Staff Report
PREPARED BY: MONICA RENN
Economic Vitality Manager
Reviewed by: Town Manager, Town Attorney, and Community Development Director
110 E. Main Street Los Gatos, CA 95030 ● 408-354-6832
www.losgatosca.gov
TOWN OF LOS GATOS
TOWN COUNCIL REPORT
MEETING DATE: 3/21/17
ITEM NO: 10
DATE: MARCH 16, 2017
TO: TOWN COUNCIL
FROM: LAUREL PREVETTI, TOWN MANAGER
SUBJECT: CONSIDER THE POLICY COMMITTEE’S RECOMMENDATION TO ADOPT A POLICY
DEFINING ANCILLARY OFFICE WITHIN A MULTI-USE BUSINESS AND PARKING
CALCULATIONS IN THE LM ZONE.
RECOMMENDATION:
Consider the Policy Committee’s Recommendation to adopt a Policy defining Ancillary Office
within a Multi-Use Business and Parking Calculations in the LM Zone.
BACKGROUND:
In November, the Policy Committee discussed uses allowed in the Limited Manufacturing (LM)
zone and asked staff to prepare a draft policy that defines and allows ancillary office uses of
less than 50 percent in the LM zone, and allows for parking requirements to be based on a
summary of the uses within the tenant space rather than using the most intense use for parking
calculations. Staff prepared a draft policy for discussion at the Policy Committee in February
and the Committee provided further direction to refine the draft Policy (Attachment 1) and
forward it to the Council for consideration.
DISCUSSION:
The Town Code defines the LM zone as a commercial -industrial zone that is intended for small
scale light industrial, repair, and service-oriented activities that provide services to Town
residents in addition to retailing, service, and administrative activities. As the business
environment continues to change and the consumer needs for products and services continue
to evolve, the Town has limited areas in which many of these new business models can fully
operate. Currently, businesses can only have an office space within the LM zone if it can exist in
PAGE 2 OF 2
SUBJECT: CONSIDER THE POLICY COMMITTEE’S RECOMMENDATION TO ADOPT A POLICY
DEFINING ANCILLARY OFFICE WITHIN A MULTI-USE BUSINESS AND PARKING
CALCULATIONS IN THE LM ZONE.
March 16, 2017
S:\COUNCIL REPORTS\2017\03-21-17\Ancillary Office LM Zone Policy\Staff Report FINAL.docx
DISCUSSION (Cont’d):
the current conditions of the building and is ancillary to the primary use; however, no definition
for ancillary office exists.
While it is not the intent of the LM zone to have entire tenant spaces filled with office uses, it
may be reasonable to create an opportunity for businesses to run all of their business functions
in one location, including their office work. The Policy Committee is recommending that the
Council discuss and consider the attached Policy which provides clarity and flexibility for
businesses while still staying within current Town Code provisions.
This Policy would clarify that a business can manufacture and sell their products with their
business offices also on-site. An example of this would be an architect (office use) with an on -
site interior designer (office use) that offers a showroom of products for purchase by both
design customers and the general public (retail use), and storage or receivership of
furniture/home good items for their own or other professionals ’ purchase
(wholesale/warehouse use). Businesses that are multi-faceted are becoming more of a norm
and less of an exception, and a Policy would make it clear to businesses how the Town intends
to address the mix of uses and calculate the required parking.
In addition, the attached Policy clarifies that parking requirements are calculated based the
percentage of each use in the building rather than requiring enough parking to meet the most
intense single use for the entire square footage. This is the same manner in which staff
currently calculates parking requirements for multi-tenant buildings. Some LM properties have
limited existing parking. Staff would work with tenants to help them understand the parking
requirements and look for appropriate solutions, such as alternative use of parking with
approval of a Conditional Use Permit.
CONCLUSION:
Without changing the Town Code, the proposed Policy clarifies how multi-use businesses can
have the flexibility to operate within the LM zone, and provide adequat e parking for the uses
encompassed within the one tenant space.
Attachments:
1. Draft Policy for the LM zone defining ancillary office for multiple use businesses