This project was reviewed pursuant to the guidelines of the California Environmental Quality Act (CEQA) and determined to be Categorically Exempt pursuant to Section 15303(c), Class 3: "New Construction or Conversion of Small Structures" of the California Environmental Quality Act Guidelines. The project involves the demolition of a 5,400 square foot commercial building and the reconstruction of a 3,630 square foot drive-through restaurant in an urbanized area. The proposed structure does not exceed 10,000 square feet in floor area. The site is zoned for commercial uses. The use of a drive-through restaurant does not involve the use of hazardous substances, all necessary public services and facilities are available and the surrounding area is not environmentally sensitive. The project is not subject to any of the exceptions for exemption under Section 15300.2 of the CEQA Guidelines. The location of the project is predominantly urban and not considered a sensitive environment; therefore, the project will not result in any significant environmental impact. The project is not located along any state designated scenic highway nor within any designated hazardous waste site. Staff does not expect any significant impacts or unusual circumstances related to the approval and construction of the project. 

A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF LA HABRA, CALIFORNIA, MAKING THE REQUIRED FINDINGS AND APPROVING DESIGN REVIEW 22-08 AND CONDITIONAL USE PERMIT 22-26 FOR THE CONSTRUCTION AND OPERATION OF A DRIVE-THROUGH RESTAURANT (KRISPY KREME DOUGHNUTS) AT 1201 WEST IMPERIAL HIGHWAY, AS PER THE APPROVED PLANS AND SUBJECT TO CONDITIONS AND MAKING A DETERMINATION THAT THE PROJECT IS EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT PURSUANT TO SECTION 15303, CLASS 3: "NEW CONSTRUCTION OR CONVERSION OF SMALL STRUCTURES" OF THE CALIFORNIA ENVIRONMENTAL QUALITY ACT GUIDELINES.

The Applicant, La Habra Associates LLC, is requesting to demolish an existing building previously occupied by Banc of California and construct a new drive-through restaurant (Krispy Kreme Doughnuts). The subject property is part of an integrated shopping center (La Habra Marketplace), located on the north side of Imperial Highway between Beach Boulevard and Idaho Street. The La Habra Marketplace is approximately 35 acres in area and contains 14 pad buildings, three drive-through restaurants, and two multi-tenant buildings that contain a variety of retail uses, restaurants, a movie theater, and professional/service oriented businesses. The La Habra Marketplace is designated by the General Plan for Community Shopping Center 2 land use and located within the C-2sH (Community Shopping Center High Density) Zone, which implements the General Plan Community Shopping Center 2 land use designation.

As shown in Exhibit 1, the site is located northwest of the intersection of Imperial Highway and Idaho Street; southeast of the movie theater and east of the IHOP restaurant. The project site is currently improved with a 5,400 square foot commercial building, which will be demolished allowing the construction of a new 3,630 square foot drive-through restaurant.

EXHIBIT 1



As indicated in Exhibit 2, the proposed drive-through lane will wrap around parking spaces, located east of the front entrance of the building; continue south of the 980-square foot outdoor seating area, where the menu board and speaker will be located; and then, to the east side of the building, where the pick-up window will be located. The drive-through will be able to accommodate 15 vehicles in a single lane. 

EXHIBIT 2



Exhibit 3 includes a floor plan which shows that the main entrance to the restaurant will be located along the west building elevation and face the IHOP restaurant. The restaurant's interior will include a sales area, dining area with 20 seats and five tables and customer restrooms. The remaining floor plan area will consist of employee work areas such as a processing area for the production of doughnuts, and a storage area for the wholesale and delivery service. The restaurant proposes to operate 24 hours a day, seven days a week. The drive-through will operate 24 hours a day, and the interior dining area will be open from 5:30 a.m. to 10:00 p.m. daily.  The restaurant will include approximately 50 employees total with 10 to 15 employees working per shift.  The restaurant will sell doughnuts, ice cream and hot and iced coffee to dine-in and drive-through customers. In addition, the restaurant will sell and deliver their products to grocery stores, convenience stores, motels, hotels and other businesses. The deliveries will take place at night, using four delivery box trucks as shown in Exhibit 4, that will be parked onsite. According to the Applicant, loading and deliveries will take place between 9:00 p.m. to 10:00 p.m. daily. The box trucks will return from their delivery routes between 4:30 a.m. to 6:00 a.m. and will be parked near the building's loading area located near the north side of the building.  According to the project's Parking Study, the project area (Zone 3) will yield a surplus of 27 parking spaces, therefore, the shopping center can accommodate the parking demand for the restaurant and the use of four parking spaces for the delivery vehicles.
 
EXHIBIT 3


EXHIBIT 4



As depicted in Exhibit 5, the drive-through restaurant will utilize contemporary architectural style elements, similar to those found on other buildings located within the same center. The building will be improved with a white brick veneer and a gray horizontal corrugated metal siding along part of the building along with a green accent color to highlight the metal awnings located above the doors and drive-through pick up window. The building will feature a unique architectural fin that emulates the Krispy Kreme logo along the south building elevation. The applicant is also proposing to install three doughnut-shaped aluminum panels on the east building elevation along Idaho Street. Similar design features have been approved for other new commercial buildings (i.e. Raising Canes), as part of the Design Review process.  

EXHIBIT 5





Traffic Study, Parking Study and Traffic Management Plan
The Applicant submitted a comprehensive Traffic Study, prepared by Kimley Horn and Associates (Consultant), dated December 2022. The Traffic Study analyzed traffic impacts, trip generation and vehicle queuing data for the project. The Traffic Study determined that the project is expected to generate 561 net trips, while the existing bank generates 359 trips. The proposed drive-through is estimated to generate 116 net trips in the morning peak hour and 12 fewer trips in the evening hour. Based on the analysis, the traffic generated by the project is minimal, and no mitigation is required.

Based on the Consultant's observations of three other similar Krispy Kreme Doughnut drive-through restaurant locations in the cities of Long Beach, Industry and San Diego, the Traffic Study concluded that the average vehicle queue from all three sites was 13 vehicles, with a maximum queue of 23 vehicles observed at the City of Industry location on a weekday morning. As noted above, the drive-through has been designed to accommodate 15 vehicles in a single lane. In the event that the queue exceeds 15 vehicles, the Traffic Study recommends a Traffic Management Plan that would allow the queue to be extended to as many as 50 vehicles through the use of directional signs and by having employees monitor the parking lot area.

Staff has reviewed the Traffic Study and concurs with its findings and the recommendations of the Traffic Management Plan. Implementation of the Traffic Management Plan is included as a condition of approval for the proposed project. The project is not subject to the preparation of a Vehicle Miles Traveled (VMT) analysis based on the VMT methodologies formulated by the North Orange County Cities (NOCC) SB 743 Implementation Study. Pursuant to the NOCC VMT Screening and Testing Tool, local service retail uses less than 50,000 square feet are screened out from a VMT analysis and are presumed to have a less than significant transportation impact. Staff confirmed that the project screens out based on its classification as a local-serving retail uses of less than 50,000 square feet of gross floor area.

The Applicant also provided a Parking Study, prepared by p2sk Engineers, dated November 2022. The Parking Study evaluated the project's parking impacts within the La Habra Marketplace shopping center. The Parking Study divided the shopping center into five different parking areas or zones. The proposed project is located within Zone 3 situated along the easterly end of the center. Zone 3 includes the IHOP restaurant and the pad building west of IHOP. Zone 3 includes a total of 428 parking spaces. According to the data, the projected parking demand within Zone 3 with full tenant occupancy of the pad building, IHOP, and the proposed project will yield a surplus of 27 parking spaces. Therefore, no significant impacts on the parking demand will be generated by the proposed project.

C-2sH Zone Development Standards
The table below identifies the C-2sH development standards required by the City and compares them against the proposed project. As indicated in the table, the proposed project complies with the City's development standards. The proposed project includes building setbacks that are greater than what is required by the Zoning Code. Based on the project's Parking Study, the project area (Zone 3) will provide a surplus of 27 parkign spaces. 
 

C-2sH Development Standards	City Requirements	Proposal
Building Height	Max. 60 feet	24 feet
Front Setback (South)	Min. 15 feet	66 feet
Street Side Setback (East)	Min. 10 feet	26 feet
Side Setback (West)	Min. 0 feet	60 feet
Rear Setback (North)	Min. 20 feet	Approx. 360 feet
Floor Area Ratio (FAR)	Max. 66,504 sf (80 %)	0.04 %
Parking	Min. 30 spaces (8 per ksf GFA)	30 spaces required  Parking Study Provided
Approx. = Approximately Max. = Maximum Min. = Minimum sf    = square feet ksf   = 1,000 square feet GFA = Gross Floor Area

REQUIRED FINDINGS

Design Review 22-08
Pursuant to La Habra Municipal Code (LHMC) Section 18.32.050.C.2 all new development and major remodeling within the C-2sH Zone is subject to a Design Review by the Planning Commission in accordance with Chapter 18.68 of the LHMC. Pursuant to LHMC Section 18.68.050, in order to grant approval of the Design Review, the Planning Commission must make the findings listed below. Staff has provided justification in support of each of the following findings:

1. The proposed plan is consistent with the city's general plan.
The project site is designated by the General Plan for Community Shopping Center 2 land use which is characterized by a variety of commercial uses serving the larger citywide area as well as the immediate surrounding communities. These centers typically have a principal outlet or anchor that includes a variety store, supermarket, or home improvement store and a range of food, convenience goods, and specialty retail/merchandise commercial uses. The development of a drive-through restaurant is consistent as the restaurant services will contribute to the variety of dining options made availably to residents and visitors.

The proposed plan is also consistent with General Plan Policy LU 2.2, which "encourages the development of a broad range of uses in La Habra's commercial centers and corridors that reduce the need to travel to adjoining communities and which subsequently capture a greater share of local spending." The proposed restaurant will provide residents with an additional dining option within the center.  The new building has been designed to meet current setback standards, parking and landscaping requirements. Vehicle access and onsite circulation has also been analyzed via a comprehensive traffic study to verify that the project's anticipated vehicle queues can be contained onsite. Therefore, the proposed plan is consistent with the City's General Plan.

2. The proposed plan is consistent with the city's zoning ordinance.
The project site is zoned C-2sH (Community Shopping Center High Density). The proposed plan includes the demolition of a commercial building and the construction of a smaller drive-through restaurant. The proposed drive-through restaurant has been designed in compliance with all C-2sH Development standards. Therefore, the proposed plan is consistent with the Zoning Ordinance.

3. The proposed plan is in the best interests of the public health, safety, and welfare of the community.
All new commercial projects must be designed to comply with current Zoning Code standards and the General Plan to ensure that all projects achieve the goals that promote public health, safety and welfare of the community. Included are zoning regulations related to building setbacks, onsite parking and landscaping improvements. The project must also comply with Building and Safety, Public Works and Fire requirements during the construction phase. The proposed plan is in compliance with all of the appropriate development standards. In addition, the project includes a Traffic Management Plan to be implemented during peak periods to contain all vehicles onsite in a safe and organized manner. Therefore, the proposed plan is in the best interests of the public health, safety and welfare of the community. 

4. The nature of the proposed land use and the design is appropriate for the proposed location and is compatible to the surrounding land uses and improvements.
The project site is part of an integrated shopping center that is approximately 35 acres in area that already contains three drive-through restaurants and other commercial pad buildings that contain a variety of retail uses, restaurants, a movie theater, and professional/service-oriented businesses. The development of a fourth drive-through restaurant is appropriate as there is sufficient area available for all the proposed onsite improvements and the proposed use is compatible with the surrounding uses. The project's architectural design including the exterior materials and colors are consistent with the updated architectural theme of the La Habra Marketplace shopping center. The proposed project was reviewed to ensure compliance with all applicable development standards including the evaluation of vehicle trips and drive-through queuing. Therefore, the nature of the proposed land use and design are appropriate for the proposed location and compatible to the surrounding land uses and improvements.

5. The project complies with all requirements of the California Environmental Quality Act.
The project was reviewed pursuant to the guidelines of the California Environmental Quality Act (CEQA) and determined to be Categorically Exempt pursuant to Section 15303, Class 3: "New Construction or Conversion of Small Structures" of the California Environmental Quality Act Guidelines. The project involves the demolition of a 5,400 square foot commercial building and the reconstruction of a 3,630 square foot drive-through restaurant. Therefore, the proposed project does not exceed the 10,000 square feet threshold for new development within an urbanized area. The project is not subject to any of the exceptions for exemption under Section 15300.2 of the CEQA Guidelines. Staff does not expect any significant impacts or unusual circumstances related to the approval and construction of this project. Therefore, the project is categorically exempt from CEQA.

Conditional Use Permit 22-26
Pursuant to LHMC Section 18.06.040.A, a Conditional Use Permit (CUP) is required for a restaurant within the C-2sH Zone. Pursuant to LHMC Section 18.66.070.C, in order to grant the CUP for this request, the Planning Commission must make the findings listed below. Staff has provided justification in support of each of the following findings:

1. The granting of such conditional use permit will not be detrimental to the public welfare and will not unreasonably interfere with the use, possession and/or enjoyment of surrounding and adjacent properties and will not impair the character of the zone in which it is to be located.
The proposed project is located within an integrated shopping center approximately 35 acres in area containing 14 pad buildings, three drive-through restaurants, and two multi-tenant buildings that contain a variety of retail uses, restaurants, a movie theater, and professional/service-oriented businesses. The proposed project was reviewed to ensure compliance with all applicable development standards including the evaluation of vehicle trips and drive-through queuing. The data contained in the comprehensive Traffic Study supports the project's drive-through design. Therefore, the granting of the CUP will not be detrimental to the public welfare or unreasonably interfere with the use, possession or enjoyment of surrounding and adjacent properties or impair the character of the C-2sH Zone. 

2. The subject site is physically suitable for the type of land use being proposed.
The proposed drive-through restaurant is approximately 1,770 square feet smaller than the commercial building that will be demolished, allowing for an improved drive-through design taking into consideration onsite vehicle circulation and queuing areas. The project area is also located within a commercially zoned property, adjacent to other dine-in and drive-through restaurants. The design of the vehicle queuing area is such that all traffic can be contained onsite. The project area will be completely improved in compliance with current development standards. Therefore, the site is physically suitable for the type of land use being proposed.

3. The use is conditionally permitted within the subject zone and complies with the intent of all applicable provisions of this title.
Pursuant to La Habra Municipal Code (LHMC) Table 18.06.040.A, the operation of a restaurant located within the C-2sH zone is allowed with the approval of a CUP. The project plans associated with the CUP have been reviewed for compliance with all applicable development standards. Therefore, the proposed use is conditionally permitted within the C-2sH Zone and complies with the intent of all applicable provisions of the Zoning Code.

4. The granting of this conditional use permit is consistent with the comprehensive general plan.
The development of a drive-through restaurant is consistent with La Habra's General Plan Policy LU 2.2 which "encourages the development of a broad range of uses in La Habra's commercial centers and corridors that reduce the need to travel to adjoining communities and which subsequently capture a greater share of local spending." The proposed restaurant will provide residents with an additional dining option within the shopping center. The use of the drive-through or dine-in service including the use of the outdoor seating area enhances the dining experience. Therefore, granting the CUP is consistent with the General Plan. 

Related Cases

The Applicant has paid for the processing costs associated with the Design Review and Conditional Use Permit which total $12,107.00.

The Applicant's proposal has been reviewed pursuant to the requirements of the City's National Pollutant Discharge Elimination System (NPDES) Municipal Permit, the Local Implementation Plan (LIP), and the Model Water Quality Management Plan (WQMP), Section 7.2. Since the proposed project will constitute the disturbance of more than 5,000 square feet of soil, a Priority WQMP is required. A Preliminary Priority WQMP has been reviewed and approved. The Final WQMP will be required prior to the issuance of a building permit final.