Developer says permitting, CDOT access permit and infrastructure costs are delaying Starbucks; Chipotle lease secured

Developer Derek Martinez told the council he purchased roughly six acres between Culver’s and Muir Street and has spent about 18 months in the permitting process for a Starbucks site. Martinez said multiple traffic studies and last-minute infrastructure requirements from CDOT have created uncertainty: he estimated potential infrastructure costs could run in the “hundreds of thousands” and possibly exceed $1,000,000, and he said delays could block issuance of a certificate of occupancy (CO) and prevent Starbucks from opening.

Martinez said the city has discussed potential funding pathways with staff and urban renewal but that he was concerned about being asked to sign performance bonds or to shoulder costs that could render projects financially infeasible. He said he is willing to contribute a fair share but wants specificity on obligations and a clearer timeline so tenants will not be forced to wait a year or more. Martinez announced that he finalized a lease with Chipotle to go next to the planned Starbucks, subject to permitting and COs.

Council members and city staff responded that the council and mayor’s office have engaged staff and urban renewal to identify funding options for boulevard infrastructure and to pursue access-permit solutions with CDOT. A councilor reported the city’s general‑fund reserves have been higher in recent years (mentioning $26 million three years ago and $21 million in the most recent budget discussion). Staff agreed to prepare background on unusual requirements such as performance bonds and to continue coordinating to get the businesses open while the funding and permit details are resolved.