The proposed development of a Murphy Oil USA gas station and convenience store, located at the site of former Red’s Restaurant and Lounge on Riverside Drive, is moving forward as transfer of Red’s liquor license to developer Josh Skarsgard has been approved by the state Alcohol Control Board.
Interim city manager Joe Duran confirmed the transfer Nov. 8 and said the item will appear before the Española City Council for a vote on an upcoming agenda.
If approved by the Council, the next step would be to tear down Red’s Steakhouse.
“As far as the construction phase, it will commence with demolition, followed by the construction stage,” Duran said.
Murphy Oil is currently negotiating for a New Mexico-licensed contractor, Duran said.
“The Planning Department and I have conducted a preliminary review of the plans which appear to meet compliance and approvals from the Planning and Zoning Commission,” he said.
The developer’s electrical and mechanical plans would also need approval by the New Mexico Construction and Industries Division, Duran said.
“Soon after a contractor is verified, we will commence in completing the zoning and building permit process,” Duran said.
Plans call for construction of a 7,296-square-foot canopy to cover multiple gas pumps and a 1,200-square-foot convenience store with parking facilities.
The property sits at the intersection of Carr Lane and Riverside Drive. Skarsgard, a developer with Redrock Investments LLC, hosted a series of meetings in September with the residents of the Starlighter subdivision, which is accessed using Carr Lane.
The neighborhood’s residents expressed mixed emotions about the development at the meetings. Some were concerned with Skarsgard’s plan to sell liquor at the Murphy Oil convenience store. Others claimed the increased traffic would further deteriorate Carr Lane’s pavement.
And still others voiced support, citing how the new gas station and convenience store would funnel more tax revenues into city coffers.
Hanging in the balance during the September meetings were Skarsgard’s negotiations with Walmart over a proposed access point through the big box retailer’s parking lot that would connect to Carr Lane. The access through Walmart’s parking lot would provide a second driveway, at the current access point next to the Giant convenience store, for Murphy Oil customers and Carr Lane and Starlighter residents to utilize.
City clerk Tessa Jo Mascareñas and Duran said they are not aware of any progress made in negotiations between Murphy Oil and Walmart.