City of Rockville
M E M O R A N D U M

November 22, 2000

On December 2, 1998, the Planning Commission reviewed and approved the above referenced application, allowing 620,000 square feet of office and retail development at the northwest quadrant of East Middle Lane and Rockville Pike. The site plan was approved for three 10-story office buildings with 23,000 square feet of street level retail and structured parking above and below grade.

Section 25-193(d) of the Zoning Ordinance requires construction or operation associated with an approved Use Permit to commence within two (2) years of the date of issuance or the permit shall become void. The Planning Commission may grant two (2) extensions, each not exceeding one (1) year each, for good cause shown. The City Attorney has determined that the date of issuance of the Use Permit is January 5, 1999, which is the date of the Use Permit approval letter.

After Use Permit approval, the applicant submitted permits to begin site work on the property. However, due to unforeseen environmental remediation required for the property, the applicant has represented that they have been unable to implement the Use Permit within the time period permitted. Although the applicant has requested a time extension of one year to allow for implementation, the applicant has indicated that construction of the first phase of the development will commence very soon.

In addition to the information previously provided for the November 8 meeting (Attachments 1 - 4), information has subsequently been submitted by the applicant in response to concerns raised by the Commission. These include a summary as well as documentation of the environmental remediation required for the site (See Attachment 7), point-by-point responses to concerns raised by Chairman Giammo and the Planning Commission at its November 8 meeting (See Attachment 8), and information on the tenant that will occupy a portion of the floor area of the first building (See Attachment 9). SAS Institute has signed a letter of intent and joint ownership agreements for Phase I of the project, and also has agreements with the developer for leasing and ownership rights for Phases II and III of the project. Staff notes that the Mayor and Council have agreed to real and personal property tax credits for the tenant for a period of six years (See Attachment 6).

/rjw
Attachments

1. Application Form and Letter of Support
2. Location Map
3. Site Plan and Elevations
4. Approval Letter for USE97-0577
5. Memorandum from Art Chambers, Director
6. Letter from Mayor Krasnow
7. Applicant summary of hazardous materials issues
8. Applicant response to Planning Commission concerns
9. Information about tenant for Rockville Metro Plaza