HomeMy WebLinkAboutID-3048 City of Palo Alto (ID # 3048)
City Council Informational Report
Report Type: Informational Report Meeting Date: 9/18/2012
September 18, 2012 Page 1 of 3
(ID # 3048)
Title: Annual Review "Mayfield" Development Agreement
Subject: 2011-2012 Annual Review of Compliance with the “Mayfield”
Development Agreement with Stanford University
From: City Manager
Lead Department: Planning and Community Environment
Recommendation
This is an informational report and no Council action is required.
Executive Summary
The “Mayfield” Development Agreement with Stanford University adopted in 2005 requires City
Council review of Stanford’s compliance with the agreement on an annual basis. This report
covers activities during the fiscal year 2011-2012.
Background
In May of 2005, the City Council entered into an agreement with Stanford University which
grants rights to Stanford for certain specified development subject to the limitations 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 El Camino Real
to the City for fifty-one years for use by the City as a public soccer complex.
The City, in turn, grants to Stanford the right to demolish and relocate 300,000 square
feet of existing office development located at 2450, 2470 and 2500 El 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.
Stanford will also be permitted to exceed the floor area ratio currently allowed on
certain sites by no more than twenty five percent but cannot increase the total square
footage available for non-residential development for the entire Research Park.
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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.
In 2006, 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 is entitled to use the remaining 200,000 square feet
allowed under the Development Agreement only when it has committed to building a housing
project on the sites made available by the demolition of the office developments at the El
Camino Real and California Avenue sites. The Development Agreement requires an application
for at least some of the housing to be submitted to the City by 2013.
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 5, 2012 memo from Stanford Real Estate Office (Attachment A) describes Stanford’s
2011-12 activities related to implementation of the Development Agreement. In April of 2012,
the City approved with conditions and entitled a project at 3431 Hillview Avenue for the
demolition of 255,000 square feet of existing square footage and the construction of four two-
story buildings totaling 345,270 square feet, a net increase of approximately 90,000 square
feet. In July of 2012 (Attachment B), Stanford notified the City that it was designating 3431
Hillview as a “Designated Project” pursuant to section 6.3.2 of the Development Agreement
and plans to utilize the 90,000 square feet of additional square footage resulting from the
project as Phase 2 Replacement Square Footage. Pursuant to section 6.1.5 of the Development
Agreement, a building permit for construction of any project utilizing Phase 2 Square Footage
will not be issued until (a) demolition of the related Existing Square Footage and (b) the
occurrence of one of the following with respect to the application for the Related Housing:
Architectural Review Approval by the Director of Planning and Community Environment
without an appeal; or
Architectural Review Approval by the City Council after an appeal; or
Appeal without action by the City Council within 60 days after the appeal is filed.
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No demolition permit of the related Existing Square Footage located at the El Camino and
California Avenue Sites has been requested in the last year and no Related Housing has been
requested nor constructed in the last year or since the Effective Date of the Development
Agreement.
There were two other projects, located at 3130 Hansen Way and 3251 Hanover Street, which
received Architectural Review approval in the last year and are currently in various stages of the
building permit process. These projects are not “Designated Projects” under the “Mayfield”
Development Agreement and do not utilize any replacement or associated square footage.
After evaluating the information in Stanford’s annual report, the Director of Planning and
Community Environment has determined that Stanford University has complied with the terms
and conditions of the development agreement for fiscal year 2011/2012.
Resource Impact
There are no resource impacts stemming from the review of the development agreement
compliance program that affects the general fund.
Policy Implications
This report does not represent any changes to existing City policies.
Environmental Review
This annual review is an informational report and is not a project under the California
Environmental Quality Act. No environmental assessment is required.
Attachments:
Attachment A: July 5, 2012 Memo from Stanford Real Estate Office (PDF)
Attachment B: Notice of Designated Project at 3431 Hillview Avenue (PDF)
Attachment C: Table of Status of Development under Mayfield Development Agreement
(PDF)
Prepared By: Roland Rivera, Senior Planner
Department Head: Curtis Williams, Director
City Manager Approval: James Keene, City Manager
Attachment B
Status of Development under Mayfield Development Agreement rev. 08.12
Commercial Development Rights
Replacement Square Footage
Vested Approved Remaining
Phase 1 Replacement Square Footage 100,000 100,000 0
Phase 2 Replacement Square Footage 200,000 90,000 110,000
Total 300,000 190,000 110,000
Associated Square Footage
Vested Approved Remaining
1,200,000 330,000 870,000
Designated Projects
Designated Site Designated Project
Associated Square Feet
Designated
Replacement Square Feet
Designated Total Project Square Feet Status
Project 1 3401 Hillview 330,000 100,000 430,000 Approved
Project 2 3431 Hillview 0 90,000 345,270 Approved*
Non Designated Projects in Stanford Research Park
Project Application #Address Demolish Proposed Net +/- FAR Status
06PLN-00000-00157 3412 Hillview Avenue 68,278 73,978 5,700 Completed
11PLN-00056 3000 Hanover Avenue 0 37,762 37,762 Building Permit Issued (11/10/11)
11PLN-00096 3130 Hansen Way 18,629 30,200 11,571** Building Permit Issued (03/15/12)
11PLN-00336 3251 Hanover Avenue 55,375 82,120 26,745 Building Permit Issued (05/30/12)
11PLN-00458 3431 Hillview Avenue 255,272 345,270 90,000 Building Permit Process
Housing Development Rights
Housing Development Guarantee
Application before 12/31/2013 Application before 12/31/2020 Total
Guaranteed Dwelling Units 185 65 250
Dwelling Units w/ Applications to date 0 0 0
Dwelling Units Constructed to date 0 0 0
Remaining Guaranteed Dwelling Units 185 65 250
Housing Sites Site Acreage Existing Square Footage Demolished Housing Applications Housing Constructed
1451 California 4.52 68,552 0 0 0
1501 California 3.93 69,793 0 0 0
1601 California 8.52 151,915 0 0 0
2450 El Camino Real 0.58 12,780 0 0 0
2470 El Camino Real 0.58 12,780 0 0 0
2500 El Camino Real 0.64 14,300 0 0 0
18.77 330,120 0 0 0
** Although there is a net physical increase of 11,571 square feet on the site, the proposed 30,200 square feet amenity building does not count towards
Gross Floor Area.
* Building Permit for the 90,000 square feet of Replacement Square Feet can be issued after Stanford has committed to building a housing project on the
sites made available by the demolition of the office developments at the El Camino Real and California Avenue sites. Total Project consist of (4) 2-story
buildings totalling 345,270 sq. ft. One of the new stand-alone 2-story building is where the 90,000 sq ft Replacement Square Footage is assigned.