2003-0055 - Mid Peninsula Housing Coalition [Applicant] MP Homestead Park Associates [Owner]: Application for a Special Development Permit on a 6.4 acre site to allow the construction of 66 apartment units over a subgrade parking structure and the construction of an associated maintenance building. The property is located at 1601 Tenaka Place in an R-3/PD (Medium-Density Residential Planned Development) Zoning District. (Negative Declaration) (APN: 323-41-001, 002 and 003) (Continued from 03/10/03)

Erin Walters, Project Planner, presented the staff report. She summarized the modifications made to the application in response to Planning Commission's input from the Study Session of March 24^th. Staff highlighted the height and mass of the building. She noted that the re-design created more compatibility with adjacent buildings added back a tot lot and the on-site amenities were also modified providing laundry facilities. Staff was able to make the required findings and recommended adoption of the Negative Declaration and approval of the Special Development Permit.

Vice Chair Babcock clarified with staff that the proposed density would prevent the owner from further expansion. Staff responded yes and that the project would maximize the allowable density.

Comm. Moylan asked staff, based on the oral presentation, whether the project is truly "beneficial" or rather "not detrimental" to the neighborhood. Staff clarified that the project is "not detrimental" to the neighborhood.

Chair Simons asked staff whether the density limit was affected by the building height. Staff responded that in some cases height could limit density and stated that height limits could be added to the list of study issues. Chair Simons suggested height limit in R-3 as a potential study issue.

Comm. Moylan asked staff whether the entire development is deficient in parking according to current standards. Staff responded yes but it is legal non-conforming.

David Schnur, Mid Peninsula Housing Coalition/applicant, introduced Mike Wiley and Larry Chan and availed his team to answer the Commission's questions. He described the modifications made from the previously presented application in response to the Commission's concerns and that overall the new design creates a better streetscape and better compatibility with the other surrounding buildings. He highlighted the architecture and roof elements. In conclusion, he stated that the design meets the city's goals and design guidelines and that the project would increase housing availability in Sunnyvale and would provide more affordable housing.

Comm. Satterlee asked Mr. Schnur what would Mid-Peninsula do to prevent the project from exacerbating the already deficient parking. Mr. Schnur responded that because they operate their own properties, they could monitor how many cars the tenants have. He added that the overflow parking issue is originating from the neighboring apartments.

Comm. Swegles commended the applicant for a good job in working with staff in bringing down the height. He asked the applicant how he managed to reduce the height. Mr. Schnur responded that the modified design includes a submerged parking garage and one parking space is used for the required fan to meet the code requirements.

Shiloh Ballard, Housing Action Coalition, gave an overview of the coalition's mission and its interest to support more affordable, more compact housing. She reported that the Coalition met last Friday and unanimously supported the proposed project. She added that the application has a creative approach in maximizing the use of the parcel and commended this approach. Further, she added that with affordable housing, parking is not so much of an issue; however, the applicant was able to provide additional six parking spaces to accommodate the concerns of the Commission. She urged the Commission to approve the project.

Laura Stuchinsky, Silicon Valley Manufacturers Group, gave an overview of her organization and stated that the group strongly supports the project. The proposed application would provide additional affordable housing in the city and the region.

Comm. Chu commented that there is a great need for affordable housing in the city and the region that the project addresses. He noted a letter of support from Greenbelt Alliance, an organization that he was involved in years ago and a leading land conservation and urban planning organization. He concurred with the Alliance that it is a worthy project and commended the applicant for his efforts in redesigning the project. The project would be a good addition to the community.

Comm. Swegles commented that it is a needed project providing affordable housing in the community. He also appreciated the good job of the applicant for the redesign.

Vice Chair Babcock was happy with the applicant's responses to the concerns expressed by the Commission. The project is better designed and was pleased to support the project.

Comm. Satterlee commented that she is not happy with the entry element and would like the applicant to make the entryway more appealing. She added that she likes the façade except for the entry element.

Comm. Lee echoed his fellow commissioners and applauded the applicant for providing affordable housing. He thanked him for his efforts in reaching the household segments of the community that need affordable or achievable housing.

Comm. Moylan commented that he was unable to make the required Finding #1 since the project does not encourage homeownership opportunity. However, he barely made Finding #2 that the project is "not detrimental" to the neighborhood. He urged his fellow commissioners to be cognizant of the policy and try to encourage mix housing prices and balance homeownership opportunities. He supported the motion.

Chair Simons commented that in the Valley, affordable really means achievable and that the project would provide more achievable housing in the City. He supported the motion.

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