The proposed project area is currently occupied by 4 single story industrial buildings totaling 167,500 square feet in floor area. The buildings were constructed in the mid 70’s and are currently used for storage/warehousing, general industrial, and office and research uses.

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

A study issue (Futures Study) allowing the development of residential units in areas zoned for industrial use was completed in 1993 to address ongoing housing shortages. As a result of the study, City Council approved a Rezone, which added the Industrial to Residential (ITR) Combining District to the existing M-S Zone. The ITR Combining District allows industrial, office, commercial and residential uses to exist within the same zoning district, and allows existing industrial, office and commercial sites to convert to residential use.

The applicant seeks approval of a Special Development Permit and Tentative Map to develop 168 condominium units. Implementation of the project will require the demolition of four existing industrial buildings. The project site will take access from Tasman Drive and Karlstad Drive. The project site is located on the opposite corner as the Tasman light-rail station and the site design highlights convenient pedestrian access throughout the site to enhance access to both light-rail and bus options.

The proposed 168 additional housing units will help ease the City’s jobs/housing imbalance. The project also contributes to the need for affordable housing as defined in the Housing and Community Revitalization Sub-Element of the General Plan by providing 17 below market rate ownership units.

A Mitigated Negative Declaration has been prepared in compliance with the California Environmental Quality Act provisions and City Guidelines. An initial study has determined that the proposed project would not create any significant environmental impacts with implementation of the recommended mitigation measures.(See Attachment 3, Initial Study).

An acoustical assessment was conducted by Edward L. Pack Associates, Inc. regarding the potential for noise impacts on residential units closest to Tasman Drive and Fair Oaks Avenue.

The Noise Sub-element of the General Plan, Action Statement 3.6A.1f notes: "Supplement the "Noise and Land Use Compatibility Guidelines" for residential uses by attempting to achieve an outdoor Ldn of no greater than 60 dBA for common recreation areas, backyards, patios, and medium and large-size balconies. These guidelines should not apply where the noise source is a railroad or airport…."

The acoustical assessment concluded that exterior noise levels would exceed the General Plan Action Statement noted above along Fair Oaks Avenue and Tasman Drive. Fair Oaks Avenue would exceed the goal of 60 dB by 3dB for a total future estimate of 63 dB. Tasman Drive exceeds the General Plan goal by 10 dB for a future estimate of 70 dB. These potential noise impacts are the result of project design which incorporates a strong pedestrian connection with the street. Front doors face the street and small patio areas are elements of the approach to the main entrance of each unit. It is these patio areas that are subjected to traffic noise from the fronting street. The design approach for these buildings was selected due to the proximity of multi-modal facilities. Best Practices recommended by VTA include "ensure that entrances are placed as near to adjacent bus and rail stops as possible" and "Provide main building entries on public streets rather than through internal courts".

Table 2 "State of California Noise Guidelines for Land Use Planning Summary of Land Use Compatibility for Community Noise Environment" of the Noise Sub-element of the General Plan provides suggested exterior noise exposure by land use category. The "Normally Acceptable" range of noise for residential use extends to 60 dB. "Conditionally Acceptable" noise for residential uses extend to 75 dB. The future noise projections for both Fair Oaks Avenue and Tasman Drive fall within the "Conditionally Acceptable" category. Due to design goals and aesthetic issues, no exterior noise attenuation is proposed. To achieve attenuation to 60 dB along Fair Oaks Avenue and Tasman Drive for the outdoor patio areas would require walls ranging in height from 9 to 15 feet in height above street grade.

Project design has considered competing goals of noise attenuation and pedestrian access. Since the project is located very close to the Tasman light rail station, it was determined that pedestrian access would supersede. In balance, common open space areas in proximity to the pool and club house area provide alternative outdoor space for those occupants who find their exterior patio area uncomfortable.

Interior noise levels along Fair Oaks Avenue and Tasman Drive would not exceed City noise standards provided:

Use: The proposed project would convert an existing industrial site to residential use. The condominiums proposed by this project are consistent with the uses allowed for the MS-ITR-R3/PD Zone within which the site is located. The proposed project attains a density of 19.16 du/acre (79.8%), meeting the Housing and Community Revitalization Sub-element goal of providing 75% of the maximum density allowed.

A total of 34 residential buildings, a maintenance/equipment/bathroom structure and a swimming pool would be located on the project site. Building fronts will address three streets; Fair Oaks Avenue, Tasman Drive and Karlstad Drive. Due to the close proximity of the Tasman Light Rail Station and to encourage multi-modal use, the project incorporates a strong pedestrian orientation toward the streets. Stairs, entries and private courtyards are oriented outward to the streets. Internal pathways allow easy access from the interior buildings to the streets and public transportation.

The applicant is proposing a deviation for the minimum distance between main buildings allowing 10 feet between buildings where 20 foot minimum is required. The separation between buildings throughout the project vary from 10 feet to 22 feet allowing variation in pedestrian pathways. Building architecture incorporates two building end designs; an enhanced end with pop-out articulation and a standard end. The architecture of the building ends, where a minimum separation of 10 feet is maintained, do not incorporate enhanced building articulation due to the minimum distance between the buildings at these locations. No special Building and Safety construction requirements will result from the requested deviation.

The project meets all setback requirements as noted below:

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

Building elevations within the complex have been enhanced in response to comments received from the Commission at its Study Session on March 24, 2003. Similar to the building elevations facing public streets, the interior elevations have been upgraded with additional pot shelves and window shutters.

The maximum height of the buildings will vary slightly along different street frontages from approximately 46 feet (along Kalstad) to 48 feet (along Tasman) as measured from top of curb. The total building height includes additional grade ranging from 3 to 4.6 feet after filling and re-grading to meet AE flood plane requirements. (The AE Flood Zone designation requires a survey of the subject property to determine the base flood elevation). The proposed building height constitutes a deviation from the maximum building height of 30’. The original building height of 46 feet has been lowered to 43 feet 8 inches in response to Planning Commission comments at the Study Session held on March 24, 2003.

Building height deviations are not uncommon in the R-3 Zoning District as it is difficult to meet the minimum density requirement of 75% and provide required parking, open space and site circulation in a two story structure; particularly when townhouse style development includes 2-car garages. The "Gardens" (located at California Avenue and La Mesa Terrace) is an example of a somewhat similar ownership project where three story structures are constructed on raised topography. In the case of the current project, due to the quality of the architecture, special pedestrian spaces, large common open space and other amenities provided by the project, staff believes that the proposed building height deviation is justified.

Each unit will have a private patio at the entrance to the unit defined by a low decorative wall with metal railings. The base of each building will be enhanced with decorative exterior materials or bolder color.

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

A tree protection plan and a landscaping/irrigation plan with types, quantities and sizes of trees and shrubs are required before issuance of a building permit (see Condition of Approval #14). Landscaped and open space areas have been identified on the site plan. The proposed percentage of landscaping for the project is 38% (20% is required).

As proposed, the project provides 455 square feet of usable open space per unit where a minimum of 400 square feet is required. A patio area is located at the entrance of each unit which varies in size from 244 to 330 square feet in area. Approximately half of these patios are somewhat irregular in shape and, consequently, a portion of the area does not meet the minimum 12 foot dimension requirement (the minimum dimension provided is 10 feet). Since a portion of these patios do not qualify as usable open space, the patio area does not meet the 200 square foot minimum required of usable open space; therefore, approximately half of the private patios do not meet the technical usable open space requirement. However, even though technically undersized, these patios will provide a functional private outdoor space for future owners to use as they wish.

The irregular shape of these patio areas is a result of building articulation and stairway entrances. A redesign of the building façade may resolve the technical issue of calculating usable open space but would also negatively affect the building architecture. In any case, the minimum usable open space area of 400 square feet has been met by the project. In balance, the project also provides 38% total open space (nearly twice the minimum requirement of 20%) and a large usable common open space of approximately 6,500 square feet (pool area).

The R-3 Zone also notes a minimum total landscape area requirement of 425 square feet per unit. With 873 square feet per unit, the project provides more than twice the minimum total landscape area per unit.

The project meets minimum usable open space requirement, and exceeds all other open space and landscape area standards. Staff has identified no significant negative impacts resulting from the proposed deviation and, taken as a whole, finds the open space and usable open space design as adequate.

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

Parking provided meets all current requirements. There are a total of 420 spaces provided of which 336 will be provided in 2-car garages for each unit.

The current site plan does not show proposed bicycle storage. Condition of Approval No. 26 requires that bicycle parking be provided on site per VTA standards.

As previously noted, the project site is located within a VTA transit opportunity zone. As such, several VTA-proposed design guidelines have been incorporated into the site design. An internal pathway system providing convenient access through the complex to the light rail stop on Tasman Drive and an outward oriented pedestrian theme has been maintained along all street frontages.

Undergrounding: All utilities and service-drops will be placed underground.

Tentative Map

General: The project proposes the subdivision of three existing lots into 168 condominium lots and one common lot. The common lot will be in common ownership and will be maintained by a Home Owners Association.

Access: Vehicle will be provided to the project site from Tasman Drive and Karlstad Drive. Adequate circulation is provided throughout the project site.

Right of Way: All required dedication for public right-of-way will be provided by the project. A right-turn lane at the intersection of Tasman Drive and Fair Oaks Avenue has been incorporated into the project design. The lane has been required by Public Works/Transportation in response to mitigation required of the General Plan Amendment to establish/update the ITR area in July of 2002. The lane will help to ensure efficient traffic movement at this intersection.

The following deviations are requested by the proposed project.

At the Planning Commission Study Session on this item, Commission noted concern of potential impacts to the local school districts. These comments were made, in part, based on information recently received from the Sunnyvale School District stating concern over adequate facilities to meet student generation rates related to the Moffett Park Specific Plan.

Response to the Sunnyvale School District letter for the Final Environmental Impact Report for the Moffett Park Specific Plan noted: "The property owner/developer of each development project within the Specific Plan area would be required to pay school fees to (the appropriate school district) in the amount adopted by the district as mitigation for school facilities impact. Pursuant to Section 65995 (3)(h) of the California Government Code (Senate Bill 50, chaptered August 27, 1998), the payment of statutory fees "…is deemed to be full and complete mitigation of the impacts of any legislative or adjudicative act, or both, involving, but not limited to, the planning, use or development of real property, or any change in governmental school impacts would be considered less than significant (Less than Significant Impact With Mitigation). The response noted that "Implementation of Mitigation Measure 3.11-C (school fees) would provide the mechanism needed to address the lack of public school space that could result from the creation of jobs in the proposed Moffett Park Specific Plan area".

Staff spoke with Dr. Benjamin Picard, Deputy Superintendent regarding the matter of the school district’s ability to meet student demand that might result from the subject project. Mr. Picard noted that the student generation rate for apartments and condominiums are similar and fewer students would be expected than from a single family detached development. The School District is concerned with the cumulative impacts of development in the area and have found that development related fees are sufficient to meet incremental student growth (the installation of portable class rooms for example) but not enough to provide for the development of new facilities. The proposed project will be served by Lakewood Elementary and Columbia Middle School. Mr. Picard noted that both of these schools, although near capacity, will be able to accommodate students expected from the subject project and the Sabrato (located just west of the subject project) project recently approved by Council.

The proposed project will result in the replacement of existing industrial buildings with a medium-density residential project which will alter the predominantly industrial appearance of the area. This is consistent with the General Plan Goal to transition the area from industrial to residential.

No fiscal impacts other than normal fees and taxes are expected.

Staff met with the property owners located at the northwest corner of the intersection of Tasman Drive and Karlstad Drive. The owners had been approached by the applicant regarding the potential purchase of their property for incorporation into the overall project. The subject property owners have elected not to sell their property at this time and asked questions regarding how the proposed project might effect the future of their site.

1. Adopt the Mitigated Negative Declaration and approve the Special Development Permit and Tentative Map with attached conditions.
   
2. Adopt the Mitigated Negative Declaration and approve the Special Development Permit and Tentative Map with modified conditions.
   
3. Adopt the Mitigated Negative Declaration and deny the Special Development Permit and Tentative Map.
   
4. Do not adopt the Mitigated Negative Declaration and direct staff as to where additional environmental analysis is required.

Alternative 1

Prepared by:

Fred Bell,
Project Planner.

Reviewed by:

Gerri Caruso
Principal Planner

Reviewed by:

Trudi Ryan
Planning Officer

The proposed project will complement existing medium and high-density residential development in the area and will encourage the transition from industrial use to residential.

The approving authority shall deny the Tentative Map if it makes any of the following findings:

1. That the subdivision is not consistent with the General Plan.

2. That the design or improvement of the proposed subdivision is not consistent with the General Plan.

3. That the site is not physically suitable for the proposed type of development.

4. That the site is not physically suitable for the proposed density of development.

5. That the design of the subdivision or proposed improvements are likely to cause substantial environmental damage or substantially and avoidably injure fish or wildlife or their habitat.

6. That the design of the subdivision or type of improvements is likely to cause serious public health problems.

7. That the design of the subdivision or the type of improvements will conflict with easements, acquired by the public at large, for access through or use of property within the proposed subdivision.

8. That the map fails to meet or perform one or more requirements or conditions imposed by the "Subdivision Map Act" or by the Municipal Code.

The subdivision, together with the provisions for its design and improvements, is consistent with the objectives, policies, land uses and programs of the General Plan. The project, in conjunction with an approved Special Development Permit, meets the overall density allowed in the zone and supports a land use that is compatible with the surrounding neighborhood. The project also meets the goals and polices of the General Plan, as enumerated above.

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In addition to complying with all applicable Federal, State and local rules and regulations, including the Sunnyvale Municipal Code the permittee expressly accepts and agrees to comply with the following conditions of approval for this permit.

1. A tree protection plan shall be submitted for existing street trees to be preserved on-site as identified by the City Arborist.
2. Any protected trees, (as defined in SMC Section 19.94) approved for removal, shall be replaced with specimen trees of sizes defined by the City Arborist.
3. Ground cover shall be planted so as to ensure full coverage eighteen months after installation
4. All areas not required for parking, driveways or structures shall be landscaped in accordance with applicable Title 19 code requirements.
5. The project shall provide funding for the installation of street trees as required by the Department of Public Works.
6. Provide storm water infiltration to landscaping areas from roof drains; show method on plans prior to issuance of a building permit.
7. Landscaping shall be designed with efficient irrigation to reduce runoff, promote surface infiltration, and minimize the use of fertilizers and pesticides than can contribute to water pollution.

14. Masonry walls shall be installed along all property lines adjoining non-residential uses. Wall design and materials are subject to review and approval by the Director of Community Development prior to issuance of the building permit. Wherever the grade differential is one foot or higher, a concrete or masonry retaining wall shall be installed.
15. Submit details and specifications of all exterior lighting for review and approval by the Director of Community Development.
16. Consult with the Crime Prevention Division of the Public Safety Department for crime prevention measures appropriate to the proposed development and implement all Department requirements prior to issuance of a Building Permit.
17. CC&Rs shall be required and shall include, but not be limited to, the Conditions of Approval of this Special Development Permit, provisions for maintenance of the common lot and the provisions for a homeowner association. A copy of the recorded CC&Rs shall be submitted to the Planning Division prior to issuance of a building permit.
1. Membership in and support of an association controlling all common facilities shall be mandatory for all property owners within the development.
2. The homeowners association shall obtain approval from the Director of Community Development prior to any modifications of the CC&Rs pertaining to or specifying the City.

18. The project will provide a total of seventeen for purchase below market rate units. Sales prices will be determined by the Director of Community Development at the time of building permit issuance in accordance with adopted codes.

1. 4 units- Plan I (2 bedroom)
2. 3 units- Plan II (3 bedroom)
3. 7 units- Plan III (3 bedroom)
4. 3 units- Plan IV (4 bedroom)

19. Prior to the issuance of an occupancy permit for any part or phase of the development, developer shall execute and record certain "Resale Controls" in a form approved by the City Attorney which shall affect title to the designated BMR units (17 units). Such resale controls shall be designed and intended to bind successors in interest, running with the land for the period of 30 years from the date of recordation thereof. Receipt by the Director of Community Development or his designee of proof of recordation of the resale controls shall be a condition precedent to issuance of a permit to occupy the development.
20. Conditions applying to any ownership units:

1. The original sales price of ownership BMR units shall comply with sales prices established by City Council.
2. Developer shall offer said BMR units for sale only to persons qualified under the terms of Sunnyvale Municipal Code Chapter 19.66, as amended. Offers shall be in writing and shall be held open for no less than 90 days.
3. Following acceptance of an offer of sale, developer shall execute all necessary sales documents, and shall use its best efforts to complete each sale transaction.

21. In the event that any BMR unit or portion thereof is destroyed by fire or other cause, all insurance proceeds there from shall be used to rebuild such units, or, in the alternative, shall be used to repay any encumbrance on such units, and the balance, if any, shall be distributed to the City of Sunnyvale. Grantee hereby covenants to cause the City of Sunnyvale to be named an additional insured party to all fire and casualty insurance policies pertaining to said assisted units.

22. Parking spaces shall be maintained at all times to allow for the parking of automobiles.
23. No fee shall be charged for parking.
24. Each unit shall be assigned two covered parking spaces in an enclosed garage. All other spaces shall be available for guests or additional resident vehicles.
25. Unenclosed storage of any vehicle longer than 18-feet intended for recreation purposes shall be prohibited on the premises.
26. Lockable storage for bicycle parking must be provided in accordance with VTA guidelines. Bicycle parking must be provided in the amount of one secured bicycle parking space per fifteen dwelling units.

27. Maintain closed at all times all windows of living spaces within 250 ft. of the centerline of Fair Oaks Avenue and with a direct or side view of the roadway. At noise impacted living spaces within 100 ft. of the centerline, install windows rated minimum Sound Transmission Class (STC) 30. At noise impacted living spaces between 100 ft. and 250 ft. of the centerline, install windows rated minimum STC 26. Provide some type of mechanical ventilation.
28. Maintain closed at all times all windows of living spaces within 75 feet of the centerline of Tasman Drive and with a direct or side view of the roadway. Install windows rated minimum Sound Transmission Class (STC) 26. Provide some type of mechanical ventilation.

Noise Mitigation Monitoring:

Who: Applicant shall submit evidence of compliance with the mitigation measures listed above in the form of detailed plans submitted for review and approval by the Director of Community Development prior to the issuance of a building permit. Required testing to ensure compliance with the maximum interior and exterior noise levels permitted will be provided at the applicant's expense, and results of the testing will be reviewed and approved by the Director of Community Development.

When: Prior to issuance of a building permit and prior to occupancy.

29. Right turn lane on Tasman Drive shall be a minimum of 150’ long.
30. Curb cuts or returns shall be installed at both driveway locations.
31. Pedestrian lighting shall be provided along all street frontage.
32. The 40’ vision triangle at Tasman and Fair Oaks shall be kept clear.
33. Plan shall show the signal pole for the right turn lane.
34. Include Caltrans Type III R arrow for the right turn pavement marking.
35. This project is required to establish a Homeowner's Association with Conditions, Covenants, and Restrictions (CC&R's). There shall be provisions in the CC&R's for perpetual maintenance of the landscaping between the back of sidewalks and the retaining walls along project frontage. Consult with the City's Field Services Division if trees planted in the PUE's are considered City trees. Landscape easement may be required for this project. Sloped landscaping areas should have adequate erosion control. The CC&R's shall also have provisions for the perpetual maintenance of the private access road, common lots, private utilities, etc. to the satisfaction of the City. Said CC&R's shall also prohibit modification of drainage facilities and/or flow patterns without first obtaining permission from the City. CC&R's shall be recorded concurrently with the Tract Map.
36. This project shall comply with all applicable regulations pertaining to Flood Zone AE.

1. The Tentative Map shall be valid for a period of two years, measured from the date of approval by the final review authority.

2. The Tentative Map shall be applicable only in conjunction with a valid Special Development Permit.

3. Building Permits for the lot or lots within a recorded Final Map may be issued only in accordance with a valid Special Development Permit.

4. Any proposed Deeds, Covenants, Restrictions and By-Laws relating to the subdivision shall be submitted for review and approval by the Director of Community Development and the City Attorney.

5. At the expense of the subdivider, City forces shall install such street trees as may be required by the Public Works Department.

6. Prior to final approval of the Final Map by the Director of Public Works, the "In-Lieu Park Dedication Fee" shall be paid in accordance with MCS 18.10. Park Dedication Fees for the R-3 zoning district is $4,425.15 per unit. The Park Dedication Fees for this 168 unit project will be a total of $743,425.20.

1. Obtain Grading Permits as required (MCS 16.12.010).

2. Provide soils report prepared by a licensed soils laboratory (Res. 193-76).

3. Seal and cap all septic tanks and irrigation systems in accordance with Building Safety regulations.

1. Record a Final Map.

2. Curbs, gutters, sidewalks, streets, utilities, traffic control signs, electroliers (underground wiring) shall be designed, constructed and/or installed in accordance with City standards prior to occupancy. Plans shall be approved by the Department of Public Works.

3. Connect to all City utilities or private utilities operating under a City franchise which provides adequate levels of service.

4. Obtain Public Works approval of plans for utility line extensions, utility connections, meter locations, driveways, sidewalks, etc.

5. The on-site drainage and sanitary sewer systems shall be privately owned and maintained. The fire and domestic water systems shall be privately owned and maintained beyond the meter.

6. Individual water services and meters shall be provided to each lot.

7. Construct all public improvements prior to occupancy.

8. Existing and proposed on-site and street frontage electrical, telephone and cable TV services shall be placed underground or removed prior to occupancy (MC 19.46.060).

9. Post labor/material bond and faithful performance bond for the full cost of all off-site public improvements (MCS 12.08.020).

10. Developer shall enter into a Subdivision Agreement and post bonds for all off-site work prior to action on Final Tract Map.

11. Dedicate public utility easements at lot frontages as required by the utility companies.

12. Installation of the water system shall conform to City standards and shall be part of the City (or franchised utility) system up to the master water meter serving the project. The water system shall be privately owned and maintained beyond the meters.

13. This project requires a public sidewalk easement on Karlstad Dr.

14. This project requires additional dedication on Tasman Drive for public street and utility purpose, to accommodate the new right turn only lane.

15. Provide for PUE for City sidewalk on Karlstad frontage to allow meandering walk in order to preserve existing Cedars and Redwoods.

1. Comply with the Sunnyvale Fire Prevention Code (MC 2099-84; Title 19 of Calif. Admin. Code Sec. 1.12(l); UFC 1982 Edition).

2. The water supply for fire protection and fire fighting systems shall be installed and operational prior to any combustible construction on the site (MC 16.52.170).

1. Pay School Tax fees prior to issuance of a Building Permit.

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