HomeMy WebLinkAboutStaff Report 2504-4539CITY OF PALO ALTO
CITY COUNCIL
Monday, May 05, 2025
Council Chambers & Hybrid
5:30 PM
Agenda Item
13.SECOND READING: Ordinance of the Council of the City of Palo Alto Amending Section
18.08.040 of the Palo Alto Municipal Code (The Zoning Map) to Change the Classification
of Property Located at 70 Encina Avenue from Service Commercial (CS) Zone to Planned
Community Zone (PC)
City Council
Staff Report
Report Type: CONSENT CALENDAR
Lead Department: City Clerk
Meeting Date: May 5, 2025
Report #:2504-4539
TITLE
SECOND READING: Ordinance of the Council of the City of Palo Alto Amending Section
18.08.040 of the Palo Alto Municipal Code (The Zoning Map) to Change the Classification of
Property Located at 70 Encina Avenue from Service Commercial (CS) Zone to Planned
Community Zone (PC)
BACKGROUND
The City Council heard this item on April 14, 2025 for a first reading and approved it on a 7-0
vote. An administrative correction was made, and the ordinance is now before the City Council
for a second reading.
ATTACHMENTS
Attachment A - Ordinance of the Council of the City of Palo Alto Amending Section 18.08.040 of
the Palo Alto Municipal Code (The Zoning Map) to Change the Classification of Property Located
at 70 Encina Avenue from Service Commercial (CS) Zone to Planned Community Zone (PC)
APPROVED BY:
Mahealani Ah Yun, City Clerk
*NOT YET APPROVED*
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Ordinance No. ____
Ordinance of the Council of the City of Palo Alto Amending Section 18.08.040 of
the Palo Alto Municipal Code (The Zoning Map) to Change the Classification of
Property Located at 70 Encina Avenue from Service Commercial (CS) Zone to
Planned Community Zone (PC)
The Council of the City of Palo Alto ORDAINS as follows:
SECTION 1. Findings and Declarations.
(a) On March 24, 2024, Hayes Group Architecture (“Applicant”) submitted an application for
Rezoning to Planned Community/Planned Home Zoning (PHZ) and Major Architectural
Review to redevelop the site at 70 Encina Avenue (the “Subject Property,” more particularly
described in Exhibit A) with ten condominium units, two of which would be below market
rate (the “Project”).
(b) Following Staff Review, the Planning and Transportation Commission (Commission)
reviewed the project on September 11, 2024 and recommended the project to the
Architectural Review Board.
(c) The Architectural Review Board reviewed the project on November 7, 2024 and, following
preparation of the environmental analysis, formally recommended approval of the project
to the City Council on February 6, 2025.
(d) The Planning and Transportation Commission reviewed the project on February 26, 2025;
and recommended approval of the project to the City Council.
(e) Approval of the Planned Community Project would constitute a project under the
provisions of the California Environmental Quality Act of 1970, together with related state
and local implementation guidelines promulgated thereunder (“CEQA”).
(f) The City is the Lead Agency pursuant to Public Resources Code section 21067 as it has the
principal responsibility to approve and regulate the Planned Community Project.
(g) The City, in compliance with CEQA, determined that the project is eligible for streamlined
review in accordance with CEQA Guidelines Section 15183. The City prepared an analysis
of the project in accordance with CEQA Guidelines Section 15183, which evaluated the
project’s consistency with the Comprehensive Plan and the Comprehensive Plan EIR,
including relevant addenda. Plan level technical reports were prepared to confirm that
the Comprehensive Plan EIR, including any mitigation required through that EIR, would
adequately address the impacts of the proposed project.
(h) The Council is the decision-making body for approval of the Planned Community Project.
*NOT YET APPROVED*
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(i) The site is so situated, and the use or uses proposed for the site are of such characteristics
that the application of general districts or combining districts will not provide sufficient
flexibility to allow the proposed development. Specifically, the project proposes family-
serving, ownership housing units. The existing CS zoning requires ground-floor retail and
limits the square footage for residential uses to a floor area ratio of no more than 0.35 to
1. The limitation on residential housing uses and development standards was intended to
apply to the shopping center, of which this site was previously a leased part. The site is
zoned and designated as part of the shopping center but is no longer leased by the Town
& Country Village shopping center owner and is part of a separate, adjacent parcel. In
order to provide an exclusively multi-family use on this site and to achieve a floor area, lot
coverage and setbacks that allow for development of the project as proposed, the
proposed rezoning is necessary.
(j) Development of the site under the provisions of the PC planned community district will
result in public benefits not otherwise attainable by application of the regulations of
general districts or combining districts, as set forth in Section 6 of this ordinance.
(k) Rezoning of the site to Planned Community is appropriate for the reasons set forth herein.
(l) The use or uses permitted, and the site development regulations applicable within the
district are consistent with the Palo Alto Comprehensive plan and compatible with existing
and potential uses on adjoining sites or within the general vicinity, as set forth in the
Record of Land Use Action (Exhibit B) accompanying this ordinance.
SECTION 2. Amendment of Zoning Map.
Section 18.08.040 of the Palo Alto Municipal Code, the “Zoning Map,” is hereby amended by
changing the zoning of Subject Property from Service Commercial (CS) to “Planned Community
Zone (PC) _____”.
SECTION 3. Project Description.
The Project as a whole is described in the Development Plan, titled “Encina Housing 70 Encina
Avenue, Palo Alto, CA 94301” and uploaded to the Palo Alto Online Permitting Services Citizen
Portal on February 19, 2025. With respect to the Subject Property, the project comprises the uses
included in this Ordinance, depicted on the Development Plans, incorporated by reference,
including the following components:
(a) Redevelopment of an existing surface parking area, as described in more detail in the
Development Plan, to allow construction of a new 3-story, 19,035 sf building (1.57 FAR); to
include ten (10) residential condominium units organized around a common access court
that provides both vehicular and pedestrian access and site improvements. Two of the
proposed units will be deed restricted to be sold at a rate affordable to households earning
up to 80% of area median income.
*NOT YET APPROVED*
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(b) Merger of two existing lots and subdivision into ten (10) residential condominium units
through a subdivision map, which will be filed at a later date.
SECTION 4. Land Uses.
(a) The following land uses shall be permitted:
(1) Multi-family residential in accordance with the project description;
(2) Accessory Uses.
SECTION 5. Site Development Regulations and Development Schedule.
(a) Development Standards:
Development standards for the Subject Property shall be those conforming to the Development
Plans.
(b) Parking and Loading Requirements:
The Owner shall provide parking and loading as set forth in the Development Plan. Specifically,
the Owner shall provide four units with 1 space per unit and six units with 2 spaces per unit, for
a total of 16 parking spaces.
(c) Modifications to the Development Plan, Land Uses and Site Development Regulations:
Once the project has been constructed consistent with the approved Development Plan, any
modifications to the exterior design of the Development Plan or any new construction not
specifically permitted by the Development Plan or the site development regulations contained in
Section 5 (a) – (b) above shall require an amendment to this Planned Community zone. Any use
not specifically permitted by this ordinance shall require an amendment to the PC ordinance, as
required by Palo Alto Municipal Code 18.38.050.
(g) Development Schedule:
The project is required to include a Development Schedule pursuant to PAMC §18.38.100. The
applicant has indicated that development is anticipated to begin in October 2025 and conclude
in December 2026.
Notwithstanding the above, construction of the project shall commence within two years of the
effective date of this ordinance. Prior to expiration of this timeline, the Owner may seek a one
year extension from the Director of Planning and Development Services. All construction and
development of the project shall be complete within 3 years of the start of construction.
SECTION 6. Public Benefits.
(a) Public Benefits
*NOT YET APPROVED*
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Development of the Project Site under the provisions of the PC Planned Community District will
result in public benefits not otherwise attainable by application of the regulations of general
districts or combining districts.
The public benefit provided by the Project is two dwelling units at below market rates (“BMR”),
affordable to households with income not exceeding 100% of area median income. This exceeds
the base requirement in Palo Alto Municipal Code Chapter 16.65, which would require one BMR
unit and the payment of in-lieu fees.
SECTION 7. Environmental Review
The City prepared an analysis of the project in accordance with CEQA Guidelines Section 15183
and confirmed that the Comprehensive Plan EIR, including any mitigation that would be
addressed as required through that EIR, would adequately address the impacts of the proposed
project.
SECTION 8. Effective Date
This ordinance shall be effective on the thirty-first day after the date of its adoption (second
reading).
INTRODUCED:
PASSED:
AYES:
NOES:
ABSTENTIONS:
ABSENT:
ATTEST:APPROVED:
__________________________
City Clerk
APPROVED AS TO FORM:
__________________________
Assistant City Attorney
_________________________
Mayor
_________________________
City Manager
__________________________
Director of Planning and
Development Services
*NOT YET APPROVED*
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Exhibit A Plan and Legal Description
*NOT YET APPROVED*
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Exhibit B Record of Land Use Action