SR-106-025-02 (8)
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PRC:SM:bm (2/2)
Council Meeting: 2/9/88
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Santa Monica, California
TO: Mayor and city Council
FROM: Pier Restoration Corporation
SUBJECT: Recommendation to Approve the Santa Monica pier
Development Program and Adopt the Santa Monica pier
Design Guidelines
Introduction
This report transmits the pier Restoration Corporation's (PRe)
Santa Monica pier Development Program and recommends that the
City Council approve the program and adopt the Santa Monica pier
Design Guidelines.
These documents were sent previously under
separate cover. The report also recommends that council direct
City staff to develop a financing plan to implement
Phase 1 of
the program which requires an expenditure of $7 million for
platform strengthening and repairs, upgrading of utilities and
public amenities.
Additionally, the report recommends that
Council direct the city Attorney to amend the Sign Ordinance to
provide for the standards for signs in the Santa Monica pier
Design Guidelines to take precedence over conflicting provisions
in the Sign Ordinance in recognition of the unique environment of
the Santa Monica Pier.
Background
This development program is the result of more than six years of
public planning and analysis for the pier's restoration. In
1981, the City Council appointed the Pier Restoration and
Development Task Force which initiated a broad-based community
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discussion about the future of the Pier. The Task Force, in
cooperation with the state Coastal Conservancy, sponsored three
widely attended public workshops which resulted in a set of
guidelines for revitalizing the Pier. The pier Guidelines were
adopted by the city council in september, 1982, and the
objectives of the Guidelines form the basis of the PRe's
development program.
In the wake of the severe winter storms of 1983, which destroyed
over 100,000 square feet of the Pier, the City was faced with
both the costly reconstruction of portions of the pier as well as
proceeding with the restoration plan as set forth in the pier
Guidelines. In November, 1983, the City Council established the
Pier Restoration Corporation, a non-profit public benefit
corporation, to oversee the reconstruction and restoration of the
Pier. The Council appointed a Board of Directors with a broad
range of community and business interests to provide leadership
in directing the complex process.
In September, 1985, the City Council approved a Services
Agreement with the PRe which delineated the responsibilities of
the PRC and the City with respect to the management of the Pier.
In addition to the ongoing responsibilities of managing and
negotiating existing and future leases, and promoting the Pier,
the primary responsibility of the PRC has been the preparation of
a development plan for the pier's restoration which provides for
an economically viable formulation of the pier Guidelines. The
City retains the responsibility for pier maintenance, security,
parking, and capital construction projects.
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Highlights of the Development Program
The following summary highlights the major elements of the PRC's
development program which is fully described in the attached
documents.
o The total development program includes approximately
150,000 square feet of commercial area which is an
increase of 87,500 square feet over the current 62,000
square feet of commercial area.
o The development will proceed in two phases: Phase 1
will total about 134,000 square feet and will be
implemented over the next three years. Phase 2 will
add another 16,000 square feet and will be initiated
after Phase 1 becomes operational and the City and PRC
determine how best to structure its implementation.
o A tenant mix, offering a diversity of products and
services to a broad range of incomes, ages, and
lifestyles, will include approximately 40% amusements
and entertainment uses, 40% restaurants and fast food
operations, and 20% retail businesses.
o Buildings designated for retention are the Carousel,
Billiard Building, Boathouse, Playland Arcade, and
Sinbad's. All other structures are designated for
demolition since they are in poor condition, the
platform beneath them needs repair, and they are not
historically or architecturally significant.
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o The program provides an opportunity for existing
tenants to participate which will vary depending on
their operation, current location and lease terms.
o Design guidelines have been prepared to guide the
restoration process and to encourage creative solutions
which are interpretations of important elements of the
pier's history rather than strict reproductions of the
past.
o The full program total of $26.8 million will be
financed by a public/private effort with the City IS
costs for Phase 1 projected at $7 million and the
private investment projected at $13.6 million. The $7
million represents required costs for reconstruction
and repairing of the Pier platform, upgrading of
utilities and public amenities.
o The Phase 1 program is estimated to generate a total
financial benefit of approximately $1.3 million by
FY'92-93, the projected year of stabilization.
Parking and Circulation
In keeping with a central objective of the Pier Guidelines to
remove parking from the pier, the development program
contemplates accomplishing this in two phases. During Phase 1,
approximately 125 spaces will remain on the pier; interim
off-site parking will be provided with approximately 200 surface
spaces on the Deauville site as well as additional spaces
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provided through reconfiguration of the 710-space beach lot north
of the Pier.
City staff is moving forward with planning for a parking
structure which would provide the required parking for the full
development program. The economic feasibility and land use
issues related to the site, south of the Pier, which was
recommended in the 1985 Pier Parking and Traffic Circulation
study, are currently under study. A plan for the parking
structure is expected to be presented by City staff to the
Council later this year. Upon completion of the 550 to 650 space
parking structure, the remainder of cars may be removed from the
Pier, at which time Phase 2 development might proceed.
Pier Reconstruction
The reconstruction of the storm-damaged portions of the Pier will
proceed concurrently with the commercial development. The
reconstruction of portions of Newcomb Pier (termed the Pleasure
pier in the PRe report) is now underway; 45,000 square feet at
the southwest corner of the pier will be rebuilt by the Summer of
1988. The design of the reconstruction of the west end of the
Municipal pier is expected to be completed by Spring 1988 with
construction planned to begin after the summer season. The 400
lineal foot extension is expected to be completed by Summer 1989.
The city's share of the Newcomb reconstruction costs have already
been appropriated; the $1.4 million city share of the Municipal
pier reconstruction is included in the $7 million Phase 1 cost.
The reconstruction of the breakwater is planned for Phase 2 and
will proceed once funding has been secured.
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Review Process
The PRC I S Development Program and Design Guidelines have been
thoroughly reviewed by city staff. City staff has been involved
particularly in developing the costs and scope of work which will
be the City's responsibility. The Landmarks Commission approved
the Design Guidelines on November 12, 1987. The Design
Guidelines were certified by both the Architectural Review Board
(November 4, 1987) and the Planning commission (November 16,
1987) . PRC and" city staff have met informally with Coastal
Commission staff who have found the plan to be consistent with
the Local Coastal Plan.
In addition to the extensive review City staff has given to the
program, the PRC has incorporated an on-going pUblic review
process into each step of the development of this program.
Public notices of all PRC meetings have been published and posted
and members of the community frequently have attended meetings.
The PRC Board of Directors has been vigilant in its efforts to
ensure that all community perspectives are well represented.
The PRC sponsored a public hearing on January 9, 1988 to provide
the community with an opportunity to review and comment on the
plans for the pier I s development. The hearing was attended by
approximately 70 people. After the presentation of the program,
10 speakers posed questions and/or comments to the Board.
Attachment A transmits the comments heard at the public hearing
as well as PRe responses to those comments.
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Timeline and Next steps
Upon City Council approval of the development program, the PRe
will issue Request for Proposals (RFP) for the development of
Phase 1. The areas include the following:
a. A 4, OOO-square foot portion of the Billiard Building
for an entertainment or retail operation.
b. The 6,400-square foot building known as Sinbad1s for an
entertainment and eating establishment.
c. A Central Plaza Area containing 40,000 square feet of
newly constructed restaurants, fast food operations,
retail and entertainment uses.
d. A Fun Zone area containing 40,000 square feet of
amusement games, rides and other ancillary uses.
e. A 4,OOO-square foot area in Carousel Park for retail or
restaurant use.
A detailed timeline is included in the development report. Phase
1 is projected to be completed by May, 1991.
According to the terms of the Services Agreement by and between
the city and the PRC, the PRC is authorized to prepare and
negotiate all leases as set forth in an approved development
plan. The final leases are submitted to the City Manager for
approval and execution.
Budget/Fiscal Impact
Sufficient funds are budgeted in FY87-88 to begin implementation
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of this program. The 1988-1991 ClP program, which will be
brought to Council later this fiscal year, will include a
financing plan for the balance of this development plan.
Recommended Action
pier Restoration Corporation respectfully recommends that the
city Council:
1. Approve the Santa Monica Pier Development Program and adopt
the Santa Monica Pier Design Guidelines.
2. Direct City staff to develop a financing plan to implement
Phase 1 of the development program as part of the 1988-1991
elP Program.
3. Direct the City Attorney to prepare an ordinance amending the
Sign Ordinance portion of the Zoning Code to provide for the
standards for signs in the adopted Santa Monica Pier Design
Guidelines to take precedence over conflicting provisions in
the Sign Ordinance in recognition of the unique environment
of the Santa Monica Pier.
Attachment:
"A" Public Hearing Comments
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ATTACHMENT nAn
PUBLIC HEARING COMMENTS
At the public hearing held on January 9, 1988, ten members of the
public addressed the PRe Board of Directors with questions and
comments regarding the development program.
Four existing pier tenants expressed concern regarding the pier's
ability to become a year-round destination and its ability to
attract sufficient attendance to meet the estimated revenues per
square foot.
PRC Board Members realized at the start of this project that the
Pier was a seasonal operation and set as one of the primary
goals, the task of creating a facility that attracted patrons
year-round. This goal is achieved through merchandising, design
and promotion. Restaurants and indoor evening entertainment
establishments will draw patrons year-round on both weekdays and
weekends. The Design Guidelines provide for weather screening
and heaters for all restaurant outdoor eating areas. In
addition, the PRC has adopted a firm pOlicy on bUdgeting
substantial funds each year for on-going special events and
promotion. Experience with the annual Twilight Dance series
shows that these are activities that attract great numbers of
local residents to the Pier on weekday evenings.
It is estimated by Pier Harbor staff that the pier currently
attracts 3 million visitors per year. This is a very strong base
given the limited uses currently offered on the Pier. By
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doubling the commercial square footage and providing a variety of
amusements, quality food, educational and entertainment events,
unique retail products and a comfortable, attractive common area
environment, the number of annual visitors to the Pier will
increase to at least the 5 million received by facilities such as
Redondo pier and Santa Cruz Pier. since the Santa Monica Pier's
location is superior to that of Santa Cruz and Redondo, it is
possible to eventually attract numbers comparable to the 9
million range received by pike Place located in the rainy city of
Seattle. According to the Convention and Visitors Bureau, the
Pier will attract substantially more tourists year-round once the
program is implemented.
A tenant asked how the pier would be able to accommodate 57,000
square feet of restaurants with only 125 on-site parking spaces.
That tenant also voiced concern over how these new restaurants
would be able to compete with other successful restaurants in the
area.
The development program addresses both interim parking and the
final parking solution. Since the parking structure, which is
the ultimate parking solution, is on its own timeline, the
program provides for an interim solution in the event the new
development is operational before the structure is constructed.
The Program and Design Guidelines express the need for special
provisions for restaurant parking. The exact method of providing
this will be resolved during the master planning process the PRe
will undertake with new restaurant tenants later in 1988.
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Although Santa Monica has its share of restaurants throughout the
city, none can offer it's patron the unique views and atmosphere
found only on the Santa Monica pier. The question may be how
will other Santa Monica restaurants be able to compete with those
on the the Santa Monica Pier.
Three representatives of the Santa Monica Convention and visitors
Bureau (CVB) attended the hearing and heartily endorsed the
program. They stated that a restored Pier is vital to all
tourism interests and urged the City Council to quickly adopt the
plan.
Input and recommendations from the CVB regarding the development
program and particularly on-going operational, marketing and
promotional issues have been incorporated into the program as a
result of periodic discussion with the Bureau.
Three members of the pUblic addressed the Board. The first
speaker expressed concern that the proposed pier parking
structure would displace existing housing in the area. She
stated that residents living in close proximity to the pier could
be severely impacted by congestion caused by the development.
She also expressed a desire for at least one more public hearing
on the development program which Board Members feel is
unnecessary due to the extensive public involvement during Pier
workshops and monthly Board meeting.
The second speaker noted the need for low cost or free activities
specifically for senior citizens. He added that the Pier should
provide upgraded areas for fishing.
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At every step in the development process, Board Members have kept
in mind the need to provide free and low cost activities and to
provide both active areas and calmer, peaceful areas on the Pier.
These goals are achieved through merchandising and design. The
Program's leasing strategy clearly expresses the desire for a
variety of quality products and states specific low, moderate and
high price ranges to be available. The leasing strategy also
provides for "loss leader" tenants. The Design Guidelines
devotes several sections to common areas, amenities and the
fishing end of the Pier. These sections specifically address the
requirements for active and passive areas, accessible amenities
and fishing conveniences.
The last speaker commented on the need for the Pier to provide
boating activitie~ and boat storage. He felt that boating would
attract a year-round market to the Pier.
It was explained that the PRC is and will continue to promote the
boating activities but this was dependent upon the City/PReis
ability to identify funding to rebuild the breakwater.
The public hearing provided members of the community with the
opportunity to review the PRC's proposed development program.
The hearing was well attended by the public and the comments
received were positive and constructive. Several of the existing
tenants expressed some concerns but the PRe feels that each of
the issues raised have been addressed in the program.
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e THE CROWN & ANCHOR, INC. e
256 SANTA MONICA PIER
SANTA MONICA. CALIFORNIA 90401
(213) 394-6385
/6- /5
To Whom It May Concern:
As the owner of a bUSlness on the Santa Monlca Pler, I am
gravely concerned with the lmage and welfare of the bUSlnesses
here. The p~er, which ~s one of the few remalnlng p1ers still
operatlng In Los Angeles, 15 viewed as a lower class attractlon
by the communlty.
This rare commodlty should reflect the community around It.
Santa Monica Pier should be a show place, a play ground and a
fami 1y attractlon, for the _ 1_ ~ and the senlors,
as well as tourlsts. fDc:.aJ re50I'~fl.+..<5.
Enclosed you will find an excerpt from a tourist publlcat10n
shown to me by a famlly frlend from my native Scotland. As you
can plainly see, santa Mon1ca Pier is the flrst place rnentloned to
avoid. Is this the image that the City Councl1 would like to
project to the tourlst? Can you lmagine how the community
perceives the pler? -
It lS my oplnlon as a business owner and tax payer of this
community, that the Clty Councll can take steps tonlght to rectlfy
thlS negatlve lmage. Flrst, the lmage can be improved by
lncreasing the variety of stores, and entertainment on the pler.
Improvlng of the exslsting properties is the most immedlate step
that can be taken.
Secondly, a new, upperscale cllentele must be attracted, by
contlnulng and increaslng the special events, such as the Clrcus,
concerts and carnlvals held both on and off season. It 15 clear
how these events can attract dlfferent cllentele to the pler as
demonstrated by the success of the summer serles of danclng under
the stars, and the Clrque Du Soleil. If businesses were also
lmproved, these people would also return, time after time.
These simple steps would not only benefit the buslness
owners, the Clty of Santa Monlca would beneflt through higher tax
revenues, (year-round), and status. I once again urge you to make
Santa Monica Pler the showplace that lt was durlng its heyday.
Respectfully submltted,
~S~~
Mr. Bobby Sutherland
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274 Los Angeles and the Southwest
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H an ock radIO fa voufltes
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apers are on sale at the Umversal News Agency
the C Itv
1-. BritISh
Las Palmas.
Los Angeles IS the SIXth most dangerous
cIty In the world Most crimes Involvmg
vIsitors tend to be thefts from hotel rooms
and the occasIOnal purse-snatchmg m the
street. There are no strict rules. but It IS a good Idea to avoId the area of Santa
MOnica PIer and the Venice beaches after dark. and also MacArthur Park The
downtown area attracts all sorts of weIrd and seedy characters at mght. and
Hollywood and Vme can be s1ll1l1arly creepy Boys and gIrls sell themselves In
broad daylight along the more sordId sections of Sunset Boulevard, East LA,
outsIde the downtown area, IS notOrious for armed battles between nval street
gangs
Marijuana has been decnmmahzed In the state of Callfornla for quantltles
under one ounce Many Southern Cahformans dnve down to TIJuana where
drugs which reqUIre a prescnptlOn In the US are freely available
Crime
and
Safety', .
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24 hour drugstore' Thnfty Drugs. 3rd 5t and Vermont Avenue
Emergency' 9] 1