Motion 1999-1230- Use Permit to allow 5 new office buildings with a FAR (Floor Area Ratio) of 53.7% where 35% is allowed without a Use Permit.

Previous Actions on the Site: The following table summarizes previous planning applications related to the subject site.

The applicant proposes to develop an office campus on three lots. The project would consist of 5 office buildings of 4 and 5 stories and would also include a 3-level parking structure. The office buildings would be approximately 797,000 square feet which would include approximately 57,000 square feet of ancillary uses such as a gym, locker rooms, cafeteria and large meeting areas. The Use Permit is required because the applicant is requesting a Floor Area Ratio (FAR) of 53.7% where 35% is allowed by assignment from the Lockheed/Martin SMUP.

A Mitigated Negative Declaration has been prepared in compliance with the California Environmental Quality Act. In order to mitigate projected traffic impacts, the applicant will be participating in the City's cumulative traffic mitigation framework and will also contribute a fair share to regional traffic mitigation. The Mitigated Negative Declaration is located in Attachment 3.

In December 1999 the applicant conducted a survey of burrowing owls in accordance with the Lockheed Site Master Use Permit EIR. The project site was found to be clear of burrows used by owls.

Use: The project site is entitled to a Floor Area Ratio (FAR) of 35% by assignment from the Lockheed/Martin SMUP. The applicant proposes a five-building office campus with a FAR of 53.7%. The project site consists of three lots which were formerly part of Lot 18 of the Lockheed/Martin Plant 1. The 97.82-acre Lot 18 was subdivided into five lots in 1998. The three subject parcels are located adjacent to Mathilda Avenue and are no longer part of the Lockheed campus. The three project parcels total 34 acres.

Floor Area Ratio: The FAR controls the intensification of uses on a specific parcel by limiting the amount of gross square footage of the building(s) relative tot he parcel size. The proposed use a t 53.7% FAR is a more intense use than allowed by the SMUP at 35% FAR. The difference between the 35% FAR and the proposed 53.7% FAR is a net increase in square footage of 277,874 square feet. The project would be used as office with ancillary uses such as a gym, cafeteria, training center, company stores, demonstration areas and other indoor recreation areas. The ancillary uses would occupy approximately 57,000. The remaining office area would be 740,000 square feet with an effective FAR of 49.9%.

Site Layout: The project is designed over three lots (Attachment 4). Four buildings (Buildings A-D) are located on two lots at the northwest corner of First Avenue and Mathilda Avenue that will eventually be joined. The parking structure will also be located on this part of the site. Parking is located around the periphery of the site with most of the surface parking located in the northwest quadrant and the three-level parking structure located in the northeast quadrant. The four buildings on this site form a courtyard that has water features and sport courts and maintains views to the bay over the wetlands to the north.

The fifth building (Building E) would be located on a separate lot at the southwest corner of First Avenue and Mathilda Avenue. This building would have its own parking area located on the west side of the lot. This corner building will provide the first view of the project as one travels north on Mathilda Avenue. It also forms a strong architectural presence opposite Building D on the north side of the street.

The following Guidelines were considered in analysis of the project site design.

The site layout is designed well. The buildings relate to each other and provide significant amenities and open space. The project is also sensitive to its location near the bay.

Architecture: There are five office buildings proposed for the site and a three-level parking garage. Elevations are located in Attachment 4. The buildings would be 4 and 5 stories with a maximum height of approximately 74 feet including the mechanical equipment screening. Along with the 4-story Menlo-Equities buildings approved across the street, this project provides a new architectural direction in the Moffett Park area.

The project architecture is streamlined and contemporary. The building height is balanced with strong horizontal features including the length of the buildings and the sweeping horizontal rows of glass windows. In addition to glass, the buildings are articulated with changing planes and the use of quality materials such as metal and pre-cast concrete building panels to break up the building mass and add human scale. One key feature of each building is the upper level balcony where people can be seen to help animate the facades. The ends of Buildings D and E which face south on Mathilda Avenue are further enhanced with accent color and extended eave features.

The parking structure architecture consists of building materials similar to the other campus buildings. It is clad in pre-cast concrete with shaped metal car screen grills and glass used in accent areas.

There are several areas of architecture that staff recommends additional work on the level of detail. Staff believes the south/First Street end of Building A requires the same high level of detail as demonstrated in the south end of adjacent Building D. These two buildings come together to form the main entry way into the campus and staff believes additional attention should be paid to this area of the architecture. Staff would also like to further explore with the applicant additional details to the north/First Street end of Building E. The two First Street ends of Buildings D and E should form a significant corner statement at the Mathilda Avenue intersection particularly since Building E is located close to the street. Staff also recommends that the elevations of the parking structure facing Mathilda Avenue be enhanced. The parking structure elevations could use more detail related to the other buildings on the proposed campus. Condition of Approval No. 11 requires these changes.

In addition to the staff recommended changes, the Planning Commission also recommended that Condition of Approval No. 11 be modified to require the applicant to break up large expanses of glass on the buildings.

The following Guidelines were considered in the analysis of the project architecture.

In staff's opinion the project's' contemporary architecture is distinctive and is used in a comprehensive way throughout the site. The project forms a significant corner statement at the intersection of Mathilda Avenue and First Avenue. The project will help upgrade the image of the Moffett Park area.

Landscaping: Final landscaping plans will be submitted to be reviewed and approved by the Director of Community Development prior to issuance of a building permit. The applicants have submitted a conceptual landscape plan with this project application. The project includes large parking lot trees that can reach to 30 feet high with a spread also of 30 feet. Other accent trees will be planted around the buildings and at the site entrances. Condition of Approval No.23 requires that final tree species selection be approved by the City's arborist to insure compatibility with soil and weather conditions near the wetlands and bay and to provide the screening effect shown in project renderings.

One of the key features of the landscape plan is the central campus green. The buildings are clustered around this large open space. Campus amenities such as sports courts and outdoor eating areas face onto the green. The conceptual plan also indicates that special landscape or water features will be incorporated into the green.

At the southwest corner of First Avenue and Mathilda Avenue (Building E) there is another landscape feature area indicated in the corner setback.

The following Guidelines were considered in analysis of the project landscaping.

A Transportation Impact Analysis (TIA) was prepared for the project proposal by the firm of Optrans, Incorporated, and reviewed and approved by City staff. The TIA was prepared according to Santa Clara Valley Transportation Authority (SCVTA) Congestion Management Program (CMP) requirements. Intersection, freeway, and alternative transportation impacts were assessed per the CMP. The TIA also looked at a number of non-CMP, City-controlled intersections.

It should be noted that at the time of data collection for the analysis, the Tasman West light rail transit project was under construction. Assumptions were made to adjust traffic volumes for disruption of traffic patterns and volumes due to construction activity. A comparison of historic and current traffic volumes resulted in minor increases in base traffic volume assumptions.

Fifteen intersections were studied for level of service impacts, including three CMP intersections. The study found that the proposed project will not cause any violation of the City’s or the VTA's baseline LOS policies in the project condition.

The CMP TIA Guidelines also call for freeway capacity to be studied. Freeway impacts were identified on four freeway segments, as follows:

• US 101 between Great America Parkway and Lawrence Expressway (PM peak hour)
• US 101 between SR 237 and Moffett Boulevard (AM & PM peak hours)
• SR 237 between SR 85 and Central Expressway (AM peak hour)
• SR 237 between Lawrence Expressway and Great America Parkway (PM peak hour)

A significant impact has been identified due to the addition of 1% or greater of the freeway capacity to an already congested (LOS F) freeway segment. Mitigation is required per State Congestion Management Program law. The Santa Clara Valley Transportation Authority (VTA) is developing a mitigation program for non-locally controlled streets, e.g. freeways and expressways, called the Countywide Deficiency Plan. This plan is intended to identify mitigating and offsetting improvements to the freeway and expressway system, and funding mechanisms for these improvements. In the interim, the VTA is accepting a $ 1/square foot above development levels allowed by right as a sufficient mitigating contribution to future improvements to the freeway and expressway system. Staff is recommending that Condition of Approval 33 be included to require a $ 1/square foot contribution to improvements to the regional roadway system for development levels above that allowed by right, as determined by the Director of Community Development.

The CMP TIA Guidelines also require an analysis of intersection turn pocket capacity. No impacts were identified; however the project will add traffic to the complex SR 237/Mathilda Avenue interchange. The complexity of this interchange causes certain vehicle movements to create short-term congestion. This will be exacerbated by the addition of project traffic and traffic from other approved/proposed developments. The TIA recommends that turn pocket capacity be monitored and the operating strategy, e.g. signal timing and control be adjusted to manage vehicle queues.

The TIA also analyzed site circulation and alternative transportation impacts of the proposed project. It should be noted that the proposed project will install sidewalk on the Mathilda Avenue frontage and create a public access to the Bay Trail. These constitute positive environmental impacts.

The project application and TDM plan are not clear on the amount of bicycle parking to be provided. Staff is recommending that Condition of Approval 13 be included to require the applicant to install bicycle parking per the VTA Bicycle Technical Guidelines.

Because the proposed campus straddles both sides of First Avenue, it is anticipated that employees will travel between sites 1 and 2 during the conduct of normal business. The potential will exist for unsafe mid-block crossing of First Avenue by pedestrians. To discourage this, staff is recommending that landscaping and pathways be designed to encourage pedestrians to use the First Avenue/Mathilda Avenue signalized intersection and crosswalk to cross First Avenue. (Condition of Approval No. 18)

The TIA identified that sight distance at the project driveways on First Avenue is an issue due to a horizontal curve of the roadway. Condition of Approval No. 19 is included to maintain a minimum of 300 feet of clear sight distance at the project driveways.

Staff has assessed the project’s cumulative environmental impact on traffic. The Sunnyvale Land Use and Transportation Element identifies a long term, citywide transportation system deficiency based on traffic increases from planned development. This project will add new trips that will contribute to the forecast transportation system deficiency. The project’s proposed FAR also is greater than 35%, and this exacerbates the cumulative traffic impacts already identified in the Land Use and Transportation Element. Therefore, staff is including as project mitigation a condition that the developer will contribute funds for future roadway network improvements, consistent with the City’s mitigation framework for long-term transportation impacts.

The applicant has agreed to participate in cumulative and regional traffic mitigation (Conditions of Approval Nos. 32 & 33)

The applicant has submitted a TDM Plan for the proposed Yahoo campus. The applicant proposes to maintain an 18% alternative transportation mode use by its’ employees. This plan highlights a number of on-site amenities provided by the applicant to encourage employees to reduce trips, including cafeterias, recreational facilities, a convenience shop, and possibly a child care facility.

The applicant proposes to retain a Transportation Coordinator to provide alternative transportation information and services, and will subsidize employee transit passes. The applicant will provide an on-call shuttle service to and from regional transit hubs between the hours of 10:00 AM and 3:00 PM. A guaranteed ride home program is proposed to be developed. The applicant/tenant also allows flextime for employees. The proposed program would represent a comprehensive and potentially effective TDM Program.

The Plan discusses telecommuting. City staff does not view telecommuting as a favorable means to reduce trips unless the telecommuter’s office space is not utilized for other activities. Many employers use telecommuting as a means for "hoteling" employees. Therefore, office space remains occupied and there is no reduction base trip generation from the use.

A TDM Plan is not required for this site but has become a common tool for evaluation of the impacts of higher FAR projects. Recordation of the Use Permit conditions of approval will assure long-term notification of the requirement for the property to require the property owner or occupant to assure that at least 18% of employees on the site use alternative transportation tot reach the site, as determined by an annual TDM survey. The property owner or occupant will comply with the City of Sunnyvale requirements for financial penalties should the TDM goal not be met (Condition of Approval No. 14c).

Parking/Circulation: The project zoning requires a minimum of one parking space per 500 square feet or a maximum of one parking space per 250 square feet. The proposal includes a total of 2,491 parking spaces (1 space/319 s.f.) where a minimum of 1,594 spaces is required and a maximum of 3,188 is allowed. For comparison, a 35% FAR project on this site would permit a maximum of 2,077 spaces. Some reduction in parking (e.g. landscape bank for future parking) may be appropriate to support the TDM goal of 18%.

As required by code, the project includes 249 (10%) preferential parking spaces for car/vanpools in close proximity to the building entrances. The project includes 990 spaces within a three-level parking structure.

Pedestrian access has been design throughout the site between buildings by clustering the buildings into a campus around a common campus green. Condition of Approval No. 15 requires that clear pedestrian pathways be established through the parking lots leading to project entrances.

Bicycle parking will be provided on-site. Bicycle parking is a component of the proposed TDM program. Valley Transportation Authority Bicycle Technical Guidelines call for one bicycle parking space per 6,000 square feet of development in order to meet an anticipated parking demand from a 2% mode share for bicycles. Two percent is approximately the ambient mode share for bicycle commuting in Santa Clara County. Using this ratio, the project should provided 133 secured bicycle parking spaces (e.g. bike lockers or storage areas). Condition of Approval No. 13 addresses bicycle parking.

Site access is adequate. Access to the south lot of the project is provided off of Third Avenue on the south side and First Avenue on the north side. Access to the north lot of the project is provided by two driveway entrances off of First Avenue.

The following Guidelines were considered in analysis of the project parking and circulation.

The parking plan is adequate and meets the City's design guidelines for parking and circulation.

Easements/Undergrounding: Sidewalks are required to be installed around the periphery of the site where they currently do not exist. The sidewalk area along Mathilda Avenue north of First Avenue is required to be developed as a separated bike/pedestrian lane to accommodate access to the Bay Trail for both types of users. Condition of Approval No. 31c addresses the shared bike/sidewalk requirement. Also, an extension to the Bay Trail will be provided along the east edge of the site. (Condition of Approval No. 16).

All utilities are required to be undergrounded. All dedications, easements and agreements related to off-site improvements shall be required and provided by the applicant as deemed necessary by the Department of Public Works. Staff has included Condition of Approval No. 31a to ensure necessary off-site improvements are completed.

Art in Private Development: Non-residential sites over two acres are required to provide public art. The approval of a specific installation is subject to approval by the Arts Commission. The Planning Commission should review the general location on the site; the selected artist, the artwork, and its final location are subject to the Arts Commission approval. The ordinance requires that artwork be visible from the street. The applicant has indicated two potential sites for public art - at the main entry point to the campus between Buildings A and D and at the south end of Building E. Staff has included Condition of Approval No. 5 to address placement of art and to ensure that art is placed at the site prior to occupancy. The condition also recommends that the site provide a minimum of three pieces of artwork.

The proposal meets or exceeds all development standards. The proposed site plan adequately addresses all site issues. Since the project exceeds 35 percent FAR it requires a Use Permit. As noted in the Findings - Criteria section (Attachment 1), staff notes that the proposed project has sufficient elements to merit consideration of a higher FAR.

General Plan

The following goals and policies were considered to determine conformance with the General Plan.

In the short term, construction related activities will increase noise and dust. In the long term, the proposal will result in an increase in building mass in the vicinity and will increase traffic. The site is near other high FAR areas and can accommodate the proposed 53.5% FAR without significant adverse traffic impacts. The site plan and building design minimize negative impacts and enhance the streetscape and the surrounding industrial park. The project improves aesthetics in the area and adds a high quality corporate character.

In order to approve a Use Permit, either of the following findings must be made:

• Staff was able to make the required Findings. The Findings are located in Attachment 1.

As part of the review process, staff may recommend Conditions of Approval be placed on an application. These conditions clarify or modify the applicant's proposal in order to meet requirements imposed by the Municipal Code, policies and standards set forth by the General Plan, Special Plans and the City Council and other specifications that staff believes will enhance the visual character and/or add greater diversity to the City. The recommended Conditions of Approval are located in Attachment 2.

• Staff is recommending approval for this project based on the Findings (Attachment 1) and subject to the Conditions of Approval (Attachment 2).

Normal fees and taxes are expected. The project will also contribute to the City's cumulative traffic mitigation program. No other fiscal impacts are anticipated.

Notice of the Negative Declaration and the public hearings for this project were published in the Sun newspaper, posted on the site and mailed to the property owners within 300 feet of the project site.

The staff report for this project was posted on the City of Sunnyvale's Website and a copy of the report was provided at the Reference Section of the City of Sunnyvale's Public Library. The City Council Agenda was posted on the City of Sunnyvale's Website and recorded for SunDial.

The Planning Commission reviewed this project at a public hearing on January 24, 2000.

1. Uphold the decision of the Planning Commission and affirm the Mitigated Negative Declaration and approve the Use Permit subject to the attached Conditions of Approval.
2. Affirm the Mitigated Negative Declaration and approve the Use Permit with modifications.
3. Affirm the Mitigated Negative Declaration and deny the Use Permit.
4. Do not affirm the Mitigated Negative Declaration and direct staff as to where additional environmental analysis is required.

Alternative No. 1.

Prepared By:

Gerri Caruso
Project Planner

Reviewed By:

Gail A. Price
Principal Planner

Reviewed By:

Trudi Ryan
Planning Officer

Reviewed By:

David S. Boesch
Community Development Director

Approved by:

Robert S. LaSala
City Manager

Attachments: 

1. Findings
2. Conditions of Approval
3. Mitigated Negative Declaration
4. Site Plan and Elevations
5. Planning Commission Minutes from January 24, 1999
6. Transportation Demand Management Program (separate document)

1. The proposed use attains the objectives and purposes of the General Plan of the City of Sunnyvale:

Land Use and Transportation Element:

Community Design Sub-Element:

2. The proposed use is desirable, and will not be materially detrimental to the public welfare or injurious to the property, improvements or uses within the immediate vicinity and within the Zoning District because project impacts are mitigated. The project will also establish high quality office space with distinguished architecture and site design features. The project meets development standards and includes a TDM program to reduce project traffic impacts.

Certain development in excess of 35 percent floor area ratio (FAR) in Industrial Zoning Districts (M-3 or M-S) requires approval of a Use Permit. In addition, to assist the decision-makers in considering higher FAR developments, the following review criteria will be used. These review criteria were adopted by the City Council on May 4, 1999.

In addition to complying with all applicable City, County, State and Federal Statutes, Codes, Ordinances, Resolutions and Regulations, Permittee expressly accepts and agrees to comply with the following conditions of approval of this Permit:

a. Conduct all necessary off-site improvements as deemed necessary. Plans shall be approved by the Department of Public Works prior to issuance of Building Permits.

b. Sidewalks shall be designed, constructed and/or installed in accordance with City standards prior to occupancy.

c. Sidewalks along the east property line north of First Avenue shall be designed a separated sidewalks to accommodate bicycle access to the Bay Trail. Final design of the bike/pedestrian access shall be reviewed and approved by the Director of Public Works prior to issuance of a building permit.