Attachment 4 PC Staff Report 4-24-13TOWN OF LOS GATOS
PLANNING COMMISSION STAFF REPORT
Meeting Date: April 24, 2013
PREPARED BY:
APPLICATION NO.:
LOCATION:
APPLICANT/
CONTACT PERSON:
PROPERTY OWNER:
PROJECT SUMMARY:
RECOMMENDATION:
Joel Paulson, Principal Planner
ipaulson0,losgatosca. gov
Planned Development PD-12-001
Architecture and Site S-12-078
Environmental Impact Report EIR-12-003
ITEM NO: 1
The subject property is located at 90-160 Albright Way and 14600
Winchester Boulevard in the northern part of the Town of Los Gatos,
immediately east of Winchester Boulevard and south of the State
Route 85 freeway. APN's 424-31-053, 054, 063, 424-32-038, 045,
049, 054, 059, 060, 063.
John R. Shenk
LG Business Park LLC
Requesting approval to modify the existing Planned Development to.
allow for redevelopment of the existing site with up to 550,000 square
feet of new office/R&D buildings and approval to construct the
improvements represented in the Planned Development. An
Environmental Impact Report (EIR) has been prepared as required by
the California Environmental Quality Act (CEQA).
DEEMED COMPLETE: April 11, 2013
FINAL DATE TO TAKE ACTION:
a. Rezoning applications are legislative acts and are therefore not
governed by the Permit Streamlining Act.
b. Final action on the Architecture and Site application is required
within six months of the action on the rezoning application.
1. Forward a recommendation to Town Council for certification of
the EIR and adoption of the CEQA Findings of Fact and
Mitigation Monitoring and Reporting Program (MMRP).
2. Forward a recommendation to Town Council for approval of the
proposed Planned Development (PD).
3. Forward a recommendation to Town Council for approval of the
Architecture and Site application.
Planning Commission Staff Report - Page 2
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PROJECT DATA: General Plan Designation: Light Industrial
Zoning Designation: Controlled Manufacturing with a
Planned Development Overlay
(CM:PD)
Applicable Plans & Standards: General Plan, Common Design
Guidelines of the Commercial
Design Guidelines, Guidelines and
Standards for Land use Near Streams
21.6 acres
CEQA:
FINDINGS:
Parcel Size:
Surrounding Area:
North
Existing Land
Use
General Plan
Hwy 85
Office /
High Density
Residential
East
South
West
Low Density
Residential
Medium Density
Residential
Open Space
County Fire
Freeway
Interchange
Courtside
Residential
N/A
Neighborhood
Commercial
Low
Residential
Density
Zoning
N/A
CM:PD
R-1:8
Medium Density
Residential
Open Space
Light Industrial
N/A
RMH
CM
CM
NA
Medium Density CM:PD
Residential
Medium Density RM-
Residential 5:12:PD
An EIR and a Mitigation Monitoring and Reporting Program (MMRP)
have been prepared for the project in accordance with CEQA
regulations and consistent with an order of the Santa Clara County
Superior Court ruling in case No. 111-CV-209214.
• The Town Council must certify the EIR, make Findings of Fact
addressing the significant impacts of the project, and adopt the
MMRP.
• The Planning Commission must make the following findings:
1. That the zone change is consistent with the General Plan if
their recommendation is for approval.
Planning Commission Staff Report - Page 3
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2. As required by the Town's Traffic Policy for community
benefit.
3. As required by Section 29.20.09030(e) of the Town Code for
the demolition of commercial buildings.
4. That the project is consistent with the Common Design
guidelines of the Commercial Design Guidelines.
5. That the project is in substantial compliance with applicable
provisions of the Guidelines and Standards for Land Use Near
Streams.
6. That the Architecture and Site application is consistent with
the proposed Planned Development Ordinance.
CONSIDERATIONS: As required by Section 29.20.150 of the Town Code for Architecture
and Site applications.
ACTION:
EXHIBITS:
1. Forward a recommendation to the
EIR, CEQA Findings of Fact, and
2. Forward a recommendation to the
proposed zone change (PD applica
Forward a recommendation to the
Architecture and Site application.
Received under a separate cover
Town Council for action on the
MMRP.
Town Council for action on the
ation).
Town Council for action on the
1. Draft Environmental Impact Report
2. Final Environmental Impact Report Responses to Comments
3. Mitigation Monitoring and Reporting Program
Received with this report
4. Location Map (1 page)
5. Draft Findings of Fact for EIR (46 pages)
6. Required Findings for PD application (2 pages)
7. Required Findings for Architecture and Site application (2 pages)
8. Conditions of Approval for Architecture and Site application (27
pages)
9. Letter of Justification from the applicant (12 pages)
10. Reduced Intensity Alternative Feasibility Analysis from the
applicant (7 pages)
11. Additional Information provided by the applicant (3 pages)
12. Written Communications from the public (62 pages)
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13. Draft Planned Development Ordinance (56 pages), including zone
change map as Exhibit A (1 page), and Development Plans as
Exhibit B (19 pages), received April 15, 2013
14. Architecture and Site Plans (99 pages), received April 15, 2013
BACKGROUND:
In 1975, a Planned Development (PD) was approved for the subject site. The PD was modified in
1977 to make minor revisions to the original PD. An additional modification to the PD was
approved in 1993 to modify the permitted uses for the site. These current PD ordinances would
be replaced by the proposed PD ordinance, if approved by the Town Council.
The project site consists of ten developed parcels within the Los Gatos Business Park at the
intersection of Albright Way and Winchester Boulevard. Albright Way is a loop road providing
the principal access to the property; however, vehicular access to the project site is also available
via a driveway on Winchester Boulevard at the southwest corner of the site. The subject property
is developed with eight one-story and two two-story office/research and development (R&D)
buildings containing approximately 250,000 sq. ft. along with associated driveways, parking
areas, and landscaping. The buildings were constructed on the site in the 1970s and 1980s.
On May 11 and 31, 2011, the Planning Commission reviewed Mitigated Negative Declaration,
Mitigation Monitoring and Reporting Program, PD Ordinance and Development Agreement for a
previous proposal on the subject site. On May 31, 2011, the Commission recommended approval
of the previously proposed project to the Town Council with the following changes:
1. Building heights limited to fifty-five feet. (55 ft.);
2. Office/R&D land use approval only; no multi -family or senior housing.
On June 20, 2011, Council adopted Mitigated Negative Declaration ND-11-04 regarding the
environmental analysis of the proposed PD. On August 1, 2011, Council introduced an ordinance
approving PD Application PD-10-05, rezoning the property from CM:PD to CM:PD, introduced
an ordinance approving a Development Agreement, and adopted Resolution 2011-054 adopting
Mitigated Negative Declaration ND-11-04 regarding the environmental analysis of the PD. On
August 15, 2011, Council adopted Ordinance No. 2199, approving PD Application PD-10-05 and
Ordinance No. 2200, approving a Development Agreement. The Council's approval allowed for
up to 550,000 square feet of office/R&D buildings with a height up to eighty-five feet (85 ft.).
The approval also allowed for limited senior housing (up to 168 units on no more than seven acres
of the site) if required triggers for new office/R&D square footage and/or timing were met.
Planning Commission Staff Report - Page 5
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On August 24, 2011, the Planning Commission reviewed the Architecture and Site (A&S)
application and recommended approval to the Town Council. On September 16, 2011, Council
approved A&S application S-11-051, granting approval to demolish five existing commercial
buildings and construct two new office buildings.
Following the Council's approval, a lawsuit was filed challenging the Mitigated Negative
Declaration. The court determined that there was substantial evidence in the administrative
record supporting a fair argument that the project in question may have a significant impact on
the environment with respect to traffic and aesthetic issues, and that an Environmental Impact
Report (EIR) must be prepared. Additionally, the court ordered the Town to set aside and void
any and all project approvals and findings for the Albright Way development project. The Town
has prepared the required EIR.
PROJECT DESCRIPTION:
A. Project Summary
The proposed project is the development of up to 550,000 square feet of new office/R&D space
(including office -serving amenities), one parking garage, surface parking areas, new access
driveways, and new landscaping and open space. The proposed project would remove the ten
existing buildings totaling approximately 250,000 square feet of office/R&D space and allow the
construction of up to four new larger office/R&D buildings and one parking garage at full build
out. Project implementation would result in a net increase of approximately 300,000 square feet
of new office/R&D space. The Albright Way loop road would be eliminated to accommodate the
new buildings and new driveways would be constructed to provide access to the buildings as
well as to provide emergency vehicle access. The driveways would serve the parking lots and
new parking garage.
The applicant has submitted a Letter of Justification outlining the proposed project and
justification for the proposed project (Exhibit 9).
B. Location and Surrounding Neighborhood
The subject property is located at 90-160 Albright Way and 14600 Winchester Boulevard in the
northern part of the Town of Los Gatos, immediately east of Winchester Boulevard and south of
Highway 85 (Exhibit 4). Winchester Boulevard and a Union Pacific Railroad right-of-way bound
the project site on the west, while Highway 85 bounds the northern side of the property. The Los
Gatos Creek Trail, which separates the property from and runs along Los Gatos Creek, bounds
the property on the east, and the Charter Oaks residential neighborhood bounds the project site
on the south. The headquarter offices of the Santa Clara County Fire Department are adjacent to
the south side of the 14600 Winchester Boulevard office building, and adjoin the southwestern
site boundary.
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The site is within the Vasona Light Rail Area as defined in the General Plan. The site is also
near the future terminus of the Vasona Light Rail line and park and ride lot and current VTA bus
stops.
C. Planned Development and Architecture and Site Application
The project proposes a new PD overlay zone to replace the existing CM:PD (Controlled
Manufacturing, Planned Development) PD overlay zoning designation on the property. The new
PD overlay would allow the redevelopment of the site with expanded office/R&D space
(including office -serving amenities). The PD overlay zone is a specially tailored development
tool that designates site -specific zoning regulations consistent with the General Plan, sets
development standards for the site, and establishes site design guidance.
The proposed PD overlay would establish the following
• Pennitted uses:
o Office, including corporate, administrative, business, and professional offices,
but excluding medical and dental offices;
o Light manufacturing, light assembly, research and development, wholesaling,
warehousing, and other light industrial uses (including indoor storage of
materials and products);
o Office serving uses designed to primarily serve those employed at the site or
visiting the site for other business purposes, such as: recreational facilities;
conference and training facilities; restaurants, cafeterias, and other eating
establishments; health and wellness facilities; and ancillary uses such as on -site
banking, ATMs, private post offices, personal services (such as dry cleaning pick
up), and similar support uses. These office serving uses shall not be available to
the general public.; and
o No conditionally permitted uses are allowed.
• Maximum allowable square footage (550,000 sq. ft.) and number of buildings (four
office buildings and one parking garage);
• Maximum allowable height of structures (65 feet for office buildings and 49 feet for
the parking garage);
• Minimum property line setbacks (101 feet from West property line, 53 feet 5 inches
from North property line, 207 feet 7 inches from East property line to parking garage,
89 feet 8 inches from South property line to parking garage, 116 feet 8 inches from
East property line to Building 4, and 191 feet 3 inches from South property line to
Building 4);
• Minimum parking requirements (3.3 spaces per 1,000 square feet); and
• Maximum lot coverage (50%).
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The PD overlay zone is intended to ensure orderly planning and quality design that will be in
harmony with the existing or potential development of the surrounding neighborhood. The
development of the site would comply with the standards and guidelines established in the PD
overlay, as determined by the Town through the A&S approval process.
The PD overlay requires A&S approval, in conformance with the use and development standards
and design guidance in the PD Overlay, prior to construction of new buildings. The project
applicant has submitted an application for A&S approval for the entire project (Exhibit 14).
The buildings illustrated in the A&S application will create the opportunity for high quality,
Class -A office space on the site. The building architecture shown in the A&S application
includes a building design that incorporates different building materials and design features to
provide building depth and detail to the building facade. Proposed building materials include
colored masonry with clear glass and aluminum bay windows and metal sunshade accents along
the roof lines. Other building elements include aluminum clad columns along a recessed ground
floor and vertical accents that provide visual relief on the building surfaces. Class A office space
describes the highest quality office space, which is in limited supply in Los Gatos as illustrated
in a recent market study conducted for the North Forty. Class A office buildings are typically the
most prestigious, competing for premier companies as tenants.
The core and shell of all new office/R&D buildings are designed to meet the standards for
Leadership in Energy and Environmental Design (LEED) silver based on current LEED
standards.
If the proposal is approved, it would give the Town the ability to attract and retain corporate
headquarters type businesses. Overall, the Town only has 2.6% of its land zoned for
industrial/office R&D uses and continued preservation and careful planning of these areas is key
in maintaining the Town's ability to attract and retain corporate employers. This in turn supports
the Town's continued efforts to maintain fiscal sustainability by providing high quality job
opportunities.
The project was reviewed by the Town's Consulting Architect (Appendix S of Exhibit 2). The
Consulting Architect stated that:
The buildings are modern in their form, materials, and details. They are similar in character
to the Town's new Library and are, in my judgment, excellent in their design. They are lower
in height than originally proposed last year. The defining height element of the buildings will
be the projecting sunscreen canopy at the ceiling line of the top floor. At an elevation of
slightly less than 60 feet, they would be at or slightly lower than the office building heights at
the existing Netflix complex.
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Some of the elements which I believe have been very well developed in the building design
include:
A strong base expression around the building with recessed glazing;
A well-defined middle two floors;
An interesting and well articulate building top;
Strong design unity throughout the buildings combined with interesting variations to
provide a visual richness;
A good balance of one and two story tall elements integrated into the facades.
Variations in facade depth;
A good balance of solid walls, glazing, and metal accents;
Well designed and articulated building entries;
Integrated metal canopies to provide sun screening; and
Quality materials that are well suited to the architectural style and forms of the buildings.
The Consulting Architect also stated that the garage design seems appropriate to the design of
the buildings.
D. Zoning Compliance
The proposed development will be governed by the proposed PD Ordinance, which will stipulate
dimensional criteria, allowed uses, and performance standards.
The proposed development complies with the existing underlying Zoning with the following
exceptions, which are addressed by the proposed PD Ordinance:
a. The proposed PD would allow office buildings to be four stories. The maximum height of
the office buildings is 65 feet above finished floor, including all towers, spires, elevator
and mechanical penthouses, cupolas, wireless telecomrunication antennas, similar
structures and necessary mechanical appurtenances which are not used for human activity
or storage. The Town Code for the CM zone allows heights of 35 feet for buildings,
excluding all towers, spires, elevator and mechanical penthouses, cupolas, wireless
telecommunication antennas, similar structures and necessary mechanical appurtenances
which are not used for human activity or storage which may be taller.
b. The proposed PD would allow for one parking structure. The maximum height of the
parking structure is 35 feet, exclusive of tower elements, elevator overrun structures, and
other similar architectural elements. Renewable energy facilities, such as wind or solar,
can extend up to an additional 14 feet (up to 49 feet). The Town Code for the CM zone
allows heights of 35 feet for buildings, excluding all towers, spires, elevator and
mechanical penthouses, cupolas, wireless telecommunication antennas, similar structures
and necessary mechanical appurtenances which are not used for human activity or storage
which may be taller.
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c. The proposed PD allows for a reduced parking requirement of a minimum of 3.3 spaces
for every 1,000 square feet of office/R&D space (one space for every 303 square feet).
The Town Code requires one space for every 235 square feet.
d. The proposed PD allows for two monument signs at the new signalized entrance with a
maximum sign area of 50 square feet per face. The Town Code allows monument signs
to have a maximum sign area of 20 square feet per face.
e. The proposed PD allows for way finding and identification signs within 60 feet of the
perimeter of the proposed office buildings. The maximum height of these signs would be
eight feet. The Town Code allows monument signs to be a maximum height of seven
feet.
f. The proposed PD allows for building mounted signage that may be visible from Highway
85. Town Code prohibits freeway signs which are defined as signs erected for the
dominant purpose of being seen by travelers on a freeway.
The applicant has provided justification for the proposed exceptions to the existing underlying
Zoning (Exhibit 11).
ANALYSIS:
A. Mass and Seale
At a Town Council meeting on November 5, 2012, the Town Council granted the project an
exception to the Town's Story Pole Policy due to public safety concerns. The Town determined
typical story poles were not a feasible option because the existing buildings are occupied and that
erecting story poles over 35 feet in height adjacent to or on top of existing buildings could cause
a safety hazard, could hinder emergency access within the site, and could result in creating an
attractive nuisance at the site. As an alternative, the Town Council approved the applicant's
request to use mechanical lifts (also known as "cherry pickers") to hoist a 20-foot beam with
bright orange color netting to demonstrate the proposed 65-foot height. This height represents
the maxhnum height of the proposed office buildings. As of March 11, 2013, the mechanical
lifts were in place onsite for the public to view. A total of six mechanical lifts were employed at
the approved locations to show the building heights as directed by the Town Council on
November 5, 2012. Additionally, visual simulations illustrating several frontages were prepared
to further illustrate the potential visual impact of the proposed structures.
The proposed mass and scale of the proposed project needs to be carefully considered. Staff
offers the following comments regarding mass and scale for the Commission's consideration:
• The maximum building height permitted by the existing underlying General Plan for
Light Industrial and the CM zone is 35 feet;
• The building architecture includes a building design that incorporates different building
materials and design features to provide building depth and detail to the building facade.
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Proposed building materials include colored masonry with clear glass and aluminum bay
windows and metal sunshade accents along the roof lines. Other building elements
include aluminum clad columns along a recessed ground floor and vertical accents that
provide visual relief on the building surfaces;
• There are a significant number of landscape trees on both the west side of the project
property along Winchester Boulevard, and on the southeast side abutting the Charter
Oaks neighborhood. Landscape trees along the site's eastern boundary with the Los
Gatos Creek Trail are intermittently spaced and generally range from about 12 to 20 feet
in height. The views from the Charter Oaks development of the proposed structures
would be minimized due to the existing topography, existing vegetation to remain, and
the non -deciduous trees that are proposed to be planted;
• The structures would be visible when viewed along Winchester Boulevard or Highway
85. The construction of buildings with a maximum height of 65 feet would appear
consistent with the tallest commercial or residential structures in the project vicinity
(Netflix/Aventino development). The visibility of the proposed buildings should be
reduced because a substantial portion of building mass will be screened by existing,
transplanted, and new landscape trees. Perimeter landscape trees will be planted as part of
the Phase I construction, which will allow more time for their establishment and growth.
The following summarizes staffs analysis of why the proposed height (65 ft.) may be
appropriate and acceptable:
• Development is most effective at reducing auto trips when a relatively high density of
users is provided near existing transit infrastructure, including bus stops and freeways,
and planned mass transit facilities. The Town has the opportunity, similar to the existing
Netflix location, to create a visible landmark that provides a critical mass of potential
transit users once the Vasona Light Rail Station is completed. Moreover, during the
General Plan update process and EIR process for this project, the Valley Transit Agency
(VTA) staff encouraged the Town to increase densities and intensities in the Vasona
Light Rail area to effectively support transit operations.
• To attract high quality businesses within a corporate campus environment. The proposed
building height offers an increased flexibility in the development that would attract
companies and provide more opportunity for outdoor landscaped areas and other
amenities. The taller buildings would provide effective use of the property while
providing opportunities for campus amenities such as private recreation, significant
landscaping, and outdoor hardscape.
• In order to be consistent with the scale and heights of adjacent commercial and residential
development in the project vicinity, and maintain the small-town character of the
community, the development has been reduced to a height that ensures that a substantial
portion of building bulk will be screened by existing, transplanted, and future landscape
trees and provide sufficient setbacks from the surrounding right-of-ways and adjacent
properties. The visibility of future office buildings will be reduced because a substantial
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portion of building mass will be screened by existing, transplanted, and proposed
landscape trees. The screening would be enhanced by the proposed transplanting of nine
existing redwoods on the northern portion of the site between Building 1 and Highway
85. Additionally, perimeter landscape trees will be planted as part of the Phase I
construction which will allow more time for their establishment and growth.
• The preservation of the existing mature trees on the property along Winchester Boulevard
and the Charter Oaks property line is critical to provide a visual transition that will
facilitate compatibility with the surrounding neighborhood. Many of the existing
Redwood trees are 50 to 70 feet tall and would screen the 65 ft. tall buildings when
viewed from close to medium range.
• The taller buildings allow for greater setbacks to existing residential uses than currently
exist (20 feet existing in some locations) and an opportunity to provide more private open
space.
• The existing Netflix buildings (60 ft. maximum height at tower elements) in the vicinity
are similar in mass and scale to the proposed development.
Some of the reasons why the proposed height (65 ft.) may not be appropriate that have been
raised and addressed in the EIR include, but are not limited to:
• The height is out of character with the rest of Los Gatos;
• The height provides too much additional square footage that will increase traffic;
• The height will lead to loss of views of the hillsides from certain locations;
• The height will lead to buildings that are visible from adjacent properties; and
• The height will impact neighboring properties privacy.
For a more detailed analysis and further information regarding the potential aesthetic impacts
please refer to the DEIR (Exhibit 1) and FEIR (Exhibit 2). The Commission should carefully
consider the mass and scale of the proposed structures, and the mitigating factors, when
formulating a recommendation to the Town Council for the proposed project.
B. Neighborhood Compatibility
The proposed project would allow construction of buildings of four stories. The proposed A&S
approval package contains increased setbacks from what is otherwise required by Town Code.
For example a four story building (65 feet) would require: a 70 foot setback from the Winchester
Boulevard property line (approximately 101 feet is proposed in the A&S application); a 25 foot
setback from the Highway 85 property line (approximately 53 feet is proposed in the A&S
application); no setback from the Creek Trail property line (approximately 207 feet 7 inches is
proposed in the A&S application); a 25 foot setback from South property line to parking garage
(approximately 89 feet is proposed in the A&S application); a 65 foot setback from East property
line to Building 4 (approximately 116 feet is proposed in the A&S application); and a 25 foot
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setback from southern property line to Building 4 (approximately 191 feet is proposed in the
A&S application).
The four story building designs, combined with structured parking, allow for a more open site
design with the ability to incorporate more landscape area and features than would otherwise be
possible with shorter buildings that have larger footprints or by the addition of more buildings. It
should also be noted that there is no maximum FAR for the CM zone in the Town Code or
General Plan. The CM zone and Light Industrial Land Use designation in the General Plan only
have a building coverage requirement which permits a maximum of 50 percent building
coverage. The proposed project will comply with this requirement.
Staff believes that the existing site characteristics along with its location in the northern portion
of the Town adjacent to Highway 85 and one of the major thoroughfares make this a rare Town
setting for a large campus -style corporate headquarters. As a result, staff believes that the
proposed building height and development intensity could be appropriate for this site. However,
the Commission should carefully consider neighborhood compatibility of the proposed structures
when formulating a recommendation to the Town Council.
C. Circulation and Parking
The existing driveway entrance serving 14600 Winchester Boulevard would be restricted to right
turn in and right turn out only and a new driveway located approximately 200 feet south of the
existing Albright Way driveway would be installed. The new driveway would be improved to a
full four-way signalized intersection aligned with the existing Courtside Club entrance. The new
signalized entrance would also include a crosswalk which will improve pedestrian circulation
across Winchester Boulevard and will provide for safer movements of vehicles.. Access to on -
grade parking lots and one proposed parking garage would be provided by the new access
driveways. The existing Albright Way roadway easement would be vacated by the Town and
removed and the existing utility easements would be vacated and relocated as necessary as the
sections of roadway are converted from the existing alignment to the proposed private roadway
alignment with each phase of the project.
A Traffic Impact Analysis (TIA) was conducted by Hexagon Traffic Consultants, Inc. (Appendix
F, Exhibit 1) and peer reviewed by TJKM for the Town. The TIA made the finding that the
design and layout of the on -site roadways is adequate to accommodate the circulation of
vehicles. Additionally, the existing emergency vehicle access between the project site and
Charter Oaks Drive would remain generally in its current location and the project would be
required to comply with Fire Department Standard Details and Specifications.
The proposed expansion of office/R&D uses on the project site would require the development
of additional parking facilities on the project site which would be governed by the PD. Based on
surveys of similar developments in the area and the parking ratio that was approved for the
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adjacent Netflix project, the parking development standard for the project is proposed to be a
minimum of 3.3 stalls per 1,000 square feet of office/R&D space. Consistent with the
requirements of the proposed PD, the A&S plans submitted by the project applicant proposes to
provide 3.5 stalls per 1,000 square feet of office/R&D space. Generally, as commercial facilities
become larger, with more common and service areas, the parking ratio needed is reduced.
D. Traffic
A Traffic Impact Analysis was prepared for the proposed project (Appendix F, Exhibit 1). It is
estimated that the proposal for 300,000 sq. ft. of net new of office/R&D space would generate an
additional 3,126 daily trips, with 411 trips occurring during the AM peak hour and 366 trips
occurring during the PM peak hour. After the Town solicited input from Campbell, Monte
Sereno, and San Jose, the TIA evaluated 28 intersections in Los Gatos and those other three
jurisdictions and found that the proposed project would not have any potentially significant
cumulative impacts under Scenario 1, which did not include the Dell Ave. Area Plan and North
40 Specific Plan because these proposals are still speculative. These two plans were included in
Scenario 2. Under Scenario 2, four of the intersections would be potentially impacted by the
project under the Cumulative Scenario 2 condition according to the Town's applicable level of
service standards. The Traffic Impact Analysis evaluated Existing, Background, Project and
Cumulative traffic conditions. The Town is requiring a number of items to be implemented and
funded by the project applicant, which will reduce the project's traffic impacts to less -than -
significant levels. These items include:
• The four-way signalization of the new Winchester Boulevard and the new project entry
aligned with the existing Courtside driveway (approximately 200-feet south of Albright
Way);
• Payment of fair share contribution towards the construction cost incurred by the Town for
the existing traffic signal at the University Avenue and Lark Avenue intersection;
• Restriction of the existing Albright Way entrance to only permit right -in and right -out
turn movements;
• Optimization of signal timing at the Winchester Boulevard/Lark Avenue, University
Avenue/Lark Avenue, Winchester Boulevard/Wimbledon Drive, and Winchester
Boulevard/New project entry intersections;
• Lane restriping along southbound Winchester Boulevard to provide for a dedicated
southbound left -turn lane between Lark Avenue and Wimbeldon Avenue;
• Payment of fair share contribution towards construction of a receiving lane on
Winchester Boulevard for the westbound Lark Avenue to northbound Winchester
Boulevard right -turn movement;
• Extension of the northbound Winchester Boulevard left -turn pocket at the Courtside
entry;
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• Payment of TIF contribution for the: Winchester Boulevard and Knowles Drive;
Winchester Boulevard and Lark Avenue; Los Gatos Boulevard and Lark Avenue; and
Los Gatos Boulevard and Blossom Hill Road intersections under the cumulative scenario;
• Striping of Class II bike lanes along east and west sides of Winchester Boulevard
between Wimbledon Drive and the rail crossing;
• Widening of Winchester Boulevard along project frontage to create dedicated right tum
pockets;
• Construction of a new VTA bus pad and shelter, and provide on -site bike lockers and
bike parking.
The above improvements and/or contributions are required Performance Standards in the PD and
Conditions of Approval for the A&S application. For a more detailed analysis and further
information regarding the potential traffic impacts please refer to the DEIR (Exhibit 1) and FEIR
(Exhibit 2).
E. Benefits to the Town and Community
Pursuant to the Traffic Impact Policy, Community Benefit is required when the peak hour trips
will increase by greater than five trips. The Commission should provide input regarding the
applicant's proposed Community Benefit and determine if it outweighs the traffic impact as
required by the Traffic Impact Policy. The following is the owner's proposed Community
Benefit:
• Increased Tax Revenue for the Town.
The project will provide for a substantially higher property tax base as a result of the
redevelopment, which not only benefits the Town but also the Los Gatos School
Districts. Additionally, the project also creates the opportunity for the Town to attract and
retain high quality companies, which significantly increases the opportunity for more
diverse jobs to be offered in Town as well as the very important potential for sales tax
generating companies to remain in or relocate to the Town. Local employees support the
community; such employees may buy homes, dine at local restaurants, and shop in local
stores.
• Increased Employment Opportunities for the Town.
Allowing new development to increase intensity and modernize, the existing office park
would create opportunities for more jobs and potentially allow more Town residents to
work locally. This would reduce travel time, congestion, and air pollution in the Town,
benefitting the entire community.
• Increased Economic Development Opportunities for the Town.
The scale of future development that could occur on the project site as a result of the PD
overlay would provide the Town a site that has the potential to attract companies looking
for sites in the area with buildings that meet the relevant industry standard size
requirements with a campus setting. Attracting new companies to the Town has the
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potential to provide tremendous benefit to the Town's long-term fiscal stability, to the
Town's jobs/housing balance and would assist in maintaining the Town's ability to
continue to provide high quality services to the entire community.
• Increased incentive for the VTA to prioritize the extension of the Vasona Light Rail.
The Town has championed the importance of the extension of the Vasona Light Rail line
to provide a transit connection to San Jose and the rest of the Silicon Valley. Important
criteria used to prioritize funding at the local and state level is ridership projections and
indications of a willingness on the part of local jurisdictions to implement Land Use
policies and decisions that support mass transit. The proposed Entitlements, which seek
approval to develop a site in the Vason Light Rail area more densely than it is currently
developed, offer the Town an opportunity to prove that its land use policies and decisions
support mass transit.
Additional Community Benefits were offered with the prior project as outlined below:
• Additional monetary contributions towards roadway and intersection improvements that
were not required as mitigation for the project under the CEQA analysis based on a rate
of $1.83 per square foot of new construction up to 300,000 sq. ft. (total cap of $550,000)
• Town is reimbursed $370,000 towards the construction of improvements at the
intersection of Lark and University Avenues
• Comrunity Benefit contribution of $1.50 per square foot of new construction up to a
maximum of $650,000 for design and construction of a pedestrian bridge from Los Gatos
Creekside Sports Park to the Creek Trail; and design and construction of improvements
to the Creek Trail along Charter Oaks Drive;
• Additional monetary contribution for each residential unit constructed (as part of
Community Benefit) for design and construction of very low income housing and/or
affordable senior housing within the Town.
F. Phasing
The project will be constructed in phases. The phasing process could accommodate variations of
the entire project that would allow continued office/R&D use of the existing buildings on the
project site while new office/R&D space is constructed. The PD plans show a few variations of
possible phasing of the proposed project. However, the applicant has signed a lease with Netflix
for Building 1, which would be the first building to be constructed if the project is approved.
Demolition of existing buildings and construction of the proposed maximum 550,000 square feet
of new buildings, new parking lots, parking garage, and landscaping is proposed to be completed
in approximately 16 to 60 months, depending on project phasing, market conditions, and the
extent of new development. Prior to the construction of the buildings in any phase, demolition of
certain existing structures would be completed in approximately one to four months, depending
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on the number of buildings being demolished. The construction of a single new building with its
landscaping and parking would take approximately 14 months
The actual phasing plans will be reviewed by Town staff to confirm compliance with the PD.
The Commission should consider the Phasing of the proposed development when formulating a
recommendation to the Town Council.
G. Trees and Landscaping
As part of past development projects, the subject property has been landscaped with ornamental
trees, shrubs, and ground cover surrounding the office buildings on the site. A tree survey and
inventory for the project site was prepared for the property and indicates that there are 579 trees
on the site or near the site boundary, most of which are in fair to good condition.
Project implementation would require the removal of existing ornamental landscaping, including
approximately 308 protected trees (i.e., those covered by the Town's Tree Protection Ordinance),
while approximately 248 protected trees would be retained. Five non -protected trees would be
removed and six non -protected trees would be retained. The project would include the
replacement of landscaping that would be removed and the transplanting of 12 trees, including
nine redwoods and three oaks and 591 new trees are proposed to be planted. See table below for
tree disposition.
Protected
Not Protected
Total
Existing
568
11
579
Removals
308
5
313
Retained
248
6
254
Relocated
12
N/A
12
New Trees
591
N/A
591
Total Trees On Site At Project Completion
851
6
857
The project would retain and protect the majority of trees on the perimeter of the property to
preserve the existing screening from the residential neighborhoods adjoining the project site
(Charter Oaks neighborhood) and from Winchester Boulevard.
The project applicant has agreed to enter into a Tree Replacement Agreement with the Town that
would provide for monitoring of transplanted trees and require replacement of any transplanted
trees that do not survive. A conceptual landscaping plan that conforms to the proposed zoning
and is the actual landscaping plan submitted as part of the A&S approval application is contained
in Exhibit 14. The project allows development to occur in phases. If the applicant elects to build
the project in phases and any undeveloped site(s) for future phase(s) are created on an interim
basis, then provisions will be made for temporary landscaping and/or other attractive low
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maintenance improvements. Similar provisions will be made for security and maintenance of any
undeveloped land to be developed under future phases.
All removed trees would be required to be replaced pursuant to Town Code requirements. For a
more detailed analysis and further information regarding the potential biological resources
impacts please refer to the DEIR (Exhibit 1) and FEIR (Exhibit 2).
H. Drainage/NPDES Compliance
Currently, surface water runoff onsite is either conveyed to the existing storm drain system or
infiltrates into the ground where pervious surfaces exist. Under the proposed project, there would
be a net reduction of 15,964 square feet (approximately 0.4 acres) of impervious surfaces which
helps with natural infiltration. Further, stormwater runoff from the new impervious surfaces
(driveways, parking areas, and building rooftops) would be filtered and minimally infiltrated to
the groundwater through 26 bioretention areas and then directed into the storm drain system. In
addition, flows from walkways and pedestrian improvements would also be infiltrated to the
groundwater through self -retaining treatment basins located in adjacent landscaped areas.
The proposed drainage system and compliance with the provisions of C.3 was reviewed by the
Town's stormwater consultant, EOA (See Exhibit 1, Appendix E). For a more detailed analysis
and further information regarding the potential drainage impacts please refer to the DEIR
(Exhibit 1) and FEIR (Exhibit 2).
CEQA DETERMINATION:
The Town contracted with Geier and Geier to conduct the environmental assessment and to
prepare an EIR for the proposed project. A number of technical reports were prepared as part of
this process (Appendix A-K of the DEIR). The Notice of Preparation of the EIR was circulated
for a 30-day public review period beginning August 3, 2012, and ending September 4, 2012.
During this review period a Public Scoping meeting was held on August 27, 2012, to take
comments on the potential scope of the EIR. The Draft EIR (Exhibit 1) was circulated for public
review on January 29, 2013, with a 45-day public comment period ending on March 14, 2013. A
FEIR (Exhibit 2), including responses to comments received on the Draft EIR was prepared and
provided to comrnenting agencies and individuals on April 12, 2013. This new document
(Exhibit 2), along with the Draft EIR (Exhibit 1), constitute the full Final EIR that the Town
Council will have to certify should it decide to approve the project.
The areas that require formal mitigation measures based on the DEIR's fmdings are as follows:
• Biologic Resources
• Geology, Soils, and Seismicity
• Noise and Vibration
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• Air Quality
• Noise
• Air Quality
• Greenhouse Gases
• Hazards and Hazardous Materials
• Cultural Resources
All potentially significant impacts will be reduced to a less than significant level through
proposed mitigation measures, if adopted by the Town Council as recommended by staff. All
mitigation measures are included as performance standards in the PD Ordinance (Exhibit 13) and
as Conditions of Approval for the Architecture and Site application (Exhibit 7). In addition, a
Mitigation Monitoring and Reporting Program (Exhibit 3) has been prepared to designate the
responsible department or agency, and timing of each mitigation measure.
According to Section 15126.6€(2) of the CEQA Guidelines, if the "Environmentally Superior
Alternative" is the "No Project" Alternative, the EIR shall also identify an Enviromnentally
Superior Alternative among the other alternatives. Although this section of the Guidelines does
not define how the Environmentally Superior Alternative is to be identified, the Town's practice
is to determine which alternative would result in the fewest or least severe environmental
impacts as the Environmentally Superior Alternative. However, nothing in CEQA requires a
public agency to approve the Environmentally Superior Alternative, especially where all of the
significant effects of a proposed project can be mitigated to a less than significant level.
The DEIR (Exhibit 1) compares the impacts of three alternatives with the proposed project. The
alternatives identified were the No Project, Reduced Intensity (350,000 sq. ft. in two two-story
buildings and two three-story buildings with a height limit of 55 feet) and Reduced Height
(550,000 sq. ft. in eight buildings with a height limit of 35 feet and some underground parking)
alternatives. For a more detailed analysis and further information regarding the alternatives
considered please refer to the DEIR (Exhibit 1) and FEIR (Exhibit 2).
All of the project alternatives would reduce or have the same traffic impacts as the proposed
project. The No Project, Reduced Intensity, and Reduced Height alternatives could further
reduce aesthetic impacts, which were determined to be less than significant for the proposed
project. When the overall environmental impacts of each alternative are taken into consideration,
other than the No Project alternative, the Reduced Intensity Alternative would provide the
greatest reduction in potentially significant environmental effects when compared to the
proposed project, and therefore, would be the Environmentally Superior Alternative. However,
this alternative would not meet some of the project objectives. The deciding body has the
authority to approve the proposed project over the environmentally superior alternative if the
body finds that the mitigation measures recommended for the project will be adopted and will
reduce the potentially significant impacts to less than significant levels. As noted previously, all
potentially significant impacts associated with the proposed Albright project could be reduced to
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less than significant with the adoption of recommended mitigation measures. For a more
detailed analysis and further information regarding the alternatives considered please refer to the
DEER (Exhibit 1) and FEIR (Exhibit 2).
The applicant has provided a feasibility analysis illustrating why the Reduced Intensity
alternative is not feasible (Exhibit 10). Nothing in CEQA, however, requires the Town's
decision makers to agree with or accept the applicant's analysis as a precondition to approving
the proposed project, given its lack of any significant unavoidable effects.
COMMERCIAL DESIGN GUIDELINES:
The Common Design Guidelines of the Commercial Design Guidelines (CDG) (pages 9-14) are
applicable to the A&S application approval process. Common design guidelines presented in the
Town's CDG include: breaking up overall building masses into smaller segments similar to
those of nearby structures to maintain and reinforce the unique scale and character of Los Gatos;
providing a richness of architectural facade depth and detail; and incorporating sustainable
design strategies as appropriate, such as energy efficient HVAC systems, solar energy, operable
windows, sun control methods, sun shades, minimization of storm water runoff, use of recycled
materials, and energy efficient lighting. The proposed project would be consistent with the
Town's Commercial Design Guidelines. The mass of the buildings is broken down into smaller
elements, with large sections protruding or receding from the primary plane of the buildings'
envelopes. A richness of architectural facade depth and detail is provided by the use of columns,
window mullions, and high -quality materials.
The applicant has provided information illustrating why it believes the project is consistent with
the Common Design Guidelines of the Commercial Design Guidelines (Exhibit 9). The Planning
Commission should consider the Common Design Guidelines of the Commercial Design
Guidelines when formulating a recommendation to Town Council.
GUIDELINES AND STANDARDS FOR LAND USE NEAR STREAMS:
Since a portion of the subject property is within 50 feet of the top of the Los Gatos Creek bank,
the proposed project is required to comply with the applicable Guidelines and Standards for Land
Use Near Streams (Guidelines). The landscape plan for the proposed project will comply with
the Guidelines. Some of the measures in the Guidelines apply only if construction may impact a
bank and thus have no application to the proposed project. The MMRP (Exhibit 3) contains a
Mitigation Measure (4.3-6 of Exhibit 3) that identifies which of the measures from the
Guidelines must be incorporated for compliance with the Guidelines. These measures would
apply to the entire project, not just to areas within 50 feet of the top of the creek bank.
The applicant has provided information illustrating why it believes the project is in substantial
compliance with the applicable provisions of the Guidelines (Exhibit 9). The Planning
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Commission should consider the applicable provisions of the Guidelines, as noted in the MMRP
(Exhibit 3), when formulating a recommendation to the Town Council.
PUBLIC COMMENTS:
All written communications that were received following the deadline to provide comments on
the DEIR (March 14, 2013) and prior to the finalization of this report are included in Exhibit 12.
CONCLUSION / RECOMMENDATION:
A. Conclusion
The Commission should carefully consider the following issues when formulating a
recommendation to Town Council:
• Height;
• Mass and Scale;
• Neighborhood compatibility;
• Community Benefit;
• Phasing;
• Freeway signs;
• Commercial Design Guidelines; and
• Guidelines and Standards for Land Use Near Streams.
The Commission should also consider whether the proposed project is consistent with the
General Plan. General Plan consistency is discussed in throughout the DEIR and in Section
8.4.2 of the FEIR.
B. Recommendation
If the Commission finds merit with the proposal, staff recommends the following actions:
1. Find that the Planned Development is consistent with the General Plan (Exhibit 6);
2. Make the findings as required by the Town's Traffic Policy for community benefit
(Exhibit 6); and
3. Forward a recommendation for approval of the following to the Town Council:
a. Final Environmental Impact Report (Exhibit 1 and 2);
b. CEQA Findings of Fact (Exhibit 5)
c. Mitigation Monitoring and Reporting Program (Exhibit 3);
d. Planned Development Ordinance (Exhibit 13); and
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4. Forward a recommendation for approval of the Architecture and Site application (Exhibit
14) subject to the proposed conditions of approval (Exhibit 8) with the following
findings:
a. Find that the project is consistent with the PD ordinance (Exhibit 7); and
b. Find that the project is consistent with Section 29.10.09030(e) of the Town Code
for the demolition of commercial buildings (Exhibit 7); and
c. Find that the project is consistent with the Common Design guidelines of the
Commercial Design Guidelines (Exhibit 7); and
d. Find that the project is in substantial compliance with applicable provisions of the
Guidelines and Standards for Land Use Near Streams (Exhibit 7); and
e. Find that the project is consistent with the considerations for approval of an
Architecture and Site application (Exhibit 7).
Alternatively, the Commission can:
1. Forward a recommendation of approval of the Planned Development and Architecture
and Site applications to the Town Council with direction for modifications to the
proposal; or
2. Forward a recommendation of denial of the Planned Development and Architecture and
Site application to the Town Council.
Prep€red by:
Joel Paulson, AICP
Principal Planner
TC:JP
Approved by:
Todd Capurso,
Acting Director of Community Development
cc: John Shenk, 700 Emerson Street, Palo Alto, CA 94301
Los Gatos Business Park, 4 Orinda Way, Suite 170-D, Orinda, CA 94563
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