Loading...
HomeMy WebLinkAboutRes 2011-10RESOLUTION NO. 2011 -10 A RESOLUTION OF THE MAYOR AND COUNCIL OF THE TOWN OF FOUNTAIN HILLS, ARIZONA, APPROVING A SECOND AMENDMENT TO DEVELOPMENT AGREEMENT WITH PACIFIC FH RESORT, LLC. BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE TOWN OF FOUNTAIN HILLS as follows: SECTION 1. The Second Amendment to Development Agreement (Fountain Hills Resort) by and between Pacific FH Resort, LLC, as successor in interest to FH Resort Developers L.L.C., and the Town of Fountain Hills (the "Second Amendment ") is hereby approved in the form attached hereto as Exhibit A and incorporated herein by reference. SECTION 2. The Mayor, the Town Manager, the Town Clerks and the Town Attorney are hereby authorized and directed to cause the execution of the Second Amendment and to take all steps necessary to carry out the purpose and intent of this resolution. PASSED AND ADOPTED BY the Mayor and Council of the Town of Fountain. Hills, March 17, 2011. FOR THE TOWN OF FOUNTAIN HILLS: QI-file- ia/T.A'chlum, Mayor REVIEWED BY: ltichar L. Davis, Town Manager 1413301.1 ATTESTED TO: 1_ W6 mA-- . 1L _►.L1I1 APPROVED AS TO FORM: 0 0 � '\lidrew J. McGuire, Town Attorney EXHIBIT A TO RESOLUTION NO. 2011 -10 [Second Amendment to Development Agreement Fountain Hills Resort] See following pages. 1413301.! SECOND AMENDMENT TO DF,VELOPMENT AGREEMENT (Fountain [fills Resort) THIS SECOND AMENDMENT TO DEVELOPMENT AGREEMENT (this "Second Amendment ") is made as of February 17. 2011 (the "Effective Date "), by and between the Town of Fountain Hills, an Arizona municipal corporation (the "Town ") and Pacific FH Resort. LLC., an Arizona limited liability company ("Pacific FIT'), as successor in interest to FFi Resort Developers, L..L..C., an Arizona limited liability company ("FI-I Resort "). The Town and Pacific FI•I are referred to herein individually as a "Party" and collectively as the "Parties." RECITALS A. The'Town and Fountain Vista Properties, LLC, an Arizona limited liability company ("Fountain Vista "). are Parties to that certain Development Agreement dated March 3, 2003 and recorded at Document Number 2003 - 0365140 in the Maricopa County Recorder's Office (the 'Original Development Agreement "), as amended by that First Amendment to Development Agreement dated June 7, 2007, by and between the Town and Fountain Vista's successor -in- interest, FH Resort ("FI.1 Resort "). which was authorized by the Town Council by Resolution No. 2007 -04 and recorded at Document Number 2007- 0699965 in the Maricopa County Recorder's Office (the -'First Amendment "). The Original Development Agreement and the First Amendment are hereinafter referred to together as the "Development Agreement." B. The Development Agreement governs the development of the property legally described on Exhibit I A attached hereto and incorporated herein by this reference (the "Property "). C. Pacific FLi has succeeded to the interest of FH Resort in and to the Properly as well as its interest in the Development Agreement pursuant to that certain Trustee's Deed Upon Sale by and between FH Resort, as Trustor, and Pacific Coach, Inc., an Arizona corporation ("Pacific Coach "), as Grantee, dated October 29, 2008 and recorded at Document Number 2008 - 0935968 in the Maricopa County Recorder's Office and that certain Special Warranty Deed dated October 29, 2008 by and between Pacific Coach, as Grantor, and Pacific FH, as Grantee. and recorded at Document Number 2008 - 1042953 in the Maricopa County Recorder's Office, true and correct copies of which documents are attached hereto as Exhibit 2A and incorporated herein by this reference. All references to the "Owner" in the Development Agreement hereinafter refer to Pacific FH. D. The Town and Pacific FIi desire to amend certain portions of the Development Agreement on the terms and conditions set forth below. AGREEMENT NOW, TH EREFORF: in consideration of the f wego'ing recitals. the promises and covenants set tbrth below, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged by the Parties. the Town and Pacific FI.1 agree to amend the Development Agreement as follows: fosc-894 8 I . R -4 Zoning Designation. The phrase "eliminating all R4 zoning category uses from the Property" in Recital E of the .First Amendment shall be deleted and replaced with the phrase "clirninating the R -4 zoning designation for the Property." ?. Commencement of Construction Deadline. Section 10 of the Development Agreement is hereby amended to provide that the Owner shal l commence construction with respect to the Resort as soon as market conditions permit and market demand supports such construction, but in no event later than the date that is five (5) years following the Effective 1:)atc of this Second Amendment. 3. Roadwav fmprovements'. Traffic Signal. The 'Town and Owner agree that the Owner's obligations to (a) complete any off site roadway improvements and utility improvements and (b) install a traffic signal at the location shown on Exhibit 3 to the First Amendment at a time and in a manner acceptable to the Town Engineer, shall be required to be completed not earlier than the date on which the first permit is issued for construction on the Property. 4. Architectural Approvals. Section 12 of the First Amendment is hereby deleted in its entirety and replaced with the architectural requirements set forth in this Section 4. In addition to the requirements of Chapter 19 of the Town's Zoning Ordinance and as soon as practicable following approval of this Second Amendment, the Owner shall submit to the Town for its approval such elevation drawings and architectural renderings deemed desirable by the'Town, showing all of the building design characteristics for the Resort, including but not limited to, colors, architectural treatments and details, building massing and composition, building orientation, signage, monumentation, and surface treatments for exposed retaining walls. 5. Parking Requirements. The Parties hereby acknowledge and agree that pursuant to the findings set forth in that certain Fountain Hills Conference Resort and Spa Parking Evaluation dated October 2006, which is attached hereto as Exhibit 3A and incorporated herein by reference (the "Parking Evaluation "), a total of 665 parking spaces will he required and will be sufficient to meet the parking requirements for the Property if developed as approved in the site plan for the Resort dated April 6, 2007 (the "Approved Site Plan "). The Parties specifically agree and understand that, in the event the Approved Site Plan is modified in any way that will affect parking requirements, the Parking Evaluation shall be updated to address any such changes. Upon completion of the updated Parking Evaluation, the Town Council shall detcrmine, in its sole discretion, whether additional parking may be required. if the Town Council determines that such additional parking is required, such amended requirements shall become a condition of approval of the Resort as if fully set forth in this Second Amendment. 6. Effect of Amendment. Except as otherwise contained herein, the remaining terms and provisions of the Development Agreement shall remain in full force and effect and are otherwise hcrebv ratified and confirmed. All capitalized terms used in this Second Amendment shall have the meanings ascribed to them in the Development Agreement unless otherwise indicated herein. In the event of'any conflict between the terms and conditions of this Second Amendment and the terms and conditions of the Development Agreement, the terms and conditions of this Second Amendment shall control, unless a contrary interpretation is required by a particular situation or circumstance. 1 S)8ON4.8 2 7. Entitlements. Notwithstanding anything to the contrary set forth in the Development Agreement, in consideration ofthe substantial expenditures by the Owner and in consideration of the substantial sales, hotel bed acid board taxes to be generated from the Property front the construction of the Resort and the subsequent operation of the Resort on the Property, the `town shall not initiate a rezoning of the Property for a period of five (5) years from the Effective Date of this Second Amendment provided that Owner, its successors and assigns, are not in breach of the Development Agreement and so long as they have not violated the terms and conditions of the Approvals. Entitlements granted by ordinance # 07 -06. PD2005 -3, and SLI 2005 -5 shall remain in full force and effect for the entire time period in which this Second Amendment is effective. 8. Non - Default. By executing this Second Amendment, Pacific FYI, on behalf of itself and in its role as successor to FH Resorts and as Owner of the Property. affirmatively asserts that the ']'own is not currently in default. nor has been in default at any time prior to this Second Amendment, under any ofthe terms or conditions of the Development Agreement. 9. Counterparts. This Second Amendment may be executed in any number of counterparts, all of which together shall be deemed to constitute one instrument, and each of which shall be deemed an original. in addition, the Parties acknowledge and agree that facsimile signatures shall be deemed valid and binding, and thereafter, upon request of either Party, each Party agrees to deliver original signed copies of this Amendment to the other Party. 10. Waiver of Claims Pursuant to Attiz. REV. S*iA'r. § 12 -1134 et seq. Pacific FYI, on behalfof itself and all other parties having an interest in the Property, agrees and understands that the Town is entering into this Second Amendment in good faith and with the understanding that, if it acts consistently with the terns and conditions herein, it will not be subject to a claim for diminished value of the Property from Pacific FYI or other parties having an interest in the Property. Pacific FYI agrees and consents to all the conditions imposed by the Second Amendment, including all stipulations adopted by the Town Council, and by signing this Second Amendment hereby waives any and all claims, suits, damages, compensation and causes of action Pacific FYI may have now or in the future under the provisions of ARiz. REV. STA'r. §§ 12 -1134 through and including 12 -1136, as amended (but specifically excluding any provisions included therein relating to eminent domain) and resulting solely from the development ofthe Property consistent with this Second Amendment, the First Amendment and the Original Agreement (including all stipulations adopted by the Town Council). Pacific FYI acknowledges and agrees that the conditions imposed by this Second Amendment (including all stipulations adopted by the 'Town Council) or a denial of the Second Amendment would not result in a reduction of the fair market value of the Property as defined in Attu. Ri:v. STM. § 12 -1136. Pacific FYI acknowledges that this Second Amendment may be adopted with stipulations imposed by the Town Council, in its sole discretion. prior to approval of the Second Amendment. Pacific FH agrees and understands that its waiver of claims as set north herein shall be deemed to extend to cover any changes to the Second Amendment and all stipulation; thereto as approved by the Town Council unless, not later than 48 hours following such 'I'o% %,n Council approvals. Pacific 1:1-1 notifies the Town. in writing, of its disagreement with such stipulation(s). In the event that Pacific I'll timely notifies the Town of such disagreement, Pacific i:1-1 shall not be deemed to have waived claims with respect to only the stipulations imposed or revised by the'l'o%%n Council prior to approval ofthe Second Amendment; provided, however, that if Pacific FYI does not submit a separate waiver of such claims, in a form acceptable to the Town, prior RM894.8 to close or bLIShICSS, on the I iffli calendar day following approval orthe Second A mendnient. then the Town may. after proper notice and hearing, rescind the resolution adopting the Second Amendment, and if rescinded bV tile Town) COMILil acting in its sole discretion, this waiver shall acct as a bar to a claim for diminished value based Upon the rescinded Second Amendment. The foregoing waiver of claims shall not be effective and shall be ot'no Curdier force and effect with respect to the Second Amendment in the event the Town Council disapproves the Second Amendment. 11. Conflict ol'Interest. This Second Amendment max, be cancelled pursuant to Aim. IZI-',V.',S I'AT. § 38-511. 13\1 WITNESS WHEREOF, the Parties hereto have executed this Amendment as of the day and year first written above. "Owner" PACIFIC F11 RESORT. LLC. an Arizona limited liability company By: Nag' -Town- TOWN OF FOUNTAIN HILLS. an Arizona municipal corporation Bv: 6111. Schlum, Mayor Title: ATTEST: — M�-Jlfld, i0lj :4,.N 4 STATE OF ARIZONA ) )SS. COUNTY OF ,MARICOPA ) On , 2011. befbre me, , a Notary Public in and for said State, personally appeared Jay T. Schlum, the Mayor of the Town of Fountain Hills. an Arizona municipal corporation, for and on behalf of the corporation. WITNESS my hand and official seal. Notary Public My commission expires: STATE OF ARIZONA ) ) ss. COUN'T'Y OF MARICOPA ) On N.� 1% , 201 1, befbre me, 1�y N JZU —E7to�►t M j At , a Notary Public in and for said State. personally appeared Atjc*, -) Qoi-f') , personally known to me (or proved to me on the basis of satisfactory evidence) to be the V;eeQayss. of Pacific FH Resort, LLC. an Arizona limited liability company, and that he, as such officer, being authorized to do so. executed the i'oregoing instrument on behalf of the company, for the purposes therein contained. WITNESS my hand and official seal. My commission expires: Notary Public K OFFICIAL MEAL fill : H ELLEN �lJRi ' Nnlary PoVic Tait cs A nzww kJAi ICOPA CC � Y ARti C,w—n Ex -,>-x; U-c 26.201. EXHIBIT 1A TO SECOND AMENDMEN,r TO DEVELOPMENT AGREEMENT [Legal Description of the Property] Please see following pages. 1180891.8 Wood, Patel & Assodates, lu. (480) 834 -3300 www wood to ca►n EXHIBIT 1 ]PARCEL DESCRIPTION Fountain hills Resort Lot I and Tract A April 23, 2007 V4W52381.01 Page 1 Lot 1 anti "iiact A of Fountain Hills Resort as shown on the final plat recorded in Book 597,, page 42, Ivfaricoga County Records (M.C.R.), lying within Sections 20, 21, 28 and 29, Township 3 North, Range 6 East of the Gila and Salt River Meridian, Madoopa County, Arizona. Containing 59.5852 acres, or 2,595,532 square feet of land, more or less. Subject to existing Tights-of-way and easements. This parcel description was prepared without the benefit of survey fieldwork and is based on the Final Plat of Fountain Hills Resort recorded in Book 597, page 42, M.CJL and other client provided information. Any moaurnentation noted in this parcel description is based on said Final Plat. yHPsat Daa�kiwYru36tAr fv=&�m Hib Vi"= tat t W Trait A*c 4 Wood, Pats! A Associates, Ina (480) 834 -3300 unvw.woadgatel.cotn FJCWBIT 2 PARCIM DESCRIPTION Fountain Hills Resort Lot 2 April 25, 2007 WP# 052381.01 Page 1 d2 That portion of Lot 1 of Fountain Hills Resort as shown on the final plat recorded in Book 597, page 42, Maticopa County Records (M.CIL), lying within Sections 20, 21, 28 and 29, Township 3 North, Range 6 East of the Wa. and Salt River Meridian, Maricopa County, Arizona, more particularly described as follows: COMMENCING at the northedy most corner of said Lot l; THENCE along the northeasterly line of said Lot 1, South 39 025'44" East, a distance of 236.54 feet, to the POINT OF BEGINNING. THENCE continuing, South 39 °25'44" East, a distance of 803.46, feet to the northeast comer of said Lot 1; THENCE leaving said northeasterly line, along the east line of said Lot 1, South 04 000'42" West, a distance of 425.00, to the southeast corner of said Lot 1; THENCE leaving said east lime, along the southerly line of said Lot 1, South 71 °19'44" West, a distance of 687.06 feet; THENCE lew-ing said southerly line, North 16°3624" West', a distance of 253.13 feet; THENCE North 73 °33' 17" East, a distance of 104.92 feet; THENCE North 73°23'31" Erik a distance of44.33 feet; THENCE North 74 003'03" East, a distance of 20.29 feet; THENCE North 64°02'47" East; a distance of 30.29 feet; THENCE North 49138'22" East, a distance of 42.19 feet; THENCE North 41012'33" East, a distance of 47.86 feet; THENCE North 3S°24'04" East; a distance of 37.33 feet; THENCE North 34 04640" East;.a distance of 22.09 feet; THENCE North 2304rS8" East, a distance of 7.86 feet; THENCE North 12056'10" East, a distance of 10.86 feet; THENCE North 14053'14" East, a distance of 14.70 feet; THENCE North 15 °45'33" Past, a distance of 54.54 feet; THENCE. North 15 °06' 10" East, a distance of 73.62 feet; THENCE North 15°17'09" Fast, a distance of 86.47 feet; THENCE North 14 °5615" East, a distance of 36.15 feet; THENCE North 15 049'52" East, a distance of 48.18 feet; THENCE North 15 °4258" West, a distance: of 78.80 feet; THENCE North 15°27'21" West, a distance of 65.26 feet; THENCE North 24 124'24" West, a distance of 30.21 feet; THENCE North 29 °39'30" West, a distance of 41.96 feet; Parcel Deserllrtion Fountain Bills Resort Lot 2 April-25,2007 WP# 052381.01 Page 2of2 THENCE North 38 059'25" West, a distance of 48.28 feet; THENCE North 461152'04" West, a distance of 27.42 feet; THENCE North SV40'55" West, a distance of 84.82 feet; TR ENCE North 52033'13" West, a distance of 132.34 feet; THENCE North 22029111" Fast, a distance of 23.20 fmt; THENCE North 52 022'57" Fast, a dismnc:e of 194.44 feet, to the POINT-OF BEGINNING. Containing 9.9121 acres, or 431,771 squate feet of land, more or less. Subject to existing rights -o£ -way and easemnts. This parcel description was prepared without the benefit of survey fieldwork and is based on the Final Plat of Fountain Hills Resort recorded in Book 597, page 42, M.C.R. and Other client provided information. Any rnonwrontation noted in this parcel description is based on said Final Plat. Y.1C'arcci]�cristiwnVLr1381.6i FoaW'snii�sRcsatlottdoc EXHIBIT 2A To SECOND AMENDMENT TO DEVELOPMENT AGREEMENT [Assignment Documents] Please see following pages. 1080894.8 TS No. 98080692 WHEN RECORDED MAIL TO: Pacific Coach, Inc. 1701 East Highland, #310 Phoenix, AZ 85016 11 r)rV'TrTAT. RF.rr)r?nC nr Unofficial Document {� TRUSTEE'S DEED UPON SALE -------------------- - - - - -- Effective Date: October 29, 2008 Trustee: LANDAMERICA TITLE AGENCY INC., an Arizona corporation, 2901 E. CAMELBACK ROAD PHOENIX, AZ 85016 Grantee: Pacific Coach, Inc., an Arizona Corporation 1701 East Highland, #310 Phoenix, AZ 85016 Property Address: At or near Palisades Blvd., and Shea Blvd., Fountain Hills, AZ Maricopa COUNTY. Tax Parcel Number 176 -14 -560 and 176 -14 -561 Legal Description: Lot 1 and Tract A, Fountain Hills Resort, According to Book 597 of Maps, page 42, Records of Maricopa County, Arizona. Trustee, as Trustee of the Deed of Trust described below, grants and conveys to Grantee, without covenant or warranty, expressed or implied, all right, title and interest of Trustee in Subject Real Property together with all rights and privileges appurtenant or to become appurtenant to Subject Real Property on effective date. This Deed is made pursuant to the authority and powers given to Trustee by ARS Section 33 -807 et.seq. and by that certain Deed of Trust described below, Trustee having complied with all applicable statutory provisions and having performed all the duties under Deed of Trust. All requirements of ARS Section 33 -807 et. seq. and of the Deed of Trust relating to sale and notice have been complied with. EXEMPT per ARS 11- 1134 -B1 Page 1 of 2 TS No. 98080692 20080935968 Page 2 of 2. Description of Deed of Trust Date: May 9, 2007 Recorded Date: May 15, 2007 Trustor: PH RESORT DEVELOPERS, L.L.C., An Arizona Limited Liability Company Original Beneficiary: Sir Mortgage and Finance of Arizona, Inc., an Arizona corporation County: Maricopa Instrument Number 2007 - 0564780, thereafter assigned in Instrument Number 2007 - 0564781 Pursuant to the Notice of Trustee's Sale, Subject Real Property was sold by Trustee at public auction on this Date: October 29, 2008, at the place specified in the Notice, to Grantee, who was the highest bidder for Subject Property, for $7,000,000.00 cash, in lawful money of the United States, which has been paid. tft"l LandAmerica Title Agency, Inc., an Arizona corporation, successor by merger to Capital Title Agency Inc., an Arizona corpora doer, as Trustee BY- Jahe Kirk ITS: rustee Sale Officer STATE OF ARIZONA COUNTY OF MARICOPA The foregoing instrument was acknowledged before me October 29, 2008, by Jane Kirk, the Trustee Sale Officer of LandAmerica Title Agency, Inc., an Arizona corporation, successor by merger to Capital Title Agency Inc., an Arizona corporation, on behalf of the corporation. MY COMMISSION NOTARY PUBLIC - ARIZONA NOTARY PUBLIC MARICOppA COUNTY N Canmissia I Expires FA uary 5 20D9 Unofficial Document WHEN RECORDED, MAIL TO: David Lansky Mariscal, Weeks, McIntyre & Friedlander, P.A. 2901 North Central Avenue, Suite 200 Phoenix, Arizona 85012 SPECIAL WARRANTY DEED For the consideration of the sum of Ten Dollars ($10.00) and other valuable considerations received, PACIFIC COACH, INC., an Arizona corporation (" G rantar "), hereby grants, sells and conveys -to PACIFIC FH RESORT, LLC, an Arizona limited liability company ( "Grantee "), that real property located in Maricopa County, Arizona and legally described in Exhibit "A" attached hereto and incorporated herein by this reference; together with all of Grantor's right, title and interest in and to any rights, privileges, rights -of -way and easements appurtenant thereto (the "Pro gec "). SUBJECT ONLY TO current taxes, assessments, reservations, liens, liabilities, encumbrances; covenants, conditions, restrictions, declarations, ri ghts of way and easements of record. GRANTOR hereby binds itself and its successors and assigns to warrant and defend for the benefit of Grantee and its successors and assigns the title against all acts of Grantor, and none other, subject to the matters set forth above. IN WITNESS WHEREOF, this Deed is effective as of the 29h day of October 2008. SIGNATURES ON NEXT PAGE UAPARALFGALSWCC%Lavin*XSWD for Mf Rcsorts (I 24-08).doc 20081042953 GRANTOR: PACIFIC COACH, INC., an Arizona corporation By: Name: Its: STATE OF ARIZONA ) ) ss. County of Maricopa ) On / 2008, before me, _ -Go a Notary Public in and for said state, personally appeared � j,j, , personally known to me (or proved to me on the basis of satisfactory evidence) to be the persons whose names are subscribed to the within instrument and acknowledged to me that they executed the same in their authorized capacities, and that by their signatures on the instrument, the persons, or the entity upon behalf of which the persons acted, execu ea° uie instrument. WrI NESS my hand and official seal. My commission expires:. ; OFFICIAL SEAL BONES MMW PII8 C • &W a AAA MARIOOPA COUNTY W CMM WN Nw.13.2011 20081042953 Exhibit "A" to Special Warranty Deed Legal Description Lot 1 and Tract A, Fountain Hills Resort, According to Book 597 of Maps, page 42, Records of Maricopa County, Arizona. U10119w EXHIBIT 3A. TO SECON D AMENDMENT 1'0 DEVELOPMENT AGREEMENT [Parking Evaluation] Please see following pages. 1080894,8 Fountain Hilts Conference Resort and Spa Parking Parking Provide Resort Parking Surface 138 Underground Garage 450 Total Resort Parking pf.u. Penthouse Parking Penthouse Garages 72 Surface Parking 8 Total Penthouse Parking _ 80 Total Parking Provided 668 Parking Needed Resort Parking 555 Penthouse Parking Total Parking needed 683 '.r-' 1 'S •�s r � lr ,gyp j P• 411 �.. '�riii • >' ,,��,'fLL��,i� 'j . -�o,�a `'�' ;,�a._<. � '�_m�7. f '711®r. It Jk C l 4rPY •1.. r'kf'� - ../ '�� Fountalon Hills Conference Resort &Spa Parking Evaluation Prepared for. a $ Town of Fountain Hills 16705 E. Avenue of the Fountains Fountain Hills, AZ 85268 Tel:(480) 816 -5138 Prepared by: tho K d:up, Inc. 16448 N. 40''' Street, Suite A Phoenix, Arizona 85032 -3337 Tel: (602) 482 -5884 October 2006 2006 -35TE Table of Contents 1 INTRODUCTION ...................................................................... ..............................1 1.1 Background .................................................................. ..............................1 1.2 Study Obiective ............................................................. ..............................1 1.3 Study Methodology ....................................................... ..............................1 2 DATA COLLECTION .................................................................. ..............................4 2.1 Similar Resort Sites ........................................................ ..............................4 2.2 Parking Occupancy Surveys .......................................... ..............................4 2.3 National Parking Standards ........................................... ..............................6 3 FINDINGS AND RECOMMENDATIONS ..................................... ..............................8 3.1 Findings ...................................................... ............................... .........8 3.2 Recommendations ......................................................... ..............................9 APPENDICES Appendix A Excerpts from Circulation Report Appendix B Survey Questionnaires List of Figures Figure 1 Proposed Site Plan ...................................................... ..............................2 List of Tables Tablel Summary of Surveyed Resort Sites ................................... ..............................5 Fountain His Con ce Resort & Spa Parking Evaluation a n � INTRODUCTION This report documents findings (CK) for the proposed Fountain Boulevard in Fountain Hills, A conduct an independent evc development. 1.1 Background of the Parking Evaluation conducted by the CK Group, Inc. Hills Conference Resort & Spa development along Palisades •izona. CK was retained by the Town of Fountain Hills to luation of the parking requirements for the proposed According to the site plan provided by Group West Companies, LLC, Fountain Hills Conference Resort & Spa is planned as a resort conference hotel with 233 guest suites, 22,500 square feet of conference space (including 12,500 square feet of meeting space and 10,000 square feet of ballroom space), approximately 6,500 square feet of restaurant /lounge, and other amenities such as entertainment decks, pools, and gardens. The resort also includes 36 penthouse units that would be located in front of the project site. The site plan also shows a total of 506 on -site parking spaces including 138 surface stalls, 288 garage stalls, 72 penthouse garages, and 8 penthouse surface stalls. A conceptual site plan for the proposed development is shown in Figure 1. Circulation Plan Report prepared earlier by Wood, Patel & Associates, Inc. in October 2005 recommends 474 total parking spaces for the development including 72 for the 36 penthouse units based on shared parking analysis. Excerpts from the Circulation Report are included in Appendix A. The Town's parking ordinance recommends that the off - street parking for a mixed-use development should be computed as the sum of parking requirements for various land uses computed separately, which yields a total parking space requirement of 870 spaces. 1.2 Study Objective The primary objective of this study is to conduct an independent evaluation of the parking requirements for the proposed development and recommend appropriate number of parking spaces required for the development. The study is intended to assist the Town in making an informed decision before approval of the final plans of the development. 1.3 Study Methodology To fulfill the study objective of providing an independent evaluation of the parking requirements for the proposed development, parking surveys were conducted at similar resort sites in Arizona. Seven (7) resort sites were selected for parking surveys based on their similarity (guest rooms, conference space, amenities) with the proposed project. While "sold Parking Evolualion ' a�. /ID • �� all t y I• fill I� 1 I � ' 1 ' 1 I , I I t' s c V J e v 1 N Q a R our events at the selected resort sites were impossible to capture given the timeframe for this study, an attempt has been made to conduct parking occupancy surveys during weekdays and weekends during major activity periods. Interviews were also conducted over the phone with the resort staff regarding their parking problems. In addition, national parking standards including those published by the Institute of Transportation Engineers (ITE) and the Urban Land Institute (ULI) were investigated to determine parking requirements for the project. Parking requirement recommendations for the proposed development were then made based on the parking survey results and the industry standard parking rates. Because of the unique characteristics of the penthouse units for possible long -term stays and layout on the site plan, the units ore not included in the parking evaluation. It was assumed that the proposed 36 penthouse units would be self- contained through the proposed 80 parking stalls. Fountain His CoArmce Resort & Spa 3 Forking Evaluation u.. p.wap. lww. 2 DATA COLLECTIC The data collection effort included selection of resort sites for parking surveys, phone interviews with resorts' representatives regarding their parking issues during major events, and parking occupancy surveys. In addition, the Institute of Transportation Engineers (ITE) and the Urban Land Institute (UU) parking standards were researched to investigate the parking requirements for the proposed project. 2.1 Similar Resort Sites Seven (7) resort sites in Arizona were selected to conduct parking surveys: three (3) in Scottsdale, one (1) in Carefree, two (2) in Tucson, and one (1 I in Prescott. These sites were selected based on their similarity with the project site such as to the number of guest rooms, square feet of total meeting space, ratio of guest rooms to square feet of meeting space, property type and other amenities. The proposed development has 233 guest suites with 22,500 square feet of total meeting /conference space. This calculates to 9.91 as the ratio of guest rooms per 1,000 square feet of meeting space. The ratio of guest rooms to the total meeting space was an important factor in the resort sites selection process. Table 1 summarizes the size of meeting space, number of guest rooms, on -site parking inventory, other resort amenities, overflow parking provision, and existence of parking problems for the seven (7) resort sites selected for parking surveys. The information presented in Table 1 was obtained by conducting interviews over the phone with the resort representatives. Although every effort has been made to present accurate information in the table, CK is not responsible for any misconstrued information obtained from the resort staff during the interviews. Completed parking survey questionnaires are attached in Appendix B. Parking occupancy, at four (4) of the seven (7) sites, is also presented in the table that will be Further discussed in Section 2.2. 2.2 Parking Occupancy Surveys While "sold-out" events at the selected resort sites were not possible to capture given the timeframe for this study, an attempt has been made to conduct parking occupancy surveys during weekdays and weekends during major activity periods. Of the seven (7) resorts only four (4) resorts i.e., Carefree Resort & Villas, Doubletree Paradise Valley Resort, Hilton Scottsdale Resort & Villas and Hyatt Regency Resort & Spa at Gainey Ranch were selected in the greater Phoenix Area to conduct parking surveys. Westward Look Resort in Tucson and Prescott Resort Conference Center had no major events scheduled during the study period. The phone survey revealed that 1W Marriott Starr Pass Resort & Spa in Tucson was experiencing severe parking problems during major events even though they utilize overflow parking. No occupancy survey was conducted at the resort site to validate the problem. Fountain Hi Con nee Resort & Spa Pbrkng Evok ofion 4 Parking Occupancy surveys were conducted at the four (4) selected resorts between October 8" 2006 and October 14�' 2006. Table 1 also shows parking occupancy and the total parking supply at the study resorts. 2.3 National Parking Standards In addition to the parking surveys conducted on the selected resort sites (documented in sections 2.1 and 2.2), national parking standards including those published by the Institute of Transportation Engineers (ITE) and the Urban Land Institute (ULI) were researched to propose the parking requirements for the Fountain Hills Conference Resort & Spa. It should be noted that industry standards indicate that whenever a parking lot or a garage is occupied at 90% or above, such a facility is typically considered to be operating at capacity. In keeping with this standard, it is common practice to factor parking requirements estimated for parking facilities using the ITE and UL! rates by 10 percent. This factor is typically used in the industry to ensure that the parking turnover can occur without causing drivers to circulate for long periods of time in search of a vacant parking space. 2.3. l Institute of Transportation Engineers (ITE) The total number of potential parking spaces that will be required for the proposed project was estimated based on the peak period parking demand rates published in the ITE Parking Generation (3'd Edition). Resort Hotel (ITE Code 330) type land use was used to estimate the parking requirement that provides parking demand rates with guest rooms as the only independent variable. This ITE land use category caters to the tourist and vacation industry and provides sleeping accommodations, restaurants, cocktail lounges, retail shops and often offers a wide variety of recreational facilities /programs (golf courses, tennis courts, beach access or other amenities). This land use, however, does not cater to the comrention and meeting industry. Therefore, rates published by the ITE for Resort Hotels could easily underestimate the parking requirement for this project which is geored towards the convention and meeting industry. While the ITE average peak period parking demand for a Resort Hotel is 1.42 spaces per guest room, the 85' percentile parking demand is 1.86 per guest room. It is prudent to utilize the 85* percentile demand rather than the average demand, and further increase it by 10 percent for efficient traffic circulation. Using a parking demand rate of 1.86 per guest room and increasing it by 10 percent will result in a parking requirement of approximately 477 spaces for the proposed Fountain Hills Conference Resort & Spa project. Fountain His Contierence Resort & Spar 6 Parking Evaluation n �, 2.3.2 Urban Land Institute (ULI) ULI Shared Parking (1983 Edition) provides parking characteristics for high quality hotels that are self contained and support amenities such as restaurants /lounges, banquet /meeting rooms, convention facilities, and guest rooms. ULI provides a breakdown of parking demand for each of the major hotel components including guest rooms, restaurant /lounge facility, banquet /meeting rooms, and convention facilities. The following are the ULI peak parking rates for various hotel components: • Guest Rooms — 1.0 space per room • Restaurant /Lounge Facility — 10 spaces per thousand square feet u Banquet /Meeting Rooms — 0.5 space per seat U Convention Facilities — 30 spaces per thousand square feet The following assumptions were made for the activity level of major components of the proposed Fountain Hills Conference Resort & Spa based on the information obtained from the candidate resort sites surveyed for this study and documented in sections 2.1 and 2.2: n Convention Facilities - 30 percent of the conference guests are shuttled in and out of the project site using on -site shuttle service o Guest Suites - 25 percent of the guest suites are occupied by the guest not attending the conference U Restaurant - 25 percent of the visitors to the restaurant are not staying at the resort The above stated peak parking rotes from ULI and activity level assumptions for the major components of the proposed resort, along with a 10 percent upward adjustment for efficient traffic circulation, was estimated to yield 604 spaces for the proposed project. Fountain His Conference Resort & Spa 7 Parking Evaluation u.•wn rn. 3 FINDINGS AND RECOMMENDATIONS 3.1 Findings • The proposed development is a resort conference hotel with 233 rooms and 36 penthouse units. • The proposed development consists of 22,500 square feet of conference space that includes 12,500 square feet of meeting space and 10,000 square feet of ballroom space. A total of 506 on-site parking spaces including 138 surface stalls, 288 garage stalls, 72 penthouse garages, and 8 penthouse surface stalls are proposed. • The Circulation Plan report prepared by Wood Patel & Associates in October 2005 recommends that the proposed 506 parking spaces would be adequate For the development since the site would allow shared parking between different land uses. However, based on the Town of Fountain Hills Parking Ordinance, the proposed development will be required to provide 870 parking spaces. • A study of seven (7) resort sites, which are similar to the project site, revealed that resorts with more than 25 parking spaces per thousand square feet of meeting space typically does not experience parking shortages during major events. • Four (4) of the resort sites surveyed revealed parking occupancy between 43 and 75 percent under moderate activity levels. o National parking standards such as the Institute of Transportation Engineers (ITE) and the Urban land Institute (ULI) reflects parking requirements of 476 and 604 spaces, respectively, not including the proposed 80 spaces for the penthouse units. The ITE land use category (Resort Hotel) caters more to the tourist and vacation industry rather than the convention industry. Because the proposed Fountain Hill Conference Resort & Spa is geared to the convention and meeting industry, it is intuitive to see how the rates published by the ITE Parking Generation for Resort Hotels could easily underestimate the parking requirement For this project. On the other hand, given the similarity between the functionality of the ULI defined Hotel land use and the proposed project, the parking generation rate recommended in the ULI Shared Parking was considered more appropriate for estimating parking requirement for this project. Fountain s Conference Rasort & Spa $ Parking Evaluation K 4P :.. . 3.2 Recommendations The final recommendations are based on the parking surveys and review and evoluafion of national parking standards. Due to the fact that similar resort sites in Arizona are operating acceptably with slightly more than 25 spaces per thousand square feet of conference space, it can 6e concluded that a parking ratio of 26 spaces per thousand square feet of conference space would potentially make the project site self - contained. This yields a parking requirement of 585 stalls o6ove and beyond the proposed 80 stalls for the penthouse units. Although the parking requirement of 585 spaces is slightly less than that estimated using the Ull rates (604 spaces), the evidence of accepta6le operation from similar resort sites formed the 6asis for this conclusion. Therefore, it is recommended that a total parking requirement of 665 spaces be conditioned for the Fountain Hills Conference Resort & Spa. To avoid any possi6le future parking spillover onto surrounding roadways, including Palisades Boulevard, it may 6e prudent for the proposed development to esto6lish an overflow parking contingency plan. Such a plan may include provisions to shuttle guests from a near6y remote parking lot to the resort during a "sold -out" event. Fountain gilts Conference Resort & Spa 9 Parking Evaluation r7! K Appendix A Excerpts from Circulation Report Fountain flifls Conference Resort & Spa Parking Evaluation llnury� Iwn. Parking for the site was eafimted &r the -hotelf -its wppoftg uw%. and-ft penthomurrits bued on rates specified. by *e Town. of Fountain MUM, vs pmsenW an &WbIt 10, Aocordikwy,, fit 11w px.i Mig demand.fbr the entire develdpment is 870parbngspates4 ft vaidduavoiawiffim -the de1KeIbp=wt•m swd-moue hoilitics with -no. sharing-or pwicitig -qm ems . How.mr, it is -apticipmed ftt 04 pxd&g demand for all uses-viiUm the. development wIlL.nofocour at the same fitne, thereby 4lowingchafing of parkiftspaces<betweentw.landvzm B#md on •ormation ftm -the Client.-dwed- parkAg dmand we doUnnined ft I)Vw- ==4DO as fellows: Scenario I is defined as all'midehfial. waits b6nS.-ioccup-ted, sad all,botdl rowhs-WbW;oec*ied for a. conlergude- with'SIGIN6 -aftht UM. gutg usial-Ithe on-site sbuttle service, Further; thawis, no event in thebbWOOM Scenario H is-defifted w.-ALresidential units bcinjS.o"i4 and. aH -botel roams beingtoedWied Fxdhcri*fl=disvoawdk the balhoom Scenario UEAs-ddinW= 0-vesidentiefur its bft cmpi4 and allboW -room being accupied for -a aou&mwe-with 50%.Westv vsing tww4datbWe.saVice. FurWri "--balbaantis being oc%vied.for.-aa cTent. It is anticipated that 349 -parking. spaces, will be njuired f& Scenario. 7, 46S -parking apace va be •rcqubzd for -Scenario A :and 474 specs - wiU be.- requIrW ft Scenstio AM IU dt Wlbd. dadyj(h is pce=ted,fn,&WII40. Based•on the-ualyxis, Scenario Itio-thaeforwrozommadod that a. minimum of 474 pair iag *paccs Abould be provided to accoMmodMe site -parldngnee& Tice: p 50 perking spa= would adeqmWy meet 0& demand, WOODMATEL 17 ^MAj*IA-ji&V OrmtoMwPlan Op OWS1,01 IL -V 1 'sp:� t glop V7 1