POLICY REPORT URBAN STRUCTURE Date: March 27, 1996 Dept. File No. 95029 RJ TO: Vancouver City Council FROM: Director of Central Area Planning, in consultation with the Director of City Plans, and the Manager of the Housing Centre SUBJECT: Proposed Rezoning of 940-960 Station Street (Trillium Site) RECOMMENDATION A. THAT, consistent with the False Creek Flats Preliminary Concept Plan, the IBI Group, rezoning applicants for 940-960 Station Street, be advised that the previously defined Trillium site is primarily suited for low-impact, city-serving and Downtown-related industrial uses and that the following would also be considered with the primary uses: - retail, service, and entertainment as minor components ancillary to the primary uses; and - artists' live/work studios, consistent with existing City policies; B. THAT, in association with the primary uses, Council is prepared to consider up to 150 units of industrial work/live as a pilot project; C. THAT if the site is expanded to include areas on Main Street or elsewhere outside areas set aside for industry, a range of other uses may be considered in the expansion area, including residential, commercial, retail, service, commercial work/live, and other uses consistent with a mixed-use community; D. THAT a comprehensive development rezoning will be considered for the site, with a form of development which addresses appropriate built form and urban design concepts, street pattern, open space and public realm schemes, and amenity provisions. GENERAL MANAGER'S COMMENTS The General Manager of Community Services RECOMMENDS A, B, C and D.COUNCIL POLICY - On March 14, 1995, Council approved the Industrial Land Policies which support retention of the False Creek Flats for mainly city- serving industry, transport, and service uses. - On March 28, 1995, Council amended the artist live/work studio policies in industrial zones, limiting them to rentals in existing buildings, with a maximum floor space ratio of 1.0, and time- limited permit approval. PURPOSE This report provides a commentary and recommended direction for further consideration of the Trillium rezoning application on the basis of the False Creek Flats Preliminary Concept Plan, outlined in a companion report. In particular, it considers the applicant's initial proposal for industrial live/work. Also, a brief response is provided on development ideas put forward more recently by the applicant in discussions with staff, as summarized in Appendix 'A'. If the applicant wishes to proceed in line with the proposed False Creek Flats policies, staff suggest using the cooperative planning process for major projects to reframe, develop, evaluate, and publicly review the application. Resources for this process are recommended in the companion report on the Preliminary Concept Plan. BACKGROUND In June 1995, Council decided that review of the Trillium rezoning should continue as the False Creek Flats overview unfolded, and in particular, the industrial live/work aspect of the Trillium rezoning should be considered and reported concurrently with the planning overview. Analysis of industrial live/work and work/live is included in a companion report that has assisted in the preparation of the False Creek Flats Preliminary Concept Plan and this report on the Trillium rezoning. DISCUSSION Site Description Figure 1. The Trillium Site The Trillium site is a 6.8 ha (16.8 acre) parcel on the northwest corner of the Flats. It is mostly vacant, with the exception of two small buildings on the property recently purchased on Prior Street. The Strathcona neighbourhood is to the north, separated by food wholesalers and Prior Street. To the west lies the Main Street area that is focused on Thornton Park, where the CityGate development is progressing. To the south, Pacific Central Station has recently been upgraded as a multi- modal transportation facility with passenger train and bus services. The use of the new 3.2 ha (7.8 acre) city park on the east will be determined by a park planning exercise currently underway in Strathcona. Soil assessment has been undertaken and a remediation plan has been approved by the Province. A 12.0 m (40 ft.) right-of-way along the south of the site permits access from Station Street to the new City works yard.Proposed Rezoning The IBI Group originally applied to rezone the Trillium site from M-1 (light industrial) to a new industrial district, to permit 760 industrial live/work units, and 430,000 sq.ft. of light industrial, cultural, recreational, retail, and office uses. The application was subsequently revised to a comprehensive development (CD-1) rezoning with the same range of uses. Over the last few months, the concept has evolved and the applicant now wishes to make revisions based on an expanded site including properties on Prior Street and possibly Main Street. The new proposal is described as a mixed-use neighbourhood which will include industry. Movie production will be a major component along with production shops ancillary to movie production such as: workshops, storage, general live/work, possibly industrial work/live, entertainment, some retail, and possibly residential on Main Street. The applicant has provided some details of the concept in a letter attached as Appendix 'A'. As the revisions have yet to be submitted, and the overall package has yet to be clearly defined, staff can only provide a general assessment of recently suggested uses. Industrial Use The Trillium site is ideally located for a variety of low-impact, Downtown-related industries that would provide a good transition from the Strathcona neighbourhood and the developing Thornton Park neighbourhood on Main Street, to the higher impact industrial uses of the Flats. The site is large enough to provide for a variety of parcel sizes, catering to both incubator and larger industries. The proximity to Downtown is attractive for high-tech users such as telecommunication, printing, and bio-medical operations, as the site provides easy access for sales, head office, or customer contacts. The location is also convenient for employees due to its proximity to public transit, as well as surrounding housing and amenities. The existing and future road system will provide good access for supplies and customers. Industrial Work/Live Use For many of the same reasons that support low-impact and high-tech industry, the site is also suitable for industrial work/live use. Industrial live/work was originally proposed, but staff analysis illustrates that the real need is for industrial work/live. The main difference between the two, is the assumption that work/live on industrial land can be justified by the higher impact processes which are not acceptable in commercial or residential zones and that similar to other industrial uses, the larger workspaces required can be assisted by industrial land values.Industrial work/live is also primarily 'work oriented', with special space and infrastructure requirements. Locational criteria are put forward in the companion live/work, work/live report. The Trillium site meets all of these criteria. As a result, staff support up to 150 units of industrial work/live on the Trillium site, noting that this represents a small component of their overall development. The recommended size is primarily based on the demand identified of about 300 units of industrial work/live over the next 5 years. Staff felt that any more than 150 units would be too large of a portion of the overall demand. At the same time, 150 units is enough for staff to assess the impacts on adjacent industry, industrial land values, and the provision of industrial jobs. Even if the impacts are more than anticipated, the modest amount of units will likely have little impact on the industrial land base and the value of industrial land. The project would also be of sufficient size so that the development could stand on its own and provide a sense of community in itself. It may also be large enough for the developer to provide for cross-subsidy of affordable units, recognizing that a large portion of the potential users have limited incomes. The units should be located away from the rail uses and any future traffic corridor to the south, in two or three buildings possibly located on a new east/west local street, linking Station Street to the new park. Building and Unit Characteristics Staff analysis and focus group studies with potential users have identified specific requirements for industrial work/live units which vary significantly from artist live/work studios. Industrial processes require larger work spaces, usually 180-250 m› (600-800 sq.ft.), a portion of which could be reserved for ancillary office space. Considering the impact of industrial processes, separation of the residential use is mandatory. This residential space will have to be tied to the work space, and both spaces should be purchased or rented as one unit. The distribution of space in each combined unit must be approximately 66% work and 33% living space, in order to ensure the primary focus is on 'work' and not 'live'. Specific work/live building needs include industrial-sized elevators, hallways, and loading bays. In the work space itself, heavy-duty electrical, ventilation, and plumbing systems would be necessary, as well as floors capable of carrying industrial loads. Work spaces and living spaces could also be partially finished to provide flexibility for adapting the spaces for specific work uses, as well as to promote affordability. The separation of these uses, however, would be required before occupancy. Common space shouldbe provided for meeting, recreational, or shared work space. Building code amendments to permit this use are currently being discussed with Permits and Licenses and would be developed during the detailed process related to the rezoning. IBI's Evolving Ideas for the Trillium Site The IBI Group wishes to revise their rezoning application to focus on movie production. In addition to studio space in at least three buildings, the complex would include production workshops and special effects labs, all of which may be linked to entertainment and proposed commercial live/work components. Residential uses may even be included on Main Street. Retail, service, and industrial work/live could also be part of the revised submission. The proposal is very much a comprehensive package and Trillium has advised that a large commercial live/work component is necessary to subsidize the cost of providing production studios and other industrial uses, which the applicant claims cannot afford high rents. - Movie Production: In addition to studios, this would include related industries, such as workshops for set construction, storage, studios for special effects, etc. All of these uses can be approved under the existing M-1 as well as proposed I-2 zoning and are supported by the Preliminary Concept Plan. Also supportable are ancillary retail and offices tied to the production use. - Workshops and Storage: Buildings are proposed which supply workshops and storage space to the adjacent communities. These are supportable under the existing zoning and by the Preliminary Concept Plan, providing there is no open storage. - Retail and Service: Apart from when ancillary to industry, these uses are limited in terms of size and location in industrial zones. To the extent that the site is expanded to include a portion on Main Street, the Preliminary Concept Plan would support retail and service at this location. It may also support such uses on the western edge of the site, in the context of the Thornton Park mixed-use neighbourhood. - Entertainment: Entertainment use related to the production of movies, for example virtual reality as a spin-off from a special effects studio, may be supportable. Separate non-related entertainment (such as the movie theatres which have been suggested) would not be supported by the Preliminary Concept Plan, except within the area included in the Thornton Park Neighbourhood.- Industrial Work/Live: As noted above, the Preliminary Concept Plan supports this use in modest proportions. - Residential: Residential as a separate use on industrial land, is not supported. This is consistent with Council's direction at the outset of the planning overview. Residential on Main Street is permitted under the existing zoning and would be considered here, if the site is expanded to include Main Street frontage. - Commercial Live/Work: This is viewed as a residential use, which is well provided for under the existing "homecraft" provisions. The Preliminary Concept Plan would not support commercial live/work as a separate use, except in the area along Main Street. - Commercial Work/Live: This use differs from commercial live/work in permitting higher impacts such as employees and customers. While staff are in the process of creating opportunities for this use in commercial and heritage zones, a modest component of commercial work/live may be appropriate on the Trillium site, particularly if work activities are related to on-site industry, such as the proposed movie production. Before any decisions are made, this use would require careful analysis in terms of specific impacts, market demand, and rationale for using this site. - Artist Live/Work: Low-impact artist live/work is not supported, as there are plenty of opportunities in the city and in the adjacent Brewery Creek Area. High-impact artist live/work is permitted in existing buildings, but only if rental in the industrial zones, and is supportable if the enlargement of the site incorporates suitable buildings. Urban Design Urban design considerations on this site are independent from the ultimate mixture of uses but are critical because of the location adjacent to residential communities. A tailored built form, public realm, and amenity concept is vital and can not be achieved by simply applying district zoning schedules to the site. Overall, the development should have a denser, more urban scale than typical warehouse areas given its proximity to the Downtown and the Thornton Park neighbourhood on Main Street. In this context, the scale of development presented in the original submission is generally appropriate, with mid-rise buildings strongly defining local streets in the centre of the site and stepping down to Strathcona in the north. In the east, buildings should be lower as they approach the park and be set back so as not to intrude on public park use. Streets should be planted with trees and includegrass boulevards and other quality public realm treatment, especially adjacent to any work/live developments. Active uses should be incorporated at street level to provide pedestrian interest and security. Strong links should be developed between Strathcona and the new park and False Creek. Where appropriate, these links should incorporate greenways. If Main Street frontage is added to the site and a mixed-use concept is proposed, urban design issues become even more important, as this would be a key area in the proposed Thornton Park neighbourhood. Heritage buildings may be involved and must be carefully considered, consistent with heritage policies. Public Amenities The developer is expected to provide public amenities and open spaces in accordance to the proposed use and increase in intensity of development. To the extent that there are residents on the site, amenities would have to be provided to serve their needs. The types and value of amenities would be determined after an assessment of the expected, on-site population. Living units, even if tied to work space, would represent new housing capacity. A component of non-market housing would normally be pursued on a large site like Trillium's if new housing capacity is created. A decision would have to be made as to whether this would be an affordable component on-site or money to be used elsewhere, for example to upgrade or replace the SROs on Main Street. Affordable housing and other public requirements will be explored in greater detail as part of the completion of the Concept Plan. Provision of amenities for an increased number of industrial workers also needs to be considered. While this could be difficult when dealing with more traditional industries which have limited ability to pay, public requirements could be negotiated as part of a high-amenity industrial park, or as part of the mixed-use package Trillium is now proposing. Next Steps The rezoning application, either as submitted or as revised, will be further evaluated concurrent with the development of the final concept plan. A detailed rezoning report would be prepared as soon as possible, assuming that the application is consistent with Council direction. CONCLUSION In accordance with the False Creek Flats Preliminary Concept Plan, low- impact industrial use is supported, which could also include a modest component of industrial work/live. Other revisions which are currently being proposed by the applicant will be assessed, as discussed in this report and as part of the preparation of the final concept plan. If the current submission is not revised, staff will proceed with a report to Council which will recommend refusal. * * *