PLANNING COMMISSION. Agenda Item # 2.

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1 PLANNING COMMISSION Agenda Item # 2.

LAND DEVELOPMENT CODE AMENDMENT Planning Commission: March 1, 2017 Case: LDC-13-317 Staff Contact: Brian Chambers; brian.chambers@wilmingtonnc.

2 LAND DEVELOPMENT CODE AMENDMENT Planning Commission: March 1, 2017 Case: LDC Staff Contact: Brian Chambers; Staff Recommendation: Planning Commission Recommendation: City Council Action: Approval Scheduled for public hearing 3/1/17 Pending Request Code Section(s) Request Applicant Amend City Code Chapter 18, Sec MX, Mixed Use District To allow projects subject to a development agreement to meet the phasing requirements as provided in the development agreement. Lee Law Firm, PLCC 1427 Military Cutoff Road, Suite 208 Wilmington, NC (910) michael@leelawfirm.com On January 17, 2017, City Council approved a resolution directing the City Manager to process the proposed amendment outside of the quarterly regulatory amendment schedule. BACKGROUND / ANALYSIS The MX district was established to allow for the integration of compatible uses on a single site. To achieve this, the MX district prescribes use categories (residential, office, commercial, institutional, entertainment) and a minimum mixture of uses (mixing ratio). These standards are intended to ensure that each MX project contains a meaningful mixture of uses in order to achieve the goals of the district. The required mixing ratio applies to all MX projects. For MX projects developed in phases, each phase functions as a standalone project and must meet the minimum mixing requirements within a prescribed time frame (based on acreage). On May 19, 2009, City Council approved a voluntary annexation request and initial conditional district zoning for a 1,358 +/- acre site located along River Road (RiverLights). A portion of the property (1,155 +/- acres) was zoned R-7(CD), Residential (Conditional District) and a portion of the site (203 +/- acres) was zoned MX(CD), Mixed Use (Conditional District). On June 10, 2009, the city entered into a development agreement with Newland Communities (NNP-IV, LLC) for the development of the site. This agreement includes provisions for density, design standards, transportation improvements, public amenities, and development phasing. The Land Development Code currently requires MX projects containing more than 200 acres to include the minimum mixture of uses within four years (48 months). The current development agreement requires Newland Communities to substantially complete the MX(CD) portion of the site within 10 years. The applicant proposes to amend the MX standards to allow projects that are subject to an approved development agreement to meet the phasing requirements of the agreement. If approved, this amendment would allow Newland Communities to provide for the minimum mixture of uses prescribed by the MX district within 10 years (as opposed to four years).

3 LDC MX Mix of Uses with Development Agreement 2 PROPOSED AMENDMENT Following are the proposed amendments to the Land Development Code. Additions are underlined. Sec MX, Mixed Use District. *** (b) Mixture of Uses. *** (5) For mixed use developments containing three (3) use categories, each use shall occupy a minimum of twenty (20) percent of the floor area or gross acreage of the project. The developer may choose the use mix measurement but each project shall only use one (1) of the use mix measurements (floor area or gross acreage). For projects with four (4) or more use categories, the twenty (20) percent minimum is waived for all categories except residential, however, no use may occupy more than sixty (60) percent and no two (2) uses combined shall occupy more than eighty (80) percent of the floor area or gross acreage. For phased projects, during construction of any phase prior to project completion or six (6) years from the initial foundation inspection, whichever is first, no single use shall exceed sixty (60) percent and no two (2) uses shall exceed ninety (90) percent. Residential uses may occupy as much as seventy -five (75) percent floor area or gross acreage, if that which is over sixty (60) percent is located in a mixed-use building and located over first floor commercial use. Notwithstanding the foregoing and in lieu thereof, MX projects subject to an approved development agreement shall be subject to the phasing requirements as provided in such development agreement. (6) For MX projects developed in phases (as defined in this ordinance), each phase shall be able to function as a stand alone development and the project shall contain the required common space/open space at all times during the phases of construction. MX projects subject to an approved development agreement shall meet the phasing required under the development agreement. All other MX projects shall meet the minimum mix of uses requirements according to the following schedule: Project Size (acres zoned MX) Time from first foundation inspection to provide initial mix months 100+ to months months If the mixture of uses is not provided in this time, no certificates of occupancy will be issued for any part of the project other than single-family detached residential developments and townhouse residential developments, not exceeding four (4) units per building until the mixture is provided. All structures with a certificate of occupancy or at least foundations and footings may be considered part of the mix. Single-family detached residential developments and townhouse residential developments not exceeding four (4) units per building in MX projects of one hundred (100) acres or more may have up to four (4) years from the first foundation inspection approval before certificates of occupancy will be withheld for failure to provide the required mix of uses. The City Council may grant a one-year extension for a total of five (5) years if the property owner can provide evidence that a mix will be provided by the end of the additional year. The evidence may include but is not limited to tenant contracts, leases or other legal construction agreements with specific deadlines.

4 LDC MX Mix of Uses with Development Agreement 3 Notwithstanding the foregoing provisions regarding the initial mix and the mix for phased projects, in the event that the developer has provided either the city or the North Carolina Department of Transportation, whichever is applicable, with financial guarantees in a form suitable to the relevant entity to cover all offsite improvements related to uses other than residential and twenty (20) percent of the project s common space/open space has been fully constructed and is accessible, then the developer s failure to provide the nonresidential component of the initial mix, or the mix for phased projects, within the applicable time periods set forth in the schedules above shall not preclude the issuance of certificates of occupancy for the residential portions of the project, provided all other conditions for obtaining the certificates of occupancy have been met. CONSISTENCY WITH ADOPTED PLANS Create Wilmington Comprehensive Plan The comprehensive plan calls for mixed-use development that provides a range of services within walking distance in order to reduce motor vehicle trips and increase pedestrian activity. The proposed amendment maintains the current minimum mixture of uses prescribed by the MX district while allowing for a greater time frame in which projects subject to a development agreement can meet those requirements. Policies that pertain to the proposed amendment are provided below. Policies are identified as ranging from being in strong support to modest support of the proposal. The following symbology is employed: Strong Support Modest Support Policies 1 Development and City Building Land Use and Transportation Mixed-use development that provides a range of services within walking distance of integrated residential development should be promoted as a way to help reduce motor vehicle trips. Developments that reduce reliance on single-occupancy motor vehicles should be supported. Mixed-use Development Mixed-use centers should be made up of a diverse mix of uses and integrated design that avoids segregation of uses. Centers should have well-planned public spaces that bring people together and provide opportunities for active living and social interactions Integration and mix of uses should be provided within all Areas of Opportunity and Mixed-use Centers identified in the Growth Strategies Maps. These developments may vary in scale and intensity, but should all contribute to the city s livability, manage future growth, and provide bike, pedestrian, and transit accessible destinations. City of Wilmington Strategic Plan The proposed amendment maintains the current minimum mixture of uses prescribed by the MX district while allowing for a greater time frame in which projects subject to a development agreement can meet those requirements. Focus Areas that pertain to the proposed zoning amendment include the following:

5 LDC MX Mix of Uses with Development Agreement 4 Foster a Prosperous, Thriving Economy The city will promote opportunity and prosperity by fostering sustainable, regionally coordinated economic growth and development strategies for creating jobs, building a strong workforce, facilitating commerce and business vitality. Engage in Civic Partnerships The city will build and improve partnerships, collaborations, and relationships with all stakeholders, including our citizens and public and private organizations. Provide Sustainability & Adaptability The city will protect and preserve our natural resources with quality design for the built environment. The city will make strategic decisions focused on the long-term financial, physical, and social health of the entire city to enhance our ability to respond to changing economic and demographic conditions. Our actions will be based on a shared commitment to inclusiveness, equity, and continuous improvement. CONCLUSION / RECOMMENDATION The MX district was established to allow for the integration of compatible uses on a single site. The district prescribes use categories and a minimum mixture of uses to ensure that each MX project contains a meaningful mix. The district currently requires larger MX projects (200+ acres) to include a minimum mixture of uses within four years. The proposed amendment allows for projects subject to a development agreement to meet the phasing requirements of the agreement. The current development agreement between the city and Newland Communities requires the MX-zoned portion of RiverLights to be substantially complete within 10 years. The amendment would allow Newland Communities to provide for the minimum mixture of uses prescribed by the MX district within 10 years (as opposed to four years). The proposed amendment maintains the current minimum mixture of uses prescribed by the MX district while allowing for a greater time frame for projects subject to a development agreement to meet those requirements. The proposed amendment is consistent with the recommendations of the Create Wilmington Comprehensive Plan, the city s Adopted Focus Areas, and is in the public interest; staff recommends approval of the amendment to the Land Development Code as proposed. NEIGHBORHOOD CONTACT Planning Commission Advertisement Date(s) 2/24/17 City Council ACTIONS TO DATE Planning Commission City Council 3/1/17; Scheduled for Public Hearing Pending ATTACHMENTS 1. Land Development Code Amendment Application (Dated Received 12/14/16)

CASE SUMMARY Conditional District Zoning Modification Planning Commission January 9, 2013 CD M1212

CASE SUMMARY Conditional District Zoning Modification Planning Commission January 9, 2013 CD-3-109-M1212 Jim Diepenbrock, Associate Planner jim.diepenbrock@wilmingtonnc.gov 910-341-3257 Staff recommendation