The Town Council has given a unanimous go-ahead for a proposed mixed-use commercial development at Saguaro and Kingstree boulevards.

The council voted 7-0 to approve an application for a special use permit (SUP) to allow residential use on the property, which is within a community commercial (C-C) zoning district. The Planning and Zoning Commission had rendered a split 4-3 vote in August to recommend the council deny the permit due to some concerns raised by neighbors to the property.

Dan Kauffman of Kauffman Homes in Fountain Hills is proposing to build a three-building complex that has a mixture of residential and commercial uses. The plan was before the council for the special use permit application to allow the residential use in the commercially zoned area.

A single building along Saguaro Blvd. would be two stories with office suites on the first level and four residential condos on the upper floor.

Additionally, the plan has two separate two-story structures to the rear that would provide for eight units defined as live/work environments. Kauffman envisions business owners operating from the ground floor with residential quarters on the second level. He said possible uses could be cafes, salons, art studios and professional services on the first floor. There are a variety of uses outlined in the Zoning Ordinance as permitted within the C-C zoning district. The second floor would provide for living space for the business operators or possibly split business with a public office on the first floor and private workspace above, or a café with upper-level seating.

The special use permit would not be needed if commercial use only were being proposed at this location.

Kauffman said the mixed-use development known as “Urban District” is a known method to attract and keep small entrepreneur businesses in Fountain Hills.

“We need to bring exciting new products to stay and live/work and play in Fountain Hills,” Kauffman said. “(Businesses) will all benefit from each other utilizing the others’ services. Look at all the empty commercial lots all over Fountain Hills.”

In 50-plus years the community should be built out by now, Kauffman said. He said the town can change that dynamic by allowing more diverse business types for people to live where they work and own their own businesses to create a more vibrant and livable town.

“Let’s open our eyes to have a town which was planned over 50 years ago and has never been completed,” he added. “We need to adapt to today’s changing market.”

Public input

Town staff received a letter from the Saguaro Ridge Villas Association on Zephyr Drive, which is adjacent west of the parcel, objecting to the plan.

“As an association, we are opposed to the granting of a permit that allows higher usage of the property than originally contemplated by the Zoning Ordinance,” the letter states.

The letter cites specifics related to the intensity of the commercial use, traffic at the intersection of Saguaro and Kingstree, rental of the property, dumpster locations, town-wide commercial vacancy, building height and adequacy of parking.

“Maybe 50+ years ago the planners overestimated the number of commercial enterprises the town needs,” the Association states. “Perhaps a better solution would be to change the zoning where possible to allow residential use based on the demand in that market.”

Resident Aaron Brown said he believes the development should have its own parking either underground or in the form of a parking structure.

Council members seemed to place the responsibility for managing the parking for the overall plat on the property owners’ association. There are 174 available spaces within the plat with some existing commercial development. When the original plat was approved parking was taken into consideration based on the potential uses.

It was also noted that parking for residential would be less than needed for full commercial use on the site.

One concern council members did ask staff to keep an eye on as development proceeds is the traffic flow for Saguaro and Kingstree. Some noted that a left turn from Kingstree to northbound Saguaro would become just about impossible with the building interfering with line of sight.

Kauffman noted that the building closest to Saguaro is moved away from the intersection to improve the line of sight.

Staff said that as building plans are reviewed, they will make sure standards are met to provide for traffic safety.

There were about a dozen who spoke in support of the plan or sent emails to staff in favor of the proposed development. There were four speakers who opposed the permit.

In response to a question from Vice Mayor Alan Magazine, Kauffman said he is ready to move to get building plans to the town as soon as possible to begin development of the site.