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I I I Council Meeting Minutes January 13, 1998 Page 5 Council Business. continued City Planner Erny Mattila presented the extension of the Hwy 8 Moratorium Ordinance which expires January 31, 1998. Staff recommends the moratorium be extended for the neighborhood north of 6th St. NW and south of Old Hwy 8 (north of the MacGillis and Gibbs site) and those properties located north of 1-694 (NW Quadrant and Hwy 96 Gateway area). The Planning Commission recommended to extend the moratorium to allow time for preparation of a work plan and creation of a new zoning district for the NW Quadrant and the Hwy 96 Gateway areas. According to the City Attorney, the City can extend the moratorium for up to 18 months beyond its initial one year period. Staff does not anticipate the process will take a full year to complete, but the extension prevents any need for further Council consideration, There is a possibility that the moratorium may be lifted by July 1998 or before, Jim Yalish, attorney representing Hillcrest Development, said Hillcrest owns the property at 1300 Old Hwy 8 which is subject to the moratorium. Hillcrest assumed that the moratorium was to be lifted, and have been in negotiations for the building's purchase. The extension of the moratorium may create legal issues for Hillcrest, and Yalish requested the moratorium be lifted for this property. Mattila said staff has been in contact with Hillcrest, but the majority of the conversation centered around the New Brighton Lumber site on 1st St. SW. Staff was unaware that Hillcrest was selling the property at 1300 Old Hwy 8 or searching for a tenant. If any rezoning for that parcel was considered, the City would attempt some type of mixed use in order for the owners to continue. The Hwy 8 Corridor Study states that the vision for this area suggests mixed uses such as office, retail, multi-residential, and light industrial. Industrial usage can be continued at this site, however, the building cannot be expanded or enlarged or its use expanded, Larson asked if Hillcrest is aware of the appeal process. Mattila said Hillcrest is aware, but because negotiations did not go forward, Hillcrest backed off from the appeal, Gregori asked if Hillcrest intents to change the building in anyway which could possibly violate the moratorium. Yalish said Hillcrest does not intend to make changes at this time, but questioned if the moratorium could affect a potential buyer's perception or if the rezoning could create a non-conforming use. Samuelson asked the current zoning of the property and if the building is occupied. Mattila said the building is located south of Beisswenger's and is zoned 1-1 Light Industrial. Two tenants currently occupy it and Hillcrest is in the process of pursuing more, Samuelson asked if there is a possibility that rezoning may occur. Mattila said the Northwest Quadrant and Hwy 96 Gateway areas will be examined for potential rezoning to allow for mixed usage such as office/retail, multi-family residential, and industrial if it were complimentary, Council and the Planning Commission will consider the rezoning issue over the next six months. Council Business Hwy 8 Moratorium Ordinance Report 98-019 Ordinance 639