the Board of Adjustment of the City of University Park, Texas v. Legacy Hillcrest Investments, LP

Court of Appeals of Texas·Decided December 9, 2014·No. 05-13-01128-CV·Published

Opinion

Reverse and Render and Opinion Filed December 8, 2014

S

Court of Appeals

In The

Fifth District of Texas at Dallas No. 05-13-01128-CV

THE BOARD OF ADJUSTMENT OF THE CITY OF UNIVERSITY PARK, TEXAS, Appellant

V.

LEGACY HILLCREST INVESTMENTS, LP, Appellee

On Appeal from the 191st Judicial District Court Dallas County, Texas

Trial Court Cause No. 11-15353

MEMORANDUM OPINION

Before Justices Francis and Myers and Chief Justice Thomas, Ret.1 Opinion by Justice Francis The Board of Adjustment of the City of University Park, Texas, appeals the trial court’s

judgment in favor of Legacy Hillcrest Investments, LP. In three issues, the Board claims the trial court erred by (1) reversing the Board’s decision regarding the City’s zoning ordinance, (2) finding violations of the Texas Open Meetings Act and granting a permanent injunction against the Board to prohibit future violations of the same, and (3) awarding Legacy attorney’s fees. We reverse the trial court’s judgment.

Legacy is a Texas limited partnership that owns land at 3410-3412 Haynie Street in the City. The two lots are located south of a planned development known as Snider Plaza and north

of a single-family district. The Southern Methodist University law school lies to the east of the 1 The Honorable Linda Thomas, Chief Justice of the Court of Appeals for the Fifth District of Texas—Dallas, Retired, sitting by assignment.

lots, and a multifamily lot borders them to the west. The lots are zoned O for office, P for Parking, and MF for multifamily.

Legacy has sought, on various occasions, to develop the property by rezoning the lots as PD or planned development. In 2001, Legacy proposed a 270,500-square-foot building for office, restaurant, and bank use, along with the City library and YMCA, with an underground parking garage structure. The Planning and Zoning Commission denied the request. In 2006, Legacy requested a zoning change to PD, presenting a concept plan for a 320,000-square-foot building for restaurant, retail, office, hotel, bank, library, and multifamily use along with eight single-family use units with an underground parking structure. In response to opposition from the area residents and the City, Legacy reduced the square footage of the building to 312,000 square feet, and later to 260,000 square feet. Again, the Planning and Zoning Commission denied the request. Shortly thereafter, Legacy submitted a request for an amended plan for 217,500 square feet plus eight single-family homes with underground parking. Although the Planning and Zoning Commission voted to approve a PD plan with a total of 135,000 square feet, excluding the eight homes, Legacy withdrew its application. In 2009, Legacy again proposed rezoning the lots as PD with a proposed building not to exceed 435,000 square feet, including an above-ground parking garage. The City Council agreed to grant a total of 136,000 square feet for the entire development; this resolution was later rescinded at Legacy’s request.

In 2011, Legacy sought a change of zoning of only the parking and office portions of the lots to PD for a 150,000-square-foot mixed-use development to include a hotel, one single- family unit, offices, and retail use with “parking below grade.” The Planning and Zoning Commission approved the proposal, subject to a maximum total square footage of 135,000; the proposal was referred to the City Council for approval. At the hearing, Legacy stated it supported the 135,000-square-foot proposal recommended by the Planning and Zoning

Commission but that it was the “bottom-line level of density and subsurface parking that can realistically be built and still allow a quality development.” Legacy cautioned that if it were denied its rezoning request and limited to building under the existing zoning designation of office, the maximum size development would be 108,000 square feet, which would require a three-level, above-ground parking garage to meet the requirements of the code because subsurface parking spaces would not be economically feasible for a 108,000-square-foot development. At the October 4, 2011 City Council meeting, Legacy issued the following statement:

[We have] tried to create an acceptable development proposal that will benefit all parties. . . [We] understand from an earlier Council statement that the Council is going to deny the application today. . . Legacy currently plans to develop under existing zoning which will include a thirty-five foot parking garage, which . . . is the only economically feasible option to redevelop the site. . . [T]he city has made clear for the past ten years that above-grade parking is allowed under existing zoning and Legacy Hillcrest has proceeded in good faith under those assurances.

Following this statement, the City Council voted to deny the application.

While the fourth PD application was pending, Legacy also sought a permit to allow for construction of an above-ground, multi-level parking garage only on the portion of the Haynie lot zoned P, Parking District. Robert Lee Corder III, director of community development for the City, and his department reviewed the application for compliance with the zoning ordinances, including section 23-101, entitled “P, Parking District.” That section states “[o]nly surface parking lots may be located adjacent to a Single-Family District.” After concluding the Haynie tract was not adjacent to a single-family district, despite sharing a district boundary line, the community development staff approved and prepared to issue the permit. An appeal was timely filed and, following a public hearing, the Board denied the permit.

Rather than appeal the Board’s decision to the City Council, Legacy filed a writ of certiorari in district court. TEX. LOC. GOV’T CODE ANN. § 211.011 (West 2008). After a three-

day hearing, the trial court found the Board erred by overturning Corder’s interpretation of the zoning ordinance, concluded the Board’s actions were “arbitrary and capricious, an abuse of discretion and . . . not supported by the law or evidence,” and reversed the Board’s decision. The trial court also found the Board committed four violations of the Texas Open Meetings Act, issued a permanent injunction against future violations, and awarded attorney’s fees to Legacy. This appeal followed.

In its first issue, the Board contends the trial court erred by reversing the Board’s decision that the proposed parking garage was not allowed under the City’s zoning ordinance. Under this issue, the Board argues it has the power to interpret and apply the zoning ordinance and is not required to defer to staff views or opinions. The Board also contends the P-zoned lot is adjacent to a single-family district and, therefore, a multi-level parking garage may not be built there under the City’s zoning ordinance. In response, Legacy argues that “adjacent” unambiguously means “contiguous” and section 23-101 permits a multi-level parking lot as long as the parking garage structure itself does not touch the single-family district boundary line. Legacy also argued that the parking structure is not adjacent to a single-family district because the distance from any single-family structure to the walls of a parking structure would be at least one hundred feet.

We apply the same rules to construe municipal ordinances as those used to construe statutes. Bd. of Adjustment of City of San Antonio v. Wende, 92 S.W.3d 424, 430 (Tex. 2002); Baird v. City of Melissa, 170 S.W.3d 921, 924−25 (Tex. App.―Dallas 2005, pet. denied). Our objective in construing the zoning ordinance provisions at issue is to discern the City’s intent. See Fitzgerald v. Advanced Spine Fixation Sys., Inc., 996 S.W.2d 864, 865 (Tex. 1999). We rely on the plain meaning of the text as expressing this intent unless a different meaning is supplied by definition or is apparent from the context, or the plain meaning leads to absurd results. Tex.

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