TOWNSHIP OF ESQUIMALT STAFF REPORT
MEETING DATE: February 26, 2023 Report No. DEV-24-006
TO: Council
FROM: Alex Tang, Planner and Bill Brown, Director of Development Services
SUBJECT: Rezoning Application - 899 Esquimalt Road
RECOMMENDATION:
Recommendation
That Council give first, second, and third reading to Zoning Bylaw, 1992, No. 2050, Amendment Bylaw, 2024, No. 3131.
Body
EXECUTIVE SUMMARY:
The applicant is requesting to amend the CD No. 120 zone to accommodate two additional storeys to the proposed multiple family residential building with medical clinic space.
Evaluation of this application should focus on issues related to zoning such as the proposed height, density, massing, proposed unit sizes, siting, setbacks, lot coverage, usable open space, parking, land use, fit with the neighbourhood, and consistency with the Official Community Plan.
BACKGROUND:
The two parcels that formed the current property of 899 Esquimalt Road (prior to their consolidation) were previously zoned C-2 [Neighbourhood Commercial] for the northern half and RD-3 [Two Family Residential] for the southern half. The land use designations within the then 2006 Official Community Plan for this property were Commercial Mixed-Use for the northern half, which accepted development up to 12 storeys in height and Low-Rise Residential for the southern half, which accepted residential development up to 4 storeys in height.
On April 11, 2018, the applicant’s proposal of a 13-storey building was presented to the Design Review Committee. The committee had concerns with the height of 13 storeys and recommended approval with one of the conditions being the reduction in height to conform to the Official Community Plan. In response, the applicant amended the proposal to consist of 12 storeys.
On May 15, 2018, the applicant’s amended 12-storey proposal was presented to the Advisory Planning Commission. The applicants also clarified their density bonus amenities to include:
• Provision of 40 rental housing units at 20% below market rate at an off-site development in the Township of Esquimalt.
• Design, construction and provision of a kayak dock.
• Provision of 5 free publicly available electric vehicle charging stations.
• Built Green Canada Silver certification.
• Burial of the hydro lines directly in front of the proposed development on Esquimalt Road; and
• Construction and provision of a new bus stop on Esquimalt Road.
Although the commission had concerns with the height, the Advisory Planning Commission resolved to forward the application to Council with a recommendation of approval as they thought that the density bonus amenities provided were comprehensive.
On June 25, 2018, Council adopted the current Official Community Plan (Schedule “A” to Bylaw 2922). As discussed below, the subject property is within the Proposed Land Use designation of ‘Commercial/Commercial Mixed Use’. Staff Reports at that time reviewed the applicable OCP designation and policies, and below elaborates on the currently proposed changes.
Subsequently, the applicants amended the amenities to provide a medical clinic in lieu of the sub-market rental housing. On May 27, 2019, the applicant’s proposal was considered by Council before a Public Hearing was held on July 8, 2019. Council recommended that the applicant conduct further consultation in a collaborative process with the neighbours before returning to Council.
After the applicant’s public consultation process, this proposal was amended to 10 storeys and had second reading of the bylaw rescinded, amended and read anew by Council on November 4, 2019. A second Public Hearing was held on November 25, 2019 in which Council gave third reading. On January 20, 2020, the amendment bylaw was adopted after the S.219 Covenant was signed and registered on title.
In 2023, the applicant applied to add 2 storeys for a total 12-storey building, increasing the unit count from 66-82, floor area ratio from 3.87 to 4.68 and height from 35.0 to 40.8 metres, and decreasing the parking ratio from 1.3 to 1.04 parking spaces per dwelling unit. The applicant is proposing the amenity of transferring a residential unit to the Township at no cost. As this rezoning is consistent with the Official Community Plan and relates to a residential development (or mixed-use development with more than 50% residential), no public hearing is permitted further to recent provincial changes to the Local Government Act.
Chronology:
• December 19, 2023 - Application Received
• January 10, 2024 - Design Review Committee
• January 16, 2024 - Advisory Planning Commission
Advisory Body Recommendations:
Design Review Committee:
• Members would prefer the inclusion of more family-size units.
• The Design Review Committee resolved that the application be forwarded to Council with a recommendation of approval as it meets the Township’s Official Community Plan and does not significantly increase the shadows.
Advisory Planning Commission
• Members had concerns with the increase in height as its reduction to 10 storeys stemmed from the first Public Hearing and the subsequent public consultation process.
• Members had concerns with the amenities being provided as the transfer of one residential unit to the Township does not have the impact on housing affordability that multiple units offered at sub-market rate would.
• Staff concurs as sub-market units were initially sought as an amenity.
• The Advisory Planning Commission resolved that the application be forwarded to Council with a recommendation of approval with a condition that the proposed amenities be reviewed.
• In response to the comments made by the Advisory Planning Commission, the applicant is now proposing to replace the drain main along Head Street along with the curb, gutter, and sidewalk as additional density bonus amenities.
Referral Comments:
Community Safety Services (Building Inspection):
• The building is to be constructed to the requirements of BC Building Code and municipal bylaws. Plans will be reviewed for compliance with BC Building Code upon submission of a building permit application.
Engineering Services:
• Engineering staff has completed a preliminary evaluation of works and services that would be required for the proposed development. If approved, the development must be serviced in accordance with bylaw requirements including, but not limited to, new sewer and drain connections, underground hydro, underground telephone and cable services and new road works.
• The applicant should contact the City of Victoria regarding water requirements and approvals.
• Private garbage and compost pick up is required for developments with 6 or more units. Garbage and compost staging are to be provided on site.
• Sewer capacity assessment report is required as there are existing sewer capacity issues downstream. Onsite attenuation may be required. The applicant can reduce the amount of inflow and infiltration or provide a cash equivalent of the cost to do such.
Fire Services:
• The standpipe and sprinkler system must meet the additional capacity.
ANALYSIS:
The purpose of the application is to accommodate two additional storeys on an approved development.
OCP ANALYSIS:
The proposed development exceeds the stated density target within the Proposed Land Use Designation of ‘Commercial/Commercial Mixed Use’ as the proposed development consists of a residential floor area ratio above 3.0. As detailed below, OCP policies support consideration of bonus density of the provision of amenities. The previously approved development has a FAR of 3.87 with a residential FAR of 3.60. For the approved proposal, the Township accepted the applicant’s proposed community amenities in the form of a health clinic with a minimum area of 370 m2, subsidized lease rate for 10 years, installation and maintenance of a kayak dock, 5 publicly available electric vehicle charging stations, and other cash contributions for the bonus density as per the Official Community Plan policy. Council adopted Amendment Bylaw 2963, allowing the FAR of 3.87 with the inclusion of these amenities.
The applicant is now proposing two additional stories, which amount to a total FAR of 4.68 with a residential area ratio of 4.41. As an amenity for the additional density, the applicant is proposing to transfer one of their residential units to the Township. Additionally, the applicant is proposing to be responsible for all fees related to the sale, transfer, and future management of this unit, the details for which would require further review by Township Legal.
In addition to the typical works and services, the applicant is proposing to replace the storm main and construct new curbs, gutters, and sidewalks along Head Street between Esquimalt Road and Wollaston Street as an additional community contribution to the Township.
Section 6.1 Commercial & Commercial Mixed-Use states an objective to encourage the development of a complete community where commercial enterprises serve the needs of area residents, local businesses, and visitors.
Supporting policies in this section relevant with the proposed development include:
• Encourage a mix of uses in the commercial/commercial mixed-use areas.
• In commercial mixed-use areas, buildings with a floor area ratio of up to 3.0 for the residential portion may be acceptable.
• Consider, where appropriate, development proposals with densities greater than those set out through density bonus of floor-space provided that the additional density results in the provision of community amenities deemed appropriate by Council for the benefit of the community.
• For the purposes of density bonuses, “amenities” may include but are not limited to:
1. Privately-owned, publicly accessible open space.
2. Public Art.
3. Contributions towards the enhancement of public recreation facilities.
4. Contributions towards street and boulevard enhancements, including street furniture and decorative lighting.
5. Building to a higher step of the BC Energy Step Code than required under the Building Bylaw.
6. Group daycare and respite facilities for children and adults.
7. Preservation of heritage structures, features or assets.
8. Affordable housing units.
9. Special needs housing units.
10. Community gardens.
11. Enhanced green family play space for residents.
12. Public space improvements supporting and surrounding transit stations; and
13. Other as may be appropriate to the development proposal or surrounding community as deemed appropriate by Council.
Staff have reviewed the proposal in the context of the entirety of the OCP and are of the opinion that the proposed rezoning is consistent with the OCP. For example, no change is required to the land use designation, the OCP does not contain an applicable height or unit limitation, and in relation to and accordance with density policies, Council may consider the proposed amenities appropriate for the benefit of the community. Although this Report has highlighted several applicable policies, Council are advised to consider the proposal in the context of the entirety of the OCP, as Staff have.
ZONING ANALYSIS:
Density, Lot Coverage, Height, and Setbacks: The following chart lists the floor area ratios, setbacks, height, and parking of this proposal compared to the previously approved Comprehensive Development District 120 of Zoning Bylaw, 1992, No. 2050.
|
|
CD No. 120 |
Proposed |
|
Residential Units |
66 |
82 |
|
Floor Area Ratio |
3.87 |
4.68 |
|
Setbacks: |
|
|
|
• Esquimalt Road |
3.2m |
3.2m |
|
• Wollaston Street |
6.3m |
6.3m |
|
• Side |
0 m |
0 m |
|
Height |
35.0m [10 storeys] |
40.8 m [12 storeys] |
|
Off-Street Parking Spaces |
94 |
94 |
|
Bicycle Parking Spaces |
99 |
99 |
With the additional two storeys, the number of residential units increased from 66 to 82. The floor area ratio increased from 3.87 to 4.68, and the height increased from 35.0 metres to 40.8 metres. The setbacks and building envelope remain the same.
PARKING ANALYSIS:
The applicant is proposing to have 94 off-street parking spaces to service 82 residential dwelling units and a 370 m2 medical clinic. Comprehensive Development District No. 120 requires 1.3 parking spaces per dwelling unit and 8 parking spaces for the commercial component of this building. The applicant is proposing to amend the required parking ratio from 1.3 parking spaces per dwelling unit to 1.04 parking spaces per dwelling unit.
OPTIONS:
1. That Council give first, second, and third reading to Zoning Bylaw, 1992, No. 2050, Amendment Bylaw, 2024, No. 3131.
2. That Council postpone consideration of Amendment Bylaw No. 3131 pending receipt of additional information.
3. That Council defeat Amendment Bylaw No. 3131.
COUNCIL PRIORITY:
Housing
FINANCIAL IMPACT:
As the proposed density exceeds the 3.0 Floor Area Ratio in the Official Community Plan, the density bonus provisions of the Official Community Plan apply. To meet these provisions, the applicant has offered to give the Township of Esquimalt the strata title for a 2-bedroom, 2-bathroom, 856 square foot north facing unit on the second floor which is to include a 387 square foot deck (It is noted that this unit is directly above the bus stop for route 15). The developer would also be responsible for paying the management fees to the property management company. The property management company would manage the selection of tenants and would be the first point of contact for tenants. The property management company would also collect the rent and forward it to the Township. The Township would be responsible for property taxes and strata fees.
The Township would be able to sell the unit, however, with recent activity related to short term rentals, there are already a number of similar units on the market which has had an impact on selling prices. The developer has provided his estimated value of the proposed strata unit however he is not willing to provide the Township with this amount as a cash equivalent. If the Township wished to sell the unit, it would be responsible for its share of the selling costs including the real estate commission.
If the Township wished to rent the unit, the median rental rate for a 2-bedroom unit in Victoria as of February 2024 is $2,670 according to the Zumper website.
In addition to direct fiscal impacts, if the Township retained ownership of the strata unit, a staff person would need to be assigned as a contact person for the management company and provide oversight to the management company. In addition, they would attend all strata council meetings. All the above noted items would be secured by a legal agreement prior to bringing the bylaw back to Council for adoption.
It is also noted that the applicant has also agreed to pay for certain upgrades to Head Street between Esquimalt Road and Wollaston Street that lie beyond the center line of Head Street and are hence not covered by the Works and Services Bylaw. The estimated value of these works is between $250,000 and $350,000. Again, the details would be secured by legal agreement prior to bringing the bylaw back to Council for adoption.
COMMUNICATIONS/ENGAGEMENT:
The applicant held a public information session on January 23, 2024; the notice for which was mailed to properties within 100m of the parcel. In addition, in compliance with the Local Government Act, notices with the time, date, and place of first reading were mailed to owners and occupiers of property within 100 m of the subject property.
TIMELINES & NEXT STEPS:
Should Council give third reading to Amendment Bylaw 3131, staff would coordinate with the property owner to ensure that a S.219 Covenant is registered against the property title in priority to all financial encumbrances before returning the bylaw to Council for consideration of adoption.
REPORT REVIEWED BY:
1. Bill Brown, Director of Development Services, Reviewed
2. Deb Hopkins, Director of Corporate Services, Reviewed
3. Ian Irvine, Director of Finance, Reviewed
4. Dan Horan, Chief Administrative Officer, Concurrence
LIST OF ATTACHMENTS:
1. Appendix A: Zoning Bylaw, 1992, No. 2050, Amendment Bylaw, 2024, No. 3131
2. Appendix B: Aerial Map
3. Appendix C: Architectural Drawings
4. Appendix D: Parking Study
5. Appendix E: Shadow Study
6. Appendix F: Developer’s Public Consultation Summary
7. Appendix G: Public Input
8. Appendix H: Staff’s Presentation
9. Appendix I: Applicant’s Presentation