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HomeMy WebLinkAbout3.a. Discussion Regarding Hotel Location on Israelson Property EXECUTIVE SUMMARY City Council Work Session Meeting: March 2, 2021 AGENDA ITEM: Discussion Regarding Hotel Location on Israelson Property AGENDA SECTION: Updates PREPARED BY: Kim Lindquist, Community Development Director AGENDA NO. 3.a. ATTACHMENTS: Proposal, Responses to Question APPROVED BY: RECOMMENDED ACTION: Provide Staff Direction BACKGROUND In October 2020, the City Council approved a PUD master development plan for the Rosewood Center, which included a mix of proposed commercial and residential development including a hotel. The applicant had initially requested approval of a senior memory care unit along Hwy 42, but staff indicated there was no City support for the request. That part of the project was dropped from the application. Since that time the applicant has come forward requesting the City’s thoughts on shifting the hotel to the west, adjacent to the railroad tracks. The plan includes moving the memory care facility in the location of the approved hotel. When briefly discussed by the Council it was requested that staff obtain some thoughts from design professionals and perhaps some folks from hotel groups. Staff had forwarded a request asking for opinions to several hotel companies along with Perkins and Will and hospitality companies. Unfortunately, we did not receive any responses from hotel representatives but did receive a few comments which are attached. Staff does not have a formal recommendation about whether the Council should support shifting the hotel location and permitting the memory care project. Below are some pros and cons for the Council to consider: Pros: Gets development started in area Adds tax base Moves hotel to higher visibility spot As previously discussed, Memory Care functions somewhat like a commercial service type business Bring funding to developer who may use to kick off other parts of approved project Cons: Moves hotel near railroad tracks; unclear if that is preferable Reduces overall true commercial space in PUD Memory Care isn’t a catalyst for additional commercial or services Reduces total traffic generation of site, which is desired by existing neighbors RECOMMENDATION Staff is requesting direction from the City Council. 3536383937434140421 2 1 8'RESTAURANTRESTAURANT RETAIL/RESTAURANT RETAIL RETAIL 40 UNIT APARTMENTS40 UNIT APARTMENTS8'RETAIL 8'1 4 14 1 1 1 2 1 415 4 1 2 1 2 13 13 20 UNIT APARTMENT BLDG WITH COMMERCIAL FFE=953.0 20 UNIT APARTMENT BLDG WITH COMMERCIAL FFE=958.0 21 UNIT APARTMENT BLDG FFE=958.0 21 UNIT APARTMENT BLDG FFE=958.0 GREEN SPACEC . S . A . H 4 2GREEN SPACEGREEN SPACEEX-MH6030 T=49.23 I=32.778'1 2 14 1 1 12 1 12 13 8'8'RIVER OF LIFE MEMORY CAREHOTEL (79 ROOMS)FRONTREARFor Review January 19, 2021 I hereby certify that this plan was prepared by me, or under my direct supervision, and that I am a duly registered engineer under the laws of the State of Minnesota. Luke Warren Israelson 6001 Egan Drive, Ste 100, Savage, MN 55378 Phone: 952.226.3200 Web: www.kjwalk.com Date: 00/00/00 Revision: Original CONCEPT Registration #: 51362 ROSEMOUNT, MN SHEET 1 of 1 Date: 1/19/2021 FILE PATH: G:\My Drive\Work Files\Rosemount Projects\Rosewood Center Apartments Hotel\Engineering\CAD\DWGs\RCE-Site Plan relocate Hotel.dwg 0 100 200 300 ROSEWOOD CENTER Contact Company Comment Chris Flagg TPI Hospitality https://www.tpihospitality.com/ The site is a challenging one for hotel use. While the hotel can be built to higher construction standards that mitigate noise, freight trains still rumble and can be disruptive. That intersection is already “weird” with the tracks crossing so close to the signal lights. Adding a high traffic user on the other side of the tracks will only complicate this already complicated traffic pattern further. Jessica Junker Core Distinction Group http://www.coredistinctiongroup.com/ Train tracks should not be a deterrent for hotel development. Any developer/investor/builder, would simply need to upgrade the windows a bit to ensure quiet. It is a small additional cost and shouldn’t be an issue. Jay Demma Perkins and Will Limited service hotels that lack conference facilities are highly dependent on capturing drive-by traffic. So, any potential hotel operator will want maximum visibility, which the new proposed location provides over the old location. Potentially mitigating the impact of train noise is the quality of hotel’s construction. A lot of hotels are typically built to higher construction standards because they are close to airports, highways, and other high activity/noisy areas. So, train noise may not be issue due to the building’s design. There is also the transient nature of hotel users. If most visitors are at the hotel for one or two nights, they may consider train noise as simply part of the typical roadside hotel experience.