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HomeMy WebLinkAbout2025-06-06 Will Goede 16 ADLER INDUSTRIAL REAL ESTATE MANAGEMENT & DEVELOPMENT June 6, 2025 Caleb Hood City of Meridian 33. E Broadway Ave Meridian, ID 83642 RE: Flex Use—Office/Showroom & Parking Requirements Caleb, Thank you very much for considering a change to the Flex Specific Use Standards, and for being open to feedback from the development community on the issue. While the currently proposed UDC change is headed in the right direction, it is still too strict and will force the majority of flex tenants to either apply for conditional use permits or find space in adjacent cities. The currently proposed UDC change is pasted below for reference: 11-4-3-18-Flex space A.Office and/or retail showroom areas shall comprise a minimum of thirty(30)percent of the structure and/or tenant space in the C-C District,twenty-five(25)percent in the C-G and M-E Districts,and twenty(20) percent in the I-L and I-H Districts. B. Light industry and warehousing shall not comprise more than seventy(70)percent of the tenant space in the C-C District,seventy-five(75)percent in the C-G and WE Districts,and eighty(80)percent in the I-L and I- H Districts. E.At a minimum,one(1)parking space shall be provided for every five hundred(500)square feet of gross floor area. ufa Office/Showroom Size - 2.8c%turing Adler Industrial owns or manages more than R&D 0.8% Auto 4,000,000 square feet of space in the Treasure Valley, _1.0% which is occupied by 126 tenants. As shown in Figure / 1, about 82%of our total space is used for warehouse &distribution with office ranging from 3-7%of the space. We understand that Flex Space should be Flex 1Flex distinct from Warehouse Space. As long as Flex has Distribution an office requirement greater than 10%, it will exclude typical warehouse and distribution tenants. Figure 1:Adler Industrial's Tenants 8665 W. EMERALD STREET STE. 200, BOISE ID 83704 1 208.506.7170 1 ADLER-INIDUSTRIAL.COM About 13%of our total space is occupied by flex Flex-Office&Showroom Percentage users. Each of these flex tenants have public facing showrooms, as well as office and storage totaling less than 40,000sf for the total tenant 25-30%Of space. Some of our flex tenants in Meridian • f50�Showroom include 84 Lumber(12%office/showroom), <10%Office/Showroom Codale Electric (20%office/showroom), and 22% Motion&Flow(18%Office/showroom). Of our flex tenants, only 12% have more than 30%office/showroom.... only 17% have more , than 25%office/showroom (reference Figure 2). The currently proposed UDC language would 10-15%Offfce/Showroom 28% still exclude 83%of our flex tenants in the C-G and M-E districts. These flex tenants would either have to: !8% • Apply for a conditional use permit • Build more office/showroom than they need, resulting in less efficient space and higher rents Figure 2:Adler Industrial's Flex Tenants • Look elsewhere for space To capture the majority of flex tenants,we would propose the minimum office/showroom space be adjusted to 15% in M-E Districts and 20% in C-G Districts. Parking In Meridian, commercial districts are required to provide (1) parking stall per 500 building square feet and industrial districts are required to provide (1) parking stall per 2,000 building square feet. The proposed code change requires Flex Space to meet commercial parking requirements. Since more than half the flex space is typically used for storage, it seems a middle ground between commercial and industrial parking standards should be used for Flex Space. We would propose Flex Space require (1) parking stall per 1,000 building square feet. Thankyou for your consideration on this matter, IMM OoJt Will Goede VP of Development Adler Industrial 8665 W. EMERALD STREET STE. 200, BOISE ID 83704 i 208.506.7170 1 ADLER-INDUSTRIAL.COM 2