City of Cupertino, CA Vallco related, 21 May 2018

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From YouTube: Vallco Specific Plan Charrette Opening Presentation - May 21, 2018

Description

The May 2018 charrette is the second of two design charrettes for the Vallco project. It is a multi-day opportunity for the Cupertino Community to collaborate with a multi-disciplinary team to craft a vision for the Vallco Special Area. This Opening Presentation to the May charrette was recorded May 21, 2018 at the Cupertino Community Hall. (55 min.)

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Welcome everyone thank you for making it out this evening. It's very good to see.

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People out here that are committed and interested in the process. I have.

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Received some inquiries, as you might imagine, to communicate some preferences.

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To our consultant, that's leading the design portion of our of our efforts.

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Here and I'm very pleased to report actually that it is a good-faith effort.

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That they're having to make sure that there isn't outside influences and.

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Biases reflected in their products, because I can say similarly to how I.

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Said previously in the first iteration that I had heard from the landowner that.

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They were expressing some frustration and not being able to get through fully.

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To the consultant that I actually wasn't able to get the the call returned- and I.

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Say that not in a tongue-in-cheek enough ashen, I say that in a manner that I.

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Think indicates that they're doing a good job in holding true to what they.

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Promised to deliver, which is essentially a neutral, objective kind of evaluation.

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Followed by followed by design, and so presumably been sigmund of eps has done.

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The pro formas and can tell us about what is financially feasible and how.

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That constructs some parameters with regard to our particular area.

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Economically and the the optic o--'s team is here dan pearl pollack is here.

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As well as bill bill leonard's again, I want to thank catarina kid from our city.

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Staff for sticking with this- and it's been a very multi-pronged project and.

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Without further ado, I know there aren't a whole lot of people here tonight, but.

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Of course, this is on video and I'm sure it's going to be scrutinized and so.

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Let's give a big round of applause and welcome to dan pollock of octopus.

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Well, good morning, good morning, good afternoon, good evening, it's great, it is.

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Great to be back, the team has been doing a lot since the second charette and.

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We've we've had the online survey and it's it's just nice to be back in the.

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Studio to do a lot more testing and true thing and sort of studying alternatives.

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For the concepts that we delivered in the first shret process, I do want to.

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Start just because this is a very passionate community with some rules of.

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Engagement, I think they worked pretty well in the first charette process and.

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We just want to stick again just didn't make the best use of everybody's time.

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And be respectful of everybody's opinions is that we want to make sure.

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Everybody that that we all listen actively and respectfully. Second of all,.

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That we balance the speaking times. Thirdly, avoid please avoid dominating.

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The discussion, fourthly, please stick to critiquing ideas and not people right.

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This is we're all doing our best here and we know people have thoughts and.

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Concerns and we're happy to hear them, but let's not start critiquing people.

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And then please stay on topic like we're here to get your input. Let's stay on.

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Topic: let's give it give us your thoughts and, let's, let's uh let us.

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Integrate them into the process to date, so I do. I wanted to start by talking.

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About, first of all, what we hope to accomplish through the course of the.

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Next, several days over this second trip, because I think our messaging and to be.

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Quite honest: our approach has changed a little bit based on sort of stepping.

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Back and assessing the first charette starting to get some information from.

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Our transportation or economists, the great thing about the first charette, is.

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Is you know- and I think this is really important we didn't feel like we came to.

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Any final conclusions, and that wasn't the point of that for first charette.

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Process but it established a really solid foundation for us, as we studied.

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That the two alternatives, or the multiple alternatives, that sort of got.

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Whittled down to two to four alternatives, and I think.

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They were they're a really great foundation for further testing and.

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Investigation ben and his team at eps were able to start sharpening their.

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Pencils with the numbers ulta started sharpening their pencils with the.

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Transportation demand management strategy. We were just sort of stepping.

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Back after an exhausting week and actually looking a little bit more clearly at what we generated at the end of that process to sharpen our own.

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Pencils as well- and I think what's important to mention- is that the primary.

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Focus now is not for us to come up with the one design solution like it's not.

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Our job to design the project, it's our job, to work with you to define a set of.

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Parameters that will go into the specific plan as policy and guidance and.

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Then, ultimately, will be reinforced by the new set of the zoning in the form.

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Based code, that will be the rules by which the new development will get.

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Designed and built by the property owner and their architect, so I think that's.

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Really really important to remember we're not actually designing the project.

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But what's what's important so we're gonna be thinking about, as we think.

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About how we regulate for that predictable implementation, we think.

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About things like what you'll hear this a lot, the street and block network, where.

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Will streets where do where are new streets required and where might they be.

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Optional, just in terms of that connectivity we talked about, you know.

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The overall circulation network, how do bikes get through the site? How do pedestrians get to the site, how two cars get into the site to the site into.

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Parking all those different elements. We will be looking very carefully about.

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Heights, where you know, where did where are there appropriate heights and.

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Different locations, how do we transition into the different neighborhoods.

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Appropriately, I'm thinking about that concept of the town square and you know.

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What's a minimum size, what what different types of shapes and parameters.

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Might that take? How might it be activated and then looking also very.

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Carefully at the street design parameters, because we can't just simply.

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Say we need a street here and assume that it's going to be a well designed.

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Street, that's good for by and pedestrians, so we need to give some parameters around that as well, so we're gonna be looking at all of those.

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Different elements and more over the course of the next several days in this.

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Second charette process, so this is gonna, be really quick because you can amend.

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Most of you have participated in that just a really quick summary of the the.

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Community engagement process to date, it's been actually fairly extensive. We.

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Just continue to come back to this notion of the feedback, loops and sort of.

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Getting feedback from you, the the the team distilling that distilling it.

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Through our economists, through our transportation consultant sort of spitting out a set of alternatives after we got that information for me well and.

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So the this charettes just the next iteration of those feedback loops right.

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There was some initial community engagement that was stakeholder meetings.

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One-On-One meetings, group meetings, we went to the high school, we did the.

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Kickoff workshop and there's a lot of different ways that we engage, the.

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Community got just a ton of really good feedback over the course of those.

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Several months of feedback through those different processes and at the at the.

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First charette, I will be the first to admit. I wish we had had a few hundred.

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More people coming through the shred, but there were several hundred people over.

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The course of the week that came to the brown bag lunches came just wandered.

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Through studio came to the opening and closing workshop, so we felt that we.

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Actually made some really good progress over the course of of that four and a.

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Half days of that that first charette process and right then there's the.

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Online engagement and if you haven't been there already it's at invision bellco.org, we sort of had a series of questions that were asked prior to the.

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First, charette that we had basically almost 4000 unique users to the site.

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Prior to the shret, so we were distilling that information as well and then.

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Currently, sort of post charette, we actually put up the charette information.

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On to civic comment, which is a process by which we gather additional feedback.

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On the ideas that were generated at the charette process and basically to date.

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We've gotten about just a little under three hundred comments from about 40.

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Different people I'll say there are a few of you that are extremely.

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Passionate about sort of giving comments on the website, I think that's really.

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Fantastic and on the on the anybody can view the comments. The the the comments.

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Are available for viewing from everybody our team just closed this civic comment.

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Process on thursday, so we're I'd, say we're still distilling those comments.

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And we will continue to do so over the course of this week, but you can see it.

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Based on this pie, chart just some general primary concerns that came up as.

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The number one was sort of parks and open spaces and civic uses was about a.

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Third of the the folks made that as a really high priority and then the second.

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Was general design? I guess that's quality of this. The streetscape.

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Environment quality of the buildings quality of the connections that we.

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Talked about over the course of that process, so we will continue to digest.

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Those comments over the course of this week and integrate those into the.

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Evolutions and the refinements that we make as we move through the course of.

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This second charette, so, as I mentioned, you know, we really see that for charette.

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As an investigation and exploration, wasn't you know and we learned a lot.

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From that, and so we wanted to come back and sort of give you a sense of what we.

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Feel are the types of concepts that we feel there's primary community support.

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For that we can pull forward fairly comfortably and there there's other.

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Aspects of the plan that we feel still need some back-and-forth with the.

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Community to get a clearer sense of what the direction might be for those.

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Elements of the specific plan- and I think the first of these, which seems.

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Very straightforward, but we like to start with the consensus elements, is.

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That the the community is very committed to wanting this downtown for cupertino.

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And this town square, this vibrant downtown- and this was a policy that was.

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Introduced in the general plan, it's not something that we came up with so this.

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Is simply us sort of grabbing on to that idea and beginning to illustrate the.

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Ways that this vibrant downtown can be implemented on the the veljko site and.

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So once again, I do want to mention that this is not about the one viable trying.

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To pick and design the one solution to get you that it's about us.

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Setting the range of parameters that can ultimately deliver a vibrant, downtown.

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Environment on this site, for you as a community right, if for those of you who.

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Participated in this short, we generated, we focused on two alternatives with a.

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Set of sub alternatives, I'm not going to go into detail on these. You can look at.

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Them online or come to this studio and look at them as well, but we did one.

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Scheme, for example, that had the plaza right along wolf road as an alternative.

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That had a large-scale sort of entertainment pavilion that was the.

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Focus of the civic plaza space and we have a series of drawings to reinforce.

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That we also looked at a scheme that had the the town square internal to the.

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Western side of the site, west of of wolf road- and you know we discussed and.

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Showed some of the merits of that alternative, and so I think part of this.

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Is there are shared elements even between those two alternatives that we.

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Can start to list and understand that how can a developer and their team take.

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A set of policies, a vision and some of the form based code regulations and.

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Create a real, high-quality town center environment using those that direction.

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Another element that we thought there was fairly clear sort of support for was.

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A thoughtful transition to the context, especially as you, the blaney.

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Neighborhood as you move to the west, and so we thought very carefully about that.

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As we drew our design concepts, we illustrated these drawings and showed it.

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In the model as well now we do need to continue to test the viability of sort.

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Of how those buildings scale down and how it impacts the viability of the.

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Larger project, knowing that you may need to shift that development from that edge.

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Sort of further into the project, if, if that's a direction that we want to go.

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With the specific plan and the form based code, the other aspect of that.

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Transition that we felt that we we heard a fairly large support for was thinking.

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About a public space on that western edge as part of that transition and once.

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Again, that would be along the suing. The perimeter continues north into the site and once again we still need to continue to study.

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The viability of that, but we heard the community liked that idea and so we're.

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Gonna sort of continue to flush that out and explore that in different ways that.

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Could be achieved over the course of this week and ultimately, within the.

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Specific plan, this idea of creating sort of- I guess.

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Fixing existing streets and creating new streets that have a pedestrian.

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Orientation is a concept that we felt seems very basic, but it's a really.

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Important one to creating a vibrant, downtown environment that we're continuing to pull through and we'll continue to focus on over the course of.

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This week and generate some more of those details and a few more here.

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Diverse housing choice right, obviously, housing on this site is a really.

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Important part of this conversation, we heard some really creative ideas of.

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Well, could we be look at exploring innovative housing formats like co.

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Housing, it could be senior cohousing, it could be, you know, doesn't need to be age.

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Restricted code housing, obviously the conversation about affordable housing.

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And below market rate units and what percentage is included in the site's.

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Going to be an ongoing conversation in kind of a sort of a one of those.

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Elements of the program that will be there'll be some back-and-forth on in.

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Terms of of costs and sort of viability, and I think ultimately right one of the.

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Other points is a back to that discussion about taller buildings. If so,.

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Where those taller buildings might go, and so you know we're gonna continue.

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That conversation, what's the what's the benefit of getting those taller.

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Buildings, what might you get in exchange for those and then a really great idea.

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That came out of various stakeholder interviews and different folks who were.

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Filtering through the studio, with different backgrounds of this idea of a innovation center or an innovation hub that could take on a lot of different.

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Aspects that could have a school component. You know it could have a wide.

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Variety of the educational institutions involved in that it could, there could be.

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Maker spaces it could be, there could be a housing affiliated that so this is a.

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Program idea that is, is, I would just say, it's a challenging.

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One to figure out how to integrate and how to integrate it in a way that actually is viable for the developer. But we felt that there was. It came from.

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Enough different sources that we felt we wanted to continue to pull this through.

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And study it as this process continues to involve okay, this sort of based on.

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That that survey, we really understand that the amount and the quality of.

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Public spaces is one of the primary interests of this community, and so we.

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Have that on our radar, I would say a couple of things is that the reality is.

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That without a scheme, as with a scheme that does not have the green roof, is.

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You're not going to get 30 acres of public space like it's nearly impossible.

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To accommodate that at ground level, and nor would I necessarily recommend that.

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In an environment where you're trying to create a vibrant downtown, because I.

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Would ask you to list to give me a names of other vibrant downtown's that have.

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Large expansive open spaces and it's just not a common thing, so we're.

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Continuing to think about this and I'll say this- that I liked bill's bill.

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Leonard's analogy of our team being the taxi driver for you all and in the.

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Community in terms of sort of bringing this this specific plan vision forward.

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And I will say that the green roof to us did have a. It has an aspect of an.

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Experiment, it's experimental I'll, say and a lot of these types of experiments.

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That have been built in the recent past, there's just a lot of room for them to.

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Go wrong, I will say so I'll just say that as a team, we felt that we wanted to.

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Steer you toward a more sort of tried and true direction of a downtown urban.

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Environment that is composed of a series of street and blocks that is enables it.

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To evolve over time and that, hopefully, in 150 years 200 years, that framework is.

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Still in and is being reinforced is in adapting and evolving. So that's that's our thoughts on that green roof. Now I'll say.

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I picked this image because I want to say we're not against green roofs and.

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This is an image of a building with a series of terraced green roofs on them.

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There's no reason we can't consider or even encourage green roofs on individual.

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Buildings, so that's just a thought for you to process and to continue to.

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Communicate with us about so since the second shirt or the first rip right.

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We've continued to investigate and explore and think about these ideas that.

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We put forward and I'd say that I would say one of the biggest concerns we heard.

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At the end of the firt, the first charette was related to the program. I'm.

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Not going to go through the exact program we studied for the alternatives.

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But I just want to show this is a summary of the program ranges we studied.

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In the alternatives it was about 411 to 436 thousand square feet of retail, about.

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1.3 to 2 million square feet of office about 2,400 housing units and 45 to 65.

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Thousand square feet of civic use and that those were the parameters and we.

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Heard some real concerns from participants, in particular at the end of.

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That process that the questions were, why didn't we study more retail, pretty good.

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Question and why didn't we study less office space, so we put it on ourselves.

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To say, hey, we feel that we heard this from the community. We needed to go back.

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And sharpen our pencils and do a little bit more study and work with ben and his.

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Team to explore more specifically, some of these broader range of program.

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Alternatives, so we have actually done that so so what you'll hear from ben and.

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I'm going to basically just I'm gonna, let ben spend a little bit of time on.

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This, with with a little bit more of the detail, is what we have looked at since.

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Then is a program range of retail that goes up to the 600,000 square feet and.

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I'm going to say a little bit about that in a second: it's them, if that's the minimum required currently in your general plan, and it it sort of studies.

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Sort of the lower end or or what you been we'll talk, this is what.

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We fill the lower and a viability is in the office program, which is 750,000.

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Square feet and, of course, by thinking about these, are dials. If, when you dial.

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Certain programs down other programs need to grow to make that project viable.

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So with within that, within that scenario, you do need to elevate and raise the.

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Number of residential units to just a little over 3,000 depends gonna talk a.

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Little bit more to make that program based on our initial assessments, to make.

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That program viable. So, where we're working on that, I would say we heard.

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From the community we sort of went back and we started exploring some broader.

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Ranges of those program alternatives. I just wanted to send a couple of messages.

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Because we know this is a real sticking point with, with a lot of community.

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Members is that we feel in our professional experience that you can.

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Absolutely create a vibrant retail and an entertainment environment with 400 to.

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600 thousand square feet of program absolutely can be done. It's it's done in.

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A lot of different places, santana road, just down the street as a.

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Comparison not that we're trying to recreate santana row, its 600,000 square.

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Feet it's pretty big and it probably if they were going to do that today they.

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Would do it differently, so I just want just as a comparison, but we do want to say that we feel we can achieve the community's goals for a vibrant, downtown.

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With that range of square footage, the second point that I want to make is.

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Related to the office- and you know you keep hearing this- the office is the one.

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Component, that has the biggest impact on viability, but we also feel that any.

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Great downtown has a really nice mix of office, housing and retail, because those.

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Office users will come down during the middle of the day and support those.

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Businesses, so it helps make increase the viability of a downtown and so we're.

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Feeling pretty good about the program range that we're studying for the for.

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The offices in wright we could think about. I know a couple people in the.

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Audience here even that participated in short, we're talking about, let's think about some more creative, a range of office users.

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Think about some of your institutional sort of institutions in the community.

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And whether or not they might take some of the some of that office, space could.

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Be medical uses, it could be services like a dentist or an optometrist or.

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Write the services you would expect to have in a downtown environment, not.

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Necessarily in a shopping mall but you're trying to create a downtown here.

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So it's it's we're thinking very carefully about that. This we've had some.

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Great conversations with the school district and the league of women's.

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Voters actually had a great forum last monday on this and and had them as part.

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Of polly as part of beauvais as part of the panel, the the school districts we've.

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Talked to we've talked to all the school districts they're, actually more.

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Concerned about two things or they're less concerned about overcrowding.

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They're more concerned about the dropping numbers of students number one.

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But sorry number two, their number one concern is their inability to retain.

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Teachers, the most talented teachers are leaving because they can't afford to.

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Live in these communities, so those are the real concerns. We're hearing from the.

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School districts, so I just wanted to continue to reports that reinforce that.

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We actually have a brown bag tomorrow that I'm going to talk about in just a.

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Second, where the school district has offered to come tomorrow and give a.

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Presentation and answer questions related to their their their findings.

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And related to demand for the schools, what needs further investigation once.

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Again, this conversation about tall buildings right, not an easy one to have.

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In a lot of places, including here part of this, so this is the view down belko.

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Parkway into the western side, where the the theater currently is, but we just.

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Introduced this idea of you know the taller buildings: how tall? If, if there.

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Should be tall buildings, if so how tall where they should be located and really.

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Probably, most importantly, is: what is the benefit like? What are you getting in.

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Exchange for enabling taller buildings to happen on the site so we're.

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Continuing to give that further thought, as we work our way through the course of.

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This week, we're continuing to think about transportation, demand management.

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And right it sounds like the right it's. This is really really important to the.

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Success of this project and hugh at ulta is they're just beginning to generate.

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Sort of these packages of transportation demand management, alternatives, there's a.

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Ton of work to do still, I will say, and we're going to just continue to sharpen.

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Our pencils as we move forward related to transportation demand management.

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Because we do feel that it's critical to the success of this project and critical.

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To the success of this being built out in a way that feels and functions like a.

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Vibrant downtown, not a bunch of parking and supporting retail office and.

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Residential uses, so I'm actually going to have obviously were there have been.

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Some further refinements related to the economics, I'm gonna have been sigmund.

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Stand up and give his presentation about some of the work that they've been doing.

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To support us in refining these program, alternatives and thinking about the.

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Viability of them, okay! Thank you dan good evening. Everybody. Thank you for.

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Coming out on monday night, so I am the team's number guy, I'm your number guy. So.

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I wanted to start tonight with a number pretty big number: 320 million. Okay. I was.

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Trying to think of ways to contextualize that on my way over, it's basically the.

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Size of the country, every single person, woman, man and child in this country, 325.

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Million of us 320 million dollars the research that I have says, that's what.

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Sandhill partners have paid for veljko, okay, it's a tremendous amount of money.

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And I want to say that, because you can't make a project work, if it's too small.

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The fact that they've spent this much money demands a project of scale, okay,.

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And so I always like to say, land is worth what you can do with it and in.

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This case the we're starting with the land cost, and so we know we have to do.

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Something pretty significant, and so all the programs we've tested are this kind.

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Of scale and we're talking about trade-offs between housing, retail office, civic uses other uses, but we're talking about a five million.

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Square foot project or nearly six million square foot project and that's.

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What the economics demand and that's the that's the honest truth.

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So let me walk you through this we're gonna kind of get into the method here.

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That we're using first off okay, this is a very traditional view of land use.

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Economics, we start with value what the market will support in terms of the sale.

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Value of the project, all the uses in it and we start to subtract off what it.

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Takes to get you there, you have to plan it, you have to do all the architecture.

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And engineering permitting so on and so forth, we call those soft costs. You have.

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To have hard cost too, that's the actual construction cost of the project. All.

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That is in my development costs. We subtract that off and then, if you want.

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Someone to put money at risk to go, spend hundreds of millions of dollars actually.

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You know billions of dollars here to build this kind of project. They need a.

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Return on investment, so we incorporate that too. You have to motivate the money.

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Or nothing's going to happen in this case we know the land cost so that we.

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Subtract that off and if there's anything positive at the bottom, that.

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Project residual there, the project probably can happen. Okay and maybe.

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There's even a little bit of room in there for some more community benefits.

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But that that's our approach here so and very typical in the industry here are.

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The programs we tested, we worked in concert with optic coast, and this is.

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Very similar to what dan just presented, this is a range, and you can see at the.

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Bottom, this five point, four to five point: six million square feet all in the.

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Commercial and the residential, ranging from 3,200 or so to 2,600 or so units.

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And then you can see the office program, the the sort of upper that we're using.

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This 1.5 million and then having it in the other alternative. The range of.

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Retail 400 to 600 and then we've also got a hotel in this program as well.

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Across all of these that we've tested, there are few things we hold constant. We.

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Put in this five acres of park, we've got 65,000 square feet of civic.

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Space, that's essentially a new city hall or equivalent. It would be built in an.

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Office like structure and delivered free of charge, we're not.

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Replying no rent to this whatsoever and it would be delivered essentially.

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Warm shell, you know sort of unfinished for the city to fit out, and then we have.

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Quite a bit of subterranean parking: it's not that 100% subterranean parking! We.

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See in the sp 35 proposal, but a significant amount of subterranean.

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Parking that kind of keeps the cars out of view, and it makes the project work.

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Allows us to fit the the uses on the surface at these sort of lower height.

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Levels: okay, and give you just a sense of what we're coming up with in terms of.

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Values we're looking at rental apartments. We think the market will pay.

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800 or 900 thousand dollars each for those rental apartments. That's that.

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Would be a institutional investor? That's those are. Those are pretty big dollars.

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For that kind of product- and these are relatively big units and in our.

C

Preliminary runs but but this is supportable we think and then you can.

C

See the below market rate units, okay and and so we've got about a half a million.

C

Dollar gap on each of those relative to the the markets, so I'll show you in a.

C

Moment what that means for land value, but suffice it to say when you hit the.

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Ami, the area median income for these low market units, the the ability to pay, is.

C

About 300 to $350,000 and in condos we did sort of hear from the community.

C

Interest in condos- and I I think it's it's a way to generate some more value.

C

We're putting those that just over a million dollars and they cost a bit more.

C

To build which I'll show you in a minute, but we think you can run up the project.

C

Value using some for sale product in there as well office thousand to $1200 per square foot retail anywhere from 400 to 900.

C

Depending on what kind of tenant you might have, these large energy.

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Entertainment, we call them tenants like the skating rink or the bowling alley.

C

Won't be able to pay so much rent other tenants. As we know, tech companies will.

C

Pay a lot of rent, thus the range and then the hotel about 700 or $800, a foot in value for that kind of use.

C

Yes, yes, we'll make these slides available and I'm sorry to just read.

C

Through them, but let me just complete it and I'll be hereafter to talk to you.

C

Guys about these numbers to cost side apartments, 625 725, just to build and.

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That's without any of the site cost so that doesn't include your sewer water.

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Utilities landscaping any of that stuff, that's just to build it. It does include.

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The necessary return on investment condominiums. We think because of the the.

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Insurance liability having a building full of people who need to be happy with.

C

The product, as well as the quality of product the market demands those are more expensive to build almost $100,000 more each, and then you can see the.

C

Commercial costs again this is vertical development, so the the architecture.

C

Planning permits and fees all those soft costs, all the construction and the.

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Developers return to actually go, take the trouble and do it put that money at.

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Risk but none of the none of the horizontal development as we call it so.

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None of this, the site work is done, so this gives us a sense. If I flip to the.

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Next one here of about how much value each of these uses will generate towards.

C

The land on a per square foot basis, and so again you can see the things on the.

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Right all the things we're not counting yet for every market rate unit. We think.

C

You can generate 150 or 200 dollars, a foot towards that land cost below market.

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Rate, it's a negative right, it's it's setting us back and it's it's! What we're.

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Doing to you know, bring keep these teachers and firefighters and everything.

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Else, condominium a little bit more value to the land and then, as you can see,.

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Office, the most valuable- and this is why we keep talking about the importance of.

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Keeping office on this site, not only the points like dan made about create you.

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Know creating daytime users, who are you know, visiting the retail, but also it is.

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A significant driver of land value here going on the civic shows up as just a.

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Negative because that's space, the developer, would give away to the city.

C

And then retail, as you can see, if you're able to successfully tenon it- and I.

C

Think, that's our worry. Our market study, I think, comes out publicly tomorrow and.

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If you came to the brown bag, you know we have deep concerns about filling up a.

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Significant amount of retail space, but if you fill it, we think in some.

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Instances you can drive some value to the land.

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Most of these entertainment uses they're going to be a subsidy, something that the.

C

Other uses in the project cover in the hotel pretty risky, probably a after a.

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Return of on investment not driving a lot of value to the land, so that that's.

C

Kind of the I think in my mind, I call this the trade-off slide. It really helps.

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You think about, if you want to move towards one use and away from another at.

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The margin with these big programs, the kind of trade-offs we're gonna, be making.

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A huge uncertain, but important piece of this is how much it's going to take to.

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Deal with the land demolition, okay, a significant amount of backbone.

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Infrastructure, the sewer water utilities etc, and then you know this project if it.

C

Does go through sequa is going to have tremendous off-site impacts that they have to take care of different types of inter strict intersection improvements.

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So on and so forth we have some engineering estimates for just the.

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Backbone infrastructure. We know that piece to be about fifty million dollars.

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We also know if you change the scheme, that number can move dramatically. Our.

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Engineer advised us that if we move to the fully subterranean parking and the.

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Challenge is associated with civil engineering, can double the cost of that.

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Infrastructure so take it from fifty to a hundred million dollars just to put.

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Your your streets in with sewer water and utilities, so we're talking big.

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Dollars and that's a bit of a question mark for us still, so we're not going to tell you today, you know exactly to the penny. What we think is going on here, but.

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What I can say is both these programs we've studied are in the realm of feasibility. They both can be done. We've traded off a good chunk of office, but we.

C

Brought in a lot of housing to compensate- and we think we've made ourselves whole given what we know today, so I'm gonna pass it on for some talk.

C

About transportation, it's patrick right! Yes, all right! Here! You go! Yes, absolutely.

D

All right well, thank you. My name is patrick sigmund, I'm with sigma &.

D

Associates and I want to walk you through a toolkit of potential traffic.

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Reduction strategies for this site and these these strategies are a beginning.

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Point for further conversation with you tonight and.

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And I've put them together, based on my 25 years of working as a transportation.

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Planner here in the bay area really specifically focused since the beginning.

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Of my career on, how do we make great places that are economically successful.

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And yet reduce traffic, so the beginning of my career was that I was a stanford.

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Student stanford both had a parking shortage and also was under a mandate to.

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Produce all of its new development, some five million square feet of new.

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Development with no additional peak hour trips on the roadways outside of campus.

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So add basically add 20% in size to the campus, with no increase in motor vehicle.

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Traffic now, of course, this site is not stanford university, but I learned a lot.

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Of lessons starting there and continuing and subsequent projects, they fall into.

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Two categories: one is regulating parking at projects like this, and second, is.

D

Improving people's transportation choices and they're both critical and.

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Here's one example of why: a few years ago, we were hired by genentech to help.

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With their master plan, the the campus is in south san francisco east of 101 just.

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Out there in the middle of office parks, they had a 77 percent drive alone rate.

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We put together a plan with them that has over the last well at the time. This.

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Graph was shown, it was six years, but it's continued cents brought them down.

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From 77% driving alone to about 58%, so basically the number of people walking.

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Biking taking transit doubles in that time, and the key to this success was.

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Actually, both parking reform and improving choices on the parking side, we.

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Realized, oh, the city had regulations that made us build far more parking than.

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We needed even if every single employee drove to work alone.

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And then also they had a trip reduction ordinance. That said well, after you build.

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Tens of millions of dollars of expensive new parking structures you need to find.

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Ways to get 40% of the employees to not use them and, as we worked with the staff.

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Everybody said: okay, this makes no sense. We wound up canceling many of those.

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Parking garages and funneling the savings into traffic reduction, which.

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Also meant that employees didn't need to bring so many cars, so regulating parking.

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At developments first thing we need to do is protect all nearby residents from.

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Spillover parking onto their streets, so one approach is to let existing.

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Residents continue to park free on their streets just like they always have it's.

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Really useful, however, to limit the number of permits that you give out to.

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The number of curb spaces that are actually available don't do what boston.

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Did they they? They gave out four thousand permits and beacon hill and.

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Then discovered ten years later, when they counted, they had nine hundred.

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Eighty three curb parking spaces right, so tucson does this and then second, you.

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Can require new development to pay for the cost of establishing and maintaining.

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Those residential parking permit districts because it's really quite a.

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Minor cost compared to the cost of building more parking structures, so.

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Kaiser did this in oakland. They pay for all the surrounding residential parking.

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Permit districts and then you can start asking okay. Now, how do we start saving.

D

Money on parking well, first, you look at what does it cost well, this is what does.

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It cost to add a parking space by building a new above-ground parking.

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Structure so here's a beautiful parking structure, it's about $50,000 per parking.

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Space gained here in the bay area. So what do you need to break even on the.

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Cost of building and operating a $50,000 parking space. Well, you need to generate.

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About three hundred thirty-five dollars a month in revenue, so at 22 work days a.

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Month, well, that's a good deal more than dollars per day per employee to supply.

D

Them with parking, so the corollary is anything that a community can do to.

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Reduce parking demand for less than three hundred and thirty five dollars a.

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Month is a bargain right, because then you save on parking.

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Costs- and you can use it to help employees get to work other ways, and you.

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Can use it on a residential project so, for example, the gaya building in.

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Berkeley they said well, let's separate the cost of parking from the cost of.

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Actually, renting an apartment, you can do this for condominiums too, so the city.

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Requires that- and it's now turned it into a downtown ordinance in the plan we.

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Did for them so at the gaya building it's a hundred and fifty dollars a month.

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To rent each parking space you want, but you don't have to rent any they're. Also.

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Required to provide on-site car sharing cars so now they have ninety-one.

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Apartments, a theater, a cafe and an office space in this building. They only.

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Built 42 parking spaces. Now they wound up with 237 adult.

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Residence with just 20 cars, a mix of students at nearby uc, berkeley, downtown.

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Workers, so you would not get these results here at this site in cupertino.

D

But the principle applies right: the principles the same here in cupertino.

D

You would wind up with higher car ownership rates, but if the principle I.

D

Want to share so the idea is you unbundle the cost of parking from the.

D

Cost of other goods and services rents then have to be lower. When you charge a.

D

Separate parking fee in order to remain competitive in the marketplace, because.

D

Nobody will pay that so the cost is parking is now revealed to the user.

D

Whether it's somebody leasing office space or president, so people now can now.

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Actually save money by using less parking, which means driving less usually.

D

And what you get is less parking demand, less congestion, less pollution. So how do.

D

You unbundle it well, you can do hourly or daily fees and, for example, an office.

D

Situation, you can do monthly fees in residential. You can do parking.

D

Condominiums, actually, where with new condominiums like we require in san.

D

Francisco you buy and sell them separately from the actual condominium.

D

Space, so the when you apply this to offices bellevue washington is a great.

D

Example, they used to be a bedroom suburb outside of seattle, no office to speak of.

D

They said we want to build a big downtown with real serious office.

D

Buildings, unfortunately, they didn't get the greatest architects back in the.

D

Mid-90S when they started, but the principle here is they require building.

D

Owners to include the parking costs as a separate line item in the leases. The.

D

Minimum rate back in 2003 was 144 dollars. A month was the minimum rate.

D

That an building owner could charge a tenant, so now they wound up with the.

D

Drive alone commute rate fell by about thirty percent, so from 81 percent.

D

Driving alone 257, just just through this measure now the the thing is, the the.

D

Building, I'm sorry the tenants, the companies that moved in, but many of them.

D

Did not charge their own employees to park, but what they did instead. Is they.

D

Did parking cash out? The idea is parking. Cash out means that if you don't park at.

D

Work then you get cash; instead, you get the cash value of your parking space.

D

There's a program I helped start it at stanford university. So, for example, at.

D

Genentech in south san francisco, one of the things we did was we instituted a.

D

Parking cash out where you get $4 a day as an employee for every day that you.

D

Don't drive every day that you don't park it at genentech santa monica.

D

Requires this by city ordinance and what you see is: if you do a parking cash out.

D

Of about a hundred and sixty-five dollars a month, you get about a 30%.

D

Reduction in employees driving to work this year, these are studies from.

D

Southern california and then you work on improving transportation choices.

D

So once you've separated the parking cost from the cost of say renting a.

D

Place or an office now car-sharing actually becomes viable. That is, this is.

D

You can have a car in your building the around by the the day, for example, I don't know in a car anymore, but I grabbed one to come.

D

Down here, for these days,.

D

It also supports bike sharing, so bike sharing works really well in those.

D

Places where people can save money by using less parking and, of course now the.

D

Bike sharing places are offering electric bike share, which is really good.

D

On a hot august day in cupertino right, deep discount transit passes so many.

D

Employers here in silicon valley, offered this and have gotten good results. The.

D

Example that I had at hand before after results is in boulder, where every single.

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Employee in downtown boulder gets a free transit pass. They buy these at a deeply.

D

Discounted group purchase rate from the regional transit agency, so they've only.

D

Pay eighty three dollars for each worker to get free transit, but what they god is.

D

In boulder, the drive alone rate from 56 went from 56 percent of employees.

D

Driving to 36 percent now here you probably won't get as strong a result.

D

Especially not at first because of the transit service at.

D

Present, just as not very good right, but the principle applies and you have to.

D

Build on what you have, don't, let those buses run empty and the last thing is we.

D

Need to realize that you know autonomous shuttles are here. You've probably seen.

D

Autonomous vehicles running around the bay area, this happens to be an.

D

Autonomous shuttle that started operating this month at university of.

D

Michigan on public streets, so these shuttles there's no steering wheel. No.

D

Brake pedal and no accelerator just a stop button, so these are now running at.

D

Low speeds up to 25 miles an hour on public streets.

D

Similarly, easy mile is running two back and forth to cowboys games from remote.

D

Lots they just began running on public streets to go to bart from san ramon in.

D

A big office park in scent and and are just up and running now, what does this.

D

Mean well the time being there, they still have an.

D

Operator on board kind of like early elevators, had an operator just to.

D

Reassure of the public, but as these are getting better, the thing is that about.

D

80 percent of the cost of running transit is the driver, so even with some.

D

Expensive equipment to make the self-driving work, what we're seeing is.

D

That a few years from now, we will have a situation where we can run four times as.

D

Much transit service for the same price so instead of a bus that runs every 20.

D

Minutes on a route, you can run a much smaller bus, every five minutes and what.

D

That means is that all the predictions are that the cost of running.

D

Self-Driving, shuttles and taxis is going to plummet and there's nothing in.

D

Comparable insight for parking technology that would drive down costs.

D

So what that means is we're already seeing a steady drop in parking demand.

D

In many places, due to ride-hailing like lyft and uber, it's going down about one.

D

Percent a year in in san francisco. But when you start adding self-driving and.

D

The costs for self-driving vehicles come way down. You get an even greater drop in.

D

In parking and if we put in place the right framework, we can get a big drop in.

D

Drive alone motor vehicle trips, as well as we make transit, much more convenient.

D

So that's the list of strategies I just showed there are more, but in the.

D

Interest of time I want to want to stop there main thing I want to say: is you.

D

Know, traffic congestion is really a choice and not our fate. We actually can.

D

Meaningfully reduce it.

B

Thanks ben thanks, patrick I'm just gonna wrap up here. I just wanted to very.

B

Quickly go through the agenda for this week because it is a little bit.

B

Different than the shred last week, basically I just went to write. We had an.

B

Open house in an opening presentation today, the closing presentation will be.

B

Thursday, from 6 to 7:30 and the community hall here to wrap up this.

B

Event, we hope to see you between now and then poly bovie yeah is actually I.

B

Forgot her statistically gonna come with her tomorrow. I think tom is his name and.

B

She offered very graciously to give a session tomorrow on sort of the school.

B

Districts, assessment on enrollment and and talk about what sort of impact or.

B

Not a project like bellco would have on their future enrollment. So that's at.

B

5:30 to 7:00 o'clock here tomorrow, so I do encourage you to attend if that's of.

B

Interest to you, sorry in its tom williams, he's the chief demographer for.

B

The school district with paulie being here so that they're very gracious to do.

B

That so we hope to see you here tomorrow for that and then we have open houses. We.

B

Did one today we have another one from 4 to 7 p.m. on wednesday and then our.

B

Typical open studio where we actually will open up our studios for you.

B

Starting tomorrow from 4:00 to 7:00 and then on wednesday, from 10:00 to 1:00, so.

B

I do encourage you to drop in. You can look at the model, some of the drawings.

B

That we're generating and the the additional refinements that we're making.

B

As we're all or multi multi disciplinary team are sharpening or pencils to move.

B

This project forward- and so I do want to mention just in terms of some bigger.

B

Picture next steps post second shred is that we actually have a council working.

B

Session on june, 4th- that's coming up here soon, it's just a little over a week.

B

After the end of the charette, we're looking at delivering a.

B

Sorry, there's a admin draft that we're going to create that's an internal draft.

B

In june there'll be another there. Sorry there will be an e ir counsel, working.

B

Session in june as well and then we'll be delivering the first public review.

B

Draft at the end of july sort of beginning of august, so that's coming up.

B

Pretty quickly, but so this is some really important, milestone dates and.

B

Then, according to this schedule, that's been defined to date, actually by october.

B

The final public review draft should be in front of council in october, so wanted.

B

You to be aware of those dates, those important milestones and what we're.

B

Gonna do right now is at the first shirt we actually found it really invaluable.

B

To do these breakouts, so patrick sigmund is going to be over in this corner here.

B

To talk about parking, transportation and tdm, some of the thoughts that he put.

B

Forward ben will be available up here in the front corner and then the optic o.

B

Steam will be available in the back corner to talk about any of the questions. Thoughts concerns you have related to ideas that came out of the.

B

First charette, some of these refined ideas that came out of my presentation.

B

Today, so we will stick around and sort of answer your questions and have a good.

B

Conversation with you, I please do encourage you to not only continue to.

B

Come back but encourage others within the community to come back as well. We we.

B

The more people that come, the more successful this process can be. We are.

B

Jumping into some really refined thoughts related to how to effectively.

B

Integrate some of these ideas into the specific plan and, ultimately, how to.

B

Effectively regulate them in this new code document, so we're going to be doing.

B

That over the course of week, so thank you for coming tonight. We look forward to having a conversation with you and we hope to see you again this week.

B