sr-081181-7bs
AU6 t 1 1981
RMM:BB:b
City Council Meeting 8-11-81
Santa Monica, California
STAFF REPORT
TO: Mayor and City Council
FROM: City Attorney
SUBJECT: Claim for Vested Rights from Emergency Building
Moratorium, Claim Number M-049, by Los Feliz
Company and Ojai Oil Company, for Vested Right/
Hardship Exemption to Construct Six Story Office
Building at 2300 and 2320 Wilshire Boulevard
PROJECT DESCRIPTION
Claimants seek to proceed with the construction of a six
story office building with four floors of underground parking at
2300- 2320 Wilshire Boulevard. The sites are zoned C-4 and are
presently improved with a car wash and an automotive repair and
an automobile rental. The properties were purchased in May, 1960
and November, 1970.
VESTED RIGHT
A determination of a vested right depends on whether the
claimant has secured the last governmental approval necessary for
construction and, in good faith reliance thereon, performed
substantial work or incurred substantial liabilities in
furtherance thereof.
In connection with this project, claimants obtained
Architectural Review Board approval with certain landscaping
conditions on March 18, 1981. No other necessary governmental
approvals were obtained prior to April 22, 1981.
Claimants have estimated the total cost of development to
be $20,300,000. Expenditures to date are stated to be $82,300.00
and represent the cost of architectural studies and drawings and
a value attributed to "in house work on economic viability of the
project' over the last one and one half years. No liabilities
have been incurred in connection with the proposed development.
Claimants did not obtain the last necessary governmental
approval prior to the adoption of the moratorium and did not
expend substantial sums or incur any liabilities in reliance
thereon. Claimants are not entitled to a vested right to proceed.
HARDSHIP
Claimants state that unless permitted to proceed with the
project at this time, the costs of the project will be increased
by at least $3,000,000 which they believe would make the
development no longer viable. Claimants also indicate that they
have been planning a major office building for the project sites
since the early 1970's and proceeded with the current plans based
on a belief that an office building would be appropriate for the
subject location and that the automotive related businesses
presently on the sites are not appropriate for that location.
RECOMMENDATION
1. It is respectfully recommended that the claim for
vested right be denied. Prior to April 22, 1981, claimants had
not obtained the last necessary governmental approval and did not
perform substantial work or incur substantial liabilities in
reliance thereon.
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2. If, under the facts as presented above or as may be
determined at the time of the hearing, the City Council should
determine that application of the moratorium to claimants'
project would result in an unfair hardship to claimants, an
exemption on the basis of unfair hardship should be granted.
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