PUBLIC HEARING: Consider Request for a Zoning Amendment for Two Parcels at 9340 Highway 10 NW (Project No. 19-151); Case of MYWC, LLC

The purpose of this case is to consider a zoning amendment request from MYWC, LLC (the "Applicant") to rezone two (2) properties from B-1 Business District to R-1 Single Family Detached Homes (MUSA). The properties were rezoned in the 1990s from Residential to Business and guided in the Comprehensive Plan as Mixed Use (which includes both business and residential uses). The eastern property includes a residential home that appears to have been built in the 1970s under a previous residential zoning district, and the western property is vacant. Since the home was built as a residential structure under a residential zoning district at the time, the use was provided lawful, non-conforming protections at the time of the 1990s Zoning Amendment. The property with the existing home is up for sale and via a request for a zoning verification letter, Staff found a potential issue with lawful non-conforming status as the Owner previously used the property exclusively for commercial (office) use.

Notifications of this proposal were sent via Standard US Mail to Property Owners within 350 feet of the Subject Property, as reflected by Anoka County Property Records. A notice was also published in the Anoka Union Herald, the City's Official newspaper. 

Summary
There are two properties owned by the Applicant; 9340 Highway 10 NW, which has an existing home, and the adjacent parcel to the west, which is currently vacant. The property with the home is up for sale and through the sales process, Staff became aware of the potential issue with lawful, nonconforming status. In working with the City Attorney, it does not appear that the residential use is lawful, nonconforming based on the most recent uses of the property. There was a gap of more than 12 months without a residential use, thereby abandoning the lawful, nonconforming protection under Minnesota Statutes. 

Evaluating existing conditions of the property and surrounding area, Staff does believe a residential zoning district is most appropriate. Staff recommends a zoning amendment to R-1 Residential to allow the residential use 'by right' and to remove any issues with lawful, nonconforming uses. The Owner agrees with this approach and has applied for this Zoning Amendment. 

Previous Uses
The best information Staff has been able to find shows that the home was used in the following ways:

From original construction until 2009	100% residential
2010 - 2015	100% office
2015 - 2019	Mix of office and residential

The property was rezoned in the 1990s to B-1 Business District. According to the City Attorney, if there is any gap in residential use after rezoning for more than one (1) year, the property is no longer allowed to claim lawful, nonconforming residential use. From what Staff can determine, the property was used as strictly office (commercial/business) for approximately five (5) years. This means the property, under City Code, can only be used as business at this time.

Process
In order to allow this structure and property to be used for residential purposes, City Code requires a rezoning to R-1 Residential (MUSA). The Owner (Seller) has an active Purchase Agreement for residential purposes, and the Buyer is unwilling to close on this transaction unless this zoning verification/amendment is completed. The property was unaltered when used as offices, as the offices were for a residential builder. 

Proposed Use
There is an offer for the eastern property (9340 Highway 10 NW) to be purchased and utilized as a strictly residential property.

Code Sections

• R-1 Single Family Detached Homes (MUSA) is found under City Code Section 117-111.
• B-1 General Business District is found under Section 117-114.
• Zoning Amendments alter the official zoning map under Section 117-90.

The Applicant is responsible for all costs related to this request. 

Staff recommends the City Council adopt Ordinance #20-01 approving a Zoning Amendment for both properties from B-1 Business to R-1 Residential (MUSA).

Recommend the City Council adopt Ordinance #20-01.