2011091906 - Resolution for Surplus Property - 375 Knowles Dr.DATE:
TO:
FROM:
MEETING DATE: 9/19/11
ITEM NO:
COUNCIL AGENDA REPORT
September 15, 2011
MAYOR AND TOWN COUNCIL
GREG LARSON, TOWN MANAGER
SUBJECT: ADOPT A RESOLUTION AFFIRMING GENERAL PLAN DESIGNATION AND
ZONING OF SANTA CLARA COUNTY SURPLUS PROPERTY AT 375 KNOWLES
DRIVE, APN 406-28-032
RECOMMENDATION:
Adopt a resolution affirming General Plan Designation and zoning of Santa Clara County surplus
property at 375 Knowles Drive, APN 406-28-032 (Attachment 1).
BACKGROUND:
On November 9, 2004 the County of Santa Clara issued a notice of a property sale or long term lease
opportunity for a 3.3 acre portion of a 5.1 acre parcel (APN 406-28-032) on Knowles Drive in Los
Gatos. Pursuant to Council direction, in January 2005 the Town responded with a letter of interest in
purchasing the County's surplus property. In February 2005, the County issued a proposal
postponement.
In early 2010, Town staff met with County representatives to discuss the status of the property on
Knowles. At that time, staff was notified that the County Courthouse facilities occupying the remaining
1.8 portion of the 5.1 acre parcel had been consolidated and relocated to a new location in downtown
San Jose. As a result, the County declared that portion of the site as surplus and will initiate the sale or
long tell]] lease of the entire 5.1 acre parcel in the near future (Attachment 2).
Pursuant to Government Code, the County is required to first notify local agencies within the
jurisdiction in which the property is located and because the Town issued a formal letter of intent with
the last proposal submission request in 2004, the County requested a reconfirming letter from the Town
regarding its interest in the sale or long term lease of the entire 5.1 acre parcel. Town staff issued a
PREPARED BY: Jessica von Borck, Economic Vitality Manager
Reviewed by: (S Assistant Town Manage]. Town Attorney Finance
N:\MGR\AdminWorkFiles\2011 Council Reports\9-19-11 Knowles Use Confinnatin TC report.doc
PAGE 2
MAYOR AND TOWN COUNCIL
SUBJECT: ADOPT A RESOLUTION AFFIRMING THE GENERAL PLAN DESIGNATION AND
ZONING OF SANTA CLARA COUNTY SURPLUS PROPERTY AT 375 KNOWLES
DRIVE, APN 406-28-032.
September 19, 2011
letter expressing the Town's interest in working with the County toward the potential acquisition of the
surplus property, but requesting six months to work internally with Council and staff toward establishing
direction on the potential acquisition of property (Attachment 3),
In July 2011, the Town submitted a letter withdrawing interest in the purchase of the surplus property
(Attachment 4). Shortly following receipt of that letter, the County Board of Supervisors voted to move
forward with issuing a Request for Proposal (RFP) for the site.
DISCUSSION:
The County's goals are to sell the property quickly and for the greatest profit in order to meet their own
budget challenges. Recently, County representatives informed Town staff that the housing community
has expressed a strong interest in the site. However, housing is not a permitted use for this site based on
the current zoning (0 — Office) without either a rezoning or a conditional use permit, both of which are
discretionary activities of the council requiring extensive analysis and review. This site is also identified
in the pending General Plan Housing Element update as a potential affordable housing overlay zone to
be determined in 2012.
Due to the location of the subject site and its close proximity to El Camino Hospital, there is potential
for the site to redevelop under the current General Plan designation and zoning classification as office
and/or medical uses. Such development would complement and enhance the area's current land use
mix. The proposed resolution would provide clear direction on permitted uses to potential developers
and interested parties.
ENVIRONMENTAL ASSESSMENT:
Is not a project defined under CEQA, and no further action is required.
FISCAL IMPACT:
There is no direct fiscal impact to the Town to adopt a resolution confirming permitted and preferred
uses for a project site.
Attachments:
1. Resolution affirming General Plan Designation and zoning of Santa Clara County surplus
property at 375 Knowles Drive
2. Map of project site
3. Letter issued to County in December 2010
4. Letter issued to County in July 2011
RESOLUTION
RESOLUTION AFFIRMING THE GENERAL PLAN DESIGNATION AND ZONING OF
SANTA CLARA COUNTY SURPLUS PROPERTY AT 375 KNOWLES DRIVE, APN 406-28-032.
WHEREAS, the General Plan designation for the subj ect property is Public/Quasi-Public and permitted
uses include: schools, libraries, police and fire stations, faith communities, and hospitals; and
WHEREAS, the subject property is zoned 0-office and permitted uses include: offices, administrative,
professional, medical, dental and optical laboratories associated with a professional use, real estate, insurance,
stocks and bonds; and other similar office characterized by absence of retail sales; and
WHEREAS, in 2010 the Town Council approved a General Plan update that identified the site as a
potential affordable housing opportunity; and
WHEREAS, any proposed housing proj ect that did not meet the Town's affordable housing overlay zone
requirements, would not be a permitted use;
RESOLVED, by the Town Council of the Town of Los Gatos, County of Santa Clara, State of California,
that the Town of Los Gatos does hereby confinin permitted and preferred uses for future development of Santa
Clara County surplus property at 375 Knowles Drive:
PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los Gatos,
California, held on the day of , 2011 by the following vote:
COUNCIL MEMBERS:
AYES:
NAYS:
ABSENT:
ABSTAIN:
ATTEST: /s/
CLERK OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
SIGNED: /s/
MAYOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
ATTACHMENT 1
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ATTACHMENT 2
TOWN OF Los GATOS
CTvxC CENTER
110 E. MAIN STREET
PD. Box 949
Los GATOS, CA 95031
December 10, 2010
Mr. Bruce Knopf
Asset and Economic Development Director
70 West Hedding Street
San Jose, CA 95110
Dear Mr. Knopf:
This letter will serve to express the Town of Los Gatos' interest in working with the County toward the
potential acquisition of the County's surplus property near the intersection of Knowles and Capri
Drives in Los Gatos. More specifically, the Town has interest in Parcels 1-3 totaling approximately
5.2 acres as indicated in the County's Plat of Description (attached).
While a specific use has not been fully defined, the Town's current priority is to explore the viability of
a mixed use project including affordable housing, office, and civic uses. The property is zoned for
offices uses whereby public facilities are permitted with a conditional use permit. Last month the
Town Council approved a General Plan update that identified the site as an affordable housing
opportunity which would farther support potential mixed use development on the site.
Town staff will be moving forward to discuss this opportunity with Council. We are asking for
approximately six months to work internally with staff and Council toward establishing direction on
potentially acquiring this property.
If you have any questions or need clarification, please feel free to contact project staff, Wendie
Rooney, Community Development Director at 408-354-6874 or Jessica von Borck, Economic Vitality
Manager at 408-399-5790.
Sincerely,
Greg Larson
Town Manager
cc: Pamela Jacobs, Assistant Town Manager
Wendie Rooney, Community Development Director
Jessica von Borck, Economic Vitality Manager
Sandy Bally, Planning Manager
Town Council Members
INCORPORATED AUGUST 10,1887
ATTACHMENT 3 =`�
THIS PAGE
INTENTIONALLY
LEFT BLANK
TOWN OF Los GATOS
OFFICE OF THE TOWN MANAGER
(408) 354-6832
FAX: (408) 399-5786
July 27, 2011
Mr. Bruce Knopf
Asset and Economic Development Director
70 West Hedding Street
San Jose, CA 95110
RE: Knowles Drive and Capri Drive
Dear Mr. Knopf:
Civic CEqiliR
110 E. Main STREET
P.O.Box 949
LOS GATOS, CA 95031
This letter will serve to withdraw the Town of Los Gatos' interest in acquisition of the County's surplus
property near the intersection of Knowles and Capri Drives in Los Gatos. More specifically, the Town
withdraws interest in Parcels 1-3 totaling approximately 5.2 acres as indicated in the County's Plat of
Description (attached).
As the County evaluates proposals for this site, please bear in mind that the Town's General Plan and
Zoning designations are Public and Office, respectively. Changes to those designations are legislative
acts entirely within the purview of the Town Council and will be scrutinized very carefully.
Last year, the Town Council approved a General Plan update that identified the site as an affordable
housing opportunity. An affordable housing overlay district would need to be established, which is more
than a year away. Therefore, any purchase of the site should not be predicated on affordable housing, as
entitlement -based disposition cannot be quickly addressed by the Town.
If you have any questions or need further clarification, please feel free to contact project staff Jessica von
Borck, Economic Vitality Manager at 408-399-5790, or Wendie Rooney, Community Development
Director, at 408-354-6874.
Sincerely,
GREG LARSON
Town Manager
cc: Town Council
Pamela Jacobs, Assistant Town Manager
Wendie Rooney, Community Development Director
Sandy Baily, Planning Manager, Community Development
Jessica von Borck, Economic Vitality Manager
ATTACHMENT 4
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