PURPOSE:

The purpose of this report is to bring back to the City Council additional information about Burbank�s housing goals, needs and performance as well as about the proposed residential land use category equivalent to the R-5 density, as requested by the City Council at their December 14, 2005 meeting.

BACKGROUND:

Between September and December 2004, staff held four discussions with the City Council on the proposed updates of the Mobility and Land Use Elements of the General Plan.  These discussions were an important opportunity for the City Council to provide direction as staff moved forward to complete the update of these two general plan elements.  The discussions focused on, among other things, commercial/industrial and residential growth.  The directive from the City Council was clear: to reduce the amount of commercial and industrial development that could be accommodated in the proposed elements as well as to significantly reduce the amount of residential development that could be accommodated in the multiple family residential areas of the City. Accordingly, the amount of commercial and industrial growth accommodated in the proposed elements has been reduced.

On November 9, 2005, staff presented to the City Council for discussion the proposed changes to residential distribution and multiple family densities that staff recommends for inclusion in the 2005 update of the Land Use Element.  The proposed new densities address concerns about the amount of new multiple family residential development in the community as well as the requirements for meeting the growth needs of the community and the City�s regional and state obligations.  The issue of residential densities is a critical component of the 2005 General Plan Land Use Element (LUE) update.  Residential densities are the key factor in determining the residential capacity of the City and the amount of housing that can be developed.  In an effort to address these issues, staff worked with consultants � EIP Associates and Keyser Marston Associates (KMA) � to recommend appropriate, financially sustainable and realistic densities for 2005 Land Use Element update. 

The multiple family residential densities proposed for the updated Land Use Element average about 30% less than existing densities.  In addition to proposing a reduction in the allowed density in each multiple family residential land use category, staff proposed to change the land use designation for about 200 acres of land from an R4 equivalent density category to a lower R3 equivalent density category.  These density reductions would have the effect of significantly reducing the residential capacity of the City � the number of new units that can be built. Reducing the residential capacity of the City, however, directly affects the ability of the City to meet its housing obligations to the state and region, as well as to provide for the housing needs of Burbank�s growing community.

To compensate for the overall reduction in residential densities citywide, staff proposed some Very High Density (equivalent to a reduced R-5 density) land use in and around the Downtown and Media District areas as well as providing opportunities for residential development on commercial corridors. This proposed Very High Density land use category, and the areas where it is proposed for inclusion in the updated Land Use Element, are discussed in detail beginning on page 16 of this report.

City Council was in favor of the proposed reduction in densities and the new residential land use categories; there was however some concern about the Very High Density residential category in general, and particularly the new areas added in and near the Media District.  The City Council asked staff to bring this issue back to the Council for further discussion.

On December 14, 2005, staff presented to the City Council for discussion various important land use concepts and changes proposed for the 2005 General Plan Land Use Element Update.  At this meeting, staff also brought back to City Council additional information, as requested, regarding the proposed multiple family residential land use category equivalent to a reduced R-5 density that was originally discussed at the November 9^th   meeting. The proposed name for this land use category, for use in the 2005 Land Use Element update is Very High Density residential, though it would allow for a multiple family density that is lower than existing R-5 zoning, and lower than that currently permitted in the  existing Land Use Element High Density residential use category.  The proposed Very High Density residential category has a maximum density which is 15-35% lower than the current R-5 density.  The City Council discussion resulted in additional questions about the locations proposed for this Very High Density residential land use and the need for this type of residential density.

Specifically, the City Council requested that staff return with additional information about the City�s housing goals and obligations, about our progress in meeting these goals and obligations, and with more detailed information about the location and existing development in the areas that are already designated for a Very High Density use in the existing Land Use Element and the new areas proposed for this highest density residential land use. 

This report will provide the City Council with the information requested and explain the connection between the proposed residential densities and the City�s ability to meet its housing needs and obligations.

ANALYSIS:  

Over the past several years there has been much concern among residents and the City Council that too much new multiple family residential construction is occurring, too fast, and that the effect is a change in the character of certain neighborhoods as well as increasing impacts as a result of adding more dwellings, cars and residents.

Burbank�s residents perceive Burbank as a �small town�, with the friendly small town character and the physical ambiance of a small town.  Residents feel that this small town feeling is threatened with the increasing intensification of the multiple family residential areas.  The increasing intensification is not the result of up-zoning or increased densities, but rather the ongoing building out of existing densities that have been in place since the 1960�s. As more and more lots in these traditional multiple family areas recycle to the higher allowed density, the effects on character and impacts of density and design are more noticeable. Many multifamily properties in the City, although designated by the General Plan and zoned for higher density, have remained developed with single family homes, duplexes, and similar low density development.  As these properties recycle, the character of the neighborhood changes from low density and low intensity to higher densities characterized by much larger structures.  This change in character has been provided for in the General Plan and Zoning Ordinance for decades.  However, the rapid pace of development over the past few years has allowed the community to fully realize the impacts of the level and type of development allowed by existing plans.

The update of the General Plan Land Use Element is the ideal vehicle for reassessing the City�s residential densities and balancing the desire for less development and lowered densities with the community�s needs and obligations.

The amount of residential development allowed by density limits in the Land Use Element and the Zoning Ordinance determines the City�s residential capacity � the total number of residential units that can be built.  Land Use Element capacity is critical in meeting the City�s needs for housing. There are several factors that account for Burbank�s ongoing need for additional housing opportunities; these factors are discussed below.  

1. A Family Town

Burbank is a family town � a town not only of nuclear families, but of extended families.  Burbank residents are proud of the multigenerational character of the population.  In order to provide for Burbank residents as they age and need to downsize in housing, for young residents who want to move out on their own and for young families to establish here in the community, it is necessary to provide   not only more housing, but a wider variety of housing options.

Burbank�s low vacancy rates and the ongoing high demand for housing in the City has resulted in a high cost of housing which has made it difficult for many young residents, seniors and young families, as well as for employees of local businesses, to find housing in the community

The single family paradigm of parents and children - long the norm in Burbank    and Southern California in general � is no longer the predominate household type.  Numerous demographic studies tell us that the demographics of our society are changing along with household composition.  There are an increased number of single parent households, more dual income households without children as well as increased instances of adult children living at home with their parents. With the changes in ethnic demographics in Burbank, there is an increase in multigenerational family units living together. These changes necessitate changes in the type of housing provided in the community if the various members of the Burbank community are to be accommodated.

Burbank�s low vacancy rates and the ongoing high demand for housing in the City has resulted in a high cost of housing which has made it difficult for many young residents, seniors and young families, as well as for employees of local businesses,  to find housing in the community.

The primary factor in the high cost of housing development in Burbank is the cost of land.  The high cost for land is due to Burbank�s desirability as a community in which to live and the economics of supply and demand.  The numerous  employment opportunities coupled with the City�s excellent school system and high quality City services all contribute to Burbank�s desirability and therefore to the  high land costs.  Since Burbank has a relatively limited supply of vacant land, developers must often recycle land, demolishing existing buildings in order to provide new housing, further adding to the cost of land.  The higher the residential density � the more units that can be built on a parcel � the lower the land cost per dwelling unit and thus the overall cost per unit.  Higher densities facilitate the production of lower cost housing.

2. Regional Employment Center

Since at least the 1960s, Burbank has been a regional employment center, providing many more jobs than needed for Burbank�s working population and enjoying the economic benefits of a large healthy economic base.  Burbank�s industrial base began with Lockheed and related aerospace industries that benefited from locating in proximity to the airport, and transitioned in the 1980�s to an industrial base grounded in the motion picture and media related industries which benefit from concentrating in proximity to the studios long established in Burbank; the City now provides about 100,000 job opportunities.  This number is forecasted to increase by about 30% as commerce and industry in the City grow over the next 20 years.  Burbank continues to benefit financially from this large   and healthy economic base and it is a policy of the Land Use Element, and a tenet    of the City�s 10-Year Strategic Plan, to foster and support our local businesses.

This large employment base generates additional housing needs.  Businesses express concern regarding the ability of their employees and executives to find housing in the community.  Also, employees that are forced to live far from their place of employment contribute to traffic congestion and air pollution resulting    from long commutes.

Burbank needs to balance the need to provide housing opportunities for             employees of local businesses, with the desires of the City�s residents to continue     to enjoy the benefits of the strong economy.                 

3. Housing Demand and Growth in Burbank

Burbank�s housing stock has grown steadily over the years. The low residential vacancy rates � both single family and multiple family - attest to the desirability of living in Burbank and the high demand for housing.

The update of the City�s Land Use Element necessitates planning for a projected amount of development in the community.  The amount of development that can be expected to occur in the community over the 20 year horizon of the Land Use Element update is defined by the capacity of the land use plan and the growth rate at which this capacity is utilized. Although zoning sets the parameters, the rate at which residential development occurs is determined to a large extent by economic factors beyond the control of the City.  In estimating a growth rate over the next two decades it is helpful to look at the past growth trends � both short term and long term � as an indication of the type of growth that could occur in the future.     Since 1960, Burbank�s housing stock has increased by an average of 0.66% per year.  The graph below shows annual residential development over the past 30 years.

Looking at any one year, or even one decade, is deceptive with regard to overall development trends.  In the 1980�s for example, Burbank�s housing stock grew by 11% - an average of about 1.1% annually. However, in the decade that followed, there was only a 4% growth in housing stock � an annual average of   only 0.4%.  The past five years (2000-2004) have shown an estimated average    growth rate of only about 0.44% a year, but the last two years have shown a slight increase in the residential construction rate, with an average annual growth rate of 0.55% for 2003 to 2004. It is likely that this increase reflects a more favorable economic climate for residential construction and an increased demand    for housing in Burbank.  Much of the growth over the past 4 years can be attributed to large residential projects in the Downtown area such as Burbank Village Walk, 140 units; Senior Artist Colony, 141 units; Belmont Assisted Living, 147units and Olive Plaza, 183 units.

With the proposed reduction in multiple family residential densities, it will take a greater number of developments to achieve the same number of units.  However,   in conjunction with the reduced multiple family densities, the proposed Land Use Element update would provide new opportunities for residential development; these new opportunities include multiple family residential development on commercial corridors where commercial use is no longer economically viable, mixed use developments on large sites and a new type of compact single family development. It is anticipated that these opportunities could stimulate new residential development in the community in response to the growing demand.                      

The proposed 2005 Land Use Element update assumes an average growth rate of 0.6% per year over the 20 year scope of the plan � about 260 units per year. This estimated future growth             rate reflects past development trends and historical averages, the increase in employment opportunities in the community, new opportunities for residential development and the increasing demand for housing in Burbank.  This estimated growth rate includes use of the available density bonus. At this rate, Burbank could expect to add about 5,160 new residential units, bringing the current 43,200 units up to a total of about 48,360 units in 2025.

Projected growth is used for long range planning of schools, public utilities and municipal facilities. Whereas it is possible that actual residential growth may occur at a slower rate than projected due to reduced  multiple family residential densities and the gradual build out of available development sites over time, it is sound planning practice to plan for more rather than less development than may actually occur.  

4. State mandate to provide for fair share of regional housing growth needs.

The State of California requires every City, as part of its mandated General Plan Housing Element, to provide adequate sites and show capacity for meeting its fair share of the future growth in the region.  The Housing Element must show that the City has the appropriate zoning, land use capacity and available sites to accommodate a given amount of new housing in order for it to be approved by the State Department of Housing and Community Development (HCD). The amount of new housing the City must accommodate is called its Regional Housing Needs Assessment (RHNA); this is a number allocated to each city according to State law. Each city�s Housing Element is required to show how the RHNA allocation can be met.  The City is not required to build this amount of new housing, or even cause it to be built, but in order for the State to approve the Housing Element, the City does have to have the General Plan and zoning capacity to accommodate the requisite amount of housing as well as appropriate densities to allow for affordable housing to reasonably be built. The State HCD looks carefully at a City�s residential capacity when evaluating its ability to meet its local housing needs and its allocated share of the regional growth; it looks carefully at the densities allowed to determine the feasibility of building the allocated amount of affordable rental housing.  The higher the residential density, the more feasible it is to build affordable housing without, or with less, subsidy.

The past two Housing Element cycles had RHNA allocations of 2,970 and 2,242 new units respectively, for each five-year housing element cycle.  It is reasonable to assume that future RHNA allocations will be in this range or higher.  Burbank�s next Housing Element update, which will have a new RHNA number to be addressed, is scheduled for consideration in 2006.  Recent conversations with the State HCD indicate that the RHNA allocation for the 2006 housing element update is likely to be higher than that in previous years.  An importantfactor in determining a jurisdiction�s RHNA allocation is the number of jobs in the community; Burbank currently has a disproportionately large number of jobs compared to the number of residents and is anticipating adding additional employment opportunities over the next 20 years. Land Use Elements are expected to address and provide for the housing needs of the community over the time span of the Element.  Having sufficient capacity in the Land Use Element to meet the state mandated housing needs in the City�s Housing Element ensures consistency between the elements of the City�s General Plan; such consistency is required by state planning law. For the purpose of comparing future capacity needs with possible RHNA requirements, staff has estimated an average RHNA allocation of 2,500 units for each of the next 4 housing element cycles � a total of 10,000 units over the 20 year horizon of the proposed 2005 Land Use Element.

Discussions are underway at the State level as to how to amend existing housing element law to further ensure that cities provide for their fair share of the anticipated growth in the southern California region.  Increasingly stringent proposals are being discussed in Sacramento which include requiring cities to show sufficient zoning capacity for anticipated growth over a ten year period, rather than the 5-years required in the current housing element law.   State law requires cities to show that they have densities which allow for and encourage the development of low income housing.

The consequences of not complying with State Housing Element law are that the City�s Housing Element would not be found to be in compliance by the State Department of Housing and Community Development (HCD). If Burbank�s Housing Element is found not to be in compliance with the statutory requirements of Housing Element law then it would not receive HCD approval. HCD�s approval is important in the event that the validity of Burbank�s Housing Element (and thus the entire General Plan) is ever challenged. In addition, an HCD finding of compliance makes Burbank eligible for various funding streams such as grants and loans.  Last year, Burbank was the recipient of such funding in the amount of $398,000 for a Jobs/Housing Balance Incentive Grant.

Cities are also expected to plan for growth consistent with regional growth forecasts. The most recent regional growth forecasting document � the Southern California Association of Governments� (SCAG) 2004 Regional Transportation Plan �    shows   Burbank adding about 7,000 units over the 20 year horizon of the updated Land Use Element.    This is   a higher rate of growth than anticipated in the proposed 2005 Land Use            Element update but can be accommodated by the proposed residential densities.  This will be discussed in more detail below and illustrated in the graph on page12.

Progress in Meeting Burbank�s Housing Goals     

Burbank is in the fourth year of the current Housing Element cycle and it is an opportune time to look at the number of housing units constructed during this time period in comparison to the RHNA goals in the adopted Housing Element.  Since 1998, private market residential development, combined with residential development assisted by the Burbank Redevelopment Agency, has contributed 1,135 new units to the City�s housing stock.  The Table below shows the number of housing units constructed in comparison to

the current Housing Element RHNA goals.  The private market has developed housing for moderate and above moderate-income households. The Burbank Redevelopment Agency has facilitated residential development that has provided housing affordable to very low, low, and moderate-income households.  

Progress in Achieving RHNA Goals

 (in residential units)

In light of the above discussion, three questions need to be answered:

• How much capacity does the proposed 2005 Land Use Element update provide?  

• How much residential capacity does Burbank need?  

• Is the Very High Density land use category necessary to meet this capacity need?

These questions are discussed and answered below.

How much residential capacity does the proposed 2005 Land Use Element provide?

The proposed changes to the residential land use distribution and residential densities have the effect of lowering the residential capacity of the City by about 13% from the capacity in the existing 1988 Land Use Element. The Table below illustrates the reduction.  In comparing the residential capacities of the existing and the proposed Land Use Elements it is important to compare similar types of capacity.  The 1988 Land Use Element calculates two different types of residential capacity that are shown in the Table below: the effective capacity, in bold numbers, and the theoretical maximum capacity (in parentheses).  For the sake of comparison, the proposed 2005 Land Use Element update is shown in the same terms.

    Residential Capacity Reductions

         For Proposed Land Use Element Update

            (Capacities DO NOT include use of Density Bonus)

           * The proposed 2005 Land Use Element assumes that 5,200 residential units could be

accommodated in commercial areas. About 1,500 of these units already exist in commercial areas,  there are an additional 3,700 units anticipated. The1988 Land Use Element assumed 880 units in mixed use commercial areas.

           **This capacity assumes all multiple family property in the City is built at the proposed lower densities; it does not consider the fact that many of the existing residential developments already exceed the proposed reduced densities. This is discussed in more detail below.   

The effective capacity of the Land Use Element (in bold numbers) is the number of units that could practically be built if all existing residential development in the City were to be eliminated and the City were to be completely redeveloped at the proposed lower densities. This effective capacity takes into consideration lot size limitations, non-residential uses such as schools, churches or parking lots that occupy some residential land and considers that some development is builds to less than the maximum allowed density.  It does not take into consideration, however, existing development.  The effective density shown in the table above does not take into consideration the utilization of density bonus provisions (see discussion on the following page) since these were not taken into consideration in calculating the 1988 Land Use Element capacity.  The effective residential capacity of 48,300 units shown in the table above could only be achieved if the whole city were redeveloped at the proposed lower densities.  However, Burbank is a built out City with already over 43,000 existing units, and many of the existing buildings are already built at densities over and above what would be allowed by the new proposed densities. These existing residential developments are �grandfathered� at their existing densities and are not expected to change over the 20 year horizon of the proposed Land Use Element update.

The theoretical maximum capacity (in parentheses) results from assuming that all residential acreage in the City is built out to the highest possible density and does not take into consideration the limitations of lot size or non-residential uses that occupy some residential land or development built at less than maximum density.  State law requires that this theoretical maximum capacity be used in environmental analysis of the updated Land Use Element, but it is not a realistic picture of what could be built with the proposed Land Use Element densities. 

Whereas both the effective and the theoretical maximum capacities used for comparison purposes above are commonly used and referred to in planning documents, neither gives a true picture of how many more units can realistically be accommodated by the proposed Land Use Element.  For this purpose, staff has calculated a Remaining Development Capacity which shows the capacity of the proposed Land Use Element in terms of both existing residential development that is not likely to recycle during the 20 year horizon of the proposed plan and potential new development that would be subject to the new lower densities.

Even with the proposed density reductions, there remains a substantial amount of additional development that can be built in residential areas on properties that are not yet built to the allowable density.  The question is, therefore, how much additional residential development can realistically be accommodated by the proposed plan? 

Staff estimates that, with the proposed reduced densities, approximately 4,400 additional units could be added citywide in areas designated in the proposed Land Use Element update for multiple family residential use. In addition to this remaining capacity in the residential areas, about 3,700 more units can realistically be accommodated in commercial areas that allow for multiple family residential development.  Therefore, the number of additional units that can be added to the City�s housing stock, over and above what currently exists, is approximately 8,100.

With the proposed lowered densities, it is likely that some of the new residential developments will make use of the state mandated density bonus for affordable housing in order to obtain additional density. This bonus can be as high as 35% depending on the number and rents of the affordable units.  Although it is impossible to estimate the degree to which this affordable housing bonus will be utilized, staff is assuming, for the sake of capacity calculations, that 25% of all new development utilizes this bonus.  This would add another 700 units and increase the total number of additional units that could be added citywide to 8,800.  Therefore, the Remaining Development Capacity of the City would be a combination of the existing number of units in the City, 43,200 units, and the remaining number of additional units that can be built (8,800); this would give the proposed Land Use Element for Burbank a Remaining Development Capacity of 52,000 units. 

How much capacity does Burbank need?

The amount of capacity needed in the Land Use Element is influenced by the factors discussed earlier in this report:

1. Projected growth for the 20 year scope of the 2005 Land Use Element � 5,160 units based on past development trends, anticipated demand and opportunities for future development (see #3, pages 5-7);

2. Projected growth for Burbank in SCAG�s Regional Transportation Plan - 7,000 units over 20 years (see #4, pages 7-8); and

3. Estimated RHNA fair share allocation for the next 4 Housing Element cycles, over the 20 year horizon of the proposed 2005 Land Use Element � approximately 10,000 units (see #4, page 8)

The following graph shows the Remaining Development Capacity and the Theoretical Maximum Capacity generated by the proposed 2005 Land Use Element (as described above on pp. 10-11), and how they relate to the various housing growth needs.

As can be seen in the graph above, the amount of growth projected for the proposed 2005 Land Use Element (5,160 units over the 20 year time frame of the Element) is well within the realistic Remaining Development Capacity shown on the graph.  The growth projections of SCAG�s Regional Transportation Plan can also be accommodated by the Remaining Development Capacity, as shown on the graph. 

The estimate of Burbank�s RHNA allocations for the next 4 housing element cycles exceeds the Remaining Development Capacity only during the final years of the planning period; inasmuch as this is only an estimate of what the RHNA allocation may be and there is no certainty that the actual allocations in the future will not be less or greater than this estimate, staff is of the opinion that this should not pose a problem.

Is the Very High Density land use category necessary in order to achieve the capacity needed to meet the housing goals and needs? 

The proposed Very High Density residential land use category is actually a new name given to an existing land use category; the 1988 Land Use Element called this highest multiple family residential category High Density and allowed densities higher than those proposed for the new Very High Density category.  The proposed new hierarchy of residential densities, which reduces all multiple family densities by about 30%, results in a highest density that is significantly lower than previous densities.  When referring to Very High Density in this report we are referring to a proposed density that is lower than the existing R-5 density.

The current 1988 General Plan Land Use Element allocates 64.3 acres to High Density (R-5 equivalent) residential land use � 55.1 acres are in the area of Downtown and 9.2 acres are in the area of the Media District. The proposed Land Use Element allocates a total of 67 acres to Very High Density residential use (a reduced R-5 density) which includes the High Density (R-5) land use currently in the 1988 Element, except for about 25 acres between Fifth St. and Sixth St. which City Council directed staff to remove following the November 9, 2004 discussion of residential densities.  The proposed Land Use Element update adds an additional 28 acres of Very High Density land use (a reduced R-5) in the Downtown area (3 acres) and in the Media District area (about 25 acres).  It must be noted again, however, that the allowed densities proposed for the 2005 Land Use Element update are lower than those currently allowed and therefore, the achievable density in the proposed Very High Density land use category would also be less than that currently allowed. The table below shows proposed geographical changes in the Very High Density land use category.

The difference between the average densities of the proposed Very High Density residential (a reduced R-5) and proposed High Density residential (a reduced R4) is about 13 units per acre.  Eliminating the proposed Very High Density land use category from the residential housing mix would have the effect of lowering the capacity of the proposed Land Use Element as shown below:

The graph below, which shows residential capacities without any Very High Density Residential, illustrates how eliminating the Very High Density land use category would affect the City�s ability to meet the housing needs over the 20 year scope of the 2005 Land Use Element. 

The Remaining Development Capacity would still be sufficient to accommodate the projected growth for the 2005 Land Use Element update and the projected growth in  SCAG�s Regional Transportation Plan (RTP).  Removing the Very High Density land use category would leave the Remaining Development Capacity 2,070 units short of meeting the estimated RHNA needs.  It should be noted, however, that the shortfall occurs only in the final 5 years of the planning period � 2020 to 2025.  It is very likely that Housing Element law and the resulting RHNA requirements will be updated and amended at least once before 2020.  It is reasonable to assume that Burbank�s Land Use Element will also be updated before 2020 and will address these changes.  The Theoretical Maximum Capacity of the proposed Land Use Element would remain sufficient to accommodate the estimated RHNA requirement, though, as has been explained, this is not a realistic and readily available capacity.

The growth forecasted in the 2005 Land Use Element update is an estimate of the amount of growth that is likely to occur over the next 20 years; growth forecasting is a very imprecise science and it is impossible to predict the economic and demographic trends that may occur over the next 20 years that will affect residential growth in Burbank.  As explained above, it is reasonable to assume that Burbank�s Land Use Element will be updated before any shortfall would occur; the update will be another opportunity to reevaluate the City�s housing needs and capacity.

Very High Density Land Use (reduced R-5 equivalent)

At the December 14, 2005 meeting, the City Council asked staff to provide more detailed information about the location and existing development in areas proposed for the Very High Density (reduced R-5) residential land use.  Whereas it has been shown that this proposed highest residential density is not necessary to meet the projected growth needs and Housing Element goals, there are other reasons for possibly retaining the Very High Density residential land use.

Very High Density (reduced R-5) residential land use provides an opportunity for more housing adjacent to the City�s Downtown and major Media District employment center.  Providing housing in proximity to employment can reduce traffic congestion and the resulting air pollution.  Public transportation and shuttles in and around the Downtown and Media District areas would allow residents of these areas to move about the City without a car, and the location of the areas proposed for Very High Density residential are conducive to residents walking to nearby shopping and services.  In addition, the Very High Density designation would be an incentive for the recycling of some older development and encourage the provision of new housing development in areas that would have the least impact on existing residential areas.

Attached as Exhibits B through H are detailed maps that show each of the proposed Very High Density (reduced R-5) areas, the extent of each area, the Existing and Proposed General Plan Land Use Element designation, Existing Zoning, and Existing Development. Exhibit A shows the location of the sites proposed for Very High Density land use in the 2005 Land Use Element update, indicating which sites are existing Very High Density sites (called High Density and equivalent to R-5 in the current 1988 Land Use Element) and which are proposed new locations.  These sites are each discussed below, beginning on page 17.

As can be seen in Exhibit A, the areas in the 2005 Land Use Element update which are proposed for Very High Density (reduced R-5) residential use are areas which are, for the most part, already designated for the highest residential densities in the existing General Plan and zoning and which go back to the 1960s.  Pursuant to City Council direction, staff has removed about 25 acres of existing High Density (R-5 equivalent) land use, between Fifth and Sixth Streets adjacent Downtown, from the proposed Land Use Element. As discussed with the City Council at the November 9^th City Council meeting, two new areas have been proposed for Very High Density land use in the Media District area; these areas are detailed in Exhibits E and G.

High density residential sites were designated based on a set of criteria which looked at proximity to transportation corridors, availability of public transportation and access to freeways, walking proximity to retail and service centers, proximity to concentrated areas of employment and distance or buffering from low density residential areas, as explained below. 

When considering Very High Density (reduced R-5) residential land use as part of the residential density mix for the 2005 Land Use Element, it is important to remember that this category provides potential and opportunity but that due to the requirements and process attached to this highest density, it is not a type of development that will be utilized to a great extent.  The requirements proposed for this type of development are intended to limit the development to only the most appropriate sites and to ensure public input and City Council discretion for every project. 

A sliding density scale is proposed for all multiple family residential densities, which links allowed density to lot size.  Therefore, only the largest assembled sites (36,000 square feet or more), which are anticipated to be very few in numbers, could actually build out to the maximum proposed Very High Density of 72 units per acre (subject to City Council discretion); smaller sites would be limited to lower densities (Exhibit I). The areas designated in the proposed Land Use Element for Very High Density use are not all expected to build-out at the very high density; this would require all properties to be assembled into large lots qualifying for the highest densities, existing development demolished and the site rebuilt.  In a built-out City like Burbank, this is highly unlikely. 

In order to meet the lot size requirement that would allow for any development in the Very High Density (reduced R-5) range, a site would be required to have a minimum of 18,000 square feet (about 3 lots assembled); sites less than this size would be limited to R-4 densities even though the site had a Very High Density land use designation.  For lots larger than the minimum 18,000 square feet required to build in the Very High Density (reduced R-5) range, the sliding density scale, based on increases in lot size,  allows incrementally more density for lots over 25,000 square feet and 36,000 square feet (Exhibit I).  The current zoning code has a similar type of requirement, allowing only lots larger than 20,000 square feet to request a zone change to an R5 density, though once the 20,000 square foot requirement is met the maximum R-5 density is allowed to be built.  An important difference between the current code and what is proposed is that the proposed Very High Density (reduced R-5) density range would be lower to reflect the reduced densities proposed for the Land Use Element update, and, even once the 18,000 square foot minimum lot size for this density range is achieved, the allowed density would increase gradually as lot size increases.  Many properties in the areas proposed for Very High Density use are already built-out to densities that are not likely to recycle.  The Very High Density designation is intended to indicate where this type of development would be appropriate should the requisite site size and other development standards be met. 

Staff is in the process of formulating new multiple family development standards that would work together with the proposed lower densities to ensure a better housing product that will be more compatible with the existing character of Burbank�s residential neighborhoods.  The new development standards will include design elements intended to ensure a higher quality housing product.  These proposed new standards are scheduled to come before the City Council for discussion on March 15, 2005.

All development at a Very High Density (reduced R-5) would be discretionary and would require City Council consideration.  As is currently done, zoning would remain at R-4 until such time as an applicant came forward to apply for a zone change.  This zone change would trigger public noticing and review, environmental review, and is a discretionary action by the City Council.

The existing Land Use Element calls for all High Density Residential projects (equivalent to R-5 density) to be developed as Planned Developments in order to ensure optimal development; however, the zoning code has not been amended to reflect this policy.  Should the City Council decide to retain a Very High Density land use category (equivalent to the new lower R-5 densities), staff would recommend that the R-5 zone per se be eliminated and that all development over the R-4 density be processed as a Planned Development.  This would ensure that City Council has full discretionary approval of all aspects of any Very High Density project.

Summary of proposed Very High Density areas (see exhibits A through H)

Note: What is called High Density in the 1988 Land Use Element is called Very High Density in the proposed 2005 Land Use Element update.

Exhibit A shows the general location of each of the 7 areas designated for Very High Density residential use in the proposed 2005 Land Use Element update.  The exhibit also indicates whether the area is an existing Very High Density site or whether it is being proposed in the 2005 Land Use Element update for the first time.

Each of the following exhibits B through H. have two pages of maps; map 1 shows the existing and proposed General Plan land use designation and the existing zoning for the site, and map 2 shows existing development on the site (number of units and year developed) with a background color that indicates the density of existing development in terms of existing zoning categories.

Exhibit B is the large block bounded by Glenoaks Blvd., Cypress Ave., Third St. and Harvard Rd.  This site is currently designated in the Land Use Element as Medium Density and has an R-4 zone designation. (B-1)  The site is currently developed with two high rise senior housing projects. Existing development on the site is equal or greater than the current R-5 density. (B-2) Staff proposes to designate this site for Very High Density residential use in light of the existing high intensity use and the proximity to Downtown transportation, commercial shopping and services.

Exhibit C is the area generally bounded by Glenoaks Blvd., Delaware Rd., San Fernando Blvd., and Amherst Dr. This area is currently designated in the Land Use Element as High Density (R-5 equivalent) and has an R-4 zone designation. (C-1) Current development in this area is a mix of R-3 and R-4 density multiple family developments;  many of the lower density projects were developed in the 1940�s.  Existing development in the area (C-2) has significant recycle potential.  Staff proposes to designate this area for Very High Density residential use in light of the existing High Density land use designation, and the proximity of the area to commercial shopping and services, open space and freeway access.

Exhibit D is a 7 block (19 acres) area bounded by Glenoaks Blvd., San Jose Ave., Fifth St. and Verdugo Ave. In order to be able to show the necessary mapping detail for this large area, the area has been split into two maps: D-1 shows the area north of Olive Ave. and D-2 shows the area south of Olive Ave. This entire area is currently designated in the Land Use Element as High Density (R-5 equivalent) and has an R-4 zone designation. (D-1) This area is only half of the area designated in the current 1988 Land Use Element as High Density, which extends up to Sixth Street.  At the November 9, 2004 meeting, the City Council directed staff to limit the Very High Density land use to below Fifth Street. Existing development in this area (D-2) is predominantly R-4 density apartments on one and two lots with some R-5 developments.  There are scattered low density multiple family developments (2-4 units). Staff proposes to designate this area for Very High Density residential use in light of the existing High Density land use designation, and the proximity of the area to Downtown commercial shopping and services and public transportation.

Exhibit E is the area bounded by Pass Ave., Oak St., Hollywood Way and the 134 Freeway.  This area is designated in the Land Use Element as Medium Density and has several different media district zone designations ranging from R-3 to R-5 (E-1).  Existing development in this area (E-2) includes several large Very High Density developments.  Heffron Dr., the east-west street through this area, is still primarily developed with older, well maintained, low density multiple family units and some single family homes.  The higher density developments begin behind the alleys to the north and south of Heffron Dr.

Staff proposes a Very High Density land use designation for this whole area in light of the existing very high intensity uses, and the suitability of the area in terms of its proximity to the Media District employment center, the availability of shopping and services within close walking distance and the availability of public transportation and shuttles in the area.  Higher densities in this area would not impact any adjacent single family neighborhoods.

Exhibit F is the three block area behind the alley north of Riverside and the 134 Freeway between Clybourn Ave. and Evergreen St.  This area is designated as High Density in the existing General Plan Land Use Element and is zoned as R-5 (F-1).  The area is almost entirely built out to the R-5 density and there is little if any capacity for additional development except for the few lots that are currently being used as parking lots for the businesses along Riverside Drive (F-2).  Staff proposes to retain the Very High Density residential designation in this area in light of the existing designation and the high intensity use as well as the proximity to public transportation, shopping and services.

Exhibit G is an area in the middle of the media district bounded roughly by Maple and Kenwood Streets between Olive Ave. and Riverside Dr.  This area is designated for Medium Density in the existing general plan land use element and zoned for R-4 Media District Residential (G-1).  Existing development in this area is primarily well maintained low and medium density residential built in the 1940s (G-2).  Staff proposes to designate this area for Very High Density residential use because of its location in the heart of the growing Media District employment center, proximity to public transportation and shuttles and the 134 Freeway, and the age of the structures which indicates that there is increasing recycle potential as these structures continue to age.

Exhibit H is the site bounded by Verdugo Ave., Hollywood Way and Whitnall Highway.  This area is designated for High Density residential in the existing Land Use Element and is zoned as a PD (with a small portion zoned for R-4) (H-1).  The entire site is developed at an R-5 density with the exception of the most northern tip of the triangular shaped site which is developed to R-4 density (H-2).  Staff proposes to retain the Very High Density residential designation in this area in light of the existing designation and the high intensity use as well as the proximity to public transportation, open space, shopping and services.

CONCLUSION AND RECOMMENDATION:

The information presented in this report was intended to clarify the complex issue of residential densities, Land Use Element capacity and the ability of the City to meet its housing needs and goals.  Specifically, the report answers the following questions: How much capacity does the proposed 2005 Land Use Element update provide?  How much residential capacity does Burbank need?  And, is the Very High Density (reduced R-5) land use category necessary to meet this capacity need? 

In conclusion, it is not necessary to have Very High Density residential land use as part of the residential density mix in the proposed Land Use Element update in order to have the necessary capacity to meet the projected housing growth for the next 20 years. For the most part, even the regional and State housing mandates can be accommodated by the proposed Land Use Element capacity without the inclusion of a Very High Density land use.

Including Very High Density Residential land use as part of the density mix of the proposed 2005 Land Use Element would however be beneficial to the City in other ways. With the reduction of all multiple family residential densities to address concerns about neighborhood compatibility, the Very High Density (a reduced R-5) land use would provide opportunities for much needed affordable housing and provide more housing opportunities adjacent the City�s Downtown and the growing Media District employment center.  More housing in the specific areas proposed for Very High Density (reduced R-5) would allow many residents to walk to work or take the local shuttles.  Residents of the proposed Very High Density areas could walk to shopping and services and easily make use of public transportation within the City to connect to regional transportation systems.  As explained earlier, higher residential densities allow for the development of a more affordable housing product which is a major need in the community.  In addition, a Very High Density land use designation would stimulate the recycling of older residential areas and encourage the development of housing in areas that would have the least impact on existing single family residential neighborhoods.  The location of the sites proposed for the Very High Density land use are not in the vicinity of R-1 single family neighborhoods and ensures that residents of these new developments would be able to access the employment centers, Downtown, shopping and the freeways without having to go through other residential neighborhoods. The concerns of the City Council about very high density development could be addressed by the requirements and process that are proposed for utilizing the Very High Density land use designation.

Staff seeks City Council direction regarding the inclusion of a Very High Density land use category in the proposed 2005 Land Use Element update.  If the City Council wants to include this land use category in the residential land use mix, staff looks for direction regarding the proposed location and extent of this land use.

EXHIBITS

EXHIBIT A  � Proposed Location of Very High Density Areas

EXHIBITS B through H� Maps showing the existing and proposed General Plan land use designation, existing zoning and existing development for each of 7 areas proposed for Very High Density land use.

EXHIBIT I - Graph Illustrating the Proposed Very High Density Scale

EXHIBIT  I

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