CY35-25

Request of AJK Mankato Holdings LLC for a final plat review of The Station subdivision; for a rezoning of the subject property from Agriculture/Transition to M-1, Light Industrial; for a planned unit development to allow the development and operation of commercial condos with shared accessways and utilities; for a conditional use permit to allow a display area and retail sales in a warehouse space; and for the annexation of said parcel. The subject property is described as that part of the easterly 20 acres of the Northeast Quarter of the Northeast Quarter and the North Half of the Southeast Quarter of the Northeast Quarter, all in Section 3, Township 108, Range 26, Blue Earth County, Minnesota, lying westerly of the railroad right of way. (Blue Earth County PID R430903200005).

The applicant is AJK Mankato Holdings, LLC.

The applicant is requesting a final plat review of The Station subdivision; a rezone of the subject property from Agriculture/Transition to M-1, Light Industrial; a planned unit development to allow the development and operation of commercial condos with shared access-ways and utilities; a conditional use permit to allow a display area and retail sales in a warehouse space; and the annexation of said parcel.

The subject property is described as that part of the easterly 20 acres of the Northeast Quarter of the Northeast Quarter and the North Half of the Southeast Quarter of the Northeast Quarter, all in Section 3, Township 108, Range 26, Blue Earth County, Minnesota, lying westerly of the railroad right of way. (Blue Earth County PID R430903200005).
 

The subject property is currently used for row crop agriculture and as a private ditch. The area is designated as "Light Industrial" in the Land Use Plan. 

The subject property is located in Mankato Township and is zoned Agricultural. The applicant intends to annex the property and rezone the property to M-1, Light Industrial.

The site was evaluated for wetlands by the Blue Earth County Technical Evaluation Panel. A wetland was identified on the southern side of the property.  

Water and sanitary sewer will connect to the site via a connection to 227th Street.  Storm water will be directed to a storm water retention pond on the south of the site. The retention pond outlets into a ditch that is located to the south and west of the site. 

The applicant, AJK Mankato Holdings, LLC. is requesting a final plat review of "The Station" subdivision; a rezone of the subject property from Agriculture/Transition to M-1, Light Industrial; a planned unit development to allow the development and operation of commercial condos with shared access-ways and utilities; a conditional use permit to allow a display area and retail sales in a warehouse space; and the annexation of the subject parcel.

The applicant intends to construct sixty-six commercial condo units arranged in 6-plex buildings, a 36,400 Sq. Ft. warehouse, office, and showroom for Rickway Carpet, and an 1,800 sq. Ft. building identified as trash storage. A Preliminary Plat of the subject property was approved by City Council on 7/8/2024.

Final Plat

The proposed subdivision, "The Station", contains one block with two lots and encompasses 13.387 acres. Lot 1, Block 1, encompasses 3.312 acres and is located on the northern extent of Block 1. Lot 2, Block 1, encompasses 10.075 acres and is located on the southern extent of Block 1. This proposed subdivision dedicates two extents of 30' drainage and utility easements to serve an existing drainage ditch along the western and southern property boundaries. In addition, the subdivision includes 10' drainage and utility easements along the block boundaries and a 10' (5' on each lot) easement between lots 1 and 2. 

Access to the subdivision will be via 227th Street. A private drive will connect the site to 227th Street. A Planned Unit Development, PUD, is being sought to allow for an "appropriate" roadway network to serve the development.

Water and sanitary sewer will connect to the site via a connection to 227th Street. Storm water will be directed to three storm water retention ponds located on Lot 1 and to a larger pond on the south side of Lot 2. The retention pond outlets into a drainage ditch located to the west and south of the development area. 

The site was evaluated for wetlands by the Blue Earth County Technical Evaluation Panel. A wetland was identified on the southern side of the property.  The applicant's plan does not propose to impact the wetland. The applicant will be required to provide documentation that the wetland will stay viable following modification to the site for the construction or a wetland replacement plan shall be submitted if impact is anticipated to occur.

A payment-in-lieu of parkland dedication was noted in the amount of $40,161 as part of the approved preliminary plat. This was based on the values provided by the Blue Earth County Assessor's Office, which values industrial land at $60,000 per acre. Park dedication is 5% of the assessed unimproved value of the site as an industrial use. The applicant will be required to pay this fee alongside the Final Plat's approval. 

Rezoning

The applicant is proposing to rezone the proposed two lot, a one-block area identified on the approved "The Station" preliminary plat and the purposed final plat from T-Transition to M-1, Light Industrial. As the property has not yet been annexed and given the zoning of T-Transition within the City of Mankato from the current Mankato Township zoning of AG, Agricultural, the rezoning would occur proceeding the annexation of the subject property into the City of Mankato. 

The proposed rezoning is consistent with the underlying land use, as it is designated for Light Industrial land uses. 

The proposed rezoning is consistent with the M-1, Light Industrial District zoning of the parcels located to the south of the subject properties. 

The purpose of the rezoning request is to allow for the development and operation of commercial condos intended to provide spaces for Rickway Carpet warehouse, office, and showroom, and 66 additional condo units that will be available for rent. Once the property is annexed into the City of Mankato, the assigned T District will not allow for the commercial condo development until rezoning occurs; therefore, the applicant requests the property be rezoned to M-1. This request is guided by the City of Mankato’s future land use map M-1. The applicant states that the proposed amended zoning will further the industrial land use goals of the City of Mankato Land Use Plan by promoting new industrial development while minimizing any adverse effects on other properties nearby. The applicant further states that their project promotes quality design standards and provides opportunities for industrial park development. The applicant attests that the proposed rezoning is compatible with the overall character of existing development in the immediate vicinity. Stating that, whilst the site is currently cropland and will be zoned as T District upon annexation, the introduction of a commercial condo development aligns well with adjacent M-1 land uses and creates more opportunities for small businesses. 

Planned Unit Development 
 
A Planned Unit Development is being sought to allow flexibility for shared utilities and for an appropriate roadway network to serve the proposed development.  The applicant is requesting this flexibility in order to provide the operation of commercial condos with shared access-ways and utilities in the M-1 Zoning District.

The proposed project is a 13.39-acre commercial condo development intended to provide spaces for Rickway Carpet warehouse, office, and showroom, in addition to 66 commercial condo units available for rent. 

The drive-lanes within the development are to be privately installed and will be subject to a maintenance agreement. The maintenance agreement shall address snow removal from the property and maintenance of landscaping and other common areas, including the future replacement of the private road, storm water facilities, and private utilities.

The applicant will be required to adhere to the terms of the subdivision agreement including completion of any public improvements adjacent to the property.  The buildings/uses within the proposed planned unit development will not be issued a certificate of occupancy until all parking and driving surfaces, shared utilities, and stormwater facilities are constructed and approved by the City of Mankato and the roadway improvements for "Station Trail" are completed.

A narrative detailing waste/ trash storage and disposal on-site will need to be provided prior to approval of the Planned Unit Development.

Conditional Use Permit

The applicant is seeking a Conditional Use Permit to allow for a display area and retail sales in a warehouse space and a professional service office exceeding 10,000 Sq. Ft. in floor area within the M-1, Light Industrial District.  

A professional service office larger than 10,000 sq. ft. is considered a Conditional Use in the M-1 Zoning District. A showroom is defined as a warehousing & wholesale businesses are Conditional Uses in the M-1.

The Rickway Carpet Office & Showroom spaces share a common area. This common area is estimated at 10,208 Sq. Ft. As the floor area of this space exceeds 10,000SF, such a use is considered Conditional within the M-1, Light Industrial Zoning District. 

The site plans provided show the construction of a new 36,400 Sq. Ft. warehouse, office, and showroom for Rickway Carpet on the northern portion of Lot 1 of the subject property. Also on lot 1, but on the southern extent of the lot, a 1,800 Sq. Ft. trash storage building is shown. On Lot 2, 11 six-plex commercial condo buildings are proposed and arranged inward toward the drivelane and parking areas.

Exterior elevations for the six-plex commercial condos and trash building have not been provided as part of the application materials. Floor Plans provided appear to show insulated metal wall panels and metal roof panels.

Exterior elevations have been provided for the Rickway Carpet building. Exterior finished for the structure include insulated metal wall panels colored brown with a "sand pebble finish", insulated metal wall panels colored light gray with a "sand pebble finish", pre-finished metal roof panels, aluminum windows, metal overhead garage doors, Verseta accent stone, and an aluminum storefront. The front entry will be oriented northward.

Floor Plans for the trash building have not been provided. Floor plans for the commercial condo buildings show six condo units/suites arranged end on end with a large overhead door, entry door and two windows, an optional mezzanine with access staircase, an individual bathroom with sink and toilet, and a table with a sink. 

Floor Plans for the Rickway Carpet show 10 enclosed spaces for office or conference use, two individual bathrooms, two inaccessible enclosed spaces, a large open area for the "showroom" with windows and an entry area, and a 25,562 Sq. Ft. warehouse space with three overhead and entry doors.

The commercial condo units are proposed to be rented to individuals and businesses operating permitted uses within the M-1, Light Industrial District. Commercial Condo Uses will be reviewed as the property is developed, and allowed uses will be based on the Mankato City Code.

The applicant is constructing the buildings as described above. Each future tenant is required to have a separate building permit for each unit. Additionally, each tenant will be required to obtain a sign permit prior to installation of signage.

The Rickway Carpet warehouse, office, and showroom will be operational Monday – Friday 9:00AM-5:30PM and have 23 employees.

Parking:
Proposed parking is based on a standard warehouse use for each commercial condo. The applicant states that they understand that parking will be evaluated on a per-unit basis as building permits are received by the City of Mankato for each commercial condo.

A total of 302 hard-surfaced off-street parking stalls are proposed to be constructed as part of the development. 294 standard stalls and 8 accessible parking stalls.

The applicant proposed 7 spaces for the warehouse and 11 spaces for the office space that serves Rickway Carpet.

The applicant proposes to provide 4 off-street parking stalls per commercial condo unit. With 66 commercial condo units, a total of 264 off-street parking stalls would be provided to serve the commercial condo units.

Annexation

The property is currently located in Mankato Township. The underlying land use plan, which guides future use of the subject property, shows the future land use of the property as, “Light Industrial.”

The proposed annexation area is approximately 13.39 acres. The property is currently located within Mankato Township, but is contiguous to the existing City of Mankato boundary and is subject to an Orderly Annexation Agreement between the City of Mankato and Mankato Township in 2014. The City of Mankato Land Use Plan from November 2022 guiding the future development of public and private property within the City shows this parcel as zoned for light industrial use. This property is currently undeveloped and will be developed as commercial condo units. Annexation is required to accommodate the scale and vision of the proposed development.