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HomeMy WebLinkAboutPEC140029 PEC140030 The Lion Amendment Memorandum and Attachments 0908140 TOWN OF VAIL Memorandum TO: Planning and Environmental Commission FROM: Community Development Department DATE: September 8, 2014 SUBJECT:A request for a final review of a major exterior alteration or modification, pursuant to Section 12-7H-7, Major Exterior Alterations or Modifications, Vail Town Code, to allow for a change to the approved mix of residential unit types, and a request for final review of an amended conditional use permit, pursuant to Section 12-7H- 3, Permitted and Conditional Uses: First Floor or Street Level, Section 12-7H-4, Permitted and Conditional Uses; Second Floor and Above, Vail Town Code, to allow for a reduction in the number of timeshare units, located at 705 West Lionshead Circle/Lot 1, Strata Vail, and setting forth details in regard thereto. (PEC140029, PEC140030) Applicant: Lionshead Inn LLC, represented by Mauriello Planning Group Planner: Warren Campbell I. SUMMARY The applicant, Lionshead Inn LLC, represented by the Mauriello Planning Group, is requesting final review of an amended major exterior alteration, pursuant to Section 12- 7H-7, Major Exterior Alterations or Modifications, Vail Town Code, to allow for a change to the approved mix of residential unit types, and a request for final review of an amended conditional use permit, pursuant to Section 12-7H-3, Permitted and Conditional Uses: First Floor or Street Level, Section 12-7H-4, Permitted and Conditional Uses; Second Floor and Above, Vail Town Code, to allow for a reduction in the number of timeshare units, located at 705 West Lionshead Circle. The 2008 approved development plan includes a mixture of dwelling units, time share units, lodge dwelling units, lock -offs, an employee housing unit (EHU), commercial/retail space, miscellaneous project amenities, and a private parking club. The proposed amendments include an increase in the number of dwelling units and attached accommodation units and a decrease in the number of timeshare units and lodge dwelling units. Upon review of the applicable elements of the Town's planning documents and adopted criteria for review, the Community Development Department is recommending the Planning and Environmental Commission approve, with conditions, the applicant's request for an amended major exterior alteration and conditional use permit. A complete summary of Staff's review is provided in Section VIII of this memorandum. II. DESCRIPTION OF THE REQUEST The approved redevelopment of the sites known as the Lionshead Inn and the Lionshead Inn Annex includes three levels of below grade parking and seven floors of residential, commercial, and common amenities above grade. The Lion development (formerly know as Fogata and Strata) received approval of three (3) different development review applications on October 22, 2007. The development applications included: • A major exterior alteration application for the structure containing dwelling units, time share units, lodge dwelling units, lock -offs, an employee housing unit, commercial/retail space, and amenities for the project; and • A conditional use permit application for "multiple -family residential dwelling units" located on the first floor or street level of the structure. A conditional use permit application for "private parking lot" located within the subterranean levels of the structure. The applicant is proposing to amend their approved development plan to change the mix of residential unit types within the project. In order to accomplish these amendments, the applicant has submitted two applications. These applications include the following: • A major exterior alteration application to allow for a change in the residential unit type mix in the structure; and • A conditional use permit application to allow for a reduction in the number of timeshare units located on the first floor or street level and on the second floor and above. The key elements of the current proposal include: • An increase in the number of dwelling units from 51 to 53; • An increase in the number of attached accommodation units from 8 to 17; • A decrease in the number of lodge dwelling units from 12 to 3; • A decrease in the number of timeshare units from 16 to 12; and • A reduction in commercial floor area from 7,117 sf to 5,803 sf. • The bulk, mass, height, setbacks, site coverage, and landscape areas are not proposed to change. A copy of the document entitled The Lion: Application for a Major Exterior Alteration & Conditional Use Permit in the Lionshead Mixed Use -1 Zone District to Allow for a Minor Program Change & reduction in Timeshare Count dated August 11, 2014 (Attachment A), and a reduced set of plans dated are attached for reference (Attachment B). Town of Vail Page 2 III. BACKGROUND • The subject property was annexed into the Town of Vail by Ordinance No. 8, Series of 1969, which became effective on August 23, 1969. • The Lionshead Inn and Lionshead Annex (Fabulous Vail Glo), and Enzian were initially developed as a single project in the late 1960's and early 1970's. They were later subdivided onto separate parcels resulting in the existing Enzian structure being located on a parcel which is enclosed by the lot the Lionshead Inn is located upon. • Since the initial construction there has been little activity on the existing structures. There were several redevelopment proposal and approvals granted in the late 1980's and in the 1990's; however, none were followed through. • In April of 2006, the Town Council passed a moratorium on all new development within Lionshead until a policy for retaining a live bed base could be determined. In July of 2006, the Town Council passed Resolution No. 4, Series of 2006, which amended portions of the Lionshead Redevelopment Master Plan to include the provision for the inclusion of "Live Beds" in all projects that included hotel rooms and other lodge style units in Lionshead. • In February of 2007, the Town Council passed Ordinances No. 7 and No. 8, Series of 2007, which enacted regulations for the provision of employee housing units through several possible mitigation methods for all projects in the Lionshead Mixed - Use 1 district. • On August 13, 2007, the Planning and Environmental Commission held a work session to discuss the Fogata project. At that hearing the Commission generally expressed support for the bulk, mass, and height of the proposed structure. Several members of the Commission identified a goal of locating a portion of the required employee housing mitigation within the project. There was discussion regarding several specific architectural elements and their lack of compliance with the Lionshead Redevelopment Master Plan. • On October 22, 2007, the Planning and Environmental Commission approved a major exterior alteration, conditional use permit for multi -family residential units on the first floor, and a conditional use permit for a private parking lot, to facilitate the redevelopment of the Lionshead Inn and Lionshead Inn Annex. The key elements of the October 22, 2007 approved development plan included: o The inclusion of 51 dwelling units, 14 time share units, 12 lock -off units, and 12 lodge dwelling units. o The inclusion of one Type IV employee housing unit measuring approximately 875 square feet. o The inclusion of 127,606 square feet of Gross Residential Floor Area (GRFA). o The provision of a front desk, lobby, lounge area, pool and hot tubs, business center, on site laundry services, and meeting/conference space. o The inclusion of two commercial/retail spaces measuring approximately 7,117 square feet. o The provision of 183 parking spaces in three below grade floors. This would be 69 in excess of the required 114 parking spaces. Town of Vail Page 3 o The provision of a fully enclosed, two bay loading and delivery facility and an enclosed trash receptacle. o A request for a conditional use to allow for four dwelling units on the first floor of the project. o A request for a conditional use to include the 69 excess parking spaces within a private parking club. On April 14, 2008, the Planning and Environmental Commission approved an amendment to the approved Strata employee housing mitigation plan. The approved amendment included the applicant deed restricting one 870 square foot manager's unit on-site, seven dwelling units off-site totaling 11,686 square feet, and paying a fee -in -lieu for the remaining 75.1 square feet required to be mitigated in the amount of $17,772.40. On June 3, 2008, the Town Council denied a request to proceed forward through the development review process with a vehicle pull -off on West Lionshead Circle to serve as a guest loading and unloading zone. On June, 9, 2008, the Planning and Environmental Commission unanimously approved major exterior alteration and conditional use permit amendments to Strata which included the following: o A reduction in the number of lock -of units from 12 to 8 and the increase in the number of time share units from 14 to 16; bringing the total unit make-up of the structure to 51 dwelling units, 16 time share units, 8 lock -off units, and 12 lodge dwelling units. o The increase in the one Type IV employee housing unit on site from 875 square feet to 909 square feet. o The reduction in the GRFA on the site from 127,606 square feet to 125,657 square feet of Gross Residential Floor Area (GRFA). o The provision of 169 parking spaces in three below grade floors. This would be 53 in excess of the required 116 parking spaces. o A request for a reduction in the number of the parking spaces to be included within a private parking club from 69 to 53 spaces. o The bulk, mass, and height of the structure are not proposed to change. On June 9, 2008, the Planning and Environmental Commission approved an exemption plat for Strata. The final plat was not recorded however, and the approval of which subsequently expired as a result on June 9, 2009. On January 27, 2014, the Planning and Environmental Commission approved an exemption plat for Strata which was subsequently recorded establishing Lot 1 Strata Vail. IV. APPLICABLE DOCUMENTS Staff has provided portions of the Vail Town Code and Lionshead Redevelopment Master Plan which are relevant to the topics for the review included in the proposal. Zoning Regulations Lionshead Mixed Use — 1 Zone District (in part) Town of Vail Page 4 12-7H-1: PURPOSE: The Lionshead Mixed Use -1 zone district is intended to provide sites for a mixture of multiple -family dwellings, lodges, hotels, fractional fee clubs, time shares, lodge dwelling units, restaurants, offices, skier services, and commercial establishments in a clustered, unified development. Lionshead Mixed Use 1 zone district, in accordance with the Lionshead Redevelopment Master Plan, is intended to ensure adequate light, air, open space and other amenities appropriate to the permitted types of buildings and uses and to maintain the desirable qualities of the District by establishing appropriate site development standards. This District is meant to encourage and provide incentives for redevelopment in accordance with the Lionshead Redevelopment Master Plan. This Zone District was specifically developed to provide incentives for properties to redevelop. The ultimate goal of these incentives is to create an economically vibrant lodging, housing, and commercial core area. The incentives in this Zone District include increases in allowable gross residential floor area, building height, and density over the previously established zoning in the Lionshead Redevelopment Master Plan study area. The primary goal of the incentives is to create economic conditions favorable to inducing private redevelopment consistent with the Lionshead Redevelopment Master Plan. Additionally, the incentives are created to help finance public off-site improvements adjacent to redevelopment projects. With any development/redevelopment proposal taking advantage of the incentives created herein, the following amenities will be evaluated: streetscape improvements, pedestrian/bicycle access, public plaza redevelopment, public art, roadway improvements, and similar improvements. 12-7H-3: PERMITTED AND CONDITIONAL USES; FIRST FLOOR OR STREET LEVEL: B. Conditional Uses: The following uses shall be permitted on the first floor or street level floor within a structure, subject to issuance of a conditional use permit in accordance with the provisions of chapter 16 of this title: Accommodation units. Attached accommodation units. Beauty and barber shops. Conference facilities and meeting rooms. Electronic sales and repair shops. Financial institution, other than banks. Liquor stores. Lodges. Major arcades. Multiple -family residential dwelling units, timeshare units, fractional fee clubs, and lodge dwelling units. Temporary business offices. Theaters. Town of Vail Page 5 Additional uses determined to be similar to conditional uses described in this subsection, in accordance with the provisions of section 12-3-4 of this title. 12-7H-5: PERMITTED AND CONDITIONAL USES; SECOND FLOOR AND ABOVE: B. Conditional Uses: The following uses shall be permitted on the second floors and higher above grade, subject to issuance of a conditional use permit in accordance with the provisions of chapter 16 of this title: Banks and financial institutions. Child daycare centers. Conference facilities and meeting rooms. Eating and drinking establishments. Electronics sales and repair shops. Fractional fee clubs. Liquor stores. Personal services and repair shops. Professional offices, business offices, and studios. Recreational facilities. Retail establishments. Skier ticketing, ski school, and skier services. Theaters. Timeshare units. Additional uses determined to be similar to conditional uses described in this subsection, in accordance with the provisions of section 12-3-4 of this title. 12-7H-8: COMPLIANCE BURDEN: It shall be the burden of the applicant to prove by a preponderance of the evidence before the Planning and Environmental Commission and the Design Review Board that the proposed exterior alteration or new development is in compliance with the purposes of the Lionshead Mixed Use 1 zone district, that the proposal is consistent with applicable elements of the Lionshead Redevelopment Master Plan and that the proposal does not otherwise have a significant negative effect on the character of the neighborhood, and that the proposal substantially complies with other applicable elements of the Vail comprehensive plan. 12-7H-18: MITIGATION OF DEVELOPMENT IMPACTS: Property owners/developers shall also be responsible for mitigating direct impacts of their development on public infrastructure and in all cases mitigation shall bear a reasonable relation to the development impacts. Impacts may be determined based on reports prepared by qualified consultants. The extent of mitigation and public amenity improvements shall be balanced with the goals of redevelopment and will be determined by the planning and environmental commission in review of development projects and conditional use permits. Mitigation of impacts may include, but is not limited to, the following: roadway improvements, pedestrian walkway improvements, streetscape improvements, stream tract/bank improvements, public art improvements, Town of Vail Page 6 and similar improvements. The intent of this section is to only require mitigation for large scale redevelopment/development projects which produce substantial off site impacts. Chapter 12-16: Conditional Uses Permits (in part) Section 12-16-1: Purpose; Limitations In order to provide the flexibility necessary to achieve the objectives of this title, specified uses are permitted in certain districts subject to the granting of a conditional use permit. Because of their unusual or special characteristics, conditional uses require review so that they may be located properly with respect to the purposes of this title and with respect to their effects on surrounding properties. The review process prescribed in this chapter is intended to assure compatibility and harmonious development between conditional uses and surrounding properties in the Town at large. Uses listed as conditional uses in the various districts may be permitted subject to such conditions and limitations as the Town may prescribe to insure that the location and operation of the conditional uses will be in accordance with the development objectives of the Town and will not be detrimental to other uses or properties. Where conditions cannot be devised, to achieve these objectives, applications for conditional use permits shall be denied. Lionshead Redevelopment Master Plan (in part) Chapter 2, Introduction 2.1 Purpose of the Master Plan (in part) "This master plan was initiated by the Town of Vail to encourage redevelopment and new development initiatives in the Lionshead study area. Both public and private interests have recognized that Lionshead today lacks the economic vitality of Vail and fails to offer a world class resort experience. Lionshead's economic potential has been inhibited by a number of recurrent themes: • Lack of growth in accommodation units ("hot beds'); • Poor retail quality; • Deterioration of existing buildings; • Uninteresting and disconnected pedestrian environment; • Mediocre architectural character; and the • Absence of incentives for redevelopment. This master is a comprehensive guide for property owners proposing to undertake development or redevelopment of their properties and the municipal officials responsible for planning public improvements. The plan outlines the Town's objectives and goals for the enhancement of Lionshead and proposes recommendation, incentives, and requirements for redevelopment and new development." Town of Vail Page 7 2.2 Definition of a Master Plan In the development of the Lionshead Master Plan, the following definition has been used as the basis for this work: A master plan is a guide, a flexible framework for future action. It articulates a community's fundamental land use policies, principles, and goals in a broad and general way. It plans for the future physical development or redevelopment of an area of the community, including its functional and circulation systems and its public facilities. The land use policies in a master plan are generally implemented through zoning ordinances. Existing zoning and land use codes may be modified and new provisions enacted in order to conform to the master plan and carry out the plan's objectives. A master plan does not convey approval for particular development proposals or concepts, nor can it be implemented in a short time frame. After adoption of the Lionshead Master Plan, every development proposal will have to go through the applicable development review and approval process, with its attendant public notices and public hearings. A proposal's adherence to the policies contained in the adopted master plan will be one of the factors analyzed by staff, the Planning and Environmental Commission (PEC), the Design Review Board (DRB), and the Town Council (as applicable) in determining whether to approve or disapprove the specific proposal. 2.3 Policy Objectives The Town Council adopted six policy objectives on November 4, 1996 to outline the important issues to be addressed in the master plan and to provide a policy framework for the master planning process. 2.3.1 Renewal and Redevelopment Lionshead can and should be renewed and redeveloped to become a warmer, more vibrant environment for guests and residents. Lionshead needs an appealing and coherent identity, a sense of place, a personality, a purpose, and an improved aesthetic character. 2.3.2 Vitality and Amenities We must seize the opportunity to enhance guest experience and community interaction through expanded and additional activities and amenities such as performing arts venues, conference facilities, ice rinks, streetscape, parks and other recreational improvements. 2.3.3 Stronger Economic Base Through Increased Live Beds Town of Vail Page 8 In order to enhance the vitality and viability of Vail, renewal and redevelopment in Lionshead must promote improved occupancy rates and the creation of additional bed base ('live beds" or "warm beds') through new lodging products. Live beds and warm beds are best described as residential or lodging rooms or units that are designed for occupancy by visitors, guests, individuals, or families on a short term rental basis. In order to improve occupancy rates and create additional bed base in Lionshead, applications for new development and redevelopment projects which include a residential component shall provide live beds in the form of accommodation units, fractional fee club units, lodge dwelling units, timeshare units, attached accommodation units (i.e, lock -off units), or dwelling units which are included in a voluntary rental management program and available for short term rental. Further, it is the expressed goal of this Plan that in addition to creating additional bed base through new lodging products, there shall be no net loss of existing live beds within the Lionshead Redevelopment Master Plan study area. 2.3.4 Improved Access and Circulation The flow of pedestrian, vehicular, bicycle and mass transit traffic must be improved within and through Lionshead. 2.3.5 Improved Infrastructure The infrastructure of Lionshead (streets, walkways, transportation systems, parking, utilities, loading and delivery systems, snow removal and storage capacity) and its public and private services must be upgraded to support redevelopment and revitalization efforts and to meet the service expectations of our guests and residents. 2.3.6 Creative Financing for Enhanced Private Profits and Public Revenues Financially creative and fiscally realistic strategies must be identified so that adequate capital may be raised from all possible sources to fund desired private and public improvements. Chapter 4, Master Plan Recommendations — Overall Study Area This section of the master plan addresses issues that affect Lionshead as a whole. These issues, and recommendations to address them, should be considered in all planning and policy decisions as Lionshead develops. 4.9 Housing Recent community surveys and grass-roots planning efforts such as Vail Tomorrow have identified the lack of locals housing as the most critical issue facing the Vail community. Early in the Lionshead master planning Town of Vail Page 9 process, west Lionshead was identified as an opportunity area to implement some of the community's housing goals, particularly relating to employee housing. These opportunities and associated issues are outlined below. 4.9.1 No Net Loss of Employee Housing Ground rule number five of the master plan states that there shall be no net loss of employee housing in Lionshead as redevelopment occurs. 4.9.3 Policy Based Housing Opportunities The first means of implementing housing goals in Lionshead is through policy based requirements such as the employee generation ordinance currently being pursued by the Vail Town Council. As required by a future ordinance, all development and redevelopment projects, as a prerequisite to project approval, should provide housing for employees generated and to the extent possible this housing should be located in the Lionshead area. 4.13 Live Beds The maintenance, preservation, and enhancement of the live bed base are critical to the future success of Lionshead and as such, special emphasis should be placed on increasing the number of live beds in Lionshead as the area undergoes redevelopment. The Lionshead area currently contains a large percentage of the Town's overall lodging bed base. The bed base in Lionshead's consists of a variety of residential and lodging products including hotels, condominiums, timeshares and hybrids of all three. The vast majority of live beds in Lionshead are not accommodation units in hotels, but instead, in dwelling units in residential condominiums such as the Vail 21, Treetops, Antlers Lodge, Lion Square Lodge, Lifthouse Lodge, Landmark Tower and Townhomes, Lionshead Arcade, and Montaneros, all of which have some form of rental/property management program that encourages short term rental of dwelling units when the owners are not in residence. It has been the experience in Lionshead that condominium projects which include a voluntary rental management program have occupancy rates which exceed the occupancy rate of hotel products, and therefore tend to provide more live beds and produce more lodging tax revenues to the Town. Applications for new development or redevelopment which maintain, preserve, and enhance the live bed base in Lionshead have a significantly greater chance of approval in the development review process than those which do not. 4.13.1 Live Bed Definition Pursuant to Policy Objective 2.3.3, live beds (and warm beds) are defined as residential or lodging rooms or units that are designed for occupancy by visitors, guests, individuals, or families, on a short term rental basis. A Town of Vail Page 10 live bed may include the following residential products: accommodation units, fractional fee club units, lodge dwelling units, timeshare units, attached accommodation units (i.e., lock -off units), and dwelling units which are included in a voluntary rental management program and available for short term rental. 4.13.2 Location of Live Beds Live beds should be located in Lionshead pursuant to the Lionshead Mixed Use 1 and 2 zone districts. All properties within Lionshead, when developing or redeveloping and providing new residential or lodging products, should provide live beds as defined herein. 4.13.3 Hotel -types of Services and Amenities To aid in the furtherance of Policy Objective 2.3.3 of the Plan, the creation of additional live beds should include hotel -types of services and amenities. Such services and amenities may include, but not be limited to, the operation of a front desk, registration/reservation capabilities, recreational amenities, guest drop-off, on-site management, etc. These types of services and amenities in multiple family residential dwellings will increase the likelihood that the dwelling units will be made available for short term occupancy and help to promote improved occupancy rates. 4.13.4 Review of New Development and Redevelopment Projects The Planning and Environmental Commission shall consider the policies and direction given by this Plan with respect to live beds when reviewing new development and redevelopment projects in Lionshead. Applications for new development or redevelopment maintain the live bed base in Lionshead. Applications for new development and redevelopment which enhance the live bed base have a significantly greater chance of approval in the development review process than those which do not. A proposal's adherence to the policies contained in the adopted master plan will be one of the factors analyzed by staff, the Planning and Environmental Commission (PEC), the Design Review Board (DRB), and the Town Council (as applicable) in determining whether to approve or disapprove the specific proposal. Chapter 5, Detailed Plan Recommendations 5.15 Lionshead Inn, Lionshead Annex, Enzian Cluster Redevelopment and/or enhancement of the buildings in this cluster at West Lionshead Circle and South Frontage Road (see figure 5-19) is encouraged. 5.15.1 The Pedestrian Street The existing structures are recessed from the street, elevated above it, and separated from it by surface parking lots. To improve the pedestrian character of the neighborhood, a better relationship with the street is desirable. The principal objective for redevelopment in this area is to Town of Vail Page 11 engage the surrounding pedestrian environment, either by adding building elements toward the street or by lowering the finish grade at the entries so that they are closer to the level of the street. 5.15.2 Access and Street Frontage The existing accesses into these properties should be adjusted to align with the opposing curb cuts on the east side of West Lionshead Circle. The street edge should be strengthened for pedestrian use with landscaping, enhanced signage, and retaining walls as described in the site design guidelines, chapter six. The Lionshead Inn secured a permit in the past which is now expired to add another vehicular access point from the South Frontage Road, and the property owner is encouraged to pursue the opportunity to screen the surface parking lot on the north and regrade the lot to reduce the significant cross -slope. 5.15.3 Building Height Because it sits considerably above the frontage road, the Lionshead Inn is encouraged to explore a ground level or lower floor infill solution if development scenarios are pursued. Additional building height, if proposed, must conform to the design guidelines. 5.15.4 Preservation of Existing Live Beds The Lionshead Inn and Lionshead Annex presently contain 85 accommodation units. Given the importance and need for live beds to the vitality and success of the community, any future redevelopment of the sites shall ensure the preservation of short term accommodation on the site. The preservation of live beds should focus on maintaining the number of existing live beds and the amount of gross residential square footage devoted to that use on the site. With this in mind, the quality of the existing live bed base could be upgraded and the rooms could be reconfigured to create increased lodging opportunities. In no instance, however, shall the amount of gross residential floor area devoted to live beds be reduced. The construction of "attached accommodation units", "lodge dwelling units', "timeshare units', "fractional fee club units',and dwelling units in a voluntary rental program, as defined in the Zoning Regulations, could significantly increase the availability of short term rental opportunities within the building. Vail Land Use Plan The Vail Land Use Plan was adopted by the Vail Town Council on November 18, 1986. The plan is intended to serve as a basis from which future decisions may be made regarding land use within the valley. The primary focus of the Vail Land Use Plan is to address the long-term needs and desires of the Town as it matures. The Town of Vail has evolved from a small ski resort founded in 1962 with approximately 190,000 annual skier visits and virtually no permanent residents to a community with 4,500 permanent residents. The Town is faced with the challenge of creatively accommodating the Town of Vail Page 12 increase in permanent residency as well as the increase in skier visits, while preserving the important qualities that have made Vail successful. This is a considerable challenge, given the fact that land within the Valley is a well-defined finite resource, with much of the land already developed at this juncture. The Vail Land Use Plan was undertaken with the goal of addressing this challenge in mind. A secondary purpose of the Vail Land Use Plan was to analyze a series of properties owned by the Town of Vail, to determine their suitability for various types of community facilities. The goals articulated in the plan reflect the desires of the citizenry. The goal statements that were developed reflect a general consensus of the comments shared at public meetings. The goals contained in the Vail Land Use Plan are to be used as the Town's adopted policy guidelines in the review process for new development proposals. According to the Official Town of Vail Land Use Plan map, the applicant's proposed redevelopment site is located with the "Lionshead Redevelopment Master Plan" land use category. Pursuant to the Plan, the "Lionshead Redevelopment Master Plan" land use category description, "Included in this category are those properties which are identified as being included in the Lionshead Redevelopment Master Plan boundaries. Properties located within this land use category shall be encouraged to redevelop, per the Master Plan recommendations, as it has been found that it is necessary in order for Vail to remain a competitive four -season resort. Uses and activities for these areas are intended to encourage a safe, convenient and an aesthetically - pleasing guest experience. The range of uses and activities appropriate in the Lionshead Redevelopment Master Plan (LRMP) land use category may include skier and resort services, ski lifts, ski trails, base facilities, public restrooms, ticket sales, clubs, public plazas, open spaces, parking and loading/delivery facilities/structures, public utilities, residential, lodges, accommodation units, deed restricted employee housing, retail businesses, professional and business offices, personal services, and restaurant uses. " V. ZONING ANALYSIS Address/Legal Description:705 West Lionshead Circle/Lot 1 Strata Vail Zoning: Lionshead Mixed Use 1 Land Use Designation: Lionshead Redevelopment Master Plan Development Standard Lot Area: Setbacks All Sides Allowed 10,000 sq. ft. 10 ft. Approved 68,336.9 sq. ft. North - 30 ft. East- 10 ft. West- 10 ft. Proposed No change. No change No change No change Town of Vail Page 13 Building Height: 71 ft. avg. 82.5 ft. max South- 10 ft 69.5 ft. avg. 82.5 ft. max No change No change No change Density: 54 DUs (35/ac.) 51 DUs 53 DUs Lodge Dwelling Unit 12 LDUs 3 LDUs (1/4 a dwelling unit) 53.75 DUs (34.2/ac.) Unlimited Attached Accommodation Units (AAUs) 8 AAUs 17 AAUs Unlimited Timeshare 16 Timeshare 12 Timeshare GRFA: 170,840 sq. ft. 125,657 sq. ft. No change Site Coverage: 47,835 sq. ft. 42,397 sq. ft. No change (70%) (62%) Landscape Area: 13,667 sq. ft. 17,401 sq. ft. No change (20%) (25.5%) Parking: 74.2 (1.4/DU) 169 spaces* No change 8.4 (0.7/Time Share) 4.2 (1.4/Lodge Dwelling Unit) 8.2 (1/250 s.f. of restaurant seating area) 6.2 (2.3/1,000 s.f. of net floor area) 1_4 (1.4/EHU) 103 required 53 (Parking Club CUP) 156 total required Loading 3 berths 3 berths No change * Of the parking spaces proposed, 116 spaces will serve Strata which is in excess of the 103 required. 53 are approved to be placed in a private parking club. VI. SURROUNDING LAND USES AND ZONING North: South East: West: Town of Vail Land Use Zoning Residential Lionshead Mixed Use 1 District Open Space Natural Area Preservation District Residential Lionshead Mixed Use 1 District Public Utility General Use District Page 14 VII. CRITERIA Major Exterior Alteration Section 12-7H-8, Compliance Burden, Vail Town Code, outlines the review criteria for major exterior alteration applications proposed within the Lionshead Mixed Use 1 (LMU- 1) zone district. According to Section 12-7H-8, Vail Town Code, a major exterior alteration shall be reviewed for compliance with the following criteria: That the proposed major exterior alteration is in compliance with the purposes of the Lionshead Mixed Use 1 zone district; Staff Response: The purposes of the Lionshead Mixed Use 1 zone district are stated in Section 12-7H-1, Purpose, Vail Town Code. As stated, the Lionshead Mixed Use 1 zone district is intended to provide sites within the area of Lionshead for a mixture of multiple -family dwellings, hotels, fractional fee clubs, restaurants, skier services and commercial/retail establishments. The development standards prescribed for the district were established to provide incentives for development in accordance with the goals and objectives of the Lionshead Redevelopment Master Plan. In reviewing the proposed amendments to The Lion approved development plan for compliance with the expressed purposes of the Lionshead Mixed Use -1 zone district, staff finds that the amended major exterior alteration application complies with the intent of the zone district. The applicant is proposing to develop 53 dwelling units, 12 time share units, 3 lodge dwelling units, 17 attached accommodation units (lock -offs), one (1) employee housing unit, and 5,803 gross square feet of commercial. In conjunction with this combination of uses the applicant is proposing several amenities such as lobby and front desk, pool and hot tub, meeting room, to encourage the incorporation of as many units into a rental pool as possible. Employee Housing Provision On October 22, 2007, Strata was approved by the Planning and Environmental Commission with a single 870 square foot manager's employee housing unit on- site and a condition that the applicant pay a fee of $2,783,240.60 to mitigate the employee housing impact associated with the redevelopment. On April 14, 2008, Strata was approved for a change to the housing mitigation plan by the Planning and Environmental Commission resulting in the deed restricting of one 870 square foot managers unit on-site, seven dwelling units off-site totaling 11,686 square feet, and paying a fee -in -lieu for the remaining 75.1 square feet required to be mitigated in the amount of $17,772.40. On June 9, 2008, the Planning and Environmental Commission approved an increase in the size of the on-site EHU to 909 square feet and the Strata Vail Housinq Plan dated May 12, 2008. That plan included the deed restriction of employee housing units off-site. Town of Vail Page 15 In May of 2012 a letter was sent by the Town confirming that Lionshead Inn, LLC/Strata Vail had complied with the adopted requirements contained in the approved Strata Vail Housing Plan. The applicant choose to implement the approved housing plan at the at time in anticipation of starting the project which was delayed until the Spring of 2014. There is a more detailed discussion of this element in the applicant's submitted document. The proposed amendments to the approved major exterior alteration do not include any changes which affect the required employee housing mitigation. It should be noted that after the 2008 Planning and Environmental Commission 2008 approvals, amendments were adopted to the Commercial Linkage and Inclusionary Zoning chapter of the Vail Town Code requiring 50% of the required employee housing mitigation to be met on-site, unless the Planning and Environmental Commission make a finding that a different approach is appropriate based upon the adopted criteria. As The Lion has been in compliance with their 2008 approved employee housing mitigation plan for the last two years and this application makes no changes to the required employee housing mitigation, staff believes the mitigation in place is in compliance with this criterion. "Live Bed" Requirements In April of 2006, the Town Council passed a moratorium on all new development within Lionshead until a policy for retaining a live bed base could be determined. In July of 2006, the Town Council passed Resolution No. 4, Series of 2006, which amended portions of the Lionshead Redevelopment Master Plan to include the provision for the inclusion of "Live Beds" in all projects that included hotel rooms and other lodge style units in Lionshead. Resolution No. 4, Series of 2006, adopted several amendments to the Lionshead Redevelopment Master Plan regarding the maintenance, preservation, and enhancement of the live bed base in order to maintain the economic viability of Lionshead. Within Resolution No. 4, Series of 2006, a definition for "Live Beds" was established as well as an explanation of "Hotel -types of Services and Amenities" as follows: 4.13.1 Live Bed Definition Pursuant to Policy Objective 2.3.3, live beds (and warm beds) are defined as residential or lodging rooms or units that are designed for occupancy by visitors, guests, individuals, or families, on a short term rental basis. A live bed may include the following residential products: accommodation units, fractional fee club units, lodge dwelling units, timeshare units, attached accommodation units (i.e., lock -off units), and dwelling units which are included in a voluntary rental management program and available for short term rental. 4.13.3 Hotel -types of Services and Amenities Town of Vail Page 16 To aid in the furtherance of Policy Objective 2.3.3 of the Plan, the creation of additional live beds should include hotel -types of services and amenities. Such services and amenities may include, but not be limited to, the operation of a front desk, registration/reservation capabilities, recreational amenities, guest drop-off, on-site management, etc. These types of services and amenities in multiple family residential dwellings will increase the likelihood that the dwelling units will be made available for short term occupancy and help to promote improved occupancy rates. Resolution No. 4, Series of 2006, established Section 4.13.4, Review of New Development and Redevelopment Projects, to guide the Commission in reviewing projects for compliance with the "live bed" requirements of the Master Plan. Section 4.13.4 is as follows: 4.13.4 Review of New Development and Redevelopment Projects The Planning and Environmental Commission shall consider the policies and direction given by this Plan with respect to live beds when reviewing new development and redevelopment projects in Lionshead. Applications for new development or redevelopment maintain the live bed base in Lionshead. Applications for new development and redevelopment which enhance the live bed base have a significantly greater chance of approval in the development review process than those which do not. A proposal's adherence to the policies contained in the adopted master plan will be one of the factors analyzed by staff, the Planning and Environmental Commission (PEC), the Design Review Board (DRB), and the Town Council (as applicable) in determining whether to approve or disapprove the specific proposal. In regards to the redevelopment of the Lionshead Inn and Lionshead Inn Annex, Resolution No. 4, Series of 2006, established the following: 5.15.4 Preservation of Existing Live Beds The Lionshead Inn and Lionshead Annex presently contain 85 accommodation units. Given the importance and need for live beds to the vitality and success of the community, any future redevelopment of the sites shall ensure the preservation of short term accommodation on the site. The preservation of live beds should focus on maintaining the number of existing live beds and the amount of gross residential square footage devoted to that use on the site. With this in mind, the quality of the existing live bed base could be upgraded and the rooms could be reconfigured to create increased lodging opportunities. In no instance, however, shall the amount of gross residential floor area devoted to live beds be reduced. The construction of "attached accommodation units", "lodge dwelling units", "timeshare units", Town of Vail Page 17 "fractional fee club units", and dwelling units in a voluntary rental program, as defined in the Zoning Regulations, could significantly increase the availability of short term rental opportunities within the building. The previously existing Lionshead Inn and Lionshead Inn Annex contained 85 accommodation units measuring 28,863 square feet. In reviewing the amended proposal for The Lion, staff has identified that the proposal includes a combination of 53 dwelling units, 12 time share units, 17 lock -off units, and 3 lodge dwelling units. These unit types combined equal 85 units measuring 125,657 square feet of GRFA. All of these proposed unit types are included within the definition of a "live bed". The proposed project will include the ability of owners to place their units into a voluntary rental management program. To encourage owners within The Lion project to enter the rental program, there are provisions for a front desk with registration/reservation capabilities, lobby, lounge area, pool and hot tubs, business center, on site laundry services, and meeting/conference space. Furthermore, there are provisions for two commercial/retail spaces measuring approximately 5,803 square feet within the project. Staff has reviewed The Lion proposal and found it to be in compliance with the requirements of Lionshead Redvelopment Master Plan with regard to "Live Beds". Staff finds the proposed amendments to The Lion development comply with this criterion. 2. That the proposal is consistent with applicable elements of the Lionshead Redevelopment Master Plan; Staff response: Staff has performed a review of the proposed amendments to the approved major exterior alteration for compliance with the development requirements of the Lionshead Mixed Use -1 district. In Section V of this memorandum staff performed a zoning analysis of the project with regards to the development parameters of the Lionshead Mixed Use -1 district. Within this analysis staff reaffirmed that the project is in compliance with the development parameters for setbacks, height, density, GRFA, site coverage, and landscape area. Staff finds the proposed amendments to The Lion development comply with this criterion. 3. That the proposal does not otherwise have a significant negative effect on the character of the neighborhood; and, Staff Response: Staff has reviewed the proposed amended major exterior alteration and found that the proposed changes to not affect the bulk, mass, height, and setbacks of Town of Vail Page 18 the structure as approved, therefore Staff believes that for the same reasons presented at the initial approval, the project is in compliance with this criterion. Those reasons were that staff found that the proposed major exterior alteration will result in some effects on the character of the neighborhood as the Strata project will be larger in terms of bulk, mass, and height than the two structures which exist currently. However, the project is in conformance with the Lionshead Mixed Use -1 zone district and the Lionshead Redevelopment Master Plan and the impacts that this project were anticipated in the adoption of the zoning and the Master Plan. Furthermore the grades/contours beneath the existing Lionshead Inn, which is constructed upon an elevated portion of the site, will be greatly reduced from what exists and the proposed structure in this area of the site will be less in overall height than the existing structure. Staff does not believe there are any significant negative effects on the character of the neighborhood. 4. That the proposal substantially complies with other applicable elements of the Vail Comprehensive Plan. Staff Response: Staff has reviewed the proposed amended major exterior alteration application and found that the proposed changes continue to comply with the following elements of the Vail Comprehensive Plan: Town of Vail Transportation Master Plan, Lionshead Redevelopment Master Plan, Art in Public Places Strategic Plan. Therefore, staff finds that for the same reasons presented at the initial approval the project is in compliance with this criterion. With regard to the Town of Vail Transportation Master Plan the applicant provided the Public Works Department with traffic studies and roadway designs which have been reviewed and addressed. The proposed amendments do impact traffic generation resulting in a reduction in the fee to $162,890 to mitigate traffic impacts associated by the 25.06 net increase in peak hour trips that this development will create. These funds may go towards traffic improvements in the vicinity of the project. Overall, staff finds that the applicant has proven by a preponderance of the evidence that the proposed amended major exterior alteration is in compliance with the purposes of the Lionshead Mixed Use -1 zone district, that the proposal is consistent with applicable elements of the Lionshead Redevelopment Master Plan and that the proposal does not otherwise have a significant negative effect on the character of the neighborhood, and that the proposal substantially complies with other applicable elements of the Vail Comprehensive Plan. Town of Vail Page 19 Conditional Use Permit Section 12-16-6, Criteria; Findings, Vail Town Code, outlines the review criteria for conditional uses permit requests proposed within the Lionshead Mixed Use 1 (LMU-1) zone district. According to Section 12-16-6, Vail Town Code, the Planning and Environmental Commission shall consider the following factors with respect to the proposed timeshare unit use: 1. Relationship and impact of the use on development objectives of the town. Timeshare units are a desirable unit type for inclusion within projects in the town as they have a tendency of being warmer beds due to the fractional ownership. The inclusion of timeshares within the project is not required pursuant the Lionshead Mixed Use 1 district zoning on the property. The inclusion of timeshare within the development increases the likelihood the units are occupied more frequently which addresses the goals and objectives of the Lionshead Redevelopment Master Plan to have "Live Beds" to generate numbers of guests participating in the vitality of Vail's commercial cores. Staff finds the proposed amendments to The Lion development comply with this criterion. 2. Effect of the use on light and air, distribution of population, transportation facilities, utilities, schools, parks and recreation facilities, and other public facilities and public facilities needs. The proposal to reduce the number of timeshare units from 16 to 12 will have no effect on the elements listed in the criterion above as the proposed change will occur within the currently approved bulk, mass, and height for The Lion development. Staff finds the proposal complies with this criterion. 3. Effect upon traffic, with particular reference to congestion, automotive and pedestrian safety and convenience, traffic flow and control, access, maneuverability, and removal of snow from the streets and parking areas. The proposed reduction in timeshare units from 16 to 12 will continue to have impacts on traffic generation and flow in the vicinity. Those impacts are addressed and mitigated in the approved roadway improvements associated with the approved development plan for The Lion. Staff believes the proposal is in compliance with this criterion. 4. Effect upon the character of the area in which the proposed use is to be located, including the scale and bulk of the proposed use in relation to surrounding uses. Town of Vail Page 20 The proposal to reduce the number of timeshare units from 16 to 12 will have no effect on the character of the area as the proposed change will occur within the currently approved bulk, mass, and height for The Lion development. Staff believes the proposal complies with this criterion VIII. STAFF RECOMMENDATION The Community Development Department recommends that the Planning and Environmental Commission approves, with conditions, the request for final review of an amended major exterior alteration, pursuant to Section 12-71-1-7, Major Exterior Alterations or Modifications, Vail Town Code, to allow for a change to the approved mix of residential unit types, and an amended conditional use permit, pursuant to Section 12-71-1-3, Permitted and Conditional Uses: First Floor or Street Level, Section 12-71-1-4, Permitted and Conditional Uses; Second Floor and Above, Vail Town Code, to allow for a reduction in the number of timeshare units, located at 705 West Lionshead Circle/Lot 1, Strata Vail, and setting forth details in regard thereto. (PEC 140029, PEC140030). Staff's recommendation is based upon the review of the major exterior alteration review criteria outlined in Section VII of this memorandum and the evidence and testimony presented at the public hearing. Should the Planning and Environmental Commission choose to approve the amended major exterior alteration and conditional use permit as recommended; Staff recommends that the Commission makes the following finding as part of the motion and findings: "Pursuant to Section 12-7H-8, Compliance Burden, Vail Town Code, the applicant has proven by a preponderance of the evidence before the Planning and Environmental Commission that the proposed major exterior alteration and conditional use permit amendments are in compliance with the zoning regulations, the purposes of the Lionshead Mixed Use -1 zone district, that the proposal is consistent with applicable elements of the Lionshead Redevelopment Master Plan and that the proposal does not otherwise have a significant negative effect on the character of the neighborhood, that the proposal substantially complies with other applicable elements of the Vail Comprehensive Plan, and the conditions under which the timeshare units will be operated or maintained will not be detrimental to the public health, safety, or welfare, or materially injurious to properties or improvements in the vicinity." Should the Planning and Environmental Commission choose to approve the amended major exterior alteration and conditional use permit as submitted by the applicant, staff recommends that the following conditions be placed on the amended approval: Prior to Requesting a Temporary Certificate of Occupancy 1. That the Developer prepares a The Lion Art in Public Places Plan, for input and comment by the Town of Vail Art in Public Places Board, Chapter 12-25, Public Art, Town of Vail Page 21 Vail Town Code, prior to the request for a temporary certificate of occupancy. Subject to the above input and comment by the Art in Public Places Board, the Applicant will determine the type and location of the art to be provided. Said Plan shall include the funding for a minimum of $70,000.00 in public art improvements to be developed in conjunction with The Lion project. 2. That the Developer shall be assessed a transportation impact fee in the amount of $6,500 per increased vehicle trip in the peak hour generated (25.06 trips), or $162,890, created by The Lion project. The total fee of $162,890 shall be paid in full by the Developer prior to the issuance of a temporary certificate of occupancy or certificate of occupancy for The Lion project. At the sole discretion of the Town of Vail Public Works Director, said fee may be waived in full, or part, based upon the completion of certain off-site improvements. IX. ATTACHMENTS A. Applicant's written request entitled The Lion: Application for a Major Exterior Alteration & Conditional Use Permit in the Lionshead Mixed Use -1 Zone District to Allow for a Minor Program Change & reduction in Timeshare Count dated August 11, 2014 B. Copy of proposed plans Town of Vail Page 22 The Lion Application for a Major Exterior Alteration & Conditional Use Permit in the Lionshead Mixed Use -1 Zone District to allow for a Minor Program Change & Reduction in Timeshare Count V Submitted: August 11, 2014 u I ;k(I Mauriello Planning Group 1. Introduction The Lion, formerly Strata Vail, located at 705 W. Lionshead Circle, was originally approved in November of 2007 and later amended June 2008 by unanimous vote of the Planning and Environmental Commission (PEC). This project is the first of four redevelopment projects that were granted approval extensions due to the economic recession. The Lion includes luxury residences and timeshare units designed to be clean, contemporary and provocative spaces with expansive natural day lighting. Contemporary materials such as stone, stucco, metal, and natural stained woods will impart European styling, however, stay in line with the forty years of Vail traditions. A mixture of spacious units will capture the market niche that is absent in Vail making The Lion one of the most coveted new addresses at this world class year-round resort. The Lion was approved in 2008 for: • 51 dwelling units with 8 attached accommodation units (lock -offs) for a total of 59 live beds • 12 lodge dwelling units (dwelling units of 650 sq. ft. or smaller counting as 1/4 of a dwelling unit) for a total of 12 live beds • 16 timeshare units for a total of 16 live beds • 1 onsite employee housing unit of 909 sq. ft. • Overall GRFA of 125,657 sq. ft. • 7,117 sq. ft. of commercial space (4,603 sq. ft. on ground floor) • 169 parking spaces, 53 of which are approved for leasing as a private parking structure The applicant is proposing a slight change to the overall residential programming to respond more effectively to the changing real estate market over the past 6 years. It is this minor change that generates the need for review and approval by the PEC. No other changes are proposed to the building and the building exterior is exactly as approved in 2008. There is no addition of GRFA or commercial floor area (reduction in commercial related storage). In fact, the proposed changes have an overall reduced impact on parking and traffic. The revised programming includes: The Lion August 2014 2 • 53 dwelling units with 17 attached accommodation units (lock -offs) for a total of 70 live beds • 3 lodge dwelling units for a total of 3 live beds • 12 timeshare units for a total of 12 live beds • 1 onsite employee housing unit of 909 sq. ft. (no change) • Overall GRFA of 125,657 sq. ft. (no change) • 5,803 sq. ft. of commercial space (commercial storage on P1 reduced to 1,200 sq. ft./ground floor remains unchanged at 4,603 sq. ft.) • 169 parking spaces, 53 of which are approved for leasing structure, 13 of which are surplus due to the changes proposed as a private parking The proposed changes result in a total of 85 live beds as recommended by the Lionshead Redevelopment Master Plan for this property. It should be noted that dwelling units, attached accommodation units, and lodge dwelling units are all uses by right in the LMU-1 zone district. Timeshare units require a conditional use permit and what is proposed is a reduction in the number of timeshare units from 2008. The applicant has provided plans showing the all of the unit types. It should be noted that the dwelling units and timeshare units can be interchanged in designation as long as the unit counts remain the same for each unit type. The Lion August 2014 3 2. Background The Lionshead Inn properties were originally developed as The Enzian Lodge (later to become the L'Ostello and eventually the Lionshead Inn) and the Enzian Condominiums, and the Vail Glo Lodge (Lionshead Inn Annex), which was originally a Best Western. They were developed on a portion of Lot 1, Block 2, Vail/Lionshead Third Filing, and were subsequently subdivided. Existing Dwelling GRFA Units Vail/Lionshead, Filing 3 was recorded in 1971. This plat created Lot 1, Block 2, Vail Lionshead Third Filing, upon which Vail Spa and the Lionshead Inn properties sit. The subject property was replatted with an exemption plat in March of 2014. Prior to demolition, the uses on- site were as follows: Accommodation Restaurant Units Lionshead Inn 0 18,451 sq. ft. 152 2,560 sq. ft. Lionshead Inn Annex I 1 1 10,412 sq. ft. 133 10 TOTAL 11 128,863 sq. ft. 185 12,560 sq. ft. In April of 2006, the Town of Vail passed a moratorium on all new development within the Lionshead area. The ordinance prohibited the filing of any development application that would cause a reduction in the existing number of hotel rooms, employee housing units or parking spaces within the Lionshead zone district. In July of 2006, Resolution No. 4 was approved, amending the Lionshead Redevelopment Master Plan with regards to the preservation of "live beds," including specific language for the subject property recommending a minimum of 85 live beds. Following the approval of the amendments to the Lionshead Redevelopment Master Plan, the Town enacted an emergency ordinance, requiring that any applications for development in the Town of Vail would be subject to future regulations with regards to employee housing. The Lion August 2014 4 Ordinances No. 7 and No. 8 were passed in February of 2007, providing regulations for commercial linkage and inclusionary zoning. On October 22, 2007, the Strata redevelopment was approved, followed by a minor change to the approval on June 6, 2008.In 2012, the Town of Vail passed Resolution No. 13 which extended the vested approval date on four projects including the The Lion/Strata redevelopment until June 1, 2015. The applicant obtained a building permit and began construction in May 2014. 3. Zoning and Parking Analysis Zoning Analysis: Lot Size: 1.5688 acres Zoning: Lionshead Mixed Use -1 Setbacks Height -max Height -average Density* (dwelling units) GRFA Site Coverage Allowed/Required I Approved Proposed 10 ft./30 ft. on n. 10 ft./30 ft. on 10 ft. property line n. property line 82.5 ft. 71 ft. TOTAL: 54 170,815 sq. ft. 47,828 sq. ft. 82.5 ft. 70.88 ft. TOTAL: 54 51 du 8 lock -off 12 Idu 16 is 125,657 sq. ft. 42,397 sq. ft. 21,329 sq. ft. with hardscape 14,668 sq. ft. Landscape Area 13,665 sq. ft. softscape only Loading 2 berths 2 berths *lock -offs and timeshare do not count towards density. Idu count as'/4 du. 82.5 ft. 70.88 ft. TOTAL: -)3.75 53 du 17 lock -off 3 Idu 12 is 125,657 sq. ft. 42,397 sq. ft. 21,329 sq. ft. with hardscape 14,668 sq. ft. softscape only 2 berths The Lion August 2014 5 Parking Analysis: Use Dwelling Units Time Share Units Lock -off Lodge Dwelling Unit Restaurant Retail EHU Unit Calculation 53 11.4 per unit 12 .7 per unit Required Parking 74.2 8.4 17 only if more than 1 lock -off 0 3 1.4 per unit 4.2 2,052 sq. ft. 1 space per 250 sq. ft. of seating floor area8.2 2,688 sq. ft. 2.3 spaces per 1,000 sq. ft. of net floor area 6.18 1 1.4 per unit Total Required Parking: Private Parkinct Structure: 1.4 102.58 (103) 53 Surplus Parking: 13 Total Parking Provided: 169 4. Employee Housing The applicant is not proposing to make any changes to the employee housing mitigation that was previously approved for the project. There is no new floor area being proposed that would generate a new employee housing requirement. The Town's original inclusionary zoning and commercial linkage program was in place when this project was approved in 2007. Subsequent to the approval of this project the Town amended the employee housing standards to require 50% of the employee housing to be placed onsite. In 2012 the Town Council approved Resolution No. 13 which granted extensions to the vested approval for this project. This extension to the vested approval period had the effect of vesting the project for changes to code that may have occurred during the vesting period (i.e., "grandfathering" the onsite employee housing). The Lion August 2014 6 The total employee housing square footage required for the project is 12,405 sq. ft. which comes entirely from the inclusionary requirement (the project has a credit of 5.91 employees on the commercial linkage requirement due to the pre-existing hotels). The project was previously approved with one onsite employee housing unit of 909 sq. ft. (7.5%) and seven off-site units (11,756 sq. ft.) for a total of 12,665 sq. ft. of employee housing. The previous project approval provides an excess of 260 sq. ft. of employee housing for the inclusionary requirement. On May 29, 2012, the Town acknowledged in a letter (below) that the "Town of Vail has received, and approved, 11,761 square feet of deed restricted employee housing units that are dedicated to the Strata Development Approval (DEV07-0003/ PRJ 11-0701)." With that acknowledgement and with the 11,761 sq. ft. of deed restricted offsite employee housing actually provided, the total employee housing (inclusionary) provided for this project, including the onsite unit of 909 sq. ft., is 12,670 sq. ft. That is 265 sq. ft. in excess of the Town requirements for inclusionary zoning. The 265 sq. ft. excess inclusionary and the 5.91 excess employee commercial linkage shall remain a credit to this property should there be additions or changes to the building in the future that generate an employee housing requirement. TOWN OFVAIL A 75 South Frontage Road West Community Development Department Vail, Colorado 81657 970.479.2138 vallgov.com 970.479.2452 fax May 29, 2012 Mr. Wendell Porterfield Otto, Porterfield & Ayres, LLC Post Office Box 3149 Vail, Colorado 81658 Dear Mr. Porterfield, The purpose of my letter is to respond to your letter to the Town of Vail dated May 24, 2012 regarding Lionshead Inn, LLC/Strata Vail, and the required deed restricted employee housing units. The Town of Vail has received, and approved, 11,761 square feet of deed restricted employee housing units that are dedicated to the Strata Development Approval (DEV07-0003 f PRJ11-0701). Please consider my letter written confirmation of compliance with the Town of Vail's Inclusionary Zoning Requirements (Title 12, Chapter 24, Inclusionary Zoning, Vail Town Code) for Strata's approved development plan. If you have any questions or need additional information, please let me know. You can reach me via email at gruther anvailgov.com or by telephone at (970) 376-2675. Kind Regards, George Ruther, AICP Director, Community Development Department/ - Town of Vail The Lion August 2014 7 5. Criteria for Review The Lionshead Mixed Use -1 Zone District does not supply criteria for review for a Major Exterior Alteration. However, it does provide for a "compliance burden." 12-7H-8: COMPLIANCE BURDEN: It shall be the burden of the applicant to prove by a preponderance of the evidence before the planning and environmental commission and the design review board that the proposed exterior alteration or new development is in compliance with the purposes of the Lionshead mixed use 1 district, that the proposal is consistent with applicable elements of the Lionshead redevelopment master plan and that the proposal does not otherwise have a significant negative effect on the character of the neighborhood, and that the proposal substantially complies with other applicable elements of the Vail comprehensive plan. A. Purpose of the LMU-1 Zone District The Lionshead Mixed Use 1 zone district was created in 1999, as the implementation phase of the Lionshead Redevelopment Master Plan. The zone district rezoned all Lionshead properties from Commercial Core 2 to LMU-1. It intended to create incentives for properties to redevelop. The purpose of the LMU-1 zone district is as follows: The Lionshead mixed use 1 district is intended to provide sites for a mixture of multiple -family dwellings, lodges, hotels, fractional fee clubs, timeshares, lodge dwelling units, restaurants, offices, skier services, and commercial establishments in a clustered, unified development. Lionshead mixed use 1 district, in accordance with the Lionshead redevelopment master plan, is intended to ensure adequate light, air, open space and other amenities appropriate to the permitted types of buildings and uses and to maintain the desirable qualities of the zone district by establishing appropriate site development standards. This zone district is meant to encourage and provide incentives for redevelopment in accordance with the Lionshead redevelopment master plan. This zone district was specifically developed to provide incentives for properties to redevelop. The ultimate goal of these incentives is to create an economically vibrant lodging, housing, and commercial core area. The incentives in this zone district I nclude increases in allowable gross residential floor area, building height, and density over the previously established zoning in the Lionshead redevelopment master plan study area. The primary goal of the incentives is to create economic conditions favorable to inducing private redevelopment consistent with the Lionshead redevelopment master plan. Additionally, the incentives are created to help finance The Lion August 2014 8 public off site improvements adjacent to redevelopment protects. With any development/redevelopment proposal taking advantage of the incentives created herein, the following amenities will be evaluated: streetscape improvements, pedestrian/bicycle access, public plaza redevelopment, public art, roadway improvements, and similar improvements. Our Analysis: When the Lionshead Master Planning process was undertaken, there was clear recognition that Lionshead lacked the vitality of Vail Village. The structures were dated, the pedestrian mall did not function, and older lodging properties were suffering from low occupancy rates as a result of substandard conditions. As the purpose statement indicates, the Town recognized these issues and created a zone district to incentivize the redevelopment of Lionshead. Many properties in Lionshead have since redeveloped: the Antlers; the Arrabelle; the Marriott; the Ritz-Carlton Residences; the Landmark - all successful examples of redevelopment as a result of the Lionshead Master Planning process. t The Lionshead Inn and Lionshead Inn Annex were constructed in the 1970s. At the time, both hotels were considered luxurious. However, since then, times have changed dramatically, and the standards that Vail visitors expect their hotels to meet, have also changed dramatically. The existing facilities are not up to visitor expectations, which have resulted in low returning customer rates. Both facilities suffered from low occupancy rates. The Lion August 2014 9 The incentives offered by the Lionshead Mixed Use -1 zone district allow the Lionshead Inn properties the opportunity to redevelop into a project more fitting the needs of Lionshead and visitors to Vail. The existing buildings on the site will be demolished, allowing for a completely new structure meeting all aspects of the zoning regulations. The Lion meets the purposes of the Lionshead Mixed Use -1 zone district along with all of the development standards prescribed by that zone district. B. Lionshead Redevelopment Master Plan Compliance Our Analysis The Lionshead Redevelopment Master Plan was adopted by the Town of Vail on December 15, 1998. It is a guide for property owners proposing to undertake development or redevelopment of their properties and the municipal officials responsible for planning public improvements. The Lionshead Redevelopment Master Plan (LRMP) sets out recommendations for the entire Lionshead area, provides detailed plan recommendations for specific areas, and outlines site design and architectural design guidelines, and then provides specific development standards that are implemented through the Lionshead Mixed Use -1 zone district. Below is the language from the LRMP that is applicable to the vehicular and pedestrian circulation surrounding the Lionshead Inn properties: Modifications to West Lionshead Circle and Lionshead Place West Lionshead Circle and Lionshead Place currently handle the heaviest load of lodging access and delivery traffic in Lionshead and will likely continue to do so. The recommended improvements to these roads are both aesthetic and functional, working to provide for safe and efficient vehicular traffic while also insuring a safe pedestrian environment visually consistent with the overall goals of the master plan. East Intersection of W. Lionshead Circle and S. Frontage Road This intersection will experience the greatest increase in traffic volume due to the projected increase in lodging units and the proposed north day lot transit center. Mitigation measures may be required, as outlined in the traffic study. Intersection of Lionshead Place and West Lionshead Circle Due to the projected volume of lodging traffic that will be accessing Lionshead Place (Montaneros, Antlers, Lionsquare Lodge, and the Vail Associates core site), it is recommended that this intersection be realigned so the primary through -traffic axis is north -south (see figure 4-10). West Lionshead Circle would form a T - intersection at the northeast corner of the Marriott. In addition to facilitating traffic now, this realignment will create a much safer, logical pedestrian crossing from West Lionshead Circle into the Lionshead pedestrian core. Pedestrian Sidewalks and Crossings The Lion August 2014 10 A series of primary and secondary pedestrian walks should be created connecting the West Lionshead area with the Lionshead core, the frontage road, and the ski yard. These walks and crosswalks are identified on Map 0 and Map T. Visual Improvements M" Q MASTER PLAN FRAMEWOFX PEDESTRIAN WALKS ARID PATHS r a r PRiNARY P®PSTIM WALK SRLLRi Ry P®RMIAN WALK PRQT31R1AN PATH As the road systems and adjacent lodging properties in west Lionshead are upgraded it is critical that a consistent visual character be developed through the design of new pedestrian walkways, landscaping, retaining walls, lighting, and site furnishings. For further information on these systems, see chapter six, Site Design Guidelines. Chapter 5: Detailed Plan Recommendations Chapter 5 of the LRMP provides detailed plan recommendations for every area of Lionshead. This section provides the language from the LRMP regarding the detailed plan recommendation for the Lionshead Inn properties, and includes the July 2006 amendment found in Resolution No. 4, requiring "no net loss of live beds" on the Lionshead Inn properties. 5.15 Lionshead Inn, Lionshead Annex, Enzian Cluster Redevelopment and/or enhancement of the buildings in this cluster at West Lionshead Circle and South Frontage Road (see Figure 5-19) is encouraged. The Lionshead Redevelopment Master Plan clearly encourages the redevelopment of this site, due to the aging structures and dated hotel rooms. The Pedestrian Street The existing structures are recessed from the street, elevated above it, and separated from it by surface parking lots. To improve the pedestrian character of the neighborhood, a better relationship with the street is desirable. The principal objective for redevelopment in this area is to engage the surrounding pedestrian environment, either by adding building elements toward the street or by lowering the Finish grade at the entries so that they are closer to the level of the street. The entry has been oriented to minimize vehicular penetration into the more pedestrianized core, adjacent to the Marriott to enhance the pedestrian experience. The first floor, along West Lionshead Circle, includes commercial uses to improve the pedestrian character of the frontage. The surface parking lots have been removed (except where required to maintain the access easement for the Enzian) and all The Lion August 2014 11 parking is located underground. The commercial uses are at street level, creating a pedestrianized area along West Lionshead Circle. Access and Street Frontage The existing accesses into these properties should be adjusted to align with the opposing curb cuts on the east side of West Lionshead Circle. The street edge should be strengthened for pedestrian use with landscaping, enhanced signage, and retaining walls as described in the site design guidelines, chapter six. The Lionshead Inn secured a permit in the past which is now expired to add another vehicular access point from the South Frontage Road, and the property owner is encouraged to pursue the opportunity to screen the surface parking lot on the north and regrade the lot to reduce the significant cross -slope. Parking is located underground and the garage entrance is accessed from the existing access easement that is being maintained for the Enzian. Load and delivery, along with Fire Department access and staging will occur off the Frontage Road. Building Height Because it sits considerably above the frontage road, the Lionshead Inn is encouraged to explore a ground level or lower floor infill solution if development scenarios are pursued. Additional building height, if proposed, must conform to the design guidelines. As proposed, the proposal meets the height requirements of 71 ft. average and 82.5 ft. maximum. Preservation of Existing Live Beds The Lionshead Inn and Lionshead Annex presently contain 85 accommodation units. Given the importance and need for live beds to the vitality and success of the community, any future redevelopment of the sites shall ensure the preservation of short term accommodation on the site. The preservation of live beds should focus on maintaining the number of existing live beds and the amount of gross residential square footage devoted to that use on the site. With this in mind, the quality of the existing live bed base could be upgraded and the rooms could be reconfigured to create increased lodging opportunities. In no instance, however, shall the amount of gross residential floor area devoted to live beds be reduced. The construction of "attached accommodation units", "lodge dwelling units", "timeshare units", "fractional fee club units", and dwelling units in a voluntary rental program, as defined in the Zoning Regulations, could significantly increase the availability of short term rental opportunities within the building. As proposed, The Lion includes 85 live beds consistent with this Master Plan policy. The Lion August 2014 12 C. Character of the Neighborhood Our Analysis: The neighborhood of the Lionshead Inn properties is architecturally and aesthetically diverse. The property most adjacent to the Lionshead Inn is the Enzian Condominiums, which will be most impacted by the redevelopment proposal. As a result, the design team made every effort to minimize impacts to the Enzian Condominiums, including respecting the existing access easement. No development is proposed adjacent to the Enzian, on the Lionshead Inn property to the south. The Enzian Condominiums have not been redeveloped at this point in time and therefore the architecture and character of the Enzian Condominiums is more of the old Lionshead aesthetic, and while the design of The Lion respects the existing structure, it is designed based on the Design Guidelines of the Lionshead Redevelopment Master Plan. It is assumed, like most properties in Lionshead that have not yet been redeveloped, that at some point in the future, redevelopment will occur. Adjacent to the Lionshead Inn to the west is the Vail Spa. Unlike the Enzian Condominiums, the Vail Spa's architectural character is more modern, with a flat roof, interesting angles, and large panes of glass. Built in 1980, this site also has development potential based on the Lionshead Mixed Use - 1 zone district. However, without knowing the future plans for this building, the design of The Lion includes some more modern elements to allow for some consistency of character in the neighborhood. The Marriott, to the south of the Lionshead Inn properties, went through a major redevelopment in the late 1990s. In this case, the existing structure was maintained, but the building was renovated to be more in compliance with the Design Guidelines of the Lionshead Redevelopment Master Plan. Many of the old forms remained, but the materials and colors were updated and upgraded. The Lion is proposed with similar materials and will be of a character that compliments the Marriott. Other properties in the vicinity include the North Day Lot, Concert Hall Plaza, and Montaneros. The design of The Lion will be complimentary to these properties, maintaining the character of Lionshead, while creating a project that is remarkable on its own. The Lion August 2014 13 D. Other Applicable Elements of the Vail Comprehensive Plan Our AnalXsis: The Lionshead Redevelopment Master Plan has been covered in depth in previous sections of this submittal and is incorporated here by reference. The Vail Land Use Plan, which was originally adopted in 1986, also includes goals that are applicable to this project. 1.3 The quality of development should be maintained and upgraded whenever possible. 1.12 Vail should accommodate most of the additional growth in existing developed areas (infill areas). 3.1 The hotel bed base should be preserved and used more efficiently. 4.2 Increased density in the Core areas is acceptable so long as the existing character of each area is preserved through implementation of the Urban Design Guide Plan and the Vail Village Master Plan. Now over 30 years old, the Town of Vail Land Use Plan is outdated in general, but many of the concepts of the plan are applicable to development today. The Lion helps to further these goals as outlined in the Vail Land Use Plan. 6. Conditional Use Permit Criteria for Review The proposed reduction in the number of timeshare units necessitates the need for a Conditional Use Permit. The dwellings, lodge dwelling units, employee housing unit, and the attached accommodation units (lock -offs) are all uses allowed by right which do not require a special approval from the PEC. The change from 16 timeshare units to 12 timeshare units requires a Conditional Use Permit. A. Relationship and impact of the use on development objectives of the town. Our Analysis: The development objectives for this property are summarized in the Lionshead Redevelopment Master Plan. The Master Plan clearly states that the objective for this property is to have 85 "live beds" available on the property. This application, as did the previous applications and approvals, demonstrates compliance with the development objectives of the Town and the specific policy of maintaining 85 live beds on the property. The Lion August 2014 14 B. The effect of the use on light and air, distribution of population, transportation facilities, utilities, schools, parks and recreation facilities, and other public facilities needs. Our Analysis: The proposal to reduce the number of timeshare units does not change the building and development site in any way. It does reduce the parking requirement by 13 parking spaces which suggests a minor reduction in need for public facilities. The proposed change will have only positive effects on this criterion. C. Effect upon traffic with particular reference to congestion, automotive and pedestrian safety and convenience, traffic flow and control, access, maneuverability, and removal of snow from the street and parking areas. Our Analysis: The minor reduction in the number of time share units has a reduced parking impact to the project which suggests a general reduction in traffic to the site. The proposed change will have only positive effects on this criterion. D. Effect upon the character of the area in which the proposed use is to be located, including the scale and bulk of the proposed use in relation to surrounding uses. Our Analysis: This minor change in programming does not result in any outward change to the building whatsoever. Therefore the proposed amendment does not have a negative impact on the character of the area or bulk and mass of the building. The proposed change will have no effects on this criterion. The Lion August 2014 15 7. Adjacents TOWN OF VAIL C/O FINANCE DEPT 75 S FRONTAGE RD VAIL, CO 81657 VAIL CORP PO BOX 7 VAIL, CO 81658 VAIL CORP THE FIXED ASSETS DEPARTMENT 390 INTERLOCKEN CRES STE 1000 BROOMFIELD, CO 80021-8056 LANDMARK CONDO ASSOCIATION DESTINATION RESORT MANAGEMENT INC 610 W LIONSHEAD CR VAIL, CO 81657 MONTANEROS CONDOMINIUM ASSOCIATION, INC. LAURIE JEANES 641 W LIONSHEAD CIR, VAIL, CO 81657 DIAMONDROCK VAIL OWNER LLC DIAMONDROCK HOSPITALITY CO 3 BETHESDA METRO CTR STE 1500 BETHESDA, MD 20814-635 VAIL SPA CONDOMINIUM ASSOC 710 W LIONSHEAD CIR VAIL, CO 81657 VAIL SPA CONDOMINIUM ASSOCIATION EAST WEST RESORTS PO BOX 5480, AVON, CO 81620 ENZIAN AT VAIL CONDOMINIUM ASSOCIATION GEOFFREY WRIGHT 610 W LIONSHEAD CIR, VAIL, CO 81657 The Lion SUN VAIL CONDO ASSOCIATION VISTAR REAL ESTATE, INC. 635 N FRONTAGE ROAD #3 VAIL, CO 81657 CDOT 4201 E. ARKANSAS AVENUE DENVER, CO 80222 LION SQUARE NORTH CONDOMINIUM ASSOCIATION, INC. BILL ANDERSON 660 WEST LIONSHEAD PLACE VAIL, CO 81657 CONCERT HALL PLAZA CONDOMINIUM ASSOCIATION LES ROOS 500 GOLDEN EAGLE DRIVE BROOMFIELD, CO 80020 THE MARK -LODGE CONDOMINIUM ASSOCIATION, INC. KELLIE NEWMAN 715 WEST LIONSHEAD CIRCLE VAIL, CO 81657 VAIL MARRIOTT MOUNTAIN RESORT 715 WEST LIONSHEAD CIRCLE VAIL, CO 81657 MAURIELLO PLANNING GROUP PO BOX 4777 EAGLE, CO 81631 August 2014 16 KEY ■ RETAIL EMPLOYEE HOUSING UNIT DWELLING UNIT ■ LOCK OFF TIMESHARE LODGE DWELLING UNIT O TWO STORY UNIT RETAIL EMPLOYEE HOUSING UNIT I DWELLING UNIT 3 LOCK OFF TIMESHARE LODGE DWELLING UNIT TWO STORY UNIT WEST LIONSHEAD CIRCLE KEY RETAIL EMPLOYEE HOUSING UNIT DWELLING UNIT LOCK C TIMESH) LODGE O TWO S7 LEVET DWELLING I LOCK OFF TIMESHARE LODGE DW ARCHITECTURE URBAN DESIGN INTERIOR DESIGN .EVEL /YELLING l )CK OFF MESHARE )DGE DWE KEY RETAIL EMPLOYEE HOUSING UNIT DWELLING UNIT X0 T I I` j• O TV LE\ DWELL LOCK I TIMESI- LODGE LEVE DWELLINI LOCK OF TI M ESHAF LODGE D' Ll THE LION VAIL, COLORADO LIONSHEAD, LLC I MAURIELLO PLANNING GROUP 1 17004.00 11 PEC 0 08.11.2014 A1.4 • C L° LEVELS 6Et7 PLANS 8702 PHONE: 303.449.8900 FAX: 303.449.3886 WWW.OZARCH.COM