The purpose of the R overlay district is to provide the opportunity for residential-only development in zone districts which would otherwise not permit such uses. The intent is to encourage rehabilitation of existing housing stock in certain commercial and industrial areas (excluding coastal dependent industry), to increase the city's stock of affordable housing through permission of new residential-only developments in areas which allow commercial, industrial and mixed use developments, and to assist the city in maintaining an appropriate balance between jobs and housing. The R residential overlay district does not apply to visitor-serving commercial (VC) designated parcels, with the exception that second story mixed use or residential use shall be allowed on VC designated parcels in the Downtown Core District.

(Ord. 603 § 1 (part), 2005)

The requirements of the R overlay district, as set forth in this chapter, shall apply to those parcels designated with the R overlay, as shown on the adopted zoning maps. This section shall not apply to properties designated either coastal-dependent industry (M-CD), Central Business District (CB), or visitor-serving commercial (VC), with the exception that second story mixed use or residential use shall be allowed on VC designated parcels in the Downtown Core District.

(Ord. 603 § 1 (part), 2005)

A.

Prior to considering an application for a residential-only development within a commercial or industrial zone district not otherwise regulated by an existing residential overlay, an application to establish a residential overlay shall be filed with the community development department on a form established by the community development director. The request for residential overlay approval and the development application shall be submitted together and processed simultaneously. The residential overlay application for approval shall include a report necessary to meet the requirement of Section 14.49.050 of this chapter, explaining why integrated residential units as a part of the overall commercial/industrial development (i.e., mixed use) as permitted in Chapters 14.20 and 14.26 is inappropriate for the subject property. Once an application is deemed complete, the item shall be scheduled for planning commission recommendation and city council action.

B.

The planning commission shall hold at least one public hearing on the proposal to establish the residential overlay district to a parcel(s). Notice of time and place of the hearing shall be given in accordance with the procedures set forth in Chapter 14.76. The planning commission's recommendation on the project and residential overlay district shall be transmitted to the city council by resolution of the planning commission carried by the affirmative votes of not less than a majority of its total voting members. The resolution shall be accompanied by a statement of the planning commission's reasons for such recommendation.

C.

The city council shall hold at least one public hearing before adopting the proposed residential overlay district. The notice of time and place of the hearing shall be given in the same manner as provided for the planning commission.

D.

Following city council approval to establish a residential overlay district, a notice of final action and resolution authorizing staff to submit the residential overlay district map amendment shall be forwarded to the California Coastal Commission for certification.

E.

No residential-only development shall commence on properties zoned for commercial or industrial uses until the California Coastal Commission certifies the local coastal plan amendment to establish a residential overlay district and a development plan permit is obtained consistent with the provisions of Chapter 14.68.

(Ord. 603 § 1 (part), 2005)

The R overlay district allows for new residential-only development in the areas so designated on the zoning map. Implementation of the residential overlay zone district shall be permissive in nature and shall not be construed to restrict use already allowed in the base zone district.

(Ord. 603 § 1 (part), 2005)

The city shall retain the authority for determining where implementation of the residential overlay zone is appropriate. To encourage retention of local businesses where parcels are already developed for commercial or industrial use, application of the residential overlay shall be considered only after mixed-use development has been determined by the city to be inappropriate. Factors to be considered by the city in determining if a mixed-use development is inappropriate are:

A.

Viability of existing commercial or industrial use;

B.

Intensity and compatibility of existing or potential commercial or industrial development;

C.

Relationship with the built environment;

D.

Physical constraints such as, but not limited to, lot size, unique land forms and conditions, and proximity to public transportation.

In addition, residential-only development may be considered only if all of the following findings are met:

1.

The allowance of residential-only development would encourage rehabilitation of important existing housing stock or the residential use of the subject parcel(s) would result in the production of affordable housing in the community;

2.

Residential use on the site would assist the city in maintaining an appropriate balance between jobs and housing;

3.

Residential-only use on parcel(s) is compatible with existing and anticipated uses in the area surrounding the site;

4.

Mixed use development of the site is inappropriate.

(Ord. 603 § 1 (part), 2005)

A residential-only project shall be developed pursuant to the standards and regulations of the underlying commercial or industrial zone district and the following standards:

A.

Density. Residential density shall not exceed twenty (20) dwelling units per acre including any density bonus allowances. In determining a parcel's allowed density, the city shall consider, but not be limited to, the following factors:

1.

Availability and cost of providing local services and infrastructure; e.g., sewer, water, schools, transportation, and parking availability;

2.

Unique site characteristics such as size, shape, topography, and easements;

3.

The existence on site or adjacent to the site of environmentally sensitive habitat area;

4.

The need for protection or enhancement of other coastal resources; e.g., viewsheds, coastal access, recreation, visitor serving commercial and other coastal dependent or coastal-related uses.

B.

Common Open Space. Not less than twenty (20) percent of the net site area shall be in common open space. In condominium and similar developments involving multiple ownership, a homeowners' association shall be established to ensure that the areas of common open space will be maintained.

C.

Landscape. Not less than ten percent (10%) of the net site area shall be landscaped, exclusive of required common open space.

D.

Distance Between Buildings. Distance between buildings is as provided in Chapter 14.14 (Planned Residential Development District).

E.

Parking. Parking regulations are as provided in Chapter 14.54 (Parking Regulations).

(Ord. 603 § 1 (part), 2005)

Notwithstanding any other provision of this code, single room occupancy (SRO) housing units subject to Section 14.62.090.

(Ord. No. 668, § 2, 6-27-2016)