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HomeMy WebLinkAbout2006-12-05 Support Documentation Town Council Evening SessionTOWN COdJNCIL EVENING SESSION AGENDA 6:00 P.M., TUESDAY, DECEMBER 5, 2006 VAIL TOWN COUNCIL CHAMBERS 75 S. Frontage Road W. Vail, CO 81657 NOTE: Times of i#ems are approximate, subject to change, and cannot be relied upon to determine at what time Council will consider an item. 1. ITEM/TOPIC: Citizen Participation. (10 min.) 2. ITEM/TOPIC: Consent Agenda. (5 min.) • Approval of 11.0706 and 11.21.06 Minutes. 3. ITEM/TOPIC: Town Manager's Report. (5 min.) • Revenue Update. • Emergency Incident Training. On November 29, 2006 17 Town of Vail employees participated in a regional emergency preparedness exercise. The training involved a simulated hostage-taking incident with response by members of the Northwest Type 3 Incident Management Team representing emergency responders from Eagle, Summit, Garfield, Mesa, Pitkin, Moffat, Grand and Routt counties. There were 104 participants with expertise in the areas of law enforcement, tactical operations, hazardous materials response, fire suppression, public health, emergency medical, and communications. The incident scenario involved a suspect with a volatile liquid who takes a hostage on a eastbound Greyhound bus. Police Chief Dwight Henninger served as the. incident commander during today's training. He .says responders worked well in dealing with the circumstances and in identifying potential threats to the community and activating appropriate safety precautions. During a .debrief at the end of the exercise, Chief Henninger said participants were impressed by the efficient teamwork of the agencies involved and the development of an incident management plan. The incident was not without its problems. Henninger noted communication proved difficult between service providers. within the incident. When they recognized that some radios were not compatible it left some people frustrated. "Through training, people will better understand their resources, technology and how to work with communication devices," Henninger said. Weather created difficulties in utilizing the satellite dish for communications and a smaller base of cell phones were used as an alternative. This type of training continues to prepare Town of Vail employees to deal with critical incidents that may occur in our jurisdiction. 4. Russ Forrest ITEM/TOPIC: Lionshead Parking Structure RFP. (10 min.) ACTION REQUESTED OF COUNCIL: The purpose of the evening meeting with the Vail Town Council (Council) is to: 1. Provide direction to perform a financial analysis on the two development proposals. To ensure a work product is produced that meets the Town Council's expectations, staff prepared an RFP with a brief scope of service. Staff is requesting Council's input on the scope of service and whether a RFP should be issued for this service. 2. Staff is requesting authorization to engage Rocky Mountain Valuation to perform a 2"d appraisal on the Lionshead Parking Structure. 3. Review proposed next steps in the process. BACKGROUND: On November 21St the Vail Town Council received public input on the Lionshead Parking Structure proposals. At that meeting the Town Council directed staff to obtain an additional appraisal and find a highly qualified financial consultant/analyst to review the proposals. 5. Todd Oppenheimer ITEM/TOPIC: Seibert Circle private fund raising results. (10 min.) ACTION REQUESTED OF COUNCIL: Accept the funds raised by Ron Riley and Alan Kosloff in the amount of $125,000 for the Seibert Circle Project and direct staff to prepare contracts for design and construction of the water and fire feature designed by WET Design and presented on October 17, 2006. BACKGROUND RATIONALE: On October 17, 2006 the Town Council approved the design of a water and fire feature prepared by WET Design as the final design for Seibert Circle and approved a project budget of $675,000 contingent on the private sector raising $125,000 toward the cost of the improvements. Mr. Ron Riley and Mr. Alan Kosloff have successfully raised the required $125,000 and will make that presentation to the Town Council. STAFF RECOMMENDATION: Direct staff to proceed with design and construction contracts in preparation of construction of Seibert Circle Improvements beginning in late April -early May 2007. 6. Judy Camp ITEM/TOPIC: FIRST READING OF ORDINANCE NO. 29, Series of 2006, AN ORDINANCE MAKING SUPPLEMENTAL APPROPRIATIONS TO THE TOWN OF VAIL GENERAL FUND, CAPITAL PROJECTS FUND, REAL ESTATE TRANSFER TAX FUND, HEAVY EQYUIPMENT FUND, AND DISPATCH SERVICES FUND OF THE 2006 BUDGET FOR THE TOWN OF VAIL, COLORADO; AND AUTHORIZING THE EXPENDITURES OF SAID APPROPRIATIONS AS SET FORTH HEREIN; AND SETTING FORTH DETAILS IN REGARD THERETO. (10 min.) ACTION REQUESTED OF COUNCIL: Approve or approve with amendments the first reading of Ordinance No. 29, Series of 2006. BACKGROUND RATIONALE: To be provided in a separate memo. STAFF RECOMMENDATION: Staff recommends that the Town Council approves or approves with amendments Ordinance No. 29, Series of 2006, upon first reading. 7. George Ruther ITEM/TOPIC: First Reading of Ordinance No. 33, Series of 2006, an ordinance amending Title 12, Zoning Regulations, Chapter 6, Residential Districts, Article E, Residential Cluster (RC) District, Vail Town Code, to add. "professional office" and "business office" as conditional uses to the District, and amending Title 12, Zoning Regulations, Chapter 16, Conditional Use Permit, Vail Town Code to add use specific criteria and standards for business offices and professional offices, and setting forth details in regard thereto. (15 min.) ACTION REQUESTED OF COUNCIL: Approve, approve with modifications, or deny Ordinance No. 33, Series of 2006 on first reading. BACKGROUND RATIONALE: On November 13, 2006, the Town of Vail Planning and Environmental Commission voted 5-0-0 to forward a recommendation of approval of the proposed text amendment to the Zoning Regulations to add "business office" and "professional office" as conditional uses to the Residential Cluster (RC) District. STAFF RECOMMENDATION: The Community Development Department recommends that the Vail Town Council approves Ordinance No. 33, Series of 2006, on first reading. 8. Judy Camp ITEM/TOPIC: Second reading of the 2007 Budget Ordinance No. 28, Series 2006. (5 min.) ACTION REQUESTED OF COUNCIL: Discuss the second reading of the 2007 Budget Ordinance No. 28, Series 2006, in preparation for approval during the evening session. BACKGROUND RATIONALE: To be provided in separate memo STAFF RECOMMENDATION: Staff recommends that the Town Council approves Ordinance No. 28, Series of 2006, upon second reading this evening. 9. George Ruther ITEM/TOPIC: SECOND READING OF ORDINANCE NO. 30, SERIES OF 2006, AN ORDINANCE ESTABLISHING .SPECIAL DEVELOPMENT DISTRICT NO. 40, THE WILLOWS, PURSUANT TO ARTICLE A, SPECIAL DEVELOPMENT (SDD) DISTRICT, CHAPTER 9, TITLE 12, ZONING TITLE, TOWN CODE OF VAIL, AND SETTING FORTH DETAILS IN REGARD THERETO. (20 min.) ACTION REQUESTED OF COUNCIL: Approve, approve with modifications, or deny Ordinance No. 30 Series of 2006, on second reading. BACKGROUND RATIONALE: On November 13, 2006, the Town of Vail Planning. and Environmental Commission held a public hearing on a request to establish Special Development District No. 40, The Willows. The purpose of the new Special Development District is to facilitate the redevelopment of The Willows Condominiums, located at 74 Willow Road. Upon review of the request, the Planning and Environmental Commission voted 4-1-0 (Pierce opposed) to forward a recommendation of approval of the request to establish Special Development District No. 40, The Willows, to the Vail Town Council. On November 21, 2006, the Vail Town Council voted 7-0-0 to approve Ordinance No. 30, Series of 2006, on first reading. STAFF RECOMMENDATION: The Community Development Department recommends that the Vail Town Council approves Ordinance No. 30, The Willows, on second reading. 10. Matt Mire ITEM/TOPIC: Second reading of Ordinance No. 31, Series of 2006, An Ordinance Amending Section 2-6-9 of the Vail Town Code, Concerning use of the Real Estate Transfer Tax Fund, and Setting Forth Details in Regard Thereto, until December 19, 2006. (10 min.) ACTION REQUESTED OF COUNCIL: Approve second reading of Ordinance No. 31, Series of 2006. BACKGROUND RATIONALE: In an effort to be the premier mountain resort community, the Town has committed to provide its citizens and guests with "a superior level of environmentally sensitive services" in addition to "vision, leadership and stewardship in an environmentally responsible manner." To achieve the goals stated above and for the environmental sustainability of the Town of Vail and the Vail Valley, the Council has determined that certain text amendments are necessary to the Vail Town Code as they relate to the use of the Town of Vail Real Estate Transfer Tax Fund to include expenditures related to environmentally sustainable practices. According to the Town Charter, this ordinance will need to be tabled for second reading until December 19, 2006 due to a publication error. STAFF REGOMMENDATION: Table second reading of Ordinance No. 31, Series of 2006 until December 19, 2006. 11. Judy Camp ITEM/TOPIC: Second Reading of Mill Levy Certification, Ordinance No. 32, Series 2006. (5 min.) ACTION REQUESTED OF COUNCIL: Approve Ordinance No. 32, Series 2006, on second reading. BACKGROUND RATIONALE: Mill Levy Assessments must be certified to the County for collection annually; this ordinance authorizes certification. The numbers have been adjusted for the Eagle County Assessor's report. STAFF RECOMMENDATION: Approve Ordinance No. 32, Series 2006, on second reading. 12. Judy Camp ITEMlTOPIC: Resolution No. 23, Series 2006, A Resolution Approving a Budget and Operating Plan of the Vail Marketing District, for the Fiscal Year January 1, 2007 Through December 31, 2007. (10 min.) ACTION REQUESTED OF COUNCIL: Approve Resolution No. 23, Series 2006. BACKGROUND RATIONALE: The Council received the operating plan and budget of the Vai! Local Marketing District for the 2007 fiscal year on or before December 5, 2006, and has provided required notice at set forth in C.R.S. § 29-1-106. The statute C.R.S. § 29-25-110 requires the Council to approve the operating plan of the VLMD for the 2007 fiscal year by December 5, 2006. STAFF RECOMMENDATION: Approve Resolution No. 23, Series 2006. 13. ITEM/TOPIC: Information Update. (5 min.) 14. ITEM/TOPIC: Matters from Mayor & Council. (10 min.) 15. ITEMROPIC: Adjournment. (8:10 p.m.) NOTE UPCOMING MEETING START TIMES BELOW: (ALL TIMES ARE APPROXIMATE AND SUBJECT TO CHANGE) THE NEXT VAIL TOWN COUNCIL REGULAR EVENING MEETING WILL BEGIN AT 6 P.M. TUESDAY, December i9, 2006, IN VAIL TOWN COUNCIL CHAMBERS Sign language interpretation available upon request with 48-hour notification. Please call 479-2106 voice or 479-2356 TDD for information. Vail Town Council Evening Meeting Minutes Tuesday, November 7, 2006 6:00 P.M. Vail Town Council Chambers The regular meeting of the Vail Town Council was called to order at approximately 6:00 P.M. by Mayor Rod Slifer. Members present: Rod Slifer, Mayor Farrow Hitt, Mayor Pro-Tem Kent Logan Greg Moffet Kim Newbury Mark Gordon Kevin Foley Staff Members: Stan Zemler; Town Manager Matt Mire, Town Attorney Pam Brandmeyer, Assistant Town Manager Moffet arrived at approximately 6:20 p.m. The first item on the agenda was Citizen Participation. There was none. The second item on the agenda was a request for the determination of a similar use by the Town Council pursuant to Section 12-7B-5(B)(7), Permitted and Conditional Uses; Above Second Floor, Vail Town Code, to allow for a ski club with ski storage to be considered a use similar to a cocktail lounge and bar, located at 333 Hanson Ranch Road (Vista Bahn Building)/Lot C, Block 2, Vail Village Filing 1. Town Planner Warren Campbell reported that on September 25, 2006, an application was submitted by the owners of the Vista Bahn Building to establish a ski club with ski storage on the third floor of the structure. The Commercial Core I zone district does not list a ski club with ski storage as a permitted or conditional use on any floor of a structure within the district. The applicant has requested Council review their proposal pursuant to Section 12-3-4, Determination of Similar Use, Vail Town Code, to determine if a ski club with ski storage is similar to a cocktail lounge and bar. Representing the applicant, John Durham, Maddux Design, explained the following: • Eating and drinking establishments are a conditional use above the second floor in CC1; • A private ski club was approved in this space as a "similar use" to an eating and drinking establishment; • Ski storage is an amenity and ancillary to the primary purpose of a social facility; • This facility is different than the "commercial ski storage" facilities in the village; • This is not aprofit-oriented venture, allowing storage space to be minimized rather than maximized; This facility will attract down valley residents into the heart of Vail on a year-round basis; A "similar use" determination preserves oversight for the town and avoids a contentious text amendment process. Representing the Cordillera Property Owners Association, Bob Vanourek, explained, "The proposal is an honest attempt to bring down valley people back into VaiI...This would be a great anchor to continue our social opportunities." Property owner Rick Mueller assured Council the proposal was not similar to commercial ski storage. Moffet joined Council at 6:20 p.m. and confirmed he was competent and willing to vote on the item. Foley clarified a new liquor license would not be applied for. Hitt clarified the proposed establishment would generate sales tax. Mire explained an approval would not have any precedent value. Moffet moved to find the proposed use similar as long ski storage did not exceed 30% of the floor area. Logan seconded. Slifer said the proposal was a great use. Foley asked the applicants to be judicious in their operation of a liquor establishment. The motion passed 6-1, with Gordon opposed. The third item nn tha agenda wac the ~;nncent Ananrla a. Approval of 10.03.06, 10.10.06 and 10.17.06 minutes. Moffet moved to approve the consent agenda with Logan seconding. Foley and Hitt said they would submit some minor adjustments to the minutes. The motion passed unanimously, 7-0. The fourth item on the agenda was a presentation from the competing LionsHead parking structure request for proposal (RFP) development teams and ask questions of them regarding their proposals. Provide staff with direction on additional information that would be helpful making a decision on the RFP process. The proposed format for the presentations included 90 minutes for each team to present and respond to questions. The order of the presentations was East West Partners followed by the Hillwood Partnership. The public was given an opportunity to ask questions of the developers. Due to a predetermined conflict of interest (East West Partners affiliation), Slifer recused himself from the item and left Town Hall for the evening. Representing East West Partners, Harry Frampton, Chuck Madison, and John Evans explained the merits of their proposal. Frampton elaborated, "This is the equivalent of having a 500 room hotel...This parking structure is an extraordinary scar on our environment." The project was touted to include the following: • Civic and learning center • Lifestyle retail • Wellness/recreation center • Youth recreation center • Non-profit center • Leeds Certified • Frontage Road improvements • Transit Center • Parking Information Center • Onsite employee housing It was reported that East West and the Hyatt Corporation had executed an agreement for Hyatt to manage the hotel project and they would to be a major investor in the property. Nick Pritzken, Vice-Chairman of Hyatt Global said his company, "tries really hard to be global and local." He then explained the Hyatt Corporation's philosophy and spoke about recent Hyatt Hotel successes. Frampton continued, "We think this project will be an economic engine, adding 70,000 incremental room nights...All of the retail will be on the first floor, with 70% of that being local and 30% national...The transit center will be on the Frontage Road, adjacent to the information center and public restrooms...lt will be a very short walk and down the escalator located by the retail." PEC Member Bill Jewitt questioned a possible scarcity of Frontage Road improvements J 1. 1. 1 J 1...-~ 1. 1_i_ t..._.. __ 1 _i 1_. dllU a IcLLK of auequate pa~Kl(1C~j LU aLLUfllfflUUdle a (:UfllefeflGt; Lelltef. L"diet I(1 tfle discussion Frampton told Council his proposal included a recreation facility that would provide up to 200 town resident memberships and on-site employee housing with an additional payment in-lieu. Responding to a question regarding parking construction timing, "V1le would negotiate meaningful damages for our contractor." Moffet questioned the rentability of the proposed condominiums. It was explained that 90% of owners at the Westin (under construction) in Avon were planning on renting similar units. One of the focal points of the discussion centered on the proposed timetable for completion of the parking structure component of the project. Speaking on behalf of Vail Resorts, Bill Jensen emphasized the need to avoid all risks when it comes to construction of parking. While Jensen said the redevelopment should be viewed as an "opportunity" for the community, the need to have parking operations fully functioning for the duration of the entire 2009-2010 ski season is critical.- Council members encouraged the developers to continue meeting with Vail Resorts to explore a timetable that would enable a parking structure to be built at the west end of LionsHead prior to redevelopment of the existing structure to help reduce the risk. Forrest clarified 400 additional parking spaces would facilitate 15 days per ski season of parking on the Frontage Road. Tom Neyens, Ski Valet of LionsHead, questioned the validity of parking projections. "I think hotel stayers are going to compete with day skiers...Do we really need to do this right now?" Representing the Hillwood Partnership proposed project architect/designer Bob Fitzgerald of 4240 Design began, "We feel the One Town story is built on a dense layering of influences and ideas." They discussed a project consisting of 1.6 million square feet with half of that dedicated to parking. Two hotels (the W and St. Regis) would be located on the site along with a transit and performing arts center, spa facilities and copious retail. Both of the hotels would operate as independent entities. The performing arts center would be operated by the Hillwood Partnership. Jonas Woods and Marc Stanworth of the Hillwood Partnership said the project was estimated to cost $600 million with $145 million dedicated to public uses in various forms. Jewitt questioned whether a 600-1,000 seat theatre could be economically viable. Wood predicted 100-125 live acts per year would keep the facility profitable. Any moderate losses would be subsidized through a metro district tax. "Experience with the American Airlines Center in Dallas Texas gives us lots of experience programming a facility...We are opening a new House of Blues in Dallas in the next few months." The group then reported they had identified two sites for employee housing, one on-site and the other off-site (possibly at the West Vail Holiday Inn location). Responding to a question from Gordon, Wood said his firm anticipated selling the project's residential components at around $2,000 per square foot. Doug McNichol of Mortenson Construction explained the proposed parking garage would not be as efficient on a per stall basis as the East West garage. Jensen told the group the proposed three levels of structured parking "makes me nervous." Woods responded, "We will allocate dollars to somewhere else (West LionsHead) if that is where parking needs to go." Representing the developer Jay Peterson articulated, `The West LionsHead parking structure needs to be up and running before we lose those parking spaces in LionsHead...Ford park doesn't work as an option for LionsHead...Will there be some pain to bear in this process, yes." Tony Vandans, Gateway Building property owner, asked if the town would receive the revenue from the public parking spaces. Kaye Ferry asked if the town had received an appraisal. Hitt said the town was not prepared to make that public yet. She then asked why the town had only received one. Neyens concluded the public discussion by saying, "I am hoping you are looking at a way to .keep local businesses here." Hall stated the town had asked each group to have impact analyses performed by a traffic engineer. The fifth item on the agenda was the Town Manager's Report. • Authorization by Town Council for purchase of "buy down" unit, to wit; One bedroom /+ loft in Vail Schone Building for $295,000. Moffet moved to approve the request to purchase with Newbury seconding. The motion passed unanimously, 6-0. • Construction Update. Hal! reported, "Everything should be out of the public right-away before November 15." • Revenue Update. Camp reported sales tax collections for the year-to-date through September were expected to be $13.6 million, an increase of $84,534 or 7.8% over the same period last year. Expected revenue for the month of September is $826,866, an increase of $31,059 or 3.9% over last year. The year-over-year increase in the consumer price index for September is 2.1 %. Gross sales for six representative businesses located near the construction area in LionsHead increased 9.3% from last year for the month of September and are up 9.3% for the year-to-date through September. Compared with 2003, before construction started in that area, gross sales of the six businesses are up 16% for the month and 17% for the year-to-date. Construction permit revenue of $1.3 million through September 27, 2006, is up 7.9% from last year. This year's revenue includes $845,614 (64% of the total) from eight large redevelopment projects -Forest Place, Front Door (The Lodge at Vail), Gore Creek Place, Lodge Tower, One Willow Bridge Road, Sonnenalp, Vail Plaza Hotel, and Westhaven Condos. Major redevelopment projects accounted for $786,379 (also 64% of total) at this time last year. Construction permit fees include building, electrical, mechanical, plumbing, and sprinkler permits. RETT collections of $3.9 million through September 27, 2006, are down $729,065 or 16% from last year. Last year's collections included $1.1 million of tax from major transactions (over $10 million selling price) including: sale of the Chateau to the Four Seasons developer; sale of units at Crossroads to the developer; Vail Mountain Lodge timeshares; Founders' Park Garage; and the Vail Marriott. • Vail Valley Athlete Commission. Brandmeyer stated the Vail Valley Athlete Commission is composed of and funded by four partners: Vail Resorts, Inc., Beaver Creek Resort Company, the Vail Valley Foundation (WF} and the Town of Vail. This commission allocates funding twice annually to winter and summer athletic competitors. The WF approached Council during the out-of-cycle funding contributions to request that along w/their partners, the town increase its annual contribution from $4,750 to its original $10,000 (post-9/11). Those athletes receiving funding for the '06-'07 winter season are: Nate Asoian, $1,000, Alpine Ski Racing; Claire Bidez, $3,000, Snowboarding/Half Pipe; Dylan Bidez, $2,000, Snowboarding/Half Pipe, Slopestyle and Boardercross; Kevin Hochtl, $1,500, Nordic Skiing; Stacia Hookom, $2,500, Snowboarding; Julia Littman., $4,500,. Alpine Ski Racing; Sarah Schleper, $5,000, Alpine Ski Racing; Hunter Schleper, $1,000, Alpine Ski Racing; Jonathan Stevens, $1,000, Mountain Running; and Zac Layman, $1,500, Snowboarding. The inCreacg in fi inning has made the individual allocations much more meaningful and this partnership has resulted in the four entities acting as one body to collectively assess these separate requests for funding. Newbury said she would like an explanation as to how the athletes are chosen. Moffet moved to direct the town manager to manage and award a contract for the Commission on Special Events handbook with Logan seconding. Hitt emphasized the project needed to be completed and the past applicants should be re-interviewed. Zemler stated he would ensure there was integrity in the process. The motion passed 6- 0. The sixth item on the agenda was Adjournment. Moffet moved to adjourn with Newbury seconding. The motion passed unanimously, 6-0. Rodney E. Slifer, Mayor ATTEST: Lorelei Donaldson, Town Clerk Minutes provided by Corey Swisher. Vail Town Council Evening Meeting Minutes Tuesday, November 21, 2006 6:00 P.M. Vail Town Council Chambers The regular meeting of the Vail Town Council was called to order at approximately 6:00 P.M. by Mayor Rod Slifer. Members present: Rod Slifer, Mayor Farrow Hitt, Mayor Pro-Tem Kent Logan Greg Moffet Kim Newbury Mark Gordon Kevin Foley Staff Members: Stan ZemlPr, Town Manager Matt Mire, Town Attorney Pam Brandmeyer, Assistant Town Manager The first item on the agenda was Citizen Participation. Bill Jewitt stated he had recently heard complaints regarding timeliness of bus service to the lifts -from Ford Park. Vail Transit manager Mike Rose informed Council buses are picking up those who park at Ford Park as buses go into service in the morning. Jewitt also requested consideration of lighting the LionsHead holiday tree earlier in the season. Vail Recreation District board member Rick Sackbauer requested Council consider using the Real Estate-Transfer Tax (RETT) funds to redesign and build a new Vail Goff Course irrigation system that would run more efficiently and save water. Currently the Vail Golf Course is the largest user of water from the Gore Creek. Sackbauer also requested a solution to the standing water issue on Alpine Drive. Zemler said the town would resolve the water issue by Nov. 27. Robert Aikens, owner of Verbatim Booksellers, asked Council to add street lights at the crosswalks leading from town hall to the future Four Seasons site. Aikens also asked Council to include more representatives from the retail sector to participate in drafting the town's sign ordinance text amendments. Billy Suarez, owner of Billy's Island Grill, requested the lighting of the LionsHead holiday tree occur at an earlier date. Suarez also requested increased bus service during the beginning of the season if the town is going to charge for parking, to which Council replied had already been funded. The second item on the agenda was the Town Manager's Report. • Relocation of Checkpoint Charlie. Zemler reported the relocation of Checkpoint Charlie would go before the Planning and Environmental Commission (PEC) next week. • Aspen/Snowmass Work Force Housing. Zemler reported the town's department heads had recently toured the Snowmass base village construction site and work force housing in both Aspen and Snowmass. The third item on the agenda was a LionsHead Parking Structure Request for Proposals discussion. Due to a predetermined conflict of interest (East West Partners affiliation) Council member Rod Slifer recused himself from the item and left the Council chambers. Town of Vail Community Development Director Russell Forrest provided Council with a brief review of how the LionsHead parking structure redevelopment process is moving forward and that the purpose of the evening meeting with Council is to receive feedback from community members on the two development proposals from East West Partners and Open Hospitality Partners/Hillwood Partners. Each proposal team received ten minutes at the end of public input to respond to questions and comments. During public rnmmc?nt, Billy Siiare~, owner of Billy'S Island Grill, encouraged Council to pursue affordable housing and better parking on the site and encouraged the town to take a step back and review other opportunities for the site. Representing the Eagle County Economic Council, Don Cohen announced the Urban Land Institute would be hosting a conference in Vail early in December. Cohen said there. is a need for global (county- wide) solutions regarding work force housing and not to ignore that issue during the redevelopment process. Cohen requested Council also pay close attention to capitalization and transportation when studying the two LionsHead proposals. Stan Cope said he supported the proposed 25,000 square foot continuous ball room contained in the East West proposal as a public benefit. Cope also encouraged the town to avoid looking at the brand names of the proposals and to focus on defining goals for the redevelopment. Vail Valley Chamber and Tourism Bureau (WCTB) Director of Quality Assurance Katis Barnes read a letter composed by the WCTB Executive Director Michael Robinson supporting redevelopment of the parking structure and encouraged Council to move forward with the process and create a community center for both visitors and residents. Pam Stenmark informed Council she supported the conference center concept provided by East West as a means to generate group business. LionsHead business owner Tommy Neyens supported the music hall concept of Hillwood but also encouraged Council to consider other uses for the land that might be different for the community. A representative from Sonnenalp Real Estate said she supported the W Hotel and St. Regis concept as it will meet the needs of many demographics. Rick Stevens urged Council to use caution redeveloping town owned land. Robert Aikens asked Council to consider one year without redevelopment but said he supported Council moving forward with the redevelopment process. Ghigui Koffman, Laughing Monkey owner, asked if the need for additional employees might create more housing and parking problems. Representing the Vail Village Homeowners Association, Jim Lamont requested Council continue to move forward through the process and keep the public informed. Lamont encouraged Council aid developers with design and creation of an economic development plan. Lamont concluded his comments by asking the developers to reconsider the location, the size and scale of the project and add a cross-section of on-site work force and free market housing opportunities. Representing herself Kaye Ferry informed Council of her concerns regarding transferring the title of public land to a private entity. Ferry encouraged Council to take a step back and allow current projects to be completed prior to starting a new project. Ferry also encouraged Council look at other uses for the site and review requests made during the 2020 and recreation and parks master plan processes. Local developer Rick Pylman endorsed East West Partners. Representing East West Partners,- Harry Frampton explained the proposal includes many different aspects and not to get caught up in the large meeting space. Frampton explained the large ball room will be flexible and perfect for all types of uses. Frampton also said he envisions hosting several non-profit organizations in the facility that would help bond the community. Frampton informed Council .and those present that this is an opportunity to invest in the community. President of Hillwood Partners Jonas Wood explained the timing of the project would not take place until 2009- 10 at the earliest. Wood also explained that employee housing will be addressed during the redevelopment. Wood also informed the group to look forward to a unique retail experience. Logan responded to the public comment and proposal representatives that the process will continue but there are many aspects that need to be addressed including working with Vail Resorts, Inc. Logan said parking continues to be a priority and concern and the LionsHead parking structure will eventually need to be replaced as it depreciates. Moffet explained it is early in the process and it is too soon to choose a developer. Gordon agreed with Moffet explaining the project has to take place as the right project at right time. Hitt reviewed the next steps; which inclueiP a sPr_.ond annraical financial analysis of both proposals, a meeting with Vail Resorts, on Dec. ~ 12,~and additional community meetings. The fourth item on the agenda was the first reading of the 2007 Budget Ordinance No. 28, Series 2006. Finance Director Judy Camp introduced the budget and explained it was built on conservative assumptions. She then said the employee merit increase pool of five percent is being recommended to retain employees. Representing the Vail Chamber and Business Association (VCBA) Richard Tenbraak requested Council reconsider funding of the Vail Guide at its requested $58,000 level. Zemler stated the town's Community Information Office committed to $5,000 worth of advertising in the publication. Vail Guide publisher Mike Campbell described the proposed detailed 2007 Vail Guide and the need for the $58,000 in advertising is to provide complete business listings. Representing the VCBA Kaye Ferry also explained the additional advertising dollars would be use to add important phone numbers and information including hospital contacts and bus schedules. Ferry reported local business owners Tom Higgins, Dan Beard, John Cogswell, Robert Aikens, and Samantha Wright were in attendance during the Work Session to support the publication. Tom Neyens, owner of Ski Valet, spoke in support of the Vail Guide and urged Council to use a portion of the Town of Vail business license fees to support the guide. Colorado Footwear owner Steve Rosenthal and Nicole Hoffman, manager of the Laughing Monkey and General Store, also spoke in support of the Vail Guide. Commission on Special Event (CSE) member Steve Connolly thanked Council for additional funding for 2007. Moffet moved to approve the ordinance with Newbury seconding. Newbury added that the town's Public Information Officer Suzanne Silverthorn is the town's expert and should be responsible for where the town advertises. Foley questioned whether Council could raise the mill levy. Camp reported any mill levy increase would require a TABOR election. Zemler explained an Art in Public Places (AIPP) funding increase would be evaluated every year and not dedicated. Hall spoke in support of the AIPP board and encouraged Council to provide increased ongoing funding. The majority of Council agreed to maintain AIPP funding at $75,000. Moffet and Newbury amended the motion to reflect the decrease in AIPP funding. The motion passed 6-1, with Foley opposed. Foley encouraged Council to hold several work sessions to evaluate specific departments and specific items during the 2008 budget process. The fifth item on the agenda was the First Reading of Ordinance No. 30, Series of 2006, an ordinance establishing Special Development District (SDD) No. 40, The Willows, Pursuant to Article A, SDD District, Chapter 9, Title 12, Zoning Title, Town Code of Vail. Town Planner Elizabeth Reed stated that on November 13, 2006, the PEC held a public hearing on a request to establish SDD No. 40, The Willows. The purpose of the new SDD is to facilitate the redevelopment of The Willows Condominiums, located at 74 Willow Road. Upon review of the request, the PEC voted 4-1-0 (Pierce opposed) to forward a recommendation of approval of the request to establish SDD No. 40, The Willows, to Council. Representing the applicant Steve Restin and Rick Pylman outlined the .proposal. Pylman said a public art contribution and on-site employee housing unit should be considered public benefits. The redevelopment would create a decrease in employees. Representing the Vail Village Homeowners Association, Jim Lamont requested the public benefits include a more adequate streetscape safety plan (adding a walkway at least on one side of Vail Road). Speaking on his own behalf Bill Jewitt recommended employee housing be provided -for families. Representing the Riva Ridge Homeowner's Association Art Abplanalf explained the adopted plans contained an error (the inclusion of anon-conforming deck on the southern part of the property) and asked Council to reflect the error in the ordinance. Moffet encouraged the purchase of three to four bedroom units to offset the employee housing need. Moffet moved to adopt the ordinance with two additional conditions, the balconies off the master bedrooms will be deleted and added to the south east corner off the living rooms and the setbacks will become defined by the building footprint and that housing would be provided off-site in the Town of Vail with Logan seconding. Newbury encouraged consistency in regard to employee housing requirements. Slifer said he believed the proposed 12 foot wide roadway on Willow Road was inadequate and said the focus should be road improvements on Vail Road. The motion passed unanimously, 7-0. The sixth item on the agenda was the first Reading of Ordinance No. 31, Series of 2006, An Ordinance Amending Section 2-6-9 of the Vail Town Code, Concerning use of the Real Estate Transfer Tax (RETT) Fund. Council voted 7-0 to approve usage of RETT funds to include expenditures related to environmentally sustainable practices. Hitt encouraged adding a spending cap on the RETT fund to avoid the money being used as slush fund. Moffet moved to approve the ordinance upon the condition the existing four uses be satisfied before any funds are released to enhance environmental sustainability, with Foley seconding. Gordon said the action was satisfying the desire of town residents following responses from the 2020 process. The seventh item on the agenda was the first Reading of Mill Levy Certification, Ordinance No. 32, Series 2006. Mill Levy Assessments must be certified to the County for collection annually; this ordinance authorized certification. Moffet moved to approve this ordinance with Logan seconding. The motion passed unanimously, 7-0. The eighth item on the agenda was Resolution Number 22, Series 2006. A resolution declaring the intent of the Town of Vail to acquire a fee simple interest in the property located at 2399 North Frontage Road West for Fire Protection facilities, further continuance of good faith negotiations to acquire said property interest, and authorization to initiate an action in eminent domain to acquire said property in the event good faith negotiations do not result in an agreement to acquire said property interest Town Attorney Matt Mire said the town has negotiated in good faith with the record owner and others having an ownership interest in the property commonly known as Wendy's, located at 2399 N. Frontage Road West, and legally described as Parcel A, a resubdivision of Tract D, a resubdivision of Vail Schone Filing 1, Town of Vail, Eagle County, Colorado (the "Property"). Negotiations to purchase the Property have, to this point, been unsuccessful. This resolution represents Council's formal determination that it is necessary to acquire a fee simple interest in the property, and that, in the event the good faith negotiations do not result in voluntary granting of the property, it is necessary the town acquire said interest in the property through the use of the town's power of eminent domain as provided for in the Town Charter. Moffet moved to adopt with Newbury seconding. Logan expressed displeasure with the use of eminent domain. The motion passed, 5-2 with Logan and Hitt opposed. The ninth item on the agenda was Adjournment. Moffet moved to adjourn with Newbury seconding at approximately 10:45 p.m. The motion passed unanimously, 7-0. Rodney E. Slifer, Mayor ATTEST: Lorelei Donaldson, Town Clerk Minutes provided by Corey Swisher. TOWN OF VAIL REVENUE HIGHLIGHTS November 30, 2006 Sales Tax Sales tax collections for the year-to-date through October are expected to be $14.2 million, an increase of $1.0 million 7.8% over the same period last year. Expected revenue for the month of October is $599,605, an increase of $33,432 or 5.9% over last year. The year-over-year increase in the consumer price index for October is 1.3%. Construction Permit Fee Revenue Construction permit revenue of $2.0 million year-to-date through November 29, 2006, is up 38% from last year. This year's revenue includes over $1.2 million (61 % of the total) from eleven large redevelopment projects - Arrabelle, Forest Place, Front Door (The Lodge at Vail), Gore Creek Place, Lodge Tower, Manor Vail, Mountain View, One Willow Bridge Road, Sonnenalp, Vail Plaza Hotel, and Westhaven Condos. Major redevelopment projects accounted for just over $900,000 (also 61% of total) at this time last year. Construction permit fees include building, electrical, mechanical, plumbing, and sprinkler permits. Real Estate Transfer Tax (RETT) RETT collections of $5.4 million through November 29, 2006, are down $520,947 or 9% from last year. Two large sales in November brought the revenue from the "Sales over $10 million" category to $1.2 million compared with $ l . l million for that category last year. Therefore, the entire variance is due to smaller projects. 061205 Revenue Highlights - 1 - MEMORANDUM TO: Town Council FROM: Community Development Department DATE: December 5, 2006 SUBJECT: Lionshead Parking Structure Request for Proposals Staff: Stan Zemler and Russ Forrest PURPOSE The purpose of the evening meeting with the Vail Town Council (Council) is to: 1. Provide direction to perform a financial analysis on the two development proposals. To ensure a work product is produced that meets~the Town Council's expectations, staff prepared an RFP with a brief scope of services. Staff is requesting Council's input on the scope of services and whether a RFP should be issued for this service. 2. Request authorization to engage Rocky Mountain Valuation to perform a 2"d appraisal on the Lionshead Parking Structure. 3. Review proposed next steps in the process. II. BACKGROUND A. Goals The Town of Vail (Town) owns and operates an 1,150 space parking structure and an unimproved charter bus parking lot, located at 395 South Frontage Road in Vail, Colorado (See Section 7 of RFP). This site is 6.3 acres in size and is located in the Lionshead Redevelopment Master Plan area, one of two pedestrian retail areas in Vail. In addition, this site is included in the .Lionshead Urban Renewal area. A draft master plan for the parking structure was completed during the process of considering a conference center; the Town identified at that time, the following needs for the site: • The existing parking structure needs both capital and operational improvements to maintain its effectiveness in the future, • The Town currently needs 400-500 additional public parking spaces to minimize overflow parking on the Frontage Road for 15 days per winter season, • Redevelopment of the parking structure should include retail development on the south side of the parking structure as called for in the Lionshead Redevelopment Master Plan, • Pedestrian access needs to be improved between the parking structure and the Lionshead retail area, and • Improve the Lionshead Information Center. In the last year, private developers have approached the Town of Vail and proposed redevelopment of the site to accommodate both public and private uses. To ensure a flair and equitable process, the Vail Town Council directed that a "Request for Proposals" be issued to solicit development proposals that meet the project goals of the Town for this site. The RFP seeks qualified developers who can develop the Lionshead parking structure consistent with the project goals of this RFP stated below. The following are project goals for any developer considering submitting a proposal: A. Development proposals shall comply with the Lionshead Redevelopment Master Plan (See http://www.vailgov.com/docs/dl forms/lionshead master plan 01 2006.pdf ) and be consistent with Lionshead Mixed Use 1 Zoning (See http://www.sterlingcodifiers.com/CONaiI! for Title 12 in the Vail Town Code). B. Development proposals consistent with the Lionshead Redevelopment Master Plan and the Lionshead Mixed Use 1 Zone District shall help pay for the public improvements. A strong preference is given to uses that generate "hot beds" such as accommodation units (hotels) and Employee Housing Units. Parking generated by private development shall be provided and paid for by the developer. C. Meeting/event/conference facilities accessory to hotel and lodging uses.. D. The Town anticipates extensive improvements to the Lionshead parking structure in the near future. Creation of a new public parking structure, paid for through the redevelopment of the site, should include a minimum of 1150 public parking spaces that would improve the operational performance of the structure compared to current operation (See 2005 Walker Parking Study in Attachment B). The Town is assuming that it would continue. to own and operate public parking in Lionshead. E. Creation of new public parking in excess of the 1,150 existing spaces on the site based on circulation viability. F. Creation of a new Lionshead information center with public restrooms. G. Redevelopment of the Lionshead Annex with consideration given to the relocation of a Youth Recreation Center and the Colorado Mental Health offices. H. Improvement of the pedestrian, transit, and vehicular circulation between the parking structure and the Lionshead retail mall. I. Provide loading and delivery for uses created on-site which can also be used by adjacent Lionshead retail uses. J. Improve hotel shuttle bus circulation which currently drops guests at the southwest corner of the Lionshead parking structure.' The Town is interested in siting a Lionshead transit facility to accommodate 5 buses for regional bus traffic. The parking structure area is one of the locations under consideration for that use (See Draft Master Plan for Parking Structure). K. Creation of a retail connection along the south side of the project site that is consistent with the Lionshead Redevelopment Master Plan. L. Frontage Road improvements consistent with the Lionshead Redevelopment Master Plan and acceptable to the Colorado Department of Transportation. M. Other public amenities that would augment the vitality and economic impact of the development. N. Use of the U.S. Green Building Council's LEED Green Building Rating System, or a comparable alternative, to guide project design. Attachment A includes the Executive Summary for Both Teams. It should be noted -that proposed schedule changes are proposed below. B. Projected Costs for Maintaining the Lionshead parking structure and other associated improvements The Lionshead parking structure was built in 1980 and is projected fo have 25 years more of life before major reconstruction is required. However, significant capital investments will be required to reach the 25 years. Necessary improvements to the Lionshead parking structure can be placed in the following categories: Structural/Capital Maintenance: • Repair all the stairs and stairways: $350,000 due next couple of years • Ongoing expansion joint work: $50,000/yr • Top deck slab: re-topping within the next eight years: $2,500,000 • Salt penetration repairs: $150,000 due next couple of years'` • Water infiltration repairs: $250,000 within 5 years • Painting/lighting/system maintenance: $150,000/yr • Parking equipment replacement: now $300,000, also every 5-7 years, will request for 2007 Operational: The current structure does not function well as designed: • Install pay on foot stations: $200,000 • Provide another exit to East Lionshead Circle: $750,000 • Convert the garage to one-way circulation and lose 100 spots: cost to replace the 100 spots: $3,500,000 • Roadway improvements for better ingress/egress: $3,000,000 Code/regulatory: Required improvements to meet current codes will be required with any enhancement or remodel. • Elevator to meet ADA: $400,000 a piece • Sprinkler and detection systems: $1,000,000 • Increase ventilation on certain levels: $350,000 • Egress and. proper emergency access issues: $150,000 Enhancements: Keeping up with the customer expectations, matching the new neighborhood and keeping the Vail experience. • Bathrooms: $500,000 • Information booth: $900,000 • Auxiliary building: $1,700,000 • Heated entry stairs: $1,000,000 verses $300,000 • Elevators: See above • Streetscape: $1,000,000 • New heated streetscape entry/bus plaza: $3,000,000 Expansion: We have stated the need to expand the supply by 400 spaces. • 400 new spaces: $12,000,000 Currently, some of the structural and capital maintenance issues are budgeted over the next 5 years (*). Operational issues are not budgeted except the possibility of roadway improvements using Tax Increment Financing (TIF) funds. Enhancements are not budgeted except to use TIF funds for streetscape and entry plaza. The conference center, if approved, would have addressed all these issues with the exception of the topping slab, one-way circulation, the information booth and expanded capacity by only 250 spaces verses 400 spaces. The revised capital budgets for 2007-2010 will need to reflect increased costs to take care of the shortcomings. C. Criteria for a Final Selection On September 5, 2006 the Council approved the following criteria (which is based on the original goals of the RFP). Regulatory Criteria Compliance with Lionshead Mixed Use Zoning, Conformance to design guidelines in the Lionshead Redevelopment Master Plan, Compliance with affordable housing policy. Circulation and Parking • Replacement of existing parking without affecting parking availability in the ski season, • Mitigation of lost parking during the construction of the parking facility, • Number of additional public parking spaces (beyond 1,150 spaces) provided upon completion of construction, • Provide for loading and delivery for the site and surrounding area, • Provide for mass transit access to the Lionshead area, • Enhance circulation for pedestrians and vehicles, • Provide necessary improvements to Frontage Road in compliance with CDOT standards. Uses • Number of "live beds" and degree to which they provide diversity to the Vail bed base, • Provide retail opportunities on East Lionshead Circle which complement existing retail areas, • Provide public amenities: recreation, entertainment, event/meeting facilities proposed on the site, • Provide a new Lionshead information center, • Consideration of the relocation for the Youth Recreation Center, Colorado Mental Health, and other tenant uses. Financial Considerations • Financial return to the Town through lease payments, air rights purchase or other payments, • Town's financial commitment for construction and maintenance of public improvements, • Financial viability of the project, • Financial capability of the developer to construct and operate the project, • Financial guarantees for timely completion. Environmental/Carrying Capacity • Overall environmental sensitivity and ability to achieve an established environmental certification for the design and construction of the facility, • Overall innovation and creativity. Legal Ownership structure for the parking facilities and private improvements, Contractual arrangements necessary forjoint ownership and operation of public amenities, Assurance of completion and operational commitments. Staff and consultants will review the proposals and make a recommendation . to Council regarding the extent to which each proposal meets the criteria. The Council will make a final decision in its sole judgment as to which proposal is in the best interests of the Town. The Council will reserve the right to reject all proposals. I11. ACTION REQUESTED FROM COUNCIL A. Scope of Service for a Financial Critique/Analysis of the two development proposals On November 21, 2006, the Town Council received input from the public and requested that the proposals be reviewed and critiqued by a financial expert that could review the financial viability of the proposals and the proposed financial public benefits and risks of each proposal. To ensure that a final product meets with the Town Council's goals for this review, Staff prepared a request for proposals with a scope of services (See attachment A). Staff would request that Council provide input on the scope of services and direct staff to issue the RFP and retain the services of a qualified financial consultant to review the two proposals. Staff would return on January 2, 2007, with a budget request for completing the financial analysis. Staff would ask for the authority to retain a qualified candidate within the requested budget requested on January 2, 2007. B 2"a Appraisal of the Lionshead Parking Structure Also on November 21, the Town Council asked that a second appraisal be perFormed Based on recommendations given to Staff and prices received from appraisers, Staff would recommend Rocky Mountain Appraisers complete an appraisal of the land. Staff is requesting that Council authorize staff to retain Rocky Mountain Appraisers to complete an appraisal with a not to exceed budget of $9,000. C. Schedule of Proposed Next-Steps The following is a series of next steps with several opportunities for public input and involvement. December 5th Staff request to obtain additional resources to perform due diligence on the two development proposals. December 12, 2007 Meeting between Town of Vail and Vail Resorts on Lionshead Parking Structure RFP. January 2, 2007 Development teams will respond by this date to final questions from the Town Council and staff. Questions for example (but not limited to the following) include: 1. Identifying where off-site employee housing would be located. 2. Providing documentation on how dwelling units or dwelling unit lock-offs would be managed in a rental pool 3. Providing information on how completion of construction of public parking would be guaranteed on-time and then how completion of the overall. project would be guaranteed. 4. Providing additional documentation on how any financial subsidy required for the civic center use would be addressed by the developer. 5. Any additional ideas to address the comments from the Town Council and the public. No additional information will be accepted by the developers after this date unless specifically required by the financial analyst chosen by the Town to critique the two proposal. January 5, 2007 Selection of a financial analyst to evaluate proposals February 6, 2007 Presentation of appraisals, financial analysis and staff recommendation to the Vail Town Council. F:\cdev\COUNCIL\MEMOS\061LionsheadParking Structure Council Memo 120506.doc Town of Vail Request for Proposals Afinancial-critique and analysis of two proposals to redevelop the existing Lionshead parking structure in Vail, Colorado, as a mixed use development providing over 1150 public parking spaces December 6, 2006 1. BACKGROUND In May 2006, the Town of Vail issued a request for proposals for qualified development teams to propose amixed-use plan for redevelopment of the Town of Vail owned Lionshead parking structure. The Town of Vail owns and operates an 1150 space parking structure and an unimproved charter bus parking lot located at 395 South Frontage Road in Vail, Colorado. This site is 6.6 acres in size and is located in the Lionshead Redevelopment Master Plan Area which is one of two pedestrian-oriented retail areas in Vail. In addition, this site is included in the Lionshead Urban Renewal Area. Lionshead is currently experiencing a major redevelopment with the new Arrabelle mixed-use project as well as redevelopment of several surrounding condominium projects. Lionshead is at the heart bf Vail's $1 billion renewal. In the last year, private developers have approached the Town of Vail and proposed redevelopment of the Lionshead parking structure to accommodate both public and private uses. To ensure a fair and equitable process, the Town issued a "Request for Proposals" to solicit development proposals which meet the project goals of the Town for this site. In September of this year two developers, East West Partners and Open Hospitality Parnters/Hillvvood submitted proposals to the attached RFP. This Request for Proposals seeks a qualified financial analyst to critique and analyze the two development proposals. 2'. PROJECT GOALS: The attached RFP for the development of the project includes the overall goals of the project. The following are project goals for a financial critique of the two proposals: A. Review the financial capability of the two developers to determine if they have the financial capability to complete their respective proposals. B. Evaluate the proposed financing structure to determine its overall ability to be financed. C. Critique and evaluate, using independent verification, the feasibility of the public benefits that are being proposed. D. Provide a side by side comparison of the financial benefits of each teams public benefit. E. Identify other opportunities to further maximize the' public benefit either through alternative financing or through other mechanisms to eliminate risk to the Town in executing this public private partnership. 3. PROJECT REPORT A. Submit a confidential written report regarding your findings to Town Council addressing each of the Project Goals on February 1, 2007. B. Provide an oral summary of the findings to Town Council on February 6, 2007. 3. MINIMUM QUALIFICATION TO SUBMIT A PROPOSAL The Town is accepting proposals to perform a financial critique and analysis of the two developers proposing to redevelop the Lionshead Parking Structure. A "Respondent" to this RFP must satisfy the following conditions (the "Qualification Conditions"): • The Respondent (by itself or together with its affiliates) must have first-class experience and expertise in developing and analyzing the financial feasibility of public/private projects. • Have a proven ability to analyze and critique the financing for a large multi- million public-private deal in the market place. 4. SUBMITTAL REQUIREMENTS Please submit in writing the following: A. Statement of Qualification: Provide a statement of qualification that describes the team to be involved in the financial analysis. This statement should include similar projects and references from those same projects. Other specific information shall include: 1) Identify the specific individuals and their qualifications that will be involved in this project; 2} Highlight strengths of team; 3) Describe team's expertise as it pertains to the delivery of a financial analysis. 4) Provide a list of previous projects which are similar to the scope of service requested in this RFP and references for those projects. B. Cost Estimate for a financial analysis and critique of each proposal. This cost estimate should include the following scope of work: A. Review the financial capability of the two developers to determine if they have the financial capability to complete their respective proposals. B. Evaluate the proposed financing structure to determine its overall ability to be financed. C. Evaluate the financial guarantee that is being offered to ensure completion of the project on time. D. Critique and evaluate, using independent verification, the feasibility of the public benefits that are being proposed. E. Provide a side by side comparison of the financial benefits of each team's public benefit. F. Identify any direct or indirect financial risks to the Town of Vail poised by either proposal. G. Identify other opportunities to further maximize the public benefit either through alternative financing or through other mechanisms to eliminate risk to the Town in executing this public private partnership. The selected financial consultant will be provided the proposals submitted by both teams and a preliminary financial comparison of both teams prepared by Town staff. All respondents shall provide 5 copies of their qualifications and cost proposal by 5:00 p.m. on December 29, 2006. The proposals shall include the cost, methodology, and time frame to complete the above mentioned tasks along with a date for final delivery. All correspondence and questions should be directed to: Russell Forrest Director Community Development Department 75 Frontage Rd Vail, CO 81657 970-479-2146 Email: rforrest@vailgov.com 5. SCHEDULE: RFP Issued December 6, 2006 Proposal submittal due by 5:00 p.m. on: December 29th, 2006 Candidate Selection January 5, 2006 Desired Time for Report February 1, 2006 Dates are subject to change. Active candidates will be notified. via email or in writing of any date or time changes. 6. GENERAL CONDITIONS Limitations and Award: This RFP does not commit the Town. of Vail to award or contract, nor to pay any costs incurred in the preparation and submission of qualifications in anticipation of a contract. The Town of Vail reserves the right to accept or reject all or any submittal received as a result of this request, to negotiate with all qualified sources, or to cancel all or part of the RFP. After a priority listing of the final firms is established, the Town of Vail will negotiate a contract with the first priority firma If negotiations cannot be successfully completed with the first. priority firm, negotiations will be formally terminated and will be initiated with the second most qualified firm and, likewise, with the remaining firms. Selection: Initial evaluation will be based upon the qualifications of the applicant. The Town of Vail reserves the right to not interview, and to make final consultant selection based upon the qualification statements and cost estimate. Equal Employment Opportunity: The selected consultant will not discriminate against any employee or applicant for employment because of race; color, religion, sex, or national origin. F:\cdev\RUSS\Projects\Lionshead Parking RFP\RFPs\FinancialRFP.doc F:\cdev\RUSS\Projects\Lionshead Parking RFP\RFPs\FinancialRFP.doc 10 t MEMORANDUM T0: Vail Town Council FROM: Community Development Department DATE: November 21, 2006 SUBJECT: First Reading of Ordinance No. 30, Series of 2006, an ordinance establishing Special Development District No. 40, The Willows, and setting forth details in regard thereto. , Applicant: The Willows Condominium Association, represented by Triumph Development, LLC Planner: Elisabeth Reed I. DESCRIPTION OF THE REQUEST The applicant, .The Willows Condominium Association, represented by Triumph Development, LLC, is requesting a first reading of Ordinance No. 30, Series of 2006, an ordinance establishing Special Development District No. 40, The Willows, and setting forth details in regard thereto. The purpose of Ordinance No. 30, Series of 2006, is to facilitate the redevelopment of The Willows Condominiums, located at 74 Willow Road. The staff and applicant are requesting that the Town Council listen to a presentation on the proposed ordinance and approve Ordinance No. 30, Series of 2006, upon first reading. II. BACKGROUND On November 13, 2006, the Town of Vail Planning and Environmental Commission held a public hearing on a request to establish Special. Development District No. 40, The Willows. The applicant received approval for the establishment of a new special development district with the following deviations: • A deviation from the density requirements including: 0 18 dwelling units (not including EHU) proposed vs. 12 dwelling units allowed by underlying zoning; 0 32,240 square feet of Gross Residential Floor Area (GRFA) proposed vs. 16,069 square feet of GRFA allowed by underlying zoning. • 14,110 square feet (66.7%) of site coverage proposed vs. 11,629 square feet (55% of site) of site coverage allowed by underlying zoning; and • Deviations from the front, side and rear setbacks. Upon consideration of the request, the Commission voted 4-1-0 (Pierce opposed) to 1 ,~ forward a recommendation of approval of the request to the Vail Town Council. The Commission's recommendation of approval includes five (5) conditions, as outlined in Section 4 of Ordinance No. 5, Series of 2006. The Commission's recommendation of approval includes the following findings: "That the proposal to establish Special Development District No. 40, The Willows, complies with the nine design criteria outlined in Section 12-9A-8 of the Vail Town Code. Furthermore, the applicant has demonstrated to the satisfaction of the Commission, based upon the testimony and evidence presented during the public hearing, that any adverse effects of the requested deviations from the development standards of the underlying zoning are outweighed by the public benefits provided. Lastly, the Commission finds that the request is consistent with the development goals and objectives of the Town. Wifh regard to proposed building sefbacks, That: a. Proposed building setbacks provide necessary separation between buildings and riparian areas, geologically sensitive areas and other environmentally sensitive areas. b. Proposed building setbacks comply with applicable elements of the Vail Village Urban Design Guide Plan and Design Considerations. c. Proposed building setbacks will provide adequate availability of light, air and open space. d. Proposed building sefbacks will provide a compatible relationship with buildings and uses on adjacent properties. e. Proposed building setbacks will result in creative design solutions or other public benefits that could not otherwise be achieved by conformance with prescribed setback standards. With regard to proposed Gross Residential Floor Area, that: a. The proposed gross residential floor area of 200% of the allowable, and the additional six dwelling units over the allowable, or 150% of the allowable number of units in the High Density Multiple Family zone district, are in conformance with applicable elements of the Vail Comprehensive Plan. With regard to proposed site coverage, that: a. Though the proposed site coverage of 67% of the site exceeds that which is allowed within the High Density Multiple Family zone district, the proposed above grade, or perceived, site coverage of 50% of the site area is in conformance with the 55% site coverage allowance within the High Density Multiple Family zone district and is in conformance with the applicable elements of the Vail Comprehensive Plan. That the development is in compliance with the purposes of the High Density Multiple Family zone district, that the proposal is consistent with applicable elements of the Vail Village Master Plan, the Vail Land Use Plan, the Vail Streetscape Master Plan, 2 ~~ Iv. and the Vail Village Urban Design Guide 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." ZONING ANALYSIS Staff has performed a zoning analysis of The Willows redevelopment proposal which can be used for comparison purposes. The following is the zoning analysis of the proposal the PEC recommended approval of with conditions on November 13, 2006. The deviations to the prescribed development standards are shown in bold text in the table below. Development Standard Allowed Existing Proposed Lot Area: 10,000 sq. ft.(min.) 0.4854 acres (21,144 sq. ft.) no change Setbacks: Front: 20 feet 8 feet 11' (above grd.) Side: 20 feet 4 feet 7.5' (above grd.) Rear: 20 feet 5.5 feet 6.2' (above grd.) Bldg. Height: 45 ft. flat/mansard 48 feet 48 feet 48 ft. sloping Density: 12 dwelling units 28 dwelling units 9 Dwelling Units (+5 Lock offs) 9 Timeshare Units 1 EHU GRFA: 16,069 sq. ft. 18,607 sq. ft. 32,240 sq. ft. (76% of site area) (115% of allowable GRFA) (200% of allowable GRFA) Site Cvge: 11,629 sq. ft. (55%) 12,638 sq. ft. (-60%) 14,110 sq. ft. (~67%) Land. Area: 6,343 sq. ft. (30%) 2,848 sq. ft. (~13%) 8,540 sq, ft. (40%) Parking: FFU = 0.7 sp/unit 42 spaces 29 spaces DU = 1.4 sp/unit EHU = 1.4 sp/unit 20.3 total spaces req'd DISCUSSION ITEMS Staff believes there are several items regarding the adoption of Ordinance 30, Series of 2006, which require a discussion with the Town Council in order to gain feedback. Those items are as follows: 3 ,r • Does the Town Council believe the employee housing requirement asked of the developer by the Planning and Environmental Commission is appropriate considering recently assessed employee housing requirements of other proposals to the. Town of Vail? The applicant originally proposed to provide six Employee Housing beds, one in the form of an onsite Employee Housing Unit, and five (5} others via a buy down or eventual pay-in-lieu program. Because four fewer employees will be generated by the proposed development than the existing Willows, this proposal was not the result of an employee housing requirement, but was a part of the developer's public benefit program. Based on employee generation rates historically used by the Town, which are based on net new employees generated, the developer would be under no obligation to provide any employee housing units or beds. However, the Planning and Environmental Commission generally believed that the applicant's. proposal fora public benefit of six employee beds was not sufficient. • Does the Town Council have any comments and feedback regarding the remaining public benefits proposed to the Town, including streetscape work and the provision of public art? As a part of the public benefit proposal, the applicant is proposing to complete the streetscape along Willow Road from Vail Road to the intersection adjacent to Checkpoint Charlie with an eight foot (8') pedestrian paver treatment and a new twelve foot (12') asphalt automobile lane. The applicant is also proposing to allocate $70K to the provision of public art, whether on or off site, which specifics will be determined together with the applicant and the Art in Public Places Board. • Any other comments or suggestions on Ordinance 30, Series of 2006? V. STAFF RECOMMENDATION The Community Development Department recommends that the Vail Town Council approves Ordinance No. 30, Series of 2006. Vl. ATTACHMENTS A. Ordinance 30, Series of 2006 B. Copy of the Staff Memorandum to the Planning and Environmental Commission dated November 13, 2006 and the proposed plans for redevelopment dated November 6, 2006. C. Comparison of recently approved developments/EHU requirements 4 t~ TOWN COIINCIL Attachment A ORDINANCE NO. 30 Series of 2006 AN ORDINANCE ESTABLISHING SPECIAL DEVELOPMENT DISTRICT N0.40,THE WILLOWS, PURSUANT TO ARTICLE A, SPECIAL DEVELOPMENT (SDD) DISTRICT, CHAPTER 9, TITLE 12, ZONING TITLE, TOWN CODE OF VAIL, AND SETTING FORTH DETAILS IN REGARD THERETO. WHEREAS, Title 12, Zoning Title, Chapter 9, Article A, Special Development (SDD) District, Town Code of Vail establishes a procedure for establishing special development districts; and WHEREAS, The Willows Condominium Association and Triumph Development, LLC, have submitted an application to the Town of Vail Community Development Department to establish Special Development District No. 40, The Willows, to facilitate the redevelopment of an existing residential development; and WHEREAS, the Planning and Environmental Commission of the Town of Vail held a public hearing on November 13, 2006, on the application to establish Special Development District No. 40, The Willows, in accordance with the provisions of the Town Code of Vail; and .WHEREAS, upon due consideration, the Planning and Environmental Commission of the Town of Vail found that the request complies with the design criteria prescribed in the Title 12, Zoning Regulations, Vail Town Code, and furthers the development objectives of the Town of Vail; and WHEREAS, the Planning and Environmental Commission of the Town of Vail has forwarded a recommendation of approval with conditions by a vote of 4-1-0 of this request to establish Special Development District No. 40, The Willows, to the Vail Town Council; and WHEREAS, the Vail Town Council finds thatthe request to establish Special Development District No. 40, The Willows, complies with the design criteria prescribed in the Title 12, Zoning Title, Town Code of Vail; and provides a harmonious, convenient, workable relationship among land uses consistent with municipal development objectives; and WHEREAS, the Vail Town Council considers it in the interest of the public health, safety, and welfare to adopt Ordinance No. 30, Series of 2006, and establish a new special development district in the Town of Vail NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF VAIL, COLORADO, THAT: Section 1. District Established Special Development District No. 40, The Willows, is established for development on a parcel of land, legally described as Lot 8, Block 6, Vail Village 1St Filing, which comprises a total of 21,144 square feet (.4854 acres) in the Vail Village area of the Town of Vail. Said parcel may be referred to as "SDD No. 40". Special Development District No. 40 shall be Ordinance No. 30, Series 2006 ;,~ reflected as such on the Official Zoning Map of the Town of Vail. The underlying zoning for Special Development District No. 40, The Willows, shall be High Density. Multiple Family (HDMF) District. Section 2. Special Development District No. 40, .The Willows, Approved Development Plan An approved development plan is the principal document in guiding the development, uses and activities of a special development district. The Vail Town Council finds that the Approved Development Plan for Special Development District No. 40, The Willows, complies with each of the requirements set forth in Sections 12-9A-5 and 12-9A-6 of the Town Code of Vail. The Approved Development Plan for Special Development District No. 40, The Willows, shall be comprised of materials submitted in accordance with Section 12-9A-5 of the Town Code of Vail and those plans prepared by Resort Design Associates, entitled "Th~ Willows", dated November 6, 2006, and stamped approved November 13, 2006. -~~~~ Section 3. Development Standards In conjunction with the Approved Development Plan described in Section 2 herein, the following development standards are hereby approved by the Vail Town Council. These standards are incorporated in the Approved Development Plan to protect the integrity of the development of Special Development District No. 40, The Willows. The development standards for Special Development District No. 40, The Willows, are described below: 1. A. Permitted, Conditional, and Accessory Uses: The permitted, conditional, and accessory uses a{lowed in Special Development District No. 40, The Willows, shall be those uses listed in Title 12, Chapter 6, Article H, High Density Multiple Family zone district, Town Code of Vail, as may be amended from time to time. B. .Lot Area: The minimum lot area for Special Development District No. 40, the Willows, shall be 21,144 square feet (.4854 acres). C. Setbacks: The minimum setbacks for Special Development District No. 40, The Willows, shall be as indicated on The Willows Approye~ Development Plan, described in Section 2 herein. ~~ ; ,j ~r ~„" ~' ~,~' i' r,r1J~ ~s r D. Height: The maximum allowable building height fo ~Spe ial Development District No. 40, The W illows shall be forty eight feet (48') and as indicated on The Willows Approved Development Plan, described in Section 2 herein. E. Density Control: The maximum allowable Gross Residential Floor Area (GRFA) for Special Development District No. 40, The Willows, shall be 32,240 square feet and the maximum allowable density shall be nine (9) dwelling units, nine (9) timeshare units, one (1) onsite Employee Housing Unit, with potential for five (5) lock-off units, as indicated on The Willows Approved Development Plan, described in Section 2 herein. F. Site Coverage: The maximum allowable site coverage shall be sixty six and seven tenths percent (66.7%) or 14,110 square feet of the total lot area, and as indicated on The Willows Approved Development Plan, described in Ordinance No. 30, Series 2006 2 Section 2 herein. G. Landscaping and Site Development: At least forty and three tenths percent (40.3%) of the total site shall be landscaped. The minimum width and length of any area qualifying as landscaping shall be fifteen (15) feet with a minimum area of not less than three hundred (300) square feet. The landscaping and site development shall be as indicated on The Willows Approved Development Plan, described in Section 2 herein. H. Parking and Loading: Off street parking and loading shall be provided in accordance with title 12-10 of the Vail Town Code. At least seventy five percent (75%) of the required parking shall be located within the main building or buildings and hidden from public view or shall be completely hidden from public view from adjoining properties within a landscaped berm. The minimum number of loading and delivery bays shall be one (1) as indicated on The Willows Approved Development Plan, described in Section 2 herein. Section 4. Conditions of Approval The following conditions of approval shall become part of the Town's approval of the ~. establishment of Special Development District No. 40, The Willows: r. The Developer shall address the following conditions of approval prior to appearing before ": ,I 1..~` _ the Vail Town Council for second reading of an adopting ordinance for the establishment of ~ S ecia/ Develo ment District No. 40 The Willows: ~ ~ p p ~, ~, ~v~V ~f u~,~ ~'~ 1. The Developer shall prepare a written agreement, for Town Council review and ,Y' , ~~,^~~ ~~, approval, outlining the responsibilities and requirements of the stated public benefits, as V indicated within this memorandum. This agreement shall include, but not be limited to, the t~ ~ry ^ provision of one Employee Housing Unit onsite, which shall be allocated for sole use by The `J ~ ~ 1~~~ Willows Condominium Association; the provision of eleven (11) employee beds offsite, ,'~ U" ~~ provided through the "buy down program"and averaging five hundred (500) square feet per ~ ~ bed in units with at least two bedrooms; all streetscape improvements along Willow Road, ,,~' ~~ including an eight foot (8) paver sidewalk for pedestrians and a twelve foot (12) wide right- of-way lane; and details for $70K of public art, which location shall be determined by the applicant and reviewed with the Art in Public Places Board. The Developer shall address the following conditions of approval prior to submitfing a building permit application (a grading permibexcavation permit shall constitute a building permit): 1. The Developer shall comply with all outstanding final comments of the Town of Vail Public Works Department outlined in the attached memorandum dated October 20, 2006. 2. The Developer shall ensure that the proposed redevelopment plans comply with all requirements of the Town of Vail Fire Department. The Developer shall address the following conditions of approval prior to requesting a temporary certificate of occupancy or a final certificate of occupancy: Ordinance No. 30, Series 2006 3 ,~ 1. The Developer shall. commence initial construction of the Willows improvements within three years from the time of its final approval at second reading of fhe ordinance establishing Special Development Districf No. 40, and continue diligently toward the completion of the project. If the developer does not begin and diligently work toward the completion of the special development district or any stage of the special development district within the time limits imposed, the approval of said special development district shall be void. The Planning and Environmental Commission and Town Council shall review the special development district upon submittal of an application to reestablish the special development district following the procedures outlined in Section 12-9A-4, Vail Town Code. 2. The Developer shall provide one deed-restricted housing unit onsite that complies with the Town of Vail Employee Housing requirement,~(Chap~er` 7~2.~13), and is allocated for sole use by The Willows Condominium Association and secure eleven (11) additional beds within the Town of Vail through the buy down progr m, averaging fiV~ hundred (500) square feet per bed in units with at /easf two bedrooms, a tated in the vGritten agreement to be drafted for the passage of Special Development Distric -e Section 5. If any part, section, subsection, sentence, clause or phrase of this ordinance is for any reason held to be invalid, such decision shall not effect the validity of the remaining portions of this ordinance; and the Vail Town Council hereby declares it would have passed this ordinance, and each part, section, subsection, sentence, clause or phrase thereof, regardless of the fact that any one or more parts, sections, subsections, sentences, clauses or phrases be declared invalid. Section 6. The Vail Town Council hereby finds, determines and declares that this ordinance is necessary and proper for the health, safety and welfare of the Town of Vail and the inhabitants thereof. The Council's finding, determination and declaration is based upon the review of the criteria prescribed by the Town Code of Vail and the evidence and testimony presented in consideration of this ordinance. Section 7. The amendment of any provision of the Town Code of Vail as provided in this ordinance shall not affect any right which has accrued, any duty imposed, any violation that occurred prior to the effective date hereof, any prosecution commenced, nor any other action or proceeding as commenced under or by virtue of the provision amended. The amendment of any provision hereby shall not revive any provision or any ordinance previously repealed or superseded unless expressly stated herein. Section 8. A11 bylaws, orders, resolutions and ordinances, or parts thereof, inconsistent herewith are repealed to the extent only of such inconsistency. This repealer shall not be construed to revise any bylaw, order, resolution or ordinance, or part thereof, theretofore repealed. INTRODUCED, READ ON FIRST READING, APPROVED, AND ORDERED PUBLISHED ONCE IN FULL ON FIRST READING this 21St day of November, 2006 and a public hearing for second reading of this Ordinance set for the 5t day of December, 2006, at Ordinance No. 30, Series 2006 ~, i. ~ 6:00 p.m. in the Council Chambers of the Vail Municipal Building, Vail, Colorado. ATTEST: Lorelei Donaldson, Town Clerk Rodney E. Slifer, Mayor Ordinance No. 30, Series 2006 5 TOWN COUNCIL 3 ~ Attachment B MEMORANDUM TO: Planning and Environmental Commission FROM: Department of Community Development DATE: November 13, 2006 SUBJECT: A request for recommendation to the Vail Town Council of a proposal to establish Special Development District No. 40, pursuant to Article 12-9{A), Special Development Districts, Vail Town Code, to allow for the redevelopment of The Willows Condominiums located at 74 Willow Road/Lot 8 Block 6, Vail Village Filing 1St Filing, and setting forth details in regard thereto (PEC06-0061). Applicant: The Willows Condominium Association, lnc., represented by Triumph Development, LLC Planner: Elisabeth Reed L SUMMARY The applicant, The Willows Condominium Association, Inc., represented by Triumph Development, LLC, is requesting a recommendation from the Planning and Environmental Commission to the Vail Town Council regarding a proposal to establish Special Development District No. 40, The Willows, pursuant to Article 12-9(A), Special Development Districts, Vail Town Code, to allow for the redevelopment of The Willows Condominiums, located at 74 Willow Road/Lot 8, Block 6, Vail Village Filing 1St Filing. Upon review of the applicable elements of the Town's planning documents and. adopted criteria for review, the Community Development Department recommends that the Planning and Environmental Commission forwards a recommendation of approval, with conditions of the applicant's request to establish Special Development District (SDD) No. 40, The Willows, to the Vail Town Council. A complete summary of the Staff's review is provided in Section VII of this memorandum. II. DESCRIPTION OF THE REQUEST The applicant, The Willows Condominium Association, represented by Triumph Development, LLC, met with the Planning and Environmental Commission on September 25, 2006 for a worksession to present a proposed redevelopment application and two requests: one for the establishment of a new special development district intended to facilitate the redevelopment of The Willows Condominiums, and the second for review of a conditional use permit, to allow for the "construction of timeshare estate units and timeshare license units", located at 74 Willow Road/Lot 8, Block 6, Vail Village 1st Filing. Since that time, the applicant has submitted an additional application for review by the PEC of a request to construct a Type III Employee Housing Unit as a Conditional Use upon the property. 1 The key elements of the proposal to create Special Development District No. 40 are as follows: • Demolition of existing structure and construction of a new structure; • Nine (9) new 2-bedroom Timeshare Units; • Nine (9) new Whole Ownership Units with five (5) lock-off unit options; • One (1) new onsite Employee Housing Unit; • Front desk, lobby, porte cochere, library, pool, courtyard, spa, guest/owner ski storage, below grade parking structure, and other amenities. As part of the Special Development District request, the applicant is proposing the following deviations from the underlying High-Density Multiple-Family (HDMF) zoning district: A deviation from the density requirements including: 1. Number of dwelling units; 2. Amount of Gross Residential Floor Area (GRFA). Deviations from the front, side and rear setbacks; and, A deviation from the allowable site coverage. A complete zoning analysis of the site has been provided in Section IV of this memorandum, A vicinity map has been attached for reference (Attachment .A) as has the applicant's request and a reduced copy of the floor plans and elevations (Attachments 6 and C). III. BACKGROUND The existing building of the Willows Condominiums was built in 1971 and is in need of many repairs and upgrades, including but not limited to the following: • Demolition or extensive repair of the parking decks; • Installation of a fire sprinkler system; • Upgrades to the mechanical systems within the building; • Renovation of all units and common spaces; and, • Renovation to the exterior of the building. Because the building was constructed using a concrete "T" system; any renovations or upgrades would compromise the already low (7', 6") head height. Considering the type of existing construction and the non-conformities of the existing building and site, the applicant and The Willows homeowners have chosen a proposal to demolish and rebuild the building instead. The Willows Condominium building currently houses twenty eight (28) units; twenty seven (27) one bedroom, 596 square foot units and one (1) studio unit that is 446 square feet in size. The units are owned by 26 different owners, with each owner allotted thirty days of summer use and thirty days of winter use per year. When units are unoccupied, they are placed into an active rental pool. The applicant has undergone one worksession with the Planning and Environmental Commission on September 25, 2006. A comprehensive list of the Commission's primary 2 concerns follows: Regarding deviations and public benefits: • The Commission asked that more thought be paid to the provision of public benefits to offset the requested deviations. • Several of the Commission members suggested that more Employee Housing Units be provided, buf in another location. This would include the Unit proposed within the building itself. However, other members disagreed with that suggestion, stating that the vitality of the Village was better preserved through onsite Employee Housing Units. • The Commission strongly urged further consideration of the setback deviations being requested. Egress issues become more of a problem with less of a setback as do safety separation, snow storage, review and constructability of future development proposals, and other issues. One member felt that such encroachments of the building would be better allowed below grade only. Others felt that some height deviations maybe considered if the setbacks were to be improved simultaneously. Regarding architecture/site design: • The Commission requested renderings of all facades to be provided for study by the next meeting. • One member of the Commission encouraged the natural transition of grades across property lines in order fo make property lines indecipherable. • Better integration of the exit staircases into the building's design was mentioned by several members. • Some concern was expressed regarding the possible eventual widening of Vail Road • There was strong support of maintaining some architectural continuity with the rest of the neighborhood. • One member asked that all trees to be removed be tagged prior to the next meeting. Regarding the proposal in general: • The Commission was quite interested that incentives to rent continue to be proposed and that the number of hot beds be maintained, if not increased, within the core of the Village. • One member of the Commission commented that the proposed provision of a front desk should be portrayed as more of a benefit than was currently being portrayed. 3 • Many of the Commission members requested that Staff analyze the build-out potential of all the surrounding properties on Willow Circle to better decipher the effect which currenbproposed deviations may have on the neighborhood. Furthermore, the applicant met with the Town of Vail Design Review Board for a conceptual .review on Wednesday, November 1, 2006. The Board commented on the following items at the time of that review: • Much attention will be paid by the Board to the preservation of existing landscaping, the promised arborist's report, and the final landscaping plan to ensure proper screening and appropriate site treatment. • The Board expressed concern regarding the site design. It was thought that less site coverage may be possible if the "U" shape of the building was defined differently. IV. The development proposal is scheduled for review by the Board on December 6, 2006, provided that a recommendation of approval is forward to the Town Council by the Planning and Environmental Commission. ZONING ANALYSIS The proposed deviations to the prescribed development standards outlined by the underlying zone district, High Density Multiple Family, are listed in bold font. Zoning: High Density Multiple Family (HDMF) Land Use Plan Designation: Village Master Plan Current Land Use: Village Master Plan Address: 74 Willow Road/Lot 8, Block 6, Vail Village 1St Filing Development Standard Allowed Existin Proposed Lot Area: 10,000 sq. ft.(min.) 0.4854 acres (21,144 sq. ft.) no change Setbacks: Front: 20 feet 8 feet 11' (above grd.) Side: 20 feet 4 feet 7.5' (above grd.) Rear: 20 feet 5.5 feet 6.2' (above grd.) Bldg. Height: 45 ft. flat/mansard 48 feet 48 feet 48 ft. sloping Density: 12 dwelling units 28 dwelling units 9 Dwelling Units (+5 Lock offs) 9 Timeshare Units 1 EHU GRFA: 16,069 sq. ft. 18,607 sq. ft. 32,240 sq. ft. (76% of site area) (115% of allowable GRFA) (200% of allowable GRFA) 4 Site Cvge: 11,629 sq. ft. (55%) 12,638 sq. ft. (~60%) 14,110 sq. ft. (~67%) Land. Area: 6,343 sq. ft. (30°l0) 2,848 sq. ft. (~13°l0) 8,540 sq. ft. (40°l0) Parking: FFU = 0.7 sp/unit 42 spaces 29 spaces DU = 1.4 sp/unit EHU = 1.4 sp/unit 20.3 total spaces req'd V. SURROUNDING LAND USES AND ZONING* Land Use Zonin North: Residential High Density Multiple Family South: Residential Two-Family Primary/Secondary East: Residential High Density Multiple Family West: Residential Two-Family Primary/Secondary (*See Attachment D for specific development standards of surrounding properties) VI. ROLES OF REVIEWING BOARDS Special Development District Order of Review: Generally, applications will be reviewed first by the PEC for impacts of use/development, then by the DRB for compliance of proposed buildings and site planning, and final approval by the Town Council. Planning and Environmental Commission: The PEC shall review the proposal for and make a recommendation to the Town Council based upon the findings made on the criteria located in Chapter 12-9A, Special Development District, Vail Town Code. Design Review Board: The DRB has. no review authority on a SDD proposal, but must review any accompanying DRB application. The DRB review of an SDD prior to Town Council approval is purely advisory in nature. Staff: The staff is responsible for ensuring that all submittal requirements are provided and plans conform to the technical requirements of the Zoning Regulations. The staff also advises the applicant as to compliance with the design guidelines._Staff provides a staff memo containing background on the property and provides a staff evaluation of the project with respect to the required criteria and findings, and a recommendation on approval, approval with conditions, or denial. Staff also facilitates the review process. Town Council: The Town Council takes into consideration the PEC's recommendation when reviewing an application for a special development district and is responsible for final approval/denial of an SDD. The Town Council shall review the proposal and approve/approve with conditions/deny the application based upon the findings made on the criteria located in Chapter 12-9A, Special Development District, Vail Town Code. VII. THE SPECIAL DEVELOPMENT DISTRICT DESIGN CRITERIA Chapter 12-9 of the Town Code provides for the establishment of special development 5 districts in the Town of Vail. According to Section 12-9A-1, the purpose of a special development district is, "To encourage flexibility and creativity in the development of land, in order to promote its most appropriate use; to improve the design character and quality of the new development within the Town; to facilitate the adequate and economical provision of streets and utilities; to preserve the natural and scenic features of open space areas; and to further the overall goals of the community as stated in the Vai! Comprehensive Plan. An approved development plan for a Special Development District, in conjunction with the property's underlying zone district, shall establish the requirements for guiding development and uses of property included in the Special Development District." An approved development plan is the principal document in guiding the development, uses, activities and public benefits of the Special Development District (SDD). The development plan shall contain all relevant material and information necessary to establish the parameters to which the special development district shall adhere. The development plan may consist of, but not be limited to: the approved site plan; floor plans, building sections, and elevations: vicinity plan; parking plan; preliminary open space/landscape plan; densities; and permitted, conditional, and accessory uses. The determination of permitted, conditional and accessory uses shall be made by the Planning and Environmental Commission and Town Council as part of the formal review of the proposed development plan. Unless further restricted through the review of the proposed SDD, permitted, conditional and accessory uses shall be limited to those permitted, conditional and accessory uses in the property's underlying zone district. The Town Code provides nine design criteria which shall be used as the principal criteria in evaluating the merits of the proposed SDD. It is the burden of the applicant to demonstrate that submittal material and the proposed development plan comply with each of the following standards, or demonstrate that one or more of them is not applicable, or that a practical solution consistent with the public interest has been achieved. Following, is a staff analysis of the compliance with the nine SDD review criteria of the Willows Condominium Association's request: A. Compatibility: Design compatibility and sensitivity to the immediate environment, neighborhood and adjacent properties relative to architectural design, scale, bulk, building height, buffer zones, identity, character, visual integrity and orientation. The Willows site is located within a neighborhood of three to four story residential buildings which have been developed or redeveloped over the years with minimal buffer zones, but which .have each maintained a unique intimate neighborhood identity, ah alpine character, similar visual integrity, and orientation to either the mountain at the south or the creek to the north. A description of the specific development statistics of the surrounding properties has been attached for reference (Attachment D). The design of The Willows redevelopment proposal is quite compatible with that of its neighbors, in part due to the fact that Bishop Park and 44 Willow Place are products of the same architectural entity responsible for the design of The Willows proposal. The scale of the proposed building is sensitive to and similar to that of surrounding buildings, 6 which range from occupying one half a city block (The Edelweiss) to appearing as single family dwellings (Bishop Park). The height of the proposed building (48') is very similar to that of surrounding buildings, which range from three to four stories. Regarding compatibility, the proposed building is similar to its surroundings partially because it includes some encroachment into the setbacks, similar to that of each of its neighbors, and less of a buffer zone than the underlying zone district requires. Many of the surrounding buildings are located within mere feet of the property lines. However, the neighborhood has been able to maintain its intimate residential feel as a result. Buffer zones have instead been provided through mature landscaping and variation of the building facades. The applicant has paid specific attention to the portions of the structure which overhang the setbacks and also approach neighboring buildings, particularly along the eastern (Riva Ridge South) and western (44 Willow Place) property lines and has designed a large courtyard and swimming pool along the eastern property line, partially to provide a "buffer zone" of sorts between the new building and its nearest neighbor (see Attachment E for illustration of the transformation of the site plan entitled "Different Design Outlines"). The subterranean improvements along the northern property line remain the greatest encroachment of the proposal, seconded by the encroachment into the setbacks along Vail Road at the southern property line. However, this area is less sensitive to design compatibility since no structures exist along the south of the property. At this time, the amount of Gross Residential Floor Area located within the setbacks is 10,097 square feet, or 31 % of the amount of proposed GRFA (32,240 square feet). The architectural design of The Willows redevelopment is governed by the Design Guidelines prescribed in Chapter 11, Design Review, of the Vail Town Code and by the recommendations Vail Village Master Plan. The proposed architectural design of the development is intended to be compatible with the unique European alpine village character prescribed for Vail Village. The exterior design of the development is a mixture of stone, stucco, wood, and copper which will be much better integrated into the surroundings than the existing brick and stucco building. Many of the design details are yet to be determined, as the Design Review Board has only reviewed the project conceptually. However, Staff believes that additional work with the Design. Review Board will ensure optimal synchronicity with the surrounding architectural themes. Staff believes that the proposed project is compatible with and sensitive to the immediate environment and neighborhood relative to design, scale, bulk, building height, buffer zones, identity, character, visual integrity and orientation because of the similarity of the design and placement of the building on its site to the design and placement of surrounding buildings on their sites. B. Relationship: Uses, activity and density which provide a compatible, efficient and workable relationship with surrounding uses and activity. The proposed uses, activities, and density for The Willows development site provide a compatible, efficient and workable relationship with surrounding uses and activity. The uses proposed within the new building are similar to what exists today and include multiple family dwelling units, which are a permitted use; timeshare units, which are a conditional use; and an Employee Housing Unit, which is also a conditional use (see 7 table below for employee housing requirements). Surrounding properties include multiple family dwellings and short term rental units as well. Therefore, similar activity levels will result from the proposal as result today from the existing Wiliows building and its neighbors. The High Density Multiple Family (HDMF) district is intended to provide sites for multiple family dwellings at densities of twenty five (25) units per acre. The proposal to construct a multiple-family residential dwelling building with eighteen units per half acre exceeds that which is allowed. However, the overall density upon the site will be reduced; from 28 units to 18 dwelling and timeshare units and 1 Employee Housing Unit. Regardless, per Attachment D and the following section of the Urban Design Guide Plan, higher densities than are allowed by the underlying zone district are quite common, and even expected, in the Willows neighborhood. Although immediately adjacent to the mixed use developments found in the Commercial Core and Mixed Use sub-areas, the willow circle sub-area has retained an exclusively residential character. Condominium developments have occurred on all but one of the sub-area's parcels and many of these properties are actively "short-termed" to overnight guests. In most cases, parking has been provided in underground structures. This design feature, coupled with the Town-owned open space (Willow Circle- Park), contributes to the pleasing appearance of this area. In most cases, the levels of development throughout this sub-area greatly exceed what is allowed under existing zoning (High Density Multi-Family). Gross residential floor area ratios (GRFAR) range from .6 to 1.3, with an average of 1.01. With the exception of one parcel, all properties within this sub- area are, developed at, or over, their permitted levels of development. As such, there is little development potential left in this sub-area. Residential uses dominate-this sub-area and are proposed to continue with the exception of one potential commercial space at the east end of the sub-area facing Willow Bridge Road. This concept is discussed further under Sub Area 2.2. Staff believes the uses (including the Employee Housing Unit, details below) and activity level resulting from the proposed Willows redevelopment are clearly compatible with those of surrounding uses and activity levels. Though the amount of GRFA exceeds what is allowed, Staff believes that the proposed density (1.5 FAR) is relatively compatible to the density levels expected in the Urban Design Guide Plan within this area. Employee Housing as a use is addressed further below. Employee Housing Assessment As indicated in a number of the goals and objectives of the Town's Master Plans, providing affordable housing for employees is a critical issue which is appropriately addressed through the review process of SDD proposals. In reviewing the proposal for employee housing needs, staff relies on the Town of Vail Employee Housing Report. The Employee Housing Report was prepared for the Town by the consulting firm Rosall, 8 Remmers and Cares and provides the recommended ranges of employee housing units needed based on the type of use and the amount of floor area dedicated to each use. The guidelines contained within the report were used most recently in the reviews of the Austria Haus, Marriott, Four Seasons, Manor Vail Lodge, SDD No. 6/Vail Village Inn, and the SDD No. 39/Crossroads development proposals. The figures identified in the report are based on surveys of the ,commercial-use employment needs of the Town of Vail and other mountain resort communities. As of the drafting of the report, Telluride, Aspen and Whistler, B.C. had "employment generation" ordinances requiring developers to provide affordable housing for a percentage of the new employees resulting from commercial development. "New" employees are defined as the incremental increase in employment needs resulting from commercial redevelopment. Every community uses a different percentage to determine the amount of housing a developer must provide for its employees. Vail has. conservatively determined that if a project is proposed at, or below, the density allowed by the underlying zone district, the 15% (0.15) figure is used. When a project is proposed to exceed the density allowed by the underlying zone district, the 30% (0.30) figure is used in the calculation. However, because the number of dwelling units upon the Willows site will be reduced by ten, there was actually a reduction in the number of employees generated. Four (4) fewer employees than are currently generated will fulfill the proposed needs and uses of the site. Proposed Willows Project Employee Generation Calculations -Middle of Range a) Multi-Family (Dwelling Units) 18 new units proposed @ (0.4/unit) = 7.2 employees Existing Willows Project Employee Generation Calculations -Middle of Range a) Multi-Family (Dwelling Units) 28 units existing aC~. (0.4/unit) = 11.2 employees Total net new = - 4 employees The applicant has no obligation to provide any employee housing units or beds because the housing requirement is only applied to developments for which an employee generation will occur. However, the applicant is proposing that one of the public benefits of the project include the addition of one new onsite Employee Housing Unit and five new employee beds elsewhere in the Town. This number was generated by the applicant's desire to house 100% of the employees required for the scope of the new project. Using the Town's calculation that the average employee within the Town holds 1.3 jobs, the site creates a need for 5.5 employee beds (7.2 employees divided by 1.3 jobs each). The applicant will deed restrict the units appropriately, depending upon the zone districts in which the purchased properties are located. The off site employee housing beds will be provided through the purchase of units throughout Town (the "buy down" program) or through a pay-in-lieu program, if established by the Town prior to requesting a Temporary Certificate of Occupancy (TCO). 9 Staff believes that the proposal for additional employee beds will be of substantial benefit to the Town. C. Parking and Loading: Compliance with parking and loading requirements as outlined in Chapter 12-10 of the Vail Town Code. The proposed redevelopment plan complies with the parking and loading requirements outlined in Chapter 12-10. As indicated in the Zoning Analysis outlined in Section VI of this memorandum, the total number of required parking spaces for The Willows redevelopment project is 21 spaces (rounded up from 20.3 spaces). The applicants are proposing to provide a total of 29 below grade parking spaces. The applicant is proposing to fulfill its loading and delivery requirement through the provision of one loading "bay", which is to be located at the porte cochere entrance to the north of the building. The proposed area will be accessed from Willow Road. In a memorandum to the applicant dated October 20, 2006 (Attachment F), the Public Works Department outlined several outstanding items to be resolved. The applicant has since verified compliance with most of these issues, with the exception of the width of the driveway entrance and related signaling for ingress/egress and automobile safety reasons. Attachment G includes a reduced copy of the applicant's possible solution to this issue pending Public Works approval. Staff has addressed remaining Public Works issues as a condition of approval, to be resolved to the satisfaction of the Public Works Department prior as part of the request to establish a new SDD. Staff believes that the application sufficiently complies with this criterion. D. Comprehensive Plan: Conformity. with the applicable elements of the Vail Comprehensive Plan, Town policies and Urban Design Plan. The goals contained in several of the Town's comprehensive, guiding documents are applicable during the review process for the establishment of a Special Development District. Staff has reviewed the Comprehensive Plans and outlined the applicable plan sections below as relevant to the review of this proposal. Vail Land Use Plan (in part) 1.0 General Growth/Development 1.1 Vail should continue fo grow in a controlled environment, maintaining a balance between residential, commercial and recreational uses to serve both the visitor and the permanent resident. ___-. - . - .,- ._ 1.3 The quality of development should be maintained and upgraded whenever possible. ~~ 1.12 Vail should accorpmodate most of the additional growth in existing developed areas(~infill.areas). 10 3.0 Commercial 3.1 ,'The hofel`, bed base should be preserved and used more efficiently.: 3.2 The Village and Lionshead areas are the best location for hotels to serve the future needs of the destination skiers. _.. 3.3 Hotels are important to:the continued success of the Town of Vail, therefore conversion tq condominiums`should be discouraged. ',~ 3.4 Commercial growth should be-concenfrated in existing commercial areas to accommodate both local and visitor needs. 4.0 Village Core /Lionshead 4.2 /ncreas d density~fn the Core areas is acceptable so long as the existing~haracter of each area is preserved thorough implementation of the Urban Design Guide Plan. 4.3 The ambiance of Vail Village is important to the identity of Vail and should be preserved. (scale, alpine character, small town feeling, mountains, natural setting, intimate size, cosmopolitan feeling, environmental quality.) 5.0 Residential 5.1 dditional.~ residential growth should continue to occur. primarily in e fisting; platted areas and as appropriate in new areas where high hazards-do not exist. 5.2 Quality time share units.,~should be accommodated to help keep 5.3 (fordable employee housing should be made available through p 'vate .efforts,.-assisted by limited incentives, provided by the Town of Vail with appropriate restrictions. 5.4 Residential growth should keep pace with the marketplace demands for a full range of housing types. 5.5 . - The exis ing employee housing base should be preserved and C upgrade Additional employee housing needs should be accommodated at varied sites throughout the community. Staff Response: Staff believes that the outlined sections of the .Vail Land Use Plan are being met, as the proposed development includes a balanced mix of residential uses, high quality redevelopment of the existing site, infill 11 development withi increased density, quality time share affordable beds. Vail Village Master Plan (in part) n the Village area, a better use of the bed base, maintenance of Vail's ambiance, the provision of units, and provisions (via public benefit) for six new The applicant's proposed redevelopment site is located within the "Vail Village Master Plan" land use category. Staff believes that the following stated goals of the Vail Village Master Plan are applicable to this application: Goal #1: Encourage high quality redevelopment while preserving the unique architectural scale of the Village in order to sustain its sense of community and identity. Objective 1.2: Encourage the upgrading and redevelopment of residential and commercial facilities. Objective 1.3: Enhance new development and redevelopment through public improvements done by private developers working in cooperation with the Town. Policy 1.3.1: Public improvements shall be developed with the working participation of the private sector working with the Town. Goal #2: To foster a strong tourist industry and promote year-around economic health and viability for the Village .and for the community as a whole. Objective 2.3: Increase the number of residential units available for short term overnight accommodations. Policy 2.3.1 The development of short term accommodation units is strongly encouraged. Residential units that are developed above existing density levels are required to be designed or managed in a manner that makes them available for short term overnight rental. Objective 2.5: Encourage the continued upgrading, renovation and maintenance of existing lodging and commercial facilities to better serve the needs of our guests. Policy 2.5.1; Recreation amenities, common areas, meeting facilities and other amenities shall be preserved and enhanced as a part of any redevelopment of lodging properties. Policy 2.5.2: The Town will use the maximum flexibility possible in the interpretation of building and fire codes in order to facilitate building renovations without compromising life, health, and safety considerations. Objective 2.6: Encourage the development of affordable housing units through the efforts of the private sector. Policy 2.6.1: Employee housing units maybe required as part of any new or redeveloped project requesting density over that allowed by existing 12 zoning. Policy 2.6.2: Employee housing shall be developed with appropriate restrictions so as to insure their availability and affordability to the local work force. Policy 2.6.3: The Town of Vail may facilitate in the development of affordable housing by providing limited assistance. Goal #3: To recognize as a top priority the enhancement of the walking experience throughout the Village. Objective 3.1: Physically improve. the existing pedestrian ways by landscaping and other improvements. Policy 3.1.1: Private development projects shall incorporate streetscape improvements (such as paver treatments, landscaping, lighting and seating areas), along adjacent pedestrian ways. Policy 3.1.2: Public an` shall be encouraged at appropriate locations throughout Town. Policy 3.1.3: Flowers, trees, water features, and other landscaping shall be encouraged throughout the Town in locations adjacent to, or visible from, public areas. Objective 3.4: Develop additional sidewalks, pedestrian-only walkways and accessible green space areas, including pocket parks and stream access. Policy 3.4.2: Private development projects shall be required to incorporate new sidewalks along streets adjacent to the project as designated in the Vail Village Master Plan and/or Recreation Trails Master Plan. Goal #5: Increase and improve the capacity, efficiency, and aesthetics of the transportation and circulation system throughout the Village. Objective 5.1: Meet parking demands with public and private parking facilities. Policy 5.1.1: For new development that is located outside the Commercial Core I Zone District, on-site parking shall be provided (rather than paying into the parking fund) to meet any additional parking demand as required by the zoning code. Policy 5.1.3: Seek locations for additional structured public and private parking. Policy 5.1.5: Redevelopment projects shall be strongly encouraged to provide underground or visually concealed parking. 13 Goal #6: To ensure the continued improvement of the vital operational elements of the Village. Objective 6.1: Provide service and delivery facilities for existing and new development. Objective 6.2: Provide for the safe and efficient functions of fire, police and public utilities within the context of an aesthetically pleasing resort setting. Policy 6.2.1: Development projects and other improvements in Vail Village shall be reviewed by respective Town Departments to identify both the impacts of the proposal and potential mitigating measures. Staff Response: Staff believes that the goals, objectives and policies of the Vail Village Master Plan are being met through the upgrading and redevelopment of the Willows facilities; through the provision of public improvements via private developers; an increase in the number of residential uses within the Village which are above allowable density, but which are available for short term rental; the development of an affordable housing unit and the provision of five more affordable beds; physical improvements to the pedestrian experience; the provision of public art; on-site concealed required parking;- and service and delivery facilities that will improve automobile and pedestrian circulation and interaction along Willow Road. 14 ,,r..--_,~.. ~.........~...,,. r- ~ . -- Although immediately adjacent to the mixed use developments found in the Commercial Core and Mixed Use sub-areas, the willow circle sub-area has retained an exclusively residential character. Condominium developments have occurred on all but one of the sub-area's parcels and many of these properties are actively "short-termed" to overnight guests. In most cases, parking has been provided in underground structures. This design feature, coupled with the Town-owned open space (Willow Circle Park), contributes to the pleasing appearance of this area. In most cases, the levels of development throughout this sub-area greatly exceed what is allowed under existing zoning (High Density Multi-Family). Gross residential floor area ratios (GRFAR) range from .6 fo 1.3, with an average of 1.01. With the exception of one parcel, all properties within this sub-area are, developed at, or over, their permitted levels of development. As such, there is lift/e deveoopmenf potential left in this sub-area. Residential uses dominate this sub-area and are proposed to continue with the exception of one potential commercial space at the east end of the sub-area facing Willow Bridge Road. Staff Response: Staff believes that the residential character specified for this area, the 15 WILLOW CIRCLE SUB-AREA (#2) proposed short term rental opportunities, underground parking, and high density residential uses are each congruent with the goals of the Master Plan as they were stated for the Willows Circle Sub Area. Vail Village Urban Design Guide Plan and Design Considerations (in part) Certain. aspects of the Vail Village Urban Design Guide Plan and Design Considerations apply to The Willows redevelopment site. Only those sections which Staff found applicable to The Willows redevelopment proposal are outlined below. 1. URBAN DESIGN CONSIDERATIONS These considerations relate to general, large-scale land use planning issues, as well as form considerations which affect more than one property or even whole areas. These considerations are primarily the purview of the Planning and Environmental Commission. A. PEDESTRIANIZATION A major objective for Vail Village is to encourage pedestrian circulation through an interconnected network of safe, pleasant pedestrian ways. Many of the improvements recognized in the Urban Design Guide Plans, and accompanying Design Considerations, are to reinforce and expand the quality of pedestrian walkways throughout the Village. Since vehicular traffic cannot be removed from certain streets (bus routes, delivery access), a totally care-free pedestrian system is not achievable throughout the entire Village. Therefore, several levels of pedestrianization have been identified (illustration outlined in Plan and not included in this memorandum). Staff Response: An aspect of The Willows redevelopment public benefit involves providing an improved pedestrian experience through the construction of a paver walk and new asphalt drive lane. Additionally, the applicant is proposing to remove loading and delivery from Willow Road by constructing a porte cochere at the entry to the site. Staff believes that the "Pedestrianization" goal of the Urban .Design Considerations is being upheld in this redevelopment proposal and its associated public benefits (see Attachment H for streetscape details). C. STREETSCAPE FRAMEWORK To improve the quality of the walking experience and give continuity to the pedestrian ways, as a continuous system, two general types of improvements adjacent to the walkways are considered: 7. Open space and landscaping, berms, grass, flowers and tree planting as a soft, colorful framework linkage along pedestrian routes; and plazas and park greenspaces as open nodes and focal points along those routes. 16 It is not intended to enclose all Village streets with buildings as in the core areas. Nor is it desirable to leave pedestrian streets in the open in somewhat undefined condition evident in many other areas of Vail. Rather, it is desired to have a variety of open and enclosed spaces, both built and landscaped, which create a strong framework for pedestrian walks, as well as visual interest and activity. Staff Response: Staff believes that the "Streetscape Framework" along Willow Road will be improved, through the architectural variation of the north edge of the building and roof ridges, the increased setback from Willow Road (from 15' to 23' at the main entrance to the building) and the proposed streetscape improvements. E. STREET EDGE Buildings in the Village core should form a strong but irregular edge to the street. Unlike many American towns, there are no standard setback requirements for buildings in Vail Village. Consistent with the desire for intimate pedestrian scale, placement of portions of a building at or near the property line is allowed and encouraged to give strong definition to the pedestrian streets. This is not fo imply continuous building frontage along the property line. A strong street edge is important for continuity, but perfectly aligned facades over too long a distance tends to be monotonous. With only a few exceptions in the Village, slightly irregular facade lines, building jogs, and landscaped areas, give the life to the street and visual interest for pedestrian travel Where buildings jog to create activity pockets, other elements can be used to continue the street edge: low planter walls, tree planting, raised sidewalks, texture changes in ground surface, arcades, raised decks. Plazas, patios, and green areas are important focal points for gathering, resting, orienting and should be distributed throughout the Village with due consideration to spacing, sun access, opportunities for views and pedestrian activity. Staff Response: Staff believes that the "Street Edge" as specified in the Urban Design Considerations will be preserved through "irregular facade lines, building jogs, landscaped areas", low walls, front-facing patios, and other architectural aspects of the proposed. plan. Additionally, the porte cochere will further vary the street edge, which Staff believes is congruent with this aspect of the Design Considerations. 17 SUN /SHADE Due to Vail's alpine climate, sun is an important comfort factor, especially in winter, fall and spring. Shade areas have ambient temperatures substantially below those of adjacent direct sunlight areas. On all but the warmest of summer days, shade can easily lower temperatures below comfortable levels and thereby, negatively impact use of those areas. All. new or expanded buildings should not substantially increase fhe spring and fall shadow line (March 21 -September 23) on adjacent properties or the public right-of--way. In all building construction, shade shall be considered in massing and. overall height consideration. Notwithstanding, sun/shade considerations are not intended to restrict building height allowances, but rather to influence the massing of buildings. Limited height exceptions may be granted to meet this criterion. Staff Response: The applicant has submitted asun/shade analysis- which reflects the shadow of the proposed Willows building at three separate times of the year; March, September, and December (Attachment I). It appears that the most notable areas of new shading will occur along the 44 Willow Road building and property during the winter months. This increased shading is likely a result of the increased mass of the building at the southern half of the property, replacing the area that is currently designated to the above grade parking structure. Staff believes that the uses "underneath" the newly shaded uses will not be negatively affected, because the shadows primarily occur over the driveway aisle entrance to the new Willows building (which drive is heated) and along the property line of 44 Willow Road, which does not appear to be a common pedestrian or use corridor. Regarding the spring and fall shadow lines, Staff believes that since the height of the proposed building is essentially the same as the height of the existing building, the shadows cast during those seasons will primarily occur upon the Willows property, with some shadow overlap onto the 44 Willow Road property. Overall, Staff believes that the sun/shade analysis will not negatively impact the use of the affected areas. 2. ARCHITECTURE/LANDSCAPE CONSIDERATIONS ROOFS Where visible, roofs are often one of the most dominant architectural elements in any built environment. In the Village roof form, color and texture are visibly dominant, and generally consistent, which tends to unify the building diversity to a great degree. The current expression, and objective, for roofs in the Village is to form a consistently unifying backdrop for the architecture and pedestrian streetscape, and to avoid roofs, which tend to stand out individually or distract visually from the 18 overall character. Roof Forms Roofs wifhin the Village are Typically gable in form and of moderate-to-low pitch. Shed roofs are frequently used for small additions to larger buildings. Freestanding shed roofs, butterfly roofs and flat roofs can be found in the Village but they are-generally considered to be out of character and inappropriate. Hip roofs likewise are rare and generally inconsistent with the character of the Core Area. Towers are exceptions, in both form and pitch, to the general, criteria, but do have an established local vernacular style, which should be respected. Pitch Roof slopes in the Village typically range from 3/12 to 6/12, with slightly steeper pitches in limited applications Again, for visual consistency this general 3/12-6/12 range should be preserved. (See Construction below) Overhangs Generous roof overhangs are also an established architectural feature in the Village - a traditional expression of shelter in alpine environments. Roof overhangs typically range from 3 to 6 feet on all edges. Specific design consideration should be given to protection of pedestrian ways adjacent to buildings. Tee falls, snow slides, and runoff hazards can be reduced by roof orientation, gutters, arcades, etc. Overhang details are treated with varying degrees of ornamentation. Structural elements such as roof beams are expressed beneath the overhangs, simply or decoratively carved. The roof fascia is thick and wide, giving a substantial edge to the roof. Compositions The intricate roofscape of the Village as a whole is the result of many individual simple roof configurations. For any single building, a varied but simple composition of roof planes is preferred to either a single or a complex arrangement of many roofs. As individual roofs become more complex, the roof attracts visual attention away from The streetscape and the total roofscape tend toward "busyness" rather than a backdrop composition. Stepped Roofs As buildings are stepped to reflect existing grade changes, resulting roof steps should be made where the height change will be visually significant. Variations which are too subtle appear to be more stylistic than functional, and out of character with the more straightforward roof design typical in the Village. Materials Wood-shakes, wood shingles, and built-up exclusively used as roof materials in the below.) For visual consistency, any other appearance of the above. tow and gravel are almost Village. (See Construction materials should have the 19 Staff Response: The applicant is primarily proposing .gabled roof forms, with the exception of several secondary shed roof forms and one tower element above the entryway to the site. Overhangs occur at every roof edge, with an average overhang of three and a half feet (3 '/2 `). The pitches of the proposed roof range from 2:12 in one area to 12:12 at the tower element, with the majority of forms portraying a 4:12 - 6:12 pitch. The applicant is proposing to locate most of the mechanical equipment within the lower parking structure level. However, all additional mechanical equipment designated for rooftop use will be placed along the single flat portion of the roof and screened by a parapet wall. The screening and design will be discussed further by the Design Review Board. Staff believes that the proposed plans adequately comply with the .Roof guidelines specified within the Design Considerations. FACADES Materials Stucco, brick, wood (and glass) are the primary building materials found in the Village. While not wishing to restrict design freedom over-much, existing conditions show that within this small range of materials-much variation and individuality are possible while preserving a basic harmony. Too many diverse materials weaken the continuity and repetition, which unifies the streetscape. Of the above materials, stucco is the most consistently used material. Most of the buildings in the Village exhibit some stucco, and there are virtually no areas where stucco is .entirely absent. It is intended to preserve the dominance of stucco-by its-use in portions, at least, of all new facades, and by assuring that other materials are not used to the exclusion of stucco in any sub-area within the Village. Color The intent of these regulations regarding color shall be to provide greater latitude in the use of color in Vail Village in order to create visual interest and to enliven the area. Colors used should retain a discernible consistency within a general range of colors relating well to the colors found in the surrounding mountain backdrop of Vail, but need not be specifically found in that environment. All colors used shall relate to the colors of the natural materials found on the buildings like wood tones, slate roof colors, stone colors and the Like. Additionally all building colors shall work with the colors of the buildings in proximity as well as with all natural landscape materials found nearby. While there is no restriction per se on specific hues, primary colors of high chroma shall not be used on building surfaces but can be used in a limited fashion for accents. Body colors, both siding and stucco, shall be rich and lively but must be less chromatic shades, which relate to natural 20 colors and can be either light or dark. All stucco shall have a flat finish. Generally, to avoid both "busyness'; and weak visual interest, the variety of major wall colors (and materials -excluding glass) should not exceed four nor be less than two, A color/material change between the ground floor and the upper floors is a common and effective reinforcement of the pedestrian scale of the street. High chroma colors can be used for signage, accents, doors, canopies, wall graphics and other streetscape (see E. Accent Elements).similar elements as long as they do not dominate either the building they are used on, the adjacent buildings, or the The color schemes for all properties shall be considered on a case-by- case basis. Transparency Pedestrian scale is created in many ways, but a major factor is the openness, attractiveness, and generally public character of the ground floor facade of adjacent buildings. Transparent store fronts are people attractors" opaque or solid walls are more private, imply "do not approach ". On pedestrian-oriented streets such as in the Village, ground floor commercial facades are proportionately more transparent than upper floors. Upper floors are typically more residential, private and thus less open. As a measure of transparency, the most characteristic and successful ground floor facades range from 55% to 70% of the total lengfh of the commercial facade. Upper floors are often the converse 30%-45% transparent. Staff Response: The proposed building is composed of a variety of wood, stucco, and stone, all of which are specified as preferable for use within Village areas. Natural colors will be used, though the specifics of number and location of colors will be discussed between the Design Review Board and the applicant in subsequent meetings. A material change is specified between floors and the amount of transparency at the lower floor is greater than that of above floors, in spite of the lack of any commercial space. Staff believes that the applicant is fully compliant with the "Facades" section of the Urban Design Considerations. WINDOWS In addition to the general degree of transparency, window details are an important source of pedestrian scale-giving elements. 21 The size and shape of windows are often a response fo the function of the street adjacent. For close-up, casual pedestrian viewing windows are typically sized to human-sized dimensions and characteristics of human vision. (Large glass-wall storefronts suggest uninterrupted viewing, as from a moving car. The sense of intimate pedestrian scale is diminished.) Ground floor display windows are typically raised slightly (sic) and do not extend much over 8 feet above the walkway level. Ground floors which are noticeably above or below grade are exceptions. The articulation of the window itself is still another element in giving pedestrian scale (human-related dimensions). Glass areas are usually subdivided to express individual window elements -and are further subdivided by mullions into small panes -which is responsible for much of the old-world charm of the Village. Similarly, windows are most often clustered in banks, juxtaposed with plain wall surfaces to give a pleasing rhythm. Horizontal repetition of single window elements, especially over long distances, should be avoided. Large single pane windows occur in the Village, and provide some contrast, as long as they are generally consistent in form with other windows. Long continuous glass is out of character. Bay, bow and box windows are common window details, which further variety and massing to facades -and are encouraged. Reflective glass, plastic panes, and aluminum or other metal frames are not consistent in the Village and should be avoided. Metal-clad or plastic clad wood frames, having the appearance of painted wood have been used successfully and are acceptable. Staff Response: The architecture of the building includes provision of subdivided glass, which the Considerations point out as integral for Village applications. There is some horizontal replication of glass at the lowest level, an item which Staff will address before the Design Review Board at the appropriate time. Overall, Staff believes that the architecture meets the intent of the "Windows" specifications of the Urban Design Considerations. DOORS Like windows, doors are important to character and scale-giving architectural elements. They should also be somewhat transparent (on retail commercial facades) and consistent in detailing with windows and other facade elements. Doors with glass contribute to overall facade transparency. Due to the visibility of people and merchandise inside, windowed doors are somewhat more effective in drawing people inside to retail commercial 22 facades. Although great variations exist, 25-30% 1 transparency is felt to be a minimum transparency objective. Private residences, lodges, restaurants, and other non-retail establishments have different visibility and character needs, and doors should be designed accordingly. Sidelight windows are also a means of introducing door transparency as a complement or substitute for door' windows. Articulated doors have the decorative quality desired for Vail. Flush doors, light aluminum frames, plastic applique elements all. are considered inappropriate. NOTE: Security is an important design consideration in Vail. Deadbolt locks .are encouraged. Locks, door handles and glass should all be designed to discourage break-ins. Security-design discussions with the Town police staff are encouraged. As an expression of entry, and sheltered welcome, protected entryways are encouraged. Doorways maybe recessed, extended, or covered. Staff Response: The applicant is proposing to construct doors with glass and a porte cochere (i.e. "protected overhang") at the entrance to the building, thus satisfying the "Doors" specifications of the Urban Design Considerations. TRIM Prominent wood trim is also a unifying feature in the Village. Particularly at ground floor levels, doors and windows have strop, contrasting (see Color-Facades) framing elements, which tie the various elements together in one composition. Windows and doors are treated as strong visual features. Glass-wall detailing for either is typically avoided. Staff Response: The applicant is proposing to add wood trim to the fenestration at all levels of the building. Staff believes that the applicant thus satisfies the "Trim" specifications of the Urban Design Considerations DECKS AND PATIOS Dining decks and patios, when properly designed and sited, bring people to the streets, opportunities to look and be looked at, and generally contribute to the liveliness of a busy street, making a richer pedestrian experience than if those streets were empty. A review of successful decks/patios in Vail reveals several common characteristics: - direct sunlight from 11:00 - 3:00 increases use by many days/year and protects from wind - elevated feet fo give views into the pedestrian walk (and not the reverse) 23 -physical separation from pedestrian walk of to (planter better than a wall) overhang gives pedestrian scale/ shelter. Decks and patios should be sited and designed with due consideration to: - sun -views - wind -pedestrian activity Staff Response: According to the submitted elevation drawings, the applicant is proposing to add approximately eighteen (18) decks and two (2) patios to the north side of the building alone. Similar numbers of decks, balconies, and patios are located upon other elevations of the building. Staff believes that the decks proposed upon the building will offer views upon the pedestrian walk at Willow Road at the north elevation, direct sunlight during many days of the year at the south elevation, and physical separation from adjoining residential uses at the east and west elevations. Staff believes that through these provisions, the applicant thus satisfies the "Decks and Patios" specifications of the Urban Design Considerations. BALCONIES Balconies occur on almost all buildings in the Village which have at least a second level facade wall. As strong repetitive features they: - give scale to buildings - give life to the street (when used) - add variety to building forms - provide shelter to pathways below. The prominence of balcony forms. is due to several fairly common characteristics: Color They contrast in color (dark) with the building, typically matching the trim colors (see Facade-Color). Size They extend far enough from the building to cast .a prominent shadow pattern. Balconies in Vail are functional as well as decorative. As such, they should be of useable size and located to encourage use. Balconies less than six feet deep are seldom used, nor are those always in shade, not oriented to views or street life. Mass They are commonly massive yet semi-transparent, distinctive from the building, yet allowing the building to be somewhat visible behind. Solid balconies are found occasionally, and fend to be too dominant obscuring the building architecture. Light balconies lack the visual impact which ties the Village together. 24 Materials Wood balconies are by far fhe most common. Vertical structural members are the most dominant visually, often decoratively sculpted. Decorative wrought iron balconies are also consistent visually where the vertical members are clo_ se enough to create semi-transparency. Pipe rails, and plastic, canvas or glass panels should be avoided. Construction Cantilevered beams, beams extended to support the balcony, are most often visibly exposed on the underside of balconies. As such they are an expression of structure and tie the balconies to the building visually. Staff Response: According to the submitted elevation and plan drawings, the proposed balconies range from three feet (3') to eleven feet (11') in depth, likely of a significant enough depth to cast a shadow. The proposed decks will be constructed of wood, and most will include vertical structural members. Specific aspects of color will be discussed by the Design Review Board. Staff believes that the applicant has satisfied the "Balconies" specifications of the Urban Design Considerations. ACCENT ELEMENTS The life and festive quality of the .Village is given by judicious use of accent elements which give color, movement and contrast to the Village. Colorful accent elements consistent with existing character are encouraged, such as: Awnings and canopies -canvas, bright color or stripes of two colors. Flags, banners -hanging from buildings, poles, and even across streets for special occasions. Umbrellas -over tables on outdoor patios. Annual color flowers - in beds or in planters. Accent lighting -buildings, plazas, windows, trees (even Christmas lights all winter). Painted wall graphics -coats of arms, symbols, accent compositions, etc. Fountains -sculptural, with both winter and summer character. Staff Response: Specific aspects of accent elements will be discussed by the Design Review Board. Staff believes that "Accent Elements" specified within the Urban Design Considerations will be well addressed at that time. LANDSCAPE ELEMENTS Landscape considerations appropriate plant materials. - plant materials - paving - retaining walls include, but go beyond, the placement of Landscape considerations include: 25 - street furniture (benches, kiosks, trash, etc.) -lighting - signage Plant Materials Opportunities for planting are not extensive in the Village, which places a premium on the plant selection and design of the sites that do exist. Framework planting of trees and shrubs should include both deciduous and evergreen species for year round continuity and interest. Native plants are somewhat limited in variety, but are clearly best able to withstand the harsh winter climate, and to tie the Village visually with its mountain setting. Some typical local plant materials include: Trees Shrubs Narrow-leaf Willow cottonwood Dogwood Balsam poplar Serviceberry Aspen Alpine currant Lodgepole pine Chokecherry Colorado spruce Mugho pine Subalpine fir PotentiUa Buffaloberry Paving The freeze/thaw cycle at this altitude virtually eliminates common site- cast concrete as a paving surface (concrete spall). High-strength concrete may work in selected conditions. Asphalt brick (on concrete or on sand), and concrete block appear to be best suited to the area. In general, paving treatments should be coordinated with that of the public R.O. W.~ adjacent. The Town uses the following materials for all new construction: - asphalt -general use pedestrian streets - brick on concrete -feature areas (plazas, intersections, fountains, etc.) Retaining Walls Retaining walls to raise planting area often protects the landscape from pedestrians and snowplows, and should provide seating opportunities. Two types of material are already well established in the Village and should be utilized for continuity. - split-face moss rock veneer -Village Core pedestrian streets (typical) - rounded cobble hidden mortar - in open space areas if above type not already established nearby. (example: Town of Vail entry wall) 26 Wood retaining walls are strongly discouraged due to deterioration caused by the harsh climate. They may be effectively used with appropriate detailing to resist rot and express crafted joint conditions. Li htin Light standards should be coordinated with those used by the Town in the public R.O. W. Si na e Refer to Town of Vail Signage Ordinance. Colorful annuals are used fn key locations throughout the Village to accent pedestrian areas, highlight building entries, and as plaza focii. These color accents can be provided in: - retained planting beds - flower boxes - hanging pots, baskets - ground beds Staff Response: Currently, the applicant has submitted a general landscape plan signifying landscaping between structures at the east and west sides of the property and landscaping along the entire southern property line. Specific landscaping materials have yet to be specified.. However, Staff is confident that "Landscape Elements" will be well addressed to the satisfaction of the Design Review Board at the appropriate time. E. Natural and/or Geologic Hazards: Identification and mitigation of natural and/or geologic hazards that affect the property on which the special development district is proposed. According to the Official Town of Vail Geologic Hazard Maps, The Willows development site is not located in any geologically sensitive areas. Therefore, Staff believes that the application complies with this criterion. F. Site plan, building design and location and open space provisions designed to produce a functional development responsive and sensitive to natural features, vegetation and overall aesthetic quality of the community. The proposed site plan shows the building encroaching into each of the required setbacks .upon the property. However, the site design reflects areas of less encroachment into the sensitive areas between buildings. Additionally, less encroachment now occurs at the above grade portions of the north side of the building than has occurred previously. The areas of greatest encroachment occur at the south side of the property, adjacent to Vail Road. Staff believes that the site plan signifies a functional development that is responsive to natural features and the overall aesthetic quality of the community. 27 The building design is quite similar to that of recently renovated or rebuilt structures in the vicinity. The applicant has stated that each of the notable existing trees upon the site will be able to be maintained throughout construction, though submittal of an arborist's report stating the same is pending, per the Design Review Board's request. The south side of the property is the only area in which some grade change naturally occurs upon the property. However, due to the similar locations of the existing parking structure and the proposed new building, extensive site changes and reconfiguration will be unnecessary. Therefore, Staff has found that the design is responsive and sensitive to natural features, vegetation and the aesthetic quality of the neighborhood. The proposed location of the building upon the site is the result of consideration for both the interest of the existing and future Willows owners as well as the interests of surrounding neighbors to the east and west. The open space areas proposed upon the redeveloped property pay respect to the adjacent property owners and the future owners of the proposed units, particularly the areas of lower height at the west side of the building, and the courtyard area at the east side of the building. Staff believes that the applicant has proposed a responsive and sensitive design upon the subject site. G. Traffic: A circulation system designed for both vehicles and pedestrians addressing on and off-site traffic circulation. The Town of Vail Public Works Department has reviewed the proposed plans for circulation to ensure that the site design and vehicular and pedestrian interaction are satisfactory. Following the review of the plans, the Public Works Department forwarded their written final comments in a memorandum dated October 20, 2006 (Attachment F). Subsequently, an additional .site plan and a revised driveway proposal have been submitted by the applicant, both of which address the comments within that memorandum. Staff has requested that as a condition of approval of this SDD request all remaining items be addressed to the satisfaction of the Public Works Department prior to building permit submittal. Staff is confident that outstanding items will not be of primary importance to the PEC. A traffic report has been submitted by the applicant which addresses weekday peak trip generation rates (Attachment J). An overall decrease in the number of AM and PM peak hour trips will occur with the construction of eighteen (18) dwelling units, ten fewer dwelling units than exist today. The interaction between pedestrians and vehicles along Willow Road is expected to improve due to the applicant's proposal for streetscape improvements, including an eight foot paver pedestrian sidewalk, and a twelve foot newly-paved right-of-way lane. Currently, no curb and gutter or sidewalk exists along Willow Road. Additionally, the proposed Porte cochere will lessen the amount of temporary parking which occurs along Willow Road currently. Staff believes that the applicant has designed a circulation system that will result in improved functionality for both vehicles and pedestrians and which addresses well the issues of on and off site traffic circulation. 28 H. Landscaping: Functional and aesthetic landscaping and open space in order to optimize and preserve natural features, recreation, views and functions. The proposed building is shaped as a "U", providing a large open plaza area at the east side of the property which includes heavy landscaping, the recreational amenity of a pool for owners and guests, and views to and from the mountain. Additional landscaping is being proposed along the northern (front), western, and southern property lines to allow for screening to and from the proposed Willows building. Staff believes that additional meetings with the Design Review Board will allow for even more improvement to the landscaping proposal However, Staff finds that the landscaping proposal, as submitted today, has achieved optimization and preservation of natural features, such as the grade to the rear of the property; recreation, in the provision of an onsite pool and spa; views, both for homeowners towards the mountain and towards the park; and functions for owners and guests of the Condominiums. I. Workable Plan: Phasing plan or subdivision plan that will maintain a workable, functional and efficient relationship throughout the development of the special development district. The applicant is proposing to construct the project in one phase. No subdivision of the property will be necessary to facilitate the development of the project. Staff believes that the proposal complies with this criterion. VIII. STAFF RECOMMENDATION The Community Development Department recommends that the Planning and Environmental Commission forwards a recommendation of approval, with conditions to the Vail Town Council of the development application to establish Special Development District No. 40, The Willows, located at 74 Willow Road/Lot 8, Block 6, Vail Village 15t Filing. Staff's recommendation is based upon a review of the criteria and findings as outlined in this memorandum and from- the evidence and testimony presented. Should the Planning and Environmental Commission choose to forward a recommendation of approval, with conditions, of the applicant's request, staff recommends that the following findings be made as part of the motion: Special Development District No.40, The Willows "That the proposal fo establish Special Development District No. 40, The Willows, complies with the nine design criteria outlined in Section 12-9A-8 of the Vail Town Code. Furthermore, the applicant has demonstrated to the satisfaction of the Commission, based upon the testimony and evidence presented during the public hearing, that any adverse effects of the requested deviations from the development standards of the underlying zoning are outweighed by the public benefits provided. Lastly, the Commission finds that the request is consistent with the development goals and objectives of the Town. 29 With regard to proposed building setbacks, that: a. Proposed building setbacks provide necessary separation between buildings and riparian areas, geologically sensitive areas and other environmentally sensitive areas. b. Proposed building setbacks comply with applicable elements of the Vail Village Urban Design Guide Plan and Design Considerations. c. Proposed building setbacks will provide adequate availability of light, air and open space. d. Proposed building setbacks will provide a compatible relationship with buildings and uses on adjacent properties. e. Proposed building setbacks will result in creative design solutions or other public benefits that could not otherwise be achieved by conformance with prescribed setback standards. With regard to proposed Gross Residential Floor Area, that: a. The proposed gross residential floor area of 200% of the allowable, and the additional six dwelling units over the allowable, or 150% of the allowable number of units in the High Density Multiple Family zone district, are in conformance with applicable elements of the Vai! Comprehensive .Plan. With regard to proposed site coverage, that: a. Though the proposed site coverage of 67% of the site exceeds that which is allowed within the High Density Multiple Family zone district, the proposed above grade, or perceived, site coverage of 50% of the site area is in conformance wifh the 55% site coverage allowance within the High Density Multiple Family zone district and is in conformance with the applicable elements of the Vail Comprehensive Plan. That the development is in compliance with the purposes of the High Density Multiple Family zone district, that the proposal is consistent with applicable elements of the Vail Village Master Plan, the Vail Land Use Plan, the Vail Streetscape Master Plan, and the Vail Village Urban Design Guide 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. " Should the Planning and Environmental Commission choose to recommend approval the applicant's requests, staff recommends the following conditions: The Developer shall address the following conditions of approval prior to appearing before the Vail Town Council for second reading of an adopting ordinance for the establishment of Special Development District No. 40, The Willows: The Developer shall prepare a written agreement, for Town Council review and approval, outlining the responsibilities and requirements of the stated public 30 benefits, as indicated within this memorandum. This agreement shall include, but not be limited to, the provision of one Employee Housing Unit onsite; the provision of five employee beds offsite, provided through contribution to a pay-in- lieu system or purchased through the "buy down program"; all streetscape improvements along Willow Road, including an eight foot (8') paver sidewalk for pedestrians and a twelve foot (12') wide right-of-way lane; and details for a specific provision of public art, which amount and location shall be determined by the applicant and reviewed with the Art in Public Places Board. The Developer shall address the following conditions of approval prior to submitting a building permit application (a grading permit/excavation permit shall constitute a building permit); The Developer shall comply with all outstanding final comments of the Town of Vail Public Works Department outlined in the attached memorandum dated October 20, 2006. 2. The Developer shall ensure that the proposed redevelopment plans comply with all requirements of the Town of Vail Fire Department. The Developer shall address the following conditions of approval prior to requesting a temporary certificate of occupancy or a final certificate of occupancy; The Developer shall commence initial construction of the Willows improvements within three years from the time of its final approval at second reading of the ordinance establishing Special Development District No. 40, and continue diligently toward the completion of the project. If the developer does not begin and diligently work toward the completion of the special development district or any stage of the special development district within the time limits imposed, the approval of said special development district shall be vo'sd. The Planning and Environmental Commission and Town Council shall review the special development district upon submittal of an application to reestablish the special development district following the procedures outlined in Section 12-9A-4, Vail Town Code. 2. The Developer shall provide one deed-restricted housing unit onsite that complies with the Town of Vail Employee Housing requirements (Chapter 12-13) and secure five (5) additional beds within the Town of Vail, as stated in the written agreement to be drafted for the passage of Special Development District No. 40. X. ATTACHMENTS A. Vicinity Map B. Applicant's Request and Application Forms C. Reduced plans of the proposal dated November 6, 2006 D. Adjacent properties development summary E. Different Design Outlines diagram F. Public Works memo dated October 20, 2006. G. Driveway option plan dated November 6, 2006. H. Proposed streetscape drawings dated November 8, 2006. 31 I. Sun/Shade Analysis dated November 7, 2006. J. Traffic report and site distance diagram from Alpine Engineering dated October 12, 2006. K. Gross Square Footage of Units by Floor, dated October 13, 2006. L. Public Notice M. Adjacent owners mailing list N. Letters from Public 32 .r ,,.- r -_ . r -i!~.. ~ r.,;~~~~ ~ F apt ~, <, .r r•~ .-i` ,. • ~ : f~ _ ~ .r " ,.Y, rt'~;', „r~ i 'e.s ~~ ~ .. - ~ i x~°~.~~ _ -.. - .',~`. ~` ~L~~w.~'. ~q s - y ~-,~.J~ ~~-e,,;.a«,.--eu~.ac~~~_. ' . __~r.....~€` ~_..-` `"% ,~.} 'r- ~;~~ ~. ~ ~~ ~. ~ The Willnws , ~~~ J - -. ~~'-s."~'~ .. -,sue, '3 w,b+~ -. '•~, ~:~~vn "~ + y yi ti 4~' ~ r ~,<.~~ t, + - ~; Lot 8, Block 6, Vail Village 1st Filing (74 Willow Road) 1; E~ ~ ~ „ r.~:~ ''~,t~,~w~;[ . ~ ~G '{'fir ~~"Y!~' ~ ~ ~ ,.. t`~, : a :; , " ',."a + ~.. ,, , ~ ~ ~ ~ _ tanning, and ,Environmental Commissiony November 13, 2006 ~,~ f .y k ~~~ V ,~ k , 7f 7~p .~ ~-;, `I v,.' 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Use of this map should he for general purge l J The Town of Vail does not warrant the accuracy of the info- 'ten contains , ~ (part rk is app ~~ Attachment B THE WILLOWS ANEW TOWN OF VAIL SPECIAL DEVELOPMENT DISTRICT October 17, 2006 THE WILLOWS A NEW TOWN OF VAIL SPECIAL DEVELOPMENT DISTRICT Applicant Triumph Development, LLC in partnership with The Willows Condominium Association Inc. Architect Resort Design Associates International Civil Engineer Alpine Engineering, Inc. band Planning Pylman & Associates, Inc. TABLE OF CONTENTS 1.0 Introduction 1. 1.1 Summary of Request l . 1.2 Purpose of Report 2. 2.0 Existing Conditions 3. 2.1 The Willows History 3. 3.0 -Proposed Plan ~ 5• 3.1 Project Description 5• 3.2 Architectural Design 7. 3.3 Utilities 7- 3.4 Detailed Zoning Analysis 8. 3.5 Employee Housing 12. 3.6 Rental Opportunities 14. 3.7 Public Benefits 15 4.0 Special Development District Review Criteria 17. 5.0 Conditional Use Permit Review Criteria 21. 6.0 Town of Vail Comprehensive.Plan and Master Design 23. 7.0 Key Features 27. Attachments: Town of Vail application form Letter of authorization Architectural plans and topographic site survey 1.0 INTRODUCTION 1.1 Summary of Request The Willows Condominiums is truly one of Vail's early residential buildings. Originally developed by Bob Lazier over the span of two years, from 1970 to 1971, the four story brick and stucco clad building has been well maintained but has changed very little over the past 36 years. There is very little ownership turnover in the Willows and most of the owners have been involved in the building, and in the community, for many years. Due to several factors, including,the age of the building, the original construction methods and updated life safety code requirements, the owners are facing a significant capital investment requirement. The Willows Condominium Association has spent considerable time investigating various options and " opportunities. This application represents a request for the establishment of a new Special Development District in the Town of Vail to allow the owners and a development partner, Triumph Development, LLC, to pursue an opportunity to redevelop the Willows building in a manner that addresses the goals of the owners and also addresses many of the goals of the Town of Vail that are articulated in various master planning documents. The existing Willows Condominiums building, like most of the buildings ~in the Willow Circle neighborhood, is non- conforming to almost every development standard of the High Density Multiple Family Zone District (1-IDMF). The applicants believe that this application represents the type of '°flexibility and creativity in the development of land in order to promote its most appropriate use" that the Special Development Zone District was designed to encourage. The owners at The Willows understand that change for the Willows building is necessary yet they also have a deep affinity for their neighborhood and feel very strongly about protecting the existing character of Willow Circle. The owners have worked very carefully with Triumph Development to create a thoughtful solution that will not impact the character of the neighborhood in a negative manner. The redevelopment proposal will not increase the building height and will maintain conformance with the height allowance of the HDMF Zone District. In fact, the new building height will be lower than the existing building in some areas. The proposal results in a net decrease in the number of units on site, increases the amount of landscape area, creates a greater setback from Willow Road and maintains a similar number of actively rented beds. The redeveloped active beds will be a tremendous improvement from the existing accommodations. 1.2 Purpose of Report The purpose of this report is to provide information relative to an application for a Town of Vail Special Development District (SDD) zoning designation and for a Town of Vail Conditional Use Permit (CUP). Submittal requirements for the formal establishment of an SDD and for the review of a Conditional Use Permit are set forth in the Town of Vail development regulations. This application complies with all of the submittal requirements as outlined in the Town of Vail SDD Application Form and CUP Application Form packets. 2 2.0 EXISTING CONDITIONS 2.1 The Willows History The Willows Condominiums are located at 74 Willow Road on Lot 8 Block 6, Vail Village 1~ Filing. The lot size is 0.4854 of an acre (21,144 square feet). The site is bounded on the west by 44 Willow Place, on the east by the Riva Ridge South Condominiums, on the north by Willow Road and on the south by Vail Road. The Bishop Park Special Development District is located just across Willow Road. The four story building consists of twenty-seven identica1596 square foot Qne- bedroom units and one studio unit of 446 square feet. The upper three floors each have eight of the one-bedroom units located off of a central comdor with an exit stair located at each end of the building. The ground level consists of three of the identical 596 square foot one-bedroom units, aone-bedroom managers apartment, a management office, a small hot tub and sauna room and a front desk'and common lobby area. An elevator in the lobby adjacent to the west stair tower also provides access to the upper floors. The building construction technique utilized apre-stress concrete "T" beam system for the building floors/ceilings. This type of concrete structural system limits the ability to make any kind of significant remodel or upgrade to the existing building. The existing floor to ceiling clear height to the bottom of the concrete "T's " is seven foot six inches. The building does not have a fire suppression sprinkler system. The concrete structural system will make the installation of a fire sprinkler system very difficult and will be both expensive and unsightly. The seven foot six inch clearance height would most likely be further compromised. The exterior brick and stucco skin of the building has been well maintained but it no longer meets the level of quality. of building materials of the immediate neighborhood. The rear yard of the lot is occupied by a two-story open air concrete parking structure that has approximately forty-two spaces. This thirty-six year old parking deck has significant structural issues and is a candidate for complete removal and reconstruction in the near future. The existing building isnon-conforming to almost every development standard of the High Density Multiple Family Zone District (HDMF). The HDMF Zone District allows a density of twenty-five units per acre. This equates to an allowable density of twelve units on the 0.4854-acre site. The existing building consists of twenty-eight units. The building or the parking structure encroach well into every required setback, the site coverage exceeds the 55% maximum, the minimum landscape requirement of 30% of the site area is not even close to 3 conformance and the building exceeds the allowable GRFA limitation. The only HDMF development standard that is met by the current building is the 48' building height. The Willows Condominiums has always been governed by a very interesting and unique set of condominium association documents and covenants. The twenty-eight units are each owned in fee simple. There are currently twenty- six owners, with two owners each holding title to two units. The condominium declarations restrict the owner of each unit to thirty days of summer use and thirty days of winter use. All of the other time the units are placed in an actively managed rental pool. Each unit owner is a partner in the Willows Management Company, which provides the management, marketing and rental operations. Each of the twenty-seven one-bedroom units is identical in floor plan and in decor. Since the completion of the building in 1971 all of the units have been maintained and furnished in an identical manner. Owners have not, and are not allowed to, make any individual upgrades or to conduct remodels of their own unit. In fact, while using the property, owners often stay in the most desirable unit. available and not necessarily in the unit to which they actually hold title. Since all of the units are finished and furnished in an identical manner the upper floor mountainside units tend to be favored. This type of condominium declaration is fairly unique and appears to be a predecessor to the fractional fee concept. 4 3.0 PROPOSED PLAN 31 Project Description The Willows Condominium Association and Triumph Development have spent the better part of the past year carefully studying remodel and redevelopment opportunities that would address the needs of the building, and the various goals and objectives of the homeowners, Triumph Development, the neighbors and the Town of Vail. The relatively near term building needs include: • a complete demolition and reconstruction of the~parking decks. • installation of a fire sprinkler system to meet current building codes and Town of Vail Fire Department requirements. • a significant upgrade or complete replacement of the electrical, heating and ventilation system. • a complete renovation of the interior of all twenty-eight units and all common spaces. • an upgradelreplacement of the original brick and stucco exterior building facades. The overwhelming majority of existing owners wish to retain some ownership and use of the building. However, the scope of improvements required, the capital investment required and the difficulties of working with the existing concrete structural "T" system to upgrade units and common areas create an overwhelming task for a homeowners association to address. This coupled with the realization that after all that capital investment and construction effort, the owners would still each have a 596 square foot unit with a seven foot six inch ceiling height has led to a conclusion that the best course of action for the owners is to redevelop the site to a standard appropriate to the neighborhood and the community. The fact that no individual owner has invested significant~sums of money in specific remodel projects or is emotionally vested in a particular unit location lends itself well to this type of group consensus. There are probably very few if any other condominium buildings in V ail that have a similar set of circumstances. The Triumph Development, LLC and Willows Condominium Association partnership proposes to completely remove and replace the existing twenty-eight 5 unit building with a new building that will include nine two-bedroom fractional fee units and nine whole ownership units. The nine fractional units will be divided as 1/4 shares, resulting in thirty-six available shares. Each of the existing Willows twenty seven 596 square foot, thirty-six year old one-bedroom units and the 446 square foot studio unit will be exchanged for one 1/4 share fractional fee ownership of a brand new beautifully finished two-bedroom unit of approximately 1200 square feet in size. The existing Willows Condominium Association will receive title to the remaining two units (eight 1/4 shares). Although these shares may eventually be sold to individual buyers the initial concept is that the Willows Condominium Association will hold these shares for several years and place them in the active rental pool. All nine of the fractional units will be subject to a similar use restriction as the existing Willows units. The owner of each 1/4 share will be allowed four weeks of summer use and four weeks of winter use. The remaining four weeks of each 1/4 share will be placed in the rental pool. The Willows Association will continue to operate an active rental and management program. The nine whole ownership units will be marketed for sale. Five of the whole ownership units have been designed to include a bedroom with lock-off capability. Each of the five lock-offs may be accessed and rented separately from the primary unit. The redeveloped Willows building also includes an on-site Employee Housing Unit. This unit, located in a very desirable ground floor corner of the building, is designed as a 670 square foot one-bedroom unit. This EHU will be subject to the standard Town of Vail EHU deed restriction and will be made available for sale. The new building will also include a full front desk operation, a common lobby area and a separate library room. The design includes an extensively landscaped courtyard with a swimming pool and spa facility. This pool garden will be a tremendous amenity to the site and will be a focal point for both guests and owners. The new Willows will consist of three and four story building forms and will not exceed the building height allowance of the existing HDMF Zone District. The building will actually be lower than the existing building in some areas. The redesign will also pull the building back further from the street, increasing the front setback area. Existing landscape wall improvements will be removed from the street right-of-way. The area available for landscaping treatment is significantly increased and all required parking will be located in a completely enclosed parking garage directly below the building. 6 3.2 Architectural Design Resort Designs Associates International is the project architect for the redeveloped Willows building. Gordon Pierce, Principal of RDAI, is the lead design architect for the project. Gordon has designed many of the most notable buildings in Vail Village and is well versed in the design style that forms the fabric of the Vail Village urban design pattern. Gordon also designed two of the adjacent buildings to the Willows, 44 Willow Place and the Bishop Park Special Development District. The architectural design of the proposed building will be a dramatic upgrade from the original Willows building in style, form and materials. The intent of the design is to establish a high level of quality and character that is sensitive to the neighborhood and pays tribute to the alpine design style of Vail Village. The three and four story building heights create a simple but varied form that is very compatible with adjacent buildings. The building is designed with a strong stone base, stuccoand wood materials on the main massing forms and a steep well articulated roofline with gable dormers and hip roof forms at the building ends. The building forms provide articulation across the facade and the well- developed window patterns and the wood railings of the numerous balconies provide for interesting and welcoming elevations. The stone, shicco and wood siding materials, the generous roof overhangs, the wood balcony railings and the small pane, true divided light window elements are all consistent with the Vail Village Urban Design Plan and with the established character of Vail Village. A covered porte-cochere creates a focal point for the front door and provides a weather protected entrance. This creates a significantly improved check-in and loading function and will reduce congestion caused by cars temporarily parking on Willow Road during the check-in procedure. 3.3 Utilities Water and sanitary sewer mains are located within Willow Road and should be adequate to serve the redeveloped building. Alpine Engineering, Inc. is the project engineer and will work closely with town staff and the utility service providers to ensure appropriate utility connections are designed and implemented. Natural gas, cable television and telephone services are all available at the site. 7 3.4 Detailed Zoning Analysis A. Proposed Uses The HDMF Zone District allows for multiple family residential units and lodges including accessory eating, drinking, recreational or retail uses not occupying more than 10% of the total GRFA. The HDMF district also allows a fairly lengthy list of Conditional Uses, including fractional fee units. The historic use of the Willows property has been residential with a unique form of covenant controlled usage. The Willows redevelopment proposal maintains the residential use of the property. There will`be no commercial component to the Willows redevelopment proposal. The redesigned building includes a total of nineteen dwelling units. Nine of these units will be designed as two-bedroom units of approximately 1200 square feet in size. These nine units will be deeded as 1/4share fractional fee units and will be operated in a very similar manner to the existing Willows Condominiums. Each of the current Willows property owners will assume ownership of one 1/4 share of a unit. Each owner will be allowed four weeks of summer season and four weeks of winter season use. Any unscheduled owner time and the remaining four weeks of time allocated to each 1/4 share will be required to be placed in the Willows rental program. Fractional fee use is listed as a Conditional Use in the underlying HDMF zone district. This application has been written to include a request for Conditional Use permit to allow the fractional fee use. A specific response to the Conditional Use review criteria is included in a later section of this report. The current Town of Vail definition of a Fractional Fee Club defines a fractional fee unit as "a condominium unit, pursuant to recorded documentation as approved by the town of Vail, has no fewer than six (6) and no more than (12) owners per unit..." The planned program for the Willows will result in four owners per unit so the Conditional Use Permit may not actually be a strict legal requirement of this request. There will also be nine whole ownership condominiums and one deed restricted Employee Housing Unit.. The whole ownership use is allowed as a use by right in the HDMF Zone District. A Conditional Use Permit has been submitted for review of the Type III EHU request. All other aspects of the project, such as the parking garage, the front desk operation and the pool garden courtyard are allowed as accessory uses to the HDMF Zone District. 8 B. Density The Town of Vail Land Use Code defines density as the number of dwelling units allowed per lot or per acre. The HDMF Zone District allows for twenty-five units per acre. The lot size of 0.4$54 equates to a permitted density of twelve dwelling units. Like most of the Willow Road/Willow Circle properties, the original development of the Willows Condominium greatly exceeds this permitted density. The existing building includes a total of twenty-eight dwelling units. The proposed redevelopment of the Willows will reduce the overall density to eighteen units plus one deed restricted Employee Housing Unit. C. Residential Floor Area The HDMF Zone District permits a total of 76% of the site area as Gross Residential Floor Area (GRFA). The permitted GRFA equates to 16,069 square feet. The existing Willows building exceeds the allowable GRFA and measures at 18,607 square feet of GRFA. The re-development proposes a total of 32,240 square feet of GRFA. The Vail Village Master Plan includes the following description of the Willow (- Circle sub-area: "In most cases the levels of development throughout this sub-area greatly exceed what is allowed under existing zoning (High Density Multiple family). Gross residential floor area ratios (GIZFAR) range from .6 to 1.3 with an average of 1.01. With the exception of one parcel, all of the properties within this sub-area are, developed at, or over, their permitted levels of development." At the time of the adoption of the Vail Village Master Plan 44 Willow Place had not yet been redeveloped. The original building on the 44 Willow Place lot represented the low end of the GRFA range stated in the above description of the neighborhood. 44 Willow Place has now been redeveloped to the full extent of the allowable GRFA so the neighborhood range and average has increased. The redeveloped Willows GRFA is not inconsistent with other buildings in the neighborhood. D. Building Height The 1-1DMF Zone District Allows for a 48' building height for a sloped roof building. The existing Willows building is approximately 48' in height and is one of the few aspects of conformance with the existing zoning. 9 The redevelopment proposal consists of three and four story building elements and will maint<~tin conformance with the 48' height allowance. In fact, the three story elements of the proposed building are lower than the existing building. E. Site Coverage The HDMF Zone District includes a site coverage allowance of 55% of the total site area. This equates to an allowable site coverage of 11,595 square feet for the Willows property. The existing building and parking structure have a site coverage calculation of 12,638 feet, thus exceeding the allowance. The actual building footprint of the proposed new building at grade, i. e. the perceptible site coverage of the building, measures 10,820 square feet. This perceptible site coverage of the actual building footprint equates to SO% of the site area and would be in conformance with .the 55% site coverage development standard. The definition for measuring site coverage, however, includes all portions of a building, including below grade portions. The parking garage below the new Willows building extends beyond the building footprint. There are extensive areas of landscaping and courtyard on top of the parking garage, at grade level, that will not appear as site coverage and will qualify as landscape area. The design team believes this meets the intent, if not the definition, of the site coverage development standard. The proposed building, due to the extent of the underground parking garage, and as site coverage is formally defined, has a site coverage measurement of 14,110 square feet. F. Landscape Area ,,mss The proposed redevelopment plan includes 8,~4D square feet of landscape and courtyard area and brings the site into confQrinance with this development standard. This represents a substantial in~°crease in the amount of landscape area on the site. The primary means of accomplishing this is by moving the existing at grade parking to an enclosed garage underneath the building. The HDMF Zone District requires 30°10 of a site to consist of landscape improvements such as lawn areas, flower beds, courtyards, patios, walks or water features. For the Willows site this equates to a requirement of 6,343 square feet of landscape area. The existing site has been calculated to have only 2,848 square feet of landscape area, which is well below the development standard of the zone district. 10 G. Parking The Willows falls within the area described as the commercial core area on the official Town of Vail parking maps. The parking requirements~for the commercial core areas are listed in Schedule A of the Town of Vail Land Use Regulations. Schedule A details a requirement of 0.7 parking spaces for fractional fee units and 1.4 parking spaces per dwelling unit. 9 fractional fee units x 0.7 = 6.3 9 dwelling units x 1.4 = 12.6 lEHUxl.4= 1.4 Total parking required = 20.3 parking spaces The proposed parking garage as designed includes 27 parking spaces. In addition to the quantitative parking requirements, the HDMF Zone District requires that 7S% of all parking spaces "shall be located in the main building and hidden from public view or shall be completely hidden from public view from adjoining properties within a landscape berm ". The existing Willows parking deck is clearly not in conformance with this criterion and. is generally considered to be a highly visible eyesore to the neighborhood. The redevelopment proposal will resolve the existing non-conformance of the visible parking by locating all of the parking spaces in the building and hidden from public view. With the development of the Front Door project and the increase of traffic on this portion of Vail Road the removal of this parking deck becomes a significant benefit. H. Setbacks The HDMF Zone District requires a uniform 20' setback on all sides. The existing buildings encroach into the setback to various degrees. on all sides. The building encroaches up to seven feet from the property line in the front and some landscape wall improvements currently extend over the property line and into the road right of way. Tie building and/or the parking garage encroach up to sixteen feet from the west lot line, six feet from the rear lot line and four feet from the east lot line. The driveway and a related retaining wall encroach onto the adjacent 44 Willows Place property. 11 The building setbacks as proposed in the redevelopment plan vary greatly over the site. The proposed building increases conformance with the front setback as the building has been pulled back from Willow Road to allow for a loading and drop off/pick up area. A porte-cochere roof extends out over the pick up/drop off area to the property line to provide a sheltered entry. Setbacks on the east, west and rear sides of the building vary considerably. This design allows for a creative articulation of the architectural forms and building mass and avoids long continuous walls and flat elevation planes along the property lines. Along the east property line, where the adjacent building encroaches to within inches of the property line the building design steps deeply back into the site, creating a significant space and separation between the buildings. In the underground parking garage the walls have been designed close to the property line in order to design efficient parking and circulation spaces.- These subsurface portions of the building will be imperceptible from the exterior. 3.5 Employee Housing 1) Town of Vail existingpolicy The Town of Vail has traditionally required the owners of new and redeveloped projects to provide employee housing for the incremental increase in the number of employees generated by a project. The Town has never formally codified this requirement but has consistently applied a housing generation formula developed by the firm of RRC Associates, Inc. For development projects that comply with underlying zoning the policy has been to provide housing for 15% of the incremental increase in employees. For development projects that exceed underlying zoning standards the policy has been to provide housing for 30% of the incremental increase in employees. The RRC employee generation formula lists a 0.4 employee demand per residential dwelling unit. The existing Willows project includes 28 condominium units. This equates to an existing employee generation of 11.2 employees. (28 x 0.4 = 11.2) The proposed Willows redevelopment includes 18 condominium units. This equates to an employee generation of 7.2 employees. (18 x 0.4 = 7.2) The Willows redevelopment proposal would result in an overall reduction of 4 employees. Housing mitigation is required for the incremental increase in employee generation. In this case there is no incremental increase and therefore, 12 consistent with past application of this housing formula, no mitigation requirement. 2) Actual conditions The Willows Condominium Association owns and operates the Willows Management Company. The Willows Management Company manages a total of 45 units in the Willows, Riva Ridge South and other Vail Village properties. The management company has a total of 15 full time equivalent employees. This averages to 0.33 employees per unit under management. The redevelopment of the Willows would result in a total of 10 less units under Willows management. The revised average, assuming no decrease in employees, is 0.42 employees per unit. This actual conditions experience at Willows Management is remarkably consistent with the RRC employee generation figure of 0.4 employees per unit. An actual conditions calculation results in a full time employee demand of 6 to 7.5 employees generated by the proposed Willows redevelopment. 3) Willows housing/public benefit proposal Although the application of the traditional employee housing requirements indicates that the Willows proposal does not create a net incremental increase in employee housing the applicant recognizes that employee housing is an important issue to the town and, as a public benefit of the project, believes it appropriate to provide a reasonable measure of employee housing within the community. Without taking credit for the employee demand already generated by the existing building, the new Willows building would generate 7.2 employees under the existing town employee generation formula. This 7.2 employee generation number is also very consistent with the actual employee levels experienced by the Willows Management Company. Utilizing the town's housing demand methodology 7.2 employees, divided by the 1.3 jobs per employee figure equates to a demand for 5.5 employee beds. The Willows redevelopment proposal will commit to providing 100% of this employee housing demand. The current proposal includes one 670 square foot one bedroom apartment on site and the applicant will commit to providing five additional beds off site. These off-site beds will be provided via a buy down program or through a direct payment-in-lieu to the Town of Vail or the Vail Housing Authority. This housing commitment of one on-site one-bedroom unit and five off-site beds addresses 100% of the actual employee housing demand of the proposed Willows building. 13 3_6 Rental Opportunities A primary goal of the Vail Village Master Plan is to maintain and to encourage an active bed base in the Vail Village area. The Willows owners intend to continue to operate the existing homeowner owned management company and to establish a use and rental program for the fractional units that is very similar to the current Willows use pattern. The~'~venty-eight fractional shares that are exchanged for the current Willows units will be subject to a condominium association covenant that will allow each owner four weeks of summer use and four weeks of winter use. All other weeks and all weeks not actually utilized by the owners will be placed in the active rental pool. The eight additional fractional shares will be owned by the Willows Condominium Association. Although these shares may eventually be sold, subject to the same use covenants as described above, the intent of the association is to hold these units in the active rental pool for at least a few years. In addition, five of the wholly owned units have been designed to include alock-off studio unit. This results in eighteen brand new high quality beds that will be fully-utilized for short term occupancy and the potential for five more rental beds within the lock off units. This is a total of five beds less than currently available in the existing Willows building. And these new beds will be a significant improvement over the existing Willows beds. The existing one-bedroom units are 596 square feet in size with 7'6" floor to ceiling heights. The size and configuration of these units is not consistent with the marketplace and no longer meets the expectations of many of the guests looking for Vail Village based accommodations. 3.7 Public Benefits As an integral part of the Town of Vail SDD review and approval process there has been a standard of public benefit that must be met. In general the appropriate level of public benefit to be provided by a project .has been directly relative to the level of variation requested from the standards of the underlying zone district. As has been stated above, the existing Willows Condominiums, as well as most of the other properties of the Willow Circle neighborhood, exceed most of the development standards of the existing zone district, including the density and the GRFA. A redevelopment of the Willows Condominiums that would meet the strict and literal standards of the HDMF Zone District, including density and GRFA would include 12 or less units and 16,069 square feet of GRFA. In order to meet these standards the redevelopment would most likely consist of 4 to 6 large townhome units of 2500 to 4000 square feet in size. This type of redevelopment scenario, while meeting the standards of the underlying zone 14 district, would result in a very exclusive, low density project that would likely have the following consequences: • The loss of Vail Village based short-term rental inventory. • The probability of an exclusive yet seldom used bed base. • The loss of the existing, long term Willows owners from the community.. • No on-site Employee Housing Unit or provision of other housing. • No inclusion of public benefits. This type of redevelopment, while meeting the zoning code, would go against many of the principles, goals and objectives expressed in Town of Vail master plan documents. In the case of the Willows Road neighborhood the underlying HDMF Zone District is not necessarily fully harmonious with the goals and objectives of the Vail Village Master Plan. The Willows Condominium Association and the principals of Triumph Development believe that the SDD process allows for a redevelopment of the Willows property in a manner that can more successfully address many of the overall goals of the community than a redevelopment under the parameters of the existing zone district would allow. The proposed Willows redevelopment plan is able to address many of the Town of Vail master plan document objectives and also provide a public benefit in a fair relation to the deviation from the underlying zoning. Specifically the redevelopment proposal represented by this request for SDD Zone District designation will: • Allow the existing Willows owners, many of whom have. owned there for many years, to maintain property ownership and to remain a vital part of the Vail community. • Provide employee housing for 100% of the employee housing demand of the proposed building, without deducting any credits for the existing level of development. • Provide a 670 square foot one-bedroom on-site Employee Housing Unit. This is an extremely rare opportunity to create a new Vail Village based EHU. • An upgraded pedestrian automobile streetscape along the entire length of Willow Road. Willow Road currently exists as a one-way street with a twenty-two foot wide. asphalt section and no curb, gutter or sidewalk. This section of Willow Road will be reconstructed to a design that includes a twelve-foot wide asphalt automobile travel lane and an eight-foot wide stone paver pedestrian walkway. This streetscape design will match that of other recent Vail Village streetscape improvements. The pedestrian walkway will connect to the sidewalk along Vail Road on the west end and to the streetscape improvements currently under construction as part of the Front 15 Door improvements on the east end. This streetscape improvement will provide a significant public benefit to all pedestrian traffic that flows through Willow Road from the west. This streetscape will provide an enhanced pedestrian alternative to Meadow Drive and will allow direct pedestrian access to Vail Village from Beaver Dam Road, the First Bank area and Meadow Drive properties such as Villa Cortina. This improvement represents a significant contribution to the goal of pedestrian connectivity from Vail Village towards the west, The redevelopment of the Willows will result in a very desirable, high quality fractional ownership and rental .program that will meet a key Town of Vail goal of providing and maintaining active beds in the Vail Village core area. These beautiful new two bedroom units will provide a much superior rental product over the existing one bedroom units. The larger unit size will open the Willows to a family friendly market that the property has not been able to serve over. the years. The ownership and rental requirement covenant structure will ensure that these beds remain actively occupied. All of these public benefits can be accomplished with a building design that increases conformance of many of the underlying zone district standards and maintains the charm, character and integrity of the Willow Circle neighborhood. The applicant believes this level of public benefit is appropriate to the level of variation requested from the underlying zone district. 16 4.0 SPECIAL DEVELOPMENT DISTRICT REVIEW CRITERIA Title 12, Chapter 9 of the Town of Vail Municipal Code provides for the establishment of Special Development Districts in the Town of Vail. According to Section 12-9A-1, the purpose of a Special Development District is, "To encourage flexibility and creativity in the development of land in order to promote its most appropriate use; to improve the design character and quality of the new development within the Town; to facilitate the adequate and economical provision of streets and utilities; to preserve the natural and scenic features of open space areas; and to further the overall goals of the community as stated in the Vail Comprehensive Plan. An approved development plan for a Special Development District, in conjunction with the property's underlying zone district, shall establish the requirements for guiding development and uses of property included in the Special Development District. " The Vail Municipal Code provides nine design criteria which shall be .used as the principal criteria in evaluating the merits of the proposed Special Development District. It shall be the burden of the applicant to demonstrate that submittal material and the proposed development plan comply with each of the following standards, or demonstrate that one or more of them is not applicable, or that a practical solution consistent with the public interest has been achieved. The applicant has addressed each of the nine SDD review criteria below: A. Design compatibility and sensitivity to the immediate environment, neighborhood and adjacent properties relative to architectural design, .scale, bulk, building height, buffer zones, identity, character, visual integrity and orientation. Applicant response: The proposed Willows redevelopment plan creates a high level of compliance with this criteria. In fact, the applicants believe that the quality of the architectural design, the proposed building materials, the elimination of surface parking and the sensitivity of the design to the neighborhood result in a significant improvement over the existing conditions. 17 The alpine style of Vail Village architecture and the quality of building materials have evolved and improved a great deal since the 1970 construction of the Willows. The monolithic facade and the. brick and stucco exterior are not up to par with the surrounding neighborhood or with recent Vail Village improvements. The design team has put a great effort into ensuring the proposed design is compatible and sensitive to the immediate neighborhood. An ovemding goal of the design team has been to achieve the program goals of the building without increasing the building height. We believe that the character, identity and visual character of the proposal are in complete harmony with the. objectives of this SDD criteria. ~. Uses, activity and density which provide a compatible, efficient and workable relationship with surrounding uses and activity. Applicant response: The existing neighborhood is singularly residential in use, with a mix of highly active rental programs and quiet exclusive second homes. The proposed program strives to strike a compatible balance with this mix of neighborhood activity levels while simultaneously meeting the goals of the existing Willows owners, the goals of the developmentpartner and the overall goals of the Town of Vaii. We believe the proposed density and use structure is the optimal program to balance these goals and objectives and provide an appropriate balance to the level of residential activity of the immediate neighborhood. C. Compliance with parking and loading requirements as outlined in Title 12, Chapter 10, of the Town of Vail Municipal Code. Applicant response: The proposed Willows redevelopment meets or exceeds all requirements of the parking regulations. The new building presents an improved loading and drop off/pick up area that will reduce congestion on Willow Road. The existing parking deck is in dire need of replacement and does not meet the screening and visibility requirements of the zone district. All of the required parking for the proposed building. will be located in a fully enclosed parking garage below the building. D. Conformity with the applicable elements of the Vail Comprehensive 18 Plan, Town policies and Urban Design. Plan. Applicant response: The proposed redevelopment of the Willows is in compliance with all relevant Town of Vail master plan documents, goals and policies. A separate chapter of this application details the many specific areas of compliance. E. Identification and mitigation of natural and/or geologic hazards that affect the property on which the special development district is proposed. Applicant response: There are no known natural and/or geologic hazards, including- the Gore Creek floodplain, that affect the property. - F. Site plan, building design and location and open space provisions designed to produce a functional development responsive and sensitive to natural features, vegetation and overall aesthetic quality of the community. Applicant response: The proposed site plan and building design have been carefully designed to respond to adjacent properties and to the overall aesthetic quality of the community. The front facade of the building had been pulled back from the street to allow for a more functional loading and drop off area and to enhance the pedestrian streetscape experience. The pool garden has been sited to create an open light and air region in an area where the adjacent building encroaches to within inches of the property line. This courtyard design will minimize sunshade noise and visual impacts to the adjacent- Riva Ridge South building. G. A circulation system designed for both vehicles and pedestrians addressing on and off-site traffic circulation. 19 Applicant response: The on site vehicular circulation system is designed to allow for simple and convenient access to a single level of underground parking. An off street loading/pick up area with a covered porte-cochere will eliminate existing congestion on Willows Road. H. Functional and esthetic landscaping and open space in order to optimize and preserve natural features, recreation, views and functions. Applicant response: The site plan includes a functional and esthetic landscape design that is appropriate to the site. This landscape plan is only designed to a conceptual level at this point in the review process. A fully detailed landscape plan will be prepared for review by the Design Review Board. I. Phasing plan or subdivision plan that will maintain a workable, functional and efficient relationship throughout the development of the special development district. Applicant response: All construction will take place in a single phase. The applicant will work with both the Town of Vail and the neighborhood to develop an appropriate construction management plan. 20 5.0 .CONDITIONAL USE PERMIT REVIEW CRITERIA The proposal to redevelop the existing Willows property includes a request for two separate Conditional Use Permits. One is to allow a fractional fee ownership structure for nine of the proposed units and the second is to allow an on-site Type III Employee Housing Unit. The uses are described in detail in the above project narrative. The Planning and Environmental Commission uses the following criteria in the evaluation of a Conditional Use Permit request. The applicant response to each criteria is .included: A. 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. Applicant Response: The use of a portion of the site as fractional fee ownership will have no discernable effect upon the above referenced facilities and issues beyond what the permitted uses would generate. There will be no impact upon schools and the usage of transportation, utility, park and recreation facilities will be very similar to that of a lodge or actively managed rental property that is allowed as a use by right. The proposed 670 square foot EHU will have no discernable negative effect upon the facilities listed in the criteria. r$4 ~ Ef€~cttrpum~raffic with particular reference to congestion, automotive and ede~~_ps~iaar.safety and convenience, traffic flow and control, access, - - -- - --maneuverability, and removal of snow from the street and parking areas. Applicant Response: The fractional fee ownership pattern of nine of the proposed dwelling units will result in a usage pattern of the Willows site that is very similar to the existing use pattern. We do not believe there will be an effect upon congestion, safety, traffic flow, access or rar~ne;~iuhtabil'1~ r'~h~w mite design, irrespective of the ownership pattern, will irrrpl~d~~.illdwa'I2aart~~~stion, access to the Willows site and maneuverability of vehicles on -the site. There will be no impact on snow operations due to the ownership pattern. The inclusion of one 670 squaze foot Type III EHU in the building should not have a measurable impact upon congestion, safety, traffic flow or snow removal. 21 C. 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. Applicant Response: The architecture of the proposed redevelopment of the Willows is a significant upgrade from the existing building in style, form and materials. The architecture is very compatible with the character of the area and with the established vernacular of Vail Village and the surrounding residential environs. The ownership format does not have an effect upon the architectural design of the building. The usage pattern of the proposed building will remain very similar to the current use of the current building, The inclusion of a Type III EHU does not negatively impact the character of the area or the bulk and scale of the proposed building. The redevelopment proposal is in full compliance with the height allowance of the HDMF Zone District and the bulk and mass of the building is in character with the surrounding uses. The Willows owners, Triumph Development and the design team have made protecting the character of the neighborhood a high priority of the proposed redevelopment plan. 22 6.0 TOWN OF VAIL COMPREHENSIVE PLAN AND MASTER PLANNING DOCUMENTS The design team and the applicant have carefully analyzed the Town's master planning documents in order to address and incorporate as many of the relevant goals and policies as possible into the proposed redevelopment plan. The list below is a summary of the goals and policies of various planning documents that are consistent with the proposed Willows redevelopment plan. Items listed in italics are particularly relevant to the proposed plan. A. Vail Land Use Plan 1. General Growth/Development 1.1 Vail should continue to grow in a controlled environment, maintaining a balance between residential, commercial and recreational uses to serve both the visitor and the permanent resident. 1.3 The quality of development should be maintained and a~pgraded whenever possible. 1.4 The original theme of the old Village core should be carried into new development in the Village Core through continued implementation of the Urban Design Guide Plan. 1.12 Vail should accommodate most of the additional growth in existing developed areas (infill areas). 4. Village Core/Lionshead 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. 5. Residential 5.1 Additional residential growth should continue to occur primarily in existing platted areas and as appropriate in new areas where high hazards do not exist. 5.2 Quality time share units should be accommodated to help keep occupancy rates up. 23 5.3 Affordable employee housing should be accommodated through private efforts, assisted by limited incentives, and provided by the Town of Vail, with appropriate restrictions. 5.4 Residential growth should keep pace with the market place demands for a full range of housing types. S.S The existing employee housing base should be preserved and upgraded. Additional employee housing needs should be accommodated at varied sites throughout the community. B. Vail Village Urban Design Guide Plan The Vail Village Master Plan includes a map that details the area subject to the Vail Village Urban Design Guide Plan. The Willows Road -Willow Circle neighborhood does not technically fall within the guide plan area of influence.. The design team has, however, incorporated many of the relevant architectural design elements of the plan into the building design. In particular, the roof compositions and overhangs, the building materials, the style and placement of windows and the balcony railing treatments are all in complete compliance with the Vail Village Urban Design Guide Plan. C. Vail Village Master Plan The Vail Village Master Plan does cover the general area from (and including) Ford Park to Vail Road. This does include the Willow Road -Willow Circle neighborhood. The following is a list of goals and objectives that support the Willows redevelopment plan. Goal 1 -Encourage high quality redevelopment while preserving unique architectural scale of the Village in order to sustain its sense of community and identity. Objective 1.2 -Encourage the upgrading and redevelopment of residential and commercial facilities. Objective 1.3 -Enhance new development and redevelopment through public improvements done by private developers working in cooperation with the town. Goa12 - To foster a strong tourist industry and promote year-round economic health and viability for the Village and for the community as a whole. Objective 2.3 -Increase the number of residential units available for short term overnight accommodations. 24 Objective 2.5 -Encourage the continued upgrading, renovation and maintenance of existing lodging and commercial facilities to better serve the needs of our guests. Goal 3 - To recognize as a top priority the enhancement of the walking experience throughout the Village. Objective 3.1 -Physically improve the existing pedestrian ways by landscaping and other improvements. Goal 4 - To preserve existing open space areas and expand greenspace opportunities. There are no objectives of this goal that are relevant to the Willows redevelopment proposal - Goal 5 -Increase and improve the capacity, efficiency, and aesthetics of the transportation and circulation system throughout the Village. Objective 5.1 -Meet parking demands with public and private parking facilities. Goal 6 - To ensure the continued improvement of the vital operational elements of the Village. Objective 6.1 -Provide service and delivery facilities for existing and new development. 2_ Land Use Plan The VVMP designates the Willow Circle neighborhood as Medium/High Density Residential. The proposed plan is in conformance with this designation. 3. Open Space Plan The VVMP designated areas to be protected as open space. The Willows redevelopment is in complete conformance with this portion of the Vail Village Master Plan. 4. Parking and Circulation Plan The Willows redevelopment proposal is in conformance with all aspects of this element of the Vail Village Master Plan. 25 ~ , 5. Building Height Plan The building height plan designates the Willow Circle neighborhood as appropriate for three and four story buildings. The proposed Willows building includes both three and four story elements and is in complete conformance with this plan. 26 r 7,~0 Key Features In summary, the .following are key elements and features of the proposed Willows redevelopment plan: The existing Willows building is in need of significant capital investment. The two level exterior parking deck is in extremely poor condition and will require a complete demolition and reconstruction. The main building structure was built with pre-cast concrete "T" beams. This form of construction makes any type of significant upgrade or renovation, including installation of fire sprinkler systems, extremely difficult. • The floor to ceiling clear height in the existing units is 7'6". • The existing owners, through careful and thorough analysis conducted by their condominium association, have determined that an attempt. to upgrade the existing building does not make economic sense. • The proposed plan allows existing Willows owners to maintain ownership in the property and maintain the exact usage pattern they are accustomed to. • The proposed. plan maintains an active rental management program with a similar number of beds. The existing Willows has twenty-.seven 1-bedroom units and one studio unit. The proposed redevelopment plan proposes nine 2-bedroom fractional fee units and includes opportunities to rent five additional lock off units for a total of twenty-three actively rented beds. • The redevelopment proposal includes a commitment to provide deed restricted affordable housing in an amount equivalent to 100% of the employee generation demand of the building. • The proposed plan places all parking underneath the building. All parking will be completely screened from public view in accordance with the zone district standards. • The proposed plan meets the allowable height limit for the HDMF Zone District. • The proposed plan incorporates public benefits that are appropriate to the level of deviation requested from standard of the underlying HDMF Zone district. The Willows owners, the principals of Triumph Development and the members of the design team believe that this proposal is in keeping with the spirit and intent of the Special Development District and maintains the character and integrity of the Willow Circle neighborhood. 27 ORDINANCE NO. 30 Series of 2006 AN ORDINANCE ESTABLISHING SPECIAL DEVELOPMENT DISTRICT N0.40,THE WILLOWS, PURSUANT TO ARTICLE A, SPECIAL DEVELOPMENT (SDD) DISTRICT, CHAPTER 9, TITLE 12, ZONING TITLE, TOWN CODE OF VAIL, AND SETTING FORTH DETAILS IN REGARD THERETO. WHEREAS, Title 12, Zoning Title, Chapter 9, Article A, Special Development (SDD) District, Town Code of Vail outlines the procedures for establishing special development districts; and WHEREAS, The Willows Condominium Association and Triumph Development, LLC, have submitted an application to the Town of Vail Community Development Department to establish Special Development District No. 40, The Willows, to facilitate the redevelopment of an existing residential development; and WHEREAS, the Planning and Environmental Commission of the Town of Vail held a public hearing on November 13, 2006, on the application to establish Special Development District No. 40, The Willows, in accordance with the provisions of the Town Code of Vail; and WHEREAS, upon due consideration, the Planning and Environmental Commission of the Town of~/ail found that the request complies with the design criteria prescribed in the Title 12, Zoning Regulations, Vail Town Code, and furthers the development objectives of the Town of Vail; and WHEREAS, the Planning and Environmental Commission of the Town of Vail has forwarded a recommendation of approval with conditions by a vote of 4-1-0 of this request to establish Special Development District No. 40, The Widows, to the Vail Town Council; and WHEREAS, the Vail Town Council finds that the request to establish Special Development District No. 40, The Willows, complies with the nine design criteria prescribed in the Title 12, Zoning. Title, Town Code of Vail; and provides a harmonious, convenient, workable relationship among land uses consistent with municipal development objectives; and WHEREAS, the Vail Town Council considers it in the interest of the public health, safety, and welfare to adopt Ordinance No. 30, Series of 2006, and establish a new special development district in the Town of Vail NOW, THEREFORE, BE IT ORDAINED BYTHE TOWN COUNCIL OF THE TOWN OF VAIL, COLORADO, THAT: Section 1. District Established Special Development District No. 40, The Willows, is established for developmenton a parcel of land, legally described as Lot 8, Block 6, Vail Village 1St. Filing, which comprises a total of 21,144 square feet (0.4854 acres) in the Vai! Village area of the Town of Vail. Said parcel may be referred to as "SDD No. 40". Special Development District No. 40 shall be reflected as such on the Official Zoning Map of the Town of Vail. The underlying zoning for Special Development District No. 40, The Willows, shall be High Density Multiple Family (HDMF) Ordinance No. 30. Series 2006 ~ District. Section 2. Special Development District No. 40, The Willows, Approved Development Plan An approved development plan is the principal document in guiding the development, uses and activities of a special development district. The Vail Town Council finds that the Approved Development Plan for Special Development District No. 40, The Willows, complies with each of the requirements set forth in Sections 12-9A-5 and 12-9A-6 of the Town Code of Vail. The Approved Development Plan for Special Development District No. 40, The Willows, shall be comprised of materials submitted in accordance with Section 12-9A-5 of the Town Code of Vail and those plans prepared by Resort Design Associates, entitled "The Willows", dated December 1, 2006, and stamped approved December 6, 2006, and as further described in Section 3 herein. Section 3. Special Development District No. 40, The Willows, Approved Development Plan Set The following plan sheets prepared by Resort Design Associates, entitled "The Willows", dated December 1, 2006, and stamped approved December 6, 2006, shall constitute the Approved Development Plan set: Topographic Survey, prepared by Eagle Valley Surveying, Inc., dated 12/22/05 Sheet A.1.1 Cover Sheet Sheet A.2.1 Site Plan Sheet A.2.1.0 Building Height Calculations on Existing Grades Sheet A.2.2 Site Sections Sheet A.2.3 Site Sections Sheet A.2.4 Site Sections Sheet A.2.5 Site Sections Sheet A.3.0 Garage Floor Plan Sheet A.3.0.1 Floor Plan (garage level setbacks) Sheet A.3.1 First Level Floor Plan Sheet A.3.1.1 Floor Plan (first level setbacks) Sheet A.3.2 Second Level Floor Plan Sheet A.3.2.1 Floor Plan (second level setbacks) Sheet A.3.3 Third Level Floor Plan Sheet A.3.3.1 Floor Plan (third level setbacks) Sheet A.3.4 Fourth Level Floor Plan Sheet A.3.4.1 Floor Plan (fourth level setbacks) Sheet A.4.1 Roof Plan Sheet A.5.1 Elevations (west/north elevations) Sheet A.5.1.1 Elevations (north elevation) Sheet A.5.2 Elevations (south/east elevations) Section 4. Development Standards In conjunction with the Approved Development Plan described in Section 2 herein, the following development standards are hereby approved by the Vail Town Council. These Ordinance No. 30, Series 2006 2 standards are incorporated in the Approved Development Plan to protect the integrity of the development of Special Development District No. 40, The Willows. The development standards for Special Development District No. 40, The Willows, are described below: A. Permitted, Conditional, and Accessory Uses: The permitted, conditional, and accessory uses allowed in Special Development District No. 40, The Willows, shall be those uses listed in Title 12, Chapter 6, Article H, High Density Multiple Family zone district, Town Code of Vail, as may be amended from time to time. B. Lot Area: The minimum lot area for Special Development District No. 40, the Willows, shall be 21,144 square feet (0.4854 acres). C. Setbacks: The minimum setbacks for Special Development District No. 40, The Willows, shall be as indicated on The Willows Approved Development Plan, described in Section 2 herein. D. Height: The maximum allowable building height for Special Development District No. 40, The W illows, shall be forty-eight feet (48'), as indicated on The Willows Approved Development Plan, described in Section 2 herein and as regulated by Title 12, Zoning Regulations, Vail Town Code E. Density Control: The maximum allowable Gross Residential Floor Area (GRFA) for Special Development District No. 40, The Willows, shall be as indicated on The Willows Approved Development Plan and the maximum. allowable density shall be nine (9) dwelling units, nine (9) timeshare units, one (1) onsite Employee Housing Unit, with potential for five (5) lock-off units, as indicated on The Willows Approved Development Plan, described in Section 2 herein. F. Site Coverage: The maximum allowable site coverage shall be as indicated on The Willows Approved Development Plan, described in Section 2 herein. G. Landscaping and Site Development: At least thirty five percent (35%) of the total site steal! be landscaped. The minimum width and length of any area qualifying as landscaping shall be fifteen (15) feet with a minimum area of not less than three hundred (300) square feet. The landscaping plan and site development shall be as indicated on The Willows Approved Development Plan, described in Section 2 herein. H. Parking and Loading: Off street parking and loading shall be provided in accordance with title 12-10 of the Vail Town Code. At least seventy five percent (75%) of the required parking shall be located within the main building or buildings and hidden from public view or shall be completely hidden from public view from adjoining properties within a landscaped berm. The minimum number of loading and delivery bays shall be one (1) as indicated on The Willows Approved Development Plan, described in Section 2 herein. . Ordinance No. 30, Series 2006 3 Section 5. Conditions of Approval The following conditions of approval shall become part of the Town's approval of the establishment of Special Development District No. 40, The Willows: The Developer shall address the following conditions of approval prior to submitting a building permit application (a grading permit/excavation permit shall constitute a building permit) to the Town of Vail Community Development Department: 1. The Developershall prepare and submita DeveloperlmprovementAgreement(DlA) to the Town of Vail Community Development Department, for Town Council review and approval, outlining the responsibilities, requirements and obligations of the Developer with regard to the provision of the stated public benefits and required off-site improvements. The agreement shall include: • all streetscape improvements along Willow Road, including an eight foot (8') paver. sidewalk for pedestrians and a Twelve foot (12') wide right-of-way lane; and • $70K of public art, whose design and location shall be determined by the Developer and reviewed for comment by the Town of Vail Art in Public Places Board. 2. The Developer shall comply with all outstanding comments of the Town of Vail Public Works Department outlined in the memorandum dated October 20, 2006. 3. The Developer shall comply with all outstanding comments of the Town of Vail Fire Department outlined in the memorandum dated November 30, 2006. 4. The Developer shall submit a complete application for design review to the Town of Vail Community Development Department and receive final approval of the application from the ,Town of Vail Design Review Board. 5. The Developer shall submit a complete set of civil engineering drawings of all required off-site improvements for review and approval by the Town of Vail Public Works Department. The Developer shall address the following conditions of approval prior to requesting a temporary certificate of occupancy or a final certificate of occupancy, whichever comes first: 1. The Developer shall provide one (1) Type ll1 Employee Housing Unit onsite that complies with the Town of Vail Employee Housing requirements (Chapter 12-13), and is allocated for sole use by The Willows Condominium Association for employee housing. This employee housing unit shall be provided as indicated on The Willows Approved Development Plan, described in Section 2 herein. 2. The Developer shall provide deed restricted employee housing for a total of eleven (11) employees, as further defined in Section 12-2-2 of the Vail Town Code. Said housing shall be Type 1, Type 111, or Type IV Employee Housing Units, or any combination thereof and shall be located within the Town of Vail. Notwithstanding the minimum/maximum GRFA of an EHU regulations prescribed in Chapter 12-13 of the Zoning Regulations, Vail Town Code, the Ordinance No. 30, Series 2006 4 Developershall provide employee housing units which conform to the following floorarea and occupant requirements: a one bedroom unit shall contain at least 550 square feet of floor area .and accommodate no more than two (2) employees a two bedroom unit shall contain at least 850 square feet of floor area and accommodate no more than three (3) employees a three bedroom unit shall contain at least 1,350 square feet of floor area and accommodate no more than four (4) employees 3. The Developer shall install a public safety radio communications system within the subterranean parking structure which meets the specifications of the Town of Vail Communications Center. The specifications and details of this system shall be depicted on the building permit set of plans and submitted to staff for review and approval. Section 6. The Developer shall commence initial construction of the Willows improvements within three years from the time of its final approval at second reading of the ordinance establishing Special Development District No. 40, and continue diligently toward the completion of the project. If the developer does not begin and diligently work toward the completion of the special development district or any stage of the special development district within the time limits imposed, the approval of said special development district shall be void. The Planning and Environmental Commission and Town Council shall review the special development district upon submittal of an application to reestablish the special development district following the procedures outlined in Section 12-9A-4, Vail Town Code. Section 7. If any part, section, subsection, sentence, clause or phrase of this ordinance is for any reason held to be invalid, such decision shall not effect the validity of the remaining portions of this ordinance; and the Vail Town Council hereby declares it would have passed this ordinance, and each part, section, subsection, sentence, clause or phrase thereof, regardless of the fact that any one or more parts, sections, subsections, sentences, clauses or phrases be declared invalid. Section 8. The Vail Town Council hereby finds, determines and declares that this ordinance is necessary and proper for the health, safety and welfare of the Town of Vail and the inhabitants thereof. The Council's finding, determination and declaration is based upon the review of the criteria prescribed by the Town Code of Vail and the evidence and testimony presented in consideration of this ordinance. Section 9. The amendment of any provision of the Town Code of Vail as provided in this ordinance shall not affect any right which has accrued, any duty imposed, any violation that occurred prior to the effective date hereof, any prosecution commenced, nor any other action or proceeding as commenced under or by virtue of the provision amended. The amendment of any provision hereby shall not revive any provision or any ordinance previously repealed or superseded unless expressly stated herein. Ordinance No. 30, Series 2006 cJ Section 10. All bylaws, orders, resolutions and ordinances, or parts thereof, inconsistent herewith are repealed to the extent only of such inconsistency. This repealer shall not be construed to revise any bylaw, order, resolution or ordinance, or part thereof, theretofore repealed. INTRODUCED, READ ON FIRST READING, APPROVED, AND ORDERED PUBLISHED ONCE IN FULL ON FIRST READING this 21St day of November, 2006 and a public hearing for second reading of this Ordinance set for the 5th day of December, 2006, at 6:00 p.m. in the Council Chambers of the Vail Municipal Building, Vail, Colorado. ATTEST: Rodney E. Slifer, Mayor Lorelei Donaldson, Town Clerk READ AND APPROVED ON SECOND READING AND ORDERED PUBLISHED this 5th day of December, 2006. ATTEST: Lorelei Donaldson, Town Clerk Rodney E. Slifer, Mayor Ordinance No. 30, Series 2006 6 ORDINANCE NO. 31 Series of 2006 AN ORDINANCE AMENDING SECTION 2-6-9 OF THE VAIL TOWN CODE, CONCERNING USE OF THE REAL ESTATE TRANSFER TAX FUND, AND SETTING FORTH DETAILS IN REGARD THERETO. WHEREAS, the Town of Vail (the "Town"), in the County of Eagle and State of Colorado, is a home rule municipal corporation duly organized and existing under laws of the State of Colorado and the Town Charter (the "Charter"); and WHEREAS, the members of the Town Council (the "Council") of the Town of Vail have been duly elected and qualified; and WHEREAS, in an effort to be the premier mountain resort community, the Town has committed to provide its citizens and guests with "a superior level of environmentally sensitive services" in addition to "vision, leadership and stewardship in an environmentally responsible manner;" and WHEREAS, to achieve the goals stated above and for the environmental sustainability of the Town, the Council has determined that certain text amendments are necessary to the Vail Town Code as they relate to the use of the Town of Vail Real Estate Transfer Tax Fund; and WHEREAS, The Council finds that this ordinance is necessary and proper for the health, safety and welfare of the Town of Vail and the inhabitants thereof. NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF VAIL, COLORADO THAT: Section 1. Section 2-6-9 of the Vail Town Code is hereby amended to read as follows: (additions are shown in bold and underline; deletions are shown in ): 2-6-9: REAL ESTATE TRANSFER TAX FUND: A. Creation; Purpose: All funds received by the Town pursuant to this Chapter shall be deposited in the Real Estate Transfer Tax Fund, which Fund is hereby created. The Fund shall be subject to appropriation for only the following purposes within the Town or within one mile of the boundaries of the Town. However, it is the express intention of the Town of Vail that in any annual budget cycle the Town Council shall ensure that the fund can adequately Ordinance No. 31, Series of 2006. 1 ~. satisfy the purposes set forth in subsections one through four (1 4) below and that the purposes described in subsections one through four (1 4) are in fact satisfied prior to the Town Council's appropriation of any amount from the fund to be used for the purposes listed in subsection five (5) 1. Acquiring, improving, maintaining, and repairing real property for parks, recreation, open space and similar purposes. 2. The construction, maintenance, and repair of buildings which are incidental to park, recreation, and open space land. 3. Landscaping parks and open space. 4. The construction, maintenance, repair, and .landscaping of recreation paths set forth in the Town of Vail Recreation Trails plan as it may be amended by the Town Council from time to time. 5. Supporting sustainable environmental practices as approved by the Town Council, which may include but shall not be limited to expenditures related to recycling forest and ecosystem health, water quality air quality, noise wildlife protection natural resource protection alternative energy technologies, energy efficiency or any similar purpose as determined necessary for the environmental health and welfare of the Town of Vail its inhabitants and its environs in the discretion of the Town Council. ~6. Paying incidental costs and principal of and interest on any funds borrowed for the purposes set forth in this subsection. B. Building Defined: For the purposes of this Chapter, building shall mean any structure having a roof supported by columns or walls, or any other enclosed structure for the housing of persons, animals, or property. Section 2. If any part, section, subsection, sentence, clause or phrase of this ordinance is for any reason held to be invalid, such decision shall not affect the validity of the remaining portions of this ordinance; and the Town Council hereby declares it would have passed this ordinance, and each part, section, subsection, sentence, clause or phrase thereof, regardless of the fact that any one or more parts, sections, subsections, sentences, clauses or phrases be declared invalid. Section 3. The Town Council hereby finds, determines and declares that this ordinance is necessary and proper for the health, safety and welfare of the Town of Vail and the inhabitants thereof. Section 4. The amendment of any provision of the Town Code as provided in this ordinance Ordinance No. 31, Series of 2006 2 shall not affect any right which has accrued, any duty imposed, any violation that occurred prior to the effective date hereof, any prosecution commenced, nor any other action or proceeding as commenced under or by virtue of the provision amended. The amendment of any provision hereby shall not revive any provision or any ordinance previously repealed or superseded unless expressly stated herein. Section 5. All bylaws, orders, resolutions and ordinances, or parts thereof, inconsistent herewith are repealed to the extent only of such inconsistency. This repealer shall not be construed to revise any bylaw, order, resolution or ordinance, or part thereof, theretofore repealed. INTRODUCED, READ ON FIRST READING, APPROVED, AND ORDERED PUBLISHED ONCE IN FULL ON FIRST READING this 21St day of November, 2006 and a public hearing for second reading of this Ordinance set for the 19th day of December, 2006, at 6:00 P.M. in the Council Chambers of the Vail Municipal Building, Vail, Colorado. Rodney E. Slifer, Mayor ATTEST: Lorelei Donaldson, Town Clerk Ordinance No. 31, Series of 2006 3 ORDINANCE N0.32 SERIES OF 2006 AN ORDINANCE PROVIDING FOR THE LEVY ASSESSMENT AND COLLECTION OF TOWN AD VALOREM PROPERTY TAXES DUE FOR THE 2006 TAX YEAR AND PAYABLE IN THE 2007 FISCAL YEAR. WHEREAS, it is necessary for the Town Council to provide for the levy, assessment and collection of Town ad valorem property taxes due for the 2006 year and payable in the 2007 fiscal year. NOW, THEREFORE, be it ordained by the Town Council of the Town of Vail, Colorado, that: 1. For the purpose of defraying part of the operating and capital expenses of the Town of Vail, Colorado, during its 2007 fiscal year, the Town Council hereby levies a property tax of 4.69000 mills upon each dollar of the total assessed valuation of $607,150,030 for the 2006 tax year of all taxable property within the Town, which will result in a gross tax levy of $2,840,000 calculated as follows: Base mill levy 4.690 $2,847,534 Abatement levy .009 5,464 Total mill levy 4.690 2 852 998 Said assessment shall be duly made by the County of Eagle, State of Colorado, as directed by the Colorado Revised Statutes (1973 as amended), and as otherwise required by law. 2. If any part, section, subsection, sentence, clause or phrase of this ordinance is for any reason held to be invalid, such decision shall not affect the validity of the remaining portions of this ordinance; and the Town Council hereby declares it would have passed this ordinance, and each part, section, subsection, sentence, clause or phrase thereof, regardless of the fact that any one or more parts, sections, subsections, sentences, clauses or phrases be declared invalid. 3. The Town Council hereby finds, determines, and declares that this ordinance is necessary and proper for the health, safety, and welfare of the Town of Vail and the inhabitants thereof. Ordinance 32, Series of 2006 4. 'The repeal or the repeal and reenactment of any provision of the Municipal Code of the Town of Vail as provided in this ordinance shall not affect any right which has accrued, any duty imposed, any violation that occurred prior to the effective date hereof, any prosecution commenced, nor any other action or proceedings as commenced under or by virtue of the provision repealed or repealed and reenacted. The repeal of any provision hereby shall not revive any provision or any ordinance previously repealed or superseded unless expressly stated herein. 5. All bylaws, orders, resolutions, and ordinances, or parts thereof, inconsistent herewith are repealed to the extent only of such inconsistency. This repealer shall not be construed to revise any bylaw, order, resolution, or ordinance, or part thereof, theretofore repealed. INTRODUCED, READ ON FIRST READING, APPROVED AND ORDERED PUBLISHED ONCE IN FULL, this 21st day of November, 2006. A public hearing shall be held hereon at 6 P.M. on the 5th day of December, 2006, at the regular meeting of the Town Council of the Town of Vail, Colorado, in the Municipal Building of the Town. Rod Slifer, Mayor: ATTEST: Lorelei Donaldson, Town Clerk READ AND APPROVED AS AMENDED ON SECOND READING AND ORDERED PUBLISHED IN FULL this 5 day of December, 2006. Rod Slifer, Mayor ATTEST: Lorelei Donaldson, Town Clerk Ordinance 32, Series of 2006 2 MEMORANDUM TO: Vail Local Marketing District Board FROM: Kathleen Halloran DATE: November 28, 2006 RE: VLMD Budget Message The 2007 Vail Local Marketing District (VLMD) budget is prepared on a cash basis. The proposed revenue budget is $1,690,000 and the proposed expenditure budget $1,690,000. The fund balance is 34% of revenue by the end of 2007. T._].____.,__ C.,.. ~L ,. ~7T T.TT 1 AO/ 4..., 1~~.; n.~ ~~a rtinn rn~~ar~n ao wi1'~ir1 the t"i lllltli y revelltle LUl L11G V L1V11J iS a 1.`r /U pan i~ v ts.u on ivu~jittFj a v v vuuw vv a ~iiaai Town of Vail. Lodging tax receipts are budgeted at $1,690,000 for 2007. This is an increase of $50,000 or 3% from the 2006 actual. The lodging tax revenue budgets have been held flat in prior years, and a conservative increase was projected for 2007. The projected lodging tax revenue for 2006 is $1,640,000 compared with a budget of $1,640,000. Funds received by the VLMD are used to market the shoulder and summer seasons within the Town of Vail. The 2007 expenditures of $1,690,000 represent an decrease of $79,082 or (4.4)% from the current year amended budget. -67- RESOLUTION N0.23 SERIES 2006 A RESOLUTION APPROVING A BUDGET AND OPERATING PLAN OF THE VAIL LOCAL MARKETING DISTRICT, FOR THE FISCAL YEAR JANUARY 1, 2007 THROUGH DECEMBER 31, 2007. WHEREAS, the Town of Vail (the "Town"), in the County of Eagle and State of Colorado, is a home rule municipal corporation duly organized and existing under laws of the State of Colorado and the Town Charter (the "Charter"); and WHEREAS, the members of the Town Council (the "Council") of the Town of Vail have been duly elected and qualified; and WHEREAS, the Vail Local Marketing District (the "VLMD") is local marketing district created and organized pursuant to C.R.S. § 29-25-101 et seq.; and WHEREAS, the Council received the operating plan and budget of the Vail Local Marketing District for the 2007 fiscal year on or before December 5, 2006, and has provided required notice at set forth in C.R.S. § 29-1-106; and WHEREAS, C.R.S. § 29-25-110 requires the Council to approve the operating plan of the VLMD for the 2007 fiscal year by December 5, 2006. NOW, THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF VAIL THAT: 1. The Council hereby approves the operating plan of the VLMD for the fiscal year beginning January 1, 2007, and ending December 31, 2007, attached hereto as Exhibit A, and made a part hereof by reference. 2. This resolution shall take effect immediately upon its passage. INTRODUCED, READ, APPROVED AND ADOPTED this 5th day of December, 2006. By: ATTEST: Lorelei Donaldson, Town Clerk Rodney E. Slifer, Mayor Resolution No. 23, Series 2006 Income 310 • Lodging Tax 399 • Interest Income Total Income Expense 6301 -Destination Advertising 6302 • Front Range 6302.06 • Advertising 6302.07 • Partnerships Total 6302 • Front Range 6303 • Groups and Meetings 6304 • Public Relations Expenses 6305 • Fulfillment 6306 • Photography 6307 • Research 6310 • Admin Miscellaneous 6311 • Database Mgmt & Direct Mail 6314 • Collateral 6315 • Web 8~ Email Marketing 6316 • Events 6317 • Cross Sell 6400 • Contingency 7000 • Professional Fees 7001 • Legal and Accounting 7003 • Advertising Agent Fees 7004 • Media Agency Fees 7007 • Marketing Coordination-WCTB 7008 • PR -Professional Fees 7009 • Web Site 7010 • Strategic Advisory Fess 7011 • Partnership 7012 • Air Service 7013 • Concierge Program 7014 • TOV Loan Repayment Total 7000 • Professional Fees 8000 • Interest Expense Total Expense Net Income Beginning Fund Balance Ending Fund Balance" *Includes TOV Capital Contribution Vail Local Marketing District 2007 Proposed Budget 2006 2006 2007 2005 Original Amended Proposed Actual Budget Budget Budget 1,711,743 1,640,000 1,640,000 1,690,000 6,541 1,718,284 1,640,000 1,640,000 1,690,000 131, 347 185,466 304,077 318,246 34,825 40,000 40,000 220,290 344,077 358,246 138,000 342,000 40,000 382,000 271,517 315,430 304,828 267,000 68,354 85,000 79,992 92,500 7,066 10,000 8,735 5,000 15,5'x5 65,000 69,463 57,000 51,165 45,000 39,073 27,000 4,078 5,000 3,530 5,000 67,564 84,000 66,127 6,000 26,282 45,000 10,222 24,000 67,118 23,000 27,141 58,000 30,000 50,000 50,000 53,000 21,527 152,600 137,708 3,500 20,000 - 30,800 20,134 18,000 18,000 16,900 84,000 55,260 60,165 84,000 20,000 20,000 20,000 20,000 119,822 114,800 114, 800 118, 300 100,000 75,000 75,000 75,000 37,250 100,000 116,052 77,000 30,000 40,000 35,000 47,250 30,000 30,000 .30,000 20,000 20,000 20,000 20,000 20,000 28,000 100,000 100,000 100,000 37,000 528,456 583,060 614,017 541,200 289 1 510 1,827,167 1, 769,082 1,690,000 , , 996 207 (187,167) (129,082) - , 488,899 500,227 696,895 567,813 696,895 313,060 567,813 567,813 137,000 37,000 37,000 - Exhibit A O 1v~+~t~fo~vnit I~so~r November 20, 2t~Ob LORL GGRr, ~EST_ii;RA\T • !'iTZWILLi~:vi'S ,GL;\GE Members of the Town Council The Town of Vail 75 South Frontage Road, West Vail, CO 81657 Dear Council Members: I understand you are going to consider two proposals for the redevelopment of the LionsHead Parking Structure, to include lodging, conference space, retail and parking. I urge you to give strong consideration to the East West Partners proposal. As you know, I have had the pleasure of working with East West Partners at Manor Vail. A number of challenges have been thrown at us, both internally and externally, and East West Partners has proven to be very loyal and creative. To date we have not found a challenge that, by working together, we couldn't overcome. In addition, they have a proven track record both locally and nationally in the very kind of development that you are considering at the LionsHead location. Aside from the quality of the organization, I think their proposal is the superior proposal. I believe that the Civic and Learning Center that they have proposed will be a good fit for Vail. The Hyatt brand is considered one of the top two brands by affluent consumers for recognition of consistently fine accommodations and services, and Hyatt is one of the top two brands in the country for bringing in group business. This is consistent with the image of Vail that we want to project, and know that their. operations throughout Colorado are very successful. Their reputation and clout will go a long ways toward assuring success for the lodging component as well as the retail in the surrounding area. Thank you for your consideration. MANOR VAIL RESORT ', ," '~~/Or. , /' ~ 'r / ~ -_J!' - E-' ~~ Robert S. McCleary, General Manager cc: Vail Daily ~g7 EMS=' ~:~.iL ~i..-;.,,.. R',Vv • ~wP,'= , COL~RADG vi C`,': I-~C~-95GViIL {~~45;, 0 4"~-:i%~-;~v%' • 9;v-Tl~ -'r"~~ ~ ,.. • w~n~..._..^:c;r~•aiL_v.: ~.t'~~.i t~ RCS,, :;-c N~,F-, s~._:y TOR'NOFVAQ, November 29, 2006 OCTOBER 2006 VAIL BUSINESS REVIEW The October Vail Business Review breaks down the four percent sales tax collected for October and the summer season (May-October). Overall October sales tax increased 2.0% with Retail increasing 1.4%, Lodging increased 5.5%, Food and Beverage decreased 4.7% and Utilities/Other (which is mainly utilities but also includes taxable services and rentals) increased 7.0%. The summer (May-October) resulted in a 3.0% increase overall with Retail increasing 3.2%, Lodging increased 6.4%, Food and Beverage increased 3.8% and Utilities decreased 2.1%. Town of Vail sales tax forms, the Vail Business Review and the sales tax worksheet are available on the Internet at www.vailgov.com. You can subscribe to have the Vail Business Review and the sales tax worksheet e-mailed to you automatically from www.vail og_v.com. Please remember when reading the Vail Business Review that it is produced from sales tax collections, as opposed to actual gross sales. If you have any questions or comments please feel free to call me at (970) 479-2125 or Judy Camp at (970) 479-2119. Sincerely, ~~~ Sally Lorton Sales Tax Administrator October 2006 SALES TAX VAIL VILLAGE October October October 2005 2006 % _ Col lections Collections f_ Cha_ nee _ Retail 64,779 67,863 4,g% Lodging 25,174 25.831 2R°~„ Food & Beverage Other Total i 69,600.. 72,393 4.0% ! i i 1,451 1,.736 19.6°la 161.:,004 167,823 4.2°/, __--- -' LIONSHFa n October 2005 Collections Retail ~~ 14,461 Lodging 16,693 Food & October 2006 Collections 13,787 23,285 Beverage ' 15,757 18,78fi C Other - 3,377 2,232 Total 50,288 58, 0~0 ----- October Chan e - ~--- -4.7 39.5% i 19.2°/a -33.9%v ~ 15.5°Io October 2006 SALES TAX CASCADE VILLAGE/EAST VAIL/SANDSTONEM/EST VA/L October October October 2005 2006 Collections Collections __ _ Change Retail 90,670 97,692 7F7% 1 I Lodging 28,414 24,826 -12.6°!° Food & Beverage '~~ 43,101 3'1,523 -26.9%' Other ~ 4 120 3,767 -8.6% ~ Total ! 166,305 .157,808 -5.1°1° OUT OF TOWN October October .October 2005 2006 ~ Collections - Collections _ Chan~e__ Retail ' 46,946 40,599 -13.5% Lodging ~'; 1,135 '1,419 25.0% Food & Beverage 323 0 -100.0 ; i Utilities & ~~, 140,264. '15'[,873 8.3% ~~ j Other ~ ~ _ ___ I Total ~~' 188,668 193,891 ~ 2.8°l0 1 October 2006 SALES TAX Tnrai October October October. 2005 2006 Collections Collections _ Chanc,~e Retail I ~ 21.6,856 21:5,941 1~4°!° Lodging 71,416 75,361 5.5% j Food & i Beverage 128,781 122,72 -~4.7°~ I Utilities & ~ 149,212 '159,608 7.0°I° Other Total 566,265 577,612 2.0% RETAIL SUMMARY October 2005 Collections October 2006 Collections October Change FOOD 67,062 70,950 5.8% LIQUOR 13,456 15,040 11.8% APPAREL 19,703 20,067 1.8% SPORT 37,362 41,155 10.2% JEWELRY 6,446 6,315 -2.0% GIFT 3,950 3,309 -16.2% GALLERY 815 1,711 109.9% OTHER 67,307 61,079 -9.3% HOME 755 315 -58.3°,/0 OCCUPATION TOTAL 216,856. 219,941 1.4% ti Summer 2006 Sales Tax VAIL VILLAGE Summer Summer Summer 2005 2006 ____ Collections Collections Change Retail ~' Lodging Food & Beverage Other ~~ Total 707,992 __T 703,375 _ ~ -0,7°/v ~ 377,998 387,148 i 2.4% l 747,920 777,119 i 3.9% j i 28,505 29,fi43 4.0% 1,8fi2,415 1,897,285 1.9% LIONSHEAD Summer Summer Summer 2005 2006 Collections ----- - - Collections - _ Change Retail ; ~ 146,5fi0 1.53,104 4.5%a r Lodging ! 247,305 282,184 i 14.1% Food & ~ i 1 Beverage ~ 161,611 170,509 5.5% Other C 25,7fi3 19,334' •25.0% i Total ~ 581,239 625,131 7.6% j Summer 2006 Sales Tax CASCADE VILLAGE/EAST VAlIJSANDSTONEM/EST VAIL Summer Summer Summer 2005 2006 Collections Collections _ Change ~- - -- - -- Retail 671,503 707,567 5.4% a Lodging 2X,491 289,188 4.fi% 1 Food & Beverage '' 308,933.. 319,676 - 3.5°~ ,1 j Other 29,854 29,960 0:4% Total ~ 1,286,781 1,.346,391 4.fi% OUT OF TOWN Retail Lodging Food & Beverage Utilities & Other Total Summer Summer Summer 2005 2006 Collections Collections Change 247,256 266,857 79% ; 6,281 7,585 2.0.$o/a 6,146 4,308 -29.9°f° 835,623 821,522 -1.7% 1,095,306 1,100,272 D.5% Summer 2006 Sales Tax TOTAL Summer 2005 Collections Retail 1,773,311 Lodging 908,075 Food & Beverage ~ 1,224,6'0 Utilities & ' 919,745 Other ~ _ Total 4,825,741 Summer Summer 2006 Collections Chan e 1,830,903 3.2%~ 966, ~ 05 6.4~° 1,271,,612 3.$% 900,459 -2.1 % I 4,969,079 3,0% I - - ---- RETAIL SUMMARY Summer 2005 Collections Summer 2006 Collections Summer Change FOOD 518,429 537,251 3.6% LIQUOR ..103,499 113,940 10.1% APPAREL 227,385 229,757 1.0% SPORT 343,134 358,211 4.4% JEWELRY 95,980 87,197 -9.2% GIFT 47,638 48,802 2.4% GALLERY 26,459 31,794 20.2% OTHER 406,545 420,317 3.4% HOME 4,242 3,634 -14.3% OCCUPATION TOTAL 1,773,311 1,830,903 3.3% MEMORANDUM November 29, 2006 To: Vail Town Council Stan Zemler Pam Brandmeyer Judy Camp From: Sally Lorton Re: October Sales Tax On the reverse side please find the latest sales tax worksheet. I estimate I'll collect another $22,000.00 in October sales tax to bring October collections to $599,605.00. If so, we will be up 11.81% or $63,311.00 from budget and up 5.9% or $33,432.00 from October 2005. Town of Vail Sales Tax Worksheet 11 /29/2006 Month 1995 7996 7997 7998 7999 2000 2007 2002 2003 2004 2005 udget 2006 CO//BCt%Ol1S Budget Votience % Change Bom 2005 % Change lrom Budget January 1 894 597 1 935 78 February March Apnt May June July August September October , , 1,816,107 2,139,298 791,092 324,681 590,685 893,483 867,125 645,902 461,791 , , 2 1,993,389 2,240,865 966,993 318,920 594,907 963,717 990,650 630,453 413,573 2,052,569 2,089,673 2,580,992 874,427 329,783 630,366 1,043,637 1,073,430 637,831 472,836 2,115,359 2,153,121 2,368,077 1,107,334 382,718 633,400 1,107,882 1,183,926 735,608 515,531 2,066,459 2,034,529 2,021,486 2,223,670 2,415,202 2,545,573 952,843 926,771 370,864 388,121 692,811 721,774 1,130,883 1,235,470 1,050,004 1,038,516 806,600 817,313 536,204 547,201 2,210,547 2,366,321 2,568,871 1,043,431 448,234 751,439 1,157,867 1,124,275 747,766 486,570 2,073,481 2,281,833 2,699,664 870,875 414,248 657,707 1,044,966 1,084,318 713,574 484,425 1,997,091 2,117,163 2,372,942 871,468 428,919 742,755 1,075,532 1,029,446 679,208 508,092 2,225,841 2,362,825 2,344,178 992,157 411,595 732,113 1,128,514 994,445 757,033 532,537 2,275,967 2,429,377 2,785,101 915,554 458,770 834,913 1,166,183 993,985 795,807 566,173 2,241,544 2,379,495 2,360,716 999,157 414,499 737,278 1,136,476 1,001,461 762,374 536,294 2,597,270 2,526,477 2,850,194 1,279,581 449,080 804,870 1,254,425 1,052,748 830,333 577,605 355,726 146,982 489,478 280,424 34,581 67,592 117,949 51,287 67,959 41,311 14.12% 4.00% 2.34% 39.76% -2.11 °,/0 -3.60°/u 7.57% 5.91% 4.34% 2.02% 15.87°ro 6.18°0 20.73% 28.07°,u 8.34% 9.17; 10.38% 5.12% 8.91 °% 7.70% Total 10 424 7G1 , , 11,049,249 11,785,544 12,302,956 12,043,&~ '~8 17,905,321 12 ° - ~ i , 1 ., 1 ~ 1 _ .l 1 - i ,0 12 ,65.294 14,222, X83 1,653;?_139 7 5 7 °-c. 13.15 November 611 147 December , 1,994,540 601,208 2,068,851 707,166 2,254,709 656,596 2,070,834 582,260 691,445 1,883,805 2,062,205 571,783 1,933,940 642,293 2,139,417 591,269 2,171,098 623,646 2,362,095 713,117 2,549,032 628,046 2,378,760 Total 13,030,448 13,719,308 14,747,419 15,030,386 14,509,421 15,232,588 15,41 1,044 15,106,801 14,578,983 15,466,979 16,483,979 15,576,100 14,222,_583 .1,653,289 MEMORANDUM TO: Town Council FROM: .Judy Camp DATE: November 30, 2006 SUBJECT: Lift Tax Calculation Per Kent's request at your November 21st meeting, the attached memo explains the methodology used by Vail Resorts to determine the amount of lift tax due the town. i T+ ~ • ~a''e North America's #1 Resort _. :_ _-, i } June Z6, 2003 f Vail- Tawas COUnCll Tows of Vasil 75 South Ftage Road Vail, Cp~,$17 j ,.°, -`L Re: Cal~ulation'af Vail Mountain Lift Revenue for Town of Vai14% Assessment of Vail Resorts, Inc, for Town Bus Transportation. Dear Town. Cauncil~Members, This letter is in response to your request to clarify how the 4% lift ticket assessment is ~. calculated with respect to the variety of Vail Resorts, Inc. lift access products currently ` available in the marketplace including the Colorado Pass. ~,~ V1 Resorts, Inc. pays the~Town of Vail a 4% assessment on all lift revenue generated on Vail Mountain including window ticket sales, Internet sales, season pass sales including the Colorado and Merchant Passes, and winter and summer sight seeing rides. Revenue is recognized at the base of the mountain through our ticket scanning system. In effect, onr scaling staff with their scanning equipment is our cash register. Every indfvidua~/guest accessing Vail Mountain is scanned including employees, outside vet~ars contractors and U~ Forest Service personnel. Simply put no valid ticket, no ride: As eac~scan takes place, revenue recognition occurs based on the bar code on the product presented whether it is a paper lift ticket, season pass,. employee/dependent pass or a Peaks Cara with adrect-to-lift component attached to the bar code (credit card attached The revenue recognized by the scanning equipment is the revenue that is associated with that particular lift access product. As an example, a single day lift ticket sold at the tict~et window would be revenue recognized at the price the ticket was purchased for at the window. A multi-day lift ticket would be revenue recognized at the fractional component Qf the product purchased (i.e. three, four or five day ticket purchase price divided by the. number of days with that portion of the revenue recognized on each day of use). ~z In the case of seasan passes, and in particular with respect to your inquiry regarding the Colorado Pass;; season pass revenue recognition occurs when the pass is presented on Post Office Box 7 Vail, Co{orado 81658 970-845-2500 vrww.vail.com vA ~ ~ RESORTS' *.~ each day of use. Because the majority (if not all} of Vail Resorts season passes have multi-resort capability, the revenue associated with that pass usage is credited to the resort where the pass is scanned. Vail Resorts estimates, based on season pass usage history at the start of every. ski season, the number of days of use each type of pass product will incur. As an example, Vail Mountain and Beaver Creek Resort historically estimate that a Merchant Pass will be used 25 times during the season and the purchase price of the Merchant Pass is divided by 25 creating a daily revenue amount to be recognized by the scanning process. As the season progresses, pass usage is monitored and adjustments are calculated based on actual usage. Daily revenue amounts are adjusted accordingly. This past season Merchant Pass holders skied in excess of 26 days and the resort's daily revenue from Merchant Pass usage had to be adjusted down to account for the increased usage. Because the Merchant Pass is good at both Vail and Beaver Creek (with the exception of the Breckenridge/Keystoneupgcade option) the resort where the pass is scanned receives the revenue associated for that day. At the end of the season, fmal calculations are made based on total season pass usage byproduct category. Season pass revenue is precisely calculated to each resort where pass usage occurred. These final adjustments are made in the month of April after the slci season ends. Generally this "breakage calculation" represents less than 1 % of Vail Mountain's total lift revenue but does increase April lift revenue for the Town of Vail assessment calculation. In the case of the Colorado Pass, which is valid at Vail Resort's four Colorado resorts, usage is estimated at 10 times at the start of each season (adult or children's purchase price divided by 10) and that revenue is credited to the resort where the Colorado Pass is scanned on each day it is presented. At the end of the season, actual usage is determined and revenue adjustments are recalculated with actual revenue adjusted according to individual resort usage. Historically Colorado Pass usage has averaged 8.5 to 9.3 days of use (9.1 days this 2002/2003 ski season) with just 2.1 days used this season at Vail. Based on the actual usage of 9.1 days, the Vail Resorts blended rate (adult and children pass usage) earned $30.05 each day the Colorado Pass was presented. In the case of Vail Mountain, Vail earned $30.54 each day the Colorado Pass was presented (due to a higher ratio of adult versus children's passes presented at Vail than the Vail Resorts average). Total Colorado Pass revenue earned by Vail Mountain during the 2002/2003 ski season was $7,748,000, which in turn Vail Resorts paid the applicable 4% Town of Vail transportation assessment on that as well as Vail Mountain's other ticket revenue. Vail Resorts has one of the most sophisticated lift access (ticketing and season pass) systems in the world. The philosophy of amulti-resort lift ticket or season pass has been beneficial from a marketing standpoint for Vail Resorts in a very competitive ski resort environment. As the Chief Operating Officer of Vail I am responsible for Vail Mountain's profitability (the combination of revenue and operating expenses). I personally monitor Vail Mountain's lift ticket revenue on a daily basis and I want to assure the Town of Vail and the Town Council that we share a common interest in maximizing Vail Mountain's lift ticket and season pass revenue. If you have any further questions regarding Vail Mountain's lift ticket revenue I will attend the work session on Tuesday, July 1 and be available to answer your questions. Best regards, 3:~ -s--- Bill Jensen Senior Vice President Chief Operating Officer Vail Resorts