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ITEM 9.b. TOWN OF FOUNTAIN HILLS STAFF REPORT Meeting Date: 9/15/2026 Meeting Type: Town Council Regular Meeting Submitting Department: Development Services Prepared by: John Wesley, Development Services Director Staff Contact Information: Phone: 480-816-5138 Email: jwesley@fountainhillsaz.gov Request to Town Council Regular Meeting (Agenda Language) PUBLIC HEARING, with CONSIDERATION AND POSSIBLE ACTION: Relating to a request for a Special Use Permit (#SUP26-000002) to allow residential use of property zoned C-1, Neighborhood Commercial and Professional, located at 11669 N. Saguaro Boulevard. Staff Summary (background) The zoning ordinance establishes allowed uses for each zoning district. The list of uses also includes uses which may be considered and approved on a case-by-case basis through the Special Use Permit (SUP) process. The property at 11669 N. Saguaro Blvd. is zoned C-1, Neighborhood Commercial and Professional, zoning district. As a commercial zoning district, residential uses are not permitted by right. Residential uses can be considered and approved with a SUP. This property is developed as a two-story commercial building designed for use as a kennel with some ancillary uses. The primary use of the building is for pet rescue and an outdoor kennel incorporated as a ground floor courtyard in the middle of the building. SUP's were granted in 2002 and 2006 for these uses. The existing use includes one caretaker's quarters on the second floor as allowed by code. During a recent remodel of the second floor of the building, some of the office space was modified in a manner that would allow the area to be used as an apartment. In order to take advantage of this change to the building, the property owner has submitted this request. Zoning Ordinance Section 2.03 F. 1. d. sets forth the review criteria for consideration of a SUP. It states: In order to recommend approval of any use permit, the findings of the Commission must be that the establishment, maintenance, or operation of the use or building applied for will not be detrimental to the public health, safety, peace, comfort, and general welfare of persons residing or working in the neighborhood of such purposed use, nor shall it be detrimental or injurious to property and improvements in the neighborhood or to the general welfare of the Town. The request is to allow a portion of the second floor to be used as an apartment in addition to the existing caretaker's quarters. Staff has not identified any negative impacts to allowing this use of the second floor of this building. It will not be detrimental or injurious to any adjacent properties of the general welfare of the Town. The parking lot for the property has been specifically sized for the given use; there are not sufficient parking spaces for the building to be used as an office or commercial space. Converting the office area on the second floor to residential will decrease the number of parking spaces required. The applicant conducted a citizen participation plan which included contacting all surrounding property owners. No concerns were raised through this process. Related Ordinance, Policy or Guiding Principle Zoning Ordinance Sec. 2.02, Special Use Permits Zoning Ordinance Sec. 12.03 F, Uses Subject to Special Use Permits Risk Analysis N/A Recommendation(s) by Board(s) or Commission(s) The Planning and Zoning Commission held a public hearing on this request at their regular meeting on August 10, 2026. Following the hearing, the Commission found the request to be in compliance with the review criteria of Zoning Ordinance Sec. 2.03 F 1 d and voted to recommend approval of the Special Use Permit to allow one apartment unit in the existing building. Staff Recommendation(s) Staff recommends approval of SUP26-000002. Suggested Motion MOVE TO APPROVE Special Use Permit #SUP26-000002, allowing one apartment in the commercial zoning district at 11669 N. Saguaro. ATTACHMENTS 1. Case Details Map