Joel Belding
Economic Development Director
November 19, 2025
Amortization Process
Non-Conforming Uses
in the Downtown Specific Plan
Ask
That the City Council provide direction on an
amortization process for non-conforming uses
in the Downtown Revitalization area
Downtown Revitalization Strategies
• 2022 Plan identifies roughly a
dozen broad strategies to
revitalize Downtown Corona
• Additional tools are available to
assist with goals
• This item is one more “tool in
the toolkit” for revitalization
3 Enhanced Safety Design Guidelines Housing Funding
Select Non-Conforming Uses in DTSP
4 Car Washes
Vehicle Rentals Car Repair Car Sales
Motels Massage
Why these uses?
• Uses that may be a deterrent to new investment
• Building form/appearance that may be inconsistent with intent for Downtown • Uses that generate higher calls for service or may have higher likelihood for criminal activities
5 Example: Auto Repair
6 Example: Auto Uses on Sixth Street
• 14 Auto Service, Repair, and Tire Store uses on Sixth Street • These use present compatibility issues with new development. • No longer permitted within the Downtown Specific Plan boundaries - “Nonconforming Uses” 7 Examples: Auto Sales
8 Example: Car Washes
9 Example: Motels
10 Amortization
Phase out uses over
time
Acquisitions
Buy out the use,
either voluntary or
through
condemnation
Market:
Land Value and
Market Conditions
determine longevity
Nonconforming Uses
11 What is Amortization?
• A zoning tool used to phase out legally established but now nonconforming land uses.
• Allows property owners a “grace period” to recoup investment before discontinuing the use.
• Considered a constitutionally valid alternative to immediate elimination with compensation.
12 Legal Framework
Options to end nonconforming uses:
• Pay just compensation for immediate termination.
• Provide a reasonable amortization period (no
compensation required).
• Backed by California case law (e.g., Gage, United Business, Metromedia).
• Must meet due process and reasonableness standards.
Reasonableness Determination
•Incongruity with surrounding land uses.
•Economic impacts: cost, investment, salvage value.
•Lease terms, adaptability, and useful life of structures. •Public harm from continued operation.
•Case-by-case determination required.
13 Amortization Ordinance
Components
•Intent and Purpose Statement.
•Triggers for Immediate Termination.
•Process for targeted application (nondiscriminatory basis). •Administrative hearing and appeal procedures.
•Notice to future owners via recordation.
Example:
• Purpose – to improve aesthetics and create vibrant pedestrian friendly environment free of incompatible uses
• Process – set a predetermined phase out schedule – e.g. 10 years
• Admin hearing / appeal – shall have 60 days to appeal to City Council
• Notice – a notice will be recorded on properties that nonconforming uses are not allowed and that the established phase out timeframe will be enforced.
* Current rules for non-conforming uses such as 180 days of nonuse or substantial destruction remain in effect 14 Ordinance Enforcement
• Notice at end of amortization period with enforcement timeline. • Option to apply for limited extensions based on amortization factors. • Enforcement tools: City Attorney authority, nuisance abatement process. • Goal: Fair implementation while protecting community interests. 15 Pros:
• Tested method for changing land
use in key areas of cities
• No direct costs for City
• Phases out uses over
appropriate length of time
• Allows for businesses and
landowners to plan for
transitions
• Allows for case by case reviews
Pros/Cons
16 Cons:
• Possible legal challenges from
individual businesses
• Transition of displaced business
• Long term process
Amortization Options:
17 Process
Timeframe
Triggers for Immediate
Termination.
Process for targeted
application (nondiscriminatory basis).
Appeal procedures.
Possible Uses
Auto Repair
Auto Sales
Car Washes
Motels
Vehicle Rentals
Gas Stations
Fast Food Restaurants
Massage Parlors
Next Steps
• Direction from Council on:
• which non-conforming uses to amortize
• amortization schedule
• Modification to building or use to avoid process
• Draft ordinance, review reasonableness standard, etc. • Bring to council for final consideration.
• Work with identified businesses and property owners
18 Ask
Should staff develop an Amortization process
for non-conforming uses in the Downtown
area?