Travelodge set to move forward
CITY HALL Motel owner Michael Farzam is a happy man after the City Council on Tuesday granted his three wishes to move the long-stalled Travelodge project forward.
After hearing recent concerns from the developer that he could be hit with a seven-figure fee for removing low-cost lodging, the council decided to waive the penalty in lieu of an agreement that the rooms at the new motel would remain affordable and average $172 a night for the year.
The council also acted on two appeals that could’ve greatly altered the project. Both decisions ended up in favor of the developer.
The estimated $40-$50 million project would consolidate the existing Travelodge and Pacific Sands Motel on Ocean Avenue into a four-story limited amenity hotel that includes ground floor retail and underground parking.
The mitigation fee, which Farzam estimated would be about $1 million, is mandated under an 18-year-old ordinance that penalizes developers for removing cheap accommodations. It was passed amid concerns the city was headed toward gentrifica-tion with expensive hotels popping up along the coastline.
Farzam, whose family has been in the motel business for 30 years, pointed out that the fee should be waived because he was in fact expanding the number of low-cost rooms, adding that the penalty could hurt financing opportunities.
“We’re very happy with the outcome,” Farzam said on Wednesday. “We think it’s a very worthy project for the community and will serve the city very well.”
The agreement requires that the rooms average about $172 throughout the year with the figure adjusted to inflation annually. The developer is also required to report to city officials every year to ensure the conditions are being met.
The council also denied a challenge by a neighboring building owner to the east who argued the motel would block the ocean view from Santa Monica Place and accepted an appeal by Farzam in response to a Call us at (310) 458-7737 Planning Commission decision that only one-bridge linking the main motel to the annex could be constructed.
Farzam was seeking a three-story bridge, pointing out that guests staying on floors that didn’t have a connection between the two buildings would just opt to cross an alley where several near collisions between pedestrians and motorists have occurred.
Norman Kravetz, who developed a new mixed-use office and restaurant building on the corner of Second Street and Colorado Avenue, said while he supports the project in concept, he had reservations about the bridge.
“My concern is over the service ability for both delivery and trash removal,” he said.
The appeal to the project was originally filed by Robert Ruth who has since sold his building on Second Street to Hertz Investment Group LLC, which has assumed the challenge. Ruth’s arguments were incorporated in the Hertz challenge.
The neighbor argued the project will not only block ocean views, but degrade the character and quality of surrounding properties. The appeal also alleges the environmental impact report did not adequately analyze traffic and noise impacts.
Shanda Beltran, the attorney representing Hertz, pointed out that the report used the lower commercial noise threshold for determining impact rather than the more protective standards for residential. There are residences in the neighborhood.
In terms of the ocean view blockage from Santa Monica Place, both Farzam and Macerich — the mall’s operator — reached an understanding last year.
The project has received support from some of its neighbors, including Tony Lardas, who owns the McDonald’s on the corner of Second Street and Colorado Avenue. The fast-food restaurant shut down for a few years and has since reopened on the ground floor of Kravetz’ building.
Lardas said the current buildings do not benefit the area.
“Redevelopment obviously revitalizes the area along Ocean and even greater enhances Second Street,” Lardas said.
The project is now set to go before the Architectural Review Board and the California Coastal Commission. Farzam said he hopes to set the date for the meetings in a few weeks.
“We think everyone in the community will benefit from the project overall,”he said.
Originally published in the Santa Monica Daily Press print edition on September 25, 2008. Read the original PDF.