Addendum to the Hercules New Town
Center EIR
Design Review Permit (DRP) 25-04
Vesting Tentative Map (VTM) 25-02
Planned Development Plan (PDP) 25-02
Emblem Hercules
Apartments
1601 Willow Avenue
City Council - May 26, 2026
Presentation Agenda
1 2
Project Overview
3 State Housing Law Context
4 Regulatory Context
5 Project Description
6 Objective Development Standards / State Density Bonus Law — Development Standard Waivers 7 Findings
CEQA / Environmental Review
Recommendation 8
Project Overview
Location
1601 Willow Avenue
(Loop Site)
APN 406-070-042-6
Applicant
Quarterra Multifamily
Communities
Entitlements
DRP 25-04 · VTM 25-02 ·
PDP 25-02
General Plan /
Zoning
New Town Center (NTC)
180
Apartment Units
102 one-bed · 66 two-bed ·
12 three-bed
18 Affordable Units (10%)
Very low-income households
26.8 Gross Density
35.4 Net Density
6 Three-Story Apartment
Buildings
44 ft height
Project Overview
Willow Ave
Project Overview
Project Overview
Project Overview
State Housing Law Context
Housing Accountability Act (HAA)
Prohibits denial or density reduction of qualifying residential projects unless a specific, quantifiable adverse impact on public health or safety is demonstrated. Review is limited to objective standards.
Gov. Code §65589.5
Housing Crisis Act — SB 330 / SB 8
Project submitted SB 330 Preliminary Application on Oct. 21, 2024 — prior to Housing Element certification. Project vested rules in effect at that time, including eligibility for Builder's Remedy.
Gov. Code §65589.5(o)
Builder's Remedy 2.0 (AB 1893)
Project qualifies: purely residential, SB 330-vested, and 10% of units (18) restricted to very low-income households. City may not deny or reduce density unless if finds that Project would have a specific, adverse effect on public health and safety – one that is significant, quantifiable, direct and unavoidable -- based on objective written standards in effect at time of pre-application.
Gov. Code §65589.5(d)(5)
State Density Bonus Law
Project qualifies for density bonus waivers, reducing maximum parking ratios to 1 space/studio-1BR and 1.5 spaces/2-3BR. Four development standard waivers are requested under SDBL (Gov.
Code §65915).
Gov. Code §65915
Regulatory Context - Background
2001 Central Hercules Plan (CHP) Regulating Code adopted — NTC subdistrict established
2005 Disposition & Development Agreement identifies Loop site as Additional Town Center Parcel
2009 New Town Center zoning district created; HNTC EIR certified (SCH #2007062002)
2023 DDA terminated for Loop site by City Council resolution at property owner's request
Oct
2024
SB 330 Preliminary Application filed prior to Housing
Element certification
Apr
2025
Development applications submitted (DRP , VTM, PDP) within 180-day window
Regulatory Context – Land Use Framework
General Plan
New Town Center (NTC) — allows residential multifamily, commercial, or mixed-use Zoning
NTC New Town Center District (HMC Chapter 13-18)
Central Hercules Plan Opt-In
Loop Site is an 'Additional Town Center Parcel' and did not opt into CHP Regulating Code objective standards Overlay Districts
Scenic Road & Highway Overlay District (Chapter 13-25) — Willow Avenue frontage standards apply CEQA
Addendum to HNTC EIR (SCH #2007062002), certified Feb. 10, 2009 Project Description – Dwelling Units
Unit Type Size (SF) Total Units Affordable Units % Affordable 1-Bedroom (635 sf) 635 78 8 10.3%
1-Bedroom (677 sf) 677 24 2 8.3%
2-Bedroom (924 sf) 924 42 4 9.5%
2-Bedroom (965 sf) 965 12 1 8.3%
2-Bedroom (1,007 sf) 1,007 12 1 8.3%
3-Bedroom (1,207 sf) 1,207 6 1 16.7%
3-Bedroom (1,249 sf) 1,249 6 1 16.7%
TOTAL — 180 18 (10%) —
All affordable units restricted to very low-income households, dispersed across all buildings and unit types.
Affordable Housing & No Net Loss
AFFORDABLE HOUSING
18 Very Low-Income Units
10% of 180 total units
10 1-Bedroom Affordable
8 × 635sf + 2 × 677sf
6 2-Bedroom Affordable
4 × 924sf + 1 × 965sf + 1 × 1,007sf
2 3-Bedroom Affordable
1 × 1,207sf + 1 × 1,249sf
NO NET LOSS (GOV. CODE § 65863)
The Project results in a change in income-category distribution from what was credited in the Housing Element sites inventory (402 units). Under §65863, the City must identify sufficient replacement sites, including sites for at least 277 very low-income units.
Singh Parcel (APN 406-160-002-1)
140 very low-income units
West Coast Drilling (APN 406-160-006-2)
137 very low-income units
Bayfront ABCDJ (Ledcor) – Builder’s Remedy application
36 low-income units on Block J
Bayfront EH (CHW) – SB 35 preliminary application
22 extremely/very low, 84 low-income and 1 above-moderate income units Result: 1,129-unit RHNA surplus. No Net Loss requirements by income category are satisfied.
Objective Development Standards
Standard Required Proposed Status
Residential Density 30–75 DUA Gross: 26.8 DUA / Net: 35.4 DUA ✓ Builder's Remedy min.
Building Height Min. 20 ft / Max. 85 ft Apts: 44 ft / Clubhouse: 26 ft ✓ Compliant Front Setback 0 ft min. 15 ft or more ✓ Compliant
Rear Setback 10 ft (non-residential adj.) 10 ft or more ✓ Compliant Side Setback 0 ft min. 15 ft or more ✓ Compliant
Parking (SDBL max.) 219 spaces total 239 spaces total ✓ Compliant Monument Sign ≤ 32 SF face, ≤ 6 ft ht. 31 SF face, 6 ft height ✓ Compliant Carport space width 10 ft min. 9 ft wide (all carports) Waiver (SDBL)
Surface pkg. setback 50 ft from street < 50 ft along EVA Waiver (SDBL)
Pkg. landscape islands Every 6 stalls max. Exceeds 6 stalls Waiver (SDBL)
Town Center street type CHP street standards Infeasible due to freeway interchange Waiver (SDBL)
State Density Bonus Law — Development Standard Waivers
Four waivers are requested under Government Code §65915. Each is the minimum deviation necessary to achieve the project's residential density.
1 Carport Parking Space Width
Standard: 10 ft minimum width required | Proposed: 9 ft wide carport spaces Project cannot achieve required residential density with wider spaces given site constraints. 2 Air Conditioning Condenser Location
Standard: A/C units prohibited between building facade and street | Proposed: Condensers located at certain building faca des Site layout at required density necessitates condenser placement in otherwise prohibited locations. Screened with landscaping. 3 Surface Parking Setback
Standard: 50 ft setback from street required for surface lots | Proposed: Less than 50 ft along secondary EVA Reducing the parking footprint required to meet the setback would reduce the available project area needed to achieve the residential density. 4 Parking Lot Landscape Islands
Standard: Landscape island required every 6 consecutive stalls | Proposed: Islands spaced greater than 6 stalls to accommodate carports Strict compliance would reduce the carport and building footprint needed to achieve the residential density.
Findings — Design Review (DRP 25-04)
The Project is not required to comply with subjective development standards, including subjective findings that would otherwise be required for the proposed entitlements.
Finding 1: Compliance with Zoning and General Plan
NTC designation expressly allows residential multifamily. No GP amendment or zone change required. Project evaluated for compliance with CHP objective standards or SDBL waivers.
Finding 2: Best Interests of Public Health, Safety & Welfare 180 units including 18 affordable to VLI households on transit-proximate infill site. Willow Avenue frontage improvements, RRFB crossing, all-electric construction, solar carports, EV infrastructure.
Finding 3: Site Design Provides Desirable Environment
Development focused on buildable western/southern portions; 50-ft buffer from stream/wetland preserved. Retaining walls address grade. Dedicated left-turn lane and RRFB crossing coordinated with Willow Ave. realignment.
Finding 4: Architectural Character Consistent with Design Standards West Coast Craftsman-inspired style, consistent Craftsman palette across all 6 buildings and clubhouse. Downcast LED lighting, matte finishes, screened mechanical equipment. Consistent with Scenic Road/Highway Overlay.
Finding 5: Landscape Consistent with Design Standards
176 trees, MWELO-compliant irrigation, Hydrozone Plan submitted. Frontage landscaping consistent with Scenic Road & Highway Overlay District requirements (HMC Chapter 13-25).
Findings — VTM 25-02 & PDP 25-02
VESTING TENTATIVE MAP (Gov. Code § 66474)
Consistent with the General Plan (NTC designation)
Consistent with NTC zoning and CHP — project uses permitted Design/improvements are consistent with the project site Consistent with PDP 25-02
Site is physically suitable for the type and density of development
HNTC EIR mitigation measures are appropriate
Will not conflict with easements or access through the
subdivision
Consistent with Title 10 Chapter 2 (Subdivisions) of the HMC PLANNED DEVELOPMENT PLAN (HMC § 48.600)
Use & Density
NTC designation permits residential multifamily. 180 units at 35.4 DUA net density, consistent with Builder's Remedy minimum of 15 DUA.
Streets & Traffic
~1,229 daily trips (13% of HNTC EIR projection). Dedicated left-turn lane on Willow Ave. Subject to Traffic Impact Fee.
SDBL Waivers Justified
Four waivers from NTC/CHP standards requested. Each tied directly to achieving residential density; minimum deviation necessary.
Area Compatibility
NTC planning area surrounds site. Freeway interchange physically separates from incompatible designations. Consistent with HNTC EIR development potential.
Utility Services Adequate
All utility demands within HNTC EIR analyzed capacity. Infrastructure improvements conditioned prior to building permits.
General Plan & Zoning Consistency
The Project is consistent with the NTC General Plan designation and implements the following Housing Element policies:
Policy H1.1
Facilitate affordable
housing production
18 units (10%) restricted to very low-income households. Processed under HAA and Builder's Remedy, consistent with City's commitment to remove regulatory barriers.
Policy H2.5
Support high-quality
rental housing for large
families
180 rental apartments including 12 three-bedroom units. Clubhouse, dog park, and quality amenities support the policy objective.
Policy H2.7
Encourage infill
development
Currently vacant NTC-zoned parcel in the City's Housing Element sites inventory. Project provides 180 units on transit- proximate infill site; avoids greenfield development.
No Net Loss
§65863
Maintain RHNA
capacity by income
category
No net loss of adequate sites. Replacement sites identified: Singh parcel + West Coast Drilling (277 VLI units) + Bayfront ABCDJ/EH (285 units). Total RHNA surplus: 1,129 units.
Environmental Review — CEQA
Addendum to the Hercules New Town Center EIR
SCH #2007062002 · Certified February 10, 2009
Prepared by City of Hercules as Lead Agency
Project site analyzed as Parcel 3 in HNTC EIR for up to 375 DU.
The proposed 180-unit project is substantially reduced in intensity.
Addendum is appropriate because:
No substantial changes requiring major revisions to the EIR No new significant environmental effects identified
No new information of substantial importance discovered Project does not have one or more significant effects not discussed in the program EIR Applicant has agreed to all applicable mitigation measures
REGULATORY AGENCY COORDINATION
Caltrans
Encroachment Permit required for any work in State highway ROW adjacent to I-80 off-ramp and Willow Ave. improvements.
CDFW
Coordination with CDFW is extensively reflected in both the Addendum and the Conditions of Approval. 50- ft buffer maintained. Lake and Streambed Alteration Agreement (if triggered).
USFWS
California Red-Legged Frog (threatened) potential habitat on-site. There is currently no federal nexus for the project because no federal permit or authorization is being sought. Consultation with USFWS is not required.
RWQCB
The Bay Area Regional Water Quality Control Board was consulted early and throughout the review process.
Recommendation
Staff recommends that the City Council adopt a resolution to take the following actions:
1 Approve the
Addendum
Addendum to the
Hercules New Town
Center EIR
(SCH #2007062002)
2 Approve Design
Review Permit
DRP 25-04
3 Approve
Vesting
Tentative Map
VTM 25-02
4 Approve Planned
Development
Plan
Initial and Final PDP
25-02