Newberg Proposes New ‘Craft Industrial District’ for Downtown’s West End

The City of Newberg is proposing plans to create a new “Craft Industrial District” on the west end of downtown, a project that has been in the works since 2016. The proposed M-5 zoning district aims to update and maintain the area’s “gritty” feel while providing more opportunities for businesses with industrial and retail components.

Jeremiah Cromie, Associate Planner for the City of Newberg, is spearheading the implementation of this recommendation from the Newberg Downtown Improvement Plan.

“We’re looking to wrap up an implementation item from the 2016 plan,” Cromie said. “The new district will provide more opportunities for businesses that have a more industrial nature with retail components.”

The proposed changes would affect an area currently zoned as a mix of Central Business District (C-3) and Light Industrial (M-2). The new M-5 zoning would change the Comprehensive Plan Map designation from “Commercial” and “Industrial” to a “Mixed-Use designation”.

“The code structure provides land owners to develop properties into ‘mixed use’—typically not allowed elsewhere,” said Pacific Crest Real Estate Advisors‘ Principal Broker Philip Higgins. “It allows people the ability to live on the second floor, which offsets the cost to redevelop the area by creating higher dollar-per-square-foot uses to offset the lower dollar-per-square-foot ground floor uses.”  

Zoning laws decide where homes, businesses, and factories can be built, how tall buildings can be, and how close they can be to the street or each other. These rules help ensure that land is used efficiently and in a way that benefits the community. 

C-3 Zoning, for example, runs from S River Street to S Harrison Street on OR-99W and E 2nd Street. M-2 zoning, on the other hand, runs along the railroad in north Newberg, where there are multiple warehouses like Ultra Quiet Floors and PPM Technologies.

Key features of the proposed M-5 district include several components:

• Creation of new “Craft Industrial” and “Live/Work Dwelling Unit” definitions and uses that allow developers and the city to categorize future studio spaces. 
• Prohibition of certain uses currently allowed under M-2 zoning, including heavy manufacturing, warehousing, and storage units.
• Reduction of minimum lot size from 20,000 sq. ft. (M-2) to 5,000 sq. ft., which is a more reasonable size for an artist or maker studio.
• Implementation of 0′ front yard and interior yard setbacks—which is the minimum distance required between a building or structure and the front property line—with a 10′ setback for properties abutting residential districts to maintain a residential look and feel.
• Elimination of off-street parking requirements, except for residential uses or locations abutting residential districts

Higgins said that it’s a neat idea, in theory. But, he believes Newberg residents won’t see the effects of the proposed code change immediately or in the near future. 

The city is seeking public input on the proposed changes before implementing them. Cromie encourages residents and business owners to share their thoughts on the draft code language and map amendments.

“We want to see if there are further changes that should be made,” Cromie said.

For business owners concerned about the impact of these changes, Cromie offers reassurance. 

“We’ve reviewed the existing uses in the proposed district and believe all current uses would still be permitted in the new district moving forward,” he said.

Residents unable to attend public meetings can submit comments via email or mail. The city also encourages those with questions about how the changes might affect their specific property to contact the planning department directly.

The city has scheduled a series of public meetings to discuss and potentially adopt the new district. The tentative schedule includes:

• Oct. 10, 2024: Planning Commission Workshop
• Nov. 14, 2024: Planning Commission Hearing
• Nov. 18, 2024: City Council Workshop
• Dec. 2, 2024: City Council Hearing
• Jan. 2, 2025: Effective Date for New District

All meetings will be held at Newberg’s Public Safety Building, with virtual options available. Residents and business owners can send their thoughts to Cromie at jeremiah.cromie@newbergoregon.gov or call 503-554-7772.