On Monday, the City Council will discuss an ordinance that could require local shopping centers to preserve part of their tenant space for businesses that serve residents rather than tourists.
By Knowles Adkisson / Associate Editor
The Monday meeting of the City Council is sure to be lively, as the council will discuss the possibility of an ordinance that could alter the makeup of businesses in Malibu shopping centers.
The council will consider whether to direct staff to begin preparing a commercial diversification ordinance. The ordinance would require local shopping centers in Trancas, Point Dume, the Civic Center and possibly Las Flores to set aside a certain amount of tenant space for different commercial uses. It could potentially establish percentage requirements for types of businesses aimed at visitors, such as clothing stores, and those primarily catering to residents, such as cleaners.
“The required percentage mix should reflect a healthy balance between local community-serving and visitor-serving uses and a diverse commercial base comprised of a mix of businesses ranging from small to medium to large and from local to regional to national,” the staff report on the item states.
If a new business coming in to one of the shopping centers exceeded the percentage for its type in a particular center, it could be required to obtain a permit proving that the new use does not upset the preferred balance between community-serving and visitor-serving businesses, as well as smaller local stores versus national chain stores.
If the city planning commission reviews the permit and finds the new business would upset that balance, the business could potentially be denied the permit and prevented from moving in.
Existing leases are likely to be grandfathered in under a new ordinance, but in coming years the ordinance would then be applied to new businesses coming in. If the ordinance is applied strictly, proponents of the ordinance hope it could cause the makeup of Malibu businesses to tilt back in favor of community-serving businesses.
The ordinance has been largely opposed by representatives of the shopping centers and the Malibu Chamber of Commerce, who have argued it could damage the centers’ ability to fill their tenant spaces in a difficult economy.
One potential change that could be offered as an incentive to the shopping center owners to go along with the ordinance is an increase in the floor area ratio (FAR). Currently the FAR in Malibu is 0.15, meaning that retail space can only take up 15 percent of a commercial property, with the rest devoted to landscaping and parking so as to prevent high-density commercial development.
The seeds of the ordinance date back to March 2011, when Trancas Canyon Nursery, a popular local business that had been around for 22 years, was served an eviction notice by the legal representatives for Trancas Market shopping center owners Paige and Bo Dubbert. The eviction notice prompted a dramatic outpouring of support from community members who wanted the nursery to stay. In the face of public pressure, the eviction was rescinded, and the shopping center’s owners opened negotiations with the nursery owners on an extension to their lease.
A permanent lease was later signed, but the example of Trancas Canyon Nursery was viewed by the vocal segment of the community who fought its eviction as symptomatic of a broader trend in Malibu of ”mom and pop” stores that catered to residents being replaced by national chain stores and high-end clothing stores that catered to tourists.
Two public meetings were held in June 2011 to gather public input into ways to support local community-serving businesses. Also, informal meetings were held on Jan. 18 and Feb. 16 between local shopping center representatives and a resident group called “Preserve Malibu” that was involved in the fight to keep Trancas Nursery and have been pushing for a city ordinance aimed at protecting local businesses. City officials were also involved with the meetings.
If the council decides to pursue an ordinance, it could direct staff to begin researching and writing it. It would then undergo revision and public input at the Zoning Ordinance and Revisions and Code Enforcement Subcommittee (ZORACES) and the planning commission.
At least one City Councilmember is likely to be in favor of the diversification ordinance. Councilmember Pamela Conley Ulich has spoken publicly about the danger of local stores going out of business, and at the Council’s March 12 meeting, Ulich proposed an urgency ordinance banning all chain stores in Malibu. The ordinance was not passed, as the rest of the council said any decision should wait until the March 26 discussion.