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4.6.
Economic Development Authority (EDA)
Meeting Date:
04/11/2013
By:
Tim Gladhill, Community Development

Title:

FOR DISCUSSION PURPOSES: Review Status of 167th Avenue Retail Node

Background:

As the EDA may recall, the City received two proposals regarding proposed uses in the retail node at 167th Avenue and St. Francis Boulevard. Both proposals were for 6001 167th Ave NW.  This retail node continues to experience high vacancy rates and concerns have also been raised regarding property maintenance.  Neither of the two proposals fully met the standards of the B-1 General Business District and therefore, Staff brought each forward for review, consideration and direction from the Planning Commission on January 31, 2013.  The case that was prepared for the Planning Commission in January is attached for background information and more specific details. The case was also forwarded to the EDA for discussion on February 14, 2013.

Mr. Joe Haag of Community Pride Bank, the current Property Owner of 6001 167th Ave NW, is anticipated to be in attendance to discuss the matter.

Observations:

Following is a brief recap of the two proposals previously reviewed and discussed by the Planning Commission both at the January 31, 2013 meeting and again as an update at the April 4, 2013 meeting):

Proposal 1

Total Defense, a current Ramsey business (14031 St. Francis Blvd. NW [River's Bend Plaza]), had proposed to relocate its current operation to the Subject Property. Their current location has the same underlying land use as the Subject Property. Total Defense currently operates a retail store, gunsmithing (repair), and provides self-defense training courses. Total Defense had proposed a similar operation on the Subject Property with the addition of an indoor shooting range.  The indoor shooting range component did not comply with the current permitted or conditional uses in the B-1 General Business District.

Proposal 2

Triangle Recycling, presently operating in the city of Nowthen, had proposed to relocate its operation to the Subject Property. The business recycles clothing through a network of clothing collection boxes strategically placed throughout the state. Clothing is collected from the boxes by a fleet of trucks and would be brought back to this site for baling and transport to end markets. The business owner expressed an interest in expanding the recycling program to accept electronics, small metals, mattresses, and plastics, which would be implemented as Phase II of its operation.  The proposal was primarily warehousing in nature, which isn't identified as a permitted or conditional use in the B-1 General Business District. Business districts are retail in nature, and have provisions for personal services, professional services, and office components.

Both proposals were also reviewed by the EDA, who, along with the Planning Commission, has a strong interest in seeing not only the Subject Property but also this entire retail node to be evaluated.  Both the Planning Commission and EDA expressed their desire to see this area remain retail oriented rather than shifting to more of an employment (industrial & warehousing) type of setting.  The Planning Commission felt that an indoor shooting range would ultimately be more compatible with other permitted uses in this zoning district and likely more compatible with the surrounding residential area while the recycling/warehousing use was better suited for one of the employment districts.  This information was forwarded to the City Council for confirmation, which was confirmed at their February 12, 2013 meeting.

Recently, Staff met with the Subject Property owner again regarding this site.  The Subject Property owner informed Staff that the indoor shooting range proposal was no longer moving forward on the Subject Property. It is Staff's understanding that Total Defense is pursuing other options in an employment district that permits indoor commercial recreation.  The Subject Property owner again suggested that the warehousing/recycling user be considered and reiterated that it is their opinion that retail isn't working in this area. Staff had recommended that the Subject Property owner contact the surrounding Property Owners to discuss their thoughts on what could be done to improve the success of the retail node. Staff feels that a broader approach is necessary, rather than focusing on individual parcels. Staff notes that after several prospects have explored the Subject Property, the cost to repair the building has become a major barrier to utilization of the building. Numerous repairs are necessary due to removal of utilities such as copper pipe and electrical. It also appears that the private septic system is in need of replacement, with minimal area for an alternative site.

Funding Source:

Preparation of this case is being handled as part of regular Staff duties.

Staff Recommendation:

At this point, the logical next steps may be to consider other land uses that are compatible with the long term vision of the area as well as the surrounding area. This could include interim uses to allow for use in the short term, while maintaining the long term vision. This also warrants review of the surrounding area and future development patterns. Other variables to consider include analyzing the cost of certain infrastructure components (utilities) and what financing tools may be available. Staff desires additional direction as to whether there are actions the EDA would like Staff to complete. These action items could range from a Cost Benefit Analysis/Feasibility Study of extension of municipal utilities, a market analysis as to the scale/amount of retail area that could be sustained (currently and future), or identification of funding opportunities to provide assembly and redevelopment. It is important to note that the EDA is not taking action on any of these potential action items, but Staff wanted to identify potential alternatives to assist the discussion.

Action:

Based on discussion.

Attachments

Form Review

Inbox Reviewed By Date
Chris Anderson Chris Anderson 04/05/2013 11:53 AM
Kurt Ulrich Kurt Ulrich 04/05/2013 03:13 PM
Form Started By:
Tim Gladhill
Started On:
03/21/2013 01:42 PM
Final Approval Date:
04/05/2013