Resolution 2004- 60
RESOLUTION NO. 2004-60
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
GILROY APPROVING ARE 04-02, AN APPLICATION FOR AN
AFFORDABLE HOUSING PROJECT EXEMPTION FROM THE
RESIDENTIAL DEVELOPMENT ORDINANCE, APN 799-11-
031
WHEREAS, Lulevitt Financial Realty and Shirley Lulevitt ("Applicant") submitted ARE
04-02, requesting an Affordable Housing Exemption from the Residential Development
Ordinance ("RDO") to build nine (9) units on a .37 acre (15,984 square foot) parcel currently
zoned Downtown Commercial (C2) located at 7031 Monterey Street, APN 799-11-031; and
WHEREAS, the City has determined that the review and approval of an application for
an Affordable Housing Exemption from the RDO does not confer any entitlement for residential
development and therefore is not a "project" for the purposes of review pursuant to the
California Environmental Quality Act; and
WHEREAS, the City Council may grant the requested RDO exemption only if it
determines that the application meets the criteria set forth in Zoning Ordinance section
50.62(B)(3) or 50.62(B)(4) and said application was submitted pursuant to 50.62(B)(4), the
criteria thereof are set forth and fully discussed in the Staff Report dated May 20, 2004 ("Staff
Report"), which is attached hereto as Exhibit A; and
WHEREAS, the Planning Commission reviewed application AHE 04-02 at a duly
noticed public hearing on June 3, 2004, and recommended that the City Council approve it; and
WHEREAS, the City Council reviewed application AHE 04-02 and all documents
relating thereto and took oral and written testimony at its duly noticed public hearing of June 7,
2004; and
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Resolution No. 2004-60
WHEREAS, the location and custodian of the documents or other materials which
constitute the record of proceedings upon which this project approval is based is the office of the
City Clerk.
NOW, THEREFORE, BE IT RESOLVED THAT
1. The City Council hereby finds that the project meets the following requirements:
A. Application ARE 04-02 is the second request for exempt affordable
housing units for the years 2004 through 2013.
B. All units will be affordable to persons earning 120% or less of the median
household income in Santa Clara County with at least 40% of the units
being affordable to households earning 50% to 60% of the median
household income for Santa Clara County, at least 30% of the units being
affordable to households earning 60% to 100% of the median household
income for Santa Clara County, and not more than 30% of the units being
affordable to households earning 100% to 120% of the median household
income of Santa Clara County.
C. There is a need for affordable living units within the City, and these units
will be easily accessible to Caltrain and Valley Transportation Authority
("VT A") transportation routes. Furthermore, these units will be unique in
that the six (6) for-sale units will contain first floor commercial space
and/or art studios and three (3) units will be for-rent studio apartments.
D. Currently, there is one proposed affordable housing project of twelve (12)
units located four blocks to the north of this project at 7433 Monterey
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Resolution No. 2004-60
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Street, and there are two existing affordable housing projects III this
vicinity, one project having seven (7) units and located at 7257 Monterey
Street and one project having two (2) units and located at 7430 Monterey
Street; and this project is not immediately adjacent to any other project
which is exempted under Section 50.62(b )(3) or (b)( 4).
E. The project would bring diversity of unit types and architectural styles to
the City because the Applicant proposes to construct an urban, storefront
fayade with three (3) apartments on the second floor and six (6) 3-story
for-sale live-work units at the rear of the building.
F. The site design and proposed building elevations call for the demolition of
the existing home and construction of a new two-story commercial store
front with no sidewalk setback, and three (3) apartments on the second
floor. The building will provide both pedestrian and vehicular pass-
throughs to the rear of the parcel, where six (6) for-sale live-work units
will be constructed. Each of the live-work units will be three (3) stories in
height, with the first floor restricted to commercial use (approximately 400
square feet in size), and the second and third stories used for residential
purposes with two bedrooms and two baths (approximately 885 square
feet in size). Furthermore, the project is planned on a large Central
District Commercial (C2) zone parcel in the downtown, and the site design
is uniquely creative in that it removes a non-conforming residential
structure and replaces it with a typical two-store urban fayade facing
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Resolution No. 2004-60
Monterey Street. The live-work units at the rear ofthe parcel are clustered
around pedestrian space.
G. For the reasons specified in Subsections A through F, immediately above,
the project would substantially benefit the City.
H. The project would not create significant negative impacts to public
facilities, providers of public services to the community, or the Gilroy
Unified School District.
2. AHE 04-02 should be and hereby is approved subject to the following five (5)
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conditions:
A. Prior to the development of the project, the Applicant shall:
1. Request and receive approval for a parking reduction per the
requirements of Section 3l.90, Interim Off-Street Parking
Reductions in the C2 Central Business District Zone.
2. Complete and obtain approval of a Tentative Map request to
subdivide the property.
3. Complete a Conditional Use Permit request for 9 residential units.
4. Complete the Architecture & Site Review approval process.
B. The Applicant shall be required to obtain, prior to submittal of the
Tentative Map, Conditional Use Permit application and Architectural &
Site Review application, Staff Recommendation for parking reductions
pursuant to the requirements of Section 31.90, Interim Off-Street Parking
Reductions in the C2 Central Business District Zone.
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Resolution No. 2004-60
C. The Applicant shall comply with Section 50.62 ofthe Zoning Ordinance as it
applies to Affordable Housing Exempt units and with RDO Affordable
Housing Exemption Procedures, which is attached hereto as part of the Staff
Report, and enter into an Affordable Housing Agreement with the City.
D. The Applicant shall obtain approvals for a Tentative Map, Conditional Use
Permit and Architectural & Site Review, and such other City approvals as
may be necessary.
E. The Applicant shall obtain all Approvals within two (2) years from the date
of Affordable Housing Exemption approval, otherwise the Affordable
Housing Exemption approval shall be deemed automatically revoked. Upon
application prior to the expiration of the approval and for good cause shown,
the Planning Division Manager may grant an extension of time not to exceed
one year.
PASSED AND ADOPTED this 21 st day of June, 2004 by the following vote:
AYES: COUNCILMEMBERS:
CORREA, DILLON, GARTMAN,
MORALES, VALIQUETTE, VELASCO and
PINHEIRO
NOES: COUNCILMEMBERS:
NONE
ABSENT: COUNCILMEMBERS:
NONE
2~
AT~.' S :, ii"
..; / ;
'cJk. k1~k\ ,.) j J.J,.r-:
Rhollda Pellin, City Clerk
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Resolution No. 2004-60
EXHIBIT ,A
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City of Gilroy
Community Development Department
Planning Division
7351 Rosanna St.
Gilroy, CA
(408) 846-0440
I '
Affordable Housing Exemption
May 20, 2004
FILE NUMBER:
APPLICANT:
AIlE 04-02 (04030047)
Monterey Street Commercial and live-work residential/ Shirley Lulevitt
(408) 265-8857
LOCATION: 7031 Monterey Street
STAFF PL~R: Gregg Polubinsky, gpolubinsky@ci.gilroy.ca.us
,.. ",'
AffQrd:able 'Housing Exemption request to allocate 9 residential units (6 single-family live work
residential units and 3 second floor apartment units) in a ,mixed use project on a 0.37 acre (15,984
square' feet) property zoned C2.
DESCRIPTION OF PROPERTY:
Parcel Number:
parcql Size:
Flood Zone:
799-11-031
0.37 Acres, (15,984 square feet)
"X", Panel #060340 0004E, 11110/98
STATUS OF PROPERTY:
Existing Land Use
L~gal non-conforming house
General Plan Designation
Downtown Commercial
Zoning
C2
STA TUS OF SURROUNDING PROPERTIES:
North:
East:
South:
West:
Existing Land Use
Commercial
Coast Range Brewing Co.
Used auto sales
Residential apartments
General Plan Designation
Downtown Commercial
Downtown Commercial
Downtown Commercial
Downtown Commercial
Zoning
C2
C2
C2
R3
ARE 04-02
2
May 20, 2004
CONFORMANCE OF REQUEST WITH THE GENERAL PLAN:
The proposed project conforms to the land use designation for the property on the General Plan
map, and is consistent with the intent of the text of the General Plan Document.
ENVIRONMENTAL IMPACTS:
The review and approval of this application exempts the Applicant from the ROO competition and
because there is no resulting entitlement for residential development being granted, the City's action does
not constitute "approval ofa Project" for purposes ofCEQA review. Future CEQA review is assured
upon submittal of a Tentative Map Application where the action would then be a "Project."
STATUS OF AFFORDABLE BOUSING EXEMPT UNITS:
~ See Attachment #1, RDO Exempt from Competition, 2004-2013.
~ See Attachment #2, RDO Numerical Growth Limits, 2004-2013
ANALYSIS OF REQUEST:
The Applicant is requesting an Affordable Housing Exemption allocation for 8 residential units plus there
is one residential unit existing on the property for which the applicant will also receive credit. Affordable
Housing projects must meet the standards established by the "RDO Affordable Housing Exemption
Procedure" which is attached and made a condition of approval. The project must be 75 units or less in
size and it must be specifically determined that the project would substantially benefit the City, and would
not create significant negative impacts to public facilities or to providers of public services in the
community or to the Gilroy Unified School District.
CRITERIA (See attachment #3. Residential Develooment Ordinance Section 50.62):
The following elements should be used in determining whether to grant this exemption:
a. The number of exemptunit$ which have already been granted during the current RDO cycle, and
the number of years left in the cycle;
This is the second request of Affordable Housing units (see attachment #1 and #2) for the 2004
through 2013 period.
b. The a.tJordability of the project;
The Applicant is required to meet the following atTordability requirements:
· At least 40% of the units (4 units) must be atTordable to households earning 50% to 60%
of the median income for Santa Clara County. .
· At least 30% of the units (3 units) must be affordable to households earning up to 100% of
the median income for Santa Clara County.
· Not more than 30% of the units (2 units) should be sold to households earning 100% to
1200.10 of the median income of Santa Clara County
c. The need for the types of units which are proposed;
There is a need for atTordable living units within the City. These units will be close to Caltrain
and other vr A transportation routes. The units will be unique in that seven for-sale units wiD
contain first floor commercial space and/or art studios and three units will be for-rent studio
apartments.
AHE 04-02
3
May 20, 2004
d. The number of affordable housing projects constructed or proposed within the project vicinity;
There is one proposed Affordable Housing project of 16' units 4 blocks to the north at 7433
Monterey Street. There are two existing Affordable Housing projects, seven units at 7257
Monterey Street and 2 units at 7430 Monterey Street.
e. The diversity of unit type and architectural styles which are proposed in the entire development;
and
. This project proposes to construct an urban, storefront fa~ade with three 2nd floor apartment units.
There will be an additional six 3-story units on the rear of the property designed as for-sale
live-work units.
f The site design andproposed building elevations.
Project Specifications include:
~ The existing home will be demolished and a new two story commercial storefront will be built
at the sidewalk with three apartments on the second floor.
~ The building will provide both a pedestrian and vehicular pass-through to the rear of the parcel
where 6 for sale live-work units will be constructed.
~ Each live work unit will be three story with the first floor restricted to commercial space
(approx 400 square feet) and the second and third story as a two bedroom, two bath residential
home (approx 885 square feet).
Project Strengths:
The following characteristics of this project were considered to be strengths when evaluating this
application:
~ This is a large Central District' Commercial (C2) parcel in the downtown. The site design is uniquely
creative in that it removes a non-conforming residential house and constructs a typical two-story
urban fa~ade facing Monterey Street. The rear of this parcd is then designed with live-work units
clustered. around a pedestrian space.
Prior To Development, The Applicant Will Be Required to:
1) Request and receive approval for a parking reduction per the requirements of Section 31.90. Interim
Off-Street Parking Reductions in the C2 Central Business District Zone
2) Complete a Tentative Map request to subdivide the property.
3) Complete a Conditional Use Permit request for 9 residential units.
4) Complete Architecture & Site Review approval.
ARE 04-02
4
May 20, 2004
. '
RECOMMENDA TION
Staff recommends that the Planning Commission forward a recommendation of APPROV AL to the
City, CO\lncil for nine Affordable Housing Exemption units. Staff further recommends that the
following items be listed as part of the approval of the project:
1. No Staff Recommendation has yet been made for parking reductions. The Applicant will be
required prior to submittal of the Tentative Map, Conditional Use Permit and Architectural & Site
Reyiew to obtain a Staff Recommendation per the requirements of Section 31.90, Interim Off-
Street Parking Reductions in the C2 Central Business District Zone.
2. The Applicant shall comply with Section 50.62 of the Zoning Ordinance as it applies to
Affordable Housing Exempt units and with "RDO Affordable Housing Exemption Procedures."
3. The Applicant shall obtain approvals for Tentative Map, Conditional Use Permit and Architectura}.
& Site Review and such other City approvals as may be necessary.
4. Tim~Limits. The Applicant must obtain all Approvals within two (2) year from the date of any
Mrofdable Housing exemption approval, otherwise the Affordable Housing exemption approval
shall be deemed automatically revoked. Upon application ,prior to the expiration of the approval
, and for 'good cause shown, the Planning Division Manager may grant an extension of time
,
lJk~
William F aus,
Planning Division Manager
bfaus@ci.gilroy.ca.us
RDO
ATTACHMENT #1
EXEMPT FROM COMPETITION
, '
2004-2013
Adopted by the City Council on July 16,2001 [ amended on September 3,2002 ]
Target for market driven housing:
Target for exempt housing:
Tuesday, May 18, 2004
2,550 units
900 units *
-----------------------------------------
-----------------------------------------
lO-ycar (2004-2013) Gro\\1h Limit:
3.450 units
* Snecific tar2cts for cxemot housin2:
'"affordable'. " 530 units
"senior housing" 120 units
"affordable senior" 100 units
"small projects",' 150 units [**]
[individuals 62 and over]
[individuals 62 3nd over]
[12 units or less]
"Afford ",ble" (ARE)
File I A licant
ARE 04-01 Mike Bertolone
Units Re uested
16
ARE o4:..dt2
Shirley Lulevitt
8
Location
1433 Monterey
Street
7031
Street
Status
In Process
Monterey In Process
Remaining Units
506
"8
H
"
enlor ouslng
File # Applicant Units Requested Location Status
SHE 02-01 Village Green 39 Hecker Pass &
Santa Teresa Granted
SHE 02-02 John Kent 24 Cypress Court Granted
SHE 03-01 Salvatore Oliveri 44 Monterey Road In Process
Number of Units 107
in Process
Remaining Units 13
"Affordable Senior"
File # A licant
Units Re uested
Location
Status
Remaining Units
100
G:\COMDEV\RDO docs\RDO Status Reports\RDO exempt log [2004-2013].doc
A TI'ACHl\iENT #1
"Small" (SPE'
File # Applicant Units Requested Location Status
SPE 03-02 Delcurto 1 (13 requested, 12 8895 Kern Avenue Approved
Group , from 2003)
SPE 03-03 James Suner 16 240 Farrell Ave. Approved
SPE 03-04 Don 12 Mesa RQad Approved
Thompson
SPE 03-05 Rancho 16 W of Sadler Dr. at Approved
Meadows terminus of Sprigway
Gerry
DeYoung
SPE 03-06 Camino 17 Terminus of Rodeo Approved
, Enterprise Dr.
SPE 03-07 N.P. 5 8810 Kern Avenue Approved
Mussallem
SPE 03-09 N.P. 7 7861 & 7891 Miner Under Review
Mussallem Avenue
SPE 03-11 The James 12 6555 Monterey Rd. Under Review
Group
SPE 04-01 The James 14 NW c/o Miller Ave Under Review
Group & Thomas Road
SPE 04-02 Lewis St. 12 SE comer Lewis & Approved
Partners Monterey
7589 Monterey
SPE 04-03 The James 5 Lone Oak Court Under Review
Group
SPE 04-04 ' The James 14 Thomas 'Road and Under Review
Group Santa Teresa Blvd.
SPE 04-05 GUSD 9 Wren Ave at Vickery Under Review
SPE 04-06 Chappen 10 West of Mesa Ridge Under Review
Development
NUIIIIJer of, Units 150
inProcets
Remaining Units 0
G:\COMDEV\RDO docs\RDO Status Reports\RDO exempt log [2004-2013].doc
A TI'ACHMENT #2
RDO numERICAl GROWTII limiTS
,
IOOJl-IO I 5
Adopted by the City Council on July 16, 2001
[ amended on September 3,2002]
Target f9r market driven housing:
Target for exempt housing:
Tuesday, May 18, 2004
1,550 units
900 units *
------------- ---------------------
---------------------~--------------------
to-year (2004-2013) Growth Limit:
5-year (2004~2008) growth limit: 1,380
* Specific tar2ets for exempt bousio2:
"affordable"
"senior housing"
"affordable senior"
"small projects"
Total:
530 units
120 units
100 units
150 units [**]
3,450 units
[individuals 62 and over]
[individuals 62 and over]
[12 units or less]
900 units
[**] The first 100 units cannot be consideredfor re-al/ocation until the end of the 10-year cycle (2004-2013), and the
remaining 50 units cannot be re-al/ocated under any conditions.
Buildout ear
RDO Limit:
2001 allocations
RD 94-01 *
2004
326
276
50
2005
410
360
50
2006
315
315
2007
166
166
2008
202
202
2009
240
202
2010
240
202
2011
240
202
2012
241
203
2013
170
131
Totals
2,550
2,259
100
· Allocated to ShapeU's Eagle Ridge development, an action taken by the City Council duting the 1994 RDO competition.
G:\COMDEV\RDO docs\RDO Status Reports\ROO Numerical Growth Limits (2004-2013) big picture. doc
ATTACHMENT #3
Section 50.62
Application of Ordinance
, '
(a) The provisions of this Residential Development Ordinance shall apply to all residential
development projects proposed to be constructed within the City of Gilroy, except for those
residential development projects specifically listed as exempt in paragraph (b) following.
(b)' IThe following types of residential projects are exempted from the provisions of this Residential
Development Ordinance, except that projects specifically exempted under Subparagraphs (1),
,(3), (4), and (5) below shall be tabulated in housing goals as described in Section 50.63(a). A
project may not qualify for more than one of the following exemptions.
(4) . A project which meets the standards established by the "Policy Statement for Exempting
Affordable Private Development Proposals from the ROO" is exempt if the project consists of
, seventy-five (75) units or less aIid the project is specifically approved for exemption by the City
Council. Such projects may not be immediately adjacent to another project exempted under
subsection (3) or (4) of this Section within the previous three (3) years except where the City
, . Council approves a specific exemption.
I ' ,
I the 'City Council shall grant an exemption under this s~bsection only if the City Council
determines the project would substantially benefit the City, and would not create significant
. ' negative impacts to public facilities or to providers of public services in the community or to the
: Gilroy Unified School District. The City Council shall also consider the following elements in
determining whether to grant this exemption: . '
a. The number of exempt units which have already been granted during the current RDO
cycle, and the number of years left in the cycle;
b. The affordability of the project;
c. The need for the types of units which are proposed;
~. The number of affordable housing projects constructed or proposed within the project
vicinity;
e. The diversity of unit type and architectural styles which are proposed in I the entire
development; and
f. The site design and proposed building elevations.
All requests for an exemption under this subsection shall be processed through an Affordable
Housing Exemption from RDO application. Public hearings before the Planning Commission
and City Council shall be held to consider this application.
I, RHONDA PELLIN, City Clerk of the City of Gilroy, do hereby certify that the attached
Resolution No. 2004-60 is an original resolution, or true and correct copy of a city resolution,
duly adopted by the Council of the City of Gilroy at a regular meeting of said Council held on the
21 st day of June, 2004, at which meeting a quorum was present.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Official Seal of
the City of Gilroy this 29th day of June, 2004.
~
City Clerk of the- City of Gilroy
(Seal)