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HomeMy WebLinkAbout2026-03-25 Planning & Transportation Commission Agenda PacketPLANNING AND TRANSPORTATION COMMISSION Regular Meeting Wednesday, March 25, 2026 Council Chambers & Hybrid 6:00 PM   Planning and Transportation Commission meetings will be held as “hybrid” meetings with the option to attend by teleconference/video conference or in person. To maximize public safety while still maintaining transparency and public access, members of the public can choose to participate from home or attend in person. Information on how the public may observe and participate in the meeting is located at the end of the agenda. Masks are strongly encouraged if attending in person. The meeting will be broadcast on Cable TV Channel 26, live on YouTube https://www.youtube.com/c/cityofpaloalto, and streamed to Midpen Media Center https://midpenmedia.org. Commissioner names, biographies, and archived agendas and minutes are available at http://bit.ly/PaloAltoPTC. VIRTUAL PARTICIPATION CLICK HERE TO JOIN (https://cityofpaloalto.zoom.us/j/91641559499) Meeting ID: 916 4155 9499 Phone: 1(669)900-6833   PUBLIC COMMENTS Public comments will be accepted both in person and via Zoom for up to three minutes or an amount of time determined by the Chair. All requests to speak will be taken until 5 minutes after the staff’s presentation. Written public comments can be submitted in advance to Planning.Commission@PaloAlto.gov and will be provided to the Commission and available for inspection on the City’s website three days before the meeting. Please clearly indicate which agenda item you are referencing in your subject line. Spokespersons that are representing a group of five or more people who are identified as present at the meeting at the time of the spokesperson's presentation will be allowed up to ten (10) minutes at the discretion of the Chair, provided that the non-speaking members agree not to speak individually. The Chair may limit Public Comments to thirty (30) minutes for all combined speakers. The Chair may reduce the allowed time to speak for Study Sessions and Action Items to two (2) minutes or less to accommodate a larger number of speakers. PowerPoints, videos, or other media to be presented during public comment are accepted only by email to Planning.Commission@PaloAlto.gov at least 24 hours prior to the meeting. Once received, the Clerk will have them shared at public comment for the specified item. To uphold strong cybersecurity management practices, USB’s or other physical electronic storage devices are not accepted. Signs and symbolic materials less than 2 feet by 3 feet are permitted provided that: (1) sticks, posts, poles or similar/other type of handle objects are strictly prohibited; (2) the items do not create a facility, fire, or safety hazard; and (3) persons with such items remain seated when displaying them and must not raise the items above shoulder level, obstruct the view or passage of other attendees, or otherwise disturb the business of the meeting. CALL TO ORDER/ ROLL CALL   AGENDA CHANGES, ADDITIONS AND DELETIONS The Chair or Commission majority may modify the agenda order to improve meeting management.   PUBLIC COMMENT Members of the public may speak to any item NOT on the agenda. Three (3) minutes per speaker.   CITY OFFICIAL REPORTS   1.Director's Report, Meeting Schedule, and Assignments STUDY SESSION Public Comment is Permitted. Three (3) minutes per speaker. 2.San Antonio Road Area Plan Land Use and Transportation Alternatives Study Session. CEQA Status: Exempt under CEQA Guidelines Section 15262. ACTION ITEMS Public Comment is Permitted. Applicants/Appellant Teams: Fifteen (15) minutes, plus three (3) minutes rebuttal. All others: Three (3) minutes per speaker. 3.Recommendation on an Ordinance to Amend Various Sections of Title 16 (Building Regulations) and Title 18 (Zoning) of the Palo Alto Municipal Code to Implement Retail Vitality Policies in the Comprehensive Plan. CEQA Status: The Ordinance is Consistent with and Represents Implementation of Adopted Policies in the Comprehensive Plan, for Which an Environmental Impact Report (Comprehensive Plan EIR) was Certified on February 5, 2016. APPROVAL OF MINUTES Public Comment is Permitted. Three (3) minutes per speaker. 4.Approval of Planning & Transportation Commission Draft Summary & Verbatim Minutes of February 11, 2026 COMMISSIONER QUESTIONS, COMMENTS, ANNOUNCEMENTS OR FUTURE MEETINGS AND AGENDAS Members of the public may not speak to the item(s).   ADJOURNMENT   OTHER INFORMATION The materials below are provided for informational purposes, not for action or discussion during this meeting’s agenda. Written public comments may be submitted in advance and will be provided to the Commission and availible for public inspection on the City’s website three days before the meeting.   A.Public Comment PUBLIC COMMENT INSTRUCTIONS Members of the Public may provide public comments to teleconference meetings via email, teleconference, or by phone. 1.Written public comments may be submitted by email to Planning.Commission@PaloAlto.gov. 2.Spoken public comments using a computer will be accepted through the teleconference meeting. To address the Commission, click on the link below to access a Zoom-based meeting. Please read the following instructions carefully. ◦You may download the Zoom client or connect to the meeting in- browser. If using your browser, make sure you are using a current, up-to-date browser: Chrome 30, Firefox 27, Microsoft Edge 12, Safari 7. Certain functionality may be disabled in older browsers including Internet Explorer. ◦You may be asked to enter an email address and name. We request that you identify yourself by name as this will be visible online and will be used to notify you that it is your turn to speak. ◦When you wish to speak on an Agenda Item, click on “raise hand.” The Clerk will activate and unmute speakers in turn. Speakers will be notified shortly before they are called to speak. ◦When called, please limit your remarks to the time limit allotted. A timer will be shown on the computer to help keep track of your comments. 3.Spoken public comments using a smart phone will be accepted through the teleconference meeting. To address the Commission, download the Zoom application onto your phone from the Apple App Store or Google Play Store and enter the Meeting ID below. Please follow the instructions above. 4.Spoken public comments using a phone use the telephone number listed below. When you wish to speak on an agenda item hit *9 on your phone so we know that you wish to speak. You will be asked to provide your first and last name before addressing the Commission. You will be advised how long you have to speak. When called please limit your remarks to the agenda item and time limit allotted. CLICK HERE TO JOIN Meeting ID: 916 4155 9499 Phone:1-669-900-6833 Americans with Disability Act (ADA) It is the policy of the City of Palo Alto to offer its public programs, services and meetings in a manner that is readily accessible to all. Persons with disabilities who require materials in an appropriate alternative format or who require auxiliary aids to access City meetings, programs, or services may contact the City’s ADA Coordinator at (650) 329-2550 (voice) or by emailing ada@PaloAlto.gov. Requests for assistance or accommodations must be submitted at least 24 hours in advance of the meeting, program, or service. Item No. 1. Page 1 of 2 Planning & Transportation Commission Staff Report From: Planning and Development Services Director Lead Department: Planning and Development Services Meeting Date: March 25, 2026 Report #: 2603-6128 TITLE Director's Report, Meeting Schedule, and Assignments RECOMMENDATION Staff recommends that the Planning and Transportation Commission (PTC) review and comment as appropriate. BACKGROUND This document includes the following items:  Upcoming PTC Agenda Items PTC Meeting Schedule  PTC Representative to City Council (Rotational Assignments) Commissioners are encouraged to contact Samuel Tavera (Samuel.Tavera@PaloaAlto.gov) to notify staff of any planned absences one month in advance, if possible, to ensure the availability of a PTC quorum. PTC Representative to City Council is a rotational assignment where the designated commissioner represents the PTC’s affirmative and dissenting perspectives to Council for quasijudicial and legislative matters. Representatives are encouraged to review the City Council agendas (https://www.paloalto.gov/City-Hall/City-Council/Council-Agendas- Minutes) for the months of their respective assignments to verify if attendance is needed or contact staff.  Prior PTC meetings are available online at https://midpenmedia.org/category/government/city- of-palo-alto/boards-and-commissions/planning-and-transportation-commission.   Item 1 Item 1 Staff Report     Packet Pg. 5     Item No. 1. Page 2 of 2 UPCOMING PTC ITEMS April 8, 2026 4103 Old Trace Road Subdivision Alternative Housing Types Study Session 788 San Antonio Road Attachment A: 2026 PTC Meeting Schedule & Assignments : Jennifer Armer, Assistant Director Item 1 Item 1 Staff Report     Packet Pg. 6     Planning & Transportation Commission 2026 Meeting Schedule 2026 Schedule Meeting Dates Time Location Status Planned Absences 1/14/2026 6:00 PM Hybrid Regular 1/28/2026 6:00 PM Hybrid Cancelled 2/11/2026 6:00 PM Hybrid Regular James 2/25/2026 6:00 PM Hybrid Regular Chang 3/11/2026 6:00 PM Hybrid Special James, Ji 3/25/2026 6:00 PM Hybrid Regular 4/8/2026 6:00 PM Hybrid Regular 4/29/2026 6:00 PM Hybrid Regular 5/13/2026 6:00 PM Hybrid Regular Hechtman 5/27/2026 6:00 PM Hybrid Regular 6/10/2026 6:00 PM Hybrid Regular 6/24/2026 6:00 PM Hybrid Regular 7/8/2026 6:00 PM Hybrid Regular 7/29/2026 6:00 PM Hybrid Regular Hechtman 8/12/2026 6:00 PM Hybrid Regular 8/26/2026 6:00 PM Hybrid Regular 9/9/2026 6:00 PM Hybrid Regular 9/30/2026 6:00 PM Hybrid Regular 10/14/2026 6:00 PM Hybrid Regular 10/28/2026 6:00 PM Hybrid Regular 11/11/2026 6:00 PM Hybrid Cancelled 11/18/2026 6:00 PM Hybrid Special 11/25/2026 6:00 PM Hybrid Cancelled 12/9/2026 6:00 PM Hybrid Regular 12/30/2026 6:00 PM Hybrid Cancelled 2026 Assignments - Council Representation (primary/backup) January February March April May June Bryna Chang Allen Akin Bart Hechtman Kevin Ji Todd James Forest Peterson Todd James Forest Peterson Cari Templeton Bryna Chang Allen Akin Bart Hechtman July August September October November December Council Cari Templeton Bryna Chang Allen Akin Bart Hechtman Kevin Ji Summer Break Kevin Ji Todd James Forest Peterson Cari Templeton Bryna Chang Item 1 Attachment A - 2026 PTC Schedule & Assignments     Packet Pg. 7     Item No. 2. Page 1 of 8 Planning & Transportation Commission Staff Report From: Planning and Development Services Director Lead Department: Planning and Development Services Meeting Date: March 25, 2026 Report #: 2603-6122 TITLE San Antonio Road Area Plan Land Use and Transportation Alternatives Study Session. CEQA Status: Exempt under CEQA Guidelines Section 15262. RECOMMENDATION Staff recommends the Planning & Transportation Commission (PTC) conduct a study session to: 1. Review and comment on the draft San Antonio Road Area Plan land use and mobility alternatives; and 2. Provide feedback to staff on preferred land use and mobility alternatives to inform City Council discussion. EXECUTIVE SUMMARY The San Antonio Road Area Plan (Area Plan) draft land use and mobility alternatives (illustrated in Attachment A) provide high-level options for development in the plan area. Topics include allowed uses, bicycle/pedestrian facilities, residential density, building heights, commercial office and retail development areas, outdoor space, and roadway improvements. PTC feedback on key project considerations and approaches are critical for the City Council to select the preferred alternatives. PROJECT DESCRIPTION The purpose of the Area Plan is to develop an integrated land use and transportation approach to guide new development in the 275.3-acre plan area along and adjacent to San Antonio Road. The Area Plan objectives include increased housing production, transportation and mobility improvements, outdoor space, commercial and retail nodes, infrastructure, and sustainability measures. The creation of this plan implements policies and programs of the City’s Comprehensive Plan and the 2023-2031 Housing Element (Housing Element). The Area Plan will establish policies, development standards, design guidelines, and the public infrastructure necessary to accelerate the envisioned growth and development. The Area Plan builds on other Item 2 Item 2 Staff Report     Packet Pg. 8     Item No. 2. Page 2 of 8 planning efforts, including the 2030 Comprehensive Plan, the 2022 Sustainability and Climate Action Plan, the Housing Element, the 2025 Safe Streets for All (SS4A) Safety Action Plan, and the 2026 Bicycle and Pedestrian Transportation Plan update (currently in process). BACKGROUND 1 PDAs are locally created to support regional goals set forth by the Association of Bay Area Governments (ABAG) and the Metropolitan Transportation Commission (MTC), as described in Plan Bay Area. Plan Bay Area outlines the Bay Area’s Regional Growth Framework, Regional Transportation Plan, and Sustainable Community Strategies through 2050 and beyond. Key goals of PDAs include encouraging and guiding growth around transit and connecting housing to jobs and areas of interest. 2 Architectural Review Board; Pedestrian and Bicycle Advisory Committee; and City/School Transportation Safety Committee in 2025. A Community Survey was conducted in October 2025, and the first Community Workshop was held on October 23, 2025. Pedestrian and Bicycle Advisory Committee (March 3, 2026) 1 September 18, 2023, City Council Meeting: https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=6489&dbid=0&repo=PaloAlto 2 September 10, 2025, Planning & Transportation Commission Meeting: https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=7671&dbid=0&repo=PaloAlto Item 2 Item 2 Staff Report     Packet Pg. 9     Item No. 2. Page 3 of 8 Human Relations Commission (March 17, 2026) Architectural Review Board (March 19, 2026) Parks and Recreation Commission (March 24, 2026) Planning and Transportation Commission (March 25, 2026) City/School Transportation Safety Committee (March 26, 2026) In addition, a community workshop was held on March 5, 2026, and an online survey is running from late February through March 2026. The feedback from these advisory bodies and the public will be presented to the City Council at a study session on April 6, 2026. ANALYSIS The development of land use and mobility alternatives is a critical step toward creation of an area plan. These alternatives explore differing priorities and tradeoffs, including housing and commercial mix, housing densities, building heights, outdoor spaces, retail, and bicycle and pedestrian facilities. Once preferred alternatives are selected, the Area Plan will have its high- level concepts in place which will be further developed in the draft plan. The Area Plan will ultimately include more granular policies, and development standards will be developed in later phases of the project. During the previous PTC study session on September 10, 2025, individual Commissioners indicated interest in seeing bicycle and pedestrian safety improvements, availability and need for additional right-of-way, the retention of existing jobs, increased building heights, increased residential units, consideration of school capacity and catchment areas (including safe routes), and a need to identify outdoor/community spaces including parks in the plan area. Commissioners also expressed concern about how the Area Plan will impact the current jobs/housing imbalance and how retail will be located within the plan area. These concepts are addressed in some of the alternatives provided. The PTC also encouraged close cooperation with neighboring jurisdictions, which is ongoing with both the City of Mountain View and the Valley Transportation Authority (VTA), and inquired about sea-level rise and climate change, areas which will be addressed in future phases of the Area Plan. Land Use For the land use alternatives, the project team has divided the 275.3-acre plan area into districts which could be seen as distinct development areas. Some of these areas are considered not likely to redevelop during the next 25 years, due to factors such as how recently the current property was developed, institutional uses, and disparate ownership. Other areas have a higher probability of redevelopment. Please refer to the map in Attachment A, Page 18, for the specific locations of these development areas. The development areas are: Primary Sub-Areas (High Development Potential Areas) Item 2 Item 2 Staff Report     Packet Pg. 10     Item No. 2. Page 4 of 8 The primary focus of the land use alternatives is on four high development potential areas listed below. These areas are considered most likely to change. The project team has created a series of options (or alternatives) to consider illustrated in Attachment A on pages 20-58. Central San Antonio – is generally the area along San Antonio Road between East Charleston Road and Byron Street, excluding the Greenhouse. This area includes several pipeline residential development projects, additional sites likely to redevelop (such as the Magnussen Toyota site at 690 San Antonio Road), and only a handful of sites unlikely to redevelop (such as the two recently constructed hotels at 744 and 750 San Antonio Road). Many properties contain one- to two-story commercial development. These are explored in pages 22-26 of Attachment A. South Fabian – The portion of Fabian Way on either side of Charleston Road, this area includes the Taube Koret Campus for Jewish Life, a private school, and some of the most recently constructed multi-family housing, none of which is likely to redevelop. However, there are several low-rise commercial spaces and surface parking lots which have high development potential. This area contains some pipeline residential development projects. These are explored in pages 27-31 of Attachment A. North Fabian – The portion of Fabian Way closest to U.S. 101; this area contains 2-3 story office buildings (including the Maxar Site at 3825 and 3875 Fabian Way) and a private school. While the school is unlikely to redevelop, the owner of the Maxar Site is currently seeking a buyer, with residential development likely to be considered as part of any redevelopment. These are explored in pages 32-39 of Attachment A. CTI – The area containing Commercial Street, Transport Street, and Industrial Avenue (CTI), bounded by San Antonio Road, U.S. 101, East Charleston Road, and the City’s border with Mountain View contains a number of small lot, one- to two-story commercial buildings. While there are no active development applications in this area, there is developer interest in consolidating lots in this area. A 16-acre mixed-use development is currently proposed in Mountain View adjacent to this area, and there is a unique opportunity to work across jurisdictions in developing a new neighborhood in this area. These are explored in pages 40-58 of Attachment A. East and West Bayshore – The area bounded by East Bayshore Road, San Antonio Road, and the Baylands Nature Preserve currently contains a number of low-rise office buildings and the HomeKey transitional housing site. Separated from the rest of the Plan Area by U.S. 101 and in close proximity to the Bay, this area is less desirable for increased residential development. The single parcel along West Bayshore Road Item 2 Item 2 Staff Report     Packet Pg. 11     Item No. 2. Page 5 of 8 adjacent to the U.S. 101 bike/ped bridge also currently has a commercial office use and is not well connected to the surrounding community. Alma – The portion of the Plan Area along Alma Street contains a small townhouse development and two faith-based organizations with larger parking lots. While state laws have made it easier to develop housing in proximity to Caltrain stations, this area is still considered less likely to redevelop, with the possible exception of the two faith- based sites. State law has also made development of 100% affordable housing projects easier on such sites, however, given the current scarcity in federal and state funds for affordable housing, local funds would likely be required to make projects on these sites feasible. Stability Areas (redevelopment not anticipated) There are also sub-areas within and adjacent to the plan area which are considered highly unlikely to redevelop due to factors such as lot size, ownership, and/or historic designation. See Sub Area Alternatives map on page 18 of Attachment A. Greenhouse – The Greenhouse (777 San Antonio Road) and the Greenhouse II (765 San Antonio Road) are a series of individually owned townhomes constructed in the 1970s. Green Meadow – Green Meadow is one of Palo Alto’s mid-century subdivisions designed by Joseph Eichler. While it is listed on the National Register, it is not a designated district on Palo Alto’s Inventory. Green Meadow is outside of the plan area, but within the Senate Bill 79 (2025) development area. South San Antonio – South San Antonio is generally the area along San Antonio Road between Byron Street and Nita Avenue. This area contains individually owned townhomes, low-rise apartment buildings, and private schools. Mobility The Area Plan will identify mobility strategies which support the land use alternatives. The Area Plan will reimagine the San Antonio Road corridor in order to accommodate multiple travel modes and support access to adjacent land uses. Key mobility concepts include pedestrian-first design, the creation of low-stress biking routes, first/last mile connections, parking and demand management, and smart corridor technology. These topics are explored in pages 71-86 of Attachment A. Additionally, some land use concepts proposed, such as small block sizes and paseos, also improve walkability/bikability. Mobility improvements will apply across the entire plan area, and presents multiple concepts for two focus locations described below. San Antonio Road (E. Charleston Road to Middlefield Road) – This segment currently includes an approximately 100+ foot public right-of-way (ROW), four travel lanes (two in each direction), a raised median, and on-street parking that transitions to turn lanes at intersections. Sidewalks are provided on both sides of the street. Bicycle travel is currently accommodated via Class III shared-lane markings (“sharrows”), where people bicycling and motor vehicles operate in the same travel lane – there are no dedicated Item 2 Item 2 Staff Report     Packet Pg. 12     Item No. 2. Page 6 of 8 on-street bicycle lanes or separate bicycle facilities on this segment. The alternatives presented in pages 92-99 of Attachment A provide three concepts to enhance pedestrian and bicycle facilities while maintaining existing general-purpose vehicle travel lanes along the City’s east-west truck route. E. Charleston Road (south of San Antonio Road) – This segment functions as a key connection to the City of Mountain View and currently provides pedestrian and bicycle accommodations along the corridor (e.g., sidewalks and bike lanes). The alternatives presented on pages 106-113 of Attachment A present two concepts to enhance pedestrian and bicycle facilities along this segment. Additional proposed improvements include intersection improvements (especially where San Antonio Road intersects with Middlefield and E. Charleston Roads and San Antonio Avenue intersects with Alma Street), connections to the San Antonio Caltrain station, and incorporating bike/ped facilities into improvements at the San Antonio Road/U.S. 101 interchange and future improvements in Mountain View. Staff is requesting feedback on which of the Area Plan alternatives are preferred, and which are not preferred. Additional feedback is welcome on other alternatives explored in Attachment A. This feedback will be provided to the City Council at a study session scheduled for April 6, 2026. Financial Analysis Attachment B provides additional context for some of these alternatives by describing the range of costs to provide public parks, paseos, and open spaces envisioned in the Maxar Site and CTI Sub-Area Plan Alternatives; the ability of housing and office development in the plan alternatives to fund parks based on current City requirements; policy tools for ensuring the public parks are built within the Maxar Site and CTI Sub-Area; and current and projected financial feasibility of housing and office products in the Plan Area. Financial analysis of transportation improvements is ongoing. Based on the ranges of park spaces and residential and commercial buildout included in the Area Plan alternatives for the Maxar Site and CTI Sub-Area, the City of Palo Alto’s existing Parks Impact Fee revenues and Parkland Dedication requirements are highly likely to provide sufficient resources to acquire and construct the alternatives’ public parks (inclusive of paseos and open spaces). Only the “low-end residential only” build out of the CTI sub-area fell short of generating sufficient revenue based on today’s fees and projected costs to provide high-end outdoor facilities (and this scenario would still generate enough funds to support some level of outdoor spaces). Preliminary analysis of the financial feasibility (from a developer’s perspective) reveals the projected success of development prototypes representing ownership townhomes, five-story midrise multifamily rental housing, eight-story multifamily rental housing, a five-story office building, and an eight-story office building. Item 2 Item 2 Staff Report     Packet Pg. 13     Item No. 2. Page 7 of 8 Under current conditions, the townhome prototype outperforms all other prototypes in the Plan Area. Townhomes are relatively inexpensive to build and sell for high prices in the Palo Alto market, including within the Plan Area, consistent with many other jurisdictions in the region. Both midrise rental housing and office development are likely to become financially feasible in the Plan Area, with the Plan Area especially well positioned to attract office development as market conditions improve. Palo Alto remains one of the region’s most desirable office markets (especially for Class A office space); although the Plan Area will remain a secondary location within the city, significant office development potential exists as achievable rents increase, financing costs decline, and the area benefits from the creation of an adjacent mixed-use office destination in Mountain View. NEXT STEPS Feedback from the PTC, other appointed boards, committees, and commissions, and the community (through the Community Advisory Group [CAG], community workshop, online survey, and other public outreach efforts) will be presented to the City Council at a study session scheduled for April 6, 2026. Based on Council feedback the project team will further develop land use and transportation alternatives, anticipated for Council consideration in June 2026. Once the City Council provides direction on a preferred land use and transportation alternative, the project team will next begin creating more detailed policies and standards which will return to the community and advisory bodies, likely in late 2026. POLICY IMPLICATIONS Several of the City’s 2030 Comprehensive Plan policies relate directly to the Area Plan. Policies L-1.10, L-2.2, L-2.3, L-2.4, L-2.6, L-2.11, L-2.12, and L-3.4 relate to growth management, sustainable communities, and neighborhood character. Policies L-4.5, L-4.16, and L-5.4 relate to commercial centers and employment districts. Policies L-6.6 and L-6.7 relate to the design of buildings and public space. Policies L-8.6, L-9.3, L-9.6, and L-9.7 relate to parks, streets, and public spaces. Additionally, the 2023-2031 Housing Element includes Program 6.6(C) calling for the City to prepare an area plan for the San Antonio Road Corridor and increase housing opportunities. The Housing Element also identifies 53 Housing Opportunity Sites within the Plan Area and emphasizes increasing housing in close proximity to the San Antonio Caltrain station. The City has also adopted a Housing Incentive Program (HIP) in 2019, which was updated in 2025, as a local alternative to encourage multi-family and mixed-use residential development. The HIP currently covers significant parts of the Plan Area. FISCAL/RESOURCE IMPACT Item 2 Item 2 Staff Report     Packet Pg. 14     Item No. 2. Page 8 of 8 The study session itself does not result in any fiscal nor resource impact; feedback from the PTC will be incorporated into the study session with City Council later this year. Through City Council consideration of land use and transportation alternatives, financial analysis will be refined to identify potential impacts from various policy decisions. STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS AUTHOR/TITLE: Item 2 Item 2 Staff Report     Packet Pg. 15     Task 4Plan Alternatives Memorandum Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 16     S A N A N T O N I O R O A D A R E A P L A N Table of Contents •Project Vision •Plan Alternatives: Objectives, Priorities and Process •Overall Design Strategy •Sub Area Alternatives •Primary Sub Area Alternatives •Evaluating Trade-Offs •Secondary Sub Area Alternatives •Mobility Alternatives •Mobility Strategies •San Antonio Road •E. Charleston Road •Fabian Way 04 07 12 17 73 84 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 17     S A N A N T O N I O R O A D A R E A P L A N 3 •Section Break •Green Slide •White Border •Defines different sections of the Alternatives memorandum. Deck Description •Strategy/Alternative •White Slide •Green Border •Describes design strategies, policies, and design alternatives. •Provides a high-level overview of concepts, trade-offs and related information. •Additional Information •White Slide •Orange Border •Describes details of design strategies and alternatives. •Provides additional information to inform decision making. Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 18     Project Vision Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 19     S A N A N T O N I O R O A D A R E A P L A N 5 Vision Statement (Draft) The vision for San Antonio Road is of a vibrant mixed-use corridor connecting walkable neighborhoods where people of all incomes can live, work, and thrive; where safe streets, transit, and green infrastructure can support shorter commutes, reliable transit, and climate resilience; and with a dynamic economy that attracts new businesses while sustaining local shops and services that define the community. Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 20     S A N A N T O N I O R O A D A R E A P L A N Overarching Goals of the Area Plan 6 A City-led initiative to create a 20-year vision with active community input, with results from 200+ survey respondents included ENHANCE ECONOMIC VITALITY Attract new businesses, strengthen Palo Alto’s economy, and preserve valued local businesses. Encourage residential and mixed-use development, with housing at all income levels, and access to well-designed public spaces and neighborhood services and retail. IMPROVE MOBILITY AND SAFETY Enhance streets, sidewalks, bike lanes, and transit connections for easier and safer travel for all users. SUPPORT SUSTAINABILITY Promote development with fewer, shorter commutes, integrate green infrastructure, increase tree canopy, and build resilience to climate change. CREATE A MORE LIVABLE COMMUNITY 78% support/ strongly support 90% support/ strongly support 82% support/ strongly support 73% support/ strongly support IMPROVE MOBILITY AND SAFETY Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 21     Plan Alternatives: Objectives, Priorities and Process Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 22     S A N A N T O N I O R O A D A R E A P L A N What will the Alternatives do? •Translate what we have heard from the community and decision-makers into physical interventions that support the project vision. •Test out land use and mobility design concepts to resolve identified issues in the Plan Area, shape future development, and explore how to deliver community benefits. •Inform feasibility analysis to ensure streamlined implementation on project completion. Alternatives: Objectives How will the Alternatives impact project outcomes and implementation? •Inform modifications to existing development standards to regulate future development. •Establish development incentives to get desired built form and community benefits while ensuring project feasibility. •Identify implementation strategies such as public-private partnership projects, mechanisms to create and maintain open space, etc. Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 23     S A N A N T O N I O R O A D A R E A P L A N Housing Priorities •Develop scenarios to illustrate increased residential capacity at all income levels. •Re-evaluate housing needs allocation capacity within the Plan Area. Alternatives: Priorities Retail Priorities •Focus on small-scale neighborhood-serving retail (not larger "destination retail"). •Explore retail models that are co-located with open spaces to create "third places". Office Priorities •Explore potential to increase office development to achieve community benefits like increased open space and more viable neighborhood serving retail. •Consider strategies to include small-scale office/ flex spaces. Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 24     S A N A N T O N I O R O A D A R E A P L A N Outdoor Space Priorities •Explore different sizes, configurations, and types of open spaces (larger outdoor space vs several smaller outdoor spaces). •Explore potential locations for aggregating open spaces and retail to create “third places” for community gathering. Alternatives: Priorities Mobility + Connectivity Priorities •Create mobility improvements for all users, focusing on a connected network in alignment with other City mobility initiatives. •Primary focus on San Antonio Road and key intersections. •Improve streetscape character and safety in primary change areas. •Improve pedestrian-bike access to Caltrain and consider strategies to increase transit access. Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 25     S A N A N T O N I O R O A D A R E A P L A N Establish “areas of stability” and “areas of change” within Plan Area. Overall Design Strategy and Priorities Land Use Priorities •Create new neighborhoods along Fabian Way and in the CTI area (area along Commercial St., Transport St., Industrial Ave.) •Focus open space, amenities in new neighborhoods •Create smaller, walkable blocks where possible •Infill San Antonio Road with residential Mobility Priorities •Improve ped/bike safety and walkability •Improve streetscape character and pedestrian experience through landscaping,tree canopy •Improve ped/bike experience at intersections •Improve connections to Caltrain, schools, and other amenities Explore focusing on the identified Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 26     Overall Design Strategy Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 27     S A N A N T O N I O R O A D A R E A P L A N 13 Overall Design Strategy Redevelop/infill existing low-density commercial with high-density residential to create new neighborhoods Create new open spaces and "third spaces" with neighborhood serving retail and amenities Improve transit service to community destinations and access to Caltrain Improve ped/bike experience, safety and connectivity on all streets and intersections Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 28     S A N A N T O N I O R O A D A R E A P L A N Design Strategy: Outdoor Space Goals •Improve access to parks, decrease distance to parks to under a 10-min walk throughout Plan Area •Improve ped-bike experience linking existing and new open spaces to new residential areas •Create new open spaces to serve existing and new residential neighborhoods (North Fabian and CTI sub areas) •Co-locate retail and services with new open spaces to create “third places” Alternatives explore: •Location, size, and number of open spaces •Method of creating open spaces Access to Parks Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 29     S A N A N T O N I O R O A D A R E A P L A N 15 ADD NEIGHBORHOOD SERVING PARK TO NORTH FABIAN SUB-AREA ADD DISTRICT SERVING PARK TO CTI SUB-AREA PROPOSED NEW PARK IN MOUNTAIN VIEW PROPOSED 101 INTERCHANGE PLAN IMPROVE ACCESS AND SAFETY AT INTERSECTIONS CONNECTING TO NEW AND EXISTING OPEN SPACES Design Strategy: Outdoor Space •Add new outdoor spaces as part of new development in North Fabian and CTI sub- areas •Improve ped-bike access to existing parks and new outdoor spaces •San Antonio Road becomes a key ped/bike connection with continuous tree canopy to create a pleasant experience connecting new residential areas to amenities and transit •Fabian Way becomes a key bike connection to the Baylands with separated bikeways Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 30     S A N A N T O N I O R O A D A R E A P L A N Design Strategy: Connectivity Focus on Corridors: Primary interventions will focus on the major street corridors: San Antonio Rd, E. Charleston Rd. and Middlefield Rd. Where possible, new connections will be made to increase walkability Block Size: Reduce block size to create more walkable and connected neighborhoods Improve connectivity by adding mid-block pedestrian paths/paseos in the following areas: •CTI Area: At least one connection from: San Antonio to Commercial; Commercial to Industrial; Industrial to MV Project •North Fabian Way: •One connection from Fabian Way to San Antonio Rd; •Add pedestrian walkway or new street connecting to Fabian Way per the Objective Design Standards (at least one ped connection every 300 feet) •San Antonio Road: Explore connection to Wyandotte Street •Caltrain access: Improve connections at Nita Avenue and coordinate with Google and Mountain View to improve connections to Caltrain Primary Connections Potential New Connections MV Proposed Project Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 31     Sub Area Alternatives Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 32     S A N A N T O N I O R O A D A R E A P L A N Based on anticipated redevelopment potential, “” are divided into sub-areas for exploring alternatives, that look at different , as well as and Each area is studied at a different level of detail depending on specific opportunities and challenges. Primary Sub-Areas •These areas have the greatest potential for redevelopment and can contribute to creating new neighborhood-serving amenities like outdoor space and retail •These include Secondary Sub-Areas •These areas have limited redevelopment potential in the near term. •These include “Areas of Stability“ •These include , areas that are 100% built-out with low redevelopment potential. •Parts of Green Meadow and South San Antonio are within SB 79’s impact area that allows higher density for projects meeting specific criteria. Utilization of SB 79, however, is likely very low, due to existing conditions in these areas. Sub Area Alternatives 18 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 33     S A N A N T O N I O R O A D A R E A P L A N Plan Area Development Analysis Primary Sub-Areas: Estimated Build-out of Alternatives •Central San Antonio + 1,300 to 2,400 units Residential - Up to 209,000 sf Non-residential •South Fabian + 600 to 1,100 units Residential - Up to 177,000 sf Non-residential •North Fabian +700 to 1,500 units Residential - Up to 485,000 sf Non-residential •CTI + 1,000 to 2,000 units Residential + 0 to ~900,000 sf New Office - Up to 499,000 sf Non-residential Total Plan Area Existing Condition: •802 units Residential •2,399,400 sf Non-residential •New Residential Development •New Class A Office/R+D Development (if allowed) + 0 to ~900,000 sf * •Net change in existing Office/R+D Up to -932,600 sf Net Loss *Individual scenarios predict maximum development potential if 50-100% of sites redevelop, with certain sites excluded due to use, ownership, or recent redevelopment. Palo Alto’s 2023-2031 Housing Element allocates a total of 1,559 new housing units to the Plan Area (26% of the citywide total).Even with scenarios which allow the largest amount of new office space, staff anticipates an overall net decrease in non-residential square footage due to redevelopment for residential and mixed-use projects. Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 34     S A N A N T O N I O R O A D A R E A P L A N 20 Methodology for Redevelopment/Growth Projections Assumptions •All build-out assumptions, such as density ranges, building prototypes, and replacement ratios for existing commercial uses, are based on recent pipeline projects and market demand in the Plan Area. •The assumptions try to show the maximum change/growth potential possible in the Plan Area. •The build-out scenarios and potential development numbers exclude the "no change" parcels identified within each subarea. •All office scenarios focus on improving the jobs-housing balance area across the Plan Area. •To understand the maximum redevelopment potential of commercial-only parcels, the reduction in commercial uses is factored at 100%, based on market trends of commercial-only parcels in the Plan Area being redeveloped as residential projects. •Up to 75 to 100% build-out scenarios have been considered for most alternatives. In CTI, a lower build-out (50-75%) has been considered for the no-office scenarios, since residential-only projects are less financially viable on smaller individual parcels, which is the prevailing condition in the CTI subarea. •Potential new housing development, excluding the Maxar site, is assumed to have mid-rise buildings with densities ranging from 90 du/ac to 135 du/ac depending on height. •The Area Plan expects 50,000 to 80,000 sf of new neighborhood-serving retail and commercial services such as restaurants, day care, grocery stores, pet care, salons, etc. to be developed in the Plan Area within new mixed-use buildings. •Within the CTI subarea, each alternative scenario assumes that, at a minimum,Palo Alto's jobs/housing policy for new development will be met. Across the Plan Area as a whole, new residential development will improve the jobs/housing balance. Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 35     S A N A N T O N I O R O A D A R E A P L A N 21 Analysis of Potential New Office/R+D Potential Non-Residential Loss Plan Area: •Potential loss of up to -932,600 sf of Office/R+D across the SARAP plan area o CTI area -240,000 sf o Maxar -485,000 sf o Other Areas -207,600 sf •Potential loss of up to -437,400 sf of other general commercial/non-residential across the SARAP plan area Potential New Class A Office/R+D Scenarios for CTI area Scenario 1 - Total 600,000 sf new Class A office/R+D in CTI area •360,000 sf net new Class A office/R+D in CTI (redevelop 240,000 sf of existing office/R+D) •-125,000 sf net loss office/R+D across the CTI and Maxar sites in full redevelopment scenario Scenario 2 - Total 750,000 sf new Class A office/R+D in CTI area •510,000 sf net new Class A office/R+D in CTI (redevelop 240,000 sf of existing office/R+D) •25,000 sf net gain office/R+D across the CTI and Maxar sites in full redevelopment scenario Total Plan Area Existing Condition: •802 units Residential •2,399,400 sf Non-residential •1,495,965 sf Office/R+D •903,435 sf Commercial •New Residential Development 3,800 to 7,400 units •New Class A Office/R+D Development (if allowed) 0 to ~900,000 sf * •Net change in existing Office/R+D Up to -932,600 sf Net Loss *includes upper end of new office/R+D considered in alternatives Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 36     S A N A N T O N I O R O A D A R E A P L A N 22 Palo Alto’s Policy on Jobs -Housing Balance Analysis of Potential New Office/R+D in CTI Subarea Current Jobs-Housing Ratio •The 2023-2031 Housing Element identifies a ratio of jobs to employed residents within the City. •2023 data shows a ratio of jobs per housing unit •Regional average is jobs to housing units. Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 37     Primary Sub Area Alternatives - Central San Antonio - South Fabian - North Fabian - CTI (Commercial St., Transport St., Industrial Ave.) Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 38     S A N A N T O N I O R O A D A R E A P L A N Within each primary sub area, there are a series of choices. These can relate to general site use (residential, commercial, mixed-use), residential densities, building heights, ground floor uses, and publicly accessible outdoor spaces. These can be mixed and matched. Central San Antonio •CSA-A1 and CSA-A2 are building height options •CSA-B1 and CSA-B2 are ground/lower floor use options South Fabian •SF-A1 and SF-A2 are building height options •SF-B1 and SF-B2 are ground/lower floor use options North Fabian •M-A1 and M-A2 are land use options (additional considerations included) •M-B1 and M-B2 are residential density options •M-C1, M-C2, and M-C3 are building height options “CTI” •CTI-A1 through CTI-A4 are outdoor space options •CTI-B1 through CTI-B4 are building height and land use options Selecting Alternatives 24 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 39     Primary Sub Area AlternativesCentral San Antonio Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 40     S A N A N T O N I O R O A D A R E A P L A N Central San Antonio Sub Area Existing Character •Low-density commercial •Two recently completed 5-story hotel projects •Several applications for 6-8 story midrise residential projects Future Development Potential •Transition to high-density mixed-use •8.7 acres of Housing Element Sites •Approx. 19 acres of potential future development •Several active pipeline projects Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 41     S A N A N T O N I O R O A D A R E A P L A N Central San Antonio Sub Area 27 Design Approach The strategy for this area to is continue to allow high-density residential projects. For larger sites or parcels that may be aggregated to be over ~3 acres there is a potential to require some publicly accessible outdoor space and neighborhood serving retail. Future Development Potential •Alt CSA-A1: 60 ft height limit (status quo) •No change to currently allowed height •Limits buildings to 5 stories, less feasible building type •Alt CSA-A2: 90 ft height limit •Maximizes mid-rise construction •Inline with current development applications •Improves project feasibility •Increases housing yield 824 San Antonio Height: 2 Stories 28 units: 56 du/ac 800+808 San Antonio Rd Height: 5 Stories 120 units: 135 du/ac 788 San Antonio Rd Height: 8 Stories 168 units: 169 du/ac 762 San Antonio Height: 7 Stories 197 units: 112 du/ac Sub Area Boundary Pipeline Projects Housing Element Sites Parcel Lines No Change Area Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 42     S A N A N T O N I O R O A D A R E A P L A N 824 San Antonio Height: 2 Stories 28 units: 56 du/ac 800+808 San Antonio Rd Height: 5 Stories 120 units: 135 du/ac 788 San Antonio Rd Height: 8 Stories 168 units: 169 du/ac 762 San Antonio Height: 7 Stories 197 units: 112 du/ac Central San Antonio Sub Area 28 Other Considerations •Ground floor retail allowed, not required •Lower floor land use alternatives •Alt CSA-B1 - Restrict all commercial office uses •Alt CSA-B2 - Allow limited commercial office uses on the ground floor focused on professional services •Outdoor Space •Consider small plaza/park requirement on larger sites (Toyota site) •Connectivity •Consider requiring ped/bike path connection to Wyandotte Street •Improve intersections and ped/bike facilities (see mobility section for alternatives) •Require wider sidewalks Potential Connection Potential Plaza/Park Sub Area Boundary Pipeline Projects Housing Element Sites Parcel Lines No Change Area Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 43     S A N A N T O N I O R O A D A R E A P L A N 29 Central San Antonio ALT CSA-A1 Residential 60 ft height limit ALT CSA-A2 Residential 90 ft height limit Build-Out Up to 75%-100%Up to 75%-100% Assumed Average Density 90 du/ac 135 du/ac Residential Units 0 existing units Up to 1,300 to 1,800 new units 0 existing units Up to 1,800 to 2,400 new units Commercial Uses 449,000 sf existing up to 209,000 sf loss of commercial uses 449,000 sf existing up to 209,000 sf loss of commercial uses Total Parcel Area 21.3 acres HE Sites* Parcel Area 8.7 acres Existing Building Area 449,000 sf 449,000 sf Land Use Alternatives (includes pipeline projects): Existing Condition (does not include pipeline projects) : Sub Area Boundary Pipeline Projects Housing Element Sites Parcel Lines No Change Area*Palo Alto’s 2023-2031 Housing Element allocates a total of 1,559 new housing units to the Plan Area (26% of the total citywide) Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 44     Primary Sub Area AlternativesSouth Fabian Way Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 45     S A N A N T O N I O R O A D A R E A P L A N South Fabian Sub Area Existing Character •Mix of low-scale office buildings •Jewish Community Center/Moldaw Residences •Apartments and podium townhomes north of JCC •Insufficient bike facilities •Narrow sidewalks and insufficient street trees on Fabian Way south of E. Charleston Rd Future Development Potential •6 acres of Housing Element Sites •Approx. 10 acres of potential future development •2 pipeline projects include an office-to-private school conversion and a 7-story mid-rise residential project •The area has seen other applications for mid-rise residential projects Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 46     S A N A N T O N I O R O A D A R E A P L A N South Fabian Sub Area Design Approach Due to the small parcel sizes in this sub-area, the recommended strategy is to allow incremental redevelopment on a parcel-by-parcel basis. Height/Density Alternatives •Alt SF-A1: 60 ft height limit (status quo) •No change to currently allowed height •Limits buildings to 5 stories, less feasible building type •Alt SF-A2: 90 ft height limit •Maximizes mid-rise construction •Improves project feasibility •Increases housing yield 3950 Fabian Way Private School Conversion Height: 2 Stories 3977 Fabian Way Height: 7 Stories 295 units: 135 du/ac Sub Area Boundary Pipeline Projects Housing Element Sites Parcel Lines No Change Area Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 47     S A N A N T O N I O R O A D A R E A P L A N South Fabian Sub Area Other Considerations Land Use •Ground floor retail: allowed, not required •Lower floor land use alternatives •Alt SF-B1: Restrict all commercial/office uses •Alt SF-B2: Allow limited commercial office uses on lower floors (ground and 2nd floor) focused on professional services •Require wider sidewalks and street trees •Improve intersections and ped/bike facilities (see mobility section for alternatives) 33 3950 Fabian Way Private School Conversion Height: 2 Stories 3977 Fabian Way Height: 7 Stories 295 units: 135 du/ac Sub Area Boundary Pipeline Projects Housing Element Sites Parcel Lines No Change Area Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 48     S A N A N T O N I O R O A D A R E A P L A N 34 South Fabian Sub Area Alternatives ALT SF-A1 Residential 60 ft height limit ALT SF-A2 Residential 90 ft height limit Build-Out Up to 75%-100%Up to 75%-100% Assumed Average Density 90 du/ac 135 du/ac Residential Units 384 existing units Up to 600 to 800 new units 384 existing units Up to 800 to 1,100 new units Commercial Uses 177,000 sf existing up to 177,000 sf loss of commercial 177,000 sf existing up to 177,000 sf loss of commercial Total Parcel Area 24.3 acres HE Sites* Parcel Area 6 acres Existing Building Area 754,800 sf Existing Commercial Area 177,000 sf Commercial area includes 33,000 sf of private schools, estimated 120,000 sf of office, and some automotive uses Land Use Alternatives (includes pipeline projects): Existing Condition(does not include pipeline projects) : Sub Area Boundary Pipeline Projects Housing Element Sites Parcel Lines No Change Area*Palo Alto’s 2023-2031 Housing Element allocates a total of 1,559 new housing units to the Plan Area (26% of the total citywide) Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 49     Primary Sub Area AlternativesNorth Fabian Way Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 50     S A N A N T O N I O R O A D A R E A P L A N North Fabian Sub Area Existing Character •Large Maxar industrial facility •Office buildings that have been converted into private school facilities •Inadequate bike facilities and traffic calming to serve new uses Future Development Potential •Transition to high-density mixed-use •Approx. 35 acres of potential future development sites Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 51     S A N A N T O N I O R O A D A R E A P L A N North Fabian Sub Area Land Use Strategies •Integrate residential uses •Create new outdoor areas to serve existing and new residents in the area •Improve ped/bike access and safety •Create a plan for the future of the Maxar Site •Connect to bike path at US-101 interchange, for ped/bike access to CTI and North Bayshore •Allow for a mix of residential densities; townhouses and apartment buildings •Estimated yield: 900 to 1,400 units •Create publicly accessible parks and outdoor spaces •Create walkable block structure connecting to Fabian Way North Fabian: Maxar Site (See Alts) North Fabian: Other Sites •Maintain allowed land uses •Allow up to 60 or 90 ft with rear setback requirements 37 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 52     S A N A N T O N I O R O A D A R E A P L A N 24.5 acres Maxar Site Alternatives •Land Use Area •Alt M-A1: Allow residential throughout site area •Alt M-A2: Prioritize Flex/Incubator/Research + Development/Office space on eastern section of Plan Area along US-101 •Approximately 5-6 acres •Allows for up to 20-acre residential master plan project Other Considerations •Urban Design •Require publicly accessible internal streets •New ped/bike connection from Fabian Way to proposed US-101 interchange path •Create new and/or improved intersections along Fabian Way to access new development •Outdoor Space •Require new parks and outdoor spaces to be built on-site •Require new parks and outdoor spaces to be publicly accessible •Retail •Require a minimum amount of retail space to serve new residents •Require a minimum of amount of “retail ready” space (convertible to retail/food + beverage) •Allow but no minimum retail requirement, allow a 100% residential project Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 53     S A N A N T O N I O R O A D A R E A P L A N Maxar Site Alternatives Minimum Gross Density for Residential Projects •Alt M-B1: 40 du/ac (status quo - allow some townhouses @ 18-22 du/ac net density) •Would allow for approx. 200 for-sale 2-3 story townhouses •Alt M-B2: 60 du/ac (no building type with less than 30 du/ac net density) •Would likely push development of more 3-8 story rental apartment buildings •Would push for-sale component into denser “townhouse over podium” building type Height •Alt M-C1: Allow up to 60 feet (status quo) •Alt M-C2: Allow up to 90 feet (maximize mid-rise constructure type) •Alt M-C3: Allow high-rises, up to 160-250 feet •Unlikely to be financially feasible but provides flexibility •Extra height could be tied to additional outdoor space Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 54     S A N A N T O N I O R O A D A R E A P L A N 40 Maxar Site: Potential Site Configurations 5-6 ac 3 ac 1.5 ac2 ac2 ac 1 ac 0.5 ac 0.5 ac Concept A Concept B Concept C Concept D •One big park, one small park •Parks face Fabian Way •Higher density to the west •Lower density to the east •Flex/incubator space along US-101 •One big park, one small park •Big park faces Fabian Way •Higher density residential along San Antonio Rd and US-101 ramp •Two parks of similar size •Lower density residential along San Antonio Rd and US-101 ramp •One larger park These site concepts are for and represent potential configurations of land uses based on the strategies and alternatives presented in previous slides, final designs will be developed through the typical development application and design review process. Ped-bike Connection to San Antonio High Density Housing Retail/Services Low Density For Sale Housing Outdoor Space Flex/Incubator Space Legend Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 55     S A N A N T O N I O R O A D A R E A P L A N Maxar Site Alternatives Analysis Maxar Site and Alternatives Summary •Site area = 24.5 acres •Parks/outdoor space estimate: 2-5 acres •Streets estimate: 3.5 - 4.5 acres •Developable Area: 17-19 acres •Development @ 40 du/ac: •24.5 acres @ 40 du/ac = 980 units (gross) •17-19 acres @ 40 du/ac = 680-760 units (net) •Development @ 60 du/ac: •24.5 acres @ 60 du/ac = 1,470 units (gross) •17-19 acres @ 60 du/ac = 1,020 - 1,140 units (net) Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 56     S A N A N T O N I O R O A D A R E A P L A N Maxar Site Alternatives 24.5 acresALT M-B1 Residential 60 ft height limit ALT M-B2 Residential 90 ft height limit Build-Out Up to 75%-100%Up to 75%-100% Assumed Average Density 40 du/ac 60 du/ac Residential Units 0 existing units Up to 700 to 1,000 new units 0 existing units Up to 1,000 to 1,500 new units Commercial Uses 683,000 sf existing up to 485,000 sf loss of commercial 683,000 sf existing up to 485,000 sf loss of commercial Total Parcel Area 34.6 acres HE Sites* Parcel Area 0 acres Existing Building Area 683,000 sf Existing Commercial Area 683,000 sf Land Use Alternatives (includes pipeline projects): Existing Condition (does not include pipeline projects) : *Palo Alto’s 2023-2031 Housing Element allocates a total of 1,559 new housing units to the Plan Area (26% of the total citywide) 42 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 57     Primary Sub Area AlternativesCTI Area Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 58     S A N A N T O N I O R O A D A R E A P L A N CTI Sub Area 44 Existing Character •Low-density office and industrial buildings in small buildings •Parcel sizes are small •Single property owner has aggregated a number of parcels but they are non-contiguous Future Development Potential •Transition to high-density mixed-use •7.2 acres of Housing Element Sites •Approx. 25.8 acres of potential future development sites Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 59     S A N A N T O N I O R O A D A R E A P L A N CTI Sub Area Alternatives Design Approach The strategy for this area to is create a cohesive and complete neighborhood over time with new outdoor spaces and neighborhood-serving retail. Just south of the CTI Sub Area, in Mountain View, a developer is proposing a project with 488,000 sf of office and 476 units on the shopping center site. Design Opportunities •Create new park/plaza/outdoor space for residential uses •Create opportunity for retail/services/food + beverage •Connect to MV development •Improve ped/bike connections to San Antonio •Improve streets and increase tree canopy Sub Area Boundary Pipeline Projects Housing Element Sites Parcel Lines MV Proposed Project PROPOSED US-101 INTERCHANGE PLAN Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 60     S A N A N T O N I O R O A D A R E A P L A N SITE ANALYSIS 46 Fire Access How do streets provide for fire access to mid-rise buildings? Flooding How do projects integrate with public realm considering higher ground floor than sidewalks? Ped/Bike Infrastructure E. Charleston facilities inadequate for higher-density development Street Design Provide for wider sidewalks and increased tree canopy US-101 Buffer Provide for landscape buffer US-101 Interchange Plan Ped/Bike connection to US-101 interchange: multi-use path DEVELOPABLE AREA 25.8 acres HE SITES* 7.2 acres Proposed Project in MV •10.4 Acres Total Parcel Area •488,100 sf Office •476 Residential Units •28,500 sf of Commercial •~1.7 acres of Open Space Outdoor Space Provide publicly access outdoor space(s) for new development Total Existing Building Area : 528,800 sf *Palo Alto’s 2023-2031 Housing Element allocates a total of 1,559 new housing units to the Plan Area (26% of the total citywide) Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 61     S A N A N T O N I O R O A D A R E A P L A N 47 MV Proposed Project Street connection to Transport Ave Neighborhood connection to open spaces and retail Bike infrastructure improvements on E. Charleston Road Connection to ped/bike improvements on US-101 interchange Mobility Strategies Improve intersection Create a walkable block structure with pedestrian pathways Increase sidewalk widths and tree canopy Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 62     S A N A N T O N I O R O A D A R E A P L A N Street Design Goals •Improve pedestrian experience •Improve bike safety and comfort on E. Charleston •Increase tree canopy •Create transition area from sidewalk grade to building ground floor heights (need to be 3-8 ft above sidewalk level to meet FEMA standards) •Design streets to meet Fire Department aerial access standards to avoid on-site driveways for firefighting access (to increase unit yield and development feasibility) Pr o p e r t y L i n e Ex i s t i n g C u r b Pr o p e r t y L i n e Pr o p e r t y L i n e Ex i s t i n g C u r b Pr o p e r t y L i n e Pr o p e r t y L i n e Ex i s t i n g C u r b Pr o p e r t y L i n e East Charleston Rd (alternatives described in Mobility Section) Internal Streets (additional study needed in plan development) Existing Condition Existing Condition Alt 1 Alt 1 Alt 2 Alt 2 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 63     S A N A N T O N I O R O A D A R E A P L A N Outdoor Space Considerations 49 ? •Size and amount of outdoor space? •Types of spaces? •Location priorities? •Connections to local ped/bike improvements? •Character of new outdoor space(s)? ? MV Project Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 64     S A N A N T O N I O R O A D A R E A P L A N Challenges to Creating New Outdoor Spaces 50 Small Parcels New outdoor spaces and pedestrian connections will require coordination across parcels DEVELOPABLE AREA 25.8 acres HE SITES 7.2 acres Proposed Project in MV (1 parcel) •10.4 Acres Total Parcel Area •488,100 sf Office •476 Units •28,500 sf of Commercial •~1.7 acres of Open Space Challenges •Parcels are small with multiple owners; ownership aggregation is distributed where it occurs •Small parcels are less feasible for residential development •Wider front setbacks are needed to improved sidewalks and increase tree canopy Opportunities •Allow higher value land uses (office) in exchange for creating new outdoor spaces •Distribute new outdoor spaces evenly across all parcels (require front yard “mini parks” on all parcels through requiring larger setbacks and access easements Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 65     S A N A N T O N I O R O A D A R E A P L A N 51 Outdoor Space Strategies and Alternatives KEY ISSUES •Visibility and Activation Fronting E. Charleston Road or along an interior street? •Amount of Open Space 1-3 acres of parks/plaza plus pedestrian pathways •Size and Distribution •One large park or distributed open spaces? •What is the minimum size… For the largest park? To be considered a park? •Concentrated on a few parcels or distributed as expanded setbacks on most parcels? Alt CTI-A4. Linear Parks on Expanded Setbacks Alt CTI-A2. Internal Park/PlazaAlt CTI-A1. Plaza/Park on E. Charleston Road Alt CTI-A3. One Large Park Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 66     S A N A N T O N I O R O A D A R E A P L A N Potential Outdoor Space Types 52 Small Park Mini Park Plaza Less than 0.25 acre Pocket Park Linear Greenway (widened setback) 0.25 to 0.5 acre 0.25 to 0.75 acre~ 1 acre Size varies with length Size varies with length~ 2 acre Neighborhood Park South Park San Francisco, CA Landsby North Mountain View, CA Santana Row San Jose, CA 6th Ave Park Seattle, WA Landsby North Mountain View, CA Johnson Park Palo Alto, CA Mews / Pedestrian Pathways Mission Bay San Francisco, CA Strongly supported by community Strongly supported by community Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 67     S A N A N T O N I O R O A D A R E A P L A N 53 Alt CTI -A1 | Location: Along E. Charleston Rd. KEY CONSIDERATIONS •High retail visibility and activation supports retail fronting outdoor space by maximizing visibility from Charleston •Better access and connection to potential bike facility along E. Charleston Road •More accessible to a wide range of users (transit users, cyclists, pedestrians) instead of just neighborhood residents •Adds public space to the public realm of a major corridor; complements streetscape investments •Traffic on E. Charleston could impact user comfort; noise and pollution from major street could impact usability of open space Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 68     S A N A N T O N I O R O A D A R E A P L A N 54 Alt CTI -A2 | Location: Interior to Neighborhood KEY CONSIDERATIONS •Retail visibility less from E. Charleston, could impact viability (retail could be added on street leading to open space to address this issue) •Better residential integration serving as an amenity focused on residents and more neighborhood oriented •Reduced noise and safety concerns supports comfort and safety for passive recreation and children’s activities Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 69     S A N A N T O N I O R O A D A R E A P L A N 55 Alt CTI -A3 | Configuration: Large Central Park KEY CONSIDERATIONS •Feasibility. A large outdoor space would require maximum parcel aggregation and additional height or higher-value land uses such as office to “pay” for the larger, consolidated outdoor space. This configuration is likely hardest to achieve. •Size. A 2-acre park may be very difficult to achieve in one location. If one larger outdoor space if preferred, the size may need to be evaluated for feasibility. •Programming of uses. A larger outdoor space allows for a wider variety of program elements, activities, and increased greenery/ landscaping. •Reduced noise and safety concerns. Supports comfort and safety for passive recreation, children’s activities, as well as community events. Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 70     S A N A N T O N I O R O A D A R E A P L A N 56 Alt CTI -A4 | Configuration: Linear Parks and Plaza KEY POINTS •High visibility and activation. Supports retail fronting outdoor space by maximizing visibility from E. Charleston •Integrated over time. Each landowner on certain streets would dedicate a widened setback to create parklets. •Usability. Narrower open space will limit program options and planting/landscape density but may improve retail and street activation. •Adds public open space to a major corridor; complements streetscape investments •Traffic on E. Charleston could impact user comfort; noise and pollution could impact usability of open space Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 71     S A N A N T O N I O R O A D A R E A P L A N •Support relocation of HE sites adjacent to US-101 to parcels closer to E. Charleston •Support parcel aggregation to implement outdoor space and connectivity goals •Explore allowing higher value office development to improve residential feasibility and implement outdoor space and connectivity goals Development Strategies 57 Small Parcel Sizes Support parcel aggregation to make project more feasible and implement open space goals HE Sites Relocate HE sites away from freeway Proposed Mixed-Use Office and Residential Project in MV 10.4 Acres One Parcel: Former Shopping Center DEVELOPABLE AREA 25.8 acres HE SITES 7.2 acres Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 72     S A N A N T O N I O R O A D A R E A P L A N 58 Land Use Alternatives (1/2) Alt CTI-B2: Allow Residential up to 90 feet •Estimated growth: •Allows developers to maximize mid- rise building type, providing more flexibility and financial feasibility. Alt CTI-B1: Allow Residential up to 60 feet •Estimated growth: •Maintain existing height limits •Limits residential and residential mixed-use buildings to 5 stories Alternative Summary 1.Residential up to 60 feet (5 stories); and existing allowed uses. 2.Residential up to 90 feet (8 stories); and existing allowed uses 3.Residential and Office up to 90 feet; and existing allowed uses. (Relocate HE sites) 4.Residential up to 160-250 feet and Office up to 135 feet; and existing allowed uses. (Relocate HE sites) ResidentialMixed Use with Retail Housing Element Sites Potential Open SpacePotential Connection ResidentialMixed Use with Retail Housing Element Sites Potential Open SpacePotential Connection Land use designation of parcels for illustrative purposes, to be considered in the policy development phase of the Area Plan Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 73     S A N A N T O N I O R O A D A R E A P L A N 59 Land Use Alternatives (2/2) Alt CTI-B4: Allow Office and Residential high-rise (160- 250 ft residential/135 ft office) •Estimated growth: 1500 units; 750,000 sf office/R+D (Net new 510,000 sf of office/R+D assuming 75% of parcels redevelop; no more than 150,000 sf net increase between North Fabian and CTI) •Jobs/housing balance is met in the CTI Area. •High-rise building types could reduce office parcel area and allow for more residential parcel area and outdoor space. Alt CTI-B3: Allow Office and Residential up to 90 feet (8 story residential/5-story office) •Estimated growth: 1,200 units; 600,000 sf office/R+D (Net new 360,000 sf of office/R+D assuming 75% of parcels redevelop; no net increase between North Fabian and CTI) •Jobs/housing balance is met in the CTI Area. •Restricts office development to 5 stories, allowing more height for office could reduce office footprint for same amount of floor area. Relocate Housing Element Sites.Benefits to allowing office: •Move HE sites from US-101 adjacent parcels to internal parcels •Office development can help fund land area for parks and other community benefits •Office and Residential Mixed- use will better support retail and services •Office development may offset cost and improve feasibility for residential projects if developed by same company Residential (No Office)Mixed Use with Retail Housing Element Sites Potential Open SpacePotential Connection Office Allowed Residential (No Office)Mixed Use with Retail Housing Element Sites Potential Open SpacePotential Connection Office Allowed Relocate Housing Element Sites. Land use designation of parcels for illustrative purposes, to be considered in the policy development phase of the Area Plan Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 74     S A N A N T O N I O R O A D A R E A P L A N 60 Context: School Map Goals/Strategies •Create a safe ped/bike connection along Charleston Rd with Intersection improvements at San Antonio Rd. •Create a safe ped/bike route along San Antonio Rd Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 75     S A N A N T O N I O R O A D A R E A P L A N 61 CTI Land Use Alternatives Scenario Alt CTI-B1 60 ft height limit (No Office) Alt CTI-B2 90 ft height limit (No Office) Alt CTI-B3 90 ft height limit (Office Allowed ) Alt CTI-B4 135 ft height limit (Office Allowed ) Estimated Build-Out Up to 50%-75%Up to 50%-75%Up to 75%-100%Up to 75%-100% Residential Units Up to 1,000 to 1,500 new units Up to 1,300 to 1,900 new units Up to 1,100 to 1,500 new units Up to 1,500 to 2,000 new units Office/R+D 0 sf 0 sf 600,000 sf (new) 360,000 sf (net new in CTI) 750,000 sf (new) 510,000 sf (net new in CTI) Notes Less build-out is expected since residential alone is less financially profitable. Less build-out is expected since residential alone is less financially profitable. Palo Alto’s job-to-housing ratio policy can be maintained within the CTI area up to 750,000 sf of new office if a minimum of 1,500 units are built. Palo Alto’s job-to-housing ratio policy can be maintained within the CTI area up to 900,000 sf of new office if a minimum of 1,900 units are built. Total Parcel Area 25.8 acres HE Sites* Parcel Area 7.2 acres Existing Building Area 528,800 sf Existing Commercial Area 528,800 sf The commercial area includes an estimated 240,000 sf of office space, 288,800 sf of retail, and light industrial uses. Land Use Alternatives: Existing Condition (does not include pipeline projects) : *Palo Alto’s 2023-2031 Housing Element allocates a total of 1,559 new housing units to the Plan Area (26% of the total citywide) Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 76     Evaluating Trade-Offs Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 77     S A N A N T O N I O R O A D A R E A P L A N 63 Height/Density Trade -offs 60 ft Height Limit (status quo)90 ft Height Limit 160-250 ft Residential Limit* Allows up to (mid-rise "4 over 1" typology) Allows up to (mid-rise "5 over 3" typology) Allows a (high-rise construction typology) •“Fits” in better with adjacent lower scale buildings, more compatible building form and scale. •However, any project may use State Density bonuses to increase density/height up to 8 stories by providing affordable units on-site. •Most feasible building type - maximizes buildout for mid-rise construction typology. •Can yield a •Potentially because construction and land costs are distributed across a larger number of units. •Increases opportunities for •Provides by allowing up to three podium levels, limiting need to go below-grade. •Provides maximum number of new housing units (assuming projects are feasible and get built). •Provides to developer. •Potentially less feasible building type in high-value areas because it limits number of units. •Potentially more expensive units because of higher per unit costs. •To maximize units, is likely needed, which further drives up costs per unit and limits project feasibility. •Need to regulate built form for scale and height transitions to adjacent smaller-scale buildings. •Less feasible building type (at least in near-term) because of significant increase in costs per square foot for high-rise construction technology. Projects begin to become feasible around 14 stories in height (9 to 14-story not very feasible) Building Type Pros Cons *final height limit would be set in next stage of Area Plan with Council feedback Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 78     S A N A N T O N I O R O A D A R E A P L A N Housing Density + Typical Typologies 64 3-Story Townhouse 18-22 du/ac 4-Story Stacked Flats 20-30 du/ac 60 ft (5 story) Midrise 100-135 du/ac 90 ft (7-8 story) Midrise 135-200 du/ac 170 ft (16 story) Zoning range may be up to 250 feet High-rise 200-400 du/ac Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 79     S A N A N T O N I O R O A D A R E A P L A N 65 Land Use Trade-Offs in CTI Allowing New Office Along with Residential for New Mixed-Use Projects Restricting New Office, Allowing Only Residential/Residential Mixed-Use Office is the most desirable use in Palo Alto from a developer perspective. By allowing a mixed-use project to include office in addition to residential, the feasibility of a project increases, and offers an opportunity to negotiate the provision of community benefits such as outdoor space. High-density residential and residential mixed-use projects (residential above ground floor commercial) face feasibility challenges in high-value markets such as Palo Alto. Feasibility is further impacted if projects are required to provide community benefits like outdoor space, new connections on private property, etc. Possible outcomes of allowing office: -Improve project feasibility, ensuring that redevelopment happens in the near future. -Deliver residential units sooner as part of redevelopment. -Provide more space for parks/plazas/outdoor space. -Provide more space for new connections (using private property) -Provide other community benefits such as streetscape improvements. Possible outcomes of restricting office: -Redevelopment would likely take longer. -Larger residential projects may not develop without a corresponding higher-value product (office or townhomes). -Lower feasibility would likely mean smaller-scale development on scattered parcels without lot consolidation. -Incremental development without lot consolidation is unlikely to produce community benefits such as parks/plazas,infrastructure improvements. Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 80     S A N A N T O N I O R O A D A R E A P L A N 66 Statistical Analysis OF Alternatives: 20 -Year Build -Out EXISTING CHANGE ALTERNATIVES BUILDOUT TOTAL EXISTING + NEW SUB AREA EXISTING COMMERCIAL BUILDING AREA EXISTING RESIDENTIAL UNITS COMMERCIAL NET CHANGE RESIDENTIAL NET CHANGE LOWER DENSITY (75% to 100% buildout) 90 du/ac HIGHER DENSITY (75% to 100% buildout) 135 du/ac HIGHER DENSITY + OFFICE RESIDENTIAL COMMERCIAL EAST BAYSHORE 414,000 sf 0 units N/A N/A N/A N/A N/A N/A 414,000 sf to 517,500 sf WEST BAYSHORE 35,000 sf 0 units 0 100 to 200 units 100 to 200 units N/A 35,000 sf 100 to 200 units 35,000 sf to 44,000 sf NORTH FABIAN 683,000 sf 0 units -485,000 sf 700 to 1,500 units 700 to 1,000 units 1,000 to 1,500 units N/A 700 to 1,500 units 198,000 sf to 247,500 sf SOUTH FABIAN 177,000 sf 384 units -177,000 sf 600 to 1,100 units 600 to 800 units 800 to 1,100 units N/A 1,000 to 1,500 units 0 CTI 528,800 sf 0 units +371,000 sf to -499,000 sf 1,000 to 2,000 units 1,000 to 1,500 units 1,500 to 2,000 units 2,000 units + 900,000 sf office 1,000 to 2,000 units 0 sf to 900,000 sf CENTRAL SA 449,000 sf 0 units -209,000 sf 1,300 to 2,400 units 1,300 to 1,800 units 1800 to 2,400 units N/A 1,300 to 2,400 units 240,000 sf to 300,000 sf SOUTH SA 99,000 sf 125 units 0 0 0 units 0 units N/A 125 units 99,000 sf to 124,000 sf GREENHOUSE 0 sf 228 units 0 0 0 units 0 units N/A 228 units 0 ALMA 13,600 sf 65 units 0 100 to 200 units 100 to 120 units 120 to 200 units N/A 165 to 265 units 13,600 sf TOTAL 2,399,400 sf 802 units -500,000 sf to -1,370,000 sf 3,800 to 7,400 units 3,800 to 5,420 units 5,220 to 7,200 units Up to 935,000 sf 4,600 to 8,200 units 999,600 sf to 2,146,600 sf Note: Palo Alto’s 2023-2031 Housing Element allocates a total of 1,559 new housing units to the Plan Area (26% of the total citywide) Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 81     S A N A N T O N I O R O A D A R E A P L A N 67 Summary of City’s Housing Initiatives Recent City initiatives to stimulate housing production •Housing Element (2023-2031) has identified 53 opportunity sites in the Plan Area. •Housing Element allocates 1,559 new housing units to the Plan Area (26% of total citywide allocation) •GM and ROLM-zoned districts within Plan Area designated as Focus Areas. •City’s Housing Incentive Program (HIP) applies to a portion of the Plan Area. Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 82     Secondary Sub Area Alternatives - East Bayshore - West Bayshore - Alma Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 83     S A N A N T O N I O R O A D A R E A P L A N Secondary Opportunity Areas East Bayshore •Alt EB-1: Low-density commercial office (status quo) •Alt EB-2: High-density commercial office •Alt EB-3: Mixed-use; allow residential (alternative removed) West Bayshore (HE Site) •Alt WB-1: Allow residential and keep as HE Site (status quo) •Alt WB-2: Restrict residential, move the HE site to within North Fabian or South Fabian Areas Alma •SB 79 will allow residential on these parcels up to 65/75 feet in height with a minimum density of 30 du/ac Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 84     S A N A N T O N I O R O A D A R E A P L A N 70 East Bayshore ALT EB-1 Low-density commercial office (status quo) ALT EB-2 High-density commercial office Build-Out No change Up to 75%-100% F.A.R.0.4 FAR Allow Higher FAR Commercial Uses 414,000 sf existing No new commercial 414,000 sf existing Up to 103,500 sf of net new commercial Total Parcel Area 37.5 acres HE Sites* Parcel Area 0 acres Existing Building Area 414,000 sf 414,000 sf Land Use Alternatives (includes pipeline projects): Existing Condition (does not include pipeline projects) : *Palo Alto’s 2023-2031 Housing Element allocates a total of 1,559 new housing units to the Plan Area (26% of the total citywide) Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 85     S A N A N T O N I O R O A D A R E A P L A N 71 West Bayshore ALT WB-1 Allow residential and keep as HE Site (status quo) ALT WB-2 Restrict residential, move the HE Site. Build-Out Up to 75%-100%No Change Density / Office F.A.R 90 du/ac 0.4 FAR Residential Units Up to 100 to 200 new units 0 new units Commercial Uses 35,000 sf existing up to 35,000 sf loss of commercial 35,000 sf existing No net new commercial Total Parcel Area 2.1 acres HE Sites* Parcel Area 2.1 acres Existing Building Area 35,000 sf Existing Commercial Area 35,000 sf Land Use Alternatives (includes pipeline projects): Existing Condition(does not include pipeline projects) : *Palo Alto’s 2023-2031 Housing Element allocates a total of 1,559 new housing units to the Plan Area (26% of the total citywide) Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 86     S A N A N T O N I O R O A D A R E A P L A N SB 79: Alma and parcels within ½-mile radius of Caltrain •Typical Lot: Single-family Eichler House on 8,000 sf lot (5.5 du/ac) with a home value from $3-4 million •SB 79 would allow redevelopment of a parcel up to heights/density outlined below; 30 du/ac minimum density is required (6 units on typical parcel size) •Outside of religious facility sites, redevelopment under SB 79 is not likely due to existing home values •SB 79: ¼ Mile Radius •Up to 75 ft; 120 du/ac •SB 79: ½ Mile Radius •Up to 65 ft; 100 du/ac ¼ Mile Radius ½ Mile Radius Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 87     Mobility Alternatives Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 88     S A N A N T O N I O R O A D A R E A P L A N Mobility Context – Overview POOR WALK/BIKE CONNECTIVITY There are disconnected bike lanes, narrow sidewalks, wide arterials that create barriers to walking and biking. HIGH TRAFFIC VOLUMES The corridor experiences heavy traffic and truck volumes with congestion throughout the day. AUTO-ORIENTED DESIGN The area has wide roads, low-density land use, and development that prioritizes automobiles. Despite proximity to bus stops and Caltrain, there is poor integration with transit, limiting alternatives to driving. Coordination with Mountain View and Caltrain, as well as other partners (e.g., Google, private developers) will be necessary to advance projects across boundaries. INTERAGENCY COORDINATION NEEDS LACK OF TRANSIT INTEGRATION Characteristics of the existing transportation and circulation environment 74 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 89     S A N A N T O N I O R O A D A R E A P L A N Mobility Context – What We Heard •Build on and coordinate with prior and current planning and design efforts •2026 Bicycle and Pedestrian Transportation Plan •South Palo Alto Bike/Ped Connectivity Project •US-101 Interchange Project •Fabian Way South Palo Alto Bikeways Demonstration Project •Prioritize safe connections to schools, parks, retail, and transit •Improve connections across San Antonio Rd at Nita Ave, Middlefield Rd, and Charleston Rd •Enhance connection to San Antonio Caltrain Station •Create comfortable walking and biking experience along and across San Antonio Road •Provide separated bikeway or multi-use path •Consider increase in vehicle and truck traffic related to new development in Mountain View and Palo Alto Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 90     S A N A N T O N I O R O A D A R E A P L A N Mobility Context – Walking, School Routes 76 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 91     S A N A N T O N I O R O A D A R E A P L A N Mobility Context – Biking 77 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 92     S A N A N T O N I O R O A D A R E A P L A N Mobility Context – Transit, Parking 78 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 93     S A N A N T O N I O R O A D A R E A P L A N Mobility Context – Safety 79 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 94     S A N A N T O N I O R O A D A R E A P L A N 80 Special Set Back •Special setbacks along several streets in the Plan Area are shown here for reference. Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 95     S A N A N T O N I O R O A D A R E A P L A N 81 2026 BPTP Complete Vision Network 2026 BPTP Recommendations •Class I shared use path along San Antonio Road from E. Charleston Road to Terminal Boulevard/Baylands Nature Preserve •Class IV separated bikeways on •San Antonio Road between Alma Street and Charleston Road (SB_20) •Middlefield Road within City limits •Charleston Road within City limits •Alma Street from Meadow Drive to San Antonio Avenue •Fabian Way from Meadow Drive to Charleston Road (SB_23) •Class IIIb bicycle boulevard on Mackay Drive •Intersection improvements at Charleston Rd (Int_07) and Middlefield Rd (Int_12) •San Antonio Road Area is identified as a Pedestrian Priority Area Mobility Context – Projects, Plans, and Policies Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 96     S A N A N T O N I O R O A D A R E A P L A N 82 Mobility Context – Projects, Plans, and Policies •T-3.5. When constructing or modifying roadways, plan for use of the roadway by all users •T-3.6. Consider pedestrians, bicyclists, e-bikes and motorcycles when designing road surfaces, curbs, crossings, signage, landscaping and sight lines •Create a culture and climate of systemic safety by addressing the key risk factors and barriers to safety, including: •Making design, maintenance and operations decisions that prioritize safety •Commit to support areas zoned for increased density and infill development with transportation facilities and improvements to enable safer multi-modal transportation for present and future road users •T-3.14. Continue to prioritize the safety of school children in street modification projects that affect school travel routes, including during construction Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 97     S A N A N T O N I O R O A D A R E A P L A N 83 Prior and Current Planning and Design Efforts US 101 Interchange Improvements – San Antonio Road Fabian Way Protected Bike Lanes Charleston/San Antonio Road Intersection Design Potential future ped/bike connection Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 98     Mobility Strategies Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 99     S A N A N T O N I O R O A D A R E A P L A N Reimagine the corridor as a multimodal spine that balances mobility with placemaking 85 Mobility Strategies to Support Land Use Alternatives PARKING AND DEMAND MANAGEMENT Apply strategies to reduce travel demand and organize allocation of curb space to improve access and efficiency. PEDESTRIAN-FIRST DESIGN Prioritize comfortable, accessible, and inviting streets that encourage walking and biking (while recognizing San Antonio as a regional corridor and truck route. LOW-STRESS BIKING ROUTES Provide high quality bikeways that meet the needs of people of all ages and abilities. Integrate walking, biking, shuttles, and shared mobility to create a seamless journey from doorstep to destination. SMART CORRIDOR TECHNOLOGY Use real-time data, adaptive signals, and digital tools to optimize traffic flow and enhance multimodal safety. FIRST/LAST MILE CONNECTIONS Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 100     S A N A N T O N I O R O A D A R E A P L A N Create comfortable, accessible, and vibrant environments where walking is the most convenient and enjoyable mode of travel. Pedestrian-First Design short blocks Implement 2026 BPTP Pedestrian Design Guidelines and increase walkability with short block lengths and paseos 86 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 101     S A N A N T O N I O R O A D A R E A P L A N Low -Stress Biking Infrastructure Provide high-quality bikeways that meet the needs of people of all ages and abilities. Class IV Separated Bikeway Protected Intersection Class I Shared Use Path Implement 2026 BPTP recommendations and applicable countermeasures from the Safety Action Plan Appendix E 87 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 102     S A N A N T O N I O R O A D A R E A P L A N Types of Bikeways Source: Caltrans, Toward an Active California, State Bicycle and Pedestrian Plan, 2017. Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 103     S A N A N T O N I O R O A D A R E A P L A N First/Last Mile Connections - Overview Integrate walking, biking, shuttles, and shared mobility to create a seamless journey from doorstep to destination. Shuttles Short-distance, fixed-route, circulator-style trips or flexible, responsive, and sustainable transport to bridge the first/last mile. Mobility Hubs A place where multiple transportation modes are cohesively and conveniently located to provide an integrated suite of mobility services and amenities. Shared Micromobility Any shared small, low-speed, human- or electric-powered transportation device, including bicycles, scooters, electric-assist bicycles, electric scooters (e-scooters), and other small, lightweight, wheeled conveyances. Wayfinding Use of signs, maps, and other visual cues to help people navigate through an area. Effective wayfinding systems improve accessibility and user experience. 89 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 104     S A N A N T O N I O R O A D A R E A P L A N First/Last Mile Connections - Mobility Hubs A place where multiple transportation modes are cohesively and conveniently located to provide an integrated suite of mobility services and amenities. Features Rendering of Mobility Hub Source: mtc.ca.gov/planning/transportation/mobility-hubs •Real-time transit information •Shuttle service •Pick-up/drop-off zone •Electric vehicle charging •Vehicle parking •Enhanced crossings •Low-stress bicycle routes •Bicycle racks •Covered bike storage/lockers •Shared micromobility •Transit shelter •San Antonio Rd/Charleston Rd •San Antonio Rd/Middlefield Rd •San Antonio Caltrain Station Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 105     S A N A N T O N I O R O A D A R E A P L A N Organize allocation of curb space for vehicles, deliveries, and shared mobility to improve access and efficiency. Parking and Demand Management - Curbspace Prioritize and accommodate various curb functions depending on curb needs in different contexts. Access for Goods Space for deliveries, used for short periods of time. Access for People Active space for transit boardings, passenger loading, and shared mobility services. Public Space and Services Space for use by people and public services, such as parklets, landscaped areas, and fire hydrants. Storage for Vehicles Curb lane is intended to be used for the storage of vehicles or bicycles for established time periods, such that it is unavailable for other purposes. Movement Curb lane is used for the movement of vehicles or active transportation modes and is unavailable for other purposes. 91 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 106     S A N A N T O N I O R O A D A R E A P L A N Implement strategies intended to reduce travel demand, shift trips to more sustainable modes, and improve the efficiency of the mobility network. Parking and Demand Management -Transportation Options Provide Bicycle Parking and Repair Stations Provide designated, secure and convenient areas for bike parking and bike maintenance and repair. Improve Walking/Biking Access Include streetscape improvements that make it easy and comfortable to walk and bike. Incorporate Shared Vehicle Services and Bike Fleets Provide car-share parking and bike fleets on-site and offer subsidized car- share memberships. Create Supportive Mix of Land Use Incorporate a mix of residential, commercial, and institutional land uses and increase the density of uses. Integrate Communications and Information Provide real-time transit information and wayfinding signage. Apply transportation demand management strategies to make sure that new development is designed to make it easier for tenants, residents, employees, and visitors to get around using sustainable modes. 92 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 107     S A N A N T O N I O R O A D A R E A P L A N Smart Corridor Technology Keep Cycles Short Transit Signal Priority & Leading Bike/Ped Intervals & Extended Time to Cross Signal interconnectivity and coordination Time to Intended Speed Adjust by Time of Day Real-time traffic management 93 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 108     Mobility AlternativesSan Antonio Road Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 109     S A N A N T O N I O R O A D A R E A P L A N San Antonio Rd Priorities A. East of Charleston Rd o Enhance connection to and across US-101 o Create connection through to Fabian Way o Coordinate with VTA US-101 Interchange Project and Google o BPTP Recommendation: Class IV - Separated Bikeways; Class I - Shared Use Path north of Bayshore Road o Provide comfortable walking and biking facilities o Enhance connections across San Antonio Rd o Maintain capacity for vehicle and truck traffic o Coordinate with landowners and developers o BPTP Recommendation: Class IV - Separated Bikeways o Caltrain Station connection o Nita Avenue crossing improvements o San Antonio Avenue enhancements o Coordinate with Mountain View, Caltrain, and Google o BPTP Recommendation: Class IV – New Separated Bikeway on San Antonio Avenue and new Class IV – New Separated Bikeway on San Antonio Road from overcrossing to Middlefield A B C 95 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 110     S A N A N T O N I O R O A D A R E A P L A N San Antonio Intersection Improvements D. Charleston Rd Intersection o Create protected intersection o Remove side street with diagonal parking, extend pedestrian zone o Modify lane geometry, consider removing dual left turn lanes to provide median refuge o Explore grade separated crossing o Create protected intersection o Consolidate existing driveway access o Modify lane geometry, o remove westbound right turn lane, o consider removing dual left turn lanes to provide median refuge o Explore grade separated crossing o Extend existing bike lanes through the intersection o Enhance connection to bike boulevard on Mackay Dr D E F 96 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 111     S A N A N T O N I O R O A D A R E A P L A N A. East of Charleston Rd 97 San Antonio Road with planned US 101 Interchange Improvements that include bike path over 101 •Class I multi-use path or Class IV separated bikeway along San Antonio from Charleston to US-101 interchange ped/bike overpass •Ped/bike connection across San Antonio Road and through to Fabian Way to access destinations north of CTI Area Google Streetview images of San Antonio Road at US 101 SB Off Ramp, facing east 8 – 12 ft As Space Allows Expand sidewalk to create a 8-12 ft wide multi-use ped/bike path on San Antonio Rd Connect San Antonio Interchange Bike Path to Fabian Way and Transport St Expand sidewalk to create a 8-12 ft wide multi-use ped/bike path on San Antonio Rd Planned US 101 Interchange Improvements Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 112     S A N A N T O N I O R O A D A R E A P L A N D. Potential Grade -Separated Crossing 98 Would require 9% ramp or ~ 300 feet for 5% 175 ft Would require 30-40 feet setback Spiral ramp requires 100 ft x 100 ft dimension, roughly the size of the gas station property Potential two-way shared-use path Potential two-way shared-use path Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 113     S A N A N T O N I O R O A D A R E A P L A N 99 •Heart of the Central San Antonio sub area (mixed-use change area) •Currently designated a high-stress street for biking •Experiences truck traffic and congestion throughout the day •2026 BPTP recommends prioritizing intersection improvements at Charleston Rd and Middlefield Rd •2026 BPTP recommends Class IV separated bikeways on each side of the street B. Charleston Rd to Middlefield Rd - Existing 24’24’ Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 114     S A N A N T O N I O R O A D A R E A P L A N 100 Context: Charleston Rd to Middlefield Rd - Existing •Utilities/Infrastructure Challenges •Potential Pinch-Points •Unique Situations Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 115     S A N A N T O N I O R O A D A R E A P L A N 101 B. Charleston Rd to Middlefield Rd - Alternatives Existing Condition 24’24’24’24’ 24’24’24’24’ Alt MSA-2 Alt MSA-3 Alt MSA-1 Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 116     S A N A N T O N I O R O A D A R E A P L A N 102 Category Existing ALT MSA-1 Separated Bikeway, Wider Sidewalks ALT MSA-2 Shared Use Path (north) + Bikeway (south) ALT MSA-3 Two Way Bikeway Both Sides Bike Facility Type Class III (shared lane)Class IV Class I shared use path north + Class IV south Class IV two way (both sides) Curb to Curb Width 76.5 ft 76.5 ft 76.5 ft 55.5 ft (moves curbs, removes existing trees) ROW Required 100.5 ft (Existing)100.5 ft 110.5 ft 105.5 ft Additional Easements NA No change 10 ft (7ft on north side)5ft (2.5ft each side) Bicycle Facility Width NA 7 ft 12 ft two-way shared use path (north) + 7 ft bikeway (south)10 ft two-way path (each side) Sidewalk Width 5 ft 5-8 ft 5-8 ft 8 ft On-Street Parking 8 ft; No Change Removed (101 spaces)Removed on south side (40 spaces total removed)Removed (101 spaces) Considerations • No change •Separated, low stress bicycle and pedestrian facility •Improved safety for bicyclists and pedestrians crossing at intersections •No curb moves •Space for placemaking •High comfort two-way path on north side •Improved safety for bicyclists and pedestrians crossing at intersections •Some parking retained •Space for placemaking •Highest comfort for bicycles and pedestrians •Improved safety for bicyclists and pedestrians crossing at intersections •Space for placemaking Constraints • No change •Intersection turn consolidation •Removal of parking •Intersection turn consolidation •Minor parking impacts •Large ROW needs (10ft), requires coordination with properties on west side •Impact to tree at pinch point near Greenhouse residences •Complete reconstruction of curb to curb required and considerations related to utilities and stormwater infrastructure •Removal of parking •Impact to tree at pinch point near Greenhouse residences •Taller buildings require reduced distances to fire apparatus Consistent with 2026 BPTP Recommendations NA •Yes •Partially •Yes B. Charleston Rd to Middlefield Rd – Alternatives MatrixItem 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 117     S A N A N T O N I O R O A D A R E A P L A N B. Charleston Rd to Middlefield Rd – Alt MSA-1 •Separated bikeway with wide sidewalks and no parking on both sides •Meets 2026 BPTP •Considerations o Separated and low stress bicycle and pedestrian facilities on both sides, but does not fully mitigate traffic conflicts along this truck route o Curbs and median remain in place o Widening sidewalks would require 3' right-of-way within the special setback o All parking removed 24’24’ Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 118     S A N A N T O N I O R O A D A R E A P L A N •Shared use path and parking on north side with separated bike facility, wider sidewalks, and no parking on the south side •Equivalent to 2026 BPTP o Modifies 2026 BPTP Class IV separated bikeway to high comfort Class I shared-use path on north side o Low-stress bicycle facilities on both sides o Curbs and median remain in place, some parking retained o Requires right-of-way or easements within the special setback (7' north,3' south with sidewalk widening) B. Charleston Rd to Middlefield Rd – Alt MSA-2 24’24’ Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 119     S A N A N T O N I O R O A D A R E A P L A N Alt MSA-2: Multi-Use Path on North Side Expand sidewalk to create 8-12 ft wide multi-use ped/bike path Maintain street trees Existing trees may create pinch points 10 – 12 ft As Space Allows •Work with adjacent property owners to expand existing sidewalk into a two-way multi-use path •Maintain as many existing trees as possible •Pinch-points may be unavoidable without moving infrastructure or removing some trees Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 120     S A N A N T O N I O R O A D A R E A P L A N •Exceeds 2026 BPTP with Class IV two-way bikeways on both sides of the street separated from sidewalks •Considerations o High comfort bicycle and pedestrian facilities providing two- way separated travel for people walking and biking o Removes parking on both sides o Impacts tree near Greenhouse residences o Requires relocation of all existing street trees o 20 feet on each side of the street for pedestrian and bike facilities •Potential Trade-Offs o Requires reconstruction of curbs to narrow roadway, median remains o Requires right-of-way within special setback on both sides o Requires relocation of significant utilities and infrastructure B. Charleston Rd to Middlefield Rd – Alt MSA-3 24’24’ 24’24’ Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 121     S A N A N T O N I O R O A D A R E A P L A N C. West of Middlefield Rd 107 •Enhance connections to the Caltrain Station •Provide low-stress bikeway on San Antonio Ave •Extend and connect bike path to Caltrain Station •Create high visibility pedestrian and bike crossing markings •Coordinate with Mountain View, Alphabet, and Caltrain to provide Mobility Hub at/near the Caltrain Station •Enhance bike/ped crossings at Nita Ave to connect to Mackay Dr Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 122     S A N A N T O N I O R O A D A R E A P L A N C. West of Middlefield Rd (+ San Antonio Ave) 108 Convert turn lane to separated bikeway along San Antonio Rd and transition to San Antonio Ave at Byron St Remove left turn from Byron St to San Antonio Ave Provide low-stress bikeway and lighting enhancements along San Antonio Ave from Byron St to Alma St •Existing cross-section varies from 30' to 40' •Implementing separated bikeway (2026 BPTP recommendation)would require removal of on-street parking and landscaping strip •Provide pedestrian-scale lighting •Provide low-stress bikeway, consider o Shared use path (Class I) o Bike boulevard with traffic calming (Class III) Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 123     S A N A N T O N I O R O A D A R E A P L A N San Antonio Rd Connection to Caltrain 109 Enhance connection from Mackay Dr across San Antonio Rd to existing bike lanes on Mayfield Ave Explore opportunities to improve connection through existing underpass •Partner with Mountain View and Alphabet to strengthen existing connections to Caltrain o Enhance connection from Mackay Dr across San Antonio Rd to Nita Ave/Mayfield Ave o Explore opportunities to improve connections through existing underpass o Simplify San Antonio Ave / Briarwood Way intersection Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 124     S A N A N T O N I O R O A D A R E A P L A N Alma Street and Connection to Caltrain 110 Widen existing sidewalk to shared use path on west side of Alma St from San Antonio Ave to Caltrain station Reduce curb radii and add bike crossing markings connecting to new shared use path on west side of Alma St Construct separated bikeway on east side of Alma St Widen existing sidewalk to shared use path on west side of Alma St from San Antonio Ave to Caltrain station Reduce curb radii and add bike crossing markings connecting to new shared use path on west side of Alma St Construct separated bikeway on east side of Alma St Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 125     S A N A N T O N I O R O A D A R E A P L A N 111 Alma Street (existing conditions) Widen existing sidewalk to shared use path on west side of Alma St from San Antonio Ave to Caltrain station Reduce curb radii and add bike crossing markings connecting to new shared use path on west side of Alma St Construct separated bikeway on east side of Alma St Utilize existing landscaping strip to construct separated bikeway on east side of Alma St •2026 BPTP recommends separated bikeway along Alma St from San Antonio Ave to Meadow Dr •Limited driveway conflicts along east side •Landscaping strip is approx. 15' wide •Coordinate with Caltrain and Mountain View to enhance existing connection from San Antonio Ave to Caltrain station Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 126     S A N A N T O N I O R O A D A R E A P L A N 112 Alma Street •Provide low-stress bikeway on Alma Street •Create high visibility pedestrian and bike crossing markings •Implement signal timing strategies to manage vehicle speeds along the corridor •Keep cycles short •Provide leading intervals for walk/bike •Time signals to intended speeds •Adjust timing plans by time of day •Coordinate with Mountain View, Google, and Caltrain to provide Mobility Hub at/near the Caltrain Station Keep Cycles Short Time to Intended Speed Adjust by Time of Day Leading Pedestrian Intervals Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 127     Mobility Improvements E. Charleston Road Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 128     S A N A N T O N I O R O A D A R E A P L A N Charleston Road Strategy 114 Fabian to SA SA to MV SA/Charleston Intersection •Improve ped/bike facilities on E. Charleston Road •Improve intersection safety •Connect to proposed ped/bike facilities on San Antonio Road Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 129     S A N A N T O N I O R O A D A R E A P L A N 115 Intersection : E. Charleston Rd and San Antonio Rd Goals: •Improve pedestrian/bike movements across the intersection •Integrate preferred alternatives for San Antonio Road and Charleston Road •Protected intersection •Reduce crossing distance •Reconfigure diagonal parking to ped/bike facilities •Grade separated crossing (limited touchdown area on south side) Approved Project Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 130     S A N A N T O N I O R O A D A R E A P L A N 116 Charleston Rd: San Antonio Road to Mountain View Proposed Improvements •Improve neighborhood connections to Mountain View •Improve pedestrian and bike infrastructure on Charleston Road •Connect to proposed US- 101 bikeway interchange Bike Infrastructure Setbacks required for new bike infrastructure on Charleston Street Design Provide for wider sidewalks and increased tree canopy 101 Interchange Plan B Ped/bike connection to US-101 interchange multiuse path Neighborhood connection to open spaces and retail Bike infrastructure improvements on E. Charleston Road Block Size Create pedestrian pathways at least one every 800 feet Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 131     S A N A N T O N I O R O A D A R E A P L A N 10 ft. Setback Pr o p e r t y L i n e Ex i s t i n g C u r b Pr o p e r t y L i n e 117 Charleston Road South of San Antonio (facing south) Existing Typical Section Bike lanes too narrow Sidewalk too narrow for high density development Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 132     S A N A N T O N I O R O A D A R E A P L A N 118 ALT MCH -1: STREET SECTION E. Charleston Road south of San Antonio (section shown facing south) Exiting 10 ft. Setback Preferred 15 to 17 ft. Setback Pr o p e r t y L i n e Ex i s t i n g C u r b Pr o p e r t y L i n e •Goals: •Create safe and comfortable bike connection to and across San Antonio Road •Connected new development in CTI and Mountain View to other amenities •Alternative Concept: •Create 14 feet wide multi-use path on north side of E.Charleston Road •Keep existing curbs •Expand existing setback by 5 to 7 feet Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 133     S A N A N T O N I O R O A D A R E A P L A N 119 ALT MCH -2: STREET SECTION E. Charleston Road south of San Antonio (section shown facing south) Pr o p e r t y L i n e Exiting 10 ft. Setback Ex i s t i n g C u r b Preferred 15 to 17 ft. Setback Pr o p e r t y L i n e Curb moved by 6 ft. •Goals: •Create safe and comfortable bike connection to and across San Antonio Road •Connected new development in CTI and Mountain View to other amenities •Alternative Concept: •Increase curb-to-curb dimension to widen bike lanes from 5 feet wide to 8 feet wide •Increase sidewalk width •Expand existing setback by 5 to 7 feet Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 134     S A N A N T O N I O R O A D A R E A P L A N Charleston Rd: Fabian Way to San Antonio Road •Reconfigure the Fabian Way - San Antonio Road intersection to improve safety and circulation •Calm turning movements with a raised crosswalk on Fabian Way •Remove diagonal parking spaces to support a safer, more efficient intersection layout •Create space for placemaking elements, micromobility parking, and enhanced bus stop amenities Alt MCH-B1 Proposed Section Existing Section Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 135     S A N A N T O N I O R O A D A R E A P L A N 121 Traffic Volumes for E. Charleston to Fabian Way AM Peak Hour PM Peak Hour Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 136     Mobility Improvements Fabian Way Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 137     S A N A N T O N I O R O A D A R E A P L A N Fabian Way •Address Fabian Way planned improvements •Address potential future needs with residential land use at Maxar Site •Address pick-up drop-off at JCC and private schools •Address potential to add traffic signal at Federation Way and/or other locations Future Residential Development JCC Gym/ Afterschool Program Federation Way Fa b i a n W a y Potential Ped/Bike Path Fa b i a n W a y Private School Private School Potential new intersections Potential new traffic signal Protected intersection Item 2 ​​Attachment A - San Antonio Road Area Plan Land Use and Transportation Alternatives     Packet Pg. 138     2991 SHATTUCK AVE, #203 | BERKELEY, CA. 94705 | P: 510.647.5291| STRATEGICECONOMICS.COM MEMORANDUM To: Robert Cain, Principal Planner, City of Palo Alto From: Derek Braun, Principal T.J. McKiernan, Associate Date: March 17, 2026 Project: San Antonio Road Area Plan Subject: Funding Approaches and Opportunities for Public Parks, Paseos, and Open Space Strategic Economics evaluated the capacity and means of potential development in the San Antonio Road Area Plan’s “Plan Alternatives” to provide land and fund construction of new public parks, paseos, and open spaces (collectively referred to as “parks” throughout this memorandum). The Plan Alternatives being considered by the City of Palo Alto include variations in the intensity and types of uses accommodated in the Plan Area. The Plan Alternatives also include varying quantities of parks to support the Plan Area’s gradual transformation into a set of cohesive mixed-use neighborhoods and employment centers. The Plan Alternatives identify the “CTI Sub Area” and the “Maxar Site” (in the North Fabian Sub Area) as being two of the most significant areas of potential change, with each consisting of approximately 25 acres of potential future development sites. Analysis of development scenarios and building prototypes for the two areas informed this memorandum’s findings regarding: 1) whether the development described in the alternatives would generate sufficient parkland dedication and Parks Impact Fee revenues to construct envisioned parks, 2) tools the City of Palo Alto can use to secure sufficient land for the parks, and 3) the ability of housing and office development to provide parks funding based on their financial performance under current and future development conditions. Following this introduction, the remainder of the memorandum includes the sections described below: • Study Geographies and Development Scenarios (page 4): Defines the land use scenarios analyzed to reflect the Maxar Site and CTI Sub Area Plan Alternatives. • Public Parks Costs and Funding (page 4): Compares the cost to provide parks in the scenarios with the contributions of land and funding that would be generated by development in the scenarios, based on current City of Palo Alto parkland dedication and Park Impact Fee requirements. • Park Delivery Tools (page 7): Describes tools the City of Palo Alto can potentially use to acquire land for parks in the Plan Area, depending on the magnitude and pace of development proposals. • Residential and Office Development Conditions (page 9): Describes residential and office development “prototypes,” their applicability to the study geographies, and their current and potential future financial performance under varying market and development conditions. The Appendix provides additional detailed tables that describe key assumptions, calculations, and outputs of the analyses. Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 139     March 17, 2026 Study Geographies and Development Scenarios Development scenarios for the Maxar Site and CTI Sub Area were prepared based on Plan Alternative buildout information provided by Raimi + Associates. The scenarios are not indicative of active planning applications in the City of Palo Alto. They are preliminary buildout scenarios used to evaluate the feasibility of park development in each subarea. The Plan Alternatives included 2 to 4.5 acres of park space at the Maxar Site and one to three acres at the CTI Sub Area. Figure 1 shows the quantities of park space included in each scenario to determine park land costs and funding contributions. Numbers in the scenario names vary based on park space in the scenarios, while letters in the scenario names vary based on differences in development intensity and uses. This analysis only evaluated residential development scenarios at the Maxar Site, although the site could include a smaller commercial component. The scenarios for the Maxar Site, which is a large single-owner parcel, include a mix of townhomes and multifamily housing units. All analyses assumed that townhomes are an ownership housing product while multifamily apartments are a rental housing product. The CTI Sub Area includes two scenarios of entirely residential development and two scenarios of residential and office development. FIGURE 1: DEVELOPMENT SCENARIOS BY GEOGRAPHY AND PARK SPACE REQUIREMENT Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 140     March 17, 2026 Public Parks Costs and Funding The following findings examine whether the City of Palo Alto’s existing park land dedication and funding requirements would cover the costs of providing parks included in the Plan Alternatives. The findings describe costs to provide parks in the Scenarios, identify required park land and funding contributions from development in the Scenarios, and discuss the adequacy of current parks funding mechanisms. The analysis used park construction cost estimates (based on the City of Palo Alto’s most recent Park Impact Fee nexus study), recent property sales, and a construction cost inflation index to calculate the cost of land acquisition and park construction on the Maxar site and in the CTI subarea. The notes below Figure 2 describe the sources and methodology used to prepare these estimates. As shown in Figure 3, these cost estimates reflect the low- and high-end park development cost estimates as applied to the varying quantities of park acres included in the Land Use Alternative and Development Scenarios. The estimates described in this memo are intended to inform general policy-level consideration of mechanisms for funding parks included in the Plan Alternatives. Although these estimates are based on reliable local sources and data, the actual cost to acquire land and construct a park will always vary based on unique circumstances. FIGURE 2: PARK DEVELOPMENT COST ESTIMATES (2026 DOLLARS) cost per acre. (b) Strategic Economics calculated the low-end park development cost by adjusting the City's previous park development cost estimates (from 2019) for inflation. The adjustment was based on the California Construction Cost Index (published by the California Department of General Services and based on the Engineering News Record Building Cost Index). Although this index reflects changing construction costs, it is also used to increase the City’s park impact fees. As such, it is appropriate to use this index to conduct a fee-based estimation of the total cost of park development. The original estimates appear in the City of Palo Alto’s “Supplement to the Development Impact Fee Justification Study,” 2019. (c) Strategic Economics calculated the high-end total open space development cost based on land values reflecting the average of five industrial property sales that occurred in the San Antonio Road Specific Plan Area from 2024 to 2026 (these sales are shown in Figure 14; all other costs reflect inflation-adjusted costs from the City of Palo Alto’s 2019 park development cost estimates described above. Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 141     March 17, 2026 FIGURE 3: ESTIMATED PARK LAND ACQUISITION/CONTRIBUTION VALUE AND PARK DEVELOPMENT COST FOR THE MAXAR SITE AND CTI SUB AREA Scenarios (a) uniformly assume that the overall average cost of these spaces match the typical cost of developing a park in Palo Alto. The next step of the analysis compared the estimated park development costs to the total developer contributions to park space and funding required under current City of Palo Alto requirements. The main assumptions of each buildout scenario were shown in Figure 1. • The requirement only applies to residential projects that require a subdivision or parcel map, which typically includes multiunit ownership housing developments such as single-family homes, townhomes, and condominiums. Therefore, the requirement applies to the ownership townhome component of the Maxar site’s development scenarios. As of 2025, the Parkland Dedication requirement specifies that subdivisions resulting in more than 50 parcels must provide land at a rate of 531 square feet per unit for single family homes and 366 square feet per unit for multi-family homes; otherwise, an in-lieu fee may be paid. • The requires that multifamily developments pay $44.20 per square foot and commercial projects pay $19,076.43 per 1,000 square feet, as of August 2025. The Park Impact Fee only applies to projects not subject to the Parkland Dedication requirement. For purposes of the analysis, the multifamily housing units at the Maxar Site and CTI Sub Area were assumed to be rental projects that must pay the Park Impact Fee. Figure 4 compares the cost of providing parks in the scenarios (based on land value and park construction cost) versus the value of land dedication and Park Impact Fee payments required of development in the scenarios. As shown, the land and fee contributions in the scenarios with 4.5 acres of parks fall short of meeting the full cost of developing the parks. The results for all scenarios assumed that the new housing development is exempt from paying approximately $13.5 million in park impact fees due to credits for existing commercial development on the site. Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 142     March 17, 2026 FIGURE 4: TOTAL MAXAR SITE PARK DEVELOPMENT COST AND REQUIRED DEVELOPER CONTRIBUTIONS UNDER EXISTING CITY POLICIES (a) The development scenarios under the two-acre park alternative are required to dedicate approximately three acres of park space each. Under the Parkland Dedication policy, they would pay an in-lieu fee for the remaining undedicated park acreage; however, this chart assumes that the two-acre park contribution fully satisfies the dedication requirement, and no additional in-lieu fee revenue is shown (i.e., only the Park Impact Fee contributions are shown). The analysis assumed that townhomes in the “A” scenarios provide parkland dedication meeting single-family home requirements, while the higher-density “podium” townhomes in the “B” scenarios meet multi-family dedication requirements. Source: City of Palo Alto, 2025; Strategic Economics, 2026. As shown in Figure 5, the Park Impact Fees generated under the one-acre park alternative scenarios for the CTI Sub Area are at least three times higher than the park development cost due to the small park size compared to the total housing units developed. The three- acre park alternative scenarios include fewer housing units, decreasing the total Park Impact Fees collected compared to the one-acre alternative while also requiring three times the cost in land acquisition and construction to build the park. However, the only CTI Sub Area scenario for which Park Impact Fees are inadequate to cover the cost of park development is the least intensive “Scenario 4A,” which includes the lowest number of housing units—implicitly corresponding to five-story multifamily residential development—and three acres of parks and paseos. The scenarios that fail to meet park land and funding requirements combine fewer housing units with higher assumed quantities of park land. $0M $20M $40M $60M $80M Total Park Development Cost Scenario 1A Development Contributions Scenario 1B Development Contributions Total Park Development Cost Scenario 2A Development Contributions Scenario 2B Development Contributions Land Cost (Acquisition)Construction Cost Land Cost (Dedication)Park Impact Fee (Residential) Scenario #2 -4.5 Acre Park Scenario #1 -2.0 Acre Park Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 143     March 17, 2026 FIGURE 5: TOTAL CTI SUB AREA PARK DEVELOPMENT COST AND REQUIRED DEVELOPER CONTRIBUTIONS UNDER EXISTING CITY POLICIES (a) The development scenarios for the CTI subarea are not bound to the Parkland Dedication requirements. Source: City of Palo Alto, 2025; Strategic Economics, 2026. Park Delivery Tools Although future development in the Plan Area will generate funding to build parks, funding alone does not guarantee that the City of Palo Alto will be able to acquire land for parks envisioned in the Plan Alternatives. The Parkland Dedication requirement is the sole tool that ensures development projects provide land for parks, but the requirement only applies to a very limited subset of large-scale, typically owner-occupied housing development projects. The following findings describe several significant tools available to the City of Palo Alto for ensuring or enhancing the ability of the City to obtain land for parks and other public facilities needs included in the Plan Alternatives. The applicability of each tool varies depending on the development context, such as whether new development is undertaken by a single large property owner or through smaller individual projects via an incremental process. A detailed funding and financing strategy for all major public infrastructure and facilities needs will later be prepared and included in the San Antonio Road Area Plan. • Existing Parkland Dedication requirement: The City of Palo Alto’s existing dedication requirement mandates that housing developments seeking a subdivision or parcel $0M $20M $40M $60M $80M $100M Total Park Development Cost Scenario 3A Development Contributions Scenario 3B Development Contributions Scenario 3C Development Contributions Scenario 3D Development Contributions Total Park Development Cost Scenario 4A Development Contributions Scenario 4B Development Contributions Scenario 4C Development Contributions Scenario 4D Development Contributions Land Cost (Acquisition)Construction Cost Park Impact Fee (Residential)Park Impact Fee (Commercial) Scenario #4 -3.0 Acre Park Scenario #3 -1.0 Acre Park Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 144     March 17, 2026 map for more than 50 parcels must provide land for parks. Smaller projects requiring subdivision or a parcel map can pay an in-lieu fee instead. This requirement would primarily apply to large-scale ownership housing projects, such as the townhomes envisioned at a portion of the Maxar site in the plan alternatives. • Park Impact Fees: The City’s Park Impact Fees, described earlier, specifically provide funding for new parks. These fee revenues can be used to acquire land for public parks, but do not guarantee the City’s ability to acquire any specific property. Examples of these mechanisms include the following: • Development Agreements: Development agreements could potentially be required in the Area Plan for large-scale projects pursued by a master developer that exceed certain size thresholds. Negotiated agreements create an opportunity to require parkland dedication and construction, potentially in lieu of otherwise applicable Park Impact Fees. This option may be preferable for the City than using existing policies as it allows greater flexibility to specify park requirements and it addresses park dedication requirements, which will likely not apply to the CTI subarea under the Plan Alternatives development scenarios. • Community Facilities Districts (CFDs): CFDs create an additional tax levy on properties in a district. These funds can be used to provide infrastructure improvements within the same district via bond issuance and repayment over time. Under California state law, this levy can be calculated based on any type of reasonable property characteristic other than property value, such as land square footage. The process for initiating the CFD could be initiated by the City but would require a two-thirds vote of property owners by land area if there are fewer than 12 registered voters in the district—an easier threshold to meet in a nonresidential area with one or more interested large property owners. A key benefit of CFDs over other district- based funding mechanisms is that they can be used for ongoing infrastructure operations and maintenance in addition to capital costs. • Reimbursement Agreements: If one developer is required to provide additional infrastructure capacity or amenities to serve an entire district or area, a reimbursement agreement can be established to receive payments from later developers who benefit from these early improvements. Although reimbursement agreements can be established privately and separately from any other funding or park delivery mechanism, these agreements are more often incorporated into the structure of a CFD. These mechanisms typically rely on the exchange of a benefit for increased development rights for commercial properties (as housing is often subject to State or local density bonuses and protections that limit developer incentives to purchase additional development rights). Examples of these mechanisms include the following: • Community Benefits programs: The Area Plan can potentially incorporate a structured community benefits program in which property owners must set aside land for parks or make Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 145     March 17, 2026 other contributions in exchange for greater development rights. However, community benefits programs may be less effective for ensuring parkland dedication since smaller properties would be unable to provide a land dedication. • Transfer of Development Rights (TDR): Property owners may transfer unused development potential from one property with certain characteristics (the “sending site” or “originating site”) to another property (the “receiving site”). The transfer enables the owner of the receiving site to develop additional gross floor area above and beyond what would otherwise be allowed. The sending site, having transferred away its development potential, could become a prime location for future parks. The value of the TDR depends on the relative financial feasibility of development at the base allowed density, financial feasibility of building types, and market strength. TDR programs for providing parks are generally most useful when the sending site is already a natural area, so the potential usefulness of TDR in the already-developed Plan Area is likely limited. Residential and Office Development Conditions This section reviews the results of a preliminary analysis of the financial performance (from a developer’s perspective) of development prototypes representing residential and commercial developments that could occur in the study sub areas. The analysis examined the relative performance of the development prototypes under both current and foreseeable future market and economic conditions. The findings are intended to inform consideration of the mix and scale of uses included in the Plan Alternatives. RESIDENTIAL PROTOTYPES INCLUDED OWNERSHIP TOWNHOMES, FIVE-STORY MULTIFAMILY RENTAL HOUSING, EIGHT- STORY MULTIFAMILY RENTAL HOUSING, A FIVE-STORY OFFICE BUILDING, AND AN EIGHT-STORY OFFICE BUILDING (SEE FIGURE 6). COMMERCIAL PROTOTYPES INCLUDED A FIVE-STORY OFFICE BUILDING AND AN EIGHT-STORY OFFICE BUILDING (SEE Figure 7). The two townhome prototypes and the two office prototypes respectively occupy sites of the same size, making the key difference between these prototypes the density or floor area ratio (FAR) achieved. The analysis determined the approximate “residual land value” associated with each prototype, which represents the developer’s ability to pay for land after addressing all other project costs and required return on investment. Expressing the findings as a residual land value provides a uniform metric for comparing the performance of different prototypes. Comparison of the residual land value to the typical value of recently sold properties in the Plan Area also indicates the relative financial feasibility of the development prototypes. Detailed assumptions and outcomes of the analyses are shown in the Appendix. Since a variety of development challenges exist throughout the Bay Area in the current market cycle, the findings also describe how the performance of the development prototypes may change over time under foreseeable market and economic shifts. This step of the analysis tested the sensitivity of the results to potential changes in rents and cap rates, a variable that represents a project’s net operating income relative to its value and serves as an indicator of the strength and perceived risk of the development market. such as construction costs or land costs, that are also always changing over time. In reality, every aspect of the development “equation” changes over time, such as variation in construction costs, financing costs, and land costs. Nonetheless, the results do demonstrate the Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 146     March 17, 2026 potential outcomes of improving market and economic conditions over the next two- to three-year period. FIGURE 6: RESIDENTIAL DEVELOPMENT PROTOTYPES Source: Raimi+Associates, 2026; Strategic Economics, 2026. FIGURE 7: OFFICE DEVELOPMENT PROTOTYPES Source: Raimi+Associates, 2026; Strategic Economics, 2026. Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 147     March 17, 2026 Under current market conditions, the townhome projects both result in residual land values of above $300 per square foot of land. Under current development conditions, typical garage-parked townhomes support higher residual land values than the less common podium-parked townhomes that were also analyzed (a version of which exists at “Altaire” in the Plan Area). The five-story multifamily prototype produced a slightly negative residual land value, likely due to the prototype’s inclusion of a level of underground parking. The eight-story multifamily building, which did not contain any underground parking, supported higher residual land values than the five-story multifamily building, but it still did not perform as well as either of the townhome prototypes. Multifamily residential development slowed in the years after the Covid-19 pandemic as rents failed to keep pace with rapidly rising construction costs. The effects of these changes remain in place, as high construction costs and financing costs continue to pose challenges for delivering new multifamily projects. • The market scenarios compared current and improved cap rates under assumptions of varying levels of rent growth. The high end of the range of market outcomes achievable in the next two to three years was based on a 3.75 percent cap rate and twenty percent increase in rents. The low-end scenario was based on the current estimated cap rate of 5.50 percent and no rent growth. Figure 9 and Figure 10 show all outcomes in the range of rent and cap rate growth, with bottom left corner of the shaded area representing present residual land values. • The five-story and eight-story multifamily rental prototypes produce residual land values sufficient to purchase and develop land in the Plan Area with a ten percent increase in rents and marginal decrease in cap rates. The eight-story multifamily prototype outperforms the five- story prototype, likely due to the former’s less costly parking layout. Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 148     March 17, 2026 FIGURE 8: RESIDUAL LAND VALUE OF RESIDENTIAL PROTOTYPES UNDER CURRENT MARKET CONDITIONS Source: Strategic Economics, 2026. FIGURE 9: RESIDUAL LAND VALUE OF THE FIVE-STORY MULTIFAMILY PROTOTYPE UNDER A RANGE OF MARKET CONDITIONS Source: Strategic Economics, 2026. -$200 -$100 $0 $100 $200 $300 $400 $500 3-Story Townhomes (Garage Parking) 3-Story Townhomes (Podium Parking) 5-Story Multifamily 8-Story Multifamily Typical Land Values ($/SF)Residual Land Value -$400.00 -$300.00 -$200.00 -$100.00 $0.00 $100.00 $200.00 $300.00 $400.00 $500.00 0%10%20% Change in Market Rents Typical Land Values in Palo Alto Range of Residual Land Values Residual Land Value (Improved Cap Rates) Residual Land Value (Current Cap Rates) Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 149     March 17, 2026 FIGURE 10: RESIDUAL LAND VALUE OF THE EIGHT-STORY MULTIFAMILY RENTAL PROTOTYPE UNDER A RANGE OF MARKET CONDITIONS Source: Strategic Economics, 2026. As shown in Figure 11, neither prototype currently achieves a positive residual land value due to similar factors that are constraining the short-term performance of the midrise residential development prototypes. In recent years, market rents for many types of commercial property have fallen or plateaued, while construction costs and interest rates have risen significantly. As a result, developers and investors are approaching office development with a higher level of uncertainty than in the recent past, and they require higher return thresholds for new projects to achieve financial feasibility. New development proposals—such as Presidio Bay’s proposed redevelopment of Charleston Plaza shopping center adjacent to the Plan Area—demonstrate ongoing developer confidence that office development conditions will improve. This is especially true for new, modern office projects in locations with amenities and housing. • The tested market scenarios compared current market rents to rents up to twenty percent higher under “strong” market cap rates of 4.50 percent and “weak” market cap rates of 7.75 percent (derived from market research and developer interviews). These ranges reflect historic rent growth and the variability of market capitalization rates over the last ten years. Figure 12 and Figure 13 illustrate the performance of both prototypes under a range of possible future development market conditions. -$400.00 -$200.00 $0.00 $200.00 $400.00 $600.00 $800.00 0%10%20% Change in Market Rents Typical Land Values in Palo Alto Range of Residual Land Values Residual Land Value (Improved Cap Rates) Residual Land Value (Current Cap Rates) Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 150     March 17, 2026 • The financial performance of the office development prototypes most readily improves in response to changes in financing costs and perceived development risk. Typical cap rates adjust in response to changes in financing costs, perceived development risk, and anticipated future revenues. The market scenario analyses show that the office prototypes exceed land purchase costs under a hypothetical “strong” market cap rate scenario while maintaining current rents and construction costs. • The results of the analysis also demonstrate the value of additional office FAR in the eight- story office prototype—suggesting greater ability of higher-FAR office products to support community benefits or other contributions. For example, in a strong market scenario (low cap rates) with ten percent rent growth, the five-story prototype’s residual land value is approximately $580 per square foot of land and the eight-story prototype’s residual land value is approximately $1,060 per square foot of land. FIGURE 11: RESIDUAL LAND VALUES OF COMMERCIAL PROTOTYPES UNDER CURRENT MARKET CONDITIONS Source: Strategic Economics, 2026. -$150 -$100 -$50 $0 $50 $100 $150 $200 $250 $300 Five-Story Office Eight-Story Office Typical Land Values Residual Land Value Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 151     March 17, 2026 FIGURE 12: RESIDUAL LAND VALUE OF THE FIVE-STORY OFFICE PROTOTYPE UNDER A RANGE OF MARKET CONDITIONS Source: Strategic Economics, 2026. FIGURE 13: RESIDUAL LAND VALUE OF THE EIGHT-STORY OFFICE PROTOTYPE UNDER A RANGE OF MARKET CONDITIONS Source: Strategic Economics, 2026. -$500.00 -$300.00 -$100.00 $100.00 $300.00 $500.00 $700.00 0%10%20% Fo o t Change in Market Rents Typical Land Values in Palo Alto Range of Residual Land Values Residual Land Value (Strong Market) Residual Land Value (Weak Market) -$200.00 $0.00 $200.00 $400.00 $600.00 $800.00 $1,000.00 $1,200.00 $1,400.00 0%10%20% Change in Market Rents Typical Land Values in Palo Alto Range of Residual Land Values Residual Land Value (Improved Cap Rates) Residual Land Value (Current Cap Rates) Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 152     March 17, 2026 Appendix FIGURE 14: INDUSTRIAL PROPERTY SALES IN THE PLAN AREA, 2024-2026 Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 153     March 17, 2026 FIGURE 15: PARK DEVELOPMENT COST AND EXISTING POLICY CONTRIBUTION ASSUMPTIONS AND CALCULATIONS (4) (1)(2)(3)(5)(2)(6)(7) A * $11,000,000 (B * 531) / 43,560 Lesser of A or F G * $11,000,000 (C * $44.20) + (D * $19.71) E * $19.71 (1) Each scenario’s multifamily square footage is equal to the number of multifamily rental units identified in Figure 1 multiplied by the average unit size of multifamily developments based on market research (850 square feet). (2) The land acquisition cost for the development of parks reflects the high-end value from Figure 2 as most of the properties in the studied subareas have existing improvements. (3) The Construction Cost category includes the following costs from Figure 2: Park Construction, Planning & Design, and Administration. (4) Rates in the “Calculation” row of this section of the Figure refer either to conversions from acres to square feet or to Palo Alto’s existing policy rates, or both. (5) The parkland dedicated does not exceed the park area specified by the development scenario, even if the Parkland Dedication requirement does exceed the scenario (as in Scenarios 1A and 1B). (6) The Impact Fee column combines both the multifamily rental impact fee and the commercial impact fee. (7) The Fee Credit each scenario receives for existing commercial development represents the maximum possible fee credit (i.e., the total replacement of existing structures in both subareas) as both a conservative estimate of each scenario’s ability to pay for parks improvements and due to a lack of knowledge about the rate of redevelopment in each subarea. Source: City of Palo Alto, 2025; Raimi and Associates, 2026; Strategic Economics, 2026. Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 154     March 17, 2026 FIGURE 16: TOTAL PARK DEVELOPMENT COST AND DEVELOPER CONTRIBUTIONS BY SCENARIO FIGURE 17: OWNERSHIP TOWNHOME PROTOTYPES' REVENUE ASSUMPTIONS Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 155     March 17, 2026 FIGURE 18: OWNERSHIP TOWNHOME PROTOTYPES' COST ASSUMPTIONS Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 156     March 17, 2026 FIGURE 19: OWNERSHIP TOWNHOME PROTOTYPES' PRO FORMA RESULTS FIGURE 20: MULTIFAMILY RENTAL PROTOTYPE REVENUE ASSUMPTIONS Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 157     March 17, 2026 FIGURE 21: MULTIFAMILY RENTAL PROTOTYPE COST ASSUMPTIONS Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 158     March 17, 2026 FIGURE 22: MULTIFAMILY RENTAL PROTOTYPES' PRO FORMA RESULTS FIGURE 23: OFFICE PROTOTYPES' REVENUE ASSUMPTIONS Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 159     March 17, 2026 FIGURE 24: OFFICE PROTOTYPES' COST ASSUMPTIONS Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 160     March 17, 2026 FIGURE 25: OFFICE PROTOTYPES' PRO FORMA RESULTS Item 2 ​Attachment B - San Antonio Road Area Plan Alternatives Financial Memo​     Packet Pg. 161     Item No. 3. Page 1 of 11 Planning & Transportation Commission Staff Report From: Planning and Development Services Director Lead Department: Planning and Development Services Meeting Date: March 25, 2026 Report #: 2602-5927 TITLE Recommendation on an Ordinance to Amend Various Sections of Title 16 (Building Regulations) and Title 18 (Zoning) of the Palo Alto Municipal Code to Implement Retail Vitality Policies in the Comprehensive Plan. CEQA Status: The Ordinance is Consistent with and Represents Implementation of Adopted Policies in the Comprehensive Plan, for Which an Environmental Impact Report (Comprehensive Plan EIR) was Certified on February 5, 2016. RECOMMENDATION Staff recommends that the Planning and Transportation Commission (PTC) recommend the City Council amend various sections of Titles 16 and 18 of the Palo Alto Municipal Code (PAMC) (Attachment A) to implement retail vitality measures related to Comprehensive Plan policies and the City Council's 2025 Enhance Business Vibrancy Priority. EXECUTIVE SUMMARY The draft ordinance in Attachment A builds on retail conditions and strategies analyses completed in 2023 and 2024, and an interim retail ordinance adopted in December 2024. Approval of this updated ordinance is intended to: Make the interim ordinance permanent; Allow a broader range of retail and other commercial uses; Reduce confusion from overlapping/conflicting regulations; Add standard conditions for specific uses and remove overly subjective findings; Streamline parking requirements and permit approvals; Reduce ground-floor vacancies; and Encourage vibrancy in the City’s commercial areas; including Downtown and California Avenue. Amendments to the zoning code are shown as underlined/strikeout in Attachment A. Annotations in the margin guide the reader to the rationale behind substantive changes. The analysis section below summarizes proposed amendments by code chapter/section. Item 3 Item 3 Staff Report     Packet Pg. 162     Item No. 3. Page 2 of 11 BACKGROUND Previous Work Effort 1 Current Work Effort Consider allowing bars (without food), but with limitations or conditions, and an entertainment zone on California Avenue. Enforce transparency and other design standards to ensure that all ground-floor uses are activated, including medical offices or personal services uses. Add ground-floor flexibility by allowing offices if they are neighborhood-serving. Consider more blended parking rates. Avoid merging of retail and retail-like use categories. Limit changes to the Retail Preservation regulations to potential exemptions for multifamily residential and office/manufacturing zones. 1 October 29, 2025 PTC Staff Report and Attachments: https://cityofpaloalto.primegov.com/meetings/ItemWithTemplateType?id=9314&meetingTemplateType=2&comp iledMeetingDocumentId=17309 Item 3 Item 3 Staff Report     Packet Pg. 163     Item No. 3. Page 3 of 11 Consider special standards for certain retail areas; including upper University Avenue, Ramona Street, and car-free portions of California Avenue. Consider potential consequences of allowing office uses on the ground-floor in commercial retail areas. ANALYSIS This section details proposed changes in the draft ordinance, organized by code section, and highlights specific questions for the PTC to consider. 18.04.030: Definitions The draft ordinance suggests the following changes to use classification definitions: 1. Make permanent 2024 changes to the following use classifications: “automobile showroom,” “retail finance service,” and “formula retail business.” 2. Split the current “animal care” definition into two use classifications, based on impact (e.g., noise, odors), to acknowledge that use regulations already distinguish between “animal care, excluding boarding and kennels” and “boarding and kennels” and allow these uses in appropriate locations with appropriate permit levels (i.e., permitted by right vs conditionally permitted). Also see new standards in Section 18.42.130 (Animal Care), below, intended to prevent potential negative impacts. 3. Provide more flexibility for eating and drinking uses by creating three categories (with different levels of potential impact) and removing “take out” as a separate use classification. a. Create three eating and drinking-related definitions, which generate different parking requirements: i. “Eating and drinking, full service” for establishments with table service, seating, and a full kitchen. ii. “Eating and drinking, limited service” for establishments where food is ready to consume within about 10 minutes and there is limited seating (e.g., delis, coffee shops). Currently, such uses are interpreted as “intensive retail service” which is not an intuitive use classification for potential retailers. iii. “Bars” is a new definition that would allow bars without food service. Currently, the City does not allow stand-alone bars; a full kitchen is required with any alcohol service. Bars have potential to generate revenue and increase foot traffic, but can also create potential nuisances. Also see new standards in Section 18.42.090 (Alcoholic Beverages) intended to prevent potential negative impacts. As proposed within the district regulations, bars would only be allowed with a conditional use Item 3 Item 3 Staff Report     Packet Pg. 164     Item No. 3. Page 4 of 11 permit (CUP), allowing the City to apply additional conditions, such as hours of operation. b. Eliminate “take-out services” as a separate use classification, since most eating and drinking uses include take-out as standard practice. However, the PTC expressed concerns about potential negative consequences. One issue could be “ghost kitchens” which are uses that provide take-out and/or delivery options without a storefront or dine-in seating. Rather, these uses rely on third-party apps like DoorDash. “Ghost kitchens” may previously have been classified as “take-out service” but would now be classified as “eating and drinking, limited service.” This is a more appropriate assumption given that they would have lower parking generation compared to a use with dine-in seating. Moreover, existing design standards would require that these uses are designed like any other eating and drinking service establishment. 18.16: Neighborhood, Community, and Service Commercial (CN, CC and CS) Districts The draft ordinance proposes the following changes to the CN, CC, and CS districts, which represent commercial district regulations for all commercial areas except for Downtown. 4. Streamline the four sets of overlapping, confusing, and contradictory use regulations for Midtown and Charleston Shopping Centers into one clear set of rules. a. Use the base district use regulations for the CN district (Table 1 in Chapter 18.16) to regulate these neighborhood shopping centers and use footnotes to note modified standards that apply in these locations. b. Remove the -GF combining district/overlay designation on the Zoning Map and remove Table 2 and Table 5 in Chapter 18.16, again consolidating use regulations into Table 1. c. Allow neighborhood-serving offices and residential uses in Midtown (they are already allowed in Charleston), except along public frontages. Allow neighborhood-serving offices by right for spaces up to 2,500 sq. ft., but require a CUP for larger spaces. As a result, modify existing office use regulations that restrict the amount of office space permitted. d. Allow residential uses on upper floors and fronting rear/side yards, whereas residential uses are currently not permitted. This would allow mixed use development in the event of redevelopment of these neighborhood shopping centers. 5. Adjust permit levels (i.e., by right vs. CUP) and expand allowed uses, including some from the “retail-like” category as allowed, and bars with a CUP, in the CC and CS districts. Question for PTC consideration: Should bars be allowed, subject to a CUP, in the CN district (e.g., in Midtown and Charleston Shopping Centers)? Item 3 Item 3 Staff Report     Packet Pg. 165     Item No. 3. Page 5 of 11 6. Replace onerous and subjective permit findings with findings that are linked to the purposes of the district. 18.18: Downtown Commercial (CD) District The draft ordinance proposes the following changes to the zoning district that covers Downtown. However, note that the -GF combining district, described below, supersedes the CD District use regulations on applicable parcels (i.e., University Avenue and the retail-dense segments of Emerson, Ramona, and Bryant Streets). 7. Streamline overlapping use regulations by consolidating Table 1 and Table 4 of Chapter 18.18. 8. Adjust permit levels (i.e., by right vs. CUP) and expand allowed uses, including some from the “retail-like” category, and bars with a CUP. 18.30(A): Retail Shopping (R) Combining District Regulations The draft ordinance proposes the following changes to the -R combining district, which applies only to California Avenue and generally supersedes CC(2) base district use regulations: 9. Make permanent 2024 additions to allowed uses. 10. Replace list of permitted and conditionally permitted uses with a table, consistent with other base district use regulations. 11. Expand allowed uses. For example: a. Allow bars with a CUP. b. Allow fitness studios up to 5,000 sq. ft. by right. Above 5,000 sq. ft. fitness is classified as commercial recreation, which requires a CUP. This will allow a higher level of review and conditions to be applied to larger fitness uses. c. Allow neighborhood-serving offices (which includes medical office) by right, except along the California Avenue frontage. d. Allow medical offices that include retail sales (e.g., medical spas, optometrists, integrative medicine clinics) along California Avenue frontage with a CUP. 12. Establish design criteria for neighborhood-serving offices, such that they are fronted by retail uses—with a minimum depth of 30 feet—on California Avenue. 13. Remove Waiver and Adjustments section entirely to make regulations unambiguous and acknowledge that the draft ordinance is providing more permitted uses. 14. Remove subjective findings. 18.30(C): Ground Floor (GF) Combining District Regulations (Applicable in Downtown core) Item 3 Item 3 Staff Report     Packet Pg. 166     Item No. 3. Page 6 of 11 The draft ordinance proposes the following changes to the -GF combining district. The -GF combining district overlay applies to University Avenue and portions of Emerson, Ramona, and Bryant Streets; and, currently, to Midtown and Charleston Shopping Centers. The -GF combining district generally supersedes base district use regulations. 18.38: Planned Communities (PC) District Regulations 18.40.180: Retail Preservation Item 3 Item 3 Staff Report     Packet Pg. 167     Item No. 3. Page 7 of 11 22. Exempt the following multifamily residential and office/manufacturing zones from Retail Preservation regulations: a. Residential zones: RM-30, RM-40, NV-R3, and NV-R4 i. There are at least two sites where retail preservation regulations would need to be enforced in the event of a redevelopment project applies, since these sites contain a daycare and a motel, respectively. In order to develop multifamily housing, a project would need to trigger an exemption from retail preservation regulations. Exempting multifamily districts would support Housing Element policies and programs to reduce constraints to housing development for existing and future projects. b. Office/manufacturing zones: ROLM ROLM(E), RP RP(5), and GM i. There are at least 21 sites with office/manufacturing designations where retail preservation regulations would need to be enforced in the event of redevelopment projects. These are primarily retailers and services near San Antonio Road, and include the following types of commercial businesses: building materials, bath and kitchen supply, auto materials and repairs, showrooms, gyms/recreation, daycares, and private clubs. Some of these uses are revenue-generating uses that support the City’s tax base and provide important uses for residents, contractors, and visitors. On the other hand, the retail preservation ordinance would restrict redevelopment options on these sites and prevent other types of uses, that meet the purposes of these districts including medical, research, office and limited manufacturing uses. ii. Because a number of GM parcels are located within the San Antonio Road Area Plan, an ongoing project by the City to guide redevelopment in a 275.3-acre portion of Palo Alto adjacent to the Mountain View border, an alternative approach would be to exempt the other office/manufacturing zones with this amendment and allow the City to complete the San Antonio Road Area Plan process before deciding how to consider retail preservation in the GM zone. Chapter 18.42: Standards for Special Uses The draft ordinance proposes modifications to the standards for special uses chapter to apply standard conditions that can allow more uses by right and clarify the types of standards that will be applied through the CUP process: 23. Modify Section 18.42.090 (Alcoholic Beverages) to streamline permitting and apply conditions for bars and restaurants with alcohol service, regarding potential impacts such as noise and trash, and enforce certain performance, such as required staff Item 3 Item 3 Staff Report     Packet Pg. 168     Item No. 3. Page 8 of 11 training. All stand-alone bars would require a CUP, allowing the City to regulate hours among other conditions. 24. Establish Section 18.42.130 (Animal Care) to create generally applicable conditions for animal care uses, regarding nuisances, drainage, ventilation, waste, and other potential impacts. 18.52: Parking and Loading Requirements The draft ordinance aims to allow more flexibility in parking requirements through the following modifications: 25. Establish blended parking rate for the California Avenue Parking district (similar to Downtown), with separate ratios for eating and drinking services and other retail uses. This would acknowledge that: a. Visitors to California Avenue likely park once and walk between uses whether parking on the street or within garages; b. Existing buildings and tenant spaces typically do not provide on-site parking and cannot physically provide additional parking in the event of a change of use application that triggers additional parking spaces; c. Existing City parking ratios are generally unenforceable for most uses on California Avenue because of the applicability of AB 2097 (Gov. Code Section 65863.2). 26. Modify ratios for offices and eating and drinking services to standardize ratios regardless of location and acknowledge that full service restaurants generate different (higher) parking requirements that limited service establishments, which have greater turnover. 27. Modify thresholds for when a transportation demand management (TDM) program is required, exempting small retail additions and changes in use for retail and retail-like. a. Question for PTC consideration: How could this TDM program integrate with Palo Alto Transportation Management Association (PATMA) program?3 28. Increase shared parking opportunities to allow shared parking to accommodate up to 60% of required parking spaces. 18.76 & 18.77 Process and Administration 29. Change all references of Conditional Use Permit or CUP, to Administrative Use Permit or AUP to better reflect the primarily administrative nature of this permit process and send a signal to potential tenants that the permitting process is not necessarily onerous or 3 For more information about the PATMA, visit: https://www.paloaltotma.org/ Item 3 Item 3 Staff Report     Packet Pg. 169     Item No. 3. Page 9 of 11 lengthy. Note that this change would be completed throughout the PAMC and not just the Process and Administration section. 30. Remove overly subjective findings in Section 18.76.015, pertaining to conditionally permitted formula retail uses on California Avenue. 16.59: Citywide Transportation Impact Fee 31. Exempt small retail additions from the citywide transportation fee, consistent with fee exemptions in PAMC sections 16.45 and 16.58. FISCAL/RESOURCE IMPACT City Council adoption of the draft ordinance, which proposes to increase permitted uses, allow more uses by right, and reduce regulatory hurdles may reduce permitting timelines, staff and decision-maker time, and commercial vacancy rates, is anticipated to increase sales tax revenues. POLICY IMPLICATIONS This ordinance supports implementation of the following Comprehensive Plan policies: B4.2.1: Revise zoning and other regulations as needed to encourage the preservation of space to accommodate small businesses, start-ups and other services. B4.2.2: Consider planning, regulatory, or other incentives to encourage property owners to include smaller office spaces in their buildings to serve small businesses, non-profit organizations, and independent professionals. B5.1.14: Revise zoning and other regulations as needed to encourage the revitalization of aging retail structures and areas. Encourage the preservation of space to accommodate small, independent retail businesses and professional services. L1.6.1: Review regulatory tools available to the City and identify actions to enhance and preserve the livability of residential neighborhoods and the vitality of commercial and employment districts, including improved code enforcement practices. L4.2.1: Study the overall viability of ground-floor retail requirements in preserving retail space and creating an active street environment, including the types of locations where such requirements are most effective. L4.2.2: Evaluate the effectiveness of formula retail limits adopted for California Avenue. Develop incentives for local small businesses where warranted. L4.2.3: Explore and potentially support new, creative and innovative retail in Palo Alto. L4.5.1: Revise zoning and other regulations as needed to encourage the preservation of space to accommodate small businesses, start-ups and other services. Item 3 Item 3 Staff Report     Packet Pg. 170     Item No. 3. Page 10 of 11 L4.5.2: Consider planning, regulatory, or other incentives to encourage property owners to include smaller office spaces in their buildings to serve small businesses, non-profit organizations, and independent professionals. L4.16.1: Maintain distinct neighborhood shopping areas that are attractive, accessible and convenient to nearby residents. L4.10.2: Create regulations for the California Avenue area that encourage the retention or rehabilitation of smaller buildings to provide spaces for existing retail, particularly local, small businesses. T5.1.2 Consider reducing parking requirements for retail and restaurant uses as a way to encourage new businesses and the use of alternative modes. As part of the implementation of Housing Element Program 3.2 (Monitor Constraints to Housing), the City is required to analyze how potential new regulations may impact housing production, if at all, and recommend solutions to address any adverse impacts. This retail initiative is anticipated to reduce retail vacancies, primarily at the ground-level. It is not expected to impact the rate of housing production, except proposed changes to allow residential uses in the Midtown and Charleston Shopping Centers could encourage mixed-uses at upper levels. Additionally, the ordinance may have the effect of making ground-floor retail uses within residential mixed-use buildings more flexible and viable. Lastly, during the October 29, 2025, study session, PTC members asked about the relationship between pedestrian/bicycle planning and retail uses. The 2026 Bike Plan identifies “Bicycle Friendly Zones” in Downtown and California Avenue that align with the Pedestrian Shopping (P) Combining District, Ground Floor (GF) Combining District, and Retail Shopping (R) Combining District. The -P district is also located in the Midtown and Charleston Shopping Districts, which are proposed for a Class IV separated bikeway in the 2026 Bike Plan. Currently, a combination of Class III shared bike routes and Class II bike lanes are provided in the southern portion of Middlefield Road. Implementation of the pedestrian and bicycle facility projects in areas that require and support retail development can help support Comprehensive Plan and Bike Plan goals to coordinate land use and transportation planning and help reduce reliance on single- occupancy vehicles. STAKEHOLDER ENGAGEMENT As part of the larger economic development initiative, the project team conducted stakeholder interviews with landowners, businesses, the Chamber of Commerce, and interviewed peer cities in 2022 and 2023. The PTC and PTC ad hoc held over a dozen study sessions and hearings to discuss these initiatives leading up to a recommendation on the interim ordinance in 2024. These meetings have informed this current work effort. As part of this specific task in 2025, the project team interviewed local retailers and brokers to confirm key issues and seek feedback on recommended changes. Item 3 Item 3 Staff Report     Packet Pg. 171     Item No. 3. Page 11 of 11 Additionally, two major property owners with retail tenants provided feedback on preliminary ideas for the ordinance at the January 22, 2026, City Council Retail Subcommittee meeting. These property owners agreed with many of the comments expressed in the Subcommittee staff report and emphasized the following: That the perception of a Conditional Use Permit as a hurdle is a legitimate concern. An Administrative Use Permit is perceived as a more manageable permit to obtain. Terms like “revitalization” and “interim ordinance” create uncertainty and the sense that conditions are in flux; consider better messaging about proposed changes and liaisons that support retail, such as a retail ambassador. Retail needs are getting smaller and the deep retail space, especially Downtown, can benefit from more flexible use allowances. ENVIRONMENTAL REVIEW ATTACHMENTS AUTHOR/TITLE: Item 3 Item 3 Staff Report     Packet Pg. 172     1 *NOT YET APPROVED* Ordinance No. _____ Ordinance of the Council of the City of Palo Alto Amending Various Chapters of Title 18 (Zoning) and Chapter 16.59 (Citywide Transportation Impact Fee of the Palo Alto Municipal Code to Implement Retail Revitalization Measures SECTION 1. Findings and Declarations. The City Council finds and declares as follows: A.Like many communities, the City of Palo Alto has experienced high vacancy rates in retail districts, which have been compounded by challenges associated with the COVID-19 pandemic as well as ongoing retail trends. Accordingly, the City Council has included retail revitalization as a Council priority for the past several years. B.Throughout 2023 and 2024, City staff, the Planning and Transportation Commission (PTC), and the City’s consultant Michael Baker International (MBI) worked together to develop a Retail Study Report intended to inform a citywide retail zoning strategy. C.On September 18, 2024, the City Council Retail Committee reviewed the Final Draft Retail Study Report and provided direction to staff on several zoning amendments should be implemented immediately to support retail and retail-like uses in the City. D.The PTC held six hearings on the Retail Study (in addition to four meetings of the PTC retail ad hoc committee). E.In December 16, 2024, the City Council adopted interim ordinance no. 5642, temporarily implementing some of the recommendations of the Retail Study, while directing further work by staff and the PTC on a permanent ordinance. F.On October 29, 2025, the PTC reviewed additional analysis and recommendations prepared by staff and the City’s consultant Lexington Planning. G.On March 25, 2026, the PTC reviewed issues and options to encourage ground-floor retail and provided direction for a draft ordinance. H.The City Council now desires to adopt a retail revitalization to replace interim ordinance no. 5642. SECTION 2. All references in the Palo Alto Municipal Code to “Conditional Use Permit” shall be amended to read “Administrative Use Permit.” All references in the Palo Alto Municipal Code to “CUP” shall be amended to read “AUP.” All references in the Palo Alto Municipal Code to “conditionally permitted” shall be amended to read “administratively permitted.” SECTION 3. Section 18.04.030 (Definitions) of Chapter 18.04 (Definitions) of Title 18 (Zoning) of the Palo Alto Municipal Code is hereby amended as follows (additions underlined; deletions struck- through; text omitted but unchanged noted by bracketed ellipses; unannotated text indicates prior, temporary amendments that would expire if not restated herein): Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 173     2 *NOT YET APPROVED* 18.04.030 Definitions (a) Throughout this title the following words and phrases shall have the meanings ascribed in this section. (12) “Animal care” means a use providing grooming, housing, medical care, or other services to animals, including veterinary services, animal hospitals, overnight or short-term boarding ancillary to veterinary care, indoor or outdoor kennels, and similar services. (12) “Animal care, daytime” means a use providing care and services during the daytime only, including grooming, socializing, housing, veterinary services, and animal hospitals that do not provide overnight care. (12.1) “Animal care, overnight” means a use providing care and services that includes overnight or short-term boarding, such as kennels and animal hospitals with overnight care. [. . .] (12.6) “Automobile showroom” means a use primarily engaged in the sale of new and used automobiles and trucks, or the display and demonstration of automobiles and trucks for the purpose of facilitating sales, but which does not involve on-site storage of inventory, except as incidental to the showroom use. Automobile showroom serves primarily pedestrian clientele and is distinct from automobile dealership. [. . .] (47) “Eating and drinking service” means uses primarily engaged in serving prepared food and/or beverages for consumption on or off the premises. Related definitions are provided in subsections (45) (Drive-in/drive- through service). (47) (A) “Eating and drinking service, full service” means a use providing preparation and retail sale of food and beverages with a full menu and providing indoor seating area. Eating and drinking service This use typically includes presence of a full commercial kitchen, and commercial dishwasher, and table service. For establishments with incidental sale alcoholic beverages, a minimum of 50% of revenues from an “eating and drinking service” must be derived from the sale of food. Related definitions are provided in subsections (45) (Drive- in/drive- through service, and (125)(B) (Intensive retail service) and (136) (Take-out service). (B) “Eating and drinking, limited service” means a use where food and beverages are ready to consume within approximately 10 minutes of the time of sale whether on the premises, taken out, or delivered. Typically, limited seating area and no commercial kitchen are provided. Examples include delis, bakeries, frozen dessert shops, pizza shops, counter service restaurants, and coffee shops. For establishments with incidental sale alcoholic beverages, a minimum of 50% of revenues must be derived from the sale of food. (C) “Bars” mean establishments devoted to serving alcoholic beverages for on-site consumption and which the serving of food is incidental to the consumption of such beverages, with less than 50% of revenues derived from the sale of food. Such establishment is also licensed by the California Department of Alcoholic Beverage Control. [. . .] Split definition to distinguish between less impactful daytime uses, which may be allowed in more locations, vs. overnight uses which may require additional conditions due to noise or other impacts. Make interim ordinance regulation permanent. Create three categories of eating and drinking services, which generate different parking requirements: full service restaurants with table service and seating, food service with limited seating (replaces "intensive retail service" below), and a new classification to allow bars. Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 174     3 *NOT YET APPROVED* (56) “Financial service” means a use providing financial services to individuals, firms, or other entities. The term “financial service” includes banks, savings and loan institutions, loan and lending institutions, credit unions and similar services. (A)“Retail finance service” means a financial service use operating in a retail-oriented manner, offering face-to-face interactions, and convenient in-person transactions in locations designed for public access. These services includes retail banks, savings and loan institutions, loan and lending offices, credit unions, and similar services that prioritize walk-in customers with access to immediate financial solutions or combined with a publicly accessible retail component. [. . .] (57.6) “Formula retail business” means a retail, personal, or eating and drinking service that is one of fifty (50) or more business locations in the State of California required by contractual or other arrangement to maintain any of the following standardized characteristics: merchandise, menu, services, decor, uniforms, architecture, facade, color scheme, signs, trademark, or servicemark. For purposes of this definition: (A)“Standardized merchandise, menu and/or services” means 50% or more of in- stock merchandise from a single distributor bearing the same or similar markings; 50% or more of menu items identical in name and presentation with other locations; or 50% or more of services offered identical in name or presentation with other locations. (B)“Decor” means the style of interior furnishings, which may include but is not limited to, style of furniture, wall coverings or permanent fixtures. (C)“Color Scheme” means the selection of colors used throughout, such as on the furnishings, permanent fixtures, and wall coverings, or as used on the facade. (D)“Uniforms” means standardized items of clothing including but not limited to standardized aprons, pants, shirts, smocks or dresses, hats, and pins (other than name tags) as well as standardized colors of clothing. (E)“Facade” means the face or front of a building, including awnings, looking onto a street or an open space. (F)“Trademark” means a word, phrase, symbol or design, or a combination of words, phrases, symbols or designs that identifies and distinguishes the source of the goods from one party from those of others. (G)“Servicemark” means a word, phrase, symbol or design, or a combination of words, phrases, symbols or designs that identifies and distinguishes the source of a service from one party from those of others. [. . .] (125) “Retail service” means a use open to the public during typical business hours and predominantly engaged in providing retail sale, rental, service, processing, or repair of items primarily intended for consumer or household use. (A)“Extensive retail service,” as used with respect to parking requirements, means a retail sales use having more than seventy-five percent of the gross floor area used for display, Make interim ordinance regulations permanent. Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 175     4 *NOT YET APPROVED* sales, and related storage of bulky commodities, including household furniture and appliances, lumber and building materials, carpeting and floor covering, air conditioning and heating equipment, and similar goods, which uses have demonstrably low parking demand generation per square foot of gross floor area. (B)“Intensive retail service” as used with respect to parking requirements, means any retail service use not defined as extensive retail service, such as boutiques, bookstores, and small goods retail shops. and including limited food service (i.e. ‘ready-to-eat’ food and/or beverage shops without a full commercial kitchen, where food and/or beverages are ready to consume at the time of sale and any seating area is limited; examples include sandwiches, frozen desserts, non-alcoholic beverages, and baked items). (125.1) “Retail-like use” means a use generally open to the public during typical business hours and predominantly engaged in providing services closely related to, but distinct from, retail services, including but not limited to: (A)Eating and drinking services, as defined in subsection (47); (B)Hotels, as defined in subsection (73); (C)Personal services, as defined in subsection (114); (D)Theaters; (E)Travel agencies; (F)Commercial recreation, as defined in subsection (33); (G)Commercial nurseries; (H)Automobile showrooms, as defined in subsection (12.6); and (I)Day care centers, as defined in subsection (42); and (J)Retail financial services, as defined in subsection (56)(A); (K)Other commercial uses, services, or activities determined by the Director of Planning and Development Services to be accessible to the general public, generate walk-in pedestrian clientele, and contribute substantially to a high level of pedestrian activity, and meet the intent of the 18.30(B).040 (Pedestrian Shopping) design standards. Not all retail-like uses are permitted in zoning districts that allow retail-like uses. Refer to use tables within each zoning district for specific permitted retail-like uses. [. . .] (136) “Take-out service” means a characteristic of an eating or drinking service which encourages, on a regular basis, consumption of food or beverages, such as prepared or prepackaged items, outside of a building, in outdoor seating areas where regular table service is not provided, in vehicles parked on the premises, or off-site. Take-out service does not include intensive retail service uses, as defined in subsection (125)(B). [. . .] SECTION 4. Section 18.08.040 of the Palo Alto Municipal Code, the “Zoning Map,” is hereby amended by changing the zoning of the properties identified in Exhibit A by removing the Ground Floor (GF) combining district. Replaced by "eating and drinking, limited service" new use classification Acknowledge that most restaurants offer takeout; remove definition and classification from use tables. Take-out windows will still be subject to staff design review. Removing this overlay from Midtown and Charleston will remove the confusion over the three different use tables that apply to these areas. See 18.16 for how uses are proposed to be regulated. Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 176     5 *NOT YET APPROVED* SECTION 5. Sections 18.16.040 (Land Uses), 18.16.050 (Office Use Restrictions), and 18.16.060 (Development Standards) of Chapter 18.16 (Neighborhood, Community, and Service Commercial (CN, CC and CS) Districts) of Title 18 (Zoning) of the Palo Alto Municipal Code are hereby amended as follows (additions underlined; deletions struck-through; text omitted but unchanged noted by bracketed ellipses): 18.16.040 Land Uses The uses of land allowed by this chapter in each commercial zoning district are identified in the following tables. Land uses that are not listed on the tables are not allowed, except where otherwise noted. Where the last column on the following tables (“Subject to Regulations in”) includes a section number, specific regulations in the referenced section also apply to the use; however, provisions in other sections may apply as well. For properties with combining district zoning designations, refer to combining district use regulations for additional or superseding requirements. (a)Commercial Zones and Land Uses Permitted and conditionally permitted land uses for each commercial zone are shown in Table 1: TABLE 1 PERMITTED AND CONDITIONALLY PERMITTED USES P = Permitted Use CUP = Conditional Use Permit Required LAND USE CN (4) CC, CC(2) CS (4) Subject to Regulations In: ACCESSORY AND SUPPORT USES Accessory facilities and activities customarily associated with or essential to permitted uses, and operated incidental to the principal use. P P p 18.42 Drive-in services or take-out services associated with permitted uses(3) CUP CUP CUP 18.42 Tire, battery, and automotive service facilities, when operated incidental to a permitted retail service or shopping center having a gross floor area of more than 30,000 square feet. CUP 18.42, 18.40.160 Safe Parking 18.42.160 EDUCATIONAL, RELIGIOUS, AND ASSEMBLY USES Business and Trade Schools CUP P P Churches and Religious Institutions P P P Private Educational Facilities CUP P P Private Clubs, Lodges, or Fraternal Organizations CUP P P MANUFACTURING AND PROCESSING USES Recycling Centers CUP CUP CUP Warehousing and Distribution CUP Revised permit levels and added uses to provide more flexibility in the types of uses permitted. Specifically, expanded allowed uses in Midtown and Charleston that were permitted with the -GF overlay. Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 177     6 *NOT YET APPROVED* LAND USE CN (4) CC, CC(2) CS (4) Subject to Regulations In: OFFICE USES Administrative Office Services P 18.16.050 Medical Offices PCUP(5)(7) PCUP(5) PCUP(5) 18.16.050 Professional and General Business Offices P(7) P P 18.16.050 PUBLIC/QUASI-PUBLIC USES Utility Facilities essential to provision of utility services but excluding construction or storage yards, maintenance facilities, or corporation yards. CUP CUP CUP RECREATION USES Commercial Recreation CUPP(5) CUPP(5) CUPP(5) 18.40.160 Outdoor Recreation Services CUP CUP CUP RESIDENTIAL USES Multiple-Family P(1) P(1) P(1) 18.16.060(b) and (c) Home Occupations P P P Residential Care Homes P P P RETAIL USES Bars CUP CUP 18.42.090 Eating and Drinking Services, excluding drive-through drive-in and take-out services P(8) P P 18.40.160 18.42.090 Retail Services, excluding liquor stores P(8) P P 18.40.160 Liquor stores CUP P P 18.40.160 Shopping Centers P 18.16.060(c), 18.40.160 SERVICE USES Ambulance Services CUP CUP CUP Animal Care, daytime excluding boarding and kennels P P P 18.42.130 Animal Care, overnight CUP CUP CUP 18.42.130 Automobile Service Stations CUP CUP CUP 18.30(G) Automotive Services CUP Automobile Showroom P P P Convalescent Facilities CUP P P Day Care Centers P P P 18.40.160 Small Family Day Care Homes P P P Note: this does not change the current medical office permit level, just the perception of the process. Footnote generally allows P use up to 5,000 sq. ft. Table 2 already allows neighborhood serving offices in Charleston. This addition would allow the same in Midtown. Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 178     7 *NOT YET APPROVED* LAND USE CN (4) CC, CC(2) CS (4) Subject to Regulations In: Large Family Day Care Homes P P P Small Adult Day Care Homes P P P Large Adult Day Care Homes CUP P P Banks and Financial Services V CUP P(2) P(2) P(2) General Business Services CUP CUP P Hotels P P 18.16.060(d), 18.40.160 Mortuaries CUP P P Neighborhood Business Services P 18.16.060(f) Personal Services P P(6) P 18.16.060(f), 18.40.160 Reverse Vending Machines P P P TEMPORARY USES Farmer’s Markets CUP CUP CUP Temporary Parking Facilities, provided that such facilities shall remain no more than five years. CUP CUP CUP TRANSPORTATION USES Parking as a principal use CUP CUP Transportation Terminals CUP CUP P = Permitted Use CUP = Conditional Use Permit Required (1) Residential is only permitted: (i) as part of a mixed use development, pursuant to the provisions of Section 18.16.060(b), or (ii) on sites designated as housing inventory sites in the Housing Element of the Comprehensive Plan, (iii) on CN or CS sites on El Camino Real, or (iv) on CC(2) sites, all pursuant to the provisions of Section 18.16.060(b) and (c). Residential uses are not permitted fronting public streets in the Midtown Shopping District and Charleston Shopping Center, but may be located fronting rear and interior side yards on the ground-floor or on upper levels. (2) Except drive-through drive-in services. (3) So long as drive up facilities, excluding car washes, provide full access to pedestrians and bicyclists. A maximum of two such services shall be permitted within 1,000 feet, and each use shall not be less than 150 feet from one another. (4) For properties in the CN and CS zone districts, businesses that operate or have associated activities at any time between the hours of 10:00 p.m. and 6:00 a.m. require a conditional use permit. (5) Except, a A conditional use permit is not required for medical office or commercial recreation uses up to 5,000 square feet of gross floor area, with the following exceptions, for which a conditional use permit is always required for: (A) medical office fronting on California Avenue, in the Charleston Shopping Center and in the Midtown Shopping District; (B) commercial recreation uses fronting on California Avenue and in the Town and Country Village Shopping Center. (6) A conditional use permit is required for the following uses when fronting on California Avenue: (A) Table 2 currently prohibits residential uses in Midtown and Charleston; this revisions would allow residential on upper floors and behind commercial uses. Regulations for California Avenue have been relocated to 18.30(A).040, the -R district regulations that apply to California Avenue Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 179     8 *NOT YET APPROVED* Fitness or exercise studios, and similar uses exceeding 1,800 square feet in gross floor area; and (B) Learning centers intended for individual or small group settings. A conditional use permit is required for fitness or exercise studios, and similar uses exceeding 1,800 square feet in gross floor area in Town and Country Village Shopping Center. (7) In the Midtown Shopping District and Charleston Shopping Center, only “neighborhood serving office” uses are permitted, and a CUP is required for office uses exceeding 2,500 sq. ft. (8) In the Midtown Shopping District and Charleston Shopping Center, a conditional use permit is required for retail uses above 20,000 sq. ft. and eating and drinking services above 5,000 sq. ft. [. . .] (c) CN District: Special Use Requirements in the Charleston and Midtown Shopping Centers The following regulations shall apply to areas of Charleston Center and the Midtown Shopping Center as defined in Section 18.16.030. Table 2 shows the uses permitted and conditionally permitted on the ground floor of the applicable areas of the Charleston Center and Midtown Shopping Centers. Permitted and conditional uses specified in subsection (a) of this section shall only apply to the ground floor of the areas of the Charleston and Midtown Shopping Centers as listed in Table 2. Uses lawfully existing on January 16, 2001 may be continued as non-conforming uses but may only be replaced with uses permitted or conditionally permitted under this subsection. TABLE 2 CHARLESTON AND MIDTOWN SHOPPING CENTERS GROUND FLOOR USES P = Permitted Use CUP = Conditional Use Permit Required X = Prohibited Use LAND USES Charleston Shopping Center Midtown Shopping Center Subject to Regulations in: ACCESSORY AND SUPPORT USES Accessory facilities and uses customarily incidental to permitted uses. P P EDUCATIONAL, RELIGIOUS, AND ASSEMBLY USES Churches and Religious Institutions CUP CUP Private Educational Facilities CUP CUP MANUFACTURING AND PROCESSING USES Recycling Centers CUP CUP OFFICE USES Neighborhood-serving offices that do not exceed 2,500 square feet in floor area. P 18.16.050 Neighborhood-serving offices exceeding 2,500 square feet in floor area. CUP 18.16.050 Revises and replaces Table 5 in section (f) of 18.16.060 Development Standards.Integrated Charleston and Midtown use allowances into Table 1 above. Deleting this section means that Table 1 and the related footnotes will regulate uses in Midtown and Charleston Shopping Centers. Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 180     9 *NOT YET APPROVED* LAND USES Charleston Shopping Center Midtown Shopping Center Subject to Regulations in: Administrative office uses and general business office uses (other than neighborhood-serving travel agencies and insurance agencies) other than those legally in existence on January 16,2001 X X 18.16.050 Medical offices not exceeding 2,500 square feet in area, professional offices, travel agencies, and insurance agencies CUP 18.16.050 PUBLIC/QUASI-PUBLIC USES Utility Facilities essential to provision of utility services but excluding construction or storage yards, maintenance facilities, or corporation yards. CUP CUP RECREATION USES Commercial Recreation CUP CUP 18.40.160 Outdoor Recreation Services CUP CUP Private Clubs, Lodges, or Fraternal Organizations CUP CUP RESIDENTIAL USES Residential uses of any nature X X RETAIL USES Eating and Drinking Services, excluding drive-in and take-out services P P 18.40.160 Retail Services, excluding liquor stores P P 18.40.160 Liquor stores CUP CUP 18.40.160 SERVICE USES Ambulance Services CUP CUP Animal Care, excluding boarding and kennels P P Automobile Service Stations CUP CUP 18.30(G) Convalescent Facilities CUP CUP Day Care Centers P P 18.40.160 Financial Services CUP CUP Mortuaries CUP CUP Neighborhood Business Services P P Personal Services P P 18.40.160 Reverse Vending Machines P P TEMPORARY USES Farmers’ Markets CUP CUP Temporary Parking Facilities, provided that such facilities shall remain no more than five years. CUP CUP P = Permitted Use CUP = Conditional Use Permit Required X = Prohibited Use (d) Charleston Shopping Center Additional Use Restrictions Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 181     10 *NOT YET APPROVED* (1) Any office use first occupying space at the Center on or after January 16, 2001, shall obtain a written determination from the director of planning and development services that it qualifies as a neighborhood serving use, as defined in this chapter, before occupying its premises. The applicant shall submit such information as the director shall reasonably require in order to make the determination, and the director shall issue the determination within 30 days of receiving a complete application. Failure to submit the required information shall be grounds for determining that a business is not neighborhood-serving. (2) No more than 7,850 square feet of total floor area at the Center shall be occupied by office uses at any time. (3) Prior to approving a conditional use permit for neighborhood-serving offices larger than 2,500 square feet in total floor area, the city shall find that the proposed use will be neighborhood-serving, that it will be conducted in a manner that will enhance and strengthen the Center as a neighborhood resource, and that it will not diminish the retail strength of the center. (e) Midtown Shopping Center: Additional Use Restrictions (1)An existing ground floor office may be replaced with another office if (a)the new tenant or owner will continue the existing business or practice; or (b) a conditional use permit is issued for the new office use. (2) No conditional use permit shall be issued for any new office use on the ground floor unless, in addition to the findings required for a conditional use permit as specified in Section 18.76.010, the city finds that the proposed use will be neighborhood serving, that it will be conducted in a manner that will enhance and strengthen the Midtown Shopping District as a neighborhood resource, and that it will not diminish the retail strength of the District. (3) For properties at 711, 719, and 721 Colorado Avenue, and 689 Bryson Avenue , buildings not fronting on Middlefield Avenue, designed and used for office purposes, and not well suited to other uses are exempt from the provisions of this subsection (b). 18.16.050 Office Use Restrictions The following restrictions shall apply to office uses: (a) Conversion of Ground Floor Housing and Non-Office Commercial to Office Medical, Professional, and Business offices shall not be located on the ground floor, unless any of the following apply to such offices: (1) Have been continuously in existence in that space since March 19, 2001, and as of such date, were neither non-conforming nor in the process of being amortized pursuant to Chapter 18.30(I); (2) Occupy a space that was not occupied by housing, neighborhood business service, retail services, personal services, eating and drinking services, or automotive service on March 19, 2001 or thereafter; (3) Occupy a space that was vacant on March 19, 2001; (4) Are located in new or remodeled ground floor area built on or after March 19, 2001 if the ground floor area devoted to housing, retail services, eating and drinking services, personal services, and automobile services does not decrease; (5) Are on a site located in an area subject to a specific plan or coordinated area plan, which specifically allows for such ground floor medical, professional, and general business offices; or Remove onerous and subjective findings and standards, and replace with proposed "neighborhood-serving" office limitation, tenant size triggers for CUP, and finding related to district purposes. Note, the Retail Preservation Ordinance provides overlapping and similar regulations as this subsection by prohibiting office uses from replacing existing retail and retail- like uses. Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 182     11 *NOT YET APPROVED* (6) Are located anywhere in Building E or in the rear 50% of Building C or D of the property at the southeast corner of the intersection of Park Boulevard and California Avenue, as shown on sheet A2 of the plans titled “101 California Avenue Townhouse/Commercial/Office, Palo Alto, CA” by Crosby, Thornton, Marshall Associates, Architects, dated June 14, 1982, revised November 23, 1982, and on file with the Department of Planning and Development Services. (a)The following office use restrictions shall apply to in the Midtown Shopping District and Charleston Shopping Center: (1)The only office uses permitted are “neighborhood serving office” uses. (2)Prior to approving a conditional use permit for neighborhood-serving offices larger than 2,500 square feet in total floor area, the city shall find that the proposed use will be neighborhood-serving and consistent with the purposes of the zoning district (3)In the Midtown Shopping District, for properties at 711, 719, and 721 Colorado Avenue, and 689 Bryson Avenue, buildings not fronting on Middlefield Avenue, designed and used for office purposes, and not well suited to other uses are exempt from the provisions of this subsection. (b)Size Restrictions on Office Uses in the CN and CS Districts (other than Midtown Shopping District and Charleston Shopping Center): (1)In the CN district, office uses shall be governed by the following regulations: (A)Total floor area of permitted office uses on a lot shall not exceed 25% of the lot area, provided: (i)A lot shall be permitted to have at least a total floor area of 2,500 square feet of office uses, provided the uses meet all other zoning regulations. (ii)No lot shall be permitted to have more than a total floor area of 5,000 square feet of office uses. (B)Such uses may be allowed to exceed the maximum size, subject to issuance of a conditional use permit in accord with the provisions of Chapter 18.76. The maximum size for any conditional use shall be established by the director and specified in the conditional use permit for such use. (2)In the CS district, office uses shall be governed by the following regulations: (A)No lot shall be permitted to have more than a total floor area of 5,000 square feet of office uses. (B)Such uses may be allowed to exceed the maximum size, subject to issuance of a conditional use permit in accord with the provisions of Chapter 18.76. The maximum size for any conditional use shall be established by the director and specified in the conditional use permit for such use. 18.16.060 Development Standards [. . .] (f) Size of Establishments in the CN District In the CN district, permitted commercial uses shall not exceed the floor area per individual use Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 183     12 *NOT YET APPROVED* or business establishment shown in Table 5. Such uses may be allowed to exceed the maximum establishment size, subject to issuance of a conditional use permit in accord with Section 18.76.010. The maximum establishment size for any conditional use shall be established by the director and specified in the conditional use permit for such use. TABLE 5 MAXIMUM SIZE OF ESTABLISHMENT Type of Establishment Maximum Size (ft 2 ) Personal Services 3,000 Retail services, except grocery stores 15,000 Grocery stores 20,000 Eating and drinking services 5,000 Neighborhood business services 3,000 [. . .] SECTION 6. Sections 18.18.050 (Land Uses) and 18.18.060 (Development Standards) of Chapter 18.18 (Downtown Commercial (CD) District) of Title 18 (Zoning) of the Palo Alto Municipal Code are hereby amended as follows (additions underlined; deletions struck-through; text omitted but unchanged noted by bracketed ellipses): 18.18.050 Land Uses The uses of land allowed by this chapter in each commercial zoning district are identified in the following table. Land uses that are not listed on the tables are not allowed, except where otherwise noted. Where the last column on the following tables (“Subject to Regulations in”) includes a section number, specific regulations in the referenced section also apply to the use; however, provisions in other sections may apply as well. For parcels designed with the -GF combining district, refer to 18.30(C) for ground-floor use regulations. Permitted and conditionally permitted land uses for the CD district are shown in Table 1: Table 1 CD Permitted and Conditionally Permitted Uses P Permitted Use • CUP Conditional Use Permit Required CD-C CD-S CD-N Subject to regulations in: ACCESSORY USES Accessory facilities and activities associated with or essential to permitted uses, and operated incidental to the principal use P P P Drive-in or Take-out Services associated with permitted uses (2) CUP CUP CUP Tire, battery, and automotive service facilities, when operated incidental to a permitted retail service or shopping center having a gross floor area of more than 30,000 square feet CUP 18.40.160 Safe Parking 18.42.160 EDUCATIONAL, RELIGIOUS, AND ASSEMBLY USES Integrated the following into Table 1 above by adding footnotes re: retail uses (including grocery stores) and eating and drinking services). CUP limitations have not been proposed on personal services or neighborhood business services to provide more flexibility. Revised permit levels and added uses to provide more flexibility in the types of uses permitted. Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 184     13 *NOT YET APPROVED* Table 1 CD Permitted and Conditionally Permitted Uses P Permitted Use • CUP Conditional Use Permit Required CD-C CD-S CD-N Subject to regulations in: Business and Trade Schools P P Churches and Religious Institutions P P P Private Educational Facilities P P CUP Private Clubs, Lodges, or Fraternal Organizations P P CUP MANUFACTURING AND PROCESSING USES Recycling Centers CUP CUP CUP Warehousing and Distribution CUP OFFICE USES Administrative Office Services P 18.18.060(f) Medical, Professional, and General Business Offices P P P 18.18.060(f) PUBLIC/QUASI-PUBLIC FACILITY USES Utility Facilities essential to provision of utility services but excluding construction or storage yards, maintenance facilities, or corporation yards CUP CUP RECREATION USES Commercial Recreation CUP(3) CUP(3) CUP(3) Outdoor Recreation Services CUP CUP CUP RESIDENTIAL USES Multiple-Family P (1) P (1) P (1) 18.18.060(b) Home Occupations P P P Residential Care Homes P P P RETAIL USES Bars CUP 18.42.090 Eating and Drinking Services, except drive-through drive-in or take-out services P P P 18.18.060(g) , 18.40.160 18.42.090 Retail Services, excluding liquor stores P P P 18.18.060(g) , 18.40.160 Shopping Centers P 18.18.060(g) , 18.40.160 Liquor Stores P P CUP 18.40.160 SERVICE USES Animal Care, excluding boarding and kennels daytime P P P 18.42.130 Ambulance Services CUP CUP CUP 18.30(G) Automobile Service Stations CUP CUP CUP Automobile Services CUP Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 185     14 *NOT YET APPROVED* Table 1 CD Permitted and Conditionally Permitted Uses P Permitted Use • CUP Conditional Use Permit Required CD-C CD-S CD-N Subject to regulations in: Automobile Showrooms P P P Convalescent Facilities P P CUP Day Care Centers P P P 18.40.160 Small Family Day Care Homes P P P Large Family Day Care Homes P P P Small Adult Day Care Homes P P P Large Adult Day Care Homes Financial Services, except drive-up services P P CUP General Business Services CUP P P Hotels P P P 18.18.060(d) , 18.40.160 Mortuaries P P CUP Personal Services P(4) P(4) P(3)(4) 18.18.060(g) , 18.40.160 Reverse Vending Machines P P P TRANSPORTATION USES Parking as a principal use CUP CUP Passenger Transportation Terminals CUP TEMPORARY USES Indoor Farmers’ Markets CUP CUP CUP Temporary Parking Facilities, provided that such facilities shall remain no more than five years CUP CUP CUP P Permitted Use CUP Conditional Use Permit Required (1) Residential is only permitted as part of a mixed use development, pursuant to the provisions of Section 18.18.060(b), or on sites designated as Housing Opportunity Sites in the Housing Element of the Comprehensive Plan, pursuant to the provisions of Section 18.18.060(c). (2)Drive-up facilities, excluding car washes, provide full access to pedestrians and bicyclists. A maximum of two such services shall be permitted within 1,000 feet and each use shall not be less than 150 ft from one another. (3) A conditional use permit is required for personal services over 5,000 sq. ft. (3) A conditional use permit is not required for commercial recreation uses up to 5,000 square feet of gross floor area, with the following exceptions, for which a conditional use permit is always required: (A) medical office fronting on University Avenue; (B) commercial recreation uses fronting on University Avenue. (4)A conditional use permit is required for the following uses when fronting on University Avenue: (A) Fitness or exercise studios, and similar uses; and (B) Learning centers intended for individual or small group settings. Revises and replaces Table 4 below Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 186     15 *NOT YET APPROVED* 18.18.060 Development Standards [. . .] (g) Restrictions on Size of Commercial Establishments in CD-N Subdistrict In the CD-N subdistrict, permitted commercial uses shall not exceed the floor area per individual use or business establishment shown in Table 4. Such uses may be allowed to exceed the maximum establishment size, subject to the issuance of a conditional use permit in accordance with Chapter 18.76. The maximum establishment size for any conditional use shall be established by the director and specified in the conditional use permit for such use. TABLE 4 MAXIMUM SIZE OF ESTABLISHMENT Type of Establishment Maximum Size (ft 2 ) Personal Services 3,000 Retail services, except grocery stores 15,000 Grocery stores 20,000 Eating and drinking services 5,000 [. . .] SECTION 7. Section 18.29.050 (Permitted Uses) of Chapter 18.29 (North Ventura (NV) District Regulations) of Title 18 (Zoning) of the Palo Alto Municipal Code is hereby amended as follows (additions underlined; deletions struck-through; text omitted but unchanged noted by bracketed ellipses): 18.29.050 Permitted Uses The uses of land allowed by this chapter in each zoning district are identified in the following tables. Land uses that are not listed in the tables are not allowed, except where otherwise noted. Where the last column on the following tables ("Subject to Regulations in") includes a section number, specific regulations in the referenced section also apply to the use; however, provisions in other sections not specifically referenced may apply as well. TABLE 1: PERMITTED AND CONDITIONALLY PERMITTED USES P = Permitted Use CUP = Conditional Use Permit Required TUP = Temporary Use Permit Required — = Not Permitted LAND USE NV-R1 NV-R2 NV-R3 NV-R4 NV-MXL (1)(5) NV-MXM (5) NV-MXH NV-PF Subject to Regulations In: ACCESSORY AND SUPPORT USES 18.40 Accessory facilities and activities customarily incidental to the P P P P P P P - 18.10.080 permitted use 18.12.080 Moved personal services CUP trigger to Table 1 and increased maximum size to 5,000 sq. ft. to increase flexibility. Remaining CUP triggers are unnecessarily restrictive given the CD-N parcel sizes and development standards which will generate smaller footprint buildings and limited massing (max 0.9 FAR and 35- foot building height). Moreover, new buildings will be subject to design review. Revised permit levels and added uses to provide more flexibility in the types of uses permitted. Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 187     16 *NOT YET APPROVED* TABLE 1: PERMITTED AND CONDITIONALLY PERMITTED USES P = Permitted Use CUP = Conditional Use Permit Required TUP = Temporary Use Permit Required — = Not Permitted LAND USE NV-R1 NV-R2 NV-R3 NV-R4 NV-MXL (1)(5) NV-MXM (5) NV-MXH NV-PF Subject to Regulations In: Accessory Dwelling Unit & Junior Accessory Dwelling Unit when accessory to primary and permitted residential use P P P P P P P - 18.09 Home Occupations, when accessory to permitted residential use P P P P P P P P 18.42 Horticulture, Gardening, and Growing of food products for consumption by occupants of a site P P P P P P P - EDUCATIONAL, RELIGIOUS, AND ASSEMBLY USES Private Clubs, Lodges, or Fraternal Organizations, excluding any such facility operated as a business for profit - - - CUP CUP - - - Private Educational Facilities CUP CUP CUP CUP CUP P P - Religious Institutions CUP CUP CUP CUP P P P - OFFICE USES(2) Administrative Office Services - - - - P P P - 18.29.050(a) Medical Offices - - - - P P P - 18.29.050(a) Professional and General Business Offices - - - - P P P - 18.29.050(a) PUBLIC/QUASI-PUBLIC USES Community Centers CUP CUP CUP CUP - - - CUP (3) Utility Facilities essential to provision of utility services but excluding construction or storage yards, maintenance facilities, or corporation yards. CUP CUP CUP CUP CUP CUP CUP - RECREATION USES Neighborhood Recreational Centers - - CUP CUP - - - CUP(3) Commercial Recreation - - - - CUP CUP CUP CUP(3) Outdoor Recreation Services CUP CUP CUP CUP - CUP CUP CUP(3) Youth Clubs - - - - - - - CUP(3) RESIDENTIAL USES Single-Family P P - - - - - - Two-Family P P - - - - - - 18.42.180 Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 188     17 *NOT YET APPROVED* TABLE 1: PERMITTED AND CONDITIONALLY PERMITTED USES P = Permitted Use CUP = Conditional Use Permit Required TUP = Temporary Use Permit Required — = Not Permitted LAND USE NV-R1 NV-R2 NV-R3 NV-R4 NV-MXL (1)(5) NV-MXM (5) NV-MXH NV-PF Subject to Regulations In: Multiple-Family - - P P P P P P (4) Residential Care Homes P P P P P P P - RETAIL USES Bars CUP 18.42.090 Eating and Drinking Services, except drive-through drive-in and takeout services - - P P P P P CUP (3) 18.40.160, 18.29.050(c) Personal Services and Retail Services of a neighborhood- serving nature - - P P P P P CUP (3) 18.40.160, 18.29.050(c) Liquor stores - - - - - P P - 18.40.160, 18.29.050(c) SERVICE USES Animal Care, daytime excluding boarding and kennels - - - - P P P - 18.29.050(c) 18.42.130 Animal Care, overnight CUP CUP CUP 18.42.130 Automobile Showroom P Convalescent Facilities - - - CUP P P P - Day Care Centers CUP CUP CUP P P P P - 18.40.160 Large Family Day Care Homes P P P P P P P P(3) Small Family Day Care Homes P P P P P P P P(3) Large Adult Day Care Homes CUP CUP P P P P P P(3) Small Adult Day Care Homes P P P P P P P P(3) Financial Services - - - - P P P - 18.29.050(a), 18.29.060(b) General Business Services - - - - P P P - 18.29.050(a), 18.29.060(b) Hotels - - - - - P P - 18.40.160, 18.16.060(d) Personal Services - - - - P P P - 18.40.160, 18.29.050(c), 18.29.060(b) AGRICULTURAL AND OPEN SPACE USES Park uses and uses incidental to park operation - - - - - - - P Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 189     18 *NOT YET APPROVED* TABLE 1: PERMITTED AND CONDITIONALLY PERMITTED USES P = Permitted Use CUP = Conditional Use Permit Required TUP = Temporary Use Permit Required — = Not Permitted LAND USE NV-R1 NV-R2 NV-R3 NV-R4 NV-MXL (1)(5) NV-MXM (5) NV-MXH NV-PF Subject to Regulations In: All facilities owned or leased, and operated or used, by the City of Palo Alto, the County of Santa Clara, the State of California, the government of the United States, the Palo Alto Unified School District, or any other governmental agency, or leased by any such agency to another party - - - - - - - P Utility Facilities - - - - - - - CUP TEMPORARY USES Temporary Uses - - TUP TUP - - - - 18.42.050 Farmer’s Markets - - - - - CUP CUP - Temporary Parking Facilities, provided that such facilities shall remain no more than five years - - - - - CUP CUP CUP (3) Notes: For NV-MXL zoning district, the total floor area of non-residential uses permitted and conditionally permitted on a lot shall not exceed 5,000 square feet. For office uses, total floor area of permitted office uses on a lot shall not exceed 5,000 square feet. Provided such use is conducted on property owned by the City of Palo Alto, the County of Santa Clara, the State of California, the government of the United States, the Palo Alto Unified School District, or any other governmental agency, and leased for said uses. Only a 100% Affordable Housing Project is permitted. Development shall follow NV-R4 standards. Ground floor uses shall comply with the ground floor edge framework set forth in NVCAP section 2.3. … SECTION 8. Chapter 18.30(A) (Retail Shopping (R) Combining District Regulations) of Title 18 (Zoning) of the Palo Alto Municipal Code is hereby amended as follows (additions underlined; deletions struck-through; text omitted but unchanged noted by bracketed ellipses): 18.30(A).010 Specific Purposes The retail shopping combining district is intended to modify the uses allowed in a commercial district, where applied in combination with such district, to allow only retail, eating, and service- oriented, and neighborhood-serving office commercial development on the ground floors [. . .] 18.30(A).040 Permitted Uses Land Uses Except to the extent a conditional use permit is required pursuant to Section 18.30(A).050, the following uses shall be permitted in an R district: Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 190     19 *NOT YET APPROVED* (a)Eating and drinking services, except drive-in and take-out services. (b) or exercise studios exceeding 1,800 square feet in gross floor area (c)Retail services. (d)Financial services, except drive-in services. (e)Pet grooming services. (f)Automobile showroom. (g)All other uses permitted in the underlying commercial district, provided they are not located on a ground floor. Permitted and conditionally permitted land uses in the combining district are identified in Table 1. Where the last column on the following tables ("Subject to Regulations in") includes a section number, specific regulations in the referenced section also apply to the use. Conditional use permits shall be issued in accordance with Chapter 18.76 (Permits and Approvals), subject to restrictions in Section 18.40.160. Table 1 P Permitted Use • CUP Conditional Use Permit Required (R) Subject to regulations in: OFFICE USES Medical offices, that include retail services, fronting California Avenue CUP Neighborhood-serving offices, as defined in 18.16.030, except fronting California Avenue. P 18.30(A).055(b) RECREATION USES Commercial recreation, fronting California Avenue CUP Commercial recreation, other locations P RETAIL USES Bars CUP 18.42.090 Eating and drinking services, except drive-through services P 18.42.090 Formula retail businesses on California Avenue CUP Retail financial services, except drive-through services. P Retail services P SERVICE USES Animal care, daytime P 18.42.130 Automobile showrooms P 18.42.130 Personal services P OTHER All other uses permitted in the underlying commercial district, provided they are not located on a ground floor. CUP See underlying district regulations 18.30(A).050 Conditional Uses The following uses may be conditionally permitted in an R district, subject to the issuance of a conditional use permit in accord with Chapter 18.76 (Permits and Approval): Replace narrative list of P/CUP uses, with table. Revised permit levels and added uses (e.g., bars, neighborhood- se) to provide more flexibility. Table 1 below removes this exception for fitness. This change would allow fitness studios up to 5,000 sq. ft. by right. Beyond 5,000 sq. ft. fitness is classified as commercial recreation which would require a CUP. Personal services, except the following on California Avenue: fitness Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 191     20 *NOT YET APPROVED* (a) All other conditional uses allowed in the underlying commercial district provided they are not located on a ground floor. (b) Formula retail businesses on California Avenue. (c)Fitness or exercise studios exceeding 1,800 square feet in gross floor area on California Avenue. 18.30(A).055050 Design Standards (a)The following design standards shall apply in the R combining district: (a) (1) Exterior windows on the ground floor shall use transparent glazing to the extent feasible. Low-e glass or minimal tinting to achieve sun control is permitted, so long as the glazing appears transparent when viewed from the ground level. (b) (2) Window coverings are not permitted on the ground floor during typical business hours. Where operations preclude transparency (e.g., theaters) or where privacy requires window coverings, sidewalk-facing frontage shall include items of visual interest including displays of merchandise or artwork; visual access shall be provided to a minimum depth of 3 feet. (b) On California Avenue, neighborhood-serving office uses shall be located behind a retail use permitted or conditionally permitted in this subsection and must meet the following standards: (1) Retail uses shall occupy a minimum 30-foot depth of the ground floor, as measured from the ground floor street frontage; and (2) Retail uses shall occupy the full extent of the California Avenue building frontage, excluding required utilities, driveways, pedestrian access and residential lobby. [. . .] 18.30(A).070 Waivers and adjustments. (a) The following shall be grounds for a request for waiver or adjustment of this Chapter: (1) Economic Hardship. An applicant may request that the requirements of this Chapter be adjusted or waived upon a showing that strict application would result in an unreasonable financial burden on the property. (2) Alternative Viable Use. An applicant may request that the requirements of this Chapter 18.30(A) be adjusted or waived based on a showing that: the permitted retail or retail-like use is not viable; the proposed alternative use will support the purposes of the combining district and Comprehensive Plan land use designation; and the proposed use will encourage active pedestrian-oriented activity and connections. (b) Documentation. The applicant shall bear the burden of presenting substantial evidence to support a waiver or modification request under this section and shall set forth in detail the factual and/or legal basis for the claim, including all supporting technical documentation. Any request under this section shall be submitted to the Planning and Development Services Director together with the fee specified in the municipal fee schedule and an economic analysis or other supporting documentation. A request under this section shall be acted upon by the City Council. Allows neighborhood- serving office, but not fronting Cal Ave.--only beyond the first 30-foot depth as an objective standard Remove Waiver and Adjustments section entirely to make regulations unambiguous and acknowledge that the City is expanding permitted uses. Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 192     21 *NOT YET APPROVED* SECTION 9. Chapter 18.30(C) (Ground Floor (GF) Combining District Regulations) of Title 18 (Zoning) of the Palo Alto Municipal Code is hereby amended as follows (additions underlined; deletions struck-through; text omitted but unchanged noted by bracketed ellipses): [. . .] 18.30(C).020 Permitted Uses Land Uses (a) The following uses shall be permitted in the GF combining district, subject to restrictions in Section 18.40.180: (1) Eating and drinking; (2) Hotels; (3) Personal services, except for the following on parcels with frontage on University Avenue: fitness and exercise studios exceeding 3,000 square feet in gross floor area; (4) Retail services; (5) Theaters; (6) Travel agencies; (7) Commercial recreation up to 5,000 square feet in gross floor area, except for parcels with frontage on University Avenue; (8)Financial services, except drive-in services. (9)Pet grooming services. (10)Automobile showroom. (11)All other uses permitted in the underlying district, provided such uses are not on the ground floor. (a)Permitted and conditionally permitted land uses in the combining district are identified in Table 1 and, subject to restrictions in Section 18.40.180. Where the last column on the following tables ("Subject to Regulations in") includes a section number, specific regulations in the referenced section also apply to the use. (b)Elimination or conversion of basement space currently in retail or retail-like use or related support purposes is prohibited. (c)Entrance, lobby, or reception areas serving non-ground floor uses may be located on the ground floor to the extent reasonably necessary, provided they do not interfere with the ground floor use(s), and subject to the approval of the Director. 18.30(C).030 Conditional Uses (a) The following uses may be conditionally allowed on the ground floor in the GF ground floor combining district, subject to issuance of a conditional use permit in accord with Chapter 18.76 (Permits and Approvals) and with the additional finding required by subsection (b), subject to restrictions in Section 18.40.160: (1) Business or trade school; (2) Commercial recreation over 5,000 square feet in gross floor area or with frontage on University Avenue; (3) Day care; (4) General business service; (5) All other uses conditionally permitted in the applicable underlying district, provided such uses are not on the ground floor. Table 1 below removes this exception for fitness. This change would allow fitness studios up to 5,000 sq. ft. by right. Beyond 5,000 sq. ft. fitness is classified as commercial recreation which would require a CUP. Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 193     22 *NOT YET APPROVED* (b d) The director may grant a conditional use permit under this section only if he or she makes the following findings finds, in addition to the findings required by Chapter 18.76 (Permits and Approvals), that: (1) The location, access or design of the ground floor space of the existing building housing the proposed use, creates exceptional or extraordinary circumstances or conditions applicable to the property involved that do not apply generally to property in the same district. (2) Tthe proposed use will not be determined to the retail environment or the pedestrian- oriented design support the objectives of the GF combining district. (c e) Any use conditionally permitted pursuant to this section shall be effective only during the existence of the building that created the exceptional circumstance upon which the finding set forth in subsection (b) was made. Table 1 P Permitted Use • CUP Conditional Use Permit Required (GF) Subject to regulations in: EDUCATIONAL, RELIGIOUS, AND ASSEMBLY USES Business or trade school CUP OFFICE USES Medical offices, that include retail services, fronting University Avenue CUP Neighborhood-serving offices, as defined in 18.16.030, except fronting University Avenue. P 18.30(C).035(b) RECREATION USES Commercial recreation, up to 5,000 sq. ft. P Commercial recreation, more than 5,000 sq. ft. CUP Commercial recreation, fronting University Avenue CUP RETAIL USES Bars CUP 18.42.090 Eating and drinking services, except drive-through services P 18.42.090 Formula retail businesses on California Avenue CUP Retail financial services, except drive-through services. P Retail services P SERVICE USES Animal care, daytime P Automobile showrooms P Day care centers CUP General business service CUP Personal services P Theaters P Travel Agencies P Replace narrative list of P/CUP uses, with table. Revised permit levels and added uses (e.g., bars, neighborhood- serving offices) to provide more flexibility. Remove onerous and subjective findings. Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 194     23 *NOT YET APPROVED* OTHER All other uses permitted in the underlying commercial district, provided they are not located on a ground floor. CUP See underlying district regulations 18.30(C).035030 Design Standards (a)Where the GF combining district is combined with the CD-C subdistrict, the following design standards shall apply: (a) (1) Exterior windows on the ground floor shall use transparent glazing to the extent feasible. Low-e glass or minimal tinting to achieve sun control is permitted, so long as the glazing appears transparent when viewed from the ground level. (b) (2) Window coverings are not permitted on the ground floor during typical business hours. Where operations preclude transparency (e.g., theaters) or where privacy requires window coverings, sidewalk-facing frontage shall include items of visual interest including displays of merchandise or artwork; visual access shall be provided to a minimum depth of 3 feet. (b) On University Avenue, neighborhood-serving office uses shall be located behind a retail use permitted or conditionally permitted in this subsection and must meet the following standards: (1) Retail use shall occupy a minimum 50-foot depth of the ground floor, as measured from the University Avenue ground floor street frontage; and (2) Retail use shall occupy the full extent of the University Avenue building frontage, excluding required utilities, driveways, pedestrian access and residential lobby. [. . .] 18.30(C).050 Waivers and adjustments. (a) The following shall be grounds for a request for waiver or adjustment of this Chapter: (1) Economic Hardship. An applicant may request that the requirements of this Chapter be adjusted or waived upon a showing that strict application would result in an unreasonable financial impact on the property. (2) Alternative Viable Use. An applicant may request that the requirements of this Chapter 18.30(A) be adjusted or waived based on a showing that: the permitted retail or retail-like use is not viable; the proposed alternative use will support the purposes of the combining district and Comprehensive Plan land use designation; and the proposed use will encourage active pedestrian-oriented activity and connections. (b) Documentation. The applicant shall bear the burden of presenting substantial evidence to support a waiver or modification request under this section and shall set forth in detail the factual and/or legal basis for the claim, including all supporting technical documentation. Any request under this section shall be submitted to the Planning and Development Services Director together with the fee specified in the municipal fee schedule and an economic analysis or other supporting documentation. A request under this section shall be acted upon by the City Council. SECTION 10. Section 18.38.030 (Permitted Uses) of Chapter 18.38 (PC Planned Community District Regulations) of Title 18 (Zoning) of the Palo Alto Municipal Code is hereby amended as follows (additions underlined; deletions struck-through): Remove Waiver and Adjustments section entirely to make regulations unambiguous and acknowledge that the City is expanding permitted uses. Allows neighborhood- serving office, but not fronting University Ave.-- only beyond the first 50-foot depth as an objective standard Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 195     24 *NOT YET APPROVED* 18.38.030 Permitted uses. Any use may be permitted in any specific PC district; provided: (a)Such such use is shall be specifically listed as a permitted use and shall be located and conducted in accord with the approved development plan and other applicable regulations adopted pursuant to this chapter to govern each specific PC district; or (b)The Director may determine that an unlisted use is materially similar to a listed use in the specific PC district and may be allowed in the same extent and subject to the same standards as a listed permitted use, if it has: (1)Similar impacts on the neighborhood such as traffic generation, deliveries, noise and lighting as listed uses; and (2)Similar characteristics such as building type, site arrangement, floor area, number of employees, indoor and/or outdoor uses, customer traffic, equipment use, hours of operation, parking, vehicle trips and signage as listed uses. SECTION 11. Section 18.40.180 (Retail Preservation) of Chapter 18.40 (General Standards and Exceptions) of Title 18 (Zoning) of the Palo Alto Municipal Code is hereby amended as follows (additions underlined; text omitted but unchanged noted by bracketed ellipses): 18.40.180 Retail Preservation (a)Conversion of Retail and Retail-Like Uses Prohibited. (1)Any ground floor Retail or Retail-Like use permitted or operating as of March 2, 2015 may be replaced only by another Retail or Retail-Like use, as permitted in the applicable district. (A)A ground floor Retail or Retail-Like use in the RT-35 district on properties with frontage on Alma Street between Channing Avenue and Lincoln Avenue may additionally be replaced by a Private Educational Facility use, provided that such use shall not be thereafter replaced by an Office use. (B)This subsection shall not apply to the following zoning districts: (I)Residential zones: RM-30, RM-40, NV-R3, NV-R4 (II)Office/manufacturing zones: ROLM, ROLM(E), RP, RP(5), GM [. . .] SECTION 12. Section 18.42.090 (Alcoholic Beverages) of Chapter 18.40 (General Standards and Exceptions) of Title 18 (Zoning) of the Palo Alto Municipal Code are hereby amended and Section 18.42.130 (Animal Care) is hereby added as follows (additions underlined; deletions struck-through; text omitted but unchanged noted by bracketed ellipses): 18.42.090 Alcoholic Beverages (a)Purpose This subsection establishes permit requirements and standards for establishments with alcoholic beverage sales or service. This provision would remove 22 sites from applicability to the RP. These are primarily GM zoned sites on and near San Antonio Rd. plus two residentially zoned - sites, occupied by a hotel and daycare. Allows the Director to determine whether an unlisted use may be permitted in a PC district, based on similar impacts and characteristics. Allows alcohol incidental to food by right and applies regulations for bars . Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 196     25 *NOT YET APPROVED* (b)Licensing Establishments with alcoholic beverage sales or service shall comply with all applicable regulations of the California Department of Alcoholic Beverage Control. (c)Permits Required Table 1 shows permits required for alcoholic beverage service depending on the use classification and type of alcohol service. Table 1 Permits Required for Alcoholic Beverage Services Use Classification Beer and Wine Distilled Spirits Eating and Drinking Service P P Bar CUP CUP (a)Conditional Use Permit Required in Tandem with On-Sale License In any district where otherwise permitted by this title, any eating and drinking establishment or other use having any part of its operation subject to an on-sale license required by the State of California shall be subject to securing a conditional use permit. (b) Conditional Use Permit Required with New On-Sale License A conditional use permit shall be obtained in the case of premises for which no conditional use permit is in force, whenever a new on-sale license is required by the State of California. (c)(d) Amendment to Conditional Use Permit Required with Expansion In the case of premises for which a conditional use permit is in force, which permits the sale of alcohol, but Table 1 permits a less restrictive requirements, an administrative amendment to such permit shall be required whenever such use is intensified or is expanded in square footage. (d)(e) Amendment to Conditional Use Permit Required with New On-Sale License In the case of premises for which a conditional use permit is in force, but such use permit does not permit sales of alcohol, compliance with the permit level identified in Table 1 an amendment to such permit shall be required whenever a new on-sale license is required by the State of California. (e)(f) Alcohol Service in Parklets on Rights-of-Way Establishments that are allowed by the city to serve alcohol for onsite consumption by issuance of a conditional use permit (“CUP”) as required in pursuant to this section or as a legal nonconforming use, and that have both an on-sale license from the Department of Alcoholic Beverage Control (“ABC”) and are duly authorized by ABC to serve alcohol in outdoor areas, shall be allowed to serve alcohol for onsite consumption without an amendment of the CUP in parklets on public property approved via permit per PAMC Chapter 12.11 or other outdoor uses approved via permit per any other relevant section of the PAMC. Outdoor alcohol service shall be in full compliance with all applicable regulations, including ABC regulations, as may be amended. (g) Findings. To approve a CUP for alcoholic beverage sales or service, the decision-making body must make the following findings: (1)The number of alcoholic beverage sales licensees in the census tract does not exceed the limit set by the Department of Alcoholic Beverage Control, as defined in California Business and Professions Code Section 23958.4; and (2)At least one of the following: Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 197     26 *NOT YET APPROVED* (A)The proposed establishment will promote the City’s economic health, contribute to Comprehensive Plan or area plan policies, or further the zoning district purpose. (B)The economic benefits associated with the establishment could not reasonably be achieved without the proposed alcohol sales or service. (C)The applicant has operated a licensed establishment that has not been the subject of violations regarding alcohol, or violations of public safety or nuisance statutes or regulations in Palo Alto. In making this finding, the decision-making body may consider the number, frequency, and severity of prior violations, the time elapsed since the last violation, and other relevant factors. (h) Operational Conditions for Bars. Owners and operators of bars must meet the following performance standards: (1)Hours. Hours of operation are subject to review and amendment by the review authority as necessary to avoid detriment to the neighborhood or to achieve conformance with revised City of Palo Alto standards or policies. (2)Preventing Disturbances. The owner or operator of the establishment shall take reasonable measures to prevent disturbances by patrons in the immediate vicinity. Such measures shall include: (A)Signs reminding patrons of nearby sensitive receptors, such as residences, and requests not to congregate or loiter near such residences nor operate vehicles in a noisy manner on public streets; and (B)Sightlines to public areas near the establishment, keeping public areas free of trash and litter, providing lighting, and otherwise preventing conduct that might disturb the peace and quiet of residences in the vicinity. (C)The operator shall assume reasonable responsibility for ensuring that patrons do not block the entrance or interfere with pedestrian activity on the adjacent public sidewalk. (3)Training. All employees selling and/or serving alcoholic beverages, or directly supervising such sales and/or service, shall finish the Licensee Education on Alcohol and Drugs program, or another equivalent program offered or certified by the California Department of Alcoholic Beverage Control within 90 days of employment at the establishment. Employees who have finished the course within the last 12 months are exempt from this requirement. [. . .] 18.42.130 Animal Care (a) Purpose Conform with State licensing requirements and City regulations, regulate operations, and ensure compatibility with other allowed uses in the applicable zoning district. (b) Performance Standards Animal Care uses shall be subject to the following standards. Animal care uses subject to a Identifies performance standards for animal care uses. Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 198     27 *NOT YET APPROVED* conditional use permit may be required to meet additional standards such as hours of operation, drop-off and pick-up regulations, fencing and privacy standards, in particular for businesses with outdoor uses when adjacent to residential or other sensitive uses. (1)Animal Control Permit. The facility shall maintain a valid permit with Animal Control at all times, if required, and follow the guidelines of said permit all times. (2)Nuisances and noise. The business shall be operated in a manner to protect any nearby properties from excessive noise, odors, lighting or other nuisances from any sources during the business hours. Noise levels emanating from the use shall not exceed the maximum level established in Chapter 9.10. (3)Interior materials. The interior building surfaces of indoor housing facilities shall be constructed and maintained so that they are substantially impervious to moisture and may be readily sanitized. (4)Drainage. Adequate drainage facilities shall be installed and maintained to facilitate proper sanitation and disposal of natural precipitation and water used to clean the facility. (5)Ventilation. Indoor housing facilities shall be adequately ventilated to provide for the health and comfort of the animals at all times. Such facilities shall be provided with fresh air either by means of windows, doors, vents, or air conditioning and shall be ventilated so as to minimize drafts, odors, and moisture condensation. (6)Waste. Provision shall be made for the removal and disposal of animal and food wastes, bedding, dead animals, and debris, in accordance with applicable laws. Disposal facilities shall be covered and operated as to minimize odors and disease hazards. SECTION 13. Sections 18.52.030 (Basic Parking Requirements), 18.52.040 (Off-Street Parking, Loading and Bicycle Facility Requirements), and 18.52.050 (Adjustments by the Director) of Chapter 18.52 (Parking and Loading Requirements) of Title 18 (Zoning) of the Palo Alto Municipal Code are hereby amended as follows (additions underlined; deletions struck-through; text omitted but unchanged noted by bracketed ellipses): 18.52.030 Basic Parking Regulations [. . .] (i)Transportation Demand Management Plan (1)Requirement for TDM Plan: A Transportation Demand Management (TDM) Plan to reduce and manage the number of single-occupant motor vehicle trips generated by the project shall be prepared and submitted by the applicant in the following circumstances: A.For all projects that generate 50 or more net new weekday (AM or PM peak hour) or weekend peak hour trips; or B.For all projects claiming a reduction in net new trips due to proximity to public transit, exclusive of subsection (D); or or the implementation of a TDM plan; and Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 199     28 *NOT YET APPROVED* C.For all projects requesting a parking reduction, except a retail or retail-like use proposing an addition of less than 1,500 sq. ft. or change of use to other retail or retail-like; or D.For all projects with reduced parking pursuant to California Government Code Section 65863.2 (AB 2097, 2022), except a retail or retail-like use proposing an addition of less than 1,500 sq. ft. or change of use to other retail or retail-like. (2)The Director shall have the authority to adopt guidelines for preparing TDM plans and when applicable shall coordinate such guidelines with the Transportation Management Association. [. . .] 18.52.040 Off-Street Parking, Loading and Bicycle Facility Requirements [. . .] (c)Tables 1, 2, 3 and 34: Parking, Bicycle, and Loading Requirements Tables 1, 2 and 23 below outline vehicle and bicycle parking requirements in general and for Parking Assessment Districts, respectively. Where bicycle parking standards differ from California Green Building Standards for bicycle parking, the more stringent standards shall apply. Table 34 outlines loading requirements for each land use. For mixed-use projects, the requirements for each land use shall be applied and required for the overall project. Table 1 Minimum Off-Street Parking Requirements Use Vehicle Parking Requirement (# of spaces) Bicycle Parking Requirement Spaces Class 1 Long Term (LT) and Short Term (ST) … Eating and Drinking Services: (a) With drive-through drive-in or take-out facilities 1 per 200 sq. ft. of gross floor area, plus minimum queue line for 10 cars, subject to further evaluation for higher demand drive- through uses. 3 per 100 sq. ft. of gross floor area 3 per 400 sf 40% - LT 60% - ST (b) All others Eating and Drinking Service, Full Service 1 space for each 15060 gross floor area sq. ft. of public service area, plus 1 space for each 200 gross sq. ft. for all other areas. 1 per 600 sf of public service area, plus 1 per 2,000 sf for other areas 40% - LT 60% - ST (c) Eating and Drinking Service, Limited Service 1 space for each 250 gross floor area 1 per 2,000 sf 40% - LT 60% - ST (d) Bars 1 space for each 150 gross floor area 1 per 1,000 sf 40% - LT 60% - ST Updates use classifications to match new definitions; reduces ratios to align with demand; and standardizes office ratios across districts and use types. Exempts small retail additions and changes in retail uses from onerous TDM requirements. Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 200     29 *NOT YET APPROVED* Use Vehicle Parking Requirement (# of spaces) Bicycle Parking Requirement Spaces Class 1 Long Term (LT) and Short Term (ST) Hotel/Motel/Inn 1 space per guestroom; plus the applicable requirement for eating and drinking, banquet, assembly, commercial or other as required for such uses, less up to 75% of the spaces required for guestrooms, upon approval by the director based on a parking study of parking generated by the mix of uses. 1 space per 10 guestrooms, plus requirements for accessory uses (drinking, banquet, assembly, commercial or other) 100%-ST Shopping Center 1 per 275 sq. ft. of gross floor area 1 per 2,750 sf 40%-LT 60% - ST OFFICE USES Administrative Offices (a) In the RP and ROLM districts 1 per 300 sq. ft. of gross floor area 1 per 3,000 sf 80%-LT 20% - ST (b) In all other districts 1 per 250 sq. ft. of gross floor area 1 per 2,500 sf Administrative, Medical, professional, and general business offices 1 per 300 sq. ft. of gross floor area 1 per 2,500 sf 80% - LT 20% - ST (a) In the RP and ROLM districts 1 per 300 sq. ft. of gross floor area 1 per 3,000 sf 60% - LT 40% - ST (b) In all other districts 1 per 250 sq. ft. of gross floor area 1 per 2,500 sf [. . .] 4. For residential mixed-use developments in the CD-C zone, CC(2) zone, on CN and CS zoned sites abutting El Camino Real, and on CS zoned sites abutting San Antonio Antonia Road between Middlefield Road and East Charleston Road, the first 1,500 square feet of ground-floor retail uses shall not be counted toward the vehicle parking requirement. [. . .] Table 2 Minimum Off-Street Parking Requirements for Parking Assessment Districts Use Vehicle Parking Requirement (# of spaces) 1 For Downtown University Avenue Parking Assessment District: Residential Uses See Table 1 All Other Uses 1 per 250 square feet For California Avenue Parking Assessment District: Residential Uses See Table 1 Hotel/Motel/Inn See Table 1 All Other Uses 1 per 250 square feet 1.For residential mixed-use developments in the CD-C zone, CC(2) zone, and on CN and CS Establish blended rate for California Avenue, consistent with Downtown, to simplify regulations and acknowledge that parking standards for these areas cannot be enforced pursuant to AB2097/ Gov. Code Section 65863.2 which applies to the majority of these parking assessment districts. Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 201     30 *NOT YET APPROVED* zoned sites abutting El Camino Real, the first 1,500 square feet of ground-floor retail uses shall not be counted toward the vehicle parking requirement. [. . .] Table 23 Minimum Off-Street Bicycle Parking Requirements for Parking Assessment Districts (IF USE IS NOT LISTED, REFER TO TABLE 1 FOR REQUIREMENTS) Use Vehicle Parking Requirement (# of spaces) Bicycle Parking Requirement Class1 Spaces For Downtown University Avenue Parking Assessment District: All uses (except residential) 2 1 per 250 square feet 1 per 2,500 square feet 40% - LT 60% - ST Residential Uses See Table 1 For California Avenue Parking Assessment District: Automobile Service Stations 1 per 310 square feet of gross enclosed floor area, plus queue capacity equivalent to the service capacity of gasoline pumps 1 per 10 employees 100%-ST Automotive Services 1 per 150 square feet of gross floor area, display, or storage on site 1 per 10 employees 100%-ST Eating and Drinking Services: (a) With drive-through drive-in or take-out facilities 3 per 100 sf of gross floor area 3 per 400 sf 40% - LT 60%-ST (b) All others 1 per 155 sf of gross floor area 1 per 1,550 sf Financial services: (a) Bank, savings and loan offices with 7,500 square feet of floor area or less: 1 per 180 sf of gross floor area 1 per 1,800 sf 40%-LT 60% - ST (b) Banks, savings and loan offices with more than 7,500 square feet of floor area: 1 per 310 sf of gross floor area (c) Others 1 per 180 sf of gross floor area 1 per 1,800 sf General Business Services: (a) Enclosed 1 per 360 sf of gross floor area 1 per 3,600 sf 80%- LT 20%- ST (b) Open lot 1 per 500 sf of sales, display or storage site area 1 per 5,000 sf 100%- ST Medical, professional, and general business offices 1 per 310 sf of gross floor area 1 per 3,100 sf 60%-LT 40% - ST Personal Services 1 per 450 sf of gross floor area 1 per 4,500 sf 20% - LT 80% - ST Maintain bike parking standards by use classification. Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 202     31 *NOT YET APPROVED* Retail: (a) Intensive 1 per 240 sf of gross floor area 1 per 2,400 sf 20%-LT 80% -ST (b) Extensive 1 per 350 sf of gross floor area 1 per 3,500 sf (c) Open lot 1 for each 500 square feet of sales, display, or storage site area. 1 per 5,000 sf 100%-ST OTHER USES Any use not specified See Table 1 1.Long Term (LT) and Short Term (ST) bicycle spaces as described in Section 18.54.060 . 2.For residential mixed-use developments in the CD-C zone, CC(2) zone, and on CN and CS zoned sites abutting El Camino Real, the first 1,500 square feet of ground-floor retail uses shall not be counted toward the vehicle parking requirement. Table 34 Minimum Off-Street Loading Requirements [. . .] 18.52.050 Adjustments by the Director Automobile parking and off-street loading requirements prescribed by this chapter may be adjusted by the director in the following instances and in accord with the prescribed limitations in Table 4, when in his/her opinion such adjustment will be consistent with the purposes of this chapter, will not create undue impact on existing or potential uses adjoining the site or in the general vicinity, and will be commensurate with the reduced parking demand created by the development, including for visitors and accessory facilities where appropriate. No reductions may be granted that would result in provision of less than ten (10) spaces on a site. The following are adjustments that apply to developments not located within a parking assessment district. Adjustments within the parking assessment districts are contained in Section 18.52.080. The decision of the regarding parking adjustments may be appealed as set forth in Chapter 18.78 (Appeals). Table 4 Allowable Parking Adjustments Purpose of Adjustment Amount of Adjustment Maximum Reduction 2 [. . .] [. . .] [. . .] Combined Parking Adjustments Parking reductions may be granted for any combination of the above circumstances as prescribed by this chapter, subject to limitations on the combined total reduction allowed. 3060% reduction of the total parking demand otherwise required 40% reduction for affordable housing projects [. . .] [. . .] [. . .] Allow more flexibility for shared parking arrangements. Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 203     32 *NOT YET APPROVED* 1. See Section 18.52.050(d) below regarding requirements for TDM programs. 2. No parking reductions may be granted that would result in provision of less than ten (10) parking spaces on site. 2. 3. No parking reductions may be granted for projects that are entitled to the reduced parking standards in Table 1 of Section 18.52.040 for senior housing. 3. 4. Applies to 100% affordable housing projects and the residential component of 100% affordable housing mixed-use projects. "100% affordable housing" as used herein means a multiple-family housing project consisting entirely of affordable units, as defined in Section 16.65.020 of this code, available only to households with income levels at or below 120% of the area median income, as defined in Chapter 16.65, except for a building manager's unit. (a)Combining Parking Adjustments Parking reduc.ons may be granted for any combina on of circumstances, prescribed by this chapter, so long as in total no more than a 6030% reduc on of the total parking demand otherwise required occurs, or no less than a 40% reduc on for affordable housing projects (including Single Room Occupancy (SRO) units). [. . .] SECTION 14. Section 18.76.015 (Additional Findings for Specified Retail Uses) of Chapter 18.76 (Permits and Approvals) of Title 18 (Zoning) of the Palo Alto Municipal Code is hereby deleted in its entirety. SECTION 15. Section 16.59.040 (Exemptions) of Chapter 16.59 (Citywide Transportation Impact Fee) of Title 16 (Building Regulations) of the Palo Alto Municipal Code are hereby amended as follows (additions underlined; deletions struck-through; text omitted but unchanged noted by bracketed ellipses): 16.59.040 Exemptions. The provisions of this chapter shall not apply to: (a)City buildings or structures. (b)Public school buildings or structures. (c)Affordable units, either for sale or rental, that exceed the minimum number required for projects under the city's below market rate (BMR) housing program or other provisions of this code, which units are, by recordable means, obligated to be and remain affordable units for a period consistent with the requirements of Section 16.65.075(c) of this code. (d)Day care centers used for childcare, nursery school or preschool education. (e)Accessory dwelling units (ADU). (f)Junior accessory dwelling units (JADU). (g)Retail service, eating and drinking service, personal service, or automotive service when the total additional square footage is 1,500 square feet or less. This exemption shall apply only when the additional square footage of new development does not exceed 1,500 square feet. New development that is larger than 1,500 square feet shall pay a fee for all square footage, including the first 1,500 square feet. Removes subjective findings Add fee exemption for small retail additions, consistent with fee exemptions in Section 16.45.050 and 16.58.030. Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 204     33 *NOT YET APPROVED* (h) (g) New development which is exempt from the fee by virtue of the Constitution of the United States or California or by virtue of other applicable state or federal law. SECTION 16. If any section, subsection, clause or phrase of this Ordinance is for any reason held to be invalid, such decision shall not affect the validity of the remaining portion or sections of the Ordinance. The Council hereby declares that it should have adopted the Ordinance and each section, subsection, sentence, clause or phrase thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid. SECTION 17. The Council finds that the Ordinance is exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that there is no possibility that the foregoing amendments to reduce retail vacancies will have a significant effect on the environment. SECTION 18. This Ordinance shall be effective from the thirty-first day after the date of its adoption. Once effective, this Ordinance shall repeal Ordinance no. 5642. 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 Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 205     Exhibit A (Remove Ground Floor (GF) Combining District) Charleson Shopping Center Midtown Shopping District Item 3 Attachment A - Amendments to Title 16 and 18 to Implement Retail Measures     Packet Pg. 206     Planning & Transportation Commission - October 29, 2025 Commissioners generally supported making permanent the interim ordinance definitions for Retail Financial Service and Automobile Showroom. For Formula Retail Business uses, Commissioners expressed some concerns about effects on California Avenue small boutique character, but generally supported making permanent the interim ordinance definition. For Animal Care uses, Commissioners requested additional consideration of potential odor, waste, and noise impacts, but were supportive of distinguishing between use types to allow less impactful Animal Care uses in more locations. For Eating and Drinking Service uses, Commissioners acknowledged that restaurant “take out services” are standard practice and should be permitted, but requested additional review of any unintended consequences of removing take- out restrictions and the potential removal of the “commercial kitchen and commercial dishwasher” threshold in the current definition. For Retail-Like Uses, Commissioners provide a range of feedback including a desire to streamline and simplify retail and retail-like uses, interest in acknowledging the differences between the uses (e.g. hotels and services vs. retail sales) and expressed interest in different proposals for how these uses could be treated in the code. Commissioners generally supported adding more permitted uses, including office uses (especially community-serving uses) as long as they do not front on primary streets; fitness studios up to 5,000 sq. ft.; and daytime animal care uses. Commissioners generally did not support retail sales requirements at the front window for service uses. Commissioners generally supported either removing Waiver and Adjustment economic hardship allowances or at least making consistent across applicable zones. Commissioners supported removing inconsistencies and confusion between base and overlay district use regulations. Item 3 Attachment B - Planning & Transportation Commission Comments (October 29, 2025, Study Session)     Packet Pg. 207     Commissioners generally supported adding more permitted uses in commercial zones, including take-out eating and drinking services, medical office, daytime animal care, and automobile showrooms. Parking Regulations Commissioners generally did not support exempting change of use applications from triggering additional parking requirements, nor being more explicit in the code about the applicability of AB 2097/Gov. Code 65863.2 parking exemptions. Rather, Commissioners supported updating parking standards and shared parking allowances, asked about restaurant parking requirements in particular, and expressed support for alternative modes of travel. Process and Administration Commissioners generally supported renaming the Conditional Use Permit (CUP) to Administrative Use Permit (AUP) to acknowledge that this is typically a staff- level permit. Retail Preservation Ordinance (RPO) Applicability Commissioners expressed some support for excluding residential and office/manufacturing zones from the RPO, but wanted to understand how many retail businesses would potentially be affected. Permitted Uses in Planned Communities (PC) Commissioners expressed support for more flexibility in the PC zones, but recommended a more specific criteria for what could be interpreted as “similar uses” (e.g. neighborhood-serving, indoor vs. outdoor uses). Zoning Map Commissioners supported simplified zoning districts and overlays in the longer term and a simple one-page commercial zoning map to post to the City’s website in the shorter term. Item 3 Attachment B - Planning & Transportation Commission Comments (October 29, 2025, Study Session)     Packet Pg. 208     Item No. 4. Page 1 of 1 Planning & Transportation Commission Staff Report From: Planning and Development Services Director Lead Department: Planning and Development Services Meeting Date: March 25, 2026 Report #: 2603-6147 TITLE Approval of Planning & Transportation Commission Draft Summary & Verbatim Minutes of February 11, 2026 RECOMMENDATION Staff recommends that the Planning & Transportation Commission (PTC) adopt the meeting minutes. BACKGROUND Draft summary and verbatim minutes for the February 11, 2026, Planning & Transportation Commission (PTC) meeting were made available to the Commissioners prior to the March 25, 2026, meeting date. The draft PTC minutes can be viewed on the City’s website at https://bit.ly/PaloAltoPTC ATTACHMENTS None AUTHOR/TITLE: Samuel Tavera, Administrative Associate III Item 4 Item 4 Staff Report     Packet Pg. 209