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2019-01-22 City Council Agenda Packet-Adding Crossing Church �1b�rtvi��� SmnO W`a�.n LMn9.019 CRy Ofs. Mayor and Council Request for Action January 11, 2019 SUBJECT: PLANNING-PUD AMENDMENT(ALLOWING FOR HOSPITALITY BUSINESSES TO BE INCLUDED AS AN ACCEPTED LAND USE WITHIN THE EXHIBIT 7 OF THE OUTLETS OF ALBERTVILLE PUD AGREEMENT)AND THE INTRODUCTION OF THE CROSSING CHURCH AS A TENANT ON LOT 1,BLOCK 1 OF THE OUTLETS AT ALBERTVILLE SECOND ADDITION RECOMMENDATION: It is respectfully requested that the Mayor and Council consider the following motions: MOTION TO: Adopt Resolution Number 2019-004 Entitled a Resolution Approving a Pud Amendment To Exhibit 7 of The Outlets at Albertville Second Addition Planned Unit Development Agreement and the Introduction of The The Crossing Church on Lot 1 Block 1 Outlets of Abertville Second Addition Located Within The City of Albertville BACKGROUND: The Planning and Zoning Commission met and held a public hearing on January 8, 2019 to consider PUD Amendment requests of The The Crossing Church. The City of Albertville was approached by The The Crossing Church and the Outlets of Albertville to discuss allowing the church to lease two commercial tenant bays in the Outlets of Albertville Second Addition (The Promenade Mall east of County Road 19). Currently, the list of allowed land uses for this PUD does not include any commercial assembly uses such as conference centers, banquet halls, theaters, etc. as such churches are not allowed within the PUD. In order to accommodate the church's request, the term "Hospitality Business" must be added within the PUD Agreement. Upon review of the staff report and hearing public testimony, the Planning Commission recommended that the City Council approve the PUD Amendment to Exhibit 7 for Lot 1, Block 1 in the Outlets at Albertville Second Addition, allowing for "Hospitality Businesses"to be added to the list of allowed use and approval of the introduction of The Crossing Church based on the narrative and plans dated December 18, 2018 and subject to the conditions outlined in the resolution. KEY ISSUES: • The introduction of Hospitality Businesses to the PUD agreement will expand the range of commercial uses within the Outlet Promenade. This will give the property owner greater flexibility in attracting tenants to this part of the mall. • The PUD Amendment will apply only to the Promenade because the western malls are governed by a separate PUD agreement with its own list of allowed uses. In this respect, the requested amendment is geographically limited. P:ACity Council\Council Packet Infonnation\2019\012219\9-Albertville RCA Crossing Church.docx Meeting Date: January 22,2019 Agenda Page 18 Mayor and Council Request for Action—January 22, 2019 Outlets of Albertville PUD Amendment Page 2 of 2 • The Hospitality Businesses allow for commercial assembly land uses (i.e. conference centers, banquet halls)under RLUAIPA, these assembly uses would also permit a church. • The church wishes to lease two existing tenant bays. They offer Sunday services, Sunday kids ministry, Wednesday night group meetings and periodically fellowship groups and bible studies. • The chosen location within the Promenade Mall is the eastern edge of the northmost building. The location does not consume prime retail space. The site has sufficient parking to accommodate the proposed church. • The introduction of the church to the Promenade Mall will change the building use from a retail use to an assembly use. The building will require a building and fire code review to outline the building modifications required to accommodate this change in building occupancy. Building permits shall be obtained for building modifications. POLICY CONSIDERATIONS: In accordance with State Law,public notice was published, and a public hearing was held by the Planning Commission for the PUD Amendment. The Commission recommended that the City Council approve of the Amendment to the PUD Agreement. FINANCIAL CONSIDERATIONS: There are no significant financial issues related to the PUD Amendment. LEGAL CONSIDERATIONS: In accordance with Council procedures, the Mayor and Council have the authority to approve or deny the PUD Amendment, which requires a majority vote of the City Council and becomes effective upon publication. Respectfully submitted: Alan Brixius , City Planner Department/Responsible Person: Adam Nafstad, City Administrator-PWD Attachments: Resolution No. 2019-004 Planning Report dated January 3, 2019 P:ACity Council\Council Packet Infonnation\2019\012219\9-Albertville RCA Crossing Church.docx Meeting Date:January 22,2019 Agenda Page 19 NORTHWEST ASS ATE'D CONSULTANTS, MC., 16111 4150 Wsoin MeirnoHM liighway, Ste. 320, GoWein Vahley, MN 55422 TeIlep Ism oine- 763.957. 1100 We[)site- www.inac" Ilaininiing.c"oirri PLANNING REPORT TO: Adam Nafstad FROM: Alan Brixius DATE- January 3, 2019 RE- Albertville — Premium Outlet Mall / Crossing Church PUD Amendment FILE NO: 163.06 — 19.01 BACKGROUND Crossing Church and Albertville Premium Outlet Mall have approached the City to discuss allowing the church to lease two commercial tenant bays in the Outlots of Albertville Second Addition (the Promenade east of County Road 19). Currently, the Albertville Premium Outlet Mall is experiencing a high level of tenant vacancies in the Promenade, while the western outlet mall is thriving. In an effort to improve occupancy in the Promenade, the mall owners are open to allow a church as a tenant. Crossing Church currently leases the St Michael Cinema. They are interested in leasing two tenant bays from the Outlet Mall at rent rates more favorable to the church. The City of Albertville recently approved the Samaritan Hill Church in Shoppes at Town Lakes 2nd Addition to the north. Attached for reference: Exhibit A- 2003 Outlets At Albertville Second Addition Uses Exhibit 13- Proposed Church Location Exhibit C- Church Letter Exhibit D- Church Floor Plan 5 Agenda Page 20 Zoning. The Outlet at Albertville Promenade was approved a B-3/PUD district in 2003. This PUD approved the site and building design as well as limited the range of land use within the PUD agreement. The list of allowed land uses is illustrated in Exhibit A of this report. Currently, the list of allowed uses does not include commercial assembly uses such as conference centers, banquet halls, theaters, etc. That would also include church assemblies under the Religious Land Use and Institutionalized Persons Act (RLUAIPA). In the previous Samaritan Hills Church application, the proposed site was zoned B-2A, which allowed hospitality business as a permitted use. Under RLUAIPA, the City found the church to be similar to the allowed commercial assembly uses allowed in the B-2A zoning district and approved the development application. Albertville Premium Outlets is facing increasing vacancies in the Promenade portion of the mall and is looking for options to expand the range of uses for the Promenade. The Outlet Mall and Crossing Church is requesting an amendment to The Outlets at Albertville 2nd Addition PUD agreement to add "Hospitality Businesses" as defined by the Albertville zoning code to the list of permitted businesses allowed in the applicable PUD. In review of this request, we offer the following findings- 1. The introduction of Hospitality Businesses to the PUD agreement will expand the range of commercial uses to the Outlet Promenade. This will give the property owner greater flexibility in attracting tenants to this part of the mall. 2. The amendment will apply only to the Promenade because the western malls are governed by a separate PUD agreement with its own list of allowed uses. In this respect, the requested amendment is geographically limited. 3. The Hospitality Businesses allow for commercial assembly land uses (i.e. conference centers, banquet halls) under RLUAIPA, these assembly uses would also permit a church. 4. The church wishes to lease two existing tenant bays. They offer Sunday services, Sunday kids ministry, Wednesday night group meetings and periodically fellowship groups and bible studies. 5. The chosen location within the promenade mall is the eastern edge of the northmost building. The location does not consume prime retail space. The site has sufficient parking to accommodate the proposed church. 6. The introduction of the church to the Promenade Mall will change the building use from a retail use to an assembly use. The building will require a building and fire code review to outline the building modifications required to accommodate this change in building occupancy. Building permits shall be obtained for all building modifications. 6 Agenda Page 21 CONCLUSION The promenade portion of the Albertville Outlet Mall is struggling to maintain tenant occupancy. The proposed PUD amendment will allow for an expanded range of commercial uses for this property. Through the addition of Hospitality Businesses, the church will be allowed. Based on the aforementioned conditions, staff recommends approval of the PUD amendment to add Hospitality Businesses to the list of allowable uses within the Outlets of Albertville Second Addition. The proposed church is approved under RLUAIPA subject to the following conditions- 1. Approval of the PUD amendment expanding the PUD zoning to include Hospitality Businesses. 2. The church obtains building permits and certificates of occupancy for building modifications needed to accommodate the change of building occupancy from retail to assembly. c: Kim Olson Mike Couri Laurie Summerland Ron Touchette Amy Jones 7 Agenda Page 22 EXHIBIT 7 PERMITTED USES FOR LOT 1, BLOCK 1 OUTLETS AT ALBERTVILLE SECOND ADDITION The following uses shall be allowed on Lot 1, Block 1 of the Outlets at Albertville Second Addition Plat: 1. Antique or gift shop. 2. Art and school supplies. 3. Auto accessory store. 4. Bakery goods and baking of goods for retail sales on the premises. 5. Bath and bedding sales. 6. Books, office supplies or stationary stores. 7. Camera and photographic materials. S. Candy, ice cream, popcorn, nuts, frozen desserts and soft drinks. 9. Carpet, rugs and tile. 10. Coin and philatelic stores. 11. Computers and computer accessories sales and service. 12. Convenience store without gasoline sales. 13. Costume, clothes rental. 14. Delicatessen. 15. Department and discount stores. 16. Drug store. 17. Florist shop. 18. Furniture stores. 19. Furriers when conducted only for retail trade on premises. 20. Garden supply stores. 21. Gift or novelty store. 22. Hobby store. 23. Household appliance sales and repair. 24. Jewelry stores. 25. Kitchenware sales. 26. Leather goods and luggage stores. 27. Paint and wallpaper sales. 28. Record-music shops. 29. Restaurants and on and off-sale liquor. 30. Sewing machine sales and service. 31. Shoe stores. 32. Sports and exercise equipment sales. 33. Wearing apparel and clothing stores. Exhibit A AgendaVage 23 No overnight storage or display shall be allowed outside any building for any of the uses listed on this exhibit. Agenda�Page 24 a U � I r a Exhibit Agendas Page 25 f e r December, 18, 2018 City of Albertville, MN Mr. Alan Brixius City Planner 5959 Main Ave NE Albertville, MN 55301 RE: Crossing Church Use Permit Application Dear Community of Albertville, The Crossing Church is an outreach church affiliated with C3 Global, The Champions Network, and Converge. We currently have churches in Zimmerman, Elk River, St. Michael, St. Cloud, St. Paul, Milaca, Becker, and Minneapolis.We believe in loving people where they are in life; helping them experience the love, hope, and grace of,Jesus. The mission of The Crossing Church is to help as many people as divinely possible cross to the line of faith and follow Jesus.We achieve this mission in part through reachable Church locations and opportunities situated right in the middle of the communities that we serve.We are blessed to be able to deliver Church opportunities for people that dara"t do Church! The St Michael congregation today consists of a passionate group of 75.100 area residents. For the past 3 years we have been meeting in a temporary space, setting up and tearing down each week at the St Michael Cinema for our regular 10am Sunday morning service. In addition we have a small group bible study that meets in an area meeting roam Wednesdays at 5:30pm. We hope to relocate to the Albertville premium outlet mall location, providing us with a more stable location to call home and continue to serve our community. At the new location The Crossing Church plans to continue our current Sunday morning 10 am worship service, as well as the Wednesday evening small group meeting. In addition, on Sunday mornings we will be providing programming for our Kids Ministry (Sunday School)concurrent with services. It is possible that we would add small fellowship groups or bible studies from time to time, these would typically be held evenings mid-week, allowing and encouraging our congregants to grow in their faith.. Exhibit Agendas Page 26 Our hope is to help people in our community find freedom in Christ, soar to new levels in faith and life, and to find help and support to conquer any hurt, habit, or personal challenge that may be holding them down! God bless. Pastor Ben Saffrn Agendas Page 27 ............ G 0 m to x 3 r- m 0 K co 4WIM NI 311 Ol aBAOVIBN 38 01 ll%fM 5NIISIX3/`,/',/,'-,—,l' Agendas Page 28 EXhibit D CITY OF ALBERTVILLE COUNTY OF WRIGHT STATE OF MINNESOTA RESOLUTION NO. 2019-004 RESOLUTION APPROVING A PUD AMENDMENT TO EXHIBIT 7 OF THE OUTLETS AT ALBERTVILLE SECOND ADDITION PLANNED UNIT DEVELOPMENT AGREEMENT AND THE INTRODUCTION OF CROSSING CHURCH ON LOT 1 BLOCK 1 OUTLETS OF ABERTVILLE SECOND ADDITION LOCATED WITHIN THE CITY OF ALBERTVILLE WHEREAS, Crossing Church and Outlets of Albertville have made application to the City to amend the Outlets of Albertville 2nd Addition Planned Unit Development Agreement list of allowed uses within the Promenade portion of the Outlet Mall to include "Hospitality Businesses"to expand the range of uses for this portion of the Outlet Mall and to allow for a Church tenant under the federal Religious Land Use And Institutionalized Persons Act (RLUAIPA) ;and WHEREAS, City Staff has reviewed the requested PUD Amendment and prepared a planning report dated January 3, 2019; and WHEREAS, the Albertville Planning and Zoning Commission met and held a public hearing on January 8, 2019, to consider the PUD amendment; and WHEREAS, upon considering the PUD Amendment, the January 3, 2019 planning report, and public testimony the Planning Commission closed the public hearing and recommended that the City Council approve the PUD amendment on a vote of 5 to 0 with conditions of the January 3, 2019 planning report as amended by the Planning Commission; and WHEREAS,the Albertville City Council met on January 22, 2019 to consider the PUD Amendment; and WHEREAS,the Albertville City Council has received The Crossing Church's Permit application materials including staff review documents; the Planning Commission recommendation; and agrees with the findings and recommendations of the Planning Commission and the January 3, 2019 planning report. NOW, THEREFORE BE IT RESOLVED, that the City Council of Albertville, Minnesota hereby approves the PUD Amendment to add Hospitality Businesses to the list of allowed uses on Exhibit 7 of the Outlets of Albertville 2nd Addition Planned Unit Development Agreement as an acceptable land use for Lot 1, Block 1 of the Outlets at Albertville Second Addition and the introduction of the Crossing Church into this portion of the Albertville Outlet Mall per the plans and Church narrative dated December 18, 2018 subject to the following conditions. Agenda Page 29 City of Albertville,MN Resolution No.2019-004 Meeting of January 22,2019 Page 2 1. The applicant obtains building permits and certificates of occupancy for building modifications needed to accommodate the change of building occupancy from retail to assembly. 2. The Church direct the congregation to park and exit the site via the Outlet Mall curb cut south of the Outlet Mall building Adopted by the Albertville City Council this 22°d Day of January, 2019. Jillian Hendrickson, Mayor Attest: Kimberly A. Hodena, City Clerk Agenda Page 30