HomeMy WebLinkAboutPD-72-96DN:RBTAMMA THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON
REPORT
Meeting: General Purpose and Administration Committee File #' =("�
Date: Tuesday, May 21, 1996
Res. (.Lo
Report #: PD -72 -96 File #: OPA 95 -002 /D By -law #
Subject: PROPOSED AMENDMENT TO THE DURHAM REGIONAL OFFICIAL PLAN TO
PERMIT LARGE RETAIL WAREHOUSES IN EMPLOYMENTS AREAS
FILE: OPA 95 -002 /D
Recommendations:
It is respectfully recommended that the General Purpose and Administration
Committee recommend to Council the following:
1. THAT Report PD -72 -96 be received;
2. THAT Report PD -72 -96 be approved as the comments of the Municipality of
Clarington on the proposed amendment to the Durham Regional Official Plan on
Large Retail Uses in Employment Areas; and,
3. THAT a copy of this report be forwarde&to the Region of Durham Planning
Department.
1. PURPOSE
1.1 The Durham Region Planning Department has proposed to amend the Durham
Regional Official Plan to permit large retail warehouses in Employment Areas.
The Region circulated the proposed Official Plan Amendment (Attachment #1) to
all local municipalities for comment. A Public Meeting was held by Regional
Planning Committee on April 16, 1996 to solicit public opinion on the proposed
amendment. The purpose of this report is to provide comments on the proposed
amendment.
2. BACKGROUND
2.1 This amendment was precipitated by the redesignation of Employment Area lands
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for large retail warehouse uses at the southeast corner of Thickson Road and
Highway 401 in Whitby which was approved in 1993. Due to various market
concerns raised by municipalities to the amendment, Durham Region Planning
Department has initiated this amendment which would permit large retail format
warehouses in Employment Areas throughout Durham Region subject to selected
criteria.
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3.1 The large retail warehouse format, which was pioneered in the United States,
continues to gain further acceptance in Canada. With the current economic
climate, consumers are remaining very price conscious and less sensitive to
aesthetics. The combination of a comprehensive marketing strategy, high volume
purchasing, delivery, and high merchandise turnover rates provide consumers
with savings. This retail phenomenon appears firmly entrenched in the Canadian
marketplace and will continue to expand geographically into high growth areas
such as Durham Region.
3.2 Retail warehouses are locating in agglomerations, which because of their size and
market impact are referred to a "power centres ". They may offer discount
department stores, off -price stores, membership warehouse clubs or "category
killers" which offer a tremendous range of merchandise in various categories at
low prices. Floorplates for larger retail warehouses generally range in size
between 50,000 sq.ft. (4,645 sq.m.) to over 100,000 sq.ft. (9,290 sq.m.) although
many store types (eg. clothing, crafts, etc.) have floorplates between 15,000 sq.
ft. (1,400 sq.m.) and 25,000 sq.ft. (2,320 sq.m.). Power centres range in size from
250,000 sq.ft. (23,225 sq.m.) to 600,000 sq.ft. (55,740 sq.m.) with primary trade
areas which include several municipalities.
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4.1 The proposed amendment to the official plan would permit retail warehouse uses
in Employment Areas as designated in the Durham Region Official Plan.
The amendment defines retail warehouses as 'large- scale, single - purpose
facilities, having a minimum gross leasable area of approximately 21,500 sq.ft.
(2,000 sq. m.) serving a regional trade area, and storing and displaying products
in a warehouse format ". This definition would also include power centres which
includes a number of retail warehouses in a shopping centre format as opposed
to a large single user.
4.2 The amendment proposes to permit retail warehouses or power centres in
appropriate locations as designated by local municipal Councils in area municipal
official plans subject to the following criteria;
• sites should be designated adjacent to either a Type A or Type B arterial
road and in proximity to a Provincial freeway interchange. A traffic study
is required to identify impacts on the Regional road system and associated
mitigative measures. The cost of any required road improvements will be
the responsibility of the applicant;
• a retail market study is required which demonstrates that the proposed
floorspace will not unduly impact any designated Central Areas;
• the proposal should be compatible with surrounding uses;
• the lands should be placed in an appropriate commercial zone in
accordance with this amendment; and,
• the proposal is subject to any other matters deemed necessary by local
municipal Councils.
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S. STAFF COMMENTS
5.1 Retail warehouses are permitted on private services.
Initially, the Region indicated that retail warehouse uses should proceed on full
municipal services. A lack of full municipal servicing in the Courtice Employment
Area places Clarington at a disadvantage compared with other lakefront
municipalities. As a result, the Municipality of Clarington recommended to the
Region that these uses be allowed to proceed on private services, subject to the
completion of hydrogeological and site servicing studies.
The Region has indicated that Section 5.3.20 of the Regional Plan provides some
flexibility to consider such uses as limited infilling or minor expansion to existing
development on private services subject to the satisfaction of the Region. In
essence, retail warehouses would have to comply with the same requirements as
a dry industry.
5.2 The locational criteria should allow retail warehouses on Type C arterial
roads in some instances.
The amendment requires that these uses be located adjacent to Type A and Type
B arterials and in proximity to Provincial freeway interchanges. Although these
locational criteria are generally supported, Staff believe that these uses should
also be permitted adjacent to Type C arterials, provided that a traffic study
determines the location as appropriate. Any necessary road improvements would
remain the responsibility of the applicant.
Accordingly, it is recommended that proposed Section 11.3.18(a) be modified by
inserting the word "generally" before the word "adjacent ".
5.3 Any retail market impact analysis should be prepared with input from area
municipalities.
The Municipality of Clarington supports the requirement for a retail market
REPORT NO.: PD -72 -96 REVISED
PAGE 5
impact study which demonstrates that the proposed retail warehouse will not
unduly impact any designated Central Areas. The regional nature of these
developments leads to cross - jurisdictional impacts on existing and future Central
Areas. However, the experience to date with the retail warehouse proposals in
Whitby have not been particularly helpful in addressing the issues of concern to
Clarington (ie. what impact will there be on the Courtice Main Central Area ?) In
this regard, the policy should be clarified that affected municipalities should have
input into the terms of reference and analytical approach to be used in
undertaking the retail impact assessment.
Accordingly, it is recommended that proposed Section 11.3.8 (b) be modified as
follows:
"(b) a retail market study, prepared in consultation with the area municipalities
in the potential trade area, is required;"
6. CONCLUSIONS
6.1 The Municipality of Clarington does not oppose the principle of retail warehouses
within Employment Areas. The Municipality opts for a cautious approach subject
to the following policies being incorporated into the amendment:
® These uses should be permitted to develop in Employment Areas on
private services subject to the completion of appropriate hydrogeological
and servicing studies;
® A market impact study should be examined but the process for
establishing terms of reference and the analytical approach to be used in
undertaking the retail impact assessment should be open to input from
adjacent municipalities; and,
REPORT • PD-72-96 REVISED
PAGE 6
Retail warehouses should also be permitted adjacent to Type C arterials
where deemed appropriate through a traffic study.
Respectfully submitted,
r'" t.
Franklin Wu, M.C.I.P., R.P.P.
Director of Planning
and Development
RH *FW *df
4 June 1996
Reviewed by,
W.H. Stockwell
Chief Administrative
Officer
Attachment #1 - Proposed Amendment for Large Retail Warehouses in Employment
Areas
ATTACHMENT #1
Proposed Amendment to the Durham Regional Official Plan
Purpose: The purpose of this amendment to the Durham Regional Official
Plan is to permit the development of retail warehouses in the
Employment Areas.
Basis: It has been determined that the introduction of retail warehouse
uses in locations in proximity to freeway interchanges would
provide for a broader range of employment - generating activities
within the Employment Areas without unduly impacting the
planned function of existing and designated Central Areas.
The amendment will allow area municipalities, after due
consideration and subject to specific criteria, to designate areas
suitable for accommodating retail warehouses.
Actual The Durham Regional Official Plan is hereby amended by:
Amendment:
i) adding the words "retail warehouses," between the words
"materials," and "freight" in Section 11.3.1;
adding new policies after 11.3.16 as follows:
"11.3.17 Retail warehouses shall be defined as
large- scale, single - purpose facilities,
having a minimum gross leasable area of
approximately 2,000 square metres,
serving a regional trade area, and storing
and displaying products in a warehouse
format.
11.3.18 Councils of the area municipalities may, in
the area municipal official plans, designate
locations in the Employment Area for retail
warehouse uses. These locations shall:
a) be adjacent to either a Type A or a Type B
arterial road and in proximity to a
Provincial freeway interchange. In
addition, a traffic impact study shall be
prepared to identify impacts on the
Regional road system and to recommend
mitigating measures. The cost of any
required improvements to the Regional
road system will be the responsibility of the
applicant;
b) be the subject of a study which
demonstrates that the proposed floorspaco
will not unduly affect the viability of any
designated Central Area on Map "A ";
C) be compatible with surrounding land uses;
d) be zoned in an appropriate commercial
category in the respective zoning by -law in
accordance with the provisions of this
section; and
e) be subject to any other matters deemed
necessary by Councils of the area
municipalities."
Implementation: The provisions set forth in the Durham Regional Official Plan, as
amended, regarding the implementation of the Plan shall apply in
regard to this Amendment.
Interpretation: The provisions set forth in the Durham Regional Official Plan, as
amended, regarding the interpretation of the Plan shall apply in
regard to this Amendment.
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REPORT NO. PD -73 -96 PAGE 6
5.5 The market study utilizes assumptions on the origin of market shares for the
proposal. Under the two scenarios, the source of sales from both Whitby and
Oshawa would range between 25 to 33.3 %, "Other Durham" municipalities would
represent between 21.2% to 25% and inflow would account for 11.1 % to 25 %.
These market shares are used in conjunction with total potential market
expenditures to determine the amount of retail expenditures required from each
market area to support this development. Clarington has been included with Ajax
and Pickering into the "Other Durham" category.
Based on these two market share scenarios, retail expenditures supporting the
proposal from the "Other Durham" municipalities will total between $4.8 to $6.0
million for 1997. When both the proposal and the Thickson Ridge Power Centre
are combined, retail expenditures from "Other Durham" municipalities are
expected to account for between $16.9 to $18.7 million for 1997.
6 STAFF COMMENTS
6.1 The application is essentially seeking to permit a Special Purpose Commercial
Area within an Employment Area. Unlike the previous Invar applications, which
permits only larger retail warehouses (greater than 21,500 sq. ft.), this application
targets the tenants traditionally locating in Special Purpose Commercial Areas
(5,000 to 20,000 sq. ft.)
6.2 Although the market study discusses potential expenditure impacts'on Clarington,
it concludes that these impacts will be minor in nature. Staff feel that potential
impacts have not been adequately documented for the following reasons:
® The market study provides no breakdown between the "Other Durham"
municipalities. Based on the license plate survey conducted for Home
Depot, staff estimate that as much as 50% of "Other Durham" expenditures
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