Plano commission approves flex-warehouse plan for former Fry’s site with conditions

Plano — The Planning and Zoning Commission on July 21 voted to amend Planned Development (PD) 58 and approve a site plan allowing a commercial flex-warehouse and a rezoning of an adjacent strip at the former Fry’s Electronics superstore, a developer and staff told the commission.

The proposal by Warespace would repurpose the existing Fry’s building into roughly 120–160 small leasable warehouse and office units, rimmed with shared amenities such as conference rooms, restrooms and truck docks. The applicant’s presentation described leasable units from about 300 square feet up to 20,000 square feet, and a cap of 20,000 square feet per tenant for more intensive manufacturing or distribution uses.

The project drew detailed questions from commissioners about fire safety, utility and building-permit requirements, and how the city will regulate dozens of subtenants inside one building. City staff and the chief building official described the enforcement approach: Warespace would hold a single certificate of occupancy for the property, deliver monthly reports to city departments listing active tenants and uses, and be the first point of contact for complaints, building code compliance and any necessary remedial work.

"The CO would be issued to Warespace, which will be the building owner," said Celso Mata, chief building official. "They'll also manage the space. What we did was look at a chapter in the building code ... and some of those spaces do not require a fire-rated wall between them, based on the occupancies. But if additional mitigation is required, they would have to make those improvements."

Warespace representatives described the business model as an incubator for small businesses and entrepreneurs, providing shelving, climate control, shared loading docks and on-site general managers. "Our sole purpose is to provide the best warehouse space we can for small businesses," said Jason Thorberg, vice president of construction for Warespace. Bill Daulstrom, representing the applicant, told commissioners that Warespace would operate as the primary tenant and sublease spaces to individual businesses.

Staff recommended approval subject to city council action on the rezoning, and commissioners approved the PD amendment and the associated site plan. The commission voted 8–0 to recommend approval of the zoning change (2A) and 7–1 to approve the site plan linked to 2B, with a condition that the applicant and city staff work together to revise and confirm facade openings on the east and west facades before the case goes to council.

Commissioners pressed staff and the applicant on several implementation items commissioners said they wanted clarified before council: where grade-level roll-up or drive-in doors would be placed, how vehicle and delivery traffic would be routed to avoid queuing on adjacent streets, how on-site general managers will log hazardous materials and limit noxious fumes, and how the single certificate-of-occupancy model will handle tenant-specific permits and interior alterations.

Staff said the proposed plan would add up to four new truck docks (for a total of up to eight) and designate shared fleet parking while meeting the city’s parking calculations (staff used a 1:600 parking ratio in their analysis for similar facilities). The proposal also prohibits certain high-impact uses (mini-storage, public assembly, food manufacturing requiring a food-handling permit, vehicle repair shops, car washes) as part of PD stipulations.

Commissioners and staff noted one formal written opposition from the owner of a 5.3-acre parcel immediately west of the site; staff said the single letter met the 20% opposition threshold that would send the rezoning to city council. Commissioners asked the applicant to work with staff on final site-plan details so the record at council would reflect the revised facade and access layout.

The commission’s action was limited to the PD amendment and site plan; final zoning ordinance text and the site-plan revision must be approved by city council before work may proceed.