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HomeMy WebLinkAbout08.16.2021 Regular & PC Minutes @5:00MINUTES REGULAR MEETING OF THE y HOUSING STANDING COMMITTEE OF THE CITY COUNCIL AND 'IFOPLANNING COMMISSION CITY OF SOUTH SAN FRANCISCO P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, California 94083 MONDAY, AUGUST 16, 2021 5:00 p.m. Teleconference via Zoom Housing Standing Committee conducted this meeting in accordance with California Governor Newsom's Executive Orders N-25-20, N-29-20, N-08-21 and COVID-19 pandemic protocols. CALL TO ORDER 5:00 p.m. ROLL CALL Present: Mayor Addiego, Vice Mayor Nagales, Planning Commission Chair Evans, Vice Chair Shihadeh and Commissioner Faria. AGENDA REVIEW None. PUBLIC COMMENTS The following provided public comment: • Leslie Fong MATTERS FOR CONSIDERATION 1. Motion to approve the Minutes for the meeting of December 21, 2020. Motion — Planning Commission Vice Chair Shihadeh / Second — Vice Mayor Nagales to approve the Minutes from the meeting of December 21, 2020. Yes: Mayor Addiego, Vice Chair Shihadeh, Commissioner Faria, Vice Mayor Nagales. Chair Evans was having audio issues and did not vote on this item. 2. Report regarding the third amendment to the Purchase and Sale Agreement for the property located at 432 Baden Avenue. (Julie Barnard, Economic Development Coordinator) Coordinator Barnard recommended that the Housing Standing Committee (HSC) provide a City Council recommendation to adopt a resolution approving the third amendment to the Purchase and Sale Agreement which included 1.) Changing the developer from Baden Developments LLC to For the Future Housing, 2.) Modification of the project scope from market rate to a fully -affordable housing product with 36 Below Market Rate (BMR) units, 3.) Amend the timing for Close of Escrow, and 4.) The reduction in purchase price from $1,100,000 to a land donation. Victor Lo and Galen Ma, Baden Developments LLC thanked the HSC for the opportunity to speak. They provided a brief overview of the project and how they partnered with For the Future Housing to build the 36 units of affordable housing in South San Francisco. Jim Rendler, Vice President of For the Future Housing introduced himself and was excited about the potential opportunity to work on the project. He stated that For the Future Housing was a for profit developer based out of San Jose that primarily focused on affordable housing projects. Vice Mayor Nagales inquired how many of the 36 units were 30% Area Median Income (AMI). Mr. Rendler stated they were targeting about 10 units. Vice Mayor Nagales appreciated that the project was 100% affordable units. Mr. Rendler noted they would do income certifications on all the tenants and would be capped to where the tenants would not pay any more than 30% of their income. Planning Commissioner Faria asked staff whether the land transfer would occur until financing was secured. Coordinator Barnard stated typically staff would wait for developers to get all project financing, but because this project was a slightly different structure, once they secured acquisition financing that is when staff would expect to convey the property. Planning Commission Vice Chair Shihadeh queried whether someone low income and utilizing Section 8 would qualify for a unit. Mr. Rendler advised they would generally qualify depending on what their income level was. Vice Chair Shihadeh stated there was a great need of affordable housing for teachers and retirees and inquired where those types of residents fit on the equation. Deputy Director Selander stated that in past projects teachers in the South San Francisco Unified School District had been notified early to ensure they submit their application and enter the lottery. Mayor Addiego inquired about the status on affordable housing funds. Deputy Director Selander stated the latest funds were about $3 million that were uncommitted. Planning Commission Chair Evans inquired on the resources or services, if any, would be available on site for physically disabled tenants. Mr. Rendler advised that they generally would do resin services that were not targeted to one specific population type. He stated that they partner with organizations that specialize in those services with good success. The following provided public comment: • Leslie Fong 3. Study session for a Use Permit, Design Review, and Zoning Map Amendment to construct a Mixed -Use Development, consisting of 99 residential units, ground -floor parking and a 1,500 square foot restaurant at 421 Cypress Avenue, 209 & 213 Lux Avenue. (Stephanie Skangos, Associate Planner) JOINT HOUSING STANDING COMMITTEE MEETING AUGUST 16, 2021 MINUTES PAGE 2 Associate Planner Skangos and Check F. Tang from Studio T -SQ, provided a brief overview of the project and staff report and let the applicants provide a more in-depth description of the proposed project, including preliminary community benefits proposed and affordable housing. The project site consisted of three parcels with a corner parcel with frontages on Lux and Cypress Avenues and Tamarack Lane. The three parcels were developed with an existing restaurant (Bertolucci's), six residential units, and a surface parking lot, which would be demolished. The proposed building would contain six stories of residential units over a ground -floor parking garage and project amenities, including leasing offices. The parking garage would provide a total of 99 parking spaces, which would consist of 90 parking stalls in stackers and nine at -grade parking stalls, five of which would be ADA -compliant. A 1,500 square foot restaurant and plaza would also be located on the ground floor at the corner of Cypress and Lux Avenues. The upper levels would provide a total of 99 for -rent residential units, consisting of a mix of studio, one, and two-bedroom units, ranging in size from 560 square feet to 1,610 square feet. The entitlements request for the project included: • A zoning map amendment (rezone) for a portion of the site to a higher -density district; • Conditional Use Permit (for multi -family residential, use of the Downtown Station Area Specific Plan (DSASP) Increased Density Incentive Program, and a parking reduction); • Design Review; • Transportation Demand Management Plan; and • CEQA consistency with the DSASP Environmental Impact Report. The project's total required parking spaces was 112. The proposed parking spaces for the garage consisted of 99 spaces, so the parking reduction request was for a total of 13 parking spaces and the applicant would be required to submit a preliminary transportation demand management plan and parking demand study to City staff to analyze and review and make a determination for a recommendation on the parking reduction. Planning Commission Chair Evans requested confirmation that tenants would not be charged additional rent for their parking spaces. Mr. Tang stated that with one-to-one parking, they could unbundle the parking so tenants did not have to rent the parking spot if they did not need it. Chair Evans discouraged the unbundled parking stating units would no longer be below market rate after paying for the parking space. Planning Commissioner Faria liked the appearance of the building itself, and stated he looked forward to seeing how the project progressed through the process. Vice Mayor Nagales appreciated there were family friendly units with more than one bedroom especially in the downtown area. He suggested individuals living that lived in below market rate units should not be charged for parking. Mayor Addiego inquired how the project would look like if the zoning map amendment did not occur. Associate Planner Skangos stated that if they were to keep split zoning, one parcel would remain in the Downtown Residential Core (DRC) which would be subject to DRC standards. DRC development standards were slightly lower than the Downtown Transit Core (DTC). JOINT HOUSING STANDING COMMITTEE MEETING AUGUST 16, 2021 MINUTES PAGE 3 Mayor Addiego queried the number of units for the property at 213 Lux Avenue with current zoning designation. Associate Planner Skangos stated the property would contain 55 units with the current zoning designation. She advised that rezoning the parcel to DTC would increase the property by three to 58 units. Mr. Tang calculated approximately a 10 -unit reduction with the current zoning designation. Mayor Addiego stated zoning amendments created more value to the project and inquired what the city received as far as community benefits. Jennifer Renk, Sheppard Mullin stated that with the split zoning the building would have sort of a "Frankenstein-ish" look due to the difference in height and development standards. The rezone created the uniformity in terms of the design and the building footprint which then allowed them to have a better project for the city and provide additional affordable housing. PUBLIC COMMENTS: • Leslie Fong ADJOURNMENT Being no further business, the meeting was adjourned at 6:27 p.m. Submitted by: Gabriel Rodriguez, uty City Clerk City of South San Francisco Approved by: Mark Nagales, Mayor City of South San Francisco Approved by the Housing Standing Committee: 3 / Z \ / 2-OZZ JOINT HOUSING STANDING COMMITTEE MEETING AUGUST 16, 2021 MINUTES PAGE 4