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Section 3-213 Historic Commercial Zone District
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3-213.A. Purpose. The purpose of the Historic Commercial (“HC”) Zone District is to allow land to be used for retail commercial, service commercial, affordable housing and accommodation purposes, with development designed in a manner which preserves, maintains, and enhances the historical character and scale of existing structures within the zone district, especially historically-rated structures. Some recreation, together with accessory and institutional uses may also be appropriate, especially those that strengthen the Town’s commercial core.

3-213.B. Use Table. The uses permitted by right and the uses permitted on review in the Historic Commercial Zone District are as follows:

Historic Commercial Zone District Use Table

Uses Permitted By Right

Uses Permitted On Review

1. Retail Commercial Establishments, as limited to the uses listed in Note 1 below.

1. Schools as limited in Note 3 below, Public Facilities and Institutional Uses

2. Service Commercial Uses, limited to the following uses and subject to the Vitality [Use] Setback in Section 3-213.E and the 20% Service Commercial Limit in Section 3-213.F:

a. business office

b. professional office

c. catering service

d. financial institution

e. personal service including barber or beauty shop

f. radio or television broadcast facility

g. studio for arts instruction

h. similar uses as the above list as approved in writing by the Planning Director.

2. Recreation and entertainment establishments, limited to the following and similar uses:

a. billiard parlor

b. business, fraternal or social club

c. dance hall

d. ice or roller skating rink

3. Rental, repair and wholesaling uses, in conjunction with and accessory uses to the permitted Retail Uses and Service Commercial Uses, provided all such activity is clearly an Accessory Use to the permitted use and conducted within a building subject to the limitations set forth in Sections 3-213.E and 3-213.F.

4. Accommodation Uses including Condominium-Hotel, Hotels, Lodges, Rooming Houses, Boarding Houses, Short-Term Dwelling Units (pursuant to and subject to Note 4 below).

5. Storage of materials as an accessory use to the uses as permitted in Numbers 1, 2, 3 and 4 above, subject to the limitations set forth in Sections 3-213.E and 3-213.F.

6. Town owned and operated Parks, Open Space and Recreational Uses

7. Multi-Family Dwelling Units subject to the Vitality Use Setback in Section 3-213.E. Such units on lots greater than 6,250 square feet are subject to the limitation in Note 2

8. Mixed Use Development subject to the Vitality Use Setback in Section 3-213.E. Such units on lots greater than 6,250 square feet are subject to the limitation in Note 2

9. Designated Employee Dwelling Units and Affordable Housing Units subject to the Vitality [Use] Setback in Section 3-213.E

10. Time Sharing, pursuant to the provisions of Section 6-413 of this Title subject to the Vitality [Use] Setback in Section 3-213.E and the limitation in Note 2.

11. Parking of motor vehicles subject to the Vitality [Use] Setback in Section 3-213.E and the limitation in Note 2.

Note 1:Retail commercial establishments shall be limited to the following list, and similar uses to this list as approved in writing by the Planning Director:

1. Antique shop

2. Appliance or electronics store

3. Art gallery

4. Art supply store

5. Automobile accessory store

6. Bakery

7. Bar

8. Bookstore

9. Camera shop

10. Candy or ice cream store

11. Clothing store

12. Decorator shop

13. Department store

14. Drug store

15. Florist shop

16. Food Market

17. Furniture store

18. Gift shop

19. Hardware store

20. Hobby shop

21. Jewelry store

22. Copy shop and associated retail sales

23. Liquor store

24. Movie Theater

25. Pet shop

26. Paint and wallpaper store

27. Photography shop

28. Restaurant

29. Sporting goods store

30. Medical marijuana facility and retail marijuana establishment

Note 2:The floor area of such residential dwelling units, excepting floor area restricted as affordable housing and designated employee dwelling units, shall not exceed 35% of gross floor area of all structures per lot, unless modified pursuant to Article 6, Division 3, “Planned Unit Development” and in no case greater than 65%. See graphic representation (below) which illustrates how to calculate the floor area of residential dwelling units for the purpose of conformance with this note.

Note 3:The P&Z shall deny an application for a public school as a use permitted on review if it determines (1) the proposed school meets the definition of school as provided for in Section 44-3-103 of Colorado Revised Statutes; and (2) allowing such a school will prohibit the establishment or continuing operation of an establishment that serves alcohol pursuant to the Distance Requirements set forth in Section 6-2-160 of the Municipal Code.

Note 4:Pursuant to and subject to all applicable terms and limitations imposed in the Telluride Municipal Code Chapter 6, Article 1 (Business Licenses).

3-213.C. Dimensional Limitations. The following dimensional limitations apply to all uses permitted by right and uses permitted on review in the Historic Commercial Zone District:

3-213.C.1. Minimum Lot Area. Two thousand five hundred (2,500) square feet.

3-213.C.2. Maximum Lot Area. Eleven thousand seven hundred and fifty (11,750) sq. ft. unless modified pursuant to Article 6, Division 3, “Planned Unit Development”.

3-213.C.3. Minimum Lot Width. Twenty-five feet (25').

3-213.C.4. Minimum Lot Frontage. Twenty-five feet (25') for all lots.

3-213.C.5. Minimum Front Yard.

a. All buildings, zero feet (0').

b. Buildings shall be constructed to the front property line at full facade height. A third (3rd) floor may be set back from the front lot line upon approval of H.A.R.C.

c. The front yard setback may be increased by H.A.R.C.

3-213.C.6. Minimum Side Yard. No limitation.

3-213.C.7. Minimum Rear Yard. All buildings, five feet (5'), provided this requirement shall not be applied so as to prohibit below grade structures within the rear yard setback.

a. The rear yard setback associated with a repositioned or relocated rated or non-rated THAS Secondary Structure may be reduced from five feet (5') to a minimum of zero feet (0'). A variation may be granted by H.A.R.C. provided H.A.R.C. finds the development application maintains or improves the historic rating designation of the historic structure according to the Telluride Historic and Architectural Survey and upon condition that the applicant stabilizes, improves and maintains such structure in good repair.

3-213.C.8. Maximum Primary Facade Width. Fifty feet (50'), unless modified by H.A.R.C. In no case shall such width exceed seventy five feet (75').

3-213.C.9. Minimum Floor Area. No limitation.

3-213.C.10. Maximum Floor Area.

a. All buildings, above-grade floor area to lot area ratio shall not exceed one point five to one (1.5:1), except as provided below.

b. In calculating such ratio, that square footage of floor area shall be excluded which is designed and built to provide exclusively for the storage or parking of motor vehicles.

c. The maximum floor area may be increased above the one point five to one (1.5:1) ratio, but not greater than two to one (2.0:1); provided, that the additional floor area between one point five to one (1.5:1) and two to one (2.0:1) is restricted to commercial use.

d. The maximum floor area may be increased above the one point five to one (1.5:1) ratio, but not greater than two point two five to one (2.25:1); provided, that the additional floor area between one point five to one (1.5:1) and two point two five to one (2.25:1) is restricted to designated employee dwelling unit(s), or affordable housing units(s).

e. The gross floor area of any on-site affordable housing unit that is required by the development of the lot and provided to satisfy the affordable housing requirement of the site development shall be exempt from the gross floor area limitations as set forth in this section but only if hotel uses comprise a minimum of fifty percent (50%) of the gross floor area of the on-site development. Should on-site affordable housing in excess of the requirement be provided, and is not associated with satisfying the mitigation requirements of other development, then the excess on-site affordable housing gross floor area shall also be exempt from the gross floor area calculation of all structures per lot provided all other regulations are met.

For the purposes of this subsection:

(1) The gross floor area of any hotel unit shall be traditional in size; the maximum hotel unit size shall not exceed nine hundred (900) square feet; the average hotel unit size shall not exceed six hundred (600) square feet; and no hotel unit shall include a kitchen.

(2) The hotel portion of the on-site development shall be deed restricted in perpetuity to hotel use and shall survive foreclosure by legal instrument to the satisfaction of the Town Attorney.

(3) The hotel use shall not be condominiumized except as a single unit.

f. The maximum floor area may be increased above the one point five to one (1.5:1) ratio, but not greater than two point two five to one (2.25:1) pursuant to Article 6, Division 3, “Planned Unit Development.”

g. Covered or enclosed open space shall be included in calculating floor area. “Covered or enclosed open space” means ground area which does not permanently provide at the pedestrian level unobstructed access to light and air, or which is roofed, heated, or physically, psychologically, or visually closed to public access and view.

h. A minimum of one thousand (1,000) square feet of net floor area ground floor commercial use (including retail commercial and service commercial uses as permitted by the vitality use setback regulations found at Section 3-213.E.) for each twenty-five (25) linear feet of frontage shall be provided. The commercial use shall be increased or decreased proportionally for every linear foot greater or less than twenty-five (25) feet. The commercial use required by this section cannot be further subdivided in ownership resulting in a commercial use unit smaller than one thousand (1,000) square feet. However, this section does not otherwise regulate the owner’s ability to have more than one tenant or more than one commercial use contained within the unit. This section requirement is to be applied in addition to the vitality setback requirements found at Section 3-213.E. Developments comprised solely of hotel, school as permitted by review, public facility as permitted by review, or institutional use as permitted by review, are exempt from this requirement. For lots that have more than one street frontage, this requirement applies to the shortest linear street frontage which would also constitute the front lot line.

i. The gross floor area of any multifamily residential dwelling unit shall not exceed four thousand (4,000) square feet.

3-213.C.11. Maximum Building Height.

a. All buildings, thirty five feet (35') provided that the maximum height may be increased up to forty feet (40'), if approved pursuant to the PUD process.

b. The height of the primary facade of a building shall not be less than sixteen feet (16').

c. Upon review and approval of H.A.R.C., the building height may be increased to forty feet (40'), provided that the maximum above grade floor area to lot area ratio shall not exceed a ratio of one point two to one (1.2:1), regardless of any other LUC requirements including, but not limited to, parking and employee housing.

d. Upon review and approval of H.A.R.C., an architectural element may be located on top of a building, provided that the element may not extend more than twenty percent (20%) beyond the highest point of the building. No element shall exceed one hundred fifty (150) square feet of gross floor area or ten percent (10%) of the structure’s ground coverage, whichever is less.

(1) No such element shall be permitted if it substantially reduces or blocks an adjacent structure’s access to light or air.

(2) No building shall be allowed more than one (1) architectural element.

(3) The burden of proof shall be on the applicant to establish how the excess in height will benefit the neighborhood and the Town.

(4) In determining whether to approve an architectural element, H.A.R.C. shall consider, but not be limited to, such site conditions as large lot size, placement of the structure on the lot, the relationship and proximity to adjacent neighboring structures, major street intersections and dead end streets, and whether the element would create a positive focal point.

e. The height of a structure rated as “contributing” or “supporting” by the Telluride Historic and Architectural Survey shall not be increased unless one of the following requirements are met:

(1) the height increase is necessary to replace an architectural element historically associated with the structure during the “period of significance”; or

(2) for buildings which have existing primary facade heights of twenty (20) feet or less, the addition is stepped back from the primary facade facing Colorado Avenue a minimum of four (4) horizontal feet for each one (1) vertical foot of increase in height; for buildings which have existing primary facade heights of greater than twenty (20) feet, the addition is stepped back from the primary facade facing Colorado Avenue a minimum of three (3) horizontal feet for each one (1) vertical foot of increase in height; and

(3) is stepped back from side streets and side alley rights-of-way a minimum of two (2) horizontal feet for each one (1) vertical foot of increase in height.

f. The height of all roof mounted mechanical and service equipment shall be counted in determining building height.

g. Renewable energy fixtures and equipment are permitted to project above building roof membrane for existing buildings provided Historic Architectural Review Commission finds that the following items are complied with:

(1) The visual impacts of active solar collection devices shall be subservient to the historic integrity and visual characteristics of the building.

(2) Screening that is consistent with design guidelines shall be provided to shield fixtures that are in the sight line of the street or alley at which they are viewed.

(3) All fixtures and equipment shall be located in the least visible location possible while maintaining the efficiency of the solar panels proposed. For example, PV shingles and propanel/standing seam integrated products can be used to achieve minimal visibility.

Furthermore, renewable energy fixtures and equipment are permitted to project above the building roof membrane for existing buildings provided that:

(4) Renewable energy fixture and equipment heights do not exceed three (3) feet if more than seventy-five percent (75%) of the roof is covered with panels.

(5) Fixture and equipment heights do not exceed four (4) feet if fifty percent to seventy-four and nine tenths percent (50% to 74.9%) of the roof is covered with panels.

(6) Fixture and equipment heights of up to five (5) feet are permitted if less than fifty percent (50%) of the roof is covered with panels.

(7) All fixtures shall be installed in a manner that conforms to the Uniform Building Code, and roof load engineering may be required.

(8) All fixtures and equipment shall possess an anti-reflective top coating, such as TOPS (Tempered glass tefzel glazing) or titanium dioxide. All metal surfaces shall be a matte finish.

(9) Top-of-pole ground mounts shall be permitted on the ground provided Historic Architectural Review Commission finds that:

(a) Fencing or screening is provided surrounding the fixtures.

Furthermore, renewable energy fixtures and equipment shall be permitted provided that:

(b) The fixture(s) conform to all setbacks.

(c) The highest portion of the ground-mounted fixtures does not exceed six (6) feet.

(d) Fixtures are located in the rear third of the structure or site.

h. Renewable energy fixtures and equipment that are incorporated into new structures shall be permitted to project above building height limits provided Historic Architectural Review Commission finds that the following items are complied with:

(1) The visual impacts of active solar collection devices shall be subservient to the historical integrity and visual characteristics of the building.

(2) For new structures, renewable energy fixtures shall be incorporated into the design of the building to minimize their appearance.

(3) Screening that is consistent with design guidelines shall be provided to shield fixtures that are in the sight line of the street or alley at which they are viewed.

(4) All fixtures shall be located in the least visible location possible while maintaining the efficiency of the solar panels proposed. For example, PV shingles and propanel/standing seam integrated products can be used to achieve minimal visibility.

Furthermore, renewable energy fixtures and equipment that are incorporated into new structures shall be permitted to project above building height limits provided that:

(5) Two feet above allowable height limits will be permitted if Historic Architectural Review Commission determines that appropriate screening is provided.

(6) All fixtures and equipment shall possess an anti-reflective top coating, such as TOPS (Tempered glass tefzel glazing) or titanium dioxide. All metal surfaces shall be a matte finish.

(7) All fixtures shall be installed in a manner that conforms to the Uniform Building Code, and roof load engineering may be required.

(8) Top-of-pole ground mounts shall be permitted on the ground provided Historic Architectural Review Commission finds that:

(a) Fencing or screening is provided surrounding the fixtures.

Furthermore, renewable energy fixtures and equipment shall be permitted provided that:

(b) The fixture(s) and equipment conform to all appropriate setbacks.

(c) The highest portion of the ground-mounted fixture(s) does not exceed six (6) feet.

(d) Fixture(s) and equipment are located in the rear third of the structure or site.

3-213.C.12. Minimum Roof Pitch. Roofs shall be flat, unless otherwise permitted or required by H.A.R.C.

3-213.C.13. Maximum Site Coverage. No limitation.

3-213.C.14. Minimum Ceiling Height. For all buildings located on lots with frontage on Colorado Avenue, minimum height of the lowest finished ceiling above sidewalk grade shall not be less than eleven and three-quarters feet (11.75') measured from the average sidewalk grade along the building frontage to the bottom of the ceiling, such minimum to apply within an area extending into the building a distance of twenty-five feet (25') from the Colorado Avenue property line.

3-213.D. Off Street Parking Requirements. The following number of off street parking spaces shall be provided for each use in the Historic Commercial Zone District:

3-213.D.1. Parking Requirements in the Historic Commercial Zone District.

Use Category

Required Parking

Residential Dwelling Units

1 space per unit

Short-term Dwelling Units

2 spaces per every 3 units

Hotel, Lodge, Roominghouses, Boardinghouses

2 spaces for every 3 units

High Intensity Use

One space per 500 square feet of Net Floor Area

High Intensity Use: Restaurant

No space required

Low Intensity Use

One space per 1,000 square feet of Net Floor Area

3-213.D.2. Any above grade parking shall be located in the rear yard.

3-213.D.3. Vehicular access to on site parking will be permitted only through the rear yard, or through the side yard adjacent to the rear year.

3-213.D.4. Payment-In-Lieu of Parking. The Planning Director may approve an application for payment-in-lieu of parking for up to two (2) parking spaces required for commercial uses or accommodation use.

3-213.E. Vitality Setback.

3-213.E.1. To ensure the vitality of the Historic Commercial Zone District, no Service Commercial Uses (Section 3-213.B.2), rental repair and wholesaling uses (Section 3-213.B.3), Storage Uses (Section 3-213.B.5), Multi-family Dwelling Units (Section 3-213.B.7), Designated Employee Dwelling Units and Affordable Housing Units (Section 3-213.B.8), Timesharing Uses (Section 3-213.B.9) and Parking Uses (Section 3-213.B.11) shall be permitted unless such use is

a. Located within a Basement, or on the level above the Ground Floor, but not on a Mezzanine Level. For the purposes of this Section only, the term “basement” means a space located completely below the Ground Floor or below a Mezzanine Level.

b. If located on the Ground Floor, such use shall be setback an average of thirty-five (35') from the front exterior wall of the building or structure as measured perpendicularly from the front exterior wall. In no case shall such use be closer than twenty feet (20') from the front exterior wall. Such setback may be modified by the Planning and Zoning Commission pursuant to Article 6, Division 3, “Planned Unit Development.” For the purposes of this section, the “front exterior wall” of building or structure shall mean that wall which establishes the Front Yard, or in the absence of a Front Yard, the front lot line. Also, for the purpose of this section, the “front lot line” shall mean the frontage along the street with the shortest linear frontage for lots which have more than one street frontage.

3-213.E.2. Exceptions. Notwithstanding the foregoing, the Town may permit 1) Service Commercial Uses and accessory uses related thereto (3-213.B.3 and 3-213.B.5) on the Ground Floor pursuant to the requirements of Section 3-213.F; and 2) Parking Uses on vacant lots prior to development provided such parking areas are approved pursuant to the requirements of this Title. A Public Facility is exempt from the requirements of Section 3-213.E and 3-213.F subject to obtaining the requisite use permitted on review approval from the Town pursuant to the requirements of this Title.

3-213.F. Service Commercial Limit. A Service Commercial Use established after September 28, 2007 may be located on the Ground Floor within the 35 foot average setback as provided for in Section 3-213.E only if the requirements of this Section are met.

3-213.F.1. Maximum Allowable Service Commercial Use Building Frontage. The total lineal Building Frontage dedicated to Service Commercial Uses in the Commercial Core shall not exceed 625 lineal feet (“Service Commercial Limit”). For the purposes of this regulation, the Commercial Core is defined as the geographic area that includes all properties fronting or abutting onto Colorado Avenue extending from Aspen to Alder streets.

a. The Service Commercial Limit may be increased on a site-by-site basis pursuant to Article 6, Division 3, “Planned Unit Development” if a site is vacant land being developed or if a building or group of buildings is proposed for demolition and complete redevelopment. If the Planning and Zoning Commission increases the Service Commercial Limit through the PUD process, such increase shall be: i) reflected in this Section of the LUC by through the Code amendment process; and ii) restricted to the property affected by the PUD, and not transferable within the Commercial Core. The P&Z shall only be able to increase the Service Commercial Limit as provided for in this subsection if it finds such increase will not detract from the overall vitality of the Commercial Core, and the overall PUD adds to the vitality of the Commercial Core.

b. The 625 lineal feet permitted by the Service Commercial Limit is based on the Building Frontage dedicated to Service Commercial Uses found in July of 2007, and represents the Town’s desire to maintain the status quo of frontage dedicated to such uses, and to promote community vitality.

3-213.F.2. Availability of Frontage. Any available frontage within the Service Commercial Limit shall be available on a first-come, first-served basis, and the Town shall not maintain a waiting list for prospective Service Commercial Use businesses.

3-213.F.3. Certificate of Zoning Compliance for New or Expanded Service Commercial Uses Required.

3-213.F.4. Prior to the establishment of a new Service Commercial Use in the Commercial Core, or prior to the expansion of an existing Service Commercial Use in the Commercial Core, a person shall submit a written request for obtaining a Certificate of Zoning Compliance from the Planning Department to confirm that the Service Commercial Limit for the Commercial Core will not be exceeded.

a. Once issued, the Certificate of Zoning Compliance shall be valid for a maximum of 90 days, and the permitted Service Commercial Use must be under significant construction or open to the public for business in accordance with the requirements of this Title and the Municipal Code prior to the expiration of the 90 day time period. In any event, a business shall be open to the public within 120 days of the issuance of a Certificate of Zoning Compliance.

b. The Planning Director may issue a written extension of a Certification of Zoning Compliance not to exceed thirty days if the applicant has submitted a written request that documents good cause for the extension, such as, but not limited to, the length of time needed to obtain a building permit.

c. If a Service Commercial Use business is not under significant construction or open to the public for business within 120 days of the issuance of the Certificate of Zoning Compliance, or as provided for in any extension as set forth above, the Certificate of Zoning Compliance for such business shall become null and void, and any available Service Commercial Use frontage within the Service Commercial Limit shall be available on a first come, first served basis.

d. Except as provided for in subsection 3-213.F.1.a, a Certificate of Zoning Compliance shall not be issued by the Planning Department if the Service Commercial Limit would be exceeded by a requested business.

3-213.F.5. Land Use Inventory. The Planning Department shall maintain and update a land use inventory and analysis of the Commercial Core that analyzes the Building Frontage and type of business. This inventory will be utilized as the foundation to permitting future businesses within the Commercial Core, and the foundation to ensuring a business is not established in the Commercial Core in contravention of these regulations.

3-213.F.6. Communication and Education. The Planning Department shall strive to communicate and educate property and business owners in the Commercial Core of the requirements of this Section.

(Ord. 1561, 2023; Ord. 1542, 2021; Ord. 1541, 2021; Ord. 1463, 2018; Ord. 1446, 2017; Ord. 1429, 2015; Ord. 1423, 2015; Ord. 1422, 2015; Ord. 1316, 2009; Ord. 1277, 2007; Ord. 1248, 2006; Ord. 1177, 2002; Ord. 1163, 2002; Ord. 1112, 1999; Ord. 1106, 1998; Ord. 1092, 1997; Ord. 1033, 1995; Ord. 1011, 1994; Ord. 1007, 1994; Ord. 1005, 1994; Ord. 977, 1993; Ord. 975, 1993; Ord. 970, 1992; Ord. 955, 1992; Ord. 924, 1991; Ord. 866, 1989)