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Home My WebLink AboutHanson Baker Letter March 2015HANSONBAKERJohnE.Hanson,RetiredATT0RNEYSMagnusAnderssonJohnM.Baker(1945-2001)SandyCairnsJosephC.CalmesTimothyJ.GrahamJohnT.LudlowMerrileeA.MacLeanRachelL.MerrillMarch12,20151ECEI\iEDSENTVIAEMAILTOjhenmngtrentonwa.govANDMAR12015MAILEDREGULARMAILCITYOFRENTONPLANNINGDIVISIONMs.JenniferHenningPlanningDirectorCityofRenton1055SouthGradyWayRenton,Washington98057Re:ParcelIDNo.5182100043andLUA15-000021DearMs.Henning:ThankyoufortakingthetimetospeakwithmeonMondayandTuesday.AsIindicatedinourconversations,IrepresentDannyKornfeldandAliza,Inc.(“Aliza”).OnOctober30,2014Alizapurchasedthepropertylocatedat4431N.E.4thStreetinRenton,alsoknownasTPN518210-0041-08(the“AlizaProperty”and“Property”).ThePropertyiscurrentlybeingleasedbyKeyBank(the“Bank”).Mr.KornfeldlearnedforthefirsttimelastweekthattheparcelofpropertyownedbyAmberProperties,LLC,lyingdirectlysouthoftheAlizaProperty—TPN518210043(the“AmberProperty”)—isthesubjectofaLandUseAction(“LUA”)andaproposaltobuildadaycarecenterontheadjacentparcel.Iunderstandthattheappealperiodontheenvironmentaldeterminationexpiredonfebruary27,2015andtheCity’spositionisthatitgavetherequisitenoticetoAlizaandtheBankoftheirrightstocommentonbothelementsoftheLUA(theAdministrativeSitePlanReviewandtheenviromnentaldetermination),notwithstandingthefactthattheCity(a)didnotmailthenoticetotheBankatthePropertyaddress;(b)didnotmailanynoticestoAliza,and(C)didnotclearlyindicatethattheappealperiodfortheAdministrativeSitePlanReviewexpiredonthesamedateastherighttoappealdecisionsmadeasapartoftheAdministrativesitePlanReview.BaseduponyourbeliefthattheCitycompliedwiththeLUAnoticerequirementsyoudeclinedtoformallyextendthecommentperiodtogiveAlizaandtheBankanopportunitytocommentontheLUA.Youdid,however,invitemetowritealetterreportingAliza’sconcernsabouttheproposeddevelopment.Thisletterrespondstothatinvitation.HansonBakerLudlowDrumhelletPS.2229—I12thAvenueNE,Suite200Bellevue,WA98004-2936Tel:425.454.3374.Fax:425.454.0087wwhansonbakencomW:\WPDOCS\99999\003\B0279835.DOCX-jtl HansonBakerLudlowDrumhellerPS.March12,2015Page-2TheAlizaandAmberPropertieswerecreatedinaShortPlatrecordedunderKingCountyRecordingNo.201207900004(the“ShortPlat”).BothPropertiesarealsobenefitedandburdenedbyaDeclarationofRestrictionsandGrantofEasementrecordedunderKingCountyRecordingNo.2012221001617,asamendedbyanAddendumrecordedunderKingCountyRecordingNo.20141030001654.(collectivelycalledthe“Declaration”).Importantly,theShortPlatincludesarecitationthatbothPropertiesaresubjecttothetermsandconditionsofKeyBank’sleaseoftheAlizaProperty(theBankLease”),whichAmbersignedinJuly2008.’TheDeclarationgenerallygrantsandreservesnon-exclusiveeasementsforaccessandparkingoverdesignatedportionsofbothProperties,disallowsmaterialchangestotheparkingareasandalsodisallowsanyreductionofparkingspaceswithouttheconsentoftheowneroftheAlizaProperty.TheBankLease,whichhaspriorityovertheShortPlat,includesthreeimportantcovenantsmadebyAmber.first.Amberdeclareditsintentiontobuilda“multipleuseofficebuilding”2ontheAmberPropertyandthenwarrantedthat“thePlazashall...includetheOfficeBuildingdefinedinRecitalD...,consistingofapproxinatelvninethousandrentable(9,000)squarefeet.”ThislimitationonthesquarefootageandofficeuseoftheBuildingbindsAmber,theAmberPropertyandanypartywhopurchasestheAmberProperty.Inshort,thedaycarecentercannotbebuiltontheAmberProperty.Second,AmberpromisedtomakecertainspecifiedCommonAreaimprovements(outlinedinanattachedExhibitHandbenefitingbothProperties,)whenitbuilttheBankbuilding.ThisprovisionalsobindsAmber,theAmberPropertyandasuccessorowner.ThesiteplanfortheproposeddaycarecenterignorestherequirementthattheseCommonAreasbepreservedduringtheLeasetemi.Third,theBankLeasegivestheBankthe“non-exclusiveuseofallparkingspaceslocatedontheAmberProperty,’alongwiththerighttoinstall22BankparkingsignsontheAmberProperty.3TheproposedSitePlanfortheproposeddaycarecenterfiledwiththeCitysuggeststhattheonlynon-exclusiveparkingspacesonthetwoPropertiesarethetenspaceslocatedgenerallyonthesouthendoftheAlizaProperty.Theimplicationis,therefore,thatalloftheparkingspacesontheAmberPropertyareavailablefortheexclusiveuseofthedaycarecenter.AsImentionedonTuesday,however,myquestioniswhethertheCityreviewedandapprovedtheApplicationassumingthatthe34or35parkingspacesontheAmberpropertywerefortheexclusiveuseofthedaycarecenter.Clearly,theyarenot.MyfinalpointrelatestothereciprocalaccessrightsdescribedintheBankLeaseandtheShortPlat.AsIsaidTuesday,weunderstandthatthedaycarecenterisexpectedtoemployabout25employeesandservebetween165and170children.GiventhenumberofemployeesandthelargenumberofchildrenenteringandleavingtheAmberandAlizaPropertiesonadailybasistheBankandAlizaexpectanextraordinari’largenumbersofcarstopassthroughtheAlizaPropertyanduseBankparkingspaceswhiledrcping-affandpickingkidsupfromthecenter.ThedaySeeNoteIofthe“NotesandRestrictions”ofSheet1.2SeeRecitalDintheLease.See¶1(8)oftheLease.W:\WPDOCS\99999\003\80279835.DOCX HansonBakerLudlowDrumhellerPS.March12,2015Page-3carecenter’susesoftheaccessandparkingeasementsfarexceedtheintendedscopeoftherespectiveeasements—especiallyconsideringthelimitsplacedonthesizeandofficeuseofthebuildingAmberimposedontheAmberProperty.IamsendingCityAttorneyLawrenceWarrenacopyofthisletterbecauseIwanthimtoknowofthelegalbasesforAliza’sclaimsthattheproposedLUAviolatesthetermsoftheBankLease,theShortPlatandtheDeclaration.BycopyofthislettertoGeorgeBalesatAmberIwilllikewisenotifyhimofAliza’sobjectionstotheproposeddevelopmentoftheAmberProperty.IwillalsorequestthatMr.BalesandadaycarerepresentativemakethemselvesavailabletomeetwithMr.Komfeldwithinthenextfewdaystodiscusspotentialsolutionstothisproblem.Inthemeantime,however,IrespectfullyrequestthattheCityconsiderthesecommentsandsuspendconsiderationofthedaycarecenter’sapplicationforbuildingpermitsuntilwe’veeitherreachedanagreementonanacceptablemodificationtotheLUAoroneofthepartiesnotifiestheCitythatwe’vereachedanimpasse.Thankyouforyourtimeandattentiontothismatter.Iwilllookforwardtoreceivingaresponsetomy“standstill’requestwithinthenextthreeorfourdays.Verytrulyyours,HANSONBAKERLUDLOWDRLJMHELLERP.S.JoimT.LudlowJTL:jtlcc:Mr.DannyKornfeld(byemailattachmenttodannvilibertyinn.coi)Mr.LawrenceWarren(byemailattachmentto1warrenrentonwa.gy)Mr.GeorgeBales(bymail)W:\WPDOCS\99995\003\B0279835.DOCX