Attachment A
Resolution No. 2026-21
RESOLUTION NO. 2026-_
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
NEWPORT BEACH, CALIFORNIA, APPROVING AN
APPEAL AND OVERTURNING THE DECISION OF THE
PLANNING COMMISSION TO DENY A CONDOMINIUM
CONVERSION, TENTATIVE PARCEL MAP, CONDITIONAL
USE PERMIT, TRAFFIC STUDY, AND PARKING WAIVER
TO ALLOW THE CONVERSION OF AN EXISTING
PROFESSIONAL OFFICE COMPLEX TO MEDICAL OFFICE
CONDOMINIUMS AS MODIFIED FOR THE PROPERTY
LOCATED AT 20280 AND 20312 ACACIA STREET
(PA2024-0236)
WHEREAS, the City ofNewport Beach ("City")isgoverned, inpart,by the Charter of the City of Newport Beach, Newport Beach Municipal Code ("NBMC'), and Council Policies;
WHEREAS, Section 200 of the City Charter vests the City Council with the authorityto make and enforce alllaws, rules,and regulationswith respect to municipal affairssubject only to the restrictionsand limitationscontained in the Charter and the State Constitution,and the power to exercise,or act pursuant to any and allrights,powers and privileges,or procedures granted or prescribedby any law of the State of California; WHEREAS, an application was filed by CGM Development ("Applicant"), concerning property located at 20280 and 20312 Acacia Street,and legallydescribed as Lots 68 and 69 of Tract 706 ("Property");
WHEREAS, the Applicant requested to convert the entiretyof an existingthree- storyprofessionalofficebuildingintomedical officecondominiums ("OriginalProject"); WHEREAS, the Original Project required the approval of a condominium conversion and tentativeparcelmap to create 12 airspace condominium unitsforindividual sale, requiringa conditionaluse permit authorizingmedical officeuse and a 32-space parkingrequirementreduction,as wellas a trafficstudy;
WHEREAS, the Property isdesignated General Commercial Ofifce(CO-G) by the General Plan Land Use Element and is located within Business Park (BP) Districtof the Santa Ana Heights SpeciifcPlan (SP-7);
WHEREAS, the Property isnot locatedwithinthe coastalzone; 21 Resolution No. 2026-
WHEREAS, a publichearingwas heldby the PlanningCommission on November 20, 2025, in the Council Chambers at 100 Civic Center Drive,Newport Beach, California.A noticeof the time, place,and purpose of the hearing was given in accordance with Government Code Section 54950 et seq. ("Ralph M. Brown Act"), Chapter 19.12 (TentativeMap Review),and Chapter 20.62 (PublicHearings)of the NBMC. Evidence, both writtenand oral,was presented to and considered by the Planning Commission at thishearing;
WHEREAS, at the hearing, the Planning Commission determined the establishmentof medical officecondominiums along with the requested parkingwaiver to be inconsistentwithSections20.52.020 (ConditionalUse Permits and Minor Use Permits),
19.64.070 (StandardsforCondominium Conversions),and 19.12.070 (Required Findings forAction on TentativeMaps) of the NBMC, thereby denying the OriginalProjectby a majorityvote (6 ayes, 0 nays, 1 abstention);
WHEREAS, the Applicantfileda timelyappeal of the Planning Commission's decisionon November 25, 2025, citingtwo primarygrounds: (1)the Planning Commission failedto specifyor identifythe requiredifndingsto support denial of the condominium subdivisionmap, and (2)the PlanningCommission denied the conditionaluse permitbased on an asserted lackof information,despiteevidence demonstratingthatthe OriginalProject met minimum parking requirements and is not under-parked pursuant to Section
20.40.110(B)(Reductionof Required Off-StreetParking)of the NBMC; WHEREAS, subsequent to filingthe appeal, the Applicant revised the Original Projectto address the concerns identifiedby the Planning Commission by reducing the medical officecomponent to approximately 67% of the existingthree-storyprofessional officebuilding,withthe remainder allocatedto professionalofficeand surgicalcenter uses, which reduced the requested parkingwaiver from 22.8% to 14.2% and resultedina revised requestforan 18-space parkingreduction("Project");
WHEREAS, the Projectalso includesa Parking Management Plan, includingvalet operations,to provide an additional14 parking spaces, which has been reviewed and recommended forapproval by the PublicWorks Department;
WHEREAS, Project implementation continues to require approval of a condominium conversion and tentativeparcelmap to create 12 airspace condominium units forindividualsale,requiringa conditionaluse permitto authorize medical officeuse and a trafficstudy;and
Resolution No. 2026-
WHEREAS, a publichearingwas held by the CityCouncilon April14, 2026, inthe City Council Chambers at 100 CivicCenter Drive,Newport Beach, California92660. A noticeoftime,placeand purpose of the publichearingwas given in accordance with the Ralph M. Brown Act and Chapters 19.12 (TentativeMap Review) and 20.62 (Public Hearings) of the NBMC. Evidence, both writtenand oral,was presented to,and considered by,the CityCouncilatthispublichearing.
NOW, THEREFORE, the City Council of the City of Newport Beach resolves as follows:
Section 1: The City Council has considered the decision of the Planning Commission on the OriginalProjectand determined that the Project does not require referralback to the Planning Commission forconsiderationand recommendation.
Section 2: The City Council does hereby approve the Project(PA2024-0236), as modified by the Applicantfollowingthe Planning Commission publichearing, based upon the Findings attached hereto as Exhibit"A" and subjecttothe ConditionsofApproval set forth in Exhibit "B,"which are attached hereto and incorporated herein by reference.
Section 3: The recitalsprovided in thisresolutionare true and correct and are incorporated intothe operative partof thisresolution.
Section 4: If any section, subsection, sentence, clause or phrase of this resolutionis,forany reason, held to be invalidor unconstitutional,such decision shallnot affectthe validityor constitutionalityofthe remaining portionsof thisresolution.The City Council hereby declares that itwould have passed this resolution,and each section, subsection,sentence, clause or phrase hereof,irrespectiveof the factthat any one or more sections, subsections, sentences, clauses or phrases be declared invalid or unconstitutional.
Section 5: The City Council findsthe adoption of thisresolutionisexempt from environmental review under the California Environmental QualityAct ("CEQA") pursuant to Section 15301 under Class 1 (ExistingFacilities),of the CEQA Guidelines, California Code of Regulations,Title14, Division6, Chapter 3 because ithas no potentialto have a significanteffecton the environment.
Resolution No. 2026-_
The Class 1 (ExistingFacilities)exemption includes the operation, repair, maintenance, permitting,leasing,licensing,or minor alterationof existingpublicor private structures,facilities,mechanical equipment, or topographical features, involving negligibleor no expansion of use. The Class 1 exemption includes interioror exterior alterationsinvolving such things as interiorpartitions,plumbing, and electrical conveyances as wellas additionsto existingstructuresof up to 10,000 square feet.The Projectwillconvert a portionof an existingprofessionalofficebuildingto medical office condominiums. No physicalchanges are proposed forthe Projectother than minor interior alterationsto the existingbuildingthatisotherwise exempt from CEQA. The parking and trafficstudiesshow there willbe adequate parking and the Projectwillnot impact area intersections.
The exceptions to this categoricalexemption under Section 15300.2 are not applicable.The Projectlocationdoes not impact an environmental resource of hazardous or criticalconcern, does not resultin cumulative impacts,does not have a significanteffect on the environment due to unusual circumstances, does not damage scenic resources withina statescenic highway, is not a hazardous waste site,and is not identifiedas a historical resource.
Resolution No. 2026-
Section 6: This resolutionshalltake effectimmediately upon itsadoption by the CityCouncil,and the CityClerk shallcertifythe vote adopting the resolution.
ADOPTED this14th day of April,2026.
Lauren Kleiman
Mayor
ATTEST:
Lena Shumway
City Clerk
APPROVED AS TO FORM:
CITY ATTORNEY'S OFFICE
ti. .
a n C. Harp
CityAttorney
Attachments: Exhibit"A" - Findings
Exhibit"B" - Conditions of Approval
EXHIBIT "A"
FINDINGS
FINDINGS IN SUPPORT OF CONDOMINIUM CONVERSION, TENTATIVE PARCEL MAP, CONDITIONAL USE PERMIT, AND TRAFFIC STUDY (PA2024-0236) Condominium Conversion
In accordance with Section 19.64.070 (Standards forCondominium Conversions) of the NBMC, the followingfindingsand factsinsupportofsuch findingsare set forth:
Finding:
A. The number of off-streetparking spaces thatwere required at the time of original construction shall be provided on the same property to be converted to condominium purposes, and the design and locationof such parking shallbe in conformance withthe provisionsof Chapter 20.40 (Off-StreetParking).
Facts in Support of Finding:
The Property consistsof one commercial officebuildingwhich totals27,931 gross square feet,as wellas an existing109 space on-siteparking lot.At the time of the originalconstructionin 2002, the officebuildingwas required to provide 109 parking spaces (27,095 net square feet/ 250 = 109). The originaldevelopment consisted of 110 spaces; however, subsequent to the construction of the office buildings,the parking lothas been reduced to 109 spaces to meet accessibility requirements. The 109 spaces provided comply with the minimum required for professionalofficeuse.
2. Facts 4 and 5 of FindingV are hereby incorporatedby reference.
Finding:
B. Each dwellingunitwithina buildingshallhave a separate sewer connection to the Citysewer.
Finding B isnot applicableas no residentialdwelling unitsare proposed.
Finding:
C. Each sewer lateral shall be retrofitted/fittedwith a cleanout at the property line. r
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4 Fact in Support of Finding:
As conditioned,the existingsewer lateralsforthe buildingsshallbe retrofitted/fittedwith a cleanoutto comply with thisrequirement priorto recordation of the Tentative Parcel Map.
Finding:
D. Each unitshallmaintain a separate water meter and water meter connection.
Facts in Support of Finding:
The Property is located within the IrvineRanch Water Districtand Costa Mesa SanitaryDistrictservicearea.Therefore,FindingD isnot applicablesince the City does not supply water and/or sewer servicesto the Property.
2. As conditioned,the Applicantshallform an owner's associationresponsible forthe payment of water fees to ensure common water connection use will not be detrimentaltothe tenantsofthe Propertyor surroundingproperties.
Finding:
E. The electricalserviceconnection shallcomply with the requirements of Chapter
15.32 of the NBMC.
Fact in Support of Finding:
The electricalserviceconnection forthe existingofficebuildingcomplies with Chapter
15.32 (Underground Utilities)of the NBMC because allelectricalserviceto the Property isinstalledunderground.
Finding:
F. The applicant for a condominium conversion shallrequest a special inspection from the BuildingDivisionfor the purpose of identifyingany building safety violations.The applicant shall correct all identifiedsafety violationsprior to approval of a finalmap forthe condominium conversion.
Facts in Support of Finding:
A specialinspectionwas completed by the BuildingDivision on July 24, 2025. The inspectionidentifiedthatthe existingofficebuildingcomplies with the minimum building code requirements and does not need to be upgraded as part of the condominium conversion request.
Finding:
G. Permanent lotstakes and tags shallbe installedat alllotcorners by a licensed surveyor or civilengineer unless otherwise requiredby the CityEngineer.
Fact in Support of Finding:
As conditioned,the Projectwillcomply with thisrequirement priorto recordation of the Final Parcel Map.
Finding:
H. For residentialconversions,the projectshallbe consistent with the adopted goals and policiesof the General Plan, particularlywith regards to the balance and dispersionof housing types withinthe City.
Fact in Support of Finding:
FindingH isnot applicableas no residentialdwellingunitsare proposed.
Finding:
The establishment, maintenance or operation of the use or buildingapplied for shallnot,under circumstances of the particularcase, be detrimental to the health, safety,peace, comfort and general welfare of person residingor working in the neighborhood of such proposed use or be detrimentalor injuriousto property and improvements in the neighborhood or the general welfare of the City.
Facts in Support of Finding:
1. The applicationof Projectconditionswillensure the health,safety,peace, comfort, and general welfare of persons residingor working in the neighborhood and the City.
2. A specialinspectionwas completed by the BuildingDivisionon July 24, 2025. The inspectionidentifiedthat the existingofficebuildingcomplies with the minimum buildingcode requirements and does not need to be upgraded as part of the condominium conversion request.
3. Accessibilityupgrades in compliance with the Americans with DisabilitiesAct will be requiredtoensuretheuse ofthebuildingand Propertyare not detrimental to persons working or residinginthe neighborhood.
TentativeParcel Map
In accordance with Section 19.12.070 (Required FindingsforAction on Tentative Maps) of Title19 (Subdivisions)of the NBMC, the followingfindingsand factsinsupport of such findingsare set forth.
Finding:
J. That the proposed map and the design or improvements of the subdivision are consistent with the General Plan and any applicable specificplan, and with applicableprovisionsof the Subdivision Map Act and thisSubdivision Code.
Fact in Support of Finding:
The Tentative Parcel Map is for nonresidentialcondominium purposes. The proposed subdivisionof an existingcommercial ofifcebuildingisconsistentwith provisionsof the SubdivisionMap Act,the SP-7, and the CO-G (General Commercial Office)General Plan Land Use Element designation, which provides for administrative,professional,and medical offices.
Finding:
K. That the siteisphysicallysuitableforthe type and density of development.
Facts in Support of Finding:
The Property isdeveloped with one three-storybuildingconsistingof officeuses.
Several other buildingsconsistingof officeuses existnearby.
2. The lot is physically suitable for the proposed medical office density and development with the approval ofthe conditionaluse permit to allow fora reduction in parking based upon the parking management plan.The Property isrelativelyflat and has demonstrated since originalconstruction that itis able to adequately accommodate commercial office uses.
3. The Property isaccessible from Acacia Streetand isadequately served by existing utilities.
Finding:
L. That the design of the subdivisionor the proposed improvements are not likelyto cause substantialenvironmental damage nor substantiallyand avoidably injure fishor wildlifeor theirhabitat.However, notwithstandingthe foregoing,the decision making body may nevertheless approve such a subdivisionifan environmental impact report was prepared for the projectand a findingwas made pursuant to Section 21081 of the CaliforniaEnvironmental QualityAct thatspecificeconomic, social,or other considerations make infeasiblethe mitigationmeasures or project alternativesidentifiedinthe environmentalimpact report.
Facts inSupport of Finding:
The Propertyisalreadydeveloped and islocatedinan urbanized area that does not containany sensitivevegetationor habitat.
2. The Projectiscategoricallyexempt under Section 15301 (Article19 of Chapter 3), ofthe CEQA Guidelines- Class 1 (ExistingFacilities).
Finding:
M. That thedesignofthesubdivisionor thetypeofimprovements isnot likelytocause seriouspublichealthproblems.
Facts in Support of Finding:
1. The Tentative Parcel Map is for nonresidentialcondominium purposes. As previouslymentioned, a specialinspectionwas conducted by the BuildingDivision and no safety violationswere identified,therefore,the Projectwillnot create any serious publichealth concerns.
2. Any futureimprovements willbe requiredtocomply with allBuilding,PublicWorks, and FireCodes, which are inplace to preventseriouspublichealthproblems. Any publicimprovements requiredof the developer per Section 19.28.010 (General Improvement Requirements) of the NBMC and Section 66411 (Local agencies to regulate and controldesign of subdivisions)of the Subdivision Map Act shall comply with allordinances of the Cityand allConditionsof Approval.
Finding:
N. That the design ofthe subdivisionor the type ofimprovements willnot conflictwith easements, acquired by the publicat large,foraccess through or use ofproperty withinthe proposed subdivision.In thisconnection, the decision-makingbody may approve a map ifitfinds that alternateeasements, for access or for use, willbe provided and that these easements willbe substantiallyequivalent to ones previouslyacquired by the public.This findingshallapply only to easements of record or to easements established by judgment of a court of competent jurisdictionand no authorityishereby granted to the City Council to determine that the public at large has acquired easements foraccess through or use ofproperty within a subdivision.
Fact in Support of Finding:
The TentativeParcelMap forthe subdivisionofthe existingofficebuildingwillnot conflict withany publiceasements thatexistnearby.
Finding:
O. That,subjecttothe detailedprovisionsofSection66474.4 ofthe SubdivisionMap Act,ifthe land issubjecttoa contractenteredintopursuant to the CaliforniaLand ConservationAct of 1965 (WilliamsonAct),the resultingparcels followinga subdivision of the land would not be too small to sustain theiragriculturaluse or the subdivisionwillresultinresidentialdevelopment incidentalto the commercial agriculturaluse of the land.
Facts in Support of Finding:
The Property is not subject to the Williamson Act because the Property is not designated as an agriculturalpreserve.
2. The Property,developed forofficeuse, liesina zone thatpermitsofficeuses.
Finding:
P. That,inthe case of a "landproject"as definedin Section 11.000.5of the California Business and ProfessionsCode: (1)There isan adopted specificplan forthe area tobe includedwithinthe land project;and (2)the decisionmaking body findsthat theproposed landprojectisconsistentwiththe specificplan forthe area.
Fact in Support of Finding:
The Property is not a "land project"as defined in Section 11000.5 of the California Business and ProfessionsCode, therefore,isnot requiredto make consistencyfindings per the specificplan forthe area.
Finding:
Q. Thatsolaraccess and passiveheatingand coolingdesign requirements have been satisfied in accordance with Sections 66473.1 and 66475.3 of the SubdivisionMap Act.
Fact in Support of Finding:
Any futureimprovements are subjectto Title24 of the CaliforniaCode of Regulations, Parts 8 and 10 ("CaliforniaBuildingCode") that requiresnew construction to meet minimum heatingand coolingefficiencystandardsdepending on locationand climate.
The Newport Beach Building Divisionenforces Title24 compliance through the plan check and inspectionprocess.
Finding:
R. That the subdivision is consistent with Section 66412.3 of the SubdivisionMap Act and Section 65584 of the California Government Code regarding the City'sshare of the regionalhousing need and thatitbalances the housing needs of the region against the public service needs of the City'sresidents and availablefiscaland environmental resources.
Fact in Support of Finding:
The Property lieswithin an officesitewithin the BP Districtof the SP-7 that currently prohibitsresidentialuses. The City'sexistingHousing Element does not identifythe Property as a housing opportunitysite,therefore,the approval of the proposed tentative parcel map for non-residentialcondominium purposes willnot hinder the City'sabilityto provide adequate sitesto meet itsshare of the regionalhousing need.
Finding:
S. That the discharge of waste from the proposed subdivisionintothe existingsewer system willnot resultin a violationof existingrequirements prescribed by the Regional Water Quality Control Board.
Fact in Support of Finding:
As conditioned,wastewater discharge intothe existingsewer system shallcomply with the Regional Water QualityControl Board ("RWQCB") requirements.
Finding:
T. For subdivisionslyingpartlyor wholly withinthe Coastal Zone, thatthe subdivision conforms with the certifiedLocal Coastal Program and, where applicable, with publicaccess and recreationpoliciesof Chapter Three of the Coastal Act.
Facts in Support of Finding:
The Projectisnot locatedwithinthe Coastal Zone.
Conditional Use Permit
In accordance with Section 20.52.020(F) (Findings and Decision) of the NBMC, the followingfindingsand factsinsupportofsuch findingsare set forth:
Finding:
U. The use is consistent with the General Plan and any applicablespecificplan.
Facts in Support of Finding:
1. The Land Use Element of the General Plan designatesthe Property as General Commercial Office (CO-G), which is intended to provide administrative, professional,and medical officeswith limitedaccessory retailand service uses.
The Projectis consistentwith thisdesignationas it is for the conversion of professionalofficesintomedical ofifcecondominiums.
2. General Plan Land Use Element Policy2.4 (Economic Development) encourages the accommodation of uses that maintain or enhance the City'sifscalhealth, accounting formarket demands while maintainingand improving the qualityof life forresidents.Due tothe COVID-19 pandemic, the market demand for commercial officespace has been alteredfor the foreseeable future.The conversion of the unitsto a medical officeprovides a sustainable use which would serve residents' medical needs and enhance the overall fiscal health of the Property.
3. General Plan Circulation Element Goal CE 8.1's stated policygoal isto provide "An adequate supply of convenient parkingthroughoutthe City."PolicyCE 8.1.1 stated policy goal is to "Require that new development provide adequate, convenient parking for residents,guests, business patrons, and visitors."The existingparking lotcomplies with currentregulationsfor drive aisleand parking stallwidths. As discussed in Finding A and V below, the proposed parking reduction is consistentwith Policy CE 8.1.1 because adequate parking willbe provided based upon the proposed uses.
4. General Plan Circulation Element Goal CE 7.1's stated policygoal isto,"Promote strategies to reduce the use of internalcombustion passenger cars and the attendant greenhouse gas emissions." Policy CE 7.1.5 stated policy goal is to "Require new development projects to provide facilitiescommensurate with development type and intensityto support alternativemodes, such as preferential parkingforcarpools,bike racks,bike stations,bicyclelockers,showers, commuter informationareas, ridesharevehicleloading areas, water transportationdocks, and bus stop improvements." The existingparkinglotwillbe improved to provide a shared mobilityparking space (i.e.rideshareparking).As discussed in Finding A and V below, the parking reduction is consistentwith Policy 7.1.6 because adequate parkingwillbe providedbased upon the proposed uses.
5. The Property isdesignated as partofthe BP Districtof the SP-7, which isintended to provideforthe development and maintenance ofprofessionaland administrative offices,commercial uses, specificuses relatedto product development, and limited lightindustrialuses. The Projectisconsistentwith thisdesignation as itisforthe conversion of professional officesintomedical officecondominiums.
Finding:
V. The use isallowedwithintheapplicablezoning districtand complies with allother applicableprovisionsofthisZoning Code and the MunicipalCode.
Facts in Support of Finding:
Fact 5 inSupport of Finding U ishereby incorporated by reference.
2. Within the BP Districtof the SP-7, medical officesare an allowed use with the approval of a use permit.
3. With the conversion of the commercial offices to medical officecondominiums, the Applicantproposes minor improvements tothe parkinglotcirculationby providing a turnaround space atthe existingdead-end driveaisles,which would bringthem intocompliance with currentdesign standards. With the modifications,a totalof 108 spaces inthe parking lotare provided.
4. The Applicant seeks a reduction in the required parking. Section 20.40.110 (Adjustments to Off-StreetParking Requirements) of the NBMC requires 126 parking spaces to support the proposed medical office,professional officeand surgicalcenter use (Medical Use: 18,898 gross square feet /200 = 95 spaces; ProfessionalOfficeUse: 4,301 net square feet/250= 17 spaces; Surgical Center Use: 3,440 gross square feet/250= 14 spaces; resultingin a totalof 126 spaces required).There are 108 spaces provided,resultingina code-required deficitof 18 spaces. An updated parking study followingthe Planning Commission meeting based on the revisionsto the Project,dated February 24, 2026, was prepared by Michael Baker International("ParkingStudy").The Parking Study analyzed the overallparking demand of the proposed medical office,professional officeand surgery center condominiums by providingweekday parking surveys taken from two comparable medical officebuildingswithin Orange County. The analysis determined that the average peak demand for medical officeis 3.90 parking spaces per 1,000 square feet.Therefore, the projected parking demand for medical officeis74 spaces. Given the proposal includesprofessionalofficeand a surgicalcenter,the totalprojectedparkingdemand as outlinedinthe parkingstudy forthe medical office,professionalofficeand surgicalcenter is 105 spaces.
5. Although the existingparkinglotprovides108 spaces (i.e.,a 3-space surplus),the Projectalsoproposes a parkingmanagement plan inthe form of a valetplan which increasesthe availableparkingspaces by 14 should additionalonsite parking be needed. This yieldsa totalof 122 parking spaces onsite.In addition,one parking space is proposed to be designated as a ridesharepick-upand drop-offspace.
The Parking Study concludes thatthe proposed parking supply of 108 parking spaces is adequate to accommodate the parking demand associated with the 67%-conversion of the space from professionalofficeto medical officeuse.
6. As conditioned,urgent care facilitiesare not permittedas part of the converted medicalofficeplaza,which ensures thatthe Projectwould be consistent with the assumptions identifiedinthe Parking Study.
Finding:
W The design,location,size,and operatingcharacteristicsof the use are compatible withthe allowed uses in the vicinity.
Facts in Support of Finding:
The Propertyconsistsof one, three-storyofficebuildingtotaling27,931 square feet.The Property abuts Acacia Streetto the north and issurrounded by other officeuses to the east,north,and west. The conversion ofthe existingprofessionalofficeto medical office condominiums is compatible with the land uses permitted within the surrounding development.
Finding:
X. The siteisphysicallysuitablein terms of design,location,shape, size,operating characteristics,and the provisionofpublicand emergency vehicle (e.g.,fireand medical) access and publicservices and utilities.
Facts in Support of Finding:
The Propertyis1.34 acres in area (58,443 square feet),generally rectangular in shape, and locatedina commercial area abuttingAcacia Street.The Projectisto partiallyconvert the existingcommercial officeintomedical officecondominiums.
No additionalfloorarea isproposed as a partof thisProject.
2. The Project currentlyconsists of one vehiculardriveway entrance intothe office plaza,along Acacia Street.As a partof the parkinglotmodification,the Applicant is seeking to add turn around space located at the dead end of a drive aisle to comply withcurrentstandards forparking lotcirculation.The new parkinglotlayout has been reviewed and approved by the PublicWorks Department.
3. The Public Works Department, BuildingDivision,and Fire Prevention Division have reviewed the applicationand providedappropriateconditionsof approval for the Project.The Project is required to obtain allapplicable permits from City Departments and must comply withthe most recent,City-adoptedversion of the CaliforniaBuildingCode.
Finding:
Y. Operation of the use at the locationproposed would not be detrimental to the harmonious and orderlygrowth ofthe City,nor endanger,jeopardize, or otherwise constitutea hazard to the publicconvenience, health,interest,safety,or general welfareofpersons residingor working inthe neighborhood of the proposed use.
Facts in Support of Finding:
1. The conversion of the existingcommercial officesto medical officecondominiums would be compatible with other commercial uses in the vicinityand would not be detrimentalto the adjacent officeuses.
2. The Projectis consistentwith the planned land use for the Property, Business Park.The Propertyissuitableforthe type and intensityof development proposed because the infrastructureserving the Property and surrounding area has been designed and developed to accommodate additionalcommercial use of the Property.Therefore, the conversion to medical officecondominiums would not be detrimental.
3. Based on the Original Project description,itis anticipated to generate a net increase of approximately 703 average daily trips;therefore,a trafficimpact analysisstudy has been completed. No significantimpacts related to traffichave been identified.The Project description generates 562 average daily trips; therefore,the use of the originaltrafficstudy is appropriate as itprovides for a conservative approach.
4. Compliance withthe conditionsof approval isrequiredand willfurtherensure that the proposed use willnot be detrimental.
TrafficStudy
In accordance with Section 15.40.030(A)(TrafficPhasing Ordinance) of the NBMC, the followingfindingsand factsinsupport of such findingsare set forth:
Finding:
Z. That a trafficstudy fortheprojecthas been prepared in compliance with thisNBMC Chapter 15.40 and Appendix A.
Facts in Support of Finding:
A TrafficStudy, titled"Acacia Atrium Medical Office Condos Traffic Impact Analysis"dated June 20, 2025, was prepared by Ganddini Group, Inc.under the supervisionofthe CityTrafifcEngineer forthe OriginalProjectin compliance with Chapter 15.40 (TrafficPhasing Ordinance) of the NBMC and Appendix A. The Projectdescriptiongenerates 562 average dailytrips;therefore,the use of the originaltrafifcstudy isappropriateas itprovidesfora conservativeapproach.
2. Based on the OriginalProjectdescription,the Projectisanticipatedto generate a net increaseof approximately703 average dailytrips;therefore,a TrafficStudy pursuant to the TrafficPhasing Ordinance has been completed. No significant impacts related to traffichave been identified,as no study intersection is forecastedto operate deficiently,and on-sitecirculationisadequate as proposed.
Finding:
AA. That,based on the weight of the evidence in the administrativerecord, including the trafficstudy,one of the findingsforapproval in subsection 95.40.030 (B) can be made:
Construction of the project willbe completed within 60 months of project approval; NBMC Section 15.40.030(B)(1)or
The projectwillneithercause nor make worse an unsatisfactorylevelof traffic service at any impacted intersection.NBMC Section 15.40.030(B)(1)(a).
Facts in Support of Finding:
1. The Projectisanticipatedto be completed in2026. Ifthe Projectisnot completed within 60 months of this approval, preparation of a new trafficstudy may be required.
2. The TrafficStudy included 13 study intersectionsthatwere analyzed for potential impacts based on the City'sIntersectionCapacity Utilizationmethodology. Utilizing this methodology, the TrafficImpact Analysis determined that the 13 primary intersectionsidentifiedwillcontinue to operate at satisfactorylevelsof service as defined by the TrafficPhasing Ordinance.
Finding:
BB. That the projectproponent has agreed tomake or fund the improvements, or make the contributions,that are necessary to make the findingsfor approval and to comply with allconditionsof approval.
Fact in Support of Finding:
No improvements or mitigationare necessary because implementation of the Projectwill neithercause nor make worse an unsatisfactorylevelof trafficserviceat any impacted primary intersectionwithinthe Cityof Newport Beach.
EXHIBIT "B"
CONDITIONS OF APPROVAL
(Project-specificconditionsare initalics)
1. The Projectshallbe insubstantialconformance withthe approved siteplan and floor plans stamped and dated with the date of thisapproval (except as modified by applicableconditionsof approval).
2. The Projectissubjectto allapplicableCityordinances,policies,and standards, unless specificallywaived or modifiedby the conditionsof approval.
3. Applicant shallcomply with allfederal,state,and local laws. Material violationof any of those laws inconnection withthe use may be cause for revocation of this Use Permit.
4. Urgent care facilitiesare not permitted withinthe medical officebuilding.
5. Priorto the recordationof the parcel map, the Applicant shallsubmit a landscape and irrigationplan prepared by a licensedlandscape architect.These plans shall incorporatedrought tolerantplantingsand water efficientirrigationpractices,and the plans shallbe approved by the Planning Division.The landscape plan shall includeplantingsthatare maintained to furtherscreen the parking lotand to deter people from parking inabuttingoff-siteparking lots.
6. Priorto the recordationof the parcel map, the Applicant shall construct a fence abuttingadjacentpropertiesthatacts as a visualscreen and precludes pedestrian access between properties,to the satisfactionof the Community Development Director.
7. Alllandscape materialsand irrigationsystems shallbe maintained in accordance withthe approved landscape plan.Alllandscaped areas shall be maintained in a healthyand growing conditionand shallreceiveregularpruning,fertilizing,mowing and trimming. Alllandscaped areas shallbe kept free of weeds and debris.All irrigationsystems shallbe kept operable, includingadjustments, replacements, repairs,and cleaningas partof regularmaintenance.
8. The ConditionalUse Permit and TrafficStudy filedas PA2025-0236 shallexpire unless exercised within 24 months from the date of approval as specifiedinSection
20.54.060 of the NBMC, unless an extension is otherwise granted.
9. The Condominium Conversion and Tentative Parcel Map shallexpireifthe Map has not been recorded within 24 months of the date of approval, unless an extension isgranted by the Community Development Directorin accordance with the provisionsof Section 19.16 (TentativeMap Expirationand Extension) of the NBMC.
10. This Use Permitmay be modifiedor revoked by the Planning Commission should they determine that the proposed uses or conditions under which itis being operated or maintained is detrimentalto the publichealth,welfare or materially injurioustopropertyor improvements in the vicinityor ifthe Property isoperated or maintained so as to constitutea publicnuisance.
11. Any change inoperationalcharacteristics,expansion in area, or other modification to the approved plans, shallrequire an amendment to this Use Permit or the processing of a new use permit.
12. A copy of the resolution,includingconditionsof approval Exhibit "A" shall be incorporatedintothe BuildingDivisionand ifeldsets of plans priorto issuance of the buildingpermits.
13. Prior to the issuance of a building permit, the Applicant shallpay any unpaid administrativecosts associated with the processing of this applicationto the Planning Division.
14. Prior to issuance of a building permit for each condominium, the Applicant shall pay a fairshare trafficfee forthe conversion of professionalofficeto medical office.
15. Constructionactivitiesshallcomply with Section 10.28.040 of the NBMC, which restrictshours of noise-generating construction activitiesthat produce noise between the hours of 7:00 a.m. and 6:30 p.m., Monday through Friday,and 8:00 a.m. and 6:00 p.m. on Saturday.Noise-generatingconstructionactivitiesare not allowed on Sundays, or Holidays.
16. Should the Property be sold or otherwise come under differentownership, any futureowners or assignees shallbe notifiedof the conditionsof thisapproval by eitherthe currentbusiness owner, propertyowner or the leasingagent.
17. To the fullestextent permitted by law, Applicantand/or Property Owner shall indemnify, defend and hold harmless City, its City Council, its boards and commissions, officials,officers,employees, and agents from and againstany and all claims,demands, obligations,damages, actions,causes of action,suits,losses, judgments, fines, penalties, liabilities,costs and expenses (includingwithout limitation,attorney'sfees,disbursements and court costs)of every kind and nature whatsoever which may arisefrom or in any manner relate(directlyor indirectly)to City'sapproval of the Acacia Atrium Medical OfficeCondominiums conditionaluse permit,tentativeparcel map, condominium conversion,and trafficstudy (PA2024- 0236). This indemnificationshallinclude,but not be limitedto,damages awarded againstthe City,ifany, costsofsuit,attorneys'fees,and otherexpenses incurredin connection with such claim, action,causes of action,suitor proceeding whether incurredby applicant,City,and/orthe partiesinitiatingor bringingsuch proceeding.
The applicantshallindemnifythe Cityforallof City'scosts, attorneys'fees, and damages which Cityincursinenforcingthe indemnificationprovisionsset forthinthis condition.The Applicantshallpay tothe Cityupon demand any amount owed to the Citypursuanttothe indemniifcationrequirementsprescribedinthiscondition.
Building Division
18. The Applicantshallobtainallapplicablepermitsfrom the City'sBuildingDivisionand FireDepartment.The constructionplansmust comply withthe most recent,City- adopted versionof the CaliforniaBuildingCode. The constructionplans shallmeet allapplicableStateDisabilitiesAccess requirements.
19. The Applicantshallobtainbuildingpermit(s)when there is change of use and/or change ofoccupancy.
20. The Projectshallincludean accessiblepath oftravelfrom the parkingto the public rightof way.
Public Works Department
21. Priorto finalinspection of the firstbuilding permit,a parcelMap shallbe recorded.
The Map shallbe prepared on the Californiacoordinatesystem (NAD83). Priorto recordationofthe Map, the surveyor/engineerpreparingthe Map shallsubmit to the CountySurveyorand theCityofNewportBeach a digital-graphicfileof said map in a manner described in Section 7-9-330 and 7-9-337 of the Orange County SubdivisionCode and Orange County SubdivisionManual, Subarticle18. The Map to be submitted to the City of Newport Beach shallcomply with the City'sCADD Standards.Scanned images willnotbe accepted.
22. Priortorecordationofthe parcelmap, thesurveyor/engineerpreparingthe map shall tiethe boundary of the map intothe HorizontalControlSystem establishedby the County Surveyor in a manner described in Section s 7-9-330 and 7-9-337 of the Orange County Subdivision Code and Orange County Subdivision Manual, Subarticle18. Monuments (one inch ironpipe withtag)shallbe set On Each Lot Corner unlessotherwiseapproved by the SubdivisionEngineer.Monuments shallbe protectedinplace ifinstalledpriorto completionof constructionproject.
23. As part of the finalparcel map, Easements B and C as identifiedon the Tentative Parcel Map No. 2024-147 shallbe resolved between owner and easement holder since the existingbuildingisbuiltover these easements.
24. Allimprovements shallbe constructedas requiredby Ordinance and the Public Works Department.
25. An encroachment permit isrequiredforallwork activitieswithinthe publicright-of- way.
26. The Project shall include reconstruction of allexistingbroken and/or otherwise damaged concrete curb, gutter and sidewalk panels along the Acacia Street frontage. The extent of reconstructionshallbe determined by the Public Works Inspection staff.
27. Sewer service for the Property is provided by Costa Mesa Sanitary District ("CMSD'). Final design of the proposed sewer service for the Project shallbe approved by CMSD.
28. Water serviceforthe Propertyisprovided by IrvineRanch Water District(`IRWD').
Final design of the proposed water service for the Project shallbe approved by IRWD.
29. Allimprovements shallcomply withthe City'ssightdistance requirement.See City Standard 110-L.
30. The driveway along Acacia Streetshallcomply withCityStandard 160 and provide an ADA path of travelacross the driveway.Provide an ADA compliant path of travel across the driveway and minimum 4-foot-wideeasement forpedestrian purposes to accommodate the ADA path of travel.
31. Incase ofdamage done to publicimprovements surroundingthe development site by the privateconstruction,additionalreconstructionwithinthe publicrightof-way could be requiredatthe discretionofthe PublicWorks Inspector.
32. Priorto finalinspectionof the firstbuildingpermit,the Applicant shalldedicate to the City,in-fee,a 5-foot-widestripof land along the Acacia Street frontage for streetand highway purposes.
33. Parking layout shallcomply with City Standard 805. Dead-end drive aisleshallbe accompanied by a minimum 5-footdrive aisleextension.
34. Installa new sewer cleanout per City Standard STD-406-L on the existingsewer lateralthat serves the Property.
35. A parkingstudy shallbe submitted (1)no earlierthan 6 months afterfullcertificates of occupancy have been obtained forthe entirebuildingand (2)annually forfive years. The parking study shallinclude parking counts on multipledays and times to verifythe parking utilizationof the new tenants and uses. The Community Development Director shall review the parking study and determine ifthere is sufficientcapacity inthe parking lotor requireadditionalparking management plan measures such as but not limited to the Valet Plan included in the parking study dated February 24, 2026, prepared by Michael Baker International.
Fire Prevention Division
36. The Projectshallprovidea firesprinklersystem inaccordance with 2022 CFC 903 and 2022 NFPA13.
37. The Projectshallprovide FireDepartment access lanes in compliance with NBFD Guideline C.01 for fire lane widths.
38. The Projectshallprovide a firealarm system in accordance with 2022 CFC 907 and 2022 NFPA 72.
39. The Projectifrelanes shallbe identifiedinaccordance with NBFD Guideline C.02.
40. All structuresshall have an Emergency Responder Communication Coverage system installed.