Title
Public Hearing to Consider the following Ordinances to Govern the Future Development of the Encinal Terminals Property:
Introduction of Ordinance Approving a Disposition and Development Agreement for the Encinal Terminals Project By and Between the City of Alameda and North Waterfront Cove, LLC (“Developer”) Governing the Encinal Terminals Project for Real Property Located at 1521 Buena Vista Avenue and Approving and Authorizing the Assistant City Manager, or Designee, to Execute a Land Exchange and Title Settlement Agreement for the Encinal Terminals Project By and Among the State of California Acting By and Through the State Lands Commission, the City and Developer Substantially in the Form Attached Hereto [Requires four affirmative votes];
Introduction of Ordinance Approving the Amended Encinal Terminals Tidelands Exchange Master Plan and Density Bonus Application for Redevelopment of Real Property Located at 1521 Buena Vista Avenue (APN 072-0382-001, 072-0382-002, 072-0383-003 and 072-0382-009); and
Introduction of Ordinance Approving Development Agreement (Encinal Terminals Project) By and Between the City of Alameda and North Waterfront Cove, LLC Governing the Encinal Terminals Project for Real Property Located at 1521 Buena Vista Avenue. (Planning, Building and Transportation 20962700) [Continued from January 4, 2022]
Body
To: Honorable Mayor and Members of the City Council
EXECUTIVE SUMMARY
The Encinal Terminals property is located at 1521 Buena Vista Avenue, between the Alaska Basin and the Fortman Marina, within the City of Alameda’s (City) Northern Waterfront Priority Development Area (PDA) within the Bay Area’s long-range regional transportation and sustainability community’s strategy (Plan Bay Area). The site is also designated as a multifamily housing opportunity site in the City’s 2015-2023 Housing Element. In 2018, the City Council approved a Master Plan for 589 housing units on the site. The new recommended entitlements for the site described in this report do not increase the number of housing units permitted on the property.
The Encinal Terminals property is comprised of four separate parcels, one of which is owned by the City. The current configuration of the property lines between the private and public parcels make redevelopment of the property financially infeasible. Since the site is not developable in its current configuration, it cannot be included in the upcoming Housing Element to help the City accommodate its Regional Housing Needs Allocation (RHNA) for the period 2023-2031, despite being entitled for 589 residential units by the City Council in 2018.
Staff is recommending that the City Council approve the necessary entitlements and ordinances to reconfigure the property lines to make the project financially feasible to develop. If approved, staff will include the site/project in the Housing Element update for the 2023-2031 planning period.
BACKGROUND
The Encinal Terminals property has been vacant for over 10 years. Prior to 2010, the property was leased to a shipping container storage and repair business. One of the four parcels (APN 072-0382-009) that comprises the site is owned by the City and leased to North Waterfront Cove, LLC (applicant); the City parcel is located at the center of the property. The other three parcels are owned by the applicant.
In 2012, the City Council designated the site as a housing opportunity site in the General Plan Housing Element and zoned the site for multi-family housing to accommodate the City’s RHNA. On December 19, 2017, the City Council adopted Resolution No. 15337 certifying the Focused Supplemental Environmental Impact Report (EIR) evaluating the environmental impacts of developing the site for a total of 589 residential units, but the City Council was unable to gather the four votes needed to approve a reconfiguration of the property lines necessary to develop the property. Instead, the City Council approved a Master Plan and Density Bonus application for the site in September 2018, based on the existing property line configurations.
Since September 2018, the applicant has been unable to attract investment to develop the property with the current property line configuration. (See Exhibit 1, Letter from Applicant.) As a result, the site remains vacant and continues to deteriorate. Since the project is financially infeasible to develop in its current configuration, it cannot be included in the upcoming Housing Element update for 2023-2031.
On March 8, 2021, the Planning Board unanimously approved Resolution No. PB-21-02 recommending that the City Council approve a reconfiguration of the properties to make the project financially feasible. On May 24, 2021, the Planning Board unanimously approved Resolution No. PB-21-10 recommending that the City Council approve an amended Master Plan and Density Bonus application and Development Agreement designed to make the project financially feasible and eligible to be included in the Housing Element for 2023-2031.
DISCUSSION
Introduction of the ordinances, as recommended by the Planning Board and staff, facilitates development of the currently vacant site consistent with the City of Alameda General Plan policy objectives, City’s Zoning Code provisions and regulations, California Government Code regulations for the review and approval of housing, and California Public Resources Code provisions relating to the exchange of public trust lands.
Staff is recommending approval of the amended Tidelands Exchange Master Plan (Master Plan, attached as Exhibit 2), Development Agreement (DA, attached as Exhibit 3), Development and Disposition Agreement (DDA, attached as Exhibit 4), and Land Exchange and Title Settlement Agreement for the Encinal Terminals Project (Exchange Agreement, attached as Exhibit 5) for two primary reasons: 1) approval of the recommended ordinances allows the City to include the 589 units in the Housing Element update, and 2) the recommended revised project is a better project than the project approved in 2018 and the project proposed in 2017.
Housing Element Eligibility
The City is required by state law to update its Housing Element for the period 2023-2031 to accommodate the City’s RHNA, which is 5,353 residential units. The Planning Board and staff would like to be able to include the Encinal Terminals site and its 589 units in the upcoming Housing Element update.
Under state housing law, sites that are financially infeasible to develop cannot be included in the Housing Element to meet the City’s RHNA; therefore, Encinal Terminals in its current configuration cannot be included in the upcoming Housing Element. The recommended entitlements enable the reconfiguration of the property lines to make the site financially feasible to develop and therefore eligible for inclusion in the upcoming Housing Element. Per HCD guidelines and staff communications with HCD staff, Encinal Terminals will be eligible for inclusion in the 2023-2031 Housing Element if the Council approves a financially viable project entitlements for Encinal Terminals.
Failure to approve the recommended ordinances and approvals will prevent the City from including the Encinal Terminal site on the site inventory for the Housing Element update. To compensate for the loss of the 589 units at Encinal Terminals, the burden on other sites and in other existing residential and mixed-use neighborhoods to accommodate the RHNA will be increased by 589 units.
A Better Plan
The recommended entitlements provide for a better plan than the Master Plan approved in 2018 and the Master Plan considered in 2017.
Better Use of Public Lands: The recommended Master Plan makes better use of public land. Currently, the City owns a 6.4 acre, inaccessible parcel in the interior of the site. See blue parcel in Figure 1 below. The City parcel has been vacant for 10 years and inaccessible to the public for over 100 years. Ten years ago it was used for shipping container storage. The City parcel is held by the City in trust for the people of the State, and is restricted by state law to uses consistent with the public trust for commerce, navigation and fisheries (“public trust”), including maritime uses and public waterfront open space use. Due to the configuration of the parcel lines, the City parcel does not have access to the water for maritime use, and providing public access and utilities to the site requires crossing adjacent private lands. The 2018 Master Plan maintains the City parcel in its current location as shown in Figure 1. Staff believes the parcel will remain undeveloped and inaccessible to the public in its current location. Reconfiguring the property lines and the public trust as shown below in Figure 2 allows the public lands to be developed for public waterfront open space and public maritime and marina uses and makes the private lands financially feasible to develop for housing during the 2023-2031 Housing Element cycle. Figure 3 shows the revised site plan for the redevelopment of the property with the reconfigured property lines.
Figure 1 Figure 2 Figure 3
With the proposed reconfiguration of the property lines as shown in Figure 2 and Figure 3, the public will have ownership of, access to, and use of:
• 7.25 acres of waterfront land to be improved by the applicant for the Bay Trail and waterfront public promenades and plazas, public roads through the center of the site from Clement Avenue to the northern waterfront parks and waterfront, and completion of the Clement Avenue extension and Cross Alameda Trail from Atlantic Avenue to Entrance Road; and
• 13.2 acres of submerged lands, which shall be improved by removal of the current deteriorating wharf and replaced with a 0.6 acre rehabilitated and improved wharf, a public kayak launch and a public water shuttle landing, and the opportunity to develop a new public marina.
More Public Open Space and More Maritime Use: The revised entitlements increase the amount of public land and improvements on the site. The 2018 Master Plan provided only 3 acres of waterfront public access and required the City to take ownership of almost 2 acres of wharf. The proposed 2021 Master Plan provides 4.5 acres of public waterfront open space on land and 0.6 acres of improved wharf for public use over the submerged lands.
The proposed 2021 Master Plan makes all the submerged lands public lands. With the conveyance of 13.2 acres of submerged lands to the City, the City may use those lands to enter into a future lease with a third party to develop and operate a marina in the Alaska Basin, consistent with the intended maritime purposes of the public lands. Alternatively, the City may choose to combine these new submerged lands with the Fortman Marina submerged lands owned by the City and consider a new lease for the enlarged areas in 2029, when the Fortman lease is set to expire.
Immediate Access to Waterfront Bay Trail: The revised entitlements require construction of a “day one” temporary public Bay Trail. This would entail public access at the very beginning of the construction process so that the public will not need to wait until the end of the multi-year development for waterfront trail access. Neither the 2017 nor the 2018 Master Plan included provision for day one public access.
No Cost to Taxpayers for Construction or Maintenance of Public Improvements: The applicant will construct and maintain all of the public improvements on the public lands (see Chapter 2 of the Master Plan) at no cost to the City, including establishment of capital improvement reserves for maintenance in perpetuity of the public trust lands to be owned by the City, at no cost to the General Fund.
More Affordable Housing and more Workforce Market Rate Housing: The number of deed restricted affordable units would be increased from 79 to 80 units. The Master Plan includes 5% (25 units) for very low-income households (less than 50% of area median income (AMI)), 4% (20 units) for low-income households (50% to 80% of AMI), and 7% (35 units) for moderate-income households (80% to 120% of AMI), which qualifies the project for a 20% density bonus, one incentive/concession, and waivers under the state Density Bonus Law (Government Code section 65915).
Unlike prior plans, the proposed 2021 Master Plan includes an additional ten (10) units that will be restricted for sale to middle-income purchasers making between 120% and 180% of AMI. Buyers who purchase these homes will be restricted by deed restrictions from selling their home for 5 years after purchase, or they will forfeit any accumulated equity. Forfeited accumulated equity shall be transferred to the City of Alameda Affordable Housing Fund for the purpose of funding new affordable housing in Alameda.
To support the need for market rate middle income and work force for sale and rental housing, at least 30% of the market rate units will be 1,200 square feet or less, at least 10% of the market rate units will be 900 square feet or less, and no more than 200 of the units may be townhomes with private garages. Single-family detached homes, which are the most expensive housing type, are prohibited.
A More Environmentally Sensitive Plan: Unlike the previous plans, the revised Master Plan is consistent with the recently adopted “all electric” new buildings ordinance and, in recognition of the City’s zero waste goals, palm trees have been removed from the landscape plans and replaced with shade trees. In addition, the new plan “daylights” a significant amount of the San Francisco Bay, which is covered by old and deteriorating wharfs. The prior plans proposed keeping the existing wharfs and bay fill.
The Master Plan establishes transportation demand management (TDM) and parking regulations for the project (see Master Plan, page 34) to support a transit-oriented development and reduce automobile trips generated by the project. The TDM requirements include the water shuttle docking facility and the annual assessments of approximately $250,000 (which will increase each year consistent with the Consumer Price Index (CPI)) to be used for supplemental transportation services, such as AC Transit passes, supplemental bus and shuttle services, and other activities to provide transportation choices for Encinal Terminals residents and property owners.
An Improved Phasing Plan: The phasing plan is significantly improved by the addition of a detailed timeline for development of each phase of the project and the sequencing of each phase of the public improvements. The phasing plan ensures that the improvement of the public lands and public parks and facilities is completed before the completion of the private development. The timeline is also designed to coincide with the 2023-2031 Housing Element cycle, to enable the next Housing Element to benefit from all 589 units.
Pursuant to the new entitlements, the applicant shall complete all required local, regional, state and federal permitting requirements necessary to begin site clearing and grading and initiate construction of the project within 3 years of the Effective Date of the Development Agreement to enable construction of the housing units over the course of the 2023-2031 Housing Element cycle.
Pursuant to the new entitlements, the City would not convey any of its land to the applicant until the applicant has acquired all of the permits necessary, completed all of the site clearing and grading, constructed the temporary Bay Trail, completed all of the Phase 1 Public Improvements along the Clement Avenue extension and cross Alameda Trail, completed the Clement Avenue intersection and Entrance Road Extension, and provided vehicle access and utilities to the existing City property. As described in detail in the proposed 2021 Master Plan and the DDA, each of the succeeding three construction phases require the applicant to complete specific public waterfront improvements, which must be inspected and accepted by the City, before conveyance of a specific portion of the 6.4 acres to the developer. The phasing plan is specifically designed to ensure that at each phase of the project, the public lands have been expanded and public improvements have been completed, and to require that the full extent of the public improvements are completed and open for public use prior to the City issuing the last 104 building permits.
Shorter Buildings: The 2018 Master Plan relied on fewer but taller buildings of 5, 6 and 7 stories. The 2021 Master Plan is able to utilize more buildings which are shorter in height. In the proposed Master Plan, buildings would be 3, 4, and 5 stories in height.
Height Waiver, Universal Design Incentive/Concession: In 2018, the City Council approved a Master Plan, a density bonus application, and a height waiver for the project. Since the project is revised, the City Council must re-approve the density bonus application and height waiver. Similar to 2018, the proposed development in the 2021 Master Plan qualifies for a density bonus, one incentive/concession and waivers under state Density Bonus Law (see Density Bonus Application, Exhibit 6). State Density Bonus Law requires the City to grant requests for lawful concessions and incentives proposed by the developer unless the City finds that the request does not result in identifiable and actual cost reductions to provide for affordable housing costs, would cause a specific and adverse impact to public health or safety, would cause a specific and adverse impact to the environment, would harm historical property, or would be contrary to state or federal law. (Gov. Code § 65915(d)(1).) Similarly, state Density Bonus Law prohibits the City from applying any development standards that have the effect of physically precluding the development at the permitted density. (Gov. Code § 65915(e)(1).) The developer has the right to attorney’s fees and costs if a court rejects the City’s reason for any denial. (Id.) In the case of concessions or incentives, the City bears the burden of proof for any denial. (Id.)
The developer is requesting a height waiver for the project to the extent any height limits have the effect of physically precluding the construction of the proposed development. Consistent with AMC requirements and the amended Master Plan, the specific design and height of all future buildings on the site must be reviewed and approved by the Planning Board. Given that it is not clear at this time how many, or which, buildings will need to exceed the 45-foot height limit and to what extent the buildings will need to exceed the height limit to accommodate 589 units, the proposed 2021 Master Plan includes the same height waiver that was approved by the City Council in 2018. That waiver states the maximum height for any residential building shall be determined by the Planning Board at the time the Design Review application is submitted for Planning Board review. Any Design Review application for a residential building that exceeds 45 feet in height shall be accompanied by a massing study for the building that demonstrates that the proposed height is needed to accommodate the 589 units and all of the amenities, parking and mix of commercial and open space uses as described and illustrated in the amended Master Plan.
In addition, the applicant is requesting a density bonus incentive or concession from the visitability requirements in AMC Section 30-18.4.a for the townhome buildings (the number of townhomes with private garage parking is limited to 200 units), which are essential to the financial feasibility of the project. The applicant states that reduction of the 100% visitability requirement to 50% results in an identifiable and actual cost reduction to provide for affordable housing costs. In return and as part of the concession request, the project is committing to exceed the City’s Universal Design requirement of 30% by ensuring that at least 50% of the units in the project meet the universal design requirements consistent with AMC Section 30-18.4.b.
The Commission on Persons with Disabilities (Commission) reviewed the request at their June 9, 2021 meeting and expressed their displeasure with the need for this applicant and a number of recent applicants to request exceptions to the 100% visitability requirements to accommodate townhome development. The Commission is concerned by the repeated need for the waivers from the visitability requirement, and the repeated use of state Density Bonus Law to waive those requirements. All of the recent townhome projects in Alameda have been unable to meet the 100% visitability requirement. To meet the 100% visitability requirement, a townhome must provide Americans with Disabilities Act (ADA) compliant access from the public right of way into the unit, and the unit must provide an ADA compliant bathroom and sitting room or bedroom on the ground floor of the unit. Given the small footprint of a townhome and the grading requirements to meet storm water retention and sea level rise requirements, none of the recent townhome projects in Alameda have been able to fully meet the 100% visitability requirement, without increasing the amount of land dedicated to each townhome and/or increasing the footprint of the townhome, both of which increase the cost to construct a townhome. The Commission directed staff to pursue changes to local and/or state Law to either prohibit further townhome development in Alameda or change state law to eliminate the ability to use state Density Bonus Law to waive local accessibility requirements, such as Alameda’s 100% visitability standard.
Labor Peace: Unlike the 2018 or 2017 Master Plan, the 2021 entitlements and agreements require an agreement to provide for labor peace, consistent with current City Council policy. Specifically, the applicant is required to execute an agreement before any construction work commences to provide for labor peace, which will apply to all or a portion of the property mutually agreed to by the applicant and Building Trades Council of Alameda County, generally consistent with the standards set forth in Alameda Resolution No. 15740, or as otherwise exempted from this project stabilization agreement requirement by the City through a subsequent act by the City Council.
Trust Exchange: Pursuant to state statute, California granted its sovereign trust lands within the Alameda city limits to the City, to be held in trust for the people of the State. However, as a result of historic dredging and filling activities in and around the Project site, the site’s submerged lands within Alaska Basin and the Oakland Estuary, along with the adjoining shoreline and wharf, are in private ownership free of the public trust, while the public trust lands granted to the City have been cut off from the water and are today located in the interior of the site. This has resulted in a configuration of public and private lands that (1) prevents the public trust lands from serving trust purposes, (2) privatizes the waterfront, and (3) severely limits the site’s development potential. The irrational configuration of public and private lands is the primary reason the site remains undeveloped and inaccessible today. The City’s trust property has been vacant since 2010 and is occupied by dilapidated warehouses, shed buildings and concrete paving. The privately-owned Alaska Basin waterfront is occupied by wharves that are in a state of disrepair and provides no public access. In addition, the true boundary between the City’s trust property and the Developer’s private property cannot be located with certainty, creating a cloud on the City’s and Developer’s land titles, which inhibits investment and further undermines the site’s development potential.
The proposed Exchange Agreement would resolve the boundary disputes and reconfigure the trust through a series of conveyances between the City, Developer, and the State. The exchange would remove the trust from certain interior lands at the Project site and place it instead on the lands along the Alaska Basin waterfront and Estuary shoreline, the proposed central access way leading to the Estuary, and the site’s submerged lands, significantly enhancing the configuration of trust ownership. The DDA and Exchange Agreement would require that Developer complete certain public access and waterfront improvements prior to each phased closing. The improvements would be built and maintained without City expense, and would enable for the first time public access to the Encinal Terminals waterfront.
The exchange would remove the trust from approximately 4.5 acres of interior lands, a relatively small portion of the lands granted to the City, and impress the trust on approximately 18.7 acres, resulting in a net increase to the trust of about 14 acres. After the exchange, the portions of the site having the greatest trust value would be brought into the trust. The lands to be removed from the trust are filled, cut off from the water, and no longer useful for trust purposes. In addition, based on an appraisal of the property prepared by a licensed appraiser and an analysis of the title evidence and legal principles by counsel for the City, staff has concluded that the monetary value of the lands to be added to the trust exceeds the monetary value of the lands to be removed from the trust.
The exchange would provide a significant benefit to the trust, and at the same time would make development of the proposed Project economically feasible, thus allowing the Project site to be used to the greatest benefit of the people of the State
ALTERNATIVES
Because the DDA and the Exchange Agreement involve the disposition of public property, the ordinance approving those agreements requires 4 affirmative votes to pass. The DA and the Master Plan ordinances only require 3 affirmative votes to pass, but both documents are predicated on the City Council’s adoption of the ordinance approving the DDA and Exchange Agreement. If the City Council does not approve the DDA and Exchange Agreement, there is no need to consider adoption of the Master Plan and DA.
Therefore, the City Council has the following alternatives available:
• Approve the first reading of the ordinances approving the DDA and Exchange Agreement, the DA, and the revised Master Plan and Density Bonus application as recommended by staff. This alternative allows the City to include the Encinal Terminals project in the Housing Element.
• Continue consideration of the DDA, Exchange Agreement, DA, and revised Master Plan and Density Bonus application to a later date. In this scenario, staff will need to make contingency plans to accommodate the RHNA on other sites and in other existing residential and mixed use districts in Alameda on the assumption that the City Council does not support the use of Encinal Terminals to accommodate the RHNA.
• Take no action on the DDA, Exchange Agreement, DA, and revised Master Plan and Density Bonus application. In this scenario, staff will remove Encinal Terminals from consideration from the Housing Element update and proceed with plans to accommodate the RHNA on other sites and in other residential and mixed use districts throughout the City.
FINANCIAL IMPACT
Development of the site consistent with the Master Plan will have a positive financial impact on the General Fund and other City funds.
General Fund Revenues and Costs: The Master Plan and DA require the project to fund the maintenance of the public lands, streets, roads, and infrastructure. The increase in property taxes and property transfer taxes received as a result of the project will increase significantly due to redevelopment of the property. The new residents and businesses will require an increase in Police and Fire services, but those increased costs are offset by a larger increase in revenue generated by the project.
Investment in Public Trust Lands. Currently, the vacant public tidelands are generating approximately $2,000 annually in lease revenue. Upon completion of the phased development, the City would no longer receive the annual lease payments, but the public will own all of the submerged lands and approximately 4.5 acres of improved public waterfront lands, which will be maintained by the residents and property owners at Encinal Terminals. At a future date, the City as trustee will be able to enter into a lease with a marina developer/operator for construction and operation of a 160-berth marina on the new public tidelands. In 2029, the lease for the adjacent Fortman Marina will expire. At that time, the City Council will also be in position to consider a new lease for the Fortman Marina and may consider combining the new Alaska Basin Tidelands under a new lease with a marina and boatyard operator or other qualified investor/operator.
Transportation Service Funds: The project will generate approximately $250,000 annually for transportation services. With required Consumer Price Index (CPI) increases, the value of the contribution will increase each year starting in 2022.
Transportation Improvements: In addition to annual Transportation Demand Management fees and improvements to Clement Avenue, the Project will provide approximately $1,000,000 in Transportation Impact Fees for citywide transportation improvements.
Alameda Unified School District: Assuming an average unit size of 1,500 square feet, the project will provide over $3.6 million in impact fees to the Alameda Unified School District, consistent with the District’s adopted impact fee ordinance.
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
The development of the Property is consistent with, and implements, the City’s General Plan and City’s Local Climate Action and Resiliency Plan. Provision of additional housing and additional affordable housing is consistent with General Plan Housing Element policies to support additional housing development in Alameda, Housing Element policy to support affordable housing, and Housing Element policy to support additional for-sale housing in Alameda.
ENVIRONMENTAL REVIEW
On July 17, 2007, the City Council adopted Resolution Nos. 14134 and 14135 certifying the Final Environmental Impact Report for the Northern Waterfront General Plan Amendment (“Northern Waterfront EIR”) pursuant to the California Environmental Quality Act (“CEQA”), and on December 19, 2017, the City Council adopted Resolution No. 15337 certifying a Focused Supplemental Environmental Impact Report for development of the proposed Master Plan and Exchange Agreement (“Focused Supplemental EIR”, and with the Northern Waterfront EIR, “Previous CEQA Documents”). All project-specific mitigation measures specified in the Focused Supplemental EIR and included in the Project-Specific Mitigation Monitoring and Reporting Program shall be included as conditions of approval for the project development plans required by the Master Plan.
The proposed 2021 Master Plan includes the same development program as the preferred project in the 2017 Focused Supplemental EIR. The only significant difference between the 2021 Exchange Master Plan and the 2017 Exchange Master Plan is that the 2021 plan proposes to remove more of the existing wharf than in 2017 plan, which proposed to rehabilitate and rebuild more of the existing wharf. The change results in greater daylighting of the Estuary and less construction activity within the marine environment, which is consistent with BCDC policies to reduce bay fill and state and local policies to minimize impacts in the marine environment. There is no evidence that any changes to the project over the last 36 months since the 2017 Focused Supplemental EIR was certified would result in additional or more severe environmental impacts than the impacts that were disclosed in the 2017 Focused Supplemental EIR.
In the vicinity of the project and regionally, the development that was anticipated to occur in the 2017 Focused Supplemental EIR has occurred as expected (e.g. projects such as Del Monte, Site A, Alameda Marina, and Brooklyn Basin in Oakland). There is no evidence that the environmental conditions in the area have changed in a manner that was not anticipated in the 2017 Focused Supplemental EIR and therefore would result in additional or more severe environmental impacts than were disclosed in the 2017 Focused Supplemental EIR.
None of the circumstances necessitating further CEQA review are present, as the proposed project would not require major revisions to the Previous CEQA Documents due to new significant impacts or due to a substantial increase in the severity of the significant environmental effects. There have been no substantial changes with respect to the circumstances under which the project would be undertaken that would require major revisions of the Previous CEQA Documents due to new or substantially increased significant environmental effects, and there has been no discovery of new information of substantial importance that would trigger or require major revisions to the Previous CEQA Documents due to new or substantially increased significant environmental effects. For these reasons, no further environmental review is required.
CLIMATE IMPACT
Consistent with the City’s Climate Action and Resiliency Plan goals and objectives, the project is designed to be “all electric” to avoid the need for gas infrastructure and the use of natural gas for heating and cooling. The project includes a TDM program to reduce automobile use and greenhouse gas emissions. The TDM program requires that the residents of the project fund additional, supplemental transit services through an annual transportation assessment of $525 per townhome, $425 per apartment, and $0.75 per square foot of commercial space. The assessments will increase annually with a CPI increase.
RECOMMENDATION
Hold a public hearing and introduce ordinances approving a Disposition and Development Agreement and Land Exchange and Title Settlement Agreement, Development Agreement and Revised Master Plan and Density Bonus application for the redevelopment of the Encinal Terminals property located at 1521 Buena Vista Avenue.
CITY MANAGER RECOMMENDATION
The City Manager recused himself due to proximity of his home to this project. and has designated the Assistant City Manager as the lead City staff on this item.
Respectfully submitted,
Andrew Thomas, Planning, Building and Transportation Director
Financial Impact section reviewed,
Annie To, Finance Director
Exhibits:
1. Letter from Applicant
2. Tidelands Exchange Master Plan
3. Development Agreement
4. Disposition and Development Agreement
5. Exchange Agreement
6. Density Bonus Application