Attachment 21harm 0 nie
January 16, 2018
Mayor Rennie and Members of Los Gatos Town Council
c/o Mr. Joel Paulson , Community Development Director
Town of Los Gatos Planning Department
110 E. Main St.
Los Gatos, California 95031
Re: Town Council Meeting 1-16-18
Proposed North 40 Specific Plan Amendment
Dear Mayor Rennie and Members of Town Council:
It is evident that consensus is forming for a hotel on the North 40. We continue to test various concepts that
would integrate a hotel into a development program that 1) is in line with the caliber of development that is
expected in Los Gatos and the North 40; 2) consistent with the objective development guidelines that are
contemplated in the amended Specific Plan, and 3) is financially viable for the project as well as the future
hotel operator. While development of a hotel may be viable on the North 40, we agree with the Town's
hotel consultant that other land uses on site are required to make it financially feasible.
After reading the January 10, 2018 staff report on the proposed North 40 Specific Plan Amendment, we are
seeking clarification on what the proposed Amendment would allow for if the precise examples in the staff-
run scenarios are not proposed. It is imperative that we have flexibility as we determine the appropriate
land plan that is financially viable. As an example, if a 160,000-square foot hotel is proposed, the staff
report indicates that 90,000 square feet of office would be available in addition to 117,000 square feet of
retail. What if a proposal did not want to propose that much retail? Could additional office be proposed?
What if the hotel was less than 160,000 square feet? How would other uses be allocated? It is assumed
that the staff report is just providing data points to Council for conceptual plans but that we have the flexibility
to allocate uses creatively to give the project the best chance of being financially viable. We suggest the
amendment allow for this flexibility in land use allocation utilizing the design parameters in the Specific Plan
and the limitations in the EIR to ensure the development program is in accordance with the Town's vision.
Although the North 40 has been envisioned to be a retail hub for decades, in recent years the headwinds
against a 400,000+ square foot retail program on the North 40 have increased, causing some to shift their
focus to other land uses. As the viability for office may be limited by trip generation and the parameters of
the existing Specific Plan EIR in addition to the height restrictions, a viable land use that can be compatible
with hospitality use is residential. We have heard, for example, that the community would support more
move down housing . Increasing the residential entitlement would provide added flexibility and could provide
the means to support a hotel on site. In addition to providing the flexibility to allocate land uses as discussed
above, we would also request that additional residential be strongly considered.
Sincerely,
/1 ,,/ ,.t ~• /1 &1 ·'P#f.(~ [,~·· u
A. Don Capobres
cc: Steve Buster, Grosvenor Americas
Harmonie Park Development Company· 221 Bachman Avenue -Los Gatos, California 950030
408.355.9920 -www.hannoniepark.com
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