Owners propose rebuilding Shallow Shaft as small hotel and café; planning commissioners press drainage, kitchen and avalanche issues

Owners of the Shallow Shaft property returned to the Alta Planning Commission on March 26 to present a revised redevelopment concept and a proposed text amendment that would change how properties in Zone C are treated under the town land-use code.

The applicants, Michelle Schaff and Walter Krausebach, presented plans to replace the existing structure with a three-level building containing a ground-level covered garage with five parking stalls, a coffee shop at street level, three to five transient lodging units, and a small employee housing unit. "We want to develop something that the town feels really good about, feels proud of," Michelle Schaff said during the presentation.

The applicants asked the commission to consider a targeted code change limited to Zone C that would reduce the minimum lot-size/width barrier that currently leaves the Shallow Shaft and the nearby Photo House as nonconforming lots. Their stated goal is to allow redevelopment beyond what the current nonconforming-rebuild rules permit.

Why it matters: Commissioners said the proposed change would clear a regulatory hurdle that now limits what can be built on two small lots in downtown Alta, but several technical and legal issues remain unresolved. Those include whether units with kitchens can be treated as transient lodging under the town definition of "hotel," the presence of a culvert that triggers a 50-foot waterway setback, and avalanche-safety design requirements for above-grade construction on the site.

Stormwater and culvert setback: Applicants told the commission the property contains a culvert that is currently within 50 feet of their proposed building footprint and that water from above the town and from Highway 210 is being directed onto the Shallow Shaft parcel. Andrea Hopham, speaking for the applicants, said they have discussed options with UDOT and Salt Lake County representatives and proposed alternatives such as relocating the culvert, adding a catch basin at the southeast corner to intercept uphill runoff, or installing a trench drain at the garage entrance. "We do not need a culvert of that size to manage stormwater that is on our property," Hopham said, adding that the applicants are open to working with the town on a mutually acceptable stormwater solution.

Planning commissioners and staff emphasized that stormwater and culvert responsibilities are a technical matter the applicants must resolve before final approvals. Commissioner Dave commented that the property owner "has to figure out the stormwater" and that the commission itself cannot waive the code requirements. Commissioners and at least one county flood-control representative present described the watercourse as a natural drainage channel that predates the town sidewalk and roadway improvements; the applicants and commissioners discussed multiple engineering options to move or intercept the flow.

Hotel definition and kitchens: A central legal and policy issue raised by staff and commissioners was whether units that contain kitchens are "dwellings" (and therefore residential uses) under Alta's code. Chris, a town planning staff member, noted the code purpose for the base facilities zone discourages residential units and said the town attorney has interpreted that a unit with a kitchen may be classified as a dwelling. The applicants and their counsel, Jay Springer, disagreed with a strict interpretation and argued kitchens-in-suites are common in other Alta lodging properties. "There is nothing in that [hotel] definition that implies that we cannot have units that have a kitchen in them," the applicant's representative said during the presentation.

Commissioners asked staff to clarify how the town has previously handled other Alta lodging properties that have kitchenettes or kitchens, and staff said they will research whether some existing units are out of compliance. The commission also discussed broader policy implications—water demand, precedent for allowing more resident-like units in the base facilities zone, and whether any regulation change would need to be tied to a general-plan update or a zoning-code amendment process.

Avalanche study and structure design: Commissioners and staff also pressed the applicants on avalanche risk and structural design. The applicants said they have not yet completed an avalanche-force analysis and that they will commission a study if the project advances. Planning staff confirmed the town code requires an avalanche study for locations exposed to avalanche runout and that the technical results could affect the building's structural design and cost. As one commissioner put it, "without knowing those avalanche impact forces it's hard to know what the building really needs to resist."

Other development details: The revised proposal reduces unit count from earlier designs (applicants said rooms were reduced from eight to five), adds a coffee shop as a public amenity, includes EV charging in the garage and a green roof, and proposes solar panels on top of the structure. The applicants said the new design orients the building to optimize solar exposure and increase green space between neighboring buildings. They also said the existing building's current footprint and condition motivated the redevelopment effort: "We don't want the structure sitting there," Walter Krausebach said; "we want to do something that will be helpful for the town."

Minutes vote (procedural action): Earlier in the meeting the commission unanimously approved the minutes of the Feb. 26 meeting as amended. A motion was moved, seconded and approved by voice vote before the presentation began.

Next steps: The Planning Commission offered general, nonbinding feedback and requested staff follow up on code interpretation and technical issues. The applicants said they will refine the materials and consider a formal application. Commissioners repeatedly emphasized the applicants must resolve the culvert/stormwater resolution and produce the required avalanche analysis and clearer legal/legal-counsel guidance on the hotel/kitchen question before the commission or town council could make final decisions.

The commission set no further formal action tonight; applicants were encouraged to consult further with town staff and other agencies and to return with a formal application when substantive technical issues have been addressed.