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HomeMy WebLinkAboutItem 12b - Multitenant Food Hall at 33-35 W. Huntington Drive DATE: October 15, 2019 TO: Honorable Mayor and City Council FROM: Jason Kruckeberg, Assistant City Manager/Development Services Director By: Tim Schwehr, Senior Management Analyst SUBJECT: ORDINANCE NO. 2364 APPROVING DEVELOPMENT AGREEMENT NO. DA 19-01, WITH A CATEGORICAL EXEMPTION UNDER THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (“CEQA”), PERTAINING TO THE CONVERSION OF 5,849 SQUARE FEET OF AN EXISTING 38,761 SQUARE FOOT, SELF-STORAGE BUILDING INTO A MULTITENANT FOOD HALL WITH A 1,326 SQUARE FOOT INCIDENTAL OUTDOOR DINING AND SEATING AREA AT 33–35 W. HUNTINGTON DRIVE Recommendation: Adopt SUMMARY At its regular meeting on October 1, 2019, the City Council, by a vote of 4-0 with Mayor Verlato recusing herself, adopted Resolution No. 7276 approving a multitenant food hall at 33-35 W. Huntington Drive, and introduced Ordinance No. 2364 approving Development Agreement No. DA 19-01 pertaining to the approved food hall. Attached is a copy of Ordinance No. 2364, Resolution No. 7276, and the October 1, 2019 City Council staff report. RECOMMENDATION It is recommended the City Council adopt Ordinance No. 2364 approving Development Agreement No. DA 19-01, with a categorical exemption under the California Environmental Quality Act (“CEQA”), pertaining to the conversion of 5,849 square feet of an existing 38,761 square foot, self-storage building into a multitenant food hall with a 1,326 square foot incidental outdoor dining and seating area at 33-35 W. Huntington Drive. Ordinance No. 2364 October 15, 2019 Page 2 of 2 Attachment No. 1: Ordinance No. 2364 Attachment No. 2: Resolution No. 7276 Attachment No. 3: October 1, 2019 Staff Report EXHIBIT A TO DEVELOPMENT AGREEMENT 19-01 Property Legal Description PARCEL 1: THAT PORTION OF LOT 3 OF TRACT NO. 949, IN THE CITY OF ARCADIA, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 17 PAGE 13 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED AS FOLLOWS: BEGINNING AT A POINT IN THE SOUTHERLY LINE OF SAID LOT 3, DISTANT 402.20 FEET WEST, FROM THE SOUTHEAST CORNER OF SAID LOT 3; THENCE NORTH PARALLEL WITH THE EASTERLY LINE OF SAID LOT 3, A DISTANCE OF 305 FEET TO THE MOST SOUTHERLY LINE OF LOT 9 OF TRACT NO. L 3768, AS PER MAP RECORDED IN BOOK 273 PAGE 37 OF MAPS, IN SAID RECORDERS OFFICE; THENCE WEST ALONG SAID MOST SOUTHERLY LINE TO THE SOUTHEASTERLY LINE OF MORLAN PLACE (60.00 FEET) AS SHOWN AND DEDICATED ON SAID TRACT NO. 13768; THENCE SOUTHWESTERLY ALONG SAID MORLAN PLACE TO THE NORTHEAST CORNER OF THE LAND AS DESCRIBED IN THE DEED TO F.W. JONAS AND ADELE S. JONAS, RECORDED SEPTEMBER 21,1956 AS INSTRUMENT NO. 1442, OF OFFICIAL RECORDS OF SAID COUNTY; THENCE SOUTHERLY ALONG THE EASTERLY LINE OF SAID DEED TO F.W. JONAS AND ADELE S. JONAS AND ITS PRO LONGATION THEREOF TO THE SOUTHERLY LINE OF SAID LOT 3; THENCE EAST ALONG SAID SOUTHERLY LINE TO THE POINT OF BEGINNING. EXCEPT THEREFROM THE INTEREST OF THE CITY OF ARCADIA, IN THE SOUTHERLY 20.00 FEET OF SAID LAND WHICH WAS CONVEYED TO SAID CITY OF ROAD PURPOSES BY DEED RECORDED IN BOOK 24642 PAGE 220 OF OFFICIAL RECORDS OF SAID COUNTY. PARCEL 2: THAT PORTION OF LOT 9 OF TRACT NO. 13768, IN THE CITY OF ARCADIA, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 273 PAGES 37 AND 38 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, AS BOUNDED BY THE FOLLOWING DESCRIBED LINES: BEGINNING AT THE MOST WESTERLY CORNER OF LOT 9 OF SAID TRACT NO. 13768; THENCE EAST ALONG THE SOUTH LINE OF SAID LOT 9, A DISTANCE OF 48.38 FEET MORE OR LESS, TO THE WEST LINE OF THE EAST 402.2 FEET OF LOT 3 OF TRACT NO. 949, IN THE CITY OF ARCADIA, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 17 PAGE 13 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER; THENCE NORTH ALONG THE NORTH PROLONGATION OF SAID WEST LINE A DISTANCE 20.21 FEET TO THE SOUTHERLY LINE OF MORLAN PLACE, 60 FEET WIDE, AS SHOWN ON SAID TRACT NO. 13768; THENCE SOUTHERLY AND WESTERLY ALONG THE SOUTHERLY LINE OF SAID MORLAN PLACE A DISTANCE OF 52.47 FEET TO THE POINT OF BEGINNING. EXHIBIT “B” TO DEVELOPMENT AGREEMENT 19-01 (Project Description) [To be attached following this cover page] What is ‘ARCADIA COMMONS’? Arcadia Commons will become one of the most active food halls in San Gabriel Valley. It will be an energetic, dynamic space packed with close to 7-10 different boutique food vendors on the ground and potentially roof floors. The gastronomic choices will be entirely focused on local, creative options and range in variety from around the world. It will draw inspiration from successful food halls/ social spaces around the US, from Los Angeles’ own Grand Central Market, Anaheim’s Meat Packing District, San Diego’s Quarteryard, Philadelphia’s Reading Terminal Market, and Brooklyn’s Berg’n and DeKalb Market Hall. There is also the possibility of adding a rooftop gastropub/ small plates establishment (pending structural investigation) whose views of the San Gabriel mountains and Arcadia Park would make it an instant destination spot in Arcadia. The second, third, and fourth floors currently occupied by storage will be remain and the basement will be converted into additional self-storage. The ultimate goal of the project is not only to make a great eating destination but also a place for community to socialize and bond amongst friends and family. Arcadia Commons will be a festive locale for food, drink, and good cheer. The possibility of Arcadia Commons becoming a social landmark is what will allow the project to truly contribute to the City’s culture and revitalize the historic, pedestrian-friendly district that is Downtown Arcadia. Project examples, top to bottom: Grand Central Market, Meat Packing District, Grand Central Market exterior Project examples, top to bottom: Beer garden – Astoria, NY, Reading Terminal Market – Philadelphia, PA, DeKalb Market Hall, Brooklyn EXHIBIT “C” TO DEVELOPMENT AGREEMENT 19-01 (Existing Development Approvals) [To be attached following this cover page] $'237(' V$SULO$9HUODWR V*HQH*ODVFR V*HQH*ODVFR EXHIBIT “D” TO DEVELOPMENT AGREEMENT 19-01 (Existing Land Use Regulations) [To be attached following this cover page] Downtown and Mixed Use Zones 1 December 2016 Downtown Zones Downtown Mixed Use, Mixed Use, Central Business District, and Commercial-Manufacturing Zones Subsections: 9102.05.010 Purpose and Intent 9102.05.020 Land Use Regulations and Allowable Uses in Downtown Zones 9102.05.030 Development Standards in Downtown Zones 9102.05.040 Additional Development Standards in Downtown Zones 9102.05.050 Mixed-Use Lot Consolidation Incentive Program 9102.05.060 Site Plan and Design Review 9102.05.070 Other Applicable Regulations 9102.05.010 Purposeand Intent The purposes of the Downtown zones are to: 1. Promote mixed use residential, retail, and office development at locations that will support transit use; and 2. Promote commercial and mixed-use development that will foster and enhance surrounding residential neighborhoods by improving access to a greater range of facilities and services. A. CBD Commercial Business District Zone. The Commercial Business District zone is intended to promote a strong pedestrian- oriented environment and to serve community and regional needs for retail and service uses, professional offices, restaurants, public uses, and other similar and compatible uses. Residential uses are permitted above ground floor commercial or adjacent to a commercial development. Both uses must be located on the same lot or on the same project site. This zone implements the General Plan Commercialdesignation. B. MU Mixed Use Zone.The Mixed Use zone is intended to provide opportunities for commercial and residential mixed-use development that takes advantage of easy access to transit and proximity to employment centers, and encourages pedestrian activity. A wide range of integrated commercial and residential uses are appropriate. Residential uses are permitted above ground floor commercial or adjacent to a commercial development. Both uses must be located on the same lot or on the same project site, and exclusive residential structures are not allowed. This zone implements the General Plan Mixed Use designation. C. DMU Downtown Mixed Use Zone.The Downtown Mixed Use zone is intended to provide opportunities for complementary service and retail commercial businesses, professional offices, and residential uses located within the City’s downtown. A wide range of commercial and residential uses are appropriate, oriented towards pedestrians to encourage shared use of parking, public open space, and interaction of uses within the zone. Residential uses are permitted above ground floor commercial or adjacent to a commercial development. Both uses must be located on the same lot or on the same project site, and exclusive residential structures are not allowed. This zone implementsthe GeneralPlan DowntownMixed Use designation. D. C-M Commercial Manufacturing Zone.The C-M zone is intended to provide areas for a complementary mix of light manufacturing businesses, minor vehicle service and repairs, and support office and retail uses. A wide range of small-scale industrial and quasi- industrial uses with minimal impact to surrounding uses are appropriate. Retail uses are limited to business services, food service, and convenience goods for those who work in the area. Residential uses are not permitted in this zone. This zone implements the General Plan Commercial/Light Industrial designation. 9102.05.020 Land Use Regulationsand AllowableUses in DowntownZones A. Allowed Uses. Table 2-10 (Allowed Uses and Permit Requirements for Downtown Zones) indicates the land use regulations for the Downtown zones and any permits required to establish the use, pursuant to Division 7 (Permit Processing Procedures). The Downtown and Mixed Use Zones 2 December 2016 regulations for each zone are established by letter designations as follows: “P” represents permitted (allowed) uses. “A” represents accessory uses. “M” designates uses that require the approval of a Minor Use Permit subject to requirements of Section 9107.09 (Conditional Use Permits and Minor Use Permits) of this Development Code. “C” designates uses that require the approval of a Conditional Use Permit subject to requirements of Section 9107.09 09 (Conditional Use Permits and Minor Use Permits) of this Development Code. “UF” designates uses that are permitted on upper floors only, and are not allowed on the ground floor of a structure. “--” designates uses that are not permitted. B. Director Determination.Land uses are defined in Division 9 (Definitions). In cases where a specific land use or activity is not defined, the Director shall assign the land use or activity to a classification substantially similar in character. Land uses not listed in the table or not found to be substantially similar to the land uses below are prohibited. C. Specific Use Regulations. Where the last column in Table 2-10 (Allowed Uses and Permit Requirements for Downtown Zones) includes a Section, Subsection, or Division number, the regulations in the referenced Section, Subsection, or Division shall apply to the use. Table 2-10 AllowedUses and Permit Requirementsfor Downtown Zones P A C M -- (UF) Permitted by Right Permitted as an Accessory Use Conditional Use Permit Minor Use Permit Not Allowed Upper Floor Permitted, Not Allowed on Ground Floor Land Use CBD MU DMU CM Specific Use Regulations Business, Financial, and Professional Automated Teller Machines (ATMs) P P P P Check Cashing and/or Payday Loans -- -- -- - Financial Institutions and Related Services M M M - Government Facilities C C C C Offices, Business and Professional P (UF) P (UF) P P Eating and Drinking Establishments Accessory Food Service A A A A Alcohol Sales (On-Sale, Accessory Only) M M M M Bars, Lounges, Nightclubs, and Taverns C C C C Outdoor Dining (Incidental and on Public Property) – 12 seats or fewer PPPP See Subsections 9104.02.230 (Outdoor Dining Uses on Public Property) and 9104.02.240 (Outdoor Dining – Incidental) Outdoor Dining (Incidental and on Public Property) – more than 12 seats MMMM See Subsections 9104.02.230 (Outdoor Dining Uses on Public Property) and 9104.02.240 (Outdoor Dining – Incidental) Restaurant – Small (with no Alcohol Sales) P P P P Restaurant – Large (with no Alcohol Sales) P P P P Restaurant – Small or Large With late hours – open between midnight and 6:00 A.M.) MCMCSee Subsection 9104.02.150 (Extended Hours Uses) Restaurant – Small or Large Serving Alcohol, within 300 ft of residential zone M M M C See Subsection 9104.02.040 Downtown and Mixed Use Zones 3 December 2016 Restaurant – Small or Large Serving Alcohol, not within 300 ft of residential zone PMPC(Alcoholic Beverage Sales) Table 2-10 Allowed Uses and Permit Requirements for Downtown Zones P A C M -- (UF) Permitted by Right Permitted as an Accessory Use Conditional Use Permit Minor Use Permit Not Allowed Upper Floor Permitted, Not Allowed on Ground Floor Land Use CBD MU DMU CM Specific Use Regulations Education Schools, Public and Private -- -- -- -- Trade and Vocational Schools C (UF) -- C (UF) C Tutoring and Education Centers C (UF) -- -- C (UF) Industry, Manufacturing and Processing, and Warehousing Uses Brewery and Alcohol Production, with or without onsite tasting and associated retail commercial use M--MC Data Centers -- -- -- C Food Processing -- -- -- C Fulfillment Centers -- -- -- C Light Industrial -- -- -- M Heavy Industrial (under 40,000 square feet) -- -- -- P Heavy Industrial (40,000 square feet and over) -- -- -- C Recycling facilities Heavy processing Large collection -- -- -- C Light processing -- -- -- -- Reverse Vending Machine(s) -- -- -- P Small collection -- -- C P Research and Development -- -- C P Storage – Accessory A A A A Storage – Personal -- -- -- M Wholesaling -- -- -- C Medical-Related and Care Uses Day Care, General -- -- -- C Hospitals and Medical Clinics -- -- -- C Medical and Dental Offices P (UF) P (UF) P (UF) P (UF) Recreation and Entertainment Arcade (Electronic Game Center) M M M C Commercial Recreation C C C C Karaoke and/or sing-along uses M M M C See Subsection 9104.02.190 (Karaoke and/or Sing-Along Uses) Downtown and Mixed Use Zones 4 December 2016 Table 2-10 Allowed Uses and Permit Requirements for Downtown Zones P A C M -- (UF) Permitted by Right Permitted as an Accessory Use Conditional Use Permit Minor Use Permit Not Allowed Upper Floor Permitted, Not Allowed on Ground Floor Land Use CBD MU DMU CM Specific Use Regulations Health/Fitness Facilities, Small M M M M Health/Fitness Facilities, Large M (UF) M (UF) CUP C Indoor Entertainment C C C M Studios – Art and Music M M M P Residential Uses Live/Work Unit -- M (UF) M (UF) -- See Subsection 9104.02.210 (Live/Work Units) Multifamily Dwelling M M M --Permittedonly in conjunctionwith a commercialuse. Residential uses are permitted above ground floor commercial or adjacent to a commercial development. Both uses must be located on the same lot or on the same project site. See Section 9102.05.010 Supportive Housing – Housing Type M (UF) M (UF) M (UF) -- Transitional Housing – Housing Type M (UF) M (UF) M (UF) -- Retail Uses Alcohol Beverage Sales Alcohol Sales (off-sale) M M M C See Subsection 9104.02.040 (Alcoholic Beverage Sales)Alcohol Sales (off-sale, accessory only) M M M M Building Material Sales and Services -- -- -- -- Pawn Shop -- -- -- -- Plant Nursery -- -- -- -- Pet Stores, without grooming P P P -- Pet Stores, inclusive of grooming services M M M P Recreational Equipment Rentals P P P P Retail Sales P P P P Retail Carts and Kiosks – Indoor P P P P Retail Carts and Kiosks – Outdoor M M M M See Subsection 9104.02.110 (Displays and Retail Activities – Outdoor) Secondhand Stores -- -- -- M Swap Meets -- -- -- -- Vehicle Rentals -- -- -- P Vehicle Sales – New and/or Used C -- -- C At least 50%of the vehicles sold or leased from the applicable site during each calendar year shall be new automobiles. Service Uses Animal Boarding/Kennels -- -- -- C Animal Grooming M M M P Downtown and Mixed Use Zones 5 December 2016 Bail Bond Services -- -- -- -- Funeral Homes and Mortuaries -- -- -- -- Downtown and Mixed Use Zones 6 December 2016 Table 2-10 Allowed Uses and Permit Requirements for Downtown Zones P A C M -- (UF) Permitted by Right Permitted as an Accessory Use Conditional Use Permit Minor Use Permit Not Allowed Upper Floor Permitted, Not Allowed on Ground Floor Land Use CBD MU DMU CM Specific Use Regulations Hotels and Motels C C C C Maintenance and Repair Services, Large Appliance -- -- -- P Maintenance and Repair Services, Small Appliance P P P P Personal Services, General P P P P Personal Services, Restricted -- -- -- C Postal Services P P P P Printing and Duplicating Services P P P P Veterinary Services -- -- -- C Vehicle Repair and Services Service/Fueling Station C -- -- -- Vehicle Washing/Detailing A -- -- C Vehicle Repair, Major -- -- -- M Vehicle Repair, Minor A -- -- P Transportation, Communication, and Infrastructure Uses Antennas and Wireless Communication Facilities - Co-location PPPPException: All facilities are permitted on City-owned properties and public rights-of-way. New standalone facilities are not permitted in Architectural Design (D) overlay zones. See Subsection 9104.02.050 (Antennas and Wireless Communication Facilities) Antennas and Wireless Communication Facilities – Panel PPPP Antennas and Wireless Communication Facilities - Standalone Facility -- -- -- C Car Sharing P P P P Car sharing parking spaces may not occupy any space required for another use. Off-Street Parking Facilities (not associated with a primary use)CCCC Recharging Stations P P P P Utility Structures and Service Facilities P P P P Subject to Site Plan and Design Review pursuant to Section 9107.19 (Site Plan and Design Review). Other Uses Assembly/Meeting Facilities, Public or Private -- -- -- M Donation Box – Outdoor -- -- -- M Extended Hours Use M C M C See Subsection 9104.02.150 (Extended Hours Uses) Places of Religious Assembly -- -- -- M Drive-Through or Drive-Up Facilities -- -- -- C See Subsection 9104.02.130 (Drive- through and Drive-up Facilities) Downtown and Mixed Use Zones 7 December 2016 Table 2-10 Allowed Uses and Permit Requirements for Downtown Zones P A C M -- (UF) Permitted by Right Permitted as an Accessory Use Conditional Use Permit Minor Use Permit Not Allowed Upper Floor Permitted, Not Allowed on Ground Floor Land Use CBD MU DMU CM Specific Use Regulations Reverse Vending Machines – Consumer Goods P P P P Allowed indoors only Vending Machines P P P P Allowed indoors only Urban Agriculture A A A A Downtown and Mixed Use Zones 8 December 2016 9102.05.030 DevelopmentStandardsin DowntownZones New land uses and structures, and alterations to existing land uses and structures, shall be designed, constructed, and/or established in compliance with the requirements in Table 2-10 (Allowed Uses and Permit Requirements for Downtown Zones) and Table 2-11 (Development Standards for Downtown Zones) and the development standards in Division 3 (Regulations Applicable to All Zones – Site Planning and General Development Standards). Additional regulations are denoted in the right- hand column of Table 2-11 (Development Standards for Downtown Zones); section and subsection numbers in this column refer to other sections and subsections of this Code. Table 2-11 Development Standards for Downtown Zones Development Feature CBD MU DMU CM Additional Requirements Lot Standards Minimum Lot Area 5,000 sf 5,000 sf 10,000 sf 5,000 sf Structure Form and Location Standards Maximum Residential Density 80 units/acre 30 units/acre 80 units/acre Residential not allowed Maximum FAR (1)1.0 1.0 1.0 0.5 Minimum Storefront Width 25 ft N/A N/A N/A Minimum Setback Front or adjacent to a street 0 ft (10 ft maximum) 0 ft (10 ft maximum) 0 ft (10 ft maximum)10 ft Side (Interior) Abutting nonresidential or mixed-use zone 0 ft 0 ft 0 ft 0 ft Abutting residential zone 10 ft 10 ft 10 ft 10 ft Side (Street side)0 ft (10 ft maximum) 0 ft (10 ft maximum) 0 ft (10 ft maximum)5 ft Rear Abutting Nonresidential or Downtown zone 0 ft 0 ft 0 ft 0 ft Abutting residential zone 20 ft 15 ft 15 ft 10 ft Downtown and Mixed Use Zones 9 December 2016 Table 2-11 Development Standards for Downtown Zones Development Feature CBD MU DMU CM Additional Requirements Maximum Height 60 ft 40 ft 60 40 ft Minimum Open Space for Residential Uses 100 sf per unit 100 sf per unit 100 sf per unit N/A See Subsection 9102.05.040.D (Open Space Requirements for Residential Uses in CBD, MU, and DMU Zones) Notes: (1) FAR maximum is applicable only to nonresidential component of a development. 9102.05.040 AdditionalDevelopmentStandardsin DowntownZones A. Commercial Uses along Street Frontages.In order to maintain an active pedestrian environment within all Downtown Zones, commercial uses shall be encouraged, but not required along street frontages. Residential may be permitted above ground floor commercial or adjacent to a commercial development, where allowed per Table 2-10 and in compliance with development standards set forth in Table 2-11. B. Setbacks When Abutting a Residential Zone 1. When abutting a residential zone, no portion of any structure shall encroach through a plane projected from an angle of 45 degrees, as measured at the ground level along the residentially zoned abutting property line. 2. Where a property line abuts a dedicated alley which separates the property from abutting residential zoned property, the setback shall be measured from the centerline of the alley, and no portion of any structure shall encroach through a plane projected from an angle of 45 degrees, as measured at the ground level along the centerline of the alley. C. No Parking within Front and/or Street Side Setbacks. No parking shall be allowed within required front and/or street side setbacks, or within any landscaped area not designated as a driveway or vehicle parking area. D. Minimum Ground Floor Height.The minimum ground-floor height for structures with commercial uses on the ground floor shall be not less than 12 feet, six inches. E. Open Space Requirements for Residential Uses in CBD, MU and DMU Zones 1. Type.Open space shall be in the form of private or common open space via balconies, courtyards, at-grade patios (rear and side of the units), rooftop gardens, or terraces. 2. Minimum Dimension. Balconies that are 30 inches or less in width or depth shall not be counted as open space. 3. Encroachment.Balconies that project over a public right-of-way shall be subject to approval by the City Engineer. F. Roof Decks.Roof decks are permitted, subject to Site Plan and Design Review, in the MU and DMU zones provided that roof decks meet the following development standards: 1. Location. Roof decks shall be set back five feet from all building lines of the structure. The building line shall be measured from the roof edge of the story directly below the deck. 2. Height Limits. The guardrail and other objects, whether permanent or temporary, which rest upon the roof deck such as patio furniture, landscaping, swimming pool features, and storage, shall be allowed to exceed the maximum height limit specified in Subsection 9102.05.030 (Development Standards in Downtown Zones) by up to five feet. Exterior stairways and other access features such as stairwells or elevators for access to roof decks shall not exceed the residential zoning district’s height limit by more than 10 feet and shall be architecturally integrated into the design of the structure. Downtown and Mixed Use Zones 11 December 2016 Table 3-3 Off-Street Parking Requirements: Residential Uses Land Use Minimum Parking Spaces Required Single-Family Dwellings (Attached and Detached) and Two-Family Dwellings x 2 spaces per dwelling unit in a garage for units less than 5,000 square feet in size with up to 4 bedrooms x 3 spaces per dwelling unit in a garage for units 5,001 square feet or more in size and/or with 5 or more bedrooms (1) Accessory Dwelling Unit 1 space, covered or uncovered, per accessory dwelling unit or number of bedrooms in the accessory dwelling unit, whichever is greater (2) Multifamily Dwellings For the R-2, R-3 and R-3-R Zones: x 2 covered spaces per unit, plus guest parking as follows: x 1 guest parking space per each 2 units Mixed Use Units 1.5 spaces per unit and 1 guest space for every 3 units Live/Work Units 1 space per unit and 1 space per 1,000 square feet of nonresidential floor area Senior Housing (when restricted to age 62 and older) For senior affordable apartment housing: 1 space per unit, and 1 guest space for every 4 units for assisted living facilities: 1.5 spaces per unit For senior market rate housing: 2 spaces per unit Notes: (1) A tandem parking space may be allowed to satisfy the third required, or any non-required, parking space, subject to Design Review approval. (2) Parking standards shall not be imposed on an accessory dwelling unit in any of the following circumstances: a. The accessory dwelling unit is located within one-half mile of public transit b. The accessory dwelling unit is located within an architecturally and historically significant historic district c. The accessory dwelling unit is part of the existing primary residence or an existing accessory structure d. When on-street parking permits are required but not offered to the occupant of the accessory dwelling unit e. When there is a car sharing vehicle located within one block of the accessory dwelling unit 2. Residential Use: When Required Covered or Garage Parking Cannot Be Provided. Apart from the requirements for parking in a garage contained in Table 3-3 (Off-Street Parking Requirements: Residential Uses) for residential uses, wherever required covered or garage parking cannot be provided due to physical limitations on a property, an alternative parking arrangement for the remaining required parking can be arranged by the approval of an Administrative Modification subject to the requirements of Section 9107.05 (Administrative Modifications). D. Parking Location 1. Parking spaces shall be designed, constructed, and maintained in a manner that does not preclude direct and free access to stairways, walkways, elevators, any pedestrian way, and fire safety equipment. 2. Vehicle parking (and access thereto) shall be provided on a permanently paved surface. 3. When required off-street parking spaces are provided on a separate lot from the building or land use, Subsection 9103.07.090 (Shared/Joint Use and Off-site Parking) shall apply. 4. If parking spaces are required for an accessory dwelling unit, the spaces may be located on an existing driveway on the same site if it is within the setback areas, including tandem on an existing driveway subject to the approval of a Zoning Clearance for ADUs. The Director may determine that these parking arrangements are prohibited if specific findings are made under Subsection (a) below. a) The property is an R-M zoned property, a hillside property, located within a designated fire zones, or a non-conforming lot, or if the Director determines that such parking arrangements are not feasible based upon specific safety conditions, or that such arrangements are not permitted anywhere in the City. Downtown and Mixed Use Zones 15 December 2016 Table 3-5 Off-Street Parking Requirements: Hospitality and Retail Uses Land Use Minimum Parking Spaces Required Hotels/Motels 1.2 space per guest room Allowed uses within this parking ratio include banquet hall, or assembly places such as conference center are included, spas, and breakfast lounges serving only hotel guests. For restaurants, see Restaurant, within Hotel or Motel Structure Retail Sales - General 1 space per 200 sf Retail Sales - Multi-tenant Shopping Center 1 space per 200 sf or as established by a parking study, see Subsection 9103.07.060.E (Parking Requirement Determined By Parking Study). Regional Shopping Centers 4.75 spaces per 1,000 sf of gross leasable area Swap Meet - Indoor 1 space per 200 sf plus 1 space per vendor Table 3-6 Off-Street Parking Requirements: Office, Entertainment Services, Care Services, Eating and Drinking Establishment, and Vehicle Service Uses Land Use Parking Spaces Required Business, Financial, and Professional Financial Institutions and Related Services 1 space per 250 sf Offices - Professional 1 space per 250 sf Care Uses Emergency Shelters 1 space per 1,000 sf Day Care and/or preschool facilities 1 space per employee plus 1 space per 5 children or 1 space per 10 children if adequate drop-off area provided Residential Care Facility 1 space per 3 licensed beds Eating and Drinking Establishments Bars, Lounges, Nightclubs, and Taverns 1 space per 100 sf Restaurant, Small 1 space per 200 sf Restaurant, Large 1 space per 100 sf Restaurant, within Hotel or Motel Structure 1 space per 200 sf Outdoor Dining – Incidental and Outdoor Dining on Public Property with 12 seats or less or a number of outdoor seats equivalent to twenty-five (25%) percent of the number of indoor seats, whichever is greater No additional parking required Outdoor Dining– Incidental and Outdoor Dining on Public Property with more than 12 seats or a number of outdoor seats equivalent to twenty-five (25%) percent of the number of indoor seats, whichever is greater 1 space per 6 seats Downtown and Mixed Use Zones 16 December 2016 Table 3-6 Off-Street Parking Requirements: Office, Entertainment Services, Care Services, Eating and Drinking Establishment, and Vehicle Service Uses Land Use Parking Spaces Required Entertainment Arcade 1 space per every 2 machines Karaoke 1 space per 100 sf Medical-Related Services Hospitals As determined by Conditional Use Permit, Specific Plan, or other special discretionary process Medical and Dental Offices 6 spaces per 1,000 sf Medical and Dental Offices larger than 10,000 sf 1 space per 200 sf Service and Studio Uses – General Salons – Nail, Hair, etc. 1 space per 200 sf Studio – Art, Music, etc. 1 space per 100 sf of instructional area Vehicle Service Uses Car Sharing 1 space per car available Service/Fueling Station 1 space per 200 sf of office or service area plus 1 space per service bay, plus any required for ancillary use Vehicle Repair 2 spaces per service bay Vehicle Washing/Detailing 1 space per employee on largest shift, plus adequate stacking area as determined by Conditional Use Permit Table 3-7 Off-Street Parking Requirements: Recreation, Education, and Public Assembly Uses Land Use Parking Spaces Required Health Clubs, Fitness Centers, and Indoor Athletic Facilities up to 3,000 sf 1 space per 100 sf in all workout and instructional areas Health Clubs, Fitness Centers, and Indoor Athletic Facilities greater than 3,000 sf of gross floor area Required parking spaces to be determined through an approved Conditional Use Permit Live entertainment theaters - movie or live performance 1 space per 3 fixed seats Public/Private Assembly: places of worship, recreation community structures, private clubs 1 space per 5 fixed seats; 1 space per 35 sf of floor area where no fixed seating; 1 space per 28 linear feet of bench/pew area Trade Schools, Tutorial Schools, Learning Centers, Private Schools Facilities for students under high school age: 1 space per employee, plus 1 space for every 5 students Trade schools/private schools, learning centers for students of high school age or older: 1 space per employee plus 1 space for every 3 students See Subsection 9103.07.060.G (Pick-up and Drop-off Area for Educational Uses) Downtown and Mixed Use Zones 17 December 2016 Table 3-8 Off-Street Parking Requirements: Industry, Manufacturing, and Warehouse Uses Land Use Parking Spaces Required Manufacturing and General Industrial Uses 1 space per 333 sf for projects up to 10,000 sf 1 space per 1,000 sf for projects over 10,000 sf For office area within a manufacturing and industrial building: x 1 space per 500 sf for the first 25% of the office area x 1 space per 250 sf for the office area in excess of the first 25% Warehousing and Fulfillment Centers 1 space per 1,000 sf of warehouse space, plus 1 space per 350 sf of office space D. Parking Reduction Near Light-Rail Station. A 25 percent reduction will be applied to the off-street parking requirement for any commercial use that is located within 1,320 feet (1/4 mile) of a light rail station. E. Parking Requirement Determined by Parking Study. Off-site parking spaces may be relied upon to serve commercial uses, provided a shared-parking study is completed by the applicant/developer and approved by the Director. In the event the proposed land use is for a multi-tenant and/or mixed use development or involves a Specific Plan or Planned Development Permit, the Director may also authorize the preparation of a parking study to determine the required number of parking spaces as an alternative to the number of off-street parking as outlined in Tables 3-5 through 3-8 (Off-Street Parking Requirement) and other applicable provisions of this Section, subject to the following conditions: 1. Off-street parking standards determined by a parking study shall be approved, modified, and/or denied in accordance to the use classification and/or required planning permit for the proposed use. If there are no planning permits required for the proposed use but the Director has determined a parking study is required, then the review and approval of parking study shall be processed pursuant to the requirements of Section 9107.05 (Administrative Modification). 2. The City shall maintain the right to select a consultant, which will be paid for by the applicant. 3. The study shall have been undertaken and completed by a traffic engineer registered by the State of California and shall bear the stamp of that engineer. 4. If the required parking is determined by such a parking study, future modification or improvement to the parking area which impacts the parking space layout, configuration, and/or number of stalls or if any such building or structure in the project is enlarged or increased in capacity by floor area or seats, or at such time that a usage requiring a higher number of parking spaces than an existing or previous use is applied, a new parking study pursuant to this Section shall be provided showing that the existing and/or proposed parking is adequate for such expansion and/or increased usage. Alternative to a revised parking study, at the time of such expansion or increased usage, the applicant may comply with all provisions of this Section in effect at the time of the application. F. Multiple Tenants. Except as otherwise provided in this Section, for each separate use, a site with multi-tenants, or a combination of principal uses in any one facility, the development shall provide the aggregate number of parking spaces required for each separate use unless a parking study has been prepared and approved in compliance with this Chapter or except as provided for in Subsection 9103.07.090 (Shared/Joint Use and Off-site Parking). G. Pick-up and Drop-off Area for Educational Uses. Educational uses that serve children shall be required to submit a parking plan that indicates the location of pick-up and drop-off area (separate from the driveway aisle) subject to the review and approval of the Review Authority pursuant to the requirements of Section 9107.19 (Site Plan and Design Review). H. Parking Location: All Non-Residential Uses EXHIBIT “E” TO DEVELOPMENT AGREEMENT 19-01 (Development Impact Fees) [To be attached following this cover page] ARCADIA DEVELOPMENT IMPACT FEES Park and Recreation Fee: x $2.85 per sq. ft. single family residential x $3.73 per sq. ft. multi-family residential Transportation Impact Fee: x Fee based on unit cost of $1,983 per PM peak hour trip. The number of PM peak hour trips may be determined by the City using the Trip Generation Manual prepared by the Institute of Transportation Engineers, or equivalent, to determine appropriate fee. Some developments may be eligible for trip credits for existing uses on subject development site, subject to Engineering Division’s review. ADOPTED /s/ April A. Verlato /s/ Gene Glasco /s/ Gene Glasco DATE: October 1, 2019 TO: Honorable Mayor and City Council FROM: Jason Kruckeberg, Assistant City Manager/Development Services Director By: Tim Schwehr, Senior Management Analyst SUBJECT: ORDINANCE NO. 2364 APPROVING DEVELOPMENT AGREEMENT NO. DA 19-01, WITH A CATEGORICAL EXEMPTION UNDER THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (“CEQA”), PERTAINING TO THE CONVERSION OF 5,849 SQUARE FEET OF AN EXISTING 38,761 SQUARE FOOT, SELF-STORAGE BUILDING INTO A MULTITENANT FOOD HALL WITH A 1,326 SQUARE FOOT INCIDENTAL OUTDOOR DINING AND SEATING AREA AT 33–35 W. HUNTINGTON DRIVE Recommendation: Introduce RESOLUTION NO. 7276 APPROVING MINOR USE PERMIT NO. MUP 18-06, ARCHITECTURAL DESIGN REVIEW NO. ADR. 18-19, AND PLANNING COMMISSION ADMINISTRATIVE MODIFICATION NO. PC AM 18-02, WITH A CATEGORICAL EXEMPTION UNDER THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (“CEQA”), TO CONVERT 5,849 SQUARE FEET OF AN EXISTING 38,761 SQUARE FOOT, SELF-STORAGE BUILDING INTO A MULTITENANT FOOD HALL WITH A 1,326 SQUARE FOOT INCIDENTAL OUTDOOR DINING AND SEATING AREA AT 33–35 W. HUNTINGTON DRIVE Recommendation: Adopt SUMMARY The Applicant, Mr. Peter Lee of Northeast Development Enterprises II LLC, is requesting approval of a Development Agreement and entitlements for an adaptive reuse project to convert 5,849 square feet of the existing 38,761 square foot self- storage building at 33-35 W. Huntington Drive into a multi-tenant food hall space. Additionally, the applicant proposes a new 1,326 square foot incidental outdoor dining and seating area on the ground floor at the rear of the building. It is recommended that the City Council introduce Ordinance No. 2364 and adopt Resolution No. 7276, and find Ordinance No. 2364 and Resolution No. 7276 33-35 W. Huntington Drive October 1, 2019 Page 2 of 18 that this project is a Categorical Exemption under CEQA, approving the proposed Food Hall project, subject to the conditions listed in Resolution No. 7276. BACKGROUND The Property is a 20,040 square foot lot, zoned Central Business District (“CBD”), and is developed with a 38,761 square foot, four-story building with a basement that was constructed in 1949 - refer to Attachment No. 4 for an Aerial photo with Zoning Information and Photos of the Subject Property. Each floor, including the basement level, contains approximately 7,600 square feet of gross floor area. There is an existing 20-space surface parking lot at the north half of the lot. The building was originally constructed as a commercial storage facility and has been in continuous operation as commercial storage and/or self-storage since that time. The ground floor is split-level, with the lower half fronting on Huntington Drive and consisting of two small commercial office units. The upper half of the first floor is accessed from the rear parking lot and consists of individual self-storage units, the self-storage leasing office, and an empty storage area that was most recently used by Rusnak Mercedes-Benz for parts and inventory storage. The basement level is currently vacant and was most recently occupied by Rusnak for parts storage. Floors two through four consist of individual self- storage units that are leased to the public. A front and rear photo of the building is included below as Figure 1. Figure 1: Subject Property – front and rear The subject property was originally acquired by the Arcadia Redevelopment Agency in 2006 as part of a Land Assembly and Development Agreement. The Redevelopment project involving this property never materialized, and the building has since been managed as a self-storage facility through a contract with Braun Management Company. Following the dissolution of Redevelopment in 2012, a long Range Property Management Plan (“LRPMP”) was adopted by the City in January of 2013. The LRPMP established that the property at 33-35 W. Huntington Drive be used to temporarily store Ordinance No. 2364 and Resolution No. 7276 33-35 W. Huntington Drive October 1, 2019 Page 3 of 18 parts for Rusnak on the basement and first floor until such time that their dealership expansion project was complete. Floors two through four were approved to continue operating as leasable self-storage units until Rusnak vacated the property. The Rusnak development project was completed in July 2017, and their parts storage and inventory operation relocated into their new development in August 2017. The LRPMP specifies that the Successor Agency now move forward with the sale and dissolution of the property at 33-35 W. Huntington Drive. A Request for Proposals (“RFP”) for the Property was issued on June 7, 2017 to local real estate developers, commercial brokers, and self-storage operators. The RFP requested prospective buyers to submit a purchase price offer and a description of how they intended to use the Property. Stated in the RFP was the Agency’s desire to repurpose the ground floor of the building into a more active commercial use consistent with the General Plan designation of the site and the vision for the Downtown Arcadia commercial district. Five proposals were submitted in response to the RFP. Three of the proposals were to continue the existing self-storage use on all levels, while leasing the two small commercial units fronting Huntington Drive as either office or retail. One submittal proposed to acquire and hold the Property with the long-term goal of incorporating it into a future development project with other contiguous parcels on this block. The final proposal was to repurpose the entire ground floor and the basement and/or roof of the building to a multitenant food hall with residential lofts on floors two through four. The proposals were reviewed by staff, and then presented to the Successor Agency in a study session on September 19, 2017. Following discussion, the Agency selected the multitenant food hall as the preferred option, and directed staff to work with the developer to refine the details of their proposal. On February 6, 2018, a revised proposal from the Buyer was presented to the Successor Agency in study session. The revised proposal included using floors two through four as self-storage instead of converting them to residential lofts. Following review of the revised proposal, the Successor Agency directed staff to prepare a Purchase and Sale Agreement. On June 5, 2018, the Successor Agency formally approved the Purchase & Sale Agreement with Northeast Development Enterprises II, LLC. The terms of the Agreement included a purchase price of $3,250,000. Close of escrow conditions included approval of development project entitlements and entering into a Development Agreement to allow a portion of the building to be used as a multitenant food hall, and the continued operation of self-storage use on the basement level and on floors 2 through 4. Following approval of the Purchase and Sale Agreement by the Successor Agency, on June 19, 2018, the Oversight Board to the Successor Agency to the Arcadia Redevelopment Agency reviewed and approved the Purchase and Sale Agreement. The Purchase and Sale Agreement was signed and executed by the City and the Buyer on October 16, 2018. Since that time, the City has agreed to two extensions of the initial Ordinance No. 2364 and Resolution No. 7276 33-35 W. Huntington Drive October 1, 2019 Page 4 of 18 180-day escrow period to allow additional time for the project entitlements. The current close of escrow date is November 13, 2019. On July 9, 2019, the proposed project was presented to the Planning Commission for their comments and recommendations to be forwarded to the City Council. With one commissioner absent, the Planning Commission was unable to reach a majority decision on the recommendation. Two Commissioners were in favor of the project provided the Applicant could identify additional off-site parking leasing options whereas two of the Commissioners were opposed to the project due to parking concerns. In lieu of a recommendation from the Planning Commission, their comments and those of the public from this meeting are included as Attachment No. 9 to this report. Following the July 9, 2019 Planning Commission meeting, the Applicant chose to amend the proposal by eliminating the roof top level of the food hall, shrinking the ground floor food hall area, and increasing the footprint of the self-storage use on the ground floor. As a result, the total food hall area has now been reduced from 10,000 square feet to 5,849 square feet. The 1,326 square foot rear outdoor dining and seating area remains unchanged. Based on the reduced size of the amended proposal, the Applicant is requesting elimination of the originally proposed $200,000 in-lieu parking fee from the Development Agreement. The updated design plans and a letter from Mr. Lee explaining the changes to the project and the rationale for eliminating the $200,000 in-lieu fee are included with Attachment No. 5 to this report. In addition to the above changes, based on questions and concerns raised at the Planning Commission Meeting about how self-storage customer loading and unloading will work once the food hall opens for business, one additional operating condition has been added to the recommended conditions of approval for this project. The new condition states that during the self-storage operating hours, portable signage shall be used to label “self-storage loading/unloading only” for the two closest non-ADA parking spaces to the building. In addition, the width of these two parking spaces shall be increased on the final construction drawings if determined to be feasible by city staff during detailed plan-check review of the project. At all other times, this signage shall be removed to ensure that these spaces are actively used by food hall patrons when the self-storage business is not in operation. This new condition will help to facilitate adequate loading space for self-storage customers once the food hall begins operating, while still maximizing the number of on-site parking spaces available to food hall patrons during peak evening hours. This new condition is included in Resolution No. 7276 and has been added to the parking management plan prepared for this project and included as Attachment No. 6. Ordinance No. 2364 and Resolution No. 7276 33-35 W. Huntington Drive October 1, 2019 Page 5 of 18 ANALYSIS The Applicant proposes to convert 5,849 square feet of the first floor of the Arcadia Self Storage Building into a multitenant food hall. Within this space, the food hall will accommodate up to eight vendors. The specific vendor mix, floor plan layouts, and number of tenants may be adjusted at the food hall operator’s discretion based on market demand, provided the overall use of the building remain a multitenant food hall and does not exceed 5,849 square feet in total area. An additional 1,326 square foot outdoor seating area is also proposed at the rear of the building. Including the outdoor seating area, the proposed food hall floor plan shows eight sets of communal tables and benches for seating plus the possibility for some additional interior stadium seating. Figure 2: Proposed Floor Plan The proposed operating hours of the food hall are 6:00 AM to 12:00 AM (Midnight), Sunday through Thursday, and 6:00 AM to 2:00 AM, Friday & Saturday. Actual operating hours will be based on the specific mix of tenants and customer demand, but will not exceed the approved hours. The basement and floors two through four will continue to be utilized for self-storage along with 1,682 square feet of self-storage on the ground floor. The current self-storage business is open weekdays from 8:00 AM to 5:30 PM and weekends from 9:00 AM to 4:00 PM. The Applicant anticipates maintaining similar operating hours for the self-storage business. In order to approve the proposed adaptive reuse project, a Minor Use Permit, Administrative Modification for reduced on-site parking, Architectural Design Review, and a Development Agreement are required. An analysis of each entitlement is provided below. Ordinance No. 2364 and Resolution No. 7276 33-35 W. Huntington Drive October 1, 2019 Page 6 of 18 Minor Use Permit A multitenant food hall is classified as small restaurant uses with alcoholic beverage service and is allowed by right in the CBD zone on the Subject Property, because it is located greater than 300 feet from the nearest residentially zoned property. A Minor Use Permit is required for the food hall to have late night operating hours on Friday and Saturday nights (later than Midnight) and for the incidental outdoor dining area to have more than 12 seats. The proposed food hall has been reviewed by all City departments and all department comments and conditions have been incorporated into the project and recommended conditions of approval. The proposed food hall will comply with all zoning, building and safety, fire, L.A. County Health Department, Alcoholic Beverage Control Board, and other requirements with the exception of providing the required number of on-site parking spaces for which an Administrative Modification is requested. A traffic study for the proposed project has prepared by Gibson Transportation Consulting, Inc. and is included as Attachment No. 8. The study evaluated the current condition of the surrounding intersections and streets and the estimated traffic impacts from the proposed food hall project. Based on the analysis, it was determined that the proposed project will not have any traffic impacts that warrant mitigation or further study. Consistent with the required findings for approval of a Minor Use Permit, the proposed food hall is consistent with and will help to achieve the goals and policies of the Arcadia General Plan and the Downtown Arcadia Land Use Focus Area. Specifically, these include goals and policies related to: • Encouraging redevelopment of underutilized properties with uses that better complement the vision of the Downtown. • Promoting pedestrian connectivity and a walkability in the area, creating a “park once” system in Downtown Arcadia, and using shared parking public parking lots and other creative approaches to parking. • Adjusting development standards to ensure that parking and zoning regulations enhance redevelopment opportunities and do not preclude project feasibility. With approval of an Administrative Modification for reduced parking and the corresponding parking measures and project conditions of approval, the proposal is compatible with the existing and future land uses in the vicinity, and the project site can accommodate the proposed food hall use with late night operating hours and 60 seat incidental outdoor dining area. Based on the above analysis, the proposal is consistent with the required findings for approval of a Minor Use Permit as outlined in the project findings included as Attachment No. 1 to this report. Ordinance No. 2364 and Resolution No. 7276 33-35 W. Huntington Drive October 1, 2019 Page 7 of 18 Administrative Modification (Parking) There are currently 20 on-site parking spaces and the existing mix of land uses has a parking requirement of 35 spaces based on the current parking standards of the Arcadia Development Code. For parking purposes, the self-storage use is classified as warehouse and/or general industrial, both of which require one parking space per 1,000 square feet of gross floor area for a total of 27 parking spaces required for the self- storage area (including the 25% transit reduction). In practice, the current self-storage use has a much lower parking demand peaking at a maximum usage of 3-to-4 parking spaces based on Gibson Transportation Consulting’s parking study, observations of the site, and the operation of other self-storage facilities operating in the City. Existing Uses Size Code Req’d ¼-mile Metro Station Parking Req’d Storage 36,647 sf 1 per 1,000 sf 25% reduction 27.49 Retail (vacant) 2,114 sf 1 per 200 sf 25% reduction 7.93 Total 35 spaces Table 1: Parking Requirement of Existing Uses Based on the proposed mix of uses, the Arcadia Municipal Code requires 54 parking spaces for the project. The food hall is calculated using a “small restaurant” parking ratio of one space per 200 square feet of gross floor area. The incidental outdoor dining area (outdoor patio) requires one parking space per six seats, and a conservative estimate is that at most the proposed communal bench seating could accommodate 60 patrons. By Code, the commercial uses also receive a 25% reduction in the number of required parking spaces because of the site’s location within ¼-mile of the Arcadia Metro Gold Line Station. Proposed Uses Size Code Req’d ¼-mile Metro Station Parking Req’d Storage 32,912 1 per 1,000 sf 25% reduction 24.68 Food Hall 5,849 sf 1 per 200 sf 25% reduction 21.93 Outdoor Patio 1,326sf (60 seats) 1 per 6 seats 25% reduction 7.50 Total 54 spaces Table 2: Parking Requirement of Proposed Uses To bring the property into compliance with current ADA requirements and solid waste disposal requirements, the Applicant proposes to add a van-accessible ADA parking space and construct a new covered trash and recyclables enclosure at the north-end of the parking lot. As part of this project, the Applicant is also proposing to eliminate the Ordinance No. 2364 and Resolution No. 7276 33-35 W. Huntington Drive October 1, 2019 Page 8 of 18 northern-most vehicular connection between the subject property and the adjacent property to the west (Rod’s Grill) in order to maximize the number of on-site parking spaces. There is an easement across the Rod’s Grill property near the south-end of the parking lot requiring vehicular access to remain open to the subject property, but there is no formal easement recorded on the subject property that requires vehicular access or a vehicular connection to remain open at the north-end of these parking lots. The Applicant’s reconfigured parking lot would increase the number of on-site parking from 20 spaces to 24 spaces. Although the Applicant’s desire to maximize the number of on-site parking spaces is appreciated, there is concern about the impact to vehicular circulation for the adjacent business, Rod’s Grill, of closing off the northern vehicular connection as this would create a dead-end condition in their parking lot with no easy way for vehicles to circulate and exit the site. Therefore, as a condition of approval for this project, it is recommended that the Applicant be required to revise their final on-site parking configuration to maintain the current vehicular connection open with the adjacent Rod’s Grill property and formalize this arrangement by recording an access easement at this location. With this condition, the reconfigured on-site parking lot will be able to accommodate 20 parking spaces. To more accurately determine the actual parking needs of the proposed project, the City contracted with Gibson Transportation Consulting, Inc. to prepare a parking analysis for the project. Gibson surveyed current parking conditions in the vicinity of the project site, estimated anticipated parking needs of the proposed project, and recommended measures to consider implementing to address any anticipated parking shortages on- site. The Gibson analysis and recommendations memorandum is included as Attachment No. 7 to the staff report. Figure 3, included below, is from the original study analyzing a 10,000 square foot food hall and shows the estimated peak hourly parking demand of the originally proposed project. For a 10,000 square foot food hall, the peak daily demand was estimated to be 68 spaces on weekends and 59 spaces on weekdays. During weekday business hours (prior to 5:00 PM) when public parking in the vicinity is most heavily used, parking demand of the originally proposed project was anticipated to peak at 40 spaces. Ordinance No. 2364 and Resolution No. 7276 33-35 W. Huntington Drive October 1, 2019 Page 9 of 18 Figure 3: Estimated peak parking demand of original proposal (10,000 sf plus outdoor patio and self-storage) Figure 4: Estimated peak parking demand of amended proposal (5,849 sf plus outdoor patio and self-storage) Ordinance No. 2364 and Resolution No. 7276 33-35 W. Huntington Drive October 1, 2019 Page 10 of 18 Figure 4, provided above, shows the hourly parking demand estimate for the smaller 5,849 square foot food hall. The peak daily parking demand of the updated project is estimated to be 43 spaces on weekends and 39 spaces on weekdays. For both weekdays and weekends, the peak is projected to occur during evening hours when there is currently ample public parking available in the vicinity of the site as detailed in Attachment No. 6 Arcadia Commons Parking Management Plan and Attachment No. 7 Parking Analysis Summary. During weekday business hours (prior to 5:00 PM) when according to Gibson’s parking survey public parking in the vicinity is at or nearing full occupancy, parking demand is only anticipated to peak at 27 spaces inclusive of all employee and customer parking for both the food hall and self-storage businesses. Therefore, an estimated shortage of only seven spaces is anticipated during the time- period when surrounding public parking is not readily available. To address any potential parking impacts from the proposed food hall, the Arcadia Commons Parking Management Plan has been prepared for this project and is included as Attachment No. 6 to the staff report. The Parking Management Plan includes parking solutions and conditions of approval to be implemented concurrent with the opening of the food hall, including the following items: • The addition of new curbside parking spaces along Santa Clara Street between Santa Anita Avenue and Huntington Drive. Currently this entire section of Santa Clara Street is red curbed with no curbside parking. There is room for the City to add a minimum of 25 to 30 new curbside parking spaces on this street. • The addition of time-limits to the Morlan Place curbside parking spaces (approximately 33 spaces). Currently, the majority of these spaces are utilized on an all-day basis by employees of nearby businesses. Employees who need to continue using public street parking would have the option to use the new curbside parking on Santa Clara Street mentioned above. • A requirement that the food hall operator lease a minimum of 10 off-site private parking spaces at the adjacent Elks Lodge property, or another property within ¼- mile of the subject site, for use by employees and operators of the food hall and self-storage businesses. • A requirement that all food hall and self-storage employees and operators park off-site, and all on-site parking spaces be reserved for customer use only. The food hall and self-storage operators shall direct all staff to park in the off-site private parking lot required to be leased as a project condition of approval. Ordinance No. 2364 and Resolution No. 7276 33-35 W. Huntington Drive October 1, 2019 Page 11 of 18 • A requirement that the food hall operator have private security on-site during peak hours to monitor and assist with parking in the on-site parking lot, direct patrons to public parking in the vicinity of the site, and help to monitor and ensure food hall patrons are not parking on adjacent properties. • A requirement that portable signage be used to identify and restrict use of the two closest non-ADA parking spaces to the building for self-storage customer loading and unloading only during the operating hours of the self-storage business. • A $200,000 in lieu parking fee paid by the Applicant to the City for use towards parking management, parking enforcement, and/or towards construction of a future public parking resource in the Downtown Arcadia commercial district. As part of a larger parking study and management plan for the Downtown Arcadia commercial district, the City has already been considering the addition of new curbside parking spaces onto Santa Clara Street, as well as potential time limits to curbside parking on Morlan Place and other streets in Downtown Arcadia. The City Engineer has reviewed all of the proposed measures in the Parking Management Plan and is in agreement with implementing the proposed items as beneficial not only for this specific project, but for the Downtown Arcadia commercial district as a whole. Where appropriate, these items have also been included as recommended conditions of approval and/or in the Development Agreement for this project. Based on the above analysis, and the parking measures proposed to be implemented as part of the Parking Management Plan, the proposed project is not anticipated to result in any significant parking or other impacts. As such, the project is consistent with the required finding for approval an Administrative Modification for reduced on-site parking as securing an appropriate improvement of this parcel as detailed in the project findings included as Attachment No. 1 to the staff report. Architectural Design Review The Applicant proposes exterior changes to the building consisting of new storefront glass, a new incidental outdoor seating area, and changes to the exterior paint colors of the building. These changes are depicted on the elevations and renderings included as Attachment No. 5. The signage shown on the plans and renderings is only conceptual and is subject to a separate design review application. The Applicant is also considering adding a mural to the east and/or west side of the building, which would also be subject to separate review at a later date. The proposed changes to the building will create a unique and attractive appearance that is consistent with a modern food hall aesthetic, the surrounding area, and the City’s Architectural Design Guidelines. Ordinance No. 2364 and Resolution No. 7276 33-35 W. Huntington Drive October 1, 2019 Page 12 of 18 Figure 5: Proposed Exterior Facade Development Agreement A Development Agreement is included as part of the proposed project to memorialize several items related to the Successor Agency’s sale of the building to the Applicant based in part on the merits of their food hall proposal. Specifically, the Agreement includes the following items: • The Agreement requires that the Applicant open a minimum of 7,000 square feet of the multitenant food hall, inclusive of the outdoor patio seating area, no later than 30 months from close of escrow, or be subject to liquidated damages for each day not in compliance with this requirement. • The Agreement requires that once the food hall is open, the ground floor of the building is to be continually operated as a multitenant food hall for a minimum period of no less than 10 years from the date of initial opening. Continuous operation is defined in the Agreement as open a minimum of four (4) days and thirty (30) hours per week. • The Agreement requires that the City add and maintain time-limits on Morlan Place curbside parking of no greater than four (4) hours on weekdays from 9:00 AM to 6:00 PM. The specific time restrictions on Morlan Place will still be set by the City and may be adjusted in the future at the City’s discretion provided they do not exceed a maximum of four hours. Ordinance No. 2364 and Resolution No. 7276 33-35 W. Huntington Drive October 1, 2019 Page 13 of 18 • The Agreement stipulates that the new property owner will pay a $200,000 in-lieu parking fee to be used by the City for public parking enforcement and management in the area, or towards construction of a future public parking structure in the area. The Applicant was selected by the Successor Agency as the preferred buyer for the property based on the added value of the food hall. The Development Agreement ensures that once the property sale transacts, the new owner will follow through with the food hall proposal within a reasonable time-frame, and that once open the food hall will remain in continuous operation for no less than 10 years. The time restrictions on Morlan Place are requested by the Applicant and included in the Development Agreement to ensure that these spaces are not used by employees, Gold Line riders, or others on an all-day basis during weekday business hours. The $200,000 in-lieu parking impact fee was an amount proposed by the Applicant as part of the initial discussions with the Successor Agency in 2017 as a way to mitigate potential public parking impacts resulting from the food hall project. The in-lieu fee was included as part of the Development Agreement presented to before the Planning Commission on July 9, 2019 and currently remains in the draft Development Agreement included as Attachment No. 2. However, as noted earlier the Applicant is now requesting that the in-lieu fee be eliminated from the Development Agreement based on the reduced size of the food hall. If the City Council is of the opinion that the other measures in the Parking Management Plan and conditions of approval are sufficient, then removing the in-lieu fee from the Development Agreement would be an appropriate action. FINDINGS As detailed in the Project Findings included as Attachment No. 1 to this report, with inclusion of the conditions of approval and other measures in the Arcadia Commons Parking Management Plan, the proposed food hall is consistent with the Arcadia General Plan, Development Code, and Design Guidelines. With approval of an Administrative Modification for reduced parking and the corresponding parking measures and project conditions of project approval, the proposal is compatible with the existing and future land uses in the vicinity, and the project site can accommodate the proposed food hall use. Based on the above analysis, the proposal is consistent with the required findings for approval of a Minor Use Permit, Administrative Modification, Architectural Design Review, and Development Agreement. Ordinance No. 2364 and Resolution No. 7276 33-35 W. Huntington Drive October 1, 2019 Page 14 of 18 ENVIRONMENTAL ANALYSIS If it is determined that the project would not result in any significant traffic, noise, air quality, or water quality effects, and not involving the use of significant amounts of hazardous substances where all necessary public services and facilities are available and the surrounding area is not environmentally sensitive, then this project qualifies as a Class 3 Categorical Exemption as a Conversion of Small Structure(s) per the provisions of the California Environmental Quality Act (“CEQA”) pursuant to Section 15303 of the CEQA Guidelines. Refer to Attachment No. 11 for the Preliminary Exemption Assessment. PUBLIC COMMENTS/NOTICE In response to the Planning Commission public notice, the City received a public records request for additional information on the project from Christopher Sutton, attorney for Manny Romero, the owner of Rod’s Grill at 41 W. Huntington Drive. As noted in the Background section of this report and in the minutes of the July 9, 2019 Planning Commission Meeting, there were several speakers at the Planning Commission meeting that voiced comments of concern or opposition to this project including by Mr. Sutton and Mr. Romero. These comments and the meeting minutes are included as Attachment No. 9. Also included with Attachment No. 9 are comments on this project submitted by Planning Commissioner Wilander who was absent from the July 9, 2019 Meeting. Following the July 9, 2019 Planning Commission Meeting, one additional public comment was submitted by a Mr. Johnny Tseng in support of the food hall project and is included as Attachment No. 13 to this report. Public hearing notices for this item were published in the Arcadia Weekly and mailed to the owners of those properties that are located within 300 feet of the subject property on September 19, 2019. In response to this notice, one public comment was submitted by Mr. Christopher Sutton on behalf of his client Manny Romero opposing the project, and is included with Attachment No. 13 to this report. Any additional public comments received in response to the September 19, 2019 notice will be forwarded to the City Council and entered into the public record at the October 1, 2019 Meeting. RECOMMENDATION It is recommended that the City Council adopt Resolution No. 7276 approving Minor Use Permit No. MUP 18-06, Planning Commission Administrative Modification No. PC AM 18-02, and Architectural Design Review No. ADR 18-19; and Introduce Ordinance No. 2364 to approve Development Agreement No. DA 19-01 and find that this project is categorically exempt under the California Environmental Quality Act (“CEQA”), subject to the following Conditions of Approval below. Ordinance No. 2364 and Resolution No. 7276 33-35 W. Huntington Drive October 1, 2019 Page 15 of 18 1. The use approved is limited to a 5,849 square foot multitenant food hall on the ground floor consisting of small restaurant uses/food vendors, the sale of beer, wine, and alcoholic beverages for on-site consumption, late night operating hours, and a 1,326 square foot outdoor seating area with seating for up to 60 patrons. The approved use shall be operated and maintained in a manner that is consistent with the proposal and plans submitted and approved by Minor Use Permit No. MUP 18-06. City Staff shall conduct periodic inspections, after which the provisions of this Minor Use Permit, including the late night operating hours and/or number of seats in the outdoor dining area, may be adjusted after due notice to address any potential impacts it may have to the neighboring properties/businesses. Any adjustments can be made by the Planning & Community Development Administrator. The remainder of the building shall continue to be used as self-storage. 2. The Food Hall operating hours shall not exceed Sunday—Thursday from 6:00 AM to 12:00 AM (midnight), and Friday & Saturday from 6:00 AM to 2:00 AM. 3. The food hall operator shall be required to lease a minimum of 10 off-site private parking spaces at the adjacent Elks Lodge property at 27 W. Huntington Drive, or another property within ¼-mile of the subject site, for use by employees and operators of the food hall and self-storage businesses. 4. During the self-storage business’ operating hours, portable signage shall be used to label “self-storage loading/unloading only” for the two closest non-ADA parking spaces to the building. This signage shall be removed or obscured from public view during all hours that the self-storage business is closed. Additionally, the width of these two parking spaces shall be increased on the final construction drawings as determined to be feasible during plan-check review with the specific width of these two spaces subject to approval of the Development Services Department. 5. Prior to opening 50% or more of the food hall vendor spaces, the food hall operator shall be required to begin providing security personnel to monitor parking and security in the subject parking lot, outdoor dining area, and adjacent private parking lots during specified evening and late night hours. Security personnel shall initially be on-duty daily beginning at 5:00 PM and extending until 30 minutes after close of the food hall, and then adjusted at the discretion of the Planning & Community Development Administrator, or designee, as determined to be needed to adequately monitor and enforce parking and public safety. 6. The Applicant shall enter into a no-fee lease agreement to allow the City of Arcadia to maintain its existing traffic-related mechanical equipment on the rooftop of the building. This agreement shall be executed within 120 days of approval of the proposed project. Ordinance No. 2364 and Resolution No. 7276 33-35 W. Huntington Drive October 1, 2019 Page 16 of 18 7. Additional exterior lighting shall be added to the rear of the building and/or in the rear parking lot to better illuminate the on-site parking during evening hours. Details of the additional exterior lighting shall be submitted concurrently with building permit plans for city review and permit issuance, and subject to city design criteria, building and safety regulations, and other applicable requirements. 8. Prior to issuance of the first building permit for the new food hall, the Applicant shall grant a nonexclusive easement for vehicular access at the northwest corner of the Subject Property for the benefit of the adjacent property to the west (Rod’s Grill), consistent with the existing de facto vehicular connection. Such grant of easement shall be subject to the approval of the City Attorney prior to recordation. In the event the Applicant is prevented from granting or perfecting the vehicular access easement, the Applicant shall nonetheless continue to maintain the de facto vehicular connection at the northwest corner of the property. 9. Prior to issuance of a Certificate of Occupancy from the Building Division, the Applicant/Property Owner shall upgrade the existing trash and recyclables enclosure in compliance with Development Code Section 9103.01.130, subject to review and approval by the Planning & Community Development Administrator, or designee. The enclosure shall provide adequate room for a trash container, a recycling container, and a 64-gallon organic recycling cart. 10. All City requirements regarding disabled access and facilities, occupancy limits, building safety, health code compliance, emergency equipment, environmental regulation compliance, and parking and site design shall be complied with by the Property Owner/Applicant to the satisfaction of the Building Official, City Engineer, Planning & Community Development Administrator, Fire Marshal, and Public Works Services Director, or their respective designees, including but not limited to those listed on the Public Works Services Department, Building Division, and Fire Department review memorandums for this project and/or as otherwise amended during plan-check review. The changes to the existing facility are subject to building permits after having fully detailed plans submitted for plan check review and approval by the aforementioned City officials. 11. Noncompliance with the plans, provisions and conditions of approval for DA 19- 01, MUP 18-06, PC AM 18-02, and/or ADR 18-19 shall be grounds for immediate suspension or revocation of any approvals, which could result in the closing of the food hall. Ordinance No. 2364 and Resolution No. 7276 33-35 W. Huntington Drive October 1, 2019 Page 17 of 18 12. The Applicant shall defend, indemnify, and hold harmless the City of Arcadia and its officials, officers, employees, and agents from and against any claim, action, or proceeding against the City of Arcadia, its officials, officers, employees or agents to attack, set aside, void, or annul any approval or conditional approval of the City of Arcadia concerning this project and/or land use decision, including but not limited to any approval or conditional approval of the City Council, Planning Commission, or City Staff, which action is brought within the time period provided for in Government Code Section 66499.37 or other provision of law applicable to this project or decision. The City shall promptly notify the applicant of any claim, action, or proceeding concerning the project and/or land use decision and the City shall cooperate fully in the defense of the matter. The City reserves the right, at its own option, to choose its own attorney to represent the City, its officials, officers, employees, and agents in the defense of the matter. 13. Approval of MUP 18-06, PC AM 18-02, and ADR 18-19 shall not be of effect until Development Agreement No. DA 19-01 has also been approved and fully executed. Additionally, on or before 60 calendar days after City Council adoption of Resolution No. 7276, the Applicant/Property Owner shall also execute and file an Acceptance Form with the Development Services Department to indicate awareness and acceptance of these project conditions of approval. If any City Council Member or other interested party has any questions or comments regarding this matter prior to the October 1, 2019 hearing, please contact Tim Schwehr, Senior Management Analyst at (626) 574-5409 or at Tschwehr@ArcadiaCA.gov. Attachment No. 1: Project Findings Attachment No. 2: Ordinance No. 2364 & Development Agreement No. DA 19-01 (Development Agreement exhibits available at hyperlink below) Attachment No. 3: Resolution No. 7276 Attachment No. 4: Zoning Aerial and Photos of Subject & Surrounding Properties Attachment No. 5: Concept Design Plans & Project Update Summary Attachment No. 6: Arcadia Commons Parking Management Plan Attachment No. 7: Parking Analysis Summary, Gibson Consultants (full parking analysis available at hyperlink below) Attachment No. 8: Traffic Analysis Summary, Gibson Consultants (full traffic analysis available at hyperlink below) Ordinance No. 2364 and Resolution No. 7276 33-35 W. Huntington Drive October 1, 2019 Page 18 of 18 Attachment No. 9: July 9, 2019 Planning Commission Meeting Minutes & Staff Report Attachment No. 10: Oversight Board Resolution Attachment No. 11: Preliminary Exemption Assessment Attachment No. 12: Public Works, Building, & Fire Requirement Memorandums Attachment No. 13: Public Comments Hyperlink to Development Agreement exhibits, Parking Analysis, & Traffic Analysis: http://laserfiche.ci.arcadia.ca.us/weblink/Browse.aspx?startid=794791