Tempe Development Review Commission Meeting – March 28, 2023

The Development Review Commission (DRC) held a public hearing on March 28, 2023, at 6:00 p.m. (approximate start time from transcript) to consider several land use applications, including setback reductions, a compliance review for a vehicle rental business, and a major mixed-use high-rise project. The meeting included consent calendar approvals, significant public testimony, and votes on key items.

Consent Calendar

• Item 4 – Underwood Residence (street side setback reduction from 10 ft to 8 ft) and Item 5 – The River Massage (use permit for massage establishment) were approved unanimously (7-0) as part of a single consent motion.

Public Comments & Testimony

• Terry Natty (business owner on Smith Road) testified against UCars (Item 7) , stating the company had repeatedly violated conditions of approval by allowing rental vehicles to park on the street. He reported that from January 3 to February 8, 2023, an average of 44.6 cars per day believed to belong to UCars were parked on the road. He noted that as of March 21–28, 2023, between 9 and 21 such cars were observed on one side of the road. He argued that the cars are a safety hazard and urged the commission to revoke the use permit or require vehicle badging. He expressed skepticism about the applicant’s promises of future compliance, stating, “The road to hell is paved with good intentions.”

Discussion Items

Item 3 – Schember Residence (Setback Reduction)

• Applicant: Kendall Baxley (Designitechs LLC) and Mike Shember (homeowner).
• Proposal: Construct a 1,434 sq ft attached four-car tandem garage (RV and standard) with a 16-ft ceiling height, requiring a 20% rear yard setback reduction from 35 ft to 28 ft. The property is at 1068 East El Freda Road in Buena Vista Rancho.
• Staff Report (Lily Drosos): The existing home is 3,287 sq ft. The rear property line is 10 ft into a 20-ft equestrian easement; setbacks are measured from the center of the easement. The applicant met all other code requirements.
• Commission Discussion: Commissioner Schwartz asked about the square footage discrepancy (staff had listed 1,034 sq ft, but applicant clarified 1,434 sq ft). Commissioner Schwartz later voted against the motion.
• Vote: Approved 6-1, with Commissioner Schwartz dissenting.

Item 7 – UCars Compliance Review (Use Permit for Vehicle Rentals)

• Background: UCars (640 South Smith Road) received a use permit on December 13, 2022, with conditions including no parking on streets or front yard areas. The permit required a return to the DRC after three months to review compliance. The lease runs through 2024 or 2025.
• Applicant Update (Merrick Foss, Guidant Law): The company has leased additional storage lots (Mako and another 80-car lot) and signed a new lease in a different city (not disclosed) with a commencement date of April 1, 2023. UCars began moving cars on March 25, 2023. He acknowledged that up to 106 cars were on the street on the worst day but said numbers dropped to the 20s after mid-January. He stated that during April, employee cars will remain because the business will still operate at the Smith Road site for repairs until the new location is fully functional (by May 1, 2023). Employee count will drop from 20 to 8–10.
• Staff Report (Lily Drosos): Since the December 2022 hearing, city staff received regular complaints from adjacent businesses with photos showing violations. The police department logged 25 calls, and code compliance conducted 10 inspections. A citation was issued on January 31, 2023, but violations continued. A petition to install permanent no-parking signs on Smith Road (7 a.m. to 5 p.m., Monday–Friday) received 77.4% support (24 of 31 properties). The Transportation Department will install signs in a few weeks. The long-term Smith Road streetscape project will include no-parking signs on both sides due to bike lanes.
• Public Comment: Terry Natty (see above) urged revocation or additional conditions such as vehicle badging.
• Commission Discussion: Commissioners noted that conditions 4 and 5 (no street parking) were clearly violated. Commissioner Lloyd suggested a 60-90 day review period. Vice Chair Johnson expressed distrust due to prior promises. Commissioner Spears noted that the use permit may become unnecessary if UCars stops rentals. Chair D. Domenico proposed directing staff to initiate a revocation process (30-day notice, consultation meeting) rather than wait for compliance. The applicant objected, stating the use permit is still needed for occasional loaner vehicles. Commissioners clarified they are not seeking immediate revocation but are starting the process to review compliance.
• Vote: Motion to direct staff to review compliance with conditions of approval (including consultation meeting) passed 7-0.

Item 8 – 16 East University Drive (Mixed-Use High-Rise)

• Applicant: Darren Sender (Sender Associates), Julie Kerber (C Ventures), and architect Mark Oberholzer.
• Proposal: A 25-story, 270-ft-tall building with 453 dwelling units (studio, 1BR, 2BR) at 676 dwelling units per acre, 3,800 sq ft of retail, and 12 EV charging stations. Requests include a Planned Area Development (PAD) overlay to modify height (CC district allows 50 ft), a use permit for 13 tandem parking spaces (40 total tandem spaces – 20 pairs, of which 13 count toward the required parking), and Development Plan Review (DPR). The site is 0.67 acres at 16 East University Drive, east of Mill Avenue.
• Design Highlights: The architect emphasized a horizontal massing with three stacked blocks, a bio-swale along University, a pedestrian-friendly lobby, and a metal-clad parking podium (changed from EFIS to metal after staff input). The exterior material palette uses cool blue-green tones (described as “water colors”). The building has 43% EFIS (reduced from 68% earlier), with metal panels on the lower eight floors and other areas. The applicant requested flexibility on conditions regarding EFIS, patios, and interior sound transmission (STC 55 vs. 50). Staff recommended conditions including reducing EFIS on gray elevations, adding two balconies per floor on the east elevation, and ensuring street trees are planted in the ground.
• Neighborhood Meeting: Attendees from Mirabella expressed concerns about noise from Shady Park, lack of underground parking, and solid waste storage. The adjacent Weston hotel expressed full support.
• Commission Discussion: Commissioners Spears and Cassano opposed the project, citing over-development, loss of sunlight, and excessive height. Commissioners Lloyd and Vice Chair Johnson supported the design but sought improvements on materials. Chair D. Domenico praised the pedestrian level but found the EFIS amount inappropriate for a gateway site. The applicant offered to replace the three-sided gray EFIS block (second from top on south, east, and west) with metal panels. Commissioner Spears moved to continue the DPR item to the April 11, 2023 meeting to allow the applicant to present revised drawings.
• Vote on PAD and Use Permit: Approved 5-2 (Commissioners Spears and Cassano dissenting).
• Vote on DPR: Unanimous (7-0) to continue to April 11, 2023.

Key Outcomes

• Consent Calendar: Items 4 and 5 approved 7-0.
• Item 3 (Schember Residence): Use permit for setback reduction approved 6-1.
• Item 7 (UCars): Commission directed staff to begin compliance review (consultation meeting and 30-day cure period), effectively starting the revocation process; motion passed 7-0.
• Item 8 (16 East University): PAD and use permit for tandem parking approved 5-2. Development Plan Review continued to the April 11, 2023 regular meeting.
• Other: The next DRC meeting is scheduled for April 11, 2023, with three new items (Bonfire Craft Kitchen, Rio 2100, and Vadana Tempe).