HomeMy WebLinkAboutS22 - Development Agreement No. 8April 18, 1997
TO: Mayor and Members of City Council
FROM: Affordable Housing Task Team
;NDA ITEM No. S22
April 28, 1997
EKY THE CITY COUNCIL
ClTirl' OF NEWPORT BEACH
APR 2 81997
RE: Development Agreement No. 8
Staff Report
On July 10, 1995, the City Council approved a Development Agreement between
the City of Newport Beach and Ford Motor Land Development Corporation (in 1996 the
Development was amended to specify Pacific Bay Homes - a subsidiary of Ford - as the
developer). The Development Agreement authorized Pacific Bay to construct 500
residential units on the site formally occupied by Ford Aeronutronics. The Development
Agreement contains numerous provisions relative to affordable housing which can be
summarized as follows:
1. Ford's affordable housing percentage was established at 15% of the
number of units constructed;
2. An Affordable Housing Task Team was established to identify offsite
affordable housing projects which could satisfy Ford's obligation;
3. Ford is obligated pay $2.5 million (less $5,000 for each unit which Ford
agrees in writing not to build) to the City in the event that Task Team
identifies a project which would, when constructed, satisfy Ford's
obligations.
4. In the event the Task Team does not identify a project, Ford can satisfy its
affordable housing obligation by constructing or rehabilitating offsite
residential units, paying an affordable housing in lieu fee of $5,500 for each
residential permit issued, or a combination of the foregoing.
The Affordable Housing Task Team has conducted a series of meetings, and
issued a request for proposals on June 21, 1996 and received proposals from Linc
Housing Corporation and Irvine Apartment Communities and Catellus Residential
Properties. These proposals have been evaluated by the Task Team and an affordable
housing expert from Keyser Marston. The Task Team has determined, after a thorough
evaluation of the proposals and other potential sites for affordable housing, that the
proposal from Linc and Irvine Apartment Communities to construct approximately 285
senior affordable units on Newport Village is the most appropriate project worthy of
recommendation to the City Council. This proposal will result in a greater number of
affordable units with a lower contribution of funds form the City. Representatives of Ford
concur in this recommendation.
The Affordable Housing Task Team therefore recommends the City Council take
the following action:
1. Accept the Affordable Task Team's recommendation to identify the Irvine
Company/Irvine Apartment Communities Senior Affordable Housing Project
on Newport Village as the affordable housing project recommended for
implementation;
2. That the City Council require Ford to contribute to $2.025 million (Ford has
agreed in writing to construct only 404 residential units);
3. Direct the Newport Center Economic Opportunities Committee to discuss
possible terms and conditions relative to implementation of the Newport
Village Affordable Housing Project in the context of the Newport Center
Expansion Proposal or as a "stand alone" affordable housing agreement.
.19
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NEWPORT BEACH PUBLIC LIBRARY
City of Newport Beach 1000 AVOCADO AVENUE PHONE. 714.717-3800
COMMUNITY SERVICES NEWPORT BEACH, CA 92660.7916 FAX 714.640.5681
April 25, 1997
Mayor and Members of City Council
City of Newport Beach
3300 Newport Boulevard
Newport Beach, CA 92658
Dear Mayor and Members of City Council:
The supplemental agenda of Monday, April 28,1997, contains the recommendation of
the Ford Land Affordable Housing Task Team of the City of Newport Beach to adopt a
plan for an affordable senior housing project (the "Project") on the property
immediately north of the Central Library site to San Miguel, between Avocado Avenue
and MacArthur Boulevard.
Our primary concern in connection with the Project is the accompanying loss of the
only remaining solution for present and future inadequate library parking. The Library
Board has long been concerned with meeting the parking needs of the library
customers; and we believe that we need at least 100 additional parking spaces dedicated
to library customer use to adequately serve the Central Library facility.
When the Central Library site was selected and the library facility was planned, the
vision of shared use of a conunon driveway and parking areas with the future Newport
Harbor Art Museum was acceptable because of the similar anticipated uses of the
property and typical scheduling of activities which would allow for convenient and
easy use of the driveway and parking facilities. The planned use of the property north
of the library as a City park filled out the compatible uses of the three sites. No such
harmony would exist with the development of the Corona del Mar Plaza, but the
prospect of the availability of additional parking to the north of the library remained as
an alternative remedy.
The conversion of use of the property from a City park to the Project, as proposed by
the Task Team, will eliminate the only remaining resource for parking deficiencies,
unless conditions of development of the Project require the provision of the additional
100 needed parking spaces.
Mayor and Members of City Council
Page 2
At the time of approval of the Corona del Mar Plaza in November, 1995, the Board of
Library Trustees presented its concerns about that project to you, as a result which
certain conditions were adopted. Those concerns were directed primarily at traffic
circulation within the project, ingress and egress to the library, and protecting against
the loss of library parking places. Recently, The Irvine Company has agreed to meet
some of our continuing concerns regarding traffic circulation by agreeing, in addition to
the conditions of approval, to add a third exit lane to the jointly shared driveway at the
intersection of the driveway and Avocado Avenue as a right turn onto Avocado north.
Further, we have received signs of cooperation related to the Project in terms of meeting
library parking needs.
The Central Library averages 2,000 customers per day, and during the five hours of
service on Sunday, an average of 1,750 customers use the library. Because of the high
customer demand for parking on Sundays, the Community Room is generally
unavailable for use on that day, and use on other days is limited for the same reason.
The Coast Highway/MacArthur Retail Center Traffic Analysis (August 1995) indicated the
observed occupancy rate at the Central Library was 1.17 library customers per car.
Applications of the observed vehicle occupancy rate to the average daily customers
(1,709 automobiles for 2,000 customers; 1,495 automobiles for 1,750 customers)
competing for the use of the 210 available parking places used by both the staff and the
public illustrates the burden which is placed on exiting parking.
We request that any approval related to the affordable Senior Housing Project be
subject to the conditions requiring the provision of at least 100 additional parking
spaces dedicated to library customer use.
Board of Libr
cc: Kevin Murphy, City Manager
Apr. 28. 1997 6:06PM PAONE, CALLAHAN S S — yl) 11) (7 7 No. 5668 P. 2/3
19100 VON KARMAN
EIGHTH FLOOR
P.O. BOX 19613
IRVINE. CA 9Z623-9613
PHONE: 714-955-2900
FAX: 714-955-9009
WEB SITE: http://www.paone.com
WESTLARE VILLAGE OFF/CE.
805-371-5755
April 28, 1997
VIA FACSIMY.LE (714) 644-3139
ROBERT E. CALLAH/uv
JAMES R. CAVANAUGH
WILLIAM R. DEVINE
RICHARD J. FOSTER
ROGER A. GRABLE
SUSAN K. HORI
KENNETH D. JOHNSON
ALAN J. KESSEL
KENNETH S. KRAMER
CARY D. LOWE Ph.D.
STEVEN A. McHOLM
KATHLEEN CAROTHERS PAONE
TIM PAONE
G. EMMETT RAITT, JR.
CARLA K. RYHAL
JOHN F. SIMONIS
MARTIN J. STEIN
WILLIAM P. TANNER, III
DANIEL K. WINTON
Bob Burnham
City Attorney
City- of -Newport Beach
P.O. Box 1768
Newport Beach, California 92658-8915
Re: Revised Recommendation of the Affordable Housing Task Team Regarding
Development Agreement No. 8 - FordLand Project
Dear Bob:
This letter confirms that Ford Motor Land Development Corporation and its subsidiary Pacific
Bay Homes agree to the proposed changes in the staff recommendation regarding the Affordable
Housing Task Team's Report regarding Development Agreement No. 8. The revisions agreed
to are those noted on the enclosed document entitled, 22. REPORT FROM THE
AFFORDABLE HOUSING TASK TEAM REGARDING DEVELOPMENT AGREEMENT
NO. 8.
If you have any questions, please feel free to give me a call.
Sincerely,
Tim Paone
Enclosure
042897-1749 1 P90000-0)3 / 66246.1
22. REPORT FROM THE AFFORDABLE HOUSING TASK TEAM
REGARDING DEVELOPMENT AGREEMENT NO. 8.
1) Accept the Affordable Task Team's Report
2) Require Ford to contribute $2.020 million pursuant to provisions of the
Development Agreement; and
3) Find that: a) Ford's contribution of $2.020 million fully and completely satisfies
their affordable housing obligation pursuant to the Development Agreement and the
ordinances, plans, resolutions, policies and regulations of the City of Newport Beach; b)
acceptance of the Affordable Task Team's Report and/or the acceptance of Ford's
affordable housing contribution pursuant to the Development Agreement does not create
an obligation on the part of the City Council to grant any discretionary approval necessary
to implement any project or use some or all of Ford's affordable housing contribution to
implement that project; and c) Ford Motor Land and its subsidiary Pacific Bay homes
agree that acceptance of the Affordable Task Team's Report triggers its obligation to
contribute $2.020 million pursuant to the Development Agreement and further
acknowledges that acceptance of this contribution does not create any obligation on the
part of the City Council to implement any project or apply some or all of Ford's
contribution to implementation of that project.