To: Aaron Rector, City Manager
From: Kalvin Eddleman, Planner I
Subject:
Title
PUBLIC HEARING: Consider an ordinance approving a Specific Use Permit (SUP) to allow spa uses to operate in an existing multi-tenant building, on 0.21 acres, located on the east side of South Elm Street, approximately 50 feet north of the intersection of South Elm Street and Olive Street, legally described as Lot 1, Block A of the Palfrey Addition, zoned Old Town Keller (OTK) and addressed 207 South Elm Street. Brian Palfrey, Applicant. LA Sam Investments LLC, Owner. (SUP-2609-0026).
Background:
The applicant is requesting a Specific Use Permit (SUP) to allow spa uses to operate within an existing shell building on the property located at 207 South Elm Street. The applicant has stated that the building will be multi-use, with approximately 1,323 square-feet of retail space in addition to the spa use. At this time, no specific tenants have been identified.
Per the Unified Development Code (UDC), a Specific Use Permit (SUP) is required to operate a spa in the Old Town Keller (OTK) zoning district.
Adopted by City Council in March 2024, the UDC defines a spa as an establishment that offers grooming, massage and/or cosmetology services performed by persons licensed to perform those services in Texas and may include the retail sale of goods incidental to the services of the spa.
The site plan for the subject property was approved by City Council with multiple variances in June of 2023. One of those variances was to provide 7 parking spaces (plus 2 accessible spaces) in lieu of the required 35 spaces (the requirement based on the proposed use at the time of that application).
Site Design:
The salon will occupy an existing building that is approximately 4,671 square feet. No exterior modifications have been proposed at this time, but the applicant does intend to remodel the building interior to accommodate both the retail and spa uses.
The Unified Development Code (UDC) parking requirement for “retail or personal service establishment” is one space per 200 square-feet of gross floor area, bringing the total requirement for this applicant to 24 spaces. There are currently 7 regular parking spaces and 2 accessible spaces on the property.
Floor Plan:
The proposed floor plan indicates the building will include 1,323 square feet of retail space, including 540 square feet of patio space, approximately 2,988 square feet of salon suites, and 216 square feet of bathroom and maintenance space. The salon will feature a total of 14 suites, an open salon concept, an open barber concept, and a room intended to be used for photography, and marketing purposes.
SUP requests:
1. An SUP to allow spa uses to operate in an existing multi-tenant building in the Old Town Keller zoning district.
Surrounding Zoning and Land Use:
North: SF-8.4 / HD-SF
East: OTK / Mixed Use (MU)
South: OTK / Mixed Use (MU)
West: SF-8.4 / HD-SF
The subject property is zoned Old Town Keller (OTK) and designated Mixed Use (MU) on the city’s Future Land Use Plan (FLUP).
Summary:
Section 8.02 (F)(2) of the UDC states that when considering a SUP request, the Planning and Zoning Commission shall consider the following factors:
1) The use is harmonious and compatible with surrounding existing uses or proposed uses;
2) The activities requested by the applicant are normally associated with the permitted uses in the base district;
3) The nature of the use is reasonable and appropriate in the immediate area;
4) Any negative impact on the surrounding area has been mitigated; and
5) That any additional conditions specified ensure that the intent of the district purposes are being upheld.
Citizen Input:
On October 1, 2026, the City mailed out 20 letters of notification for this Public Hearing to all property owners within three-hundred feet (300’) of the subject site. A public hearing notice sign was posted on the site.
Staff has received no letters of support or opposition in response to this SUP request.
Planning and Zoning Commission Recommendation:
At the October 13, 2026, Planning and Zoning Commission meeting, Commissioners unanimously recommended denial of the SUP request as presented.
Alternatives:
The City Council has the following options when considering a Specific Use Permit:
• Approve as submitted.
• Approve with modified or additional condition(s).
• Table the agenda item to a specific date with clarification of intent and purpose.
• Deny.