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Ordinance 2022-4511 R-PSI and R-PS2 Apartment-Hotel Conversion Incentives-LDR ORDINANCE NO. 2022-4511 AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING THE CODE OF THE CITY OF MIAMI BEACH, SUBPART B, ENTITLED "LAND DEVELOPMENT REGULATIONS," BY AMENDING CHAPTER 142 OF THE CITY CODE, ENTITLED "ZONING DISTRICTS AND REGULATIONS," ARTICLE II, ENTITLED "DISTRICT REGULATIONS," DIVISION 18, ENTITLED "PS PERFORMANCE STANDARD DISTRICT," BY AMENDING SECTION 142-694, ENTITLED "NONCONFORMING USES AND STRUCTURES," TO ESTABLISH FAR AND BUILDING HEIGHT INCENTIVES FOR THE CONVERSION OF EXISTING APARTMENT HOTEL USES TO RESIDENTIAL APARTMENT USE; AND PROVIDING FOR CODIFICATION, REPEALER, SEVERABILITY, AND AN EFFECTIVE DATE. WHEREAS, the City of Miami Beach has the authority to enact laws which promote the public health, safety and general welfare of its citizens; and WHEREAS, the current R-PSI and R-PS2 regulations prohibit apartment hotel uses; and WHEREAS, the City seeks to encourage and incentivize existing apartment hotel uses in the R-PSI and R-PS2 districts to convert to conforming residential apartment use; and WHEREAS, Section 1.03(c) of the City Charter provides as follows: The floor area ratio of any property or street end within the City of Miami Beach shall not be increased by zoning,transfer,or any other means from its current zoned floor area ratio as it exists on the date of adoption of this Charter Amendment [November 7, 2001] . . . , unless any such increase in zoned floor area ratio for any such property shall first be approved by a vote of the electors of the City of Miami Beach; and WHEREAS, this Ordinance, in pertinent part, creates FAR incentives for the conversion of apartment hotels; and WHEREAS, accordingly, and pursuant to Section 1.03(c)of the City Charter,the adoption of this Ordinance requires the prior approval of the voters in a Citywide referendum; and WHEREAS,the amendments set forth below are necessary to accomplish all of the above objectives. NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA: SECTION 1. Chapter 142, "Zoning Districts and Regulations," at Article II, entitled "District Regulations," at Division 18, entitled "PS Performance Standard District," of the Land Development Regulations of the Code of the City of Miami Beach, Florida is hereby amended as follows: Sec. 142-694.—Nonconforming uses, lots and structures. Lal Nonconforming uses, lots and structures shall be subject to the regulations contained in chapter 118, article IX. The following regulations shall apply to the conversion of a legally established, non- conforming apartment hotel use located in the R-PS1 or R-PS2 district, to a conforming residential apartment use, notwithstanding the underlying district regulations in Sec. 142- 696: fl For those properties located in the R-PS1 district, the maximum floor area ratio (FAR) shall not exceed 1.50 and the maximum building height shall be 55 feet, except for lots that are 50 feet wide or less, in which case the maximum building height shall be 50 feet. al For those properties located in the R-PS2 district, the maximum floor area ratio (FAR) shall not exceed 1.75 and the maximum building height shall be 65 feet, except for lots 50 feet wide or less, in which case the maximum building height shall be 60 feet. DI The above noted FAR and building height limits shall only apply (i) to those properties that, as of the date of this Ordinance, have a legally established apartment hotel as the main permitted use, and (ii) if the entire property is converted to a conforming residential use. al A property may only be eligible for the FAR and building height incentives set forth herein if the property owner elects, at the owner's sole discretion, to voluntarily execute a restrictive covenant running with the land, in a form approved by the City Attorney, affirming that, for a term of 30 years, none of the residential units on the property shall be leased or rented for a period of less than six months and one day. 0_1 The above noted FAR and building height limits shall not apply to transient uses of any kind including, but not limited to, hotel, suite hotel, apartment-hotel or the short term rental of apartment units. The above noted provisions pertaining to FAR and building height shall only apply to proiects that have obtained a full building permit or certificate of use for the conversion to a conforming residential use by December 31, 2025. El There shall be no variances from any of the above noted provisions. SECTION 2. REPEALER. All ordinances or parts of ordinances in conflict herewith be and the same are hereby repealed. 2 SECTION 3. SEVERABILITY. If any section, subsection, clause or provision of this Ordinance is held invalid,the remainder shall not be affected by such invalidity. SECTION 4. CODIFICATION. It is the intention of the Mayor and City Commission of the City of Miami Beach, and it is hereby ordained that the provisions of this ordinance shall become and be made part of the Miami Beach City Code. The sections of this ordinance may be renumbered or relettered to accomplish such intention, and the word "ordinance" may be changed to "section," "article," or other appropriate word. SECTION 6. EFFECTIVE DATE. This Ordinance shall take effect on the a Y day of 981'1"be' 2022. PASSED and ADOPTED this /y day of Q4i416er,, 2022. 12-2 •11-----__ _ I Dan Gelber Mayor ATTEST: .........„.4, SEP 2 1 2022 Rafae . Granado City Clerk APPROVED AS TO FORM AND LANGUAGE & FOR EXECUTION City Attorney a..._ Date First Reading: May 4, 2022 Second Reading: Septe er 4, 202 _ t.s It> y Verified By: s IIflCORPORATED' Thomas R. Mooney, AICP %, '•• Planning Director ,,,,o;�,..,:;f . T:\Agenda\2022\8_September 20221PIanning\9-22 Ordinances final vesion - Word document\RPS Apartment Hotel Conversion Incentives-Second Reading ORD ADOPTED FINAL.docx 3 RPS1 and RPS2-DENSITY AND INTENSITY IMPACT ANALYSIS The proposed Comprehensive Plan and LDR amendments would affect the following parcels that have legally non-conforming apartment-hotels in the R-PS1 and R-PS2 zoning districts: Affected Parcels # Addresses wing Lot Sae Lot Size (SF) (AC) 1 226 Jefferson Avenue R-PS1 7,000 0.16 2 333&343 Jefferson Avenue R-PS2 14,000 0.32 3 310 Meridian Avenue R-PS2 7,000 0.16 4 727&735 2nd Street R-PS2 1,827 0.04 5 350 Euclid Avenue R-PS2 7,000 0.16 6 334,338,&344 Euclid Avenue R-PS2 14,000 0.32 7 350 Washington Avenue R-PS2 4,725 0.11 Total 55,552 1.28 - Under existing FAR and density limits, the affected parcels have the following impacts if the legally non- conforming apartment-hotels are maintained: Current Limits Trip Current Max Current Max Current Max Generation Current Existing Density Units Peak Hour Potential d Addresses FAR Floor Area (Dwelling (Dweling Rate(AN Peak Hour (SFl Units/AC) Units) Suites Trips Hotel) 1 226 Jefferson Avenue 1.25 8,750 57 9 0.55 5 2 333&343 Jefferson Avenue 1.50 21,000 70 22 0.55 12 3 310 Meridian Avenue 1.50 10,500 70 11 0.55 6 4 727&735 2nd Street 1.50 2,741 70 3 0.55 2 5 350 Euclid Avenue 1.50 10,500 70 11 0.55 6 6 334,338,&344 Euclid Avenue 1.50 21,000 70 22 0.55 12 7 350 Washington Avenue 1.50 7,088 70 8 0.55 4 Total 81,578 87 48 If all legally non-conforming apartment-hotel uses are converted to residential uses with increased FAR and density as proposed, the following impacts could be expected: Proposed Limits Proposed Proposed Trip Proposed Proposed a'epoeed Generation Ilex Density Mu Units Parental Addresses FAR Ala oOr ( ,- �Mnv ..a'arslt Noun Peet How "mm (� : UnalilAC) .�) ..mars ` 'nips: . • (Aar 1 226 Jefferson Avenue 1.50 10,500 80 13 0.62 8 2 333&343 Jefferson Avenue 1.75 24,500 95 31 0.62 19 3 310 Meridian Avenue 1.75 12,250 95 15 0.62 9 4 727&735 2nd Street 1.75 3,197 95 4 0.62 2 5 350 Euclid Avenue 1.75 12,250 95 15 0.62 9 6 334,338,&344 Euclid Avenue 1.75 24,500 95 31 0.62 19 7 350 Washington Avenue 1.75 8,269 95 10 0.62 6 Total 95,466 119 74 The following is a summary of the collective impact that the proposed amendments could have within the R-PS1 and R-PS2 districts: Potential Impacts Potential Floor Area Increase(SF) 13,888 Potential Units Increase(Units) 32 Potential Peak Hour Traffic Increase (Trips) 26 Page 729 of 1700 Uses in the i. ji T, R-PS1 & R-PS2 Districts ~r Apartment Hotel-Operating >� —``' - t 1...74fA Apartment Hotel-Under Construction ev y S r ' :,•a ` , 04 I, I I Hotel a 1 i .. - .'- ,.r :4.41. _ Religious Institution "tea#' � yy�� `. • hey M. Residential �: .,'a p rig".r•..f‘i A • Vacanti 5 [ems'.' "' ... : :.:i ',1 4R' "— fi--2 r' �f�JG "�' 0' 1 1— 1.' ' I 1A•- f V ..; ' - It- L i.-: ;,. 8..re • . . �._ , •� ��. , . , . ' ."4*- -4THST . . rt;s . . r. . %'! .... g r 4 Al t An 'a' ' s,N 1.st.n, c +• v . _ tom ,50_Euclid A ` ../y . —,c'N.'17--- 71 •c, „ ...' StiZ, •c," ' — ItIF, Wlz$:,„Z 2:_.:,:tTL.: .5._ • .3.:, •,, L i, ,'T. 1.-= '.—— > t ''F'sft Z n g Q' ? :� Si i Cam. .tWi '_'4 rtMeiid•�ra;v'�4 o f� J 1 .3 ei, 3RD ST ,2 art-• • tlia Ne. ,I i t1 Z�Y) '7 • ". i • `- L^ r t efferi a .v t ""t:• 4 it !ti • �.'t' :+s f C..- r, VW" . , -0^ a , u k +, — __" 72+7&735 : J *. Vol. }'- u e � 2nci St a.,,,_,..,... SC-?Y.rt. _ .- 2N�C(�N.t&x,A--p i`...., -.• .. . .'• • IQ`+f yJt 71 — L. s - L:: `'fit -• ',,i r :a: it . w r t A ..i„ ma I 51 Ed - • -I '-• • Lr , ! _? ,, ' '. V :).% '.0.4. :-2.' • ' ' . .- 1 .- ' L."-;;-' -,k .:C 4 pi 1 •�.s.j�t -�. `Vt-',.. 310 N . ‘, V _.:41 mur---- 1 1 , . 0 ", 0 125 250 500 Feet =�`" .-. our ; R ��`�,. W -'f�- E t I I I I I I I 2 "�?'6'`quuv.Tr, c 14. S Page 730 of 1700 R-PS1 and R-PS2 Districts within Ocean Beach Historic District Boundaries s I - .. ---arc j A �r s "."r r�` • a %rI . � .� r • , W�'I UM. iv , l � . , lf� Li 'T+ ,rf ���f -- 'o ism << L. r venue�Wistonc * 4.' •' :z , • ' 9 1. l c istnc ?"I. Zro ni. cw., ,pi, K Q --ar ems- . lir T r r: y jG'� tizlil�:C,. b__ ';1,-.N ' T.1 y . .t,. . . •'1 s• • f ..�•� p .I 7;^ . ,... , aur 1...;..1.6- '4:4 .0 '-* .1 all: 1701 scu t_,,.• -" 041 ,,,, IT' 4,4..,,,ct' . a:546111i. 1 31' , •I �_ EMI ;M � jar ., ., 3 :1 .1", ..- I""irt.;„.•,...ii,,, -,,if ithc - . , 112641ker _ , It.,- %.: "ii rm., irtm, 1:1•Nt IF:„ji 1" i A. .'...-11 ...p :..a tr r,ca f -Nr ,i il N �` , -4 - E L. ice 11/� 7. ,i ',I'�r c5 , k 0 250 500 1,000 Feet �`�° , = ;_ -� E Its N� Page 731 of 1700 Ordinances -R5 F MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Alina T. Hudak, City Manager DATE: September 14, 2022 10:45 a.m. Second Reading Public Hearing SUBJECT: R-PS1 AND R-PS2 APARTMENT-HOTEL CONVERSION INCENTIVES - LDR AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING THE CODE OF THE CITY OF MIAMI BEACH, SUBPART B, ENTITLED "LAND DEVELOPMENT REGULATIONS," BY AMENDING CHAPTER 142 OF THE CITY CODE, ENTITLED "ZONING DISTRICTS AND REGULATIONS," ARTICLE II, ENTITLED "DISTRICT REGULATIONS," DIVISION 18, ENTITLED "PS PERFORMANCE STANDARD DISTRICT," BY AMENDING SECTION 142- 694, ENTITLED "NONCONFORMING USES AND STRUCTURES," TO ESTABLISH FAR AND BUILDING HEIGHT INCENTIVES FOR THE CONVERSION OF EXISTING APARTMENT HOTEL USES TO RESIDENTIAL APARTMENT USE;AND PROVIDING FOR CODIFICATION, REPEALER, SEVERABILITY,AND AN EFFECTIVE DATE. RECOMMENDATION The.Administration recommends that the City Commission adopt the subject Ordinance.,. BACKGROUND/HISTORY On September 17, 2021, at the request of Commissioner Mark Samuelian, the City Commission referred a discussion item to the Land Use and Sustainability Committee (LUSC) pertaining to quality-of-life strategies for dealing with future and existing apartment hotels in the South of Fifth area (C4G). On October 19, 2021, the LUSC discussed and continued the item to the December 2021 LUSC meeting with direction to the Administration to study potential strategic increases in FAR and height within the R-PS1 and R-PS2 districts for the limited purpose of incentivizing the conversion of existing apartment hotels to residential use. The December 2021 LUSC meeting did not take place, and the item was automatically deferred to the first available meeting of 2022. On February 11, 2022,the LUSC discussed the proposal for strategic increases in FAR and height within the R-PS1 and R-PS2 districts and recommended that the draft Ordinance prepared by the Administration be moved to the City Commission for referral to the Planning Board. Additionally, the LUSC recommended the following: Page 722 of 1700 1. The addition of an express prohibition on the short-term rental of any apartment units. 2.A 3-year sunset provision. On March 9, 2022, the City Commission referred the subject Ordinance, inclusive of the recommendations of the LUSC,to the Planning Board (C4B). ANALYSIS PLANNING ANALYSIS The proposed Ordinance amends Section 142-694 of the Land Development Regulations (LDR's)of the City Code to create incentive provisions for the conversion of existing apartment hotels located in the R-PSI or R-PS2 district, which are legal non-conforming, to convert to a conforming residential use. Specifically, the following would apply to residential uses that replace existing apartment hotel uses: R-PS1 District: • The maximum floor area ratio (FAR) shall not exceed 1.50. Currently the maximum FAR is 1.25. This represents an increase in FAR of .25. • The maximum building height shall be 55 feet, except for lots 50 feet wide or less, in which case the maximum building height shall be 50 feet. The current maximum building height is 45 feet; for lots 50 feet wide or less the maximum height is 40 feet. This represents an increase in overall building height of 10 feet. R-PS2 District: • The maximum floor area ratio (FAR) shall not exceed 1.75. Currently the maximum FAR is 1.50. This represents an increase in FAR of.25. • The maximum building height shall be 65 feet, except for lots 50 feet wide or less, in which case the maximum building height shall be 60 feet. The current maximum building height is 45 feet; for lots 50 feet wide or less the maximum height is 40 feet. This represents an increase in overall building height of 20 feet. A separate, companion Ordinance to amend the future land use element of the 2040 Comprehensive Plan, is also proposed, and would modify the maximum density (maximum number of dwelling units per acre)and intensity(FAR) limits in the R-PSI and R-PS2 districts to correspond with the proposed LDR amendments pertaining to maximum FAR. These FAR, density and building height limits would only apply to those properties that have a legally established apartment hotel as the main permitted use, and which convert the entire property to a conforming residential use. The proposed increase in building height in the R-PSI and R-PS2 districts is commensurate with the proposed increase in maximum FAR.Although this additional height will be slightly taller than what is currently permitted, it will only be applicable to a limited number of properties. The subject Ordinance mandates that property owner(s)must agree, via recorded covenant, not to engage in short term rentals of any apartment units.Additionally, the provisions of the Ordinance shall only apply to projects that have obtained a full building permit or certificate of Page 723 of 1700 use for the conversion to residential use by December 31, 2025, and there shall be no variances from any of the Ordinance provisions. The attached maps show the existing parcels in the RPS-1 and R-PS2 districts, including those within the boundaries of the Ocean Beach Local Historic District. The maps also denote all existing uses, including those properties that are either currently operating as an apartment hotel or have an active building permit for an apartment hotel. Only those properties legally established as an apartment hotel would be eligible to utilize the proposed FAR and height incentives, and the total number of eligible properties is limited.Also, there is a fixed timeframe for eligible properties to avail themselves of these incentives. As noted in the attached Density and Intensity Impact Analysis for the affected area, the proposed FAR and density increases could result in an additional 32 units beyond what is permitted today. This could result in an additional 26 peak hour vehicle trips taking place, assuming no trip reductions are provided for public transportation and alternative modes of transportation, which are common for this neighborhood. Given the limited scope of these amendments,the potential impacts are de minimis. The modest and context sensitive increases in allowable FAR, density and building height proposed for these limited number of properties is not expected to have a negative impact, as the maximum FAR, density and height permitted in these districts is already restricted. Since most of the apartment hotel uses in the area are in smaller, older buildings, a slight increase in allowable FAR and/or building height may incentivize a re-conversion back to residential use. Lastly, pursuant to Section 1.03(c) of the City Charter, final adoption of the Ordinance, if approved at First Reading, requires voter approval for the proposed increase in FAR. PLANNING BOARD REVIEW The Planning Board held a public hearing on April 26, 2022 and transmitted the Ordinance to the City Commission with a favorable recommendation(7-0). UPDATE On May 4, 2022, the City Commission approved the subject Ordinance at First Reading and scheduled Second Reading /Adoption for September 14, 2022, subject to voter approval of the proposed FAR increase. Additionally, the City Commission adopted Resolution No. 2022- 32168 to place a ballot question pertaining to the proposed FAR increase on the City's August 23, 2022 ballot. Pursuant to Resolution No. 2022-32168, the following ballot question was submitted to the City's voters: RPS1 District/RPS2 District- FAR Incentive to Convert Remaining Apartment Hotel Uses to Residential Use City Charter requires voter approval before increasing a property's floor area ratio ("FAR') (City's method of regulating building size). In certain residential zoning districts south of 5th Street, apartment-hotels are now prohibited, but previously approved properties may Page 724 of 1700 continue such uses. Shall the City increase FAR from 1.25 to 1.50 in the RPS1 District, and from 1.50 to 1.75 in the RPS2 District, to provide an incentive for converting these remaining apartment hotel uses to residential use? On August 23, 2022, the ballot question was approved by 71.26 percent of the City's voters. Therefore, contingent upon the certification of the election results,the subject Ordinance can be adopted by the City Commission. SUPPORTING SURVEY DATA Enhance Residents Quality of Life FINANCIAL INFORMATION No Fiscal Impact Expected CONCLUSION The Administration recommends that the City Commission adopt the subject Ordinance. Applicable Area South Beach Is this a"Residents Right Does this item utilize G.O. to Know" item, pursuant to Bond Funds? City Code Section 2-14? Yes No Legislative Tracking Planning Sponsor Vice-Mayor Alex Fernandez ATTACHMENTS: Description o Ordinance o Density and Intensity Analysis o MAP- RPS 1 and 2 Uses o MAP- RPS Historic District Boundaries Page 725 of 1700