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HomeMy WebLinkAboutPA2022-0195_20230216_Resolution_ZA2023-006Community Development Department CITY OF NEWPORT BEACH 100 Civic Center Drive Newport Beach, California 92660 949 644-3200 newportbeachca.gov/communitydevelopment VIA EMAIL February 16, 2023 Tom Bitney & Wyatt Prichard 18565 Jamboree Road, Suite 200 Irvine, CA 92612 tbitney@shopoff.com wprichard@shopoff.com Subject: Condominium Conversion and Tentative Parcel Map (PA2022-0195) SCF - 4440 VKA, LLC4440 Von Karmen Avenue Dear Mr. Bitney and Mr. Prichard, It was a pleasure working with you on the above referenced application. Please be advised that the subject application was approved by the Zoning Administrator on February 16, 2023 and effective on February 27, 2023. A copy of the approved resolution with findings and conditions is attached. If you have any questions, please do not hesitate to contact me directly. Thank you and I look forward to working with you again in the future. Sincerely, RESOLUTION NO. ZA2023-006 A RESOLUTION OF THE ZONING ADMINISTRATOR OF THE CITY OF NEWPORT BEACH, CALIFORNIA, APPROVING A CONDOMINIUM CONVERSION IN CONJUNCTION WITH A TENTATIVE PARCEL MAP FOR NONRESIDENTIAL CONDOMINIUMS LOCATED AT 4440 VON KARMAN AVENUE (PA2022-0195) THE ZONING ADMINISTRATOR OF THE CITY OF NEWPORT BEACH HEREBY FINDS AS FOLLOWS: SECTION 1. STATEMENT OF FACTS. 1. An application was filed by Shopoff Realty Investments, representing SCF - 4440 VKA, LLC, with respect to property located at 4440 Von Karman Avenue, legally described as Lot 5 in Tract No. 8762 requesting approval of a condominium conversion and tentative parcel map. 2. The applicant requests a condominium conversion and a tentative parcel map for nonresidential condominium purposes. The purpose of the Tentative Parcel Map is to create separate ownership units that will allow the sale of commercial space within an existing three (3)-story office building. The application includes a request to waive the requirement that each unit within the building maintain separate water meters, and water and sewer connections. 3. The subject property is designated Mixed-Use Horizontal (MU-H2) by the General Plan Land Use Element and is located within the Office Site B of the Koll Center Planned Community (PC-15) Zoning District. 4. The subject property is not located within the coastal zone. 5. A public hearing was held on February 16, 2023, online via Zoom. A notice of the time, place, and purpose of the hearing was given in accordance with the Newport Beach Municipal Code (NBMC). Evidence, both written and oral, was presented to and considered by, the Zoning Administrator at this hearing. SECTION 2. CALIFORNIA ENVIRONMENTAL QUALITY ACT DETERMINATION. 1. This project is categorically exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15301 under class 1 (Existing Facilities) and Section 15315 under Class 15 (Minor Land Divisions) of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3 because it has no potential to have a significant effect on the environment. 2. The Class 1 exemption consists of the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of use. This Zoning Administrator Resolution No. ZA2023-006 Page 2 of 12 10-18-21 includes but is not limited to the subdivision of existing commercial buildings where no physical changes occur which are otherwise not exempt. The proposed project will convert an existing office building into nonresidential condominiums and will involve nonstructural renovations to the building’s second and third-floor common area hallways and restrooms, but no expansion of use. 3. The Class 15 exemption consists of the division of property in urbanized areas zoned for residential, commercial, or industrial use into four (4) or fewer parcels when the division is in conformance with the General Plan and zoning, no variances or exceptions are required, all services and access to the proposed parcels to local standards are available, the parcel was not involved in a division of a larger parcel within the previous 2 years, and the parcel does not have an average slope greater than 20 percent. The proposed project will convert an existing office building into nonresidential condominiums and will involve nonstructural renovations to the building’s second and third-floor common area hallways and restrooms, but no expansion of use. SECTION 3. REQUIRED FINDINGS. Condominium Conversion In accordance with Section 19.64.070 (Standards for Condominium Conversions) of the Newport Beach Municipal Code, the following findings and facts in support of such findings are set forth: Finding: A. The number of off-street parking spaces that were required at the time of original construction shall be provided on the same property to be converted to condominium purposes, and the design and location of such parking shall be in conformance with the provisions of Chapter 20.40 (Off-Street Parking). Facts in Support of Finding: 1. The subject property is one (1) of eleven (11) footprint lots that make up a contiguous office site within the Koll Center Planned Community. The adjoining parking areas are designated for all required parking serving the contiguous office site. 2. At the time of original construction in 1975, the subject building was required to provide 188 parking spaces (42,336 net square feet / 225 = 188) within the adjoining parking area. The original number required is provided in the adjoining parking area. 3. The PC-15 (Koll Center Planned Community) identifies a 260 dwelling unit limit for the housing overlay, for which the previously entitled Koll Center Residential project (PA2015-024) will develop these 260 condominium units. Future development housing projects would be required to replace or relocate any existing parking associated with 4440 Von Karman Avenue. Zoning Administrator Resolution No. ZA2023-006 Page 3 of 12 10-18-21 4. Based on a review of available records, the parking area appears to comply with all design standards with the provisions of Chapter 20.40. Access to the shared parking area is taken from Von Karman Avenue, Birch Street, MacArthur Boulevard, and Jamboree Road, and adequate and safe maneuvering aisles are provided within the parking area. Finding: B. Each dwelling unit within a building shall have a separate sewer connection to the City sewer. Facts in Support of Finding: 1. The applicant requests to waive the requirement that each unit within the building maintains a separate sewer connection to the City sewer. Section 19.64.080 (Modification or Waiver of Conversion Standards) allows the decision-making body to waive the requirement for separate connections if it finds that the waiver will not be materially detrimental to the tenants of the property or surrounding properties, nor to public health or safety. 2. The applicant estimates the Condominium Conversion will result in seventeen (17) separate ownership units. 3. A waiver eliminates the need to excavate the right-of-way to provide each unit with new utility connections. It also eliminates the need to reconfigure the existing plumbing and utility connections, which would involve significant alterations to the site. 4. Waiving the requirement for separate sewer connections will not be materially detrimental to the tenants, nor to public health or safety because the building has demonstrated that existing connections can adequately accommodate the tenants utilizing the site. 5. The Utilities Department reviewed the request and will allow the waiver provided the property owner ensures common sewer connection use will not be detrimental to the tenants of the property or surrounding properties. The property owner will be required to form an Association responsible for the payment of water and sewer fees. Finding: C. Each sewer lateral shall be retrofitted/fitted with a clean out at the property line. Fact in Support of Finding: 1. As conditioned, the existing sewer laterals shall be retrofitted/fitted with a clean out to comply with this requirement prior to the recordation of the Tentative Parcel Map. Zoning Administrator Resolution No. ZA2023-006 Page 4 of 12 10-18-21 Finding: D. Each dwelling unit shall maintain a separate water meter and water meter connection. Facts in Support of Finding: 1. The applicant requests to waive or modify the requirement that each unit within the building maintain separate water meter connections. Section 19.64.080 (Modification or Waiver of Conversion Standards) allows the decision-making body to waive the requirement for separate connections if it finds that the waiver will not be materially detrimental to the tenants of the property or surrounding properties, nor to public health or safety. 2. The applicant estimates the Condominium Conversion will result in seventeen (17) separate ownership units. 3. A waiver or modification eliminates the need to excavate the right-of-way to provide each unit with new utility connections. It also eliminates the need to reconfigure the existing plumbing and utility connections, which would involve significant alterations to the site. 4. Waiving or modifying the requirement for separate water connections is not anticipated not be materially detrimental to the tenants, nor to public health or safety because the building has demonstrated that existing connections can adequately accommodate the tenants utilizing the site. 5. The Utilities Department has reviewed the request and confirmed that the Irvine Ranch Water District (IRWD) provides water service. As conditioned, the applicant is required to obtain confirmation from the IRWD that the project complies with the IRWD’s standards. The property owner will be required to form an association responsible for the payment of water and sewer fees. Finding: E. The electrical service connection shall comply with the requirements of Chapter 15.32 of the NBMC. Fact in Support of Finding: 1. The electrical service connection for the existing office building complies with Chapter 15.32 (Underground Utilities) because all electrical service to the building is installed underground. Finding: F. The applicant for a condominium conversion shall request a special inspection from the Building Division for the purpose of identifying any building safety violations. The applicant Zoning Administrator Resolution No. ZA2023-006 Page 5 of 12 10-18-21 shall correct all identified safety violations prior to the approval of a final map for the condominium conversion. Fact in Support of Finding: 1. A condominium conversion special inspection report was conducted to identify building safety violations on November 15, 2022. The inspection identified minor safety violations associated with existing handrail and guardrail safety that complied with the Building Code at the time of original construction; however, these features no longer comply with current Building Code requirements. Any minor safety violations identified in the condominium conversion inspection report will be required to be brought into conformance with current Building Codes. Finding: G. Permanent lot stakes and tags shall be installed at all lot corners by a licensed surveyor or civil engineer unless otherwise required by the City Engineer. Fact in Support of Finding: 1. As conditioned, the project will comply with stake corners of the site prior to the recordation of the Tentative Parcel Map. Finding: H. For residential conversions, the project shall be consistent with the adopted goals and policies of the General Plan, particularly regarding the balance and dispersion of housing types within the City. Fact in Support of Finding: 1. The project is not a residential conversion. Finding: I. The establishment, maintenance, or operation of the use or building applied for shall not, under the circumstances of the case, be detrimental to the health, safety, peace, comfort, and general welfare of the person residing or working in the neighborhood of such proposed use or be detrimental or injurious to property and improvements in the neighborhood or the general welfare of the City. Facts in Support of Finding: 1. The application of project conditions will ensure the health, safety, peace, comfort, and general welfare of persons residing or working in the neighborhood and the City. Zoning Administrator Resolution No. ZA2023-006 Page 6 of 12 10-18-21 2. The proposed conversion of an existing office building to condominiums occurs on a property within the MU-H2 Zoning District that allows for commercial office uses. 3. Minor safety violations identified during the special inspection will be required to be brought into conformance with current Building Codes if any additions or alterations are proposed for the existing building in the future which will ensure the building does not create a detriment to persons working at or around the subject property. Tentative Parcel Map The Zoning Administrator determined in this case that the Tentative Parcel Map is consistent with the legislative intent of Title 20 of the Newport Beach Municipal Code and is approved based on the following findings per Section 19.12.070 (Required Findings for Action on Tentative Maps) of Title 19: Finding: J. That the proposed map and the design or improvements of the subdivision are consistent with the General Plan and any applicable specific plan, and with applicable provisions of the Subdivision Map Act and this Subdivision Code. Facts in Support of Finding: 1. The Tentative Parcel Map is for nonresidential condominium purposes. The proposed subdivision of an existing commercial office building is consistent with provisions of the Subdivision Map Act and the MU-H2 (Mixed-Use Horizontal) General Plan land use designation, which provides for a horizontal intermixing of uses that may include commercial office uses. 2. The existing building occupied by professional office uses is consistent with the MU- H2 designation, and a tentative parcel map for condominiums does not change the use. 3. The project is not located within a specific plan area. Finding: K. That the site is physically suitable for the type and density of development. Facts in Support of Finding: 1. The site is developed with a three (3)-story building consisting of office uses. Several other office buildings are located nearby. 2. The lot is physically suitable for commercial office density and development as the site is relatively flat and has demonstrated since its original construction that it can adequately accommodate office use. Zoning Administrator Resolution No. ZA2023-006 Page 7 of 12 10-18-21 3. The subject property is accessible from Von Karman Avenue, Birch Street, MacArthur Boulevard, and Jamboree Road, and is adequately served by existing utilities. Finding: L. That the design of the subdivision or the proposed improvements are not likely to cause substantial environmental damage nor substantially and avoidably injure fish or wildlife or their habitat. However, notwithstanding the foregoing, the decision-making body may nevertheless approve such a subdivision if an environmental impact report was prepared for the project and a finding was made pursuant to Section 21081 of the California Environmental Quality Act that specific economic, social, or other considerations make infeasible the mitigation measures or project alternatives identified in the environmental impact report. Facts in Support of Finding: 1. The site was developed as a footprint lot in 1975 with a three (3)-story office building. The design of the subdivision remains generally the same today. 2. The property is in an urbanized area that does not contain any sensitive vegetation or habitat. 3. This project is categorically exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15301 under Class 1 (Existing Facilities) and 15315 under Class 15 (Minor Land Divisions) of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3 because it has no potential to have a significant effect on the environment. Finding: M. That the design of the subdivision or the type of improvements is not likely to cause serious public health problems. Facts in Support of Finding: 1. The Tentative Parcel Map is for nonresidential condominium purposes. With the exception of nonstructural renovations to the second and third-floor common area hallways and restrooms will not create any serious public health concerns. 2. Any future improvements proposed will comply with all Building, Public Works, and Fire Codes, which are in place to prevent serious public health problems. Any public improvements required of the developer per Section 19.28.010 (General Improvement Requirements) of the Municipal Code and Section 66411 (Local agencies to regulate and control design of subdivisions) of the Subdivision Map Act shall comply with all ordinances of the City and all Conditions of Approval. Zoning Administrator Resolution No. ZA2023-006 Page 8 of 12 10-18-21 Finding: N. That the design of the subdivision or the type of improvements will not conflict with easements, acquired by the public at large, for access through or use of property within the proposed subdivision. In this connection, the decision-making body may approve a map if it finds that alternate easements, for access or use, will be provided and that these easements will be substantially equivalent to ones previously acquired by the public. This finding shall apply only to easements of record or to easements established by the judgment of a court of competent jurisdiction and no authority is hereby granted to the City Council to determine that the public at large has acquired easements for access through or use of property within a subdivision. Fact in Support of Finding: 1. The Tentative Parcel Map for the subdivision of the existing office building will not conflict with a 12-foot bicycle/pedestrian easement located at the westerly side of the property or any other easements that exist nearby. Finding: O. That, subject to the detailed provisions of Section 66474.4 of the Subdivision Map Act, if the land is subject to a contract entered into pursuant to the California Land Conservation Act of 1965 (Williamson Act), the resulting parcels following a subdivision of the land would not be too small to sustain their agricultural use or the subdivision will result in residential development incidental to the commercial agricultural use of the land. Facts in Support of Finding: 1. The property is not subject to the Williamson Act because the subject property is not designated as an agricultural preserve. 2. The site, developed for office use, lies in a sub-area B of PC-15 (Koll Center Planned Community) that permits office uses. Finding: P. That, in the case of a “land project” as defined in Section 11000.5 of the California Business and Professions Code: (1) There is an adopted specific plan for the area to be included within the land project, and (2) the decision-making body finds that the proposed land project is consistent with the specific plan for the area. Facts in Support of Finding: 1. The property is not a “land project” as defined in Section 11000.5 of the California Business and Professions Code. 2. The project is not located within a specific plan area. Zoning Administrator Resolution No. ZA2023-006 Page 9 of 12 10-18-21 Finding: Q. That solar access and passive heating and cooling design requirements have been satisfied in accordance with Sections 66473.1 and 66475.3 of the Subdivision Map Act. Fact in Support of Finding: 1. Any future improvements are subject to Title 24 of the California Building Code which requires new construction to meet minimum heating and cooling efficiency standards depending on location and climate. The Newport Beach Building Division enforces Title 24 compliance through the plan check and inspection process. Finding: R. That the subdivision is consistent with Section 66412.3 of the Subdivision Map Act and Section 65584 of the California Government Code regarding the City’s share of the regional housing need and that it balances the housing needs of the region against the public service needs of the City’s residents and available fiscal and environmental resources. Fact in Support of Finding: 1. The 0.74-acre site is listed as a housing opportunity site (Site 50) in the adopted 2021-2029 Housing Element. Within the Airport Area, the Housing Element includes a total of 172 acres of opportunity sites but assumed only 30 percent or 51.6 acres would redevelopment during the planning period. The redevelopment percentage equates to 2,577 residential units planned for the area. The subject condominium conversion and associated tentative parcel map for nonresidential purposes remains consistent with the assumption of the Housing Element that not all opportunity sites are needed to meet the city housing needs. Finding: S. That the discharge of waste from the proposed subdivision into the existing sewer system will not result in a violation of existing requirements prescribed by the Regional Water Quality Control Board. Fact in Support of Finding: 1. As conditioned, wastewater discharge into the existing sewer system shall comply with the Regional Water Quality Control Board (RWQCB) requirements. Zoning Administrator Resolution No. ZA2023-006 Page 10 of 12 10-18-21 Finding: T. For subdivisions lying partly or wholly within the Coastal Zone, the subdivision conforms with the certified Local Coastal Program and, where applicable, with public access and recreation policies of Chapter Three of the Coastal Act. Fact in Support of Finding: 1. The project is not located within the Coastal Zone. SECTION 4. DECISION. NOW, THEREFORE, BE IT RESOLVED: 1. The Zoning Administrator of the City of Newport Beach hereby finds this project is categorically exempt from the California Environmental Quality Act to pursuant to Section 15301 under class 1 (Existing Facilities) and Section 15315 under Class 15 (Minor Land Divisions) of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3 because it has no potential to have a significant effect on the environment. 2. The Zoning Administrator of the City of Newport Beach hereby approves PA2022-0195, subject to the conditions set forth in Exhibit “A,” which is attached hereto and incorporated by reference. 3. This action shall become final and effective 10 days after the adoption of this Resolution unless within such time an appeal or call for review is filed with the Director of Community Development in accordance with the provisions of Title 19 Subdivisions, of the Newport Beach Municipal Code. PASSED, APPROVED, AND ADOPTED THIS 16th DAY OF FEBRUARY 2023. Zoning Administrator Resolution No. ZA2023-006 Page 11 of 12 10-18-21 EXHIBIT “A” CONDITIONS OF APPROVAL Planning Division 1. The project is subject to all applicable City ordinances, policies, and standards unless specifically waived or modified by the conditions of approval. 2. The Condominium Conversion and Tentative Parcel Map shall expire if the Map has not been recorded within 24 months of the date of approval unless an extension is granted by the Community Development Director in accordance with the provisions of Section 19.16 (Tentative Map Expiration and Extension) of the Newport Beach Municipal Code. 3. To the fullest extent permitted by law, the applicant shall indemnify, defend and hold harmless the City, its City Council, its boards and commissions, officials, officers, employees, and agents from and against any claims, demands, obligations, damages, actions, causes of action, suits, losses, judgments, fines, penalties, liabilities, costs, and expenses (including without limitation, attorney’s fees, disbursements and court costs) of every kind and nature whatsoever which may arise from or in any manner relate (directly or indirectly) to City’s approval of the SCF - 4440 VKA, LLC, including, but not limited to, Condominium Conversion and Tentative Parcel Map (PA2022-0195). This indemnification shall include, but not be limited to, damages awarded against the City, if any, costs of suit, attorney’s fees, and other expenses incurred in connection with such claim, action, causes of action, suit, or proceeding whether incurred by the applicant, City, and/or the parties initiating or bringing such proceeding. The applicant shall indemnify the City for all the City's costs, attorneys' fees, and damages that which City incurs in enforcing the indemnification provisions set forth in this condition. The applicant shall pay to the City upon demand any amount owed to the City pursuant to the indemnification requirements prescribed in this condition. Public Works Department 4. The Parcel Map shall be recorded. The Parcel Map shall be prepared on the California coordinate system (NAD88). Prior to the recordation of the Map, the surveyor/engineer preparing the Map shall submit to the County Surveyor and the City of Newport Beach a digital-graphic file of the said map in a manner described in Section 7-9-330 and 7-9- 337 of the Orange County Subdivision Code and Orange County Subdivision Manual, Subarticle 18. The Parcel Map to be submitted to the City of Newport Beach shall comply with the City’s CADD Standards. Scanned images will not be accepted. 5. Prior to the recordation of the Parcel Map, the surveyor/engineer preparing the Map shall tie the boundary of the Map into the Horizontal Control System established by the County Surveyor in a manner described in Section s 7-9-330 and 7-9-337 of the Orange County Subdivision Code and Orange County Subdivision Manual, Subarticle 18. Monuments (one [1]-inch iron pipe with tag) shall be set on each lot corner unless Zoning Administrator Resolution No. ZA2023-006 Page 12 of 12 10-18-21 otherwise approved by the Subdivision Engineer. Monuments shall be protected in place if installed prior to completion of the construction project. 6. Each existing sewer lateral shall be retrofitted/fitted with a clean-out at the property line. 7. Prior to the recordation of the Parcel Map, an Association shall be established, responsible for the payment of water and sewer fees. Any delay in payments and any issues with the existing master meters will directly affect all units because they do not have their services. Any clogs and back-ups of the shared sewer lateral lines will directly affect all units served by that line. 8. All on-site drainage shall comply with the latest City Water Quality requirements. Building Division 9. Prior to the recordation of the Parcel Map, the Applicant shall correct all minor safety violations identified in the Condominium Conversion Inspection Report. Utilities Department 10. Prior to submitting the tentative parcel map for Public Works Department review, the applicant shall provide evidence that the Irvine Ranch Water District (IRWD) has reviewed the condominium conversion and has confirmed it complies with IRWD water standards.