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HomeMy WebLinkAboutItem I Green Mixed Use ProjectOF Ill 4 �Ir 111 1'3 � =�, 82 DATE: July 15, 2014 TO: FROM: SUBJECT STAFF REPORT CITY COUNCIL Honorable Mayor and City Councilmembers Christopher L. Foss, City Manager J/ The Green Mixed Use Project Prepared by Kristi Bascom, Principal Planner EXECUTIVE SUMMARY: CITY CLERK File #420 -10 The Green Mixed Use Project is a combination of commercial and residential uses on a 27.45 acre site. There are six neighborhoods with 372 residential units, a commercial district with 37,000 square feet of retail and restaurant uses, and associated outdoor spaces for both portions of the project. The Applicant is seeking eventual approval of a General Plan Amendment, Eastern Dublin Specific Plan Amendment, Planned Development Rezoning and related Stage 1 and 2 Development Plan, Vesting Tentative Map, Site Development Review, Development Agreement, and certification of a Final Supplemental Environmental Impact Report. This study session is intended to provide the City Council with an overview of the project and an opportunity for Staff and the Applicant to receive feedback and direction. No project approvals will be considered at this meeting. Public hearings before the Planning Commission and City Council to take formal action on the project will be scheduled at a later date. FINANCIAL IMPACT: None. All costs related to the processing of the projects applications are borne by the Applicant /Developer. RECOMMENDATION: Staff recommends that the City Council receive presentations from Staff and the Applicant and provide direction on the overall project design concepts, acceptability of the design approaches to mitigate for noise and air quality impacts to the site, and direction on the deal points for the future Development Agreement. Page 1 of 6 ITEM NO. I. Submitted By "Reviewed By Community Development Director Assistant City Manager DESCRIPTION: The Green Mixed Use Project is proposed for the 27.45 acre parcel at the northwest corner of Hacienda Drive and Interstate 580, which is owned by Stockbridge /BHV Emerald Place Land Company, LLP. The project site is shown in the Vicinity Map below: Figure 1: Project Vicinity F ­W.Lv, MONO . r7�N1�[•P � S The property currently has a General Plan /Eastern Dublin Specific Plan land use designation of General Commercial and the Planned Development Zoning District permits a 305,000 square foot shopping center branded "The Green on Park Place." The existing General Commercial land use designation accommodates a range of regional- and community- serving retail, service, and office uses. Page 2 of 6 ­W.Lv, MONO . r7�N1�[•P � S The property currently has a General Plan /Eastern Dublin Specific Plan land use designation of General Commercial and the Planned Development Zoning District permits a 305,000 square foot shopping center branded "The Green on Park Place." The existing General Commercial land use designation accommodates a range of regional- and community- serving retail, service, and office uses. Page 2 of 6 On February 5, 2013, Stockbridge /BHV Emerald Place Land Company, LLP received authorization from the City Council to examine whether the land use designation for the 27.45 acre parcel could be changed from General Commercial to Mixed Use in order to allow medium to medium -high density residential and commercial uses. At that time, the Applicant was envisioning a residential and retail development at this site that included 20,000- 40,000 square feet of commercial retail uses and 450 -750 residential units with a combination of product types. After the General Plan /Specific Plan Amendment Study was initiated in February 2013, a Fiscal Impact Analysis was completed. Staff returned to the City Council on September 17, 2013 with the results of the Fiscal Impact Analysis, and after discussion and deliberation, the majority of the City Council recommended proceeding with the General Plan Amendment (GPA) study. Staff and the City's environmental consultant have prepared a Draft Supplemental Environmental Impact Report for the project. The results of the Air Quality and Noise analyses have been completed and have resulted in the requirement for design elements to be incorporated into the project to mitigate for these impacts. Additionally, the City received communication from the Dublin Unified School District regarding impacts on school facilities as discussed later in this Staff Report. The Applicant has submitted detailed project plans, which illustrate the proposed site layout and design, the proposed architecture for the commercial buildings, and design concepts for the residential neighborhoods. The project as currently proposed consists of 37,000 square feet of retail and restaurant uses and 372 attached multi - family residential units. The purpose of this Study Session is to provide the City Council with a project overview and to seek feedback and direction from the City Council on the following key issues related to the project: 1. Overall project design, including the proposed commercial architecture and the residential design concepts, 2. Noise and air quality impacts on the residential uses closest to Interstate 580; and 3. Proposed deal points for the project Development Agreement. ANALYSIS: Overall Project Design The project as proposed is designed to provide 372 townhouse and stacked flat residential units and 37,000 square feet of commercial uses. The Concept Site Plan is included in the Project Plans (Attachment 1 to this Staff Report). The site is oriented to two north -south linear open space elements that include a plaza in the commercial portion of the project and a common green space in the residential portion. This open space element, referred to as "The Green," aligns with the main north -south entry into Persimmon Place. The design aesthetic of the community uses the building features, forms, materials, and textures that are commonly found in rural communities. The commercial buildings reflect back on agrarian architecture and employ the materials that were used in farm structures as well, such as metal and wood with glass and stucco accents. The three- and four -story residential buildings are formed around six neighborhoods with multiple building types in each. The contemporary architectural styles are complementary to one another, but with a slightly different character to each neighborhood. Page 3 of 6 The buildings adjacent to Interstate 580 include a unique design element that is intended to serve as both a noise and air quality barrier (described further in the section below) as well as create a unique identity for the project as a whole. Design Approaches for Air Quality and Noise Impacts Air Quality Impacts Traffic on high volume roadways is a source of toxic air contaminant (TAC) emissions that may adversely affect sensitive receptors (such as residential units) that reside in close proximity to these roads. The Bay Area Air Quality Management District (BAAQMD) has published screening tables to determine if roadways with substantial daily traffic volumes may have a significant effect on a proposed project. CalTrans reports that Interstate 580 has 214,000 average daily trips (ADT). Therefore, a refined analysis of the impacts of toxic air contaminant (TAC) and fine particulate matter (PM2.5) was necessary to evaluate potential cancer risks. The Air Quality analysis completed for the project identified substantial impacts from TACs and fine particulate matter. In order to mitigate for these impacts, the project will need to incorporate design elements that are not typically employed in Dublin, such as: • The buildings located adjacent to the freeway cannot have operable windows on elevations facing the freeway. Similarly, those units cannot have balconies, decks, or other private open space facing the freeway. • The Developer will be responsible for installing, and the future homeowners will be responsible for maintaining, air filtration systems that provide a fresh, filtered air supply to every residential unit. These systems will need to be certified to achieve certain effectiveness and will need to be disclosed to future homeowners. • The construction and occupancy phasing of the residential units will need to be done so that the units closest to the freeway are the last ones occupied. California Air Resources Board regulations require diesel engines to be retrofitted and /or replaced to reduce emissions, with the greatest reductions from this effort occurring in years 2013 through 2015. The later the occupancy of these units takes place, the more likely it is that the TAC sources will slowly be diminishing over time as the efficiency of truck and vehicle fleets improve. Noise Impacts The noise environment of the project site has similar characteristics to the air quality environment due to the proximity to Interstate 580, which is a substantial noise source. The noise analysis completed for the project identified that the site is subjected to noise impacts that are not ideal for a residential development. In order to mitigate for these impacts inside the residential units, the project will need to incorporate design elements that are not typical for residential projects, such as sound -rated construction methods on all buildings onsite. For the buildings closest to Interstate 580, the construction materials and techniques necessary to reduce interior noise levels to acceptable levels are fairly aggressive, and include noise insulating features such as stucco -sided staggered -stud walls and high sound -rated windows and doors. In addition to the above measures, the Applicant has a unique design approach to mitigate for noise and air quality impacts that involves solid feature on the south elevation of the residential Page 4 of 6 buildings facing the freeway. The details of this design approach will be presented at the Study Session. Development Agreement City Staff and the Developer have been in negotiations related to the project Development Agreement. Discussions have centered around three main deal points: 1. A Community Benefit Payment commensurate with the number of residential units proposed to be constructed at the site; 2. Phasing construction and occupancy of the commercial portion of the project concurrent or prior to the occupancy of the residential portion of the project; and 3. Provision of affordable /below market rate units to satisfy the City's Inclusionary Zoning requirements. Negotiations are still underway, and Staff anticipates having an update on the progress of the negotiations for the City Council at the Study Session. Student Generation and Impacts to the Dublin Unified School District (DUSD) The Dublin Unified School District (DUSD) sent a letter dated March 4, 2014 to the City (Attachment 2) outlining several concerns about the impacts of several upcoming General Plan Amendments on the schools within the District. In previous discussions with the District, they have indicated that the residential portion of The Green project is expected to generate 69 elementary school students, 27 middle school students, and 31 high school students. The Project Applicant has discussed these impacts with District Staff and has proposed funding programs to address the District's needs. The District sent a follow -up letter dated July 9, 2014 to the City (Attachment 3), outlining these ongoing discussions with the Project Applicant and expressing their continued support for growth within the City Additionally, the Draft Supplemental EIR for the project was released on May 7, 2014 for a 45- day public comment period. The comment period closed on June 23, 2014. A copy of the Draft EIR was provided to DUSD. No comments were received from the District. A copy of the project plans were also provided to DUSD on June 1, 2014 and comments were requested by June 20, 2014. No comments or other correspondence have been received from the District regarding the project plans. NEXT STEPS: The Applicant has submitted an application and plans to process General Plan and Eastern Dublin Specific Plan Amendments, Stage 1 and 2 Planned Development Rezoning, a Vesting Tentative Subdivision Map for the whole site, a Development Agreement, and Site Development Review approval for the eight commercial buildings. The Site Development Review application for the residential component of the project will follow. City Staff and the Applicant will review feedback provided at the Study Session and discuss revisions to project plans as appropriate. The Final Supplemental EIR on the project is also being completed and the Responses to Comments on the document are being prepared. The project is anticipated to be reviewed by the Planning Commission and City Council at public hearings in August and September. Page 5 of 6 NOTICING REQUIREMENTS /PUBLIC OUTREACH: Public noticing is not required to provide an update to the City Council and to seek policy direction. 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JEEb=il I 1 a,Y a o m 0O c CO •0 • o 1 0 at Crnar oo ao go L L_71 L f I I ° Z▪ 0 t (_ co •O c 1r as L _ � 3QN1YOCCa ^' ca o m °' o -6 m N 8 � > a) a) a' m ( 2a z Qa � w o 5 2H ca L r l".=:= LriD , �� /f 1 = laj C Y c2 //, _- - .rte.- 4 *t. : E N 2 as Q O O _ t _ t f t :t.A CT N a COL -c _0 L > - - " j x: - O •a C •— C L .,..� , d i L N N ,- C N -0 `��T' '- . E cz •� Y N E a E -0 N ` i - 0 (7) 2 ,c) 3 _i) 2) cc?) ,,, ', - Illik _, \i, i :-, '." ..". fl N o O C C 4.L O – �~ . t 4 - d i & '-, NE —_ � •ai It , — - All ' so > r- \ �.0.- li r rt — s `Ii'.... ai"Se9�,r" 1.1.• lit in O II i , o - r r l''' "--cc IIE _ - Att I . sr, CO w =I 71 NM s _ r. ar -. x W I __I ate i �' WJ ...'_'Ear ; _� ,� H CO - - ,,i .-' YA-,i +�11 � h,i 3� _ _._. �. 1 I -_ _ DUBLIN UNIFIED SCHOOL DISTRICT 7471 Larkdale Avenue, Dublin, CA 94568 -1599 * 925 - 828 -2551 * www,dubiin.k12.ca.us Al! Dublin Students will Become Lifelong Learners RECEIVED March 4, 2014 MAR 0 6 2014 Luke Sims, AICP DUBLIN PLANNING Community Development Director City of Dublin 100 Civic Plaza Dublin CA 94568 Re., Impact of Zone Changes Dear Mr. Sims, Thank you for your letter of February 7, 2014, and for seeking information from the Dublin Unified School District concerning the foreseeable impacts of proposed land use /General Plan Amendments, including but not limited to the Downtown Dublin Specific Plan Amendment, on the District's ability to house students generated by new residential development. As we previously discussed, the District's facilities are severely impacted by the continuing influx of additional students to the District resulting in virtually every school in the District being at or over capacity. This has required the addition of portable buildings each year to house the additional students. Last year, for instance, the District enrolled an additional 1000 new students requiring an additional 12 portable classrooms throughout the District. Anticipated Student Generation Overall, the project areas under consideration, Downtown Dublin Specific Plan, Dublin Ranch Sub Area 3, Fredericsenk, The Green at Park Place, The Groves Lot 3, Heritage Park, Schaefer Ranch Unit 3, and the Transit Center Site A-1, are proposed to generate a total of 975 students from 3,628 units, 400 more than the current densities for those areas would generate, These are the "high" generation rates which District enrollment has consistently exceeded. The District anticipates that the Downtown Area General Plan Amendment alone will generate an additional 442 students, 243 at the elementary level, 93 at the middle school level, and 106 at the high school level. The District does not have the capacity to house these additional students, nor does it have the resources to increase that capacity sufficiently to add enough classrooms to house these students. Current Capacity Looking just at the elementary level, Dublin Elementary School will be faced with 272 new students from these project areas, and it is already short forty seats, well over a full classroom. The District plans to add six portable and six permanent classrooms to this school to house growth anticipated WITHOUT these changes in density. Frederiksen Elementary School anticipates growth of 10 new students from the Transit Center Site A -1, Even without this growth, it has had to convert a computer laboratory to classroom space this year. Dougherty Elementary School will be faced with 69 additional students from these zone changes, particularly from The Green at Park Place. Dougherty has already needed six portables this year for additional growth without these density changes. Kolb School will require space for an additional 181 students from Dublin Ranch Sub Area 3 and The Groves, Lot 3. Even without this additional enrollment, it has no available space with enrollment of over 1000 students. District Lack of Resources to Meet Capacity Needs The lack of a state bond for school construction has placed tremendous pressure on the District to meet the challenges of continuing growth in residential population and resulting student enrollment. A major step in addressing Dublin's current challenges for housing students and maintaining the quality of education provided is a new state school bond. Ironically, the District has also been unable to assess development impact fees that would fully mitigate the cost of housing new students from these new projects. Under the Education Code provisions for development impact fees, these fees were supposed to increase from meeting 50% of the cost of school facilities (Level 2) to 100% of the cost of new school facilities (Level 3) when state bond funds were no longer available. That change has been forestalled, leaving impacted districts throughout the state, including Dublin, struggling to meet the cost of school facilities to house new students from new development without the state providing its 50% of the cost of those facilities. Another option would be to remove the artificial limits on development impact fees all together, returning the District, and other districts throughout the state, to the option of developers providing full mitigation of the impacts of new development on school capacity. Other options for mitigation of these impacts include the formation of a Mello Roos Community Facility District through which future residents can repay a bond measure issued by the CFD to pay for school facilities, funding through mitigation agreements with developers, or further impacting the education of all students by the District being forced to increase class sizes and decrease the learning resources at schools in order to house more students. Facilities do impact learning, and having adequate facilities is critical to the quality of learning in Dublin's schools. We thank you again for the opportunity to address this issue before action by the Planning Commission or City Council and look forward to working with the City on ways to maintain and improve the quality of education provided in the District's schools while addressing the need for additional housing within the City. Sincerely, B v y Heironimus Assistant Superintendent, Business Services Dublin Unified School District cc: Steve Hanke Kim McNeely All Dublin Students Will Become Lifelong Learners SUPERINTENDENT Stephen Hanke, Ed. D, (925) 828.2551 BOARD OF TRUSTEES Sean kenney President (650) 465-9851 Amy Miller Vice President (925) 577-5866 Dan Cunningham (925) 640-8330 DUBLIN SCH01OLS DUBLIN UNIFIED SCHOOL DISTRICT 7471 Larkdale Avenue, Dublin, CA 94568-1699#925-828-2651 *FAX 925-829-6532 July 9, 2014 Mr, Chris Foss City Manager, City of Dublin 100 Civic Plaza Dublin, CA 94568 Dear Chris: This letter is to summarize the essence of conversations that the school district has had with Gerald Hunt, Regional President, of Lennar Commercial Properties / Quattro Realty Group. On or about May 14, 2014, 1 met with Mr. Hunt to review planned development for the proposed "green" development located West of Hacienda Drive and North of Interstate 580. Megan Rouse In our meeting, we reviewed the proposed developments and discussed potential impact (925) 785-7862 Greg Tomlinson of the development that Quattro Realty Group has submitted to the City for (925) 361-5055 consideration. The proposed products include 267 Townhome style units and 105 Stacked Flat units for a total of 372 units. Using medium density student yield factors, we anticipate that these units will increase student enrollment in the District by 60-70 elementary students and a smaller amount of secondary (middle school and high school) students. Mr. Hunt has expressed interest in developing and maintaining a strong partnership with the District relative to programs offered in our schools. This may take the form of ongoing support for visual and performing arts programs such as band, orchestra, or drama, or other pathway / academy programs such as the Bio-Medical Academy set to begin at Dublin High School in the fall of this year. We feel that this is an appropriate outreach by Mr. Hunt and appreciate his consideration of this partnership. As mentioned in prior letters regarding increased growth, the District has formed a Boundary Committee that is working on setting boundaries for all of the schools in the east of our community. Schools involved in this process will include Amador, Dougherty, Green, Kolb, and E-5 (yet to be named) elementary. At this point, the current boundaries for the district indicate that the school where the elementary students from the "green" development will attend is Dougherty Elementary School. The middle school for these students will likely be Fallon and Dublin High School will be the high school. At some point in the future, the boundaries noted above may change as the Boundary Committee completes their work or may be reconsidered as additional development in the area continues (Dublin Crossing, Esprit, others). We anticipate a recommendation coming to the Board this fall about all of the schools involved in the current study. And, we expect the committee will continue to meet as additional development occurs creating increases or shifts in student populations throughout Dublin, As you know, if the growth continues at the current pace, we anticipate the need for a school in the Jordan Ranch area shortly thereafter, followed by a school in the Dublin Crossings area. Key here will be the district's ability to build these schools. This is problematic as currently there are no state bond dollars available and the district, through developer fees alone, will not have sufficient funds to build them. We are hopeful that a measure for a new state bond measure will be before the voters of California very soon, The District remains supportive of growth throughout the community and is committed to serving students from wherever they are generated. Ongoing communication regarding these and any other potential General Plan Amendments is important. We greatly appreciate the City's efforts to keep us informed as well as the ongoing partnership between the City and the School District. If you have any questions regarding the dialogue with Quattro Realty or the impact of the proposed development, please don't hesitate to contact me at 925.828.2551 ext. 8002. Regards, Steve Ilanke Superintendent cc: Dublin USD Board of Trustees Beverly Heironimus, Asst. Supt., Business Services Gerald Hunt, Regional President, Lennar Commercial / Quattro Realty LLC be: Janet Lockhart, DPIE