200 S. Anaheim Blvd.
Suite #162
Anaheim, CA 92805
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CITY COUNCIL AGENDA REPORT
City of Anaheim
PLANNING AND BUILDING DEPARTMENT
DATE: FEBRUARY 24, 2026
FROM: PLANNING AND BUILDING DEPARTMENT
SUBJECT: WYNDHAM HOTEL DENSITY MODIFICATION
DEVELOPMENT APPLICATION NO. 2024-00058
ATTACHMENT (Y/N): YES ITEM # 21
GOVERNMENT CODE § 84308 APPLIES: YES
RECOMMENDATION:
That the City Council take the following actions:
1. By Resolution, approve and adopt the Initial Study and Mitigated Negative Declaration (IS/MND) and Mitigation Monitoring Program (MMP) No. 395, and that the City Council determine that the IS/MND and MMP No. 395 prepared for the Project in compliance with the California Environmental Quality Act (CEQA) are adequate to serve as the appropriate environmental documentation for the Project and that no further environmental documentation need be prepared for CEQA for the Project (Attachment 1);
2. By Resolution, approve an amendment to the General Plan Land Use Element to create a new density category, “Medium Density (Modified B)” for the ARSP (Attachment 2);
3. By Ordinance, adoption of Amendment No. 18 to the Anaheim Resort Specific Plan No. 92-2 (SP 92-2) and Chapter 18.116 (Anaheim Resort Specific Plan No. 92-2 (SP 92-2) Zoning and Development Standards) of Title 18 of the Anaheim Municipal Code to create a new density category “Medium Density (Modified B) (Attachment 3); and
4. By Resolution, approve an administrative adjustment for a 28% reduction in Code-required parking for The Wyndham Hotel (Attachment 4).
DISCUSSION:
Background
The subject property is approximately 0.97 acres and is developed with an existing hotel, The Wyndham Hotel. The Wyndham Hotel was originally approved by the City in 1995 and allowed for the development of a four-story, 72-room suite-type hotel with two- Wyndham Hotel Density Modification Development Application No. 2024-00058 February 24, 2026
bedroom suites, a guest lobby, hotel employee office space, and other back of house uses. The site is located within the Commercial Recreation (C-R) District of the ARSP and is within the Low- Medium Density category. This density category allows development of up to 75 rooms per acre or per parcel, whichever is greater.
The General Plan designates the project site for Commercial Recreation land use. In addition, General Plan Figure LU-5 designates this property as being within an area of the City with special density limitations, as described in Table LU-4 of the General Plan. This table limits the property’s development intensity in accordance with the density limitations in the ARSP. Surrounding land uses include existing hotels to the east and south across Katella Avenue, commercial uses to the west, and a vacant parcel and additional hotels to the north.
In 2024, a Code Enforcement case was opened after a transient occupancy tax (TOT) audit found that the property owner was paying TOT for a total of 105 rooms, not the 72 rooms that were originally approved for the hotel. After additional research, staff found that the two-bedroom suites were converted to individually-keyed hotel rooms and two larger suites were converted to manager’s units. Additionally, changes had been made to areas on the first floor that converted existing lobby, storage, and employee offices into new meeting rooms and a restaurant that are open to the public, for a total increase of 6,394 square feet of space for accessory uses that are available to the public.
The applicant is requesting the necessary approvals to permit and retain the additional hotel rooms and accessory uses.
Planning Commission
On December 1, 2025, the Planning Commission recommended that the City Council take the following actions on a 7-0 vote:
1. Approve and adopt the Initial Study and Mitigated Negative Declaration (IS/MND) and Mitigation Monitoring Program (MMP) No. 395, and that the City Council determine that the IS/MND and MMP No. 395 prepared for the Project in compliance with the California Environmental Quality Act (CEQA) are adequate to serve as the appropriate environmental documentation for the Project and that no further environmental documentation need be prepared for CEQA for the Project (Resolution No. PC2025-041);
2. Approve an amendment to the General Plan Land Use Element to create a new density category, “Medium Density (Modified B)” for the ARSP (Resolution No. PC2025-042);
3. Introduce and adopt an ordinance approving Amendment No. 18 to the Anaheim Resort Specific Plan No. 92-2 (SP 92-2) and Chapter 18.116 (Anaheim Resort Specific Plan No. 92-2 (SP 92-2) Zoning and Development Standards) of Title 18 of the Anaheim Municipal Code to create a new density category “Medium Density (Modified B); and
4. Approve an administrative adjustment for a 28% reduction in Code-required parking for The Wyndham Hotel (Resolution No. PC2025-043).
Wyndham Hotel Density Modification Development Application No. 2024-00058 February 24, 2026
A copy of the Planning Commission staff report and draft minutes are included as Attachments 5 and 6, respectively.
Following the Planning Commission meeting, staff provided notice of public hearing for the January 27, 2026 City Council meeting. Staff subsequently identified an error in the notice that required revision and a new notice for the February 24, 2026 meeting was distributed.
Proposal
The applicant proposes a General Plan Amendment, Specific Plan Amendment with an amendment to the Zoning Code, and Administrative Adjustment for a reduction in Code-required parking to permit and retain the additional hotel rooms and accessory uses, for a total of 107 rooms and 6,394 square feet of accessory uses.
Additional Hotel Rooms and Accessory Uses
As previously described, the existing hotel was approved with 72 rooms, some of which were dual suites with two bedrooms and two bathrooms. Interior modifications were made to create individually-keyed hotel rooms with the addition of an exterior door and closure of an internal connecting door between the rooms, resulting in an increase of 29 rooms from the maximum 78 room count that was previously analyzed in the SEIR No. 340. Figure 1 below shows an example of a series of rooms, highlighting the modifications.
FIGURE 1. Floor Plan
At some point in time, two of the larger suites were converted into manager’s units. The Code allows for one manger’s unit for hotels in the ARSP; therefore, the applicant proposes to revert one of the manager’s units back to a standard, keyed hotel room, for a total of 107 rooms.
Additional unpermitted modifications were made to convert portions of the guest lobby area, storage, and offices on the first floor to meeting rooms and a restaurant that is open to the public.
The Code states that any accessory use that is not identified as strictly for the use of hotel guests or employees shall reduce the otherwise maximum permitted hotel density at the rate of one hotel Wyndham Hotel Density Modification Development Application No. 2024-00058 February 24, 2026
room per 600 gross square feet of accessory use. Based on this requirement and the existing 6,394 square feet of accessory uses, the proposed project would result in a total density of 118 hotel- equivalent rooms.
The building footprint, overall square footage, site access, and on-site parking did not change from the previously-approved project and would remain as is. No new construction is proposed as part of this request; however, the applicant will be required to obtain building permits for the unpermitted work. Project plans are provided as Attachment 7.
Reduction in Code Required Parking
Based on the number of hotel rooms and square footage of accessory uses, 137 parking spaces are required for the project; however, 98 spaces are currently provided on-site. Pursuant to Section
18.62.040.020.0202.02 of the Code, a deviation of parking requirements of up to 50% can be approved through an Administrative Adjustment for hotels and motels within the Resort area, provided that dedicated parking and loading for Transportation Network Company (“TNC”) vehicles is provided. As shown on the site plan provided in Attachment 5, the hotel provides for loading and unloading in a surface space adjacent to the front hotel entrance. In addition, the applicant conducted a parking survey (Attachment 8) that surveyed the number of occupied spaces throughout the day during a typical weekday and weekend, which observed a maximum of 79 spaces out of the 98 spaces available as occupied during the weekend peak hour, which occurred on a Saturday at 10 p.m.
Required Project Entitlements
In order to retain the additional hotel rooms and accessory uses, the following discretionary actions are requested:
General Plan Amendment: The applicant requests an amendment to Table LU-4 of the Land Use Element to create a new density category, “Medium Density (Modified B)” for the Anaheim Resort Specific Plan (ARSP). The General Plan designates the project site for Commercial Recreation land use. In addition, General Plan Figure LU-5 designates this property as being within an area of the City with special density limitations described in Table LU-4 of the General Plan. This table limits the property’s development intensity in accordance with the density limitations in the ARSP. The “Medium Density (Modified B)” category would allow for 107 hotel rooms with 6,394 square feet of accessory use. Specific Plan Amendment: The applicant requests Amendment No. 18 to the ARSP to create a new density category “Medium Density (Modified B)”. This amendment would add a “Medium Density (Modified B)” category to ARSP Exhibit 3.3-2 (Commercial Recreation (C-R) Development Density Plan) and depict the new designation on the subject property. Likewise, the request would amend the text in ARSP Section 3.3.2 (Commercial Recreation (C-R) District Development Density) and Anaheim Municipal Code Section
18.116.060.020, Table 116-B (Hotel/Motel Room Density) to add the Medium Density (Modified B) category.
Administrative Adjustment: The applicant also requests an Administrative Adjustment to allow a 28% reduction in the number of parking spaces required by the Code.
Wyndham Hotel Density Modification Development Application No. 2024-00058 February 24, 2026
The applicant’s letter of request and justification letters for the General Plan Amendment and Specific Plan Amendment are provided as Attachment 9.
Findings and Analysis:
General Plan Amendment: Before the City Council may approve a General Plan Amendment, it must make a finding of fact that the evidence presented shows that all of the following conditions exist:
1) The proposed amendment maintains the internal consistency of the General Plan; The proposed amendment to the General Plan would not create inconsistencies with applicable goals and policies. The land use designation would remain as Commercial Recreation, which the existing hotel use is consistent with. Table LU-5 would be updated to create a new density category of “Medium Density (Modified B)”, which would allow for a total of 107 rooms and 6,394 square feet of accessory uses, consistent with the mix of uses for the property.
2) The proposed amendment would not be detrimental to the public interest, health, safety, convenience or welfare of the City;
The proposed amendment would not be detrimental to the public interest, health, safety, convenience or welfare of the City. All modifications are interior improvements, and the remainder of the site would not change. Potential project impacts were analyzed under the Initial Study, which concluded that all potential impacts could be mitigated. The existing site was designed and constructed to meet City requirements and provides adequate access and on-site parking. The applicant would be required to obtain building permits for the changes to the hotel room configurations and changes to the accessory uses on the first floor, ensuring compliance with applicable Building Code requirements. 3) The proposed amendment would maintain the balance of land uses within the City; and The proposed amendment would maintain the balance of land uses within the City, would allow for an increase in hotel room density for the subject parcel and would create a new density category within the ARSP. There would be no change to the existing hotel use, which is consistent with the C-R designation and the surrounding uses in The Resort area. 4) If the amendment is to the General Plan Land Use Map, the subject property is physically suitable to accommodate the proposed modification, including but not limited to, access, physical constraints, topography, provision of utilities, and compatibility with surrounding land uses.
The subject property is physically suitable to accommodate the proposed modification, including but not limited to, access, physical constraints, topography, provision of utilities, and compatibility with surrounding land uses. The proposed amendment would not change the General Plan Land Use Map; rather, it would update the development intensity for the subject parcel. The City established the density provisions for the ARSP largely in consideration of infrastructure capacity. The IS/MND prepared for the project concludes that the infrastructure capacity is sufficient to accommodate the proposed density increase.
Wyndham Hotel Density Modification Development Application No. 2024-00058 February 24, 2026
Therefore, staff recommends that the City Council approve the General Plan Amendment.
Specific Plan Amendment: Before the City Council may approve a Specific Plan Amendment, it must make a finding of fact that the evidence presented shows that all of the following conditions exist:
1) That the property proposed for the specific plan has unique site characteristics, such as topography, location or surroundings, that are enhanced by special land use and development standards;
The property proposed for the Specific Plan Amendment and re-designation of the property to the Medium Density (Modified B) density category has unique site characteristics and surroundings, as it is located in The Anaheim Resort, the only area of the City designated by the General Plan for Commercial Recreation land use, and specifically designated for tourist and visitor-serving uses. The ARSP is one of three specific plans within The Anaheim Resort that implement the General Plan’s Commercial-Recreation land use designation. The proposed amendment would not change the boundaries of the existing ARSP or make any changes to the development standards that implement this designation. 2) That the specific plan is consistent with the goals and policies of the General Plan, and with the purposes, standards and land use guidelines therein; The proposed amendment to the ARSP is consistent with the proposed amendment to the General Plan, as described above. The Specific Plan Amendment is also consistent with the purposes, standards and land use guidelines of the General Plan, subject to the approval of the proposed General Plan Amendment.
3) That the specific plan results in development of desirable character that will be compatible with existing and proposed development in the surrounding neighborhood; The proposed amendment would not result in any new development, as the modifications to the hotel have already been completed. All construction that occurred is limited to interior of the building and the exterior of the site would remain the same. The existing hotel is compatible with the surrounding tourist-oriented area. 4) That the specific plan contributes to a balance of land uses throughout the City; and The proposed amendment maintains and contributes to the balance of uses within the City by encouraging tourist and entertainment related industries in an area of the City specifically designated for this type of use, but at a higher density. The amendment would allow the retainment of the additional individually-keyed rooms and accessory uses, which contribute to the mix of uses within the ARSP.
5) That the specific plan respects environmental, aesthetic and historic resources consistent with economic realities.
The proposed amendment respects environmental and aesthetic, and historic resources consistent with economic realities as the potential environmental impacts associated with Wyndham Hotel Density Modification Development Application No. 2024-00058 February 24, 2026
the proposed project and the increase in density were analyzed in the IS/MND. There are no proposed changes to the exterior of the building or site.
Therefore, staff recommends that the City Council approve the Specific Plan Amendment.
Administrative Adjustment: Before the City Council may approve an Administrative Adjustment, it must make a finding of fact that the evidence presented shows that all of the following conditions exist:
1) The adjustment is consistent with the purposes and intent of the Zoning Code; The Code permits a deviation of up to 50% from the Code-required parking for hotels within The Resort through an administrative adjustment if designated loading spaces are provided for TNC vehicles. Based on the proposed increase in the number of hotel rooms and accessory uses, 137 spaces are required per Code while 98 spaces are provided, representing a 28% reduction in Code-required spaces. The hotel provides for loading and unloading space in the surface stalls located directly adjacent to the hotel entrance and have designated space for TNC vehicle parking and loading. Therefore, the request for the administrative adjustment for a 28% reduction is consistent with the purpose and intent of the Zoning Code.
2) The same or similar result cannot be achieved by using provisions in the Zoning Code that do not require the adjustment; and
Due to the existing hotel development on the property, additional parking cannot be achieved on-site. The hotel is an existing permitted use, and with the approval of the Specific Plan Amendment for increased density, the hotel would be consistent with the allowable use for the site.
3) The adjustment will not produce a result that is out of character or detrimental to the neighborhood.
The applicant conducted a parking survey at the project site on Monday, March 3, 2025; Friday, March 7, 2025; and Saturday, March 8, 2025, between the hours of 7 a.m. and 11 p.m. The maximum number of spaces used at any one time was 79 spaces, which occurred at 10 p.m. on Saturday, March 8, 2025, which is less than the 98 spaces provided. The parking survey was conducted when the hotel was already operating with the increase in hotel rooms and accessory uses under normal conditions. Lastly, staff has not received any complaints regarding parking from the surrounding business owners. The hotel has been operating with the additional rooms and accessory uses for several years and therefore, it can be assumed that adequate parking is provided on-site for the existing mix of uses and would not be a detriment to the surrounding neighborhood.
Therefore, staff recommends that the City Council approve the Administrative Adjustment.
Environmental Impact Analysis:
In 1994, the ARSP Environmental Impact Report (EIR) No. 313 was certified by the City as the environmental documentation for the adoption of the ARSP. At the time that The Wyndham Hotel was approved, EIR No. 313 was used for environmental compliance for such approval, where the Wyndham Hotel Density Modification Development Application No. 2024-00058 February 24, 2026
City found that the hotel’s environmental effects fell within the impacts analyzed in EIR No. 313 and as such, no further CEQA analysis was required.
In 2021, the City Council certified SEIR No. 340 for Amendment No. 14 of the ARSP, which included a General Plan Amendment, Specific Plan Amendment, Zoning Code Amendment, and updates to the Identity Program and Public Realm Landscape Program. Amendment No. 14 allowed for an increase in permitted density for the expansion of the Anaheim Convention Center; streamlining development standards, guidelines, and requirements to reduce redundancy; and an overall update to referenced documents to reflect current conditions within the Anaheim Resort.
SEIR No. 340 is a supplemental EIR that reevaluated all the environmental changes that have occurred in and around the Anaheim Resort since the certification of EIR No. 313. When SEIR No. 340 was certified, the project site was 1.04 acres, which allowed for a maximum buildout of 78 rooms for the project site. As such, SEIR No. 340 analyzed the potential impacts up to 78 rooms for the project site, instead of the 72 rooms originally approved. Subsequently, additional public right-of-way dedication along the street frontage of West Katella Avenue has reduced the parcel size to the current size of 0.97 acres.
Because the request exceeds the 78 rooms originally analyzed for the site, an IS/MND has been prepared to evaluate the environmental impacts of the project and to identify necessary mitigation measures (Attachment 10). The IS/MND was circulated to public agencies, interested parties, and the general public as required. On October 15, 2025, a notice was mailed for a 20-day comment period. Staff received one letter from Garden Grove, which provided informational references to the Resort sewer deficiency areas, and did not warrant a response, as the proposed project does not include an increase in fixture counts or bathrooms. After the notice was mailed out to required parties, the notice was posted at the Orange County Clerk’s Recorder Office on November 7, 2025, thereby reopening the public review period from November 7, 2025 to November 28, 2025. Staff did not receive any additional comments after the posting at the Orange County Clerk’s Recorder Office.
Previously-certified EIR No. 313 and SEIR No. 340 analyzed the environmental impacts associated with implementation of the ARSP, including the hotel densities identified in the ARSP.
Therefore, all applicable mitigation measures from MEIR No. 313 and SEIR No. 340 have been included in Mitigation Monitoring Program (“MMP”) No. 395 (Attachment 11) applicable to the project. Staff has incorporated these measures by reference in the conditions of approval in the attached draft resolutions. With implementation of these measures, project impacts were determined to be reduced to levels considered less than significant and as such, the IS/MND concluded that there are no remaining potentially significant adverse impacts related to the project.
CONCLUSION: The proposed project is consistent with the goals and policies of the ARSP by maintaining additional accommodation options for visitors to the resort area. The project would allow an increase in hotel density and accessory uses for the existing hotel, which has been operating with the requested increase in density for several years. The City has thoroughly analyzed the additional density and determined that it could be accommodated through the existing infrastructure. Therefore, staff recommends approval of the requested increased density and accessory uses for The Wyndham Hotel.
Wyndham Hotel Density Modification Development Application No. 2024-00058 February 24, 2026
IMPACT ON BUDGET:
There is no budgetary impact. The costs associated with this hearing will be incurred by the project applicant.
Respectfully submitted,
Heather Allen
Planning and Building Director
Attachments:
1. Resolution for Mitigated Negative Declaration
2. Resolution for General Plan Amendment
3. Ordinance for Specific Plan Amendment
4. Resolution for Administrative Adjustment
5. Planning Commission Staff Report dated December 1, 2025 (without attachments)
6. Draft December 1, 2025 Planning Commission Minutes
7. Project Plans
8. Parking Survey
9. Letter of Request and Justification Letters
10. Initial Study/Mitigated Negative Declaration
11. Mitigation Monitoring Program No. 395