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Planning Commission Minutes February 27, 1996 Page 12 . in the residential areas. Steve explained that this includes the out buildings, in addition to the single family home itself. Chair Dillon opened the public hearing. Darrell Klaus, 18434 Cleveland Street, questioned the benefit of limiting property owners from subdividing their land into less than 10 acres. Steve Ach explained that it would be difficult to extend utilities if the minimum lot size remained 2-1/2 acres. Mr. Klaus stated he was considering subdividing his property into 2-1/2 acre lots and would not be able to do so now. There being no other comments from the public, Chair Dillon closed the public hearing. COMMISSIONER THOMPSON MOVED THE PLANNING COMMISSION RECOMMEND APPROVAL OF ORDINANCE NO. 96-_, AMENDING THE SCHEDULE OF DIMENSIONAL REGULATIONS, PUBLIC HEARING CASE NO. OA 96-1. COMMISSIONER SULLIVAN SECONDED THE MOTION. THE MOTION CARRIED 4-0. . Staff report by Scott Harlicker. The City of Elk River is initiating this rezoning so that the zoning will be consistent with the land use designation of MR (Medium Density Residential). The properties under consideration total approximately 1000 acres, located in an area bounded by County Road No. 13 to the north, County Road No. 12 to the south, Cleveland Street on the east and Tyler Street on the west. The surrounding land uses consist mainly of vacant land, farmland and homesteads, and scattered single family residences. Staff recommends approval of the rezoning based on the findings listed in the report to the Planning Commission. Chair Dillon opened the public hearing. Mark Parranto, Delta Development, also representing Mr. Weldon Schulz, explained they are interested in developing Mr. Schulz's property as a residential PUD as soon as water and sewer becomes available. Mr. Parranto expressed his opposition to the rezoning request, as well as Mr. Schultz's opposition. He also expressed their opposition to the proposed industrial rezoning for a portion of Mr. Schultz's property. Carol Turner, 18776 Cleveland, asked for clarification on how this rezoning will affect their property. Scott explained the rezoning would not allow them to subdivide their property into lot sizes less than 10 acres, until water and sewer is available. . Darrell Klaus, 18434 Cleveland, asked if the rezoning will devalue their property. Peter Beck explained that generally, smaller minimum lot sizes will increase the value of property, since more lots can be created from a parcel of property. Peter Beck further explained how the urban service district was determined. Mr. Klaus asked when sewer and water will be extended and how he would be