Cities Index.
Resolution

San Jose City Council
September 29, 2026

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Resolution
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September 29, 2026
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San Jose City Council
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Text extracted from the city's file for reading and search. Open the original on legistar.granicus.com. That file is the official record.

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RESOLUTION NO.____

A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN

JOSE APPROVING, SUBJECT TO CONDITIONS , A

CONDITIONAL USE PERMIT AND DETERMINATION OF

PUBLIC CONVENIENCE OR NECESSITY TO ALLOW THE
OFF-SALE OF ALCOHOL (TYPE 21 – FULL RANGE OF

ALCOHOLIC BEVERAGES) AT AN EXISTING
APPROXIMATELY 7,382-SQUARE-FOOT SPECIALTY

SUPERMARKET (SAKURA MARKE T) ON AN
APPROXIMATELY 0.9-GROSS-ACRE SITE , LOCATED ON
THE SOUTHWEST CORNER OF SOUTH 1ST STREET AND
PASEO DE SAN ANTONIO (184 SOUTH MARKET STREET,
STE 120) (APN 259-56-003)

FILE NO. CP26-007

WHEREAS, pursuant to the provisions of Chapter 20.100 of Title 20 of the San José Municipal Code, on April 21, 2026, Liliger Damaso with Liquor License Brokers filed an application (File No. CP26-007) on behalf of the applicant, Chingying Chen with Sakura Marketplace, and the property owner , Stephanie Sheng with 170 South Market LLC (“Permittee”), with the City of San José (“City”) for a Conditional Use Permit and Determination of Public Convenience or Necessity to allow the off-sale of alcohol (Type 21 – full range of alcoholic beverages) at an existing approximately 7,328- square-foot specialty supermarket (Sakura Market) on an approximately 0.9-gross-acre site, on that certain real property situated in the DC Downtown Commercial Zoning District and located at 184 South Market Street, Suite 120, San José (APN 259-56-003) (the “subject property”); and

WHEREAS, a legal description of the subject property is attached as Exhibit "A" and incorporated by reference; and

WHEREAS, at a duly noticed public hearing on August 26, 2026, the Planning Commission considered public comments, and all evidence and testimony received at the SAW:AXY:JMD:KMF
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public hearing regarding the Project and recommended that the City Council approve the Project; and

WHEREAS, this City Council received and considered the reports and recommendations of the City’s Planning Commission and City’s Director of Planning, Building, and Code Enforcement and conducted a duly noticed public hearing on the Project, giving all persons full opportunity to be heard and to present evidence and testimony; and

WHEREAS, at said hearing, this City Council received in evidence a plan for the subject property entitled, “Sakura Marketplace, 184 South Market Street, STE 120, San Jose, CA 95113, File No. CP26-007” dated August 5, 2026, said plan is on file in the Department of Planning, Building and Code Enforcement, is available for inspection, and is incorporated by reference; and

WHEREAS, this City Council has heard and considered the testimony presented at the public hearing and has further considered written materials submitted on behalf of the Project applicant, City staff, and other interested parties;

NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF SAN JOSE THAT:

The foregoing recitals are hereby incorporated by reference as if fully set forth herein, and after considering evidence presented at the public hearing the City Council finds that the following are the relevant facts and findings regarding this Project:

1. Site Description and Surrounding Uses . The subject property is located on the southwest corner of South 1
st Street and Paseo de San Antonio (184 South Market
Street, Suite 120; APN 259-56-003). It is an approximately 7,382- square-foot tenant space on the ground floor of an existing 13-story building, formerly the Fairmont Hotel and now San Jose State University’s Spartan Village on the Paseo (student housing) in Downtown. This 13-story building contains a lobby for the Spartan Village facing the paseo, multiple commercial tenant spaces on the ground floor, and student housing on the upper floors. The Sakura Marketplace, a specialty supermarket, currently occupies the subject tenant space at the street corner.

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The site is surrounded by two attached mixed-use buildings consisting of ground-floor commercial space and upper -floor residential/office to the east across South 1st Street, a hotel to the north, Plaza de Cesar Chavez (public park) to the west across South Market Street, and a hotel and a senior living building to the south. The site is within approximately 35 feet of the San Antonio Light Rail Station, and bus stops serving VTA Bus Routes Nos. 66, 68, and 568. The vehicular access to the site is from a driveway at South 1st Street, while the pedestrian access to the supermarket is provided from the South 1st Street sidewalk and Paseo de San Antonio.

2. Project Description . The project consists of a Conditional Use Permit and Determination of Public Convenience or Necessity to allow the off -sale of alcohol , including beer, wine, and distilled spirits in conjunction with a California Department of Alcoholic Beverage Control (“ABC”) Type 21 – Off-Sale General license at an existing approximately 7,382-square-foot specialty supermarket (Sakura Market , referred to as the "market" in this document ). The market offers a broad selection of imported Japanese grocery products, fresh produce, frozen foods, specialty snacks, beverages, household goods, and prepared foods. The market also includes an ancillary bona fide restaurant featuring sushi, rice bowls , ramen, Japanese entrees, and other freshly prepared menu items with a beer and wine bar for on- site consumption in conjunction with bona fide meal service. The on-sale of beer and wine in conjunction with bona fide meal service is a permitted use and therefore does not require a Conditional Use Permit.

Alcoholic beverages for off-site consumption would take up approximately 107 square feet (3.2 percent) of the approximately 3, 391-square-foot sales floor of the market.

The market is open from 10:00 a.m. to 9:00 p.m. daily, and the alcohol off-sale hours align with the store hours.

The subject site is located within Census Tract 5008.00. Based on the California ABC License Report and San José Police Department Memorandum dated May 15, 2026, the number of off -sale locations authorized in this census tract is limited to two . The California ABC License Report and the Police Memo both show that there are eight active off -sale licenses within the census tract . The San Jos é Police Department Memorandum also states that the project site is within a police beat that has a high crime rate (defined as 20 percent above the City average). Therefore, the site is considered unduly concentrated for off -sale establishments, and a Determination of Public Convenience or Necessity is required.

The Police Department is neutral to the off -sale of alcohol with a Type- 21 license at the subject site.

3. Conditional Use Permit Findings.

Section 20.100.720 of the San José Municipal Code specifies the required findings for the approval of a Conditional Use Permit.

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a. The Conditional Use Permit, as approved, is consistent with and will further the policies of the general plan, applicable specific plans, and area development policies; and
General Plan Consistency. The subject property is designated Downtown on the Envision San José 2040 General Plan Land Use/Transportation Diagram.

This designation supports uses such as office, retail, service, residential, medical office, hospital, and entertainment uses. All development within this designation is intended to enhance the complete community in Downtown, support pedestrian and bicycle circulation, and increase transit ridership.

Analysis: The off -sale of alcohol at the subject site would contribute to the primary commercial retail use ( market) at the tenant space. Therefore, the project is consistent with the Downtown land use designation.

The project is consistent with the following General Plan policies:

Business Growth and Retention Policy IE -2.6: Promote retail development to the maximum extent feasible, consistent with other General Plan goals and policies, in order to generate City revenue, create jobs, improve customer convenience, and enhance neighborhood livability.

Commercial Lands Policy LU-4.1: Retain existing commercial lands to provide jobs, goods, services, entertainment, and other amenities for San José’s workers, residents, and visitors.

Neighborhood Serving Commercial Policy LU-5.1: In order to create complete communities, promote new commercial uses and revitalize existing commercial areas in locations that provide safe and convenient multi-modal access to a full range of goods and services.

Neighborhood Serving Commercial Policy LU -5.10: In the review of new locations for the off-sale of alcohol, give preference to establishments that offer a full range of food choices including fresh fruit, vegetables, and meat.

Analysis of IE-2.6, LU-4.1, LU-5.1, and LU-5.10: The project (off-sale of alcohol) is associated with a specialty market. The project would retain existing commercial land, create jobs, and provide an additional revenue- generating opportunity associated with the market. The market offers a broad selection of imported Japanese grocery products, fresh produce, frozen foods, specialty snacks, beverages, household goods, and prepared foods. As a result, the project would improve customer convenience by offering alcoholic beverages for off- site consumption. Therefore, the project is consistent with the above General Plan policies.

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b. The Conditional Use Permit, as approved, conforms with the zoning code and all other provisions of the San José Municipal Code applicable to the project; and Zoning Conformance.

Use Regulations
The subject property is located within the D C Downtown Commercial Zoning District.

Analysis: Pursuant to Section 20. 70.100, Table 20 -140 of the Zoning Code, alcohol, off-sale of alcoholic beverages requires a Conditional Use Permit.

Development Standards
Section 20.70.210 does not establish a minimum setback for developments in the DC Downtown Primary Commercial Zoning District. The Zoning District only limits heights to that necessary to maintain the safe operation of the San José International Airport and Federal Aviation Regulations Part 77. The project is consistent with the height and setback requirements of the DC Downtown Commercial Zoning District as the project does not include any exterior modifications to the building. Vehicle Parking and Transportation Demand Management
Parking requirements are outlined in Table 20-190 of Section 20.90.060 of the San José Municipal Code. As of April 10, 2023, no minimum parking is required with the establishment of Transportation Demand Management requirements, if applicable. Transportation Demand Management requirements are outlined in Section 20.90.900.

Analysis: As the project does not include any new square footage, the project is exempt from requiring a Transportation Demand Management Plan.

Bicycle Parking
Pursuant to Section 20.90.020, bicycle parking would be required if there is new building area or if the project creates more than 5,000 square feet of outdoor use. The project does not increase the building area. An outdoor dining area of approximately 795 square feet within the paseo is proposed under a Revocable Encroachment Permit for Sidewalk Seating, File No. 3-28041, and is currently being reviewed by the Public Works Department. Therefore, no new bicycle parking is required.

Two-Wheeled Motorized Vehicle Parking
Pursuant to Section 20.90.350, two- wheeled motorized vehicle (motorcycle) parking is required at a rate of 2.5 percent of standard vehicle parking provided.

Analysis: As the project does not include any new vehicle parking spaces, no motorcycle parking is required.

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c. The Conditional Use Permit, as approved, is consistent with applicable City Council policies, or counterbalancing considerations justify the inconsistency; and Analysis: Staff followed Council Policy 6-30: Public Outreach Policy for Pending Land Use and Development Proposals to inform the public of the Project. On- site signs have been posted on the site frontage since June 20, 2026. A notice of the public hearing was distributed to the owners and tenants of all properties located within 500 feet of the Project site and posted on the City website. Staff has been available to respond to questions from the public and to date, no comments have been received.
d. The proposed use at the location requested will not:
i. Adversely affect the peace, health, safety, morals or welfare of persons residing or working in the surrounding area; or
ii. Impair the utility or value of property of other persons located in the vicinity of the site; or
iii. Be detrimental to public health, safety or general welfare.

Analysis: The off-sale of alcohol is incidental to the market because it only takes up approximately 107 square feet (3.2 percent) of the approximately 3,391- square-foot sales floor of the market. As described in the Project Description section above, the subject property is located with in an over -concentrated Census Tract (Census Tract 5008.00). This census tract allocated two off-sale licenses; currently, there are eight businesses with off-sale licenses within this census tract. The San José Police Department Memorandum dated May 15 , 2026, states that the site is also within a high crime area; however, the Police Department is neutral to off-sale alcohol at this location. No late-night operation is proposed with this project.

All store employees must complete the State Alcoholic Beverage Control’s mandated training and must comply with State law requiring all staff selling alcohol to be over 21 years of age as part of the ABC license. According to the Operations Plan dated August 5, 2026, the store has a security camera system that provides surveillance for entrances, exits, cashier stations, retail aisles, restaurant seating, and areas adjacent to the public right -of-way. This surveillance system stores recorded data for 30 days. The presence of surveillance cameras and active monitoring of the premises provides a deterrent to crime and other anti -social behaviors, which prevents adverse effects on the peace, health, safety , morals, or welfare of persons residing or working in the surrounding area, as well as the general welfare by discouraging crime and other anti-social behaviors at the site and the surrounding area.

This Resolution includes conditions to address issues related to site security, employee training, trash, litter, graffiti, and site maintenance. Therefore, the project will not adversely affect the peace, health, safety, morals, or welfare of SAW:AXY:JMD:KMF
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persons residing or working in the vicinity of the project ; it will not impair the value of property located nearby; and it will not be detrimental to public health, safety, or general welfare.
e. The proposed site is adequate in size and shape to accommodate the yards, walls, fences, loading facilities, landscaping and other development features prescribed in this title, or as is otherwise required in order to integrate said use with the uses in the surrounding area; and
Analysis: No physical changes would occur to the subject property or the building exterior; therefore, the project would not affect the size and shape of the site or its ability to accommodate the loading area at the back of the building.
f. The proposed site is adequately served:
i. By highways or streets of sufficient width and improved as necessary to carry the kind and quantity of traffic such use would generate; or by other forms of transit adequate to carry the kind and quantity of individuals such use would generate; and
ii. By other public or private service facilities as are required.

Analysis: The subject property is adequately served by both public streets and public transit, as well as pedestrian access. The site is accessed by one vehicle entrance along South 1
st Street, approximately 125 feet southeast of Paseo de San Antonio. Pedestrian access to the store is provided from the South 1 st Street sidewalk and Paseo de San Antonio. Public transit along the front of the site along South 1 st Street includes the Valley Transportation Authority (VTA) San Antonio Light Rail station and VTA Bus Routes Nos. 66, 68, and 568. g. The environmental impacts of the project , including but not limited to noise, vibration, dust, drainage, erosion, storm water runoff, and odor which, even if insignificant for purposes of the California Environmental Quality Act (CEQA), will not have an unacceptable negative affect on adjacent property or properties.

Environmental Review. Under the provisions of Section 15301 for Existing Facilities of the State Guidelines for Implementation of the California Environmental Quality Act (CEQA) as stated below, this Project is found to be exempt from the environmental review requirements of Title 21 of the San José Municipal Zoning Code, implementing the California Environmental Quality Act of 1970, as amended.

Class 1 Categorical Exemption consists of the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of use beyond that existing at the time of the lead agency’s determination. The key consideration is whether the Project involves negligible or no expansion of an existing use.

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Examples include, but are not limited to interior or exterior alterations involving such things as interior partitions, plumbing, and electrical conveyances.

Analysis: The project does not include any exterior modifications or expansion to the footprint of the existing building. The project does not include a change in the primary use of the tenant space. The only change is to allow the off-sale of alcohol. Therefore, the Project is categorically exempt pursuant to CEQA Section 15301 for Existing Facilities.

4. Off-Sale of Alcohol Findings.
a. A Conditional Use Permit may be issued pursuant to the applicable provisions of Section 20.80.900 of the Zoning Code for the off-sale of any alcoholic beverages only if the decision-making body first makes the following additional findings, where applicable:
(1) For such use at a location closer than five hundred feet from any other such use involving the off -sale of alcoholic beverages, situated either within or outside the city, that the proposed location of the off-sale alcohol use would not result in a total of more than four establishments that provide alcoholic beverages for off-site consumption within a one-thousand-foot radius from the proposed location.

Analysis: Currently, there are two off -sale alcohol establishments, Corner Market Kitchen (Type 20) at 301 South Market Street, approximately 900 feet south of the project site, and Safeway at 100 South 2nd Street, approximately 670 feet north of the site. However, the Safeway store at 100 South 2 nd Street
has been closed since 2019, and the off-sale license (Type 21) is currently on hold. Therefore, the project would not result in more than four off -sale establishments within a 1,000-foot radius, and this finding can be made. (2) For such use at a location closer than five hundred feet from any other use involving the off -sale of alcoholic beverages, situated either within or outside the city, where the proposed location of the off-sale of alcoholic beverages use would result in a total of more than four establishments that provide alcoholic beverages for off-site consumption within a one-thousand-foot radius from the proposed location, that the resulting excess concentration of such uses will not:
i. Adversely affect the peace, health, safety, morals, or welfare of persons residing or working in the surrounding area; or
ii. Impair the utility or value of property of other persons located in the vicinity of the area; or
iii. Be detrimental to public health, safety or general welfare.

Analysis: As stated above, the project would not result in more than four establishments that provide off -sale alcohol. Therefore, this finding is not applicable.

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(3) For such use at a location closer than five hundred feet from any child care center, public park, social service agency, residential care facility, residential service facility, elementary school, secondary school, college or university, or one hundred fifty feet from any residentially zoned property, that the building in which the proposed use is to be located is situated and oriented in such a manner that would not adversely affect such residential, child care center, public park, social service agency, r esidential care facility, residential service facility and/or school use.

Analysis: The project is not closer than 500 feet from any childcare center, residential care facility, residential service facility, social service agency, elementary school, secondary school, college, or university; however, it is within 500 feet of a public park (Plaza de Cesar Chavez Park). The park is located approximately 270 feet west of the market and is accessible from South Market Street, while the market’s entrances are facing the paseo and South 1st Street, away from the park. Therefore, the project location is situated and oriented in such a manner that would not adversely affect the park.

The market and surrounding area are located within the DC Downtown Commercial Zoning District, which permits both residential and commercial uses. Vertical mixed- use development, with commercial uses on the ground floor and residential uses above, is a common development pattern in downtown. Residential uses within 150 feet of the market include San José State University's Spartan Village student housing on the upper floors of the subject building and the Towthy Apartments across South 1st Street, both of which are designed with ground- floor commercial uses and residential units above. The market is oriented toward South 1st Street and Paseo de San Antonio, consistent with this established mixed- use development pattern.

Therefore, the orientation of the market would not adversely affect the residential uses located on the upper floors within 150 feet of the site.

The off-sale of alcohol is incidental to the market. The Police Memo dated May 15, 2026, states that the Police Department is neutral to the proposal. The Operations Plan includes provisions for trash and graffiti removal, security and safety, and employee training for alcohol sales. Therefore, this finding can be made.
b. The off -sale of alcohol as incidental sales in conjunction with the sale of gift baskets, balloons and flowers is exempt from the requirement of a Conditional Use Permit.

Analysis: The above finding is not applicable to the project. c. Where a Conditional Use Permit application requesting the off -premises sale of alcoholic beverages also would require a determination of public convenience and necessity under the provisions of Chapter 6.84 of Title 6 of this Code, and the Planning Commission cannot make the required findings under Section 6.84.030 SAW:AXY:JMD:KMF
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of Chapter 6.84 of Title 6 of this Code, the Planning Commission shall make a report and recommendation to the C ity Council on said Conditional Use Permit application. In this instance, the City Council shall be the initial and final decision- making body on said Conditional Use Permit application.

Analysis: The project site is located within Census Tract 5008.00. Based on a California ABC License Report and the attached Police Memo dated May 15, 2026, the number of off-sale locations allocated in the census tract is two. The California ABC License Report and the Police Memo both show that there are eight active off-sale licenses within the census tract. The Police Memo also states that the project site is within a police beat that has a high crime rate (defined as 20 percent above the City average). The location is hence deemed over -concentrated.

Therefore, a Determination of Public Convenience or Necessity is required. The Determination of Public Convenience or Necessity has its own findings, li sted in the section below.

5. Determination of Public Convenience or Necessity Findings. Chapter 6.84 of the San José Municipal Code identifies the process and findings related specifically to the off-sale of alcohol; the findings are discussed below:
a. The proposed use is not located within a strong neighborhoods initiative or neighborhood revitalization area or other area designated by the city for targeted neighborhood enhancement services or programs, or located within an area in which the chief of police has determined based upon quantifiable information that the proposed use: (a) would be detrimental to the public health, safety, or welfare of persons located in the area; or (b) would increase the severity of existing law enforcement or public nuisance problems in the area; and Analysis: The subject site is not located within a Strong Neighborhood Initiative (SNI) area. Therefore, this finding can be made.
b. The proposed use would not lead to the grouping of more than four off -premises sale of alcoholic beverage uses within a one-thousand-foot radius from the exterior of the building containing the proposed use; and
Analysis: The project would not lead to the grouping of more than four off -sale establishments within a 1,000-foot radius of subject site. Therefore, this finding can be made.
c. The proposed use would not be located within five hundred feet of a school, day care center, public park, social services agency, or residential care or service facility, or within one hundred fifty feet of a residence; and Analysis: The site is within 500 feet of a public park and within 150 feet of two apartment buildings. Therefore, this finding cannot be made. d. Alcoholic beverage sales would not represent a majority of the proposed use; and SAW:AXY:JMD:KMF
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Analysis: Based on the application documents provided, approximately 107 square feet of the approximately 3,080- square-foot sales floor of the market would be dedicated to alcoholic beverages (3.2 percent). This would not represent a majority of the tenant space. Therefore, this finding can be made. e. At least one of the following additional findings:
(1) The census tract in which the proposed outlet for the off -premises sale of alcoholic beverages is located is unusually configured and the proposed outlet would act as a convenience to an underserved portion of the community without presenting a significant adverse impact on public health or safety; or Analysis: The census tract is not unusually configured in shape. Therefore, this finding cannot be made.
(2) The proposed outlet for the off -premises sale of alcoholic beverages would enhance or facilitate the vitality of an existing commercial area without presenting a significant adverse impact on public health or safety; or Analysis: The off-sale of alcohol would occur within the market. The market will provide the surrounding neighborhood with access to additional grocery items.

The project would allow the market to complement its current products with the sale of beer, wine, and spirits for off-site consumption. The Police Memo dated May 15, 2026, states that Police is neutral to the project. The Operations Plan includes provisions for trash and graffiti removal, security and safety, and employee training for alcohol sales.

Therefore, off-sale of alcohol would increase the diversity of sale items at the market and would not present a significant adverse impact on public health or safety, and this finding can be made.
(3) The census tract in which the proposed outlet is located has a low population density in relation to other census tracts in the city, and the proposed outlet would not contribute to an over - concentration in the absolute numbers of outlets for the off-premises sale of alcoholic beverages in the area; or Analysis: As previously stated in 4.c. above, off -sale of alcohol at the market would contribute to an over -concentration in the number of off -sale establishments in the same census tract. Therefore, this finding cannot be made.
(4) The proposed off -premises sale of alcoholic beverages is incidental and appurtenant to a larger retail use and provides for a more complete and convenient shopping experience.

Analysis: Approximately 107 square feet of the approximately 3, 391-square- foot sales floor of the market would be dedicated to alcoholic beverages (3. 2 percent). The remainder of the floor area would be dedicated to the sales of grocery items. Therefore, this finding can be made.

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f. Given the above- stated analysis, the finding for 5 .c., a determination of Public Convenience or Necessity cannot be made for the off-sale of alcohol because the Project site is within 500 feet of a public park and within 150 feet of two apartment buildings. Therefore, City Council approval is required for the proposed use. The City Council may issue a determination in connection with an application for a license from the California Department of Alcoholic Beverage Control for the off - premises sale of alcoholi c beverages where the City Council does all of the following:
(1) Makes a determination that not all of the required findings set forth in Subsection 5. can be made; and
Analysis: Finding 5.c. for the Determination of Public Convenience or Necessity cannot be made for the off -sale of distilled spirits because the subject site is within 500 feet of a public park and within 150 feet of two buildings containing residential uses. However, the findings for 5.a, 5.b., 5.d., 5.e.(2) and 5.e.(4) , above, can be made.
(2) Identifies and finds that a significant and overriding public benefit or benefits will be provided by the proposed use.

Analysis: Although the project site is within a police beat that has a high crime rate, the Police Department is neutral to the off -sale of alcohol with a Type-21 license at the subject site. The Operations Plan includes provisions for trash and graffiti removal, security and safety, and employee training for alcohol sales. Therefore, off -sale of alcohol would not present a significant adverse impact on public health or safety.

As described in 5.e.4, above, the off-sale of alcohol would be incidental to the market. The inclusion of the off -sale of the full range of alcoholic beverages would reduce the number of additional trips customers would need to visit to fulfill their shopping needs.

While the project is located within an over -concentrated census tract, it would not result in a grouping of four or more off -sale establishments within a 1,000- foot-radius of the site. Currently, there is only one active off-sale establishment (Type 20) within a 1,000-foot radius of the site. The other valid off-sale license (Typer 21) is the Safeway store located at 100 South 2nd Street. However, this store has been closed since 2019 and the Type 21 license has been on hold.

The subject market would be the only active off-sale establishment with a Type 21 license within a 1,000-foot radius of the site. Therefore, based on the above findings, the project would provide a significant and overriding public benefit.

In accordance with the findings set forth above, a Conditional Use Permit and Determination of Public Convenience or Necessity to use the subject property for said purpose specified above and subject to each and all of the conditions hereinafter set forth is hereby granted. This City Council expressly declares that it would not have approved SAW:AXY:JMD:KMF
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this Permit except upon and subject to each and all of said conditions, each and all of which conditions shall run with the land and be binding upon the owner and all subsequent owners of the subject property, and all persons who use the subject property for the use conditionally permitted hereby.

APPROVED SUBJECT TO THE FOLLOWING CONDITIONS:

1. Acceptance of Permit. Per San José Municipal Code Section 20.100.290(B), should Permittee fail to file a timely and valid appeal of this Permit within the applicable appeal period, such inaction by the Permittee shall be deemed to constitute all of the following on behalf of the Permittee:
a. Acceptance of the Permit by the Permittee; and
b. Agreement by the Permittee to be bound by, to comply with, and to do all things required of or by the Permittee pursuant to all of the terms, provisions, and conditions of this Permit or other approval and the provisions of Title 20 applicable to such Permit.

2. Permit Expiration. This Permit shall automatically expire two (2) years from and after the date of issuance hereof by the City Council, if within such time period, the proposed use of the site or the construction of buildings (if a Building Permit is required) has not commenced, pursuant to and in accordance with the provision of this Permit. The date of issuance is the date this Permit is approved by the City Council. However, the Director of Planning, Building, and Code Enforcement may approve a Permit Adjustment/Amendment to extend the validity of this Permit in accordance with Title 20. The Permit Adjustment/Amendment must be approved prior to the expiration of this Permit.

3. Building Permit/Certificate of Occupancy. Procurement of a Building Permit and/or Certificate of Occupancy from the Building Official for the structures described or contemplated under this Permit shall be deemed acceptance of all conditions specified in this Permit and the Permittee's agreement to fully comply with all of said conditions. No change in the character of occupancy or change to a different group of occupancies as described in the Building Code shall be made without first obtaining a Certificate of Occupancy from the Building Official, as required under San José Municipal Code Section 24.02.610, and any such change in occupancy must comply with all other applicable local and state laws.

4. Use Authorization. This Permit authorizes the off -sale of beer , wine, and distilled spirits at the subject market and successors of said tenant spaces whereby the subsequent tenant maintains a similar use as deemed by the Director of Planning, Building and Code Enforcement:
a. If the use authorized by this permit is discontinued for a period of 12 months, this permit will expire and will no longer be in effect.

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b. All cashiers shall be trained on Department of Alcohol Beverage Control (ABC) rules and regulations.
c. The interior and exterior of the store shall be monitored at all times by a surveillance system . All security camera video footage shall be retained for 30 days in the event that an incident needs review by security personnel or the police. d. Loitering and panhandling shall not be tolerated, and the Permittee shall maintain a zero-tolerance policy. No loitering signs will be posted in conspicuous places containing wording (Spanish and English) that aligns with state and local law (business owner to work with San José Police to obtain proper language). All loitering and panhandling issues will be dealt with in a swift and consistent manner by notifying local police. No consumption or open alcoholic beverages will be permitted on the premises. Signs specifically prohibiting this activity will also be placed in conspicuous places in both Spanish and English. e. All lighting issues, such as inadequate lighting or burned- out lights, shall be addressed promptly by the Permittee’s maintenance provider. f. The operation shall conform to all local performance standards as required by the Municipal Code.

5. Conformance with ABC Requirements. The off-sale of alcohol (Type 21 – Off-Sale General) is allowed in conformance with the requirements of the Department of Alcohol Beverage Control (ABC). The Permittee shall obtain and maintain full compliance with its ABC license and remain in good standing with the Department of Alcoholic Beverage Control.

6. Limitations on the Area of Alcohol Sales. The sale of alcohol for off-site consumption allowed by this Permit shall be limited and incidental to the primary use of a retail specialty grocery store. The area in which alcoholic beverages are displayed or otherwise offered for sale shall not exceed 107 square feet (approximately 3.2%) of the gross floor area (approximately 3,391 square feet) of the retail space. Alcohol product displays shall not be placed outside the retail tenant space.

7. Conformance to Plans. The development of the site and all associated development and improvements shall conform to the approved Conditional Use Permit plans entitled, “Sakura Marketplace, 184 South Market Street, STE 120, San Jose, CA 95113, File No. CP26 -007” dated August 5 , 2026 , on file with the Department of Planning, Building and Code Enforcement as may be amended subject to City’s approval, and to the San José Building Code (San José Municipal Code, Title 24), as amended. The plans are referred to herein as the “approved plans” or the “Approved Plan Set.

8. Compliance with Local, State, and Federal Laws. The subject use shall be conducted in full compliance with all local, state, and federal laws.

9. Discretionary Review. The City maintains the right of discretionary review of requests to alter or amend structures, conditions, or restrictions of this Permit SAW:AXY:JMD:KMF
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incorporated by reference in accordance with Chapter 20.100 of the San José Municipal Code.

10. Nuisance. This use shall be operated in a manner which does not create a public or private nuisance. Any such nuisance must be abated immediately upon notice by the City.

11. Refuse. All trash and refuse storage areas shall be effectively screened from view and covered and maintained in an orderly state to prevent water from entering into the trash or refuse container(s). Trash areas shall be maintained in a manner to discourage illegal dumping.

12. Outdoor Storage. No outdoor storage is allowed or permitted unless designated on the Approved Plan Set.

13. Anti-Graffiti. All graffiti shall be removed from buildings and wall surfaces, including job sites for Projects under construction, within 48 hours of defacement.

14. Anti-Litter. The site and surrounding area shall be maintained free of litter, refuse, and debris. Cleaning shall include keeping all publicly used areas free of litter, trash, cigarette butts and garbage.

15. No Sign Approval. No signs are approved at this time. All proposed signs shall be subject to review and approval by the Director of Planning, Building and Code Enforcement through a subsequent Permit Adjustment.

16. Building and Property Maintenance. The property shall be maintained in good visual and functional condition. This shall include, but not be limited to, all exterior elements of the buildings such as paint, roof, paving, signs, lighting, and landscaping.

17. Street Number Visibility. Street numbers of the buildings shall be easily visible from the street at all times, day and night.

18. Store Operator Point of Contact. Store operator shall post in a visible location on the Store premises a phone number, and other applicable contact information for the public to address questions and comments regarding management and maintenance of the subject store and frontage.

19. Revocation, Suspension, Modification. This Conditional Use Permit may be revoked, suspended, or modified by the City Council at any time regardless of who is the owner of the subject property or who has the right to possession thereof or who is using the same at such time, whenever, after a noticed hearing in accordance with Part 2, Chapter 20.100, Title 20 of the San José Municipal Code it finds:
a. A violation of any conditions of the Conditional Use Permit was not abated, corrected, or rectified within the time specified on the notice of violation; or b. A violation of any City ordinance or State law was not abated, corrected, or rectified within the time specified on the notice of violation; or c. The use as presently conducted creates a nuisance.

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Item No.: 10.1(a)
DRAFT – Contact the Office of the City Clerk at (408) 535-1260 or [email protected] for final document.

In accordance with the findings set forth above, a permit to use the subject property for said purpose specified above is hereby approved.

ADOPTED this _____ day of ___________, 2026, by the following vote:

AYES:

NOES:

ABSENT:

DISQUALIFIED:

MATT MAHAN
Mayor
ATTEST:

TONI J. TABER, MMC
City Clerk

NOTICE TO PARTIES
The time within which judicial review must be sought to review this decision is governed by the provisions of the California Code of Civil Procedure Section 1094.6.

DRAFT--Contact the Office of the City Clerk at (408) 535-1260 or [email protected] for final document.

DRAFT--Contact the Office of the City Clerk at (408) 535-1260 or [email protected] for final document.

DRAFT--Contact the Office of the City Clerk at (408) 535-1260 or [email protected] for final document.

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