TOWNSHIP OF ESQUIMALT STAFF REPORT
MEETING DATE: March 18, 2024 Report No. DEV-24-011
TO: Council
FROM: Alex Tang, Planner and Bill Brown, Director of Development Services
SUBJECT: Housing Agreement Bylaw and Rezoning Bylaw - 602, 608, 612 & 618 Nelson Street and 1319, 1331 & 1347 Sussex Street
RECOMMENDATION:
Recommendation
1. That Council give first, second, and third reading to Housing Agreement Bylaw, 2024, No. 3127.
2. That Council give first, second, and third reading to Zoning Bylaw, 1992, No. 2050, Amendment Bylaw, 2024, No. 3126.
Body
EXECUTIVE SUMMARY:
The applicant is requesting a change in zoning from a mix of RM-1 [Multiple Family Residential] and CD-150 [Commercial-Residential Mixed Use] to Comprehensive Development District No. 164. This change is required to accommodate the proposed 12-storey, 314-unit, multiple family purpose built rental residential building including 352 m2 [3791 ft2] of commercial 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 overall direction contained within the Official Community Plan.
Staff is supportive of the application as the proposal is consistent with the use and density within the Proposed Land Use Designation.
BACKGROUND:
On January 9, 2023, Council adopted Official Community Plan Bylaw, 2018, No. 2922, Amendment Bylaw, 2022, 3061, amending the Proposed Land Use Designation of 602, 608 & 612 Nelson Street from High Density Residential to Commercial / Commercial Mixed-Use. Council also adopted Zoning Bylaw, 1992, No. 2050, Amendment Bylaw, 2022, No. 3062, amending 602, 608 & 612 Nelson Street from RM-1 [Multiple Family Residential] to CD No. 150 [Comprehensive Development District No. 150].
Comprehensive Development District No. 150 allows for a mixed-used development with 109 residential units and 180 m2 of commercial space. The allowable bonus density of this zone is 3.39 with the provision of a 200 m2 privately owned publicly accessible open space and 10 below-market residential units to be sold at 15% below their fair market value with their resale value to not exceed the initial sale price plus the product of the initial sale price multiplied by the change in Core Consumer Price Index for Victoria.
In December of 2022, the applicant submitted a rezoning application for the properties along Sussex Street to the north of the properties within the CD No. 150 zone. In November of 2023, the applicant amended the rezoning application to include the properties within the CD No. 150 zone (602, 608 & 612 Nelson Street).
This application is for a change in zoning from a mix of RM-1 [Multiple Family Residential] and CD-150 [Commercial-Residential Mixed Use] to Comprehensive Development District No. 164. This change is required to accommodate the proposed 12-storey, 314-unit multiple family purpose built rental residential building including 352 m2 [3791 ft2] of commercial space. The proposed development exceeds the densities set out in the Official Community Plan; consequently, the applicant is proposing community amenities in the form of 1,509 square metres (16,250 square feet) of residential units rented at below-market rate, 751 square metres (8,093 square feet) of accessible units, and a 465-square metre (5,000-square feet) public park space.
As the applicant wishes to assure Council that uses and development will be restricted and amenities provided, the applicant has voluntarily agreed to register a Section 219 Covenant on the titles of the subject properties in favour of the Township of Esquimalt providing the lands shall not be subdivided, built upon or used (as appropriate to the requirement, as drafted by the Township’s solicitor at the applicant’s expense) in the absence of all of the following:
• Lot consolidation prior to development as the proposed CD No. 164 Zone does not work unless the parcels are consolidated
• Park dedication with a minimum area of 465 m2
• A minimum of 30 (or 11.2% of total parking spaces) visitor parking spaces will be provided and remain
• Provision of one-year BC Transit bus passes for the Victoria Regional Transit System for the residents in the 26 sub-market units
• The building to be constructed to include eleven (or 3.5% of total units) 3-bedroom dwelling units
If directed by Council, staff and legal counsel for the Township will coordinate with the property owners to ensure a Section 219 Covenant addressing the issues is registered against the property title, in priority to all financial encumbrances, prior to returning Amendment Bylaw No. 3126 to Council for consideration of adoption.
Chronology:
• December 8, 2022 - Rezoning application received
• November 28, 2023 - Amended drawings received to include 602, 608 & 612 Nelson Street
• December 13, 2023 - Design Review Committee
• January 16, 2024 - Advisory Planning Commission
Advisory Body Recommendations:
Design Review Committee:
• Members liked the site layout and the provision of the park space.
• Members had concerns with the exposed blank wall along the Nelson Street frontage.
• The Design Review Committee resolved that the application be forwarded to Council with a recommendation of approval as the proposal provides essential and diverse housing and reflects similar density as the previously approved project, with the condition that the proponent considers alternate massing and design elements for a more neighbourly design, including possible variations of overall building height.
• To respond to the concerns of the committee, the applicant will soften the edges and dress the exposed walls as part of the plans for the Development Permit application.
Advisory Planning Commission:
• Members liked the design with the public park on Esquimalt Road.
• Members liked the amenities with the mix of non-market and accessible housing.
• Members would prefer a step back at the 4th or 5th storey.
• The Advisory Planning Commission resolved that the application be forwarded to Council with a recommendation of approval as the proposal addresses the rental housing needs of the community.
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 314-unit multiple family residential building. Staff confirms that the design appears achievable on the site and that appropriate works and services are available in the immediate area. If approved, the development must be serviced in accordance with bylaw requirements including, but not limited to, new sewer and drain connections, underground hydro, telephone and cable services and new road works may be required up to the centre line of Esquimalt Road, Nelson Street, and Sussex Street.
• Parking scallops are to be provided on the Sussex Street and Nelson Street frontages with trees to be provided between them. These will include one loading zone spot.
Parks:
• Parks staff has completed a preliminary review of the proposed on-site and off-site landscaping.
• For the park dedication, parks staff would want the following:
o Irrigation for trees and garden beds
o Lighting
o Picnic table
o Small playground feature
o Garbage Cans
o Benches
o Signage denoting the name of the park
ANALYSIS:
OCP ANALYSIS:
The proposed development exceeds the acceptable density within the Proposed Land Use Designation of ‘Commercial/Commercial Mixed Use’ and ‘High Density Residential’. The proposed development consists of a floor area ratio of 4.78 with a residential area ratio of 4.69. For densities greater than those set out in the Official Community Plan, the applicant is proposing community amenities in the form of 1,509 square metres (16,250 square feet) of residential units rented at below-market rate, 751 square metres (8,093 square feet) of accessible units, and a 465-square metre (5,000-square feet) public park space.
OCP Section 3.3 Housing and Community identifies land lying north of Esquimalt Road between Admirals Road and CFB Esquimalt as an area for residential densification.
OCP Section 5.1 states a policy to ‘support the development of a variety of housing types and designs to meet the anticipated housing needs of residents. This may include non-market and market housing options that are designed to accommodate young and multi-generational families, the local workforce, as well as middle- and high-income households.’
OCP Section 5.3 Medium and High-Density Residential Development states an objective to support compact, efficient medium density and high-density residential development that integrates with existing proposed adjacent uses.
Supporting policies in this section consistent with the proposed development include:
• Encourage new medium-density and high-density residential development with high quality design standards for building and landscaping and which enhance existing neighbourhoods.
• Prioritize medium density and high-density residential development in proposed land use designated areas that:
1. reduce single occupancy vehicle use;
2. support transit service;
3. are located within proximity to employment centres; and
4. accommodate young families.
• A mix of dwelling unit sizes should be provided in medium density and high-density residential land use designated areas to meet the varying housing needs of Esquimalt residents.
• Encourage the incorporation of spaces designed to foster social interaction.
• Encourage the installation of electric vehicle charging infrastructure in medium and high-density residential developments.
OCP Section 5.4 Affordable Housing states an objective to encourage a range of housing by type, tenure and price so that people of all ages, household types, abilities and incomes have a diversity of housing choice in Esquimalt.
Supporting policies in this section consistent with the proposed development include:
• Encourage the provision of affordable housing by the private market and the non-profit housing sector. Partnerships between private, public or non-market housing providers may be supported. These might include innovative approaches such as limited equity, rent-to-own, co-op, mixed market and non-market projects.
• Consider bonus density, parking relaxations or other development variances where a development proposal includes affordable, special needs or seniors housing. This may apply to both market and non-market housing, and mixed-used proposals. A housing agreement may be entered into between the Township and the owner.
OCP Section 5.5 Age Friendly Housing states an objective to expand and protect seniors housing in Esquimalt to enable citizens to “age in place”.
Supporting policies in this section relevant with the proposed development include:
• Support and facilitate development of multi-generational housing, including in medium and high-density residential developments.
• Encourage child friendly developments that provide appropriate amenities such as outdoor play areas for young children that are well-separated from traffic circulation and parking areas.
• Encourage adaptable design for all dwellings created through rezoning.
• Encourage more accessible housing for people with mobility limitations on the ground floor of medium and high-density residential buildings.
Section 5.6 Family and Child-friendly Housing states an objective to address the shortage of family and child friendly housing in Esquimalt.
Supporting policies in this section relevant with the proposed development include:
• Encourage the provision of medium and high density commercial mixed-use developments designed for families with children.
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.
Section 11.3.2 New Development states the following policies:
• Encourage developers to provide a variety of end of trip facilities for active transportation.
• Encourage bike lockers in multi-unit residential and commercial/commercial mixed-use developments.
Section 13.3.3 Building Energy Efficiency states the following policies:
• Adopt best practices based on evolving building technologies and materials.
• Encourage the adoption of passive, efficient, and renewable energy systems in new buildings and during building retrofits.
• Investigate options for encouraging developers to achieve high energy performance in new developments through such tools as density bonusing, expedited permit approval process, rebate of development fees, revitalization tax exemption, and other incentives.
• Pursue higher energy-efficiency performance in new developments, through the achievement of higher steps in the BC Energy Step Code as an amenity associated with rezoning.
Under Section 13.3.6 Passenger Vehicle Alternatives, the following policies are listed:
• Encourage the installation of electric vehicle charging infrastructure in all new multi-unit developments.
• Pursue the installation of electric vehicle charging capacity in new developments during the rezoning process.
• Encourage the inclusion of car share in new multi-unit residential developments.
Relevant Development Permit Area Guidelines to consider as it relates to the rezoning application include:
• New buildings should be designed and sited to minimize visual intrusion on to the privacy of surrounding homes and minimize the casting of shadows on to the private outdoor space of adjacent residential units.
• The size and siting of buildings that abut existing single- and two-unit and townhouse dwelling should reflect the size and scale of adjacent development and complement the surrounding uses. To achieve this, height and setback restrictions may be imposed as a condition of the development permit.
• Underground parking should be encouraged for any multi-unit residential buildings exceeding four storeys.
• Orient buildings to take advantage of site-specific climate conditions, in terms of solar access and wind flow; design massing and solar orientation for optimum passive performance.
• Build new developments compactly, considering the solar penetration and passive performance provided for neighbouring sites, and avoid shading adjacent to usable outdoor open spaces.
• In commercial, residential, or commercial mixed-use designated areas with taller developments, vary building heights to strategically reduce the shading on to adjacent buildings.
• Provide space for significant landscaping including varying heights of trees, shrubs and ground covers.
• Provide usable outdoor amenities such as seating, food gardens, mini-libraries, and play spaces in semi-public areas to enhance the experience of walking and recreating in the neighburhood.
• Provide space for absorbent landscaping, including significantly sized trees on the site and by not allowing underground parking structures to extend beyond building walls.
ZONING ANALYSIS:
Density, Lot Coverage, Height and Setbacks: The following chart lists the floor area ratios, lot coverage, setbacks, height, parking, and usable open space of this proposal. Zoning Bylaw, 1992, No. 2050 does not currently contain a zone that can accommodate this proposed development.
|
CD No. 164 |
CD No. 164 (without the park dedication) |
Residential Units |
314 |
314 |
Floor Area Ratio |
4.78 |
4.26 |
Lot Coverage (underground parking level) |
88% |
80% |
Lot Coverage at or above the First Storey |
74% |
66% |
Setbacks: |
|
|
Southern interior (Esquimalt Road) |
0 m |
13.0 m |
Interior |
3.0 m |
3.0 m |
Nelson Street |
3.0 m |
3.0 m |
Sussex Street |
3.0 m |
3.0 m |
Building Height |
45 m [12 storeys] |
45 m [12 storeys] |
Off Street Parking |
267 spaces |
267 spaces |
Bicycle Parking |
297 resident spaces |
297 resident spaces |
Usable Open Space |
184 m2 [4.7%] |
184 m2 [4.2%] |
Park Space |
465 m2 [10.8%] |
|
As noted in the table above, the Floor Area Ratio and Lot Coverage as written into the zone includes a park dedication to the Township in the area of 465 m2. Consequently, these numbers are higher than those without the park dedication or if the area was only a privately owned publicly accessible open space.
PARKING ANALYSIS:
Parking: Parking Bylaw, 1992, No. 2011 requires 1.3 parking spaces per unit to be provided for multiple family developments. Parking areas are required to be constructed to meet the standards for manoeuvring aisle dimensions and associated parking stall dimensions detailed in Part 14, Table 2, of the Bylaw.
This proposal incorporates 267 parking spaces to serve 314 residential dwelling units and the 2 commercial units. Hence, the parking offered is less than the required amount of 422 parking spaces as required by the Parking Bylaw. It is noted that a new Parking Bylaw is currently being considered by Council.
HOUSING AGREEMENT BYLAW:
The property owner and the Township wish to enter into a Housing Agreement that would include the following provisions:
• A minimum of 26 dwelling units (or ~8.3%) will be provided as affordable housing consisting of:
o a minimum total floor area of 1,500 m2
• Affordable rent is defined as not more than 30% of the gross household annual income.
• Affordable dwelling units must be occupied by households with a gross annual income at or below the BC Housing Income Limits for the Victoria region.
• Affordable dwelling units must have an occupancy standard of at least one person per bedroom and at least one person per bachelor unit.
• A minimum of 15 dwelling units (or ~4.8%) will be provided as accessible housing consisting of:
o a minimum total floor area of 1,500 m2
• Other than restricting short-term rentals of less than 30 days, all of the dwelling units are available as rental housing rented under the terms of a residential tenancy agreement that complies with the provisions of the Residential Tenancy Act.
• Provision that an individual, government agency, or corporation be allocated no more than ten dwelling units at any given time. An exception to this allocation is made for the Department of National Defence and Seaspan for workforce housing.
Should this Housing Agreement Bylaw be adopted, Township representatives will execute the document and register a Notice of the Housing Agreement on the title of the subject properties.
OPTIONS:
1. That Council give first, second, and third readings to Zoning Bylaw, 1992, No. 2050, Amendment Bylaw, 2024, No. 3126 and to Housing Agreement Bylaw, 2024, No. 3127.
2. That Council postpone consideration of Amendment Bylaw Nos. 3126 and 3127 pending receipt of additional information.
3. That Council defeat Amendment Bylaw Nos. 3126 and 3127.
COUNCIL PRIORITY:
Housing
FINANCIAL IMPACT:
There are no financial implications associated with the proposal.
COMMUNICATIONS/ENGAGEMENT:
The applicant held a public information session on February 20, 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 parcel.
TIMELINES & NEXT STEPS:
Should Council give third reading to Amendment Bylaw No. 3126, 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. Ian Irvine, Director of Finance, Reviewed
3. Deb Hopkins, Director of Corporate Services, Reviewed
4. Dan Horan, Chief Administrative Officer, Concurrence
LIST OF ATTACHMENTS:
1. Appendix A: Zoning Bylaw, 1992, No. 2050, Amendment Bylaw, 2024, No. 3126
2. Appendix B: Housing Agreement Bylaw, 2024, No. 3127
3. Appendix C: Aerial Map
4. Appendix D: Architectural Drawings, Landscape Plan, and Site Plan
5. Appendix E: Green Building Checklist
6. Appendix F: Transportation Impact Assessment and Parking Study
7. Appendix G: Shadow Study
8. Appendix H: Developer’s Public Consultation Summary
9. Appendix I: Staff’s Presentation
10. Appendix J: Applicant’s Presentation