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Development Analvsis 1. Since the consultant and staff originally reviewed Mr. Kehr's proposal, we have recommended the Kehr development only if the area between the Kehr property and Dale Street was also designated as MR Medium Density Residential. Without this action, the land use and zoning on the Kehr property would result in an island ofMR with single family or duplex uses on either side. Two conditions of approval should be included. First, future street extensions could be made both to Dale Street and to the west. These are long term considerations and not needed until these adjacent areas redevelop. Second, a regional storm water facility to handle all development in this area should be seriously studied. This would be more efficient and aesthetically pleasing ITom a land use perspective. 2. As discussed during the Comprehensive Plan workshops, the most difficult aspect of the redevelopment of areas like this one is determining when enough change has occurred. Under the correct set of circumstances and with the controls that the City will maintain in this case, the City can change the land use designation between the Kehr property and Dale Street. There is no need to change further to the west. The area to the west should await redevelopment of the American Legion property. The Legion has stated that they are not interested in pursuing a change at this time. 3. Both Dale Street and County Road C have the capacity to handle the added traffic. Exhibit 1 1. Exhibit 1 illustrates the existing conditions in the area with the addition of the current 23 housing units proposed by Kehr (6 units/acre). It has been designed to eventually incorporate the Borgstrom Property into the development. If this does not occur, the PUD could require additional buffering, screening or even a change in the layout. As currently planned and zoned, Kehr's land could be used for single family homes at approximately 3.3 units/acre. It would add 10-12 homes with 100-120 total trips per day and 30 to 35 new residents; and it would add $1.5 million in new housing value. 2. Kehr's proposed 23 unit development will add approximately 35 new residents, generate between 140 and 160 total traffic movements (in or out); and add an estimated $3.4 million in new housing development. 3. If the Kehr project is approved, the land use designation to the east ofKehr should eventually be changed to MR Medium Density Residential. The future street extensions to Dale Street and to the west should be included in the Comprehensive Plan, making it clear in the text of the plan that these streets will be built only when these areas develop. All of these land owners can continue to maintain the current use of their properties as long as they want. They can sell the property or even rebuild. The future streets would only be necessary if and when the owner decides to develop the land. 2