PLANNING COMMISSION STAFF REPORT
SUBMITTED TO: Planning Commission
SUBMITTED BY: Jennifer Villasenor, Director of Community Development
PREPARED BY: Madalyn Welch, Senior Planner
SUBJECT:
title
COASTAL DEVELOPMENT PERMIT NO. 26-003/ADMINISTRATIVE PERMIT NO. 26-002/CONDITIONAL USE PERMIT NO. 26-009 (712-714 PCH LIVE/WORK)
REQUEST:
CDP/AP: To permit the construction of two, approximately 2,900 sq. ft. three-story live/work units, including a two-car garage, a rooftop deck, and 330 sq. ft. of ground-floor visitor-serving commercial/office at a height of 35 ft. with roof deck access at a height of 40 ft. 6 in., CUP: To participate in the Downtown Parking In-Lieu Program for two parking spaces (one space per live/work unit).
LOCATION:
712 Pacific Coast Highway, 92648 (north of Pacific Coast Highway, between 7th Street and 8th Street)
body
APPLICANT:
Louie Hernandez, 19092 Callaway Circle, Huntington Beach, CA 92648
PROPERTY
OWNER:
CIG Holdings, LLC, 53 Crested Cloud Way, Las Vegas, NV 89135
RECOMMENDATION:
recommendation
That the Planning Commission take the following actions:
A) Find the proposed project categorically exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15303, Class 3; and
B) Approve Coastal Development Permit No. 26-003/Administrative Permit No. 26-002/Conditional Use Permit No. 26-009 with suggested findings and conditions of approval (Attachment No. 1).
end
ALTERNATIVE ACTION(S):
A) Do not make the suggested findings, which would result in a mandatory denial per sections 241.10 and 245.30 of the Huntington Beach Zoning and Subdivision Ordinance; or
B) Continue Coastal Development Permit No. 26-003/Administrative Permit No. 26-002/Conditional Use Permit No. 26-009 and direct staff accordingly.
PROJECT PROPOSAL:
Coastal Development Permit (CDP) No. 26-003/Administrative Permit (AP) No. 26-002: To permit the construction of two, approximately 2,900 sq. ft. three-story live/work units, including a two-car garage, a rooftop deck, and 330 sq. ft. of ground-floor visitor-serving commercial/office at a height of 35 ft. with roof deck access at a height of 40 ft. 6 in.
Conditional Use Permit (CUP) No. 26-009: To participate in the Downtown Parking In-Lieu Program for two parking spaces (one space per live/work unit). (Attachment No. 2)
Each live/work unit consists of 3 bedrooms and 5 bathrooms with balconies and a rooftop deck. The ground floor includes the workspace, an approximate 175 sq. ft. of first floor living area, and an approximate 540 sq. ft. two-car garage with storage space. Elevator and stair access are provided to the upper floors.
Vehicular access to the garage is provided via a public alley at the rear of the property. The project proposes an additional two residential parking spaces within a driveway behind the garage. Pedestrian access is provided from both the front and rear of the property.
ISSUES AND ANALYSIS:
Subject Property And Surrounding General Plan Designations, Zoning And Land Uses:
|
LOCATION |
GENERAL PLAN |
ZONING |
LAND USE |
|
Subject Property: |
M-sp (30-50 du/ac) (Mixed Use - Specific Plan Overlay) |
SP-5-CZ-O (Downtown Specific Plan, District 1- Coastal Zone Overlay - Oil Overlay) |
Vacant |
|
North of Subject Property: |
M-sp (30-50 du/ac) |
SP-5-CZ (Downtown Specific Plan, District 1- Coastal Zone Overlay) |
Live/Work unit |
|
East of Subject Property: |
RH-sp (Residential High Density - Specific Plan Overlay) |
SP-5-CZ (Downtown Specific Plan, District 4- Coastal Zone Overlay) |
Single-family residence |
|
South of Subject Property: |
M-sp (30-50 du/ac) |
SP-5-CZ (Downtown Specific Plan, District 1- Coastal Zone Overlay) |
Currently unoccupied; Former 7/11 gas station |
|
West of Subject Property: |
OS-S-sp (Open Space - Shore Specific Plan Overlay) |
SP-5-CZ (Downtown Specific Plan, District 7- Coastal Zone Overlay) |
Beach parking lot |
General Plan Conformance:
The project is consistent with the Land Use Element designation of Mixed Use - Specific Plan Overlay on the subject property and with the following goals and policies of the General Plan:
A. Land Use Element
Goal LU-1: New commercial, industrial, and residential development is coordinated to ensure that the land use pattern is consistent with the overall goals and needs of the community.
Policy LU-1C: Support infill development, consolidation of parcels, and adaptive reuse of existing buildings.
Policy LU-1D: Ensure that new development projects are of compatible proportion, scale, and character to complement adjoining uses.
Goal LU-11: Commercial land uses provide goods and services to meet regional and local needs.
Policy LU-11A: Encourage a variety of commercial uses that cater to local and regional demand to create an environment that meets resident needs and increases the capture of sales tax revenues.
Goal LU-14: Huntington Beach continues to attract visitors and provides a variety of attractions and accommodations during their stay.
The proposed project is consistent with the land use designation that allows for live/work uses at the subject site. It will provide for the development of a vacant site and enhance the downtown area by increasing visitor-serving/office uses and housing opportunities.
B. Coastal Element
Policy C 1.1.4: Where feasible, locate visitor-serving commercial uses in existing developed areas or at selected points of attraction for visitors.
Goal C.3: Provide a variety of recreational and visitor commercial serving uses for a range of cost and market preferences.
The proposed project incorporates live/work units, which complement the urban downtown environment composed of a mixture of commercial, residential, and recreational uses. It provides for the development and activation of a vacant site with compatible land uses that support the pedestrian oriented, mixed-use area. The project site is located near established points of attraction, including the Huntington Beach Municipal Pier, and is intended to reinforce the vicinity as a major visitor-serving district.
Zoning Compliance:
The project is located within District 1, the Downtown Core Mixed-Use area of SP5-CZ. This district establishes the downtown area for the City by creating a more urban atmosphere and promoting visitor-serving mixed-use commercial, office, and residential developments. Live/work is subject to approval of an Administrative Permit and Coastal Development Permit by the Zoning Administrator. Because the request includes participation in the parking in-lieu fee program for the required commercial parking (two parking spaces, one space per work area in each live/work unit), a CUP by the Planning Commission is required, and elevates all the entitlements to their review.
The project complies with District 1 zoning requirements as detailed in the table below:
|
|
Required |
Proposed (each lot) |
|
Parcel Size |
Min. 2,500 sq. ft. and 25 ft. frontage |
Net 2,587 sq. ft. and 25 ft. frontage |
|
Maximum Density |
30 du/ac (0.118 ac x 30 du/ac = 3.56 units) |
16.9 du/ac = 1 unit |
|
Floor Area |
Max. 3,000 sq. ft. (live/work unit) |
2,900 sq. ft. |
|
Building Height |
Max 35 ft. 3 stories +10 ft. exception for elevators, stairs, mechanical equipment |
35 ft. 3 stories +5 ft. 6 in. for elevator access, stair access, and mechanical equipment |
|
Setbacks |
Front: 0 ft. -5 ft. Max. Interior Side: 0 ft. Rear Yard: Min. 3 ft. |
5 ft. 0 ft. and 3 ft. 1 in. 18 ft. |
|
Upper Story Setback |
10 ft. average setback on third and fourth stories |
Min. 10 ft. on third story |
|
Parking |
Live: 2 spaces per unit (Coastal) Work: 1 space per 500 sq. ft. |
4 spaces (2-car garage & 2 driveway spaces In lieu fee for 2 commercial spaces |
The primary issues to consider when analyzing this project are land use compatibility, coastal impacts, and participation in the parking in-lieu fee program. The following is a detailed discussion of these issues.
Compatibility
The Downtown Specific Plan (DTSP) has various districts, each with their own land use controls and development standards. The intent for various districts is to create a gradual transition between the ocean-pier, commercial core, and adjacent residential areas. District 1 encourages active, pedestrian-friendly uses with visitor-serving commercial areas on Pacific Coast Highway and the Main Street-pier area. This specific plan introduces the live/work use, which is a dwelling unit that includes a non-residential workspace operated by the resident. The live/work use is unique to mixed-use areas and supports local businesses and residents by providing opportunities for smaller boutiques and offices to conveniently operate in conjunction with the residential.
As noted, the project complies with all applicable development standards and is consistent with the General Plan, Local Coastal Program land use designation which permits live/work uses. The project is proposed within an urbanized area with all necessary services and infrastructure available. The project will not have any adverse effects on coastal access or public views to coastal resources. The project will not be detrimental to the general welfare of the surrounding vicinity as the project is compatible in use, scale and proportion with the surrounding properties and will comply with the code requirements of the Specific Plan and Huntington Beach Zoning and Subdivision Ordinance. The workspace is oriented and located towards PCH, which will provide convenient access and visibility for customers of the business. It is not anticipated to generate any nuisances or significant impacts to the surrounding neighborhood. It will help activate the frontage along the scenic highway.
CUP - Parking
The subject site consists of two, 25 ft. wide lots with a live/work unit on each lot. The proposed development requires two parking spaces per lot for the residential component, and one commercial space per lot for the work area. Required residential parking will be provided on site. Pursuant to DTSP Section 3.2.26.11, the payment of parking in-lieu fees for properties in District 1 that will not satisfy on-site non-residential parking requirements is subject to Planning Commission approval. The request to participate in the program may be evaluated as part of the establishment of a new non-residential use or intensification of an existing commercial use. The current fee is $34,082 per parking space. These fees allow for the creation of additional parking spaces and parking opportunities through construction of new parking spaces and associated design costs, and other similar programs such as a valet, re-striping, and shuttle trolley during peak season.
The In-Lieu Parking program was established in 1993 per City Council Resolution 6522 for certain properties within the Downtown Parking Master Plan area based on a shared parking concept. Visitors to the downtown area will usually park once and patronize multiple establishments and locations in one trip. In 1995, per City Council Resolution 6720 and 6721, the program was expanded and the fee was increased to $12,000 with the option to pay over a 15-year term. In 2010, the Downtown Specific Plan and Parking In-Lieu Program was updated with a fee that would more accurately reflect the costs of parking as well as expanding the parking programs that could be implemented with the in-lieu fees to more effectively manage the parking supply in the downtown area through the in-lieu parking fee program.
Commercial parking is required to be ADA compliant, which has specific dimension requirements greater than the standard 9-feet by 19-feet. They cannot be in tandem configuration with residential spaces. As such, there are challenges in providing open, ADA compliant commercial parking adjacent to a two-car garage on each 25-foot-wide lot. Therefore, the applicant proposes to satisfy the required commercial parking via payment of parking in-lieu fees as defined in the DTSP. It is appropriate to support the in-lieu fees because the site is located within a shared parking environment containing multiple public parking structures, as well as on-street and metered parking adjacent to and in close proximity of the site. Based on a study that was prepared in 2022, the peak parking demand time is during the month of July. During the peak, 92% of the spaces were occupied, indicating that there is still availability within the area. Parking fees maintain and expand parking opportunities and programs throughout downtown to benefit both residents and businesses.
The request to participate in the parking in-lieu program will not be detrimental to the general welfare of the surrounding vicinity because the in-lieu program is a parking option that is specifically available to properties within District 1 of the DTSP and has been utilized by other businesses and past projects within the area. Participation in this program will not adversely affect the General Plan or zoning because the project complies with all applicable development standards including residential parking, facilitates the development of a vacant site and will yield a better project design along the scenic corridor. It will not inhibit public access to coastal resources as residential parking will be provided onsite and the fees will aid in the development of more parking opportunities.
The subject site fronts Pacific Coast Highway and is served by a public alley along the rear property line. As such, the project is designed to provide all vehicular access to and from the site via the existing alley. No vehicular access is permitted from PCH.
Urban Design Guidelines Conformance:
The proposed live/work units are designed to convey a high level of quality and character that incorporates quality materials and design such as stucco, siding, and stone veneer with a color palette that is consistent with the Downtown Specific Plan Design Guidelines.
Environmental Status:
The project is categorically exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15303, Class 3, for new construction or conversion of small structures because the project consists of the construction of two live/work units within a mixed-use zone.
Coastal Status:
The site is located within the appealable area of the Coastal Zone. The proposed project is subject to the requirements of HBZSO Chapter 245, and a Coastal Development Permit is required.
Design Review Board:
The Design Review Board reviewed the design, colors, and materials of the project at their meeting on September 10, 2026, and recommended approval with conditions (Attachment No. 1).
Other Departments Concerns and Requirements:
The Department of Community Development, Fire, and Public Works have reviewed the project and identified a list of code requirements (Attachment No. 4) applicable to the project.
Public Notification:
Legal notice was published in the Orange County Register on September 10, 2026, and notices were sent to property owners of record and tenants within a 500 ft. radius of the subject property, individuals/organizations requesting notification (Planning Division’s Notification Matrix), applicant, and interested parties.
Application Processing Dates:
|
DATE OF COMPLETE APPLICATION: |
MANDATORY PROCESSING DATE(S): |
|
September 2, 2026 |
November 1, 2026 |
SUMMARY:
Staff recommends that the Planning Commission approve the proposed project based on the following summary of findings (Attachment No. 1):
• Complies with the General Plan including the Local Coastal Program;
• Consistent with the requirements of the DTSP as well as other applicable provisions of the Municipal Code;
• Compatible with the surrounding uses in proposed, scale, and character; and
• Incorporates quality materials and design such as stucco, siding, and stone veneer.
ATTACHMENTS:
1. Suggested Findings and Conditions of Approval
2. 712 PCH Site plan, floor plan, and elevations received and dated August 13, 2026
3. 714 PCH Site plan, floor plan, and elevations received and dated August 13, 2026
4. Design Guidelines checklist
5. Code Requirements
6. Vicinity Map
7. Photos
8. PowerPoint Presentation