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a <br />PLANNING REPORT <br />DATE: <br />CASE NUt,/IBER: <br />APPLICANT: <br />LOCATION: <br />ACTION REQUESTED: <br />PLANNING CONSIDERATIONS: <br />2 July 1986 <br />1676 <br />Costco <br />(Represented <br />Associates) <br />Northwest <br />Avenue and <br />(see sketch) <br />Wholesale, Inc. <br />by Wahl and <br />Corner of Prior <br />County Road C <br />Amendment to Comprehensive <br />Plan from Industrial to <br />Business, Rezoning from I-1 <br />to B-4, and Special Use <br />Permit for Site Plan Approval <br />1. During the past <br />six to eight months, up to four "Wholesale <br />Merchandising" clubs <br />have been looking for sites in the Twin Cities <br />Metropolitan area. <br />These operations represent a new merchandising <br />technique which includes low markups in the vicinity of 8 percent on <br />larger volume sales. <br />A significant portion of -these sales are wholesale <br />to other retailers, <br />restaurants, and institutional users. The typical <br />structure is over 100,000 square feet in area, serviced by parking <br />capacities greater than <br />ordinarily provided for discount stores or regional <br />shopping centers (in <br />the vicinity of 5 to 5.5 spaces per 1,000 square <br />foot gross). These <br />warehouse discount chains are multiplying rapidly <br />across the country <br />and represent a shift in merchandising which is <br />comparable to the era of discount store expansion initially experienced <br />in the 1960s in the <br />United States. <br />2. The first of these <br />stores showed <br />up in Roseville <br />last fall seeking to <br />locate on the Swahn <br />Trust Property <br />to the west of <br />the County Road C <br />and Interstate 35W <br />interchange. <br />Having previously agreed with the <br />owners of that property to seek a <br />hotel and office <br />building, we talked <br />the discounters out <br />of going on that site. The <br />office complex and <br />hotel development are vitally important elements <br />in the City's tax <br />increment financing <br />program, were <br />approved by the <br />City and are now <br />under construction. <br />3. The wholesale merchandiser next attempted to locate a facility on the <br />Riley land next to City Hall, which is zoned for shopping center use. <br />Again, the Staff opposed this prospect principally due to the lack of <br />adequate east/west traffic thoroughfares and the negative effects <br />associated with a major regional retail facility at that location. <br />4. Since the City of Roseville is the dominant merchandising community in <br />the northeast suburbs, we felt that that position will be enhanced by <br />