DATE: March 15, 2016
TO: Mayor and City Council
FROM: Development Services Director
SUBJECT
Title
Proposed Subdivision and Construction of Ninety-Seven Single-family Homes and Related Site Improvements on Multiple Parcels Located at the Southwestern Corner of 2nd and Walpert Streets, Requiring Introduction of an Ordinance and Adoption of a Resolution Related to a Zone Change from Single-Family, Medium and High Density Residential and Open Space Districts to Planned Development (PD) District and Approval of Vesting Tentative Map (Tract 8233) for Ward Creek Cottages Subdivision (Application No. 201400648). (Applicant: AMG Associates; Owners: Caltrans and City of Hayward)
End
RECOMMENDATION
Recommendation
That the City Council
1. Adopts the attached resolution (Attachment I),
a. Adopting the Mitigated Negative Declaration, as amended, and the Mitigation Monitoring and Reporting Program, and
b. Approving the Vesting Tentative Tract Map; and
2. Introduces the attached ordinance (Attachment II), approving the zone change to Planned Development (PD) District to construct ninety-seven small lot single family homes.
Body
SUMMARY
The proposed development would merge five parcels zoned Low, Medium, and High Density Residential District, Special Design Overlay (SD-7, Caltrans Foothill Trail) and Open Space District under one Planned Development (PD) District. The proposed zone change to the PD District would create a consistent development pattern across the site. Rather than develop to the applicable lot standards per the various zoning districts across the site, the PD District would provide the flexibility needed to cluster the development in the least sloped, highest density (per zoning) areas of the site; and to pull development away from the lowest density, most environmentally sensitive areas in the southern portion of the site near Ward Creek. As proposed, the development would meet the minimum densities required under the respective General Plan land use designations across the site. The project also includes a Vesting Tentative Map to subdivide the site into ninety-seven single-family lots.
The proposed elevations are well-designed with varied materials, colors, and architectural features and enhanced street-facing elevations. The development would include a variety of developed and undeveloped common open spaces, pedestrian pathways, and trails connecting the development to the surrounding neighborhood and trails, among other amenities. A digital fly through of the proposed project is available at <https://drive.google.com/file/d/0B6eBKb63EBJHeHdVNnFlUzBaOXc/view?usp=sharing>.
BACKGROUND
Existing Conditions: The proposed project consists of five separate parcels totaling approximately fifteen acres. Caltrans owns two of the parcels (APNs. 445-0040-011-03 and 445-0050-001-11), which are currently zoned High Density (2.51 acres) and Medium Density (6.71 acres) Residential, Open Space (1.1 acre), and Special Design Overlay (SD-7) District. The SD7 District calls for the development of a continuous public access trail along properties involved in the 238 Bypass Land Use Study. The underlying General Plan land use designations for the Caltrans-owned properties are Medium and High Density Residential and Parks and Recreation.
The three City-owned parcels (APNs 445-0050-010-01, 445-0050-019-00, and 445-0050-018-00) are located on the southwestern portion of the site. The parcels total about 4.2 acres and are zoned Low Density Residential. The underlying General Plan land use designation for the City-owned properties is Low Density Residential.
Public Meetings and Outreach: An application was filed on December 22, 2014. On January 15, 2015, an initial notice of receipt of the project application was sent to property owners and residents within a 300-foot radius of the site.
On March 25, 2014, the developer hosted a community meeting at the Arc of Alameda, Walpert Campus near the project site. Approximately forty people attended the meeting, reviewed proposed project plans and provided comments directly to the applicant primarily related to pedestrian and vehicular safety, concerns about traffic and spillover parking impacts, loss of views and open space, and potential biological impacts. In response to public comments, the developer scaled the project back from one hundred and five to ninety-seven units; agreed to pay the full cost of a traffic signal and pedestrian improvements in the neighborhood; and, they realigned internal streets to provide view corridors from existing development along 2nd Street to Ward Creek.
On July 16, 2015, the City held a duly noticed Preliminary Meeting pursuant to Hayward Municipal Code (HMC) Section 10-3.230, to take agency and public comments on the proposed subdivision. Approximately six members of the public attended the meeting and primarily asked clarifying questions about the project. The application was ultimately deemed complete on September 26, 2015.
Purchase and Sale Agreement: On December 1, 2015, the City Council adopted a resolution authorizing the City Manager to negotiate and execute the Agreement for Purchase and Sale of Real Property for the City-owned parcels, contingent upon approval of the proposed entitlements. On January 26, 2016, the Agreement for Purchase and Sale of Real Property was executed and the applicant deposited $90,000 into an interest bearing account.
Planning Commission: On February 11, 2016, the Planning Commission <https://hayward.legistar.com/LegislationDetail.aspx?ID=2565423&GUID=C13994F5-37E0-4F3A-9028-E204BE08CCD5> held a public hearing and voted 5:0:2, to recommend approval of the project. Three members of the public spoke during the public hearing and voiced concerns about existing traffic and pedestrian safety issues such as speeding and back-ups along 2nd and Walpert streets; Air Quality and Noise-related impacts, particularly during construction; impacts to biological resources; fencing between the existing properties along 2nd Street and new development; and, suggested alternative trail connections.
While the Commission recommended Council approval of the project, several of the Commissioners expressed concerns about existing traffic issues along 2nd Street and recommended that staff analyze elimination of the 2nd Street driveway, or to provide specific traffic controls to limit the movements out of the driveway. Draft meeting minutes are provided as Attachment VI to this report.
DISCUSSION
Key issues related to the project pertain to the proposed rezoning; traffic and pedestrian circulation; trail connections; and the environmental analysis prepared for the project.
Planned Development Rezoning: According to the HMC Section 10-1.2505, the purpose of the PD District is to encourage exceptional quality development through efficient and attractive space utilization that might not otherwise be achieved through strict application of the zoning ordinance development standards.
Lot Standards: The developer is requesting a PD District rezoning to establish a clustered small-lot single-family neighborhood that retains approximately 4.8 acres of undeveloped open space. To accomplish this plan, the applicant is requesting a deviation from the standards for single family development to allow lots ranging between approximately 1,600 square feet and 2,015 square feet where lots between 2,500 square feet and 5,000 square feet are typically required; and for setbacks ranging from three to five feet where setbacks of five to twenty feet are typically required in the RM and RS Districts, respectively. The resulting site layout is in harmony with the surrounding neighborhood in that it continues the pattern of detached single family development along 2nd Street, and conforms to the underlying General Plan land use designations and applicable City policies.
Parking: In addition to a deviation from lot standards, the applicant is seeking a reduction in required “uncovered” parking. According to the HMC, detached single family homes shall have two covered parking spaces and two additional uncovered parking spaces if the home does not front a street with parking. All ninety-seven homes would have a two car garage; however, thirty-six of those homes would not front a street with parking and are required to have two additional uncovered parking spaces that do not block the garage. Thus, the development is required to have a total overall parking ratio of 2.8 parking spaces per unit (276 total parking spaces). The proposed development includes a total of 260 on-site parking spaces (194 covered and 66 uncovered) for a total ratio of 2.68 parking spaces per unit across the site.
Staff believes that the proposed parking ratio of 2.68 parking spaces per unit is adequate to satisfy the demand generated by the project. Further, there is approximately 1,700 lineal feet of on-street parallel parking along the east and west sides of 2nd Street that could accommodate about 73 parking spaces, which if included in parking totals, would raise the parking ratio to 3.43 spaces per unit. Installation of a traffic light at the Walpert/2nd intersection would allow for safe pedestrian crossing and make that overflow parking along 2nd Street a viable option for new and existing residents in the neighborhood.
The applicant is proposing the following amenities to off-set the proposed exceptions:
• Expansion of the approximately 1.1 acre area designated Parks and Recreation by an additional 3.8 acres to provide approximately 4.89 acres of open space and retention of approximately 148 trees within the most environmentally sensitive areas nearest Ward Creek;
• Construction of frontage improvements including curb, gutter and sidewalk signage along the approximately 635 feet of 2nd Street that is between the project site and the right-in, right-out 2nd Street project driveway, which is over and above typically required frontage improvements;
• Installation of solar photo-voltaic systems on all units; and
• Installation of a series of interconnected common open spaces and a pedestrian network of paved and landscaped pathways between the open spaces and connecting back to the surrounding neighborhood.
Traffic and Pedestrian Circulation: According to the Initial Study and the Traffic Study (Appendix H to the Initial Study), the proposed project would not result in significant impacts at existing signalized intersections. However, the project did exceed traffic warrants at the existing stop controlled intersection at 2nd and Walpert streets triggering the need for installation of a full traffic light. According to proposed Condition No. 38.d, the developer shall pay for the full cost of installation of a traffic light at this intersection, which will significantly improve vehicular and pedestrian safety along 2nd Street.
Other pedestrian and access related improvements include dedication of approximately twelve feet of right-of-way along Walpert Street to create a high school drop-off location (Condition No. 38.a); and installation of frontage improvements (curb, gutter and sidewalk) along approximately 635 feet of 2nd Street between Lot 20 and the 2nd Street driveway entrance to support pedestrian circulation and access (Condition No. 38.b).
Trail Connections: As noted above, a portion of the site is subject to the SD-7 District Overlay, which established a conceptual location, standards and guidelines for a continuous trail along Caltrans properties. Language from the SD-7 provisions includes:
• The trail shall be developed in coordination and approved by the Hayward Area Recreation and Park District (HARD) and in accordance with the District’s trail standards.
• The trail shall be developed in areas where the national slope is less than twenty-five percent, if possible.
City and Hayward Area Recreation and Park District (HARD) staff discussed the relative merits of the general alignment shown in the zoning ordinance, which would traverse extremely steep slopes and require construction of a bridge across Ward Creek to connect to Hayward Memorial Park and Wally Wickander regional trail, and determined that the developer’s alternative alignment would meet the intent of the Hayward Foothill Trail designation with fewer impacts. Specifically, the developer proposes to install a meandering eleven and one-half foot wide trail though the development and to grade small pathways linkages to existing user trails on and off the site connecting to Alameda County Flood Control District (ACFCD)-owned land and ultimately to the regional Wally Wickander trail. Ultimately, HARD intends to widen and improve the existing user trail connections between the project site and the ACFCD owned land, thus improving connectivity as a separate long term project.
Environmental Review: An Initial Study evaluating the potential environmental impacts of this project was prepared in accordance with CEQA (Attachment IV). The Initial Study found that the proposed project would result in potential impacts in the areas of Biological Resources, Cultural Resources, Air Quality, Geology and Soils, Noise and Mandatory Findings of Significance, and contains mitigation measures reducing the identified impacts to a level of less than significant.
Following the release of the Initial Study/MND and through the development of conditions of approval for the project, staff identified more detailed information related to replacement of existing utilities within the vicinity of Ward Creek. Installation of such utilities and a construction-related impact to Ward Creek was disclosed in Impact BIO-2. Proposed Mitigation Measures BIO-2.1 through 2.3, in addition to standard regulatory processes would ensure the impact would be mitigated to a level of less than significant. Recirculation of an Initial Study/MND is not required when new information is added to the Negative Declaration which clarifies, amplifies or makes insignificant modifications to the proposed project (CEQA Guidelines Section 15073.5(c)(4)). See Attachment V, the First Amendment to the Initial Study/MND which contains clarifying statements related to the utility work.
Responses to the comments (see Attachments VII through IX) received on the Initial Study/MND are available in the Environmental Review Section of the Planning Commission staff report <https://hayward.legistar.com/LegislationDetail.aspx?ID=2565423&GUID=C13994F5-37E0-4F3A-9028-E204BE08CCD5> (starting on page 14 of 16).
ECONOMIC IMPACT
Development of the primarily vacant infill site will introduce new residents to the area who will contribute to the local economy. Clustering development on the site to retain the most environmentally sensitive areas adjacent to Ward Creek ensures that a portion of the site will remain open space and available for public views and enjoyment. In addition, the proposed development will provide additional housing stock in the Bay Area’s highly impacted housing market.
FISCAL IMPACT
According to the terms of the Purchase and Sale Agreement for the city-owned parcels, the developer would pay the City $180,000 per lot to develop sixteen lots on the city-owned portion of the site resulting in a total one-time payment of $2,880,000. As previously noted to Council, the funds will be deposited into the Street System Improvement Fund to fund future roadway projects.
According to a rough estimate based on the City of Hayward Fiscal Impact Model prepared by Applied Development Economics, Inc., the project would generate $211,248 of revenue annually (including property tax, sales tax, utility tax, franchise fees, among others); and approximately $208,962 in annual costs related to City services resulting in a net positive impact of $2,317 per year. Thus the introduction of new residents will also result in cascading fiscal benefits in dollars spent in the community that will be utilized by receiving merchants.
PUBLIC NOTICE
As indicated previously, a neighborhood meeting was held in March of 2014. Also, public testimony was received during the Planning Commission hearing in February, as indicated previously in this report.
On March 3, 2016, 123 notices of this public hearing and the Notice of Intent to Adopt a Mitigated Negative Declaration were sent to all residents and property owners within a 300-foot radius of the project site and to interested parties who requested to be notified about the project. In addition, notice of this public hearing was published in The Daily Review on March 5, 2016. At the time of this staff report finalization, no responses to the hearing notice had been received.
NEXT STEPS
Based on public testimony, information presented in this staff report, and other information received by Council members, if the Council approves the proposed project as recommended by the Planning Commission and based on required findings being made, the Ordinance approving the PD rezoning will return to the City Council for a second reading after which the applicant will submit a Precise Development Plan, Final Map and Improvement Plans. The Final Map is subject to City Council review and approval, after which construction permit applications will be processed and permits issued to ultimately allow for construction of the project.
With regard to the Purchase and Sale Agreement, the applicant will undertake inspections and other due diligence activities outlined in the approval process of the Purchase and Sale Agreement. Following completion of those activities, the applicant will provide written notice to the City and the land sale will conclude likely late summer or early fall of 2016.
Prepared by: Leigha Schmidt, AICP, Senior Planner
Staff contact
Recommended by: David Rizk, AICP, Development Services Director
end
Approved by:
Fran David, City Manager
Attachments:
Attachment I and I.a Draft Resolution and Conditions of Approval
Attachment I.a, Exhibit A Ward Creek Cottages Plans
Attachment I.a, Exhibit B Mitigation Monitoring Plan
Attachment II Draft Ordinance
Attachment III Area and Zoning Map
Attachment IV Initial Study & Mitigated Negative Declaration
Appendices <http://user.govoutreach.com/hayward/faq.php?cid=11037> available online.
Attachment V First Amendment to the Initial Study/MND
Attachment VI Draft Planning Commission Meeting Minutes, February 11, 2016
Attachment VII Caltrans Correspondence
Attachment VIII Candi Cross Correspondence
Attachment IX Sherman Lewis Correspondence