PLANNING COMMISSION AGENDA REPORT Development …

PLANNING COMMISSION AGENDA REPORT Development Services Department

Agenda Item: 8A Project Name: Sunshine Gardens Request: Public hearing to consider the demolition of existing commercial

structures and parking area, adjust property lines and construct a 140-unit multi-family residential development with leasing and amenity space including clubhouse, fitness, pet spa and outdoor recreation space, exceed grading thresholds and landscaping improvements, and the use of one temporary construction trailer.

Discretionary Actions: Density Bonus (DB)

Design Review Permit (DR) Boundary Adjustment (BADJ) Coastal Development Permit (CDP)

CEQA Recommendation: Exempt STAFF RECOMMENDATION: APPROVE Project Number: MULTI-003629-2020; DR-003632-2020; BADJ-003630; & CDP-

003631-2020 Location: 155 Quail Gardens Drive, 628 & 630 Encinitas Boulevard Community: Old Encinitas APN: 258-130-97 & 98 Applicant: Sunshine Encinitas, LLC Representative: Brian Grover Project Planner: Anna Colamussi, Planning Manager,

[email protected] Commission Meeting Date: September 2, 2021 City Council Hearing Required?

No

Report Approval: Roy Sapa’u, Director

Recommended Actions: 1. Conduct the public hearing; and

2. Adopt the resolution approving the project, subject to conditions.

SEPTEMBER 2, 2021 ITEM 8A 1 of 28

mailto:[email protected]

PLANNING COMMISSION AGENDA ITEM 8A

September 2, 2021

SUMMARY AND KEY CONSIDERATIONS The Planning Commission is being asked to consider a Density Bonus, Design Review Permit, Boundary Adjustment and Coastal Development Permit to construct a 140-unit residential development (119 market rate and 21 low-income), leasing and amenity space including courtyards, roof decks, clubhouse, fitness, pet spa and private outdoor balconies, grading exceeding four feet of fill and landscaping improvements. The project site is zoned Residential 30 Overlay. The project site will have two vehicular access points with the main access off Quail Gardens Drive and secondary access off Encinitas Boulevard. The Sunshine Gardens site was previously known as Site 12, Sunshine Gardens Property, as part of the City’s 2013 – 2021 Housing Element Update. The City Council adopted the 2013 - 2021 Housing Element Update on March 13, 2019 and subsequently approved amendments to the Local Coastal Program including the Municipal Code and Specific Plans, which rezoned fifteen properties throughout Encinitas to allow multi-family residential development up to a maximum density of 30 dwelling units per acre. On October 8, 2019, the State Department of Housing and Community Development (HCD) certified the 2013-2021 Housing Element. The current 2021-2029 Housing Element identified the Sunshine Gardens site to meet the very low and low-income RHNA numbers and shows that a minimum of 84 units could be accommodated on the subject site. The 2021-2029 (6th Cycle) Housing Element was approved by the City Council on April 7, 2021 and certified by State Department of Housing and Community Development (HCD) on July 13, 2021. California Environmental Quality Act (CEQA) Considerations The project is statutorily exempt from CEQA under Government Code Sections 65583.2(h) and (i), which provide that, if a project is located on a site designated for ‘by right’ approval, contains at least 20 percent of the units affordable to lower income households, and does not require a subdivision, the City of Encinitas may only require design review approval of the project, and design review approval shall not constitute a “project” under CEQA. The State Department of Housing and Community Development, in their letter to the City of Encinitas dated October 8, 2019, stated that the “20 percent calculation is based upon the total number of units in the development exclusive of additional units provided by a density bonus.” (emphasis added) The Sunshine Gardens project is statutorily exempt from CEQA in that it is located in the R-30 Overlay Zone, which is designated for ‘by right’ approval by Encinitas Municipal Code Chapter 30.09 (Zoning Use Matrix, Note 35), proposes that 21 of 103 units (20 percent), exclusive of additional units provided by a density bonus, will be affordable to lower income households; and does not require a subdivision. Standard of Review Pursuant to Government Code Section 65913.4, local jurisdiction’s discretion on housing projects is limited to adopted objective standards. The project complies with all applicable objective standards. PROJECT DESCRIPTION The scope of the project includes the following planning application requests and associated improvements:

Density Bonus

➢ Develop the 3.43-acre housing element site utilizing the State Density Bonus Law with the following improvements:

140 Residential Units



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o 119 market rate units o 21 low-income units o Leasing and common amenity spaces o 245 parking spaces o Private outdoor amenity space

➢ Authorize two density bonus waivers as follows:

a. Allow four stories where three are allowed.

b. Utilize the parking reduction ratios pursuant to the State Density Bonus Law for the residential units.

Design Review Permit

Construct a 140-unit residential development with a parking garage; a leasing and amenity spaces which includes a fitness area, club room, mail room, break room, restrooms and a pet spa; private outdoor amenity space and associated landscaping. o 4-Story Residential Building: Stucco (Sand Finish, Zurich White, Balanced Beige, Down

Home, Urbane Bronze, Iron Ore, Classic French Grey), Stone Veneer Eldorado Stone Ledge Ocean Floor, Fiber Cement Siding, Faux Wood Finish, and mix of metal and glass railings.

Construct site/grading improvements including, parking lot areas, building pads, sidewalks, pedestrian walkways, bio-retention basins, utilities, and road and drainage improvements.

Grading design and the authorization of earthwork quantities that exceed four feet of fill (14.5 feet proposed).

Coastal Development Permit

To demonstrate compliance with the City’s Local Coastal Program due to the project’s location within the Coastal Zone. Authorize the placement of one temporary construction trailer on the site to be removed after construction is completed.

Demolition of existing commercial structures and existing parking area.

PROJECT ANALYSIS Background The project site has historically been used as agricultural uses prior to the City of Encinitas incorporation. Multiple commercial structures and parking area exist on-site and also existed prior to the City of Encinitas incorporation. Refer to the Key Considerations, which describes the up zoning of the site as part of the 2013 – 2021 Housing Element Update. Project Site Characteristics:

General Plan: Office Professional (OP)

Specific Plan: None

Zoning District: Residential 30 Overlay (R-30 OL)

Zoning Overlay: R30, Cultural Resources, Special Study and Coastal Overlay Zones

Other Key City Plan: 2013 – 2021 Housing Element

Notable State or Regional Plan and Law:

State Density Bonus Law; Housing Accountability Act; Fair Housing Law



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The project site topography is flat with elevations range from 145 feet to 150 feet and sits lower than Quail Gardens Drive and Encinitas Boulevard. The existing operations include vehicular access from Quail Gardens Drive. A shared access easement currently exists off Encinitas Boulevard. Adjacent Area:

Direction General Plan &

Zoning District

Community Character Context Land Use

North R5 & R30 Overlay

Neighborhood Center Vacant/Current R30 Quail Meadows application in process

South Limited Industrial (LI) & Business Professional (BP)

Neighborhood Center Office complex across Encinitas Boulevard

East Office Professional (OP) & OP

Neighborhood Center Office (Quail Garden Corporate Center)

West R5 & R5 R25 & R20

Neighborhood Center Single-Family and Multi-Family residential

The project site is surrounded by multi-family and single-family residential to the west, a vacant site with a current R30 application currently under review (Quail Meadows) to the north, the Quail Corporate Center office building to the east and Encinitas Boulevard to the south. General Plan Consistency The City of Encinitas General Plan includes a number of goals and policies that guide development and land use within the City. A discussion of how the project is consistent with applicable General Plan policies is summarized below:

General Plan Goal or Policy Explanation of Project Conformance

Land Use

POLICY 3.2: The City will designate land use categories/zones for residential development which provide housing opportunities for all segments of society at densities consistent with the goals of this Element.

The project site is within the R30 Overlay Zone which provides the opportunity for diverse types of housing. The Sunshine Gardens project will offer multiple-family rental apartment homes and low-income affordable units expanding housing opportunities for additional segments of the community meeting the intent of this policy.

POLICY 6.6: The construction of very large buildings shall be discouraged where such structures are incompatible with surrounding development. The building height of both residential and non-residential structures shall be compatible with surrounding development, given

The R30 zone establishes the maximum allowable heights for development on the project site. The project complies with the height standards and requests a waiver for one additional story.



September 2, 2021


topographic and other considerations, and shall protect public views of regional or statewide significance.

POLICY 7.3: Although common themes for each of the communities may be established, each community may also promote variety in the design of individual projects.

The project proposes a unique design theme that promotes an individual design that provides variety within the community.

POLICY 7.6: Private development shall coordinate with street/public improvements, i.e. streetscape, landscape, site design and the like.

The project is conditioned provide optimized signal timing and modify the traffic signal as needed to maximize efficiency of the corridor. Improvements include installation of a right-turn overlap phase at the northbound approach (Westlake Street) including the appropriate signal equipment, modifications, and timing. The project also includes improvements to the entry along Quail Garden Drive.

Housing

POLICY 1.2: Strive to provide a wide variety of housing types so that a range of housing needs and tastes will be made available to existing and future residents.

The Sunshine Gardens project will offer multiple-family rental units ranging from one to three-bedrooms. The project includes both market rate and affordable units, and therefore meets the intent of this policy.

GOAL 2: Sound housing will be provided in the City of Encinitas for all persons regardless of age, family status, income level, race, or ethnicity.

The project includes 21 low-income affordable housing units as well market rate rental units.

POLICY 2.2: Support ongoing efforts of the State and County to enforce “fair-housing” laws.

The project provides low-income units and adequately disperses them throughout the project site and includes varying sizes of rental units. Regulations are in place through the Density Bonus ordinance that further provide for equitable affordable housing units. Please refer to the density bonus discussion in the report below.

POLICY 2.3: Encourage developers to provide a balance of housing opportunities.

The project includes 21 low-income affordable housing units as well as varying sizes of market rate rental units.

POLICY 3.9: Encourage street planting, landscaping, and undergrounding of utilities.

The landscaping along Quail Gardens Drive and Encinitas Boulevard will include street trees. The project meets the exemption criteria for undergrounding existing utilities.

POLICY 3.13: Cost effective energy-efficient housing, including the use of passive systems, will be encouraged within the City to decrease energy use.

The project is conditioned to comply with all Building Code requirements including solar. Additional Project Design Features outlined within the Greenhouse Gas and Air Quality studies are conditions of approval.

Circulation



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POLICY 1.2: Endeavor to maintain Level of Service C as basic design guidelines for the local system of roadways understanding that the guideline may not be attainable in all cases.

See Traffic discussion below.

POLICY 1.3: Prohibit development which results in Level of Service E or F at any intersection unless no alternatives exist and an overriding public need can be demonstrated.

See Traffic discussion below.

POLICY 1.10: Encourage the design of roads and traffic controls to optimize safe traffic flow by minimizing turning, curb parking, uncontrolled access, and frequent stops.

The Sunshine Gardens project is conditioned provide optimized signal timing and modify the traffic signal as needed to maximize efficiency of the corridor. Improvements include installation of a right-turn overlap phase at the northbound approach (Westlake Street) including the appropriate signal equipment, modifications, and timing. Quail Gardens Drive to ensure safe ingress and egress.

POLICY 2.3: Design the circulation system serving new development in such a way to minimize through traffic in all residential neighborhoods.

The project has been designed to have two points of ingress and egress from Quail Gardens Drive and Encinitas Boulevard and will not have through traffic traversing a residential neighborhood.

POLICY 3.1: The needs of the handicapped will be considered in new development plans including handicapped parking, loading, etc.

All handicap parking and pathways are provided for in the proposed development.

POLICY 3.9: A program to install handicapped access ramps at all corners with sidewalks shall be developed.

Project shall ensure that all pedestrian ramps and crosswalks at the intersection of Quail Gardens Drive and Encinitas Boulevard are ADA compliant. All sidewalks and pathways will be ADA compliant and curb ramps shall be required for public and private roads as part of the street improvements.

POLICY 4.3: Separate pedestrian, bicycle, and vehicular traffic by encouraging adequate space for walking and biking by striping roadways, excepting freeways.

Encinitas Boulevard and Quail Gardens Drive are built out to the ultimate General Plan Circulation Element conditions and bike lanes are already constructed on both streets.

POLICY 4.12: Encourage undergrounding of utilities within street right-of-way and transportation corridors.

The project qualifies as an exemption to underground all proposed utilities.



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POLICY 4.14: Where feasible, minimize the dependence on private motor vehicles.

The project provides bicycle racks and motorcycle parking and internal pedestrian pathways including connections to the existing sidewalks on Encinitas Boulevard and Quail Gardens Drive to encourage alternative modes of transportation other than motor vehicles.

POLICY 7.1: The City shall seek to recover circulation system expansion costs from all available sources, without limitations, including development fees for projects both inside and outside the City limits.

The project will improve N. Vulcan Avenue and will be conditioned to Pay development impact fees.

Public Safety

POLICY 1.8: New residential and commercial construction shall provide for smoke detector and fire sprinkler systems to reduce the impact of development on service levels.

Smoke detectors and fire sprinklers are conditioned to be provided as part of this project.

POLICY 1.9: Adequate safety service levels shall be maintained and provided for by new development.

The fire department has reviewed the project and found the development acceptable and can be adequately served.

POLICY 1.12: The City will observe and apply measures to reduce earthquake structural risk through building and construction codes.

The project will require to comply with the Building Code.

POLICY 2.4: Setbacks, easements, and accesses, necessary to assure that emergency services can function with available equipment, shall be required and maintained.

All setbacks, easements and accesses have been adequately provided to the satisfaction of the fire department.

Resource Management

POLICY 1.1: Require new development to utilize measures designed to conserve water in their construction.

Reclaimed water is available to the site and the project has been conditioned to use reclaimed water.

POLICY 1.10: Promote the use of water efficient sprinkling and gardening systems to include ordinances and technology to encourage drought resistant plants.

Reclaimed water is available to the site and the project has been conditioned to use reclaimed water.

POLICY 1.11: If a development can be connected to the sewer system, the system must have the capacity to handle the additional load of the proposed project.

The development will be connected to the sewer system and it was found to have capacity.



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POLICY 3.2: Mature trees shall not be removed or disturbed to provide public right-of way improvements if such improvements can be deferred, redesigned, or eliminated. This policy is not meant to conflict with the establishment of riding/hiking trails and other natural resource paths for the public good, or with the preservation of views.

An assessment of the existing trees on site was conducted (Tree Survey, May 2020) and no existing trees are subject to the street tree policy. Encinitas Boulevard and Quail Gardens Drive are built out to the ultimate General Plan Circulation Element conditions; however, the trees at the existing entry along Quail Gardens Drive will remain and six trees at the southeast corner of the site at Encinitas Boulevard will remain. New street trees will be planted along Encinitas Boulevard and Quail Gardens Drive as part of the project.

POLICY 3.5: A street tree planting program shall be developed and implemented

No existing trees are subject to the street tree policy.

POLICY 7.1: Require that paleontological, historical, and archaeological resources in the planning area are documented, preserved, or salvaged if threatened by new development.

A cultural resources inventory and evaluation report was prepared, which analyzed the site including all existing structures, and Encinitas Boulevard and Quail Gardens Road. The report concluded that no significant cultural resources were found within the project area. The paleontological concluded that the site has paleontological sensitivity and identified two fossil localities within one mile of the project site. However, no thresholds were met to require monitoring.

GOAL 9: The City will encourage the abundant use of natural and drought tolerant landscaping in new development and preserve natural vegetation, as much as possible, in undeveloped areas.

The project provides 78 percent of its landscaping as drought tolerant, and 50 percent is native.

POLICY 9.6: Require landscaping in the design of new residential, commercial, and industrial areas and buildings as detailed in the City Zoning Code regulations.

The project complies with both the Zoning Code regulations, with the exception of the requested waiver, which demonstrates it will physically preclude the density proposed if adhered to.

Noise

GOAL 1: Provide an acceptable noise environment for existing and future residents of the City of Encinitas.

Noise attenuation construction is provided to ensure a 45-decibel level indoors is being achieved.

POLICY 1.1: Review actions or projects that may have noise generation potential to determine what impact they may have on existing land uses. If a project would cause an increase in traffic noise levels, the policy of the City of Encinitas is to accept an increase up to an Ldn of 55 dB in outdoor residential use areas without mitigation. If a project

A noise study was prepared and determined the project complies with the performance standard thresholds for existing land uses.



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would increase the traffic noise level by more than 5 dB and the resulting Ldn would be over 55 dB, then mitigation measures must be evaluated. If the project, or action, would increase traffic noise levels by 3 dB or more and the resulting Ldn would exceed 60 dB in outdoor use areas in residential development, noise mitigation must be similarly evaluated. The impact of non-transportation projects must generally be evaluated on a case-by-case basis. The following guidelines will aid in evaluating the impacts of commercial and industrial projects.

GOAL 3: Ensure that residents are protected from harmful and irritating noise sources to the greatest extent possible.

Conventional building construction methods and mechanical ventilation (e.g. air conditioning) and updated windows will ensure the project complies with Title 24 noise standards.

R-30 Overlay Zone Permitted Uses The North 101 Corridor Specific Plan defers to Chapter 30.09 (Use Matrix) of the Encinitas Municipal Code for permitted uses. Multi-family dwelling units are permitted by right within the R-30 Overlay Zone when developed at a minimum density of 25 units per net acre. Density See Density Bonus discussion below. Development Standards Compliance with Chapter 30.16 of the Encinitas Municipal Code R-30 Overlay standards is identified in the table below.

R30 Development Standards - Required

Net Lot

Area

Lot Depth

Lot Width

Setbacks Lot Coverage

Distance between

buildings on the same lot greater than

16 ft. in height

Distance between

building on the same lot less than 16 ft. in

height

30,000 s.f.

150 feet

100 feet

Front: 10 feet Side: 10 feet

65 percent 15 feet 15 feet



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Street side: 10 feet

Rear: 10 feet

Proposed Development Standards

Lot Net Lot

Area

Lot Depth

Lot Width

Setbacks Lot Coverage

Distance between

buildings on the same lot greater than

16 ft. in height

Distance between

buildings on the same lot

less than 16 ft. in height

1 143,869

(3.3 acres)

425 feet

283 feet

Front 10 feet Side

10 feet Rear

10 feet

56.9 percent

N/A – One Structure

N/A – One Structure

Height The R30 Overlay zone allows for three stories and a maximum of 35 feet in height for flat roofs and 39 feet in height for pitched roofs with a minimum 3:12 pitch. The R30 zone sites may measure height from the finished grade. An additional five feet is permitted above the height standards to allow for necessary equipment such as elevator shafts and other mechanical equipment. The proposed project meets height and story standards.

Building Stories Height

Residential Four* 35 feet

*See Density Bonus Waiver discussion.

Encinitas Municipal Code (EMC) Section 30.16.010 E

Notwithstanding the provisions of Section 30.41.080, sites in the R-30 OL Zone shall not be permitted to pay in-lieu fees as an alternative to satisfying the affordable housing requirements in Chapter 30.41.

The project does not propose to pay an in-lieu fee. All low-income affordable units will be provided on-site. Pursuant to Chapter 30.41, sixteen (16) affordable dwelling units will be required to be deed restricted to ensure their affordability at the “low” level in perpetuity.

Façade Wall Plane Requirements. Articulation of the wall plane shall be required for all front elevations, and for all side and rear elevations visible from a public right-of-way: a. No more than 75 percent of a building

façade shall be on a single plane; b. An average of a five-foot offset, with a

minimum of one foot, is required for the remaining 25 percent of the building face.

The project provided the Façade Wall Plan requirements for all front elevations and all side elevations visible from the public right-of-way.

a. Project complies, see Sheet G1.3 of Plan Set.

b. Project complies, see Sheet G1.3 of the Plan Set.

If parcels in the R-30 Overlay zone share a property line with an adjacent parcel developed with an existing single-family residential use or duplex units, the following additional setback requirements apply to

The project site does not share a property line developed with existing single-family uses.


http://www.qcode.us/codes/encinitas/view.php?cite=section_30.41.080&confidence=6

http://www.qcode.us/codes/encinitas/view.php?cite=chapter_30.41&confidence=6


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proposed projects in the R-30 Overlay zone to provide an appropriate transition to the existing use. a. Additional Setback Required. The third

story of residential uses in the R-30 Overlay zone shall be set back 30 feet from any property line adjacent to a parcel with an existing single-family residential use or duplex units.

Permitted Improvements in the Required Setback Areas. Permitted improvements include landscaping, pathways, storm water quality facilities, passive site amenities, surface parking or similar facilities.

The setbacks are free of structures and include the allowable landscaping, pathways, storm water quality facilities, passive site amenities and surface parking facilities within the setbacks.

Maximum Average Unit Size. Maximum average size of dwelling units in the project shall not exceed 1,000 square feet of floor area for rental projects and 1,150 square feet of floor area for ownership projects. Ownership projects include all projects with a condominium map or where units may be sold individually. For purposes of compliance with this requirement, only floor area within dwelling units shall be used to calculate the average unit size for a project.

All units are rental units (no for sale units). The average unit size is 865 square feet.

Private Storage Space. A minimum of 200 cubic feet of lockable, enclosed storage area per unit shall be provided within a garage or carport area, or within the main building.

The project provides a minimum of 200 cubic feet of lockable, enclosed storage per unit within a garage or carport area or within the main building. Sheet A2.5 demonstrates compliance.

Private and Common Open Space. a. Private Open Space. A minimum of 100

square feet per unit shall be provided as private open space for both ground floor units and units contained wholly on the second and third floors. For units wholly on the second and third floors, this open space may be provided by outdoor decks.

b. Common Amenity Space. A minimum of 200 square feet per unit shall be provided as common amenity open space to be made available for use by all residents and/or tenants. Common amenity space is permitted to be located within the perimeter setback area.

c. Private and common area may be combined for a total of 300 square feet per unit overall, located on-site.

a. The project provides private open space in the form of a combination of patio and balconies. Private patio/balconies range in size from 65 square feet to 111 square feet. However, with the combined private and common open space, the project meets the 300 square feet per unit as mentioned in item c. below.

b. The project provides a common amenity building that includes a fitness room, break room, leasing office, restrooms, mail room and a pet spa. Outdoor common amenity space includes roof decks, courtyards, outdoor gathering areas, and pool. The required common amenity space at 200 square feet per unit is 28,000 square feet. The total common open space provided is 38,719 square feet.

c. Though the private open space area does not provide 100 square feet per unit; if the combined private and common area is 300 square feet per unit, that may be permitted. The project provides 353 square feet of private and common open space area per unit. The property includes a large utility easement along



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the southern boundary. It is important to note that the area within the easement provides additional amenity space. However, this area was not counted toward the required amenity space.

Project development shall comply with development standards found in EMC Sections 30.16.010D.2, 3, 5, 6, 7, 9, 11, 12, 13, and 14. If there is a conflict between the standards of this section and subsection D, the development standards of this section supersede.

See compliance below.

Architecturally compatible trash enclosures, and adequate areas for collecting and loading recyclable materials, screened from view of the roadway, and convenient to all dwelling units within the project, shall be provided.

The project provides trash enclosures within the parking garages with a pick-up area along the eastern entrance. A letter from EDCO was received accepting the proposed location. Extensive conversations with EDCO occurred regarding operationally servicing the site. EDCO did not have any issues.

A minimum of 15 feet wide of screen type landscaping shall be provided and maintained on the project side of any property line separating the project from a rural residential or single-family residential zone.

None of the property lines are abutting a rural residential or single-family residential zone.

Fully screened recreation vehicle parking areas shall be provided or the development shall prohibit all parking of recreation vehicles.

Recreation vehicle parking areas are not proposed as part of this project.

A minimum of 30 trees per net acre shall be required as part of the project landscaping; the trees shall consist of a combination of box specimen and 15-gallon sizes. Smaller sized trees may be approved provided the trees reach a desired maturity height within three years after project occupancy.

Based upon the net acreage of 3.3, 99 trees are required, and the project proposes 102 on-site trees. An additional 38 trees are provided off-site but not counted towards the requirement.

A masonry wall, or equal six feet in height from the highest finished grade may be required along the project’s rear and side property lines, unless the property line separates two higher density residential projects. Where the adjacent grade of abutting property is four feet or more lower or higher than the project site, the masonry wall shall be a minimum of six feet in height. No walls are required in front or street side yards unless needed for noise attenuation and/or privacy. All masonry walls greater than four feet in height shall be planted with vine cover material (or equal landscaping).

A six-foot screening wall requirement is not triggered. The property line to the north is abutting a project that is currently under review for a high-density residential project and is zoned R30 Overlay. The property line to the east is abutting an access easement.

Auxiliary Structures/Equipment and Utilities. The following development standards related to auxiliary structures/equipment and utilities shall apply:

a. All roof appurtenances will be screened and comply with the R30 mechanical screening requirements.



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a. All roof appurtenances including, but not limited to, air conditioning units, and mechanical equipment shall be shielded and architecturally screened from view from on-site parking areas, adjacent public streets and adjacent properties;

b. All ground-mounted mechanical equipment, including heating and air condition units, and trash receptacle areas and adequate areas for collecting and loading recyclable materials, shall be completely screened from surrounding properties by use of a wall, fence, or landscaping, or shall be enclosed within a building;

c. All utility connections shall be designed to coordinate with the architectural elements of the site so as not to be exposed except where necessary. Pad-mounted transformers and/or meter box locations shall be included in the site plan with an appropriate screening treatment. All new and existing utility connections within the boundaries of the project shall be placed underground, with the exception of existing overhead power transmission lines in excess of 34.5 KV and long distance and main trunk communications facilities. Transformer, terminal boxes, meter cabinets, pedestals, concealed ducts and other facilities may be placed above ground provided they are screened with landscaping;

d. Trash receptacles and adequate areas for collecting and loading recyclable materials enclosed by a six-foot high masonry wall with view-obstructing gates shall be provided in an acceptable location;

e. Outdoor storage and sales areas shall be entirely enclosed by solid masonry walls not less than six feet in height to adequately screen such areas from view. Reasonable substitutions such as masonry, wood or metal pilasters with wrought iron or chain link and view obscuring material may be approved during design review. This requirement does not apply to agriculture uses authorized per Chapter 30.33 (Urban Agriculture) of the Municipal Code.

b. All ground-mounted mechanical equipment is conditioned to be screened.

c. The applicant has provided correspondence from SDG&E indicating that the existing overhead utility lines along the property’s frontage to Encinitas Blvd. are 69kV. Pursuant to the Encinitas Municipal code, lines over 34.5kV are exempt from undergrounding requirements and therefor will not be removed as part of this project.

d. Trash receptacles are proposed within the parking garages and adjacent to the private access road on the east side of the project site.

e. Outdoor storage or sales are not proposed as part of this project.


http://www.qcode.us/codes/encinitas/view.php?cite=chapter_30.33&confidence=6


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Walkways connecting with city sidewalk/trail systems shall where practical be provided in new residential developments.

Walkways connecting with city sidewalk systems on Quail Gardens Drive have been incorporated into the design.

Driveway or other concrete or asphalt concrete areas available for parking shall not exceed 50 percent where practical of the required front yard area.

The project driveway is less than 50 percent of the front yard.

To the extent practical, access to the garage shall be from the alley or side street, if available.

The main vehicular access to the project is from Quail Gardens Drive with a secondary access off Encinitas Boulevard via a shared driveway with the property to the east.

Parking The proposed use is multi-family rental units, and the project is processing under the State Density Bonus law, Government Code 65915. The state law allows for Density Bonus projects to provide parking at a reduced rate, inclusive of guest parking spaces. The project complies the state law standards as follows (2020 parking standards utilized, 2021 reduced standard further):

Type Number of Units Ratio Required

1 Bedroom 76 1 76

2 Bedroom 58 2 116

3 Bedroom 6 2 12

Total 140 204

The project includes a parking structure with 245 parking spaces. The project complies with the residential parking requirements of State law and provides a surplus of 41 spaces. The project is providing 16 private bicycle stalls (see enlargement Area 4 on Sheet A2.5 for location). Municipal Code Section 23.12.110 California Green Building Standards requires multi-family dwellings to provide at least fifteen percent of the total number of parking spaces to be electric vehicle charging spaces (EV spaces) The project has allocated the required 37 EV Charging parking spaces within the parking garage. The project includes a two loading spaces outside of the parking garage. The first space is located at the Quail Gardens Drive entrance at 26 feet long and 12.5 feet wide. The second space is located at the east entrance off the shared driveway access at 24.8 feet (in the shortest area and longer as it moved west) and 12.5 feet wide. In addition to the loading spaces, a back-up area has been provided at the east entrance for EDCO back-up during trash delivery service. Staff also requested an access plan in the event that two vehicles park within the main round about area at the Quail Gardens Drive entrance to demonstrate that residents and guest can still exit and enter the parking garage. Waste Management The project will provide waste receptacles for trash, recycling and organics within Level 1 of the parking structure, with trash chutes provided on each level above. As identified in the Access and Circulation Summary, (Attachment PC-12), a stinger truck will move the waste receptacles from the parking structure to the second loading zone area at the east entrance on waste pick-up days. The attachment demonstrates the operations of the waste pick-up. This includes the applicant providing back-up space for the EDCO truck to reverse in allowing for vehicles to continue to enter and exit the east secondary garage entrance while pick-up service is occurring. Extensive discussions occurred between City staff



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including traffic, fire and planning, EDCO and the owner of Quail Corporate Center, which resulted in the ultimate design shown on the plans today. The project is conditioned to comply with EDCO requirements prior to issuance of the first construction building permit. Landscaping The project proposes a total of 38,034 square feet of landscaping throughout the site. A condition of approval has been added to require 50 percent in area of the landscaping to be native species. Additional offsite planting area is 13,697 square feet. A total of 102 on-site trees are proposed with a mix of shrubs. The site includes landscaping along the enhanced entries and walkway, outdoor courtyards, pool deck, garden paths and gathering areas. A fruit forest trail is proposed along the southern easement area. Noise A Noise Study was prepared by LDN Consulting, Inc. dated August 23, 2020. The study analyzed construction noise, transportation noise levels (on-stie and off-site) for existing and future traffic volumes, and operational noise. All noise levels were found to be in compliance with the City’s noise thresholds identified in Encinitas Municipal Code Chapter 30.40. All interior noise levels will be required to meet the required 45 decibels through the construction material. Air Quality An Air Quality Assessment was prepared by LDN Consulting, Inc. dated August 23, 2020. The project found no direct or indirect construction and operational impacts. A screening-level health risk assessment concluded the project would not result in impacts to sensitive receptors during construction. The assessment also concluded the project traffic would not exceed operation daily pollutant emissions thresholds, and because the project was designed to conform with the City’s Housing Element, operational impact is not expected. Lastly, the project would not be expected to generate substantial odors from construction activities or when the project is operational. Conditions of approval have been added as recommended within the Air Quality analysis, which includes required Project Design Features (PDFs) Greenhouse Gas Assessment A Greenhouse Gas Assessment was prepared by LDN Consulting, Inc. dated August 23, 2020. The analysis included project related construction emissions, project related operational emissions, project specific efficiency metric alternative analysis, and consistency with both statewide and Encinitas Climate Action Plan GHG emissions targets. The Assessment indicates that the project would be required to generate fewer service population (SP) emission than 3.1 MT CO2e. The project was found to generate 795.88 MT CO2e with both annualized construction and annual operations. The project’s service population was determined to be 353 (351 residents and 2 employees). As a result, the project would have a projected 2.25 MT CO2e per SP (795.88 MT CO2e/353 persons) which is less than a City-specific localized efficiency metric of 3.1 MT CO2e per SP. This metric is consistent with adopted target goals in the City’s Climate Action Plan and state legislation (SB32). Therefore, the project would not conflict with policies adopted for the purpose of reducing greenhouse gas emissions. Geotechnical



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A Preliminary Geotechnical Report was prepared by GeoTek Inc., dated February 19, 2020. The report concluded that the site is feasible from a geotechnical viewpoint provided that recommendations are incorporated. Those recommendations have been referenced in the draft conditions of approval. Traffic The applicant submitted a Transportation Impact Study prepared by Chen Ryan dated August 2020 (Attachment PC-11). The study conducted a trip generation analysis to assess consistency with the level of service (LOS) goals and policies of the City’s General Plan Circulation Element. The assessment concluded that the project would generate a net increase of 616 average daily trips (ADT) with 62 AM peak and 70 PM peak trips. The analysis also concluded that the project would not contribute more than 50 peak hour trips on Interstate 5 or more than 20 peak hour trips on I-5 on/off ramps; therefore, a freeway analysis or ramp metering analysis was not conducted. The Transportation Impact Study found that road segments and intersection will comply with the applicable Circulation Element Policies. Roadway segments are projected to operate at LOS C or better with the implementation of the proposed project. In addition, all intersections are projected to operate at LOS D or better during both the AM and PM peak hours with the proposed project traffic except for the Quail Gardens Drive/Westlake Street/Encinitas Boulevard intersection, which will continue to operate at its existing LOS E during AM peak hour. A queueing analysis conducted concluded that there is acceptable storage at the project driveways. The project does include gates at both parking garage entrances. However, the Traffic Engineer may require the gates to remain open at any time if any issues arise due to queuing. Hydrology A Preliminary Drainage report was prepared by PLSA, Inc. dated August 2020. The report concludes that the project design adequately conveys the 100-year, six-hour storm event and has been designed to attenuate the 100-year storm event. The report also concludes that the post project runoff will not exceed what is currently leaving the site today and the project improvements will mitigate storm water impacts. Stormwater A Preliminary Stormwater Quality Management Plan (SWQMP) was prepared by PLSA, Inc. dated August 28, 2020. As required per the current NPDES Municipal Stormwater Permit, a project specific Priority Development Storm Water Quality Management Plan was prepared by SB&O Inc. to satisfy the requirements for stormwater pollution and hydromodification management. Phase I Environmental A Phase I Environmental Site Assessment Report was prepared by Partner Engineering and Science, Inc. dated July 13, 2020. The assessment revealed no evidence of recognized environmental conditions in connection with the subject property. The one environmental issue found was in regard to asbestos and lead based paint. The report recommended compliance with all applicable regulations pertaining to asbestos and lead-based paint prior to any renovation or demolition activities that may impact suspect materials.



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Density Bonus A housing development consisting of five or more residential units may propose a density bonus in accordance with the State Density Bonus Law (California Government Code Section 65915). The project proposes 140 residential units, and therefore, qualifies to apply for a density bonus under state law. The State Density Bonus Law allows a property owner to increase the density (number of new homes) allowed on their property above the maximum density set under the City’s General Plan, in exchange for affordable housing. The project proposes to develop a 3.4-acre parcel with 140 residential rental units. The property is located within the R30 Overlay Zone and is located within the Coastal Zone and Cultural/Natural Resources and Special Study Overlay Zones. The R30 zone is intended to provide for high density multiple-family residential development including apartments and condominiums with minimum lot sizes of 30,000 net square feet and maximum densities of 30 units per net acre with a minimum of 25 units per net acre. The net acreage is 3.3 acres, and yields a density of 42 du/net acres (140 units/3.3=42.42) The applicant is proposing multiple-family attached residential units consistent with the zone. The R30 Overlay Zone allows for densities of up to a maximum of 30 dwelling units per acre. The 2021 Housing Element Update made an assumption that the site would include 3.39 acres and allocated 84 units to the site. The gross acreage is 3.43 acres. According to the density calculations, the 3.43-acre property yields 103 units (3.43 x 30 dwelling = 102.9 rounded up) based upon the maximum density provided in the City’s General Plan and in the R30 Overlay Zone.

The project proposes 21 low-income affordable units, which is 20 percent of the total units exclusive of density bonus units (103 x .20 = 20.6 rounded up to 21). For the “low” income category, the maximum density bonus is 35 percent, which entitles the applicant to an additional 37 units (103 units allowed (maximum density) x 35 percent density bonus = 36.05 rounded up) for a total of 140 units permitted under Density Bonus (103 maximum base density units + 37 density bonus units = 140 units). The applicant is proposing 140 units total, including 119 market-rate units and 21 low-income affordable units. The project is conditioned to require the affordable units be reserved for low-income households in accordance with Government Code Section 65915. (See Standard Condition of Approval H 01 through H 05, in the attached draft Resolution of Approval (Attachment PC-1).) Condition H 03 also requires that an Affordable Housing Regulatory Agreement be prepared and recorded for the project, stipulating that the “low” affordable units be constructed and receive final occupancy prior to the release of occupancy for 50 percent of the market rate units, regardless if the apartments are developed in one phase or multiple phases. The affordable units are dispersed throughout each floor of the three-story building. The units will be comparable in exterior appearance and overall quality of construction to the market-rate units. The number of bedrooms of the affordable units equal the minimum number of bedrooms of the market rate units offering a mix ranging from one to three-bedroom affordable units as illustrated in the table below.



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AB2222 AB2222 is state legislation that amended the State Density Bonus Law. AB2222 requires that applications submitted after January 1, 2015 must indicate if the property has existing affordable rental units, or affordable rental units that were vacated or demolished, within a five-year period preceding the application. Under the law, the proposed development must replace the affordable units. The project site has historically been used for nonresidential uses and includes a vacant restaurant building, circular vacant building, temporary offsite trailer and eight shed structures occupied by various businesses. Therefore, the replacement of the unit is not required for this project.



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Incentive/Concession Requests According to the State Density Bonus Law, the number of incentives or concessions allowed for a project vary based upon the number and type (i.e. moderate, low, etc.) of reserved affordable units. The project is proposing 21 residential units to be reserved for “low” income households. Twenty one out of 103 units equates to 20 percent of the total units exclusive of density bonus. In accordance with State Density Bonus Law, if at least 20 percent of the total units exclusive of density bonus will be provided at the “low” income category, a project is allowed a total of two requested incentives or concessions. However, the project is not requesting any concessions. Waiver Requests In accordance with the State Density Bonus Law, the project is requesting one waiver to construct the development at the density allowed under the law. The project exceeds the minimum required density of 25 units per net acre with a proposed density of 42 du/net acre. Therefore, the project qualifies for waivers pursuant to the State Density Bonus Law. The applicant is requesting a waiver for one additional story in excess of the allowed three stories for the parking garage. The portions of the building with residential units will remain at three stories. The applicant submitted a Density Bonus Report which includes justification for the requested waiver, as allowed under the State Density Bonus Law. The primary justification includes the loss of one story of parking will result in the reduction of residential units because the parking would not meet code requirements. The Density Bonus Report and data to support the waiver requests are attached as part of Attachment PC-8. Waiver Request Findings - The State Density Bonus Law requires local agencies to grant the waiver requests unless one or more of the following findings can be made to deny the requested waiver:

1) The proposed waiver would have a specific adverse impact on public health and safety, or the physical environment or the physical environment and for which there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact without rendering the development unaffordable to low and moderate income households;

2) The waiver would have a specific adverse impact on any real property that is listed in the California Register of Historic Resources; or

3) The requested waiver is contrary to state or federal law.

The applicant has provided evidence that an additional parking garage story is required to meet the parking requirement of the 140 units, as outlined in the Density Bonus Report (Attachment PC-8). No evidence has been identified to demonstrate that the granting of the requested waivers would have an adverse impact to public health and safety, or the physical environment. Furthermore, the proposed waivers will not impact any historic property listed on the California Register of Historic Resources and would not violate any state or federal law. Inclusionary Housing Requirement Encinitas Municipal Code (EMC) Chapter 30.41 (Affordable Housing), applies to all new residential developments with seven or more units. The project proposes 140 new residential units and is subject to the City’s affordable housing/inclusionary requirements. According to EMC Section 30.41.050



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(Affordable Housing Requirements), rental residential developments shall provide 15 percent of the dwelling units for “low” income households or provide 10 percent of the dwelling unit to “very low” income households. The project is providing 21 residential units at the “low” income category. The project is providing 15 percent of the total dwelling units (excluding density bonus units) as affordable at the “low” income level (103 units x .15 = 15.45 rounded up to 16) to satisfy the inclusionary housing requirements. Sixteen of the 21 affordable dwelling units will be required to be deed restricted to ensure their affordability at the “low” level in perpetuity. The project includes a condition of approval to ensure project compliance with Inclusionary Housing requirements. Design Review Permit The Sunshine Gardens project is subject to objective City of Encinitas Design Guidelines.

2.6.6 Retaining walls that are internal to the project should be used only where grading considerations require their use. Retaining walls located on the project boundary are discouraged. If a retaining wall along the boundary is necessary, it shall be landscaped and/or constructed with quality materials with color and texture appropriate to the project’s architecture.

The retaining walls along Quail Gardens Drive will be landscaped and constructed of quality materials.

2.9.2 All roof-mounted equipment and/or ductwork, conduits, and other appurtenances should be located below the top edge of the fascia and/or roofline of the building.

The project will meet the R30 screening standard for roof-mounted equipment.

4.3.3 The creative use of paving materials is encouraged. Enhanced paving should be incorporated into major project entries and other areas as appropriate.

Enhanced paving is incorporated into the major entry at Quail Gardens Drive. Additional enhanced paving is provided at the driveway entrance on the east side of the property as well.

4.4.1 Driveway entrances into parking areas for commercial and multi-family projects should be minimized in order to avoid breaking the pedestrian continuity of the sidewalk areas. Driveways should be minimized in number by providing shared driveways at property lines. Care should be taken to ensure that other urban design concepts such as linear plazas and visual corridors are not compromised by these driveways.

The site is accessed from two locations, Quail Gardens Drive and Encinitas Boulevard. The Encinitas Boulevard access utilizes an existing shared access driveway and therefore is not creating an additional break in the sidewalk. The Quail Gardens Drive entrance is utilizing an existing entrance and relocating it. No additional entry points are proposed.

5.4.2 Large or long unbroken wall planes should be avoided. Building masses should be broken into smaller-scale elements. In order to produce

The facade wall plane requirement within the R30 Overlay zone was utilized as an objective metric for this design guideline. The project was found to be in compliance.



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shadows and visual relief, elevations should be articulated with eave overhangs, decks, porches, architectural projections and recesses, varied rooflines, varied materials and color, second story setbacks, courtyards, and projected windows.

In addition, the elevations demonstrate the varying heights of the roof line throughout the project. The large accent roof overhang along some of the elevations also visually break up the building. The building shape overall visually reduces the bulk and mass of the building. Decks with two types of railing are proposed avoiding a mono-tone appearance of the structure.

5.4.4 The roof is the most visible portion of the building and should be designed to provide architectural unity and interest to a building. Roof lines should be varied vertically and horizontally to provide greater visual relief. Roofing material and design should provide texture, pattern and overall interest to the building

The facade wall plane requirement within the R30 Overlay zone was utilized as an objective metric for this design guideline. The project was found to be in compliance.

5.8.3 Ground-mounted mechanical and electrical equipment shall be screened through the use of a wall, roof, fence, slopes, landscaping, berms, or combination thereof.

A condition of approval is included to ensure screening of ground-mounted mechanical and electrical equipment.

5.9.8 Signage should not dominate exterior building architecture or individual storefront design. Signs should be no larger than required for legibility and should respect the scale, proportions, colors, and materials of the buildings to which they are applied.

The proposed signage is 32 square feet, which is the allowable identification sign size.

6.2.1 All exterior lighting shall be directed and shielded to prevent glare to adjacent properties or streets.

A photometric lighting study was conducted, which showed that the proposed lighting meets the City’s lighting thresholds.

7.8.3 Landscape and site design shall incorporate Best Management Practices (BMPs) to control pollution in storm water runoff. Landscaped areas within the project shall be provided and used to treat runoff from impervious surfaces and roof drains prior to being discharged into the storm drain system. Landscape and site design shall be reviewed during the discretionary review process.

Best Management Practices have been incorporated within the project design.



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Fence/Walls Sheet L-1.5 includes a fence and wall plan. The plan includes Regalstone buff with pumice color CMU walls, Gabion walls, glass fencing around the pool and tube steel fencing. Retaining walls located along Quail Gardens Drive incorporate extensive landscaping for softening the appearance. Signage The requirements set forth in Section 30.60 of the Encinitas Municipal Code (EMC) apply for the subject property. EMC Section 30.60.070 allows for identification signs up to a maximum aggregate area for all signs of 32 square feet identifying a residential development of five or more units. The signs may be located on each entry affording primary vehicular access to the site and shall be integrated into an approved landscape plan and shall have a maximum height of six feet. Furthermore, EMC Section 30.60.070F states that signs shall either be attached to a building or affixed to rods, poles, or freestanding wall. The project is proposing a sign attached to the building at the intersection of Quail Gardens Drive and Encinitas Boulevard with maximum size of 32-square feet (Sheet A7.0). Grading/Engineering Improvements The project proposes up to 14.5 feet of fill and eight feet (8) of cut which requires the consideration and approval of a Design Review Permit, since the fill threshold of four feet (fill) and eight feet (cut) is exceeded as part of the grading design for the project. The fill occurs throughout the site to create the development pad and site improvements. The area of cut is limited and is also necessary to establish the development pad. The grading was found to be in compliance with the objective design standards. The project proposes grading quantities of approximately 40,000cy of fill and 500cy of cut requiring approx. 39,500cy of import. Furthermore, the project requires approximately 16,000cy of remedial grading for removal and recompaction of underlying soils. Because of the large amount of earthwork and remedial grading involved, the project applicant intends on processing a rough grading permit to establish pad elevations prior to approval of full development construction drawings and precise grading plans. The pad elevations for project site has been generally established at 158 feet, with a lower pad in the southwest corner at 155.5 feet. While these elevations require a considerable amount of fill, they are necessary to ensure proper drainage of sewer and stormdrain from the project site since the existing topography is lower than adjacent street and utility grades. The drainage and stormwater treatment measures are well-integrated into the project including a large biofiltration basin along Encinitas Blvd. which will be planted with landscaping consistent with the rest of the project. The project has been conditioned to ensure conformance with applicable codes and engineering requirements. The project proposes a stormdrain system at the north property boundary to collect and safely convey the large volume of offsite flow by utilizing the existing large diameter public stormdrain system running along the properties easterly boundary. The project also proposes a public maintenance vehicle access road along the property frontage to Encinitas Blvd. to allow City Public Works crews to access the existing public utility manholes along the corridor. Boundary Line Adjustment Pursuant to EMC Chapter 24.70 (Lot Line Adjustments), a lot line adjustment is required for lot line modifications. The project includes a request to adjust existing lots between two property owners (Sunshine Gardens and Quail Meadows). The resulting lots would meet all R-30 zone standards as



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demonstrated above. If approved, the applicant would be required to submit a certificate of compliance to adjust the property lines with application fees for review by the City and recordation prior to the issuance of the building permit. Any access easement rights as a result of the boundary line adjustment are a private matter. Local Coastal Program Consistency The project site is located within the Coastal Zone and requires the issuance of a regular Coastal Development Permit for the project. The project is consistent with the applicable policies of the General Plan. The project complies with the applicable zoning requirements in the R30, except as modified through the proposed Density Bonus. Therefore, the proposed project is consistent with the requirements of the City’s Local Coastal Program. PUBLIC NOTICE AND PARTICIPATION Public Notice Notice of this public hearing was mailed on August 18, 2021 to all property owners and occupants within 500 feet of the project site and to anyone who requested such notice in writing, in compliance with Government Code Sections 65090, 65091 and 65092, as applicable. Additionally, as a courtesy, the notice was posted at City Hall and on the Development Services Department’s Internet site under “Public Notices”. Citizen Participation Program In accordance with EMC Section 23.06.010, a Citizen Participation Program (CPP) meeting was held for this project on November 23, 2020, where approximately 20 members of the public attended. The project applicant presented the plans for the proposed Sunshine Gardens project. The meeting attendees discussed concerns with traffic including back up on Quail Gardens Drive and speed, ingress and egress, signal timing, U-turns, adequate space for trash collection and loading docks and vehicle circulation, parking, community character (loss of Sunshine Gardens), flooding, pedestrian/cyclist safety, shared access easement, site operational characteristics and amenities, number of affordable units, and infrastructure improvements. The applicant responded to the concerns raised in the CPP Final Report attached hereto as Attachment PC-6. Public Input Supplement Attachment PC-7 includes public correspondence received for the project. Additional meetings were held between the applicant and the owner to the east at the Quail Gardens Corporate Center. In addition, a combined Quail Meadows Housing Element site and Sunshine Gardens Housing Element site traffic meeting was conducted with neighbors on July 28, 2021 that included the Traffic Engineer and Planning staff as well as the applicants for both project sites to answer questions regarding traffic. Correspondence between the Quail Gardens Corporate Center and staff is included in Attachment PC-7 regarding waste management, the boundary line adjustment and fire access. Staff has addressed the comments within the staff report. ENVIRONMENTAL CONSIDERATIONS The project is statutorily exempt from CEQA under Government Code Sections 65583.2(h) and (i), which provide that, if a project is located on a site designated for ‘by right’ approval, contains at least 20 percent of the units affordable to lower income households, and does not require a subdivision, the City may only require design review approval of the project, and design review approval shall not



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constitute a “project” under CEQA. The Department of Housing and Community Development, by letter to the City dated October 8, 2019, stated that the “20 percent calculation is based upon the total number of units in the development exclusive of additional units provided by a density bonus.” (emphasis added) The Sunshine Gardens project is statutorily exempt from CEQA in that it is located in the R-30 Overlay Zone, which is designated for ‘by right’ approval by Encinitas Municipal Code Chapter 30.09, Zoning Use Matrix, Note 35; proposes that 21 of 103 units (20 percent), exclusive of additional units provided by a density bonus, will be affordable to lower income households; and does not require a subdivision. DISCUSSION The project is consistent with the goals and policies of the General Plan. The project complies with the R30 Overlay Zone land use standards and the applicable development standards including net lot area, lot coverage, lot depth, lot width, setbacks and height. One waiver is requested for one story, which is supported with the evidence provided within the Density Bonus report. The project also meets the parking requirements (pursuant to the State Density Bonus Law parking ratios) and provides a surplus parking of 41 surface spaces. FINDINGS Based on the findings for No Net Loss as per Section 65863 of the California Government Code and the aforementioned analysis, the Planning Commission has made the following findings to support the approval, with conditions:



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Finding for No Net Loss Explanation of Finding

The proposed development's residential density is consistent with the Housing Element, and the remaining sites identified in the Housing Element are adequate to meet the requirements of Government Code Section 65583.2 and to accommodate the City's share of the regional housing need pursuant to Section 65584. (Findings required by Government Code Section 65863.)

The remaining sites in the Housing Element inventory are adequate to meet the requirements of Section 65583.2 and to accommodate the City’s share of the regional lower income housing need pursuant to Section 65584. The proposed project does not reduce the density of the site below what was projected in the City’s Housing Element; the Housing Element shows a site capacity of 84 units, whereas 140 units are proposed. However, although the site was projected to contain 84 lower income units, the proposed project includes only 21 lower income units, 63 fewer than projected.

Nonetheless, the remaining sites in the inventory are adequate to accommodate the City’s share of the regional lower income housing need, based on the following: The City's Sixth Cycle Housing Element, adopted on April 7, 2021, requires that the City accommodate 838 lower income units as its share of the regional housing need, with 341 lower income units either constructed, approved, or projected to be provided through accessory dwelling units, leaving a remaining need for 497 lower income units. The sites designated in the Sixth Cycle Housing Element to meet the requirements of Section 65863.2 can accommodate at least 1,355 units.

On August 25, 2021, City Council approved the development of the Vulcan Housing Element Site reducing the lower income units remaining to 485 and the site capacity was reduced to 1,305 units.

If this project is approved, the remaining need for lower income units will be reduced to 464 units, and the site capacity will be reduced to 1,221 units, still in excess of the remaining need for lower income units.

Therefore, the remaining sites in the inventory are adequate to meet the requirements of Government Code Section 65583.2 and to accommodate the remaining share of the regional housing need pursuant to Section 65584.

Based on the findings for a Design Review Permit as per Encinitas Municipal Code Section 23.08.080 (Design Review) and the aforementioned analysis, staff has made the following findings to support the recommendation of approval, with conditions:

Findings for Design Review Permit Explanation of Finding

1. The project design is inconsistent with the General Plan, a Specific Plan, or the provisions of the Municipal Code.

The project is consistent with the provisions of the General Plan and provisions of the Municipal Code. The site is not located within a Specific Plan area.

2. The project design is substantially inconsistent with the Design Review

The project is consistent with the objective design guidelines of the City of Encinitas Design Guidelines.



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Guidelines.

3. The project would adversely affect the health, safety, or general welfare of the community.

No evidence has been provided indicating that the proposed project would adversely affect health, safety or general welfare of the surrounding neighborhood or community. All utilities and services are in place to serve the project.

Based on the findings for a Lot Line Adjustment per Encinitas Municipal Code Section 24.70.060 and the aforementioned analysis, the Development Services Department has made the following findings to support the recommendation of approval, with conditions:

Finding for Lot Line Adjustment Explanation of Finding

A. Create a condition, which does not comply with zoning and development regulation. All parcels resulting from a lot line adjustment shall comply with minimum City requirements for lot size, dimensions, access, parking and circulation, and all other applicable development standards established through the zoning and development code. The lot line adjustment shall also be found to promote available design standards and guidelines as established through the zoning and development code. The lots resulting from a lot line adjustment and existing and/or potential development on those lots shall be found to be within limitations for lot density and intensity of development and use as established through the zoning and development code.

The resulting lot will comply with the net lot size, lot width and lot depth standards for the R-30 Overlay zone.

B. Create a condition which does not comply with building regulations.

The proposed lot consolidation does not create a condition, which does not comply with building regulations.

C. Materially, adversely affect an agreement for the security for the construction of public improvements.

Public improvements and utility services are in place and available to serve the site, and no security agreements would be affected.

D. Extends beyond the City limit boundary.

The parcels are located within the City of Encinitas boundaries. This finding does not apply.

E. Requires substantial alteration of any existing improvement or creates a need for any new improvement.

The proposed lot line adjustment to modify underlying legal lots does not create a need for any

new improvements. F. Adjusts the boundary line between lots that

are subject to an agreement for public improvements, unless the City Engineer finds that the proposed adjustment will not materially affect such agreement for the security thereof.

The lot line adjustment only affects the interior common property line of the subject lots. Public improvements and utilities services are available to serve the site, therefore no agreement for public improvements will be affected by the proposed adjustment.

Based on the findings for a Coastal Development Permit as per Encinitas Municipal Code Section 30.80.090 (Coastal Development Permit) and the aforementioned analysis, staff has made the following findings to support the recommendation of approval, with conditions:



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Finding for Coastal Development Permit Explanation of Finding

1. The project is consistent with the certified Local Coastal Program of the City of Encinitas; and

The project, as conditioned, complies with all Municipal Code requirements and policies of the General Plan and thus is consistent with the Local Coastal Program.

1. The proposed development conforms with Public Resources Code Section 21000 and following (CEQA) in that there are no feasible mitigation measures or feasible alternatives available which would substantially lessen any significant adverse impact that the activity may have on the environment; and

The project is statutorily exempt from CEQA under Government Code Sections 65583.2(h) and (i), which provide that, if a project is located on a site designated for ‘by right’ approval, contains at least 20 percent of the units affordable to lower income households, and does not require a subdivision, the City may only require design review approval of the project, and design review approval shall not constitute a “project” under CEQA. The State Department of Housing and Community Development, by letter to the City dated October 8, 2019, stated that the “20 percent calculation is based upon the total number of units in the development exclusive of additional units provided by a density bonus.” (emphasis added) The Sunshine Gardens project is statutorily exempt from CEQA in that it is located in the R-30 Overlay Zone, which is designated for ‘by right’ approval by Encinitas Municipal Code Chapter 30.09, Zoning Use Matrix, Note 35; proposes that 21 of 103 units (20 percent), exclusive of additional units provided by a density bonus, will be affordable to lower income households; and does not require a subdivision.

2. For projects involving development between the sea or other body of water and the nearest public road, approval shall include a specific finding that such development is in conformity with the public access and public recreation policies of Section 30200 et. seq. of the Coastal Act.

The project site is located at the intersection of Quail Gardens Drive and Encinitas Boulevard which is not located between the sea and the first public road. Therefore, the requirements of Section 30200 et. seq. of the Coastal Act does not apply.

CONCLUSION The project is consistent with the objectives and policies of the General Plan and demonstrates compliance with the Municipal Code. The findings can be made to support the approval of the Density Bonus, Design Review Permit, Boundary Line Adjustment and Coastal Development Permit. Staff recommends that the Planning Commission approve Case Nos. MULTI-003629-2020; DR-003632-2020; BADJ-003630; & CDP-003631-2020, based upon the findings and conditions contained in the attached draft Resolution of Approval (Attachment PC-1). ATTACHMENTS PC-1 Proposed Project Resolution



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PC-2 Aerial Image PC-3 500-foot radius notification map PC-4 Application and Disclosure Statement PC-5 Public Notice PC-6 Citizen Participation Program PC-7 Public Input Supplement PC-8 Density Bonus and Affordable Housing Report PC-9 Postmaster Exhibit PC-10 EDCO Approval Letter PC-11 Transportation Impact Study/Access Circulation Plan PC-12 Access and Circulation Summary PC-13 Lighting Study/Photometric Lighting Study PC-14 Noise Report PC-15 Air Quality Report PC-16 Greenhouse Gas Report PC-17 Phase I Environmental Assessment PC-18 Arborist Report PC-19 Drainage Study PC-20 Sewer Study PC-21 Stormwater Quality Management Plan PC-22 Geotechnical Study PC-23 Paleontological Report PC-24 Cultural Report PC-25 Site Distance Exhibit PC-26 Project Plans PC-27 Lot Line Adjustment


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