Item 23 - Density Bonus Agreement No. 2023-01: 4th and Grand (1212 E. Fourth Street)

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Density Bonus Agreement for 1212 E. Fourth Street October 17, 2023 Page 5 The purpose of the State's Density Bonus Law is to encourage the development and availability of affordable housing by requiring the inclusion of affordable housing units within new developments. Pursuant to California Government Code sections 65915 (d)(1) and 65915 (e)(1), a local jurisdiction is limited in its ability to deny requested concessions and waivers and is preempted from denying the increased density required by the Density Bonus Law. Pursuant to Government Code § 65915 (d)(1), a requested concession or incentive shall be granted unless the City makes written findings, based on substantial evidence of any of the following: (1) the concession or incentive does not result in identifiable and actual cost reductions to provide the proposed affordable housing, (2) the concession or incentive would have a specific, adverse impact on public health and safety, or on any real property listed on the California Register of Historical Resources, and for which there is no feasible method to satisfactorily mitigate or avoid the specific, adverse impact without rendering the project unaffordable to low-income and moderate -income households, or (3) the concession or incentive would be contrary to state or federal law. The Density Bonus Law also constrains the ability to deny requested waivers. Subject to exceptions for projects that receive a waiver from controls on maximum density, Government Code § 65915 (e)(1) provides that the City cannot apply any development standard that would physically preclude the construction of a development entitled to a density bonus at the increased density or with the concessions or incentives, unless the City makes findings that the waiver would have a specific, adverse impact on public health or safety, and there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact. Although the City has analyzed the project and has identified several areas of concern, the conditions of approval proposed for the project are intended to address any of the project's potential impacts. Table 3 outlines the incentives/concessions and waivers requested by the applicant. Table 3: Requested Incentives/Concessions TZC Standard Requirement Provided • No ground floor retail or service • Multi -family dwellings permitted uses provided for this project. only on second or upper floors, or Multi -family dwelling proposed on Mixed -Use behind retail or service ground the ground floor, street facing (not Requirement floor use. behind retail or service ground floor use) — Requires TZC, Table 2A. Use Standards Concession (1 of 1), Cal. Gov't Code Sec. 65915 (d)(1) • Maximum height in Corridor The project proposes a building height Maximum Height (CDR) land use district is three of four stories (58 feet and 9 inches) — stories Requires Waiver, Cal. Gov't Code Section 41-2013 - Table CDR-1 Sec. 65915 (e)(1)