Planning Commission denies rezoning request near Canyon Lake area, citing spot zoning and neighborhood impacts

The Rapid City Planning Commission on Sept. 25 denied a request to rezone 3950 Fairway Hills Drive from Medium Density Residential (MDR) to Office Commercial (case 25 RZ 025). The property contains a 24‑unit multifamily dwelling and a small on‑site management office; the applicant asked to permit the office as leasable space under an Office Commercial zoning designation.

Staff recommended denial, saying the surrounding area is predominantly single‑ and multifamily residential and that rezoning would constitute spot zoning. “This is a well established and predominantly residential area,” Cassie Hayes said. Staff also flagged the public‑safety and management role the on‑site office plays, noting that removing the manager’s office could reduce a direct contact point for first responders and for on‑site tenant oversight.

Residents and neighbors opposed the rezoning at the public hearing. Gary Harms, who lives adjacent to the parcel, said the office’s conversion could increase traffic during drop‑off and pick‑up times for nearby childcare and school routines and that the neighborhood had previously opposed commercial encroachment. “My fear is that if this is rezoned, that it opens the door to something else,” Harms said.

Renee Catron, representing the property owner, said the owner purchased the apartments June 1, 2025, and had leased the small office building to a third party. Catron said the owner sought to legalize the current leased office and had phased plans for future development across multiple tracts he owns; she described voluntary parking commitments, including providing two spaces per unit in later phases.

Commissioners discussed parking, the role of an on‑site manager and whether a plan development or development lot agreement could address future shared parking. Staff noted that an on‑site manager is currently not required by code for typical apartment projects but said the city is considering ordinance changes to require on‑site management for higher‑intensity multifamily developments.

Commissioner Mike Kwazny moved to deny the rezoning on the grounds the conditions have not changed, the request would create spot zoning and the surrounding area is residential; Alicia seconded. The motion carried by voice vote.

The denial maintains the property’s MDR zoning. Staff said the property owner retains options to pursue residential uses that comply with MDR zoning or to propose a different site plan or zoning map amendment through the city’s formal rezone process.