750 Pacific Boulevard - Plaza of Nations

POLICY REPORT
DEVELOPMENT AND BUILDING

Date: September 14, 1999
Author/Local K. Mulji/7307
RTS No. 968
CC File No. 5655

Council: September 21, 1999

TO: Vancouver City Council

FROM: General Manager of Engineering Services

SUBJECT: 750 Pacific Boulevard-Plaza of Nations: Reduction in Pay-in-Lieu Parking Payment

RECOMMENDATION

A. THAT Council compensate the owner of 750 Pacific Boulevard (Plaza of Nations) for the extra costs of accommodating the future tram right-of way above the proposed parking structure on this site, by allowing the pay-in-lieu parking proceeds for 750 Pacific Boulevard (Plaza of Nations site) to be reduced by $90,000.

B. THAT if Council approves A, that the owner execute an agreement to the satisfaction of the Director of Legal Services and the General Manager of Engineering Services, permitting the owner to pay an amount per space for the parking shortfall, with the total amount to be reduced by $90,000.

CITY MANAGER'S COMMENTS

The City Manager RECOMMENDS approval of A and B.

COUNCIL POLICY

In April 1998, Council approved the CD-1 text amendment for 750 Pacific Boulevard subject to certain conditions, including the provision of a right of way for the tram and payment in lieu of required parking.

PURPOSE

This report recommends that Council consider a request by the owner of the Plaza of Nations site, Canadian Metropolitan Properties, to reduce its required pay-in-lieu parking payment by $90,000. This amount represents the estimated increased cost of strengthening their proposed parking structure under the right-of way required to accommodate the future tram on Pacific Boulevard.

BACKGROUND

In a report dated March 17, 1998, staff reviewed an application to amend the existing CD-1 for 750 Pacific Boulevard. The changes would allow for the addition of a 29-storey, 600-room hotel to be developed above the easterly wing of the Plaza, including a 3-storey addition at the east end for hotel restaurant and amenity spaces, and underground parking. The application also included a public ferry dock, additional marina berths, designation of public walkways and bicycle ways, and a tramway through the site. Staff recommended that the application be referred to Public Hearing, subject to the conditions of approval outlined in the report.

It was noted in the report that the Parking Bylaw requirement for the proposed development would be 1699 spaces, based on a stand alone development outside the downtown area. However, staff recommended a reduced standard of 895 parking spaces. This reduced standard was applied in recognition of the greater service and convenience of transit in the area. Staff also noted that the parking demand in the evening could be satisfied in adjacent under-used office parking facilities.

However, even with this reduced parking requirement, staff noted in the report that due to extremely poor soil conditions and a high water table on this site, the applicant could not fully meet the parking requirement. At that time, the applicant advised that the site could only accommodate 807 spaces, resulting in a shortage of 88 spaces. Therefore, staff recommended that this shortfall be met by a parking contribution equivalent to the pay-in-lieu parking amount of $13,300 per parking space.

At the Public Hearing on April 28, 1998, Council approved the CD-1 Text Amendment for 750 Pacific Boulevard, subject to, among other conditions, the property owner entering into an agreement to contribute a payment-in-lieu of providing the required parking. The amount to be paid per space will be approved by City Council at the development permit stage.

The report also recommended that the applicant execute an agreement in which the owner is to grant, at no cost to the City, all requisite ownership rights to the City, by dedication of lands or suitable right-of-way, to accommodate the future tram and tram station along Pacific Boulevard. Subsequently, staff identified the extent of the proposed right-of-way for the tram and advised the applicant that the parking structure below this right-of-way area should be able to accommodate the loading from the future tram system.

During recent discussions to finalize the rezoning conditions, the owner requested that his pay-in-lieu parking payment be reduced by an amount equivalent to the premium of strengthening the proposed parking structure to accommodate the loading from the tram.

DISCUSSION

The owner has agreed to the rezoning conditions to provide the tram right-of-way, and to provide a cash payment for the parking shortfall. However, the owner has not agreed to pay for the incremental cost of strengthening the parking structure to accommodate the future tram.

The owner has asked his consulting structural engineers to review the effect a tram system will have on the design of the proposed parkade roof structure. Based on information provided by the consultant, the incremental cost of upgrading the parking structure to support the tram right-of way is estimated to be $90,000. The General Manager of Engineering Services has reviewed and concurs with this estimate.

The expected parking shortfall is 88 stalls. At the current pay-in-lieu parking amount of $13,300 per space, the owner would be required to contribute $1.17 million. The owner is requesting that this amount be reduced by $90,000. As pay-in-lieu parking funds can be applied to build or improve integrated pedestrian, bicycle and transit networks to the downtown area, this request is recommended on the basis that strengthening the parking structure to support the loading from the tram enhances and contributes to this alternate transportation concept.

If Council approves this recommendation, the owner must execute a legal agreement to the satisfaction of the Director of Legal Services and the General Manager of Engineering Services permitting the owner to pay an amount per space for the parking shortfall, with the total amount to be reduced by $90,000. This agreement will include a provision that if, prior to the issuance of a building permit for the parking structure, it is determined that the owner will be able to provide the required 895 spaces, the City will not provide the owner with a reduction in the required pay-in-lieu parking payment, and all costs associated with building the parkade to support the tram will have to be borne by the owner.

CONCLUSION

As a condition of the CD-1 text amendment for 750 Pacific Boulevard, the owner is required to provide a payment in lieu of the required parking, for an expected shortfall of 88 parking spaces. The owner is further required to provide a right-of-way for the future tram alignment. The City Engineer is prepared to support the request to reduce the payment in lieu of parking by $90,000 on the basis that the full impact of these two conditions of rezoning was not known by the owner at the time of the public hearing. This amount represents the estimated extra cost of constructing the proposed parking structure so that it can support the required tram right-of way. If in the future, the applicant is able to provide all the required parking on-site, all costs of building the parkade to accommodate the proposed tram system would have to be borne by the owner.

* * * * *

Comments or questions? You can send us email.