CITY OF GROVER BEACH
CITY COUNCIL STAFF REPORT
Agenda Item No. 9
Placement: Business
Meeting Date: April 27, 2026
TO: Honorable Mayor and City Council
FROM: Matthew Bronson, City Manager
PREPARED BY: Megan Martin, Community Development Director SUBJECT: Authorization to Amend the General Plan and Zoning Designation for a Proposed Residential Development Project at 1591 Farroll Road
RECOMMENDATION
Authorize staff to initiate an amendment to the City’s General Plan and Official Zoning Map to change the General Plan Land Use Designation and Zoning Designation from Low-Density Residential to Medium-Density Residential for a proposed housing project at 1591 Farroll Road to develop a 30 single-story attached and detached residential units.
BACKGROUND
On February 6, 2026, an application for a General Plan Amendment (GPA) and Zoning Map Amendment (Rezone) was filed by Brian Schwartz, on behalf of Altura Building Coastal Development, LLC, (the “Applicant”) in accordance with the City’s Development Code Chapter
7.30 – Amendments. The GPA and Rezone application would result in a change to the subject property zone from Low Density Residential (R1) to Medium Density Residential (R2) and was accompanied by a Development Application and Tentative Subdivision Map (Tract 3264) application. The proposed project would create 30 residential lots and construction of 30 singlestory, attached and detached residential units located at 1591 Farroll Road.
State law requires cities and counties to prepare, adopt, and amend general plans and elements of those general plans in a manner provided in Government Code Section 65350. A property owner, City staff, or the Council may propose changes to the City’s General Plan in accordance with State law and these changes are called “General Plan Amendments” (GPA). A GPA is considered any change to the General Plan maps or text. A request for a GPA may also require a Zoning Map Amendment (Rezone) if the existing zoning designation is different from the proposed General Plan land use designation. A Rezone is a procedure to amend the Official Zoning Map of the City by changing the boundaries of any zoning district. If a Rezone approval is required, these applications can be processed concurrently.
Before any portion of the General Plan can be changed, the Council must authorize staff to initiate the GPA process. Following authorization, a thorough review of the requested change must be completed, including an evaluation by the Planning Commission and Council at public hearings.
Staff Report: Initiation of General Plan Amendment and Rezoning at 1591 Farroll Road Page 2 April 27, 2026
GPA and Rezone Authorization and Initiation
The General Plan is the City’s blueprint for the future. It outlines the City’s long-term vision for growth, development, and quality of life, guiding decisions on land use, housing, transportation, parks, and public services. Any part of the City’s General Plan can be changed through the amendment process, including zoning designations, overlays, any portion of the plans text, including narratives, policies, programs, or standards.
Under Government Code Section 65358, a GPA cannot proceed unless the legislative body (City Council) formally initiates it. This ensures that changes to a city’s long-range land use policy have official direction from elected representatives before staff or the Planning Commission spend resources analyzing the proposal. Authorization or initiation of an amendment is no guarantee that the GPA request will later be approved as the proposed amendment must still undergo environmental review, detailed staff analysis, and public hearings.
Project Summary
Property Owner: Altura Building Coastal
Development, LLC (ABCD, LLC)
Address: 1591 Farroll Road
APN: 060-574-002 and 060-574-003
Net Lot Area: 134,813 square feet (3.09 acres)
Gross Lot Area: 161,965 square feet (3.72 acres)
General Plan Designation: Low Density
Residential
Zoning: R1, Low Density Residential
Surrounding Zones and Uses:
North: R1, Single-family dwellings
South: PF, Drainage basin
West: R1, Single-family dwellings
East: R1, Single-family dwellings
The project site is approximately three-acres, comprised of two separate legal parcels, APN: 060- 574-002 and 060-574-003. The site is generally level and the majority of the property overgrown with non-native grasses and scattered trees. The subject property was historically used for agricultural purposes from at least the 1930s until development of one single-family residence and accessory structures in the early 1980s. The site has remained largely unchanged since that time, while surrounding properties have transitioned to residential development beginning in the 1980s and continuing through the 2000s. The property is now surrounded by residential development to the north, west, and east, and a City-owned drainage basin across Farroll Road to the south.
The City’s General Plan land use designation of the site is Low-Density Residential (R1) and is zoned R1. The R1 designation and zoning district allows residential development as a primary use at a density of 2-5 units per acre.
Project Description
ABCD, LLC, (Applicant) is requesting the Council authorize a GPA and Rezone to amend the general plan land use designation and zoning designation from Low-Density Residential (R1) to R1
R1
R1
R1
R1 PF
Figure 1: Project Site
R1PD4 PR
Staff Report: Initiation of General Plan Amendment and Rezoning at 1591 Farroll Road Page 3 April 27, 2026
Medium-Density Residential (R2), amending the City’s official zoning map. These changes would allow the Applicant to apply for a Development Permit that would allow the construction of 30 single-level detached and attached dwellings. If authorized, the Development Permit would be reviewed concurrently with the GPA/Rezone.
The proposed project consists of a Vesting
Tentative Subdivision Map (Tract 3264) to
subdivide the property into 30 individual lots
and an associated Development Permit to
construct 30 single-story residential units.
Each unit would include three bedrooms, two
bathrooms, and a two-car enclosed garage,
with driveways capable of accommodating
two additional vehicles.
The residential units would be arranged in a
combination of attached and detached
configurations across the site. Primary
vehicular access would be provided from
South 16th Street, with the project driveway
aligned with Monterey Avenue across South
16th Street. No vehicular access is proposed
along Farroll Road. Internal driveways are
proposed to allow for two-way circulation
throughout the development.
The project includes frontage improvements along South 16th Street and Farroll Road including curb, gutter, sidewalk, and street lights consistent with City standards. A Homeowners Association would be established to maintain private roadways, landscaping, and common infrastructure.
Policy Context
The R1 land use designation allows for single-unit detached and attached homes, duplexes, accessory dwelling units, public and quasi-public uses, and similar and compatible uses.
Residential densities range between 2 to 5 units per gross acre. As noted in the City’s General Plan Land Use Element, approximately 23% of the City’s gross acreage is within the R1 land use designation. In contrast, the proposed R2 designation allows for smaller lot single-unit attached or detached homes, duplexes, multi-unit residential developments, public and quasi-public uses, and similar and compatible uses. Residential densities range between 6 to 9 units per gross acre.
Approximately 11% of the City’s gross acreage is within the R2 land use designation.
The project application proposes to amend the R1 designation and rezone the property to R2 to allow for an increase in residential density. The Applicant is processing a Development Application concurrently with the GPA and Rezone; the project includes a mix of attached and detached, single-level single-family residential units. The intent is to develop the property with smaller lot, entry level homes as opposed to the larger, more traditional subdivision lots typically observed in the R1 zone.
The City’s General Plan provides several goals and policies that support infill development and redevelopment of underutilized sites. In this context, the proposed GPA and Rezone would support these objectives by allowing increased density while maintaining compatibility with surrounding development through similar building form and scale, though on smaller lots than typically found in the R1 designation.
Figure 2: Proposed Site Plan
Staff Report: Initiation of General Plan Amendment and Rezoning at 1591 Farroll Road Page 4 April 27, 2026
Housing Element Consistency
The City’s Housing Element includes several goals and policies that encourage infill residential development, including:
HE Policy 1.1 – The City shall ensure there is an adequate supply of vacant or underutilized land for development or redevelopment at specific densities to meet the housing objectives for affordable housing. This will include meeting or exceeding the City’s Regional Housing Needs Allocation (RHNA).
Staff Response – The project takes advantage of an underutilized lot and a substandard residential unit by facilitating its redevelopment at a higher residential density. Increasing the number of units on the property contributes to the City’s ability to maintain an adequate supply of land available for residential development at a range of densities. The proposed R2 designation allows the site to be developed more efficiently and supports the City’s efforts to meet or exceed its RHNA, by providing additional entry-level homeownership opportunities.
HE Policy 1.2 – The City shall encourage development of a mix of different housing types including multi-family and single-family homes, mixed-use developments, accessory dwelling units, caretaker units, manufactured homes, transitional housing, emergency shelters, and farmworker and employee housing, in appropriate locations.
Staff Response – The project includes a combination of attached and detached units, consistent with the policy’s objective to encourage diverse housing options in appropriate locations.
HE Policy 2.1 – Multi-family housing developments shall incorporate interesting architectural and structural design features, including but not limited to varied roof lines, recessed second and third stories, courtyard housing, horizontal and vertical wall offsets, and other features to enrich the livability and attractiveness of these developments based on objective requirements in the City Development Code or optional design guidelines.
Staff Response – The proposed housing development project associated with the Development Application includes residential design features such as varied building forms and site layout that are subject to the City’s objective design standards. Compliance with the Development Code will ensure incorporation of architectural elements that enhance project quality and neighborhood compatibility.
HE Policy 7.1 – All new dwelling units shall be required to meet current state requirements for energy efficiency. The retrofitting of existing units during remodeling shall be encouraged.
Staff Response – All new residential units will be required to comply with current State energy efficiency standards, consistent with Title 24 requirements.
Land Use Element Consistency
The City’s Land Use Element also includes several goals and policies that encourage infill residential development, including:
LU Policy 1.1 – Harmonize existing and new development. The City shall develop and implement objective zoning standards that provide harmony with existing residential neighborhoods while allowing for additional housing opportunities.
Staff Report: Initiation of General Plan Amendment and Rezoning at 1591 Farroll Road Page 5 April 27, 2026
Staff Response – The proposed rezone to R2 allows increased density while maintaining compatibility with surrounding residential development through similar building forms, scale, and compliance with the City’s objective zoning and design standards.
LU Policy 1.2 – “Complete” neighborhoods. In general, the City will promote the establishment and preservation of “complete” neighborhoods that exhibit the following characteristic a. A mix of housing types and densities serving the broadest range of households, incomes and ages;
b. Neighborhood-serving retail businesses should be provided within a five-minute walk or bicycle ride of surrounding residences;
c. Parks, schools and other public/quasi-public uses within a short walk or bicycle ride; d. A complete and interconnected system of roadways, bicycle and pedestrian paths, and transit stops that link the neighborhoods;
e. Blocks with a substantial tree canopy shading the street and sidewalk; f. Connectivity to surrounding neighborhoods, retail centers and employment; g. A sense of personal safety;
h. Elements that foster the sustainable use of scarce or nonrenewable resources, such as walkable streets, the orientation of buildings to facilitate solar heating and cooling, and a complementary range of uses that promote alternate forms of transportation. i. Improved access to high-speed internet connections.
Staff Response – The project contributes to a more complete neighborhood by introducing a mix of housing types at a modestly higher density in an urbanized area already served by public infrastructure, services, and nearby amenities, consistent with the General Plan’s vision.
LU Policy 1.3 – Creating Walkable Neighborhoods. Neighborhoods should be protected from intrusive traffic. All neighborhood street and circulation improvements should favor the pedestrian and local traffic over pass-thru traffic. Vehicle traffic on residential streets should be slow. To foster suitable traffic speed, street design should include measures such as narrowing lanes, creating bikeways on designated routes, landscaped parkways, traffic circles, textured crosswalks, and, if necessary, stop signs, speed humps, and road closures or cul-de-sacs.
Staff Response – The project is located within an existing neighborhood served by local streets and pedestrian infrastructure. Future development will be required to comply with applicable circulation and design standards that promote walkability and prioritize pedestrian-oriented improvements.
LU Goal 2 – To designate adequate land in a range of residential densities to address the housing needs of all income groups expected to reside in Grover Beach.
Staff Response – The proposed rezone supports this goal by increasing residential density on an underutilized site, contributing to the City’s overall supply of land available to accommodate housing across a range of income levels.
LU Policy 2.1 – Adequate supply of residential land. The City shall maintain an adequate supply of residential land in appropriate land use designations and zoning categories to accommodate projected household growth, maintain normal vacancy rates, and to provide for its allocation of affordable housing as prescribed by the San Luis Obispo Council of Government’s Regional Housing Needs Assessment.
Staff Response – By allowing additional units on the site, the project helps maintain an adequate inventory of residential land at varying densities, supporting the City’s ability to accommodate projected growth and meet RHNA obligations.
Staff Report: Initiation of General Plan Amendment and Rezoning at 1591 Farroll Road Page 6 April 27, 2026
LU Policy 2.3 – Housing choices. The City shall provide for and encourage a range of housing choices, including smaller (affordable by design) units, live/work units, multifamily development and Single Room Occupancies (SRO), intended to meet the special needs of senior citizens, the physically and mentally challenged, and very low, low and moderate income households.
Staff Response – The project introduces smaller-lot, entry-level housing options, expanding the range of housing types available in the community.
LU Policy 2.6 - Location of higher densities. Generally, higher density housing should be located in areas served by the full range of urban services, within walking distance of neighborhood shopping areas, schools, parks and employment.
Staff Response – The site is located within an urbanized area served by existing infrastructure and public services, making it appropriate for a modest increase in residential density consistent with this policy.
LU Goal 3 – Ensure infill residential development is consistent with objective development and design standards, as allowed by the California Housing Accountability Act.
Staff Response – The project represents infill development on an underutilized site and will be subject to the City’s objective development and design standards, consistent with State law and the Housing Accountability Act.
In summary, the proposed GPA and Rezone are consistent with the City’s Housing Element and Land Use Element goals and policies, particularly those related efficient land use, infill development, neighborhood compatibility, and the provision of a broader range of housing types.
While this analysis demonstrates policy consistency from staff’s analysis, the decision to authorize the GPA and Rezone is ultimately a policy determination for the Council.
Council Consideration for Authorization
In considering whether to authorize staff to initiate the GPA and Rezone, the Council may wish to evaluate the proposal in the context of broader land use planning objectives, community character, and long-term policy direction. The following questions and staff responses are provided to help the Council’s consideration of the request though the Council may have other questions as part of this request:
• Does the GPA and Rezone reflect the City’s vision for where different land uses should be located?
Staff Response – The proposed rezone facilitates a modest increase in residential density within an existing urbanized area, consistent with the General Plan’s vision of accommodating growth through infill development and providing a broader range of housing types in appropriate locations.
• Would the GPA and Rezone conflict with other policies in the General Plan? Staff Response – The proposed amendment is consistent with applicable General Plan goals and policies related to housing supply, neighborhood compatibility, and efficient land use, and does not introduce conflicts with other elements of the General Plan.
Staff Report: Initiation of General Plan Amendment and Rezoning at 1591 Farroll Road Page 7 April 27, 2026
• Will the GPA and Rezone affect neighboring properties or the broader community? Staff Response – The project would introduce a modest increase in density while maintaining similar building form and scale, resulting in minimal impacts to surrounding properties. The addition of smaller-lot, entry-level housing may provide broader community benefit by expanding housing opportunities.
• Are the GPA and Rezone consistent with the City’s land use principles and applicable laws?
Staff Response – The proposed rezone is consistent with established land use planning principles that encourage infill development, efficient use of land, and a diversity of housing types. It is also consistent with State housing laws that promote increased housing production and limit constraints on residential development. • Is the timing of the GPA and Rezone appropriate considering current priorities, housing objectives, and infrastructure capacity?
Staff Response – The proposed GPA and Rezone are timely in light of the City’s ongoing efforts to implement its Housing Element and advance infill development on underutilized sites. The project supports current planning priorities related to expanding housing options.
Additionally, the site is located within an urbanized area served by existing infrastructure and public services, supporting its readiness for near-term development without requiring expansion of public facilities.
This residential expansion is an example of infill development that would improve and enhance the supply of housing in the city and is consistent with many General Plan goals, policies, and programs as noted above. The project application will be reviewed by staff for conformity with all relevant design considerations and performance standards.
Other Agency Involvement
The project site is located within the Oceano County Airport Land Use Plan review area and is therefore subject to review and consistency determination by the San Luis Obispo County Airport Land Use Commission (ALUC). Prior to any final action on the GPA and Rezone, the project will be referred to the ALUC to evaluate consistency with applicable airport safety, noise, and land use compatibility policies. A public hearing on the project application will also be held with the ALUC prior to review by the Planning Commission and Council.
If the Council authorizes the GPA and Rezone application, staff will refer the application to all applicable City departments and responsible agencies1, including but not limited to the Public Works and Police Departments, Five Cities Fire Authority, South San Luis Obispo County Sanitation District, San Luis Obispo County ALUC, San Luis Obispo Local Area Formation Commission (LAFCO), San Luis Obispo County Air Pollution Control District, SLO Health Counts (Healthy Neighborhoods), and Lucia Mar Unified School District.
Environmental Determination
Authorization to initiate the GPA and Rezone application is not considered a project under the California Environmental Quality Act (CEQA) under CEQA Guidelines Section 15378. If the 1 Government Code Section 65352
Staff Report: Initiation of General Plan Amendment and Rezoning at 1591 Farroll Road Page 8 April 27, 2026
Council authorizes the GPA and Rezone, environmental review would be conducted and completed in accordance with CEQA before final action by the Council on the application.
Additionally, because the proposal involves a GPA, the project is subject to consultation requirements under Senate Bill 18 (SB 18) and Assembly Bill 52 (AB 52), as applicable. This includes tribal consultation with the California Native American tribes traditionally and culturally affiliated with the geographic area.
Next Steps
Should the Council direct staff to initiate the GPA process, staff will coordinate with the Applicant to collect all application materials. Once the project application has been deemed complete, and environmental review has been conducted, public hearings will be scheduled before the Planning Commission. The Commission will review the project and the associated development application for consistency with the General Plan, Development Code, and applicable City standards, with a recommendation to the Council for final action.
FISCAL IMPACT
The Applicant remitted a deposit of $9,000 in accordance with the adopted Master Fee Schedule.
The deposit allows for the recovery of the actual cost of processing all applications, including the GPA (GPA-26-0001), Rezone (REZ-26-0001), Subdivision (Tract 3264), and Development Permit (DA-26-0003). Staff tracks time against the deposit, and if the deposit is exhausted, additional funds are billed to the applicant.
ALTERNATIVES
The Council has the following alternatives to consider:
1. Authorize staff to initiate an amendment to the City’s General Plan and Official Zoning Map to change the General Plan Land Use Designation and Zoning Designation from Low-Density Residential to Medium-Density Residential for a proposed housing project at 1591 Farroll Road to develop a 30 single-story attached and detached residential units;
2. Do not authorize staff to initiate the GPA and Rezone; or,
3. Provide alternative direction to staff.
PUBLIC NOTIFICATION
The agenda was posted in accordance with the Brown Act. A courtesy notice was mailed to property owners within 300 feet of the subject site.
ATTACHMENTS
1. Mapping Information – Vicinity Map, Aerial, Land Use, Zoning Staff Report: Initiation of General Plan Amendment and Rezoning at 1591 Farroll Road Page 9 April 27, 2026
Multi-Year Goals
☐ Public Safety and Community Services ☒ Economic Development and Housing ☒ Community Infrastructure ☐ Financial and Organization Sustainability Council Priorities
☐ Water & Wastewater Infrastructure ☒ Community Engagement ☐ Street Improvements and Maintenance
Vicinity Map
GPA-26-001 and REZ-26-001
Aerial Map
GPA-26-001 and REZ-26-001
Farroll Road
Hero
Community Park
Green Park HOA
Attachment 1
General Plan Land Use Designation Map
GPA-26-001 and REZ-26-001
Zoning Designation Map
GPA-26-001 and REZ-26-001