C | Public Hearing, Consideration and Possible Adoption of Ordinance No. 2019-02: An ordinance amending the Flagstaff Zoning Map designation of approximately 14.51 acres of real property located at 825 and 829 E. Butler Ave. on parcel numbers 104-13-002B and 104-03-005B from Light Industrial (LI) and Heavy Industrial (HI) to 2.24 acres of Highway Commercial (HC) and 12.27 acres of High Density Residential (HR), for purposes of developing a multi-family residential and commercial project. (McGrath Partners Zoning Map Amendment request for property located at 825 and 829 E. Butler Ave.) | ||||||
Mayor Evans opened the public hearing. Planning Development Manager Elaine Averitt provided a PowerPoint presentation that covered the following: ZONING MAP AMENDMENT REQUEST PZ-17-00089-03 LOCATION AND SURROUNDING USES REQUEST ZONING EXHIBIT PROPOSED SITE PLAN RENDERED SITE PLAN Comprehensive Planning Manager Sara Dechter continued the presentation. FLAGSTAFF REGIONAL PLAN 2030 – FUTURE GROWTH ILLUSTRATION MAP FLAGSTAFF REGIONAL PLAN 2030 CONFORMANCE Ms. Averitt continued the presentation. ZONING CODE STANDARDS COMPARISON ARCHITECTURAL ELEVATIONS COMMERCIAL ANCHOR COMMERCIAL CORNER BUILDING Councilmember McCarthy asked if the elevations were binding. Ms. Averitt stated that they are binding as they are part of the overall site approval, but the commercial is left conceptual for final site plan. There is language in the Development Agreement that holds the developer to minimum square footage and height. RESIDENTIAL BUILDINGS DEFERRED SUBMITTALS PUBLIC SYSTEMS IMPACT ANALYSIS DEVELOPMENT AGREEMENT CITIZEN PARTICIPATION FINDINGS RECOMMENDATION RECOMMENDED ACTION Vice Mayor Shimoni asked for a breakdown of the rooms. Ms. Averitt stated that there are seven studios, ten one bed/one bath, ten two bed/two bath, 15 three bed/three bath, and 190 four bed/four bath. Vice Mayor Shimoni stated that the number of four bed/four baths are concerning, it is very student dominated and he is not sure that anyone else would want to live there. Ms. Averitt stated that one of the Regional Plan goals of the Urban Activity Center was to have mixed unit times. Staff was also concerned, and the developer agreed to bring the four bed/four bath numbers down from what was originally submitted. Vice Mayor Shimoni offered that the collaboration with NAIPTA to provide bus passes to residents was successful for the Grove. Ms. Averitt stated that the developer has been talking with NAIPTA and they have a letter of intent to participate in a similar program. Councilmember Odegaard asked about recycling. Ms. Averitt explained that there is a plan for recycling with a chute system for ease of use. Councilmember Aslan stated that the project is not far from Sinclair Wash which is a nice area for recreating. There are discussions about getting water back into the wash and considering how close it is to the project it might be good to include improvements as part of the development. Ms. Averitt stated that there has not been much discussion about the open space off the site except for the plan to connect the FUTS trail with the existing trail. There is open space on the property, but it is steep and needs to be cleaned up a little bit. The Development Agreement indicates that the area could not be developed and the trees that are there must be preserved. Councilmember Whelan stated that every project that has come forward the traffic impacts are a major concern for the public. There are large developments that will truly impact the community, yet the reports say differently. She asked if there are turn lanes proposed in or out of the development. Ms. Averitt stated that the developer is required to build a turn lane off of Butler. Councilmember Whelan stated that traffic moves quickly on Butler and a short turn lane is cause for concern and the other concern is the pedestrian traffic from the shopping area into this development. Vice Mayor Shimoni stated that he is appreciative of the inclusion of the affordable housing units but he has a lot of concern about the number of four bedrooms. NAU’s enrollment is not spiking and there are a lot of other student housing units coming down the pipeline and it may not be possible to fill those units. Councilmember McCarthy offered that he likes the idea of mixing up the number of unit sizes so a project is not just for students but he knows that a lot of students live in areas that are more ideal for families and if they had a more appropriate place to live, that is conducive to their needs as a student, then that could free up more housing for families. There is a lot of community concern about too many student projects but the other side that is being ignored is that these developments can allow students to move out of the single family areas and into units that are more appropriate. Mark Lindley with McGrath Real Estate Partners came forward and introduced the following: Development Partner Barrett Kurt
Architect Curtis Kirkly from Kirkly Watkins Group Civil Engineer Guillermo Cortes with SWI Retail Development Partner Trey Atkin with Accelerated Development Services CEO and General Manager Erika Mazza with NAIPTA Mr. Lindley provided a PowerPoint presentation that covered the following: MCGRATH REAL ESTATE PARTNERS SITE PLAN – MAIN STREET CONCEPT COMMUNITY CONCERNS COMMUNITY CONCERNS – TRAFFIC IMPACT COMMUNITY CONCERNS – MULTIMODAL TRANSPORTATION Ms. Mazza addressed Council stating that she has received a letter of interest for bus passes for residents for five years. The residents would have direct access to Routes 3, 7, and 14. She also reported that the developer is also proposing a one-time donation of $41,846 to a new fund that NAIPTA will be putting forward for low income, homeless, and disadvantaged individuals for low cost bus passes. Mayor Evans asked the cost to have everyone in the development have an ecopass. Ms. Mazza stated that the first year is around $20,000, there is a caveat in that NAIPTA is working on a study to better evaluate the cost for a developer coming in which has a higher demand than an employer. Pricing will likely change once the study is complete. Mayor Evans asked what the percentage of people is who actually use the ecopass. Ms. Mazza explained that they have not been able to delineate that out but the new program that is coming forward will hopefully help identify the different types of usage. Mr. Lindley continued the presentation. COMMUNITY CONCERNS – AFFORDABLE HOUSING COMMUNITY CONCERNS – POLICE DEPARTMENT COMMUNITY CONCERNS – MULTIFAMILY OR STUDENT HOUSING? Councilmember Aslan asked how many units are being designated as affordable and how are they broken down by room. Mr. Lindley stated that there are 24 affordable units that range from studio to three bedrooms. Councilmember Aslan stated that in terms of affordable housing and who needs it, it is the workforce, families, and professional graduate students. It seems unfair that the solution is to put them into a student housing development. Mr. Lindley stated that he understands the sentiment, but he cannot give his 10% of affordable housing to someone else. What he can do is give access to all the amenities the development can provide to 24 affordable units. Ms. Averitt clarified that the reason the four bedrooms were not included in the affordable unit mix is because the demand for affordable housing units is for smaller units. Mr. Lindley continued. COMMUNITY CONCERNS – SUSTAINABILITY COMMUNITY CONCERNS – ECONOMIC IMPACT SUMMARY Vice Mayor Shimoni asked what the rental cost will be for a four bedroom. Mr. Kurt stated that they do both multi-family and student housing developments, so they understand both project types. In looking at NAU and the existing supply and occupancy there is an average market of 98.5%; a healthy market is below 95%. Developers will keep coming until the market number gets below 95%. They are currently underwriting rents below everything out there and they will increase supply and provide a more affordable option to students and non-students. They have some flexibility in unit mix and want to work with the City to increase the efficiencies and one, two, and three bedrooms. In terms of a range for rent on the four bedrooms it is roughly $2,000 to $2,400 per month. Vice Mayor Shimoni stated that he sees this as a nice infill project in a nice location that is not disturbing a neighborhood. He would like to see community reflected in the space and asked if there is any thought of integrating a community garden, greenhouse, or pocket parks. Mr. Lindley stated that those things have been done in their other developments, but they have not been successful but if it is something the City would like to see it could be incorporated. Mr. Kurt stated that a different unit breakdown could be to increase studios to 22, one bed/one bath to 20, two bed/two bath to 36, three bed/three bath to 25 and reduce the four bed/four bath to 165. This would increase the total units from 238 to 268 and the affordable units would increase from 24 to 27. In addition to the 10% affordable housing units there will also be a $100,000 contribution to affordable housing. Mayor Evans asked who does the leasing on the units. Mr. Lindley stated that they hire a third-party company to do the leasing and management. Councilmember Aslan asked if the developer could add a commitment to maintain and restore the Sinclair Wash area. There is a community group that has a vision for that area that might be a good partner in that effort. Mr. Lindley stated that they are in the final stages of the development plans and the best he can do is offer his commitment to work with the community and see what could be done. Councilmember Aslan stated that he applauds the effort to work with the City and the community. This development is reacting to the concerns of Flagstaff and that can go a long way. Mr. Lindley stated that they are a small company and they do not do a lot of projects. Being smaller allows them to do their best to be stewards of the communities they are in and take the time needed to do things right. Councilmember Salas thanked Mr. Lindley and his partners for their work with City staff, the Council, and the community. She thanked them for their conscious efforts to include the community in the process. She encouraged them to continue working with them and involving other community stakeholders. Justin Clifton addressed Council with concerns about how the development will impact the traffic in the area. He asked that there be a restriction on left hand turns into or out of the development from Butler. He is supportive of the project and feels that Council could push for additional concessions. Trevor Carter addressed Council and offered that this is not about stopping the project but providing solutions. The developers are bending over backwards; they do not want to say no, but every concession they give has to be paid by someone. There is nothing wrong with a development being profitable. There are concessions but be careful not to scare away a developer who comes to this forum and is generous. There should be a compromise. A break was held from 8:29 p.m. through 8:41 p.m. Mayor Evans stated that the weather is beginning to turn and suggested that the public hearing be continued to the next Council meeting. |
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Moved by Councilmember Jim McCarthy, seconded by Councilmember Charlie Odegaard moved to continue the Public Hearing to February 19, 2019. Vice Mayor Shimoni stated that he appreciates the postponement because the weather may have kept people from coming and providing comments. | |||||||
Vote: 7 - 0 - Unanimously | |||||||