The city of Bellevue’s Northeast Fourth Street extension project and a property settlement to achieve that will be a major benefit to the Target Corporation, which is getting approval to construct a three-story storefront on 116th Avenue Northeast streamlined as a result.

City staff and councilmembers approved settlements earlier this month with the Corporation Service Company of Tumwater, which is the owner of affected properties under lease by Best Buy and Home Depot where Northeast Fourth will cut through a portion of the electronics store and a shared parking lot. CSC is receiving $19 million through the combined settlements and Best Buy will get a new parking garage and northern addition to its storefront.

The property owner’s future tenant, Target, also is reaping the benefits of the settlement, which includes advancing the city’s plans to amend its land use code in the Wilburton subarea, west of the Burlington Northern-Santa Fe rail line. The city reports its comprehensive plan had called for zoning this area for commercial business and allowing individual development agreements following completion of the extension project.

Complying with the settlement agreement, the Bellevue City Council on Monday approved taking steps to amend the land use code to allow Target to move forward with plans for its new retail site at the corner of Northeast Fourth and 116th Avenue Northeast. Adoption of the land use amendment allows the city and Target to enter into a development agreement that will allow the 137,000-square-foot storefront to be constructed on the third level, along with 90,000 square feet of parking on the second level and 15,000 square feet of retail space on the ground floor.

The City Council did not speak about the land use code amendment Monday and approved it as a consent agenda item. According to an agenda memorandum, a public hearing will be required before the amendment can take effect, which staff recommends the council conduct rather than the planning commission to expedite the process.

“A rezone of the Target parcel, consistent with the Comprehensive Plan, the anticipated development agreement, and a design review permit for development of a store will all be processed in fairly quick succession in order to meet Target’s desired timelines,” the memorandum states.

Target has submitted its design for review and anticipates starting construction in July, with a completion goal of October 2015.

The development agreement does propose design guidelines for the commercial business land use district to be formed, which will treat the Target store and other retail development there as part of an urban village.

“Any urban village in this area will ultimately have a mix of commercial and residential uses and therefore the juxtaposition of any new building with surrounding residential — either existing or planned for the future — is important,” the guidelines state.