STAFF REPORT
TO: Planning & Zoning Commission Members
FROM: Planning Division Staff
REQUEST:Title
Request for a Planned Development Rezone and Amended General Development Plan of 5601 Highway 95 Building I, Tract 2396, Lot A-3, from General Commercial/Planned Development (C-2/PD) District to General Commercial/Planned Development (C-2/PD) District, to Allow Multi-Family Residential, a Maximum of 32-Feet Above the Approved Designed Building Pad Height for Each of the Buildings, and an Exception to the Residential Covered Parking Requirement (Trevor Kearns)
Body
GENERAL INFORMATION:
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Application No.: |
25-4958 (PZ2025-00194) |
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Property Legal: |
Tract 2396, Lot A-3 |
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Address: |
5601 Highway 95 Building I |
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Lot Size: |
4.54 Acres |
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Applicant: |
Jesse Crawley |
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Owners: |
CF Capital Partners LLC |
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Staff Project Manager: |
Trevor Kearns |
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Current/Proposed Land Use Designations: |
Commercial/High Density Residential |
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Existing/Proposed Use: |
Parking Lot/Residential Multi-Family |
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Proposed Number of Lots/Units: |
102 Units |
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Density: |
23 Units/Acre |
SITE ANALYSIS:
The subject property consists of a theater, restaurant and parking area. The property measures a total of 4.54 acres. It is located on the west side of The Shops at Lake Havasu just south of Walmart. A commercial retail building is to the east and undeveloped Arizona State land is to the west of the property. The adjacent properties are zoned General Commercial (C-2) District and General Commercial/Planned Development (C-2/PD) District. Area, and Zoning Maps are attached.
The subject property is part of the original “The Centre” Mall Planned Development and approved in 1997. Since then, portions of the original 205-acres have been removed or amended with Planned Development Amendments in 2002, 2005, 2007 and in 2019. The current General Development Plan allows a 46-foot building height allowed for architectural features. The theater to the south ranges from 40-foot tall to 46-foot tall, the Walmart building to the north is 35-feet tall. The existing ordinances are attached.
The shared parking and access to and from for The Shops at Lake Havasu is regulated by the existing CCRs and the recorded subdivision map. The existing parking areas owned by the owner of the lot that this development is located upon (that also owns most of the mall) have enough parking through these documents to provide far more than just the 30 parking space shortfall not provided for directly on the Amended General Development Plan. Based on the parking study of the owners existing spaces and existing uses for the mall, there is a surplus of over 1,500 parking spaces in the area that are regulated through the CCRs.
PROPERTY AND APPLICATION BACKGROUND:
The applicant’s letter of intent states that they are proposing a 102-unit multi-family project that will consist of six buildings with a mix of one-bedroom and two-bedroom units. The buildings will be three-story buildings with exterior access to the units. Each unit will have a balcony or patio at the rear. The structures will be modular construction; this means they will be built off-site and brought on location to be assembled. The applicant has committed to developing a high-quality community that meets city standards, complies with The Shop’s CCRs, and provides well-designed, energy-efficient homes.
The Shops at Lake Havasu Development was envisioned and constructed as a commercial activity, suburban outdoor access mall which is typical in communities all across America. Like its predecessor, indoor access malls, these types of developments evolve over time. In many similar developments across the country, multiple family is either directly adjacent or incorporated with the mall design concept to blend the residential and commercial components. Multiple family residential is typically used as a buffer between lower density residential and higher intensity commercial, office, and sometimes industrial uses. In the case of The Shops at Lake Havasu, residential use is not a permitted use and would need an exception. Other issues that are present with multiple family developments in commercial areas is the City’s residential covered parking requirement, as The Shops has no covered parking. This would also require an exception. Finally, the C-2 base height allowance is 25 feet. The applicant is requesting 32 feet, which exceeds this base height and requires an exception. For comparison, the Wal-Mart building to the north of the proposed development is slightly higher at 34 feet and the theater building to the south was permitted to go to 46 feet in a previously approved PD Ordinance from 2005 to accommodate the architectural features with the majority of the theater being 42 feet or more in height. Thus, with the requested height this proposed building will effectively be screened on three sides by structures. The fourth side to the west, which will not be screened, abuts City limits and is undeveloped open land for at least a mile.
Landscaping and buffering are minimally shown on the Amended General Development Plan, however, landscaping for the project will be reviewed during Design Review to ensure compliance with the Development Code. No landscaping exceptions were requested. The Amended General Development Plan and façade elevation drawings are included as attachments.
GENERAL PLAN LAND USE DESIGNATION/CONFORMITY:
The Future Land Use Map of the General Plan designates this area as Commercial Mixed-Use. The subject property and all surrounding properties are also within this land use category. The proposed Planned Development Overlay is in conformance with the General Plan. The General Plan Map for the area is attached.
FINDINGS REQUIRED FOR PLANNED DEVELOPMENTS:
Section 14.05.04(L)(4)(a-h) of the Lake Havasu City Development Code requires eight findings be met before a Planned Development is approved. Those eight findings and Staff’s analysis of each finding is as follows:
a. The proposed development shall be consistent with and conform to the Lake Havasu City General Plan.
The proposed amendment is consistent with the maps and policies of the currently adopted General Plan amendment if it is approved. The General Plan supports high density multiple-family residential development in this area.
b. The exceptions from the standards of the underlying district are warranted by the design and amenities incorporated into the development plan and program.
The proposed project will be required to meet all the requirements of the Development Code.
c. The proposal is in harmony with the surrounding area or its potential future use and incorporates unified or internally compatible architectural treatment.
The proposed residential use is a lower intensity of use than the surrounding existing commercial uses. The residential use will be a complementary secondary use to the surrounding area.
d. The system of ownership and the means of developing, preserving, and maintaining open spaces is suitable.
The property owner will submit for a design review to ensure the project meets all city codes for landscaping, open space, screening, and buffering.
e. The approval will have a beneficial effect on the area which could not be achieved under the primary planning designation for the area.
The C-2/PD zoning requested is consistent with the General Plan Future Land Use designation for this area and the requested PD, if approved, will allow the use.
f. The proposed development, or a unit thereof, can be substantially completed within 3 years from the date of approval.
The applicant believes the project can be constructed in three years.
g. Adequate public facilities and services are available or are proposed to be made available in the construction of the project.
Adequate public facilities are currently available to the property. Some utility services and easements will be required to be relocated to accommodate the development, and these issues will be addressed prior to construction if this application is approved.
h. The general objectives of the PD district and the applicable objectives of the various categories of planned development have been met.
The proposed use meets the general objectives of the PD District and all other objectives of the planned development section of the Lake Havasu City Development Code.
EXCEPTIONS REQUESTED:
The applicant requests that the following exceptions from City Code standards be included in any recommendation regarding, or future ordinance approving, the rezoning, and the accompanying Amended General Development Plan:
1. Allow multi-family residential uses in the C-2 zoning district pursuant to the Amended General Development Plan provided.
2. Allow 32-foot maximum building height measured from the approved maximum grade.
3. Residential parking spaces shall be exempt from the requirement to provide covered parking.
CONCLUSION:
The requested zoning classification is in conformance with many goals and policies of the City’s General Plan. Staff finds that the request meets all requirements set forth in Section 14.05.04(K)(6) of the Lake Havasu City Code.
CITIZEN’S MEETING
A Citizens’ Meeting regarding the future rezoning was held on September 2, 2025. Based upon the Citizen’s Meeting Summary, seven people attended the meeting in person and five people attended virtually. The Citizens’ Meeting Summary is provided as an attachment.
COMMENTS FROM OTHER REVIEWERS:
No objections were received from any other review agencies or departments.
OTHER REQUIRED ACTIONS:
Building permits and compliance with all other aspects of the Building and Development Codes, including off-site improvements such as street paving, curb, gutter, and sidewalks, will be required with development of the property.
This item is scheduled to be heard by the City Council at its November 25, 2025, meeting.
ATTACHMENTS:
Ordinance 25-XXXX
Area Map
Zoning Map
General Plan Map
Existing Ordinances
Letter of Intent
Amended General Development Plan
Citizens’ Meeting Summary
CODE COMPLIANCE REQUIREMENTS:
The following are the conditions necessary to be compliant with the City’s Development Code:
1. The development of the property shall substantially match the Amended General Development Plan.
2. Multi-family residential is allowed only on the northern half of the subject property as identified on the Amended General Development Plan. A lot alteration is required to create a separate lot for the proposed multi-family project. The lot alteration and parcel plat must be completed prior to any future City approvals.
3. The current shared parking and cross access easements for the subject property and surrounding properties must remain shared.
4. Building Permits and Design Review for compliance with City Codes, including the Lake Havasu City Public Works Department traffic impact comments, will be required prior to development of the property.
SUGGESTED MOTION:Recommended Action
I move to recommend approval of Land Use Request 25-4958 to the City Council for a Planned Development Rezone and Amended General Development Plan for 5601 Highway 95 Building I, Tract 2396, Lot A-3, from General Commercial/Planned Development District to General Commercial/Planned Development District, to allow multi-family residential uses, a maximum of 32-feet above the approved designed building pad height for each of the buildings, and an exception to the residential covered parking requirement.