Item Coversheet
CITY OF CARMEL-BY-THE-SEA
CITY COUNCIL
Staff Report 

October  3, 2023
PUBLIC HEARINGS

TO:

Honorable Mayor and City Council Members 
SUBMITTED BY:

Evan Kort, Associate Planner
APPROVED BY: 

Chip Rerig, City Administrator
SUBJECT:

DR 23-140 (Esperanza Carmel Commercial - JB Pastor Building): Consideration of a resolution overturning the July 2023 decision of the Historic Resources Board (Reso. 2023-009-HRB) and issuing a Determination of Consistency with the Secretary of the Interior’s Standards, with new findings and conditions, for the construction of a mixed-use building with subterranean garage on a portion of the Northern California Savings & Loan Complex site located at Dolores Street 2 Southeast of 7th Avenue in the Service Commercial (SC) Zoning District. APNs 010-145-012, 010-145-023, 010-145-024

 
RECOMMENDATION:

Adopt Resolution 2023-099 overturning the July 2023 decision of the Historic Resources Board (Reso. 2023-009-HRB) and issue a Determination of Consistency with the Secretary of the Interior’s Standards, with conditions, for the construction of a mixed-use building with subterranean garage on a portion of the Northern California Savings & Loan Complex site located at Dolores Street 2 Southeast of 7th Avenue in the Service Commercial (SC) Zoning District. APNs 010-145-012, 010-145-023, 010-145-024.

BACKGROUND/SUMMARY:

EXECUTIVE SUMMARY

 

The City Council held a Right of Review Hearing (Pursuant to CMC 2.04.160) for the subject application at their September 12, 2023 meeting (click here for staff report).  Following deliberation, the Council moved to continue the hearing with direction to staff to prepare specific findings and conditions based on the Council discussion.  The motion was to prepare a resolution overturning the previous Historic Resources Board Determination of Consistency for the subject project (Resolution 2023-009-HRB), with new findings of Consistency and Conditions of Approval for the project to be brought back for adoption at the October 3, 2023 hearing.  Staff has prepared a revised Resolution for adoption by the Council based on the direction provided by the Council at the September 12, 2023 meeting. The action the Council is taking is to find the project consistent with the Secretary's Standards, as conditioned.  The applicant would then revise the project based on Council direction for final action by the Planning Commission. 

 

 

 

 

 

 

BACKGROUND AND PROJECT DESCRIPTION

 

The applicant is proposing to construct a 15,351-square-foot mixed-use building with a 9,805-square-foot subterranean garage on a portion of the Northern California Savings and Loan Complex site. The project is proposed to be construction on lots 6 and 8, as well as lot 10 –lot 10 is not part of the Complex site. While the community room is located on lot 6, the project is proposed to be built around the community room leaving the structure intact with no alteration proposed to the Bank Building or Community Room structures. However, the proposed project required the ornamented concrete wall to the south of the Community Room to be removed.

 

The application was considered by the Historic Resources Board at their July 17, 2023 meeting.  The Board adopted Resolution 2023-009-HRB issuing a Determination of Consistency for the project.  During the 10-day appeal period for the decision, two members of the City Council, Council Member Ferlito and Council Member Dramov, enacted the City Council Right of Review (CMC 2.04.160) to review the decision made by the Historic Resources Board both specifically noting the relocation of the concrete wall as the primary concern in the written request for the review. Both Council Members presented their specific concerns at the September 12th City Council meeting.

 

At the September meeting, City Council considered the Right to Review and moved to continue the project with direction to staff to prepare specific findings and conditions based on the Council discussion overturning the previous Historic Resources Board Determination of Consistency (Resolution 2023-009-HRB), with new findings of Consistency and Conditions of Approval for the project to be brought back for adoption at the October 3, 2023 hearing. While the request for the Right of Review was initiated due to concerns surrounding the ornamented concrete wall at the southwest corner of the Community Room, additional concerns were raised regarding the proposed projects siting and spatial relationships to the Complex as a whole.

 

Staff has prepared a revised resolution based on the council feedback at the September 12th hearing for review and adoption.

 

STAFF ANALYSIS

 

Evaluation Process

The findings and conditions outlined in the attached Resolution (Attachment 1) were prepared using the testimony of the City Council at the September 12, 2023 hearing, either as directly stated or substantially derived from the intent of the statements made by the City Council.  While staff has prepared this resolution based on review of the video of the previous hearing and written testimony provided to staff, staff will be prepared at the hearing to make changes to the Resolution in real-time should the City Council wish to make further amendments.

 

Preservation Buffer and Preservation of Spatial Relations and Site Context:

Based on the findings, discussion, and direction of the Council at the September 12 hearing, staff has prepared a “preservation buffer” (see Figure 1, below) around the Community Room, including the original ornamented concrete wall.

 

 Preservation Buffer: A primary concern of the Council discussed at the September 12 hearing was that the proposed project did not respect the existing spatial relationships of the Complex and concerns were raised that the proposed development would loom over the Complex and subordinate the Complex not only from the primary elevation but also at the sides and rear. The Council suggested the proposed project be moved away from the Complex to give space and light to the Complex. 

 

 

 

 

While prescriptive setbacks were generally not provided as part of the discussion, a Councilmember did suggest at least a 5-foot setback from the original ornamental concrete wall and maintaining the existing spatial separation around the site.  This direction was used to produce the preservation buffer (see Figure 1, below) which dedicates the areas in which the new building should not be located in an effort to maintain the spatial relationships of the Complex. The buffer includes:

 

  • A minimum setback of 5’ from the exterior of the original of the ornamented concrete wall;
  •  Maintaining the minimum separation around the community room on the south and east side as measured as the minimum distance from Community Room to the non-original (staff estimates 7’6” is the minimum distance from the Community Room to the non-original wall);
  •  Maintaining the minimum separation between the community room and the bank building (staff estimates this distance is 8’5”); and
  •  Keeping a 50% buffer of the minimum separation between the community room and the bank building from the northern property line adjacent to the Bank Building site (approximately 50% of the width of separation between the Bank Building and Community Room; staff estimates this distance is 4’3”).

 

In conjunction with the preservation buffer shown below, the following conditions have been included in the Resolution:

 

  • Preservation of Spatial Relationships. Prior to review by the Planning Commission, the Design Review plans shall be revised to preserve the existing spatial relationship of the Complex.  At a minimum, all proposed structural elements shall be located outside of the preservation buffer as depicted in Attachment A of this resolution. Walkways, at grade stairways, landscaping, paving, and similar features may be allowed within the buffer, however, building elements that are defined as building coverage (CMC 17.14.130) shall not be permitted to encroach.  Building eaves shall be limited to an encroachment of 18 inches or less. 

 

  • Preservation of Site Context. To ensure the Complex is not subordinated by the proposed development, prior to review by the Planning Commission, the Design Review plans shall be revised to preserve the context of the site so that the Saving and Loan Complex remains a prominent feature as viewed from 7th Avenue and Dolores Street.  Changes to be considered include but are not limited to: articulation of the front elevation to preserve and open the view from Dolores Street looking north, reducing and minimizing the mass of the structure(s) to maintain to not diminish the character of the Complex, and further enhancing the open space around the Complex.  

  

Figure 1. Preservation Buffer illustrated in red. Build-to-Line waiver area (see Staff Recommendation section, below) shown in yellow

 

Additional Staff Recommendations.

While not requested by the applicant or specifically directed by the Council, based on the discussion at the prior hearing, staff is recommending the City Council grant a waiver from the built-to-line (CMC 17.14.130; see Figure 1, above). 

 

Build-to-line: CMC 17.14.130 states, “Within the CC and SC districts the street-facing, ground-level facade of each building shall be established on the property line or within two feet of this line for at least 70 percent of each street frontage of the building.”

 

This code provision required the ground floor façade to be built within 2-feet of property line along the street frontage.  Some exceptions exist for entrances to intra-block walkways or courtyards.

 

Waiver: In accordance with CMC 17.32.100, The Board [Council] is authorized to develop and implement preservation incentive programs that are consistent with this chapter (CMC 17.32). The following preservation incentives are available to owners of resources listed in the Carmel Register (The Complex was listed on the Carmel Register in April 2023).

 

An available benefit described in the code addresses maintaining existing structural non-conformities and creating new design non-conformities when this is found necessary to achieve consistency with the Secretary’s Standards. As such, staff is recommending a waiver from the build-to line to allow for portions of the proposed building located on “Lot 8” to have the build-to line modified from 2-feet to 5-feet, as shown in Figure 1, above (also see description from Resolution see below).

 

 

 

 

 

Build-to-Line Waiver. The subject site is located on the Carmel Register of Historic Resources. The City Council hereby finds that to allow the remaining original intact portion of the ornamented concrete wall to be visible from the public right-of-way, a waiver from the build-to-line requirement (CMC 17.14.130) may be granted by the Planning Commission for portions of the proposed building located on Lot 8, for up to 5-feet from the property line. This waiver and creation of a Design Non-Conformity is granted in accordance with CMC 17.32.100.D, Benefits Available to Historic Resources on the Register.

 

 Waiver Rationale and explanation: At the September 12th hearing, the Council expressed concerns regarding the proposed building’s massing and the visibility of the wall as viewed from the right-of-way (particularly as viewed looking toward the north standing south of the site on Dolores Street).  The intent of this waiver from the build-to line is to allow for additional view opportunities of the wall and Complex in conjunction with the preservation buffer described, above.

 

 The 5-foot line was recommended as a 5-foot setback is often required for sites in the RC and R4 districts and therefore would be consistent with other commercial setbacks of properties in the immediate vicinity, and is limited to lot 8 as lot 10 is not part of the Historic site (the benefit only applies to sites listed on the Historic Register).  Lastly, this recommendation by staff is not intended to serve as a mandate, but rather as a benefit to the applicant/property owner to deviate from the build-to line provision (CMC 17.14.130) in preparing revising drawings if found necessary to further preserve the visibility of the Complex site in conjunction with the preservation buffer in revising the design based on the council direction.

FISCAL IMPACT:

There is no fiscal impact associated with the consideration of a Determination of Consistency.  Staff time associated with processing this application is captured in the adopted FY2023-24 budget.

PRIOR CITY COUNCIL ACTION:

The City Council has not previously considered a Determination of Consistency for this specific project.  However, the Council has considered a number of items for the Complex previously.

 

The City Council considered adding the property to the Carmel Historic Inventory in 2006 when the property was 34 years old and determined it was not eligible for listing as a historic resource at that time.

 

In 2020, the City Council made the determination that that a property does not qualify for the Carmel Inventory and issued a "Determination of Ineligibility" for the property.  The item was brought before the City Council following the appeal of the Historic Resources Board’s decision to add the property to the City’s Historic Inventory. The associated Determination of Ineligibility expired on October 26, 2022.

 

In 2021, the City Council adopted a Resolution Reso. 2021-043, denying the appeal by Christopher Mitchell (APP 21-197) and upholding the Historic Resources Board’s decision to issue a Finding of Noncompliance with the Secretary of the Interior’s Standards for the demolition of the Palo Alto Savings and Loan Bank Community Room.  While the Determination of Ineligibly described in the paragraph above was still valid, this project was required to be reviewed by the HRB as the Complex is eligible for listing on the California Register of Historic Resources, as previously described.

 

In 2023 the Council adopted two Resolutions at their April 4, 2023 hearing:

 

  1. Resolution 2023-051 denying the appeal by Esperanza Carmel (APP 23-031) and upholding the Historic Resources Board’s decision to list the Northern California Savings and Loan Complex on the Carmel Inventory of Historic Resources and Carmel Register of Historic Resources, and

 

 

 

  1. Resolution 2023-052 denying the appeal by Esperanza Carmel (APP 23-031) and upholding the Historic Resources Board’s decision to issue a Finding of Noncompliance with the Secretary of the Interior’s Standards for the demolition of the Palo Alto Savings and Loan Bank Community Room.

 

On September 12, 2023, the City Council held a Right of Review Hearing (CMC 2.04.160) for the subject application following the July 17, 2023 Historic Resources Board Hearing. Following deliberation at the hearing, the Council moved to continue the hearing with direction to staff to prepare specific findings and conditions based on the Council discussion.  The motion was to prepare a resolution overturning the previous Historic Resources Board Determination of Consistency for the subject project (Resolution 2023-009-HRB), with new findings of Consistency and Conditions of Approval for the project to be brought back for adoption at the October 3, 2023 hearing

ATTACHMENTS:
ATTACHMENTS:
Description
Attachment 1) Resolution 2023-099