DATE: March 24, 2016
TO: Planning Commission
FROM: Planning Manager
SUBJECT
Title
Proposed Conversion of a Single-Room Occupancy Facility to an Apartment Building in the Green Shutter Hotel building located at Main and B Streets, requiring approval of a Conditional Use Permit to allow residential units on the ground floor in the Central City Plaza (CC-P) and Central City Commercial (CC-C) Zoning Districts. Trent Kloppenburg, Structure Properties (Applicant/Owner).
Recommendation
RECOMMENDATION
That the Planning Commission finds that the proposed project is categorically exempt from environmental review in accordance with the California Environmental Quality Act (CEQA) Guidelines, Section 15301, Existing Facilities and Section 15331, Historical Resource Restoration/Rehabilitation; and, approves the project subject to the Findings herein and attached Conditions of Approval (Attachment II).
Body
SUMMARY
The project proposes to convert existing commercial storage space at the rear of the building to create six residential studio apartment units and to convert the existing second floor single-room occupancy hotel to market-rate studio and one-bedroom apartments. In addition, the exterior of the building, which is a registered Historic Landmark, will be repaired/rehabilitated in accordance with the Secretary of the Interior’s Standards for the Treatment of Historic Properties.
The project is supported by staff because the conversion of the single-room occupancy hotel to market-rate apartments and the comprehensive renovation of building will contribute toward the revitalization and economic vitality of the Downtown and overall efforts to support the Guiding Principle #5 of the General Plan, which states, “The City will support the development of Downtown housing to create new opportunities for people to live in a safe, mixed-use, walkable, and transit-oriented urban neighborhood.” Furthermore, the proposed ground floor residential units are consistent with the Zoning and General Plan designations which allows ground floor residential with the approval of a conditional use permit and will provide rental housing units in the Downtown without compromising the commercial/retail storefronts of the historic building.
BACKGROUND
The subject property was listed on the National Registry of Historic Places in 2004. According to the National Registry, the original section of the Green Shutter Hotel, located on the southeast corner of Main and B Streets, was constructed in 1920 and included ground floor retail and second floor offices. The addition of the hotel to the south, along Main Street, was constructed in 1926, at which time the existing offices were converted to residential apartments. Following World War II, the hotel slowly morphed into a single-room occupancy hotel (SRO), however, the ground floor retail remained in-tact, which is how it remains today. According to City records and the National Registry, there were 85 SRO “units” on the second floor of the building as late as 2004. However, due to unpermitted modifications made to the interior of the building over the years following its listing, it is unclear how many such units currently exist.
In the early 1990’s, mandatory seismic upgrades were completed on the building, with additional seismic retrofitting occurring in 2000. A comprehensive facade renovation was completed in 2002. Since that time, the residential component of the building has suffered from years of neglect and unpermitted modifications. In addition to numerous Code Enforcement violations, the Hayward Police Department has had to respond to many calls in Downtown related to the SRO facility and its occupants.
Zoning/General Plan - The proposed project site is located in the Central-City Plaza (CC-P) and Central-City Commercial (CC-C) Zoning Districts in which ground floor residential units are permitted, subject to a Conditional Use Permit. Residential uses above ground floor commercial are allowed by-right as a primary use.
The proposed project site has a City Center Retail and Office Commercial (CC-ROC) General Plan land use designation where “typical building types include storefront commercial buildings and mixed-use buildings that contain commercial uses on the ground floor and residential units or office space on upper floors.”. Further, as discussed later in this report, specific General Plan policies support the development of housing units in the Downtown, close to transit and services.
Minimum Design and Performance Standards - Because the Green Shutter Hotel is listed on the National Registry of Historic Places, any modifications to the exterior building must comply with the US Secretary of the Interior’s Standard for the Treatment of Historic Properties. As proposed, the modifications to the structure are limited to regular maintenance, repairs and rehabilitation consistent with the Secretary of the Interior’s Standards. The applicant has provided a written determination by an Architectural Historian to support this determination (Attachment III).
DISCUSSION AND STAFF ANALYSIS
Proposed Project - The proposed project requires approval of a Conditional Use Permit to convert 5,220 square feet of existing commercial storage space at the rear of the building into six studio apartments. Also proposed is the conversion of the existing SRO units on the second floor to 32 studio apartments and 3 one-bedroom apartments; voluntary seismic upgrades; and rehabilitation and repair to the exterior of the building in accordance with the Secretary of the Interior’s Standards for the Treatment of Historic Properties. The retail/commercial space located on the ground floor of the building along B and Main Streets will remain in-tact. The proposed apartments would be managed by an on-site manager.
The targeted demographic for the new apartment units are young professionals and students, which would bring new life to the Downtown by increasing pedestrian activity and generating more demand on the surrounding retail businesses and restaurants.
Floor Plan - The ground floor units, which will be located at the rear (northeast) of the building along an existing 15-foot wide walkway, are comprised of single-floor studio apartments and two studio loft units. Although not required for a historic building, the four single-floor studio apartment will be Americans with Disabilities Act (ADA) accessible. An existing public walkway located on the southeast side of the building connects an existing private walkway/alleyway behind the building to Main Street and will provide access to Main Street for the new ground floor units. A new fence and gate will be installed along the walkway to separate the public walkway from the private walkway and to provide a secure entry for the residents.
Each unit will have wood laminate flooring in the main living space. The bathrooms will have ceramic tile flooring and will be finished with ceramic tile wainscot. The kitchens will include a gas range and ceramic tile back-splash. Each unit will be individually heated and air-conditioned by an energy efficient split system heating pump. Additionally, energy efficient LED light fixtures will be installed throughout the building.
Building Improvements - Improvements to the building will occur as part of the overall rehabilitation of the building, including voluntary seismic strengthening, new water, gas, fire sprinkler, electrical, telephone and cable television services. In addition, a new fire alarm and security system will be installed.
Renovation to the exterior of the building will include the restoration of windows, window shutters, and exterior wall finishes. Additionally, storefront windows and awnings will be repaired and cleaned along Main and B Streets and minor window and door modifications are proposed along the rear and east side elevations at the ground floor. All replacement and repairs completed as part of the building restoration will be completed in accordance with the Secretary of the Interior’s Standards for the Treatment of Historic Properties.
Parking - The project site is located in the Central Parking District and does not have any off-street parking. Pursuant to Section 10-2.411 of the City’s Off Street Parking Regulations, “An increase in the number of dwelling units within an existing building or the conversion of non-residential use to residential within the Central Parking District shall not require providing parking spaces.” Therefore, no off-street parking is required for the proposed conversion of ground floor commercial storage space to residential units. Although not required, the project includes secure bicycle parking spaces on-site for its residents. Furthermore, the project is located within the boundaries of the residential parking permit program that is currently being established by the City for the Downtown. This will allow residents in the Downtown to purchase a permit to utilize the existing Municipal Lots. The site is located in close proximity to Municipal Lots #1, #2 and #3, which contain a total of 332 parking spaces, and the Cinema Place parking garage, which contains 240 spaces and also benefits from street parking along both Main and B Streets
The project site is located within 0.4 miles from BART and AC Transit hub, which includes bus stops for multiple AC Transit bus lines, including one Transbay line, and the Grey Hound Bus Station. Additionally, the project site is located within one block or less from eight AC Transit bus line stops.
Open Space - Residential uses within the Central City-Commercial (CC-C) District are required to provide a minimum of 100 square feet of usable open space per dwelling unit, 30 square feet of which must be group open space. Based on the proposed unit count of 41 units, a total of 4,100 square feet of open space is required, 1,230 square feet of which must be group open space. However, the approving body has the authority to waive the open space requirement for projects such as this that consists of the remodeling of existing dwelling unit(s) or the conversion of an existing building to a residential use.
Each of the six proposed ground floor units includes a private front patio with an average size of approximately 120 square feet each. Each patio will be enclosed with a 3’-9” high fence and an entry gate. Additionally, eleven of the units on the second floor will have private decks, several of which will be created through the utilization of existing light wells in the building, and a 3,470 square foot roof deck will be constructed as common open space. The common roof deck area will be completely screened from Main and B Streets by the existing roof parapet. The total proposed group and private open space is 5,566 square feet, which exceeds the minimum required.
Storage - Each unit will have a secure, enclosed storage closet within the building. The storage closets will be located in storage rooms on the ground floor and in designated areas on the second floor. Additionally, a bicycle storage room and trash room will also be provided on the ground floor.
Conditional Use Permit Findings - To approve the Conditional Use Permit for ground floor residential units, the following findings must be made. Staff’s affirmative responses to those findings are stated below.
A. The proposed use is desirable for the public convenience or welfare in that the rehabilitation of a historic building and conversion of the existing single-room occupancy hotel to studio and one-bedroom apartments will provide safe, affordable residential units in the Downtown within walking distance to a variety of services, such as restaurants, entertainment, retail and public transit. The new tenants, who are anticipated to be comprised of young professionals and college students, will contribute to the economic vitality of the Downtown.
B. The proposed use will not impair the character and integrity of the zoning district and surrounding area in that the introduction of new residential units in the Downtown will bring more visitors to the Downtown businesses and more pedestrian activity on the streets; the proposed residential units will be located within an existing building; and the exterior renovation of the historic Green Shutter Hotel, which is a highly recognized historic landmark, will contribute to the revitalization of Downtown Hayward.
C. The proposed use will not be detrimental to the public health, safety, or general welfare in that the proposed ground floor residential units will be located within underutilized space within existing mixed-use building and will not impact the existing commercial/retail storefronts along B and Main Streets. The proposed conversion of the existing single-room occupancy hotel to market rate studio and one-bedroom apartments will provide safe, convenient and affordable rental units in the Downtown, eliminate blight, and improve the overall public health, safety and general welfare in Downtown Hayward. The project will also provide secure bicycle parking for the tenants where none was previously provided. Additionally, the proposed residential units will replace an existing building where there are utilities with adequate capacity to serve the conversion of the single-room occupancy facility to an apartment building. Therefore, there and will be no impact on sewer and water capacity.
D. The proposed use is in harmony with applicable City policies and the intent and purpose of the zoning district involved in that ground floor residential units in the Downtown, as proposed, are conditionally permitted uses in the Central City-Commercial District; such a use is identified as an appropriate primary and supporting use for Central City Retail and Office Commercial General Plan land use designation; the project is consistent with General Plan Guiding Principle #5 which states the City will support the development of Downtown housing to create new opportunities for people to live in a safe, mixed-use, walkable, and transit-oriented urban neighborhood; and the proposed project is consistent with the following General Plan Policies:
LU-1.4 Revitalization and Redevelopment
The City shall encourage property owners to revitalize or redevelop abandoned, obsolete, or underutilized properties to accommodate growth.
LU-1.5 Transit-Oriented Development
The City shall support high-density transit-oriented development within the city’s Priority Development Areas to improve transit ridership and to reduce automobile use, traffic congestion, and greenhouse gas emissions.
LU-1.6 Mixed-Use Neighborhoods
The City shall encourage the integration of a variety of compatible land uses into new and established neighborhoods to provide residents with convenient access to goods, services, parks and recreation, and other community amenities.
LU-2.5 Downtown Housing
The City shall encourage the development of a variety of urban housing opportunities, including housing units above ground floor retail and office uses, in the Downtown to:
• Increase market support for businesses,
• Extend the hours of activity,
• Encourage workforce housing for a diverse range of families and households,
• Create housing opportunities for college students and faculty, and
• Promote lifestyles that are less dependent on automobiles.
LU-2.6 Downtown BART Station
The City shall encourage a mix of commercial, office, high-density residential and mixed-use development in the area surrounding the Downtown BART Station.
LU-8.1 Value of Historic Preservation
The City shall recognize the value and co-benefits of local historic preservation, including job creation, economic development, increased property values, and heritage tourism.
LU-8.5 Flexible Land Use Standards
The City shall maintain flexible land use standards to allow the adaptive reuse of historic buildings with a variety of economically viable uses, while minimizing impacts to the historic value and character of sites and structures.
H-3.4 Residential Uses Close to Services
The City shall encourage development of residential uses close to employment, recreational facilities, schools, neighborhood commercial areas, and transportation routes.
H-3.9 Adaptive Reuse
The City shall support innovative strategies for the adaptive reuse of residential, commercial, and industrial buildings to provide for a variety of housing types and residential uses.
ENVIRONMENTAL REVIEW
It has been determined that the project is categorically exempt from environmental review in accordance with the California Environmental Quality Act (CEQA) Guidelines, Section 15301, Existing Facilities, and Section 15331, Historical Resource Restoration/Rehabilitation, in that the proposed project would involve conversion of existing single-room occupancy units to studio and one-bedroom apartments and rehabilitation of the exterior of the building in accordance with the Secretary of the Interior’s Standards for the Treatment of Historic Properties.
PUBLIC OUTREACH
An Official Notice of receipt of the use permit application was sent on October 27, 2015, to property owners, businesses and tenants within a 300 foot radius of the proposed project site. Staff received several inquiries from retail/commercial tenants from the building and neighboring property owners, all of which responded positively. On December 28, 2015, staff received an inquiry from Lucinda M. Woodward from the California Office of Historic Preservation seeking information on the proposed scope of work to follow up on public complaint received by her office related to the proposed project. Additionally, one comment letter was received requesting that the stained glass windows, which were one of the original elements in the building that have been destroyed, in the interior of the building be replaced/replicated. However, in accordance with the determination of the Architectural Historian (Attachment III), the interior work is not protected under the Secretary of the Interior’s Standards (Attachment IV).
On March 14, 2016, a Notice of Public Hearing for the Planning Commission meeting was mailed to every property owner and occupants within 300 feet of the subject site, as noted on the latest assessor’s records, and to interested parties. At the time this report was written, staff had not received any correspondence related to this notice.
NEXT STEPS
The Planning Commission decision begins a 10-day appeal period of the Commission’s action to the City Council (or call-up to Council by a Council member), which would expire at 5:00 p.m. on April 4, 2016. If approved and there is no appeal filed within that time period, the applicant may proceed with building permits and responding to and incorporating the project conditions of approval. If denied and no appeal is filed, the decision of the Planning Commission would be final.
Staff contact
Prepared by: Linda Ajello, AICP, Senior Planner
Approved by:
Sara Buizer, AICP, Planning Manager
David Rizk, AICP
Development Services Director
end
Attachments:
Attachment I Area and Zoning Map
Attachment II Conditions of Approval
Attachment III Architectural Historian Determination
Attachment IV Project Plans
Attachment V Public Comments