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HomeMy WebLinkAboutStaff Report 2510-5278CITY OF PALO ALTO CITY COUNCIL Monday, October 20, 2025 Council Chambers & Hybrid 5:30 PM     Agenda Item     3.PUBLIC HEARING / QUASI-JUDICIAL. 70 Encina Avenue [25PLN-00034]: Request for Approval of a Tentative Map to Merge Two Lots and Allow for a Condominium Subdivision to Create 10 Units on the Resulting 12,119-Square-Foot Parcel. The Subdivision Map Would Facilitate Construction of Ten New Residential Units in One Building, which was previously approved on April 14, 2025 (24PLN-00095). CEQA Status: Exempt from the Provisions of the California Environmental Quality Act (CEQA) in Accordance with CEQA Guidelines Section 15183 (Comprehensive Plan Consistency). Zoning District: PC-5654. Public Comment City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Planning and Development Services Meeting Date: October 20, 2025 Report #:2510-5278 TITLE PUBLIC HEARING / QUASI-JUDICIAL. 70 Encina Avenue [25PLN-00034]: Request for Approval of a Tentative Map to Merge Two Lots and Allow for a Condominium Subdivision to Create 10 Units on the Resulting 12,119-Square-Foot Parcel. The Subdivision Map Would Facilitate Construction of Ten New Residential Units in One Building, which was previously approved on April 14, 2025 (24PLN-00095). CEQA Status: Exempt from the Provisions of the California Environmental Quality Act (CEQA) in Accordance with CEQA Guidelines Section 15183 (Comprehensive Plan Consistency). Zoning District: PC-5654. RECOMMENDATION Staff recommends the City Council take the following actions: 1.Consider the project exempt from CEQA in accordance with CEQA Guidelines Section 15183 (Comprehensive Plan Consistency) as documented in Attachment C; and 2.Approve the Tentative Map based on findings and subject to conditions of approval in the Draft Record of Land Use Action (RLUA) in Attachment B. EXECUTIVE SUMMARY The applicant requests approval of a Tentative Map1 to merge two contiguous parcels, located at 70 Encina Avenue (APN 120-34-006) and on an adjacent unaddressed parcel (APN 120-34- 007), and for a condominium subdivision to allow 10 residential condominium units on the resulting, 12,119-square-foot parcel. The Planning and Transportation Commission (PTC) unanimously recommended approval on August 27, 2025. Council previously approved rezoning of the two parcels and construction of a 10-unit residential condominium project through the Planned Home Zoning/Planned Community process set forth in Palo Alto Municipal Code (PAMC) Chapter 18.38.2 Two of the approved 1 Tentative Map: https://www.paloalto.gov/files/assets/public/v/1/planning-amp-development- services/newdevelopment-projects/70-encina/september-29-2025-council-tentative-map.pdf 2 Ordinance 5645 and Record of Land Use Action 2025-03 is available online at: https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=48334 units will be provided at below market rate and made affordable to households making 80% of Area Median Income or below. BACKGROUND 5 Additionally, the proposed site improvements associated with the map were approved by City Council on April 14, 2025.6 ANALYSIS 5 Planning and Transportation Commission Staff Report, August 27, 2025, Item 2: https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=16575 6 City Council Staff Report, April 14, 2025, Item 12: https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=16036 with one-story structures, though the building height increases to two stories towards the eastern side of the building. To the north, across Encina Avenue, are CS zoned office buildings and further down the street is the LifeMoves Opportunity Center. The offices are one- and two- story buildings. The Opportunity Center is five stories. 9 Housing Element 10 9 The Palo Alto Comprehensive Plan is available online: bit.ly/PACompPlan2030 10 The Palo Alto Zoning Code is available online: bit.ly/PAZoningCode FISCAL/RESOURCE IMPACT STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: 3 Bldg 3 Bldg 1 Bldg 2 Bldg 4 50.0' 121.2' 50.0' 121.2' 121.2' 121.2' 56.0' 121.2' 56.0' 100.0' 121.2' 100.0' 121.2' 50.0' 121.2' 50.0' 121.2' 18.8' 535.5' 938.0' 1 100.0' 50.0' 121.2' 50.0' 121.2' 50.0' 121.2' 50.0' 121.2' 50.0' 121.2' 50.0' 121.2' 50.0' 121.2' 50.0' 121.2' 50.0' 121.2' 50.0' 121.2' 50.0' 121.2' 50.0' 121.2' 50.0' 121.2' 50.0' 121.2' 121.2' 121.2' 50.0' 50.0' 121.2' 100.0' 100.0' 121.2' 121.2' 182.3' 200.0' 121.1'14.3' 72.6' 137.4' 84.5' 112.3' 39.0' 48.0'43.5' 112.3' 82.2' 224.6' 212.7' 72.0' 51 75 63 44 87 98 67 81 855 25 ALMA ST EL CAMINO REALMINO REAL EMBARCADERO ROAD URBAN L ANE UE ENCINA AVENUE CC CS CS PAMF PARKING STRUCTURE This map is a product of the City of Palo Alto GIS This document is a graphic representation only of best available sources. Legend Project Site 0' 71' Attachment A 70 Encina Location Map CITY OF PALO ALTO I NC O R P O R A TED CALIFORNIA P a l o A l t o T h e C i t y o f APRIL 1 6 1894 The City of Palo Alto assumes no responsibility for any errors. ©1989 to 2016 City of Palo Alto ekallas, 2024-09-04 15:59:55 (\\cc-maps\Encompass\Admin\Personal\Planning.mdb) 3 2 6 2 ACTION NO. 2025-XX At its meeting on September 29, 2025, the City Council of the City of Palo Alto (“City Council”) approved the Vesting Tentative Map to merge two existing lots for the development of a one-lot subdivision to create 10 residential condominium units, making the following findings, determinations and declarations: SECTION 1. Background. A. On February 11, 2025, Sandis, on behalf of Town & Country Development Company, LLC, applied for a Tentative Map for the development of a one (1) parcel, 10-unit condominium subdivision at 70 Encina Avenue (“The Project”). The project site is comprised of two existing lots: APN No. 120-34-006, approximately 6,059.5 square feet, contains a vacant surface parking lot. APN No. 120-34-007, approximately 6,059.5 square feet, contains a vacant surface parking lot. Uses abutting the site include a one-story shopping center (Town and Country Shopping Center). Across Encina Avenue are one-to-three story office buildings, and the five-story LifeMoves Opportunity Center. B. Following staff review, the Planning and Transportation Commission reviewed the project and recommended approval on August 27, 2025, subject to conditions of approval. C. Hayes Group Architects, on behalf of Town & Country Development Company, LLC, also submitted a related Planned Community/Planned Home Zoning application, which the City Council approved on April 14, 2025 pursuant to the City’s Planned Community Rezoning Process, to permit a 10-unit multi-family building, two of which would be provided at a rate affordable to low income tenants (50-80% AMI). D. On September 29, 2025 the City Council held a duly noticed public hearing, at which evidence was considered and all persons were afforded an opportunity to be heard in accordance with the City Council’s policies and procedures. SECTION 2. Environmental Review. The City, as the lead agency for the Project, has determined that the project is exempt from the California Environmental Quality Act (CEQA) in accordance with CEQA Guideline section 15183, which provides an exemption for projects deemed consistent with the Comprehensive Plan. Documentation to support the exemption is available as part of the public record on file with the Planning and Development Services Division. SECTION 3. Tentative Map Findings. A legislative body of a city shall deny approval of a Parcel Map, if it makes any of the following findings (California Government Code Section 66474). The City Council cannot make these findings for the following reasons: 3 2 6 2 1.That the proposed map is not consistent with applicable general and specific plans as specified in Section 65451: The site is consistent with the Comprehensive Plan as described below. There is no adopted specific plan for this project site. 2.That the design or improvement of the proposed subdivision is not consistent with applicable general and specific plans: There is no adopted specific plan for this project site. The proposed tentative map and related improvements is consistent with the Comprehensive Plan in that it facilitates housing development on a site designated for multi-family use within the urban services area, consistent with Goal 2 of the Housing Element and Goal L1.2 of the Land Use Element. The project does not replace existing housing. The project includes two units that will be offered at a rate affordable to low income, 80% AMI. The project improves the city’s jobs housing imbalance consistent with the Transportation Element’s goals and policies. 3. That the site is not physically suitable for the type of development: The Project site is suitable for multi-family residential development in that it’s identified as a Housing Inventory Site in the Housing Element. The existing parcel meets the minimum code requirements for the CC zone district with respect to lot area, width and depth. The parcel would not change with approval of this condominium subdivision. The proposed number of condominium units complies with the applicable densities set forth in the land use element and zoning code. 4.That the site is not physically suitable for the proposed density of development: The project would create a total of 10 multi-family residential units, which is 27.8 dwelling units (DU) per acre for the site. This density is allowed as a part of the Planned Community rezoning entitlement. Therefore, it is physically suitable. 5. That the design of the subdivision or the proposed improvements are likely to cause substantial environmental damage or substantially and avoidably injure fish or wildlife or their habitat: The project is located within the built environment that does not contain quality habitat for fish or other wildlife on the site or within the vicinity of the site. There are no streams within 1,000 feet of the project site. The adopted Palo Alto 2030 Comprehensive Plan includes Map N-1, which identified sensitive animal and plant species within the Palo Alto quadrangle, a large geographic area that includes the urban portions along the bay and within the foothills, based on information in the California natural Diversity Database (CNDDB). Based on this map, and the urban nature of the site, the subject property does not contain any habitat for endangered, rare, or threatened species and has not historically supported any of these species. 3 2 6 2 6. That the design of the subdivision or type of improvements is likely to cause serious public health problems: The subdivision of this parcel and associated improvements would not have the potential to result in serious health problems. The proposed multi-family use would not include use or storage of hazardous materials and the use is located within the urban environment adjacent to other residential uses. The site is not located on a hazardous waste site pursuant to government code 65962.5. 7. That the design of the subdivision or the type of improvements will conflict with easements, acquired by the public at large, for access through or use of, property within the proposed subdivision. In this connection, the governing body may approve a map if it finds that alternate easements, for access or for use, will be provided, and that these will be substantially equivalent to ones previously acquired by the public. This subsection shall apply only to easements of record or to easements established by judgment of a court of competent jurisdiction and no authority is hereby granted to a legislative body to determine that the public at large has acquired easements for access through or use of property within the proposed subdivision. There are no public access easements over the property currently. Therefore, the design of the subdivision will not conflict with any public easements for access through, or use of, the property. New public utility easements will be provided to existing and proposed electrical utilities as part of this subdivision map as required in accordance with City of Palo Alto Utilities standards. New public access easements will be provided to provide access to the new units. SECTION 4. Tentative Map Approval Granted. Tentative Map Approval is filed and processed in accordance to PAMC Section 21.13.020 and granted by the City Council under PAMC Sections 21.12 and 21.20 and the California Government Code Section 66474, subject to the conditions of approval in Section 6 of this Record of Land Use Action. SECTION 5. Final Map. The Final Map submitted for review and approval by the City Council shall be in substantial conformance with the Tentative Map prepared by Sandis titled “70 ENCINA AVENUE TENTATIVE MAP” consisting of 1 page, dated and submitted September 11, 2025, except as modified to incorporate the conditions of approval in Section 6. A copy of the Vesting Tentative Map is on file in the Department of Planning and Development Services, Current Planning Division. Prior to the expiration of the Tentative Map approval, the subdivider shall cause the subdivision or any part thereof to be surveyed, and a Final Map, as specified in Chapter 21.08, to be prepared in conformance with the Tentative Map as conditionally approved, and in compliance with the provisions of the Subdivision Map Act and PAMC Title 21 and submitted to the City Engineer (PAMC Section 21.16.010[a]). 3 2 6 2 SECTION 6. Conditions of Approval. Planning e. PROTECTION OF STORM WATER FACILITIES. Neither the association, its residents, nor their agents, employees, representatives, invitees, licensees, 3 2 6 2 customers, or contractors shall alter or modify any storm water facilities in any way including but not limited to placing, maintaining, constructing, or planting any improvements, landscaping or other items, including without limitation decks, stairs, walls, irrigation systems, trees, or any vegetation on any storm water facilities. f.TRASH DISPOSAL AND RECYCLING AREAS SHALL COMPLY WITH CITY ORDINANCES. All trash disposal and recycling areas shall be kept in a clean and sanitary condition and shall comply with all applicable City Ordinances. g. PROHIBITION AGAINST AIR AND WATER POLLUTION. Neither the association, its residents, nor their agents, employees, representatives, invitees, licensees, customers, or contractors shall use the property in any way which emits pollution into the atmosphere in excess of environmental standards set forth by City, State, and Federal laws, ordinances, and regulations. Neither the association, its residents, nor their agents, employees, representatives, invitees, licensees, customers, or contractors shall discharge garbage, trash, waste, or any other substance or materials of any kind into any private or public sewer or waterway on the property in violation of any regulations of any private or public body having jurisdiction over such matters. h. AMENDMENTS TO ORGANIZATION DOCUMENTS REQUIRE CITY APPROVAL. Any amendments or modifications to the organizational documents shall be submitted to the city attorney for approval. No amendment or modification to the organizational documents shall be effective without prior written consent of the city attorney. i. CITY’S RIGHT TO ENFORCE COVENANTS AND RESTRICTIONS. The City is hereby granted the right, but in no event the duty, to enforce the covenants and restrictions set forth in this section of the organizational documents. The association shall recognize that it has the primary responsibility for enforcement of the organizational documents and unequivocally guarantees to institute and expeditiously prosecute any required legal action to obtain compliance with all provisions set forth in the organizational documents. j. NO WAIVER OF CITY’S RIGHTS. No failure of the City to enforce any of the covenants or restrictions contained in the organizational documents will in any event render them ineffective. k. CITY’S REMEDIES TO CURE A BREACH OR VIOLATION. Remedies available to the City to cure any breach or violation of the organizational documents shall be cumulative to any other provisions of law. The City’s failure to exercise any remedy provided for in the organizational documents shall not, under any circumstances, be construed as a waiver of the remedy. 3 2 6 2 l. SEVERABILITY. Invalidation of any one of the City’s required covenants or restrictions by judgment or court order shall in no way affect any other provisions which shall remain in full force and effect. 4. DEVELOPMENT IMPACT FEES. The Property Owner or their designee shall pay all applicable development impact fees associated with the proposed development and subdivision prior to issuance of the building permit(s), as detailed in the PHZ Approval, RLUA 2025-03. 5. INDEMNITY. To the extent permitted by law, the Applicant shall indemnify and hold harmless the City, its City Council, its officers, employees and agents (the “indemnified parties”) from and against any claim, action, or proceeding brought by a third party against the indemnified parties and the applicant to attack, set aside or void, any permit or approval authorized hereby for the Project, including (without limitation) reimbursing the City for its actual attorneys’ fees and costs incurred in defense of the litigation. The City may, in its sole discretion, elect to defend any such action with attorneys of its own choice. Public Works Engineering 6. PUBLIC WORKS APPLICATIONS, FORMS, AND DOCUMENTS: Applicant shall be advised that most forms, applications, and informational documents related to Public Works Engineering conditions can be found at the following link: https://www.cityofpaloalto.org/Departments/Public-Works/Engineering- Services/Forms-and-Permits 7. SUBDIVISION IMPROVEMENT AGREEMENT: The applicant shall execute a Subdivision Improvement Agreement and provide improvement securities (Bonds) for all proposed public improvements. THE AGREEMENT SHALL BE EXECUTED PRIOR TO MAP RECORDATION OR ISSUANCE OF ANY PERMITS FOR CONSTRUCTION, ONSITE AND OFFSITE. ADVISORY -- The applicant shall provide a detailed itemized stamped and signed engineer's estimate for all off-site public improvements which will be reviewed to determine the security amount. 8. FINAL MAP: This project is subject to, and contingent upon the approval and recordation of a Final Map. The submittal, approval and recordation of the Map shall be in accordance with the provisions of the California Subdivision Map Act and Palo Alto Municipal Code Title 21 Subdivision requirements. All existing and proposed property lines, easements, dedications shown on the map are subject to the City’s technical review and approval prior to issuance of any construction permits. 9. MAP THIRD-PARTY REVIEW: The City contracts with a third-party surveyor that will review and provide approval of the map’s technical correctness as the City Surveyor, as permitted by the Subdivision Map Act. The Public Works Department will forward a 3 2 6 2 Scope & Fee Letter from the third-party surveyor and the applicant will be responsible for payment of the fee’s indicated therein, which is based on the complexity of the map. SECTION 7. Term of Approval. Tentative Map. All conditions of approval of the Tentative Map shall be fulfilled prior to approval of a Final Map (PAMC Section 21.16.010[c]). Unless a Final Map is filed, and all conditions of approval are fulfilled within a two-year period from the date of Tentative Map approval, the Tentative Map shall expire and all proceedings shall terminate. An extension of time may be granted by the city council after recommendation of the planning commission, upon the written application of the subdivider, with an extension request submitted prior to the expiration of the Tentative Map approval, or any previous extension granted. Such extension(s) shall be subject to the maximum limitations set forth in the Subdivision Map Act. // // // // // // // // // // // // // INTRODUCED AND PASSED: AYES: NOES: 3 2 6 2 ATTEST: APPROVED: _________________________ ____________________________ City Clerk Mayor APPROVED AS TO FORM: APPROVED AS TO CONTENT: ___________________________ ___________________________ Assistant City Attorney City Manager ___________________________ Director of Planning and Development Services PLANS AND DRAWINGS REFERENCED: Those plans prepared by Sandis titled prepared by Sandis titled “70 ENCINA AVENUE TENTATIVE MAP” consisting of 1 page, dated and submitted September 11, 2025. If you need assistance reviewing the above documents, please contact the Project Planner or call the Planner-on-Duty at 650-617-3117 or email planner@cityofpaloalto.org Project Plans In order to reduce paper consumption, a limited number of hard copy project plans are provided to commissioners for their review. The same plans are available to the public, at all hours of the day, via the following online resources. Directions to review Project plans and environmental documents online: 1. Go to: bit.ly/PApendingprojects 2. Scroll down to find “70 Encina” and click the address link 3. On this project-specific webpage you will find a link to the project plans and other important information Direct Link to Project Webpage: https://www.cityofpaloalto.org/Departments/Planning-Development-Services/Current- Planning/Projects/70-Encina-Ave From:herb To:Council, City; Clerk, City Subject:October 20, 2025, City Council Meeting, Item #3: 70 Encina Avenue [25PLN-00034] Date:Sunday, October 19, 2025 5:21:17 PM CAUTION: This email originated from outside of the organization. Be cautiousof opening attachments and clicking on links. OCTOBER 20, 2025 CITY COUNCIL MEETING AGENDA ITEM #3: 70 ENCINA AVENUE [25PLN-00034] October 19, 2025 The staff report for this agenda item differs from the staffreport for the September 29, 2025 meeting only by appearing inthe meeting's agenda packet with the current meeting's date andapparently after being properly noticed, but otherwise thestaff report is the same as the one for the September 29, 2025meeting on this agenda item's project. The Planning & Transportation Commission has not yet receivedor approved the Action Minutes for its August 27, 2025 meetingalthough sense minutes have been posted on the City's websiteas a convenience for the City Council and public. The failure to have the Commision minutes before you and thepublic means you need to continue this project's agenda itemagain. None my other comments about the staff report and Record ofLand Use Action have been responded to in the current staffreport. The staff report states that the project is exempt from theCalifornia Environmental Quality Act (CEQA) pursuant to CEQARegulation 15183, "Consistency with the Comprehensive Plan",but that regulation enables anyone to challenge in court anyproject-specific significant impacts of the project. The Santa Clara County Clerk-Recorder website indicates that aNotice of Decision (NOD) for the project was posted on May 12,2025 that replaced the NOD posted on April 18, 2025. If the public has 180 days from the May 12 NOP posting tochallenge the project approval in court, there is still timefor that to occur. If Ellis Partners, the primary opponent of the project, hasreached an agreement with the project applicant that depends onyour approval of this agenda item, they are just going to haveto wait to see if anyone else files a CEQA lawsuit. If Ellist Partners is still opposed to the project, then theystill have time to sue. Thank you for your consideration of these comments.