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03/02/2015 - Packet
n _. : " City of Tigard T :II IPlanning Commission Agenda MEETING DATE: March 2, 2015; 7:00 p.m. MEETING LOCATION: City of Tigard—Town Hall 13125 SW Hall Blvd., Tigard, OR 97223 1. CALL TO ORDER 7:00 p.m. 2. ROLL CALL 7:00 p.m. 3. COMMUNICATIONS 7.02 p.m. 4. CONSIDER MINUTES 7:05 p.m. 5. PUBLIC HEARING 7:06 p.m. ASH AVENUE DOG PARK ZONE CHANGE—(ZON) 2015-00003 REQUEST: The applicant is requesting approval of a quasi-judicial zoning map amendment for two parcels approximately 0.35 acres in size located on the southwest corner of SW Ash Avenue and SW Burnham Street. The zoning designation would be changed from "PR: Park and Recreation" to "MU-CBD: Mixed Use Central Business District," while the existing comprehensive plan designation of "MU-CBD: Mixed Use Central Business District"would remain unchanged.APPLICANT: City of Tigard PROPOSED ZONE: MU-CBD: Mixed Use-Central Business District. The MU-CBD zoning district is designed to provide a pedestrian friendly urban village in downtown Tigard. A wide variety of commercial, civic, employment, mixed-use, multifamily and attached single-family residences are permitted. New development and redevelopment is required to conform to the standards of Chapter 18.610. LOCATION: 12780 SW Ash Avenue, WCTM 2S102AD,Tax Lots 02800 and 02900 APPLICABLE REVIEW CRITERIA: Community Development Code Chapters 18.380, 18.390, 18.520, and 18.540; Comprehensive Plan Policies 1.2, 2.12, 2.1.3, 2.1.7, 2.1.15, 9.1.3, 9.1.5, 10.1.5 and 15.2.6;Transportation Planning Rule. 6. PUBLIC HEARING 8:06 p.m. POST ACKNOWLEDGEMENT PLAN AMENDMENT TO THE ECONOMIC OPPORTUNITY ANALYSIS -COMPREHENSIVE PLAN AMENDMENT (CPA) 2015-00001 REQUEST: To amend the City of Tigard's 2011 Economic Opportunities Analysis to: 1) acknowledge that slope was not applied as a development constraint factor in the Inventory of Suitable Sites (Land Supply), 2) apply slope as a suitability constraint for properties currently zoned industrial (I-P, I-L, and I- H),and 3) qualify the Assessment of Potential with respect to slope constraints. LOCATION: City-wide ZONE/COMP PLAN DESIGNATION: I-P:industrial park district; I-L: light industrial district; I-H: heavy industrial district.APPLICABLE REVIEW CRITERIA: Community Development Code Chapters: 18.380.020 Legislative Amendments; 18.390.060 Decision Making Procedures; Comprehensive Plan Goals 1, 2, and 9; Oregon Administrative Rule 660,Division 9; Statewide planning goals 1,2,and 9. PLANNING COMMISSION AGENDA— MARCH 2, 2015 City of Tigard I 13125 SW Hall Blvd.,Tigard, OR 97223 I 503-639-4171 I www.tigard-or.gov I Page 1 of 2 7. OTHER BUSINESS 8:30 p.m. 8. ADJOURNMENT 8:35 p.m. PLANNING COMMISSION AGENDA- MARCH 2, 2015 City of Tigard I 13125 SW Hall Blvd.,Tigard, OR 97223 I 503-639-4171 I www.tigard-or.gov I Page 2 of 2 1111 . r Tigard Planning Commission TIGARD Agenda Item # Page L of I Date of Hearing 3— 2 --f Case Number(s) Z-D N'2o\ _COQ Case Name t \s o' �i 2-0 C tivALA. Location ) 2 -78(-) If you would like to speak on this item, please PRINT your name, address, and zip code below: Proponent ( the proposal): Opponent (against the proposal): Name: Zme: .AJ &j Wow - Address: Address: 13 4 r 3 S /,/, evie��J l 0 , lav 2 City, State, Zip: City, State, Zip:7) yy ple 772 z3 Name: Name: (.1-01411jtjrZ5t° Address: Address: 41-titI.tME,tz_o -1--- pee City, State, Zip: City, State, Zip: � ' Name: Name: �_.__. ' ='� :> _. • Address: Address: City, State, Zip: City, State, Zip: Name: Name: Address: Address: City, State, Zip: City, State, Zip: Name: Name: Address: Address: City, State, Zip: City, State, Zip: Agenda Item: 5 Hearing Date:March 2,2015 Time: 7:00 PM STAFF REPORT TO THE PLANNING COMMISSION : . V FOR THE CITY OF TIGARD, OREGON TIGARD 120 DAYS = 5/26/2015 SECTION I. APPLICATION SUMMARY FILE NO.: Zone Change (ZON) ZON2015-00003 FILE NAME: ASH AVENUE DOG PARK ZONE CHANGE PROPOSAL: The applicant is requesting approval of a quasi-judicial zoning map amendment for approximately 0.35 acres located at the intersection of Ash Avenue and Burnham Street (Ash Avenue Dog Park). The zoning designation would be changed from "Parks and Recreation Zone" to "Mixed Use-Central Business District Zone," while the existing comprehensive plan designation of "Mixed Use — Central Business District" would remain unchanged. APPLICANT/ City of Tigard OWNER: 13125 SW Iall Blvd Tigard, OR 97223 LOCATION: Ash Avenue Dog Park 12780 SW Ash Avenue V'CTM 2S102AD, Tax Lots 2800 & 2900 COMP. PLAN DESIGNATION: Mixed Use - Central Business District: The area deemed appropriate for high intensity mixed use development allowing commercial and office, as well as higher density residential uses of a minimum of 40 units per acre. The designation includes the MU-CBD Zone. CURRENT ZONE: PR: The Parks and Recreation Zone is intended to preserve and enhance publicly owned open space and natural and improved parkland within the city. The Parks and Recreation Zone is applicable to all city owned lands intended as parks, open space, and recreational facilities and may be applied within all comprehensive plan designations. PROPOSED ZONE: MU-CBD: mixed use-central business district. The MU-CBD zoning district is designed to provide a pedestrian friendly urban village in downtown Tigard. A wide variety of commercial, civic, employment, mixed-use, multifamily and attached single-family residences are permitted. New development and redevelopment is required to conform to the standards of Chapter 18.610. APPLICABLE REVIEW CRITERIA: Transportation Planning Rule and Community Development Code Chapters 18.380 and 18.390; Comprehensive Plan Policies 1.2, 2.1.2, 2.1.3, 2.1.7, 2115, 9.1.3, 9.1.5, 10.1.5,and 15.2.6. S'I'AFJ RITORT TO Tin;,PLANNING COMMISSION March 2,2015 PUBLIC I IIi.1RING ZON2015-00003 PAGE 1 OF SECTION II. STAFF RECOMMENDATION Staff recommends that the Planning Commission approve the proposed zone change. SECTION III. BACKGROUND INFORMATION Site History& Information The project site consists of two parcels located at the southern corner of Burnham Street and Hall Boulevard. Presently it contains two parcels approximately 0.16 and 0.19 acres respectively. The current zoning designation is PR: Parks and Recreation, and the current land use on the property is the Ash Avenue Dog Pak. Staff reviewed the zoning history of the site utilizing old zoning maps and searching City records. The subject site is shown as zoned M-4 on the 1981 Zoning Map. Two years later the subject site is shown as zoned CBD on the 1983 Comprehensive Plan Designations and Zoning Districts Map (Ordinance 83-24). In 2010, the CBD zone was retitled the MU-CBD zone to reflect new standards being adopted for the downtown area. It remained in this zone until January 2014 when it was changed to the PR zone as part of the citywide adoption of this new zone. Aerial photographs show the site being developed with a single-family home in the 1940s.At an unknown date, the home was converted to office space, which was used by the City of Tigard Public Works Department until 2009, when the structure was demolished. In 2011, the Ash Avenue Dog Park was constructed on the two lots. Plans are underway to relocate the Ash Avenue Dog Park to another city owned property on the other side of Burnham Street. This relocation is expected to occur in 2015. This move is occurring in order to consolidate three city-owned properties into a single redevelopment site approximately 3.61 acres in size, which could be transferred to a private developer as part of a public-private partnership to create market- rate housing. Vicinity Information The subject site is surrounded by commercial and industrial development, and has close proximity to a trailhead and park entrance for Fanno Creek Park. Adjoining land uses include a public works yard, soon to be vacated as part of a consolidation of operations, and an auto body shop. Surrounding properties are zoned MU-CBD and are regulated as part of the Fanno-Burnham sub-area of the Tigard Downtown Plan District. The Fanno-Burnham sub-area is intended to provide for opportunities for medium scale residential or mixed-use development. Proposal Description The applicant is requesting approval of a quasi-judicial zoning ma amendment for the two lots that presently host the Ash Avenue Dog Park. The zoning designation wouldchangefrom PR: Parks and Recreation to MU-CBD: Mixed Use Central Business District. This change is proposed because the use and ownership of the property are expected to change from a public park to a mixed use, residential and commercial development.This change in use and ownership is not compatible with the purpose of the PR zone,which is intended to apply only to publicly owned land intended for use as public recreation or open space. STAFF REPORT TO THE PLANNING COMMISSION March 2,2015 PUBLIC HEARING ZON2015-00003 PAGE 2 OF 7 SECTION IV. APPLICABLE REVIEW CRITERIA AND FINDINGS Statewide Planning Goals, Metro Urban Growth Management Plan, and Metro Regional Framework Plan Policies are not applicable to this land use decision. No changes are proposed to the Comprehensive Plan and the land use action requested is not legislative. TRANSPORTATION PLANNING RULE (OAR 660-012-0060): Section 0060 of the Transportation Planning Rule (TPR) is a statewide planning requirement that directs cities and counties to assess whether proposed plan amendments and zone changes will have a significant effect on the transportation system. In essence, this means that before approving plan or zone changes, cities and counties must determine whether existing transportation facilities and planned improvements will provide adequate capacity to support the new development that would be allowed by the proposed land use changes. Subsection (9) of Section OAR 660-012-0060 states a local government may find that an amendment to a zoning map does not significantly affect an existing or planned transportation facility if all of the following requirements are met: (a) The proposed zoning is consistent with the existing comprehensive plan map designation and the amendment does not change the comprehensive plan map; (b) The local government has an acknowledged TSP and the proposed zoning is consistent with the TSP; and (c) The area subject to the zoning map amendment was not exempted from this rule at the time of an urban growth boundary amendment as permitted in OAR 660-024-0020(1)(d), or the area was exempted from this rule but the local government has a subsequently acknowledged TSP amendment that accounted for urbanization of the area. As discussed above, the proposed zone change would return the affected properties back to the MU-CBD Zone, a designation previously held by these properties until January 28,2014 when a citywide zoning map amendment reclassified all city parkland into the PR zone. The proposed zone is consistent with the comprehensive plan map designation and does not change the comprehensive plan map.Therefore,requirement"a"is satisfied. The Tigard Transportation System Plan was adopted by Council on November 23, 2010. The Tigard TSP was subsequently amended in 2012 through the adoption of the Downtown Tigard Conceptual Connectivity Plan. At the time of adoption of both the TSP and Connectivity plan, the zoning on this property was MU-CBD, and the proposed application will return the property to this same zone. Therefore, requirement"b"is satisfied. The affected area is within the original boundaries of the city as incorporated in 1961, and was not affected by a boundary amendment. Therefore,requirement"c"is satisfied. All three of these conditions are met for the subject property. Therefore, the City of Tigard may choose to make a determination of"no significant effect." Finding: As demonstrated above, the proposed change in zoning complies with the Transportation Planning Rule. TIGARD DEVELOPMENT CODE CHAPTER 18.380: Section 18.380.030.A states that the Commission shall decide zone change applications which do not involve comprehensive plan map amendments. The proposed zone change application to replace the PR zone with the MC-CBD zone does not involve a comprehensive plan map amendment, because the existing comprehensive plan designation of "Mixed S'I'.U:1.RI TOM'"10'I'I IE PLANNING COMMISSION March 2,2015 PUBLIC HEARING Z()N2015-00003 PAGE 3 OF 7 Use-Central Business District" includes both the MU-CBD and PR zoning districts and would remain unchanged. Therefore, the Planning Commission shall make a decision on the proposed zone change application by means of a Type III-PC procedure as governed by Section 18.390.050. Section 18.380.030.B states that a recommendation or a decision to approve, approve with conditions or to deny an application for a quasi-judicial amendment shall be based on all of the following standards: Section 18.380.030.B.1 Demonstration of compliance with all applicable comprehensive plan policies and map designations. The proposed MU-CBD zone is consistent with the Mixed Use-Central Business District Comprehensive Plan Designation. Therefore, the proposed change is consistent with the map designation. The applicable Comprehensive Plan Polices are as follows: Policy 2.1.2: The City's land use regulations, related plans, and implementing actions shall be consistent with and implement its Comprehensive Plan. The requested zone change from PR, Parks and Recreation to MU-CBD, Mixed Use Central Business District zoning district is consistent with the assigned Comprehensive Plan Map designation of Mixed Use Central Business District because both zoning districts implement the map designation. The proposed zone change is otherwise consistent with the applicable comprehensive plan policies as reviewed in this staff report. This policy is satisfied. Policy 2.1.3: The City shall coordinate the adoption, amendment, and implementation of its land use program with other potentially affected jurisdictions and agencies. As required by 18.390.050.C.1.a(3) of the Tigard Community Development Code, and discussed in Section V below, notice of the proposed zone change was sent to affected government agencies. This policy is satisfied. Policy 2.1.7: The City's regulatory land use maps and development code shall implement the comprehensive plan by providing for needed urban land uses including: A. Residential; B. Commercial and office employment including business parks; C. Mixed Use; D. Industrial; E. Overlay districts where natural resource protections or special planning and regulatory tools are warranted; and F. Public Services. The proposed zone change will not affect the overall mixture of land uses set forth in categories A through F above. Community recreation land uses such as the Ash Avenue Dog Park are allowed in both zones, and the MU-CBD zone allows a broader variety of land uses set forth in categories A through F above.This policy is satisfied. Policy 2.1.15: In addition to other Comprehensive Plan goals and policies deemed applicable, amendments to Tigard's Comprehensive Plan/Zone Map shall be subject to the following specific criteria: A. Transportation and other public facilities and services shall be available, or committed to be made available, and of sufficient capacity to serve the land uses allowed by the proposed map designation; B. Development of land uses allowed by the new designation shall not negatively affect existing or planned transportation or other public facilities and services; STAFF REPORT TO THE PLANNING COMMISSION March 2,2015 PUBLIC HEARING ZON201S-00003 PAGE 4 OF 7 As discussed previously in this report, the project meets all three criteria for Subsection 9 of Section 0060 of the Transportation Planning Rule. Therefore, the City of Tigard may choose to make a determination of "no significant effect" to the transportation system. The property is presently served by all necessary public services including water, wastewater, telecommunications, emergency response, garbage, and transportation. Sections A and B of this policy are satisfied. C. The new land use designation shall fulfill a proven community need such as provision of needed commercial goods and services, employment, housing, public and community services, etc. in the particular location, versus other appropriately designated and developable properties; The proposed zone change does not affect the Comprehensive Plan land use designation of Mixed Use Central Business District. Therefore, the existing community need for land areas deemed appropriate for mixed use activities would remain unchanged. Section C of this policy is satisfied. D. Demonstration that there is an inadequate amount of developable, appropriately designated, land for the land uses that would be allowed by the new designation; The Tigard downtown plan district lacks large sites ready for redevelopment. When combined with the soon to be vacant property to the southwest, the rezoning of this property will add an approximately 3.61 acre site to the market inventory. Section D of this policy is satisfied E. Demonstration that land uses allowed in the proposed designation could be developed in compliance with all applicable regulations and the purposes of any overlay district would be fulfilled; The project site has frontage onto two public streets, has access to all necessary utilities, and is approximately 0.35 acres in size. When combined with the adjoining project to the south, there is no reason to believe the site could not be redeveloped in compliance with all applicable regulations. Section E of this policy is satisfied. F. Land uses allowed in the proposed designation would be compatible, or capable of being made compatible,with environmental conditions and surrounding land uses; and The proposed zone change would return the subject site to the same zoning designation generally applicable to this area since 1983. A specific design or development proposal is not included with this application. Development standards applicable to the Fanno-Burnham Street subarea are intended to ensure any future development is compatible with the natural amenities of Fanno Creek Park. Standards generally applicable to the MU-CBD zone are designed to accommodate a variety of residential, commercial, and civic uses in a desirable place to live and do businesses and in a manner that prevents conflicts. Section F of this policy will be satisfied. G. Demonstration that the amendment does not detract from the viability of the City's natural systems. The subject site does not contain or adjoin an inventoried natural resource. The nearest resource areas are in Fanno Creek Park which contain inventoried wetlands and 100 year floodplain associated with Fanno Creek. The closest park entrance is 50 feet from the edge of the subject site, and the nearest of these resources is approximately 150 feet away. Future redevelopment will be required to provide landscaping and trees consistent with landscaping and urban forestry standards. Any downstream impact from surface water runoff will be avoided or mitigated by compliance with Clean Water Services regulations in force at the time of future redevelopment. Section G of this policy is satisfied. Policy 9.1.3: The City's land use and other regulatory practices shall be flexible and adaptive to promote economic development opportunities, provided that required infrastructure is made STAFF 1 J 1' )RT TO TI II PLANNING COMMISSION March 2,2015 PUBLIC I IIi.1RING ZON2015-00003 PAGE 5 OF 7 available. Policy 9.1.5: The City shall promote well-designed and efficient development and redevelopment of vacant and underutilized industrial and commercial lands. In January 2014, the City adopted the Parks and Recreation Zone citywide. The purpose of the zone was to provide the city flexibility in how it preserves and enhances publicly owned land. The zone is intended to be applicable only to city properties which contain or are intended for recreational or open space land uses, and to be removed upon transfer to a non-public entity. Since the rezone of January 2014, the City has signed a lease to consolidate public works equipment from multiple properties onto one site, leaving an adjoining 3.26 acre property to the southwest vacant and ready for redevelopment. Another property to be vacated by public works has been identified as a new location for the Ash Avenue Dog Park. As a result, the property will soon be part of a contiguous 3.61 acre site with a high potential for redevelopment and economic development through transfer to a private party. That redevelopment cannot happen without the proposed zone change. Existing infrastructure serving the fully developed business park is adequate as described in the previous findings for Policies 2.1.8 and 2.1.15,above. This policy is satisfied. Policy 10.1.5: The city shall provide for high and medium density housing in the areas such as town centers (Downtown), regional centers (Washington Square), and along transit corridors where employment opportunities, commercial services, transit, and other public services necessary to support higher population densities are either resent or planned for in the future. Residential land uses within the PR Zone are not allowed. Residential projects within the Fanno-Burnham Subarea of the MU-CBD zone are subject to a minimum residential density of 15 units/acre, and a maximum of 50 units an acre. The proposed zone change will create an opportunity for high density housing within a town center. This policy is satisfied. FINDING: Based on the analysis above, the applicable Comprehensive Plan policies are satisfied. 18.380.030.B.2 Demonstration of compliance with all applicable standards of any provision of this code or other applicable implementing ordinance; and FINDING: The proposed zone change does not include a specific development proposal, but instead anticipates new allowed uses in the form of market rate housing. Future redevelopment will be subject to Downtown Design Review, in which any proposed development would be required to meet all of the current applicable Tigard Development Code standards. The roposed zone change would be in compliance with all applicable standards of the Tigard 5evelopment Code. This criterion is met. 18.380.030.B.3 Evidence of change in the neighborhood or community or a mistake or inconsistency in the comprehensive plan or zoning map as it relates to the property which is the subject of the development application. FINDING: All city owned parks were placed into the Parks and Recreation Zone in January 2014 in order to more efficiently regulate development within public parks. Since the rezone of January 2014, the City has signed a lease to consolidate public works equipment from multiple properties onto one site, leaving an adjoining 3.26 acre property to the southwest vacant and ready for redevelopment. Another property to be vacated by public works has been identified as a new location for the Ash Avenue Dog Park. As a result, the property STAFF REPORT TO TI IE PLANNING COMMISSION March 2,2015 PUBLIC I IEARING 7,ON2015-00003 PAGE 6 OF 7 will soon be part of a contiguous 3.61 acre site with a high potential for redevelopment through transfer to a private party. Because the PR zone is intended to apply only to city- owned property intended for recreation purposes, the site will no longer meet the purpose and function of this zone in the near future. Collectively, these conditions constitute evidence of change in the neighborhood. This criterion is met. SECTION V. ADDITIONAL CITY STAFF AND OUTSIDE AGENCY COMMENTS The City's Development Services and Public Works Departments were given an opportunity to comment on the subject proposal but did not provide any written comment. Metro and ODOT were given an opportunity to comment on the subject proposal but did not provide any written comment. SECTION VI. STAFF ANALYSIS AND CONCLUSION As provided in the findings for this application above, the proposed zone change meets the applicable review criteria and can be approved. Staff recommends the Planning Commission approve the proposed zone change. ___62, P I PREPARED B February 23, 2015 I ary Pagenstecher DATE ssociate Planner .---::,/, ,:v" . ----"— --�" February23,2015 APPROVED BY: Tom McGuire DAE Ar.t,ifog Assistant CD Director Attachments: Zoning Districts Map Comprehensive Plan Designations Map SI'.\N RIi a .°'H Ili PLANNING COMMISSION March 2,2015 PUBLIC;I II E:.RING ZON2015-00003 PAGE 7 OF 7 E r L .N el .,a Siw u. Z U Q. O Q u $W c W o w ° ,fwd°u u T N 4) V7 CO ' V 2.4 j X m c6 L L > am u°oa 2 `4 0 of N L IV >. .�- tF WgW°arao O Q ��Vu a 0 �c m ET Q N C c ar<i gr Z rocs).- o N O 14 L m pa;s> >�iV 2 p W E_N^ '� > E Nws ov o� w��. O• V O 0 O. N - S mi v a) .E- Vl L Oma_, N V N W L v a� m pwu Fww"'v� o00cr (n L N N N d 'O O F > ig6 ,11,t gw > =v1, •�' U CO ' L 7 com .2 N N 0 d �'�.Wi Vs=�?rc W Vc4mrn_5 ® = 7 CZ O w X X E X . O N O CAigo l)�[ 2�2 P4 c N 0LIIIEII m x a s tw-i°z> I� 1d yoIW C7 O , Li oaonm V `<m F. • Ne. �' \V" Go V SC. CI CO N.S. 1 p 2 A .._ .,- - _. ' ._ -.-. . �7 6 ilI INN Ih.lir 41 U. ..... . ■....\ • \ , \ At• \\ /. 111/0 reek I °i'Tg4 z • < > dr 2 m <°� i c Zw `�a��w'w h `° N .p N T �" Owu�'aa W O N C N Q al N (a OUC .>.i » U ,c N .c m Cu k .c a' - m a) m O> .° -0 z o w a ^+ o a) Z a c c m m E ° E E E E m a �F y¢ 6a2 o ' W N CC c y a ;w N ` E E O E O O O C c 0 Z i)�n'�Nw 1- >� > .0 a) = Q H - c a) o E U E a n a c o > E LL off,± .0O z w omn` o c X 'a o 0 o E U o o 0 o m= a) ca c •c U E U ao o E E E Uo N hwc wZo�au a rn=°'Y 4 CD Cd o rn o m Z. o U w w w ) a) 5 c v m num yogw o F ca,o (13 (n 'y Q = 'N a) a) o C y' L a) a) a) a) N i U — O 'C > O ¢U ?N w ui U K J p O t9 W L a) C c N H N U O C N V) N N a a) N N a) d aj5 ~KrNw W TN�V)O i� >- co E E Oo D D 'N = D D 0 D D c - , c c w 0 O c �mh awwZ�S w UN`mo W a Q = a a a o E .c a a -o -oc 2 of c .� m a zO o.0 c�� EA -g 0 o 0 o L ). x X c o E x x x x m a) n o o c m 05' LL a,;w w o Ii u) d J 2 2 2 .2 f Uo n. U .co .. .2 t S O a m E) a a°' 0Qgorc� s .n Q I � ® :. 111 1. 11 11 ' 171 o'O U O q y°Za�k • c. a U I.�' ^J f J o aawvc� Q w J o °m V 18 •0>1b tis. 5- I",. n. AzSe o• Al G 0 m V Z 4c 4% , ,,--,i71/44\>:,,,-- ` .:iia.- ,sera• is,... --U. 1.rr•ri. A' /rr. N :Ingram.. a - :,1orav �) 'a.MM.• lima, 111111111771-11111 :may • 0 CO 0 s \ (41P,.-.,.:; I;.(e". City of Tigard TIGARD Memorandum To: President Jason Rodgers and Planning Commission Members From: Gary Pagenstecher, Associate'Planner Lloyd Purdy, Economic Development Manager Re: CPA2015-00001 Public Hearing Date: March 2, 2015 On Monday, March 2, 2015, the Planning Commission will hold a public hearing on an amendment to the Tigard 2011 Economic Opportunities Analysis (CPA2015-00001). A presentation to the Commission on February 11, 2014 outlined the collaborative efforts between the Fields Trust and the City to successfully develop a promising but challenging site owned by the Trust. The proposed amendment is the next step in addressing the slope challenges of the site for some industrial uses by reviewing the assumptions of the site suitability analysis of the adopted EOA. The EOA was adopted in 2011 as a required part of the City's State Periodic Review work program and was developed in accordance with OAR 660, Division 9, which is administered by the Oregon Department of Land Conservation and Development. CPA2015-00001 will: 1. Acknowledge that slope was not applied as a development constraint factor in the Inventory of Suitable Sites (Land Supply); applies slope as a suitability constraint for properties currently zoned industrial (I-P, I-L, and I-H);qualifies the land supply findings in the EOA; and 2. Amend the Tigard 2011 Economic Opportunities Analysis as a component of Tigard Comprehensive Plan Goal 9:Economic Development; 3. Preserves the current Tigard Comprehensive Plan Goal 9: Economic Development goals, policies, and recommended action measures; The Commission will now make its recommendation to City Council as required by the legislative process. The staff report and findings, as well as the proposed Tigard 2011 EOA Amendment• Memorandum are attached. If you have any questions, please feel free to contact me at garyp@tigard-or.gov or 503-718-2434. EXHIBIT A AMENDMENT TO THE CITY OF TIGARD's 2011 ECONOMIC OPPORTUNITIES ANALYSIS (CPA2015-00001) January 8, 2015 This proposed Post Acknowledgment Plan Amendment to the City of Tigard's 2011 Economic Opportunities Analysis (EOA), 1) acknowledges that slope was not applied as a development constraint factor in the Inventory of Suitable Sites (Land Supply), 2) applies slope as a suitability constraint for properties currently zoned industrial (I-P, I-L, and I-H), and 3) qualifies the Assessment of Potential with respect to slope constraints. 1) The INVENTORY OF SUITABLE SITES (LAND SUPPLY) on page 17 of the 2011 EOA includes the following analysis: The City's BLI included an analysis of existing vacant and partially vacant (sub- dividable) tax Iots by current zoning classification and deducted all significant environmental constraints to estimate buildable land area within the Tigard USB. The land supply analysis focused on the land use classifications that support employment uses,including commercial,mixed-use, and industrial zones. The buildable land area for each tax lot was derived by analyzing GIS data pertaining to environmental features that would constrain the amount of potential site development on vacant and partially vacant areas. For purposes of this analysis, the environmental constraints were calculated for each site using estimates for land area that is constrained by the following: Metro Title 3 designation (waterways, wetlands, riparian buffers and the 100 year floodplain). ANALYSIS: Because the City's Buildable Lands Inventory (BLI) did not apply slope as an environmental constraint, slopes were also not included as a development constraint in the EOA suitability analysis, which was based on the BLI. FINDING: Therefore, staff finds and acknowledges that slope was not considered in the EOA's site suitability analysis that determines land supply. 2) Pursuant to Division 9, 66O-009-0015(3)(a), the 2011 EOA includes an inventory of vacant and developed lands within the planning area designated for industrial or other employment use,including site characteristics and development constraints that affect the buildable area of sites in the inventory (Appendix G: Buildable.Land Inventory). ANALYSIS: As an inventory refinement, this amendment applies slope as a potential development constraint because industrial development requires level ground, and development of areas with slopes greater than 10% is cost prohibitive due to the expenses of excavation, utilities and grading. In Exhibit A, Slope Analysis on Buildable Industrial Lands, the city applied a 10% slope threshold to the buildable lands inventory of industrial zoned land to determine where slope is a constraint for lots within those zones. (Note: the Metro 2009 Urban Growth Report also uses slopes > 10% as a suitability threshold for industrial uses). Exhibit A shows that slopes greater than 10% exist on portions of 17 lots. 1 However, when field verified, only four (4) of those lots include slopes attributable to general grades across the property; that is, the slopes greater than 10% are attributable to minor cuts or fills or embankments within the property,and which otherwise is generally level ground. FINDING: As shown in Exhibit A (Area 2), the slopes of the upland portions of the two largest contiguous vacant lots in the buildable lands inventory zoned I-P, 10.3 acres of 24.16 acres on TL2S1.01CA00100 and 6.74 acres of 1325 acres on TL 25101001100,exceed 10% and thus are constrained for industrial uses that would require large-footprint buildings. In addition, all 1.2 acres of TL 2S101DC04100 and .21 acres of contiguous TL 2S101DD00700 zoned I-L (Area 3) also exceed 10% slopes and are similarly constrained. 3) The ASSESSMENT OF POTENTIAL (RECONCILIATION OF DEMAND AND SUPPLY) on page 20 of the 2011 EGA includes the following analysis: Short-Term Land Need Determination Commercial and industrial properties appear to clearly meet the statutory requirements for short-term land supply, as all of the long-term land supply can be classified as short-term as well as long-term supply Industrial and commercial properties appear to be well served with adequate infrastructure, and there is an abundant supply of vacant industrial, office and retail building floor area being actively marketed in the Tigard USB today. Long-Term Land Need Determination Consistent with EOA documentation requirements, the economic trends analysis of land needs scenarios and the business dusters analysis indicates that the Tigard UPA can add approximately 794 net new industrial jobs without needing to add additional industrial-zoned land over the next 20 years. In light of current downward trends in industrial business activity, the land efficient need scenario appears to be most consistent with regional growth forecasts and anticipated market realities, Industrial Land Need and Parcel Requirements As indicated in Table 14, the land efficient need scenario assumes 48 acres of net new industrial vacant land demand,which is just below the estimated vacant industrial land supply of 50 acres. If the City opts to pursue a more aggressive economic growth strategy that is consistent with the moderate or high land need scenario, the City would need to identify another 14 to 30 acres of vacant industrial land area to meet the level of industrial demand associated with adding another 1,059 to 1,324 industrial jobs. In light of the City's rather limited remaining vacant industrial land supply of tax lots in excess of five acres, the consultant/staff team recommends that the City adopt economic goals and objectives that preserve the remaining large contiguous industrial sites for large industrial employment users.A preliminary expected forecast of demand by parcel size is also provided in Table 14, and assumes that virtually all of the remaining vacant industrial land supply within the Tigard UPA will be absorbed over the next 20 years. 2 ANALYSIS; With the city's limited industrial land supply, the city's industrial land need and parcel requirements were characterized by the land efficient need scenario. The slope analysis indicates that the land efficient need scenario still applies but is now in deficit for industrial zoned vacant land. Industrial employers require level ground for development, and based on the findings in Metro's 2009 Urban Growth Report, industrial development on land with lopes exceeding 10% is cost prohibitive. However, other permitted uses in the I-P zone, such as office, would remain feasible. To the extent that some industrial land use building types are constrained, other industrial and employment uses need not be. The EOA identified target industries for Tigard to include existing, established clusters, such as durable goods manufacturing (includes metals and machinery), education (private and non-profits), financial services, information (mcluding software development), professional and technical services, and wholesale trade and identified emerging clusters, including health care and advanced technology (i.e.,green energy) manufacturing and research operations. Based on the site requirements described in Table 11 and Appendix F, the recommended targeted business clusters will need sites ranging from one to twenty-five acres, with a majority of the need falling in the five to ten-acre range. Table 12, which shows the distribution of vacant land by lot size and general land use zone classification,remains valid. However, the slope analysis indicates that the only two lots greater than 10 acres may now be considered constrained for large footprint building types. For that type of industrial development, the two lots would practically fall into the five to ten-acre range. Appendix G, Buildable Land Inventory, remains valid, although the slope constrained portions of lots are not suitable for some industrial use types. FINDING: The 2011 EOA and the applicable Goal Nine policies and action measures adopted for Tigard's Efficient Need Scenario focus on the promotion of well-designed and efficient development of vacant industrial lands and on actions that result in greater, more efficient, utilization of Metro-designated Employment and Industrial Areas. The site suitability analysis, including slope as a constraint, limits some industrial uses that require large-footprint buildings, and reduces the number of unconstrained tax lots greater than 10 acres from two to zero. Tigard's targeted business clusters may be only marginally affected as the majority of sites needed fall within the five to ten-acre range. The slope constraint reduces the suitability of a few sites for some industrial uses,but staff finds there is potential. for employment use of slope-constrained sites. 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'j, /� Gl Q L1 r.V to 1 / -C al e y c a y 20 '7, m f / L y O c 6 -ter -y G r,)m ar * aJ N Z ; ,-. v ca o o-: U rd _ v ro o a :a l7 '�"'n`" g- *, a) sv w o m 0 w 3 L .L J ems^. N ° N _C7 70 .5 O v 4L .e. = CO h t I-- a 3 la" Ilk 0 5 O _C h Ili Ck wir Ilk.--,. qi O kk k CCS 1,0 CgI .faillike. a ‘• \ —____ ~1 3AV klPI • R 1 q r lif' . ifi \v,,\. _________ 14 /4//r.' /= VI "ri \ I a Ts 1 ! , w..;'+' a I� �rV 'i I �'� '"3 li' .' — 6', r -'q s .� j..._. _ i f r-r 0- CZ to o co Z I w R o L- f r City of Tigard 2011 Economic Opportunities Analysis Adopted by Tigard City Council on May 24, 2011 Prepared By Cogan Owens Cogan, LLC FCS GROUP This report was funded by an Oregon Department of Land Conservation and Development Department Periodic Review Grant. ACKNOWLEDGEMENTS Tigard City Council Craig Dirksen,Mayor Gretchen Buehner,Council President Marland Henderson Nick Wilson Mark Woodard Tigard Planning Commission/Advisory Committee David Walsh,President Tom Anderson,Vice President Margaret Doherty Stuart Hasman Matthew Muldoon Karen Ryan Jason Rogers Donald Schmidt Richard Shavey Cogan Owens Cogan,LLC Kirstin Greene,AICP,Managing Principal Steve Faust,AICP,Senior Planner Ellie Fiore,AICP, Senior Planner FCS Group Todd Chase,AICP,Senior Economist City of Tigard Staff Ron Bunch,Community Development Director Susan Hartnett,AICP,Assistant Community Development Director Craig Prosser,City Manager Darren Wyss,Senior Planner and Project Manager Sean Family,Redevelopment Project Manager TABLE OF CONTENTS Executive Summary—i Introduction—1 Economic Development Vision and Goals—1 Economic Trends Analysis—2 Business Clusters Analysis—9 Targeted Business Clusters— 12 Site Suitability Analysis (Land Demand)—13 Inventory of Suitable Sites (Land Supply)— 16 Short-Term Land Supply Determination— 18 Assessment of Potential (Reconciliation of Demand and Supply) — 19 Short-Term Land Need Determination— 19 Long-Term Land Need Determination— 19 Planning,Market, Cost and Risk Factors-21 Implementation Policies and Action Measures—22 Policies—22 Recommended Action Measures—23 Appendices A. Office Leasing Activity Summary,Mid-Year Report—26 B. Industrial Leasing Activity,Mid-Year 2010 Report—27 C. Analysis of Employment and Space Needs—28 D.Analysis of Retail Inflow/Outflow—32 E. Summary of Tigard Employment Zones and Regulations—33 F. Typical Site Requirements for Development Types—37 G. Buildable Land Inventory—38 H. Redevelopment Land Inventory—39 I. Summary of Stakeholder Interviews—40 J. Map of Buildable Lands and Redevelopment/Refill Potential—44 Executive Summary The City of Tigard has conducted an Economic Opportunities Analysis (EOA) as required by its Periodic Review work program to update its Comprehensive Plan. The City received grant funds from the Department of Land Conservation and Development(DLCD) for technical consultant assistance to complete this task.The EOA was developed in compliance with OAR 660 Division 9 (Statewide Planning Goal 9:Economic Development).The EOA is in-part a technically-based study that compares projected demand for land for industrial and other employment uses to the existing supply of such land. At the same time,it provides economic development policies and actions consistent with emerging economic opportunities,market trends,and local vision Vision and Goals In March 2008,as part of a robust public process,the City of Tigard updated the Economic Development chapter of its Comprehensive Plan. The chapter included the City's vision and goals for economic development to read: Vision The City shall have a strong and resilient local economy with a diverse portfolio of economic activity: retail,professional service and industrial jobs. Goals 1. Develop and maintain a strong,diversified and sustainable local economy. 2. Make Tigard a center and incubator for innovative businesses including those that focus on environmental sustainability. 3. Make Tigard a prosperous and desirable place to live and do business. Demographic and Employment Trends Tigard has been increasing in population at a slower rate(1.3%) than Washington County,but above Oregon and national growth rates.Tigard population is estimated to be 47,460 as of 2009,up from 42,260 residents in 2,000. Tigard currently is relatively"jobs rich"with a positive ratio of 2.3 jobs per household,which is well above the tri-county Metro regional average of 1.5 jobs per household.This is understandable given Tigard's concentration of regional employment centers,including Washington Square Mall,the"Tigard Triangle"employment area near the confluence of I-5/Hwy.217,and pockets of industrial uses along the Hwy. 217 corridor. Tigard also is home to a number of large retail employers at Washington Square Mall as well as several large high-tech manufacturing,construction contractors,professional,business operations,and state and local government operations. Regional commercial and industrial real estate brokers see Tigard as a well-defined submarket within the suburban Metro region. Tigard's office market is especially competitive within the inner southwest portion of the region.Additionally,various efforts are underway to make the Downtown Tigard area a more viable place to live and work. Target Industries In line with Tigard's vision and goals,and in consultation with the City Planning Commission,the consultant team and City staff recommend that the City focus on retaining and attracting a mix of existing and emerging business clusters that pay above average wages. This includes existing, established dusters such as: • Durable goods manufacturing(includes metals and machinery) • Education(private and non-profits) f igard 2( I 11:crnuunic Oppoiiunities:\nal>z.k • Financial services • Information (including software development) • Professional and technical services • Wholesale trade They also recommend that the City focus on emerging clusters,including health care and advanced technology (i.e.,green energy) manufacturing and research operations. Tigard's Land Demand and Supply The consulting team prepared a range of land need forecasts including: efficient,medium, and high land needs scenarios. These scenarios all take into account the Metro employment forecasts, but assume varying levels of industrial development and redevelopment. As summarized in the table below, the land efficient need scenario assumes 48 acres of net new industrial vacant land demand,which is just below the estimated vacant industrial land supply of 50 acres. If the City chooses to pursue a more aggressive economic growth strategy that is consistent with the moderate or high land need scenario, the City would need to identify another 14 to 30 acres of vacant industrial land area to meet the level of industrial demand associated with adding another 1,059 to 1,324 industrial jobs. 20-Year Industrial Demand Forecast and Vacant Land Supply, Tigard USB Efficient Land High Land Land Demand and Supply Need Moderate land Need Scenario Need Scenario Scenario Demand for Vacant Industrial 48 64 80 Land Supply of Vacant Industrial 50 50 50 Land Land Surplus or (Deficit) 2 (14) (30) Existing Forecast of Preliminary Parcel Distribution, Unconstrained Parcel Size Surplus Efficient Land Need Forecast ' Supply (tax Demand (tax lots) lots) (tax lots) 1/ Less than 1 acre 12 10 2 1 to 5 acres 5 5 0 5 to 10 acres 0 0 0 10 to 20 acres 2 2 0 20+ acres 0 0 0 Total 19 17 2 Notes: I Tax lot demand forecast expected to meet or exceed supply in 20 years. Source:Based on findings included in demand and supply analysis. As shown in the table below, the land efficient needs scenario assumes 78 acres of net new commercial and mixed-use vacant land demand,which is just below the estimated vacant land supply of 86 acres. As with the industrial land needs,an economic growth strategy that is consistent with the moderate or high land needs scenario would require the City to identify an additional 19 to 45 acres of vacant commercial and mixed-use land to meet the demand. Reconciliation of Long-term Land Demand and Supply Commercial and Mixed Use 20-Year Land Use Forecast(gross buildable acres), Tigard USB Efficient Land Medium High Land Land Demand and Supply Land Need Need Need Scenario Scenario Scenario Demand for Vacant Commercial 78 105 131 Land Commercial Demand 51 68 85 Mixed-Use Demand 27 36 45 Supply of Vacant Commercial 86 86 86 Land Commercial Zoned Supply 46 46 46 Mixed-Use Zoned Supply 40 40 40 Land Surplus or (Deficit) 8 (19) (45) Preliminary Parcel Distribution, Existing Supply Forecast of Surplus Efficient Need Forecast (tax lots) Demand (tax lots) (tax lots) Less Than 1 acre 89 30 59 1 to 5 acres 14 14 0 5 to l0 acres 3 3 0 l0 to 20 acres 0 0 0 20+ acres 0 0 0 Total 106 47 59 Source:FCS GROUP, based on findings included in demand and supply analysis. Recommendations In accordance with the proposed vision and goals, the consulting team and City staff recommends the City pursue the "efficient land need scenario". The implications of this recommendation are that the City will focus a significant portion of future employment growth and high-density housing development in its Metro-designated Town Center(Downtown);Regional Center(Washington Square); High Capacity Transit Corridor(Hwy 99W);and the Tigard Triangle. More detailed information on employment trends and projections,and land needs and supply is found throughout the remainder of the document. INTRODUCTION The City of Tigard has conducted an Economic Opportunities Analysis (BOA) as required by its Periodic Review work program. The City received grant funds from the Department of Land Conservation and Development (DLCD) for technical consultant assistance to complete this task. The BOA was developed in compliance with OAR 660 Division 9 (Statewide Planning Goal 9: Economic Development) and is a technical study that compares projected demand for land for industrial and other employment uses to the existing supply of such land. The purpose of the FOA is to improve opportunities for Tigard to attract and maintain the type and quality of employment desired by its citizens,grow its economy,and maintain its quality of life. Goal 9 emphasizes the preservation and protection of vacant land for industrial and employment uses. This will happen by adopting policies that ensure an adequate supply of industrial and other employment lands within the City of Tigard. The Tigard Planning Commission acted as the advisory committee for the project,reviewing each task during the process to complete the EOA. The anticipated outcomes of the project are: 1. An understanding of the characteristics of Tigard's employment lands and their adequacy to accommodate future economic activity; 2. Updated economic development policies and action measures as a basis to plan for a supply of appropriately zoned land necessary for existing businesses to expand and to accommodate future economic activities. The six tasks reviewed by the Planning Commission included: 1. Economic Development Vision and Goals 2. Economic Trends Analysis 3. Site Suitability Analysis (Land Demand) 4. Inventory of Suitable Sites (Land Supply) 5. Assessment of Potential (Reconciliation of Demand and Supply) 6. Implementation Policies and Action Measures The process and findings of these tasks are outlined in detail throughout the remainder of the BOA. This includes examining key demographic and employment opportunities and trends to assess Tigard's economic development potential,projecting employment growth,and determining short- and long- term demand for employment land. This demand is compared to an inventory of suitable commercial and industrial properties (supply) to assess the sufficiency of immediate and longer term (20-year) supply of commercial and industrial employment land in the City's Urban Planning Area (UPA). Finally, economic development policies and action measures are recommended for inclusion in the Tigard Comprehensive Plan. ECONOMIC DEVELOPMENT VISION AND GOALS In March 2008,as part of a robust public process, the City of Tigard updated the Economic Development chapter of its Comprehensive Plan. The chapter included the City's vision and goals for economic development: Vision The City shall have a strong and resilient local economy with a diverse portfolio of economic activity: retail,professional service and industrial jobs. Goals 1. Develop and maintain a strong,diversified and sustainable local economy. 2. Make Tigard a center and incubator for innovative businesses including those that focus on environmental sustainability. 3. Make Tigard a prosperous and desirable place to live and do business. Community Economic Development Objectives Community Economic Development Objectives were developed through interviews with City staff and a review of Tigard's economic development vision,goals and recommended action measures. These objectives were refined based on comments from the Planning Commission and the results of interviews with key stakeholders,including state and regional agencies,the Chamber of Commerce, Tigard Central Business District Association,and local employers and developers. • Encourage businesses that provide family-wage jobs to start-up,expand, or locate in Tigard. • Develop industry clusters,and preserve jobs,through the retention,expansion,and recruitment of industries that already have a presence in Tigard. • Promote well-designed and efficient development and redevelopment of vacant and underutilized industrial and commercial lands. • Ensure the City's land use and other regulatory practices are flexible and adaptive and that adequate public facilities and infrastructure exist to support a diverse and stable economic base. • Focus significant employment growth in Tigard's designated centers and corridors and support the development of efficient regional multi-modal transportation systems. • Limit the development of retail and service uses in Tigard's designated industrial areas to preserve the potential of these lands for industrial jobs. Support neighborhood commercial uses to meet smart growth goals. • Encourage businesses that are environmentally and economically sustainable. ECONOMIC TRENDS ANALYSIS The consultant team conducted an economic overview for the City of Tigard,including a review of national,state,regional,county,and local economic trend data and real estate market analysis of office, commercial retail,industrial,and public government space development for the Tigard Urban Service Boundary.The analysis focuses on the expected level of demand for new commercial,industrial,and public development and related gross buildable land needs over the next 20 years (2011-2031). Both the U.S. and Oregon economies are currently mired in the aftermath of a national economic recession that began in December 2007. The current economic slowdown is now the longest on record since the Great Depression;however,some economic expansion is beginning to occur.According to the U.S. Bureau of Economic Analysis,real Gross Domestic Product(GDP is the measure of value of all goods and services in the U.S.)increased at an annual rate of 3.7 percent during the first quarter of 2010,and increased by 2.4 percent during the second quarter of 2010. 1 igard 2011 Economic Opf;ornmilii..111a1r;is 2 Consumers are still very cautious as unemployment rates remain high and high levels of home foreclosures continue. Oregon posted a year-over-year overall job loss of 16,000 jobs between June 2009 and June 2010. At the same time, the state's unemployment rate decreased to 10.5 percent in June 2010, compared to 11.6 percent in June 2009. It should be noted that Oregon's employment levels have declined over the past year in spite of the drop in unemployment rate. This trend likely reflects a decline in the number of people who are actively seeking employment. The U.S. and Oregon economies are now poised for a slow economic recovery. The July 2010 survey of the National Association of Business Economists reported expectations of slow growth in GDP during the second half of 2010 in the U.S. as industry demand,profit margins, employment,capital spending and credit conditions improve. Despite job losses,population levels continue to increase in both Oregon and Tigard due to population migration patterns,increases in immigrant population levels and natural population increases. As indicated in Table 1,according to the Portland State University Population Research Center, the population in Tigard increased to 47,460 residents in 2009,up from 42,260 residents in 2000. The average annual growth rate (AAGR) for population in Tigard was 1.3°%o between 2000 and 2009,which was below the level of population growth recorded for Washington County, but above the Oregon and national growth rates. Table 1. Population Trends, 2000 to 2009 Annual % 2000 2009 Change 2000-2009 Tigard 42,260 47,460 1.3% Washington County 449,250 527,140 1.8% Oregon 3,421,399 3,823,465 1.2% USA 282,171,957 307,006,550 0.9% Source: Portland State University, Population Research Center. Metro (the regional government) has prepared forecasts for households and employment for all local jurisdictions in the Metro Urban Growth Planning Area. The most recently adopted Metro growth forecasts are referred to as the Metroscope Generation 2.3 model,and include a forecast period from 2005 to 2030. FCS GROUP extrapolated the Metro forecasts to year 2035 using Metro's forecasted growth rate from the 2005-2030. While Metro is currently in the process of preparing updated growth forecasts for the region, the Metroscope Generation 2.3 forecasts are being used for this EOA since they are the only set of officially adopted forecasts at this time.As indicated in Table 2, the 2005 to 2035 forecasts anticipate that Tigard will add approximately 3,185 households and 24,167 jobs over the 25-year period.The extrapolated 2035 Metro job forecasts shown in Table 2 are provided for informational purpose only. In light of the recent national economic recession that caused severe declines in Oregon employment (from 2007 through 2010), Metro's 2030 job forecast for Tigard is assumed to be achieved by year 2035 under the "medium forecast" scenario used in the Tigard EOA. As noted in Table 2,the Metro job growth forecasts reflect the fact that Tigard currently is relatively "jobs rich"with a positive ratio of 2.3 jobs per household,which is well above the tri-county Metro regional average of 1.5 jobs per household. This is no surprise given Tigard's concentration of regional employment centers,including Washington Square Mall, the "Tigard Triangle" employment area near the confluence of I-5/Hwy. 217, and pockets of industrial uses along the Hwy. 217 corridor. I i ::rd 201 1 1-vonomie OW;,rlrniti., lnal\;i; 3 Table 2. Metro Growth Forecasts for Households and Employment, 2005 to 2035 Households Projected Projected. Avg. Change Annual Change 2005 2030 2035 2005-2035 (%) Tigard 17,724 20,341 20,909 3,185 0.6% Clackamas County 140,415 241,821 269,594 129,179 2.2% Multnomah County 288,926 372,913 392,439 103,513 1.0% Washington County 189,925 272,998 293,545 103,620 1.5% Total 3 County 336,312 Region 619,266 887,732 955,578_ 1.5% Employments Projected. Avg. Annual 2005 2030 2035 Change Change (%) 2005-2035 Tigard 41,308 60,637 65,475 24,167 1.5% Clackamas County 145,581 251,286 280,273 134,692 2.2% Multnomah County 493,671 705,721 758,005 264,334 1.4% Washington County 269,660 450,970 499,820 230,160 2.1% Total 3 County 629,186 Region 908,912 1,407,977 1,538,098 1.8% Projected. Projected Tigard Jobs Per Household Ratio Tigard Capture of Capture of Region Jobs 2005 2030 2035 Region HHs Tigard 2.3 3.0 3.1 0.9% 3.8% Clackamas County 1.0 1.0 1.0 N/A N/A Multnomah County 1.7 1.9 1.9 N/A N/A Washington County 1.4 1.7 1.7 N/A N/A Total 3 County Region 1.5 1.6 1.6 N/A N/A Source:Metro adopted housing and employment growth forecasts,2007;Metroscope Gen.2.3;extrapolated to 2035 by FCS GROUP. *The extrapolated 2035 Metro job forecasts shown in Table 2 are provided for informational purpose only.In light of the recent national economic recession that caused severe declines in Oregon employment(from 2007 through 2010), Metro's 2030 job forecast for Tigard is assumed to be achieved by year 2035 under the "medium forecast"scenario used in the Tigard EOA. Washington Square Mall already functions as a regional commercial center that draws shoppers and patrons from over a 30-mile radius.With 1,458,734 square feet (sf) of retail and entertainment space, the mall has five anchor stores including JC Penny,Macy's,Nordstrom,Sears,and Dick's Sporting Goods and 170 specialty stores.The mall added 28 new stores and restaurants in 2005,along with a new multi-level parking structure. In addition to large retail employers,Tigard is also home to several large high-tech manufacturing, construction contractors,professional, business operations and state and local government operations. Table 3 provides a list of Tigard employers with more than 250 jobs per establishment. I ir;!rd ?ttI I Lc:kmiunic Opponuui;ic- Ali;h,,< d Table 3. Large Employers in Tigard with More Than 250 Employees, 2008 Firm Name Specialty Employment Range Retail/Gen. Nordstrom Merchandise 500-999 Tigard-Tualatin School District Local Government 500-999 AEROTEK, Inc. Temp. Emp. Agency 250-499 City of Tigard Local Government 250-499 COSTCO Corp. Retail. Merchandise 250-499 Health Insurance Health Net Health Plan of Oregon Carrier 250-499 JC Penny Retail Merchandise 250-499 MACYS Retail Merchandise 250-499 Performance Contracting, Inc. Industrial Contractors 250-499 PERS Headquarters Pension Fund Mgmt. 250-499 Remedy Intelligent Staffing, Inc. Temp. Emp. Agency 250- 499 Aero. & Tech. Part 250-499 Rockwell Collins Aerospace Mfg. STARPLEX Corp. Temp. Emp. Agency 250-499 Bldg. Interior Western Patricians, Inc. Contractors 250-499 Source: Oregon Employment Department. According to regional commercial and industrial real estate brokers,Tigard is a well-defined submarket within the suburban Metro region. Tigard's office market is especially competitive within the inner southwest portion of the region,with businesses considering locations among several areas including Tigard; 217 Corridor/Beaverton;Kruse Way;Barbur Blvd/Capitol Hwy;Tualatin and Wilsonville. Recent office leasing market statistics indicate that office vacancy rates in the Metro region have been increasing since 2008 as many businesses have shed jobs and scaled back on required space needs. As indicated in Appendix A,negative absorption levels have been occurring during the first six months of the year,particularly in Class A Office space,where Tigard experienced a net loss of 13,097 sf during the first half of this year. As of July 1,2010 Tigard had total Class A vacancy rates of 151,900 sf and another 66,000 sf in vacant Class B and C space. Tigard's Class B inventory has experienced positive absorption this year,with 12,800 sf of net absorption. Since July 2010,Tigard has recorded several positive lease transactions,which rank among the largest in the region, such as Bridgewell Resources (32,088 gsf); Comsys into the Lincoln Center; State Farm Mutual Insurance (23,712 gsf)into Fanno Creek Place;and CAN Insurance (17,843 gsf) into the Pacific Parkway Center. Industrial leasing activity and vacancy rates were also significantly impacted by the recent economic recession. As indicated in Appendix B,Tigard had approximately 170,000 sf of vacant flex space (13.4% vacancy rate), and 339,000 sf of vacant warehouse space (7.7%vacancy rate) as of July 1,2010. is±atcl 2l11 11•cunumic Ut ik+rlunili•.::Anctl_.:i 5 Overall industrial lease rates in the Tigard submarket averaged S7.68 per sf/year,and were among the highest in the Metro suburbs. The City of Tigard and the Oregon Department of Transportation(ODOT) are taking steps to enhance the Downtown Tigard area to make it a more viable place to live and work.At a cost of$12 million,intersection improvements along Pacific Highway at Hall Blvd.and Greenburg Rd. are being paid for by ODOT,Washington County and the City of Tigard. This project is slated for completion by Spring 2011 and will include a third through-lane on the highway,turn lanes on side streets,an extended median,wider sidewalks,new bike lanes,improved pedestrian crossings,and wider corners for truck turning movements.This effort will also enhance access into and from Downtown Tigard. Tigard's recently completed Downtown Plan is setting the regulatory stage and establishing a new vision for renovating downtown. The vision is intended to be a 50-year look at how the downtown could change into a"mixed-use urban village"with a wide range of housing and commercial opportunities that optimize natural features,such as Fanno Creek and Fanno Creek Park, transportation facilities,such as Pacific Hwy. and the Westside Express Commuter Rail system,and even light rail or bus rapid transit service to/from Portland. To estimate future development potential for Tigard employment,FCS GROUP evaluated the 10-year employment growth forecasts prepared by the Oregon Employment Department for the Metro Tri- County region,and Metro growth forecasts for Tigard. As shown in Figure 1,the 10-year job growth forecasts for the Metro Tri-County Region portend a positive trend towards job growth for all industry sectors,except federal government and the manufacturing sector. The sectors that are expected to grow the fastest in the Tri-County Metro Region include: educational and health services;professional and business services;leisure and hospitality;local government;retail;and wholesale trade. i ig,lyd 2011 I.cunnmic 6 Figure 1 Non-Farm Employment, Tri-County Metro Region, 2008-2018 Forecast Local government 8,040 State government 1,890 Federal government (270) Other services 1.11 2,210 Leisure and hospitality 10,590 Educational and health services 23,910 Professional and business services 19,780 Financial activities 11. 2,730 Information • 800 Transportation,warehousing,and utilities ` 1,520 Retail trade IMMO 6,670 Wholesale trade4,960 Manufacturing (2,270) 1.1111Mil Construction I 1,090 Natural resources and mining • L190 Source:Oregon Employment Department includes Multnomah, Washington and Clackamas Counties. To estimate future development potential for Tigard,FCS GROUP evaluated the 10-year employment growth forecasts prepared by the Oregon Employment Department as well as the extrapolated employment growth forecasts from Metro. In light of the recent national economic recession that caused severe declines in Oregon employment(from 2007 through 2010),Metro's 2030 job forecast for Tigard is assumed to be achieved by year 2035 under the"medium forecast"scenario. As indicated in Appendix C, the 20-year job growth forecasts for Tigard indicate a more positive trend towards job growth for all industry sectors. According to Metro(and FCS GROUP interpretation of Metro data), the general sectors that are expected to grow the fastest in Tigard over the next 20 years include: services (+10,092 jobs);retail(+3,810 jobs),industrial/other(+1,324 jobs),and government (+882 jobs). The job growth projections indicate that Tigard should expect to experience significant redevelopment opportunities over the next 20-years. A range in employment forecasts is provided to take into account current weak market conditions and national economic expectations that expect lower-rates of job growth over the next several years.As indicated in Table 4,there is a great level of uncertainty i Itt:;fll "iii I;_...!A',it{ipnomn,18,< 7 regarding potential job growth for Tigard in light of weak regional and national employment growth predictions. Table 4. Forecasted 20-Year Employment Growth and Building Space Needs in Tigard Employment Growth Forecast Slow Moderate High Retail Trades 2,286 3,048 3,810 Services 6,055 8,073 10,092 Industrial/Other* 794 1,059 1,324 Government* 529 706 882 Total 9,665 12,886 16,108 Notes:See supporting analysis in Appendix C. *Metro employment growth forecasts for"Other"were allocated to 60% industrial/other and 40%government by FCS GROUP based on local observations and assumptions. Tigard is expected to add between 9,665 and 16,108 new jobs over the next 20 years.As indicated in Table 5,this amount of employment growth translates into approximately 4.2 to 7.1 million of new or renovated building square footage (floor area). Table 5. Forecasted 20-Year Total Buildin Space Needs in Tigard for Employment Employment Type Slow Moderate High Office 1,499,000 1,998,000 2,497,000 Institutional 170,000 227,000 285,000 Flex/Business Park 451,000 602,000 752,000 General Industrial 257,000 342,000 428,000 Warehouse 374,000 499,000 624,000 Retail 1,498,000 1,997,000 2,497,000 Total 4,249,000 5,665,000 7,083,000 Notes:See supporting analysis in Appendix C. Source: FCS GROUP. A large portion of this demand will need to be met by redevelopment and utilization of vacant buildings since large vacant undeveloped tracts of land are becoming increasingly scarce. It is estimated that redevelopment and utilization of vacant buildings is expected to accommodate 70%of the retail space demand, 50% of the service/office demand,40% of the industrial demand,and 40%of the government facilities demand. Table 6 shows the expected level of redevelopment and refill in the Tigard USB over the next 20 years. As the existing vacant land supply in Tigard gets developed, the level of redevelopment activity is expected to rise. Prime redevelopment locations in Tigard include Downtown and the Tigard Triangle, and future planned high capacity transit stations along Pacific Hwy. The City's Downtown Plan envisions 2,500 dwelling units and over one million square feet of commercial office and retail space being added over the next few decades. ;u.' '(Y I I I:cwinn.ic Table 6. Redevelopment and Refill Assumptions (2011 to 2031) Tigard USB Employment Type Slow Moderate High Office 1,004,000 1,339,000 1,673,000 Institutional 114,000 152,000 191,000 Flex/Business Park 203,000 271,000 338,000 General Industrial 116,000 154,000 193,000 Warehouse 168,000 225,000 281,000 Retail 899,000 1,198,000 1,498,000 Total 2,504,000 3,339,000 4,174,000 Source: FCS GROUP;derived from Appendix C, based primarily on Metro 2009-2035 Urban Growth Report(December2009 draft) and local assumptions. After accounting for the levels of redevelopment activity identified in Table 6, the amount of vacant land demand in Tigard for employment uses over the next 20-years is expected to range from 126 to 210 acres. Preliminary estimates for vacant lands needs in Tigard by general building type are provided in Table 7, and supporting assumptions are reflected in Appendix D and Appendix E. Table 7. Vacant Land Needs by General Land Use Zoning Classification (2011 to 2031) Tigard USB (gross buildable acres) Land Use Zoning Classification Slow Moderate High Commercial 51 68 85 Mixed Use 27 36 45 Industrial 48 64 80 Total 126 168 210 Source:FCS GROUP;derived from Appendix C, based primarily on Metro 2009- 2035 Urban Growth Report(December 2009 draft) and local assumptions. To help validate these assumptions,FCS GROUP conducted an additional analysis of retail sales inflow/outflow within Tigard. The retail analysis provided in Appendix D indicates that the amount of local retail trade in Tigard over the next 20 years could support an additional 1.4 million square feet of redevelopment or new development activity, even if current levels of retail sales inflow were cut by 50%. Hence,it appears that the"slow" or"land efficient"vacant land demand scenario is the best match with respect to the retail market potential for the Tigard USB. The actual amount and timing of new development will vary from year to year. The wide range in development forecasts reflects current uncertainty regarding the region's ability to retain and attract major employers, the City's desire to stimulate redevelopment in downtown,and limited ability to accommodate new commercial and industrial development on vacant lands. '.(0 I I:::onoutic t); portunitit:, '.n d -i. 9 Business Clusters Analysis It is a widely accepted theory among economic development professionals that"business dusters"are the primary force driving local economic currents and business location decisions. Clusters of business activity go well beyond mere concentrations of industry or employment types.They represent unique competitive market advantages with regard to employment,work force,creativity,entrepreneurship, business costs,and supporting natural resources. The dusters analysis prepared by FCS Group is intended to identify potential employment sectors that are most compatible with local economic policy objectives. The process entailed: 1. Obtaining Employment Security(ES202)wage and salary employment data from the Oregon Employment Department(OED) for the Tigard Urban Service Boundary(USB),Washington County,Multnomah County and Clackamas County(tri-county region) for the year 2008. 2. Conducting a location-quotient(LQ) analysis to evaluate business and industrial clusters in the • Tigard UGB relative to the tri-county region. 3. Evaluating business clusters within the Tigard UGB with regard to the LQ,projected growth rates, economic size of each duster,and average wage rates. 4. Classifying each business cluster with regard to one of four classifications,including: I. STARS:Businesses with large LQ(propensity to locate in the Tigard USB)and higher than average projected growth rate compared to the tri-county region. II. EMERGING:Businesses with small LQ and high average growth rate(possible pent up demand or competitive market disadvantage relative to other locations). III.MATURE:Businesses with large LQ but lower than average growth rate. IV. CHALLENGED:Businesses with small LQ and lower than average growth rate. The business cluster analysis summarized in Figure 2 identifies the business sectors within the Tigard USB by their LQ,size and growth potential.Each sector has been analyzed by their North American Industrial Classification System(NAICS) code. This code is used by the federal government to classify types of businesses for tax accounting and economic research purposes. The data was derived from the OED ES202 wage and salary employment statistics for the year ending in 2008. I igartl 01 I I:c1 i tfl1 .Opporttalities 1nah;i, !ft Figure 2 Existing Business Clusters in Tigard USB, 2008 27% Emerging: -- — ------_. . -- - - .---- (High Growth) aMh Care Stars 26% Small Cluster) -- I rot.a Toth. -—- - - (High Growth/ Services Large Cluster) 23% — 21% 19% Edocatiorral Services 17% .._- --' - - -- ---Prof.Admin:a YYast 16% At,Fnrar+alnmant ruuI a rhino( a R¢s. P +3w *rads 11% -- ----- 9% vemment Misc.Services etail Trade Average 10 year 7% o - - Job Growth=10% E, nfomutfon 6% p Lodging QTran ort.a 4111 3% W Warehousing inwn.,i.l m Activities 1% .O .� .. &mai-tau.i r r •� - .1% a.' Compute. Nondurable Dods 3% '--- - -Nerals Mfg. -•-- -6% -7% -11% Transport Equip. •15%l hallenged: )---Ur. (Low Growth -_ Mature: .17% Small Cluster) - .. _ .-- --_ (Low Growth) Large Cluster) Note:X-axis denotes the Location Quotient (LQ) average set at 1. All sectors to right of the yellow line have an LQ greater than 1;all sectors to the left of the yellow line have an LQ less than 1. Source:Oregon Employment Department;data compiled by FCS GROUP. The clusters analysis classifies the existing business sectors in the Tigard USB into four general categories: Industry Sectors with Large LQ/High Growth Potential ("Stars)") • Educational Services (private or non-profit) • Professional and Technical Services • Professional Administration and Waste Management Services • Wholesale Trade Industry Sectors with Small LQ/High Growth Potential ("Emerging") • Health Care and Social Services • Food Service and Drinking Places • Arts,Entertainment and Recreation Industry Sectors with Large LQ/Low Growth Potential ("Mature") • Retail Trade • Information Services • Financial Activities and Services • Construction • Nondurable Goods Manufacturing Industry Sectors with Small LQ/Low Growth Potential ("Challenged") • Transportation,and Warehousing • Miscellaneous Services • Metals Manufacturing • Computer Parts and Equipment Manufacturing • Lodging • Transportation Equipment Manufacturing • Government In addition to evaluating existing local business clusters,the City may also consider the expected regional growth in business sectors and emerging clusters.According to the Oregon Employment Department, the job sectors with the highest potential for new growth in the greater Portland metropolitan region include: • Business administration and waste management • Finance and insurance • Health care • Hotel/motel accommodations and food services • Professional • Retail trade • Scientific and technical service (computer science,engineering) • State and local government • Transportation and utilities (warehousing,distribution and energy research,private utilities) • Wholesale trade' While manufacturing of durable goods does not make the list of the top growth sectors, there are certain subsectors within manufacturing that are growing faster than others. The manufacturing sectors with the greatest net new job growth potential in the greater Portland metropolitan region include: computer-related parts manufacturing, transportation equipment,other miscellaneous durable goods (such as solar panels),and miscellaneous non-durable goods (such as apparel research and design). These emerging business clusters are documented in the Regional Wired Workforce Innovation and Regional Economic Development, Global Development Strategy, prepared by FCS GROUP et al, 2008. i i; n' 2011 ! (..,.. ' i rt^I;,) 'i:, iti r. is i> I2 The greater Portland metropolitan region is now considered an epicenter within the United States for sustainable technology. According to Global Insight, the greater Portland metropolitan region employs 6,700 people in"green jobs"which is more than Denver,Austin,Seattle and San Jose.The number of workers in green jobs (such as solar panel manufacturing,wind energy, bio energy research and manufacturing)is expected to increase to 53,000 over the next two decades. Portland General Electric and Pacific Power are ranked in the top three among the nation's top utility companies for Green Energy sales,and the greater Portland region has more LEED-certified buildings than any other U.S. metropolitan area. With the Portland metropolitan region,recent federal and state tax policies have helped spur major investments in green technology and energy by firms such as: SolarWorld,SunEdison,Vestas and Portland General Electric—creating a major new industrial cluster in clean technology. Additional investments in advanced manufacturing are being made by Intel,Flir Systems (producer of night vision and thermal imaging systems),Precision Castparts (maker of parts used in Vestas wind turbines,Boeing aircraft and other products),Genentech,and other firms.These are examples of manufacturing companies that are finding success within the greater Portland metropolitan region,even in challenging economic times. Focused marketing and business recruitment efforts are being made by the State of Oregon and regional economic development stakeholders to attract certain established and emerging business clusters. The business and industry clusters that are currently being targeted by the Oregon Business Development Department, Portland Business Alliance and the Portland Development Commission include advanced manufacturing,clean technology (with sustainability sub-clusters in green building, solar&wind power),active wear/outdoor gear,and software. Targeted Business Clusters According to its Community Economic Development Objectives,the City of Tigard may target businesses that generally offer above average wages and provide health care and retirement benefits that support families. According to the U.S. Bureau of Labor Statistics, the occupations that had the fastest growth and highest pay over the past 10 years nationally included: computer systems analysts,registered nurses, computer support specialists, teachers,social workers,college faculty,computer programmers, engineering sciences,police officers,securities and financial services,physicians,advertising,marketing, management analysts, electrical engineers,paralegals,writers/editors, commercial artists,medical and health service managers. It is interesting to note that almost two-thirds of the jobs filled in these fast growing occupations required some level of on-the-job training in addition to high school and a college degree.' In light of these findings, the consultant team and City staff recommend that Tigard focus on retaining and attracting a mix of existing and emerging business clusters that pay above average wages. This includes existing, established clusters, such as durable goods manufacturing(includes metals and machinery), education (private and non-profits), financial services,information (including software development),professional and technical services,and wholesale trade. They also recommend that the City focus on emerging clusters,including health care and advanced technology (i.e.,green energy) manufacturing and research operations. As indicated in Table 8, these recommended business clusters (with the exception of educational services) pay above average wage rates. 2 Based on findings contained in publications provided by JIST Works, including the Occupational Outlook Handbook, 2008-2009; and America's Fastest Growing Jobs by Michael Farr. I ig.:rd 2'F1 11.cun,miic Oppo t'miri a Anith •i` 13 Table 8. Summary of Existing Businesses in Tigard USB, 2008 Number Average Average of Entities Employment Annual Pay Total Private 2,914 41,032 $43,542 Natural resources and mining 6 21 $38,742 Construction 272 3,329 $56,080 Manufacturing 117 2,743 $54,300 Durable goods 53 1,814 $58,229 Metals and machinery manufacturing 36 897 $51,425 Computer and electronic product mfg. 15 774 $65,308 Transportation equipment manufacturing 2 143 $62,594 Nondurable goods 64 929 $46,628 Trade, transportation, and utilities 704 11,375 $36,742 Wholesale trade 333 2,987 $64,284 Retail trade 329 7,621 $25,407 Transportation, warehousing, and utilities 42 767 $42,114 Information 69 1,206 $66,469 Financial services 405 5,037 $58,459 Professional and business services 638 8,146 $45,971 Professional and technical services 449 3,858 $62,851 Administrative and waste services 189 4,288 $30,784 Educational and health services 269 5,037 $38,133 Educational services 55 2,912 $36,384 Health care and social assistance 214 2,125 $40,531 Leisure and hospitality 204 3,018 $16,579 Arts, entertainment, and recreation 23 184 $16,241 Accommodations and food services 181 2,834 $16,601 Accommodations 10 131 $20,072 Food services and drinking places 171 2,703 $16,433 Other services 230 1,120 $36,618 Government 5 390 $49,275 Total 2,919 41,422 $43,596 Notes:Shading indicates targeted business cluster. Source: Oregon Employment Department, 2008. Average payroll reflects Washington and Multnomah counties. SITE SUITABILITY ANALYSIS (LAND DEMAND) The majority of the targeted businesses that consider expanding or relocating into Tigard will consist of small business operations (less than 50 employees) that can locate within existing professional office or industrial buildings, or within new office or flex/industrial buildings that are developed on vacant sites of less than five acres in size. It is also likely that there will be larger potential business and high-tech industrial operations that consider Tigard as a potential location for new campus-style developments. Certain opportunities may emerge as regional businesses expand and desire to remain within the tri-county region. Other opportunities may occur as global and national businesses desire to establish a presence in the Pacific Northwest. In any event,it is likely that Tigard could attract three to four large professional service, health care,education, and/or high tech industrial businesses over the next 20 years. As indicated in Table 9,Tigard is already home to 41 large private business operations (with between 70-250 employees). Tigard could continue to retain and attract large businesses if adequate sites are available. These types of large private operations usually require surplus adjacent land areas to accommodate future business expansion. Table 9. Existing Private Businesses by Size Class, Tigard USB, 2008 _ Total Large Small/Medium Sector Establishments Establishments Establishments Number Jobs Number Jobs Number Jobs Natural resources and mining 6 21 -- -- 6 21 Construction 272 3,329 4 571 268 2,758 Manufacturing 117 2,743 10 1,300 107 1,443 Durable goods 53 1,814 10 1,300 43 514 Nondurable goods 64 929 -- -- 64 929 Trade, transport., utilities & 704 1 1,375 20 3,997 684 7,378 communications Wholesale trade 333 2,987 1 125 332 2,862 Retail trade 329 7,621 16 3,517 313 4,104 Transport., warehousing and 42 767 3 355 39 412 communications Information 69 1,206 2 376 67 830 Financial, professional & tech. 1,043 13,183 4 1,426 1,039 11,757 services Educational and health services 269 5,037 -- -- 269 5,037 Educational services 55 2,912 -- -- 55 2,912 Health care and social 214 2,125214 2,125 assistance - Leisure and hospitality 204 3,018 -- -- 204 3,018 Arts, entertainment, and 23 184 -- 23 184 recreation Accommodations and food 181 2,834181 2,834 services -- Other services 230 1,120 1 99 229 1,021 Total 2,914 41,032 _ 41 7,769 2,873 33,263 Notes: green shading indicates targeted business cluster. Source:Oregon Employment Deparxment,2008. Note:large establishments are those with at least 70 employees. The consultant/staff team recommends that Tigard provide a variety of small,medium and large vacant sites that meet the targeted business and industrial requirements. As indicated in Table 10,the existing businesses within Tigard can generally be grouped into three general land use categories:industrial, commercial and office. Table 10. Existing Private Businesses by Size Class and General Land Use or Building Type, Tigard USB, 2008 Primary Land Total Entities Large Entities4 Small/Medium Entities Use/Building Type Firms Jobs Firms Jobs _ Firms , Jobs Industrial ' 770 9,847 18 2,351 752 7,496 Commercial 2 763 11,759 17 3,616 746 8,143 Office 3 , 1,381 . 19,426 6 1,802 1,375 17,624 Total 2,914 41,032 41 7,769 2,873 33,263 Notes: 1 Reflects natural resources, construction, manufacturing, wholesale trade, transportation, warehousing, utilities, and communications sectors. 2 Reflects retail trades, lodging, accommodations, and misc. service sectors. 3 Reflects information, financial, professional and technical service, health care and educational service sectors. 4 Large establishments reflect establishments with at least 70 employees. Source:Oregon Employment Department,2008. Compiled by FCS GROUP. Most small and medium business establishments prefer to lease space in office or commercial buildings, and/or could locate into redevelopment sites in downtown or in selected redevelopment locations (e.g., near planned high capacity transit stations or within the Tigard Triangle). No special vacant land requirements are identified for future small or medium businesses. However, the City should pursue more proactive redevelopment strategies to accommodate small and medium sized businesses. Larger business establishments that are included within the targeted business clusters will likely have minimum site size and infrastructure service requirements.Typical site requirements for the larger targeted business sectors are described in Table 11 and described in more detail in Appendix F. Based on the site requirements described in Table 11 and Appendix F, the recommended targeted business clusters will need sites ranging from one to twenty-five acres,with a majority of the need falling in the five to ten-acre range. I i aru?(11 I IIc:oi ntie Oppon,:r.itie< \nal.<i< I 6 Table 11. Typical Site Size Requirements for Targeted Business Types Small Users Medium Users Large Users Less than 50 jobs 50 to 70 jobs 70 to 200+jobs per business per business per business Industrial Building tenants or 4 to 6 acres per user 6 to 20 acres per • Advanced Technology user Manufacturing infill • Metals/Machine redevelopment Prefers industrial or rY sites in established business park Prefers industrial or Manufacturing business park industrial locations settings • Wholesale Trade campus settings Office Building tenants or 2 to 4 acres per • Education infill 1 to 2 acres per user user* • Professional and redevelopment Technology. Services sites in town Prefers town center, Prefers business • Information center, regional corridors or transit park campus • Financial Services center, or transit station areas setting with transit • Health Care* station areas service Retail Not in Targeted Clusters Notes:Assumes site development requirements shown in Appendix F. *Larger medical facility campus could require 15 to 30 acres. INVENTORY OF SUITABLE SITES (LAND SUPPLY) Consistent with the employment land demand forecast, the buildable land inventory (BLI) for the Tigard EOA documents industrial and commercial inventory that currently exists within the Tigard Urban Planning Area (UPA). This analysis documents existing land use inventories and compares industrial and commercial land use needs required for addressing the slow,moderate and high growth forecast scenarios. Employment Land Inventory The Tigard EOA includes a recent buildable land inventory completed by the City of Tigard Planning staff using Geographic Information Systems (GIS) data that is consistent with the current Draft 2009- 2035 Urban Growth Report (accepted by Metro Council in December 2009). The City's BLI included an analysis of existing vacant and partially vacant (sub-dividable) tax lots by current zoning classification and deducted all significant environmental constraints to estimate buildable land area within the Tigard USB. The land supply analysis focused on the land use classifications that support employment uses,including commercial,mixed-use, and industrial zones. The City has 10 commercial zones to account for a wide variety of uses ranging from retail to medical centers to mixed use centers. Tigard has three zones which accommodate industrial uses. Please refer to Appendix E for a detailed description of the allowed,conditional,and permitted uses within each of the City's zone classifications. The buildable land area for each tax lot was derived by analyzing GIS data pertaining to environmental features that would constrain the amount of potential site development on vacant and partially vacant areas. For purposes of this analysis, the environmental constraints were calculated for each site using estimates for land area that is constrained by the following: Metro Title 3 designation (waterways, wetlands,riparian buffers, 100 year floodplain). The vacant and partially vacant land inventory for the Tigard UPA includes 125 tax lots with a total buildable land area of 136.1 acres,as indicated in Table 12. Tigard's vacant land supply primarily consists of small (less than one acre) tax lots and tax lots between one and five acres in size.As indicated in Table 12,the tax lots of less than five acres in size comprise 79.3 acres or nearly sixty percent of the total vacant land supply. The larger tax lots include three lots of five to ten acres (22.1 acres total),and two contiguous tax lots more than ten acres in size (34.7 acres total). Please refer to Appendix G for additional detail. Table 12. Distribution of Vacant and Part Vacant Lands by General Land Use Zone Classification, Tigard USB Vacant and Partially Vacant Property < 1 acre 1 to 5 acres 5 to 10 acres > 10 acres Total Lots Acres Lots Acres Lots Acres Lots Acres Lots Acres Commercial 26 9.5 8 20.2 2 16.4 0 0 36 46.1 Mixed Use 63 25.3 6 8.9 1 5.7 0 0.0 70 39.9 Industrial 12 4.2 5 11.2 0 0.0 2 34.7 19 50.1 Total 101 39.0 19 40.3 3 22.1 2 34.7 125 136.1 Source:City of Tigard. As mentioned in the Site Suitability Analysis,the recommended targeted business clusters will need sites ranging from one to twenty-five acres to expand or locate within the Tigard UPA,with a majority of the need falling in the five to ten-acre range. The City appears to have a range of sites available to accommodate the targeted business clusters. However redevelopment sites may be needed to accommodate development needing five to ten-acre parcels. In light of the importance of redevelopment to the City's ability to grow and diversify its economic base,the City and consultant team also evaluated the relative level of high,medium and low redevelopment potential for each developed tax lot in the Tigard UPA. While this is not a stated requirement within OAR 660,Division 9,it is considered an important factor in deciding which land use growth scenario to target. The analysis of redevelopment opportunities is based on the ratio of assessed improvement value to land value for each tax lot using 2010 Washington County Assessor data. The results provided in Table 13 indicate that there are significant amounts of high and moderate redevelopment potential within the Tigard USB. The redevelopment analysis identifies 169 tax lots with a total of 115.6 acres as having"high" redevelopment potential, and 180 tax lots with 166.6 acres as having"moderate" redevelopment potential. Table 13. Analysis of Redevelopment Tax Lots by General Land Use Zone Classification, Tigard USB City of Tigard Redevelopable Potential (Improvement to Land Value)* High (< 0.33) Moderate (0.33 to 1.00) Low (> 1.00) Lots Acres Lots Acres Lots Acres Commercial 19 7.2 31 17.8 199 299.8 Mixed Use 132 81.4 124 89.9 232 344.3 Industrial 18 27.0 25 58.8 146 437.9 Total 169 115.6 180 166.6 577 1,082.0 Notes: 'Improvement to Land Value calculated from Washington County Tax Assessor data (Sept 2010). 2 196 Properties contained a zero Improvement or Land Value and are not represented here. Source: City of Tigard. Short-Term Land Supply Determination In addition to the long-term land supply,OAR 660-009-0005 also requires the identification of a short- term supply of land meaning"suitable land that is ready for construction within one year of an application of a building permit or request for a service extension." OAR 660-009-0025 also requires that cities must provide "at least 25 percent of the total land supply within the urban growth boundary designated for industrial and other employment uses as short-term supply." In Tigard's case,all of the land supply currently included within the Tigard UPA is deemed by the City to be within the short-term supply category. Hence, there are existing roads,water,sewer,and other infrastructure facilities that are sized appropriately to handle some level of new development on the remaining vacant tax lots. One issue the City has been dealing with is that of highway capacity.This will continue to be an issue until a regional solution is found. This constraint was the cause of a maximum floor-to-area ratio of 0.4 being applied to the Tigard Triangle when a portion of it was rezoned to mixed-use employment. This severely limits the ability to maximize the development potential of available sites. It also causes proposed developments to provide mitigating measures when it is determined the increased vehicle trips will not meet ODOT performance measures.This can be financially constraining to a project if additional lanes,medians,or intersection improvements are required to be paid for by the development. Additionally, the Transportation Planning Rule (OAR 660-12-0600) and related ODOT performance standards for the state highways have presented a barrier to Tigard achieving its aspirations. This includes amending existing Toning to allow higher density developments that are consistent with the Region 2040 land use designations. The TPR requires an amendment to an adopted plan not cause an affected roadway to fail to meet performance standards,or if the forecast roadway operations are already failing to meet performance standards, the plan amendment must not further degrade performance. This is a known issue in Downtown,Washington Square Regional Center,along Pacific Highway, and in the Tigard Triangle,and may also arise in other areas near state highways or freeway interchanges. These issues are being addressed at the state and regional levels and could be somewhat mitigated as the City,Metro, and ODOT work to develop alternative performance standards through a corridor refinement plan for Pacific Highway.The Pacific Highway corridor is also being studied for potential high-capacity transit service in the future.The presence of high-capacity transit could also alleviate some of the issues associated with ODOT performance measures by allowing new development to allocate additional trips to transit and reduce automobile trip demand. Strategies to promote transit- oriented development and address ODOT capacity issues are recommended as part of the implementation plan policies for the Tigard EOA. ASSESSMENT OF POTENTIAL(RECONCILIATION OF DEMAND AND SUPPLY) Short-Term Land Need Determination Commercial and industrial properties appear to dearly meet the statutory requirements for short-term land supply,as all of the long-term land supply can be classified as short-term as well as long-term supply. Industrial and commercial properties appear to be well served with adequate infrastructure,and there is an abundant supply of vacant industrial,office and retail building floor area being actively marketed in the Tigard USB today. Long-Term Land Need Determination Consistent with EOA documentation requirements,the economic trends analysis of land needs scenarios and the business clusters analysis indicates that the Tigard UPA can add approximately 794 net new industrial jobs without needing to add additional industrial-zoned land over the next 20 years. In light of current downward trends in industrial business activity,the land efficient need scenario appears to be most consistent with regional growth forecasts and anticipated market realities. Industrial Land Need and Parcel Requirements As indicated in Table 13,the land efficient need scenario assumes 48 acres of net new industrial vacant land demand,which is just below the estimated vacant industrial land supply of 50 acres. If the City opts to pursue a more aggressive economic growth strategy that is consistent with the moderate or high land need scenario,the City would need to identify another 14 to 30 acres of vacant industrial land area to meet the level of industrial demand associated with adding another 1,059 to 1,324 industrial jobs. In light of the City's rather limited remaining vacant industrial land supply of tax lots in excess of five acres,the consultant/staff team recommends that the City adopt economic goals and objectives that preserve the remaining large contiguous industrial sites for large industrial employment users.A preliminary expected forecast of demand by parcel size is also provided in Table 14,and assumes that virtually all of the remaining vacant industrial land supply within the Tigard UPA will be absorbed over the next 20 years. I igard 301 I Economic(lhl;unnniti,, 20 Table 14. 20-Year Industrial Demand Forecast and Vacant Land Supply, Tigard USB Efficient Land Moderate Land High Land Land Demand and Supply Need Scenario Need Scenario Need Scenario Demand for Vacant Industrial 48 64 80 Land Supply of Vacant Industrial Land 50 50 50 Land Surplus or (Deficit) 2 (14) (30) Existing Forecast of Preliminary Parcel Distribution, Unconstrained Parcel Size Surplus Efficient Land Need Forecast , Supply(tax Demand (tax lots) lots) (tax lots) 1/ Less than 1 acre 12 10 2 1 to 5 acres 5 5 0 5 to 10 acres 0 0 0 10 to 20 acres 2 2 0 20+ acres 0 0 0 Total 19 17 2 Notes: Tax lot demand forecast expected to meet or exceed supply in 20 years. Source:Based on findings included in demand and supply analysis. Commercial Land Need and Parcel Requirements As indicated in Table 15,the land efficient needs scenario assumes 78 acres of net new commercial and mixed-use vacant land demand,which is just below the estimated vacant land supply of 86 acres. As with the industrial land needs,an economic growth strategy that is consistent with the moderate or high land needs scenario would require the City to identify an additional 19 to 45 acres of vacant commercial and mixed-use land to meet the demand. . In light of the City's rather limited remaining vacant commercial and mixed-use land supply of lots in excess of five acres, the consultant/staff team recommends that the City adopt economic goals and objectives that preserve the remaining large contiguous commercial sites for strategic commercial retail and office employment users,and allow housing in these areas,only as part of a mixed-use development. A preliminary expected forecast of demand by parcel size is also provided in Table 15, and assumes that virtually all of the remaining vacant commercial land supply over one acre in size within the Tigard UPA will be absorbed over the next 20 years. The City also anticipates the development of high-capacity transit along the Pacific Highway corridor. The region has made a commitment to high-capacity transit and this corridor is the next to be studied. Any development of high-capacity transit would trigger the City to identify station areas to accept higher, transit supportive mixed-use densities. The logical locations for station areas would more than likely result in the rezoning of general commercial lands to mixed-use zoning. As both commercial and mixed-use zoned lands are included in this analysis,any rezoning would not decrease the amount of vacant or partially vacant land available. The range of allowed uses, from retail to multi-story office buildings,would not be affected. Table 15. Reconciliation of Long-term Land Demand and Supply Commercial and Mixed Use 20-Year Land Use Forecast (gross buildable acres), Tigard USB Low Land Need Medium High Land Land Demand and Supply Scenario Land Need Need Scenario Scenario Demand for Vacant Commercial 78 105 131 Land Commercial Demand 51 68 85 Mixed-Use Demand 27 36 45 Supply of Vacant Commercial 86 86 86 Land Commercial Zoned Supply 46 46 46 Mixed-Use Zoned Supply 40 40 40 Land Surplus or (Deficit) 8 (19) (45) Preliminary Parcel Distribution, Existing Supply Forecast of Surplus Demand Efficient Need Forecast (tax lots) (tax lots) (tax lots) Less Than 1 acre 89 30 59 1 to 5 acres 14 14 0 5 to 10 acres 3 3 0 10 to 20 acres 0 0 0 20+ acres 0 0 0 Total 106 47 59 Source:FCS GROUP, based on findings included in demand and supply analysis. Planning, Market, Cost and Risk Factors Consistent with EOA documentation requirements, the economic trends analysis, stakeholder interviews and business clusters analyses indicate that the Tigard USB is uniquely positioned within the greater Portland metropolitan region to experience continued success in retaining and attracting businesses and economic development. Risk of Losing Large Commercial and Industrial Sites As Tigard's vacant land supply of large parcels (more than five acres) becomes diminished, the City could risk losing economic growth potential if remaining larger industrial and commercial sites allow non-employment uses that displace prospective business opportunities. While the current short-term employment market is sluggish at best,the future long-term job growth trends bode well for Tigard if it preserves large commercial and industrial zoned parcels for intended business activity.These risks can be mitigated in part by adopting new economic development objectives that preserve large commercial and industrial areas for desired commercial and industrial business activities. Risk of Not Adequately Preparing for Targeted Area Redevelopment As Tigard's population and employment levels increase with time,and vacant land diminishes, the City will need to rely more upon redevelopment areas,and productivity increases from existing developed lands and businesses to achieve long-term economic strength and diversity. New economic development objectives should be formulated to enable the City to leverage desired redevelopment in targeted locations such as downtown,and within planned transit-station communities. Risk of Expanding the USB in the Future Beyond the 20-year forecast time horizon the City should consider the need to grow into urban reserve locations,if the City's investment in infrastructure extensions yields a favorable return to its residents and businesses.An Urban Planning Area expansion is not necessary at this time to accommodate industrial and other employment land needs for the next 20 years,unless the City opts to pursue the moderate or high land needs scenario to accommodate additional commercial and industrial job growth. Planning and Permitting Risks The City should review its land use development code to ensure that it preserves sites for their intended use,yet is flexible enough to accommodate a full diversity of commercial and light industrial uses consistent with public safety,public facilities,and positive urban design characteristics.The ability to provide a streamlined and predictable permitting process can be a challenge as the City relies more on smaller infill and redevelopment sites to accommodate business growth. Non-Local Regulatory Risks The City is dependent upon ODOT to achieve higher trip caps in targeted redevelopment areas. As the City and Metro pursue high capacity transit facilities and assessed service levels,these regulatory risks may be addressed by assuming higher non-vehicle mode shares that result in reduced traffic impacts from new development. Most of the risk factors described above may be addressed by the City of Tigard. Others will require partnerships with regional and state regulatory agencies, such as Metro,Washington County and ODOT. The City can take a leadership position by providing a local planning and permitting environment that is favorable to business investment and more proactive economic marketing to raise awareness of Tigard's strengths as a preferred location for over 2,900 existing business establishments. IMPLEMENTATION POLICIES AND ACTION MEASURES OAR 660-009-0020 stipulates that comprehensive plans must provide community economic development objectives,a commitment to providing a competitive short-term land supply,and identification and provision of adequate sites and public facilities to serve economic development demand. Since the City of Tigard updated the economic development chapter of its Comprehensive Plan in 2008,the document contains a fairly complete set of economic development goals, policies and action measures. The following is a list of topics and recommended policy updates to comply with state statutes and/or implement the City's economic goals. Policies Community Economic Development Objectives (CEDOs) The majority of these objectives are already embedded in existing policies. Two new policies are recommended: "The Ciy shall encourage neighborhood commercial uses that support economic opportunities, multi-modal transportation options, neighborhood vitality, and the goals of efficient land use patterns." :g;ri ?u I 1 I e'n,mic(1pportunitic. ' 23 'The Ciy shall encourage businesses that are environmentally and economically sustainable." Commitment to Provide Adequate Sites and Facilities and Commitment to Provide a Short-Term Land Supply of Land The commitment to provide adequate public facilities is embedded in existing Policy 9.1.4 of the Comprehensive Plan. One new policy is recommended to describe the commitment to provide adequate sites and a short-term land supply: 'The Go shall monitor and update its Buildable Lands Inventor'to ensure adequate short and long-team supplies of buildable employment land" Provide for Prime Industrial Land Development on Large Lots Existing Policy 9.1.7 addresses the need to protect prime industrial land but does not address the need for large lots. It is recommended the policy be revised as follows: "The City shall limit the development of retail and service land uses in Metro-designated industrial areas, and especially on lots of 10 or more acres, to preserve the potential of these lands for industrial jobs." Promote Targeted Redevelopment in Downtown and other areas This issue is addressed by several existing policies and recommended action measures,but most directly by Policy 9.3.1: "The City shall focus a significant portion of future employment growth and high- density housing development in its Metro-designated Town Center(Downtown);Regional Center (Washington Square);High Capacity Transit Corridor(Hwy 99W);and the Tigard Triangle." No new language is proposed. Recommended Action Measures Assist property owners with the Oregon Industrial Site Certification Process A new recommended action measure is suggested: `Assist propel y owners with the Oregon Industrial Site Certification Process to help preserve and market the City's inventory of industrial lands." Economic Development Marketing and Incentives Directed Towards Strategic Clusters This issue is addressed indirectly by several recommended action measures,but could benefit from more concise language. A new recommended action measure is suggested: `fExplore an economic development marketing and incentives program targeting strategic business clusters." Work with ODOT to address mobility standards Capacity issues on state highways (particularly Pacific Highway,Hwy. 217,and Interstate 5) impact economic development opportunities through trip caps,limited floor-to-area ratios,and required road improvements that are expensive.The conversation is just getting started at the regional level. A new recommended action measure is suggested: 'Work with state and regional partners to develop alternative mobiliy standards that will benefit the community and its economic developmentefforts." f it.ir: 2()I i IC /MR ;,!,n i,:is ;r: i• 2.1 Monitor Local and Regional Economic Development Initiatives This request from the Planning Commission led to a suggested new recommended action measure: `Monitor local and regional economic development initiatives to assess their effectiveness related to cost and outcome." Metro Designated Centers and Corridors Based on a resolution passed by the Tigard City Council,Metro recently amended its Growth Concept Map expanding the Tigard Town Center Boundary to include the entire Tigard Urban Renewal District and the Tigard Triangle. The City is required to adopt this change into its Comprehensive Plan. Staff recommends adopting a definition that will refer to the Metro Growth Concept Map, thus eliminating the need to amend the Tigard Comprehensive Plan each time the Metro Growth Concept Map is amended. i . APPENDIX A - OFFICE LEASING ACTIVITY SUMMARY, MID-YEAR REPORT OFFICE Leasing Activity,Mid-Year 2010(as of June 30,2010) Class A Market Statistics Mid-Year 2010 Existing Inventory Vacancy YTD Net YTD Under Const Quoted Market #Builds Total RBA Total SF Vac% Absorbtion Deliveries SF Rates Central Business District 41 11,389,435 1,412,066 12.4% (135,590) 368,800 62,200 $24.42 Suburban 141 17,234,745 2,225,626 12.9% (130,126) - - $23.74 Tigard 6 509,087 151,931 29.8% (13,097) - - $23.93 217 Corridor/Beaverton 12 1,142,430 303,750 26.6% (15,550) - - $21.77 Kruse Way 19 1,961,855 495,615 25.3% (26,228) - - $26.05 Barbur Blvd/Capitol Hwy - - - - - - $0.00 Tulalatin 4 361,270 154,503 42.8% 5,604 - - $24.31 Wilsonville 4 325,501 55,071 16.9% - - - $24.77 Total - 182 P 28,624,180 3,637,692 12.7%,_ (265,716) 368,800_ 62,200 $24.01 Class 8 Market Statistics Mid-Year 2010 Existing Inventory Vacancy YTD Net YTD Under Const Quoted Market #Builds Total RBA Total SF Vac% Absorbtion Deliveries SF Rates Central Business District 130 9,423,902 927,523 9.8% 61,787 - - $20.18 Suburban 1,155 30,095,314 4,345,461 14.4% (62,639) 14,000 268,854 $17.82 Tigard 83 1,979,955 277,469 14.0% 12,806 - - $20.88 217 Corridor/Beaverton 72 1,719,571 314,759 18.3% 5,148 - - $16.40 Kruse Way 26 728,262 93,241 12.8% (14,059) - - $20.76 Barbur Blvd/Capitol Hwy 42 890,672 121,398 13.6% 2,337 - - $16.79 Tulalatin 30 704,815 105,798 15.0% (7,289) - - $19.36 Wilsonville 17 622,051 30,169 rir 4.8% (10,369) - - $16.71 Total 1,285 -39,519,216 5,272,984 13.3%� (852) 14,000 268,854 $18.38 Class C Market Statistics Mid-Year 2010 Existing Inventory Vacancy YTD Net YTD Under Const Quoted Market #Builds Total RBA Total SF Vac% Absorbtion Deliveries SF Rates Central Business District 177 4,093,913 489,486 12.0% 11,201 - - $17.49 Suburban 2,815 18,283,763 129,081 0.7% 68,665 - - $14.36 Tigard 97 662,182 66,493 10.0% (3,199) - - $15.60 217 Corridor/Beaverton 82 609,431 70,635 11.6% 1,202 - - $14.50 Kruse Way 19 133,044 2,452 1.8% - - - $18.00 Barbur Blvd/Capitol Hwy 120 846,865 99,822 11.8% (5,090) - - $15.60 Tulalatin 20 119,561 29,278 24.5% (5,598) - - $14.73 Wilsonville 21 103,496 2,681 2.6% 5,609 - - $17.21 Total 2,992 22,377,676_ 618,567_ 2.8%_ 79,866 - - $14.93 Class B and C Market Statistics Mid-Year 2010 Existing Inventory Vacancy YTD Net YTD Under Const Quoted Market #Builds Total RBA Total SF Vac% Absorbtion Deliveries SF Rates Central Business District 307 13,517,815 1,417,009 10.5% 72,988 - - $19.37 Suburban 3,970 48,379,077 4,474,542 9.2% 6,026 14,000 268,854 $16.51 Tigard 180 2,642,137 343,962 13.0% 9,607 - - $19.56 217 Corridor/Beaverton 154 2,329,002 385,394 16.5% 6,350 - - $15.90 Kruse Way 45 861,306 95,693 11.1% (14,059) - - $20.33 Barbur Blvd/Capitol Hwy 162 1,737,537 221,220 12.7% (2,753) - - $16.21 Tulalatin 50 824,376 135,076 16.4% (12,887) - - $18.69 Wilsonville 38 725,547 32,850 4.5% (4,760) - - $16.78 Total 4,277 61,896,892_ 5,891,551 9.5% 79,014 14,000 268,854 $17.14 Quoted Rates for Class B and C table ore weighted average of individual B and C markets according to the total RBA inventory Source:CoStar Office Report Mid-Year 2010;Capacity Commercial Group. APPENDIX B: INDUSTRIAL LEASING ACTIVITY, MID-YEAR 2010 REPORT Flex Building Market Statistics Mid-Year 2010 Existing Inventory Vacancy YID Net YTD Under Const Quoted Market #Builds Total RBA Total SF Vac% Absorbtion Deliveries SF Rates Central Business District 3 45,000 10,000 22.2% - - - $16.50 Suburban 741 18,956,577 2,268,793 12.0% (336,814) 70,020 - 510.23 Tigard 50 1,277,751 170,855 13.4% (12,799) - - $12.30 217 Corridor/Beaverton 87 2,204,502 419,258 19.0% (69,237) - - $11.77 Kruse Way 2 88,928 - 0.0% - - - $0.00 Barbur Blvd/Capitol Hwy 7 53,681 6,771 12.6% 5,100 - - $10.35 Tulalatin 14 430,840 23,229 5.4% (2,531) - - $7.54 Wilsonville 29 1,661,734 201,334 12.1% (18,316) 7,020• - $9.31 Total 744 19,001,577 2,278,793 ' 12.0% (336,814) 70,020 - $10.24 Warehouse Building Market Statistics Mid-Year 2010 Existing Inventory Vacancy YTD Net YTD Under Const Quoted Market #Builds Total RBA Total SF Vac% Absorbtion Deliveries SF Rates Central Business District 41 1,616,833 141,090 8.7% (1,843) - - $5.78 Suburban 4,694 167,214,476 13,813,643 8.3% 91,337 119,723 415,000 $5.55 Tigard 119 4,394,617 339,683 7.7% 57,333 - - $6.38 217 Corridor/Beaverton 75 3,332,391 471,805 14.r% 31,770 - - $6.30 Kruse Way 13 301,069 3,378 1.1% 10,240 - - $7.20 Barbur Blvd/Capitol Hwy 17 209,963 5,000 2.4% 8,000 - - $6.16 Tulalatin 221 8,453,141 675,494 8.0% (39,805) - - $5.20 Wilsonville 83 6,155,906 1,268,475 20.6% 47,351 - - $5.95 Total 4,735_ 168,831,309 13,954,733 8.3% 89,494 119,723 415,000 $5.55 Total Industrial Market Statistics Mid-Year 2010 Existing Inventory Vacancy YTD Net YTD Under Const Quoted Market #Builds Total RBA Total SF Vac% Absorbtion Deliveries SF Rates Central Business District 44 1,661,833 151,090 9.1% (1,843) - - $7.16 Suburban 5,435 186,171,053 16,082,436 ' 8.6% (245,477) 189,743 415,000 $6.19 Tigard 169 5,672,368 510,538 " 9.0% 44,534 - - $7.68 217 Corridor/Beaverton 162 5,536,893 891,063 ' 16.1% (37,467) - - $807 Kruse Way 15 389,997 3,378 • 0.9% 10,240 - - $7.20 Barbur Blvd/Capitol Hwy 24 263,644 11,771 ▪ 4.5% 13,100 - - $8.01 Tulalatin 235 8,883,981 698,723 r 7.9% (42,336) - - $5.29 Wilsonville 112 7,817,640 1,469,809 • 18.8% 29,035 7,020 - $6.72 Total - 5,479 187,832,886 16,233,526 8.6%_ (247,320) 189,743 415,000 $6.20 Source:CoStar Office Report Mid-Year 2010;Capacity Commercial Group. APPENDIX C: ANALYSIS OF EMPLOYMENT AND SPACE NEEDS Projected Tigard Employment, Medium Forecast Scenario, 2005-2035 Chan e 2005 Proj. 2035 Jobs yo Retail Trades 9,854 14,426 _ 4,572 46%_ Services 11,372 23,482 12,110 106% Industrial/Other* 12,049 13,637 1,588 13% Government* 8,033 9,092 1,059 13% Total 41,308 60,637 19,329 47% Source:Metro adopted housing and employment growth forecasts, 2007;Metroscope Gen. 2.3. Assumes allocation of"Other"jobs at 60%industrial. and 40%government. In light of the recent national economic recession that caused severe declines in Oregon employment from 2007 through 2010, Metro's 2030 job forecast for Tigard is assumed to be achieved by year 2035 under the "medium forecast"scenario. Projected Tigard Net New Average Annual Employment Forecast(1 Year Forecast) Low Medium High Retail Trades 114 152 191 Services 303 404 505 Industrial/Other* _ 40 53 66 Government* 26 35 44 Total 483 644 805 Projected Tigard Net New 20-Year Employment Forecast Low Medium High Retail Trades 2,286 3,048 3,810 _ Services 6,055 8,073 10,092 Industrial/Other` 794 1,059 1,324 Government* 529 706 882 Total 9,665 12,886 16,108 figard 2011 I'con,niiL(.'pp),un'iir. .'...... i. :; APPENDIX C: ANALYSIS OF EMPLOYMENT AND SPACE NEEDS (CONTINUED) Job Sectors and Building Type Assumptions Flex/Bus. Gen. ;Employment Sectors Office Institutional Park Industrial Warehouse Retail Total :Retail Trades 5% 1% 6% 0% 12% 76% 100% :Services 72% 1% 5% 1%- 1% 20% 100% :Industrial/Other 8% 0% 50%+ 40% 2% 0% 100% Government 43%_ 37% 5% 0% 0%_ 15% 100% :Source: Metro Draft 2009-2030 Urban Growth Report;modified to reflect local observations. Proj. Tigard Net New 20-Year Employment Forecast by Building Type, Low Flex/Bus. Gen. Office Institutional Park Industrial Warehouse Retail Total Retail Trades 114 23 137 - 274 1,737 2,286 iServices 4,360 61 303 61 61 1,211 6,055 Industrial/Other* 64 - 397 318 16 - 794 Government* 228 196 26 - - 79 529 i - Total 4,765 279 863 378 351 3,028 9,665 ! Proj.Tigard Net New 20-Year Employment Forecast by Building Type, Medium Flex/Bus. Gen. Office Institutional Park Industrial Warehouse Retail Total .Retail Trades _ 152 30 183 - 366 2,316 3,048 Services 5,813 81_ 404 81 81 1,615 8,073 Industrial/Other* 85 - 529 424 21 - 1,059 Government* 304 261 35 - - 106 706 !Total 6,353 372 1,151 504 468 4,037 12,886 :Proj. Tigard Net New 20-Year Employment Forecast by Building Type, High Flex/Bus, Gen. Office Institutional Park Industrial Warehouse Retail Total Retail Trades 191 38 229 - 457 2,896 3.810 'Services 7,266 101 505 101 101 2,018 10,092 industrial/Other* 106 - 662 529 26 - 1,324 !Government* 379 326 44 - 132' 882 `Total 7,942 465 1,439 630 585 5,046 16,108 Source:FCS GROUP based on Metro Draft 2009-2030 Urban Growth Report;modified to reflect local observations. APPENDIX C: ANALYSIS OF EMPLOYMENT AND SPACE NEEDS (CONTINUED) Building Type to Land Needs Assumptions' Flex/Bus. Gen. Office Institutional Park Industrial Warehouse Retail Refill/Redevelopment Rate 1 67% 67% 45% 45% 45% 60% Jobs Needing Vacant Land Rate 2 33% 33% 55% 55% 55% 40% Building SF Per Job 2 370 630 550 700 1,100 510 Floor-Area-Ratio 2 0.50 0.50 0.31 0.30 0.30 0.30 Public Facility Net:Gross Adjustment' 1.101 1.05 1.10 1.05 1.05 1.10 Work at Home Adjustment 4 0.15 0.03 0.05 0.03 0.03 0.03 *assumptions are intended to reflect a long-term average over 20 years, some"ramp up"is expected to attain these density levels. 1/Adjusts for building refill&vacancy allowances. 2/Building density derived from Metro UGR assumptions. 3/Allowances take into account land dedicated to public/utility easements. 4/Allowance based on national statistics by US Dept. of Labor,Bureau of of Labor Statistics, Technical information: "Work at Home i Source:assumptions are generally consistent with the Metro Draft 2009-2030 Urban Growth Report;modified to reflect local observatio Proj.Tigard Net New 20-Year Redevelopment Building Space Needs(Floor Area) Flex/Bus. Gen. Office Institutional_ Park Industrial Warehouse Retail Total Low 1,004,000_ 114,000 203,000 116,000 168,000- 899,000 2,504,000 Medium 1,339,000 152,000 271,000 154,000 225,000 1,198,000 3,339,000 High 1,673,000 191,000 338,000 193,000 281,000 1,498,000 4,174,000 Proj.Tigard Net New 20-Year Building Floor Area on Vacant Lands(Floor Area) Flex/Bus. Gen. Office Institutional Park Industrial Warehouse Retail Total Low 495,000 56,000 248,000 141,000 206,000 599,000 1,745,000 Medium 659,000 75,000 331,000 188,000 274,000 799,000 2,326,000 High 824,000_ 94,000 414,000 235,000 343,000 999,000 2,909,000 Proj.Tigard 20-Year Vacant Lands(gross buildable acres) Flex/Bus. Gen. Office •Institutional Park Industrial Warehouse Retail Total Low 25 3 20 11 17 50 126 Medium 33-, 4 27 15 22 67 168 High 42_ 5_ 34 19 28 84 210 APPENDIX C: ANALYSIS OF EMPLOYMENT AND SPACE NEEDS (CONTINUED) Land Use Assignment Assumptions Flex/Bus. Gen. Local Zoning Classification Office Institutional Park Industrial Warehouse Retail Commercial 50%- 60% 20% 10% 10% 60% Mixed Use 40% 20% 5% 5% 0% 30% Industrial 10% 20% 75% 85% 90% 10% Total 100% 100% 100%_ 100%__ 100% 100% Assumptions by FCS GROUP and Tigard based on local observations. Proj.Tigard 20-Year Vacant Land Needs Forecast by Zoning Classification,Low Flex/Bus. Gen. Land Use Classification Office Institutional Park Industrial Warehouse Retail Total Commercial 13 2 4 1 2 30 51 Mixed Use 10 11 1 - 15 27 Industrial 3 17 15 10 15 5 48 Total 25_ 3 20 11 17 50 126 Proj.Tigard 20-Year Vacant Land Needs Forecast by Zoning Classification,Medium Flex/Bus. Gen. Land Use Classification Office Institutional Park Industrial Warehouse Retail Total Commercial 17 2 5 2 2 40 68 Mixed Use 13 1 1 1 - 20 36 Industrial 3 1 20 13 20 7 64 Total 33 4 27 15 22 67 168 Proj.Tigard 20-Year Vacant Land Needs Forecast by Zoning Classification,High Flex/Bus. Gen. Land Use Classification Office Institutional Park Industrial Warehouse Retail Total Commercial 21 3 7 2 3 50 85 Mixed Use 17 1 2 1 - 25 45 Industrial 4 1 25 16 25 8 80 Total 42 5 34 19- 28 84 210 Summary of 20-Year Vacant Land Demand Forecast by Zoning Classification,Tigard USB(with current zoning regulations) Land Use Classification Low Medium High Commercial 51 68 85 Mixed Use 27 36 45 Industrial 48 64 80 Total 126 168 210 Assumptions by FCS GROUP based on Dec. 2009 Metro 2009-2035 Urban Growth Report assumptions and local observations. APPENDIX D: ANALYSIS OF RETAIL INFLOW/OUTFLOW Analysis of Retail Development Potential Tigard Area 2010 to 2030 Est.2010 Population in City 48,100 Proj.2030 Population in City 62,278 Analysis of Effective Buying Income(EBI) Est.2010 Per Capita hcome 1/ $33,000 Prof.2030 Per Capita Income 1/ $36,462 EsL 2010 Aggregate 63I(000) $1,587,300 Proj.2030 Aggregate EBI(000) $2,270,749 Change in Aggregate EBI(000) $683,449 Future 2030 Supportable Retail Development Analysts of Existing&Future Retail Sales Potential 2010 2030 Retail Retail Distributi Buying Buying Total on of Power Power Change Sales Sales Support Supportable Local from from in Retail Attributed Attibuted able Sq.Ft.of New Income by Local Local Buying to Local to Retail Retail Retail Store Residents Residents Power Residents Inflow Sales Development Store Group Group 2/ (000)2/ (000)2/ (000) (000) (000)4/ (000) 5/ Food Stores 8.3% $131,746 $188,472 $56,726 $51,054 $12,763 $63,817 236,000 Eating&Drinking 5.0% $79,365 $113,537 $34,172 $30,755 $13,181 $43,936 162,000 Gen.Merchandise 5.5% $87,302 $124,891 $37,590 $33,831 $27,680 $61,510 227,000 Furniture,Fixtures&Appliances 2.2% $34,921 $49,956 $15,036 $13,532 $11,072 $24,604 91,000 Automotive Services 9.6% $152,381 $217,992 $65,611 $52,489 $42,945 $95,434 352,000 Other/Msc. 11.3% $179,365 $256,595 $77,230 $54,061 $23,169 $77,230 285,000 Total 41.9% $665,079 $951,444 $286,365 $235,722 $130,810 $366,532 1,353,000 Notes: 1/Derived from US Census estimates;assumes.05%annual real income groith. 2/Store group sales allocations from U.S.Bureau of Economic Analysis,Consumer Expendure Survey,Western(lilted States. 3/Based upon employment estimates:assumes 500 sq./i per job,5%vacancy allowance,and avg.sales of$275/sq.ft. 4/Future retail inflow assumed to account for 30%to 45%of total retail sales. 5/Building area assumes$285/per sq.ft.annual sales,and 5%vacancy allowance. Source:analysis by FCS GROUP. APPENDIX E: SUMMARY OF TIGARD EMPLOYMENT ZONES AND REGULATIONS The following is an overview of regulations related employment lands and zones for the City of Tigard. A general description of each zone is provided along with common and specific development standards when applicable. A summary table highlights specific regulations, such as building height, lot size, setbacks, landscaping and lot coverage. COMMERCIAL ZONES Neighborhood Commercial District (C-N) Provide convenience goods and services (those purchased frequently) within a small cluster of stores adjacent to residential neighborhoods. A limited number of other uses such as restaurants, gas stations and medical centers are permitted conditionally. Community Commercial District(C-C) Provide convenience shopping facilities to meet regular needs of nearby (1.5 miles) residential neighborhoods. Typically range in size from 30,000-100,000 sf on 2 to 8-acre sites. Separated from other commercial zones by at least one half-mile. Housing is permitted on the second floor at densities not to exceed 12 units/net acre. Limited other uses are allowed conditionally. Mandatory site development review. General Commercial District(C-G) Accommodate a full range of retail, office and civic uses with a City-wide and even regional trade area. Residential uses limited to single family residences on same site as permitted use. A wide range of uses are permitted conditionally. Professional Administrative Commercial District (C-P) Accommodate civic and business/professional services and compatible support services in close proximity to residential areas and major transportation facilities. Within the Tigard Triangle and Bull Mountain Road District, residential uses at a minimum density of 32 units/net acre are permitted in conjunction with commercial development. Heliports, medical centers, religious institutions and utilities are permitted conditionally. Developments are intended to serve as a buffer between residential areas and more intensive commercial and industrial areas. Mixed Use-Central Business District (MU-CBD) Provide a pedestrian friendly urban village in Downtown Tigard. A wide variety of commercial, civic, employment, mixed-use, multi-family and attached single family residences are permitted. All uses are allowed in all areas. Specific Development Standards (18.610): Four sub-areas (see MU-CBD Development Standards Matrix) have different setback and height limits in order to create a feeling of distinct districts within the larger zone. • Pacific Hwy. and Hall Boulevard Corridor: designed to create a "pulse-point" along the Pacific Hwy. corridor. Regional retail draw and potential future high capacity transit. • Main Street-Center Street: pedestrian-oriented with smaller scale development. • Scoffins Street-Commercial Street: higher density residential and employment base of civic, office and commercial uses. igird 20 11 I..c•omnnr.c•t)1,rnrtunil . 3 3 • Fanno- Burnham Street: medium scale residential or mixed use development. Mixed Use Employment (MUE) Designed to apply to a majority of land within the Tigard Triangle, it permits a wide range of uses including major retail goods and services, business/professional offices, civic uses and housing (multi-family at a max density of 25 units/acre. A wide range of uses are permitted conditionally. Acknowledges a majority of trips by automobile, but supports alternative modes of transportation to the greatest extent possible and encourages a mix of uses. Includes special design standards for Tigard Triangle (18.620). Mixed Use Employment Districts (MUE-1 and MUE-2) Apply to areas where employment uses such as office, research and development and light manufacturing are concentrated. Commercial and retail support uses are allowed but limited, and residential uses are permitted when compatible with employment character of the area. MUE-1 example is Lincoln Center (high density). MUE-2 example is Nimbus area (more moderate densities). Mixed Use Commercial District (MUC) Includes land around Washington Square Mall and immediately west of Highway 217. Primary uses include office buildings, retail, and service areas. Also permits mixedOuse developments and housing at 50 units/acre. Large buildings encouraged with parking under behind or to sides. Includes special design standards for Washington Square Regional Center (18.630). Mixed Use Commercial (MUC-1) Applies to portion of the Durham Quarry site. Subject to IGA agreement between Tigard and Tualatin. Permits a wide range of uses including commercial lodging, general retail, offices and housing at min density of 25 units/acre and max of 50 units/acre. Includes special design standards for Durham Quarry (18.640). Mixed Use Residential Districts (MUR) Applies to predominantly residential areas where mixed-uses are permitted when compatible with residential use. INDUSTRIAL/INSTITUTIONAL ZONES Industrial Park District (l-P) Provides appropriate locations for combining light manufacturing, office and small- scale commercial uses (restaurants, personal services and fitness centers) in a campus- like setting. Only those uses with no off-site impacts are permitted. Mandatory site development review and specific design standards (18.530). Light Industrial District (l-L) Provides appropriate locations for general industrial uses, including manufacturing and production, research and development, warehousing and freight movement and wholesale sales activities with few, if any, nuisance characteristics. 0.0 _;i.. ,.. ..i7. • Heavy Industrial District (I-H) Provides appropriate locations for intensive industrial uses including I-L uses as well as railroad yards and waste-related activities. Uses include those which involve the use of raw materials, require significant outdoor storage and generate heavy truck and/or rail traffic. Properties are carefully located to minimize impacts on established residential, commercial and light industrial areas. 3� COMMERCIAL DEVELOPMENT STANDARDS MUE R-25 STANDARD C-N C-Cj°1 C-G C•P MU- C-C MFDU' MUC-1 MUC MUE 11 1 MUE2 MUR1 MU 2 CCBD" _ tollal tram 078,81 Minimum Lot Size 5,000 sq 5,000 sq ft None 6,000 sq ft None None - None None None None None None -Detached unit ft - - - - - 1,480sgft - - • - - - -Boarding,lodging, - - • - 6.100 sq ft • rooming house Minimum Lot Width 50 ft 502 50 ft 50 ft None 502 Note None None None None None None Minimum Setbadks -Front yard 20 ft 0/20111") Oft lh4 0ft1"4 0 Ofl1"l 2011 V 0111"l 011120 0ftp I1 0ftt21l 10 011 -Side facing stied on 20 ft - 0 20ft V 0ft1"1 0ft12h1 Oft121 5O 10111"1 corner&through lots tll -Side yard 0/20 ft 14 0/20 ft lel 0/20 2 In 0/20 fl lel 0 0/20 ft 1011 V 0 011051 0 nont o ft1203 0 ftt2O) hi ftl2fllml -Side or rear ft V r yard abutting - - - • - - - more restrictive zoning district -Rear yard 0/20 ft 14 0/20 ft 1s1 0/20 ft 121 0/20 ft 121 0 2011V 0 OW ft12o1 0 0 0 111x11221 02 Olin) -Distance between front - - - n fl 20 fl V &mon NIA N/A N/A N/A of garage&progeny - N/A line abusing a public or Private street. Minimum Building Height N/A N/A N/A N/A 0 N/A N/A N/A 2 stories 2 stories None 2 stories None Maximum Building Height 35 ft 35 ft 45 ft 45 ft 0 4511 4511 7011 20011 20011 6011 75 ft 45 ft Maximum Site Coverage t4 85% 80% 85% 85% 0 85% 80%M 90% 85% 85% 85% 80% 80% Minimum Landscape 15% 20% 15% 15% 0 15% 20% 10% 15% 15% 15% 20% 20% Requirement Minimum FAR 1'1 N/A N/A N/A N/A 0 N/A NIA WA 1.25 , 1.25 • 0.6 0.6 0.3 Minimum Residential N/A N/A N/A N/A 0 N/A N/A N/A 50 50 25 50 25 Dimity KW) unit/acre unit/acre unit/acre unitaae unit/acre Maximum Residential N/A N/A N/A N/A 0 N/A N/A N/A None None 50 None 50 Dimity(40116111 unit/acre unit/acre . Muttiple-finnity dwelling taut. "Sec Table 18.610.1 and Map 18.610.A for development standards. V=See 18.640.050.8. 0=See Table 18.610.1 and Map 18.610.A for development standards. [1] The provisions of Chapa 18.795(Vidon Clearance)must besatisfied (2] Includes all buildings and impervious surfaces. [3] Applies to all nonresdential building development and mixed use development which includes a residential component.In mixed use development,residential floor arca is included in the cdamlaions of floor area ratio to determine conformance with minimum FAR. [4] Notwithstanding the requirements of Section 10.715.020,minimum and maximum density shall be determined far residential only projects using the number of residential units per acre shown in the above table.The provisions for density transfer described in Section 10.715.030.8 apply,using the minimum and maximum density shown in the above table.Any mixed-use or commercial only development does net have a minimum density requitement. [5] For purposes of detemtiningfloor area ratio and residential densities,the net development arm shall be uses to establish the lot area.determined per Section 18.715.020A. [6] Adjustments to minimum density in the Washington Square Regional center area subject to the standards set forth in Section 18.630.020.E. [7] The maximum density regircmans for developments that include or abut designated Water Resources Overlay district Riparian setbacks per Chapter 18.797 are described in Section 18.630.020.D. [8] No setback shall be required except.20 fed shall be regdved where the zone abuts a residential zoning district. [9] See Section 18520.050.6 for site and building design standards. [10)No front yard setback Mall be required except a 20-fod front yard setback shall apply within 50 fed of a residential district. (11)There shall be no minimum front yard setback requirement;however,conditions in Chagas 18.745 and 18.795 must be mei. [12)There are no setback requirements.except 30 fed where a commercial use within a district abuts a residential zoning district. 113)Themmdmwn height of any building in the CBD zone within 100 feet of any residential zoning district shall not exceed 40 fed. [14)Where the side or rear yard of attached or multiple-family dwdlings abut a more restrictive zoning&strict,such setbacks shall not be less than 35 fed. (15)Landscaped areas on existing developed property in the CBD shall be retained.Buffering end saeenusg requirements set forth in Chapter 18.745 shall be and for misting and new development. (16)Lot coverage includes all buildings and impervious surfaces. [17)Modifications to dimensional and minimum density requirements for developments that include or abut designated Water Resources Overlay District Riparian setbacks per Chapter 18.797 are described in Section 18.630.040Y. [18]The requirements contained in the Buffer Matrices in Tables 18.745.1 and 18.745.2 shall be used in alculatingwidths of buffaing/s reening and required improvement s to be installed between proposed uses in the MUC,NUE and MUR zones within the Washington Square Regional Center(WSRC)and abutting zoning districts not included within the WSRC,or zoning districts within the WSRC which vend mixed-use.For MUC and MUE zones,the requirements foe Commercial Zones apply.For MUR zones,the requiem grits for the Neighborhood Commercial Zone apply. [19]For Commercial and Mixed-use developments,the maximum front and street side yard setback is 10 feet.For Residential only devdopmatts,the maximum from and street side yard sdback is 20 feet. (20]Side and rear yard setbadcs shall be 20 fed Atm the zone abuts residential districts shown in Section 18.510.020 except R-25 and R-40. 121]The maximum setback is 20 fed. [22)The maximum setback is 10 feet. C-N-Neighborhood Contmacial District MUC 1-Muted Use Commercial C-C.CamnunityCommercial District MUC-Mixed Use Commercial C-C-General Commercial District MUE 1-Mixed Use Employment/MO Density C-P-Pmfessional/AdmtnisrativeOfficeCommercial MUE 2-Mixed UscEoopJo5ment)Metlilent Density MU-CBD-Maxed Use Central Business District MUR 1-Mixed Use Residential/High Density MUR 2-Mixed Use ResidentiaVMedium Density MU-CBD Development Standards Matrix r'2,3 STANDARD SUB-AREAS Main Street 99W/Hall Corridor Scoffers/Commercial FannoBumham (MS) (99H) (SC) (FB) Front setback 0/5 ft. Minimum O ft (5 ft for frontage on 0 ft. O ft 99W) Maximum 10 ft. 25 ft. 20 ft. 20 ft. Side facing street on coiner and through lots Minimum 0 ft. 0 ft. 0 ft. O ft Maximum l0 ft. N/A N/A N/A Sideyard Minimum/maximum N/A N/A N/A N/A Rear setback Minimum Oft 5 ft. 5 ft. 5 ft Maximum N/A N/A N/A N/A Building height Minimum 20 ft. 20 ft. 20 ft. 20 ft Maximum(stories/feet) 3 stories(45 ft.) 3 stories(45 ft.) 6 stories(80 ft) 6 stories(80 ft.)' Ground floor height minimum 15 ft. 15 ft. None None Site coverage maximum 100% 90% 90% 80% Minimum landscaping4 0%5 10% 10% 20% Minimum building frontage 50% 50% 50% 50% Residential density(units per acre) Minimums 25 25 25 15 Maximum 50 50 506 506 ' This table does not apply to existing development.All new buildings in the district must meet these development standards, including projects using the Track 3 approval process. 2 For standards for development surroundingthe future opm public plaza see Section 18.610.040,Special Requirements for Development Bordering Urban Plaza. 3 See also Section 18.610.045,Exceptions to Standards in the MU-CBD zone. ° In the MU-CBD zone,required landscaping can be provided on roofs. 5 Landscaping/screening requirements for parking lots must be met. 6 Station Area Overlay permits a maximum of 80 units per acre(see Map 18.610A). 7 3 stories/45 feet within 200 feet of Fenno Creek Park boundary(see Map 610.A)or within 50 feet of low or medium density residential district. 8 Minimum density applies to residential-only development(not mixed use). DEVELOPMENT STANDARDS IN INDUSTRIAL ZONES STANDARD I-P I-L I-H Minimum Lot Size None None None Minimum Lot Width 50 ft. 50 ft. 50 ft. Minimum Setbacks -Front yard 35 ft. 30 ft. 30 R -Side facing street on corner& through lots[1] 20 ft. 20 ft. 20 ft. -Side yard 0/50 ft[3] 0/50 ft.[3] 0/50 ft.[3] -Rear yard 0/50 ft.[3][4] 0/50 ft.[3] 0/50 ft.[3] -Distance between front of garage &property line abutting a public or private street -- -- Maximum Height 45 ft. 45 ft. 45 ft Maximum Site Coverage[2] 75%[5] 85% 85% Minimum Landscape Requirement 25%[6] 15% 15% [1]The provisions of Chapter 18.795(Vision Clearance)must be satisfied. [2]Includes all buildings and impervious surfaces. [3]No setback shall be required except 50 feet shall be required where the zone abuts a residential zoning district. [4]Development in industrial zones abutting the Rolling Hills neighborhood shall comply with Policy 11.5.1. [5]Maximum site coverage may be increased to 80%if the provisions of Section 18.530.050.B are satisfied. [6]Except that a reduction to 20%of the site may be approved through the site development review process. I-P-Industrial Park District I-L-Light Industrial I-H-Heavy Industrial '( . . !.• (:. . .. .. :. 2`, APPENDIX F: TYPICAL SITE REQUIREMENTS FOR DEVELOPMENT TYPES Typical Criteria For Specific Development Sites Campus a+ Ea , Industrial/ a o > Heavy Hi-Tech Electronic and Call I- Center/ Commercial> Industrial/ General Food Manufacturing Computer Warehouse/ Business Office Shopping 0 Manufacturing Manufacturing Processing &Processing Assembly Distribution Services (Class A) Center Hotel 13 iu a i. = u 5to25 Sto10 5to10 10to25 5to25 10to25 3to5 F Z lto5 Sto10 3to5 c Interstate, 122 Interstate,state Interstate, Interstate,state Interstate,state Interstate or Along arterial Arterial Arterial or state highway w d highway or state highway highway or highway or limited access Along or streets or street interstate or principle o. principle or principle principle principle four-lane arterial or in down town visibili c arterial ry, visibility or o arterial within arterial within thin 1-30 arterial within arterial within highway within streets centers and prefers downtown 31-10 miles 1-20 miles miles 1-15 miles 1-10 miles 1-15 miles otransit areas transit areas centers •Water flow? •Water flow•Water flow2•Water flow •Water flow = • 65,300 GPD •Water flow 2 24,600 GPD 3,500 GPD 2 4,000 GPD 210,000 GPD • Waterflow2 •Water flow 2 •Water flow?•Sewer flow? 74,300 GPD •Waterflow2 36,100 GPD 17,000 GPD 24,900 GPD 11,700 GPD 'Sewer flow •Sewer flow? •Sewer flow •Sewer flow Ti 58,800 GPD •Sewer flow 2 14,600 GPD 3,500 GPD 14,000 GPD 210,000 GPD •Sewer flow 2 •Sewer flow 2 •Sewer flow? •2.0 MW 74,300 GPD 'Sewer flow 2 •0.S MW •0.5 MW •0.5 MW •0.5 MW `c 32,500 GPD 15,300 GPD 22,400 GPD Electricity • • 0.5 MW 11,700 GPD •1.0 MW •0.5 MW •1.0 MW •0.5 MW Electricity Electricity Electricity Electricity •Fiber-telecom Electricity •Broadband •Broadband •Broadband •Broadband ?, Electricity Electricity Electricity Electricity 1- and route •Fiber-telecom Internet Internet Internet Internet diversity access access access access NCDA-Net Contiguous Developable Acres Source:Compiled by FCS Group based on Business Oregon Industrial Site Certification requirements and industry standards. i ,12f)I I I -10111.. /':11:4 ...... .i. ... APPENDIX G: BUILDABLE LAND INVENTORY City of Tigard Buildable Lands Inventory (as of January 1, 2010) Vacant and Part-Vacant Property < 1 acre 1 to 5 acres 5 to 10 acres > 10 acres Total Lots Acres Lots Acres Lots Acres Lots Acres Lots Acres Commercial C-C 0 0.0 0 0.0 0 0.0 0 0.0 0 0.0 C-G 19 6.8 6 14.0 2 16.4 0 0.0 27 37.3 C-N 0 0.0 0 0.0 0 0.0 0 0.0 0 0.0 C-P 7 2.7 2 6.2 0 0.0 0 0.0 9 8.9 Mixed Use MU-CBD 3 1.1 0 0.0 0 0.0 0 0.0 3 1.1 MUC 3 1.4 1 1.3 0 0.0 0 0.0 4 2.8 MUE 35 13.9 4 6.1 0 0.0 0 0.0 39 19.9 MUE-1 10 3.8 1 1.5 1 5.7 0 0.0 12 11.0 MUE-2 1 1.2 0 0.0 0 0.0 0 0.0 1 1.2 MUR-1 9 3.2 0 0.0 0 0.0 0 0.0 9 3.2 MUR-2 2 0.8 0 0.0 . 0 0.0 , 0 0.0 2 0.8 Industrial I-H 0 0.0 0 0.0 0 0.0 0 0.0 0 0.0 I-L 7 2.2 2 4.5 0 0.0 0 0.0 9 6.7 I-P 5 2.0 3 6.7 0 0.0 2 34.7 10 43.4 Total 101 38.9 19 40.4 3 22.1 2 34.7 125 136.2 Summary of Vacant Land by General Land Use Zoning Classification Vacant and Part-Vacant Property < 1 acre 1 to 5 acres 5 to 10 acres > 10 acres Total Lots Acres Lots Acres Lots Acres Lots Acres Lots Acres Commercial 26 9.5 8 20.2 2 16.4 0 0 36 46.1 Mixed Use 63 25.3 6 8.9 1 5.7 0 0.0 70 39.9 Industrial 12 4.2 5 11.2 0 0.0 2 34.7 19 50.1 Total 101 38.9 19 40.4 3 22.1 2 34.7 125 136.2 Source: City of Tigard. 1 igard 20111.crInt r is(in1'olu,nilies All l\si$ APPENDIX H: REDEVELOPMENT LAND INVENTORY City of Tigard Redevelopable Potential(Improvement to Land Value)? High(<0.33) Moderate Low(> 1.00) (0.33 to 1.00) Lots Acres Lots Acres Lots Acres C-C 0 0.0 0 0.0 4 8.5 C-G 8 3.4 13 6.8 158 255.0 C-N 0 0.0 1 0.2 2 2.8 C-P 11 3.8 17 10.9 35 33.6 MU-CBD 24 10.5 50 38.4 86 59.0 MUC 7 12.6 11 24.2 35 155.0 MUE 70 40.5 22 12.3 59 61.8 MUE-1 15 11.5 10 6.9 24 30.9 MUE-2 0 0.0 0 0.0 6 29.4 MUR-1 10 3.9 23 5.6 16 5.3 MUR-2 6 2.4 8 2.6 6 3.0 I-H 2 3.4 4 5.5 9 41.3 I-L 3 11.0 8 25.1 61 203.5 I-P 13 12.5 13 28.2 76 193.1 Total 169 115.6 180 166.6 577 1,082.0 Summary of Redevelopable Potential City of Tigard Redevelopable Potential(Improvement to Land Value)2 High (<0.33) Moderate Low (> 1.00) (0.33 to 1.00) _ Lots Acres Lots Acres Lots Acres Commercial 19 7.2 31 17.8 199 299.8 Mixed Use 132 81.4 124 89.9 232 344.3 Industrial 18 27.0 25 58.8 146 437.9 Total 169 115.6 180 166.6 577 1082.0 Notes: 1 Improvement to Land Value calculated from Washington County Tax Assessor data (Sept 2010). 2 196 Properties contained a zero Improvement or Land Value and are not represented here. Source:City of Tigard. I igard 2011 f.cmuimic c)ppci lunili,:: 1),:1} ,i' 39 APPENDIX I: SUMMARY OF STAKEHOLDER INTERVIEWS In support of the City of Tigard's statewide planning Goal 9 Economic Opportunity Analysis, consulting staff interviewed twelve business leaders, employers and economic experts to gather perspectives on the City's current position and future economic opportunities. Summary of interview responses are included after each question, shown in italics.The list of respondents is included at the end of the summary. 1. What is Tigard's primary market advantage within the state and region with regard to attracting population and jobs? What do you feel are its greatest assets? Stakeholders consistently reported that Tigard's location is its primary asset, particularly its proximity to 1-5 and other major transportation corridors such as Highway 217 and Highway 99W. Other factors frequently cited included Tigard's position relative to Portland, an educated, affluent population, and open spaces. Four respondents mentioned that the size of Tigard and its suburban setting are attractive. Other named assets include the variety of housing options, diversity of office and industrial buildings and availability of land. 2. I'm going to read you a list of seven (7) items. From the list, please identify Tigard's primary strengths as a place to do business. The list below is organized in order of frequency of response, shown in parentheses. • Proximity to 1-5 and other transportation corridors (11) • Quality of life (10) • Available, skilled workforce (10) • Adequate public infrastructure (transportation, utilities, etc.) (5) • Access to local markets and customers (5) • General business climate (4) • Interaction with firms in the same and/or related industries (2) 3. (Optional- for employers) Do you have plans to maintain or expand your business in Tigard? If not, will you relocate within the region or elsewhere? Why or why not? Most employers who were interviewed said they plan to maintain their current location but are unlikely to expand. Two others said they hope to expand as the economy improves. Reasons for not moving include preferred location, access, and property ownership. One employer said a recent employee survey showed that most of their employees live near the business. One business owner said they may relocate when the current lease expires and relocate to a more thriving business district. 4. What geographic area(s) do you think best define(s) Tigard's competitive market region for commercial office, retail and industrial development? i i:.sid 2011 I-.umamic Opro:411.0k-A -i, 40 Most interviewees responded to this question by identifying areas in the City that are thriving or successful employment districts. Four respondents felt that the Tigard Triangle is a particularly competitive market area within the city, especially for industrial and retail uses. One person felt strongly that the Triangle was not as competitive as the Hunziker area. Washington Square and the surrounding area were cited twice as being competitive for retail. Other areas mentioned by one person included Oregon Business Park, PacCorp and the area between Highway 99W and Scholls Ferry Road. 5. The City is interested in redevelopment in its downtown and along the Highway 99W corridor, developing a mixed-use district in the triangle south of Highway 99W and north of Highway 217, and adding more neighborhood commercial uses to meet local needs. Do you agree with these priorities? Why or why not? Are there other areas or corridors the City should focus on? Most respondents agreed with these priorities, though several cautioned against development that would compound existing transportation problems (particularly along Highway 99W). There was support for revitalizing downtown by adding new businesses and destinations; including mixed uses, parks and housing that contribute to a unique identity for the City. There was also a good deal of support expressed for improving the Triangle by adding services and diversifying the types of businesses there with available land. Other ideas for focused efforts included the Tiedeman/Greenburg area, the area north of Highway 99W and in the Oak Street or Locust Street areas by Washington Square. 6. What can Tigard do locally to complement the regional and state economy? Several respondents felt that improvements to the transportation network are important to support the Tigard economy. This included improving conditions for vehicle traffic, providing access to alternative transportation facilities such as bike lanes and light rail, and working with regional agencies (e.g., JPACT) to solve transportation problems. Two respondents suggested that the City needs an economic development department and/or active business recruitment by the mayor, city manager and economic development staff. Other ideas included lower taxes, incentives to start a business or re-locate in Tigard, and grants for small businesses. Two respondents recommended continuing to improve upon the current level of service and responsiveness of City building and planning staff. One suggested retaining large industrial tracts to attract potential employers. 7. What types of land and/or economic development actions or incentives are most needed in the City to nurture job growth and private investment? Respondents' most common suggestion was for the City to improve infrastructure- particularly transportation. Others suggested lowering taxes and strategically reducing system development charges (SDCs) for small businesses or other potential employers. Another suggested using enterprise zones or urban renewal areas to capture future tax revenues. Two others emphasized the importance of diversifying local businesses and professional services, particularly downtown. f'ivaud 2011 Iiconontic Cthf oottnifie; 4 1 8. What actions should be taken by the City to create a more balanced and sustainable community? Interview respondents had several ideas about how to create a balanced and sustainable community.These include diversifying the types of business in the city, adding more transportation options and creating mixed-use districts. Two people said that the City needs to focus its efforts and build a distinct identity and greater sense of community, including supporting local business and adding more commercial services to residential areas. Others suggested creating affordable housing and mixed-use districts near commuter rail and future light rail. Two respondents noted that they thought the City is doing well with its current efforts. 9. Along those lines, the City wishes to better balance jobs and housing. What types of housing do you think are most needed? While three interviewees responded that the current mix of housing is adequate, others suggested the need for a more diverse housing stock. Specific needs include moderate to low-income housing in or near downtown and commercial services, second-floor residential, condominiums and small lot or zero lot line homes. A few respondents suggested siting mixed-income housing near transit routes. 10. What business clusters exist or should exist in Tigard? What can the City do to build and strengthen these clusters? Most interview respondents said that Tigard does not have business clusters other than some collection of general services and industry. One identified a cluster of finance and professional services. Several felt that Tigard has a good diversity of businesses and does not need to build clusters. Others suggested that the City could encourage clusters by recruiting a large company so that supporting organizations follow, or by acquiring and consolidating large parcels to sell to a major employer. One respondent recommended the City find a niche such as specialty medical, technical or manufacturing that does not compete with existing retail establishments including Washington Square. 11. What opportunities and challenges are there to expanding the traded sector in Tigard? What goods and services could be produced locally rather than imported, and what could be exported? Most respondents did not have an answer for this question. One suggested that all services are imported and another suggested polling the manufacturing sector to identify existing goods and services offered in Tigard. Another interviewee pointed out that there is a great deal of vacant Class A and B office and industrial space, which is both a challenge and an opportunity for the City to attract new industry and business. 12.Are there certain goods or services that you think are missing in the City of Tigard today? 1 i tar '(i I I I. -:t)i nc O.1,>rtur. n.. 42 Goods and services that interviewees said were missing from Tigard include downtown grocery and retail, upscale restaurants and neighborhood commercial services. Others suggested that Tigard needs light rail or bus rapid transit as well as more parks and trails. One recommended that Tigard develop a unique identity based on neighborhood and housing design in order to compete with the large surrounding retail and cited Sierra Madre, CA as a successful example. 13. Is there anything else you'd like to add? Interview respondents offered the following closing comments: • One person stated that he is frustrated with the lack of economic development activity on the part of the City. • Tigard has the opportunity to be a good example for a small city. Improve transportation options and get people off the freeways while maintaining mobility in and between towns. • The City needs to be efficient to support businesses. Be prepared for the economic upturn. Keep an eye on the planning department and have a contingency plan to respond to an increase in business activity (e.g., hire contractors or new staff). • Be sure to "over-communicate" this and other City projects. Explore and use a variety of communication media, including mail and social media. • It is great that the City is doing this type of outreach and planning. • Tigard's city council members toured Vancouver, BC a few years ago to look at urban planning and transportation issues. The trip, hosted by Metro, was very beneficial in generating ideas on how to meet these challenges. List of Interviewees 1. Kirsten Alvares, Gerber Legendary Blades 2. Jonae Armstrong, Washington Square 3. Mark Ellsworth, Economic Revitalization Team 4. Donald Fox, Fox Chiropractic Clinic 5. Mike Marr, Tigard Central Business District 6. Debi Mollahan, Tigard Area Chamber of Commerce 7. Bonnie Nakashimada, George Fox University 8. Jonathan Schlueter, Westside Economic Alliance 9. George Specht, Specht Properties 10. Eric Sporre, PACTrust/Oregon Business Park 11. Mike Stevensen, B&B Printing 12. Eric Turner, GVA/Kidder Matthews i::er(I 2011 Economic OpIrs IRmilic 43 • we- ,I l Appendix J: I 1 ) I Buildable Lands a Wahingt• •Square, �13 and . Regional ' • y Redevelopment/ Air''' Refill Potential • t , "'' City of Tigard Oregon J y ►,- t ry i y '� 3'� ,, .�-' 2 . .. I ; . `. y -�, I•' t� ;,' ' i=iCitylimits I '° 1 j_r`!f i • .:t' r-ti h .<, I ` Z i Zoning 4. ^,f - 1„:„Ii... 24.12#�• i ^ r {i 1 .' ° ... Taxlot Boundary .\ PC? V'~ ,> t• ` lig 1.11 Water rl!-`Z'• r_�-• ' 4^ Stream Corridor l F• ' Ts# � O 100 rFlood ein J I' --'r-1741' _ /a `-4 � "`.. y W t mown `r ‘: ..;.71:r.iiagial., , Buildable Lands „, r ., ' r ii gl ._ Downtown .r CommerGal/✓woefr •Q l Tiga d: MI Inoustriat _ a -Mixetl Use _—._ , t ':1 „r •? � g Residential ‘-i-- , ( - Ir Redevelopment Potential _ _Y �� sL r Improve Land �_ ,. �— i^ 141 Koh r . '•- j :-- i ... _, -� ; ,,_I_ -. .�..)y.. i Moderate ii 1 -- — • , I i7-▪ •'1r1 4.11 K•t y l _Low (may ���.- y I _..�) 'r - IP=Government Owned Land % 4 ,....,..... __.....________ Pacific Highway I • �... .__ .rm • 4 __, HC C orridor -- •- µ,w. r- ----1111-= i `—t w,. n I\ • ./• . •_!!-__," .,I �.. Jam• �/ 4• �'~'.•.,.�. Li:- :�� I 1 111 .....r :`,'. ..aw. . .a. v l 1 � � • - - 1111 RI . . •. Tigard Planning Commission TIGARD Agenda Item # (0 Page _ of Date of Hearing 3-- a -(5- Case (5Case Number(s) LP,(A 20 \5- ix)Op 1 Case Name Past- cr VnovjcetAi2rre ilf VIAS F\(rn e.+\r.)h e,\-t'..-}o 't-k„ . E unp,vi t. L Location Cry ��'�c� 0 F0©rALAA�+j Ril\ciLls�5 If you would like to speak on this item, please PRINT your name, address, and zip code below: Proponent (for the proposal): Opponent (against the proposal): Name: Name: Address: Address: City, State, Zip: City, State, Zip: Name: Name: Address: Address: City, State, Zip: City, State, Zip: Name: Name: Address: Address: City, State, Zip: City, State, Zip: Name: Name: Address: Address: City, State, Zip: City, State, Zip: Name: Name: Address: Address: City, State, Zip: City, State, Zip: CITY OF TIGARD PLANNING COMMISSION Meeting Minutes March 2,2015 CALL TO ORDER President Rogers called the meeting to order at 7:00 p.m. The meeting was held in the Tigard Civic Center, Town Hall, at 13125 SW Hall Blvd. ROLL CALL Present: President Rogers Vice President Fitzgerald Alt. Commissioner Enloe Commissioner Middaugh Alt. Commissioner Mooney Commissioner Muldoon Commissioner Ouellette Commissioner Schmidt Commissioner Smith Absent: Commissioner Feeney; Commissioner Lieuallen Staff Present: Tom McGuire,Assistant Community Development Director; Gary Pagenstecher, Associate Planner;Lloyd Purdy, Economic Development Manager; Sean Farrelly, Redevelopment Project Manager; Doreen Laughlin, Executive Assistant COMMUNICATIONS — None CONSIDER MINUTES February 9 Meeting Minutes: President Rogers asked if there were any additions, deletions, or corrections to the February 9 minutes. Commissioner Fitzgerald amended the Communications portion of the minutes to read that she, along with Commissioners Muldoon, Schmidt& Lieuallen had attended the traffic highway safety meeting—not just two commissioners, as had been noted in the minutes. President Rogers declared the minutes approved as amended. OPEN PUBLIC HEARING President Rogers opened the public hearing. PUBLIC HEARING ASH AVENUE DOG PARK ZONE CHANGE—(ZON) 2015-00003 REQUEST:The applicant is requesting approval of a quasi-judicial zoning map amendment for two parcels approximately 0.35 acres in size located on the southwest corner of SW Ash Avenue and SW Burnham Street.The zoning designation would be changed from"PR:Park and Recreation"to "MU- CBD: Mixed Use Central Business District," while the existing comprehensive plan designation of "MU-CBD: Mixed Use Central Business District" would remain unchanged. APPLICANT: City of Tigard PROPOSED ZONE: MU-CBD: Mixed Use-Central Business District. The MU-CBD TPC Minutes 03/02/15 Page 1 of 6 zoning district is designed to provide a pedestrian friendly urban village in downtown Tigard. A wide variety of commercial, civic, employment, mixed-use, multifamily and attached single-family residences are permitted. New development and redevelopment is required to conform to the standards of Chapter 18.610. LOCATION: 12780 SW Ash Avenue, WCTM 2S102AD, Tax Lots 02800 and 02900 APPLICABLE REVIEW CRITERIA: Community Development Code Chapters 18.380, 18.390, 18.520, and 18.540; Comprehensive Plan Policies 1.2, 2.12, 2.1.3, 2.1.7, 2.1.15, 9.1.3, 9.1.5, 10.1.5 and 15.2.6;Transportation Planning Rule. QUASI-JUDICIAL HEARING STATEMENTS President Rogers read the required statements and procedural items from the quasi-judicial hearing guide. There were no abstentions; there were no challenges of the commissioners for bias or conflict of interest. Ex-parte contacts: None. Site Visits: Commissioners Smith, Rogers & Schmidt had visited the site. No one wished to challenge the jurisdiction of the commission. APPLICANT The applicant in this case is the City of Tigard. Associate Planner Gary Pagenstecher said this is a Type III Quasi-Judicial land use action—one where the decision is made by the Planning Commission. He stated that staff's recommendation is to approve this zone change. He noted that the site is a popular dog park at the location of Ash &Burnham. It was zoned public recreation January, 2014— and now the request is to zone it to mixed-use CBD —the zone it had prior to January, 2014. The rezone is being requested by the City of Tigard to facilitate a development action that Sean Farrelly (Redevelopment Project Manager) will describe in more detail if there are questions. Otherwise, the staff report shows that the applicable criteria are met and it is approvable. Sean Farrelly gave a brief rundown as to what's gone on with the Dog Park to this point. He noted that a lot of the development is in flux right now. The concept is about 150 units of market rate housing and 2000 sq. ft. of commercial on the corner of Burnham and Ash. Mixed use—and getting more people living downtown is one of the primary goals of the Urban Renewal Plan,which was approved by the voters in 2006. The site is well located—fronting Fanno Creek Park, close to Main Street, close to some services, restaurants, etc. Having more people living downtown will help Main Street businesses by providing local customers and it's getting more people who are able to make use of WES and the Bus Transit Center which is very close by this site. You can walk to the Transit Center in 5 minutes from the site. We're working on a development agreement but the site as a whole—we'd like to see this zoning returned to what it was.Just a scant year ago it was an MU-CBD. President Rogers asked Sean where the park would move. Sean answered that the dog park would move kitty corner - across the street to another city owned property; presently there's a house on it. The long term plan is to demo that house so that's where the dog park would move to. We will be recycling all the equipment that's in the present dog park—including the fencing. We've been communicating with the dog park patrons and are working with the dog park committee on getting the word out and designing the new space. It's comparable size—a little bit smaller but in some ways it will be an even better site. Vice President Fitzgerald added that last summer she had attended a design Charrette for this piece of property. She said several members of staff were there as well as many representatives of TPC Minutes 03/02/15 Page 2 of 6 the dog park. She said the dog park representatives were aware that they'd be getting a "trade off" and that they were happy with that trade off. They liked the proposed location. QUESTIONS FROM THE COMMISSIONERS — Commissioner Smith asked if we were getting actual market value for the property and is the developer going to pay for all the work for this park. Sean answered that this is a complicated deal with many moving parts. The price is still being negotiated because we're asking a developer to build something that this market wouldn't necessarily support. The rents aren't quite high enough to support building more of an urban style building. If this was just purely a market driven deal it would probably be a lot lower density but the Urban Renewal Plan is about getting more people living downtown and this is a good way to get people to move downtown. President Rogers noted that the City Council and Tigard staff are negotiating the deal of the property purchase and that this meeting is about the zone changes. He asked if there is a proposed zone change for the alternate dog park where the house is being torn down. Sean said that doesn't need a zone change—the zone change is correct as is. TESTIMONY IN FAVOR- None TESTIMONY IN OPPOSITION Neal Brown, 13853 SW Boxelder Street, Tigard passed out a disclosure document about a YMCA because, he said, he believes in disclosing everything. He believes that since City Council and city staff put the park zone on this property last year (2014) it makes it a permanent part of the "parks" system. They could have exempted this dog park, but they chose to put the park zone on it. He said the property is used as a dog park but it could also be used for kids. Or it could change for any type of park use. He believes the city needs to prove that Tigard has too many parks and that this is a surplus —not needed in our inventory. He said when private citizens request a zone change they have to prove that there's no market for this use —but there's a market for what they're requesting the zone change for. He believes it's unconstitutional for the city to require private industry to prove their need but they don't hold themselves accountable to do it themselves. He says Tigard is losing 2,614 sq. ft. (17%) and that it's not equitable to move to a smaller park. He would like to know how much all this moving around of parks costs. He believes this is subsidized. He wants full disclosure by the city. He went on to talk about trying to get a YMCA into the City of Tigard and having it opposed by the city. Barry Sheasgreen, 9528 SW Tigard St. Tigard, OR said his property's fence line and building backs up to the existing dog park. He said no one from the city had come to talk to him about this. He wants to know why he's not heard anything about this matter until now. QUESTIONS FROM THE COMMISSIONERS —None. PUBLIC HEARING CLOSED COMMENTS FROM STAFF Staff came up to explain the communication process. Sean Farrelly said he'd spoken to Mr. Sheasgreen personally on a couple of occasions—at the neighborhood meeting held three months ago where he had answered the questions Mr. Sheasgreen asked him. He said he's also had at least two informal communications with him. In addition, per the Tigard Code, public TPC Minutes 03/02/15 Page 3 of 6 noticing was done. There were also informal and formal public meetings with property owners by way of the City Center Advisory Committee and Council members, as well as a notice in the Tigard Times for all of the public meetings on this topic. Commissioner Smith said, if he was the property owner, right next door to all this, that he would hope the city would go to him personally with documents showing the plan, etc. —personal contact. He wanted to know what kind of contact staff had with Mr. Sheasgreen. John Floyd, Associate Planner, came up and explained that he had assisted Sean Farrelly with the Neighborhood meeting and that he wanted to fill in a couple of gaps. In terms of notification— he stated that they'd erected signage in front of the dog park and that he'd spoken to several dog park users at that time—making them aware of the Neighborhood Meeting for the zone change. He said he'd passed out his business cards to several individuals there so he can affirmatively say that several dog park users were notified of that initial meeting. He said the intent of the meeting was about the zone change but that the conversation did veer into the future project and redevelopment potential of the site. There were extensive conversations about the possible forums —issues of parking—issues of viability of the commercial space— so he believes the intent of what was going to happen there was pretty well disclosed. In addition he said he remembers a robust conversation [about an hour] Sean Farrelly and he had with Mr. Sheasgreen about the future of that site and stated that some of that could be found in the neighborhood meeting notes. QUESTIONS OF STAFF Commissioner Smith wanted to know whether the demolition of the house on that property a done deal or is this one of those things where a park may, or may not, materialize. Sean answered that the house will definitely be demolished soon. They'd made a commitment to the dog park that they would replace it. Commissioner Smith went on to ask whether this would be the final destination for the dog park or would it move again and again? Sean said he can't really speculate on the future but he thinks there may be need for a larger dog park somewhere down the line, more centrally located. There's nothing in the long range plans showing a dog park in some other location, however. PUBLIC HEARING REOPENED President Rogers briefly opened the public hearing to see if Mr. Sheasgreen had other questions (as he appeared to have). The questions and comments were about what he perceived to be lack of personal notice and about the fact that he'd contacted staff about selling his property to be used for parking and hadn't heard back from them. President Rogers noted that Economic Development Manager, Lloyd Purdy,was at the back of the room and would be available to talk to Mr. Sheasgreen about that if he wanted to do so. PUBLIC HEARING CLOSED No further testimony or questions from the audience allowed. DELIBERATION There were some general questions about making a motion. There was also a question as to whether conditions can be applied to a Planning Commission approval and whether they would have to be applied to this particular property. Tom McGuire,Assistant Community Development Director, came up and said "Yes, the conditions would have to apply to this property in this request." TPC Minutes 03/02/15 Page 4 of 6 MOTION Commissioner Fitzgerald made the following motion: "I move for approval of Application ZON2015-00003 and adoption of the findings and conditions of approval contained in the staff report as received." Commissioner Schmidt seconded the motion. THE VOTE / MOTION PASSES A vote was taken. The motion passed with seven in favor and one opposed. Commissioner Smith cast the opposing vote. OPEN PUBLIC HEARING President Rogers opened the second public hearing (Legislative). POST ACKNOWLEDGEMENT PLAN AMENDMENT TO THE ECONOMIC OPPORTUNITY ANALYSIS - COMPREHENSIVE PLAN AMENDMENT (CPA)2015-00001 REQUEST: To amend the City of Tigard's 2011 Economic Opportunities Analysis to: 1) acknowledge that slope was not applied as a development constraint factor in the Inventory of Suitable Sites (Land Supply), 2) apply slope as a suitability constraint for properties currently zoned industrial (I-P, I-L, and I- H), and 3) qualify the Assessment of Potential with respect to slope constraints. LOCATION: City-wide ZONE/COMP PLAN DESIGNATION: I-P: industrial park district; I-L: light industrial district; I-H: heavy industrial district.APPLICABLE REVIEW CRITERIA: Community Development Code Chapters: 18.380.020 Legislative Amendments; 18.390.060 Decision Making Procedures; Comprehensive Plan Goals 1,2, and 9; Oregon Administrative Rule 660, Division 9; statewide planning goals 1, 2, and 9. APPLICANT As the City of Tigard applicant, Associate Planner Gary Pagenstecher introduced himself and said he wanted to make sure that the commissioners had received the materials that had been sent out. They included a memo, staff report, proposed amendment—exhibit A to the staff report, and a copy of the 2011 Economic Opportunities Analysis being put up for Planning Commission recommendation to be amended; they had. He noted that the EOA (Economic Opportunity Analysis) was adopted in 2011 as part of the city's Periodic Review process with DLCD. Economic Development Manager Lloyd Purdy came up and spoke to the commissioners about how this reconciles the city's inventory of buildable lands. He said this would unlock the development potential of about 40 acres of property. STAFF RECOMMENDATION Staff recommends that the Planning Commission approve the proposed zone change. QUESTIONS OF STAFF There were a couple of questions regarding the purpose of the action. Gary Pagenstecher answered that it was mainly for clarification. TESTIMONY IN FAVOR—None. TESTIMONY IN OPPOSITION - None PUBLIC HEARING— CLOSED TPC Minutes 03/02/15 Page 5 of 6 No further testimony or questions from the audience allowed. DELIBERATION After a short deliberation, the consensus was that none of the commissioners had any issues with this. They believe it gives the city some opportunities that weren't there earlier. MOTION Commissioner Muldoon made the following motion: "I move the Planning Commission forward a recommendation of approval to the City Council of Application CPA2015-00001 as provided to the Commission tonight in three parts without change." The motion was seconded by Commissioner Fitzgerald: A vote was taken, all in favor, none opposed; no one abstained. MOTION PASSES UNANIMOUSLY This item is scheduled to go to City Council on March 24th. OTHER BUSINESS Tom McGuire,Assistant CD Director came up and gave a brief rundown on some of what would likely be coming before the commission in the near future with regard to the Code and the Strategic Plan. ADJOURNMENT President Rogers adjourned the meeting at 8:30 p.m. '(.....4_,Thz.. .,2,________ Doreen Laughlin,Planning Co�i fission Secretary ," ---11 di il rot.c. ATTE ' ;'QT•.ident Rogers TPC Minutes 03/02/15 Page 6 of 6