PLANNING COMMISSION STAFF REPORT
July 2, 2025
Agenda Item No. 6.1
Case No: Design Review 25-1044
Coastal Development Permit 25-1045
Project Location: 1040 South Coast Highway | APN: 644-087-12 Applicant: Anders Lasater, Architect
(949) 497-1827 | [email protected]
Property Owner: Pacific Coast LLC
Prepared By: Community Development Department
Shaveta Sharma, Acting Principal Planner
(949) 715-0958 | [email protected]
Planning Commissioners
within a 500’ Radius: None
RECOMMENDATION:
By motion, adopt a resolution (Attachment 1) approving Design Review 25-1044 and Coastal Development Permit 25-1045, and finding said action exempt from CEQA.
EXECUTIVE SUMMARY:
The Applicant, Anders Laster, Architect, is requesting design review (“DR”) and a coastal development permit (“CDP”) for a new mixed-use structure (major remodel to an existing singlestory commercial building with additions exceeding 50%, including upper-level additions to establish four new apartment units) in the C-1 (Local Business District) zone. The vacant commercial space was most recently occupied by a laundromat with dry cleaning services and is proposed to be remodeled to accommodate a commercial use. Site improvements include parking lot modifications and landscaping. Design review is required for the new structure (major remodel to an existing structure with additions exceeding 50%), elevated decks, remodel of the commercial building façade, landscaping, HVAC equipment, and site improvements including parking lot modifications and trash storage. A coastal development permit is required for development within PC Staff Report
July 2, 2025
the coastal zone. Additionally, pursuant to Laguna Beach Municipal Code (“LBMC”) Section
25.52.006(G)(3), the Planning Commission will make a recommendation to the City Council on Conditional Use Permit (“CUP”) 25-1043 and CDP 25-1202 for a request to reduce the number of required off-street parking spaces based on the implementation of a parking and transportation demand management (“TDM”) plan (the “Project”).
Staff has analyzed the Applicant’s request and believes that all of the findings of fact necessary for approval can be made for the requested entitlements. As a result, staff is recommending conditional approval of the proposed Project.
BACKGROUND:
General Location: 1040 South Coast Highway
Assessor’s Parcel Number: 644-087-12
Environmental Determination: The proposed Project is categorically exempt pursuant to the California Environmental Quality Act Guidelines, Section 15303 - New Construction or Conversion of Small
Structures
Related Cases: Concept Review 21-10931
Existing General Plan Land
Use Designation:
Zoning Designation:
Use of Property:
Commercial Tourist Corridor (CTC)
Local Business District (C-1)
Vacant commercial building (previously laundromat and dry cleaners)
Surrounding General Plan Land Uses Designations, Zoning Districts, and Use of Properties:
Direction General Plan Land Use Zoning Use
North Commercial Tourist Corridor Local Business District Commercial - Office and Retail
South Commercial Tourist Corridor Local Business District Mixed-Use - Café, Residential, and
Personal Service
East Local Business- Professional Local Business- Professional Residential West Commercial Tourist Corridor Local Business District Commercial – Retail and auto repair
PC Staff Report
July 2, 2025
Figure 1 - Existing Project Street Frontage
Figure 2 - Location Map
PC Staff Report
July 2, 2025
DISCUSSION/ANALYSIS:
Background
The Project site is currently developed with a single-story commercial building and is located within the C-1, Local Business District. The property was developed with a commercial building in 1949 and has not undergone any improvements since that time. A laundromat and dry-cleaning establishment appear to have continuously operated at the site between 1964 and 2021 and has been vacant since. The 2,308-square-foot single-story structure fronts South Coast Highway with a six-car surface parking lot accessible from the alley at the rear. The subject property is located on the inland side of South Coast Highway between Anita Street to Oak Street. The block is comprised of regular, rectangular lots, each totaling approximately 5,000 square feet in area. 1040 South Coast Highway is unencumbered by environmental constraints and maintains an average slope of approximately one percent.
Concept plans were shared with the Commissioners and the public at the February 2, 2022, Planning Commission meeting for a concept review hearing. The agenda report (minus attachments) and meeting minutes are provided as Attachment 6. Neighbors expressed concerns regarding view equity, privacy, and mass and design of the building. The Planning Commission expressed support for a mixed-use development, particularly housing at the site. There was direction to improve the building’s articulation, particularly for the side and rear elevations. The Commissioners also provided direction to preserve views and privacy with the design, There were concerns regarding the tandem parking which has been eliminated from the project scope. Based on the comments from the general public and the Commissioners at the hearing, the project has been revised to follow the feedback and direction provided by the Commissioners and neighbors, particularly with respect to improved design articulation and increased setbacks at the upper level to protect privacy and views for adjoining properties.
Additionally, to implement the required programs of the City’s certified 2021-2029 Housing Element, the City adopted an Ordinance No. 1712, which was subsequently certified by the California Coastal Commission on May 7, 2025 (LCP-5-LGB-24-0026-1). Among other changes, the ordinance modifies the development standards for residential uses in various commercial zones, in part by bringing the residential development standards into parity with the setbacks required for non-residential uses. These Code updates allow for the project to move forward without the previously requested density bonus incentives and without any variances for the Project.
Proposed Project
The Applicant seeks approval of Design Review 25-1044 and Coastal Development Permit 25- 1045. The Project is located within a non-appealable area of the Coastal Zone. The C-1, Local Business District is intended for the local retail business and commercial needs of the City, including certain highway-related uses, and single- and multi-family residential as part of a mixed- PC Staff Report
July 2, 2025
use site. Properties in the vicinity are generally developed with a range of commercial uses along the highway frontage and residential across the alley, with a small but notable concentration of resident-serving businesses including a café, gym, nail salon, and an auto repair shop. The proposed remodel and addition are intended to update the building’s appearance and create a mixed-use opportunity with an upper-level addition. The planned improvements include: (1) a 2,387-square-foot upper-level addition configured with four one-bedroom apartment units; (2) interior remodel of the 2,318-square-foot ground-floor commercial space to accommodate the future needs of a commercial use; (3) exterior façade improvements to update the building appearance; (4) site improvements to the parking lot including four new bicycle lockers, trash storage, and landscaping; (5) elevated decks for the second floor residential area; and (6) HVAC equipment.
The proposed project is consistent with the vision for this zone and will comply with all applicable development standards if the parking requirements are reduced based on the implementation of a parking and TDM plan. The City Council is the decision-making body for the CUP for reduction of the required off-street parking spaces. Construction of the building and site improvements that would be authorized under DR 25-1044 and CDP 25-1045, which are subject to Planning Commission approval, are contingent on City Council approval of the parking and TDM plan. This requirement has been made a condition of approval for the Project. 1 The Planning Commission’s
recommendation for reduced parking requirements is a prerequisite for the City Council’s final approval of the Project. As demonstrated by Table 1 below, parking requirements for the proposed Project will be satisfied should the City Council approve the parking and TDM plan.
The Project will incorporate TDM strategies to reduce the number of required parking spaces by one space or 14%, from seven to six spaces. The Applicant has submitted a Transportation Demand Management (TDM) study prepared by RK Engineering Group, dated March 28, 2025 for the Project. The TDM study has been peer reviewed and supports the request to reduce the required number of parking for the development by one parking space by facilitating access to transit to support the goals of a trip reduction program for the project’s operational needs. See Table 1 below for a parking analysis for the project.
Table 1. Parking Requirements
Parking Analysis Square Footage Required Ratio Total Spaces Commercial/Retail 1 space/250 sq. ft. 5 spaces 5 spaces Residential (4 units) 0.5 space/unit 2 spaces 2 spaces
Total Spaces Required 7 spaces
Parking Provided -6 Spaces
TDM Reduction -1 Spaces
Total Required 1 Space
1 See Attachment 1, Condition No. 14.
PC Staff Report
July 2, 2025
The proposed project will implement the following TDM strategies to lessen the parking demand and prevent overflow parking for the project:
• Eight (8) Secure Bicycle Lockers (4 On-Site & 4 Off-Site) • Encouraging Bike Commuting Through Education
• Local Transit Information Bulletin
• Public Transit Vouchers
Implementation of the TDM strategies described above is the responsibility of the Project's commercial and not residential tenants and would be enforced via inclusion of conditions of approval for the CUP Resolution by City Council.
Figure 3: Proposed Site Plan.
PC Staff Report
July 2, 2025
Figure 4: Proposed Parking Layout.
The final project design is shown below in Figures 5-9:
Figure 5: 3-D rendering of South Coast Highway frontage PC Staff Report
July 2, 2025
Figure 6: Proposed west building elevation.
Figure 7: Proposed east building elevation.
PC Staff Report
July 2, 2025
Figure 8: Proposed south building elevation.
Figure 9: Proposed north building elevation.
ENTITLEMENT REVIEW PROCESS:
Design Review
The proposed residential addition requires the approval of design review. (See LBMC Section
25.05.040(B)(1).) Specifically, design review is required for the new 2,387-square-foot upper-level addition configured with four one-bedroom apartment units, exterior façade improvements to update the building appearance, site improvements to the parking lot including four new bicycle lockers and landscaping, and six roof-mounted air conditioner units. Design review is governed by Laguna Beach Municipal Code Section 25.05.040. Design review is considered by the Planning Commission at a duly noticed public hearing where the following findings are considered in relation to the proposed development:
Finding No. 1: Physical improvements and site developments related to the Project are designed and located in a manner in overall consistency with the design review criteria specified in Section
25.05.040(H), as set forth below:
PC Staff Report
July 2, 2025
1. Access. Conflicts between vehicles, pedestrians and other modes of transportation should be minimized by specifically providing for each applicable mode of transportation. Handicapped access shall be provided as required by applicable statutes.
No changes are proposed to the vehicular access to the site and off-street parking would continue to be provided at the rear of the property, from the alley. The Project includes four new bicycle lockers, which promote alternative transportation and help reduce vehicular traffic by encouraging cycling. This supports non-vehicular access and reduces conflicts between cars and bicycles. The parking lot upgrades will improve circulation by including clearly designated paths for vehicles and pedestrians, reducing potential conflicts. Additionally, site improvements are subject to compliance with the Americans with Disabilities Act (“ADA”), which will ensure appropriate handicapped access to the retail and residential components. Access to the residential second floor will be provided with a new exterior staircase and a lift adjacent to the parking lot.
2. Design Articulation: Within the allowable building envelope, the appearance of building and retaining wall mass should be minimized. Articulation techniques including, but not limited to, separation, offsets, terracing and reducing the size of any one element in the structure may be used to reduce the appearance of mass.
The proposed project conveys a well-articulated appearance at the primary elevation while maintaining a strong urban edge appropriate to the commercial highway corridor. The urban edge where street and property meet would be defined by corner-to-corner fenestration comparable to the existing condition, promoting a pedestrian-oriented environment with window-shopping opportunities. The 12’-2” setback to the upper-level residential units from South Coast Highway, and three feet on each side, combined with the variation in materials and forms creates a wellarticulated appearance overall, and allows the apartment units at the second floor to relate to street life. The rear elevation along the alley is articulated through horizontal offsets and the integration of a projecting stairwell element, which provides visual relief and disrupts the building’s massing to avoid a monolithic façade.
3. Design Integrity: Consistency with the applicant’s chosen style of architecture should be achieved by the use of appropriate materials and details. Remodels should be harmonious with the remaining existing architecture.
The color and material board includes a dark bronze metal finish and a contrasting color scheme of ivory painted stucco exterior and grey stone veneer. Staff finds the colors, materials, and textures consistent with the contemporary architectural style and contributing to the building’s high-quality appearance. The neutral tones are suitable to the building, and the existing flag stone cladding is appropriately replaced with a light grey stone veneer to harmonize the existing and proposed building elements.
PC Staff Report
July 2, 2025
4. Environmental Context: Development should preserve and, where possible, enhance the city’s scenic natural setting. Natural features, such as existing heritage trees, rock out-cropping, ridgelines and significant watercourses should be protected. Existing terrain should be utilized in the design and grading should be minimized.
The Project proposes improvements within an existing developed site and neighborhood. The proposed upper-level addition and interior remodel utilize the existing building footprint and foundation, eliminating the need for grading or alteration of the existing terrain. The scope of work does not involve removal of heritage trees, modification of ridgelines, or encroachment on watercourses. Thus, the project preserves and enhances the City’s scenic natural setting by concentrating development where infrastructure already exists.
5. General Plan Compliance: The development shall comply with all applicable policies of the General Plan, including all of its elements, applicable specific plans, and the certified local coastal program.
The Project complies with all applicable policies in the City’s General Plan and Local Coastal Program. The project site is not located within any Specific Plan.
HE-2.13: Encourage the expansion of rental housing opportunities in the City.
The Project proposes the addition of four new apartment units within an existing commercial site, resulting in an increase in the City’s rental housing inventory. This directly supports Policy HE-2.13 by expanding rental housing opportunities through the addition of a second floor over an existing single-story commercial building.
HE-2.17: Foster opportunities for small scale infill development as a means to expand housing opportunities and incrementally provide affordable housing.
The proposed project is a small-scale infill development that will add four residential units to an existing commercial building within an established commercial corridor. The project aligns with Policy HE-2.17 by utilizing an underutilized site and introducing new housing without requiring significant expansion of infrastructure or services.
This type of infill development increases the City’s overall housing supply by supporting a mix of uses in an area already served by transit, utilities, and public services. With the incremental addition of four units, the project contributes to a more diverse housing stock that supports affordability by increasing availability and expanding options for a range of household types.
HE-3.6: Promote the expansion of housing opportunities throughout the City.
The Project will add four apartment units to an existing commercial structure, resulting in a net increase in the City’s housing supply. By incorporating residential units into a mixed-use PC Staff Report
July 2, 2025
corridor, the project expands housing availability in a manner that is compatible with surrounding land uses and existing infrastructure. The proposed infill development supports the City’s objective to increase housing production throughout the City and helps meet demand for additional residential options.
Land Use Element Policy 2.9 Require the use of appropriate landscaping, special architectural treatments, and/or siting considerations to protect public views for projects visible from major highways and arterial streets.
The proposed design incorporates architectural treatments with simple forms, wood and masonry elements, dark bronze metal trim, contrasting ivory painted stucco exterior and grey stone veneer, and clean lines. Contrasting colors and use of wood details help the building blend into its surroundings. The two-story element of the proposed structure is consistent with the existing pattern of development and has minimized the visual impact from the street or surrounding properties due to the setbacks on both sides to maintain view corridors for adjoining properties.
Land Use Element Policy 3.8 Encourage pedestrian access and orientation in all commercial areas.
The Project will maintain the existing pedestrian access through the commercial district and will provide bifold doors into the remodeled commercial building to accommodate pedestrians in the area.
Land Use Element Goal 6 Provide a diversity of land uses that enhance the community.
Land Use Element Policy 6.12 Promote mixed-use development in commercial zones, where appropriate, to encourage the provision of lower-cost housing and to reduce traffic trips.
Encourage ground floor uses to be commercial and where appropriate, visitor serving.
The Project adds an upper-level residential use to an existing commercial building and will provide new housing opportunities and trip reduction through incorporation of TDM strategies.
Land Use Element Policy 6.14 Encourage art-related uses and art in public places in appropriate zones.
The project is subject to the art in public places requirement pursuant to LBMC Chapter 1.09.
The project’s public art contributions may be provided as an in-lieu fund, or the applicant may commission an artwork for the property at a location visible and accessible to the public. The public art component is subject to Arts Commission approval.
6. Historic Preservation: Destruction or alteration to historic resources should be avoided whenever possible. See Chapter 25.45 for more information.
PC Staff Report
July 2, 2025
N/A. There are no historic resources on the property or that would be impacted by the proposed project, and this criterion does not apply. The existing structure is not listed on the City’s Historic Register and is not known to be associated with events or persons important to local, regional, or national history. The structure also does not represent the work of a master, nor does it exhibit high artistic values. Finally, the building does not embody the distinctive characteristics of a particular type, period, region, or method of construction
7. Landscaping: Landscaping shall be incorporated as an integrated part of the structure’s design and relate harmoniously to neighborhood and community landscaping themes. View equity shall be an important consideration in the landscape design. The relevant landscaping guidelines contained in the City’s “Landscape and Scenic Highways Resource Document” should be incorporated, as appropriate, in the design and planned maintenance of proposed landscaping.
Yes. The proposed landscaping is integrated into the design of the Project, such as the planting of landscaping to soften and add visual interest to the surface parking lot. The Applicant proposes to incorporate four trees into the parking lot area, where none exist today. The proposed landscaping will incorporate low water use plants which are well-suited for the local environment. The proposed planting on the upper-level addition will break up the building massing along the street façade with the use of vines that will cascade over the façade.
8. Lighting and Glare: Adequate lighting for individual and public safety shall be provided in a manner which does not significantly impact neighboring properties. Reflective materials and appurtenances that cause glare or a negative visual impact (e.g., skylights, white rock roofs, highgloss ceramic tile roofs, reflective glass, etc.) should be avoided or mitigated to a level of insignificance in those locations where those surfaces are visible from neighboring properties.
As part of the site improvements to the parking lot and building exterior, the project includes 33 building and 23 landscape lighting fixtures to meet safety standards, and are shielded or downcast fixtures to minimize light trespass onto adjacent properties. The project does not include skylights or glossy roofing materials.
9. Neighborhood Compatibility: Development shall be compatible with the existing development in the neighborhood and respect neighborhood character. Neighborhood character is the sum of the qualities that distinguish areas within the City, including historical patterns of development (e.g., structural heights, mass, scale or size), village atmosphere, landscaping themes and architectural styles.
Of the six highway-fronting properties along the 1000-block of South Coast Highway, four are improved with two-story buildings. These two-story buildings mostly extend across the full lot width and appear to provide limited views to the residential properties east of the site. A fifth building at the north end of the block (Active Culture) is raised above the highway sidewalk and therefore attains a similar overall height as the adjacent two-story commercial building. Within the context of the development pattern, the subject property has a comparatively low profile and is a PC Staff Report
July 2, 2025
similar maximum height with the proposed second-floor addition with the existing structures.
Additionally, the proposed roof-mounted HVAC equipment is appropriately screened while not creating visual bulk and mass to the overall structure. This equipment is also being centrally located on the second-floor roof and will be required to comply with the City’s noise standards in accordance with LBMC Chapter 7.25. Furthermore, roof-mounted equipment is common for commercial and mixed-use buildings along the 1000-block of South Coast Highway. The contemporary architectural style will positively contribute to the eclectic architecture along the block. Vehicular access will continue to be provided along the alley, consistent with other highwayfronting properties on the same block.
10. Pedestrian Orientation: Commercial development design shall enhance and encourage pedestrian uses. Incorporation of articulated building masses, compact open spaces and courtyards, mixed use developments, use of landscaping as part of design, and orientation to pedestrian access should be maximized.
Parking would continue to be accessed from the rear alley, allowing the building façade to continue to give shape to the primary street and reducing pedestrian/vehicle conflicts. The Project will improve pedestrian access along the South Coast Highway frontage with the incorporation of a bifold door system into the commercial space. The site is conducive to urban infill housing due to the property’s proximity to several resident-serving amenities, such as retail, dining, and shopping destinations.
11. Privacy: The placement of activity areas (e.g., decks, picture windows and ceremonial or entertainment rooms) in locations that would result in a substantial invasion of privacy of neighboring properties should be minimized.
The proposed upper-level addition of the project is sited 22’-1” from the residential apartments across the alley along the southern property line of the site and 32’-5.75” from the residential uses along the northern property line. The Project does not include any decks or ceremonial rooms in areas that will result in a loss of privacy for adjoining neighbors. There is sufficient distance between the project and existing development to minimize any privacy impacts from the development.
12. Public Art: Public art is encouraged and shall be displayed where feasible or required by the Art in Public Places ordinance.
The Project is subject to the art in public places requirement pursuant to LBMC Chapter 1.09. The Project’s public art contributions may be provided as an in-lieu fund, or the Applicant may commission an artwork for the property at a location visible and accessible to the public. Condition No. 15 has been included in the draft resolution to ensure compliance with this requirement
13. Sign Quality: Signs shall be incorporated into the architecture of the structure and shall be made of high quality materials, be simple in design and be visually compatible with the surrounding PC Staff Report
July 2, 2025
physical environment in terms of color, scale and size. Use of natural materials in the construction of signs is encouraged.
N/A. The Project does not include any signs. A tenant for the vacant commercial space has not been identified at this time.
14. Sustainability: New development should consider architecture and building practices which minimize environmental impacts and enhance energy efficiency by: (a) reducing energy needs of buildings by proper site and structural design; (b) increasing the building’s ability to capture or generate energy; (c) using low-impact, sustainable and recycled building materials; (d) using the latest Best Management Practices regarding waste and water management; and (e) reducing site emissions.
Yes. The proposed Project will be required to meet Title 24 requirements related to energy efficiency and to recycle at least 65 percent of construction materials per the California Building Code
15. Swimming Pools, Spas, and Water Features: Swimming pools, spas and water features shall be located, designed and constructed where:
(a) geology conditions allow;
(b) noise produced by circulatory mechanical pumps and equipment is mitigated; and (c) any associated fencing or other site improvements are compatible with neighboring properties.
N/A. The proposed Project does not include any pools, spas, or water features.
16. View Equity: The development, including its landscaping, shall be designed to protect existing views from neighboring properties without denying the subject property the reasonable opportunity to develop as described and illustrated in the City’s “Design Guidelines.” The “Design Guidelines” are intended to balance preservation of views with the right to develop property.
The abutting property to the north (The Shop and The Agency, 1020 S. Coast Hwy.) appears to be the only commercial/mixed-use building on this block to provide a possible view corridor opportunity, with a narrow corridor created along the south side property line over a second-floor deck. It should also be noted that with the exception of the subject property, the commercial block appears to be relatively uniform in height. The upper-level addition has three-foot setbacks along the northern and southern property lines to minimize view obstructions and provide view corridors through the site. These setbacks are greater than those provided by a majority of the two-story commercial buildings on the same block on the inland side of South Coast Highway.
Finding No. 2. The physical improvements and site developments related to the Project are designed and located in a manner in overall consistency with all other applicable design guidelines.
PC Staff Report
July 2, 2025
N/A. No additional design guidelines are applicable to the project site.
Finding No. 3. The physical improvements and site developments related to the Project are characterized by appropriately scaled development, diverse and unique architectural designs, pedestrian orientation, and sensitivity to the natural conditions of the site.
The proposed building scale and height are an appropriate scale for this portion of South Coast Highway. The proposed building has been designed to meet zoning requirements and the design review guidelines as described above and is compatible with the neighborhood, which similarly feature two-story development.
Finding No. 4. The project is consistent with any specific plan or any other specific zoning design review criteria.
N/A. There is no specific plan or other specific zoning design review criteria for the project area.
Coastal Development Permit
The proposed upper-level addition requires the approval of a coastal development permit. (See LBMC Section 25.07.004.) Coastal Development Permits are governed by Laguna Beach Municipal Code Chapter 25.07. A Coastal Development Permit is considered by the Planning Commission at a duly noticed public hearing where the following findings are considered in relation to the proposed development:
Finding No. 1: The project is in conformity with all the applicable provisions of the certified local coastal program, including the following review criteria:
1. The proposed development will not encroach upon any existing physical accessway legally utilized by the public or any proposed public accessway identified in the adopted local coastal program land use plan.
Yes. The Project is located inland of the first public roadway and does not directly affect any existing or proposed coastal accessways. The site is not adjacent to public coastal access routes or trails, and there are no public easements or coastal access points on or near the property that would be impacted by the development. As such, the Project will not encroach upon or obstruct any existing or planned public accessways.
2. The proposed development will not adversely affect marine resources, environmentally sensitive areas, or archaeological or paleontological resources.
Yes. The Project primarily involves alterations to already disturbed areas and no improvements are proposed that would adversely affect marine resources, environmentally sensitive areas, or PC Staff Report
July 2, 2025
archaeological or paleontological resources. The property is fully improved with an existing commercial building and surface parking lot, and no grading is proposed.
3. The proposed development will not adversely affect recreational or visitor-serving facilities or coastal scenic resources.
Yes. The project will not affect recreational or visitor-serving facilities or coastal scenic resources in that the existing use does not currently provide a visitor-serving amenity. Additionally, no public view impacts will result from the proposed project due to existing development and as there are no public viewing areas near the proposed project.
4. The proposed development will be sited and designed to prevent adverse impacts to environmentally sensitive habitats and scenic resources located in adjacent parks and recreation areas, and will provide adequate buffer areas to protect such resources.
Yes. The proposed development is located on a developed parcel and previously disturbed property and is surrounded by improved streets and a fully developed neighborhood. The Project site is not located near any environmentally sensitive habitats or adjacent to parks and recreation areas that contain significant scenic resources. The Project not create any adverse impacts to scenic resources located in adjacent parks and recreation areas, as there are none in the Project vicinity.
5. The proposed development will minimize the alterations of natural landforms and will not result in undue risks from geological and erosional forces and/or flood and fire hazards.
Yes. The Project will not result in any undue risks from geological or flood and fire hazards. The proposed Project does not incorporate any grading, as discussed under the Environmental Context design review criterion. The site is inland of the coastline and is not subject to erosion. The Project is required to comply with Building Code life safety standards, and the California Fire Code to safeguard life and property from fire hazards.
6. The proposed development will be visually compatible with the character of surrounding areas, and where feasible, will restore and enhance visual quality in visually degraded areas.
Yes. The proposed design is visually compatible with the varied commercial building architecture along South Coast Highway. The design incorporates architectural treatments with simple forms, wood and masonry elements, dark bronze metal trim, contrasting ivory painted stucco exterior and grey stone veneer, and clean lines. Contrasting colors and use of wood details help the building blend into its surroundings and are compatible with several other buildings in the area and within the Project vicinity. The building mass is also consistent with other two-story buildings fronting South Coast Highway. Consistent with these existing buildings, the Project incorporates building offsets and varied architectural finishes and elements to reduce the perceived building mass.
PC Staff Report
July 2, 2025
7. The proposed development will not have any adverse impacts on any known archaeological or paleontological resource.
Yes. The proposed development is located on a developed parcel and previously disturbed property and is surrounded by improved streets and fully developed neighborhood. The Project site is not located near any or known archeological or paleontological resources, and no grading is proposed.
8. The proposed development will be provided with adequate utilities, access roads, drainage and other necessary facilities.
The existing access via South Coast Highway and the alley at the rear of the project site provide adequate access for the project. Additionally, the site is already serviced with all required utilities and drainage, as both the site and immediately surrounding area are improved with residential and commercial uses. Adequate utilities will be provided to support the residential addition.
9. Other public services, including, but not limited to, solid waste and public roadway capacity have been considered and are adequate to serve the proposed development.
The proposed trash storage located within the parking lot is adequate for the proposed development. Additionally, South Coast Highway is a designated Major Arterial Highway that has adequate roadway capacity for the additional trips generated from the Project.
Finding No. 2. Any development located between the sea and the first public road paralleling the sea is in conformity with the certified local coastal program and with the public access and public recreation policies of Chapter 3 of the Coastal Act.
The Project is not located between the sea and the first public road paralleling the sea and, therefore, this finding is inapplicable. Nevertheless, the Project will not conflict with the public access and recreation policies of Chapter 3 of the Coastal Act.
Finding No. 3. The proposed development will not have any significant adverse impacts on the environment within the meaning of the California Environmental Quality Act.
The Project is exempt from CEQA pursuant to Section 15303 - New Construction or Conversion of Small Structures, in that the project consists of construction and location of limited numbers of new, small structures. Here, the proposed Project consists of alterations to an existing commercial building, including an upper-level addition, modifications to façade materials and colors, new roofmounted mechanical equipment, and associated parking lot and landscape improvements.
Therefore, the Project is exempt under Class 3.
Innovative Parking Solutions – TDM Strategies
PC Staff Report
July 2, 2025
Pursuant to LBMC 25.52.006(G)(3), the parking standards may be reduced when the proposed use incorporates innovative parking solutions. Any proposed innovative parking solution shall provide parking mitigation measures at an equivalent ratio to the parking spaces required by Section
25.52.012(G) for the proposed intensification of use. As demonstrated by Table 1 below, the proposed mixed-use project will satisfy the parking requirement for the proposed uses through the implementation of the TDM strategies including the inclusion of bicycle parking and promotion of public transit use for the commercial tenant. For these reasons, staff recommends that the Planning Commission recommend City Council approval of the reduction of five parking spaces through inclusion of TDM strategies for the Project.
Table 2. Parking Requirements
Parking Analysis Square Footage Required Ratio Total Spaces Commercial/Retail 1 space/250 sq. ft. 5 spaces 5 spaces Residential (4 units) 0.5 space/unit 2 spaces 2 spaces
Total Spaces Required 7 spaces
Parking Provided -6 Spaces
TDM Reduction -1 Space
Total Required 0 Spaces
ENVIRONMENTAL IMPACT:
The Project is exempt from CEQA pursuant to Section 15303 - New Construction or Conversion of Small Structures, in that the project consists of construction and location of limited numbers of new, small structures. Here, the proposed Project consists of minor alterations to an existing commercial building, including an upper-level addition to establish four one-bedroom apartment units, modifications to façade materials and colors, new roof-mounted mechanical equipment, and associated parking lot and landscape improvements. Therefore, the Project is exempt under Class 3.
Further, none of the exceptions outlined in CEQA Guidelines section 15300.2 apply. The Project site does not contain any environmentally sensitive areas in that the site is fully developed with an existing commercial building, is surrounded on all sides by public streets and developed properties, and the City’s environmentally sensitive areas maps do not identify any such areas onsite or within the immediate Project vicinity. There will be no cumulative impact resulting from successive projects of the same type in the same place, over time, as the current request is limited to improvements to an existing commercial structure, including an upper-level addition, within the existing developed site and associated site improvements, including parking and landscaping improvements, and two-story structures are common within the urbanized project area. There are no unusual circumstances resulting in a significant impact on the environment. There will be no damage to scenic resources, including trees, historic buildings, rock outcroppings or similar resources, within a highway officially designated as a state scenic highway. The Project is not located on a hazardous waste site or any other site included on a list compiled pursuant to Government Code section 65962.5. The Project will not result in significant adverse impacts to PC Staff Report
July 2, 2025
historical resources as defined by CEQA because there are no historic resources on the subject property and none in the Project vicinity that would be impacted by the remodel and addition.
Consequently, additional environmental analysis is not necessary to meet the requirements of the CEQA.
If the Planning Commission agrees, staff will cause to be filed a Notice of Exemption (NOE) with the County Recorder’s Office and State Clearinghouse should the Project receive final approval.
RECOMMENDATION:
By motion, adopt a resolution (Attachment 1) approving Design Review 25-1044 and Coastal Development Permit 25-1045, and finding said action exempt from CEQA.
NOTIFICATION:
Pursuant to Title 25 (Zoning) Public Notice, a public hearing notice has been mailed in accordance with LBMC Section 25.05.065(D) and in accordance with LBMC Section 25.07.014 for CDPs. In addition, a public hearing notice has been posted on the project site in accordance with LBMC Section 25.05.065(E). Further, a public hearing notice has been published in a newspaper of general circulation in accordance with LBMC Section 25.05.065(F).
ATTACHMENT(S):
Attachment 1 – Resolution No. 25-1044
Attachment 2 – Application
Attachment 3 – Plans
Attachment 4 – TDM Study
Attachment 5 – Color and Materials, 3-D Renderings, and Colored Elevations Attachment 6 – February 2, 2022 Planning Commission Agenda Report and Meeting Minutes
PLANNING COMMISSION SUPPLEMENTAL STAFF REPORT
July 2, 2025
Agenda Item No. 6.1
Case No: Design Review 25-1044
Coastal Development Permit 25-1045
Project Location: 1040 South Coast Highway | APN: 644-087-12 Applicant: Anders Lasater, Architect
(949) 497-1827 | [email protected]
Property Owner: Pacific Coast LLC
Prepared By: Community Development Department
Shaveta Sharma, Acting Principal Planner
(949) 715-0958 | [email protected]
Planning Commissioners
within a 500’ Radius: None
RECOMMENDATION:
By motion, adopt a resolution (Attachment 1) approving Design Review 25-1044 and Coastal Development Permit 25-1045, and finding said action exempt from CEQA.
EXECUTIVE SUMMARY:
Following the publication of the agenda and staff report, staff was made aware that the Landscape sheets, L-01 and L- 02 in Attachment 3 - Plans, was missing from the plan set. The updated and complete plans are provided as an attachment to this supplemental report. The plans are being provided late but include information on which staff is recommending approval for the project and should be considered as part of the record.
ATTACHMENT:
Attachment1 – Updated Plans
JAMES DOCKSTADER
LANDSCAPE ARCHITECT
1493 Glenneyre Street
Laguna Beach, CA 92651
949 376 9589
Submittals / Revisions:
Project:
Sheet Title::
Project Number:
Scale:
Date:
Sheet
of ___Sheets
1/8" = 1'-0"
License 3072
0' 8'
1040 SOUTH COAST HWY
LAGUNA BEACH, CA
MARCH 2025
Nov 25 2024: Floorplan revisions
Jan 1 2025: Floorplan revisions
Mar 3 2025: Floorplan revisions
101.80 FS
101.83 FS 101.87 FS
101.72 FS
102.24 FS
BOLLARD
102.76 TC
102.26 FS
102.76 TC
102.26 FS
102.28 FS
101.79 FS 102.31 TC
101.71 FS
102.47 FS
102.26 TC 101.77 EP
101.71 FS
102.79 FS
HAND RAIL
112.1 EAVE
102.75 FS
113.2 TW GATE
102.72 EP
101.63 FS
SHED
111.7 EAVE 112.1 EAVE
101.60 FS
101.33 FS
12" GRATE
101.74 EP
101.19 FS
100.15 FS
WM
100.51 FS
99.64 FL
102.12 FS
WV
100.12 FS
99.52 FS
A/C BERM
99.49 FS
99.44 FS
CONC DRWY
98.41 FS
98.32 TC
97.64 TG
CATCH BASIN
97.74 TG
GAS
98.11 FS
98.45 FS
98.23 FL
101.65 FS
110.4 EAVE
101.53 FS
101.64 FS
101.78 FS
101.0 EG
99.39 FS
101.9 TW
101.22 FS
102.0 TW
101.75 TC
100.75 FL
101.51 TC
100.51 FL
101.17 TC
100.17 FL
100.50 TC
99.50 FL
100.00 TBM
FD. LEAD & TAG
99.70 TC
98.70 FL
100.28 FS
100.04 FS
111.5 TW
102.8 EG
101.11 TC
100.64 FS
100.78 FS
FD. 3/4" IP
101.13 FF
101.50 FS
100.98 FS
101.04 FS
113.8 TOP BLDG.
PARKING METER
100.68 FS
99.80 FS
101.37 FS
100.67 FS
ST. LIGHT
102.04 FL
102.78 TC
102.28 FS
101.09 TC
100.74 FS
101.67 FF
103.0 TW
101.64 FS
102.2 EG
104.3 TW
101.98 FS
101.69 FS 104.3 TW
101.66 FS
103.0 TW
102.8 EG
A/C
CONC
A/C
CONC
WALK
CONC
WALK
N57°53'36"E
99.94'
N32°02'29"W 50.04'
S32°02'00"E 50.04'
S57°53'36"W P 99.94'
P
P
P
C
C
SOUTH COAST HIGHWAY
ALLEY
7.5'
10" TREE
100
99 100
101
102
DN
Residential 4
Residential 1
Residential 2
R4 - Bath
Residential 3
R3 - Bedroom
Entry
R2 - Bath
R3 - Bath
R1 - Bath
R3 - Deck
R1- Deck
R2 - Deck
R4 - Deck
Laundry room
R4 - Bedroom
R1 - Bedroom
R2 - Bedroom
Line of roof above Line of roof above
TV
Planter Planter
TV
TV
TV
Planter
Planter
GROUND FLOOR
UPPER FLOOR
UP
Line of floor above
Line of floor above
Proposed Trash Area
Line of floor above
Line of floor above
Planter below
the stair
Line of floor
above
(E) Commercial Area (E) Commercial Area
(E) Storage Shed
101.13' (N) F.F.
101.13' (E) F.F.
100.80' (N) F.S.
100.82' (N) F.S.
102.63' (N) TO Wall
102.63' (N) TO Wall
105.13' (N) TO Wall
101.09' (N) F.S.
106.13' (N) TO Wall
106.13' (N) TO Wall
102.13' (E) TO Wall
100.80' (N) F.S.
100.9
PRELIMINARY
HARDSCAPE PLAN
and
LANDSCAPE LIGHTING PLAN
L-01
101.05
101.5
(101.77 EG)
101.60
101.4 TC
GENERAL REFERENCE LEGEND
A ALLEY ASPHALT PAVING TO REMAIN
B CONCRETE CURB AND SIDEWALK TO REMAIN
C TREE WELL AND CITY STREET TREE TO REMAIN
D EXISTING OFFSITE TREE TO REMAIN
E EXISTING STORAGE SHED TO REMAIN PER ARCHITECT'S DRAWINGS
F GATE PER ARCHITECT'S DRAWINGS
G STAIR PER ARCHITECT'S DRAWINGS
H UPPER FLOOR PLANTER PER ARCHITECT'S DRAWINGS
I EXISTING WALL TO REMAIN
J RESIDENTIAL SETBACK LINE PER ARCHITECT'S DRAWINGS
K PARKING LOT STRIPING, SIGNAGE, AND WHEELSTOPS PER DRAWINGS BY OTHERS
L EXISTING STREETLIGHT TO REMAIN
M EXISTING UTILITY ELEMENT TO REMAIN
LANDSCAPE WALLS AND FEATURES
1 FREESTANDING METAL PEDESTAL MAILBOX WITH TWO SLOTS AND LOCKABLE COLLECTION BINS. 4' HEIGHT, AS SELECTED BY OWNER 2 LOCKABLE BICYCLE LOCKERS, 4 TOTAL. VELODOME SHELTERS MODEL 301 OR APPROVED EQUAL. SECURELY ANCHOR. MEDIUM GRAY COLOR. SIZE:
30"W X 74"L X 49" HIGH.
3 POURED IN PLACE CONCRETE LOW WALL/CURB
4 BICYCLE RACK FOR 4 BIKES, SUCH AS DERO RR3H, 63" LONG 5 METAL TRASH BIN ENCLOSURE, 4' HT. 3" SQ METAL POSTS AT CORNERS, 1/4" METAL INFILL, PAINTED WITH COLOR COMPLEMENTARY TO BUILDING.
DOUBLE DOORS AT 6'-2" OPENING. LATCHING, ONE SIDE PINNED.
PAVING/GROUNDPLANE ELEMENTS
P1 18" WIDE CONCRETE BAND, NATURAL GRAY, BROOM FINISH
P2 VEHICULAR CONCRETE PAVING, NATURAL GRAY, BROOM FINISH. ALT:
ASPHALT PAVING IN PARKING BAYS
P3 PRECAST CONCRETE PAVERS ON CONCRETE BASE. WARM COLOR,
RUNNING BOND
P4 CONCRETE CURB, NATURAL GRAY, BROOM FINISH
P5 CONCRETE OR TILE PAVERS TO MATCH STAIR TREADS FROM UPPER FLOOR P6 CONCRETE PAVING, NATURAL GRAY, BROOM FINISH
1 A
P1
NOTES
PER THE CITY'S GIS MAP, THIS PROPERTY IS NOT DESIGNATED AS A VHFHSZ PROPERTY.
SEE CIVIL ENGINEER'S PRELIMINARY GRADING PLAN FOR WALL HEIGHTS AND GRADING
CONCEPT
SEE PLANTING PLAN FOR PRELIMINARY PLANTING INFORMATION
THIS PRELIMINARY PLAN IS NOT INTENDED TO BE A CONSTRUCTION DOCUMENT.
UPPER LEVEL HARDSCAPE IS PER ARCHITECTURAL DRAWINGS
NOTE: TOTAL OF ON-SITE, ON-GRADE PLANTING AREA (PERMEABLE) IS 387.75 sf
LANDSCAPE LIGHTING ELEMENTS
E1 DRIVE OVER WELL LIGHT WITH TOP SHIELD, 360 DEGREE SIDE LIGHTS.
DABMAR LV321-LED5-SS316. MARINE GRADE STAINLESS. 5 WATTS, 100 LUMENS. 6 TOTAL AT EDGES OF PARKING DRIVE AISLE
PA
PA
PA
PA
PA
PA
PA
E1
E1
A
B
C
D
D
E
F
G
H
G
H
I
2 J
K
L
1 P1
P2
P2
P3
P4
P5
P6
E1
LANDSCAPE SHEET INDEX
L-01 PRELIMINARY HARDSCAPE PLAN and
LANDSCAPE LIGHTING PLAN
L-02 PRELIMINARY PLANTING PLAN
<5%
M
M
3 PA
PA PA
PA
2 IMAGE OF BICYCLE LOCKER (Medium gray color proposed)
PA PA
46.9308 Sq ft
55.4139 Sq ft
5 JAMES DOCKSTADER
LANDSCAPE ARCHITECT
1493 Glenneyre Street
Laguna Beach, CA 92651
949 376 9589
Submittals / Revisions:
Project:
Sheet Title::
Project Number:
Scale:
Date:
Sheet
of ___Sheets
1/8" = 1'-0"
License 3072
0' 8'
1040 SOUTH COAST HWY
LAGUNA BEACH, CA
MARCH 2025
Nov 25 2024: Floorplan revisions
Jan 1 2025: Floorplan revisions
Mar 3 2025: Floorplan revisions
101.80 FS
101.83 FS 101.87 FS
101.72 FS
102.24 FS
BOLLARD
102.76 TC
102.26 FS
102.76 TC
102.26 FS
102.28 FS
101.79 FS 102.31 TC
101.71 FS
102.47 FS
102.26 TC 101.77 EP
101.71 FS
102.79 FS
HAND RAIL
112.1 EAVE
102.75 FS
113.2 TW GATE
102.72 EP
101.63 FS
SHED
111.7 EAVE 112.1 EAVE
101.60 FS
101.33 FS
12" GRATE
101.74 EP
101.19 FS
100.15 FS
WM
100.51 FS
99.64 FL
102.12 FS
WV
100.12 FS
99.52 FS
A/C BERM
99.49 FS
99.44 FS
CONC DRWY
98.41 FS
98.32 TC
97.64 TG
CATCH BASIN
97.74 TG
GAS
98.11 FS
98.45 FS
98.23 FL
101.65 FS
110.4 EAVE
101.53 FS
101.64 FS
101.78 FS
101.0 EG
99.39 FS
101.9 TW
101.22 FS
102.0 TW
101.75 TC
100.75 FL
101.51 TC
100.51 FL
101.17 TC
100.17 FL
100.50 TC
99.50 FL
100.00 TBM
FD. LEAD & TAG
99.70 TC
98.70 FL
100.28 FS
100.04 FS
111.5 TW
102.8 EG
101.11 TC
100.64 FS
100.78 FS
FD. 3/4" IP
101.13 FF
101.50 FS
100.98 FS
101.04 FS
113.8 TOP BLDG.
PARKING METER
100.68 FS
99.80 FS
101.37 FS
100.67 FS
ST. LIGHT
102.04 FL
102.78 TC
102.28 FS
101.09 TC
100.74 FS
101.67 FF
103.0 TW
101.64 FS
102.2 EG
104.3 TW
101.98 FS
101.69 FS 104.3 TW
101.66 FS
103.0 TW
102.8 EG
A/C
CONC
A/C
CONC
WALK
CONC
WALK
N57°53'36"E
99.94'
N32°02'29"W 50.04'
S32°02'00"E 50.04'
S57°53'36"W P 99.94'
P
P
P
C
C
SOUTH COAST HIGHWAY
ALLEY
7.5'
10" TREE
100
99 100
101
102
DN
Residential 4
Residential 1
Residential 2
R4 - Bath
Residential 3
R3 - Bedroom
Entry
R2 - Bath
R3 - Bath
R1 - Bath
R3 - Deck
R1- Deck
R2 - Deck
R4 - Deck
Laundry room
R4 - Bedroom
R1 - Bedroom
R2 - Bedroom
Line of roof above Line of roof above
TV
Planter Planter
TV
TV
TV
Planter
Planter
GROUND FLOOR
UPPER FLOOR
UP
Line of floor above
Line of floor above
Proposed Trash Area
Line of floor above
Line of floor above
Planter below
the stair
Line of floor
above
(E) Commercial Area (E) Commercial Area
(E) Storage Shed
101.13' (N) F.F.
101.13' (E) F.F.
100.80' (N) F.S.
100.82' (N) F.S.
102.63' (N) TO Wall
102.63' (N) TO Wall
105.13' (N) TO Wall
101.09' (N) F.S.
106.13' (N) TO Wall
106.13' (N) TO Wall
102.13' (E) TO Wall
100.80' (N) F.S.
100.9
C
C
C C
C C
C C C
C
C
C C
C
C
C C
C
C
C
C
C
C
C C C C
C C C C
C C
C
C
C
C
R
R
R
R
R
R
R
R
R
R
C
PLANTING LEGEND
TREES Ultimate Maint
ACA STE ACACIA STENOPHYLLA / Shoestring Acacia 18' x 10' 18' ALO HER ALOE HERCULES / Hercules Tree Aloe 15' X 8' 15'
SHRUBS AND PERENNIALS
AGA BLU AGAVE BLUE GLOW / Blue Glow Agave 18" x 2' 18"
CLI MIN CLIVIA MINIATA YELLOW / Kaffir Lily 2' x 3' 2'
CRA ARG CRASSULA ARGENTEA / Jade Plant 3' x 3' 3'
CRA HUM CRASSULA HUMMELS SUNSET / Dwarf Variegated Jade Plant 1' x 2' 1' ROS IRE ROSMARINUS IRENE / Prostrate Rosemary 1' x 3' 1' SEN REP SENECIO REPENS / Dwarf Blue Fingers 6" x 2' 6"
EXISTING PLANTS TO REMAIN
TREES Ult ht x w Maint
1 TRISTANIA CONFERTA / Brisbane Box / City Maintained 35' x 20' City R
PLANTS PROPOSED FOR RESIDENTIAL PLANTER AT SCH
AGAVE BLUE GLOW and SENECIO
CRASSULA HUMMEL'S SUNSET
TRAILING ROSEMARY
PLANTS PROPOSED FOR PARKING AT ALLEY
AGAVE BLUE GLOW
1 1" TUMBLED VOLCANIC COBBLE ON
UPPER LEVEL PLANTER SURFACES
2-4" YOSEMITE COBBLE IN
ON-GRADE PLANTERS
PLANTING NOTES
PROVIDE AUTOMATIC IRRIGATION FOR ALL PLANTED AREAS. IRRIGATION WILL CONSIST OF A
COMBINATION OF LOW VOLUME DRIP TUBING AND SPRAY HEADS, CONTROLLED WITH AUTOMATIC VALVES AND A FLEXIBLE AUTOMATIC CONTROLLER HAVING WEATHER SENSITIVITY. A REDUCED
PRESSURE BACKFLOW PREVENTER WILL BE USED AND WILL NOT BE LOCATED IN THE RIGHT OF WAY.
THIS PRELIMINARY PLAN IS NOT INTENDED TO BE A CONSTRUCTION DOCUMENT
ALL EXISTING VEGETATION IS PROPOSED TO BE REMOVED UNLESS OTHERWISE SHOWN TO REMAIN
THIS PROPERTY IS NOT DESIGNATED AS A VHFHSZ PROPERTY
THE IRRIGATION SYSTEM WILL BE DESIGNED TO PREVENT RUNOFF, LOW HEAD DRAINAGE,
OVERSPRAY OR OTHER, SIMILAR CONDITIONS WHERE IRRIGATION WATER FLOWS ONTO
NON-TARGETED AREAS, SUCH AS ADJACENT PROPERTY, NON-IRRIGATED AREAS, HARDSCAPES, ROADWAYS, OR STRUCTURES.
C
CRASSULA ARGENTA
YOSEMITE COBBLE
ALOE HERCULES
TUMBLED VOLCANIC COBBLE
2 24" Box
ALO HER
Total site
12 15 Gal
CRA ARG
Total site
4 15 Gal
AGA BLU
Total ground level
25 15 Gal
CLI MIN
Total site
34 15 Gal
AGA BLUE
Total upper floor
27 15 Gal
CRA HUM
Total
upper
10 1 Gal
ROS IRE
Total site
PRELIMINARY
LANDSCAPE PLAN
L-02
2 24" Box
ACA STE
Total site
ACACIA STENOPHYLLA
—
Flats
SEN
REP
June 21, 2025
Chair Ken Sadler
Laguna Beach Planning Commission
City of Laguna Beach
505 Forest Avenue
Laguna Beach, CA 92651
RE: Agenda Item 6.1 – Design Review 25-1044 and Coastal Development Permit 25-1045 To The Honorable Chair Sadler and Members of the Planning Commission, The Kennedy Commission (the Commission) is a broad-based coalition of residents and community organizations that advocates for the production of homes affordable for families earning less than $30,000 annually in Orange County. Formed in 2001, the Commission has been successful in partnering and working with Orange County jurisdictions to create effective housing and land-use policies that have led to the new construction of homes affordable to lower-income working families.
We understand that the proposed project at 1040 South Coast Highway is advancing under newly adopted development standards made possible by the City’s Housing Element implementation, including Ordinance No. 1712—approved by the California Coastal Commission in May 2025.
These code changes now enable the project to move forward without the need for a density bonus or variance. While we recognize the City’s work to streamline housing production through zoning reform, we believe these efforts must be coupled with clear requirements or incentives to secure public benefits, including the development of affordable housing.
As the City continues to refine its land use regulations to facilitate more efficient development, we encourage the Planning Commission and the City to prioritize affordability as a fundamental outcome of this streamlining process. In the case of this project, the ability to increase residential density and reduce parking requirements—through both new code allowances and TDM strategies. This undermines state Density Bonus incentives that are given in exchange for Affordable Housing and give significant value to the applicant. In turn, we believe the City should explore policies or conditions to ensure that a portion of new units are deed-restricted for low, very low, or extremely low-income households, or that the applicant contributes to the City’s broader affordable housing goals through in-lieu fees or similar mechanisms.
Laguna Beach has made commendable progress toward adopting policies aligned with the Housing Element, and we are encouraged by the City’s responsiveness to state housing law. 1 However, the long-term success of these efforts depends on how well they serve those most impacted by the housing crisis. We urge the City to adopt a more intentional approach to capturing community benefit—especially affordable housing—as part of the entitlement process for future streamlined or incentivized projects.
Thank you for your ongoing leadership and commitment to advancing housing solutions in Laguna Beach. If you have any questions, please feel free to contact me at (949) 250-0909 or [email protected].
Sincerely,
Cesar Covarrubias
Executive Director
2