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Transmittal - 4/24/2024ERIN MENDENHALL DEPARTMENT of COMMUNITY Mayor and NEIGHBORHOODS Blake Thomas Director SALT LAKE CITY CORPORATION 451 SOUTH STATE STREET, ROOM 404 WWW.SLC.GOV P.O. BOX 145486, SALT LAKE CITY, UTAH 84114-5486 TEL 801.535.6230 FAX 801.535.6005 CITY COUNCIL TRANSMITTAL ________________________ Date Received: _________________ Jill Love, Chief Administrative Officer Date sent to Council: _________________ ______________________________________________________________________________ TO: Salt Lake City Council DATE: 04/22/2024 Victoria Petro, Chair FROM: Blake Thomas, Director, Department of Community & Neighborhoods __________________________ SUBJECT: PLNPCM2023-00894 Zoning Text Amendment to allow Single-Family Attached Dwellings in select Commercial Zones STAFF CONTACT: Cassie Younger, Senior Planner, cassie.younger@slcgov.com, 801-535-6211 Aaron Barlow, Principal Planner, aaron.barlow@slcgov.com, 802-535-6182 DOCUMENT TYPE: Ordinance RECOMMENDATION: That the City Council follow the recommendation of the Planning Commission to approve the proposed zoning text amendments as modified by staff. BUDGET IMPACT: None BACKGROUND/DISCUSSION: Natalie Linchenko of TAG SLC submitted a petition to allow Single-Family Attached Dwellings as a permitted use in commercial zones where multifamily is already permitted. These districts include Community Business (CB), Community Shopping (CS), Commercial Corridor (CC), General Commercial (CG), and Sugar House Business Districts (CSHBD 1 & 2). Single-Family Attached Dwellings are typically referred to as townhomes or row houses. The applicant stated this petition was initiated to increase housing options and housing ownership in the city. While Planning staff agreed with the notion of expanding housing options within the city, there were concerns about how townhouse-style development (which is typically less dense in nature) would affect the dense mixed-use character of Sugar House and the small-scale commercial nodes found within the CB district. Therefore, staff recommended that Single-Family Attached jill love (Apr 24, 2024 12:02 MDT) jill love 04/24/2024 04/24/2024 Dwellings should not be added to the CB and CSHBD districts. The recommendation also included additional design standards for attached single-family dwellings within the remaining affected commercial districts. These design standards would require ground-floor residential entries with specified porch features along street-facing façades. More information can be found in the Staff Report, linked below. Planning Commission Review and Recommendation: On February 14, 2024, the Planning Commission held a public hearing and discussed the proposed amendments as proposed by the applicant and staff. The Commission voted (6:1) to recommend approval of the text amendment as recommended by staff. PUBLIC PROCESS: •The Planning Division provided a 45-day comment period notice to all recognized Community Organizations on November 15, 2023. Staff presented the petition at the Sugar House Community Council meeting. •An online open house has been on the Planning Division’s website since November 20, 2023. •Public noticing of the Planning Commission hearing was completed on February 1, 2024 •Planning Commission held a public hearing on February 14, 2024 and made a recommendation that the City Council approve the text amendment as recommended by staff. Planning Commission (PC) Records (Click to Access): a)PC Agenda of February 14, 2024 b)PC Minutes of February 14, 2024 c)Recording of February 14, 2024 PC Meeting (Starting at 1:00:07) d)Planning Commission Staff Report of February 14, 2024 EXHIBITS: 1.Chronology 2.Notice of City Council Hearing 3.Applicant’s Materials PLNPCM2023-00894 Single-family Attached Dwellings in Commercial Districts Administrative Transmittal Planning Division 1 SALT LAKE CITY ORDINANCE No. _____ of 2024 (An ordinance amending various sections of Title 21A of the Salt Lake City Code to allow single-family attached dwellings in select commercial zoning districts) An ordinance amending various sections of Title 21A of the Salt Lake City Code pursuant to Petition No. PLNPCM2023-00894 to allow single-family attached dwellings in select commercial zoning districts. WHEREAS, the Salt Lake City Planning Commission (“Planning Commission”) held a public hearing on February 14, 2024 to consider a petition submitted by TAG SLC, LLC to amend Title 21A to allow single-family attached dwellings in select commercial zoning districts; and WHEREAS, at its February 14, 2024 meeting, the Planning Commission voted in favor of transmitting a positive recommendation to the Salt Lake City Council (“City Council”) on said petition; and WHEREAS, after a public hearing on this matter the City Council has determined that adopting this ordinance is in the city’s best interests. NOW, THEREFORE, be it ordained by the City Council of Salt Lake City, Utah: SECTION 1. Amending the text of Salt Lake City Code Section 21A.33.030. That Section 21A.33.030 of the Salt Lake City Code (Zoning: Table of Permitted and Conditional Uses for Commercial Districts) shall be and hereby is amended only as to the “Dwelling: Single-family attached” use, and which shall appear as follows: 2 Use CN CB CS1 CC CSHBD1 CG SNB Single- family attached P P P P SECTION 2. Amending the text of Salt Lake City Code Subsection 21A.37.050.P. That Subsection 21A.37.050.P of the Salt Lake City Code (Zoning: Design Standards Defined: Entry Features) shall be and hereby is amended as follows: P. Entry Features: Each required entrance per Section 21A.37.050.D and 21A.37.050.L of this title shall include a permitted entry feature with a walkway connected to a public sidewalk and exterior lighting that highlights the entryway(s). Where buildings are located on a corner lot, only one street facing façade must include an entry feature. Where a building does not have direct public street frontage, the entry feature should be applied to the façade where the primary entrance is determined to be located. A two-family dwelling arranged side by side, row house and cottage court developments shall include at least one entry feature per dwelling unit adjacent to a public street. [Note to codifier: no changes to Subsections 21A.37.050.P.1 and 2, and all subsections thereto.] SECTION 3. Amending the text of Salt Lake City Code Subsection 21A.37.060.B. That the table in Subsection 21A.37.060.B of the Salt Lake City Code (Zoning: Design Standards Required in Each Zoning District: Commercial Districts) shall be amended (1) as to the “Ground floor residential entrances for dwellings with individual unit entries (21A.37.050.L)” standard, (2) a new row for “Entry features (21A.37.050.P)” standard to be inserted after the row “Primary entrance design SNB District (21A.37.050.O)”, and (3) a new table Note number 3 inserted after Note 2, all of which shall appear as follows: 3 Standard (Code Section) District SNB CN CB CS CC CSHBD CG1 TSA Ground floor residential entrances for dwellings with individual unit entries (21A.37.050.L) X3 X3 X3 X Entry features (21A.37.050P) X3 X3 X3 3. These standards only apply to single-family attached dwellings in this district. SECTION 4. Effective Date. This Ordinance shall become effective on the date of its first publication. Passed by the City Council of Salt Lake City, Utah this _______ day of ______________, 2024. ______________________________ CHAIRPERSON ATTEST: ______________________________ CITY RECORDER Transmitted to Mayor on _______________________. Mayor’s Action: _______Approved. _______Vetoed. ______________________________ MAYOR 4 ______________________________ CITY RECORDER (SEAL) Bill No. ________ of 2024. Published: ______________. Ordinance allowing single family attached in certain commercial zones (final)v1 APPROVED AS TO FORM Salt Lake City Attorney’s Office Date:___________________________ By: ____________________________ Katherine D. Pasker, Senior City Attorney April 6, 2024 1 LEGISLATIVE DRAFT SALT LAKE CITY ORDINANCE 1 No. _____ of 2024 2 3 (An ordinance amending various sections of Title 21A of the Salt Lake City Code 4 to allow single-family attached dwellings in select commercial zoning districts) 5 6 An ordinance amending various sections of Title 21A of the Salt Lake City Code pursuant 7 to Petition No. PLNPCM2023-00894 to allow single-family attached dwellings in select 8 commercial zoning districts. 9 WHEREAS, the Salt Lake City Planning Commission (“Planning Commission”) held a 10 public hearing on February 14, 2024 to consider a petition submitted by TAG SLC, LLC to 11 amend Title 21A to allow single-family attached dwellings in select commercial zoning districts; 12 and 13 WHEREAS, at its February 14, 2024 meeting, the Planning Commission voted in favor 14 of transmitting a positive recommendation to the Salt Lake City Council (“City Council”) on said 15 petition; and 16 WHEREAS, after a public hearing on this matter the City Council has determined that 17 adopting this ordinance is in the city’s best interests. 18 NOW, THEREFORE, be it ordained by the City Council of Salt Lake City, Utah: 19 SECTION 1. Amending the text of Salt Lake City Code Section 21A.33.030. That Section 20 21A.33.030 of the Salt Lake City Code (Zoning: Table of Permitted and Conditional Uses for 21 Commercial Districts) shall be and hereby is amended only as to the “Dwelling: Single-family 22 attached” use, and which shall appear as follows: 23 24 2 LEGISLATIVE DRAFT Use CN CB CS1 CC CSHBD1 CG SNB Single- family attached P P P P 25 SECTION 2. Amending the text of Salt Lake City Code Subsection 21A.37.050.P. That 26 Subsection 21A.37.050.P of the Salt Lake City Code (Zoning: Design Standards Defined: Entry 27 Features) shall be and hereby is amended as follows: 28 P. Entry Features: Each required entrance per Section 21A.37.050.D and 21A.37.050.L of 29 this title shall include a permitted entry feature with a walkway connected to a public sidewalk 30 and exterior lighting that highlights the entryway(s). Where buildings are located on a corner lot, 31 only one street facing façade must include an entry feature. Where a building does not have 32 direct public street frontage, the entry feature should be applied to the façade where the primary 33 entrance is determined to be located. A two-family dwelling arranged side by side, row house 34 and cottage court developments shall include at least one entry feature per dwelling unit adjacent 35 to a public street. 36 37 [Note to codifier: no changes to Subsections 21A.37.050.P.1 and 2, and all subsections thereto.] 38 39 SECTION 3. Amending the text of Salt Lake City Code Subsection 21A.37.060.B. That the 40 table in Subsection 21A.37.060.B of the Salt Lake City Code (Zoning: Design Standards Required in 41 Each Zoning District: Commercial Districts) shall be amended (1) as to the “Ground floor residential 42 entrances for dwellings with individual unit entries (21A.37.050.L)” standard, (2) a new row for 43 “Entry features (21A.37.050.P)” standard to be inserted after the row “Primary entrance design SNB 44 District (21A.37.050.O)”, and (3) a new table Note number 3 inserted after Note 2, all of which shall 45 appear as follows: 46 Standard (Code Section) District SNB CN CB CS CC CSHBD CG1 TSA 3 LEGISLATIVE DRAFT Ground floor residential entrances for dwellings with individual unit entries (21A.37.050.L) X3 X3 X3 X Entry features (21A.37.050P) X3 X3 X3 47 3. These standards only apply to single-family attached dwellings in this district. 48 49 SECTION 4. Effective Date. This Ordinance shall become effective on the date of its 50 first publication. 51 52 Passed by the City Council of Salt Lake City, Utah this _______ day of ______________, 2024. 53 54 55 ______________________________ 56 CHAIRPERSON 57 58 ATTEST: 59 60 ______________________________ 61 CITY RECORDER 62 63 64 Transmitted to Mayor on _______________________. 65 66 67 Mayor’s Action: _______Approved. _______Vetoed. 68 69 70 ______________________________ 71 MAYOR 72 73 ______________________________ 74 CITY RECORDER 75 76 4 LEGISLATIVE DRAFT (SEAL) 77 78 Bill No. ________ of 2024. 79 Published: ______________. 80 Ordinance allowing single family attached 81 in certain commercial zones (legislative)v1 82 1)CHRONOLOGY PROJECT CHRONOLOGY Petition: PLNPCM2023-00894 November 2, 2023 Application for a Zoning Map Amendment was received. November 9, 2023 Petition PLNPCM2023-00894 was assigned to Cassie Younger, Senior Planner, for staff analysis and processing. November 15, 2023 Notice was sent to all Recognized Community Organizations informing them of the petition. November 20, 2023 The proposal was posted for an online open house. The proposal can still be viewed online. December 30, 2023 The 45-day public comment period for Recognized Organizations ended. February 1, 2024 Agenda posted to the Planning Commission website and the State of Utah Public Notice webpage. Public hearing notice sign with project information and notice of the Planning Commission public hearing posted at various libraries throughout the city. February 9, 2024 Planning Commission Staff Report was posted. February 14, 2024 Planning Commission held a public hearing and made a recommendation to the City Council to approve the proposed text amendment as recommended by Staff. March 1, 2024 Staff sent a request to the Attorney's office for ordinance April 6, 2024 Ordinance received from Attorney’s office PLNPCM2023-00894 Single-family Attached Dwellings in Commercial Districts 4 Administrative Transmittal Planning Division 2)NOTICE OF CITY COUNCIL HEARING NOTICE OF PUBLIC HEARING The Salt Lake City Council is considering Petition PLNPCM2023-00894 Zoning Amendment to allow Single-Family Attached Dwellings in select Commercial Zones where multifamily dwellings are already permitted. These districts include Community Business (CB), Community Shopping (CS), Commercial Corridor (CC), General Commercial (CG), and Sugar House Business Districts (CSHBD 1 & 2). As part of their study, the City Council is holding an advertised public hearing to receive comments regarding the petitions. During the hearing, anyone desiring to address the City Council concerning this issue will be given an opportunity to speak. The Council may consider adopting the ordinance the same night of the public hearing. The hearing will be held: DATE: TIME: 7:00 pm PLACE: 451 South State Street, Room 326, Salt Lake City, Utah ** This meeting will be held in-person, to attend or participate in the hearing at the City and County Building, located at 451 South State Street, Room 326, Salt Lake City, Utah. For more information, please visit www.slc.gov/council. Comments may also be provided by calling the 24-Hour comment line at (801) 535-7654 or sending an email to council.comments@slcgov.com. All comments received through any source are shared with the Council and added to the public record. If you have any questions relating to this proposal or would like to review the file, please call Aaron Barlow at 801-535-6282 between the hours of 8:00 a.m. and 5:00 p.m., Monday through Friday, or via e-mail at aaron.barlow@slcgov.com The application details can be accessed at https://citizenportal.slcgov.com/, by selecting the “Planning” tab and entering the petition number PLNPCM2023-00894 People with disabilities may make requests for reasonable accommodation, which may include alternate formats, interpreters, and other auxiliary aids and services. Please make requests at least two make a request, please contact the City Council Office at council.comments@slcgov.com, (801)535-7600, or relay service 711. 3)APPLICANT’S MATERIALS Applicant's original petition 11/9/23 Text Amendment Proposal for Single-Family Attached Housing to be permitted wherever Multi-Family is permitted To whom it may concern, I am writing to submit a proposal for a text amendment in the Salt Lake City zoning code. This amendment aims to enhance housing ownership opportunities within Salt Lake City by allowing single-family attached housing developments wherever multi-family is permitted. I.Purpose: The primary aim of this text amendment is to modify the existing zoning regulations, allowing for the development of single-family attached housing anywhere that multi-family is permitted. In zoning areas where single-family attached housing is prohibited while multi-family housing is permitted, many projects that resemble townhomes are designated as condos for legal classification. This classification as condos allows the projects to be considered a multi-family development rather than single-family attached housing. The key issue at hand is that when a project is designated as a condo rather than an attached single-family residence, it is much more likely it will be rented rather than sold to individual families. But why do investors often steer clear of selling condos? The answer lies in the significant liability risks tied to condo sales. The intricate nature of condominium development, involving individual unit sales within a shared property, can amplify the potential for legal disputes and financial liabilities. Additionally, ownership percentage requirements create challenges in individually selling off the project. Consequently, even if some developers are willing to take on the extra risks associated with selling individual condo units, most architects, builders, and other stakeholders tend to shy away from such projects. This zoning text amendment is a direct response to concerns within our own firm and those voiced by the developers, architects, and industry professionals we engage with regularly. This amendment is not tied to a specific project but rather seeks to address a systemic issue. The current zoning regulations inadvertently favor rental housing over homeownership by creating unnecessary hurdles in producing more for sale units. II.Zoning Ordinance to Be Changed: The proposed text amendment would affect 21A.33.030: TABLE OF PERMITTED AND CONDITIONAL USES FOR COMMERCIAL DISTRICTS. PLNPCM2023-00894 Single-family Attached Dwellings in Commercial Districts Administrative Transmittal Planning Division III. Factors for City Council Consideration: This text amendment aligns with Salt Lake City's broader objective of bolstering homeownership opportunities, fostering sustainable growth, and broadening the availability of for-sale housing options. Consistency with City Planning Documents: The amendment aligns with Salt Lake City's adopted planning documents, particularly Growing SLC and Housing SLC, which emphasize increasing homeownership opportunities and addressing the challenges of housing affordability. In Housing SLC, the third goal is clearly outlined as "Enhancing opportunities for homeownership and other avenues for wealth and equity development." 1 Additionally, in Growing SLC, Goal 2, Objective 6 explicitly emphasizes the need to "Expand opportunities for home ownership." 2 Community Support: The proposal supports the community's desire for increased opportunities for homeownership. Within Housing SLC, the most recent Salt Lake City Plan, survey participants consistently ranked homeownership among their top three priorities, underscoring the significance of this goal for both individual residents and their communities. 3 3 Salt Lake City Documents, Accessed October 24, 2023 www.slcdocs.com/CAN/2023-Housing-SLC-Plan-Spread-1.pdf 2 Salt Lake City Documents, Accessed October 24, 2023 www.slcdocs.com/hand/Growing_SLC_Final_No_Attachments.pdf 1 Salt Lake City Documents, Accessed October 24, 2023 www.slcdocs.com/CAN/2023-Housing-SLC-Plan-Spread-1.pdf PLNPCM2023-00894 Single-family Attached Dwellings in Commercial Districts Administrative Transmittal Planning Division IV.Conclusion: This text amendment proposal seeks to enhance housing opportunities in Salt Lake City by allowing single-family attached housing wherever multi-family is permitted, promoting sustainable growth and making homeownership more accessible to its residents. We believe this change aligns with the city's goals, and we appreciate your consideration of this important amendment. Should you require any additional information or wish to discuss this proposal further, please do not hesitate to contact me. All the best, Natalia Linchenko Natalia@tagslc.com PLNPCM2023-00894 Single-family Attached Dwellings in Commercial Districts P Administrative Transmittal Planning Division Applicant's updated petition 11/15/23 Text Amendment Proposal for Single-Family Attached Housing to be permitted wherever Multi-Family is permitted within the Commercial District To whom it may concern, I am submitting a proposal for a text amendment to the Salt Lake City zoning code, aiming to increase housing ownership opportunities by permitting single-family attached housing in commercial districts (CB, CS, CC, CSHBD, and CG) where multi-family is currently allowed. I.Purpose: This text amendment primarily seeks to revise existing zoning regulations, aiming to eliminate unnecessary obstacles in producing for sale homes. In zoning areas where single-family attached housing is prohibited while multi-family housing is permitted, many projects that resemble townhomes are designated as condos for legal classification. This classification as condos allows the projects to be considered a multi-family development rather than single-family attached housing. The key issue at hand is that when a project is designated as a condo rather than an attached single-family residence, it is much more likely it will be rented rather than sold to individual families. But why do investors often steer clear of selling condos? The answer lies in the significant liability risks tied to condo sales. The intricate nature of condominium development, involving individual unit sales within a shared property, can amplify the potential for legal disputes and financial liabilities. Additionally, ownership percentage requirements create challenges in individually selling off the project. Consequently, even if some developers are willing to take on the extra risks associated with selling individual condo units, most architects, builders, and other stakeholders tend to shy away from such projects. This zoning text amendment is a direct response to concerns within our own firm and those voiced by the developers, architects, and industry professionals we engage with regularly. This amendment is not tied to a specific project but rather seeks to address a systemic issue. The current zoning regulations inadvertently favor rental housing over homeownership by creating unnecessary hurdles in producing more for sale units. II.Zoning Ordinance to Be Changed: The proposed text amendment would affect 21A.33.030: TABLE OF PERMITTED AND CONDITIONAL USES FOR COMMERCIAL DISTRICTS. PLNPCM2023-00894 Single-family Attached Dwellings in Commercial Districts Administrative Transmittal Planning Division 11 III. Factors for City Council Consideration: This text amendment aligns with Salt Lake City's broader objective of bolstering homeownership opportunities, fostering sustainable growth, and broadening the availability of for-sale housing options. Consistency with City Planning Documents: The amendment aligns with Salt Lake City's adopted planning documents, particularly Growing SLC and Housing SLC, which emphasize increasing homeownership opportunities and addressing the challenges of housing affordability. In Housing SLC, the third goal is clearly outlined as "Enhancing opportunities for homeownership and other avenues for wealth and equity development." 1 Additionally, in Growing SLC, Goal 2, Objective 6 explicitly emphasizes the need to "Expand opportunities for home ownership." 2 Community Support: The proposal supports the community's desire for increased opportunities for homeownership. Within Housing SLC, the most recent Salt Lake City Plan, survey participants consistently ranked homeownership among their top three priorities, underscoring the significance of this goal for both individual residents and their communities. 3 3 Salt Lake City Documents, Accessed October 24, 2023 www.slcdocs.com/CAN/2023-Housing-SLC-Plan-Spread-1.pdf 2 Salt Lake City Documents, Accessed October 24, 2023 www.slcdocs.com/hand/Growing_SLC_Final_No_Attachments.pdf 1 Salt Lake City Documents, Accessed October 24, 2023 www.slcdocs.com/CAN/2023-Housing-SLC-Plan-Spread-1.pdf PLNPCM2023-00894 Single-family Attached Dwellings in Commercial Districts Administrative Transmittal Planning Division 12 IV.Conclusion: This text amendment proposal seeks to enhance housing opportunities within Salt Lake City’s Commercial Zoning District by allowing single-family attached housing wherever multi-family is permitted, promoting sustainable growth and making homeownership more accessible to its residents. We believe this change aligns with the city's goals, and we appreciate your consideration of this important amendment. Should you require any additional information or wish to discuss this proposal further, please do not hesitate to contact me. All the best, Natalia Linchenko Natalia@tagslc.com PLNPCM2023-00894 Single-family Attached Dwellings in Commercial Districts 13 Administrative Transmittal Planning Division Caution: This is an external email. Please be cautious when clicking links or opening attachments. From:TAG SLC To:TAG SLC; Younger, Cassie; Barlow, Aaron; Natalia Linchenko Subject:(EXTERNAL) PLNPCM2023-00894 - possible changes to application Date:Wednesday, December 20, 2023 9:58:45 AM Attachments:image001.png Cassie, Aaron and the Salt Lake Planners- We have had several conversations about the potential recommendations you sent over last week. Ultimately, we want to be a good partner to city with the goal of this application to make it easier to construct for sale housing throughout our community. Eliminate CB Zone from the applications: We would like CB to remain as part of our application. I totally understand the desire to foster these community nodes and the challenges removing neighborhood commercial from neighborhoods. An overhaul of the zone is great as zoning leads to the development outcomes. Given the potential lag in the adoption of any new ordinance we think its best to propose allowing SFA in this zone since multy family is at this time allowed. If the city and city council decides to modify the zone in the future, then SFA could be eliminated alongside multi family. CSHBD- We love density. The CSHBD 1 zone is unlikely to be conducive for SFA. CSHBD 2 is a more likly place to see SFA since its only allowed to go to 60 ft but still not likly given the land values in this district. We arent advocating to build SFA here, we are advocating to remove zoning barriers to producing owner occupied housing. I'm sure we could find some lots in this zone that SFA would be a good outcome, even in a zone that should be denser. Adding additional design guidelines: Frankly, this is beyond the scope of our application. Our intent was to propose a simple modification to allow SFA into zones where multi family is already allowed. Although I do think design standards are positive I think its more than this petition can handle. Also, it doesnt seem fair that units designed for ownership have a higher bar for design than doing a for rent project. I would actually argue the opposite, if the city's intent is to promote more owner occupied units. We understand your points and hope that you understand ours as well. At this time we ask that our application remain the same. Thanks Jordan Atkin PLNPCM2023-00894 Single-family Attached Dwellings in Commercial Districts Administrative Transmittal Planning Division 14