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HomeMy WebLinkAbout2021-03-22 PACKET 06.3.STAFF REPORT CASE: CUP2021-024 ITEM: 6.3 PUBLIC MEETING DATE: 3/22/21 TENTATIVE COUNCIL REVIEW DATE: 4/21/21 APPLICATION APPLICANT: Sullivan Property Investments III, LLC REQUEST: A conditional use permit for an expansion of a legal non -conforming use to allow exterior storage, delivery, return, and service of semi -trailers and ground level office and storage containers. SITE DATA LOCATION: ZONING: GUIDED LAND USE: 10870 Ideal Avenue South R-3, Single Family Residential Low Density Residential LAND USE OF ADJACENT PROPERTIES: CURRENT GUIDED NORTH: Industrial Low Density Residential EAST: Agricultural Industrial SOUTH: Industrial Low Density Residential WEST: Agricultural Low Density Residential SIZE: N/A DENSITY: N/A RECOMMENDATION Denial, based on the findings of fact listed in this staff report. Cottage Grove COTTAGE GROVE PLANNING DIVISION � here Pride and Prosperity Meet Planning Staff Contact: Ben Boike, Comm. Dev. Director; 651-458-2830; bboike cottagegrovemn.gov Application Accepted:. 2/18/21 60-Day Review Deadline: 4/19/21 Extension Deadline: 6/18/21 City of Cottage Grove Planning Division • 12800 Ravine Parkway South • Cottage Grove, MN 55016 Planning Staff Report 10870 Ideal — Expansion of a Nonconforming Use Case CUP2021-018 March 22, 2021 Proposal Sullivan Property Investments III, LLC has applied for a conditional use permit for an expansion of a legal non -conforming use at 10870 Ideal Avenue South to allow exterior storage, delivery, return, and service of semi -trailers and ground level office and storage containers. ft Y Location Map Review Process Application Received- February 18, 2021 Acceptance of Completed Application- February 18, 2021 Tentative City Council Date: April 21, 2021 60-Day Review Deadline- April 19, 2021 120-Day Review Deadline- June 18, 2021 Planning Staff Report— Case CUP2021-018 Sullivan Property Investments III, LLC March 22, 2021 Page 2 of 6 Background This property has a history of being used in many ways over the years, which through rezoning, eventually became legal nonconforming uses. However, several conditional use permits allowed the legal nonconforming uses to expand. In 2015, Roger's Auto & Truck Parts, Inc. obtained an interim conditional use permit (ICUP) approval for the expansion of a legal nonconforming use to allow for exterior strorage, delivery, return, and service of mobile office trailers (Resolution 2015- 085 — see attached). This ICUP is set to expire on August 31, 2025. The property is currently occupied by a tenant, Acton Mobile, which utilizes the property for exterior storage of construction trailers, albeit sparingly. It is important to note that when the 2015 ICUP was approved, all previous resolutions expanding the legal nonconforming uses were revoked, with the exception of the 1999 Resolution, which still allowed the following uses: The permit shall be for the purpose of buying storing, dismantling, crushing, towing, and selling automobiles and trucks, the sales of scrap metal, and the sales and installation of new and used automotive parts and accessories. Therefore, the two nonconforming uses that are allowed on the property through the ICUP are the storage/salvage of motor vehicles and the storage of mobile office trailers. The owner now seeks to expand the nonconforming uses to add the storage of semi -trailers and ground level office and storage containers through a CUP process. Citi-Cargo & Storage Co. Inc (CC&S) has a purchase agreement with the property owner to purchase the property. CC&S is a locally owned and operated transportation and logistics company and operates several facilities in the Twin Cities area, with their corporate office and and main service yards located in Eagan. Per the submitted application, CC&S is proposing to utilize the property as an overflow lot. Since their business is somewhat seasonal and cyclical, the property would serve as a buffer as they move through their business cycles. CC&S anticipates up to 150 units being stored at the property during their peak storage season, which is typically from the holidays to the start of construction season. During other times of the year, CC&S anticipates around a third of that number (-50 units) being stored on the property. Staff initially informed the applicant that the proposed use is similar enough to the use that was approved by the 2015 ICUP, and therefore CC&S could utilize the property per the approved resolution. In the alternative, Staff informed the applicant that they could apply for an amendment to its ICUP for expansion of the legal nonconforming uses to specifically mention the proposed uses and include a request for an extension of the ICUP expiration date. However, the applicant has decided to pursue an application for a permanent CUP for the expansion of the legal nonconfroming uses, which would then not expire. Land Use and Zoning The applicant's property and other properties west of Ideal Avenue are currently guided as Low Density Residential and are zoned R-3, Single Family Residential. Planning Staff Report — Case CUP2021-018 Sullivan Property Investments III, LLC March 22, 2021 Page 3 of 6 Land Use Map Excerpt Zoning Map Excerpt 11 Oth- t Property Characteristics The site is relatively flat and is occupied by a principal structure built in 1999 at the front of the property along with a small parking area. The exterior storage area accounts for the bulk of the parcel and is located behind the principal structure. Planning Staff Report — Case CUP2021-018 Sullivan Property Investments III, LLC March 22, 2021 Page 4 of 6 a a e �m> •tA�Myis s,Nss,p V ��.�� �� ter'. -al `'1�-"����� 1 N■ aiw u[sKwn�,A s+.a�Nse[a.l.s�sl, .tw,en. Site Plan Ordinance Requirements The following sections of the Zoning Ordinance outline requirements for reviewing the expansion of legal nonconforming uses and the overall review of conditional use permits: 11-3-1: NONCONFORMING USES AND STRUCTURES: C. Expansion Of Nonconforming Uses And Structures: The city may, by conditional use permit, allow for an expansion of a legal nonconformity, including the lawful use or oc- cupation of land or premises. The city may impose reasonable conditions in order to protect the health, safety and general welfare of the community or adjacent properties. 11-2-9: CONDITIONAL USE PERMITS: F. Criteria For Issuance Of Permit: In granting a conditional use permit, the City Council shall find that: 1. The use will be in conformity with the Citv's Comprehensive Plan and with the purpose, intent and applicable standards of this Title. 2. The use shall be located, designed, maintained and operated to be compatible with the existina or intended character of that zoning district in which it is located. 3. The use shall not depreciate values of surrounding property. 4. The use shall not be hazardous, detrimental or disturbing to present and potential surrounding land uses due to noises, glare, smoke, dust, odor, fumes, water pol- lution, vibration, general unsightliness or other nuisances. 5. The use shall generate only minimal vehicular traffic on local streets as defined by the transportation element of the Comprehensive Plan. The use shall not create traffic congestion, unsafe access or parking needs that will cause inconveniences to the adjoining properties. Planning Staff Report— Case CUP2021-018 Sullivan Property Investments III, LLC March 22, 2021 Page 5 of 6 6. The use shall be served adequately by essential public services, such as streets, police, fire protection and utilities. 7. The use shall not create excessive additional requirements at public cost for public facilities and services and shall not be detrimental to the economic welfare of the City. 8. The use shall preserve and incorporate the site's important natural and scenic features into the development design. 9. The use shall cause minimal adverse environmental effects. 10. The use shall not adversely affect the potential development of adjacent vacant land. Review After reviewing the request, it is important to note that the applicant is not statutorily entitled to expand the legal nonconforming use. The key word in both state statute and city ordinance is the word "may," meaning the City has discretion in whether or not the request to expand the legal nonconforming use is approved, as long as it is supported by findings of fact. Staff does not believe that the requested use satisfies the criteria outlined in Title 11-2-9F(1) and (2), specifically because the proposed use is inconsistent with the 2040 Comprehensive Plan and the Zoning ordinance. As noted above, the subject property and the surrounding property is guided for Low Density Residential in the 2040 Comprehensive Plan, which was just adopted and approved in 2020. In addition, the current zoning designation for the property and surrounding property is R-3, Single Family Residential. Therefore, the proposed use for the exterior storage of semi -trailers and other trailers is inconsistent with both the Comprehensive Plan and zoning district. In addition, the permanent CUP allowing the nonconforming use will impede orderly development in the area. The guiding and zoning of this property is for residential development. To that end, the City is in the process of securing the appropriate easements to bring public utilities to this area in the very near future. Allowing the nonconforming use to expand for additional exterior storage purposes will exacerbate the policy goals and land use designation in the Comprehensive Plan, contradict the zoning district for the property, and legally allow a permanent obstacle to exist that will thwart any future planned residential development for this area. While it is true that the properties immediately adjacent to the subject property are also not being used as guided or zoned, these adjacent properties are legal non -conformities whose uses must cease if destroyed by fire and not rebuilt or if discontinued for a period of one year. They are not protected by CUPs. By law, they are allowed to continue only as currently used, but there is a statutory termination upon the occurrence of certain events. By legally authorizing a CUP on the subject property for the expansion of nonconforming uses, the City is entitling the owner to use this property in this manner as a legal use until such time as the CUP is revoked. Planning Staff Report — Case CUP2021-018 Sullivan Property Investments III, LLC March 22, 2021 Page 6 of 6 The City's Technical Review Committee reviewed this application under those criteria. The Com- mittee found that the criteria is not met and recommended denial of the requested conditional use permit to expand the nonconforming uses. Recommendation That the Planning Commission recommend that the City Council DENY the conditional use permit for the expansion of a non -conforming use to allow for exterior storage, delivery, return, and ser- vice of mobile office trailers at 10870 Ideal Avenue South, subject to the following findings of fact: 1. The use is not in conformity with the City's Comprehensive Plan and with the purpose, intent, and applicable standards of this Title. The 2040 Comprehensive Plan guides the property Low Density Residential. The proposed use is an industrial use, which is in conflict with the Comprehensive Plan. 2. The use is not located, designed, maintained, and operated to be compatible with the existing or intended character of that zoning district in which it is located. The Zoning Ordi- nance designates this property as R-3, Single Family Residential, which does not allow an industrial exterior storage use. 3. Granting the CUP for expansion of the nonconforming use will impede the normal and orderly development of the surrounding properties in the area. The City has initiated a project to bring public utilities to this area of the community with the intent of spurring the type of development that is supported in the 2040 Comprehensive Plan, specifically for residential use. Allowing the nonconforming use to continue in perpetuity renders the Comprehensive Plan for this property ineffective and moot. Prepared by: Ben Boike Community Development Director Attachments: — Application Cover Letter — Applicant's Response to Ordinance Criteria — Letter from the Proposed Buyer (612) 337-6100 i. (612) 339-6591 100 Washington Ave S. I Suite 1300 Minneapolis, MN 55401 siegelbrill.com January 26, 2021 Community Development Department Planning Division 12800 Ravine Parkway South Cottage Grove, MN 55016 Re: Conditional Use Permit application for 10870 Ideal Ave. Our File No. 29928 Dear Sir or Madam: SIEGEL BRILL ?; ATTORNEYS AT LAW This firm represents Sullivan Property Investments III, LLC, the owner of the property located at 10870 Ideal Ave ("the Property"). For decades before our client's ownership, the Property was the site of a salvage yard and auto -parts business. Most recently, the Property has been occupied and operated by lessee Acton for the exterior storage, delivery, return and service of mobile office trailers. Our client now wishes to sell the property to Citi-Cargo and Storage, who would use it for a nearly identical use —the exterior storage, delivery, return and service of semi- trailers and ground -level office and storage containers. The Property is zoned R3 but is bound on both sides by legally nonconforming industrial uses that prevent the redevelopment of the Property for residential purposes. Our client is accordingly applying for a conditional use permit to modify the existing legal nonconforming use of the Property. Our client's application consists of the following: 1. Planning Application completed and signed by our client, as both the applicant and the Property owner (enclosed); 2. Legal description of the Property (enclosed); 3. A letter from Citi-Cargo and Storage providing the narrative description of the proposed use (enclosed); 4. The completed Applicant's Response to Ordinance Criteria form (enclosed); 5. Three 24" x 36" plan sets (to be separately delivered by Sunde Engineering); 6. One 11" x 17" reduction of the Site Plan (to be separately delivered by Sunde Engineering); 7. Site Plan in .PDF format (to be separately delivered by Sunde Engineering); and 8. Two checks in the amount of $400 (application fee) and $5,000 (escrow) (to be delivered separately). Please contact me with any questions. Thank you. Very truly yours, Oa-"'�� Mark Thieroff 612-337-6102 1 Direct markthieroff(D_siegelbrill.com cc: Mark Sullivan (via email) Kyle Gabriel (via email) Kerstin Pauly (via email) Cottage % Grove 1. Pride 3116 , SPer'ty Meet Community Development Department 12800 Ravine Parkway South Cottage Grove, MN 55016 www.cottagegrovemn.gov Planning Division Telephone: 651-458-2827 Fax: 651-458-2897 E-Mail: cgplanning@cottageg rovemn.gov CONDITIONAL USE PERMIT I INTERIM CONDITIONAL USE PERMIT RESPONSE TO ORDINANCE CRITERIA In order to aid in the review process, please give a DETAILED response to the following ordinance criteria on this form or on separate exhibits. Your ability to meet the criteria is what the Planning Commission/City Council is required, in part, to base their review, so be specific. A. Will the use be in conformity with the City's Comprehensive Plan and with the purpose, intent, and applicable standards of the Zoning Ordinance? EXPLAIN. Consistent with the provisions of the Zoning Ordinance, the current use of the property for the exterior storage, delivery, return and service of mobile office trailers is legally non -conforming, and the current application seeks a conditional use permit to allow very minor modifications to that non -conforming use to allow the exterior storage, delivery, return and service of semi- trailers and ground -level office and storage containers. B. The use shall be located, designed, maintained and operated to be compatible with the existing or intended character of that zoning district in which it is located. How does the proposed use fit these criteria? The current and proposed uses are consistent with the legal non -conforming uses of the properties immediately adjacent to the north and the south, and operations going forward will continue to be compatible with the existing and intended character of the current R3 zoning designation. C. The use shall not depreciate values of surrounding property. Explain effects of the proposed use on surrounding property values. The proposed use will operate in the same manner as the existing use and will not cause a depreciation in the value of surrounding property. D. The use shall not be hazardous, detrimental or disturbing to present and potential surrounding land uses due to noises, glare, smoke, dust, odor, fumes, water pollution vibration, general unsightliness or other nuisances. Explain effects of proposed use. The use will not be hazardous, detrimental or disturbing to present or potential surrounding land uses and in fact will have less impact than either of those surrounding uses. The use will not cause any concerns regarding noise, glare, smoke, dust, odor, fumes, water pollution, vibration, general unsightliness, or other nuisances. On many days there will be no vehicle movements to or from the site, and when movements occur, a total of up to 5-10 a day are expected. E. The use shall generate only minimal vehicular traffic on local streets as defined by the Transportation Element of the Comprehensive Plan. The use shall not create traffic congestion, unsafe access, or parking needs that will cause inconveniences to the adjoining properties. Explain the transportation needs for the proposed use. The property access is from Ideal Avenue and will not change. No customer or employee traffic is planned for the site, and the use will generate at most 5-10 vehicle movements per day, involving tractors delivering or picking up semi -trailers and ground -level office and storage containers. The use will not create traffic congestion, unsafe access, or parking needs that will inconvenience adjoining properties. The current use replaced a retail use that involved over 100 trips per day. F. The use shall be served adequately by essential public services such as streets, police, fire protection and utilities. Explain how the proposed use will be served. The property and building are served by an on -site septic system. The septic system will be inspected to verify the condition and that it is functioning properly. The use will not create any additional demand for any city services, including but not limited to police, fire protection or utilities. G. The use shall not create excessive additional requirements at public cost for public facilities and services and shall not be detrimental to the economic welfare of the City. Justify this statement. The existing well septic systems will serve the property without modification. Municipal water service has been installed to the property and will be connected later this year, at which time the existing well will be capped. There will be no public cost for public facilities and services beyond what is currently in place. H. The use shall preserve and incorporate the site's important natural and scenic features into the development of adjacent vacant land. Will these criteria be met? The site has been developed and in use for over sixty years. There are no natural or scenic features. The proposed use will not negatively impact the adjacent properties or future development. I. The use shall cause minimal adverse environmental effects. List any effects. None anticipated as a result of the proposed minor change in use. J. The use shall not adversely affect the potential development of adjacent vacant land. List any potential problems. Please see responses to G, H, and 1 above. In addition to the general criteria for Conditional Use Permits, the following additional requirements apply to Interim Conditional Use Permits: K. The period(s) of time for which the Interim Conditional Use Permit is to be granted will terminate before any adverse effects are felt upon adjacent property. NA L. There shall be adequate assurance that the property will be left in suitable condition after the use is terminated. What measures are you intending to take to return the property to a suitable condition? NA M. The use conforms to the zoning regulations. Yes No NA N. What is the time frame you intend on utilizing the Interim Conditional Use Permit? NA O. Permission of the use will not impose additional costs on the public. Are any additional public safety or public NA P. The user agrees to any conditions that the governing body deems appropriate for permission of the use. NA Applicant Name: Sullivan Property Investments III, LLC Case #: CITICARGO Z 91Q.104- 5 &STORAGE January 25, 2021 To: City of Cottage Grove 900 Apollo Road Eagan. MN 55121 651-686-7221 • Fax 651-686-0455 From: Al Ofstehage SrVP/ Sec Citi-Cargo & Storage Co. Inc Summary of Operations to be Conducted at Cottage Grove Site Introduction: Citi-Cargo & Storage Co. Inc (CC&S) is a locally owned and operated transportation and logistics company, with its roots going back to the 1930's. CC&S operates several facilities in the Twin Cities area, with our corporate offices and main service yards located in Eagan, MN. CC&S and our related companies are engaged in several business, including semi- trailer rental, ground level container and portable office rental, local trucking, long haul trucking, warehousing, freight brokerage and a full assortment of logistic services. Use of Location: CC&S operates several locations in the Twin Cities area. These locations serve our customers as the points that rental equipment is picked up and returned. Major repairs are preformed at these locations. The Cottage Grove facility would serve as an overflow lot. Our busines is somewhat seasonal and cyclical, and this facility would serve as a buffer as we move through the cycles. We anticipate up to about 150 units being parked at the facility during our peak return season. Normally we would anticipate that the number of pieces of equipment to be one-third of that number. The peak return season for us is post -holiday through the start of the construction season. Our hours of operation would be 8:00 AM thru 6:00 PM. Employees: We would not have any employees based at the location. We would have employees and company drivers visit and monitor the equipment and location as needed. We would also have repair contractors working at the facility as needed. The types of repairs preformed by these providers would be tire repair, light brake repair, repair to the trailer lighting systems, and general repairs to make the equipment meet DOT safety requirements. Heavier repairs would be done at our other facilities that are staffed and equipped for this work. There would be no emission of dust, smoke, fluids and odors from our use of the location. Location: We expect that the location would be used as is, and would not need any major renovation or remodeling. We do not anticipate needing any additional outdoor lighting. Our required signage would only be to identify it to our drivers and vendors. The lot would be maintained in substantially its current condition. For additional information on our company we encourage you to visit our website WWW.Citi-Caroo.com. RESOLUTION NO. 2015-085 A RESOLUTION APPROVING AN INTERIM CONDITIONAL USE PERMIT FOR EXPANSION OF A LEGAL NONCONFORMING USE TO ALLOW FOR THE EXTERIOR STORAGE, DELIVERY, RETURN, AND SERVICE OF MOBILE OFFICE TRAILERS AT 10870 IDEAL AVENUE SOUTH WHEREAS, Roger's Auto & Truck Parts, Inc. applied for a conditional use permit for the expansion of a legal nonconforming use to allow for exterior storage, delivery, return, and service of mobile office trailers, on property legally described as: The North 7-1/2 acres in the South '/2 of the North '/ of the Southeast % of the Southeast'/4 in Section 29, Township 27, Range 21, more particularly described as follows: Beginning at a point on the East line of Section 29, 992.28 feet North of the Southeast corner of said Section 29; thence West 1316 feet to the West line of said Southeast % of Southeast %; thence South 247.6 feet; thence East 1316 feet; thence North 248.08 feet to the point of beginning, excepting therefrom the East 33 feet of said tract to be reserved for a public highway. Commonly known as 10870 Ideal Avenue South, Cottage Grove, Washington County, State of Minnesota. WHEREAS, public hearing notices were mailed to property owners within 500 feet of the property and a public hearing notice was published in the South Washington County Bulletin; and WHEREAS, the Planning Commission held a public hearing on July 27, 2015; and WHEREAS, a planning staff report, which detailed specific information on the property and the application request was prepared and presented; and WHEREAS, the public hearing was open for public testimony and testimony from the applicant and the public was received and entered into the public record; and WHEREAS, the Planning Commission unanimously (7-to-0 vote) recommended approval of the applications, subject to certain conditions listed below. NOW, THEREFORE BE IT RESOLVED, the City Council of the City of Cottage Grove, Washington County, Minnesota, hereby approves the interim conditional use permit for the expansion of a legal nonconforming use to allow for exterior storage, delivery, return, and service of mobile office trailers, located on the property legally described above, subject to the following conditions: Resolution No. 1979-68 and all uses permitted by said resolution shall be revoked. Resolution No. 1999-72 and all uses permitted by said resolution shall be revoked. Resolution No. 2015-085 Page 2 of 3 3. Resolution No. 1995-79 and Resolution No. 1995-86 and all uses permitted by said resolutions shall be revoked. 4. The 1999 principal structure is permitted to be utilized by the new tenant or owner for the duration of the interim conditional use permit. 5. The interim use shall terminate and expire on August 31, 2025. 6. All exterior storage, commercial/industrial activity, and commercial improvements shall be removed from the property within 90 days of the termination of the interim conditional use permit. 7. All applicable permits (i.e.; building, electrical, grading, driveway, mechanical) must be completed, submitted, and approved by the City prior to the commencement of any remodeling construction activities on the building or site. 8. A surface water management plan shall be completed for the site and be approved by the City Engineer and the South Washington Watershed District. 9. Required surface water management improvements shall be completed on the site in conjunction with the completion of site improvements and prior to occupancy of the site by the new tenant or owner. 10. Designated surface water management areas shall be properly maintained during the timeframe of the interim conditional use permit. 11. Storage of any trailers or materials shall be prohibited in the designated surface water management areas. 12. The designated outdoor storage area shall be re -graded for proper drainage and improved with Class 5 material. 13. Dust and erosion must be controlled in accordance with proper stormwater BMPs. 14. No exterior storage is allowed in the front yard area between the principal structure and the public right -of way. 15. Emergency access lanes that are a minimum of 20 feet wide shall be maintained at all times within the designated outdoor storage area as depicted on the site plan dated 7/22/15. 16. Exterior storage of a maximum of 100 mobile office trailers shall be permitted behind the principal structure within the designated storage area on the site plan dated 7/22/15. 17. Stacking of stored mobile office trailers is prohibited. Resolution No. 2015-085 Page 3 of 3 18. Extensively damaged mobile office trailers stored on the site shall be removed or repaired in a good workmanship -like manner within 60 days of being brought to the site. 19. The designated outdoor storage area is permitted to be entirely fenced with security fencing. Said fencing shall be maintained in a good workmanship -like manner at all times. 20. The septic system shall be inspected for compliance with all county and state regulations, and brought into compliance if found deficient. 21. The well and septic system locations must be protected at all times. 22. A landscaping plan for the front yard area between the principal structure and the public right -of way shall be submitted for approval by the Community Development Department. 23. Security lighting on the property shall be downward directed and cannot exceed .5 foot candles at the property line. 24. Trash and recycling needs on the site shall be handled in accordance with ordinance criteria. 25. The exterior overhead doors of the principal structure shall remained closed during times of repair activities that generate noise. 26. The City Noise Ordinance and hours of operation shall be conformed to at all times. 27. Signage on the site is limited to 50 square feet of wall signage and 50 square feet of monument signage no taller than 10 feet in height. 28. Any violations of the approving resolution may trigger review of the use by the City Council and be cause for possible amendments to or revocation of the interim conditional use permit. Passed this 12th day of August 2015. Attest: Joe Fisc ach, City Clerk /_,MVapty, Mayor