Plano commission denies rezoning request to allow indoor commercial amusement at Plano Parkway/Los Rios

The Planning and Zoning Commission on March 25 unanimously denied a request to rezone an 8.2-acre property at the northwest corner of Plano Parkway and Los Rios Boulevard from Research Technology (RT) to a Planned Development to allow "indoor commercial amusement" uses (agenda Item 3).

John Kim, a city planner, told commissioners the RT district is intended to create low-density employment campuses for offices, research and development, medical centers and limited manufacturing. Staff said the proposed amendment to allow indoor commercial amusement (a retail/entertainment classification in the city's zoning code) would be inconsistent with the RT district purpose and the comprehensive plan and could prompt future requests to further dilute RT uses.

Kim said the RT district overall shows strong market demand, and staff cited a roughly 92% occupancy figure for RT properties. Kim also noted the site contains smaller, lower-square-foot buildings (11,000'12,000 sq. ft.) than the RT median building size in the area (median ~68,000 sq. ft.), and that the smaller building footprints reflect the owner's prior design decisions rather than a lack of demand for RT uses citywide.

Property owner Amir Hamza and representatives said they invested in the project during COVID and have struggled to lease the smaller suites as RT tenants. Hamza said the owner has spent roughly $11 million to date and that leasing has been slow; he asked the commission to allow a targeted indoor-children's-play facility (a national operator called Hyperkids was cited) that would occupy up to 12,000 sq. ft. and provide weekday demand and synergy with an on-site daycare.

Carl Crowley, representing the owner, said the tenant mix sought would create seven-day activity at the corner and help activate parking and nearby retail that is often quiet on weekends. Parent and prospective operator speakers described local demand for a supervised indoor play facility for young children.

Commissioners and staff debated the difference between supportive accessory uses (daycare, fitness centers, medical offices) that are allowed in RT as daytime, employment-support services, versus entertainment-oriented indoor commercial amusement (bowling alleys, arcades, indoor pickleball or children's play centers) that staff classifies as a retail/entertainment use rather than a supportive employment use. Staff said accessory retail and restaurants are capped at 10% of gross floor area in RT, and the applicant's request would instead seek the indoor-amusement use as a primary permitted use (up to 12,000 sq. ft.).

Commissioner Bronski moved to deny the rezoning request; Commissioner Ollie seconded. Commissioners cited the need to preserve the integrity and long-term intent of the RT district, concerns about setting a precedent that would encourage additional retail in employment districts, and the fact that the applicant's leasing choices produced smaller building footprints. The commission voted 7-0 to deny the request.

Key facts and outcomes - Item: Request to rezone 8.2 acres at NW corner of Plano Parkway and Los Rios Blvd (Item 3). - Proposed change: Add indoor commercial amusement as an allowed use in a PD for the site; maximum indoor amusement floor area limited to 12,000 sq. ft. - Staff recommendation: Deny (inconsistent with RT district purpose and the Plan). - Motion: Deny rezoning request; Mover: Commissioner Bronski; Second: Commissioner Ollie; Result: Denied 7-0.

The owner indicated a willingness to consider narrower alternatives, but the commission declined to modify the RT district for this site. Staff advised that the RT district remains the preferred framework for employment-oriented development and urged the owner to pursue uses consistent with the RT zoning or to return with an alternative that fits the RT objectives and comprehensive plan policies.