Exhibit E
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Exhibit E
FIRST STREET NAPA PHASE II
PROJECT
DESCRIPTION
Project Overview
: Located
generally between Coombs and Brown Streets,
and
Pearl and 1
st
Streets, the First Street Napa Phase II Project (“
Project
”) is a mixed
-
use development project
consist
ing
of: (i) up to a maximum of 78 units of for sale market rate “branded residential” (described below) multifamily housing units (“
Market Rate Housing
”); (ii) a 6
-
story,
U
pper
U
pscale hotel with a maximum of 161 rooms (“
Hotel
”); and (iii) up to 30,000 s
quare
f
eet
of
commercial space that will be split into roughly two categories, a) uses
servin
g the
H
otel directly
(
for example,
restaurant/food and beverage
,
spa,
and other
incidental retail uses); and, b)
traditional commercial space which will be tenanted at a later date. The commercial space will be predominantly on the ground floor with some second/upper -
floor space occupied. The
following actions are requested to achiev
e this legacy project:
•
Planned Development Overlay District (PD)
:
To e
stablish
P
roject
-
specific development
regulations
and processes
for the proposed buildings and site
improvements, including public
improvements, that also includes site specific Development Guidelines
(“
Guidelines
”)
establishing the requirements for Building
and Landscape
Architecture, site and public
plaza/use area
design
.
•
Zoning Map Amendment
:
T
o designate the Property PD
.
•
Specific Plan
Entertainment Zone Map Amendment
:
T
o include the entirety of the Property.
•
Tentative Parcel Map
:
To r
econfigur
e
7 parcels into 5 parcels for financing purposes as well as residential condominium sales purposes.
•
Development Agreement
:
To e
stablish the entitlement approvals discussed in the above bullet
points
that specify the duration of the agreement, the permitted uses of the property, the density or intensity of use, the maximum height and size of proposed buildings, provisions for reservation or dedication of land for public purposes, conditions, terms, re strictions, and
requirements for subsequent discretionary actions, and terms and conditions relating to applicant financing of necessary public facilities, be
nefits and/or improvements, and
subsequent reimbursement over time.
Site History
: The site is located in downtown Napa’s commercial core. I n 1970, the City of Napa’s
application for the Neighborhood Development Program was approved and funded by the U.S.
Department of Urban Development, setting the wheels in motion for the first major phase of redevelopment, which included the First Street be
autification project, Brown Street Mall, another
new downtown shopping mall, parking garages, new department stores (Mervyns and Carithers), and a one
-
time public art program. This eff
ort led to the demise of some historic downtown
commercial buildings, including the construction of a controversial clock tower and plaza on First Street to replace the Migliavacca Building (1905, demolished 1973), and the demolition of the Behlow Building
(1900, demolished 1977) to make way for a new parking garage. Building permits from the 1970s are also on record for the demolition of a handful of buildings on Pearl Street to make way for a parking lot.
The devasting loss of these historic buildings and their replacement with the current buildings, including underutilized Dwight Murry Plaza and Brown Street corridor, provides the backdrop and opportunity for the First Street Napa Phase II Project to “re -
i
magine” this key location within the
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Downtown. In addition, the severing of the historic grid pattern, so important to the success of a vital commercial downtown, resulted in an unclear and confusing pedestrian pattern including a lack of visibility from primary public rights
-
of
-
way. The Pro
ject will create a sense of place and
provide new opportunities to restore and reinvigorate this central hub of D
owntown by restoring
the historic urban grid and relocating Dwight Murray Plaza into a new plaza roughly aligned with the former Clay Street.
Downtown Napa Specific Plan Town Center Focus Area
: The Downtown Napa Specific Plan
(DTSP
), adopted in 2012, covers the downtown core area between Jefferson Street and the Napa River and roughly between River Terrace Lane, Caymus Street, and Polk Street to the north and Third and Division Streets to the south. The plan established a vision for
downtown Napa in 2030,
featuring public spaces, attractive streets, shops and eateries, entertainment venues, public art, historic buildings, sustainable new buildings, and an array of housing options. Development capacity under the
DTSP
projected a net i
ncrease of 627 dwelling units, 303 hotel rooms,
approximately
109,000 square feet of retail space, and
approximately
471,000 square feet of
office uses on top of the existing (as of 2012) 125 dwelling units, 526 hotel rooms, 1.09 million square feet of retail and restaurant space, and 763,000 square feet of office space.
The Project is located on approximately 3 acres within a portion of the approximately 14 -
acre
Town Center Focus Area designated in the D
TSP
, located near the center of Downtown. The
Project area and adjacent Public Realm area are within the commercial “heart” of the city, bounded to the east by Main Street, to the south by First Street, to the west by Coombs Street and to the north by Pearl S
treet. The majority of the Focus Area is comp
ri
sed of the Napa Town
Center. The Project area and Public Realm area
make up most of the Focus Area east of Coombs
Street. The D
TSP
envisioned significant redevelopment within the Focus Area, stating:
These areas offer special opportunities to stimulate development and set the tone for future land use and development character in Downtown Napa. The three Focus Areas are the Town Center (and adjacent shopping area now named First Street Napa), CineDome (
and surrounding land), and former Copia property.
These areas differ from other areas within the Planning Area due to their size and character, land uses, vacancies, and location within the Downtown, and represent the highest concentration of opportunities for change. The Specific Plan provides descriptio
ns and diagrams for the Focus Areas, which represent potential development scenarios and concepts.
As discussed in great detail in the Guidelines and generally outlined above, the Project advances the City’s goals for the D
TSP
Town Center Focus Area.
Project Goals
: When completed, First Street Napa Phase II will achieve the following:
•
Restore the City right
-
of
-
way grid by recreating Clay Street through to Brown Street as a new
public
plaza and enhance Brown Street as a functional and vibrant pedestrian space.
•
Through proper site design and architectural details, create grand new buildings that respect the historic fabric previously removed as part of past
r
edevelopment
a
ctions.
•
Create active, functional, useable public spaces that integrate well with the two new buildings as well as with existing adjacent development.
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•
Activate this key location within the Downtown as identified by the DTSP Focus Area.
•
Generate roughly 50% more annual sales tax revenue realized by the City of Napa, from $259,000 to $380,000, generate new Transient Occupancy Tax of approximately $5.2 million per year, and generate roughly 6
-
times the annual property tax revenue to the Cit
y, from its
current level of approximately $100,000 annually to $600,000 annually.
•
Create jobs and revenue for the City of Napa.
•
Facilitate the creation of Housing and Affordable Housing within the Downtown.
Property
. The Project will be developed on the 1.94
-
acre parcels that includes the
former
Kohl’s
Department Store and other users located at 1106, 1116 and 1118 First Street, Napa, California, designated as Assessor’s Parcel Nos. 003
-
166
-
010,
003
-
166
-
013, 003
-
116
-
015, 003
-
166
-
016
(“
CS Parcel
”).; the approximately 0.7
5 -
acre property and the surface parking lot located at 1151 -
1199
Pearl Street in Napa, California, designated as Assessor’s Parcel Nos. 003 -
166
-
008 & 003
-
166
-
011 (“
Parking Lot Parcel
”) and the a
pproximately 0.1
8 acre property on First Street adjacent
to the CS Parcel known as the Dwight Murray Plaza, designated as Assessor’s Parcel Nos 003 -
166
-
017 (“
Dwight Murray Parcel
”). The Dwight Murray Parcel, the Parking Lot Parcel and the CS Parcel all together comprise approximately 2.8
7 acres of land and are referred to herein
collectively as the “
Property
”. Other Project improvements will occur within the Brown Street right -
of
-
way adjacent to the Property.
Use Description
: The Project is a dynamic housing, retail and upper
-
upscale hotel project
located in Downtown Napa’s most important and central public gathering area. The conceptual description of the key components of the Project, to be further clarified by the Parties
through the
negotiation and execution of a Development Agreement, is as follows:
•
Housing
:
Approximately 78 market
-
rate for sale condominium branded whole ownership
residential units totaling 198,000
s
quare
f
eet
(these units would be similar in use and function
to the branded Stanly Ranch Vineyard Homes). Branded whole ownership residential units are residential condominium units that may be occupied by the owner some or all of the time and also made available t
o the hotel’s short
-
term transient rental pool and are serviced by the
hotel. In addition to the on
-
site branded residential units, the
Development Agreement further
defines the terms and timing by which Developer will provide funding assistance to the affordable housing project proposed on property owned by the First United Methodist Church in downtown Napa and funding to the Affordable
Housing Trust Fund through payment of
additional Housing Impact Fees.
•
Commercial
: Approximately 30,000
s
quare
f
eet
of commercial space that will be split into
roughly two categories, a)
uses
serving the
H
otel directly (
for example,
restaurant/food and
beverage
,
spa,
and
incidental retail uses); and, b) traditional commercial space which will be tenanted at a later date. The commercial space will be predominantly on the ground floor of the two new buildings with some second/upper
-
floor space occupied primarily to serve th
e
residents and
H
otel patrons.
•
Hotel
: The planned hotel will be at a minimum an STR
-
rated
U
pper
U
pscale facility with
approximately 161 rooms and a gross total square footage of approximately 200,000 which includes 10,000
s
quare
f
eet
dedicated to Function and Event Space, 1,900
s
quare
f
eet
for an
outdoor terrace serving the Function and Event Space, and a
2,000
s
quare
f
oot
Fitness
Studio. The Hotel will also include amenities such as a restaurant on the ground floor and a ATTACHMENT 10
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rooftop patio and bar. These amenities may be operated as independent retail and commercial uses from the
H
otel.
•
Public Realm Improvements
: The Project will provide approximately 54,000
s
quare
f
eet
of
fully improved public open space including: re
placing
Dwight Murray Plaza
with
a paseo
between the two new
Market Rate Housing and Hotel
buildings; enhancing and integrating
the 9/11 Memorial Garden; executing the long
-
desired pedestrian improvements to the Brown
Street Corridor from 1
st
to Pearl Street; and, creating a public “drop
-
off” zone, that will double
as a valet service, within the parking lot on the east side of the P
roject site. Finally, the Project
will provide a mid
-
block crossing on Main Street between 1
st
and Pearl to better connect
pedestrians to the River
-
Walk access along the north side of Napa Creek.
The design and
benefits of these public realm improvements are described below and in the Guidelines.
Outdoor and Public Spaces
: The outdoor and public
spaces will include both raised and at
-
grade spaces facilitating a myriad of public and private uses. This will include spaces designed for active engagement and connections for pedestrians on public property on First Street and the former Brown Street cor
ridor. Programming includes the potential for public gatherings, traditional food and beverage sales, and for organized public and private events.
The Project will develop
a new public plaza (the “
New Plaz
a
”) of a size equal to or greater than
Dwight Murray Plaza
(approximately 0.18 acres) and in a location roughly aligned with the former Clay Street right -
of
-
way (to create visual connections for pedestrians from Coombs Street to the 9/11 Memorial Garden and the Opera House). The New Plaza will be a pedestrian -
ori
ented ADA
-
compliant
space with design elements for retail activation complimentary to First Street and public gathering opportunities that will include a public concourse running between the H
otel a
nd
Market Rate
Housing
buildings that will lead from the First Street Napa mall to the Brown Street Corridor. The former Brown Street corridor will be
improved
and designed to meaningfully engage the adjacent
public rights
-
of
-
way between the Project site, the 9/11 Memorial Garden, Main Street, Napa Creek and the surrounding downtown areas and Oxbow district.
This will transform the currently
underutilized space
s adjacent to the Creek into an extension of the
P
roject’s spaces for public
and private uses.
In addition to the public pedestrian amenities to be created and discussed above, the Project will also improve the parking lot on Main Street adjacent to the 9/11 Memorial Garden as a public rideshare/valet drop
-
off area. This circulation improvement will significantly aid in:
•
Decreasing Congestion and Traffic on First Street and Promoting Safety.
In high
-
traffic
locations with limited open curbside space, pick
-
ups and drop
-
offs can create safety concerns
for passengers and both safety issues and congestion for drivers and othe r street users such
as bicyclists and pedestrians.
The renovated drop
-
off area
will
reduce impact along First
Street by eliminating the existing lay
-
by lane adjacent to Dwight Murray Plaza and pushing
vehicular drop
-
off to the new arrival location.
Addit
ionally, by working with the
rideshare
operators to designate this as the preferred pick
-
up and drop
-
off zone, the new location will
mitigate congestion and improve accessibility, safety and efficiency for all users.
•
Improving Circulation and Efficiency Throughout
Downtown.
Consolidating drop
-
offs in a
redesigned location will contribute to better pedestrian and vehicular circulation and a more vibrant downtown area.
Together with the new Main Street pedestrian crossing, this drop -
off
area will enhance public access to downt
own and promote strong connectivity to public
gathering places, plazas, parks, and the Napa River, including linkages to Oxbow Commons and Oxbow Public Market.
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•
Providing New Sense of Arrival.
This redesigned and improved drop
-
off area, located along
the revitalized Brown Street corridor, will enhance the downtown arrival experience for locals and visitors.
Additionally, the public realm will be further improved through enhanced integration of
the existing 9/11 Memorial, and new Public Art flanking the opposite side of the drop
-
off area.
Parking
, Generally
: As detailed in Exhibit I of the Development Agreement
prior to the Effective
Date of the Development Agreement
, the City of Napa
was
obligated to provide a designated
number of non
-
exclusive parking spaces for retail uses conducted on the Kohl’s Parcel under the then
existing Kohl’s (formerly Mervyn’s) lease. The License Agreement require d
the City to
provide 419 non
-
exclusive parking spaces for the retail uses conducted on the Kohl’s site.
Currently, within the
area subject to the form
er License Agreement
“
Licensed Parking Area
”)
there are 3 surface lots and the Pearl Street Garage with a total of 513 parking spaces.
•
Pearl Street Garage
: The Pearl Street Garage contains 403 parking spaces. 145 of those spaces are exclusively licensed to
the
Archer hotel, leaving 258 spaces available.
•
Surface Parking
. There are 3 surface lots within the
Licensed Parking Area
with 109 spaces,
102 of these are required as part of the License Agreement. There are additional city -
owned
surface lots outside of the
Licensed Parking Area,
such as the 26
-
stall lot adjacent to Heritage
Park.
The 3 lots are:
1. The 51
-
stall parking lot to the rear of the CS parcel
, which
is being incorporated into the
project and will be the approximate location of 110 structured parking stalls within the residential building.
2. The 23
-
stall parking lot at the corner of Main and Pearl Street remains as parking.
3. The 35
-
stall parking lot on Main Street that will be converted to the City drop -
off area as a
Public Realm improvement as part of the Project implementation with approximately 10 parking stalls remaining.
Combined, under existing conditions the 109 surface lot spaces and the 258 available stalls (excluding the Archer spaces) in the Pearl Street Garage total 367 spaces, leaving the License Agreement with a 52
-
stall shortfall, but sufficient to meet the parki
ng demand for the existing uses
on the CS Parcel. With post
-
Project conditions, there would be approximately 33 surface stalls remaining in the Licensed Parking Areas for a total of 291 city -
stalls remaining in the Licensed
Parking Area, which is more than
sufficient to meet the Project demand as detailed below.
Project
Specific
Parking
:
110 parking stalls will be supplied in the Project’s residential structure and 129 stalls will be supplied in the Pearl Street garage or other parking facilities owned by the C
ity. The project requires 239 parking stalls for Project operations: 78 residential parking stalls parked at 1 space per residence; 129 parking stalls for the hotel parked at 0.8 spaces per room, which parks at the same rate as the Archer Hotel within the Pearl Street Garage; and an additional
32 flex spaces
for Project demands. The City shall not require any parking quantities above the Parking Requirements and Supply
and as contained in the
PD
for the Project.
Adding 129 exclusive stalls to Archer’s 140 exclusive spaces (269 stalls) leaves 143 stalls available in the Pearl Street Garage and approximately 33 surface lot stalls within the Licensed Parking Area and 26 stalls in the Heritage Park lot, for a total of
202 unrestricted stalls remaining.
If the City requests that the Project provide valet parking for non -
hotel visitors arriving at the new
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drop off, an additional 30 stalls should be reserved in the Pearl Street Garage for such non -
Project
valet operations.
Under the Development Agreement, before the Project is completed the Parties will negotiate and execute a “Parking Agreement” which will completely supersede and replace the existing License Agreement, including an accounting of total parking demand from t he Project and a
credit
for
historic parking allocated to uses on the Project
site
under the License Agreement.
Project Applications and Requested Approvals
. As described in more detail below, the Project
is applying for a Development Agreement, a Planned Development
(PD)
Overlay zoning district
implementing certain development standards generally consistent with the Downtown I Building Forms Standards and adopting project specific “Design Guidelines,” a Downtown Napa Specific Plan Amendment to amend the entertainment zone
to include the entirety of the Property, a
rezone of all parcels to PD, Tentative Parcel Map th
at includes the dedication of the
N
ew
P
laza
area, and adoption of an affordable Housing Alternative Equivalent. More specifically:
1. Development Agreement
.
Adoption of a Development Agreement pursuant to 65864
et seq.
of the Government Code and Municipal Code section 17.52.150 and Resolution No. 93 -
267
to establish certain conditions and requirements related to review and development of the Project.
2. Specific Plan Map Amendment/Rezones
.
Amend the entertainment zone to include the
entirety of the Property
in the entertainment zone and designate the Property as PD .
3. Planned Development Overlay
.
Rezone each parcel with a PD Overlay specific to this
proposed project. The PD Overlay will establish specific use provisions, intensity and density, maximum floor area, and maximum height, along with other development standards that will be required as p
art of the future design review for the Project.
The PD also establishes
Project
-
specific Design Guidelines
:
Design Guidelines have been prepared to facilitate
creating a blend of dense residential and commercial uses, plazas
and promenades, and
natural areas that will advance some of the key goals for the Downtown Napa Specific Plan Town Center Focus Area.
The First Street Napa Phase II Redevelopment Design Guidelines are site
-
specific and supersede the more general Downtown Napa Specific Plan Design Guidelines, Chapter 5, to guide and define the character of new development within the PD area within the Foc
us Area and implement the vision and goals of the Specific Plan.
4. Tentative Parcel Map
: Reconfigure 7 existing fee parcels into 3 fee parcels, 1 condominium parcel and 1 airspace parcel for a total of 5 parcels for financing, ownership and condominium property division purposes. The condominium parcel will contain 78 residential units and
up
to
32 commercial units
(that are affiliated with the hotel or other common areas).
5. Affordable Housing Alternative Equivalent
.
The Project will contribute approximately
$2,000,000 in
funding and will provide consulting services to the First United Methodist Church’s proposed development of an affordable housing and workforce project located off the Project site at the Church’s property in downtown Napa (“ Affordable Church Project
”).
This contribution will directly seed and facilitate the development of the Church’s multifamily workforce housing in downtown Napa in lieu of payment of affordable housing fees.
Developer will also cause additional payments to be made into the City’s Afford
able Housing
Trust Fund at the time of the first sale of the residential units in First Street Napa Phase II Redevelopment Project.
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