Loading...
The URL can be used to link to this page
Your browser does not support the video tag.
Home
My WebLink
About
2019-04-10 Supplementals - PC-HPC
Planning Commission April 10 , 2019 DESIGN REVIEW DRC2018-00326 VARIANCE DRC2018-00760 MINOR EXCEPTION DRC2018-00761 MINOR EXCEPTION DRC2018-00762 CHARLES JOSEPH ASSOCIATES FOR FIVE STAR FOODS CITY OF RANCHO CUCAMONGA IL 2. r Digital C•hee Cold Jet ;` y 2, c 1 ' - _ Enterpfi t ! Trinity,YouthSer tce 3_ Wh a` r r Existing Wireless • _ — a ; Redfin Rea Communications Tower Ramsho Cu • aA t • Platinum Home Mortg gee Rancho Cucamonga. •M UaTe t ..,• " Commerce:Center'�Dr Co ,v ' ..Burn ticna by JfS Aloft Cuca Existing Building Into berg, .i;, _ n o '& arre GOO le Slide 2 SMI Smith,Michael,11/14/2018 - r _--_______—__ 3NE LOW rr .�\ C!: - � � •MC Mdlrtectsyr.zy HE OENEUC I_a dwacl ,�• V !FlOENi .r..c ;angod3fq .g e.�F., CUCAMONGA', Ee EI _IL dui CREEK ,�.• `\ _. .. . _ .. CHANNEL . \\ : F LL 1J i • t L u" --1 -- ttoWNEa RY LIN' /.. N 0 � • AFI, NORTH 111;EASEMENT • G � 4F.LPN zsOemALI -�dWa:a ZINE 1 (r}.e 1 TCff ... 9O _ \ �NEMWL 12-0 dWacl ` _ _ _ NI V OVERLAY OISTPICf ° !. ALN 020209:-72 SENIOR HOL�INO (SHOO) dFV `v,\(VAV. '•a_ \ —. _ .... r r •,'1 I , ZONE:OFFVAL " fit: :E L:; �V / r� ••. 1 � IWOFESSIONPLfOPI .-:T_Ai .I.,.I I� ----------- - -- --- 1 -1 SAN BERNARDINO RD. ___ ____ _ -__; ' ASA On�'s1-,- �n N s. 91-.�- _A._ `' • i ZUNE.COM ID":n rr 'ZONE:COMMUNT' TTT • /�1EHILf r COMMr' , 9 COMMEWC0.L ICC) 'I 'ONE SPECIA"AE � • {{ `T,/ ' r OVERLAY DISTRICT EVE9Ur CII-FL 7 ..z..v.a�.,..... FOOTHILL ):NIL'.EMJLEs? r VARp 1-H'J: L L.E;AND I 1 I u Irtirr SI`C UTI-IZATION MAP 'I A1.' Proposed Project Design Review DRC2018-00326 • Demolish the existing building and parking lot; • The existing wireless communications facility will remain in place ; • Construct a new industrial building of about 58 , 130 square feet for office, manufacturing , and warehousing ; • The new building will be occupied by Five Star Foods CITY OF RANCHO CUCAMONGA OR �1 The floor area of the building is allocated as follows: - Office (7,250SF); - Warehouse (30,800SF); and - Manufacturing (20,080 square feet) L i Ifniro`'��cNORTH i r -_ — - -_ HL C O C aFl� w 1 3 f ]]SOY x, r 3•a � WAREHOUSE OMNI�ACNRM6 . g ,til + ♦ ♦ ♦ ♦ TJ,N(p�Ci FT - 7i1 OW So Ff. -: c1R.HT-30FT. CL HT-3f1 FT _40r, su'< 3D _ 1 © ____ - - r I __________________________ _— y r/ � '0 04 CITY . 1 • l , 1 Proposed Project Design Review DRC2018-00326 Technical Standard Required Proposed Building Height Max. 75 feet 40 feet Floor Area Ratio 40-60% 48% Front Building Setback Min. 45 feet 50 feet Rear Building Setback Zero feet 127 feet Side Building Setback Min. 5 feet 5 feet (west side); 58 feet (east side)' Overall Landscape Percentage Min. 15% 18.9% Parking Lot Landscape Coverage Min. 10% 21 .8% * - the east "leg" or column of the decorative arch is 4.5 feet from the side property line which requires a Minor Exception (DRC2018-00762). South Elevation - —Ti - North Elevation 1 '•"•• CITY OF RANCHO CUCAMONGA East Elevation n UK F,'! -_1 _ w 0 0 0 0 0 4, West Elevation Q l7 a v ,r u u a z 7. n ' V x 1 1. COD n, a�I R' 4 _ ; �1 • r v Z V l O 2 Z Q fi LL v t 9 r i, r . ' r ' Q , W r 1 k+Ak :F Nf OU g t � e 1 6�Rt� 11F 1 y{ e' 1/ J � a Variance DRC2018-00760 • The project includes a request to reduce the trailer parking requirement for the project; • Per Section 17 .64. 090 of the Development Code , 1 space for parking for a trailer is required for each loading dock door; • The project has 4 dock doors but only 1 trailer parking space is proposed (a deficit of 3 spaces); ; • The request is for a 75% reduction in the parking requirement for trailers. ^- L. NORTH T -- E=lEP a ___ I - � I C WAREHOUSE 30,800 SD.Fl A 1 j , f F I ' �. CLR-HT-30 II , I m- q _ ' 0 0 - 0 OF R ' • CUCAMONGA Variance DRC2018-00760 To allow the proposed reduction , a Variance is required , and is reviewed , according to Section 17 . 20 . 030 of the Development Code . The Code requires that the Variance must be supported by 5 findings. CITY OF RANCHO CUCAMONGA �1 Minor Exception DRC2018-00761 The project includes a request to reduce the parking requirement for the project; • 96 parking spaces are required based on the uses within the building - 74 parking spaces are proposed ; • To support this request, the applicant submitted a parking analysis; • According to the analysis, the projected maximum peak parking demand for the proposed project is 67 parking spaces. Minor Exception DRC2018-00761 To allow the reduction of the parking requirement, a Minor Exception is required , and is reviewed , according to Section 17. 16 . 110 of the Development Code . The Code requires that the Minor Exception must be supported by 4 findings . CITY OF RANCHO CUCAMONGA K�Z�j� `� Minor Exception DRC2018-00762 • The project includes a request to reduce the required minimum side building setback. • the minimum side building setback in all industrial districts is 5 feet ; • The project contemplates a reduction of 0 . 5 feet to allow for the column of the decorative arch at the southeast corner of the proposed building to encroach into the setback along the east property line . CITY OF RANCHO CUCAMONGA �1 �a V V �' QZ LL 3 Li �4� J l ` 4 r, Cf) ��•' � ° r w _ 9 . p Minor Exception DRC2018-00762 To allow the encroachment into the side building setback, a Minor Exception is required , and is reviewed , according to Section 17. 16 . 110 of the Development Code. The Code requires that the Minor Exception must be supported by 4 findings . Design and Technical Review Committees • The proposed project was reviewed by the Design Review Committee and Technical Review Committees on December 4, 2018 ; • No significant issues with the project were identified and the conditions of approval were accepted by the applicant; and • Both Committees accepted Staff recommendation to approve the project as proposed , and recommend approval to the Planning Commission . CITY OF RANCHO CUCAMONGA �1 Y Neighborhood Meeting A Neighborhood Meeting was conducted at Valle Aloft Hotel located at 10480 Fourth Street on November 5 , 2018 ; Notifications for the meeting were sent to all owners of property within 660 feet of the project site ; In attendance from the public was one individual who was interested in the project; and He otherwise had no concerns about the project. CITY�1. OF • Environmental Assessment • Pursuant to the California Environmental Quality Act, the City prepared an Initial Study of the potential environmental effects of the project; • Based on the findings contained in that document, it was determined that, with the imposition of mitigation measures related to environmental topics, there would be no substantial evidence that the project would have a significant effect on the environment; Environmental Assessment • Based on that determination , a Mitigated Negative Declaration was prepared for circulation and review; and • Public notice of the public comment period and of the City's intent to adopt the Mitigated Negative Declaration was provided , • Comments were received from : - South Coast Air Quality Management District (SCAQMD ) CITY OF RANCHO CUCAMONGA 1�z i �d� Environmental Assessment • No revisions to the Initial Study and Mitigated Negative Declaration were required in response to the comments that were received ; • A Mitigation Monitoring Program has also been prepared to ensure implementation of, and compliance with , the mitigation measures for the project. CITY OF RANCHO CUCAMONGA �1 Public Notification • Newspaper advertising ; • Two Notice of Filing signs; • Mailed notices to owners of property located within 660 feet of the project site; and • No comments were received in response to these notifications except a phone call . Conclusion Staff recommends that the Planning Commission approve : • Design Review DRC2018-00326; • Variance DRC2018-00760 ; • Minor Exception DRC2018-00761 ; • Minor Exception DRC2018-00762 through the adoption of the attached Resolutions of Approval . CITY OF RANCHO CUCAMONGA �1 � ' Planning Commission April 10 , 2019 TIME EXTENSION DRC2018-01015 WSI HIGHLAND INVESTMENTS, LLC CITY OF RANCHO CUCAMONGA �� DS a ; -, Z }� ardman Bullock v C _i l W 1 Q V Z V d- r,� � O A. a Avenue..- -.- v «- 4 Q r ♦I '1, i Ati , Ln LnO • ` 11 ! I s.� 1 ' ! 1 ■L _ a l � 'lei 7- a+• 1!'Y `■ i i+� e a 1 !- 1- 1• 1° I• B 1 + 1■I ! 1 � •!' I• h ly !' ��il! E " 6 1 !• !■ _ !- Ila • 9 (51 Yuiy °. 1j �u„ �.w, i 1 1 • �-• �� . � � len 1. �1II Pil i' e�l � •It �" � iipfpjl� (4i1 .{MI P1 � "p •.•' _ ;'ire'�'�;�j i i �°I � I ,tt ' � '1 1 • � ��II 1Nif,�1.1 E � ! 1 a ` 1 Time Extensions Defined • A Time Extension is for the purposes of extending the approval period for tentative map ; • The City's Subdivision Ordinance states that approved Tentative Tract Maps are valid for 3 years . • The applicant may request up to a total of 5 time extensions ( in 1 year increments ) that could extend the approval period to 8 years ; Time Extensions Defined • The subject Time Extension application is the fourth time extension request submitted by the applicant; • The Time Extension is necessary in order to provide additional time for the applicant to work toward recording the final map and preparing related improvement plans ; and • The applicant is not requesting or proposing any changes to the approved map . Time Extension Timeline Approving Approval/Extension Approval Approval Authority Type Period Date Expiration Date City Council SUBTT14749 Approval 3 Years 08/04/2004 Lawsuit settled 541 days after approval 01/27/2006 01/27/2009 Senate Bill 1185 Automatic Extension 1 Year 01/27/2009 01/27/2010 Assembly Bill 333 Automatic Extension 2 Years 01/27/2010 01/27/2012 Planning Time Extension 1 Year 06/08/2011 01/27/2013 Commission Assembly Bill 208 Automatic Extension 2 Years 01/27/2013 01/27/2015 Assembly Bill 116 Automatic Extension 2 Years 01/27/2015 01/27/2017 Planning Time Extension 1 Year 01/25/2017 01/27/2018 Commission Planning Time Extension 1 Year 01/24/2018 01/27/2019 Commission Planning Proposed Time Extension 1 Year Proposed Proposed Commission 0411012019 0112712020 ITY • • • Environmental Review • The City Council certified an Environmental Impact Report ( EIR) for the original Tentative Tract Map on June 21 , 2004 ; • Per Section 15162 of the California Environmental Quality Act ( CEQA) , no subsequent or supplemental EIR is required with this action , unless : Environmental Review (continued) • Substantial changes are proposed with new or more severe impacts ; • Substantial changes have occurred which create new or more severe impacts ; • New information shows the project will have new or more severe impacts ; and • Additional or different mitigation measures are now feasible to reduce impacts Public Notification • Newspaper advertising ; g , • The project site was posted ; • Mailed notices to owners of property located within 660 feet of the project site ; and • No comments were received in response to these notifications . k CITY OF�1 RANCHO CUCAMONGA Conclusion and Recommendation Staff recommends approval of Time Extension DRC2018-01015 for Tentative Tract Map SUBTT14749 through the adoption of the Resolution of Approval . Planning Commission April 10 , 2019 Applicant YOULITAAND KIRYAKOS, LLC. Project Description TIME EXTENSION DRC2018-00966 - A request to allow for a year time extension of a previously approved Tentative Tract Map (SUBTT18823) to subdivide 3 parcels of land totaling 12.93 acres into 19 lots for the future development of single- family residences CITY OF RANCHO CUCAMONGA i �1 Project overview • SUBTT18823 was approved on Januar 23, 2013, for the subdivision of 12 .93 acres of lanWfor the future development of 19 single-family residences • The tentative map is currently set to expire on January 23 , 2019 • The applicant submitted a letter requesting to extend the tentative map on October 18 , 2018 • The applicant is requestinq a one 1 ) year time extension of Tentative Tract Map SUBTT18823 • The new expiration date for SUBTT18823 will be January 23, 2020 • The time extension is necessary resolve outstanding engineering issues Approval Overview Tentative Tract Map 18823 App oval Histo Approving Approval Approval Expiration Authority Approval/Extension Type Period Date Date Planning Original Approval 3 Years 01/23/13 01/23/16 Commission Assembly Bill 116 Automatic Extension 2 Years n/a 01/23/18 Planning Time Extension DRC2017-00922 1 Year 02/14/18 01/23/19 Commission Planning Time Extension DRC2018-00966 1 Year 04/10/19 01/23/20 Commission proposed proposed r n yf i "3z 1 O ryV Glen a CoWleted Residenes x Alk k H ,Y '+'••• CITY OF RANCHO CUCAMONGA - - i - tr to ww r• wO0® I1 CQCSiWVI IIUL f I•III IV110 61 � . fe y1V<." z 'EX FH - Tentative Parcel Map J ` S U BTT18823 r• 3 �' f� iNt 17 • 19 Lot subdivision on 12.93 acres of land Y � 1 l h Lots #12 and #15 include 5 4 IS t6 rM ; unfinished residences 13 Three existing residences on the 12 , it north side of Blue Sky Court are L=' ` not part of the subject subdivision \ tm •r _ .r ��1��'t" iaIt -� to CITY OF RANCHO l • 1 • 1 Biological Update • The applicant submitted a Biological Constraints Analysis Update dated February 15, 2019, which concludes that no discernable changes have occurred on the project site that would necessitate new or modified mitigation measures. • The report does recommend that a nesting bird survey be performed 3 days prior to earth moving activities to verifying that nesting birds have not inhabited the project site prior to earth moving activities . CITY OF KL� 1. RANCHO • Environmental Review • Mitigated Negative Declaration was adopted on January 23, 2013, in connection with the City's approval of Tentative Tract Map SUBTT18823 • CEQA Guidelines Section 15162 , states that no subsequent or supplemental review is necessary if the scope of the project has not changed from that considered as part of the original CEQA review CITY OF RANCHO CUCAMONGfir �1. Recommendation Staff recommends the Planning Commission take the following action : • Approve Time Extension DRC2018-00966 for Tentative Tract Map SUBTT18823 through the adoption of the attached Resolution of Approval . ■ Cadence Senior Living Design Review Modification DRC2018-00902 Conditional Use Permit Modification DRC2018-00901 April 10 , 2019 CITY RANCHO CUCAMONGA D - » Project Overview • Project Description : A request to modify the site plan , architecture, and number of units on a previously approved Residential Care Facility located at the southwest corner of Haven Avenue and Church Street. • Applicant: Douglas Pancake Architects for Coyne Development Corporation • Zoning Designation . Mixed Use (MU ) District • General Plan Designation : Mixed Use f .y kPi s • wt- � l Rpm 4 it tt 1f� 1 _ I .px I dr 4-1 fi4 i u ,y Background • On March 8, 2017, the Planning Commission approved Design Review DRC2016-00593 and Conditional Use Permit DRC2016-00594 to construct and operate a 92-unit Residential Care Facility. Requested Changes • Increase in number of units from 92 to 97 • Slight alteration to building footprint • Minor change to courtyard size • Minor change to window placement on elevations I I -1 rrT 77 i III I' I i I 77II I I __ l a Ll I -- j i- ---- - ---- -- --- i 19 I I l I I ' • z K ra-Y IV Y.L Ifi �Y Ei v. iil YLi I JLm _ 201 li Pat t _ av .. � nr R.v s � e ��a� v ■ vs � � ILI �Y K-• ai �• m • Mll Jsi J' ■ � r.ri rylt �' m at[vlaus■uno•w ami EN 17 Ywu u. 1 a�q�■UIIpRA IX(tiltf � _„ • - FIRST FLOOR CITY OF RANCHO CUCAMONGA — rl� L ml LFrrr Tir y .moi u e � � Iri rn w .w y I = mn'lnus ovr.DIBG LINE E 1 1 1 nenouseuanwc wrurc ' - � C SECOND FLOOR CITY OF RANCHO CUCAMONGA �l � •r •• ■■ ■, ii IIAIU ��i ill_ III II III 11, (Iii: �I : I ::.. .. ■. �� ■■ ■■ ■■ ' La D --�;- IB IB Eg Eg E EB El ID Mf� SOUTH ELEVA-nON ��,�r CITY OF RANCHO CUCAMONGA r�rr r `� I /■ 1ni it MANr. ■■ i .. .. .. ■ ■■ ■■00 .■ CITY OF RANCHO CUCAMONGA r r r r� ■■ ■■ a ui �T a ■■ ■■� ■■ ■■, o o Li ■e� ■■' I1 'u n 11 /\ /\ /\ I\ /\ a ■■ ■■ ■■ ■ a� ■■ .. ■■ u I .■ In .. .. .. :i u� n II ■■ n rdlD ■■ ■■ 11■ ■■ ■i - ■■ ra ■�■ r■■ ■■ a fi ■■ u u �■ 11,■■ I■■ I■.I .■ ■■ w,i�. - iTm ■■— ■■ I■■ I„ I,■� ■■ I'�11 � 'n ii'm .■ ■. !� �� Lill i� ii ii n� 1 .11 ■■ .. ��{�� CITY OF RANCHO CUCAMONGA r �� ` Y a> CITY OF RANCHO CUCAMONGA r r� r y � • T �a h is L_ g ' �� Cr CITY OF RANCHO CUCAMONGA r �r Analysis • Proposed changes are minor in nature • Building keeps the Spanish-style architecture • Landscaping substantially unchanged from previous approval • The project will continue to meet or exceed all pertinent Standards in the Development Code Development Standard Required Proposed Complies Building Height Max. 75' 32'- 8" YES Floor Area Ratio 100% 70% YES Front Setback— Haven Ave Min. 45' 31'- 7" YES Front Setback—Church St Min. 35' 35' YES Rear Setback Min. 25' 66' -2" YES Landscape Coverage Min. 10% 26.4% YES CITY OF RANCHO CUCAMONGA Parking and Access • Previously approved access points will remain unchanged • Project will continue to exceed parking requirements, as demonstrated below: Required Provided Surplus Original Approval (106 Beds) 27 36 11 Proposed (117 Beds) 30 40 10 CITY OF RANCHO CUCAMONGA Operation • Use will remain the same as original approval : Senior Assisted Living Facility • Operations will remain the same: • Pick up and drop-off times between 6:00 a.m. to 10:00 p.m. • 20-30 employees • Average resident age anticipated to be around 80 years old Committees • Technical Review Committee: Not required , as proposed modifications did not constitute a substantial change from original building footprint. • Design Review Committee: Not required , as proposed modifications did not constitute a substantial change from originally approved architecture, massing , and landscaping Public Correspondence • No Neighborhood Meeting was not required as proposed changes will have very little (if any) impact on neighborhood compatibility • Staff did not receive any correspondence from the public. CITY OF RANCHO CUCAMONGA Q/i • Public Art • Original approval occurred prior to City's adoption of Public Art Ordinance. Since proposed modifications substantially conform to the original approval , public art is not required as part of this project. Environmental Assessment • Project qualifies as a Class 32 exemption under state CEQA Guidelines Section 15332 — In-Fill Development Projects. CITY OF RANCHO CUCAMONGA Qil• Recommendation Staff recommends that the Planning Commission : • Approve Design Review Modification DRC2018-00902 • Approve Conditional Use Permit Modification DRC2018- 00901 - CITY OF RANCHO CUCAMONGA �i. Tempo at the Resort (Tri - Pointe Homes ) Tentative Tract Map SUBTT20240 Design Review DRC2018-00851 April 10 , 2019 CITY OF RANCHO . . k*00, TlavLj D5 - DIS Project Overview • Project Description : A request to construct 80 detached residential condominiums on a vacant 4.75-acre property located north of 4t" Street, on the east side of the future alignment of the Resort Parkway • Applicant: Tri-Pointe Homes, Inc. • Zoning Designation : Planning Area S-20, Village Neighborhood (VN ) District of the Empire Lakes Specific Plan • General Plan Designation : Mixed Use hhwlcd 1k$on 8et•n Ickno LMe Mepdink u: uu a v � r CL `1 l� W, North tN RFL 13 "Ge South 522 PROJECT 8-t6 gq SITE �" \ ���/ .wea lae pul \` � -.=tie a.�waereq,euanom wro � .. -— _ Ai uan91a1 7� 1 I _ v+ay eerg�roea LYM F'+ � � NAOL , kk FAI 1,4W gip CITY OF RANCHO CUCAMONGA r r f- ��� s :e o-� au !Y7 i I■��i■a■���'���'rt� r o T r � s M ML ------------ CO NC E PTUAL LANDSCAPE MASTER PLAN ������ CITY OF RANCHO CUCAMONGA I � O.Mn-.5MENT PU :)PEN LAWN Gx i ENLARGEMENT PLAN 7EN'PASEO WITH MEWTATION GARDEN FEATURE ry ���r CITY OF RANCHO CUCAMONGA � f- � orf TENTATIVE TRACT MAP NO.20240 iCN N.dJf•IY WRaME6 w>�an��no.owmarna�®w.a.o.�nrev.�r�. I / \ 1 I T ' Itl I � i b zA6♦Lill Ilya `— II I mai-J�� y H � "� leu♦�� T 6 I ��-'Abrn H 111. I . I ronum. l I.`s I Itil-� - - 1 ♦ .--.- 4rrty♦kali I OZ yuv�imY� pp�.♦I�t CRY OF MNCIq WC•YOM411F OICID18LLW51 1BIf•TNE IMCl WPMD.AiM oc CITY &.BRiFtW IBOpI1TlXEfFS1A1 OF • • CUCAMONGA �l - i ; if ii y ■n ■ nn ii mn ms Cmw na xx'"mni:en>n roxIFMPoFPRv wec.au.,oummrz mix ap,MCI war w•cm xxmueee.a emF[' 1 MEN e rc::le.n PLAN xn Y.emSsea.n p 2 Z 4.n e.�s we Werx%a[ mrrieNalny �NNe[W awsm:aaf AT NCO 'aY x:w as Ncry..,cyr Ny1 n P u t.- • 3 I P N3 P 3 Mem[ow na Vac�o_P.am -n 4'R:AtAY §Aw[alm NNaMBa'[ :M IXLC Yl�wCm WMnmNa6eF {(.p S1f1FEt CITY cubrs maL�iaL OF RANCHO • • • • vs wo NGME EIEYpnOx mNGI1Cm NGXi EtEYAnOx - mx+.<m�.m. �.mv sneaua - u. ----'—_____ LERELEVRTION ENxpxOm L9TEEEYpixIN yam- REAR ELEVAMN .n Pxam rlvK em..e'ui..;ao. 1..71 Mmm am'aa,aM-mn a< +.eve 3ur PLAN 1 MAIN STREET xae prfia,rpRu n Ranmy colors.materials CONCEPRML ELEVA¶ONS arw+pp��camn my vary M ■ msA.— RIGHT ELEVATION ENHANCED RIGHT ELEVATION m _ rpr•vwr __ — i } 1 gm I LER ELEVATION ENHANCED LEFT ELEVATION rm.P REARELEVATION am.rm:o2ea�anHa�mc amrsrmne:R� nrr rs conceRrion,colors matnials PLAN 2 CONTEMPORARY ane a, Mw may vary CONCEPTUAL FLEVAI IONS fill Roof Rux RIM ELEVATNIN ENNANCEO RIM ELEYANIN Mr..,..�•o�3m�M1�sctl I sar_ ■■ ' i ■■ ■f■ ■■ USE �t M4a]119 R:iMC]S:i LEFTflEY47pM BRAXCE➢lBf MAAM REAR EEEVAI M Mmm Na¢d FNrnoaw ema.•®v.n v.a mr wn!c ae PLAN 1 ART DECO ArnsYs conaol odors materials CONCEPTUAL ELEVATIONS ROOF PLAN ark appikalion nuy vary CITY OF RANCHO ♦ • 2Y� 25W L 251V I� EDR 3KITCHEN 2-CAR GARAGE GATE 1 LAU UP DECK 184"N1 OPT low ENTRV Third Floor Second Floor First Floor ����� CITY OF RANCHO CUCAMONGA r. F-4 iN Nh. ����� CITY OF RANCHO CUCAMONGA �r� Analysis • Each proposed architectural style is true to its design vernacular, with architecturally appropriate design and materials, and finishes. • Consistent with the Specific Plan , the project will be an "open community," with no fencing proposed to limit public access. • Project meets landscaping requirements of the Empire Lakes Specific Plan , and greatly exceeds the required open space requirement per unit. • Project density is 16 .84 units/acre, which complies with the Specific Plan . CITY OF RANCHO . . Parking and Access • Project is primarily accessed from two vehicular driveways, pedestrian paseos, and a tabletop crossing from the Resort Parkway. • Project meets the Specific Plan's required parking, as demonstrated below: Number of Number of Units Bedrooms Parking Ratio Required Provided (per unit) Parking Parking 50 3 2 100 100 Resident Parking 30 4 2.5 75 75 Guest/Visitor 80 n/a 1 (per 3 units) 27 27 Parking Total Parking 202 202 OF • CUCAMONGA Committees • Technical Review Committee: Reviewed on March 5, 2019. Recommended approval to the PC, provided that the applicant work with staff to improve the architecture of a number of units. • Design Review Committee: Reviewed on March 5, 2019. No major or secondary issues discussed . Recommended approval to the PC. Public Correspondence • Notices were sent to all properties within 660 feet of project site. • Staff did not receive any correspondence from the public. Public Art • Public Art for the entire Resort development is being handled by the Master Developer, therefore, public art is not required this individual project. Environmental Assessment • The proposed project is within the scope of the previously approved overall project, the Empire Lakes Specific Plan . Therefore, no subsequent EIR is required . Recommendation Staff recommends that the Planning Commission : • Approve Tentative Tract Map SUBTT20240 • Approve Design Review DRC2018-00851 CITY OF RANCHO CUCAMONGA Vo*,kj Municipal Code Amendment DRC2018-00605 and Special Planning Area Amendments Regarding Regulations for Hotels Planning Commission Meeting April 10 , 2019 CITY OF RANCHO CUCAMONGA L Background • Currently no citywide regulations for hotels • Permitted or conditionally permitted in 6 zones as well as Haven Avenue Overlay and Industrial Commercial �= £ ' Overlay • There has been increased interest for hotels in all categories over past 3 years RZ. CITY OF RANCHO CUCAMONGA Background • Development Code lacks provisions that would ensure excellence in architectural design . • An amendment to the hotel development standards iii 1Y71 would help to encourage: o o Better site designY o Better architecture - o Use of higher quality building materials o Walkability ga OF • A • • Background • October 4, 2017 — CC adopted Urgency Ordinance No. 919 requiring a CUP for any new hotel or expansion of any existing hotel for a period of 45 days • November 15, 2017 — CC extended the urgency ordinance for an additional 10 months, 15 days • August 8, 2018 — PC discussed hotel regulations and provided direction to staff • September 19, 2018 — City Council extended the urgency ordinance for an additional 10 months, 15 days • March 19, 2019 — Focus group meeting with existing hotel owners/operators • April 8, 2019 — Stakeholder meeting with a developer proposing a new hotel CITY OF RANCHO CUCAMONGA �1 Existing Hotels • 11 hotels operating in the City and 2 w/ current entitlements HOTEL NAME ADDRESS Holiday Inn Express & Suites 9589 Milliken Ave Residence Inn by Marriott 9299 Haven Ave Fairfield Inn & Suites by Marriott 9550 Pittsburgh Ave TownePlace Suites by Marriott 9625 Milliken Ave Homewood Suites by Hilton 11433 Mission Vista Dr Hilton Garden Inn 11481 Mission Vista Dr Courtyard by Marriott 11525 Mission Vista Dr Aloft 10480 Fourth St Best Western Plus Heritage Inn 8179 Spruce Ave Four Points by Sheraton 11960 E Foothill Blvd New Kansan Motel 9300 E Foothill Blvd or a,a' .� Many,? i� s� - � y� i \ „ o� Sear[n.+ rres�.or APN Q Vr } `�,- S p (g 7A F`g iPP w � t.`..� �. - v� - `4 X11 r Ar, A` f g i �+a�98F F* ' gi�Irr JZE F •l i J /[ fit I' {t i _ ' �/Q T * . Pnrat o I I I 'not, — _ CnIN,. Arta Loma r r Grapelantl Eu.antla Map of _ Existing Hotels I Rancho ea Cucamonga e Arlo.Pte • Primarily concentrated on the North WMrtran Ave Cucamonga I south side • Proximity to 1-15 and Ontario L ` m International Airport 3 — Untarlo MJIs O4.y LL "II°Y B;yy i T 811d - [Abpmt 01 E "I'D' Sin,Ave t Esn.Mq$A,YGq,USGS,FETA I Coy of Rancho C amonga.Esn.REF Analysis • 2018 City Council Goal : "ENHANCING PREMIER COMMUNITY STATUS — As the community matures, undertake programs and projects to enhance Rancho Cucamonga 's position as the premier community in our region. " • Code amendment would allow for more discretionary review of hotels, ensure higher quality design , and impose minimum amenity requirements • New regulations would also protect the financial health and vibrancy of the local hotel industry and the fiscal health of the City • Promote walkability and reinforce sustainability CITY OF RANCHO CUCAMONGA �1 Summary of Proposed Regulations • Recommending a new Chapter 17 .93 be added to Development Code to implement operational standards and application requirements for development of new hotels • Special planning areas would also be amended , including : o Empire Lakes Specific Plan o Etiwanda Specific Plan o Town Square Master Plan c Victoria Arbors Master Plan o Victoria Community Plan Amendment • Haven Avenue Overlay District and the Industrial Commercial Overlay District (*ordinance to reflect this) Summary of Proposed Regulations • Extended Stay Hotels : • New extended stay hotels would not be permitted since this category of hotels is satisfactorily represented in the City • Focus will be on attracting higher end and boutique hotels to capture that segment of the hotel market • Existing Extended Stay Hotels that conform to all other applicable development standards would be considered a nonconforming use and could continue in operation CITY OF RANCHO CUCAMONGA Summary of Proposed Regulations • Conditional Use Permit: • Conditional Use Permit (CUP) will be required for all new hotels or expansions to existing hotels • Will provide the City with discretionary review ability to consider each hotel development on a case-by-case basis and apply specific conditions to ensure land use compatibility with the surrounding area IL CITY OF • CUCAMONGk Summary of Proposed Regulations • Market Feasibility Study: • Market feasibility study would need to be prepared as part of the application review process • Study would determine the condition of the hotel/lodging market and its ability to support a new hotel — Is the development financially feasible ? Summary of Proposed Regulations • Findings : • Findings specific to hotel uses would be required to support the CUP • Including a finding that the proposed hotel is not expected to reduce the total hotel occupancy rate in the City below 75% in the first 5 years of operations ARAN- CITY OF RANCHO CUCAMONGA Summary of Proposed Regulations • Occupancy: • Defined minimum (one day) and maximum (30 days) stay requirements Summary of Proposed Regulations • Public Safety Standards : • To help ensure public safety and mitigate against criminal activity the following would be required for hotels: o Management plan for addressing potential criminal activities at the site o Installation of security cameras/ storage of 30 days of recordings o Training for hotel staff on how to spot criminal activity c Single point of contact for Fire and Police to address issues at the hotel CITY OF RANCHO CUCAMONGA Summary of Proposed Regulations • Hotel Amenities: • Defined amenities would be required for new hotels as part of the effort to broaden the types of hotels within the City: _ o full-service restaurants 0 outdoor bars/ lounges and dining areas o fitness centers w/ wide range of equipment o spas o large pools o fire pits _ 0 other recreation areas o valet parking � k CITY OF • CUCAMONGA Summary of Proposed Regulations • Design Standards: • Hotels would be held to a higher standard of architectural design review than they had been previously • Development standards and design guidelines specific to hotel development, including : o Requiring hotels be integrated into a larger pattern of development and avoid being isolated from restaurants and entertainment o Requiring designs that are unique and tailored to a specific site o Requiring building architecture that incorporates multiple design elements and variation in materials and colors Recommendation Staff recommends that the Planning Commission adopt Resolution No. 19-34 recommending the City Council approve: • Municipal Code Amendment DRC2018-00605 • Empire Lakes Specific Plan Amendment DRC2019-00230 • Etiwanda Specific Plan Amendment DRC2019-00230 • Town Square Master Plan Amendment DRC2019-00231 • Victoria Arbors Master Plan Amendment DRC2019-00231 • Victoria Community Plan Amendment DRC2019-00232 All amending the requirements and standards for the development of new hotels or expansions to existing hotels within the City and plan areas . CITY OF RANCHO CUCAMONGA APR 10 2019 tharaldsonhospitaliV RECEIVED - PLANNING UEVELOPkENT April 10,2019 Mayor and City Council Planning and Historic Preservation Commission City Manager/Staff City of Rancho Cucamonga 10500 Civic Center Drive Rancho Cucamonga,CA,91730 T. (909)477-2700 F.(909)477-2849 RE: Dl I MUNICIPAL CODE AMENDMENT DRC2018.00605,Planned Community Amendment DRC2019- 00232.Master Plan Amendment DRC2019-00231.Specific Plan Amendment DRC2019-00230—CITY OF RANCHO CUCAMONGA—A request to amend Title 17 of the Municipal Code.the Victoria Community Plan.the Town Square Master Plan,.the.Victoria Arbors Master Plan,the Etiwanda Specific Plan and the Empire Lakes Specific Plan to amend requirements and standards for the development of Hotels. We are respectfully requesting a brief continuance of the above referenced item scheduled for public hearing before the Planning Commission and Historic.Preservation Commission on April 10,201'9. As the owner and operator of three hotels in the City,Tharaldson Hospitatility is a longstanding member of the City's business community.Those hotels are the Marriott Courtyard,the Hilton Garden Inn,andHomewood Suites by Hilton.Our properties generated$13M in TOT tax.last year,and last month our Homewood was honored for having the highest occupancy in the entire Hilton reservation system. We area family owned business that cares about our guests,employees,and the relationships we have with the businesses and communities we serve. We are Marriott's largest franchisee.and were selected as their Developer of the Year in 2018.We are also one of the largest Hilton and IHG franchisees.We-have built,owned,and managed more than 400 hotel properties in the US,with forty of those in,California. As you may recall we first met with the city in 2015 to gauge support for our planned hotels prior to purchasing the site from the Church of Jesus Christ of Latter Day Saints in January of2017. We bad approval at the Design Concept Review with the Commission on December 14,2016, filed formal comprehensive application on March 7,20I7 for two new hotels and a restaurant at the comer of Haven and Fourth Street. August 17,2017 we submitted our last updated items requested by staff to be deemed complete. From then until October 27,2017 we had almost no communication with the City regarding our status and completion letter. It was then we first learned of the October 41s,Council meeting whereby the Urgency Ordinance was first introduced requiring a CUP for all new hotels. After closing on the land and 2 years and securing$200,000 in hotel Franchises,spending$250,000 on all requisite studies we.are very concerned, The proposed ordinance,if approved,would block the development of this property after 4 years of collaborative work with the City. Our request for a continuance is to allow us,other impacted businesses,and the community a fair and open opportunity to review the ordinance and provide background information to the Planning Commission and the City Council on the, potential impacts of this ordinance on-the community and its business interests.It was not until Monday April 151 that we first became aware that a draft ordinance regulating hotels and potentially impacting our longstanding plans in the City would soon be considered. And it was not until a mere five days ago,on Friday,April 5di that a draft of the ordinance was made available for review. Therefore, it is has not been possible to adequately review and respond to the ordinance and the rationale behind the ordinance presented in the Staff report. This proposed ordinance has significant implications not just for our business,but for the City and the community. It appears to be premised upon unrealistic evaluations of the hospitality market made without consultation with the hospitality and lodging industry and without the supportof accurate,comprehensive marketing data.It is very likely to have a quite different effect.than its stated goal of attracting full-service hotels to the City.As a leading member of the hospitality industry",it is our view,based upon our initial read 4255.De.'m Martin Dtive, Suite i I Las Vegas,NV 89.103 Phone: (102) 3854988 Tsar.: (102) 385-4975 tharaldsonhospitality DEV E LOP ENT ofthe ordinance,that the City will see fewer new hotel rooms and will forego opportunities to collect increased TOT revenues if this ordinance is adopted. Before an ordinance with these potential consequences is adopted, its stated goals and its potential consequences should be seriously considered and debated.Appropriate questions for you to consider are: • Has the City engaged in comprehensive discussions and exchanged research with 3'd party industry professionals? • Has the City reached out to the larger Hotel Brands such as Marriott,Hilton,IHG, Hyatt,Wyndham etc,to seek input and guidance as part of their efforts? • Has the City done any studies specific to the goals they are seeking to achieve that may or may not demonstrate the viability or feasibility or impact of adopting the proposed changes other than online research and reviewing other Cities' codes? • Has the City reached out to the business community such as the Chamber of Commerce,the large employers„or Greater Ontario California Convention and Visitors Bureau to see what they could offer by way of research or guidance? It is our understanding that the answer to each of these questions is"No. If the City is to adopt this ordinance,it should do so only after a thorough evaluation of the ordinance's ability to meet its stated objectives and its potential consequences to the community and local businesses. That requires a fair opportunity for in-depth analysis by those who are impacted by this ordinance and an opportunity for those parties to present their comprehensive,fact-based analysis to both the Planning and Historic Preservation Commission and the City Council. Only then can a fair and reasoned decision be made on this ordinance. We believe that the only reason you will be given for rushing this ordinance through without proper input from those affected is that the current moratorium will expire.That reason does not justify making an impactful decision with few,.if any,relevant facts acid without proper opportunity for public input,Please continue this hearing to your next scheduled meeting date. Sincerely, Don Cape Vice President Tharaldson Hospitality Las Vegas,NV 89149 www.tharaldsonlun.coin 4255.Dean Martini Drive,Suite J 1 .1is Vegas,NV 8910.3 Phone: (702),385-4988 Fax: (702) 385-4975 I COMMERCIAL REAL ESTATE SERVICES CBRE BRE I Brandon J. Felghner CBRE, Inc. Senior Director 400 South Hope Street, 251^Floor CBRE Hotels Advisory Los Angeles, CA 90071 +1 213 613 3373 Office i Bran don.feig hner@cbre.com NO HARD COPY TO FOLLOW www.cbrehotels.com April 10, 2019 CITY Or RANCHO CUCAMONGA Mayor and City Council APR 10 2019 Planning and Historic Preservation Commission City Manager/Staff RECEIVED - PLANNING City of Rancho Cucamonga 10500 Civic Center Drive Rancho Cucamonga, CA 91730 Re: Rancho Cucamonga Proposed Hotel Ordinances Nos. 919, 923 and 940 Based on our recent meetings and discussion with City of Rancho Cucamonga Planning Department staff, review of the draft April 10, 2019 Staff Report ("Report") to the Members of the Planning Commission, and draft Ordinances in questions,we have prepared this brief letter outlining our findings and conclusions. It should be noted that our client was only notified of the proposed Ordinances approximately one week ago and thus we reserve the right to revise or supplement this letter.as new information becomes available. Asa point of background, we were originally retained by Tharaldson Hospitality ("Tharaldson") in July 2017 to provide an analysis of the anticipated economic and fiscal impact of their hotel developments to be located at the northeast comer of Have Avenue and East Fourth Street. This study, as required by the City of Rancho Cucamonga, was subsequently updated in November 2017 and March 2018. Based on these studies it was estimated that the Tharaldson hotels will have a combined economic impact of approximately $40 million in a representative year of operation and will generate more than $435 million over their first ten years of operation. This equates to a net positive fiscal impact of approximately$8 million to the City of Rancho Cucamonga over the 10-year operational period. Thus, while Tharaldson remains a client of our firm, the views and opinions expressed herein would not be materially different, regardless of what entity retained us for our hotel advisory services. Our conclusions herein are based not only on our familiarity with the proposed Tharaldson project specifically, but also numerous market studies and appraisals conducted in the Inland Empire, both for public and private sector clients. In addition, we prepare an annual lodging forecast for the greater Ontario/Rancho Cucamonga area and also present to industry groups regarding trends in the Inland Empire hotel market. Page 1 2 According to the aforementioned Report, city staff recommends that the Planning Commission adopt a resolution recommending the City Council approve six specific Code Amendments relating to the requirements and standards for the development of new hotels or expansions to .existing hotels within the City of Rancho Cucamonga. Staff's proposed recommendations are summarized in the following key points. 1) Extended Stay Hotels: New extended stay hotels will not be permitted as it has been determined that this category of hotels is satisfactorily represented in the City and the focus will be on attracting higher end and boutique hotels to capture that segment of the hotel market. i i 2) Conditional Use Permit: A Conditional Use Permit (CUP) will be required for all j new ,hotels or expansions to existing hotels, which will provide the City with discretionary review ability and allow staff and the Planning Commission to consider each hotel development on a case-by-case basis and apply specific conditions to each project to ensure land use compatibility with the surrounding area. 3) Market Feasibility Study: A market feasibility study will need to be prepared as part of the application review process.The study will determine the condition of the hotel/lodging market and its ability to support a new hotel and will assist staff in determining if the development will be financially feasible. 4) Findings: Findings specific to hotel uses will be required to support the CUP, including a finding that the hotel occupancy rate for the City will not drop below 75%. 5) Occupancy: Defined minimum (one day) and maximum (30 days) stay requirement. 6) Public Safety Standards: To help ensure public safety and mitigate against criminal activity the following will be required for hotels: a. Submission of a management plan for addressing potential criminal activities at the site. b. Installation of security cameras and storage for a minimum of 30 days of recordings. c. Training for hotel staff on how to spot criminal activity. d. Single point of contact for Fire and Police to address issues at the hotel. 7) Hotel Amenities: As part of the effort to broaden the types of hotels within the City, defined amenities will be required for new hotels. Options include full- service restaurants, outdoor bars/lounges and dining areas, fitness centers with a wide range of equipment/exercise stations, spas, large pools, fire pits, other recreation areas, and valet parking. Page 1 3 8) Design Standards: Like many other developments occurring within the City, hotels will be held to a higher standard of architectural design review than they had previously. Development standards and design guidelines specific to hotel development, including requiring designs that are unique and tailored to a specific site rather than a cookie-cutter hotel without any distinguishing characteristics and requiring building architecture that incorporates multiple design elements and variation in materials and colors. i The majority of staff's recommendations are reasonable and prudent in light of the City Council's goal "...to enhance Rancho Cucamonga's position as the premier community in our region." For example, it would be reasonable for the City to be able to evaluate each planned hotel and its design on a case-by-case basis (#2 and #8) and also to request a study proving the financial viability of any proposed hotel (#3). Similarly, all business class hotels in the City should conform to public safety standards (#6) and we would be surprised if a majority of the hotels operating in the City do not already adhere to the standards for some facsimile thereof) outlined in the staff recommendation. Lastly and not surprisingly given the trend towards experiential hotel stays it would be reasonable to anticipate that future hotel developers would. include one or more types of amenities (07) outlined in the Report. However, it is our professional opinion as hospitality and real estate professionals that recommendations #1, #4, and #5 are not only overly restrictive, but they run counter to the actual demand for accommodations in the local area. Not only does the Report note that "In the last three years, the City has noticed increased interest for hotels in all categories, including business, extended-stay, and general categories.", this trend is not unique to the local Rancho Cucamonga hotel market, as more fully detailed in the following paragraphs and as originally written in The Highland Group's 2019 US Extended-Stay Lodging Market report, dated March 8, 2019. The Highland Group has been known for its research and publications on the extended stay segment of the lodging industry since 1992. The Highland Group publishes an annual comprehensive survey of the extended stay industry, interim quarterly reports and a statistical report on extended stay hotels in the 100 largest markets each year. Despite record levels of new room construction adding more than 83,000 new rooms over the last three years, some of the strongest demand growth ever reported has kept extended-stay occupancy above its long term average for eight consecutive years. Rising construction costs and a tight construction labor market has lengthened the development process and for the first time in seven years extended-stay rooms under construction at year end declined from the prior year. Despite the decline, the timing of the 47,000 extended-stay rooms under construction will be a major factor in the segment's performance in 2019.. Extended-stay hotel RevPar deceleration and closer alignment with the overall hotel industry's RevPar growth is usual at this stage of the hotel business cycle. Extended-stay room supply growth should be in the 6% to 7% range in 2019. Assuming strong economic fundamentals result in demand growth similar to the 6% average over the last five years, there should be little change in occupancy in 2019. Even if demand fails to I Page 1 4 keep up with supply, occupancy was at an 18 year high in 2018 so it should remain above its long- ADR and RevPar growth are likely to be slower in 2019 compared to 2018 but the near-term outlook remains good for extended-stay hotels. It is also important to note that the term "extended-stay" is somewhat of a misnomer and such properties should more appropriately be referred to as "all-suite" hotels, thereby denoting the physical attributes of a hotel and its guestrooms rather than hypothetical guest profile, especially since hotels of these types are attractive to a wide spectrum of guests (both individuals and families) that prefer the extra living space afforded by all-suite hotels and full kitchen facilities that allow for the preparation of meals according to strict dietary needs. These facts are supported by Maniott's own data. Following its acquisition of Starwood Hotels in September 2016, Marriott International became the world's largest hotel company and one of the largest operators of all-suite hotels, including the nation's most well-known brands: Residence Inn. According to Marriott's Franchise Disclosure Document, only approximately 40 percent of all Residence Inn guests across more than 500 hotels in North America, stay for more than five consecutive nights. Therefore, the majority of all-suite guests at "all- suite" or "extended-stay" hotels were actually guests that likely stayed for only a few days at a time. Without any supporting evidence, the Report notes that "From a regional perspective, the extended stay hotel market appeors.to be reaching a saturation point." Based on our experience and expertise, such a statement appears to run contrary to current industry trends, thus we have researched the matter further. Similar to STIR, Inc., CBRE Hotels collects data from hundreds of individual hotels throughout Southern California. Based on this data we selected a representative sample of extended-stay and all-suite hotels located in either the City of Rancho Cucamonga of the City of Ontario. Given the proximity of the hotels and the joint marketing of the cities by the Greater Ontario Convention and Visitors Bureau (GOCVB), we find this to be a reasonable comparison. The four hotels surveyed during the course of our analysis are outlined in the table at the beginning of the following page. All-Suite/Extended-Stay Hotels Rancho Cucamonga&Ontario Hotel Name City Class Open Date Rooms Homewood Suites Rancho Cucamonga Rancho Cucamonga Upscale November 2005 103 TownePlace Suites Rancho Cucamonga Rancho Cucamonga Upper Midscale January2006 112 Embassy Suites Ontario Airport Ontario Upper Upscale June 2011 175 Residence Inn Ontario Airport Ontario Upscale February 1986 200 Source: STIR,Inc.,CBRE Hotels The aggregate average annual available and occupied rooms, resulting occupancy levels, average daily rate, and revenue per available room (RevPAR) for this sample set between 2008 and 2018, are presented in the following table. For confidentiality reasons we are unable to provide individual hotel data, but at the conclusion of 2018 the occupancy levels of the four hotels ranged from the low 80's to the low 90's and average daily rates ranged from approximately$130 to $180. I Pagel 5 All-Suite/Extended-Siay Hotels Ontario/Rancho Cucamonga Historical Market Performance Annual Percent Occupied Percent Market Percent Percent Year Supply Chane Rooms Chane Occupancy ADR Chane Rev PAR Change 2008 151,475 - 115,064 76.0% $104.04 - $79.03 2009 151,475 0.0% 102,678 -10.8% 67.8 94.57 -9.1% 64.10 -18.9% 2010 151,475 0.0 113,230 10.3 74.8 89.79 -5.1 67.12 4.7 2011 188,735 24.6 126,535 11.8 67.0 100.97 12.5 67.70 0.9 2012 215,350 14.1 159,397 26.0 74.0 107.03 6.0 79.22 17.0 2013 215,350 0.0 167,400 5.0 77.7 113.52 6.1 88.25 11.4 2014 215,350 0.0 180,616 7,9 83.9' 118.71 4.6 99,56 12.8 2015 215,350 0.0 184,174 2.0 85.5 128.80 8.5 110.15 10.6 2016 215,350 0.0 185,040 0.5 85.9 139.64 8.4 119.98 8.9 2017 215,350 0.0 182,700 -1.3 84.8 146.81 5.1 124.55 3.8 2018215,350 0.0 185,809 1.7 86.3 150.18 2.3 129.58 4.0 CAGB 3.6% 4.9% 3.7% 5.1% Source: CBRE Hotels Prior to the Great Recession, occupancies in the local market were in the mid to high 70's, although as with nearly ail markets across the U.S., occupancy levels dropped precipitously in 2009 and unique to the local market experienced second decrease in 2011 with the mid-year opening of the Embassy Suites Ontario. As economic conditions improved, and the newly opened hotel ramped up in the local market, occupancy levels increased significantly through 2014 or 2015. In fact,for the last five years the local market of all-suite and extended-stay hotels has averaged approximately 85 percent occupancy. For the record, this is an indication of an extremely healthy hotel market and is nearly 20 percentage points of the national average of 66.2 percent for U.S. Hotels, which in itself was an all-time record for the hotel industry as a whole. It should be noted than an 85 percent annual market occupancy essentially indicates that these hotels are sold out six out of every seven days of the week and thus travelers seeking such accommodations are unable to do so in the local market and thus are forced to take their business (and transient occupancy tax dollars) elsewhere. Beyond the supply and demand imbalance that likely exists in the local market given the preceding statistics, staff recommendation #5 is unduly punitive to hotel operators and the guests that they intend to serve. As noted previously, only a small portion of extended-stay guests stay for more than one week at a time, although when they do it is usually for reasons beyond their control and to limit stays to a maximum of 30 days is misguided. The reasons are too numerous to list, but both in theory and practice local residents could and have patronized extended-stay hotels for temporary accommodation if their homes are uninhabitable for any reason, they are relocating to the area, or have experienced a major life event for which access to a larger guest room and full kitchen facilities would be highly desired (if not required) facilities and amenities from a guest perspective. Additionally, such a restriction would not allow any hotels, regardless of their classification by the city, to serve first responders and other important personnel associated with a major disaster and the remediation that follows. Finally, we are of the opinion that recommendation #4 warrants further study and a detailed data-driven analysis should be completed that considers the historical and future projected performance of not only hotels located within the city limits of Rancho Cucamonga but also should likely include hotels in the adjacent community of Ontario. According to the December 2018 Lodging Report prepared by the GOCVB, the nine Page 1 6 City of Rancho Cucamonga hotels posted an 81.6 percent annual occupancy, which was similar to the year prior. However, the 48 City of Ontario hotels posted a much lower occupancy for the same period (72.0 percent) and therefore it is important to not consider supply and demand metrics in a vacuum. Based on discussions with staff of the Rancho Cucamonga Planning Department, the City of Ontario has a similar provision in their development code, although according to 5.03.C.2.5 of Ontario's Zoning and Land Use code, the minimum occupancy threshold is 65 percent is ten percentage points lower than that is being proposed by the City of Rancho Cucamonga. Based on our survey of more than two dozen hotels located in either Rancho Cucamonga or Ontario, if the City of Rancho Cucamonga enacted a minimum occupancy threshold of 75 percent based on the aggregate performance of Rancho Cucamonga and Ontario hotels, no new hotels would have been constructed for the more than ten-year period from 2008 to 2017. Ontario/Rancho Cucamonga Historical Market Performance of the Competitive Supply Annual Percent Occupied Percent Market Average Percent Percent Year Suppiy Chane Rooms Chane Occupancy Daily Rate Chane REVPAR Change 2008 1,470,220 - 983,387 - 66.9% $98.64 - $65.98 - 2009 1,640,675 11.6% 973,367 -1.0% 59.3 85.10 -13.7% 50.49 -23.5% 2010 1,658,560 1.1 1,046,733 7.5 63.1 80.99 -4.8 51.11 1.2 2011 1,693,235 2.1 1,052,658 0.6 62.2 83.04 2-5 51.62 1.0 2012 1,722,435 1.7 1,096,267 4.1 63.6 85.59 3.1 54.48 5.5 2013 1,800,910 4.6 1,181,145 7.7 65.6 86.60 1.2 56.80 4.3 2014 1,800,910 0.0 1,283,534 8.7 71.3 89.72 3.6 63.95 12.6 2015 1,800,910 0.0 1,328,791 3.5 73.8 96.47 7.5 71.18 11.3 2016 1,800,910 0.0 1,334,335 0.4 74.1 103.71 7.5 76.84 8.0 2017 1,800,910 0.0 1,336,726 0.2 74.2 109.45 5.5 81.24 5.7 2018 1,815,875 0.8 1,369,871 2.5 75.4 115.05 5.1 86.79 6.8 CAAG 2.7% 3.4% 1.6% 2.8% Source:CBRE Hotels Sincerely, , - Brandon Feighner Senior Director CBRE Hotels Advisory