Board discusses new privately owned affordable housing project

2nd Reading – Public Hearing – Ordinance 1139 –An Ordinance Of The Town Of Lyons, Colorado Approving The Overlay Zoning Designation Of PUD-R To 317 Evans Street
January 3, 2022
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Part One: Approval of Overlay Zoning Designation of PUD-R

Attorney Dittman explained the process that they deploy. First Town Staff looks at it, then the Board will and ask questions. Then the Applicant will give a presentation. Followed by questions by the BOT, and then it’s open to the public. Although the Board can ask questions; after that, no new information is put into the record. And, then there is a final vote.

David Kimmett, AICP, Town of Lyons Planner II
Re: 317 Evans Street.
This is the first hearing, dedicated to a potential rezone. The actual Application will follow.

There are several residential zone districts in the Lyons Municipal Code.  317 Evans Street has an underlying zoning district of R-1 (Low Density Residential). 

On June 20, 1983, the Lyons Board of Trustees decision granted the owner the ability to have six units on this parcel – originally two houses were there on two lots. Over the years as many as eight or nine units were there. When it sold in 2022, it was listed as eight units, which is illegal. The then owners were required to change the occupant space before they could sell it.

Monday night, the new owner is asking for expansion to nine units. It would be a complete demolition, and a new set of modular units used to build it.

PUD-R (R is residential) –The new overlay zoning designation of PUD-R provides density, setback, and parking flexibility to the developer and the Town. It’s allowed in town code, and not unique to Lyons, regarding land use. They can ask certain concessions from the developer, and he can ask for things like set backs. There is room for negotiation.

The approval of the “overlay” is not forever; it grants the applicant one year to come up with a PUD plan. However, if it is approved and the project is built, it stays with that property forever. It is only valid for this applicant.

Kimmett gave positive reasons for passing this: that the six unit designation is inadequate; and the current housing is substandard; and, it would address the urgent need for affordable housing in Lyons.

Kimmett requested modification regarding set back and parking. Other comments made: The applicant expects the alley to be paved. Nine units requirement according to code would require 13.25 spaces. The developer wants 10 parking spaces required, and two would be on the right-of-way on Evans. This is often considered flexible by boards.
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Owner, Leigh Williams gave a presentation. (lives on Indian Lookout Rd., Lyons), and was joined at the meeting by his partner and architect. They are hoping that (if this passes) it will allow us to have a wider array of positive improvements, such as building appearance, quality of life, life safety, flood protection, affordability, accessibility, environmental responsibility. We feel this is consistent with the Comp Plan. We would improve the set back in the front, and the NW corner of the rear, and narrowing the setbacks to the east and west.

The three modifications we pursue are (1) parking – nominate ten (instead of 13)- (2) density – we ask for 9 units to lease (instead of 6), which is a reality based on the last four years of leases (3) set back – we can propose numbers.

We support the suggestion that it should be #5, which encourages redevelopment.
(Note: This refers to the PUD approval criteria list that the Board of Trustees must consider, not the modification to the PUD. — Mr. Williams is referring to Criterion #5: The area requested for rezoning has changed or is changing to such a degree that it is in the public interest to encourage development or redevelopment of the area, and the rezoning will be consistent with the goals and policies of the Comprehensive Plan.)

The property immediately to the east has two very modest structures next to the alley, a shed and a firepit. If the town puts in a paved alley, we would put stripes to mark it, move the trash bin, and work with the neighbor for future options, such as having two parking spaces there.

Currently, six of the proposed parking spots are adjacent to the alley.

Some of the properties on that street are in the flood plain.
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PUBLIC HEARING: SPEAKING by Marcus McKenna: was concerned about the flood area being paved; about the currently shared trash area, and DRDOP area; the number of parking spots; and more traffic on that quiet street/corner, and other similar things. Wendy Miller: this improvement is long overdue and the prior owner was very negligent both with property, regulations, and tenants.
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In response, for clarification:
The Owner, Williams, states that he is proposing to build four structures:  a duplex in front; a two-car garage adjacent to the duplex; and in back, a triplex; and a quadplex (which will be ADA accessible). The face (what people see from the street) will look like a residence, with an appearance to match the historic look of other homes on the block.

There will be covered porches, which are under consideration when deciding on the set back.

Current tenants of 317 Evans would be offered a reduced rental rate structure, while future new tenants in the rebuilt 317 Evans would have a 0-120% AMI target, according to the Applicant. The Boulder County AMI (Area Mean Income, a HUD standard) is approximately $101,000/year for a family unit. The owner (current or future) would have to offer the lower rate for ten years. This will be discussed at the January 9th hearing. (Note, the Comp Plan states 80% cap)
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Mayor Rogin presented the PUD overlay zoning designation for a vote, and it unanimously passed, stating that she was enthusiastically for the new and improved building project.

PASSED: Ordinance 1139 –An Ordinance of the Town of Lyons, Colorado Approving the Overlay Zoning Designation of PUD-R to 317 Evans Street
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PART TWO: Major Development Review (Final PUD Plan)

Lyons Planner David Kimmett went on to the 2nd proposal. He described the owner and his goals. Leigh Williams is an advocate for affordable housing, and is involved in THISTLE affordable housing experience; but, in this case, it is private citizens funding it themselves. // The next meeting is January 9th, with a public hearing. // A family unit vs. workforce housing has different base figures. // The current six tenants will have to leave temporarily, and when they return, they will be offered a lease at a much lower rate.

Mr. Williams developed a relationship with Harrison Homes, a modular home builder based in Fort Morgan, Colorado. Harrison Homes had a queue position with BonnaVilla, a modular home manufacturer in Aurora, Nebraska. Harrison Homes has offered Mr. Williams an early reservation spot for purchasing BonnaVilla modular units to be constructed at 317 Evans Street should the Major Development Review (PUD Final Plan) be approved by the Board of Trustees on January 9.

==Under discussion now is what conditions either party wants. This could be sidewalks, water shares, etc.
==The hydrants were tested today.
==Development approval is next.
==The Town of Lyons Planning & Community Development Commission (PCDC) placed five Conditions within their recommendation for approval of the Major Development Review at public hearing on December 12, 2022.  This is captured in PCDC Resolution 2022-13. 
==Ecology Advisory Board (EAB) = Greg Lowell, Ecology Advisory Board Chair, wrote concerning the referral notification timeframe. There was a misunderstanding in process notification. This was addressed by the Board.

In owner’s final presentation, he explained the detailed, burdensome process that Summit has to take to rent their units, because of the obligations that they agreed to when they accepted grants, etc. He gave a few options on how to decide who moves into the affordable housing. One is: Two-thirds of the property would be $1,067 plus utilities as the estimated lease cost, and income is $47,000 a year (that is 46% of the area median income AMI). An appraiser came in at a considerably higher proposal (eg $1,500 for a one bedroom). Another estimate was based on 67% because they are modest units, and that’s where the 120% of income comes in. The duplex’s rent may be higher; making it a blended mix of probably 53% average. The modular units will save money, so the lower lease rate wouldn’t be a burden.

PUBLIC HEARING: Dave xxx, Lyons resident (name to be confirmed). Wanted to make sure they are built with energy conservation in mind; he wanted more clarification on the 100% use of electricity. // Marcus McKennan. Approves the presentation and likes it being affordable housing. Wants DRBOP land left alone for locals to continue using.
DRBOP = Deed Restricted Buy Out Property – essentially land the Town owns after the 2013 Flood.

The Mayor closed the PUBLIC Hearing at 10:13 p.m.

The Motion to close till January 9th was withdrawn, and they considered carrying over the Public Hearing portion to start the January 9th meeting with. The Board of Trustee then discussed the MOTION to Approve the Resolution. Negotiations begin, and ideas were proposed, and will be finalized on the 9th.

PASSED: Major Development Review (Final PUD Plan) for 317 Evans Street

NEXT SPECIAL MEETING is January 9th. You can view the Packet / Agenda /and Zoom link on the Town’s web page.

Note, all technical material, statistics, AMI figures, PUD-R, and such have been reviewed and confirmed by the Town of Lyons Planner David Kimmett, AICP. We thank him for taking the time to make sure the residents are getting the full and correct information.