conditions in the July 12, 2010, Report to the City Council. Deadline for A�enc_y Actions The City of Arden Hills received the completed application for this request on April 5, 2010. Pursuant to Minnesota State Statute, the City extended the review period in writing to 120 days. The City must act on this request by August 2, 2010 (120 days). The City may, with the consent of the applicant, extend the review period beyond the initial 120 days. Attachments A. Letter from Denny Trooien dated June 30, 2010 B. Amendment No. 1 of the Arden Plaza Development Agreement City of Arden Hills City Council Meeting for July 12, 2010 IlMetro-inetlardenhillslAdminlCouncillAgendas & Packet Information1201017-12-10 RegularlPacket Information107-12-10 - Arden Plaza PUD Amendment - Memo.doc Page 3 of 3 ac men . e er ror�r� enn roolen a e une � July 12, 2010, City Council Meeting •�t�M"�. ... � � � ; � � � � � � _ � 752 Stillwater Road Mahtomedi, MN 5 5115 Fax 651 631 1500 Voice 651 247 7007 denni s�� denni spropertie s. com vwvw. dennis�ro�erties. com June 30, 2010 Meagan Beekman City Planner, Recycling Coordinator City of Arden Hills 1245 West Highway 96 Arden Hills, l�'IN 5 5112 Re: Application for PUD Amendment Arden Plaza, LLC Dear Ms. Beekman: As you know, Arden Plaza LLC is seeking an amendment to the existing Master Plan PtJI�a This requ�st involves tvvo aspectso 1. The extension of time as set forth in our application; and 2. The modification of the plan to allow the potential elimination of Building 3. This is to advise you that Arden Plaza LLC, desires to have the City:Council continue, for � • . . . • � � ' . +' . � � � .-t ' ��i,. !! '� . �," t :� ' l.� � �' " �' � . :�1. �, ... . ' � . - 1. � 1 . • t y , A 1 .�. '.y .. ' ` �. . . � . . . , , . ' . . . � . � 1�.�.�r,�.�C U�IJI�LI:jj�i�1� G�.�. -d. �Ci����c ud�:,, �:�Y�.� ��d�'�; �� t3�.l.r d�;�i-�t;a.�,�i��l�; :.���::. t�.��i� ��v'i'���1 �:1��. : � . modification of the plan. � . � � � � - Consequently, we are asking that the City Council consider, at its July 12, 2010 meeting, only that part of our application that seeks the extension of time. It is our ho � that we can continue to work with the City Council on this very important �rrf� redeve � ment of Arden Plaza. Very truly yours � Denny Trooien Cc: Steve Wellington ----- Forwarded Message ----- From: "Tom Bagan" <tdbagan�usfamily.net> To: sjharpstead�comcast.net Sent: Monday, June 21, 2010 ll:00:35 AM GMT -06:0o US/Canada Central Subj ect: redeveopment of Arden Plaza Dear Mr. Harpstead; I am the owner of Hair Expressions in the Arden Plaza. I am writing in favor of the redevelopment of Arden Plaza. The mall is old and rundown without curb appeal to bring in new customers. The off'ice building on the corner is an eye soar and it's vacancy makes the mall look closed for business. Consumers gravitate to businesses that are thriving and busy. Arden Plaza looks dead most of the time with a vacant old building and small businesses struggling to bring in traffic. The mall is in great need of a facelift and an anchor store for the traffic these create. The mall has had many small businesses not survive due to lack of traff'ic. As a small business owner, I can tell you that it is very expensive to advertise and bring in new clients. Businesses rely on each other for this. We need a larger business in the mall that can afford to advertise and bring in the people to help the small businesses survive. My hair salon has been in the Arden Plaza as long as the mall has been there. Yet people in the community continuously tell us "I never knew you were here and I've lived here for years." W1zy is that? Because Arden Plaza does not have the anchor stores to draw you in. People shop out of convenience and they go to areas they can do it all. At the city meeting I heard residents talk about keeping Arden Hills alive and revamping their downtown. You need to give people a reason to stay in the community; they need restaurants, stores and businesses with a reason to do business there. Please vote for an extension of the redevelopment of Arden Plaza. The community is in great need of it as well as the small businesses. �incerely, D'Ann Bagan Hair Expressions 3551 B Lexington Ave Arden Hills, MN 55126 ac men r en aza eve o men reer�r�en men r��.en o0 July 12, 2010, City Council Meeting ARDEN PLAZA REDEVELOPMENT PLANNED UNIT DEVELOPMENT MASTER PLAN FINAL PLAT — ARDEN PLAZA REDEVELOPMENT PLANNED UNIT DEVELOPMENT FINAL PLAN — PHASE I DEVELOPMENT AGREEMENT AMENDMENT NO. 1 PC# 10-008 1.4 Parties. This Redevelopment Agreement is dated the 12th day of July, 2010 and is entered into by and between the City of Arden Hills, a Minnesota statutory city ("City"); and Arden Plaza, LLC, a Minnesota limited liability corporation ("Arden Plaza"). 2.0 Recitals. A. Arden Plaza is the record fee owner of the following described property ("Property") situated in the City of Arden Hills, County of Ramsey, State of . Mlnnesota: The north 872 feet of the east one-half (1 /2) of the northeast quarter o f S ection 3 4, Township 3 0 north, Range 23 west, except the west 625 feet thereof; excepting from the above described Tract, the west 200 feet of the north 283 feet. Subj ect to rights of public, those portions thereof taken for highways, said portions being the north 43 feet thereof and the east 33 feet thereof and that part thereof lying north and east of the connecting curb. B. The Property is being platted as Lots 1, 2, 3, and 4, Block 1, Arden Plaza Redevelopment. C. The use and redevelopment of the Property is subj ect to the City's Development Regulations and the terms and conditions of that certain document ("Original Redevelopment Agreement") approved by the City on July 13, 2009, in connection with the City's review of City Planning File PC#09-01 l. D. On the Sth day of April, 2010, Arden Plaza submitted an application to amend the Original Redevelopment Agreement, generally, as it relates to the overall phasing of the redevelopment of the Property and speci� cally as it relates to the redevelopment of proposed Lot 3, Block l, Arden Plaza (Amendment No. 1). E. The Arden Plaza application to approve Amendment No. 1 was submitted on City approved forms together with the following documents: 1. Written statement consisting of pages 1 and 2 dated April 2, 2010. 2. Site Plan dated March 29, 2010. 3. Landscape Plan dated March 29, 2010. 4. Elevation Plan A-300 dated March 26, 2010. 3.0 City Plannin� Commission Review and Recommendations. On the Sth day of May, 2010, at a ublic hearin , the City Planning Commission considered the request of Arden p g Plaza to approve Amendment No. 1, the reports and comments of the City's staff and consultants, the reports and comments of Arden Plaza, public cor�iments and recommended approval of Amendment No. 1, subj ect to certain conditions. 4.0 Citv Council Review and Table. On the 14th day of June, 2010, the City Council reviewed the request of Arden Plaza to approve Amendment No. 1, and tabled their consideration of its review of Planning Case 10-008. 5.0 Amended Submittal. On the 3 Oth day of June, 2010, Arden Plaza submitted a written statement (Attached) withdrawing a portion of its Application for Amendment No. 1. 6.0 City Council Review. On the 12th day of July, 2010, the City Council reviewed the request of Arden Plaza for the remaining portion of Amendment No. 1, the reports and comments of the City's staff and consultants, the reports and comments of Arden Plaza, the recommendations of the Planning Commission, and, approved Amendment No. l, subj ect to the terms and condition contained herein. 7.0 Terms and Conditions. In consideration of the City's redevelopment approval; in compliance with the City's development regulations; and in consideration of the undertakings expressed herein, the parties agree that Sections S(A)(1), S(A)(2), 5(A)(3), and S(B)(2) of the Original Redevelopment Agreement are amended to read; and that Section 5(A)(11) is added to the Original Redevelopment Agreement to read as follows: A. Section 5 A)(1 � Arden Plaza shall apply for and obtain building permits for Phase I of the Redevelopment Proj ect no later than June 1, 2011 or, at least forty- five (45) days prior to such date, shall request an extension of time to obtain building permits for Phase I. Failure to either obtain building permits or request an extension within the required time periods means that any redevelopment of the area included in Phase I may require an amendment to the PUD-Master Plan and shall require compliance with the City's then current development . regulatlons. B. Section S�A�(2� Arden Plaza shall apply for the PUD-Final Plan for Phase II of the Redevelopment Proj ect no later than June 1, 2013 or, at least forty-� ve (45 ) days prior to such date, shall request an extension of time to apply for the PUD- Final Plan for Phase II of the Redevelopment Proj ect. Failure to apply for either and approval or an extension within the required time periods means that any redevelopment of the area included in Phase II shall require an amendment to the � PUD-Master Plan and the redevelopment of the area included in Phase II shall comply with the then current City regulations. Arden Plaza shall provide yearly updates to the City at the end of each year regarding the status of future phases. C. Section �5)(A)(,_ 3). Arden Plaza shall apply for a PUD-Final Plan for Phase III of the Redevelopment Project no later than June 1, 2014 or, at least forty-�ve (45) days prior to such date, shall request an extension of time to apply for the PUD- Final Plan for Phase III. Failure to either apply for approval or an extension within the required time periods means that any redevelopment of the area included in Phase III shall require an amendment to the PUD-Master Plan and the redevelopment of the area included within Phase III shall be in compliance with the then current City regulations. D. Section 5(B�2� Arden Plaza shall �le the Final Plat with Ramsey County no later than June l, 2011. IN WITTIESS V��HEREOF, the City and Arden Plaza have caused this Amendment No. 1 to be executed as of the date and year �rst above written. 3 CITY OF ARDEN HILLS, a Minnesota statutory city Stanley, D Harpstead, MAYOR ATTEST: Patrick Klaers, City Administrator STATE OF M17L�NESOTA ) ) ss. COUNTY OF 1 On this day of , 2010, before me, a notary public within and for said county, personally appeared Stanley Harpstead and Patrick Klaers, to me knoWn to be respectively the Mayor and City Administrator of the City of Arden Hills, and they executed the foregoing instrument and acknowledged that they executed the same by authority of and on behalf of City of Arden Hills. Notary Public C� ARDEN PLAZA, LLC By: Printed Name: Title: S TATE OF MI7NNE S OTA ) ) ss. C OUNTY OF ) On this day of , 2010, before me, a notary public within and for said county, personally , the of Arden Plaza, a Minnesota limited liability company, and owner of the above described property and he/they executed the foregoing instrument and acknowledged that he/she/they executed the same on behalf of said corporation. Notary Public �x�s ��rs������rT w�s ���T�� ��: PETERSON, FRAM & BERGMAN, P.A. (JPF) 55 East Fifth St., #800 St. Paul, MN 55101 (651) 291-8955 F:\users�Jessica�Jerry�Arden Hi11s�Arden Plaza Redevelopment Ag. Amend. No. 1. v3.doc 5