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09. So. Vallco Main Street ProjectCITY OF City of Cupertino 10300 Torre Avenue Cupertino, CA 95014 (408) 777-321 C O P E RT I N© FAX (408) 777-3333 Community Development Department SUMMARY Agenda Item No. _~ Agenda Date: Tanuary 20, 2009 Application: U-2008-O1, ASA-2008-06, TM-2008-01, TR-2008-08 Applicant: Kevin Dare, Sand Hill Property Company Property Location: APN# s: 316-20-078, 079, and 085 -North of Stevens Creek Boulevard and south of Vallco Parkway between the Metropolitan mixed-use retail/condominium development and N. Tantau Avenue (Continued from Janzcar-y 12, 2009) Application Summary: 1. Master Use Permit -fora 17.4 acre mixed-use development within a P (CG, O, ML, Hotel, Res) Planned Development zoning district 2. Architectural and Site Approval -for the architecture of the individual buildings and overall site layout of the mixed-use development project 3. Tentative Map - to subdivide three parcels into five parcels 4. Tree Removal Request - to remove a total of 84 trees aired relocate 13 trees if Scheme A is chosen, or to remove 74 trees and relocate 8 trees if Scheme B is chosen RECOMMENDATION: The Plaruzing Commission recommends on a 5-O vote that the City Council: 1. Certify the Final Environmental Impact Report (EIR), including the Statement of Overriding Considerations and Mitigation Monitoring and Reporting Program; and 2. Approve the Master Use Permit, Architectural and Site Approval, Tentative Map and Tree Removal Permit, subject to the draft Planning Conunission resolutions. BACKGROUND: On January 12, 2009, the City Council reviewed the project and continued the item to January 20, 2009. The Council provided comments on the project and directed the applicant to provide additional information on the possible amenities that could be incorporated "unto the hotel and details of the green building measures that could be incorporated "unto the project for LEED certification. Additionally, the Council asked the applicant to provide preferences for the various retail options along Vallco Parkway, and explore alternatives for the narrowing of Vallco Parkway with street parking. s-~ Applications: U-2008-01, ASA-2008-06 Maul Street Cupertino January 20, 2009 TM-2008-O1 8z TR-2008-08 Page 2 The public input received at the hearuzg reiterated comments expressed at the previous December 16, 2008 City Council public hearing pertaining to the following issues: - Reduction of the park size - Retainment of the existing ash trees along the perimeter of the site - Retainment of the minimum 35-foot setback along Stevens Creek Boulevard - Preservation of the Aleppo pine tree - Request for the Council to address the availability of office square footage for the City - Need for a buffer space between the Metropolitan condominium site and the project site - Concern about the addition of a driveway adjacent to the proposed park along Stevens Creek Boulevard - Request fora covenant to ensure that the proposed housing remains as age- restricted housing for seniors- DISCUSSION The Council took straw votes and expressed support on the following elements of the project: - 145,000 square foot athletic club (Scheme A) or 36,000 square foot retail building (Alternate Option) on the corner of Stevens Creek Boulevard and N. Tantau Avenue as recommended by the Plaruzing Commission. The Coiulcil was not supportive of the 205,000 square foot, 3-story office complex (Scheme B) for the corner of Stevens Creek Boulevard and N. Tantau Avenue. - 100,000 square foot office (Scheme A) adjacent to the town square. - Senior housing, including the building size as proposed- - Square European parking plaza. - 5-story, 250 room hotel. - Parking garage size as recommended by the Planning Commission and proposed by the applicant- - Smaller .4 acre park as a buffer between the Metropolitan residents and the project site, with a short safety separation wall/fence between the park and the adjacent driveway. - Proposed interface between the senior housing building and the Metropolitan condomuziums as recommended by the Plaruzing Commission and proposed by the applicant. - Eco-passes for one year for senior residents of the project. - Green Building/LEED certification condition as recommended by the applicant, with the applicant providing additional details on the green building measures that can be incorporated into the project. The Council expressed the following comments and deferred the following items to be discussed during the January 20th Council meeting: s-2 Applications: U-2008-01, ASA-2008-06 Main Street Cupertino January 20, 2009 7TQ-2008-O1 8z "172-2008-08 Page 3 Vallco Parkway Retail Options The Council reviewed the following development options for the major retail proposals along the northwest corner of the project site along Vallco Parkway: Original Scheme A or B Alternate Option 1 Alternate Option 2 -- -__~__ ..... ~..z.,: -- ,_ '- t ~ a _ _. W110R ~ ~~ 4~~v+-. qy TENANT ~` _ ~~~ u ~ - ~ ~ \ AVJ04 3RQJ'J SF ~ •• R-~ HFTNS. I •. ~ ~ ~ ~; -J-. 60 0003G ~ / J- t _u,,._. F ~ '_ ,_ The following comments were expressed Uy the Council: - Some Council memUers expressed support for the Original Scheme A/B Uecause it does not Ureak up the pedestrian continuity along Vallco Parkway like the alternate options. - Some Council memUers expressed support for any of the options to allow for flexiUility due to the market conditions. - Some Council memUers also expressed support for the applicant's preference for Alternate Option 1. - Support for lining retail along Vallco Parkway to Finch Avenue to activate pedestrian coiznections along Vallco Parkway to Finch Avenue down to the town square. Parking Garage Conversion to Future Retail The following alternate option of ground floor parking garage conversion (loss of 43 parking spaces) to 9,000 square feet of retail shop area was presented to the Council: Existing Scheme A or B Alternate Option _ /.. / /~~ - ~ ~`~ - NEW RETAIL H~DOp SF ~ ~' - .. ~I I 'J ~ ~~t~ _. ... _~- .~ ' J R i ~- 9-3 Applications: U-2008-01, ASA-2008-06 Main Street Cupertino January 20, 2009 TM-2008-O1 8z TR-2008-OS Page 4 T'he following comments ~~ere provided by the Council: - Consider whether to incorporate future conversion of the ground floor of the parking garage to retail space. - Vallco Parkway should function as part of the downtown "main street" activated with more continuous retail commercial uses on the ground floor of the parking garage. - Continuous retail along Vallco Parkway would likely not work sitzce Apple offices, not retail, will be located along the north side of Vallco Parkway. - Mass of the parking garage is a concern_ - Consider the viewpoint/interface between the parking garage and the Apple buildings on the north side of Vallco Parkway. - Consider ground floor retail with housing (studios or one bedroom units) above along Vallco Parkway with the parkuzg garage moved behind (further south). - Retail activity should focus along Stevens Creek Boulevard and the town square since the retail attractiveness is visible along Stevens Creek Boulevard. General Plan Allocations The Council reviewed the following table of available development allocations in the South Vallco Park area and the proposed allocations needed for each of the development schemes: Available Allocation Scheme A Scheme B er the General Plan Conunercial 231,270 sf 127,789 sf (retail shops) 120,331 sf "98,800 sf (sports club) Total: 226,589 sf Additional retail shop area options gill require allocations from other centers in the City Office O 1PP,Or70 .f _O~,000 sf Hotel *"78 rooms 1 ~~.) roams ~~O rooms Residential 400 units 160 units 160 twits * A membership restriction of 9.000 is applied to the athletic club (equivalent to 98,800 sf of commercial use based on vehicle trip generation) *"686 rooms of the 764 are conitYtitted to Cupertino Square through a Development Agreement Note: Numbers i, rt~.~ exceed the General Plan available allocation T11e Council provided the following comments for further discussion: - Consider whether to require a General Plan Amendment or other other alternatives to allocate the 100,000 square feet of office square footage for the project. • Consider alternatives for office allocation, such as redistributing or loaning available office allocations from other geographic areas of the City to the project site, with a possibility of replenishing the office allocations in conjunction with the future authorized General Plan Amendment. 9-4 Applications: U-2008-01, ASA-2008-06 Main Street Cupertino TM-2008-O1 8z TR-2008-08 January 20, 2009 Pace 5 - Consider alternatives for the hotel allocation, such as loaning from commercial allocations (on a 1-to-1 basis) that could be replenished in conjunction with the future authorized General Plan Amendment. - The commercial allocation for the athletic club should not be discounted from 145,000 square feet to 98,800 square feet- Senior Housing/BMR Requirements The Council discussed the proposed senior housing building and expressed the following comments: - h1-lieu fees should not be considered to meet the BMR requirement (Condition No. 10) - Consider either meeting the BMR requirement of dedicating 15% of the units on site, or allowing the option to provide the BMR units at an alternative off- site location (requires an exception). - Consider large size senior units. • Support the proposed building size of the senior housing. - Require a housuZg covenant to ensure that housing remains for age-restricted seniors. Phasing The Council decided to defer discussion of the phasing of the project to the January 20ti, meeting. Condition No- 13 states the proposed development phasing for the project. Elevations and Architectural Details The Council deferred discussion of this topic to the January 20t~, meeting. Concerns were expressed about the massing of the parking garage and the architectural design of the hotel. Vallco Park~vay Narrowing;/Parking The Council asked the Public Works Department to review alternatives for narrowing Vallco Parkway with diagonal street parking options. The applicant has submitted alternatives for the Council to consider (See ExhiUit A). The Public Works Department will discuss responses to these proposed alternatives at the January 20th meetuzg. At the January 12th meeting, the Council expressed the following additional comments- - Support on-street parking along Vallco Parkway. • No support for on-street parking along Vallco Parkway. - Support narrowing of Vallco Parkway to activate it as a downtown "maul street." • Concern about narrowing Vallco Parkway- - Vallco Parkway should function as a downtown "main street" with gateway arch entries arulouncing "Welcome to Main Street Cupertino" over the street. - Gateway entries should also be proposed at Vallco Parkway and N- Tantau Avenue and Stevens Creek Boulevard and N. Tantau Avenue. s-s Applications: U-2008-01, ASA-2008-06 Main Street Cupertino TM-2008-O1 8z T'I2-2008-08 January 20, 2009 Pace 6 Additional Clarifications and Comments The Council also provided additional comments and requests for clarification on the following: - Provide additional details on the senior housing. - Provide additional amenities that could be incorporated into the hotel, such as a banquet hall or conference center. - Consider expanding the park size in consideration of the surrowzding current and future housing as a "quality of life" issue- - Provide details on the green building measures that can be incorporated into the project. Submitted by_ Aki Honda Snelling, Senior Planner Submitted by: Ap ved by- /~ Sao David W. app City Planner City Manager Attachments: Previous Attachments/Exhibits from January 12, 2009 City Council meeting Exhibit A: Vallco Parkway narrowed street alternatives s-s