Attachment 1 - CC Staff Report.pdf — Rialto City Council, September 26, 2023

City of Rialto
Legislation Details (With Text)
File #: Version: 122-669 Name:

Status:Type: Public Hearing Adopted
File created: In control:7/14/2022 City Council
On agenda: Final action:7/26/2022 7/26/2022
Title: Request City Council Conduct a Public Hearing to consider (1) Specific Plan Amendment No. 2021- 0002, a request to change the land use designation of approximately 6.02 gross acres of land from Corporate Center (CC) to Business Center (BC) within the Renaissance Specific Plan, (2) Conditional Development Permit No. 2021-0011, a request to allow the development and operation of a 116,060 square foot industrial warehouse building on approximately 6.02 gross acres of land, (3) Precise Plan of Design No. 2021-0063, a request to allow the development of a 116,060 square foot industrial warehouse building on approximately 6.02 gross acres of land, and (4) an Addendum to the June 2016 Renaissance Specific Plan Amendment Subsequent Environmental Impact Report (Environmental Assessment Review No. 2021-0059) prepared for the project, in accordance with the California Environmental Quality Act (CEQA). The project site is located at the northwest corner of Renaissance Parkway and Locust Avenue.
(ACTION)
Sponsors:

Indexes:

Code sections:

Attachments: 1. 22-669 - Presentation, 2. Exhibit A - Location Map, 3. Exhibit B - Specific Plan Amendment Exhibit,

4. Exhibit C - Site Plan, 5. Exhibit D - Floor Plan, 6. Exhibit E - Elevations, 7. Exhibit F - Preliminary Landscape Plan, 8. Exhibit G - EIR Addendum, 9. Exhibit H - Traffic Analysis, 10. Exhibit I - Planning Commission Resolution No. 2022-31, 11. Exhibit J - Draft Resolution of Approval for EAR No. 2021- 0059, 12. Exhibit K - Draft Resolution of Approval for SPA No. 2021-0002, 13. Exhibit L - Legal Description, 14. Exhibit M - Draft Resolution of Approval for CDP No. 2021-0048, 15. Exhibit N - Draft Resolution of Approval for PPD No. 2021-0063, 16. Exhibit O - Draft Resolution of Denial Action ByDate Action ResultVer.

City Council7/26/2022 1
For City Council Meeting [July 26, 2022]
TO: Honorable Mayor and City Council
APPROVAL: Arron Brown, Deputy City Manager
FROM: Paul Gonzales, Community Development Manager
Request City Council Conduct a Public Hearing to consider (1) Specific Plan Amendment No. 2021 -0002, a request to change the land use designation of approximately 6.02 gross acres of land from Corporate Center (CC) to Business Center (BC) within the Renaissance Specific Plan, (2) Conditional Development Permit No. 2021-0011, a request to allow the development and operation of a 116,060 square foot industrial warehouse building on approximately 6.02 gross acres of land, (3) Precise Plan of Design No. 2021-0063, a request to allow the development of a 116,060 square foot industrial warehouse building on approximately 6.02 gross acres of land, and (4) an Addendum to the June 2016 Renaissance Specific Plan Amendment Subsequent Environmental Impact Report (Environmental Assessment Review No. 2021-0059) prepared for the project, in accordance with the California Environmental Quality Act (CEQA). The project site is located at the City of Rialto Printed on 9/12/2023Page 1 of 11
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accordance with the California Environmental Quality Act (CEQA). The project site is located at the northwest corner of Renaissance Parkway and Locust Avenue. (ACTION)
APPLICANT:

Orbis Real Estate Partners, LLC, 280 Newport Center Drive, Suite 240, Newport Beach, CA 92660.

LOCATION:

The project site consists of two (2) parcels of land (APNs: 0240-211-25 & -26) located on the northwest corner of Renaissance Parkway and Locust Avenue (Refer to the attached Location Map ( Exhibit A)).

BACKGROUND:

Surrounding General Plan Land Use Designations
Location General Plan Designation
Site Specific Plan with a Specific Plan Overlay (Renaissance SP) North Freeway/Highway
East Specific Plan with a Specific Plan Overlay (Renaissance SP) South Specific Plan with a Specific Plan Overlay (Renaissance SP) West Specific Plan with a Specific Plan Overlay (Renaissance SP) Surrounding Zoning Designations
Location Zoning
Site Corporate Center (CC)
North Freeway/Highway
East Corporate Center (CC)
South Business Center (BC)
West Business Center (BC)
Site Characteristics
The project site is comprised of two (2) parcels that are relatively flat and generally rectangularly- shaped. The total site area for the project is approximately 6.02 acres in size with approximate dimensions of 440 feet (north-south) by 590 feet (east-west). The project site is bound on the east by Locust Avenue and on the south by Renaissance Parkway. The property is vacant and covered by natural grasses and shrubs.

Surrounding Area
To the north of the project site is the SR-210 Freeway, and to the east, across Locust Avenue, is a Southern California Edison electrical substation and approximately 13.13 acres of vacant land. To the south, across Renaissance Parkway, is a 927,696 square foot industrial warehouse building occupied by Distribution Alternatives, a third-party distributor and fulfillment services provider, and to the west is approximately 6.94 acres of land currently being developed for a 135,408 square foot industrial warehouse building.

ANALYSIS/DISCUSSION:

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Project Proposal
The applicant, Orbis Real Estate Partners, LLC, proposes to change the land use designation of the project site from Corporate Center (CC) to Business Center (BC) within the Renaissance Specific Plan, consolidate the project site’stwo (2) parcels of land into one (1) parcel totaling approximately

6.02 net acres of land, and construct a 116,060 square foot industrial storage warehouse/distribution center building on the new parcel. There is no proposed tenant for the new building at this time, but the design of the building will accommodate various warehouse uses.

Entitlement Requirements
The following entitlements are required for the applicant’s proposal:
· Specific Plan Amendment: The requested change of the land use designation of the project site from Corporate Center (CC) to Business Center (BC) within the Renaissance Specific Plan (RSP) requires the approval of an amendment to the RSP. · Lot Merger: The requested lot merge of the two (2) parcels of land into one (1) parcel of land requires the approval of a Lot Line Adjustment application. · Conditional Development Permit: The development and operation of an industrial warehouse building within the BC land use designation of the Renaissance Specific Plan requires the approval of a Conditional Development Permit.
· Precise Plan of Design: The design of the development and the related site improvements (e.g. building exterior, landscaping, etc.) requires the approval of a Precise Plan of Design.

Specific Plan Amendment No. 2021-0002
According to Figure 2-2 (Land Use Diagram) of the Renaissance Specific Plan, the project site has a land use designation of CC, and, per Table 3-2 (General Permitted Uses) of the Renaissance Specific Plan, industrial storage warehouse/distribution center developments are not permitted within the CC land use area. Thus, the current land use designation does not accommodate the proposed development. The applicant filed a specific plan amendment application to change the land use designation of the project site to BC to accommodate the proposed use.

The BC land use designation and the applicant’s development proposal are consistent with the surrounding land use designations and land uses. For example, as shown in the attached zoning exhibit (Exhibit B), the lands immediately to the south and west of the project site are similarly designated BC and developed with industrial warehouse buildings. Additionally, the project site has remained vacant despite maintaining the CC land use designation for 12 years, and the Renaissance Specific Plan has yet to see development in any of the areas designated CC.

Lot Merger
The applicant filed Lot Line Adjustment No. 2021-0014 for the merger of the two (2) parcels the project site into one (1) 6.02 net acre parcel of land. According to Table 3-5 (Development Standards - Business and Commercial Uses) of the Renaissance Specific Plan, the BC land use designation requires a minimum lot size of 1.0 acre. The proposed parcel exceeds the minimum lot size requirement of the BC land use designation. Lot Line Adjustment No. 2021-0014 does not require Planning Commission or City Council action. The Community Development Department will process Lot Line Adjustment No. 2021-0014 upon completion of the entitlement process.

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Site Design
As shown on the site plan (Exhibit C), the applicant proposes to construct a 116,060 square foot industrial warehouse building in the center of the project site. The site includes an enclosed truck court on the south side of the building and passenger vehicle parking areas along the east, south, and west of the building. The truck court will accommodate a maximum of twelve (12) trucks and trailers and ninety-six (96) passenger vehicle spaces.

There are two (2) driveways proposed on Renaissance Parkway for access, a sixty (60) foot wide shared driveway at the west end of the project site and a forty (40) foot wide driveway on Renaissance Parkway near the center of the project site. The driveway will provide right-in/right-out access for trucks and passenger vehicles. Additionally, a thirty-two (32) foot wide driveway on Locust Avenue will provide full access for passenger vehicles only.

Other proposed on-site improvements include paving, lighting, landscape planters throughout the site, concrete screen walls around the truck court, and an underground infiltration basin within the landscape setback along Renaissance Parkway.

Floor Plan
The proposed building floor plan (Exhibit D) indicates that the building will consist of 8,500 square feet of office space and 107,560 square feet of warehouse space. The office space will potentially occupy either the southwest corner of the building or the southeast corner of the building and will have 4,000 square feet of office space on the ground floor and 4,500 square feet on a second-floor mezzanine. The south side of the building will have twelve (12) dock high loading doors and two (2) grade level roll-up doors. The applicant will place the main entrance to the building on the south side of the office space, along with secondary/emergency exits distributed amongst all four (4) sides of the building.

Architectural Design
The proposed building will feature significant vertical and horizontal wall plane articulation in the form of projected wall panels and panel height variations on all four (4) sides of each building. As shown on the elevations (Exhibit E), the building height ranges from 43 feet to 47 feet from the finished floor level. The exterior of the building will be concrete tilt-up wall construction painted with five (5) colors - white, various gray tones, and blue accents. Other architectural features of the building include reveals, metal brow accents, and glazing.

Parking
The development will include 96 auto-parking spaces, including six (6) ADA accessible parking spaces. This quantity exceeds the minimum parking requirement as shown in the parking calculation chart below and as required by Table 3-6 (Parking Standards) of the Renaissance Specific Plan:

Type of Use Floor Area
(square
feet)
Parking
Ratio
Number of
spaces
required
Office Warehouse 8,500 1 / 250 34
Floor area up to 40,000 square feet
Floor area 40,001 square feet or more
40,000
67,560
1 / 1,000 1 /
4,000
40 17
Total Required/Total Provided 91/96
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Type of Use Floor Area
(square
feet)
Parking
Ratio
Number of
spaces
required
Office Warehouse 8,500 1 / 250 34
Floor area up to 40,000 square feet
Floor area 40,001 square feet or more
40,000
67,560
1 / 1,000 1 /
4,000
40 17
Total Required/Total Provided 91/96
Landscaping
The proposed landscape coverage for the project is 19.3 percent and exceeds the minimum required

10.0 percent landscape. This includes a twenty-five (25) foot landscape setback and a ten (10) foot landscape easement along Renaissance Parkway and planters around the perimeter of the building and project site. All the landscape planters will feature a variety of trees spaced every thirty (30) linear feet and an abundant number of shrubs and groundcover (Exhibit F).

Floor Area Ratio
Per Table 3-5 (Development Standards - Business and Commercial Uses) of the Renaissance Specific Plan, the maximum allowable Floor Area Ratio (FAR) for parcels between 5.0 acres and 10.0 acres within the BC zone is 50.0 percent. The FAR proposed for the project is 44.2 percent, which is well within the allowable limit.

Land Use Compatibility
The project is consistent with the BC land use district proposed by the applicant and the design criteria contained within the Renaissance Specific Plan and Chapter 18.112 (Indoor Storage Facilities) of the Rialto Municipal Code, including, but not limited to, requirements pertaining to landscape setbacks, building height, floor area ratio, parking, screening, etc. The nearby area is predominantly designated for and developed with industrial uses, and as a result, there are no sensitive land uses near the project site. The project will be a benefit to the community and an improvement to the surrounding area.

Fiscal Analysis
Prior to completion of the project, the applicant will be required to pay plan check, permit, and development impact fees to the City. Additionally, the project will generate annual recurring revenues to the City General Fund in the form of property taxes, utility taxes, and business license taxes.

Furthermore, the project will generate approximately 85 to 100 jobs, increasing employment opportunities for City of Rialto residents. Not only will the project provide additional employment opportunities for City of Rialto residents, but it will also result in employees spending their discretionary income as they frequent local restaurants, gas stations, and other local businesses.

ENVIRONMENTAL IMPACT:

California Environmental Quality Act
The applicant engaged Applied Planning, Inc. to prepare an Addendum to the previously certified June 2016 Renaissance Specific Plan Amendment Subsequent Environmental Impact Report (EIR Addendum), in accordance with the provisions of the California Environmental Quality Act (CEQA), the State CEQA Guidelines, and the rules, regulations, and procedures for implementing CEQA as set forth by the City of Rialto. Section 15164(a) of the State CEQA Guidelines states that “thelead agency or a responsible agency shall prepare an addendum to a previously certified EIR if some changes or additions are necessary but none of the conditions described in Section 15162 calling for preparation of a subsequent EIR have occurred.”
The purpose of the EIR Addendum is to analyze any potential differences between the impacts identified in the June 2016 Renaissance Specific Plan Amendment Subsequent Environmental City of Rialto Printed on 9/12/2023Page 5 of 11
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identified in the June 2016 Renaissance Specific Plan Amendment Subsequent Environmental Impact Report (2016 RSPA SEIR) and those that would be associated with the proposed Project.

Pursuant to provisions of CEQA and State CEQA Guidelines, the City is the Lead Agency charged with the responsibility of deciding whether to approve development on the Project site. As detailed in the EIR Addendum, the proposed Project would result in no new significant impacts that were not analyzed in the 2016 RSPA SEIR, nor would the proposed Project cause a substantial increase in the severity of any previously identified environmental impacts. The potential impacts associated with proposed Project would either be the same or less than those described in the 2016 RSPA SEIR. In addition, there are no substantial changes to the circumstances under which the proposed Project would be undertaken that would result in new or more severe environmental impacts than previously addressed in the 2016 RSPA SEIR, nor has any new information regarding the potential for new or more severe significant environmental impacts been identified. The EIR Addendum to the 2016 RSPA SEIR is attached to the agenda report (Exhibit G).

Air Quality / Greenhouse Gas Emissions
Tables 3-1 through 3-4 and Table 8-1 within the EIR Addendum provide evidence that the project will not exceed any threshold or standard required by either the South Coast Air Quality Management District (SCAQMD) or the Rialto General Plan without the need for mitigation. Regardless, the project will incorporate all applicable Air Quality and Greenhouse Gas Emissions mitigation measures that were identified in the 2016 RSPA SEIR, including, but not limited to, measures pertaining to dust control and the use of properly maintained construction equipment and vehicles.

As indicated in the EIR Addendum, the project will not result in a significant impact as it relates to air quality and greenhouse gas emissions.

Traffic
Urban Crossroads, Inc. prepared a Traffic Analysis (TA), dated June 2022, to assess the project’s potential impacts to local streets and intersections (Exhibit H). The TA estimates that the project will generate up to approximately 422 actual daily vehicle trips (704 PCE daily vehicle trips) with 39 trips in the AM peak hour and 42 trips in the PM peak hour. Trucks will constitute up to 170 of the 481 actual daily vehicle trips. According to Figure 8 of the TA, trucks will not utilize Renaissance Parkway east of the project site, thereby avoiding conflicts with vehicle traffic at the Renaissance Marketplace.

The TA analyzed six (6) intersections in the project vicinity, as shown in the table below:

Traffic counts were collected at these intersections in December 2021. The counts revealed that all eight (8) intersections operate at Level of Service (LOS) D or better with existing traffic, which is City of Rialto Printed on 9/12/2023Page 6 of 11
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eight (8) intersections operate at Level of Service (LOS) D or better with existing traffic, which is considered acceptable by the Rialto General Plan. Under existing plus ambient growth and project generated traffic conditions all eight (8) intersections continue to operate at LOS D or better.

However, three (3) of the intersections are anticipated to operate at LOS F when the existing plus ambient and project generated traffic volumes are combined with cumulative growth without any mitigation. The specific intersections are (1) Alder Avenue & SR-210 Westbound, (2) Alder Avenue & SR-210 Eastbound, and (3) Alder Avenue & Renaissance Parkway. The TA recommends various improvements to mitigate potential traffic impacts to these intersections. The recommended improvements consist of restriping existing right-of-way to create additional travel lanes and constructing new turn lanes through the expansion of right-of-way. According to the TA, each of the three (3) deficient intersections will operate at an acceptable level of service (LOS D or better) with implementation of the recommended improvements.

The TA concluded that the payment of “fair share” fees for the recommended improvements constitutes adequate mitigation. The applicant will be responsible for fair share payments in the amount of $228,145. The fair share fees are calculated based upon the project’santicipated portion of traffic generated at each of the affected intersections. Specifically, the applicant is responsible for

1.6% ($66,712) of the cost of improvements necessary for Alder Avenue & SR-210 Westbound Ramps, 1.7% ($70,148) of the cost of improvements necessary for Alder Avenue & SR-210 Eastbound Ramps, and 2.2% ($91,286) of the cost of improvements necessary for Alder Avenue & Renaissance Parkway.

The Transportation Commission reviewed and approved the TA on June 6, 2022. In its decision, the Transportation Commission agreed with the findings and recommended “fair-share”mitigation in the TA.

If approved, half-width street improvements along the entire project frontages of Renaissance Parkway and Locust Avenue will be constructed. Additionally, the applicant will pay development impact fees related to traffic. All street improvements, “fair-share”payments, and development impact fee payments, must be paid and/or completed prior to final inspection and occupancy.

GENERAL PLAN CONSISTENCY:

The General Plan land use designation of the site is Specific Plan with a Specific Plan Overlay. This designation requires the underlying Specific Plan to establish distinct land use designations within the Specific Plan itself. According to Table 3-1 (Land Use Categories) and Table 3-2 (General Permitted Uses) of the Renaissance Specific Plan, industrial warehouse uses, such as the project, are consistent with the proposed BC land use designation. Furthermore, the project is consistent with the following goals of the Land Use Element and Economic Development Element of the Rialto General Plan:

Goal 2-16: Improve the architectural and design quality of development in Rialto.

Goal 2-22: Promote commercial and/or industrial development that is well designed, people- oriented, environmentally sustainable, sensitive to the needs of the visitor or resident, and functionally efficient for its purpose.

Goal 3-1: Strengthen and diversify the economic base and employment opportunities, and maintain a positive business climate.

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PLANNING COMMISSION ACTION:

On June 29, 2022, the Planning Commission considered the project during a regularly scheduled public meeting. During the meeting, the Planning Division presented the project and recommended that the Planning Commission recommend approval of the project to the City Council. The Planning Division’s recommendation was based upon, but not limited to, the following conclusions:
· The project is consistent with the land use designations and existing industrial developments that surround the project site.
· The design of the project meets or exceeds the requirements of Chapter 18.112 (Indoor Storage Facilities) of the Rialto Municipal Code.
· The project’sEIR Addendum demonstrated that the project will not have an adverse impact on the environment, particularly with respect to air quality and transportation/traffic.

After closing the public hearing, the Planning Commission voted 3-2 (1 absence and 1 vacancy) to adopt Planning Commission Resolution No. 2022-31 recommending that the City Council deny the project. In its decision, the Planning Commission cited concerns related to increased truck traffic, air pollution impacts, and an over-proliferation of industrial warehouse buildings. A copy of the Planning Commission Resolution No. 2022-31 is attached as Exhibit I. As detailed in Planning Commission Resolution No. 2022-31, the Planning Commission determined that the project does not satisfy the following two (2) findings required by Section 18.78.060I of the Rialto Municipal Code, three (3) findings required by Section 18.66.020 of the Rialto Municipal Code, and one (1) finding required by Section 18.65.020E of the Rialto Municipal Code:
· Section 18.78.060I:

3. That the proposed Specific Plan Amendment results in development of desirable character, which will be compatible with existing and proposed development in the surrounding neighborhood; and.