ORDINANCE NO. BL2007-1369

ORDINANCE NO. BL2007-1369

An ordinance to amend sections of Title 17 of the Metropolitan Code of Laws, the Zoning Ordinance of the Metropolitan Government of Nashville and Davidson County, to permit the transfer of development rights from Historic Landmark Districts and Historic Preservation Districts in Downtown Nashville as "sending" sites to designated "receiving" sites, which is more particularly described herein (Proposal No 2007Z-042T).

WHEREAS, in 2001, the State of Tennessee promulgated law enabling individual counties and municipalities to permit the transfer of development rights to achieve land use goals, as per Tennessee Code Annotated Sections 13-7-101 and 13-7-201;

WHEREAS, the transfer of development rights can relieve development pressure from areas intended to be low intensity while allowing property owners in the areas intended to be low intensity to realize the value of their development entitlements by permitting these property owners to donate or sell the value of undeveloped development rights;

WHEREAS, the Downtown Community Plan: 2007 Update, adopted pursuant to 13-3-303 and 13-4-202, Tennessee Code Annotated, calls for the preservation and adaptive reuse of historic structures, specifically calling for the creation of two new historic zoning districts in Downtown, one to encompass Lower Broadway and one to encompass Printer's Alley and Fifth Avenue historic district, the creation of new Historic Landmark Districts and the creation of transfer of development rights from these sites to other sites in Downtown;

WHEREAS, the transfer of development rights pursuant to sound community planning standards is hereby declared to be in accordance with the health, safety and welfare of Nashville/Davidson County because it furthers the protection of historic and culturally-relevant structures and districts at a time when this objective is made urgent by development pressures upon these structures and districts.

NOW, THEREFORE, BE IT ENACTED BY THE COUNTY OF THE METROPOLITAN GOVERNMENT OF NASHVILLE AND DAVIDSON COUNTY:

SECTION 1 By amending Chapter 17.12 of the Metropolitan Zoning Code, "District Bulk Regulations" by adding a new section numbered 17.12.120 titled "Transfer of Development Rights."

A. Transfer of Development Rights for Downtown Historic Preservation Districts and Downtown Historic Landmark Districts.

1. Purpose. The transfer of development rights provisions established by this section are intended to protect structures and sites in historic and culturally-relevant districts in Downtown Nashville, while allowing owners of these structures and sites to realize the value of their under-utilized development entitlements. This is accomplished by permitting property owners in "sending sites", historic districts defined in this section, to transfer, through sale or donation, all or part of the property's unused development rights (undeveloped square footage) to a "receiving site" as defined in this section, which is an area intended for higher-intensity development. The transfer of development rights provisions are established pursuant to the authority contained in Sections 13-7-101 and 13-7-201 of the Tennessee Code Annotated.

2. Definitions and Regulations. Transfer of development rights between sites is allowed as follows:

a. Development Rights. The "development rights" of a property within a Historic Preservation District or Historic Landmark District are defined as the square footage permitted for a property as calculated based on the floor area ratio (FAR) rights granted under the property's existing base zoning district. The only development rights available for transfer through sale or donation are the rights for the undeveloped square footage on the property.

b. Sending Sites. Sites within any Council-adopted Historic Preservation District or Historic Landmark District within Downtown Nashville, Davidson County may transfer development rights. For the purposes of this section, "Downtown Nashville" is defined as bounded by Jefferson Avenue to the north, Interstate 24 to the east, Interstate 40 to the south and Interstate 40/65 to the west.

c. Receiving Sites.
i. Location. Development rights may be transferred, through sale or donation, to the following sites in Downtown as described below and more specifically illustrated on Figure 17.12.120. It is the applicant's responsibility to confirm with the metropolitan planning department, at the time of application, that the proposed receiving site is within the approved receiving site area as defined in this section. The following are the permitted receiving sites:
1) In the Core with the following boundaries - south of Charlotte Avenue, west of properties fronting onto Second Avenue South, north of properties fronting onto Broadway and east of the train tracks excluding Council-adopted Historic Preservation Districts, Historic Landmark Districts and the Downtown Public Library;
2) In SoBro with the following boundaries: The northern boundary is south of the properties fronting on Broadway from the train tracks to Sixth Avenue South; south of Demonbreun Street from Sixth Avenue South to Third Avenue South excluding the Country Music Hall of Fame; roughly south of properties fronting onto Broadway from Third Avenue South to First Avenue South and south of the Shelby Street Pedestrian Bridge from First Avenue South to the Cumberland River; The eastern boundary is west of the Cumberland River from the Shelby Street pedestrian bridge to north of the terminus of Molloy Street and west of First Avenue South from Molloy Street to Peabody Street; the southern boundary is Peabody Street from First Avenue South to Seventh Avenue South, Lea Avenue from Seventh Avenue South to Eighth Avenue South, Shirley Street from Eighth Avenue South to Tenth Avenue South and the properties fronting onto the south side of Demonbreun from Tenth Avenue South to the train tracks; the western boundary is the train tracks.
3) In the Gulch and North Gulch with the following boundaries: The eastern boundary is the train tracks (using the eastern most train tracks as the boundary in the North Gulch just south of Charlotte Avenue); the southern and western boundary is I65 and I40; the northern boundary is Herman Street;
4) In Sulfur Dell with the following boundaries: The northern boundary is Jefferson Street; the eastern boundary is the Cumberland River; the southern boundary is the train tracks; the western boundary is Fourth Avenue North; and
5) In Lafayette for only those properties fronting on, or consolidating to front onto Eighth Avenue South from the intersection of Eighth Avenue South and Lafayette to the train tracks and for those properties fronting on, or consolidating to front onto Lafayette Street from the intersection with Eighth Avenue South to the east side of Fifth Avenue South.

ii. Eligibility.
1) Receiving sites eligible for donation of development rights. The Metropolitan Government of Nashville, the State of Tennessee or a not-for-profit conservation or preservation organization shall only be a receiving site through donation of development rights. A sending site property owner may donate all or part of the sending site development rights to these entities.
2) Receiving sites eligible for purchase of development rights. Individual property owners or their designees may purchase development rights or receive the development rights as a donation. A sending site property owner may transfer all or part of the development rights to another individual or entity by donation or sale only with the consent of both the sending and receiving sites' property owners and through negotiations in a free marketplace.

d. Transfer Procedure. The procedure for a transfer of development rights must meet the following criteria:

i. Application. The owners or developers of the sending site and those of the receiving site shall file an application for transfer of development rights with the metropolitan planning department. The application shall be on a form provided by, and available from, the metropolitan planning commission and may be a joint application for both the sending site and the receiving site. A fee may be assessed to the application. At a minimum, the application shall include a warranty statement indicating that by requesting this transfer of development rights, the property owner of a sending site agrees that they, and anyone henceforth in the chain of title, will not apply for additional floor area ratio, square footage or any other form of density for the property in the future.

ii. Recording the Transfer of Development Rights from Sending Sites. The conveyances of development rights from the sending site shall be in writing in an instrument that shall be signed by the owner of the sending site and shall be submitted to the metropolitan planning department for approval with the requirements of this section and such approval entered in writing on the document by the director or by another designee of the metropolitan planning department. At that point, the instrument shall be recorded in the office of the register of deeds subject to fees as set out in 8-21-1001 of Tennessee Code Annotated, with an additional copy of the instrument provided to the metropolitan planning commission for record purposes. This instrument should include the total square footage initially allowed, per FAR in the applicable zoning district for the property, the square footage transferred from the property, and the square footage of development that remains for the property. Once the transfer of development rights from the sending site is complete, this site shall forfeit any future claim for additional floor area ratio, square footage or other opportunity for increased intensity of development including, but not limited to, any type of rezoning. A statement to this effect shall be required on any subsequent deeds for the property.

iii. Recording the Transfer of Development Rights to Receiving Sites. Whenever transferred development rights are allocated to a receiving property, such allocation shall not become effective until the transferred development rights are noticed in writing in an instrument that shall be signed by the owner of the receiving site and shall be submitted to the metropolitan planning department for approval with the requirements of this section and such approval entered in writing on the document by the director or by another designee of the metropolitan planning department. At that point, the instrument shall be recorded in the office of the register of deeds subject to fees as set out in 8-21-1001 of Tennessee Code Annotated, with an additional copy of the instrument provided to the metropolitan planning commission for record purposes. The instrument shall include the total square footage permitted on the receiving site per the FAR of its base zoning district and the additional square footage permitted through transfer of development rights. If the receiving site is subdivided or consolidated in the future, the transferred development rights shall be noted on any future plat(s), deed(s) or other relevant instrument used or referenced in any such subdivision or consolidation. A statement including this same information shall be noted on any future deeds for the property.

3. Other Development Standards. For receiving sites, the transferred development rights (square footage) shall be in addition to those currently permitted by the receiving site's base zoning district. All other applicable development standards, including, but not limited to, building heights, sky exposure planes, and building setbacks shall continue to apply to both the sending site and the receiving site when a transfer of development rights occurs. The assessment of whether the transferred development rights can be accommodated within the receiving site's existing applicable development standards is the responsibility of the owners of the receiving sites.

4. Conflict with Provisions of Zoning Code. If there is a conflict between the development rights considered in this section and any other part of the Zoning Code, these provisions shall prevail.

SECTION 2 BE IT FURTHER ENACTED, that this ordinance take effect immediately after its passage and such change be published in a newspaper of general circulation, the welfare of The Metropolitan Government of Nashville and Davidson County requiring it.

Sponsored by: Mike Jameson, Diane Neighbors, Erik Cole, Charlie Tygard, Walter Hunt, Rip Ryman, Emily Evans, Buck Dozier, Randy Foster

View Sketch

AMENDMENT NO. 1
TO
ORDINANCE NO. BL2007-1369

Mr. President:

I move to amend Ordinance No. BL2007-1369 by modifying as follows:

Chapter 17.12.120.A.2.c.i.2
Delete in this section, the phrase,
“The southern boundary is Peabody Street from First Avenue South to Seventh Avenue South, Lea Avenue from Seventh Avenue South to Eighth Avenue South, Shirley Street from Eighth Avenue South to Tenth Avenue South and the properties fronting onto the south side of Demonbreun from Tenth Avenue South to the train tracks; the western boundary is the train tracks.”

Replace with the phrase,
“The southern boundary is Peabody Street from First Avenue South to Seventh Avenue South, Lea Avenue from Seventh Avenue South to Tenth Avenue South and the properties fronting onto the south side of Demonbreun from Tenth Avenue South to the train tracks; the western boundary is the train tracks.”

Chapter 17.12.120.A.2.c.i.3
Delete in this section, the phrase,
“In the Gulch and North Gulch with the following boundaries: The eastern boundary is the train tracks (using the eastern most train tracks as the boundary in the North Gulch just south of Charlotte Avenue); the southern and western boundary is I65 and I40; the northern boundary is Herman Street;”

Replace with the phrase,
“In the Gulch and North Gulch with the following boundaries: The eastern boundary is Eighth Avenue North from roughly perpendicular with Herman Street to Tenth Circle North and the train tracks (using the eastern most train tracks as the boundary in the North Gulch just north of Charlotte Avenue); the southern and western boundary is I65 and I40; the northern boundary is Herman Street and as if it extended to the east to Eighth Avenue North;”

Chapter 17.12.120.A.2.c.i.4
Delete in this section, the phrase,
“In Sulfur Dell with the following boundaries: The northern boundary is Jefferson Street; the eastern boundary is the Cumberland River; the southern boundary is the train tracks; the western boundary is Fourth Avenue North; and”

Replace with the phrase,
“In Sulphur Dell with the following boundaries: The northern boundary is Jefferson Street; the eastern boundary is the Cumberland River; the southern boundary is the train tracks; the western boundary is Fourth Avenue North; excluding existing and proposed greenways; and“

Chapter 17.12.120.A.2.d.ii
Delete, in this section, the sentences,
“Recording the Transfer of Development Rights from Sending Sites. The conveyances of development rights from the sending site shall be in writing in an instrument that shall be signed by the owner of the sending site and shall be submitted to the metropolitan planning department for approval with the requirements of this section and such approval entered in writing on the document by the director or by another designee of the metropolitan planning department. At that point, the instrument shall be recorded in the office of the register of deeds subject to fees as set out in 8-21-1001 of Tennessee Code Annotated, with an additional copy of the instrument provided to the metropolitan planning commission for record purposes.”

Replace with the following,
“Recording the Transfer of Development Rights from Sending Sites. The conveyances of development rights from the sending site shall be in writing in an instrument that shall be signed by the owner of the sending site and shall be submitted to the metropolitan planning department to ensure that the transfer of development rights meets all of the requirements of this section. Once it is determined that the transfer of development rights does in fact meet the requirements of this section, the metropolitan planning department shall approve the application and such approval shall be entered in writing on the document by the director or by another designee of the metropolitan planning department. At that point, the instrument shall be recorded in the office of the register of deeds subject to fees as set out in 8-21-1001 of Tennessee Code Annotated, with additional copies of the instrument provided to the metropolitan planning commission and the office of the property assessor for record purposes.”

Chapter 17.12.120.A.2.d.iii
Delete, in this section, the sentences
Recording the Transfer of Development Rights to Receiving Sites. Whenever transferred development rights are allocated to a receiving property, such allocation shall not become effective until the transferred development rights are noticed in writing in an instrument that shall be signed by the owner of the receiving site and shall be submitted to the metropolitan planning department for approval with the requirements of this section and such approval entered in writing on the document by the director or by another designee of the metropolitan planning department. At that point, the instrument shall be recorded in the office of the register of deeds subject to fees as set out in 8-21-1001 of Tennessee Code Annotated, with an additional copy of the instrument provided to the metropolitan planning commission for record purposes. The instrument shall include the total square footage permitted on the receiving site per the FAR of its base zoning district and the additional square footage permitted through transfer of development rights.

Replace with the following,
Recording the Transfer of Development Rights to Receiving Sites. Whenever transferred development rights are allocated to a receiving property, such allocation shall not become effective until the transferred development rights are noticed in writing in an instrument that shall be signed by the owner of the receiving site and shall be submitted to the metropolitan planning department to ensure that the transfer of development rights meets all of the requirements of this section. Once it is determined that the transfer of development rights does in fact meet the requirements of this section, the metropolitan planning department shall approve the application and such approval shall be entered in writing on the document by the director or by another designee of the metropolitan planning department. At that point, the instrument shall be recorded in the office of the register of deeds subject to fees as set out in 8-21-1001 of Tennessee Code Annotated, with additional copies of the instrument provided to the metropolitan planning commission and the office of the property assessor for record purposes. The instrument shall include the total square footage permitted on the receiving site per the FAR of its base zoning district, the additional square footage permitted through transfer of development rights and the total square footage of development available on the property after the transfer of development rights has been completed.

Figure 17.12.120 – Receiving Sites for Transfer of Development Rights
Delete the existing Figure and replace it with the following.

LEGISLATIVE HISTORY
Introduced:	February 6, 2007
Passed First Reading:	February 6, 2007
Referred to:	Planning Commission - Approved 10-0 (February 22, 2007) Planning & Zoning Committee
Passed Second Reading:	March 6, 2007
Amended:	March 20, 2007
Passed Third Reading:	March 20, 2007
Approved:	March 21, 2007
By:
Effective:	March 23, 2007