AGENDA ITEM NO. 17. Interim City Manager: Arnold Shadbehr Dir. Of Planning: Brian James

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1 AGENDA ITEM NO. 17 CITY OF HAWTHORNE CITY COUNCIL AGENDA BILL For the meeting of October 23, 2018 Originating Department: Planning and Community Development Interim City Manager: Arnold Shadbehr Dir. Of Planning: Brian James A request to change the zoning designation of an acre parcel located at Aviation Boulevard (APN ) to remove the Mixed-Use Overlay. The proposal would change the Zoning Map for the property from the Regional Commercial-Mixed Use Overlay (CR-MU) zone to the Regional Commercial (CR) zone. RECOMMENDED MOTION: Approve Ordinance 2167 (Second Reading). NOTICING PROCEDURES: Posting of Agenda Only. FISCAL IMPACT: None. REPORT: A. Background and Introduction The project site is an acre parcel located on the northeast corner of Aviation Boulevard and Marine Avenue (Attachment 1). As shown in Attachment 2, the property contains a six-story office building that was designed in 1966 by Cesar Pelli and Anthony Lumsden of Daniel Mann Johnson & Mendenhall (DMJM) and built in The building is listed on the National Register for Historic Places because it was the first-designed Southern California 1

2 building to utilize a mirrored skin. The office building is 216,102 gross square feet (168,874 usable square feet) with parking for 635 vehicles. The building was the west coast headquarters of the Federal Aviation Administration (FAA) and is now being sold by the U.S. General Services Administration at auction (date to be determined). In terms of the historic zoning designations for the property, the site was zoned for Heavy Industrial (M-2) prior to On September 2, 2002, The City approved Ordinance 1758 that changed the zoning designation from Heavy Industrial (M-2) to Freeway Commercial-Mixed Use (C1-MU). This designation allowed two possibilities: 1) Develop the site for regional, freeway-oriented commercial uses intended to attract large amounts of visitors, such as hotels, regional shopping centers and large office complexes; or 2) develop the site for high-density residential (30 du/ac). On June 14, 2011, the City approved Ordinance 1998, which implemented the Mixed-Use Overlay zone. The Mixed- Use Overlay zone allows two possibilities: 1) develop the site for regional commercial uses per the underlying zone; or 2) develop the site with a combination of commercial and residential uses (30 du/ac). The property is currently zoned Regional Commercial-Mixed Use Overlay (CR- MU) and has a General Plan Designation of Regional Commercial (CR). The existing designations allow either a purely commercial use or a combination of commercial in conjunction with residential uses (30 du/ac). B. Project Description and Analysis As shown on Attachment 3, the proposed project consists of removing the Mixed-Use Overlay (MU) zone from the property. The property would thus be zoned Regional Commercial (CR). The proposed change of zone would accomplish the following: 1. Reflect existing use and development. 2. Allow re-use or redevelopment of the site as a purely commercial use. 3. Eliminate the potential to develop the site with a combination of commercial and residential (30 du/ac) uses. 4. Allow the City to maximize the economic and employment opportunity afforded by a large commercial parcel located on a major intersection that is surrounded by offices and residential uses. 2

3 5. Create direct conformity between the General Plan and Zoning Maps. With approval of the change of zone, both the General Plan and Zoning Maps would designate the property as regional commercial. It should be emphasized that the existing Mixed-Use Overlay zone allows the option to develop a portion of the site with residential uses and does not mandate that residential uses be developed. Under the Mixed-Use Overlay zone, future developers may opt to develop the site in a purely commercial manner using the underlying Regional Commercial zone or can choose to utilize the Mixed-Use Overlay and develop both commercial and residential uses on the site. It should also be emphasized that he underlying Regional Commercial zone that applies to the site today would not change with the proposal and the standards and allowable uses of the Regional Commercial zone would remain unchanged. As of the writing of this report, the auction date has not been set. Consequently, the intended use and/or desired alternations to the property are unknown. At this point, Staff cannot speculate on the exact process for the future use or redevelopment of the site since that will vary depending upon the proposal. For instance, if the future owner desires to simply reuse the building as an office, all that may be required is a business license along with any permits for interior improvements. Whereas the redevelopment of the site would trigger a conditional use permit (CUP) permit process if the floor-area-ratio is greater than 1.0 or the height is greater than two stories. Any alternations to the site will have to comply with the standards and processes of the HMC and the California Environmental Quality Act (CEQA). In addition, any future redevelopment or alterations to the site will be required to address potential impacts to the adjacent residences in terms of the physical design (e.g. landscape buffering, setbacks, location and direction of lighting, traffic, and noise) and operation (e.g. hours of operation, maintenance hours, and special events). Under Federal Law, the listing of a property in the National Register places no restrictions on what a non-federal owner may do with their property up to and including destruction, unless the property is involved in a project that receives Federal assistance, usually funding or licensing/permitting, or if preservation of the building is made a requirement of the sale. The State historic preservation office (SHPO) will also need to be contacted prior to any proposed redevelopment of the site or alteration to the building. C. General Plan Consistency The proposed change of zone is consistent with the following Goals and Policies of the City s General Plan: 3

4 GOAL 1: The City shall expand current efforts to attract and enhance commercial development. POLICY 1.5: The City shall continue to explore and adopt ways to use its assets to promote commercial activity within the City. GOAL 3: A sound local economy which attracts investment, increase tax base, creates employment opportunities for Hawthorne residents and generates public revenues POLICY 3.5: Revitalization of declining commercial and industrial areas through new development, rehabilitation and other means that may be available shall be considered and, if deemed advantageous, implemented. POLICY 3.9: The City shall continue to explore and adopt ways to use its assets to promote fiscal health of the city s government so that vital services are maintained and improved to adapt to changing needs of the citizens and businesses. The Ordinance would ensure that the Zoning Map is consistent with the General Plan Map and that both reflect a desired land use that is commercial in nature. The Ordinance would eliminate the potential to develop a portion of the site as residential and allow the reuse or redevelopment of the 11-acre site located on a major intersection with business uses, such as retail and professional office, which promote the fiscal health of the City, increase employment opportunities in the region, and improve commercial activity. The project site is not located on property that was used to satisfy any portion of the City s Regional Housing Needs Allocation (RHNA). Accordingly, the loss of residential uses that could have been permitted under the Mixed-Use Overlay will not result in a net-loss of affordable housing opportunities and the remaining housing sites identified in the Housing Element are adequate to accommodate the City s share of the regional housing need. D. Planning Commission and City Council Hearings On September 19, 2018, the Planning Commission held a duly noticed public hearing and unanimously adopted PC Resolution (Attachment 4) recommending that the City Council approve Change of Zone application 2018CZ02. The Planning Commission directed Staff to provide them with a future discussion item exploring the creation of a new Mixed-Use Overlay zone with a reduced residential density (e.g. 15 to 20 units per acre instead of 30 units per acre). 4

5 On October 3, 2018, the City Council conducted a duly noticed public hearing and introduced Ordinance E. Environmental Analysis The proposed Change of Zone application constitutes a project within the scope of CEQA and the City s CEQA Guidelines. Staff has determined that the proposed Ordinance is exempt from further review under CEQA. Pursuant to State CEQA Guidelines Section 15305, the proposed Ordinance is covered by a Class 5 Categorical Exemption (Minor Alternations in Land Use Limitations) for actions that do not change the land uses allowed on areas of slopes greater than 20% and do not change allowable land uses in a manner that could create a potentially significant impact on the environment. The Ordinance would change the land use designation on flat land and would remove residential development as a permitted land use on the property. The adoption of this Ordinance will not result in cumulative adverse environmental impacts or any other potentially significant impact described in State CEQA Guidelines Section The Ordinance is therefore exempt from the provisions of CEQA. Upon City Council s action, Staff will file the Notice of Exemption (Attachment 5) with the Los Angeles County Clerk s office in compliance with CEQA. ATTACHMENTS: 1. Vicinity Map 2. Site Photos 3. Existing and Proposed Zoning Map 4. PC Resolution Notice of Exemption 6. Ordinance No

6 ATTACHMENT 1 City of Manhattan Beach City of Hawthorne Marine City of Redondo Beach

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8 City of Manhattan Beach City of Manhattan Beach ATTACHMENT 3 Existing Zoning (CR-MU) Proposed Zoning (CR)

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22 NOTICE OF EXEMPTION TO: County Clerk/Registrar- Recorder County of Los Angeles Environmental Filings East Imperial Highway, Room 2001 Norwalk, CA ATTACHMENT 5 FROM: Planning Department City of Hawthorne 4455 West 126th St. Hawthorne, CA Project Title and Location (including county): Change of Zone 2018CZ Aviation Boulevard - City of Hawthorne, County of Los Angeles Project Description: A request to change the change the Zoning Map from the Regional Commercial- Mixed Use zone (CR-MU) to the Regional Commercial (CR) zone. Name of Public Agency Approving Project: City of Hawthorne Planning Department Name of Person/Agency Carrying Out Project: City of Hawthorne Exempt Status: (Check one) Ministerial (Sec (b)(1); 15268); Declared Emergency (Sec (b)(3); 15269(a)); Emergency Project (Sec (b)(4); 15269(b)(c)); Emergency Project (Sec (b)(4); 15269(b)(c)); Categorical Exemption: Section: Class: 5 Statutory Exemption: Section: Class: Reasons why project is exempt: The proposed change to the Zoning Map and Change of Zone constitute a project within the scope of (CEQA) and the City s CEQA Guidelines. Staff has determined that the proposed ordinance is exempt from review under CEQA. Pursuant to State CEQA Guidelines Section 15305, this ordinance is covered by a Class 5 Project (Minor Alternations in Land Use Limitations) Categorical Exemption for actions that do not change the land uses allowed on areas of slopes greater than 20% and do not change allowable land uses in a manner that could create a potentially significant impact on the environment. The project would change the land use designation on flat land and would remove residential development as a permitted land use on the property. The adoption of this ordinance will not result in cumulative adverse environmental impacts or any other potentially significant impact described in State CEQA Guidelines Section The ordinance is therefore exempt from the provisions of CEQA. Lead Agency Contact Person and Phone Number: Christopher Palmer, AICP Prepared and filed by the Hawthorne Planning Department by: Christopher Palmer, Senior Planner Signature Printed Name and Title Date

23 ATTACHMENT 6 CITY COUNCIL ORDINANCE 2167 AN ORDINANCE OF THE CITY COUNCIL OF HAWTHORNE, CALIFORNIA, ADOPTING A CATEGORICAL EXEMPTION UNDER THE CALIFORNIA ENVIRONMENTAL QUALITY ACT AND APPROVING CHANGE OF ZONE 2018CZ02 CHANGING THE ZONING MAP FOR PROPERTY LOCATED AT AVIATION BOULEVARD FROM THE REGIONAL COMMERCIAL-MIXED USE OVERLAY ZONE (CR-MU) TO THE REGIONAL COMMERCIAL ZONE (CR) AND MAKING FINDINGS IN SUPPORT THEREOF WHEREAS, on July 16, 2018, the City of Hawthorne ( Applicant ) initiated an application requesting to change the zoning of a acre property described in Exhibit A and located at Aviation Boulevard ( Property ) by removing the Mixed-Use Overlay zone; and WHEREAS, Change of Zone 2018CZ02 would result in a change in the Zoning Map from the Regional Commercial-Mixed Use Overlay zone (CR-MU) to the Regional Commercial zone (CR) on the Property as shown on Exhibit B ( Project ); and WHEREAS, land use policies have an immediate and direct impact on economic activity and quality of life within the city; and WHEREAS, the City of Hawthorne seeks to establish a balanced and functional mix of development consistent with the long-range goals, objectives and values of the City through the thoughtful implementation of the General Plan; and WHEREAS, Goal 1 of the Land Use Element states that: The City shall expand current efforts to attract and enhance commercial development; and WHEREAS, Policy 1.5 of the Land Use Element states: The City shall continue to explore and adopt ways to use its assets to promote commercial activity within the City; and WHEREAS, Goal 3 of the Economic Development Element states that: A sound local economy which attracts investment, increase tax base, creates employment opportunities for Hawthorne residents and generates public revenues; and WHEREAS, Policies 3.5 and 3.9 of the Economic Development Element states respectively: Revitalization of declining commercial and industrial areas through new development, rehabilitation and other means that may be available shall be considered and, if deemed advantageous, implemented.; and The City shall continue to explore and adopt ways to use its assets to promote fiscal health of the city s government so that vital services are maintained and improved to adapt to changing needs of the citizens and businesses; and WHEREAS, the Property is currently designated Regional Commercial (CR) on the General Plan land use map and as Regional Commercial-Mixed Use Overlay (CR-MU) on the zoning map. These land use designations allow regional, freeway-oriented commercial development and is intended to

24 accommodate land uses characterized by large amounts of visitors and requiring regional accessibility and visibility such as hotels, regional shopping centers, and large office complexes. The Mixed-Use Overlay allows for residential development in combination with commercial use; and WHEREAS, the Property is located at the northeast corner of Aviation Boulevard and Marine Avenue. In this location, an 11-acre commercial development has substantial economic potential and can be beneficial to the City of Hawthorne; and WHEREAS, for the foregoing reasons, the Project is consistent with Goal 1 and Policy 1.5 of the Land Use Element of the City s General Plan; and WHEREAS, for the foregoing reasons, the Project is consistent with Goal 3 and Policies 3.5 and 3.9 of the Economic Development Element of the City s General Plan; and WHEREAS, pursuant to HMC , the City may amend the boundaries of the zoning map and these changes shall be made by ordinance; and WHEREAS, based upon the information received and Staff s review and assessment, the Project is determined not to have a significant impact on the environment and is categorically exempt from the California Environmental Quality Act ( CEQA ) pursuant to CEQA Guidelines Section 15305; and WHEREAS, the City provided published notice of a public hearing on August 9, 2018, and August 30, 2018, and mailed notices to property owners within a 300 foot radius of the site and the Planning Commission, having heard the merits of the Project, recommended approval of the Project to the City Council; and WHEREAS, the City provided published notice of a public hearing on September 27, 2018, and the City Council held a duly noticed public hearing on the Project on October 9, 2018; and WHEREAS, at the public hearing on October 9, 2018, evidence was heard and presented from all persons in favor of the application, from all persons opposed to the application, and from members of the City staff; and that the City Council having heard and received all of said evidence, testimony, and statements and being fully informed of the application hereby approves Ordinance 2167 approving Change of Zone Application 2018CZ02. THE CITY COUNCIL OF THE CITY OF HAWTHORNE HEREBY FINDS, DETERMINES, RESOLVES, AND ORDAINS AS FOLLOWS: SECTION 1. The City Council finds that all of the facts set forth in the recitals of this Resolution are true and correct. SECTION 2. The City Council considered the proposed change to the City of Hawthorne Zoning Map and Change of Zone. The proposed Change of Zone constitutes a project within the scope of the California Environmental Quality Act (CEQA) and the City s CEQA Guidelines. Staff has determined that Ordinance

25 the proposed ordinance is exempt from review under CEQA. Pursuant to State CEQA Guidelines Section 15305, this ordinance is covered by a Class 5 Project (Minor Alternations in Land Use Limitations) Categorical Exemption for actions that do not change the land uses allowed on areas of slopes greater than 20% and do not change allowable land uses in a manner that could create a potentially significant impact on the environment. The project would change the land use designation on flat land and would remove residential development as a permitted land use on the property. The adoption of this ordinance will not result in cumulative adverse environmental impacts or any other potentially significant impact described in State CEQA Guidelines Section The ordinance is therefore exempt from the provisions of CEQA. Upon City Council s action, Staff will file the Notice of Exemption with the Los Angeles County Clerk s office in compliance with CEQA. SECTION 3. The City Council finds that the Project is consistent with the following goals and policies of the General Plan: 1. Goal 1 of the Land Use Element states that: The City shall expand current efforts to attract and enhance commercial development; and 2. Policy 1.5 of the Land Use Element states: The City shall continue to explore and adopt ways to use its assets to promote commercial activity within the City; and 3. Goal 3 of the Economic Development Element states that: A sound local economy which attracts investment, increase tax base, creates employment opportunities for Hawthorne residents and generates public revenues; and 4. Policy 3.5 of the Economic Development Element states: Revitalization of declining commercial and industrial areas through new development, rehabilitation and other means that may be available shall be considered and, if deemed advantageous, implemented; and 5. Policy 3.9 of the Economic Development Element states: The City shall continue to explore and adopt ways to use its assets to promote fiscal health of the city s government so that vital services are maintained and improved to adapt to changing needs of the citizens and businesses; and 6. The Project would result in consistency between the General Plan and Zoning maps and help grow the employment base and improve the economic and fiscal health of the City. SECTION 4. Based on its independent judgment and analysis, the City Council hereby approves Change of Zone application 2018CZ02, to change the zoning designation for the Property from the Regional Commercial-Mixed Use zone (CR-MU) to the Regional Commercial zone (CR) as shown in Exhibit B. SECTION 5. The documents and other materials that constitute the record of the proceedings upon which the City Council s decision is based, which include, but are not limited to, the staff reports for the Project and all of the materials that support the staff reports for the Project, are located in the office of the Planning Director and the City Clerk s office in the City of Hawthorne, at Ordinance

26 4455 West 126th Street, Hawthorne, California SECTION 6. The City Clerk shall certify to the adoption of this Ordinance and shall forward a copy to the City Council, City Manager and City Attorney. PASSED, APPROVED, and ADOPTED this 23 rd day of October, ATTEST: ALEX VARGAS, Mayor City of Hawthorne, California MONICA DICRISCI, Acting City Clerk City of Hawthorne, California APPROVED AS TO FORM RUSSELL I. MIYAHIRA, City Attorney City of Hawthorne, California Ordinance

27 EXHIBIT A Legal Description Real property in the City of Hawthorne, County of Los Angeles, State of California, described as follows: LOT 5 OF SECTION 20, TOWNSHIP 3 SOUTH, RANGE 14 WEST, IN THE CITY OF HAWTHORNE, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS SHOWN ON THE PARTITION MAP SHOWING PROPERTY FORMERLY OF THE REDONDO LAND COMPANY, AS SUBDIVIDED BY JAMES E. TOWELL, C.A. EDWARDSAND P. P. WILCOX, COMMISSIONERS, SURVEY AUGUST 1897 BY L. FRIEL AND FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, SEPTEMBER 30, EXCEPTING THEREFROM THE WESTERLY 20 FEET. ALSO EXCEPTING THEREFROM THE SOUTHERLY 20 FEET. ALSO EXCEPTING THEREFROM THAT PORTION OF SAID LOT 5 DESCRIBED AS FOLLOWS: BEGINNING AT THE INTERSECTION OF A LINE LYING 20 FEET NORTHERLY OF THE SOUTHERLY LINE OF SAID LOT 5 WITH A LINE LYING 20 FEET EASTERLY OF THE WESTERLY LINE OF SAID LOT 5; THENCE NORTHERLY ALONG SAID LINE LYING 20 FEET EASTERLY OF THE WESTERLY LINE OF SAID LOT 5 A DISTANCE OF FEET; THENCE IN A DIRECT LINE TO A POINT IN SAID LINE WHICH LIES 20 FEET NORTH OF THE SOUTH LINE OF SAID LOT 5 SAID POINT BEING DISTANT EASTERLY ALONG SAID LAST MENTIONED LINE FEET FROM THE ABOVE DESCRIBED POINT OF BEGINNING; THENCE WESTERLY ALONG SAID LINE WHICH LIES 20 FEET NORTH OF THE SOUTH LINE OF SAID LOT 5, FEET TO THE POINT OF BEGINNING. ALSO EXCEPTING THEREFROM ONE-HALF INTEREST IN ALL OIL, GAS, MINERALS AND HYDROCARBON SUBSTANCES IN AND UNDER SAID LAND, AS RESERVED BY PAUL J. HOWARD AND WIFE, IN DEED RECORDED NOVEMBER 5, 1953 AS INSTRUMENT NO. 2809, IN BOOK 43095, PAGE 327 OF OFFICIAL RECORDS, AS AMENDED BY DEED RECORDED DECEMBER 6, 1956 AS INSTRUMENT NO. 469 IN BOOK 53045, PAGE 246 OF OFFICIAL RECORDS. ALSO EXCEPTING THEREFROM THAT PORTION OF SAID LOT 5 DESCRIBED AS FOLLOWS: BEGINNING AT THE INTERSECTION OF A LINE LYING 20 FEET NORTHERLY OF THE SOUTHERLY LINE OF SAID LOT 5 WITH THE EASTERLY LINE OF SAID LOT 5, SAID INTERSECTION TO BE KNOWN AS THE POINT OF BEGINNING; THENCE 490 FEET Ordinance

28 NORTHERLY ALONG SAID EASTERLY LINE OF SAID LOT 5; THENCE 240 FEET WESTERLY ALONG A LINE THAT LIES PARALLEL WITH THE SOUTHERLY LINE OF SAID LOT 5; THENCE 490 FEET SOUTHERLY ALONG A LINE THAT LIES PARALLEL WITH THE EASTERLY LINE OF SAID LOT 5 AND INTERSECTS WITH A LINE THAT LIES 20 FEET NORTHERLY OF THE SOUTHERLY LINE OF SAID LOT 5; THENCE EASTERLY 240 FEET ALONG SAID LINE THAT LIES 20 FEET NORTHERLY OF THE SOUTHERLY LINE OF SAID LOT 5 TO THE POINT OF BEGINNING. ALSO EXCEPTING THEREFROM THAT PORTION LYING NORTHERLY OF THE NORTHERLY LINE AND ITS WESTERLY PROLONGATION OF LOT 1 OF TRACT NO , IN SAID CITY, AS PER MAP FILED IN BOOK 1204, PAGES 51 AND 52 OF MAPS, RECORDS OF SAID COUNTY. ALSO EXCEPTING THEREFROM THAT PORTION LYING NORTHERLY OF THE SOUTHERLY LINE OF SAID LOT 5 DESCRIBED AS FOLLOWS: BEGINNING AT THE INTERSECTION OF AVIATION BOULEVARD, FEET WIDE AND MARINE AVENUE, FEET WIDE, IN THE CITY OF HAWTHORNE, STATE OF CALIFORNIA, THENCE ALONG THE CENTERLINE OF MARINE AVENUE, WHICH IS THE SOUTHERLY BOUNDARY OF THE CITY OF HAWTHORNE, NORTH 89º58 09 EAST, A DISTANCE OF FEET; THENCE NORTH 0º03 06 WEST A DISTANCE OF FEET TO A POINT ON THE NORTHERLY RIGHT-OF-WAY LINE OF MARINE AVENUE AND THE TRUE POINT OF BEGINNING. FROM THE TRUE POINT OF BEGINNING, SAID POINT ALSO BEING THE BEGINNING OF A TANGENT CURVE, CONCAVE NORTHEASTERLY WITH A RADIUS OF FEET, THENCE WESTERLY, NORTHWESTERLY AND NORTHERLY ALONG SAID CURVE THROUGH AN ANGLE OF 90º00 00 AND AN ARC-LENGTH OF FEET TO A POINT ON A LINE THAT IS PARALLEL WITH AND DISTANT FEET, MEASURED AT RIGHT ANGLES, FROM THE CENTERLINE OF SAID AVIATION BOULEVARD; THENCE NORTH 0º03 06 WEST A DISTANCE OF FEET TO A POINT AT THE BEGINNING OF A TANGENT CURVE CONCAVE NORTHEASTERLY WITH A RADIUS OF FEET, THENCE SOUTHERLY, SOUTHEASTERLY AND EASTERLY ALONG SAID CURVE THROUGH AN ANGLE OF 90º00 00 AND AN ARC-LENGTH OF FEET TO A POINT ON A LINE THAT IS PARALLEL WITH AND DISTANT FEET, MEASURED AT RIGHT ANGLES, FROM THE CENTERLINE OF SAID MARINE AVENUE; THENCE NORTH 89º58 09 EAST A DISTANCE OF FEET; THENCE SOUTH 0º02 13 EAST A DISTANCE OF FEET; THENCE SOUTH 89º58 09 WEST ALONG THE NORTHERLY LINE OF INSTRUMENT NO. 4181, RECORDED 10/20/1961, OFFICIAL RECORDS OF LOS ANGELES COUNTY, A DISTANCE OF FEET TO THE TRUE POINT OF BEGINNING. APN: Ordinance

29 City of Manhattan Beach City of Manhattan Beach EXHIBIT B Existing Zoning (CR-MU) Subject Property Proposed Zoning (CR) Subject Property Ordinance