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Density Bonus Agreement for 2110, 2114, and 2020 East First Street May 7, 2019 Page 5 demand of the Project site to mitigate the use of offsite parking spaces on private or public properties and/or right-of-way. As part of the Parking Management Plan, Developer must implement a parking shuttle and/or valet service. Prior to issuance of the Certificate of Occupancy, Developer shall submit and obtain approval from the Planning and Building Agency for a Parking Management Plan. The Density Bonus Agreement has been signed by the Developer to acknowledge their acceptance of the terms. The Agreement is not considered final until the City Council has reviewed and approved the Agreement and the Agreement is executed by all parties. Project Description The Project includes demolition of two commercial buildings and construction of an affordable rental family -oriented mixed -use community with 10,000 square feet of leasable commercial space. The Project will contain two structures consisting of a ground -level parking area and five levels of residential above. The original addresses of the two commercial buildings that were demolished were 2110 and 2114 East First Street. The adjacent office building at 2020 East First Street was included in the public noticing. Once constructed, the two new structures will receive new addresses. 2110 will become 2112 East First Street, and 2114 will become 2116 East First Street. The new development does not alter or affect the existing office building located at 2020 East First Street. Although not part of the current entitlement, the applicant has submitted a tentative parcel map application to subdivide the Project site forfinancing purposes in orderto facilitate construction of both buildings. The tentative parcel map application will require review and action by the City's Zoning Administrator. A total of 552 affordable rental units will be provided on the Project site. The project will include one -bedroom units (27), two -bedroom units (239), three -bedroom units (146), and four -bedroom units (140) ranging in size from 610 to 1,266 square feet. All units will contain full kitchens, bedrooms, bathrooms, in -unit storage, and open/common (living) areas. A total of 566 resident and guest parking spaces will be provided in an at -grade parking area beneath the residential levels, as well as 50 parking spaces for the commercial component and 4 spaces for the leasing office and the development's employees. As proposed, the Project requires approval of a waiver from the Metro East Mixed Use (MEMU) overlay district's development standards and concession of the California Government Code Section 65915 (d)(1) for the total number of residential parking spaces per unit. Two (2.0) spaces per unit overall are required by the MEMU and 1.03 spaces per unit are provided. Constructing 2.0 parking spaces per residential unit on the Project site would require the developer to construct an additional level of parking either above- or below -grade resulting in increased construction costs and/or a loss of an entire level of residential units. The potential impacts to the Project and neighborhood resulting from the reduced parking will be mitigated by the inclusion of a parking shuttle and/or valet service on site. The concession for onsite parking was included in the Site Plan Review No. 2017-09 approved by the Planning Commission as conditioned. The Planning Commission Staff Report from June 4, 2018 provides detailed information regarding this concession. The approval of the Density Bonus Agreement is in compliance with Section 41-1600 and Section 41-1904.1, et seq., of the Santa Ana Municipal Code, and Section 65915, et seq., of the California 60A-5