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CC – Item 4A – Public Hearing to Rescind the City Council’s Approval on ZC 22-02 & SPA 22-01 - 7849-7857 Garvey Ave & 7900-7916 Virgina St as Requested by the Applicant Green Park Property LLC and Determine the Action is Exempt from CEQAROSEMEAD CITY COUNCIL STAFF REPORT TO: THE HONORABLE MAYOR AND CITY COUNCIL FROM: BEN KIM, CITY MANAGER DATE: FEBRUARY 13, 2024 SUBJECT: PUBLIC HEARING TO RESCIND THE CITY COUNCIL'S APPROVAL ON ZONE CHANGE 22-02 AND SPECIFIC PLAN AMENDMENT 22-01 - 7849-7857 GARVEY AVENUE AND 7900-7916 VIRGINIA STREET AS REQUESTED BY THE APPLICANT GREEN PARK PROPERTY LLC AND DETERMINE THE ACTION IS EXEMPT FROM CEQA SUMMARY On July 11, 2023, the City Council adopted Zone Change 22-02 and Specific Plan Amendment 22-01, which changed the zone of the subject properties from Garvey Avenue Specific Plan (GSP) and Garvey Avenue Specific Plan, Residential/Commercial (GSP-R/C) to Garvey Avenue Specific Plan, Incentivized Mixed -Use (GSP-MU) zone, for the development of a new residential/commercial mixed-use development. On January 5, 2024, the applicant, Green Park Property LLC, submitted a letter to the City, requesting that the City Council rescind the approval of Zone Change 22-02 and Specific Plan Amendment 22-01. ENVIRONMENTAL ANALYSIS Pursuant to California Environmental Quality Act ("CEQA") Section 15378 (a) a "project," under CEQA, means "the whole of an action, which has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment." The whole of the action in this case is the adoption of an ordinance rescinding a prior ordinance for a zone change and specific plan amendment. Therefore, this action is not considered a "project' under CEQA and does not require environmental analysis as there is no potential for a direct or reasonably foreseeable indirect physical change on the environment. In addition, the action is exempt under CEQA guidelines 15061 (b)(3) (Common Sense Exemption) and 15061 (b)(4) (Project Rejected or Disapproved). On July 11, 2023, the City Council adopted Ordinance No. 1016 (see Attachment "A") for the Strathmore Garvey Mixed -Use Project which approved the rezoning of the project site from GSP AGENDA ITEM 4.A City Council Meeting February 13, 2024 Page 2 of 3 and GSP-R/C to GSP-MU for the construction of a new mixed-use development. The project consisted of a seven -story, mixed-use development with 35,105 square feet of nonresidential use and 93 residential apartments (including 24 live/work units), 208 parking spaces, new landscaping, and private and common open space. On January 5, 2024, Green Park Property LLC submitted a letter to the City requesting that the City Council rescind the project approvals for the Strathmore Garvey Mixed -Use Project due to economic reasons making the project infeasible. According to their letter, which is attached as Attachment "C", the Federal interest rate hikes in combination with the unstable and unpredictable economic circumstances make the project financially infeasible at this time and have required the applicant to re-evaluate their financial stability in the short- and medium-term. Green Park Property LLC has also agreed to be bound by Condition of Approval 9 even if the Project approvals are rescinded by the Council as well as to indemnify the City for actions related to the rescission. (See Attachment "D") The rescission of the project would revert the zone of the properties from GSP-MU back to its original zone, which are GSP and GSP-R/C. The GSP is a commercial zoning district, which allows a diverse range of retail, service, and office businesses. The GSP-R/C zoning district allows for residential or commercial development. STAFF RECOMMENDATION That the City Council: 1. Conduct a public hearing and receive public testimony; 2. Determine the item is exempt from CEQA as stated in the staff report; and City Council Meeting February 13, 2024 Page 3 of 3 3. Introduce the first reading, by title only, Ordinance No. 1021 (Attachment `B"), approving the rescission of Zone Change 22-02 and Specific Plan Amendment 22-01. FISCAL IMPACT — None STRATEGIC PLAN IMPACT — None PUBLIC NOTICE PROCESS This item has been noticed through the regular agenda notification process, which includes a 300' radius public hearing notice to seventy-six (76) property owners, publication in the newspaper on February 1, 2024, postings of the notice at the six (6) public locations, and on the subject site. Prepared by: Annie Lao Associate Planner Reviewed by: 44-, Lily Vkenzuela Planning and Economic Development Manager Submitted by: I *ac Stan Wong Interim Director of Community Development Attachment A: Ordinance 1016 Attachment B: Ordinance 1021 Attachment C: Green Park Property LLC's Letter of Rescission Request Attachment D: Green Park Property LLC's agreement to be bound by Condition of Approval 9 Attachment A Ordinance No. 1016 ORDINANCE NO. 1016 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, TO APPROVE ZONE CHANGE 22-02 AND SPECIFIC PLAN AMENDMENT 22-01 TO AMEND THE ZONING MAP AND FIGURE 3.1 OF THE GARVEY AVENUE SPECIFIC PLAN BY CHANGING THE ZONE OF THE SUBJECT PROPERTIES FROM GARVEY AVENUE SPECIFIC PLAN (GSP) (APNS: 5287-038-018, -0199 -020 AND -029) AND GARVEY AVENUE SPECIFIC PLAN, RESIDENTIAL/COMMERCIAL (GSP-R/C) (APNS: 5287-038-030 AND -033) TO GARVEY AVENUE SPECIFIC PLAN, INCENTIVIZED MIXED-USE (GSP-MU) ZONE, FOR THE DEVELOPMENT OF A NEW RESIDENTIAL/COMMERCIAL MIXED-USE DEVELOPMENT LOCATED AT 7849-7857 GARVEY AVENUE AND 7900-7916 VIRGINIA STREET WHEREAS, on June 15, 2022, Green Park Property LLC submitted entitlement applications for the construction of a seven -story, mixed-use development with 35,105 square feet of nonresidential (commercial) use and 93 residential apartments, which includes 24 live/work units; and WHEREAS, 7849-7857 Garvey Avenue (APNs: 5287-038-018, -019, -020 and -029) is located in the Garvey Avenue Specific Plan (GSP) zone and 7900-7916 Virginia Street (APNs: 5287-038-030 and -033) is located in the Garvey Avenue Specific Plan, Residential/Commercial (GSP-R/C) zone; and WHEREAS, Section 17.152.060 of the Rosemead Municipal Code provides the purpose and criteria for a Zone Change; and WHEREAS, the Garvey Avenue Specific Plan provides the criteria for specific plan amendments and amendments to the Specific Plan may be requested by the applicant or by the City at any time pursuant to Section 65453(a) of the California Government Code and Rosemead Municipal Code Title 17, Article 5, Chapter 17.150; and WHEREAS, Section 65453(a) of the California Government Code states a specific plan shall be prepared, adopted, and amended in the same manner as a general plan, except that a specific plan may be adopted by resolution or by ordinance and may be amended as often as deemed necessary by the legislative body. Section 17.150.040, adoption of, or amendment to, a specific plan relating to land use may be initiated by the City or by submittal of a Master Plan. When initiated by a master plan, the person shall file a petition with the City and pay a filing fee as required in Chapter 17.120 of [Title 171; and WHEREAS, Sections 65800 8a 65900 of the California Government and Rosemead Municipal Code Sections 17.152.040 authorizes the City Council to approve, approve in modified form, or deny the zone change or specific plan amendment; and WHEREAS, an Initial Study was undertaken for the purpose of deciding whether the project may have a significant effect on the environment. On the basis of the analysis within the Initial Study, the City has concluded that the project will not have a significant effect on the environment with the incorporation of mitigation measures and has therefore prepared an Draft Mitigated Negative Declaration; and WHEREAS, Specific Plan Amendment 22-01 includes amendments to Figure 3.1 Zoning of the Garvey Avenue Specific Plan; and WHEREAS, on May 15, 2022, the Planning Commission held a duly noticed and advertised public hearing to receive oral and written testimony relative to Zone Change 22-02 and Specific Plan Amendment 22-01; and WHEREAS, on June 15, 2023, seventy-five (75) notices were sent to property owners within a 300 -feet radius from the subject property, in addition to notices posted in five (5) public locations, on-site, published in the Rosemead Reader, and filed with the Los Angeles County Clerk, specifying the availability of the application, plus the date, time, and location of the public hearing for Zone Change 22-02 and Specific Plan Amendment 22-01, pursuant to California Government Code Section 65091(a)(3); and WHEREAS, the City Council held a duly noticed public hearing on June 27, 2023, to consider the Zone Change 22-02 and Specific Plan Amendment 22-01; and WHEREAS, the City Council fully studied the proposed zone change and specific plan amendment, and considered all public comments; and WHEREAS, the City Council, having final approval authority over this project, has reviewed and considered all comments received during the public review period prior to the approval of this project. THE CITY COUNCIL OF THE CITY OF ROSEMEAD HEREBY ORDAINS AS FOLLOWS: SECTION 1. The CITY COUNCIL HEREBY FINDS AND DETERMINES that facts do exist to justify approving Zone Change 22-02 in accordance with Rosemead Municipal Code Section 17.152.060(B) as follows: A. The proposed amendment is consistent with the General Plan and any applicable specific plan. FINDING: The Garvey Avenue Specific Plan was adopted in 2018 and its requirements for adoption included updating the General Plan to eliminate inconsistencies between the two planning documents. The Garvey Avenue Specific Plan amended the General Plan designation for approximately 88 parcels to support the development of over 1.18 million square feet of commercial development, 892 dwelling units, and 0.77 acres of open space. These estimates represent a realistic building of the planning area based on an analysis of existing development that will persist through the life of the proposed Specific Plan plus anticipated redevelopment. The proposed site is located within Garvey Avenue Specific Plan General Plan land use designation. The project only proposes to change the zone from Garvey Avenue Specific Plan (GSP) (APNs: 5287-038-018, -019, -020 and -029) and Garvey Avenue Specific Plan, Residential/Commercial (GSP-R/C) (APNs: 5287-038-030 and -033) to Garvey Avenue Specific Plan, Incentivized Mixed - Use (GSP-MU) zone. B. The proposed amendment will not be detrimental to the public interest, health, safety, convenience, or welfare of the City. FINDING: The subject site is located within the Garvey Avenue Specific Plan. The subject site consists of six parcels totaling approximately 1.21 acres. The proposed amendment would change the zoning district within the Garvey Avenue Specific Plan from GSP and GSP-R/C to GSP-MU for the construction of a residential/commercial mixed-use development. The Garvey Avenue Specific Plan was developed to create an attractive and desirable neighborhood "main street" focusing on creating a vibrant corridor with visible pedestrian activity. The City has completed an Initial Study/Draft Mitigated Negative Declaration for the proposed project pursuant to the California Environmental Quality Act (CEQA). The Initial Study was undertaken for the purpose of deciding whether the "project" may have a significant effect on the environment. On the basis of the analysis within the Initial Study, the City has concluded that although the proposed project could have a significant effect on the environment, there will not be a significant effect in this case as mitigation measures have been incorporated. C. The proposed amendment is internally consistent with other applicable provisions of this Zoning Code. FINDING: The proposed zone change will amend the Zoning Map from GSP (APNs: 5287-038-018,-019,-020 and -029) and GSP-R/C (APNs: 5287-038-030 and -033) to GSP-MU. The GSP-MU allows vertical mixed-use, where commercial uses are on the ground floor, with residential uses above. The proposed project meets the GSP-MU development standards and would be in compliance with the applicable development standards of the Zoning Code. D. The affected site is physically suitable in terms of design, location, operating characteristics, shape, size, topography, and the provision of public and emergency vehicle access, and public services and utilities and is served by highways and streets adequate in width and improvement to carry the kind and quantity of traffic the proposed use would likely generate, to ensure that the proposed use(s) and/or development will not endanger, jeopardize, or otherwise constitute a hazard to the property or improvements in the vicinity in which the property is located. FINDING: The subject site is located within the Garvey Avenue Specific Plan. The Garvey Avenue Specific Plan amended the Zoning Map and General Plan land use designations for approximately 88 parcels to support the development of over 1.18 million square feet of commercial development, 892 dwelling units, and 0.77 acres of open space. These estimates represent a realistic building of the planning area based on an analysis of existing development that will persist through the life of the proposed Specific Plan plus anticipated redevelopment. The site would be physically suited for provision of public and emergency vehicle access, and public services and utilities. Based on the Golden State Water Company, South San Gabriel Service Area 2020 Urban Water Management Plan dated July 16, 2021, the Golden State Water Company has an adequate water supply to meet the demand of the project into the future. In addition, the applicant has obtained a will -serve letter from the Los Angeles County Sanitation Districts. A traffic study was also prepared for the project by Ganddini Group, Inc. Based on the traffic study, the proposed project would not result in any new significant traffic impact impacts or mitigation measures compared to the Garvey Avenue Specific Plan TIA/EIR. The project is located in a low-VMT generating area. Therefore, the project satisfies the screening criteria for low-VMT generating area and may be presumed to result in a less than significant VMT impact in accordance with City of Rosemead VMT guidelines. The City of Rosemead's Contract Traffic Engineer has reviewed the traffic study and Initial Study/Draft Mitigated Negative Declaration and has deemed it acceptable. Furthermore, it was determined that the project would not have any significant operational traffic impacts. SECTION 2. The CITY COUNCIL HEREBY FINDS AND DETERMINES that facts do exist to justify approving Specific Plan Amendment 22-01 in accordance with Section 65453(a) of the California Government Code and Rosemead Municipal Code Section 17.152.060(A) as follows: A. The proposed amendment is internally consistent with all other provisions of the General Plan. FINDING: The Garvey Avenue Specific Plan was adopted in 2018 and its requirements for adoption included updating the General Plan to eliminate inconsistencies between the two planning documents. The proposed project continues to be internally consistent with all other provisions of the General Plan. The project proposes to change the zone from Garvey Avenue Specific Plan (GSP) (APNs: 5287-038-018, -019, -020 and -029) and Garvey Avenue Specific Plan, Residential/Commercial (GSP-R/C) (APNs: 5287-038-030 and -033) to Garvey Avenue Specific Plan, Incentivized Mixed -Use (GSP-MU) zone and to remain within the buildout development capacity of 1.18 million square feet of commercial development and 892 dwelling units. B. The proposed amendment will not be detrimental to the public interest, health, safety, convenience, or welfare of the City. FINDING: The subject site is located within the Garvey Avenue Specific Plan. The subject site consists of six parcels totaling approximately 1.21 acres. The proposed amendment would change the zoning district within the Garvey Avenue Specific Plan from GSP and GSP-R/C to GSP-MU for the construction of a residential/commercial mixed-use development. The Garvey Avenue Specific Plan was developed to create an attractive and desirable neighborhood "main street" focusing on creating a vibrant corridor with visible pedestrian activity. The City has completed an Initial Study/Draft Mitigated Negative Declaration for the proposed project pursuant to the California Environmental Quality Act (CEQA). The Initial Study was undertaken for the purpose of deciding whether the "project" may have a significant effect on the environment. On the basis of the analysis within the Initial Study, the City has concluded that although the proposed project could have a significant effect on the environment, there will not be a significant effect in this case as mitigation measures have been incorporated. C. The affected site is physically suitable in terms of design, location, operating characteristics, shape, size, topography, and the provision of public and emergency vehicle access, and public services and utilities and is served by highways and streets adequate in width and improvement to carry the kind and quantity of traffic the proposed use would likely generate, to ensure that the proposed use(s) and/or development will not endanger, jeopardize, or otherwise constitute a hazard to the property or improvements in the vicinity in which the property is located. FINDING: The subject site is located within the Garvey Avenue Specific Plan. The Garvey Avenue Specific Plan amended the Zoning Map and General Plan land use designations for approximately 88 parcels to support the development of over 1.18 million square feet of commercial development, 892 dwelling units, and 0.77 acres of open space. These estimates represent a realistic building of the planning area based on an analysis of existing development that will persist through the life of the proposed Specific Plan plus anticipated redevelopment. The site would be physically suited for provision of public and emergency vehicle access, and public services and utilities. Based on the Golden State Water Company, South San Gabriel Service Area 2020 Urban Water Management Plan dated July 16, 2021, the Golden State Water Company has an adequate water supply to meet the demand of the project into the future. In addition, the applicant has obtained a will -serve letter from the Los Angeles County Sanitation Districts. A traffic study was also prepared for the project by Ganddini Group, Inc. Based on the traffic study, the proposed project would not result in any new significant traffic impact impacts or mitigation measures compared to the Garvey Avenue Specific Plan TIA/EIR. The project is located in a low-VMT generating area Therefore, the project satisfies the screening criteria for low-VMT generating area and may be presumed to result in a less than significant VMT impact in accordance with City of Rosemead VMT guidelines. The City of Rosemead's Contract Traffic Engineer has reviewed the traffic study and Initial Study/Draft Mitigated Negative Declaration and has deemed it acceptable. Furthermore, it was determined that the project would not have any significant operational traffic impacts. SECTION 3. The City Council HEREBY AMENDS the City's Zoning Map to change the zone of 7849-7857 Garvey Avenue (APNs: 5287-038-018, -019, -020 and -029) from Garvey Avenue Specific Plan (GSP) and 7900-7916 Virginia Street (APNs: 5287-038-030 and -033) from Garvey Avenue Specific Plan, Residential/Commercial (GSP-R/C) zone to Garvey Avenue Specific Plan, Incentivized Mixed -Use (GSP-MU) zone. SECTION 4. The City Council HEREBY AMENDS Figure 3.1 of The Garvey Avenue Specific Plan by changing the zone of 7849-7857 Garvey Avenue (APNs: 5287-038-018, -019, - 020 and -029) from Garvey Avenue Specific Plan (GSP) and 7900-7916 Virginia Street (APNs: 5287-038-030 and -033) from Garvey Avenue Specific Plan, Residential/Commercial (GSP-R/C) zone to Garvey Avenue Specific Plan, Incentivized Mixed -Use (GSP-MU) zone. SECTION 5. Severability. The City Council hereby declares that, should any provision, section, subsection, paragraph, sentence, clause, phrase, or word of this Ordinance or any part thereof, be rendered or declared invalid or unconstitutional by any final court action in a court of competent jurisdiction or by reason of any preemptive legislation, such decision or action shall not affect the validity of the remaining section or portions of the Ordinance or part thereof. The City Council hereby declares that it would have independently adopted the remaining provisions, sections, subsections, paragraphs, sentences, clauses, phrases, or words of this Ordinance irrespective of the fact that any one or more provisions, sections, subsections, paragraphs, sentences, clauses, phrases, or words may be declared invalid or unconstitutional. SECTION 6. Publication. The City Clerk shall certify to the adoption of this Ordinance and shall publish a summary of this Ordinance and post a certified copy of the full Ordinance in the office of the City Clerk at least five days prior to the adoption and within 15 days after adoption of the Ordinance, the City Clerk shall publish a summary of the Ordinance with the names of the Council Members voting for and against the Ordinance. This Ordinance shall take effect thirty (30) days after the date of its adoption. SECTION 7. Effective Date. This Ordinance shall take effect thirty (30) days after its adoption. PASSED, APPROVED, AND ADOPTED this I I' day of July, 2023. Steven `E , Mayor APPROVED AS TO FORM: ATTEST: :rir1�� Rachel Richman, City Attorney Ericka Hernandez, City Clerk Exhibits: A. Amendments to the City's Zoning Map B. Amendments to Figure 3.1 Zoning of the Garvey Avenue Specific Plan STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss CITY OF ROSEMEAD } I, Ericka Hernandez, City Clerk of the City of Rosemead, County of Los Angeles, State of California, hereby attest to the above signature and certify that Ordinance No. 1016 was first introduced at the regular meeting of June 27`s, 2023 by first reading. Said Ordinance was approved and adopted by the City Council of the City of Rosemead at a regular meeting held on the 111 day of July 2023, by the following vote: AYES: DANG, LOW, LY NOES: ARMENTA, CLARK ABSENT: NONE ABSTAIN: NONE Ericka Hernandez, City Clerk CRYOF SAN GABRIEL S �O F CRY OF MONTEREY PARK Exhibit "All CITY OF TEMPLE CRY i 8 i i i .K,•• 1 fit; CITY OF ! 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Attachment B Ordinance No. 1021 ORDINANCE NO. 1021 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, RESCINDING THE APPROVAL OF ZONE CHANGE 22-02 AND SPECIFIC PLAN AMENDMENT 22-01 BY REVERTING THE ZONING MAP AND FIGURE 3.1 OF THE GARVEY AVENUE SPECIFIC PLAN OF THE SUBJECT PROPERTIES FROM GARVEY AVENUE SPECIFIC PLAN, INCENTIVIZED MIXED-USE (GSP-MU) BACK TO ITS ORIGINAL ZONE, WHICH IS GARVEY AVENUE SPECIFIC PLAN (GSP) AND GARVEY AVENUE SPECIFIC PLAN, RESIDENTIAL/COMMERCIAL (GSP-R/C), LOCATED AT 7849-7857 GARVEY AVENUE AND 7900-7916 VIRGINIA STREET AND DETERMINE THE ACTION IS EXEMPT FROM CEQA WHEREAS, on July 11, 2023, the City Council adopted Ordinance No. 1016, approving Zone Change 22-02 and Specific Plan Amendment 22-01 to amend the Zoning Map and Figure 3.1 of the Garvey Avenue Specific Plan by changing the zone of the subject properties from Garvey Avenue Specific Plan (GSP) and Garvey Avenue Specific Plan, Residential/Commercial (GSP-R/C)to Garvey Avenue Specific Plan, Incentivized Mixed -Use (GSP-MU) zone, for the development of a seven -story, mixed-use development with 35,105 square feet of nonresidential (commercial) use and 93 residential apartments, which includes 24 live/work units. WHEREAS, on January 5, 2024, the project applicant Green Park Property LLC ("Green Park") submitted a letter to the City, requesting that the City Council rescind the project approvals for the Strathmore Garvey Mixed -Use Project due to economic reasons making the project infeasible. According to their letter, which is included as Attachment "C" to the Ordinance, the federal interest rate hikes in combination with the unstable and unpredictable economic circumstances make the project financially infeasible at this time and have required the applicant to re-evaluate their financial stability in the short- and medium-term. WHEREAS, on February 1, 2024, seventy-six (76) notices were sent to property owners within a 300 -feet radius from the subject property, in addition to notices posted in six (6) public locations, on-site, published in the Rosemead Reader, and filed with the Los Angeles County Clerk, specifying the availability of the application, plus the date, time, and location of the public hearing for the rescission of Zone Change 22-02 and Specific Plan Amendment 22-01, pursuant to California Government Code Section 65091(a)(3); and WHEREAS, as a follow up to its request to rescind the project approvals Green Park has agreed to continue to be bound by the Project's original Condition of Approval 9 and to defend, indemnify and hold harmless the City from any claim to challenge the City's decision made in response to Green Park's request to rescind the project approvals as stated in Attachment D to the Ordinance; and WHEREAS, the City Council held a duly noticed public hearing on February 13, 2024, to consider the rescission request for Zone Change 22-02 and Specific Plan Amendment 22-01; and WHEREAS, the City Council fully studied the rescission request for Zone Change 22-02 and Specific Plan Amendment 22-01, and considered all public comments; and WHEREAS, the City Council, having final approval authority over this request, has reviewed and considered all comments received. THE CITY COUNCIL OF THE CITY OF ROSEMEAD HEREBY ORDAINS AS FOLLOWS: SECTION 1. The Council finds that the above recitals are true and are specifically incorporated herein by this reference. SECTION 2. The City Council HEREBY DETERMINES that the rescission of Zone Change 22-02 and Specific Plan Amendment 22-01 is exempt from the California Environmental Quality Act (CEQA). Pursuant CEQA Section 15378 (a) a "project," under CEQA, means "the whole of an action, which has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment." The whole of the action in this case is the adoption of an ordinance rescinding a prior ordinance for a zone change and specific plan amendment. Therefore, this action is not considered a "project' under CEQA and does not require environmental analysis as there is no potential for a direct or reasonably foreseeable indirect physical change on the environment. In addition, the action is exempt under CEQA guidelines 15061 (b)(3) (Common Sense Exemption) and 15061 (b)(4) (Project Rejected or Disapproved). SECTION 3. The City Council HEREBY RESCINDS Zone Change 22-02 and AMENDS the Zoning Map to revert the zone of 7849-7857 Garvey Avenue (APNs: 5287-038- 018,-019,-020 287-038- 018,-019,-020 and -029) from Garvey Avenue Specific Plan, Incentivized Mixed -Use (GSP-MU) zone to Garvey Avenue Specific Plan (GSP) and 7900-7916 Virginia Street (APNs: 5287-038-030 and -033) from Garvey Avenue Specific Plan, Residential/Commercial (GSP-R/C) zone and as shown in Attachment A to the Ordinance. SECTION 4. The City Council HEREBY RESCINDS Specific Plan Amendment 22-01 and AMENDS Figure 3.1 of The Garvey Avenue Specific Plan to revert the zone of 7849-7857 Garvey Avenue (APNs: 5287-038-018, -019, -020 and -029) from Garvey Avenue Specific Plan, Incentivized Mixed -Use (GSP-MU) zone to Garvey Avenue Specific Plan (GSP) and 7900-7916 Virginia Street (APNs: 5287-038-030 and -033) from Garvey Avenue Specific Plan, Residential/Commercial (GSP-R/C) zone and as shown in Attachment B to the Ordinance. SECTION 5. Severability. The City Council hereby declares that, should any provision, section, subsection, paragraph, sentence, clause, phrase, or word of this Ordinance or any part thereof, be rendered or declared invalid or unconstitutional by any final court action in a court of competent jurisdiction or by reason of any preemptive legislation, such decision or action shall not affect the validity of the remaining section or portions of the Ordinance or part thereof. The City Council hereby declares that it would have independently adopted the remaining provisions, 2 sections, subsections, paragraphs, sentences, clauses, phrases, or words of this Ordinance irrespective of the fact that any one or more provisions, sections, subsections, paragraphs, sentences, clauses, phrases, or words may be declared invalid or unconstitutional. SECTION 6. Publication. The City Clerk shall certify to the adoption of this Ordinance and shall publish a summary of this Ordinance and post a certified copy of the full Ordinance in the office of the City Clerk at least five days prior to the adoption and within 15 days after adoption of the Ordinance, the City Clerk shall publish a summary of the Ordinance with the names of the Council Members voting for and against the Ordinance. This Ordinance shall take effect thirty (30) days after the date of its adoption. SECTION 7. Effective Date. This Ordinance shall take effect thirty (30) days after its adoption. PASSED, APPROVED, AND ADOPTED this to day of , 2024. ATTEST: Steven Ly, Mayor APPROVED AS TO FORM: Ericka Hernandez, City Clerk Rachel H. Richman, City Attorney Attachments to Ordinance: A. Amendments to the City's Zoning Map B. Amendments to Figure 3.1 Zoning of the Garvey Avenue Specific Plan C. Request for rescission from Green Park Property LLC D. Green Park Property, LLC Agreement to be bound by the terms in Condition of Approval 9 and indemnify City from any claim challenging rescission, dated February 1, 2024 STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss CITY OF ROSEMEAD ) I, Ericka Hernandez, City Clerk of the City of Rosemead, County of Los Angeles, State of California, hereby attest to the above signature and certify that Ordinance No. 1021 was first introduced at the regular meeting of February 13, 2024 by first reading. Said Ordinance was approved and adopted by the City Council of the City of Rosemead at a regular meeting held on the _th day of , 2024, by the following vote: AYES: NOES: ABSENT: _1► 0 Ericka Hernandez, City Clerk Attachment C Green Park Property LLC's Letter of Rescission Request Green Park Property LLC 120 E. Valley Blvd, San Gabriel, Ca 91776 Tel: 626-307-0062 January 3, 2024 Mr. Stan Wong Interim Director of Community Development City of Rosemead 8838 East Valley Boulevard Rosemead, CA 91770 Re: Request for Recission of Green Park, LLC's Project Approvals for the Strathmore Garvey Mixed Use Project (7849-7857 Garvey Avenue & 7900- 7916 Virginia Street) Dear Mr. Wong: On June 27, 2023, the City Council of the City of Rosemead ("City Council") approved Green Park Property, LLC's ("Green Park") proposed Strathmore Garvey Mixed Use Project ("Project"). Specifically, the City Council approved a Zone Change and Specific Plan Amendment for the project. Unfortunately, due to a changing economic landscape making construction and operation of the project financially infeasible, Green Park has recently determined that it cannot move forward with the Project. As such, Green Park respectfully requests that the Rosemead City Council rescind its approval of the Project and related entitlements, so that Green Park may allocate its resources elsewhere and potentially find an alternative use for the parcel that would be more economically -viable. The Federal Reserve's recent string of federal interest rate hikes, combined with the United States' (and, in particular, California's) persistently unstable and unpredictable economic circumstances have required that Green Park undertake a reevaluation of its asset risk profile, in order to assure the company's financial stability in the short- and medium-term. These regional, national, and international economic conditions have made Green Park's financial landscape increasingly challenging. In addition, other ongoing projects have tightened Green Park's cash flow, and have required Green Park to reconsider its resource allocation.By reevaluating Green Park's priorities and redirecting resources to more viable ventures, Green Park aims to navigate these economic uncertainties and position itself for future success. 402646529.3 As such, we are formally requesting that the Community Development Department place rescission of the Project'scurrent approvals on the next available City Council agenda. This decision is a proactive response to the current complex economic environment, and seeks to safeguard Green Park's financial stability and ensure the responsible allocation of our resources. Green Park sincerely appreciates the City of Rosemead and all of its officers and employees for their assistance during our approval process. We look forward to future opportunities to invest in this community, when conditions allow us to do so. Please let us know if you have any questions or concerns that we may help address. Thank you for your consideration of this matter. Sincerely, G rard Ngo Managing Me ber Green Park Property LLC. 402646529.3 Attachment D Green Park Property LLC's agreement to be bound by Condition of Approval 9 Green Park Property LLC 120 E. Valley Blvd, San Gabriel, Ca 91776 Tel: 626-307-0062 February 1, 2024 Mr. Stan Wong Interim Director of Community Development City of Rosemead 8838 East Valley Boulevard Rosemead, CA 91770 Re: Indemnification Agreement re Strathmore Garvey Mixed Use Project Dear Mr. Wong: Pursuant to the City's request, this letter memorializes that Green Park Property LLC agrees to continue to be bound by the Indemnification Condition associated with the approval of the Strathmore Garvey Mixed Use Project ("Project") regardless of the recission of the associated approvals. Green Park Property LLC also agrees to indemnify the City in any claims related to the recission of the approvals, on the same terms as were established by the Indemnification Condition of the original approvals. Sincerely, Gerard Ngo Managing Green Park Property LLC 402646529.3