CY41-26

Request of RJC Rental Properties LLC to rezone the subject parcels from M-1, Light Industrial, to R-3, Limited Multiple Dwelling District. The subject properties are described as Lots 3, 4, and 5, Block 25, Mankato City subdivision (1618, 1620 and 1622 3rd Avenue). 

The applicant is RJC Rental Properties LLC.
 

The request is to rezone the subject parcels from M-1, Light Industrial, to R-3, Limited Multiple Dwelling District. The subject properties are described as Lots 3, 4, and 5, Block 25, Mankato City subdivision (1618, 1620 and 1622 3rd Avenue). 

The subject properties are described as Lots 3, 4, and 5, Block 25, Mankato City subdivision (1618, 1620 and 1622 3rd Avenue). 
 

The current land use is Medium Density Residential. 1618 3rd Ave was formerly occupied by House of Hope and was utilized as an Intensive Outpatient Treatment office space. 1620 3rd Ave was previously used as a Ceramic Shop, although the property appears to have not been in business for an extended period. Lastly, 1622 3rd Ave was a rental dwelling until approximately 2020. 

The applicant intends to modify the existing use of the properties in connection with future zoning approvals. 

The subject properties are zoned M-1, Light Industrial zoning district.

There are no known environmentally sensitive areas on the site. 

Public utilities are available to serve the property.

Mankato City Code Chapter 10, Article XI, Chapter 9 related to zoning amendments can be found at this link: 
https://library.municode.com/mn/mankato/codes/code_of_ordinances?nodeId=PTIICOOR_CH10LAUSDE_ARTIIREDI_DIV5LIMUDWDI
 

The Site Plan and Traffic Committee reviewed the request at their August 11, 2026, meeting and the following comments were provided. The applicant has not provided responses to the comments at this time. 

1. Applicant shall provide a map exhibit showing the proposed future zoning of the subject property.
2. Applicant shall be aware that all proposed future uses of the Subject Property shall comply with the standards of the R-3, Limited Multiple Dwelling District.
3. Applicant shall be aware that the proposed use of an Intensive Outpatient Treatment Program facility requires issuance of a Conditional Use Permit. The applicant shall submit a request for a Conditional Use Permit prior to seeking to utilize the space for prospective use.
4. The applicant shall be aware that utility accounts would change from taxable to non-taxable status.
5. Applicant shall evaluate sewer and water service needs for each of the three lots.  In the event additional/upgraded services are needed or if any of the properties are being considered to be demolished the applicant would be encouraged to expedite any service installation/disconnection work in unison with the 3rd Avenue Reconstruction project. 
6. Applicant will be required to pay SAC & WAC connection charges based on the City of Mankato assessment policy and fee schedule based on increased development density.

RJC Rental Properties LLC, is requesting the rezoning of the following properties addressed at 1618, 1620 and 1622 3rd Avenue from their current zoning designation of M-1, Light Industrial, to R-3, Limited Multiple Family Dwelling district. The proposed rezone is consistent within the neighborhood, as well as the adjacent neighborhoods located to the south and west of the subject site. The land use plan designates the subject properties and the adjacent neighborhood as, “Medium Density Residential.”

The subject properties are described as Lots 3, 4, and 5, Block 25, Mankato City subdivision (1618, 1620 and 1622 3rd Avenue). The Blue Earth County Parcel Identification Numbers associated with the parcels are R010906460008, R010906460012, & R010906460011.  

The purposed zoning and use of subject property as a residential use is consistent with the adjacent neighborhood. Properties used for residential purposes surround the subject property, including properties located across 3rd Avenue. The property located East of the subject site is designated as an R-1, One-Family Dwelling district. The property located to the North of the subject site, currently home to the "Mankato Makerspace", is zoned M-1, Light Industrial.  

If the rezoning is approved, any proposed future uses must comply with the standards of the R-3 Limited Multiple Family Dwelling district.

It is the intent of the applicant to follow the rezoning request with a conditional use permit to allow for an intensive outpatient treatment program at 1618 3rd Ave. The conditional use permit is not under review at this time, but it is the statement of the applicant that the future use of 1618 3rd Avenue will not require any updates to the existing property as the previous use was of the same or similar. The intended future use of 1620 3rd Ave will be to serve as storage and/or parking, with the potential to demolish the existing structure in the future. 1622 3rd Avenue is planned to return to use as a rental dwelling for 5-unrelated individuals, with any necessary modifications to be made to ensure rental licensure. 

The applicant has provided a concept parking plan for the proposed uses of the subject properties.

Staff respectfully submits the following findings of fact for the request of the rezoning of M-1, Light Industrial, to R-3, Limited Multiple Dwelling District.

1. Given the location of the parcels, the rezoning of the parcels aligns with neighboring city blocks.
2. Proposed use of an Intensive Outpatient Treatment Program facility requires issuance of a Conditional Use Permit. 
3. The request does not negatively impact the health, safety and general welfare of the City of Mankato.
4. Utility accounts will change from taxable to non-taxable status with the proposed request.

Staff recommends approval of the request to rezone from the current zoning classification of M-1, Light Industrial, to R-3, Limited Multiple Dwelling District with the following conditions:

1.  The proposed future uses of the Subject Properties shall comply with the standards of the R-3, Limited Multiple Dwelling District.
2. The applicant shall submit a request for a Conditional Use Permit prior to seeking to utilize the space for prospective use.
3. Applicant shall evaluate sewer and water service needs for each of the three lots. In the event additional/upgraded services are needed or if any of the properties are being considered to be demolished, the applicant would be encouraged to expedite any service installation/disconnection work in unison with the 3rd Avenue Reconstruction project. 
4. The applicant will be required to pay SAC & WAC connection charges based on the City of Mankato assessment policy and fee schedule based on increased development density.