| | | | | | | |  | Ordinances - R5 I
COMMISSION MEMORANDUM |
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| | | | | | | | | TO: | Honorable Mayor and Members of the City Commission | | | FROM: | Alina T. Hudak, City Manager | | | DATE: | March 27, 2023 | | | | First Reading
| | SUBJECT: | VOTER ENACTED INCENTIVE FOR REPLACING TRANSIENT USES IN R-PS4 DISTRICT - COMPREHENSIVE PLAN AMENDMENT
AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING THE CITY OF MIAMI BEACH YEAR 2040 COMPREHENSIVE PLAN, PURSUANT TO THE EXPEDITED STATE REVIEW PROCESS OF SECTION 163.3184(3), FLORIDA STATUTES, BY AMENDING THE "RESILIENT LAND USE & DEVELOPMENT ELEMENT," GOAL RLU 1, ENTITLED "LAND USE," OBJECTIVE RLU 1.1, ENTITLED "ESTABLISHMENT OF FUTURE LAND USE CATEGORIES," AT TABLE RLU 1.1 AND POLICY 1.1.25, ENTITLED "HIGH DENSITY RESIDENTIAL PERFORMANCE STANDARD (R-PS-4)," BY CREATING VOLUNTARY DEVELOPMENT INCENTIVES, INCLUDING AN INCREASE TO THE MAXIMUM ALLOWABLE FLOOR AREA RA TIO ("FAR"), NOT TO EXCEED 0.75 FAR, FOR THE REDEVELOPMENT OF HOTELS, IN THE R-PS-4 FUTURE LAND USE CATEGORY, INTO RESIDENTIAL USE, SUBJECT TO THE PROPERTY OWNER FIRST RECORDING A COVENANT PROHIBITING SHORT-TERM RENTALS ON THE PROPERTY; AND PROVIDING FOR CODIFICATION, REPEALER, SEVERABILITY, TRANSMITTAL AND AN EFFECTIVE DATE. |
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| | | | | | | | RECOMMENDATION
| | The Administration recommends that the City Commission approve the subject ordinance at First Reading and schedule a Second Reading public hearing for April 28, 2023. |
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| | | | | | | | BACKGROUND/HISTORY
| On July 20, 2022, at the request of Commissioner Alex Fernandez, the City Commission adopted Resolution 2022-32255, placing a ballot question regarding a floor area ratio (FAR) incentive to convert existing hotels into residential use in the R-PS4 district on the November 8, 2022, general election ballot (Item R7 U). On November 8, 2022, the ballot measure was approved by 65.66% of the voters.
On December 14, 2022, at the request of Commissioner Alex Fernandez, the City Commission referred the proposed ordinances to the Planning Board (Item C4 Y). |
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| | | | | | | | ANALYSIS
| The purpose of the attached legislation is to incentivize the redevelopment of hotels within the RPS-4 zoning district, such as the Marriott Stanton, located at 161 Ocean Drive, into residential properties. The replacement of a hotel with residential uses would reduce the impact of transient hotel uses in the South of Fifth neighborhood.
The proposed Comprehensive Plan amendment, and corresponding LDR amendment, would allow existing hotel properties with a future land use designation of RPS-4 that voluntarily convert to a residential use to have a maximum intensity, or FAR, of 2.75, where currently the maximum intensity (FAR) under the comprehensive plan is 2.0. The main use of the building would be required to remain residential with allowable accessory uses in perpetuity.
The RPS-4 land use designation includes those properties south of Fifth Street, east of Ocean Drive, as well as the Continuum property (see attached zoning and future land use maps). The subject ordinance applies to properties with a main use of hotel as of January 1, 2022, subject to the property owner’s strict compliance with the following conditions:
1. The main use on the property shall be converted to residential and shall remain residential in perpetuity; hostel, hotel, apartment-hotel, and suite-hotel use shall be prohibited.
2. A new structure, consisting solely of main use residential and allowable accessory uses, may be constructed, in accordance with all applicable development regulations, with a maximum FAR of 2.75. Alternatively, the entire existing building may be converted to main-use residential and allowable accessory uses, including any repairs, alterations and modifications that may exceed the 50% rule, provided any alterations and modifications do not result in the building exceeding an FAR of 2.75.
3. A property shall only be eligible for the FAR incentive of 2.75 if the property owner elects, at the owner’s sole discretion, to voluntarily execute a restrictive covenant running with the land, in a form approved by the city attorney, affirming that, in perpetuity, none of the residential units on the property shall be leased or rented for a period of less than six months and one day.
4. There shall be no variances from these provisions.
In addition to the Marriott Stanton, there are two other properties that have hotels in the R-PS4 district that could potentially take advantage of this FAR incentive, which are the Hilton Bentley Miami/South Beach located at 101 Ocean Drive and the Savoy Hotel & Beach Club located at 425 Ocean Drive (see attached aerial map). Additional information would be needed to verify that the current main use of these properties is for hotel use to determine their eligibility. To date, these properties have not expressed any interest in utilizing this incentive.
Additionally, section 142-696 (h) of the LDR’s limits the residential density within R-PS4 zoning district within the Ocean Beach Historic District to 60 units per acre if a property owner seeks to utilize an existing height incentive that is applicable on lots that are over 100 feet in width in the Ocean Beach Historic District. This incentive provides a height limit of 60 feet for the first 60 feet of lot depth and 100 feet thereafter. Without this incentive, the maximum building height is limited to 35 feet for the first 60 feet of lot depth and 75 feet thereafter. Any future proposal to convert a hotel to residential, and apply the intensity (FAR) incentives in the subject ordinance, would likely want to utilize the height incentives and, therefore, be subject to the 60 units per acre density limitation. In the case of the Marriott Stanton, the redevelopment of the site would transform the 226-room hotel to a residential structure of no more than 93 units, which equates to a 58% decrease in the number of units provided on that site.
As noted in the attached concurrency analysis, given the limited area covered by the proposal, the proposed increase in FAR is not expected to have a negative impact on transportation and mobility. In this regard, there is only a potential increase of 22 vehicle trips, due to the mixed-use nature of the area and existing access to public transportation and alternative transportation modes. The proposal does not modify the maximum residential density for the site; as such levels of service specific to residential population are not impacted. However, prior to the submittal of any building permits, a full concurrency review will be required to determine the actual impact and mitigation requirements of any proposed development.
CITY CHARTER ANALYSIS
The proposal to modify the maximum FAR is affected by Section 1.03(c) of the City Charter, which partially states the following:
The floor area ratio of any property or street end within the City of Miami Beach shall not be increased by zoning, transfer, or any other means from its current zone floor area ratio as it exists on the date of adoption of this Charter Amendment (November 7, 2001), including any limitations on floor area ratios which are in effect by virtue of development agreements through the full term of such agreements, unless such increase in zone floor area ratio for any such property shall first be approved by a vote of the electors of the City of Miami Beach.
The proposed ordinance would increase the zoned FAR for the affected parcels. As a result, the following question was submitted to the electors of the City of Miami Beach:
RPS4 District—South of Fifth Street
FAR Incentive to Convert Existing Hotels into Residential Use
City Charter requires voter approval before increasing a property’s floor area ratio (“FAR”) (City’s method of regulating building size).
The RPS4 district lies within the South of Fifth Neighborhood, which is predominantly residential.
Shall City increase maximum FAR from 2.0 to 2.75 in RPS4 District as an incentive for the conversion of existing hotel properties into residential use, if the property owner records a covenant prohibiting short-term rentals on the property?
On November 8, 2022, the ballot measure was approved by 65.66% of the voters. Therefore, the proposed ordinances can be considered for adoption by the City Commission.
COMPREHENSIVE PLANNING REVIEW PROCESS
The proposal requires an amendment to the Comprehensive Plan. Under Section 163.3184(2), Florida Statutes, this amendment shall follow the expedited state review process for adoption of comprehensive plan amendments. This process requires a public hearing by the local planning agency (Planning Board), a public transmittal hearing before the City Commission, after which the amendment must be transmitted to several state agencies for a 30-day review period, and a final adoption public hearing before the City Commission. The amendment is effective 31 days after it is adopted if there are no appeals.
PLANNING BOARD REVIEW
On February 28, 2023, the Planning Board held a public hearing and transmitted the proposed ordinance to the City Commission with a favorable recommendation (7-0).
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| | | | | | | | SUPPORTING SURVEY DATA
| | N/A |
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| | | | | | | | FINANCIAL INFORMATION
| | No fiscal impact is expected. |
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| | | | | | | | CONCLUSION
| | The Administration recommends that the City Commission approve the subject ordinance at First Reading and schedule a Second Reading public hearing for April 28, 2023. |
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| | | | | | | | Applicable Area
| | South Beach |
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| | | | | | | | | Is this a "Residents Right to Know" item, pursuant to City Code Section 2-14? | | Does this item utilize G.O. Bond Funds? | | | Yes | | No | |
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| | | | | | | | Legislative Tracking
Planning |
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| | | | | | | | Sponsor
Commissioner Alex Fernandez |
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