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PC 06-19-00 lune 19,2000 Cupertinu Ciry Council Page 12 driven issue.Tltere are other creative ways to create family and community events,such as the Free Shakespeare in the Park each summer. The questiott is whether this development is good tbr the community. James moved to adopt a negative declaration. Bumett seconded,and the motion carried 5-0. James moved to adopt Resolution No.6034 approving the application per Planning Commission Res.No. 6034,with the following amendments:Condition 8 amended to say that applicant shall provide additional landscaping,lighting,and tables to encourage pedesvian access on the southern side subject to the approval of the Planning Director;and condition 25,regarding crosswalk improvements, amended to say thnt the applicant wil l be responsible for fees in the amount of 25%of the total cost for the Mnry Avenue mid-block cross�valk improvements,to o maximum of S40,000. PU[3LIC HEARINGS Mayor Statton reordered the agenda to discuss ltem 228 first. 22B. Hotel-Kimpton�lotel nnd Restaurant Group,Lot 6,Tract 7953,(comer oF Stevens Creek and De Anza Boulevards), APN 369-01-037. Applications 2-GPA-99,4•EXC•00, 5-U-00,and 8-EA-99. Request to consider a General Pl�n nmendmen[to exceed the allowed height of 75 feet a Heart of tlie City Specific P(nn amendment and exception to exceed the 40 foot height limit and to allaw hotel use;anJ a use permit to construct a new 224 room, 130,580 square foot hotel on a vacant parcci. A Negative Declaration recommended,and this item is recommended for approval.Cartrnued jrom June 5. City Planner Ciddy Wordell reviewed the staff report regarding the proposed hotel.It will have a restauranWar,conference room,board room, 224 guest rooms,a parking garage, and shared parking with the adjacent office building. She discussed the design changes, which had evolved through several planning commission meetings,and through meetings with the city's architect,the applicant,and their architect. Burnett asked if there are plans for radiant heating. Wordell said that council could add that as a condition to ensure it was included. She reviewed the results of the parking study nnd said that in dte evenin6 �vhen the hotel needs l41 extra spaces, the garage�vill have 315 availnble. The busiest time will be at I 1 a.m.when the ho[el needs 25 extra spaces,and there are 55 available. Valet parking will be available but staff must make sure that visitors can still choose to park their own cars. The applicant will be asked to do a study on how the parking arrangements will work. Mr. Jim Whelan,representing the Kimpton Hotel and Restaurant Group,said this will be unique, high-end landmark hotel building, and they envision that this location will be used for weekend brunches, as a starting place for community bike rides or commttnity walks, nnd art in thc park, as well as rctirement festivities, annivcrsnry festivities, birthdays, and weddings. It will be a fun, destination location. Whelan said that d�ey needed to discuss financing issues with the council. The Kimpturt Group is investing wel(over$35 million in this development to provide quality servicc for hotel,restaurant and conference guests. He highlighted some of the design fentures,and thanked staff and council for their support. Mr.Bob Wheatly,architect,discussed the pedestrian and vehicular access. 'l�here will be sidewalks on both sides of Cali Street to altow pedestrians access off De Anza. There wi(1 also be an entrance into the main courtyard and another for drop-off near the bar and restaurant.Not shown on this plan is a fitness center on the same levet as the lower-level parking garage. In the courtyard there will be a fountain wall that is a focal point for the June 19,2000 Cupertino City Council Page 13 lower portion of the building. He described the materials, decorative lighting fixtures, stone tile flooring,and other design teatures. Burnett said that it is important to protect the existing trees along the edge of Armadillo Willy's. He asked for an arborist's report. Wordell said the trees belong to that restaurant,but there will be a report and recommendation as to whether the uees should be pruned back or replaced with a variety more appropriate for a narro�v planting space. Whelan talked about the restaurant and said that Kuleto's would be a very good representation of what they hoped to provide in this location. He discussed other restaurants in their boutique hotels. He said that the executive chefs provide creativity nnd prepare the food in the restaurant,and the hotel provides support to ensure consistent quality. James said she was very excited about this hotel,which is a beautiful building. There are a number of projects coming forth over the next year or two which will define Cupertino, and this paRicular development and hotel will be a big part of that.This is a very large development,but it is possible to have increased density and do it beautifully in away that blends with the environment. She thought the landscaping would help to blend the park an apartment complex together. Bumett and Chang felt[hat die project was very well done and wmmended the planning commission for t}teir work. Lowenthal congratulated them for persisting in the long process and felt this project will be a tremendous asset. Statton said that until council comes to a resolution nbout the funding and 6nancing for this project,he wns not sure if he was ready to approve either the hotel or tl�c apartment comples.He wanted to make it very cicar that the two projects are tied together,and both should move forward with all deliberate spee:i. James said she understood that intemally, between Prometheus and Kimpton, and perhaps involving the city, there are some issues to still be determined as to the possibility of some funding assistance. She felt it was time to move on the brick and mortar part of this proposal so that can procecd,and council could denl with the funding as a separate issue. BurneU said that there is a process in pince and he did not think it was approprinte at this to start tniking about extra city participation. Chang mentioned another situation in which there w:u a concern that thc hotel and residential units would be disengaged from each othcr,and he agrced that the residential and hotel developments should be n package so that one does not proceed without the other.Wordell said that a mechanism to do that has been included,and it matches almost exactly tlie provision set forth for the Hilton Garden Inn and associated apartments. Lowenthal said that if council does not make a decision on the financial issue tonight, they are basically leaving it in thc hands of thc dc��eloper to take thc risk that thcy�vill come to a later ugreement.The current agreement has no financial sharing or kickback or ta.e nllocation in it,so it seems that the developer is willing to take the risk so there's no reason for counci!to not move fonvard on it. June!9,2000 Cupertino Ciry Council Page I�l Kilian noted that tl�ere is a pro��ision that die hotel sl�all be started at the same time or prior to die apartment comples. flowever, the apartments can proceed earlier if they posted a million dollars, which would be forfeited in the event that the hotel did not proceed within 18 months. This is done to create separate financing mechanisms for both. 22.A. Apartments—Cupertino City Center Land(comer of Stevens Creek and De Anz�Boulevards),Lot 1,Tract 7953. Applications 2-GPA-99, 3-EXC•00, 6-U-00, and 9-EA-99. Request to consider a General Plan amendment to exceed the allowed height of 75 feet and ro project into die 1:1 setback mtio from Srevens Creek Doulevnrd;a Heart of the City Specific Plan amendment nnd exception nnd use permit to construct a new 206-unit,206,725 squure faot multifamily residential building and 6,775 square feet of retail space on n vacant parcel.Negative Declarations are recommended. The General Plan amendment is recommended For denial. The Heart of the Ciry Specific Plan amendment and exceptions are recommended for approval. Planner Michele Rodriguez said this item was continued from the last meeting in order to consider the adequacy of bicycle parking and public access to the podium area. Staff has added condition of approval requiring bicycle parking in front of or adjacent to the retail area. The plan already shows 30 bicyde parking spaces in the parking area, and the condition of approval would require that these be secured individual bicycle parking facilities. Rodriguez also described the two points of access to the podium area and said i that the applicant is proposing gates at those locations. Another other option for council would be to require the gates be open during specific daylight hours, or to direct that tliere be card key access. Burnett said he was concerned about safety in the podium area, so visibility is as important as locks.Also,he preferred the stair design shown in November plans where the podium was clearly integrated into the other areas. He was also concerned about handicapped access. Jnmes disagreed that there wns a need to have the podium open because it will be the equivalent of a private yard for the people who will live there. Mr. John Moss, representing Prometheus, said tliat they agreed �vith the staff recommendation. It would meet the city goal public access, generally during Jaylight hours, while providing sccurity for thc residents in dic evening. I-Ie said that they had looked at 13 different developments in the Silicon Valley when they were planning dieir property tour and all had restricted podium access 24 hours a day. He explained that the staircase design was changed so thnt the new fountain would not interfere with the existing fountain, and he pointed out the handicap access and said that the entire development would be compliant with handicap access requirements. Mr. Paul Lettieri, landscape architect, discussed the plans for landscaping around the stairs to the podium and the relocation of the fountain. He said that there wouid be barrcd rail fences so that pedestrians could stand four feet higher than thc plaza, look down at the fountain or over to the hotel lobby,and get a sense of the ama. Community Development Director Steve Piasecki clarified that the staff recommendation was for either full,unimpeded access,or for time-restricted access. Moss said these plans are consistent with the plans put forth in November in terms of podium access. He asked for clarification regarding Resolution 192, page 22-A40, maximum height. He said that the maximum height was not intended to be 75 fcet,but June 19,2000 Cupertino City Council Page IS instead to be consistent with the GP�unendment, which �vas 108 feeL Resolution 191, policy 2-24,strategy 2,refers to tlie hotel tile 5-U-00, but that should the apartment file. On page 22A-59, under the commercial heading, there is a reference to a twn-foot retaining wall going the full length in front of the retail frontage, but it will not go tlie length of the front�►ge. Lowenthal said u gate to the podium is intimidation enough to keep people from walking in and out,whether or not it is locked at a certain a time. Moss suggested glass storefront dours and the side panels in an aluminum frarrte. Lowenthal said he would prefer a method that would keep the gates physically open during the day, not just unlocked. Moss said he thought that could be arranged. Viskovich said that the only issue arising out of the trnffic study is the need for some �vork on some of the U-turns on DeAnza and on Stevens Creek at Torre,both of which can be handled through some changes in timing. Chang said he would support the gate being open during the day and closed in the evening. Burnett and Statton did not support that option. James felt it was a good compromise. Burnett said he was concerned about the appearance and how the gate changes the appearance from an integrated project to some[hing exclusive. Statton agreed and said the project was originally described as un open project in which people could wander back and forth.Now it doesn't feel open and inviting any longer. I-Ie also agreed with Burnett's earlier comments about wnnting n broader stair step. 5tatton also said that he was not enthused about the opening onto Stevens Creek Boulevard,and it is not going to encourage a pedestrian walking along that street to go through the development to reach dte park or the hotel. Chang said diat after hearing tl�eir comments, he would suppart them in this position. James said she did not see any reason for people to bc wandering around an apartment complex between 9:00 p.m.and 7:00 a.m. Council members agreed to take action on the hotel projcct first. James moved to grant a negative declaration. Burnett seconded and die motion carried 5-0. Wordell noted that the general plan amendment is for both tl�e hotel and apartment projecL James moved to adopt Resolution 00-191 approving the general plan amendment, with the stipulation that the amendment on the apartment portion is for height, setbacks, use, and the street-to-height ratio, and on the hotcl portion thc amendment is for heisht only. Bumett secondcd and the motion carried 5-0. James moved to adopt Resolution 00-193. Chang secondcd and the motion carried 5-0. James moved to approve the use permit pursuant to Planning Commission Resolution No. 6033 with the addition of the radiant heating, as discussed. Burnett seconded and the motion carried 5-0. Burnett moved to grant a negative declaration for the apartment project. James seconded and the motion carried 5-0. June 19.2000 Cupertino City Council Page 16 Burnett moved to approve the He�ut of tha City exception per Planning Commission Resolution No.6028,and adopt Resolution No.00-192,with an amendment to Section 2, Finding No. 4, to allow the height to exceed 75 feet.James seconded, and the motion curried 5-0, Burnett moved to approve the use perrnit per staff recommendation with the provision that lhere shall be open access to the podium,with no gnte and no door. The motion carriad 4-i with Council member James voting no. Pinsecki said that the appiicants for the hotel may wnnt to proceed with the grading permit ahead of the other permits,with an understanding that there would be no vesting, and that they would hold the city hurmless. If that is to take place,he would work with the city attomey to prepare an agreernent. City Attomey Charles Kilian said that was acceptable if they wanted to take the risk of proceeding without the 30-day waiting period for challenges. z3, Appenl and exception to the Planning Commission's decision of May 8,2000,regarding park fees stated in Resolution 6025:approval of Appiication 1-Tht-00,Tentative Map to subdivide a 8,818 sq.ft.parcel into two lots al l0440 South Biuney Avenue as lis�ed in Section II[item 14 of improvement ugreement in the umountofS31,500.00.Appellant:Ron Bennett. Stuff stnted thnt the maner hns been resolved,and ihe applicant will not be required to pay park dedication fees forparcels that hnve existing houses on them_ June 19,2000 Cupertino City Council Page 14 James said she understood that intemally, between Prometheus and Kimpton, and perhaps involving the city, there are some issues to still be determined as to the possibility of some funding assistance. She felt it was time to move on the brick and mortar part of this proposal so that can proceed,and council could deal with the funding as a sepazate issue. Burnett said that there is a process in place and he did not think it was appropriate at this to start talking about extra city participation. Chang mentioned another situation in which chere was a concem that the hotel and residential units would be disengaged from euch other,and he agreed that the residential and hotel developments should be a package so that one does not proceed without the other.Wordell said that a mechanism to do that has been included,and it matches almost exactly the provision set forth for tha Hilton Garden Inn and associated apartments. Lowenthal said that if council does not make a decision on the financial issue tonight, they are basically leaving it in the hands of the developer to take the risk that they will come to a later agreement.The current agreement has no financial sharing or kickback or tax allocation in it, so it seems that the developer is willing to take the risk so there's no reason for council to not move fonvard on it. Kilian noted chat there is a provision that the hotel shall be started at the same time or prior to the apartrnent complex. However, the aparcments can proceed earlier if they posted a million dollars, �vhich would be forfeited in the event that the hotel did not proceed within 18 months. This is done to create separate financing mechanisms for both. 22.A. Apartments — Cupertino City Center Land (comer of Stevens Creek and De Anza Boulcvards),Lot 1,Tract 7953. Applications 2-GPA-99,3-EXC-00, 6-U-00,and 9-EA- 99. Request to consider a General Plan amendment to exceed the allowed height of 75 feet and to project into the 1:1 setback ratio&om Stevens Creek Boulevard;a Heart of the City Specific Plan amendment and exception and use permit to construct a new 206-unit, 206,725 square foot multifamily residential building and 6,775 square feet of retail space on a vacant parcel. Negative Declarations are recommended. The General Plan amendment is recommended for denial. The Heart of the City Specific Plan amendment and exceptions are recommended for approval. Planner Michele Rodriguez said this item was continued from the last meeting in order to consider the adequacy of bicycle parking and public access to the podium area. Staff has added condition of approval requiring bicycle parking in front of or adjacent to the retail azea. The plan already shows 30 bicycle parking spaces in the parking area, and the condition of approval would require that these be secured individual bicycle parking facilities. Rodriguez also described the two points of access to the podium area nnd said that the applicant is proposing gates at those locations. Another other option for council would be to require the gates be open during specific duylight hours, or to direct that there be card key access. Burnett said he was concerned about safety in the podium area, so visibility is as important as locks. Also,he preferred the stair design sho«m in November plans where the podium was clearly integrated into the other areas. He was also concemed about June 19,2000 Cupertino City Council Page I S handicapped access. James disagreed that there was a need to have the podium open because it will be the equivalent of a private yard for the people who will live there. Mr. John Moss, representing Prometheus, said that they agreed with the staff recommendation. It would meet the city goal public access, generally during daylight hours, while providir.g security for the residents in the evening. He said that they had looked at 13 different developments in the Silicon Valley when they�vere planning their property tour and all had restricted podium access 24 hours a day. He explained that the staircase design was changed so that the new fountain would not interfere with the existing fountain, and he pointed out the handicap access and said that the entire development would be compliant with handicap access requirements. Mr. Paul Lettieri, landscape architect, discussed the plans for landscaping azound the stairs to the podium and the relocation of the fountain. He said that there would be barred rail fences so that pedestrians could stand four feet higher than the plaza, look do�vn at the fountain or over to the hotel lobby,and get a sense of the azea. Community Development Director 3teve Piasecki clarified that the staff recommendation was for either full,unimpeded access,or for time-restricted access. Moss said these pians are consistent with the plans put forth in November in teans of podium access. He asked for clarification regarding Resolution 192, page 22-A40, maximum height. He said that the maximum height was not intended to be 75 feet,but instead to be consistent with the GP amendment,which was 108 feet. Resolution 191, policy 2-24,strategy 2,refers to the hotel file 5-U-00,but that should the apartment file. On page 22A-59, under the commercial heading, there is a reference to a two-foot retaining wall going the full length in front of ihe retail frontage, but it will not go the leugth of the frontage. Lowenthal said a gate to the podium is intimidation enough to keep people from wallcing in and out,whether or not it is locked at a certain a time. Moss suggested glass storefront doors and the side panels in an aluminum frame. Lowenthal said he would prefer a method that would keep the gates physically open during the day, not just unlocked. Moss said he thought that could be arranged. Viskovich said that the only issue arising out of the traffic study is the need for some work on some of the U-turns on DeAnza and on Stevens Creek at Torre,both of which can be handled through some changes in timing. Chang said he would support the gate being open during the day and closed in the evening. Burnett and Statton did not support that option. James felt it was a good compromise. Burnett said he was concemed aboitt thc appearance and how the gate changes the appearance from an integrated project to something exclusive. Statton agreed and said the project was originally described as an open project in which people could wander back and forth.Now it doesn't feel open und inviting any longer. He also agreed with Burnett's earlier comments about wanting n broader stair stcp. Statton also said that he was not enthused about the opening onto Stevens Creek Boulevard,and it is not going to June 19,2000 Cupertino City Council Page 16 encourage a pedestrian walking along that street to go lhrough the development to reach the park or the hotel. Chang said that atter hearing their comments, he would support them in this position. James said she did not see any reason for people to be wandering around an apartment complex between 9:00 p.m.and 7:00 a.m. Council members agreed to take action on the hotel project first. James moved to grant a negative declaration. Bumett seconded and the rnotion carried 5-0. Wordell noted that the general plan amendment is for both the hotel and apartment project.James moved to adopt Resolution 00-191 approving the general plan amendment, with the stipulation that the amendment on the apartment portion is for height, setbacks, use, and the street-to-height ratio, and on the hotel portion the amendment is for height only. Bumett seconded and the motion carried 5-0. James moved to adopt Resolution 00-193. Chang seconded and the motion carried 5-0. James moved to approve the use permit pursuant to Planning Commission Resolution No. 6033 with the addition of the radiant heating, as discussed. Bumett seconded and the motion carried 5-0. Bumett moved to grant a negative declaration for the apartment project. James seconded and the motion carried 5-0. Bumett moved to approve the Heart of the City exception per Planning Commission Resolution No.6028,and adopt Resolution No.00-192,with an amendment to Section 2, Finding No. 4, to allow the height to exceed 75 feet. James seconded, and the motion carried 5-0. . � Bumell moved to approve the use permit per staff recommendation with the provision that there shall be open access to the podium, with no gate and no door. The motion carried 4-1 with Council member James voting no. Piasecki said that the applicants for the hotel may want to proceed with the grading permit ahead of the other permits, with an understanding that there would be no vesting, and that they would hold the city harmless. If that is to take place,he would work with the city attorney to prepare an agreement. City Attorney Charles Kilian said that was acceptable if they wanted to take the risk of procceding without the 30-day waiting period for challenges. 23. Appeal and exception to the Plarv►ing Cornmission's decision of May 8,2000,regarding park fees stated in Resolution 6025:approval of Application 1-TM-00,Tentative Map to subdivide a 8,818 sq. R.parcel into two lots at 10440 South Blaney Avenue as listed in Section III item 14 of improvement agreement in the amount of$31,500.00. Appeliant: Ron Bennett. Staff stated that the matter has been resolved, and ihe applicant will not be required to pay park dedication fees for parcels that have existing houses on them.