Ordinance rezoning of the properties from M-1, Light Industrial, to R-3, Limited Multiple Dwelling; Resolution approving a Conditional Use Permit to allow a recreational use; and for a Variance to reduce the rear setback to 25 feet in the R-3, Limited Multiple-Family Dwelling District (1416, 1420, and 1430 2^nd Avenue); by request of Wrestling Brotherhood.

Adoption of the attached ordinance and resolution/variance.

Wrestling Brotherhood, with permission of the property owner, is requesting a variance from Mankato City Code Chapter 10, Article 2, Division 5, Sec. 10-169 to decrease the rear yard setback from the required 49.5 feet to 25.36 feet in the R-3, Limited Multiple-Family Dwelling District, and a conditional use permit to allow for a wrestling recreational facility in the R-3, Limited Multiple-Family Dwelling zoning district. The subject properties are located at 1416, 1420, and 1430 2nd Avenue and are legally described as Lots 3, 4, and 5, Block 16, Mankato City, Blue Earth County.

History

The northern two lots were formerly occupied by "Mac's Bar & Café" and an accessory storage shed. Online sources indicate that Mac’s Bar & Café operated as a local establishment offering casual dining and beverages.

In November 2011, a fire occurred at the establishment, and in 2013 the City of Mankato issued a demolition permit for the removal of the structures and foundations. Since that demolition, the parcels have remained vacant.

On July 14, 2025, the Mankato City Council approved a land use plan amendment to change the guided land use of the subject parcels from Light Industrial to Medium Density Residential.

On July 28, 2025, the Mankato Planning Commission recommended approval of a rezoning of the subject properties from M-1, Light Industrial, to R-3, Medium Density Residential. The rezoning request is anticipated to be reviewed, with final action by the Mankato City Council on September 8, 2025, in conjunction with the review of the conditional use permit and variance requests contained in this report.

Conditional Use Permit

The applicant is seeking a conditional use permit to allow for the development of a wrestling facility on the subject parcels. The request assumes approval of the rezoning to R-3, Limited Multiple-Family Dwelling, which will be considered prior to the review of the conditional use permit on September 8, 2025.

Within the R-3 zoning district, Mankato City Code Chapter 10, Article 2, Division 5, Sec. 10-166 identifies “golf courses, country clubs, and private recreational uses, all non-commercial” as conditional uses. The proposal seeks to establish a private recreational use—a wrestling facility—operated as a not-for-profit entity. The applicant has acknowledged the non-commercial nature of the facility, and a condition of approval is included to reinforce this operational limitation.

According to the applicant’s narrative, “this facility will primarily serve local youth wrestling programs and will be used for training, practice, and skill development for children and teenagers. It will not function as a commercial gym or open recreational center. Instead, the facility will be reserved for scheduled practices and training sessions. Participation will be limited to registered members of the youth wrestling program, and the facility will not be open to the public for drop-in use. The intended purpose of the facility is to provide a safe, structured environment for physical fitness, character development, and training. No retail operations, commercial services, or for-profit activities will occur at the site.” All future uses will be required to comply with the standards of the R-3 zoning district.

Site removal plans show the removal of the existing residential house and accessory structure on the southerly lot, as well as the removal of the existing gas line and overhead utility line. The concrete and bituminous surfaces on the northerly lot will also be removed, along with several trees.

Site plans show a new approximately 46-by-144-foot structure situated on the western side of the parcels, with a 16-by-24-foot entrance located on the northeastern side of the proposed building. The structure, approximately 7,000 square feet in size, is oriented north-south. The applicant intends for the three underlying parcels to be considered one zoning lot for development purposes.
Access to the development is proposed from Spruce Street and 2nd Avenue. A Trip Generation Memo dated May 19, 2025, prepared by a Professional Traffic Operations Engineer (PTOE), was reviewed in conjunction with the land use plan amendment. The report concluded that due to the low trip generation potential and alternative access routes, the proposed development would have minimal impacts on surrounding roadway networks. The analysis noted that the former bar generated 64 trips during the PM peak hour, which exceeds the expected trips from the proposed wrestling facility. While minimal traffic impacts are anticipated, the report recommended that if traffic issues arise, a more in-depth traffic study may be warranted to evaluate intersection geometry or traffic control needs. A condition of approval is included requiring the applicant/property owner to fund such a study and any necessary improvements, at the discretion of the City Engineer.

The structure and parking lot placement achieve a front yard setback of 25 feet from Spruce Street. The corner side yard setback along 2nd Avenue conforms to Code at 12.5 feet. The side yard setback of 15 feet in the R-3 district is also met. For rear yards, the City Code requires 25 feet for one- and two-family dwellings, but for all other principal buildings and uses, 25 percent of lot depth, with a minimum of 25 feet and maximum of 75 feet. For this lot depth of 198 feet, a 49.5-foot setback is required. The applicant proposes 25.36 feet, which requires a variance.

The maximum building coverage permitted in the R-3 zoning district is 35 percent. The proposed 7,008-square-foot structure achieves compliance, with coverage of 22.45 percent on the 31,215-square-foot lot.

Utility connections for water and sanitary sewer are proposed from 2nd Avenue, with a new stormwater connection also shown. A condition of approval requires the removal and termination of all existing, unused public utility services at the main.

The site plan shows a new parking lot east of the structure. The lot provides 28 stalls, meeting Code requirements, which require one stall per four persons of maximum occupancy. With a maximum occupancy of 108 persons, 27 stalls are required. The proposal meets Code standards for maximum parking surface coverage (35 percent), sight triangles, curbing, striping, and bicycle parking.

The floor plan shows two training areas, restrooms, changing areas, an office, and a registration area. An overhead door is included for moving wrestling mats, which would not fit through a standard door. The plans do not show bleachers or spectator seating. The applicant has indicated that spectators will not be allowed, and the facility will not host tournaments, meets, or scrimmages.

The proposed building height of 22 feet is below the 35-foot maximum allowed. Exterior finishes are shown as vertical siding. The City Code requires muted, neutral, or earth-tone colors, with limited use of primary colors as accents. A condition of approval is included to ensure conformance. No signage is shown; a condition requires a sign permit before fabrication or installation.
The photometric plan demonstrates compliance with the Code limit of 0.5-foot candles at property lines. The parking lot lights are full cut-off style with shield options noted. Additional fixtures would require an updated photometric plan. A condition is included to ensure ongoing compliance.

Noise from the site must conform to Minnesota Rule 7030 and City Code standards. A condition requires the applicant to conduct a noise study and implement improvements if noise issues arise. Mechanical equipment shown on the west side of the structure must also comply.

Landscaping plans show 6-foot evergreen trees, 2.5-inch caliper shade trees, and parking lot screening. The code requires effective screening for lots with more than four stalls adjacent to residential uses. Screening must be 4–8 feet in height and at least 80 percent opaque within one year. The southerly lot shows shrubs and evergreens, which must achieve screening standards within one year or be supplemented.

The applicant indicates that minimal trash will be generated, and that containers will be stored indoors except during collection. A condition requires compliance with the City Code if outdoor refuse storage is used.

Variance

The applicant seeks a variance to reduce the rear yard setback from 49.5 feet to 25.36 feet. Minnesota Statute §462.357 Subd. 6(2) allows variances only when: (1) the variance is in harmony with the general intent and purpose of the ordinance; (2) the variance is consistent with the comprehensive plan; and (3) practical difficulties exist, meaning (a) the property can be reasonably used without the variance, (b) the circumstances are unique and not created by the landowner, and (c) the variance will not alter the essential character of the area.

Practical Difficulties Analysis:

1. Reasonableness- This factor means the landowner's desired use of the property is reasonable. For example, if the variance application is for a building that does not meet the required setback, the focus of the first factor is whether the request to place a building there is reasonable.

Applicant: Yes; The proposal allows for an underutilized property to be revitalized and redeveloped to serve community needs. The facility would serve as a valuable community asset, complementing nearby developments and ensuring an appropriate transition between land uses. The proposed setback allows for adequate spacing between structures and preserves light and air access. Any site planning will comply with local environmental regulations, and stormwater management practices will be implemented to preserve the site.

Staff: Although the new use would not meet the code's required setback, the use itself is a reasonable use for the property as the Code specifically outlines non-commercial uses as conditional uses within the R-3 zoning district. 

2. Uniqueness - The second factor is that the landowner’s desired use is not possible due to circumstances unique to the property that was not caused by the landowner or by the landowner’s desire to do something the code does not allow. The uniqueness generally relates to the physical characteristics of the particular piece of property, that is, to the land, and not the personal characteristics or preference of the landowner. When considering the variance for a building encroaching into a setback, the focus factor is whether or not there is anything physically unique to the property, for example, sloping topography or wetlands.

Applicant: Yes; The project site has a unique physical condition due to its exceptional depth (approximately 198 feet). Applying the 25% rear yard setback standard results in a required rear setback of 49.5 feet, which exceeds the minimum 25 feet required in R-3 zoning and consumes a disproportionate amount of usable lot area. This excessive rear yard setback, combined with other required setbacks and site design standards (e.g., parking, stormwater, landscaping), restricts reasonable development potential. The hardship relates to the physical dimensions of the lot rather than any personal or financial circumstance. 

The applicant’s engineer further stated that, "there is concern about the type of fill material that was used when the building and foundations were removed. We don’t know if the fill material is appropriate to build on and if it was uniformly filled across the entire building pad or not. The concern is that the differing soil properties could cause uneven settlement under the building. We need to keep the building as far south and west as possible to minimize the risk of building over the existing buildings and undocumented fill."

Staff: There is a potential physical characteristic unique to the property that has been noted to potentially impact the available building area. The applicant has outlined that there is concern with the fill used when the previous foundations were removed from the location of the previous Mac's Bar. The engineering expertise outlines that the fill type is unknown. The engineer professional goes on to state that the potential of differing soil properties could cause uneven settlement under the new building. Based on this professional assessment of the site, the building needs to be kept as far south and west as possible to minimize the risk of building over the existing buildings and undocumented fill. 

3. Essential Character - Under this factor, the Council should consider whether the resulting structure will be out of scale, out of place, or otherwise inconsistent with the area. For example, when thinking about the variance for an encroachment into a setback, the focus is on how the particular building will look closer to the lot lie and if it fits within the character of the area.

Applicant: Yes; The proposed use and variance request will maintain the character of the locality. It represents a low-intensity, community-oriented use that complements nearby residential development. When evaluated alongside existing land uses in the area, the youth wrestling facility will not burden city services or alter neighborhood character.

Staff: The neighborhood is a mix of existing residential properties and existing industrial properties. Directly across Spruce Street to the north and northwest are industrial-looking and used structures, some located very near the property line along Spruce Street, intermixed with residential homes. Located to the west of the proposed structure across the alley is an existing facility that was previously the location of House of Hope. Located to the east across 2nd Avenue is an industrial parking lot and further to the east are industrial structures. Given the existing placement and character of the industrial structures within the neighborhood, the proposed facility will be consistent with the essential character of the neighborhood. 

4. Harmony with the Intent of Zoned Area as set forth in the Ordinance: In addition to the three-factor practical difficulties, city staff has made findings during the evaluation of the variance on the harmony with the proposal and the intent of the ordinance and consistency with the comprehensive plan.

Applicant: Yes, The proposed setback allows for development of a reasonably sized youth wrestling facility that is appropriate for the intended community use and in harmony with the ordinance. The variance will not overburden public utilities or infrastructure and does not pose a public health or safety risk. It will be professionally managed, regularly maintained, and designed with safety as a priority.

Staff: The intent of the R-3 ordinance is to create a standard for properties and dwellings, including setbacks where non-residential type structures are constructed. In this case, given the previous use of the site and the undocumented fill, the code-required setback is difficult to achieve the non-residential setback. Further, the ordinance outlines allowable permitted and conditional uses, and the proposed recreational use is considered a conditional use within the R-3 zoning district, in contrast to the previous use of the site, which was a bar and café.

5. Consistencies with Uses set forth in the Comprehensive Plan.

Applicant: Yes. The request aligns with the goals and intentions of the City of Mankato’s Comprehensive Land Use Plan and the R-3 Limited Multiple-Family Dwelling District by revitalizing and redeveloping an area where improvements are warranted. The request allows for adaptive reuse of underutilized properties to serve community needs.

Staff: The comprehensive plan addresses the intent of how the city is planned and use of the properties in those zones. The land use plan, having been recently updated, designates the land use as Medium Density Residential. The zoning district rezone changed the zoning of the subject parcel to R-3, Limited Family Residential, where non-commercial recreational uses are considered conditional uses and, for these reasons, the proposed use is consistent with the uses set forth in the comprehensive plan.