City of Culver City, California
Agenda Item Report
Page 1 of 3
Meeting Date: 1/30/2011 Item Number: J-4
JOINT CITY COUNCIL / REDEVELOPMENT AGENCY AGENDA ITEM: Consideration
of a Commitment Letter to Conditionally Commit the City of Culver City to Dispose
of the Property to the Selected Developer for the Development of the
Washington/National Transit Oriented Development Site.
Contact Person/Dept.:
Todd Tipton/CDD
Sol Blumenfeld/CDD
Phone Number:
(310) 253-5783
(310) 253-5760
Fiscal Impact: Yes [X] No [] General Fund: Yes [X] No []
Public Hearing: [] Action Item: [X] Attachments: [X]
Commission Action Required: Yes [] No [X] Date: _______________
Public Notification: E-Mail) Meetings and Agendas – City Council and Redevelopment
Agency (1/26/12), E-Mail and phone) West Culver City Neighborhood Alliance (1/26/12)
Department Approval:
Sol Blumenfeld: (01/26/12)
City Attorney Approval:
Carol Schwab (by H. Baker) (01/26/12)
Agency General Counsel Approval:
Murray Kane (01/26/12)
Chief Financial Officer Approval:
Jeff Muir: (01/26/12)
City Manager/Executive Director Approval:
John Nachbar (01/26/12)
RECOMMENDATION:
Staff recommends the City Council authorize execution of a Commitment Letter with
a selected developer to be determined by the City Council on January 30, 2012 for
the Washington National Transit Oriented Development (TOD) site located adjacent
to the Exposition (Expo) Light Rail line Station in Culver City.
BACKGROUND:
The State’s financial crisis that has created the demise of redevelopment will result
in the liquidation of Culver City redevelopment assets through a State oversight
body. This has implications for the City’s transit oriented development project
located at Washington and National Boulevards since the City may lose the
opportunity to guide redevelopment of the property to achieve important community
goals.
The City has expended significant time and resources in preparation for the arrival of
the Expo light rail train in Culver City. Over the past five years the City has secured
an elevated station and planned for pedestrian and bicycle improvements,
assembled the 5.2 acre TOD site at a cost of $41.5 million, initiated a Community
Facilities District to fund necessary infrastructure and public improvements,
executed a lease agreement with Metro to provide subterranean parking and related
development on the MTA right of way, executed a Memorandum of Understanding City of Culver City, California
Agenda Item Report
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with the City of Los Angeles to harmonize zoning and development requirements,
expended $3.1 million to improve the Expo station to permit use of the MTA right of
way for parking and related development and fully vetted numerous development
scenarios and conceptual plans in order to identify a preferred project that provides
revenue returns to the City while promoting a sustainable design that fully comports
with parking and building height requirements. The Project is more fully outlined in
Attachment No. 1.
A Request for Qualifications (RFQ) and Request for Proposals (RFP) was to be
issued in January 2012 in order to identify a qualified developer to develop the
Project.
DISCUSSION:
In response to the urgency created by the State’s actions, the City is proceeding with
a limited RFP process to select a developer for the Washington National Transit
Oriented Development (TOD) project located at the new Culver City Expo Line
station. The City will consider entering into a contract for property disposition in order
to construct the preferred Project. The selected developer will be required to
develop the property pursuant to the City’s concept plan, conduct extensive
community outreach efforts and obtain all entitlements necessary to implement the
project, which must be fully parked and conform to the maximum 56’ height limit
identified in the CCMC.
Staff issued a letter requesting land offers to several developers (Legado, Related,
Hines, Lowe, Combined, Hackman, Macerich, Runyon) who had expressed prior
interest in the project. (See attached Offer Letter). Staff evaluated the responses
based upon willingness to build the Agency preferred project, the land price, and the
reasonableness of the financial assumptions applied by the respondents.
Staff is recommending the selection of the developer based on their letter submittal
and qualifications. The land offer reflects the City’s participation in completing
negotiations on parking structure encroachments with the City of Los Angeles and
delivering clear title to the property.
FISCAL ANALYSIS:
Keyser Marston Associates, Inc. (KMA) the City’s financial consultant prepared
order-of-magnitude financial projections for the desired development scope in March
2011. These projections indicated that the land payment to be received by the City,
plus the public revenues, including Transient Occupancy Taxes, Sales Taxes,
Business Taxes, Utility Users Taxes and the City share of property taxes, are
anticipated to generate sufficient revenue to repay the costs incurred to implement
the Project by fiscal year 2028-29. City of Culver City, California
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ATTACHMENTS:
1. Offer Letter.
2. Draft Commitment Letter (to be provided at the meeting).
MOTION:
That the City Council:
1. Authorize execution of a Commitment Letter with __________ for the
Washington National Transit Oriented Development (TOD) site located adjacent
to the Exposition (Expo) Light Rail line Station in Culver City;
2. Authorize the City Attorney and City Special Counsel to review/prepare the
necessary documents; and
3. Authorize the City Manager to execute such documents on behalf of the City.
MEETING DATE: 01.30.12
AGENDA ITEM: Consideration of a Commitment Letter to Conditionally
Commit the City of Culver City to Dispose of the Property to
the Selected Developer for the Development of the
Washington/National Transit Oriented Development Site.
ATTACHMENTS
Pages
1. Offer Letter 1-26
2. Draft Commitment Letter (to be provided at the meeting).
CITY OF CULVER CITY
9770 Culver Boulevard, Culver City, California 90232
Sol Blumenfeld 310 253-5700
Community Development Director 310 253-5779 Fax
____________________________
Culver City Employees take pride in effectively providing the highest levels of service to enrich the quality of life for the community by building on
our tradition of more than seventy-five years of public service, by our present commitment, and by our dedication to meet the challenges of the
future.
PRINTED ON RECYCLED PAPER
January 25, 2012
XXXX
XXXX
XXXX
Subject: Washington National Transit Oriented Development
Dear XXXX,
Given the recent Supreme Court decision regarding redevelopment, the City is
proceeding with an abbreviated process to select a developer for the Washington
National Transit Oriented Development (TOD) project located at the new Culver
City Expo Line station. The City will consider entering into a contract for property
disposition in order to construct the transit oriented development which is
detailed in the attached background information. The developer will be required
to redevelop the property pursuant to the City’s concept plan and obtain all
entitlements necessary to implement the project which must be fully parked and
conform to the height district in the zone.
We are requesting a letter from qualified developers indicating their proposed
land offer for the 5.2 acre site and confirming the intent to construct the project
consistent with the outlined project goals and depicted in the attachment.
Though the City has sketched the broad features to guide planning, the selected
developer is expected to bring their own architectural energy and place-making
sensibilities to the project. In general, the development must include a mix of
housing, office, retail and restaurant use surrounding a large central open space
amenity and connect seamlessly with the new station and the emerging
Washington National Transit Oriented Development District with public plazas,
outdoor dining and a strong retail edge to encourage pedestrian activity.
The City will select a developer on the basis of the letter submittal and review of
developer qualifications. The land offer should reflect the City’s participation in
completing negotiations on parking structure encroachments with the City of Los
Angeles and delivering clear title to the property. Related reference documents
can found on the City’s web site.
ATTACHMENT 1
1ATTACHMENT 1
2
WashingtonNational
Development Program
ATTACHMENT 1
31. Create a pedestrian oriented, mixed use, transit oriented development (TOD) that
incorporates office, retail, restaurants, hotel and housing.
2. Create a regional destination that provides regional benefits related to jobs and housing.
3. Promote the LRT connection to USC, Staples Center and Downtown Los Angeles and
Downtown Culver City.
4. Fulfill the goal of transit oriented development by bringing shopping, housing, and
employment together to advance the goals of regional air quality and mobility for the city
and region.
5. Utilize a multi-jurisdictional approach to development involving Metro, the City of Los
Angeles, Cal Trans and Culver City to reduce development costs and maximize parking and
development opportunities.
6. Coordinate land use planning, streetscape design, entitlements, permit issuance,
inspections and encroachments between Culver City and Los Angeles.
7. Provide a model sustainable development with integral solar technology and other
green building features for natural lighting, heating and cooling, and organize the site plan
to reflect sustainable objectives.
8. Incorporate planned roadway widths and street dedications to allow ample right of way
for wide sidewalks, landscaping, pedestrian amenities and bike paths.
9. Avoid podium parking along streets and sidewalks and encourage walkability in and
around the site.
10. Connect the TOD with Culver City’s Hayden Tract, Arts District and Downtown, with bike
paths and shuttle service.
11. Encourage design that is fitting with the neighborhood scale and compliant with
devel opment standards.
12. Consider opportunities for gateway features abutting with properties to the east and
south.
13. Promote project livability with large, central, useable, on-grade open space that
communicates with surrounding site uses and provides a space to read or toss a frisbee.
WASHINGTON NATIONAL TOD GOALS
ATTACHMENT 1
414. Develop, attractive, wide, tree-lined sidewalks along the Project street frontage.
15. Provide ample setbacks for outdoor dining, seating, colonnades, trellis structures and
other pedestrian amenities that support ground level retail.
16. Develop small scale ground level retail (not big box format).
17. Incorporate a high end boutique hotel as part of site development.
18. Maximize place-making potential for the project with creative design, attractive site
amenities and a unique transit plaza connecting the second story LRT platform to shops
and plazas below.
WASHINGTON NATIONAL TOD GOALS (continued)
ATTACHMENT 1
5Washington National
project overview
The Washington National “Triangle Site” provides an exciting opportunity to create a
new place-making, mixed use, transit oriented development (TOD) incorporating office,
retail, restaurants, hotel and residential uses. The development is strategically located in
the Westside at the Exposition light rail transit station in Culver City. The project
borders Los Angeles and is close to the Santa Monica Freeway (Interstate 10), Beverly
Hills, Santa Monica, LAX and Culver City’s revitalized Downtown, the Hayden Tract,
the Helms Bakery Complex and Arts District.
Background
Culver City has engaged in planning to create a sustainable TOD project that fits within
the surrounding community and fulfills the environmental promise of bringing housing,
employment and shopping together to enhance regional air quality and mobility. Planning
has focused on a new multi-jurisdictional effort with Metro, the City of Los Angeles, and
Cal Trans to reduce costs and maximize development opportunities.
ATTACHMENT 1
6Summary of Concept Project
The following summarizes a preferred TOD development program which reflects the
aforementioned goals:
Land Use Units Sq. Ft. Rooms Spaces
Residential 40-60(1)
50-70(2)
Total 90-130 du’s
Office 156,000 (1)
44,000 (2)
Total 200,000
Retail/Restaurant 50,000 - 71,500
Hotel 148
Open Space approximately 1/3 acre
Parking (2 levels subterranean) 1,267 - 1313
TOD 300
Expo
Total 1,567 - 1613
_________________________________________________________________
(1) Phase 1 (2) Phase 2
The City will entertain development program options which reflect the project goals
and include the basic components of office, retail (small format), residential, and a
boutique hotel surrounding a central open space. Additional development alternatives
have been noted for your consideration in Attachment No. 1.
Parking for Expo and the TOD
The full complement of parking will be satisfied for the Expo light rail station and the
TOD. The site’s triangular shape presents parking challenges; however, by including a
subterranean portion of the Metro right of way and by including six parcels in the City
of Los Angeles and ½ of National Boulevard right of way in Culver City and Los
Angeles, project parking needs are met. Use of Metro property requires installation of
a shoring wall abutting the MTA right-of-way at the developer’s cost.
ATTACHMENT 1
7Phase One of the Expo line requires 600 parking spaces. As the train moves on to Santa
Monica in Phase Two, the required Expo parking diminishes to 300 spaces. The residual
parking from Expo in Phase Two will allow for increased TOD office and residential
development. The parking will be funded and operated by the developer of the Triangle
Site to accommodate all Expo and TOD needs. Two subterranean parking levels will be
accessed from garage entrances at Washington and National Boulevards. Short-term
parking for the hotel and retail uses will also be provided at grade.
Community Facilities District
Various infrastructure and streetscape improvements are proposed for the Transit
District area that will be shared by adjacent businesses. These improvements consist of
upgrades to sewer, gas and water lines as well as sidewalk enhancements that include
the installation of broad spreading trees, pedestrian lighting and furniture. A
Community Facilities District for the Transit Oriented Development Zone is proposed
to fund and maintain these improvements. This District will allow are development to
amortize costs on a prorata basis.
ATTACHMENT 1
8Development Objectives
Conceptual Site Plan
The Culver City Redevelopment Agency has approved a conceptual plan that features a
mix of office, retail, restaurants, residential and hotel uses surrounding a large central
open space to make it a great place for living, shopping, or working. The project will be
appropriately scaled, and contain iconic architecture, public plazas with outdoor dining
and other pedestrian amenities, and an exciting transit plaza activates the project. A
boutique hotel, a mix of small, medium and “dinner-house” type of restaurants and
related retail in the project will expand opportunities for tourism and business visitors
to the emerging Transit Oriented District, the Hayden Tract, Arts District, Helms
District and the Downtown adding social and economic vitality to the area.
The project will be a model of green building and sustainability, fulfilling the
environmental promise of transit oriented development, by bringing housing,
employment and shopping together to minimize auto use. It will offer mature
landscapes, promote ground water recharge and encourage natural lighting, heating and
cooling. Buildings positioned along the project perimeter will be stepped and setback to
facilitate air movement to moderate summer heat and support solar technology. Broad
tree lined streets and ample building setbacks will create view-sheds and breezeways
into and through the site.
While the City has sketched the broad features to help guide planning, the selected
project development team will bring its own architectural energy and place-making
sensibilities to create excellence in urban design. The Triangle Site will help define the
surrounding area and create an exceptional new neighborhood, fostering design
excellence and revitalization, while addressing regional problems related to job
generation, air quality, mobility and sustainability.
Open Space & Other Amenities
The site includes a central landscaped square, designed to accommodate mature planting
and programmed for passive or active use as part of a network of plazas that ring the
site. A special gateway feature at Washington and National Boulevards has been
identified for public art, special landscapes, and lighting that highlights the transit district.
Building line setbacks of 15 feet along the project perimeter will be punctuated with
pedestrian amenities such as colonnades, planters, special seating, stepped building
design, building articulation and opportunities for outdoor dining.
ATTACHMENT 1
9Transit Plaza
A unique element of the project is the Transit Plaza at Venice Boulevard that connects
the aerial Expo Station with the TOD below. The Transit Plaza is envisioned as an
attractive, stepped architectural feature that offers special places for sitting, dining and
taking in the sights.
Hotel
The City’s Hospitality service consultant has studied the viability of a hotel at this
location. A 148 room, high end, boutique hotel serving a niche entertainment business
market is part of the proposed project. The full service hotel will ground level retail,
restaurants and short term hotel check-in parking.
Residential & Commercial Development
Housing is an essential component of the mixed use project with building setbacks and
stepbacks to maximize light and air to each unit. The residential units will be offered for
sale or rental and include site amenities that make it a highly desirable place to live on
the Westside. Convenient shopping and dining will be part of the site amenities,
reducing the need to drive. Residents of the Triangle Site will walk to the nearby
grocery stores, bike Downtown or catch the Expo line to Staples Center, returning to
dine at one of several fine restaurants in the project.
Retail and office development will be focused along Venice and National Boulevards at
the ground level providing a new Westside location for quality office and retail tenants.
The residential and commercial project phasing will allow market absorption over time
in response to market demand.
Connectivity and Catalytic Projects
The Expo Station and TOD will connect the Transit District to the region including
Downtown, Hayden Tract, Arts District, Westfield Culver City Shopping Center and
Westside cities. There are two other catalytic projects proposed for this area: Legado
Project and The Platform.
1. Washington National
2. Legado Project
3. The Platform
ATTACHMENT 1
10--
(TRIANGLE SITE)
CONCEPT PLAN
OPEN SPACE
OPEN SPACE
---- Office with ground floor retail
---- Residential
---- Hotel, boutique
---- Open Space
WASHINGTON NATIONAL CONCEPTUAL PLAN
Train Platform
Transit Plaza
Venice Boulevard
Washington Boulevard
National Boulevard
ATTACHMENT 1
11Washington National
Concept site plan
ATTACHMENT 1
12Open Space
concept
•Passive usage
ATTACHMENT 1
13Open Space
concept
•Active usage
•Programmed
ATTACHMENT 1
14Pedestrian Amenities
concept
•seating niches
•outdoor dining
ATTACHMENT 1
15Pedestrian Amenities
concept
•colonnades
•planted trellis
ATTACHMENT 1
16Transit Plaza
concept
•Light Rail
•Rapid Bus
Conceptual view of Transit Plaza Overlook
ATTACHMENT 1
17Retail Edge
concept
ATTACHMENT 1
18Gateways
concept
•iconic design
•landscaping
•crosswalks
•paving and lighting
ATTACHMENT 1
19Residential
concept
ATTACHMENT 1
20Hotel
concept
•boutique
•low rise
•high end
ATTACHMENT 1
21Subterranean Parking
concept
ATTACHMENT 1
22City of Los Angeles Encroachments
ATTACHMENT 1
23Proposed Parking Encroachments
ATTACHMENT 1
24Release RFP/RFQ
Review Submittals
Select Development Team
Execute DDA
Commence shoring wall design
EXPO Venice Robertson Station Complete
TOD Preliminary Plans Complete
Complete shoring wall construction
TOD Entitlements and environmental review process
TOD construction document preparation
TOD Construction Documents and process building permits
Construction bid (TOD)
Select Contractor (TOD)
Construction Commences
Construction of subterranean parking garage (TOD)
TOD Construction Complete
Preliminary Washington/National Transit Oriented Development Timeline
2012
2013 2014
March - Decemeber
2015 2016
August
January - June
October November
January
January February
ATTACHMENT 1
25Attachment #1
Alternative Development Options
Project Element Option 1 Option 2 Option 3
Office 200,000 212,762 182,400
Retail/Restaurant 60,000 63,168 55,600
Hotel 148 148 148
Residential 119 DU’s 117 DU’s 149 DU’s
Open Space ½ acre ½ acre ½ acre
Podium Parking 1 level 1 level 1 level
Subterranean Parking 2 levels 2 levels 2 levels
Total Parking Stalls 1,567 1,613 1,567
Building Height * 4-5 stories 4-5 stories 4-5 stories
* Varies to maximum height
ATTACHMENT 1
26