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Powers Crossing Professional Center Preliminary Plat Extension0 CITY OF CHANHASSEN 7700 Market Boulevard PC Box 147 Chanhassen, MN 55317 Administration Phone: 952.227.1100 Fax: 952.2271110 Building Inspections Phone: 952.227.1180 Fax: 952.227.1190 Engineering Phone: 952.227.1160 Fax: 952.227.1170 Finance Phone: 952.227.1140 Fax: 952.227.1110 Park & Recreation Phone: 952.227.1120 Fax: 952.227.1110 Recreation Center 2310 Coulter Boulevard Phone: 952.227.1400 Fax: 952.227.1404 Planning & Natural Resources Phone: 952.227.1130 Fax: 952.227.1110 Public Works 1591 Park Road Phone: 952.227.1300 Fax: 952.227.1310 Senior Center Phone: 952.227.1125 Fax: 952.227.1110 MEMORANDUM TO: Todd Gerhardt, City Manager FROM: Bob Generous, Senior Planner DATE: May 24, 2010 ow SUBJ: Powers Crossing Professional Center Planning Case #09 -06 le, PROPOSED MOTION "The Chanhassen City Council approves a one -year extension until May 26, 2011 for the preliminary plat and development approvals for Powers Crossing Professional Center, Planning Case #09 -06." City Council approval requires a majority vote of City Council. EXECUTIVE SUMMARY The developer, United Properties, is requesting a one -year extension of the preliminary plat for Powers Crossing Professional Center to May 26, 2011. The extension is necessary due to the current depressed market conditions for development and construction. The project is located at the southeast corner of Powers Boulevard and US Highway 212. Web Site Section 18 -41 of the Chanhassen City Code requires that the subdivider request final wwaci.chanhassen.mn.us plat approval within one year of the preliminary plat approval unless a request, in writing, is submitted to the City requesting for good cause for an extension of the preliminary plat. Staff can attest to the slowdown in the development market due to the existing economic conditions. Chanhassen is a Community for Life - Providing for Today and Planning for Tomorrow Todd Gerhardt Powers Crossing Professional Center May 24, 2010 Page 2 of 3 The City and developer worked diligently to create a well - designed project. This project is the linchpin for the rest of development in the 2010 Metropolitan Urban Service Area due to the location of a future sanitary sewer lift station at Powers Boulevard and the future east -west road. The schematic to the right represents a concept for development of this area. There have been no amendments to the City Code that would adversely affect the conditions of approval for the Powers Crossing Professional Center development. All the conditions of approval shall remain in force for the development. All fees were specified as those in effect at the time of final plat approval. Staff is recommending approval of the applicant's request for a one -year extension to May 26, 2011. BACKGROUND On May 26, 2009, the Chanhassen City Council approved the following: A. Rezoning of Lot 1, Block 1, from Agricultural Estate District, A2, to Office & Institutional District, Ol." Please note that the rezoning of the parcel is only effective with the final platting of the subdivision. B. Conditional Use Permit with Variances to encroach into the primary zone and required buffer for development in the Bluff Creek Corridor. C. Subdivision (Preliminary Plat) creating one lot, two outlots and dedication of public right - of -way, plans prepared by Westwood Professional Services, Inc., dated April 1, 2009. < I I � < f y P I lT !1 J I _ f ) }� I I I I yf•M % . Todd Gerhardt Powers Crossing Professional Center May 24, 2010 Page 3 of 3 D. Site Plan with Variances for building height and Bluff Creek Primary Zone setbacks for Planning Case #08 -16, for a two - phase, three- story, 160,000 square - foot professional office building, and up to a 731- stall, five -level parking ramp on Lot 1, Block 1 of the development, plans prepared by Pope Associates, Inc. and Westwood Professional Services, Inc., dated April 1, 2009. and E. A sign size Variance request to permit an eight (8) foot tall sign with up to 64 square feet of sign display area. RECOMMENDATION Staff recommends adoption of the following motion: "The Chanhassen City Council approves a one -year extension until May 26, 2011 for the preliminary plat and other development approvals for Powers Crossing Professional Center, Planning Case #09 -06." ATTACHMENTS 1. Letter from William P. Katter to Robert Generous dated May 4, 2010. 2. Letter from Robert Generous to Bill Katter dated June 5, 2009. gAplan\2009 planning cases \09-06 powers crossing professional center \extension memo preliminary plat 2010.doc Mt 4 UNITED PROPERTIES May 4, 2010 Mr. Robert Generous, AICP City of Chanhassen 7700 Market Boulevard PO Box 147 Chanhassen, MN 55317 RECEIVED MAY 5 - 2010 Re: Powers Crossing Professional Center CITY OF CHANHASSEN Dear Mr. Generous: This letter is written to request an extension of our preliminary plat approval for the captioned project. Currently, there is insufficient market demand for the project, and in general, new development remains non - feasible given significant vacancy rates and lack of available financing for projects. United Properties continues to pursue healthcare and other professional office users for the site and if we are able to identify an anchor for the project, we will then request final plat approval. We will keep the City apprised of any improvement in market conditions. We would greatly appreciate the City working with us to effect this extension. Sincere William P. Katter Sr. Vice President United Properties cc: Timothy Erhart 3500 American Blvd. W. Suite 200 Minneapolis, MN 55431 T 952.835.5300 F 952.893.8206 uproperties.com 4 CITY OF CHAMSEN 7700 Market Boulevard PO Box 147 Chanhassen, MN 55317 Administration Phone: 952.227.1100 Fax: 952.227.1110 Building Inspections Phone: 952.227.1180 Fax: 952.227.1190 Engineering Phone: 952.227.1160 Fax: 952.227,1170 Finance Phone: 952.227.1140 Fax: 952.227.1110 Park & Recreation Phone: 952.227.1120 Fax: 952.227,1110 Recreation Center 2310 Coulter Boulevard Phone: 952.227.1400 Fax: 952.227:1404 Planning & Natural Resources Phone: 952.227.1130 Fax: 952.227.1110 Public Works 1591 Park Road Phone: 952.227.1300 Fax: 952.227.1310 Senior Center Phone: 952.227.1125 Fax: 952.227.1110 Web Site www.d.chanhassen.mn.us June 5, 2009 Mr. Bill Katter United Properties, LLC 3500 American Boulevard West Minneapolis, MN 55431 . Re: Powers Crossing Professional Center — Planning Case #09 -06 Dear Mr. Katter: This letter is to confirm that on May 26, 2009, the Chanhassen City Council approved the following: A. "Rezoning of Lot 1, Block 1, from Agricultural Estate District, A2, to Office & Institutional District, OI." Please note that the rezoning of the parcel is only effective with the final platting of the subdivision. B. "Conditional Use Permit with Variances to encroach into the primary zone and required buffer for development in the Bluff Creek Corridor; subject to the following conditions: 1. The property line may be revised to incorporate the reconveyed property from MnDOT to the developer. 2. The developer shall is encouraged to meet design and construction standards that would lead to, at a minimum, certification by the Leadership in Energy and Environmental Design (LEED) Green Building Rating System by the U.S. Green Building Council, or comply with the Minnesota Sustainable Building Guidelines (MSBG). 3. To mitigate for the effects of development within the primary corridor, the developer should be required encouraged to meet green construction standards for the whole site. 4. All openings created in the wooded areas on the east and south sides of the development shall be reforested with native tree species. Planting stock sizes may be variable. Species selected must be from the Bluff Creek Management Plan native plant list. These areas shall not be mowed or managed as turf areas. Chanhassen is a Community for Life • Providing for Today and Planning for Tomorrow Mr. Bill Katter Powers Crossing Professional Center June 5, 2009 Page 2 of 11 5. Evaluate other site designs, stormwater management techniques and low- impact development practices for their benefit in reducing impacts to the primary and secondary zones of the Bluff Creek Overlay District. 6. Reforest those areas disturbed to grade the site but do not have structures on them. The reforestation should be done with deciduous tree species representative of the existing species composition. The forested areas are dominated by bur oak. 7. Maintain the natural drainage patterns. 8. The applicant must clearly illustrate how impacts to the primary zone are to be mitigated. This mitigation must consider all benefits derived from the primary zone as described in Article XXXI of the Chanhassen City Code. 9. The area east of Lot 1 within Outlot A within the primary corridor of Bluff Creek shall be covered by a conservation easement. This easement shall restrict activities within the area and prohibit any development. The City shall have final approval of the easement restrictions. Any wetland mitigation activities that are required within this area shall have final approval by City staff. No additional activities shall be allowed within this area and access to the mitigation site shall be the existing path. 10. The wooded areas of Lot 1 and Outlot B within the Bluff Creek primary zone shall be covered by a conservation easement that restricts specific activities and prohibits any further development within the area." C. "Subdivision (Preliminary Plat) creating one lot, two outlots and dedication of public right - of -way, plans prepared by Westwood Professional Services, Inc., dated April 1, 2009, subject to the following conditions: The developer shall either dedicate /donate an Outlot or record a conservation easement containing the Bluff Creek Primary zone north of the road right -of -way in Outlot A. This area of Outlot A is undevelopable and the land within the conservation easement could not be used in future phases for density transfer purposes. A conservation easement shall be recorded over the Bluff Creek Primary zone located within Lot 1 and Outlot B. This easement shall restrict activities within the area and prohibit any development. The City shall have final approval of the easement restrictions. The easement shall be recorded Mr. Bill Katter Powers Crossing Professional Center June 5, 2009 Page 3 of 11 with the first phase of the development. 2. Submit proposed names for street labeled "Access Road" on plans for approval. 3. The drainage report and plans must be revised to address comments from MnDOT. 4. The applicant must obtain a MnDOT drainage permit. 5. The drainage report and plans must be modified so that the peak discharge rate to the off - site wetland does not increase under fully developed conditions. 6. The plans must be revised to provide either an overland emergency overflow or an additional outlet control structure at a higher elevation. 7. The developer must submit a letter from an engineer stating that the retaining wall east of the building can accommodate temporary ponding behind the wall. 8. The alignment of the bypass storm sewer pipe must be redesigned to eliminate excess cover over the pipe. 9. If MnDOT allows a connection to the Highway 212 storm pipe, then show the existing pipe on the plan sheets. 10. Building permits are required for retaining walls four feet tall or higher and must be designed by a Structural Engineer registered in the State of Minnesota. 11. A manhole must be installed at the terminus of the sanitary sewer. 12. All sanitary sewer and watermain within Lot 1, Block 1 shall be privately owned and maintained. 13. The storm sewer that will convey runoff from the drainageway to the east of the property shall also be privately owned and maintained, including those portions that lie within public right -of -way and the City owned outlot. 14. The 20 -foot wide drainage and utility easement shown on the preliminary plat over this storm sewer must be deleted. Mr. Bill Katter Powers Crossing Professional Center June 5, 2009 Page 4 of 11 15. Delete the 20 -foot wide drainage and utility easement for the future watermain. 16. Provide a temporary blanket drainage and utility easement — or similar mechanism acceptable to the City - over the proposed forcemain corridor. The temporary easement shall not encroach into the building envelope as shown on the site plan. 17. A permanent 20 -foot wide easement will be required over the final forcemain alignment. 18. Each new lot will be subject to the sanitary sewer and water hookup charges. These fees will be collected with the building permit, subject to the rates in effect at the time of building permit, and shall be based on the Metropolitan Council Environmental Services' SAC unit determination. 19. All of the utility improvements are required to be constructed in accordance with the City's latest edition of Standard Specifications and Detail Plates. The applicant is also required to enter into a development contract with the City and supply the necessary financial security in the form of a letter of credit or cash escrow to guarantee installation of the improvements and the conditions of final plat approval. 20. All public utility improvements will require a preconstruction meeting before building permit issuance. Permits from the appropriate regulatory agencies will be required, including the MPCA, Department of Health, Carver County and Watershed District. 21. Upon project completion as -built drawings must be submitted for the private utilities. 22. The developer must ensure that all traffic study data is provided to Carver County for their review and must incorporate Carver County and MNDOT's comments into the plan. 23. An updated traffic study must be submitted with Phase 2 improvements. Powers Crossing's financial obligations with respect to the signal installation will be determined at that time and incorporated into the Site Plan Agreement for Phase 2. 24. A temporary roadway, drainage and utility easement must be provided over the cul -de- sac at the east end of the access road. 25. This property is subject to the Arterial Collector Fee which is $3,600 per developable acre. The acreage used in this calculation shall include the right -of -way turnback from Mr. Bill Katter Powers Crossing Professional Center June 5, 2009 Page 5 of 11 both Highway 212 and Powers Boulevard. This fee shall be paid in cash with the final plat 26. The RIM and Flowage Easements need to be indicated on the plat. This should include the document number 10- 05 -87 -1. 27. The wetland mitigation area in Outlot A needs to be created. A Declaration of Restrictions and Covenants needs to be executed and recorded with Carver County. This document number needs to be included on the plat. 28. The remaining conditions of approval for WAP #2006 -32 need to be met: a. The plans shall be revised to show how M -1 will be accessed. The access route shall be stable, shall avoid damage to significant trees (greater than 10" DBH) and shall avoid impacts to natural drainageways and any jurisdictional wetlands that may exist on site that were not delineated by Westwood Professional Services in August 2006. b. A planting plan for M -1, including invasive vegetation management techniques, species to be planted, proposed planting rates, and the approach to upland buffer restoration, shall be submitted prior to final City Council approval. c. The applicant shall submit a letter of credit equal to 110% of the cost of the wetland creation (including grading and seeding) to ensure the design standards for the replacement wetland are met. The letter of credit shall be effective for no less than five years from the date of final plat approval. The applicant shall submit a cost estimate for wetland creation (including grading and seeding) so the City can calculate the amount of the wetland creation letter of credit. d. A five -year wetland replacement monitoring plan shall be submitted. The replacement monitoring plan shall include a detailed management plan for invasive non - native species, particularly hybrid cattail, purple loosestrife and reed canary grass. The plans shall show fixed photo monitoring points for the replacement wetland. The applicant shall provide proof of recording of a Declaration of Restrictions and Covenants for Replacement Wetland. 29. The legal wetland boundary of the RIM wetland was not delineated in the Westwood Wetland Delineation Report dated August of 2006. This boundary must be delineated and wetland impacts avoided where possible. Mr. Bill Katter Powers Crossing Professional Center June 5, 2009 Page 6 of 11 30. Because of the perpetual RIM and flowage easements the plans must be provided to the Natural Resources Conservation Service for review and comment. Any comments from the NRCS must be made available to the City. 31. Drainage to the RIM wetland from the south flows through a defined swale. The conveyance of this flow must be maintained under the proposed road extension. 32. Erosion Control plan needs to be updated per the July comments: a. Show a 75 -foot rock construction entrance. b. Show rounding of corners for proposed grades. c. Erosion control blanket shall be shown on all slopes east of the proposed building and adjacent to the pond. d. An NPDES permit must be obtained prior to any site grading and a SWPPP must be provided to the City for review and comment. e. Replace MnDOT 340 mix with a modified BWSR U7 seed mix. 33. Estimated SWMP fees due at the time of final plat are $271,506.20. 34. The development must comply with Carver Soil and Water Conservation District comments. 35. All openings created in the wooded areas on the east and south sides of the development shall be reforested with native tree species. Planting stock sizes may be variable. Species selected must be from the Bluff Creek Management Plan native plant list. These areas shall not be mowed or managed as turf areas. 36. The following practices are required in order to insure the best chance of survival for the highlighted oaks to be preserved along the east side of the development: a. Understory trees near the oaks shall be preserved. b. Roots at the grading limits shall be cut cleanly with a trencher or vibratory plow. c. Tree preservation fencing shall be installed prior to any grading. d. Trees shall be thoroughly watered during dry periods. 37. The applicant shall install a second tier to the retaining wall at the north end of the east side of the development to preserve the grade surrounding the oaks proposed to be saved. Mr. Bill Katter Powers Crossing Professional Center June 5, 2009 Page 7 of 11 38. Tree preservation fence shall be installed at the edge of the grading limits prior to any construction. Fencing shall be in place and maintained until all construction is completed. 39. Any trees removed in excess of proposed tree preservation plans, dated 10/06/08, will be replaced at a ratio of 2:1 diameter inches. 40. All trees removed shall be chipped or hauled off site. No burning permits shall be issued. 41. The developer shall pay the full park dedication fee in force at the time of final plat approval and prior to recording. 42. Construction of the 10 -ft. wide bituminous access road trail and the North Trail. The North Trail plans shall be modified dedicating a permanent 20 -foot wide trail easement to allow for appropriate separation from adjoining improvements and boulevard areas for winter plowing, snow storage and aesthetics. 43. Dedication of a permanent triangular shaped trail easement at the South East corner of Lot 1, Block 1. The triangle shall be 50' in length on its South side and 200' in length on its East side. 44. The developer shall finance the cost or a portion of the 2010 MUSA trunk lift station and enter into an agreement with the City for repayment at the time of final plat." D. "Site Plan with Variances for building height and Bluff Creek Primary Zone setbacks for Planning Case #08 -16, for a two - phase, three - story, 160,000 square -foot professional office building, and up to a 731- stall, five -level parking ramp on Lot 1, Block 1 of the development, plans prepared by Pope Associates, Inc. and Westwood Professional Services, Inc., dated April 1, 2009, subject to the following conditions: 1. The final plat for the development shall be recorded prior to the issuance of a building permit. 2. The full buildout is predicated upon a tumback to the land owner of MnDOT right -of- way. In the event that this tumback does not occur, the applicant may build a four -story building totaling 112,000 square feet subject to parking compliance with City Code. Mr. Bill Katter Powers Crossing Professional Center June 5, 2009 Page 8 of 11 3. The developer is encouraged to meet design and construction standards that would lead to, at a minimum, certification by the Leadership in Energy and Environmental Design (LEED) Green Building Rating System by the U.S. Green Building Council, or comply with the Minnesota Sustainable Building Guidelines, MSBG. 4. The developer shall continue the architectural detailing through the use of the three brick colors as well as the use of stone and metal on the garage structure. 5. The developer shall provide secure bicycle racks and/or storage (within 200 yards of a building entrance) for 5% or more of all building users (measured at peak periods), and provide shower and changing facilities in the building. The developer should also provide benches throughout the site as well as tables and chairs in the patio area. 6. The buildings are required to have an automatic fire extinguishing system. 7. The plans must be prepared and signed by design professionals licensed in the State of Minnesota. Accessible routes must be provided between commercial building(s), parking facilities and public transportation stops. 9. All parking areas, including parking structure, must be provided with accessible parking. 10. The developer shall comply with the minimum parking setback requirement and install appropriate berming and or landscaping to allow the 10 feet setback. 11. Retaining walls over four feet high must be designed by a professional engineer and a permit must be obtained prior to construction. 12. All openings created in the wooded areas on the east and south sides of the development shall be reforested with native tree species. Planting stock sizes may be variable. Species selected must be from the Bluff Creek Management Plan native plant list. These areas shall not be mowed or managed as turf areas. 13. The applicant shall install a second tier to the retaining wall at the north end of the east side of the development to preserve the grade surrounding the oaks proposed to be saved. Mr. Bill Katter Powers Crossing Professional Center June 5, 2009 Page 9 of 11 14. The applicant does not meet required landscape quantities for parking lot trees and islands /peninsulas in both phases. The applicant must meet minimum requirements for parking lot trees and landscape islands /peninsulas. 15. Phase I: The applicant does not meet minimum requirements for either of the bufferyard areas. The applicant shall revise the landscape plan to meet minimum requirements. 16. Phase H: The applicant does not meet the minimum requirements for bufferyard areas. The applicant shall increase the plantings to meet minimum requirements. 17. The applicant must replace the Colorado spruce with other approved species in the plant schedule. 18. All transplanted materials must be pre- approved by the City. Transplanted trees will not be accepted if substituted without City approval. If approved for transplanting, the material must be warranted for a minimum of one year. If transplanted materials die, they must be replaced with nursery stock. 19. Tree preservation fence shall be installed at the edge of the grading limits prior to any construction. Fencing shall be in place and maintained until all construction is completed. 20. Any trees removed in excess of proposed tree preservation plans, dated 04/01/09, will be replaced at a ratio of 2:1 diameter inches. 21. All trees removed shall be chipped or hauled off site. No burning permits shall be issued. 22. The North Trail plans or parking lot design shall be modified to allow for appropriate boulevard areas for winter plowing, snow storage and aesthetics. 23. A Moot clear space must be maintained around fire hydrants, and nothing shall be placed in front of the hydrant outlets, connections, fire protection control valves that would interfere with fire fighter operations. Section 508.5 M. Fire Code and Sec. 508.5.4. 24. No burning permits shall be issued for trees to be removed. Trees and shrubs must be removed or chipped on site. Mr. Bill Katter Powers Crossing Professional Center June 5, 2009 Page 10 of 11 25. Contact the Chanhassen Fire Marshal for locations of "No Parking Fire Lane" signage, and locations of curbing to be painted yellow. MN Fire Code Sec. 503.3. 26. Fire apparatus access roads and water supply for fire protection is required to be installed. Such protection shall be installed and made serviceable prior to and during the time of construction except when approved alternate methods of protection are provided. MSFC sec 501.4. 27. Fire apparatus access roads .shall be designed and maintained to support the imposed loads of fire apparatus and shall be serviced so as to provide all- weather driving capabilities. MSFC Sec. 503.2.3. 28. Due to the unknown timeframe associated with the signal installation, an updated traffic study must be submitted with Phase 2 improvements. Powers Crossing's financial obligations with respect to the signal installation will be determined at that time and incorporated into the Site Plan Agreement for Phase 2." and E. "A sign size Variance request to permit an eight (8) foot tall sign with up to 64 square feet of sign display area, subject to the following conditions: 1. Separate sign permits shall be required for each sign. 2. The development name in the monument sign shall be individual dimensioned letters with a minimum 1 /2-inch projection. 3. Only one monument sign shall be permitted for the Powers Crossing Professional Center site. 4. The sign height for the directional signs shall be reduced to five feet. The display area for sign #2 shall be reduced to four square feet. 5. The sign location shall meet all setback and site triangle requirements." Mr. Bill Katter Powers Crossing Professional Center June 5, 2009 Page 11 of 11 Final plat documents must be submitted to the City 30 days prior to the City Council meeting in which you wish to have your final plat approved. Conditions of the preliminary plat approval must be addressed for final plat approval. Enclosed is the list of items required for submittal for final plat approval. Also enclosed is a site plan agreement that must be executed by United Properties. Note that if there is a different property owner and/or mortgage holder on the property, they will need to sign the consent(s) at the end of the agreement. Return the agreement to me for City execution and recording at Carver County within 120 days of the final plat approval. The required security specified in the site plan agreement ($5,000.00) shall be submitted prior to the City issuing a building permit. A copy of the executed agreement will be returned for your files. The City may not issue a building permit for this project until the final plat documents and all required fees and security have been executed and submitted to the City. If you have any questions or need additional information, please contact me at (952) 227 -1131 or bgenerous@ci.chanhassen.mn.us Sincerely. Robert Generous, AICP Senior Planner ec: Kate Aanenson, Community Development Director Alyson Fauske, Assistant City Engineer Todd Gerhardt, City Manager Terry Jeffery, Water Resources Coordinator c: Timothy A. & Dawne M. Erhart 9611 Meadowlark Lane Chanhassen, MN 55317 Enclosures g:\plan\2009 planning cases \09 -06 powers crossing professional center\approval letter.doc