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Planning Commission Minutes 04-26-2004 (Special Meeting) . . . MINUTES SPEICAL MEETING - MONTICELLO PLANNING COMMISSION Monday, April 26th, 2004 6:00 P.M. Members Present: Chairman Diek Frie, Lloyd Hilgart, Rieh Carlson, Council Liaison Glen Posusta Rod Dragsten, David Reitveld Fred Patch, Angela Schumann, Steve Grittman - NAC, Matt Brokl- Cambell Knutson Howard Triggs - Trison Development (developer of property), Rod Just - Tiffany Realty (realtor for property), Chris Long - Tiffany Realty (realtor for property), Terry Long - Key Land Homes (builder for property) Absent: Staff: Guests: 1. Call to order. Chairman Frie called the meeting to order at 6:00 P.M., and declared a quorum. Frie noted the absence of City Planner Steve Grittman, Deputy Administrator/Community Development Director Jeff O'Neill and Commissioner Rod Dragsten. Chairman Frie made the notation that there was only one item on the agenda for the special meeting, indicating that it is not a public hearing. 2. Consideration of a request for an amendment to an existing planned unit development agreement for Hillside Farm. Applicant: Trison Development Chairman Frie asked staff to provide a clarification on what had been approved by the Commission and what had been advanced and approved by the CounciL Frie asked if any alterations of the conditions approved differed from the existing planned unit development. Brokl indicated that the reason for the amendment was unclear language within the development agreement, which included specific rules which were to apply to the PUD. Brokl stated that only those RI-A standards that deviated from the normal R-IA zoning designation were listed. These were identified to serve as examples. However, due to gray area in the way the agreement was written, the developer took the statement to mean that only those standards listed were to apply. As such, the developer is seeking an amendment to clarifY the language in the agreement, which would allow deviation from R-IA standards regarding to the minimum square footage required for foundations. Brokl stated that it had been the City's intent to apply the R- I A standards for foundation size to this development. Planning Commission Minutes - 04/06/04 . Prie noted that Grittman had indicated that this development consisted ofR-lA houses on R-I lots. Patch related that the Planning Commission had agreed to allow R-llots areas with R-IA houses in this development, which was zoned R-l. Patch stated that the first building permit had been issued based on the question of the interpretation of the development agreement. Patch indicated that the City had sought the RI-A standard in this development to produce a higher value product. Patch stated that the staff recommendation agrees with accommodating a reduction in foundation size from 1400 square feet to allow for a required 2000 square foot finished space above grade. Patch commented that in reviewing square footages in various housing styles and accounting for the large number of walk-out and look-outs home lots, at least 75% of homes would end up with more than 2000 finished square feet. Patch indicated that the planning staff recommended a base home price of$325,000, which he and the City Attorney do not necessarily agree with. Prie asked if either of the two homes currently on the plat are 1400 square foot in foundation size and whether they would meet the finished size recommendation. Chris Long, Tiffany Realty representative, indicated that both homes were approximately 3000 total finishable square feet. . After visiting with a representative from Tiffany Realty and visiting the site himself, Prie stated that he personally agrees that a step-up housing option is accommodated in this development. Friealso stated that he doesn't agree with the $325,000 starting home price recommendation, although he does expect a $250,000-$300,000 range for homes in the development. Frie asked Long if he is receptive to that range. Long indicated that most are in that range or above. Howard Triggs, Trison Development, referred to the materials on MLS home listings provided to the Commission. Triggs indicated that the issue of creating higher value housing is best accomplished by addressing above grade finished footage and housing style rather than foundation size. Posusta asked for clarification of what was currently being built in Monticello based on the information Triggs had provided. Triggs clarified that in the packet, fewer than a dozen two-story homes fitting 2000 or more finished square feet are in Monticello. . Carlson cited other examples of large two-stories on small lots that are in a higher price range. Rod lust, representative of Tiffany Realty, indicated many of the higher priced homes reflect higher land costs. Carlson stated that he doesn't believe $250,000 in an R-IA district represents the jump to the higher end homes that were the goal of the designation. -2- Planning Commission Minutes - 04/06/04 . Frie inquired how the ordinance language for the R-1A district was developed and questioned why the issue was coming up. Grittman clarified that this project is different because the plat was in process when the R-1A zoning was being developed. The original developer had indicated that higher end homes would be developed on this property. At the point that Trison Development had acquired the property, the City was closer to finalizing the R -1 A standards. The City agreed to the R-1 designation for the lots and R-1A standards for the housing. Grittman stated that this could potentially cause problems as larger width homes may not fit the smaller lots. Grittman stated that the cost threshold was introduced in order to accommodate a compromise in the home size and was an attempt to preserve higher amenity spots for high end homes. The City had developed the R-1A standard with the understanding that it might not hit today's market, but would wait for the market to come to it. Carlson agreed with Grittman in his finding that large homes are being built on smaller lots. It does presents a challenge, but it also presents more of a neighborhood concept. Posusta indicated that perhaps the reason for this is again the land cost; smaller lots are a trade-off for greater or better amenities. . Triggs indicated that he does not want to size lots small; he stated that he is trying to accommodate the 80- foot lot size. Hilgart expressed that he would prefer an 1100 square foot home as a minimum, based on the type of homes that he sees are needed within the community. Terry Long, Key Land Homes, indicated that the home plans in the Key Land portfolio that would fit the 1400 square foot foundation requirement were actually smaller homes. The large two-story homes in the portfolio didn't meet the 1400 minimum. Discussion commenced regarding the merits of setting a starting home value. Patch recommended looking at all the R -1 A standards and their application. If all other standards are applied, with the exception of lot area, setbacks and the accommodation to above-grade finished area, they can assist in producing an R-1A style development. . Posusta indicated that perhaps 1100 is even too small. He commented that the homes illustrated in the packet contain relatively small living areas. He stated that the Commission and Council considered this matter very carefully in setting the design standards. Posusta said that this had been in response to builders who started with high value and went cheap. Triggs stated he would hopefully do the opposite. Triggs also indicated that as the development is happening in four phases, the City can stop the development process if the builders deviate from what is decided. Frie noted that should the developer and/or builder not meet the standards of the amended PUD, they -3- . . . Planning Commission Minutes - 04/06/04 will not be allowed to proceed with the development process. (Last statement added per amendment - 5/4103.) Patch indicated that the motion should be subject to modification to the written development agreement. Brokl suggested that the motion should indicate that all R- IA standards should apply with the exception of the building footprint for two-stories and modified two-story homes with basements, which shall be in the amount of 1100 mInImUm. Frie questioned whether Posusta is comfortable with this recommendation, as it will relate to the Council discussion. Posusta stated that he does understand the builder's concern over size requirement and the modifications that can be completed to increase values. A MOTION WAS MADE BY CARLSON TO APPROVE AN AMENDMENT PERMITTING ONLY THOSE TWO-STORY AND TWO-STORY MODIFIED HOMES IN HILLSIDE FARM PLAT MEETING THE REQUIREMENT OF 2200 SQUARE FOOT FINISHED MINIMUM SPACE ABOVE GRADE, 1100 SQUARE FOOT FOOTPRINTS (FOUNDATION SIZE), WITH A FULL BASEMENT; OR THOSE HOMES IN ACCORDANCE WITH THE R-IA DISTRICT STANDARDS. R-l LOT AREA AND SETBACK STANDARDS WILL BE APPLIED. ALL OTHER R-IA ZONING DISTRICT STANDARDS WILL APPLY TO HILLSIDE FARM PLAT. THIS AMENDMENT IS SUBJECT TO WRITTEN AGREEMENT BETWEEN THE DEVELOPER AND THE CITY. MOTION SECONDED BY HILGART. MOTION CARRIED. II. Adiourn MOTION BY CARLSON TO ADJOURN AT 9:00 PM. MOTION SECONDED BY FRIE. MOTION CARRIED UNANIMOUSLY. -4-