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C20-2024-017 PDA2 & Density Bonus for Commercial Highway & Industrial Zones (DB240) CMO PRESENTATION Alan Pani, Planner Principal Oct. 8, 2024 Background 1966 City Council first adopted the Planned Development Area land use with the following purpose: “to provide suitable and conducive environment for the development of modern administrative facilities, research establishments, specialized manufacturing plants, and similar enterprises plus retail and other customer service facilities… and not intrude upon nearby existing or future residential and associated development.” (page 21) adopted 2014-2024 Staff analysis of PDA zoning ordinances over the past decade shows an increase in cases where residential uses have been permitted. Since 2014, there have been 45 zoning ordinances which permitted residential uses, with 31 of those cases since 2020. 2024 City Council initiated Resolution No. 20240718-091, which directed the City Manager to: “create a new density bonus program that will apply to the PDA zoning district and allow increased heights for residential uses in exchange for income-restricted units or a fee-in-lieu.” Resolution No. 20240718-091 2 PDA Current PDA2 Proposed DB240 Proposed Allows: • Residential uses to be added • Commercial uses to be added • Modified site development standards • Modified heights • Modified FAR Allows: • Commercial uses to be added • Modified site development standards • Modified heights • Modified FAR Does not allow: • Residential uses to be added Base zones that can use PDA: • Commercial Highway (CH) Industrial Park (IP) • • Major Industry (MI) Light Industrial (LI) • • Research & Development (R&D) Base zones that can use PDA2: Industrial Park (IP) • • Major Industry (MI) Light Industrial (LI) • • Research & Development (R&D) Increased height to max. 240 feet Allows: • • Unlimited FAR Adds: • Residential uses • Specific commercial uses Amends: • Certain site development standards Requires: • Set-aside affordable housing units Base zones that can use density bonus: • Commercial Highway (CH) Industrial Park (IP) • • Major Industry (MI) Light Industrial (LI) • • Research & Development (R&D) 3 PDA2 – Purpose ▪ The purpose of a Planned Development Area 2 (PDA2) is to: – Allow for additional uses & revision of site development standards in: – Industrial Park (IP) – Major Industry (MI) – Light Industrial (LI) – Research & Development (RD) – CH cannot use new PDA2 – Cannot add residential uses – New applications for PDA not accepted after PDA2 is adopted 4 PDA2 – Generally ▪ Regulations established by a PDA2 combining district may modify: – permitted or conditional uses authorized in the base district, except for allowing residential use; – site development regulations applicable in the base district, except for Subchapter C, Article 10 (Compatibility Standards); and – off-street parking design or loading regulations, sign regulations, or landscaping or screening regulations applicable in the base district. 5 Density Bonus for Commercial Highway and Industrial Zone (DB240) ▪ The purpose of DB240 is to: – Allow for modified site development regulations and residential uses in certain existing commercial and industrial base districts in exchange for community benefits. ▪ Only combined with CH, IP, MI, LI, & RD – Not combined with PDA or PDA2 ▪ Allows residential uses and grants additional building height for residential uses in exchange for income-restricted housing or a fee-in-lieu ▪ Allows certain commercial uses to be added ▪ Restricts certain industrial uses 6 DB240 – Permitted Uses ▪ Residential Uses ▪ Commercial Uses – Bed & Breakfast (Group 1) – Bed & Breakfast (Group 2) – Condominium Residential – Conservation Single Family Residential – Duplex Residential – Group Residential – Mobile Home Residential – Multifamily Residential – Retirement Housing (Small Site) – Retirement Housing (Large Site) – Single-Family Attached Residential – Single-Family Residential – Small Lot Single-Family Residential – Townhouse Residential – Two-Family Residential – Short-Term Rental (Types 1 and 3) – Cocktail Lounge – Commercial Off-Street Parking – Consumer Convenience Services – Consumer Repair Services – Equipment Repair Services – Equipment Sales – Food Sales – General Retail Sales (Convenience) – General Retail Sales (General) – Hotel-Motel – Kennels – Laundry Services – Liquor Sales – Personal Improvement Services – Pet Services – Plant Nursery – Software Development – Vehicle Storage – Veterinary Services ▪ Civic Uses – Child Care Services (Commercial) – Child Care Services (General) – Child Care Services (Limited) – College and University Facilities – Counseling Services – Family Home – Guidance Services – Hospital Services (Limited) 7 DB240 – Conditional Uses ▪ Agricultural Uses – Indoor Crop Production ▪ Industrial Uses – Private Secondary Educational – Light Manufacturing ▪ Commercial Uses ▪ Civic Uses – Agricultural Sales and Services – Alternative Financial Services – Automotive Rentals – Automotive Repair Services – Automotive Sales – Automotive Washing (of any type) – Bail Bond Services – Commercial Blood Plasma Center – Monument Retail Sales – Community Events – Hospital Services (General) – Private Primary Educational Facilities Facilities Facilities Facilities – Public Primary Educational – Public Secondary Educational – Telecommunication Tower – Employee Recreation 8 DB240 – Prohibited Uses ▪ Industrial Uses ▪ Commercial Uses ▪ Civic Uses – Drop-Off Recycling Collection – Railroad Facilities – Basic Industry – General Warehousing and Distribution – Recycling Center – Resource Extraction Facility – Electronic Prototype Assembly – Electronic Testing – Exterminating Services – Scrap and Salvage 9 DB240 – Regulations Generally ▪ Density Bonus for Commercial Highway and Industrial Zones governs over conflicting provisions ▪ Allows residential uses ▪ Requires compliance with Chapter 4-18, Article 2 – Residential Redevelopment – Non-residential Redevelopment ▪ Max height of 240ft ▪ Unlimited FAR Base Zoning Districts Base Zones Description Base Max Height Max Height w/ Bonus R&D Research & Development LI IP CH MI Light Industrial Industrial Park Commercial Highway Major Industry 45ft 60ft 60ft 120ft1 120ft 165ft 180ft 180ft 240ft 240ft 1 - CH height varies between 60-120ft based on impervious area 10 DB240– Affordable Housing Regulations Affordable Housing Regulations for Residential Projects Additional Entitlement Rental Affordable Housing Set-Aside Ownership Affordable Housing Set-Aside Residential Uses w/ no additional height1 Residential Uses + 30 feet of height Residential Uses + 60 feet of height Residential Uses + 120 feet of height 1 – This Tier does not apply to CH since the base district allows residential use 2 – MFI – Median Family Income 10% at 60% MFI2 or 8% at 50% MFI 10% at 60% MFI or 8% at 50% MFI 12% at 60% MFI or 10% at 50% MFI 15% at 60% MFI or 12% at 50% MFI 10% at 80% MFI or Fee-in-Lieu 10% at 80% MFI or Fee-in-Lieu 12% at 80% MFI or Fee-in-Lieu 15% at 80% MFI or Fee-in-Lieu 11 DB240 – Non-Residential Regulations ▪ Non-Residential Redevelopment Requirements from Ch. 4-18 apply – Replace existing non-residential spaces – Provide current non-residential spaces with – Notice – Payment equal to 6 months rent (calculated by EDD w/ submarket analysis) – Grant option to lease new non-residential spaces 12 DB240 – Non-Residential Redevelopment ▪ Applies to: – Creative Spaces (personal improvement services) – Art Gallery, Art Workshop, Performance Venue, Theater – Brewery, Distillery & Cidery (limited warehousing & distribution) – Under 20,000sf, est. for 5 yrs. – Food Manufacturing (limited warehousing & distribution) – Under 20,000sf, est. for 5 yrs. – Custom Manufacturing – Under 10,000sf, est. for 5 yrs. – Light Manufacturing – Under 10,000sf, est. 10 for yrs. 13 DB240 – Development Standards ▪ Comply with Subchapter E & Article 2 (Site Development Standards) ▪ For Mixed-Use Residential Affordable Housing Regulations apply – Affordable unit set-aside or fee-in-lieu required for residential uses in a mixed-use development ▪ Limitation on Mix of Uses: – Residential use cannot be below a performance venue – Staff does not recommend requiring 75% of building frontage as commercial space ▪ Height – 10ft building step-back required after 90ft of height 14 DB240 - Compatibility & Setbacks ▪ Required to meet Article 10 (Compatibility Standards), Subchapter C of City Code 25-2 ▪ Setbacks reduced to 15 feet or less restrictive 15 Codes & Ordinances Joint Committee Recommendations: ▪ Removing 10 ft step-back at 90 feet ▪ Changing Employee Recreation Use from Prohibited to Conditional ▪ Allowing for more community benefits – Including more pedestrian oriented commercial requirements 16 Timeline ▪ Codes and Ordinances Joint Committee – September 18th – Recommended as amended by the Codes and Ordinances Joint Committee on a 4-1-1 vote with Commissioner Greenberg voting nay, Commissioner Stern abstaining, and Commissioner Maxwell off the dais. ▪ Planning Commission – October 8th ▪ City Council – October 24th 17 Contact Us 974-8084 ▪ Alan Pani, Planner Principal, alan.pani@austintexas.gov, (512) 18 Thank You