Forest Lake council approves Chestnut Creek Phase 2 preliminary plat, directs developer to work on parkland plan

Forest Lake — The City Council on Oct. 13 approved the preliminary plat and amended planned-unit development (PUD) for Chestnut Creek Phase 2, a 58-acre second phase that would add about 116 lots to the neighborhood, and directed the developer to work with city staff and residents to provide a combination of land dedication and fees that will be used at least in part to build a park.

The decision followed more than an hour of public comment from neighborhood residents and a staff presentation that summarized the project history, wetland-buffer requirements and traffic and drainage concerns. "There was no park approved," said Abby, Community Development staff, describing the differences between the 2016 PUD approval and what nearby residents say they were told. Still, staff recommended moving the amended PUD forward while negotiating park provisions.

Residents urged action. Terry Steenblock, former chair of the Parks, Trails and Lakes Commission, told the council he had reviewed earlier records and video and said the commission had long expected a park in Phase 2. "I would strongly encourage you to either vote no to taking the parkland dedication fees in lieu of the land and follow the decision of your Parks, Trails and Lakes Commission, or table the decision until there's an opportunity for the city, the developer, the neighborhood and the Parks Commission to work together and find a solution that does include a park," Steenblock said.

Several neighbors described young families and frequent informal play at the end of neighborhood streets. "We just need somewhere for the kids to go," said resident Chelsea Langless, a mother of three. Others raised concerns about stormwater and existing wetland buffers inside Phase 1 yards; staff said buffers will be mapped and shown on future surveys.

Developer representatives from D.R. Horton said they were open to a mix of land and cash, and presented options ranging from a smaller, buildable neighborhood park (roughly 1 to 1.5 acres) to a larger dedication that would reduce lot yield. "If we start getting over an acre, then we gotta start relooking at our numbers to see where all the walls land when we're done," said Mike Soo of D.R. Horton, explaining tradeoffs between park acreage and the number of lots the builder can deliver.

City staff outlined technical constraints and financing choices: under current code the standard park-dedication calculation is 10% of developable land or a per-lot fee (the packet uses $2,500 per lot as a historical conversion). For 116 lots that per-lot fee would yield an approximate minimum cash contribution of $290,000; a 10% land dedication would amount to roughly 3.5 acres based on the staff estimate in the packet.

After discussion councilmember motions amended the staff resolution to require the developer and staff to work together on a park solution that includes a combination of land dedication and fee and specifies that the fee or land be used, at least in part, to construct the park. The council voted to approve the preliminary plat and amended PUD with that condition; the council asked that staff return finalized language with the final plat documents and a plan to the Parks Commission for review.

No final size or precise location of the park was fixed by the council vote; councilmembers said they preferred a workable compromise so the development can proceed while ensuring a public amenity is developed in the near term. The approval preserves later opportunity to refine final engineering, stormwater controls and park design during final-plat review.

What happens next: the council approval advances Chestnut Creek Phase 2 to the final-plat stage. Staff and the developer will work with the Parks Commission and neighborhood on a park plan and the owner's declarations that the city will review as part of final approvals. Wetland delineations, stormwater modeling and Rice Creek Watershed District requirements must be satisfied before construction.

Why this matters: The Chestnut Creek area now under final review has prompted repeated neighborhood concern about long-standing expectations for a neighborhood park, local drainage problems and traffic safety. Council members said the decision balanced the developer's ability to finish a long-delayed subdivision with the community's stated need for accessible recreation space.