STUDY STUDY SESSION MEMORANDUM 5.1
TO: Mayor and Town Council August 11, 2026
SUBJECT: Outdoor Restaurant Seating Update
BACKGROUND
This staff report evaluates the next steps for allowing two categories of outdoor restaurant seating to continue operating: (1) on-street parklets located within the public right-of-way; and (2) expanded outdoor seating areas located on private property. Both programs were initially established in response to the COVID-19 pandemic and have since been extended twice by the Town Council. Unless further action is taken, the current regulations will expire on January 2, 2027.
On June 9, 2026, the Town Council held a study session to review options for the program.
At the conclusion of the study session, the Council provided direction regarding the future of the program. The following is a summary of the Town Council’s direction and recommended implementation steps. Implementation will require amendments to the Town’s Downtown Business District Ordinance, which will require review and approval by the Planning Commission and Town Council.
DISCUSSION
A. On-Street Parklets (Public)
The Town Council directed that restaurants be allowed to continue providing outdoor seating within on-street parklets on a permanent basis. Under this direction, restaurants may continue to use existing parklets, subject to the following requirements:
1. Use of public rights-of-way would be subject to the execution of a lease agreement and the payment of an annual fee as established by the Town Council, with an annual inflationary adjustment as necessary. In determining an annual fee payment amount, the Town reviewed current lease rates for restaurants in the downtown area and found that the average lease rate is approximately $51.00-$56.00 per square foot per year.
Since outdoor seating space cannot be used as consistently as indoor space, the Town would charge just 25 percent of the interior rate for outdoor seating. If the Town chose the lower end of the lease rate range, this would result in an annual payment of $2,244 Temporary Outdoor
Restaurant Seating Program 2 August 11, 2026
per yearfor a parklet occupying one on-street parking space, which is the fee currently being charged.
Danville Parklet Lease Cost Table
Assuming $51 per square foot per year, the reduced lease rate is 25% of that annual rate.
Size of
Parklet
Total Square
Feet
Annual Cost at
$51/sq. ft.
Monthly Cost at
$51/sq. ft.
Annual Cost at
25% Lease Rate
Monthly Cost at
25% Lease Rate
1 space 176 sq. ft. $8,976 $748 $2,244 $187
2 spaces 352 sq. ft. $17,952 $1,496 $4,488 $374
3 spaces 528 sq. ft. $26,928 $2,244 $6,732 $561
Note: The 25% lease rate equals $12.75 per square foot annually.
The Town surveyed fees charged by other Bay Area jurisdictions for the use of public rights-of-way for outdoor dining and seating. Based on this comparison, the Town’s proposed fee is generally consistent with the amounts charged by other cities for the use of approximately 176 square feet of public space.
Bay Area Restaurant Parklet Fees
Estimated charges for a standard 176-square-foot parklet (approximately one 8-foot-by22-foot parking space) City Fee methodology Annual charge for a 176-
sq.-ft. parklet
Approx. monthly
equivalent
Walnut Creek $48 per sq. ft. annually $8,448 $704
Palo Alto $10.71 per sq. ft. annually $1,885 $157
Palo Alto, including
annual renewal fee
Space fee plus $604 renewal
fee $2,489 $207
Burlingame Avenue $15 per sq. ft. annually $2,640 $220
Berkeley Lost meter revenue for one
parking space $1,355-$21,672 $113-$1,806
Oakland Flat parking-space rental and
annual program fees Approximately $1,800 Approximately $150 Los Altos $3 per sq. ft. annual renewal
fee $528 $44
San Anselmo
$2,520 per parking space
annually, plus $950 annual
administrative fee
$3,470 $289
Redwood City
$11.65 per sq. ft. annual rightof-way fee, plus $692 renewal fee
$2,742 $229
San Mateo
Annual renewal fee of
$285.93 per citywide parking
stall
$286 $24
Napa
$10 per sq. ft. annually;
current rate should be
confirmed with the city
$1,760 $147
Temporary Outdoor
Restaurant Seating Program 3 August 11, 2026
2. The Land Use Permit Conditions of Approval and lease agreements would include provisions identifying the steps that may result in the removal of parklets from the street if the restaurant owner fails to make the required lease payments.
3. If a parklet remains inactive for over six months, the Land Use Permit will become void and the parklet will become a non-conforming land use. A new Land Use Permit will be required to reinstate the parklet’s approved status.
4. The number of parking stalls occupied by future on-street parklets within Old Town Danville shall not exceed the number of currently occupied parking stalls. The five existing parklets currently occupy twelve on-street parking stalls. A new parklet may be established only upon removal of an existing parklet, and shall not exceed the size of the parklet removed.
5. An administrative fee will be collected annually to cover the Town's cost of processing and administering the lease.
6. All fees will be collected at the same time as the Town’s annual Business License renewals.
7. New parklets would only be allowed for restaurants that cannot accommodate at least 50 percent of their gross interior area for on-site outdoor seating.
8. Existing parklets would be subject to approval of a new Land Use Permit. Proposed new parklets would be subject to approval of both Land Use Permit and Development Plan applications. Prior to the issuance of new Land Use Permit and signed leases, staff would verify that all previous lease payments have been paid.
9. Parklets would be subject to compliance with the basic elements of the Town’s Outdoor Seating Program Design and Safety Guidelines. However, new parklets would be required to be of a custom design and subject to review by the Town’s Design Review Board. New parklets would also be required to obtain a building permit.
10. Existing and future parklets would be reviewed at least annually and be required to be maintained in a like new condition.
B. On-Site Expanded Outdoor Seating (Private)
Based on Town Council direction at the June 9 study session, the existing expanded onsite seating program would not be extended and would expire on January 2, 2027.
Temporary Outdoor
Restaurant Seating Program 4 August 11, 2026
Following that date, on-site outdoor seating would be subject to the following requirements:
1. Outdoor seating areas that exceed the 25 percent match of gross interior area, or area previously approved, would be subject to the payment of the Town’s parking in-lieu fee.
2. The restaurant/property owner would have the option of reducing the seating area or paying the parking in-lieu fee. For full service restaurants, the threshold for the parking in-lieu fee for outdoor dining area in excess of 25% would be increased from one space per 100 square feet to one space per 200 square feet, effectively resulting in a 50% reduction in fees.
3. Parking in-lieu fees would be required to be paid in full at the time of approval.
Installment payments would not be allowed.
4. On-site outdoor seating areas would be required to be of a custom design. Any seating areas that include the construction of a new structure or alterations to a building’s façade would be subject to the Town’s approval of a Development Plan application including review and approval by the Design Review Board.
RECOMMENDATION
Receive the report and provide staff with additional direction regarding the temporary outdoor restaurant seating program.
Prepared by:
Riley Anderson-Barrett
Associate Planner
Reviewed by:
Tai J. Williams
Town Manager
Attachment A: Notification List
B: Parklet and Expanded Outdoor Seating Map
1 Riley Anderson-Barrett
From: Riley Anderson-Barrett
Sent: Thursday, July 30, 2026 2:51 PM
To: '[email protected]'; '[email protected]'; '[email protected]'; '[email protected]'; [email protected]; [email protected]; [email protected]; [email protected];
'[email protected]'; '[email protected]'; '[email protected]'; [email protected]; '[email protected]'; '[email protected]'; '[email protected]'; '[email protected]'; '[email protected]'; '[email protected]'; '[email protected]'; 'GEM Builders Office'; '[email protected]'
Subject: Town of Danville Town Council Study Session August 11th Hello all,
The Danville Town Council will be hosng a Study Session on August 11th in the Town Offices Community Meeng Room, 500 La Gonda Way, at 8:30 AM. During this session, the Town Council will connue the discussion on how the Town will move forward with expanded outdoor seang and parklets for restaurants which was established under Covid provisions. Your business has been idenfied as benefing from this current program. Please feel free to come join the study session. Once posted, you can view the agenda and meeng informaon here:
h3ps://www.danville.ca.gov/129/Meengs-Agendas-Minutes.
Best,
Riley Anderson-Barrett
Associate Planner
Town of Danville | 500 La Gonda Way | Danville, CA 94526 (925) 314-3314
[email protected] | www.danville.ca.gov
#LiveLocallyDanville
ATTACHMENT A
A. Bungalow on Rose
B. Cocina Hermanas
C. Danville Brewing
D. Danville Harvest
E. Pete's Brass Rail
1. Auburn Lounge
2. Crumbs
3. Incontro / Albi's
4. Locanda Ravello
5. Maison Benoit
6. Norm's
7. Primo's
8. Taverna Sorentino
Parklets Expanded
On-Site Seating
E
A
C
B
D
1 2
3 4
5 6
7 8
Parklet and Expanded Outdoor Seating Map
ATTACHMENT B