Community Benefits
Program Implementation
February 25, 2025
Agenda
• Background and Purpose
• Community Benefits
Negotiated Program Overview
• Example Projects and Ranges
• Priority Community Benefit
Buckets
• Next Steps
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Presidio Bay Ventures Community Benefit Program¹
Source: Entitlement planning application submittal for 642 Quarry Road (2021) 2 Background and Purpose
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• Community Benefits Program Study Session (October 2022):
• In the 2022 Study Session, council provided direction to pursue a negotiated community benefits program
• Purpose of today’s session – Implementation Strategy
• Refresher on program methodology and discussion of community benefit examples and ranges in the region
• City Council input on priority buckets
• Zoning Code modifications
3 What is a Community Benefits Program?
• Community benefits are
contributions by developers to
preserve or enhance an area’s
quality of life.
• A community benefits program is a
method for local governments to
guide contributions from new
development.
• It provides an opportunity for
developers to deliver public
improvements and advance the
community's priorities.
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405 Industrial Community Benefit Program²
Source: 405 Industrial Road Project Plans, San Carlos (2022) 4 Negotiated/Project Analysis Methodology
• Focus is on zoning entitlements— developer requests that increase the value of their projects, such as additional building height or density
• Value capture: evaluating project profitability and negotiating a sharing of the additional value between the developer and the community
• When the city grants valuable zoning entitlements, the community also benefits from the increased value created
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Process Example
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Applicant Submits
Request for Zone
or General Plan
Change
Economic Analysis
– Determining
Value of
Entitlements
Evaluation of
Proposed Community
Benefits (If Developer
Provided Offer)
Term Sheet and
Negotiations
Development
Agreement Project Approval
Key Considerations: Impact Fees
Relationship to Impact Fees:
• Impact fees affect the affordability of benefits
• Fees increase project costs since they are financial
contributions developers are required to make
• Community benefits are tied to incremental value and
project profitability
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Key Considerations: Zoning Standards
Interaction with existing zoning standards:
• The same project may have a higher FAR in one city than another. Denser projects generally have the potential to offer more community benefits
• Factors such as height, FAR, and specific development requests are evaluated alongside any minimum or maximum thresholds
• Different jurisdictions have different priorities and zoning and design standards that affect any city-to-city comparison
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Key Considerations: The Market
Interaction with market conditions:
• There is an impact of market conditions on community
benefit contributions
• However, negotiations should consider historical and
projected trends alongside project timelines for more robust figures
• A project’s expected completion timeline should be
considered as economic conditions may not be the same
when the project is realized
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Types of Benefits: On-site vs. Off-site
Preference for Off-Site:
Existing mechanisms address certain
needs like affordable housing and
public art
• Off-site contributions can go to
priority projects (community center,
sewer & storm systems)
• Exceptions: publicly accessible
recreational amenities that go above
and beyond zoning requirements
and affordable childcare
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On-Site: Amenities within the
development (ex: childcare,
recreational space)
Off-Site: Funding for city
priorities
10 Project Examples
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320 Blomquist St,
Redwood City (2022)
1699 Bayshore Hwy & 810 Malcolm Road,
Burlingame (2022)
$30 million in community benefits.
Including affordable housing, parks and recreational
improvements, educational and nonprofits support,
infrastructure developments. Source: Harbor View ACC Resubmittal Package (2019) $9.3 million in community benefits.
Including 2 public plazas, streetscape improvements
and flexible benefits (bike parking, workspace lobbies, cafes and restaurants, fitness room, conference room).
Source: 1669,1699 Bayshore Hwy and 810821 Malcolm Rd – Plans (2021) 11 Value of Benefits Received
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Project Year City Square Footage Community
Benefits Total CB per SF
Life Science/Office
101 Terminal
Court Entitled 2023 South San Francisco 715,836 $6,355,820 $8.88 439 Eccles
Avenue Entitled 2024 South San Francisco 298,470 $2,294,600 $7.69 Southline; 30
Tanforan Avenue Approved 2022 South San
Francisco 2,800,000 $27,939,795 $9.98
600 Ellis St Approved 2020 Mountain View 259,595 $2,900,000 $11.17 841 Old County
Rd Approved 2023 San Carlos 339,000 $7,000,000 $20.65
12 Value of Benefits Received (Cont.)
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Project Year City Square Footage Community
Benefits Total CB per SF
Life Science/Office
642 Quarry Rd Approved 2023 San Carlos 410,000 $4,300,000 $10.49 405 Industrial Rd Approved 2022 San Carlos 293,000 $4,300,000 $14.68 Berkeley
Commons Approved 2021 Berkeley 462,000 $5,500,000 $11.90 Commercial/Mixed-Use
Station 1300;
1300 El Camino
Real
Approved 2017 Menlo Park 215,000 $2,100,000 $9.77
501 Industrial;
Hotel Indigo Approved 2023 San Carlos 119,000 $2,200,000 $18.49 13 Anticipated Value of Community Benefits
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• We've seen a 50% sharing of incremental value from enhanced zoning serve as a starting point in negotiations, providing a general framework
• Based on experiences in nearby cities, Belmont could anticipate community benefits in the range of $8 to $20 per square foot. • This is based on the incremental value added through voluntary community benefit agreements
14 Priority Buckets for Community Benefits
Key Areas of Focus for Belmont
• Community Center reconstruction
• Public infrastructure (stormwater, roadways,
transportation, etc.)
• Public recreation opportunities (parks and
plazas, access to fields, courts, etc.)
• Funding for ongoing City services and
operations
• Affordable childcare
Proposed Review Cycle
• Update priorities every 3-5 years to align with
evolving needs
• Retain priority list via City Council resolution
(non-codified)
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1699 Bayshore Hwy & 810 Malcolm Road Community Benefit Program³ Source: Planning Submission Updates- Community benefits: 1669 & 1699 Bayshore & 810 & 821 Malcolm Road (2022)
15 Zoning Code Amendments
Best Practice to Codify Community Benefit Program in the Zoning Code • Belmont Zoning Ordinance will need to be updated to reflect Community Benefit Program Implementation
• Existing Community Benefit language exists in multiple chapters of the Zoning Ordinance and in the Belmont Village Specific Plan • Staff recommends consolidating the language in a single location for consistency and clarity
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Thank you!
Any Questions?