HomeMy WebLinkAbout2001-04-09 City CouncilCity of Palo Alto
City Manager’s Report
TO:
FROM:.
DATE:
HONORABLE CITY COUNCIL .
CITY MANAGER
APRIL 9, 2001
DEPARTMENT: PLANNING AND
COMMUNITY ENVIRONMENT
CMR:167:01
SUBJECT:ANNUAL PUBLIC REVIEW OF STANFORD UNIVERSITY’S
COMPLIANCE WITH THE DEVELOPMENT AGREEMENT’ FOR
THE SAND HILL CORRIDOR PROJECTS
REPORT IN BRIEF
The 1997 Sand Hill Corridor Development Agreement requires Stanford University to
provide an annual report to the City Council. A memorandum, from Stanford
Management Company regarding 1999-2000 activities is attached. This staff report
reviews the report and identifies additional activities that have occurred since the report
was prepared. Also identified are major construction activities that will occur in 2001. It
is recommended that the City Council find. Stanford University has complied in good
faith with the terms and conditions of the Development Agreement.
CMR:167:01 Page 1 of 4
RECOMMENDATION
~taffrecommends that the City Council:
Find thatStanford University has complied in good faith with the terms and
conditions of the Development Agreement; and
o Direct staff to issue a Certificate of Compliance to the University, according to the
provision of Section 10(a) of the Agreement, stating that:
ao The Agreement remains in effect, and
Stanford University is not in default.
BACKGROUND
In June 1997, the City Council approved .Comprehensive Plan amendments, zoning
changes and design applications for the Sand Hill Corridor Projects (Projects). The
Projects include the Stanford West Apartments (Apartments), Senior Housing; Shopping
Center modifications and a set of roadway modifications, including the widening of Sand
Hill Road to four lanes from Santa Cruz Avenue to Arboretum Road and a two-lane
extension from Arboretum Road to E1 Camino Real. A Development Agreement vesting
these approvals was entered into between Stanford and the City and was effective on
August 14, 1997. The Agreement requires annual City Council review of Stanford’s
compliance.
DISCUSSION
The attached memo from Diane Healey, staff member of the Stanford Management
Company, describes Stanford’s second-year activities related to implementation of the
Development Agreement. Major 1999-2000 activities included completion .of roads and
utilities for the Stanford West Apartments; City Council approval of Classic Residence
by Hyatt as the developer and operator of the senior housing project; completion of the
Shopping Center parking structure; final City design approvals for two new Shopping
Center buildings; City Council approval of an amended Maintenance Agreement with
Stanford for Shopping Center utilities; substantial construction on Sand Hill Road and
completion of work on Stock Farm Road; and Stanford’s submittal to the. City of Menlo
Park of its required offer to construct improvements to Sand Hill Road.
In the later part of 2000 and early 2001, major project implementation activities included:
¯ Opening the Stanford West Apartments Community Building and the first 140
apartment units;
¯Opening in February 2001 of Building P, the 10,000 square foot Shopping Center
building occupied by Wilkes Bashford Clothiers;
¯Initial construction work on Building V, the 63,000 square foot retailbuilding located
near Macy’s Men’s Store;
CMR:167:01 Page 2 of 4
¯Completion and opening of the two-lane segment of Sand Hill Road from E1 Camino
Real to Arboretum Road and the four-lane segment of Sand Hill Road from
Arboretum Road to the western Oak Creek Apartment driveway; and
¯Completion and opening of the relocated Pasteur Drive.
Major 2001 work includes:
¯Completion of most of the remaining Stanford West Apartment units;
¯Completion of the final four-lane segment of Sand Hill Road in Palo Alto from the
western Oak Creek Apartments driveway to the San Francisquito Creek bridge;
¯Completion of the Quarry Road reconstruction and widening from Vineyard Lane to a
new signalized intersection with E1 Camino Real;
¯ " Reconstruction of the southside lanes and median of Arboretum Road;
¯Completion of modifications to E1 Camino Real from the previously completed Sand
Hill Road intersection south past the new Quarry Road intersection;
¯Completion of the Stanford Shopping Center’s Building V;
¯Reconstruction of the Shopping Center parking lots located between the Center and E1
Camino Real;
¯Completion of Shopping Center Building W, a 9,000 square foot building located near
the El Camino Real and Quarry Road intersection; and
¯Completion of annexations that will adjust the City limit line to conform with changes
made to Sand Hill Road and Quarry Road and add to the City the new Pasteur. Drive
and the area between the new road and the existing housing at 1 i 00 Welch Road.
A map identifying construction activity by year of work is attached.
RESOURCE IMPACT
None.
POLICY IMPLICATIONS
This report does not represent any changes to existing City policies.
ENVIRONMENTAL REVIEW
Issuance of the Certificate of Compliance is not a project under
Environmental Quality Act, and no environmental assessment is required.
ATTACHMENTS
Memo from Diane Healey
Phasing Map (Council Members only)
the Califomia
PREPARED BY: Kenneth R. Schreiber, Coordinator, Sand Hill Corridor Projects
CMR: 167:01 Page 3 of 4
DEPARTMENT HEAD REVIEW:
G. EDWARD GAWF
Director-of Planning and Community Environment
CITY MANAGER APPROVAL:
Assistant City Manager
cc:Stanford Management Company (Bob Reidy, Jim Inglis, Diane Healey)
Stanford University (Andy Coe)
City of Menlo Park (David Boasch)
County of Santa Clara (Ann Draper)
County of San Mateo (John Maltbie)
Town of Portola Valley (George Mader)
Town of Woodside (Curtis Williams)
CMR: 167:01 Page 4 of 4
M E M 0 R A N D U M
TO:
FROM:
SUBJECT:
Ed Gawf
Director for Planning and Community Environment
Diane
Managing/Di~itor, Real Estate
Sand Hill Development Agreement Annual Report 1999
Pursuant to the Development Agreement this report is being provided for the period from August
1, 1999 to July 31, 2000. The $2,000.00 annual report recovery fee is attached (Check
#6304860).
The following highlights the significant activity for the above reporting period:
¯The Sixth Appellate District Court affirmed the judgment in favor of the Sand Hill
Road Projects in December 1999.
Construction of onsite public utilities, roads, and parking lots for the Stanford West
Apartments has been completed. The Community Center is now opened and the first
60 apartment units will be occupied in October. Commensurate with initial
occupancy, the Marguerite Shuttle system will be extended to serve the residents of
the apartments.
Stanfordhas entered into a ground lease with Children’s Discovery Center for the
development and operation of a child care center on the Stanford West Apartments
site. Project planning has commenced and review by the ARB will take place this
fall.
On March 27, 2000, the City Council approved an assignment and assumption of the
senior housing portion of the Development Agreement to Classic Residence by Hyatt.
Stanford subsequently entered into a ground lease with Classic Residence by Hyatt,
for the development and operation of the senior housing project. Project planning and
the licensure process have commenced.
¯Construction of the Stanford Shopping Center parking structure (1,500 stalls) was
completed in November 1999.
STANFORI) I~|ANAGEIMENT COI~IPANY
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Final ARB approvals were granted for Shopping Center Buildings P (last fall) and V
(this spring) and construction has commenced. The shell portion of Building P
(~9,600 sf) will be complete in September 2000, and tenant improvements are
scheduled for completion in time for a Wilkes Bashford store opening in February
2001. Occupancy of Building V (.-,63,000 sf) is targeted for November 2001. All
Shopping Center construction activity will be suspended during the holiday season.
Planning activities for Shopping Center Building W commenced and construction is
scheduled to begin in April 2001, with a targeted occupancy of November 200 i.
An amended and restated maintenance agreement between the City and’Stanford for
utilities at Stanford Shopping Center was approved by City Council on June 12, 2000.
Utility modifications are underway and have been completed for Buildings B~ C, D,
and J. The remaining work by the City and Stanford will be completed by early 2001.
Road construction has been successfully accelerated. The northbound lanes of
Arboretum Road have been completed and the southbound lane work is planned for.
2001. The two-lane segment of Sand Hill Road from El Camino Real to Arboretum
will be open in October 2000. By early November 2000, four lanes of Sand Hill
Road will be open from Arboretum, tapering to two lanes at the last intersection east
of Menlo Park. Stock Farm Road, Vineyard Lane, Palo Road and the realignment of
both Pasteur Drive have been completed.
In October 1999, ARB reviewed the San Francisco Water Department Water Vault on
El Camino Real and the Director for Planning and Community Environment
conditionally approved the plans.
¯An agreement between the City of Palo Alto and Stanford regarding the improvement
and maintenance of Quarry Road and Pasteur Drive was approved in November 1999.
¯The Sand Hill Road Improvement Offer letter was sent to the City of Menlo Park and
San Mateo County, per Condition of Approval 12, on June 22, 2000. ~
Development Agreement compliance continues to be strictly adhered to by Stanford and closely
monitored by the City. The benefit of applying this level of diligence is apparent given the
limited number of community concerns expressed to date and the significant progress that has
been achieved.
Ariel Colonne/CPA
Frank Benest/CPA
Tony Sandhu/CPA
Sandy Skaggs/McCutchen
Ken Schreiber/Land Use Planning Services
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