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HomeMy WebLinkAbout2012-08-13PLANNING & STRATEGIC INITIATIVES COMMITTEE MINUTES AUGUST 13. 2012 CITY OF KITCHENER The Planning and Strategic Initiatives Committee met this date, commencing at 7:25 p. m. Present: Councillor B. Vrbanovic -Chair Mayor C. Zehr and Councillors K. Galloway, S. Davey, J. Gazzola, D. Glenn-Graham Z. Janecki, Y. Fernandes, B. loannidis, F. Etherington, and P. Singh. Staff: J. Willmer, Chief Administrative Officer M. May, Deputy CAO, Community Services A. Pinard, Director of Planning J. Witmer, Director of Operations R. Regier, Executive Director, Economic Development S. Ross, Assistant City Solicitor D. Ross, Manager, Development Review J. von Westerholt, Senior Planner D. Livingstone, Committee Administrator Prior to commencement, Councillor 8. Vrbanovic read aloud the following statement: `This is a formal public meeting to consider applications under the Planning Act. If a person or public body does not make oral or written submissions to the City of Kitchener before the proposed applications are considered, the person or public body is not entitled to appeal the decision to the Ontario Municipal Board and may not be added as a party to a hearing of an appeal before the Ontario Municipal Board. " CSD-12-101 -ZONE CHANGE APPLICATION - ZC 12/11/R/MV - 3-5, 6-8, 10-12 & 14-16 RAUCH COURT - 603489 ONTARIO INC. The Committee considered Community Services Department report CDS-12-101, dated July 6, 2012 recommending approval of Zone Change Application ZC 12/11/R/MV to correct a technical error in zoning of a small linear portion of land at the rear of the development on the lands located at 3-16 Rauch Court. Ms. D. Ross reviewed the staff report, advising that the subject lands were severed and a draft plan of subdivision was approved in June 1996, and the subdivision registered in 2012. Ms. Ross advised that when the original re-zoning application was approved, the lands were re- zoned from Arterial Commercial Zone (C-6) Residential Four (R-4). During a recent severance application process by the applicant, it was determined that a small portion at the rear of the properties was not zoned to Residential Four (R-4). The Zone Change would correct a technical area and provide a match to the zoning boundary. In response to questions, Ms. Ross indicated that the subdivision is fully registered. Phase 1 has been completed and units in Phase II are in the process of being constructed. On motion by Councillor B. loannidis - itwas resolved: "That Zone Change Application ZC12/11/R/MV for the subject lands (3-16 Rauch Court, 603489 Ontario Inc.), for the purpose of changing the zoning from Arterial Commercial Zone (C-6) to Residential Four (R-4), in the City of Kitchener, be approved in the form shown in the "Proposed By-law" dated July 7, 2012 attached to Community Services Department report CSD-12-101 as Appendix "A"." CSD-12-107 -ZONE CHANGE APPLICATION - ZC 12/13/T/JVW - 225 THE BOARDWALK - THE INCC CORP. The Committee considered Community Services Department report CSD-12-107, dated July 9, 2012 recommending approval of Zone Change Application ZC 12/12/T/JVW to remove Holding Provision 58H. The Holding provision was placed on the development at the request of the Region of Waterloo to require the Owner of the property to submit an updated Traffic Impact Study following construction and occupancy of Phases 1 and 2 at the lands located at 225 The Boardwalk. PLANNING & STRATEGIC INITIATIVES COMMITTEE MINUTES AUGUST 13, 2012 - 56 - CITY OF KITCHENER 2. CSD-12-107 -ZONE CHANGE APPLICATION - ZC 12/13/T/JVW - 225 THE BOARDWALK - THE INCC CORP. (CONT'D) Ms. J. von Westerholt reviewed the staff report and explained the updated Traffic Impact Study has been completed and approved by the Region of Waterloo, thereby allowing the holding provision to be lifted. Mr. Paul Britton, MHBC Planning, representing the applicant, spoke in support of the application. He indicated that the widening of Ira Needles Boulevard has been advanced to 2015, noting that the holding provision was required for the lands to validate assumptions during the development process. As the requirements have been met, the holding provision can be lifted. On motion by Councillor B. loannidis - itwas resolved: "That Zone Change Application ZC12/13/T/JVW (The Boardwalk, The INCC Corp.) to remove Holding Provision 58H be approved in the form shown in the attached "Proposed By-law" dated August 13, 2012, attached to Community Services Department report CSD-12-107 as Appendix "A"." CSD-12-105 -ZONE CHANGE APPLICATION - ZC 12/09/V/ATP - 645 VICTORIA STREET NORTH - 1397187 ONTARIO LTD. The Committee considered Community Services Department report CSD-12-105, dated July 12, 2012 recommending approval of Zone Change Application ZC 12/09/V/ATP with a Special Use Provision to allow for the permitted use of "Sale of Sports Collectibles and Memorabilia" on the lands located at 645 Victoria Street North. Ms. D. Ross advised that the building at 645 Victoria Street North is an existing building and is occupied in part by a business which sells sports collectibles and memorabilia, usage of which is not currently permitted in the C-6 Zone. In response to questions, Ms. Ross indicated that the applicants understood that their use was permitted when applying for an occupancy permit. The Special Use Provision 423U would legalize the use for the sale of sports collectibles and memorabilia. Mr. Scott Patterson, Labreche Patterson & Associates, representing the applicant, spoke in support of the application. Mr. Patterson indicated that the existing zoning in the Arterial Commercial C-6 zone permits the sale of sporting goods. On motion by Councillor D. Glenn-Graham - itwas resolved: "That Zone Change Application ZC12/09/V/ATP for the subject lands (1397187 Ontario Ltd., 645 Victoria Street North), for the purpose of changing the zoning from Arterial Commercial Zone (C-6) to Arterial Commercial Zone (C-6) with a Special Use Provision 423U to add "Sale of Sports Collectibles and Memorabilia" as a permitted use on the parcel of land specified and illustrated as the Subject Area on Map No. 1, in the City of Kitchener, be approved in the form shown in the "Proposed By-law" dated July 12, 2012 attached to Community Services Department report CSD-12-105 as Appendix "A"." CSD-12-106 -OFFICIAL PLAN AMENDMENT OP 11/02/H/VW - ZONE CHANGE APPLICATION ZC 11/08/H/JVW - 1011 HOMER WATSON BOULEVARD - 1473450 ONTARIO LTD. (KITCHENER FRAME( The Committee considered Community Services Department report CSD-12-106, dated July 31, 2012 recommending refusal of Official Plan Amendment Application OP 11/02/H/VW and PLANNING & STRATEGIC INITIATIVES COMMITTEE MINUTES AUGUST 13, 2012 - 57 - CITY OF KITCHENER CSD-12-106 -OFFICIAL PLAN AMENDMENT OP 11/02/H/VW - ZONE CHANGE APPLICATION ZC 11/08/H/JVW - 1011 HOMER WATSON BOULEVARD - 1473450 ONTARIO LTD. (KITCHENER FRAME) (CONT'D) Zone Change Application ZC 11/08/JVW. The Committee was also in receipt this date of a presentation prepared by Mr. Greg Priamo, Zelinka Priamo Ltd., with respect to the development of the subject lands. Ms. J. von Westerholt reviewed the report, advising that the subject lands total approximately 49.85 hectares in size and are located at Bleams Road and Homer Watson Boulevard. Ms. von Westerholt advised that the applicant is seeking re-designation of 11.46 hectares at the southwest corner of Bleams Road and Homer Watson Boulevard for 28,515. square metres of commercial uses, including 4,656. square metres to serve as an anchor grocery store with the remainder of the lands to be part of a subsequent approval process. She added that the subject applications apply only to the 11.46 ha. that is intended for new commercial uses. The proposed designation would change the current Official Plan designation from "General Industrial" to "Mixed Use Node", with a provision to distinguish this Node within an employment area; the proposed Zone Change would be from General Industrial M-2 Zone with a Special Use Provision to Community Commercial C-3 Zone. Ms. von Westerholt explained that although some commercial uses are permitted within the current Official Plan and zoning designation, they do not allow for all of the proposed uses. She further explained that the Comprehensive Review of Employment Lands (CREL), approved by Council in 2010, has identified the subject lands as "Protected Employment" lands. Ms. von Westerholt advised that from an Economic Development perspective, the location and attributes of the lands make it an irreplaceable parcel paramount to the inventory of employment lands. She further advised that the Provincial Policy Statement and Growth Plan define Employment Lands and specify conditions under which conversion to non-employment lands can take place; the subject applications do not meet the conditions for conversion. Ms. von Westerholt called attention to the negative impact this development would have on existing mixed use nodes. She continued that supplementary studies have been submitted by the applicant demonstrating the need for retail space and suggesting a lower impact on the employment land inventory; however, these uses should be in existing designated areas. She added that a peer review has not been conducted as the issues identified with land conversion and economic development are significant. Councillor Z. Janecki asked for location of vacant mixed use nodes within the City of Kitchener. Ms. von Westerholt referred to a map indicating mixed use nodes located at Fischer-Hallman Road, South of Huron Road; Huron Road; and, Strasburg Road. She noted that the status of construction is unknown; however, this land is designated for mixed use. In reference to the map, Councillor Janecki questioned how much industrial land is vacant, excluding the subject lands, with particular interest in how much long-term future developable industrial land will remain. Ms. von Westerholt was not aware of the percentage of land but pointed out on the map that this site is the largest remaining parcel of industrial land available for development. Councillor Janecki referenced Budd Automotive, which in its time had 2,500. employees and questioned whether there is any current interest in developing parcels of that size for industrial use. Ms. von Westerholt noted that trends are changing; however, this site represents a core piece in employment land inventory. Mr. R. Regier elaborated on the trends referred to by Ms. von Westerholt, commenting that currently the bulk of land sales are smaller in scale, such as two to four hectares and large industrial users of this size are rare, although inquiries do come through periodically. He indicated that the building on site has been examined and noted that manufacturing has changed, as demonstrated by companies such as Magna, which introduced smaller operations. Mr. Regier stated that the need fora 900,000. sq. ft. building is rare and that it is unusual for existing buildings to meet the demands of a new business model. Councillor J. Gazzola asked Ms. von Westerholt to clarify the definition of employment lands and non-employment lands. She responded that employment lands are usually industrial uses and non-employment are not industrial, and as such do not generate as many jobs. Councillor Gazzola referred to the Kitchener Operations Facility (KOF) and asked if it was zoned industrial. Ms. von Westerholt confirmed that the zoning was industrial; however, municipal PLANNING & STRATEGIC INITIATIVES COMMITTEE MINUTES AUGUST 13. 2012 - 58 - CITY OF KITCHENER 4. CSD-12-106 -OFFICIAL PLAN AMENDMENT OP 11/02/H/VW - ZONE CHANGE APPLICATION ZC 11/08/H/JVW - 1011 HOMER WATSON BOULEVARD - 1473450 ONTARIO LTD. (KITCHENER FRAME) (CONT'D) uses are permitted. He questioned if, to her knowledge, at any time the City has ever changed the designation of employment lands. Ms. von Westerholt pointed out that the Comprehensive Review of Employment Land (CREL) was completed two years ago with the objective of moving forward with the purpose of identifying areas that are to be protected; designation through the Official Plan and CREL of these lands is to protect employment lands moving forward. Ms. von Westerholt recognized the surplus of employment lands but pointed out the caliber of the subject parcel. She added there are other areas identified in the CREL that could be converted, however, this land is to be protected for employment and industrial uses. Councillor D. Glenn-Graham inquired if the message from the City Planning Staff has been consistent. Ms. von Westerholt responded that early in the process staff met with the Applicant and expressed support of small scale ancillary uses on Bleams Road. She continued that current zoning does allow individual retail and service uses but not large format retail. Councillor Y. Fernandes inquired whether the site was serviced. Ms. von Westerholt affirmed that the site is primed for industrial and that municipal services are present. In response to questions, Ms. von Westerholt indicated that there are no other development applications submitted for the subject lands. Further, she noted, that only the northerly 11.46 ha. is being questioned today. Ms. von Westerholt pointed out that approval of the designation would require Region of Waterloo approval and the passing of a City Zoning By-law Amendment. Councillor Fernandes asked if, in her opinion, the applicant would appeal to the OMB if refused, to which Ms. von Westerholt indicated that it is likely an appeal would be submitted. In response to questions, Mr. Regier confirmed that the subject lands are very unique to the City of Kitchener. The power supply in particular is very unique, being the most secure in the Region of Waterloo. He added that in the Region as a whole, there are only a handful of parcels such as this, with this being the largest developable parcel in the City of Kitchener. He confirmed that this parcel is strategic because of: the rail spur; proximity to a 400 series highway; and, location on major arterial roads. In the Region of Waterloo, lands are being developed targeting smaller manufacturing and there are lands along the east side of Woolwich and Cambridge that are serviced. There is a parcel with a rail spur located in Cambridge, being the BF Goodrich site, as well as smaller parcels along the CN mainline. He commented what is particularly attractive about the subject land is that there are no land use conflicts, making this an attractive and competitive development site. Mr. Greg Priamo, Zelinka Priamo, Consultant for the Applicant, detailed the land use applications being proposed, advising that materials have been submitted to support the development of the entire site. Mr. Priamo noted that his client has been forthcoming with the objective to develop the mixed use area. He clarified that there are 120 acres of total land area with 30 acres of open space, leaving 90 acres for industrial development. The commercial proposal represents a small portion, leaving 70 acres for development of smaller manufacturing parcels. He added that they would be pleased to create public roads and the type of parcels that the Economic Development office suggests are desirable through the Plan of Subdivision to attract the broadest range of uses. He continued that the commercial components would provide a large range of uses developed in a comprehensive manner to fit in with the existing land use. He noted that, although the Official Plan designates employment uses, Section 3.3 allows for the possibility of new mixed use nodes not currently identified and sets out informational requirements to assess such proposals; these have been submitted. He further contended that the City of Kitchener, as proved in the employment land use study, has an over-supply of employment land. Mr. Steve Zakem, on behalf of the Applicant spoke relative to the 2005 Provincial Policy Statement and Growth Plan which he indicated are legal documents for interpretation. He pointed out that employment land has been interpreted commonly to mean industrial, commercial and institutional but that the OMB has repeatedly interpreted employment land to include retail and service commercial uses. He added that within the Growth Plan for the PLANNING & STRATEGIC INITIATIVES COMMITTEE MINUTES AUGUST 13. 2012 - 59 - CITY OF KITCHENER 4. CSD-12-106 -OFFICIAL PLAN AMENDMENT OP 11/02/H/VW - ZONE CHANGE APPLICATION ZC 11/08/H/JVW - 1011 HOMER WATSON BOULEVARD - 1473450 ONTARIO LTD. (KITCHENER FRAME) (CONT'D) Greater Golden Horseshoe, commercial jobs are included for the "employment" numbers and that it is only in a conversion proposal that major retail uses are defined to be "non- employment". He indicated that it is Section 2.2.6.5 of the Growth Plan that prevents "conversion" in employment areas to non-employment uses; in his opinion, this proposal represents a regeneration and not a conversion. Mr. Doug Annand, Urban Metrics, outlined the findings contained within the supporting document, Employment Land Needs Analysis. Mr. Annand advised that the purpose of the study was to evaluate the City of Kitchener's employment land needs and the suitability of the site for mixed use development including 11.48 ha. of retail commercial. He noted that many of the proposed commercial uses are already permitted. He referenced the City of Kitchener's Employment Needs Study, which indicated that the City's needs would be met to 2029 and beyond, with an excess capacity of employment land for more than 17,000. jobs by 2029. He outlined the benefits of the proposal including the enhanced ability to finance the overall development, amenities for employees, 2,300. new jobs, with over $9M in fiscal benefits to the Municipality and the Region of Waterloo. Mr. Hermann Kircher, Kircher Research, outlined the findings of the South Kitchener Retail Market Demand and Impact Analysis. He advised that the commercial development would prove to be a catalyst for development of industrial use for 75% of the land. He added that the proposed retail development would be equal to 5.9-7% of the existing retail inventory and that to meet the projected retail space demand for the next ten years, 1.1 M sq. ft. of retail space would be required. Mr. Kircher noted that the impact analysis of the proposed retail development will have no long-term detrimental impact on any existing retail centre. Mr. Alan Patton, on behalf of the Applicant, provided brief comments in summary of the proponents' rationale. He stated that the amendments would provide employment as well as development of 67 industrial acres. Trends for smaller parcels of industrial land could be accommodated. He further summarized that the internal servicing costs to the site would be large but could be assisted with the development of the commercial uses. Mr. J. Willmer urged members to focus on the key issues; namely that staff has stated this application represents a land conversion and the proponents are stating that this is land regeneration which should remain the area of focus. In response to questions, Mr. Priamo indicated that the proposed development is ten percent larger than the concept proposed during the initial discussions with staff. He stated that the proposed commercial uses were to front along Bleams Road; however, the frontage was subsequently changed to rely on existing roads and to provide depth of campus. He further responded that they would revisit the location of the commercial development to provide the best opportunity with the least impact. He stated that rather than ignore comprehensive planning policies as has been suggested, they have taken particular regard to said policies, particularly the Official Plan which, in Section 3.3, contemplates the possible introduction of mixed use nodes and sets out the requirements to assess such requests. Mr. Priamo indicated that the client purchased the land two years ago and has authorized the demolition of a portion of the existing building. The intention is to re-purpose the remainder of the structure but would have it demolished if it was required for a new use; and that although they do not have a manufacturing user at this time there has been interest. Councillor Z. Janecki asked if the impact of existing commercial uses in a two mile radius had been examined. Mr. H. Kircher responded that the market analysis study determined that 7000. sq. ft. more retail use could be introduced, over and above the amount proposed, before having a negative impact on existing commercial businesses. He further confirmed that current zoned lands under development could proceed without negative impact in existing nodes. PLANNING & STRATEGIC INITIATIVES COMMITTEE MINUTES AUGUST 13. 2012 - 60 - CITY OF KITCHENER 4. CSD-12-106 -OFFICIAL PLAN AMENDMENT OP 11/02/H/VW - ZONE CHANGE APPLICATION ZC 11/08/H/JVW - 1011 HOMER WATSON BOULEVARD - 1473450 ONTARIO LTD. (KITCHENER FRAME) (CONT'D) Councillor Z. Janecki asked for clarification of the definition of regeneration and conversion. Mr. Zakem responded that regeneration is not defined in the Provincial Policy Statement; however, it is commonly used to describe brownfield sites. A conversion is an altering or change in use. He pointed out that as retail is a permitted use, this is not a conversion and that they are seeking to broaden the use. In answer to questions, Mr. Priamo advised that although a number of commercial uses are permitted under the current M-2 Zoning, approximately 30%-40% of the proposed uses would require amendment to permit retail. He added that the owners of the property examined the market place and determined that to deliver their vision of the entire site, a commercial component would be required and that this development delivers maximum benefit to the City of Kitchener and the people in the area. He continued that, although he is not aware of any major industrial users interested in the site, major shopping centre developers have expressed an interest in the development. Councillor B. loannidis inquired as to whether the client was aware of the land use designation prior to submitting a development application. Mr. Priamo confirmed that the owners were aware of the current designations of the property and the process on which they were embarking. He noted that the owners are industrial rather than commercial developers but were aware of the process and land needs study. Councillor Y. Fernandes inquired if transit was being considered for the development. Mr. Priamo responded that a full Traffic Impact Study has been submitted and reviewed by City staff and the Region of Waterloo. It is expected that there is the ability to route through existing roads and introduce transit at the commercial centre. Concern was expressed with the proximity to existing commercial plazas such as Forest Glenn and Pioneer Park. Mr. Kircher responded that full analysis was completed and agreed that the Forest Glenn area does not need more retail but that there is enough transferable volume to accommodate additional retail space. Mayor C. Zehr asked Mr. Pinard to comment on the focal point of the application, being the definition of conversion and regeneration. Mr. Pinard responded that staff does not share the opinion of the applicants, and stated this is a conversion. He added that Regional staff who comment on behalf of the Province have confirmed that this application represents a conversion. He continued that in the Provincial Policy Statement framework some clauses are specific to employment areas and in the view of Planning staff, the proposal is not ancillary in nature but is a retail destination. He further indicated that because this is a conversion, staff does not support the application and there are long-term implications from an economic development perspective. He added that staff are very confident in their analysis. Mr. Pinard noted that regeneration is not defined; however, it is typically used for older undesirable uses and is identified in the City of Kitchener's Official Plan as Comprehensive Development Areas, such as 1 Adam Street. He elaborated that when the CREL was completed, a number of areas available for industrial conversion were identified that could be suitable for regeneration. The proposed site was not identified as suitable for regeneration. A motion by Councillor Z. Janecki was brought forward to defer consideration of Official Plan Amendment and Zone Change for 1011 Homer Watson Boulevard to allow time for Council and staff to review the information contained within the presentation provided by Mr. Priamo. Several members expressed interest in a deferral to allow for time to receive comments from staff. Mayor Zehr commented that he is in support of a deferral and indicated that there are various percentages of land being referred to on the site and called attention to the fact that there is a long-term lease with respect to Budd Park. He continued that the issue is converting this land to another use and he has remained consistent to past owners of Budd Automotive, Kitchener Frame and the current owners of the property that he would not be in support of a conversion. He concluded that unless a drastic change to the proposal is made that will support long-term gains to the City of Kitchener and the Region of Waterloo, he will not be in support of a zone change. PLANNING & STRATEGIC INITIATIVES COMMITTEE MINUTES AUGUST 13, 2012 - 61 - CITY OF KITCHENER CSD-12-106 -OFFICIAL PLAN AMENDMENT OP 11/02/H/VW - ZONE CHANGE APPLICATION ZC 11/08/H/JVW - 1011 HOMER WATSON BOULEVARD - 1473450 ONTARIO LTD. (KITCHENER FRAME) (CONT'D) Councillor B. Vrbanovic inquired if a peer review was normally conducted during a land use designation change to retail. Mr. A. Pinard responded that in past staff have conducted a peer review; however, as stated in the report, other issues such as the land conversion issue and economic development considerations were deemed more significant, so a peer review was not requested. Staff was then directed to provide costs and atime-line for a peer review of the Market & Impact Analysis study for the next Council meeting. Councillor D. Glenn-Graham also asked that staff provide comments to Council on the legal argument provided by Mr. Zakem regarding the Growth Plan, "Policy 2.2.6.5 only applies to employment areas that are not downtown areas or regeneration areas. For the employment areas that are downtown areas or regeneration areas, policy 1.3.2 of the PPS, 2005 continues to apply." The following motion was then voted on by a recorded vote and Carried Unanimously. On motion by Councillor Z. Janecki - itwas resolved: "That the recommendation contained within Community Services Department report CSD-12-106 pertaining to an Official Plan Amendment and Zone Change for 1011 Homer Watson Boulevard be deferred to the September 24, 2012 Planning & Strategic Initiatives Committee meeting to allow staff to respond to the proponent's submission, including the impact of reorienting the commercial development to Bleams Road with a reduction of the overall size of the proposal and further, That staff be directed to return to the August 27, 2012 Council meeting with cost analysis and time line to conduct a peer review of the South Kitchener Retail Market Demand and Impact Analysis prepared by Kircher Research dated January 17, 2011." ADJOURNMENT On motion, this meeting adjourned at 10:24 p. m. Daphne Livingstone Committee Administrator