File #: 2014-910   
Type: Regular Agenda Item
Body: Planning Board
On agenda: 9/22/2014
Title: Public Hearing to consider the Master Plan, Density Bonus application, Development Plan, Design Review, Development Agreement, and Transportation Demand Management Program for the adaptive reuse and redevelopment of the Del Monte Warehouse located at 1501 Buena Vista Avenue and two vacant areas between the building and Sherman Street. The properties are zoned MX (Mixed Use) and MF (Multifamily Residential). A Subsequent Mitigated Negative Declaration has been prepared for the project pursuant to California Environmental Quality Act
Attachments: 1. Exhibit 1.a - Draft Resolution recommending that the City Council adopt the Supplemental Mitigated Negative Declaration., 2. Exhibit 1.b - Draft Subsequent Mitigated Negative Declaration, 3. Exhibit 1.c - Draft Mitigation Monitoring and Reporting Program, 4. Exhibit 2.a - Draft Resolution recommending that the City Council approve the Del Monte Master Plan, 5. Exhibit 2.b - Del Monte Master Plan, 6. Exhibit 3.a - Draft Ordinance approving the Development Agreement, 7. Exhibit 3.b - Draft Development Agreement, 8. Exhibit 4.a - Draft Resolution approving the Del Monte Transportation Demand Management Program, 9. Exhibit 4.b - Draft Transportation Demand Management Program, 10. Exhibit 5 - Memorandum from Nelson Nygaard regarding Del Monte Transportation Demand, 11. Exhibit 6.a - Draft Resolution approving Development Plan and Design Review for the Del Monte Building, 12. Exhibit 6.b - Draft Development Plan and Design Review Plans, 13. Exhibit 7 - Public Comment
Title
 
Public Hearing to consider the Master Plan, Density Bonus application, Development Plan, Design Review, Development Agreement, and Transportation Demand Management Program for the adaptive reuse and redevelopment of the Del Monte Warehouse located at 1501 Buena Vista Avenue and two vacant areas between the building and Sherman Street.  The properties are zoned MX (Mixed Use) and MF (Multifamily Residential). A Subsequent Mitigated Negative Declaration has been prepared for the project pursuant to California Environmental Quality Act
 
Body
 
CITY OF ALAMEDA
    Memorandum
 
To:            Honorable President and
            Members of the Planning Board
      
From:         Andrew Thomas
City Planner
                  
Date:            September 22, 2014
 
Re:      Public Hearing to consider the Master Plan, Density Bonus application, Development Plan, Design Review, Development Agreement, and Transportation Demand Management Program for the adaptive reuse and redevelopment of the Del Monte Warehouse located at 1501 Buena Vista Avenue and two vacant areas between the building and Sherman Street.  The properties are zoned MX (Mixed Use) and MF (Multifamily Residential). A Subsequent Mitigated Negative Declaration has been prepared for the project pursuant to California Environmental Quality Act
 
EXECUTIVE SUMMARY
 
Staff is recommending that the City of Alameda proceed with a proposal for the redevelopment and rehabilitation of the historic Del Monte Warehouse property at 1501 Buena Vista Avenue. The proposal is described in detail in this report and in the attached exhibits.  
 
For the City to proceed with the proposal by the TL Partners I, LP ("applicant"), the Planning Board must hold a public hearing and make a recommendation to the City Council on the following documents:
 
·      Exhibits 1.a, 1.b, and 1.c, which include a draft resolution, draft Subsequent Mitigated Negative Declaration and draft Mitigation Monitoring and Reporting Program.  These documents supplement the 2008 Northern Waterfront Environmental Impact Report (EIR) and disclose the potential impacts of the project on the environment and the mitigation measures necessary to lessen or eliminate those impacts.
 
·      Exhibits 2.a and 2.b, which include a draft resolution and draft Master Plan for the property.  The Master Plan establishes the development standards for the property, including the adjacent streets, internal streets, paseos, permitted uses and building development standards, and requirements for the site's three subareas (Subareas A, B and C).  
 
·      Exhibits 3.a and 3.b, which are a draft ordinance and draft Development Agreement for the property.  The Development Agreement is a contract between the City and the property owners (current and future) which contains specific development and funding obligations for the property owners for specific public benefits including, but not limited, to funds for Jean Sweeney Open Space Park and construction of the Clement Street extension.
 
In addition to the approvals described above, to proceed, the proposal requires that the Planning Board hold a public hearing and make a decision on the following documents:
 
·      Exhibits 4.a and 4.b, which are a draft resolution and Transportation Demand Management (TDM) Program for the project to provide transportation services and reduce traffic generated by the project. An independent evaluation of the TDM program is included as Exhibit 5.
 
·      Exhibits 6.a and 6.b, which are the draft resolution and Development Plan and Design Review plans for the structural changes to the Del Monte Building.  These plans include all of the design details for the modifications to the building and its immediate surroundings, which are identified as Sub Area A in the Master Plan.  
 
Staff is recommending that the Planning Board hold a public hearing and approve the recommended resolutions.   A City Council public hearing on the proposal is tentatively scheduled for November 18, 2014 to consider these documents and the Planning Board's recommendations.  
 
BACKROUND
 
In 2008, the City Council adopted the Northern Waterfront (NW) General Plan Element (Chapter 10 of the General Plan), which establishes the City's vision for a waterfront mixed use neighborhood along the Northern Waterfront and designates the Del Monte site for residential and commercial mixed use.  In 2009, the City zoned the property MX (Mixed Use) to support mixed use development of the site. In 2012, the City added a multi-family (MF) overlay zoning designation on the property to facilitate the use of the property for multifamily housing to meet the City's housing needs.  
 
On March 10, 2014, the Planning Board held a public workshop to preview the project. On April 3, 2014, the Historical Advisory Board (HAB) held a public hearing to review the project's conformance with the Secretary of the Interior's Standards for Rehabilitation.  On April 23, 2014, the applicant held a public "open house" on the property.  On April 28, 2014, the Planning Board held a second public workshop to review and comment on the project plans.
 
On April 29, 2014, the City released the Subsequent Mitigated Negative Declaration (Exhibit 1.b), which supplements the 2008 EIR that evaluated the environmental impacts of redevelopment of this, and surrounding, properties.   
 
On June 5, 2014, the HAB approved the Certificate of Approval for the proposal, which confirms that the proposed development plan is consistent with the Secretary of Interior Standards for the Rehabilitation of historic properties.   
 
On June 23, 2014, the Planning Board held a public workshop to discuss the draft Master Plan and Development Plans. At the meeting, the Planning Board specifically requested more information on the transportation and parking plan, the affordable housing plan, and the plans for universally designed units and sustainability.   
 
ANALYSIS
 
Staff is recommending conditional approval of the proposed project because the project is consistent with the City of Alameda General Plan and Local Climate Action Plan, and staff believes the proposed project will be an asset and benefit to the adjacent Northern Waterfront neighborhood and the city as a whole.  The major General Plan objectives and public benefits achieved through this project are described below.
 
Mixed Use Transit Oriented Development:  The City's General Plan and Zoning Ordinance call for a waterfront, transit-oriented, mixed use development with multifamily housing on the property.  To implement the transit oriented and mixed use policy objectives, the Master Plan proposes up to 414 multifamily housing units in the three Subareas (A, B, and C). To ensure that project residents and nearby neighbors have access to neighborhood services and retail opportunities, and to avoid the need for multiple trips by automobile through and around the neighborhood, the Master Plan also includes a minimum of 30,000 square feet of commercial space.  The Development Plan for the Del Monte Warehouse building proposes up to 308 of the 414 residential units and 30,000 square feet of commercial space.     
 
Historic Preservation: The General Plan calls for the adaptive reuse of the historic Del Monte Warehouse (one of only 25 designated City Monuments in Alameda) consistent with the Secretary of Interior Standards for Rehabilitation.  The project proposes to permanently preserve the historic building with residential adaptive reuse.  On June, 5, 2014, the HAB approved a Certificate of Approval confirming that the proposed design modifications and the addition to the Del Monte Warehouse are consistent with the Secretary of Interior Standards for Rehabilitation.
 
Housing for a Variety of Household Types:  The General Plan Housing Element identifies the citywide need for housing to serve the wide variety of families and household types that exist in Alameda. The proposed project provides housing for households that have been significantly under-served by new housing development in Alameda over the last 30+ years:  families with disabilities, senior households, single parent families, and families and households that cannot afford, or do not wish, to occupy a single-family home. Of the 308 housing units proposed in the Del Monte building, 126 (41%) will be one-bedroom and studio units, 162 (52%) will be two-bedroom units, and 20 (7%) will be three-bedroom units.
 
The applicant is proposing to subdivide the Del Monte building to allow for the sale and purchase of the units as condominiums.  Therefore, it is anticipated that the majority of the housing units in the Del Monte Building will be occupied by homeowners, and that a smaller number of units will be occupied by renters who are leasing their units from the unit owner.  Depending on market conditions for condominium sales, the project developer may also choose to simply rent all, or some, of the condominium units until such time that the market conditions improve.  The 55 affordable units will all be rental units.
 
Housing for People with Disabilities and Aging in Place: The General Plan Housing Element identifies the need for housing for people with disabilities and seniors, who wish to "age in place".  The project sets a new standard for Alameda projects:
 
All 209 single-story units include the following universal design elements:
 
·      Accessible route of travel from a public sidewalk to the unit's primary entrance.
·      Accessible route of travel from garage/parking to the unit's primary entrance.
·      Minimum 32" clear primary entry doorway and a "no step entry" (1/2" or less threshold) with dual peephole and doorbell.
·      All exterior/interior doors shall meet Chapter 11a. Code-required maneuvering clearances, hardware, thresholds, and strike side clearances.
·      An accessible route of travel with a minimum 42" wide hallway to all bedrooms, living room, kitchen, and bathrooms.  
·      Light switches, electrical receptacles, and environmental controls at accessible heights on the primary accessible floor.
·      Rocker light switches throughout unit.
·      Minimum required work/floor clearance of 30"x48" in front of stove, refrigerator, dishwasher, sink, and oven.
·      Accessible countertops with a 30" wide workspace and/or one or more 15" breadboards installed between 28-32" high.
·      Under-cabinet lighting.
·      At least one full bathroom on accessible route of travel.
·      Standard bathtub and toilet with grab bar reinforcement.
·      Bathroom with removable base cabinets.
·      Accessible medicine cabinet and integral mirror, lower towel racks and robe hooks, and accessible toilet tissue holder.
 
All 89 two-story units will include all of the elements of the one-story units except that some bedrooms will be on a second floor that can only be accessed from an internal staircase, but each unit includes at least one type of each room (bathroom, kitchen, bedroom, common room) on the primary accessible floor.
 
All 10 work-live units will include all of the elements of the two-story units, except that the ground floor bedroom is replaced by a work/office space.  In addition, each work unit includes a minimum 32" clear secondary entry doorway with dual peephole and doorbell and entry door bench/package shelf.
 
All 200 units with decks/balconies include no-step transition onto/from the deck/balcony, and proper maneuvering clearances, hardware, and strike edge clearances on the deck/balcony.
 
Affordable Housing:  The proposed project will include 55 units which will be restricted to lower income households (HHs).  17 units would be affordable to very low-income HHs, 14 units would be available to low-income HHs, and 24 units would be available to moderate-income HHs.  
 
To implement the affordable housing component of the project, the project applicant is required to enter into an Affordable Housing Agreement with the City of Alameda.  The agreement will address the construction, leasing, sale, and maintenance of the 55 affordable units over time.  The 55 units will be distributed among the Master Plan's three sub-areas, and integrated into each of the three buildings as follows:  
 
Eighteen (18) of the moderate-income units will be distributed within the Del Monte Building, which will be the first building completed. The 31 very low and low-income units will be constructed in a new building by a non-profit housing developer in Sub-Area B or C.  The site improvements for the affordable housing project will be completed concurrent with the site improvements for the Del Monte Building, and construction will commence on the affordable housing building immediately upon completion of the site improvements (sewer, storm water, and road improvements) needed to serve the Del Monte Building and the affordable housing building.  Combining the low and very low-income units in one, or two, new buildings allows for the necessary tax credit financing and ensures that the project is well designed and includes management facilities and other on-site services for the tenants.  A similar approach has been used successfully by the Housing Authority at the Breakers at Bayport, Shinsei Gardens, and the recently approved 32-unit affordable housing project at Alameda Landing.
 
The remaining six moderate-income units will be distributed in one or more market rate residential buildings constructed after the affordable housing project on Sub Area B or C.  
 
Open Space and Parks:  Given the large footprint of the Del Monte Building (approximately five acres), and the need for roadway improvements and internal circulation, the project's ability to provide open space on the property is limited to small porches for some ground floor units, small balconies for approximately 80 units, an on-site health and work-out facility, the north and south courtyards, and two communal rooftop gardens.  In recognition that the residents of the project will rely on existing and future yet-to-be-constructed City parks, specifically the adjacent Jean Sweeney Open Space Park and the adjacent Littlejohn Park, the proposal includes:  
 
·      A $2 million contribution to construction of a portion of the Jean Sweeney Open Space Park to be completed concurrently with the project;
·      Over $3.5 million in open space impact fees for city parks,  and
·      A 0.25 percent transfer fee to be assessed on the re-sale of residential units in the project, which will provide an ongoing funding source for city maintenance costs for parks adjacent to the site, such as Littlejohn Park.   
 
Public Infrastructure, Clement Avenue, Trucks, and Bikes:  The project includes:
 
·      Construction of the Clement Avenue extension from Atlantic Avenue to Entrance Road, including a new signalized intersection at Sherman and Atlantic and at the intersection of Entrance Road and Clement Avenue. The new public street will include two travel lanes, on-street parking, and a cycle-track for two-way bicycle access.  Marina Cove I has completed its segment of Clement Avenue. The Marina Cove II project (the Chipman Site) is currently constructing its segment of the Clement Avenue extension. The future Pennzoil project will construct its segment of the Clement Avenue extension.
 
With the completion of the Clement Avenue extension, traffic to and from the site from the west (Posey Webster Tubes) will be able to access Atlantic Avenue directly and avoid Sherman Street. Once the extension is completed through the Pennzoil site, access from the east (Park Street Bridge) will be provided by Clement Avenue and will allow the existing Buena Vista Avenue truck route, and much of the existing Buena Vista Avenue traffic, to be relocated to Clement Avenue, thus reducing traffic volumes on Sherman Street and Buena Vista Avenue. In addition, with the completion of this improvement, and the complementary plans for cycle-tracks and bicycle lanes through Jean Sweeney Open Space, along Ralph Appezzato Memorial Parkway, through Alameda Point, and down Clement Avenue to the Fruitvale Bridge, bicyclists will be able to safely and conveniently bike from the Seaplane Lagoon at Alameda Point across the entire island of Alameda to the Fruitvale Bridge in dedicated lanes and cycle-tracks on the "Cross Alameda Trail". The City of Alameda is currently in active discussions with Wind River and Pennzoil regarding these improvements.
 
·      Pedestrian access will be provided along improved sidewalks on Sherman Street and Buena Vista Avenue and on new sidewalks on the Clement Avenue extension and Entrance Road. Entrance Road will be improved to a curb-to-curb width of 40 feet with sidewalks on both sides. Buena Vista Avenue will be improved with a new five-foot wide sidewalk, a planter strip, street trees and new pedestrian crossings. Sherman Street also will be improved with a new seven-foot wide sidewalk, a planter strip and street trees. A public pedestrian paseo is planned to bisect the interior of the warehouse building to connect Littlejohn Park and the Benton Street intersection to the waterfront.
 
·      Construction of new sewer, storm water, water, and power infrastructure on the site to replace the current substandard utilities serving the property.
 
·      Payment of over $1.2 million in development impact fees to the City for off-site citywide Police, Fire, Transportation, and Public Infrastructure improvements.  
  
Sustainable Design: The proposed project represents one of Alameda's best examples of sustainable, energy-efficient development.  The following project features are designed to reduce greenhouse gas emissions and combat climate change:  
 
·      Preservation and reuse of an existing building reduces waste, energy use and greenhouse gas emissions during construction;
 
·      Mixed use development, on-site transportation services, reduced parking, on-site bicycle services (e.g., the on-site "Bicycle Kitchen" for bicycle maintenance), and on-site car share services reduce greenhouse gas emissions from automobiles;  
 
·      Building design consistent with a LEED Silver designation or its equivalent reduces greenhouse gas emissions from building heating, cooling, and operations;   
 
·      Bay Friendly Landscape materials that reduce greenhouse gas emission from landscape maintenance and reduced water use:   
 
·      Photo voltaic solar panels on the roof of the Del Monte Building provide power that is not dependent upon burning of fossil fuels and greenhouse gas emissions;
 
·      Electric vehicle charging stations in the building. In addition to the initial four electric vehicle charging spaces, the entire garage will be pre-wired to facilitate additional chargers as demand for electric vehicle charging stations increases.
 
Transportation and Parking: The project is designed to function as a transit oriented development that minimizes automobile use, maximizes transit use, reduces traffic congestion, and reduces greenhouse gas emissions. (Automobile trips are the single biggest source of greenhouse gas emissions in Alameda).  
 
The General Plan requires that all residential projects be designed to reduce the projected number of trips by at least 10%.  To help the City shape the project to minimize automobile trips, the City hired Nelson Nygaard, Transportation Consultants, internationally recognized experts on transportation planning and trip reduction.  Nelson Nygaard conducted an independent evaluation of the project, which found that the proposed Del Monte Transportation Demand Management (TDM) Plan (Exhibit 4.b) would create a 34% reduction in vehicle trips. (The Nelson Nygaard evaluation is attached as Exhibit 5.)    
 
As described in the TDM Program and the Nelson Nygaard evaluation, the significant reduction in vehicle trips generated by the project may be attributed to the following TDM programs and project modifications:
 
Provision of Transit Services.  Each housing unit in the project is provided with transportation services, provided by a non-profit Transportation Management Association (TMA).   The TMA transportation services are funded through required annual assessments on each housing unit.  In other words, the costs of transit services are "bundled" with the cost of the housing unit.
 
An annual fee of $350 will be accessed on each housing unit.  The fee will increase annually with the cost of living.   Commercial tenants will pay $0.55 per square foot per year, which will increase annually.  These funds will be transferred to the TMA, which will provide the project residents and tenants with a variety of transportation services, including but not limited to:
 
·      An AC Transit Easy Pass for use on all AC Transit routes.  The Del Monte building is within a three block walk of the AC Transit O Line which provides excellent express service to downtown San Francisco, and the AC Transit Line 51 which provides service to Downtown Oakland BART, Fruitvale BART, Downtown Berkeley BART and a variety of other destinations in Alameda County.
·      A Northern Waterfront TMA "Easy Pass" for use on all TMA provided bus, shuttle, and water taxi services.  
 
As described in more detail in the TDM Program (Exhibit 4b), prior to the first occupancy permit for the project, the project applicants will establish the TMA.  The TMA will be designed to serve as the TMA for the Northern Waterfront Priority Development Area, defined as the areas between the Webster Tube and the Fruitvale Bridge.  The TMA budget and services will expand as new and existing developments in the area join the TMA.  Pursuant to General Plan policy all new developments (e.g. Marina Cove II, Encinal Terminals, Alameda Marina, Boatworks, etc.) will be conditioned to join the TMA, and existing developments with shuttle obligations (Wind River, Marina Village, etc.) will be encouraged to join the TMA or provide their own services.   Initially, the TMA will use the Del Monte project funds to provide a commute hour shuttle service from the project to Downtown Oakland BART.  With participation from all anticipated future projects in the area and existing developments with financial obligations, the NW TMA can grow into a major transportation agency for the area with an annual operating budget of over $1 million.   As the TMA grows, the frequency and number of buses, shuttles, and water taxis provided by the TMA will increase.  Working in concert with AC Transit, BART, and WETA, the NW TMA will play an important role in transforming the entire Northern Waterfront area into the transit oriented mixed use community envisioned in the General Plan and the Regional Sustainable Communities Strategy (Plan Bay Area).
 
The TMA will establish a program to allow existing neighborhoods to join the TMA to reduce automobile use and car ownership in the existing neighborhoods, and the TMA will produce an annual report documenting its activities, ridership on the NW TMA services, mode shifts, and single-occupant vehicle trips from the Del Monte project.
 
Provisions of On-Site Commercial Services. To reduce the need for vehicle trips for shopping and commercial services, the project will provide at least 30,000 square feet of commercial services.
 
Provision of On-Site Bicycle Facilities.  To facilitate the use of bicycles for local and commute trips, the project includes on-site bicycle facilities including a bicycle "kitchen" for bicycle maintenance and repair and indoor bicycle storage areas in the building garage.  As described above, the project is also constructing important off-site bicycle facilities as part of the Clement Avenue extension, which will facilitate bicycle use throughout the Northern Waterfront area.   
 
Provision of On-Site Car Share Facilities. To minimize the need for residents to own multiple automobiles and reduce the need for parking, the project will provide a minimum of three (3) car share vehicles.  As demand increases, the number of vehicles will increase.  The vehicles will also be available for use by neighbors in the area, to reduce their need for multiple private automobiles.
 
Minimizing and Unbundling the Cost of Parking. To reduce automobile trips, minimize greenhouse gas emissions, and ensure that the project does not cause parking impacts in the adjacent neighborhood, the project provides:
 
·      3 care share spaces, which reduces the need for residents to own a car or more than one car.  As demand grows for car share services more spaces will be dedicated to car share vehicles.
·      42 spaces for commercial uses and visitors.  If commercial tenants need dedicated spaces they will have the ability to lease spaces from the pool of 42 spaces.  
·      415 spaces for the 308 residential units.  Residents will have the option of purchasing or leasing a space on a month-to-month basis, if they need a space for a personal vehicle. If they need a second space, they will have the option to lease, but not purchase, a second space.  In no case will a resident be able to control more than two spaces.
·      87 additional on-street public parking spaces on Buena Vista, Sherman, Entrance and Clement for use by the general public and the adjacent neighborhood.   
 
The parking plan has generated a number of concerns from neighbors of the project. (See Exhibit 7: Comment Letters.)  Specifically, many neighbors have expressed their concern that the program will lead to a "spill-over" of cars parking in their neighborhood.  To relieve concerns about "spill over" parking impacts, many comment letters request that the Planning Board: 1) increase the amount of parking on the project, and 2)  "bundle" the cost of the parking so that each unit comes with two parking spaces, whether the resident needs two spaces or not.  
 
Staff does not recommend that the Planning Board increase the amount of parking or "bundle" the cost of parking for the following reasons:
 
1. Traffic and Greenhouse Gas Emissions.  Increasing the number of parking spaces and requiring that every household purchase at least two spaces will increase vehicle trips, increase traffic, and increase greenhouse gas emissions from the project.  The State of California recently released recommended mitigations to reduce vehicle trips and greenhouse gas emissions from residential development projects.  The State of California finds that reducing parking spaces and unbundling the cost of parking from the cost of housing reduces vehicle miles travelled and greenhouse gas emissions.   
 
2. Amount of Parking.  Staff believes the 415 spaces for 308 units is the correct number of spaces for this project.   Given that the residents will be required to pay for transportation services and will have access to transit, car share, and bicycle facilities, the need for, and the desire to pay for, extra personal cars will be reduced.   However, if every household in a one bedroom or studio unit owns one car (126 cars), every household in a three bedroom unit owns two cars (40 cars), and about half the households in the two bedroom units own one car (81 cars) and the other half own two cars (162 cars), there will be a need for 409 parking spaces for the 308 units. The project is providing 415 spaces.
 
3. Car Ownership and the Adjacent Neighborhood.  The average size of the units in the Del Monte building is significantly smaller than the average size of a home in the adjacent neighborhood.  According to the US Census, households in the adjacent neighborhoods own approximately 1.6 cars per household.   The Del Monte Building is parked to accommodate approximately 1.35 cars per household.   
 
4. Car Ownership in East Bay Transit Oriented Developments.  A 2009 study by University of California researchers Cervero, Adkins, and Sullivan of nine existing, occupied transit oriented residential projects in the East Bay communities of Walnut  Creek, Pleasant Hill, San Leandro, and Union City found that actual demand for parking in these existing projects ranged from 0.92 to 1.23 spaces per unit.  
 
5. Unbundled Parking Cost and Bundling Transit Costs.  The trip reduction strategy for the project  "bundles" the cost of transit with each unit, and "unbundles" the cost of parking, thereby making transit a required cost and parking and car ownership an optional cost.   Unbundling parking costs can significantly reduce vehicle ownership, and therefore, reduce the need for parking.   As shown in the figure below, as parking costs increase, car ownership rates decrease.   Therefore charging for the parking will reduce traffic and reduce the need for parking spaces on the site.   
 
 
Victoria Transport Policy Institute (2009), Parking Requirement Impacts on Housing Affordability, <http://www.vtpi.org/park-hou.pdf>
 
6. The Future of Car Ownership.  The very nature of car ownership is changing.  Car sharing companies are expanding throughout the Bay Area and Alameda.  Ride sharing applications are also growing, such as Lyft, Avego, and Sidecar.  New concepts and technologies are being introduced regularly, such as www.ridemetrobee.com.    Meanwhile automobile ownership costs are increasing, and housing costs are increasing.  With increased access to car share opportunities and ride share opportunities, paying for car ownership is becoming optional.  As a result, more and more households are choosing to live with fewer automobiles.  For example, in the last 12 years, the percentage of San Francisco households that live without cars increased from 28% to 31.4%.  As households reduce costs by eliminating extra automobiles, the demand for parking for those automobiles decreases.   
 
7. Neighborhood Permit Parking.   Concerns about "spill over" parking in the neighborhood could be resolved with a neighborhood permit parking program funded by the project. A permit parking program would prevent Del Monte residents from parking in the neighborhood, and would not increase vehicle trips and greenhouse emissions from the project.  However, staff is not recommending a neighborhood permit parking program at this time, because the adjacent neighbors are opposed to such a program. (See attached petition signed by residents opposing permit parking program.)  
 
Architectural Design and Building Addition:  The Development Plan and Design Review plans for the Del Monte building (Exhibit 6.b):
 
·      Are consistent with the historic character of the building and the Secretary of Interior Standards for Rehabilitation of Historic Structures.  
 
·      Include an addition located at the center of the roof of the building. This location minimizes the apparent height of the addition and preserves the building's historic brick walls. The addition would rise about one story above the existing roof structure at the center of the building and about two stories above the existing brick parapet of the building.  At 49-feet in height, the addition is similar to the height of the nearby Wind River buildings, and the 42-foot high Marina Cove II town home buildings recently approved across the street on the former Chipman site. Because the addition is setback 60 feet from the north and south façades and 250 feet from the east and west façades, the apparent height and mass of the addition are minimized.   Four "story poles" have been placed on the roof of the Del Monte Building at the four corners of the proposed addition.  The top of each pole (with little red flag) is located at the height of each corner of the addition.  
 
·      Include a modern architectural design for the addition that provides a visually appealing contrast to the historic red brick walls of the existing building.  The addition is designed with a palette of light blue exterior "skins" that is designed to contrast nicely with the red brick of the historic building in the foreground view and blue sky in the background.      
 
·      Includes a pleasing palette of architectural details, canopies, and public entries along the façade of the brick structure that is visually interesting and inviting.
 
·      Includes a public "paseo" through the building that will enable the public to pass through the building at the Benton Street intersection from Littlejohn Park to the Alameda waterfront and Bay Trail.
 
·      Provides 30,000 square feet of water-facing commercial space fronting onto the new Clement Avenue extension, Cross Alameda Trail, and Alameda Oakland Estuary.   The project applicant hopes to attract a quality restaurant and other community commercial uses to the waterfront space.   
 
Density Bonus and Height Waiver: The General Plan and Zoning Ordinance support the development of multifamily and affordable housing on this site.  The applicant increased the number of affordable housing units to be provided in the project to 55 affordable units.  Under State law and local City of Alameda Affordable Housing Density Bonus Section 30-17, the increase in percentage of affordable housing qualifies the project for a 20% density bonus and a waiver from any development standards that make the addition of the bonus units infeasible.  
 
In accordance with State and local law, the provision of 55 affordable units and a 20% density bonus increased the total project size to 414 units.  To accommodate the additional units, the applicant is requesting a waiver from the MF Zoning height limit of 35 feet to allow the addition on the Del Monte building to rise to 49 feet.  As described above, the 49-foot high addition is comparable in size to the nearby Wind River buildings and the 43-foot high townhomes recently approved across the street on the Chipman site. Because the addition is setback 60 feet from the north and south façades and 250 feet from the east and west façades, the apparent height and mass of the addition is minimized. Furthermore, concentrating units in the addition, and allowing the addition to exceed the height limit, maximizes the amount of the original roof structure that can be preserved. For these reasons, staff is in support of the requested waiver.
 
Development Agreement: To provide additional certainty for both the community and the development team, staff has prepared a Development Agreement for the proposed project.  The Development Agreement is a contract between the City and the project applicant (and any future owner of the property) that outlines certain rights and obligations of the City and the property owner and establishes conditions under which development may occur.  The Development Agreement vests the project approvals for the applicant for 15 years, so that the project can be constructed in phases over time. In return, the developer is obligated to:
 
·      Jean Sweeney Open Space Park Contribution. Provide a contribution of two million dollars ($2,000,000) in a combination of cash and construction-related services towards the construction of the Jean Sweeney Open Space Park.  
·      Clement Avenue Extension.  Construct, at no cost to the City of Alameda, the extension of Clement Avenue from Atlantic Avenue to Entrance Road, including new intersections at Sherman Street, Clement Avenue, and Atlantic Avenue, and install three new signals at the following intersections: Sherman/Atlantic/Clement, Buena Vista/Entrance Road and Clement/Entrance Road.  
·      Transit Demand Management Program.   Implement a Planning Board-approved TDM Program to provide and facilitate the use of alternative modes of transportation to minimize single-occupancy vehicle trips and greenhouse gas emissions, as required by the Master Plan and environmental documents.  
·      Retail/Commercial Space.  Provide a minimum of 30,000 square feet of ground floor neighborhood-serving retail/commercial space within the Project, in accordance with the Master Plan.  
·      Beneficial Transfer Fee Agreement.  Execute a Beneficial Transfer Fee Agreement with the City of Alameda to provide the City of Alameda with one-quarter percent (0.25%) of the sale price, exclusive of broker's fees and closing costs, upon each resale of a residential unit within the Project.
The City's obligations are non-financial and include the following commitments:
·      Traffic Signal Fair Share Collection.  Collect a fair share contribution for the cost of the new signals at Clement/Entrance, Buena Vista/Entrance, and Sherman/Atlantic/Clement from the adjacent Marina Cove II developer (the "Signal Contributions").
·      Wind River Property Acquisition.  Use commercially reasonable efforts to assist applicant in acquiring the Wind River property at no cost to the City.   
·      Transfer of City Parcel.  In exchange for the acquisition of land from WindRiver, construction of the Clement Avenue extension, and dedication of the land and public roadway improvements back to the City, the City will transfer fee title to the city parcel at the corner of Buena Vista Avenue and Sherman Street to the applicant.  The City land is zoned for multifamily residential use.  
·      Infrastructure Financing.  Subject to applicant's compliance with all applicable laws, including, but not limited to, any required vote of affected property owners, and further subject to reimbursement of its costs by applicant, the City shall cooperate with the applicant to establish a Community Facilities District, Municipal Services District or a similar financing mechanism should the applicant, in its sole discretion, choose to establish such a district.  
In accordance with the Alameda Municipal Code Section 30-92.5, the Planning Board's purview over the Development Agreement is to hold a public hearing and make a recommendation to the City Council on whether or not the Development Agreement is consistent with the General Plan and whether it is compatible with the uses and other regulations prescribed for the use of the land in the General Plan.  
 
In conclusion, staff believes the Del Monte proposal described above and in the attached exhibits represents an important opportunity to permanently preserve this City Monument and historic resource, create a waterfront, mixed use transit oriented development, improve parks for the neighborhood, and the city as a whole, and initiate long-term transportation improvements and services for the entire Northern Waterfront.  For these reasons, staff is recommending that the Planning Board approve the attached resolutions which lay the ground work for a number of subsequent actions and permits needed to realize this important project.
 
ENVIRONMENTAL REVIEW
 
In 2008, the City of Alameda certified an EIR for the Northern Waterfront General Plan Amendment. The City of Alameda released a Subsequent Mitigated Negative Declaration on April 29, 2014, for this Master Plan, which is designed to implement the Northern Waterfront General Plan Element. The project, if approved, will be required to implement all of the mitigation measures in the Northern Waterfront General Plan EIR and the Subsequent Mitigated Negative Declaration included in Exhibit 1.b.  
 
PUBLIC NOTICE AND COMMENTS
 
Property owners and residents within 300 feet of the project's boundaries were notified of the public hearing and given the opportunity to review and comment on the proposal. This hearing was also prominently described on the front page of the September 11, 2014 edition of the Alameda Sun.   Public comments received to date are attached in Exhibit 7.  
 
RECOMMENDATION
 
Hold a public hearing and:
 
A.)      Adopt the draft Resolution recommending that the City Council adopt the Subsequent Mitigated Negative Declaration.
 
B.)      Adopt the draft Resolution recommending that the City Council approve the Del Monte Master Plan and Density Bonus Application.
 
C.)      Approve by motion a recommendation that the City Council approve the Development Agreement.
 
D.)      Adopt the Draft Resolution approving the Del Monte Transportation Demand Management Program.
 
E.)      Adopt the draft Resolution approving Del Monte Development Plan and Design Review for the Del Monte Plan.
 
 
Respectfully Submitted,
 
 
 
Andrew Thomas
City Planner
 
 
Exhibits:
 
1.a       Draft Resolution recommending that the City Council adopt the Supplemental Mitigated Negative Declaration.
1.b       Draft Subsequent Mitigated Negative Declaration
1.c        Draft Mitigation Monitoring and Reporting Program
2.a       Draft Resolution recommending that the City Council approve the Del Monte Master Plan
2.b       Del Monte Master Plan
3.a       Draft Ordinance approving the Development Agreement
3.b       Draft Development Agreement
4.a       Draft Resolution approving the Del Monte Transportation Demand Management Program
4.b       Draft Transportation Demand Management Program
5.       Memorandum from Nelson Nygaard regarding Del Monte Transportation Demand      
Management Program
6.a       Draft Resolution approving Development Plan and Design Review for the Del Monte Building
6.b       Draft Development Plan and Design Review Plans
7.         Public Comments