Loading...
HomeMy WebLinkAbout6.b. Update on Muller Family Theaters � � CITY OF ROSEMODNT . EXECIITIVE SUb�iARY FOR ACTION PORT AUTHORITY MEETING DATE: DECEMBER 7, 1993 AGENDA ITEM: UPDATE ON MULLER FAMILY THEATERS AGENDA SECTION: CONSULTANT/STAFF REPORTS PREPARED BY: JOHN MILLER, AGENDA NO. ECONOMIC DEVELOPMENT COORDINATOR 6.B. ATTACFIl�lENTSs DRAFT SITE PLAN, MEMO FROM OVED BY: JOHN MILLER Some of the commissioners have asked for updates on the Muller Theater project and, especially commissioner Carroll, have asked that the board members be permitted a more hands-on role in this project. In this regard, the attached memorandum provides a review of the project and lists several issues the commissioners may want to address. i RECO�NDZ�D ACTION: Discussion item. Commissioner's prerogative. PORT AIITHORITY ACTION: - � MEMO TO: Chair Dunn Commissioners Anderson, Carroll, Edwards, McMenomy, Sinnwell, Wippermann FROM: John Miller, Economic Development Coordinator DATE: December 2, 1993 RE: Review of Muller Theater Progress and Unresolved Issues Some of the commissioners have indicated a desire for expanded updates on the progress of Muller Family Theaters, Inc. in building a ten screen theater in Rosemount. In addition, there has been discussion that the board members should have a more hands-on role in the projects evolution. In this regard, let me advise you that the city council will be taking action on two items necessary for the project to proceed at its first December meeting. These are the: 1. Preliminary business park plat. 2. Zoning ordinance amendment establishing the business park zoning d.istrict with theaters as a permitted use. In visiting with Rick Pearson, the city's assistant planner, I was advised that Mr. Pearson prefers getting the plat and zoning ordinance amendment approved before considering other issues. As these are city vis-a-vis port authority issues, I deferred to his direction. Other issues that must be addressed include all of the following: 1. Site plan review and approval 2. Rezoning 3. Ordering of plans and specif'ications 4. Final plat approval 5. Development agreement with port authority 6. Purchase agreement In consideri.ng the site plan issue first, I would advise you that I have visited with both of the Muller's architects, first Mr. Pfister and then his successor, Mr. Howell. Mr. Pearson has done likewise. Neither of us, however, has visited with Mr. Pribyl, the draftsman who appears to have designed significant portions of the project. The most recent site plan submitted is attached for your review. In talking with Mr. Pearson, I have learned that he has several issues that he wishes to resolve with the Mullers. These include internal circulation, parking, retention pond location, and location of landscape material, i.e. trees and bushes. It is my understanding that these issues must be rectified before a positive staff repart can accompany the plan to the planning comrnission. The port authority's role? As developer of the business park, the commissioners (should) retain the right to approve all site plans. In this regard you should review the attached plan and be prepared to discuss any features you particularly like or dislike and I can forward your thoughts to Mr. Howell. I should also point out that as Mr. Sinnwell has noted on more than one occasion, the commissioners have never agreed or taken specific action to sell the ten acre parcel shown on the site plan to Muller Family Theaters. Is this the parcel you wish to sell? � s : Page 2 . . . A similar item to be discussed is the purchase of the land. As you have been advised by legal counsel, no agreement between the port authority and Muller Family Theater presently exists. Should I send the Mullers the check they submitted with their August 1993 proposal? What purchase price and what terms should be placed on the land to be sold? Infrastructure extension must also be considered and is normally an item to be addressed after preliminary plat approval. Here the port authority's executive director, Mr. Wasmund, the city engineer, and the consulting engineer have scheduled a meeting for December 2, 1993. At that time they will discuss different options to present to you. I believe Mr. Wasmund will be able to make a verbal report on December 7 at the regular meeting. I recommend the commissioners act on the infrastructure extension as soon as possible so that bids can be let early ensuring lower cost for installation. The rezoning of the property has already been discussed by the commissioners and the port authority staff has been authorized to submit the rezoning request. Again, Mr. Pearson wished that action to be considered only after the city council has approved the ordinance amendment creating the business park district. I am able to complete the rezoning petition form and will do sa The port authority's 1ega1 counsel, Mr. Miles, has been made responsible for negotiating the development and purchase agreement. Some of the issues I raised earlier in this update will be of importance to hi.m in concluding those negotiations. If there are other considerations in those documents that the members feel should be resolved in a particular manner, Pm sure Mr. Miles would appreciate any suggestions. dw � . . . . �4 . . . � BRElME.R First American Bank Metro OO Member Bremer Financial Corporetion . � � � � Member FDIC South St.Paul Inver Grove Hsights Eagan Roseviile WateRown 633 So.Concord Street 6800 Cahill Avenue East 1995 FiahnCliff Court 1715 W.Counry Road B2 301 Territorial Street East P.O.Box 359 Inver Grove Haights,MN 55076 Eagan,MN 55122 Roseville,MN 55113 P.O.Box 398 South St.Paul,MN 55075 (612)451-8581 (612)452-2265 (612j 633-4097 Watertown,MN 55388 (612)451-6822 FAX(612)451-8581 FAX(612)452-8037 FAX(612)636-9203 (612)955-1916 Metro(612)446-1446 FAX(612)457-9093 FAX{612)9553617 December 6, 1993 Mayor Edward McMenomy City of Rosemount 2875 - 145th Street West Rosemount, MN 55068 RE: Muller Family Theatres Dear Mayor McMenomy: First American Bank Metro has extended a commitment to the Muller Family Theatres for the financing of a theatre in Rosemount. We are pleased to be able to expand our banking relationship with our good customers, Mike and Bob Muller. We have been closelg following the progress af this proposed - theatre. The bank is aware that a competing theatre plans to enter the Rosemount market at approximately the same time as Muller Family Theatres . Competition within the Rosemount market does not affect in any way the willingness of First American Bank Metro to finance the Mullers ' Rosemount theatre. Together with the Mullers we are eagerly awaiting the completion of all necessary zoning, the purchase of the land, and the commencement ot construction. We look forward to joining you and the citizens of Rosemount in attending the Muller Family Theatres for the finest in family entertainment. � inc ely, � ���$r3ie� G. Ruecker _ President �' '� '. ! ,j l' „ ��,t(yi ;��' ;7_C��._�•� -ti.. � � Kathleen Sheridan Bellis Assistant Vice President BGR:KSB/rd r ' � ♦ � � � , • � , : � i�vcoaroa.�,re� , . ' . CONSULTING PLANNERS � • LANDSCAPE ARCHITECTS 300 FIRST AVENUE I�IORTH SUITE 210 MINNEAPOLIS, MN 55401 612•339•3300 ' � 6 December 1993 Mayor Edward McMenomy City of Rosemount 2875 - 145th Street Rosemount, MN 55068 Dear Mayor McMenomy: Muller Family Theatres has requested that our firm, Dahlgren, Shardlow, and Uban, Inc., a consulting planning and landscape architecture firm, review the first phase development concept for the Rosemount Business Park, currently owned by the Rosemount Port Authority. At the onset of our review, it was our understanding that the current Industrial Park District is to be replaced by the Business Park District, therefore, our review is based on the zoning classification of the Business Park District for the ab�ve mentioned property. In order to establish background for our review, it was important for us to first visit the language that makes the intent of this District clear. The Business Park District's purpose and intent definition states that: "This district is intended to accommodate new, modem, high performance, limite�i industrial uses and accessory retail and service uses. Ot�erlay zones with locational criteria will also allow entertainment and service oriented commercial uses, office/showroom and other uses with high performance standards that will provide a transition to residential uses." One such overlay zone, as mentioned within the Purpose and Intent Section is the Business Park-2 Overlay Zone. This district states: "This zone permits destination, entertainment or service related commercial, office or planned industrial uses including all uses allowed in the Business Park- Overlay Zone. The zone is adjacent to General Commercial uses or has proximity to major or minor arterial streets. No outdoor storage is allowed.° Given the purpose and intent of this type of a business park and of the overlay district, the proposed theater is an appropriate permitted use within this zone. , Our research has, however, extended beyond the determination of whether or not a theater is simply a permitted and appropriate use within the Business Park District. We have also conducted research into similar multi-use type business parks that contain movie theaters as a permitted use, in order to investigate the wisdom and practical first-hand experience of such developments. A number of such developments do exist throughout the metropolitan area. Mayor McMenomy 6 December 7993 Page 2 Of the the many theaters that exist in a multi-use type development, three such developments were selected for our research. These are all very similar in concept to the development propased for the Rosemount Business Park. The three we would like to review include Shelard Park Development, Centennial Lakes�Development, and Maple Grove Business Development. First, Shelard Park Cinemas 5, which is part of the Shelard Park Development, is located in St. Louis Park and is in an azea zoned as C-2 General Commercial. Upon reviewing the purpose of this ordinance, its intent states it is "to provide space for community facilities and institutions that appropriately may be located in commercial areas; to provide adequate space to meet the needs of modem commercial development". Some examples of permitted uses within this district include, but aze not limited to, medical and dental offices, business and trade schools, service facilities, transition stations, appliance and small engine repair and private entertainment. Shelard Park developed in about 1969 and made use of a master plan concept to guide their development. The Shelard Park Cinemas were approved and added as a feature to Shelard Park in the mid 1970's. The business park today includes four total office buildings ranging from six to nineteen stories, six different housing projects, a hotel, fitness club and the theater complex. In a conversation with a city planner for the City of St. Louis Park, the uses work well together in a number of key ways. This includes the shared parking that many of the businesses have. For example, the office and business peak hours are very different from that of the theaters and neazby restaurants, which helps to extend the hours that the business development is used on a daily basis and to take advantage of shared parking. A second theater, the Willow Creek Theater, was constructed north of the Shelard Park development a short time ago, and also enjoys much success. The second such theater positioned in a business park is the Centennial Lakes Cinemas 8 which is part of the Centennial Lakes development. The Centennial Lakes development is located in Edina and is zoned Mixed Development District 6. The types of permitted uses within the Mixed Development District 6 include buil�ings not containing fewer than ten dwelling units, publicly owned or operated civic or cultural institutions, offices including business and professional offices, hotels, and all principal uses in their PCD-1 and PCD-2 subdistricts (with a few exceptions). The PCD-1 and PCD-2 includes ati additional 90-plus uses, including recreation establishments, service, retail and office uses, and movie theaters. The overall concept of the Centennial Lakes development is clearly for a spectrum of mixed uses. Based on a telephone conversation with a planner from the City of Edina, the uses that are in existence have worked very well together. Centennial Lakes began development in 1989 with Phase I. Phase I included office and medical, retail, housing and the Centennial Lake Cinemas. The cinema was an integral part of the formula and was strategically placed toward the front of the development on a major roadway (it fronts France Avenue). The visibility of the theater helps perform a critical element of commerce generation for the Centenniai Lakes development. The Centennial Lakes Cinemas also use the concept of shared parking with the complimentary uses adjacent to it. It was also reported by the same city planner, that while the Yorktown Theaters are less than a half mile away, this was not an issue at the time of the development of Centennial Lakes Cinemas and that the City has not received negative comments regarding the proximity of the two theaters. The third and final theater and multi-use development researched was the Maple Grove Cinema 8, ' which is part of a business development. The development is located within the City of Maple Grove and it in an area zoned as a Business District. This district is, as stated within the Maple Grove Ordinance Code, "to permit retail sales and personal service business". While this is a fairly broad statement, some of the existing uses include medical and dental clinics, a 102,000 square-foot super market, financial institutions, business offices, an auto service garage, and a newly constructed real estate office, which is adjacent to the theaters. The theaters located in this multi-use business district front a major roadway (Interstate 94) indicating that their visibility is also seen as a Mayor McMenomy 6 December 1993 Page 3 business district front a major roadway (Interstate 94) indicating that their visibility is also seen as a key to generating activity and commerce into the business pazk, hence, contributing gready to its viability and overall success. Demonstrative of the success of the theater itself, is the 1993 addition of two more screens to the existing eight. Through our research, we have reviewed a number of multi-use developments that include movie theaters as a key component. Our research and experience provides documentation that the theater is a compatible use within the Business Park District. The location of theaters in multi-use business parks is important in their abiliry to provide the visibiliry needed for the entire business park. They are traditionally located toward a collector street and serve as a landmark for the business pazks, which generate traffic. They also make efficient use of the land by their ability to share parking with complementary noncompeting uses. Excellent examples of this include the Centennial Lakes Development, Shelard Park, and the Maple Grove Business District Development. A map is enclosed which locates the previously discussed theaters, as well as some others that are part of multi-use developments. Adhering to the purpose and intent of the Business Park District zone for the Rosemount Business Park will result in a full range of services which will serve to draw traffic, people and additional businesses. With the right mix of business and good planning, the effect can be more than co-existence. The development of the business park will serve as a positive influence to the City of Rosemount and wi1L• ■ provide the stepping stone to a thriving business park with complementary uses that makes effective use of the land and, ■ provide visibility and site identification necessary to help the site be identified as a regional location which will in turn help to attr�ct many other businesses and, � ■ draw people and additional businesses to Rosemount. Rosemount is putting into place today a good strategy by incorporating the theater in phase one of the development. Sincerely, DAHLGREN, SHARDLOW, AND UBAN, INC. Yl C. John ban, Principal Enclosure � �` � , , MULLER FAMII,Y THEATR�;S 4940 - 54th Street N.W. Maple Lake, MN 55358 December 7, 1993 The Honorable Edward B. McMenomy ' Mayor City of Rosemount 2875 - 145th Street West Rosemount, MN 55068 Re: Rosemount Business Park/Movie Theatre Project Dear Mayor McMenomy: Muller Family Theatres is pleased to support the Planning Commission of the City of Rosemount and the Rosemount Port Authority in their requests for a text change to the Rosemount zoning code for the purposes of establishing the Business Park zoning classification in the City of Rosemount. Since August 3, 1993, when the Port Authority chose us as the developer for the movie theatre complex to be located within the first phase and as the first developer within the City's Business Park, we have been working closely with the Port Authority, and the Planning Department staff, have prepared development documents, negotiated the terms of the purchase agreement of the properiy and anticipated a marketing strategy for the theatre project and the Business Park, a11 in anticipation of the approval by the City Council of the Business Park zoning. We have anticipated this change in the context of challenge from our movie theatre competitor, GTI, who is apparently proceeding to construct another movie theatre in your City. With regard to this competitive environment, the City stated its desire to maintain a "level playing field°. Whether the City has maintained the level playing field that it had desired to create it remains to be seen whether or not the City's attempt not to favor one developer over another has succeeded. In anticipation of the public hearing in connection with the approval of the text amendment change, we would like you to consider certain information which we feel is relevant. The Honorable Edward B. McMenomy December 7, 1993 Page Two First, we believe that the City's vote tonight is a confirmation of a process which was begun over one year ago and most recently on August 3, 1993 when the Port Authority requested and the Council approved the acquisition of the Abbott property which is now the Business Park property. Approximately one month ago, after issuing the general obligation bonds necessary to acquire the Abbott property, the Port Authority closed on the property and now owns this property. Well in advance of the Abbott acquisition, the City approved the designation of this land under the comprehensive guide plan which was recently reaffirmed and ratified and amended last month on November 8, 1993 by the City CounciL Your planning commission considered all of the options available to it, including the issue of the desirability or appropriateness of the inclusion of a movie theatre in the uses permitted by right and determined that such a use was compatible and, in fact, encouraged. To support this position, we retained the services of Dahlgren, Shazdlow and Uban to study the question of the desira.bility of inclusion of the theatre within the Business Pazk and to identify complexes within other municipalities. I have attached a copy of that letter which is addressed to you. In numerous communications and appearances before the Port Authority, we have ratified our intention to construct the movie thea.tre on our designated parcel within the Business Park. We once again emphasize to you that it is our intention to build this theatre complex even if our competitor proceeds as we1L We have contacted our lender, First American Bank, who has indicated to us that they are rea.dy to proceed to a closing and that they are willing to fund our project even if there is another theatre located within the City of Rosemount, as is cunently anticipated. The only thing which stands in the way of the development of our theatre would be a no vote rejecting the text amendment change. This change breaths life into the Business Park. We have relied upon what we had anticipated to be the certainty of the creation of this Business Pazk. It is in all respects consistent with the Comprehensive Guide Plan, the actions of the City Council, the actions of the Rosemount Port Authority and the actions of the Rosemount Planning Commission. We have invested a considera.ble amount of time, effort and monetary resources in this project from the day the City and City officials asked us to consider Rosemount as the site of our next theatre. The Honorable Edward B. McMenomy December 7, 1993 Page Three In addition, we also want you to know that this site and the Rosemount Business Park are unique sites for the Theatre. A denial of the text amendment will essentially preclude us from competing within this trade azea. Truly, while we wish that we would be able to service Rosemount without the challenges imposed upon us by our competitor, quite frankly we look forward to this competition. It is somewhat ironic perhaps that our competitors, until several weeks ago, would have been standing astride us requesting the adoption of this Business Pazk text amendment change. It is only because of the City's affirmative vote removing the competitor's property from the Business Park that they too are not here azguing the case of the text amendment change. The City's personal efforts to maintain a level playing field will rest in your decision for now. We hope that the City Council makes the right vote this evening. That vote is to affirm and ratify a decision which it had put in place many months ago. We respectfully request affirmative vote to support the zoning text change and create the Business Park designation for the betterment of Rosemount and for the commerce it will create for the citizens and taxpayers of Rosemount. We look forward to serving this community in fine tradition as we have other communities. Sincerely yours, MULLER FAMII.Y THEATRES ' C � By � Robert Muller