Kevin Rudd introduced the proposal for a Land Use Plan change from Low Density Residential to Community Resort. The property was formerly the Villas at Bellagio Subdivision that was recently acquired by the applicant. The new owners feel the portion adjacent to Highway 91 would be better served as Resort Community. The Land Use Plan needs to be changed prior to a zone change. The proposed area is approximately 25%-30% of the entire parcel which is approximately thirty-eight (38) acres. The Land Use Plan currently has Community Resort property on the opposite side of Highway 91. A map of the proposed area and the current Land Use Map were displayed to locate the proposed property and the current locations of Community Resort. Washington County School District owns property near this property. A future high school/middle school has been discussed but in the past year the county has been looking for another site in Ivins because the property requires a lot of fill.
When the Commission looks at Land Use changes and zone changes, applicants will explain their vision for their property but keep in mind that any changes go with the property. If the property is sold, another individual could have a different vision. He encouraged the Commissioners to look at the big picture of other possibilities for the area. He explained how the Kwavasa road would connect. (All the maps displayed can be obtained at Ivins City offices.)
Commissioner Mehr opened the Public Hearing.
Lance Anderson referred to the map and explained the flow of traffic on 600 West, Kwavasa and Kayenta Parkway. Ivins has been discussing becoming a resort destination but there are only a few places to stay in Ivins such as Red Mountain and Crescent Moon. They want to create a pleasing environment to the City and community and meet the goal of the General Plan. Kevin Smith at Tuacahn would like to see more places for their guests to stay in Ivins. Also, Fitness Ridge needs additional lodging as well as the Coyote Gulch guests that want to enjoy nature and the environment in Ivins. They feel that this type of development along Highway 91 would enhance the area.
Ed Bowler and his partners own the property south and adjacent to this property. He understands that times have changed but several years ago they came in for a request to subdivide the property south of this property. Through a lengthy process with the City, they developed a Development Plan with a density of one lot per acre. This agreement makes it a very exclusive and expensive subdivision. As we went through the agreement with the prior owners of Villas at Bellagio, we understood that it was going to be low density. They requested sitting down with the City and be included in this revision of the Master Plan and come in with a plan that would probably be more fitting in today’s environment. Washington County is foreclosing on approximately 150 homes per month. It’s unlikely that there is going to be huge demand for large lots and expensive homes in the near future. Therefore, their request would be that we could sit down with the Planning Commission, Ivins City and the applicants and perhaps decide how we want to do with the entire area. It’s a little different than what was agreed upon in the past.
Chairman Mehr asked if their property is contiguous.
Ed Bowler stated it is. They share an access with that subdivision and were told that the access would be there. They installed the sewer line and were involved with the school district and Ivins City to make sure that was done. They just want to be part of that discussion.
Kevin Rudd explained where Ed Bowler and his partner’s property is located and noted that it is approximately 100 acres. There is a road in Bellagio that ties into their property and has to be maintained for future access.
Terry Martin owns property across the road which is zoned Resort Commercial (35 acres). The Bellagio is adjacent to Ed Bowler’s property and only a corner of the property is sensitive lands. One of the issues with the City is most of the Bowler group's property is sensitive lands. It makes sense to have resort commercial along the Highway since the Fitness Ridge and school property are there. The majority of the property will stay in the current zoning and current density which is two units per acre. It is thirty-eight (38) acres with seventy-five (75) lots. Primarily, the proposal is for a change of use. There may be some density changes for the proposed area. The concept is to have clustered smaller detached residents that can be rented less than thirty days to guests in the community. By ordinance, that is something that has not been allowed. They are not proposing high density but looking for an opportunity to create a unique use to work in conjunction with Tuacahn and Fitness Ridge. When the Crescent Moon project was finished, a use was found immediately through Fitness Ridge. They are looking at what they can do with property to help grow the community and resort commercial during these financial situations where most developers cannot borrow money. They are trying to attract guests and serve the community. This is an opportunity to do it at a price point that they could bring in investors and find ways to finance and get started. They have a financial plan to move forward.
Commissioner Benson inquired as to why he didn’t develop the property across the street that is already zoned Resort Commercial.
Terry Martin explained that the infrastructure at Bellagio is already created. It would be redundant to create the infrastructure across the street. It’s an opportunity to create a price point for investors to build the product. This plan will only make financial sense in a situation like this.
Douglas Caputo, broker for Kayenta Homes and Properties, explained that he receives several requests on a weekly basis and especially during the spring and fall for short term housing. Ivins does not have any short term housing available other than Red Mountain Spa because of the City ordinances and the CC&R’s in Kayenta prevent renting out casitas. He cannot place people who come for the parade of homes, so they go to Mesquite, etc. He supports R.T. Martin and his design sensibility. It is beneficial to Ivins to keep these people who want to be near the cliffs so that we don’t have to send them into St. George. There are businesses in Kayenta and it will help the tax base and exposure.
Greg Federman manages Xetava Gardens Restaurant which is an independent business within Kayenta. Short term rentals are essential for the growth of Ivins. The people that come to Kayenta and Xetava are travelers, and their comments are, "why is it they cannot stay in the most beautiful part of southern Utah instead of having to go to St. George where there are chain restaurants, etc." They like the way Ivins is set up and it has its own personality. There is plenty of biking and hiking in Kayenta if they stay within the vicinity and it has most amenities. This would give a lot of exposure. Ivins has a lot to offer but they don’t get to stay long enough to figure it out, and it’s not well laid out to figure it out. It has to come by word of mouth. Terry Martin, Kayenta and Ivins have been very supportive with his business. From a cost prospective, if there is an area that’s already ready to go it’s more cost efficient. Everything that has been done in Kayenta has been done with thought and care and adds to the personality of Ivins. He would like to see more things come in that would associate with his business.
George Stoddard and his wife are the owners of the independent art gallery in Coyote Gulch and get a lot of their traffic from Red Mountain Resort. The most complaints are that they cannot find the gallery. The City has done a good job creating signs, etc. which has helped. Their business would benefit if there were more people staying in the local area. He supports the project.
Lance Anderson commented that everything is based on a financial decision but at the same token as we look at the Bellagio that has already been disturbed it’s a piece of property that is half finished. There is a benefit from the Kayenta standpoint because it’s an entrance to the City from the west or to the Kayenta area. Kayenta is not in need to build more properties, and the goal did not have anything to do with buying Bellagio because we need more property and wanted to build short term rentals. The goal was to get the property so that it was presentable to the community. He doesn’t want to focus on cost even though cost is an issue. This was to help clean up the corridor and finish the corridor along Highway 91.
Commissioner Reed asked how many units they envision.
Terry Martin envisions increasing the density along the Highway about 50% and building a variety of casita type homes approximately 1,400 square feet, nicely detailed and landscaped to attract upscale tenant or transient rental, an estimate of 20-25 lots. But they may be able to build forty (40) units in the area instead of twenty-five (25) homes. The units would operate under some type of management agency. All of the units may not be transient. There is a big demand for people in transition. The goal is to build units to keep, not to build units to sell. They want to aesthetically control and maintain the property and operate it through an association with Kayenta, not Kayenta per se. A partner with Kayenta for several years has stepped up to the plate and wants to build the project and has the necessary resources.
Commissioner Scott asked if there were any plans for commercial components or recreational components.
Terry Martin commented that there would be an on site swimming pool and maybe a gym. At this point they do not know what direction it would take in terms of commercial aspect. Their idea is to explore housing for Fitness Ridge, providing a resort environment and for people building a home or interested in the area. Currently, they are not thinking in terms of marketing the units but may be considered in the future. If the project is successful, they would consider taking the project across the street on 600 West. If it’s not successful, there would be small homes for sale for people down scaling, etc. Originally, he got involved in the Bellagio subdivision as a defense mechanism for the Kayenta concept. He saw the property as an entrance to Kayenta because he owns the property across the street, and 600 West will be the Kwavasa Drive and main entrance to Kayenta in the future. He was concerned about the quality of the development and the covenants not devaluing his property. He talked to Ed Bowler and his partners about buying the property together to protect what was going to happen on that corner, but they bowed out, and the Kayenta group purchased the property. It was purchased primarily to protect the real estate interest of Kayenta, Highway 91 Corridor and the entrance to the City. A plan was discussed with the City several years ago.
Tammy Hokanson is manager of Day Tour Gallery in Coyote Gulch and on a daily basis interfaces with people coming into the area that asked about place to stay in the area. She has been taking an unofficial survey of people coming to the area. People would come to their shop and then come back the next day because there are no shops in St. George like theirs. She supports the project.
Lance Bunnell, CEO for Fitness Ridge, explained that they have had a great business relationship with Kayenta and have rented space from them. He has been a controller for manufacturing, construction company and now a resort company. A resort business has the same interest as a City. If there is not clean air, aesthetically pleasing they want come. Currently, Fitness Ridge has a 7 -8 months backlog for guests. They view the business as saving lives and it’s a fun business to be in. On the financial side the company paid a little over a million in transient tax. The City needs business and business needs the City. If there are no businesses, the residents get taxed. People are shuttled in from Las Vegas which supports St. George Shuttle, and the guests do support the local economy and go into Kayenta. They support Kayenta’s project.
Ed Bowler stated that when he talked with Terry Martin he did not contemplate a zone change because he thought the property was subdivided based upon a development agreement with the City. They like Terry Martin but being one of the primary entrances to their property they felt they should be involved when there is a master plan change so that they can look at the entire concept of what’s going on. They have not had that opportunity. They want to be involved since it is the entrance to their property. The density has changed and it is different than what they understood the development agreement implied. They understand the change but feel they need to be involved at this point before the master plan is changed.
Chairman Mehr closed the Public Hearing.