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Special circumstances are applicable to the subject site that necessitates a parking variance for the project. The subject site currently contains 35 parking spaces, one for each unit. The applicant will be reducing the number of units on the premises to 25, further reducing the parking demand for the site. Additionally, occupancy restrictions will be established for the project that will result in a lesser number of residents than currently found on the premises, further reducing the need for parking. Therefore, the strict application of the zoning code would deprive the subject property of privileges. 2. That the granting of a variance is necessary for the preservation and enjoyment of one or more substantial property rights. The parking variance is necessary to preserve property rights as the owners will be rehabilitating the existing complex and providing affordable, rent controlled housing for residents of the City. 3. That the granting of a variance will not be materially detrimental to the public welfare or injurious to surrounding property. The granting of the variance for a reduction in parking will not be detrimental to the area as the reduction in units, in conjunction with the occupancy restrictions, will result in a lower parking demand. 4. That the granting of a variance will not adversely affect the General Plan of the City. The granting of the variance will not adversely affect the City's General Plan in any way as the land use designation of Medium Density Residential (MR) allows the rehabilitation of existing apartment complexes. G. 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 Exemption No. 2005-209 will be filed for this project. Section 2. The City Council of the City of Santa Ana after conducting the public hearing hereby approves Variance No. 2005-63 as conditioned in Exhibit A attached hereto and incorporated herein as though fully set forth. This decision is based upon the evidence submitted at the abovesaid hearing, which includes, but is not limited to: the Staff reports and exhibits attached thereto; and the public testimony all of which are incorporated herein by this reference. Resolution No. 2006-001 Page 2 of 4