Title
Hold a public hearing and consider an ordinance submitted by Mickey Salehi (Case# Z25-05) to rezone approximately 0.063 acres, being part of Lot 12, Block 10, out of the Killeen Original Addition, from “B-5” (Business District) with ”HOD” (Historic Overlay District) to “B-C-1” (General Business and Alcohol Sales District) with “HOD” (Historic Overlay District). The subject property is locally addressed as 321 North Gray Street, Killeen, Texas.
Body
DATE: April 1, 2025
TO: Kent Cagle, City Manager
FROM: Wallis Meshier, Executive Director of Development Services
SUBJECT: Zoning Case # Z25-05: “B-5” with ”HOD” to “B-C-1” with ”HOD”
BACKGROUND AND FINDINGS:
Property Information:
Property Owner: Mickey Salehi
Agent: N/A
Current Zoning: “B-5” (Business District) with “HOD” (Historic Overlay District)
Proposed Zoning: “B-C-1” General Business and Alcohol Sales District) with “HOD” (Historic Overlay District)
FLUM Designation: ‘Urban Village’ (UV)
Growth Sector Designation: ‘Infill & Enhance’ (IE)
Summary of Request:
Mickey Salehi has submitted a request to change the underlying zoning of the property located at 321 North Gray Street from “B-5” (Business District) to “B-C-1” (General Business and Alcohol Sales District). The property is located within the Historic Overlay District, and therefore has a zoning overlay designation of “HOD” (Historic Overlay District). If approved, the applicant intends to utilize the property as a restaurant and bar. During the week, the proposed business will operate primarily as a restaurant and will serve lunch and dinner and provide a full menu of food choices. On weekends, the business will offer a limited food menu and nightlife. From 9:00 pm to 2:00 am on weekends, the business will serve alcohol and play music.
Per Killeen Code of Ordinances Sec. 31-306.1(a), a restaurant engaged in the on-premises sale and consumption of alcohol shall not obtain more than fifty percent of its gross receipts from the on-premises sale of alcoholic beverages during any consecutive twelve-month period. By changing the underlying zoning of the property from “B-5” (Business District) to “B-C-1” (General Business and Alcohol Sales District), this regulation would not be applicable. Although the proposed business will have both a restaurant and bar component, rezoning the property to “B-C-1” (General Business and Alcohol Sales District) will provide the applicant more flexibility in the business model.
Zoning/Plat Case History:
The subject property was annexed into the City limits on April 30, 1881. This property was platted as Lot 12, Block 10, Killeen Original, around 1882. Staff is unable to determine the date of the current zoning of the property.
Character of the Area:
North: Developed commercial property zoned “B-5” (Business District) with “HOD” (Historic Overlay District)
South: Developed commercial property zoned “B-5” (Business District) with “HOD” (Historic Overlay District)
East: Developed commercial property zoned “B-5” (Business District) with “HOD” (Historic Overlay District)
West: Developed commercial property zoned “B-5” (Business District) with “HOD” (Historic Overlay District)
Future Land Use Map Analysis:
This property is located within the ‘Infill & Enhance’ area on the Growth Sector Map and designated as ‘Urban Village’ on the Future Land Use Map (FLUM) of the Comprehensive Plan.
The Growth Sector Map indicates that these parcels are in the ‘Infill & Enhance’ sector and as such, have existing development and full service, but are located in areas where additional population, higher development intensities, and integration of uses is desired. This sector is primarily located in downtown and the neighborhoods immediately around it. Growth policies for this area should support infill, redevelopment, and infrastructure projects. These projects should accommodate more residents and small businesses while improving walkability.
The ‘Urban Village’ place type is intended to be an area with active streets and a focus on people walking and cycling. Uses should be pedestrian-centric. When uses have large parking requirements, parking should be hidden behind building frontages. Commercial uses on the ground floor should have a higher proportion of glazing to create a more interesting interface between the public and private realms. It is important to remember that vertical mixing of uses is not necessary in this place type, but developments should be of a walkable urban form where buildings are close to the street, and pedestrians take precedence over automobiles. This place type encourages eighty percent nonresidential and forty percent residential use mix.
The request supports or furthers the following Comprehensive Plan recommendations:
§ LU3 - Encourage incremental evolution of neighborhoods.
§ LU4 - Prioritize infill and revitalization in north Killeen.
§ DT4 - Embrace the small/incremental approach to add residential units and small-scale commercial spaces.
The Comprehensive Plan promotes incremental redevelopment of properties in Killeen that can add to a widespread improvement. Additionally, staff finds the proposed rezoning is consistent with the surrounding area, which consists of mixed commercial uses.
Development Zone Analysis:
The subject property is located within the City of Killeen Development Zone #1. This development zone is north of Veterans Memorial Boulevard and west of WS Young Drive. This development zone consists of 66.38% residential uses and 33.17% commercial uses.
The current land use mix within this area comprises of the following acreages and percentages approximately:
District Acres Percent
Special Districts 1.36 0.13%
Residential 667.36 66.25%
Industrial 58.91 5.85%
Commercial 275.23 27.32%
Agricultural 0.04 0.45%
Total 1007.39 100.00%
Vacant Property 118 11.71%
Water, Sewer and Drainage Services:
Provider: City of Killeen
Within Service Area: Yes
Feasibility Study or Service Commitment: Water, wastewater, and drainage services are located within the City of Killeen municipal utility service area and are available to the subject tracts.
The property is located in the Downtown Historic District, the North Killeen Revitalization Area, Parking District A, and the Tax Increment Reinvestment Zone #2.
Water service is available via an existing 8” water line in the alley to the south of the property, via an existing 12” water line located in North Gray Street, and an existing 8” water located in East Avenue C.
Wastewater service is available via an existing 6” wastewater line in the alley to the south of the property.
Storm sewer infrastructure is available to serve the property on East Avenue C. No specific information is available regarding the existing pipeline and inlets.
Transportation and Thoroughfare Plan:
Pedestrian access to the property is via North Gray Street (80-foot-wide ROW) to the east. An existing alley (20-foot-wide ROW) is located to the south of the property. Both North Gray Street and East Avenue C are classified as local streets.
TRAFFIC IMPACT ANALYSIS SUMMARY:
The current zoning classification for the property is “B-5” with a Historic Overlay District. The existing building on the property is currently vacant and generates no appreciable traffic.
The proposed zoning classification for the property is “B-C-1”, with the proposed use being a restaurant/bar. Based on the information contained in the 10th Edition of the ITE Trip Generation documents, the proposed use will generate approximately 341 average daily trips. The change in the number of average daily trips is below the City of Killeen’s criteria for requirement of an individual traffic impact analysis.
The property is located within Special Parking District "A". Per Sec. 26-190(a) of the City of Killen Code of Ordinances, the City Manager or designee may waive the TIA requirement for this area. An individual Traffic Impact Analysis (TIA) is not currently recommended for this property.
PARKS AND PROPOSED TRAIL PLAN:
There are no proposed trails or proposed parks on or near this site. Parkland dedication, fees in lieu of, and parkland development fees will not be required, as the property is already developed.
Environmental Assessment:
The property is in the Nolan Creek / Leon River Watershed. The property is located in Zone X (Area of Minimal Flood Risk), per FEMA Flood Insurance Rate Map 48027C0280E with an effective date of September 26, 2008.
No surface waters or wetlands are listed on the National Wetlands Inventory maps for this
property.
Public Notification:
Staff notified owners of eighty-three (83) surrounding properties regarding this request. Of those surrounding properties notified, forty-five (45) reside outside the 200-foot notification boundary required by the State but within the 400-foot notification boundary required by the City Council, and twenty-eight (28) of the property owners live outside Killeen. As of the date of this staff report, staff has received no written responses regarding this request.
Staff Findings:
The current zoning of the subject property is “B-5” (Business District) w/HOD (Historic Overlay District). The surrounding area includes predominantly commercial uses. Staff finds that the applicant’s request is consistent with the recommendations of the City of Killeen Comprehensive Plan.
THE ALTERNATIVES CONSIDERED:
N/A
Which alternative is recommended? Why?
Staff recommends approval of the request to rezone the property from “B-5” (Business District) with HOD (Historic Overlay District) to “B-C-1” (General Business and Alcohol Sales District) with “HOD” (Historic Overlay District).
Staff supports the applicant’s request to rezone the property to “B-C-1” (General Business and Alcohol Sales District) with “HOD” (Historic Overlay District). Staff finds that the applicant’s request is compatible with the surrounding land uses and is consistent with the prevailing community character. The character of the area includes other similar commercial uses. Additionally, the request aligns with the recommendations outlined in the Killeen 2040 Comprehensive Plan. The Comprehensive Plan envisions a vibrant downtown as the cultural and economic hub of the community. Staff has determined that the request will not negatively impact the surrounding properties.
CONFORMITY TO CITY POLICY:
This zoning request conforms to the City’s policy and procedures, as detailed in Chapter 31 of the Killeen Code of Ordinances.
FINANCIAL IMPACT:
What is the amount of the expenditure in the current fiscal year? For future years?
This zoning request does not involve the expenditure of city funds. Public infrastructure is already in place for this property and maintained by the city. Maintenance costs will continue for the life of the development.
Is this a one-time or recurring expenditure?
This is not applicable.
Is this expenditure budgeted?
This is not applicable.
If not, where will the money come from?
This is not applicable.
Is there a sufficient amount in the budgeted line item for this expenditure?
This is not applicable.
RECOMMENDATION:
Staff recommends approval of the applicant’s request to change the underlying zoning of the subject property from “B-5” (Business District) to “B-C-1” (General Business and Alcohol Sales District) as presented.
At their regular meeting on February 24, 2025, the Planning and Zoning Commission recommended approval of the request by a vote of 6 to 0.
DEPARTMENTAL CLEARANCES:
This item has been reviewed by the Planning and Legal staff.
ATTACHED SUPPORTING DOCUMENTS:
Maps
Site Photos
Maps
Ordinance
Letter of Request
Presentation