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CEDC May 2022 Regular Meeting Packet

Council Economic Development Committee
May 26, 2022

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CEDC May 2022 Regular Meeting Packet
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May 26, 2022
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Council Economic Development Committee
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5
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Text extracted from the city's file for reading and search. Open the original on hayward.legistar.com. That file is the official record.

Thursday, May 26, 2022
5:00 PM

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
Remote Meeting
Council Economic Development Committee
Agenda

May 26, 2022Council Economic Development
Committee
Agenda
COVID-19 Notice: Consistent with Assembly Bill 361, the Council Economic Development Committee meeting includes teleconference participation by all Committee members and the public.

Please note that we are now using the Zoom Webinar platform to conduct meetings and receive live public comment.

How to submit written Public Comment:

Send an email to [email protected] by 2:00 p.m. the day of the meeting. Please identify the Agenda Item Number in the subject line of your email. Emails will be compiled into one file, distributed to the Council Economic Development Committee and staff, and published on the City's Meeting & Agenda Center under Documents Received After Published Agenda. Written comments received after 2:00 p.m. that address an item on the agenda will still be included as part of the record.

How to provide live Public Comment during the meeting:

Please click the link below to join the webinar:
https://hayward.zoom.us/j/85855942232?pwd=WUZvRTQ5ZnVyUXBGN0pVRDBiaWp6UT09 Webinar ID: 858 5594 2232
Password: CEDC05-22!
Or
Dial: +1 669 900 6833
Webinar ID: 858 5594 2232
Password: 4863806267
A Guide to attend virtual meetings is provided at this link: https://bit.ly/3jmaUxa

CALL TO ORDER

ROLL CALL
PUBLIC COMMENTS:
(The Public Comment section provides an opportunity to
address the City Council Committee on items not listed on the agenda as well as items on the agenda. The Committee
welcomes your comments and requests that speakers present their remarks in a respectful manner, within established time limits, and focus on issues which directly affect the City or are within the jurisdiction of the City. As the Committee is prohibited by State law from discussing items not listed on the agenda, any comments on items not on the agenda will be taken under consideration without Committee discussion and may be referred to staff.)

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May 26, 2022Council Economic Development
Committee
Agenda

APPROVAL OF MINUTES
Approval of Minutes from April 28, 2022 Regular MeetingMIN 22-0681.

Attachments: Attachment I Draft Minutes from the April 28, 2022 Regular Meeting

REPORTS/ACTION ITEMS
Preliminary Concept Review: Main & B Mixed-Use
Development at 966 B Street
RPT 22-0362.

Attachments: Attachment I Staff Report
Attachment II Developer's Presentation
Update on COVID-19 Economic Recovery Restaurant Relaunch and Restore and Reopen Grant Programs
RPT 22-0593.

Attachments: Attachment I Staff Report

FUTURE AGENDA ITEMS
Future Meeting Topics as of May 26, 2022RPT 22-0564.

Attachments: Attachment I Future Meeting Topics as of May 26, 2022

COMMITTEE MEMBER/STAFF ANNOUNCEMENTS AND REFERRALS

ADJOURNMENT

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CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: MIN 22-068
DATE: May 26, 2022
TO: Council Economic Development Committee
FROM: Assistant City Manager

SUBJECT
Approval of Minutes from April 28, 2022 Regular Meeting

RECOMMENDATION
That Committee members review and approve the Regular Meeting Minutes from April 28, 2022.

ATTACHMENTS
Attachment I Draft Minutes from the April 28, 222 Regular Meeting CITY OF HAYWARD Printed on 5/20/2022Page 1 of 1
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COUNCIL ECONOMIC DEVELOPMENT COMMITTEE

MEETING MINUTES – April 28, 2022

CALL TO ORDER: The Regular meeting was called to order at 5:00 p.m.

ATTENDANCE (September 2021-July 2022):

Committee Member

Present
4/28/2022
All Meetings
Year to Date
Meetings Mandated
By Resolution
Present Absent Present Absent
Council Member Salinas  5 0 5 0
Council Member Wahab  5 0 5 0
Council Member Andrews  5 0 5 0

OTHERS IN ATTENDANCE:

Kelly McAdoo, City Manager; Jennifer Ott, Assistant City Manager; Paul Nguyen, Economic Development Manager; Leigha Schmidt, Senior Planner; Mira Hahn, Associate Planner; Catherine Ralston, Economic Development Specialist; Suzanne Philis, Senior Secretary; Jayvant Shah, Kalthia Construction and Management Co.; Marie Anderson, CBRE; Melissa Stevens, MWT Architect; Claudia Carrola-Cheng and Dee Madahar, Starbucks

PUBLIC COMMENTS

There were none.

1. APPROVAL OF MINUTES OF REGULAR MEETING MARCH 24, 2022

A motion to approve minutes from the March 24, 2022 Regular Meeting was made by Council Member Andrews and seconded by Council Member Wahab. The minutes we re unanimously approved.

2. PRELIMINARY CONCEPT REVIEW – MWT ARCHITECT, PC DR IVE THROUGH REQUIRING A

ZONING TE XT AMENDMENT AND MODIFICATION OF APPROVED SITE PLAN REVIEW FOR HOME2SUITES AT 22091 HESPERIAN BOULEVARD

Economic Development Manager Paul Nguyen introduced Associate Planner Mira Hahn who gave the staff presentation. MWT Architect Construction Administr ation Manager Melissa Stevens also gave Hayward Council Economic Development Committee
Regular Meeting Minutes
April 28, 2022

Page 2 of 5 ends

the outside presentation.

Council Member Andrews asked the difference between a Starbuck Reserve and a regular Starbucks.

Starbucks Store Development Manager Carrola-Cheng explained that Starbuck Reserve was a coffee- forward concept they tried out and discontinued. Customers don ’t want to sit and linger she explained. Council Member Andrews noted there were already a lot of Starbucks in the area including the in -store Starbucks at Target. She asked how the drive -thru would impact these other stores.

Manager Carrola-Cheng said there were no plans to close any existing stores.

Council M ember A ndrews noted the Starb ucks drive -thru at Costco on Hesperian had a particul ar design and she asked why and what the difference was betwee n that site and older sites. Manager Carrola-Cheng explained that the newest locations used a contemporary design, but each site would have differen t characteristics. She said the contemporary design was the new traditional. Council Members Andrews asked if the propo sed Starbucks by the airport could also have a mural an d Manager Carrola-Cheng said it could.

Council Member Andrews said when volunteering to pick up trash and she noticed a lot of Starbucks cups and bags and she asked what St arbucks was doing to decrease trash. Manager Carrola-Cheng said Starbucks vision was to give more to the earth than take away. She noted they were moving away from plastic straws and by 2030 they wanted to have a reusable cup program in place.

Council Member Andrews suggested Starbucks Adopt-a-Block. She also noted Hesperian already had a lot of traffic and she asked how the proposed drive -thru would impact the area. Manager Carrola- Cheng explained that the double drive -thru lane should el iminate any traffi c problems and said maintaining the property was part of the lease agreement.

Regarding the three questions included in the staff report, Council Member Andrews said for environmental reasons a drive-thru wasn’t ideal, but for the convenience of families and the disabled, she would consider supporting an amendment.

Council Member Wah ab asked to see the location map and then asked if she should re cuse herself because she lived nearby. City Manager McAd oo s aid she probably shouldn’t make comments, but Manager Nguyen pointed out that no action was being taken.

Council Member Wahab said she loved Starbucks and there could never be enough even with the two already nearby. She said she was OK with the zoning text amendment as long as the drive-thru didn’t create traffic on Hesperian. She pointed out that Hesperian was a main commuter route with traffic both in the morning and evening, so she wanted to make sure waiting cars were truly off the road. If a traffic study was conducted, she said she wanted access to be way back from Hesperian. Manager Nguyen said because this was a concept review, no traffic impact study was available.

Council Member Wahab said she also wanted parking so customers using the mobile app could go in to pick up their order rather than having to wait in th e drive-thru line. She said she was not op posed to having a St arbucks at the proposed site at all and was supp ortive of amending the half -mile rule for drive-thrus. With higher density housing coming in, she said, the City would need higher capacity services.

Hayward Council Economic Development Committee
Regular Meeting Minutes
April 28, 2022

Page 3 of 5 ends

Council Member Salinas said he resp ected the opinions of his fellow Council Members, but he didn ’t think this project was the game changer th at justified a zon ing text change amendment. He didn’t realize the drive -thru would be two lanes, which seem ed large, he said, and noted the parcel would be busy.

Although he ackno wledged densities were increasing, Council Member Salinas said that didn’t necessitate changing city-wide zoning to allow more fast food and coffee shops. Regarding the three questions in the staff report, he said this projec t didn’t move him enou gh to support a zo ning text change amendment; the size of the proposed drive-thru would eliminate other office and commercial opportunities at the site; and he was leery about allowing the drive-thru because Council had been outspoken against them and ther e were alr eady two more planned for the K mart site. He said he understood Coun cil Member Andrews comment about convenience but allowing the amendment would have impacts city-wide. Council Member Salinas said he was not convinced this project was the right one and said he would not be supportive.

Council Member Wahab acknowledged that she frequently complain ed about the redundancy of Hayward business types, but she noted th e revenue generated by Starbucks was significant. She also noted the convenience of grabbing food at Starbucks, the previously mentioned community benefits, and that other cities have Starbucks on every block.

Council Member Andrews said she understood Council Member Salinas’ concerns but wondered how long it would t ake for office to come in if thi s project was denied. She cited Consultant Marie Anderson’s earlier comment that no retail other than those with drive -thru expressed interest and said she didn’t want the site to sit empty.

Council Member Andrews asked sta ff if Council approved the zone text amendment, could they still tell other fast food restaurant s no . City Manager McAdoo said the amendment would change the guidelines for everyone. Assistant City Manager Ott agreed, pointing out the City could not spot zone.

She then asked Planning staff if there was a way to focus on use and was told no.

Assistant City Manager Ott asked staff if the site would also require a variance a nd was told no.

Because the drive-thru was shorter than the previously proposed hotel use, Associate Planner Hahn, said a variance was no longer needed.

Council Member Andrews reiterated her concern that the lot would sit empty rather than allow a use that could generate revenue. Council Member Salinas explained that he just used office as an example, something else could come in but Council Member Andr ews reminded him that no other commercial uses had expressed any interest.

Manager Nguyen pointed out that the slide showing estimated Starbucks revenue was not completely accurate. Although sales tax is 10% in A lameda County, he s aid, Hayward would only receive 1% of total sales tax collected. He also noted that this project was approved with a commercial building on this site so whether it was office or commercial space, something would have to be buil t per the conditions of approval

Council Member Salinas asked staff if any further comments were needed. Assistant City Manager Ott commented that s ince there wasn ’t consensus the applicant would need to digest what they heard.

Hayward Council Economic Development Committee
Regular Meeting Minutes
April 28, 2022

Page 4 of 5 ends

She pointed out the full Council may have some of the same concerns.

Council Member Salinas asked if there was a timeline and City Manager McAdoo said it was up to the applicant.

Council Member Andrews commented that Star bucks had enough money to add office space abo ve the coffee shop. Coun cil Member Salinas sai d that would be interesting. Ms. Stevens asked C ouncil Member Salinas if adding a second stor y for office would be a game changer and Council Member Salinas said it would be if there was rooftop seating. Assist ant City Manager Ott sug gested the applicant consider a more intensive use at the site.

3. UPDATE ON COVID-19 ECONOMIC RECOVERY SMALL BUSINESS ASSISTANCE GRANTS AND

COMMUNITY DEVELOPMENT BLOCK GRA NT FUNDED SMALL BUSINESS ASSISTANCE GRANTS

Economic Development Manager Nguyen introduced the item by acknowledging the hard work of his team members. Not o nly did his one Specialist and part -time Admin continue to deliver concierge services to incoming businesses, he s aid but also deliver an award -winning program of grants to existing minority and woman-owned Hayward small businesses.

Council Member Andrews said she was glad to hear so many businesses were taking advantage of the program including black-owned businesses. She thanked staff for putting toge ther the l ist of those businesses. She asked staff if business owners could use grants to pay for security measures like safes and triple-pane glass and was told yes.

Council Member Wahab thanked staff for providing grants to a divers e selection of businesses and for providing the demogra phic data. She also noted grants given to veterans and the d isabled could be lumped together.

Council Member Salinas echoed the comments of his colleagues.

4. FUTURE MEETING TOPICS AS OF APRIL 28, 2022

Council Member Andrews said she would like to see a capacity analysis of the Economic Development Division staff. City Manager McAdoo confirmed she wanted to add an item to the Future Meeting To pics list and was told yes. Council Member Andrews said she would like to see an assessment of how many staff person s were ne eded to get everything done , the focus of the team, and what C EDC members should let sit if there wasn ’t enough capacity. City Manager McAd oo said staff could give an update of the Strategic Road Map and the Economic Deve lopment Division programs identified there as well as a workload assessment . Assistant City Manager Ott mentioned a recruitment for another Specialist was underway.

City Manager McAdoo requested an item to discuss public art be added to the list.

Council Member Wahab said she would like to see an update on high-speed fiber optics be pushed to the top noting a lot of things had changed since it was last discussed. She said staff needed to focus on getting broadband to the same businesses that received grants so they could up their capacity.

Hayward Council Economic Development Committee
Regular Meeting Minutes
April 28, 2022

Page 5 of 5 ends

Council Member Wahab also requested an update on cannabis n oting many permits had been issued more than a year ago, but very little traction was being made. Business diversity was one thing, she said, but businesses tha t could benefit the City should be first and foremost and having unused cannabis permits was a monetary loss to the City. She pointed out that those revenues could be used for both short-term projects and long -term liabili ties to create stability moving fo rward. City Manager McAdoo said staff could look at the length of permitting but noted most had been moving forward with each project facing different challenges for different reasons.

Council Member Salinas said he wanted to discuss closing the alley next to Ro ckit Burger on B Street during the summer for outdoor amenities. City Manager McAdoo suggested the Downtown Hayward Improvement Area representative come give an u pdate on that and other activities . Council Member Salinas asked if an update could be present ed at the June CED C meeting and M anager Nguyen said the meeting agenda was full but he would see what could be moved around.

COMMITTEE MEMBER ANNOUNCEMENTS AND REFERRALS

Economic Development Manager Nguyen announced the Together for Hayward Gift Card Program video had be en released and City Manager McAd oo confirmed the link w ent to the ent ire City Council. Manager Nguyen noted a 30% jump in gift card sales occurred after its release.

Manager Nguyen also anno unced that the Economic Development Team had l aunched two new programs since the last meeting: the Restore and Reopen Façade Improvement Program and the Restaurant Relaunch Program. Of the nine ARPA-funded programs, he said, five had been l aunched since July of 2021.

Economic Development Manager Nguyen also announced two ribbon cutting events on Saturday at 11am for Sohei la Bakery (hosted by the Hayward Chamber of Commerce) and La Victoria ’s Taqueria by ED staff. He i nvited members to come see La Vic’s brand-new building and enjoy a mariachi band and their famous orange sauce.

ADJOURNMENT: The meeting was adjourned at 6:21 p.m.

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: RPT 22-036
DATE: May 26, 2022
TO: Council Economic Development Committee
FROM: Assistant City Manager/Development Services Director

SUBJECT
Preliminary Concept Review: Main & B Mixed-Use Development at 966 B Street

RECOMMENDATION
That the Council Economic Development Committee (CEDC) reviews the report and provides feedback on the project proposal to the developers at the May 26, 2022 CEDC meeting.

SUMMARY
The project developers, business partners Dave Waite, Mike Nelson and Chris Music, are proposing to redevelop the property at the northwest corner of the intersection of B Street and Main Street in downtown Hayward with a new six-story mixed-use development. The project would feature 1,200 square feet of commercial space, a residential lobby and a parking garage with subterranean automated stacked parking on the ground floor, and five floors of residential apartments above. The building would contain 30 apartments, with 10 one-bedroom units and 20 two-bedroom units. The current zoning and General Plan land use designations for the property allow for the development of up to 20 units. The developers are proposing to provide 15% of those 20 units (or 3 total units) as affordable to very low- income households. Therefore, the project is entitled to a 50% density bonus under State Density Bonus Law, which would allow for up to 10 additional units, or 30 total units (3 affordable units for very low- income households and 27 market-rate units).

ATTACHMENTS
Attachment I Staff Report
Attachment II Developer’s Presentation
CITY OF HAYWARD Printed on 5/20/2022Page 1 of 1
powered by Legistar™

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DATE: May 26, 2022

TO: Council Economic Development Committee

FROM: Assistant City Manager/Development Services Director

SUBJECT: Preliminary Concept Review: B & Main Mixed-Use Development at 966 B Street

RECOMMENDATION

That the Council Economic Development Committee (CEDC) reviews the report and provides feedback on the project proposal to the developers at the May 26, 2022 CEDC meeting.

SUMMARY

The project developers, business partners Dave Waite, Mike Nelson and Chris Music, are proposing to redevelop the property at the northwest corner of the intersection of B Street and Main Street in downtown Hayward with a new six-story mixed-use development. The project would feature 1,200 square feet of commercial space, a residential lobby and a parking garage with subterranean automated stacked parking on the ground floor, and five floors of residential apartments above. The building would contain 30 apartments, with 10 one- bedroom units and 20 two-bedroom units. The current zoning and General Plan land use designations for the property allow for the development of up to 20 units. The developers are proposing to provide 15% of those 20 units (or 3 total units) as affordable to very low-income households. Therefore, the project is entitled to a 50% density bonus under State Density Bonus Law, which would allow for up to 10 additional units, or 30 total units (3 affordable units for very low-income households and 27 market-rate units).

BACKGROUND

The subject property measures 0.176 acres (7,668 square feet) and was previously occupied by a commercial building that was destroyed by a fire in January 2020. The building was originally constructed in the early 20th century and was occupied by various commercial tenants over the years. Before it was destroyed by the fire, the building was mostly vacant except for a nail salon, and was slated to house a new 2,363-square-foot cocktail bar (the 990 Bar and Lounge), which had been approved by the Council. The City issued a demolition permit to remove the remaining portions of the structure that were damaged by the fire in late January 2020, and the site has remained vacant and fenced off since that demolition work occurred. The property is located approximately one quarter of a mile from the Hayward BART Station.

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DISCUSSION

Proposal
The developers are proposing to redevelop the site with a six-story mixed-use development that would contain commercial space, a parking garage, a lobby and ancillary spaces for the residential units on the ground floor, and 30 residential apartments on the upper five floors of the building. The commercial space would contain approximately 1,200 square feet and feature entrances along both Main Street and B Street, while the residential lobby would be situated along Main Street. The remainder of the ground floor would consist of a residential leasing office, mail room, trash and bicycle storage rooms, mechanical rooms, and a parking garage containing 29 vehicular spaces that would be located underground and controlled by an automated parking stacker system. The entrance to the parking garage is proposed to be located off the existing public alley separating the site from the adjacent property to the west at 954 B Street.

Floors two through five would each contain two one-bedroom units and four two-bedroom units, while the sixth floor would also contain two one-bedroom units and four two-bedroom units, but with smaller floorplans than those on the lower floors. The remaining floor area on the sixth floor would consist of balconies located along and overlooking B Street. A large rooftop deck would be provided as outdoor private open space for the building’s residents and additional space would be reserved for a rooftop solar photovoltaic system installation.

Required Entitlements/Process

Use and Density. The proposed use of the site would be consistent with the Zoning District and General Plan. The subject property is located within the Downtown Specific Plan area, and is currently zoned Downtown Main Street (DT-MS) with a General Plan land use designation of Central City – Retail and Office Commercial. The Central City – Retail and Office Commercial land use designation allows for a residential density range of 40 to 110 units per acre. Both the DT-MS District and the Central City – Retail and Office Commercial land use designation allow for mixed-use development containing ground-floor commercial uses with residential uses on upper floors.

The project site measures 0.176 acres in size. As such, when applying the maximum allowable density of 110 units per acre, the maximum number of units that could be permitted on the site is 19.36. When calculating for a density bonus, State law requires that all fractions be rounded up to the next whole number. As such, under the current zoning and General Plan land use designations, the developers can propose up to 20 units on the site. By proposing to provide 15% of these units, or 3 total units, as affordable to very low-income households, the developers are entitled to a 50% density bonus under Density Bonus Law. A 50% density bonus above the base number of allowable units (20 units) equates to 30 total units. This total includes the three affordable units, as well as 27 units that may be offered at market-rate.

Pursuant to Hayward Municipal Code (HMC) Section 10-19.130, all applications for density bonuses require approval by the Planning Commission. Furthermore, pursuant to HMC

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Section 10-28.5.3.030, Major Site Plan Review is required for all projects creating more than 5,000 square feet of impervious surface area. The proposed plans feature 7,668 square feet of impervious surface, with the building footprint covering the entire lot. As such, Major Site Plan Review is also required and would be conducted by the Planning Commission concurrently with the review of the Density Bonus application.

Development Standards. For density bonus projects that offer 15% of units affordable to very low-income households, the City is required to grant up to three incentives/concessions that result in identifiable and actual cost reductions for the project. Furthermore, the City must also grant any waivers, or reductions in any development standards, that would physically prevent the project from being built at the allowable density of 30 units1.

At this time, the developers have not prepared complete plans for the project, so it is not possible to determine if the project complies with all the applicable development standards of the DT-MS District. For now, the only waiver they are anticipating requesting is an increase in the maximum allowable lot coverage from 95% to 100% in order to develop the entire site with the proposed building. This would be an example of a waiver of a development standard that the City would be required to grant under State Density Bonus law, since the developers could argue that a 95% lot coverage limit could physically prevent them from being able to build the 30 units that they are permitted through the Density Bonus. Currently, the developers intend to comply with all other applicable development standards of the DT-MS District without requiring any additional waivers.

With regard to parking, under Density Bonus Law, for projects that offer 15% of the units affordable to very low-income households and that are located within one-half mile of a major transit stop such as a BART station, the City can require up to 0.5 parking spaces per unit. For the proposed project, this would equate to 15 parking spaces. Currently, the developers are proposing to provide 29 spaces within an underground parking garage that would be accessed by an automated stacking system. As such, the project would exceed the minimum

0.5 space per unit parking requirement by providing nearly one parking space per unit.

However, the developers could request a reduction in the parking requirement by utilizing one of the three incentives/concessions they are entitled to on the grounds that they could realize real and identifiable cost reductions to the project by providing less or no parking. In such a scenario, the City would not be able to deny this type of request.

Affordable Housing. The proposed project would be subject to the City’s Affordable Housing Ordinance (AHO), and details of how the project would comply would be reviewed and evaluated through a formal process conducted by the City’s Housing Division if and when the developers decide to proceed with a formal development application.

The developers are considering providing 15% of the units (or three total units) as affordable to very low-income households. This would exceed the minimum requirements of the AHO, which requires that six percent of units in new residential rental projects be affordable, with

1 Note that the City is not required to waive or reduce any development standards that would cause a public health or safety problem, cause an environmental problem, harm a historical property, or be contrary to law.

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three percent affordable to low-income households and three percent affordable to very low- income households.

Questions for CEDC Members

Staff and the project developers are interested in obtaining feedback from the CEDC regarding the proposal and offer the following questions for discussion:

1. Does the CEDC have any initial reactions to the mixed-use development concept at this location?

2. Is there a specific type of retail/commercial use that the CEDC would like to see as potentially occupying the proposed commercial space?

3. Are there any other features that the CEDC would like the developers to consider incorporating into the project?

NEXT STEPS

Following feedback from the CEDC, the developers will decide if they want to continue moving forward with a formal development application.. If they do, at a minimum, the proposal will require submittal of an application for Major Site Plan Review and a Density Bonus which will require review and approval by the Planning Commission.

Prepared by: Sara Buizer, Deputy Development Services Director

Recommended by: Jennifer Ott, Assistant City Manager/Development Services Director Paul Nguyen, Economic Development Manager

Approved by:

_________________________________
Kelly McAdoo, City Manager

Development at Main & B Hayward
ED Preliminary Concept Review
May 26, 2022
Attachment II
Executive Summary
The corner of Main & B will be the future home
of a premium, 6-story mixed use development.

The ground floor will consist of retail and
parking followed by five floors of residential, all
capped by a rooftop deck, showcasing
breathtaking views of downtown Hayward and
beyond. Our goal is to deliver a cornerstone
property worthy of this central location in the
rapidly developing downtown sector.

Intro to Proponents

Dave Waite:

Mike Nelson:

Chris Music:

Toby Long, AIA NCARB:

Toby Long, AIA NCARB, is a licensed architect with more than 25 years of experience in the design and construction of unique and sustainable prefabricated building projects. After graduating from the Rhode Island School of Design, he began his professional career in California, starting his practice in 1998. Within a few years, he and his firm were specializing in offsite and prefabricated building methodologies, which launched CleverHomes, and set the trajectory of his career and established the expertise of his studio.

The CleverHomes brand is built around an integrated system of design, fabrication, and construction. Toby and his team design and coordinate unique prefab and modular construction projects that span residential, institutional, and mixed-use buildings.

Overview of Existing Conditions

The site is located at the Northwest corner of Main & B and is within the City of Hayward Downtown Specific Plan (DTSP) area. The lot is 7,668 sf. Frontage on B Street measures 108ft and frontage along Main Street measures 71ft. There are no existing structures on the site due to a fire in the past. There are 3 large street trees along the frontages of the site; one along Main Street and two along B Street. To the North of the lot is a 10ft wide perpetual right of way currently used as an alley way access to parking for the building to the north.

To the west is a 22ft city alley way that extends through the block.

The two intersect on the Northwest corner of the site.

Overview of Proposed Concept

Overview of Proposed Concept
The proposed project consists of removing the existing building pads and basement of the former buildings. Access to the internal parking stacker systems is proposed to be from the alleyway on the West side of the site. The main entry for the residential units is proposed on the Northeast of the Main Street frontage.

Shopfront commercial uses are proposed to wrap the corner at Main & B to the DTSP required 40ft shopfront depth from Main Street. Floors 2-6 consist of 30 residential apartments including 10 one-bedroom and 20 two-bedroom units. A large rooftop amenity space is proposed above level 6. Per the DTSP affordable units are required to be 3% low income and 3% very low income of a total of 6% affordable units. The project proposes 15% very low income in place of the 3% low and 3% very low required by Section 10-17.215. Affordable units are proposed as being distributed throughout the building and of comparable size and quality to the market rate units. Per Article 29, 15% Very Low Income units allows for 3 concessions and a parking reduction from DTSP requirement of 1 space per unit to 0.5 spaces per bedroom. The waiver currently proposed for the project is for 100% lot coverage instead of a 95% lot coverage required by the DTSP. No concessions are proposed as this time. The project reserves the right to apply up to 3 concessions and a greater number of waivers in the future permitting phases as allowed by state bonus density law mentioned above.

The project team looks forward to working with you and the department to bring this landmark building to the City of Hayward on the prominent corner of Main and B.

PREVIOUS PROPOSAL

REVISED PROPOSAL

Questions for CEDC

Questions for CEDC
Is there anything in particular that the downtown area
could use from a retail standpoint?

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: RPT 22-059
DATE: May 26, 2022
TO: Council Economic Development Committee
FROM: Economic Development Manager

SUBJECT
Update on COVID-19 Economic Recovery Restaurant Relaunch and Restore and Reopen Grant Programs

RECOMMENDATION
That the Council Economic Development Committee receives an update on the American Rescue Plan Act (ARPA) funded COVID-19 Economic Recovery Restaurant Relaunch and Restore and Reopen Façade Improvement Grant Programs.

SUMMARY
As part of the City of Hayward COVID-19 Economic Recovery efforts, $250,000 was allocated from ARPA funding to implement the Restaurant Relaunch Grant Program and $200,000 to implement the Restore and Reopen Façade Improvement Grant Program. This report provides a summary of the two grant programs and provides members of the Council Economic Development Committee (CEDC) with a progress update.

ATTACHMENTS
Attachment I Staff Report
CITY OF HAYWARD Printed on 5/20/2022Page 1 of 1
powered by Legistar™

Page 1 of 4 ends

DATE: May 26, 2022

TO: Council Economic Development Committee

FROM: Economic Development Manager

SUBJECT: Update on COVID-19 Economic Recovery Restaurant Relaunch and Restore and Reopen Grant Programs

RECOMMENDATION

That the Council Economic Development Committee receives an update on the American Rescue Plan Act (ARPA) funded COVID-19 Economic Recovery Restaurant Relaunch and Restore and Reopen Façade Improvement Grant Programs.

SUMMARY

As part of the City of Hayward COVID-19 Economic Recovery efforts, $250,000 was allocated from ARPA funding to implement the Restaurant Relaunch Grant Program and $200,000 to implement the Restore and Reopen Façade Improvement Grant Program. This report provides a summary of the two grant programs and provides members of the Council Economic Development Committee (CEDC) with a progress update.

BACKGROUND

ARPA, also known as the COVID-19 Stimulus Package, included over $65 billion in direct federal relief to cities in order to address the economic and fiscal impacts of the COVID crisis and to assist in the recovery of local communities. The City of Hayward received approximately $38 million in local relief from the federal government to address the internal and external needs of the City associated with the COVID crisis. Approximately $2 million has been allocated towards Economic Recovery efforts to support local businesses.

In June 2021, the CEDC reviewed the nine Economic Recovery programs to be implemented over 3 years to assist businesses adapt to the new changing economy. The nine adopted programs include: Hayward Open For Business Marketing Campaign, Together for Hayward Gift Card Program, Small Business Assistance Grant Program, Restaurant Relaunch Program, Façade Improvement Program, Get Digital Program, Hire Hayward Program, Earn and Learn Program, and the Tuition Assistance Program. Of the allocated $2 Million, $250,000 was designated for the Restaurant Relaunch Grant Program and $200,000 for the Restore and Reopen Façade Improvement Program.

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DISCUSSION

ARPA Restaurant Relaunch Grant Program

As one part of the larger COVID-19 Economic Recovery program, a total of $250,000 was allocated for the Restaurant Relaunch Grant Program. This program is designed to create and enhance permanent and temporary parklets for outdoor dining, improve the exterior appearance of restaurants, reconfigure interior space to meet modern customer expectations and other improvements on an as needed basis for the participating businesses. The grant funds could assist with the purchase of furniture, outdoor heaters, umbrellas, landscape planters and other needed items. Businesses participating in the program can receive grants starting at $10,000 that increase based on the needs of the business, the extent of the project proposed, and commitment of matching funds.

In order for a restaurant to qualify to participate in the program, the business must have been in operation at least 5 years, have no current Code Enforcement violations, and have an active, current business license.

ARPA Restore and Reopen Grant Program

The City of Hayward has a long history of offering façade assistance to businesses to help improve the visual presence. The Restore and Reopen Grant program allocates dollars that could be used for grants to assist businesses along the major commercial corridors. The funds could be used for repairs and exterior improvements including lighting, signage, windows, signs and related city permit fees. This program would help to combat blight and activates older dilapidated centers. Businesses participating in the program can receive grants starting at $5,000 and will increase based on the needs of the business and the extent of the project proposed.

In order for a business to qualify to participate in the program, the business must have no current Code Enforcement violations and must have an active, current business license.

Architectural Bench and Project Management

Economic Development staff understands that in order for these two programs to have a maximum positive impact for the participating businesses, while also improving the look and feel of the City’s commercial corridors, some professional design assistance would be needed.

In January, the Economic Development Division released a Request for Proposals with the intent to create a bench of available architectural firms that would be available to work with the participating businesses to create designs, obtain needed permits, identify contractors to complete the work and manage the construction process. Four firms responded to the RFP and are under contract with the City of Hayward to provide these services. At the May 26 CEDC meeting, staff has invited one of the architecture firms to provide a brief presentation on the aesthetic goals that the program seeks to create. Approved projects will meet the

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businesses needs for post-pandemic layouts, while incorporating elements of modern, bold and impactful design.

As businesses are selected to participate in the program, a project proposal is sent to each of the firms to bid on the design and project management of the project. Once selected, the architectural firm will meet with the business to identify the needed improvements and move the project forward. The cost of the architectural services is paid for by the City using the ARPA funds.

Application Period

On February 4, 2022, Economic Development staff opened the application period for both of these programs. Emails were sent to all restaurants and retailers in which the city had an email, as well as articles in The Stack newsletter, and the Chamber of Commerce newsletter. A business had to request an application be sent to them rather than an open link on the City’s website. This process allowed staff to clarify the program with the follow up email that the grant is only for making physical improvements to the business. This program is different than the previous Small Business Assistance Grants, which covered items such as inventory and utility costs. A total of 64 applications were requested, and 21 applications were returned requesting participation. The application period closed on May 5, 2022.

While not required, the application did ask if the business would be willing to put up any matching dollars towards the improvements to assist with the project. This information will be used to help prioritize those project that receive funding as not all applications will be able to be assisted through the program. Other key selection criteria include geographic distribution of the awardees, prioritizing legacy businesses, and ethnicity and ownership characteristics of business-owners.

Next Steps

Staff are reviewing the applications and will be selecting restaurants to participate in the Restaurant Relaunch program and Restore and Reopen program. Once the initial selection is made based on meeting the program criteria staff will send out project bid notifications to the architectural bench to begin the design process. It is anticipated that 8 – 10 businesses will be served under each program.

ECONOMIC IMPACT

The dollars offered under these two programs allow these small businesses to make necessary improvements to continue to attract customers to their places of business. In addition, the additional service of the architect and project manager allows the small business owners to focus on running their business rather than diverting their attention to the construction projects.

FISCAL IMPACT

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The funds used for both grant programs are allocated through Federal dollars the City has received through the ARPA program. No General Fund dollars are used for the grants. The only fiscal impact for the City is the staff time needed to implement the program which includes business outreach, processing and selection of applications, coordination with the bench of architects, verification of completed work and receipts, and issuing payments.

Prepared by: Catherine Ralston, Economic Development Specialist

Recommended by: Paul Nguyen, Economic Development Manager Jennifer Off, Assistant City Manager

Approved by:

_________________________________
Kelly McAdoo, City Manager

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: RPT 22-056
DATE: May 26, 2022
TO: Council Economic Development Committee
FROM: Assistant City Manager

SUBJECT
Future Meeting Topics as of May 26, 2022

RECOMMENDATION
That Committee members review and comment on the attached Future Meeting Topics.

ATTACHMENTS
Attachment I Future Meeting Topics as of May 26, 2022
CITY OF HAYWARD Printed on 5/20/2022Page 1 of 1
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Council Economic Development Committee
Future Meeting Topics as of
May 26, 2022

RESPONSIBLE
STAFF

FUTURE MEETING AGENDA ITEMS

PRESENTATION
DATE*
Economic
Development

Economic Impacts of COVID-19 & Trends Standing Item
Economic
Development &
Planning Staff
Review of Select Policies Impacting
Businesses:

Update to the Alcohol Beverage Outlet Ordinance June 2022 Economic
Development

Approval of CEDC Regular Meeting Schedule July 2022
Economic
Development
Informational Report on Publicly Available Art
in the City of Hayward July 2022
Economic
Development
Report from the Downtown Hayward
Improvement Association (DHIA) 2022
Economic
Development
Hayward Upward Economic Recovery Plan
Update: Open for Business Marketing
Initiative September 2022
Public Works/
Information
Technology
Update on City Fiber/Broadband Initiatives
(Following update to CIC)
2022
Economic
Development
Impact of Cannabis Industry on Economic
Development* 2022
Planning
Staff
Update on Status of Issued Cannabis
Permits 2022
Economic
Development
Economic Development Division Staffing
Capacity Analysis 2022
*Subject to change and data availability

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