Loading...
HomeMy WebLinkAboutCPA200800002 Application 2008-09-02The Yancey Mills Business Park Albemarle County, VA September 2, 2008 Comprehensive Plan Amendment Application CPA # 2008-00002 The Yancey Mills Business Park Albemarle County, VA September 2, 2008 Comprehensive Plan Amendment Application CPA # 2008-00002 Submitted by: Yancey Mills Holdings, LLC Project Team: Mr. Will Yancey with assistance from Mr. Pete Wildman Terra Concepts, P.C. Williams Mullen Table of Contents I Introduction 1 II The Yancey Family in Albemarle — 2 A Brief History III The R.A. Yancey Lumber Corporation 3 IV Undeveloped Property 5 V Genesis of the Idea for a PD -IP in Yancey 8 Mills VI A Vision for the Yancey Mills Business 21 Park VII Benefits to Downtown Crozet 29 VIII Interstate Interchange Development Policy 30 IX Conclusion 33 X Appendix The Yancey Mills Business Park CPA Request I I. Introduction Members of the Yancey Family of Albemarle County have commissioned this Comprehensive Plan Amendment (CPA) application to propose the inclusion of certain property they own located in Albemarle County into the County's designated development areas. The property is located in and around the RA Yancey Lumber Corporation in the White Hall Magisterial District at 6317 Rockfish Gap Turnpike. The proposal is for the majority of the property to be designated for Industrial Service uses on the Land Use Plan of The Comprehensive Plan. A small portion of the property is floodplain and is proposed to be designated for Parks and Greenways in the Comprehensive Plan. Ultimately, if the CPA is approved, the landowners would pursue a rezoning of the property to Planned Development Industrial Park (PD -IP) so the property could be developed as a business park catering primarily to light industrial uses. Figure 1: Context Map The Yancey Mills Business Park CPA Request II. The Yancey Family in Albemarle — A Brief History The Yanceys have been in what is now the Commonwealth of Virginia since prior to the Revolutionary War. According to A History of Louisa County, Virginia by Malcolm Harris, members the family were in Louisa as early as 1742. The first records available to show the family's presence in Albemarle are included in the Rev. Edgar Woods' The History of Albemarle County, Virginia published by the Michie Company of Charlottesville in 1901. It was not until 1765 that Jeremiah Yancey bought land on the Moorman's River and later patented several small tracts on Buck's Elbow (near what is today Old Trail). He had several children, one of whom was named Charles. According to Rev. Woods' at -the -time seminal history of Albemarle County: [Col.] Charles Yancey, who was a prominent man in the early part of the [19`h] century [and] conducted a store, tavern, mill and distillery at what was afterwards Maye's and still later Cook's Tavern. This was originally the location of the post office called Yancey's Mill, and though transferred to the more important center of Hillsboro, the old name is retained ... The land referred to in Rev. Woods' history is still owned by descendants of Charles Yancey. In addition, at least three letters exist to Charles Yancey from Thomas Jefferson. Dated December 31, 1818, July 23, 1821, and July 12, 1822, the letters from Jefferson to Charles Yancey concern a number of varied matters consistent with Jefferson's wide-ranging interests and expertise. The Yancey Mills Business Park CPA Request Pj III. The R.A. Yancey Lumber Corporation Charles Yancey's great grandson, R.A. Yancey, Sr. (1905-1994) was responsible for a sea change in use of part of the land in 1951 when he established a sawmill on the site. Later renamed the R.A. Yancey Lumber Corporation, the business is still located at the same site at 6317 Rockfish Gap Turnpike/U.S. Route 250. R.A. Yancey, Sr. owned and operated the business for over forty years until his death in 1994. His children, R.A. Yancey, Jr., E.D.B. Yancey, and Sarah Yancey May, all of Albemarle, continue to own and operate the business to this day. R.A. Yancey, Jr. is the company's President and C.E.O. There are no plans to redevelop the sawmill property or alter its current use. For the past fifty-seven years, the company property has been in continuous use as a sawmill. While much has changed in six decades of operation, its founder would still recognize the property today. Technologies improve — — horses have been replaced by diesel -fueled wheel loaders and circular saws by band -saws connected to sophisticated computer software — — but the larger goal of providing a high- quality finished product for use in home and commercial construction in a sustainable manner remains a core tenet of the company's philosophy today. The sawmill property comprises 35.74 acres in two ® parcels identified on the current County tax maps as parcels 55-112 and 55-11113, and both parcels are zoned Heavy Industry (HI). It is the largest HI -zoned property in Albemarle and accounts for very nearly one- third of all County land zoned HI. The table on the following page illustrates this fact taken from the Albemarle County GIS information. The Yancey Mills Business Park CPA Request 3 Table 1: LAND ZONED HEAVY INDUSTRIAL (HI) IN ALBEMARLE COUNTY The company property also enjoys approximately 825 feet of uninterrupted road frontage along a portion of U.S. Route 250, which is a designated an Entrance Corridor (EC). It is in the Albemarle County Service Authority's (ACSA) Jurisdictional Area for water only. Image 1: View into the Company Property from U.S. Route 250 The Yancey Mills Business Park CPA Request 4 Image 2: View into the Company Property from U.S. Route 250 % Acreage Parcel ID Prop Street Owner Lot Size Total 3200000005 4301 Seminole Trail Valente, Anthony D. or Mary 5.02 5% 032000000022B 1 U. of VA Foundation 4.98 5% 032000000022CI 3906 Seminole Trail Ennstone, Inc. 2 2% 032000000022C3 Hall, Larry B. or Barbara A. 2.25 2% 032000000022C4 3900 Seminole Trail Hall, Larry B. or Barbara A. 1.83 2% 032000000022C5 1965 Northside Drive Hall, Larry B. or Barbara A. 6.51 6% 032000000022C6 Hall, Larry B. or Barbara A. 0.43 0% 032000000022MO Rivanna Partners, LP 9.23 8% 3200000006700 1949 Northside Drive Hall, Larry B. or Barbara A. 4.15 4% 3200000007000 Hall, Larry B 1.18 1% 3200000007100 Hall, Larry B & Kerry L. Hall 1.15 1% 3200000007200 Hall, Larry B. or Barbara A. 1.25 1% 3200000007300 Hall, Larry B. or Barbara A. 1 1% 3200000007400 3980 Seminole Trail Jiranek, Robert H. or Nancy F 1 1% 055000000111BO 6317 Rockfish Gap Turnpike RA Yancey Lumber Corp 23.24 21% 5500000011200 6317 Rockfish Gap Turnpike RA Yancey Lumber Corp 12.5 11% 056A2010006100 5391 Three Notch'd Road Route 240 LLC c/o Redlight 13.05 12% 056A2010007100 5755 The Square J Bruce Barnes, Inc. 4.01 4% 056A20100071130 5707 Three Notch'd Road J Bruce Barnes, Inc. 14.74 13% TOTALS 109.52 100% The company property also enjoys approximately 825 feet of uninterrupted road frontage along a portion of U.S. Route 250, which is a designated an Entrance Corridor (EC). It is in the Albemarle County Service Authority's (ACSA) Jurisdictional Area for water only. Image 1: View into the Company Property from U.S. Route 250 The Yancey Mills Business Park CPA Request 4 Image 2: View into the Company Property from U.S. Route 250 IV. Undeveloped Property Located adjacent to and behind R.A. Yancey Lumber Corporation, members of the Yancey family own 148.5 additional acres. The land is comprised of four parcels identified on the current tax maps as parcels 55-112A, 71-42, 71-42A, and 72-1 A. They are all zoned Rural Areas (RA) and are not located within the boundaries of the Crozet Development Area. However, as the following map illustrates, all of the Yancey Family property is located very close to the Crozet Development Area across U.S. Route 250. The undeveloped property is bordered by the sawmill property to the north and shares its long southern border with Interstate 64. Part of the property was a portion of land acquired by the Yancey family in 1878, and other portions have been bought and sold over the 13 decades since. Most recently, Franklin W. Yancey — the brother of R.A. Yancey, Sr. who started the sawmill — owned the land until his death in 1994. The current owner of record of the undeveloped property is Yancey Mills Holdings, LLC, which is entirely comprised of members of the Yancey Family. The Yancey Mills Business Park CPA Request 5 Figure 2: Crozet Development Area The undeveloped property has been used for grazing cattle and hay farming for the last several decades. The topography consists of large rolling hills leading toward creeks with large floodplain areas. The property is approximately seventy percent open and thirty percent wooded. There are no significant structures on the property. The land lies in the Stockton Creek Water Supply Watershed, and is not a part of an agricultural or forestal district. The following are pictures of the open part of the property accompanied by a brief description. Image 3: View from the Yancey family property looking east. I-64 is on the right-hand side (just out of view) The Yancey Mills Business Park CPA Request 6 Image 4: This is a shot of the property where it borders the rear of Western Albemarle High School. Just past that thin line of trees is a baseball field. Note the relatively flat topography. Image 5: This is a view of one of the two major floodplains. Image 7: I-64 is on the left-hand side out of view. The Yancey Mills Business Park CPA Request Image 6: This is the other major floodplain. I-64 is just beyond the trees. We currently envision this area remaining as open or recreational space. Image 8: This view is looking back toward the Blue Ridge Mountains and the Lumber Yard from the far eastern side of the property. V. Genesis of the Idea for a Business Park at Yancey Mills A. Lack of Light Industrial Land in Albemarle County The idea for a Business Park at Yancey Mills began almost two years ago when a friend of the Yancey family who owns and operates a local excavating company in Albemarle need a place to store his company's equipment. He approached the family and asked whether the Yancey family owned any land that he might be able to lease in order to park his trucks, loaders, excavators, and other heavy machinery when they weren't being used on a job site. The owner of the excavating company shared his experiences looking for land for such a use and the challenge of finding land appropriately zoned at an affordable price. The family soon learned more about the shortage of such land from media reports, including comments expressed by members of the County Board of Supervisors. The County's Community Development staff appears to agree that there is a significant shortage of Light Industrial land in Albemarle. Its analysis of the issue is contained in the Light Industrial Demand Analysis (LIDA), a seven -page study of the problem released in late 2007. The staff's 2007 Light Industrial Demand Analysis states the following: • Industrial Service designation requires appropriate site size, S+ acres, arterial road accessibility, water and/or sewer availability, and compatibility with adjacent uses. • Taking out the UVA Research Park shows an average parcel size of four (4) acres and a median parcel size of two (2) acres, generally too small for economical development. • Perhaps the best measure of demand for light industrial land is available by documenting major businesses that have been turned away, due to lack of space, or a lack of a relationship with the University research programs. Field data indicates the companies listed below have been turned away since 2004. Some local companies are looking and finding no expansion options, and for this reason, these companies are considering moving out of the County. The list below was compiled from the University Real Estate Foundation, the Thomas Jefferson Partnership for Economic Development, and from Hasbrouck Realty. The average size parcel request is in the range of 9 to 10 acres. See the list below for space requests. The Yancey Mills Business Park CPA Request Space Requests, 2004 to 2009 ■ NL Novalink, 100, 000 SF. on 10 acres, 2006 (North Fork prospect) ■ Harmon Becker, 100, 000 SF on 12 acres, 2004 (North Fork prospect) ■ Christi's wants 80, 000 SF of warehouse on 3 acres, 35 foot ceiling, summer of 2007 ■ Vest Excavating looking for 30 acres, recycling wood, summer 2007 ■ Carter Machinery looking for 3 acres with visibility, summer 2007 ■ Hertz Machinery looking for 3 acres with visibility, summer 2007 ■ Local company, looking for 20 acres, 2008 ■ Local biotech, looking for 3 acres, in 2009 ■ Second local biotech, looking for 4 acres in 2008 • Again, the question facing the County involves the extent to which Albemarle can increase the supply of land designated and zoned light industrial to the point where this type of acreage becomes affordable relative to comparable acreage [in] nearby counties. A copy of this Light Industrial Demand Analysis is included in the Appendix. In addition, the Community Development Department staff is also working on updating the County's Economic Development policy. A major component of the staff's analysis is focusing on the availability and affordability of Light -Industrial land. See the staff report in the Appendix entitled "Economic Policy Update — Available, Affordable Light - Industrial Land." This report states that "the recent update of the Economic Policy data indicated a lack of light -industrial land available for local business expansion in Albemarle County." Finally, anecdotal evidence of established Albemarle businesses relocating outside of the County is beginning to mount. Many small "homegrown" businesses start as home-based business in the Rural Areas and eventually outgrow the owner's residence. But with no where to relocate to, they try to make things work in the Rural Areas. This has led to a number of zoning violations and required significant Community Development Department staff resources. Many businesses relocated to adjacent areas in Greene, Fluvanna, and Louisa, where more land is available at significantly reduced prices. When companies leave Albemarle, they take their property and, more importantly, their machinery and tools taxes with them to another locality. These tax revenues represent a significant revenue loss to Albemarle. The Yancey Mills Business Park CPA Request B. Available Land in the Right Location The Yancey family believes their property is ideally suited to provide a substantial increase to Albemarle County's low inventory of light industrial land. According to the County's Light Industrial Demand Analysis, of the land designated for Industrial Service in the County's Comprehensive Plan, only 111 acres is actually vacant and zoned for such light industrial use. If it were added to the growth area and ultimately rezoned, the Yancey Mills property could double the County's current inventory. The Land Use Plan of the Comprehensive Plan provides that land designated for Industrial Service be at least five acres, have arterial road accessibility, water and sewer availability, and compatibility with adjacent uses. The Yancey family property contains 184.24 acres, fronts on U.S. Route 250, and is less than 500 feet from the Interstate 64 on-ramp. The following map illustrates that the sawmill property is already in the Service Authority Jurisdictional Area for water. The undeveloped portions of the property is not in the Jurisdictional Area, but such facilities are clearly "reasonably available." Water and sewer lines are reasonably available to the property via the roughly 1,100 -foot border that tax map parcel 71-42 shares with the rear of Western Albemarle High School (WAHS). Given the fact that no third party's land need be disturbed nor any roads crossed to extend these facilities to the property, access to the water and sewer lines is "reasonably available." As for the requirement that the property be compatible with adjacent uses, the Yancey property is large and borders a relatively small number of parcels. Adjacent land uses are shown on the attached zoning map and the land use map. The Yancey property provides sufficient areas for buffers and screening from the few adjacent residences, and its long border with Interstate 64 makes it ideal for industrial uses. In addition, the property also satisfies the provisions of Section 29 of the County Zoning Ordinance, which governs PD -IP districts. Such districts allow for both light industrial uses, and, in limited instances, heavy industrial uses as well. There is only one such district in the entire County, the University of Virginia Research Park, owned by the University of Virginia Foundation. Due to UVA Foundation policy, a company must have a research affiliation with the University to locate at the Research Park. In addition, the Foundation strongly prefers to lease, not sell, its land to potential companies, while many companies prefer to own their own land. Section 29 of the Zoning Ordinance contains five characteristics for land to have to become a PD -IP district: 1. Conformity with the Comprehensive Plan 2. Areas served by water and sewer facilities, or if such facilities are reasonably available 3. Areas served by major highway The Yancey Mills Business Park CPA Request 10 4. Areas having clearly demonstrated suitability for intended uses with regard to physical characteristics and relationship to surrounding development 5. A fifty -acre minimum area requirement The Yancey family property is well-suited for PD -IP district zoning as follows: • Conformity with the Comprehensive Plan If the Board of Supervisors voted to approve this Application to designate the Yancey Property for Industrial Service, such a rezoning to PD -IP would be in conformity with the Comprehensive Plan. • Areas served by water and sewer facilities, or if such facilities are reasonably available As noted earlier, the property has water and sewer facilities "reasonably available." Areas served by major highway Few locations in the County can boast of more convenient access to a major state route and an Interstate highway than the Yancey Mills property. As the following map illustrates, Route U.S. 250 is a four -lane divided highway in front of the sawmill, and the on -ramps to the westbound lanes of I-64 are approximately 500 feet from the proposed entrance to the business park on Yancey Mill Lane. The distance to the on-ramp for the eastbound lanes of I-64 is approximately 1,700 feet from the entrance — about one-third of a mile. This demonstrates just how briefly traffic from the proposed business park would be on local roads before moving to I-64 and heading east or west. This provides convenient access to the nearest major north -south Interstate which is I-81 just 20 miles west of the Interstate 64 Yancey Mills Interstate interchange. Such convenient access to major roads is highly desired by light industrial businesses. Finally, although there remains a legitimate concern that some of the truck traffic leaving Yancey Mills would make a right turn onto U.S. Route 250 and head east to Charlottesville, such routes will be limited by the railroad overpass in Ivy which has a very low clearance of thirteen feet and which restricts significant truck traffic as a result. See the picture to the right. The Yancey Mills Business Park CPA Request 11 • Suitability for intended uses with regard to physical characteristics and relationship to surrounding development "Suitability" differs from the other rather straightforward requirements in that it is a subjective standard open to different interpretations. The Yancey property is suitable for a Light Industrial Service designation, and ultimately for PD -IP zoning as follows: 1. The property includes the largest HI -zoned area of land in the entire County, which is already developed with an industrial use; 2. The property has a long southern border with Interstate 64; 3. The property is adjacent to Interstate 64 and U.S. Route 250, major transportation networks that will facilitate the distributions of goods and provide an appropriate road network for larger vehicles and equipment; and 4. There are only twelve parcels of land adjacent to the proposed business park -- a modest amount given the size of the total property - - which reduces the likelihood of conflict between different land uses. In addition, the land is surrounded by the infrastructure necessary for a PD -IP. The property is where the roads are. Water and sewer are readily available. In short, whereas the County has been criticized by some in the past for approving development in areas thought to be served by inadequate infrastructure, in Yancey Mills the infrastructure is all in place and available to serve the type of development for which there is a demonstrated need. • Fifty -acre Minimum Requirement for a PD -IP With over 184 contiguous acres, this requirement is easily satisfied. The Yancey Mills Business Park CPA Request 12 INSERT COMP PLAN DESIGNATION The Yancey Mills Business Park CPA Request MAP HERE 13 BLANK- TO BE REMOVED The Yancey Mills Business Park CPA Request 14 INSERT ACSA JURISDICTIONAL AREA The Yancey Mills Business Park CPA Request MAP HERE 15 BLANK- TO BE REMOVED The Yancey Mills Business Park CPA Request 16 INSERT ZONING MAP HERE The Yancey Mills Business Park CPA Request 17 BLANK- TO BE REMOVED The Yancey Mills Business Park CPA Request INSERT LANDUSE MAP HERE The Yancey Mills Business Park CPA Request 19 BLANK- TO BE REMOVED The Yancey Mills Business Park CPA Request 20 VI. A Vision for the Yancey Mills Business Park The Yancey family envisions three primary types of uses for the Yancey Mills Business Park which is proposed to be a smaller and less exclusive counterpart to the University of Virginia Research Park. They are: 1. Contractors' office and equipment storage yard 2. Flex -space 3. Office space The contractors' office and equipment storage yard would provide space for contractors of varying sizes to store their heavy equipment when not in use on a job site. The natural topography and existing on-site mature vegetation will effectively screen such vehicles from view from both U.S. Route 250 and Interstate 64. In addition, providing light industrial space for small businesses to locate will help prevent and drastically reduce the instances illustrated in the following two pictures. The Yancey Mills Business Park CPA Request 21 This is an example of a tree removal and maintenance company which apparently lacks access to land appropriate to store its vehicles. Instead it parks its trucks on a small parcel on Route 250. Pictured above is an example of a small business owner with no place to park company equipment and thus park it on site in a location that makes the trucks quite visible from the Entrance Corridor. Finally, many are unaware of the significance of machinery and tools taxes on the County's revenue stream. While the real estate property tax in the County was just raised to $.71/$100 assessed value, the machinery and tools tax rate remains at $4.28/$100 assessed value — more than six times as high as the real estate tax rate. Thus, while a million -dollar home generates $7,100 per year in real estate tax revenue for the County, a million dollars in taxable machinery and tools generates $42,800 per year, all while using only a fraction of the scarce County resources that a home demands. Should businesses continue to leave Albemarle for the cheaper, and at least the perceived more welcoming confines of surrounding counties, then County residents will continue to bear a rising percentage of the County's financial needs and property tax rates may increase as a result. The second component of the vision for the Yancey Mills Business Park is to provide what is known in commercial real estate parlance as flex -space. According to Wikipedia: The Yancey Mills Business Park CPA Request 22 Flex space evolved from light industrial warehouses being converted to office space. Businesses that generally occupy these are new dotcoms, mechanic shops, and companies that contract plumbing, pest, electrical, and sometimes churches and related services. Companies have discovered that on any given work day, a large percentage of their cubes are unoccupied --in some cases, up to 50%. Employees travel for work, take vacation, or are working from home in greater numbers than ever before. To avoid having to lease or buy more office space, flex space allows a company to have a higher occupancy of cube space and less wasted work areas. The third component of the proposed business park is office space for professionals and private business ventures with office workers. The buildings housing this office space would be located in areas where there is greater visibility into the property from the Entrance Corridors. In addition to the types of businesses envisioned for the business park, the Yancey family also proposes that an approximately 24 -acre portion of the property be designated for Parks and Greenways on the Comprehensive Plan. Largely floodplain, this area is well- suited for recreational and sports uses and could help address the well-documented shortage of recreational sports fields in the County. Shared parking arrangements could be established so that parking lots serving industrial users that sit vacant on the weekends could be utilized by recreational users on the weekends, which would minimize the amount of land necessary for impervious surface. Finally, a the business park includes a plan to create walking and greenway trails through the property along the steams that will connect the business park with Western Albemarle High School and with planned trail networks in Old Trail and other areas of Crozet. The Yancey Mills Business Park CPA Request 23 The Yancey Mills Business Park CPA Request 24 INSERT GROWTH MAP HERE The Yancey Mills Business Park CPA Request 25 BLANK- TO BE REMOVED The Yancey Mills Business Park CPA Request 26 INSERT CONCEPT MAP HERE The Yancey Mills Business Park CPA Request 27 BLANK- TO BE REMOVED The Yancey Mills Business Park CPA Request VII. Benefits to Downtown Crozet Having had a presence in the Crozet area for many generations, the Yancey family is acutely sensitive to concerns that the proposed business park might be trying to compete with downtown Crozet retail businesses. On the contrary, the family believes that creating a business park at Yancey Mills would contribute significantly to Crozet retail businesses and the vitality of the entire downtown Crozet area. The property owners do not propose for the business park to include a retail component. While there may be an opportunity for destination shopping venues that require a showroom and a warehouse such as plumbing supply companies, flooring companies, and brick/masonry outlets, all of the employees of these enterprises in the business park will need to go elsewhere to eat meals, get haircuts, and fill prescriptions. At an approximate distance of 1.5 miles from Yancey Mills, downtown Crozet is the logical destination for people seeking such services. In addition, when the Crozet Master Plan was adopted in 2004 it dramatically reduced the amount of land in the area designated for Industrial Service uses. The Plan arguably provided adequately for all other uses, including residential, commercial, retail, educational, institutional, and parks and open space. But there was very little focus on where the light industrial type businesses would locate. The Yancey family property is available to address this shortage. By providing an attractive location for industrial users in Crozet to relocate their business, the proposed business park will create opportunities for more appropriate retail, office and residential uses to be established in downtown Crozet. Therefore, the business park provides Crozet with the missing piece of its master plan puzzle, and insures an innovative balance of uses — a place close to rapidly growing residential areas that provides quality jobs and recreation al space open to the public, while returning healthy tax revenues back to the County. The Yancey Mills Business Park CPA Request 29 VIII. Interstate Interchange Development Plan The location of the Yancey family's property on U.S. Route 250 at the Interstate 64 interchange makes it ideally suited for inclusion into the designated development areas. Such proximity not only to the Interstate, but also to a two-lane divided highway allows for easy access to trucks and other large vehicles to support businesses that require shipment of goods and equipment. The Yancey land includes the necessary elements for Industrial Service land referenced in the Land Use Plan: appropriate site size (+5 acres), arterial road accessibility, water and/or sewer availability, and compatibility with adjacent uses. The County's Interstate Interchange Development Plan is a segment of the Land Use Plan component of the Comprehensive Plan. Adopted in 1996, it provides that only certain of the Interstate interchanges should be developed. The Yancey Mill interchange was not one of the interchanged recommended for approval, presumably because it was not as close to the center of the County as were those interchanges that were included, such as U.S. Route 250 East, Route 29 and Route 20. This Interchange policy was adopted at the same time that the Land Use Plan of which it is a part was adopted in 1996, at a time when there were many more acres of land designated for Industrial Services in the Land Use Plan than there are today. For example, the land at the intersection of Route 29 and Hydraulic Road and that surrounds the Sperry Marine/Northrup Grumman property was rezoned for mixed use development that does not include any light industrial uses. The land now developing as Hollymead Town Center was re -designated to Town Center from Industrial Service and does not include light industrial uses. And the Industrial Service land in the Piney Mountain Community is developing for the National Ground Intelligence Center which is not likely to include industrial uses. In addition, prior to the adoption of the Crozet Master Plan in December, 2004, the Crozet Community included a large area of Industrial Service designated land along Three Notch'd Road/Route 240. The Crozet Master Plan reduced the area of land designated for such uses dramatically. For instance, the area that is now developing as the Wickham Pond community was re -designated from Industrial Service to a mixture of CT3 and CT4 districts. Other areas were similarly re -designated for a mixture of uses consistent with the Neighborhood Model, but that do not include the type of industrial uses contemplated for the Yancey Mills Business Park. The Yancey Mills Business Park CPA Request M Mintpe ngs kk N7 � s nLD'MAFLC COUNTY- VIRi:1ti LA Lglhp PLAN � MAP [1 � � CDMMIIN CSY OF CRDZF"i' � � i� �a.wn u�•ri � ,.ru.rnur...n Figure 3: The 2004 Crozet Comprehensive Development Plan (the pink areas denote the industrial service areas) T -77-j I r:M1 1T `� �e.�ie��a� I.�:.�rt�hw 'n •�,..4�r — � M GDwNiDvrN . Figure 4: The current Crozet Master Plan Given the loss of Industrial Service designated land in Albemarle County as a whole, and in Crozet in particular, coupled with the trends described by the County staff in the Light Industrial Demand Analysis, the need for additional Industrial Service land is well established. The Yancey family property is well-suited to meet this shortage, and it is precisely its location at the Interstate Interchange and a major arterial road at US Route 250 that accounts for one of the main reasons that it is so well suited. US Route 250 is a four -lane divided highway in front of the Yancey family property, and it is fully capable of handling the type of traffic that would need access to the proposed business park. The Yancey Mills Business Park CPA Request 31 As such, it would be logical and appropriate to update the Interstate Interchange Development Plan to reflect the significant changes that have occurred in the development areas since the Land Use Plan was adopted over the past twelve years, by adding the north side of the Yancey Mills interchange to the list of areas that can be developed consistent with the Comprehensive Plan. Coupled with the addition of the Yancey family property to the development areas, and its designation for Industrial Service, this change would position the community to better respond to the changing market demands that the County staff have so well documented. The Yancey Mills Business Park CPA Request 32 VIII. Conclusion The Yancey family's property is ideally suited to address the community's well documented need for additional light industrial land that has resulted from the re- designation of Industrial Service land to retail and residential uses, and to changing trends in the light industrial service industries. With its location adjacent to U.S. Route 250 and Interstate 64, light industrial businesses will have access to an appropriate road network. With the proximity of the property to Western Albemarle High School, the proposal provides opportunities for collaborative relationship with the school system, such as with internships and community service projects. And it provides opportunities for recreational space that could be utilized by students, business park employees and the entire community. The property's proximity to a rapidly -developing residential area of Crozet provides an employment center close to a significant number of residents but that is also directly adjacent to appropriate road networks. By providing an affordable, attractive location for companies new to the community to locate, or for existing community business that require land for relocation purposes, the Yancey Mills business park will enable the County to retain more of these businesses and the tax revenues that come with them. The proposed business park will provide necessary services in Albemarle County for Albemarle County residents. County residents should not have to drive to Zion's Crossroads or Ruckersville to have their lawn mower repaired or to pick out bricks for their planned hardscape project. The Yancey Mills business park will provide these businesses with a place to locate that is attractive and affordable. With the re -designation of significant amounts of Industrial Service land to residential and commercial uses throughout the County and in Crozet in particular, it would be appropriate to add new Industrial Service land in other areas of the County to make up for this lost acreage and to accommodate the well-documented needs for such additional land. The Yancey family's property is well located and well suited to address this need, which will enable the County to keep industrial service businesses in the County while retaining healthy tax revenues. The Yancey Mills Business Park CPA Request 33 The Yancey Mill Business Park Appendix Documents Included.• 1. Light Industrial Demand Analysis 2. Economic Policy Update- Available, Affordable Light - Industrial Land 3. Conceptual Plan 4. Vegetation and Viewshed Map 5. Hydrology Map 6. Topography Map The Yancey Mill Business Park CPA Request Light Industrial Demand Analysis Introduction The demand for light industrial land is a function of several variables that are inherently different from the variables that affect market demand for residential or commercial/retail uses. Commercial/retail is driven primarily by demographics and "psycho -demographics" (purchasing habits by demographic). Industrial markets, on the other hand, are linked to cost factors, such as land, labor, capital, and access to supporting industry (i.e., goods and services sometimes considered "clustering" or sometimes parts of the supply -chain). Further complicating an analysis of market demand is the variation in types of light - industrial use. In a report Guide to Classifying Industrial Property, the Urban Land Institute groups the types into three primary categories of industrial use, 1) manufacturing and freight buildings, 2) warehouse distribution and flex space and 3) multi -tenant buildings to reflect three main types of owners. ULI classifies these uses in the three categories to account for research showing corresponding levels of risk by type of owner, "there are differences in investment performance for each industrial category" (ULI, 109). The owners of manufacturing and freight buildings commonly own their facilities and generally are less likely to change a location. Institutional investors own warehouse distribution, which are the most "commodity -like," and flex space, which offers lower rents than commercial or office buildings. The third category includes smaller buildings that are owned by private investors and are multi -tenant buildings; these multi -tenant buildings are generally known as ideal locations for small contractors. According to ULI, of all the types, the multi -tenant is the most difficult to categorize and to track data about because there is little historical investment or market data (ULI, 10). A closer look at an increasingly important user of light -industrial land, the biotech industry, shows an industry average space consumption of 500SF/employee, in contrast to office space average of 250SF/employee. This suggests that, while employment in some sectors of manufacturing has declined, one user of light -industrial land, manufacturing, typically requires more square footage than with average office - commercial development, and more land. Land Use Designation in the Comprehensive Plan The comprehensive plan allows for light -industrial uses under "Industrial Service." Uses allowed within this designation include warehousing, light industry, research, heavy industrial uses, as well as uses allowed under Office Service. Commercial uses are allowed as a secondary use. Residential uses may be appropriate in the Industrial Service designation if such uses are compatible with the nearby and adjacent Industrial Service uses. Industrial Service designation requires appropriate site size, 5+ acres, arterial road accessibility, water and/or sewer availability, and compatibility with adjacent uses. In addition to the general standards, the following standards are recommended to guide industrial development. These standards apply to light and heavy industrial uses, warehousing, "flex" type of uses, and research/development/technology centers having characteristics more in keeping with industrial uses. The Yancey Mill Business Park CPA Request 1. Industrial zoning districts should be permitted only in designated Communities and Urban area. 2. While single -use industrial sites must be accommodated, re -zonings which propose multiple sites served by common access points should be encouraged. 3. Mixtures of residential, commercial and industrial uses may be appropriate where objectionable aspects can be addressed through a combination of performance standards. 4. Industrial uses should locate in areas where public utilities and facilities are adequate to such uses. 5. Rezoning to industrial designations of 20 acres or more should be accomplished under a planned approach accompanied by a traffic analysis. Land Zoned Light Industrial Land zoned light industrial is expected to be more affordable land, generally speaking, with use restrictions that diminish its utility when compared to land used for commercial - retail or housing. In Albemarle County, light industrial zoning uses are generally consistent with ULI's definitions and can be divided into those which are by -right and those which require a special use permit. The County's Zoning Ordinance Section 27 Light Industrial, contains a lengthy list of by right uses. An abbreviated list includes 1) compounding drugs and biological products, 2) manufacturing, 3) major publishing, 4) research and development, 5) technical or scientific education facilities, 6) assembly, 7) contractor's office and storage yard, 8) business and professional office buildings, and 9) warehousing. With a special use permit, laboratories, airports, assembly of modular building units, moving businesses, towing and storage, supporting commercial uses, and indoor athletic facilities are all allowed in light industrial districts. An additional requirement for establishment of an LI district is a minimum area of five (5) acres. Any applicant seeking to establish an LI district would be prohibited from doing so on a parcel of less than 5 acres, unless that parcel adjoins an existing LI district. A GDS analysis of parcel data shows a comparison of properties that are both designated Industrial Service in the Comprehensive Plan and zoned for light industrial. Parcels that are both designated and zoned for industrial use are ready for an industrial owner or tenant. Parcels with only an Industrial Service designation, but not LI zoning, are more likely to be subject to speculation for other zoning districts, such as residential. Per the 5 - acre minimum requirement for rezoning, some parcels cannot be rezoned to match the Comprehensive Plan designation. See the table below. The Yancey Mill Business Park CPA Request Table I - Albemarle County Acreage for Light Industry Activity Area Total IS Total LI Both IS & LI Vacant IS Vacant LI Vacant IS & LI Places 29 1,234 305 266 901 93 88 Crozet 37 124 17 4 64 3 Remaining County 211 599 128 31 176 20 Total Count 1,481 1,027 411 935 333 111 1 . IS = Industrial Service in the Comprehensive Plan, LI = Light industrial zoning 2. Acreage totals are based on GIS -mapped polygons 3. Any acres in the 100 -year flood plain covered were subtracted out and are reflected in these totals 4. "Undeveloped" refers to building improvements values listed in LAMA greater than or equal to zero and less than or equal to $20,000 5. End of year 2005 CAMA data was used for this analysis, compiled by GDS Current Ownership & Uses In contrast to the supply of designated and zoned industrial land, a review of LI ownership is helpful in characterizing current parcel sizes. Staff in the County's Geographic Data Systems (GDS) division identified current owners of all properties zoned LI in Albemarle County. See Attachment 1, Industrial Land Ownership and Sales. Taking out the UVA Research Park shows an average parcel size of four (4) acres and a median parcel size of two (2) acres, generally too small for economical development. Of the sales dates identified the average year sold was 1997, excluding the place holder date 1900. Over time new LI work space has become available as new buildings have built out in the UVA research parks and as existing buildings have been vacated and adapted for reuse. The table below shows an overview of new or newly adapted space in recent years. Table 2 - New and Adapted LI building space in Albemarle County Place Name Building Project new construction Adaptation/Re-Use University of Town Center One (70,563 SF) Virginia Town Center Two (83,555 SF) Research PRA (82,577 SF) Park formerly Biotage (52,000 SF) known as MicroAire Surgical Instruments UVA (46,000 SF) Research Motion Control (25,000 SF) Park at North Emerging Technology Center One Fork 41,778 SF Fontaine R&D, UVA Health Services (495,000 Research SF) Park Avon Bio -tech and local contractor The Yancey Mill Business Park CPA Request Place Name Building Project (new construction) Adaptation/Re-Use Extended Restrictions, notes services Comdial LI Defense contractors, R&D (500,000SF) Music Today North Fork Adapted from ConAgra Table 3 below indicates an approximation of acreage actively marketed in Albemarle County for new tenants and/or buyers. This data is provided by local commercial realtors. Several locations have environmental hazards; one is constrained from expanding by its location in the rural area. The University parks require tenants to maintain a research relationship. Avionics Specialties and Badger both require building adaptation, Avionics also requires removal of asbestos. The last, Comdial, is leasing as a multi -tenant building. Avon Court and the property near Sunbelt are currently under development, in the site planning stages. Table 3 - Available, "Marketable" Space for Supporting Local Services and Major Industry Place Name Acres Zoning Comp Plan Restrictions, notes Avon Court 7 LI IS None North Fork 435 PDIP IS Research affiliation Fontaine 54 PDIP IS Research affiliation Earl sville Business Park 8 LI Rural Area In the rural area Acme Visible Records 30 LI District Environmental contamination, railroad crossing Avionics Specialties 10 LI Institutional Environmental hazards Badger 6 LI IS Environmental Below Sunbelt Rentals, Rt. 29 12 LI IS None ConAgra 10 1 LI I District, CT -4 None Grand Piano Warehouse 11 LI Community Service I Environmental/Landfill hazards Comdial 25 LI IS None, multi -tenant office uses Source: County View Another demand measure is the office market, since office is permitted in LI -zoned property. A recent study published by the Appraisal Group indicated that the combined market of Charlottesville and Albemarle County had an overall office -rental vacancy rate of 6.6%. To compare to national average, the Appraisal Group cites Cushman and Wakefield's reported a national average for the first quarter of 2007 of 9.9% for central business districts and 14.3% for suburban office markets. Broken into quadrants, the Appraisal Group reported office -rental vacancy rate of 9.8% for the northern area (roughly corresponding to Places 29) and a market share of 33.8% The Yancey Mill Business Park CPA Request Table 4 - Sample Size Totals For Charlottesville Albemarle Of.f ce Space Sector Total Area (SF) Vacant Area (SF) Vacancy Rate North 1,245,008 122,011 9.8% East 532,429 22,425 4.2% West 779,176 7,792 1.0% UVA/Downtown 1,131,395 130,110 11.5% Totals 3,688,008 282,338 6.6% Source: The Appraisal Group, Inc., "Office Market Review" 2007 Perhaps the best measure of demand for light industrial land is available by documenting major businesses that have been turned away, due to lack of space, or a lack of a relationship with the University research programs. Field data indicates the companies listed below have been turned away since 2004. Some local companies are looking and finding no expansion options, and for this reason, these companies are considering moving out of the County. The list below was compiled from the University Real Estate Foundation, the Thomas Jefferson Partnership for Economic Development, and from Hasbrouck Realty. The average size parcel request is in the range of 9 to 10 acres. See the list below for space requests. Table 5 - Space Requests, 2004 to 2009 NL Novalink, 100,000 SF. on 10 acres, 2006 (North Fork prospect) Harmon Becker, 100,000 SF on 12 acres, 2004 (North Fork prospect) Christi's looking for 80,000 SF of warehouse on 3 acres, 35 foot ceiling, summer of 2007 Vest Excavating looking for 30 acres, recycling wood, summer 2007 Carter Machinery looking for 3 acres with visibility, summer 2007 Hertz Machinery looking for 3 Ares with visibility, summer 2007 Local company, looking for 20 acres, 2008 Local biotech, looking for 3 acres, in 2009 Second local biotech, looking for 4 acres in 2008 Anecdotal examples such as these suggest that the availability of LI -zoned land is an issue in Albemarle County, but there is a second issue that the County needs to recognize. This second issue involves the likely LI -zoned land price differentials that exist between Albemarle and the surrounding counties in our region. LI -zoned land prices likely are higher in Albemarle than in the outlying counties. If the magnitude of these price differentials is large, the County might have a difficult time retaining or attracting LI businesses. A critical issue facing the County, then, involves whether or not Albemarle could increase the supply of LI -zoned land to the point at which the price differentials either would disappear or at least would diminish enough to cease being a deterrent to the retention or location of LI businesses. Clearly, this issue merits further research. The Yancey Mill Business Park CPA Request Labor The second factor in determining location for light industrial property is labor. Virginia enjoys a favorable business climate as a right-to-work state. Among the local labor force there have been some losses and gains in the sectors of industry that typically occupy light -industrial space: manufacturing, bio -tech, office, and construction. The tables and data below provide a measure of recent trends in labor. Table 6 - Manufacturing Employment Losses Company Peak Employment Departure Date Comdial 1,200 2001 ConAgra 890 Acme Visible Records 220 Badger 189 2007 Siemens 625 Avionics Specialties 200 2007 Cooper Industries(Murray)** 1991 * These companies left prior to June, 2005 ** This data is unavailable Source: County phone surveys, VEC data The Virginia Employment Commission (VEC) tracks employment by classification, using the North American Industrial Classification (MAIC) two -digit code. The VEC industry sector called "Professional and Technical Services" shows fairly constant employment in Albemarle County and captures some of the bio -tech jobs. At the four - digit level, bio -tech is showing strong positive employment growth. The following average annual growth rates were derived from VEC's 1990 and 2005 employment data: • Professional and Technical Services employment averages 10.8 % per year, for a total of 2,252 jobs in 2005 • Bio -tech employment growth by 4 -digit NAICS code is averaging 16% per year among the 23 companies identified, for a total of 250 jobs in 2005) • Fourth largest segment of the County employment base at 6.8% or 3,080 jobs, local contractor employment growth is averaging 2.5% per year. This sector grew considerably during the housing boom of recent years; employment growth in this sector likely will slow, or the sector might even experience actual declines in employment, in the next couple of years. • Transportation and warehousing employment is only 1% percent of the total County employment base at 555 jobs, growing a modest rate of 3.5% per year Access to Supporting Industry Airport, rail, highways, and access to raw materials can be critical to a location decision. But also, the overall costs of business can be lowered if there is a sufficient base of supporting industry, services providers, and contractors. A close examination of zoning code violations in the Rural Area reveals some trends for supporting industry to start as The Yancey Mill Business Park CPA Request home-based businesses in the Rural Area and then grow to a point of creating nuisance for their neighbors. For the last two years, a tally by type of business shows 9 auto repair and tow services; 10 painting, plumbing and contracting services; and 5 miscellaneous services (junk yard, salvage). This provides some indication of locally supporting industry that would be better located in land designated and zoned for light industrial activity. It should be pointed out that a few of the types of small businesses mentioned in this paragraph might not be willing and able to pay the costs of making a transition to a "formal" LI location. Anecdotal information from several local service companies recently leaving the area suggests, however, a shortage of land for companies that support homeowners and commercial businesses alike. Conclusion Similar to national trends, there are three emerging trends among local users of light industrial land: 1) Some manufacturing and service users have recently moved out of Albemarle County 2) The high-tech and bio -tech sector are showing strong growth in our region 3) Users of multi -tenant buildings (contractors, maintenance and repair services) and warehouse space needs are growing to meet local demand for services and goods The demand for light industrial is highly dependent on factors affecting operating costs: land, labor and capital, as well as access to customers and support services. One of the key factors, land, is clearly in short supply given that land both designated Industrial Service and zoned light -industrial only accounts for 121 acres of the County's build -able, vacant land. Generally, LI users will choose to locate where product is ready, available, and sufficiently plentiful for an affordable supply. Again, the question facing the County involves the extent to which Albemarle can increase the supply of land designated and zoned LI to the point where this type of acreage becomes affordable relative to comparable acreage nearby counties. Go to next attachment Return to exec summary The Yancey Mill Business Park CPA Request STAFF PERSON: WORK SESSION DATE: Susan Stimart July 22, 2008 Economic Policy Update - Available, Affordable Light -Industrial Land Purpose of the Work Session The recent update of the Economic Policy data indicated a lack of light -industrial land available for local business expansion in Albemarle County. The purpose of this work session is to consider new Comprehensive Plan strategies to better support the Policy's Objective V: "Objective V - Provide local business development opportunities. STRATEGIES (1995): 1. Support existing businesses and industries through an open door policy of communication, and exchange of information and concerns. 2. Coordinate with existing entities that assist new small, locally -owned, and minority businesses and micro -enterprises in their start-up and early operation efforts." Introduction New strategies, in support of "Policy V — Provide local business development opportunities," are needed to address the shortage of parcels with light -industrial zoning. Albemarle County light - industrial land is available for over 70 distinct uses, per the County Zoning Ordinance. The uses range from basic and advanced manufacturing (e.g., bio -tech) to heavy -equipment storage, warehousing, and even offices uses. These companies comprise what the State terms "basic industry," a category of business commerce whereby a company produces a good or service that is exported outside the local community. For example, "basic industry" would include UVA Research Park's bio -technology companies, local defense contractors, an automotive equipment manufacturer in Scottsville, food processing (our brewery and vineyard -support industry), building components manufacturing, truck terminals, and publishing operations. LI zoning also accommodates companies providing locally -used services and goods. In no particular order, these local service or product providers include kennels, natural gas storage, telecommunication resellers, contractor storage for excavation equipment, waste management, and facilities support such as cleaning companies, equipment repair, auto body shop, private ambulance services, and subordinate retail and supporting commercial uses. With this fairly extensive list of allowed uses in this zoning category, there is considerable competition for the few LI -zoned parcels available in the County. LI inventory An analysis of 2005 real estate records, excluding land in critical slopes and floodplains, shows an inventory of vacant LI -zoned land of 333 acres. A 2007 summary of parcels shows a lesser amount of 300 acres available. Of those, the average -sized parcel is 4.8 acres; the median -sized parcel is only 2.5 acres. There are only seven parcels sized 10 acres or more, of those four are more than 20 acres. The largest vacant parcel of 36 acres is not accessible due to the CSX Rail alignment, leaning essentially only three vacant parcels over 20 acres. See Attachment 1 -Map of LI Zoning. From the same end -of -year 2045 real estate records the GIS staff estimated land designated Industrial Service (IS) in the Comprehensive Plan amounted to 1,481 acres. Of that, 935 acres were considered vacant or undeveloped. Much of this land is located in the UVA Research Park and Piney Mountain Development Area where Rivanna Station is located. Staff analysis included identifying the total acreage of IS in the Development areas, excluding land in critical slopes, flood plain and tied to the University research parks or the Rivanna Station. This land analysis excluded parcels already zoned for LI or with higher -activity zoning, such as Highway - Commercial, C-1 and Commercial -Office zoning. The remaining vacant land designated in the Comprehensive Plan for industrial -service totals 478 acres; average parcel size is 7 acres and median parcel size is 3.5 acres. See Attachment 2 -Map of Comprehensive Plan Designated Industrial Service. Analysis of 2005 vacant parcels with LI zoning and designation in the Comprehensive Plan for Industrial Service (IS) shows an even lower available inventory of 111 acres. Future Demand Analysis The US Census, in partnership the US Economic Classification Policy_ Committee, Statistics Canada, and Mexico's Instituto Nacional de Estadistica, Geografia a Informatica identifies all the types of employment under one classification system called the North American Industrial Classification (MAIC). Staff used a methodology of identifying the types of employment that typically use LI zoning, as defined by the Albemarle County zoning code. Staff compared a basic classification by 2 -digit NAIC as well as a more detailed, 4 digit NAIL, which provided a range from 9,083 to 9,101 employees in 2006. If considering that office uses also allow for NAIC 54- "Professional/Technical Services" as well as MAIC 56 -"Administrative and Support and Waste Management and Remediation Services" to locate in LI zoning, this 2006 employment level reaches 13,477. Gathering 2006 employment by NAIC codes typically found in LI, staff estimated current space using an average of 500SF per employee, or a baseline consumption of between 454 and 672 acres. Based on past growth trends of 3.5% annual growth and our desire to provide for local business expansion, this employment base will likely double in the next 20 years, or a projected total consumption of between 908 and 1,345 acres. Taking out 694 acres already developed and the 333 vacant acres, this would result in a future shortage ranging from 121 to 339 acres. The difference in the acreage estimation depends on whether office uses continue to be a by -right use in LI districts. The larger estimation of 339 acres includes the two NAIL codes 54 and 56. I Dladigon County Rockingham Connty Greene Crnlnty I Orange Comity Allgnilta Comity 10 2 E LotliRa County I I z I I iF'luvanna County 6 Albemarle County I Virginia Nelmon Comity � � Attachment 1 Vacant Light Industrial Zoning Buckirggham County Vacant LI Zoning Vrcpared by Aibemarie County 0 Development Areas D lcc of Gw yaphk Data '54"1" Map crraled N T1 chambers, rurw 2oD8. NOW The map elements depleted are sraphk epresantalkns and are nol to be construed or used as a Iegal acripltan. Miles This map is for dleglay purposes uAl- 0 5 10 �ia�iiyon County C'owity Greene C minty Orange Cowzty .'Ligunts County Sf 6 n I 2 R9 I Conine Coiuity I I I 29 I�liivaluv2 L c�:i�it: I s Albemarle County Virginia Nelson L'owSty Attachment T : Total light Industrial Zoning Buckingham Contity 0 light Industry WeparcA by NbcmarW Comtj Development Areas Office of Geographic Daia UMcW&DS}, Map crcaW bf iY chambars, Tuns zoos. twre: Sha map elements Aapicle4 era graplik aprcacniarlona and ars not 10 be consirutd or used as a kgaf 71 , mile Sbis map is for displal purposes Mj- O 5 10 I Rockingham County Greene County .lugnsAta Connty N��i�o„ [ aliitr.v Madison Crnlnty Orange Colulty Louisa County Fluva:ula County Albemarle County I Virginia Attachment 2 Comprehensive plan Vacant Designated Industrial Service Buckingham County � Vacant Industrial Service Prequel bi Albemarle "wu Q Development Areas 0%ica of Geographic Data Servicas(U*). Map crr W bi TT Lhambsm Tune 2008. role: Tha map damenls dagiclel art graph- epresenlatisns and &* not to be wnsrrnel or Ueel as a legal 1pf acriplion. MiesThis maq is For Isplap purposes o<dt. 1 0 5 10 MadfAoil County IZ0Ct[li7(rt1Ari1 Cotmty i Greene Comity Qrwige Comity 2 Augusta County 2 I,auNa Comity 3 i 29 I'Zl19aN]A county 6 Albemarle County I V14rde Nelean County Attachment 2 _ Comprehensive Plan Total Designated Industrial Service Buckingham County 1♦ Industrial Service Fr"arsd by Memarte C. Mtg Deveiopment Areas Office of Gsographk. Data Swvkae(GDS}. Map crsaled bf 7t [ hzmbsr6, Tuns Zoo& note; Tow map clanwn% &p- led ars graphic eprsssntaliaos and are not to ba canslrusd or uesd as a fcyaf d rvion- Miles ibis map is for diepiaY purposas nnit- 0 5 10 i If considering local supply chains needs (warehousing, storage, etc.) of our local basic -industry base, e.g., bio -tech and health-care, then it is possible the shortage is more profound. See Attachment 3 for detailed employment base by industry code and projections. Recent Trends Industrial Service land use designation and in LI zoning As recently as November 2005, County staff represented available inventory for LI uses by focusing on the "Industrial Service" (IS) land inventory. The recent Willow Glen ZMA project focused on the inventory of land designated in the development areas for IS (to meet the short - and mid-term needs, as measured by five to 10 years). The IS land located in the Hollymead and Piney Mountain communities, totaling approximately 270 acres, was deemed sufficient to address the County's LI uses (basic industry and business -to -business needs). The staff report also documented the history of converting IS property to other, non -LI uses, resulting in the incremental loss of IS and the unintended consequence of encouraging speculation for "higher, greater -economic uses" such residential subdivisions or commercial -retail: • 35 acres -- Hollymead Town Center (offering important Airport access) converted IS to commercial retail. 50 acres -- Willoughby/Fifth Street CPA • 40 acres -- Albemarle Place NMD (retail/residential) The end result is a decrease in inventory of IS -designated land and a market environment that encourages IS land to convert for higher -value uses. Both ultimately result in a decrease in "affordable" land with IS designation, due to the market expectation for rezoning to uses of higher market value than U. Albemarle County's recent plant closings have resulted in vacant, developed LI property. This "bump" in available LI space is due to the specific plant closings of Badger and Avionic Specialties. Another plant closing, Acme Visible Records, is still not fully re -occupied due to environmental contamination and ongoing remediation. Avionics is also currently pursuing environmental remediation. Even with the recent plant closings, current market information including properties located in Charlottesville, Albemarle, Green, Louisa, Fluvanna and County and the City of Waynesboro shows Albemarle having the highest rents except for Charlottesville. With as many as 70 uses permitted by -right or by special -use permit, it is evident LI accommodates a variety of uses. The competition of these many uses can have an affect on the ability of smaller businesses to find affordable LI opportunities. As an example, contractors are looking for affordable space to store equipment and materials. Smaller -scale contractor storage or "cottage -industry" is a prevalent home -occupation request in the rural areas for several reasons: 1) ability for the contractor to perform necessary, routine equipment maintenance with the convenience of working from home, 2) equipment security from theft and damages, and 3) lower overhead without the land cost. However, issues can arise for these uses as home occupations due to scale of operation, number of employees exceeding that allowed for home occupations, traffic or outside storage. Expanding home-based contractors need to locate Attachment 3 Ll Employment Projection Projection Calculations Value Unit Total 2006 Employment 13,447 employees SF Factor, 500SFIEm to ee 6,723,500 SF 10,000 SF/AC conversion 672 acres 2026 Demand 2x 2006 Base 1,345 acres Total LI Zoning 1,027 acres Zoned Developed acres 694 acres Zoned Undeveloped acres 333 acres Shortfall 339 acres ❑ouble Employment base 26,894 empEo ees Annual growth rate 3.5% Employment wlout 54 & 56 9,083 SF Factor, 500SF/Em Io ee 4,541,500 SF 10,000 SF/AC conversion 454 acres 2026 Demand (2x 2006 Base) 908 acres Total LI Zoning 1,027 acres Zoned Developed acres 694 acres Zoned Undeveloped acres 333 acres Shortfall 121 acres Double Employment base 18,166 employees Annual growth rate 3.5% Attachment 3 - continued LI Employment Base Em Io ees NAICS Codes Description Zoning 1996 2006 "High Tech" Codes Basic Manu/ B2B Codes 15 - 1132 Nursery products 5 4 2111 Oil & gas extraction HI,PDIP - - 2211 Power generation - 4 3241 petroleum & coal HI,PDIP 2 - 3251 basic chemical manu HI,PDIP - - 3252 resin, rubber, fibers manu HI,PDIP - - 3253 ag chemicals manu HI,PDIP - 11 3254 pharm & medicine manu LI,PDPIP - - 3255 paint, coating, adhesive manu HI,PDIP - 2 3259 Other chemicals HI,PDIP - 10 3332 industrial machinery manu LI,PDPIP 4 5 3333 commercial machinery manu LI,PDPIP - - 3339 turbine, power equipment manu LI,PDPIP - - 3341 computer,peripherals equip manu LI,PDPIP 1,102 18 3342 communications equip manu LI,PDPIP - - 3343 AV equip manu LI,PDPIP 17 674 3344 semiconductor component manu LI,PDPIP 1,174 1,016 3345 electronic instrument manu LI,PDPIP - - 3346 magnetic media manu LI,PDPIP 1,488 - 3353 electrical equip manu LI,PDPIP - - 3364 aerospace product, parts manu LI,PDPIP - - 3369 other trans equip manu LI,PDPIP 9 202 3391 medical equipment manu LI,PDPIP 52 61 4234 com mercial equipment,supplies wholesalers LI 9 27 5112 software publishers LI - 9 5161 internet publishing LI 30 118 5171 wired communication carriers LI - 55 5172 wireless communication carriers LI 2 2 5173 telecomm resellers LI - - 5174 satellite telecom LI - - 5179 other telecom LI 5 10 5181 is s & web search portals LI 60 94 5182 data processing, related Svcs LI 90 238 5413 architect, engineering LI C:1ProjectslEconomic PolicyTianning CommissionlWork Session2\Lldemand06302008.xis Attachment 3 - continued LI Employment Base Em io ees NAICS Codes Description Zoning 1996 2006 "High Tech" Basic Manu/ Codes B2B Codes 5415 computer design, services LI 61 794 5416 management, technical LI 58 242 Svcs 5417 scientific research & CO,PUDC,PD development (Labs) MC,LI,PDIP 77 266 5511 Mmt of companies & LI 849 1,539 enter rises - - 5612 facilities support services LI 8112 electronic equip repair, LI 32 12 maintenance 272 405 2389 Contractors Ll 3114 food processing plants, HI,PDIP, RA 834 - packing, rendering 3149 recreational vehicles, HI,PDIP component 243 122 manu distribution 106 134 3211 saw mills HI,PDIP 3212 Building components manu HI,PDIP 9 52 3219 Building Material sales PUD -SC, HC,PDSC, - 4 PDMC 3221 pulp, paper manu or HI,PDIP - 1 rocessin 3231 preparing printing plates, LI,PDIP 230 36 roublishin - 4 3241 asphalt mixing plant HI,PDIP - 3 3271 Brick Manu, distribution HI,PDIP 3273 concrete,Cement, lime HI,PDIP 2 - manu or processing 3364 aircraft assembly from LI,PDPIP components manufactured - - elsewhere 224 136 3399 jewelry manu 8 23 4231 wholesale LI,PDIP 4233 Lumber, other construction LI, PDIP materials wholesale 59 132 4242 accessory pharmacies or CO,PUDC, labs PDSC,PDMC - 2 12 5 4245 livestock sales HC,PDMC 4441 machinery, equipment HC,PDMC,LI, sales, service, rental of PDIP construction equipment, 352 513 tools C:1Projects\Economic Policy\Planning CommissionlWork 5ession2\LldemandO6302008.xls Attachment 3 - continued LI Employment Base Em to ees NAICS Codes Description Zoning 1996 2006 "High Tech" Basic Manu! Codes B2B Codes 4442 nurseries (retail) and PUD-C,PUD- greenhouses (retail) SC,C- 1,HC,PDSC,P 123 67 DMC 31 566 4541 Electronic shipping LI,PDIP 4543 Heating oil sales, PUD -SC, distribution HC,PDSC, - 28 PDMC 4842 Specialized Freight LI, PDIP 58 130 Trucking - 2 4884 truck terminal LI,PDIP 4921 Couriers and Express 212 290 Delivery Services 4931 Contractors office & LI,HI,PDIP equipment - 7 storacie,warehousin 113 250 5419 veterinary, animal hospital HI,PDIP 5 5 5622 Junk yards HI,PDIP 6112 scientific, technical LI,PDIP 353 389 education 6219 ambulance service, private PUD-C,PUD- SC,C- 1,PDMC, PDS C,HC,LI,PDPI 10 42 P 8111 Body shop PUD-C,PUD- SC, C-1, HC, PD -SC, PD - 107 235 MC 21 8 8123 Dry cleaning plant HI,PDIP 92 79 8129 Boarding kennels HI,PDIP Subtotal 9,083 509 21672 54 Professional/Technical 56 offices, admin & LI,PDIP 773 1,692 rofessional subordinate retail (x15%) PDIP nla nla n/a nla supporting commercial CO,LI,HI, nla nla nla nla uses PDIP 9,899 1 13,447 C:1Projects\Economic PolicylPlanning Commission\Work Session2\Lldemando6302008.xis equipment to LI property, of which there is a shortage of affordable product eligible for this kind of use, or locate their business outside the County limits. The attached Cash Flow Statement, Attachment 4, shows a basic operating position modeled from a "real-life," local contractor. The cash flow statement shows that the primary expenses are labor, fuel and. rent. If a contractor can pocket what typically goes out for rent, this helps increase substantially the company's profit margin. What is also important to note, the most common approach to grow a company is by starting as a home-based business. Accommodating Local Business Growth in LI Zoning Given hath the current shortage and the expectations for future need, how should the County Policy "Provide for Local Business Development" and address the shortage of light -industrial land? Though there may he other options, here are three options for the Planning Commission to consider and to provide guidance to staff in formulating the Economic Policy Strategies under "Objective V - Provide Local Business Development Opportunity." 1. As part of Master Plan process, designate and proactively re -zone additional areas in development areas to LI uses. ■ This strategy follows the County's growth management policy of accommodating this type of development in the Development Area and protecting the Rural Areas. As described earlier in the report, the County has a considerable amount of land designated for Industrial Service (IS) (935 acres), but a significantly lower amount is actually vacant and zoned for light -industrial uses X111 acres). The current shortage persists because of a two-part barrier: 1) high carrying costs for a rezoning request and 2) IS speculation for non -uses such as retail or housing. ■ There are few major disadvantages with the exception of the potential loss of proffers in a owner -initiated re -zoning process that could address impacts of the use. The clear advantage of the County -initiated rezoning within development areas to LI is to increase product, with an expectation for a lower price if enough land is converted. Below are two more specific possibilities under this general strategy a. Qption 1 A — Desi ate and Rezone County -owned 12LOpert . The County owns several parcels in the Development areas, such as the Cosner property south of the Monticello Fire Station. The advantage is that this is most straightforward and likely to provide an affordable solution since the County controls the price of land. Disadvantages would vary by individual parcel. Many County -owned parcels were purchased for other uses; a major change in intended use could create problems in meeting community facility needs in the future. Additionally individual communities have built up expectations for other uses, that might be in conflict with a rezoning to LI. b. Qption 1 B — Desi pate and Rezone rivatel -awned development area 12arcels. As part of the Master Plan process, the County could designate and rezone for LI 1_ J CL m o !�la a o LnM"r a o o a (+7 o r ❑ MrN s^ a ❑ r r ❑ r ❑ N o ❑ r o p p r a b p p p CD, (D p O r p O O p Q p a 00 000 Q] O b O b Cl m O CD (D p p p N O n CO O p Q Q a a Q a 0010 tt7 b L(7 O O a p (D O ct] cp L[7 00- O (J� N It CV n 0] Q( 00 N w n a O7 Qi N N 4i 47 r N G] M N viN M [77 Cp N a0 (D It W N M N N N 1A (M N Ln a s b 0 0 0(p O O p a p O a to tt ] a a (0 O b (D 0) 't b 0 O O O tO co In Q Q (t7 a s (N N Lo (D 0) 0) L() a) U to p p O U) OD I- to r a to LO CO N t-- N CO n n 0 a M a (d 4 V 00 cl r N N (D 0 0 n p Q Q a b 0 N OD CS, 181 O p p to to a N N b N u7 as b bpn OM pISCSC)N N Ln O O Ln u7 Q1 7 C b O to 00 tO w (D to u7 M N r N M n N N cn H7 N ❑ N � to 07 M r CV N LIQ] (6 !A N (0 as a bppO❑) Op pa CDP QQ Ln Lo b m Y O e- n 07 a b O O O LO p (D M LO Q Q U') a b NN Ln to V) 4 ❑] n O b O LO 00 n Q n (D U') co M N s- N M n co co Ln V ❑ 00 -7 cr M r N N N drol M Eta CN7 d9 R7 p a Q b b 0 O N O O p O p CD, (D a 0 Lo a N CO p CO to 07 Qa b bOLopNmL[7OpQLf7aa N N Lo O a] L(] f1 r O b C Lo R7 n p ❑] (D (D 0 M M N r- N co n 00 M u7 n 0) N r M N N N M r N N N N N E9 N vl* M co to O O p Q a a n O N O O O p O p a 0 to Q N 00 p 00 p Q Q O b 0 L17 p (V co L[7 p Q Vl O b N N L17 p ❑7 Lo m 00 b b b LO O0 n p ❑] - (v tr) CO M N r N M n Lo It co r 07 QC6 k6 00 M CV V N N a (NiO riry (+M7 EH V! W a s a b b 0 p 00 O p p a Q a a a Lo Lo O 00 N b N O n Q Q b p 0 Ln O 07 M 0 a Q a Ln b b N N Lo n N L17 n Lo a as b u700nCDcp 0 LntnCOM N N M n Q 07 M Ln LO O CO p M r CV Lo N N vi L6 p N to H4 p p a0aa00bb Opppa000Ca m N Q N o0 L(7 p a a s Lo b m M L[) O p 0 Q Q N N Ln O n N L(7 n N C C"] a Q L(] ❑] n d O - CO to Cl) M N r N CO n r (D Cl) co m M co N O ('7 r N Lo N N N n tp b fA 1�� 69� a b p O p O 00 a Q O O O O O Lfl LL] p 00 N p N (D M 0 O a p to a 0) M Lo O p 47 O CD N N Ln n N 0 Q V) r}0 n O Cn (D to (`7 M N r N M n LO d co Cl N[f� L{) 03 N co r N Lo N N N M O IS p a a a b b LO O O p p a Q Q a to to O u] Lt] b t[1 It Lo p 0 Q by L(7 O M l(] p Q Q L17 a b N N LC7 N n Lo 1- 00 C Q Q Q LOCO n p 00 Lt ] co M N .-- N CO n m 69 M N n CO a o tYi r ni cri C -i ni 6i 61� ni N O CD CDP a aaop 00 Opaaa Lo Lo O r- b r m n p 0 a a b L17 O M M IS Q a 0 a a N CV L(7 Lo w p �- a a 4 O L(] 0: n Lf] n r (D Lt] M M N �-- N co n 00 00 M r 0p M N If] ti M N N N n Ir: N f79 L() O O p a s O Lo O O O a Cl Q Q Lo Lo O LO L(] O In p 00 p Q O O O 117 Cl) m 0 6 b to O p N N InLn co N t7 � O O O Ln 00 n (0 r (D LO L() M N r N M n V co I` n Ln 64 C) (''7 N N Lo O O p aO 6 0 Lo O (=, P a p a b b LO LO O to L(7 O L!7 t!7 CD, a b b O p LO Cl) M U,) b b d L17 p O N N U) U,)(D M C Lo O O p L17 00 n w r- (D Lo L17 U-) M N r N M n Q7 cn M N N m ti N L(7 ci L() ca r -7 3 0 U N LL � L � � ❑ L C rn m 0 7L m C r E S O U Y m Q] C N N =❑ p c m 4] Q y w E r t mo a, E w �,oa C a) —J @ ro m ro U �7 U_ 7 N d J N C H 0) (U to a O C (n O -a� m d 7CL a m Z r zO 0 CL m ❑ w� C d to to.❑ 0] U en ❑ cc C XU)❑ mQ W.0 01 47 (n t °'❑ C❑❑- V C 47 f6 Q Q m rn U cd LL. W U y N C C ❑ U d m H E .` N N �- �- _�' 7 LCL N V1 N ❑7 d' (. 00 N C L N L N @ (0 y C Q7 ❑ 0 O ' m i0 m Q ❑ C 0} (D _ > X - [0 7 ZCa Z Z z 't3 (M CD (4 to [4 = ❑❑ O m 3 m a m - a� m= 1+ my w a ❑ m 0000) U❑❑ LL - D � H-- J CL m purposes. The advantage is to clearly articulate expectations for future use and minimizes speculation for other uses. The disadvantage is the potential loss of proffers. 2. Modify the Zoning code as regards allowed uses in the LI and other zoning districts • There are two possible options to achieve this purpose. a. Qption 2A - restrict by -right uses in LI districts. There are over 40 uses allowed by right in the LI district. As an example, office is one such use. A property owner can lease to office -users at a higher price than what a larger space user — equipment storage or warehousing — can typically pay. One strategy to address this problem is to restrict the LI zoning district to only a handful of by -right uses, with others considered by Special Use permit. The advantage of this solution is to minimize speculation for a wide variety of uses, thereby limiting by -right to core industrial uses and lowering the land costs (rent or purchase). The disadvantage is that, while this may better utilize the industrial land we have, it does not create new industrial land supply. b. Option 2B - expand other Zoning districts to allow LI -type uses and cottage- indus . Uses allowed in HC, C-1, CO and RA could be expanded to include some limited LI uses as by -right. As an example, the home -occupation Code provisions could be modified in the Rural Areas to allow contractors typically associated with uses meeting Rural Area purposes to legally store more equipment than what the Code allows for now, with supplementary regulations to guide applicants on performance standards and environmental protections. The advantage of amending the Zoning Code to allow more LI uses in other districts is to increase land available for LI uses. The specific advantage of allowing cottage - industry more equipment and materials is lowering overhead. This can also supplement farmer income in the rural areas and possibly reduce the need to subdivide. The disadvantage for expanding HC, C-1, and CO uses is that land prices are not expected to decline. So while availability may increase, affordability would not likely increase. The disadvantage of expanding home - occupation activity for more cottage -industry activity is the potential conflict with adjoining uses. 3. Increase land available for industrial purposes through modification of allowances outside of Development Area boundaries or expansion of Development Area boundaries. • This option changes the growth management policies adopted as part of the 1996 Land Use Plan. The primary disadvantage is that the Rural Areas purpose and land area is diminished. The main advantage is to reduce pressure on existing Development Area parcels to accommodate all industrial land needs. Under this strategy, however, it is conceivable that only a few property owners would fit in this scheme and consequently the resulting monopoly would put high prices on new LI land. There are several existing parcels with LI zoning in the Rural Areas. These parcels predate the County adoption of its growth management policy and have a history and character of LI use. These operations are not permitted to expand under the growth management policy of protecting the rural areas. The most prominent examples are the Yancey lumber yard, adjacent to the Crozet development area boundary, and the Earlysville Business Park — located several miles outside the development area, in rural area of Earlysville village. • Are there certain locational conditions for which the Planning Commission would support modifying current growth management policies to meet LI need, such as 1) adjacency to an existing Development Area or industrially zoned parcel, 2) location proximate to an interstate interchange and/or 3) availability of sewer and water? Staff Recommendations For the purposes of maintaining a sustainable economy, economic vitality and of providing space for local business expansion, staff recommends, at a minimum, a hybrid approach be pursued that combines the first two options previously described: ■ #1 — As part of Master Plan process, designate and proactively rezone property to LI ■ #2 — Modify the zoning as regards allowed uses in the LI and other zoning districts. Staff also asks that the Planning Commission provide direction regarding its question posed in Option 3: ■ Are there certain location conditions, that if met, the Planning Commission would support modifying current growth management policies to meet LI need, such as 1) adjacency to an existing Development Area, 2) location proximate to an interstate interchange and/or 3) availability of sewer and water? INSERT CONCEPT PLAN HERE The Yancey Mill Business Park CPA Request INSERT VEGETATION MAP HERE The Yancey Mill Business Park CPA Request INSERT HYDROLOGY MAP HERE The Yancey Mill Business Park CPA Request INSERT TOPOGRAPHY MAP HERE The Yancey Mill Business Park CPA Request