PRESENTER: Presenter
Jean Drew, AICP, CNU-A, Planning & Development Services Director
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SUBJECT: Title
Public hearing and first reading of an ordinance regarding a proposed rezoning of approximately 0.24 acres from “M-1” Light Industrial District to “C-O” Commercial Office District with a Special Use Permit to allow short-term rental of a residence in the Starlight Terrace Subdivision, Unit 1, Block 1, Lot 7, addressed at 1031 Seidel Street.
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DEPARTMENT: Planning and Development Services
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COUNCIL DISTRICTS IMPACTED: 1
BACKGROUND INFORMATION:
Case #: SUP22-326
Owner/Applicant: Mark Lemmons
26610 Forest Link
New Braunfels, TX 78132
(210) 316-3562 | texasrealtormark@gmail.com <mailto:texasrealtormark@gmail.com>
Staff Contact: Laure Middleton
(830) 221-4054 | lmiddleton@newbraunfels.gov <mailto:lmiddleton@newbraunfels.gov>
The subject < ¼ acre property is located one block south of N. Live Oak Avenue, adjacent to the HEB soccer fields. It lies in the Starlight Terrace Subdivision which was platted in 1972. Many of the lots on Seidel Street are between one-quarter acre and one-half acre in size and are developed with single-family and two-family residences.
Surrounding Zoning and Land Use:
North - M-1 / undeveloped
South - M-1 / two-family residence
East - M-1 / public park (HEB Fields)
West - across Seidel Street, M-1 / single-family residence and multifamily residential (manufactured home) neighborhood
ISSUE:
The current “M-1” Light Industrial District zoning does not allow residential uses. Therefore, the subject property and surrounding residential neighborhood are nonconforming uses and structures. A nonconforming use/structure may continue to operate in perpetuity, but when 75% of an individual structure is removed or destroyed it can only be replaced with what is allowed in the current zoning district.
The applicant proposes to utilize the existing single-family residence as a short-term rental (STR). STRs are only allowed in non-residential districts (such as M-1), and to utilize a house for an STR a Special Use Permit (SUP) must also be approved.
For these reasons, the applicant is requesting a change in the base zoning to the mixed-use “C-O” Commercial Office District. C-O allows both light neighborhood commercial as well as residential dwellings. A change in the base zoning, however, is not required to approve the SUP since the property is already zoned M-1. But the existing residence would have to continue to comply with the specifications of the Nonconforming Uses and Structures Section: 144-2.3 of the Zoning Ordinance.
The commercial uses that are allowed in C-O can be compatible with neighborhoods when located on or near the periphery; but when located in the middle of residential neighborhoods, the character of the neighborhood can be disrupted due to non-residential traffic and activity. Since the subject property is located deeper within the residential neighborhood, commercial use is not compatible with the surrounding homes.
Regarding the STR, the subject property is improved with a 1,453 square foot single-family residence, built in 1974. The submitted floor plan illustrates 3 bedrooms and 2 bathrooms. Per the Zoning Ordinance, the maximum occupancy allowed is 8 guests.
Off-street parking is required to be paved with one 9-foot by 18-foot space per bedroom. Currently, there is enough paved parking for 2 vehicles. If the STR is approved, one additional 9-foot by 18-foot paved parking space is required to be constructed prior to the issuance of the STR permit and operation.
The following are applicable Actions from Envision New Braunfels:
Action 1.14: Ensure regulations do not unintentionally inhibit the provision of a variety of flexible and innovative lodging options and attractions.
Action 1.3: Encourage balanced and fiscally responsible land use patterns.
Action 3.17: Enact policies that dis-incentivize incompatible commercial encroachment into neighborhoods that whittle away at the edges, while still allowing for neighborhood scale commercial within walking distance of homes.
Future Land Use Plan: The subject property is located within the New Braunfels Sub-Area, within a short drive to existing Recreation, Civic, Market, and Employment Centers.
Short-term rental standards in the Zoning Ordinance help to ensure proper measures are in place to protect public health, safety, and neighboring properties. If the SUP is approved, the registration of the short-term rental and online payment of hotel occupancy taxes are required. Also, the property must comply with all other City Code standards.
There is one approved and currently active short-term rental within one-half mile of the subject property.
FISCAL IMPACT:
If approved, the property would be subject to local and state hotel occupancy tax (HOT).
Recommendation
RECOMMENDATION:
Denial. Commercial zoning in the center of a neighborhood is inconsistent with Envision New Braunfels’ goals of protecting the stability of residential neighborhoods. Due to the lot sizes and long-standing residential use of the neighborhood, “R-2A” Single- and Two-family District is a more appropriate base zoning district for the lots on Seidel Street. However, an SUP for short-term rental is not allowed in single- and two-family zoning districts and is not an appropriate use in the middle of a neighborhood.
But, if City Council is inclined to approve the rezoning and STR, it is noted that:
• C-O is less intense than the current M-1,
• The subject property does lie within a short distance to major roadways leading to tourist areas, and
• The general area has only a few existing short-term rentals.
The Planning Commission held a public hearing on September 7, 2022 and recommended denial of the base zoning change, and approval of the SUP for Short Term Rental (8-0) with Commissioner Allen abstaining.
Mailed Notification pursuant to state statute:
Public hearing notices were mailed to 9 owners of property within 200 feet of the subject property. To date, two responses have been received in favor from property numbers 4 and 8, and one in opposition from property number 9 on the notification map.
Resource Links:
Chapter 144, Sec. 3.3-11 (M-1) of the City’s Code of Ordinances:
<https://library.municode.com/tx/new_braunfels/codes/code_of_ordinances?nodeId=PTIICOOR_CH144ZO_ARTIIIZODI_S144-3.3ZODIREPRZOPRJU221987>
Chapter 144, Sec. 3.4-3 (C-O) of the City’s Code of Ordinances:
<https://library.municode.com/tx/new_braunfels/codes/code_of_ordinances?nodeId=PTIICOOR_CH144ZO_ARTIIIZODI_S144-3.4ZODIREPRZOSUJU221987>
Chapter 144, Sec. 3.6 (SUP) of the City’s Code of Ordinances:
<https://library.municode.com/tx/new_braunfels/codes/code_of_ordinances?nodeId=PTIICOOR_CH144ZO_ARTIIIZODI_S144-3.6SPUSPE>
Chapter 144, Sec. 5.17 (Short-term Rental) of the City’s Code of Ordinances:
<https://library.municode.com/tx/new_braunfels/codes/code_of_ordinances?nodeId=PTIICOOR_CH144ZO_ARTVDEST_S144-5.17SHTEREOC>
Chapter 144, Sec. 2.3 (Nonconforming Uses and Structures) of the City’s Code of Ordinances:
<https://library.municode.com/tx/new_braunfels/codes/code_of_ordinances?nodeId=PTIICOOR_CH144ZO_ARTIIZOPRAD_S144-2.3NOUSST>