Staff Contact: Darcy C. Schmitt Phone No.: PC Agenda: November 16, 2016

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1 Department of Planning, Building & Development Staff Contact: Darcy C. Schmitt Phone No.: PC Agenda: November 16, 2016 STAFF REPORT November 10, 2016 Special Use Permit/Site Plan Application 100 W. Grand River W. Grand River and 314, 328, 334, 340, & Evergreen Avenue SUBJECT An application for Special Use Permit and Site Plan approval from 100 Grand River, LLC, and 341 Evergreen, LLC, for the properties at W. Grand River Avenue and 314, 328, 344, 340, and Evergreen Avenue, to demolish all existing structures and construct three multi-story buildings and a parking structure. Building A: The W. Grand River Avenue properties are proposed for a development with a 12-story, mixed-use building having first floor retail and a residential and hotel lobby; the remaining floors have office space, hotel amenities including meeting rooms, a ballroom and rooftop restaurant/lounge, and guest rooms. Also included are mixed-market residential rental units with 25 efficiency, 29 one-bedroom, 43 two-bedroom, 17 three-bedroom, and 63 convertible efficiency units. Building B: The Downtown Development Authority (DDA) properties along Evergreen Avenue are proposed for a development with a public parking structure providing five levels of parking and overall parking for 425 vehicles.

2 November 10, 2016 Page 2 of 28 Building C2: Fronting the west side of Building B is Building C2 a proposed three-story building with 12 two-bedroom for owner occupied use or restricted to some other occupancy that would add diversity to the area. Building C1: Fronting Valley Court is Building C1 a proposed four-story building for owner occupied use or restricted to some other occupancy that would add diversity to the area. The proposal includes 52 units including 33 one-bedroom units and 19 twobedroom units.

3 November 10, 2016 Page 3 of 28 EXISTING CONDITIONS There are several parcels that make up the 2.94 acre proposal. The proposal includes five (5) parcels which total 1.76 acre owned by the Downtown Development Authority (DDA) and the remaining parcels and acreage is owned by the applicant. The Grand River Avenue properties have been vacant for over a decade and cannot be rehabilitated. They will be taken down as part of the redevelopment. Obsolete buildings were recently demolished on the DDA property at the corner of Albert Avenue and Abbot Road, and on the privately owned property at Evergreen Avenue. The proposal includes the DDA parcel on the south side of Albert Avenue which will be used to realign Albert and expand Building A. The DDA properties north of Albert Avenue are all occupied through at least May of 2018 and will be vacated depending on timing of project construction. This section of the City has awkward street alignments creating unsafe conditions for pedestrians and motorists. Albert Avenue is offset by approximately 30 feet as it traverses Abbot Road creating a situation where the left turning vehicle from Albert Avenue onto Abbot Road has a difficult time seeing the eastbound vehicle on Albert Avenue traversing Abbot Road. Since Albert Avenue dead ends into Evergreen Avenue to the west, it is common practice for vehicles to cut through Parking Lot 8 to get to the west side of Valley Court while driving at speeds that would be appropriate for a residential street but not a parking lot. The underground infrastructure is over 80 years old. Current sewer and water lines do not have the capacity for new development. This infrastructure will need to be replaced or significantly rehabilitated in the next 10 to 20 years regardless of whether development occurs. The properties are zoned B3, City Center Commercial District, RM32, City Center Multiple-Family Residential and P, Parking. A conditional rezoning is proposed to change the RM32 property to B3 for the purpose of the site plan and special use permit proposed for buildings C1 and C2 and the DDA property east of Evergreen Avenue will need to be rezoned from P, Parking to B3, City Center Commercial District to accommodate the changes to the overall site plan made since the October 12, 2016 meeting. North of Building A is Albert Avenue, City-owned Parking Lot 4, and the Dublin Square restaurant, all of which are also zoned B3. To the west of Building A is The People's Church, which is zoned B-1, General Office Business District. The church is one of the oldest religious institutions in the City and the building is a Landmark historic property under the City s Historic Preservation ordinance. Further to the west is the Showroom Shine Carwash and Crunchy's restaurant, both of which are zoned B2, Retail Sales Business District. To the east is the core downtown which includes the highest density

4 November 10, 2016 Page 4 of 28 mixed-use developments in the City and is also zoned B-3. Michigan State University's campus is located directly to the south of the proposed project. PROPOSED DEVELOPMENT Buildings A, B, C1 and C2 are proposed as one development under a single site plan and special use permit application. In order for the application to be considered as proposed, Ordinance 1389, a conditional rezoning for the Evergreen Avenue property, will first need to be approved, and the DDA properties located east of Evergreen Avenue will need to be rezoned from P, Parking to B3, City Center Commercial District. As part of the development proposal the infrastructure will be significantly improved by correcting the awkward street alignment and increasing the capacity of the water and sewer lines. The elevation changes needed at the north side of the development project, to make the above mentioned improvements, will also allow for the opportunity to gently slope the west side of Lot 15 and the vacant City lot toward Valley Court Park eliminating the need for stairs at this location. In order to improve the awkward street alignment, first Albert Avenue will be aligned as it crosses Abbot Road creating a safer flow for pedestrians and vehicles and providing a better connection between the core downtown and Valley Court Park. Then Evergreen Avenue will be modified by terminating the southern end of the Avenue at the intersection of Valley Court. Finally, Abbot Road will get an additional southbound turn lane just south of Albert Avenue ending at Grand River Avenue. Realigned intersection.

5 November 10, 2016 Page 5 of 28 Improved connection between Downtown and Valley Court Park will be created though the reconfiguration of the street layout. Evergreen terminates at Valley Court and a sloped sidewalk replaces stairs to this area of the City. Building A Proposed Building A is located at W. Grand River Avenue the corner of Abbot Road and Grand River Avenue just east of The Peoples Church. It is designed as a 12- story (140 tall) mixed-use building providing terraced architectural features, green roofs, and multiple outdoor amenities such as a pool, patio, rooftop deck, and plaza. The façade is made of primarily brick, vision glass, and metal panels.

6 November 10, 2016 Page 6 of 28 The underground parking garage shown below is reserved for use of the hotel patrons. It can be entered at the southwest side of the building from Grand River Avenue and exited at the northwest end of the building to Albert Avenue. Retail uses are expected to take up the majority of the first floor and the remaining area at the north side of the building is reserved for a hotel and residential lobby. The residential lobby includes the mail room and elevators for the residential component separating the hotel and residential use. Loading and trash removal areas shown at the northwest side of the building to accommodate Building A.

7 November 10, 2016 Page 7 of 28 The second floor shown below includes the ballroom, outdoor terrace, meeting rooms, hotel fitness room, and hotel guest rooms. It also includes mixed-market residential rental units. The third floor shown below includes mixed-market residential rental units, the residential pool and outdoor deck. It also includes hotel guest rooms and a green roof.

8 November 10, 2016 Page 8 of 28 The fourth through the eleventh floors shown below include mixed-market residential rental units and hotel guest rooms. The twelfth floor shown below includes mixed-market residential rental units and a roof top lounge with an outdoor terrace with access from the hotel.

9 November 10, 2016 Page 9 of 28 The chart below breaks down the uses by floor and residential unit type: Efficiency/ studio Residential Units One- Bed Two- Bed Three- Bed Convert. Efficiency Office/ Retail Hotel Rooms Commercial Amenities Lower Level NA NA NA NA NA NA NA NA 1 st Floor NA NA NA NA NA Yes NA 2 nd Floor NA 9 3 rd Floor NA 16 Plaza, Lobby for hotel, ballroom, and residential Hotel bathrooms, fitness room, meeting rooms, office space, kitchen, outdoor terrace and ballroom Residential pool, green roof, deck, and community room Parking 112 spaces 4 th Floor NA 16 NA NA 5 th Floor NA 16 NA NA 6 th Floor NA 16 NA NA 7 th Floor NA 16 NA NA 8 th Floor NA 16 NA NA 9 th Floor NA 16 NA NA 10 th Floor NA 16 NA NA 11 th Floor NA NA NA 16 NA NA 12 th Floor NA NA NA NA Total Apartments Total Beds 254 Total Hotel Rooms Hotel rooftop lounge and outdoor deck NA NA NA NA 153 Total Parking 112 Buildings B and C2 Proposed Building B is a parking structure 52 feet in height with five (5) levels of parking with a total of 425 public parking spaces. It is located on Albert Avenue on the west side of the alley. Patrons will enter and exit the structure from Albert Avenue. Future management and ownership of the structure will be determined later in the approval process and will be spelled out in a Development Agreement. Building C2 is located

10 November 10, 2016 Page 10 of 28 along the west side of the parking structure at three-stories (42 tall). The façade is proposed to be made of primarily vision glass, wood panel and brick. Two-bed 1 st Floor 4 2 nd Floor 4 3 rd Floor 4 Total Condo s 12 Total Beds 24 The graphic above shows the south elevation of the public parking structure and Building C2; and the graphic below shows the east elevation of the proposed public parking structure and part of Building C1. The façade is proposed to be made of primarily vision glass, architectural pre-cast, and brick.

11 November 10, 2016 Page 11 of 28 Building C1 Proposed Building C1 is located along the proposed realignment of Albert Avenue and along the section of Valley Court between where the new Albert Avenue runs perpendicular to Valley Court and where the south end of Evergreen Avenue is proposed to terminate. The building is four-stories (52 tall). As mentioned above, the entire project is dependent on Ordinance 1389, an ordinance to conditionally rezone the property at Evergreen Avenue from RM32 to B3. The façade is proposed to be made of primarily vision glass, wood panel and brick. One-bed Two-bed 1 st Floor nd Floor rd Floor th Floor 9 5 Total Apartments Total Beds 71 STAFF REVIEW Site Plan A site plan application must meet the specific use and dimensional standards of the zoning district in which it is to be located and a number of other required conditions for development specified in the Zoning Code. A site plan application must substantially comply with the general standards of review specified in Sec of the Code. A site plan must also comply with other applicable local ordinances and state and federal statutes, and be consistent with the objectives of the City s comprehensive plan. A site

12 November 10, 2016 Page 12 of 28 plan may be approved subject to certain conditions or modifications necessary to bring the plan into conformance with these requirements, including the approval of any variance that may be granted by the zoning board of appeals. A. Zoning District Standards The B-3 District is to provide for a wide range of commercial and high density residential land uses designed to serve the residents and shoppers of the East Lansing City Center. Because of its proximity to the Michigan State University campus and nearby residential neighborhoods, a major characteristic of the City Center is its intense core of pedestrian activity. This activity helps to create a unique social environment where people can gather and enjoy the festive atmosphere of a university downtown, attractive landscaping and greenery, and the diversity of retail shops. The B-3 zoning is the downtown core zoning. It is highly mixed in terms of uses, with individual buildings being permitted to have multiple uses. It covers the middle portion of Grand River Avenue in the City, along with the first blocks of the north/south roads coming from Grand River Avenue. Albert Avenue is the main east/west route through the downtown. The municipal parking system provides parking services to any property within the B-3 District. B. General Standards of Review for Site Plan Approval (For a detailed list of the standards, please see Sec of the Code) (1) General site conditions. The site shall be designed and developed to provide a logical relationship between functional elements, to effectively serve the purposes for which it is to be developed, and to be reasonably compatible with surrounding properties. Building A provides a mix of uses that will compliment the downtown. It places additional residential units in the downtown and near campus. Buildings C1 and C2 may provide unique residential housing option since they are proposed for owner-occupied use or restricted to some other occupancy that would add diversity to the area. (2) Natural features. The site shall be designed and developed to minimize the disruption or loss of its desirable natural qualities and to enhance its overall appearance. There shall be no net loss in either wetland area or wetland benefits due to development of the site. There are no natural features on the site. The applicant is utilizing an already disturbed site and will not be further impacting natural features in the community or on the site. (3) Traffic Access. The site shall be designed and developed to provide safe and efficient access for all forms of travel and to minimize impacts on adjacent public

13 November 10, 2016 Page 13 of 28 facilities. The Transportation Commission s review is attached. (4) Utilities and public services. The site shall be designed and developed to facilitate the efficient provision and maintenance of adequate public services. The Engineering Department will provide comments prior to the Planning Commission taking action on the application. Extensive infrastructure work will be required as part of this project including the reconstruction of water lines, sanitary/storm sewers, and streets. (5) Environmental protection. The site shall be designed and developed to minimize any risk of pollution of natural resources and to protect the public health, safety and welfare. No pollution is expected as a result of this proposal and the public health, safety, and welfare will be protected. C. Other Applicable Local Ordinances and State and Federal Regulations Prior to the approval of finals plans and the issuance of any construction permits, in addition to complying with all applicable local construction standards and specifications, the applicant will need to secure permits from: Construction Containment Plan Percent for Art Requirement (Building Permit) D. Objectives of the Comprehensive Plan The Comprehensive Plan calls for mixed, urban uses on the site, up to 10 stories in height. Specifically, the project supports the following goals of the Comprehensive Plan. Objective 3-1: Support both commercial and residential development opportunities downtown. o Action 3-1.8: Require any redevelopment of existing commercial areas to include mixed-use, multiple-story buildings rather than strip development. Objective 4-1: Promote plans, programs, and activities that will encourage continued growth. o Action 4-1.3: Research and implement incentives for the redevelopment and revitalization of underutilized properties such as: 4. Downtown s west end between Delta Street and Abbot Road Objective 5-2: Allow for and encourage land development patterns which can reduce the necessity for the use of automobiles. o Action 5-2.1: Provide opportunities for concentrated residential development within and adjacent to commercial and employment centers.

14 November 10, 2016 Page 14 of 28 STAFF REVIEW Special Use Permit The applicant is requesting a Special Use Permit for the following land uses: Building A, to allow multiple-family housing, building height above four-stories or 64 feet, and to allow a establishment serving alcohol Building B, to allow building height above four-stories or 64 feet Building C1, to allow multiple-family housing as a single use and to allow the building to be less than the minimum height of six-stories or 96 feet Building C2, to allow multiple-family housing as a single use and to allow the building to be less than the minimum height of six-stories or 96 feet A Special Use Permit application may be approved if it meets the requirements for Site Plan approval reviewed above and if the applicant makes an affirmative showing and the City finds that the application meets the following additional standards of review specified in Sec of the Code. A Special Use Permit may also be approved subject to reasonable conditions or certain modifications necessary to ensure that the use conforms to all applicable requirements. A. All uses. Except as may be provided elsewhere in the Zoning Code, each Special Use Permit application shall meet each of the following standards: (1) The proposed use shall be consistent with the purpose of the use district in which it is located and the purpose and provisions of this division. (a) The purpose of this district is to provide for a wide range of commercial and high density residential land uses designed to serve the residents and shoppers of the East Lansing City Center. Because of its proximity to the Michigan State University campus and nearby residential neighborhoods, a major characteristic of the City Center is its intense core of pedestrian activity. This activity helps to create a unique social environment where people can gather and enjoy the festive atmosphere of a university downtown, attractive landscaping and greenery, and the diversity of retail shops. (b) The provisions of this district are intended to encourage the planned development of pedestrian amenities and public and private open space, and closely regulate the need for direct automobile access to each establishment. Also important in the future development of the City Center is the concept of mixed-use development promoted by this district and the East Lansing Comprehensive Plan. Mixed-use development for purposes of this district is defined as the combination of commercial and residential land uses within the same building. Since the City Center contains only limited geographic area for expansion, intensifying development through a mixture of uses within the same building is of major importance to the city's efforts to expand the tax base and broaden the housing and shopping opportunities available in the City Center. The project meets the intent of the district by promoting additional retail opportunities in the downtown and providing high density, quality residential

15 November 10, 2016 Page 15 of 28 development. Within the limited area of the downtown, the project is intensifying the land uses. (2) The site plan for the property shall be approved in accordance with the provisions of section of this chapter. The site plan application was submitted correctly, with the proper information, as required in Section (3) The proposed size, height, architectural character and placement of new or expanded structures on the site shall be reasonably compatible with the existing or anticipated buildings on adjacent properties. Building A is proposed as a 12-story building which would be the tallest building in East Lansing, however the design of the building incorporates architectural features such as terracing, green roofs, decks, terraces and a public plaza which minimize the impact a taller building would have in this location. (4) Streets and access facilities serving the site shall be able to safely accommodate the expected traffic generated by the proposed use; the use shall not cause excessive traffic congestion or delays, obstruct access to adjacent properties, or imperil the safety of motorists, pedestrians or bicyclists. The Transportation Commission s review is attached. (5) The proposed use shall not adversely affect the use and enjoyment of adjacent properties by generating excessive noise, vibration, light, glare, odors or any other form of pollution or nuisances. Excessive noise, vibration, light, glare, odor, or any other nuisance or pollution is not expected from this proposal. All applicable City ordinances related to soil erosion, noise, lighting, etc. will be enforced through construction and operation of the project. (6) The proposed use shall not materially diminish the economic value of adjacent properties or the city as a whole. The proposed use is not expected to diminish the economic value of adjacent properties or the City as a whole. The project could have a net positive impact on the City by bringing more persons downtown (potential shoppers and patrons) and by making a substantial investment in the community, contributing to the long-term viability of the City s tax base. (7) The proposed use shall not materially diminish the privacy, safety, security or enjoyment of any residential dwelling or residential neighborhood within the

16 November 10, 2016 Page 16 of 28 vicinity of the site. There is no direct evidence that this proposal would diminish the privacy, safety, security, or enjoyment of any nearby residential dwelling unit or neighborhood. Although the buildings will change sight lines for neighboring properties, only one direction will be affected in most cases. (8) The proposed use shall be located with direct access to and frontage on a major street as designated in the major street plan, or within an area designated for adaptive reuse in the city center element of the comprehensive plan. The site has frontage on a major street, West Grand River Avenue. B. Specific uses. In addition to the standards above, to address their unique characteristics, certain uses shall also meet the applicable standards below. (4) Multiple-family dwellings in business districts. Where multiple-family dwelling units are provided in conjunction with business uses on a property in a business district, the following additional standards shall apply. a. Except where multiple-family dwelling units may be permitted as the sole principal use of a building to provide unique housing opportunities which are not otherwise available in the City Center, at a minimum, the first floor of any building shall primarily be used for principal permitted business uses, and the number of multiple-family dwelling units and the permitted occupancy of the units shall be limited to maintain a reasonable balance between the business and residential uses on the property consistent with the purpose of each business district. Building A provides retail, hotel and residential uses. The residential units are proposed to be available in a mix of efficiency, one-, two-, and three-bedroom units. Building C1 provides one- and two-bedroom rental units for owneroccupied use or restricted to some other occupancy that would add diversity to the area. Building C2 provides for owner-occupied use or restricted to some other occupancy that would add diversity to the area. Together as one site plan the proposal provides a variety of housing types and commercial uses. b. The number of multiple-family dwelling units, the permitted occupancy of the units and the height and size of structures containing such units shall be limited to be compatible with adjacent development patterns and any nearby residential districts.

17 November 10, 2016 Page 17 of 28 The nearest residential district is located to the north along Evergreen Avenue. There are a number of houses and structures between this proposal and the rental properties that are zoned for residential purposes along Evergreen. c. Reasonable amounts of yard areas and open space shall be provided where necessary to be consistent with surrounding use and development patterns and to provide for the privacy and enjoyment of the residents. There are outdoor spaces for both developments. Valley Court Park is a short walk away to the northwest and would be adequate to serve additional outdoor space enjoyment of the residents. d. The design, type and operational characteristics of the business and residential uses on the property shall be compatible with one another. The only business that has been identified is the hotel and that has a separate entrance, lobby and elevator from the hotel. e. The residential units shall be designed and marketed to diversify housing opportunities in the neighborhood and shall not increase existing high concentrations of similar housing units in the neighborhood. Further, in the area west of Collingwood Drive within the district boundaries of the City of East Lansing Downtown Development Authority, in order to achieve diversity in the types of housing offered in the area including an appropriate balance of owner occupied housing, senior housing, low to moderate income housing, mixed-market rental housing and other types of diverse housing in the area, for all development plans that contain housing, an appropriate number of the dwelling units shall be marketed and/or sold as owner occupied housing or housing offered to and restricted to residents 55 and older, restricted to low to moderate income housing or restricted to some other occupancy that would add diversity to the area so that at least 25% of the housing is owner occupied, restricted to residents 55 and older, restricted to low to moderate income housing or restricted to some other occupancy that would add diversity to the area. For purposes of this section, development shall include more than one structure as long as multiple structures are part of the same site plan approval. The requirement of this section shall not apply to Hotels. For any development that is constructed and occupied in excess of the 25% requirement of this section, the developer shall be given one credit for each residential unit in excess of the 25%. The credits, or any portion thereof, may be used by the developer, or the developer s assignee, as a credit, on a one for one basis, to meet the 25% requirement for future development projects in this area. The number of credits obtained for any development shall be calculated by the zoning official and maintained in the city records. Any assignment of credits must be in writing and signed

18 November 10, 2016 Page 18 of 28 by the developer. The intent to use credits of this nature, the number of credits intended to be used, the location of the development which created the credits, and any documentation showing any assignment of the credits shall be submitted with the site plan or amended site plan. Unit Type # of Units % of Overall Units Owneroccupied 24 9% Restricted to 55 years and 52 21% older Mixed market residential % rental units Total % (5) Additional building height. a. Where a special use permit is required to permit building height above the base level permitted in any use district, the compatibility of the building shall be determined in part by the extent to which the use of the building and the building design, its setbacks and its orientation on the site successfully mitigate negative impacts upon neighboring uses, the natural features of the site and public facilities and services. Such buildings may be approved only if they comply with subsection (a) of this section and all of the following additional standards: 1. The building shall not be located in such proximity to a single-family or two-family neighborhood so as to cause excessive noise or shadowing impacts, or substantial reductions in personal privacy or property values. The planning and zoning administrator may require the applicant to submit a solar angle diagram and shadow analysis prepared by a registered architect or engineer showing the extent of shadowing caused by the proposed building on adjacent properties and structures. See attached shadow study. 2. The portion of the building extending above the base level permitted in each use district shall be located no closer to the property line of a residentially zoned property than a distance equal to the amount of the height in excess of the base level. Building A does not abut a residential district. 3. The building shall not result in traffic generation which exceeds the carrying capacity of adjacent streets, exceeds the parking capacity

19 November 10, 2016 Page 19 of 28 of on-site spaces or nearby municipal parking facilities, causes excessive congestion or risks to public safety, or causes or substantially contributes to excessive volumes of traffic through residential neighborhoods. Transportation Commission s review is provided in the packet. 4. The building shall not generate demands which exceed the capacity of public utilities and services necessary to serve the site. As part of the proposal the applicant will be upgrading the utilities. b. In addition, the city council may further increase the maximum permitted building height to the extent and for that area in the B-3 district as specified in section (f) for a building deemed to be of significant public benefit. The city council shall find, upon an affirmative vote of threefourths of all members of the city council, that such buildings meet subsections a.1 through 4 of this subsection and all of the following standards: 1. The building, through its proposed use, shall contribute substantially to the mix of desirable commercial, residential, social, cultural or employment opportunities or public amenities or open space available in the business district to achieve one or more public goals or objectives, as specified in the comprehensive plan or other strategic plan of the city, to benefit the business district, the adjacent residential or public areas, and the city as a whole. The Comprehensive Plan calls for mixed, urban uses on the site, up to 10 stories in height. Specifically, the project supports the following goals of the Comprehensive Plan. Objective 3-1: Support both commercial and residential development opportunities downtown. Objective 5-2: Allow for and encourage land development patterns which can reduce the necessity for the use of automobiles. o Action 5-2.1: Provide opportunities for concentrated residential development within and adjacent to commercial and employment centers. The proposal includes 252 apartments total in close proximity to Michigan State University a major University and employer. A proposed hotel creates additional employment opportunities and others will develop as retail spaces are occupied. 2. The applicant demonstrates that additional building height is necessary in order to make the proposed development economically feasible for the intended use and no reasonable

20 November 10, 2016 Page 20 of 28 alternative to additional height exists. The applicant s design of the building to provide outdoor amenities in an urban setting by creating a corner plaza at Abbot and Grand River Avenue, terracing the building back after the 2 nd floor to create additional outdoor space and a pedestrian scale streetscape all contribute to the need and request for additional height on a portion of Building A. 3. The additional building height will cause no significant additional negative impact on adjacent properties, public streets and parking facilities, or public utility and services. Public utilities will be improved as part of this proposal. (8) Reduced building height. Where a special use permit is required to permit building height below the level permitted in any use district, such buildings may be approved only if they comply with subsection (a) of this section and one of the following additional standards a. The proposed building is of a particular architectural style that has significant importance to the proposed use of the building or is deemed an architecturally significant addition to the overall attractiveness of the district and the applicant has demonstrated that there is no reasonable alternative to the height sought in achieving such attractive construction. Buildings C1 and C2 are less than the required 6-story minimum height required in the B3 District where the building includes a residential use. Building C2 connects to the five (5) level parking structure thereby improving the west side elevation closest to Valley Court Park. Both Buildings C1 and C2 create a transition from the core downtown to the neighborhoods to the north and Valley Court Park to the west. b. The proposed use contributes substantially to the mix of desirable commercial, residential, social, cultural or employment opportunities or public amenities or open space available in the business district to achieve one or more public goals or objectives as specified in the comprehensive plan or other strategic plan of the City, to benefit the business district, the adjacent residential or public areas or the City as a whole. See the excerpts from the Comprehensive Plan above.

21 November 10, 2016 Page 21 of 28 DOWNTOWN PARKING In the B3 Zoning District, on-site parking is prohibited by the ordinance requirements, except in limited circumstances. The project under review would include 112 on-site parking spaces, but would mostly rely on the municipal parking proposed in this development proposal. Section (j) regulates parking in the B3 District and reads as follows: (j) On-site parking. Consistent with the purposes of this district and the city's policies to assume primary responsibility for providing consolidated parking facilities in the City Center commercial district, on-site parking facilities intended as accessory uses to serve one or more uses on the same lot shall be prohibited; except, the planning commission may waive this prohibition if it makes a specific finding that the applicant has shown that on-site parking is necessary for one or both of the following reasons (1) It is necessary for increased accessibility for handicapped persons; or (2) It is necessary for the customers or residents of the proposed use and it would not cause any significant disruption of pedestrian or vehicular circulation in the area. If the commission finds that on-site parking is necessary, it may stipulate conditions on the arrangement and operation of such parking to ensure that it is used for the purposes for which it is intended and approved or to ensure that it does not cause disruption of pedestrian or vehicular circulation. (k) Applications for a building and/or occupancy permit to construct or expand a building or to convert or extend the use of a building which would result in an increased parking demand, as determined from the standards in section , shall first be submitted to the planning and zoning official for review. (1) If the application would result in an increase of ten or fewer spaces for a use within a two-year period, the planning and zoning official shall approve it, if there are adequate and appropriate parking spaces available to serve the use, as defined by the following standards: a. Parking spaces for customers must be located within 500 feet of the use, as measured along probable pedestrian travel paths. Where a portion of an off-street parking lot or a contiguous series of on-street parking spaces falls within the 500-foot area, all of the spaces within the lot or the series of spaces shall be counted. b. The price and tenure rates for available parking spaces must be

22 November 10, 2016 Page 22 of 28 consistent with the expected parking habits of customers, employees, and tenants of the proposed use. c. The parking spaces must be available at all times consistent with anticipated peak parking demands of the proposed use. Section (c) outlines the requirements for off-site parking. Since the applicant has not indicated otherwise, staff assumes this will be provided through parking permits in the municipal parking system. Section (c) states the following: (c) Off-premises parking. In order to encourage the use of public transportation, limit the amount of impervious surface, thereby reducing storm water runoff, and support redevelopment efforts in older structures, the City of East Lansing allows for off-premises parking in certain circumstances. For multiple-family uses, office uses, or uses located in any of the B business districts of this chapter, the required off-street parking facilities may be provided on a property separate from that of the use such facilities are intended to serve, subject to the following requirements: (1) Off-premises parking facilities must be located within one of the B business districts, the P parking district, or in the municipal parking system. (2) Off-premises parking facilities must be located within ¼ of a mile of the use they are intended to serve, as measured between properties. (3) Off-premises parking facilities must be improved and maintained in accordance with the requirements of this chapter. (4) Evidence must be submitted that such off-premises parking facilities will remain available to serve the intended use. If utilizing a municipal parking facility, parking passes must be purchased on a yearly basis or approval under this section is invalidated. (5) Off-premises parking facilities must not be necessary to meet the requirements of another use. (6) Off-premises parking facilities shall be reviewed in conjunction with the use they are intended to serve and shall be considered an integral part of any approval granted to the use they are intended to serve. (7) Notwithstanding items (1) through (6) of this subsection, city council may approve or deny the request for off-premises parking based on the proximity of public transit, the type(s) of uses proposed for the site, the proximity to major employment and/or education facilities and the general

23 November 10, 2016 Page 23 of 28 standards of section Based on our current Code and the most recent parking report, staff concludes that the municipal parking system can accommodate the commercial parking spaces in Lots 1, 4, and 8, along with other metered spaces in the vicinity. From a residential parking perspective, 75 permits are available in the Charles Street ramp to accommodate residents from the development. The Division Street ramp is also just within ¼ mile of the proposed development and could accommodate an additional 50 permits. Parking Plan The Planning Commission shall approve the parking plan if it determines that the proposed use would not adversely affect surrounding properties and public facilities and that one or more of the following conditions exist: a. Because of the particular characteristics of the proposed use, it would not be expected to generate a significant increase in parking demand. b. Existing or proposed on-site spaces or other private off-street parking facilities, as may be permitted under subsection (j) of this section, would meet the parking needs of the proposed use. c. The parking demand would be adequately accommodated within the municipal parking system due to the availability of spaces appropriate to serve the proposed use, as defined in the standards in subsection (l)(2) of this section. d. The parking demand would be adequately accommodated within the municipal parking system by directing customers, employees, and tenants to available spaces through validation policies, leasing arrangements, promotional programs, providing bus tokens, or other actions of the applicant. PLANNING COMMISSIONER CONCERNS During the public hearing held on October 12, 2016, the Planning Commission had requests for additional information and questions and concerns with the propose project; staff provides the following information in response: 1. Applicant to provide a Shadow Study for the entire project site, particularly to show the impact on 404 Evergreen Avenue and Valley Court Park. See the attached Shadow Study. 2. Applicant to provide clarification on the height and material for the proposed retaining and screen wall between The Peoples Church and Building A.

24 November 10, 2016 Page 24 of 28 See the attached construction details showing the 8 foot masonry screen wall. 3. Applicant to provide graphic elevation(s) for Buildings B and C, east and north sides to include 404 Evergreen Avenue. See attached elevations. 4. Applicant to provide a development phasing and staging plan. See attached. 5. Applicant to provide a parking plan. See attached. Plan was not submitted in time for a staff evaluation. 6. Applicant to provide details and clarification on the turning radius on the curbs at the entryway into the parking structure from Grand River Avenue. See attached plan showing the revisions to the turning radius and clarification about the path into and out of the underground parking in Building A. 7. Applicant to show locations where outdoor bike racks and indoor bike storage are proposed. Building A shows outdoor bike racks both on the north and south side of the building and an indoor bike storage area in the residential lobby. Building C1 shows an indoor bike storage room on the first floor of the building. 8. Applicant to respond to the remaining Transportation Commission questions along with providing an updated site plan reflecting the intended bike lanes/boxes. 9. In general, the Commission felt that the development plans that were reviewed on October 12 did not provide sufficient distance between Building B and Building C. This would create an unappealing pedestrian and bicycle connection between the neighborhood to the north and Building B. In response to the Commission s comments, the applicant modified the site plan to include a smaller parking structure with two smaller residential buildings. 10. In general, the Commission felt there was room for improvement in the treatment of the facades on Buildings B and C.

25 November 10, 2016 Page 25 of 28 The applicant provided revised building and façade plans in response to the Commission s comments. 11. In general, the Commission felt the configuration of Albert Avenue could be improved by partnering with The Peoples Church to put in an improved drop-off area for exchange of a small piece of property to smooth out the curve in the street. The applicant provided a revised street configuration based on the input from the Commission. 12. The Planning Commission wants staff s opinion on how the application does or does not meet the requirement where, multiple-family dwelling units may be permitted as the sole principal use of a building to provide unique housing opportunities which are not otherwise available in the City Center, within the B3 District. The City Council may deem multiple-family as a sole principle use in the B3 district under a Special Use Permit if they feel it meets one of the following criteria: 1. Provides unique housing opportunities which are not otherwise available in the City Center; or 2. Provides a transition from mixed-use development to a lower density residential use where a unique characteristic is present on the edge of the district. The Council may consider this type of housing and density to be a good transition between the mixed-use Building A, and the neighborhoods to the north. They may also feel that providing housing restricted to 55 years and older in an urban setting may be considered unique housing for this area of the City; or possibly for-sale units offered in close proximity to the urban center may be considered unique. SUMMARY COMMENTS Following Planning Commissions deliberation on this application, we will respond to any additional concerns and questions.

26 November 10, 2016 Page 26 of 28 ZONING ANALYSIS Development: W. Grand River Ave Zone: B3 Standard Proposed Conformity Min. Site Area: None 50,788 sq ft Yes Min. Floor Area Ratio 1.25 (63,475 sq ft) 201,931 sq ft Yes Max. Building Height*: varies 140 ft Yes Min. Building Height varies Max Building Cover 80 % + bonuses, up to 100 % 75% Yes Max. Ground Cover 85 % + bonuses up to 100 % 96% (includes 8% permeable pavement) Yes Min. Bldg Setbacks**: North 0 0 Yes South 0 7 ft Yes East 0 12 ft Yes West 0 20 ft Yes Parking Spaces ***: Min. Required Yes Max. Permitted N/A Max. Small Spaces N/A Min. Barrier Free Spaces 5 5 Yes Min. Bike Spaces (Hotel exempt) 135 Quantity not none Yes? * Building height shall be four stories or 64 feet if they do not have a residential component and six stories or 96 feet if they have a residential component; except buildings may be up to eight stories or 112 feet in height or below the required height, subject to an approved special use permit. However, within that portion of the area zoned in this district bounded by Grand River Avenue, Bailey Street, Albert Avenue, Grove Street, Linden Street, Abbot Road, City Parking Lot 15, the north-south alley west of Abbot Road and 200 West Grand River Avenue (The Peoples Church), the city council may, upon an affirmative vote of three-fourths of all members of the city council, permit an increase in stories or a maximum building height of up to 140 feet for a building deemed by the city council to be of significant public benefit subject to an approved special use permit as provided in article II, division 3 of this chapter. **No setbacks are required unless the rear yard or side yard abuts any residential district ***On-premises parking. Consistent with the purposes of this district and the city's policies to optimize use of its consolidated parking facilities in the City Center commercial district, on-premises parking facilities intended as accessory uses to serve one or more uses on the same lot shall be prohibited, except where: The applicant has demonstrated that the parking is necessary for the residents or customers of the proposed use and the municipal parking facility cannot accommodate the use; or The applicant has demonstrated that the parking is necessary for increased accessibility for handicapped persons

27 November 10, 2016 Page 27 of 28 ZONING ANALYSIS Evergreen Ave Development: Zone: B3 Standard Proposed Conformity Min. Site Area: None 76,861 sq. ft. Yes Min. Floor Area Ratio: 1.25 (96, sq. ft.) 223,250 sq. ft. Yes Max. Building Height*: C1 C2 Varies 52 ft.+ 15 ft. Mechanical 42 ft. Yes Yes Max Building Cover: 80 % + bonuses up to 100% 67% Yes Max. Ground Cover : 85% + bonuses up to 100 % Yes Min. Bldg Setbacks (C1): North 0 NA Yes South 0 NA Yes East (side) 0 NA Yes West 0 NA Yes Min. Bldg Setbacks (C2): North (Rear) Yes South 0 0 Yes East 0 0 Yes West 0 0 Yes Parking Spaces: Min. Required Yes Max. Permitted 425 Yes Max. Small Spaces 25 Yes Min. Barrier Free Spaces 8 8 Yes Min. Bike Spaces 48 Quantity not known Yes * Building height shall be four-stories or 64 feet if they do not have a residential component and six-stories or 96 feet if they have a residential component; except buildings may be up to eight-

28 November 10, 2016 Page 28 of 28 stories or 112 feet in height or below the required height, subject to an approved special use permit. However, within that portion of the area zoned in this district bounded by Grand River Avenue, Bailey Street, Albert Avenue, Grove Street, Linden Street, Abbot Road, City Parking Lot 15, the north-south alley west of Abbot Road and 200 West Grand River Avenue (The Peoples Church), the city council may, upon an affirmative vote of three-fourths of all members of the city council, permit an increase in stories or a maximum building height of up to 140 feet for a building deemed by the city council to be of significant public benefit subject to an approved special use permit as provided in article II, division 3 of this chapter.