STAFF REPORT
Meeting Date:
July 7, 2026
NON APPEAL
17 SUBJECT: 340 ST. ANN’S DRIVE: TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 TO MERGE FOUR LOTS INTO A TWO
LOTS IN THE LOCAL BUSINESS PROFESSIONAL (LBP) AND RESIDENTIAL MEDIUM DENSITY (R-2) ZONES; AND FINDING THAT NO FURTHER
ENVIRONMENTAL REVIEW IS REQUIRED UNDER STATE CEQA
GUIDELINES SECTION 15162 OR, ALTERNATIVELY, THAT THE HOUSING DEVELOPMENT IS NOT A “PROJECT” OR IS EXEMPT UNDER
GOVERNMENT CODE SECTIONS 65913.16(C), (B)(12)(B), AND 65913.16(L)(7),
RESPECTIVELY
RECOMMENDATION: It is recommended that the City Council:
1. Conduct a Public Hearing, including receiving a staff report and taking public testimony and evidence related to the consideration of Tentative Parcel Map 2026-0865, Coastal Development Permit 2026-0954, and CEQA finding that no further environmental review is required under Government Code Section 15162 or, alternatively, that the housing development is not a “project” or is exempt under Government Code Sections 65913.16(c), (b)(12)(B), and 65913.16(l)(7); and
2. Adopt the Resolution titled, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA BEACH, CALIFORNIA, APPROVING TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 TO MERGE FOUR PARCELS LOCATED AT 340 ST. ANN’S DRIVE (APNS: 644-034-05, 644-034-09) INTO TWO PARCELS IN THE LOCAL BUSINESS PROFESSIONAL (LBP) AND RESIDENTIAL MEDIUM DENSITY (R-2) ZONES; AND FINDING THAT NO FURTHER ENVIRONMENTAL REVIEW IS REQUIRED UNDER STATE CEQA GUIDELINES SECTION 15162 OR, ALTERNATIVELY, THAT THE HOUSING DEVELOPMENT IS NOT A “PROJECT” OR IS EXEMPT UNDER GOVERNMENT CODE SECTIONS 65913.16(C), (B)(12)(B), AND 65913.16(L)(7), RESPECTIVELY”.
SUMMARY OF THE MATTER
Liane Takano (“Applicant”), representative for the property owner, Neighborhood Congregational Church (“NCC”) of 340 St. Ann’s Drive (the “Property”), applied for Tentative Parcel Map (“TPM”) 2026-0865 and Coastal Development Permit (“CDP”) 2026-0954 to merge the existing four existing lots (APNs: 644- 034-05, 644-034-09) into two lots in the Residential Medium Density (R-2) and Local Business Professional (LBP) zones. The merger is necessary to comply with California Building Code requirements for the approved affordable housing development, as the development would extend across the existing shared property lines among the four parcels (the “Project”). Refer to Figure 1, below, for the existing parcel configurations, and Figure 2 for a location map depicting the existing church structures and surface parking lot improvements.
TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
Figures 1 and 2 – Existing Parcels and Proposed Housing Development Footprint (left) and Location Map (right)
The Planning Commission constitutes an “advisory agency” to the City Council for tentative maps, parcel maps, and subdivision maps. (Laguna Beach Municipal Code Section 21.08.040.) Accordingly, the Project was reviewed by the Planning Commission on June 3, 2026. After conducting a public hearing, the Planning Commission voted 4-0 (Commissioner Sadler absent) to recommend that the City Council approve TPM 2026-0865 and CDP 2026-0954.
DISCUSSION
The Existing Project Site
The Project site is irregularly shaped and comprised of four parcels owned by NCC, a religious institution.
It is bounded by Glenneyre Street on the west and Catalina Street on the east. The total site is approximately
1.2 acres, and the affordable Housing Development Project will be constructed on a portion of this site, totaling 0.66 acres. The site contains three buildings and a surface parking lot with 69 spaces and is located within the LBP and R-2 zones. The parsonage, which is used for programming for the Montessori school, is proposed to be demolished. The parish hall and church sanctuary are proposed to remain.
The project site is identified in the City’s Housing Element as Site No. 1, a location suitable for redevelopment and future housing opportunities. Housing Element Action 5.21(e) specifically encourages incentives for 100-percent affordable housing projects on institutional properties, including those owned or operated by religious organizations. PARCEL3
TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
The Affordable Housing Development Project and Lot Merger The Applicant filed an application for development under the Affordable Housing on Faith and Higher Education Lands Act of 2023 (“SB 4”)1, which establishes a ministerial, by-right approval pathway for qualifying affordable housing projects. Under SB 4, eligible projects are considered a “use by right,” which means that the local government2 cannot require a conditional use permit, a planned unit development permit, or any other discretionary local government review.3 Additionally, eligible projects are not considered “projects” under the California Environmental Quality Act (“CEQA”) and are therefore exempt from CEQA review.4
Under California’s Density Bonus Law (Government Code Section 65915), qualifying affordable housing projects may request up to an 80-percent density bonus. As the proposed affordable housing development is 100 percent affordable at the low-income level, excluding one manager’s unit, it is eligible for an 80 percent bonus. The Applicant requested a 46 percent density bonus, which is less than the maximum bonus allowed under State law, allowing for 29 housing units on the 0.66-acre site. Additionally, under California’s Density Bonus Law, qualifying affordable housing projects are entitled to concessions (incentives) and waivers or reductions of development standards intended to remove regulatory barriers and improve project feasibility.5 The Applicant is eligible for and requested the following concessions and waivers from the City’s development standards:
Concessions:
1. Reduction of the Required Immediately Accessible Open Space. Pursuant to LBMC Section
25.50.010(E) which requires that 25% of that open space shall be immediately accessible to each living unit, and shall be designed to be used primarily for the occupants of the living unit (private open space). The applicant is requesting to not provide any private open space for the Project.
2. Front Yard Setback. Pursuant to LBMC Section 25.12.008(C)(2), a front yard setback of at least 20 feet is required for the R-2 zone. The applicant requests a reduction of the front yard setback along Catalina Street from 20 feet to 10 feet.
3. Additional Building Setback. Pursuant to LBMC Section 25.50.004 (D), an additional foot of distance for every foot of height in excess of fifteen feet. The applicant is requesting relief from this requirement so that the structure can be stacked horizontally.
4. Required Parking Spaces. Government Code 65913.16(k)(1) provides “the proposed development shall provide off-street parking of up to one space per unit, unless a state law or local ordinance provides for a lower standard of parking, in which case the law or ordinance 1 SB 4 was amended by AB 130 (effective June 30, 2025) and shall be collectively referred to herein as SB 4 for ease of reference. 2 SB 4 defines a “local government” to mean “a city, including a charter city, county, including a charter county, or city and county, including a charter city and county.” Gov. Code § 65913.16, subd. (b)(8). 3 Gov. Code, § 65913.16, subd. (b)(12)(A).
4 Gov. Code, § 65913.16, subd. (b)(12)(B).
5 Concessions are modifications to development standards or regulatory requirements that result in identifiable cost reductions for the project, examples include reduced setbacks or lot coverage requirements, open space, landscaping, or design standards.
Waivers are for eliminating or reducing development standards that would physically preclude the construction of the project as proposed and include reductions in setbacks or lot dimensions.
TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
shall apply.” The applicant is requesting a reduction in parking requirements as a development incentive. The requested reduction includes a parking ratio for Studio and 1-bedroom units at 0.5 spaces per unit instead of 1 space per unit. The resulting total parking space requirement for the multi-family residential structure would decrease from 29 spaces to 23 spaces.
Waiver:
1. Lot area and dimension standards of the LBP Zone. Pursuant to LBMC Section 25.28.008(A), parcels in the LBP zone shall not be merged together for development purposes that exceed ten thousand sq. ft. The LBP portion of the site is already considered existing nonconforming due to its size at 37,640 sq. ft. The proposed affordable housing parcel is proposed to be 28,937 sq. ft. in size and will continue to be a split-zone parcel with 14,781 sq. ft. in the R2 zone, and 14,156 sq. ft. in the LBP.
2. Open Space Requirements. Pursuant to LBMC Section 25.50.010(A), a minimum area of forty percent of the total gross living area on the lot shall be open space. The applicant requests a reduction from the required 11,620 sq. ft. total open space to 4,595 sq. ft.
Specifically, the Applicant requested approval of the following:
1. Ministerial Design Review under SB 4 for demolition of an existing parsonage building and existing surface parking lot and construction of a three-story, 30,690 sq. ft. multi-family residential building (28 affordable housing rental units and 1 manager’s unit) and 41-stall parking garage in the R-2 (Residential Medium Density) and Local Business Professional (LBP) zones (the “Housing Development Project”).
2. Design Review for more than 20 cubic yards of grading outside the building footprint, retaining walls with more than 5 feet of exposed height, landscaping, and elevated deck (collectively, the “Site Improvements”).
3. Coastal Development Permit for the non-exempt development, consisting of the Housing Development Project and Site Improvements, within the coastal zone.
4. Tentative Parcel Map to allow consolidation of four existing parcels that together comprise the Neighborhood Congregational Church (“NCC”) site into two parcels, one zoned LBP and consisting of the NCC uses for exclusive use of the religious institution, and a second parcel for the Housing Development with a split LBP and R-2 zoning designation Project (the “Merger”).
5. Coastal Development Permit for the non-exempt development, consisting of the Merger, within the coastal zone (collectively, “the project”).
On June 3, 2026, the Planning Commission held a duly noticed public hearing to consider the project. The Planning Commission received public testimony, which included neighbors who expressed concerns related to parking, landscaping, building design, privacy, and view equity, and also comments in support of the project. After carefully considering the oral and documentary evidence from staff, the Applicant, and members of the public, and upon review of the staff recommendation for approval, the Planning Commission voted 4-0 (Commissioner Sadler absent) to adopt Resolution No. 2026-1135, granting TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
approval for the Housing Development Project and the Site Improvements, subject to the conditions of approval set forth in the resolution and to adopt Resolution No. 2026-0863, recommending that the City Council approve TPM 2026-0865 and CDP 2026-0954 for the Merger. Because various changes to the project design proposed by the Applicant at the hearing to address neighbor concerns were agreeable to the Planning Commission, the Planning Commission approved the modifications and those modifications are reflected in Condition No. 1 of both Planning Commission resolutions. Below is the condition of approval and a summary of the changes proposed by the Applicant and approved by the Planning Commission. To comply with the conditions of approval, staff will verify that the design changes have been incorporated into the plans prior to building permit issuance.
Resolution Nos. 2026-0865 & 2026-0954, Condition No. 1: Approval is based on the Tentative Parcel Map prepared by KES Technologies, Inc. and cleared by the City on April 28, 2026. These plans are approved as modified and agreed to by the applicant on June 3, 2026, and conditioned herein and shall not be altered except as reviewed and approved in accordance with Title 25 of the Laguna Beach Municipal Code.
Summary of Approved Design Changes:
1. Reduced building height
2. Alternative color scheme
3. Additional landscaping enhancements
4. Use of textured materials such as split-face block on retaining walls The June 3, 2026 Planning Commission Staff Report, Adopted Resolution No. 2026-1135, Adopted Resolution No. 2026-0865, Plans, Public Correspondence, and Minutes are attached as Attachments 2 through 7, respectively.
The design for the Housing Development Project and Site Improvements as presented by staff to the Planning Commission on June 3, 2026 are shown below in Figures 3-8.
The Housing Development Project and Site Improvements is a final decision, as no appeal of the Planning Commission decision was filed. Accordingly, the City Council’s analysis should be focused on the tentative parcel map and coastal development permit.
TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
Figure 3 - Proposed Site Plan
TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
Figure 4 - Proposed Parking Layout
Figure 5 – 3D Rendering of Proposed Project, Glenneyre Street frontage
TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
Figure 6 - 3D Rendering of Proposed Project, Catalina Street frontage Figure 7 - Proposed East Building Elevation, St. Ann’s Drive Figure 8 - Proposed West building Elevation, Cleo Street Tentative Parcel Map 2026-0865
The purpose of the parcel map is to eliminate the existing fragmented condition by merging the four parcels into two legal parcels, one for the religious institution and the other for the Housing Development Project.
In doing so, the proposed parcel map improves conformity with the lot area, lot width, and lot depth requirements of the R-2 and LBP zones and allows for the parcels to function as two distinct building sites.
Pursuant to LBMC § 25.12.008, property in the R-2 Zone must maintain a minimum lot area of 6,000 square feet, a minimum lot width of 70 feet, and a minimum lot depth of 80 feet. Properties in the LBP zone, pursuant to LBMC § 25.12.008, have a maximum lot area of 10,000 square feet.
TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
As noted above, the Applicant requested a waiver of this requirement, as combining the existing parcels such that the proposed Housing Development Project is located on a single parcel is required to comply with applicable California Building Code requirements, which prohibit structures from crossing property lines. Additionally, the existing LBP parcel is already non-conforming at 37,640 square feet of lot area and the resulting split-zoned R-2 and LBP parcel will be 28,937 square feet in size. The proposed Tentative Parcel Map would merge the four existing contiguous parcels into two legal parcels and will not create additional parcels. The subject property consists of Lots 2,4,6,8,10,12, 18, 19, 20, 22, 23, 24, 25, 26, 27 and with portions of lots 9, 11, 13, 14, 15, 16, 17, of Block 73 of Laguna Terrace, now addressed as 340 St.
Ann’s Drive (APNs: 644-034-05, 644-034-09).
As shown on the tentative parcel map, the resulting Parcel 2 for the religious institution site would be 29,027 square feet in size and zoned LBP, and Parcel 1 for the Housing Development Project would be split-zoned with a 14,781-square-foot R-2 portion and a 14,156-square-foot LBP portion (28,937 square feet total), exceeding the maximum lot area of 10,000 square feet allowed in the LBP Zone. The waiver to exceed the maximum lot area was approved by the Planning Commission at the June 3, 2026 meeting along with the approval of the Housing Development Project.
As demonstrated by Figure 9 below, the footprint of the Housing Development Project would be located entirely within one of the two resulting parcels (Parcel 2), while the religious institution would be located on Parcel 1.
TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
Figure 9 – Proposed Tentative Parcel Map
Pursuant to Sections 66473.5 and 66474 of the California Subdivision Map Act, the City Council may approve a Tentative Parcel Map by making the following findings:
1. Pursuant to Government Code Section 66473.5, the proposed subdivision is consistent with the applicable General Plan and any specific plans.
Here, the project site is designated Village Medium Density (VMD) and Local Business Professional (LBP) on the General Plan Land Use Map and is zoned R-2 (Residential Medium-Density) and Local Business Professional (LBP). The Tentative Parcel Map consolidates four existing parcels into two parcels such that the Housing Development Project and religious institutional buildings each occupy separate parcels, with no structures extending across property lines in accordance with the requirements of the California Building Code and Condition No. 14 of Planning Commission-adopted Resolution No. 2026-1135.11 The proposed resulting parcels are consistent with development standards for lot size, depth, width, and 11 Condition No. 14: Approval and adoption of Resolution No. 2026-1135 is explicitly contingent upon City Council approval of Tentative Parcel Map 2026-0865 and Coastal Development Permit 2026-0954. Recordation of the Final Map shall be completed prior to the issuance of any grading permits associated with this Project construction. If the Council does not approve Tentative Parcel Map 2026-0865 and Coastal Development Permit 2026-0954, this Resolution shall be null and void and of no force or effect. It shall be as if the Resolution had never been adopted.
TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
setbacks pursuant to LMBC Sections 25.12.008 and 25.18.008, with the exception of the approved concession and waivers granted in accordance with Density Bonus Law to exceed the 10,000 sq. ft. maximum lot size of the LBP zone, the required open space, and the required front-yard setback along Catalina Street. The parcels ensure that the existing church site and housing development site have adequate buffers between structures are required by California Building Codes. Accordingly, the map is fully consistent with the General Plan land use designation and all applicable policies of the Land Use Element and the certified Local Coastal Program.
2. None of the mandatory denial findings set forth in Government Code Section 66474 apply to the proposed Tentative Parcel Map 2026-0865 as demonstrated by the following:
(a) The proposed map is consistent with all applicable general and specific plans as specified in Government Code Section 65451. Here, the Project site is designated Local Business Professional and Village Medium Density on the General Plan Land Use Map and is Zoned LBP and R-2. No specific plan applies to the Project site, and with the Planning Commission’s June 3, 2026 approval of a Density Bonus Law waiver from the lot area standards of the LBP zone, the parcel map complies with all applicable standards of the General Plan.
(b) The design and improvement of the proposed subdivision are consistent with the applicable general and specific plan. Here, the Project site is designated Local Business Professional and Village Medium Density on the General Plan Land Use Map and is zoned LBP and R-2. No specific plan applies to the Project site and the parcel map complies with the General Plan and LBP and R-2 standards with the Density Bonus Law concessions and waivers that were granted by the Planning Commission on June 3, 2026.
(c) The site is physically suitable for the type of development proposed. Here, the resulting parcels are capable of accommodating the proposed affordable housing development with the retention of the existing church and Montessori school without creating adverse off-site impacts, as demonstrated through the submitted technical studies and corresponding peer reviews, including analyses addressing geotechnical, hydrological, sewer, water quality, and traffic considerations. As demonstrated by a traffic memo dated November 26, 2025 prepared by Urban Crossroads, Inc. and peer reviewed by the City’s third-party consultant, no additional improvements to the adjacent roadways or intersections are necessary to maintain adequate conditions (Attachment 15). The two roadways, Glenneyre Street and St. Ann’s Drive, currently operate at Level of Service (“LOS”) A and will continue to operate at LOS A after construction of the proposed development.
Consequently, the proposed residential development and parcel map would not alter the previously reviewed circulation pattern, exceed existing roadway capacity, or result in any significant change to traffic or circulation conditions in the surrounding neighborhood.
A preliminary Geotechnical Report dated December 2, 2025, and prepared by LGC Geotechnical (Attachment 12) was submitted and peer reviewed by the City’s third-party consultant, who confirmed the analysis and conclusions of the report. According to regional geologic mapping, the site is underlain by a veneer of Quaternary terrace deposits over Tertiary Topanga Formation bedrock. The report TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
concludes that development of the site is feasible, provided its recommendations are incorporated into the final design and construction.
The report further indicates that the subject site is not located within a designated Seismic Hazard Zone, including areas susceptible to earthquake-induced landslides or liquefaction (CDMG, 2006), nor within a State of California Earthquake Fault Zone (CGS, 2018). No faults were encountered during the site investigation, and none are mapped across the site based on reviewed regional geologic data. These findings support the site’s physical suitability for the proposed Housing Development Project, Site Improvements, and Merger.
(d) The site is physically suitable for the proposed density of development. Here, the proposed density is appropriate for the site as no off-site impacts were identified in the submitted technical studies and corresponding peer reviews, including analyses addressing geotechnical, hydrological, sewer, water quality, and traffic considerations. While the approved affordable housing development was eligible for an 80-percent density bonus under California’s Density Bonus Law for providing 100-percent affordable units at the low-income level (excluding one manager’s unit), the Applicant requested and received a 46-percent density bonus, which is less than the maximum allowed under California law.
(e) The design of the subdivision and the proposed improvements are not likely to cause substantial environmental damage or substantially and avoidably injure fish or wildlife or their habitat. The Project site and its immediately surrounding areas do not contain any environmentally sensitive areas in that the area is fully developed with residential, commercial, and institutional structures, ornamental landscaping, and improved streets, and the City’s environmentally sensitive areas maps do not identify any such areas in the immediate Project area.
(f) The design of the subdivision and the type of improvements are not likely to cause serious public health problems. Here, the Project will not create any public health concerns as demonstrated through the submitted technical studies and corresponding peer reviews, including analyses addressing geotechnical, hydrological, sewer, water quality, and traffic considerations. Additionally, a Phase 1 Environmental Site Assessment (“ESA”) dated April 10, 2026, and prepared by Altec (Attachment 10) was submitted for the City’s review. The prepared assessment determined that no recognized environmental conditions (RECs), controlled RECs, or historical RECs are present on the project site (p. 4 and 50). Accordingly, a Phase II ESA is not warranted. The Phase I ESA also identifies certain “Potential Issues” for which additional testing is recommended, including naturally occurring radon and the possible presence of lead-based paint or asbestos-containing materials within existing structures. These items do not constitute RECs and do not require further investigation. However, such testing is recommended as a best practice. The Applicant has indicated that any recommended testing will be conducted during the construction phase of the Project. (g) The design of the subdivision and the type of improvements will not conflict with any easements acquired by the public at large for access through or use of the property. Here, no public access rights are affected in that none presently exist.
TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
3. The proposed parcel map procedure is the appropriate and required mechanism under LBMC Section
21.08.060 and Government Code Section 66412(d). Here, the proposed parcel map consolidates four parcels into two parcels and will allow for two separate parcels for the proposed development and the existing religious institution, thereby achieving compliance with California Building Code requirements that prohibit buildings from crossing property lines.
Coastal Development Permit 2026-0954
The proposed Tentative Parcel Map constitutes “development” for which a Coastal Development Permit is required. The City Council’s determination is not appealable to the California Coastal Commission. To ensure compliance with the City’s certified Local Coastal Program, the project has been reviewed for conformity with the criteria set forth in LBMC Section 25.07.012(F)(1)-(9). A coastal development permit application may be approved only after the approval authority has reviewed the project and made all of the following findings (LBMC Section 25.07.012(G)(1)-(3).):
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.
The proposed development consists solely of a Tentative Parcel Map to consolidate four existing parcels into two legal parcels. The Project will not encroach upon any existing physical accessway legally utilized by the public, nor will it affect any proposed public accessway identified in the adopted Local Coastal Program Land Use Plan. The subject property is located inland of the shoreline within an established residential and commercial corridor between Glenneyre Street and Catalina Street. The Project site is privately owned and does not contain any public coastal access easements, trails, stairways, walkways, or other access corridors serving the public. Additionally, the proposed Housing Development Project and associated Site Improvements do not obstruct, alter, or diminish access to nearby public streets, sidewalks, or coastal access routes. No public accessways are designated across the property in the City’s certified Local Coastal Program, and the proposed parcel map would simply merge the existing lots without altering public access rights or affecting public circulation.
Accordingly, the Project complies with this review criterion.
2. The proposed development will not adversely affect marine resources, environmentally sensitive areas, or archaeological or paleontological resources.
The proposed Tentative Parcel Map consolidates four existing parcels into two legal parcels. The parcel map does not authorize any additional development beyond the approved Housing Development Project and does not introduce new physical disturbance to the site. The property is located inland within an established residential and commercial corridor neighborhood and is separated from the shoreline and marine environment by existing development and public streets. As TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
confirmed during review of the City’s maps, the site does not contain any marine resources and no environmentally sensitive habitat areas are present on the property, which is improved with institutional buildings, a surface parking lot, and ornamental landscaping.
A Phase I Environmental Site Assessment dated April 10, 2026, prepared by Altec Testing and Engineering (Attachment 10) and Geotechnical Report dated December 2, 2025, prepared by LGC Geotechnical (Attachment 11) was peer reviewed by the City’s consultant, Kling Consulting Group.
According to the Geotechnical Report, the site identified no geologic, hazardous materials, or environmental conditions that would indicate the presence of archeological or paleontological resources or constraints to development. Additionally, the site was not identified as a historic or archaeological resource in the City’s historic inventory. The proposed development is limited to infill redevelopment within an existing developed site and will not disturb any known sensitive environmental areas.
In addition, according to the Geotechnical Report, standard construction practices and regulatory requirements ensure that any previously undiscovered archaeological or paleontological resources encountered during grading or excavation activities are properly evaluated and treated in accordance with applicable regulations.
Because the proposed Tentative Parcel Map is limited to lot consolidation and reconfiguration and does not expand the scope of physical development as previously approved, the Project will not adversely affect marine resources, environmentally sensitive areas, or archaeological or paleontological resource.
3. The proposed development will not adversely affect recreational or visitor-serving facilities or coastal scenic resources.
The proposed Tentative Parcel Map to consolidate four existing parcels into two legal parcels will not adversely affect recreational or visitor-serving facilities or coastal scenic resources. The subject property is located inland between Glenneyre Street and Catalina Street within an established residential and commercial corridor and is a previously developed infill site currently occupied by a religious institution and surface parking lot which does not contain, adjoin, or interfere with any recreational or visitor-serving facilities. The site is not visible from shoreline accessways and does not block or degrade any designated coastal view corridor. In addition, the project site does not include development on a ridgeline, blufftop, or other visually prominent coastal landform and will not adversely impact scenic coastal views from public streets or viewing areas. Because the current application is limited to lot consolidation and simply establishes two legal lots for the approved housing development and the existing religious institution, the Project will not adversely affect recreational or visitor-serving facilities or coastal scenic resources.
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.
TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
The proposed Tentative Parcel Map to consolidate four existing parcels into two legal parcels will not adversely affect environmentally sensitive habitats or scenic resources located in adjacent parks or recreation areas. The subject property is an existing developed infill site located within an urbanized setting and does not directly adjoin, any park, recreation area, or open space preserve. The site is bordered by developed residential and commercial properties and streets and no sensitive habitats are on or near the property. The Affordable Housing Projects and Site Improvements are confined to the existing disturbed and previously developed portions of the site, and the Merger would not alter or expand the scope, location, or intensity of these improvements. Accordingly, the Project is sited and designed to avoid adverse impacts to environmentally sensitive habitats and scenic resources and provides adequate separation from such resources.
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.
The proposed Tentative Parcel Map to consolidate four existing parcels into two legal parcels will not alter natural landforms and will not result in undue risks from geological, erosional, flood, or fire hazards. The application is limited to lot consolidation and does not authorize any additional grading or site disturbance beyond what was reviewed for the housing development.
The site’s geotechnical conditions were evaluated in a preliminary Geotechnical Report dated December 2, 2025 (Attachment 5). According to regional geologic mapping, the site is underlain by a veneer of Quaternary terrace deposits over Tertiary Topanga Formation bedrock. The report concludes that development of the site is feasible, provided its recommendations are incorporated into the final design and construction. The report further indicates that the subject site is not located within a designated Seismic Hazard Zone, including areas susceptible to earthquake-induced landslides or liquefaction, nor within a State of California Earthquake Fault Zone. No faults were encountered during the site investigation, and none are mapped across the site based on reviewed regional geologic data.
With respect to hydrologic conditions, the peer-reviewed Hydrology and Hydraulics Study, dated February 2025, prepared by KES (Attachment 6) found that the proposed improvements include storm drains and catch basins onsite that are designed for a 100-year storm event,, and that the project would not increase runoff at the site outlet or adversely affect the hydrologic function of the significant watercourse. Because the proposed Tentative Parcel Map does not create new building sites and does not expand the scope of physical improvements evaluated for the housing development, it does not increase exposure to flood, geologic, erosional, or fire hazards. Accordingly, the Project satisfies this review criterion.
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.
The proposed Tentative Parcel Map to consolidate four existing parcels into two legal parcels will not adversely affect the visual character of the surrounding area. The parcel map itself does not authorize TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
any new visible physical improvements; rather, it establishes two legal parcels for the housing development and existing religious institutional use. The parcel map will not create any visual impacts to the surrounding neighborhood as the Project does not include any additional development for the site beyond what was previously approved. Additionally, the scope of the Project is limited to lot consolidation and reconfiguration and does not expand the scope of the housing development; therefore, the Project is consistent with this review criterion.
7. The proposed development will not have any adverse impacts on any known archaeological or paleontological resource.
The proposed Tentative Parcel Map to consolidate four existing parcels into two legal parcels will not have any adverse impacts on known archaeological or paleontological resources. The parcel map does not authorize any additional ground disturbance beyond what was reviewed for the housing development. As established with review of the City’s maps, no known archaeological or paleontological resources are present on the site or in the immediate vicinity. Because the current application is limited to lot consolidation and reconfiguration and does not expand the scope of physical development already evaluated for the housing development, the Project will not adversely affect any known archaeological or paleontological resource.
8. The proposed development will be provided with adequate utilities, access roads, drainage and other necessary facilities.
The proposed parcels will be served by adequate utilities, access, drainage, and other necessary facilities. The project site is located within an urbanized area currently served by existing public streets and utility systems, including water, sewer, storm drainage, electrical, telecommunications, and emergency services infrastructure. As shown on the Tentative Parcel Map, the site has frontage on Glenneyre Street, St. Ann’s Drive, and Catalina Street. Glenneyre Street and St. Ann’s Drive will continue to provide direct access to the site, and a reciprocal access easement between Parcel 1 and Parcel 2 will provide for perpetual vehicular and pedestrian ingress, egress, and access between the parcels, including access to and from all structures, parking areas, walkways, and emergency access routes. The church and Montessori school that will remain on the Property will continue to be served by all necessary utilities and facilities.
Technical studies prepared for the project and reviewed by the City and third-party consultants confirm that existing infrastructure and utility facilities have sufficient capacity to serve the proposed development. These studies include:
• Phase I ESA, dated April 10, 2026, prepared by Altec Testing (Attachment 10) • Geotechnical Report (LGC Geotechnical), dated December 2, 2025 (Attachment 11) • Hydrology and Hydraulics Study (KES), dated February 2025 (Attachment 12) • Sanitary Sewer Analysis (KES), dated December 2025 (Attachment 13) • Water Quality Management Plan (KES), dated December 2025 (Attachment 14) TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
• Traffic Memo (Urban Crossroads, Inc.), dated November 26, 2025 (Attachment 15) The sewer analysis concluded that the Housing Development Project’s estimated wastewater discharge of approximately 0.008 cubic feet per second represents a negligible increase to the existing 8-inch sewer line capacity and will not adversely impact the operation of the sanitary sewer system.
Similarly, the Water Quality Management Plan and Hydrology and Hydraulics Study analysis determined that the proposed stormwater facilities and subsurface chamber system are designed in accordance with applicable County of Orange Flood Control standards and are capable of accommodating runoff from a 100-year storm event without creating additional drainage impacts beyond the project boundaries.
The current application is limited to lot consolidation and reconfiguration and does not modify or expand the scope of physical development already evaluated for the housing development.
Accordingly, the prior analyses concluding that adequate utilities, road access, drainage, and other necessary facilities are available to serve the uses on the Property remain applicable.
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 parcels will be adequately served by public services, including solid waste collection and public roadway capacity. The parcel map does not create additional lots, dwelling units, or development intensity beyond the previously approved housing development and therefore does not generate any new demand for public services beyond what has already been evaluated for the site.
The Project site is located within an urbanized area currently served by existing municipal infrastructure and public services. The Project site will continue to utilize established public roads which are designed and maintained to accommodate the additional residential density.
Based on the Traffic Memo, dated November 26, 2025, prepared by Urban Crossroads, Inc. (Attachment 15), the project will generate 140 two-way vehicle trips per day with 11 AM peak hour trips and 14 PM peak hour trips. The traffic volume generated by the development would not exceed the capacity of the surrounding roadway network which will retain a LOS of A pre- and postconstruction, and will not substantially alter existing circulation patterns.
Adequate areas for trash storage and collection have been included on the basement level of the parking garage as well on the first level of the development in compliance with applicable City requirements and service provider standards. The site will continue to be served by existing waste collection services, and the incremental increase in solid waste generation associated with the development does not exceed the capacity of existing facilities or services.
The current application is limited to lot consolidation and reconfiguration and does not modify or expand the scope of physical development already evaluated for the housing development. As such, TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
the prior analyses concluding that adequate public services, including roadway capacity, solid waste service, and other municipal facilities are available to serve the project remain applicable.
The project is furthermore consistent with all applicable policies of the Certified LCP.
LCP COASTAL POLICIES (CDP)
Land Use Element (LU) Policy 10.1. Require that all subdivisions, including parcel maps, are compatible with neighborhood character including building pad elevations, visual and physical relationships to natural topography, open space, view corridors and surrounding residences, and neighborhood access.
The proposed Tentative Parcel Map is consistent with Policy 10.1 in that it consolidates four existing lots into two legal lots for a housing development and the existing religious institutional use and does not create additional lots or alter the development pattern on the site. As detailed above under Finding Nos. 4, 6, and 7, the proposed project is compatible with the site’s natural topography, neighborhood character, and access pattern. Accordingly, the proposed parcel map is compatible with neighborhood character, including building pad elevations, visual and physical relationships to topography, surrounding residences, and access.
Land Use Element (LU) Policy 10.8 Avoid creation of building sites that will result in significant adverse impacts on the community.
The proposed Tentative Parcel Map is consistent with Policy 10.8 because it does not create new building sites. Instead, it consolidates four existing parcels into two legal parcels. The parcel map creates two distinct building sites subject to the environmental, access, and site constraints evaluated above. As a result, the parcel map does not create a new building site that would result in significant adverse impacts to the community.
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 proposed Project is not located between the sea and the first public road paralleling the sea. The subject property is situated inland between Glenneyre Street and Catalina Street and within an established commercial and residential neighborhood and is separated from the shoreline by intervening development and public streets. Accordingly, this finding does not apply. Nevertheless, as detailed in the facts supporting Finding No. 1, the proposed development is in conformity with the certified Local Coastal Program.
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.
TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
The proposed Project will not result in any significant adverse environmental impacts within the meaning of the California Environmental Quality Act. As described elsewhere in this report, the Project is statutorily exempt from CEQA pursuant to Government Code Section 65913.16(l)(7) and is not a project under Government Code Sections 65913.16(b)(12)(B) and (b), and no evidence in the record indicates the potential for a significant environmental effect. Accordingly, the Project is consistent with this finding.
FINANCIAL ANALYSIS
The recommended action has no financial impact to the budget.
ENVIRONMENTAL ANALYSIS
TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
The proposed merger is being processed in conjunction with the previously approved Housing Development Project and associated Site Improvements approved by the Planning Commission on June 3, 2026. In acting on the Housing Development Project and associated Site Improvements, the Planning Commission relied on the prior environmental analysis prepared for the City’s adopted Housing Element, including the Housing Element Initial Study/Negative Declaration, for which the City Council approved the Housing Element on January 11, 2022, with a Notice of Determination filed on January 25, 2022. As part of that prior analysis, the subject property was identified in the City’s Housing Element site inventory as a key opportunity site for affordable housing. The Housing Element environmental review contemplated redevelopment of the site with affordable residential uses, including the retention of church uses on-site, and analyzed development capacity for residential construction on the property. The approved Housing Development Project proposes 29 residential units, together with associated Site Improvements and the Merger, which fall within the development assumptions previously evaluated in the Housing Element Initial Study/Negative Declaration. Accordingly, the proposed Merger does not require new environmental review because it is part of the same project previously analyzed and approved, and the City has not identified: (1) substantial changes to the project requiring major revisions to the previous environmental document due to new significant environmental effects or a substantial increase in the severity of previously identified effects; (2) substantial changes in the circumstances under which the project is being undertaken that would require major revisions to the previous environmental document; or (3) new information of substantial importance showing new or more severe significant effects that could not have been known when the prior negative declaration was adopted. Under Public Resources Code Section 21166 and State CEQA Guidelines Section 15162, when those circumstances are absent, no subsequent or supplemental environmental review is required. The proposed Merger is therefore within the scope of the prior CEQA determination for the Housing Development Project and associated Site Improvements, and the City may rely on that prior environmental analysis for purposes of taking action on the Merger. The Merger is being processed as an implementing action for the previously approved Housing Development Project and does not alter the nature, intensity, or environmental effects of the underlying development in a manner that would trigger further CEQA review. As an independent and alternative basis, the Planning Commission also found that the Housing Development Project component of the project qualifies for streamlined, ministerial treatment under the Affordable Housing on Faith and Higher Education Lands Act of 2023, Government Code section 65913.16, because the Housing Development Project satisfies the eligibility criteria and objective development standards as allowed by that statute and the Density Bonus Law. A qualifying housing development project approved as a “use by right” under Government Code section 65913.16 is not a “project” for purposes of CEQA. (Gov. Code, §65913.16(c), (b)(12)(B).) In addition, the Merger component of the project was found statutorily exempt from CEQA pursuant to Government Code section 65913.16, subdivision (l)(7), because the Merger is consistent with the objective subdivision standards in Chapter 21.08 of the Laguna Beach Municipal Code and Density Bonus Law. A Notice of Exemption was filed with the County Clerk-Recorder and the Governor’s Office of Land Use and Climate Innovation on June 5, 2026 and June 10, 2026, respectively. (SCH Number 2026060438.) Notably, the Housing Development Project and the Planning Commission’s approval of the same specifically contemplated the Merger. (Planning Commission-adopted Resolution No. 2026-0865.) For these reasons, no further environmental review is required under State CEQA Guidelines Section 15162 or, in the alternative, the project is not a “project” or is exempt under Government Code Sections 65913.16(c), (b)(12)(B), and 65913.16(l)(7), and no further environmental analysis is required under CEQA.
TENTATIVE PARCEL MAP 2026-0865 AND COASTAL DEVELOPMENT PERMIT 2026-0954 AT 340 ST. ANN’S DRIVE
July 7, 2026
ATTACHMENTS
1. City Council Resolution (Pgs. 21-46)
2. June 3, 2026 PC Staff Report (Pgs. 47-103)
3. Adopted PC Resolution No. 2026-1135 (Pgs. 104-138)
4. Adopted PC Resolution No. 2026-0865 (Pgs. 139-158)
5. June 3, 2026 PC Project Plans (Pgs. 159-197)
6. June 3, 2026 Public Correspondence (Pgs. 198-390)
7. June 3, 2026 Minutes (Pgs. 391-395)
8. Application (Pgs. 396-430)
9. Tentative Parcel Map (Pgs. 431-435)
10. Phase I ESA, dated April 10, 2026, prepared by Altec Testing and Engineering (Pgs. 436-491)
11. Geotechnical Report (Pgs. 492-581)
12. Hydrology and Hydraulics Study (Pgs. 582-606)
13. Sanitary Sewer Analysis (KES), dated December 2025 (Pgs. 607-616)
14. Water Quality Management Plan (KES), dated December 2025 (Pgs. 617-818)
15. Traffic Memo (Urban Crossroads, Inc.), dated November 26, 2025 (Pgs. 819-826) Submitted By: Matthew Schneider Approved: .
Matthew Schneider, Director of
Community Development
Dave Kiff, City Manager
Report Prepared By: Coordinated With:
Shaveta Sharma, Senior Planner Jane Abzug, Assistant City Attorney Anthony Viera, Deputy Director of Community
Development