AGENDA #4d

 

MEMORANDUM

 

TO:                  Mayor and Town Council

 

FROM:            W. Calvin Horton, Town Manager

 

SUBJECT:      Europa Office Building Special Use Permit Modification - Request to Extend Construction Completion Time Limit (File No. 7.27.E.2E)

 

DATE:            May 22, 2006

 

 

PURPOSE

 

An application seeking a construction completion time limit extension for a Special Use Permit Modification has been filed by Mr. Michael Brough, on behalf of Europa Office Building.  The attached resolution would approve the request from the applicant to extend the construction completion time limit established by the Europa Office Building Special Use Permit Modification, to allow construction completion by May 13, 2008.  The subject property is located on the northeast corner of Europa Drive and Legion Road.

 

BACKGROUND

 

We have received a request for an extension to the construction completion date for the Europa Office Building (see Attachment 1).

 

The following provides a chronology of events for this project:

 

November 23, 1981

Special Use Permit was issued by Town of Chapel Hill.

 

 

May 13, 2002

Special Use Permit Modification authorizing the construction of a 38,000 square feet of floor area building and 108 parking spaces with a construction completion date of May 13, 2005.

 

 

April12, 2005

Town Manager approved one-year extension to the construction completion date.  New completion date is extended to May 13, 2006.

 

 

May 1, 2006

Europa submitted a request for a two-year extension of the construction completion time limit.  The existing completion time limit is May 13, 2006 and the requested time limit for the completion of construction is May 13, 2008.

 

DISCUSSION

 

Section 4.5.5(c)(1-2) of the Land Use Management Ordinance sets forth the requirements for the completion time limit of Special Use Permits:

 

4.5.5(c)            Completion Time Limit

 

(1)               If all construction and actions authorized or required by a Special Use Permit or Modification of Special Use Permit are not completed by the completion date stipulated in the Permit or Modification, the permit holder may request an extension of the completion time limit from the Town Manager.  The Town Manager may grant a single extension of the time limit for up to twelve (12) months if he/she determines that:

 

A.         The permit holder submitted the request within sixty (60) days of the completion date;

 

B.         The permit holder has proceeded with due diligence and good faith; and

 

C.         Conditions have not changed so substantially as to warrant Town Council reconsideration of the approved development.

 

(2)               If all of the construction and actions authorized or required by a Special Use Permit or Modification of a Special Use Permit are still not completed by the extended completion date granted by the Town Manager, the permit holder may, within 60 (sixty) days of the revised completion date, request additional extensions of the completion time limit from the Town Council.  The Town Council may grant extensions of the time limit if it makes the determination required by (c)(1)(A) through (c)(1)(C), above.

 

The applicant has already requested a one-year completion time limit from the Town Manager, as allowed by the Land Use Management Ordinance.  The applicant has requested an additional two-year time extension from the Council.

 

KEY ISSUES

 

In order to grant the extension request, the Council must determine that:

 

A.                The permit holder submitted the request within sixty (60) days of the completion date;

 

B.                 The permit holder has proceeded with due diligence and good faith; and

 

C.                 Conditions have not changed so substantially as to warrant Town Council reconsideration of the approved development.

 

Determination A:  The permit holder has submitted the request within 60 days of the completion dates.  The request was filed May 1, 2006, which is within 60 days of May 13, 2006.

 

Determination B:  A stipulation of the Special Use Permit Modification requires that no certificate of occupancy shall be issued for any part of this development until the superstreet improvements at the intersection of US 15-501 and Europa Drive/Erwin Road are completed.  We think it would be unreasonable to begin construction of a building until such time as it is clear that the superstreet construction will proceed.  We believe that the Council could make the finding that the applicant has proceeded with due diligence and good faith toward the completion of the project.

 

Determination C:  The Special Use Permit Modification was approved by the Council on May 13, 2002. No evidence has been presented regarding changing conditions.  We believe that the Council could make the finding that conditions have not changed so substantially as to warrant Council reconsideration of the approved development.

 

We believe that the Council can make the three necessary determinations and grant the extension.

 

RECOMMENDATION

 

Manager’s Recommendation: We recommend that the Council adopt Resolution A, approving the request for an extension of the completion date of the Europa Office Building to allow construction of the remaining development by May 13, 2008.

 

Resolution B would deny the request.

 

ATTACHMENTS

 

1.      May 1, 2006 Letter Requesting Extension of Completion Time Limit of the Special Use Permit Modification (p. 6).

2.      May 13, 2002 Special Use Permit Modification approval (p. 8).

3.      Europa Drive Office Building Chronology by applicant (p. 12).