The group home, state-licensed residential care facility and/or state-licensed drug and alcohol treatment facility is in full compliance with all conditions of this chapter, including obtaining a conditional use permit, within one year from the effective date of this chapter. Notwithstanding the foregoing, an existing group home, state-licensed residential care facility and/or state-licensed drug and alcohol treatment facility obligated by a written lease exceeding one year from the effective date of the chapter, or whose activity involves investment of money in leasehold or improvements such that a longer period is necessary to prevent undue financial hardship, are eligible for up to one additional year grace period pursuant to approval from the community development director or his or her designee.