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variance Nos. 05-64 and 05-65 December 12, 2005 Page 3 The second variance pertains to the applicant's request to allow one- bedroom units that are smaller than allowed by code. Section 41-272.01 of the SAMC requires one-bedroom units to be a minimum of 550 square feet in size, while the rehabilitation project results in units that average approximately 509 square feet. In analyzing this request for a reduction in parking, the following information was considered. The layout of the new one and two-bedroom units is based on the configuration of the existing studio apartments. In reducing units, new walls will be installed that follow the general layout of the existing units. In creating the one bedroom units, bedroom space will be obtained from adjacent units. One bedroom units that comply with code can be provided for this proj ect i however, a significant amount of available funds would need to be spent and a less efficient proj ect may result. Since deed restrictions and covenants will be recorded for the proj ect, the occupancy of the one bedroom units and overall occupancy of the project will be reduced. Orange Housing Development Corporation has completed several successful, similar projects in the City, including the Cornerstone Village rehabilitation on Standard Avenue and Minnie Street and the conversion of the Howard Johnson's Motel into a senior apartment complex on East Seventeenth Street. This project, as with the prior projects completed by Orange Housing, will preserve and improve the character and integrity of the surrounding neighborhood through the numerous improvements proposed for the site. The reduction in the overall number of units, in conjunction with the strict occupancy limits, will result in a reduction in the parking demand for the complex. As a result, staff recommends that the Planning Commission approve Variance Nos. 2005-64 and 2005-65 as conditioned (Exhibits 5, 6, 7 and 8) . CEQA Compliance In accordance with the California Environmental Quality Act, the recommended action is exempt from further review pursuant to Section 15301. This Class 1 exemption allows the repair, maintenance and minor alteration of existing structures with no expansion. Categorical E;:r::::: No, 2005-210 will be filed for this project, Vince Freg so, Senior Plan VF:JM vf\reportS\VA05-64&VA05-65 ,pc 758-4