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HomeMy WebLinkAboutRes 96-28 CUP 96-6 Rick and Shelly Muro Health Club CITY OF PALM DESERT STAFF REPORT I . TO: HONORABLE MAYOR AND CITY COUNCIL II . REQUEST: CONSIDERATION OF APPEAL TO A DECISION OF THE PLANNING COMMISSION APPROVING FOR A TEMPORARY PERIOD A CONDITIONAL USE PERMIT FOR RICK AND SHELLY MURO FOR A 4248 SQUARE FOOT HEALTH CLUB INCLUDING GYM EQUIPMENT, EXERCISE CLASSES, PHYSICAL THERAPY AND RELATED USES IN SUITES B AND J OF THE BUILDING LOCATED AT 74-040 HIGHWAY 111 III . APPELLANT: CITY OF PALM DESERT/CITY COUNCIL CALL-UP IV. CASE NO. : CUP 96-6 V. DATE: APRIL 25, 1996 VI . CONTENTS : A. STAFF RECOMMENDATION B. DISCUSSION C . DRAFT RESOLUTION D. PLANNING COMMISSION MINUTES INVOLVING CASE CUP 96-6 E . PLANNING COMMISSION RESOLUTION NO. 1730 F . PLANNING COMMISSION STAFF REPORT DATED MARCH 19 , 1996 G. RELATED MAPS AND EXHIBITS A. STAFF RECOMMENDATION: That the city council affirm the action of the planning commission and allow the temporary operation of the health club for a temporary period expiring on March 1, 1997 . B. DISCUSSION: March 19 , 1996 the planning commission held a hearing on this matter to consider the request to allow the health club to operate for a temporary period at this location. Said conditional use permit to expire March 1, 1997 with the understanding that the use will be able to relocate before March 1, 1997 to a new building which the applicant will have built. STAFF REPORT CASE NO. CUP 96-6 APRIL 25, 1996 In the end, the commission on a 3-2 vote (Beaty and Ferguson opposed)granted the requested C.U.P. for a temporary period with amendments to the conditions suggested by staff, specifically Conditions No. 8 and 9 which now read as follows : 8 . That the applicant and/or an appropriate partner shall file appropriate complete precise plan of design applications and any other necessary applications for approval of a new health club facility with the Department of Community Development no later than May 15, 1996 . Failure to file in a timely manner shall result in a new hearing before Planning Commission and possible revocation of this conditional use permit. 9 . That the applicant and/or an appropriate partner shall pull required building permits and commence construction for the new health club facility no later than September 1, 1996 . Failure to acquire the required building permits and commence construction by September 1, 1996 shall result in a new hearing before Planning Commission and possible revocation of this conditional use permit. March 29 , 1996 the department received a timely appeal from Councilmembeer Benson and subsequently the matter was re- noticed and re-advertised. r Prepared by: �� '�•� � Reviewed and Approved by: Attachments SS/db CITY COUNCIL ACTION: APPROVED DENIED RECEIVED OTHER f f6-.S' Eyo-.17�'S ‘1"-- ' ING D -19(o NC ,: J A: 'NT: -tom ,, --3 A:: VAIN: , . LFIED BY: ? /, dE --- )rlginal on File with City Clerks utf >. RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, APPROVING A CONDITIONAL USE PERMIT TO ALLOW THE TEMPORARY OPERATION OF A 4248 SQUARE FOOT HEALTH CLUB INCLUDING GYM EQUIPMENT, EXERCISE CLASSES, PHYSICAL THERAPY AND RELATED USES IN SUITES B AND J IN THE HIGHWAY 111 FRONTING BUILDING OF A 40, 000 SQUARE FOOT RETAIL/OFFICE COMPLEX AT THE NORTHEAST CORNER OF PORTOLA AVENUE AND HIGHWAY 111 . CASE NO. CUP 96-6 WHEREAS, the City Council of the City of Palm Desert, California, did on the 25th day of April, 1996 , hold a duly noticed public hearing to consider the request of RICH AND SHELLY MURO for approval of a conditional use permit to allow the temporary operation of a 4248 square foot health club including gym equipment, exercise classes, physical therapy and related uses in Suite B and J to be located in the Highway 111 fronting building of a 40, 000 square foot retail/office complex at the northeast corner of Portola Avenue and Highway 111; and WHEREAS, the Planning Commission of the City of Palm Desert, California has, by its Resolution No. 1730, approved the requested conditional use permit; and WHEREAS, said application has complied with the requirements of the "City of Palm Desert Procedure for Implementation of the California Environmental Quality Act, Resolution No. 80-89, " in that the director of community development has determined that the project is a Class 3 categorical exemption for purposes of CEQA; and WHEREAS, at said public hearing, upon hearing and considering all testimony and arguments, if any, of all interested persons desiring to be heard, said city council did find the following facts and reasons to exist to justify the granting of said conditional use permit: 1 . The location of a health club within retail commercial complexes is complimentary and beneficial to retail tenants in the vicinity. 2 . The mix of uses and their peak operation hours in the retail/ office complex and the available parking supplies are such that the proposed health club will not create a parking shortage in the area if the health club hours are appropriately limited. 3 . The proposed use is consistent with the goals and objectives of the general commercial zone, Commercial Core Area Specific Plan and the Palm Desert General Plan. 4 . The proposed location of the conditional use and the conditions under which it will be operated and maintained will not be detrimental to the public health, safety or general welfare, or be materially injurious to properties or improvements in the vicinity. RESOLUTION NO. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Palm Desert, California, as follows : 1 . That the above recitations are true and correct and constitute the findings of the commission in this case. 2 . That approval of Conditional Use Permit 96-6 is hereby granted, subject to the attached conditions . PASSED, APPROVED and ADOPTED at a regular meeting of the Palm Desert City Council, held on this 25th day of April, 1996 , by the following vote, to wit: AYES: NOES : ABSENT: ABSTAIN: WALTER S . SNYDER, Mayor ATTEST: SHEILA GILLIGAN, CITY CLERK CITY OF PALM DESERT, CALIFORNIA 2 RESOLUTION NO. CONDITIONS OF APPROVAL CASE NO. CUP 96-6 Department of Community Development: 1 . Applicant shall comply with all state, county, and city regulations concerning health club use. 2 . The applicant shall obtain all necessary architectural review commission and department of building and safety permits required by any physical modification of the site. 3 . Health club shall be limited to 4248 square feet in area. 4 . Health club trash shall be restricted to south Alessandro parking lot trash dumpsters only. 5 . That this condi 'onal se permit is approved for a temporary period only and sha expire February 28, 1997 , unless extended which can only oc r bsequent to a public hearing held by the Planning Commis 'on. 6 . That during the hours that the aerobic room (Suite J) and the gym (Suite B) are in operation, the doors shall be closed so that loud music does not impact on the residential area to the north on tenants/customers of other businesses . 7 . That the exercise classes in Suite J shall conclude by 6 : 15 p.m. and that the premises be closed, vacant and locked by 6 : 30 p.m. unless the applicant provides ten ( 10) additional parking spaces from the northeast corner of the north parking lot, and in which case then the hours noted earlier herein will be 7 :45 p.m. and 8 : 00 p.m. 8 . That the applicant and/or an appropriate partner shall file appropriate complete precise plan of design applications and any other necessary applications for approval of a new health club facility with the Department of Community Development no later than May 15, 1996 . Failure to file in a timely manner shall result in a new hearing before Planning Commission and possible revocation of this conditional use permit. 9 . That the applicant and/or an appropriate partner shall pull required building permits and commence construction for the new health club facility no later than September 1, 1996 . Failure to acquire the required building permit and commence construction by September 1, 1996 shall result in a new hearing before Planning Commission and possible revocation of this conditional use permit. 3 RESOLUTION NO. 10 . Payment of TUMF unless waived by appropriated authorities . 11 . Project is subject to Art in Public Places program per Palm Desert Municipal Code Chapter 4 . 10 . 12 . That on the inside of the west facing glass adjacent to Portola Avenue the applicant install appropriate screening material to screen occupants from view from the public street. 4 MINUTES PALM DESERT PLANNING COMMISSION MARCH 19, 1996 Chairperson Beaty asked if Ruth' s Chris was operating under a conditional use permit. Mr. Drell replied that all restaurants were. Chairperson Beaty asked for assurances from staff that this would be followed up on and remedied somehow and noted that Mr. Oliphant indicated that he would cooperate. Mr. Oliphant said they were working on that. Chairperson Beaty asked if the permit was up for review. Mr. Drell concurred. F. Case No. CUP 96-8 - PARCIVAL LTD. dba DOUG ARANGO' S, Applicant Request for approval of a conditional use permit to allow the patio expansion for approximately 30 seats at the former Dominick Mancuso' s Trattoria located at the northeast corner of El Paseo and San Pablo. Mr. Smith explained that Doug Arango' s has operated in the Von' s center for some time. They wish to relocate into the former Dominick Mancuso' s Trattoria at El Paseo and San Pablo. There was an existing conditional use permit in effect for that restaurant. It did not include the patio dining that Doug Arango' s wishes to develop. There was a rendering of the view from El Paseo looking to the north. The matter received preliminary approval from the Architectural Review Commission, subject to some architectural details on the roof and various items . He also noted that the patio area extended approximately two feet into the public right-of-way and either the plan would have to be narrowed down to take it out of the public right-of-way or they would have to obtain an encroachment permit from the Public Works Department. Either way he felt the request for 30 seats could be accommodated. There were 75 parking spaces available onsite. Staff did not conduct a parking survey. With the major use not there he felt the results would be less than meaningful . There was a lot of street parking available and the existing 200 temporary parking spaces directly across the street on the Ahmanson site and when Saks develops there would also be 200 spaces in the parking structure available for general use. He stated that he was not aware of any parking problem that was in existence at this time. Staff didn't feel the additional patio dining here would impact adversely. Staff recommended approval subject to the conditions contained in the draft resolution which put a maximum number of seats indoor and outdoor at 125 people. 24 PLANNING COMMISSION RESOLUTION NO. 1730 n 7,SZ - -757.0N ._0- CITY OF PALM lir;5r.xr, LALiruxNIA, ArPhOVIivu A CONDITIONAL USE PERMIT TO ALLOW THE TEMPORARY OPERATION OF A 4248 SQUARE FOOT HEALTH CLUB INCLUDING GYM EQUIPMENT, EXERCISE CLASSES, PHYSICAL THERAPY AND RELATED USES IN SUITES B AND J IN THE HIGHWAY 111 FRONTING BUILDING OF A 40, 000 SQUARE UARE FOOT RETAIL/OFFICE COMPLEX AT THE NORTHEAST CORNER OF PORTOLA AVENUE AND HIGHWAY 111 . CASE NO. CUP 96-6 WHEREAS, the Planning Commission of the City of Palm Desert, California, did on the 19th day of March, 1996 , hold a duly noticed public hearing to consider the request of RICH AND SHELLY MURO for approval of a conditional use permit to allow the temporary operation of a 4248 square foot health club including gym equipment, exercise classes , physical therapy and related uses in Suite B and J to be located in the Highway 111 fronting building of a 40, 000 square foot retail/office complex at the northeast corner of Portola Avenue and Highway 111; and WHEREAS, said application has complied with the requirements of the "City of Palm Desert Procedure for Implementation of the California Environmental Quality Act, Resolution No . 80-89 , " in that the director of community development has determined that the project is a Class 3 categorical exemption for purposes of CEQA; and WHEREAS, at said public hearing, upon hearing and considering all testimony and arguments , if any, of all interested persons desiring to be heard, said planning commission did find the following facts and reasons to exist to justify the granting of said conditional use permit : 1 . The location of a health club within retail commercial complexes is complimentary and beneficial to retail tenants in the vicinity. 2 . The mix of uses and their peak operation hours in the retail/ office complex and the available parking supplies are such that the proposed health club will not create a parking shortage in the area if the health club hours are appropriately limited. 3 . The proposed use is consistent with the goals and objectives of the general commercial zone, Commercial Core Area Specific Plan and the Palm Desert General Plan. 4 . The proposed location of the conditional use and the conditions under which it will be operated and maintained will not be detrimental to the public health, safety or general welfare, or he materially injurious to properties or improvements in the vicinity. PLANNING COMMISSION RESOLUTION NO. 1730 NOW, THEREFORE, BE IT RESOLVED by the Planning Commission of the City of Palm Desert, California, as follows : 1 . That the above recitations are true and correct and constitute the findings of the commission in this case . 2 . That approval of Conditional Use Permit 96-6 is hereby granted, subject to the attached conditions . PASSED, APPROVED and ADOPTED at a regular meeting of the Palm Desert Planning Commission, held on this 19th day of March, 1996 , by the following vote, to wit: AYES : CAMPBELL, FERNANDEZ , JONATHAN NOES : BEATY, FERGUSON ABSENT: NONE ABSTAIN: NONE PAUL R. BEATY, Chairperson ATTEST: PHILIP DWELL, SECRETAR PALM DES T PLANNING COMMISSION 2 PLANNING COMMISSION RESOLUTION NO. 1730 CONDITIONS OF APPROVAL CASE NO. CUP 96-6 Department of Community Development: 1 . Applicant shall comply with all state, county, and city regulations concerning health club use. 2 . The applicant shall obtain all necessary architectural review commission and department of building and safety permits required by any physical modification of the site. 3 . Health club shall be limited to 4248 square feet in area. 4 . Health club trash shall be restricted to south Alessandro parking lot trash dumpsters only. 5 . That this conditional use permit is approved for a temporary period only and shall expire February 28 , 1997 , unless extended which can only occur subsequent to a public hearing held by the Planning Commission. 6 . That during the hours that the aerobic room ( Suite J) and the gym ( Suite B) are in operation, the doors shall be closed so that loud music does not impact on the residential area to the north on tenants/customers of other businesses . 7 . That the exercise classes in Suite J shall conclude by 6 : 15 p.m. and that the premises be closed, vacant and locked by 6 : 30 p.m. unless the applicant provides ten ( 10 ) additional parking spaces from the northeast corner of the north parking lot, and in which case then the hours noted earlier herein will be 7 : 45 p.m. and 8 : 00 p.m. 8 . That the applicant and/or an appropriate partner shall file appropriate complete precise plan of design applications and any other necessary applications for approval of a new health club facility with the Department of Community Development no later than May 15 , 1996 . Failure to file in a timely manner shall result in a new hearing before Planning Commission and possible revocation of this conditional use permit. 9 . That the applicant and/or an appropriate partner shall pull required building permits and commence construction for the new health club facility no later than September 1, 1996 . Failure to acquire the required building permit and commence construction by September 1, 1996 shall result in a new hearing before Planning Commission and possible revocation of this conditional use permit. 3 PLANNING COMMISSION RESOLUTION NO. 1730 10 . Payment of TUMF unless waived by appropriated authorities . t 11 . Project is subject to Art in Public Places program per Palm Desert Municipal Code Chapter 4 . 10 . 12 . That on the inside of the west facing glass adjacent to Portola Avenue the applicant install appropriate screening material to screen occupants from view from the public street . 4 CITY OF PALM DESERT DEPARTMENT OF COMMUNITY DEVELOPMENT STAFF REPORT TO: Planning Commission DATE: March 19 , 1996 CASE NO: CUP 96-6 REQUEST: Approval of a conditional use permit to allow the temporary operation of a 4248 square foot health club including gym equipment, exercise classes , physical therapy and related uses in suites B and J of the building located at 74-040 Highway 111 . APPLICANT: Rick and Shelly Muro 74-040 Highway 111 Palm Desert, CA 92260 I . BACKGROUND: This application is to allow the temporary operation of a 4248 square foot health club in the Ruth' s Chris building at the northeast corner of Highway 111 and Alessandro. The applicants have been in business on El Paseo, Palm Desert, for the last ten years . Originally as an aerobic studio and growing to a full health club facility. The Fitness Mart now has an average of five employees and plans for an additional expansion here in Palm Desert. In late 1995 they had successfully negotiated a lease for over 17 , 000 square feet at the One Eleven Town Center. During this time they also negotiated a termination of their current lease at Palms to Pines Center. Festival Management, the leasing agent for the One Eleven Town Center, later notified them that the owners had chosen to not execute any leases by Festival due to the potential sale of the property. Thus , the applicants were left without suitable rental space. Due to the nature of the business and client base, they needed to find immediate tenancy with minimal improvements . Richard Oliphant of Oliphant, Lizza and Associates offered to lease the above stated location with the improvements and timing necessary. The applicants began operating in late January without benefit of appropriate permits ( i .e. conditional use permit) . February 15, 1996 we received this conditional use permit application. Staff considered closing them down but felt that the circumstances with them losing their previous lease and having commitments to existing members warranted some leeway. As well, allowing them to continue to operate allowed us to conduct a meaningful parking survey to see how full the parking lot is at various times of the day and night . STAFF REPORT CUP 96-6 MARCH 19 , 1996 II . ANALYSIS : The buildings at the northeast corner of Highway 111 and Portola (both sides of Alessandro) have a total of 40 , 000 square feet. The south building has 28 , 000 square feet and the north building 12 , 000 square feet . The south building houses two previously approved restaurants (CUP 91-9 ) with a total of 8, 000 square feet (Ruth ' s Chris 6 , 000 square feet and Tsing Tao 2 , 000 square feet) . The 8 , 000 square feet of restaurant complies with our 20% limit when calculated across the building area of the two complexes . Both restaurants have done quite well and the parking lot at night reflects this success . The two complexes are supported by a total of 128 parking spaces . The south building has 46 spaces including two handicap spaces . The north buildings have a total of 82 spaces . The 82 spaces are made up of 64 open spaces and 18 reserved covered spaces on the east and north side of the corner building. During the day when only Tsing Tao is open for lunch we have 128 spaces available to serve the two complexes . The parking survey indicates that the south lot (46 spaces) is crowded, but not at 100% occupancy. This level reflects any impact which the Fitness Mart may be creating. During the day the north lots have ample spaces available . The average occupancy of the generally available area is 13 . 8/64 21 . 6% and the covered area averages 11 . 3/18 62 . 2% . At night the situation changes dramatically. We conducted parking counts on various nights of the week and can confirm that the restaurants do equally well all nights of the week. While we counted cars we also counted the number of people attending the Fitness Mart (gym and aerobics classes) . Essentially, the parking survey confirms that the south lot, the close in convenient lot, is full from 6 : 15 p.m. until late in the evening. The valet parkers use the open lot to the north and from 6 : 45 p.m. , it is at capacity plus ( i . e . cars stacked in aisles ) . The 18 reserved spaces are generally not used in the evenings but are reserved for the office users . The valet parkers respect this and do not fill these spaces . A few self-parkers for the 2 STAFF REPORT CUP 96-6 MARCH 19 , 1996 restaurants and/or Fitness Mart were observed parking in the reserved area. We have recently had complaints from area residents to the north that the valet parkers are creating noise (revving up engines , talking loudly, etc . ) in the north lot adjacent to the rear wall of the residences to the north. We met with the manager of Ruth' s Chris who hires the valet firm and he assured staff that the problems would be remedied. We have not heard from the residents recently. III . CONCLUSION: Under normal circumstances staff would not even consider adding a high traffic generating use to an existing crowded situation, however, given the applicant ' s circumstances and the temporary nature of the request (the applicant seeks approval to operate until February 28, 1997 ) staff have looked at this matter with a view to approving the CUP subject to conditions to mitigate impacts created by the Fitness Mart . The applicant indicates in their letter attached to the CUP application that, "Our intention at this location is to provide minimum services to our members and guests until the development of a larger full spectrum club can be completed here in Palm Desert . We are currently negotiating financing and finalizing Architectural plans on a 17 , 000 sq. ft. site in the heart of Palm Desert . At this location we project to produce revenue near $1 , 000 , 000 . 00 annually and employ a much larger staff . Our goal is to be relocated by March 1, 1997 . We are sure to be a major asset to the community both financially and socially in Palm Desert. " The parking counts and discussions with restaurant employees indicate that the restaurants become busy around 6 : 45 p.m. Therefore, if we can minimize the impacts and use of the Fitness Mart from 6 : 30 p.m. onward then perhaps we can approve this CUP for a temporary period expiring on February 28 , 1997 . The daytime operation of the Fitness Mart had little or no impact on the available parking in the area because Ruth' s Chris is a dinner house and Tsing Tao, while open for lunch, was not too busy on the days we visited. Our recommendation to commission then will be to grant approval of the conditional use permit for a temporary period expiring on February 28, 1997 , and subject to conditions limiting the use of the health club after 6 : 15 p.m. 3 STAFF REPORT CUP 96-6 MARCH 19 , 1996 As of this time we do not have an application for the new location mentioned by the applicant . In order that we can be assured that the applicant ' s February 28 , 1997 date can be met, we will propose conditions on this approval requiring that the new location be at certain points in its approval process and construction by certain dates . Failure to comply with these dates will result in further hearings and possible revocation of this conditional use permit . We will suggest that the applicant be required to file a complete precise plan and any other applications no later than May 15 , 1996 and that building permits be issued and construction commenced no later than September 1 , 1996 . IV. RECOMMENDATION: Approve findings and adopt Planning Commission Resolution No . approving CUP 96-6 , subject to conditions . V. ATTACHMENTS : A. Draft resolution B. Legal notice C. Comments from city departments and other agencies D. Plans and exhibits Prepared by Steve Smith Reviewed and Approved by Phil Drell /tm 4 MINUTES PALM DESERT PLANNING COMMISSION MARCH 19, 1996 approval he wished to waive that item because of having those additional parking spaces . Mr. Drell asked how many additional spaces they were able to obtain. Mr. Muro replied ten. Mr. Drell said he didn't know if that condition could be waived; ten spaces didn't satisfy typically what a class could be, although it might make them more comfortable in letting the gym use to continue during those hours, but at the very least it would limit the class size to ten. He said the decision was up to the commission. Commissioner Campbell asked if more spaces could be obtained from Ace Hardware. Mr. Muro said that Mr. Oliphant has attempted several times in the past, but to no avail . Mr. Gregory' s option was the only option they had available. He said the whole point was that this use was temporary in nature. They have been in business on El Paseo for ten years . Their membership was generally at capacity based on the square footage they have--they have over 700 members and it was not like they would gain 20%-30% in the next year, and they didn' t intend to. They were only here temporarily until the other location could be secured and developed. Commissioner Campbell asked if they had ever had a problem on El Paseo as far as parking was concerned. Mr. Muro replied no. He said that the members don't seem to have a problem at this point in time. He hasn't had one complaint from a member. They don't like walking across the street there because at their previous location everyone could park in front of the club. Other than that the members haven't even complained about the limited parking available in the evening. He again noted that they were able to secure ten additional spaces over and beyond what staff reported on. He requested, based on the conversation with Mr. Dell and Mr. Smith, that item #7 be waived. The reason was simply that if not, he was, like Mr. Drell pointed out, under contractual obligations to these individuals so he would not only have immediate loss in terms of refunds, but future losses in terms of dues that would be produced for these individuals that take the 6 : 30 p.m. to 7 : 30 p.m. class in the evening. The average size class was about four to six people. 13 MINUTES PALM DESERT PLANNING COMMISSION MARCH 19 , 1996 Seventy percent of their facility' s use was before 4 : 00 p.m. Commissioner Campbell said that she has noticed the aerobic classes on Portola on the J Suite in the morning. Mr. Muro said that out of their 700 members, only about 20% of the members take aerobic classes on a regular basis; it was not like there was a huge amount of people. Commissioner Ferguson noted that 20% of 700 members would be 140 people. Mr. Muro said that was through the course of seven days . Commissioner Ferguson asked how comfortable Mr. Muro was with the deadline dates setforth by staff with respect to May 15 and September 1, 1996 . Mr. Muro replied very comfortable and said that they were well on the way with that project and he didn't feel those dates were a problem. Commissioner Ferguson asked if Mr. Muro would entertain an amendment to the conditional use permit that said if he missed either date that he would vacate the premises by October 1st of this year. Mr. Muro said no, he didn' t think that was satisfactory. The conditions of approval that were set were reasonable and on that basis they should be allowed to stay for a year simply because they didn't plan any growth at that point in time. Even if they were unable to meet a deadline, as an example start construction by September 1 because they brought additional plans, what they were dealing with on the plans now was having additional parking. They were planning a 20, 000 square foot facility at the northwest corner of Fred Waring and Monterey and they were dealing with having enough parking so he could come to Planning Commission with a set of plans with the commission saying, "Great, you have 30 spaces more than you need" . That was what they were dealing with right now. On that basis, if in fact they come before commission with plans and the commission says no, they need additional things, then that would push them back farther. He didn' t feel he should have to close his business and he had been in business in Palm Desert for ten years . There were certain factors involved that he had no control over. 14 MINUTES PALM DESERT PLANNING COMMISSION MARCH 19, 1996 Commissioner Ferguson said that he could understand and appreciate that and he would be willing to condition this date on first submission by the applicant, but he didn't like how Mr. Muro got into this location. There were permitting procedures that were ordinarily followed. He respected the fact that Mr. Muro contributes to the community and had been here for ten years, but he wasn't supposed to be in the location he was now. He felt that staff had gone to great lengths to try and assist him. He was willing to work with him, but he wanted Mr. Muro to work with him as well . He was a square peg in a round hole and he didn' t like the business there during the season and if he could get into a facility, that was great and they would review his plans and work with him, but he was not sure he wanted this use there for another season if something fell through and Mr. Muro couldn't find larger accommodations . That was the purpose of his question. Mr. Muro replied that if that was an ultimatum he would have to accept it. Commissioner Ferguson clarified that it was a question which he would like to have answered. Mr. Muro said that he would have to agree with that. Chairperson Beaty asked if anyone wished to address the commission in FAVOR or OPPOSITION to the proposal . MR. GARY TRYON, 74-047 San Marino Circle, stated that he lived directly across from Ruth' s Chris and his home backs up to the parking lot on the north side of Alessandro. He said that he and his neighbor were surrounded by the parking lot now. He said that with all due respect to Mr. Smith, he was not the one who had to live with this situation. They were. He said that it was a circus out there now and had been for four and a half years . If anyone wanted to dispute this, he had hours of video and audio tape to prove it. About six weeks ago he gave a short video tape to Wayne Ramsey from Code Compliance. They made some minor changes that had done nothing to alleviate the noise they live with. Chairperson Beaty asked if the noise problem was during the evening hours . Mr. Tryon concurred. He said they had no problem with the daytime businesses . The problem was the noisy nighttime businesses that had been allowed to locate there and spill across the street into the north parking lot. The parking spaces were within eight feet of his bed and he had to live with this every night and they 15 MINUTES PALM DESERT PLANNING COMMISSION MARCH 19, 1996 were out there until 11 : 00 p.m. and 12 : 00 p.m. every night. MR. RAY WINNER, 74-039 San Marino Circle, a resident behind the parking lots, stated that he did not object to the business but management of the parking lot was very poor. There was so much noise it was out of control . He had talked to Code Enforcement, tried to talk to the manager of Ruth' s Chris, and the big problem was that no one wanted to take any authority to do anything about controlling it. There was valet parking. The problem was that there was no one to control the auto alarms and the noise after they come out of the businesses . His bedroom was only about 13 feet from the parking lot, the west side of the parking lot where there were 16 parking spaces . He had an agreement with Ron Gregory through Ruth' s Chris that no one would park in there at night because there were hundreds of car doors being slammed every night. When it first started they jumped up every minute to see if someone was out there. It continues and goes on continuously. He didn't think putting more cars in that parking lot would solve the problem. Commissioner Ferguson asked Mr. Winner when the noise and nuisance he talked about occurred. Mr. Winner said that it started around 6 : 00 p.m. and ended around midnight. He also said that they had a real problem with the employees of this business . They parked right up against the wall . There was a lot of noise going on and they came out late at night anywhere from 10 : 15 p.m. to 11 :45 p.m. and they made all kinds of noise. He tried to get this worked out on a one-to-one basis . That hasn't worked. He knew that growth in the city was important but what happened was that no one wanted to take the authority to control this lot. They ended up being the watchdog for this and there was a lot of other things going on in that lot. He felt at one time that they should have security out there. The Sheriff ' s Department pulls stolen cars out of there, people leave there drunk and get into arguments and they' re out there at 11 : 00 p.m. screaming, and this went on all the time. Auto alarms go off and run 15 minutes at a time. He objected to the project. Chairperson Beaty said that Mr. Winner was describing a situation that was not really being addressed with this conditional use permit. He was not saying that the commission was not concerned, but he was asking for comments to help this problem. 16 MINUTES PALM DESERT PLANNING COMMISSION MARCH 19 , 1996 MR. RICHARD OLIPHANT, 45-500 Navaho Road in Indian Wells, stated that what they were discussing tonight was not an issue for this public hearing because they were talking about something that did not occur in the evening or late at night . He wanted to comment though. They did have some consideration for them and did sympathize with the situation. At the time they built that building in 1991 they attempted to buy all the houses in that area. They were not able to buy those two houses so they were forced to build around them, which was fullyapprovedthroughlegal the le al process here in Palm Desert. That didn ' t excuse the fact that they were being disturbed by a lot of noise at night. Unfortunately, the quality of help they got in valet service was not always the greatest and they did bang doors, bumped the horns, parked the cars and set off alarms . That was inherent in the valet business . It was something that he no control over because the valet company didn' t work for him. They work for Ruth' s Chris and they have talked with Ruth' s Chris on a regular basis . They were in the process right now with negotiating with Ruth' s Chris with regard to the quality of the valet service to try and upgrade that . Hopefully they would be able to achieve that within the next 30-45 days . The issue being discussed tonight dealt with Rick and Shelley Muro and he had tried to assist them because it was a well established business in Palm Desert . This business was in a real terrible situation when they came to him and asked for his assistance. The reason there was a period of time between the actual time they moved in and the application before commission was because they did two things . One, he couldn' t allow them to move in there and pay a TUMF fee. There was a huge TUMF fee on that type of business . He went to the traffic commission of CVAG to discuss the TUMF fee because this was a temporary use. They paid a TUMF fee where they were at now and would pay a TUMF fee where they were going, this was just a stopover until they get to their ultimate destination. He helped write those original TUMF laws when he was Mayor of Indian Wells . He went to CVAG and suggested that there was something that they had missed at the time they wrote those laws because they hadn' t considered temporary uses and should. It was considered by the traffic commission and they waived the TUMF fees for this temporary move . He took that to the executive committee and they waived it as well . During that time Mr. Drell and his staff did traffic studies . Once they had all that information they put it all together and got the application in. He said this was a temporary use in his building. Mr. Muro couldn' t stay there beyond 12 months from when he moved in, or 17 MINUTES PALM DESERT PLANNING COMMISSION MARCH 19 , 1996 February 28 actually. That date was arrived at because they put together a development construction schedule for the site he was going to. He felt that was a pretty legitimate schedule and felt they would be able to meet that schedule. In any event, if for some reason the building started to unravel or Mr. Muro' s financing did not come together liked he hoped, or if they were not able to achieve the kind of parking he needs on that site which was under study and consideration right now, it would be necessary for him to find another site someplace else and get busy working on that. What they were trying to do was clear those issues up immediately so that his options were open to him and he could stay in business, could grow and be a worthwhile business to the city of Palm Desert, which he believed he was . Commissioner Ferguson stated that his comments were particularly in regard to one sentence in the staff report that said that failure to comply with these dates would result in further hearings and possible revocation of the conditional use permit. There was a less than sterling track record in certain of our temporary provisional programs to assist people and he wanted to make clear, in fairness to Mr. Oliphant and his tenant, that if there wasn' t a new facility and he was not in it one year from the date indicated, there would be in his opinion no extension and no continuation. He could fully appreciate, although he didn't understand why, the situation Mr. Muro found himself in and as indicated to the applicant, he was willing to work with him but didn't want to create any illusions with anyone about this being anything more than a reluctant, temporary situation. Mr. Oliphant stated that he concurred completely. Under the CVAG rules for TUMF it was not the tenant but the building owner that was responsible for the TUMF fees . Under this temporary use that CVAG created it was good for 12 months . At the end of 12 months if he was still in that space one day beyond 12 months he would have to write a check for those TUMF fees and he didn't intend to write that check. Chairperson Beaty closed the public hearing and asked for commission comments . Commissioner Jonathan stated that he appreciated the comments from Mr. Tryon and Mr. Winner, the surrounding residents, because they provide a good illustration for the commission on the adverse impacts that could result from inadequate parking. He hoped they as a commission would learn from the experience and comments and be more sensitive to that very important problem because it directly impacted in a very 18 MINUTES PALM DESERT PLANNING COMMISSION MARCH 19, 1996 negative way people' s real quality of life. He also felt there were occasions when exceptions were called for and in this particular case he felt the application, if it was permitted, was not where their problem was but with the existing uses that were there. He felt they, along with other concerned neighbors, needed to work with the city to examine specifically the hours of operation that were allowed under the conditional use permit and the other provisions that probably didn' t allow the use to continue when these types of problems were created. He heard them say they had been working with staff, but that it had not been effective. He invited them to try one more time and if it continued to be ineffective, they should come back to the Planning Commission and advise them that there was an existing use adjacent to their property that appeared to not be complying with the conditional use permit and the commission would take it from there. With regard to the application, he recognized the existing problem and felt they might be adding to the existing problem, but in this case he felt an exception was warranted. The reason for that was articulated by the applicant and his representative. There would be a benefit to the overall community of Palm Desert and he felt they could live with the inconvenience for one year given the result that would take place one year from now. In light of that he suggested that condition #7 be modified to allow extended use beyond the time limits indicated. An additional one and a half hours would have activities concluding by 7 :45 p.m. and the place vacated by 8 : 00 p.m. He felt that met the applicant' s requirements . He also felt that needed to be conditional on the applicant obtaining written agreement for the use of ten or more parking spaces elsewhere. That would satisfy that particular need. He noted that he drove past the facility every night and there was a bit of a traffic jam when patrons were using the facility. He suggested some type of window covering along the Portola windows which were fully open to the traffic; it didn't need to be anything fancy, he wasn't talking about wooden shutters or blinds, but temporary paper covering or something suitable that would be adequate, between four to six feet up minimum from the ground level so that the view was partially obscured. He was suggesting that as a condition of approval . With those revisions, he would make a motion for approval . Mr. Drell added that in response to the video tape and the specific complaints, staff informed Ruth' s Chris and the valet company that unless they address the problem identified by the neighborhood, they would revoke that particular valet parker' s permit. Unfortunately, staff relies on the neighbors to tell us whether the city' s response was effective. If they are telling us that there hasn't been a significant improvement in the last two or three months since 19 MINUTES PALM DESERT PLANNING COMMISSION MARCH 19 , 1996 the ultimatum was given, that was what Mr. Oliphant, the owner of Ruth' s Chris , and staff needed to know so that the threat to the valet parking service could be carried out. If that was the best this valet service could do, then it ' s not good enough and he would no longer be in business on that site . He was sure it was a very lucrative valet parking contract, probably one of the most lucrative in Palm Desert, and he was sure there were other people who could operate it . The abuses seen on the tape were not inherent in the use, there was an absolute disregard for common courtesy and should be able to be corrected. Chairperson Beaty asked for clarification from Mr. Winner that he has an agreement with Ron Gregory regarding those parking spaces and if those were the same parking spaces they were now asking to use . Mr. Winner indicated there were 16 parking spaces that were partially covered; he has had an agreement with Ron Gregory since the parking lot was put in that no cars would park in those spaces at night. Those spaces were 13 feet from his bed. Chairperson Beaty asked if that agreement was in writing. Mr. Winner said it was a verbal agreement he has had with Ron Gregory for four years . On the other side it was wide open parking. Mr. Oliphant said those were not the same spaces . That was the reason Ron Gregory restricted the number of spaces to ten because he didn' t want to violate that agreement . Mr. Drell noted that there would still be no parking up against that wall on the east side of the parking lot, which was the resident ' s west wall . Those covered parking spaces that park into that wall would still be prohibited and not used. He asked Mr. Oliphant if those spaces were the ones toward the building and front of the building. Mr. Oliphant replied yes, the spaces toward Portola . Chairperson Beaty asked how the commission could possibly restrict the use of those ten spaces to only the people using the Fitness Mart. Mr. Drell said that because all the other spaces were valet parked by Ruth' s Chris valet parkers , there were essentially only three business using that lot : Tsing Tao, Ruth' s Chris and now the Fitness Mart. He asked if the aerobics people could use the valet, because he understood they do use the valet service. Mr. Muro said that was correct . Mr. Drell said that in essence they were increasing 20 MINUTES PALM DESERT PLANNING COMMISSION MARCH 19, 1996 the total number of spaces and those spaces would not be restricted to the valet, they would be open spaces . The Fitness Mart people were the ones most likely to use them. Commissioner Campbell asked for clarification that those spaces right now were not being used by anyone; Mr. Drell replied that right now none of Ron Gregory' s spaces were used other than by people who stay late in those offices . The change would be that the spaces towards Portola would be available until 8 :00 p.m. They would not be available to the valet until midnight, but only until 8 : 00 p.m. when the aerobics classes closed down. Mr. Oliphant said it was not their intent to allow the valet to use any spaces they weren' t currently using. It was only by instruction by Rick Muro to those people who use that class to show where they can park. He didn' t intend to allow Ruth' s Chris to use them. Commissioner Ferguson asked what Mr. Oliphant ' s experience was with the traffic volumes and the parking there in the late spring, summer and early autumn months . Mr. Oliphant said it was very light, both restaurants dropped substantially. Commissioner Ferguson stated that the staff report said that Mr. Muro successfully negotiated a lease with 111 Town Center and asked Mr. Muro if that was true. Mr. Muro said that was true. They had letters from them with negotiations in price per square footage, common area benefits and they actually had in a meeting with him and all the other tenants brought it to everyone ' s attention that they were not going to renegotiate not only the existing tenants ' leases, because they were only paying common area charges and no rental fees at this point in time, but they also were not going to be continuing through the entitlements they got through the City Council and Planning Commission. They were entertaining three bids at that time for the sale of that business . Commissioner Ferguson asked if Mr. Muro had an executed lease before he terminated his existing lease. Mr. Muro replied no, he did not. Commissioner Campbell stated that she concurred with Commissioner Jonathan. She felt that for the temporary time they would be there that the additional ten spaces would be 21 MINUTES PALM DESERT PLANNING COMMISSION MARCH 19, 1996 adequate and that they should stay open until later because when she gets off of work and wanted to exercise, everything was closing. She would be in favor of them having the ten spaces and to stay open until 7 :45 p.m. for the classes and closing the facilities at 8 : 00 p.m. Commissioner Ferguson stated that he was supportive of the concept of helping out a local businessman, particularly a long-term local businessman and one that he knew. Notwithstanding that fact, he did not support the elimination of condition #7 but would support in part a modification to it during summer months if that could be worked out. He felt it would be a total abdication of their responsibility as commissioners to increase a known, existing problem that needed to be addressed. Both of the adjacent residents indicated a problem with evening hours and limitation of the use would limit the evening hours . The applicant indicated that the number of people in the evening class was relatively small . He didn't like to limit when people could or could not do business because he was a very free market person, but there was a problem there and the commission was charged with taking care of that problem. He sympathized with the problem faced by the applicant, but he did not believe his problem should become the city' s problems and didn't think with the compromise worked out by Mr. Smith that it would become the city' s problem as drafted. He would support the application based on the express representation by Mr. Oliphant that TUMF fees would not be paid after next February and there would be no further aerobics use after one year from the date that they first opened. He would support the application in its entirety but would entertain modification to condition #7 during summer months only. Other than that he was generally supportive and genuinely appreciative of the staff work and the effort that went into this . Mr. Smith asked for clarification about the October 1st date to vacate. Commissioner Ferguson stated that when he read the staff report it sounded like there weren' t a lot of assurances as to the alternative use and then in the oral report he heard more about some plans and assurances and the applicant said he was very comfortable, so he did not need to add an October 1st date, particularly in light of Mr. Oliphant ' s explanation about the TUMF fee situation. He was comfortable the use would not be in longer than one year. Chairperson Beaty agreed with Commissioner Ferguson and asked when the applicants expected the evening business to subside ( i .e. what month and what time for the evening classes) . 22 MINUTES PALM DESERT PLANNING COMMISSION MARCH 19 , 1996 Mr. Oliphant stated that Ruth' s Chris ' business started dropping off at the end of May and started up about mid November. Chairperson Beaty said that he was in agreement with Commissioner Ferguson about wanting to help but trying to stay away from that evening problem. He asked the other commissioners how they felt about allowing May 15 through November evening classes and prohibiting evening classes outside those dates . Commissioner Campbell asked if they were just talking about the evening classes for Suite J. Chairperson Beaty concurred. Commissioner Jonathan stated that he expressed how he felt and put a motion on the table and thought there was a second and called for the motion to see how the commission stands . The motion was not to eliminate condition #7 , but to modify the hours by extending them one hour and a half and that would impact the next month and perhaps three months into next year. It was a temporary situation and he felt with the addition of the ten parking spaces that this was one particular instance where the commission could afford to be a little flexible, particularly because of the track record of the applicant and the intent and objective that he has and the benefits that would accrue to the city at that point . For those reasons , he was in favor of modifying condition #7 and the motion as amended would stand. Chairperson Beaty stated that before taking action on the motion he would ask for further commission comments . Commissioner Fernandez stated that he was in favor of the amendment as expressed by Commissioner Jonathan. Chairperson Beaty called for a second to the motion. Action: Moved by Commissioner Jonathan, seconded by Commissioner Campbell, approving the findings as presented by staff . Carried 3-2 (Chairperson Beaty and Commissioner Ferguson voted no) . Moved by Commissioner Jonathan, seconded by Commissioner Campbell , adopting Planning Commission Resolution No . 1730 , approving CUP 96-6 , subject to conditions as amended. Carried 3-2 (Chairperson Beaty and Commissioner Ferguson voted no) . 23 STAFF REPORT CASE NO. CUP 96-6 APRIL 25, 1996 The staff report prepared for planning commission basically took the position that due to the extremely tight parking situation in the Ruth' s Chris parking lot (which was confirmed by evening parking counts ) we would be reluctant to grant a C .U.P. for this type of use ( i .e . high traffic generator) . However, there appeared to be extenuating circumstances in that the use would be a temporary one and the applicant had negotiated the termination of his current least at Palms to Pines West when he thought he was going to relocate in the One-Eleven Town Center. When the One-Eleven Town Center owners decided not to execute the lease the applicant was left without a place to do business . Considering this and the fact that he had contracts with several hundred city residents staff took the position that we should try to approve the use, on a temporary basis only, and try to mitigate as much as possible any impacts . Staff took the position, based on the day and evening parking counts , that the use could operate fully up until about 6 : 00 p.m. After that time the restaurants become very active and the parking lots very full . Staff proposed a condition to planning commission that the aerobics classes not operate after 6 : 15 p.m. but that the gym section could operate through the evening. The applicant arrived at planning commission with a verbal agreement from Ron Gregory, owner of part of the property to the north to allow his customers to use up to ten parking spaces in the north lot which are presently only available to office users . Based on the additional parking, the planning commission amended the staff recommendation to allow aerobic classes until 7 : 45 p.m. At the planning commission hearing two residential neighbors from the area north of the parking lot appeared and expressed concern that we would be increasing the intensity of use of this property in the early evening hours and that would impact on their residential environment. Mr. Oliphant, appearing with Mr. Muro, gave the planning commission assurance the he would work with the residents to reduce the noise from the restaurants/valet parkers . 2 MINUTES PALM DESERT PLANNING COMMISSION MARCH 19, 1996 anyone wished to speak in FAVOR or OPPOSITION to the proposal . There was no one and the public testimony was closed. Commissioner Jonathan noted that he expressed a concern initially when this matter first came before the commission and he still had that concern. He felt that there was a serious parking and serious circulation problem in that area. He had been involved with local banking for over ten years and he was familiar with the demand for parking spaces and it was intense, particularly on payday. Many people, particularly in the Cook Square area, could envision coming in to cash their paychecks on the 15th of the month, at the end of the month, or on Fridays and it was a real problem getting in and out of that facility and a real problem in the general area beyond this particular property. He felt that any kind of usage, and of this nature in particular, would only make the problem worse. He was not in favor of the application in that location for that reason. Chairperson Beaty asked for any other comments . There were none. He requested a motion. Action: Moved by Commissioner Ferguson, seconded by Commissioner Campbell, approving the findings as presented by staff . Carried 4-1 (Commissioner Jonathan voted no) . Moved by Commissioner Ferguson, seconded by Commissioner Campbell, adopting Planning Commission Resolution No. 1729 , approving CUP 96-5, subject to conditions . Carried 4-1 (Commissioner Jonathan voted no) . E. Case No. CUP 96-6 - RICK AND SHELLEY MURO, Applicants Request for approval of a conditional use permit to allow the temporary operation of a 4248 square foot health club including gym equipment, exercise classes, physical therapy and related uses in Suites B and J of the building located at 74-040 Highway 111 . Mr. Smith stated that the property in question was at the Ruth' s Chris building at Highway 111 and Alessandro. The applicants had been in business in Palm Desert for ten years . In late 1995 they had negotiated a lease for 17 ,000 square feet of space in the 111 Town Center and negotiated a termination of their current lease in the Palms to Pines Center at that point. Festival Management later notified 9 MINUTES PALM DESERT PLANNING COMMISSION MARCH 19, 1996 them that the owners had chosen to not execute any leases due to the potential sale of the 111 Town Center. Thus the applicants were left with a business but no place to operate. They needed to find immediate tenancy with minimal improvements . Mr. Dick Oliphant offered them the property in question. They opened late in January without benefit of appropriate permits . On February 15 staff received the conditional use permit application. Staff seriously looked at closing them down at that point, but given the circumstances of them losing their previous lease and having commitments to existing members, staff felt it warranted some leeway. As well, allowing them to continue to operate allowed staff to do a meaningful parking survey at various times of the day and night. The applicant ' s long term goal was to create his own facility and even though it wouldn' t now be in the 111 Town Center, he still had that goal . Mr. Smith indicated that Alessandro divided what staff considered as one complex. It was considered that way when Ruth' s Chris and Tsing Tao were approved back in 1991 . There was a total of 40, 000 square feet. The south building adjacent to Highway 111 has 28,000 square feet and the north building on the north side of Alessandro has 12 , 000 square feet. There were two existing restaurant uses, Ruth' s Chris at about 60, 000 and Tsing Tao at 2, 000 square feet, so they were within the 20% range for parking purposes, which was one of the main concerns back in 1991 . He noted that both restaurants do quite well, which the parking lot reflected. There was a total of 128 parking spaces supporting the building. Adjacent to the restaurants were 46 spaces including two handicapped spaces . On the north side of Alessandro there were 82 spaces, 64 open spaces, and 18 reserved/covered spaces . Those were the spaces towards the west end around the building with Ron Gregory' s office. Tsing Tao is open for lunch and at that time of day there were 128 spaces available to serve the two complexes . During the day the south lot was crowded at about 74% occupancy. That reflected the impacts created by the Fitness Mart. They did a substantial business during the day and staff still came out with 74% in the survey of approximately 10-12 entries . During the day in the north lot there was a lot of parking. In a 64 space area there was 21 .5% occupancy, in the covered area 62% occupancy which reflected the office use. At night things changed dramatically. The parking counts confirmed that the restaurants do well . The south lot adjacent to the restaurants was full after 6 : 15 p.m. The restaurants seem to get fuller by about 6 : 45 p.m. At that point the north lot ( 64 available spaces) was at capacity plus . The valet parkers were sticking cars in aisles and making use of all space. The 18 reserved spaces were generally not used. The survey showed two or three cars in there but that probably reflected the office use, although 10 MINUTES PALM DESERT PLANNING COMMISSION MARCH 19, 1996 the people doing the counts did note some people went to the restaurants and the Fitness Mart from those spaces also. Staff indicated that not too long ago there were complaints from residents on the north side of the north parking lot about the valet parkers creating noise. Staff met with the manager of Ruth' s Chris which hired the valet parking firm. He assured staff that the problem would be taken care of and staff has not had any further complaints . As noted in the staff report, normally staff would not consider adding another high traffic generating use, but there seemed to be extenuating circumstances here. What was more important was the temporary nature of the request. The applicant was seeking approval to operate until February 28, 1997 . Staff reviewed it to determine what would be acceptable for about one year and also met with the applicant last week to hear what the proposal was for the new facility. If it was real or a mirage. The applicant brought in plans and showed staff a proposal for the area at the northwest corner of Monterey and Fred Waring. The plans were well on the way and quite detailed. They needed additional work but were in process . He said it could be done so that he could move by next February if the proposal was approved and building permits were pulled by September 1, 1996 . In talking with the applicant and building director, he feels the proposal he has could be constructed in six months . What could the city do to the health club use to limit its impact, but still give them a facility to operate out of until February 28? Staff came up with a situation where they wanted the aerobics classes to cease by 6 : 16 p.m. and the doors locked, the building vacant and the people out by 6 : 30 p.m. They would still be able to operate the gym facility but it had been staff ' s experience that the evening aerobics classes were typically the traffic generators . Staff ' s recommendation was to grant the conditional use permit for a temporary period expiring February 28, 1997, subject to the conditions limiting the health club use after 6 : 15 p.m. , plus the other conditions noted in the draft resolution. Basically, there were stipulations that the applicant must make application for the new site no later than May 15, 1996 and the building permits be issued with construction commenced no later than September 1, 1996 . He asked for any questions . Commissioner Campbell asked for a clarification as to what related uses meant. Mr. Smith replied such things as weight lifting since it was a full gym facility. He felt the applicant might better address those uses . Commissioner Campbell asked if massage parlor was included in the related uses; Mr. Drell replied that related uses could include massage. Massage associated with a health club was permitted by the city ordinance, assuming the masseurs and masseuses were licensed per city requirements . 11 MINUTES PALM DESERT PLANNING COMMISSION MARCH 19 , 1996 Commissioner Ferguson noticed on the investigative report from February 5, 1996 , that it was determined that the facility had relocated without a conditional use permit, without a business transfer license, without a certificate of use, and with unapproved tenant improvements . He asked if any of those conditions had been remedied as of today, other than the obvious . Mr. Smith replied that staff was also withholding a banner permit because they did not have a legal use there and staff didn' t want to issue a permit on a sign for a business that might not be legal . He felt that was probably also true of the business license . Mr. Drell concurred. He explained that as soon as staff knew the business was there, staff had to determine if the use needed a conditional use permit. They would therefore not issue them a business license until they received approval of a conditional use permit . They immediately did some parking surveys, even before they applied, to determine if the situation was so unacceptable that it was a serious threat to life, property, health, safety, etc . Staff determined at that time that although there would ultimately be some problems, there wasn' t an eminent danger to the public to have it operating. It was a unique sort of use in that the property owner contracted to provide services for a lot of people in the city. It wasn ' t like a business where if they shut their doors, people don ' t buy from them. He has to provide service to these people. Given the applicant ' s position in the business community, his history in the business community, and the fact that he was serving residents of Palm Desert, staff determined that given the fact that there wasn ' t an eminent, horrible problem staff would allow them to operate while staff expedited this process to get a determination to see if he could have this temporary use . Chairperson Beaty opened the public testimony and asked the applicant to address the commission. MR. RICK MURO, 93-744 Olive Court in Palm Desert, stated that in conversations with Mr. Drell and Mr. Smith last week when he presented the plans for their future location they discussed the conditional use permit, specifically condition #7 where they would have to vacate and lock up unit J. They did have a class that runs 6 : 3 0 p.m. to 7 : 3 0 p.m. Monday through Thursday. At that time he asked Mr. Drell , in order to mitigate having to close that, what they could do. His response was for them to get additional parking available at the Orange Coast Title building, which was Ron Gregory' s building. He was told by Mr. Oliphant that this was done as of yesterday. Mr. Gregory allowed them to use those spaces until 8 : 00 p.m. Under the conditions of 12 Rick Muro The Fitness Mart 74-040 Hwy. 111 Suite `B" Patin eitt;ECA 92260 t�CEiVED '96 ilpR 10 P(1 9 05 '96 FPP 10 PM ' April8, 1996 CITY CLERK'S OFFICE i.-i i CLERK'S OF Major Walter Snyder 73-510 Fred Waring Dr. Palm Desert, CA 92260 Dear Walt, Enclosed please find a letter to Phil Drell in which I clarify questions surrounding the Fitness Marts recent CUP 96-6 issued by the Planning Commission. I will attempt to contact you personally so that we can discuss any concerns you may have. spectf dly, • 'ck Muro The Fitness Mart Ends. Rick Muro The Fitness Mart 74-040 Hwy. 111 Suite "B" Palm Desert, CA 92260 April 8, 1996 Mr. Philip Drell City Planning Commission 73-510 Fred Waring Dr. Palm Desert, CA 92260 Dear Phil, I am writing you subsequent to our 4/2/96 meeting in which you had informed me of the City Councils concern over CUP 96-6. As per our conversation, I will be glad to clarify the conditions under which we vacated our previous location,negotiations with the One Eleven Town Center and current status on our Athletic Club. First let me point out the reasons for denial given to the Fitness Mart in a letter dated 2/6/96 from Patrick Bedrosian,to do business as a HEALTH CLUB at the 74-040 location: Use requires more parking than use space per 250 sq. ft. Chapter 25.58.311 requires a Conditional use Permit. Therefore, I stress that our CUP, as per this letter,be awarded based on the merits of parking use. Additionally, let me point out that in my application for a CUP, I stated simply;that we had negotiated for a lease of over 17,000 sq. ft. in the One Eleven Town Center,we were later informed the landlord had chosen not to execute any leases due to the potential sale of the property;we had negotiated a termination to our then current lease at Palms to Pines, and we were then, and are currently,planning a 17,000 sq. ft. Athletic Club at the Northwest Corner of Fred Waring and Monterey Ave. To review my contentions made in our meeting,in early 1995 I began investigating the possibilities of a move and expansion of the Fitness Mart. From the research I conducted it appeared the One Eleven Town Center was, for various reasons, our best option in Palm Desert. Conversations began with leasing agent Sharon Courtway first in September 1995 discussing the lease of 7500 sq. ft.,then negotiating for over 12,000 sq. ft. (encl.) and finally in November the possibility of retrofitting the entire 17,000 sq. ft. North end unit. It was not until the beginning of December, as I have said,that we were invited to a meeting along with all the other tenants of the building and told the owners were not only not going to execute any leases,but they were also not going to proceed with any of the entitlements sought from the city. At no time were we ever informed prior to this that the offer made to the Fitness Mart from the agent was not valid. Concurrent to our negotiations with the One Eleven Town Center I had, as stated,negotiated a termination to our lease at the Palms to Pines Center. Unfortunately,the landlord later reneged his position and a law suit was commenced. Our issues have since been resolved through a stipulated agreement. Because of the complex nature in which the One Eleven Town Center is managed, our communications during these months were very slow. Therefore, as our agreed upon date to vacate approached and negotiations dragged on with One Eleven Town Center and due to the on going nature of our business, it was necessary to look for temporary tenancy. I then contacted Mr. Richard Oliphant and ask to lease the unit we now occupy on a temporary basis until the improvements could be made at the One Eleven Town Center. • Page 2(Font.) It was not until the first of December when we were notified of the Centers intentions not to execute any leases that I realized that we were back to square one in regards to our expansion of the Fitness Mart. I then consummated a formal lease for a temporary period with Mr. Oliphant at the 74-040 Hwy. 111 site. It was not until we had completely relocated when I went to change the address on our business license, that I was made aware of the necessity for a CUP. Continuing with our original intention to expand and move our club,we began immediately working with Mr. Oliphant on a multi-purpose Athletic Club on his property at Monterey and Fred Waring Ave. At the present time we have presented preliminary plans and had discussions with yourself and Mr. Smith as to the`feasibility" of the Athletic Club project. I am of the belief that these conversations have been in the affirmative. We are very excited about the project and again are sure that we will be a major asset to the community not only financially but also socially. Financing of this project is being placed privately and though Valley Independent Bank as an SBA guaranteed loan. I will explicitly, stand by my agreed upon stipulation in this CUP to submit formal plans by May 15, 1996 and start construction by September 1, 1996 whether at this site in Palm Desert or somewhere else in the valley. I hope this clarifies any questions you or the council may have. Please feel free to contact me if there are any further questions. Respectfully, Rick Muro Fitness Mart Encl./cc Mayor,Walter Snyder Mayor Pro-Tempore, Richard Kelly Jean Benson Buford Crites Robert Spiegel Richard Oliphant • FESTIVAL MANAGEMENT CORPORATION October 27, 1995 Mr. Rick Muro FITNESS MART 72-624 El Paseo Suite C-1 Palm Desert, CA 92260 RE: FITNESS MART ONE ELEVEN TOWN CENTER PALM DESERT, CALIFORNIA Dear Rick: Festival Management Corporation, acting as the exclusive leasing agent for One Eleven Town Center, is presenting the following offer to lease, based on the following terms and conditions which shall be included within a mutually acceptable agreement: 1. Tenant: Rick Muro 2. Tenant's Store Name: Fitness Mart 3. Premises: Gross Floor Area: Approximately 12,267 square feet 4. Location/Space #: Pad 9 - Spaces A - H 5. Purpose: Fitness center with physical therapy. 6. Commencement Date: 60 days after the "Turn-Over Date". 18593 Main Street, Huntington Beach, CA 92648 (714) 843-6858 Fax: (714) 841-6745 Mr. Rick Muro October 27, 1995 Page 2 7. Term: Ten (10) years 8. Minimum Rent: Per Square Foot Year 1: $1.10 Year 2: $1.15 Year 3: $1.20 Year 4: $1.25 Years 5 - 10: The rent to be increased annually by the CPI with a Minimum of 3% and a maximum of 6%. 9. Rent Abatement: The minimum Base Rent to be abated for the first three (3) months after Tenant opens for business. Then one-half rent for the following four (4) months. 10. Additional Charges: (NNN) Tenant shall pay its pro-rata share of taxes, common area maintenance and insurance as described in Landlord's Lease Agreement which are currently estimated to be $ .34 per square foot and are payable monthly. 11. Promotional Fund: $ .25 per square foot per year 12. Prepaid Rent: An amount equal to one month's rent 13. Security Deposit: An amount equal to one month's rent 14. Tenant's address and phone number for notices: To be provided 18593 Main Street, Huntington Beach, CA 92648 (714) 843-6858 Fax: (714) 841-6745 Mr. Rick Muro October 27, 1995 Page 3 15. Exterior Signage: Maximum allowable on building fascia, as allowed by city law and regulations, subject to Landlord's approval. 16. Landlord's Improvements Landlord will deliver the space in raw shell condition with the HVAC in good working order. In addition, the roll-up door in the rear to be removed. 17. Additional Basic Provisions: Landlord's Tenant Improvement Allowance. Landlord shall give Tenant a cash allowance of $5.00 toward the cost of Tenant's Work as set forth in Exhibit "B" (the "Tenant Allowance"). The Tenant Allowance will be paid thirty (30) days after Tenant opens the Premises for business, and satisfaction of all of the following conditions: (i) submission by Tenant to Landlord of a copy of the Certificate of Occupancy obtained by Tenant for its Premises, (ii) submissions by Tenant to Landlord of Tenant's contractor's sworn statement that all Tenant's Work has been paid for in full, or other evidence satisfactory to Landlord that all of Tenant's Work has been paid in full, and (iii) inspection and approval by Landlord or its architect of Tenant's Work, which approval shall not be unreasonably withheld or delayed if Tenant's Work complies with the Approved Construction Plans. In the event Tenant is in default of any of it obligations set forth in the Lease at any time during the Term which default is not cured within the applicable cure period, in addition to any other rights or remedies Landlord may have as a result of any such default, the entire amount of the Landlord allowance herein referenced shall become immediately due and payable by Tenant to Landlord. 18593 Main Street, Huntington Beach, CA 92648 (714) 843-6858 Fax: (714) 841-6745 Mr. Rick Muro October 27, 1995 Page 4 18. Broker: Sharon Courtway - Festival Management Corporation 19. Expiration Date: November 3, 1995 The above terms and conditions are intended to be a proposal to lease and shall not be construed as a binding contract between Tenant and Landlord. A final agreement is subject to a mutually acceptable lease agreement between Tenant and Landlord, and review of Tenant's financial statement. This proposal to lease the Premises at the stated conditions shall expire November 3, 1995, subject to the Premises being leased prior to that date. Landlord reserves the right to rescind the proposal contained herein at any time, in which event this proposal shall become of no further force and effect on either party. Sincerely, FESTIVAL MANAGEMENT CORPORATION 1/0 Sharon Courtway Senior Retail Associate SC:ar cc: George Wilson MacFARLANE PARTNERS sc\fitness.pro 18593 Main Street, Huntington Beach, CA 92648 (714) 843-6858 Fax: (714) 841-6745 Rick Muro The Fitness Mart 74-040 Hwy. 111 Suite `B" Palm Desert, CA 92260 RECEIVED APR 1 0 1996 April 8, 1996 COMMUNITY DEVELOPMENT DEPARTMENT CITY OF PALM DESERT Mr. Philip Drell City Planning Commission 73-510 Fred Waring Dr. Palm Desert, CA 92260 Dear Phil, I am writing you subsequent to our 4/2/96 meeting in which you had informed me of the City Councils concern over CUP 96-6. As per our conversation, I will be glad to clarify the conditions under which we vacated our previous location,negotiations with the One Eleven Town Center and current status on our Athletic Club. First let me point out the reasons for denial given to the Fitness Mart in a letter dated 2/6/96 from Patrick Bedrosian,to do business as a HEALTH CLUB at the 74-040 location: Use requires more parking than use space per 250 sq. ft. Chapter 25.58.311 requires a Conditional use Permit. Therefore, I stress that our CUP, as per this letter,be awarded based on the merits of parking use. Additionally, let me point out that in my application for a CUP, I stated simply;that we had negotiated for a lease of over 17,000 sq. ft. in the One Eleven Town Center,we were later informed the landlord had chosen not to execute any leases due to the potential sale of the property;we had negotiated a termination to our then current lease at Palms to Pines, and we were then, and are currently,planning a 17,000 sq. ft. Athletic Club at the Northwest Corner of Fred Waring and Monterey Ave. To review my contentions made in our meeting, in early 1995 I began investigating the possibilities of a move and expansion of the Fitness Mart. From the research I conducted it appeared the One Eleven Town Center was, for various reasons, our best option in Palm Desert. Conversations began with leasing agent Sharon Courtway first in September 1995 discussingthe lease of 7500sq. ft.,then negotiating for over 12 000 s . ft. (encl.) and eP g g q � ) finally in November the possibility of retrofitting the entire 17,000 sq. ft. North end unit. It was not until the beginning of December, as I have said,that we were invited to a meeting along with all the other tenants of the building and told the owners were not only not going to execute any leases,but they were also not going to proceed with any of the entitlements sought from the city. At no time were we ever informed prior to this that the offer made to the Fitness Mart from the agent was not valid. Concurrent to our negotiations with the One Eleven Town Center I had, as stated, negotiated a termination to our lease at the Palms to Pines Center. Unfortunately,the landlord later reneged his position and a law suit was commenced. Our issues have since been resolved through a stipulated agreement. Because of the complex nature in which the One Eleven Town Center is managed, our communications during these months were very slow. Therefore, as our agreed upon date to vacate approached and negotiations dragged on with One Eleven Town Center and due to the on going nature of our business, it was necessary to look for temporary tenancy. I then contacted Mr. Richard Oliphant and ask to lease the unit we now occupy on a temporary basis until the improvements could be made at the One Eleven Town Center. Page 2(Cont.) It was not until the first of December when we were notified of the Centers intentions not to execute any leases that I realized that we were back to square one in regards to our expansion of the Fitness Mart. I then consummated a formal lease for a temporary period with Mr. Oliphant at the 74-040 Hwy. 111 site. It was not until we had completely relocated when I went to change the address on our business license,that I was made aware of the necessity for a CUP. Continuing with our original intention to expand and move our club,we began immediately working with Mr. Oliphant on a multi-purpose Athletic Club on his property at Monterey and Fred Waring Ave. At the present time we have presented preliminary plans and had discussions with yourself and Mr. Smith as to the `feasibility" of the Athletic Club project. I am of the belief that these conversations have been in the affirmative. We are very excited about the project and again are sure that we will be a major asset to the community not only financially but also socially. Financing of this project is being placed privately and though Valley Independent Bank as an SBA guaranteed loan. I will explicitly, stand by my agreed upon stipulation in this CUP to submit formal plans by May 15, 1996 and start construction by September 1, 1996 whether at this site in Palm Desert or somewhere else in the valley. I hope this clarifies any questions you or the council may have. Please feel free to contact me if there are any further questions. - Cf&c, CH 7 s ectfully, t • Muro -�� Fitness Mart Encl./cc Mayor, Walter Snyder Mayor Pro-Tempore, Richard Kelly Jean Benson Buford Crites Robert Spiegel Richard Oliphant FESTIVAL MANAGEMENT CORPORATION October 27, 1995 Mr. Rick Muro FITNESS MART 72-624 El Paseo Suite C-1 Palm Desert, CA 92260 RE: FITNESS MART ONE ELEVEN TOWN CENTER PALM DESERT, CALIFORNIA Dear Rick: Festival Management Corporation, acting as the exclusive leasing agent for One Eleven Town Center, is presenting the following offer to lease, based on the following terms and conditions which shall be included within a mutually acceptable agreement: 1. Tenant: Rick Muro 2. Tenant's Store Name: Fitness Mart 3. Premises: Gross Floor Area: Approximately 12,267 square feet 4. Location/Space #: Pad 9 - Spaces A - H 5. Purpose: Fitness center with physical therapy. 6. Commencement Date: 60 days after the "Turn-Over Date". 18593 Main Street, Huntington Beach, CA 92648 (714) 843-6858 Fax: (714) 841-6745 Mr. Rick Muro October 27, 1995 Page 2 7. Term: Ten (10) years 8. Minimum Rent: Per Square Foot Year 1: $1.10 Year 2: $1.15 Year 3: $1.20 Year 4: $1.25 Years 5 - 10: The rent to be increased annually by the CPI with a Minimum of 3% and a maximum of 6%. 9. Rent Abatement: The minimum Base Rent to be abated for the first three (3) months after Tenant opens for business. Then one-half rent for the following four (4) months. 10. Additional Charges: (NNN) Tenant shall pay its pro-rata share of taxes, common area maintenance and insurance as described in Landlord's Lease Agreement which are currently estimated to be $ .34 per square foot and are payable monthly. 11. Promotional Fund: $ .25 per square foot per year 12. Prepaid Rent: An amount equal to one month's rent 13. Security Deposit: An amount equal to one month's rent 14. Tenant's address and phone number for notices: To be provided 18593 Main Street, Huntington Beach, CA 92648 (714) 843-6858 Fax: (714) 841-6745 Mr. Rick Muro October 27, 1995 Page 3 15. Exterior Signage: Maximum allowable on building fascia, as allowed by city law and regulations, subject to Landlord's approval. 16. Landlord's Improvements Landlord will deliver the space in raw shell condition with the HVAC in good working order. In addition, the roll-up door in the rear to be removed. 17. Additional Basic Provisions: Landlord's Tenant Improvement Allowance. Landlord shall give Tenant a cash allowance of $5.00 toward the cost of Tenant's Work as set forth in Exhibit "B" (the "Tenant Allowance"). The Tenant Allowance will be paid thirty (30) days after Tenant opens the Premises for business, and satisfaction of all of the following conditions: (i) submission by Tenant to Landlord of a copy of the Certificate of Occupancy obtained by Tenant for its Premises, (ii) submissions by Tenant to Landlord of Tenant's contractor's sworn statement that all Tenant's Work has been paid for in full, or other evidence satisfactory to Landlord that all of Tenant's Work has been paid in full, and (iii) inspection and approval by Landlord or its architect of Tenant's Work, which approval shall not be unreasonably withheld or delayed if Tenant's Work complies with the Approved Construction Plans. In the event Tenant is in default of any of it obligations set forth in the Lease at any time during the Term which default is not cured within the applicable cure period, in addition to any other rights or remedies Landlord may have as a result of any such default, the entire amount of the Landlord allowance herein referenced shall become immediately due and payable by Tenant to Landlord. 18593 Main Street, Huntington Beach, CA 92648 (714) 843-6858 Fax: (714) 841-6745 Mr. Rick Muro October 27, 1995 Page 4 18. Broker: Sharon Courtway - Festival Management Corporation 19. Expiration Date: November 3, 1995 The above terms and conditions are intended to be a proposal to lease and shall not be construed as a binding contract between Tenant and Landlord. A final agreement is subject to a mutually acceptable lease agreement between Tenant and Landlord, and review of Tenant's financial statement. This proposal to lease the Premises at the stated conditions shall expire November 3, 1995, subject to the Premises being leased prior to that date. Landlord reserves the right to rescind the proposal contained herein at any time, in which event this proposal shall become of no further force and effect on either party. Sincerely, FESTIVAL MANAGEMENT CORPORATION 6 Sharon Courtway Senior Retail Associate SC:ar cc: George Wilson MacFARLANE PARTNERS sc\fitness.pro 18593 Main Street, Huntington Beach, CA 92648 (714) 843-6858 Fax: (714) 841-6745 MEMORANDUM TO: PHIL DRELL, DIRECTOR OF COMMUNITY DEVELOPMENT FROM: COUNCILMEMBER JEAN M. BENSON SUBJECT: REQUEST FOR CITY COUNCIL REVIEW OF PLANNING COMMISSION APPROVAL OF CONDITIONAL USE PERMIT FOR THE FITNESS MART (RICK MURO, APPLICANT) DATE: March 29, 1996 Please accept this memorandum as an official request or call up by the City Council for review of t ubject Planning Commission approval. / L.. PM. BENSON U<INCILMEMBER