Consider Request for Comprehensive Plan Amendment to Re-Guide PID #20-32-25-44-0003 from High Density Residential (HDR) to Medium Density Residential (MDR) (Project No. 21-122); Case of Lennar

The City has received an application from Lennar (the "Applicant") for a Comprehensive Plan Amendment (CPA) to re-guide PID #20-32-25-44-0003 (the "Subject Property") from High Density Residential (HDR) to Medium Density Residential (MDR).  The Applicant has also submitted a Sketch Plan and, subsequently, a Preliminary Plat for a proposed residential development.  The Planning Commission reviewed the Sketch Plan at their July 22, 2021 meeting. 

The purpose of this case is to introduce the topic to City Council before bringing forward an official case to seek formal action.  Staff is seeking some initial feedback on the both the proposed development layout/configuration and the requested Comprehensive Plan Amendment.

The City attempted to notify Property Owners, as reflected in the Anoka County Property Records, within 700 feet of the Subject Property of the request.

Project Summary
The Subject Property is approximately 35.5 acres in size, including about eight (8) acres of wetland. The site abuts Fire Station #1 on the west side of Armstrong Blvd. The Applicant is proposing 143 new dwellings, including a mix of single family homes (65-foot wide lots) and attached townhomes. The proposed net density of the project is approximately 5.2 units per acre.  The Planning Commission identified two major items of concern regarding the proposed development.  First, that 130+ homes would be situated along a roughly 2,100 foot long cul-de-sac (that was the original configuration; the Applicant subsequently provided an alternative layout that had a 'loop' road instead of a cul-de-sac).  Secondly, that 130+ homes would be served by a single access (off Armstrong Boulevard).  The Planning Commission acknowledged that the 'loop' configuration was an improvement, but still didn't address the single point of access.

Comprehensive Plan Amendment
The Subject Property is guided as High Density Residential in the 2040 Comprehensive Plan. This designation requires a density range between eight (8) and fifteen (15) units per acre. The Applicant has applied for a Comprehensive Plan Amendment to re-guide the Subject Property from High Density Residential (HDR) to Medium Density Residential (MDR), which allows a density range of four (4) to eight (8) units per acre.

The City can approve a Comprehensive Plan Amendment without an approved/formal subdivision plan for the site, if the City Council wishes to do so. This could be helpful to set plans for and solicit projects, if the vision now differs from what is in the Comprehensive Plan (in this case, High Density Residential).

Both the Planning Commission and Staff see merit in the request to reduce the density from 8 - 15 units per acre to 4 - 8 units per acre.  The Subject Property abuts land guided as Rural Developing to the west and north.  The project proposes attached townhomes in the southern portion with single family homes (65-foot wide lots) in the north, which provides better transitioning to the existing Rural Developing lots north and west of the Subject Property.

In addition to City Council approval, all Comprehensive Plan Amendments also require Metropolitan Council approval.  Staff sent the request to the Metropolitan Council for high level feedback.  Initial response from Metropolitan Council Staff indicate that this would create an inconsistency with the Housing Plan and, more specifically, the City would no longer be guiding enough land at sufficient densities for affordable housing.  If that were the case, it would jeopardize the City's eligibility for Livable Communities Act (LCA) funding (the City has utilized LCA funding for various projects including Center Street design, River Walk Village site clean up, and Sunwood Drive realignment).

One resident did attend the Planning Commission meeting regarding this case and noted that this layout, with single family homes in the northwest portion of the Subject Property and attached townhomes to the southeast, was more desirable than a previous concept plan (circa 2018).  His feedback was that this transitioned better to the existing neighborhood; that he didn't support any attached townhomes adjacent to his property; and that a berm with landscaping would be preferable along the shared property boundaries.

There are a couple options/alternatives that could be considered related to the requested Comprehensive Plan Amendment (CPA):

• Approve the CPA, but identify approximately 28 acres of land elsewhere to re-guide to High Density Residential (HDR).  This would essentially be a wash and thus, would not have any impact on the Housing Policy or eligibility for LCA funding.
• Approve the CPA as requested.  This would have the likelihood of impacting the City's eligibility for LCA funds for future projects.
• Do not support the CPA.  This would keep the Subject Property guided as HDR, and would render the proposed project ineligible, as it does not meet the required density (8-15 units per acre) for that designation.
  • Note that 8 - 15 units per acre could still be achieved onsite with single family homes abutting existing residential.

Based on neighborhood comment and proximity to existing residential, with any of the above options, Staff is supportive of keeping single family homes adjacent to existing residential.

Due to the initial feedback from the Metropolitan Council, Staff is seeking direction from the City Council on two points related to the requested Comprehensive Plan Amendment: 

• First, whether there is general support for amending the land use designation from High Density Residential (8-15 units per acre) to Medium Density Residential (4-8 units per acre). 
• Secondly, if there is general support for the requested amendment, whether Staff should attempt to identify other areas that could be re-guided to High Density Residential so that the City's LCA eligibility is not put in jeopardy.

All costs associated with this request are the Applicant's responsibility.

The Planning Commission recommended approval of the Comprehensive Plan Amendment.  Please note, at the time of their review, Staff had not received feedback from the Metropolitan Council related to potential impact to LCA participation.

Based on discussion.

Potential Motion: Motion to support the requested Comprehensive Plan Amendment and direct Staff to identify other potential areas to be re-guided as High Density Residential and come back to a future meeting to formally weigh in on Comprehensive Plan Amendment request.