Director's Report
CITY OF CUPERTINO
10300 TORRE AVENUE, CUPERTINO, CALIFORNIA 95014
DEPARTMENT OF COMMUNITY DEVELOPMENT
Subject: Report of the Community Development Directo~?.J--"_
Planning Commission Agenda Date: Tuesday, July 25, 2006
The City Council met on July 18, 2006, and discussed the following items of interest to the
Planning Commission:
1. Consider Timothy Reeves (Public Storage), 20565 Valley Green Drive: The City
Council approved use permit, architectural & site approval and the negative
declaration with the following conditions: (see attached report)
o Update the project approval allowing construction of 155,250 square feet, 3 and
4 story mini-storage facility per the revised exhibits with the 45 foot max height
building elevations, including lowering the building height on Building B to
accommodate the decorative arch within the 45 foot height limit;
o Require Building C to be additionally set back or reduced in height to one story
facing Valley Green Drive apartments;
o Reduce the allocation requirement from 101,300 square feet to 10,000 square
feet;
o Security signage & phone number must be posted on site;
o A copy of the lease contract to the City Attorney;
o Security plan to be approved by the Director of Community Development;
o Add additional Public Works requirements including street improvements,
improvement agreement, storm water pollution prevention best management
practices, as stated in the staff report;
o Require a public access easement connecting the new mini-park and pedestrian
trail to the Oak Park Village pedestrian access;
o Add benches to the pedestrian pathway and vines to grow along trellises
attached or adjacent to the building to soften the exposed flat wall areas;
o Require a double row of trees along the pedestrian trail with tree types that
provide canopy coverage;
o Hourly patrol while open; and
CJ Added architectural details and lighting to be reviewed by the Design Review
Committee.
2. Authorize Mayor Lowenthal to comment on a Draft Supplemental Environmental
Impact Report (EIR) on the proposed Kaiser Permanente Santa Clara Medical
Center Hospital Heliport Project: Mayor Lowenthal will forward a letter to the City
of Santa Clara addressing the environmental impacts of the helicopter pad planned at
the Kaiser Hospital facility at the corner of Lawrence Expressway and Homestead
Road in Santa Clara.
Dl e..- I
Report of the Community Development Director
Tuesday, July 25, 2006
Page 2
MISCELLANEOUS
1. Retail Planning Principles Seminar: I attended a seminar sponsored by the Graduate
School of Design at Harvard University in Cambridge, Mass. on Monday, July 10 - 13,
2006. The three-day seminar focused on retail planning principles for cities and
commercial centers. The class brought together national experts, architects, developers
and planners. J will prepare summary notes for distribution at a later date.
2. Planners Institute: The 2007 Planners Institute will be held in San Diego on March 21-
23, 2007. So, mark your calendars now if you plan on attending.
3. Liz Ellis: I recently learned that the son of our recording secretary Liz Ellis passed
away. I am not aware of the circumstances of his death. Planning staff sent a card of
condolence to her.
4. Development Activity: Please note the following construction/ development activity:
. Rockwell Homes 15 unit town home site on Stevens Canyon Road is construction
fenced and site demolition should begin soon.
. California Pizza Kitchen and Islands are in for building permits.
. Menlo Equities buildings are almost completely painted and the sidewalk has been
relocated in between the double tree row along Stevens Creek Boulevard.
. Penny's parking garage and retail shops in front are under construction.
. Chuck E. Cheese in the Portal Plaza Shopping center is completing their tenant
improvements.
. Wolf Camera town homes on Wildflower Way and South De Anza Boulevard are
under construction.
. Oak Park (former Santa Barbara Grill) concrete podium has been poured and
vertical construction should begin shortly.
. Adobe Lounge concrete podium has been poured and vertical construction should
begin shortly.
. Peng mixed-use buildings on Orange Avenue in Monta Vista are under
construction.
. Six single-family homes on Homestead are under construction.
. Pete's Coffee on Homestead Road near Foothill Expressway is open.
. Wells Fargo Bank and Starbucks on Homestead Road near Foothill Expressway is
nearing completion.
Enclosures:
Staff Reports
Newspaper Articles
G: \ Planning \ SteveP \ Director' 5 Report \ 2006 \ pd07-25-06.doc
'D t t2 -,.{
City of Cupertino
10300 Torre Avenue
Cupertino, CA 95014
(408) 777-3308
Fax: (408) 777-3333
CUPERJINO
Community Development
Department
Summary
Agenda Item No. I ij
Agenda Date: Tuly 18, 2006
Application: U-2006-03, ASA-2006-05, EA-2006-06
Applicant: Timothy Reeves, on behalf of Public Storage
Owner: Public Storage, Inc.
Location: 20565 Valley Green Drive, APN 326-10-044
Application Summary:
. USE PERMIT AND ARCHITECTURAL & SITE APPROV AL to demolish an
existing 53,890 square foot, single-story storage facility and construct a 164,841
square foot, four-story storage facility.
. ENVIRON:MENTAL DETERMINATION: Negative Declaration recommended.
The project will have no significant, adverse environmental impacts with the
proposed mitigation measures.
RECOMMENDATION:
The Planning Commission recommended the following to the City Council based upon
the previous development proposal for a 155,253 square foot, three-story storage
facility:
1. Approve the Negative declaration, file number EA-2006-06.
2. Approve the Use permit application, file number U-2006-03, in accordance with
Resolution No. 6387.
3. Approve the Architectural and site approval, file no. ASA-2006-05, in accordance
with Resolution No. 6388.
Project Data:
General Plan Designation:
Zoning Designation:
Specific Plan:
Site Area:
Industrial / Residential
P (CG, ML, Res 4-10)
North De Anza Boulevard Special Center
130,469 square feet (2.99 acres)
'VI~;3
Applications: U-2006-03, ASA-2006-05, EA-2006-06
Public Storage
Page 2
July 18, 2006
Existing Building SF:
Proposed Building SF:
Total Building SF:
Net Addition:
Building Coverage:
Floor Area Ratio:
Building Height:
Required Parking:
Provided Parking:
Hours of Operation (Storage):
Hours of Operation (Office):
Total Employees:
Employees at anyone time:
53,890 square feet (to be demolished)
Building A: 46,700 square feet
Building B: 68,640 square feet
Building c: 49,501 square feet
164,841 square feet
110,951 square feet
35.7%
1.24
53 ft. 8 in. (exceeds 45 ft. max. height allowed)
N/A
68 spaces
6:00 a.m. - 9:00 p.m. (same as existing hours)
9:00 a.m. - 5:00 p.m. (same as existing hours)
5 employees
2 employees
Environmental Assessment: Negative Declaration
BACKGROUND
At the May 16, 2006 meeting, the City Council considered an application by Public
Storage to demolish its existing one-story storage facility located off of Valley Green
Drive and construct a new storage facility consisting of two three-story buildings
totaling 155,253 square feet.
On a 4-0 vote (Council member Mahoney was absent), the City Council discussed and
continued this item, directing Public Storage to revise its plans based upon the
Council's comments.
Since the May 16th meeting, the applicant has redesigned the project. Public Storage
conducted neighborhood meetings on June 15th and June 29th inviting Apple, Pinn
Brothers, and residents of the Valley Green Drive apartment complex and the single-
family residential neighborhood on Acadia Court to discuss their project. Notices were
sent out to each individual resident of the Valley Green Drive apartment complex.
No residents or property owners attended the June 15th meeting; however, one resident
did attend the June 29th meeting. The resident expressed concerns about possible
additional traffic on Valley Green Drive on nights when the nearby restaurants are
busy. However, he generally expressed support for the project.
j) U-Z ,4
Applications: U-2006-03, ASA-2006-05, EA-2006-06
Public Storage
Page 3
July 18, 2006
For tonight's meeting, the City provided a half-mile radius noticing for the project.
Additionally, individual notices were sent to each resident of the Valley Green Drive
Apartment complex, in addition to the property owner of the apartment complex.
DISCUSSION
The following is a matrix indicating the City Council's directions from the May 16th
meeting, the applicant's subsequent responses and staff's responses upon review of the
revised plans:
City Council Direction Applicant's ResDonse Compliance/Staff's Comments
Applicant should meet with Apple, Pinn Neighborhood meetings were held on Applicant complied with Council's direction
Bros. and adjacent Valley Green Apartment June 15 and June 29.
residents
City should provide wider public noticing N/A City sent half-mile radius notices and included all
area for next meeting, including all Valley Valley Green Dr. Apartment residents
Green Dr. Aoartment residents
Reduce building height or increase Building setback from Pinn Bros. Applicant has not complied with Council's direction
setbacks from the adjacent residential uses; condo site is increased from 39 ft to regarding reduction of building height or increased
Max. 45 ft height is acceptable. 60 ft from shared driveway access; setbacks from adjacent residential uses, except for
Building setback from Valley Green increased setbacks from Pinn Bros. condos.
Dr. Apt. complex is reduced from 50
ft to 25 ft. . Height increase above 45 ft exceeds General Plan
height limitation; A General Plan Amendment is
Height is increased by 10.5 ft from required to exceed the height limitation.
43 ft to 53.5 ft. Alternative
elevations indicate a 2 ft. height Staff recommends that Building C be set back and/or
increase from 43 ft to 45 ft. reduced in height to address Council's direction and
that the alternative elevations be considered, keeping
the max. heiJdlt to 45 ft.
Construct 3 buildings shorter in length Three buildings are now proposed; Proposal of three buildings complies with Council's
rather than 2 longer buildings building length is shortened from 370 direction.
ft. to 245 ft.
Provide attractive architectural Buildings have been designed to Staff believes that project has been enhanced with
enhancements and address visibility match existing Pinn Bros. condo large two story glass features at the entrances to the
impacts development. Photo simulations buildings and architectural elements to match the
have been submitted to show adjacent Pinn Bros. condos. Photo simulations show
visibility impacts of site. limited visibility of buildings due to surrounding
landscaping.
Incorporate trail access through property New pedestrian "trail" access has Staff believes that objective of "trail" .access is
been provided along south perimeter achieved with the pedestrian walkway along southern
of property. perimeter. Staff recommends a condition that a
public access easement be required that links the Oak
Park Village public access to the 60 ft wide mini-
park at the entryway and to the pedestrian trail access
along the southern perimeter ofthe site.
Provide additional landscaping on site. Landscaping is increased from 24% Staff believes that the additional landscaping fulfills
to 30% coverage. Additional trees Council's direction with the double row of trees.
and landscaping are added on the Staff recommends that trees be planted which provide
east, north and south sides of the site. canopy coverage over the pedestrian trail along the
Also, a new mini-park and trail southern perimeter of the site.
access are included.
The loss of office allocation to Applicant maintains project is a Staff recommends reducing the building square
accommodate this use is of concern. public benefit. Square footage has footage allocation for this project based on a parking
been increased from 155,000 to demand or trip generation ratio of a storage facility as
164,000 sf. compared to a conventional office use.
Remove the in-lieu fee N/A Staff recommends removing the condition for an in-
lieu fee
l)it2 -5
Applications: U-2006-03, ASA-2006-05, EA-2006-06
Public Storage
Page 4
July 18, 2006
Attached to the report (See Exhibit A) are some comments from Council member
Sandoval. These comments include recommendations to architecturally enhance the
buildings and provide sufficient landscaping on site. In particular, a recommendation is
made to green-screen the buildings, allowing landscaping to grow and cover the walls
of the buildings.
Revised Site and Architectural Plans
The revised plans propose consh'uction of tlu'ee buildings, two that are four stories and
one that is three. stories, totaling 164,841 square feet. Building A, the building to the
east, is proposed to be a 46,700 square foot, four-story building. Building B, the middle
building, is proposed to be a 68,640 square foot, four-story building. Building C, the
building to the west, is a 49,501 square foot, three-story building. The maximum length
of the newly revised buildings is 245 feet. The previous plans proposed a maximum
building length of 370 feet for each building.
The entrance to the site has been modified by moving the driveway to the southern
perimeter of the site. Currently, the driveway entrance is located along the northern
perimeter of the site and is hidden behind the existing storage buildings. This allows the
front building facades and entrances of the storage buildings, which are the more
architecturally enhanced elevations of the buildings, to face the existing Apple office
buildings to the south, making the buildings more publicly visible. However, this also
brings the buildings closer to the freeway than previously proposed. The setback along
the northern property line is reduced from 60 feet to 13 feet.
The maximum height of the new buildings is 58 feet 4 inches, which exceeds the
maximum height limitation of 45 feet for buildings in this area per the General Plan.
The General Plan only allows height limitations to be exceeded for rooftop mechanical
equipment and utility structures. To consider this additional height, a determination
could not be made on this project tonight until an application for a General Plan
Amendment is submitted and subsequently approved by the City Council.
The applicant explained that the additional height above 45 feet provides for
architectural relief and articulations to match the adjacent Pinn Brothers condominium
project and serves to screen roof top equipment.
An alternative plan (See Plan Set) has been provided that brings the building height
down to 45 feet. This will require roof screens for roof top equipment that will exceed
the 45-foot building height, but will allow the buildings to be consistent with the
General Plan.
Public Storage indicates that they have added the fourth floors to accommodate the loss
of storage units they would have had with the longer buildings per the previous plans
and to make the project financially feasible. This addition also results in a total square
footage increase of 9,600 square feet to the project.
1)(12 ~.
Applications: U-2006-03, ASA-2006-05, EA-2006-06
Public Storage
Page 5
July 18, 2006
Landscaping/Trail Access
The site plan indicates the incorporation of additional landscaping. The revised
landscape plan provides 30% landscape coverage. A new 60 foot wide landscaped
pedestrian mini-park has been added along the eastern front entryway to enhance and
soften the visual impact of the new storage buildings and provide an additional buffer
area between the storage buildings and the Pinn Brothers condominium project.
Further, a landscaped pedestrian pathway along the southern perimeter of the site has
been added to create aI/trail" access along the entire length of the site. The pedestrian
pathway will be enhanced by the existing trees adjacent to the parking lot on the Apple
office side of the property and with the addition of a significant number of Red Maple
trees, shrubs and groundcover on the Public Storage side of the property. Staff believes
that this new pedestrian pathway will serve as a sufficient "trail" access through the
property, meeting the objectives of a trail access as previously recommended by staff.
Staff, however, recommends that the applicant be required to record a public access
easement on the mini-park and the pedestrian trail that connects to the public access
provided on the Oak Park Village condominium site. Additionally, staff recommends
that benches be provided within the lat:ldscaped pedestrian pathway to enhance use of
the pathway, and that clinging vines be added along the new wrought iron fencing to
be installed along the southern perimeter of the site to soften the visual impact of the
buildings. Further, staff recommends that the trees be planted in double rows and that
the trees be of a type that provides canopy coverage over the walkway.
The northern and western perimeters of the site will also be enhanced by additional
landscaping. The conceptual landscape plan shows that 15 gallon Red Maple trees will
be planted along the northern and western property lines.
Development Allocation
The proposed project as a storage facility is a semi-industrial use; therefore, the
allocation comes from the available office/industrial development allocation of the N.
De Anza Boulevard Employment Center area.
Staff is concerned about the limited development allocation that will be available in the
N. De Anza Boulevard area if the 110,951 square feet of net new building area of this
proposed project is deducted from the available office/ industrial development
allocation. The current available office/ industrial allocation is 218,185 square feet. With
the allocation deduction of the Public Storage project and the forthcoming AnyhMountain project, the availability for future office/industrial developments in the area
will be substantially reduced.
DIt2~1
Applications: U-2006-03, ASA-2006-05, EA-2006-06
Public Storage
Page 6
July 18, 2006
Currently Available Allocation:
Minus Public Storage Allocation:
Remaining after Public Storage:
Minus Any Mountain:
Remaining after both projects:
218,185 sf
- 110,951 sf
107,234 sf
- 33,000 sf
74,234 sf
To offset this impact on the available office allocation and to more accurately reflect the
limited amount of traffic and employees this project will generate, staff recornmends
that the City Council consider reducing the building square footage allocation for this
project based on a parking demand or trip generation ratio of a storage facility as
compared to a conventional office use. Staff will provide details on these options at the
meeting.
Letter from Pinn Brothers
The City received an email from Greg Pinn (See Exhibit D) on July 11, 2006 stating that
Pinn Brothers supports the revised storage facility pla,ns and that their initial concerns
have been addressed. Pinn Brothers also indicated that they support the passive park
to be added on the east side of the site and the new pedestrian" trail" access.
Environmental Determination
The Environmental Review Committee reviewed this project on April 12, 2006 and
recommended approval of the negative declaration based upon consideration of the
previous plans as a two-building, 155,253 square foot storage facility. Although the
project has been revised and has slightly increased its square footage by 9,600 square
feet, staff believes that there are no substantial environmental differences between the
previous plans and the newly proposed plans.
Staff Recommendation
Staff recommends that the City Council approve the Use Permit, Architectural and Site
Approval, and Negative Declaration in accordance with Planning Commission
Resolution Nos. 6387 and 6388 with the following additional revisions and additional
conditions:
1. Update the project approval to allow demolition of the existing storage facility
and construction of a new 164,841 square foot storage facility, consisting of one
three-story building and two four-story buildings, with 68 parking spaces.
2. Approve the alternative version (See Plan Set) of the elevations and require
compliance with the maximum 45-foot height limitation per the General Plan.
3. Require that Building C be set back or reduced in height along the west side of
the building facing the adjacent Valley Green Drive apartment complex.
4. Consider reducing the building square footage allocation for this project based
upon a parking demand or trip generation ratio of a storage facility.
'D/t21>
Applications: U-2006-03, ASA-2006-05, EA-2006-06
Public Storage
Page 7
July 18, 2006
5. Require a public access easement connecting the new mini-park at the eastern
entryway to the site and new pedestrian trail along the southern perimeter of the
property to the Oak Park Village pedestrian access.
6. Add benches in the pedestrian pathway to be created along the southern
perimeter of the site.
7. Require that a double row of trees be provided within the pedestrian "trail"
walkway along the southern perimeter of the site. Trees shall be of a type that
will provide canopy cover over the trail walkway.
8. Plant clinging vines along the wrought iron fencing to be constructed along the
southern perimeter of the site.
9. Remove the condition requiring the in-lieu fee.
10. Add the following additional Public Works Department conditions:
a. Street Widening
Street widening, improvements and dedications shall be provided in
accordance with City Standards and specifications and as required by the
City Engineer.
b. Curb and Gutter Improvements
Curbs and gutters, sidewalks and related structures shall be installed in
accordance with grades and standards as specified by the City Engineer.
c. Street Lighting Installation
Street lighting shall be installed and shall be as approved by the City
Engineer. Lighting fixtures shall be positioned so as to preclude glare and
other forms of visual interference to adjoining properties, and shall be no
higher than the maximum height permitted by the zone in which the site
is located.
d. Traffic Signs
Traffic control signs shall be placed at locations specified by the City.
e. Street Trees
Street trees shall be planted within the Public Right of Way and shall be of
a type approved by the City in accordance with Ordinance No. 125.
f. Grading
Grading shall be as approved and required by the City Engineer in
accordance with Chapter 16.08 of the Cupertino Municipal Code. 401
Certifications and 404 permits maybe required. Please contact Army Corp
of Engineers and/or Regional Water Quality Control Board as
appropriate.
g. Drainage
Drainage shall be provided to the satisfaction of the City Engineer.
Pre and Post-development calculations must be provided to identify if
storm drain facilities need to be constructed or renovated.
h. Fire Protection
Fire sprinklers shall be installed in any new construction to the approval
of the City.
1. Underground Utilities
,
J> It( ..-9
Applications; U-2006-03, ASA-2006-05, EA-2006-06
Public Storage
Page 8
July 18, 2006
The developer shall comply with the requirements of the Underground
Utilities Ordinance No. 331 and other related Ordinances and regulations
of the City of Cupertino, and shall coordinate with affected utility
providers for installation of underground utility devices. Orclinance No.
331 requires all overhead lines to be underground whether the lines are
new or existing. The developer shall submit detailed plans showing utility
underground provisions Said plans shall be subject to prior approval of
the affected Utility provider and the City Engineer.
J. NPDES Construction General Permit
The applicant must file for aNOI (Notice of Intent) and must prepare a
Storn1. Water pollution Prevention Plan with the State Water Resources
Conh"ol Board. The city must obtain documentation that the process has
been completed.
For copies of the Construction General Pernut, the NOI and additional
permit information consult the state Water Resources Control Board web
site at:
h : www.swrcb.ca.ovstormwtrconstruction.htm
k. Amended Develo ment Best Mana ement Practices BMP Re uirements
i. Permanent Stormwater Quality BMPs Required
In accordance with chapter 9.18, Stormwater pollution Prevention and
Watershed Protection, of the City Code, all development and redevelopment
projects shall include permanent BMPs in order to reduce the water quality
impacts of stormwater runoff from the entire site for the life of the project.
ii. Stormwater Management Plan Required
The applicant shall submit a Stormwater Management Plan for this project.
The permanent storm water quality best management practices (BMPs)
included in this plan shall be selected and designed in accordance with chapter
9.18, Stormwater pollution Prevention and Watershed Protection, of the City
Code.
iii. BMP Agreements
The applicant and the City shall enter into a recorded agreement and covenant
running with the land for perpetual BMP maintenance by the property
owners(s). In addition, the owner(s) and the City shall enter into a recorded
easement agreement and covenant running with the land allowing City access
at the site for BMP inspection.
iv. Hydromodification Plan (HMP) Required
The applicant must provide a comprehensive plan to control any combination
of on-site, off-site and in-stream control measures incorporated into specific
redevelopment projects in order to reduce stormwater runoff so as to not
increase the erosion potential of the receiving watercourse over the pre-project
condition.
P 112..-to
Applications: U-2006-03, ASA-2006-05, EA-2006-06
Public Storage
Page 9
July 18, 2006
1. Improvement Agreement
The project developer shall enter into a development agreement with the
City of Cupertino providing for payment of fees, including but not limited
to checking and inspection fees, storm drain fees, park dedication fees and
fees for under grounding of utilities. Said agreement shall be executed
prior to issuance of construction permits.
Fees:
a. Improvements Permit: $3,540 rrun or 6% of Off-site
Improvement Costs
b. Grading Permit: $ 2,060 min or 6% of On-site Improvement
Costs
c. Development Maintenance Deposit: $1,000.00
d. Storm Drainage Fee: $4,013.40
e. Power Cost: N / A
f. Map Checking Fees: N / A
g. Park Fees: N / A
Bonds:
a. On & Off-Site Improvements Bond: 100% Labor/Material Bond,
100 % Performance Bond
-The fees described above are imposed based upon the current fee
schedule adopted by the City Council. However, the fees imposed herein
may be modified at the time of recordation of a final map or issuance of a
building permit in the event of said change or changes, the fees changed at
that time will reflect the then current fee schedule.
** Developer is required to pay for one-year power cost for streetlights
ENCLOSURES
Planning Commission Resolutions Nos. 6387 and 6388
Exhibit A: Council member Sandoval's comments
Exhibit B: City Council Report of May 16, 2006, with attachments
Exhibit C: City Council Minutes of May 16, 2006
Exhibit D: Letter from Pinn Brothers dated July 11, 2006
Plan Set, including Alternative Elevations
Prepared by: Aki Honda, Senior Planner
Submitted by:
Approved by:
~
Steve Piasecki
Director, Community Development
David W. Knapp
City Manager
P lf2 ,,-11
City of Cupertino
10300 Torre Avenue
Cupertino, CA 95014
(408) 777-3308
Fax: (408) 777-3333
CUPEIQ"INO
Community Development
Department
Summary
Agenda Item No. / 7
Agenda Date: Tuly 18, 2006
APPLICATION SUMMARY: Authorize Mayor Lowenthal to comment on a Draft
Supplemental Environmental Impact Report on the proposed Kaiser Permanente Santa
Clara Medical Center Hospital Heliport Project.
BACKGROUND:
Kaiser Permanente is proposing to develop a heliport at its Santa Clara medical center
located at the southwest corner of Lawrence Expressway and Homestead Road. The
project requires a use permit from the City of Santa Clara to allow for the construction
and operation of a state-permitted hospital heliport for emergency air ambulance
flights.
Since the 1995 final environmental impact report addressing the physical impacts of
buildout of the hospital did not include the proposed heliport, the City of Santa Clara
required the preparation of a supplement EIR. The EIR process provides for public
noticing and review by the public and affected agencies. The comment deadline is July
31, 2006.
DISCUSSION:
Under the proposed project 3-4 helicopter flights per year are expected in the near term
and an average of approximately 15 evacuation flights per year in the future.
The SEIR identifies a noise zone (92 SEL Noise Contour) helicopter flight path. Within
this zone, sleep disturbance is likely during nighttime flights. The noise zone affects the
hospital and primarily the surrounding residential neighborhoods in Santa Clara. A
portion of Cupertino is in this noise zone, which is the southeast quadrant of Tantau
Avenue and Homestead Road. This area is currently developed with light
industrial/ office buildings and vacant land, but the Planning Commission is studying
this area for potential residential redevelopment as part of its North Valko Master Plan
process.
According to the SEIR, the worst case scenario would be that all 15 helicopter flights per
year would occur at night, instead of randomly, and would disturb sleep of nearby
residents. This is considered a significant and unrnitigable environmental impact.
P l~ -l~
Kaiser Permanente Santa Clara Medical Center Hospital Heliport Project
Page 2
The helicopter noise levels cannot be mitigated, only lessen in frequency by lessening
the number of flights.
Staff recommends that all of the noise mitigation measures identified in the SIER be
incorporated into the city use permit. This would include:
1. Limiting helicopter flights to only evacuations of critically ill patients where time
is of the essence.
2. Not allowing a trauma center at this Kaiser medical center. Trauma services
would attract air transportation flights to the hospital from a regional
population.
3. Establish a program of monitoring helicopter operations with annual reporting
to the City of Santa Clara.
4. Inform all helicopter pilots of primary approach and departure paths.
5. Have the applicant appoint a Helipad Noise Disturbance Coordinator
responsible for responding to any local helicopter noise complaints, compiling
annual noise reports and communicating with local agencies that may receive
noise complaints/ inquires.
Enclosures
Exhibit A: Draft Mayor's Letter
Prepared by: Colin J ung, Senior Planner
Submitted by:
Approved by:
~0 -h.ve ~._~~1//~ ~. .-
..... '/ (:'1..'0
Steve Piasecki
Director, Community Development
J15t
David W. Knapp
City Manager
G: \ Planning \ PDREPORT\ CC\ 2006 \ Kaiser Pennanente, July 18, 2006.doc
PIe ,/3
THE NEW YORK TIMES, TUESDAY, JULY 11,2006
IT
C3
Hewlett-Packard Slows Pace After Fast Start in Consulting
By DAMON DARLIN
PALO ALTO, Calif. - Hewlett.Packard
made a splashy entrance into the big
leagues of business consulting when it land-.
ed a $3 billion outsourcing contract in 2003
to run all of Procter & Gamble's informa-
tion technology.
But it has not made many waves since
Mark V. Hurd became the chief executive
more than a year ago.
"It was like the dog who finaIly caught
the bus," said Julie Giera, a vice president
with Forrester Research who tracks the in-
formation technology consulting business.
"Now what?"
For the last half year, HP Services, the
company's $16 billion consulting and serv-
ices business, has answered that question
with declining revenue. The division has .
been one of the company's few laggards,
while the divisions that seIl printers and
computers have reported strong increases
in revenue and profit.
The reason for the slowdown, said Steve
Smith, the company's senior vice president
for services, is pretty simple and totally in-
Itentional. "AIl the Tlnkertoys we had in the
company were not being leveraged," he
said.
Mr. Hurd told Mr. Smith and his lieuten-
ants to throttle back growth until they
could start bringing in more profitable rev-
enue. How they are doing that says a lot
about how Mr. Hurd is changing the giant
technology company and how he intends to
get more growth out of it.
Mr. Hurd wants Hewlett-Packard, which
reported $86.7 billion in revenue last year
but only $2.4 billion in net profit; to grow
three ways, which it can do even faster
with the help of the company's business
consultants.
. First, he wants Hewlett-Packard to seIl
more notebook and hand-held computers to
corporate customers. That is an easy one
for its team of consultants, who analyze
how a customer uses technology and how
Hewlett-Packard could potentially im-
prove things.
Second, he wants to seIl more printers
and printing services. The imaging and
printing division has been doing well in
those areas as it extends Hewlett-Pack-
ard's reach into copiers and commercial
printing.
The company could sell even more by
winning contracts to manage a company's
printing just as it manages computers or
data storage. Because printing is distribut-
ed around a workplace, the costs are huge,
hidden and largely unmanaged. Companies
spend as much as 3 percent of their reve-
nue on printing, faxing and imaging, said
Hewlett-Packard executives, but rarely re-
alize that they are doing so.
In this new area, Hewlett-Packard faces
Xerox, a reborn and strong competitor, and
Dell, its longtime rival in the PC business,
which recently won a major printing serv-
ices contract from Boeing.
Mr. Hurd's third engine of growth Is a
new one: the next-generation data center.
It is a computer room running with few
workers because Hewlett-Packard soft-
ware on the company's machines auto-
mates most of the process. The company's
consultants would design, seIl and run
these centers.
The clients would save money because
the data centers are efficient, using less
power and fewer people, Hewlett-Packard
says. And it is betting that those companies
will spend some of their savings on new
equipment - like the computers, servers,
storage devices and printers that it makes.
For all this to work, it needs to win invi-
tations from' major companies to fix their
technology infrastructure. It has to get big-
ger or act bigger. Hewlett-Packard's servo
ices business is in fourth place, behind
LB.M., which has revenue of $46.4 billion;
N08h Berger ror The New York Times
Steve Smith of Hewlett-Packard's service division is trying to improve its focus.
Weak Links In the Chain
Sales at most of Hewlett-Packard's business units increased in the first six
months of its fiscal year. The exceptions were its services divisions.
SALES. FIRST
SIX MONTHS
OF FISCAL '06.
IN BILLIONS
CHANGE IN SALES
FROM YEAR EARLIER
,. 'i
Eh,~rFr1se siqfag~ E1ndserV,~r.s' ,$.'~;5. ., ,,:3.2% ':I~"
~'~9~~!*~~I~~c~;~ "'1"'~"
Personal systems group 14.43 ~ + 8.9 _
Imaging and printing group 13.27 ~ + 6.5 II
Financial services 1.01 B - 7.7.
Corporate investments 0.25 I + 5.5 ID
SClUrce' Hewlett-Packard
The New York Times
Electronic Data Systems, with $20.1 bil-
lion; and Accenture, with $16.1 billion.
The ranking inflates Hewlett-Packard's
strength because it includes what are
called ''break-fix'' deals - maintaining
equipment and running help desks. The
company does welt in that segment, but
lags where the high-profit revenue is made,
in consulting and outsourcing.
Pulling out alt the stops to win the Proc-
ter & Gamble contract made sense for HP
Services. "They aren't that big, and they
struggled to put themselves on the map."
said A. M. Sacconaghi Jr., a senior re-
search analyst who follows Hewlett-Pack-
ard for Sanford C. Bernstein & Company.
It got on the map, but at what price? "Big
deals are hard to manage," Mr. Sacconaghi
said, and digesting a large number of deals
can hurt earnings. "They were overly ag-
gressive on the top-line growth a~ the ex-
pense of profitability."
Company executives would not discuss
the profitability of individual deals, though
they pointed out that multiyear contracts
were rarely profitable in the early stages
as the vendor learned where the problems
were and invented solutions.
Ann M. Livermore, the executive vice
president for Technology Solutions Group,
which includes HP Services, said, "I would
absolutely do that deal again."
Procter & Gamble said It was going well.
"We've had our challenges," said Linda
Clement-Holmes, the company's general
manager of infr astructure services and
governance. "We suspected we would. It's
been a learning curve for both of us." (One
result of the relationship: P.& G. puts print.
ing on its Pringle, potato chips with Hew.
lett-Packard's printing technology.)
Ms. Livermore says she thinks the unit is
on the right track. "While we are not satis-
fied with the performance of our unit, we
are satisfied with the progress," she said.
"The challenge is how to price the projects
to win them and still generate returns."
Rather than chasing everything, Ms. Liv-
ermore and Mr. Smith are looking at small-
er deals. That allows HP Services to use the
skills it has setting up data centers around
the world and automating the management
of software used by its clients. It is focusing
on global companies doing business in Asia,
where analysts estimate the services divi-
sion already has about a third of its person-
nel. That way, the company estimates, as it
adds another dollar of new business, it does
not have to add 60 cents of cost, but maybe
30 cents or 40 cents.
The mistake the company made, Mr.
Smith said, was in taking on too many
large, unique projects. "To get cost-effi-
cient, we have to do 75 percent standard
and 25 percent custom," said Mr. Smith, a
former executive at Electronic Data Sys-
tems. "Before, we were doing too many
one-offs. We wanted to slow it down."
HP Services focused on technology infra-
structure, data centers, printing and busi-
ness processes for finance and administra-
tion. When customers complained that they.
were seeing too many Hewlett-Packard
sales representatives and consultants, the
company made sure a designated team
made the visits each time.
Focusing on the smaller deals could be a
winning strategy. The research firm IDC
estimates that consultants will be bidding
on $127 billion in large Information technol-
ogy deals in 2007 and 2008. Unlike the first
generation of outsourcing and consulting
contracts,. these will most likely be shared
by a number of vendors as the companies
try to maintain the balance of power.
One recent example of this trend was the
contracts awarded by General Motors in
February. Over all, the contract was large,
$5.1 billion. E.D.S., the incumbent, retained
85 percent of its business, but Hewlett-
Packard got $700 million for networking
G.M. dealers and providing technology for
the product development and manufactur-
ing quality operations.
"We are really pleased with what we
got," Ms. Livermore said. "We like when it
is segmented."
Ms. Livermore said she was looking for
revenue growth of 4 percent to 6 percent a
year for HP Services, and operating profit
of 8 percent to 10 percent. While revenue
for the unit was down in the quarter that
ended April 30, the operating profit margin
almost hit 9 percent as proflts rose 18 per-
cent.
For now, analysts are waiting to see the
result of Hewlett's changes. "We see HP
Services clearly as a work in progress,"
said Robert Welch, an industry analyst at
IDC. "I don't see the roster of players shilt-
ing at the top, and I don't see anyone drop-
ping off the list."
Cindy Shaw, a securities analyst with
Moors & Cabot, said: "They need to keep
doing what they are doing. They have the
right plan."
'PIJ2,,~
BOARD MEMBER DIRECTORY
Director
Hing Wong, AICP (510) 464-7966 hingw@abag.ce.gov
Director Elect
Juan Borrelli, AICP 1408} 535-7709 juan.barrelli@sanjoseca.gov
Administrative Director
Michael Olin (415) 22.9-2812 molin@sf.wrtdesign.cam
Treasurer
Jeff Beker (925) 833.6610
Immediate Past Director
Jeri Rom, AICP (925) 833-6617
jeff. baker@ci.dublin.ca.us
jeri. rcm@ci.dublin.ca.us
Advertising Director
Marta Self, AICP (925) 988-9188
AICP Director
Don Bredley, AICP (6501 592.0915
Awards Program Directors
Alex Amoroso, AICP (510) 670-6503
Mark Rhoades, AICP (510) 981-7411
Communications Director
Jerry Haag (510) 644-2106
Ethics Review Director
Hanson Hom, AICP (510) 577.3421
International Director
Rob Eastwood, AICP (4081 299-5792
mself@mms-inc.net
dr .donbradley@comcost.net
alex.amorcsa@ecgov.org
mrhoades@ci.berkeley.ca.us
jphaag@pacbell.net
hhom@ci.san-Ieandro.ca.us
rob .eestwood@pln.co.sante-
c1are.ce.us
Legislative Director
Kit Faubion, AICP (510) 808-2000 kfaubion@meyersneve.com
Membership Director
Christopher Wolf, MPlA (415) 412-2672 membership@norcelepa.org
Planning Diversity Director
Michele Rodriguez, AICP (415) 269-6399 michele@boggis.com
Newsletter Editor
Naphtali Knox, FAlep (415) 699.7333 knoxnaph@gmail.com
Professional Development Director
Darcy Kremin, AICP 1925] 906.1460 dkremin@rbf.com
Student Representatives
Adam Binstock (619) 757-4677 ademkbinstock@msn.com
Maureen Hickey (415) 205-1339 mchickey@berkeley.edu
University Liaison
Connie Galambos (510) 444-3041 cgalambos@rprogress.org
Website Coordinator
Pierce Macdonald 1510) 459-6092 piercemac@hotmail.com
Regional Advisory Committees (RACs)
East Bay
Joanna Jansen
David Rolston
Monterey Bay
Michael Bethke, AICP (831) 425-5425 michael@slaltcon.com
North Bay
Ladd Miyasaki
Peninsula
Andrea Ouse, AICP (650) 985.2590 oouse@mceplonners.com
Redwood Coast
George Williamson, AICP (707) 825-8260 georgew@
planwestpartners.com
(510) 848-3815 joanna@dceplanning.com
[510) 238-2970 dralston@ooklandnet.com
(707) 935-3145 schellcreekfuyu@comcast.net
San Froncisco
Kenya Wheeler, AICP (510) 287-4782 fwheele@bart.gov
South Bay
open
Newsletter Designer
Juliano Pennington (415) 824-4375 design@famsf.org
specializing in visuals for the planning and design professions
II" Juliana Pennington
, Graphic Design
Technical Illustration
Communications Design
Exhibit Planning & DE,sign
Northern News
2
ver 120 planners, architects, builders, and elected officials attended
e glamorous Northern Section Awards Banquet at Scott's Seafood in
Jack London Square on June 9, making it the largest awards ceremony
gathering the Section has ever held. (See page 3.) Fourteen awards and
honorable mentions were presented in an evening that concluded with
recognizing our four most recent FAlCP inductees. Awards Program
Directors, Alex Amoroso, AICP, and Mark Rhoades, AICP, put on a
fabulous event with the generous assistance
of Mika reg d
arity Wagner. The awards jury, consist-
ing of Natalie Macris, Ladd Miyasaki, Steve
Piasecki, AICP, and Sonia Vrzua, AICP, had
the difficult but rewarding task of going
rough eve aw d nominat' e ect-
ing.t e wmners. Congratulations to the
winners and thanks to everyone for putting
.-
together an unforgettable event. Mark Rhodes and Alex Amoroso
Relax and enjoy each other's company at social mixers hosted by our
RACs this summer. The mixers give us an opportunity to meet you and
to find out what you desire from your local APA. E-mails will be sent to
announce the dates and locations. Many attended the Berkeley social on
June 27 co-hosted by PMC at Beckett's Irish Pub. A San Francisco
mixer is scheduled at BOCA (Bar of Contemporary Art) on Friday, July
21. (See calendar, back page.)
This year's CCAPA Conference will be held at the Hyatt Orange
County, October 22-25. The early registration deadline is August 15;
register online at www.calapa.org. Northern Section is again planning
to provide scholarships to help a l.imited number of students attend the
conference. Last year, we awarded three $150 scholarships for the
Yosemite conference. Information and sign-up details will be sent to
AP A student members.
Do you know of any good venues in the South Bay that we can use to
host the Opening Reception for the 2007 CCAP A Conference? The
facility would need to accommodate 900. Contact Juan Borrelli, AICP,
(408) 535-7709 or juan.borrelli@sanjoseca.gov
Would you like to give a session at the 2007 conference? Contact
Hanson Horn, AICP, (510) 577-3421 or hhom@ci.san-leandro.ca.us.
The next Conference Steering Committee meeting is Saturday, August
19, 10 AM at San Jose City Hall, 200 East Santa Clara Street. Everyone
is welcome to participate!
~
NEWSLETTER INFORMATION
ADDRESS CHANGES
EDITORIAL
Naphtali H. Knox, FAlCP
TEL: (415) 699-7333
ADVERTISING/JOBS
Marta Self, A1CP
TEL: (925) 988-9188
Membership Department
APA Notional. Hqtrs.
122 South Michigan Ave.
Ste.1600
Chicago, IL 60603-6107
312/431-9100
P t 12 - Ie:
The deadline far submitling materials far inclusion in the Nortbern News is the 16th day of the month prior 0 ~blicalr~
printed on recycled paper *
e-mail: mself@mms-inc.net
South Carolina mall evolving into town center
The Peerless Development Group has
. begun converting a 40 percent vacant
shopping mall in Forest Acres, South
Carolina, into the core of a development
that may eventually contain a network I
of streets and sidewalks, street-oriented
retail, a restored creek corridor, and
varied housing, including a retirement
community. Peerless intends to trans-
form the 1.5 million sq. ft. Richland Mall
Jnto (I mixed.use dpve]opment ,alled
Midtown at forest Acres, using Ideas
laid out in a charrette conducted by Op-
ticos Design of Berkeley, California, wi th
Allison Ramsey Architects of Asheville,
North Carolina.
"We're following the CNU publica-
tion Greyfields into Goldfields," says John
Perry, vice president for governmental
affairs of the development company
based in Spruce Pine, North Carolina.
Perry is familiar with New Urbanism,
having previously been town manager
of Port Royal, South Carolina, where
he worked with Miami architect Victor
Dover on a master plan that culminated
in the adoption of a traditional town
code.
The February 2005 charrette pro-
duced a plan that was estimated to take
five to eight years to carry out. The first
phase callea for numing streets through
parts of the mall; creating new main
street frontage along an inner street;
developing housing in a street and block
pattern atop an existing parking garage;
constructing a mixed-use residential
block; forming a district containing a
hotel, additional retail, and a neighbor-
hood square; and building a civic center
that would include a city hall and an
arts facility.
STARTI NG WITH
THE DEAD ZONES
Retailers with leases allowing them
to continue operating in the 18-year-old
mall have limited Peerless's ability to
implement some of those ideas as fast as
the company would like. Consequently,
Perry has shifted toward concentrating
his initial construction on the mall's
"dead" sections, such as a department
store vacated by Dillard's. This summer
Peerless will begin building a three-
story, 120-unit condominium hotel in
the Dillard's space. The developer also
expects to start construction of two
buildings containing about 100 residen-
tial units in all.
Perry has discovered that the exist-
ing four-story garage cannot support
much of the housing that the charrette
envisioned. Thus, some of Midtown's
housing will consist of a pair of resi-
dential towers attached to the garage
but not dependent upon it for structural
support.
Perry expects the $300 million en-
deavor to include a retirement com-
munity seamlessly integrated into the
neignborhood A neglected cref'k cor
ridor is to be restored, becoming the
focal point of a new five-acre park. This
should provide an appealing creekside
setting for residential and commercial
frontage.
It is unclear whether Peerless will be
able to implement one of the charrette's
key planning recommendations: con-
struction of a city hall and arts facility at
a prominent intersection now occupied
by a gas station. "That corner was seen
as an important gateway to the site,"
says Stefan Pellegrini, senior designer
at Opticos. Peerless has acquired the
40-acre mall site, in a suburb of Co-
lumbia, the state capital, but has not
yet been able to purchase the station.
Further complicating the situation, the
government of the 10,600-person mu-
nicipality has not committed to moving
there. Nonetheless, Perry thinks that if
the station property can be acquired,
eventually a "public-purpose building,"
possibly including government offices
and a performing arts center, will be
constructed there.
Opticos worked on a master plan, a
phasing plan, and a form-based code,
which the municipality adopted. As
a result, Pellegrini says, local officials
have the legal power to insist that the
developer carry out crucial parts of the
concept. The architect now assigned to
the project is CJMW in Lexington, South
Carolina.
If completed, Midtown would be one
of the largest US mall conversions of its
kind. Similar projects include Belmar
in Lakewood, Colorado, and Eastgate
mall near Chattanooga. In the late 1990s,
Dover, Kohl & Partners drew up a plan
for turning Eastgate into a mixed-use
town center. But only part of the plan
_ converting some buildings to offices
and building a "town square" - was
carried out. Within the past year Freed-
The Richland Mall, right, is slated
to become a dense, mixed-use
urban center, below.
JUNE 2006
12
1) I r'2// (;.
~,l)Jr'#
E"DNESDAV
JOSE MERCURY NEWS
Y 19. 2006
Business
'#'\Fww.merc~ftYfi1iil?iws.c41)m/bus~BDeS$
CLOSE CHANLOt ~'O~
Nasdaq A 2,043.22 +5.50 +0.3%
Dow Jones A 10.799.23 +51.87 +0:5% ~rW
S&P 500 till. 1236.86 +2.37' +0.2% I"
Mill 150 A. 1,568.07 +713 +0:5% M~
BOllds. A 5.14% +0.07 [)in
Dollar A V11734 +0.16 +0.1% GoI
*lo-year Treasury
-'---
.......1....-....J ..............-...---- ------- ----...-. - -
REPORT CARD ON
HOUSING. UPPLY
".i
.i:~
\
~~
SANtA CLARA tOUN1~
i':i
\
'k
;~
~AREA
\\lito. \f1ew
Palo Alto
San Jose
Santa Clara
~
1136
2024
24234
4.226
pC{.
Of GOAL
34%
150%
96%
69%
.,n:
;-.if
~iJ
SAN MA.TEO COUNTY
d~
Go.......
F
p..+
A
D+
.-b~z.r"I/~~~l~~
CIlADr
MERCURY NEWS JLlUSTRAno~
BAY AREA GETS A 'B', BUT SOME COUNTIES
ARE SLIDING OR FAILING TO MEET GOALS
By SUe McAllister
MI!1T:1LryNeroB
There are still fewer
homes being built in the
Bay Area than there are
people who want to live
here - and that imbal-
ance, which boosted prices
over the past decade,
shows no signs of abating.
When it comes to build-
ing their "fair share" of
new housing. Santa Clara
County gets a C-plus grade
and San Mateo County
gets a stinging F, a busi-
ness-oriented public policy
group concludes in a re-
port scheduled for release today.
"The housing crisis has continued, with-
out pause, through economic upturns and
downturns," VlI"ote .Tun Wunderman. presi.
dent of the Bay Area Council, in the intro-
duction to the group's third "housing pro-
duction report card"
The shortage of building permits is part-
ly responsible for making Bay Area home
prices climb faster in the past 10 years than
those in similar metropolitan regions.
~ Irp,1
The nine-county Bay Area
earns a B grade in the sur-
vey, which compares the
nwnber of housing permits
issued by local governments
to state-mandated goals for
producing enough new hous-
ing to keep up with projected
population and job growth.
Those goals .are !mown as
cities' and counties' "fair
share" housing targets.
To earn a C or higher, a city or county
must approve new housing equal to at least
73 percent ofits goal. Those that got marks
of A or A-plus - including the Santa Clara
County towns of San Jose, Los Altos, Los
Altos Hills, Monte Sereno, Palo Alto and
Saratoga - issued enough permits to
reach at least 95 percent of their goals. .
j
p
l
J
if
I
BAy AREA
Units approved'
184,076 .
Percent of goal
83
COMING TOMORROW
Bay Area home sale
numbers for June. Check
www.mercurynews.com
for updates.
Se. REPORT CARD, Page 2C
READING
THE REPORT
CARD
A report from the Bay
Area Council graded
cities and counties in the
Bay Area on how well or
poorly they did in
approving their "fair
share" of housing units as.
required by state law.
The charts show how
many building permits
for all types of housing
were issued from 1999
through 2005. along
with what portion of the
cities' housing goals were
met Complete charts for
Santa Clara and San
Mateo counties are on
Page 2C.
GI'ading scheme: 100%
or more = A+; 95-99% =
A; 90-94% = A-; 87-89%
= B+; 83-86% = B;
80-82% = B-; 77-79% =
C+; 73-76% = C; 70-72%
= Co' 67'69% = D+'
63-66% = D; 60-62% =
D-; less than 60% = F. PI t2.. -t '7
SANTA ClARA COUNTY HOUSING NEEDS SAN MATEO COUNTY HOUSING NEEDS
A report from the Bay Area Council graded each city and county in the CITY OR AREA UNITS APPROVED % OF GOAL GRADE
Ba~ Area on how well or poorly they did in approvin9 their "fair share" Atherton 102 64% D
of ousing units as required by state law and define by the Association
of Bay Area Govemments. The chart shows how many building pennits Belmont 252 82% B-
for all types of housing were issued in Santa Clara and San Mateo Brisbane 65 16% F
counties from 1999 through 2005, along with what portion of each Burlinqame 255 47% F
city's housing goals were met.
emr OR AREA UNITS APPROVED % Of GOAL GRADE Calma 84 117% A+
-~-'_.'- " ~~_._'-'~~----~ -~-~- Da~ 398 30% F
! Campbell 479 64% 0 ----~---- --------------- ~ -
Cupertino l,l88 45% F East Palo Alto 707 57% F
Gilroy 2,701 75% C Foster City 475 71% c-
Los Altos 418 166% A+ Half Moon Bay 335 76% C
Los Altos Hills 206 258% A+ . Hillsborouqh 127 157% A+
Los Gatos 377 97% A Menlo ParI< 179 19% F
Milpitas 1265 30% F Millbrae 133 40% -F
Monte Sereno 76 104% A+ Pacifica 181 28% F
Morqan Hill 1.683 70% C- Portola Vallev 77 98% A
Mountain View U36 34% F Redwood City 458 19% F
Palo Alto 2.024 150% A+ S. San Francisco 1.212 94% A-
San Jose 24,234 96% A San Bruno 695 190% A+
Santa Clara 4,226 69% D+ San Carlos 175 49% F
Saratoqa 580 ill% A+ San Mateo 1.338 57% F
Sunnvvale 1710 46% F Woodside 115 288% A+
Unincorporated l,l04 79% c+ Unincorporated 2,002 123% A+
Total county 43,407 77% C+ Total county 9.365 59% F
Grading scheme: ]{)()'J(, or more = A +; !J5..99'J(, = A; 9()'94'1b = A-; trl.lJ9% = B+; B3-86'J(, = B; 8O-82'J{, = B.; 77-79%
= C+; 7l1-~ = G; 7()"72'J6 = 0-; trl-69% = D+; 63-66% = D; 6O-62'J{, = D-; less than 60% = F.
Source: Bay Area Council
MERCURY NEWS
REPORT CARD I Valley gets C+ on housing
Continued from Page lC
More than 184,000 permits
for new housing construction
were issued by Bay Area city
and county governments from
1999 through 2005. That in-
cludes all types of housing,
both rental and for-sale units,
houses and condos. The total.
number of permits was 17 per-
cent short of the goal set by
the state and the Association
of Bay Area Governments,
said Andrew Michael, vice
president of sustainable devel-
opment for the Bay Area
Council.
Ed Moncrief, executive di-
rector of Neighborhood Hous-
ing Services Silicon Valley, a
non-profit affordable housing
developer and mo~gage lend-
er, said developers in the
South Bay sometimes shy
from building on sites they
know will be difficult to get
governmental approval for -
thereby letting an opportunity
for new housing go unrealized.
"In some communities
there's excitement and de-
sire," to build new housing, he
said, "and in others there's
quiet or not-so-quiet resis-
tance, politically - so that lo-
cal government is skittish
about doing anything that's
proactive."
Chris Mohr, executive di-
rector of the Housing leader-
ship Council' of San Mateo
Couilty, said his county's "F"
doesn't reflect the work now
under way td increaSe housing
production th~re. He cited the
cities of San Bruno, Millbrae,
and South San Francisco for
recent efforts to create hous-
ing near BART stations, and
Redwood City for planning to
build housing near downtown.
In addition, 17 San Mateo
County cities have joined a
housing trust fund to invest in
affordable housing produc-
tion, he said.. Also, a recently
passed law allows cities to col-
laborate in identifying sites
and funding for housing with-
in "subregions," which he said
should help increase "housing
supply in the county.
Residents who don't want
the Peninsula's suburban
character to change resist the
construction of high-density
housing like apartments and
condominiums, he said..
"But it's already changed..
The congestion is already
here, the jobs have already
been created.. So the question
is, will we be able to house .. .
the workforce and the. i kids
who grow up here?" he said. "1
think more and more people
are recognizing if we keep it
this way it's not going to be
the kind of community we
want."
IF YOU'RE INTERESTED
To read the report. including letter-
grades for all the region's cities and
counties, go to www.bayareacoun-
cil.org/hp3.
Contact Sue McAUister at
smcaUister@mercurynews.com
or (408) 920-5833.
~ ~ 8f~
P I,Q.-I ~
MIXED-USE
COMMUNITIES
April 2006 . Second Quarter
. , .( r , .. .Ii .' . \ . { " . , " .. '. / (:......:'. ::.'.\ ,1,:.:__.'=. -'i~: -1.:.'~ "'[. ,:._-':. ';.;,. \'.?:'," 'I,' .....~, ....,.i... J,'..... \'..'..~~;.." ...,..-......,...,. ..:4~._,;i,.1 ". .1': ~'..' ,', .~>~;
..,/[ i >" ,~ cl- :J s e l../\ ..='i t< 8 S .~ C~ (1 ~.; (::: _ ..:. __' I'. ~ --~,.~ - ~ -~.
In her classic, "Death and Life of American Cities,"
urban activist Jane Jacobs describes how
sidewalks, shopfronts, a mix of uses, well-designed
public spaces and myriad other features interact
to make wonderful, successful city neighborhoods.
Her ideas underlie the New Urbanist
philosophy that resonates with city planners and
"11
~~:
.r."-J;~.
...."'."'.
.-c~
city governments. Young professionals,
empty-nesters and families who want to live in
urban neighborhoods, because of the lifestyle and
convenience that shops, entertainment,
restaurants and residences-all in one place and
within walking distance-can offer.
-Continued on page 2
Urban Context Figures Lorge
in l'v~ixed-Use Design
Context-the milieu or surroundings of a building
site-is an important word in an architect's
vocabulary. Respect the context, and you have a
building that fits harmoniously into the community.
Ignore it and the building forever after looks like a
mistake. -Continued on page 3
tv~ixed-Use Cornrrlunities !\~ake
o Pedect tv\orriage for
I\l\any Retailers
Laurie Parrish's commute to work is measured in
steps-50 to be exact. In November 2005 she
moved into a townhouse in Harbor Walk, a 36-unit
Olson Company community on the City of
Benicia's main street.
-Continued on page 4
What Con We Learn
From New York? -on page 6
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-Continued from page one
These neighborhoods are also an efficient use of
land, says Pat West, director of community
development for the City of Long Beach.
"Suburban sprawl, which encourages the use of
lhe uu1umobile and requires mote space, hm
occurred because people built a one-story
residential complex on a piece of land, created a
parking lot next to it, then commercial on yet
another piece of land and parking for it," says Pat
West, "In mixed-use, you have parking, commercial
and residential on one piece of land. You get a
symbiosis of land uses that creates vibrancy."
West sees the benefits of mixed-use for Long
Beach. The downtown is experiencing a
renaissance with the construction of 3,000 to 4,000
new housing units. Many are mixed-use, such as
The Olson Company's 133 Promenade Walk, a 97
for-sale townhome community, which includes
seven shopkeeper units, restaurant space and
parking for nearby retail. The company's Broadway
Walk in the downtown's new West Gateway
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neighborhood will offer 195 townhomes, including
six live/work residences. West says, "Long Beach is
very excited about the Olson company mixed-use
projects that are in construction, soon to be
com1ructed and 1hose being planned."
The City of Benicia also embraced the concept. To
bring activity down to the waterfront on its historic
downtown 1 st Street, the city specified mixed-use
residential/retail. Here The Olson Company built a
community of 37 townhomes and 7,770 square feet
of highly desirable retail space.
Mayor Steve Messina explains, "The federal
government, the Environmental Protection Agency
and most of the developed world looks at
mixed-use as a smart alternative in terms of
housing. It creates a more livable community."
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:ontinued from page one
j.Y.eel-Use C)e,~j~Jl'i
hat's particularly true for mixed-use. And it's why
'eff Chelwick. Senior Principal for attached
esidential design. William Hezmalhalch Architects.
nc.. carefully studied Benicia's downtown before
)Ianning Harbor Walk. a mixed-use residential and
etail community on the City's historic 1 st Street.
'We did an analysis of the street to see its historic
Jose and existing fabric." he says. "Then we
:::reated a 'story' for the buildings we designed."
The story is in the four modules that comprise the
community's 36 townhomes and 7700 square feet
of retail. The buildings are two-story in front. which
met the city's requirements for storefronts. and
three story townhouses in back. Each module has a
different theme. One incorporates a bell tower,
which the architects dubbed "The Tannery," a nod
to the site's former use, and another, "The Old
Hotel," which looks like it was an early 20th century
structure renovated into town homes. By using
materials found in other buildings along 1 st
Street-wood siding and brick on the townhomes.
and wooden entry doors on the stores-the
architects achieved a timeless effect.
Steve Messina. the City's Mayor, says, "Benicia is a
unique historic downtown. The challenge was to
t.=-
integrate the community with older historic
buildings. You don't want to emulate them. but
you want to make the new construction
compatible so there's a harmonious relationship
between new and old."
Context demanded a different solution in
Richmond's Metro Walk. The existing BART and train
station. which wos the dominant element
downtown. suggested a contemporary look for the
units that faced the station. The City didn't have
the historic context of Benicia, Chelwick says. "It
was more urban. more Main Street. U.S.A."
Richmond is a vertically integrated three-story
community comprised of lofts, live/work units and
townhomes. In this mixed-use community, there are
no setbacks. and retail is kept to the corners of the
building. The design is broken by material and
color changes. Owners comment that the
buildings look and feel like "living in New York,"
high praise from residents who want a sense of real
urban living.
IPli{ --:.2 ( 3
Mixed-Use Communities Make a Perfect
Marriage for Many Retailers
-Continued from page one
At about the same time she relocated her fine
jewelry store, The Jewelry Box, to one of the four
retail spaces below the community. Since then she
has P\Jt only 600 miles on her cm and reduced her
commute from 40 minu1es eacll way to a few
minutes.
Parrish says her new store gives her "better access,
more exposure and is in a safer location" than her
former location within a shopping center. And, by
purchasing a townhome in which she uses the
lower level as an office, she can use the entire
space in her new store for display.
Michael Kwan, owner of Wokano, a restaurant and
bar, chose The Olson Company's Burbank Village
Walk for his 5th restaurant because of its proximity
to daytime activity. the 140 townhomes, lofts, and
flats above his store and the active nightlife scene.
"We're expecting that 30 percent of our catering
and deliveries wil~ be.tQ.sun:ounding offices and -. U'_
people in the building," he says about the
restaurant. which will open in mid-July 2006.
Many cities. like Benicia, are using mixed-use to
generate the housing and tax revenues they need.
says Ted Slaught, President of Hillcrest Development
Partners, Of1 affiliate of Charles Durm Company. To
be successfuL "retail has to follow the existing
daytime population base," he says. "The best
scenario is to have both residents and daytime
population."
These conditions are satisfied on Benicia's busy
main street and have contributed to Starbucks'
decision to locate a store in Harbor Walk. Gabrielle
Tierney. a development manager for Starbucks.
says. "The Harbor Walk project seems to be pulling
tenants and residents together to complement the
immediate trade area, which will make it a more
dynamic gathering place." In addition. she says.
"We pride ourselves on the build out of our stores as
well as the design and quality of materials we use.
The quality of the Harbor Walk project is very attractive."
4
VI 12. .';,Q!;<
...
8rney sees many advantages to placing stores in
lixed-use residential/retail communities.
;tarbucks is all about creating a special place
'here 'community' can happen. It's a natural for
s to be an extension of the community that
appens in a mixed-use residential/retail project."
's clear that Parrish, Kwon and Tierney have
gured out a "survive and prosper" retail strategy
x the 21st century, one that recognizes the
lutomobile is becoming a liability in an era of high
IOS prices and overcrowded city streets and
'eeways. Homeowners want to live urban and
hop where they live. When the retailer can live
:lat lifestyle, too, like Parrish, or achieve their
narketing goals, like Tierney, or count on attracting
l customer base from the real estate above the
tore, like Kwan, the marriage of retail and
esidential is just about perfect.
Alhambra, Gateway Walk
Benicia
Oakland
Richmond
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Burbank
Camarillo
Fullerton
Long Beach
National City
San Diego
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What Can We Learn from New York
(What Makes Good Mixed-use?)
'. 6'
"A generation ago, downtowns [in many cities on
the West Coast] were for work. After dark, they
were empty," says Pat West, Director of Community
Development for City of Long Beach. "Now
downtowns are bringing in people with
discretionary income into market rate housing to
provide the ~ynelgy for a retail shoppillg
experience in the downtown." Mixed-use
communities add another dimension: a "New York"
feel to formerly overlooked neighborhoods where
retail and residential reside comfortably in one
property, drawing shoppers and residents alike to
experience the newly vibrant city.
Ted Slaught, a real estate broker with 25 years
experience in commercial leasing and President of
Hillcrest Development Partners, an affiliate of
Charles Dunn Company, says that certain
conditions have to be present to create the
optimum conditions for mixed-use. "Retail needs
foot traffic, which means either a built-in
population, or at least an existing daytime
population base. In downtown LA, for example,
there weren't a lot of residences until recently, but
certain businesses survived because there was
sufficient population in the daytime hours.
"The best scenario is to have both residents and
daytime population," Slaught says.
Kerry Krull, owner of Romancing the Bean, a
gourmet coffee and tea shop in The Olson
Company's Burbank Village Walk, says her location
has these factors in addition to drawing an
evening crowd. "It's great to be a store under 140
townhomes in an already busy neighborhood," she
says. She counts on customers from a nearby
400-member gym, a hotel across the street and a
large residential apartment building, which attracts
people working in the city's film industry.
The same factors that I'esuli in n freestanding
surface park commercial space apply to mixed
use, says Slaught. "There has to be adequate
visibility, ingress and egress and parking. Space has
to be configured appropriately. As long as it does
that, then the fact that it's integrated with housing,
as long as it's well planned, will enable most
retailers to function well." he says.
Proximity to urban life and transportation are also
good spots for mixed-use. Tamera Brown's
shopkeeper/loft space in Santa Ana's Artist Lofts
Walk is often abuzz with customers and friends on a
Saturday night when she and her husband hold
informal gallery exhibits to coincide with the city's
First Saturday art events. Their first floor shopkeeper
unit functions as both her artist husband's
workspace and gallery showroom. Likewise,
residents of Richmond's Metro Walk enthuse about
both their ease of transportation and shopping,
because their mixed-use community is adjacent to
the only tri-modal BART station (BART, train and bus)
station in the Bay Area.
Mixed-use creates many opportunities to make
customers out of residents-and attract shoppers to
experience the excitement of a fully functioning
urban experience. We're not Manhattan, but who
says that we can't learn something from them?
-
1:>IQ '~24
;;,.['J~ AssociatIon of Bay
:C'1>~J$ Area Govennnents
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Velcome to the inaugural issue of the Focusing Our \1ision
",,}:Jet!I'1'. ,.'/l',icl, ,,"illlw i"':~Il<'d ,111'.'. FWilsii7;: Ow Visioil ;C,
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ind communities togelher 10 protect and improve tbe quality of
ife in the Bay Are::!.
~ocusing Our Visiol1 builds on a solid foundation, notably
ncluding the pioneering Smart Growth Strategy/ Regional
SivClbility Footprint Project, completed in 2002 by five regional
igencies* and the Bay Area Alli~nce for Sustainable Communities.
[he "Footprint" blazed a trail as the first smart grov.rth vision for a
najor metropolitan area in California. The goal '.vas to
Kcommodate new people and jobs in a way tl1at protects Bay Area
:haracteristics that residents cherish: vibrant communities,
clistinctive neighborhoods and a breathtaking mtural
environment. From this project J1ld dialogue, a vision begJ,]] to
take shape of existing and new communities clustered along major
corridors and near transit in a "Network of Neighborhoods." The
resulting regional pattern would become more compact, provide
ample housing and mobility options, and foster thriving, well-
designed communities. At the same time, the regional economy,
social equity, and the environment would also be enhanced.
-I. t:: 11 ' .,.,-.., . cr
:ilCl.i.Ung a VnIerence
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Vvhile some important steps have been taken to advance the
Vision (described in Pegio!701 Ac!ioi7slo SUjJport Ihe Vision on
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into shClrper lucus. 'lie "",iJl LC:,J1t:cLively Idt.'JltJjy 'l11e1 cunlirllJ
regional and local priorities about where and how we should grOl\l
and develop, and which areas we should preserve and protect.
Once confirmed, these areas will be knit together into a regional
development strategy.
';\550ClI1li0I1 of Boy Arm GOl'CrIlI1ICIIIS, !\'[cfropo!Jfol1 TrnltSporfntioll COl1l1l1is,ioll, BlIY
A/co Ail QUillily M0l10gCllleJJf Di.itrict, Regioilol Wolel Quollly COlitrol BOlir,1, owl Boy
CC)//5CITllt;0/1 oun Development COIIIIJli5Siol1
Shifting development patterns in the Bay Area from existing patterns of
sprawl toward a more compact, transit-oriented, resource conserving
pattern will result in measurable benefits far Bay Area residents. Comparing
policy-based smart growth projections to business-as-normal development
trends could result in the following differences by 2020:
<.."- lncreased Transit Riders!lip
120,000 additional transit trips per day, the equivalent of 180 lO-car
BART trains due to the proximity of housing ta transit
<> Increased Pedestrian and Bicycle Use
160,000 additional daily walking and bicycle trips based upon the
proximity of housing to jobs, services and amenities
<? Reduced Automobile Use
36 million fewer vehicle lIliles per day and. 60,000 fewer vehicle hours of
delay per day
Reduced Greenfield Developrnent
The acreage of agricultural lands and other open space developed for
new housing could be reduced by 102,000 acres-the equivalent of about
]()2 Golden Gate Parks.
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etropolitc1n Transpon(ltion Commission (MTC) Jre working
ith local governments and communities on three interrelated
itiJtives that will result in a stronger, more focused regional
sion. Each initiative is described below.
ransit -O!1"ieI1tea De\Telop11"2er~t
] 2005, 1\11TC took a bold step toward advancing Transit-Oriented
'evelopment in the Bay Area by setting transportation corridor
lresholds to encourage housing development around stations, in
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L-,'j cmb~Lrkec1 (;n a pilot program of CCinidor and statiOJhUe,1
l~ms. Current plans are unclen'\7a.y in the following locations:
/ Alameda Point ferry terminal
./ eBART corridor in eastern Contra Costa County
,7 Fairfield multi-modal station on the Capital Corridor rail line
" lA/arm Springs station on the BART to San Jose extension
lVlenlo Park station on the Dumbarton rail line
. Coliseum BART Station, with a rail connection to the
Oakland Airport
'/ Pleasanton BART station (Hacienda Area)
, Santa Clara station on the San Jose BART extension
<~r Do\vnto\,vn San Leandro bus rapid transit station
!} Dovmtown Santa Rosa SlvlART station.
Multi-modal Corridor Planning
The Bay Area's current preferred smart growth scenario is
described as a "Network of Neighborhoods," which proposes a set
of lively communities strung like a necklace along major
transportation routes. To assist this type of dynamic community
planning, ABAG and MTC are currently working vvith
jurisdictions along three major corridors to search out
opportunities to build and reinforce livable and walkable
neighborhoods. The vision is that tbese neighborhoods become
places that work as complete communities; that reduce the need to
make long trips to meet everyday needs; that provide ample and
enjoyable opportunities to live, work, and recreate; and that
function in harmony with the street and transit infrastructure.
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The three corridors, 'which together nearly encircle the Bay,
include:
San Pablo Avenue, from Hercules through Oakland
East Fourteenth/International Boulevard, through OaH:md,
San Leandro, and unincorporated Alameda County
(7 El Can1ino Real, fron1 Daly City, through a string o[ cities in
San Mateo and Santa Clara Counties, ending in the City of
Santa Clara.
Priority Development Areas
The areas around transit stations and along major developed
corridors are two examples of 'where the region's smart growth
vision encourages new housing development. The vision places a.
general priority on in fill development within existing
communities to take better advantage of existing infrastructure
(particularly transit), to reduce travel demands, and to help
conserve the region's open-space. The designation of "Priority
Development Areas" v,Till make this general policy objective more
specific.
The plan is that priority development areas will [mt be identified
in draft by overlaying geographic representations of the smart
growth principles that underlie the Network of Neigbborhoods
vision. Specific boundaries and development densities will then
be negotiated and developed in discussion with our local partners,
thereby merging and melding together regional and local
objectives. The result will be a set of maps that identify the parts
of the region meriting incentives and other special assistance to
achieve the desired level of development. A similar overlay and
negotiation process will also be used to demarcate those areas
where urban development is clearly inappropriate, creating
resource protection areas.
The end result wm be designated Priority Development Areas and
Resource Protection Areas, constituting the core of a basic, first-
cut regiond plai1. The goal is a plan mvned jointly by the c-egion:,c1
agencies and by local governments, and supported by a broad
spectrum of Bay Area communities and interests.
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Continuing state support for regional plans is also proposed and local conformitv
,."ith a regional development strategy might serve as a gateway to funding for
planning, infrastructure and related local needs. .
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Focusing 0,-11' Vision is built upon the (c'llnections cll!10ng fmu kev elements
of regicJJ1al concern:
@! The Natural Environment @ People and Where They Live
@) Economic Activity @l Infrastructure (including Transportation)
While all four elements are a vital part of the mix, housing is a strategic focus for
our current efforts, as the following facts illustrate.
<> Homeownership in the Bay Area is prohibitively expensive to all but a small
percentage of households; bClsen. on income. Pents for rc:sidentia] properties
;
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The high cost of housing threatens the health and competiti\'eness of tlk
regional economy.
Housing costs have a disproportionate impact on the most vulnerable
segments of our society.
lVITC has determined that locating housing and hence population closer to
existing transit will have a greater positive impact on transit ridership tha.n
new investment in transit infrastructure.
The form and location of new housing will greatly impact overall land
consumption patterns, including the permanent conversion of agricultural
land.
.. Since all four key elements of regional concern are inextricably
interconnected, an emphasis on housing will not exclude, and indeed will
require, parallel considerations of environment, economic activity and
transportation elements.
Incentives on the Horizon
Most observers believe that Californians are overdue in making necessary
investments to improve and maintain our public infrastructure - both to serve the
people who live here now and to plan for our children. The Governor, the
Legislature, and other policymakers are actively discussing and debating various
proposals to create new funding for infrastructure.
Smart growth incentives to help ensure our investments are efficient and support
the future we desire are also part of the conversation. The incentives are being
explored both as a possible feature of a bond pacbge and as separate legislation.
Related smart growth incentives include:
<> Funding for local general and specific plans to help make plans consistent with
regional development objectives
ol-(~ Transportation and other infrastructure funding to support infill and transit-
supportive development
('~ Grants to acquire and protect open space, agricultural land, and important
habitat
(,} Funding to clean up contaminated sites (brownfields)
<~ Funds for housing assistance.
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The: ]3:.lj Area's regiunal agencie:s have: [ake:n seve:nd
specific steps to advance the Vision:
Adopted common, IHulti-agency Smart Growth Preamble
aud Policies as the official expressio:n of t11e Ba.y ft:...rea's
srnart gro-';'jch strategy. Includes a SUlTlmary statement of
the principles underlying the region's vision.
Produced policy-based Projections. Adopted by ABAG,
the.',e Projectiolls Z1re the region":; offici,d population,
L I! . .! -i: ; I -. I " I - ~ I: J ~ ! ,; i
used u:" L\fTC ,llld the /cir Di:;toct lO pruvide Lhe
demographic and economic assumptions for the Rt'gici1l1ll
Transportation Plan and the Regionol Ozone Plan. These
forecasts assume that local policies will change over time
to conform more closely to the vision.
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Developed a Transportation/Land-Use Platform in
Transportation 2030, the 2005 Regional Transportation
Plan.. The Platform expresses l'ATe's policy commitment
to smart-grovvth principles and land implementation.
hnplemented Transport&ticm f~}l. Livable Communiti.es
(TLC) ,md Housin.g Incentives Program (HIP). This
program uses grants and transportation investments to
encourage smart growth development.
Adopted a Transit-Oriented Development Policy.
Approved by Iv He in July 2005, this policy aims to ensure
significant new transit investments are backed up by local
land use plans that will result in transit-oriented
development. The policy sets corridor-level housing unit
thresholds that local plans must meet to receive capital
funds for new extensions. Funding for station and
corridor planning to assist local jurisdictions in meeting
specified thresholds is also provided.
Association of Bay Area Governments
Metropolitan Transpoliation Commission
101 Eighth Street. Oakland, CA 94607-4756
www.abag.ca.gov . www.mtc.ca.gov
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STEVE PIASECKI PLANNING DIRECTOR
CITY OF CUPERTINO
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CUPERTINO CA 95614-3282
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