The proposed floor plans are shown below in Exhibit 6 and Attachment 10. The first floor in Unit 1 features a two-car garage, a foyer area, a master suite with an attached bathroom, and a staircase leading upstairs. The second floor features the primary living space with the kitchen, dining area, living room, washer/dryer, and a full bathroom shared between two other bedrooms. The first floor in units 2 and 3 features a two-car garage and the primary living space, which includes the kitchen, dining area, living room, powder room, and a staircase leading upstairs. The second floor features the master suite with an attached bathroom, a designated laundry room for the washer/dryer, two other bedrooms and two full bathrooms. Building No. 6, which features one Unit 1, two Unit 2s, and one Unit 3, is designated as the ADA-accessible building, offering an ADA-accessible unit of each type. Because there is no communal trash enclosure proposed as part of this development, each unit features a three-foot wide area toward the back of the garage for the placement of a 65-gallon trash bin, a 65-gallon recycle bin, and a 35-gallon compost bin. Residents will be responsible for rolling out and placing the bins along the drive aisle during trash pick-up days. 

Exhibit 6: Floor Plans
     

ANALYSIS:
Per the requirements of LHMC Chapter 18.52 (PUD Overlay Zone), after receiving the Planning Commission's recommendation on any PUD permit application, the City Council is required to conduct a public hearing on the application. After the hearing, the City Council is required to approve, approve with conditions, or deny the application, taking into account everything submitted to and considered by the Planning Commission. Pursuant to LHMC Section 18.52.100, the City Council may grant approval of a PUD permit only if it can make all of the findings required to be made by the Planning Commission. The required findings are listed below; following each finding is Staff's analysis of the proposed Project's ability to meet the required findings. The granting, either with or without conditions, or the denial of such an application by the City Council is final. 

FINDINGS

A. That the location, design and proposed uses are compatible with the character of existing development in the vicinity.
The Project site is surrounded by residential uses. The Project has been reviewed under the development standards of the R-3 Zone and the PUD Overlay Zone as well as the LHMC Chapter 18.09 Objective Design Standards for Multi-Unit Development and found to be consistent with these requirements. The Applicant has proposed a Spanish/Mediterranean design that includes Sherwin-Williams “Alpaca” and “White Snow” colored stucco exteriors with a variety of accents that include contrasting taupe foam window trims, “Red Oak” clay s-tile roofing, second-story wrought iron elements, and “Black Bean” wooden awnings, faux shutters, entry doors, and fascia trims. The ground-floor garage doors are comprised of anodized metal but have wood finish cladding, reminiscent of historic mission-style doors. The second floor of the buildings consists of various windows accented by wooden faux shutters. Additional pop-out accents along the sides of each building provide a varying perception of depth.

By providing four units affordable to moderate-income households, the Applicant is eligible to utilize the State Density Bonus Law to increase the permitted number of units on the Project site, be subject to the State Density Bonus parking requirement for two and three-bedroom units, and reduce the PUD Overlay Zone's minimum requirement for ground-floor private patio dimensions. Therefore, the location, site design and proposed use is consistent with the surrounding residential developments within the vicinity as well as the site's zoning designation.

B. That the plan will produce, internally, an environment of stable and desirable character, and will not tend to cause any traffic congestion on surrounding or access streets.
The Project was screened through the North Orange County Collaborative VMT (Vehicle Miles Traveled) Traffic Study Screening Tool. According to the screening tool, the Project is located within a Low VMT Generating Zone. Per the Office of Planning and Research (OPR), a small project can be screened from VMT analysis if it is determined that the daily net trips will be less than 110 trips. Based on the Project size, the net daily trips are expected to be 99 trips (148 estimated daily trips minus 49 estimated existing trips). Additionally, Walnut Street is classified as a Commuter Arterial roadway, which is designated as a two-lane undivided, unrestricted access roadway, with an ultimate right-of-way width of 60 feet and a curb-to-curb width of 40 feet. While the number of trips generated by this development was anticipated in the Circulation Element of the General Plan, a five-foot street dedication along the Walnut Street frontage will be included as part of the construction to bring the curb-to-curb width up to the 40-foot standard. Otherwise, the proposed development is not anticipated to cause any further traffic congestion along Walnut Street or the surrounding area. Additionally, the interior drive aisles are of adequate and appropriate width for two-way vehicular traffic and circulation is satisfactory of the minimum 20-foot drive aisle width for fire access even on trash pick-up days. Lastly, building heights, lot coverage, landscaping, and vehicular access for this Project make for a development that is cohesive with the surrounding properties. Therefore, the Project will produce, internally, an environment of stable and desirable character, and will not tend to cause any traffic congestion on surrounding or access streets.

C. That all applications for the proposed use have been processed, including any conditional use permit applications.
The Applicant filed applications for Tentative Tract Map 19344 (TTM24-0004) and Planned Unit Development (PUD2M24-0002) for this proposed Project. At the January 13, 2025 Planning Commission meeting, the Planning Commission adopted Resolution No. 25-02, approving Tentative Tract Map 19344 (TTM24-0004) and recommending that the City Council introduce an Ordinance to approve Planned Unit Development (PUD2M24-0002). Therefore, all required applications have been processed.

D. That the standards of development applicable to the planned unit development are clearly designated in the proposed planned unit development ordinance or plans approved thereunder and/or supplementary text material. 
The Project site is located within the Multi-Unit Dwelling (R-3) Zone, which implements the General Plan's Residential Medium Density land use designation, and the Planned Unit Development (PUD) Overlay Zone. The regulations set forth in the PUD Overlay Zone are in addition to the regulations set forth in the underlying zone (R-3 Zone). The Project has been reviewed under the development standards of the R-3 Zone and the PUD Overlay Zone as well as LHMC Chapter 18.09 (Objective Design Standards for Multi-Unit Residential and Mixed-Use Development) and found to be consistent with the development standards pertaining to building height, lot coverage, setbacks, and onsite landscaping. Pursuant to the State Density Bonus Law, by providing affordable housing, the Applicant is eligible to increase the permitted number of units on the Project site. Based on the size of the Project site, the R-3 Zone permits a maximum of 20 dwelling units to be developed on the property; State Density Bonus Law, which is implemented in LHMC Chapter 18.80, allows the Applicant to increase the permitted density (20 units) by 10% (2 units) in exchange for making at least 15% (4 units) of the 22 total units affordable to moderate-income households. Additionally, pursuant to the State Density Bonus Law, the Applicant is entitled to a waiver/reduction in the PUD Overlay Zone's ground-floor private patio dimensions. Further, the Project is subject to State Density Bonus Law parking requirements, which the Applicant is exceeding by providing 15 more parking spaces than required by the State for this site. Therefore, the applicable development standards are clearly designated.

E. That the proposed development will be well integrated into its setting.
The subject site is located within a residential area, in the Limited Multiple Family Dwelling (R-3) Zone. The existing building on the site was last occupied in 2021 by Kilian Fire Sprinkler Corporation, a nonconforming use. The proposed development of the site with a multi-unit residential project will bring the site into conformance with the current zoning designation. There are single-story single-unit residences to the north, south, and west of the site and a two-story multi-unit apartment complex to the east. The development includes new six-foot tall block walls along the northern and southern boundaries and the reuse of the existing seven-foot-tall block wall along the eastern boundary to ensure both security and privacy for both tenants of this development and residents of the surrounding properties. Therefore, the proposed development will be well integrated into its setting.

F.  That provision is made for both public and private open space, at least equivalent to that required in the primary zone.
The proposed Project meets the minimum open space requirements for the PUD Overlay Zone, which requires 250 square feet of private and common open space per unit.  As shown in the table below, the proposed width of the ground-floor patios does not meet the minimum eight-foot dimension required for the R-3 Zone; however, the Applicant is entitled to and has requested a waiver/reduction in the minimum dimensions pursuant to the State Density Bonus Law. The Applicant has conveyed that the reduced width of the patios is necessary due to the overall size of the site because complying with the minimum dimension requirements for the width of the patios would decrease the interior square footage and livable space and possibly even eliminate units. Further, the size of the overall patio area exceeds the minimum requirements. 

Open Space Requirements

 

Therefore, provision is made for both public and private open space, at least equivalent to that required in the primary zone.

G.  That suitable provision is made, where appropriate, for the protection and maintenance of private areas reserved for common use.
The Project will provide a total of 9,299 square feet of common usable yard area that will feature a patio cover with lighting, barbeque grills, and a seating area. The community amenities will be maintained through the establishment of Covenants, Conditions and Restrictions (CC&Rs), which is a condition of approval for the Tentative Tract Map.  Further, the conditions of approval for the Planned Unit Development require the development of the project to be in substantial conformance with the final plans as approved by the Planning Commission and City Council. Therefore, suitable provision is made for the protection and maintenance of private areas reserved for common use.

H.  That the proposed development does not negatively impact the City’s ability to provide services over the short and long term to City residents because the projected cost of providing City services to the property outweighs the economic benefits of the project to the City.
The Project scope involves the demolition of an existing nonconforming industrial building and redevelopment of the site with a multi-unit residential complex on a parcel zoned for multi-unit use. There will be no substantial change to the City’s ability to provide services to the site as a trip generation analysis was prepared and concluded that the net daily trips along Walnut Street as a result of the Project are expected to be 99 trips (148 estimated daily trips minus 49 estimated existing trips), which is below the 110 trip threshold that would trigger a VMT study and further analysis of anticipated traffic around the site. The site is adequately served by the La Habra Police Department, the Los Angeles County Fire Department, the City of La Habra (water, trash, and sewer), and parks. In addition, each public safety division of the City has also reviewed the Project and provided any necessary conditions of approval. All Project-related public utilities, infrastructure, and services are already in place; therefore, the Project does not negatively impact the City’s ability to provide services over the short and long term to City residents.

I.  That the proposed project complies with all requirements of the California Environmental Quality Act. 
This Project was reviewed pursuant to the guidelines of the California Environmental Quality Act (CEQA) and determined to be categorically exempt under Section 15332, Class 32: "In-fill Development Projects" of the CEQA Guidelines in that the Project is consistent with the General Plan designation and all applicable General Plan policies, the Project site is less than five acres and surrounded by urban uses. The site is currently developed with a legal, nonconforming industrial building that was last occupied by Kilian Fire Sprinkler Corporation in 2021. As a result, the Project site has no value as a habitat for rare or endangered fish or wildlife. The Project was screened through the North Orange County Collaborative VMT (Vehicle Miles Traveled) Traffic Study Screening Tool. VMT measures the per capita number of car trips generated by a Project and distance vehicles will travel to and from a project. The use of VMT for analyzing transportation impacts emphasizes the reduction in the number of vehicle trips and vehicle miles traveled to encourage the development of jobs, housing and commercial uses in proximity to each other and near public transportation. According to the screening tool, the Project is located within a Low VMT Generating Zone. Per the Office of Planning and Research (OPR), a small project can be screened from VMT analysis if it is determined that the daily net trips will be less than 110 trips. Based on the Project size, the net daily trips are expected to be 99 trips (148 estimated daily trips minus 49 estimated existing trips). Therefore, the Project is not subject to a VMT analysis. Lastly, approval of the Project would not result in significant impacts to noise, air quality or water quality, as the project is a residential development proposed on a residentially zoned parcel and surrounded by existing residential developments on all sides. Because this is a redevelopment project, the site can and will continue to be adequately served by all utilities and public services. Therefore, the Project is categorically exempt from CEQA.

J. That there is reasonable assurance that the applicant intends to and will be able to proceed with the execution of the project without undue delay.
The Applicant has indicated that they will submit construction drawings for building plan check immediately upon completion of the entitlement process. Therefore, the Applicant has provided a reasonable assurance that the Applicant intends to and will proceed with execution of the Project without undue delay.

K. That there is substantial compliance with the spirit and intent of this title.
The General Plan designates the Project site for Residential Medium Density (Up to 14 units/ac) land use, and it is located within the Limited Multiple Family Dwelling (R-3) Zone, which implements the General Plan's Residential Medium Density land use designation, and the Planned Unit Development (PUD) Overlay Zone. The regulations set forth in the PUD Overlay Zone are in addition to the regulations set forth in the underlying zone (R-3 Zone). The Project has been reviewed under the development standards of the R-3 Zone and the PUD Overlay Zone as well as the LHMC Chapter 18.09 (Objective Design Standards for Multi-Unit Residential and Mixed-Use Development) and found to be consistent with these requirements, except for those development standards for which the Applicant is entitled to, and has elected to utilize, waivers/reductions pursuant to the State Density Bonus Law. By providing affordable housing, the Applicant is eligible to utilize the State Density Bonus Law to increase the permitted number of units on the Project site. Based on the size of the Project site, the R-3 Zone permits a maximum of 20 dwelling units to be developed on the property; the State Density Bonus Law, which is implemented in LHMC Chapter 18.80, allows the Applicant to increase the permitted density (20 units) by 10% (2 units) in exchange for making at least 15% (4 units) of the 22 units affordable to moderate-income households. Additionally, pursuant to the State Density Bonus Law, the Applicant is entitled to a waiver/reduction in the PUD Overlay Zone's ground-floor private patio dimensions. Further, the Project is subject to State Density Bonus Law parking requirements, which the Applicant is exceeding by providing 15 more parking spaces than required for this site. Therefore, there is substantial compliance with the spirit and intent of the Zoning Ordinance.

Pursuant to the State of California Housing Accountability Act (California Government Code Section 65589.5): 

(1) When a proposed housing development project complies with applicable, objective general plan, zoning, and subdivision standards and criteria, including design review standards, in effect at the time that the application was deemed complete, but the local agency proposes to disapprove the project or to impose a condition that the project be developed at a lower density, the local agency shall base its decision regarding the proposed housing development project upon written findings supported by a preponderance of the evidence on the record that both of the following conditions exist:
 

(A) The housing development project would have a specific, adverse impact upon the public health or safety unless the project is disapproved or approved upon the condition that the project be developed at a lower density. As used in this paragraph, a “specific, adverse impact” means a significant, quantifiable, direct, and unavoidable impact, based on objective, identified written public health or safety standards, policies, or conditions as they existed on the date the application was deemed complete.

(B) There is no feasible method to satisfactorily mitigate or avoid the adverse impact identified pursuant to paragraph (1), other than the disapproval of the housing development project or the approval of the project upon the condition that it be developed at a lower density.

As set forth in this staff report, the proposed project complies with all applicable general plan, zoning, and subdivision standards and criteria. Therefore, pursuant to the Housing Accountability Act, if the City Council seeks to disapprove or reduce the density of the proposed housing development project, it would need to first make written findings supported by a preponderance of the evidence that (1) the project would have a specific adverse impact on public health or safety, and (2) there is no feasible method to satisfactorily mitigate or avoid the adverse impact identified other than disapproval of the project or approval of the project on the condition that it be developed at a lower density.

PLANNING COMMISSION ACTION:
Moved by Chair Manley and seconded by Commissioner Ramsland, Approving Resolution No. 25-02 Entitled: A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF LA HABRA, CALIFORNIA, MAKING THE REQUIRED FINDINGS AND APPROVING TENTATIVE TRACT MAP NO. 19344 (TTM 24-0004) TO ALLOW A RESIDENTIAL SUBDIVISION TO CREATE 22 CONDOMINIUM UNITS AT 300 SOUTH WALNUT STREET (ASSESSOR'S PARCEL NUMBER 298-066-16), SUBJECT TO CONDITIONS, MAKING THE REQUIRED FINDINGS AND RECOMMENDING THAT THE CITY COUNCIL APPROVE PLANNED UNIT DEVELOPMENT 24-0002 TO CONSTRUCT A 22-UNIT RESIDENTIAL COMPLEX (INCLUDING FOUR UNITS FOR SALE TO MODERATE-INCOME HOUSEHOLDS) AT 300 SOUTH WALNUT STREET (ASSESSOR'S PARCEL NUMBER 298-066-16), AS PER THE APPROVED PLANS AND SUBJECT TO CONDITIONS, AND MAKING THE DETERMINATION THAT TTM 24-0004 IS EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) PURSUANT TO SECTION 15332, CLASS 32: "INFILL DEVELOPMENT PROJECTS" OF THE CEQA GUIDELINES.

The roll call vote was as follows: 
AYES: COMMISSIONERS : MANLEY, RAMSLAND, MEHECHA, CARDENAS
NOES: COMMISSIONERS: NONE
ABSTAIN: COMMISSIONERS: NONE
ABSENT: COMMISSIONERS: NONE