Planning and Building Agency
www.santa-ana.gov/pba
Item # 21
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
September 15, 2026
TOPIC: Density Bonus Agreement No. 2026-01 – Think Together Mixed-Use Development (2101 East Fourth Street)
AGENDA TITLE
Density Bonus Agreement No. 2026-01 – Think Together Mixed-Use Development (2101 East Fourth Street)
RECOMMENDED ACTIONS
1. Adopt a resolution approving Density Bonus Agreement No. 2026-01; and RESOLUTION NO. 2026-XXX entitled A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA APPROVING DENSITY BONUS AGREEMENT NO. 2026- 01 TO ALLOW DEVELOPMENT OF A 274-UNIT MIXED-USE RESIDENTIAL
DEVELOPMENT, INCLUDING FOURTEEN UNITS PROPOSED AS AFFORDABLE TO EXTREMELY LOW-INCOME HOUSEHOLDS, AND APPROXIMATELY 20,714
SQUARE FEET OF GROUND-FLOOR COMMERCIAL SPACE FOR THE PROPERTY LOCATED AT 2101 EAST FOURTH STREET (APN: 400-041-03)
2. Authorize the City Manager to execute a Density Bonus Agreement with Think Together, a California nonprofit corporation, for a 55-year covenant term, for a mixed-use residential development consisting of 274 residential units, including fourteen (14) units designated as affordable to extremely low-income households, and approximately 20,714 square feet of ground-floor commercial space at 2101 East Fourth Street (Agreement No. A-2026-XXX); and
3. Determine that, pursuant to the California Environmental Quality Act (CEQA) and the CEQA Guidelines, the recommended action is exempt from further environmental review under CEQA Guidelines Section 15168 (Program EIR).
GOVERNMENT CODE §84308 APPLIES: Yes
BACKGROUND
Randy Barth with Think Together, a California nonprofit corporation (“Applicant” and “Property Owner”), represented by Christine Saunders (application-listed contact person), is requesting City Council approval of Density Bonus Agreement (DBA) No. 2026-01 pursuant to Article XVI.I (Density Bonus) of the Santa Ana Municipal Code (SAMC) and
Density Bonus Agreement No. 2026-01 – Think Together Mixed-Use Development (2101 East Fourth Street)
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Government Code Section 65915 to facilitate redevelopment of an existing office campus at 2101 East Fourth Street within the Metro East Mixed-Use Overlay Zone (MEMU).
The Project consists of demolition of two existing office buildings and construction of a seven-story mixed-use development containing 274 residential units, including 14 units affordable to extremely low-income households, and approximately 20,714 square feet of ground-floor commercial space.
The Project qualifies for benefits under State Density Bonus Law by reserving 14 units, or five percent (5%) of the Project’s base density, for extremely low-income households. As part of the Density Bonus Agreement, the Applicant is requesting one incentive/concession and two waivers or reductions of development standards. Specifically, the Applicant is requesting: (1) an incentive/concession to allow a maximum setback of 14.25 feet along Parkcenter Drive, where the MEMU permits a maximum setback of 10 feet; (2) a waiver to provide approximately 10,666 square feet (eight percent (8%) of the gross site area) of publicly accessible open space, where 12,977 square feet (10 percent/10%) is otherwise required; and (3) a waiver to allow a seven-story building throughout the site, where the MEMU permits up to 10 stories within 150 feet of the street and six stories thereafter. These Density Bonus Law benefits were approved by the Planning Commission on May 28, 2026.
In accordance with the regulations promulgated by Government Code Section 65915, the City’s discretion and ability to deny a Density Bonus Agreement are severely limited if the project satisfies the objective standards set out by the State. The Planning Commission has evaluated the requested Density Bonus Agreement and has determined that the project meets all applicable requirements set out by State regulations.
Planning Commission and City Council Actions
On May 28, 2026, following a duly noticed public hearing, the Planning Commission voted 5:0:2 (Commissioners Oliva and Benninger absent) to approve Site Plan Review (SPR) No. 2026-01 and one incentive/concession and two waivers or reductions of development standards pursuant to State Density Bonus Law, to be memorialized in DBA No. 2026-01.
The requested deviations address the maximum setback along Parkcenter Drive, the amount of publicly accessible open space, and building height. The Planning Commission also determined that the Project is exempt from further environmental review pursuant to CEQA Guidelines Section 15168.
On June 3, 2026, Supporters Alliance for Environmental Responsibility filed Appeal Application No. 2026-01 challenging the Planning Commission’s approval and CEQA determination. On August 4, 2026, following a duly noticed public hearing, the City Council voted 5:0:1:1 (Councilmember Lopez absent and Councilmember Phan recused) to deny the appeal, thereby upholding the Planning Commission’s approval of SPR No. 2026-01, the requested density bonus incentive/concession and waivers, and the determination that no additional environmental review is required.
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Therefore, approval of DBA No. 2026-01 is the remaining City Council action necessary to memorialize the Project’s affordable housing obligations and the density bonus deviations previously approved and upheld by the City Council.
DENSITY BONUS REQUEST AND ANALYSIS
Table 1: Project and Location Information
Item Information
Project Address and Council Ward 2101 East Fourth Street – Ward 3 Nearest Intersection East Fourth Street and Parkcenter Drive General Plan Designation District Center – Medium High (DC – 3) Zoning Designation Professional (P); Village Center District (VCD) within the Metro East Mixed Use Overly Zone (MEMU)
North Office
East Office
South OfficeSurrounding Land Uses
West Medical Office and Trade School
Property Size 129,767 square feet (2.98 acres)
Existing Site Development Two 14,400-square-foot office buildings Use Permissions Mixed-Use (ground floor commercial and residential) Zoning Code Sections Affected
Uses Article XVI.I (Density Bonus) and Village Center
District within the Metro East Mixed Use Overlay
Zone (MEMU).
Project Description
The proposed Project involves redevelopment of an existing office site with construction of a new seven-story mixed-use residential building. The existing two office buildings and associated surface parking would be demolished to accommodate the Project. The development would include a total of 274 residential dwelling units, consisting of a mix of unit types to accommodate a range of household sizes.
Table 2: Residential Unit Summary
Unit Floor Type Number of Bedrooms Size in Square Feet Number of Units A2 1 699 63
A3 1 713 42
B1 2 1,039 130
B2 2 1,033 28
C1 3 1,384 11
Total 274
Table 3: Affordable Residential Unit Summary
Unit Floor Type Number of Bedrooms Size in Square Feet Number of Units A2 1 699 3
A3 1 713 2
B1 2 1,039 7
B2 2 1,033 1
C1 3 1,384 1
Total 14
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As shown in Table 3 above, 14 units (five percent/5%) will be reserved for extremely low- income households in accordance with State Density Bonus Law and integrated throughout the development. The Project also includes approximately 20,714 square feet of ground- floor commercial space intended to activate the street frontage and support neighborhood- serving retail, dining, or service uses, consistent with the mixed-use character envisioned in the MEMU.
The site plan provides defined pedestrian pathways, building entrances, and publicly accessible open space to support pedestrian activity and separate pedestrian and vehicular circulation. Vehicular access to the parking structure is provided from Parkcenter Drive. The contemporary architectural design incorporates varied massing, articulated façades, balconies, recessed building planes, transparent ground-floor storefronts, and a coordinated palette of stucco, metal, glass, and other durable materials to reduce the perceived scale of the building and create an active, pedestrian-oriented streetscape.
The Project also includes frontage and off-site improvements along Fourth Street and Parkcenter Drive, including sidewalks, curbs, gutters, parkway landscaping, and other improvements required by the Public Works Agency. Enhanced sidewalks, landscaping, and hardscape treatments would improve pedestrian connectivity and complement the ground-floor commercial frontage. Existing public improvements would be protected where feasible, with damaged or noncompliant improvements reconstructed in accordance with City standards.
Approximately 38,619 square feet of private and common open space would be provided through courtyards, rooftop terraces, landscaped gathering areas, and other resident amenities. An additional approximately 10,666 square feet of publicly accessible open space would be provided primarily along Parkcenter Drive, including a publicly accessible dog park with controlled access, landscaping, hardscape, and pedestrian amenities. Collectively, the site planning, architecture, parking, open space, and public improvements support the pedestrian-oriented mixed-use environment envisioned by the MEMU Overlay Zone.
Density Bonus
The California Density Bonus Law establishes mandatory benefits for qualifying housing developments that provide specified levels of affordable housing. When a housing development satisfies the applicable affordability requirements, the City is required to grant the density bonus and other benefits provided by State law, including applicable parking ratios and, when requested and supported by the statutory requirements, incentives or concessions and waivers or reductions of development standards. Accordingly, the Density Bonus Law does not provide a local jurisdiction with general discretion to deny these benefits based on policy preferences or because a project does not comply with development standards that are subject to an authorized incentive, concession, or waiver.
The City’s authority to deny a requested incentive or concession is expressly limited by Government Code Section 65915(d)(1). The City must grant a qualifying incentive or Density Bonus Agreement No. 2026-01 – Think Together Mixed-Use Development (2101 East Fourth Street)
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concession unless it makes a written finding, based upon substantial evidence, that: (1) the incentive or concession does not result in identifiable and actual cost reductions consistent with State Density Bonus Law; (2) the incentive or concession would have a specific adverse impact upon public health and safety or on property listed in the California Register of Historical Resources, and there is no feasible method to satisfactorily mitigate or avoid that impact without rendering the development unaffordable to low- and moderate-income households; or (3) the incentive or concession would be contrary to State or federal law.
The City bears the burden of proof to support denial of a requested incentive or concession.
Similarly, Government Code Section 65915(e) prohibits the City from applying a development standard that would physically preclude construction of a qualifying development at the densities or with the incentives or concessions permitted under State Density Bonus Law. A requested waiver or reduction may be denied only under the limited circumstances specified by State law, including where the waiver would result in a specific adverse impact upon health or safety for which there is no feasible method to satisfactorily mitigate or avoid the impact, would adversely affect property listed in the California Register of Historical Resources, or would be contrary to State or federal law.
State law also limits the information a local jurisdiction may require from an applicant in connection with a density bonus request. Government Code Section 65915(a)(2) provides that a local government shall not condition the submission, review, or approval of a density bonus application on preparation of an additional report or study that is not otherwise required by State law. The City may require reasonable documentation necessary to establish the Project’s eligibility for the requested density bonus and applicable parking ratios. In addition, reasonable documentation may be required to establish eligibility for an incentive or concession or to demonstrate that the requested incentive or concession satisfies the statutory definition. However, the City may not shift its statutory burden to the Applicant by requiring additional studies or analyses merely to establish that the City should approve a benefit that State law otherwise requires it to grant.
Pursuant to the California Density Bonus law, a project’s affordability level is determined by dividing the number of proposed affordable units by the allowable “base” density (i.e., 90 du/ac). Moreover, the State density bonus law states that units added by a density bonus are excluded from the calculations. As outlined by Table 4 below, the base density for the
2.98-acre site at 90 du/ac is 269 units. Of the total units in the development, 14 units are proposed to be affordable. Therefore, the Project would have a five-percent (5%) affordability rate. As such, State density bonus law allows the developer to request a maximum density bonus of 20 percent (20%).
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Table 4: Density Bonus Calculation
Affordable Unit – 5% (14 units – Extremely
Low Income)
Density Bonus Calculation Units Allowed
Base Density – District Center – Medium High
(DC – 3) 2.98 acres x 90 du/ac 269 Units
20-Percent State Density Bonus (269 units x 0.2) +54 units Total Units
323 units allowed
with density bonus;
274 proposed
*All density bonus calculations resulting in fractions are rounded up to the next whole number. **Affordable unit percentage is calculated excluding units added by a density bonus.
Due to the Project’s five-percent (5%) affordability rate, the developer can seek one density bonus incentive/concession and unlimited waivers, pursuant to Section 65915 et al. of the California Government Code (Density Bonuses and Other Incentives). In addition, California Assembly Bill No. 2345, approved September 28, 2020, revised the State Density Bonus Law originally adopted in 1979 to provide additional benefits for projects that include qualifying affordable housing.
The City has analyzed the Project and has identified several areas of potential impacts.
However, the conditions of approval proposed for the Project are intended to address the Project’s potential impacts. Under the Density Bonus Law, the developer sought one concession and two waivers from the MEMU and SAMC standards to facilitate project development. Table 5 outlines the concession and waivers requested by the Applicant and approved by the Planning Commission on May 28, 2026.
Table 5: Requested Concession (1) and Waivers (2)
Standard Required by MEMU Provided
Setbacks
(Concession)
Adjacent to Public ROW or Street: 10
feet (max.)
MEMU Section 4.7
Adjacent to Park Center Drive: 14.25
feet provided.
Publicly Accessible
Open Space
(Waiver)
Ten-percent (10%) of the gross site
area (12,977 square feet)
MEMU Section 4.5
10,666 square feet provided
(8-percent/8%).
Building Height
(Waiver)
Up to 10 stories for a depth of 150
feet from the street and 6 stories
thereafter
MEMU Section 4.2.2. Village Center
District
7 stories throughout the site
provided.
As applied to this Project, the requested setback concession and waivers from the publicly accessible open space and building height standards were reviewed under these statutory standards. The Planning Commission approved the requests on May 28, 2026, and the City Council subsequently upheld that approval when it denied the appeal on August 4, 2026.
The City has not identified substantial evidence supporting any of the findings authorized by Government Code Section 65915 to deny the requested concession or waivers.
Accordingly, State Density Bonus Law requires the City to recognize the approved Density Bonus Agreement No. 2026-01 – Think Together Mixed-Use Development (2101 East Fourth Street)
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deviations from the otherwise applicable MEMU development standards. DBA No. 2026-01 memorializes those Density Bonus Law benefits together with the Project's corresponding affordable housing obligations.
Onsite Parking
The Project proposes to utilize the State’s parking ratios for qualifying affordable housing projects pursuant to Government Code Section 65915(p). Based on the Project’s unit mix, the applicable State Density Bonus Law parking ratios require one parking space for each one-bedroom unit and 1.5 parking spaces for each two- and three-bedroom unit. The use of these parking ratios is permitted by State Density Bonus Law and does not constitute an incentive/concession or waiver.
The Project will provide a total of 439 structured parking spaces for residents, guests, and commercial patrons, exceeding the minimum State Density Bonus Law requirement of 359 spaces by 80 spaces. The 359-space requirement is based on the Project’s 274 residential units, consisting of 105 one-bedroom units, 158 two-bedroom units, and 11 three-bedroom units.
Under the otherwise applicable MEMU parking standard, mixed-use developments with less than 10 percent (10%) of the gross floor area devoted to commercial activity are required to provide a minimum of 2.0 parking spaces per residential unit, inclusive of guest parking and parking for nonresidential uses. Based on 274 residential units, the MEMU standard would require 548 parking spaces. However, because the Project qualifies for the parking ratios established under State Density Bonus Law, the State standard applies to the Project. Table 6 below provides a comparison on the required parking.
Table 6: Required Parking Comparison
Standard Parking Ratio Parking Calculation Spaces Required State Density Bonus Ratios
Residential
One-Bedroom 1.0 space 1 × 105 units 105
Two-Bedroom 1.5 space 1.5 × 158 units 237
Three-Bedroom 1.5 space 1.5 × 11 units 16.5
Total Required 359*
Total Provided 439
Parking Above Requirement 80
Standard Parking Ratio Parking Calculation Spaces Required MEMU Mixed-Use Standard
Residential Units,
Guest Parking, and
Nonresidential Uses
2.0 spaces per
residential unit 2.0 × 274 units 548
Total Required 548
Total Provided 439
Difference from MEMU Standard 109 fewer spaces
*Parking calculation results in 358.5 spaces, rounded to 359 spaces.
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The parking structure is designed to separate residential parking from designated guest and commercial parking areas. Residential parking levels would be secured through a controlled-access gate requiring a key fob, remote, or access code for entry, while designated guest and commercial parking areas would remain accessible to visitors and commercial patrons.
To proactively address potential neighborhood parking impacts, the conditions of approval require parking management practices to be incorporated into the final recorded CC&Rs and maintained throughout the life of the Project, including:
•Requiring onsite parking permits, such as stickers or hang-tags, for vehicles using guest parking spaces;
•Establishing maximum time limits for vehicles parked in guest parking spaces; •Establishing towing provisions for unauthorized vehicles, vehicles parked in unauthorized locations such as fire lanes, vehicles parked in guest spaces without the required parking permit or other identifier, and vehicles exceeding established guest parking time limits; and
•Conducting routine parking structure inspections to ensure parking spaces remain available for vehicle parking.
Collectively, the provision of parking above the minimum State Density Bonus Law requirement, controlled access to residential parking, and required parking management measures are intended to accommodate the Project’s parking demand while minimizing potential spillover parking impacts to surrounding properties.
Affordable Housing Opportunity and Creation Ordinance
The Project meets the affordable housing goal for the rental category of the City’s Affordable Housing Opportunity and Creation Ordinance (AHOCO) by providing 14 onsite units designated for households earning 30 percent (30%) of the AMI (extremely low-income), which is currently set at $50,750 for a four-person household, significantly enhancing the opportunity for income eligible Santa Ana households to rent a home in the City at a lower cost. The units will be dispersed throughout the community. These affordable units will consist of five one-bedroom, eight two-bedroom, and one three-bedroom units, ranging from 699 to 1,384 in size and will be indistinguishable from the market-rate units. The developer’s Inclusionary Housing Plan has been reviewed and approved by the City’s Housing Division.
Public Notification and Community Outreach
As the City Council’s approval of this agreement does not constitute a public hearing, no public notification or community outreach is required under applicable state law or local ordinances prior to Council action. However, staff notes that project notifications were posted, published, and mailed in accordance with City and State regulations for the required Planning Commission public hearing. In addition, staff contacted the provided contacts for Density Bonus Agreement No. 2026-01 – Think Together Mixed-Use Development (2101 East Fourth Street)
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the Saddleback View, Maybury Park, Lyon Street, and Zoo District neighborhoods to ensure they were aware of the Project and Planning Commission public hearing.
In addition to the required public noticing, the Applicant also held two community meetings in compliance with the City’s Sunshine Ordinance ( Ordinance No. NS-3040). The first meeting was held on October 15, 2024. Approximately 20 members of the community were in attendance and posed questions related to the unit count, unit type, parking availability, finishes on the interior, pricing, affordable units, and when the units would be available for sale. No issues of concern were raised regarding the proposed development.
The second meeting was held on September 4, 2024. Five members of the community were in attendance and posed questions related to the affordable housing units and when they would become available, but raised no issues related to the development. Materials from both meetings are posted to the Project’s City webpage at: https://santa-ana.gov/think- together-residential-development/.
ENVIRONMENTAL IMPACT
Pursuant to the California Environmental Quality Act (CEQA) and CEQA Guidelines, the proposed Project is exempt from further environmental review under Section 15168 (Program EIR). This exemption applies when a previously certified Program Environmental Impact Report (Program EIR) has adequately analyzed the environmental effects of an activity, and no new significant impacts would result from the proposed Project. If the proposed Project remains within the scope of the Program EIR and does not require a subsequent Environmental Impact Report (EIR), no additional environmental documentation is required.
A CEQA Section 15168 Consistency Memorandum was prepared by the Applicant with support from Ganddini Group Inc., the Applicant’s environmental consultant. The purpose of the memorandum was to determine whether the proposed Project was exempt from further review, pursuant to the relevant 2007 MEMU Program EIR, certified in 2007, and the MEMU Subsequent EIR, certified in 2018. This memorandum was peer reviewed by City staff. Upon review, it was determined that the Project does not introduce new or more severe environmental effects beyond those previously identified. Additionally, there are no substantial changes in environmental circumstances that would necessitate further review.
Moreover, as required under CEQA Guidelines Section 15168(c)(3), all applicable mitigation measures from the MEMU EIR and SEIR will be incorporated into the Project. Based on this analysis, the Project qualifies for an exemption under CEQA, and no further environmental documentation is necessary. Therefore, a Notice of Exemption, Environmental Review No. 2025-01, will be filed for the Project.
FISCAL IMPACT
There is no fiscal impact associated with this action.
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EXHIBITS
1. Resolution – Density Bonus Agreement
2. Draft Density Bonus Agreement
3. May 28, 2026 – Planning Commission Staff Report and Exhibits
4. August 4, 2026 – City Council Staff Report and Exhibits Submitted By: Ali Pezeshkpour, AICP, Executive Director of the Planning and Building Agency, and
Sylvia Vazquez, Deputy City Manager
Approved By: Alvaro Nuñez, City Manager