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Home My WebLink About2A - PresentationHOTEL AND CBD DENSITY GENERAL PLAN & ZONE TEXT AMENDMENTS Citywide Agenda Item 2A Case 5.1549 GPA & 5.1539 ZTA November 10, 2022 PLANNING SERVICES DEPARTMENT 2A - 1 General Plan Amendment (GPA) Case 5.1549 GPA 1.Exempt conversions of existing hotels back to apartment uses from current density standards 2.Establish lower minimum density for mixed-use developments in the CBD PLANNING SERVICES DEPARTMENT 2A - 2 Zone Text Amendment (ZTA) Case 5.1539 ZTA Allow conversion at the same density as when apartment was originally constructed Establish a new CUP requirement for conversions Hotel Apartment PLANNING SERVICES DEPARTMENT 2A - 3 CONTEXT / HISTORY •Initiated by Planning Commission in response to inquiries on hotel-to- apartment conversions and mixed-uses in the Central Business District. •Staff directed to propose amendment to eliminate potential barriers to housing production and facilitate the creation of more affordable housing typologies PLANNING SERVICES DEPARTMENT 2A - 4 HOTEL-APARTMENT CONVERSION - CURRENT ISSUE •Density requirements have evolved making conversion challenging or lowering the number of residential units that can be provided •A 45-room hotel that was constructed as a 45-unit apartment would only be permitted to convert back to 24 apartments -eliminating many smaller and more affordable units •Today’s rules may limit the creation of more affordable housing stock PLANNING SERVICES DEPARTMENT 2A - 5 RECOMMENDED AMENDMENTS (General Plan) Add the following to the General Plan Land Use Designations section (page 2-3)and make other corrections to ensure consistency: “Notwithstanding any other density limit to the contrary, any structure which is lawfully being used as a hotel, motel or other form of transient lodging, but which was originally constructed as and used as an apartment, apartment hotel,or similar use may,by obtaining a conditional use permit as further provided by the Palm Springs Zoning Code, revert the current hotel, motel or transient lodging use back to an apartment use, and may operate the same number of apartment units on the site as the number of apartment units originally approved for development on the site.” PLANNING SERVICES DEPARTMENT 2A - 6 RECOMMENDED AMENDMENTS (Zoning Code) Add a new section to the Zoning Code to establish a Conditional Use Permit for the reversion of hotel/motel uses back to apartments and establish associated findings including: 1.That the apartment use contributes to permanent rental stock; 2.That it will not adversely affect current/future city services; 3.That life safety and emergency measures are addressed; 4.That the development is landscaped and harmonious with surrounding uses 5.That there are no adverse impacts on traffic or circulation; 6.That appropriate property management protocol are established;and 7.Appropriate security measures are in place PLANNING SERVICES DEPARTMENT 2A - 7 CBD DENSITY REQUIREMENTS - CURRENT ISSUES •Regulatory changes established and encouraged higher-density uses in the downtown core, or Central Business District (CBD) •While that is still the City’s objective, unintended effects may limit housing production, particularly for more affordable housing types •Specifically,regulations may discourage upper-floor housing in older building stock or limit opportunities for mixed-use buildings with substantial commercial use PLANNING SERVICES DEPARTMENT 2A - 8 RECOMMENDED AMENDMENTS (General Plan) –Continued Create two exceptions to the Central Business District density requirements for a)existing buildings and b) new mixed-use development with substantial ground-floor commercial by adding the following text on page 2-7: “Central Business District (1.0 FAR ; 21–30 dwelling units per acre;except, there shall be no minimum density threshold required for existing buildings that propose upper-floor residential use; and further,the minimum density threshold may be lowered from 21 to 10 dwelling units per acre for new mixed-use projects provided at least 75%of the frontage on the major thoroughfares is public serving commercial use). …” PLANNING SERVICES DEPARTMENT 2A - 9 HOTEL AND CBD DENSITY GENERAL PLAN & ZONE TEXT AMENDMENTS Citywide Agenda Item 2A Case 5.1549 GPA & 5.1539 ZTA November 10, 2022 PLANNING SERVICES DEPARTMENT 2A - 10 GENERAL PLAN AMENDMENTS .. Add the following to the General Plan Land Use Designations section of page 2-3: “Notwithstanding any other density limit to the contrary, any structure which is lawfully being used as a hotel, motel or other form of transient lodging, but which was originally constructed as and used as an apartment, apartment hotel,or similar use may,by obtaining a conditional use permit as further provided by the Palm Springs Zoning Code, revert the current hotel, motel or transient lodging use back to an apartment use, and may operate the same number of apartment units on the site as the number of apartment units originally approved for development on the site.” PLANNING SERVICES DEPARTMENT 2A - 11 GENERAL PLAN AMENDMENTS Rescind and Replace Policy LU 7.9 on Page 2-9 Original:“Strongly discourage the conversion of small hotels to permanent housing units. Require that any proposed conversion of hotels to for-sale residential units analyze the fiscal impact of the conversion and loss of transient occupancy tax (TOT)compared to potential property tax revenue of the conversion” Amended: “Evaluate and encourage, as appropriate, the conversion of small hotels to housing units.” Delete Action LU 7.5 “Amend the Zoning Code to include provisions that regulate the conversion of small hotels to residential uses. Code requirements may include minimum unit sizes or other provisions to ensure the preservation of the character of the surrounding residential areas.” PLANNING SERVICES DEPARTMENT 2A - 12 GENERAL PLAN AMENDMENTS Add the following underlined text to the Central Business District description on page 2-7: “Central Business District (1.0 FAR ; 21–30 dwelling units per acre;except, there shall be no minimum density threshold required for existing buildings that propose upper-floor residential use; and further, the minimum density threshold may be lowered from 21 to 10 dwelling units per acre for new mixed- use projects that provide ground floor commercial use along the primary frontage of major thoroughfares). …” PLANNING SERVICES DEPARTMENT 2A - 13 ZONE TEXT AMENDMENTS Add new Section 94.05.085 as follows: “94.05.085 Special rule – Reversion of current hotel/motel use back to apartment use if building was originally constructed and used as an apartment, subject to special density limits, by conditional use permit. A.Any structure which is lawfully being used as a hotel, motel or other form of transient lodging, but which was originally constructed as and used as an apartment, apartment hotel, or similar use, as determined by City building permits and other public records, may revert the current hotel, motel or transient lodging use back to an apartment use, provided a conditional use permit is obtained. PLANNING SERVICES DEPARTMENT 2A - 14 ZONE TEXT AMENDMENTS B. Notwithstanding any other provision of this Code imposing a lower residential density limit, if a conditional use permit is obtained, the multi-family structure may operate the same number of apartment units as the number of apartment units originally approved for development on the site, subject to the findings and conditions set forth herein. Should the apartment use result in a deficiency of off -street parking spaces, relief from the minimum off-street parking requirement per PSZC Section 93.06.00 may be approved via a Specific Parking Plan as prescribed in PSZC Section 94.02.01(C)(2)(d). Additionally, Class 1 and Class 2 historic properties shall be exempt from the off-street parking requirement in accordance with PSZC Section 93.06.00(B)(3)(e). PLANNING SERVICES DEPARTMENT 2A - 15 ZONE TEXT AMENDMENTS C.In addition to those findings required by Section 94.02.00,the conditional use permit may be approved if the following findings are met: 1.The resulting apartment use will assist the preservation of decent and habitable permanent rental stock; 2.The resulting apartment use will not adversely affect current and future city services; 3.The resulting apartment use,as conditioned, ensures that life safety measures and emergency services are adequately addressed and provided (i.e.evacuation protocol,fire safety); 4.The resulting apartment use is developed, landscaped, and maintained in a manner to be harmonious with surrounding property and conforms to Standards of PSZC Section 93.19.00. 5.The resulting apartment use,as conditioned and pursuant to other required approvals, does not create adverse impacts on traffic or circulation. 6.The applicant has implemented adequate methods to assure the continuity of management and property maintenance of the resulting apartment use;and 7.The applicant has implemented satisfactory measures to provide property security to minimize criminal activity as demonstrated by police activity reports. PLANNING SERVICES DEPARTMENT 2A - 16 ZONE TEXT AMENDMENTS D.The conditional use permit shall provide appropriate provisions for periodic review, or review by complaint, and can be revoked for failure to continuously meet the conditions of approval. E.The planning commission after holding a public hearing pursuant to Section 94.09.00 and based upon a review of the entire record,may approve a conditional use permit which imposes conditions pursuant to Section 94.02.00.The decision of the planning commission is final unless appealed to the city council in a manner provided by Chapter 2.05 of the Palm Springs Municipal Code. PLANNING SERVICES DEPARTMENT 2A - 17