the neighborhoods of tustin town center: a new
Transcription
the neighborhoods of tustin town center: a new
THE NEIGHBORHOODS OF TUSTIN TOWN CENTER: A NEW BEGINNING A S T R A T E G I C G U I D E F O R D E V E L O P M E N T THE NEIGHBORHOODS OF TUSTIN TOWN CENTER: A NEW BEGINNING A S T R A T E G I C G U I D E F O R D E V E L O P M E N T PREPARED BY FIELD PAOLI W ITH KEYS ER MARS TON AS S OCIAT ES AND AUS TIN-FOUS T AS S OCIAT ES PREPARED F OR THE CITY OF TUST I N THE T US TIN COMMUNITY REDEVELOPMENT AGEN CY 300 CENTENNIAL WAY TUSTIN, CA 92780 STRATEGIC GUIDE - SEPTEMBER 21, 2010 C re di t s an d Ackn owl ed g ements TUSTIN CITY COUNCIL AND TUSTIN COMMUNITY REDEVELOPMENT AGENCY BOARD MEMBERS Honorable Mayor Jerry Amante Honorable Mayor Pro Tem John Nielsen Honorable Councilmember Doug Davert Honorable Councilmember Jim Palmer Honorable Councilmember Deborah Gavello CONSULTANT TEAM Field Paoli Frank Fuller, FAIA, Principal Heidi Sokolowsky Jane Lin TUSTIN COMMUNITY REDEVELOPMENT AGENCY William A. Huston, City Manager Christine Shingleton, Assistant City Manager John Buchanan, RDA Program Manager Jerry Craig, RDA Program Manager Kimberly McAllen, RDA Project Manager Matt West, RDA Project Manager Sesar Morfin, Management Analyst Keyser Marston Gerald Trimble, Principal Michael Wong Reena Arvizu COMMUNITY DEVELOPMENT DEPARTMENT Elizabeth Binsack, Community Development Director Dana Ogdon, Assistant Community Development Director Justin Willkolm, Principal Planner Scott Reekstin, Senior Planner Austin Foust, Inc. Terri Austin, Principal Krys Saldivar PUBLIC WORKS DEPARTMENT Doug Stack, Public Works Director Doug Anderson, Transportation and Development Services Manager Benny Tenekan, Public Works Manager POLICE DEPARTMENT Scott Jordan, Chief of Police Captain Charlie Celano Captain Steve Lewis Lieutenant Paul Garaven (South Area Commander) Lieutenant John Strain (North Area Commander) PARKS AND RECREATION DEPARTMENT David Wilson, Parks and Recreation Director STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING v Ta b l e o f Con ten ts 1. I N T R O DUCTIO N 1.1 Executive Summary 1-1 1.2 Background 1-2 2. E X IST I NG C O NDITIO NS 2.1 2.2 2.3 2.4 Area Conditions 2.1.1 Physical Context 2.1.2 Area Market Conditions Summary 2-1 2-7 Center City Neighborhood 2.2.1 Existing Conditions 2.2.2 Summary of Market Demand Analysis 2.2.3 Constraints and Opportunities 2-13 2-16 2-17 Southern Gateway Neighborhood 2.3.1 Existing Conditions 2.3.2 Summary of Market Demand Analysis 2.3.3 Constraints and Opportunities 2-18 2-22 2-23 West Village Neighborhood 2.4.1 Existing Conditions 2.4.2 Summary of Market Demand Analysis 2.4.3 Constraints and Opportunities 2-25 2-28 2-28 3. C O M MUN ITY O UTR EACH P R OCES S 3.1 Summary of the Community Outreach Process 3-1 3.2 Workshop #1 Summary, Discussion and Feedback 3-1 3.3 Workshop #2 Summary, Discussion and Feedback 3-3 3.4 Planning Commission 3-5 3.5 City Council 3-5 STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING vii 4. N E I G H BO R HO O D CO NC E P T PLAN ALTERNATIVES AND O P P O RTUN ITY SITE S 4.1 4.2 4.3 4.4 An Overview 4.1.1 Overall Goals and Strategies for all Neighborhoods 4.1.2 Overview of Opportunity Sites 4-1 4-2 Center City Neighborhood 4.2.1 Concept Plan Alternatives 4.2.2 Opportunity Sites 4-4 4-10 Southern Gateway Neighborhood 4.3.1 Concept Plan Alternatives 4.3.2 Opportunity Sites 4-15 4-21 West Village Neighborhood 4.4.1 Concept Plan Alternatives 4.4.2 Opportunity Sites 4-27 4-32 5. T E S T I N G O F A LTE R NATIV E S AND KEY OPPORTUNITY S ITES 5.1 General Development Assumptions 5-1 5.2 Center City Neighborhood 5.2.1 Traffic Testing of Concept Plan Alternatives 5.2.2 Key Opportunity Site 3 5.2.2a Site Specific Development Assumptions for Site 3 5.2.2b Alternative Feasibility Analysis for Site 3 5-3 5-4 5-6 5-7 Southern Gateway Neighborhood 5.3.1 Traffic Testing of Concept Plan Alternatives 5.3.2 Key Opportunity Site 9 5.3.2a Site Specific Development Assumptions for Site 9 5.3.2b Alternative Feasibility Analysis for Site 9 5-9 5-11 5-13 5-14 West Village Neighborhood 5.4.1 Traffic Testing of Concept Plan Alternatives 5.4.2 Key Opportunity Site 12 5.4.2a Site Specific Development Assumptions for Site 12 5.4.2b Alternative Feasibility Analysis for Site 12 5-16 5-17 5-18 5-21 5.3 5.4 viii THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 6. P R E F E R R E D CO NC E P T P LA NS 6.1 Guidelines, Goals, and Strategies for All Neighborhoods 6.1.1 General Goals 6.1.2 General Site Design and Building Design Guidelines 6.1.3 Overlay Zoning Concept 6-1 6-2 6-10 6.2 Center City Preferred Concept Plan 6-11 6.3 Southern Gateway Preferred Concept Plan 6-14 6.4 West Village Preferred Concept Plan 6-17 7. I MP L E ME N TATIO N P L A N 7.1 Implementation Strategies and Tools 7.2 Potential Financing Mechanisms 7-1 7-14 A P P E N D IX A.1 A.2 A.3 A.4 A.5 A.6 A.7 Glossary of Terms Development Thresholds Traffic and Circulation Testing Financial Feasibility Analysis for Key Opportunity Sites Implementation Strategies Exhibits Public Workshops A.6.1 Workshop #1 Materials A 6.2 Workshop #1 Public Comments A 6.3 Workshop #2 Materials A 6.4 Workshop #2 Public Comments Workshop Attendees A-1 A-3 A-8 A-28 A-48 A-62 A-72 A-77 A-95 A-106 Additional resource documents associated with the Town Center New Beginnings Project, (including copies of community workshop materials, presentations on alternative concept plans, and the Refined Market Analysis) are available on-line at the City of Tustin web site (tustinca.org), under Redevelopment, What’s New, and the Town Center New Beginnings project. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING ix 1 . I N T RO D U C T IO N INTRODUCTION 1 . 1 E x ecu tive Su mma ry “The Neighborhoods of Tustin Town Center: A New Beginning” is a “Strategic Guide for Development” for three neighborhoods in the center of the City of Tustin, California: Center City, Southern Gateway, and West Village. The primary objective of the Guide for Development (Guide) is to provide a framework for implementation of strategic development actions for each of the neighborhoods. Private investment and private development is fostered in collaboration with actions by the City to improve the three neighborhoods over the next few decades. The Guide was initiated by the Tustin City Council in response to an Advisory Services Panel Report by the Urban Land Institute, entitled: “Tustin California, Infill Development Opportunities,” which concentrated on an area encompassing the three neighborhoods. The creation of this Guide was accomplished through a public process including community workshops, collaboration with property owners, and coordination with other stakeholders in each neighborhood. The first series of three public workshops concentrated upon the existing economic and physical conditions along with the possibilities for development in each neighborhood. The second series of three workshops proposed and discussed alternative concept plans for each neighborhood and considered possible development of selected opportunity sites. The information from the public process has been incorporated into the Guide and in its recommended actions. The timing and the rate of development in the neighborhoods will vary and the Guide allows variation to occur. Since the outset of the process for “The Neighborhoods of Tustin Town Center,” the local and national economy has changed substantially, and so have market conditions for development along with the economy. The Guide recommends concepts for the neighborhoods, plans for key sites, and tools for implementation. In addition, the Guide permits the development process to proceed in concert with the marketplace and under the leadership of the private development community. The Strategic Guide for Development is structured to be comprehensive and easy to use. After the introduction, existing conditions of the three neighborhoods are presented in Chapter 2, including a summary of market demand, opportunities and constraints. The process of community outreach follows in Chapter 3, and then alternatives are considered in Chapter 4, both for the neighborhood concept plans and for the opportunity sites within each neighborhood. Each of the alternative concept plans for each neighborhood were tested for traffic and economic viability and the results are shown in Chapter 5. Next, the preferred concept plans and design guidelines are presented in Chapter 6, and then Chapter 7 includes a plan for implementation. Appendices at the end of the report include reference materials and complete technical memoranda that contributed to each chapter. FINAL DRAFT 07.28.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 1-1 INTRODUCTION 1 . 2 Backgrou n d ULI ADVISORY SERVICES PANEL STUDY In June 2006, the City of Tustin invited the Urban Land Institute (ULI) to conduct an evaluation of development and improvement opportunities in an area located in the west and southwest sections of the city utilizing ULI’s advisory services program. This program offers advice to cities by providing a professional panel that intensely studies an area over the course of three to five days and develops recommendations in the form of a report. Three Tustin Town Center neighborhoods, Center City, Southern Gateway, and West Village (Figures 1-1) were identified within a larger area and evaluated by the panel for infill development opportunities including the expansion of residential housing and commercial revitalization. The study area is generally characterized by single-family, fourplexes, older manufactured housing, and rental properties, as well as low-density strip center type commercial development that experienced a significant population growth in the last 15 years due to the influx of Latino households and a concentration of workforce households (Figure 1-3). Overall, the population in the City of Tustin has grown from 21,000 in the early 1970s to more than 70,000 in 2006. This population growth, the concentration of low-income families, and the old housing stock in the study area led to issues such as overcrowding, substandard building conditions, and shortage of open space and services. The City expected the panel to develop recommendations for redevelopment strategies and conditions that would initiate market-driven solutions for the improvement of the three neighborhoods. New thinking about mixed land uses, increased densities and a more streamlined planning and development process were encouraged for consideration to make Tustin more competitive in the marketplace. FIGURE 1-1: CONTEXT MAP Center City West Village Southern Gateway ULI Study Area 1-2 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING FINAL DRAFT 07.28.2010 INTRODUCTION After an intensive study of the three areas and meeting with community leaders and stakeholders, the eight-person Advisory Services Panel, consisting of planning, development, academic professionals, provided the following key recommendations to the City to guide redevelopment efforts: • Develop neighborhood concept plans with citizen and developer input that will guide the creation of entitlements through tools such as overlay zoning and high-density bonuses • Develop general design principles and design guidelines for maintaining and enhancing the overall character of the study areas • Develop an overall vision for the mixed-use and commercial portions of the study area, and strategies that help stabilize and revitalize the existing residential neighborhoods • Develop implementation strategies that include planning and financial tools • Streamline the entitlement process to increase predictability, transparency, objectivity, reliability, and flexibility for developers • Create a non-profit Community Development Corporation (CDC) that is charged with the responsibility to implement the city’s goals and policies for providing affordable housing and neighborhood revitalization. In addition to these general recommendations, the ULI Advisory Panel developed conceptional design ideas for specific opportunity sites. “THE NEIGHBORHOODS OF TUSTIN TOWN CENTER - A NEW BEGINNING” The Council prioritized the recommendations by the ULI Advisory Services Panel and initiated the subsequent “The Neighborhoods of Tustin Town Center - A New Beginning” Study. The objectives for this study are based on the ULI Panel’s findings, which were to explore opportunities and strategies for each neighborhood in more detail. Objectives of the City Work Program • Refine Market Study • Develop Neighborhood Concept Plans • Develop Design Guidelines • Develop an Implementation Strategy • Develop Regulatory Documents The “Town Center, a New Beginning” Study, started in October 2007, focused on these objectives and included an extensive community outreach process with two public workshops for each neighborhood. This report presents the results of the study and offers guidance for future development in the form of final concept plans for each neighborhood and accompanying design guidelines and implementation strategies. FINAL DRAFT 07.28.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 1-3 2 . E XI S T IN G C O N DITIO N S EXISTING CONDITIONS 2 . 1 Area C on dition s 2.1.1 PHYSICAL CONTEXT The three neighborhoods, Center City, Southern Gateway, and West Village, are located in the central and western portion of the City of Tustin (Figure 2-1). All three neighborhoods are in close proximity to each other and border on major freeways, Interstate 5 (the “I-5” or “Santa Ana Freeway”) and State Route 55 (SR-55). Figure 2-2 illustrates the three neighborhoods in relation to the Town Center and South Central Redevelopment Project Areas. The topography is generally flat and the street layout is based on a grid pattern that shifts direction at Newport Avenue in both the Center City and Southern Gateway neighborhoods. Most of the development in these areas was built during the 1960s and 1970s in response to Tustin’s significant population growth that transformed the city from a pre-war farming community to a post-war suburban community. The rapid suburbanization of Orange County was the driving force behind this growth. The land uses that resulted were low-density, auto-oriented commercial and office development along large arterials as well as apartment complexes with interspersed single family homes. Many of the apartment complexes are now overpopulated and in varying states of disrepair. Overpopulation also causes traffic and parking issues, particularly in the West Village, while amenities such as grocery stores and open spaces are insufficient in relation to the population in the neighborhoods. The parcel-by-parcel approach to expansion led to the formation of superblocks that impede connectivity to and within the neighborhoods (Figure 2-4). The neighborhoods are accessed from the two freeways and the major arterials in the vicinity, Newport Avenue and Redhill Avenue, as well as on other major streets, namely McFadden Avenue, Walnut Avenue, El Camino Real, Main Street and Bryan Avenue (Figure 2-5). The neighborhoods are served by two bus lines, Line 66 and Line 71 (Figure 2-6). Line 66 runs along McFadden Avenue and Walnut Avenue or alternatively along a portion of Newport Avenue, depending on the route. It connects the Southern Gateway Neighborhood to Huntington Beach to the southwest and Irvine to the southeast. From Newport Avenue the route alternates between service to Irvine and short turn service to Bryan Avenue in the Center City Neighborhood. Line 71 runs along a portion of Newport Avenue and El Camino Real and connects the Center City Neighborhood with Newport Beach to the southwest and Yorba Linda to the north. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 2-1 EXISTING CONDITIONS FIGURE 2-1: LOCATION OF NEIGHBORHOODS County of Orange CENTER CITY WEST VILLAGE Ra ilw ay SOUTHERN GATEWAY Santa Ana I-5 Rt e 55 Irvine 2-2 Tustin Legacy THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 EXISTING CONDITIONS FIGURE 2-2: REDEVELOPMENT AREAS AND NEIGHBORHOODS STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 2-3 EXISTING CONDITIONS FIGURE 2-3 TUSTIN GENERAL PLAN LAND USE POLICY MAP 2-4 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 EXISTING CONDITIONS FIGURE 2-4: NEIGHBORHOOD BOUNDARIES AND EXISTING CONDITIONS (AERIAL) Center City West Village INT AV E RE D HI LL AV E NU E ROUTE 55 NE W McFADDEN AVENUE TAT E5 PO RT Southern Gateway NU E ERS E. EDINGER AVENUE STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 2-5 EXISTING CONDITIONS RT AV E FIGURE 2-5: AREA CIRCULATION NE W PO E. FIRST STREET IR VI AV EN UE NE BO UL LL E. MAIN STREET EV AR RE D HI D BR YA N AV E NU R AN CH RD E SC RR A R. IN O. TU S TIN McFADDEN AVENUE TE W . TA TE 5 W AL NU E5 5 E. EDINGER AVENUE RS UT TA VE NU RO E c Circulation 500 0 1000 VA L Freeway Major Arterial Southern California Regional Rail Authority (SCRRA) R.O.W. Primary Road 0 1000 500 2000 RT 71 66 McFADDEN AVENUE SC RR 463 A PO adius - 10 min. wa lk UL EV AR D BR YA N s - 5 min. wa lk AV E NU 66 short CH RD iu rad BO 167 E TU ST IN S. GRAND AVENUE 59 1/4 mi le 1/2 er m il IR VI NE R AN MAIN ST 79 W EL CAMINO E. FIRST STREET NE 64 AV E TUST FIGURE 2-6: PUBLIC TRANSIT Rte 55 R. O. I-5 W 71 . D CA M IN O W AL NU TA VE NU E RE AL 66 RE 70 HI LL AV E NU E E. EDINGER AVENUE EL 472 2-6 Route 59 Route 70 Route 167 Route 66 Route 71 Route 463 Route 64 Route 79 Route 472 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING Southern California Regional Rail Authority (SCRRA) R.O.W 0 500 1000 2000 STRATEGIC GUIDE 09.21.2010 EXISTING CONDITIONS 2.1.2 AREA MARKET CONDITIONS SUMMARY The Center City, Southern Gateway, and West Village Study Areas (Study Areas) located in the City of Tustin enjoy a strategic location within central Orange County with access and visibility to major freeways, employment centers, and event destinations. The majority of the land area within the Study Areas is dedicated to multi-family residential, convenience retail and office, and light industrial uses. These uses are generally housed in older buildings, where the retail and office uses are located in one-story strip centers or small standalone buildings. Attraction of new real estate development to the Study Areas must overcome a few constraints. While these constraints were analyzed in detail by previous studies, key findings affecting the potential for new development are summarized here: • Land within the Study Areas is predominantly built-out, with less than 2.5 acres of vacant land available for new development. Assemblage of small parcels for large-scale development may be difficult due to multiple property owners and high acquisition and relocation costs. • The inner core of the 1-mile radius is characterized by a large rental and low income population. Household income and spending potential for households within the 1-mile radius are weak relative to the larger trade areas (3-mile and 5-mile trade rings; see Figure 2-7). According to Claritas, Inc., the median household income within the 1-mile trade ring is $52,000. This income level is far below comparable trade areas including the 5-mile trade ring, the City of Tustin (City), Orange County (County), and the State of California (State). Notwithstanding these challenges, economic consultant Keyser Marston Associates, Inc. (KMA) believes that there is potential for introducing new development within the Study Areas. This conclusion is supported by the following key factors: • Newport Avenue, a major north-south arterial, currently dead-ends at the southern terminus in the Southern Gateway study area. However, Tustin’s Capital Improvement Plan currently includes the extension of Newport Avenue south to Edinger Avenue within the next five to seven years. Due to better traffic circulation, the extension of Newport Avenue would promote a positive commercial business environment and act as a potential catalyst for new development. • Tustin and Irvine are among areas within Orange County that will continue to experience the largest share of new population growth. According to the Southern California Association of Governments (SCAG), the number of Tustin residents is expected to grow to 88,788 by 2030. Projected increases will be largely due to new residential developments at Tustin Legacy. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 2-7 EXISTING CONDITIONS • On a national and regional level, there is increasing interest in “in-fill” residential and mixed-use developments as a desirable housing option. Although new in-fill and mixeduse developments have been stalled by the current downturn in the housing market, this fundamental trend is expected to continue. Examples of infill intensification in the City include Arbor Walk, Prospect Village, and The Cottages. • As the County builds out, the Study Areas’ location and access from the I-5 and SR-55 Freeways presents a high visibility benefit to many potential developers. Developers throughout California are pursuing freeway visible sites to build new retail and mixed-use developments. FIGURE 2-7: 1-MILE, 3-MILES, 5-MILES RADII Anaheim Villa Park 57 5m iles 55 County of Orange 3 mi les 22 Garden Grove 1-mile Center City West Village Santa Ana Southern Gateway City of Tustin 261 Fountain Valley Tustin Legacy 55 133 Irvine 73 2-8 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 EXISTING CONDITIONS In addition to vacant areas, larger development sites may be planned and implemented by the Redevelopment Agency through lot configuration and consolidation, adaptive re-use, repositioning, and/or increased densification of sites throughout the Study Areas. Potential sites may include Red Hill Plaza, El Camino Plaza, and areas along Newport Avenue. KMA estimated the potential long-term demand for the major land uses through 2030. The absorption estimates are described in the following sections and are summarized in Table 2-1 below. TABLE 2-1: ABSORPTION ANALYSIS BY LAND USE, STUDY AREAS, 2008-2030 Low I. Annual Space Demand A. Retail Space 900 sf 5.2% 2,200 sf 6.3% B. Restaurant Space 300 sf 1.7% 800 sf 2.3% Subtotal II. High 1,200 sf 7.0% 3,000 sf 8.6% C. Office Space 16,000 sf 93.0% 32,000 sf 91.4% Total Annual Space Demand 17,200 sf 100.0% 35,000 sf 100.0% Total Space Demand 378,000 sf 770,000 sf III. Total Housing Unit Demand A. Multi-Family* B. Single-Family* Total Housing Unit Demand 761 units 100.0% 1,141 units 100.0% 0 units 0.0% 0 units 0.0% 761 units 100.0% 1,141 units 100.0% * Housing Unit Definition: Single-Family Unit: Detached housing, one dwelling unit per lot Multi-Family Unit: Attached housing A. Retail Potential It is KMA’s conclusion that short term (within five years) demand for new retail/restaurant uses within the Study Areas is weak. Mid- (five to 10 years) to long-term (10 to 20 years) demand is deemed moderate. The primary sources of market support for retail space within the Study Areas are community residents and the existing and future workforce. A shopping center’s size and orientation are generally determined by the market characteristics of the trade area served by the center. KMA’s retail market analysis indicates that the Study Areas are able to support additional retail and restaurant development in the range of 26,000 to 65,000 SF through 2030. According to typical shopping center criteria (see Table 2-2), these estimates may support the development of a neighborhood shopping center within the Study Areas. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 2-9 EXISTING CONDITIONS TABLE 2-2: TYPICAL SHOPPING CENTER CRITERIA Center General Concept Range of SF Range of Acreage Primary Trade Superregional Similar to regional center, but larger with more variety 800,000+ 60 to 120 5 to 25 miles Regional General merchandise, typically an enclosed mall 400,000 to 600,000 40 to 100 5 to 15 miles Lifestyle Upscale national chain specialty stores, dining and entertainment generally in an outdoor setting 250,000 to 600,000 10 to 40 6 to 12 miles Community General merchandise and convenience 150,000 to 500,000 10 to 40 3 to 6 miles Power Dominant anchors with few small tenants 80,000 to 250,000 25 to 80 5 to 10 miles Neighborhood Convenience 30,000 to 150,000 3 to 15 3 miles Source: ICSC Shopping Center Definitions Although the Study Areas contain approximately 280,500 SF of existing neighborhood retail space, existing residents do not have a full-service grocery or drug store located within any of these centers. Planning and implementation efforts by the Tustin Community Redevelopment Agency could help to redevelop and reposition existing shopping centers to accommodate more efficient layouts of retail space in shopping center and dining facilities. Additional suggestions for possible categories of retail uses within the Study Areas include: • Ground floor retail/restaurant uses incorporated into new mixed-use developments. The amount and types of uses that can be supported will depend on the amount of new residential and office development undertaken in the Study Areas. • With strong taxable retail sales in the Specialty Stores category, this market niche may have a strong potential for both short and long-term development within the Study Areas. In addition, the West Village can build upon the existing The Jewelry Exchange store. The current mix of retail lacks cohesive marketing, but presents an opportunity for branding the center as a “jewelry row.” B. Office Space Potential KMA concludes that short-term demand for office space in the Study Areas is moderately weak, with potential for development in the long-term. The fallout from the implosion of the subprime mortgage industry, in addition to new office construction, has increased the County’s office market’s vacancy rate. Office employment in Orange County is highly concentrated in the Greater Airport Area (Costa Mesa, Irvine, Newport Beach, and portions of Santa Ana). However, the Study Areas within the City are not currently established as an office node. KMA finds, overall, that the Study Areas may have difficulty attracting large-scale office users unless a site (or sites) are made available for 2-10 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 EXISTING CONDITIONS higher density development. Therefore, it is anticipated that the Study Areas will yield minimal demand for office space at least in the short-term. Office space in the Study Areas is limited to small local-serving professional and business services dispersed among neighborhood retail strip centers and free-standing buildings. Total demand for new office space within the 3-mile radius of the Study Areas is estimated to be 7,125,000 SF through 2030. Given the Study Areas high visibility and access, KMA estimates that the Study Areas can capture 5% to 10% of this demand through 2030, equivalent to 356,000 to 713,000 SF. Short-term demand for office space would most likely continue from small professional and business services that are local-serving. New office uses in the Study Areas will require supporting amenities such as retail and restaurant uses. The Tustin Hospital and Medical Center anchors the Southern Gateway study area, which may provide opportunities for new development and increased access to additional medical services. However, based on KMA’s interviews with office leasing agents, the Medical Center has a high vacancy rate (30%). The office leasing agents also note that medical office demand throughout the Study Areas is weak causing high vacancy rates. These vacancy rates could be attributed to many factors, including poor marketing and/or management of the buildings, the elimination of medical services, and lack of amenities to serve potential users. Center City may be a candidate for finance, insurance, and real estate (FIRE) type professional businesses that utilize office space that are local serving and regional tenants. C. Residential Potential Housing units within the City are projected to increase by approximately 5,100 through 2030, to a total of about 29,900 units. KMA estimates that the Study Areas have the possibility to capture 20% to 30% of these new units over the long-term, or approximately 760 to 1,140 units. It is KMA’s conclusion that there is a strong potential for multi-family residential development in the Study Areas in both the short- and long-terms, with weak demand for single-family units in the short-term. For the low and high capture scenarios, KMA allocated 100% of the new units as multi-family and assumed no new development of single-family through 2030. Since the Study Areas are located in the City’s urban core, it seems appropriate that the residential make-up of the Study Areas is predominately multi-family. Despite the lack of available land, additional multifamily housing units within the Study Areas may be possible through increased densification and adaptive re-use and repositioning of sites and existing buildings. With the limited availability of large developable sites, additional single-family homes generally do not appear conducive within the Study Areas. Single-family residential may be viable in the future with turnover of certain key sites in the West Village Study Area and where higher density patio home (condo-like) single family products are explored. The rental market should remain stable and occupancy levels high due to the impact of the rise in home foreclosures and new credit restrictions in residential lending. Expanding homeownership opportunities within the Study Areas may improve income levels, increase neighborhood stability, and attract retailers. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 2-11 EXISTING CONDITIONS TABLE 2-3: TUSTIN TOWN CENTER REFINED MARKET ANALYSIS Study Area Overview - 2008 Estimate (Source: Claritas, Inc.) POPULATION & INCOME CENTER CITY SOUTHERN GATEWAY WEST VILLAGE CITY OF TUSTIN 3,088 9,997 8,867 71,955 $50,000 $48,400 $43,300 $70,000 25% 21% 15% 46% 1,101 3,545 2,594 26,767 Multi-Family* 82% 91% 84% 65% Single-Family* 17% 8% 2% 31% Other (includes Mobile Homes) 0.2% 0.4% 14% 4% Owner 22% 13% 23% 47% Renter 75% 67% 74% 46% Population Median Household Income Households over $75,000 HOUSING UNITS1 Total Units Type Occupancy * Housing Unit Definition: Single-Family Unit: Detached housing, one dwelling unit per lot Multi-Family Unit: Attached housing 1 Numbers for tenure do not add up to 100% due to vacant units. TABLE 2-4: TOTAL PROJECTED DEVELOPMENT Long Term Projection, 2008-2030 LAND USE LOW HIGH 25,800 sf 65,300 sf 356,000 sf 713,000 sf 760 Units 1,140 Units Retail / Restaurant Office Residential 2-12 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 EXISTING CONDITIONS 2 . 2 C e n ter C ity 2.2.1 CENTER CITY EXISTING CONDITIONS The Center City Neighborhood is bounded by the I-5 Freeway to the south, 6th Street and a portion of Main Street to the north, and San Juan Street and Red Hill Avenue to the east. Two major arterials, Newport Avenue and Redhill Avenue, are the main spines of the neighborhood and the focus of commercial activity. The neighborhood is characterized by a range of uses and parcel sizes. Tustin High School occupies a large area located between Red Hill Avenue and Orange Street. The west side of Red Hill Avenue is lined with commercial uses and a smaller office use at the intersection with San Juan Street. A strip-retail center occupies several parcels on the east side of Red Hill Avenue. Newport Avenue is lined with office and commercial uses on its west side and with commercial uses on its east side. The area to the east of the commercial uses up to Orange Street is characterized by a mix of multi-family and single-family uses on smaller or combined parcels. The intersection of Newport Avenue and El Camino Real serves as an vehicular entry to Old Town Tustin located along the north-western portion of El Camino Real (Figure 2-8). Traffic moves through the neighborhood primarily on Newport and Red Hill Avenue in northsouth direction, and on Bryan Avenue and El Camino Real in east-east direction. Both Newport and Red Hill Avenue connect to the I-5 Freeway on the south side of the neighborhood (Figure 2-9). Clockwise from top left: 1. El Camino Plaza in Old Town 2. Red Hill Plaza on Red Hill and El Camino Real 3. Industrial and commercial uses along 6th Street STRATEGIC GUIDE 09.21.2010 1 2 4 3 4. A vacant lot along El Camino Real, just east of the “Jack in the Box” on Newport Avenue THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 2-13 EXISTING CONDITIONS FIGURE 2-8: EXISTING USES IN THE CENTER CITY NEIGHBORHOOD Br ya nA ve n ue Sa nJ Ci rc Es te ro An dr ew sS tre et le Main Street ua nS tre et tA ve ni ta St re e t El Lambert School St re et St re et Ne wp or W aln ut Or an ge El Camino Real Bo El Camino Way B Street 6th Street Sa nJ Ca m ua Tustin High School in nS tre et oR ea l Ca m Re al Re d Hi ll Av en ino ue EL Center City Neighborhood Boundary Commercial Office with Retail Use Town Center Redevelopment Area Other Commercial Use South Central Redevelopment Area Industrial Use Multi-Family Residential Use Public Use Single Family Residential Use Private Institutional Use Class I Bikeway Commercial Retail Use Commercial Retail with Office Use Commercial Office Use 2-14 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 0 150 300 600 STRATEGIC GUIDE 09.21.2010 EXISTING CONDITIONS FIGURE 2-9: CIRCULATION IN THE CENTER CITY NEIGHBORHOOD Residential (Large Rental) School Residential (Rental 1 - 6 Units) Church Residential (Ownership) Park Mobile Homes Vacant Land Commercial Primary Street Industrial Secondary Street STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 2-15 EXISTING CONDITIONS 2.2.2 CENTER CITY MARKET CONDITIONS SUMMARY OF MARKET DEMAND ANALYSIS Key demographic findings for Center City in 2008 are as follows: TABLE 2-5: CENTER CITY DEMOGRAPHICS, 2008 Population 3,088 Housing Units 1,101 Multi-Family* 82.3% Single-Family* 17.4% Average Household Size Median Household Income 2.79 $50,016 Housing Tenure Owner-Occupied 22.0% Renter-Occupied 75.2% Source: Claritas, Inc. * Housing Unit Definition: Single-Family Unit: Detached housing, one dwelling unit per lot Multi-Family Unit: Attached housing Existing properties within Center City were generally built in the 1960s and 1970s and include a mix of low-density, single-family homes, strip retail, local-serving office, and light industrial uses. Center City is anchored by two shopping centers, Red Hill Plaza and El Camino Plaza, both of which are located along major commercial streets of Red Hill Avenue and El Camino Real. In addition, the study area is also served by two adjacent shopping centers, Tustin Plaza and Larwin Square. Large institutional uses within Center City include Tustin High School and Lambert Elementary School. New developments underway include Tustin Cottages, a residential townhome development along El Camino Real next to Tustin High School, and an assisted congregate care facility on Red Hill Avenue. Center City contains two vacant sites. A 0.52-acre site is located at 13742 Red Hill Avenue, adjacent to the Red Hill Plaza shopping center, with the other site located at 1062 El Camino Real, adjacent to the I-5 Freeway. 2-16 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 EXISTING CONDITIONS 2.2.3 CENTER CITY CONSTRAINTS AND OPPORTUNITIES The location and context of the Center City Neighborhood present the following constraints and opportunities (Figure 2-10): Constraints Opportunities • • The adjacency of Old Town is an asset. • City Hall, the new library, schools, and parks are in the immediate area surrounding the neighborhood. • Good access to the I-5 Freeway with two interchanges. • Potential gateway locations with high visibility at the intersections of El Camino Real with Newport and Red Hill Avenue. • • Elevated I-5 Freeway forms a continuous barrier to the south and impacts the neighborhood with noise and high retaining walls along El Camino Real. The configuration of the I-5 Freeway and Newport Avenue interchange limits access and capacity. Large parcels, such as Tustin High School, and south of 6th Street, impede connectivity within the neighborhood. FIGURE 2-10: CONSTRAINTS AND OPPORTUNITIES IN THE CENTER CITY NEIGHBORHOOD STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 2-17 EXISTING CONDITIONS 2 . 3 Sou th ern Gateway 2.3.1 SOUTHERN GATEWAY EXISTING CONDITIONS The Southern Gateway Neighborhood is bounded by the I-5 Freeway and McFadden Avenue to the north, the SR-55 Freeway to the west, the Southern California Regional Rail Authority rightof-way (“rail right-of-way”) and Sycamore Avenue to the south, and various property lines to the east. Newport Avenue is the main north and south arterial which transects the Southern Gateway neighborhood and connects to the I-5 Freeway and the Center City Neighborhood to the north. In contrast to Center City, a variety of uses are located along Newport Avenue. Commercial uses are predominant in the section between McFadden and Nisson Streets, while a mix of commercial, office, medical and residential uses characterize the area between Walnut Avenue and Sycamore Avenue. A commercial office building and residential uses are located along the southern portion of Newport Avenue between Sycamore Avenue and the rail right-of-way. Newport Avenue is connected to the SR-55 Freeway at Sycamore Avenue via both on and off-ramps, and an I-5 Freeway off-ramp is located abutting the northerly boundary of the Neighborhood. The conditions of the buildings along Newport Avenue vary from new to substandard, and some of the commercial parcels in the center portion of the Neighborhood are currently underutilized. Clockwise from top left: 1. Tustin Medical Center on Newport Avenue 2. Arbor Walk residential development on Newport Avenue 3. Commercial uses along Newport Avenue 2-18 1 2 4 3 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4. Four-plexes along Myrtle Avenue STRATEGIC GUIDE 09.21.2010 EXISTING CONDITIONS The neighborhood is predominantly multi-family residential with strip-type commercial uses concentrated along the northern portion of Newport Avenue between Walnut Avenue and Nisson Road. The Tustin Medical Center is located near the intersection of Sycamore and Newport Avenue. The intersection of Newport Avenue with another major street, McFadden Avenue, forms a triangular-shaped block in the center of the neighborhood that is currently occupied by low-intensity commercial uses. In addition to the Tustin Medical Center office building, there are two more parcels with office uses located on the west side of Newport Avenue (Figure 2-11). Newport Avenue serves as the major traffic spine in north-south direction and connects to the I-5 Freeway on the north and SR-55 Freeway on the southwest border of the neighborhood via Sycamore Avenue. The planned extension of Newport Avenue will provide a connection to the south via a grade-separated crossing of the railroad, and make the neighborhood more accessible from Edinger Avenue and from the SR-55 Freeway at Del Amo Avenue. Currently, Newport Avenue dead-ends at the rail right-of-way. McFadden and Walnut Avenue are the two major streets connecting the neighborhood to the east and west (Figure 2-12) . Newport Avenue is currently a six-lane major arterial with on-street parking restrictions (recently imposed). Sidewalks are narrow in the area and there are inconsistent streetscape improvements. The future planned extension of Newport south of this Neighborhood’s southerly boundary (across the Southern California Regional Rail Authority right-of-way and Orange County Flood Control District channel), combined with the proposed future street widening of Newport Avenue from the rail right-of-way north to Myrtle Avenue will significantly improve vehicular connectivity to the south and also provide additional direct connections to the SR-55 Freeway. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 2-19 EXISTING CONDITIONS FIGURE 2-11: EXISTING USES IN THE SOUTHERN GATEWAY NEIGHBORHOOD Nis son Rd n Rd SC St re et Nisso BS tre et 55 M itc he ll A ve W aln ut Av e De lA m oA ve or wp Ne Fe Ch an nn el tA ve Altadena Dr Bliss Ln Sa nt aA na Sa nt a Myrtle Ave Pasadena Ave Mc Fadden Avenue Syc am ore Sc he re rP l Ave xD r aD or eA ve Ch ar lo m m Ca r fa Sy ca De lA m oA ve r Kenyo nD r Southern Gateway Neighborhood Boundary South Central Redevelopment Area Public Use Private Institutional Use Commercial Retail Use Commercial Retail with Office Use Commercial Office Use Multi-Family Residential Use Single Family Residential Use OCTA/ SCRRA Railway 0 2-20 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 150 300 600 STRATEGIC GUIDE 09.21.2010 EXISTING CONDITIONS FIGURE 2-12: CIRCULATION IN THE SOUTHERN GATEWAY NEIGHBORHOOD INT ER STA T M E. McFADDEN AVE. RO UT M ET RO L IN K/ R Residential (Large Rental) Primary Street Residential (Rental 1 - 6 Units) Secondary Street Residential (Ownership) . . AV E AV E . . AV E OR E AL NU T AV E HI LL E5 5 NE W EDINGER AVE. SY CA M IT CH EL L RE D PO RT AV E . W E5 AI L Planned Street Mobile Homes Commercial Industrial Institutional (Medical Center) School Church Park STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 2-21 EXISTING CONDITIONS 2.3.2 SOUTHERN GATEWAY MARKET CONDITIONS SUMMARY OF MARKET DEMAND ANALYSIS At approximately 136 acres, Southern Gateway consists primarily of multi-family residential housing units constructed in the 1960s and 1970s. The following presents key demographic findings for the study area for 2008: TABLE 2-6: SOUTHERN GATEWAY DEMOGRAPHICS, 2008 Population 9,997 Housing Units 3,545 Multi-Family** 91.2% Single-Family** 8.4% Average Household Size Median Household Income 3.55 %48.445 Housing Tenure* Owner-Occupied 12.5% Renter-Occupied 66.8% Source: Claritas, Inc. * the balance of the owner- and renter-occupied units are considered to be vacant units ** Housing Unit Definition: Single-Family Unit: Detached housing, one dwelling unit per lot Multi-Family Unit: Attached housing Retail space in Southern Gateway is located along the major commercial corridors of Newport and Walnut Avenues. Southern Gateway contains one neighborhood retail center, the Tustin Freeway Center, located on Newport Avenue and the I-5 Freeway. The center does not contain any major anchor tenants and experiences high vacancy rates, despite having good freeway visibility. Large institutional uses within Southern Gateway include the Tustin Hospital and adjacent medical offices. The most recent development in Southern Gateway is Arbor Walk, a residential condominium development developed by the Olson Company, located on Newport Avenue between Walnut and Sycamore Avenues. KMA conducted site visits and visual surveys of the study area and found that there are no vacant or underutilized sites in Southern Gateway. 2-22 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 EXISTING CONDITIONS 2.3.3 SOUTHERN GATEWAY CONSTRAINTS AND OPPORTUNITIES The location and context of the Southern Gateway Neighborhood present the following constraints and opportunities (Figure 2-13): Constraints • The neighborhood is confined by major barriers on three sides: the I-5 Freeway to the north, the SR-55 Freeway to the west, and the rail right-of-way to the south. These barriers create an island effect that impacts the connectivity to adjacent areas as well as significant noise issues. • The configuration of the I-5 Freeway and Newport Avenue interchange limits access and capacity. • Large apartment complexes and cul-de-sacs within the neighborhood limit access and connectivity. • There is a lack of open space. Opportunities • Good access to the I-5 Freeway and the SR-55 Freeway. • Views from McFadden Avenue overpass. • Planned Newport Avenue extension to the south will improve access to the neighborhood. • The Tustin Medical Center is centrally located on Newport Avenue and has high visibility. • Two schools and one park (Frontier Park) are located nearby. • The Family and Youth Center on Newport Avenue is a community asset. • Potential gateway location on the northern and southern end of Newport Avenue. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 2-23 EXISTING CONDITIONS FIGURE 2-13: CONSTRAINTS AND OPPORTUNITIES IN THE SOUTHERN GATEWAY NEIGHBORHOOD 2-24 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 EXISTING CONDITIONS 2 . 4 Wes t V il l age 2.4.1 WEST VILLAGE EXISTING CONDITIONS The West Village Neighborhood is bounded by the I-5 Freeway and Main Street to the north, the SR-55 Freeway to the east, and McFadden Avenue to the south. The neighborhood is surrounded on three sides by the City of Santa Ana. The only road running through the neighborhood in north-south direction is Williams Street, which connects to Main Street and McFadden Avenue. The neighborhood is predominantly multi-family residential with smaller scale commercial uses located along McFadden Avenue and a small store located at the corner of Main Street and Williams Street. The commercial center at the intersection of McFadden Avenue and Tustin Village Way includes the regionally known The Jewelry Exchange store that occupies one large building. The other buildings on the site are currently vacant. The two large parcels located south of Main Street are occupied by two separate mobile home parks. The Robert Heidemann School is located on the west side of Williams Street and provides the only open space in the neighborhood with its play field (Figure 2-14). The open space is not easily accessible or readily visible due to the site being closed to the public. The circulation options in the neighborhood are limited to Williams Street, Tustin Village Way, and Alliance Avenue. Williams Street is the only through-street. Tustin Village Way connects to McFadden Avenue but dead-ends on its northern end. The limited supply of on-street parking in the neighborhood is an issue, particularly on Alliance Street. Access to and within the neighborhood is restricted by large blocks of self-contained apartment complexes and privately-owned streets. Most traffic within the neighborhood is local and primarily enters at the intersections of Williams Street and Tustin Village Way with McFadden Avenue (Figure 2-15). Clockwise from top left: 1. Commercial center with The Jewelry Exchange store on McFadden Avenue and Tustin Village Way 2. Multi-family housing along Alliance Avenue 1 2 3. Apartment complex on Tustin Village Way 4. The entrance to the mobile home park on the west side of Williams Street 4 STRATEGIC GUIDE 09.21.2010 3 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 2-25 EXISTING CONDITIONS S Elk Ln FIGURE 2-14: EXISTING USES IN THE WEST VILLAGE NEIGHBORHOOD Main Street Robert Heidemann School 55 Williams Street Alliance Street Fe Ch an nn el Southewest Tustin Channnel Sa nt aA na Sa nt a Tustin Village Way Lorelei Ln Mc Fadden Avenue West Village Neighborhood Boundary Public Use Commercial Retail Use Multi-Family Residential Use Mobile Home Park Residential Use Vacant Land Caltrans OCTA/ SCRRA Railway 0 2-26 150 300 600 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 EXISTING CONDITIONS FIGURE 2-15: CIRCULATION IN THE WEST VILLAGE NEIGHBORHOOD Residential (Large Rental) Park Residential (Rental 1 - 6 Units) Vacant Land Residential (Ownership) Primary Street Mobile Homes Secondary Street Commercial Industrial Institutional (Medical Center) School STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 2-27 EXISTING CONDITIONS 2.4.2 WEST VILLAGE MARKET CONDITIONS SUMMARY OF MARKET DEMAND ANALYSIS Key demographic findings for the study area for 2008 include: TABLE 2.7: WEST VILLAGE DEMOGRAPHICS (2008) Population 8,867 Housing Units 2,594 Multi-Family* 83.7% Single-Family* 2.2% Average Household Size 3.52 Median Household Income $43,306 Housing Tenure Owner-Occupied 23.2% Renter-Occupied 73.8% Source: Claritas, Inc. * Housing Unit Definition: Single-Family Unit: Detached housing, one dwelling unit per lot Multi-Family Unit: Attached housing Encompassing approximately 167 acres, West Village contains a mixture of large and small scale multi-family residential housing units and two manufactured home communities. The main commercial corridor is McFadden Avenue, with The Jewelry Exchange Center as the only major retail center in the study area. However, The Jewelry Exchange site currently provides little in terms of neighborhood retail, such as grocery, convenience retail, and services. West Village currently has one vacant site: 16801 McFadden Avenue (0.44 acres). Development of a new 15,000-SF commercial building at 15700 Tustin Village Way is under construction. 2.4.3 WEST VILLAGE CONSTRAINTS AND OPPORTUNITIES The location and context of the West Village Neighborhood present the following constraints and opportunities (Figure 2-16): Constraints 2-28 • The neighborhood is confined by major barriers on two sides: the I-5 Freeway to the north and the SR-55 Freeway to the east. The rail right-of-way the southwest of the neighborhood forms a third barrier although it is not located within the city limits but in proximity to the neighborhood. These barriers create an island effect that restricts connectivity to adjacent areas and causes significant noise impacts. • Large blocks and self-contained apartment complexes as well as mobile home parks limit access to the neighborhood and impact connectivity. • There are only three access points to the neighborhood located to the north and south; there are no access points from the east or west. • Alliance Street is the only east- west connection. • Tustin Village Way dead-ends at its northern end and potentially limits life-safety access. THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 EXISTING CONDITIONS • There is a lack of public open space. • There is a lack of sufficient on-street parking. • Although the Santa Ana Zoo to the north of the neighborhood is an asset in the area, access opportunities from the neighborhood are missing. Opportunities • The Robert Heidemann School is a community asset. • Tustin Village Way and Williams Street are suited to become improved entries to the neighborhood. • There are already established commercial uses located along McFadden Avenue. • There is good visibility from the McFadden Avenue overpass traveling from the east. • Accessible to SR-55 Freeway from the southern end of Tustin Village Way. • Large opportunity sites for future development include the former Caltrans ramp site, The Jewelry Exchange and commercial center, as well as the two mobile home sites. FIGURE 2-16: CONSTRAINTS AND OPPORTUNITIES IN THE WEST VILLAGE NEIGHBORHOOD STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 2-29 3 . C O MM U N I T Y O UTR E ACH P ROC E SS COMMUNITY OUTREACH PROCESS 3 . 1 S u mmary of th e Community Outreach Process Community Workshops were held in October 2008 and in September 2009. The consultant team presented existing conditions and initial concept plans for feedback. An extensive community dialogue was conducted to help frame the proposed Concept Plans for each neighborhood. A summary and discussion of the feedback from each series of workshops follows in this chapter. The proposed draft Concept Plans were also reviewed by the Planning Commission and City Council. A summary of any concerns or refinements requested by each of these bodies is also discussed. 3 . 2 Wo rksh op # 1 Su m mary D iscussion & Fe e d b a ck On October 6, 2008, the City of Tustin hosted three one-hour Community Outreach Workshops to seek public input on revitalization efforts of three neighborhoods in Tustin: the City Center, Southern Gateway, and West Village Neighborhoods. The feedback provided by the public was used by the city and the consultant team to develop two concept plan alternatives for each neighborhood and to select and evaluate opportunity sites. Results were presented in the subsequent Public Workshop # 2 in September 2009. All three workshops started with a presentation by the consultant team followed by an open discussion. Questions and comments were recorded during the meeting and the public was also given the opportunity to provide comments on the City’s website after the workshops. Please refer to Appendix A.6 for the workshop presentation materials and recorded comments. For each neighborhood, the presentation included background information about the study area, existing conditions, a summary of the refined market analysis, and the identification of constraints and potential opportunity sites. An important point described at the workshops, based on direction of the City Council, was to reinforce that the intent of the study was to encourage development to be market driven by the private sector without the use of eminent domain. A brief summary of comments received at each workshop follows on the next page. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 3-1 COMMUNITY OUTREACH PROCESS Center City - Key Public Comments: • Create more linkages, particularly to existing assets such as Old Town and El Camino Plaza. • Improve the pedestrian environment. • Provide bike lanes. • Placemaking. • Provide more public transit. • Maintain existing affordable housing and build new affordable housing. • Use current vacant office space before developing new office space. • Timeline of Newport Avenue extension? • Red Hill Plaza is an opportunity site. • Use vacant land for residential parking. Southern Gateway - Key Public Comments: • Future use of the Tustin Medical Center? • Retail and commercial uses should focus on the community. • More mix of uses; no more strip centers. • Need for open space, parks, and greenbelts. • Provide more bus connections. • Make the Newport Avenue extension a priority. • The commercial center at Walnut and Newport Avenue is an opportunity site. West Village - Key Public Comments: 3-2 • Lack of parking on Alliance Avenue; introduce diagonal parking. • Provide financial mechanisms for improvements. • Use the school as a neighborhood amenity. • Address traffic issues on Williams Street caused by through-traffic from Santa Ana. • Reduce traffic in residential areas. • Lack of retail/ grocery store in the neighborhood. • Extension of Tustin Village Way to Main Street. • Consider converting some private roads into public roads. • Better configuration of buildings could free up space for new development or open space. THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 COMMUNITY OUTREACH PROCESS 3 . 3 Worksh op # 2 Su m mary D iscussion & Feed b ack In September 2009, a second set of public workshops were held for each neighborhood. The three workshops were conducted on three separate days starting on September 28th and ending on September 30th. Based on the input given at Workshop #1, the team developed alternative concept plans, and identified potential opportunity sites. Goals of Workshop #2: 1. To educate and involve the participants and the neighborhood in general about development and redevelopment in Tustin. 2. To inform participants about the economics, realities and possibilities of change affecting the neighborhoods’ physical environment. 3. To illustrate and describe two alternative conceptual plans for the future of the neighborhood, one that is not as ambitious and can be implemented more easily than the other. 4. To identify key opportunity sites for possible redevelopment and to explain the potential for the sites to be catalysts for further improvements in the neighborhood. 5. To discuss the conceptual plans and key opportunity sites and to explain next steps in the study and in the neighborhood. The workshops began with a presentation about existing conditions. Participants reviewed the two proposed alternative concept plans and discussed key opportunity sites. Participants were encouraged to provide comments in a general discussion and on notes that could be posted on the plan displays in the meeting room. The plan displays showed all concept plan alternatives and opportunity sites presented at the beginning of the workshop. The workshop ended with a question and answer session, and an explanation of the next steps in the planning process. Participants at Workshop 2 discussing alternative concept plans. Participants at Workshop 2 writing comments on notes to post on plan displays (seen in the background). A brief summary of comments received at each workshop follows on the next page. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 3-3 COMMUNITY OUTREACH PROCESS Center City - Key Public Comments: • Residential uses, particularly multi-family housing, is preferred over office use on the south side of 6th Street; office is appropriate along the freeway. • Use higher buildings along the freeway to mitigate noise. • Provide access to new development south of 6th Street, in addition to 6th Street. • Extend El Camino Real to B Street. • Improve Red Hill Avenue with on-street parking and better traffic flow at intersection of Red Hill Avenue and El Camino Real. • Preference for opportunity sites #1 and #2. Southern Gateway - Key Public Comments: • Newport Avenue extension is a top priority. • Prioritize improvements in the preferred alternative. • Provide more open space and parks for residents; liked idea of combining open space with new youth center location. • Traffic concern if connection of Pasadena Avenue to Sycamore Avenue is closed. • What is meant by upgrades and what financial resources are available? • Good location for proposed new youth center in Alternative B. • Like streetscape improvements such as street trees and bike lanes. • Lack of residential parking. • Provide low- and middle-income housing. • Preference for Alternative B. • Preference for opportunity site #8 between McFadden, Walnut, and Newport Avenue. West Village - Key Public Comments: 3-4 • Reduce traffic in the neighborhood; school traffic is an issue. • Proposed new street perceived as positive and negative. • Accommodate Better mix of residents. • Develop a long-term vision. • Provide more retail on McFadden Avenue. • Make the neighborhood a part of Tustin: Announce with signs, mark entrance, improve the streetscape. • Need of open space; liked proposed parks in both alternatives. • Liked the idea of replacing mobile home parks with residential in the long-term. What are the incentives for the mobile home park to move? • Alternative A displaces too many residents on Alliance Street. • More parking is needed. • Preference for Alternative B as a long-term plan because it provides more improvements to the neighborhood. • Preference for opportunity site #12; liked the proposed park and gateway to the neighborhood. THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 COMMUNITY OUTREACH PROCESS 3 . 4 P l a n n in g Commission On August 24, 2010, the Planning Commission met for a workshop session to discuss the draft strategic guide for the Neighborhood of Tustin Town Center. Public Comments: Sam Myrich, Saddleback Mobile Home Park • Disposition and/or impact of study and future proposals on mobile home parks? Jacob Zamora, resident West Village area • Are there plans for increased parking in the area? Donna McClelland, resident Tustin Village II • Traffic circulation pattern at McFadden and Tustin Village Way. Are there any changes planned to improve circulation or add new streets? Discussion was held and all questions were responded to by staff. Commission Comments: • Good recommendations. • Compliments staff on the good work. • Open space and park land wherever possible. • Jewelry Exchange area improvements in West Village should be a priority. • An opportunity to introduce design guidelines and also integrate traffic calming into circulation in neighborhoods via medians in major corridors. The Red Hill corridor between Walnut and the railroad tracks was cited as an example. • Develop a common palette and template for landscaping along corridors and medians, using bricks, foliages and trees to eliminate grass and conserve water. • Gateway landscaping to be consistent and provide an identity linking north, south, east and west of city. • Complete Newport Extension as soon as possible. • Stay on track with plans for incentives to homeowners and for open space. • Consider live work units like Prospect Village along major corridors and pedestrian friendly areas. 3 . 5 C i ty Cou n cil At the Tustin City Council meeting on September 21, 2010, Councilman Doug Davert moved and Mayor Jerry Amante seconded that the City Council and Tustin Community Redevelopment Agency formally endorse the Town Center New Beginning study as a strategic guide for development and instructed staff to proceed with specific programming of priority action programs, as funding is available and in conjunction with the City’s and Redevelopment Agency’s normal budget process. The motion was unanimously approved by all members of the City Council. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 3-5 4 . NE I GH B O R H O O D CO NC E P T P L AN A LT E R N ATIVE S A ND OP P O RT U N I T Y S ITE S NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES 4 . 1 An Overview In preparing alternative concept plans for each neighborhood, overriding goals for short- and mid-term development were determined to be applicable to all neighborhoods. Two alternative concept plans were developed for each neighborhood for the purposes of evaluating a range of alternative development programs. Each alternative will be described against how it will meet these overall strategies. 4.1.1 OVERALL GOALS AND STRATEGIES FOR ALL NEIGHBORHOODS Overall Goals • Increase the supply of housing • Upgrade the appearance of street corridors and community gateways • Enrich the livability of neighborhoods • Revitalize commercial uses on arterial streets • Create employment opportunities for residents • Strengthen arterial corridors • Improve connectivity • Provide new open spaces It was also determined that the following key strategies to support the overall goals would apply to all three neighborhoods: Overall Strategies to Accomplish the Goals • Strengthen arterial corridors by consolidating commercial uses into well-defined neighborhood centers and/or mixed-use developments, and revitalize arterial retail uses. • Redirect future development to underutilized and underperforming sites. • Focus uses onto neighborhood-related and pedestrian-oriented sites to form synergistic benefits with residential uses. • Encourage introduction of moderate- to high-density residential development along street corridors, compatible with the adjacent neighborhood. • Maintain an adequate affordable housing. • Reduce residential overcrowding. • Encourage construction of a greater variety of residential product types to accommodate a variety of family sizes. • Develop additional park and open spaces, where possible, particularly within the West Village and Southern Gateway neighborhoods. supply of • Relocate industrial uses away from residential and commercial centers. • Convert underperforming commercial sites to other uses or mixed uses. • Upgrade and revitalize older residential areas. • Expand streetscape improvements along street corridors and emphasize gateways. • Improve connectivity in and between neighborhoods, including provision of bike lane routes. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4-1 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES 4.1.2 OVERVIEW OF OPPORTUNITY SITES Based on the evaluation of existing conditions and the potential for future development in the three neighborhoods of Tustin Town Center, a total of seventeen (17) opportunity sites (Figure 4-1) were identified. The sites were selected based on the following criteria: • Underutilization of land, buildings, or both • Key location with high visibility • Underperforming use • Buildings in state of disrepair • Use incompatible with surrounding uses, i.e. industrial close to residential uses • Access or traffic issues • Feasibility of development in the short- or long-term Of the seventeen opportunity sites identified in the three neighborhoods of Tustin Town Center, three (3) sites, one in each of the three neighborhoods, were identified as prototypical and having potential as catalyst sites warranting further exploration: • Site 3 in the Center City neighborhood; • Site 9 in the Southern Gateway neighborhood; and, • Site 12 in the West Village neighborhood. All key opportunity sites have the potential to significantly improve the neighborhoods and initialize development on other opportunity sites (Figure 4-1). For the prototypical site testing of each key opportunity site, i.e. the testing of building placement and size as well as a feasible site layout based on site-specific development assumptions, and its financial feasibility analysis, refer to Chapter 5. While the improvement and development of all opportunity sites will likely play together to achieve the overall goals for each neighborhood over time, current and future market conditions as well as fluctuations in population and the job market will dictate the pace and phasing of development. The three identified key opportunity sites, however, present viable opportunities for development in the short- or mid-term due to the following factors: Site 3, Center City The site is strategically located at the intersections of El Camino Real, Newport Avenue, and the ramps connecting to the I-5 Freeway. Due to its accessibility from Newport Avenue and El Camino Real, and the proximity to Old Town, the redevelopment of the site can contribute to forming an attractive gateway to the neighborhood. A large portion of the site is currently vacant while the owner of the existing fast-food restaurant expressed a desire to relocate the building as part of a reconfiguration of the site. 4-2 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES Site 9, Southern Gateway The site is currently occupied by an underperforming retail center that is in need of renovation or reconfiguration. Centrally located at the intersection of Walnut Avenue and Newport Avenue, the two main traffic connectors in the neighborhood, an improved retail center or a new mixeduse can start to form a currently missing commercial focal point in the neighborhood. The size and shape of the parcel is ideal for a variety of development solutions. Site 12, West Village Compared to other opportunity sites in the neighborhood, the consultant team feels that development of this site would be most beneficial to the neighborhood as it can accommodate uses that were identified as needed the most: retail in proximity to the residential areas, open space, and a central meeting place. Due to its location at the intersection of McFadden Avenue and Tustin Village Way, the site has high visibility and the offers the opportunity to announce an entrance to the neighborhood. The site amounts to 5.9 acres including the Caltrans parcel, which allows for a larger scale, phased development. The city has the option to purchase the Caltrans parcel and convert it to a public use, which makes the site an ideal candidate to accommodate much needed open space for the neighborhood. The existing The Jewelry Exchange store already attracts customers on a regional level and can become an anchor for new retail or mixeduse development. All other buildings of the retail center are currently sitting vacant, indicating market conditions which may not be supporting the type of tenant mix that the commercial center was designed for. This is a situation which may facilitate a relook at the type of appropriate uses on the site that would facilitate redevelopment. With the right type of development, the site can provide a center for commercial and recreational activity to the neighborhood. FIGURE 4-1: OVERVIEW PLAN OF OPPORTUNITY SITES AND KEY OPPORTUNITY SITES 2 2 9 0 KEY OPPORTUNITY SITE STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4-3 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES 4 . 2 C e n ter C ity N eigh borhood 4.2.1 CENTER CITY CONCEPT PLAN ALTERNATIVES For the Center City Concept Plan, two alternatives were studied, Alternative A (Figure 4-2) and Alternative B (Figure 4-3). Both alternatives follow the general objectives described below and suggest solutions common to both alternatives as well as ones specific to each alternative. A discussion of each opportunity site follows the discussion of alternative concept plans for each neighborhood. A. STRENGTHEN ARTERIAL CORRIDORS, REVITALIZE ARTERIAL RETAIL USES, AND CREATE EMPLOYMENT OPPORTUNITIES Many commercial parcels and buildings along the Newport Avenue, Red Hill Avenue, and El Camino Real corridors are underutilized, not well-maintained, and dominated by parking lots. Important goals for the neighborhood include the improvement of the visual appearance of both corridors, the revitalization of commercial and retail uses, and the creation of additional employment opportunities. Recommended improvements under either of the two concept plan alternatives would include upgrades to the buildings and parking layouts, lot consolidation, change of uses on selected sites, and streetscape improvements, such as improved sidewalks, bike lanes, and continuous street trees. The alternative concept plans for the Center City Neighborhood identify streets for streetscape improvements in general terms, whereas specific streetscape and hardscape improvements within the public right-of-way would require further study. Improvements common to both Alternatives 4-4 • On Newport Avenue, the existing commercial parcels on the east side of Newport Avenue between Bonita Street and Andrews Street are identified for upgrades. • On the El Camino Real corridor between Newport Avenue and 6th Street, upgrades are proposed for a series of commercial parcels on the north side of El Camino and south of 6th Street close to Old Town. • The existing church site on the west side of Red Hill Avenue will be developed with an approved 201-unit senior housing complex. • On the south side of El Camino Real at the intersection of El Camino Way and El Camino Real, a new two-story office building with ground floor retail has been approved and will replace the existing office building. THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES FIGURE 4-2: ALTERNATIVE A Upgrade/ Renovate Existing Commercial Uses along Newport Ave New Retail/ Residential Mixed-Use with Retail oriented to El Camino Br ya ue Cir cle An dr ew sS tre et Upgrade/ Renovate Existing Residential te ro Upgrade Existing Commercial Upgrade/ Intensify Existing Residential nA ve n Main Street Es New Residential with Lower Buildings and Setbacks along 6th Street Upgrade Existing Residential Triplexes Approved New Commercial Use Sa nJ ua nS tre et tA ve El Camino Real Lambert School Intensify/ Consolidate Identified Existing Residential Uses between Newport Ave and Orange St or W aln Ne wp ut St re e t ni ta St St re et Bo El Camino Way re e t El Or an ge B Street 6th Street Sa nJ Ca m Tustin High School in ua nS ea Potential El Camino Way Alternative Roadway Access (Subject to Further Study) tre et oR l Ca m Re al Av en ino Re d Hi ll New Retail/ Office Mixed-Use Upgrade Existing Commercial ue EL Improve Existing Retaining Wall with Vegetation or Public Art Upgrade Existing Commercial Center City Neighborhood Boundary Retail/ Residential Mixed-Use Town Center Redevelopment Area Streetscape Improvements (subject to further study) South Central Redevelopment Area Existing Class I Bikeway Public Use Planned Class I Bikeway Private Institutional Institutional Use Use Private Planned Class II Bikeway Commercial Retail Use Potential Bikeway Route Commercial Retail with Office Use Proposed Upgrades/ Improvements Commercial Office Use Proposed Change of Use and/or Consolidation Commercial Office with Retail Use Review Alternative Roadway Access Other Commercial Use Multi-Family Residential Use Single Family Residential Use STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4-5 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES Improvements specific to each Alternative Alternative A (See Figure 4-2) • The parcels south of El Camino and east of Newport Avenue are suitable for commercial upgrades and infill development on the vacant portion of the parcel. • On the south side of El Camino Real at the intersection of El Camino Way and El Camino Real, directly to the south of the new two-story retail/office building and also fronting on both streets, new commercial retail and office uses are proposed to complement the existing uses at the intersection of El Camino Real and Newport Avenue. • On Red Hill Avenue, upgrades are proposed for the existing commercial parcels north of El Camino and west of Red Hill Avenue. Alternative B (See Figure 4-3) 4-6 • The parcels south of El Camino and east of Newport Avenue can be consolidated and redeveloped with new commercial office use and retail fronting on Newport Avenue and El Camino Real. • On the south side of El Camino Real at the intersection of El Camino Way and El Camino Real, directly to the south of the new two-story retail/office building and also fronting on both streets, new mixed-use is proposed as a part of a larger mixed-use development site between 6th Street, El Camino Real, El Camino Way, and B Street. • On Red Hill Avenue, upgrades and lot consolidation are proposed for the existing commercial parcels north of El Camino and west of Red Hill Avenue. • The Red Hill Center site on the east side of Red Hill Avenue is converted into retail and office mixed-use. THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES FIGURE 4-3: ALTERNATIVE B Approved New Commercial Use New Mixed-Use with Retail oriented to El Camino Br Upgrade Existing Residential Triplexes ya ue Cir cle An dr ew sS tre et Upgrade/ Renovate Existing Residential te ro Upgrade Existing Commercial Upgrade/ Intensify Existing Residential nA ve n Main Street Es New Low-Scale Atrium Type Office Buildings Upgrade / Renovate Existing Commercial Uses along Newport Ave Sa nJ ua nS tre et Av e El Camino Real Lambert School Intensify/ Consolidate Identified Existing Residential Uses between Newport Ave and Orange St po rt W aln Ne w ut St re e t ni ta St St re et El Camino Way Bo re e t El Or an ge B Street 6th Street Sa nJ Ca m Tustin High School in ua nS tre et oR ea Potential El Camino Way Alternative Roadway Access (Subject to Further Study) l Ca m Re al Re d Hi ll Av en ino ue EL Study Design Options to Form Gateway to Old Town Improve Existing Retaining Wall with Vegetation or Public Art New Retail/Office Mixed-Use New Commercial Office with Retail Use Upgrade and Consolidate Existing Commercial Town Center Redevelopment Area Retail/ Residential Mixed-Use South Central Redevelopment Area Streetscape Improvements (subject to further study) Study Design Options to Form Gateway Public Use Existing Class I Bikeway Private Institutional Institutional Use Use Private Planned Class I Bikeway Commercial Retail Use Planned Class II Bikeway Commercial Retail with Office Use Potential Bikeway Route Commercial Office Use Proposed Upgrades/ Improvements Commercial Office with Retail Use Proposed Change of Use and/or Consolidation Other Commercial Use Review Alternative Roadway Access Multi-Family Residential Use Single Family Residential Use STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4-7 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES B. IMPROVE STREETSCAPES AND EMPHASIZE GATEWAYS The Center City Neighborhood is located north of the I-5 Freeway. There are on- and off-ramps to the Freeway at Newport Avenue and Red Hill Avenue, the two north and south major arterials traversing the neighborhood. The I-5 Freeway ramps provide limited access from and to Newport Avenue as the exit off-ramp on the south side of the I-5 Freeway at Newport Avenue is restricted and not all southbound movements on the freeway permit exiting at Newport Avenue given improvement design constraints on the I-5 Freeway. The on-ramp on the north side at Newport is for northbound traffic only. Both Newport and Red Hill Avenue intersect with El Camino Real near the freeway and the two locations serve as community entry gateways to the neighborhood and the entire city. The intersection of Newport Avenue and El Camino is also the main gateway to Old Town. To reinforce the importance of a community gateway situation both visually and spatially, gateway streetscape improvements should be made at these locations. There are several opportunity sites at both intersections that can help shape a future gateway. In addition to the Newport Avenue and Red Hill Avenue corridors, several other streets in the area are identified for streetscape improvements provide for an enhanced pedestrian environment and visual appearance. Streetscape improvements may include but would not be limited to sidewalk widening, consistent street trees, planting strips, medians, reconfiguration of travel lanes and on-street parking, traffic calming measures, pedestrian crosswalks, traffic signals, new street lighting, and furniture. All locations shown for proposed streetscape improvements depicted in the neighborhood plans are conceptual in nature and are subject to further study. Improvements common to both Alternatives • Streetscape improvements such as medians, street trees, signage, and public art can support the gateway appearance and will require detailed study. • Beautification of the freeway retaining wall is shown along El Camino Real with vegetation or public art. • Site layout and building design at these locations require further study and design guidelines need to be developed to reinforce the community gateways. Improvements specific to each Alternative Alternative A (See Figure 4-2) • Streetscape enhancements are proposed along El Camino Real between Newport Avenue and Red Hill Avenue. Alternative B (See Figure 4-3) • 4-8 Lot consolidation and change of use for the purpose of new development is proposed at the intersection of Newport Avenue and El Camino Real, as well as at the northeast intersection of Red Hill Avenue and El Camino Real. THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES C. ENRICH THE LIVABILITY OF RESIDENTIAL NEIGHBORHOODS, INCREASE SUPPLY OF AFFORDABLE HOUSING, CREATE EMPLOYMENT OPPORTUNITIES FOR RESIDENTS, AND IMPROVE CONNECTIVITY The Center City Neighborhood is the only neighborhood that includes industrial uses; they are located on the south side of 6th Street east of B Street. To improve the livability of the existing residential uses on the north side of 6th Street and to create more employment opportunities, the properties on the south side of 6th Street are proposed for a change of use to either residential or office uses. Similarly, the area between B Street and El Camino is underutilized with underperforming commercial uses with the opportunity for a higher density mix of uses more appropriate to the location due its proximity to Old Town. New development in this area should reinforce the entry to Old Town, and become an attractive destination and gateway to Old Town. Some residential parcels in the area between Newport Avenue, Orange Street, San Juan Street, and Bonita Street are underutilized and some existing buildings are in sub-standard condition. These parcels, particularly given multi-family zoning and their proximity to Newport Avenue, are suitable for intensification through lot consolidation and infill development. Improvements common to both Alternatives • New residential and retail mixed-use is proposed for the parcels between El Camino Real, El Camino Way and B Street, with ground-floor retail oriented towards El Camino Real. Lot consolidation and new access streets, including the potential reconfiguration of El Camino Way, would be required to accommodate the mixed-use development. • The new residential or office development along the south of 6th Street should have an adequate greenbelt-like setback. • To mitigate the visual impact of new development along the south side of 6th Street relative to the existing single-family houses on the north side of 6th street, building heights should not exceed two stories along 6th Street and should gradually step up towards the freeway with as many as five stories along the freeway. • Intensification and upgrades of residential uses is shown on identified parcels located between Newport Avenue, Orange Street, San Juan Street, and Bonita Street. Intensification includes lot consolidation and conversion from single-family to multi-family residential uses. • Improvements should be made to maintenance of residential and commercial properties through aggressive code enforcement and rehabilitation programs that might be offered. Improvements specific to each Alternative Alternative A (See Figure 4-2) • The existing industrial uses south of 6th Street and east of B Street are replaced with new multi-family residential uses. Alternative B (See Figure 4-3) • The existing industrial uses south of 6th Street and east of B Street are replaced with new atrium-type office uses. • New residential and retail mixed-use is proposed for some parcels east of El Camino Way and west of El Camino Real. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4-9 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES 4.2.2 CENTER CITY OPPORTUNITY SITES The following diagrams provide background and descriptions of each of the opportunity sites identified in the Center City neighborhood under each concept plan alternative. CENTER CITY OPPORTUNITY SITES 1-3: EXISTING CONDITIONS 1 2 Site 1: 6th Street and B Street Total Area: 8.4 acres Site 2: El Camino and 6th Street Total Area: 11.4 acres Industrial/ Retail/ Office Use Site 3: Newport Ave and El Camino Total Area: 3.2 acres Retail Use SITE FEATURES SITE LIMITATIONS • • SITE 1: • Proximity to existing single-family residential land uses north of 6th Street requires sensitive solution for future uses, massing, and building heights • • • • • Close proximity to Downtown Good connectivity to El Camino & the I-5 Freeway Gateway location to Downtown Good visibility from El Camino and from parts of Newport Avenue Well served by public streets Existing retail, office and residential adjacent to sites Potential for parcel consolidation OPPORTUNITIES • Potential parcel consolidation • Intensification along El Camino 4-10 3 Industrial Use THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING SITE 2: • Depth of parcels require improved accessibility SITE 3: • Triangular shape of parcel limits efficient site layout on the east side STRATEGIC GUIDE 09.21.2010 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES CENTER CITY OPPORTUNITY SITES 1-3: ALTERNATIVE A 1 2 Residential Use (Ownership) 3 Mixed-Use: Neighborhood Retail & Residential (Ownership) Mixed-Use: Retail & Office Retail Use No Change ALTERNATIVE A SITE 1: • New residential (ownership) with lower buildings up to 2 stories and setbacks along 6th Street and up to 5 stories along the freeway; the transition from 2 to 5 stories should occur gradually SITE 2: • New mixed-use: neighborhood retail & residential (ownership) with retail fronting on El Camino Real • Potential El Camino Way alternative roadway access (to be studied) • New mixed-use: retail & office use on east side of El Camino Way SITE 3: • Upgrade and consolidate existing commercial uses STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4-11 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES CENTER CITY OPPORTUNITY SITES 1-3: ALTERNATIVE B 1 2 3 Office Use (2-5 stories) Mixed-Use: Neighborhood Retail & Residential (Ownership) Mixed-Use: Office & Retail ALTERNATIVE B SITE 1: • New low-scale atrium type office buildings up to 2 stories and setbacks along 6th Street and higher office buildings up to 5 stories along the freeway; the transition from 2 to 5 stories should occur gradually SITE 2: • New mixed-use: neighborhood retail & residential (ownership) use with retail fronting on El Camino Real • Potential El Camino Way alternative roadway access (to be studied) • New mixed-use: neighborhood retail & residential (ownership) use between El Camino Way and El Camino SITE 3: • Study design options to form gateway to Old Town • New mixed-use: office & retail use 4-12 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES CENTER CITY OPPORTUNITY SITES 4-5: EXISTING CONDITIONS Site 4: Red Hill Avenue & El Camino Total Area: 2.4 acres Site 5: Red Hill Avenue & El Camino Total Area: 10.4 acres 4 5 Retail/ Other Commercial Use Retail Use SITE FEATURES • • • • • • Good connectivity to El Camino and the I-5 Freeway Good visibility from El Camino and Newport Avenue Southern portion of the site is visible from the I-5 Freeway Existing residential, retail, and office adjacent to sites Gateway location Potential for parcel consolidation SITE LIMITATIONS SITE 4: Residential uses on east and north side require • sensitive site layout and transitions SITE 5: • Depth of parcels requires creative solutions for accessibility and visibility South-eastern parcels are only visible from El • Camino OPPORTUNITIES • Potential parcel consolidation • Intensification along Red Hill Avenue STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4-13 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES CENTER CITY OPPORTUNITY SITES 4-5 ALTERNATIVE A SITE 4: • Upgrade existing commercial uses SITE 5: • Renovate or upgrade existing retail/commercial center and motel 4 5 Retail/ Other Commercial Use - No Change/ Upgrade Only Retail Use No Change/ Upgrade Only ALTERNATIVE B SITE 4: • Upgrade existing commercial uses or consolidate parcels into one large parcel for new commercial development • Form new gateway in combination with Site 5 4 5 Mixed-Use: Neighborhood Retail & Office Retail Use No Change/ Upgrade Only 4-14 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING SITE 5: • New mixed-use: neighborhood retail & office use on consolidated site • Form a new gateway in combination with Site 4 STRATEGIC GUIDE 09.21.2010 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES 4 . 3 S o uth ern Gateway Neig hb orhood 4.3.1 SOUTHERN GATEWAY CONCEPT PLAN ALTERNATIVES For the Southern Gateway Concept plan, two alternatives were studied, Alternative A (see Figure 4-4) and Alternative B (see Figure 4-5). Both alternatives follow the general objectives described below and suggest solutions common to both alternatives as well as ones specific to each alternative. A discussion of each opportunity site follows the discussion of alternative concept plans for each neighborhood. A. STRENGTHEN ARTERIAL CORRIDORS, REVITALIZE ARTERIAL RETAIL USES, AND CREATE EMPLOYMENT OPPORTUNITIES The concept plan alternatives for the Southern Gateway neighborhood propose several land use changes and streetscape improvements to revitalize the neighborhood. Improvements common to both Concept Plan Alternatives • Several commercial parcels on both sides of Newport Avenue between McFadden Avenue and Nisson Avenue are identified for upgrades. • The parcel at Mitchell Avenue and Newport Avenue, as well as the triangular-shaped block between McFadden Avenue, Newport Avenue and Walnut Avenue, are suitable for new mixed-use development, if the existing lots are consolidated into a larger site. • The residential area between Sycamore Avenue and Myrtle Avenue with frontage along Newport Avenue is part of a larger area identified for major residential redevelopment. • Streetscape improvements are proposed along the entire stretch of Newport Avenue within the neighborhood in order to improve the pedestrian environment. Specific measures and recommendations, based on available right-of-way might include improved sidewalks, medians, bike lanes, and other streetscape improvements which will require a detailed study. • The proposed extension of Newport Avenue to the south, including the Newport underpass, will provide a new connection to the SR-55 Freeway. • Improvements should be made to maintenance of residential and commercial properties through aggressive code enforcement and rehabilitation programs that might be offered. Improvements specific to each Alternative Alternative A (See Figure 4-4) • The retail center located at Newport Avenue and the south side of Walnut Avenue is identified for upgrades. • The commercial parcel north of the existing youth center, located at Newport Avenue and Sycamore Avenue, provides the opportunity for a youth center expansion site for the Tustin Family Youth Center. • Upgrades are proposed for the residential area south of Sycamore Avenue and both west (properties along Kenyon Drive) and east of Newport Avenue. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4-15 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES Alternative B (See Figure 4-5) • The retail center located at Newport Avenue and the south side of Walnut Avenue is suitable for office and retail mixed-use development. This site and the triangular-shaped mixed-use site bounded by McFadden Avenue, Newport Avenue and Walnut Avenue are ideal sites to form a new neighborhood center, due to their central location and high visibility. • The Tustin Family Youth Center parcel at Sycamore Avenue and Newport Avenue could be combined with the adjacent commercial parcel to the north and the parking lot to the east to form a larger site for commercial use. The site could serve as an additional gateway entry point to the corridor from the SR-55 Freeway from the Sycamore Avenue freeway ramps. This would necessitate the relocation and additional land area needed for outdoor activities for the Tustin Family and Youth Center which might be located north of Sycamore to the west of Pasadena Avenue to provide a more centralized location and additional relief for denser portions of the Neighborhood. • The office building belonging to the existing medical complex and fronting on Newport Avenue can be reused for commercial office uses. • The residential area south of Sycamore Avenue and east of Newport Avenue is proposed for lot consolidation and residential redevelopment. • Since the neighborhood lacks open space, new institutional and residential development can include small open space amenities. B. ENRICH THE LIVABILITY OF RESIDENTIAL NEIGHBORHOODS, INCREASE SUPPLY AND DIVERSITY OF HOUSING, REDUCE OVERCROWDING, IMPROVE CONNECTIVITY, AND PROVIDE ADDITIONAL OPEN SPACE Several older residential areas need improvements or are identified for redevelopment to enhance the overall housing supply and quality of buildings in the neighborhood. Suggested improvements are building upgrades, lot consolidation to create larger sites for new residential development, and changes of use from underperforming commercial uses to residential uses. New residential development can create better connectivity in the neighborhood through reconfiguration of access streets and pedestrian pathways. The neighborhood currently lacks open spaces. New institutional and residential development can include open space amenities for residents as well as limited access to the public. Improvements common to both Alternatives 4-16 • Combining the single-family residential area, located at Mitchell Avenue and B Street, with the underperforming commercial site to the north could form a larger site for possible new multifamily residential development. The new larger site would require new access from B Street. • Renovation and upgrades are proposed for the area bounded by Del Amo Avenue, Carfax Drive, and Scherer Place, which is currently developed with four-plex residential buildings in conjunction with site development. • The proposed mixed-use project located at the southeast corner of Mitchell Avenue and east of Newport Avenue includes multifamily-residential use. • Lot consolidation is proposed in the area south of Altadena Drive between Newport Avenue, Sycamore Avenue, and Myrtle Avenue, in order to form a larger site for new residential development. Closed street portions in this area can either become part of the development land or the right-of-way can be maintained for emergency access (subject to further study). THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES • New landscaping is proposed within the Caltrans right-of-way area at the SR-55 Freeway ramp and the Sycamore Avenue freeway exit. • New residential development at B Street and Altadena Drive could include small, publicly accessible open spaces that serve neighborhood residents in addition to the private open space required by code. Improvements specific to each Alternative Alternative A (See Figure 4-4) • The lot consolidation in the area south of Altadena Drive would include the vacation of Bliss Lane and the western portion of Altadena Drive. • The residential area located south of Sycamore Avenue and west of Newport Avenue is identified for renovation and upgrades. • A potential cul-de-sac or partial closure of a portion of Pasadena Avenue (subject to further study) is identified. • A proposed potential expansion of the youth center at Sycamore Avenue should include open spaces. Alternative B (See Figure 4-5) • The lot consolidation in the area south of Altadena Drive would include the vacation of Bliss Lane, Altadena Drive, and the southern end of Myrtle Avenue in conjunction with site development. A new street is proposed along the north side of the new development site that connects Pasadena Avenue with Newport Avenue in east-west direction. The consolidation includes a potential street closure and vacation of Pasadena Avenue between Altadena Drive and Sycamore Avenue. • The residential parcels along Kenyon Drive are combined into one large site for new multifamily residential development or for consolidated ownership and upgrade improvements including the ability to add additional parking. The proposed consolidation includes the abandonment of Kenyon Drive. • New or upgraded residential development at Kenyon Drive can include small amenity open spaces. • A potential relocation of the Family Youth Center at Pasadena Avenue (or any other location) should include a publicly accessible open space for neighborhood residents. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4-17 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES FIGURE 4-4: ALTERNATIVE A (- (,$!1)(,)&$;$,-$(" ,$ (-$& $, *"+ ;$,-$(" )'' +$& ,)( 0 ,$ (-$& 0 )'' +$& -$& ( *"+ ;$,-$(" )'' +$& - + - $,,) 0 -$&!!$ $; , - 55 -+ ;*(,$)()! ;$,-$("9).-# (- + $- # # 1 ' (( ( )+ & - / ) / ' & *"+ ;$,-$(" )'' +$& (- )+ ( *"+ ;$,-$(" )'' +$& / &- (+ *"+ ;$,-$(" ,$ (-$& .- 0* (- &( &$,,( *"+ ;$,-$(" )'' +$& 1+-& / 08 " --$)( &)("+ 01 '* 0 -$& ,$ (-$& $; , && / (/ (. , (/ )- (-$&.& )+ +-$&&),.+ )!)+-$)( )!, (/ 2.: - -).+-# +-.13 # / + + & ; ! + + *"+ ()/- ;$,-$(" ,$ (-$& &(( 0*)+/ ;- (,$)( &) + # +)*), $ ($(" )! 0*)+- / (. ' / & )+ ' ' 1 0 ,$ (-$&)( )(,)&$- $- ) / + 7 (1) ( + *"+ ;$,-$(" $&)'*& ; -+ -,* '*+)/ ' (-, )'*& - -+ -+ ,2,.: --) !.+-# +,-.13 ).-# +(6- 01 $"#)+#)) ).(+1 ).-# (-+& / &)*' (-+ &(( &,, $% 01 .&$, )- (-$& $% 01).- +$/- (,-$-.-$)(&, +)*), *"+ , '*+)/ ' (-, )'' +$& -$&, +)*), #(" )!, )'' +$& -$&0$-#!!$ , *-$)(&&),.+ )!, (/ )'' +$&!!$ , .&-$'$&1 ,$ (-$&, )- (-$&-+ -8-$)(0$-# )-)(,)&$-$)( $("& '$&1 ,$ (-$&, $&01 -$& ,$ (-$&$; , 4-18 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 0 150 300 600 STRATEGIC GUIDE 09.21.2010 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES FIGURE 4-5: ALTERNATIVE B (- (,$!1)(,)&$;$,-$(" ,$ (-$& *"+ ;$,-$(" )'' +$& 0 ,$ (-$& $,,) ( *"+ ;$,-$(" )'' +$& - + - 0 -$&!!$ $; , 55 )- (-$& 0 9).-# (- +$- ,)( - 0-+ 2.: --) .+-# +-.13 -+ &),.+ ( )*-$)(&/-$)( )!, (/ 2.: --) .+-# +-.13 $, 0 )'' +$& -$& $- # 0 -$& ,$ (-$& $; , && / (/ (. *"+ )(,)&$- ;$,-$(")'' +$& 1+-& / &( .- / *"+ ;$,-$(" )'' +$& ( # 1 ' (( ( )+ & # / + 7 (1) ( + + & ., ;$,-$(" .$&$(" )'' +$&!!$ , )(,)&$- ( *"+ ;$,-$(" ,$ (-$& ).-# (-+& / &)*' (-+ ; ! + + ' &) + *"+ ()/- ;$,-$(" ,$ (-$& *"+ ;$,-$(" $&)'*& ; &(( 0*)+/ ;- (,$)( ).-# +(6- 01 $"#)+#)) ).(+1 / # +)*), $ ($(" )! 0*)+- / (. & )+ ' ' 1 ) / + 0 ,$ (-$&)( )(,)&$- $- 0 -$&!!$ $; , & (- ' ) / &$,,( )+ (- - / &- (+ 0* , (/ 08 " --$)( &)("+ 01 '* 0)(,)&$- )'' +$&$- -+ -,* '*+)/ ' (-, )'*& - -+ -+ ,2,.: --) !.+-# +,-.13 &(( &,, $% 01 .&$, &(( &,, $% 01 +$/- (,-$-.-$)(&, )- (-$& $% 01).)'' +$& -$&, )'' +$& -$&0$-#!!$ , )'' +$&!!$ , .&-$'$&1 ,$ (-$&, +)*), *"+ , '*+)/ ' (-, +)*), #(" )!, &),.+ )!, (/ $("& '$&1 ,$ (-$&, )- (-$&-+ -8-$)(0$-# )-)(,)&$-$)( -$& ,$ (-$&$; , +)*), 0-+ $&01 STRATEGIC GUIDE 09.21.2010 0 150 300 600 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4-19 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES C. IMPROVE STREETSCAPES In addition to Newport Avenue, several other streets in the area are identified for streetscape improvements to provide for an enhanced pedestrian environment and visual appearance. Streetscape improvements, where adequate right-of-way exists, can include sidewalk improvements, consistent street trees, planting strips, medians, reconfiguration of travel lanes and on-street parking, traffic calming measures, pedestrian crosswalks, traffic signals, new street lighting and street furniture. All proposed streetscape improvements that are illustrated in the neighborhood plans are conceptual in nature and are subject to further study. Improvements specific to each Alternative Alternative A (See Figure 4-4) • Streetscape enhancements are proposed for the intersection of McFadden Avenue and Newport Avenue. Alternative B (See Figure 4-5) • 4-20 Streetscape enhancements are proposed at McFadden Avenue and Walnut Avenue. THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES 4.3.2 SOUTHERN GATEWAY OPPORTUNITY SITES The following provides background of opportunities of each of the opportunity sites identified in the Southern Gateway neighborhood under each concept plan alternative. SOUTHERN GATEWAY OPPORTUNITY SITES 6-7: EXISTING CONDITIONS Site 6: Newport Ave & Mitchell Ave Total Area: 3.5 acres Current Use: Commercial Retail and Residential Retail Use/ Residential Use Site 7: Newport Ave & Mitchell Ave Total Area: 1.4 acres Current Use: Commercial Retail 6 Retail Use 7 SITE FEATURES SITE LIMITATIONS SITE 6: • Marks the northern end of the Southern Gateway neighborhood • Connectivity to Newport Avenue and limited access to the I-5 Freeway from Newport Avenue • Good visibility from the I-5 Freeway exit and Newport Avenue • Existing commercial and residential uses adjacent to site SITE 7: • Retail location on west side difficult due to depth of parcel • Northern parcels require improved access for future use OPPORTUNITIES • Potential parcel consolidation • Intensification along Newport Avenue SITE 7: • High visibility from Newport Avenue • Efficient parcel shape • Site is surrounded by residential uses STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4-21 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES SOUTHERN GATEWAY OPPORTUNITY SITES 6-7: ALTERNATIVE A & B Residential Use (Rental/ Ownership) 6 Mixed-Use: Retail & Residential (Rental/ Ownership) 7 SITE 6: Intensify existing residential uses (rental/ ownership) Consolidate residential parcels and add new residential (rental/ ownership) on north side replacing the existing retail center SITE 7: New mixed-use: retail & residential (rental/ ownership) use 4-22 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES SOUTHERN GATEWAY OPPORTUNITY SITES 8-9: EXISTING CONDITIONS Site 8: Newport Ave and Walnut Ave Total Area: 2.7 acres Current Use: Commercial Retail with some Office Retail/ Office Use 8 Site 9: Newport Ave and Walnut Ave Total Area: 3.9 acres Current Use: Commercial Retail with some Office Retail/ Office Use 9 SITE FEATURES Central location along Newport Avenue • corridor Good connectivity to and visibility from • Newport Avenue and McFadden Avenue Existing commercial and residential uses • adjacent to site Sites are served well by public streets • SITE 8: • High visibility and accessibility from McFadden, Newport, and Walnut Avenue SITE LIMITATIONS SITE 8: Triangular shape is more difficult to develop • OPPORTUNITIES Potential parcel consolidation for new • development • Sites 8 and 9 can form a new center for the neighborhood SITE 9: • Efficient parcel shape accessible from Newport and Walnut Avenue STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4-23 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES SOUTHERN GATEWAY OPPORTUNITY SITES 8-9 ALTERNATIVE A SITE 8: New mixed-use: retail & office use Mixed-Use: Retail & Office 8 9 SITE 9: Upgrade existing commercial use Retail/ Office Use No Change/ Upgrade Only ALTERNATIVE B ALTERNATIVE B Mixed-Use: Retail & Office 8 SITE 8: New mixed-use: retail & office use SITE 9: New mixed-use: retail & office use Mixed-Use: Retail & Office 9 4-24 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES SOUTHERN GATEWAY OPPORTUNITY SITES 10-11: EXISTING CONDITIONS Site 10: Newport Ave and Sycamore Ave Total Area: 6.3 to 10.2 acres Current Use: Residential Residential Use 10b Retail Use 10a 11a Youth Center and Medical Center Parking Lot Site 11: Newport Ave and Sycamore Ave Total Area: 0.5 to 2.5 acres Current Use: Youth Center, Commercial Retail, Parking 11b SITE FEATURES • • • • • • Gateway location High visibility and accessibility from Newport Avenue and Sycamore Avenue Good connectivity to Newport Avenue, Sycamore Avenue, and the SR-55 Freeway Efficient parcel shapes Residential and institutional uses adjacent to sites OPPORTUNITIES • • • • • Potential parcel consolidation at both sites to form larger development site Potential closure of Pasadena Avenue to reduce through traffic Possible reconfiguration of access streets to use Site 10 more efficiently Intensification along Newport Avenue Newport Avenue extension will increase access to neighborhood STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4-25 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES SOUTHERN GATEWAY OPPORTUNITY SITES 10-11: ALTERNATIVE A Residential Use (Ownership) Youth Center Expansion SITE 10 a: • Potential cul-de-sac or partial closure of a portion of Pasadena Avenue • Potential street vacation of Bliss Lane and the western portion of Altadena Drive • Lot consolidation east and west of Pasadena Avenue to redevelop as new residential (ownership) 10a 11a SITE 11a: • Expansion of Existing Youth Center on existing commercial site ALTERNATIVE B Residential Use (Ownership) New Youth Center w/ Green Space 10 a+b Retail Use 11 a+b SITE 10 a+b: Potential youth center site • on the east side of Pasadena Avenue Potential cul-de-sac or • partial closure of a portion of Pasadena Avenue Potential street vacation • of Bliss Lane, the western portion of Altadena Drive, and the southern portion of Myrtle Avenue Lot consolidation east and • west of Pasadena Avenue to redevelop as new residential (ownership) on the east side and new youth center on the west side New east-west street • connecting Pasadena with Newport Avenue SITE 11 a+b: New consolidated retail • site, adjacent to upgraded existing medical complex 4-26 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES 4 . 4 We s t V il l age Neighb orhood 4.4.1 WEST VILLAGE CONCEPT PLAN ALTERNATIVES For the West Village Concept plan, two alternatives were studied, Alternative A (Figure 4-6) and Alternative B (Figure 4-7). A. STRENGTHEN ARTERIAL CORRIDORS, REVITALIZE ARTERIAL RETAIL USES, AND CREATE EMPLOYMENT OPPORTUNITIES The West Village neighborhood is bounded by Main Street, the I-5 and SR-55 Freeways, McFadden Avenue, and the city boundary to Santa Ana. McFadden is a major street that passes by the neighborhood at its southern end. The existing commercial uses along McFadden Avenue are underperforming or vacant. These parcels are opportunity sites for new commercial or mixed-use development, particularly at the intersection of Tustin Village Way, which could serve as a new neighborhood node and visual entry to the West Village. The two alternative concept plans for the neighborhood show the following proposed improvements: Improvements common to both Alternatives • Upgrade and renovate the small existing commercial retail uses at the intersection of Main Street and Williams Street. Improvements specific to each Alternative Alternative A (See Figure 4-6) • Upgrade or replace existing commercial retail uses at the intersection of McFadden Avenue and Williams Street. • Upgrade and renovate existing commercial retail uses at McFadden Avenue and the west side of Tustin Village Way. • Develop vacant, underutilized and underperforming parcels at McFadden Avenue and the west side of Tustin Village Way and develop with new commercial retail uses. • Upgrade and potentially consolidate the existing retail center at McFadden Avenue and the east side of Tustin Village Way to provide improved access and visibility. Alternative B (See Figure 4-7) • Replace existing commercial retail uses at the intersection of McFadden Avenue and Williams Street with new infill residential use to concentrate commercial activity at the intersection of McFadden Avenue and Tustin Village Way. • Consolidate the commercial parcels at McFadden Avenue and west of Tustin Village Way to provide one large parcel for new commercial development. • Redevelop the existing retail center at McFadden Avenue and the east side of Tustin Village Way with residential and retail mixed-use development that includes public open space. • Add new small commercial uses on the west side of Williams Street at Main Street in connection with a proposed redevelopment of the mobile home park. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4-27 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES FIGURE 4-6: ALTERNATIVE A &%( *"+ ()/- ;$,-$(")'' +$& $(-+ - )+ & $( 0#))& ;*(,$)( +)*), )$(- +%$("!)+ $"#)+#)) (+%, (- .,-$(8$&&" 1 )- (-$& 0 $"#)+#)) +%$- ) + $ '(( #))& ( 55 &&$( -+ - 0.&$ * (* (- (( ( & $&&$',-+ - # ).-# 0 ,-.,-$(#((( & *"+ )(,)&$;$,-$(" )'' +$& -$& (- + (/ (. *"+ ()/- ;$,-$(")'' +$& 0 )'' +$& -$&, 0 )'' +$& -$&, +)*), *"+ , '*+)/ ' (-, ,-8$&&" $")+#)) ).(+1 .&$, +)*), #(" )!, )'' +$& -$&, $&01 .&-$'$&1 ,$ (-$&, -+ -,* '*+)/ ' (-, 2,.: --)!.+-# +,-.13 &(( &,, $% 01 &(( &,, $% 01 4-28 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 0 150 300 600 STRATEGIC GUIDE 09.21.2010 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES FIGURE 4-7: ALTERNATIVE B *"+ ;$,-$(" )'' +$&, &%( 0)'' +$& -$&$- 0 ,$ (-$&, 0$-#(- "+- .&$* (* $(-+ - 0 ,$ (-$& , 0$-#(- "+- .&$* (* 0-+ -4;- (,$)( )!.,-$(8$&&" 1 2.: --).+-# + -.13 )+ & $( +)*), )$(-+%$(" !)+#))&( $"#)+#)), .,-$(8$&&" 1 0#))& ;*(,$)( ) + $ '(( #))& *"+ ;$,-$(")+ 0 ,$ (-$&, 5 $(&. '&&+% 55 (- ( &&$( -+ - (- # ( ).-# 0 ,-.,-$(#((( & (( & 0 -$& ,$ (-$& $; , $&&$',-+ - (/ (. 0(!$&& ,$ (-$& )(,)&$- $- 0)'' +$& -$&, ,-8$&&" $")+#)) ).(+1 +)*), *"+ , '*+)/ ' (-, .&$, +)*), #(" )!, )'' +$& -$&, +)*), 0-+ .&-$'$&1 ,$ (-$&, $&01 -$& ,$ (-$&$; , -+ -,* '*+)/ ' (-, 2,.: --)!.+-# +,-.13 &(( &,, $% 01 &(( &,, $% 01 STRATEGIC GUIDE 09.21.2010 0 150 300 600 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4-29 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES B. ENRICH THE LIVABILITY OF RESIDENTIAL NEIGHBORHOODS, INCREASE SUPPLY AND DIVERSITY OF HOUSING, REDUCE OVERCROWDING, IMPROVE CONNECTIVITY, AND PROVIDE ADDITIONAL OPEN SPACE. The West Village is primarily characterized by self-contained residential areas and two large mobile home parks located at the northern end of Williams Street. The neighborhood also currently lacks much needed public open spaces. The Robert Heidemann School, located on the west side of Williams Street, is a neighborhood asset whose playing fields are currently the only open space in the neighborhood albeit not available for non-curriculum activities and not open to the public. Williams Street is the only north-south street that provides a connection between McFadden Avenue and Main Street, and Alliance Street is an internal street which connects Williams to Tustin Village Way. Some residential buildings on the south side of Alliance Street are not in good condition and selected parcels could serve as opportunity sites for redevelopment. The redevelopment of the two large mobile home park sites into new residential uses could help to improve connectivity and access to the neighborhood with new streets and open space included as part of development. The two alternative concept plans for the neighborhood show the following proposed improvements: Improvements common to both Alternatives • Work with Tustin Unified School District to obtain additional public access to outdoor play areas at the existing Heidemann School site. • Identify the small residential site located immediately southeast of the school site for a future school expansion. The site location is ideal for integration in the school site due to its proximity to the school and the frontage along Williams Street. Improvements specific to each Alternative Alternative A (See Figure 4-6) 4-30 • Propose new public open space on the south side of Alliance by converting several parcels located at the south side of Alliance Street from residential use to public open space. • The five westernmost parcels at the intersection of Williams and Alliance Streets are opportunity sites for additional joint parking for the small park and potential parking areas for school uses during school hours. • Convert existing Caltrans parcel at the SR-55 Freeway into public open space. THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES Alternative B (See Figure 4-7) • Upgrade existing or develop new residential uses on a portion of the south side of Alliance Street. • Propose new public open space on the south side of Alliance Street. The five westernmost parcels east of Williams on the south side of Alliance would be developed as a small open space. • Use both mobile home park sites for potential new multi-family residential development that includes new public open space. The development of the eastern site would provide the opportunity to introduce a new east-west street that would extend from Tustin Village Way west to Williams Street. • Add new small commercial uses on the west side of Williams Street at Main Street and connect it with a proposed redevelopment of the mobile home park. • Replace the existing commercial use at McFadden Avenue and Williams Street with infill residential uses. • Propose a possible new mixed-use development on Tustin Village Way at McFadden that could include a new neighborhood plaza. C. IMPROVE STREETSCAPES Streetscape improvements are proposed on public streets in the neighborhood to enhance connectivity and the pedestrian environment. Streetscape improvements, depending on available right-of-way, might include sidewalk improvements, installation of consistent street trees or planting strips, reconfiguration of travel lanes and on-street parking, traffic calming measures, improvements to pedestrian crosswalks, traffic signals, new street lighting, and furniture. The proposed streetscape improvements, which are shown on the neighborhood plans, are conceptual in nature and are subject to further study. Improvements common to both Alternatives Propose streetscape improvements along Williams Street, Alliance Street, and Tustin Village Way. Improvements, depending on available right-of-way, might include the addition of street trees and street furniture, new street lights, sidewalk and pedestrian crosswalk improvements, bike lanes, reconfiguration of curb cuts, and improvements to street parking. Alternative B (See Figure 4-7) A new street connecting Tustin Village Way and Williams Street would occur if new development of one of the mobile home parks occurs. Its design would be coordinated with the other proposed street improvements. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4-31 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES 4.4.2 WEST VILLAGE OPPORTUNITY SITES The following provides background opportunities for each of the opportunity sites identified for the West Village neighborhood under each concept plan alternative. WEST VILLAGE OPPORTUNITY SITES 12-13: EXISTING CONDITIONS Site 12: Tustin Village Way and McFadden Ave Total Area: 5.9 acres Current Use: Vacant / Commercial Retail Site 13: Tustin Village Way and McFadden Ave Total Area: 0.6 acres Current Use: Vacant / Commercial Retail Retail Use Retail Use Vacant 12 13b 13a SITE FEATURES • • • • • SITE LIMITATIONS Can benefit from traffic on McFadden and serve as a gateway to the West Village Surrounded by existing residential and commercial uses Good visibility from the SR-55 Freeway High visibility from McFadden Ave and Tustin Village Way Efficient parcel shape and size OPPORTUNITIES • • • • 4-32 SITE 12: Limited visibility from McFadden traveling • east due to overpass ramp • Site requires improved access configuration due to parcel depth • No direct access from freeway SITE 13: • Residential use on west side requires sensitive site layout and transitions Potential parcel consolidation at both sites Both sites can serve as a neighborhood center due to gateway location Intensification along McFadden Avenue and Tustin Village Way Joint use agreement with school district to make the open space at Robert Heidemann School available for neighborhood recreational use THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES WEST VILLAGE OPPORTUNITY SITES 12-13: ALTERNATIVE A Public Park Retail Use No Change/ Upgrade Only Retail Use SITE 12: • New public open space on Caltrans parcel • Upgrade or consolidate existing retail center SITE 13 a: • Upgrade or renovate existing commercial use and add new retail commercial use on vacant site Retail Use No Change/ Upgrade Only 12 13a ALTERNATIVE B SITE 12: • New mixed-use: retail & residential (ownership) use on consolidated site Mixed-Use: Retail & Residential (Ownership) SITE 13 a+b: • Consolidate parcels and redevelop entire site with new retail use Retail Use 12 13 a+b STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4-33 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES WEST VILLAGE OPPORTUNITY SITES 14-15: EXISTING CONDITIONS Site 14: Alliance Street Total Area: 2.0 acres Current Use: Residential Site 13: Williams Street Total Area: 0.3 acres Current Use: Residential Residential Use 15 Residential Use 14 SITE FEATURES Central location in the West Village • Sites are adjacent to school and residential uses • Sites are fronting on public streets • OPPORTUNITIES Future open space can provide much needed amenity • and improve Alliance Street Ideal location for school expansion • Potential parcel consolidation for new development • Joint use agreement with school district to make the • open space at Robert Heidemann School available for neighborhood recreational use 4-34 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES WEST VILLAGE OPPORTUNITY SITES 14-15: ALTERNATIVE A SITE 14: • Potential new park site • Proposed new parking for joint neighborhood and park use on the west side of parcel Joint Parking for Park and Neighborhood New Neighborhood Park SITE 15: • New school expansion site adjacent to existing school 15 School Expansion Site 14 ALTERNATIVE B Joint Parking for School and Neighborhood Residential Use (Ownership) SITE 15: • New school expansion site adjacent to existing school 15 School Expansion Site STRATEGIC GUIDE 09.21.2010 SITE 14: Proposed new parking for joint • school and neighborhood use, or alternatively, new neighborhood park Upgrade existing or new • residential use (ownership) including a small park 14 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4-35 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES WEST VILLAGE OPPORTUNITY SITES 16-17: EXISTING CONDITIONS 16 17 Residential Use Site 16: Williams (east) Total Area: 18.6 acres Current Use: Mobile Home Park Residential Use Site 17: Williams (west) Total Area: 18.7 acres Current Use: Mobile Home Park Residential Use SITE FEATURES • Site fronts on Main Street and Williams Street • Large, mainly rectangular shaped parcels • Site is surrounded by residential and commercial uses • Proximity to existing school Residential Use SITE LIMITATIONS SITE 16: Depth of parcel requires additional access streets • Parcel can currently only be accessed from two public • streets, Main Street and Williams Street SITE 17: Depth of parcel requires additional access streets • Parcel can currently only be accessed from Williams • Street The parcel is oddly shaped on the north side and • borders on the freeway retention wall Noise from the freeway • OPPORTUNITIES SITE 16: High visibility from Main Street and Williams Street • Large size of parcel allow for various site layouts • Opportunity site for additional small neighborhood • retail use SITE 17: Adjacent to residential uses • Site has a protected setting due to east west • orientation and freeway along the northern boundary 4-36 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 NEIGHBORHOOD CONCEPT PLAN ALTERNATIVES AND OPPORTUNITY SITES WEST VILLAGE OPPORTUNITY SITES 16-17: ALTERNATIVE A: SAME AS EXISTING CONDITIONS - NO PROPOSED CHANGE WEST VILLAGE OPPORTUNITY SITES 16-17: ALTERNATIVE B Retail Use 16 Residential Use (Ownership) 17 Residential Use (Ownership) SITE 16: New residential use (ownership) with integrated public open space ( size and location to be determined in further study) New retail use at the corner of Main Street and Williams Street SITE 17: New residential use (ownership) with integrated public open space (size and location to be determined in further study) New street connecting Tustin Village Way with Williams Street STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 4-37 5 . TE S TIN G O F A LT ER NATIV E S AN D K E Y O P P O RTUN ITY SITE S TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES 5 . 1 Ge neral Devel opment Assum p tions Field Paoli formulated development assumptions for each of the three key opportunity sites (refer to Chapter 4 for discussion of opportunity sites and key opportunity sites). In addition to the development assumptions which were site specific, there were general assumptions which were applicable to all three sites as listed below. In addition, the “Prototype Opportunity Sites Testing” by Field Paoli for the three sites included illustrative drawings of one potential conceptual development approach possible on each site; other approaches are possible for the sites. The sites were considered for development in accordance with several criteria: 1. Allowable uses and quantities in accordance with the City’s zoning code (“Chart of Development Thresholds”), 2. A “Refined Market Analysis” by Keyser Marston Associates (KMA), 3. Physical arrangements of the uses as depicted in scaled conceptual designs for the sites (“Prototype Opportunity Sites Testing”) by Field Paoli, and 4. “Traffic Testing of Concept Alternatives” memorandum by Austin-Foust Associates (A-F). For each of the three opportunity sites, two alternative development scenarios were formulated: one that has a single use with less development intensity – “Alternative A”, and; one that has multiple uses and has a higher intensity of development – “Alternative B” (refer to Chapter 4 for Concept Plan Alternatives). A discussion of the development assumptions follows the “Chart of Development Thresholds,” the traffic study, and concept plans guided the layout plans for each key opportunity site. Please refer to the Appendix A.2 for the Development Thresholds Charts, and Appendix A.3 for the detailed Traffic Testing Memorandum. Subsequent to the formulation of development assumptions, Keyser Marston Associates (KMA) used the development assumptions and the conceptual designs to perform economic feasibility analyses for “Alternative B” for each of the three (3) sites. KMA’s memorandum also is included as a separate document in Appendix A.4, entitled “Financial Feasibility Analysis for Key Opportunity Sites”. GENERAL DEVELOPMENT ASSUMPTIONS General assumptions for development on the three opportunity sites were in keeping both with KMA’s refined market analysis and with the alternative approaches for the opportunity sites that Field Paoli presented publicly at the second community workshops. The 2008 Refined Market Analysis specifically identifies competing developments and projects absorption for each land use. For this analysis KMA undertook a cursory review of the existing retail, office, and rental residential markets as compared to the findings of the 2008 Refined Market Analysis. KMA also relied on the 2008 Refined Market Analysis for identification of competing developments and projected absorption for each product and further relied on Agency staff for updated market data. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 5-1 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES The general characteristics assumed in the analysis for office space classifications is based on the Building Owners and Managers Association International (BOMA), as follows: • Class A: Most prestigious buildings competing for premier office users with rents above average for the area. Buildings have high quality standard finishes, state of the art systems, exceptional accessibility and a definite market presence. • Class B: Buildings competing for a wide range of users with rents in the average range for the area. Building finishes are fair to good for the area and systems are adequate, but the building does not compete with Class A at the same price. • Class C: Buildings competing for tenants requiring functional space at rents below the average for the area. The general assumptions were revised and clarified: 5-2 1. Office uses will be Class B or special, boutique space in a height that is suitable for the market and site limitations. The floor plates will be 17,000 square feet or larger per floor with a central core and curtain wall on all sides. The office buildings will be highly amenitized and in a commercial environment with support services. 2. Retail uses follow principles of visibility, accessibility, and spatial preferences to maximize retailing success. The assumption relates to all sites in the three neighborhoods in which retail spaces are included. 3. Pedestrian access and convenience will be given high priority along street frontages and at gathering spaces. The assumption applies to all three of the opportunity sites. 4. Buildings will be sited to recognize views, to serve as visual markers, and to define public ways and spaces. This assumption is applied as much as possible to each site in the three neighborhoods. 5. Parking will be surface and unstructured for development, except for at least two spaces per dwelling unit for residential parking, which will be covered or in a garage. 6. Spatial provisions will be made as site configurations permit for possible structured parking in future phases of development. Structured parking could be economically feasible at a future date and site development today should not preclude possible future redevelopment of the sites at a higher density. THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES 5 . 2 C i t y Cen ter Neigh b orhood 5.2.1 TRAFFIC TESTING OF CONCEPT PLAN ALTERNATIVES For the Center City Neighborhood Area, a traffic evaluation was carried out for the two Neighborhood Plans (Alternatives A and B, described in Chapter 4) on existing conditions assuming the vacation of El Camino Way south of El Camino Real. The intensity of the land uses proposed in Alternative A in Center City would result in an approximate 32% increase in the AM peak hour and under Alternative B volumes would be slightly more than double in the AM peak hour compared to existing conditions. The doubling of trips could likely trigger significant impacts to the intersections analyzed in this area even though most are currently operating at a Level-of-Service (LOS) “B”, which on a LOS scale from “A” to “F” means that the intersections are well-perfoming and allow for reasonable free flow of motorized traffic . For definitions of the different LOS classifications according to the American Association of State Highway and Transportation Officials (AASHTO) please refer to the Glossary of Terms in Appendix A.1. Any land use combination selected will likely cause adverse traffic operation hot spots in the area if the trip generation is higher than land use Alternative A. In addition, there are operational issues that would need to be addressed under either land use alternative. The potential operations hot spots that will occur in either land use Alternative A or B are the I-5 Freeway interchange ramps and El Camino Real intersections along Newport Avenue and Red Hill Avenue. With a high LOS “B” at the intersection El Camino Real and Newport Avenue there are no capacity issues expected in the neighborhood assuming LOS “D” as being acceptable. However, there are potential operational issues at intersections that could occur during the peak hour. The movement that would likely be most affected by project traffic is the left-turn at Newport Avenue and Red Hill Avenue going away from the I-5 Freeway at the intersection with El Camino Real. Currently a challenge today due to the closely spaced intersections, the left-turn lane on Newport Avenue to El Camino Real currently cannot accommodate the existing left-turn volume of 247 vehicles in the PM peak hour with a pocket of approximately 125 feet. To properly store the left-turning vehicles without impeding through traffic, a pocket length of 250 feet is required to accommodate the volume which cannot be achieved because of the close proximity to the I-5 Freeway northbound on-ramp. The same movement on Red Hill Avenue at El Camino Real presents more of a challenge even with two left-turn lanes because of the signals at the I-5 Freeway northbound ramp intersection that are approximately 130 feet away. Although no data is available to make a definite determination, the office uses proposed in Alternative B will likely create a hot spot at El Camino Real/Sixth Street intersection with a potential need to improve/ provide northbound left on El Camino Real and eastbound right on Sixth Street. A proposed vacation of El Camino Way is identified under Neighborhood Plan Alternatives A and B. The vacation would not be an issue provided the current access is not completely eliminated for internal properties needing access to El Camino Real utilizing such tools as easements, or relocating the access and/or providing or modifying other access way driveways. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 5-3 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES 5.2.2 CENTER CITY - KEY OPPORTUNITY SITE 3 Based on the evaluation of several opportunity sites in the neighborhood (refer to Chapter 4), the site located on the south-eastern corner of El Camino Real and Newport Avenue was selected for further testing. The combined parcels comprise a total of 138,695 sf and form a triangular-shaped site. The site borders on the I-5 Freeway on its south side, which is elevated with an approximately 20 feet high concrete retaining wall. The current uses on the site are a fast-food restaurant and a vacant restaurant building, both facing Newport Avenue, and a self-serve car-wash and animal hospital on the west side of the site. Driveways to the restaurants are located on Newport Avenue and El Camino Real. All buildings are modest, single story structures with surface parking. The center of the site is vacant. The surrounding uses are single-story retail centers along Newport Avenue and El Camino Real, as well as a two-story apartment building and single-story residential building with a commercial use on the north side of El Camino Real. Av en ue The study includes two layout alternatives: one scheme testing a lower intensity, commercial use, and the second one testing a combination of office and commercial retail use. Both alternatives lie within the established development thresholds (refer to Appendix A.2) and assume parking ratios set forth in City of Tustin City Code. Ca Ne w po rt El m in o Re al 3 Inte 5-4 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING rst ate 5 STRATEGIC GUIDE 09.21.2010 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES SITE 3 - Center City ALTERNATIVE A El Camino Real Site: 3.18 acres/ 138,695 SF Newport Avenue Bldg B Retail 1 168 sp. Bldg A Retail 1 I-5 0 100 200 0 100 200 Uses: Retail: 41,800 SF total Freestanding Retail Bldg A: 29,500 SF - 1 story Freestanding Retail Bldg B: 12,300 SF - 1 story Parking: Demand: 167 spaces at 4/1000 SF Supply: 168 surface spaces SITE 3 - Center City ALTERNATIVE B El Camino Real Bldg A 3 Lobby Newport Avenue Site: 3.18 acres/ 138,695 SF Retail/ Office Bldg B 1 230 s p. I-5 Uses: Retail: 20,000 SF total Groundfloor Retail in Bldg A: 11,000 SF Freestanding Retail Bldg B: 9,000 SF - 1 story Office: 40,000 SF/ 20,000 per Floor - 3 stories (2 office over 1 retail) Parking: Total by Zoning: 230 spaces Total Supply: 230 surface spaces Retail Zoning: Office Zoning: STRATEGIC GUIDE 09.21.2010 80 spaces total at 4/1000 SF 150 spaces total at 4/1000 SF for first 25,000 SF and 3.33/1000 SF above 25,000 SF THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 5-5 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES 5.2.2a Site Specific Development Assumptions for Site 3 The consultant team tested Opportunity Site #3 in the Center City to determine the feasibility of a potential prototypical project. The site specific assumptions utilized and conclusions of this analysis follows: 1. Site 3 is comprised of three parcels: 2.42, .40 and .36 acres, which total 3.18 acres in area. 2. For Alternative A, the following assumptions were identified: upgrade the existing commercial retail use with as much as 41,800 square feet of retail use and accompanying parking. 3. For Alternative B, the following assumptions were identified: the site would be a new mixeduse development with retail and office uses with the following summary of development: 4. 5-6 • Office: New 3-story office building with retail on the ground floor at Newport and El Camino Real, approximately 20,000 square feet per floor on two office floors for a total of 40,000 square feet of office; • Retail: New retail spaces of approximately 11,000 square feet as part of the new office building, and a freestanding retail building or buildings of approximately 9,000 square feet; totaling about 20,000 square feet of retail space; and, • Parking: Not less than 230 surface parking spaces, provided at a minimum of 4 spaces per 1,000 square feet of retail use. For office use, parking is provided at a minimum of 4 spaces per 1,000 square feet for the first 25,000 square feet and 1 space per 300 square feet above 25,000 square feet. Note: If any portion of Site 3 is intended to support restaurant uses, a higher parking standard for such use of 1 space per 100 gross square feet would be required. • The site layout study revealed that the building areas of office and retail uses, provided with their accompanying surface parking in accordance with the zoning ordinance, was somewhat less than the estimate for Alternative B in the Chart of Development Thresholds. The Chart of Development Thresholds for Alternative B showed an estimate of 25,000 square feet of commercial retail space plus 45,000 square feet of commercial office space for a total of 70,000 square feet of space. Two vehicular entrances on El Camino Real, are shown. But, it might be possible under an actual development scenario to combine driveways on El Camino. A right-in/right-out only access onto Newport Avenue may also be allowed, if deemed necessary. THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES 5.2.2b Alternative Feasibility Analysis for Site 3 The Center City site (Site 3) is comprised of three parcels totaling 3.18 acres. The development scenario assumes construction of a three-story building at Newport and El Camino Real containing 40,000 square feet (SF) of office and 11,000 SF of retail space occupying the ground floor. For the office space, KMA is projecting this to be Class B type space. The development scenario also includes a one story 9,000 SF freestanding retail building. Retail and office parking is accommodated in a surface lot configuration with a total of at least 230 parking spaces. Total Development Costs KMA anticipates that this development scenario will be of Type V construction and have estimated total development costs (excluding land) of $9.3 million or $156 per SF gross building area (GBA), as follows: • Direct construction costs consist of such items as off- and on-site improvements, parking, shell construction, tenant improvements, and contingency. For these analyses, KMA has assumed no payment of prevailing wages. Total direct costs are estimated at $6.8 million, or $113 per SF GBA. • Indirect costs consist of architecture, engineering, public permits and fees, legal and accounting, taxes and insurance, developer fee, marketing/sales/lease-up, and contingency. Total indirect costs are estimated at $1.9 million, or 28% of direct costs. • Financing costs consist of such items as loan fees, interest during construction and leasing. Total financing costs are estimated at $677,000, or 10% of direct costs. Net Operating Income KMA has estimated that the proposed development scenario will generate net operating income (NOI) totaling $946,000 annually. The following assumptions were used in determining this figure: • Gross scheduled income (GSI) of $1.2 million, or an average lease rate of $1.79 per SF per month. • Overall vacancy factor of 5%. • Unreimbursed retail operating expenses at 5% of retail GSI. • Office expenses of $4 per SF per year. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 5-7 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES Residual Land Value After assuming the capitalized value of the NOI from the retail, and office space, this scenario generates a total project value of $12.6 million. After deducting a cost of sale (3% of value), developer profit (12% of value), and total development costs, KMA finds the proposed project generates a residual land value of $1.4 million, or $10 per SF of site area. It should be noted that while Site 3 generates a positive residual land value, this does not assume the proposed project is feasible. The residual land value is generally the amount a developer can feasibly afford to pay for a site after considering the project’s value against development costs and developer profit. KMA’s analysis has not estimated costs associated with acquisition, demolition of existing improvements, and/or relocation of existing occupants. SUMMARY TABLE - FINANCIAL FEASIBILITY FOR SITE 3 CENTER CITY STUDY AREA I. PROJECT DESCRIPTION Acres 3.18 Acres Residential Units 0 Units Retail Uses Freestanding Retail 9,000 SF Retail (in office/residential building) Total Retail SF 11,000 SF 20,000 SF Office Uses Net Leasable 34,000 SF Circulation / Common Area Total Office SF 6,000 SF 40,000 SF Parking Spaces 230 Spaces Type of Parking Surface Parking Ratios Residential 0.00 Spaces/Unit Retail 4.00 Spaces/1,000 sf Office (1) 3.75 Spaces/1,000 sf II. RESIDUAL LAND VALUE (2) Total Residual Land Value Per SF Site Area $1,378,000 $10/sf Site Area (1) Zoning code requires 4 spaces per 1,000 sf for first 25,000 sf, and 1 space per 300 sf for area above 25,000 sf. (2) Represents the value a developer can feasibly afford to pay for land. Land acquisition, demolition, and/or relocation are not included. 5-8 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES 5 . 3 S o uth ern Gateway Neig hb orhood 5.3.1 TRAFFIC TESTING OF CONCEPT PLAN ALTERNATIVES The traffic testing study was conducted for the two Neighborhood Concept Plans (Alternatives A and B, described in Chapter 4). In Southern Gateway, on an average daily trip basis, the intensity of land uses over existing for land uses, proposed in Alternative B would be expected to increase by as much as 29% and 20% for land uses proposed in Alternative A. Average Daily Trips (ADTs) generated by land uses under Alternatives A and B, 28,464 and 30,786, respectively, are not that different and would result in moderate increases in traffic. Therefore the focus of the evaluation and testing has been on the circulation alternative (i.e., Alternative A or B). Any land use combination selected will not likely cause adverse impacts provided the trip generation are not higher than land uses under Alternative B. With the absence of data, no definite determination can be made but it is likely that the change of retail to residential (even if mixed-use) in the northernmost portion of Alternative A will impact Newport Avenue at its intersection with Mitchell Avenue and Newport Avenue at the I-5 Freeway southbound off-ramp intersection particularly during the PM peak hour which has a high rightturning volume from the freeway ramp. Additional trips from both Center City and Southern Gateway also contribute traffic volumes to this ramp intersection. Alternative A in the southernmost portion of Southern Gateway includes a proposal to either culde-sac or partially close the southern portion of Pasadena Avenue where it currently connects to the Sycamore Avenue ramp to the SR-55 Freeway, and the potential vacation of Bliss Lane and Altadena Drive west of Pasadena Avenue. The potential vacation of Bliss Lane and the western portion of Altadena Drive in the event that lot consolidation is possible, will pose no significant traffic impacts as these are local serving roadways. In addition, the effect of potentially severing the connection of Pasadena Avenue to Sycamore Avenue would add additional traffic at the intersections of Newport Avenue at Walnut Avenue and Walnut Avenue at McFadden Avenue but no capacity issues are expected since the current LOS at these intersections is “A.” It is likely that with Alternative A (an increase of around 20% daily trips due to the land use changes) as well as closure of Pasadena Avenue to Sycamore Avenue, the intersection with the highest existing LOS (LOS “C”), Pasadena Avenue at McFadden Avenue, may experience higher LOS due to additional through traffic along McFadden Avenue. The addition of residential units and increase in traffic along Newport Avenue due to increased land use intensity and the closure of Pasadena Avenue may trigger the need for signals at the current Myrtle Avenue/Newport Avenue intersection. However, Altadena Drive and Myrtle Drive within the Southern Gateway are internal and narrow neighborhood streets that are expected to be slow speed and therefore would not be conducive to through traffic. Alternative B includes a proposal to potentially add a new east-west street between Pasadena Avenue and Newport Avenue north of Altadena Drive and the potential vacation of Altadena Drive, Bliss Lane, Pasadena Avenue south of Altadena Drive, and Myrtle Avenue south of the new street if lot consolidations occur. There are currently no capacity issues with the highest level of service of LOS “C” in the PM peak hour at Pasadena Avenue and McFadden Avenue intersection. The same concerns/issues that were discussed in Alternative A apply for Alternative B. However, instead of signals needed at Newport Avenue and Myrtle Avenue, which is vacated in Alternative B, the signals could be warranted at the new potential east-west road at Newport Avenue. This more-direct connection, like the one provided by the new east-west road from Pasadena Avenue to Newport Avenue, could potentially attract through traffic in the neighborhood especially STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 5-9 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES by vehicles that are travelling to and from the SR-55 Freeway northbound ramps at Sycamore Avenue or southern parts of Tustin particularly if the southern portion of Pasadena Avenue was potentially closed or vacated. No significant traffic impacts are expected with the proposed location of the youth center in both Alternatives A and B except for the possibility of a new signal which may be warranted at the new intersection of Newport Avenue at Myrtle Avenue (Alternative A) or the new east-west road (Alternative B). In addition, if under either alternative the proposed vacation of Pasadena Avenue to Sycamore Avenue is pursued by the City, the City will need to work with Caltrans to provide proper signage in order to inform drivers of the new route to and from the SR-55 Freeway northbound ramps. Neither Alternative A or B is expected to have any significant traffic impacts in the immediate surrounding area provided the resulting trip generation are not higher than identified for each Neighborhood (land use Alternative A in Center City, and land use Alternative B in Southern Gateway and West Village). However, the following are potential hot spots mainly dealing with operational issues at certain intersections that would need to be monitored and addressed (i.e., lane or signal operation improvements, if possible) as each neighborhood plan is developed: • • • • Newport Avenue at Mitchell Avenue and I-5 Freeway Southbound Ramps – The change of retail to residential (even if mixed-use) in the northernmost portion of Alternative A will add traffic that has different a directionality in the peak hours. The I-5 Freeway southbound offramp in particular will be affected in the PM peak hour, with homebound residential trips adding to an already high right-turning volume from the freeway ramp. Additional trips from both Center City and Southern Gateway will be contributing to this ramp intersection. McFadden Avenue at Pasadena Avenue, Myrtle Avenue, Newport Avenue – Additional traffic that is rerouted due to closure/vacation of Pasadena Avenue at Sycamore Avenue in both Alternatives could require lane or signal operation improvements or addition of signals in the case of Myrtle Avenue and McFadden Avenue intersection. Newport Avenue at Myrtle Avenue – This is likely to meet signal warrants due to closure of Pasadena Avenue at Sycamore Avenue, additional land uses and lot consolidation in Alternative A. Newport Avenue at New East-West Road – This is likely to meet signal warrants due to the closure of Pasadena Avenue at Sycamore Avenue, additional land uses and lot consolidation in Alternative B. Please refer to the Glossary of Terms in Appendix A.1 for definitions of the different LOS classifications according to the American Association of State Highway and Transportation Officials (AASHTO). 5-10 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES 5.3.2 SOUTHERN GATEWAY - KEY OPPORTUNITY SITE 9 Based on the evaluation of several opportunity sites in the neighborhood (refer to Chapter 4), the site located on the northeastern corner of Walnut Avenue and Newport Avenue was selected for further testing. The combined parcels comprise a total of 170,319 sf and form a rectangular-shaped site. The site borders primarily residential land uses. The current uses on the site are retail facing Walnut Avenue. Driveways to the site are located on Newport Avenue and El Camino Real. All buildings are modest, single story structures with surface parking adjacent to their primary entrances. en ue The study includes two layout alternatives: one scheme testing a lower intensity, commercial use, and the second one testing a combination of office and commercial retail uses. Both alternatives lie within the established development thresholds (refer to Appendix A.2) and assume parking ratios set forth in City of Tustin Parking Ordinance. Ne w po rt Av W al nu tA ve nu e 9 STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 5-11 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES SITE 9 - Southern Gateway ALTERNATIVE A Walnut Avenue Site: 3.9 acres/ 170,319 SF Newport Avenue Bldg A Retail Bldg B Retail 178 sp. 1 1 0 100 200 0 100 200 Uses: Retail: 41,000 SF total Freestanding Retail Bldg A: 16,000 SF - 1 story Freestanding Retail Bldg B: 25,000 SF - 1 story Parking: Total by Zoning: 164 spaces at 4/1000 SF Total Supply: 178 surface spaces SITE 9 - Southern Gateway ALTERNATIVE B Walnut Avenue Site: 3.9 acres/ 170,319 SF Newport Avenue Bldg A Uses: Retail: Bldg B Retail Lobby Office/1 Retail 3 272 sp. 1 34,000 SF total Groundfloor Retail Bldg A: 12,000 SF Freestanding Retail Bldg B: 22,000 SF - 1 story Office: 34,000 SF/ 17,000 per Floor - 3 stories (2 office over 1 retail) Parking: Total by Zoning: 266 spaces Total Supply: 272 surface spaces Retail Zoning: Office Zoning: 5-12 136 spaces total at 4/1000 SF 130 spaces total at 4/1000 SF for first 25,000 SF and 3.33/1000 SF above 25,000 SF THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES 5.3.2a Site Specific Development Assumptions for Site 9 1. Site 9 is comprised of three parcels of 2.26, 1.23 and .41 acres, which total 3.90 acres in area. 2. For Alternative A the following assumptions were identified: upgrade the existing commercial retail use with as much as 41,000 square feet of retail use and accompanying parking. 3. For Alternative B the following assumptions were identified: study new mixed-use development with retail and office uses. The new mixed-use development would include office and retail uses with the following summary of development: • Office: New 3-story office building with retail uses on the ground floor at Newport Avenue and Walnut Avenue, approximately 17,000 square feet per floor on 2 office floors for a total of 34,000 square feet of office; • Retail: New retail spaces of approximately 12,000 square feet as part of the new office building, and a new large store, which could be a grocery store, or several smaller shops at the eastern portion of site of approximately 22,000 square feet; and, • Parking: Not less than 266 surface parking spaces, provided at a minimum of 4 spaces per 1,000 square feet of retail use. For office use, parking is provided at a minimum of 4 spaces per 1,000 square feet for the first 25,000 square feet and 1 space per 300 square feet above 25,000 square feet. Note: if any portion of Site 9 is proposed for dental or medical uses or restaurant uses, parking requirements would be greater per City zoning code requirements. • The site layout study revealed that the building area of the retail use, provided with the office space and the accompanying surface parking in accordance with the zoning ordinance, was somewhat less that the estimate of Alternative B in the Chart of Development Thresholds. The Chart of Development Thresholds for Alternative B showed an estimate of 34,300 square feet of commercial retail space plus 34,300 square feet of commercial office space for a total of 68,600 square feet of space. 4. Two vehicular entrances on Walnut Avenue and one entrance on Newport Avenue; all entrances would be sited away from the intersection of the two streets by at least 240 feet. 5. A service drive approach and a loading dock are provided for the larger retail building from Walnut Avenue. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 5-13 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES 5.3.2b Alternative Feasibility Testing for Site 9 The Southern Gateway site (Site 9) is comprised of three parcels totaling 3.9 acres. The development scenario assumes construction of a three-story office building at Newport and Walnut containing 34,000 SF of office and 12,000 SF of retail space on the ground floor. The scenario also includes a one-story 22,000-SF freestanding retail building, which allows potential for a grocery story, drug store, or medium-sized tenant. Retail and office parking is accommodated in a surface lot with a total of at least 266 parking spaces. Total Development Costs KMA anticipates that this development scenario will be of Type V construction and has estimated total development costs (excluding land) to be $10.6 million or $156 per SF GBA, as follows: • Total direct costs are estimated at $7.7 million, or $113 per SF GBA. • Total indirect costs are estimated at $2.2 million, or 28% of direct costs. • Total financing costs are estimated at $0.8 million, or 10% of direct costs. Net Operating Income KMA has estimated that the proposed development scenario will generate a NOI totaling $1.1 million annually. The following assumptions were used in determining this figure: • GSI of $1.3 million, or an average lease rate of $1.75 per SF. • Overall vacancy factor of 5%. • Unreimbursed retail operating expenses at 5% of retail GSI. • Office expenses of $4 per SF per year. Residual Land Value After assuming the capitalized value of the NOI from the retail, and office space, this scenario generates a total project value of $14.7 million. After deducting a cost of sale (3% of value), developer profit (12% of value), and total development costs, KMA finds the project generates a modest residual land value of $1.9 million, or $11 per SF of site area. Similar to the Center City Site (Site 3), Site 9 also generates a positive residual land value and as previously mentioned does not account for costs associated with acquisition, demolition, and/or relocation. 5-14 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES SUMMARY TABLE - FINANCIAL FEASIBILITY FOR SITE 9 SOUTHERN GATEWAY STUDY AREA I. PROJECT DESCRIPTION Acres Residential Units 3.91 Acres 0 Units Retail Uses Freestanding Retail Retail (in office/residential building) Total Retail SF 22,000 SF 12,000 SF 34,000 SF Office Uses Net Leasable Circulation / Common Area Total Office SF Parking Spaces Type of Parking 28,900 SF 5,100 SF 34,000 SF 266 Spaces Surface Parking Ratios Residential 0.00 Spaces/Unit Retail 4.00 Spaces/1,000 sf Office (1) 3.82 Spaces/1,000 sf II. RESIDUAL LAND VALUE (2) Total Residual Land Value Per SF Site Area $1,908,000 $11/sf Site Area (1) Zoning code requires 4 spaces per 1,000 sf for first 25,000 sf, and 1 space per 300 sf for area above 25,000 sf. (2) Represents the value a developer can feasibly afford to pay for land. Land acquisition, demolition, and/or relocation are not included. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 5-15 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES 5 . 4 We s t V il l age Neighb orhood 5.4.1 TRAFFIC TESTING OF CONCEPT PLAN ALTERNATIVES A traffic evaluation was carried out for the two Alternatives A and B (refer to Chapter 4) against existing conditions for West Village. Alternative A assumes the existing circulation system and Alternative B includes a proposal to extend Tustin Village Way through a current private street to a new east-west street between Williams Street and Tustin Village Way running parallel to Alliance Avenue. Similar to the other neighborhoods, there are currently no capacity issues (i.e., intersections expected to be higher than the acceptable level of service of LOS “D”) with the highest level of service of LOS “B” at Tustin Village Way and McFadden Avenue intersection. Also ,out of the three neighborhoods proposed for changes, West Village is the least intense land use proposal with an increase in intensity of 15% in ADTs. This assumes a higher trip generating land use intensity under Alternative B which propose slight increases of retail and residential compared to the existing uses in the neighborhood. The increase in ADTs of 1,153 for Alternative A and 3,312 for Alternative B would add a low amount of traffic in the neighborhood that could likely be accommodated by the existing circulation or Alternative B circulation changes. Any land use or circulation combinations of the alternatives not generating more trips than Alternative B will likely have no adverse impacts. No capacity issues are expected with either alternatives, especially with the addition of an eastwest road parallel to Alliance Avenue. A likely benefit for the area under Alternative B is less local traffic using Williams Street due to the new east-west road that would provide a route to Tustin Village Way that runs parallel to Williams Street. Nevertheless, a potential hot spot that may need to be improved would likely be at the intersection of Tustin Village Way and McFadden Avenue because of additional traffic that is expected from the proposed land uses of either alternative as well as changes to the Southern Gateway neighborhood and the proximity to the SR-55 Freeway McFadden Bridge. Please refer to the Glossary of Terms in Appendix A.1 for definitions of the different LOS classifications according to the American Association of State Highway and Transportation Officials (AASHTO). 5-16 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES 5.4.2 WEST VILLAGE - KEY OPPORTUNITY SITE 12 Based on the evaluation of several opportunity sites in the neighborhood (refer to Chapter 4), Site 12, located on the southwestern corner of Tustin Village Way and McFadden Avenue, was selected for further testing. The combined parcels comprise a total of 176,694 sf and form a irregularly-shaped site. The site borders on Highway 55 on its east side. The current uses on the site are retail. Access via driveways are located on Tustin Village Way. All buildings are modest, single story structures with surface parking. The surrounding uses are commercial and residential. Tu s ti n Vi ll ag e Way The study includes two layout alternatives: one scheme testing a lower intensity, commercial retail and community uses; the second scheme tests a combination of residential, community, and commercial retail uses. Both alternatives lie within the established development thresholds (refer to Appendix A.2) and assume parking ratios set forth in City of Tustin Parking Ordinance. 12 Mc Fadden Avenue STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 5-17 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES 5.4.2a Site Specific Development Assumptions for Site 12 5-18 1. Site 12 is comprised of three parcels, of 3.28, .44 and .34 acres, which total 4.06 acres in area. In addition, the contiguous CalTrans parcel to the north is 1.96 acres and if added to the site, the total would be 6.02 acres. 2. For Alternative A, the following assumptions were identified: upgrade the existing commercial retail use with as much as 42,900 square feet of retail use and accompanying parking. The commercial development analysis at this time does not include the CalTrans parcel to the north of the site; the CalTrans parcel could be developed simultaneously or at a different time and conveyance of the site to the City from CalTrans could result in either a public park or possibly affordable housing integrated into a development (this would be separate prototype that would be evaluated if events warrant it) 3. For Alternative B, the following assumptions were identified: study new mixed-use development with retail and residential uses with the following summary of development, which is consistent with the Chart of Development Thresholds for alternative B showed an estimate of as much as 50,000 square feet of commercial retail space plus as many as 210 dwelling units of residential use. • Retail: New building of approximately 22,000 square feet, configured for possible grocery and pharmacy type uses; retail shops on the ground floor of residential mixed-use buildings along Tustin Village Way with approximately 18,000 square feet; total retail space of about 40,000 square feet; • Residential: New mixed-use buildings along Tustin Village Way with up to 40 residential dwelling units on the second and third floors; • Parking: A minimum of 254 spaces total with not less than 160 surface parking spaces for retail use at 4 spaces per 1,000 square feet; plus a minimum of 90 covered spaces for residential use at: two spaces per dwelling unit and an additional one guest space per 4 dwelling units; and, • Park: On the CalTrans parcel, the 1.96 acres could be developed as a public park with a community building on Tustin Village Way and surface parking provided (which could be connected with the surface parking on Site 12). • The site layout study revealed that the building area of the retail use, provided with the residential use and the accompanying covered and surface parking in accordance with the zoning ordinance, was somewhat less than the estimate of Alternative B. 4. One main vehicular entrance and one possible additional entrance for residential parking on Tustin Village Way, all entrances are away from the McFadden intersection by at least 240 feet. The CalTrans parcel would have one vehicular entrance on Tustin Village Way. 5. A service drive and loading docks are provided for the larger retail building along the sloped embankment for the bridge approach of McFadden Avenue over Highway 55. THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES SITE 12 - West Village ALTERNATIVE A Site: 4.06 acres/ 176,694 SF C D 1 1 Tustin Village Way B Bldg A Retail 1 Hwy 55 185 sp. 1 McFadden Avenue 0 Uses: Retail: 100 200 42,900 SF total Freestanding Retail Bldg A: 26,900 SF - 1 story Freestanding Retail Bldg B: 6,000 SF - 1 story Freestanding Retail Bldg C: 5,000 SF - 1 story Freestanding Retail Bldg D: 5,000 SF - 1 story Parking: Total by Zoning: 172 spaces at 4/1000 SF Total Supply: 185 surface spaces STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 5-19 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES SITE 12 - West Village ALTERNATIVE B Tustin Village Way Southern Parcels: 4.06 acres/ 176,694 SF Caltrans Parcel: 1.96 acres/ 85,332 SF CC Park Total Potential Site: 6.02 acres/ 262,026 SF Bldg C 1 166 sp. Hwy 55 3 Bldg A Retail Bldg B 3 1 McFadden Avenue 0 Uses: Retail: 100 200 Southern Parcels: 40,000 SF total Freestanding Retail Bldg A: 22,000 SF - 1 Story Groundfloor Retail Bldg B + C: 18,000 SF Residential: 40 Dwelling Units total - 3 stories (2 residential over 1 retail) Building B: 18 Units/ 2 stories over retail Building C: 22 Units/ 2 stories over retail (street frontage), over tuck-under parking (rear wing) Uses: Cal Trans Parcel: Community Center: 5,000 SF - 1 story Park: 1.1 acres/ 48,400 sf Parking: Total Retail: 166 surface spaces Total Residential: 80 underground spaces +12 tuck-under spaces Total Supply: 258 spaces Retail Zoning: Residential Zoning: 5-20 Total by Zoning: 160 spaces at 4/1000 SF 80 spaces at 2 spaces per unit plus 10 spaces at 1 guest parking space per 4 units 250 spaces Community Center: Separate surface lot (could be connected) THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES 5.4.2b Alternative Feasibility Analysis for Site 12 The West Village site generates a negative residual land value. This is due primarily to the high cost of structured parking and the inability for the residential units to achieve market rents sufficient to cover the cost of the structured parking. While the proposed development does incorporate affordable housing, the affordable housing does not create a significant burden on the land value. KMA’s calculation of moderate income rents exceeds achievable market rents in the West Village area, therefore, KMA has adjusted the moderate income rents downward to the market rent level. A potential alternative for this site is to develop a lower density residential development, i.e., eliminate need for structured parking and/or reduce parking requirements. Site 12 is comprised of three parcels totaling 4.06 acres. It should be noted that the contiguous CalTrans parcel to the north (1.96 acres), which could be used for a community center and park, has been excluded from this analysis. The scenario assumes construction of a three-story residential building along Tustin Village Way containing 40 rental apartment units with 18,000 SF of retail space occupying the ground floor. This scenario assumes the inclusion of 15% very low and moderate income housing units. The scenario also includes a one story 22,000 SF freestanding retail building, which may also potentially allow for a grocery story, drug store, or medium-sized tenant. Retail parking will be accommodated in a mix of surface and at-grade encapsulated parking with a total of at least 160 parking spaces. Residents of the apartment complex will be parked within the at-grade encapsulated structure as well as in the below-grade parking level. Parking for the residential component totals 90 parking spaces with an overall parking ratio of 2.25 spaces per unit (including guest parking). Total Development Costs KMA anticipates that this development scenario will be of Type V construction and have an estimated total development cost of $16.9 million or $202 per SF GBA, as follows: • Total direct costs are estimated at $12.1 million, or $145 per SF GBA. • Total indirect costs are estimated at $3.3 million, or 27% of direct costs. • Total financing costs are estimated at $1.5 million, or 12% of direct costs. Net Operating Income – Retail KMA has estimated the retail components of the proposed development scenario to generate NOI totaling $710,000 annually. The following assumptions were used in determining this figure: • GSI of $786,000, or an average lease rate of $1.64 per SF. • Overall vacancy factor of 5%. • Unreimbursed retail operating expenses at 5% of retail GSI. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 5-21 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES Net Operating Income – Residential KMA has estimated the residential component of the proposed development scenario will generate NOI totaling $460,000 annually. The following assumptions were used in determining this figure: • Mixed-income scenario including 2 very low income units (50% AMI), 4 moderate income units (110% AMI), and 34 market-rate units. The unit mix and income levels are in compliance with standard California Redevelopment Law requirements. • GSI of $771,000, or an average lease rate of $1.74 per SF (market-rate and affordable). Rents by bedroom type are as follows: INCOME LEVEL BY BEDROOM TYPE MONTHLY RENT/SF RENT One-Bedroom Very Low (50% AMI) $823 $1.03 $1,480 (1) $1.85 $1,480 $1.85 $922 $0.92 Moderate (110% AMI) $1,750 $1.75 Market-Rate $1,750 Moderate (110% AMI) Market-Rate Two-Bedroom Very Low (50% AMI) (1) Reflects downward adjustment to reflect achievable market rents. • Other income of $10 per unit per month. • Overall vacancy factor of 5%. • Annual operating expenses of approximately $6,900 per unit. Residual Land Value After assuming the capitalized value of the NOI from the retail, and residential components, this scenario generates a total project value of $17.1 million. After deducting a cost of sale (3% of value), developer profit (12% of value), and total development costs, KMA finds the project generates a negative residual land value of $2.3 million, or negative $13 per SF of site area. It should be noted that the negative land value will further increase once additional costs for acquisition, demolition, and/or relocation are factored in. 5-22 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 TESTING OF ALTERNATIVES AND KEY OPPORTUNITY SITES SUMMARY TABLE - FINANCIAL FEASIBILITY FOR SITE 12 WEST VILLAGE STUDY AREA I. PROJECT DESCRIPTION Acres Residential Units 4.06 Acres 40 Units Retail Uses Freestanding Retail Retail (in office/residential building) Total Retail SF 22,000 SF 18,000 SF 40,000 SF Office Uses Net Leasable 0 SF Circulation / Common Area 0 SF Total Office SF Parking Spaces Type of Parking 0 SF 250 Spaces Surface/ at-grade encapsulated / one level below-grade Parking Ratios Residential 2.25 Spaces/Unit Retail 4.00 Spaces/1,000 sf Office (1) 0.00 Spaces/1,000 sf II. RESIDUAL LAND VALUE (2) Total Residual Land Value Per SF Site Area ($2,334,000) ($13)/sf Site Area (1) Zoning code requires 4 spaces per 1,000 sf for first 25,000 sf, and 1 space per 300 sf for area above 25,000 sf. (2) Represents the value a developer can feasibly afford to pay for land. Land acquisition, demolition, and/or relocation are not included. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 5-23 6. PRE F E R R E D C O NC E P T P LA NS THE PREFERRED CONCEPT PLANS 6 . 1 Gu idel in es , Goal s, and S trateg ies for All N e i g hborh oods 6.1.1 GENERAL GOALS As identified in Section 4.1 of this report, there are goals for development and overall strategies for development that are applicable to all three neighborhoods. Overall Goals for the Three Town Center Neighborhoods • Increase the supply of housing • Enrich the livability of neighborhoods • Revitalize commercial uses on arterial streets • Upgrade the appearance of street corridors and community gateways • Create employment opportunities for residents Overall Strategies to Accomplish the Goals 1. Consolidate commercial uses along corridors into well-defined neighborhood centers and/or mixed-use developments 2. Redirect future development to key opportunity sites that will have the most positive impact on the neighborhood 3. Focus uses onto neighborhood-related and pedestrian-oriented sites to form synergistic benefits with residential uses 4. Relocate industrial uses away from residential and commercial centers 5. Convert underperforming commercial sites to other uses or mixed uses 6. Expand streetscape improvements along street corridors 7. Encourage introduction of moderate- to high-density residential development along street corridors, compatible with the adjacent neighborhood 8. Maintain an adequate supply of affordable housing 9. Encourage construction of a greater variety of residential product types to accommodate a variety of family sizes and price points 10. Develop additional park and open spaces, where possible, particularly within the West Village and Southern Gateway neighborhoods 11. Upgrade and revitalize older residential areas and reduce overcrowding 12. Improving connectivity in and between neighborhoods, including provision of bike lane routes STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 6-1 THE PREFERRED CONCEPT PLANS 6.1.2 GENERAL SITE DESIGN AND BUILDING DESIGN GUIDELINES General guidelines for site design and development within each neighborhood include access and connectivity, circulation, infrastructure, building placement, setbacks, density, building height, parking, open space, signage and lighting, and amenities. The guidelines also apply to all the identified opportunity sites in the three neighborhoods and have been applied in the conceptual testing of the three Key Opportunity Sites. The development uses and patterns for the three sites, as well as the conceptual designs depicted for the three sites, are one illustration of the application of the design guidelines for buildings within the neighborhoods. Land Uses and Densities The land uses that are considered in the three neighborhoods and which are addressed by the design guidelines include: office, retail, residential, institutional, government, service, and mixes of these uses. Open space is an included land use in the neighborhoods; design guidelines for development within an open space is confined to buildings that are sited within it. The development thresholds that have been established for opportunity sites in each of the neighborhoods range from a density of total development from 0.2 FAR to 0.5 FAR (see section 6.2 Preferred Neighborhood Concept Plans and Appendix A-2 Development Thresholds). The Preferred Concept Plans for the three neighborhoods explain the improvements, developments, and densities that are possible within each neighborhood. SITE DESIGN Building Siting, Setbacks and Entrances 6-2 • Building sites where mixed uses are permitted should have retail and personal services on ground floors when fronting on a street and residences and/or offices (depending on what is permitted by zoning) on any upper floors. This vertical mixing of uses creates variety and vitality along street frontages. • Buildings should be used to define the street spaces and public open spaces along the major street corridors and in the commercial centers of the neighborhood. • In commercial areas, buildings should be generally built to the front and side property lines, without intervening parking and landscaping, to create continuity in the streetscape. Drive-through configurations are discouraged. • Landmark or gateway buildings, including buildings which feature a tower or other architectural element, should be constructed on corner sites. These buildings can then function as gateways, introducing visitors to the heart of a neighborhood. • Buildings should be sited to recognize views, to serve as visual markers, and to define public ways and spaces. This assumption about site planning should be applied as much as possible to each site in the three neighborhoods. • Sites which form the end of view corridors or a change of direction in a street offer the possibility of siting special buildings or other vertical elements, and should be assigned THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 THE PREFERRED CONCEPT PLANS extra design value. Each of the neighborhoods contain such sites, which offer unique site possibilities for landmarks and special identity for the neighborhood. • For sites which are underutilized and which have issues with access, circulation, and configuration; consolidation of parcels and the introduction of easements should be considered. • For all three neighborhoods the size of city blocks should be kept relatively small and defined by public ways. Small blocks with short block frontages, and with pedestrian ways along both sides of streets, allow for a multiplicity of pedestrian access possibilities and provide many corner sites. • Crime opportunities should be reduced by incorporating elements into site design which create an atmosphere that does not encourage or invite unlawful activity. Some of the design strategies to accomplish this goal would include, but not be limited to: clear visibility maintained from a store to the street, parking areas, walkways and passing vehicles; entrances and exits under visual surveillance; landscaping, building, wall and fence locations which do not create hiding places or hinder visibility; physical features used to distinguish private areas from public areas; and well lighted outdoor areas for pedestrians and vehicular parking. Mixed- Use buildings should have ground floor retail and no setbacks to define the street and encourage pedestrian activity. Landmark buildings should have a higher building element such as a tower to increase visibility, provide orientation, or form a gateway. Building Scale, Mass, Form and Height • Buildings which occupy prominent sites along major streets or which are at the terminus of significant view corridors should be the tallest buildings in the neighborhood. The height allowances should be especially applicable for sites that are at or near freeway sites, with the provision that necessary transitions in height would be required for any adjacent residential neighborhoods. • The mass and scale of buildings should reflect the neighborhood or street character in which the buildings are located. Transitions should be made to neighboring buildings with the use of stepbacks and other architectural massing devices. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 6-3 THE PREFERRED CONCEPT PLANS Adjacency to Residential Uses • Developments which are not residential land uses and incompatible with residential uses, and which are adjacent or abutting existing residential development, shall provide buffering through setbacks with enhanced vegetation, berming, or other landscape features, unless they are compatible with residential uses, for example office uses or assisted care facilities. • Site development that is adjacent to single family residences needs to provide a transition in scale to the adjacent houses and properties through the height, massing and materials of the building, in addition to providing setbacks from the property lines of the adjacent neighborhood. • Low-density residential buildings should incorporate setbacks for front, side and rear yards, which are in the character of the area in which they are located; commercial and mixeduse buildings as well as high-density residential buildings should have minimal setbacks from street frontages, should be built to define the street, and should provide ample pedestrian ways, particularly in areas that should promote pedestrian activity and an urban environment including the articulation of gateways. Higher-density residential buildings should have minimal setbacks to define the street edge. Small setbacks can accommodate stairs, porches, and greenery. Larger residential developments should provide ample pedestrian ways to contribute to neighborhood walkability and connectivity Pedestrian Circulation and Open Space 6-4 • Pedestrian circulation should be an integral part of the layout of all site plans. The siting of buildings should be organized so that the buildings frame and reinforce pedestrian circulation and usable open spaces. • The site plan of each development should provide a complete network of pedestrian circulation, which interconnects building entrances, parking, sidewalks, adjacent properties and other key destinations. • Whenever there is the possibility in a proposed development of a ground level open space THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 THE PREFERRED CONCEPT PLANS for public gatherings, small or large, the open space should be encouraged and should be designed so that it is well defined with buildings that have active uses on the ground level. • Buildings with commercial uses should be located along the streets edges and at corners allowing for ample and protected pedestrian ways along street edges. • The design of public ways and the siting of buildings should consider possible future expansion of transit of various modes and the connections by foot and bicycle to the transit. • To promote a higher level of pedestrian awareness, the use of alternative paving materials to designate pedestrian traffic areas from vehicle areas and travel lanes is encouraged. Provide small ground level public spaces and connections as part of the development to encourage pedestrian activity Pedestrian paths along building edges should be designed to reinforce pedestrian circulation through a network of paths, open spaces, and attractive materials. Parking, Access and Vehicle Circulation • Buildings that front onto streets and that have on-site parking lots should have the parking located behind buildings to protect the visual quality of the buildings’ street frontage. • Parking areas should consist of separated parking fields located so that the parking areas are not the dominant visual feature along any street or intersection. • When parcels are located on corners, vehicular access should be gained from side streets. When access can only be gained from a primary street, consolidation of access points should be encouraged whenever possible, even if consolidation may require agreement among multiple owners. • Parking standards should be balanced for future changes in the built environment, so that the minimums of today can be reassessed in future decades with such ideas as shared parking, stacked and structured parking, parking districts, and parking maximums for certain land uses. • Spatial provisions should be made as site configurations permit for possible structured parking in future phases of development. Structured parking could be economically feasible at a future date and site development today should not preclude possible future redevelopment of the sites at a higher density. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 6-5 THE PREFERRED CONCEPT PLANS Amenities • Amenities for commercial and residential developments should be clearly demarcated for public and private access and use. • Public exterior amenities for commercial or institutional buildings should be accessible, well signed and lit, and well supervised. Signage and Lighting • Lighting for streets, public ways and surface parking should allow for color balance, safety, minimal glare for pedestrians, and minimal lighting of the night sky and adjacent residential development. • Lighting and signage for commercial and institutional building uses should have maximums for numbers, types and areas of signs, as well as brightness of signage lighting. Lighting should be designed as an integral part of new development, both for the site and buildings. Outdoor Storage, Services and Service Areas • Outdoor storage areas and building service areas should be screened from public, ground level vantage points with landscaped planting and enclosures. • Utilities and services for commercial and institutional building uses should be screened from public viewpoints with landscaped planting or enclosures, including views for pedestrians along public ways and views from nearby buildings. Elements to be considered include such items as transformers, valves, meters, ducts, service areas, loading docks, antennas and mechanical units. BUILDING DESIGN Building Design and Sustainability 6-6 • Sustainability should be encouraged in both the design of neighborhood walkability and connectivity, as well as in the design of building energy usage and operability. • Buildings should be designed with quality materials and sustainable energy practices, and a method of measurement should be adopted for the durability and sustainability of buildings. • Building typologies that are most likely to be built in the near term future for many of the sites in the three neighborhoods will be single use or two uses, combined with surface parking. The uses should be placed at ground level with active uses along streets as much as possible, particularly in commercial centers. Buildings should avoid being built above open or naturally ventilated parking areas, except for residential covered parking. THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 THE PREFERRED CONCEPT PLANS Architectural Style • Architectural style of an individual building or of a group of buildings should relate to the context of the surrounding area, to the uses of the building, and to the location that the building occupies on a street and in the neighborhood. Modulation, Articulation, and Detailing • Ground floor facades with commercial and personal services uses should have visually permeable frontages with large windows and clear glazing. • Entrances into buildings should be easily identified through the use of building design and detailing, in addition to well-designed signage and lighting. Building Elements for Commercial Buildings • Ground floor retail facades should have visually permeable shop frontages with large storefront windows and clear glazing. • The design of retail uses should follow principles of visibility, accessibility, facade continuity, and spatial preferences to maximize retailing success. • Commercial and mixed-use buildings should have minimal setbacks from street frontages, should be built to define the street, and should provide ample pedestrian ways. • Buildings with office uses should be have Class B space or better, or special boutique office space. The height of buildings should be suitable for the market and site limitations. The gross floor area per floor should be 17,000 square feet or larger with a central core and curtain wall treatment where feasible. Office buildings should be highly amenitized and in a commercial environment with support services provided. Mixed-use buildings should front the street with large storefront windows for ground floor retail uses STRATEGIC GUIDE 09.21.2010 Buildings should be modulated with architectural elements, recesses, overhangs, and special corner treatments. Entrances should be easily identifiable. Signage should be well-designed and integrated in the facade. THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 6-7 THE PREFERRED CONCEPT PLANS Signage and Lighting • Signage and lighting for commercial and institutional building uses should have maximums for numbers, types and areas of signs, as well as the color and brightness of signage lighting. • Building lighting should be designed as an integral part of new development, both for the interior and exterior of buildings. Materials and Finishes • Materials and finishes on new and rehabilitated buildings should be of the high quality and should be compatible with the neighborhood or street character of the buildings nearby. • Buildings should be designed with quality materials and sustainable energy practices, and a method of measurement should be adopted for the durability and sustainability of buildings. Colors and Textures • Colors should be compatible with the context of the location of the project. Buildings located along street frontages in commercial areas allow a broader range of color selections than buildings located within residential areas. • Textures of surfaces should be matte or satin and non-reflective, with the exception of glazing, which can be polished and reflective. • Colors which are different from the contextual colors of a neighborhood or street can be used for emphasis and accent. Roof Design • Roofs of buildings should be designed so that equipment is enclosed or shielded from public viewpoints, that is, from streets or from buildings that are in near proximity. Rooftop components should be designed as an integral part of a building design and the roofscape design should utilize painting, green roofs, and shading. LANDSCAPING General 6-8 • Landscaping for the purposes of these guidelines includes irrigated planted areas with trees and all manner of plant materials, as well as areas of various hardscape treatment. It also includes lighting, seating, and street and plaza furniture and equipment. • The corners of intersections, particularly at gateway sites and neighborhood entries, should be distinguished by special landscape and architectural treatments. THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 THE PREFERRED CONCEPT PLANS • Planting should use deciduous and evergreen trees for comfort of pedestrians and building occupants, as well as the efficient usage of building energy. • Flowering trees, shrubs and plants should be provided with building projects, streets, open spaces and surface parking areas for color and delight at different times of the year. • Pavement should have a combination of porous and non-porous materials in concert with drainage and storm water strategies for the site and the neighborhood. Surface Parking Areas • Parking areas should consist of separated parking fields that are aesthetically pleasing, and landscaped to screen public views of the vehicles. • Trees for shade should be provided in clusters and linear arrangements, not as single specimens in individual planters within a parking field. • Consider the use of permeable pavement materials to minimize water run-off and heat island effects. Landscape Setbacks • Residential buildings should incorporate setbacks for front, side and rear yards, which are landscaped and in the character of the area in which they are located. • Commercial and mixed-use buildings should have minimal setbacks from street frontages, should be built to define the street, and should provide street landscaping treatment with ample pedestrian ways. Parking lots should be screened with vegetation and shaded with clusters of dense trees. STRATEGIC GUIDE 09.21.2010 Consider permeable pavement in parking areas to minimize water run-off and heat island effects. THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 6-9 THE PREFERRED CONCEPT PLANS 6.1.3 OVERLAY ZONING CONCEPT The purpose of the Concept Plan is to establish a vision, framework and strategic guide for development within each neighborhood. To promote the goals, overall strategies and design guidelines for each neighborhood, it is recommended that the City consider as a next step the preparation and adoption of zoning code revisions to include an overlay zone concept that would permit the uses, including mixed uses and densities for new construction and site development identified in each Concept Plan. While the recommendation is discussed in more detail in the Implementation Section of this report (see Section 7), the intent would be for the City to develop incentives in a new overlay zone to stimulate the private sector and significantly encourage redevelopment and rehabilitation. A property owner should be allowed to continue to develop to the standards under existing zoning and General plan requirements or to develop under standards to be contained with the ultimate overlay zone. The overlay zone would identify permitted development that would implement each Concept Plan and under which circumstances development can occur under the proposed overlay zone such as the type of permitted uses and minimum size of a development site. Development capacity and development thresholds granted under the overlay zone concept for new development and significant rehabilitation projects would be permitted up to the total increase in non-residential square footages and total additional net increases in dwelling units identified in the development threshold tables for each neighborhood (see tables 6-1, 6-2, and 6-3, and Appendix A.2), provided that residential density on individual development sites would be permitted up to a maximum development intensity of 45 dwelling units per acre depending on specific site characteristics and demonstration by an applicant of compatibility with adjacent development. The process of approving additional net increases under the overlay zone concept versus development by an applicant under existing General Plan and zoning requirements, would be on a first-come, first serve basis up to the maximum development thresholds for net increases identified in tables 6-1, 6-2, and 6-3. In order to ensure that the any new development does not exceed the capacity of the circulation system and to manage the availability of additional development capacity in each neighborhood, the overlay zone concept would also need to include a monitoring process which would tract the actual additional net increases of dwelling units and/or non-residential square footage entitlements granted in each neighborhood under the overlay concept. 6-10 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 THE PREFERRED CONCEPT PLANS 6 . 2 C e n ter C ity P referred Concep t Plan The preferred concept plan for the Center City Neighborhood is primarily a refinement of Alternative A and some components of Alternative B with the key opportunity site located at the intersection of Newport Avenue and El Camino Real (Site 3). The preferred plan serves as a guidance for long-term development up to thirty years. Development may occur in the short- or mid-term in some areas, particularly on the opportunity sites, if market conditions stimulate such development. The identified opportunity sites are discussed in detail Chapters 4 and 5. The preferred plan and its components evolved after taking into account the following factors and results: • Community input from Workshop #1 and #2 • Traffic and infrastructure testing (refer to Appendix A.3) • Market Analysis (separate document available from the City of Tustin) • Prototypical site testing • Financial feasibility analysis for key opportunity sites (refer to Appendix A.4) • Established development thresholds (refer to Appendix A.2) • Input from city departments (Redevelopment, Community Development, Public Works, Parks and Recreation, and Police Departments) KEY COMPONENTS OF THE PREFERRED CONCEPT PLAN The Center City Neighborhood is adjacent to the I-5 Freeway and to Tustin’s Old Town. It is important to phase the new development to emphasize the City’s gateway sites and prominent streetscapes. Private development should be encouraged on opportunity sites that have the greatest gateway and commercial potential, including key opportunity site 3 (see Chapter 4, section 4.1.2). Public development would include streetscape improvements to Newport and Red Hill Avenues, and to El Camino Real. Key components of the preferred concept plan are: • Low-scale residential development on the south side of 6th Street and west of B Street (Site 1). A mix of residential with office buildings placed along the freeway is also possible as long as the overall development intensity stays within the established thresholds for development and traffic impacts. • New Retail/Residential Mixed-Use west of El Camino and south of 6th Street (Site 2) with retail oriented to El Camino Real. • Upgrade of commercial uses along Newport Avenue and Red Hill Avenue. • Intensification and consolidation of select residential parcels. • Streetscape improvements on Newport Avenue, Red Hill Avenue, and El Camino Real. • Site 3 has been identified as a key opportunity site for development for new commercial (retail only or retail/ office mixed use; refer to Chapter 5, Section 5.2.2). STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 6-11 THE PREFERRED CONCEPT PLANS FIGURE 6-1: CENTER CITY PREFERRED CONCEPT PLAN Upgrade/ Renovate Existing Commercial Uses along Newport Ave An dr ew sS tre et Sa nJ ua Av e in 3 Potential El Camino Way Alternative Roadway Access (Subject to Further Study) tre et tre et Lambert School Intensify/ Consolidate Identified Existing Residential Uses between Newport Ave and Orange St St re et Sa Tustin High School oR ea nJ ua nS tre et l Ca m ino Re al lA ve n EL Re d Hil New Retail/ Office Mixed-Use Key Opportunity Site 3: New Commercial ue Ca m aS nS St re et wp or t Ne El nit Upgrade/ Renovate Existing Residential Or an ge El Camino Real El Camino Way B Street 6th Street W aln ut Upgrade/ Intensify Existing Residential Cir cle Upgrade Existing Commercial Bo Br ya nA ve nu e Main Street te ro New Retail/ Residential Mixed-Use with Retail oriented to El Camino Es New Residential or Office Use with Lower Buildings and Setbacks along 6th Street and Higher Buildings along the Freeway Upgrade Existing Residential Triplexes Approved New Commercial Use Improve Existing Retaining Wall with Vegetation or Public Art Upgrade Existing Commercial Center City Neighborhood Boundary Retail/ Residential Mixed-Use Town Center Redevelopment Area Streetscape Improvements (subject to further study) 0 150 300 600 South Central Redevelopment Area Existing Class I Bikeway Public Use Planned Class I Bikeway Private Institutional Institutional Use Use Private Planned Class II Bikeway Commercial Retail Use Potential Bikeway Route Commercial Retail with Office Use Commercial Office Use Proposed Upgrades/ Improvements Commercial Office with Retail Use Proposed Change of Use and/or Consolidation Review Alternative Roadway Access Other Commercial Use Multi-Family Residential Use 3 Key Opportunity Site Single Family Residential Use 6-12 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 THE PREFERRED CONCEPT PLANS TABLE 6-1: CENTER CITY NEW DEVELOPMENT THRESHOLDS (2030) Use Residential (DU) Opportunity Sites (Sites 1,2,3,4,5) Changes over Existing (+/-) 0 506 506 219,706 295,100 75,300 Commercial Office (SF) 16,587 83,600 67,000 Commercial Hotel (SF) 37,551 21,200 (16,300) 271,520 0 (271,500) 763 1,113 350 Commercial Retail (SF) 139,111 150,000 10,900 Commercial Office (SF) 55,624 90,000 34,400 763 1,619 856 358,817 445,100 86,300 Commercial Office (SF) 72,211 173,600 101,400 Commercial Hotel (SF) 37,551 21,200 (16,400) Industrial (SF) 271,520 0 (271,500) Commercial Total (SF) 740,099 639,900 (100,200) Residential (DU) Residential (DU) Commercial Retail (SF) TOTAL Concept Plan Commercial Retail (SF) Industrial (SF) Other locations in the Neighborhood Existing Conditions The development thresholds will be governed by an overlay zone that would permit the uses, including mixed uses, and densities for new construction and site development identified in the Concept Plan (refer to section. 6.1.3). The opportunity sites ( Sites 1 to 5) account for a total increase 126,000 sf of commercial uses compared to the existing commercial uses and an additional 506 residential units compared to the existing number of units. Other opportunities for development exist on sites in the neighborhood that were not identified as key opportunity sites. On these sites, an additional 45,300 sf of commercial uses and 350 additional residential units can be developed. The Center City Concept Plan allows for an additional 187,700 sf of commercial uses, replacing the existing industrial use of 271,500 sf and 16,400 sf of hotel use, and 856 additional residential units. Overall, the Center City Neighborhood will have a projected decrease of 100,200 sf of commercial space due to the elimination of industrial uses. For detailed tables, refer to Appendix A.2. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 6-13 THE PREFERRED CONCEPT PLANS 6 . 3 Sou th ern Gateway Preferred Concep t Plan The preferred concept plan for the Southern Gateway Neighborhood is primarily based on Alternative B with the key opportunity site located at the intersection of Newport Avenue and Walnut Avenue (Site 9). The preferred plan serves as a guidance for long-term development up to thirty years. Development may occur in the short- or mid-term in some areas, particularly on the opportunity sites, if market conditions stimulate such development. The identified opportunity sites are discussed in detail Chapter 4 and 5. The preferred plan and its components evolved after taking into account the following factors and results: • Community input from Workshop #1 and #2 • Traffic and infrastructure testing (refer to Appendix A.3) • Market Analysis (separate document available from the City of Tustin) • Prototypical site testing • Financial feasibility analysis for key opportunity sites (refer to Appendix A.4) • Established development thresholds (refer to Appendix A.2) • Input from city departments (Redevelopment, Community Development, Public Works, Parks and Recreation, and the Police Department) KEY COMPONENTS OF THE PREFERRED CONCEPT PLAN The Southern Gateway Neighborhood is adjacent to both the I-5 Freeway and to the SR-55 Freeway. It is important to phase the new development to emphasize the City’s gateway sites and prominent streetscapes. Private development should be encouraged on opportunity sites that have the greatest neighborhood impact, including opportunity sites 6, 9 and 11 (see Chapter 4, section 4.1.2). Public development would include streetscape improvements to Newport Avenue and to the SR-55 Freeway off-ramp at Sycamore. Key components of the preferred concept plan include: 6-14 • Higher concentration of new retail and office mixed-use on key opportunity site 9 located on the south side of Walnut and east side of Newport Avenue. • Consolidation for new residential use with new east-west street and new Youth Center west of Pasadena Avenue. • Potential closure of the southern portion of Pasadena Ave that connects to Sycamore Avenue. • Traffic calming along Pasadena Avenue and new street to minimize through-traffic. • Studying the potential relocation of Youth Center to a larger site, which could be in the vicinity of the north-western corner of Pasadena and Sycamore Avenue; reuse of current Youth Center site for larger retail in combination with commercial site on the north side and parking lot on the east side. • New retail/ office and retail/residential mixed-use on identified sites on Newport Avenue. • New residential development replacing the retail center on the west side of Newport Avenue and north side of Mitchell Avenue. • Streetscape improvements on Newport Avenue, McFadden Avenue, and Walnut Avenue. THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 THE PREFERRED CONCEPT PLANS FIGURE 6-2: SOUTHERN GATEWAY PREFERRED CONCEPT PLAN Intensify/ Consolidate Existing Residential Upgrade Existing Commercial Nis New Commercial Retail Traffic Calming on Pasadena Ave and New Street son New Residential Rd Nisso Upgrade Existing Commercial SC BS tre et 55 Closure of Pasadena Ave with Cul-de-Sac or Optional Vacation (Subject to Further Study) n Rd St re et New Retail/ Office Mixed-Use New Street (Subject to Further Study) M itc he ll A ve New Retail/ Residential Mixed-Use Mc Fadden Avenue Upgrade/ Consolidate ExistingCommercial New Vegetation along Freeway Ramp W aln ut 9 Upgrade Existing Commercial Av e ore or Key Opportunity Site 9: New Retail/ Office Mixed-Use wp De lA m oA ve Syc am Sc he re rP l Ave Kenyo nD r Reuse Existing Building/ Commercial Office Use xD fa r aD or eA ve ar lo m m Ca r Sy ca De lA m oA ve r New Residential on Consolidated Site Ne Fe Ch an nn el tA ve Altadena Dr Bliss Ln Sa nt aA na Sa nt a Myrtle Ave Pasadena Ave Potential New Youth Center Site Ch Upgrade/ Renovate Existing Residential Consolidate and Upgrade Existing Residential Upgrade Existing Medical Complex Planned Newport Ave Extension Southern Gateway Neighborhood Boundary New Consolidated Commercial Site Streetscape Improvements/ Complete Street Trees (subject to further study) South Central Redevelopment Area 0 150 300 600 Planned Class I Bikeway Public Use Planned Class II Bikeway Private Institutional Use Potential Bikeway Route Commercial Retail Use Commercial Retail with Office Use Proposed Upgrades/ Improvements Commercial Office Use Proposed Change of Use Multi-Family Residential Use Closure of Pasadena Ave Single Family Residential Use Potential Street Vacation with Lot Consolidation Retail/ Residential Mixed-Use Proposed New Street Streetscape Improvements/ Complete Street Trees (subject to further study) OCTA/ SCRRA Railway STRATEGIC GUIDE 09.21.2010 9 Key Opportunity Site THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 6-15 THE PREFERRED CONCEPT PLANS TABLE 6-2: SOUTHERN GATEWAY NEW DEVELOPMENT THRESHOLDS (2030) Use Residential (DU) Opportunity Sites (Sites 6,7,8,9,10,11) Other locations in the Neighborhood Concept Plan Changes over Existing (+/-) 177 384 207 Commercial Retail (SF) 111,217 109,000 (2,100) Commercial Office (SF) 0 57,900 57,900 Public/Youth Center 6,008 12,000 6,000 Residential (DU) 1,854 2,209 355 Commercial Retail (SF) 106,194 130,000 23,800 Commercial Office (SF) 75,000 215,000 140,000 2,031 2,593 562 Commercial Retail (SF) 217,411 239,000 21,600 Commercial Office (SF) 75,000 272,900 197,900 Residential (DU) TOTAL Existing Conditions Public/Youth Center Commercial Total (SF) 6,008 12,000 6,000 298,411 511,900 219,500 The development thresholds will be governed by an overlay zone that would permit the uses, including mixed uses, and densities for new construction and site development identified in the Concept Plan (refer to section. 6.1.3). The opportunity sites ( Sites 6 to 11) account for a total increase 55,700 sf of commercial uses compared to the existing commercial uses and an additional 207 residential units compared to the existing units. The planned expansion of the public/ youth center adds 6,000 sf to the existing square footage. Other opportunities for development exist on sites in the neighborhood that were not identified as key opportunity sites. An additional 163,600 sf of commercial uses are allowable by the established limits as well as 355 additional residential units. The Southern Gateway Concept Plan allows for an additional 219,500 sf of commercial uses and 606 additional residential units. For detailed tables, refer to Appendix A.2. 6-16 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 THE PREFERRED CONCEPT PLANS 6 . 4 Wes t V il l age P referred Concep t Plan The preferred concept plan for the West Village Neighborhood is primarily based on Alternative B with the key opportunity site located at the intersection of Tustin Village Way and McFadden Avenue (Site 12). The preferred plan serves as a guidance for long-term development up to thirty years. Development may occur in the short- or mid-term in some areas, particularly on the opportunity sites, if market conditions stimulate such development. The identified opportunity sites are discussed in detail Chapter 4 and 5. The preferred plan and its components evolved after taking into account the following factors and results: • Community input from Workshop #1 and #2 • Traffic and infrastructure testing (refer to Appendix A.3) • Market Analysis (separate document available from the City of Tustin) • Prototypical site testing • Financial feasibility analysis for key opportunity sites (refer to Appendix A.4) • Established development thresholds (refer to Appendix A.2) • Input from city departments (Redevelopment, Community Development, Public Works, Parks and Recreation, and the Police Department) KEY COMPONENTS OF THE PREFERRED CONCEPT PLAN The West Village Neighborhood is west of SR-55 Freeway and south of the I-5 Freeway, and north of McFadden Avenue. It is important to phase the new development to emphasize sites and streetscapes with the greatest benefit to the neighborhood. Private and public development should be encouraged on opportunity sites that have neighborhood commercial uses and open space, including opportunity sites 12, 14 and 15 (see Chapter 4, section 4.1.2). Public development would include streetscape improvements to Williams Street and Tustin Village Way. Key components of the preferred concept plan include: • On the south side of Alliance Street, reuse some residential parcels for joint parking for school and neighborhood with optional new residential development to replace existing residential uses. • Combine both parcels on key opportunity site 12 and develop with new retail and residential mixed-use; with a new park fronting on Tustin Village Way proposed on the Caltrans parcel. • Develop both mobile home parks with new residential uses that include new public parks. • New east-west public street that connects Tustin Village Way with Williams Street. • Use residential parcel south of the school side for future school expansion. • New commercial uses on McFadden Avenue east of Tustin Village Way. • Streetscape improvements on McFadden Avenue, Tustin Village Way, Alliance Street, and Williams Street. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 6-17 THE PREFERRED CONCEPT PLANS FIGURE 6-3: WEST VILLAGE PREFERRED CONCEPT PLAN Upgrade Existing Commercial Use New Residential Use with Integrated Public Open Space S Elk Ln New Commercial Retail Site Main Street New Residential Use with Integrated Public Open Space New Public Street, Extension of Tustin Village Way (Subject to Further Study) Lorelei Ln New School Expansion Robert Heidemann School 55 Alliance Street Key Opportunity Site 12: New Retail/ Residential Mixed-Use Williams Street Fe Ch an nn el Southewest Tustin Channnel Sa nt aA na Sa nt a Upgrade Existing or New Residential Use; include Small Park Tustin Village Way Proposed Joint Parking for School and Neighborhood Use 12 Mc Fadden Avenue New Infill Residential Consolidate Site/ New Commercial Retail Use West Village Neigborhood Boundary Proposed Change of Use Public Use Proposed New Street Commercial Retail Use OCTA/ SCRRA Railway Multi-Family Residential Use 12 Key Opportunity Site Retail/ Residential Mixed-Use Streetscape Improvements (subject to further study) Planned Class I Bikeway Planned Class II Bikeway Proposed Upgrades/ Improvements 6-18 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 0 150 300 600 STRATEGIC GUIDE 09.21.2010 THE PREFERRED CONCEPT PLANS TABLE 6-3: WEST VILLAGE NEW DEVELOPMENT THRESHOLDS (2030) Use Residential (DU) Opportunity Sites (Sites 12, 13,14,15,16,17) Commercial Retail (SF) Other locations in the Neighborhood Residential (DU) Concept Plan Changes over Existing (+/-) 400 751 351 48,321 71,100 22,800 2,396 2,396 0 20,627 20,600 0 2,796 3,147 351 Commercial Retail (SF) 68,948 91,700 22,800 Commercial Total (SF) 68,948 91,700 22,800 Commercial Retail (SF) Residential (DU) TOTAL Existing Conditions The development thresholds will be governed by an overlay zone that would permit the uses, including mixed uses, and densities for new construction and site development identified in the Concept Plan (refer to section 6.1.3). The opportunity sites (Sites 12 to 17) account for a total increase of 22,800 sf of commercial uses compared to the existing commercial uses, and an additional 351 residential units compared to the existing units. For detailed tables, refer to Appendix A.2. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 6-19 7 . I MPL E ME N TAT I O N P L A N IMPLEMENTATION PLAN 7 . 1 I m pl emen tation S trateg ies and Tools INTRODUCTION In order to achieve the goals for development and improvement of the Center City, Southern Gateway, and West Village Neighborhoods in Tustin Town Center, a strategy is necessary to implement the desired development program presented in the Final Concept Plans for each neighborhood. This chapter presents a series of steps as a Strategy for Implementation, which are prioritized and can be achieved over time. GENERAL STRATEGIES The first steps in initiating a strategy for implementation have occurred: 1. Goals and approaches have been formulated for the neighborhood. 2. A market study has been performed for land uses in each area. 3. Alternative Neighborhood concept plans have been proposed and opportunity sites identified. 4. Public workshops have occurred and the concept plans and opportunity sites have been tested. 5. Key opportunity sites which are prototypical and catalytic have been tested for site layout and analyzed for financial feasibility. 6. Traffic and circulation testing has been evaluated for each of the Neighborhoods. 7. A Conceptual Plan for each neighborhood has been created. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 7-1 IMPLEMENTATION PLAN In addition, the strategies that grew out of the goals for each neighborhood in the Town Center were identified in more specificity as part of this study. The stated overall strategies are: 1. Consolidate commercial uses along corridors into well-defined neighborhood centers and mixed-use developments. 2. Redirect future development to underutilized and underperforming sites. 3. Focus uses onto neighborhood-related and pedestrian-oriented sites to form synergistic benefits with residential uses. 4. Relocate industrial uses away from residential and commercial centers. 5. Convert underperforming commercial sites to other uses or mixed uses. 6. Expand streetscape improvements along street corridors. 7. Encourage introduction of moderate- to high-density residential development along street corridors, compatible with the adjacent neighborhood. 8. Maintain an adequate supply of affordable housing. 9. Encourage construction of a greater variety of residential product types to accommodate a variety of family sizes. 10. Develop additional park and open spaces where possible. 11. Upgrade and revitalize older residential areas and reduce overcrowding. 12. Improve connectivity in and between neighborhoods, including the provision of bike lane routes. ACTION PROJECTS AND PROGRAMS The next step is to ensure that the public framework of the City, which includes Tustin Community Redevelopment Agency, and other public and quasi-public bodies, encourages private development to act and that public improvements are forthcoming in concert with private development. Development of projects should be encouraged to take place by the private development community through public actions and in partnerships with the public sector. It is important to note that the steps in a strategy change over time and must be reevaluated every three to five years concerning prioritization and rate of implementation. A good method for organizing the actions in a strategy is to schedule them in a time sequence as short-term, medium-term, and long-term, which can be assigned any lengths of time. Short-term is generally one to three years, medium-term is generally three to five years, and long-term is generally five to ten years. The following action projects and programs have been identified and are organized by the time frame within which they should be implemented, lead responsible party, and potential partial list of potential funding sources which may be expanded (additional funding sources and programs are also discussed further in Section 7.2. 7-2 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 IMPLEMENTATION PLAN IMMEDIATE 1. It is recommended that the City Council formally endorse the Town Center New Beginnings Study as a Strategic Guide for Development and instruct staff to proceed with specific programming of priority action programs, as funding is available and also as part of the normal City Budget process. Responsible Party/Department: City Council with support from RDA. Funding Source: No direct fiscal impact at this time unless specific recommendations are brought forward for budget approvals in the future. 2. Notify property owners within each Neighborhood and development interests of the Concept Plans endorsed by the City Council, the next steps in the process (i.e. regulatory changes, etc), the City’s desire for the continued involvement of property owners in the process, and solicitation of any specific development interests that an individual property owner may have consistent with the Concept Plans. Responsible Party/Department: Redevelopment Agency (RDA) with support from Community Development. Funding Source: Redevelopment Project Area Funds, and City General Funds for any portion of this effort that is outside a Redevelopment Project Area. 3. Until the short-term action for General Plan and Zoning Code amendments can be completed, evaluate and consider interim measures that would permit development to occur consistent with a specific Concept Plan subject to certain interim conditions or performance standards. Responsible Party/Department: Community Development with support from RDA. Funding Source: Redevelopment Project Area Funds, and City General Funds for any portion of this effort that is outside a Redevelopment Project Area. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 7-3 IMPLEMENTATION PLAN SHORT TERM (1-3 YEARS) 1. Utilize the General Design Guidelines contained in this Report by adoption of an interim Resolution as a general guide in review of new development within each Neighborhood until more formalized design guidelines can be developed as part of future regulatory changes necessary to implement the Neighborhood Concept Plans. Responsible Party/Department: Lead from Community Development with support and from RDA. Funding Source: Redevelopment Project Area funds, and City General Funds for any portion of this effort that is outside a Redevelopment Project Area. 2. Initiate any necessary General Plan amendments, Overlay District Zoning, and other zoning modifications as may be necessary to implement the uses recommended and permitted development thresholds contained in the Neighborhood Concept Plans, and which will also implement other overall strategies for encouraging revitalization in each Neighborhood including, but not limited to: (1) streamlining review and approval procedures to facilitate and development permitting, to ensure the simplicity and clarity of development regulations, and to provide zoning incentives in older neighborhood which will encourage new development; (2) consolidating commercial uses along major corridors into well-define centers and increasing connectivity between neighborhoods; (3) encouraging mixed uses and a variety of different residential development products; (4) encouraging introduction of medium to high density residential development along street corridors, compatible with adjacent residential areas; (5) supporting a flexible and balanced parking policy employing shared parking concepts and different standards for sites were priority development needs to be provided with incentives to occur; (6) encouraging accommodation of pedestrian and small amenity open spaces in conjunction with individual site development; (7) incorporating sustainability concepts in to land use regulations; (8) rezoning sites with industrial uses incompatible with neighborhood revitalization in the Center City Neighborhood; (9) refining design guidelines developed with the Concept Plan preparation to provide more specific identify elements for each Neighborhood and incorporate into revisions of the zoning code. Responsible Party: Lead from Community Development with support from RDA. Funding Source: Redevelopment Project Area Funds, and City General Funds for any portion of this effort that is outside a Redevelopment Project Area. 3. In conjunction with regulatory changes identified in Action Program #2 above, complete any necessary environmental documentation required for such discretionary actions. Responsible Party: Lead from Community Development and support from RDA Funding Source: Redevelopment Project Funds and City General Funds for any portion of this effort that is outside a Redevelopment Project Area. 7-4 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 IMPLEMENTATION PLAN 4. Enforce zoning and building code to improve the appearance of each Neighborhood. Responsible Party: Lead from Community Development with support from the City’s Neighborhood Improvement Team of City Departments. Funding Source: Community Development Block Grant Funds, City General Funds, and Redevelopment Project Funds. 5. Expand funding and marketing for commercial rehabilitation and new development by providing incentives in the way of loans and grants for façade and site improvements of commercial uses along major commercial corridors within each Neighborhood and for new development. Also, explore providing additional design support to property owners struggling with the type of improvements which would most improve their businesses. Responsible Party: Lead from RDA with support from the City’s Neighborhood Improvement Team of City Departments. Funding Source: Redevelopment Project Funds, Community Development Block Grant Funds (within those areas outside of the redevelopment project areas), state/regional and federal funding programs, private financing and non-profit approaches. 6. Expand funding and marketing for housing rehabilitation and upgrades to residential areas in individual Neighborhoods. Responsible Party: Lead from RDA with support from the City’s Neighborhood Improvement Team of City Departments. Funding Source: Redevelopment Project Funds, Community Block Grant Funds, state/regional and federal funding programs, private financing and non-profit/housing approaches. 7. Initiate short range infrastructure improvement, access and other program studies within in each Neighborhood with the goal of improving the aesthetic appearance of streetscapes and pedestrian amenities, improving connectivity between neighborhoods and facilities such as the Tustin Metro Link station, including the provision of bike lanes were needed. Specifically evaluate the feasibility of improvements, necessary right-of-way if needed, and the level and type of specific improvements appropriate to individual locations. Depending on the outcomes of individual studies, prioritization and future final construction design and programming of improvements would be identified based on available funding sources. The priority for the studies in each Neighborhood in the Short Range would be in the order of their listing as follows: STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 7-5 IMPLEMENTATION PLAN All Neighborhoods • Complete an analysis of demand for shuttle services and transportation programs to be provided in individual Neighborhoods, if determined needed, to facilitate access to the Tustin Metro Link station. Center City Neighborhood • Gateway improvements at El Camino Real and Red Hill Avenue and at Newport Avenue and El Camino Real. • Streetscape and median improvements along Red Hill Avenue • Improvements to the existing Caltrans Retaining Wall, El Camino Real, • Potential bike lanes along El Camino Real and streetscape and median improvements. Southern Gateway • Gateway and landscaping improvements at the SR-55 Freeway ramp at McFadden (Sycamore) within Caltrans right-of-way. • Streetscape and median improvements along Newport including potential bike routes. • Potential closure of Pasadena Avenue or construction of a cul-de-sac. • Potential new street from Newport Avenue to Pasadena, with vacation of portions of Myrtle and Bliss. • Streetscape and median improvements along Newport Avenue south of Myrtle in conjunction with the Newport Extension project, including bike routes. Avenue north of Myrtle, West Village • Streetscape improvements at McFadden including potential bike lanes. • Potential extension of Tustin Village Way and acquisition of a new east-west public street between Tustin Village Way and Williams Street. Responsible Party: Lead by Public Works with support from RDA and other City Departments. Funding: Redevelopment Project Funds, Community Development Block Grant Funds, state/ regional and federal funding programs, and General Funds. 7-6 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 IMPLEMENTATION PLAN 8. Initiate studies within in each Neighborhood, as applicable to determine the feasibility of additional open space. Community facilities or public parking. Specifically evaluate the feasibility of improvements, necessary acquisition needs and costs and the level and type of specific improvements appropriate to individual locations. Depending on the outcomes of individual studies, prioritization and acquisition may be considered, and further construction design and programming of improvements based on available funding sources. The priority for the studies in each Neighborhood in the Short Range would be in the order of their listing as follows: Southern Gateway • New Youth Center and open space in closer proximity to major populations served by the Center in the proximity of Pasadena north of Sycamore. West Village • Parkland facilities on current Caltrans (former abandoned ramp location adjacent to the SR-55 Freeway) consolidation with redevelopment of the adjacent parcel to the south. • Parking facilities and other amenities at Alliance at Tustin Village Way as overflow for the school and to accommodate residential parking overflow on Alliance when the school is not in operation. Responsibility Party: Parks would be support for Parks and Recreation working with RDA; Parking facilities would be Public Works with support from RDA and TUSD. Funding Sources: Redevelopment project funding, Community Development Block Grant Funds, state/regional and federal funding programs, Quimby Park fees, private financing, City General Funds. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 7-7 IMPLEMENTATION PLAN 9. Solicit more formally property owner interest in development of opportunity sites, first prioritizing key opportunity sites and then moving on to all other opportunity sites. Determine the following information for each opportunity site in the Center City, Southern Gateway, and West Village: • A current property owner’s intentions for development or disposition consistent with a Concept Plan and any subsequent re-zoning.. • The willingness of an owner to subordinate their property to a larger redevelopment effort in the interest of securing greater future return. Of particular note is that early development of a key opportunity site can be a catalyst for other development in a Neighborhood. A strategy for implementation is to devote significant resources to development of these key opportunity sites since assumptions for the development of these sites have been already tested. Depending upon owner interest, solicit private sector interest on sites where current property owners do not demonstrate a desire for development by issuing a Request for Qualifications and/or Request for Proposals for public-private sector partnering. Responsible Party: Lead from RDA, with support from Community Development and , the City’s Neighborhood Improvement Team of City Departments. Funding Source: Redevelopment Project Funds (only within a redevelopment project area), Community Development Block Grant Funds, other state/regional and federal funding programs, City General Funds (for areas outside of redevelopment project areas). 10. In Redevelopment Project Areas, ensure the policy contained in the City’s Comprehensive Affordability Plan to provide the required 15% affordable housing obligations on individual development sites within the Project Area are met. Outside of Redevelopment Project Areas, negotiate the provision of a diverse housing types to accommodate a variety of family sizes including the accommodation of affordable housing when financially feasible. Responsible Party: RDA with support from Community Development Funding Source: Redevelopment project funds, state/regional and federal funds, Community Development Block Grant funds, and private financing. 11. Utilize the City’s site plan and design review process, to determine when contributions of Quimby Act parkland fees and land dedications would be required in conjunction with development and assess and impose the requirement that will be the best approach to meeting the open space objectives identified in an individual Neighborhood Concept Plan. Responsible Party: Parks and Recreation with support from Community Development Funding Source: No negative fiscal impact but will be a process that will generate funding resources into the City’s Park Development Fund or provide valuable land resources that can be used to develop open space and community facilities. 7-8 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 IMPLEMENTATION PLAN 12. Explore financing approaches and potential tax incentives that can be used to assist in accomplishing and/or expediting development through public-private partnerships, including work force housing, redevelopment assistance and other approaches. Responsible Party: Lead from RDA. Funding Sources: Redevelopment Project Funds (only within a redevelopment project area), Community Development Block Grant Funds, other state/regional and federal funding programs. City General Funds (for areas outside of redevelopment project areas). 13. Ensure that all City and RDA assistance contracts, development agreements and/or disposition and development agreements, and/or owner participation agreements include required occupancy standards when any assistance is for residential development or rehabilitation to reduce overcrowding. Responsible Party: Lead from RDA with support from Operating Department. Funding Source: No direct negative fiscal impact at this time that necessitates identification of a funding source. 14. Explore development of a joint use agreement with TUSD so that Heidemann School open space (particularly fields) can be available for recreational use given limited open space resources in the West Village. Responsible Party: Lead from Parks and Recreation and City Manager’s Office. Funding Source: Quimby Act fees, Community Development Block Grant Funding. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 7-9 IMPLEMENTATION PLAN MEDIUM-TERM (3 TO 5 YEARS) TO LONG TERM ( 5+ YEARS) 1. Where parcels are necessary for right-of-way and community facilities and/or other public purposes in any Neighborhood, specifically identify and assemble such parcels using acquisition procedures and available funding sources. Responsible Party: Operating department responsible for development of said facilities, with support from RDA. Funding Sources: Redevelopment Project Funds (only within a redevelopment project area), Community Development Block Grant Funds, other state/regional and federal funding programs, private sector dedication where necessary in conjunction with development, City General Funds. 2. Initiate Medium Term infrastructure improvements, access and other program studies within in each Neighborhood with the goal of improving the aesthetic appearance of streetscapes and pedestrian amenities. Specifically evaluate the feasibility of improvements, necessary right-of-way if needed, and the level and type of specific improvements appropriate to individual locations. Depending on the outcomes of individual studies, prioritization and future final construction design and programming of improvements would be identified based on available funding sources. The priority for the studies in each Neighborhood in the Medium Term would be in the order of their listing as follows: Center City • Improvements and upgrade renovations along Newport north of the I-5 Freeway to Main Street. • Potential bike route along 6th street. • Potential for El Camino Real Vacation subject to accommodation of potential alternative access to existing property owners and tenants utilizing this roadway. Southern Gateway • Streetscape improvements along McFadden Avenue including potential bike lanes • Streetscape improvements along Walnut Avenue including potential bike lanes • Streetscape improvements along Sycamore between Newport Avenue and Red Hill Avenue including potential bike lanes. West Village 7-10 • Streetscape improvements along Alliance Street including potential bike lanes. • Streetscape improvements along Williams Street including potential bike lanes. • Streetscape improvements along Tustin Village Way including potential bike lanes. THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 IMPLEMENTATION PLAN Responsible Party: Lead by Public Works with support from RDA and other City Departments. Funding: Redevelopment Project Funds, Community Development Block Grant Funds, state/ regional and federal funding programs, and General Funds. 3. Identify a specific time frame for phasing and funding of specifically prioritized public improvements, community facilities and open space identified in Short Term and Medium Term Action programs and projects. Responsible Party: Public Works in cooperation with operating department responsible for such facilities in conjunction with development of the City’s annual Capital Improvement Program Funding Sources: to be determined but would include the range of resources defined in the Implementation Strategy 4. Formalize a mechanism for acquisition and assemblage of opportunity sites on a prioritized basis (determining on which sites will be the best catalyst for other redevelopment), where there are willing buyers and without the Agency’s exercise of eminent domain for new private development with the City’s Neighborhood Concept Plans Responsible Party: departments. Redevelopment Agency and City staff in cooperation with operating Funding: Redevelopment Project Area funding, Community Development Block Grant Funds, state/regional and federal funding programs, private developer financing. STRATEGIC DEVELOPMENT TOOLS Strategic tools that can support commercial, residential, and mixed-use development within these neighborhoods can include the following funding mechanisms and tools: City / Redevelopment Agency 1. Redevelopment Tax Increment 2. General Fund Revenue - The City can elect to dedicate general fund revenue to capital improvements that the City determines that sufficient benefit exists for assistance 3. State Density Bonus Law 4. Reduction/Deferral of Permits/Fees 5. Reduction in Development and Parking Standards 6. Zoning incentives for lot consolidations, assemblages, and development consistent with Concept Plans STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 7-11 IMPLEMENTATION PLAN State / Federal 1. CalHome 2. Affordable Housing Program (AHP) 3. Low Income Housing Tax Credit (LIHTC) Program 4. Community Development Block Grants (CDBG) 5. New Markets Tax Credits 6. Proposition 42 and 1A (refer to exhibits in section 7.2 for description) 7. Proposition 1B (refer to exhibits in section 7.2 for description) 8. American Recovery and Reinvestment Act (ARRA) 9. SAFETEA-LU Developer / Property Owner / User 1. Community Facilities District (CFD) 2. Special Assessment District 3. Landscaping / Parking District 4. Business Improvement District (BID) 5. Development Impact Fees 6. Property Owner / Developer Exactions 7. Developer Advances / Reimbursement Agreements 8. Land or Financial Contribution from Large Employer For further detailed information on Potential Financing Mechanisms, please refer to the following exhibits in Section 7.2: 7-12 • Exhibit 1 – City/Redevelopment Agency Potential Financing Mechanisms • Exhibit 2 – State/Federal Potential financing Mechanisms • Exhibit 3 – Developer/Property Owner/User Potential Financing Mechanisms THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 IMPLEMENTATION PLAN And for public-private partnerships, strategic tools can include: 1. Partnerships among public agencies and the use of Cooperation Agreements spelling out each party’s responsibilities. 2. Formation of inter-governmental or joint powers authorities (JPAs). 3. Identification of joint private non-profit with private development entities. 4. Issuance of RFQs and RFPs to private development entities and proceeding through an open developer selection process. 5. After selection of a qualified developer for a specific site, entering into an Exclusive Negotiation Agreement (ENA), memorization of public-private business terms in a memorandum of understanding (MOU) and then final documentation of the transaction in a Disposition and Development Agreement (DDA). The City of Tustin and its Redevelopment Agency have established policies for guiding requests for financial assistance. Please refer to Appendix A.5 for further information on these guidelines: • Submittal Information Required for Review of Requests for Agency Financial Assistance • Tustin Community Redevelopment Agency Assistance Criteria The projected estimate of potential tax revenues and redevelopment increment that could be generated from development on certain key opportunity sites, as illustrated in the financial pro formas provided in Appendix 4 for Site 3, Center City, Site 9, Southern Gateway and Site 12, West Village is detailed on Exhibit 4, Estimate of Potential Tax Increment (see Section 7.2). STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 7-13 IMPLEMENTATION PLAN 7 .2 Poten tial F inancing Mechanisms EXHIBIT 1 CITY / REDEVELOPMENT AGENCY POTENTIAL FINANCING MECHANISMS A. FUNDING MECHANISM B. DESCRIPTION REDEVELOPMENT TAX INCREMENT • • C. ELIGIBLE USES • • • • • D. FUNDING PARAMETERS 7-14 • THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING The housing set-aside portion is designated for development of affordable housing The non-housing portion of tax increment revenues generated in the Project Area can be used to fund infrastructure improvements GENERAL FUND REVENUE • Fees collected in the City’s General Fund, generated by property taxes, sales tax, transient occupancy tax, motor vehicle license fees, and other sources of revenue Public improvements such as • infrastructure and parking Land assembly and disposition • Direct property acquisition and land cost write-down Payment of permits and fees Affordable housing City services such as police, fire, life safety, libraries, and parks and recreational facilities Capital improvements Redevelopment agencies can provide financial assistance to developments and/or provide assistance to homebuyers The City can elect to dedicate portions of specific revenues, e.g., TOT, sales tax, etc. to targeted capital improvements that the County determines that sufficient benefit exists for the assistance • STRATEGIC GUIDE 09.21.2010 IMPLEMENTATION PLAN STATE DENSITY BONUS LAW • • • • • • • REDUCTION/DEFERRAL OF PERMITS/FEES A voluntary inclusionary • housing ordinance providing incentives to developers providing affordable housing in their projects State legislation requires cities and counties to grant both density bonuses and concessions Affordable housing projects that include at least 5 units or unimproved lots and remain affordable for a specified period of time Senior housing developments with at least 35 units (units do not need to be affordable) Contribution of land if the parcel is large enough to accommodate at least 10% of the market-rate units at densities suitable for very low income housing • Density bonuses differ based • on the type of development and affordability levels but generally range between 15% and 35% Concessions and incentives may include: - Reduction in site development standards and modifications of zoning and architectural design requirements - Waivers and modifications of development standards - Reduction in parking standards STRATEGIC GUIDE 09.21.2010 MODIFICATION IN DEVELOPMENT AND PARKING STANDARDS Reduction or deferral of select permits and fees that results in upfront development cost reductions • Reduction in site development standards or modification of zoning code requirements or design requirements such as a reduction in setback and square footage requirements and in the required parking ratio Permit and fee charges payable to city • • Modifications to design standards and/or parking requirements Modified comparability for affordable units, i.e., reduced unit size, interior features, and/or parking ratio • Cost savings to developer Varies by city; some cities are deferring fees until Certificate of Occupancy due to current economic climate THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 7-15 IMPLEMENTATION PLAN EXHIBIT 2: STATE / FEDERAL POTENTIAL FINANCING MECHANISMS A. FUNDING MECHANISM B. DESCRIPTION CALHOME • • C. ELIGIBLE USES • • AFFORDABLE HOUSING PROGRAM (AHP) State program providing grants to local public agencies and non-profit developers to assist individual households through deferred payment loans • Predevelopment, site development, and site acquisition for development projects Rehabilitation, and acquisition and rehabilitation, of site-built housing, and rehabilitation, repair and replacement of manufactured homes Downpayment assistance, mortgage financing, and homebuyer counseling • • • • • D. FUNDING PARAMETERS • Applicant must be public agency or non-profit corporation • • 7-16 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING Creates and maintains affordable rental and homeownership opportunities through competitive grants and subsidized loans Housing must remain affordable 15 years for rental housing and 5 years for owner-occupied units Construction, purchase and/ or rehabilitation of owneroccupied housing for very low-, low- and moderateincome households Construction, purchase and/or rehabilitation of rental housing, at least 20% of the units of which will be occupied by and affordable for very lowincome households for the remaining useful life of such housing or the mortgage term Construction and permanent financing Mortgage assistance, i.e., principal reductions, and interest rate buydowns Maximum grant of $1,000,000 (per development) Developer must have a member of the Federal Home Loan Bank (FHLB) apply STRATEGIC GUIDE 09.21.2010 IMPLEMENTATION PLAN LOW INCOME HOUSING TAX CREDIT (LIHTC) PROGRAM • • • • • • • Indirect Federal subsidy used to finance the development of affordable rental housing for low-income households Residential rental property Commit to one of two possible low-income occupancy threshold requirements Restrict rents, including utility charges, in lowincome units Operate under the rent and income restrictions for 30 years or longer, pursuant to written agreements with the agency issuing the tax credits COMMUNITY DEVELOPMENT BLOCK GRANTS / SECTION 108 LOANS • • Annual grants for use towards economic development, public facilities, and housing rehabilitation Section 108 loans provide front-end financing for large-scale community and economic development projects that cannot be financed from annual grants • • • Acquisition and disposition of property Clearance and demolition Public facilities and site work Varies, annual competitive application process • Credit amounts are based on the costs of development and the number of qualified low- • income units, and cannot exceed the amount needed to make the project feasible STRATEGIC GUIDE 09.21.2010 Varies, funds are provided by HUD and administered by cities Funds must be targeted to specific areas benefiting low- and moderate-income persons or to eliminate blight THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 7-17 IMPLEMENTATION PLAN EXHIBIT 2: STATE / FEDERAL POTENTIAL FINANCING MECHANISMS (CONTINUED) A. FUNDING MECHANISM B. DESCRIPTION NEW MARKETS TAX CREDITS • • • C. ELIGIBLE USES • D. FUNDING PARAMETERS • • • 7-18 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING PROPOSITIONS 42 AND 1A Program permits taxpayers • to receive a credit against Federal income taxes for making qualified equity investments in designated Community Development Entities (CDEs) Provides investors with credits against federal income tax in return for new investments made in eligible businesses and commercial projects in low-income areas Proposition 42 required a portion of sales tax on gasoline be transferred to the Transportation Infrastructure Fund (TIF); Amended by Proposition 1A to limit the State’s ability to suspend transfer of revenues from the TIF during fiscal difficulties Organizations must be certified as a CDE by the Fund Activities may include: - loans to, or investments in, qualifying businesses, including real estate and redevelopment projects - purchase of certain loans made by other CDEs - counseling and related services to businesses • • • • Congestion relief Safety enhancements Local streets repair Public transportation Varies, annual competitive application process Proposed funding availability of $5 billion in 2010 and 2011 Funds cannot be used in projects that are already subsidized by other federal tax subsidies; in mixed use developments, subsidization may be split between uses, allowing NMTC financing for parts of the project • Funds provided directly for local road improvements, as well as for capital projects (highway and transit) selected by Caltrans in the State Transportation Improvement Program. STRATEGIC GUIDE 09.21.2010 IMPLEMENTATION PLAN PROPOSITION 1B • • • • • Highway Safety, Traffic Reduction, Air Quality, and Port Security Bond Act of 2006 Approved in 2006, made available $20 billion for state and local improvement projects • Congestion relief Improve air quality Enhance safety and security of transportation systems • • • • • • • • League of California Cities is drafting legislation with the California State Association of Counties for allocation of this revenue source. • • • • STRATEGIC GUIDE 09.21.2010 SAFETEA-LU AMERICAN RECOVERY AND REINVESTMENT ACT (ARRA) OF 2009 The Recovery Act includes provisions for mortgage relief, health insurance, unemployment benefits, and other forms of assistance for both individuals and businesses Signed into law in 2009, the ARAA purpose is to create jobs, save existing jobs, spur economic activity, and invest in long-term growth • Mortgage relief and tax credits to existing and future homeowners Income tax incentives and credits Provide healthcare and extend unemployment benefits Aide in disaster relief Education-related tax benefits and savings plans Construction and repair of transportation and other infrastructure improvements • • • Varies, based on the funding program Federal grants are awarded by a Federal agency for a public project or service authorized by Federal law and are awarded through a competitive application process Federal loans are provided to a recipient by a Federal agency that will eventually be repaid to the government by the recipient Currently, California currently has $40 billion available for distribution • • • • • • • Safe, Accountable, Flexible, Efficient, Transportation Act: A Legacy for Users was signed into law in 2005 as a reauthorization of TEA-21 SAFETEA-LU’s purpose is to focus on addressing the existing and future challenges in the transportation system Improve safety Reduce traffic congestion Improve efficiency in freight movement Increase intermodal connectivity Protect the environment Research and studies Varies, based on the funding program Currently, funding of $4.6 billion in Federal subsidies for Build America Bonds is available (created by the ARRA of 2009); bonds allow states and municipalities to finance infrastructure projects with an interest subsidy from the Federal government Proposed amount of future funds is still under consideration by Congress THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 7-19 IMPLEMENTATION PLAN EXHIBIT 3: DEVELOPER / PROPERTY OWNER / USER POTENTIAL FINANCING MECHANISMS A. FUNDING MECHANISM B. DESCRIPTION COMMUNITY FACILITIES DISTRICTS (CFDS) • • • C. ELIGIBLE USES • D. FUNDING PARAMETERS • • • 7-20 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING SPECIAL ASSESSMENT DISTRICTS A special tax placed against property located within an established district to fund public facilities and services Municipal bonds supported by revenues from the special tax are sold by the CFD to provide upfront funding to build improvements or fund services. • Funding of capital facilities including: - parks - schools - fire stations - water and sewer systems - government facilities Purchase, construction, and improvement or rehabilitation of real property • • • Requires 2/3 vote of • qualified electors in district. If fewer than 12 residents, vote is conducted on current landowners • Assessment based on allocation formula, not necessarily in proportion to the benefit received. Requires value-to-lien ratio of 3:1 Similar to a CFD but shifts the funding of infrastructure from all taxpayers to only those who benefit specifically from the improvements Sets a fixed lien on every parcel within the assessment district Municipal bonds supported by special assessments provide upfront funding Construction of capital facilities such as roads, water, sewer, and flood control Typically property owners petition a City to form a district to finance large-scale infrastructure improvements Assessments on property owners are determined in proportion to the benefit received STRATEGIC GUIDE 09.21.2010 IMPLEMENTATION PLAN LANDSCAPING DISTRICTS / PARKING DISTRICTS BUSINESS IMPROVEMENT DISTRICTS (BIDS) • Assessment on properties located within a specific district that benefit from landscaping and/or parking • Annual fees paid by business owners and/or property owners to fund activities and programs intended to enhance the business environment in a defined area • Landscaping districts allow for the funding of lights, recreational equipment, landscaping, and irrigation Parking districts allow for the acquisition, improvement, and operation of shared parking facilities • • • • Marketing and promotion Security Streetscape improvements Operating and maintenance of public improvements Special events Funds are typically collected concurrently with the annual business license tax or property tax bill, with varying formulas for retail vs. nonretail businesses, and residential vs. non-residential property • • • STRATEGIC GUIDE 09.21.2010 • • Once established, annual BID fees are mandatory for businesses/ properties located within the BID boundary Business-based BID fees are collected with business license fees; property-based BID assessments are collected on property tax bills THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 7-21 IMPLEMENTATION PLAN EXHIBIT 3: DEVELOPER / PROPERTY OWNER / USER POTENTIAL FINANCING MECHANISMS (CONTINUED) A. FUNDING MECHANISM B. DESCRIPTION DEVELOPMENT IMPACT FEES • Fees paid by developers to pay all or a portion of the costs of any public facility that benefits their development PROPERTY OWNER / DEVELOPER EXACTIONS • • • • C. ELIGIBLE USES D. FUNDING PARAMETERS 7-22 • THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING Capital facilities or ongoing services, such as: - school impact fee - mitigation fee (police, fire, park, etc.) - water meter installation - sanitation capacity charge - water system facility/ backup facility charge • Fees are paid in the form of a specified amount as a condition to the issuance of building permits, an occupancy permit, or subdivision map approval • • • • Payments made by developers or property owners in addition to, or in lieu of, development impact fees Funds contributed are used to install selected public improvements. Alternatively, developers are required to construct and deliver specific improvements Dedication of right-of-way utilities Provision of open space Parks or landscape Schools and community facilities Typically paid or committed as part of the development approval process STRATEGIC GUIDE 09.21.2010 IMPLEMENTATION PLAN DEVELOPER ADVANCES / REIMBURSEMENT AGREEMENTS • • • LAND OR FINANCIAL CONTRIBUTION FROM LARGE EMPLOYER Advance of funds from developers for • use toward backbone infrastructure Alternatively, developers construct and deliver specific improvements City and developer enter into Reimbursement Agreement Dedication of land or financial contribution from large employer or institution • Backbone infrastructure • • • • Development site Construction subsidies Construction financing Direct assistance to homebuyers • Typically repaid from redevelopment tax increment, CFD bond proceeds, and/or development impact fees collected from future developers • Varies STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 7-23 IMPLEMENTATION PLAN EXHIBIT 4: ESTIMATE OF POTENTIAL TAX INCREMENT SITE 3 CENTER CITY SITE 9 SOUTHERN GATEWAY SITE 12 WEST VILLAGE I. ESTIMATE OF ASSESSED VALUE Commercial - Value of NOI $12,613,000 $14,733,000 $9,467,000 $0 $0 $7,667,000 $12,613,000 $14,733,000 $17,134,000 $126,000 $147,000 $171,000 Non-Housing Funds (Discretionary) 60% of Property Tax $76,000 $0 $0 Housing Set-Aside (20% of Property Tax) $25,000 $0 $0 $101,000 $0 $0 Capitalized Value Agency Tax Increment (Discretionary) 8% $950,000 $0 $0 Capitalized Value Agency Housing SetAside 8% $313,000 $0 $0 $1,263,000 $0 $0 Residential - Value of NOI Total Estimated Assessed Value II. ESTIMATE OF ANNUAL PROPERTY TAX @ 1.0% TAX RATE III. ESTIMATED ANNUAL TAX INCREMENT Total Annual Agency Tax Increment IV. CAPITALIZED VALUE OF NET TAX INCREMENT Total Capitalized Value of Net Tax Increment 7-24 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING STRATEGIC GUIDE 09.21.2010 IMPLEMENTATION PLAN EXHIBIT 5: ESTIMATE OF POTENTIAL FINANCING GAP SITE 3 CENTER CITY I. SITE AREA 138,695 SF 13,081 SF - Existing Buildings II. ESTIMATED RESIDUAL LAND VALUE (Less) Acquisition Costs (1) $1,378,000 $10/SF Land ($2,943,000) ($255)/SF Existing Buildings SITE 9 SOUTHERN GATEWAY 170,319 41,140 ($9,257,000) ($255)/SF Existing Buildings $0 $0 Per Existing Tenant $0 (Less) Demolition $0 $0 Add: Potential Tax Increment IV. ADJUSTED FINANCING SURPLUS/ (DEFICIT) ($1,565,000) ($11)/SF Land $1,263,000 ($302,000) ($2)/SF Land SF - Existing Buildings $1,908,000 $11/SF Land (Less) Relocation Costs III. FINANCING SURPLUS/(DEFICIT) SF $0 Per Existing Tenant ($7,349,000) ($43)/SF Land $0 ($7,349,000) ($43)/SF Land SITE 12 WEST VILLAGE 176,694 SF 42,890 SF - Existing Buildings ($2,334,000) ($13)/SF Land ($9,650,000) ($255)/SF Existing Buildings $0 $0 Per Existing Tenant $0 ($11,984,000) ($68)/SF Land $0 (2) ($11,984,000) ($68)/SF Land (1) Based on the sales of improved commercial properties as shown in KMA’s Refined Market Analysis, dated April 2008. Actual cost of acquisition will vary based on an appraisal of Fair Market Value and the timing of acquisition. (2) The West Village Study Area is not located within a Redevelopment Project Area. Should a finding of benefit be made, tax increment funds could potentially be used for affordable housing. STRATEGIC GUIDE 09.21.2010 THE NEIGHBORHOODS OF TUSTIN TOWN CENTER A NEW BEGINNING 7-25 This page intentionally left blank 150 CALIFORNIA 7TH FLOOR SAN FRANCISCO CA 94111 T. 415 788 6606 F. 415 788 6650 WWW.FIELDPAOLI.COM