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Report regarding applications for Master Plan, Precise Plan, Design Review, Use Permit, Development Agreement, Transportation Demand Management Plan and Vesting Tentative Map to redevelop an existing 19-acre commercial site into a 1.65 million square foot life science research and development campus and associated amenity uses in the east of 101 area at Forbes Boulevard and Allerton Avenue in the Business Technology Park - High (BTP-H) Zoning District and determination that the project is consistent with the 2040 General Plan Environmental Impact Report (CEQA Guidelines Sections 15162, 15183) (Christy Usher, Senior Planner)
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MOTIONS FOR THE COMMISSION TO ADOPT STAFF RECOMMENDATIONS:
1) Move to adopt the resolution making findings and recommending that the City Council make a CEQA determination.
2) Move to adopt the resolution making findings and recommending that the City Council approve the planning entitlements.
RECOMMENDATION
Recommendation
Staff recommends that the Planning Commission conduct a public hearing and take the following actions:
1. Adopt a resolution making findings and recommending that the City Council make a determination that the Vantage Master Plan Environmental Checklist demonstrates that the Project is consistent with the scope of the environmental analysis in the previously certified 2040 General Plan Environmental Impact Report (EIR), and that no further environmental review is required per the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15183.
2. Adopt a resolution making findings and recommending that the City Council approve the entitlements request for P22-0117 & P22-0138, Master Plan MP23-0002, Precise Plan PP23-0001, Design Review DR22-0036, Use Permit UP22-0011, Development Agreement DA22-005, Transportation Demand Management Plan TDM22-0009, Vesting Tentative Map PM22-0002 and Environmental Determination ND22-0002, subject to the draft Conditions of Approval.
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PROJECT OVERVIEW
Background
In 2019, the Planning Commission approved the entitlements for two life sciences buildings located at 480 (A) /490 (B) Forbes Boulevard, as part of the Vantage life science campus. These Buildings A and B are under construction.
In 2022, the Planning Commission approved a design review application for a 40,000 square foot, two story, amenity building to serve the approved Buildings A and B and future Buildings C, D, E and F of the proposed Vantage life science campus at build out. The amenity building is currently under construction.
Project Description
In 2022, Healthpeak Properties (HPP) submitted a master plan application to redevelop multiple contiguous parcels with a total site area of approximately 19 acres in the East of 101 area, along Forbes Boulevard and Allerton Avenue. The overall master plan application includes the previously approved projects described above, as well as four additional office / R&D buildings, three parking garages, and requests total build out of approximately 1.65 million square feet with a maximum floor area ratio (FAR) of 2.0. The dedication of an approximately one-acre vacant parcel for a new fire station is also proposed as a community benefit (described further in detail in this staff report).
The Planning Commission is currently being asked to review the entire Master Plan application, along with a Precise Plan for Phase 2. The scope of the Precise Plan includes construction of two life sciences buildings totaling 689,00 square feet, and two parking garages containing 2,518 parking spaces. A future phase of the Master Plan (Phase 3, subject to future Precise Plan review and entitlements) will include construction of two additional life science buildings and a parking garage. The Vantage campus upon completion of the Master Plan (Phases 1, 2, and 3) will include a total of six life science buildings, an amenity building and three parking garages.
Site Overview
The Vantage Master Plan project site is comprised of an approximately 19-acre site comprised of six parcels. The project site is located at the corner of Forbes Boulevard and Allerton Avenue. The site is irregular in shape and is bounded by Forbes Boulevard to the north, and Allerton Avenue to the east, and a shared-use bicycle and pedestrian trail (“Rails-to-trails” facility) to the south.
The Project site is comprised of vacant and developed parcels. Existing uses and structures on the site include a mix of new life science buildings (Phase 1 of the Vantage Master Plan) and existing commercial structures that have been demolished and will be redeveloped as the Master Plan builds out.
The Project site is centrally located within the continuously growing life sciences and biotechnology hub of East of 101, amid many new and emerging campuses, corporate headquarters, research and development facilities, and offices. The Vantage site is located in the East of 101 Sub Area of the General Plan and is zoned Business Technology Park High (BTP-H) which permits employment uses including office and R&D.
The Project includes a Vesting Tentative Subdivision Map that subdivides the Project site into individual parcels that correspond to new buildings and parking structures on the Project site. The Vesting Tentative Subdivision Map would rearrange the lot lines that establish the existing six legal parcels, and further subdivide the site to create four new parcels, for ten total parcels on the site, as indicated in the Project plans.
Entitlement Request
The Vantage project is seeking the following entitlement requests:
• CEQA determination for environmental compliance.
• Master Plan for total build out of the site.
• Precise Plan for build out of Phase 2.
• Design Review for Phase 2.
• Conditional Use Permit to exceed the maximum allowable parking spaces.
• Vesting Tentative Map to subdivide the site from 6 parcels to a total of 10 parcels.
• Development Agreement to clarify and obligate the terms and conditions of the entitlements and community benefits.
Master Plan Building Architecture
The architecture for each of the Project’s new buildings is thematically consistent with the previously approved Buildings A and B and the amenity building. The exterior structural supports for the new buildings area are all made of steel columns and beams, with high-performance insulated glazing set in steel and metal panel/glass shadow boxes as the primary façade materials. Metal fins separate each floor at the exterior. At the ground level, floor-to-ceiling, low iron, high performance insulated glazing units separated by metal panels are used, which provides greater transmission of light, a high degree of clarity and color fidelity.
Site Design, Landscaping and Open Space
The landscape concept for the Project includes three key landscape features, including a central east/west promenade pedestrian spine, separate paseos that provide shared entries into the Campus on the north/south axis, and streetscape landscaping along Forbes Boulevard and Allerton Avenue. Together, these landscape features account for approximately 215,000 square feet of landscaped area, or approximately 26% of the Project site. This proposed landscape area exceeds the 15% minimum landscape requirement for new development within the BTP-H zone.
Amenities
The Master Plan project includes the previously approved amenity building which is under construction and will include a food hall, full-service restaurant, bar with outdoor terrace, meeting space, and a fitness center. While the fitness center will be for the exclusive use of tenants in the project, the remainder of the facilities in the amenity building are intended to be open to the public.
Site Access and Circulation
The Project site is bounded by Forbes Boulevard to the north, Allerton Avenue to the east, and a shared-use "rails-to-trails" bicycle and pedestrian pathway to the south. The Project site is located approximately ¾ of a mile east of the South San Francisco Caltrain Station. Primary bicycle and pedestrian site access are provided via the planned new sidewalks along the site's Forbes Boulevard frontage or the completed "rails-to-trails" Class I pathway between Roebling Road and the Genentech campus.
The Project will include a previously planned Class II buffered bicycle lane on Forbes Boulevard to provide primary access from the north site frontage and multiple on-site access pathways to connect to the rails-to-trails Class I trail directly. Motor vehicle site access will be provided from Forbes Boulevard and Allerton Avenue via a perimeter roadway that traverses the south and west edges of the project site and connects to the parking garage access points.
The project as conditioned will also design and construct a new traffic signal at the intersection of Allerton and Forbes Boulevard, and two new crosswalks: 1) at the north leg of the Forbes Boulevard and the Eccles Avenue intersection; and 2) on Forbes Boulevard at the west leg of the intersection in addition to providing a fair share contribution to fund signalization in addition to required transportation impact fees.
The Project will provide safe and convenient bicycle parking meeting Zoning Ordinance requirements, as well as showers, changing rooms and lockers to encourage bicycle commuting. Phase 1 of the Project includes 16 short-term and 54 long-term bicycle parking spaces located in two bike rooms. An additional 247 bicycle parking spaces will be provided in Phases 2 and 3, for 317 total bike parking spaces. This exceeds the required bicycle parking spaces, which would be a total of 185 parking spaces (or 5% of vehicle parking spaces) (SSFMC Section 20.330.007, Bicycle Parking).
GENERAL PLAN COMPLIANCE
The Project site is designated as Business Technology Park High in the City’s 2040 General Plan. This General Plan land use designation is intended to provide for high-density development of a wide range of corporate, R&D, and office uses, at floor area ratios (FAR) that range from 0.5 up to 2.0, depending on the payment of a community benefits fee, or community benefits agreement.
The Project is consistent with the Guiding Principles in the 2040 General Plan for the BTP High land use designation which are to “strengthen the City’s role as the worldwide hub of the biotech and life sciences industries and attract more jobs in the technology sector, professional office sector, and other sectors with long-term growth potential and the ability to diversify the city’s supply of high-wage jobs”.
The 2040 General Plan encourages retention and expansion of life science land uses that will ensure that South San Francisco remains a world-class life sciences destination. Expansion of office/R&D space for biotechnology and life sciences businesses drives reuse or redevelopment of existing industrial buildings, such as at the Project site. The City’s General Plan seeks to allow for growth and the continued success of life sciences by intensifying development along and north of East Grand Avenue and close to key transportation corridors, in exchange for community benefits and district-wide improvements. The proposed Project is consistent with the General Plan, as it seeks to direct intensification of new life sciences development in the East of 101 area.
ZONING CONSISTENCY
The Project site is zoned Business Technology Park-High (BTP-H), which corresponds to the General Plan land use designation of Business Technology Park High. The BTP-H zoning district provides areas for campus-like environments for corporate headquarters, research and development facilities, and offices. The proposed use is consistent with the zoning designation for the site. The Project meets the BTP-H district zoning standards, as well as the citywide development standards including, but not limited to, parking (with the requested Conditional Use Permit, which is required to exceed the permitted parking on-site), FAR, setbacks, lot size, landscaping and open space.
Community Benefits Program
The maximum base FAR in the BTP-H district is 0.5 with up to 2.0 permitted with community benefits. As proposed, the Project would be developed at an FAR of 2.0 consistent with the FAR permitted per SSFMC Chapter 20.395 which establishes a non-residential Community Benefits Program by which the City may grant an FAR bonus, in exchange for providing greater benefits for the broader community than would otherwise be required under the zoning district standards.
The Project applicant has the option to provide a community benefits payment or to provide direct community benefits as part of the Project. In the case of a payment, the payment amount must be equal to $20 per square foot of built square footage in excess of the square footage built above a 1.0 FAR (up to a maximum 2.0 FAR). If a project applicant makes a direct community benefits contribution, the contribution must be at least equal in value to the payment that would otherwise apply.
The Vantage master plan application includes a total of 1,655,202 square feet, half of which (827,601 square feet) would be required to pay the community benefits fee (FAR exceeding 1.0, up to 2.0). Therefore, the Project is required to provide community benefits valued at $16,552,020 (827,601 square feet at $20 per square foot).
A community benefits analysis study was completed to assess and quantify the proposed community benefits, which included, but was not limited to, land conveyance for a potential new fire station. The report concluded that the value of the proposed benefits exceeded the required community benefit contribution. Specifically, the proposed community benefits were valued at $25.1 million, or $8.6 million more than the $16,552,020 required per SFFMC Section 20.395.
Parking
Pursuant to SSFMC Section 20.330.004: Required Parking Spaces, the required on-site parking spaces for R&D land uses are established as 1.5 parking spaces maximum per 1,000 square feet of R&D floor area. SSFMC Section 20.330.004 also provides that the Planning Commission may allow parking in excess of the spaces required pursuant to Table 20.330.004, subject to a Conditional Use Permit (CUP) and based on a finding that the amount of parking provided is supportive of the recommendations and requirements of a Transportation Demand Management (TDM) plan prepared for the project.
At 1.5 parking spaces per 1,000 square feet, the total parking allowance for the Project would be 2,422 spaces maximum. The Project applicant seeks approval of a CUP that would enable an overall Project parking ratio of 2.24 parking spaces per 1,000 square feet of building space, yielding 3,701 parking spaces.
The total proposed building square footage in the Master Plan project is (1,614,602 square feet exclusive of the amenity center); this translates to a maximum of 2,422 parking spaces. The applicant is proposing to provide a total of 3,701 parking spaces, exceeding the maximum number of parking spaces by 1,279 spaces; however the Project shall comply with the Tier 4 TDM requirements which include but are not limited to a 50% reduction in single-occupancy vehicle or drive-alone mode share.
The Project’s parking demand is primarily a function of the Project’s projected employment population. Employee commute numbers will then be adjusted to specifically reflect the Project’s consistency with the General Plan and Zoning Ordinance requirements to implement a full Tier 4 TDM Plan, achieving up to a 50 percent reduction in drive-alone vehicle trips for the entire Project, and requiring a site-specific trip cap (discussed in the next section of this staff report). The Project’s proposed parking program exceeds the City parking standards. However, the required TDM Plan and the Project’s trip cap would serve to reduce vehicle trips to acceptable levels, even with the additional requested parking.
Transportation Demand Management Plan
SSFMC Section 20.400 establishes regulations related to Transportation Demand Management (TDM) plans, using a points-based TDM planning approach to ensure that each development project contributes its fair share toward reducing vehicle trips and vehicle miles traveled (VMT), while providing flexibility to be sensitive to the local development context, project type, and scale of the project. Required points are intended to align with the approximate level of auto travel reductions needed to achieve consistency with city, regional and state environmental goals. The TDM ordinance includes four tiers of compliance for different types and scales of development, based on their anticipated effects on the City’s transportation network.
The Vantage Master Plan project is classified as a Tier 4 project, as it is an R&D project with at least 400,000 sq. ft. of floor area. Tier 4 requirements include:
• A total of 50 points
• Annual monitoring to achieve a maximum of 50 percent of employees commuting via driving alone
• Annual monitoring of a site-specific trip cap
The proposed TDM Plan, prepared by Fehr & Peers (Associated Entitlements Resolution, Exhibit C) includes a checklist, which achieves the required 50 points through a mix of required and optional trip reduction measures designed to reduce the number of peak hour vehicle trips, auto dependency, and the need for commuting by single-occupancy vehicle for Project employees and visitors. The Project design, transit-oriented location and programmatic TDM elements encourage alternative modes of transportation including walking, bicycling, micro-mobility options, carpooling, vanpooling, remote work, and public transit.
The proposed TDM measures are organized into three categories:
• Infrastructure and physical measures (pick-up / drop-off zones, campus walkability, pedestrian links to Downtown and Caltrain, bike path development, bike parking and repair station, designated carpool / vanpool parking facilities, on-site amenities and services)
• Programmatic measures (commuter concierge amenity, annual commuter fairs and programs, commuter incentives and rewards, transit subsidies, alternative work schedules and remote work options)
• Comprehensive monitoring and reporting (initial compliance forms, annual compliance forms and reports, annual mode share surveys, and annual site-specific trip cap surveys)
SUSTAINABILITY / CLIMATE ACTION PLAN
The Project is designed to comply with CalGreen efficiency standards. All phases of the Vantage Project Master Plan target achieving LEED Gold Certification. The proposed Project is consistent with recent sustainability regulations that have been adopted at State and local levels, including CalGreen efficiency standards, and General Plan policies and implementing zoning for this area that focus on linkages to Caltrain, other regional transit including SamTrans, and community amenities.
DESIGN REVIEW BOARD
The Design Review Board (DRB) reviewed the project on January 17, 2023. The Board was supportive of the Project, site planning and architecture, but had concerns with the Project with respect to wind impacts on mechanical screening, landscaping and open space. Following that meeting, the applicant revised the design and the DRB reviewed the updated project at the February 21, 2023 meeting and confirmed the applicant had responded to and addressed their concerns. The Design Review Board Comment letters from the January and February 2023 DRB meetings are included as Exhibit E to the Entitlement Resolution.
IMPACT FEES
The Vantage Master Plan is subject to the City’s impact and development fees, which are used to offset the impacts of new development on City services and infrastructure. The draft Conditions of Approval (Exhibit A to the Entitlements Resolution) list out the relevant impact fee estimates, summarized below:
• Childcare Fee: $1,945,758.82
• Citywide Transportation Fee: $44,907,082.70
• Commercial Linkage Fee: $22,395,555
• Public Safety Impact Fee: $1,688,042.42
• Parks Fee: $4,561,580.28
• Library Impact Fee: $180,401.48
• Public Art Requirement: On-site, or in-lieu contribution of .5% of construction costs
The Project is subject to all impact fees, community benefits contributions, and payment schedules outlined in the Development Agreement.
DEVELOPMENT AGREEMENT
A draft of the Development Agreement is attached to the Entitlements Resolution as Exhibit D. Certain terms of the Development Agreement are still being finalized between the applicant and the City and will be finalized prior to the City Council’s consideration of the Project. Terms still under negotiation are identified in the draft of the Development Agreement. The majority of the primary terms of the Development Agreement have been finalized and include the following:
• Term of the Agreement is 15 years with a 5 year extension if certain development milestones have been met prior to expiration of the initial term.
• Developer will convey a parcel of land for a potential new fire station upon execution of the Development Agreement. The City will make efforts to construct a new fire station on the parcel during the first 7 years of the Development Agreement. In the event that the City does not construct a fire station during the first 7 years, the City may sell the parcel or construct a different public use after the first 7 years. If the City elects to the sell the parcel after the first 7 years, then, subject to the City’s compliance with Surplus Land Act, the Developer will have a right of first offer on the parcel and a right of first refusal if the City identifies a subsequent purchaser.
• Developer will not oppose the formation of a new Communities Facilities District serving East of 101.
• Developer intends to provide an amenity building with public-serving amenities.
• Developer will provide publicly-accessible open space on the Project site.
ENVIRONMENTAL REVIEW
In 2022, the City Council certified a programmatic Environmental Impact Report (EIR) for the 2040 General Plan (State Clearinghouse #2021020064) (CEQA Resolution, Exhibit B). The EIR assessed the potential environmental impacts resulting from implementation of the 2040 General Plan Update, Zoning Ordinance Update and Climate Action Plan Update, which established new land use, development, and urban design regulations for the area over a 20-year planning period. The Vantage Master Plan and subsequent Precise Plan project(s) for a life science research and development campus is in keeping with the envisioned use at the Project site and in compliance with the City’s development standards.
Section 15162 of the CEQA Guidelines states that no subsequent EIR need to be prepared for a project where an EIR has previously been prepared unless the lead agency identifies subsequent changes in circumstance that were identified and not previously analyzed or would create new significant environmental effects. In addition, Section 15183 of the CEQA Guidelines mandates that projects that are consistent with the development density established by existing zoning, a community plan, or general plan policies for which an EIR was certified shall not require additional environmental review, except as might be necessary to examine whether there are project-specific significant effects that are peculiar to a project or its site. CEQA Guidelines Section 15183 specifies that when reviewing a project that meets the requirements of this section, a public agency shall limit its examination of environmental effects to those that the agency determines in an environmental checklist or other analysis.
The environmental checklist prepared for the Master Plan and Precise Plan and appendices prepared by the City for the project dated September 23, 2023 (CEQA Resolution Exhibit A) serves as substantial evidence that the current project is within the scope of the previous environmental analysis including General Plan EIR and Mitigation Monitoring Program and that the subsequent CEQA analysis is not required for the proposed Project. As demonstrated through the environmental checklist analysis of project impacts, there are no effects that are peculiar to the project, or were not previously identified, or have become more adverse due to new, previously unknown information. As such, no further environmental review would be required pursuant to Section 15183. The Project would be subject to all relevant mitigation measures included in the 2040 General Plan EIR Mitigation Monitoring and Reporting program (MMRP) (CEQA Resolution Exhibit B, Final General Plan EIR).
CONCLUSION
The proposed Vantage life science R&D campus, as designed, will redevelop approximately 19 acres of underutilized commercial property with a high-quality, life science research and development project. The Project will convey an approximately one-acre parcel to the City as a public benefit that has the potential to be developed as a new fire station to improve services throughout the City. The Project will also contribute significant community benefits to the City, through implementation of the Development Agreement and while also constructing bicycle, vehicular and pedestrian improvements, as well as landscaping, open space, and other amenities available and accessible to the community.
The Project, as conditioned, complies with the City’s Municipal Code, Development Standards and Findings of Approval for Design Review, Use Permit, Transportation Demand Management, and Vesting Tentative Map as well as the General Plan Goals and Policies; therefore, staff recommends that the Planning Commission take the following actions:
1. Adopt a resolution making findings and recommending that the City Council make a determination that the Vantage Master Plan Environmental Checklist demonstrates that Project is consistent with the scope of the environmental analysis in the previously certified 2040 General Plan Environmental Impact Report (EIR), and that no further environmental review is required per the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15183.
2. Adopt a resolution making findings and recommending that the City Council approve the entitlements request for P22-0117 & P22-0138, Master Plan MP23-0002, Precise Plan PP23-0001, Design Review DR22-0036, Use Permit UP22-0011, Development Agreement DA22-005, Transportation Demand Management Plan TDM22-0009, Conditional Use Permit UP22-0011, Vesting Tentative Map PM22-0002 and Environmental Determination ND22-0002.
Associated Resolutions and Exhibits
I. CEQA Resolution (File ID#23-243)
A. Environmental Checklist, dated September 2023
B. 2040 General Plan EIR and MMRP (weblinks)
II. Entitlements Resolution (File ID#23-244)
A. Conditions of Approval
B. Project Plans, dated July 14, 2023
C. Transportation Demand Management Study, dated August, 2023
D. Development Agreement
E. Design Review Board Letter, dated January 30, 2023 & March 6, 2023