HomeMy WebLinkAboutItem 05d - Compass Rail Lakeville LLCCity of Lakeville
Community Development
Memorandum
To: Planning Commission
Tina Goodroad, Community Development Director
November 25, 2025
Packet Material for the December 4, 2025 Planning Commission Meeting
Compass Rail Lakeville, LLC and Metropolitan Airports Commission (MAC)
Comprehensive Plan and Zoning Map Amendments
Compass Rail Lakeville, LLC and the Metropolitan Airport Commission (MAC) have applied for
comprehensive plan MUSA staging and land use amendments and zoning map amendments.
The properties total 33.31 acres. Compass Rail Lakeville, LLC proposes to construct a rail car
storage yard on the south parcel while the MAC-owned parcel on the north will remain
undeveloped. Staff requested the MAC to include their property (11.51 acres) to square off the
new city boundary. The City Council approved an ordinance for annexation on September 2,
2025, and the State of Minnesota approved the annexation request on November 5, 2025
The comprehensive plan amendments include bringing 33.31 acres of land into the current
Municipal Urban Service Area (MUSA) as well as Land Use Plan amendment to re-guide
properties from Rural Density Residential (land use guidance upon annexation) to Industrial
(south parcel) and Airport (north parcel). Finally, the amendment includes a zoning map
amendment to rezone parcels to be consistent with the land use.
A. Location Map
B. Comprehensive Plan Staging Amendments
C. Comprehensive Plan Land Use Amendments
D. Zoning Map Amendments
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PLANNING A NALYSIS
Existing Conditions. The subject site involves two properties that are west of Highview Avenue
and north of 225th Street.
Airlake Airport I-3, Airport Industrial Airport
Airlake Airport I-3, Airport Industrial Airport
Eureka Twp/
Agriculture
Eureka Twp/Agriculture Eureka Twp/
Agriculture
Eureka Twp/
Agriculture
Eureka Twp/Agriculture Eureka Twp/
Agriculture
As required in consideration of
Comprehensive Plan Amendments, the proposed amendment has been submitted to Eureka
Township who responded with no opposition.
The comprehensive plan amendment is in two parts. The first
request is to bring both properties into the current MUSA, now that the annexation process is
complete, as illustrated in Exhibit B. Sewer will be extended from the north when the rail car storage
yard is constructed.
The second part of the amendment is to re-guide parcels to land use designations based on the
existing and proposed use. The north parcel, owned by MAC, is proposed to be reguided from Rural
Density Residential to Airport and the south property that Compass Rail Lakeville, LLC will
develop, from Rural Density Residential to Industrial.
Consistent with the land use designations described above, the same
properties are proposed for rezoning as illustrated in Exhibit D. Properties are proposed for re-
zoning as follows: from RA, Rural/Agriculture to I-2, General Industrial (south parcel) and I-3,
Airport Industrial (north parcel).
Community Development Department staff has determined that the requested land use plan
amendment is consistent with the intent and goals of the 2040 Comprehensive Plan and
recommends approval of both the Comprehensive Plan Amendment and the Zoning Map
Amendment.
Findings of fact for approval of the comprehensive plan amendments and zoning map
amendment are included with the packet materials for your consideration.
Dakota County, Microsoft, Vantor
City of Lakeville
Compass Rail
Location Map
Eureka Township
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Subject Area
HI
G
H
V
I
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W
A
V
E
220TH
S
T
Airlake
Airport
EXHIBIT A
Dakota County, Vantor
City of Lakeville
Compass Rail
Comp Plan Map -
MUSA
Eureka Township
±
HI
G
H
V
I
E
W
A
V
E
220TH
S
T
Proposed
MUSA
EXHIBIT B
2040 Land Use Plan
Outside the MUSA
Proposed
MUSA
Existing MUSA
Existing
MUSA
Existing
MUSA
AIRPORT
AIRPORT
I
LI/W
City of Lakeville
Compass Rail
Comp Plan Map -
Land Use
Eureka Township
±
HI
G
H
V
I
E
W
A
V
E
220TH
S
T
Proposed I
EXHIBIT C
2040 Land Use Plan
Guided Agriculture
Proposed
AIRPORT
I-1
I-2
I-3
I-3
I-3
Eureka Township
±EXHIBIT B
Agriculture Uses
220TH
S
T
HI
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A
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Proposed I-2
Proposed I-3
City of Lakeville
Compass Rail
Zoning Map
EXHIBIT D
I-3
I-3
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CITY OF LAKEVILLE
DAKOTA COUNTY, MINNESOTA
COMPASS RAIL LAKEVILLE, LLC AND METROPOLITAN AIRPORT COMMISSION
(MAC) 2040 COMPRHENSIVE PLAN AMENDMENT
FINDINGS OF FACT AND RECOMMENDATION
On December 4, 2025 the Lakeville Planning Commission met at it’s regularly scheduled meeting to
consider the application of Compass Rail Lakeville, LLC and Metropolitan Airport Commission
(MAC) to consider amendments to the MUSA Staging Plan and Land Use Plan of the 2040
Comprehensive Plan. The Planning Commission conducted a public hearing on the application
preceded by published and mailed notice. The Planning Commission heard testimony from all
interested persons wishing to speak.
1. The subject properties proposed to be brought into the Current MUSA as they were approved for
annexation on November 5, 2025.
2. The subject properties proposed for land use amendment are currently guided Rural Density
Residential land uses in the 2040 Comprehensive Plan (land use guidance upon annexation).
Compass Rail Lakeville, LLC and MAC have applied for an amendment to the 2040
Comprehensive Land Use Plan to change the guided land uses to Airport (north parcel) and
Industrial (south parcel)
3. The legal description of the properties is attached as Exhibit A.
4. The proposed Comprehensive Plan amendment has been submitted to Eureka Township who
responded with no objections.
5. The 2040 Comprehensive Plan provides that the Planning Commission shall consider possible
effects of the proposed amendment with its judgment to be based upon, but not limited to, the
following factors:
The proposed action has been considered in relation to the specific policies and provisions
of and has been found to be consistent with the official City Comprehensive Plan.
Finding: The proposed staging change from to current MUSA identified on Exhibit B and
proposed Land Use map amendments from Rural Density Residential to Airport and
Industrial as identified on Exhibit C of the November 25, 2025 planning report prepared by
Tina Goodroad, Community Development Director and attached as Exhibits B and C to these
Findings of Fact, is consistent with the Comprehensive Plan in accommodating growth while
protecting the environment by integrating new urban development within the City’s natural
resources in a compatible manner.
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b. The proposed use is or will be compatible with present and future land uses of the
area.
Finding: The proposed industrial development will be compatible with the existing and
future land uses in the surrounding area.
The proposed use conforms to all performance standards contained in the Zoning
Ordinance and the City Code.
Finding: Future reviews of development plans will ensure conformance to the Zoning
Ordinance, Subdivision Ordinance, and City Code.
The proposed use can be accommodated with existing public services and will not
overburden the City’s service capacity.
Finding: The proposed staging plan amendment will bring the site into the current MUSA
and will be served by sanitary sewer services from the north.
Traffic generated by the proposed use is within capabilities of streets serving the
property.
Finding: The subject site is accessed by Highview Avenue in addition to an internal drive
network that will be developed as part of the rail car storage plan. The use is not anticipated
to be a high traffic use.
The planning report dated November 25, 2025, prepared by Tina Goodroad, Community
Development Director, is incorporated herein.
The Planning Commission recommends that the City Council approve the Comprehensive Plan
amendment as shown in Exhibits B and C, subject to the approval of the Metropolitan Council.
BY:_________________________________
Scott Einck, Vice Chair
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Exhibit A- Legal Description
North Parcel:
PID 13-00500-01-014
That part of Tract A described below:
Tract A: The north 888.02 feet of the east 100 rods of the Northeast Quarter of Section 5, Township
113 North, Range 20 West, Dakota County, Minnesota; which lies northerly of Line 1 described below:
Line 1. Beginning at a point on the east line of said Section 5, distance 625 feet south of the northeast
corner thereof; thence run northwesterly to the northwest corner of Tract A hereinbefore described
and there terminating;
Subject to public road and railroad.
South Parcel
PID 13-00500-01-013
The North 888.02 feet of the East 100 rods of the Northeast Quarter of Section 5, Township 113, Range
20, Dakota County, Minnesota, EXCEPT that part which lies Northerly of a “Line 1” described as
follows:
Beginning at a point on the East line of said Section 5, distant 625 feet South of Northeast corner
thereof; thence run Northwesterly to the Northwest corner of said North 888.02 feet of the East 100
rods of the Northeast Quarter.
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Exhibit B
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Exhibit C
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CITY OF LAKEVILLE
DAKOTA COUNTY, MINNESOTA
COMPASS RAIL LAKEVILLE, LLC AND METROPOLITAN AIRPORT COMMISSION
(MAC) ZONING MAP AMENDMENT
FINDINGS OF FACT AND RECOMMENDATION
On December 4, 2025 the Lakeville Planning Commission met at its regularly scheduled meeting
to consider the application of Compass Rail Lakeville, LLC and Metropolitan Airport Commission
for an amendment to the Zoning Map to rezone properties from RA, Rural/Agriculture District to
I-2, General Industrial District and I-3, Airport Industrial District. The Planning Commission
conducted a public hearing on the application preceded by published and mailed notice. The
applicant was present and the Planning Commission heard testimony from all interested persons
wishing to speak.
1. The subject properties are guided for Rural Density Residential land uses upon annexation
approved November 5, 2025. Compass Rail Lakeville, LLC and MAC has applied for an
amendment to the 2040 Land Use Plan to change guided land use from Rural Density
Residential Industrial and Airport.
2. Compass Rail Lakeville, LLC and MAC has applied for an amendment to the Zoning Map to
change the zoning of the properties from RA, Rural/Agriculture District to I-2, General
Industrial District (south parcel) and I-3, Airport Industrial District (north parcel)
3. The legal description of the properties is attached in Exhibit A.
4. Section 11-3-3.E of the City of Lakeville Zoning Ordinance provides that the Planning
Commission shall consider possible effects of the proposed amendment. Its judgment shall be
based upon, but not limited to, the following factors:
Finding: The proposed rezonings to 1-2, General Industrial District and I-3 Airport
Industrial District as illustrated in Exhibit D of the November 25, 2025 planning report
prepared by Tina Goodroad, Community Development Director report and attached as
Exhibit B to these Findings of Fact, is consistent with the goals and policies of the 2040
Comprehensive Plan in accommodating growth while protecting the environment by
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integrating new urban development within the City’s natural resources in a compatible
manner.
Finding: The subject site is located south of east of Highview Avenue and north of 225th
Street and will be compatible with the existing and future land uses in the area.
Finding: The proposed industrial land uses will be required to comply with the
requirements of the Zoning Ordinance, Subdivision Ordinance, and City Code and will be
evaluated as part of necessary applications to develop the property, including availability
of sanitary sewer.
Finding: Compass Rail Lakeville LLC and MAC has applied for a Comprehensive Plan
MUSA Staging Amendment to bring the property into the current MUSA and will be
served by an extension of sanitary sewer and water services from the north.
Finding: The subject site is accessed by Highview Avenue in addition to an internal drive
network that will be developed as part of the rail car storage plan. The use is not anticipated
to be a high traffic use.
5. The planning report dated November 25, 2025 prepared by Tina Goodroad, Community
Development Director, is incorporated herein.
The Planning Commission recommends that the City Council approve the Zoning Map
amendment as shown in Exhibit B, subject to Metropolitan Council approval of the
Comprehensive Plan Amendment.
BY:_________________________________
Scott Einck, Vice Chair
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Exhibit A
North Parcel:
PID 13-00500-01-014
That part of Tract A described below:
Tract A: The north 888.02 feet of the east 100 rods of the Northeast Quarter of Section 5,
Township 113 North, Range 20 West, Dakota County, Minnesota;
which lies northerly of Line 1 described below:
Line 1. Beginning at a point on the east line of said Section 5, distance 625 feet south of the
northeast corner thereof; thence run northwesterly to the northwest corner of Tract A
hereinbefore described and there terminating; Subject to public road and railroad.
South Parcel
PID 13-00500-01-013
The North 888.02 feet of the East 100 rods of the Northeast Quarter of Section 5, Township 113,
Range 20, Dakota County, Minnesota, EXCEPT that part which lies Northerly of a “Line 1”
described as follows:
Beginning at a point on the East line of said Section 5, distant 625 feet South of Northeast corner
thereof; thence run Northwesterly to the Northwest corner of said North 888.02 feet of the East
100 rods of the Northeast Quarter.
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Exhibit B