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<br />Planning Commission Jlleeting Minutes <br />Agenda No. 07-16 <br /> <br />August 23,2007 <br />Page 7 of 19 <br /> <br />· Amendment of the Zoning Map to create S-Review Overlay Districts for Special <br />Policy Areas. <br /> <br />Anna Brannen said she was honored to serve as Chair of the Citizens Advisory <br />Committee for the TOD Strategy. Not only was the CAC a collaborative effort between <br />the City staff, transportation organizations and citizens, its membership comprised a <br />diverse group of residents from all six districts in San Leandro. These people played a <br />key role, providing many perspectives that helped shape development of the TOD <br />Strategy. As a result, the Strategy reflects thought and planning by many people, whose <br />dedication to the process was apparent in the many thoughtful and substantive <br />discussions about all the different components in the Strategy. Their commitment to the <br />process was also evidenced by the fact that a quorum was present at each meeting. <br /> <br />Secretary Livermore added that the staff did review the previously mentioned input that <br />came in after the official DEIR comment period closed. After discussing the content of <br />these comments with the consultants, it was determined that the topics are generally <br />addressed by the FEIR and no new issues came up. <br /> <br />Chair Reed asked whether any Commissioners had any comments. Hearing none at this <br />point, he opened the session for public comments. <br /> <br />Eric Nelson, representing Red Mountain Retail Group, explained that Red Mountain <br />owns the property designed in the proposed Zoning Overlays as SP-I, the property that <br />previously housed the Albertson's supermarket. Having read the proposed revisions to <br />Article 6 of the Zoning Code as well as the proposed Overlay Zone, he expressed some <br />serious concerns as they relate to that property. He understands that a), the property is <br />being zoned DA-l (retail mixed use) with an SP-l overlay designation. DA-] permits or <br />conditionally permits various retail uses, and all properties located in D-I are allowed, <br />but not required, to have second-floor residential units - except for this 1. 7 -acre parcel, <br />which has been designated the sole SP-I zone. As he understands it, this SP-I designation <br />requires - he emphasized the word "requires" - residential uses on the upper floors. <br />Although this is a concern for a number of reasons, he said, a major one is that the <br />building has no upper floors. It is a one-story retail building. Accordingly, he posed <br />several questions as well as comments. First, he asked, do the proposed TOD Strategy <br />and changes to Article 6 and the S Overlay actually require residential uses on the site? <br />He said this is not clear. If the answer is yes, he would like to understand whether the <br />City would allow Red Mountain to use its building for ground-floor retail use even <br />though the zoning requires a second floor with residential occupancy. If the answer is <br />yes, he continued, he is unclear how the City ordinance provides for this. He considers it <br />an essential question inasmuch as it relates directly to the owner's ability to use its <br />building, and have vested rights in a building that now stands on the property. If a second <br />floor of residential is required, it presents a significant problem. He said it would seem <br />that the zoning changes proposed deprive Red Mountain of any vested right to use the <br />building, and would also prevent any economical use of the property. In addition, he said <br />that if the ordinance is intended to created mixed-use development on the property, it <br />would not be very effective because residential projects are not viable in this economic <br />market. A panel of residential developers had told the CAC that downtown residential <br />development is not feasible under these market conditions; that was more than a year ago, <br />prior to the collapse of the subprime market, which has further devastated the residential <br />