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AddendumPREPARED BY: JOEL PAULSON Community Development Director Reviewed by: Assistant Town Manager Town Attorney Finance N:\SHARE\COUNCIL REPORTS\2016\09-27-16\N40 Specific Plan Modifications\Addendum FINAL.doc Revised: 9/21/2016 4:28:46 PM MEETING DATE: 09/27/16 ITEM NO: 1 ADDENDUM COUNCIL AGENDA REPORT DATE: SEPTEMBER 26, 2016 TO: MAYOR AND TOWN COUNCIL FROM: LAUREL PREVETTI, TOWN MANAGER SUBJECT: DISCUSS POTENTIAL AMENDMENTS TO THE NORTH 40 SPECIFIC PLAN. RECOMMENDATION: Attachment 2 contains additional public comments that were received between 11:01 a.m., September 22, 2016 and 11:00 a.m., September 26, 2016. Additionally, a Councilmember asked about the timing of the amendment process and when identified amendments would return to the Town Council for final consideration. A tentative schedule depends on the scope of the changes and other assumptions as described below.  Assuming the changes are clear, the earliest the staff could bring them to the General Plan Committee would be October 26, 2016;  Assuming GPC gets through its recommendation in one meeting, the earliest the staff could bring the amendments to Planning Commission would be December 7, 2016;  Assuming PC gets through its recommendation in one meeting, the earliest the staff could bring the amendments to Council would be January 17, 2017. Attachment (previously received with September 27, 2016 Staff Report): 1. Comments received from the public by 11:00 a.m., Thursday, September 22, 2016 Attachment received with this Addendum: 2. Comments received from the public between 11:01 a.m., Thursday, September 22, 2016 and 11:00 a.m., Monday, September 26, 2016 9-23-16 I would like to propose the following for your consideration. 1. The property owners should get fair treatment throughout this process. As it stands now, they are giving up more than 30% of the developable space to open space for the public. Depending on the terms of the Purchase Agreement, that may equate to money out of their pockets if you take more land from them. 2. Higher buildings could equate to more open space and reduce the warehouse look we now have with 35' high buildings. The impingement on your view as you drive by is minimal, and you should be keeping your eyes on the road in any case. The view factor has been blown way out of proportion. My neighbor planted an tree and it has, in 8 years, obliterated my view of the El Sereno Reserve. Views are great, but the view of the No 40 is from a freeway. If you're driving south on 17, the best view is straight ahead, not off to the left. 3. The vast majority of Los Gatos residents earn their living outside of Los Gatos. They are the traffic. We are a part of a much larger picture and we should contribute to the vast shortage of housing for all levels of income. Los Gatos cannot be a NIMBY when so much of our wealth comes from outside the town. 4. Though the market rate units may sell for $900,000 to $1,200,000, the median selling price of a home as of 8/31/16 is $1,665,000 according to Zillow. You could look at the No. 40 housing as "affordable" by the HCD definition (20 units per acre) or when compared to the median selling price in Los Gatos. 5. I think the Yuki's picked good developers for this project. The developer has to be a large, well -financed business with a very good reputation. When I owned a business and did large jobs for customers, I collaborated with the customer to make the project work seamlessly. However, this project seems adversarial in the way the town treats these developers. I think you are missing the experience and input that a good developer can contribute. The council, nor the residents have experience in development of projects other than a topographic feel -good view. Use the developers knowledge. From what I know of them, they want to help, but seem to get rebuffed as if they were all Peter Pau type developers. We lost the battle with Pau on Netflix and he out maneuvered the town on PAMF. We need this developers expertise to make the North 40 an entrance to the town that we can all be proud of. 6. The council should NOT set business -size limitations. Don't regulate to make a few people happy and destroy the free market. If you do, you will shoot yourselves and us in our collective foot. The retail world is particularly tough with the heavy use of the internet. Market analysts cannot predict the future behavior of the consumer. You should not presume that you can. The objective is to make the shopping area, whatever size that becomes, to be successful, in concert with the downtown, environmentally friendly, and pleasing to the eye. 7. With every child going into the northern district that successfully petitions the county school board to transfer to Los Gatos, there will be a huge cost to the taxpayers of Los Gatos. Why would they not petition to go into LGUSD and LGSUHSD as they will be able to buy a cheaper unit that will increase in value when they successfully petition to gain entrance into the LG school districts? ATTACHMENT 2 8. If you decide to add units to the north end, or redistribute those in the south end, I would suggest that these are smaller units that do not encourage those with children. Smaller units may attract the hypothetical millennial as well as some of the older crowd who would enjoy the commercial aspects of the development. Jak Van Nada 44 year Los Gatos Resident Joel Paulson From: Bonnie Payne <bonnieapayne@comcast.net> Sent: Saturday, September 24, 2016 2:03 PM To: Joel Paulson Subject: North 40 Dear Planning Director Paulson, First, thank you very much for your support in denying the recent proposed development for the North 40. We appreciate that it took much research and also courage in the face of a threatened lawsuit. Now that we have an opportunity to revise the Specific Plan, I hope that you will consider the following suggestions: 1. Wording to insure that the housing element of the development be spread throughout the entire North 40. 2. More truly affordable housing, maybe by a limit on the size of the houses. 3. Height limitations. 4. A limit on the amount of commercial space so that smaller neighborhood -serving businesses can move in and huge commercial buildings do not dominate the landscape. 5. Open space that cannot be accounted for by asphalt covered parking zones. 6. Whatever wording might be necessary to insure that developes submit plan proposals that truly reflect the vision for the North 40. Thank you for considering these changes. And for the immense time and energy you devote to our Town. Bonnie and Richard Payne 16216 Kennedy Road, Los Gatos, CA 95032 1 From: Jan Olsen [mailto:Igcajanna gmail.com] Sent: Sunday, September 25, 2016 10:31 AM To: Joel Paulson Subject: North 40 Specific Plan Hi Joel - As a resident who lives across the street from the N40, I have some concerns that I have not heard others raise. I would like these to be part of the Specific Plan for construction. The project should be "green". There should be LEED certifications, alternative energy uses, things like pervious pavement, low water use, using trees and plants for shade. The sprinkler system should have a moisture regulator that will be water efficient. If we are going to allow a developer to build a city from scratch, it should be include using processes that are environmentally responsible and resource -efficient throughout a building's life -cycle: from demolition to siting to design, construction, operation, and maintenance. This should be a showcase for Los Gatos. I would like the hours of construction to be limited to Mon - Friday, 8am to 5 pm. I would like there to be mitigation for the dirt that will be thrown up into the air. I am very concerned this will go on for 4 years and we will be covered in it for years. I would like the developer to send street sweepers down the neighboring streets once a week. I would especially want fester Lane included in this. Apple does this every day. I think once a week will be reasonable. 3uilding heights should be not more the 25', the standard we set for the Boulevard originally. This should be from original grade level, not from raised or filled in grade. I understand the density of the housing must be 20 units/acre over 13.5 acres. I believe the housing should be spread out across the property. There should be a park and/or playground for the residents. Having children cross Los Gatos Blvd to get to Live Oak Park is dangerous. They should have a place to play. Green space should not include backyards and parts of parking lots. I am very concerned about what the new Samaritan Drive project will do to the area's traffic. I know it was not considered when the traffic study was conducted and updated. That should be addressed also. There should be a housing area for Active Over 55. A move down place. 1 level. And should include universal aging in place design. Doorways and showers wide enough for walkers and wheelchairs, because stuff happens (like knees and hips). I am sure I will send another email with more concerns. I appreciate the opportunity to address the Specific Plan. Jan Olsen 15189 Lester Lane, Los Gatos Cindie Gonzales From: Maria Ristow <ristows@comcast.net> Sent: Monday, September 26, 2016 12:02 AM To: Council Subject: Possible Amendments for the North 40 Specific Plan Members of the Town Council and Staff, In February of 2015, 4 members of LGCA created a list of items for consideration in the North 40 Specific Plan. Some of these suggestions were adopted, others not. (http://Ik-ca.com/lgca-input-for- the-specific-plan-town-council-desk-item-2315/) Now that you are requesting ideas to amend the North 40 Specific Plan, these are my main concerns: Housing 1. The number of residential units should go back up from 270 to 364, as initially proposed in the Draft Specific Plan. If any density bonus is used, this would create up to 491 housing units. There are several advantages to this for the Town. o It would allow the North 40 to have the higher density (20 du/acre) housing on 13.5 acres, designated by the Housing Element, plus the lower density cluster cottages. o More residential units create more housing possibilities for all districts of the North 40. o Residential is a lower traffic generator than retail or office. 2. Height limitations should be raised in the Northern district in exchange for increased open space. It makes sense to retain the restriction that all housing in the Northern district be above commercial, but the higher -density housing might be more affordable if a greater number of units could be built on the commercial structures. Public Park Space 1. Public space to remain open, without fencing or signage to discourage visitors 2. Consider making parks over a certain size deeded back to Los Gatos, if this is possible. The Town would bear the expense of maintenance, but these spaces would then be part of our Parks system. Retail 1. Possibly the total commercial should be decreased by up to 35% if the residential is increased by that amount. 2. While I oppose using a table to determine in advance the size of retail spaces, perhaps you could require CUPs for restaurants. Further comments on the retail and downtown are in a separate letter. Thank you for this opportunity to provide input. Maria Ristow Los Gatos Community Alliance i andie Gonzales From: Maria Ristow <ristows@comcast.net> Sett: Monday, September 26, 2016 12:06 AM To: Council Subject: North 40 Specific Plan amendment input Town Council Members and Staff, I certainly would hope, as you consider amendments to the Specific Plan, that you will NOT try to limit the number of spaces at various sizes in the North 40. I submitted the letter below to the Town Council in May, 2015, and I stand by these comments today. I addition to the points I make below, please consider that the spaces downtown have gone up and down in size over the past few years: • Borders once occupied both floors of a large building in Old Town, and now a school fills the top floor, and a number of retail spaces have divided up the first floor. • There is presently an application for the Wine Cellar to increase square footage by moving into office space. • Gardinos Restaurant expanded into the next door retail space. • The large Domus space was divided into 4 retail spaces and a restaurant. • Apple Store moved into one and a half spaces. These are just a few examples that came to my mind as I was walking through town last night, and it reminded me of how difficult it is to predict the future or set hard parameters for something as changing as retail. Having a table that dictates the square footage of retail/restaurant in the North 40 would be counterproductive and unnecessarily limiting. Even downtown doesn't actually have this limitation. Retail in Los Gatos (and everywhere else) changes, and we need to allow both downtown and the North 40 the ability to respond. Thank you, Maria Ristow Letter to Town Councii Regarding N40 Commercial Development _Plan P;} `: f 1<i ,;nl=: ;> ,:±..« in: North 40, Our Town. Trat0c Los Gatos Town Council Members, u Going into Tuesday night's continued deliberations on the North 40 Specific Plan, the outstanding issue which concerns me most is the Commercial Building Plan. I recognize that there is pressure by some to ensure nothing at the North 40 competes with Los Gatos' downtown. At the moment, it 1 appears the biggest competition to downtown (at least in terms of where LG residents shop or dine) is Campbell. The residents on the northern part of Los Gatos have very few choices for either and appear to favor Campbell over Los Gatos. If you talk to many of them, their first choice would be to stay in town and have options within walking distance as those of us downtown have. The residents in the north were already let down when the development at the SE corner of Los Gatos Boulevard and Gateway became PAMF. While they can possibly walk to a doctor appointment, the anticipated neighborhood -serving retail and restaurants evaporated.... According to Staff reports and the LG Chamber of Commerce, Downtown is estimated to have 1M sf of commercial space, with 400K sf retail/restaurant. I personally took an inventory of the full length of Santa Cruz Avenue from Main Street north to Highway 9. This encompassed approximately 50% of the retail (with the rest falling south of Main, along Main from Santa Cruz to Los Gatos High School, University Ave with Old Town, and the little shops along the side streets on each side of Santa Cruz Avenue). In this approximately 200K sf, close to 25% (48K sf) is in the <1500 sf range, and 42% (85K sf) is in the 1501-3000 sf range. That means approximately 2/3 of the shop and restaurant space downtown falls into the two smallest pad size categories. The suggestion by one Council member to restrict the smallest pad sizes for retail/restaurant in the North 40 to 5% (2.5 °/o for <1500, 2.5% for 1501-3000) is so aggressive it would all but destroy ANY opportunity to develop anything attractive for the immediate North 40 plus the nearby neighborhoods. The TOTAL commercial on the North 40 is restricted now to 435k sf, and presently about 66K sf is already built. Even if these existing buildings are not subtracted from the total allowed, applying the 5% (for all retail 0-3000 sf) gives a MAX of 20k sf for smaller shops/restaurants, assuming no hotel or new office space goes in. How is THIS neighborhood -serving? Certainly this will put people into cars to go Campbell, Santana Row, and possibly downtown LG. And THAT will increase traffic, discourage the intended target senior and millennial residents we had hoped to attract, and ignore the goal to make Los Gatos more walkable and sustainable. With a short-term goal to blindly ensure nothing else in this town can even look like a micro downtown, we will lose much more than we can gain. The proposed approach of creating a table to define how the North 40 commercial/retail space can be allocated is limiting and overreaching, and it should be abandoned. You are planning the town's largest development and need to balance competing goals while ensuring this is a sustainable part of Los Gatos for the next 30-100 years. We have NO idea right now how retail will evolve in the next 5 years, and the developer, future residents, and future town decision -makers should be able to make decisions as the project unfolds. To limit small pad retail and restaurant to 7% of what the downtown enjoys is akin to grinding your heel into the North 40 residents and neighbors. You will be developing a mid- and big -box power center which will increase traffic and force residents to go elsewhere for services. This does NOT sound like something that fits "seamlessly into the fabric of Los Gatos", nor does it sound forward -thinking. Please leave enough flexibility to allow ALL parts of our wonderful town to thrive. Drop the table. Use future applications, car trips, and residential input to shape the distribution of the North 40 commercial space as it develops. Respectfully submitted, Maria Ristow, Los Gatos Community Alliance 2