SUPPORTS ITEM NO. 1 
                                                       P&E COMMITTEE AGENDA
                                                       APRIL 25, 1996      

                                                                POLICY REPORT
                                URBAN STRUCTURE

                                                       Date: April 11, 1996
                                                       Dept. File No.: HR  


   TO:       Standing Committee on Planning and Environment

   FROM:     Director of Community Planning, in consultation with
             General Manager of Engineering Services
             General Manager of Parks and Recreation
             Director of Community Services, Social Planning
             Manager of Housing Centre
             Director of Finance

   SUBJECT:  MC-1/Welwyn Street Planning Policies


   RECOMMENDATION

        A.   THAT the proposed policies in the attached document entitled
             "Cedar Cottage MC-1/Welwyn Street Planning Policies" (Appendix
             A), be adopted by Council, as a guide to implementation of B.

        B.   THAT Council adopt the following implementation actions:

             (i)   THAT the Director of Community Planning be instructed to
                   report back with proposed amendments to the existing
                   MC-1 zoning, including guidelines.

             (ii)  THAT the Director of Community Planning be instructed to
                   report back on Development Cost Levies in the area.

             (iii) THAT the Manager of the Housing Centre, in consultation
                   with the Director of Community Planning, be instructed
                   to develop and implement a process for the development
                   of a demonstration housing project on the Greater
                   Vancouver Regional District (GVRD) site, once the site
                   has been acquired.

             (iv)  THAT the General Manager of Engineering Services, in
                   consultation with the Director of Community Planning, be
                   instructed to undertake the development of a conceptual
                   design for the proposed streetscape improvements
                   outlined in the attached Policy document, and approve
                   $10,000 for consultant services and related expenses for
                   this purpose, to come from 1996 Contingency Reserve.

             (v)   THAT the General Manager of Engineering Services, in
                   consultation with the Director of Community Planning,
                   and General Manager of Parks and Recreation be
                   instructed to report back on the funding mechanisms and
                   timing of implementation of the street tree and sidewalk
                   restoration on Commercial Street between 18th and 22nd
                   Avenues described in this report.

             (vi)  THAT the General Manager of Engineering Services be
                   instructed to pursue the paving of the lane west of
                   Commercial Street, between 18th and 20th Avenues,
                   through a Local Improvement Initiative.

             (vii) THAT the General Manager of Engineering Services be
                   instructed to conduct a review of on-street parking in
                   the study area, including the consideration of parking
                   relaxations for change-of-use in existing buildings, and
                   report back, if necessary, with recommended changes to
                   the Parking By-law.


   GENERAL MANAGER'S COMMENTS

        The General Manager of Community Services RECOMMENDS approval of A
        and B.


   COUNCIL POLICY

   Industrial Lands Strategy

   On July 10, 1990, Council resolved that 270 acres be released from
   industrial uses, and that the Director of Planning, in consultation with
   the Director of Housing and Properties and the City Engineer, review
   land use options and recommend new zoning schedules, including
   residential where appropriate.  The MC-1 area was included in these
   lands.

   CityPlan

   On June 6, 1995, Council endorsed CityPlan, which provides a number of
   directives relating to providing housing variety in neighbourhoods.

   SUMMARY

   The MC-1/Welwyn Street study area is an industrial "let-go" area where a
   mix of light industrial, commercial and residential uses has existed and
   evolved for the last 20 years.  This long history of mixed-use, and a
   community desire to maintain this mix, makes this area different than
   other industrial "let-go" areas.  The diverse building ages and styles
   and mature street trees contribute to the unique character of this area,
   which people living and working in the area would like to see protected. 
   Light industry and services wish to remain in the area, while vacant and
   under-utilized sites offer excellent opportunities to add housing
   capacity and choice.  The vacant Welwyn Street GVRD site which the City
   is currently seeking to acquire for a demonstration housing project, is
   one of these opportunities.

   The planning process involved generating and sharing information and
   ideas on separate topics like housing, industry, parks and traffic with
   the local community; these were brought together into a draft concept
   plan at a two-day design workshop.  The attached draft policies were
   developed from the concept plan.  Throughout the process, staff worked
   with a Working Group representing area interests, as well as maintaining
   broader community contact through newsletters, open houses, surveys, and
   discussions with interest groups.

   The proposed policies for the MC-1 area confirm a mixed-use future,
   balancing residential, commercial and industrial uses.  Mixed-use is
   extended into the Stainsbury Triangle located at Victoria Diversion and
   Stainsbury Avenue.  The policies call for the general density and height
   restrictions to remain the same as now.  The policies encourage
   compatibility between uses, and enhance area livability through design
   and improvements to streetscape.  They enhance the existing character of
   the area, and retain the valued aspects of built form.  For the Welwyn
   Street area, because there is a mix of community opinion,  the policies
   include two housing options:  a low- to medium-density, multi-family
   project and single-family housing.  For both options, the new housing
   would be designed to include traditional single- family housing features
   like front porches, peaked roofs and landscaped front yards.

   The report describes steps to implement the policies.  Planning staff
   will report back with recommended amendments to the zoning, including
   design guidelines, and on Development Cost Levies (DCLs).  Should the
   City acquire the GVRD site on Welwyn Street, Housing Centre staff will
   develop a process to pursue a housing demonstration project.  There are
   also several Engineering initiatives, including a streetscape concept
   design, restoring the street trees and sidewalks on Commercial Street,
   lane paving, and a parking review.  Staff will report back to Council as
   and when necessary on these items.

   PURPOSE

   The purpose of this report is to request Council approval of the
   recommended policy directions for the MC-1/Welwyn Street area, and to
   outline the planning and public consultation processes that led to them. 
   In addition, the report discusses recommended implementation actions.


   BACKGROUND

   The MC-1 area was identified as an industrial "let-go" area in 1990, to
   be reviewed for future land use options, including residential.  With
   respect to the adjacent Welwyn Street site, in mid-1994 the Greater
   Vancouver Regional District (GVRD) (who own the site) agreed to defer
   its sale to allow for an investigation of residential development
   possibilities.  In May 1995, Council adopted a work program to plan the
   MC-1 area, including investigating options for the Welwyn Street site. 
   The work program was based on a set of goals and objectives that
   confirmed the mixed land use nature of the area, and the desire to
   maintain this mix.

   The study area's long history of mixed-use, including light industrial,
   commercial and residential uses, is unique in Vancouver.  In undertaking
   the planning study, the key goals were to find ways of keeping the
   diverse uses in balance while making the most of the locational
   opportunities for development; to better ensure compatibility among
   uses; and to improve the "fit" of new development into the existing
   sense of place.  Community and redevelopment interest in the area made
   the planning study particularly timely.

   In October 1995, Council directed the Manager of Real Estate Services to
   enter into negotiations with the GVRD to acquire the GVRD property on
   Welwyn Street.  These negotiations are ongoing at present.


   DISCUSSION

   1.   Existing Situation

   Figure 1 shows the study area, including the Welwyn Street site.  The
   parcels on Welwyn Street owned by the GVRD are outlined.  The total
   study area is approximately 5 ha (12 ac.) in size.  The area has
   approximately 600 full and part-time jobs, and 60 dwelling units.





   Figure 1.  Study Area Boundaries and Zoning




































   (a)  MC-1 Area

   The MC-1 area currently has a mix of small and large manufacturing,
   wholesale, service and office uses, as well as two small retail uses. 
   The buildings on Commercial Street are diverse in age, style, and
   materials.  They are located at the front property line, without
   setback.  The mixture of new and old, the diversity of businesses, the
   urban feel of the street, and the mature trees all contribute to an
   idiosyncratic character that most residents, tenants and owners value.

   On Commercial Street the current zoning allows for a mix of industrial
   and commercial uses, alone or in combination with residential.  In the
   Stainsbury Triangle, the zoning allows only industrial and
   commercial--neither residential nor retail are permitted.  The maximum
   density is 2.5 FSR (achievable only with mixed-use), and a maximum
   height of 4 storeys.  The GVRD owns a large vacant site on Commercial
   Street.  The City also owns a works yard in the Stainsbury Triangle
   which is proposed to eventually be relocated to the new False Creek
   Flats yard.

   Although there has been very little development in the area over the
   last 20 years (3 new buildings), there are currently 2 approved
   Development Permits, both for mixed-use commercial residential
   developments.

   (b)  Welwyn Street

   Current land uses in the half block on Welwyn Street include three
   single-family houses; the vacant site owned by the GVRD which the City
   is currently negotiating to purchase; and the B.C. Tel works yard which
   will remain for at least the medium term.

   The area is zoned RS-2.  Under this zoning, the 7 separate 10 m (33 ft.)
   lots on the GVRD site could be developed with 7 single-family houses to
   a density of 0.6 FSR.  The B.C. Tel site has 110.0 m (361 ft.) of
   frontage, and could be developed, conditionally, with multiple
   dwellings, to a density of 0.75 FSR.

   Welwyn Street has a wide pavement, with curbs but no sidewalks or street
   trees.  It is unusual in that the houses on the west side of the street
   face Maxwell Street and back onto Welwyn, with backyards, garages and
   driveways.

   (c)  Surrounding Area

   The area immediately surrounding the MC-1/Welwyn study area is mainly
   single-family, with some commercial to the north on Victoria Diversion. 
   Clark Park and John Hendry Park with the Trout Lake Community Centre are
   located nearby.  The 1991 Census for the broader Kensington-Cedar
   Cottage local area indicates that the area as a whole has a higher
   proportion of low-income households, lone-parent families, and Chinese
   speaking residents than the city average.

   2.   Planning Process and Public Consultation

   The planning process included three main phases.  In each of these,
   consultation occurred through the use of a core working group; checks
   with their respective interest groups; and broader community contact
   through newsletters, open houses, and surveys.  
   All newsletters and surveys were translated to Chinese.  The working
   group includes two area landowners, two area residents, a Beatrice
   Street resident, and three residents from the larger area. 
   Unfortunately, there was no Maxwell Street resident able to participate
   in the working group.  Surveys and open houses have been used to gain
   their opinion as much as possible.

   The first phase of the planning process focused on generating and
   sharing information and ideas on specific topics, mainly with the
   working group.  A survey was also conducted of Maxwell Street residents
   regarding features they preferred in housing on the Welwyn Street site. 
   The second phase brought the separate topics together into a draft
   concept plan.  This was done in a two-day public design workshop held in
   the community in late October.  The results were displayed the following
   week at the Community Centre, and were sent out to the broader area in a
   newsletter.  A survey in the newsletter sought people's opinions on the
   key directions.  Two hundred and thirty responses were received from the
   2,000 surveys distributed (12% response rate).  The third phase
   developed these draft policies, together with the working group,
   resolving any outstanding issues.

   3.   Summary of Policy Directions

   The detailed policy directions for the MC-1/Welwyn Street area are
   contained in the attached "Policies" document Appendix A.  The following
   is a brief overview of the general directions.

   (a)  MC-1 Area

   All the proposed directions for the MC-1 area have received support from
   the survey, the working group and the open houses.

   -  Commercial Street would continue as a mixed-use area, permitting the
      industrial presence to remain as new residential/mixed-use is
      developed.  Compatibility issues between residential and industrial                                     - 2 -

      are addressed.  All development would be designed to be
      pedestrian-friendly.

   -  The Stainsbury Triangle would become mixed-use as well, by adding
      residential and retail uses which are not permitted now.

   -  All-residential buildings would be permitted (but not required) on
      the Stainsbury Avenue frontage, across from existing single-family
      houses.

   -  Maximum building heights and density would remain unchanged at 4
      storeys and 2.5 FSR.

   -  Guidelines would ensure valued aspects of built form and character
      are retained, as well as promoting enhanced compatibility between
      uses.

   -  Streetscape improvements would include modifying the intersections at
      Commercial Street and 18th, 20th and 22nd Avenues, with realignments
      and corner bulges; a pedestrian-activated signal at the Victoria
      Diversion; additional landscaping and lighting; and restoring the
      Commercial Street sidewalks while saving the trees.  These
      improvements would enhance safety and comfort, and complement the
      area's character.

   (b)  Welwyn Street Area

   The policies for Welwyn Street carry forward the two options:  a
   demonstration project for low- to medium-density, ground-oriented family
   housing (rowhousing, courtyard or pavilion forms); or single-family
   development.  The survey of Maxwell Street residents showed a strong
   preference for single-family characteristics.  The survey of the broader
   community was not conclusive with respect to housing form preference.

   Assuming the City is successful in buying the GVRD site, the policies
   call for the Housing Centre to initiate a process that will involve
   design and further community consultation, leading to a rezoning
   application.  Both housing options being considered satisfy the policies
   regarding form and character:

   -  New housing design would include traditional features such as front
      porches, peaked roofs and landscaped front yards, a variety of
      housing styles, and the look of individual "house-sized" buildings.

   -  The Welwyn Street streetscape would be improved by adding trees and
      sidewalks.  This would change the current industrial image to a more
      residential use.

   4. Implementation

   A number of work program items are proposed to implement the policies. 
   Each will involve further community consultation.  The working group has
   expressed interest in remaining involved as this occurs, and staff
   support this.

   (a)  MC-1 Area

   If directed by Council, Planning staff will make application to bring
   forward to Public Hearing amendments to the existing MC-1 zoning
   schedule, in accordance with the provisions in the Policy document.  A
   set of guidelines will be developed to support the amended zoning
   schedule.  Staff will also prepare a report on DCLs to be charged for
   new construction in this area.  Staff anticipate returning to Council
   with the referral report later this year.

   (b)  Welwyn Street GVRD Site

   Assuming the City gains ownership of the GVRD Welwyn Street site, a
   separate process will be needed to pursue a housing demonstration
   project.  This process would be developed and implemented by Housing
   Centre staff in consultation with Planning.  It would be guided by the
   directions for Welwyn Street outlined in the policy document.

   A separate process will be developed when the site acquisition has been
   completed that will include:

   -  further design development of project options;
   -  investigation of regulatory issues and new prototype zoning;
   -  identification of market interest for the development; and
   -  public consultation involving the MC-1/Welwyn Street working group,
      the Maxwell Street residents, and the broader area residents with a
      view to gaining consensus if possible.

   (c)  Streetscape Concept Design

   To move forward on the streetscape improvements described in the
   policies, an overall conceptual design for the study area is needed to
   integrate the aspects of the public realm into one scheme and develop a
   funding strategy.  The conceptual design will allow individual aspects
   to be undertaken separately.  A consultant budget of $10,000 is
   requested to complete this work.  Staff propose that the streetscape
   concept be undertaken by Engineering Services in consultation with
   Planning, as well as with input from the working group and the
   community.

   (d)  Commercial Street Trees and Sidewalks Restoration

   There are currently 45 mature Linden trees planted on Commercial Street
   between 18th and 22nd Avenues.  These trees were planted in the 1970s as
   part of a Neighbourhood Improvement Program and are now large trees
   which contribute significantly to the character of the area.  The trees
   on the northerly blocks were planted within the paved boulevard, and
   have done considerable sidewalk damage.  On the southerly blocks, the
   trees were planted in a grass boulevard, and the heaving has been much
   less dramatic.  However, uneven sidewalk surfaces and maintenance have
   been an ongoing concern.

   The area residents and business owners strongly support retaining the
   trees, while addressing the poor sidewalk conditions.  Parks,
   Engineering and Planning staff have discussed different possibilities. 
   The proposed solution involves sidewalk removal, root pruning followed
   by installation of root barriers, sidewalk replacement and creation of a
   green space around the base of each 
   tree.  This solution works within the existing curb/sidewalk
   configuration.  In addition, by providing local experience with root
   barriers and converting paved areas to green space, this solution will
   be useful as a demonstration project for other areas of the City where
   mature trees are causing sidewalk damage.

   Preliminary cost estimates have been prepared by Engineering.  The
   timing and manner in which the restoration is completed, as well as
   funding mechanisms, including Capital Plan and Local Improvement
   Initiatives, are being considered.  It is recommended that staff
   continue to pursue this, and report back to Council.

   (e)  Lane Paving

   The lanes in the MC-1/Welwyn Street study area serve both residential
   and industrial/commercial properties.  Most of the lanes are narrow, but
   have been paved.  However, the lane to the west of Commercial Street
   between 18th and 20th Avenues is narrow and in poor condition, making
   truck access to the businesses particularly difficult.

   Although less than half of the lots involved have dedicated land for
   lane purposes, it is unlikely than the numerous dedications required can
   be achieved in the short to medium term.  Staff note that it is
   necessary to continue to pursue dedications to improve the lane width
   over time.  However, a Local Improvement Initiative should be considered
   now, recognizing that the resulting lane would be less than the optimal
   width.  Staff recommend that this be pursued by Engineering Services.

   (f)  Parking Review

   The policies recommend a review of the on-street parking situation in
   the area, and the problems existing buildings have meeting parking
   requirements when undergoing a change of use.  Engineering Services
   should undertake this review and report back, as necessary, with any
   recommended changes to the Parking By-law.


   CITYPLAN IMPLICATIONS

   The policies are consistent with CityPlan directions in many ways,
   including:

   -  keeping jobs and services close to where people live;
   -  proposing public places for meeting and socializing;
   -  increasing housing variety in an area where one housing type
      predominates;
   -  enhancing neighbourhood character;
   -  retaining existing trees and proposing to add new trees; and
   -  designing public spaces for a wider variety of activities.

   SOCIAL IMPLICATIONS

   Due to the mixed-use nature of the MC-1 and Welwyn Street area, a
   limited number of families with school-age children are expected. 
   However, pre-school age children are a possibility, and the proposed
   policies provide for consideration of allocating DCLs to daycare, and
   incorporation of family-oriented characteristics in new housing.

   ENVIRONMENTAL IMPLICATIONS

   In increasing housing variety and maintaining employment opportunities,
   the proposed policies contribute to the goals of reducing atmospheric
   pollution through "access by proximity."


   HUMAN RESOURCES/FINANCIAL IMPLICATIONS

   The implementation tasks can be accomplished with existing staff and
   approved budgets.  The exception is the streetscape concept design, for
   which a budget of $10,000 is requested to come from 1996 Contingency
   Reserve.  A future report on the Welwyn Street site process may identify
   other costs, but Council will have an opportunity to review these at
   that time.


   CONCLUSION

   The policies for the MC-1 area confirm a low-rise, mixed-use direction,
   with a balance maintained between existing industrial businesses and new
   development.  Key improvements include directions to build on the unique
   form and character of the area; to enhance the livability and
   compatibility of the use mix; to extend mixed-use into the Stainsbury
   Triangle sub-area; and to make the streets safer and more attractive for
   pedestrians both in and around the area.  There is broad community
   support for these directions.

   For the Welwyn Street sub-area, two options--to have a low- to
   medium-density, multi-family demonstration project or single-family
   houses (as now zoned)--are carried forward, since there is a mix of
   opinion in the community.  Assuming the City acquires the GVRD Welwyn
   Street site, this will be resolved in the next stage, through a process
   of discussion of specific housing proposals to be led by the Housing
   Centre.

   Several implementation initiatives are recommended for Council
   endorsement.




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