Planning Department Transmittal to the City Clerk’S Office

PLANNING DEPARTMENT TRANSMITTAL TO THE CITY CLERK’S OFFICE

ENVIRONMENTAL CITY PLANNING CASE: COUNCIL DISTRICT: DOCUMENT:

DIR-2019-5213-TOC-SPR ENV-2019-5215-SCPE 15 - Buscaino

PROJECT ADDRESS:

1700 East 103rd Street, 10341 South Graham Avenue, 10403 South Graham Avenue, 1663 East 108th Street, and 10400 Grandee Avenue, Los Angeles, California, 90002

APPLICANT TELEPHONE NUMBER: EMAIL ADDRESS:

Watts Station LP 11811 San Vicente Boulevard Los Angeles, CA 90049 (310) 820-4888 [email protected]

r New/Changed APPLICANT’S REPRESENTATIVE TELEPHONE NUMBER: EMAIL ADDRESS:

Dana A. Sayles Three6ixty (310) 204-3500 [email protected] 11287 Washington Boulevard [email protected] Culver City, CA 90230

APPELLANT TELEPHONE NUMBER: EMAIL ADDRESS:

APPELLANT’S REPRESENTATIVE TELEPHONE NUMBER: EMAIL ADDRESS:

PLANNER CONTACT INFORMATION: TELEPHONE NUMBER: EMAIL ADDRESS:

Connie Chauv, City Planner (213) 978-0016 [email protected]

ENTITLEMENTS FOR CITY COUNCIL CONSIDERATION

Sustainable Communities Project CEQA Exemption (SB 375)

Transmittal Rev 04/05/17 1 FINAL ENTITLEMENTS NOT ADVANCING:

ITEMS APPEALED:

ATTACHMENTS: REVISED: ENVIRONMENTAL CLEARANCE: REVISED: F Letter of Determination r r Categorical Exemption r r Findings of Fact r r Negative Declaration r r Staff Recommendation Report r r Mitigated Negative Declaration r r Conditions of Approval r r Environmental Impact Report r r Ordinance r r Mitigation Monitoring Program r r Zone Change Map r F Other r r GPA Resolution r Sustainable Communities Project Exemption r Land Use Map r r Exhibit A - Site Plan r F Mailing List r r Land Use r r Other r

NOTES / INSTRUCTION(S):

Sustainable Communities Project CEQA Exemption (SB 375)

FISCAL IMPACT STATEMENT:

F Yes r No

*If determination states administrative costs are recovered through fees, indicate “Yes”. PLANNING COMMISSION:

r City Planning Commission (CPC) r North Valley Area Planning Commission r Cultural Heritage Commission (CHC) r South LA Area Planning Commission r Central Area Planning Commission r South Valley Area Planning Commission r East LA Area Planning Commission r West LA Area Planning Commission r Harbor Area Planning Commission

Transmittal Rev 04/05/17 2 PLANNING COMMISSION HEARING DATE: COMMISSION VOTE:

N/A N/A

LAST DAY TO APPEAL: APPEALED:

June 23, 2020

TRANSMITTED BY: TRANSMITTAL DATE:

Raoul Mendoza June 12, 2020

Transmittal Rev 04/05/17 3 EXECUTIVE OFFICES DEPARTMENT OF 200 N. Spring Street, Room 525 CITY PLANNING City of Los Angeles CALIFORNIA Los Angeles, CA 90012-4801 COMMISSION OFFICE (213)978-1271 (213) 978-1300 VINCENT P. BERTONI, AICP CITY PLANNING COMMISSION DIRECTOR

SAMANTHA MILLMAN KEVIN J. KELLER, AICP PRESIDENT EXECUTIVE OFFICER

VAHID KHORSAND SHANA M.M. BONSTIN VICE-PRESIDENT DEPUTY DIRECTOR DAVID H. J. AMBROZ © TRICIA KEANE CAROLINE CHOE ERIC GARCETTI DEPUTY DIRECTOR HELEN LEUNG MAYOR ARTHI L. VARMA, AICP KAREN MACK DEPUTY DIRECTOR MARC MITCHELL LISA M. WEBBER, AICP VERONICA PADILLA-CAMPOS DEPUTY DIRECTOR DANA M. PERLMAN

DIRECTOR’S DETERMINATION TRANSIT ORIENTED COMMUNITIES AFFORDABLE HOUSING INCENTIVE PROGRAM SITE PLAN REVIEW June 8, 2020

Applicant/Owner Case No. DIR-2019-5213-TOC-SPR Andrew Gross Related Case: ADM-2018-3529-TOC Watts Station LP CEQA: ENV-2019-5215-SCPE 11811 San Vicente Boulevard Location: 10341 South Graham Avenue Los Angeles, CA 90049 1700 East 103rd Street

Representative Council District: 15 - Buscaino Dana A. Sayles Community Plan Area: Southeast Los Angeles Three6ixty CPIO Subarea: Southeast Los Angeles Community Plan 11287 Washington Boulevard Implementation Overlay (CPIO) Culver City, CA 90230 TOD Medium Land Use Designation: Community Commercial, Public Facilities Zone: C2-2D-CPIO, PF-1 Legal Description: Lots A, B, Block None, Tract P M 2010 2677 Last Day to File June 23, 2020 an Appeal:

DETERMINATION - Transit Oriented Communities Affordable Housing Incentive Program and Site Plan Review

Pursuant to the Los Angeles Municipal Code (“LAMC”) Sections 12.22 A.31 and 16.05, I have reviewed the proposed project and as the designee of the Director of Planning, I hereby:

APPROVE a Transit Oriented Communities (TOC) Affordable Housing Incentive Program Compliance Review for a qualifying Tier 3 project, totaling 87 dwelling units, reserving 27 units for Low Income Household occupancy for a period of 55 years, with the following Base and Additional Incentives:

Base Incentives

a. Parking. A reduction in parking to provide 0.5 parking spaces per unit, and up to a 30 percent reduction in the nonresidential ground floor parking requirement. Additional Incentives

a. Public Facilities (PF) Zone. An authorization for the joint public and private development to utilize the uses and area standards permitted in the least restrictive adjoining zone, which is the C2 Zone.

b. Yard/Setback. A reduction in the required westerly side yard setback, allowing 5 feet per the RAS3 Zone in lieu of the 8 feet otherwise required per the C2-2D-CPIO Zone.

c. Height. A 7-foot and one-story increase in building height, allowing a maximum building height of 67 feet and five stories, in lieu of the 60 feet and four stories otherwise allowed in the C2-2D-CPIO Zone.

APPROVE a Site Plan Review for a development project which creates, or results in an increase of, 50 or more dwelling units.

The Department of City Planning has determined that the project is exempt from CEQA as a Sustainable Communities Project (“SCP”) pursuant to PRC 21155.1. A subsequent public hearing will be held by the City Council on this SCP Exemption determination after completion of the appeal period, if no appeal is filed, or after the appeal is filed and the land use approval upheld (in whole or in part).

This LOD is not final and project approval effective until the City Council has held a public hearing and adopted findings pursuant to PRC 21155.1 and approved the SCP Exemption.

The project approval is based upon the attached Findings, and subject to the attached Conditions of Approval:

CONDITIONS OF APPROVAL

1. Site Development. Except as modified herein, the project shall be in substantial conformance with the plans and materials submitted by the Applicant, stamped “Exhibit A,” and attached to the subject case file. No change to the plans will be made without prior review by the Department of City Planning, West/South/Coastal Project Planning Division, and written approval by the Director of Planning. Each change shall be identified and justified in writing. Minor deviations may be allowed in order to comply with the provisions of the Los Angeles Municipal Code or the project conditions.

2. Residential Density. The project shall be limited to a maximum density of 87 residential units per Exhibit “A”.

3. Affordable Units. The project shall provide a minimum 23 percent On-Site Restricted Affordable units, exclusive of a building manager’s unit, that is 27 units, reserved to Low Income Households, as defined in Section 50079.5 of the California Health and Safety Code. An additional 59 units shall be reserved to Moderate Income Households as defined by Section 50053 of the California Health and Safety Code and as determined by the Los Angeles Housing and Community Investment Department (HCIDLA).

DIR-2019-5213-T OC-SPR Page 2 of 26 4. Changes in Restricted Units. Deviations that increase the number of restricted affordable units or that change the composition of units or change parking numbers shall be consistent with LAMC Section 12.22-A.31 and comply with the Transit Oriented Communities Affordable Housing Incentive Program Guidelines adopted by the City Planning Commission.

5. Housing Requirements. Prior to issuance of a building permit, the owner shall execute a covenant to the satisfaction of the Los Angeles Housing and Community Investment Department (HCIDLA) to make 27 units for Low Income Households for sale or rental as determined to be affordable to such households by HCIDLA for a period of 55 years. An additional 59 units shall be reserved to Moderate Income Households as defined by Section 50053 of the California Health and Safety Code and as determined by the Los Angeles Housing and Community Investment Department (HCIDLA), for a minimum period of 55 years. Enforcement of the terms of said covenant shall be the responsibility of HCIDLA. The Applicant will present a copy of the recorded covenant to the Department of City Planning for inclusion in this file. The project shall comply with any monitoring requirements established by the HCIDLA. Refer to the Transit Oriented Communities Affordable Housing Incentive Program Background section of this determination.

6. Public Facilities Zone. The joint public and private development may utilize the uses and area standards permitted in the least restrictive adjoining zone, which is the C2 Zone.

7. Floor Area Ratio (FAR). The project shall be limited to a Floor Area Ratio (FAR) of 1.1:1 or 123,043 square feet per Exhibit “A”.

8. Height. The project shall be limited to five (5) stories and a maximum of 67 feet in height per Exhibit “A”.

9. Yards/Setbacks. The westerly side yard setback shall be no less than 5 feet per the RAS3 Zone per Exhibit “A”.

10. Automobile Parking. Based on the number and/or type of dwelling units proposed, a minimum of 44 automobile parking spaces shall be provided for residential uses of the project. Automobile parking shall be provided consistent with the TOC Guidelines which requires parking for all residential units in an Eligible Housing Development for a Tier 3 project to a minimum of one-half space per unit. The ground-floor nonresidential automobile parking may be reduced up to 30 percent. The project proposes 45 residential and 11 nonresidential parking spaces.

11. Adjustment of Parking. In the event that the number of Restricted Affordable Units should increase, or the composition of such units should change (i.e. the number of bedrooms, or the number of units made available to Senior Citizens and/or Disabled Persons), or the applicant selects another Parking Option (including Bicycle Parking Ordinance) and no other Condition of Approval or incentive is affected, then no modification of this determination shall be necessary, and the number of parking spaces shall be recalculated by the Department of Building and Safety, based upon the ratios set forth ratios set forth in the Transit Oriented Communities Affordable Housing Incentive Program Guidelines (TOC Guidelines).

12. Bicycle Parking. Bicycle parking shall be provided consistent with LAMC Section 12.21 A.16.

DIR-2019-5213-TOC-SPR Page 3 of 26 13. Landscape Plan. Revised landscape plans shall be submitted to show the size and location of all plants. The landscape plan shall indicate landscape points for the Project as required by LAMC 12.40 and Landscape Ordinance Guidelines “O”. All open areas not used for buildings, driveways, parking areas, recreational facilities or walks shall be landscaped, including an automatic irrigation system, and maintained in accordance with a final landscape plan prepared by a licensed landscape architect or licensed architect, and submitted for approval to the Department of City Planning. The final landscape plan shall be in substantial conformance with the submitted Landscape Plan, Exhibit “A," and shall incorporate any modifications required as a result of this grant.

14. Community Plan Implementation Overlay. Prior to the issuance of a building permit, the applicant shall demonstrate compliance with the Southeast Los Angeles Community Plan Implementation Overlay (“CPIO”) pursuant to Ordinance No. 185,925.

15. Sustainable Communities Project Exemption. Prior to issuance of building permits, the applicant shall submit the Council Action and updated Letter of Determination confirming that the SCP Exemption has been adopted by City Council as required per PRC 21155.1.

Site Plan Review Conditions

16. Construction. A construction work site traffic control plan be submitted to DOT’S Citywide Temporary Traffic Control Office for review and approval prior to the start of any construction work. The plan should show the location of any roadway or sidewalk closures, traffic detours, haul routes, hours of operation, protective devices, warning signs and access to abutting properties. DOT also recommends that construction related traffic be restricted to off-peak hours.

17. Soil Management Plan. Prior to the issuance of a grading permit, the applicant shall submit a Soil Management Plan to the satisfaction of the Los Angeles Fire Department.

18. Noise/Vibration. Prior to the issuance of a grading or building permit, the applicant shall demonstrate that project construction will include best management practices in contract specifications, in accordance with CPIO Appendix A Environmental Standard N4.

19. Vibration Control Plan. Prior to the issuance of a grading or building permit, the applicant shall submit a Vibration Control Plan to the satisfaction of West/South/Coastal Project Planning Division and Department of Building and Safety that is completed by a qualified structural engineer, includes a pre-construction survey letter that establishes baseline conditions at potentially affected buildings, provides a shoring design to protect those buildings from potential damage, and recommends alternative procedures that produce lower vibration levels, in accordance with CPIO Appendix A Environmental Standard N3. The approved Vibration Control Plan shall be submitted into the case file.

20. Trash Storage. Trash storage and collection shall be enclosed in the parking garage and not visible from the public right-of-way in accordance with CPIO Section III-3.G.4. Trash collection shall occur within the enclosed parking garage, and shall not interfere with traffic on any public street.

21. Street Trees. New trees planted within the public right-of-way shall be spaced not more than an average of 30 feet on center, unless otherwise permitted by the Urban Forestry Division, Bureau of Public Works.

DIR-2019-5213-TOC-SPR Page 4 of 26 22. Soil Depths. Shrubs, perennials, and groundcover shall require a minimum soil depth as follows: a. A minimum depth with a height ranging from 15 to 40 feet shall be 42inches. b. A minimum depth with a height ranging from 1 to 15 feet shall be 24 to 36 inches. c. A minimum depth with a height of less than 1 foot shall be 18 inches. d. A minimum depth of an extensive green roof shall be 3 inches. Trees shall require a 42 inch minimum soil depth. Further, the minimum amount of soil volume for tree wells on the rooftop or any above grade open spaces shall be based on the size of the tree at maturity: e. 220 cubic feet for trees with a canopy diameter ranging from 15 to 19 feet. f. 400 cubic feet for trees with a canopy diameter ranging from 20 to 24 feet. g. 620 cubic feet for trees with a canopy diameter ranging from 25 to 29 feet. h. 900 cubic feet for trees with a canopy diameter ranging from 30 to 34 feet.

23. Mechanical Equipment. All exterior mechanical equipment, including heating, ventilation and air conditioning (HVAC) equipment, satellite dishes, and cellular antennas, shall be screened from public view through the use of architectural elements such as parapets.

24. Lighting. All outdoor and parking lighting shall be shielded and down-cast within the site in a manner that prevents the illumination of adjacent public rights-of-way, adjacent properties, and the night sky (unless otherwise required by the Federal Aviation Administration (FAA) or for other public safety purposes).

25. Lighting Design. Areas where nighttime uses are located shall be maintained to provide sufficient illumination of the immediate environment so as far as to render objects or persons clearly visible for the safety of the public and emergency response personnel. All pedestrian walkways, storefront entrances, and vehicular access ways shall be illuminated with lighting fixtures. Lighting fixtures shall be harmonious with the building design. Wall mounted lighting fixtures to accent and complement architectural details at night shall be installed on the building to provide illumination to pedestrians and motorists.

26. Stormwater/irrigation. The project shall implement on-site stormwater infiltration as feasible based on the site soils conditions, the geotechnical recommendations, and the City of Los Angeles Department of Building and Safety Guidelines for Storm Water Infiltration. If on-site infiltration is deemed infeasible, the project shall analyze the potential for stormwater capture and reuse for irrigation purposes based on the City Low Impact Development (LID) guidelines.

27. Solar Panels. A minimum 15 percent of solar panels shall be installed on the building rooftop as shown on the roof plan provided as a part of an operational photovoltaic system to be maintained for the life of the project. The Project shall comply with the Los Angeles Municipal Green Building Code, Section 99.05.211, to the satisfaction of the Department of Building and Safety.

28. Solar and Electric Generator. Generators used during the construction process shall be electric or solar powered. Solar generator and electric generator equipment shall be located as far away from sensitive uses as feasible.

29. Solar-ready Buildings. The Project shall comply with the Los Angeles Municipal Green Building Code, Section 99.05.211, to the satisfaction of the Department of Building and Safety.

DIR-2019-5213-TOC-SPR Page 5 of 26 30. Signage. There shall be no off-site commercial signage on construction fencing during construction.

Administrative Conditions

31. Final Plans. Prior to the issuance of any building permits for the project by the Department of Building and Safety, the applicant shall submit all final construction plans that are awaiting issuance of a building permit by the Department of Building and Safety for final review and approval by the Department of City Planning. All plans that are awaiting issuance of a building permit by the Department of Building and Safety shall be stamped by Department of City Planning staff “Plans Approved”. A copy of the Plans Approved, supplied by the applicant, shall be retained in the subject case file.

32. Notations on Plans. Plans submitted to the Department of Building and Safety, for the purpose of processing a building permit application shall include all of the Conditions of Approval herein attached as a cover sheet, and shall include any modifications or notations required herein.

33. Approval, Verification and Submittals. Copies of any approvals, guarantees or verification of consultations, review of approval, plans, etc., as may be required by the subject conditions, shall be provided to the Department of City Planning prior to clearance of any building permits, for placement in the subject file.

34. Code Compliance. Use, area, height, and yard regulations of the zone classification of the subject property shall be complied with, except where granted conditions differ herein.

35. Department of Building and Safety. The granting of this determination by the Director of Planning does not in any way indicate full compliance with applicable provisions of the Los Angeles Municipal Code Chapter IX (Building Code). Any corrections and/or modifications to plans made subsequent to this determination by a Department of Building and Safety Plan Check Engineer that affect any part of the exterior design or appearance of the project as approved by the Director, and which are deemed necessary by the Department of Building and Safety for Building Code compliance, shall require a referral of the revised plans back to the Department of City Planning for additional review and sign-off prior to the issuance of any permit in connection with those plans.

36. Indemnification and Reimbursement of Litigation Costs. Applicant shall do all of the following:

(i) Defend, indemnify and hold harmless the City from any and all actions against the City relating to or arising out of, in whole or in part, the City’s processing and approval of this entitlement, including but not limited to, an action to attack, challenge, set aside, void, or otherwise modify or annul the approval of the entitlement, the environmental review of the entitlement, or the approval of subsequent permit decisions, or to claim personal property damage, including from inverse condemnation or any other constitutional claim.

(ii) Reimburse the City for any and all costs incurred in defense of an action related to or arising out of, in whole or in part, the City’s processing and approval of the entitlement, including but not limited to payment of all court costs and attorney’s

DlR-2019-5213-TOC-SPR Page 6 of 26 fees, costs of any judgments or awards against the City (including an award of attorney’s fees), damages, and/or settlement costs.

(■ii) Submit an initial deposit for the City's litigation costs to the City within 10 days’ notice of the City tendering defense to the Applicant and requesting a deposit. The initial deposit shall be in an amount set by the City Attorney’s Office, in its sole discretion, based on the nature and scope of action, but in no event shall the initial deposit be less than $50,000. The City’s failure to notice or collect the deposit does not relieve the Applicant from responsibility to reimburse the City pursuant to the requirement in paragraph (ii).

(iv) Submit supplemental deposits upon notice by the City. Supplemental deposits may be required in an increased amount from the initial deposit if found necessary by the City to protect the City’s interests. The City’s failure to notice or collect the deposit does not relieve the Applicant from responsibility to reimburse the City pursuant to the requirement in paragraph (ii).

(v) If the City determines it necessary to protect the City’s interest, execute an indemnity and reimbursement agreement with the City under terms consistent with the requirements of this condition.

The City shall notify the applicant within a reasonable period of time of its receipt of any action and the City shall cooperate in the defense. If the City fails to notify the applicant of any claim, action, or proceeding in a reasonable time, or if the City fails to reasonably cooperate in the defense, the applicant shall not thereafter be responsible to defend, indemnify or hold harmless the City.

The City shall have the sole right to choose its counsel, including the City Attorney’s office or outside counsel. At its sole discretion, the City may participate at its own expense in the defense of any action, but such participation shall not relieve the applicant of any obligation imposed by this condition. In the event the Applicant fails to comply with this condition, in whole or in part, the City may withdraw its defense of the action, void its approval of the entitlement, or take any other action. The City retains the right to make all decisions with respect to its representations in any legal proceeding, including its inherent right to abandon or settle litigation.

For purposes of this condition, the following definitions apply:

“City” shall be defined to include the City, its agents, officers, boards, commissions, committees, employees, and volunteers.

“Action” shall be defined to include suits, proceedings (including those held under alternative dispute resolution procedures), claims, or lawsuits. Actions includes actions, as defined herein, alleging failure to comply with any federal, state or local law.

Nothing in the definitions included in this paragraph are intended to limit the rights of the City or the obligations of the Applicant otherwise created by this condition.

DIR-2019-5213-TOC-SPR Page 7 of 26 PROJECT BACKGROUND

Subject Property

The project site is located in the Southeast Los Angeles Community Plan, on an irregular-shaped lot that is adjacent to the Metro A (Blue) Line 103rd Street / Watts Towers Station. The site is bounded by 103rd Street to the north, an existing roadway along Graham Avenue to the east, and the light rail station to the west. The site is comprised of three (3) contiguous lots with a lot area of approximately 106,417 square feet, and has a frontage of approximately 210 feet on the southern side of 103rd Street, and lot depths of approximately 520 feet along the easterly property line and 615 feet along the westerly property line. The easterly property line currently serves as a public street along Graham Avenue, however this right-of-way was previously vacated and merged under previous action for Case Nos. AA-2010-2677-PMLA and ZA-2010-2684-ZV-DD, therefore is currently under private ownership and is part of the subject site.

The northern portion of the site is currently improved with the historic Watts Station building, which was constructed in 1904 as a combined freight and passenger depot for the Pacific Electric Railway, is currently designated as a Los Angeles Historic-Cultural Monument (HCM No. 36), and is listed in the California Register of Historical Resources and the National Register of Historic Places. The remainder of the site serves as a plaza for the historic building, surface parking, or is otherwise undeveloped. There is one (1) protected California sycamore tree in the plaza adjacent to the historic building, and approximately 28 other non-protected trees on the subject site. The existing historic building, plaza, and protected tree will remain with the proposed project. The remaining southerly portion of the site will be demolished to clear the lot for the proposed project.

Zoning and Land Use Designation

The majority of the site has a Community Commercial land use designation with corresponding zones of C2, C4, RAS3, R3, RAS4, and R4. The site is zoned C2-2D-CPIO, which is consistent with the land use designation. Height District No. 2 allows unlimited building height with a maximum Floor Area Ratio (“FAR”) of 6:1. The “D” limitation requires the subject site to adhere to the Southeast Los Angeles Community Plan Implementation Overlay (“CPIO”) Subarea TOD Medium regulations, which contains additional development standards, including a restriction to a 1.5:1 FAR, subject to review through Administrative Clearance (“ADM”). The remainder of the site has a Public Facilities land use designation with corresponding zones of PF. This portion of the site is zoned PF-1 with a Height District No. 1 that allows unlimited building height and maximum FAR of 3:1. The project is located in a Liquefaction Zone and is approximately 4.21 kilometers (2.6 miles) from the Newport - Inglewood Fault Zone (Onshore).

Surrounding Uses

The surrounding area is developed with a combination of public facility, commercial, single-family, multi-family, and institutional uses. Properties to the west are zoned PF-1 and serve as the Metro A (Blue) Line light rail tracks, and further west is the Alice Manor multi-family housing complex comprised of two-story buildings on a C2-2D-CPIO zoned lot, and Markham Middle School and Dorothy V. Johnson Community Day School on a PF-1 zoned lot. The property across 103rd Street to the north is zoned R3-1 and improved with the Watts Arms multi-family housing complex comprised of two-story buildings. Properties to the east are zoned R1-1 and are improved as single-story single-family dwellings. Properties across Graham Avenue and 104th Street to the southeast are zoned [Q]CR-1 VL and improved with one-story commercial, single-family dwellings and duplexes up to two stories in height, and a church.

DIR-2019-5213-TOC-S PR Page 8 of 26 Project Description

The project is for the construction of a five-story, 67-foot tall, mixed-use residential development with 87 residential dwelling units (including 27 reserved for Low Income households as defined by California Health and Safety Code Section 50079.5, and 59 reserved for Moderate Income households in accordance with Health and Safety Code Section 50053 utilizing the “CRA-HCD” Schedule as determined by HCIDLA) and approximately 7,611 square feet of ground-floor community art space. The project will have a proposed Floor Area Ratio (FAR) of approximately 1.1:1 with 123,043 square feet of floor area between two buildings (Buildings 1A and 1B) connected by a gate at the ground floor and open-air walkways on upper floors. The existing historic building will remain and be converted to a commercial use. The plaza will remain as a community plaza, and will be enhanced with a new 2,253 square-foot art flex space and 2,610 square-foot art studio. The building will provide 45 residential parking spaces in an enclosed grade-level parking garage, and 11 nonresidential surface parking spaces along the easterly drive aisle. The project will maintain vehicular access along the easterly property line, however it will be reconfigured as a one-way south-to-north drive aisle with landscaping, and will provide 11 nonresidential surface parking spaces. The project also includes bicycle parking in accordance with LAMC Section 12.21 A. 16.

The project is Building 1 of a larger phased development project (“Watts Towers Station Project”) that spans the subject site, the property immediately to the south (Buildings 2 and 3), and the property across the light rail tracks to the southwest (Building 4), which are both zoned PF-1 and are currently vacant. The Watts Towers Station Project as a whole is for the construction of a 100 percent affordable residential project including approximately 196 apartment units totaling 245,058 square feet across four buildings. The larger project site consists of 12 parcels bounded by Grandee Avenue to the west, 103rd Street to the north, Graham Avenue to the east, and is bisected east/west by the Metro A (Blue) Line rail line and north/south by 104th Street. In total, the larger phased development would include approximately 22,612 square feet of open space, 112 vehicular parking spaces, and the net export of approximately 1,920 cubic yards of soil. The other buildings are processed under separate entitlement cases, however are analyzed under the same environmental for the purposes of the California Environmental Quality Act (“CEQA”) under Environmental Case No. ENV-2019-5215-SCPE.

TRANSIT ORIENTED COMMUNITIES AFFORDABLE HOUSING INCENTIVE PROGRAM BACKGROUND

The project qualifies for the Transit Oriented Communities (“TOC”) Affordable Housing Incentive Program, which allows a variety of incentives for increased density, height, and floor area, among others, for Eligible Housing Projects. Measure JJJ was adopted by the Los Angeles City Council and established the TOC Affordable Housing Incentive Program. The measure required that the Department adopt a set of TOC Guidelines, which establishes incentives for residential and mixed-use projects located within V-z mile of a major transit stop, as defined under existing State law.

The TOC Guidelines, adopted on September 22, 2017, and amended on February 26, 2018, established a tier-based system with varying development bonuses and incentives based on a project’s distance from different types of transit. The largest bonuses are reserved for those areas in the closest proximity to significant rail stops or the intersection of major bus rapid transit lines. Required affordability levels are increased incrementally in each higher tier. The incentives provided in the TOC Guidelines describe the range of bonuses from particular zoning standards that applicants may select.

DIR-2019-5213- TOC-S PR Page 9 of 26 The subject site is adjacent to and therefore located within one-half mile (2,640 feet) from the Metro A (Blue) Line 103rd / Watts Towers Station. As such, the site qualifies as a Tier 3 TOC Affordable Housing Incentive Area.

Tier 3 Base Incentives require On-Site Restricted Affordable Units at the rate of 10% for Extremely Low Income, 14% for Very Low Income, or 23% for Lower Income, of the total number of units. Three Additional Incentives may be granted for projects that include at least 30% of the base units for Lower Income Households. The applicant is proposing 27 Low Income units, consistent with Base Incentive requirements, and which make the project eligible for three Additional Incentives.

The project is eligible for the following three (3) Tier 3 Base Incentives, which are granted by-right for eligible TOC projects:

a. Density. Increase the maximum allowable number of dwelling units permitted by up to 70 percent.

The site is zoned C2-2D-CPIO and PF-1. The applicant is requesting an Additional Incentive provided in the TOC Guidelines to qualify as a joint public and private development in the PF Zone that may include the uses and area standards permitted in the least restrictive adjoining zone, in this case the C2 Zone. The C2 Zone allows for a maximum residential density of one dwelling unit per 400 square feet of lot area. In addition, CPIO Section III-3.B.1 allows residential density for a TOC project that meets the affordability percentages of a CPIO Mixed-Income Housing Project at a ratio of one dwelling unit per 400 square feet of lot area. A CPIO Mixed-Income Housing Project is required to provide 25 percent of total units at Lower Income households, which this project meets. The lot area within the C2-2D-CPIO zone is 88,854 square feet, for a maximum base density of 112 units. The lot area within the PF-1 zone is 17,563 square feet, for a maximum base density of 44 units using the area standards of the C2 Zone. Therefore, the combined maximum base density of the subject site is 156 units. The maximum allowed density for the subject site under the Tier 3 Additional Incentive for density is 266 units. The project is proposing 87 units, which is less than the maximum base density of the subject site.

b. Floor Area Ratio. A percentage increase of up to 50%, or an FAR increase resulting in at least 3.75:1 FAR in commercial zones, whichever is greater, or a maximum percentage increase of 45% in a Specific Plan or overlay district that regulates residential FAR.

c. Parking. Parking for all residential units in an Eligible Housing Development Tier 3 project shall not be required to exceed 0.5 spaces per unit. Up to a 30 percent reduction in the nonresidential ground floor parking requirement.

DIR-2019-5213-T OC-SPR Page 10 of 26 The project proposes 87 dwelling units, and is therefore required to provide a minimum of 44 parking spaces for residential uses. The project proposes 45 residential parking spaces, which meets the residential parking requirement. The project proposes 7,611 square feet of nonresidential use for the art program, which is required to provide 11 parking spaces under LAMC Section 12.21 A.4. The applicant has not requested a reduction in the nonresidential parking requirement.

Pursuant to the TOC Guidelines, the project is eligible for, and has been granted three (3) Tier 3 Additional Incentives to construct the proposed project:

a. Public Facilities Zone. In lieu of the requirement in LAMC Section 12.24 U.21, a joint public and private development that qualifies as an Eligible Housing Development may include the uses and area standards permitted in the least restrictive adjoining zone. The phrase “adjoining zone” refers to the zones of properties abutting, across the street or alley from, or having a common corner with, the subject property.

b. Yard/Setback. In any Commercial Zone, Eligible Housing Developments may utilize any or all of the yard requirements for the RAS3 Zone per LAMC Section 12.10.5, except that yard reductions may not be applied along any property line that abuts an R1 or more restrictive residential zoned property.

c. Height. Eligible Housing Developments that have a residential use which occupies more than 50 percent of the total floor area within a building in Tier 3 may utilize a height increase of two additional stories up to 22 additional feet. In addition, projects located on lots with a height limit of 45 feet or less, or located within a Specific Plan or overlay district that regulates height, shall require any height increases over 11 feet to be stepped-back at least 15 feet from the exterior face of the Ground Floor of the building located along any street frontage.

DIR-2019-5213-TOC-SPR Page 11 of 26 the least restrictive adjoining zone, in this case the C2 Zone. The portion of the site that is zoned C2-2D-CPIO is within Height District No. 2, which allows unlimited building height, however CPIO Section III-A.2 limits the building height to four stories and 60 feet. The portion of the site that is zoned PF-1 is within Height District No. 1, which allows unlimited building height. The Additional Incentive would allow a two-story and 22-foot increase in building height to 82 feet and six stories. The Applicant has requested an Additional Incentive for a 7-foot and one-story increase for the proposed 67-foot and five-story building.

HOUSING REPLACEMENT (AB 2556 DETERMINATION) BACKGROUND

Pursuant to LAMC Section 12.22-A,31(b)(1), a Housing Development located within a Transit Oriented Communities (TOC) Affordable Housing Incentive Area shall be eligible for TOC Incentives if it meets any applicable replacement requirements of California Government Code Section 65915(c)(3) (California State Density Bonus Law).

Assembly Bill 2222 (AB 2222) amended the State Density Bonus Law to require applicants of density bonus projects filed as of January 1, 2015 to demonstrate compliance with the housing replacement provisions which require replacement of rental dwelling units that either exist at the time of application of a Density Bonus project, or have been vacated or demolished in the five year period preceding the application of the project. This applies to all pre-existing units that have been subject to a recorded covenant, ordinance, or law that restricts rents to levels affordable to persons and families of lower or very low income; subject to any other form of rent or price control; or occupied by Low or Very Low Income Households.

On September 28, 2016, Governor Brown signed Assembly Bill 2556 (AB 2556) which further amended the State Density Bonus Law. The amendments took effect on January 1, 2017. AB 2556 clarifies the implementation of the required replacement of affordable units in Density Bonus projects, first introduced by AB 2222. AB 2556 further defines "equivalent size" to mean that as a whole, the new units must contain at least the same total number of bedrooms as the units being replaced.

Pursuant to the AB 2556 (TOC) Determination Letter dated July 17, 2019 prepared by the Los Angeles Housing and Community Investment Department (HCIDLA), there were no residential units built and demolished on the property within the last five (5) years; therefore, no AB 2556 replacement affordable units are required. As such, this eligibility requirement does not apply.

TRANSIT ORIENTED COMMUNITIES AFFORDABLE HOUSING INCENTIVE PROGRAM ELIGIBILITY REQUIREMENTS

To be an eligible TOC Housing Development, a project must meet the Eligibility criteria set forth in Section IV of the TOC Guidelines. A Housing Development located within a TOC Affordable Housing Incentive Area shall be eligible for TOC Incentives if it meets all of the following requirements, which it does:

1. On-Site Restricted Affordable Units. In each Tier, a Housing Development shall provide On-Site Restricted Affordable Units at a rate of at least the minimum percentages described below. The minimum number of On-Site Restricted Affordable Units shall be calculated based upon the total number of units in the final project.

DIR-2019-5213- TOC-SPR Page 12 of 26 a. Tier 1 - 8% of the total number of dwelling units shall be affordable to Extremely Low Income (ELI) Households, 11% of the total number of dwelling units shall be affordable to Very Low (VL) Income Households, or 20% of the total number of dwelling units shall be affordable to Lower Income Households. b. Tier 2 - 9% ELI, 12% VL or 21% Lower. c. Tier 3 - 10% ELI, 14% VL or 23% Lower. d. Tier 4-11% ELI, 15% VL or 25% Lower.

The project site is located within a Tier 3 Affordable Housing Incentive Area. Tier 3 requires at least 23 percent of the 87 total units, or 21 units, to be set aside for Low Income Households. The project reserves 27 units for Low Income Households and, as such, the project meets the eligibility requirement for On-Site Restricted Affordable Units.

2. Major Transit Stop. A Housing Development shall be located on a lot, any portion of which must be located within 2,640 feet of a Major Transit Stop, as defined in Section II and according to the procedures in Section III. 2 of the TOC Guidelines.

A Major Transit Stop is a site containing a rail station or the intersection of two or more bus routes with a service interval of 15 minutes or less during the morning and afternoon peak commute periods. The project site is located directly adjacent to, and therefore less than 2,640 feet from the Metro A (Blue) Line 103rd / Watts Towers Station. Therefore, the project meets the eligibility requirement for proximity to a Major Transit Stop.

3. Housing Replacement. A Housing Development must meet any applicable housing replacement requirements of California Government Code Section 65915(c)(3), as verified by the Department of Housing and Community Investment (HCIDLA) prior to the issuance of any building permit. Replacement housing units required per this section may also count towards other On-Site Restricted Affordable Units requirements.

Pursuant to the AB 2556 (TOC) Determination Letter dated July 17, 2019 prepared by HCIDLA, there were no residential units built and demolished on the property within the last five years; therefore, no AB 2556 replacement affordable units are required. As such, this eligibility requirement does not apply.

4. Other Density or Development Bonus Provisions. A Housing Development shall not seek and receive a density or development bonus under the provisions of California Government Code Section 65915 (State Density Bonus law) or any other State or local program that provides development bonuses. This includes any development bonus or other incentive granting additional residential units or floor area provided through a General Plan Amendment, Zone Change, Height District Change, or any affordable housing development bonus in a Transit Neighborhood Plan, Community Plan Implementation Overlay (CPIO), Specific Plan, or overlay district.

The project does not seek any additional density or development bonuses under the provisions of the State Density Bonus Law or any other State or local program that provides development bonuses, including, but not limited to a General Plan Amendment, Zone Change, Height District Change, or any affordable housing development bonus in a Transit Neighborhood Plan, Community Implementation Overlay (CPIO), Specific Plan, or overlay district. As such, the project meets this eligibility requirement.

5. Base Incentives and Additional Incentives. All Eligible Housing Developments are eligible to receive the Base Incentives listed in Section VI of the TOC Guidelines. Up to three Additional Incentives listed in Section VII of the TOC Guidelines may be granted

DIR-2019-5213-TOC-SPR Page 13 of 26 based upon the affordability requirements described below. For the purposes of this section below, “base units" refers to the maximum allowable density allowed by the zoning, prior to any density increase provided through these Guidelines. The affordable housing units required per this section may also count towards the On-Site Restricted Affordable Units requirement in the Eligibility Requirement No. 1 above (except Moderate Income units).

a. One Additional Incentive may be granted for projects that include at least 4% of the base units for Extremely Low Income Households, at least 5% of the base units for Very Low Income Households, at least 10% of the base units for Lower Income Households, or at least 10% of the base units for persons and families of Moderate Income in a common interest development. b. Two Additional Incentives may be granted for projects that include at least 7% of the base units for Extremely Low Income Households, at least 10% of the base units for Very Low Income Households, at least 20% of the base units for Lower Income Households, or at least 20% of the base units for persons and families of Moderate Income in a common interest development. c. Three Additional Incentives may be granted for projects that include at least 11% of the base units for Extremely Low Income Households, at least 15% of the base units for Very Low Income Households, at least 30% of the base units for Lower Income Households, or at least 30% of the base units for persons and families of Moderate Income in a common interest development.

The project is seeking three (3) Additional Incentives for a reduced side yard, increased height, and utilize of the uses and area standards of the PF Zone, which requires at least 30 percent of the base units to be set aside for Low Income households. However, the project is proposing 87 units, which is less than the base density of 156 units for the subject site. Therefore, the project is required to provide 30 percent, or 27 units, of the proposed 87 units, to be set aside for Low Income households. The project proposes to set aside 27 dwelling units for Low Income households, which is 30 percent of the proposed 87 units. As such, the project meets the eligibility requirement for three (3) Additional Incentives.

6. Projects Adhering to Labor Standards. Projects that adhere to the labor standards required in LAMC 11.5.11 may be granted two Additional Incentives from the menu in Section VII of these Guidelines (for a total of up to five Additional Incentives).

The project is not seeking Additional Incentives beyond those permitted in exchange for reserving 27 dwelling units for Low Income Households. As such, the project need not adhere to the labor standards required in LAMC Section 11.5.11, and this eligibility requirement does not apply.

7. Multiple Lots. A building that crosses one or more lots may request the TOC Incentives that correspond to the lot with the highest Tier permitted by Section III above.

The project site consists of three (3) contiguous lots, which are all located within a Tier 3 TOC Affordable Housing Incentive Area. As such, this eligibility requirement does not apply.

8. Request for a Lower Tier. Even though an applicant may be eligible for a certain Tier, they may choose to select a Lower Tier by providing the percentage of On-Site Restricted Affordable Housing units required for any lower Tier and be limited to the Incentives available for the lower Tier.

DIR-2019-5213-TOC-SPR Page 14 of 26 The site qualifies as a Tier 3 TOC Affordable Housing Incentive Area. The Applicant has not elected to utilize a Lower Tier. As such, this eligibility requirement does not apply.

9. 100% Affordable Housing Projects. Buildings that are Eligible Housing Developments that consist of 100% On-Site Restricted Affordable units, exclusive of a building manager’s unit or units shall, for purposes of these Guidelines, be eligible for one increase in Tier than otherwise would be provided.

The project is considered a 100% Affordable Housing Project. However, the Applicant has not elected to request an increase in Tier. As such, this eligibility requirement does not apply.

TRANSIT ORIENTED COMMUNITIES AFFORDABLE HOUSING INCENTIVE PROGRAM /AFFORDABLE HOUSING INCENTIVES COMPLIANCE FINDINGS

Pursuant to Section 12.22 A.31(e) of the LAMC, the Director shall review a Transit Oriented Communities Affordable Housing Incentive Program project application in accordance with the procedures outlined in LAMC Section 12.22 A.25(g).

1. Pursuant to Section 12.22 A.25(g) of the LAMC, the Director shall approve a density bonus and requested incentive(s) unless the director finds that:

a. The incentives are not required to provide for affordable housing costs as defined in California Health and Safety Code Section 50052.5 or Section 50053 for rents for the affordable units.

The record does not contain substantial evidence that would allow the Director to make a finding that the requested incentives are not necessary to provide for affordable housing costs per State Law. The California Health & Safety Code Sections 50052.5 and 50053 define formulas for calculating affordable housing costs for very low, low, and moderate income households. Section 50052.5 addresses owner-occupied housing and Section 50053 addresses rental households. Affordable housing costs are a calculation of residential rent or ownership pricing not to exceed a predetermined percentage of income based on area median income thresholds dependent on affordability levels.

The list of on-menu incentives in the TOC Guidelines were pre-evaluated at the time the Transit Oriented Communities Affordable Housing Incentive Program Ordinance was adopted to include types of relief that minimize restrictions on the size of the project. As such, the Director will always arrive at the conclusion that the on-menu incentives are required to provide for affordable housing costs because the incentives by their nature increase the scale of the project.

Public Facilities Zone: A portion of the site is zoned PF-1, which prohibits residential uses. Strict compliance with the PF-1 Zone would not allow residential uses. The request to utilize the uses and area standards of the least restrictive adjoining zone, which is the C2 Zone, is expressed in the Menu of Incentives in the TOC Guidelines. The C2 Zone allows residential uses at R4 density. This requested incentive will allow the developer to utilize C2 use and area standards so the residential units reserved for affordable housing can be constructed and the overall space dedicated to residential uses is increased. This incentive will result in a building design that provides for affordable housing costs and supports the applicant’s decision to set aside 27 dwelling units for Low Income Households.

DIR-2019-5213-TOC-SPR Page 15 of 26 Reduced Yard/Setback: The requested reduction in the side yard is expressed in the Menu of Incentives in the TOC Guidelines. Strict compliance with the yard requirements of the C2 Zone would require R4 side yards of 8 feet. The Additional Incentive would allow utilization of RAS3 side yards of 5 feet in lieu of the otherwise required 8 feet. The requested incentive will allow the developer to reduce setback requirements so the area reserved for affordable housing can be constructed and the overall space dedicated to residential uses is increased. This incentive will result in a building design that provides for affordable housing costs and supports the applicant’s decision to set aside 27 dwelling units for Low Income Households.

Increased Height: The requested increase in height is expressed in the Menu of Incentives in the TOC Guidelines. Strict compliance with the height requirements of the C2-2D-CPIO Zone and CPIO Section III-3.A.2 would limit building height to four stories and 60 feet. The Additional Incentive would allow a two-story and 22-foot increase in building height to six (6) stories and 82 feet. The project proposes a building height of five (5) stories and 67 feet. The requested incentive will allow the developer to increase the maximum height allowed so the units reserved for affordable housing can be constructed and the overall space dedicated to residential uses is increased. This incentive will result in a building design that provides for affordable housing costs and supports the applicant’s decision to set aside 27 dwelling units for Low Income Households.

b. The Incentive will have a specific adverse impact upon public health and safety or the physical environment, or on any real property that is listed in the California Register of Historical Resources and for which there are no feasible method to satisfactorily mitigate or avoid the specific adverse Impact without rendering the development unaffordable to Very Low, Low and Moderate Income households. Inconsistency with the zoning ordinance or the general plan land use designation shall not constitute a specific, adverse impact upon the public health or safety.

There is no evidence in the record that the proposed incentive will have a specific adverse impact. A “specific adverse impact” is defined as, “a significant, quantifiable, direct and unavoidable impact, based on objective, identified written public health or safety standards, policies, or conditions as they existed on the date the application was deemed complete” (LAMC Section 12.22.A.25(b)). The finding that there is no evidence in the record that the proposed incentive(s) will have a specific adverse impact is further supported by the recommended CEQA finding. The findings to deny an incentive under Density Bonus Law are not equivalent to the findings for determining the existence of a significant unavoidable impact under CEQA. However, under a number of CEQA impact thresholds, the City is required to analyze whether any environmental changes caused by the project have the possibility to result in health and safety impacts. For example, CEQA Guidelines Section 15065(a)(4), provides that the City is required to find a project will have a significant impact on the environment and require an EIR if the environmental effects of a project will cause a substantial adverse effect on human beings. The Department of City Planning has determined that the project is exempt from CEQA as a Sustainable Communities Project (“SCP”) pursuant to PRC 21155.1. The Statutory Exemption could be adopted, including, on the basis that none of the potential environmental effects of the proposed Project would cause substantial adverse effects on human beings, the physical environment, on public health and safety, or on property listed in the California Register of Historic Resources. Based on all of the above, there is no basis to deny the requested incentive.

DIR-2019-5213-TOC-SPR Page 16 of 26 SITE PLAN REVIEW FINDINGS

2. The project is in substantial conformance with the purposes, intent and provisions of the General Plan, applicable community plan, and any applicable specific plan.

The proposed project is in substantial conformance with the purposes, intent, and provisions of the General Plan, the Southeast Los Angeles Community Plan, and the Southeast Los Angeles Community Plan Implementation Overlay (“CPIO"). The site is located within the Southeast Los Angeles Community Plan area and traverses two zones and land use designations. The majority of the site has a Community Commercial land use designation with corresponding zones of C2, C4, RAS3, R3, RAS4, and R4. The site is zoned C2-2D-CPIO, which is consistent with the land use designation. The remainder of the site has a Public Facilities land use designation with corresponding zones of PF. This portion of the site is zoned PF-1, which is consistent with the land use designation.

Framework Element

The General Plan designates the majority of the subject site with Community Commercial land uses. Community Commercial areas are intended as pedestrian-oriented, high activity, multi- and mixed-use centers that support and provide identity for Los Angeles’s communities. The Community Commercial land use designation corresponds to the C2- 2D-CPIO zone, which also allows for R4 land uses and one dwelling unit per 400 square feet. CPIO Section III-3.B.1 allows residential density for a TOC project that meets the affordability percentages of a CPIO Mixed-Income Housing Project at a ratio of one dwelling unit per 400 square feet of lot area. The General Plan designates the remainder of the site for Public Facilities land uses, which corresponds to the PF Zone. The applicant is requesting an Additional Incentive provided in the TOC Guidelines to qualify as a joint public and private development in the PF Zone that may include the uses and area standards permitted in the least restrictive adjoining zone, in this case the C2 Zone.

The Framework Element’s Long Range Land Use Diagram for South Los Angeles area depicts the site as within a Community Center. A Community Center is described as “A focal point for surrounding residential neighborhoods and containing a diversity of uses such as small offices and overnight accommodations, cultural and entertainment facilities, schools and libraries, in addition to neighborhood oriented services. Community Centers range from floor area ratios of 1.5:1 to 3.0:1. Generally, the height of different types of Community Centers will also range from 2- to 6-story buildings, e.g., some will be 2-story Centers, some 4- or 6-story Centers depending on the character of the surrounding area. Community Centers are served by small shuttles, local buses in addition to automobiles and/or may be located along rail transit stops”.

The proposed project is for the construction of a five-story, 67-foot tall, mixed-use residential building that meets the intent of the General Plan, containing ground-floor community art space that will serve the surrounding community. The project qualifies for the Transit Oriented Communities (“TOC”) Affordable Housing Incentive Program, which allows a variety of incentives for increased density, height, and floor area, among others, for Eligible Housing Projects. Measure J J J was adopted by the Los Angeles City Council and established the TOC Affordable Housing Incentive Program. The project will provide community-oriented services on the ground floor, and onsite amenities for its residents. The project adheres to all other underlying zoning requirements and meets the intent of the General Plan. As such, the proposed project is consistent with the General Plan Framework.

DIR-2019-5213- TOC-SPR Page 17 of 26 Land Use Element - Southeast Los Angeles Community Plan

The proposed project aligns with the intent of the Southeast Los Angeles Community Plan including the following:

Goal LU5: Medium and higher density mixed-use development that is located appropriately within the community.

LU5.2: Public Amenities/Facilities. Incentivize the inclusion of public amenities, community facilities, full service grocery stores, child care and accessible open space areas in large mixed-use projects.

LU5.3: Mixed-Use Districts. Encourage mixed-use districts near transit and at other key nodes that combine a variety of uses to achieve a community where people can shop, live and work with reduced reliance on the automobile.

LU5.4: Housing for Families. Promote family-friendly mixed-use projects that include residential units of three bedrooms suitable for larger families.

LU5.6: Affordability. Prioritize housing that is affordable to a broad cross-section of income levels and that provides the ability to live near work.

Goal LU18: Transit-oriented development around transit stations that is characterized by a mixture of uses, a safe and attractive pedestrian environment, reduced parking, and direct and convenient access to transit facilities, and moderate to higher density as appropriate to the existing scale and context of each TOD area.

LU18.2: Incentivize Mixed-Use. Develop incentives for higher density, mixed-use projects that incorporate desirable ground floor uses, such as sit-down restaurants, full-service grocery stores or drug stores.

LU18.3: Housing for Transit Users. Prioritize new housing for transit-users at TODs in Southeast Los Angeles, which has a large transit-dependent population.

LU18.4: Mixed-Income Housing. Incentivize the production of affordable and/or mixed-income housing in TOD areas

LU18.7: Avoid Displacement. Discourage the displacement of existing residents and strive for a no net loss of affordable housing units, including those protected by the Rent Stabilization Ordinance.

LU18.12: Transit-Oriented Development Plans Near Single-Family. Recommend that TOD plans for station areas adjacent to single-family residential uses provide development standards, adequate bulk and height transitions, and appropriate intensities, and regulations tailored to lower density neighborhoods while focusing on connectivity to the station.

LU18.13: Active First Floor Building Frontages. The first floor frontage of structures should be designed to include commercial or other active uses.

Goal LU21: Southeast Los Angeles’ significant cultural and historical resources are protected, preserved and/or enhanced.

DIR-2019-5213-TOC-SPR Page 18 of 26 LU21.1: Protect Historic Resources. Continue to identify and protect designated City of Los Angeles Historic-Cultural Monuments.

LU21.5: Encourage Original Fagade Restoration. Encourage the preservation, conservation, rehabilitation and adaptive reuse of historic buildings in commercial areas through the restoration of original fagades.

The project is for the construction of a new mixed-use development with affordable units and ground-floor community art space on a lot that is zoned for such development in accordance with the TOC Guidelines. The project will develop an existing surface parking lot or otherwise vacant land provide a net increase of 87 affordable dwelling units, including 27 Low Income units, 59 Moderate Income units, and 7,611 square feet of community art space. The existing historic building will remain and be converted to a commercial use. Consistent with the Community Plan, the proposed 87-unit mixed-use development adds new multi-family housing and much needed affordable housing to Los Angeles’s housing supply in proximity to transit. The site is in close proximity to public transit and neighborhood amenities, and as shown in Exhibit “A” and Finding No. 3 below, the Project will provide design features and landscaping improvements that will be compatible with the surrounding area. The project also integrates sustainable development by providing four (4) Electric Vehicle (EV) charging spaces. The project will include onsite amenities for its residents and will incorporate ground floor commercial uses that will enhance pedestrian street activity.

Housing Element 2013-2021

The proposed project also conforms with the applicable policies of the Housing Element, including:

Goal 1: A City where housing production and preservation result in an adequate supply of ownership and rental housing that is safe, healthy and affordable to people of all income levels, races, ages, and suitable for their various needs.

Objective 1.1: Produce an adequate supply of rental and ownership housing in order to meet current and projected needs.

Policy 1.1.4: Expand opportunities for residential development, particularly in designated Centers, Transit Oriented Districts, and Mixed-Use Boulevards

Policy 1.3.5: Provide sufficient land use and density to accommodate an adequate supply of housing units within the City to meet the projections of housing needs

Goal 2: A City in which housing helps to create safe, livable and sustainable neighborhoods.

Objective 2.2: Promote sustainable neighborhoods that have mixed-income housing, jobs, amenities, services and transit.

Policy 2.2.2: Provide incentives and flexibility to generate new multi-family housing near transit and centers, in accordance with the General Plan Framework element, as reflected in Map ES. 1.

DIR-2019-5213-TOC-SPR Page 19 of 26 Objective 2.5: Promote a more equitable distribution of affordable housing opportunities throughout the City.

Program 98: In accordance with State law, provide a density bonus up to 35% over the otherwise allowable density as well as reduced parking requirements for all residential developments that include units affordable to very low-, low- and/or moderate-income households. Provide additional incentives and concessions to required development standards in order to provide the buildable area needed for the affordable units and increased density.

The proposed project will result in a net increase of 87 new residential units to the City’s housing stock and conforms with the applicable provisions of the Housing Element. Under the Transit Oriented Communities Guidelines, the project is providing 30 percent of units for Low Income households, and an additional 59 units for Moderate Income households. The applicant has requested deviations from code requirements under the Transit Oriented Communities program for reduced parking, side yard setback, height, and utilization of uses and area standards of the C2 Zone to allow the creation of affordable units around transit stops. Additionally, this mixed-use development in close proximity to multi-modal transportation options including transit stops, and a variety of neighborhood serving amenities.

Mobility Plan 2035

The proposed project also conforms with the following additional policies of the Mobility Plan, including:

3.1 - Access for All: Recognize all modes of travel, including pedestrian, bicycle, transit, and vehicular modes - including goods movement - as integral components of the City’s transportation system.

3.3- Land Use Access and Mix: Promote equitable land use decisions that result in fewer vehicle trips by providing greater proximity and access to jobs, destinations, and other neighborhood services.

The project utilizes the TOC Guidelines for the construction of a mixed-use development that provides both housing opportunities and commercial spaces in close proximity to public transit, and to permit reduced parking, encouraging multi-modal transportation and decreasing vehicle miles traveled in the neighborhood. Therefore, the proposed project, which introduces mixed-use development with active ground-floor uses, will be consistent with the above goals of the Mobility Plan.

Southeast Los Angeles CPIO

The Southeast Los Angeles Community Plan Implementation Overlay (“CPIO”) District was adopted by the Los Angeles City Council and became effective on December 29, 2018 under Ordinance No. 185,925. The subject site is located within the TOD Medium Subarea of the Southeast Los Angeles CPIO, which contains additional regulations for height, density, floor area, building disposition, building design, and parking. The project is subject to administrative review for compliance with the CPIO. Therefore, as conditioned and required by LAMC Section 13.14 G.2 and CPIO, the project will be subject to an administrative review and clearance process for CPIO compliance prior to the issuance of building permits. The project is also subject to the environmental standards provided in

DIR-2019-5213-TOC-SPR Page 20 of 26 Appendix A of the CPIO, including but not limited to noise/vibration and tribal cultural resources, as conditioned herein.

The proposed project is consistent with the purposes, intent and provisions of the General Plan, Southeast Los Angeles Community Plan, Housing Element, Mobility Element, and the Southeast Los Angeles CPIO by meeting several of its goals, objectives, and policies. Specifically, the project would provide a diverse set of uses that (1) facilitate vehicle trip reduction, reduce vehicle miles traveled, and reduce air pollution; (2) accommodate necessary residential growth and provide a mix of apartment sizes and affordability levels, including restricted Low Income and Moderate Income units.

3. The project consists of an arrangement of buildings and structures (including height, bulk and setbacks), off-street parking facilities, loading areas, lighting, landscaping, trash collection, and other such pertinent improvements that is or will be compatible with existing and future development on adjacent properties and neighboring properties.

The project site is located in the Southeast Los Angeles Community Plan and is comprised of three (3) contiguous lots adjacent to the Metro A (Blue) Line 103rd / Watts Towers Station. The surrounding area is developed with a combination of public facility, commercial, single-family, multi-family, and institutional uses.

The proposed project is a five-story 67-foot tall mixed-use residential development that will provide 87 dwelling units and approximately 7,611 square feet of ground-floor community art space. The building will be approximately 123,043 square feet in floor area with a 1.1:1 Floor Area Ratio (FAR) between two buildings (Buildings 1A and 1B) connected by a gate at the ground floor and open-air walkways on upper floors. The project will provide 45 residential parking spaces in an enclosed grade-level parking garage, and 11 nonresidential surface parking spaces along the easterly drive aisle. Bicycle parking will be provided in accordance with LAMC Section 12.21 A. 16.

Height The proposed project consists of a development that has a maximum building height of 67 feet consisting of five (5) stories. The portion of the site that is zoned C2-2D-CPIO is within Height District No. 2, which allows unlimited building height, however CPIO Section III-A.2 limits the building height to four stories and 60 feet. The portion of the site that is zoned PF-1 is within Height District No. 1, which allows unlimited building height. The project qualifies for a two-story and 22-foot increase in height under the TOC Guidelines, however the project is only proposing a five-story 67-foot tall building. The project is in compliance with the transitional height requirements of CPIO Section III-3.A.4, as provided in Exhibit “A”. The community art space will be one story in height. The project will maintain vehicular access along the easterly property line, however it will be reconfigured as a one way south-to-north drive aisle with landscaping, and will provide 11 nonresidential surface parking spaces. Therefore, the drive aisle, surface parking, and landscaping will serve as a buffer from the single-family residential homes to the east.

Bulk/Massinq The proposed mixed-use development will have an approximately 118-foot wide fagade facing 104th Street, and a facade of approximately 440 feet facing the light rail tracks. The development is separated into two buildings (Buildings 1A and 1B) connected by a gate at the ground floor and open-air walkways on upper floors. The project provides two (2) open-air residential courtyards on Level 2 to provide relief in the building mass facing the easterly property line. In addition to the building separation between Buildings 1A and 1B,

DIR-2019-5213-TOC-SPR Page 21 of 26 the fagade is articulated horizontally to create the appearance of individual buildings that are differentiated through building plane, building materials, and pitched roofs. The building massing is further modulated through recesses, open-air walkways, and balconies. The project is in compliance with the transitional height requirements of CPIO Section 111-3.A.4, as provided in Exhibit “A”. The community art space will be one story in height. The project will maintain vehicular access along the easterly property line, however it will be reconfigured as a one-way south-to-north drive aisle with landscaping, and will provide 11 nonresidential surface parking spaces. Therefore, the drive aisle, surface parking, and landscaping will serve as a buffer from the single-family residential homes to the east.

Building Materials The building design incorporates changes in building plane, pitched roofs, recesses, open- air-walkways, and balconies to add architectural interest to the building and creates distinct breaks in the building plane. These breaks are further differentiated with a variety of building materials that include board and batten, fiber cement and composite wood siding, standing seam metal cladding, and painted stucco. The ground floor community art space contains sectional garage doors that open up to the plaza. Together, these elements are applied to create sufficient breaks in plane and articulation. In accordance with the Community Plan Design Guidelines, changes in building materials are applied purposefully to modulate the building fagade, with unique materials applied to provide horizontal articulation to the building mass. The project is conditioned to reserve 15 percent of its roof area for solar panels, as provided in Exhibit “A”.

Entrances The existing historic Watts Station building and plaza will be maintained along 103rd Street, and will be enhanced with ground-floor community art space. Both the art flex space and art studio will have sectional garage doors that open up to the plaza and serve as their entrance. The project will provide two primary residential lobbies with pedestrian entrances. The residential lobby entrance for Building 1A is provided adjacent to the art flex space and directly accessible from the plaza from 103rd Street which serves as the Primary Frontage. The residential lobby entrance for Building 1B is located along the drive aisle and provides direct access to the building elevators. The project also provides a ground-floor meeting room with an entrance along the drive aisle. All entrances are enhanced with transparent glazing.

Setbacks The site is a through-lot with front lot lines on 103rd Street (north) and Graham Avenue (south). Therefore, the project is permitted by the C2-2D-CPIO Zone to have 0-foot yards along both front lot lines. The westerly and easterly property lines, along the light rail tracks and single-family neighborhoods, respectively, serve as the side yards. The Applicant has requested an Additional Incentive to utilize the yard requirements of the RAS3 Zone for the westerly side yard of the subject site, allowing the provision of a 5-foot westerly side yard setback along the light rail tracks. The easterly side yard setback abutting the R1 Zone will comply with the standard C2 Zone requirements of 8 feet. The project will provide a 5-foot landscaped buffer along the easterly side yard in accordance with LAMC Section MI-3.C.4.

Parkinq/Loadinq The project will maintain existing vehicular access along the easterly property line, however it will be reconfigured as a one-way drive aisle that ingresses from the Graham Avenue cul-de-sac on the south to 103rd Street to the north. This drive aisle will provide vehicular access for the subject project, and will be accessible to the general public. The

DIR-2019-5213- TOC-SPR Page 22 of 26 project is required to provide a minimum of 44 parking spaces for residential uses in accordance with the TOC Tier 3 Base Incentive. The project proposes 45 residential parking spaces, which meets the residential parking requirement. The project proposes 7,611 square feet of nonresidential use for the art program, which is required to provide 11 parking spaces under LAMC Section 12.21 A.4. The enclosed residential parking garages will be wrapped with active uses including residential entrances, long-term bicycle parking areas, and a meeting room, or will otherwise be screened through a sloped landscaped berm along the easterly property line. The nonresidential parking spaces will be provided as surface angled parking spaces along the drive aisle. In accordance with CPIO Section III-3.E.5, the surface parking area will be planted at a ratio of one shade tree for every four uncovered parking spaces, as provided in Exhibit “A”.

Lighting The project is conditioned so that all pedestrian walkways and vehicle access points will be well-lit with lighting fixtures that are harmonious with the building design. As conditioned, all outdoor lighting provided on-site will be shielded to prevent excessive illumination and spillage onto adjacent public rights-of-way, adjacent properties, and the night sky.

Landscaping/Open Space The project will provide landscaping in the form of the landscaped driveway, plazas, open- air residential courtyards, and on-site trees. The existing plaza adjacent to the historic Watts Station will be maintained and enhanced, and the existing fencing around the perimeter of the plaza will be removed. The drive aisle will be enhanced with permeable paving along the walkways, street trees, street lights, benches, bioretention planting, and other landscaping. The project will provide a 5-foot landscaped buffer along the easterly side yard in accordance with LAMC Section III-3.C.4 to help serve as a buffer from adjacent single-family residential uses. Residential common open space is provided in the form of two open-air courtyards on Level 2. Private open space is provided in the form of private patios and balconies. The project is conditioned to submit landscape plans prepared by a licensed landscape architect or licensed architect to show the size and location of all plants, and ensure sufficient depth and soil volume for trees and green roofs.

Trash Collection CPIO Section III-3.G.4 requires that trash storage and recycling containers are fully enclosed. Trash storage and collection is proposed to be enclosed in the ground floor of the parking garage on the interior of Building 1A, and is therefore not visible from the drive aisle or public view. Trash collection can only be accessed from the gate separating Building 1A and Building 1B, and shall not interfere with traffic on any public street, as conditioned. Therefore, service providers will be required to access the trash area from the interior between Building 1A and Building 1B, to avoid effects to circulation along the drive aisle.

4. The residential project provides recreational and service amenities to improve habitability for its residents and minimize impacts on neighboring properties.

The proposed project provides recreational and service amenities that will improve habitability for the residents and minimize any impacts on neighboring properties. In addition to providing convenient access to the existing plaza adjacent to the historic Watts Station building, the project will provide landscaping and amenities along the drive aisle including walkways, street trees, street lights, and benches. Residential common open space is provided in the form of two open-air courtyards on Level 2. The residential courtyard for Building 1A is approximately 2,700 square feet and includes a dining table

DIR-2019-5213- TOC-SPR Page 23 of 26 with umbrella for shade, a round planter with seating, and soft seating. The residential courtyard for Building 1B is approximately 3,100 square feet and includes a playground with rubber play surface, playground equipment with tensile shading, trellis canopy with vines, dining table, concrete paving, and outdoor barbeque grills. A 750-square foot community room is proposed adjacent to the residential courtyard for Building 1B. Private open space is provided in the form of private patios and balconies. The project is conditioned to submit landscape plans prepared by a licensed landscape architect or licensed architect to show the size and location of all plants, and ensure sufficient depth and soil volume for trees and green roofs. Therefore, the proposed project provides sufficient recreational and service amenities for its residents, minimizing any impacts on neighboring properties.

CEQA FINDINGS

Pursuant to Senate Bill (SB) 375 and Public Resources Code (PRC) Section 21155.1, a project that qualifies as a Transit Priority Project and is declared by a legislative body to be a Sustainable Communities Project is statutorily exempt from the California Environmental Quality Act (CEQA). These SB 375 clearances are intended to meet the goals of the Sustainable Communities Strategy to encourage higher density, infill development located near transit.

In order to qualify as a Transit Priority Project, the project must be consistent with general land use policies of an adopted Sustainable Communities Strategy per PRC Section 21155(a) and meet the criteria in PRC Section 21155(b) related to minimum density, residential uses, and distance from a major transit stop or high-quality transit corridor. In order to qualify as a Sustainable Communities Project, the project must meet all environmental criteria in PRC Section 21155.1(a), all land use criteria in PRC Section 21155.1(b), and one public benefit criteria in PRC Section 21155.1(c). A public hearing must be held by City Council prior to declaring a project to be a Sustainable Communities Project and the City Council is required to find the necessary criteria are met in Subsections (a), (b) and (c) of PRC Section 21155.1. Unlike other CEQA clearances, the SCP Exemption must be approved by the City Council, even if the initial decision-maker or appellate body is a lower decision-making body or officer.

The Department of City Planning has determined and will recommend to the City Council that the project is exempt from CEQA pursuant to PRC 21155.1 as a Transit Priority Project and Sustainable Communities Project. A public hearing will be held by the City Council on the SCP Exemption after completion of the appeal period, if no appeal is filed, or after the appeal is filed and the land use approval upheld (in whole or in part). The project approvals] will not be final until the City Council has approved the SCP Exemption unless another CEQA clearance is approved. If another CEQA clearance is approved, the project approval is final upon adoption of the LOD and the expiration of any applicable appeal periods.

OBSERVANCE OF CONDITIONS - TIME LIMIT - LAPSE OF PRIVILEGES

All terms and conditions of the Director’s Determination shall be fulfilled before the use may be established. The instant authorization is further conditioned upon the privileges being utilized within three years after the effective date of this determination and, if such privileges are not utilized, building permits are not issued, or substantial physical construction work is not begun within said time and carried on diligently so that building permits do not lapse, the authorization shall terminate and become void.

DIR-2019-5213-T OC-SPR Page 24 of 26 TRANSFERABILITY

This determination runs with the land. In the event the property is to be sold, leased, rented or occupied by any person or corporation other than yourself, it is incumbent that you advise them regarding the conditions of this grant. If any portion of this approval is utilized, then all other conditions and requirements set forth herein become immediately operative and must be strictly observed.

VIOLATIONS OF THESE CONDITIONS, A MISDEMEANOR

The Applicant's attention is called to the fact that this grant is not a permit or license and that any permits and licenses required by law must be obtained from the proper public agency. Furthermore, if any condition of this grant is violated or not complied with, then the Applicant or his successor in interest may be prosecuted for violating these conditions the same as for any violation of the requirements contained in the Municipal Code, or the approval may be revoked.

Section 11.00 of the LAMC states in part (m): “It shall be unlawful for any person to violate any provision or fail to comply with any of the requirements of this Code. Any person violating any of the provisions or failing to comply with any of the mandatory requirements of this Code shall be guilty of a misdemeanor unless that violation or failure is declared in that section to be an infraction. An infraction shall be tried and be punishable as provided in Section 19.6 of the Penal Code and the provisions of this section. Any violation of this Code that is designated as a misdemeanor may be charged by the City Attorney as either a misdemeanor or an infraction.

Every violation of this determination is punishable as a misdemeanor unless provision is otherwise made, and shall be punishable by a fine of not more than $1,000 or by imprisonment in the County Jail for a period of not more than six months, or by both a fine and imprisonment.”

APPEAL PERIOD - EFFECTIVE DATE

The Determination in this matter will become effective and final fifteen (15) days after the date of mailing of the Notice of Director’s Determination unless an appeal there from is filed with the City Planning Department. It is strongly advised that appeals be filed early during the appeal period and in person so that imperfections/incompleteness may be corrected before the appeal period expires. Any appeal must be filed on the prescribed forms, accompanied by the required fee, a copy of this Determination, and received and receipted at a public office of the Department of City Planning on or before the above date or the appeal will not be accepted. Forms are available on line at http://planning.lacity.org.

Planning Department public offices are located at:

Downtown San Fernando Valley West Los Angeles Figueroa Plaza Marvin Braude San Fernando West Los Angeles Development 201 North Figueroa Street, Valley Constituent Service Center Services Center 4th Floor 6262 Van Nuys Boulevard, Rm 251 1828 Sawtelle Boulevard, 2nd Floor Los Angeles, CA 90012 Van Nuys, CA 91401 Los Angeles, CA 90025 (213)482-7052 (818)374-5050 (310)231-2598

*Please note the cashiers at the public counters close at 3:30 PM.

DIR-2019-5213-TOC-SPR Page 25 of 26 Only an applicant or any owner or tenant of a property abutting, across the street or alley from, or having a common corner with the subject property can appeal this Density Bonus Compliance Review Determination. Per the Density Bonus Provision of State Law (Government Code Section §65915) the Density Bonus increase in units above the base density zone limits and the appurtenant parking reductions are not a discretionary action and therefore cannot be appealed. Only the requested incentives are appealable. Per Section 12.22 A.25 of the LAMC, appeals of Density Bonus Compliance Review cases are heard by the City Planning Commission.

Verification of condition compliance with building plans and/or building permit applications are done at the Development Services Center of the Department of City Planning at either Figueroa Plaza in Downtown Los Angeles or the Marvin Braude Building in the Valley. In order to assure that you receive service with a minimum amount of waiting, applicants are encouraged to schedule an appointment with the Development Services Center either through the Department of City Planning website at http://planning.lacity.org or by calling (213) 482-7052 or (818) 374 5050. The applicant is further advised to notify any consultant representing you of this requirement as well.

The time in which a party may seek judicial review of this determination is governed by California Code of Civil Procedures Section 1094.6. Under that provision, a petitioner may seek judicial review of any decision of the City pursuant to California Code of Civil Procedure Section 1094.5, only if the petition for writ of mandate pursuant to that section is filed no later than the 90th day following the date on which the City's decision becomes final.

VINCENT P. BERTONI, AICP Director of Planning

Approved by: Reviewed by:

Faisa^Roble, Principal City Planner Michelle Singh, Senior City Planner

Prepared by:

Connie Chauv, City Planner

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