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HomeMy WebLinkAbout20170427_ZA_Staff Report COMMUNITY DEVELOPMENT DEPARTMENT PLANNING DIVISION 100 Civic Center Drive, P.O. Box 1768, Newport Beach, CA 92658-8915 949-644-3200 www.newportbeachca.gov CITY OF NEWPORT BEACH ZONING ADMINISTRATOR STAFF REPORT April 27, 2017 Agenda Item No. 4 SUBJECT: Newport Beach Country Club – Tennis Club Site Annual Development Agreement Review (PA2016-196) SITE LOCATION: 1602 East Coast Highway  Development Agreement No. DA2008-001 APPLICANT: Land Strategies, LLC OWNER: Golf Realty Fund – O Hill Properties PLANNER: Rosalinh Ung, Associate Planner (949) 644-3208, rung@newportbeachca.gov ZONING DISTRICT/GENERAL PLAN  Zone: PC-47 (Newport Beach Country Club)  General Plan: PR (Park & Recreation) PROJECT SUMMARY Annual review of Development Agreement No. DA2008-001 for the Newport Beach Country Club – Tennis Club Site pursuant to Section 15.45.080 of the Municipal Code and Section 65865.1 of the California Government Code. RECOMMENDATION 1) Conduct a public hearing; 2) Find the annual review is exempt from the California Environmental Quality Act (“CEQA”) pursuant to Section 15321, Class 21 (Enforcement Actions by Regulatory Agencies) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3; 3) Receive and file the Annual Report of the Development Agreement for Newport Beach Country Club – Tennis Club Site (Attachment No. ZA 2); and 1 Annual Review of DA2008-001 Zoning Administrator, April 27, 2017 Page 2 Tmplt: 01/12/17 4) Find that the applicant has demonstrated good faith compliance with the terms of Development Agreement No. DA2008-001. BACKGROUND On March 27, 2012, the City Council adopted Ordinance No. 20012-3, approving the Development Agreement (DA) for the redevelopment of an existing tennis facility. Construction includes 27 hotel units with a 2,170 square-foot concierge and guest meeting facility, 5 single-unit residential dwellings, a 3,725 square-foot tennis clubhouse and 7,490 square-foot spa/fitness center, retaining 6 exisitng tennis courts, and the construction of one lighted stadium, center tennis court. The City Council also adopted a Planned Community Development Plan for the site as part of the overall development of the Newport Beach Country Club that includes the adjacent Newport Beach Golf Course Site. The DA became effective on September 27, 2012. The term of the DA is ten years, or upon completion of the project in accordance with the terms and conditions of the DA, whichever comes first. The DA is available online at: http://www.newportbeachca.gov/developmentagreements The subject property is located in a coastal zone and the California Coastal Commission conducted a hearing and approved the project in 2013. A notice of intent to issue a coastal development permit was issued that has subsequently expired. Since the City’s Local Coastal Program was recently certified by the Coastal Commission, the applicant is now required to obtain a new coastal development permit (CDP) with the City. A CDP application has not been filed as of the drafting of this report. On January 26, 2017, the Zoning Administrator approved Tentative Parcel Map No. NP2016-013 dividing the project site for future financing and conveyance purposes. No development or improvements were proposed as a part of the tentative parcel map application. Building and grading plans for the construction of the single-family homes and tennis clubhouse, spa and stadium center court were submitted in December 2016. Permits have not been issued to date. The applicant is also finalizing the approved parcel map for signatures and recordation and the final map has also been submitted to the City for review. As noted, the subject property is located in coastal zone and no permits can be issued and the parcel map cannot be recorded without a coastal development permit. DISCUSSION Section 15.45.080 of the Municipal Code requires the City to periodically review development agreements to determine if the applicant has complied with terms of the agreement. The applicant is required to demonstrate good faith compliance with the terms of the agreement, and should the Zoning Administrator find that the applicant has 2 Annual Review of DA2008-001 Zoning Administrator, April 27, 2017 Page 3 Tmplt: 01/12/17 not remained in good faith with the terms of the agreement; the Zoning Administrator should refer the matter to the City Council. This DA review covers the Tennis Club Site from September 2012 to March 2017. In accordance with Section 3 (Public Benefits) of the DA, the applicant is required to pay the following public benefit fees at the issuance of permits:  Ninety-three thousand dollars ($93,000) per each residential dwelling unit; and  Ten dollars ($10) per square foot of new construction to the existing tennis clubhouse. Each of these fees is subject to the Consumer Price Index adjustments. There have been no physical development-related activities on the subject site since the approvals of land use entitlements including the DA and recent financing parcel map. To date, no fees have been paid. After reviewing the attached annual report and applicable documents, staff believes that the applicant has been proceeding and continues to be in good faith compliance with the terms and conditions of the Development Agreement. ENVIRONMENTAL REVIEW This annual review is exempt from the California Environmental Quality Act (“CEQA”) pursuant to Section 15321, Class 21 (Enforcement Actions by Regulatory Agencies) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential to have a significant effect on the environment. This section exempts actions by regulatory agencies to enforce or revoke a lease, permit, license, certificate, or other entitlement for use issued, adopted, or prescribed by the regulatory agency or enforcement of a law, general rule, standard, or objective, administered or adopted by the regulatory agency. PUBLIC NOTICE Notice of this review was published in the Daily Pilot, mailed to all owners of property within 300 feet of the boundaries of the site (excluding intervening rights-of-way and waterways), including the applicant, and posted on the subject property at least 10 days before the scheduled hearing, consistent with the provisions of the Municipal Code. Additionally, the item appeared on the agenda for this meeting, which was posted at City Hall and on the City website. 3 Annual Review of DA2008-001 Zoning Administrator, April 27, 2017 Page 4 Tmplt: 01/12/17 APPEAL PERIOD: An appeal or call for review may be filed with the Director of Community Development within 14 days following the date of action. For additional information on filing an appeal, contact the Planning Division at (949) 644-3200. Prepared by: JC/ru Attachments: ZA 1 Vicinity Map ZA 2 Annual Report 4 Attachment No. ZA 1 Vicinity Map 5 VICINITY MAP Development Agreement No. DA2008-001 PA2016-196 1602 East Coast Highway Subject Site 6 Attachment No. ZA 2 Annual Report 7 9241 Irvine Boulevard, Suite 100 – Irvine, California 92618 (949) 580-3000 F:\USERS\PLN\Shared\PA's\PAs - 2016\PA2016-196\LETTER 135 - Development Agreement Report 2016 edited 3.doc Page 1 of 2 LAND STRATEGIES, LLC Rosalinh Ung March 29, 2017 Associate Planner City of Newport Beach – Community Development 100 Civic Drive Newport Beach, CA 92660 via Hand Delivery Subject Annual Report for Development Agreement DA 2010-005 Newport Beach Country Club Tennis Club, Spa, Villas and Bungalows - Tract 15347 Dear Rosalinh, Pursuant to Section 7 of Development Agreement DA2010-005, an Annual Report is required for the Newport Beach Country Club Planned Community (PC) to provide an accurate record of the development that has been approved on the Tennis Club Site, which consists of The Villas Sub-Area, The Tennis Club Sub-Area and The Bungalows. This Annual Report documents Golf Realty Fund’s (GRF) compliance with the Development Agreement from March 2012 to March 2017. Entitlement Approvals On March 27, 2012, the City Council approved the redevelopment of Tennis Club Site which consisted of removal of some existing tennis facilities, construction of new site infrastructure, parking, clubhouse buildings, pool, tennis stadium court, residential villas and bungalows as depicted on Tentative Tract Map 15347. On August 28, 2012, a Coastal Development Permit No. 5-12-160 application was filed with the California Coastal Commission (CCC). It was approved on April 10, 2013 and a Notice of Intent (NOT) to issue the permit was published. On April 10, 2015 (2 years after the CCC approved project) the (NOT) expired. In October of 2015 the CCC issued a one-year time extension for the CDP for the proposed development. The Notice of Intent expired a second time on April 10, 2016. GRF requested a second extension of the CDP from the CCC. The CCC delayed processing this request because it was nearing the end of long process of approving a Local Coastal Plan (LCP) for the City of Newport Beach that would allow the City to issue CDPs within its LCP area. In 2017, the CCC approved the City of Newport Beach’s LCP and instructed GRF to redirect its request for an extension to the City. When that request was made, the City determined that it could not ‘extend’ the CDP because it was not the agency that issued it originally and they directed GRF to re-apply for the CDP from the City. GRF is currently working with the City for the re-approval of the CDP Notice of Intent and ultimately the issuance of the Coast Development Permit. GRF anticipates that the approval process will be expedited and result in substantially the same approval and conditions as the original CDP issued by the CCC. Development Agreement Obligations Section 3 of the Development Agreement for the NBCC required the payment of a Public Benefit Fee as follows: 8 9241 Irvine Boulevard, Suite 100 – Irvine, California 92618 (949) 580-3000 F:\USERS\PLN\Shared\PA's\PAs - 2016\PA2016-196\LETTER 135 - Development Agreement Report 2016 edited 3.doc Page 2 of 2 1. Ninety-three thousand dollars ($93,000) per each residential dwelling unit; 2. Ten dollars ($10) per square foot of new construction to the existing tennis clubhouse. Each of these fees is subject to the Consumer Price Index adjustments No Change to Project Since Entitlement There has been no significant change in the project planning or details since Tentative Map 15347 and the related support documents were approved. Subdivision Mapping A Final Tract Map for Tract 15347 has been submitted to the City and County for final review, approval and recordation. This will facilitate the subdivision and construction of the residential Villas each upon a separate legal lot. A Tentative Parcel Map 2016-151 for Finance and Conveyance was approved by the City on 1/26/2017. This Parcel Map allows parcels to be separately financed or sold but it does not create or change any development rights. A Final Parcel 2016-151 has been submitted concurrently to the City and County for final review, approval and recordation. Site Improvements Site Improvement Plans have been completed and are ready for submittal and review for the entire site infrastructure inclusive of Demolition, Grading, Erosion Control, Drainage, Water Quality, Water, Sewer, Street and Parking and the Precise Grading of the decorative hardscape and landscaping around the tennis club and spa. Building Plans and Permits Building plans are complete and are being submitted for the 5 villas (as separate permits) and for the buildings in the Tennis Club and Spa area. Construction It is anticipated that the construction of the initial temporary club facility, demolition, grading and infrastructure will be commenced by the end of July 2017. Please contact me at (949) 580-3000 x 701 with any questions or comments. Sincerely LAND STRATEGIES, LLC Roy Roberson, P.E. Managing Member 9