SR-01-28-2014-3DAIIIIIIIIIIIIII City Council Report
City of
Santa Monica"
City Council Meeting: January 28, 2014
Agenda Item:,a -1)
To: Mayor and City Council
From: David Martin, Director, Planning and Community Development
Subject: Annual Development Agreement Compliance Review
Recommended Action
Staff recommends that the City Council:
1) Review the status of Development Agreement compliance
2) Determine good faith compliance for those that are in compliance
3) Review the status of Development Review Permit compliance at 2415 -2443
Main Street (Edgemar Property)
Executive Summary
This report provides an annual summary of the status of compliance for each of the 26
Development Agreements that are currently in effect and subject to annual compliance
report submittals. Council reviewed the status of Development Agreement compliance
most recently at its January 22. 2013 meeting. This year's summary includes review of
all 14 completed projects, three projects that are under construction, and the status of
the remaining nine Agreements where construction has not commenced. Attachment
"A" to this staff report provides a summary of the Transportation Demand Management
(TDM) Program requirements that have been imposed on new and amended
Development Agreements since 2010.
Based on staffs review of each of the 14 projects already built and the annual reports
submitted by the developers or successors -in- interest to demonstrate good faith
compliance, staff recommends Council determine that 13 of these Agreements are in
good faith compliance with requirements specified for each property. As discussed more
fully in this report, three properties are implementing additional transportation demand
management measures to help achieve the numeric peak -hour Average Vehicle
Ridership (AVR) targets identified in each Agreement.
Staff will continue its ongoing and annual review of compliance reports for each
Agreement submitted by the developers, or successors -in- interest, to demonstrate good
faith compliance. The next annual report to Council for all Development Agreements
subject to annual compliance reporting is scheduled January 2015.
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Finally, per Council's October 22, 2013 direction provided in conjunction with its review
of an appeal of a Conditional Use Permit approval for the tenant space located at 2433
Main Street, this report contains a brief summary of the status of compliance with
conditions of approval for Development Review Permit 96 -001, Conditional Use Permit
97 -004, Variance 96 -001, and Conditional Use Permit 96 -011. These entitlements were
approved on appeal by Council on December 2 1997 for the property commonly known
as the Edgemar Project located at 2415 -2443 Main Street.
Background
Chapter 9.48 of the Municipal Code establishes the processes and requirements for the
City to enter into a Development Agreement. One of the provisions is annual review by
the City Council of each approved Development Agreement to determine good faith
compliance with the terms and conditions of the Agreements. Since the passage of this
ordinance in 1982, 26 Development Agreements have been enacted that are still in
effect. Each Development Agreement contains unique time frames, obligations, and
requirements. The obligations can be one -time or ongoing; some are fees, some are
actual physical improvements, and some are ongoing services.
The 26 Development Agreements monitored by the Planning and Community
Development Department are listed below and include nine Agreements where
construction has not yet commenced.
Development
Good Faith Working to Achieve Under Construction Has
Agreements (26)
( Compliance
Compliance (1)
Construction (3)
Not Commenced (9)
(13)
Colorado Placell &ll
(Colorado Center) poet)
Paseo Del Mar (1982)
_.._. • ..__. . (._ _. _.. _ __..
National Medical Enterprise
--
(Viacom) (1982)
Bayview CA Unlimited Partnership
L...
(Le Meridien Delfna) (1983)
Arboretum (1987)_.. _...
__• .l__. _._. _... _. _... _...
Water Garden (ioae) _...
l.__. _. _.. _...
Santa Monica College
_... •
I..... ....
__
_ _. __.
Parking & Pool (1989)
Maguire Thomas (490) _..
(..... _.. .l_.. _... _. __....
Saint John's Health Center (1998)
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Rand (2000)
Lantana East (2008) _
__ • l._.. __. I_... I _ _.. _.._
I Lantana South (2004) _
I ..... •
L._.. _
-... _.._.
__. ...
CCCDevelopment
Good Faith
Working to Achieve
C
Under
Construction Has
I Agreements (26)
Compliance
Compliance (1)
Construction (3)
Not Commenced (9)
(13)
The Village (2008)
Saint Monica's Catholic Community
-•
(2010)
Agensys (2010) _... __.
I __. __.. •..._ _ _.. _... - -_ __.
Colorado Creative Studios (201 1)
702 Arizona Avenue (2011)
_.. -... _._ f._.. • _.. __. __._ ___
131771 "Street (2011)
401 Broadway (2011)
710 Wilshire Boulevard (2o12)
15486 "Street (2012)
2930 colorado Avenue W13)
113182n° Street (2013)
1731201h Street (2013)
_.,._....
15545 m Street (2013)
I •
501 Colorado Avenue(2o13)
,..
f Hill Street Partners III (2007)
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As explained in the compliance report submitted to Council in 2010 -2013, there are also
five very early Development Agreements:
e Lincoln Property /Phase II of the Ocean Park Redevelopment Area
1426 California Avenue
e 2823 -2825 Santa Monica Boulevard
® 10404 th Street (Dorchester)
® 701 Santa Monica Boulevard
In general, these early Development Agreements required certain street improvements
and, in some cases, the payment of fees. For example, the Agreement for 701 Santa
Monica Boulevard required the payment of an Arts and Social Service Fee and an In-
Lieu Housing Fee. Such fee obligations were satisfied when the projects were
completed. Thus, compliance and monitoring have not, in general, been an issue.
The Dorchester, which was one of the City's earliest efforts to create affordable
housing, is the only project in the City that includes affordable units that are
condominiums, instead of apartments. The model proved to be problematic in several
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ways. There were problems with recordation and notification of the affordability
requirement. Some of the unit owners purchased intending to live there themselves or
house a family member. Many purchased with arguably insufficient notice of the
restrictions. Most had no experience in property management, much less the
management and financing of a lone affordable unit. For the Housing Division's
monitoring period in 2013, nine of the fourteen owners (one owner has two units) have
reported that they are complying with the Development Agreement. Two of the
unaccounted units had submitted reports previously and those cases have been
referred to the City Attorney's office. Three of the remaining owners have entered or
about to enter into settlement agreements with the City.
Discussion
As noted above, as a result of staff's review of all 26 Development Agreements subject
to compliance reporting, 13 of the 14 constructed projects have been determined to be
in good faith compliance. One property, Agensys, is in discussions with City staff and
working to achieve compliance with its 1.6 AVR requirements for the a.m. and p.m.
peak -hour periods (6:00 a.m. to 10:00 a.m. and 3:00 p.m to 7:00 p.m., respectively).
There are two other properties, Saint John's Health Center and Colorado Center that
are required to modify, subject to the Planning Director's approval, current TDM plans to
incorporate and implement additional measures to help work toward achieving the peak -
hour 1.5 AVR targets that are structured as goals, instead of requirements, in both
Agreements.
Since Council's last annual review of Development Agreement compliance, five new
Agreements have been executed: 2930 Colorado Avenue, 1318 2nd Street, 1731 20th
Street, 1554 5th Street, and 501 Colorado Avenue; none of these projects has started
construction.
Below is a summary of all Agreements where annual compliance reports have been
submitted for the current review period, and a brief status update on the three projects
under construction and nine Agreements where construction has not yet commenced.
Attachment "A" to this report also provides a summary of TDM program measures that
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have been incorporated in newly- approved or amended Development Agreements since
2010 in conjunction with the City's Land Use and Circulation Element (LUCE)
implementation.
Recommend Finding of Good Faith Compliance: Completed Proiects
Colorado Place 1 & 11 (Colorado Center)
26002800 Colorado Avenue
Agreement Effective: 10/27/1981
Expires: 9 /15/2036
Amended:
4/1984; 7/1984; 5/1985; 12/1987; 6/2011
Reporting Period: 10/27/2012 to 10/27/2013
Good Faith Compliance Confirmed
The project was approved for approximately 900,000 SF of office uses along with a
daycare center, park, health club, food services and community rooms. Building heights
range from 65' to 80'. On -site parking structures currently contain 3,085 parking spaces.
Community Benefits Summary
• Child care center (Hill 'N Dale)
• Public park with tennis courts, children's play structure, basketball court, and
public gathering space
® 51 units of affordable housing which per an agreement between the City Housing
Authority and the County, are monitored by the County and a contribution of
$2,652,909 to the City's Affordable Housing fund
• Community rooms open to the public and available free of charge for community
& neighborhood groups
• Nearly $3 million worth of art and social service benefits through Park &
Community room maintenance
• TDM Program (enhanced by Amendment No. 5)
• Off -site traffic signal, street lighting, and turn lane improvements
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Status of Compliance
The required annual compliance report was received on October 25, 2013. The property
owner is in compliance with all Development Agreement fee payments and community
benefits associated with requirements in effect during the 2011 -2012 reporting period.
The property owner has undertaken the enhanced Transportation Demand
Management Program that was approved by Council on June 28, 2011 as a
requirement of the Fifth Amendment to the Development Agreement that permits
leasing of up to 1,035 parking spaces to off -site parties. Some of these measures
include implementing a Transportation Management Association that serves all
employers on site, establishing baseline Average Vehicle Ridership data for the entire
site by conducting transit surveys and collecting data from both large and small
employers, creating a transit/rideshare information center and website, and increasing
on -site bicycle parking. The Fifth Amendment identifies a 1.5 Average Vehicle Ridership
(AVR) target for both the a.m. and p.m. peak periods starting in. November 2013.
Colorado Center management collected survey data for both large and small employers
to determine its site -wide average vehicle ridership during the a.m. and p.m. peak
periods. This expanded survey effort included employers with more than 50 employees,
as well as employers with fewer than 50 employees; the latter are not currently required
to perform employee trip surveys. This combined survey data for all Colorado Center
employers yielded a 1.40 AVR during the a.m. peak period and 1.35 AVR during the
p.m. peak period. In the case of the amended Colorado Center Agreement, these AVR
peak - period targets are structured as goals with the requirement to implement additional
transportation demand management measures to work toward achieving the stipulated
AVR goals.
Staff met with the property owner, Equity Office, on December 18, 2013 to discuss
additional single- occupancy vehicle trip reduction measures to implement at Colorado
Center. It is anticipated that the final set of measures will be identified at the beginning
of February and implemented immediately thereafter through Colorado Center's site -
wide Transportation Management Association and Transportation Coordinator.
Collection of Fall 2014 employee trip data will help to evaluate whether additional
measures and actions will be required again at the end of the year.
In accordance with the Fifth Amendment, the property owner held its third annual
community meeting on October 15, 2013 to discuss Development Agreement
compliance with residents in the vicinity of the project site. In response to community
input provided at this meeting, the property owner is evaluating where a community
board can be posted on site to allow nearby residents to post information and /or
advertisements. As well, a request was made to repair a portion of the playground
surface; Equity Office staff indicated this work item has already been included in
Colorado Center's 2014 budget.
Paseo Del Mar
1541 Ocean Avenue
Agreement Effective: 1/26/1982
Expires: 10/1/2031
Reporting Period: 1/26/2012 to 1/26/2013
Good Faith Compliance Confirmed
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The project consists of approximately 54,000 SF in two buildings ranging in height from
28 to 36 feet. Uses include restaurant, office, retail, and 10 units of low, median, and
moderate income housing. The subterranean parking garage contains 72 spaces.
Community Benefits Summary
a 10 deed - restricted affordable housing units at a prime oceanfront location
a $75,000 Art and Social Service fee or in -kind provision of art on -site
a Parking, Carpool, and Transit Incentive Program
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Status of Compliance
The required annual compliance report was received on December 20, 2012 with
additional information provided on January 13, 2014. Planning and Housing and
Economic Development staff reviewed the information for the 2012 -2013 reporting
period and verified that the property owner is in compliance with Agreement
requirements, including affordable housing obligations.
National Medical Enterprise (Viacom)
2700 Colorado Avenue
Agreement Effective: 4/16/1982
Expires: 4116/2037
Amended: 1/1987; 4/1987; 5/1988
Reporting Period: 4/16/2012 to 4/16/2013
Good Faith Compliance Confirmed
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The project consists of a five -story, 312,000 square foot building with creative offices.
The site also contains a child care center, a public park, and a 1,000 space
subterranean parking garage.
Community Benefits Summary
• Provision of 30 affordable rental units, later amended to require the payment of a
$1,500,000 in lieu fee
• On -site child care center
• Payment of $25,000 to Santa Monica Arts Foundation
• Park of approximately 7,200 square feet to be open to the public during
reasonable hours
Status of Compliance
The required annual compliance report was received on September 3, 2013. Staff has
verified compliance with all Development Agreement requirements for the 2012 -2013
reporting period. In addition, the child care facility has continued their outreach efforts
by hosting an open house for tenant employees to ensure the facility continues to
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The project consists of a five -story, 312,000 square foot building with creative offices.
The site also contains a child care center, a public park, and a 1,000 space
subterranean parking garage.
Community Benefits Summary
• Provision of 30 affordable rental units, later amended to require the payment of a
$1,500,000 in lieu fee
• On -site child care center
• Payment of $25,000 to Santa Monica Arts Foundation
• Park of approximately 7,200 square feet to be open to the public during
reasonable hours
Status of Compliance
The required annual compliance report was received on September 3, 2013. Staff has
verified compliance with all Development Agreement requirements for the 2012 -2013
reporting period. In addition, the child care facility has continued their outreach efforts
by hosting an open house for tenant employees to ensure the facility continues to
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provide child care programming that meets the needs of children of employees who
work at the project site. Accordingly, staff's review of the Agreement indicates that the
property is in compliance with all requirements.
Bayview CA Unlimited Partnership
(Le Meridien Delfina Hotel)
530 Pico Boulevard
Agreement Effective: 6/29/1983
.Expires: 12/1/2022
Reporting period: 6/29/2012 to 6/29/2013
Good Faith Compliance Confirmed
This Agreement allowed for the 72,400 square foot expansion of an existing Holiday Inn
hotel. The development included the addition of 134 hotel rooms and 282 parking
spaces. The hotel is currently operated by the Le Meridien Delfina.
Community Benefits Summary
• Hiring priority to Ocean Park and Pico neighborhood residents, and then to other
City residents
• Job Training Program, with priority given to Santa Monica High School Students
and City residents (requirement expired in 2011)
• Hotel Room Voucher Program (requirement expired in 1996)
• Free Hotel Parking with sign denoting this in parking area
• Valet parking tipping prohibition with sign denoting this in parking area
• Relocation of on -site, rent - controlled apartment buildings (five of these units were
subsequently converted through the TORCA process)
• $50,000 annual contribution to the Big Blue Bus for the Tide Shuttle operation
(expired in 2011)
® Six rent controlled units added to the existing building at 1920 6`h Street
® Installation of public art piece approved by the Arts Commission
91
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This Agreement allowed for the 72,400 square foot expansion of an existing Holiday Inn
hotel. The development included the addition of 134 hotel rooms and 282 parking
spaces. The hotel is currently operated by the Le Meridien Delfina.
Community Benefits Summary
• Hiring priority to Ocean Park and Pico neighborhood residents, and then to other
City residents
• Job Training Program, with priority given to Santa Monica High School Students
and City residents (requirement expired in 2011)
• Hotel Room Voucher Program (requirement expired in 1996)
• Free Hotel Parking with sign denoting this in parking area
• Valet parking tipping prohibition with sign denoting this in parking area
• Relocation of on -site, rent - controlled apartment buildings (five of these units were
subsequently converted through the TORCA process)
• $50,000 annual contribution to the Big Blue Bus for the Tide Shuttle operation
(expired in 2011)
® Six rent controlled units added to the existing building at 1920 6`h Street
® Installation of public art piece approved by the Arts Commission
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Status of Compliance
The required annual compliance report was received on December 16, 2013. Staff has
reviewed the annual report and determined that the property owner is in compliance
with all reporting year requirements, including provisions addressing operational
requirements, community benefits, and fees.
During the reporting year, the hotel continued its commitment to both its Job Training
Program and local employment recruitment goal through partnerships and outreach with
organizations such as Santa Monica High School, Santa Monica College, the Art
Institute of California (Culinary School), and the Santa Monica Chamber of Commerce.
The Le Meridien Delfina also hosted a Career Fair in May 2013.
Arboretum (Previously Colorado Place 111)
2000 Colorado Avenue
Agreement Effective: 12/16/1987
Expires: 1/1/2042
Amended: 12/1988; 2/1995
Reporting Period: 12116/2012 to 12/16/2013
Good Faith Compliance Confirmed
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This Development Agreement involves the construction of Phase III of Colorado Place,
a 12.7 acre parcel located on Colorado Avenue. The Agreement initially allowed for the
construction of 1,040,490 square feet of floor area, with a Floor Area Ratio of 1.85, and
allowed 25,000 square feet of restaurant space, 10,000 square feet of retail, 35,000
square feet medical office, 20,000 square feet for banks, up to 720,490 square feet for
commercial office space, a 270,000 square foot hotel, and 60,000 square feet for a
health club. However, subsequent modifications to the Development Agreement
removed the hotel as a permitted use, and allowed for a general market/grocery use
(not to exceed 50,000 square feet), and multi - family residential development with some
affordable units.
10
Community Benefits Summary
e TDM Program/Traffic Emission Abatement Program
e $721,318 Housing Parks Mitigation Fee
e $5,000,000 Traffic Improvement Fee
e On -site art installation
e $250,000 child care contribution
Status of Compliance
The property owner's annual compliance report was submitted on December 10, 2013.
After reviewing Agreement terms and all of the supporting documentation provided to
the City, staff has determined that the Arboretum is in compliance with Development
Agreement fee payments, remaining community benefits, and operational
requirements. In addition, there are currently no active code compliance issues for any
of the subject addresses associated with this Development Agreement.
Water Garden
1620 26" Street & 2425 Olympic Boulevard
Agreement Effective: 3/23/1988
Expires: 3/23/2043
Reporting Period: 3/23/2012 to 3/23/2013
Good Faith Compliance Confirmed
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The project was constructed in two phases and consists of four, six -story buildings,
totaling approximately 1,259,577 SF. The development contains commercial office,
medical office, retail space, restaurants, health club, child care facility, and
subterranean parking for 4,035 vehicles. The development also includes an open
space area and man -made lake.
Community Benefits Summary
• $3,811,307 Housing and Parks Mitigation Fee payment
• On -site child care facility for 54 children
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• $6,408,486 Traffic Improvement Fee payment
® Annual preferential Parking District fee payment to cover permit and district
administration costs
® $150,000 fee payment to the Santa Monica Arts Foundation
® $300,000 fee payment to the City for homeless services
Status of Compliance
After reviewing the Agreement terms, all of the supporting documentation provided to
the City on June 24, 2013, staff has determined that the Water Garden is in compliance
with all Development Agreement fee payments, community benefits, and operational
requirements.
Santa Monica College
Parking and Community Pool
1900 Pico Boulevard
Agreement Effective: 11/14/1989
Expires 12 /31 /2014
Amended /Restated: 1/1999; 12/2000
Reporting Period: 11/14/2012 to 11/14/2013
Good Faith Compliance Confirmed
This Development Agreement covers specific locations on the Santa Monica College
Campus, including three parking structures (A, B and C) and the Municipal Swimming
Pool, which is located on the northwest side of the campus.
The Municipal Pool Facility is a 28' tall building surrounded by an 18' sound wall.
Parking Structure B, with a total of 486 spaces, was approved for a maximum height of
30' and 165,000 square feet of gross floor area. The restated agreement lists parking
structures A and C as completed prior to the restatement, and are no longer included in
the Development Agreement terms.
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This Development Agreement covers specific locations on the Santa Monica College
Campus, including three parking structures (A, B and C) and the Municipal Swimming
Pool, which is located on the northwest side of the campus.
The Municipal Pool Facility is a 28' tall building surrounded by an 18' sound wall.
Parking Structure B, with a total of 486 spaces, was approved for a maximum height of
30' and 165,000 square feet of gross floor area. The restated agreement lists parking
structures A and C as completed prior to the restatement, and are no longer included in
the Development Agreement terms.
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The original Development Agreement between the City and the District was entered into
on November 14, 1989. Due to damage sustained in the Northridge earthquake, the
agreement was revised on January 12, 1999, to relocate a damaged parking structure
and rebuild the Municipal Pool Facility in its place.
Community Benefits Summary
• Santa Monica Swim Center, a first class recreational facility open to the public
with guaranteed parking availability at peak hours
• Improved circulation for neighborhood, with relocated traffic signals and 16th
Street parking structure rebuilt as exit only with right turn toward Pico Boulevard
® Earthquake- damaged parking structures replaced to meet needs of college
community and to reduce impacts on neighborhood
Status of Compliance
A Joint Operating Agreement between the City and the Community College District
regulates parking for pool users as well as hours of operation, staffing requirements,
and maintenance. The property owner is in compliance with all Development
Agreement community benefits and operational requirements.
Maguire Thomas
1733 Ocean Avenue
Agreement Effective: 10/18/1990
Expires: 10/18/2045
Amended: 12/1995
Reporting Period: 10/18/2012 to 10/18/2013
Good Faith Compliance Confirmed
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The Agreement for the property at 1733 Ocean Avenue authorizes construction of a
four -story, 56 foot tall commercial development. It allows for a 68,040 square foot
building, including a maximum 5,983 square foot/250 seat restaurant and a maximum of
8,040 square feet of retail space. Three levels of subterranean parking provide 267
parking spaces.
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Community Benefits Summary
® $250,000 contribution to the Civic Center /Oceanfront Improvement Special Fund
® $403,399 Housing and Parks Impact Mitigation Fee
a $820,854 Affordable Lodging Mitigation Fee
Status of Compliance
City staff received the annual Development Agreement Monitoring Report from the
property owner on August 28, 2013. Based on staff's review of the Agreement, the
property is in compliance with the provisions of its Development Agreement. Earlier this
year, an administrative modification was approved by the Director of Planning and
Community Development, in accordance with Agreement terms that allow for minor
changes to the project and project site plan to allow for the leasing of the 50 on -site
spaces to non - tenants until Spring 2014. The property owner submitted a parking
utilization study to demonstrate that there is sufficient parking available to meet on -site
tenants' parking demand. Therefore, a finding was made that the proposed project
change would not be detrimental to the public health, safety, convenience or general
welfare, and would not adversely affect the architectural integrity of the project and
community benefits associated with the project.
Saint John's Health Center
132822 nd Street 12121 Santa Monica Blvd
Agreement Effective: 7/9/1998
Amended: 7/12/2011
Expires: 7/9/2053
Reporting Period: Calendar Year 2012
(Compliance reports are due annually in July
for the preceding calendar -year reporting period)
Good Faith Compliance Confirmed
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As amended in July 2011, the Saint John's Health Center (SJHC) Development
Agreement grants approval for construction of new hospital facilities that would occur in
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two phases. Phase I consists of vested rights, subject to extension, for the construction
of a new 475,000 square foot hospital:
• Below -grade central plant
• Inpatient Center (205,000 SF & maximum height of 75 feet)
• Outpatient and Diagnostic & Treatment Center (265,000 SF & maximum height
of 58 feet) with ambulance entrance and North Lawn
• Provide on- and off -site parking to meet peak facility demand and construct an
Entry Plaza on Santa Monica Boulevard
Phase II has a 17 -year vested rights term, subject to extension, to implement a health
center master plan with sufficient floor area for health care - related uses and parking as
outlined in the Agreement; the City retains broad discretion to review future applications
for Phase II buildings. Key components include:
• Permit construction of up to 799,000 square feet of hospital and hospital - related
development with maximum building heights ranging from 70 -95 feet
• Requires approval of a South Campus Master Plan prior to approval of any
Phase II buildings
• Development Review Application required for Phase II buildings
• CEQA determination /review required for Phase II buildings
Community Benefits Summary
• Community Benefit Program and Annual Plan: Program to support the health
and well -being of Santa Monica residents and community; the annual plan
summarizes benefits provided and economic valuation.
Calendar year 2012: Saint John's Health Center provided services and cash
support equal to $7,355,848 in 2012 plus an additional $39,251,997 in
unreimbursed Medicare costs.
Based on the 2012 community benefit data self - reported from non - profit Catholic
hospitals throughout the state to California's Office of Statewide Health Planning
and Development ( OSHPD), the average dollar value of community benefits
provided by these facilities in 2012 was $40,382,272. Saint John's Health Center
reported $46,607,845 for 2012, a value that exceeds the average value of
benefits provided by other non - profit Catholic general acute hospitals that self -
reported data to OSHPD by more than 15 %.
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• Santa Monica Community Access Plan: A component of the annual
Community Benefit Program requiring the following health service activities:
• In -kind and cash support to local non - profit agencies that service Santa
Monica residents and to the Santa Monica Malibu Unified School District
• Charitable medical and mental health services provided to patients that are
clients of and directly referred by local non - profit organizations
• Charitable medical and mental health services provided to patients that are
students and directly referred by the School District
• Free community services available to the general Santa Monica community
that promote health education and preventative health services
Annual minimum level of support: $732,000 dollar value subject to 1.5%
compounded annual adjustment ($901,645 required for calendar year 2012).
Saint John's Health Center provided health services valued at $5,365,817 during
calendar year 2012 through its Santa Monica Community Access Plan, an
amount that is over five times greater than its 2012 annual requirement.
• Child Care Program: provide a minimum of 49 full -day child care for employees
and the community; 21 of these spaces must be infant/toddler care. Compliance
with these requirements has been confirmed for the reporting year.
• North Lawn: 41,000 SF public open space, including landscaping and walkways
• Off -site traffic mitigation improvements: payment of fees to reimburse the City
for construction of off -site improvements within one year of completing Phase
One construction. Fees will be calculated and paid prior to January 31, 2015.
• Off -site public works improvements: payment of $641,000 in fees to the City
to construct sidewalks, curbs, streetlights, and street paving in the project area;
payment made in July 1998
• Transportation Demand Management Program: enhanced by First
Amendment
• Light rail shuttle: 15 -month requirement to operate shuttle to /from Memorial
Park Station starting within six months of the Expo light rail opening (required by
First Amendment)
• Off -site transit improvements: $100,000 contribution for Memorial Park light
rail station upgrades paid to the City in December 2012 (required by First
Amendment)
• Neighborhood protection measures: 11 requirements including establishing a
community Ombudsperson, providing a reduced valet rate for parking 90 minutes
or less, and payment of $30,000 for installation of a crosswalk at 21St
Street/Arizona Avenue and payment of $15,000 for a pedestrian safety study
(required by First Amendment; both amounts paid to the City. in Spring 2013)
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Status of Construction
The new Saint John's Health Center Entry Plaza on Santa Monica Boulevard opened to
the public in October 2013 with ancillary repaving and signage installation in and nearby
the Entry Plaza to be completed by the end of January 2014. An administrative
extension was granted for the Phase One vesting deadline to January 31, 2014 to allow
for completion of the Entry Plaza in part because of construction delays that resulted
from reduced staffing at the State of California's Office of Statewide Health Planning
and Development ( OSHPD).
OSHPD is responsible for reviewing and issuing building permits for the hospital
property. Issuance of building permits from OSHPD for the Entry Plaza and associated
work took approximately 20 months along with additional time also necessary for final
OSHPD approvals for the canopy over the main building entrance. This extended
OSHPD review period necessitated the need for the extension of the Phase One
vesting period deadline and is permitted by the Amendment Development Agreement
with the City based on a showing of good cause.
Status of Compliance
With respect to compliance with Development Agreement terms for the 2012 calendar
year review period, the required annual compliance report was received from Saint
John's Health Center on June 27, 2013. The hospital held its annual community
meeting to discuss Development Agreement compliance on June 17, 2013 and staff
from the hospital also attended a Mid -City Neighbors association meeting on July 15,
2013. The hospital's Community Ombudsperson provided the City with a summary of
the issues and questions discussed at the both meetings. Examples included questions
about employee and visitor parking; the use of ambulance sirens and general noise
from ambulance and City response vehicles; and a request for installation of signage on
Arizona Avenue and 23`d Street reminding vehicles to turn off sirens. Signage was
installed over the summer and follow -up correspondence was provided to the resident
who requested the signage.
17
Saint John's Health Center staff also provides periodic updates to the City on how the
hospital is addressing the other issues and questions raised during the two outreach
meetings. Hospital staff has provided copies of its neighborhood notification mailers
related to construction and upcoming meetings, its `good neighbor' reminders
disseminated to hospital employees, and its Ombudsperson report that includes a log of
the questions and concerns discussed with community members and the follow -up
provided on those matters during the past reporting year.
With respect to compliance with vehicle trip reduction measures, staff has verified that
Saint John's Health Center is implementing its TDM program in accordance with
Agreement terms. The First Amendment also identifies a 1.5 Average Vehicle
Ridership (AVR) target for both the a.m. and p.m. peak periods starting in November
2013. The hospital's Transportation Coordinator submitted its annual AVR survey
results in November 2013 which indicates a 1.42 AVR during the a.m. peak period and
1.41 AVR during the p.m. peak period. These AVR peak - period targets are structured
as goals with the requirement to implement additional transportation demand
management measures to work toward achieving these AVR rates.
City staff met with Saint John's Health Center on January 8, 2014 to discuss additional
single- occupancy vehicle trip reduction measures to implement at the hospital. It is
anticipated that the final set of measures will be identified by City staff and reviewed
with SJHC at the beginning of February 2014. Implementation will start immediately
thereafter in order to provide sufficient time to assess the effectiveness of the updated
TDM program in conjunction with the facility's employee trip survey that is conducted
annually in the fall. While the AVR goals established in the amended Agreement have
not yet been achieved, the current 1.42 and 1.41 peak hour AVR rates reflect steady
improvement since 2011 when SJHC reported a 1.34 AVR for both the a.m. and p.m.
peak periods.
In summary, staff has reviewed the amended Development Agreement, all of the
supporting documentation provided to the City for the 2012 reporting year, and
conducted a site visit during the annual review period. Based on this review, staff has
18
determined that Saint John's Health Center is in good faith compliance with the terms
and conditions of its Agreement, including Phase One construction obligations and fee
payments for neighborhood protection measures approved with the First Amendment in
2011.
While not related to the January 1, 2012 to December 31, 2012 annual review period,
staff provided a series of Information Items to Council (March 28 2013, October 3
2013, October_ 8,_2013) regarding SJHC's December 2012 receipt of a 120 -day written
notice from Equity Office's parking operator, Standard Parking, canceling the Parking
License Agreement for all spaces that were leased by the hospital at Colorado Center
(formerly Yahoo Center) effective March 31, 2013.
Based on this notification, Saint John's Health Center initiated the process specified in
Section 2.2 of the First Amendment to the Development Agreement which sets forth
procedures for City review and approval of a revised Parking Management Plan. This
revised plan needed to include the hospital's proposed functional equivalent to the
Colorado Center parking lease and demonstrate that parking to meet the hospital's
peak parking demand generated from Saint John's Health Center employees, patients,
and visitors is provided at all times.
After reviewing a series of submittals from Saint John's Health Center, staff determined
on June 26, 2013 that SJHC's updated Parking Management Plan, submitted initially in
January 2013 and subsequently revised based on staff requirements, provides the
requisite number of owned and leased spaces to serve as the functional equivalent to
the previously- approved North Campus subterranean parking garage. Staff determined
that the hospital complies with its obligation to provide parking at all times that is
functionally equivalent to the North Campus subterranean parking garage as set forth in
the First Amendment.
Staff also reviewed the facility's 2013 peak parking demand report submitted in Spring
2013. It is anticipated that final staff verification of SJHC's updated peak parking
demand will be completed during the first quarter of 2014 following submittal of an
19
updated parking study.documenting and analyzing parking utilization at the hospital with
full operation of the new Entry Plaza. Parking utilization data collection occurred at the
hospital on December 11, 2013 and the parking study was submitted to the City on
January 8, 2014.
Rand Corporation
1776 Main Street
Agreement Effective: 11/2312000
Expires: 11/23/2055
Reporting Period: 11/23/2012 to 11/23/2013
Good Faith Compliance Confirmed
The Rand Corporation Agreement involved the demolition and remediation of the
existing buildings on the 3.7 acre project site located at 1776 Main Street and the
construction of a 308,869 .SF headquarters for Rand Corporation. The new five -story,
69' tall building houses research - related facilities, management, staff cafeteria, fitness
room, and meeting /conference rooms. Parking is provided in a four - level, 825 -space
subterranean parking garage.
Community Benefits Summary
• Land dedication and construction of Vicente Terrace
• Land dedication for Main Street Circle should this be constructed
• TDM Program implementation
• Policy Analysis Partnership on Childhood Development and Education including
pursuing research funding for early childhood development
• Early Childhood Development Research, including organizing conferences and
maintaining a child policy website, www.promisingpraatices.com
• $500,000 contribution to Early Childhood Development Programs /Early Childcare
Education in the Civic Center
Status of Compliance
The required annual compliance report was received by staff on November 22, 2013.
Last year's approved amendment to the Development Agreement to allow a conversion
20
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The Rand Corporation Agreement involved the demolition and remediation of the
existing buildings on the 3.7 acre project site located at 1776 Main Street and the
construction of a 308,869 .SF headquarters for Rand Corporation. The new five -story,
69' tall building houses research - related facilities, management, staff cafeteria, fitness
room, and meeting /conference rooms. Parking is provided in a four - level, 825 -space
subterranean parking garage.
Community Benefits Summary
• Land dedication and construction of Vicente Terrace
• Land dedication for Main Street Circle should this be constructed
• TDM Program implementation
• Policy Analysis Partnership on Childhood Development and Education including
pursuing research funding for early childhood development
• Early Childhood Development Research, including organizing conferences and
maintaining a child policy website, www.promisingpraatices.com
• $500,000 contribution to Early Childhood Development Programs /Early Childcare
Education in the Civic Center
Status of Compliance
The required annual compliance report was received by staff on November 22, 2013.
Last year's approved amendment to the Development Agreement to allow a conversion
20
of approximately 18,216 square feet of parking garage into 17,300 square feet of usable
work space is currently under construction, and will continue through the end of the
calendar year. No additional compliance requirements resulted from this amendment.
In addition, the Director of Planning issued approval of a Minor Modification to the
Development Agreement (pursuant to Section 2.5.2) to reschedule the annual early
childhood conference (for 2013) to 2014. Section 4.5 of the Agreement pertains to
RAND's involvement in early childhood development research and programs, and
requires that RAND participate in a community conference for the purpose of promote
community awareness of current research on child - related topics.
The rescheduling of the conference was recommended by City childcare officials and
the Santa Monica- Malibu Unified School District. Based on staff's review of the
amended Development Agreement, the project has been determined to be in
compliance with all requirements.
Lantana East
3030 Olympic Boulevard
Agreement Effective: 10/28/2004
Expires: 10 /28/2024
Amended: 8/2008
Reporting Period: 10/28/2012 to 10/28/2013
Good Faith Compliance Confirmed
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Lantana East consists of a 3 -story, 64,105 SF building containing entertainment
production /post- production studio space and a total 433 parking spaces provided in a
subterranean parking garage and surface lot.
Community Benefits Summary
® $356,200 joint use improvement fee for improvements to Edison School, plus
$35,600 paid annually for 5 years (requirement shared with Lantana South)
® $266,650 childcare contribution
21
e $90,000 arts fee
• New public restrooms at Stewart Park
• Construction of neighborhood traffic protection & off -site roadway improvements
Status of Compliance
The required annual Development Agreement Compliance Report was submitted on
August 9, 2013 for the 2012 -2013 reporting year. Based on staff's review of the
Agreement, the project has been determined to be in compliance with all Development
Agreement fee payments, community benefits, and operational requirements.
Lantana South
3131 Exposition Boulevard
Agreement Effective: 10/28/2004
Expires: 10/28/2024
Amended: 8/2008
Reporting Period: 10128/2012 to 10/2812013
Good Faith Compliance Confirmed
Lantana South consists of a 3 -story, 130,000 SF building for entertainment
production /post - production studio space with a total of 456 parking spaces located within a
subterranean garage and surface lot.
Community Benefits Summary
e $356,200 joint use improvement fee for improvements to Edison School, plus
$35,600 paid annually for five years (requirement shared with Lantana East)
e $133,350 childcare contribution
e $60,000 arts fee
e Off -site roadway improvements
Status of Compliance
An annual Development Agreement Compliance Report was submitted in December
2013. As required by its Development Agreement, the property owner has completed
22
the Neighborhood Traffic Protection Program which included a review of the
effectiveness of the physical measures constructed in the neighborhood area bounded
by Exposition Boulevard, Virginia Avenue, Stewart Street, and Centinela Avenue to
mitigate potential traffic generated by the project.
Measures included curb extensions with new landscaping, and wedge- shaped physical
barriers at intersections. On September 24, 2013, Council determined that no additional
measures should be installed, and that no existing measures should be removed within
the Lantana South neighborhood area, and directed staff to refund the construction
deposit to the owners. Based on staffs review of the Agreement, the project has been
determined to be in compliance with all Development Agreement fee payments,
community benefits, and operational requirements.
Saint Monica's Catholic Community
725 California Avenue
Agreement Effective: 5/27/2010
Expires: 5127/2030
Reporting Period: 5/27/2012 to 5/27/2013
Good Faith Compliance Confirmed
The Saint Monica's Catholic Community Development Agreement consists of
construction of a single -phase Campus Enhancement and Parking Improvement Plan
on St. Monica's property. The project includes the following key components:
• Demolition of existing Pastoral Center
• Construction of a new Community Center (27,500 SF) with three levels of
subterranean parking (154 parking spaces)
• Construction of a 7,700 SF addition to the High School East building
• Renovation of the existing auditorium, gymnasium and other facilities
Community Benefits Summary
• TDM Program for students, employees, and parishioners
23
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The Saint Monica's Catholic Community Development Agreement consists of
construction of a single -phase Campus Enhancement and Parking Improvement Plan
on St. Monica's property. The project includes the following key components:
• Demolition of existing Pastoral Center
• Construction of a new Community Center (27,500 SF) with three levels of
subterranean parking (154 parking spaces)
• Construction of a 7,700 SF addition to the High School East building
• Renovation of the existing auditorium, gymnasium and other facilities
Community Benefits Summary
• TDM Program for students, employees, and parishioners
23
® Shared parking allowing neighborhood use of 15 parking spaces located at the
off -site surface parking lot at 1140 7th Street during off -peak hours
® Availability of a community meeting space to city departments, community
groups, and nonprofit organizations
e Public use of the Bookstore /Coffee Bar during all operating hours
Status of Compliance
The St. Monica's Catholic Community Center building has been completed. Applications
for Architectural Review Board consideration of the project's second phase, consisting
of courtyard landscaping and surface parking re- striping, will be submitted in early 2014.
St. Monica's Catholic Community is in compliance with Agreement requirements
effective at Certificate of Occupancy issuance, including community benefits such as
community access to the bookstore /cafe and meeting space, and shared residential
parking. Staff's review of compliance with terms for the 2013 -2014 reporting year will
be provided to Council in January 2015.
Projects Working to Achieve Compliance
Agensys
1800 Stewart Street
Agreement Effective: 10/28/2010
Expiration: at termination of ground lease
Reporting Period: 10/28/2012 to 1012812013
Working to Achieve Compliance
The Agensys Agreement permits a project including the following key components:
e 24,625 square feet for administration offices and entry lobby
e 45,590 square feet for manufacturing of new cancer treatments
e 72,050 square feet for research and development
e 11,390 square feet of meeting rooms, employee amenities including a cafeteria
open to the public during lunchtime hours
e 5,140 square -feet of publicly accessible open space
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• Publicly accessible pedestrian path to allow access to the Bergamot Station site
and future Expo Line light rail station
• Surface parking for 200 -220 cars
Community Benefits Summary
• Publicly accessible pedestrian path
• Publicly accessible passive open space along Stewart Street
• Widened sidewalk along Stewart Street
• Cafe open to pedestrians during limited daytime hours
• TDM Program geared to the project site's location within a "Higher Goal" District
designated by the LUCE
• Sculpture garden with up to 10 sculptures adjacent to the pedestrian path
• Local hiring program including a job fair and a local hiring policy
• Student internship program
• Student tours
• Signage and way- finding system
• Shared parking for events at Bergamot Station
• Continued community outreach
• Transit contribution toward improved transit infrastructure focused on bicycle
access at the light rail station
Status of Compliance
Construction for the Agensys project began in Spring 2011 and was completed in
January 2013. The Applicant is in compliance with Agreement requirements applicable
during the construction phase, including payments of $70,350 for the project's required
Bergamot Station Transit Infrastructure Contribution and $20,000 for and bicycle access
improvements in the area. The Applicant is working with City staff to achieve
compliance on one term of the Agreement now that the facility is completed and in
operation. Specifically, the Applicant is working to achieve compliance with its 1.6 AVR
requirement for the a.m. and p.m. peak -hour periods. The Applicant's most current AVR
survey conducted in August 2013 yielded an AVR of 1.26 during the a.m. and 1.28 in
p.m. peak -hour periods, respectively.
25
In contrast to the Agreements for Saint John's Health Center and Colorado Center
where AVR targets are structured as goals with accompanying requirements for
implementation of additional TDM measures to help work toward achieving those AVR
goals, the AVR rates specified in the Agensys Development Agreement were identified
as requirements due to the project site's location within a "higher goal" LUCE district.
Consistent with Agreement terms, City staff is working with Agensys representatives to
modify its current TDM plan to include additional trip reduction measures to help
achieve the AVR requirements set forth in the Agreement. Specifically, the Agreement
establishes that the City shall monitor TDM plan performance based on facility's annual
Employee Trip Reduction Program (ETRP) report that includes AVR survey results.
The Agreement also specifies that in the event the AVR requirement is not reached in
any annual ETRP report, the Applicant shall propose modifications to its TDM plan to
achieve the AVR requirements by the next submittal of the facility's annual ETRP report.
Once Agensys's TDM plan modifications are finalized, implementation will begin
immediately thereafter in order to allow sufficient time to implement and to assess
effectiveness during the Applicant's next annual AVR survey in Summer 2014. Staff will
report back to Council on the status of compliance on this matter as part of its annual
report to Council in January 2015.
Projects Under Construction
The Village
1725 Ocean Avenue
Agreement Effective: 5/27/2008
Expires: 12/31/2028
Project Under Construction
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The Village development provides six residential buildings with approximately 324
residences, and approximately 20,000 square feet of commercial retail on three
26
separate development sites. The following summarizes key project components:
Site A:
e Two condominium buildings, with ground floor retail on Ocean Avenue
e Olympic Drive and Main Street frontages with approximately 66 residences
0 Maximum 65' building height
0 109,346 gross square feet (GSF) of residential and 9,930 GSF of retail uses
0 180 parking spaces
Site B:
0 Four affordable apartment buildings with ground -floor live /work space
e Approximately 28 one - bedroom, 56 two - bedroom, and 66 three - bedroom units
0 10 affordable units of live /work space intended for artists
0 Maximum 60' building height
0 191,549 GSF
0 197 parking spaces
Site C:
0 One condominium building (96' height) with ground floor retail
0 Approximately 98 one - bedroom and 98 two- bedroom residences
0 159,288 GSF of residential and 7,400 GSF of retail uses
0 237 parking spaces
Community Benefits Summary
0 160 affordable units, including 10 units of live /work space intended for artists
0 LEER Silver certified buildings
e Completion of the Olympic Drive Extension, including signalization at the
intersections of Olympic Drive with Main Street and with Ocean Avenue, with
new sidewalks and landscaping
0 $500,000 toward design, construction, operation and /or maintenance of a Civic
Center Child Care Facility prior to issuance of a Certificate of Occupancy for
project buildings
e $700,000 Transit Service Enhancement Fund payable in two installments prior to
issuance of a Certificate of Occupancy for project buildings
27
• Provide two public art pieces on site, valued at approximately $920,000 with a
minimum value of $460,000 for the art work itself and pay an in -lieu Private
Developer Cultural Arts contribution for a portion of the site's square footage prior
to issuance of a Certificate of Occupancy
Status of Compliance
The project is currently under construction with completion anticipated by Spring 2014.
The property owner is operating in full compliance with Agreement requirements for the
project's construction phase. Examples of these requirements include work in progress
for compliance with sustainable design requirements; public infrastructure
improvements; and work performed in compliance with the required construction
mitigation plan. Transit Service Enhancement, Private Developer Cultural Arts, and
Civic Center Child Care Facility contributions described above will be paid prior to the
issuance of Certificates of Occupancy. Staff's review of compliance with terms for the
2013 -2014 reporting year will be provided to Council in January 2015.
702 Arizona Avenue
Agreement Effective: 12/8/2011
Expires: 12/8/2021
Project Under Construction
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The Development Agreement for 702 Arizona Avenue authorizes construction of a new,
four -story mixed -use building with approximately 6,276 SF of neighborhood - serving
commercial space on the ground floor, 49 residential units on the upper floors, and two
levels of subterranean parking.
Community Benefits Summary
• TDM Program that includes secure bicycle storage for residents, employees, and
visitors
• $50,000 contribution towards transit infrastructure in the Downtown area
• Infrastructure for potential future installation of electric vehicle charging stations
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® Achievement of a minimum LEED Silver certification or a demonstrated
equivalent sustainable design status
® Local hiring program
® Urban design features including a small pedestrian courtyard and walkway
Status of Construction
The project is currently under construction with completion anticipated by February
2014. The property owner is operating in full compliance with Agreement requirements
for the project's construction phase. Examples of these requirements include work in
progress for compliance with sustainable design requirements; implementation of local
hiring program goals; and work performed in compliance with the required construction
mitigation plan. Transit ($50,000), Cultural Arts ($66,030), and Child Care ($5,873.12)
contributions were paid in August 2012. Staff's review of compliance with terms for the
2013 -2014 reporting year will be provided to Council in January 2015.
Finally, a Minor Amendment was filed by the Applicant on November 21, 2013
requesting modified commercial parking standards for a proposed ground -floor
restaurant (one space per 500 square feet of floor area) and for a ground -floor yoga
studio (one parking space per 300 square feet of floor area). The Applicant submitted a
report for review by the Planning and Community Development Director identifying the
property's anticipated parking demand in order to demonstrate that the property's on-
site parking would be adequate for all uses with the proposed commercial parking
requirements. The Minor Amendment is currently being reviewed and the Director's
determination is anticipated during the first quarter of 2014.
1317 7'h Street
Agreement Effective: 12/8/2011
Expires: 12/8/2021
Project Under Construction
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This Development Agreement authorizes construction of a new, five -story mixed -use
building with approximately 2,929 SF of neighborhood - serving commercial space on the
ground floor, 57 residential units, and two levels of subterranean parking.
Community Benefits Summary
e One extra on -site affordable housing unit
e TDM Program with secure bicycle storage for residents, employees, and visitors
e $50,000 contribution towards transit infrastructure in the Downtown area
e Infrastructure for potential future installation of electric vehicle charging stations
e Achievement of a minimum LEED Silver certification or a demonstrated
equivalent sustainable design status
e Local hiring program
e Urban design features including a small pedestrian courtyard and walkway
Status of Construction
The project is currently under construction with completion anticipated by February
2014. The property owner is operating in full compliance with Agreement requirements
for the project's construction phase. Examples of these requirements include work in
progress for compliance with sustainable design requirements; implementation of local
hiring program goals; and work performed in compliance with the required construction
mitigation plan. Transit ($50,000), Cultural Arts ($77,524), and Child Care ($6,807.48)
contributions were paid in August 2012. Staff's review of compliance with terms for the
2013 -2014 reporting year will be provided to Council in January 2015.
Update on Projects Not Under Construction
Colorado Creative Studios
2834 Colorado Avenue
Agreement Effective: 9/22/2011
Expires: 9/22/2026
Compliance Not Required at this Time
30
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This Development Agreement authorizes the construction of a four -story, 191,982
square foot mixed -use creative arts /entertainment production building over a three -level
subterranean parking garage with up to 640 parking spaces. The site includes
landscaping and seating areas and the building also features ground floor neighborhood
serving uses.
Community Benefits Summary
• Dedicated 62 -foot wide surface easement for the extension of Pennsylvania
Avenue and construction of roadway, curb, and gutters
• Contribution to Expo station enhancement at Bergamot of approximately
$363,000
• Widened sidewalks along Stewart Street to enhance the pedestrian environment
• Community cafe
• Internships to Santa Monica College students or Santa Monica residents
• Shared parking program
• TDM Program implementation
• Local hiring program for construction - related jobs
Status of Compliance
Since this project has not advanced to issuance of a building permit, community
benefits have yet to be realized and there are no compliance issues to report. The
project recently completed its design review approvals with the Architectural Review
Board and is pending plan check submittal for building permits.
401 Broadway
Agreement Effective: February 9, 2012
Expires: February 9, 2022
Compliance Not Required at this Time
31
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This Development Agreement was approved by Council on January 10, 2012 and
authorizes construction of a new, five -story mixed -use development project consisting of
56 residential units and 4,159 SF of ground floor commercial space. An amendment to
the Development Agreement was approved on October 22, 2013 to permit 49
subterranean parking spaces accessed by a car elevator and minor modifications to the
ground floor plan.
Community Benefits Summary
• TDM plan with measures applicable to both the commercial and residential
components of the project
• $125,000 contribution for transit/circulation infrastructure in the Downtown area
• Ground floor arcade that enhances the adjacent sidewalks providing additional
space for pedestrians at the street corner
• One on -site affordable housing unit exceeding the minimum five units required
• Minimum LEED Silver certification per the LEED Rating System or a
demonstrated equivalent sustainable design status
• Roof - mounted photovoltaic solar panels
• Local hiring provision to facilitate the employment of local workers during
construction
Status of Compliance
The 401 Broadway project has not advanced to issuance of a building permit, therefore,
community benefits have yet to be realized and there are no compliance issues to
report.
710 Wilshire Boulevard
Agreement Effective: May 10, 2012
Expires: May 10, 2022
Compliance Not Required at this Time
32
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This Development Agreement was approved by Council on May 10, 2012 and
authorizes adaptive re -use of a six -story Landmark building located at 710 Wilshire
Boulevard for a new hotel with 55 rooms and 6,950 SF of ground floor retail /restaurant
space. The project also includes construction of new six -story hotel building on site with
230 rooms; 8,700 SF of ground floor retail /restaurant; a ground floor, open -air paseo;
and up to 325 subterranean parking spaces. The project also includes a living wage
provision, including health benefits, for covered hotel workers.
Community Benefits Summary
• Preservation and rehabilitation of a City Landmark building
• TDM Program that includes a 1.75 AVR target for employees of the project
achieved by the third year after the City's issuance of a certificate of occupancy,
bicycle parking for employees and guests, shared bicycles for guest use, and
transit subsidies for employees
• $244,000 transportation infrastructure fee
• Bicycle sharing area
• Electric vehicle infrastructure in parking garage for 30 electric vehicles
• Provide meeting space for non - profits and community organizations on a
reduced cost basis at least 12 times a year
• Paid internship program for at least two Santa Monica residents who attend
Santa Monica High School or Santa Monica College
• Local hiring for permanent and construction employees
Status of Compliance
The 710 Wilshire Boulevard project has not advanced to issuance of a building permit,
therefore, community benefits have yet to be realized and there are no compliance
issues to report.
33
15486 Ih Street
Agreement Effective: November 22, 2012
Expires: November 22, 2022
Compliance Not Required at this Time
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The 1548 6th Street Development Agreement was approved by Council on October 23,
2012 and authorizes the conversion of 3,038 square feet of non - usable space into four
residential units within an existing mix -use, market -rate rental housing project.
Community Benefits Summary
® One one - bedroom deed - restricted very low income unit
• TDM Plan with measures that include a 1.75 AVR by the second year after
Certificate of Occupancy issuance
® $75,000 contribution towards transit and circulation infrastructure in the
Downtown area prior to issuance of a Certificate of Occupancy
® Residential tenant bicycle repair station and bicycle racks
Status of Compliance
The building permit for this project has expired and the Applicant has recently reapplied
for building permits. The Applicant has also applied for a minor amendment to the
Development Agreement to reduce the total number of required publically- accessible
bicycle parking from 28 to 24 spaces. Staff review of the proposed amendment is
pending. Since the project has not advanced to issuance of a building permit, therefore,
community benefits have yet to be realized and there are no compliance issues to
report.
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2930 Colorado Avenue (Village Trailer Park site)
Agreement Effective: May 9, 2013
Expires: May 9, 2023
Compliance Not Required at this Time
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The 2930 Colorado Avenue project consists of an approximately 341,290 SF total
Mixed -use development with approximately 24,940 SF of commercial space, 377
residential units, including 38 affordable units, and 705 subterranean parking spaces.
The project was approved on April 9, 2013.
Community Benefits Summary
• Two new streets (Pennsylvania Avenue and New Road) that will be dedicated to
the City as surface easements
• $1,650,000 Transportation Infrastructure Fee
• $179,000 contribution to trust fund to be used for childcare subsidies for low
income families (includes voluntary assignment of required childcare linkage fee)
• $350,000 contribution to trust fund to be used for services for seniors, disabled
persons, and families with minor children with priority given to entities who are
providing services to Village Trailer Park residents
• Approximately 27,000 SF of general public open space including expanded
sidewalks for outdoor dining and gathering on Colorado Avenue, smaller on -site
plazas, pedestrian pathways, and green space at the intersection of New Road
and Pennsylvania Avenue
• Approximately 15,000 SF of residential public open space including pedestrian
pathways and courtyards
• Local hiring program for construction
• Local hiring program for permanent employment for commercial uses greater
than 1,500 SF
35
Status of Compliance
The 2930 Colorado Avenue project has not advanced to issuance of a building permit,
therefore, community benefits have yet to be realized and there are no compliance
issues to report.
13182 nd Street
Agreement Effective: July 25, 2013
Expires: July 25, 2023
Compliance Not Required at this Time
The 1318 2nd Street project consists of a four -story (45') and 46,421 SF mixed -use
development with 6,664 SF of commercial space; 53 residential units, 6,664 SF of retail
space, 66 subterranean parking spaces, and 132 bicycle parking spaces. The project
was approved by Council on June 25, 2013.
Community Benefits Summary
® $125,493 Transportation Infrastructure Contribution
® $125,000 Colorado Esplanade Contribution
® $225,000 Open Space Contribution
® $25,000 Big Blue Bus Contribution
® $25,000 Historic Preservation Contribution
® TDM Plan that exceed Zoning Ordinance requirements
® 24 Solar Panels
® Five Electric Vehicle Charging Stations
• Local Hiring Provision to facilitate the hiring of local workers during construction
and for permanent commercial employees
36
Status of Compliance
The 1318 2nd Street project received Architecture Review Board approval on November
18, 2013, and construction drawings are currently under plan check review. The project
has not advanced to issuance of a building permit, therefore, community benefits have
yet to be realized and there are no compliance issues to report.
1731 20th Street (Crossroads Schools)
Agreement Effective: August 8, 2013
Expires: August 8, 2033
Compliance Not Required at this Time
The Crossroads School Science Learning Center project permits development of a new
three -story (41'), 23,856 SF science learning center and temporary modular classrooms
and 50 bicycle parking spaces. The project was approved on June 25, 2013. Design
review approval with the Architectural Review Board was recently completed and the
project is currently in plan check review.
Community Benefits Summary
• Development of an educational facility that will provide enhanced educational
opportunities for students
• Bicycle Path Easement Agreement with for establishing a public bicycle path
• Photovoltaic Panels and Photovoltaic Panel -Ready Roof
• Pico Neighborhood Outreach and Prioritization for Summer Program
Status of Compliance
The Crossroads School project is currently in plan check review with a building permit
anticipated to be issued by January 2014. The property owner will be in full compliance
with Agreement requirements related to the issuance of a building permit including the
school obtaining fee ownership and possession of a City -owned remnant parcel located
37
within the project site. The project is not under construction and, therefore, community
benefits have yet to be realized and there are no compliance issues to report.
1554 5t" Street (Courtyard by Marriott Hotel)
Agreement Effective: December 26, 2013
Expires: December 26, 2038
Compliance Not Required at this Time
The Courtyard by Marriot Hotel project consists of development of a new six -story,
78,750 SF hotel with 136 guest- rooms, and 78 subterranean parking spaces. The
project was approved by Council on November 26, 2013.
Community Benefits Summary
® Permanent Historic Commemorative Installation on the property in a publicly
accessible location
® Artistic Exhibition Program for the purpose of showcasing different forms of art in
periodic exhibitions at the hotel, including art sourced from professional galleries,
local artists, and Santa Monica students
e Community access to on -site meeting space
e Physical space dedicated for a future bicycle sharing program station
e $294,000 Colorado Esplanade Contribution
e $50,000 Hospitality Training Academy Contribution
e $75,000 Historic Preservation Contribution
e Fourth Court Alley Improvement Contribution (or if not implemented, contribution
would become a Parks & Recreation /Open Space Contribution of $210,000)
e Affordable Housing Contribution of $21,000
e Minimum LEED Gold certification as established by the LEED Rating System
e Solar energy systems including photovoltaic solar panels
e One electric vehicle charging station and seven stub -outs for charging stations
e Minimum 30% water reduction for the hotel's total water use
38
v
The Courtyard by Marriot Hotel project consists of development of a new six -story,
78,750 SF hotel with 136 guest- rooms, and 78 subterranean parking spaces. The
project was approved by Council on November 26, 2013.
Community Benefits Summary
® Permanent Historic Commemorative Installation on the property in a publicly
accessible location
® Artistic Exhibition Program for the purpose of showcasing different forms of art in
periodic exhibitions at the hotel, including art sourced from professional galleries,
local artists, and Santa Monica students
e Community access to on -site meeting space
e Physical space dedicated for a future bicycle sharing program station
e $294,000 Colorado Esplanade Contribution
e $50,000 Hospitality Training Academy Contribution
e $75,000 Historic Preservation Contribution
e Fourth Court Alley Improvement Contribution (or if not implemented, contribution
would become a Parks & Recreation /Open Space Contribution of $210,000)
e Affordable Housing Contribution of $21,000
e Minimum LEED Gold certification as established by the LEED Rating System
e Solar energy systems including photovoltaic solar panels
e One electric vehicle charging station and seven stub -outs for charging stations
e Minimum 30% water reduction for the hotel's total water use
38
• Local Hiring Provision: internship program, job fair, and 40% hiring goal
• Transportation Demand Management Program including a 2.0 AVR target, bike
parking, bike rentals, car -share spaces, transit subsidies, etc.
• Physical Improvements consisting of expanded sidewalks
• Shared Parking Provision
Status of Compliance
The project has not advanced to issuance of a building permit, therefore, community
benefits have yet to be realized and there are no compliance issues to report.
501 Colorado Avenue
(Hampton Inn & Suites Hotel)
Agreement Effective: December 26, 2013
Expires: October 31, 2035
Compliance Not Required at this Time
4) (Olfd 1AVG
The Hampton Inn & Suites Hotel project consists of development of a new six -story,
78,750 SF hotel with 143 guest rooms, and 78 subterranean parking spaces. The
project was approved by Council on November 26, 2013.
Community Benefits Summary
e $294,000 Colorado Esplanade Contribution
e $50,000 Hospitality Training Academy Contribution
e $25,000 Historic Preservation Contribution
e $69,343 Transportation Impact Contribution
• $196,657 Parks & Recreation /Open Space Contribution
® Minimum LEED Gold certification as established by the LEED Rating System
• Solar energy systems including photovoltaic solar panels
® One electric vehicle charging station and seven stub -outs for charging stations
39
• Minimum 30% water reduction for the hotel's total water use
• Artistic Exhibition Program showcasing different forms of art in periodic
exhibitions at the hotel, including art sourced from professional galleries, local
artists, and Santa Monica students
• Community access to on -site meeting space
• Local Hiring Provision: internship program, job fair, and 40% hiring goal
• Transportation Demand Management Program including a 2.0 AVR target, bike
parking, bike rentals, car -share spaces, transit subsidies, etc.
• Physical Improvements consisting of expanded sidewalks
• Shared Parking Provision
Status of Compliance
The project has not advanced to issuance of a building permit, therefore, community
benefits have yet to be realized and there are no compliance issues to report.
Status of Compliance — Edgemar Property
In conjunction with its October 22, 2013 review of an appeal of a Conditional Use Permit
approval for a commercial tenant space and gym use located at 2433 Main Street,
Council directed staff to provide follow -up information on the status of the compliance
with key conditions of approval that were discussed by members of the public for
Development Review Permit 96 -001, Conditional Use Permit 97 -004, Variance 96 -001,
and Conditional Use Permit 96 -011. These permits were approved on appeal by Council
on August 26. 1997 (with approval of the Statement of Official Action on December 2
1997) for the property commonly known as the Edgemar Project located at 2415 -2443
Main Street. The following provides a brief summary of the four primary issues staff has
been working to resolve with the Edgemar Project owner and tenants. Of specific
concern were the parking lot hours and operation, Brick + Mortar restaurant and
Edgemar Theater operations, and occupancy of the on -site artist studios.
Parking Lot
The on -site parking lot has valet parking during theater operating hours and a security
gate that is required to remain closed overnight between the hours of 1:30 a.m. to 6:30
a.m. weekdays and 2:00 a.m. to 8:00 a.m. on weekends. Staff observed compliance
m
with the parking lot conditions during five site visits in October, two site visits in
November, and four site visits in December 2013. Further, there was an allegation of
leasing parking spaces to non - Edgemar tenants, which the owner confirmed. However,
the owner stated in a letter to staff dated December 30, 2013 that the eight parking
space leases were terminated on September 30, 2013 to comply with the Development
Review Permit.
Restaurant
Brick + Mortar restaurant had compliance issues pertaining to operating as a restaurant
versus a bar and violating specific conditions of approval. An administrative citation
was issued to Brick + Mortar for code violations on December 4, 2013. Since speaking
with the owners and managers of the restaurant, Code Enforcement staff observed
complete compliance at Brick + Mortar during four site visits in December 2013,
including compliance with food service requirements, restrictions on queuing and noise,
and a prohibition of bar -type events such as pub /bar crawls.
Theater
The Edgemar Theater is in compliance with Development Review permit conditions,
including the prohibition of outdoor stage construction, hours of operation, and providing
parking information to guests, as confirmed during five site visits in October, two site
visits in November, and four site visits in December 2013.
Artist Studios
The Development Review Permit for the Edgemar Property allowed for the construction
of two artist studios with entrances on Second Street. The artist studios were of specific
concern, as the DR permit requires that if there is no artist in residence, the Second
Street entrances must be removed. Code Compliance staff confirmed that a graphic
designer resides in one of the units, and conducts his graphic design business
(considered "artist" activity by the interpretation of artist by the Planning Commission)
and another business, HipSwap, an online consignment shop, out of the artist studio.
The resident is permitted to operate both businesses out of the same space. This was
confirmed by Code Enforcement staff on November 9, 2013, and further confirmed by
41
the landlord in writing on November 22, 2013. The other artist studio contains two
tenants whose home -based business, Fresh Interactive, provides graphic design
services that meet the definition of artist, as confirmed by a site visit on October 18,
2013. As a result, both artist studios have been found to be in compliance with the
Development Review Permit.
Public Outreach
The Code requires that that the City provide at least 10 days' notice to the Developer or
successor -in- interest of the City Council's scheduled meeting to review Development
Agreement compliance. This notice has been provided.
Next Steps
Staff will continue its ongoing Development Agreement compliance review; reports will
be made to Council annually in January.
Financial Impacts & Budget Actions
There is no immediate financial impact or budget action necessary as a result of the
recommended action.
Prepared by: Roxanne Tanemori, AICP, Senior Planner
Approved:
Attachments
Forwarded to Council:
Rod Gould
City Manager
A. Summary of Key TDM Program elements included in Development Agreements
since 2010
42
Attachment A: TDM Program elements included in Development Agreements since 2010
Development
Average Vehicle 1 Bicycle Parking &
Transit se Light
ransportation Shared Parking Employee Parking Cashout I
Agreements
Ridership Peak
Amenities
Rail
Management
Facility
Financial Incentives-and-Trans-It
1.6 AVR
Hour Targets
shuttle
J Shuttle
I Association (TMA)
i with light rail
Coordinator
operation
(AVR)
(201 1)
- Space for future bicycle
Shower & locker
. Fund TMA study
i
Colorado
1.5 AVR
117 bicycle parking
1 (2010)
Fo Establish -and
Provides shared
• Yes
Center
spaces
operate facility-
parking facility
• Yes
Amendment
• 1.6 AVR
wide TMA
based TMA
with light rail
1 Agensys
F-Requirements:
25 bicycle parking
$75,000
(2011)
Permitted to
o Yes
1.6 AVR
spaces
i
SaintJohn's
• 1.5 AVR
• 90 bicycle parking $100,000
Required
• Co-lead TMA Utilizes off-site - Yes
Health Center
Yes
spaces
18-month
I formation in shared parking
- Yes
•Amendment
1.6 AVR
parking facility
shuttle
Healthcare District facility
i with light rail
. Shower & locker
operation
I
(201 1)
- Space for future bicycle
Shower & locker
. Fund TMA study
i
requires
sharing station
1 (2010)
• Participate in
• Participate in
future Healthcare
District TMA
Saint Monica's
.5 AVR
50 bicycle -parking-
Assist in formation
Provides shared
Yes
Catholic
spaces
of geographio
parking facility
Yes
Community
based TMA if City
Shower & locker
requires
1 (2010)
• Participate in
future geographic-
based TMA
1 Agensys
F-Requirements:
25 bicycle parking
$75,000
Participate in
Permitted to
o Yes
1.6 AVR
spaces
i
future geographic-
share parking
Yes
(2010)
based TMA
• 1.75 AVR
Shower & locker
I with light rail
Colorado
. 1.6 AVR
64 bicycle parking
�_3_63,200
Participate in
Provide -shared
Yes
Creative
I
spaces
future geographic-
parking facility
Yes
Studios
. 1.75 AVR
Shower & locker
based TMA
with light rail
(2011)
Space for future bicycle
sharing station
702 Arizona
.75 AVR
63 bicycle parking
i
$50,000
Participate in
r Permitter ed to
Yes
Avenue
by third year of
spaces
future geographic-
share parking
Yes
occupancy
a Shower & locker
based TMA
(2011)
Y
Development
Average Vehicle
Bicycle Parking & Transit Fee
Light
Transportation
'Unbundled
ye —�
Employee Parking
Agreements
Ridership Peak
Amenities`
Rail
Management
i'Parking/
s -and -
Financial Incentives and- Transit
Hour Targets
Shuttle
'Association (TMA)
Shared Parking
Coordinator /Information Center
(AVR)
(
i'
:Facility
1317 Street
1.75 AVM R
• 67 bicycle parking
$5'000
I�
Participate in
Permitted to
• Yes
by third year of
"spaces
future geographic -'I,
share parking
• Yes
(2011)
occupancy
• Shower & locker
�..
based TMA
401 Broadway
2.0 AVR
. 89 bicycle parking $125,000
• Participate in
Required to
• Yes
by third year of
spaces (including secure
future geographic-
unbundle parking
•Yes
(2012 & 2013
occupancy
spaces for employees
based TMA
Amendment)
and residents, and
publically assessable for
commercial and
residential visitors)
Shower & locker',
710Wilshire li 1.75 AVR
Boulevard by third year of
occupancy
(2012)
I. to Avh
by second year of
occupancy.
• 64 secure bicycle
parking spaces
(employees) and bicycle
check for hotel guests
• 16 guest bicycle parking
spaces
• 20 bicycles for shared
use by hotel guests (or
provide vouchers)
• 108 secure bicycle
parking spaces for
residents
. 28 publically accessible
spaces
Residential tenant
bicycle repair station
of geographic-
based TMA if City
requires
future
geographic -based
TMA
Permitted to • Yes
share & • Yes
unbundle parking
share &
unbundle parking
iW Development Average Vehicle Bicycle Parking 8 - Transit Fee tight iv Trensporta lion Sharetl Parkmg Employee Parking Cashout
Agreements Ridership Peak Amenities :Rail Management Facility Financial Incentives- and - Transit
Hour Targets Shuttle Association (TMA) Coordinator /Information Center
- :(AVR)
2930 Colorado
e 1.5 AVR for
• 64 bicycle parking $1,650,000
j Participate in
Requirementto I • Yes
Avenue
commercial
spaces for visitors
future
share portion of
li
j
tenants
geographic-based
parking & • Yes `!
(2013)
_ 5 secure bicycle parking
TMA
permitted to ']
• PM peak -hour
spaces (employees)
unbundle parking
vehicle trip cap
',, Fund $50,000
established
• 377 spaces for res de is
residents
toward area TMA
formation
i
'. • Residential tenant
bicycle repair station
• Shower & locker
II,
Space for future bicycle
j
sharing station'',
j
(2013)
• 7 short-term bicycle
parking spaces for
commercial patrons
• 6 short-term bicycle
spaces for resident
visitors
• 4 secure bicycle parking
spaces (employees)
• One bicycle parking
space per residential unit
• 53 additional bicycle
parking spaces for
residents
• Shower & locker
3
• rarticipate in
future
geographic -based
TMA
Required to
unbundle parking
• Yes
e Yes
Development Average Vehicle Bicycle Parking & Transit Fee :Light Transportation Shared Parking j Employee Parking Cashout /
Agreements Ridership Peak Amenities l Rail 'Management Facility Financial Incentives - and - Transit
Hour Targets Shuttle Association (TMA) Coordinatorllnformation Center
(AVR)
I
(Crossroads)
(2013)
(Courtyard by
Marriott Hotel)
(2013)
1.6 AV K for both
a.m. and p.m.
peak periods until
the second year
after opening of
the Exposition
light rail stations
at Olympic
Boulevard /26th
Street and
Colorado
Avenue /17th
Street
• 1.75 AVR for
both a.m. and
p.m. peak
periods by the
third year after
opening of these
light rail stations
Execute an easement
agreement granting to
the City a ten -foot wide
surface easement across
the southerly portion of
the property for purposes
of establishing a public
bike path
• 50 bicycle parking
spaces for employees,
students, visitors
• s1 bicycle parKmg
spaces for employees
and hotel guests
• 12 bicycle parking
spaces for visitors
• 10 bicycles available for
rental by hotel guests
• Shower & locker
Colorado
Esplanade
Contribution
Participate in the
formation of a
geographic -based
TMA
• Participate in
future
geographic -based
TMA
Development -
Average Vehicle
', Bicycle Parking &
T ransit Fee
:Light
!, Transportation
Shared Parking
Employee Parking Cashout /
Agreements
Ridership Peak
h Amenities
' Rail
!,, Management
Facility
Financial Incentives -and- Transit
Hour Targets
"�
!:Shuttle
Association'
Coortlinatodlnformation:Center
(AVR)
I
(TMA)
501 Colorado
• 2.0 AVR from
33 bicycle parking
$69,343
!
° Participate
Permitted to
• Yes
Avenue
one year after the
spaces for employees
future
share parking
• Yes
(Hampton Inn
City's issuance of
final
and hotel guests
$294,000
Colorado
geographic-based
TMA,
a certificate
!, ° 12 bicycle parking
!
& Suites Hotel)
of occupancy
Esplanade
spaces for visitors
Contribution
(2013)
1.75 AVR if Light
° 10 bicycles available for
'i
!, Rail Line is not
rental by hotel guests
!
!
fully operational
j
at that time
Shower & locker
Space for future bicycle
jsharing
station
!