Public hearing followed by discussion and possible action on any and all matters regarding Variance Case No. 2026-0024 - Villegas Mixed-Use Project. A request by Fernando Villegas, owner, for a variance from the City of San Luis Zoning Ordinance Section 18.35.040 Table No. 7 to reduce the minimum front setback required from 15 ft. to 10 ft. and street side setback from 10 ft. to 5 ft. and to allow parking egress in backward motion into the public right-of-way in a Neighborhood Commercial District (C-1) on property located at 690 N Cesar Chavez Street in San Luis, Arizona.  (Jose A. Guzman, Director of Development Services)

A. Staff presentation
B. Open Public Hearing
C. Call to the public on this item
D. Close Public Hearing
E. Action on Variance Case No. 2026-0024

The property in question is located at 690 N. Cesar Chavez Street, assessor parcel number 775-46-207, and is zoned as Neighborhood Commercial (C-1). The request is to reduce the minimum front setback required from 15 ft. to 10 ft. and street side setback from 10 ft. to 5 ft. from the City of San Luis Zoning Ordinance Section 18.35.040 Table No. 7 and to allow a parking egress in backward motion instead of forward motion into public right of way as required in the City of San Luis Zoning Ordinance Section 18.75.020 (B). 

The parcel contains 1,710 sq.ft. where the minimum lot size in commercial zoning districts is 8,000 sq.ft. 

The purpose of this variance is to increase the buildable area by reducing the required minimum front and street side setbacks for a proposed two-story building, which will have commercial office space on the first floor and a studio apartment on the second floor. Residential units in a Neighborhood Commercial (C-1) Zoning District are allowed above the first floor or behind the commercial frontage as per City of San Luis Zoning Ordinance Section 18.35.020 (B)(1).

Because the project involves residential and commercial uses, the parking requirement shall meet both uses as required by the City of San Luis Zoning Ordinance Section 18.75.040 Table 15, providing parking for the residential and commercial portions of the project.

The C-1 district contains a significant number of legal nonconforming uses that were established prior to adoption of current zoning standards. Staff has been working on a proposed mixed-use overlay district intended to better align zoning regulations with existing development patterns in the downtown area and to provide additional flexibility for residential and multifamily development. That process is legislative in nature and separate from the variance process. The Board’s decision on this request must be based on the current zoning standards and the required variance findings.

AGENCY REVIEW:
As with all variance requests, this was distributed to various review agencies and City Departments. We did not receive any comments.

As required by State Statute, staff sent notification letters to property owners within 300 feet of the proposed project (38 letters sent).  

CRITERIA FOR APPROVAL:
All requests for a variance from the City of San Luis Zoning Ordinance must meet the criteria for a variance as set forth in the City of San Luis Zoning Ordinance. A variance is not a right. It may be granted to an applicant only if the applicant establishes compliance with all of the hardship criteria established in A.R.S. §9-462.06 and is Section 18.15.060 (C) of the Zoning Ordinance. In all cases, the application shall address all the following hardship criteria:

1. There exist special circumstances or conditions regarding the land or building referred to in the application, which do not apply to other properties in the zoning district.
2. The above special circumstances or conditions are preexisting and are not created or self-imposed by the owner or applicant.
3. The variance is necessary for the preservation of substantial property rights. Without a variance, the property cannot be used for purposes otherwise allowed in this zoning district.
4. The authorizing of the variance will not be materially detrimental to persons residing or working in the vicinity, to adjacent property, or to the neighborhood or the public welfare.

The Arizona Revised Statutes (§9-462.069-462.06. Board of adjustment) further state that the Board may not:

1. Make any changes in the uses permitted in any zoning classification or zoning district.
2. Grant a variance if the special circumstances applicable to the property are self-imposed by the property owner.

ANALYSIS:
1. There exist special circumstances or conditions regarding the land or building referred to in the application, which do not apply to other properties in the zoning district. 

Staff reviewed lot sizes within the C-1 zoning district. There are 102 total lots within the district. Of those, 70 do not meet the current minimum lot size requirement of 8,000 square feet. Two lots, including the subject property, are less than 2,000 square feet.

While the subject parcel is among the smallest lots in the district, substandard lot sizes are common within the C-1 district and result from historic lot creation patterns.

The hardship identified by the applicant arises from the application of current setback standards to a small lot. The record does not identify a distinct physical characteristic of the property, such as unusual topography or irregular configuration, that differs in kind from other substandard parcels within the district.

Based on the information submitted, staff cannot make the required finding that special circumstances exist that are unique to this property and not generally applicable to other properties in the district.

2. The above special circumstances or conditions are preexisting and are not created or self-imposed by the owner or applicant.

The lot was created prior to the City’s incorporation and prior to the adoption of current zoning and subdivision regulations. The substandard lot size was not created by the current owner, and the condition is therefore preexisting and not self-imposed.

3. The variance is necessary for the preservation of substantial property rights. Without a variance, the property cannot be used for purposes otherwise allowed in this zoning district. 

To satisfy this criterion, the applicant must demonstrate that, without the requested variances, the property cannot be reasonably used for purposes otherwise permitted in the Neighborhood Commercial (C-1) zoning district.

The applicant has not submitted alternative site configurations, technical analysis, or engineering documentation demonstrating that development compliant with setback and egress requirements is infeasible. The variance standard requires more than a showing that development would be constrained or less efficient; it requires evidence that reasonable use would otherwise be denied.

Based on the record before the Board, staff cannot make the required finding that the requested variances are necessary to preserve substantial property rights.

4. The authorizing of the variance will not be materially detrimental to persons residing or working in the vicinity, to adjacent property, or to the neighborhood or the public welfare.

The applicant requests relief from the forward-motion egress requirement in Section 18.75.020(B), which is intended to promote traffic and pedestrian safety.

No technical evidence has been submitted demonstrating that forward-motion egress is physically infeasible or that backward egress would meet current safety expectations. The burden rests with the applicant to demonstrate that deviation from the ordinance will not be materially detrimental.

The proposed driveway configuration would also eliminate on-street parking spaces along C Street in an area with existing parking demand. While on-street parking is located within the public right-of-way, removal of public parking constitutes a public impact the Board may consider in evaluating material detriment.

Based on the record before the Board, staff cannot make the required finding that the requested variances would not be materially detrimental to the public welfare.

STAFF RECOMMENDATION:
Under A.R.S. § 9-462.06 and Section 18.15.060(C) of the San Luis Zoning Ordinance, the applicant must satisfy all required variance criteria. Based on the record submitted, staff cannot make all the required findings.

Staff recommends denial of Variance Case No. 2026-0024.