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CITY OF NEWPORT BEACH
Planning Commission Minutes
July 20, 2000
Regular Meeting - 7:00 p.m.
ROLL CALL
Commissioners McDaniel, Kiser, Agajanian, Selich, Gifford, Kranzley and Tucker:
All Present
STAFF PRESENT:
Patricia L. Temple, Planning Director
Dan Ohl, Deputy City Attorney
Rich Edmonston, Transportation /Development Services Manager
James Campbell, Senior Planner
Leticia Matlock, Department Assistant
Ginger Varin, Planning Commission Executive Secretary
Minutes of July 6.2000 :
Motion was made by Commissioner KranzJey and voted on to approve, as
amended, the minutes of July 6, 2000.
Ayes: McDaniel, Agajanian, Selich, Gifford, Kranzley and Tucker
Noes: None
Abstain: Kiser
Absent: None
Election of Officers:
Motion was made by Commissioner Gifford to nominate Ed Selich as
Chairperson, Larry Tucker as Vice Chairman and Steve Kiser as Secretary. It
was voted on and approved.
Ayes: McDaniel, Agajanian, Selich, Gifford, Kranzley and Tucker
Noes: None
Abstain: Kiser
Absent: None
Public Comments:
None
Posting of the Agenda:
Minutes
Approved
Public Comments
The Planning Commission Agenda was posted on Friday, June 30, 2000. Posting of the
• Agenda
. City of Newport Beach
Planning Commission Minutes
July 20, 2000
SUBJECT: Balboa Inn expansion,
105 Main Street
• Use Permit No. 3661
• Acceptance of a Negative Declaration
A request for a Use Permit to construct a two and three -story building for 11 new
guest rooms for the Balboa Inn, 2060 sq. ft. of retail space and a partially open
parking garage with 20 tandem parking spaces. The use permit application also
includes consideration of an exception to the maximum allowable floor area
and basic allowable building height.
Senior Planner James Campbell noted:
• Additional elevation drawings are available from the architect as requested
at the previous meeting.
• Additional alternative schemes for the parcel that would be less dense and
meet the zoning requirements have been included in the staff report.
• Status of the bridge over Oceanfront is also noted in the staff report. An
encroachment permit has been discovered along with notes on the old
building plans on microfilm that may give more information on the bridge.
• Parking status and a history of the inn are also included in the staff report.
• Expansion of a non- conforming use is discussed in the staff report.
• • He then presented a variety of photographs of the surrounding area, the use
designations and elevations, views and setbacks of the proposed project.
Also included were landscape features and views from the bridge, pavilion
and third floor balcony of a condominium.
• He then noted an additional condition of approval that relates to the beach
rental business. As there has been an enforcement situation with bikes in the
public property and complaints about the quadracycles the condition
reads, 'In the event that a beach rental or bicycle establishment operates
from the project site, there shall be no parking or storage of rental bicycles or
other items for rent within the abutting public property. Storage or parking of
any items for rent shall be conducted in such a way as to not impede
pedestrian or vehicular traffic in the immediate vicinity. The rental sale or
storage of quadracycles from this site shall be prohibited due to concerns of
the Newport Beach Police Department regarding public safety.' This would
be condition 8.
Commissioner Kiser noted that there was a valet parking plan condition that was
to have been added as condition 8 recommended at the last meeting.
Chairperson Selich asked about the height of the east elevation on page 4 of the
drawing. He was answered that it is close to 40 feet high, but it is not noted on
the drawing.
Commissioner Kiser asked about the requirements for public safety noted in the
findings for denial. He was answered that the existing development would not
• be in violation, but the way the project is designed the bridge is an integral point
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Item No. 1
UP No. 3661
Negative Declaration
Denied without
prejudice
• City of Newport Beach
Planning Commission Minutes
July 20, 2000
for fire safety and access. This project requires a crutch with the existing building
providing access, so it lends permanence to the bridge. If the bridge was to be
damaged and the applicant chose not to reconstruct it, we would have a
situation where the necessary access would not be provided to the proposed
project. They would need to put an elevator in the proposed building. Buildings
are normally constructed so that they stand - alone. However, this finding notes
that the building does not stand alone and potentially if the bridge was
damaged or demolished, it would create an access problem. The access is
necessary because the buildings are two -story and require two means of
egress /ingress. There is an existing stairway as well.
Commissioner Kiser then asked about the floor area ratios noted in the two staff
reports. The present staff report on page 8, under the expansion of a
nonconforming structure, states the gross floor area of the existing inn and retail
uses is approximately 23,300 square feet. The site is 12,825 square feet. Is this only
the project site and not the existing hotel on the other side of the oceanfront
walk?
Mr. Campbell answered that area does not include the oceanfront property. I
am providing information as to the non - conformity of the existing inn.
Is Commissioner Kiser than asked about the FAR in the June 22nd report on page 2.
The site is 7,425 square feet in area; does this refer just to the site for the existing
hotel?
Mr. Campbell answered that this discussion relates to the oceanside property,
which is 55 x 135 square feet and does not include the existing inn. The ocean
front walk is not included as it is in the public right -of -way.
Commissioner Tucker then noted that the public right of way between the two
parcels, that are two separate, legal parcels, are the original inn parcel and the
expansion parcel. The application relies for secondary fire and ADA access on a
bridge that spans the public right -of -way. The elevator facility is in the main
building that allows people access up to the second level so they can go across
to the new parcel. Since they are separate legal parcels, there would be
nothing to prohibit the owner of the inn from conveying the original inn separate
from the other parcel. How are we secure that the parcel on the ocean side is
always going to have that access? Are we handling it by way of a use permit
that stipulates the access in order for the use of the second and third floors? Or,
are we contemplating having the applicant come back and having some type
of recorded declaration where the City is a beneficiary that requires the elevator
access in the main inn to effectively have an easement? This easement would
then encumber the original inn so that handicap access is there.
Mr. Campbell stated that the building and safety would handle this when they
issue the permit at the time they review the plans. A property that relies upon the
• use of another property for some code requirement, building and safety looks for
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easements or declarations to be recorded on the property.
Commissioner Tucker noted that we should add something like this so that there is
another checkpoint.
Ms. Temple stated that we could structure some type of restrictive covenant that
would be recorded against both properties, which would require the appropriate
changes to the oceanward parcel should the properties bifurcate. This is more
appropriate because it would then be considered an encumbrance on the
properties. An easement in the public right -of -way in this case is not the correct
vehicle. The covenant would be superior to any loan on the properties.
Commissioner Gifford commented that the applicant, having located an
encroachment permit for the bridge issued by the city, realized that the permit
could require the removal of the bridge at any time within 90 days. The
applicant knows that the use permit, under which the inn is now operating, has a
condition in it that restricts the use of the oceanside parcel to a pavilion and the
uses authorized at that time. I was there looking at the site today and the
applicant sees the necessity for these parcels being linked and understands that
it may be appropriate to have a use permit on the other property.
Commissioner Kiser noted that the staff report discloses that the property is
presently behind in payment of their TOT taxes. He asked if there is anything that
would prevent the Commission from acting on this proposal in light of the fact
that the applicant is in arrears. He asked the dollar amount and was told that it is
approximately $55,000.
Ms. Temple answered that there is not a direct connection between the
approval of a use permit and financial obligations. However, this particular
permit could be conditioned such that it could not become effective perhaps
until such payments are made. The City is currently in active negotiations with
the properly owner to arrange q payment plan regarding the outstanding
obligations. There are regular collection means to get the payments at any point
with or without this approval.
Chairperson Selich asked staff to summarize exceptions to the zone code for the
floor area and the building height that the applicant is asking for and the
mechanism used for deliberation by the Planning Commission.
Mr. Campbell answered that this is a use permit to allow the development to
exceed the basic allowable limit. The basic limit in Central Balboa for this type of
commercial land use is .5 FAR; the maximum allowable is 1.0. You can only get a
floor area ratio greater than .5 through the application of a Use Permit. To
exceed 1.0 floor area ration would take a Variance. The Variance would require
special circumstances related to the property, i.e., size, shape, topography,
location, or some other physical constraint that precludes development of the
• property consistent with similar properties in the identical zoning. In this particular
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• City of Newport Beach
Planning Commission Minutes
July 20, 2000
case, we could not make those findings for this development. The findings for the
use permit are more subjective and relate to making the finding such that the
increased floor area and increased building height do not create an abrupt
change in scale. It must be compatible with the area; these are the types of
findings that are made. The basic allowable limit for the building height is 26 feet;
the maximum allowable is 35 feet, so you can go to 35 feet with a Use Permit. To
exceed the 35 feet you would need a Variance with the specific types of
findings. In this application, there are no variances requested, just the use permit.
Chairperson Selich stated that we are not being asked to approve anything that
exceeds the existing zoning, but in this situation on those two factors, the zoning
code provides for a range. Within that range, the Commission makes the
determination as to what the appropriate height and floor area would be.
Mr. Campbell noted that the basic allowable limits could be built to by right. If
those are exceeded within that range, it requires the Planning Commission
review.
Ms. Temple added that the code requires certain findings that must be made by
the Commission in both these issues. These are qualitative standards that the
project must be found to meet before the Planning Commission can approve
them. The City has the discretion to impose additional requirements, design or
other types of benefits to the City that would accrue in return for approval of
such use permit.
Public comment was opened.
Ron Baers, representing the Balboa Inn noted the following referencing colored
exhibits. He stated that there is a landscape overlay that shows a possible
solution to Commission concern of screening around the parking lot.
• Project is at a key intersection at Oceanfront and Main across from the
Peninsula Park.
• He clarified the enclosure around the ground level parking on the exhibit.
• Proposed to have a six -foot high masonry and decorative metal fencing
that would enclose the entire parking area. Flowering vine planting is
proposed along the decorative fencing to fully screen parking from view.
• Proposed garden court with a water feature.
• North and west elevations were prepared and exhibited. Landscaping
shows that the views along oceanfront walk would be enhanced by this
treatment of fifteen -foot wide planters, water feature and ground floor
retail.
• The bridge is to be modified by adding decorative railings to tie into the
rest of the building features.
• Building height average for the two parcels is approximately 22 square
feet. We have done what we could to reduce the mass and height
through this type of articulation.
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July 20, 2000
Commissioner Kranzley noted for the record that he met with the applicant this
afternoon to review the new plans and look at the property. The issue I brought
up at the last meeting was the openness of the parking from the boardwalk.
Though I think the applicant has attempted to address those issues, they are still
not adequately addressed. I have concerns about the maintenance of the
landscaping. One experience would be as one walks by the building towards
the ocean you would see the wrought iron and views of cars. The other issue is at
night; cars would actually enter from the opposite end of the building with their
lights on that would shine over the boardwalk. We hope that enough
landscaping would block all of this, but I doubt whether it would be that
effective. We are talking about an approximate 48 -foot stretch of building wall
that could have arched niches in that would create a feature that would make
the building more interesting. It would not be one flat wall that would go the
entire length, you could add plants, recessed lights and make the wall a very
nice feature of the building while completely block from the boardwalk the lights
and views of the cars.
Mr. Boers stated that this parcel is unique as it is surrounded by very large planting
areas around the perimeter that are going to be conditioned to be designed in
accordance with the plans of the Balboa Village. We will not be selecting the
plant materials; that will be done as part of the overall landscape design. The
landscaped look is very critical. Alternative screening measures could be made
for that 48 foot wall length along oceanfront walk. Referencing the exhibit, he
pointed out the area of concern.
Commissioner Kranzley added that how the parking area is to be lit at night is
also a concern.
Commissioner Agaianian asked how long the owner has had the property and
the performance of the hotel. He was answered that the current owners
assumed complete control of the partnership three years ago. Prior to that time,
they were minority partners.
Mr. Ray Pourmussa, 818 North Doheny Drive explained that the need for the
additional rooms has been going up over the past several years. The property
has been rehabilitated and the economy has been much better. During the
season, bookings are 75% to 85% on the average and the season is getting
longer. In the wintertime, our bookings are less than 607o, but on the weekends
we are sold out. The demand is going up, as is the average room rate, which
means the revenues are going up. If we have these new rooms we can rent
them for more money at a good occupancy rate. The existing inn can do well
on its own and would not depend on this proposed expansion. We have
rehabilitated the structure for the past three years ago with new paint, metal and
wood repairs, new carpeting and furniture as well as computer systems. The
restaurant has been completely remodeled.
0 Public comment was opened.
•II�ID7�:1
. City of Newport Beach
Planning Commission Minutes
July 20, 2000
Bill Malcomb, 2136 Miramar stated his support for the proposed project. At a
recent meeting of the Peninsula Point Board meeting, the participants approved
the presentation made by Mr. Baers. Mr. Malcomb stated that the village is in a
sad state of affairs and this project offers some great potential. This is a fine
presentation and is as fine a project as you are going to get in that area.
Bill Wren, 1118 East Balboa Boulevard spoke in support of this project noting that
the goal of the City Council for this area is to increase viability as for as a
commercial area upgrade. Numerous studies have been made and the City is
committing over 7.5 million dollars in this area just to stimulate the type of
development such as this proposed project. Other development will follow such
as the theatre renovation. We have to have this type of development to
stimulate investment. We need to be able to provide accommodations to
develop this area as a destination point.
Tod White, 1120 East Balboa Boulevard, President of the Balboa Peninsula Point
Association spoke in support of this development aesthetically from an
architectural point of view; and it reinforces the economic viability of the area.
To see something succeed such as this, I ask that you support this project.
• Kay Mortinsen, 1530 Miramar Drive stated she has worked on the beautification of
the Balboa Boulevard from Main Street down towards the Point. I look at this
proposal as it relates to the redevelopment of the village area. The need for
upgrades such as this is great. This proposal is well designed and is an
improvement over what is there now. I would like to see this proposal move
forward.
Tom Hyans, President of the Central Newport Beach Community Association
spoke in opposition to the development on the oceanside or south side of the
oceanwalk. The board has discussed this project and asks that it be limited to
what is referred to as 'by right' development. The FAR is considered to be below
the 1.0 maximum if you consider the project as a stand -alone project. If you
consider it as part of the entire project, it is considerably excessive. I see the two
lots considered as one for the project for the benefit of accepting the bridge and
accepting handicap egress and ingress, but when it comes to FAR we separate
the two projects. The Community Association would like to see this project limited
to what is permitted 'by right' development. I was hoping to see what the
possible 'by right' development would look like.
Commissioner Tucker asked what the square footage is of the existing lot and the
square footage of floor area on the existing inn?
Mr. Campbell, referencing page 8 in the staff report, noted the existing site is 12,
825 square feet and the structure is approximately 23,300 square feet, which
gives an FAR of 1.82, which exceeds the floor area of 1.0 as the maximum.
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July 20, 2000
Ms. Temple noted that prior to the establishment of floor area ratios in the 1988
General Plan update, all of the commercial properties had a floor area ratio of
either 2.0 or 3.0. This particular property is also non - conforming in a number of
other ways, but it only became non - conforming as to floor area ratio in 1988.
Chairperson Selich noted for the benefit of the audience that on page 4 of the
staff report, there is a section called alternative development, which gives an
explanation of the drawings and other elaborations on possible solutions that
could occur under the 'by right' scenario.
Virginia Herberts stated that the Peninsula Point Association would like this kept to
its entitlement, not to go higher or with more square footage. I would prefer that
in our village where we are trying to structure down the commercial part of it to
keep it to the entitlement, not go higher than is allowed and not to have more
square feet. This project proposes an increased development of 2,596.5 square
feet, which is a 26.7% overall increase than what is allowed. I would prefer that
the project stay within the parameters, so that it does not restrict other businesses
in the area from what they are allowed to do because this project goes beyond
the General Plan.
Chairperson Selich asked if the objection is that there is a range of floor area and
. a range of height and your objection is going to the high end of that range and
you prefer that we stay on the low end. With that in mind, do you have any
objection to the hotel use?
Mrs. Herberts answered that she prefers that there be no structure on the ocean
side parcel, however, they do own the property. I don't want any more new
development on the oceanfront.
Mr., Kirk Herberts stated that some ten or twelve years ago he was involved in the
sale of the property two times. The elevator at that time was inoperative about
75% of the time. I don't know if there has been a new elevator installed or the
new works that make the elevator work. But, if there has not, the one that is there
now in an emergency would be highly doubtful. It is small and can hold 6-8
people at the most. There must be two ways of escape from any new building,
upstairs /downstairs not that elevator. From a business standpoint, those people
owe you and me $55,000. I would suggest before you go any further with any
kind of a project, you find out how much they owe other people, how for behind
they are in payments and what they are going to do about it.
Kathleen Smith, 1600 East Oceanfront asked if the picture taken from the balcony
could be highlighted to indicate where the line would be for the new building. I
think that would be helpful for me. As I understand it, your agreement to
approving use permits, one of the things is that it does not damage enjoyment,
appreciation or property values around it. It certainly does extremely impact
those of us who live on the other side of the building. I don't think anybody
0 denies the attractiveness of what has been displayed here. One of the big pulls
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is that it goes along with the development of the Balboa Village. Maybe it does
in the immediate impression, but I don't think that the development of the
Balboa Village by people who come here really intend or wish to see major
buildings larger than they are supposed to be on the other side of the boardwalk.
I can't tell you how many arguments in the parking lots and near accidents I
have seen and heard from my front porch. Parking is a major concern because
the parking meets minimal requirements even with double valet parking. I
appreciate your listening.
Mr. Campbell noted the existing pavilion on the picture in question and
attempted to reference the proposed structure.
Ms. Temple noted that we would have to ask the applicant to provide us with
computer simulations such as we received with other projects.
Dave Biechock, 600 East Oceanfront noted that the picture was taken from his
deck. He stated that this project would greatly impact his view. As a new
homeowner, he is very concerned about this project as it is replacing sky and
palm trees with three stories of concrete. A comment was made about the views
of the pedestrians walking up and down the boardwalk, and it just doesn't make
sense that this would occur. I look to you to help me protect my investment.
Commissioner Tucker noted that the 'by right' ability of the applicant to build
would appear to be even more deleterious view than what is being proposed
now. The project would be an average of 26 feet high depending on the floor
you are on. This would wipe out your view to the east. They can build that
without coming in to see us at all. As compared to what they can come in and
do anyway versus the project they are proposing to do, are people on balance
better or worse off? It is not what exists today and what they are proposing; we
also need to factor in what they could do 'by right'. The 'by right' could be
starting at the properly line instead of where the bridge is.
Mr. Biechock discussed the elevations and noted that the portions that would be
higher would be on our side. The lower portions would be towards the front.
James Read, P. O. Box 780 Balboa stated he is one of the most impacted by this
proposed project. He referenced his packet that was distributed to the Planning
Commission at the meeting. The pictures in the packet show what a 32 foot high
wall is, which is the back of the inn. My view will be totally destroyed by the
massive wall. It had been suggested that the property be condemned under the
Street and Highway Code. That can be integrated into the Balboa Plan. The
owners of the inn could add onto the front of the building. The Negative
Declaration speaks in terms of a two -story building, how does that impact this
project? I wonder if you would like built by your front yard a 31 -foot high wall, I do
not. There will be a huge impact with parking from the Performing Arts Center let
alone pollution. I suggest that the Commission work with the owner to develop
alternative plans and make it a better situation. At Commission inquiry, he stated
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that he lives in the middle duplex on the west side of the project.
Commissioner Tucker asked if he had reviewed the west elevation.
Mr. Read answered that he had not had an opportunity to review the wall
drawing, but noted that if it was 31 feet, it was monolithic. Continuing, he stated
that he did not know what the hurry is. There is an opportunity to condemn the
property, pay fair value and expedite the process of developing quality
development and let the applicant rehabilitate the front of their building.
Commissioner Tucker stated that the applicant has gone through the process
with a hearing last month and we are back here tonight. As the Planning
Commission, we do not control things such as condemnation; all we do is decide
upon a set of circumstances that are in front of us.
Commissioner Gifford clarified that the affect of the 26 foot setback from the
property line, in the balance you have something that could be 24 to 30 feet on
the property line and that is weighed against something that could be setback
26 feet to give you a view angle to the beach.
Mr. Read noted that the angling from his place would still be a block wall. He
would no longer see the pier or palm trees.
Mr. Campbell added that the Negative Declaration was prepared in December
1999 and was for the original submittal of the project, which was for a 26 -foot
high two -story building with a pool area on the roof. That project had 14 rooms
and was slightly larger. Subsequently, we have met with the applicant and
expressed concerns about the design, code compliance and aesthetic reasons.
The applicant has re- designed the project to the project that you see this
evening. The differences between the two proposals are that the revised
proposal is smaller in terms of the number of rooms so the traffic impact is less; in
terms of 2 versus 3 story elevations, staff does not believe the change was
significant enough to warrant additional review of the environmental document.
Due to the fact that we believe that the revised project is less intense, we believe
that it adequately addresses the environmental impacts and the Negative
Declaration can be adopted this evening.
Ms. Temple added that there are two parts of state planning law that govern
how quickly an agency must process and act on applications. One is called the
Permit Streamlining Act that requires an agency to act on a Use Permit within 6
months or 180 days of an application being deemed complete. There is an
opportunity to extend the statutory timeframes with the concurrence of the
applicant. If the City does not act within that time frame, the project would be
deemed approved through operation of law. In this case, the critical factor is
the statutory limits on acting on a project related to the California Environmental
Quality Act. We have extended those statutory timeframes already to the
• maximum. The Commission will be asked to take some action this evening, either
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July 20, 2000
to approve, to deny, or to deny without prejudice as we are at the limits of the
statutory timefromes under those provisions of state planning law. This is a
requirement imposed on the City by state planning law. The application was
deemed complete December 21, 1999. The statutory limit of 180 days expired
June 17, 2000. The applicant concurred to a 45 -day extension that expires at the
end of this month.
Vic Sherrit, property owner of 704 East Oceanfront stated that he has tried to find
out how the people in the area feel about this proposed project. Of the six
hundred, seven hundred, eight hundred blocks of Oceanfront, thirty -five residents
and business owners have signed a statement that they feel this proposed
project will be detrimental and injurious to their property. These are the ones who
are the most impacted by this project. I have 26 additional signatures of
Newport residents within two blocks who say they are also opposed to the
project. If you approve this use permit, it would be a case of big government
deciding what is best for the people who are most impacted by this project. We
live there; we own property there and are a part of it every day. It will be
detrimental and injurious to us. 35 to 0 feel that way. Has the Balboa Inn
considered building an attractive one story building on that piece of land and
that perhaps the Planning Commission would waive the parking requirements
and use that square footage for retail and hotel rooms? The tandem parking is
impractical for the backside in the retail area. You would get acceptance for a
one -story project.
Commissioner Kranzley asked if he had an opportunity to look at the drawings of
the'by right' and if the impact would be greater or less.
Mr. Sherrit answered that the proposed building gives a 31 -foot high wall right
next door. The'by right' would probably have less impact.
Commissioner Tucker noted that the 'by right' is on the property line. For you that
could be monolithic in nature. The proposal is 26 feet off the property line and
goes up to the southern half 31 feet and on the northern half up to 24 feet. Either
structure would have an impact on you, but I think the 'by right' one would be a
lot worse for you than what the applicant is proposing.
Mr. Sherrit answered that it affects the view, the lifestyle and is an abrupt type of
thing compared to what is there now. According to what you say, in the
requirement to approve a use permit that the establishment, maintenance or
operation of the use or building applied for will not be detrimental to the health,
safety, peace, morals, comfort and general welfare of the persons residing or
working in the neighborhood. Or, be detrimental or injurious to property and
improvements in the neighborhood. The people who all live there every day, 35
to 0 say it is detrimental to us.
Joanne Anthesion, 600 East Oceanfront stated that her view would be
• completely obstructed. She stated that she paid a high premium for the view. I
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July 20, 2000
strongly feel that this proposed project would not improve the business in Balboa.
The people who live there like the village atmosphere. I am not sure how the
property will be subsidized during the off hours, if they are never at capacity how
are they going to make it? There are monetary issues and it seems that in order
to build this building, they are going to ruin the views of so many of us who live
there and who own property. My guess is that in a couple of years the building
we are talking about will be vacant because they are not going to be able to
pay for the property.
Ron Harder, manager of the Balboa Inn stated that there has been a lot of
discussion about whether development in this community can ever happen.
There is already a huge parking lot on the Peninsula that was not just built to
accommodate people in the t shirt factories, it is there for tourists, people who
come into the area. In order for that area to grow, there has to be some
significant anchors that can encourage development. There are three historic
anchors in that downtown area. An area that is already going to receive a 7.5
million - dollar influx for development because it is needed and qualifies for funds
from government agencies. The three elements are the Pavilion, the theater,
and the inn. These industries are clean industries that are appropriate for this kind
of community that can enhance the viability for the public that comes down
here to stay longer. This is the kind of industry that is going to promote better
restaurants and other auxiliary businesses that will be more suitable for that
particular area. The owners have the 'by right' to build up to a certain level and
they could build a bunker type of structure that would be unattractive to
everybody but still accommodate their need for rooms. Eleven rooms are not
going to change the economic landscape of the area; it is not a 511 room hotel,
it is an 11 room hotel. We are going to enhance the entire area by adding a
significant anchor that is aesthetically designed to tie into with what the City is
already planning to do in the area. It is important to appreciate that there are a
number of factors to weigh here. By going forward with this project, we are trying
to compromise our need to grow as a business and enhance the area with the
other considerations of the people who reside in the area. We are not building
the bunker, we are pulling it back, changing the size and shape to make it fit
what is already in the area.
Don Elder, 1 107 East Balboa Boulevard questioned the 'by right' noting that the
property is zoned C -1 now. In the early 60's this piece of property was not even a
viable lot. Once it was established it was zoned 'U' (Unclassified). What is there
now is a swimming pool. The Commission at that time stated that only the
pavilion and recreational uses as shown on the lot plan were to be permitted. It
has been U all this time. Somewhere along the line, it has been changed and I
wonder if the new owners have a 'by right' to do anything.
Ms. Temple stated that the lot was legally established around 1961 through the
Superior Court decision of the County of Orange. The city at that time approved
a use permit as required for development in the 'U' or unclassified district for the
. pool area, cabana and what we now call the pavilion area. The 'U' district was
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Planning Commission Minutes
July 20, 2000
not a district that would have given the City a full limitation on what uses could
be put to the property. The U district at the time would have allowed any use
consistent with the land use designation of retail and service commercial subject
to the approval of a use permit. The City's General Plan was adopted in 1972
and the retail and service designation was applied to the property and allowed
for a broad palette of commercial land uses including the proposed hotel. The
zoning action to make it RSC was really part of the adoption of the Specific Plan,
which occurred in the early to mid 1990's. However, the land use entitlements
would have allowed commercial development prior to that time. It was
unclassified between 1961 and the 1988. Prior to 1961 a portion of this lot was
part of the original lettered lot subdivision approved in 1906. In 1961 there was
litigation against the City and the court ruled in favor of the property owner at
the time and actually established the 55 x 135 -foot lot as a privately held piece.
Mr. Campbell added that the inn was built in 1930 prior to zoning. The original
zoning of the property in the 1936 Zoning Ordinance was R 1. Subsequent to that
it was re -zoned to U per a 1950 Districting map.
Dan Purcell, 3 Canyon Lane noted his concurrence about the stucco wall as
expressed by Commissioner Kranzley. He asked why it could not have some
dimension to it.
Commissioner Kranzley noted that the drawings have the wall as open with
wrought iron along the boardwalk. I have concerns about views from the
boardwalk and I would like to have a wall with articulations and features.
Mark Hendricks, 600 East Oceanfront stated that he is not in support of this
project. I love to be able to see the sailboats come into the jetty and this will be
gone from my view with this project. I would like to see more put into the
development of the current site as it is now. I can see the owners wanting more
revenue, but it is at our expense and I am not happy with that.
Ron Boers noted the difference between the proposed and 'by right'
development while referencing the exhibits:
• 'By right' proposal is to place a two story retail building with a height of 26
feet, 31 feet to the ridge along the west property line. The second floor is
tied into the existing bridge so that it would be accessed from the inn.
The rest of the site would be on grade parking, lone parking stalls, which
would be required from the 3,700 square feet of retail.
• The proposed project is for open parking at the western extent of the lot.
The building line is set back, which is in line with the existing bridge of the
hotel that is about 28 feet away from the property line. The west
elevation shows the articulations. The existing bridge would be enhanced
and the stairways to the third level of the western portion of the addition
are effectively 13 feet high from grade. The proposed inn addition is two
levels of rooms over the ground floor parking deck. From the existing
building line of the inn to the point where the largest mass of the
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City of Newport Beach
Planning Commission Minutes
July 20, 2000
proposed addition is located is about 55 feet away.
I believe that the view from the third floor of the Rendezvous
Condominiums that there will be a view out over the building that is 21
1/2 feet to the ridge line as opposed to the possibility of a solid building
wall 26 feet high to the eave and up to 31 feet up to the ridge line. This
would be located 30 feet away from the closest residential unit located
adjacent to the inn.
Public comment was closed.
Commissioner Gifford stated that depending on what aesthetic consideration
that the Commission wishes to discuss, I would like to bring back the questions
that exist about the state of the effective combination of uses on these two
parcels and how we might go about resolving that. Mr. Hyans mentioned that it
is odd that for certain purposes we would view them as separate and for certain
purposes we view them together. We do have the fact that the use permit that
the staff report says is currently in effect for the existing inn (UP931 ) does have the
restriction of the use being only for pavilion room and recreational uses. The
property that affects as part of the existing inn's use permit has been re- zoned.
think there is work to be done on the existing encroaching permit that can
require removal of the bridge within 90 days and the fact that the bridge is what
links the common use. It may be that we have to have a continuance by virtue
of denial without prejudice so that staff can do some work. The city attorneys
office just got this encroachment permit and there may be some other issues that
they would like to look into.
Chairperson Selich noted that staff has pointed out that we can not continue the
project or that we need to deny the project without prejudice which will allow
the applicant to re -apply immediately allowing continued review of the project.
If we are not ready to approve this at this meeting but we want further analysis
and drawings, this is the way that we would have to go on this. Commissioner
Gifford brings up some good points, it seems like there are a lot of old permits and
putting it all under one use permit would certainly clean it up. My question is if we
approach this as one use permit and one project, does it have any negative
affect on what is being proposed? It that is the case, why didn't we do it as a
whole use permit to begin with?
Ms. Temple stated that we do not typically have single use permit that cover
separate parcels. This is a question that I need to discuss with the City Attorney,
as it has not been something of standard practice in the past. The Commission
should be very clear as to what kinds of differences and changes and exactly
how they would like to see the permits restructured should they choose the denial
without prejudice. A denial without prejudice simply for the purposes of avoiding
the constraints of the permit streamlining is a very hazardous course of action.
You should give clear direction as to how you want to change the approach so
there is no question.
•
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July 20, 2000
Chairperson Selich stated, is wanting to have one use permit enough? This is
something that is common in other places.
Mr. Ohl stated that this is something that would have to be looked into to see if
they could be combined under one use permit.
Commissioner Gifford asked if the applicant is in concurrence. He would have
the benefits of a cleaned up situation.
Commissioner Tucker asked if combining this into one use permit with the existing
non - conforming situation, could it qualify to be a use permit? I can still see doing
it as two use permits, but reading the record of this parcel, I'm uncomfortable
being party to what could be the seventh different approval on this.
Ms. Temple answered that is the most critical issue, if we combine it under a single
use permit and through that process somehow create a single entity against
which we must evaluate it to code, then it could throw the project into variance
territory. This does have a checkered history.
Commissioner Tucker stated that in the staff report it says expansion or additions
can not increase the degree of present non - conformity. The existing site has a
. FAR of about 1.82. If the new site were combined to the existing site then it would
be closer to 1.6. 1 am trying to understand whether combining it into one use
permit is even an alternative.
Chairperson Selich stated that this would be one use permit covering two parcels
and each parcel would stand on its own. Being in one use permit would not
effect the non - conformity of the existing parcel. However, I could be wrong in
that.
Ms. Temple added that we do have use permits that cover more than one
parcel, but they are contiguous. In the code, we talk about the building site and
so when there are a number of parcels that comprise a building site for example,
the Albertson's market. In this case there are two parcels, but they are separated
by a right -of -way. Therein is the difference as opposed to a shopping center with
multiple parcels. Our code does actually define building site as being the
contiguous parcels that constitute the whole site of a project. This one is a little
different, which is why we want to delve further into the possible implications we
might be setting ourselves up for in that regard.
Commissioner Gifford added that there may be implications through the Central
Balboa Specific Plan because to some extent it permits the reconstruction of an
entire existing structure under certain conditions if there is no expansion of the
structure. Whether that structure is discreet or not, there is a lot to investigate.
Ms. Temple noted this is important, because if we get to the point whereby virtue
• of this process we have to consider the two parcels as a single building site, then
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. City of Newport Beach
Planning Commission Minutes
July 20, 2000
we really run into some fairly significant obstacles.
Commissioner Tucker asked about just the project, what does everybody think of
it? We have all these technical things to deal with and before we head off in
that direction, it would be nice to know before we do that if there are enough
votes for the project to begin with.
Chairperson Selich stated that we should address those issues because most of
the people who got up here to speak could care less whether it is one or two use
permits. Their issues are something different. We should address the project itself
and if we are satisfied with the project or want to make some modifications, then
we need to give that direction to the applicant along with dealing with the
technical aspect of it.
Commissioner Kranzley noted that following:
• There have been over three decades of studies regarding what we could do
with Balboa Peninsula and Balboa Village. Many of these studies said the
same things.
• The City has made a commitment of 7.5 million dollars for the improvement
of the peninsula, specifically Balboa Village.
• The Theater group has made a significant commitment of 2 million dollars in
. renovating the theater building.
We need both public and private money in this area.
• The Balboa Inn is one of the first private monies to come in and try to make
an effort to upgrade the village.
• There are people who are willing to make a capital improvement in this area
on both the theater and inn. It takes one step at a time for this evolutionary
change.
• This proposed project appears to have the least impact of a building that
could be useful to the hotel.
• Other than the issue of the wall versus the wrought iron fencing on the
boardwalk, I am pleased to see the quality of this project that the applicant
has proposed and move forward to approving this, but I am supporting the
cleaning up of use permits.
Commissioner Gifford noted the following:
• Enjoys the idea of what can be good about Balboa Village.
• Sorry to see the number of restaurants that has been closed.
• The balancing act is not the choice between nothing and something. It is
between a building on the site that could be conceivable 10 feet higher at
its higher point and one that might have no aesthetic quality. It might be
something to drive the area further down.
• Encouraged that people stepped forward and are considering the kind of
capital that this project is about. This is what the City has been missing,
people willing to invest money in the area.
• The visits by Mr. Shemt with the 60 some odd people in total, shows we know
• that there are that many people who are well aware of the project. Yet,
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• City of Newport Beach
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July 20, 2000
tonight we do not see those people. The degree of their concern, knowing
they have been informed specifically of the meeting tonight, doesn't seem
that their objections significant enough to appear and make their concems
known.
Having looked at the property today and the site lines, I have come to the
conclusion that the proposed project will be less detrimental to those
people. It is not our charge to protect private view, but we are always
sensitive to that.
If we can clean this up and have a single use permit, or use permits that are
compatible, I would tend to vote in favor of this project.
Commissioner Agajanian stated he is supportive of this project as well. However,
he is concerned about the growing encroachment of the use over time. This has
gone from an auxiliary use to being converted to a full hotel use. I am
concerned because this is an escalating intensity of use that comes along with
each one of these steps. I would like to see this clarified. The additional capital
improvements are helpful. I would like a more definitive understanding of this
project if we approve this but the building does not get started and then the
property transfers title again. The entitlement would pass along with the property,
correct?
. Ms. Temple answered use permits vest and run with the property. However, if not
implemented within the time frame established by the Planning Commission,
which is typically a 24 -month period, the approval would expire.
Commissioner Kiser stated the following:
• The central Balboa area is in need of private investment and development
to realize its potential. The area has stagnated in recent years. I am pleased
to hear that the Balboa Inn business is becoming more profitable and the
hotel more successful. The proposed design is attractive when its specific
location is ignored.
• The Balboa Inn sits in a strategic location adjacent to the Balboa Pier, the
Peninsula Park and our public beach. Any development of the site will have
a significant impact on the public's use and perception of the Balboa area.
• Because this project is on the beach side of the oceanfront walk it demands
the highest degree of scrutiny by the Planning Commission. It should be
subject to the highest level of justification in order for any structure related
use permit to be approved.
• I don't believe the proposed project rises to that level of justification and I
believe it should be built within the present FAR and height standards for the
site.
• The project should generally be within the 26 -foot range that is a two -story
development. One and two stories is the character of the Balboa Village
area with very few exceptions, particularly the condominium project from
which we have had speakers tonight and at our last hearing on this. With
• the exception of the project itself, (the other part of the Balboa Inn) is almost
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• City of Newport Beach
Planning Commission Minutes
July 20, 2000
entirely one and two story development not only in the Balboa Village area,
but in fact almost the entire Balboa Peninsula.
I may be willing to vote for a use permit for a structure in excess of 26 feet
over the parking in order to get the additional parking for the City that is
sorely needed in that area and very difficult to come by.
1 would not vote for a taller, more sizeable structure over the additional retail
uses. I believe this benefits only the owner of the project.
1 believer that everyone should have the opportunity to see story poles or
some other form of physical representation on the ground what the project
would look like when it is built.
• We need to remember we are considering a project that is an addition to a
use that does not conform to floor area ratio, building bulk, building height or
parking requirements. It is very significantly askewed from those things in
several respects.
While I don't think that an owner should be penalized for non - conforming
conditions, I also don't think that non - conforming conditions should be
ignored when reviewing proposals for related projects.
Continuing, he noted we have reviewed plans for an alternative project that
conforms with present entitlements but that may not be as good a project for a
number of reasons that have been considered by both staff and Planning
Commission including economic viability, which may be foremost; viewscapes
and other matters. The fact that the particular alternative presented is not as
good a project as the proposal for which the applicant seeks approval, does not
justify our approving the project as proposed. I question whether the applicant
would actually build the alternative project without revisions. I have very serious
reservations about that. I am concerned that as much as this alternative plan
has come up, is justifying the new and real proposed project. I am concerned
we are getting into the game of playing possibly how ugly and impossible a
project can we build 'by right' in order to make a proposed project look better. I
am sure that a better alternative project within present entitlements can be
designed, second I have trouble accepting the notion that we should approve
a use permit and a negative declaration on the basis of a proposed project
being superior to what may be the worst possible alternative plans that fit "thin
the present entitlements. I believe that basic floor area and height for this
project should be adhered to. Finally, I believe we should deny without
prejudice the application to allow the applicant to redesign not merely for
Permit Streamline Act purposes, but for purposes of actually re- designing the
project to conform to what I have just stated.
Commissioner McDaniel stated that he is troubled with our redevelopment of
Balboa Village starting out being higher and taking people's views, than what
they are allowed. I agree with the previous statements and that something built
closer to what they are allotted would work just fine. I am also troubled by the
fact that it appears that we are building a fancy new garage in front of the
beautiful old building and calling it redevelopment. I am having some difficulty
With the fact that we continue throwing ideas at this site, it's been a school, an
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• City of Newport Beach
Planning Commission Minutes
July 20, 2000
apartment we keep trying to do something and nothing is working. I am not
convinced that puffing hotel rooms on that side of the walk way is the answer, I
agree with Mr. Hyans in that respect. I think the answer is to deny without
prejudice is probably how I would be going, if not to deny it outright.
Chairperson Selich stated his support of the project as outlined by Commissioners
KranAey and Gifford. I don't agree with comments by Commissioner Kiser on the
height of the building. I don't look at it in relation to other two story buildings in
the area. I look at it in relationship to the existing Balboa Inn; it is really an
extension and expansion of that structure. I look to it in terms of compatibility
with the architecture, character and use of that structure. It is a difficult situation
because there is a lack of parking in the area and we need parking. The
parking has to go somewhere and given the physical constraints of the property
it has to be above ground. In terms of the fact that it is two stories of hotel use
on top of a parking structure, they have done an excellent job of designing it
and integrating it into the existing structure from a design stand point. It won't
look like a parking garage by any means. I agree about the closed panels on
the oceanfront side of the building and closing that off. I am in support of
denying it without prejudice primarily for the purposes of dealing with the use
permit issues in addition to all the other things that we have discussed. I want to
be sure this is tied together as one use and we don't have two separate use
• permits on two separate parcels. This would clean up the history of the property.
1 will leave it up to the attorney to give us the advice on how to go about tying
this together as one use and that they can't be bifurcated in the future.
Commissioner Tucker noted that he supports the project and that it is important
to look at what can be built as a matter of right and compare it to what is being
proposed. The architect has done a good job and a sensitive treatment to try
not to have a monolithic structure. I would have some quality types of
additional conditions or notes on the plans to make sure that if it does get
approved, we end up with something that is top drawer. I take seriously the
impacts on the surrounding neighbors. I think there will be some impacts but all
things considered balancing the needs of the community overall the project
merits our support.
Ms. Temple asked for clarification on the revision to the use permit. Part of the
history includes specific use permits for the eating and drinking establishment
within the existing Balboa Inn. Is it your intention to include coverage related to
those more discreet kinds of uses or are we just talking about the unity of the
hotel itself?
Chairperson Selich stated he wants it cleaned up to the greatest degree
feasible, the greatest unification.
Commissioner Gifford noted she would like to see a solid wall with articulations
and decorative elements that would make it attractive.
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• City of Newport Beach
Planning Commission Minutes
July 20, 2000
Commissioner Tucker asked for
• An added condition under Findings, Section 7. A new paragraph 'L' to
indicate that the design and construction quality of the project will be first
quality and on balance will enhance the desirability of the project rather
than be detrimental or injurious to.
• Would also like to have some quality notes on the plans referring to the roof
tiles perhaps having some mud on the roof spines for an old world
appearance; the windows and doors if not wood then they would be wood
like in appearance.
• I support the wall suggestion of Commissioner Kranzley and the wrought iron
fencing needs to be protected from corrosion. And that all other materials
shall be of a first quality.
In condition 1, 1 would like the first sentence to read, 'the development shall
be in substantial conformance with the site plan, floor plans and elevations
including quality notes upon which this approval has been based except as
noted below, the applicant shall submit samples of materials, colors and
description of application methods of materials so that the Planning
Commission or Director may have approval prior to issuance of a building
permit.'
• We should have a discussion whether it should be the Director or
Commission.
• Then paragraph 6 that refers to adjacent off site planting areas, it should
call out specifically that it is the oceanfront, main street and south perimeter
street, whatever it is called.
• Add condition suggested by staff regarding rental conditions on storage of
bikes.
E
• A condition dealing with some type of arrangement where the tandem
spaces would always be made available for vehicular movement.
• The quality notes ought to be put on the plans we have so that when they
are plan checked, they will be there.
Ms. Temple added that if the Commission is comfortable, we could leave it in the
hands of the Director regarding the materials. We can always bring it before the
Commission if there is any question of consistency. One thing I would like to add
relative to the landscaping is, as Mr. Baers indicated, they would stay consistent
with the landscape palette established in the Balboa Peninsula Improvement
Program. That is not referenced specifically in these conditions of approval and I
would like to make that a condition as well.
Public comment was opened.
Chairperson Selich noted to Mr. Baers that you have the opportunity if you are
not in agreement with the direction we are going with these use permits, you
could just have us deny it and then file an appeal with the Council. Or, going
with the denial without prejudice you can re -file your application and come
back before the Commission.
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. City of Newport Beach
Planning Commission Minutes
July 20, 2000
Ms. Temple noted that it sounds like we don't need a lot of new plans, only some
refinements to the existing plans. With the re- filing, the Commission may give
direction to waive any additional fees in this particular case. The timing of this
issue coming back to the Commission is contingent upon our ability to work
through any legal research related to the unification of the two properties under
permit. Whether it comes back as two separate use permits but with some
mutual connection or under one use permit, just the structure of that may take a
few weeks to work out. We would probably be looking on the order of one -
month timefrome.
Mr. Boers stated that his concern is that we don't get into a complication in the
use permit that gets us going backwards instead of forwards. It is my
understanding the intention is to work out the multiple use permit structure so that
it will provide the ability for this project to be approved.
Chairperson Selich agreed noting that there could be complications and at that
point the Commission would have to decide on balance whether those
differences were so detrimental that we should not pursue this course of action. It
is clear the consensus is we need to investigate it. You want to go with the denial
without prejudice to which he was answered, yes.
• Public comment was closed.
Motion was made by Commissioner Gifford to deny without prejudice with a
waiver of fees of the Use Permit No. 3661 with the additional changes discussed
as well as a strong suggestion that the applicant make payment of the
outstanding TOT fees.
Ayes: McDaniel, Kiser, Agajanian, Selich, Gifford, Kranzley, Tucker
Noes: None
Absent: None
SUBJECT: Conexant Project
4311 Jamboree Road
• General Plan Amendment No. 96 -3(F)
• Amendment No. 898
• Environmental Impact Report No. 159
• Traffic Study No. 110
• Development Agreement No. 13
General Plan Amendment No. 96 -31F, Amendment No. 898, Environmental
Impact Report No. 159, Traffic Study No. 110 and a Development Agreement to
allow a long range development plan for the construction of up to 566,000
square feet of additional light industrial and supporting office /lab space in four
21
INDEX
Item No. 2
GPA 96 -3 (F)
A 898
EIR 159
TS 110
DA 13
Continued to
August 3, 2000
• City of Newport Beach
Planning Commission Minutes
July 20, 2000 INDEX
new, multi -story buildings, two new parking structures and the balance of the
site landscaped open space. The project site is approximately 25 acres and is
located on the northwest side of Jamboree Road between MacArthur
Boulevard and Birch Street within the Koll Center Newport Planned Community.
Ms. Temple stated that the applicant has requested that this item be continued
to the next meeting of August 3, 2000.
Motion was made by Commissioner Tucker to continue this item to August 3rd.
Ayes: McDaniel, Kiser, Agaianion, Selich, Gifford, Kranzley, Tucker
Noes: None
Absent: None
ADDITIONAL BUSINESS: Additional Business
a.) City Council Follow -up - Ms. Temple stated at the meeting of July 11 th,
the City Council reviewed the recommendation from the Harbor
Committee requesting that a Harbor Commission be formed prior to the
adoption of the Harbor Element. The recommendation of staff was to
defer action on the formation of the Harbor Commission until the Planning
• Commission and City Council review and take action on the proposed
Harbor Element. Until the issue of commercial land uses are facilitated or
restricted, this item will not come before the Planning Commission,
probably within two months. Commissioner Gifford asked for an advance
copy of the draft element, which will be mailed tomorrow. The second
item was the continued item on the analysis of the protection and growth
initiative that was continued to the July 251h meeting.
b.) Oral report from Planning Commission's representative to the Economic
Development Committee - Chairperson Selich noted that the EDC has
evolved since its inception and now would make recommendations on
the economic impacts rather than project recommendations. We are re-
working the policy and resolution and will forward it to the City Council
and ask that EQAC and EDC have a balanced approach in the work
that is done.
C.) Matters that a Planning Commissioner would like staff to report on at a
subsequent meeting - Commissioner Kranzley asked about the Costa
Mesa requirements for a tattoo establishment as there are a lot of them in
the village.
d.) Matters that a Planning Commissioner may wish to place on a future
agenda for action and staff report - none.
e.) Requests for excused absences - Commissioners Kranzley and Kiser asked
to be excused from the August 3m meeting. Commissioner Tucker noted
he would be gone for the September 7th meeting.
+ ++
ADJOURNMENT: 10:00 P.M. Adjournment
STEVEN KISER , SECRETARY
22