HomeMy WebLinkAbout2020-089 - Approving Density Bonus Agreement No. 2020-01RESOLUTION NO.2020-089
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SANTA ANA APPROVING DENSITY BONUS AGREEMENT
NO. 2020-01, SITE PLAN REVIEW NO. 2020-01, AND SITE
PLAN REVIEW NO. 2020-02 AS CONDITIONED FOR A
NEW MIXED -USE AND HOTEL DEVELOPMENT
LOCATED AT 201 WEST THIRD STREET
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA AS
FOLLOWS:
Section 1. The City Council of the City of Santa Ana hereby finds, determines
and declares as follows:
A. Michael Harrah, representing Caribou Industries Inc. (hereinafter referred to as
"Applicant'), is requesting approval of Density Bonus Agreement No. 2020-01,
Site Plan Review No. 2020-01, and Site Plan Review No. 2020-02, as
conditioned to allow the construction of a new mixed -use development
consisting of 171 residential units, 13,419 square foot commercial
development and a 75-room hotel at 201 West Third Street.
B. The Transit Zoning Code was adopted in 2010 as a result of interest in
developing transit -oriented mixed -use residential and commercial projects in
its project area. The Transit Zoning Code was amended in 2019 to
modernize and refine development standards to further these interests. The
regulating plan, which establishes land uses and development standards,
allows a variety of housing and commercial projects, including mixed -use
residential communities, live/work units, hotels, and offices.
C. The California Density Bonus Law (California Government Code Section 65915
et seq.) allows developers to seek increases in base density for providing on -
site housing units in exchange for providing affordable units on site. To help
make constructing on -site affordable units feasible, the law allows developers to
seek incentives/concessions or waivers that would help the project be built
without significant burden and without detriment to public health.
D. On September 28, 2020, the Planning Commission of the City of Santa Ana
held a duly noticed public hearing regarding Density Bonus Agreement No.
2020-01, Site Plan Review No. 2020-01 and Site Plan Review No. 2020-02 at
that time considered all testimony, written and oral and recommended City
Council approval of the entitlements.
Resolution No. 2020-089
Page 1 of 11
E. On November 17, 2020, the City Council of the City of Santa Ana held a duly
noticed public hearing regarding Density Bonus Agreement No. 2020-01, Site
Plan Review No. 2020-01, Site Plan Review No. 2020-02 and Disposition and
Development Agreement at that time considered all testimony, written and
oral.
F. Sections 41-2007 and 41-593.5 of the Santa Ana Municipal Code (SAMC)
requires a review by the Planning Commission and City Council of all plans
for developments of over four stories within the Transit Zoning Code (Specific
Development No. 84) to ensure the project is in conformity with the overlay
zone plan.
G. The zoning designation for the subject property is Specific Development No.
84, Downtown sub -zone.
H. The City Council determines pursuant to SAMC Sections 41-2007 and 41-
593.5, that the mixed -use and hotel project is in compliance with all applicable
development standards outlined within the Specific Development (SD No.
84/Transit Zoning Code), with the exception of required on -site residential
parking, maximum stories, open space and massing which, pursuant to the
California Government Code sections 65915 through 65918, may be reduced
through approval of the requested Density Bonus Agreement application and
off-street parking subject to approval of Variance No. 2020-02.
I. The City Council determine that the following findings, which must be
established in order to grant this Density Bonus Agreement with deviations
pursuant to SAMC Section 41-1607, have been established for Density Bonus
Agreement No. 2020-01 to allow construction of the proposed project:
1. That the proposed development will materially assist in
accomplishing the goal of providing affordable housing
opportunities in economically balanced communities throughout the
city.
The proposed development will provide 152 market -rate
rental units and 19 very -low income affordable units,
contributing toward the City's rental housing stock to serve
the needs of diverse and underserved populations. 10
studios, 6 one -bedrooms and 3 two -bedrooms very -low
income units will be evenly dispersed throughout the
development. The area in which the project is proposed, the
Transit Zoning Code plan area, currently contains several
entitled or constructed affordable and market -rate residential
communities. The construction of this project will contribute
toward an economically and demographically balanced
community by providing housing for different demographic
and income levels in an area rich with employment
Resolution No. 2020-089
Page 2 of 11
opportunities, commercial development, market -rate housing
and close to many public transportation options such as the
under -construction OC Streetcar, bus routes and the Santa
Ana Regional Transportation Center.
2. That the development will not be inconsistent with the purpose of
the underlying zone or applicable designation in the general plan
land use element.
The project site is located in an area already identified in
both the City's Zoning Code (the Transit Zoning Code) and
General Plan (the Land Use and Housing elements) for new
residential communities. The application includes a request
for a 35-percent density bonus in exchange for providing
eleven percent very -low income units on -site (19 units).
Under the State's Density Bonus Law, developers providing
eleven percent very -low income units may request a
numerical density bonus of 35 percent from the base density
(California Government Code Section 65915 (f)(2)). The
General Plan land use designation for Downtown is District
Center which allows 90 dwelling units per acre and
maximum floor area ratio (FAR) of 3.0. Based on the site
area of 1.41 acres at 90 dwelling units per acre 127 units are
allowed. In exchange for providing eleven percent very -low
income units on -site an additional 45 units are permitted
through a density bonus. Therefore, the project proposes a
total of 171 units with a total FAR of 4.2 for the development
site. Application of the floor area ratio maximum would
physically preclude development of on -site affordable
housing units. Furthermore, California Government Code
Section 65915 (f)(5) granting a density bonus shall not
require a General Plan Amendment. With approval of
concessions and waivers the project is consistent with the
underlying zoning development standards and General Plan.
Additionally, the project supports several goals and policies
within the General Plan land use element.
3. That the deviations are necessary to make it economically feasible
for the Applicant to utilize a density bonus authorized for the
development pursuant to section 41-1603.
The proposed project requires waivers, two
incentives/concessions, and for a reduction in required on -
site (off-street) parking. The deviations are described as
follow:
Resolution No. 2020-089
Page 3 of 11
(a) Waiver from the General Plan Land Use Element,
Downtown District Center maximum FAR of 3.0. The
FAR for the entire development site is 4.2. Capping the
FAR at 3.0 would physically preclude development of the
project and on -site affordable housing units [Cal. Gov't
Code Sec. 65915 (e)(1)]. Limiting the FAR may preclude
additional stories to accommodate the affordable units
and density bonus units which make the project
financially feasible for the developer.
(b) Waiver from Santa Ana Municipal Code Sec. 41-2011(a)
— Height. The Line Block Building Type sets a maximum
height of 10-stories while 16 stories are proposed. The
additional stories are needed to provide affordable
housing units on -site and to make the construction of a
high-rise development financially feasible. In addition, the
requirement to provide 211 public parking spaces on site
adds an additional five stories to the overall development
[Cal. Gov't Code Sec. 65915 (e)(1)].
(c) Concession 1 from Santa Ana Municipal Code Sec. 41-
2023(f) Open Space, the project's open space is
designed as open roof decks rather than courtyards or
forecourt. Construction of a courtyard or forecourt would
substantially increase engineering costs and the
development would need to be redesigned completely
reducing the number of units that could be constructed
on the site therefore, reducing the number of onsite
affordable housing units that would result from the project
[Cal. Gov't Code Sec. 65915 (d)(1)].
(d) Concession 2 from Santa Ana Municipal Code Sec. 41-
2023(i) Massing a reduction in massing at the third level
would result in a reduction in public parking or
redesigning and engineering the project which would
reduce the financial feasibility of redeveloping the site
and providing 19 onsite very -low income units [Cal. Gov't
Code Sec. 65915 (d)(1)].
(e) Parking: Constructing 2.0 parking spaces per residential
unit and 0.15 guest parking spaces per residential unit on
the project site would require the developer to construct
additional levels of parking either above- or below -grade,
resulting in increased construction costs and/or a loss of
an entire level of residential units. The City has identified
the Transit Zoning Code area for high -intensity, mixed -
use, transit -oriented development in order to reduce
Resolution No. 2020-089
Page 4 of 11
demands for parking and traffic impacts. Pursuant to
California Government Code Section 65915 (p)(1)
residential developments providing eleven percent on -
site affordable housing units at very -low income levels
are entitled to provide on -site parking at the ratio of 1 stall
for studio or one -bedroom units, and 2 stalls for two -
bedroom units, inclusive of handicapped and guest
parking. To address the parking reduction requested by
the applicant pursuant to State Housing Law, the
Applicant prepared a parking study and parking
management plan (PMP). The PIMP adequately outlines
measurable means to provide additional parking through
additional onsite valet parking, offsite parking, or a
combination thereof, raising the effective parking ratios to
a minimum of 2.15 parking spaces per residential unit if
fully implemented.
. Section 2. The Applicant shall indemnify, protect, defend and hold the City
and/or any of its officials, officers, employees, agents, departments, agencies,
authorized volunteers, and instrumentalities thereof, harmless from any and all claims,
demands, lawsuits, writs of mandamus, and other and proceedings (whether legal,
equitable, declaratory, administrative or adjudicatory in nature), and alternative dispute
resolution procedures (including, but not limited to arbitrations, mediations, and such
other procedures), judgments, orders, and decisions (collectively "Actions"), brought
against the City and/or any of its officials, officers, employees, agents, departments,
agencies, and instrumentalities thereof, that challenge, attack, or seek to modify, set
aside, void, or annul, any action of, or any permit or approval issued by the City and/or
any of its officials, officers, employees, agents, departments, agencies, and
instrumentalities thereof (including actions approved by the voters of the City) for or
concerning the project, whether such Actions are brought under the Ralph M. Brown
Act, California Environmental Quality Act, the Planning and Zoning Law, the
Subdivision Map Act, Code of Civil Procedure sections 1085 or 1094.5, or any other
federal, state or local constitution, statute, law, ordinance, charter, rule, regulation, or
any decision of a court of competent jurisdiction. It is expressly agreed that the City
shall have the right to approve, which approval will not be unreasonably withheld, the
legal counsel providing the City's defense, and that Applicant shall reimburse the City
for any costs and expenses directly and necessarily incurred by the City in the course
of the defense. City shall promptly notify the Applicant of any Action brought and City
shall cooperate with Applicant in the defense of the Action.
Section 3. In accordance with the California Environmental Quality Act
(CEQA), the City Council of the City of Santa Ana has, as a result of its consideration of
the record as a whole and the evidence presented at the hearings on this matter,
determined that, as required pursuant to the California Environmental Quality Act
(CEQA) and the State CEQA Guidelines, Environmental Review No. 2019-85 meets all
the requirements of CEQA:
Resolution No. 2020-089
Page 5 of 11
Based on the substantial evidence set forth in the record, including but not
limited to the 2010 EIR and the 2020 Third & Broadway Addendum, the
City Council finds that an addendum is the appropriate document for
disclosing the changes to the subject properties, and that none of the
conditions identified in Public Resources Code section 21166 and State
CEQA Guidelines section 15162 requiring subsequent environmental
review have occurred, because:
A. The project does not constitute a substantial change that would require
major revisions of the 2010 EIR due to the involvement of new
significant environmental effects or a substantial increase in the
severity of previously identified significant effects.
B. There is not a substantial change with respect to the circumstances
under which the project will be developed that would require major
revisions of the 2010 EIR due to the involvement of new significant
environmental effects or a substantial increase in the severity of the
previously identified significant effects.
C. New information of substantial importance has not been presented that
was not known and could not have been known with the exercise of
reasonable diligence at the time the 2010 EIR was certified or adopted,
showing any of the following: (i) that the modifications would have one
or more significant effects not discussed in the earlier environmental
documentation; (ii) that significant effects previously examined would
be substantially more severe than shown in the earlier environmental
documentation; (iii) that mitigation measures or alternatives previously
found not to be feasible would in fact be feasible and would
substantially reduce one or more significant effects, but the applicant
declined to adopt such measures; or (iv) that mitigation measures or
alternatives considerably different from those analyzed previously
would substantially reduce one or more significant effects on the
environment, but which the applicant declined to adopt.
Section 4. The City Council of the City of Santa Ana, after conducting the public
hearing, hereby approves Density Bonus Agreement No. 2020-01, Site Plan Review No.
2020-01, Site Plan Review No. 2020-02 as conditioned in Exhibit A, attached hereto and
incorporated as though fully set forth herein. This decision is based upon the evidence
submitted at the above said hearing, which includes, but is not limited to: the Request for
City Council Action dated October 20, 2020, and exhibits attached thereto; and the public
testimony, written and oral, all of which are incorporated herein by this reference.
Resolution No. 2020-089
Page 6 of 11
ADOPTED this 171h day of November. 2020.
APPROVED AS TO FORM:
Sonia R. Carvalho
City Attorney
By: �. �"
Rya dge
Assi nt City Attorney
AYES:
NOES:
ABSTAIN:
NOT PRESENT
Councilmembers
Councilmembers
Councilmembers
Councilmembers
•.'Pulid6
Bacerra, Mendoza, Pulido, Solorio Villegas (5)
Penaloza (1)
Sarmiento (1)
None (0)
CERTIFICATE OF ATTESTATION AND ORIGINALITY
I, DAISY GOMEZ, Clerk of the Council,
Resolution No. 2020-089 to be the original
City of Santa Ana on November 17, 2020.
Date:
do hereby attest to and certify the attached
resolution adopted by the City Council of the
i
Daisy Gomez/
Clerk of the Council
City of Santa Ana
Resolution No. 2020-089
Page 7 of 11
EXHIBIT A
Site Plan Review No. 2020-01, Site Plan Review No. 2020-02 and Density Bonus
Agreement No. 2020-01 are approved subject to compliance, to the reasonable
satisfaction of the Planning Manager, with applicable sections of the Santa Ana Municipal
Code, the California Administrative Code, the California Building Standards Code, and all
other applicable regulations. In addition, it shall meet the following conditions of approval:
The Applicant must comply with each and every condition listed below prior to exercising
the rights conferred by this site plan review.
The Applicant must remain in compliance with all conditions listed below throughout the
life of the development project. Failure to comply with each and every condition may result
in the revocation of the site plan review.
A. Planning Division
All proposed site improvements must conform to the Development Project Review
approval of DP No. 2019-32 and the staff report exhibits.
2. Any amendment to this site plan review, including modifications to approved
materials, finishes, architecture, site plan, landscaping, unit count, mix, and square
footages must be submitted to the Planning Division for review. At that time, staff
will determine if administrative relief is available or if the site plan review must be
amended.
3. A residential property manager shall be on site at all times that the project is
occupied and the developer and on -site management shall at all times maintain a
24-hour emergency contact and contact information on file with the City.
4. The Project shall implement the Parking Management Plan dated September 9,
2020.
5. The Project shall include a publicly -accessible amenity area available to the public
on a semi -regular basis, upon agreement by the public and Applicant, but in no
instances less than four times per year for community -serving purposes. Any
revisions to the proposed projects to include said amenity area, or any required
modifications to accommodate said amenity area, shall be reviewed for substantial
conformance during Building Division plan check.
6. All mechanical equipment shall be screened from view from public and roof deck
amenity areas.
Resolution No. 2020-089
Page 8 of 11
7. Prior to issuance of any building permits, the Applicant shall submit a detailed
rooftop plan to the Planning Division for review and approval demonstrating that the
unoccupied lower level rooftops, visible from the building levels above,
incorporate artificial green roofs and water infiltration planters as shown on the
DP No. 2019-32 plans.
8. Prior to the issuance of any building permits, the Applicant shall submit a final
detailed amenity plan to the Planning Division for review and approval. The plan
shall include details on the hardscape design, lighting concepts and outdoor
furniture for amenity decks and plaza areas as well as an installation plan. The
exact specifications for these items are subject to the review and approval by the
Planning Division.
9. Prior to issuance of building permits, the Applicant shall submit a construction
schedule and staging plan to the Planning Division for review and approval. The
plan shall include perimeter construction signage with a contact phone number,
construction hours, staging areas, parking and site security/screening during project
construction.
10. Prior to installation of landscaping, the Applicant shall submit photos and
specifications of all trees to be installed on the project site to the Planning Division
review and approval. Specifications shall include, at a minimum, the species, box
size (24 inches minimum), brown trunk height (10-foot minimum), and name and
location of the supplier.
11. After Project occupancy, landscaping and hardscape materials must be maintained
as shown on the approved landscape plans.
12. A Resident Storage Plan shall be provided for the Project prior to occupancy.
Storage shall be available at no cost to the residents.
13. Prior to Certificate of Occupancy issuance, public art shall be installed on the
Project site at a value of one-half of one percent (0.5%) of the total valuation of both
buildings. The art shall be installed on the north, east, west and south elevations of
the mixed -use project and on the south elevation of the hotel project in the areas
depicted on the DP No. 2019-32 plans. The selection, design, and installation of the
art shall be subject to review and approval by the Planning and Building Agency,
the Community Development Agency, and the Applicant.
14. Prior to Certificate of Occupancy issuance, a Property Maintenance Agreement
must be recorded against the property. The agreement will be subject to review
and applicability by the Planning and Building Agency, the Community
Development Agency, the Public Works Agency, and the City Attorney to ensure
that the property and all improvements located thereupon are properly
maintained, Developer (and the owner of the property upon which the authorized
use and/or authorized improvements are located if different from the Applicant)
Resolution No. 2020-089
Page 9 of 11
shall execute a Maintenance Agreement with the City of Santa Ana which shall
be recorded against the property and which shall be in a form reasonably
satisfactory to the City Attorney. The Maintenance Agreement shall contain
covenants, conditions and restrictions relating to the following:
(a) Compliance with operational conditions applicable during any period(s) of
construction or major repair (e.g., proper screening and securing of the
construction site; implementation of proper erosion control, dust control and
noise mitigation measure; adherence to approved project phasing etc.);
(b) Compliance with ongoing operational conditions, requirements and
restrictions, as applicable (including but not limited to hours of operation, security
requirements, the proper storage and disposal of trash and debris, enforcement
of the parking management plan, and/or restrictions on certain uses,
(c) Ongoing compliance with approved design and construction parameters,
signage parameters and restrictions as well as landscape designs, as applicable;
(d) Ongoing maintenance, repair and upkeep of the property and all
improvements located thereupon (including but not limited to controls on the
proliferation of trash and debris about the property; the proper and timely removal
of graffiti; the timely maintenance, repair and upkeep of damaged, vandalized
and/or weathered buildings, structures and/or improvements; the timely
maintenance, repair and upkeep of exterior paint, parking striping, lighting and
irrigation fixtures, walls and fencing, publicly accessible bathrooms and bathroom
fixtures, landscaping and related landscape improvements and the like, as
applicable);
(e) If Developer and the owner of the property are different (e.g., if the Applicant
is a tenant or licensee of the property or any portion thereof), both the Applicant
and the owner of the property shall be signatories to the Maintenance Agreement
and both shall be jointly and severally liable for compliance with its terms.
(f) The Maintenance Agreement shall further provide that any party responsible
for complying with its terms shall not assign its ownership interest in the property
or any interest in any lease, sublease, license or sublicense, unless the
prospective assignee agrees in writing to assume all of the duties, obligations
and responsibilities set forth under the Maintenance Agreement.
(g) The Maintenance Agreement shall contain provisions relating to the
enforcement of its conditions by the City and shall also contain provisions
authorizing the City to recover costs and expenses which the City may incur
arising out of any enforcement and/or remediation efforts which the City may
undertake in order to cure any deficiency in maintenance, repair or upkeep or to
enforce any restrictions or conditions upon the use of the property. The
maintenance agreement shall further provide that any unreimbursed costs and/or
Resolution No. 2020-089
Page 10 of 11
expenses incurred by the City to cure a deficiency in maintenance or to enforce
use restrictions shall become a lien upon the property in an amount equivalent to
the actual costs and/or expense incurred by the City.
(h) The execution and recordation of the Maintenance, Agreement shall be a
condition precedent to the issuance of final approval for any construction permit
related to this entitlement.
Resolution No. 2020-089
Page 11 of 11