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06-16-04 Minutes - GPCTOWN OF LOS GATOS 110 East Main Street, Los Gatos, CA 95030 (408) 354-6872 --------------------------------------------------------------------------------------------------------------------- ----- SUMMARY OF A SPECIAL MEETING OF THE GENERAL PLAN COMMITTEE OF THE TOWN OF LOS GATOS, JUNE 16, 2004 HELD IN THE TOWN COUNCIL CHAMBERS, CIVIC CENTER, 110 EAST MAIN STREET, LOS GATOS, CALIFORNIA. --------------------------------------------------------------------------------------------------------------------- ----- The meeting was not called to order due to a lack of a quorum. Public input was taken but no action was taken by the Committee. ATTENDANCE Members present: Diane McNutt, Morris Trevithick, Mark Sgarlato Members absent: Josh Bacigalupi, Phil Micciche, Mark Weiner, Mike Burke, Steve Glickman, Barry Bakken Staff present: Bud Lortz, Director of Community Development; Randy Tsuda, Assistant Director of Community Development; Larry Cannon, Consulting Architect Auto Dealers present: Dave Moeller, South Bay Honda; John Moore, Moore Buick, Pontiac, GMC Truck; Bruce Swanson, Swanson Ford; Mark Maxwell, Los Gatos Acura VERBAL COMMUNICATIONS Bud Lortz noted a quorum of committee was not present. Bud Lortz provided background on the Commercial Design Guidelines. The Guidelines are intended to implement the Town’s General Plan, to define specific design standards for commercial areas and to retain and enhance auto dealerships. The Committee is seeking to understand the needs and issues of auto dealers in order to include standards in the Design Guidelines that specifically address their requirements. John Moore explained that all car manufacturers have standard design and image programs for its dealers. They give strong financial incentives to encourage dealers to implement the standard designs. The manufacturers will also penalize dealers that fail to implement the standards. Mark Maxwell said Acura rewards dealers with a 60-day extra supply of vehicles if dealers remodel their facilities to match the corporate design standards. This equates to 60 extra cars and in turn raises the dealer’s base car allocation going forward. He noted that the Town would obtain additional sales tax if Los Gatos Acura, or any dealer, were able to remodel in a manner consistent with corporate standard designs. In the past, it hasn’t been worth the time, difficulty, and expense to remodel his dealership. He pointed out that hundreds of other communities have approved the Acura prototype. Diane McNutt explained that the Design Guidelines can help the dealers with the Town’s review process by better defining requirements and finding a balance between the dealers and residents. Mark Maxwell stated that Acura wants a unique appearance for its dealerships. The Penske Group (United Auto Group) has purchased Los Gatos Acura. Penske will need to remodel and expand the facility or will leave Los Gatos. Larry Cannon asked if the manufacturers have standard designs. John Moore stated that each manufacturer has standards. The three most important elements are display area, storage, and low landscaping to ensure visibility. Lighting is extremely important as well. Dave Moeller said Honda’s standards specify the size of the facility, storage areas, and service stalls in addition to the appearance of the building. General Plan Committee Regular Meeting of June 16, 2004 Page 3 of 4 Bruce Swanson pointed-out that Ford requires adherence to their design and dealership standards. Ford has the right to remove a dealer’s Ford signage for non-compliance. He commented that Frontier Ford has received additional allocations while Swanson Ford has not been allocated any new Ford 500s or 2005 Mustangs. Morris Trevithick asked if it is possible to see the standard designs. John Moore stated he will provide a copy. The dealers stated that the trees on Los Gatos Boulevard are a constant issue. Mark Maxwell stated that two large Eucalyptus trees block visibility to his dealership. Visibility of the display areas and signs are essential. Diane McNutt asked if there is anything good or bad about the design of Los Gatos Boulevard from a dealer’s perspective. Are pedestrians on the Boulevard beneficial; do car shoppers walk from dealer to dealer? Bruce Swanson reiterated the need for visibility and that street trees can be a problem. In addition, shoppers do not walk between dealerships beca use the lots are too far from each other and buyers need their cars to determine trade-in value. Larry Cannon asked if there are any benefits for a dealer to be in Los Gatos. John Moore answered that the benefit is Los Gatos has an upscale ambiance General Plan Committee Regular Meeting of June 16, 2004 Page 4 of 4 and that car buyers in this marketplace are very affluent. The negatives are a smaller market area and the cost of land. Larry Cannon displayed some examples of recently built dealerships in other communities. He pointed out that recent BMW dealerships have consistent architecture between the showroom and service areas. The entire facility is integrated architecturally. Bruce Swanson noted that most new dealership have roof-top parking or a parking deck because of the cost of land. Mark Maxwell asked if the Town of Los Gatos would like the dealership to leave town. Bud Lortz replied this was not the case and that Council has directed that the Design Guidelines be prepared to assist auto dealers in remodeling their facilities. He stated that Guidelines will try to identify a balance between the dealerships and residents--one side does not trump the other. Bruce Swanson believes the Guidelines and the Town need to acknowledge that auto dealers must be easily identifiable as auto dealers—they cannot look like a shopping center or be screened with trees like, for example, the Cornerstone Shopping Center. Bud Lortz asked if on-site customer parking was important. The dealers stated it was not essential. Customers often park on the street. Mark Maxwell stated that visibility to signage is more important than on-site parking. General Plan Committee Regular Meeting of June 16, 2004 Page 5 of 4 Diane McNutt inquired why dealerships use promotional items such as balloons and flags. Bud Lortz distributed the sections of the Town Code pertaining to special event displays and signage. Bruce Swanson replied the balloons and flags attract attention and let customers know the dealership is open for business. Larry Cannon reviewed different means to landscape street frontages, including lawn, groundcover, and hedges. The dealers stated that hedges block visibility of their cars and lawn is often the easiest to maintain. In response to Diane McNutt’s question, the dealers agreed that lawn with accent areas providing seasonal color would be acceptable. Bruce Swanson discussed lighting of display lots. He noted that the Town’s lighting requirements can pose an issue as fixtures mounted at a low height increase the total quantity of fixtures required to adequately light the display lot. In response to a question from Bud Lortz, John Moore confirmed that elevated or angled car display platforms are desirable. He stated that the 15-foot setback is a good location to display cars. Cars can be parked in the setback area if it is landscaped with lawn. Diane McNutt asked if hanging baskets would be a feasible way to provide additional color and interest. Bruce Swanson was concerned the baskets could block visibility to the lot, signs, or showroom, similar to a tree. General Plan Committee Regular Meeting of June 16, 2004 Page 6 of 4 Diane McNutt noted the Town has installed banners along Los Gatos Boulevard and provides holiday lighting in the median and asked for feedback. John Moore felt that the banners no longer attract much attention but he liked the concept of holiday lighting. The other dealers agreed. Bruce Swanson hoped that the guidelines would clarify the setbacks and other requirements for areas that abut residential areas. Without standards, the neighbors provided inconsistent input when Swanson Ford tried to remodel their facility a few years ago. Bud Lortz confirmed that clarity of standards and expectations is one of the goals of the Commercial Design Guidelines. He assured that staff will keep the dealers informed as the Guidelines progress through the review process. He stressed that the Town does not want to protract the process of developing the Guidelines and appropriate reinvestment in property is good for the Town. Diane McNutt asked if it is possible for the Town to attract other auto dealers. Bruce Swanson stated many manufacturers do not allow new dealers to locate within a 10 mile radius of an existing dealer; however, an existing dealer can open another location within that radius. Dave Moeller suggested that Lexus is one possibility but they require a large parcel for a new dealership. Bud Lortz asked for input on the feasibility of accommodating car storage in an underground garage rather than a roof deck. In the case of General Plan Committee Regular Meeting of June 16, 2004 Page 7 of 4 remodeling an existing dealership, Bruce Swanson said it is not feasible to construct an underground garage as the disruption would force a temporary closure of the facility. In contrast, a dealership can remain open during construction of a new building and/or parking deck. Bud Lortz commented that the height of a rooftop parking deck could be an issue along with lighting. Bruce Swanson confirmed that the plate height for the repair facility is roughly 17-feet. ADJOURNMENT The meeting was adjourned at 6:50 p.m. by Vice Chair Mark Sgarlato. The next regular meeting of the General Plan Committee is scheduled for Wednesday, June 23, 2004 at 5:30 pm. Prepared By: _____________________________ Randy Tsuda, Assistant Director of Community Development. N:\DEV\SUZANNE\GENPLAN\GPC\2004minutes\GPC-6-16-04.1.wpd