A pitch to rezone two parcels in the Avenues for a nonconforming business and allow for a single-family home to become a coffee house and retail space got a conflicted reception from the Salt Lake City Planning Commission earlier this week.
The proposal, voted on by the commission Tuesday, seeks to rezone two adjacent properties at 140 N. B St. and 272 E 3rd Ave. from RMF-35 to MU-2. The same proposal also seeks to amend the Avenues general plan to allow for commercial uses, as it currently only allows for medium-density residential.
The parcel on B Street is currently a bed and breakfast and functions as a legal nonconforming commercial use, as well as a small cafe that’s open from Thursday to Sunday. The 3rd Avenue parcel is currently a single-family home being used as a rental unit. If rezoned, the home would be converted into a coffee shop and retail space.
The commission opted for a split vote, voting 3-1 to give a positive recommendation toward rezoning the B&B and cafe parcel but at the same time giving a negative recommendation to rezoning the single family home. Commissioners were concerned with the prospect of eliminating a housing unit to essentially expand an already-popular business.
Two commissioners, Anna Sullivan and Aimee Burrows, were absent during the meeting, and a seventh seat on the commission is currently vacant.
Alicia Seeley, a principal planner for Salt Lake City, presented the petition to the commission. Seeley said the B Street parcel is home to the historic Ellerbeck Bed & Breakfast, which the applicants have operated since 2019. The same parcel also includes Café 140B, a small restaurant opened 2022 in the historic building’s carriage house, and a small parking lot between the cafe and B&B.
The B&B owners purchased the 3rd Avenue property in 2024 after it was renovated by an investor. Initially, the home was used as a short-term rental until it came under enforcement last year, Seeley said, as short-term rentals aren’t a permitted use in the RMF-35 zone. A presentation submitted to Salt Lake City by the B&B owners says the home is a one bedroom, one bathroom unit that totals around 1,200 square feet.
A visualization of the two properties in the Avenues subject to a recent rezone proposal. Image via Salt Lake City
Seeley explained that if the rezone would pass as it’s being presented, the B&B and cafe would continue to operate as they already do, but the proposal would pave the way for the single family home to have all the uses allowed under the MU-2 zone, including commercial uses.
Seeley said the applicants have a specific use in mind if the rezone is approved, as they would convert the home into a coffee shop and bookstore. A presentation Ellerbeck submitted to the city says the home would become “The Reading Room.” The shop would sell coffee, books and stationary, while acting as “the Avenues’ living room,” the presentation says.
Seeley added that while the Avenues is currently amid a long-needed overhaul of its general plan, it would be inappropriate to use the draft as a basis to support or deny the rezone. However, she said it was important to note that the current draft plan does not support the proposal, adding the current land use map doesn’t call for a business use. The existing neighborhood general plan also doesn’t allow for commercial uses in this area either, she added.
Because of the potential loss of a housing unit and the proposal isn’t in line with city plans, planning staff issued a recommendation to deny the changes.
“Adopted plans and policies do not support commercial use at the expense of existing housing stock, especially housing that is relatively attainable,” Seeley said.
Despite the city’s recommendation, a number of public comments submitted to the city pushed for the rezone and land use changes. Those commenters highlighted the desire for more neighborhood retail space and added third-spaces in the area. Commenters against the rezone lamented the potential loss of a single family home, as well as the conception that the change would result in congestion on nearby streets.
Kara and Tyler Alden, the applicants and owners of the two parcels, told the commission they believe the draft community plan does support their proposal, adding that there are a number of businesses in the neighborhood that are already nonconforming.
Kara Alden added that legal nonconforming businesses like theirs face a number of issues, adding that the city earlier this month issued them a shutdown notice for their Cafe 140B despite being told previously that the cafe was allowed to operate. That notice was later rescinded, but she said the legal nonconforming use is confusing for the city and puts their business in jeopardy.
“It’s like we’re in this 30-year relationship with the city, and you guys won’t put a ring on it,” Kara Alden said Tuesday. She later said that the cafe is busy as-is, and their proposal would allow for a beloved community asset to grow. She said she understands the push and pull between the residential and commercial aspects, but added she believes the home could be a valuable local asset as a community gathering space.
A visualization of the structures included in a proposed rezone of two parcels in the Avenues neighborhood. Image via Ellerbeck Bed & Breakfast and Salt Lake City
Commissioners seemed conflicted over the proposal. They supported the B&B’s change to MU-2 and eliminate the legal nonconforming nature of the business, but also seemed hesitant to rezone the home and effectively eliminate an attainable housing unit in the Avenues.
Commissioners also discussed the feasibility of keeping some sort of housing unit as part of the proposal. The Aldens said the single family home has a small, unfinished basement that could potentially serve as a studio unit, though it would take a good amount of work to make that a reality. Adding a new structure to the parking lot between the cafe and B&B would also alter parking requirements, to which the historic building isn’t currently subject.
“I would certainly support the upzoning of 140 B (Street),” said Commissioner Lilah Rosenfield. “I cannot, at this moment, given the community benefits that are currently being contemplated, the upzoning of 272 (3rd Ave.).”
Commissioner Jeffrey Barrett asked if it was possible to offer a split decision on the rezone request, saying that rezoning the B&B would eliminate the Aldens’ anxiety while also preserving the single family home as a housing unit.
Seeley said if the proposal was just to rezone the B&B, “it would be a very different conversation.” She said city staff would support the mixed recommendation, if that’s the direction the commission wanted to go.
Following additional discussion, Barrett said “I’m genuinely torn” over how to vote on the proposal. He said he supported rezoning the B&B but also leaned toward taking staff’s recommendation on the single family home.
Commissioner Richard Leverett seemed more comfortable with approving the proposal, adding that the Aldens and Salt Lake City Council could work out a development agreement to address concerns from city staff. He motioned to approve the proposal with the added stipulation that a development agreement, but after discussion withdrew the motion.
Ultimately, the commission voted 3-1 on both the rezone and the general plan amendment to give a positive recommendation to the B&B changes while giving a negative recommendation on the single family home changes.
The final decision on the two parcels will be for the Salt Lake City Council. It’s not clear when the council could be briefed on the proposal or when they could vote on the proposal.
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