Transfer of Development Rights. February 13, 2017
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1 Transfer of Development Rights City Council Meeting February 13, 2017
2 Overview What were working on Transfer of Development Rights King County / COS Interlocal TDR Regulations Q & A
3 Transfer of Development Rights
4 Transfer of Development Rights (TDR) What is it? Is a market-based tool Utilizes the demand associated with development to CONSERVE environmentally sensitive lands, open space and other lands with public benefits Is voluntary and flexible
5 Transfer of Development Rights (TDR) How they work? Sending Sites Supply (TDR credits) Receiving Sites Demand (increased density) Marketplace Where and how transactions occur Receiving Sites $ TDRs Sending Sites
6 Transfer of Development Rights (TDR) Sending Sites Development rights removed Receives $ for transferring development rights Retains ownership of property Conservation easement
7 Transfer of Development Rights (TDR) Receiving Sites Purchases TDR Receives a density incentive
8 Transfer of Development Rights (TDR) Marketplace The market price of TDRs is set by five factors: Strength of local and regional real estate markets Location where TDRs can be used for additional density and the geographic land areas from where TDRs can be purchased Price developers are willing to pay for an increment of density provided by a TDR Price at which individual rural landowners are willing to sell their transferable development rights Amount of TDRs readily available in a TDR Program Sending Sites Receiving Sites
9 Transfer of Development Rights (TDR) Benefits of a TDR program? Land is permanently preserved and remains in private ownership Promotes compact development Development growth is focused into urban areas and away from critical rural and resource areas
10 King County / City of Sammamish Interlocal Agreement
11 King County / City of Sammamish Interlocal Purpose The program establishes a MARKETPLACE for unincorporated TDR credits to generate on-going preservation of rural and resource lands deemed important to the City, while investing in City amenities. King County TDRs TC
12 King County / City of Sammamish Interlocal Emerald Necklace New Graphic ILA Sending Site Area
13 King County / City of Sammamish Interlocal Town Center Town Center Aerial and Zoning Map Graphic Receiving Site Area
14 King County / City of Sammamish Interlocal Incentive Table SENDING ZONE Unincorporated King County 1 TDR Credit RECEIVING ZONE Town Center Commercial TC C TC B TC - A 3,560 SF 2 du 3 du 5 du 75 TDR Credits Available
15 King County / City of Sammamish Interlocal King County TDR Bank The King County Bank plays an important role in facilitating the City-County TDR credit market by; Buying TDR credits from willing landowners in the sending site area Holding the TDR credits Selling the TDR credits when willing buyers (developers) KC TDR Bank Sending Sites Town Center Development Projects
16 King County / City of Sammamish Interlocal Mitigation Funds King County will provide funding for certain amenities to mitigate for impacts associated with increased development in the Town Center Receiving Area Phase I Phase II
17 King County / City of Sammamish Interlocal Phase I - $375,000 Creation and acquisition of public open space and / or parks inside the City $226,287 was used to purchase property from King County Roads Division Sahalee Trail Connection to ECP Trailhead & Picnic Area Evans Creek Preserve Phase II Improvements $148,713 remains
18 King County / City of Sammamish Interlocal Phase II: 25% of the TDR sale price goes to the City STCA Development TDR Credit: Cost: Purchase and Sale Agreement: 20 credits $80,000/per credit $1,600,000 City Receives $400,000
19 King County / City of Sammamish Interlocal Mitigation Funds Mitigation Funds must be used for Parks, open space, gardens, gateways, natural corridor addition Wildlife habitat Salmon habitat and aquatic resources Scenic resources Historic or cultural resources Urban passive-use natural areas/greenbelt Passive Recreation opportunity in area with unmet needs
20 City of Sammamish TDR Regulations
21 21.A.80 Transfer of Development Rights Regulations Adopted in 2011 Provides an incentive process for property owners to preserve lands with a public benefit Provides administrative review process to ensure that TDR credits are evaluated and administered in a fair and timely manner Regulations references the ILA and incorporates incentives King County TDRs TC In-City TDRs
22 21.A.80 Transfer of Development Rights Regulations Code outlines Qualification requirements Certification process Restrictions and limitations TDR transfer process
23 21.A.80 Transfer of Development Rights Regulations The code does not establish a TDR Bank A TDR Bank provides the mechanism to; Purchase and sell TDR credits Administer program funding Other Other
24 21.A.80 Transfer of Development Rights In-City Sending Sites Properties located within the following areas; Thompson sub-basin Inglewood sub-basin Inglewood Sub-basin Thompson Sub-basin
25 21.A.80 Transfer of Development Rights In-City Sending Sites Properties located within the following areas; Thompson sub-basin Inglewood sub-basin Erosion hazards special district overlay
26 21.A.80 Transfer of Development Rights In-City Sending Sites Properties located within the following areas; Thompson sub-basin Inglewood sub-basin Erosion hazards special district overlay Wetland management areas special district overlay
27 21.A.80 Transfer of Development Rights Incentive Table RECEIVING ZONE Town Center SENDING ZONE City of Sammamish SENDING ZONE Unincorporated King County R-1 R-4 R-6 KC LANDS Commercial 7,716 SF 3,560 SF 2,600 SF 3,560 SF TC C 4 du 2 du 1 du 2 du TC B 7 du 3 du 2 du 3 du TC A 5 du
28 21.A.80 Transfer of Development Rights Town Center Density Transfers Dwelling units may be transferred from the TC-D zone into the TC-A zones Each unit transferred from the TC-D zone into the TC-A zone shall be worth one dwelling unit for development in the TC-A zone. For example, if 10 dwelling units are purchased from the TC-D zone, they may be used to develop 10 dwelling units in the TC-A zone. TC Zoning Map 240 du Available
29 Managing TDR Credits What would be the benefit of a City TDR Bank Establishing a program would provide an opportunity for the City to purchase and manage TDR credits and establish conservation easements in coordination with a strategic plan to support the preservation of the City s natural resources, wildlife corridors and tree canopy.
30 Council Direction How should staff proceed Develop a program to establish a City TDR Bank? Consider updating the ILA to include King County administrating a City TDR program? Other options?
31 Q & A
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