This is a special review request to allow the expansion of an existing casino, the Lucky Diamond, from 1,339 square feet to 2,224 square feet in a CC zone on Lot 1A, Block 1, Circle Fifty Subdivision. The existing casino is part of the gas station and convenience store on the property operated by Town Pump. The lot is 1.43 acres and is generally located at 3969 Grand Avenue on the northeast corner of the intersection of Shiloh Road and Grand Avenue.  The owner is Townhouse Inns of Conrad, Inc. and the agent is Charles Kestle, AIA, of Kestle Architects.  The City Zoning Commission conducted a public hearing on October 1, 2013, and is forwarding a recommendation of conditional approval and adoption of the findings of the 3 criteria for special reviews on a 3 to 0 vote.

 The Planning Division reviewed the application and recommended conditional approval to the Zoning Commission based on the 3 criteria for special review requests. The Zoning Commission concurred with the Planning Division recommendations and findings.
 
Before a recommendation of approval or conditional approval can be made, each special review request must demonstrate conformance with three primary criteria: 1) The application complies with all parts of the Unified Zoning Regulations, 2) The application is consistent with the objectives and purposes of the Unified Zoning Regulations and the 2008 Growth Policy, and 3) the application is compatible with surrounding land uses and is otherwise screened and separated from adjacent land to minimize adverse impacts. This application conforms to the first criteria in so far that it is within a CC district where on premise consumption of alcoholic beverages is allowed and has received a previous approval for the location.  
 
The application also conforms to the second and third criteria. The zoning regulations adopted by the City Council have designated several zoning districts where on premise consumption of alcoholic beverages may be allowed. The CC zone is one of those districts and the property is not within 600 feet of any church, school or park with a playground or playing fields. The location has been licensed to serve alcoholic beverages since at least 2003. There are also 4 other licensed locations within 2 blocks of this property. The adjacent properties are not residential and have similar customer and employee traffic. The proposed expansion will be compatible with these adjacent uses.
 
The proposed use is in a zoning district that allows this use with a special review.  The proposal is consistent with goals of the 2008 Growth Policy, specifically the goal of encouraging uses that are compatible with the character of the adjacent land use patterns.  This site is surrounded by a mix of commercial businesses within the city limits. The CC zone district in this area is intended for commercial uses convenient to the surrounding community with service-oriented businesses. There are no direct impacts from the proposed expansion that need to be mitigated by conditions of approval. The conditions recommended below are standard conditions applicable to all special review approvals.  

PROPOSED CONDITIONS:

1. The special review approval shall be limited to Lot 1A, Block 1 of Circle Fifty Subdivision, generally located at 3969 Grand Avenue
2. Development of the site shall be in substantial conformance with the site plan submitted with this application and shown in this staff report.  Deviations from the approved site plan that show additional on-premise alcohol service area greater than 10% of the total approved 2,224 square feet will require additional special review approval.
3. The applicant must provide drawings at the time of building permit submittal showing the property can meet the required parking for the additional 885 square feet.
4. These conditions of special review approval shall run with the land described in this authorization and shall apply to all current and subsequent owners, operators, managers, lease holders, heirs and assigns.
5. The proposed development shall comply with all other limitations of Section 27-613 of the Unified Zoning Regulations concerning special review uses, and all other City of Billings, regulations and ordinances that apply.

 **NOTE**     Approval of this Special Review does not constitute approval of a building permit, sign permit or fence permit. Compliance with all applicable local codes will be reviewed at the building permit or zoning compliance permit level. This application is for a Special Review as noted above and no other request is being considered with this application. The use and development of the property must be in accordance with the submitted site plan.

There should be no financial impact to the city from approval of the special review request. If approved, city building permit fees will be paid at the time a permit is submitted and will cover the cost of those permitting services.

 This is a special review request to add 885 square feet to an existing 1,339 square foot Lucky Diamond Casino with the Town Pump at 3969 Grand Avenue. The original approval for the casino at this location was approved in 2003 for 1,238 square feet. The proposed expansion to 2,224 square feet is greater than 10% of the approved floor area. This requires additional approval by the City Council. The building is currently undergoing a remodel and the expanded area for the casino will not require a building addition. The additional area will be created by removing an interior wall and remodeling. The location has an existing beer & wine license with gaming. Surrounding development is commercial in nature with a mix of retail sales and eating establishments and casinos. Property to the south across Grand Avenue is outside the city limits and still used for agriculture.  There are no churches, schools or parks with playground equipment or playing fields within 600 feet of this location.
 
Grand Avenue and Shiloh Road are principal arterial streets with a combined traffic volume of about 22,000 vehicle trips per day in 2013. The addition of 885 square feet to the existing casino should have no impact on the surrounding streets or traffic patterns. The off-street parking as shown on the site plan does not meet the minimum required number of spaces with the additional 885 square feet for the casino. The owner will need to either secure additional parking from adjacent property owners or apply for and receive a variance from the site development requirements. The agent has been informed of the parking space deficiency.
 
The current remodeling project will bring the site into conformance with the North Shiloh Corridor Overlay District requirements. The proposed interior expansion of the on-premise alcohol service and gaming will have no impact on these requirements.

The Zoning Commission conducted a public hearing on October 1, 2013, and received the Planning Division recommendation and testimony from the applicant's agent, Charles Kestle of Kestle Architects and Dan Sampson of Town Pump. No other testimony was received.

The Zoning Commission is forwarding a recommendation of conditional approval based on the 3 criteria for special review requests on a 3 to 0 vote.

The consistency with adopted plans and policies is discussed above in the Alternatives Analyzed section of this report.