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Variance No. 2005-63 December 12, 2005 Page 2 Project Description The project involves the rehabilitation of the existing 35 unit apartment complex into an affordable, rent controlled 25 unit complex. The structure and room layouts will be modified by combining existing studio units to create one, two and three bedroom units. Units will range in size from approximately 635 square feet for a one bedroom apartment, 795 square feet for a two bedroom unit and 1,100 square feet for a three bedroom apartment. The unit breakdown includes 5 one- bedroom units, 10 two-bedroom units and 10 three-bedroom units. Various external and internal improvements are proposed for the project. Exterior improvements will include new stucco and paint for the exterior walls, repairing and repainting all decks and the removal of exterior doors where units are removed. Interior enhancements will include the reconfiguration of walls and the installation of new bathrooms and kitchens within each unit. Additionally, new paint, windows, doors and flooring will be provided for each apartment (Exhibits 3 and 4) . Analysis of the Issues Orange Housing Development Corporation, in partnership with the City's Housing Division, is in the process of purchasing the existing apartment complex. Once the purchase is completed, the applicant intends to rehabilitate the existing complex and provide 25 affordable, rent controlled units that will include occupancy restrictions. However, due to the rehabilitation involved with the project, a variance for a reduction in parking is needed. Section 41-681.3(3) of the Santa Ana Municipal Code (SAMC) requires this nonconforming multiple-family residential project to comply with the City's parking requirements if the number or size of the bedrooms will be increased on the site through a rehabilitation. In analyzing this request for a reduction in parking, staff considered the following information. The applicant will be reducing the number of units on the site by 10, effectively reducing the parking demand for the proj ect. Addi tionally, through deed restrictions and covenants, the overall occupancy of the project will be reduced from 125 to a maximum of 115 (3 persons per one bedroom unit, 4 persons per two bedroom unit, and 6 persons per three bedroom unit), also reducing the demand for parking. Finally, since the applicant has completed several similar projects, the applicant has found that the need for parking has been reduced with this type of project. 75A-3