To: Planning & Zoning Commission
From: Sarah Hensley, Director of Development Services
Subject:
Title
PUBLIC HEARING: Consider a request for a Specific Use Permit (SUP) for an approximately 99,992 square-foot grocery store with fuel pumps, pharmacy with drive-thru, outdoor display and seasonal sales, located on 17.58 acres, on the north side of Keller Parkway, at the northeast corner of the intersection of Town Center Lane and Keller Parkway, legally described as Lots 1 and 2, Block A, Kroger - Rufe Snow Addition, Inside TIF Boundary Split, zoned Town Center and addressed 1025 Keller Parkway. Clay Cristy, Applicant. Kroger Texas LP, Owner. (SUP-2604-0008)
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Background:
The Applicant is proposing an approximately 99,992 square-foot grocery store, to include fuel pumps, pharmacy with a drive-thru, pick-up area, outdoor display along the front of the building, and seasonal sales.
In the Town Center Zoning District, a Specific Use Permit (SUP) is required for:
• Grocery Store or food market
• Fuel pumps/sales (as accessory use to a grocery store of at least 50,000 SF)
• Seasonal sales
• Pharmacist or drug store
UDC Section 8.17(4)(l) provides guidelines on outdoor storage and display in Town Center:
Outside Storage - Except as provided herein, all outside storage and display is prohibited in Town Center.
1)Orderly outside displays shall be approved, with a permit, only in association with special events in Town Center.
2)Retailers may have limited seasonal displays for thirty (30) days, twice each year and shall obtain a permit for such uses.
3)The outside placement of vending machines, ice machines, newspaper machines, grocery carts, merchandise, and other outside uses is prohibited. Temporary cart storage is allowed in the parking lot and shall be provided with six-inch (6") concrete curbs. Metal corrals are not allowed.
The Applicant requests year-round outdoor sales to be allowed along the entire front of the building as part of this SUP request.
If this project moves forward, the Applicant intends to close the existing Kroger store at the southwest corner of the Keller Parkway and Rufe Snow Drive intersection.
In 2016, City Council unanimously approved a similar project for Kroger at the same location, which included a 123,590 square-foot grocery store with fuel pumps and pharmacy with drive-thru. That project did not progress to the next development phases, and all previous approvals have expired.
Site Design:
The Applicant has submitted a full site plan package that includes variance requests related to site layout, landscaping, signage and intersection improvements. The proposed site plan is on the agenda as a separate item.
The proposed location is across the street from the Keller High School baseball fields, with approximately 100’ between the Kroger property line and the school property. Section 10-710 of the Keller Code of Ordinances requires a minimum of 300’ between church, public school or public hospital property and the sale of alcoholic beverages. The Applicant has submitted a variance to the Code of Ordinances requirement that will be considered by the Keller City Council on October 6, 2026.
Business Details:
The Applicant provided a summary letter that includes a list of potential services and amenities the new store will offer.
Operating hours will mirror the current store hours of 6 a.m. - 11 p.m. daily, with modified hours for the Pharmacy. Loading and deliveries will follow the store operating hours.
Zoning:
The subject property is zoned Town Center. Surrounding zoning is as follows:
North: Town Center/Single-Family Residential 8,400 square-foot lots
South: Town Center
East: Town Center
West: Town Center/Office
Land Use:
The subject property is designated Mixed-Use (MU) and Office on the city’s Future Land Use Plan (FLUP). Surrounding land use designations are as follows:
North: High-Density Single Family Residential
South: MU
East: MU
West: MU/Office
Summary:
Section 8.02 (F)(2) of the UDC states that when considering an 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 August 28, 2026, the City mailed out 28 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 one letter and two emails expressing opposition to this SUP request, which are included in the agenda packet.
Alternatives:
The Planning and Zoning Commission has the following options when considering a Specific Use Permit:
§ Recommend approval as submitted.
§ Recommend approval with modified or additional condition(s).
§ Table the agenda item to a specific date with clarification of intent and purpose.
§ Recommend denial.
City Council Action:
If the Planning and Zoning Commission takes action and makes a recommendation on this agenda item, then this Specific Use Permit application will be scheduled for City Council action on October 6, 2026.