PREPARED BY: SANDRA CASTANEDA DATE OF MEETING: 06/24/2025
SUBJECT:
TITLE
RESOLUTION APPROVING A PERMIT EXTENSION REQUEST FOR A PREVIOUSLY APPROVED MAJOR DESIGN REVIEW AND DENSITY BONUS WITH CONCESSIONS/INCENTIVES TO ALLOW AN INCREASE IN THE NUMBER OF UNITS, AN INCREASE IN FLOOR AREA RATIO, A DECREASE IN COMMERCIAL FLOOR AREA RATIO, A DECREASE IN MINIMUM OFF-STREET PARKING REQUIREMENTS, AND A DECREASE IN COMMON OPEN SPACE REQUIREMENTS; AND WITH WAIVERS TO ALLOW AN INCREASE IN THE NUMBER OF STORIES AND TO ALLOW NO COMMERCIAL FLOOR AREA, FOR A PROJECT CONTAINING 40 AFFORDABLE MULTIFAMILY HOUSING UNITS AND 1,470 SQUARE FEET OF COMMUNITY/AMENITY SPACE, TO BE LOCATED ON A 21,750-SQUARE-FOOT PARCEL AT 1820 RUMRILL BOULEVARD, IN THE COMMERCIAL MIXED USE (CMU) ZONING DISTRICT WITH A PRIORITY DEVELOPMENT AREA (PDA) OVERLAY, SAN PABLO, APN: 411-041-009.
CEQA: This project was determined to be categorically exempt under the California Environmental Quality Act, Section 15332, In-Fill Development Projects. The proposed extension is not a project pursuant to CEQA Guidelines section 15378.
Label
Location: 1820 Rumrill Boulevard
APN: 411-041-009
Zoning: CMU - Commercial Mixed Use w/ Priority Development Overlay
CEQA: Categorically exempt pursuant to Section 15332, In-Fill Development Projects.
Owner: City of San Pablo
Applicant: Novin Development
Agent for Applicant: Ryan Querubin
Staff Contact: Sandra Castaneda, Associate Planner
Recommendation
Conduct public hearing; adopt Resolution
Body
REQUESTED ACTION
Request to extend a permit for a previously approved Major Design Review and Density Bonus with Concessions/Incentives to allow an increase in the number of units, an increase in floor area ratio, a decrease in commercial floor area ratio, a decrease in the minimum off-street parking requirement, and a decrease in open space requirements; and waivers to allow an increase in the number of stories and to allow the project to have no commercial floor area, for a 42,174 square foot project containing 40 affordable multifamily units and 1,470 square feet of community/amenity space on a 21,750-square foot parcel located at 1820 Rumrill Boulevard, at the northeast corner of the intersection of Rumrill Boulevard with Market Avenue, in the CMU - Commercial Mixed Use district. This project was previously approved by the Planning Commission on June 27, 2023, by PC23-06 and no changes are proposed as part of the extension request.
Surrounding Zoning and Land Uses:
The subject parcel is zoned Commercial Mixed Use (CMU) and is located within the Rumrill Boulevard Priority Development Area, as described in Section 17.38.040 of the Zoning Ordinance. Zoning designations and land uses surrounding the site are as follows:
North: NC - Neighborhood Commercial; Mixed-use church and apartment building
South: CMU - Commercial Mixed Use; Mixed-use grocery store and apartment building
East: CMU - Commercial Mixed Use and R-2 - Two-Family Residential; vacant lot, multifamily apartment building, and single-family homes
West: CMU -Commercial Mixed Use and CR - Regional Commercial; commercial building and parking
PUBLIC HEARING NOTICE
Notices regarding this public hearing were mailed to owners of properties within a 300-foot radius of the site on June 11, 2025. In addition, a Public Hearing Notice was published in the West County Times newspaper (West Contra Costa edition of the East Bay Times) on Saturday, June 14, 2025.
SITE LOCATION AND PROJECT DESCRIPTION
The 21,750-square foot project site is located near the western edge of San Pablo at the northeast corner of the intersection of Rumrill Boulevard and Market Avenue. Across Rumrill Boulevard to the West is a large commercial lot containing the Food Barn grocery store, a laundromat, a beauty salon, a boxing club, a wholesaler, and surface parking, as well as a smaller parcel with surface parking and a food truck. To the north is a parcel containing a storefront church with an attached two-unit apartment building. To the south across Market Avenue is a mixed-use building containing the Evergreen Produce market and four apartments, as well as surface parking. To the east of the property are two single family homes and a small vacant lot. A seven-unit apartment complex lies beyond the vacant lot.
The topography of the site is generally flat. The surrounding neighborhood consists of existing commercial, industrial, and mixed-use structures along Rumrill Boulevard, and smaller multifamily and single-family residential structures in the neighborhoods to the east of the site. The project is located near the Food Barn grocery store and the Rumrill Sports Park.
The Project Description, legal description, and a detailed plan set including project data, site plan, floor plans, renderings, elevations, color/material board, and landscape and irrigation plan are included as Attachment G.
The project will consist of 17 studio, 11 two-bedroom, and 12 three-bedroom units, totaling 40 units, along with 1,470 square feet of community/amenity space. All of the units are designated affordable to low-income residents earning no more than 60% of the Area Median Income. Studio units are proposed to be 366 square feet each, two-bedroom units are 745 square feet each, and three-bedroom units are 1,105 square feet each.
The building will be 49 feet-9 ½ inches high and would consist of four stories. The ground level will include four studio units, one two-bedroom unit, mechanical and storage rooms, a leasing office, 1,470 square feet of community/amenity space, and nine tuck-under garage parking spaces. The three upper levels will include the remaining residential apartments. Eight surface parking spaces will be included in the rear of the building, in addition to the nine tuck-under spaces. The front of the building is slightly set back and landscaped to enhance the building massing and pedestrian experience.
BACKGROUND
Site Background
The site is currently owned by the City of San Pablo and has been vacant for several years. According to City records, a Chevron gas station on the site was demolished in 1978 after operating for an unknown period of time. In 2007, the site was acquired by the Redevelopment Agency of San Pablo. In 2015, it was transferred to the City of San Pablo following the end of Redevelopment. The site is entirely vacant and has been used recently for temporary stockpiling of materials for the Rumrill Boulevard street improvement project.
On August 2, 2021, the City of San Pablo issued a Request for Proposals for the development and management of new affordable housing on the subject property. On February 7, 2022, the City Council of the City of San Pablo approved and executed an Exclusive Negotiations Agreement with Novin Development Corporation for the property. On April 4, 2022, the City Council approved and authorized a Disposition and Development Agreement for the sale and development of the property to provide for a 44+-unit multifamily 100% affordable housing development with rents that do not exceed 60% of the Area Median Income. The project will be developed pursuant to this Disposition and Development Agreement (DDA). The DDA has been amended by the City Council effective April 5, 2025 to provide for additional timing for project completion The amended DDA will expire April 5, 2026.
Previous Approval
According to the San Pablo Zoning Ordinance, Major Design Review by the Planning Commission is required for all multifamily residential developments with five or more units (San Pablo Municipal Code Section 17.20.030)
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The project also requested Density Bonus provisions and Concessions/Incentives to allow an increase in the allowable number of units (from 30 to 40), pursuant to California Density Bonus Law, as amended (California Government Code Sections 65915-65918). The subject site lies within the Priority Development Area (PDA) overlay zone along Rumrill Boulevard which allows a maximum density of 60 units per acre. At 21,750 square feet or one-half acre, this is equivalent to a maximum density at the site of 30 units. Because the development would consist of 100% affordable units for low-income households, a density bonus of up to 80% would be allowed (i.e., 24 additional units), which would permit up to 54 units on the 0.5-acre site. The project proposes a total of 40 units, all of which would be affordable to low-income households.
For 100% affordable projects, the developer is also entitled to four incentives/concessions to development standards for the site under the Density Bonus Law and the City’s Zoning Code. Possible concessions are identified in Section 17.60.020(F) of the Zoning Code; state law additionally creates the potential for different concessions outside of those enumerated in the Zoning Code. The developer proposed concessions to: (1) accommodate the requested increase in floor area ratio (FAR) from 1.50 to 1.95, (2) reduce the required commercial FAR from 0.5 to 0.0, (3) decrease required parking from 46 to 17 off-street spaces, and (4) decrease the common open space required from 6,000 square feet to 2,355 square feet.
In addition to the concessions, the project requested a waiver/reduction to allow for an increase in the number of stories in a residential development from 3 to 4 and to allow no commercial space to be provided as part of the project. The reduction in required commercial FAR would constitute a waiver/reduction in that it would not be possible for the project to provide any commercial space and also realize the requested affordable housing density, given the constraints of the site. State law prohibits the City from applying any development standard that will physically preclude construction of the project at the requested density and with the requested concessions (see Government Code section 65915(e)(1)). Due to the constraints of the project site, the proposed density would not be possible without the requested waivers.
The Planning Commission approved the project under PLAN2305-0003 with the adoption of Resolution PC23-06 on June 27, 2023 (copy attached). The Planning Commission found the project to be exempt from California Environmental Quality Act (CEQA) review pursuant to CEQA Guidelines section 15332 because it is surrounded by urban uses, has no habitat value, is adequately served by all required utilities and public services, and would not result in any significant effects on traffic, noise or air quality, and would be consistent with general plan and zoning regulations. The project’s Vehicle Miles Traveled (VMT) Analysis and a Phase 2 Environmental Assessment was prepared in conjunction with the City’s RFP and are included as Attachments H and I.
PERMIT EXTENSION REQUEST
The approval expiration date in PC23-06 is one year from project approval (i.e., June 27, 2024) if the project did not commence (e.g., begin construction or otherwise perform substantial work), unless an extension is approved. Pursuant to San Pablo Municipal Code Section 17.20.030. (E), the Zoning Administrator granted a permit extension of one year beyond the initial one-year period. This administrative approval extension was issued on March 28, 2024, and extended the approval expiration date until June 27, 2025. This one-year extension is the maximum that can be granted administratively under the Zoning Code.
However, Section 17.16.100 allows for further permit extension by the original approving authority (i.e., the Planning Commission) subject to the conditions and findings outlined in that section. Given that the project is a 100% affordable residential development, it must compete for tax credit and grant funding with hundreds of other affordable housing projects in the area and the necessary the funding for the project has taken longer than initially anticipated. As stated in the applicant’s project description letter, the applicant has successfully secured Permanent Local Housing Allocation (PLHA) Funds from Contra Costa County but is looking to obtain additional Multifamily Housing Program (MHP) funds and 9% Tax Credits to fill the funding gap necessary to break ground. The applicant has now submitted a request for an additional permit extension of the approved entitlements to allow additional time to secure project funding.
The applicant filed a permit extension application with the City on June 3, 2025, which is more than 30 days before the current permit expires. The permit extension request may be conditioned to comply with updated development standards, but staff finds that there are none that apply. Specifically, the project remains consistent with the following General Plan goals and policies:
Housing Goal #1. Increase housing supply and facilitate production of at least 800 new homes by 2031.
Policy 1-2 Promote development of a variety of housing types, sizes, and densities that meet community needs based on the suitability of the land, including the availability of infrastructure, the provision of adequate services and recognition of environmental constraints.
Policy 1-5 Continue to encourage the provision of a variety of housing choices and types in the community, including innovative forms of housing.
Program 1-B Rumrill Corridor Plan. The City has secured a grant from the Association of Bay Area Governments (ABAG) and Metropolitan Transportation Commission (MTC) and is preparing a Corridor Plan for the Rumrill PDA.
Program 1-F Incentives for High Density Residential Development. Promote multifamily and mixed development in San Pablo’s PDAs through the following actions: (1) process incentives such as fast track permitting, expedited design review, and streamlined environmental review when possible; (2) regulatory incentives such as reduced parking requirements; and (3) fee reductions, waivers, or deferrals for projects that create low and moderate-income housing and other financial incentives such as development agreements for City-owned properties.
Housing Goal #2. Take action to address affordability and housing security for all income groups and family types in San Pablo.
Policy 2-1 Continue to promote and support the development of affordable housing units for lower income households and strive for the provision of housing that is affordable to, and meets the needs of, current and future residents of San Pablo.
Policy 2-3 Continue to encourage the development of housing that meets the needs of large households.
Program 2-I Incentives for Affordable and Special Needs Housing. e City offers density bonuses and other incentives to increase the financial feasibility of developing housing for lower income residents and special needs groups in San Pablo, based on the percentage of affordable units in a development. Special needs groups include large families, female headed single parent households, people experiencing homelessness, persons with disabilities, seniors, households with extremely low incomes. Developers granted a density bonus are required to enter into an Affordable Housing Contract with the City to ensure the continued affordability of the units. Affordable rent units are subject to annual rent adjustments based upon changes in the older adult tenants’ monthly income.
The project remains responsive to these policies by developing 40 studio, two, and three-bedroom residential units and 1,470 square feet of community/amenity space with parking for 17 cars. This development is located on a site that will be well-integrated into its surroundings, and will place residents in close proximity to amenities, such as transit, Davis Park, the Rumrill Sports Park, the Food Barn grocery store, and a variety of commercial uses. The project is of an appropriate density and mass for the location’s prominence at the intersection of two major arterial streets and enhances the public realm with a high-quality visual presence and landscaping.
In terms of housing, the project adds new affordable, urban-scale apartments, a housing typology that remains relatively rare in San Pablo. In addition, the project provides for significant progress in meeting the City’s Regional Housing Needs Allocation (RHNA) numbers, as identified by the Housing Element. The City’s upcoming 2023-2031 RHNA cycle requires that the city provide 746 new housing units, including 173 at the very low-income level, 100 at the low-income level, 132 at the moderate-income level. The 40 units included in this project would provide a significant start on meeting the housing goals of this new cycle.
Finally, the Planning Commission must make the following finding in order to grant the permit extension request:
The extension may be granted only when the designated approving authority finds that the original permit findings can still be made and there are no changed circumstances or there has been diligent pursuit to exercise the permit that warrants such extension.
Again, the project remains consistent with all applicable standards, goals, and policies. The staff report prepared for the project approval from the June 27, 2023 meeting is attached as Attachment C. All evidence contained therein remains unchanged and continues to support the findings in the approval resolution, Resolution PC23-06 (Attachment B). There is no evidence of changed circumstances. Moreover, the applicant has diligently pursued the project and secured PLHA funding from Contra Costa County, and at this time is looking to obtain additional funding and tax credits to fill remaining gaps. For these reasons, staff recommends approving the requested permit extension.
CONCLUSION
Staff recommends that the Planning Commission approve the Permit Extension of Major Design Review and Density Bonus with Concessions/Incentives and Waivers as requested. The original project conditions of approval remain unchanged and are included in the attached proposed Resolution (Attachment A).
ATTACHMENTS
A. Resolution PC25-11
B. Resolution PC23-06
C. Staff Report dated June 27, 2023
D. Administrative Approval Extension Letter
E. Site Location
F. Project Application
G. Architectural/Engineering Submittal: Project Description, Renderings, Site Plan, Floor Plans, Elevations, Landscape Plan.
H. Traffic Impact Analysis Report
I. Phase 2 Environmental Site Assessment
J. Proof of Publication from West County Times