Loading...
HomeMy WebLinkAbout11 PARKLAND IN-LIEU FEE WAIVER REQUEST-INTRACORPDocuSign Envelope ID: D991 E165-F97E-49A4-82C3-64B73530AC06 *fir Q 4 - AGENDA REPORT MEETING DATE: TO: FROM: SUBJECT: SUMMARY: FEBRUARY 6, 2024 NICOLE BERNARD, ACTING CITY MANAGER COMMUNITY DEVELOPMENT DEPARTMENT Agenda Item 11 Reviewed: DS �tB City Manager Finance Director N/A PARKLAND IN -LIEU FEE WAIVER REQUEST — INTRACORP On January 17, 2023, the City Council approved a General Plan Amendment, Zone Change, Design Review, Density Bonus, Subdivision Map and Development Agreement (DA) for Intracorp to construct 40 new residential condominiums on a 2.07-acre parcel at 17802 and 17842 Irvine Boulevard. Two (2) of the 40 units will be set aside for affordable housing for Very Low -Income households. On January 10, 2024, Intracorp submitted a request for a waiver of the two (2) Very Low -Income units from park in -lieu fees. APPLICANT: Emilie Simard Intracorp Socal-1, LLC. 895 Dove Street, Suite 400 Newport Beach, CA 92660 LOCATION: 17802 AND 17842 Irvine Boulevard RECOMMENDATION: That the City Council adopt Resolution No. 24-11 approving the waiver of park in -lieu fees for the two (2) Very Low-income units. aRfelli!I►yiIUF_[o6 The proposal would result in the loss of $53,405.80 of park in -lieu fees to the City. CORRELATION TO THE STRATEGIC PLAN: The request furthers the objectives of the following Strategic Plan goal: • Goal A — Economic and Neighborhood Development #15: Create affordable and workforce housing options. DocuSign Envelope ID: D991 E165-F97E-49A4-82C3-64B73530AC06 City Council Report February 6, 2024 Intracorp Park Fees Page 2 PROJECT APPROVAL AUTHORITY: Tustin City Code Section 9331.d.1.c. authorizes the City Council to waive parkland dedication in -lieu fees upon submission and agreement for projects designed and guaranteed for low income, senior and handicapped occupants. DISCUSSION: Background On January 17, 2023, the City Council approved a General Plan Amendment, Zone Change, Design Review, Density Bonus, Subdivision Map and Development Agreement (DA) for the construction of 40 new residential condominiums on a 2.07-acre parcel at 17802 and 17842 Irvine Boulevard. Two (2) of the 40 units will be set aside for affordable housing for Very Low - Income households. To implement the Conservation/Open Space/Recreation Element of the General Plan, Tustin City Code (TCC) Section 9331 d requires a subdivider (the developer) to dedicate land or pay in -lieu fees for the purpose of developing new or rehabilitating existing parks to serve the subdivision. TCC Section 9331 d2 requires three (3) acres of useable parkland per 1,000 project residents be devoted to local park and recreational purposes. Therefore, based on the proposed project density, the developer is required to dedicate 11,674 square feet of park land or pay fees in -lieu of dedication. Pursuant to the Tustin City Code, the amount of the parkland in -lieu fees is based on the value of the land at the time the final map is to be recorded. As such, an appraisal was prepared by the Company that was approved by the City. The appraised value was determined at $9 million (approximately $4.35 million per acre or $29,130.43 per dwelling unit). However, at the request by Intracorp for a reduction of the fees, the value was adjusted to the purchase price at $8.25 million since the property was recently purchased ($3.98 million per acre or $26,702.90 per dwelling unit). Waiver of Parkland Fees In -Lieu of Dedication Tustin City Code (TCC) Section 9331.d.1.c. authorizes the City Council to waive parkland dedication fees upon submission and agreement for projects designed and guaranteed for low income, senior and handicapped occupants. The approved project includes the provision of two (2) affordable housing units for Very Low -Income households. If approved by the City Council, a waiver of $53,405.80 would be deducted from the total parkland fees in lieu of dedication. CONCLUSION: The project is currently under construction with a grand opening for the model homes scheduled on February 24, 2024. While there are a few outstanding housing agreement items DocuSign Envelope ID: D991E165-F97E-49A4-82C3-64B73530AC06 City Council Report February 6, 2024 Intracorp Park Fees Page 3 that are still being considered, the project has progressed rapidly and the City was able to accommodate the developer's timeline. The project would set aside two (2) units for affordable housing for Very Low -Income households. A waiver of parkland in -lieu fees for the two (2) affordable units would be consistent with the City goals to facilitate and assist in the creation of affordable and workforce housing options for its residents. Staff is recommending that the City Council approve the waiver of parkland in -lieu fees in the amount of $53,405.80 for the two (2) affordable units as authorized by the Tustin City Code. DocuSigned by: (Ju i r� a d . In';Q e _041. ED45DA2623B54A5... Justina Willkom Community Development Director E pocuSignedby:ea DASE41 E0391941C... Chad C. Clanton Director of Parks and Recreation DocuSign Envelope ID: D991 E165-F97E-49A4-82C3-64B73530AC06 RESOLUTION NO. 24-11 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN APPROVING A WAIVER OF PARKLAND IN -LIEU FEES FOR TWO (2) AFFORDABLE HOUSING UNITS LOCATED AT 17802 AND 17842 IRVINE BOULEVARD The City Council of the City of Tustin does hereby resolve as follows: The City Council finds and determines as follows: A. That a proper request has been submitted by Emilie Simard, Project Manager for Intracorp SW, LLC., for a waiver of fees for parkland in -lieu of dedication for two (2) affordable housing units in conjunction with The Jessup project located on 17802 and 17842 Irvine Boulevard. B. That the subject property is zoned Multiple -Family Residential (R-3) and is designated as High Density Residential (HDR) by the Tustin General Plan and allows for the development of high density residential development with a wide range of living accommodations including single-family units, multiple -family dwellings such as, apartments, condominiums, townhomes, cooperatives, and community apartments. C. That project was approved by the City Council on January 17, 2023, following the recommendation by the Planning Commission. D. That the project is a housing development project consisting of 40 condominium units on an approximately 2.07-acre site. The project also includes two (2) affordable housing units for Very Low -Income households. E. Tustin City Code Section 9331.d.1.c. authorizes the City Council to waive fees for parkland in -lieu of dedication fees upon submission and agreement for projects designed and guaranteed for low income, senior and handicapped occupants. F. That a meeting was duly called, noticed and held on the request on February 6, 2024, by the City Council. G. That the request is consistent with the General Plan Housing Element Goal 1 in that the project would facilitate the provision of an adequate supply of housing to meet the need for a variety of housing types and the diverse socio- economic needs of all community residents and supports State Housing Law as implemented by the Regional Housing Needs Assessment (RHNA). The project provides for thirty-eight (38) market -rate for sale units and two (2) affordable units. H. That the proposed request is consistent with the following General Plan Land Use goals and policies: Resolution 24-11 Page 1 of 3 DocuSign Envelope ID: D991E165-F97E-49A4-82C3-64B73530AC06 a. Goal 1: Provide for a well-balanced land use pattern that accommodates existing and future needs for housing, commercial and industrial land, open space and community facilities and services, while maintaining a healthy, diversified economy adequate to provide future City services. b. Policy 1.11: Where feasible, increase the amount and network of public and private open space and recreational facilities which will be adequate in size and location to be usable for active or passive recreation as well as for visual relief. That the City Council finds that this request is not subject to the California Environmental Quality Act (CEQA) pursuant to California Code of Regulations, Title 14, Chapter 3, Sections 15060 (c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) because it has no potential for resulting in physical change to the environment, directly or indirectly. II. That the City Council does hereby approve the waiver of $53,405.80 in parkland fees in -lieu of dedication for two (2) affordable units located within The Jessup 40-unit condominium project located at 17802 and 17842 Irvine Boulevard. PASSED AND ADOPTED by the City Council of the City of Tustin at a regular meeting on the 6t" day of February 2024. AUSTIN LUMBARD, MAYOR ERICA N. YASUDA, CITY CLERK APPROVED AS TO FORM: DocuSigned by: DAVi&Eff3 7KENDIG, City Attorney Resolution 24-11 Page 2 of 3 DocuSign Envelope ID: D991 E165-F97E-49A4-82C3-64B73530AC06 STATE OF CALIFORNIA ) COUNTY OF ORANGE ) SS CITY OF TUSTIN ) I, Erica N. Yasuda, City Clerk and ex-officio Clerk of the City Council of the City of Tustin, California, do hereby certify that the whole number of the members of the City Council of the City of Tustin is 5; and that the above and foregoing Resolution No. 24-11 was duly passed, and adopted at a regular meeting of the City Council held on the 6t" day of February 2024, by the following vote: COUNCILMEMBER AYES: COUNCILMEMBER NOES: COUNCILMEMBER ABSTAINED: COUNCILMEMBER ABSENT: COUNCILMEMBER RECUSED: ERICA N. YASUDA, City Clerk Resolution 24-11 Page 3 of 3