PC 9.a. Denial Courtland and Grand Avenue Project•' + .l.11
FROM: TERESA McCLISH, COMMUNITY DEVELOPMENT DIRECTOR
BY: MATTHEW ! •ASSOCIATE
SUBJECT: CONSIDERATION OF A RESOLUTION RECOMMENDING THE CITY
COUNCIL DENY GENERAL PLAN AMENDMENT 14-002; SPECIFIC
PLAN AMENDMENT 14-001, CONDITIONAL USE PERMIT 14-009,
VESTING TENTATIVE TRACT MAP 14-001, AND DEVELOPMENT
AGREEMENT 15-002; SUBDIVISION OF TWO (2) COMMERCIAL
PARCELS INTO THIRTY-EIGHT (38) RESIDENTIAL LOTS, ONE (1)
COMMON AREA LOT, AND THREE (3) COMMERCIAL LOTS;
LOCATION — SOUTHWEST CORNER OF EAST GRAND AVENUE AND
SOUTH COURTLAND STREET; APPLICANT — NKT COMMERCIAL;
REPRESENTATIVE — RRM DESIGN GROUP
RECOMMENDATION:
It is recommended that the Planning Commission adopt a resolution recommending the
City Council deny General Plan Amendment 14-002, Specific Plan Amendment 14-001,
Conditional Use Permit 14-009, and Vesting Tentative Tract Map 14-001 and
Development Agreement 15-002.
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:
The proposed project would cause a relatively neutral shift in property taxes for the site,
as a majority of the site would be converted to single-family residential. Although
commercial property taxes are typically higher than residential, the number of single-
family residences would be anticipated to offset any reduction. Sales tax revenue for the
proposed commercial development is anticipated to be approximately $25,000 annually,
based upon information provided by the City's economic development consultant.
Denial of the project would result in the sales tax revenue being unrealized.
BACKGROUND:
On August 18, 2015, the Planning Commission considered the proposed project for the
subdivision of two (2) commercial parcels into thirty-eight (38) residential lots, one (1)
common area lot, and three (3) commercial lots. At that time, the Planning Commission
took tentative action to recommend denial of the project to the City Council. Due to a
resolution recommending denial not being present at the time of the Planning
Commission's determination, a new Resolution recommending denial with appropriate
PLANNING COMMISSION
CONSIDERATION OF A RESOLUTION RECOMMENDING THE CITY COUNCIL
DiAMENDMENT
14-
001, AND DEVELOPMENTAGREEMENT ct
SEPTEMBER 1, 2015
PAGE 2
findings for denial is required to be adopted prior to the Council's consideration of the
project.
ANALYSIS OF ISSUES:
Staff has developed findings for the denial of the proposed project based on issues
identified by the Planning Commission at the August 18, 2015 meeting. Findings
required for approval of the project that could not be made in the affirmative based on
Planning Commission discussion are indicated in bold italics in the attached Resolution.
ALTERNATIVES:
The following alternatives are presented for the Planning Commission's consideration:
• Adopt the attached Resolution recommending the City Council deny General
Plan Amendment 14-002, Specific Plan Amendment 14-001, Conditional Use
Permit 14-009, and Vesting Tentative Tract Map 14-001 and Development
Agreement 15-002;
• Modify and adopt the attached Resolution recommending the City Council deny
General Plan Amendment 14-002, Specific Plan Amendment 14-001, Conditional
Use Permit 14-009, and Vesting Tentative Tract Map 14-001 and Development
Agreement 15-002;
• Do not adopt the attached resolution; or
• Provide direction to staff.
ADVANTAGES:
Adoption of the Resolution would affirm the tentative action taken on August 18, 2015
and allow to the project to proceed for consideration by the City Council with findings for
denial agreed upon by the Planning Commission.
DISADVANTAGES:
There is no disadvantage identified that would result from the Planning Commission's
recommendation being made to the City Council.
ENVIRONMENTAL REVIEW:
In accordance with the California Environmental Quality Act (CEQA), the State CEQA
Guidelines, and the Arroyo Grande Procedures for the Implementation of CEQA, staff
has conducted an Initial Study and prepared a Draft Mitigated Negative Declaration
(MND) for the project.
PUBLIC NOTIFICATION AND COMMENTS:
The agenda and staff report were posted at City Hall and on the City's website on
August 28, 2015.
WHEREAS, the project site is located in the area of the Berry Gardens Specific Plan and
is identified as Subarea 3; and
WHEREAS, the applicant has filed Specific Plan Amendment 14-001 to amend the Berry
Gardens Specific Plan as it relates to the development of Subarea 3; and
WHEREAS, the applicant has filed General Plan Amendment 14-002 to amend the
General Plan Land Use Element as it relates to development in the area of the
intersection of East Grand Avenue and Courtland Street to include single-family detached
housing at multi -family densities as part of mixed-use projects; and
WHEREAS, the applicant has filed Vesting Tentative Tract Map 14-001 to subdivide
Subarea 3 into forty-two (42) parcels, including three (3) commercial parcels, thirty-eight
(38) residential parcels, and one (1) common area parcel.; and
WHEREAS, the applicant has filed Conditional Use Permit 14-009 to develop three (3)
commercial buildings of 3,600-6,500 square -feet, four (4) second -floor condominiums of
approximately 1,000 square feet -each in a vertical mixed-use arrangement; and
WHEREAS, the applicant and the City entered into a Memorandum of Understanding on
February 10, 2015 for the negotiation of a development agreement for the subject
property; and
WHEREAS, the applicant has filed Development Agreement 15-002 in accordance with
the executed Memorandum of Understanding; and
WHEREAS, the Planning Commission has reviewed this project in compliance with the
California Environmental Quality Act (CEQA), the State CEQA Guidelines, and the Arroyo
Grande Rules and Procedures for Implementation of CEQA and has reviewed the draft
Mitigated Negative Declaration; and
WHEREAS, the Planning Commission of the City of Arroyo Grande reviewed the project
at a duly noticed public hearing on August 18, 2015 and took tentative action to
recommend the City Council deny the project; and
WHEREAS, the Planning Commission finds, after due study, deliberation and public
hearing, the following circumstances exist:
General Plan Amendment Findings:
The proposed General Plan Amendment is consistent with the goals,
objectives, policies and programs of the General Plan and will not result in
any internal inconsistencies within the plan.
The proposed General Plan Amendment is not consistent with the
goals, objectives, policies, and programs of the General Plan as it
would allow single-family detached housing on a commercial parcel at
a density and design that is incompatible with the nearby residential
neighborhood.
2. The proposed amendment will not adversely affect the public health, safety
and welfare;
The proposed General Plan Amendment would allow single-family
detached housing with a design as to create issues with open space
and support facilities.
3. The potential environmental impacts of the proposed amendment are
insignificant or can be mitigated to an insignificant level, or there are
overriding considerations that outweigh the potential impacts;
The proposed General Plan Amendment and resulting project have been
reviewed in compliance with the California Environmental Quality Act
(CEQA), the State CEQA Guidelines, and the Arroyo Grande Rules and
Procedures for implementation of CEQA and the impacts of the proposed
project have been included in a draft Initial Study and Mitigated Negative
Declaration dated November 10, 2014, which was revised in July 2015, and
have been reduced to an insignificant level.
Specific Plan Amendment Findings:
The proposed Specific Plan Amendment is consistent with the goals,
objectives, policies and programs of the General Plan.
The proposed Specific Plan Amendment would permit single-family
detached housing in a commercial district which is not consistent with
Land Use Element implementation policy LU5-10.1, which calls to
promote development of a high intensity, mixed-use, pedestrian
activity node centered on the Courtland StreetlEast Grand Avenue
intersections as a priority example of revitalization of this corridor
segment known as Gateway.
2. The proposed Specific Plan Amendment will not adversely affect the public
health, safety and welfare or result in an illogical land use pattern;
The proposed Specific Plan Amendment would permit single-family
detached housing between commercial and multi -family residential
development and would result in parking and circulation deficiencies
due to the density of the detached housing style.
3. The proposed Specific Plan Amendment is necessary and desirable in
order to implement the provisions of the General Plan;
The proposed Specific Plan Amendment will not implement the
provisions of the General Plan, including Land Use Element
implementation policy LU5-10.1, which calls to promote development
of a high intensity, mixed-use, pedestrian activity node centered on
the Courtland Street/East Grand Avenue intersections as a priority
example of revitalization of this corridor segment known as Gateway.
4. The development standards contained in the proposed Specific Plan
Amendment will result in a superior development to that which would occur
using standard zoning and development regulations.
The development standards contained in the proposed Specific Plan
Amendment would result in a project lacking sufficient parking for
anticipated demand due to the density of single-family detached
residential development.
The proposed Specific Plan Amendment will not create internal
inconsistencies within the Specific Plan and is consistent with the purpose
and intent of the Specific Plan it is amending.
The proposed Specific Plan Amendment will not create any internal
inconsistencies within the Berry Gardens Specific Plan and is consistent
with the Berry Gardens Specific Plan as it provides for both commercial
and residential development.
Vesting Tentative Tract Map Findings:
1. The proposed tentative tract map is consistent with the goals, objectives,
policies, plans, programs, intent and requirements of the Arroyo Grande
General Plan, as well as any applicable specific plan, and the requirements
of this title.
The proposed Vesting Tentative Tract Map would allow the
subdivision of 4.47 acres into forty-two (42) lots consistent, including
thirty-eight (35) for the development of single-family detached housing
that is inconsistent with the General Plan, including Land Use Element
implementation policy LU5-10.1, which calls to promote development
of a high intensity, mixed-use, pedestrian activity node centered on
the Courtiand Street/East Grand Avenue intersections as a priority
example of revitalization of this corridor segment known as Gateway.
2. The site is physically suitable for the type of development proposed.
The site is 4.47 acres of vacant land adjacent to one of the City's main
commercial corridors and is not physically suitable for the density of
residential development proposed.
3. The site is physically suitable for the proposed density of development.
The site is 4.47 acres of vacant land adjacent to one of the City's main
commercial corridors and is not physically suitable for the design and
density of single-family detached residential development proposed.
4. The design of the tentative tract map or the proposed improvements are not
likely to cause substantial environmental damage or substantially and
avoidably injure fish or wildlife or their habitat.
The design of the tract map is not anticipated to cause substantial
environmental damage due to the implementation of mitigation measures
identified in the draft Initial Study and Mitigated Negative Declaration
prepared for the project and revised in July 2015, in accordance with the
California Environmental Quality Act (CEQA), the State CEQA Guidelines,
and the Arroyo Grande Rules and Regulations for Implementation of CEQA.
5. The design of the subdivision or type of improvements is not likely to cause
serious public health problems.
The design of the subdivision results in a development overly dense
for the subject property as there is insufficient space to provide
facilities to support the development, including resident, guest, and
customer parking.
6. The design of the tentative tract map or the type of improvements will not
conflict with easements acquired by the public -at -large for access through,
or use of, property within the proposed tentative tract map or the alternate
easements for access or for use will be provided, and that these alternative
easements will be substantially equivalent to ones previously acquired by
the public.
There are no easements for the public -at -large currently on the subject
property. Emergency access easements to the multi -family housing
project to the south will be modified and recorded to ensure adequate
access is maintained for emergency response purposes.
The discharge of waste from the proposed subdivision into an existing
community sewer system will not result in violation of existing requirements
as prescribed in Division 7 (commencing with Section 13000) of the
California Water Code.
The proposed development will retain the 95th percentile of water
discharge on site and excess discharge will be directed to an existing
infiltration basin across South Courtland Street. No discharge of waste will
result in a violation identified in Division 7 of the California Water Code.
8. Adequate public services and facilities exist or will be provided as the result
of the proposed tentative tract map to support project development.
There are adequate provisions for public services to serve the project
development and no deficiencies exist.
Conditional Use Permit Findings:
The proposed use is permitted within the subject district pursuant to the
provisions of this section and complies with all the applicable provisions of
this title, the goals, and objectives of the Arroyo Grande General Plan, and
the development policies and standards of the City.
The proposed development for single-family detached housing on the
subject property is inconsistent with the General Plan, including Land
Use Element implementation policy LU5-10.1, which calls to promote
development of a high intensity, mixed-use, pedestrian activity node
centered on the Courtland Street/East Grand Avenue intersections as
a priority example of revitalization of this corridor segment known as
Gateway.
The proposed use would not impair the integrity and character of the district
in which it is to be established or located.
The proposed single-family detached residential development is at too
great a density to include adequate support facilities, which will impair
the integrity and character of the surrounding area by resulting in
increased overflow street parking demand.
3. The site is suitable for the type and intensity of use or development that is
proposed.
The site is 4.47 acres of vacant land adjacent to one of the City's main
commercial corridors and is not physically suitable for the design and
density of residential development proposed.
4. There are adequate provisions for water, sanitation, and public utilities and
services to ensure public health and safety.
The provisions for water, sanitation, and public utilities were examined
during development and revision of the Initial Study and subsequent
Mitigated Negative Declaration and it was determined that adequate public
services will be available for the proposed project and will not result in
substantially adverse impacts.
5. The proposed use will not be detrimental to the public health, safety or
welfare or materially injurious to properties and improvements in the vicinity.
The proposed single-family detached housing is at such high
densities as to create issues with open space and facilities
necessary to support the development, including parking facilities.
Development Agreement Findings:
The development agreement is consistent with the goals, objectives,
policies, general land uses, and programs of the General Plan and any
applicable specific plan.
The proposed Development Agreement would facilitate development
of single-family detached housing in a commercial district which is
not consistent with Land Use Element implementation policy LU5-
10.1, which calls to promote development of a high intensity, mixed-
use, pedestrian activity node centered on the Courtland Street/East
Grand Avenue intersections as a priority example of revitalization of
this corridor segment known as Gateway.
2. The development agreement is compatible with the uses authorized in, and
the regulations prescribed for, the land use district in which the real property
is located;
The proposed Development Agreement would facilitate development
of single-family detached housing in a commercial corridor segment
known as Gateway, which is not consistent with Land Use Element
implementation policy LU5-10.1.
3. The development agreement is in conformity with public convenience,
general welfare, and good land use practice;
The proposed Development Agreement would facilitate development
of single-family detached housing between commercial and multi-
family residential development and would result in parking and
circulation deficiencies due to the density of the detached housing
style, therefore failing to conform to good land use practice.
4. The development agreement will not be detrimental to the health, safety, or
general welfare;
The proposed Development Agreement would facilitate construction
of single-family detached housing is at such high densities as to
create issues with open space and facilities necessary to support the
development, including parking facilities.
5. The development agreement will not, in respect to the subject property or
any other property, adversely affect the orderly development thereof or the
preservation of property values;
The proposed Development Agreement would facilitate development
of single-family detached housing between commercial and multi-
family residential development and without concurrent approval of a
General Plan Amendment and Specific Plan Amendment would result
in parking and circulation deficiencies due to the density of the
detached housing style, therefore failing to result in orderly
development of the property.
Required CEQA Findings:
The City of Arroyo Grande has prepared an Initial Study pursuant to Section 15063
of the Guidelines of the California Environmental Quality Act (CEQA), for General
Plan Amendment 14-002, Specific Plan Amendment 14-001, Vesting Tentative
Tract Map 14-001 and Conditional Use Permit 14-009 and was subsequently
revised to include Development Agreement 15-002.
Based on the Initial Study, a Mitigated Negative Declaration was prepared for
public review. A copy of the Mitigated Negative Declaration and related materials
is located at City Hall in the Community Development Department.
After holding a public hearing pursuant to State and City Codes, and
considering the record as a whole, the Planning Commission recommends
the City Council not take action on the Mitigated Negative Declaration due to
recommendation for the denial of the proposed project studied under the
Initial Study.
NOW, THEREFORE, BE IT RESOLVED that the Planning Commission of the City of
Arroyo Grande hereby recommends the City Council deny: General Plan Amendment 14-
002, deny Specific Plan Amendment 14-001, deny Vesting Tentative Tract Map 14-001,
deny Conditional Use Permit 14-009, and deny Development Agreement 15-002.
On motion by Commissioner , seconded by Commissioner and by the
following roll call vote, to wit:
the foregoing Resolution was adopted this 1 s` day of September, 2015.
• .
ATTEST:
qFAl'kWMt#MONAMI'lill • 0 1 ` •' \
AS TO CONTENT: