This is a special review request to allow the location of an all-beverage liquor license with gaming in a Community Commercial (CC) zone in a 5,000 square foot portion of a proposed new multi-tenant building on Lot 2, Block 1, MK Subdivision, a 2.113 acre parcel of land. The Zoning Commission is recommending conditional approval on a 5-0 vote.
 

City Council may:

• Approve the request;
• Conditionally approve the request;
• Deny the request;
• Allow the applicant to withdraw the request; or
• Delay action on the request for up to 30 days.

APPLICATION DATA
OWNER: Karls Property, LLC
AGENT: Roger Beeter; Richard Wrobel; Terra Pierce
LEGAL DESCRIPTION: Lot 2, Block 1 MK Subdivision
ADDRESS: none assigned
CURRENT ZONING: Community Commercial (CC)
EXISTING LAND USE: Vacant commercial land
PROPOSED USE: Multi-tenant building with a maximum of 5,000 square feet for an all-beverage license with gaming (The Den)
SIZE OF PARCEL: 2.113 acres

The Planning Division reviewed the application and recommended conditional approval to the Zoning Commission. The Zoning Commission concurred with the recommendation. 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 2016 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 the zoning regulations adopted by the City Council have designated that any on-premise liquor license in a CC zone may apply for a special review. The proposed site plan meets all the requirements of the zoning regulations for setbacks, building height, clear vision areas and lot coverage. The landscaping plan is not yet complete and compliance with the landscaping requirements will be assured at the time of the building permit review. At least 10 canopy or evergreen trees will be required for the proposed number of parking spaces and landscape islands may be required to break up the long rows of parking spaces shown on the site plan. The proposed location of the solid waste enclosure may also need to be adjusted based on the Solid Waste Division's maneuvering requirements. Any solid waste collection area will be fully screened from public view including closing gates.

The application meets criteria from the second requirement as it is consistent with some of the objectives of the 2016 Growth Policy:

Essential Investments:

• Infill development and development near existing City infrastructure may be the most cost effective.

The development of a vacant parcel in this growing neighborhood in Billings West End will be a cost effective project where City infrastructure and some services already exist.

Strong Neighborhoods:

• Walkable neighborhoods that permit convenient destinations such as neighborhood services, open space, parks, schools and public gathering spaces foster health, good will and social interaction.

This development will the first neighborhood services within walking distance (1/2 mile) for 6 established residential neighborhoods and within short driving distance (3 miles) of many more West End neighborhoods. The proposed Den location will be only 1 of the tenants in this new building. Complimentary businesses include a small restaurant with a potential drive through service window, small retailers and service providers.

Prosperity:

• Successful businesses that provide local jobs benefit the community. Retaining and supporting existing businesses helps sustain a healthy economy.

This development will allow an existing Billings business to continue to grow and provide local jobs. This development will help support and sustain the tax base for Billings.

The application also meets the third criteria in that it is compatible with surrounding land uses in the area. This site is in a developing area of Billings, with good access to transportation choices, schools and open space. The area is currently lacking any essential everyday services for residents such as restaurants, coffee shops, retail shopping, groceries, convenience shopping and services. There are minimal impacts from the proposed use that need to be mitigated. The conditions recommended with the special review should mitigate impacts on the site and the surrounding properties.

PROPOSED CONDITIONS:

1. The special review approval is limited to 1 tenant space not to exceed 5,000 square feet in a proposed new multi-tenant building on Lot 2, Block 1, of MK Subdivision. The special review approval is for an all beverage license with gaming within the 5,000 square foot tenant space. No other use is intended or implied by this approval.
2. The development and placement of the building, paved parking lot, landscaping, access and general site layout will be in general conformance with the submitted plans dated September 29, 2017. Compliance with Engineering Division requirements for off-street parking lots and solid waste storage will be required. Compliance with other commercial site development standards such as landscaping, storm water management, and building codes will be reviewed at the time of building permit submittal.
3. There will be no construction activity before 7 am or after 8 pm daily.
4. The parking lot and any outdoor seating space will not be used for live, amplified entertainment or music at any time whether on a permanent or temporary basis.
5. Parking lot lighting shall consist of fully-shielded lights so no part of the lens or light projects below the shielding. The maximum height of any pole standard is 20 feet.
6. No fascia of the building may have internal illumination.
7. 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.
8. 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 level. This application is for a Special Review as noted above and no other request is being considered with this application. The Planning Division points out that the use and development of the property must be in accordance with the submitted site plan.
 

Any site improvements will adjust the taxable value and property tax revenue from the property will increase. Once a building and site improvements are in place, the City will adjust its zoning and parcel area based annual assessments such as arterial construction, storm water management and street maintenance. The current fees are assessed at a "vacant" rate. Increasing the accessibility to services for neighboring residential development should help sustain and stabilize these areas.

This is a special review request to locate an all-beverage liquor license in a proposed 5,000 square foot tenant space in a new multi-tenant building just west of the intersection of 54th Street West and Grand Avenue on Lot 2, Block 1 of MK Subdivision. The property does not have an assigned address at this time, but will have its primary access off an internal street named Chy Way. This intersection was recently improved to include a traffic signal and safer pedestrian facilities. The project was completed this year in time for the opening of the new Ben Steele Middle School at 56th Street West and Grand Avenue. While the school is close by, it is not within 600 feet of the subject property. The Vineyard Church, also located at the intersection 56th Street West and Grand Avenue, is also more than 600 feet from the subject property.

In 2007, the subject property and all of the lots in MK Subdivision were submitted for annexation, a minor subdivision and a zone change from Agriculture Open-space (A-1) to CC and Neighborhood Commercial (NC) zoning. Originally, only Lot 1 (east of the subject property) was zoned CC. In 2014, the owners of Lot 2 submitted a request to re-zone from NC to CC so additional uses could be allowed such as on-premise alcohol service, personal storage warehousing, auto sales and similar more intense commercial uses. In 2005, the Bishop Fox Subdivision, east across 54th St West was annexed, subdivided and a zone change approved for CC zoning for an 8.2-acre parcel at the intersection. In addition, a 1-acre parcel was zoned Public (P) so Fire Station #7 could be developed. Property to the north, Cottonwood Grove Subdivision, was annexed, subdivided and zoning of R-70 was approved in 2004. Vintage Estates, directly south across Grand Avenue, was annexed in 2005 and assigned the "default" zoning of R-96. In 2014, Daybreak Subdivision, south and west across Grand Avenue was annexed and zoned R-60 in 2014.

Earlier this year the City approved the location of a new drive-through pharmacy for the proposed Albertson's grocery store on the east side of the intersection of 54th Street West and Grand Avenue. In 2016, the City approved the location of a new LDS church and stake house on the west side of 54th Street West farther north of this intersection and closer to the intersection of 54th Street West and Rimrock Road. Mont Vista, a new residential subdivision at the southeast corner of 54th Street West and Rimrock Road, is building out on the east side of 54th Street West near the LDS stake house. The Grand Peaks Subdivision, east of 54th Street West and the Daybreak Subdivision south of Grand Avenue, are also building out. Vintage Estates Subdivision south of Grand Avenue is about one-half complete. The demand for everyday neighborhood services such as coffee shops, small restaurants, day care, convenience shopping, pharmacies and similar services is growing. The West Billings Neighborhood Plan anticipated the need for these services and mapped where these should be located - primarily at the intersections of arterial streets. The zone changes and special review uses approved in this area were all completed in conformance with the adopted West Billings Plan.

Grand Avenue and 54th Street West are both arterial streets and carry many traffic trips every day. Grand Avenue will see significant increases in future traffic counts due to the opening of the new middle school. Existing traffic on Grand is about 11,000 vehicle trips per day. The latest traffic count number available for 54th Street West is in 2013 when about 2,300 vehicle trips were counted. It is likely a much higher trip count now due to the addition of new homes in Mont Vista, the completion of new phases in the Grand Peaks Subdivision, and the opening of the new LDS stake house.

The applicants are proposing to move their existing all beverage license and business from its current location at 1595 Grand Avenue. The Den has existed at the West Park Promenade for 5 decades. In 1986, the Den received its first special review approval at this location because remodeling work required the business to move to a new location in the plaza. Prior to 1986, the Den was in operation at this location, but no special review approval was required. The City requires a special review any time an existing or new on-premise liquor license is re-located within the city limits. The City does not control the number of on-premise liquor license that may be issued by the state. The City can specify appropriate zoning districts, separation requirements and provide for conditions of approval to mitigate any potential negative effects of the location on an on-premise liquor license.
 

The Zoning Commission conducted a public hearing on November 8, 2017, and received the staff recommendation and testimony from the agent, Terra Pierce. There was no other testimony from the public or surrounding property owners.

The Zoning Commission closed the hearing and a motion was made by Michael Larson to recommend conditional approval and adoption of the findings of the 3 criteria for Special Review 958. The motion was seconded by Dennis Ulvestad and the Commission voted 5 in favor and none opposed to the motion.

The Consistency with Adopted Plans and Policies is discussed in the Alternatives Analyzed section above.