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08-01-11 Joint Mtg MinCITY OF SHOREWOOD 5755 COUNTRY CLUB ROAD WORK SESSION OF THE CITY COUNCIL COUNCIL CHAMBERS & PLANNING COMMISSION 6:00 P.M. MONDAY, AUGUST 1, 2011 MINUTES 1. CONVENE CITY COUNCIL AND PLANNING COMMISSION WORK SESSION Mayor Liz6e called the meeting to order at 6:03 P.M. A. Roll Call Present: Mayor Liz6e; Councilmembers Hotvet, Siakel, Woodruff and Zerby; Attorney Keane; City Administrator Heck; and, Planning Director Nielsen Planning Commission Chair Geng; Commissioners Davis, Garelick and Hutchins Absent: Planning Commissioner Arnst, Charbonnet, and Hasek B. Review Agenda Zerby moved, Siakel seconded, approving the agenda as presented. Motion passed 9/0. 2. Smithtown Crossing Redevelopment Director Nielsen stated the reason for this meeting is the Planning Commission thought there could be some benefit from meeting with Council one more time to discuss the redevelopment vision for the County Road 19 and Smithtown Road area (i.e., the Smithtown Crossing area) prior to scheduling a neighborhood meeting about the redevelopment. The study focuses on the northwest quadrant of the intersection. The Commission wants to make sure that Council and it had a similar vision for the future of that quadrant. Nielsen then stated at the start of this meeting he distributed a concept sketch which depicts the redevelopment vision for the northwest quadrant as identified in the redevelopment study report. He noted the sketch has intentionally been left out of the report. He explained the study report recommends that the parcels in that quadrant, however far to the east the area ends up going, be combined and that it be a unified redevelopment rather than redeveloping each property individually. The current property owners agree it would be better to take a unified development approach. The hope is that the quadrant will be redeveloped as mixed use. Nielsen explained the report includes the Commission's architectural, landscaping, and bicycle and pedestrian circulation suggestions. He clarified the report is not dictating that those suggestions must be followed. The report notes that if the suggestions are followed the City may consider tax increment financing (TIF) for the redevelopment project or other ways to contribute to the project. The thought is that TIP could be an incentive for following the suggestions. The concept sketch includes a pond and a common/open space area that overlooks Gideon Glen. That area would be the common element between the residential and commercial portions of the redeveloped area. The sketch shows that in the southeast corner of the quadrant there is some type of landscaped parcel that serves as an entry to the area. The area could connect to the current trails. Work Session of the Shorewood City Council and Planning Commission August 1, 2011 Page 2 of 5 Nielsen noted the Smithtown Crossing redevelopment study ties into the County Road 19 Corridor Study that was done a number of years ago. Nielsen stated the sizes of the parcels on the concept sketch are probably going to be significantly different than what will actually be done. The commercial area will likely be smaller and the residential portion will most likely be larger. Each element will likely have its own parking area and there will likely be an opportunity between the two uses for some common parking. The project area will tie into the pedestrian bike trail on the west, toward Excelsior on the east, to the LRT trail on the north, and to City Hall on the south. Nielsen explained the Commission didn't assign sizes to the commercial and residential components of the redevelopment because it thought that should be up to the redeveloper. There has been some discussion about there being a desire to have a larger open space area than is currently depicted on the concept sketch. Unfortunately, that isn't something that can be required because of the size of the redevelopment area. Planning Commissioner Garelick asked why the same amount of effort wasn't put in to a study for the CUB Foods development. Director Nielsen responded that the CUB area was redeveloped without any need for variances. Planning Commissioner Davis noted that prior to CUB being built where it is there was already a shopping center in existence. Garelick stated he thought the vision for the Smithtown Crossing area is good; it's a destination point. In response to a comment by Councilmember Hotvet, Director Nielsen explained for the commercial part of the redevelopment the American Legion is a major landowner in that area and it will be a key player. Nielsen noted the Legion wants the area to be redeveloped. It's anxious to do something and is looking for some help. The Legion is firm about wanting to have exposure to Comity Road 19 and it doesn't want to be part of a shopping center. In response to another question from Hotvet, Nielsen explained the Planning Commission originally wanted there to be senior housing as part of the redevelopment but it has backed off to just wanting housing. Nielsen stated housing is probably going to drive the development of the area and the current market is for senior housing. In response to a question from Mayor Lizde, Director Nielsen explained that Legion currently owns about one -fourth to one -third of the redevelopment area. Councilmember Siakel asked how Director Nielsen knows that the market is for senior housing while noting the age restriction for Shorewood Ponds was recently lowered to 55 years of age because property owners were finding it difficult to sell their properties with the previous higher age restriction. Nielsen explained that the developer panel that came before the Planning Commission included a senior housing developer. That developer thought senior housing could be appropriate for the area. The panel indicated the commercial portion won't be developed for quite some time because there is a glut of commercial property available. A developer indicated he thought he could construct a three -story building on the site. A developer that has shown some interest in the site believes senior housing would be the way to go. Siakel then asked if there is a difference to a developer if the site has to be developed mixed use versus just commercial. Director Nielsen stated if it is going to be redeveloped as all commercial the area will sit for quite some time. Nielsen noted the Planning Commission doesn't want the area to be redeveloped entirely for commercial use. Siakel stated the area should be redeveloped if it is the right thing to do and if it is what the community needs. She suggested that residents be asked what they think is needed during the neighborhood meeting /open house. Director Nielsen stated that will be part of the open house discussion and he Work Session of the Shorewood City Council and Planning Commission August 1, 2011 Page 3 of 5 suggested the same thing be asked as part of the community survey. Director Nielsen stated that during the neighborhood open house the slide show about the study will be displayed as will the resulting recommendations. The Commission hopes to impress upon residents that a piece meal development approach is not the best approach to take. Councilmember Hower asked if Director Nielsen or the Planning Commission has spoken with the Excelsior — South Lake Chamber of Commerce or the Tonka Bay business community to solicit their input. Director Nielsen stated that has not occurred. Councilmember Woodruff commented that Tom Wartman was on the developer panel and he developed one of the developments the Planning Commission went to look at for ideas. Mr. Wartman lives in the City. Councilmember Hotvet stated she likes the fact that there will be a bike path to the area. Director Nielsen stated a key element of the redevelopment is to be able to get to the area other than by motor vehicles. Planning Commission Chair Geng stated the Commission wants the study to be somewhat flexible and it anticipates the study will evolve over time. Planning Commissioner Hutchins explained there is a lot of condo and apartment development going on at this time. The commercial market is more difficult at this time. A lot of retail and banking services are being conducted online. Therefore, there is not as much of a need for physical facilities for financial institutions over the next five to ten years. A lot of mortgage services are provided electronically. If small retail facilities are built the rents are usually quite high. He indicated he thought having the option for some kind of housing in the study area is important. He stated it's critical to consider the types of service industries that will draw people and which ones will be an amenity to what is already available in neighboring communities. He recommended the City remain flexible when considering redevelopment options. Director Nielsen noted the development panel suggested both retail and service commercial be considered viable options for the commercial component. The Planning Commission has no desire to have trade contractor shops on the site. Councilmember Zerby stated the American Legion is an important component of the redevelopment and having housing as part of the area would be very complimentary. If it were senior housing it would be complimentary to the Legion because people could walk there for dining and socializing. It would also be easy to get to the Southshore Community Center. Attorney Keane stated the American Legion is the key stakeholder and he asked if Staff and /or the Planning Commission has explored with the Legion its ownership structure and decision making structure. He then asked if the Legion has a governing board or are things decided by plebiscite. Planning Commissioner Davis responded the Legion has a board and decisions are made by that board. Councilmember Woodruff commented he had a discussion with one of the members of the Legion's board about nine months ago when he was campaigning and he related that person had told him the Legion would throw its whole deal into the pot if it can get back a building and some land. He surmised the Legion is willing to put a little bit of money into the redevelopment. He stated he didn't think the Legion will be a problem. Planning Commissioner Davis noted the Legion has some money to put toward that effort, and it has spent a fair amount of money on professional services for land surveys and studies. Work Session of the Shorewood City Council and Planning Commission August 1, 2011 Page 4 of 5 Mayor Lizee suggested the study report identify that there is a desire to collaborate with the American Legion. Couneilmember Hotvet suggested representatives from the American Legion, the Excelsior — Southlake Chamber of Commerce and Tonka Bay business owners get invited to the October 4, 2011, neighborhood meeting to provide their input. Mayor Lizee asked if the site will be redeveloped as a planned unit development (P.U.D.). Director Nielsen responded that's the desire. Nielsen stated the site maybe developed in two pieces. For example, housing could be developed first and then the commercial component later. But, it needs to be designed so that the two components can work together. Mayor Lizee stated the commercial she sees is the American Legion. She recommended emphasizing the desire to have a unified development concept and that it be redeveloped as a P.U.D. She suggested the City also consider other partnerships such as with the Minnehaha Creek Watershed District. Director Nielsen noted access to Gideon Glen is pretty poor. The concept sketch would help with that. Councilmember Hotvet stated the overpass for the LRT trail crossing over County Road 19 will be helpful to the area. Director Nielsen stated the current plan is to hold an open house style neighborhood meeting on October 4 "' from 7:00 P.M. — 9:00 P.M. People can then come and go as they want. There will be board displays around the room. He then stated from his vantage point people are more open to offering their opinions in an informal setting. Mayor Lizee suggested attendees be encouraged to share their comments in written form also. Maybe there could be Post It Notes available for them to write on. Mayor Lizee stated that sometimes when plans are presented visually people tend to lock into them and they either like them or not. She asked what visuals will be made available. Director Nielsen stated the slide show about the study findings will be available. Nielsen reiterated the reason a copy of the concept sketch is not included in the study report is Staff and the Planning Commission didn't want people to lock into that as the only redevelopment option. Nielsen stated during the open house the desired parameters (such as for architecture, landscaping and bicycle and pedestrian circulation) will be talked about. Planning Commission Chair Geng noted the desire for a coordinated development will also be discussed. Geng stated if the concept sketch were to be on display it may be beneficial to prepare a few different sketches. Nielsen stated another sketch with a smaller commercial area could be created. Planning Commissioner Davis suggested keeping topography off the sketches. She also suggested keeping houses and house numbers of the sketches and only display the lot lines. The sketches should show curb and gutter so there is structure. The separate pieces could be displayed on separate boards. The green space could be on one board, trails on another, flexible housing could be on a number of boards, and there could be a couple of commercial pieces. Planning Commission Chair Geng stated it's important to make it clear to people that the City is waiting for developers to approach the City. The purpose of the study exercise was to make sure the City is prepared when that happens. Couneilmember Siakel stated that she thinks there is a lot of value in having a unified development approach and a common vision. She then stated some of the questions she would want answered is how large the redeveloped site will be and what impact the redevelopment will have on safety at the County Road 19 and Smithtown Road intersection. Director Nielsen stated senior housing generates Less traffic Work Session of the Shorewood City Council and Planning Commission August 1, 2011 Page 5 of 5 per unit than other types of multi unit housing. Siakel stated keeping housing general is a good thing. Planning Commissioner Hutchins asked what impact a redevelopment will have on community services such as police and fire. He stated he thought the plan to tie the redevelopment into future trail development is a positive. Director Nielsen stated there already is municipal water to the site and that is a good selling point. Councilmember Siakel asked Planning Commissioner Davis if she could prepare the displays she envisions being presented during the open house and she stated she would like to see them before the October 4 open house. She clarified she just wants to make sure Council and the Planning Commission are presenting a coordinated message. Planning Commission Chair Geng expressed his agreement with that. Mayor Liz& stated she agreed with Councilmember Hotvet's suggestion to include Tonka Bay parties in the redevelopment discussions. In response to a comment by Attorney Keane, Director Nielsen responded the intent is to incorporate the study findings and recommendations into the Comprehensive Plan. Mayor Lizde thanked everyone for coming to the meeting this evening. 3. ADJOURN Woodruff moved, Geng seconded, Adjourning the City Council and Planning Commission Work Session of August 1, 2011, at 6:47 P.M. Motion passed 9/0. RESPECTFULLY SUBMITTED Christine Freeman, Recorder ATTEST: o vl� t � L'�& Christine Lizee, Mayor