| | | | | | | |  | New Business and Commission Requests - R9 F
COMMISSION MEMORANDUM |
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| | | | | | | | | TO: | Honorable Mayor and Members of the City Commission | | | FROM: | Jimmy L. Morales, City Manager | | | DATE: | May 13, 2020 | | | |
| | SUBJECT: | DISCUSS DEVELOPMENT AGREEMENT - INTERNATIONAL INN AT 2301 NORMANDY DRIVE. |
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| | | | | | | | RECOMMENDATION
| | The administration recommends that the City Commission discuss the outstanding issues related to the draft Development Agreement and provide policy direction for first reading at a future meeting. |
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| | | | | | | | BACKGROUND/HISTORY
| On July 25, 2018, at the request of Commissioner Ricky Arriola, the City Commission referred a discussion item to the Land Use and Development Committee (LUDC) pertaining to the proposed designation of the International Inn at 2301 Normandy Drive (item C4K). On September 28, 2018 the LUDC deferred the item to October 31, 2018; the item was then deferred to February 20, 2019. At the February 20, 2019 meeting, the item was deferred to the April 3, 2019 meeting. At the April 3, 2019 meeting, the Committee deferred the discussion to the May 22, 2019 meeting. At the May 22, 2019 meeting, the item was deferred to the June 12, 2019 meeting.
On June 12, 2019, the LUDC discussed the item and continued it to a date certain of July 24, 2019. Additionally, the LUDC reviewed drafts of a proposed development agreement and City Code, Comprehensive Plan, and LDR amendments. The LUDC also heard testimony from representatives of the Police Department regarding activity at the site and calls for service and requested that the property owner meet with the Police Department to address the ongoing issues at the property. Additionally, the LUDC recommended that the proposed amendments to the LDRs be further studied, particularly as it pertains to required parking, as well as outdoor entertainment and outdoor bars.
On July 24, 2019, the item was discussed and the LUDC recommended that the subject LDR, City Code, and Comprehensive Plan Amendments be referred to the Planning Board, with the following modifications:
1. Create a mechanism to permit outdoor ambient entertainment.
2. In lieu of waiving minimum parking requirements expand the area that can accommodate off-site storage of vehicles.
Additionally, the LUDC recommended that the City Commission:
1. Consider a draft development agreement at First Reading on September 11, 2019.
2. Refer the applicable LDR, City Code, and Comprehensive Plan Amendments to the Planning Board.
On September 11, 2019, the City Commission consider the proposed Development Agreement at first reading (item R7D). After a lengthy discussion, and based upon concerns pertaining to the operation of the existing hotel, the City Commission deferred action on the Development Agreement for six months.
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| | | | | | | | ANALYSIS
| HISTORIC PRESERVATION BOARD ACTION
On May 9, 2017, the Historic Preservation Board (HPB) adopted a motion requesting that the Planning Department prepare a preliminary evaluation and recommendation report relative to the possible designation of the property located at 2301 Normandy Drive as a local historic site (“Preliminary Designation Report”). On October 10, 2017, the HPB reviewed the Preliminary Designation Report, and directed staff to prepare a formal Designation Report for the International Inn historic site.
Pursuant to Section 118-591 of the City Code, on October 12, 2017 the City Commission was advised of the action of the HPB via LTC 488-2017. No action was taken by the City Commission to modify the proposed designation; therefore, the request for designation moved forward as proposed by the Board.
On June 11, 2018, the HPB continued the proposed historic designation to a date certain of July 10, 2018, at the request of the property owner. On July 10, 2018, the HPB continued the proposed historic designation to a date certain of September 17, 2018. On September 17, 2018, the Planning Department presented the Formal Designation Report for the proposed International Inn Historic Site, and the HPB continued the matter to a date certain of January 8, 2019.
On January 8, 2019, the Planning Department presented supplemental information regarding the public interior of the proposed International Inn Historic Site, and the HPB continued the review of the Historic Designation Report to a date certain of March 11, 2019. On March 11, 2019, the HPB discussed the application and continued the matter to the June 10, 2019 meeting.
On June 10, 2019, the HPB recommended in favor of the proposed designation. This recommendation of the HPB in favor of historic site designation does not, on its own, result in the designation of the property as an historic site. Subsequent to the recommendation of the HPB, an application for an ordinance amendment designating the International Inn as an historic site will now be submitted to the Planning Board for review and a recommendation to the City Commission. Once this designation ordinance is transmitted to the City Commission, two separate readings will be required before the Commission. The designation of the property as an historic site would only become final after City Commission approval on second reading of the proposed historic site designation.
Please note that the proposed designation of the subject property as an historic site is separate and apart from the City Code, Comprehensive Plan, and LDR amendments proposed in the development agreement, and may proceed on its own, separate track. However, as proposed by the property owner, the proposed City Code, Comprehensive Plan, and LDR amendments would be scheduled for Planning Board review and adoption by the City Commission prior to consideration of the designation by the Planning Board and City Commission.
PLANNING AND LEGAL ANALYSIS
As noted above, the HPB has recommended that the designation of the historic site move forward. The property owner has studied redevelopment options for the subject site and previously submitted a draft development agreement for review by the City Attorney.
The draft development agreement includes a proposal for certain amendments to the City Code (Chapter 6), the Comprehensive Plan, and the Land Development Regulations. These proposed amendments would be included in a separate referral to the Planning Board. The following is a brief summary of the requested amendments (the “Proposed Amendments”):
1. Allowing for hotel as a main permitted use with accessory uses, for properties within the RM-1 zoning district located north of Normandy Drive that have a lot area greater than 30,000 square feet and are designated as local historic sites. Currently hotels are a prohibited use in the RM-1 zoning district.
2. Increase in allowable building height from 55’-0” to 80’-0”.
3. A relaxation of the minimum distance requirements for providing required parking off site.
4. The elimination of required distance separation for establishments selling or offering alcoholic beverages for consumption on premises.
5. Allowing accessory alcoholic beverage establishments as an accessory to a hotel, as well as creating a provision for ambient outdoor entertainment performances.
Attached, for reference, are the 3 draft ordinance referrals that were considered by the City Commission on September 11, 2019.
Pursuant to the draft development agreement, if the proposed amendments are adopted, the property owner would agree to voluntarily consent to and support the designation of the International Inn as an individual local historic site. From a sequencing standpoint, as requested by the property owner, the draft development agreement specifies that the proposed amendments would be adopted by the City Commission prior to the adoption of the historic designation ordinance.
As indicated at the September 11, 2029 meeting, in discussions with Tsay International, Inc., the property owner, the following terms have been agreed to:
1. Increase the radius to one (1) mile for any off-site parking provided outside City limits;
2. Shorten the term of the Development Agreement from 30 years to 20 years;
3. Confirm that the Property would be assigned as to the land development regulations in effect as of the date of the Development Agreement (including the Proposed Amendments, if adopted);
4. Revise the proposed Comprehensive Plan amendment to conform to terms used in the City Code, relative to permitted uses.
UPDATE
The following is an update of applicable Code Compliance and Police Department activity at the subject site since the September 11, 2019 City Commission meeting:
• All previous Code Compliance and Building Department violations have been closed. Currently there are no active City Code or Building violation.
• There were 4 calls for service reported by the Police Department from October 26 – December 26, 2019. See attached chart referencing the specific calls.
Additionally, the property owner obtained a building permit for a new fence at the front of the property on February 19, 2020 (BC2012860).
The following issues remain outstanding:
1. Outdoor and open-air ambient entertainment
The Administration recommends requiring that outdoor ambient entertainment be subject to:
a. Conditional use approval from the Planning Board.
b. The hours for outdoor ambient entertainment be limited from 10:00 a.m. - 10:00 p.m.
Currently, this type of outdoor performance is not allowed anywhere in the City without a conditional use permit (“CUP”). Planning Board review of a CUP is the most effective enforcement mechanism for outdoor ambient entertainment. This is even more important as the subject property is within an RM-1 district and surrounded by RM-1 properties.
The Owner is requesting that outdoor entertainment and open-air entertainment be listed as permitted uses and does not agree to the City’s proposed hours of operation.
2. Stand-alone and outdoor bars
The Administration recommends that any bar on the property be permitted ONLY as an accessory use to a restaurant, and that the hours of operation for any accessory outdoor bar counter be limited to the hours of operation for the associated restaurant. Under the terms of the City’s draft, a restaurant with an accessory indoor bar counter would not require a CUP, unless the occupant load exceeds 300 persons. However, an accessory outdoor bar counter (as part of a restaurant) would require a CUP.
The Owner is requesting that a stand-alone bar counter be permitted as an accessory use to the hotel.
3. Distance separation from religious institutions
If the City Commission agrees to allow a stand-alone bar counter as a permitted use, the Owner is requesting that the bar counter be exempt from distance separation requirements from houses of worship. The City’s current draft includes an exemption to the distance separation requirements from schools, but not from houses of worship.
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| | | | | | | | CONCLUSION
| The administration recommends that the subject Development Agreement be brought back to the City Commission for first reading on April 22, 2020. It is further recommended that the Development Agreement be amended as follows:
1. Outdoor ambient entertainment shall be subject to:
a. Conditional use approval from the Planning Board.
b. The hours for outdoor ambient entertainment be limited from 10:00 a.m. - 10:00 p.m.
2. All bar counters on the property shall be subject to the following:
a. All bar counters on the property shall be permitted only as an accessory use to a restaurant.
b. The hours of operation for any accessory outdoor bar counter shall be limited to the hours of operation for the associated restaurant.
c. The service of alcoholic beverages shall cease no later than 12:00 midnight, Sunday through Thursday and 1:00 am on Friday and Saturdays. |
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| | | | | | | | Applicable Area
| | North 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 Ricky Arriola |
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