DZC and DRMC Amendments to Implement 38th and Blake Station Area Height Amendments

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DZC and DRMC Amendments to Implement 38th and Blake Station Area Height Amendments DZC Text Amendment #2 to establish River North Design Overlay (DO-7) / 38 th and Blake Incentive Overlay (IO-1) (CB18-0016) DZC Map Amendment #2017I-00121 to rezone properties within existing mixed-use districts to include the DO-7 and IO-1 Overlays (CB18-0017) DRMC Amendment to establish new Chapter 27 Article VI Affordable Housing Incentives (CB18-0019) Ordinance establishing a new Affordable Housing Incentive Fee Fund (CB18-0014)

Sponsor and Purpose Sponsored by City Council President Albus Brooks Implement Adopted 38 th and Blake Station Area Plan Height Amendments Promote greater design quality in RiNo Promote higher intensity development to support transit while ensuring community benefits Integrate affordable housing around the 38 th and Blake station Public Process for Plan Amendments (13+ Meetings) One Year Process (2015-2016) Five Community Workshops Eight Steering Committee Meetings, including representatives from: Cole Globeville Elyria & Swansea RiNo Curtis Park/NE Downtown Presentations to RNOs Website & Newsletters 2

Summary of Proposed Implementation Tools Zoning Code Text & Map Amendments (CB18-0016 & 0017 Required Public Hearing) DRMC Amendment (CB18-0019) River North (RiNo)Design Overlay Promotes greater design quality Establishes river as an amenity Applies throughout River North (RiNo) 38th and Blake Incentive Overlay Allows specific incentive heights Ties to Municipal Code amendment Applies to the area around the station DRMC Housing Incentive Amendment Establish unit/fee requirements for incentive projects Relate to citywide programs Establish New Revenue Fund (CB18-0014) Affordable Housing Incentive Fund 3

38 th & Blake Plan Amendment Proposed Implementation Tools Public Process for Zoning Implementation Step Date 38 & Blake Station Area Height Amendments Adopted 9/19/16 Stakeholder Meetings to Develop implementation Strategy 12-16 to 6-17 Planning Board info item 7/19/17 LUTI Info Item 8/8/17 INC and Other RNO Presentations 8/17 through 9/17 Stakeholder Meeting on Design Overlay 9/11/17 Feasibility Study Stakeholder Meeting 10/12/17 Postcards Sent to All Property Owners 10/31/17 Public Meeting on Text and Map Amendments 11/08/17 Notification Signs Posted in Area 11/20/17 12/5/17 Planning Board Hearing 12/6/17 (recommendation to approve) Land Use, Transportation and Infrastructure Committee 1/2/18 Notification Signs Posted in Area 01/21/18 02/12/18 City Council Public Hearing 2/12/18 4

38 th & Blake Plan Amendment Proposed Implementation Tools What We ve Heard Excitement regarding the future Public support for incentive and design requirements Some public concern regarding: Growth, change and infrastructure capacity No parking requirements near transit Amount of required affordable housing Property owner/developer concern regarding: Non-residential active use requirements Specific rules & regulations for provision of affordable housing units Ease of negotiating community benefits option 5

What are the proposed amendments? Denver Zoning Code (DZC) Text Amendment (CB18-0016): River North Design Overlay (DO-1) 6

DZC Amendment: River North Design Overlay (DO-7) Summary of Design Overlay Building Design & Massing Structured Parking Design Incremental Mass Reduction Street Level Activation Build-to/Setbacks Transparency Active Uses Street Level Height Street Level Residential Setbacks/Entries 7

DZC Amendment: River North Design Overlay (DO-7) Building Design & Massing Tools Structured Parking Design (structures over 5 stories) Wrap 70% of Parking; or Screen 100% of Parking Incremental Mass Reduction (zone lots over 150 wide) Stories 3-5: 10% Stories 6-8: 15% Stories 9-12: 20% Stories 13-16: 30% 8

DZC Amendment: River North Design Overlay (DO-7) Building Design & Massing Tools 9

River North Design Overlay (DO-7) Street Level Activation Tools Street Level Active Use (zone lots over 150 wide) No parking or residential on 50% of Primary Street Frontage Street Level Height 16 Minimum Street Level Residential 7 min. primary/side street setback Entry feature for each street level dwelling 10

River North Design Overlay (DO-7) Street Level Activation Tools 11

River North Design Overlay (DO-7) Additional Tools No vehicle parking requirements within ½ mile of transit River Modified criteria for designation of primary streets The river is always primary 12

Review Criteria for DZC Amendment: River North Design Overlay (DO-7) Consistency with Adopted Plans Comprehensive Plan 2000 Land Strategy 3-B: Encourage quality infill development that is consistent with neighborhood character (page 60) Denver s Legacies Strategy 2-B: Focus design standards and review efforts on new and evolving districts that are undergoing the most dramatic change (page 98) Blueprint Denver Create new or modified zone districts where there is not an existing zone district that allows the appropriate uses, densities, and design standards in Areas of Change (page 130). 38 th and Blake Station Area Height Amendments (2016) Adopt a new regulatory approach to ensure greater design quality throughout the station area (page 8). Northeast Downtown Neighborhoods Plan (2011) Promote pedestrian orientation and minimize the visual impacts of structure parking (page 74). Locate commercial uses on the ground floor to activate buildings and the street (page 74). 13

What are the proposed amendments? Denver Zoning Code (DZC) Text Amendment (CB18-0016): 38 th and Blake Station Area Incentive Overlay (IO-1) Denver Revised Municipal Code (DRMC) Amendment (CB18-0019): Incentives for Affordable Housing Establish a New Fund (CB18-0014): Affordable Housing Incentive Fee Fund 14

38 th & Blake Incentive Overlay / Incentive Requirements / Incentive Fund Summary of Incentive Amendments DZC Text Amendment (CB18-0016 Required Public Hearing) DRMC Amendment (CB18-0019) Establish Incentive Overlay category Allow 1 to 11 stories of incentive height above zoning base height Specify height transitions Cross reference new DRMC Incentives for Affordable Housing affordable housing/fee requirements Residential mixed-use projects Require affordable units (no fee option) 1x citywide build-alt on all stories 4x citywide build-alt on incentive stories Commercial mixed-use projects Citywide linkage fee applies + 4x fee on incentive height Or units / community use agreement Incentive Fee Fund (CB18-0014) Accommodate $ from incentive fee 15

38 th & Blake Incentive Overlay (IO-1) Incentive Height Map

Residential Sample - Citywide Program, 5 story Residential Sample - Incentive Program, 5 to 12 story Incentive Overlay resulted in a net gain of 9 affordable units compared to the citywide program and allowable height with the base zoning. Additionally, the overlay creates a mixed-income community with affordable units onsite or within the incentive area. Affordable Units Required Incentive Build Alternative Units: 7 units + Citywide Build Alternative Units: 3 units Citywide Linkage Fee: $112,500 OR Citywide Build Alternative Units: 1 unit 75,000 GSF total 75,000 GSF in base, 105,000 GSF in incentive = Total Build Alternative Units: 10 units Incentive project produces 10x as many affordable units as the 5-story the pre-incentive project 17

Commercial Sample - Incentive Program, 5 to 12 story Fee Option Incentive Fee: $714,000 + Citywide Linkage Fee: $306,000 = Unit Option Incentive Build Alternative Units: 10 units + Citywide Build Alternative Units: 4 units = Community Use Option Community Serving Use Agreement + Citywide Linkage Fee: $306,000 = 75,000 GSF in base, 105,000 GSF in incentive Total Fee: 1,020,000 Total Build Alternative Units: 14 units Incentive project produces 14x as many affordable units as a 5- story the pre-incentive project Total Fee: $306,000 + Community Serving Use Agreement 18

38 th & Blake Incentive Overlay / Incentive Requirements / Incentive Fund Residential Affordability Requirements Affordability Requirements Match Existing Linkage Fee Provisions Required units must be: Within the overlay area Affordable at 80% AMI or lower Comparable in mix and size to market rate units that generated the requirement Existing Administrative Rules & Regs for Affordable Housing Will Apply Building units off site (escrow, timeline, etc.) Unit tenure (for-sale or for-rent) The Overall System Addresses Equity Across Housing Types Unit requirements address residents at 80% AMI or lower Fees support housing and services for residents at lower AMI thresholds A New Fund Will Collect Incentive Fees Necessary because existing fund is for the exclusive purpose of accounting for affordable housing linkage fees Fund $ maybe be used for the same purposes as the existing property tax fund 19

38 th & Blake Incentive Overlay / Incentive Requirements / Incentive Fund Community Benefits Agreement Voluntary Agreement with the City (administered by OED) Can Meet Incentive Requirements Only Can meet incentive requirements for square footage above the base Citywide affordable housing linkage fee will apply to all floors of building as it would elsewhere in the city Value of Fee Translated to Provision of Community-serving Uses, Such As:* Art studios and maker spaces Neighborhood services like child care or community kitchens Community-serving non-profit space Agreement Addresses: Rent reduction, terms and timeline for tenant Recourse if agreement not in good standing *Must meet a demonstrated need in the surrounding neighborhood(s) 20

Review Criteria for DZC Amendment: 38 th & Blake Incentive Overlay (IO-1) Consistency with Adopted Plans Comprehensive Plan 2000 Land Use Strategy 4-A: Encourage mixed-use, transit-oriented development that makes effective use of existing transportation infrastructure (page 60) 38 th and Blake Station Area Height Amendments (2016) Adopt a new regulatory approach to integrate affordable housing and mixed income development within the 38thand Blake Station area (page 10). Elyria and Swansea Neighborhood Plan (2015) Recommend neighborhood collaboration to determine whether taller building heights may be appropriate near the 38 th and Blake Station (page 31). 38 th and Blake Station Area Plan (2009) Provide financial incentives to include flexible zoning and provision of density bonuses (page 71). 21

Review Criteria for DZC Amendment: 38 th & Blake Incentive Overlay (IO-1) Additional Review Criteria for an Incentive Overlay 1. Application of an Incentive Overlay District will provide community benefits that furthers one or more adopted city policies; and 2. Such community benefits have been determined by the City to be best achieved though incentives, rather than requirements; and 3. Application of an Incentive Overlay District will ensure clear and predictable outcomes consistent with the applicable neighborhood context, building forms, and the stated purpose and intent of the applicable zone district; and 4. Application of an Incentive Overlay District will apply equally to all similar properties in an area or district to provide equitable outcomes consistent with adopted City policies. 0 22

River North Design Overlay (DO-1) / 38 th & Blake Incentive Overlay (IO-1) Staff Recommendation CPD recommends approval of the DZC text amendment for the design and incentive overlays based on finding that criteria have been met 1. Review Criteria for an Incentive Overlay District 2. Consistency with Adopted Plans 3. Furthers the Public Health, Safety and General Welfare 4. Results in Regulations that are Uniform Across the District OED recommends approval of the DRMC amendment BMO & OED recommend establishing the incentive fee fund 23

Where would the proposed amendments apply? Denver Zoning Code (DZC) Map Amendment (CB18-0017): Amendment 2017I-00121 to Apply Design (DO-7) and Incentive (IO-1) Overlays to Properties with Existing Mixed Use Zoning 24

DZC Map Amendment 2017I-00121 25

Map Amendment Application 17I-00121 38 th & Blake + RiNo Apply DO-7 Apply IO-1 RiNo Apply DO-7 DO-7 & IO-1 Overlays DO-7 Overlay

Map Amendment Existing Land Use in Area Industrial Warehouse Single- and Multi-unit residential Transportation (rail and freight handling) Entertainment (Coliseum) Vacant 27

28

Map Amendment Relationship to Proposal 2017I-00122 (separate public hearing) Application of Overlays After Both Map Amendments Updates some existing mixed use zoning to match plan base height Updates some non mixed use zoning for use of overlays Applies overlays 29

Review Criteria for Map Amendment Consistency with Adopted Plans Blueprint Denver Future Land Use Mixed Use (most of the area) TOD (south of station) Industrial (north of station) 30

Review Criteria for Map Amendment Consistency with Adopted Plans 38 th & Blake Height Amendments Implementation of adopted incentive heights through overlay map and transition area text 31

Review Criteria for Map Amendment Consistency with Adopted Plans Elyria & Swansea Neighborhood Plan (2015) Recommendation for City Councilmember-initiated rezonings to implement the plan vision (page 29) 32

Map Amendment 2017I-00121 Staff Recommendation CPD recommends approval of the map amendment based on finding that criteria have been met 1. Review Criteria for an Incentive Overlay District 2. Consistency with Adopted Plans 3. Furthers the Public Health, Safety and General Welfare 4. Results in Regulations that are Uniform Across the District 33