HomeMy WebLinkAbout14.G. Comp Plan Amendment from Business Park to Commercial, and Rezone Property-Res. No. 6245
CITY OF SHAKO PEE /'f, S,
Memorandum
CASE NO.: 05-039
TO: Honorable Mayor and City Council
Mark McNeill, City Administrator
FROM: Mark Noble, Planner I
SUBJECT: Comprehensive Plan Amendment from Business Park to Commercial, and
Rezone Property from Business Park (BP) Zone to Highway Business. (B-1)
Zone
MEETING DATE: May 17, 2005
REVIEW PERIOD: March 11,2005 - June 8, 2005
INTRODUCTION
Wendell Smith, HHS, LLC., has made application to amend the Comprehensive Plan from Business
Park to Commercial and to rezone the property .from Business Park (BP) Zone to Highway Business
(B-1) Zone.
DISCUSSION
The property is approximately 12 acresin size and is located north ofHwy. 169, east of County Road
83 and south of 12tb Avenue East. The applicant proposes to construct a 16 screen theater on the site,
and has provided two (2) concept designs; one ofthesite and the other of the building layout. Ifthese
requests are approved, the applicant will then proceed with a Conditional Use Permit application as
theaters are listed as a Conditional Use in the Highway Business (B-1) Zone. The applicant provided
letters of support from three (3) adjacent businesses. Additionally, staff received a letter from the
Marcus Theatres Corporation, which expressed concerns with the proposed project and recommended
that the Council deny the request.
Scott County Public Works provided comments on the submitted traffic study, noting that they do not
agree with the parameters of the study and that specific text and analysis still need to be addressed. If
this application is approved, their comments should be addressed in a revised traffic study that should
be submitted with a Conditional Use Permit application.
City Engineering staff have commented on this proposal, recommending that an additional traffic
study is required due to the potential negative impacts to the County Road 83 and lib Avenue
intersection.
CenterPoint Energy provided a comment and diagram that identifies a high-pressure natural gas
easement (Document No. 62189) located on this property. Ifthis project is approved, the developer
must submit plans to them for their review and approval prior to any construction on this site.
FINDINGS
The Zoning Ordinance does not speciry criteria for granting a Comprehensive Plan Map amendment.
Though reasonable criteria would be Criteria 1-3 for Zoning Ordinance amendments. Staffhas
provided Criteria 1 - 3 for the Commission's review and discussion.
Criteria #1 That the adopted Comprehensive Plan is in error;
Finding #1 The current Comprehensive Plan is not in error, but reflects the one-time proposed use
of the subject property.
Criteria #2 That significant changes in community goals and policies have taken place; or
Finding #2 Significant changes have not occurred in community goals and policies.
Criteria #3 That significant changes in City-wide or neighborhood development patterns
have occurred.
Finding #3 Significant changes have not occurred in neighborhood development patterns. This
area is a developing industrial park that has experienced recent construction of new
buildings and new occupants in existing buildings. The City has limited Business Park
property in reserve for future business park opportunities.
The criteria required for the wanting of a Zoning Ordinance Amendment are listed below with
proposed findings for the Commission's consideration.
Criteria #1 That the original Zoning Ordinance is in error;
Finding #1 The original zoning ordinance is not in error.
Criteria #2 That significant changes in community goals and policies have taken place;
Finding #2 Significant changes in community goals and policies have not taken place.
Criteria #3 That significant changes in City-wide or neighborhood development patterns
have occurred; or
Finding #3 Zoning of the subject property to Highway Business (B-1) is not consistent with the
adopted Comprehensive Plan, and the proposed use would not be consistent with the
uses and desires of the industrial park.
Criteria #4 That the comprehensive plan requires a different provision.
Finding #4 The comprehensive plan does not require a different provision.
STAFF RECOMMENDATION
Based on the above noted findings, staff recommends that the Commission recommend denial of the
Comprehensive Plan Amendment request and the Rezoning request.
PLANNING COMMISSION RECOMMENDATION
The Planning Commission reviewed this request at their April 21, 2005 meeting, and by a 4-2 vote,
recommended denial of the Comprehensive Plan Amendment request and the Rezoning request. A
copy of the Planning Commission report is attached for the Council's information. Because the
Planning Commission recommended denial, staff has prepared a resolution of denial for Council
consideration.
ALTERNATIVES
1. Approve the request to amend the Comprehensive Plan from Business Park to Commercial for
the subject property, and direct staff to prepare a resolution of approval for Council action.
2. Approve the request to rezone the property from Business Park (BP) Zone to Highway
Business (B-1) Zone, and direct staff to prepare a resolution of approval for Council action.
3. Approve Resolution No. 6245, a resolution denying the requests to amend the Comprehensive
Plan from Business Park to Commercial for the subject property, and to rezone the property
from Business Park (BP) Zone to Highway Business (B-1) Zone.
4. Table the matter and request additional information from the applicant and/or staff.
ACTION REQUESTED
Offer a motion to adopt Resolution No. 6245, a resolution denying the requests to amend the
Comprehensive Plan from Business Park to Commercial, and to rezone the property from Business
Park (BP) Zone to Highway Business (B-1) Zone.
~~
Planner I
g: \cc\2005\05-17\cmpplnreztheatre\05039 .doc
RESOLUTION NO. 6245
A RESOLUTION OF THE CITY OF SHAKOPEE DENYING THE REQUESTS TOAMEND
THE COMPREHENSIVE PLAN FROM BUSINESS PARK TO COMMERCIAL AND TO
REZONE PROPERTY FROM BUSINESS PARK (BP) ZONE TO HIGHWAY BUSINESS
(B-1) ZONE
WHEREAS, HHS, LLC., applicant and property owner, has requested an amendment ofthe
comprehensive plan from Business Park to Commercial and the rezoning of property from Business
Park (BP) Zone to Highway Business (B-1) Zone; and
WHEREAS, the subject property is legally described as:
That part of Lot 1, Block 2, VALLEY PARK TWELFTH ADDITION, Scott County, Minnesota, lying
easterly of the following described line:
Commencing at the northeast corner of said Lot 1, Block 2, thence South 89 degrees 02 minutes 41
seconds West, an assumed bearing, along the north line of said Lot 1, a distance of 1248.77 feet to
the point of beginning of the line to be described; thence South 0 degrees, 56 minutes, 58 seconds
East a distance of 450.58 feet more or less to the south line of said Lot 1 and said line there
terminating; and
WHEREAS, notices were duly sent and posted, and a public hearing was held before the
Planning Commission on April 21, 2005, at which time all persons present were given an
opportunity to be heard; and
WHEREAS, the City Council heard the matter at its meeting on May 17, 2005; and
NOW, THEREFORE BE IT RESOLVED that the City Council of the City of Shako pee
hereby adopts the following findings of facts relative to the comprehensive plan amendment request:
Finding #1 The current Comprehensive Plan is not in error, but reflects the one-time proposed use
ofthe subject property.
Finding #2 Significant changes have not occurred in community goals and policies.
Finding #3 Significant changes have not occurred in neighborhood development patterns. This
area is a developing industrial park that has experienced recent construction of new
buildings and new occupants in existing buildings. The City has limited Business Park
property in reserve for future business park opportunities.
BE IT FURTHER RESOLVED, that the City Council of the City of Shakopee hereby
adopts the following findings of facts relative to the rezoning request:
Finding # 1 The original zoning ordinance is not in error.
Finding #2 Significant changes in community goals and policies have not taken place.
Finding #3 Zoning of the subject property to Highway Business (B-1) is not consistent with the
adopted Comprehensive Plan, and the proposed use would not be consistent with the
uses and desires of the industrial park.
Finding #4 The comprehensive plan does not require a different provision.
ALSO, BE IT FURTHER RESOLVED, that the requests for an amendment of the
comprehensive plan from Business Park to Commercial and the rezoning of property from Business
Park (BP) Zone to Highway Business (B-1) Zone are hereby denied.
Passed in regular session of the City Council of the City of Shako pee, Minnesota, held this
day of ,2005.
Mayor of the City of Shako pee
Attest: ,
Judith S. Cox, City Clerk
CASE NO.: 05-039
CITY OF SHAKOPEE
Memorandum
CASE NO.: 05-039
TO: ShakopeePlanning Commission
FROM: Mark Noble, Planner I
SUBJECT: Comprehensive Plan Amendment from Business Park to Commercial, and
Rezone Property from Business Park (BP) Zone to Highway Business (B-1)
Zone
MEETING DATE: April 21, 2005
REVIEW PERIOD: March 11, 2005 - June 8, 2005
SITE INFORMATION
Applicant: Wendell Smith, HHS, LLC.
Property Owner: HHS, LLC.
Location: North of Hwy. 169, east of County Road 83, south of lib Avenue East
Current Zoning: Business Park (BP) Zone
Proposed Zoning: Highway Business (B-1) Zone
Adjacent Zoning: North: Heavy Industry (1-2) Zone
South: Hwy. 169/Business Park (BP) Zone
East: Heavy Industry (I-2) Zone
West: Highway Business (B-1).Zone
Area: 11.87 Acres
Compo Plan: Business Park
MUSA: This site is presently within the MUSA boundary
Attachments: Exhibit A: Location/Zoning Map
Exhibit B: Applicant Narrative/Concept P1ans/Letters of Support
Exhibit C: Scott County Public Works Comments
Exhibit D: City Engineering Memorandum
Exhibit E: CenterPoint Energy Service Line Diagram
INTRODUCTION
Wendell Smith, HHS, LLC., has made application to amend the Comprehensive Plan from Business
Park to Commercial and to rezone the property from Business Park (BP) Zone to Highway Business
(B-1) Zone.
DISCUSSION
The property is approximately 12 acres in size and is located north ofHwy. 169, east of County Road
83 and south of lib Avenue East (Exhibit A). The applicant proposes to construct a 16 screen theater
on the site, with access onto lib Avenue from both the west and east sides ofthe building (see
applicant's narrative). The applicant has provided two (2) concept designs, one of the site and the
other of the building layout. If these requests are approved, the applicant will then proceed with a
.
Conditional Use Permit application as theaters are listed as a Conditional Use in the Highway Business
(B-1) Zone. Additionally, the applicant provided letters of support from three (3) adjacent businesses.
Shakopee Public Utilities has commented that if this project is approved, the applicant shall contact
them and submit utility plans for the water main extension for approval by the Utilities Manager.
Scott County Public Works provided comments (Exhibit C) on the submitted traffic study, noting that
they do not agree with the parameters of the study and that specific text and analysis still need to be
addressed. If this application is approved, their comments should be addressed in a revised traffic
study that should be submitted with a Conditional Use Permit application.
City Engineering staff have commented (Exhibit D) on this proposal, recommending that an
additional traffic study is required due to the potential negative impacts to the County Road 83 and
12th Avenue intersection.
CenterPoint Energy provided a comment and diagram (Exhibit E) that identifies a high-pressure
natural gas easement (Document No. 62189) located on this property. If this project is approved, the
developer must submit plans to them for their review and approval prior to any construction on this
site.
The City's Comprehensive Plan sets basic policies to guide the development of the. City. The purpose
of designating different areas for residential, commercial, and industrial land uses is to promote the
location of compatible land uses, as well as to prevent incompatible land uses from being located in
close proximity to one another. The Zoning Ordinance is one of the legal means by which the City
implements the Comprehensive Plan. Under Minnesota statute, zoning is to conform with a city's
comprehensive plan.
FINDINGS
The Zoning Ordinance does not sDecifj; criteria for granting a ComDrehensive Plan Map amendment.
Though reasonable criteria would be Criteria 1-3 for Zoning Ordinance amendments. Staffhas
provided Criteria 1 - 3 for the CommiSsion's review and discussion.
Criteria #1 That the adopted Comprehensive Plan is in error;
Finding #1 The current Comprehensive Plan is not in error, but reflects the one-time proposed use
ofthe subject property.
Criteria #2 That significant changes in community goals and policies have taken place; or
Finding #2 Significant changes have not occurred in community goals and policies.
Criteria #3 That significant changes in City-wide or neighborhood development patterns
have occurred.
Finding #3 Significant changes have not occurred in neighborhood development patterns. This
area is a developing industrial park that has experienced recent construction of new
buildings and new occupants in existing buildings. The City has limited Business Park
property in reserve for future business park opportunities.
The criteria required for the grantinJ! of a Zoning Ordinance Amendment are listed below with
Droposed findings for the Commission's consideration.
Criteria #1 That the original Zoning Ordinance is in error;
Finding # 1 The original zoning ordinance is not in error.
Criteria #2 That significant changes in community goals and policies have taken place;
Finding #2 Significant changes in community goals and policies have not taken place.
Criteria #3 That significant changes in City-wide or neighborhood development patterns
have occurred; or
Finding #3 Zoning of the subj ect property to Highway Business (B-1) is not consistent with the
adopted Comprehensive Plan, and the proposed use would not be consistent with the
uses and desires of the industrial park.
Criteria #4 That the comprehensive plan requires a different provision.
Finding #4 The comprehensive plan does not require a different provision.
STAFF RECOMMENDATION
Based on the above noted findings, staff recommends that the Commission recommend denial of the
Comprehensive Plan Amendment request and the Rezoning request. Copies of the land use plans
and the Zoning Ordinance are available for viewing at City Hall and will be made available at the
April 21, 2005 meeting.
ALTERNATIVES
1. Recommend approval of request to amend the Comprehensive Plan from Business Park to
Commercial to the subject property and direct staff to prepare the appropriate resolution.
2. Recommend approval of the request to rezone the property from Business Park (BP) Zone to
Highway Business (B-1) Zone and direct staff to prepare the appropriate ordinance.
3. Recommend denial of the request to amend the Comprehensive Plan from Business Park to
Commercial to the subject property and direct staff to prepare the appropriate resolution.
4. Recommend denial of the request to rezone the property from Business Park (BP) Zone to
Highway Business (B-1) Zone and direct staff to prepare the appropriate ordinance.
5. Continue the public hearing to May 17, 2005.
6. Table the matter and request additional infonnation from the applicant and/or staff.
ACTION REQUESTED
Offer a motion to recommend denial of the request to amend the Comprehensive Plan from Business
Park to Commercial, and offer a motion to recommend denial of the request to rezone the property
from Business Park (BP) Zone to Highway Business (B-1) Zone, and direct staff to prepare the
appropriate resolutions.
~ ~
Mark Noble
Planner I
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SHAKOPEE .... .... Shakopee Boundary
CoMMUNITYPRlDESlNCE 1857 S CJ Zoning Boundary
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Comprehensive Plan
Amendment and Rezoning from
Business Park (BP) to Highway
Business (81)
_u __________
EX~\f>rr e:>,
WENDELL R. SMITH 651.484.5714 phone
651.484.0699 fax
COMMERCIAL REAL ESTATE BROKERAGE & DEVELOPMENT 612.889.8230 cell
wendellrsmith@attbi.com
March 8, 2005
Mark Noble
City of Shakopee
129 S. Holmes St
Shakopee, MN 55379
Re: Change in Comprehensive Plan, Zoning Change and Conditional Use Permit
Dear Mark:
HHS LLC would like to request a change in the Comprehensive Plan, a Zoning Change
and a Conditional Use permit
HHS LLC in which I am a partner has a Letter Of Intent executed by a Theater Chain that
would like to build on our site ofl1.85 acres next to Furniture Outlets USA, in Shakopee.
This company has been looking in the area for almost two years, and picked our site due
to its visibility and access to 169. The alternative site is a site in Savage. Just recently a
poll "Visions of the City" was taken of the citizens of Savage and a Movie Theater was
one of the items at the top of what the people of Savage would like to see located in
Savage.
This company will build a 16 screen theater on the site and we are working on a design
that puts the theater perpendicular to Highway 169 with entrances on both the west and
east side of the building. The purpose of this is to break up a large parking lot, and to
also split the traffic coming in and out of the theater parking lot. The east side of the
building will be the main entrance moving much of the traffic further away from the
signalized intersection (see preliminary traffic study). This use will eliminate much of
the peak hour traffic at the intersection, as theaters operate in off peak hours. The
majority of traffic begins at 7 and ends about 10:30 and on weekends. We would also put
up signage for an east exit to Highway 169. The theater will be a theme theater with all
of the architecture built around a theme. In another area in which they are now building
the architecture is a French Theme both inside and out.
At the present time, our property is zoned Business Park. The area surrounding us is:
1. East across the holding pond is Business Park.
2. North across 12th Ave. is industrial.
3. West is retail.
4. South across 169 is office and retail.
121 0 Josephine Road . Roseville, MN 55113
E)C't4 \~,,.. b1-
REASON FOR REQUEST IN CHANGING THE COMPREHENSIVE PLAN,
ZONING AMENDENMENT AND CONDITIONAL USE PERMIT.
We believe that there have been significant changes in City-wide or neighborhood
development patterns have occurred.
1. The city has approved the Dean Lakes Project for residential, office and
retail, subsidized with city money. We are not requesting anycity subsidy,
and the Dean Lakes project will prosper from this project, as restaurants like
being next to a movie theater. We will only have room for the theater.
2. Directly west of this proposed project is retail. Ashley Furniture, Furniture
Outlets USA, Culvers, AmericInn, Mc Donald's and Park Inn. In discussions
with each of these retailers, no one was opposed and most of them have
written a letter supporting this. project as it will enhance their business (see
attached letters).
3. The zoning now attached to this property allows business's that are not
expanding at this time. There are significant vacancies in Valley Green.
4. A Movie Theater is the least disruptive use as most of their traffic is in off-
peak hours, nights and weekends when the rest of the park for the most part
is vacant.
S. Shakopee is an entertainment area.
Mark, IlliS LLC believes that this is the best use of this property, and we look forward to
presenting this plan to the Planning Commission and the City Council.
;;~cMf R. ~ -.
Wendell R. Smith
Partner
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Jf ,.J'. , McDonald's Corporation
fil' :. ~f: :;~- . 1650 W. 82nd St., Suite 900
t MCDonaldBll R. Smith- Smith and Associates Bloomington, MN 55431
~~ !llil. l!hloO Josephine Rd., Roseville, Mn. 55113 (952) 884-4355
Fax: (952) 885-4755
FAX - 651-484-0699
Subject: Proposed 16 Screen Cinema-plex with Theatre Seating - Shakopee, Mn.
Mr. Smith - On behalf of McDonald's and our nearby Shakopee restaurant I believe your proposed cinema
would add to the area and be a benefit to the community. We have been extremely happy with the response
of the Shakopee community to our newest restaurant on Hwy. 83. The area has been so receptive to our
existing store that we will be seeking more property to allow for additional parking to better service our
customers.
Your proposed cinema would only serve to enhance the immediate vicinity and help all our retailing
neighbors. Good luck in your venture.
Sincerely, ~~-
Ross Yeschek i' ."..... CR
Acquisition Manager, McDonald's Corporation
Midwest Region
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F=r~~: "u(i1heYde~ <cfiheYdr@mail~h~Yd~cori,p~nies.coT:> [Ad~ toAddre~~B6ok] [View SourceJ ."
;~:<~e~deJjr~~jth@do~~a~t.n~t>:' ". ....: ." "...... ':.
. SiJbiect:Re: Shakopee Park Inn and SiJites
Date: 1hu~3Mar 200501:33:52 +0000 .
Wendell :
I think it is great that you are willing to invest in this area. We are an
entertainment area and I see that there would be no detrimental impact caused by
your theatre project.
I will be in Florida until March 14. Please feel free to use this e-mail as my
positive response to your new theatre project.
Dennis L. Heyde
Owner
Park Inn Shakopee
MAR-02-2005 04:07 PM BILL 1NKS 605 9' ' 7910 P.02
&~lG IT" a,
Furniture Outlets l1)J@& 140 East I-links Lane · Sioux. Falls, SD 57104.0434
(605) 336.5000 Telephone · (60S) 336-50 [0 fa:(
www.l'urnitureoutletsusa.,om
... J. I I I LJIII
To: Wendell Smith
From: Gordy Wallenstein
Date: March 2, 2005
Re: Zoning request
Wendall.
I am writing to confirm our approval and hopes that the zoning change needed
to allow a movie theater next to Fumiture Outlets USA and the Ashley
Furniture Homestore is granted.
The proximity of the site to Highway 169 gives it good visibility as well as
access for good traffic flow.
We have several other Furniture stores in close ~roximity to movie theaters
and seem to benefrt from people "killing time" before or after the movies.
Theaters also typically attract more affluent demographic which is a definite
plus.
A theater and it's ever changing customer base would be a welcome addition
as a neighbor and a benefit to the city of Shakopee.
S~J~ ~'"
Gordy Wallenstein
President. fumiture Outlets USA
r
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From: Gustafson, Joseph [mailto:JGustafson@co.scott.mn.us]
Subject: FW: Comments on Movie Theater Traffic Study
While I don't dispute any of the analysis done in the study, Ido
dispute the parameters under which the study was performed. The study
analyzed the PM peak hour of the adjacent street traffic, when traffic
to/from the movie theater complex is comparatively very low. While this
may be the time that the intersection at 83 and 12th experiences the
most total traffic, most of the traffic is on the mainlines, which the
intersection is better equipped to handle.
The proposed development needs to be analyzed in the context of the peak
hour of the generator (the theater), not just the adjacent street
traffic. Both Friday and Saturday peaks should be analyzed, as Friday
probably has higher background traffic but less theater traffic, while
Saturday has less background traffic but more theater traffic.
The ITE Trip Generation 7th Edition lists Friday and Saturday analysis
for this situation on pages 794 and 796, respectively. Tables are also
given for the analysis with respect to the number of seats rather than
the number of screens on pages 799 and 801. Both analyses should be run
(screens and seats), and the higher prediction should be used for each
night.
Also needed is some text pertaining to how traffic operations will
coexist with existing traffic from Canterbury Park during the live
racing season, especially traffic exiting both complexes simultaneously.
We would be looking for an analysis during a typical Canterbury racing
event, not a sellout concert or other event. Canterbury Park may be
able to provide some of this data. Otherwise, turning counts should be
taken in late May once the live racing season has started.
Projected turning movement counts should be provided for 83 & 12th ave
for the analysis hour, taking into account the Canterbury Park traffic.
This way we can check the numbers in SimTraffic if need be, as Synchro
doesn't accurately model congested conditions. Also needed is a map of
the area showing how vehicles will be routed out of the theater site,
including any diversion routes.
As with any traffic study, if traffic operations from any approach are
found to be unacceptable during routine events, mitigation strategies
must be outlined including any proposed roadway modifications.
Please contact me with any questions on these comments.
JC)e'~ '8 ,,.. ~
City of Shakopee
Memorandum
TO: Mark Noble, Planner I
FROM: Joe Swentek, Project Engineer
SUBJECT: Rezoning - Business Park (BP) to HighwayBusiness (B-1)
(Lot 1, Block 2 of Valley Park 12th Addition)
PID NO.: 27-212002-2
CASE NO.: 05039
DATE: Apri115,2005
The application indicates a request to rezone the property located at 4300 12th Avenue East (Lot
1, Block 2 of V alley Park lih Addition) from Business Park (BP) to Highway Business (B-1).
After reviewing the above referenced application, I have the following comments for the
applicant and for the planning department:
The rezoning proposal to accommodate the construction of a multiplex movie theatre would
result in an unanticipated increase in traffic at the County Road 83 and 12th Avenue intersection.
The submitted traffic report concludes the additional traffic generated from the theatre would not
adversely effect the operation of the intersection during the weekday peaks, but suggests the
intersection be monitored and signs be installed to redirect traffic should there be problems with
congestion. These suggestions appear to indicate the potential for a need to upgrade the
intersection in the future. Also, the report did not adequately analyze the weekend alternative
coinciding with an event at Canterbury Park, which may be the critical peak.
Recommendation
Additional traffic study is required due to the potential negative impacts to the County Road 83
and 12th Avenue intersection.
C:\Documents and Settings\MNoble\Local Settings\Temporary Internet Files\OLK9\Case,Number,05039.Rezone.LlB2,VPI2th,doc
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04/21/2005 10:53 FAX 414 905 2879 MARCUS CORP FINANCE ~ 002/003
~
:THEATRES
.
April 19" 2005
Via facsimile 952-233-3801
Mayor John Schmitt
Mr. Michael Leek
Mr. Mark Noble
Members of the Shakopee Planning Commission
City of Shakopee, Minnesota
Re: Request for rezoning by Wendell Smith, HHS, LLC
Good Evening:
I would like to address the request to rezone the land located in the Business Park,
located north of Highway 169, east of County Road 83 and south of 12th Avenue East, for
the proposed use of l6-screen movie theatre.
Marcus Theatres Corporation is the owner of the Marcus Cinema in Shakopee at 1116
Shakopee Town Square. Marcus Theatres is celebrating 70 years of exhibition this year
as the ninth largest theatre chain in the D.S.We are acknowledged by industry analysts
to be one of the most well-run circuits and have never experienced the financial failings
that 12 of the top 20 chains in America have endured, which resulted in hundreds of
theatre closures.
We purchased the six screen theatre in Shakopee approximately six years ago and quickly
expanded it to 11 screens; retrofitted the older six screens with popular stadium seating
and installed digital sound in all eleven auditoria. We made a total investment of millions
of dollars for the future of movie-going in Shakopee. This is a clean, well-run, a state-of-
the-art cinema, but despite those facts, to our dismay, our sales have never reached
anywhere near our expectations. As a result of our miscalculation, we have been
experiencing losses in six figures for six consecutive years. Those losses were magnified
by the opening of the new AMC theatre in Eden Prairie, which is quite far away. So
imagine what adverse results another theatre located just minutes from our location in
Shakopee would have on our operation.
We certainly understand that a municipality cannot and should not legislate or in anyway
attempt to interfere with competition and the private enterprise system, but a city does
have the responsibility to maximize tax revenue by intelligently zoning property and
granting conditional use permits for proper business uses. It is our experienced opinion
that another theatre in Shakopee will be a financial failure of significant proportions and
that our operation will be severely affected as well.
04/21/2005 10:54 FAX 414 905 2879 MARCUS CORP FINANCE ~ 003/003
~
A motion picture theatre is a single-purpose building which cannot be converted into
another use because of the demising walls and concrete risers in each auditorium for what
is called stadium seating. Consequently, if a theatre location is not successful, it is either
boarded up, demolished or totally gutted at great expense. In those situations, this
business would not be able to pay real estate taxes.
We respectfully request that you consider all of the reasons stated above and deny this re-
zoning request and the granting a conditional use permit. Thank you for your
consideration.
mOb-
Bruce J. 01s I
President
Marcus Theatres Corporation
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