HomeMy WebLinkAbout23739 RESOLUTION NO. 23739
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF PALM SPRINGS, CALIFORNIA, APPROVING A
PURCHASE AGREEMENT AND ESCROW WITH PALM
SPRINGS PROMENADE, LLC RELATED TO THE
ACQUISITION OF THE EVENT CENTER SPACE,
PROVISION OF ADDITIONAL ON-SITE PARKING AND
IMPROVED PARKING MANAGEMENT RIGHTS,
ALLOCATION AND SHARING OF CERTAIN COSTS AND
FEES; AUTHORIZE ADDITIONAL CITY REQUESTED
EVENT CENTER AND PARKING STRUCTURE WORK;
AND APPROVAL OF A PARTIAL RELEASE OF THE
PERFORMANCE DEED OF TRUST FOR BLOCK C-1 AND
BLOCK A OF PALM SPRINGS DOWNTOWN PROJECT.
A6144.
The City Council of the City of Palm Springs, California, finds:
A. The City, as lead agency, prepared the Museum Market Plaza Specific Plan EIR
(the "Specific Plan EIR"). The Specific Plan EIR analyzed the potential environmental
impacts of the proposed Museum Market Plaza Specific Plan pursuant to the California
Environmental Quality Act, Public Resources Code Sections 21000 et seq. and
California Code of Regulations, Title 14, Sections 15000 et seq. ("CEQA"). The Specific
Plan EIR concluded that the Museum Market Specific Plan would have significant and
unavoidable effects on the environment.
B. On December 9, 2009, the City Council for the City of Palm Springs made
findings, adopted a Mitigation Monitoring and Reporting Program, adopted a Statement
of Overriding Considerations, and certified the Specific Plan EIR pursuant to the
provisions of CEQA. On that date, the City Council also adopted the Museum Market
Plaza Specific Plan, conditioned on compliance with the mitigation measures in the
Specific Plan EIR/ Mitigation Monitoring and Reporting Program. The redevelopment of
the Desert Fashion Plaza site was specifically contemplated by the Museum Market
Specific Plan and analyzed in the Specific Plan EIR.
C. On September 29, 2011, the City and Palm Springs Promenade, LLC, entered
into a Project Financing Agreement applicable to the financing, development,
redevelopment, creation and refurbishment of public and private improvements in
downtown Palm Springs at the Desert Fashion Plaza site within the Specific Plan area
which included, among other things, a site plan and project description depicting the
proposed improvements.
Resolution No. 23739
Page 2
D. The City and Palm Springs Promenade, LLC, subsequently developed a Second
Amendment to the Project Financing Agreement which included a revised site plan and
project description (the "Second Amendment").
E. Pursuant to the Second Amendment, the redevelopment of the Desert Fashion
Plaza site will include, among other things: a first class hotel of approximately 170
rooms at the northeast corner of Belardo Road and Tahquitz Canyon Way in lieu of a
commercial office building; that such hotel if maintained as a first class hotel would
qualify with the provisions of the City's Hotel Incentive Ordinance (PSMC Chapter 5.26);
an "Event Area" west of Belardo in lieu of a movie theater; and reconstruction of two lots
east of North Museum Drive and the Palm Springs Art Museum, to include new
landscaping and related hardscape and other improvements (collectively the "Modified
Project").
F. The City, as lead agency, determined that the Modified Project was within the
scope of the Specific Plan EIR and would not result in any new significant effects, a
substantial increase in the severity of previously identified significant effects, or require
any new mitigation measures or alternatives requiring major revisions in the Specific
Plan EIR. The City, therefore, prepared an Addendum to the Specific Plan EIR (the
"Addendum"). (Public Resources Code § 21166; CEQA Guidelines §§ 15162, 15164.).
G. On October 17, 2012, the City Council for the City of Palm Springs approved the
Addendum, found that the Modified Project conformed to the Museum Market Specific
Plan, and approved the Second Amendment.
H. On December 19, 2012, the City Council approved a Third Amendment to the
Project Financing Agreement which included further minor revisions to the Modified
Project including, among other things: a minor reconfiguration of Main Street such that
Main Street is no longer curved between North Museum Drive and Belardo Road, but
rather is straight between North Museum Drive and Belardo Road, an increase in the
total number of hotel rooms from 170 rooms to 185 rooms (some of which will now be
located in Block C-1), the further set back of the second story of the Block B building,
and certain changes in uses listed on the Site Plan (the "Third Amendment").
I. Since the approval and adoption of the Specific Plan, Specific Plan EIR and
subsequent Addendum, the City has approved the following applications for
development within the Specific Plan's defined area:
• Tentative Tract Map 36446 to subdivide approx. 13.6 acres into 14 parcels for
development and four lots for public infrastructure located at the northwest corner
of Palm Canyon Drive and Tahquitz Canyon Way;
• Planned Development District (Case 5.1290 PD-361) for a hotel (Kimpton) with
approximately 185 rooms, restaurants, meeting rooms, retail uses and ancillary
Resolution No. 23739
Page 3
uses on Block C-1 located at the northeast corner of West Tahquitz Canyon Way
and Belardo Road;
• Major Architectural Applications as they relate to the development of:
o Block A (Case 3.3605) at the northwest corner of North Palm Canyon
Drive and Andreas Road (new), with a new three-story commercial
building;
o Block B (Case 3.3606) at the northwest corner of North Palm Canyon
Drive and "New Main Street", by either constructing a new one-story
commercial building or constructing a new two-story commercial building;
o Block C (Case 3.3607) along the westerly frontage of North Palm Canyon
Drive and south of"New Main Street" with a new mixed-use building; and
o Block F (Case 3.3785) at the southwest corner of "New Main Street" and
Belardo Road (extension) with a new 4-storty mixed-use building,
including the 135-room AC Marriott hotel and ground commercial space.
(all collectively, the "Entitlements")
J. On September 19, 2014, the City Council approved the Fourth Amendment to the
Project Financing Agreement and found that the Fourth amendment was substantially
within the scope of the and none of the circumstances triggering further environmental
review had occurred. (Public Resources Code § 21166; CEQA Guidelines § 15162).
K. On December 17, 2014 the City Council considered a Purchase Agreement and
Escrow Instructions with Palm Springs Promenade, LLC, related to the City's acquisition
of the Event Center Space and provision of additional on-site parking, allocation and
sharing of certain costs and fees; and authorization to the City Manager of additional
city requested event center and parking structure work; and approval of a partial release
of the Performance Deed of Trust for Block C-1 and Block A of Palm Springs Downtown
Project.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM SPRINGS
RESOLVES:
SECTION 1. The Purchase Agreement and Escrow Instructions with Palm
Springs Promenade, LLC, related to the City's acquisition of the Event Center Space
and provision of additional on-site parking, and a partial release of the Performance
Deed of Trust for Block C-1 and Block A of Palm Springs Downtown Project are
approved.
SECTION 2. The City Manager is authorized to execute on behalf of the City all
agreements and/or related documents necessary or convenient to carry out and
implement the performance obligations of the City described in the Purchase
Agreement and Escrow Instructions and the Partial Release.
Resolution No. 23739
Page 4
SECTION 3. the City Council finds that the Purchase Agreement and Escrow
Instructions and Partial Conveyance are in furtherance of and consistent with previous
approvals related to the implementation of the Specific Plan and are within the scope of
the Specific Plan EIR and the Addendum and fully analyzed under CEQA at the time of
decision to approve the Entitlements and none of the circumstances triggering further
environmental review have occurred since the adoption of the Addendum: (i) there are
no substantial changes in the project requiring major revisions of the Specific Plan EIR
and Addendum due to the involvement of new significant environmental effects or a
substantial increase in the severity of previously identified significant effects; (ii) there
are no substantial changes with respect to the circumstances under which the project is
being undertaken which will require major revisions of the Specific Plan EIR and
Addendum due to the involvement of new significant environmental effects or a
substantial increase in the severity of previously identified effects; and (iii) there is no
new information of substantial importance, which was not known and could not have
been known with the exercise of reasonable diligence at the time the Specific Plan EIR
and Addendum were certified showing that: (a) the project will have one or more
significant effects not discussed in the Specific Plan EIR and Addendum; (b) significant
effects previously examined will be substantially more severe than shown in the Specific
Plan EIR and Addendum; (c) mitigation measures or alternatives previously found not
feasible would in fact be feasible, and would substantially reduce one or more
significant effects of the project, but the mitigation measures or alternatives have not
been adopted; or (d) mitigation measures or alternatives considerably different from
those analyzed in the Specific Plan EIR and Addendum would substantially reduce one
or more significant effects on the environment, but the mitigation measures or
alternatives have not been adopted. No further environmental review is required.
(Public Resources Code § 21166; CEQA Guidelines § 15162.)
PASSED, APPROVED, AND ADOPTED BY THE PALM SPRINGS CITY
COUNCIL THIS 17T" DAY OF DECEMBER, 2014.
DAVID H. READY, AGER
ATTEST:
iAMES THOMPSON, CITY CLERK
Resolution No. 23739
Page 5
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.
CITY OF PALM SPRINGS )
I, JAMES THOMPSON, City Clerk of the City of Palm Springs, hereby certify that
Resolution No. 23739 is a full, true and correct copy, and was duly adopted at a regular
meeting of the City Council of the City of Palm Springs on 17th day of December, 2014,
by the following vote:
AYES: Councilmember Hutcheson, Councilmember Mills, Mayor Pro Tern Lewin,
and Mayor Pougnet.
NOES: Councilmember Foat.
ABSENT: None.
ABSTAIN: None.
MES THOMPSON, CITY CLERK
City of Palm Springs, Caliform o11 j5100
1S
RECEIVE
STATE OF CALIFORNIA-THE RESOURCES AGENCY L ,
DEPARTMENT OF FISH AND GAME
ENVIRONMENTAL FILING FEE CASH RECEIPT 2015 FEB _3 PM 121 43
y A {T�HUM ��,)`Receipt#: 201400856
State Clearinghouse#(if applicable): 2008061084
Lead Agency: CITY OF PALM SPRINGS Date: 12/18/2014
County Agency of Filing: Riverside Document No: 201400856
Project Title: DOWNTOWN PALM SPRINGS REVITALIZATION/MUSEUM MARKET PLAZA SP
Project Applicant Name: PALM SPRINGS PROMENADE,LLC Phone Number:
Project Applicant Address: 555 S. SUNRISE WAY#200 PALM SPRINGS,CA 92264
Project Applicant. Private Entity
CHECK APPLICABLE FEES:
❑Environmental Impact Report
❑Negative Declaration
❑Application Fee Water Diversion(State Water Resources Control Board Only)
❑Project Subject to Certified Regulatory Programs
X❑County Administration Fee $50.00
❑X Project that is exempt from fees(DFG No Effect Determination(Form Attached))
❑Project that is exempt from fees(Notice of Exemption)
Total Received $50.00
lie
Signature and title of person receiving payment:
Notes:
,.aie
RECEIVEU
C
STATE OF CALIFORNIA-THE RESOURCES AGENCY OF PALM
DEPARTMENT OF FISH AND GAME p �� PF412� 1.
4
ENVIRONMENTAL FILING FEE CASH RECEIPT 2
01 f C D i
J A M L S T H{:Mrs`? Receipt#: 201400855
CITY CLERK
State Clearinghouse#(if applicable):
Lead Agency: CITY OF PALM SPRINGS Date: 12/18/2014
County Agency of Filing: Riverside Document No: 201400855
Project Title: DOWNTOWN PALM SPRINGS REVITALIZATION(MUSEUM MARKET PLAZA)
Project Applicant Name: PALM SPRINGS PROMENADE,LLC Phone Number: 760 323-8245
Project Applicant Address: 555 S. SUNRISE WAY, SUITE 200 PALM SPRINGS,CA 92264
Project Applicant: Private Entity
CHECK APPLICABLE FEES:
❑Environmental Impact Report
❑Negative Declaration
❑Application Fee Water Diversion(State Water Resources Control Board Only)
❑Project Subject to Certified Regulatory Programs
X❑County Administration Fee $50.00
X❑Project that is exempt from fees(DFG No Effect Determination(Form Attached))
❑Project that is exempt from fees(Notice of Exemption)
Total Received $50.00
O7
Signature and title ofperson receiving payment:
Notes:
a L ;,
NOTICE OF DETERMINATION DEC 18 2014
LARRY VV.VVAKU,CLERK.
To: From: By
Office of Planning and Research City of Palm Springs
1400 Tenth Street, Room 121 3200 E. Tahquitz Canyon Way �f# �
z
Sacramento, CA 95814 Palm Springs, CA 92262
X
County Clerk's Office
County of Riverside
2720 & 2724 Gateway Drive
Riverside, CA 92507
Filing of Notice of Determination in compliance with Section 21108 or 21152 of the Public Resources
Code.
Project Title: Downtown Palm Springs Revitalization / Redevelopment Project
(Museum Market Plaza Specific Plan, Desert Fashion Plaza Site): Hotel Operations
Covenant for a 135-room AC Marriott Hotel located on Block "F"
State Clearinghouse Number: Previously certified EIR SCH #2008061084
Lead Agency Contact Person: David Newell, Associate Planner
Area Code/ Telephone/ Extension: 760.323.8245
Project Location: A portion of a 13.2 acre site located at the northwest corner of North Palm
Canyon Drive and Tahquitz Canyon Way, and east of North Museum Drive,
Palm Springs, Riverside County, California. This portion of the project is located
at the southwest corner of Belardo Road and Main �R� �le Ippk °F".
Neg Declaratiarl
Name and Address of Developer/Applicant or Project Sponsor: filed per PO9-l-n) ,
Palm Springs Promenade, LLC DEC 1 8 �
555 S. Sunrise Way, Suite 200 015
Palm Springs, CA 92264 JAN
Removed: ._
Project Description: By: ---~---� Deptl
Goun of7e "Specific
The City, as lead agency, prepared the Museum Market Specific Plan EIR ( Plan EIR") to
analyze the impacts of the Downtown Palm Springs Revitalization / Redevelopment Project (the
"Project"). The Specific Plan EIR concluded that the Project would have significant and unavoidable
effects on the environment. On December 9, 2009, the City Council for the City of Palm Springs made
findings, adopted a Mitigation Monitoring and Reporting Program, adopted a Statement of Overriding
Considerations, and certified the Specific Plan EIR pursuant to the provisions of CEQA. On that date,
the City Council also adopted the Museum Market Specific Plan, conditioned on compliance with the
mitigation measures in the Specific Plan EIR/ Mitigation Monitoring and Reporting Program.
On October 17, 2012, the City Council for the City of Palm Springs approved modifications to the
Project and adopted an Addendum to the Specific Plan EIR. The City Council certified that the
Specific Plan EIR and Addendum together are adequate to support approval of each component of the
Project, including any future discretionary approvals.
914763.1
. . RivER&DE COUNTY
DEC 18 2014
NOTICE OF DETERMINATION IQRRYy4 YVARE) a w_.
By Meye e
To: From: Deputy
Office of Planning and Research City of Palm Springs
1400 Tenth Street, Room 121 3200 E. Tahquitz Canyon Way
Sacramento, CA 95814 Palm Springs, CA 92262
X
County Clerk's Office
County of Riverside
2720 & 2724 Gateway Drive
Riverside, CA 92507
Filing of Notice of Determination in compliance with Section 21108 or 21152 of the Public Resources
Code.
Project Title: Downtown Palm Springs Revitalization / Redevelopment Project
(Museum Market Plaza Specific Plan; Desert Fashion Plaza Site): Purchase
Agreement and Escrow Instructions related to Event Space, On-site Parking and
Various Costs and Fees
State Clearinghouse Number: Previously certified EIR SCH #2008061084
Lead Agency Contact Person: David Newell, Associate Planner
Area Code/ Telephone/ Extension: 760.323.8245
Project Location: Approximately 13.2 acres located at the northwest corn@dgf WrtLLP,�Im Canyon
Drive and Tahquitz Canyon Way, and east 4e � r teE3 i ; Palm
Springs, Riverside County, California. ed per STC.
ED
Name and Address of Developer/Applicant or Project Sponsor: DEC 1
Palm Springs Promenade, LLC AW 8,2015
555 S. Sunrise Way, Suite 200 Removed; _ w
Palm Springs, CA 92264 By:
ext
County of iversi r>
Project Description:
The City, as lead agency, prepared the Museum Market Specific Plan EIR (the "Specific Plan EIR") to
analyze the impacts of the Downtown Palm Springs Revitalization / Redevelopment Project (the
"Project"). The Specific Plan EIR concluded that the Project would have significant and unavoidable
effects on the environment. On December 9, 2009, the City Council for the City of Palm Springs made
findings, adopted a Mitigation Monitoring and Reporting Program, adopted a Statement of Overriding
Considerations, and certified the Specific Plan EIR pursuant to the provisions of CEQA. On that date,
the City Council also adopted the Museum Market Specific Plan (the "Specific Plan"), conditioned on
compliance with the mitigation measures in the Specific Plan EIR/ Mitigation Monitoring and Reporting
Program.
On October 17, 2012, the City Council of the City of Palm Springs approved modifications to the
Project and adopted an Addendum to the Specific Plan EIR. The City Council certified that the
Specific Plan EIR and Addendum together are adequate to support approval of each component of the
Project, including any future discretionary approvals.
914763.1
Notice of Determination—State Clearinghouse No. 2008061084 Page 2 of 2
Hotel Operations Covenant for 135-room AC Marriott Hotel on Block T"
On November 12, 2014, the Planning Commission of the City of Palm Springs approved a Major
Architectural application for the development of Block "F" of the Museum Market Plaza Specific Plan
with a 4-story, 135 room hotel with approximately 5,064 square feet of ground floor commercial space.
The City has determined that the Hotel is qualified as a First Class New Hotel and is eligible for the
City's hotel operations incentive program pursuant to Palm Springs Municipal Code Section
5.26.040(a).
On that basis, on December 17, 2014, the City entered into an Operations Covenant with Palm
Springs Promenade, LLC ("PS Promenade") in which, among other things, the City agrees to provide
economic subsidy to PS Promenade and PS Promenade agrees to operate the Hotel in a first-class
manner. The Operations Covenant implements the Project as previously analyzed in the Specific Plan
EIR and Addendum. The Operations Covenant is therefore within the scope of the Specific Plan EIR
and the Addendum, and none of the circumstances triggering further environmental review have
occurred:
(i) there are no substantial changes in the project requiring major revisions of the Specific Plan
EIR and Addendum due to the involvement of new significant environmental effects or a
substantial increase in the severity of previously identified significant effects;
(ii) there are no substantial changes with respect to the circumstances under which the project
is being undertaken which will require major revisions of the Specific Plan EIR and Addendum
due to the involvement of new significant environmental effects or a substantial increase in the
severity of previously identified effects; and
(iii) there is no new information of substantial importance, which was not known and could not
have been known with the exercise of reasonable diligence at the time the Specific Plan EIR
and Addendum were certified showing that:
(a) the project will have one or more significant effects not discussed in the Specific
Plan EIR and Addendum;
(b) significant effects previously examined will be substantially more severe than shown
in the Specific Plan EIR and Addendum;
(c) mitigation measures or alternatives previously found not feasible would in fact be
feasible, and would substantially reduce one or more significant effects of the project,
but the mitigation measures or alternatives have not been adopted; or
(d) mitigation measures or alternatives considerably different from those analyzed in the
Specific Plan EIR and Addendum would substantially reduce one or more significant
effects on the environment, but the mitigation measures or alternatives have not been
adopted. No further environmental review is required. (Public Resources Code §
21166; CEQA Guidelines § 15162.)
This is to certify that the Museum Market Plaza Specific Plan EIR, Addendum to the Museum Market
Plaza Specific Plan EIR, and record of approval are available to the General Public at: City of Palm
Springs, 3200 E. Tahquitz Canyon Way, Palm Springs, CA 92262
December 18 2014 Associate Planner
Signatu a Date Title
914763.1
Notice of Determination—State Clearinghouse No. 2008061084 Page 2 of 3
Purchase Agreement and Escrow Instructions
Since the approval and adoption of the Specific Plan, Specific Plan EIR and subsequent Addendum,
the City has approved the following applications for development within the Specific Plan's defined
area:
• Tentative Tract Map 36446 to subdivide approx. 13.6 acres into 14 parcels for development
and four lots for public infrastructure located at the northwest corner of Palm Canyon Drive and
Tahquitz Canyon Way;
• Planned Development District (Case 5.1290 PD-361)for a hotel (Kimpton)with approximately
185 rooms, restaurants, meeting rooms, retail uses and ancillary uses on Block C-1 located at
the northeast corner of West Tahqutiz Canyon Way and Belardo Road;
• Major Architectural Applications as they relate to the development of:
o Block A (Case 3.3605) at the northwest corner of North Palm Canyon Drive and
Andreas Road (new), with a new three-story commercial building;
o Block B (Case 3.3606) at the northwest corner of North Palm Canyon Drive and "New
Main Street", by either constructing a new one-story commercial building or constructing
a new two-story commercial building;
o Block C Case 3.3607 alongthe westerly frontage of North Palm Canyon Drive and
( Y 9 Y
south of"New Main Street" with a new mixed-use building; and
o Block F (Case 3.3785) at the southwest corner of"New Main Street" and Belardo Road
(extension)with a new 4-storty mixed-use building, including the 135-room AC Marriott
hotel and ground commercial space.
The above entitlements included conditions of approval. The City found that these entitlements were
within the scope of the Specific Plan EIR and Addendum, and that no further environmental review
was required. (Public Resources Code § 21166: CEQA Guidelines § 15162.)
In relation to the above, on December 17, 2014, the City Council considered and approved a Purchase
Agreement and Escrow Instructions with Palm Springs Promenade, LLC, related to the City's
acquisition of the Event Center Space and provision of additional on-site parking, allocation and
sharing of certain costs and fees; and authorization to the City Manager of additional city requested
event center and parking structure work; and approval of a partial release of the Performance Deed of
Trust for Block C-1 and Block A of Palm Springs Downtown Project. These approvals are in
furtherance of and consistent with previous approvals related to the implementation of the Specific
Plan and are within the scope of the Specific Plan EIR and the Addendum, and none of the
circumstances triggering further environmental review have occurred:
(i) there are no substantial changes in the project requiring major revisions of the Specific Plan
EIR and Addendum due to the involvement of new significant environmental effects or a
substantial increase in the severity of previously identified significant effects;
(ii) there are no substantial changes with respect to the circumstances under which the project
is being undertaken which will require major revisions of the Specific Plan EIR and Addendum
due to the involvement of new significant environmental effects or a substantial increase in the
severity of previously identified effects; and
(iii) there is no new information of substantial importance, which was not known and could not
have been known with the exercise of reasonable diligence at the time the Specific Plan EIR
and Addendum were certified showing that:
(a) the project will have one or more significant effects not discussed in the Specific
Plan EIR and Addendum;
(b) significant effects previously examined will be substantially more severe than shown
in the Specific Plan EIR and Addendum;
914763.1
Notice of Determination—State Clearinghouse No. 2008061084 Page 3 of 3
Purchase Agreement and Escrow Instructions
(c) mitigation measures or alternatives previously found not feasible would in fact be
feasible, and would substantially reduce one or more significant effects of the project,
but the mitigation measures or alternatives have not been adopted; or
(d) mitigation measures or alternatives considerably different from those analyzed in the
Specific Plan EIR and Addendum would substantially reduce one or more significant
effects on the environment, but the mitigation measures or alternatives have not been
adopted. No further environmental review is required. (Public Resources Code §
21166; CEQA Guidelines § 15162.)
This is to certify that the Museum Market Plaza Specific Plan EIR, Addendum to the Museum Market
Plaza Specific Plan EIR, and record of approval are available to the General Public at: City of Palm
Springs, 3200 E. Tahquitz Canyon Way, Palm Springs, CA 92262
�X'� December 18 2014 Associate Planner
Signatur Date Title
914763.1