COUNCIL ACTION FORM

REZONING OF THE PROPERTY AT ONTARIO STREET & SCHOLL ROAD - FROM S-GA TO FS-RL WITH A PUD OVERLAY AND MASTER PLAN

Hunziker Development Group, LLC and 574 Investments, LLC are requesting a rezoning from Special Purpose Government / Airport District (S-GA) to Floating Suburban Residential Low Density District (FS-RL) with a Planned Unit Development Overlay (O-PUD).

A Master Plan for the PUD is included that defines a maximum of 97 dwelling units, the mix of single-family detached and attached homes, the general layout of the site, and requested deviations. Subsequent to approval of a rezoning, additional approvals for a preliminary plat and site development plan application will also be reviewed by the City Council to allow for development of the site. 

The property is on the north side of Ontario Street, south of the Union Pacific Railroad tracks, west of Minnesota Avenue, and east of the homes on the east side of Garfield Avenue (Attachment A). The land is bisected by Scholl Road, a private road leading to the Iowa State University Applied Sciences Complex north of the site.

The land has never been developed and was formerly owned by ISU. The land is 17.4 acres, including the Scholl Road area and planned right-of-way dedication for Ontario Road and Minnesota Avenue.

Earlier this year, ISU sold the subject land to the developers with the understanding that it would be developed for housing. Staff indicated early on that the City would not accept Scholl Road in its current condition and that it would need to be reconstructed and dedicated to the City if it were part of a development. The developers approached the City Council in January requesting development incentives related to the reconstruction of Scholl Road in support of a development targeted towards workforce housing. Council indicated support for considering the use of TIF to help with the cost of reconstructing Scholl Road, subject to approval of development plans and a development agreement for workforce housing.

The Ames Plan 2040 Future Land Use Map designates this land, and the ISU property north of the railroad tracks, Civic – University. In the Redirection section of  Ames Plan 2040, the development guidelines state: “[c]ivic or public land designations will require a Future Land Use Map amendment prior to rezoning for any use other than RN-3 with single-family zoning.” The RN-3 (Expansion) land use designation includes rezoning to FS-RL, which is the proposed base zoning district for the subject property along with the PUD Overlay.  As such, the land use designation for this property does not need to be changed to accommodate the residential use.

The requested PUD Overlay has additional findings and justifications (see Addendum) related to the proposed housing type and design features, including requested deviations. The PUD process requires either a Master Plan that defines the types of buildings, unit counts, and design standards for the site or a Major Site Development Plan with all site and architectural details for attached housing. In this case, the single-family detached development to the east will have a Master Plan approval, while the proposed housing to the west will have Master Plan approved with a requirement to obtain a Major Site Development Plan approval for the site-specific layout details and design of the housing.

The developer’s proposal for workforce housing will be tied to a future development agreement related to any incentives offered by the City Council related to the reconstruction of Scholl Road. For the purpose of the PUD request, the staff considers the description of workforce housing as it relates to size and type of housing proposed more than specific sales price controls. If the project takes advantage of City incentives or state tax credits, there will be specific home sale price limitations already agreed to. The January 27, 2026 proposal for City incentives also described a mix of rental and ownership units.

OVERALL SITE LAYOUT:

The two developers intend to split the property into two separate but related projects. Hunziker Companies will developer the east side with a plan for 26 small-lot, single-family homes on individual lots. The 574 Investments group will develop the west side with 71 single-family attached townhomes on individual lots with building combinations of duplexes, triplexes, and quadplexes.

The two developments will generally function independently, with the exception of sharing private open space area on the west side of the site and have a common intersection at Scholl Road. Both sites are planned to have access to Ontario Street and to Scholl Road. There will be no access to Minnesota Avenue.

The FS-RL district allows for a maximum of 10 dwelling units per net acre with a minimum of 3.75 dwelling units per net acre. The entire development (both sides of Scholl Road) has a combined estimated net density of 8.3 units per acre. The west side (Ontario Townes) has a net density of 9.5 units per acre, and the east side (Ontario Park) has a net density of 6.2 units per acre.

The PUD Overlay includes requests for certain deviations summarized as allowing for 43-foot lots for single family detached home where 50 feet is required, reduced side setbacks to 5 feet, reduced minimum lot size, corner lot side setbacks of 15 feet, and an allowance for private streets for the townhomes. The combination of these requests allows for somewhat smaller housing development size with additional lots. The townhome development will likely include other internal lot and setback deviations once a detailed Major Site Development Plan for the site is submitted in the future. 

Staff estimate that the PUD allows for an increase in units of approximately 10-15% compared to standard development. This is due to reductions in minimum lot size and minimum setbacks. Of the requested deviations, the 43-foot lot width on a public street is the most significant variation as it impacts total lots and the functionality of the street. Staff has included a condition to address driveway coordination to address on street parking and street trees requirements.

For a more complete analysis of the details for the two sides of the development, see the Addendum.  

NOTIFICATION AND OUTREACH:

A neighborhood outreach meeting was held by the developers on March 9, 2026, at 5:00 p.m. at the offices of Friedrich Realty at 100 6th Street. Several dozen neighbors attended from various areas adjacent to the site, including to the northeast across the railroad tracks and neighborhoods directly abutting the site.

Neighbors expressed concerns about the number of units in the development specifically with regard to vehicular traffic along Ontario Street. There was a general concern that Ontario Street had too much traffic and that vehicles speed on the street. Numerous neighbors stated that it was difficult to make left turns, either onto Ontario Street from a side street, or from Ontario Street onto a side street.

Concerns about existing traffic and additional traffic with development of the site are a primary concern expressed to staff after the meeting as well.

Notice for the P&Z meeting followed the City Council policy with mailed notice to owners within 400 feet, newspaper published notice, and placement of a sign along Ontario Street for each site. Notice for the City Council Meeting included the same notice.

ONTARIO TRAFFIC:

The most persistent concern expressed by neighbors involves traffic issues regarding Ontario Street, a minor arterial street and Avenue designation in the Complete Streets Plan. Ontario Street is 45-foot-wide in this area and allows parking on both sides of the street. This street carries traffic to the residential areas in the northwest part of Ames and includes through-traffic traveling to and from County Line Road.

The traffic volumes on the street are reflective of the nature of the road as a higher order street with between 7,000 Average Daily Traffic (ADT) to 8,600 ADT in this area based upon 2023 information. The 2050 Transportation Plan, Ames Connect 2050, projects an increase of 10% to 15% of total trips in this area of Ontario Street with the growth of the City.

The City’s Traffic Engineering Division did not require a specific traffic study by the developer for the project based upon the existing conditions and projection of less than 100 p.m. peak hours trips being generated by the development. However, because of expressed concerns by the public at the Planning and Zoning Commission (see below) a memo about the the operation of Ontario and left turns from side streets is included with this report. See attached memo. This traffic memo was not available at the Planning and Zoning Commission meeting.

City staff was able to prepare additional analysis about the operations Ontario as a result of radar collected data in 2025. Staff collected data over a four-day period for both directions of travel as part of a speed study. However, with this data staff was able to calculate daily and peak hour trip volumes based on the radar location near Scholl Road, which is the frontage of the proposed project. In addition, City staff also reviewed the accident history along this corridor of Ontario.
 
The findings of the memo include:

1. Trip generation in the PM peak hour for the 97- unit project is estimated at 64 vehicles.
   
   
2. Radar collected data for Ontario regarding the current situation consists of Average Daily Trips of approximately 9,100 vehicles, with peak hour traffic of 763 vehicle in the AM and 826 in the PM.
   
   
3. Currently, travel is very directional in the peak hours, nearly 70% to the east in the AM and reversed in the PM.
   
   
4. The radar data allowed for calculation of "gaps" to estimate the ease of making left turns. A gap of 7.1 seconds is needed to make a left turn across two lanes of traffic.
   
   
5. The current average wait time for a gap is estimated at 17 seconds and 23 seconds in the AM and PM Peak hours.
   
   
6. Longer wait times measured at the 85th percentile is 31 and 44 seconds respectively and the 95th percentile wait time is 47 and 69 seconds. Another way to represent the 95th percentile is that 1 out of 20 vehicles making a left turn has to wait 69 seconds or more in the PM peak hour.
   
   
7. Staff utilized the DOT Minnesota Avenue traffic counts and the radar collected data to estimated wait times and level of service for Minnesota/Ontario as a side street stop-controlled intersection. This intersection has the highest traffic volumes of any side street in the area.
   
   
8. The average peak hour delay, with projected development trips, was calculated to perform at Level of Service (LOS) "C" with an average of 21 seconds of delay. The City’s performance target is LOS D or better with a delay range of 25-35 seconds.
   
   
9. Staff estimated that traffic levels on Ontario would have to increase by 50% before LOS would likely exceed LOS D and warrant additional review.
   
   
10. Crash data from 2021 - 2025 identified 17 accidents, no fatalities or severe injuries. Most frequent cause of accident was deer (six).
    
    
11. Crash levels do not appear comparatively elevated; however, the corridor is identified in the AAMPO's Comprehensive Safety Study Action Plan (CSAP) and the Walk Bike Roll Ames Plan to consider corridor improvements related to traffic calming and vulnerable road users.
    
    
12. Corridor needs are likely not impacted by the development. They should be monitored as conditions change and evaluated with future Transportation Plan updates that are conducted on citywide basis. 

PLANNING AND ZONING COMMISSION:

The Planning and Zoning Commission met on September 2, 2026, to review the proposed rezoning. At the meeting the development team described their proposal and approach to provide moderately priced workforce housing building mix. They emphasized use of consistent front and rear setbacks of standard homes along the periphery and the layout adds no traffic to Minnesota. The developer asked the Commission to interpret PUD garage to door setback standards to not apply to the homes with a literal measurement of 12 feet from garage to front door. (The design standard is discussed in the addendum.)

Many members of the public were present and 13 spoke during the public comment period. The most common views expressed were:

• a concern about the existing traffic on Ontario Street and that the proposed development will exacerbate the traffic problems
• traffic concerns were described primarily related to turning movements onto and off of side streets, speeding, congestion throughout the area
• a desire to see a traffic study for Ontario Street to address potential project impacts from 97 additional housing units
• a concern about the loss of the ISU demonstration prairie and pollinator habitat on the east side of Scholl Road (a more general concern about the loss of open space was also expressed)
• a concern that the new development building sizes, small lots, and layout would be incompatible with the surrounding neighborhood patterns of homes of mostly single-family detached homes with some duplexes. 

The Commission discussed the Ontario Street traffic conditions and rationale of staff for not requiring a traffic study. The Commission reviewed context sensitive design goals of Ames Plan 2040 for infill and how it applied to the proposed PUD with different lot and building sizes along with the proposed front and rear setbacks. Staff reviewed the developer request related to the 12 foot maximum setback and noted that the langue was specific and not open to interpretation.

The Commission voted 5-0-0 to recommend approval of the project, but that a traffic study be required by the City Council.

1. The City Council may approve on first reading the request for rezoning of Ontario Park and Ontario Townes from “S-GA” Special Purpose Government / Airport District to “FS-RL” Floating Suburban Residential Low Density District with:
   
   
   1. a “PUD” Planned Unit Development Overlay and Master Plan for Ontario Park (east of Scholl Road) with 26 units with a requirement to complete a preliminary and final plat for development of the site; 
      
      
   2. PUD Overlay with Master Plan for Ontario Townes for single-family attached dwellings configured as duplex, triplex, and quadplex dwellings not to exceed a total of 71 units. Additionally, address the private open space configuration and amenity details with the required Major Site Development Plan and Preliminary Plat; and
      
      
   3. The following conditions:
      1. the driveway plan shown in Attachment H be adopted in order to maximize on-street parking
      2. the street trees on Ontario Street shown in Attachment I be placed on the private lots if necessary to provide room from the overhead powerlines.
         
         
2. The City Council may approve with modified conditions for rezoning of Ontario Park and Ontario Townes from “S-GA” Special Purpose Government / Airport District to “FS-RL” Floating Suburban Residential Low Density District with:
   
   
   1. a “PUD” Planned Unit Development Overlay and Master Plan for Ontario Park (east of Scholl Road) with 26 units with a requirement to complete a preliminary and final plat for development of the site; and
      
      
   2. PUD Overlay with Master Plan for Ontario Townes for single-family attached dwellings configured as duplex, triplex, and quadplex dwellings not to exceed a total of 71 units. Additionally, address the private open space configuration and amenity details with the required Major Site Development Plan and Preliminary Plat.
      
      
3. The City Council may take no action on the proposed rezoning and require the developer to prepare a traffic study that addresses operational impacts to Garfield, Scholl, and Minnesota and proposed Yukon with a scope of work agreed upon by the City's Traffic Engineer prior to consideration of approval of the rezoning. (The P&Z Commission's recommendation)
   
   
4. The City Council may deny the rezoning of Ontario Park and Ontario Townes from “S-GA” Special Purpose Government / Airport District to “FS-RL” Floating Suburban Residential Low Density District by determining the request is not consistent with the PUD Overlay criteria for establishment or the Rezoning requirements of Chapter 29 Zoning Ordinance.
   
   
5. The City Council may defer action on this request and refer it back to City staff and/or the applicant for additional information.

The proposed rezoning based upon FS-RL is consistent with the Ames Plan 2040 Comprehensive Plan, which allows for Residential Neighborhood-3: Expansion (RN-3) uses within the Civic – University designation. The proposed housing types are allowed in the proposed zoning, and although the proposal is at the higher end of the range, the proposed density achieves the required minimum and maximum density. 

The PUD Overlay is intended to address two issues for the sites. The first is design compatibility with the surrounding neighborhood. The second is to promote diverse housing types with high-quality design features. Deviations related to lot configurations, setbacks, and private streets are all related to promoting different housing types.

The proposed development on the east side of Scholl Road (Ontario Park) will contain 26 single-family homes on smaller lots, which will generally have small square footage homes that applicant states will allow them to be marketed at a lower price point. Deviations to lot size/width allow for houses than the base zone. The proposed development on the west side of Scholl Road (Ontario Townes) enables desirable townhome units (71 total units) with garages that would likely otherwise be difficult to accommodate on the site with a public street. The site has been designed to complement existing infrastructure. These features make it a good candidate for PUD zoning and site plan approval due to the arrangement of the site improvements and housing variety.

At this time, the proposed PUD Overlay identifies the Master Plan for development of the site, identifies the maximum number and types of dwellings, and proposed deviations for the development. The site layout respects the perimeter interface with the neighborhood with setbacks and landscaping combined with building types and architectural elements can be found to support a finding of consistency with the PUD standards. 

In response the neighbor's expressed concerns, the City's Public Works Department was able to analyze the Ontario Street conditions in response to neighborhood concerns.  With data collected in 2025, staff determined that Ontario and Minnesota intersection conditions operated within our City policies for level of service with or without the additional traffic generated by the proposed development. 

Therefore, it is the recommendation of the City Manager that the City Council act in accordance with Alternative No. 1.