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10 - Land Use Entitlement Applications for the Residences at 4400 Von Karman Project (PA2020-061) - Correspondence
Received After Agenda Printed January 12, 2021 Item No. 10 � C.JACKSON I N V E S T I G A T I O N S 4340 Von Karman Avenue, Suite 370 Newport Beach, CA 92660 Phone: (949) 892-5388 Fax: (949)-209-1499 info@cjacksoninvestigations.com PI#25146 January 7, 2021 Submitted via email to: citycouncilgnewportbeachca.gov Mayor Brad Avery & Councilmembers City of Newport Beach 100 Civic Center Drive Newport Beach, CA 92660 RE: Residences at 4400 Von Karman Dear Mayor Avery and Councilmembers: As a member of the Von Karman Corporate Owners (VKCOA) I have been actively engaged with the Koll Company and the Picerne Group to address our concerns on the proposed Residences at 4400 Von Karman project. The applicant has not taken seriously the threshold and the spirit of the Planning Commission direction—especially now that the project is coming to the City Council. The City of Newport Beach has noticed a Public Hearing on the project for Tuesday, January 12, 2021 at 4 PM. However, we respectfully request a delay on the vote until our concerns are responded to and addressed by the applicant. Below are a few of the concerns we have that remain unresolved: The applicant should be required to obtain meaningful input from impacted stakeholders prior to a vote on the project—due to numerous holidays, this has not met a good faith standard. VKCOA initiated contact with The Picerne Group when it should have been the other way around. The Picerne Group delayed a month and a half after the Planning Commission hearing before agreeing to meet. Its alternative proposal for the stand-alone parking structure was moving the parking garage 10 feet back, including some screening, and flipping the layout so the lowest end of the structure faced 4340 Von Karman. Has the City seen these modifications with drawings yet just a week before the Council meeting? We believe that in order to flip the layout of the parking garage that the access points would change, that there is no extra area for the root structure needed for a garden screening and that the physical form of their alternative has yet to be vetted. The Picerne Group, who leases a substantial portion of 5000 Birch has not approached the Koll Company or the 5000 Birch owner to explore a more appropriate location for the stand- alone parking garage. For me personally, the structure as proposed would look out of place and as such would be aesthetically displeasing to the Koll property as a whole in addition to our building. I cannot stress enough that I am not opposed to the new residence proposal. I am only opposed to the proposed placement of the new parking structure. There are several other areas, including one area in particular, where a structure could be placed that would a) be aesthetically pleasing to the Koll Center as a whole, b) serve the needs of our building and the 5000 Birch occupants, and c) still comply with state and local laws regarding ingress, egress, and fire lanes. In our face-to-face meetings with the Picerne Group, they were steadfast on the structure's proposed location and they specifically stated they had not looked at any other options. This was troubling considering our questions, ideas, and options were reasonable, especially given our stated intention of not opposing the residences, only the location of the structure. Thank you in advance for your consideration. I am requesting the Council delay the vote on this project until March 9, 2021. Sincerely, Cameron Jackson Thea"Umber NEWPORT BEACH�k x December 7, 2021 Mayor Brad Avery City of Newport Beach 100 Civic Center Drive Newport Beach, CA 92660 Re: Residences at 4400 Von Karman (PA2020-061) Dear Mayor Avery and City Council Members: Received After Agenda Printed January 12, 2021 Item No. 10 On your agenda for the January 12, 2021 City Council Meeting you will be discussing whether to approve the Residences at Von Karman, a 312 unit apartment project to be constructed on in- fill land in the airport area.. I would urge you to approve the project for the following reasons: 1. It is clear that we need additional dwelling units to be constructed in Newport Beach to offset the ever rising prices for homes and rents in the area. Young and Middle class workers are being steadily priced out of the market, forcing workers employed in Newport Beach to look further and further away for affordable housing. 2. The airport area has long been looked at as a place where additional housing can be constructed without major disruption to the neighborhoods and villages in Newport Beach. 3. High density housing will fit right in with the larger buildings. 4. Constructing housing near jobs will reduce the number of trips in Newport Beach. 5. The Von Karman apartments smartly create buildable land in a City that is for all intents and purposes, built out. 6. The developer has agreed to pay $7,500,000 in Development Agreement fees to the City which funds essential projects such as new fire stations and parks. 7. The project includes a number of very low income affordable units which are in very short supply in the City. 8. The project includes a one acre public park in an area where very little recreational open space currently exists. For the foregoing reasons, I urge you to approve this project. Warm Steve Rosansky President/CEO 4343 Von Karman Avenue, Suits 150-W, Newpart Beach, California 9?6G0 Ph: (949) 729-4400. Fix: ( 49) 7/29-4417. ,i,;«�rv.ne,!vportbeach.com Forward Business Litigation & Transactions • Real Estate Law • Employment Law www.forwardcounsel.com January 8, 2021 By email to: cityclerk(anewportbeachca.gov Ms. Leilani I. Brown, City Clerk City of Newport Beach 100 Civic Center Drive Newport Beach, CA 92660 Received After Agenda Printed January 12, 2021 Item No. 10 RE: Koll Center Residences at 4400 Von Karman And Related Parking Structure Dear Ms. Brown: Forward Counsel represents the Von Karman Corporate Owners Association (the "Association"). The members of the Association occupy the building located at 4340 Von Karman. We write concerning the parking structure proposed for the Koll Center Residences project. In this letter, we articulate various concerns, propose an alternative solution, highlight the inadequacy of the review to date by both the Applicant and the City, and suggest consideration of the project be deferred to allow these matters to be properly reviewed. The Proposed Parking Structure The purpose of the proposed detached parking garage is to replace the 164-167 deficit parking spaces not being replaced during Phase 3 of the project in Area 7. The Structure Does Not Provide Adequate Parking Area 7 is used primarily by the occupants of 4910 Birch, 5000 Birch and 4490 Von Karman. The Applicant's presentations ignore the occupants of the 5000 Birch complex in the calculations. Based on the requirements of the CC & Rs, at least 850 parking spaces should be allocated to the 5000 Birch property. According to the LSA parking study, the 5000 Birch property — a 294,000 square foot building — is served by: Area 9 (84 spaces), Area 1 (168 spaces) and the John Hancock parking garage (291 spaces). Those areas total 543 parking spaces, which means the 5000 Birch property also relies on access to parking in Areas 6 and Area 7 to meet its need for 850 parking spaces. forward -thinking lawyers for forward -moving clients 4340 Von Karman Avenue • Suite 380 • Newport Beach • California • 92660 Phone: (949) 258-9359 • Facsimile: (949) 273-1070 Ms. Leilani I. Brown, City Clerk January 8, 2021 Page 2 The project will eliminate 167 parking spaces in Area 7, leaving a deficit for the 5000 building. Requiring its occupants to utilize parking in Area 8 is not feasible, since those spots are on the far side of the proposed project. Nor would the proposed parking structure in Area 2 make up the deficit. The proposed structure for the project would not serve the needs of the 5000 Birch building. The parking structure is disjointed to the overall plan. Its position and configuration should be reconsidered so as to serve the needs of pedestrian access and vehicular traffic for 5000 Birch. The Structure Would Create Hazards And Create Visual Blight The proposed structure parking is unsightly. It lacks landscape relief on its Southern face and would be physically imposing for the occupants and visitors of 4340 Von Karman. The proposed structure and proposed circulation pattern would constrict vehicular traffic, present hazards for pedestrian traffic, obstruct existing views and vistas, obliterate existing landscaped areas with mature sycamore trees, cast morning shade on the 4340 building, and create a flooding hazard with its water retention system. Aerial View Above Parking Structure. 4340 1* forward -thinking lawyers for forward -moving clients 4340 Von Karman Avenue • Suite 380 • Newport Beach • California • 92660 Phone: (949) 258-9359 • Facsimile: (949) 273-1070 Ms. Leilani I. Brown, City Clerk January 8, 2021 Page 3 Driveway Entry #6 Preferred By 4340 It O ,5 .................... •> F - - e. \IIIIIIIIIIIIIIIIII� 4* Construction Of The Project And The Structure Would Adversely Impact Area DI -;-- Construction of the project would also create unnecessary disruption of the ingress, egress and parking for 4340 Von Karman. The grading during Phase 1 will require significant excavation, producing vibration and noise to the determent of the occupants and visitors of 4340 Von Karman. The proposed hauling routes would uniquely burden 4340 Von Karman. The parking lot in front of 4340 is not owned by the Applicant. It is part of the Common Area. No justification exists for building a parking structure to service the 5000 Birch property that is so far removed from the building. forward -thinking lawyers for forward -moving clients 4340 Von Karman Avenue • Suite 380 • Newport Beach • California • 92660 Phone: (949) 258-9359 • Facsimile: (949) 273-1070 Ms. Leilani I. Brown, City Clerk January 8, 2021 Page 4 Proposed Shuttle To And From Area 8 To Parking Structure C A LIGIND fI(A HE 1 forward -thinking lawyers for forward -moving clients 4340 Von Karman Avenue • Suite 380 • Newport Beach • California • 92660 Phone: (949) 258-9359 • Facsimile: (949) 273-1070 Ms. Leilani I. Brown, City Clerk January 8, 2021 Page 5 Construction Phasing Diagram t y— Driveway 1 Driveway 3 =— � - - - ••. '-" -_ rilifHrll LJIi ii fiii• iiii vnmTt%- j j11111111111T1n11(Tllltllllil i c1 iliinainTT7 =1 _ I I LiL� lllall lltin IIt \\//� i illlllll_fl ll(1ll�IIL _ I J d�11 JTn 1 1 �_ u .Lft ti1111 t11 fit LVILM.. -.AUAL 11 lllJilllllllf� /// v� /�' - � (rTITTTtrTTTTran �' T Driveway4 1 _ QUI U _ �mlmmT>) ti / < m Phase 2A lnrnt_ =' --------------------- JrITITITHI t n z ��'•. ��� � i lllllllllll� 11t 11111111111 r Phase 26 I111r111T1MR11IT1f11111114 _ 1111M fiTMITTii MTI M rant ] - Phase 1 X Drivewav 5 \. Parking Suppl by Project Phase Starting Sup ly Parkin Loss/Gain Endinq Parkin Supply Phase Existing Proposed Existing Proposed Existing Proposed r"w_Residences 1,643 Office Residences Office Residences Existing1,64_ 1,643 Phase 1- During (106) 1,537 Construction Phase 1 —At 1,537 284 1,821 Completion 1,378 Phase 2A— 1,821 (443) During Construction Phase 2A — At 1,378 276 559 1,645 559 Completion Phase 26 — 1,645 559 (75) 1,579 559 During Construction Phase 213 — At 1,579 559 (75) _jj 1,654 559 Completion Net Chanqe 11 forward -thinking lawyers for forward -moving clients 4340 Von Karman Avenue • Suite 380 • Newport Beach • California • 92660 Phone: (949) 258-9359 • Facsimile: (949) 273-1070 Ms. Leilani I. Brown, City Clerk January 8, 2021 Page 6 The proposed parking structure bifurcates the project so that the 4320 Von Karman building is cut off from 4340 Von Karman and 5000 Birch. The Proposed Flood Control System Will Create Hazards For The 4340 Property While Attemotina To Mitiaate Them For The Proiect The proposal for the parking structure includes a new retention well and an expansion of an existing storm drain. Both would be problematic. The water retention system would place the water shed near the entrance of 4340 Von Karman, essentially moving the project's flood water problem to a neighboring property. Notably, the applicant does not list 4340 Von Karman as part of the "project". Construction of the storm drain system between 4340 and 4320 would also be disruptive, and the Applicant has failed to make clear how it intends to provide safe pedestrian and vehicular access to 4340 Von Karman during Phase 1. Proposal to Mitigate the Impacts of the Structure Parking The Association proposes the needed parking structure be built adjacent to the existing parking garage for the 5000 Birch building. The structure would serve the 5000 Building well, be oriented at the end of the existing parking garage, and provide access from Birch and from Von Karman. forward -thinking lawyers for forward -moving clients 4340 Von Karman Avenue • Suite 380 • Newport Beach • California • 92660 Phone: (949) 258-9359 • Facsimile: (949) 273-1070 Ms. Leilani I. Brown, City Clerk January 8, 2021 Page 7 The structure would be an extension of the existing surface parking for the 5000 Birch building. The elevator and stair core would be appropriately situated near the 5000 Birch building and satisfy code requirements for access. The alternative structure proposed by the Association would not inhibit the potential for a fire lane between Birch and Von Karman but would require a property line adjustment. The Applicant shares an interest in the Uptown development, making that process easy. forward -thinking lawyers for forward -moving clients 4340 Von Karman Avenue • Suite 380 • Newport Beach • California • 92660 Phone: (949) 258-9359 • Facsimile: (949) 273-1070 Ms. Leilani I. Brown, City Clerk January 8, 2021 Page 8 forward -thinking lawyers for forward -moving clients 4340 Von Karman Avenue • Suite 380 • Newport Beach • California • 92660 Phone: (949) 258-9359 • Facsimile: (949) 273-1070 Ms. Leilani I. Brown, City Clerk January 8, 2021 Page 9 Excavation and Widening of Storm Drain System next to 4340 A new Storm Drain Manhole will connect a Detention System to the Storm Drain Inadequacy Of The Review Of The Proposed Alternative Structure. Members of the board of directors of the Association previously submitted comments on the project and its proposed parking structure. Most recently, at a meeting on November 5, 2020, representatives from the Association and owners of businesses in the 4340 building submitted public comments to the Planning Commission. Among other concerns, the Association noted the position of the proposed parking structure would not serve the businesses adjacent to and impacted by the proposed development. The Association suggested an alternative location. The Planning Commissions' subsequent vote to send the project before the City Council was predicated on a good faith assurance the Applicant would work to respond to the concerns of the Association with more than cursory adjustments. The Picerne Group waited until December 18 to meet with representatives from the Association. At that meeting, The Picerne Group refused to address the feasibility of an alternative location. forward -thinking lawyers for forward -moving clients 4340 Von Karman Avenue • Suite 380 • Newport Beach • California • 92660 Phone: (949) 258-9359 • Facsimile: (949) 273-1070 I II L , KEYIMP m _—____ ______ i s o _I_ I_.I...I. _.I__t- � _ RCP STORM pRAIN COMPARISON TABLE « ~ 4 el PROP. PARING STRUCTUREN. It o IIS r \ irr/ it i I III C5.02 Inadequacy Of The Review Of The Proposed Alternative Structure. Members of the board of directors of the Association previously submitted comments on the project and its proposed parking structure. Most recently, at a meeting on November 5, 2020, representatives from the Association and owners of businesses in the 4340 building submitted public comments to the Planning Commission. Among other concerns, the Association noted the position of the proposed parking structure would not serve the businesses adjacent to and impacted by the proposed development. The Association suggested an alternative location. The Planning Commissions' subsequent vote to send the project before the City Council was predicated on a good faith assurance the Applicant would work to respond to the concerns of the Association with more than cursory adjustments. The Picerne Group waited until December 18 to meet with representatives from the Association. At that meeting, The Picerne Group refused to address the feasibility of an alternative location. forward -thinking lawyers for forward -moving clients 4340 Von Karman Avenue • Suite 380 • Newport Beach • California • 92660 Phone: (949) 258-9359 • Facsimile: (949) 273-1070 Ms. Leilani I. Brown, City Clerk January 8, 2021 Page 10 Instead, Picerne suggested moving the parking garage back ten feet, providing "garden screening" and reversing the layout so the lowest end of the structure would face 4340 Von Karman. Picerne declined to provide copies of plans for any such changes, leaving the Association unable to review them meaningfully with its consultants. The Association believes those changes would require changing the access points for the project, that insufficient space exists for the root structures that will develop from the proposed "screening," and that the layout would not accommodate a fire lane. Picerne said nothing and showed nothing demonstrating they had vetted the proposed alternative with their engineers or the Planning Commission. CEQA requires public agencies to prepare an EIR for any project that may have a significant effect on the environment. (Pub. Res. Code, §§ 21100, 21151.) The purpose of the EIR is "to provide public agencies and the public in general with detailed information about the effect which a proposed project is likely to have on the environment; to list ways in which the significant effects of such project might be minimized; and to indicate alternatives to such a project." (Pub. Res. Code, § 21061; emphasis added.) Here, alternatives exist for the project that have yet to be explored by the applicant, and the City. forward -thinking lawyers for forward -moving clients 4340 Von Karman Avenue • Suite 380 • Newport Beach • California • 92660 Phone: (949) 258-9359 • Facsimile: (949) 273-1070 Ms. Leilani I. Brown, City Clerk January 8, 2021 Page 11 We suggest the City defer approval of the project so that alternatives may be explored for the necessary parking structure that will better serve adjacent property owners and building occupants. Thank you. Sincerely, 4 Stuart W. Price Forward Counsel, LLP Attachments: cc: City Councill(citycouncil(a�newportbeachca.gov) Jim Campbell(jcampbell(a)_newportbeachca.gov) Rosalinh Ung (runq(a)newportbeachca.gov) forward -thinking lawyers for forward -moving clients 4340 Von Karman Avenue • Suite 380 • Newport Beach • California • 92660 Phone: (949) 258-9359 • Facsimile: (949) 273-1070 Received After Agenda Printed January 12, 2021 Item No. 10 January 6, 2021 Brad Avery, Mayor City Council City of Newport Beach 100 Civic Center Drive Newport Beach Ca, 92660 Re: Residences at 4440 Von Karman Dear Mayor Avery and Council Members: KCN A Management is the Declarant for the Koll Center Newport CC&Rs and also the current owner of most of the common area parking areas within KCN. We have owned, managed and modernized Koll Center Newport ("KCN") since its inception as a mixed use park and look forward to continuing its evolution with proper planning. Most recently, in the advancement of residential in the Airport Area per the current General Plan, KCN A successfully worked with Shopoff and the various owners of KCN to come to a mutually agreeable solution for Uptown Newport and its connectivity to the immediately adjacent KCN. We support the concept Picerne has proposed for KCN and the positive impact it will bring to KCN and the surrounding area. Mixed use parks that feature residential and amenitized common areas are the primary beneficiaries of new leasing and value appreciation. We look forward to working with Picerne and the various owners within KCN to fine tune the remaining parking, landscape, common area amenities, and connectivity issues that might remain. Thank you for your consideration and time spent on this matter. Regards, KCN A Management, LLC a Delaware Limited Liability Company Received After Agenda Printed January 12, 2021 Item No. 10 From: Rieff, Kim Sent: Monday, January 11, 20217:43 AM To: Mulvey, Jennifer Subject: FW: Residences at 440 Von Karman- Agenda Item #18 Attachments: Olen Comment- Residences 4400 Von Karman 1.12.2021.pdf From: Julie Ault <jault@olenproperties.com> Sent: Friday, January 08, 20214:44 PM To: Dept - City Council <CityCouncil@newportbeachca.gov> Cc: Derek Ostensen <dostensen@olenproperties.com> Subject: Residences at 440 Von Karman- Agenda Item #18 [EXTERNAL EMAIL] DO NOT CLICK links or attachments unless you recognize the sender and know the content is safe. Mayor Avery and Council Members, We own the 4910 Birch Street building which, because of its extremely close proximity to the proposed Picerne/4400 Von Karman apartment project, is the most impacted of the existing buildings surrounding the project. At this important juncture, we need the Council to take a leadership role in carefully reviewing and revising this project to be more compatible with the property rights of our and other adjacent existing buildings. Picerne has claimed to you that they are addressing our issues, but the reality is that they have failed to adequately respond to the requested project changes we and several other property owners have conveyed. The GP and ICDP policy documents repeatedly promise that any new residential in the Airport Area would be carefully integrated with existing buildings. In a number of areas, this project is not yet there. We need the Council to help lead a solution here. Our existing property rights should carry as much value to the City Council as the applicant's proposed new property rights. In the attached letter, we have noted a few issues that certain Council Members have expressed interest in further reviewing as a basis for potential project changes. Sincerely, Julie A. Ault General Counsel Seven Corporate Plaza Newport Beach, CA 92660 949-719-7211 949-719-7210 (fax) iault(@olenr)roaerties.com www.olenproperties.com LP - 0N January 8, 2021 Submitted via email to: citycouncil(anewportbeachca.gov Mayor Brad Avery & Councilmembers City of Newport Beach 100 Civic Center Drive Newport Beach, CA 92660 RE: Proposed Residences at 4400 Von Karman Dear Mayor Avery and Councilmembers: Olen Properties has been a leading commercial and residential developer with its headquarters in Newport Beach for over 40 years. As part of Olen's portfolio of properties in Newport Beach, Olen owns the property located at 4910 Birch Street in Koll Center Newport (KCN). The City of Newport Beach has noticed a Public Hearing on the "Residences at 4400 Von Karman" for Tuesday, January 12, 2021 at 4 PM. We are writing to request a delay, with direction to the Applicant for revisions for the reasons outlined below. Olen opposes this project in its current form as the project severely impairs the existing property rights and values of neighboring properties in numerous ways. As previously noted, the General Plan (GP) and Integrated Conceptual Development Plan (ICDP) require "cohesive and compatible integration of new residential with existing buildings." This project will dramatically affect millions of dollars of existing property rights, and, it will also set an important precedent for thousands of additional residential units which may be added to the Airport Area in coming years. Given that this Project is an entirely new development and not a repurposing of an existing commercial or residential site, it is urgently important that the City Council take the appropriate time to carefully review and revise the proposed Picerne project to ensure its compatibility with existing surrounding buildings. The following issues are not an exhaustive list, but are areas where certain Council Members have expressed interest in considering and potentially revising, thus they can be considered a starting point for constructive discussions: 1. Setbacks/Proximity to Existing Buildings. The proposed apartment buildings are extremely close to our 4910 Birch property — less than 17 feet from our property line in certain areas. This is clearly in conflict with GP and ICDP policies and the intent of "compatible and cohesive integration of new residential." A letter, coming under separate cover, will note the technical and policy issues. However, on a more "common sense" and "fairness" level, we encourage the Council to put yourselves in our Seven Corporate Plaza ♦ Newport Beach, CA 92660 (949) 644-OLEN ♦ Fax (949) 719-7210 www.olenproperties.com shoes and consider whether you would be okay with a 312 -unit apartment project being built that close to your property. Specific Request: We request that the Council significantly increase the distance between our property and the proposed project, which can be accomplished in several ways including relocating apartment units to the Von Karman Road side or reducing the number of units. 2. Number of Units/Density. Overall, we object to the increased number of units (up to 312 from 260) because this increase would exacerbate a number of project impacts, including the building massing impacts to our building, construction timeframes, and site congestion. If the Applicant is seeking to increase unit density, it should do so in a way that does not worsen the project's impact on adjacent existing businesses. Specific Request: We request that the Council reduce the amount of apartment units, which the Applicant seems willing to do from our discussions. 3. Parking Impairment. During Phase 2 of construction (which would be 2+ years), there would be a deficit of 265 parking stalls. As such, the Applicant's plan would not comply with parking allocations for each building required under the City code and guaranteed in the CC&Rs for this site. In addition, the proximity needs of all existing businesses are severely impacted, rendering Olen's 4910 building non-compliant with its required parking allocations to its tenants. Further, the Applicant's parking plan should not merely be based on Summer 2019 peak use data but should ensure full compliance with all parking requirements for the entire duration of construction. Specific Request: We request that the guaranteed and code -required number of spaces be maintained throughout construction. 4. Assigned Parking Spaces. It is essential that our tenants not be forced to endure an under parked office building, and also that the parking available to them is in close proximity to their offices. Our property is allotted approximately ±180 spaces. Specific Request: We request that Olen is assigned a dedicated allocation of parking spaces suitable to meet our occupancy needs. 5. Retail Component. The Airport Area is already deficient in retail, cafes, and restaurants. City policies are clear on the need for retail in projects such as this, yet during the entitlement process retail is regularly postponed or replaced in favor of more apartment density. The Uptown project is an example of that happening and now this project is attempting the same maneuver, thereby further exacerbating the lack of retail amenities in the Airport Area while adding residents. Specific Request: We request that this project include a reasonable retail element, such as a small caf6 or coffee shop, preferably with an outdoor seating component facing the park to promote integration with existing businesses. 6. Construction Management. Major problems with how this project would be constructed remain and they merit careful attention and revision by the Council. The construction schedule is optimistically forecast to be three years, and most construction projects well -exceed their scheduled completion dates. Regardless of the exact timeframe, this project would create immense noise, disruption, construction staging congestion, surface parking reduction, view degradation, dust/debris, and other significant Seven Corporate Plaza ♦ Newport Beach, CA 92660 (949) 644-OLEN ♦ Fax (949) 719-7210 www.olenproperties.com issues. Each of these issues would create substantial financial, quality of life, and property rights impacts to existing property owners. Specific Request. There are considerable problems with the proposed Construction Management Plan. Additional revision of the Construction Management Plan is needed to reduce the financial and operation impacts of the proposed construction to existing properties to prevent operational impairment. 7. Standalone Parking Structure. We share the concerns of the three immediately adjacent buildings that the standalone parking structure is excessively close to their buildings and is inadequately screened to mitigate its unsightliness. The owners of those existing buildings have invested millions of dollars in their properties and the City Council should be respectful of the proximity, screening, and location of the proposed standalone structure so that any new structure would compatibly integrate with their buildings. Specific Request. Require a revised location and appropriate screening of the proposed standalone parking structure. Given that many project documents have been incomplete or proposed changes remain unavailable to the public, we continue to evaluate the documents associated with this project as well as the Project's deficiencies related to the CC&Rs that govern the property rights and rules in Koll Center Newport. We respectfully request that the Council take a leadership role in proposing and coordinating solutions such that this project can be more compatibly integrated with existing surrounding buildings and protect the rights and values of the impacted KCN neighbors. Valuable time has been lost with an unresponsive Applicant who appears unwilling to resolve these serious issues. It is clear that thoughtful involvement, guidance, and proposed solutions are needed from the City Council at this time. We urge you to provide the necessary direction at the January 12th hearing to resolve these issues before a vote on the entitlement occurs. Thank you for consideration of this request. Sincerely, Julie A. Ault General Counsel JAULT90lenproperties. com Seven Corporate Plaza ♦ Newport Beach, CA 92660 (949) 644-OLEN ♦ Fax (949) 719-7210 www.olenproperties.com Received After Agenda Printed January 12, 2021 Item No. 10 4440 Von Karntan Building Owners January 7, 2021 Newport Beach City Council 100 Civic Center Drive Newport Beach, CA 92660 RE: Letter of Support Residences at 4400 Von Karman (P A2020-061) Dear Mayor Avery and Members of the City Council: Please accept this letter in support of the "Residences at 4400 Von Karman", which is on the Council agenda for January 12, 2021. We are owners of a commercial office building located at 4440 Von Karman Avenue, located directly adjacent to the proposed project. We support this project and feel the Residences at 4400 Von Karman fulfills the City's vision under its General Plan for providing much needed housing in the Airport Area of Newport Beach. Several attributes worth highlighting include the following: • The project is consistent with the City's General Plan, which specifically identified the Koll Center property as an ideal location for new housing in the Airport Area. • The City Council unanimously approved the Koll-Conexant Integrated Conceptual Development Plan in September 2010, which provided a framework for developing this site with high-density housing. The proposed project fulfills the goals of the Koll-Conexant ]CDP. • The project provides both market -rate and affordable housing that is drastically needed in Newport Beach. • The project provides housing in close proximity to Airport Area jobs and near public transit, resulting in less reliance on automobiles for commuting. • The project will transform a stark parking lot into a vibrant mixed-use environment with a public park, new landscaping and new residents. We appreciate your consideration and urge you to approve this much needed project that will enhance the Koll Center Newport and be an attribute to the City of Newport Beach. Sincerely, Alexander Horvat 4440 Von Karman Building Owners Received After Agenda Printed January 12, 2021 Item No. 10 From: City Clerk's Office Sent: Monday, January 11, 20211:14 PM To: Mulvey, Jennifer; Rieff, Kim Subject: FW: Residences at 4400 Von Karman (PA2020-061) - Koll Center Newport CC&Rs Attachments: KCN Letter response to Olen 1.4.21.pdf From: Eric Hoffman Sent: Monday, January 11, 2021 1:13:18 PM (UTC -08:00) Pacific Time (US & Canada) To: Dept - City Council Cc: City Clerk's Office Subject: Residences at 4400 Von Karman (PA2020-061) - Koll Center Newport CC&Rs [EXTERNAL EMAIL] DO NOT CLICK links or attachments unless you recognize the sender and know the content is safe. Mayor Brad Avery and Members of the City Council: It has come to our attention that a couple of the existing building owners in the Koll Center Newport have recently submitted letters requesting that the Council delay it's hearing of the above -referenced project, in part, based on the notion that it is not permitted under or consistent with the CC&R's for the Center. KCN A Management (Koll) is the master declarant under the CC&Rs and owner of the subject common areas. On January 4, 2021, Koll sent the attached letter to a group of existing building owners to address their various noted concerns and in an effort to clarify certain other apparent misunderstandings. Thank you for your continued consideration and time spent on this matter. ERIC HOFFMAN Senior Vice President, Acquisitions and Entitlement The Picerne Group 5000 Birch Street I Suite 600 1 Newport Beach, CA 92660 Phone: 949.267.1525 1 Mobile: 949.307.3430 1 ehoffman piceme rgroup.com January 4, 2021 Derek Ostensen Julie A. Ault Olen Properties 7 Corporate Plaza Newport Beach, CA 92660 RE: Letter dated December 8, 2020 with respect to Proposed Residences at 4400 Von Karman Apartment Project at Koll Center Newport Dear Mr. Ostensen & Ms. Ault, This letter is in response to the December 8, 2020 letter we received from Olen Properties, Meyer Properties, Von Karman Condo Association and COMAC American Corporation (collectively "Owners"), all owners of property within the complex know as Koll Center Newport ("KCN"). The letter was sent to KCN A as the Declarant under the CC&R's which govern the property (the "CC&Rs). As I stated in my December 16, 2020 letter to you, we have been in communication with the current applicant, Picerne, and have incorporated the information it has provided in this letter. The Owners' December 8 letter raises a variety of issues and concerns. Before we address them, we note that KCN A is in full compliance with the CC&Rs, including as to KCN A's sale of the residential property and the development of that property by Picerne. Any claims by the Owners to the contrary are meritless and disputed. Our response to the issues and concerns below quotes each item and then gives our response in in bold. Common Area Parking and Proposed Construction Activities. a) "It is our understanding that a large area of Common Area parking has been sold to an entity controlled by The Shopoff Group (Shopoff). Please provide the legal document that guarantees and protects our Common Area parking rights, given that such parking is now on private property. Further, please advise as to how the proceeds Koll derived from the sale of the Common Area were apportioned against the Common Area expenses given the proportional ownership of such land by each of the Owners." The Owners' parking rights are provided in the CC&Rs. All of the common area land is privately owned, and the sale proceeds go to the common area owner just as they did when every other owner's parcel was sold and developed. The sale of this parcel does not change your common area parking rights, as each parking space displaced by the new residential project is to be replaced by a Derek Ostensen Julie A. Ault Olen Properties January 4, 2021 Page 2 combination of parking spaces within a new freestanding parking structure (to be built in the initial phase) and a dedicated office parking area within the new residential project. We understand that access to this office parking within the new residential project will be from two locations, the first being a separate access for KCN users on the north side of the new residential project and second from the main KCN drive on the south side of the new residential project. This project also includes the required parking for new residents and their guests once all construction is completed. The CC&Rs do not create any right by existing owners or tenants to proceeds from the sale of common areas. b) "During Phase 2 construction of the Picerne project, there would be a large deficiency of 260+ parking stalls, creating a non-compliant allocation of parking rights per the CC&R's and City code. As you are aware, the ability of an existing property owner to sell or finance their building depends on compliance with parking requirements. Accordingly, such a deficiency would potentially preclude them from doing so. Please describe how you intend to address this issue." There is always some parking disruption during construction, which is contemplated and permitted under the CC&Rs. The developer is responsible for accommodating that parking, and to replace all impacted parking spaces as described above. See also response to g) below. C) "Who would own the standalone parking structure? Please provide the legal document that would guarantee and protect our Common Area parking rights in the standalone parking structure." KCN A would own that structure for the benefit of the common area just as the parking structure behind 4000 MacArthur is owned by KCN A. The CC&Rs would apply. d) "Clearly, Picerne would own the parking structure beneath its apartment project, of which a portion is proposed to be used to fulfill Common Area parking needs. Please provide the legal document (easement or other) that indicates how our Common Area parking rights would be maintained and protected, and which details how matters such as insurance are handled." No documents have been drafted at this time. To the extent the apartment structure will have common area parking rights, those rights will be further documented (e.g. by a perpetual access and use agreement) and managed as part of the common area under the CC&Rs. This additional documentation will be finalized as part of the project implementation process once the entitlement process is completed and include customary operating and maintenance covenants and insurance requirements. e) "Parking Structures can entail additional risks associated with theft, transients and other safety issues. Would there be security cameras installed in the office parking areas to address these risks? Would Picerne be solely responsible for their cost and maintenance given that the proposed development fundamentally changes the existing common areas?" KCN A intends to review and comment on the developers parking plans as affecting the common -2- Derek Ostensen Julie A. Ault Olen Properties January 4, 2021 Page 3 area, and will discuss with the developer the security camera concept. Additionally, KCN security will patrol this parking as part of the common area. Picerne will simply become an additional building owner within KCN, with the square footage of its building being added to the denominator in determining the percentage allocations of the KCN, and thereby lowering the overall common area costs for all of the existing KCN owners. f) "The Parking Exhibit Picerne provided to the Planning Commission (see enclosed) claims to address the Required Office Stalls Per Code for the existing buildings adjacent to the project whose parking would be impacted. Yet the largest and most parking - intensive affected building, 5000 Birch, is not included in the exhibit's analysis. This shortcoming should be explained and fixed so we can have an accurate understanding of the project's parking implications." The developer's parking plans call for each impacted parking space to be replaced through a combination of the freestanding parking garage and the designated office spaces in the apartment podium; hence, there is no resulting change to the existing parking ratios. g) "It seems highly doubtful that all construction workers and vehicles will be parking solely on-site, as Picerne claims. Numerous construction projects promise this and then fail to abide by it, resulting in severe parking constraints to existing businesses such as ours. Please provide a construction plan that clearly indicates on-site parking locations and layouts. Please also provide an explanation of how construction workers and vehicles will be prevented from parking in office stalls, given that your current proposal does not indicate any mechanism to do so besides an honor code (which rarely works with construction workers)." This is the developer's responsibility, and it has provided the following response: "As you are aware, it is within the general charge of the City to ensure the public safety and welfare of its residents and to utilize applicable laws, rules and regulations to protect the same while also promoting economic prosperity and respecting private owners' property rights. Of course, as with any situation where development and construction is being completed, there will be some resulting temporary inconveniences. In this case, the promulgated conditions of approval require, prior to the issuance of a building permit, a City -approved construction management plan addressing many topics, including project phasing, staging areas, construction parking, haul routes and emergency access. A draft of the construction management plan was attached to the November 5, 2020, Planning Commission Staff Report as Attachment No. PC 5." h) "Please provide an exhibit that shows where each of our buildings would park during construction, including the number of stalls allocated to each building per its square footage. Indicate how our respective parking allocations are fulfilled by each parking location during each phase of construction." See response to g) above. This should or can be ascertained from the developer's City -approved construction management plan, as it may -3- Derek Ostensen Julie A. Ault Olen Properties January 4, 2021 Page 4 be updated. Also, as was the case with prior construction, some inconvenience comes with construction, which the plan is designed to minimize. i) Please explain how the parking stall allocation Koll has provided for existing businesses is compliant with City Code for office space, which appears to require a higher number of stalls than is allocated to us by Koll. The KCN A parking ratio is compliant with the City -approved Planned Community Text, which allows for a lower parking ratio than the general parking requirements set forth in the City Code. j) "Please provide the agreement between Koll and Picerne which would guarantee parking shuttle service for affected building owners, if the project is built." Currently, there is no such agreement. However, KCN A intends to review and comment on the developer's parking plans as affecting the common area, including shuttle. See responses to d) and g) above. k) "If the project proceeds, hundreds of thousands of cubic yards of soil would be exported from the site. Thousands of new vehicle trips from construction workers, heavy equipment and material deliveries would occur. You appear to have given little thought to how significantly such activities would congest and impair Koll Center circulation. What is your plan for minimizing impacts of such activities to existing businesses, whose financial viability depends on their workers being able to access their offices?" Construction activities are directly regulated by the City as part of the entitlement approval process, and are covered by the developer's construction management plan. See g) above. 2. Common Areas Expenses a) "We firmly object to any increase in our Common Area expenses from the proposed project and its numerous related impacts. Please confirm that our Common Area expenses would not increase as a result of this project, if it is built." The common area expenses will be charged in accordance with the CC&Rs. We note that the last budget for the Shopoff plan showed a decrease for existing owners due to the decrease in maintenance requirements and increase of the number of owners paying into the common area. The updated budget based on the Picerne plan will be prepared once all the details of the Picerne plan are finalized. b) "Has Shopoff been paying into the pro rata share of the KCN Expenses for their new parcel? If not, please indicate why and how that is allowable under the CC&Rs." No, our practice has been to not start charging until construction starts, because until then nothing has changed in the common area. -4- Derek Ostensen Julie A. Ault Olen Properties January 4, 2021 Page 5 C) "If Picerne proceeds with constructing their project, what would their pro rata share of KCN expenses be? Please confirm that Picerne would be a fully paying participant in overall KCN expenses and would not be excluded from sharing such expenses." Yes, Picerne would be paying their pro rata share of common area expenses. d) "For the proposed 1 -acre park, would Picerne be solely responsible for all public park costs, including all equipment replacement and maintenance. Existing KCN property owners should not be responsible for any of these costs." Yes, Picerne will be responsible for the park maintenance. e) "Would Picerne be solely responsible for the costs of maintaining the Office Lobby elevator that provides office parking service from the proposed subterranean structure?" Yes, Picerne will be responsible for maintaining the elevator, and will be reimbursed by the common area in accordance the CC&Rs. f) "Would the new proposed "internal street" be a public street whose maintenance and liability costs are borne by the City? If not, how do you intend to deal with the significant associated costs and liability of this street? Being that it would primarily serve the apartment building, its substantial maintenance and liability costs should not be shouldered by the existing office buildings." This open drive will operate the same as the other open (non -gated) drives in KCN (i.e., the road between MacArthurNon KarmanBirch adjacent to the Renaissance hotel and the surrounding office buildings and the road which connects MacArthur and Jamboree in front of 4000 MacArthur). It will be a common drive and the expenses will continue to be shared as a portion of the common area. g) "Structured parking often entails higher costs for maintenance and management. Would Koll be guaranteeing that existing properties will not have their parking rates or shared maintenance costs increase above what is currently paid, excepting routine CPI increases? The proposed structured parking would be imposed on us, and our tenants generally prefer the convenience of surface parking, hence we should not be forced to pay higher costs." The common area expenses will be charged in accordance with the CC&Rs. The new standalone structure will be maintained by the common area. We note that as a standalone, non -ventilated, concrete structure, it may be less costly in the long run to the common area than the existing asphalt surface parking and landscaped areas. h) "Large-scale construction will clearly damage and degrade Common Area drive aisles, planters and other items. Following major construction, drive aisles typically need to be repaved, curbs repaired and planters replanted, among numerous other cost items. What agreement with Koll requires Picerne to pay for such repairs, given they would be directly caused by their construction?" Picerne will be responsible for any damage done as a result of its construction. -5- Derek Ostensen Julie A. Ault Olen Properties January 4, 2021 Page 6 3. Financial Viability of Our Properties During and after Construction "Each of our companies has invested millions of dollars into our buildings with the understanding that Koll Center Newport is an office park and would not be undergoing an enormous residential construction project in the middle of our jointly owned Common Area that will fundamentally degrade our properties' value, marketability and quality of life for several years." We disagree. We also note that mixed-use parks that feature residential typically out perform their market competition. In fact, many mixed-use developments within the surrounding area i.e., Newport Beach, Irvine and Costa Mesa) have been adding residential units and those properties have seen resulting increased occupancies and office rental values. "Koll has profited from its sale of our Common Area parking for a massive development and, through the proposed construction and also its subsequent view blockages and other negative property value impacts, Koll will impose substantial financial damages on our properties, including proposed removal of on -grade parking as required by the CC&Rs, which reduces the value and marketability of our buildings. Yet Koll has done little or nothing to address these damages or even carefully coordinate with existing property owners to mitigate such impacts." Your claim is not reasonable or correct. The concept of infill development within KCN is nothing new, it has been going on since the project was started several decades ago. All of the buildings built in KCN were added over time with many of the buildings being built on the (privately owned) common area. The most recent being the 4450 MacArthur building which was built on an existing common area parking lot and the development included an office building, below grade parking and new parking spaces built on a common area landscape area. The common area owner has the right to sell off and adjust boundaries of the common area. The long term concept after this potential development will still provide all existing owners in the immediate area to have access to both exposed surface parking and covered structured parking. Section 7.02 of the CC&Rs clarifies that owner with Declarant can alter existing parking and drives to accommodate the development. The precedent of this altering of parking and drives is obvious by the number of existing parking structures and revised drive aisles present within KCN. "Consider for a moment that during the extremely noisy, congested and disruptive proposed construction, we will not be able to lease vacant space in our buildings and will likely face rent reduction and/or early lease termination requests from tenants. Brokers and their tenant clients can lease space in numerous other Airport Area properties that will not be undergoing years of noisy construction, parking deficiencies and circulation congestion — and they will surely do so, materially impairing the financial viability of our properties as a direct result of Koll's conduct." We question whether your claim is correct. In any event, we understand that there will be -6- Derek Ostensen Julie A. Ault Olen Properties January 4, 2021 Page 7 some short-term construction to work through, but that is to be expected from the development permitted under the CC&Rs. Moreover, we believe that the value created from an enhanced mixed-use park will be long term. It should also be noted that many of the owners, including COMAC (4350 Von Karman) and Von Karman Condo Association (4340 Von Karman) purchased their buildings with full knowledge that a residential project was planned for this site. "As existing property owners in Koll Center Newport, we deserve better — beginning with your prompt response to the concerns detailed above, appointment of counsel to represent the owners' interests in negotiations with Picerne as well as continuing with additional discussion on how you intend to mitigate the financial damages you are imposing on our properties through the proposed construction. Please be advised that this correspondence is an urgent attempt to prompt action on behalf of the owners and does not constitute a full recitation of all opposition to the proposed project." We decline your request to appoint counsel for the Owners. There is no such obligation under the CC&Rs. We are willing to discuss any reasonable mitigation measures you may desire. However, we strongly disagree that the development will cause financial damages to the Owners, to the contrary as noted above we believe that the development and the associated improvements to the property will enhance the value of all properties within KCN. Let me know if you have any questions. Regards, Scott M. Meserve The Koll Company cc: Dana Haynes, VKOA Jim Hasty, Meyer Properties John Zhang, COMAC -7- Received After Agenda Printed January 12, 2021 Item No. 10 1-10-2021 To: The staff and members of the City Council The City of Newport Beach Sent electronically 1-10-2021 Good evening Mr. Mayor and Council: write this in support of Chair Weigand and members of our Planning Commission who voted unanimously for approval of the proposal. Despite the planning synthesis of the new use of housing in an existing business community, in the long run, the proposal enhances the value of property and the Newport experience for each existing business and the new residents. For your understanding and administrative clarity, I serve at the pleasure of the SPON Board, on a committee of residents assigned to mitigate irreconcilable impacts from a former 15 story residential tower proposed by Shopoff Development. And, I write this support personally and not for my SPON Board. As most of you know, my Board does not support projects but occasionally "takes no exception(s)" with projects. I am a 30 -year resident, reside in Corona del Mar, a registered architect and I own and operate a planning and architectural firm in the County seat of Santa Ana. I started Newport Heights Improvement Association in 1998 and, in the early 2000's, became a Board Member of SPON. I offer a unique blend of activist and professional credentials and was a mayoral appointment to the 2000 GPAC. My role with SPON has always included the review and comment of planning and architectural components of projects followed by SPON. Additionally, as many of you know, SPON and me would still like to see a commercial component within the project to serve "this new larger community" and smoother water between the developer and the existing office community. But, since the parking for the impacted business community is replaced and in a covered new garage, the benefit of this upscale project, outweigh the impacts. SPON is about collaboration, solid planning, and preserving and sustaining our community. Our interests are focused beyond this project and onto that greater picture and a greater good. To that end, the Housing Element within the update of the General Plan, the making a solid and diverse GPAC and a successful and transparent General Plan process, is our greater hope. The State pressures of the SCAG/ RHNA housing requirements of over 4,000 new residential units cannot be met by projects that have market rate housing with only a small affordable unit count. So, for the City, there is much work to be done. If members of the Council or staff have questions, please do not hesitate to contact me. Very best, Don Krotee AIA Corona del Mar #donkrotee,art r, ,, 714-320-3036 CITIVEST I11 COMMERCIAL January 5, 2021 To: City of Newport Beach City Council From: Dwight Belden, Chief Operating Officer RE: Residences at 4400 Von Karman Received After Agenda Printed January 12, 2021 Item No. 10 I am an owner and occupant of the 4340 Von Karman Avenue office building located in direct proximity to the proposed parking structure related to development of the Residences at 4400 Von Karman. The proponent of the residential project has disregarded earlier planning studies reviewed and approved by the city and proximate Building Owners. The Picerne Group has proposed a building solution that is not in harmony with the KCN master plan and badly mangles the integrity of the master plan governed by CC&Rs that we have each invested in. We have issues relating to project design, construction period impacts and long-term disruptions with inharmonious design elements that give rise to public health & safety issues. We are asking for design changes to the project to better integrate not only the replacement parking structure by pushing it back to the line on which the Shopoff Group had designed but create bigger setbacks for the residential structures in areas that are in close proximity to the existing buildings. Most importantly, the parking structure for displaced parking does not match the location in all previous iterations and is in addition to the existing structure at 5000 Birch. The location noted in the 2010 ICPD planning document is one in which we have no objection, nor the Shopoff version amending that earlier design iteration. The following are important issues that need specific deliberation and which we have communicated to the Picerne Group. These issues were raised last October and November when plans were circulated. On December 18, Picerne proposed an inferior solution more than 6 weeks after the 4340 Von Karman Avenue, Suite 110, Newport Beach, CA 92660 949-705.0405 Residences at 4400 Von Karman City Council Hearing, January 12, 2021 Page 2 of 2 Planning Commission approvals. The Resolution before you, as currently drafted for this City Council, would approve the Planning Commission version of the project that has major deficiencies, violates CEQA, as well as the CC&Rs governing development, use and operations on the site and throughout KCN. These issues have both monetary and non -monetary impacts and such little response by the proponents have left us in this forum to ask for your help in delaying approval until the following issues outlined are adequately addressed: • Stormwater Underground Site Work - construction period impacts • CC&Rs - Use and Approvals in contravention to Section 1.02 and all definitions. • Proposed Structure - obstructions to use, design, lack of landscape and access patterns • Proposed Buildings - Need additional setback due to massing impacts • Construction - construction parking - lack of access; a parking deficiency of up to 265 spaces during Construction Phase 2 (Nov 5 meeting). We ask that the city council instruct the project proponent to work with the surrounding business community over the next 60 days to arrive at a design solution that is in keeping with the spirit of the CC&Rs and that will comply with CEQA. Our fellow KCN property owners are each subject to the CC&Rs, those covenants on use, conditions of development/operations as well as restrictions on uses within KCN. At a minimum, please make it a condition that the proponent increase the structural setbacks and use enhanced landscaping to buffer these massive structures. Please delay a vote on the proposed City Council Resolution for 60 days before any final Resolution is approved so we can see what is designed before the Resolution is approved. Sincerely, I Dwight R Belden Chief Operating Officer Citivest Commercial Investments, LLC Received After Agenda Printed January 12, 2021 Mulvey, Jennifer Item No. 10 From: City Clerk's Office Sent: Monday, January 11, 20213:43 PM To: Mulvey, Jennifer; Rieff, Kim Subject: FW: City Council Agenda Item #18 (01/12-2021) Opposition Letter to Residences at 4400 Von Karman Attachments: Belden Citivest Item 18 20200112 CC Agenda.pdf From: Dwight Belden Sent: Monday, January 11, 2021 3:42:14 PM (UTC -08:00) Pacific Time (US & Canada) To: Campbell, Jim; Ung, Rosalinh Cc: City Clerk's Office Subject: RE: City Council Agenda Item #18 (01/12-2021) Opposition Letter to Residences at 4400 Von Karman [EXTERNAL EMAIL] DO NOT CLICK links or attachments unless you recognize the sender and know the content is safe. Adding Exhibits to my Remarks that will be made during the City Council Zoom call Dwight Belden dbeldenkcitivestinc.com 949-705-0405 From: Dwight Belden Sent: Monday, January 11, 20213:01 PM To: Campbell, Jim <JCampbell@newportbeachca.gov>; Ung, Rosalinh <rung@newportbeachca.gov> Cc: cityclerk@newportbeachca.gov Subject: City Council Agenda Item #18 (01/12-2021) Opposition Letter to Residences at 4400 Von Karman Please include in Public Commentary... © IT[ V EST Dwight Belden Chief Operating Officer Citivest Commercial Investments, LLC. 4340 Von Karman Ave., Suite 110 Newport Beach, CA 92660 (949) 474-0440, Ext. 105 (949) 705-0405, Direct (949) 474-0330, Fax (949) 500-1110, Cell dbeldenkcitivestinc.com 7P WORK PLACES r - �.r bEPICE ; F, BANK KOLL SITE AREA ❑ Rk mmimv- ❑ EMMMD "IM: III:=):WIS ❑ I%kk BIRCH •S i EXISTING PARKING S -RU TU ISE I: r - ,`I I 'f PARK r, ESIDENTIAl FIGURE 4: KOLL ILLUSTRATIVE PLAN 0 125 August 79, 2010 O T 0 U 0 0 U Q w M 0 a w z W U co z Of Of w z LU :-- U J 0 Y M w M z N of O LU C14 U N � O � N r _ � O � � N /PAING VAN K K o.00 S3NIS9 5311514 'JNI�VdS.Si 'JNIONdSAi ,SIMtlS,S-S N9W N�tl1S N9tlN N�tl1S JNIJadHO 3101H3A '03-13 O ED 0 ARKI IKk IKk JNIOiIVHO 31011-13A 31011-13A 1N3103333 0313 13n=j JNIOiIVHO 3101H3A '03-13 0 ARKI Ick JNIOiIVHO 3101H3A '03-13 JNIOiIVHO 3101H3A '03-13 JNIOiIVHO 3101H3A '03-13 O O N JNIOiIVHO 3101H3A '03-13 JNIOiIVHO 3101H3A '03-13 1 FUEL EFFECIENT VEHICLE JNIOiIVHO JNIOiIVHO 31011-13A 31011-13A '0313 '0313 O ED FUEL EFFECIENT VEHICLE JNIOiIVHO 3101H3A '03-13 A LJ JNIOiIVHO 3101H3A '03-13 JNIOiIVHO 3101H3A '03-13 (accessible)/PAING Project Number (accessible) Sheet Scale D A T E S /PAZING Bid Set Date Permit Date ELEC. VEHICLE Plot Date ELEC. VEHICLE L T A CHARGING A - CHARGING A - JNIOiIVHO 3101H3A '03-13 RAMP UP 5.00% A 3101H3A 1N3103333 13n=j 31011-13A 3101H3A 1N3103333 1N3103333 13n=j 13n=j JJ -1011-13A3103333 13n=j O ED 0- cLL C) C a" I I I I I I 0.84 I I I I I I I o° A R C H 1 T E C T S O R A N G E 144 North Orange Street ° Orange. Cafitomta 92866 ° 714 639-9860 THE RESIDENCES AT KOLL CENTER Parking Structure NEWPORT BEACH, CA TPG (KCN) ACQUISITION LLC. 5000 BIRCH STREET EAST TOWER SUITE 600 NEWPORT BEACH, CA 92660 SITE PLAN © 2020 Architects Orange These plans are copyright protected. Under such protection unauthorized use is not permitted. 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APARTMENTS y�0� IIII IIIIIIIIII I I I I I I I I I I IJ IXI 6'p CP ST i 1 r TO REM PROP. P/L D +y, \ P/L TO EX. A I + } � AREA BE MODIFIED >' +� d� +�, ,� +�> ° STRUCTURE \ AREA 2B +*, RW �y III I I I I IIII + + } � Q�l I I' ITFLLJ,� � N ARRA CD cn N.A.P. } \ / +� < � w w +� \ EX. BLDG + / z U U 0-1 ~ ILL cD a_ + U w�wLW \ \ Z +a9 N.A.P. +� o +� +�° U LL] EX. BLDG \ III o } I� O EX. BLDG I I �� �a- ��n ,o,z, z W I� o \ I� Y - U r Q W IL > m P Q S Q W Q 0 0 60 90 120 ( IN FEET ) 1 INCH = 60 FEET C2.01 AREA LAND USE: AREA(ACRE) 1 A* APARTMENTS 2.6t 16* PARK & WALKWAY (OPEN SPACE) 1.3f 2 ACCESS, PARKING, UTILITIES, 8c LANDSCAPE 2.9t 3 PARKING STRUCTURE 1.4f A PUBLIC PARK 0.5 B REMAINDER PARKING LOT &OFFICES 3.5f C EXISTING EASEMENT FOR ACCESS 0.8t TOTAL 13.Of RECORDING REQUESTED BY AND WHEN P.ECORDED RETURN TO: O114elveny & 'Myers 611 West 6th Street Los Angeles, California 90017' Attention: Jerold L. biles ZO ' Cge Rcccrd.d���= Official R,:xr:: or -7.-,,. County Documznt No. DECLARATION OF COVENANTS, CONDITIOUS AND RESTRICTIONS OF KOLL CENTER NEWPORT PREAMBLE THIS DECLARATION, which is made as of the 18th day or .lune,' 1973 by KOLL CENTER NEWPORT, a California llmlted partnership (hereinafter 'Declarant"), supersedes and replaces that certain Declaration of Covenants, Can— diticns and Restrictions dated November 2, 1972, recorded Havember 6, 1972 in Book 10413, Page 594, in the Official Recorde of Orange County. Said Declaration dated November 2, 1972 is hereby declared revoked for all purposes, not only with respect to the property described herein but -also as to all other property described therein. .Declarant is the owner of certain real property (hereinafter the "Property") in the City or Newport Beach, County a&' Li a.Z.-e, J4a1.e oi California, described ac Lott 3, 4, 5, 6, 8, 9, 10, 12, 13 and 14 o4 Tract No. 7953, as shown on a Tract Map recorded in Book 310, Pages 7 through 11 of 1<isccllaneou3 :•taps',,Official Records or.OranEe County. Declarant is about %o sell, lease, or otherwise EXHIBIT B-1 convey the Property, or portions thereof or undivided interests therein, to various individuals, associations and corporations• for purposes compatible with a planned development in accordance with the Planned Community Development Standards (hereinafter the "Development. Standards") dated as of May 5, 1972, as amended on June 21, 1972 and subsequently adopted by the City of Newport Beach, California in Ordinance No. 1449 on August 14, 1972, as said Development Standards presently read, and as they may be modified or amended from time to time. A copy of the aforesaid Ordinance No. 1449 (without the. exhibits the is attached. hereto as Exhibit•A and is, by this reference, incorporated herein. It is the .intention of Declarant:to'sell, lease or otherwise convey or develop the Property 'subject to certain protective covenants, con- ditions and restrictions hereinafter set for which will also apply to all Improvements thereon and to all futute "Owners and Occupants thereof. Declarant intends that the design and development or the area subJect to this Declaration shall be consistent With the aims and ideals set forth herein.and in the Development Standards "and as set forth and shown on the above -referenced Tract Hap No. 7953 (as all of the aforesaid ,documents may be amended or modified from time to time). It is the purpose of this Declaration to provide a means for maintaining and controlling the improvement and develop- ment of the Property so that the desien and integrity of _ the project will be naintained. It is assumed that the" Owners and Occupants of portions of the Property will be 2. motivated to preserve these qualities through mutual coopera tion and by enforcing not only the leEter but the 'spirit• of this Declaration. ARTICLE I. GENERAL PROVISIONS 1.01. Establishment oC Restrictions. Declarant hereby covenants and declares that the Property, and every .part thereof or interest therein, is now held and shall hereafter be held, transferred, sold, leased, conveyed and occupied subject to the covenants,'+ conditions, restric— tions and easements herein set forth, each and all of which Is and ars for, and shall Inure to the benefit of and pass with -each and every portion of or interest in the Property and shall apply to every Owner and/or Occupant thereof, and their successors and assigns. These covenants, condi- tions, restrictions and easements shall run with the Property, - and every. part thereof or interest therein, and shill be binding on all persons cr_entities having or acquiring.any right, title or interest in the Property, or any part thereof, and shall benefit each Owner of the Property, or any part thereof or interest therein, and such covenants, conditions, restrictions and easements are hereby imposed upon'the Property and every part thereof' or interest therein as a servitude in favor or each and every portion thereof as the dominant tenement or tenements. 1.02. Purnoses or Restrictions. The purpo'e•of these covenants, conditions, restrictions and easements,:. 3 i among other things, is to insure proper development., use k and maintenance or the Property, to protect each Owner or any portion or the Property against improper development and use or other portions or the Property which will de- preciate the value of such Owner's portion, to prevent the erection on the Property of structures built or improper design or materials, to encourage the erection of attrac- tive Improvements at appropriate locations, to prevent haphazard and inharmonious Improvements, to secure and maintain proper setbacks from streets and adequate free spaces between structures, and in general to provide ade-' quately Tor a'high type and quality of development of the Property in accordance with the Development Standards, as the same may be modified or amended from time to time. ' 1.03_ Definitions. As used herein, the follow- ing terms shall have the following meanings unless the context otherwise requires: (a) "Allowable Building Area" shall mean, with respect to any particular Lot, the total number of gross square feet floor area of Professional and Business office Buildings which may be constructed y ors said Lot pursuant to the Development Standards. (b) "Building Site" shall mean that portion ' of a Development Area upon which a Prcfessionnl and/or ...;::.: Business Office BuildinC nay be built. . LP - 0N January 8, 2021 Submitted via email to: citycouncil(anewportbeachca.gov Mayor Brad Avery & Councilmembers City of Newport Beach 100 Civic Center Drive Newport Beach, CA 92660 RE: Proposed Residences at 4400 Von Karman Dear Mayor Avery and Councilmembers: Received After Agenda Printed January 12, 2021 Item No. 10 Olen Properties has been a leading commercial and residential developer with its headquarters in Newport Beach for over 40 years. As part of Olen's portfolio of properties in Newport Beach, Olen owns the property located at 4910 Birch Street in Koll Center Newport (KCN). The City of Newport Beach has noticed a Public Hearing on the "Residences at 4400 Von Karman" for Tuesday, January 12, 2021 at 4 PM. We are writing to request a delay, with direction to the Applicant for revisions for the reasons outlined below. Olen opposes this project in its current form as the project severely impairs the existing property rights and values of neighboring properties in numerous ways. As previously noted, the General Plan (GP) and Integrated Conceptual Development Plan (ICDP) require "cohesive and compatible integration of new residential with existing buildings." This project will dramatically affect millions of dollars of existing property rights, and, it will also set an important precedent for thousands of additional residential units which may be added to the Airport Area in coming years. Given that this Project is an entirely new development and not a repurposing of an existing commercial or residential site, it is urgently important that the City Council take the appropriate time to carefully review and revise the proposed Picerne project to ensure its compatibility with existing surrounding buildings. The following issues are not an exhaustive list, but are areas where certain Council Members have expressed interest in considering and potentially revising, thus they can be considered a starting point for constructive discussions: 1. Setbacks/Proximity to Existing Buildings. The proposed apartment buildings are extremely close to our 4910 Birch property — less than 17 feet from our property line in certain areas. This is clearly in conflict with GP and ICDP policies and the intent of "compatible and cohesive integration of new residential." A letter, coming under separate cover, will note the technical and policy issues. However, on a more "common sense" and "fairness" level, we encourage the Council to put yourselves in our Seven Corporate Plaza ♦ Newport Beach, CA 92660 (949) 644-OLEN ♦ Fax (949) 719-7210 www.olenproperties.com shoes and consider whether you would be okay with a 312 -unit apartment project being built that close to your property. Specific Request: We request that the Council significantly increase the distance between our property and the proposed project, which can be accomplished in several ways including relocating apartment units to the Von Karman Road side or reducing the number of units. 2. Number of Units/Density. Overall, we object to the increased number of units (up to 312 from 260) because this increase would exacerbate a number of project impacts, including the building massing impacts to our building, construction timeframes, and site congestion. If the Applicant is seeking to increase unit density, it should do so in a way that does not worsen the project's impact on adjacent existing businesses. Specific Request: We request that the Council reduce the amount of apartment units, which the Applicant seems willing to do from our discussions. 3. Parking Impairment. During Phase 2 of construction (which would be 2+ years), there would be a deficit of 265 parking stalls. As such, the Applicant's plan would not comply with parking allocations for each building required under the City code and guaranteed in the CC&Rs for this site. In addition, the proximity needs of all existing businesses are severely impacted, rendering Olen's 4910 building non-compliant with its required parking allocations to its tenants. Further, the Applicant's parking plan should not merely be based on Summer 2019 peak use data but should ensure full compliance with all parking requirements for the entire duration of construction. Specific Request: We request that the guaranteed and code -required number of spaces be maintained throughout construction. 4. Assigned Parking Spaces. It is essential that our tenants not be forced to endure an under parked office building, and also that the parking available to them is in close proximity to their offices. Our property is allotted approximately ±180 spaces. Specific Request: We request that Olen is assigned a dedicated allocation of parking spaces suitable to meet our occupancy needs. 5. Retail Component. The Airport Area is already deficient in retail, cafes, and restaurants. City policies are clear on the need for retail in projects such as this, yet during the entitlement process retail is regularly postponed or replaced in favor of more apartment density. The Uptown project is an example of that happening and now this project is attempting the same maneuver, thereby further exacerbating the lack of retail amenities in the Airport Area while adding residents. Specific Request: We request that this project include a reasonable retail element, such as a small caf6 or coffee shop, preferably with an outdoor seating component facing the park to promote integration with existing businesses. 6. Construction Management. Major problems with how this project would be constructed remain and they merit careful attention and revision by the Council. The construction schedule is optimistically forecast to be three years, and most construction projects well -exceed their scheduled completion dates. Regardless of the exact timeframe, this project would create immense noise, disruption, construction staging congestion, surface parking reduction, view degradation, dust/debris, and other significant Seven Corporate Plaza ♦ Newport Beach, CA 92660 (949) 644-OLEN ♦ Fax (949) 719-7210 www.olenproperties.com issues. Each of these issues would create substantial financial, quality of life, and property rights impacts to existing property owners. Specific Request. There are considerable problems with the proposed Construction Management Plan. Additional revision of the Construction Management Plan is needed to reduce the financial and operation impacts of the proposed construction to existing properties to prevent operational impairment. 7. Standalone Parking Structure. We share the concerns of the three immediately adjacent buildings that the standalone parking structure is excessively close to their buildings and is inadequately screened to mitigate its unsightliness. The owners of those existing buildings have invested millions of dollars in their properties and the City Council should be respectful of the proximity, screening, and location of the proposed standalone structure so that any new structure would compatibly integrate with their buildings. Specific Request. Require a revised location and appropriate screening of the proposed standalone parking structure. Given that many project documents have been incomplete or proposed changes remain unavailable to the public, we continue to evaluate the documents associated with this project as well as the Project's deficiencies related to the CC&Rs that govern the property rights and rules in Koll Center Newport. We respectfully request that the Council take a leadership role in proposing and coordinating solutions such that this project can be more compatibly integrated with existing surrounding buildings and protect the rights and values of the impacted KCN neighbors. Valuable time has been lost with an unresponsive Applicant who appears unwilling to resolve these serious issues. It is clear that thoughtful involvement, guidance, and proposed solutions are needed from the City Council at this time. We urge you to provide the necessary direction at the January 12th hearing to resolve these issues before a vote on the entitlement occurs. Thank you for consideration of this request. Sincerely, Julie A. Ault General Counsel JAULT90lenproperties. com Seven Corporate Plaza ♦ Newport Beach, CA 92660 (949) 644-OLEN ♦ Fax (949) 719-7210 www.olenproperties.com I Y ■ Received After Agenda Printed January 12, 2021 ' Agenda Item Nd 10 TT V931nihiliproe T T C1 ,r r New CA 92660 All dd , r 1+ W ' 1 � t# �+ I hi ianua�y 9. 202.1 L F �* y : � �. r NeWP91rt' 1�1� a A I C 1,ty coumil.`l ki I ■ I — 41 _ j 2 , City f Nw-�;t y + t ` •x d r 1 I I I + � ' ioo Civl+c C =ter Drive 9 Newp--ort-Beath, 92660 ' ` 0 k" - : � ll Sup - ort r -project ` known: s The e i e�� e qt 4400 Von Ka , � , ` ' ]lea' M aver'AVfrV arid" I1 be rs o f the Cityo unc- : ` .' . ,, , ' '' 1 � I Y r Yon'' Kkrffianriurs LLC- is' tic � mer o theu d •�o fe d o�� � '�- � A� �� } Newport. Bach, ' 'where ourcorporatep Offix-is lbcatd, L 1 W F �" r i i ' "th i lW Ill UP ft . the � t n wi! Residences, i . , r Ka� 17. Our, Office ifocat�d,y fe l . next- t • r -,Ld- r tit. W Y a r� 'a km til• thisr o • t T for r' al years. W b ii , a t this prof e ct i fitting a � the, C ity ,t ' t - ' the,'roject.ln, addifion to Providing g plea : 'rob t r ' i h John W i rt r L}•' .+ • Y , �i , th ro.' t ' I' also re vital ire koll. Center Newport with ' - to red parking -for, i r i o anew i'Mh' paths, and,d r that wig. b o erto i - � , r _ l o o art `' 'Idi . W'• i I the r j t ii iti r L I addition, 11 of , illy.. t -the K o 11. t s{' �e� ort,' b' a I I New p oil B e dch re s i dent . t r i r ti . that pro th' ro "e t+Thank-- ou for , r 4 your o idem iom,,` + F' ■ k+ • � z a .2 � ' 1 i ' - vely truly Yours - r r � , 1 r I ' Lawrence Tenebailm w Chief Executive .fir _ r r� , I r 1 r • , r tis . ' 1 � � A 1 t � , ► t r ■ + i i . 1 I r + i . 1 COMAC COMAC America Corporation Submitted via email to: citycounciloa newportbeachca.gov . January 4, 2021 Mayor Brad Avery & Councilmembers City of Newport Beach 100 Civic Center Drive Newport Beach, CA 92660 RE: Residences at 4400 Von Karman Dear Mayor Avery and Councilmembers: 4350 Von Karman Ave. Newport Beach. CA 92660 TEL: (+1) 949 255 2929 Received After Agenda Printed January 12, 2021 Item No. 10 We, COMAC America Corporation ("CAC''), own the property, and operate a business at 4350 Von Karman. We have been here seven years. The City of Newport Beach has noticed a Public Hearing on the "Residences at 4400 Von Karman" for Tuesday, January 12, 2021, at 4:00 PM. We are writing to request a delay for the reasons outlined below, At the November 5, 2020, Planning Commission Meeting, the applicant mistakenly stated that our property supports this project. For the record, this is untrue. We do not support this Project and cannot until our concerns are properly addressed. We met with the applicant for the first time on November 3, 2020, and advised the applicant that the property owner will need some time to review the project before providing any feedback. At no point in time did we indicate support for the project. The addition of residential units into a business park is a significant change. The City Council and Integrated Conceptual Development Plan promises integration and a cohesive neighborhood, which unfortunately is not fulfilled in the current development plan for the project. If the project is approved as is, we believe it will set a negative precedent for future projects within the Airport Area. Additionally, by advancing this project without consideration of the Covenants, Conditions and restrictions ("CC&Rs") on the property, the existing property owners will lose private property rights and face negative financial impacts. Based on our meeting with the applicant, it appears that they are of the view that the Council will approve this project with no questions asked. We, in turn, expect a thorough review of all relevant issues to ensure our private property rights are not encroached upon and that our concerns will be properly addressed. Given the significant number of documents associated with this project as well as those associated with the purchase of our property, we require additional time to review all of the documents, especially due to office closures for the holidays. For the above reasons, we respectfully request for the Council to delay the meeting, and vote, for this project for 60 days. `.:. O3®jM-IcM®"PRLif 4350 Von Karmen Ave. Newport Beach, CA 92660 COMAC COMAC America Corporation TEL: 1+11 949 255 2929 Thank you for your time and consideration. Respectfully, 0 ' 7 Zhi Li Corporate Secretary & HR Director COMAC America Corporation Received After Agenda Printed January 12, 2021 Item No. 10 EAGLES NEST INVESTMENTS 4340 Von Karman Avenue, Suite 100 Newport Beach, CA 92660 January 11, 2021 Submitted via email to: city council@newgortbeachca.p-ov Mayor Brad Avery & Council Members: City of Newport Beach 100 Civic Center Drive Newport Beach, CA 92660 Re: Residences at 4400 Von Karman Dear Mayor Avery and Council Members: Please consider this correspondence as our concerns on the proposed Residences at 4400 Von Karman. First and foremost, it is our understanding and belief that the developers failed to comply with the procedural requirements of CEQA and therefore the city council's consideration of this project is premature. Aside from the procedural defects in the matter scheduled before the City Council on Tuesday, January 12, 2021, particular aspects of the project are of concern to us as owners of 4340 Von Karman Ave., Suite 100, Newport Beach, CA. Since our office faces the location of the proposed parking structure we are concerned about several consequences of the structure being constructed at that location. Substantially all of our forward facing offices would have views that are obstructed by the structure, blocking the numerous sycamore trees that adorn the proposed site for the parking structure. In addition, the noise from increased traffic flow directly in front of our office would be disruptive to our business as we conduct numerous depositions and conference rooms located directly opposite of the proposed parking structure. From a safety perspective, we are further concerned about access to the property by law enforcement and fire fighting equipment. It would appear that placement of a parking structure at the proposed location would hinder access to several buildings on the development whereas a fire lane could easily be incorporated into the plan with the relocation of the parking structure adjacent to the existing parking structure adjacent to the 500 Birch building. In addition to these concerns, we would like to determine whether or not there been any studies regarding the increase in vandalism or criminal activities following conversion of a commercial development to mixed-use development to include residential properties. It seems as though the likelihood of break-ins, vandalism, and damage to the existing structures and grounds would increase once the residential properties have been occupied and children left unsupervised by their parents. Page 1 of 2 EAGLES NEST INVESTMENTS 4340 Von Karman Avenue, Suite 100 Newport Beach, CA 92660 It seems as though a prudent solution to the parking structure location would be to relocate that site so that it is adjacent to the existing parking structure located closest to 5000 Birch, and adjacent to the adjacent property that is being considered for further development as a residential community. We are requesting that the City Council delay its vote, and consideration, on the Residences at 4400 Von Karman until such time as an appropriate application has been submitted to the city council together with alternative sites for the proposed parking structure to replace the parking sites that will be lost as a result of the development. Along those lin Thank you for your anticipated consideration of these concerns as you contemplate a continuance of the vote on the residences at 4400 Von Karman. Sincerely, EAGLES NEST ESTMENTS } WILLIAM M. PAOLI COURT B. PURDYv Page 2 of 2 Received After Agenda Printed January 12, 2021 Mulvey, Jennifer Item No. 10 From: Rieff, Kim Sent: Tuesday, January 12, 20219:30 AM To: Mulvey, Jennifer Subject: FW: The Residences at 4400 Von Karman project From: Peter Zeughauser <zeughauser@CONSULTZG.COM> Sent: Tuesday, January 12, 20219:30 AM To: Dept - City Council <CityCouncil@newportbeachca.gov> Subject: The Residences at 4400 Von Karman project [EXTERNAL EMAIL] DO NOT CLICK links or attachments unless you recognize the sender and know the content is safe. Dear City Council members: I am a resident of Newport Beach, and I support the The Residences at 4400 Von Karman project. This development implements what the ICDP approved with a full EIR almost a decade ago. It is critical to implement approved plans like the ICDP to increase housing supply. The Residences project brings much-needed very -low-income homes to Newport Beach. As the Council is aware, SCAG has issued the draft RHNA, and the city must plan for approximately 4,834 new housing units in the 6th cycle, 30% of which must be very -low-income. The Council should approve this development without delay. Sincerely, Peter Zeughauser 98 Sidney Bay Drive Newport Coast CA 92657 Received After Agenda Printed January 12, 2021 Mulvey, Jennifer Item No. 10 From: City Clerk's Office Sent: Tuesday, January 12, 20213:06 PM To: Mulvey, Jennifer; Rieff, Kim Subject: FW: PA2020-061 Continuance Request to January 26, 2021 From: Eric Hoffman Sent: Tuesday, January 12, 2021 3:05:38 PM (UTC -08:00) Pacific Time (US & Canada) To: Jurjis, Seimone; Campbell, Jim; Ung, Rosalinh; Summerhill, Yolanda Cc: Ken Picerne; Greg Nakahira; Tim Stanley; Dan Matula; Jennifer. Hernandez@hklaw.com; Sean Matsler (smatsler@coxcastle.com); City Clerk's Office Subject: FW: PA2020-061 Continuance Request to January 26, 2021 [EXTERNAL EMAIL] DO NOT CLICK links or attachments unless you recognize the sender and know the content is safe. The Residences at 4400 Von Karman Project applicant, TPG (KCN) Acquisition, LLC (The Picerne Group), hereby respectfully requests that the City Council continue tonight's scheduled public hearing (Item 10) to January 26, 2021, in order to provide the City and the applicant adequate time to respond to the various late comment letters received late on January 11, 2021. Thank you for your consideration. ERIC HOFFMAN Senior Vice President, Acquisitions and Entitlement The Picerne Group 5000 Birch Street I Suite 600 1 Newport Beach, CA 92660 Phone: 949.267.1525 1 Mobile: 949.307.3430 1 ehoffman picerne rg oup.com ekienvironment & water 2355 Main Street, Suite 210 Irvine, CA 92614 (949)293-0999 ekiconsult.com 11 January 2021 Privileged and Confidential Attorney Work Product Mr. Geoffrey Willis, ESQ. The Law Offices of Geoffrey Willis 9891 Irvine Center Drive, Suite 200 Irvine, CA 92618 Subject: Review of Potential Soil and Groundwater Environmental Issues Related to Construction of the "Residences at 4400 Von Karman", Irvine, California (EKI C10014.00) Dear Mr. Willis: EKI Environment & Water, Inc. ("EKI") is pleased to submit this letter presenting some of the potential soil and groundwater environmental issues that may impact the construction of the "Residences at 4400 Von Karman" ("Proposed Development") located at 4400 Von Karman Avenue, Irvine, CA which are part of the Koll Center. EKI has been engaged by Mr. Geoff Willis to review publicly available information regarding the development and construction plan and known soil and groundwater contamination that is pertinent to the Proposed Development. Based upon review of Regional Water Quality Control Board ("RWQCB") files from the Geotracker website for the former Conexant site (also known as Jazz Semiconductor, located at 4311 Jamboree Road, Newport Beach, CA adjacent to the south of the Proposed Development), EKI has determined that historical contamination by volatile organic compounds ("VOCs") has migrated into the shallow and intermediate ground water zones which migrated to the north and west of the former Conexant site towards the Proposed Development. There have been numerous investigations on and off the former Conexant site. Figure 1 attached was prepared in 2007 and shows investigation activities on the top part of the timeline and remediation activities on the bottom part of the timeline. This figure is provided to indicate the significant soil and groundwater activities performed up until that time at and near the former Conexant site as well as the span of time for this work. Additional work continued on the site after 2007 and continues on and off the site to this day. Possible sources of contamination include a number of Underground Storage Tanks ("USTs") at the former Conexant facility as well as subsurface product lines to the manufacturing operations. Releases of contaminants into soils and the shallow groundwater zones occurred on the facility in and around and beneath the LISTS. Figure 3 attached highlights permeable shallow Burlingame, CA • Davis, CA • Marin, CA • Oakland, CA . Roseville, CA • Centennial, CO • Saratoga Springs, NY Mr. Geoff Willis environment Residences at 4400 Van Karman, Irvine, CA eki & water 11 January 2021 Page 2 of 3 sand units that are near surface and in the areas where the USTs were located at the of the former Conexant facility. Groundwater and contaminant migration through these more permeable units has migrated in the direction of the Parking garage and apartment buildings planned for the Proposed Development in the past. The elevated contamination levels penetrated the fine-grained aquitard between the two upper groundwater zones. Figure 4 attached was prepared in 2009 and shows Trichloroethylene ("TCE") levels from March of 1990, before remediation efforts were started on and off-site. Figure 5 attached shows the relative depth of the USTs and the shallow more permeable units near the Proposed Development property boundary. This illustrates that releases from the tanks likely migrated directly into the shallow groundwater aquifers. Figure 6 attached provides a map illustrating the recent (2017) shallow zone groundwater Total VOC data prepared by JHA Environmental, Inc. (JHA, 2018). These data indicate that there are VOCs in shallow groundwater adjacent to the Proposed Development. Figure 7 attached provides a map of recent (2019) shallow groundwater data for Total VOCs prepared by Geosyntec (Geosyntec, 2020). These data show that VOCs are present in groundwater beneath the Proposed Development. Overall, our review of the available information suggests that offsite migration of contaminants that were released from the USTs and the associated underground piping at the former Conexant manufacturing buildings occurred in the direction of the Proposed Development and continue to impact groundwater to the present time. The migration of VOCs, including TCE, from the former Conexant site to the proposed development poses two significant issue: 1) Since earthwork and footings will be required to build the first parking structure planned in this development, and its location is near the contaminant source area on the Jazz Semiconductor property, there is a potential that the RWQCB will require the preparation of a Soil Management Plan describing specific precautions, testing, and actions that would need to be undertaken if VOC soil or groundwater impacts are encountered during this construction. The apartments that are part of this construction plan will have subterranean parking and plan to excavate 20 feet below ground surface. Though this area is further away from the contaminant source, there is a potential that groundwater and soils in that area may also be impacted. There is also a potential that any dewatering activities that might be associated with the work would draw contaminated groundwater into the area. 2) The potential presence of VOCs in shallow groundwater beneath the Proposed Development creates a potential risk of indoor air contamination impacts to residents. Mr. Geoff Willis environment Residences at 4400 Van Karman, Irvine, CA eki & water 11 January 2021 Page 3 of 3 This risk should be evaluated and potential vapor control measures may be appropriate on buildings and facilities. Though levels of soil, soil vapor, and groundwater impacts at the specific structures to be built cannot be estimated at this time, it is likely that migration from the former Conexant site activities have impacted these subsurface areas, which will require regulatory oversight and potential remediation and mitigation. If you have any questions, please call either of the undersigned at 650-292-9100. Very truly yours, EKI ENVIRONMENT & WATER, INC. Earl James, P.G. Vice President Attachments: Steve Figgins Principal Figure 1— Timeline of Activities, Jacob & Hefner Associates, P.C. Figure 2- Cross Section Locations, Jacob & Hefner Associates, P.C. Figure 3- Cross Section A -A', Jacob & Hefner Associates, P.C. Figure 4- TCE in Shallow Groundwater concentrations Figure 5- Cross section A -A' Haley & Aldrich Figure 6—Total VOCs in Shallow Zone Groundwater — Aug 2017 Figure 7—Total VOCs in Intermediate Groundwater — July 2019 References Geosyntec, 2020 Workplan for Supplemental Groundwater Monitoring Well Installation JHA, 2018 2017 Annual Groundwater and Remediation Progress Report FFFigure 1 Removal of UST No_ 1 (waste solvent} Removal of UST No_ 2 (waste solvent) From: 1 INVESTIGATION ACTIVITIES Groundwater Assessment Begins Release discovered Near Building 503 Soil Vapor Extraction (SVE) Begins in Former Solvent USTArea Removal of UST No_ 3 (waste solvent) Removal of UST No. 4 (fuel) Removal of USTs No. 7 thru 10 (diesel) Lower Zone Assessment Begins & Completed Shallow Zone Assessment completed Intermediate Zone Assessment Completed Expansion of Shallow and Intermediate Zone Groundwater Extra ction & Treatment System Groundwater Extraction and Treatment System SVE completed in Farmer Solvent U ST Area Estimated 31,800 Pounds ofcontaminants Removed Zone Groundwater Extraction & Treatment Begins REMEDIATION ACTIVITIES Assessment Shallow Groundwater Extraction & Treatment Ends Bioremediation Pilot Study (Ethanol Injection) Intermediate Zone Groundwater Extraction & Treatment Ends. 5,000 Pounds of VOCs removed from Shallow and Intermediate Zones in Total. (waste solvent) from its concrete vault SVE 8 Dual Phase Extraction (DPE) Pilot Testing of Unsaturated Zone and Shallow Zone at Primary Zone of Residual Impact 1 Comprehensive Groundwater Summary Report; Conexant Systems, Inc.; 4311 Jamboree Road, Newport Beach, CA Jacob & Hefner Associates, P.C.; January 2008, P 25, Figure 5 L/ r� IS 1-1 ❑ R I-0 �H1 01-1 o L-1 M-29 B 30 ��yo / 01-9 M-43 L IT 1-90 T-5 ES -1 Lam❑ c s M-2� /> ❑ I-7 saw IT EI -1 Lr_■ ES -2 z p4r�0 a I-- s I•:I-c2 M-34 ER SI OF M-36 ES -3A M-2 T-6 IN 2 K49 .KQ1 � y KSKO-2 E1 BUILDING BMS 503 1 I-3 1 e M� ESB � -0A EI' ❑ ■ EES 47 a M-23 I� ES -5A ■ ES -6 ~5 M-27-0 M 24 6111LOIN' 5n1 SM -48 I� 01-1 c Approximate y Location of s> parking F structure to be built .r 9 KIB®-1 M�2 a r 1�m $-11 ISA 1�BM-38 a�sE o D MW wv.Er s u.oFCK tom MNu cPOUow.TER �c aru w wlr . d E M7 01� O E% P L A N A T 1 N S SHALLOW ZONE MON TOR WELL 0 SHALLOW 7AHE EXTRACTION WELL ¢'IOT IN OPERATION} p INTERMEDIATE ZONE MON -TOR WELL ■ INTERMEDIATE 7ANE EXTRACTION WELL (NOT IN OPERATION} Y INTERMEDIATE ZONE RECHARGE WELL o LOWER ZONE MON TOR WELL / DESTROYED WELL ® OPE TEST WELL / OBSER�'RTIOH WELL I ■ M-25 P� I-12 0 LY GRAPHIC SCALE 1"=200 D 100 200 40 J CRO&SSECTIOH LOCATION 0 2 Comprehensive Groundwater Summary Report; Conexant Systems, Inc.; 4311 Jamboree Road, Newport Beach, CA; Jacob &Hefner Associates, P.C.; January 2008, P 26, Figure 6A A Figure 3A' i i i iii a iii i u i i MR IFrFNn: ❑COARSE CTWNW SOiL — (SAND WITH VARIINC AMOUNTS OR cur, SILT, AND GRAVEL) FINE AWNED SOIL — (SILT AN CLAY WITH VARYING AMOUNTS OF SND) Neste HORIZONTAL SCALE 050 IDD VERTICAL SCALE = 5X HORIZONTAL SCALE g — SCREENED INIE— Cl WELL — WATER LEVEL IN WELL MEAWRE➢. MARCH 7007 3 Comprehensive Groundwater Summary Report; Conexant Systems, Inc.; 4311 Jamboree Road, Newport Beach, CA Jacob & Hefner Associates, P.C.; January 2008, P 27, Figure 6B C Figure 4 <' � I NIA2 0 ND I C I — 2,) 0 x 190 s M45 c .X2 .10-37 No 6ND \ / I fpV e �a.4`-020 6 � b1 -D3 0 s NI-25 NO Mtii0n -2o \ 1 21 82 R1B 2920q M-31 N15 N15 KU3 f' I � xD 62 ht33 16900! B J / f 0 (/ p M-23 / r w ES6 ND M27 � � c E k V L A N A T 1 0 N SHALLAw 2IXE MONITOR WEll sNauew zone e%TRACT1cfi N1ELL 300 TRIGViCRCEnMENE(I{yt) CONCENTRAMN IN SRALLOW ZONE GROUNDWATER 100— CCNTONR OF TRICHLOROETHYLENE CcncENTRAnON Rgt) ee.o�.cr�rcam TRIGHLGRO MLENE(4g )IN SHALLOW ZONE GROUNDWATER (MWCH 199D) Figure 11: TICE in Shallow Zone Groundwater — March 1990 (Before start of full scale groundwater extraction.) 4Comprehensive Groundwater Summary Report; Conexant Systems, Inc.; 4311 Jamboree Road, Newport Beach, CA; Jacob & Hefner Associates, P.C.; January 2008, P 37, Figure 11 YYAI Figure 5 L A AWNING NITROGEN PLANT DEPTH -YhMii j g_1 g $ Tj �y] �5" FJ�' x.13 1a `SD E5 'iso (G52 �. DEPTH [ice[j o a � BORING IDENTFER 0 FRT CLAY APPROXIMATE E7CCAVATION ® N reTara �+�. wEwraareEhcH,cuiFau CON SLAB SEALED INTERVAL NOTE: SEE FIGURE fi FOR CROSS SECTION LOCATIONS. _ 0 SILT W VERY DENSE SILTY RNESAND PAaq CH SOIL TYPE ® SILTY SAND k CROSS SECTI ON A -N Q' APPROXIMATE WATER LEVEL [2D37] k I SCREENED INTERVAL ® SAND, WELL SORTED S APPROXIMATE FORMER UST © SAND, POORLY SORTED iacu=. X .. — LOCATION 5 JULY ]ID] - Q4 OCR CL CL - 5 10 CH GL Note shallow depth of POSSE USTs near more SAW DRAIN LOCATION 15 _ 0., permeable sand units CI a 15 located near Koll property IGH boundary g MONITORING WELL (NOT SHOWN ON PLAN VIEW MAPS) SOIL BORING WITH � BORING IDENTFER 0 FRT CLAY APPROXIMATE E7CCAVATION ® N reTara �+�. wEwraareEhcH,cuiFau 0 LEAN CLAY SEALED INTERVAL NOTE: SEE FIGURE fi FOR CROSS SECTION LOCATIONS. _ 0 SILT W UTHOLOGIC CH SOIL TYPE ® SILTY SAND CROSS SECTI ON A -N Q' APPROXIMATE WATER LEVEL [2D37] I SCREENED INTERVAL ® SAND, WELL SORTED S APPROXIMATE FORMER UST © SAND, POORLY SORTED iacu=. �a aHdAN .. — LOCATION HOR6OHi�LSGYE M FEET JULY ]ID] 5 Comprehensive Soil Investigation Report; Conexant Systems, Inc.; Newport Beach, CA; Haley & Aldrich, Inc.; July 2007, P 90, Figure 7 FIGURE 7 E X P L A N A T I O IN Figure fiLL/ I � �y SHALLOW ZONE UONITOR WELL a s SHALLOW ZONE EXTRACTION WELL I T )NOT IN OPERATION) yyy Rpt 41�1 �pi DPE TEST WELL 0 * DESTROYED WELL a N O V SHALLOW ZON E E NHANCED INSFTU G x M 1513-S BIOREMEDIATION ATA NOT INCLUDEDIECTION WELL W W () I. C:M 9 04 ND HOT DETECTED ABOVE LABORATORY `til PR p METHOD DETECTION LIMB �] 0 P4 F ~� h ❑ M-30 23 TOTAL VOLRILE ORGANIC COMPOUNDS PN 4' NO ">ER`I�;ICROGRAM5 PER 13 - - W25 � G" � Z 9.46 --1 GOHSOUR OFEQUALTOTALVOC UND xddd M_39 (VOLATILE ORGANIC COMPOUND) Ca C KD EI 1 1 CONC (ENgTR1ATION IN MICROGRAMS PER UIERED WH �ZIJ DASH ERE INFERRED 57,42 1.000 5 LITS UNABLE TO SAMP LE30 V 0 �a4 *7 f 1 10,049 00 E f ^ a K aR�A4if \ 35 M-3399 / 111 3G E-r V O� B I 45 . C1 4.4 UNDER PO 0 4 S -�• 3M-24DRY CONSTRUCTION ¢d y iY.i gJaJdl 54 N z -- D�ti _= GRAPHIC SCALE 1"=200 -- n Baa zoo aaa BASE YAR DERIVED FRGLI HALEY k ALDRICH. 2007 ANNUAL SRODNDWATEIR MGtt=alG REPORT, JUNE 2097 6 2017 Annual Groundwater and Remediation Progress Report; Former Conexant Systems, Inc.; 4311 Jamboree Road, Newport Beach, CA; Jacob & Hefner Associates, P.C.; January 2018, P 21, Figure 7 Figure 7 14 \ { 3' d el•13 Y m fFORd6 r RI -11A 14 V 0 K5� BASE AVP )E3VS FR011 HAIET 4 N1T14H. iA4i A4ALN1 WNVHYMATFR ACNIf04H0 BFF`�IfT. AJM: XiOT Somme: JNA Envwunmental, Vnc. yO1NERJA22 RMER BULGING Sd3� E %. P L A M A T 1 M o N*(tMMATE 20A£ MUnTO HELL • NTERMEOIATEMWEh7RAC71011 V4U LNOT N OPERATION} 8 NTERNECIUTE 2QFE RE[NARC>f r\Eu LROr a OPERnnpR} EI$g ItNTE RMELWdEZOAE ENI -KNOW IN SITU EICRELEL1lATgN 1NJECTIONVVELL NOTMCNITCREO NO HOT OEroI Tm ASOYE LI owoRY LE7HM CE7EVWINLIII7 UTM URA13LE70MONIMR HM NOTNIONITCRED 44 TOTAL WLRIEORGANIC CCMPOIJM68 [VO097 IN MCRCCAAMS PER LITER(4U CCFTrOUi OF ECUAL VAC NCLA71LE CRGANIC CGAFGLIJG) CCIJCEHIRATIOM IN MCR�.f^ .RAIIS PER LIFER [04A_3 OA8FIE6 MEFHE NFERRE} JRN �A �t GRAPHIC SCRIF 1�s2On .D 10C 200 400 ' Work Plan for Supplemental Groundwater Monitoring Well Installation; Former Conexant Systems, Inc.; 4311 Jamboree Road, Newport Beach, CA; Geosyntec Consultants; March 2020, P 21, Figure 5