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  6.       
City Council Regular Meeting
Meeting Date: 11/12/2019  

BACKGROUND
The applicant is proposing to rezone approximately 27 acres of land from General Business District (GB) and Manufacturing Light District (M-1) to Planned Development District (PDD); 17.8 acres will develop in accordance with the base zoning district of General Business (GB), 7.3 acres will develop in accordance with the base zoning district of Manufacturing Light (M-1), and 2.0 acres is designated for public right-of-way (Four Oaks Lane).

The subject property is located at 17975 IH-35 and is currently developed with three buildings occupied by three different commercial businesses: an outdoor furniture retail store (Family Leasure), a sporting goods retail store (Rainbeau), and a gymnastics/dance studio (Stars Vipers Cheer and Tumbling). 

Seven (7) public hearing notices were mailed to surrounding property owners within two hundred (200) feet of the subject property on August 30, 2019 in preparation of the Planning & Zoning Commission meeting that took place on September 11, 2019.  A public hearing notice was also published in the San Antonio Express on October 2, 2019. At the time of this report, Staff has received one response in favor of the requested zone change.

The following project representatives spoke at the September 11, 2019 Planning & Zoning Commission public hearing: 
  • Joe Simmons, Senior Vice President, Aquila Commercial
GOAL
The proposed zone change is for approximately 27 acres of land from General Business District (GB) and Manufacturing Light District (M-1) to Planned Development District (PDD). Under the proposed PDD Development Standards, the property will have two base zoning districts within the PDD: GB and M-1. The portion of the property in front of the proposed Four Oaks Lane extension will have a base zoning of GB, and the portion of the property behind the Four Oaks Lane extension will have a base zoning of M-1. The general alignment of Four Oaks Lane was established during the preliminary plat application for the Discount Tire - TXS 11363 Subdivision. The proposed Planned Development District also provides specific design standards for current and future landscaping and permitted land uses on the subject property.

The first amendment to the Schertz Unified Development Code proposed in the PDD Development Standards is regarding the permitted land uses on the property. The portion of the property with a base zoning of M-1 will not have any additional permitted uses and will function under the M-1 zoning district as it currently exists; however, the portion of the property with a base zoning of GB would be allowed to utilize the 'Office-Warehouse/Distribution Center' and 'Storage or Wholesale Warehouse' land uses by right. Currently, the 'Office-Warehouse/Distribution Center' land use is permitted in the General Business II District (GB-2) and in higher intensity commercial zoning districts, and the 'Storage or Wholesale Warehouse' land use is permitted in the General Business District (GB) with a Specific Use Permit and in higher intensity commercial zoning districts by right.

The second proposed amendment to the Unified Development Code is regarding current and future landscaping regulations. The entire property included in this PDD will be held to the following increased landscaping standards if approved:
  • The applicant would be responsible for installing one (1) tree per forty linear feet (40') of street frontage along IH-35 at a 4 caliper inch planting size prior to the issuance of any building permits on the subject property. Essentially, before any new work can be done on site, the applicant will be required to install 23 new trees sized at 4 caliper inches along the property's 903' frontage on IH-35. The requirement for 4 inch caliper trees along IH-35 is an improvement on the current regulation for planting 2.5 caliper inch trees along principal and secondary arterials, as defined in UDC Sec. 21.14.3.C.
  • The applicant would be responsible for the base landscaping installation requirement of planting trees at a ratio of nine (9) trees per acre at a 4 caliper inch planting size. The requirement for 4 inch caliper trees for base landscaping installation is an improvement on the current regulation for planting 2.5 caliper inch trees, as defined in UDC Sec. 21.9.7.E.2
  • The applicant would be responsible for the parking area landscaping requirement of planting a tree at the terminus of all rows of parking and every 12 parking spaces at a 4 caliper inch planting size and 5 shrubs at a 3 gallon planting size. The requirement for 4 caliper inch trees and 3 gallon shrubs for landscape islands is an improvement on the current regulation for planting 2.5 caliper inch trees and 1 gallon shrubs, as defined in UDC Sec. 21.9.7.H.1.c.
  • The applicant would be responsible for the perimeter landscaping requirement of planting a tree every 50 feet along all public rights-of-way at a 4 inch caliper planting size. The requirement for 4 caliper inch trees for perimeter landscaping along rights-of-way is an improvement on the current regulation for planting 2.5 caliper inch trees, as defined by UDC Sec. 21.9.7.H.2.
The above landscaping regulations in the PDD Development Standards all require upsized landscaping materials in order to go above and beyond the current requirements. The landscaping regulations that are required to be met during a typical site plan process are also included in the PDD Development Standards in order to establish increased landscaping standards for all future development on site. 
COMMUNITY BENEFIT
It is the City’s desire to promote safe, orderly, efficient development and ensure compliance with the City’s vision of future growth.
SUMMARY OF RECOMMENDED ACTION
The additional permitted land uses proposed in the PDD Development Standards are appropriate given the current zoning classifications and utilized land uses of the surrounding properties, as well as the existing conditions on the subject property.

The subject property is currently surrounded by land that is zoned either General Business District (GB) or Manufacturing Light District (M-1), and a major interstate highway. The portion of the subject property that will have a base zoning of M-1 is adjacent to parcels of land zoned Manufacturing Light District (M-1), one that is currently undeveloped and one that is currently utilized as a Building Material and Hardware Sales business. The portion of the subject property that will have a base zoning of GB is adjacent to parcels of land zoned General Business District (GB), two that are currently utilized as retail stores and one that is currently utilized as an office.

The site marks a clear transition between the existing industrial land uses northwest of the property, and the existing commercial land uses along the IH-35 corridor. Typically, the General Business II District (GB-2) is an appropriate zoning district to mark the transition between industrial and commercial areas; however, there are several land uses in the General Business II District (GB-2) that would not necessarily be appropriate for a property with IH-35 frontage. From a staff perspective, these unique circumstances are where a Planned Development District can be used to create zoning regulations that are a good fit for the subject property. In this case, the base zoning district of the portion of the property in front of Four Oaks Lane will remain General Business District (GB), with two additional permitted land uses, 'Office-Warehouse/Distribution Center' and 'Storage or Wholesale Warehouse', which are appropriate for an area that marks the transition between industrial and commercial areas.

Regarding the existing conditions on site, the subject property is currently developed as three separate buildings totaling 311,000 square feet. With our recommendation of this zone change, Staff is being cognizant of the types of business/land uses that could be appropriate for buildings of this scale and orientation. The utilization of the 'Office-Warehouse/Distribution Center' and 'Storage or Wholesale Warehouse' land uses is realistic for the buildings on site, and would allow the property to be continually redeveloped and improved without necessarily requiring the property owner to completely tear down the buildings and parking lots. 

The proposed zone change will also allow for immediate landscaping regulations along the subject property's prominent IH-35 frontage. Without the landscaping requirements in the PDD Development Standards, the required trees along IH-35 would not be installed until the property frontage is within the limits of construction of new development on site, i.e. when the parking lots gets reconstructed. Through the PDD Development Standards, upsized trees will be required along IH-35 before any new work can be done on site, and it also establishes various increased landscaping regulations for all future development on site. These higher standards will apply to any new buildings or landscaped areas on the subject property, as well as all the landscaping along the future Four Oaks Lane extension (planned to be a Commercial Collector per the 2017 Master Thoroughfare Plan update). As opposed to the current 2.5 caliper inch tree planting size, the upgraded 4 caliper inch tree planting size will allow the landscaping on site to look more established, and this difference in the size of trees is potentially worth years of growth. Following the approval of House Bill 2439 at the latest Texas Legislative Session, and the resulting approved Ordinance 19-S-22, the City can no longer require more stringent exterior construction material standards for commercial development as it has in the past; however, the increased landscaping regulations defined in this PDD will mitigate some of these lost aesthetic regulations and continue to allow for development at a higher standard. 
FISCAL IMPACT
None.
RECOMMENDATION
The Planning and Zoning Commission conducted a public hearing for the item on September 11, 2019, and offered a recommendation of approval by a 6-1 vote; Commissioner Evans voting nay.

Given the City's immediate and future benefit from the PDD Development's increased landscaping standards, the current zoning classifications of the subject property and surrounding properties, and the existing conditions of the development on-site, Staff is also making a recommendation of approval of the requested zone change to PDD as submitted.  

City Council approved this item on first reading on October 22, 2019.  Staff recommends approval of final reading. 
Attachments
Ordinance 19-S-27
Ordinance 19-S-27 Exhibit A
Ordinance 19-S-27 Exhibit B
Aerial Map
Public Hearing Notice Map
PDD Development Standards
Conceptual Site Plan Exhibit

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