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Planning Commission limits ground‑floor residential in Urban Commercial district; allows apartments facing interior lot
Summary
The Planning Commission approved a modified major amendment to a planned development that would convert some ground‑floor commercial suites to apartments, but denied units that would face Saint Joseph Street — the pedestrian commercial corridor — citing the district's intent to preserve active street‑facing commercial uses.
The Rapid City Planning Commission on May 22 approved in part and denied in part a major amendment to an existing planned development for a mixed‑use building near St. Joseph Street, allowing ground‑floor apartments on the internal parking side but rejecting apartment conversions on the street‑facing (Saint Joseph) elevation.
Why it matters: The commission said the Urban Commercial district was adopted to bridge the downtown core and the School of Mines by encouraging pedestrian‑oriented, ground‑floor commercial activity. Commissioners and staff said converting the Saint Joseph frontage to apartments would undermine that long‑term intent; they were more comfortable permitting apartments on the internal elevation that faces the parking lot.
What was proposed and staff analysis - Proposal: convert 17 unfinished commercial suites on the building’s ground floor to 17 apartment units, preserving one commercial suite on the west end; the building already contains 99 apartments on upper floors. - Staff: Community Development staff explained the Urban Commercial district’s intent to promote pedestrian‑oriented storefronts on primary corridors. Vicky (Community Development director) said the district’s design standards (including ground‑floor transparency requirements) were written to encourage commercial uses on pedestrian streets and to preserve the corridor between downtown and the School of Mines.
Applicant arguments - Developer representatives including Norman Drake and counsel Richard Williams argued the zoning text permits ground‑floor residential as a permitted use in the district and that market realities — rising retail vacancy in parts of downtown and low apartment vacancy rates — support adding more housing. Williams asked commissioners to presume the application is allowed and consider that residential could help activate downtown by increasing foot traffic for retailers. - The applicant also said the ground‑floor bays along Saint Joseph Street are shallow and difficult to lease to modern retail, and that leaving them vacant reduces vibrancy.
Commission discussion and decision - Compromise: Staff recommended denial of the St. Joseph–facing units while supporting apartments on the north/internal elevation; commissioners debated retail‑vacancy data presented by the applicant and the original planned development’s intent. - Motion and result: Commissioner Eric Hiekis moved to approve the amendment in part and deny it in part (approve units facing the parking lot; deny units facing Saint Joseph Street); Alicia seconded. The motion carried with Commissioner Mike Kwasney recorded in opposition.
Practical effect: The developer may proceed with internal ground‑floor apartments as approved; the street‑facing storefronts must remain commercial per the approved planned development modification. Staff signaled willingness to consider future ordinance changes to clarify the Urban Commercial district’s language and to allow flexibility if market conditions change, but planners emphasized that any such change should be deliberate and address parking and pedestrian design concerns.
Ending: Commissioners urged the developer to explore creative leasing strategies for the preserved storefronts and reminded the applicant that approved structural exceptions from the original planned development (setbacks and garage design) remain in effect.
