Malibu Municipal Code § 7.8 Procedures to Transfer Development Credits

Any coastal development permit subject to this Chapter shall be conditioned to transfer the following credits:

A. Land Divisions, applicant shall be required to retire sufficient donor lots to provide one (1) TDC credit for each newly subdivided lot authorized.

B. Multi-Family Projects, excluding affordable housing projects pursuant to Section 7.2(A)(2) of the Malibu LIP, that exceed 2500 square feet of gross structural area (GSA), applicant shall be required to retire sufficient donor lots to provide one (1) TDC credit for each new unit authorized, minus the number of existing parcels within the project site (e.g. a six-unit project to be sited on two existing parcels requires 4 development credits).

C. Multi-Family Projects, excluding affordable housing projects pursuant to Section 7.2(A)(2) of the Malibu LIP, of less than 2500 square feet of gross structural area (GSA), applicant shall be required to retire sufficient donor lots to provide TDC credits proportionate to the size of the units at a rate of 1 development credit for each 2500 sq. ft. of GSA.

The Planning Manager, as part of condition compliance on any coastal development permit subject to this Chapter, shall generate the amount of credits for each donor site submitted by the applicant according to the following procedures:

A. Evidence must be submitted that all lots proposed for retirement in order to qualify for TDC credits are legally created buildable lots.

B. The number of development credits to be transferred shall be determined by using the following formula: Credit Area = (A/5) X (50-S)/35, where A= the area of the small lot in square feet and S= the average slope of the small lot in percent and all slope calculations are based on natural (not graded) conditions.

C. In small lot subdivisions Section 7.7 (B) of the Malibu LIP above, lots shall be qualified for TDCs only if all of the following criteria are met:

1. A minimum of three lots are retired; and

2. Lots are adjacent to each other or to other retired lots; and

3. All lots to be retired have a significant amount of habitat designated as environmentally sensitive habitat area.

D. In all small lot subdivisions as defined in Section 7.7 (A) and (B) of the Malibu LIP above, lots shall be qualified according to the following procedures:

1. One (1) Development Credit for:

a. Retiring one or more small lots which are served by existing road and water mains and are not located in an area of landslide or other geologic hazard with a sum total credit area of at least 1,500 square feet as determined by the Credit Area formula (see Section 7.8.2 of the Malibu LIP); or

b. Retiring a total 1,500 square foot credit area that may be calculated on the basis of 500 square feet of credit area per small lot, provided that each small lot exceeds 4,000 square feet in area and is served by existing roads or water mains within 300 feet of the property and is not located in an area of landslide or other geologic hazard; or

c. One (1) Development Credit for retiring any combination of one or more acres of small lots, regardless of the current availability of road and water service to such lots.

d. Additional credit is not given for lots in small lot subdivisions due to the presence of environmentally sensitive habitat area.

2. In the Monte Nido small lot subdivision, One (1) Development Credit for retiring any two parcels that are contiguous and have road access and water availability.

3. In the Monte Nido small lot subdivision, One (1) Development Credit for retiring any five parcels which are not contiguous or do not have road access or water availability.

E. Lots outside of small lot subdivisions in A and B above but adjacent to Parklands, where proposed building sites are within 200 feet of public parkland such that fuel management will extend onto public lands, defined as lands available for public use and controlled by a public park agency, one (1) Development Credit per lot, up to 20 acres. For lots exceeding 20 acres, one (1) Development Credit for each 20 acres; fractional TDCs can be allowed.

F. For lots within a significant watershed, designated wildlife corridor, or identified as having environmentally sensitive habitat area habitat in Sections 7.7 (C), (D), or (F) of the Malibu LIP, one (1) Development Credit for each parcel, up to 20 acres. For lots over 20 acres, one (1) Development Credit for each 20 acres; fractional TDCs can be allowed.

The right to a TDC credit shall be granted by the Planning Manager's determination that the TDC conditions of development on a coastal development permit have been met prior to the issuance of the permit by submittal of evidence that all of the following steps have been completed for either one of the following two methods. Subsequent to completion of either one of the following two methods, the City shall provide the Executive Director of the Coastal Commission with copies of the required recorded documents to ensure coordination within the region-wide TDC program.

A. Open Space Easement Dedication and the Merging or Recombination of the Retired Lot(s) with One or More Adjacent Developed or Buildable Parcel(s)

1. Evidence of the purchase of development rights on one or more donor sites that have not been previously retired through the City's or Coastal Commission's TDC program (herein the terms "donor site" and "retired lot" are used interchangeably) and recordation with the Los Angeles County Recorder of a valid dedication to a public entity of a permanent, irrevocable open space easement in favor of the People of the State of California over the entirety of the retired lot(s) that conveys an interest in the lot(s) that insures that future development on the lot(s) is prohibited and that restrictions can be enforced, the text of which has been approved pursuant to procedures in Section 13.19 of the Malibu LIP (recorded legal documents). Recordation of said easement on the donor site shall be permanent; and

2. Evidence of recordation with the Los Angeles County Recorder of a voluntary merger or of a deed restriction reflecting that the retired lots used to generate the credit(s) are combined with one or more adjacent lot(s) through a process outlined in Section 7.8.4 of the Malibu LIP, where one of the combined lots has no recorded restrictions on its development rights.

B. Open Space Deed Restriction and Transfer in Fee Title to a Public Entity

1. Evidence of the purchase of development rights on one or more donor sites that have not been previously retired through the City's or Coastal Commission's TDC program and recordation with the Los Angeles County Recorder of an open space deed restriction that applies to the entirety of the donor site(s), that insures that the future development on the lot(s) is prohibited and that restrictions can be enforced, the text of which has been approved pursuant to procedures in Section 13.19 of the Malibu LIP (recorded legal documents); and

2. Evidence that fee title to the donor site has been successfully transferred to a public entity after the recordation of the deed restriction listed in the prior paragraph and that the document effectuating the conveyance has been recorded with the Los Angeles County Recorder.

A. Upon recordation of an easement pursuant to Section 7.8.3(A)(1) of the Malibu LIP, a retired parcel that has qualified to be used for TDC credits shall be combined with an adjacent already developed or buildable parcel(s), or with multiple contiguous parcels, at least one of which has no recorded restrictions on its development rights and all of which are in the same tax rate area and in common ownership. The retired lot and adjacent parcel(s) shall be recombined and unified, and shall henceforth be considered and treated as a single parcel of land for all purposes with respect to the lands included therein, including but not limited to sale, conveyance, lease, development, taxation or encumbrance.

B. The mechanism used to accomplish the combination shall make clear that the single parcel created herein shall not be divided and none of the original parcels shall be alienated from each other or from any portion of the combined and unified parcel hereby created.

C. A deed restriction shall be recorded reflecting restrictions of this section.

D. The combining of lots shall occur through one of the following mechanisms:

1. Voluntary merger of lots pursuant to the Subdivision Ordinance Chapter 15 of the Malibu LIP;

2. Recorded Declaration of Restrictions that includes a legal description and graphic depiction of the parcels being recombined; states that it runs with the land, binding all successors and assigns; and is recorded free of prior liens, including tax liens.

E. The permittee shall provide evidence that a copy of the recorded merger or deed restriction has been provided to the Los Angeles County Tax Assessor with a written request that the assessor's office: (1) revise its records and maps to reflect the combination of the parcels, including assigning a new, single assessor's parcel number (APN) for the unified parcel, and (2) send the City and Coastal Commission notice when it has done so, indicating the new, single APN.

F. The permittee shall provide evidence that the combined parcels appear on a preliminary report (regarding title) as a single parcel (which may require the property owner re-conveying the combined property to him/her/itself, presumably via a quitclaim deed).

G. Any amendments to the Local Implementation Plan authorized by Ordinance No. 340 are hereby suspended by the amendments set forth in subparagraphs (A) and (B) of this section.