BACKGROUND
Representatives of the Seagull Hotel (the “Applicant”), located at 100 21st Street, on the south side of 21st Street and along the oceanfront, are proposing a major renovation of the existing, contributing building, in order to accommodate a new hotel operator. As part of this renovation effort, the Applicant has proposed the following:

1. Amendments to the Land Development Regulations (LDRs) pertaining to the development of the site, including height requirements.

 
2. The vacation of the southern half of the 21st Street right-of-way (ROW) along the front of the Seagull hotel property. The effect of the vacation would be to enlarge the overall size of the development site by creating a unified development site, and therefore permit the aggregation of additional floor area (FAR), consistent with Section 1.03(c) of the City Charter and Section 118-5 of the City Code. As a condition of the proposed vacation, the Applicant would grant a perpetual, non-revocable easement to the City, for the City’s continued use of the ROW, so that roadway access and circulation would not be affected. The proposed vacation is pending before the FERC.

PLANNING ANALYSIS
The following is a summary of the issues pertaining to the proposal:

1.  LDR Amendments:
The Administration has met with the Applicant regarding the attached draft amendments to the LDRs, which would apply to development on the site. The following summarizes current regulations as well as the amendments proposed by the Applicant:

Section 142-246(d)
Oceanfront lots located within the Architectural District are currently permitted to construct ground level additions that exceed 50 feet in height, provided the addition does not exceed the height of the existing building and is not attached to the front, street side, or oceanfront elevations.

The proposed amendment will allow properties with no frontage on Collins Avenue to construct ground level additions at a height not to exceed the height of the existing contributing building, plus the height of any rooftop addition approved by the Historic Preservation Board, not to exceed 120 feet. Additionally, the addition can be attached to the oceanfront elevation, subject to the review and approval of the HPB.

The remainder of the amendments to this subsection are non-substantive, including clean-up edits to delete obsolete provisions specific to previous projects that never materialized. These include regulations that would have applied to the previous Seagull Hotel project and the previous South Seas project (which is now part of the Raleigh/Richmond/South Seas project).

Section 142-1161(d)
Rooftop additions are currently prohibited on oceanfront properties located within the Architectural District.

The proposed amendment will allow for the construction of rooftop additions on oceanfront properties located within the Architectural District, with no frontage on Collins Avenue, in a manner that is consistent with allowable rooftop additions within the Collins Waterfront and Morris Lapidus/Mid-20th Century historic districts, subject to the review and approval by the HPB.

2.  Vacation of 21st Street:
The proposed vacation of the southern half of the 21st Street ROW, along the front of the Seagull Hotel property, is currently pending before the Finance and Economic Resiliency Committee (FERC). The proposed vacation, including all associated appraisals and proposed public benefits, is subject to the review of the FERC pursuant to Chapter 82 of the City Code.

In addition to a monetary proffer, the Applicant has proposed granting the City a 25-foot wide perpetual roadway and pedestrian access easement across the vacated City ROW.

3.  City Charter Analysis
The City Attorney’s Office is currently evaluating the applicability of City Charter Section 1.03, governing the disposition of City property, as to the proposed vacation of the 21st Street ROW. Ultimately, the City Attorney will provide a detailed analysis of any potential City Charter issues to the FERC, which has jurisdiction over the vacation.

SUMMARY/UPDATE
The Applicant has worked closely with staff in developing the attached LDR amendments, which the Administration is supportive of. The proposed vacation, including the corresponding appraisals and proposed public benefits, is pending before the FERC. Staff recommends that the attached LDR amendments be transmitted to the full City Commission for consideration, as a referral to the Planning Board.  The LUSC may wish to provide a recommendation as to the sequencing of the LDR amendments and the proposed ROW vacation.

As with other transactions involving a transfer of City property, the Administration recommends that the proposed vacation and LDR amendments be considered concurrently (i.e. that they “travel together”).