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SR-401-031 PCD:SF:JT:AS:PF\f:\plan\share\council\strpt\monintordextend2.wpd Council Mtg: June 27, 2000 Santa Monica, California TO: Mayor and City Council FROM: City Staff SUBJECT: Recommendation to Adopt an Emergency Interim Ordinance Extending the Modifications to Development Standards, Uses Subject to a Performance Standards Permit, Uses Subject to a Use Permit, Prohibited Uses and the Development Review Threshold Within the C2 Neighborhood Commercial District on Montana Avenue and Modifying the Permitted Uses on Montana Avenue to Include Existing Cinemas and the Maximum Floor Area Ratio for Existing Cinemas. . INTRODUCTION This report recommends that the City Council adopt a two year extension to the existing emergency interim ordinance modifying the allowable uses and development standards for the C2 Neighborhood Commercial District located along Montana Avenue. On May 23, 2000 the City Council adopted a 45-day emergency ordinance that modified the allowable uses and development standards in this area. This ordinance will expire on July 7, 2000 unless the proposed emergency interim ordinance (Attachment A) is adopted. In adopting the emergency interim ordinance, the Council directed staff to examine the impacts of the proposed development standards on small parcels to determine if any adjustments to the maximum allowable floor area ratio (FAR) on parcels less than 7,500 square feet were necessary. In addition, due to the Council and community support for preservation of the Aero Theater located at 1328 Montana Avenue, staff proposes, as part 1 of the emergency interim ordinance, a modification to the permitted uses in the C2 district on Montana Avenue to include existing cinemas and to modify the maximum allowable floor area ratio for cinemas to allow for a minor addition to the facility. BACKGROUND The 45-day emergency ordinance modified the allowable uses in the C2 District along Montana Avenue by prohibiting new incidental food serving establishments as well as sidewalk cafes and newsstands that use the public sidewalk. In addition, the emergency ordinance lowered the maximum allowable FAR and reduced the discretionary review threshold to require Planning Commission review for developments that exceed 5,000 square feet of floor area. Public testimony at the May 23, 2000 hearing identified a concern regarding the impacts of the proposed FAR reduction on small parcels. Specifically, since covered at-grade parking is included in FAR calculations, development on small parcels, particularly those less than 7,500 square feet, could be severely limited. Council directed staff to study if modifications to the proposed FAR reductions on smaller parcels were required. Council also expressed support for the preservation of the Aero Theater, a historically significant neighborhood movie house located at 1328 Montana Avenue. Since the building is a legal nonconforming use that also exceeds the maximum allowable FAR, any proposed preservation would preclude even minor alterations such as an expanded 2 projection room or relocated walls to accommodate disabled access. Staff recommends ordinance changes to allow a new tenant to occupy the theater. DISCUSSION Floor area ratios on smaller parcels The 45-day emergency interim ordinance reduced maximum allowable FAR in the following manner: FAR if at Least Thirty Percent of Parcel Square Footage FAR Project is Residential 0 7,500 0.60 0.75 B 7,501 15,000 0.40 0.75 B 15,001 22,500 0.35 0.65 B 22,501 and up 0.25 0.55 Staff has analyzed the parcel sizes and floor area ratios of all of the parcels in the C2 District along Montana Avenue using Los Angeles County Assessor information. A majority of the parcels within the C2 District on Montana Avenue are 7,500 square feet or less. The median parcel size in the district is 6,000 square feet. The prevailing FAR, average FAR and median FAR for all sized parcels ranges from 0.58 to 0.60. Staff believes an FAR increase above .60 would result in buildings inconsistent with Montana Avenues low scale = character. Since the Council direction was to maintain the existing character of Montana Avenue through the emergency interim ordinance pending further study, staff does not recommend increasing the emergency interim ordinance FAR for parcels 5000 square feet. 3 In addition, staff does not recommend exempting at-grade covered parking from floor area calculations since exempting these parking areas would increase the size and mass of proposed buildings. Aero Theater The Aero Theater is a legal nonconforming use as cinemas are not a permitted use in the C2 District. In addition, the building currently exceeds the C2 District and emergency interim ordinance maximum allowable floor area. Renovations are anticipated to allow re- use of the facility for cinema purposes that will include improvements to comply with current Building Code as well as minor modifications to expand and add a projection booth. These minor alterations will result in both a floor area increase of less that 300 square feet as well as an expansion of the legal nonconforming use. In response to the community and the Council support for preservation of the Aero, staff proposes that the emergency interim ordinance identify existing cinemas as permitted uses on Montana Avenue as well as allow existing cinemas to expand by no more than 300 square feet, for an FAR not to exceed 1.11. These modifications will preserve an existing use which has served the neighborhood for over sixty years. This structure is an established and familiar visual feature in the neighborhood that is consistent with the existing scale and character of Montana Avenue and the adjacent residential community. Therefore, staff believes the proposed modification to the emergency interim ordinance to facilitate preservation of the Aero Theater is consistent with the Councils intent to protect the areas character pending == further study. 4 CEQA STATUS The proposed emergency interim ordinance is exempt from CEQA pursuant to CEQA Guidelines Sections 15061(b)(3) and 15301(e)(1). Section 15061(b)(3) provides that CEQA only applies to those projects that have the potential for causing a significant effect on the environment. The proposed development standards and permitted uses do not have this potential. Instead, these standards are environmentally beneficial. The proposed emergency interim ordinance results in additional limitations to the permitted uses on Montana Avenue and reduces the amount of development permitted in the area. Further, the reduced discretionary review threshold will require that smaller development projects are subject to Planning Commission review. As a result, these projects will be evaluated individually for CEQA compliance. The proposed modification to facilitate continued use of the Aero Theater for cinema purposes is categorically exempt from CEQA pursuant to Section 15301(e)(1) of the CEQA Guidelines in that it permits the minor expansion of an existing facility that is either 50% of the floor area of the structure before the addition, or 2500 square, whichever is less. CONCLUSION The proposed emergency interim ordinance is necessary to allow for a comprehensive 5 planning process that will address development and over concentration of uses inconsistent with the pedestrian-oriented scale and character of the Montana Avenue neighborhood commercial district. Further, by reducing the maximum permitted FAR and lowering the discretionary review threshold, the emergency interim ordinance will ensure that new development in the area is compatible with the existing development scale and provides a sensitive transition between the commercial district and the neighboring residential areas. Finally, by modifying the emergency interim ordinance to permit existing cinemas in the C2 District along Montana Avenue and allow existing cinemas minor increases in floor area, the Aero Theater can be re-used to serve the residents of the neighborhood as it has for sixty years. BUDGET/FINANCIAL IMPACT The recommendation presented in this report will have no budget or financial impacts. RECOMMENDATION It is respectfully recommended that the City Council adopt the emergency interim ordinance included in Attachment A. Prepared by: Suzanne Frick, Director Jay M. Trevino, AICP, Planning Manager Amanda Schachter, Principal Planner Paul Foley, Associate Planner Planning and Community Development Department 6 Attachment: A: Proposed Emergency Interim Ordinance B: Notice of Public Hearing 7