The size of a planned hotel development in Sedona’s Uptown area will rest with the Sedona City Council this week as it hears a zoning request on the project.
Dutchman’s Cove LLC (Mike Stevenson, Jennifer May and Colleen TeBrake) has requested that Council revert zoning on six parcels the company is purchasing from Axys Capital next to Oak Creek and the Sedona Arts Center.
The parcels were originally zoned general commercial, with the parts situated on the bank of Oak Creek zoned for single-family use. In 1998, Council rezoned the parcels as planned development. That zoning was continued under a revised site plan in 2006. At the time, developer Steve Cole received zoning for a 158-unit condominium project called Preserve at Oak Creek.
Cole died in 2008, and the project development schedule expired in 2010.
Steven W. Polk, attorney for the owners, submitted a request to revert the zoning. In the request, Polk notes Arizona state law requires that Council revert zoning and states that the Sedona Community Plan and the Uptown Community Focus Area have no effect on that obligation.
Six lodging units per parcel would be allowed under general commercial zoning, meaning the planned Ambiente: Creekside hotel project could have 36 units.
As a countermeasure, the owners have said that if Council prefers to not revert the zoning, the owners would be open to a development agreement that would set aside five acres of the property as a public park if the unit count could be increased to 50.
The requests point out that the Sedona Community Plan has established the location as a prime spot for a park and set park creation as an important community goal. The document also notes the Ambiente: Creekside development will be built by right and is subject to site plan review but not to approval by the Planning and Zoning Commission. Because the development will be undertaken under by-right zoning, the City cannot impose requirements like a park without the owners’ consent.
The documents supporting the request say it is the City’s last chance for a park development in the area and that the location is the last undeveloped location where park access is feasible.
The requests also say that failure to revert the zoning would diminish the fair market value of the property, and the owners would pursue a claim under state law based on the current value of the existing Ambiente Hotel on State Route 89A, minus construction costs.
Coconino County has determined that valuation to be nearly $18.2M. (Source)
