HomeMy WebLinkAboutPC 10.27.22
Minutes for the Planning Commission Meeting of Thursday, October 27, 2022
Chair Kleissler called the meeting to order at 7:00 pm.
PRESENT: Andress, Arcand, Derr, Kleissler, Petty
ABSENT: Lessard
STAFF: Bryan Bear, City Administrator
Max Gort, Associate Planner
Pledge of Allegiance.
Approval of Minutes for the Planning Commission Meeting of September 22, 2022
Commissioner Arcand made a motion, seconded by Commissioner Petty to approve minutes for the
meeting of September 22, 2022.
Ayes: Andress, Arcand, Kleissler, Petty
Abstain: Derr
Motion carried.
Public Hearing: TPP, LLC, c/o Summit Management, LLC – Site Plan, Comprehensive Plan
Amendment, Zoning Amendment, CUPs, Variance, and Minor Subdivision for Apartments and
Manufactured Home Community Expansion
Staff provided a background on the proposal to expand the existing manufactured home community,
named Hugo Estates, and to construct a 54-unit apartment building. Several land use applications were
submitted for the two parcels that were purchased for this project. The first was to change the land
use designation in the Comprehensive Plan from Medium Density Residential (MD) and Industrial (IND)
to High Density Residential (HD). The second was to rezone the properties from Low Density Multi -
Family Residential (R-4) and General Industrial (I-3) to Medium Density Multi-Family Residential (R-5).
Two conditional use permits were requested to allow for the apartment use and for the manufactured
home community use respectively. A variance was requested to for the apartment building to reach 39
feet in height, where a maximum of 35 feet is required by ordinance. A minor subdivision was
requested to have the apartments on a separate parcel from the manufactured home community.
The site plan for the properties shows an approximately 19,500 square foot three story apartment
building with detached garage parking. The building is located on the western portion of the site and
the parking lot is on the east side of the building. Further to the east, the site plan shows for an
addition of 16 “double-wide” manufactured homes with attached garages on the front. Generally, the
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site plan proposal meets requirements in the City Code and Comprehensive Plan. Staff recommended
approval of the variance for the building’s height, finding that there are practical difficulties in meeting
the ordinance standard. Staff will be working with the applicant to change aspects of their site plan
before the permitting process such as landscaping, lighting, trails and sidewalks, building architecture,
and stormwater management. Generally, staff was of the opinion that the applicant’s proposal keeps
with the vision of the comprehensive plan, and recommended approval of the applications for Hugo
Estates apartment building and manufactured home community expansion.
Members of the applicants’ development team were in attendance and addressed the Planning
Commission. Erin Lambert, owner of Hugo Estates and Daniell e Hoffman, attorney with Summit
Management gave a presentation detailing the background of the company’s management of the
manufactured home community and their vision to expand. The presentation showed renderings of
the apartment building and new manufactured homes. The presenters reiterated their goals for the
project, and that conversations are happening with the Hugo Good Neighbors Food Shelf to create
pedestrian access to Francesca Avenue. Additional members of the development team in attendance
were introduced: David Majchrzak of Cole Group Architects, Bryan Miller of Larson Engineering, and
Jaime Scheerz of Summit Management.
Commissioner Arcand asks how many trees along the north property line bordering the Peloquin
Industrial Park will remain. Lambert responds that as many as possible will remain, but some will be
taken out per the landscape plan.
Commissioner Arcand asks if the manufactured home community expansion will be allowed. Associate
Planner Gort responds that the zoning amendment applicat ion is to allow for the manufactured homes
to be built on the parcel at a higher density. City Administrator Bear adds that other plans have been
proposed for this parcel in the past, but this one is the best in staff’s view.
Commissioner Andress asks how wide the road extending to the manufactured homes will be, and
whether emergency vehicles will be able to perform their duties. Mr. Miller responds that the road will
be wider than a typical driveway at 30 feet. Commissioner Andress asks a follow up quest ion about
storage for snow removal, and Mr. Miller points to the green space between the manufactured homes
and stormwater pond. Bear points out that the illustration on-screen at this time was not completely
to scale and did not show the rendered drawing all the way to the east end of the property.
Chair Kleissler asks about the adjacent residential development at Oneka Lake Reserve and its
respective park dedication, whether the park will remain if the Hugo Estates expansion doesn’t go
through. Bear responds that Oneka Lake Reserve is zoned and approved for townhome development,
but implementation is dependent on a developer’s building decisions which include the park.
Chair Kleissler opened the Public Hearing at 7:34 PM
John Peloquin, owner of the neighboring Peloquin Industrial Park, asks about the stormwater
management plan and whether the water will be draining to the industrial park and its drainage ditch.
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Mr. Peloquin stated that Public Works Director Scott Anderson reviewed the ditch and its shallow level,
which causes Mr. Peloquin to be concerned about the ditch flooding.
Mr. Miller stated that runoff from the apartment is brought into the retention pond, which is sized for
a certain storm event and that any overflow would be directed to the ditch, but additional runoff
would not be directed to the ditch. Bear stated that the city stormwater requirements manage sites for
volume and rate control, but that the comment from Mr. Peloquin is well taken and will be directed to
the Public Works department.
Commissioner Arcand asks for clarification on whether the water within the stormwater pond
recharges the aquifer. Bear states that the retention pond is designed to recharge groundwater stores,
and that in a large storm event the pond is designed to slowly release water into drainage ditches.
Chair Kleissler asks if revisions to the site plan which have not been finalized are concerning to staff.
Ms. Hoffman responded that staff’s conditions are agreeable, and that some revisions are already in
progress.
Commissioner Petty asks where pedestrian access to Francesca Avenue through the Food She lf
property will be. Ms. Hoffman pointed to the location of a sewer easement which is being considered,
and Bear states that there is no city property involvement, and therefore the applicant will be working
exclusively with the food shelf to create any pedestrian access.
Sandra Beck, of 6125 151st Street N, said that it sounded like trees would be cut down similarly to the
plans of Oneka Lake Reserve, and was concerned with a lack of vegetation. Bear highlights the row of
landscaping along the north end of the property line, and states their purpose as screening from the
Peloquin Industrial Park.
Commissioner Petty asked where the linear pond that staff recommended the removal of is located.
Bear pointed it out on the site plan, but that it is a separate body from the ditch along Highway 61 that
Mr. Peloquin was referencing.
Stephanie Metzler, of 6119 151st Street N, states concern of trespassing from residents in the existing
manufactured home community onto her property, and states that a wall had been proposed in the
past. Ms. Metzler stated that residents had created a path to a portion of her property on the other
side of the neighborhood’s stormwater pond, where they had been participating in illicit activity. Ms.
Scheerz, who oversees operations within the community, states that this is the first they had been
hearing of this concern and asked how recent it was. Ms. Metzler stated that the most recent
occurrence was at the beginning of this summer. Ms. Scheerz stated that the operations staff will ta ke
steps to prevent future occurrences and will explore options to address the issue with the new
construction.
No one else spoke.
Chair Kleissler closed the Public Hearing at 7:48 PM
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Commissioner Arcand believes the plan fits nicely with the surrounding area and provides a nice
transition area between the residential community and the industrial park.
Commissioner Derr stated that the aesthetic improvements in Hugo Estates under Summ it
Management’s ownership have been noticeable.
Chair Kleissler stated the proposal is a good use of the oddly-shaped property, and that the applicants
did a nice job overall.
No more discussion.
Chair Kleissler recommended separate voting on each application.
Commissioner Derr made a motion, seconded by Commissioner Petty, to approve the Comprehensive
Plan Amendment. All ayes. Motion Carried.
Commissioner Petty made a motion, seconded by Commissioner Andress, to approve the Zoning
Amendment. All ayes. Motion Carried.
Commissioner Petty made a motion, seconded by Commissioner Derr, to approve the two Conditional
Use Permits. All ayes. Motion Carried.
Commissioner Petty made a motion, seconded by Commissioner Derr, to approve the Variance. All
ayes. Motion Carried.
Commissioner Petty made a motion, seconded by Commissioner Derr, to approve the Minor
Subdivision. All ayes. Motion Carried.
New Business: Peter Stalland, Knute Development, LLC. – Sketch Plan for Oneka Commons
Staff provided background on a sketch plan for a proposed use on a 92-acre property being developed
into 8 parcels. The applicant, Peter Stalland, is requesting informal nonbinding comments on the plan
to construct two 70-unit apartment buildings on a portion of property facing CSAH 8, and that is guided
and zoned for Commercial use in the Comprehensive Plan and City Code. There are areas on the east
side of the property which are guided for Mixed Use and are defined within the Downtown Plan, which
are the only areas in the Comprehensive Plan which can handle significant density. The sketch plan has
proposed extensions of Victor Path and Fenway Boulevard. In order to have the applicant’s proposed
20 units per acre with the apartment project, they need to both locate to an area guided for Mixed Use
in the Comprehensive Plan and demonstrate a mix of related uses on the same parcel. Since the
applicant is proposing that each parcel be developed separately, staff is of the opinion that the sketch
plan does not meet the definition of Mixed Use, and theref ore the existing land use and zoning
designations should be followed when proceeding with this project. Staff recommended that the
Planning Commission discuss the following topics: maintaining existing land use designation,
considering alternative locations on the 92-acre property where an apartment project could be
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located, and whether a large apartment complex could be integrated into a mixed -use development.
Staff recalled comments received by the EDA which placed importance on preserving the existing
commercial designations along CSAH 8.
Commissioner Andress stated that the property features a very desirable corner with the intersection
of CSAH 8 and TH 61, and that he would like to see a proposal that blends in well and achieves the
goals of the Downtown Plan.
Commissioner Petty stated that she is trying to visualize how the proposed apartments would look
when viewed from CSAH 8. Bear stated that the discussion topics staff posed are to consider such
issues. Commissioner Petty mentioned an apartment building in Forest Lake which is located very close
to a frontage road, and has concerns about encroachment on major roadways.
The applicant, Peter Stalland approached the Planning Commission stating that he wanted to give
comments from a development perspective. Stalland stated that it is too expensive and risky to
develop the property all at once, and believes that an apartment project is the best starting point for
developing the whole property. Stalland showed the Commissioners a redesigned sketch plan, which
had not been reviewed by staff, that shows the building orientation flipped and located closer to the
corner of CSAH 8 and TH 61. Stalland stated that areas further to the southwest of the property
wouldn’t work as well for the apartment project since the soil isn’t conducive to underground parking.
Commissioner Arcand asks about the topography of the southerly areas on t he property which are
guided for low-density residential. Stalland says that the necessary modifications would be too
expensive to construct his desired product. Commissioner Arcand replies that he is not in favor of
apartments being located right on CSAH 8, which he feels is better suited for commercial frontage.
Chair Kleissler says that having standalone apartments on CSAH 8 would significantly disrupt the
surrounding area. Commissioner Derr adds that the existing Rosemary apartments are located behind
several commercial developments relative to the county highway.
Commissioner Arcand states that a lot of time and energy was put into the Comprehensive Plan
process, and that the decision to alter the plan should not be taken lightly. Commissioner Derr adds
that the residents favored commercial use along the county highway during that process.
Chair Kleissler asked the Commissioners to give feedback on the idea of incorporating the apartments
in a Mixed-Use development. Commissioner Petty stated that she would not be in favor of a long wall
encroaching on TH 61. Commissioner Arcand stated that he would not be pleased without commercial
uses on the corner of CSAH 8 and TH 61. Stalland agrees with the Commissioners that small -scale
commercial on that corner would be best, and that he would be interested in making Comprehensive
Plan and zoning amendments although it is financially intensive.
Commissioner Petty asks if the apartments could be moved to the south of the commercially
designated areas along the county highway. Stalland responds that the option has been considered but
the extension of infrastructure would be intensive.
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Bear states that the frontage roads proposed on the sketch plan are hypothetical and can be moved in
any number of configurations. Bear adds that the underlying zoning in areas guided Mixed-Use is
commercial, that any project involving a residential use would require a zoning amendment, and a
discussion would need to be had about the specifics of uses.
Gort states that staff encouraged the applicant to factor in how any horizontal mixed -use buildings
would relate to each other when designing a mixed -use plan, and Bear adds that the applicant may
appreciate more feedback on the mix of uses. Commissioner Petty stated that she better understands
the scope of the uses knowing that commercial buildings are incorporated and related to the
apartments, recommending more detailed renderings.
Commissioner Andress relates the concern about the apartments encroaching on the Hardwood Creek
Trail to an example in White Bear Lake, and wants top make sure that the trail and highway aren’t
dominated by the building.
Commissioner Derr agrees that a rendering of the view from adjacent roadways would be useful, and
that the land is set lower than t he road in some areas along CSAH 8. Commissioner Petty responds that
the land isn’t as low on this property than on other stretches of the highway.
Chair Kleissler stated that she would like to see commercial uses closer to the roads with the
apartments further back, but is still concerned with the apartment wall aligning with Highway 61,
suggesting there may be a way of moving the “L” shape line away from the highway. Gort responds
highlighting the Multifamily Design Guidelines requiring articulated facad es, stating that a wall along
the highway would not be flat.
Commissioner Arcand asks about Stalland’s plans for the commercial uses considering his professional
focus on apartment development. Stalland points to architectural consistency across the prop osed
buildings, which would enable his real estate broker Bill Lentsch, who was also in attendance, to more
easily sell the commercial uses.
Commissioner Arcand asks Lentsch about his interest in the commercial uses. Lentsch stated that he
receives several inquiries about commercial development, but there is some difficulty in creating solid
plans without existing infrastructure. Commissioner Arcand asks why the reluctance is still there today,
and Lentsch stated that City staff has been encouraging development of the entire 92-acre property at
once. Lentsch recalled the AUAR and grant money he received, but ultimately declined since the funds
were too large for him to properly use. Furthermore, Lentsch stated that remodeling the floodway per
terms outlined by FEMA was difficult, and that stormwater management for the entire property would
be difficult, which ultimately led to interest falling off from potential developers.
Commissioner Petty said that the applicant’s architectural rendering looked nice.
Commissioner Arcand stated that the existing land use fits well on the corner parcel, and asks staff
when the percentage of commercial to residential uses is to be decided. Bear responds that a lot of
discretion can be given to the Planning Commission during the process, reiterating the challenge of
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rezoning and changing land use designation in the Comprehensive Plan. Bear stated currently, the
highest allowed density for residential use is 12 units per acre, but that may need to change
considering market trends demanding higher density, as well as a changing appetite in the community.
Stalland asks if a new ordinance would need to be created with a rezoning of the property. Bear states
that in an area designated for mixed-use, rezoning to a PUD district is usually anticipated. However, in
areas guided for commercial use, there is no zoning district to allow 20 units per acre. Stalland asks
about the Metropolitan Council’s guide for density within the City, and Bear responds that the city -
wide goal is 3 units per acre, and that the city needs to demonstrate how that goal is achieved when
allowing a 20 unit-per-acre project.
Commissioner Petty asks for clarification on how the mixed-use area could be extended. Bear states
that he’s heard some discussion around apartments in the mixed-use area, and that depending on
where the extended frontage road ends up in the final plans that some options to the south may be
available.
Chair Kleissler asks the commissioners how they feel about a jump in density. Bear states that this
won’t be the last time that an apartment project with this density w ill be requested, and that the
Planning Commission may want to consider an approach to high -density apartments in the future.
Stalland states that the market is heavily demanding more multifamily housing, and that the cost of
utilities can’t justify construction at 12 units per acre.
Chair Kleissler asks if the applicant is requesting any further specific feedback. Stalland states that he
wants to know if they’re interested in higher density and if they can give him a preferred location.
Commissioner Arcand states that his first choice for a location would be on Oneka Parkway but further
away from CSAH 8. Chair Kleissler says that the location in the sketch plan is her least favorite, but not
sure about a favorite.
Commissioner Petty states that she is comfortable with a density of 20 units per acre, but that the
Planning Commission and City need to be strategic about where it is placed. Commissioner Arcand
states that he wants to consider how the “rural feel” of Hugo can preserved with high density. Bear
replies that high-level questions like that start with the Comprehensive Plan, and that the discussion
shouldn’t be had without interest from the Planning Commission.
Lentsch asks the commissioners what they have heard from the community in terms of what they
would like to see in commercially-designated areas. Several commissioners respond that the number
one item is restaurants, with some demand for smaller retail uses like drug stores.
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Old Business
Bear mentions that Commissioner interviews have been scheduled during November, and that new
Planning Commissioners may be involved soon.
Chair Kleissler asks for meeting dates in November and December. Gort responded with the dates on
November 10th, December 8th, and December 22nd.
Adjournment
Commissioner Petty made a motion, seconded by Commissioner Arcand, to adjourn the meeting at
9:03 PM.
All ayes.
Motion Carried.
Respectfully Submitted,
Max Gort, Associate Planner