AGENDA ITEM: 8-B
STAFF REPORT
SAN CLEMENTE PLANNING COMMISSION
Date: January 18, 2023
PLANNER: Jonathan Lightfoot, Economic Development Officer SUBJECT: Master Project 21-322, Calvada Mixed Use Project, 1430 S. El Camino Real, including Site Plan Permit (SPP) 21-323, Cultural Heritage Permit (CHP) 21-324, Conditional Use Permit (CUP) 22-412, and Discretionary Sign Permit (DSP) 21-326: A request to develop a mixed use building at 1430 S. El Camino Real, which is within the Mixed Use 3.2 Zone and the Architectural and Affordable Housing Overlays. A portion of the property is within the Coastal Zone. The proposed project includes 10 apartment units (including one affordable unit) totaling 16,864 square feet of interior space, with 25 corresponding parking stalls and 6,681 square feet of retail/office space with 23 corresponding parking stalls. The project includes a request for a concession, pursuant to State Density Bonus law, to reduce the alley transitional setback to accommodate upper floor balconies.
REQUIRED FINDINGS
The following findings shall be made in order to approve the proposed project. The draft Resolution (Attachment 2) and analysis section of this report provide an assessment of the project’s compliance with these findings.
Site Plan Permit, Section 17.16.050, to allow the development of a new nonresidential building and a tentative map:
a. The proposed development is permitted within the subject zone pursuant to the approval of a Site Plan Permit and complies with all the applicable provisions of this title (or the specific plan as appropriate), the goals, and objectives of the San Clemente General Plan, and the purpose and intent of the zone in which the development is being proposed;
b. The site is suitable for the type and intensity of development that is proposed; c. The proposed development will not be detrimental to the public health, safety or welfare, or materially injurious to properties and improvements in the vicinity; d. The proposed development will not be unsightly or create disharmony with its locale and surroundings; and
e. The proposed development will minimize or eliminate adverse physical or visual effects which might otherwise result from unplanned or inappropriate development, design or location.
Attachment 3
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Cultural Heritage Permit, Table 17.16.100B (F.2), to allow the development of a new non-residential building within the Architectural Overlay District:
a. The architectural treatment of the project complies with the San Clemente General Plan;
b. The architectural treatment of the project complies with the Zoning Code in areas including, but not limited to, height, setback color, etc.; c. The architectural treatment of the project complies with the architectural guidelines in the City's Design Guidelines;
d. The general appearance of the proposal is in keeping with the character of the neighborhood;
e. The proposal is not detrimental to the orderly and harmonious development of the City; and
f. The proposed project/use preserves and strengthens the pedestrian-orientation of the district and/or San Clemente's historic identity as a Spanish village.
Conditional Use Permit to allow for an encroachment of architectural features above the height limit (per Table 17.24.080B, Maximum Encroachment into Setbacks and Height Limits); to allow for beer and wine service (per Table
17.40.030, Mixed-Use Zone Uses); and to allow for an outdoor dining area (per
17.28.205 - Outdoor Dining Areas.).
a. The proposed use is permitted within the subject zone pursuant to the approval of a Conditional Use Permit and complies with all the applicable provisions of this title, the San Clemente General Plan and the purpose and intent of the zone in which the use is being proposed.
b. The site is suitable for the type and intensity of use that is proposed. c. The proposed use will not be detrimental to the public health, safety or welfare, or materially injurious to properties and improvements in the vicinity. d. The proposed use will not negatively impact surrounding land uses. e. The outdoor dining area contributes to the village/pedestrian ambiance of the City, consistent with the City's General Plan.
f. The outdoor dining area complies with the standards of this section. g. Any negative visual, noise, traffic, accessibility, and parking impacts associated with the outdoor dining area have been reduced to an acceptable level, as determined by the City.
Discretionary Sign Permit, 17.16.250, to allow a Master Sign Program and more than 25 square feet of sign area for a business within the Architectural Overlay District.
a. The design, including lighting, scale, length and materials, of the sign is consistent with the intent of the design elements of the General Plan, Design Guidelines, respective specific plan or Architectural Overlay District in which the sign is to be located;
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b. The design, scale and materials of the sign harmonize with the architectural design and details of the building or site it serves;
c. The design and scale of the sign is appropriate to the distance from which the sign is normally viewed;
d. The design and materials of the sign provide a contrast between the background and letters;
e. The provisions of the Master Sign Program ensure consistency in design and style of all new signs;
f. The provisions of the Master Sign Program address compatibility of the design and style of any existing signs on the building or site; and g. All new signs within the Master Sign Program are in compliance with the design standards of this chapter.
BACKGROUND
Site Data
The property includes Lot 1 and Lot 32 of Block 9 in Tract 822. They are addressed as 1430 S. El Camino Real and include Assessor’s Parcel Numbers 692-171-18 and 692- 171-19. The project would include a lot merger resulting in a combined area of 18,703 square feet (0.43 acres). The property is bounded by S. El Camino Real to the north; W.
Avenida Gaviota to the west; W. Avenida Valencia to the east; and an alley to the south that separates the project from existing one and two-story residential properties. See Attachment 1 for a vicinity map of the project site.
The property is currently vacant and is the site of a former Mobil gas station. Clean-up of the site to address potential soil contamination from the previous gas-station use and underground petroleum storage tanks was completed in April of 2009. Please refer to Attachment 6, Remedial Action Completion Certification, for information about this work.
PROJECT DESCRIPTION
The proposed development is a mixed-use project including ground floor commercial spaces fronting on South El Camino Real, with ten (10) residential units above. One (1) of the residential units is designated as affordable at the low-income level. Parking is provided by side-street and alley access on two garage levels. A commercial sign plan (Attachment 8) along with the development plans and renderings (Attachment 9) provide further detail for the proposal.
The property is the site of a former gas station and has been vacant since the 1990’s. It is near the El Camino Real off-ramp from the interstate, sitting at the intersection of S. El Camino Real and W. Avenida Valencia. Neighboring properties have recently been entitled for improvements at this same gateway location, including the Shoreline Dental Calvada Mixed Use Page 4
project0F
1 at 1409 S. El Camino Real and the Valencia commercial project1F2 at 1502 S. El Camino Real. This gateway has been a redevelopment priority for the City.
Figure 1: Existing Site vs. Proposed Rendering
Development Management Team Meeting
The City's Development Management Team (DMT) reviewed the project and recommends approval with conditions included in Attachment 2, Exhibit A.
Noticing
Public notices were distributed and posted per City and State requirements. Staff has not received any public comments on this item to-date.
1 Shoreline Dental Project
2 Valencia Project
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PROJECT ANALYSIS
The proposed project complies with the intent and development standards of the Mixed Use 3.2 Zone (refer to Attachment 3) and is consistent with the General Plan and Coastal Land Use Plan as demonstrated by the policy analysis provided in Attachment 4. Project plans are provided in Attachment 9.
Site Plan Permit
The intent of the Site Plan Permit discretionary review is “to encourage site and structural development which 1) respect the physical and environmental characteristics of the site, 2) ensures safe and convenient access and circulation for pedestrians and vehicles, 3) exemplifies the best professional design practices, 4) encourages individual identity for specific uses and structures, 5) encourages a distinct community or neighborhood identity, and 6) minimizes visual impacts.”
The proposed project redevelops an abandoned (and remediated) gas station site with a building that supports a mix of commercial and residential uses, consistent with the City’s goal for the MU 3.2 Zone. The development meets the scale intent for the Zone by limiting the front elevation to two-stories while transitioning to three stories downslope toward the alley beyond. The project brings an iconic design element with a large bronzed dome immediately visible to visitors exiting the freeway at the El Camino Real freeway off-ramp.
While the dome requires a CUP for a height encroachment of 9 feet and 9 inches, the applicant provided renderings (Attachment 9) which demonstrate that the massing of the building and dome do not block ocean views from the freeway. The Design Review Subcommittee met with the applicant and their architect on June 29 and November 29 of 2022 and reviewed the plans in context with the other recently entitled developments in this gateway. The Design Review Subcommittee made several recommendations to improve the compatibility with the neighboring developments, which the applicant’s architect has incorporated. Finally, the project improves the pedestrian orientation of the block by removing curb cuts, adding a courtyard and outdoor dining, and providing a surplus of parking within two levels of interior garage space tucked behind and under the commercial tenant suites.
Cultural Heritage Permit
The intent of the Cultural Heritage Permit is to ensure that new development is compatible with nearby historical properties and/or is consistent with the goals of the Architectural Overlay. This project is not adjacent to a historical property, but is within a City Gateway and the Architectural Overlay District. It is consistent with the goals of this overlay zone in that it is designed with Spanish Colonial Revival elements, including traditional arches, single-barrel tile roof elements, smooth stucco walls, and appropriate decorative elements such as a wall fountain and bronzed dome. The project is within the South El Camino Real focus area. Redevelopment of the El Camino Real and Avenida Valencia intersection has been a priority for the City. This project is the final parcel at this location seeking entitlements as the Valencia Mixed Use and Shoreline Dental projects were Calvada Mixed Use Page 6
recently approved by the Planning Commission and are proceeding through permitting and construction. The project also improves the pedestrian orientation of the block by removing curb cuts, adding a courtyard and outdoor dining, and providing a surplus of parking within two levels of interior garage space. Finally, the project brings needed residential units and provides each with ample private outdoor spaces. The modulation of walls, roof heights, and balconies create a consistent pedestrian storefront experience while breaking up the massing to give the appearance of independent building segments.
Conditional Use Permit
The intent of the Conditional Use Permit (CUP) is to evaluate any unique attributes of a use or the appropriateness of exceptions to development standards that the Zoning Code allows through a discretionary review. This review takes into account site specific considerations that could make a development appropriate in some locations, but not others. In this review, a CUP is required for a height increase pursuant to the San Clemente Zoning Ordinance. Typically beer and wine service, and new outdoor dining areas that include that beverage service, require a Minor CUP; however those elements are being elevated under the CUP review since that entitlement and Planning Commission’s review are required for the height encroachment. A CUP is required, then, for three independent elements of the proposal:
• For an encroachment of architectural features above the height limit (per Table
17.24.080B, Maximum Encroachment into Setbacks and Height Limits). The MU
3.2 Zone has a height ceiling of 33 feet above the existing grade at the center of the development’s front property line. The proposal complies with the height standard for top of roof elements. However, to add architectural interest, the proposal includes an architectural dome projection that caps the tower at the southeast corner of the project. Per the San Clemente Municipal Code (SCMC)
17.24.808B, architectural projections like cupolas or other elements of interest may encroach up to 10-feet over the height of the zone. The dome element projects about six feet above the height limit and is topped by a 3’6” tall finial, bringing the total height of this architectural projection to 9’9” above the 33-foot standard roof height allowance. A smaller encroachment of about three feet is requested for a finial or weathervane element to top the pyramid roof at the center of the front elevation. A CUP is appropriate in this instance because projects in City gateways should incorporate significant or iconic architectural elements, which these requests help to achieve.
• To allow for beer and wine service (per Table 17.40.030, Mixed-Use Zone Uses).
Beer and wine service typically requires a Minor Conditional Use Permit but can be merged with a Conditional Use Permit review when the review authority is the Planning Commission. The request would allow for service of beer and wine at the expected restaurant suite between the hours of 7 a.m. to 10 p.m. The future tenant would be required to separately obtain an ABC license. Should they wish to serve full alcohol or change the hours of service, an amendment to this use permit would be required.
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• To allow for an outdoor dining area where alcoholic beverages may be served (per
17.28.205 - Outdoor Dining Areas). Creating and outdoor dining area is consistent with the goals of the Architectural Overlay and adds pedestrian interest. It also adds an inviting element visible from the El Camino Real gateway as visitors exit the freeway. The dining area is contained entirely on private property and is integrated with the project’s architecture. Eight outdoor seats are “free” seats that do not count against the parking requirements for the project.
Discretionary Sign Permit
The intent of discretionary review is to ensure signs are compatible and harmonious with the architecture of the buildings they serve and with the surrounding neighborhood, and to ensure signs comply with the purpose and intent of the City's sign regulations. A Discretionary Sign Permit is required to establish a new Master Sign Program.
Calvada Master Sign Program
Projects with four or more new signs on one site require a Master Sign Program. The sign program for the proposed project includes signs that are placed and sized to complement, and be in character with, the existing building, and requires high quality aluminum signage with halo illumination. This is consistent with Architectural Overlay District sign standards, and Urban Design Policy UD-1.09. The proposed location and size of the signs are generally located centrally on their respective façades and maintain the smooth white stucco as the dominant material by providing sufficient space in between the edges of signs and architectural building elements. This treatment keeps the signs proportional to the two-story building as viewed from El Camino Real. Additionally, all signage is proposed entirely within private property and does not encroach into the public right-ofway nor does it obstruct line of sight for pedestrians, bicyclists, or vehicular drivers. Please refer to Attachment 8, Master Sign Program, for architectural renderings of the proposed signs.
Design Review Subcommittee (DRSC)
DRSC review is required for Site Plan Permits and Cultural Heritage Permits, and Discretionary Sign Permits. The DRSC reviewed the project on June 29, 20222F 3 and
November 9, 2022. The applicant incorporated a number of design review modifications as a result of the DRSC’s recommendations. The DRSC recommended that the project proceed to a Planning Commission hearing for consideration. The conceptual landscape plan was reviewed and approved by the City’s landscape architecture consultant, Summers, Murphy & Partners.
3 June 29, 2022 DRSC Report
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State Density Bonus Law
The applicant has complied with all MU3.2 development standards (Attachment 3) with the exception of the alley transitional setback. The project does transition the height as intended by the zone, but the upper floor balconies encroach into the 13’ transitional setback. The provided setbacks vary between 5.5’ to 9’. The applicant has requested an exception for this standard pursuant to the State Density Bonus Law because they are providing 10% of the on-site units as affordable housing at the low-income level. The applicant is requesting a concession, which is:
• “A reduction in site development standards or a modification of zoning code requirements or architectural design requirements … that results in identifiable and actual cost reductions …” (Government Code 65915 (k)(1)); • “Approval of mixed-use zoning in conjunction with housing…”(Government Code 65915 (k)(2));
• “Other regulatory incentives or concessions … that result in identifiable and actual cost reductions to provide … for rents for the targeted units…” (Government Code 65915 (k)(3)).
Based on the applicant’s proposed project with 10% of housing units for low income households, the project could qualify for one concession and also for waivers of development standards. The applicant is requesting consideration for a concession, per California Government Code Section 65915(b)(1)(B) and (d)(1)(A), to reduce the alley setback for 3rd story elements only.
Considerations for Concessions. In order to consider an application under the State’s Density Bonus Law, the City would consider the percent of and level of affordability for the proposed affordable units; whether the applicant made a request for an incentive or concession; whether the applicant’s request identifies an actual cost reduction that would allow the project to provide for the proposed affordable housing; whether the request would have a specific, adverse impact; and whether the request would be contrary to state or federal law. These considerations are made below:
• The State’s Density Bonus Law provides that if an applicant for a density bonus provides a minimum percentage of affordable units, the applicant can request specific incentives or concessions. In this case, the project provides 10% low income household units (1 unit) and, therefore, can request one concession. • The applicant submitted a letter, Attachment 7, explaining that the concession is required to provide enough rental income to cover the cost of construction (hard and soft costs) and subsidize the fiscal impact of providing the affordable rental unit.
• Government Code defines a “specific, adverse impact” as a “significant, quantifiable, direct, and unavoidable impact, based on objective, identified written public health or safety standards, policies, or conditions as they existed on the date the application was deemed complete.” The reduced setback, which allows for balconies on the rear elevation, would not create such an impact and helps the Calvada Mixed Use Page 9
project to comply with the Zoning Code’s requirement for Urban Outdoor Area.
The walls of the rear 3rd story element are set back beyond the 13-foot standard, accomplishing the primary goal of stepping back the massing from the alley. • The request for a concession for the reduced setback is not contrary to state and federal law and, in fact, supports the State’s policies and goals for housing.
Condition of Approval # 4.2 requires that the applicant shall submit, and must obtain approval from the Director of Community Development, an Affordable Housing Implementation Plan, which includes all of the requirements the SCMC and the City’s Inclusionary Housing Program.
Inclusionary Housing
The City’s Housing Element requires developers of six or more units to set aside four percent of the total number of units for households earning 50 percent or less of the median income (“very low income”). This requirement can be satisfied on site or through the payment of an in-lieu fee. This project provides a “low-income” unit on-site but not a “very-low income” unit. Therefore, the in-lieu fee will apply and has been incorporated as a condition of approval (COA # 4.3) to comply with the requirements of the City’s Housing Element. Staff has calculated this fee to be $95,267 using the Housing Element’s Appendix D guidelines, which are provided in Attachment 5.
ENVIRONMENTAL REVIEW/COMPLIANCE (CEQA)
The Planning Division completed an initial environmental assessment of the project per the California Environmental Quality Act (CEQA). Staff recommends the Planning Commission determine the project is Categorically Exempt from CEQA pursuant to CEQA Guidelines Section 15332 (Class 32: In-Fill Development Projects) because:
1. The project is consistent with the applicable general plan designation and all applicable general plan policies as well as with applicable zoning designation and regulations.
2. The proposed development occurs within city limits on a project site of no more than five acres substantially surrounded by urban uses.
3. The project site has no value as habitat for endangered, rare or threatened species.
4. Approval of the project would not result in any significant effects relating to traffic, noise, air quality, or water quality.
5. The site can be adequately served by all required utilities and public services.
CALIFORNIA COASTAL COMMISSION REVIEW
If approved by the City, the project requires Coastal Commission review and approval prior to issuance of building permits because the property is bisected by the Coastal Zone boundary line. As noted within Table 3 and the draft Resolution, the project is consistent with the City’s adopted Coastal Land Use Plan (LUP) and policies. The property is not Calvada Mixed Use Page 10
within a sensitive area, such as a Coastal Canyon, bluff, or potential ESHA zone. It is also not within a Coastal Scenic Gateway (per Figure 6-1 of the LUP).
ALTERNATIVES;
The Planning Commission may take any of the following actions:
1. Approve the application(s).
2. Modify the conditions of approval to effect desired changes prior to approval.
3. Deny the application(s). If the Commission wishes to pursue this option, the hearing will need to be continued to allow the appropriate resolution(s) to be prepared.
RECOMMENDATION
Staff recommends that the Planning Commission:
1. Determine the project is Categorically Exempt from the requirements of the CEQA pursuant to CEQA Guidelines Section 15332 (Class 32: In-Fill Development Projects); and
2. Adopt Resolution PC 23-001, approving Master Project 21-322 for the Calvada Mixed Use Project at 1430 S. El Camino Real, which includes Site Plan Permit (SPP) 21-323, Cultural Heritage Permit (CHP) 21-324, Conditional Use Permit (CUP) 22-412, and Discretionary Sign Permit (DSP) 21-326, subject to attached conditions of approval.
Attachments:
1. Location Map
2. Resolution No. PC 23-001
Exhibit A - Conditions of Approval
3. MU 3.2 Development Standards Analysis
4. General Plan Consistency Analysis
5. Housing Element Appendix D: Inclusionary Fee
6. OC Healthcare Agency Remedial Action Completion Certification
7. Letter from Applicant regarding Density Bonus Incentive
8. Master Sign Program
9. Conceptual Development Plans and Renderings