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SR-11-B (25) . . II-B APR 2 8 19&-7 CjED:CPD:DKW:JLA:klc COUNCIL MEETING: April 28, 1987 Santa Monica, California TO: Mayor and city Council FROM: city staff SUBJECT: Recommendation to Develop Zoning Regulations Relating to Movie Theater Development INTRODUCTION This report responds to a request from the city council to investigate the means the City has at its disposal to direct movie theater development to the Third street Mall Specific Plan Area, (bounded by Wilshire Boulevard, 2nd street, Broadway and 4th Street) to assure that residential neighborhoods will not be negatively impacted by cinema complex development, and to assess the ability of the city to absorb an increase in theater seats. staff has researched the number of existing and proposed theaters, held discussions with developers, theater managers, owners and citizens, and evaluated existing and proposed zoning regulations relating to theaters. This report recommends that the Council direct the Planning Commission to review and make recommendations wi thin 45 days concerning the incorporation of language in the proposed Zoning Ordinance, or amendment of Interim Ordinance #1321 as follows: 1. Allow by right movie theater uses in the Third street Mall Specific Plan Area, providing that when more than 11-8 -1- ~R28~U . . 4,000 new seats are developed that movie theaters in the Third street Mall Specific Plan Area will be subject to a Conditional Use Permit: 2. Allow new movie theater uses by Conditional Use Permit in the remainder of the downtownj and 3. Allow existing movie theaters to remain, but prohibit new movie theater uses in other areas of the city. BACKGROUND The City council directed staff on January 27, 1987, to perform an analysis on the demand for and the need to regulate movie theater projects in the city, with particular emphasis on the Third street Mall specific Plan Area. The Council requested that the investigation include mechanisms which could be used to avoid negative impacts on residential neighborhoods by cinema complex development. Additional concerns identified by the Council and by community groups included potential adverse traffic and parking effects of movie theater projects, the issue of whether the City would be faced with an excessive number of such uses, and whether a policy objective of encouraging theaters in the Third Street Mall Specific Plan Area should be developed. staff's analysis of the theater issue included surveying existing theaters in Santa Monica, investigating what appeared to be the sudden interest in Santa Monica as a site for proposed new cinema development, and gathering information on how many movie theaters - 2 - . . a given area could acconrmodate. The analysis consisted of surveys conducted over the phone or in meetings with theater owners or managers and representatives of developers. It also included a meeting with the Mid-city neighborhood organization, which has organized a special group on the issue of movie theater development. Existing Theaters There are currently six movie theater complexes in Santa Monica (see Table 1) which would be impacted by new theater development in the city. When asked how many more seats they felt the City could absorb, some managers commented that 5,000 seemed a reasonable number but did not speculate as to what number of seats was too many. Managers of some such establishments noted that they did not necessarily show first-run movies as the mainstay of their business. These existing operators might be able to share in the market better, since new theaters would be expected to show predominately first-run movies. There is a seventh existing theater, located on the Third street Mall, which is currently closed. Staff has been informed that this single screen, 1,000 seat theater is being considered for renovation to perhaps a 4 screen theater (seat number not available at this time). - 3 - . . TABLE 1 EXISTING THEATER SEATING IN SANTA MONICA Monica 1,100 seats 4 screens Brentwood 910 seats 2 screens Aero 641 seats 1 screen Wilshire Twin 778 seats 2 screens Pussycat 394 seats 1 screen Latino 776 seats 1 screen Total 4,599 seats 11 screens Proposed Theaters The city is aware of five proposed new theater developments (see Table 2) through formal applications and informal discussions with potential applicants. It is important to note that the application for theater development on the 2300 block of Wilshire for 1,800 seats has expired and no new application has been submitted. Staff explored with these developers the sudden interest in Santa Monica with respect to new movie theater development and learned that the first-run film distribution marketplace has been expanded recently from a few zones such as Hollywood and Westwood to other areas including century City, Marina del Rey, Beverly Center, West Hollywood and Santa Monica. This is not attributable to more films being shown or an increase in audience size. Developers noted that with more screens in operation, profits will be spread over a wider market, and travel time and commute distance will be shortened for moviegoers. - 4 - . . TABLE 2 PROPOSED THEATER DEVELOPMENTS IN SANTA MONICA 309 Broadway 1,120 seats 4 screens 234 pica (bowling alley site) 1,856 seats 6 screens Newberry Santa Monica Mall 1,500 seats 6 screens Colorado Place (Phase II) 2,500 seats 8 screens PicojCloverfield (Smart & Final Iris site) 1,144 seats unknown Total 8,120 seats 24 screens Parking for theater use was also discussed with developers. Many new theaters are proposed for sites where there is existing park- ing available, such as shopping centers, as it is very expensive to provide parking for just theater patrons. Thus addi tional theaters are being proposed in the Beverly Center, Century City Mall and in other commercial areas. Most of the proposed movie theaters for Santa Monica are linked to existing parking or parking which would otherwise be developed for other proj ects ( II shared parking"). Shared parking could occur in the Third Street Mall Specific Plan Area should theaters be built there. The parking structures are actively used in the daytime but in the evening and at night (when theaters are most in use) there are far less parking spaces utilized. The Downtown Parking study of 1981 and the Third street Mall specific Plan Background Report (pages 52- 66) and EIR all concluded that City parking structures typically peak at 2:00 or 3:00 p.m. for two hours and competition for space is minimal by 5:00 p.m. - 5 - . . When asked to express their concerns about potential theater development, a group of residents from the Mid-City area who had organized in response to the now-defunct Wilshire theater development discussed the negative impacts they perceived would occur should theaters be allowed on commercial streets such as wilshire and Santa Monica Boulevards. They felt, due to the large residential population bordering these two commercial corridors, that multi-screen houses would bring traffic, noise and parking problems into their neighborhoods during a wide range of hours. Participants in the discussion felt that the Third Street Mall was an appropriate location for theater development and that it might assist in the Mall's recovery. Zoning Regulations The City's existing zoning regulations (see Table 3) allows discretionary review. theaters in several zones as a permitted use without special TABLE 3 ZONES PERMITTING THEATERS IN THE EXISTING CODE Zones Neighborhood Commercial (C2) General Commercial (C3) Highway Commercial (C4) Commercial Recreational (CR) Main street Special Commercial (CM) Limited Industrial (MI) Special Industrial (MIA) General Industrial (M2) Conditions permitted permitted permitted permitted permitted if less than 75 seats, subject to CUP if more than 75 seats permitted permitted permitted - 6 - . . The city is currently developing a new Zoning Ordinance which has been reviewed by the city Planning Commission and will be presented to the city Council for review and public hearings in a few months. The proposed zoning ordinance (see Table 4) allows theaters in commercial zones, but requires a Conditional Use Permit (CUP) in most zones. The process involved in obtaining a CUP allows the Planning Commission discretionary review of a particular project. The objective of the review, which takes place at a public hearing, is to ensure that the project is compatible with existing uses in the general area, that traffic and parking congestion will not result and that development conforms to submitted plans, the City I S Master Plan and zoning standards and does not negatively impact public health, safety and general welfare per Section 9148 of the Municipal Code. Although the existing ordinance allows theater use in certain districts (see Table 3), Ordinance 1321, adopted by the city Council as an interim development procedure during the revision of the existing zoning Code, requires approval of a Development Review Permit (DR) for any entertainment use. Section 9129F(1), SMMC, requires that movie theaters have one parking space per four fixed seats, and the proposed Zoning Ordinance would maintain this standard. - 7 - . . TABLE 4 ZONES PERMITTING THEATERS IN THE PROPOSED CODE Zone Conditions Residential-visitor Commercial (RVC) sUbject to CUP Neighborhood Commercial (C2) permitted with fewer than 75 seats, over 75 seats subject to CUP Downtown Commercial (C3) permitted Downtown Core (C3-C) permitted if existing, new subject to CUP Highway Commercial (C4) permitted if existing, new subject to CUP (please note that the published version of the draft Ordinance does not include the CUP requirement due to a typographical error) Boulevard Commercial (C6) permitted if existing, new subject to cup Main street Special Commercial (CM) permitted with fewer than 75 seats, over 75 seats with CUP Civic Center (CC) permitted Site Review 15,000 - 30,000 sf depending on location 15,000 sf 75,000 sf 75,000 sf 30,000 sf Lincoln and pico 35,000 sf other 40,000 sf 15,000 sf 100,000 sf Table 4 illustrates district specifications for theater use in the proposed Zoning Ordinance. The objective of these standards is to encourage theater use in the Downtown area. In most other districts, theaters would require discretionary review in order for the city to monitor the potential traffic, parking and pedestrian activity impacts. - 8 - . . The proposed standards listed above were developed for the Draft Zoning Ordinance when there was not the interest and concern about movie theater development that the City is currently experiencing. It is therefore appropriate to re-evaluate the suggested permitted zones and perhaps modify the proposed code text. ANALYSIS As part of the Cityrs goals, which are incorporated into the Land Use and Circulation Elements (LUCE) and the Third street Mall Specific Plan, there are objectives specifically calling for uses on the Mall that will encourage activity there during both daytime and evening hours and will encourage entertainment and cultural uses. These Objectives and policies include: Objective 1.3: Reinforce Downtown as the focus of the City, supporting the greatest concentration of activity. policy 1.3.1: Encourage the concentration of land uses and activities which create activity in both the daytime and evening hours. policy 1.3.2: Make Downtown a primary location for commercial use, with priority given to comparison retail uses including uses that serve out-of-town visitors, and uses that encourage street activity after normal business hours. - 9 - . . Policy 1.3.3: Encourage the construction of maj or enter- tainment or cultural uses in Downtown. Policy 1. 3.4: In the Downtown Core area, require that a majority of ground floor street frontage on a block-by-block basis be active, pedestrian-oriented use (shop-fronts, cultural activities, cafes, and other uses catering to walk-in traffic) in order to promote pedestrian activity at the ground floor. In the Downtown Frame area, require pedestrian-oriented design features for all ground floor street frontage). The Third street Mall Specific Plan objectives and policies reflective of revitalize the Mall. One objective is: (TSM) the contains Council's specific goal to TSM Objective 4.1: Recognizing the important role the Third street Mall can play in making Downtown the activity focus of the City, encourage revitalization of the Third street Mall. Revitalization plans should accommodate goods, services, and urban design features which address the needs of both existing residents living near the Mall and a wide range of consumers visiting the Mall (adopted General Plan Land Use objective 1.4). The policies encouraging uses related to cultural activity and new entertainment facilities are as follows: - 10 - . . TSM Policy 4.1.1: Concentrate comparison retail uses and other complementary uses (such as hotels, offices, cultural facilities, restaurants, social services, and housing) on or near the Third street Mall as necessary to provide a catalyst for its revitalization (General Plan LUE POlicy 1.4.1) . TSM Policy 4.1.3: Promote appropriate retail and cultural activity within the Mall right-of-way (farmers' market, out- door cafes, flower stands, performing and visual arts, etc.) (General Plan LUE Policy Policy 1.4.3). TSM Policy 4.1.5: Provide for the development of new uses which increase the economic acti vi ty of the Third street Mall, including retail and specialty commercial, eating and drinking establishments, entertainment facilities (theatres, clubs, etc.), professional offices, and hotels. TSM Pol icy 4 . 1. 8: Allow for the development of retail, professional offices, personal and business services, entertainment, restaurants, cultural, educational, health facilities, artist studios, and other related uses above the first floor of structures. TSM Policy 4.1.9: Promote new cultural activities and uses within the mall space and/or adjacent structures. - 11 - . . TSM Policy 4.1.11: Encourage the introduction of uses which would attract nighttime use of the mall, such as movie theatres, cultural performance halls, restaurants, and entertainment facilities. All of these objectives and policies clearly illustrate the appropriateness of encouraging movie theater development in the Third street Mall Specific Plan Area. Theaters would bring people to the area in the evening as well as the daytime and enhance existing businesses. The Third Street Development Corporation Board of Directors discussed theater development and determined that for the Third Street Mall Area the desirable goal for number of seats ranges from a minimum of 2,500 to a maximum of 4,000 seats, with a minimum of two operators. Another City goal is the protection of existing residential neighborhoods from impacts caused by commercial uses. To protect residential areas from the potentially negative traffic, parking and noise created by theaters, it appears appropriate that theater development be prohibited or significantly restricted on strip commercial streets, adjacent to residential areas, such as Santa Monica, Wilshire, Pico, Main and Montana. The Colorado Place theaters are permitted under an existing Development Agreement and would not be affected except through amendment of that Agreement. Through encouraging movie theater development on the Mall as of right, and in the remainder of the downtown by CUP, the city could provide entertainment uses to the - 12 - . . community and avoid negative impacts on residential areas and on the ambiance of the city. BUDGET/FINANCIAL IMPACT The recommendations of this report have no budget/financial impacts. RECOMMENDATIONS It is respectively recommended that city council direct the Planning Commission to review and comment within 45 days concerning the following zoning and policy options: 1. Allow cinema use, as of right, in the Third Street Mall Specific Plan Area. When more than 4,000 new seats are developed then future development of theaters will be subject to a Conditional Use Permit. 2. Allow new movie theater development by Conditional Use Permit in the remainder of the downtown. 3. Allow existing theaters to remain, but prohibit new cinema development in other areas of the city. Prepared by: D. Kenyon Webster, Senior Planner Joan L. Akins, Assistant to the Director of community and Economic Development - 13 - . . ATR> -r;; (\-B APR 2 8 \~" MICHAEL BROURMAN ATTORNEY AT LAW TWO Ce:NTURY "'L-AZA SUITE lBOO 2049 CE"'~vAY "'...1'0>< EAS- LOS ANGELES. CALIFORNIA 90067 TE LEI" HON E [2131 S51-0 116 April 17, 1987 D. Kenyon Webster Senior Planner Planning DiVIsion 1685 Main Street Santa Mon1ca, CalIfornia 90401-3295 IP V :.t' 0:> --~ -- i".... <...0.) -~ , Dear Mr Webster: L~ We would like to thank you and your associate for meetIng with US on the evening of March 17, and affording us an opportunity to present our views regarding proposed restrictions on future theater development in our city. As you are aware, our group represents residents lIving primarily in the area bounded by Idaho Avenue on the north and Santa Monica Boulevard on the south and ly i ng between 20th and 26th Streets. Our group was formed last November as a direct result of the widespread opposition within our communIty to a proposed multl-entertalnment complex. (includIng SIX theaters) whlch is planned for our neighborhood. We believe that we speak for the overwhelmIng majority of our neIghbors in expressing our adamant opposition to perm i t t i ng any new the a ter s in our ne ighborhood. We strongly support adoptlon of a city ordInance WhICh would make theaters (and other commercial entertalnment activIties) a non-permltted use in locations other than the downtown area. Our oppos i t ion, and that of our fellow resldents, is based upon the following grounds, among others: First and foremost, we believe that any future development along Wilshire Boulevard must be predicated upon the fundamental recognition that it lies in the heart of an Ar10 --ro 11.8 APR 2 8 1981 , , . . D. Kenyon Webster April 17, 1987 Page Two essentially residential neighborhood. There simply is no buffer zone separating our homes from the commercial buildings along Wilshire. Consequently, we believe that all future development must be compatible with the resldential character of our area. Theaters, we submit, impose unwarranted and unacceptable burdens on our neighborhood. They would unquestionably create lncreased vehicular traffic on our already congested streets and compound an already serlOUS parking problem. They also would result in unacceptable increases in nOlse, litter and trash; and would substantially disturb the tranquillty of our neighborhood, particularly in the evening hours. Additionally, the overflowing of our streets with the young clientele to whom such theaters cater would undoubtedly encourage the development of other businesses catering to that same clientele. Thus, we believe that the ultimate result would be the conversion of our neighborhood into an area simllar to Westwood Village. This we can not, and will not, accept or allow. All of us are proud to be resldents of Santa Monica. We are aware that throughout the hlstory of our clty concerned resldents like us have organized and worked together with city offlcials to make it a very desirable place to live, work and play. We believe that such a combined community effort is in large measure what makes Santa Monica unique and differentiates it from surroundlng communIties. We are also aware that the very desirab~lity of our Clty creates constant pressures from developers who wish to cash in on that deslrabllity. Unless carefully monitored and controlled by a vigilant community and responsive public officials, such development would ultimately destroy the very unlqueness which now makes Santa Monica so attractIve, and would greatly diminlsh the quality of life here. It is our lntentlon to lnsure such a result does not occur, and , . . . D. Kenyon Webster April 17, 1987 Page Three we believe that the adoption of a city ordinance making theaters a non-permitted use in our neighborhood is an important step in that effort. Please contact us if we can be of any further assistance. Slncere1y, ~?(tl{dlA ~'\ L^-& 11L)J ~~ SandylAndrews 2?kj~;) rtg;~~];~ _ _ 1- Gal 1 trurke !) Washington Avenue ~ ((11.+ cJ! -to~1I'-) Hilarie Kelly .~415_ . r~zo./na A(hen . "7~-1 ..... 'J ./7 II ;'1 r ,::7 t..---l- /" - I,--,.r / Lou ;~lan ~, r,,~401 C~llf~Oia Avenue \ f\U'tLl~A\' r~~~ Mindy PilY e 1236 2'3rd St. eet 1n~~ ~ Michael Brourman 1237 22nd Street ~. P 1 Jackson ~2 2~h. str:~t 'it~a1 ~~~ /' Thomaf Kij(95~~ 2300 Washloglon ~enue ~ Gordon '.J?~ 1236 23rd Street , 11 11(r1.~1-(/1 h~1'11iL 1U;1 Ii Mars~a Romano - 1218 23rd Street I I / , !1/at.2iy;('/.4.~.llIi:~' M~lfr~ Schlosser 2303 Cal~fornia Avenue Wvl~ Kelly Sutton 2316 Callfornia Avenue {]e.- ~t2i/ 1045 24th Street (0 C try M AA-( rtG-~R- q Cl~ ?LA;J.f..i E-R C () C ~ Arm~1J~ (r) L5~~~~ Bariey Rosenberg / 1034 23rd Street f i /