HomeMy WebLinkAboutStaff Report 403-07City of Palo Alto
City Manager’s Report
TO:HONORABLE CITY COUNCIL
FROM:CITY MANAGER DEPARTMENT: PLANNING AND
COMMUNITY ENVIRONMENT
DATE:November 13, 2007 CMR:403:07
SUBJECT:ANNUAL REVIEW OF COMPLIANCE ~VITH THE 2005 "MAYFIELD"
DEVELOPMENT AGREEMENT WITH STANFORD UNIVERSITY
This is an information report and no Council action is required.
BACKGROUND
In May of 2005, the City Counci! entered into a development agreement with Stanford
University which grants rights to Stanford for certain specified development subject to the
!imitations and conditions in the agreement. The general terms under the agreement are as
follows:
Stanford will lease the Mayfield Site at the corner of Page Mill Road and E1 Camino Real
to the City for fifty-one years for use by the City as a public soccer complex.
The City, in turn, will grant to Stanford the right to demolish and relocate 300,000 square
feet of existing office development located at 2450, 2470 and 2500 E1 Camino Real and
at 1451, 1501, and 1601 California Avenue, and build 250 dwelling units on the
redeveloped sites.
Stanford will have the right to use the 300,000 square feet and other existing or rebuilt
square footage in the Research Park for office/research and development uses until the
agreement expires. During the 2006 review, 100,000 square feet of replacement square
footage and 330,000 square feet of associated square footage were approved for the
VMware project at 3401 Hillview Avenue leaving, 200,000 square feet of replacement
square footage available for development under the terms of the agreement.
Stanford will also be permitted to exceed the floor area ratio currently allowed on certain
sites by no more than ~enty five percent but cannot increase the total square footage
available for non-residential development for the entire Research Park.
CMR:403:07 Page 1 of 5
The City will accept the lease of the Mayfield site as mitigation for any community
service impacts on the City resulting from all future development at Stanford that was
authorized by the General Use Permit approved by the County of Santa Clara in
December of 2000.
¯The City agrees not to reduce the floor area ratio in the Stanford Research Park prior to
2011.
As part of the agreement, Stanford is required to submit an annual report to the City on the status
of the housing development allowed under the agreement and any building activity in the
Research Park. The Director of Planning and Community Environment conducts the City’s
annual review- to verify Stanford’s compliance with the Agreement based on information
submitted.
DISCUSSION
The July 2, 2007 memo from Stanford Management Company (Attachment A) describes
Stanford’s 2006-07 activities related to implementation of the Development Agreement.
In September 2006, the City approved 5,700 square feet of net new square footage, located at
3412 Hillview Avenue. This project is not a designated site or designated project and does not
require the use of square footage under the terms of the agreement. This project is currently
under construction.
Stanford is entitled to use the remaining 200,000 square feet allowed under the Development
Agreement only when it has sufficiently committed to building a housing project on the sites
made available by the demolition of the office developments at the E1 Camino Real and
California Avenue sites. Attachment B is a table depicting the current status of the development
allowed under the agreement.
After evaluating the information in Stanford’s annual report, the Director of Planning and
Community Environment has determined that Stanford University has complied wit_h the terms
and conditions of the development agreement for fiscal year 2006/2007.
RESOURCE IMPACT
There are no resource impacts stemming from the action recommended on the development
agreement compliance program.
POLICY IMPLICATIONS
This report does not represent any changes to existing City policies.
ENVIRONMENTAL REVIEW
This is an informational report and is not a project under the California Environmental Quality
Act. No environmental assessment is required.
CMR:403:07 Page 2 of 5
PREPARED BY:
Koland A. Rivera
Senior Planner
q
DEPARTMENT HEAD REVIEW:
STEVE EMSILiE
Director of Planning and Community Environment
CITY MANAGER APPROVAL:
EMILY tLa’XtR:I~S ON
Assistant City Manager
ATTACHMENTS
A. July 2, 2007 Memo from Jean Snider - Stanford Management Company
B. Table of Status of Development under Mayfield Development A~eement
CMR:403:07 Page 3 of 5
STANFORD UNIVERSITY
Attachment A
July 2, 2007
Mr. Steve Emslie
Director of Planning and Community Environment
City of Palo Alto
250 Hamilton Avenue
Palo Alto, CA 94301
HAND DELIVERED
Dear Steve:
Pursuant to Section 10.1 of the Development Agreement (the "Agreement") dated May 24,
2005 between The Board of Trustees of the Leland Stanford Junior University ("Stanford")
and the City of Palo Alto ("City"), Stanford is required to submit a brief annual report on
the status of the Housing, as that term is defined in the Agreement, and building activity in
the Stanford Research Park. In the order specified in the Agreement, the building activity
that has occurred in the past year includes the following:
(i) additional square footage approved and/or built in the Research Park: In
September 2006, the City approved an additional 5,700 square feet of Gross Floor Area at a
site identified as 3412 Hillview Avenue. Currently under construction, this project entails
the demolition of a 68,278 square foot building and the construction of a 73,978 square foot
building. The 3412 Hillview Avenue redevelopment is not a Designated Site or
Designated Project under the terms of the Agreement. There are no other projects that
incorporate additional square footage.
(ii) any changes in Site boundaries witlr a map indicating the changes: There were
no Site boundary changes in the prior year.
(iii) Replacement Square Footage built and Associated Square Footage used
during the previous year and since the Effective Date: 100,000 square feet of Replacement
Square Footage and 330,000 square feet of Associated Square Footage have been approved
since the Effective Date, both related to a project at 3401 Hillview Avenue. No
Replacement or Associated Square Footage have been officially constructed or used to date,
however, the 3401 Hillview Avenue project is nearing construction completion.
S T A N F O R D REAL ESTATE OFFICE
2755 Sand Hill Road, Suite 100 ° Menlo Park, CA 94025 ° T: 650.926.0300 ° F: 650.854.9268
Mr. Steve Emslie
July 2, 2007
Page 2
(iv) applications_for additional square_footage signed or authorized by Stanford
Site, with the quantity of new square_footage_for each: There are no applications for
additional square footage signed or authorized by Stanford that incorporate additional
square footage.
(v) Housing units under construction during the previous year and since the
Effective Date: No Housing has been constructed in the last year or since the Effective
Date.
Attached to this summary is a more detailed table of the building activity in the Research
Park. This table accounts for the cumulative building activity that has taken place in the
Research Park since the inception of the Agreement.
Please let me know if any of the above information or the attachments needs further
clarification.
Sincerely,
.ging Director, Stanford Real Estate
Debra L. Zumwalt
Larry Horton
Jean McCown
Bill Phillips
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