Agenda - Economic Development Authority - 06/14/2018

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Councilmember Riley stated that it is not the job of the City to level the playing field or play favorites. He stated that the land is for sale and this is an acceptable use that fits the zoning. He believed that competition is good, and more retailers bring more retail. Councilmember Shryock stated that she understands that point of view, but the City has put themselves in the position of master developer and therefore must make the decision of what this should look like. She stated that the City has the position to make the decision of whether to put two grocers that close together. Planning Commissioner Surma stated that he shares the concerns of some of the others that this could put Coborn's at risk. He stated that if you put another building in that area, you will put additional demand on parking that is already stressed to the maximum. He noted that the parking lot is often full on the weekend and is dangerous for pedestrians. He believed that the parking would need to be expanded as it is and there would not be space for another building in that location. He believed that Aldi should go in another location. He stated that if this goes forward, he believes that when the Coborn's lease expires that business would leave and the City would lose that amenity. Planning Commissioner Woestehoff stated that it is easier to retain a client than it is to find a new client. He stated that he would prefer to retain an existing business over attempting to recruit a new business. He did not think parking would be a problem and believed that the parking proposed would exceed the required amount of parking. He stated that his concern would be that forcing this competition could force out an existing business and he would prefer not to do that. Community Development Director Gladhill stated that the parking requirements have been changed over the years as development has evolved. He stated that Aldi is proposing over the minimum amount of parking. He noted that there are times when the existing parking is taxed but overall there are enough spaces to meet the zoning requirements. He acknowledged that at peek times there is high demand for parking and pedestrian crossings could be improved. Planning Commissioner Surma noted that if another building is added in that location there will be a parking and safety problem. Councilmember Kuzma stated that competition is healthy and Coborn's will need to make sure their shelves are stocked properly and compete. He stated that there are often car dealerships next to each other. He stated that Aldi caters to a different shopping need and customers would probably go to both businesses. He did not think the City would lose Coborn's by allowing Aldi. City Administrator Ulrich stated that in the meeting with Coborn's, he was surprised that the business was sorry to see McDonald's leave because McDonald's would pull traffic off the highway. He stated that perhaps that site would be a good fit for a restaurant or fast food operator. He stated that if an Aldi goes in this location, that would forgo other fast food/restaurant options that could pull traffic from the highway. He stated that the City is in the role of master developer and therefore this is not truly free market, although the market is going to dictate what will desire that site. He stated that Aldi has identified that this would be a City Council Work Session / May 23, 2018 Page 6 of 14