DATE: August 14, 2018
SUBJECT:
Title
PRELIMINARY PROJECT REVIEW PRESENTATION AND DIRECTION TO STAFF REGARDING THE PROPOSAL FROM SUNROAD HIE HOTEL PARTNERS, L.P. (SUNROAD) TO CONSTRUCT A 500-ROOM, TWO-PHASED, DUAL BRANDED HOTEL PROJECT (PROJECT) ON THE ELBOW PARCEL ON EAST HARBOR ISLAND IN THE CITY OF SAN DIEGO PURSUANT TO THE EXCLUSIVE NEGOTIATING AGREEMENT WITH THE DISTRICT (ENA) FOR WHICH STAFF RECOMMENDS ONE OF THE FOLLOWING OPTIONS IN ADDITION TO THE BOARD PROVIDING FEEDBACK TO STAFF AND SUNROAD ON THE PROJECT:
A) RESOLUTION DIRECTING STAFF TO STUDY A TWO-PHASED, DUAL BRANDED, 500-ROOM HOTEL PROJECT ON THE ELBOW PARCEL AS PROPOSED BY SUNROAD, WAIVE THE REQUIREMENT IN SECTION 5(b)(i)(5) OF THE ENA THAT THE PROJECT BE IN CONFORMANCE WITH THE 2013 ENVIRONMENTAL IMPACT REPORT (EIR) , WAIVE THE RESTRICTION IN SECTION 4 OF THE ENA NOT TO PROPOSE ANY DEVELOPMENT THAT REQUIRES A PORT MASTER PLAN AMENDMENT, AND COMMENCE ENVIRONMENTAL REVIEW ON THE PROJECT; OR
B) RESOLUTION DIRECTING STAFF TO STUDY ONLY A SINGLE-PHASE, DUAL BRANDED, 325-ROOM HOTEL PROJECT ON THE ELBOW PARCEL, WAIVE THE RESTRICTION IN SECTION 4 OF THE ENA NOT TO PROPOSE ANY DEVELOPMENT THAT REQUIRES A PORT MASTER PLAN AMENDMENT, AND COMMENCE ENVIRONMENTAL REVIEW ON THE REVISED PROJECT.
Body
EXECUTIVE SUMMARY:
On September 8, 2016, the Board of Port Commissioners (Board) selected Sunroad Enterprises to redevelop a parcel of land on East Harbor Island better known as the "Elbow Parcel" (Attachment A) and directed staff to enter into an Exclusive Negotiating Agreement with Sunroad Enterprises for a 325-room hotel on the Elbow Parcel that does not require a Port Master Plan Amendment (PMPA). (See Attachment B (Resolution 2016-139).)
Sunroad Enterprises entered into an Exclusive Negotiating Agreement with the District dated April 14, 2017 through its Sunroad HIE Hotel Partners, L.P. (Sunroad) entity that was filed in the Office of the District Clerk as Document No. 66537 (ENA). The Negotiating Pe...
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