(a)   Downtown Commercial District [CD]

   The CD downtown commercial district is intended to be a comprehensive zoning district for the downtown business area, accommodating a wide range of commercial uses serving city-wide and regional business and service needs, as well as providing for residential uses and neighborhood service needs. The CD commercial downtown district is specifically created to promote the following objectives in the downtown area of Palo Alto:

      (1)   control the rate and size of commercial development;

      (2)   preserve and promote ground-floor retail uses;

      (3)   enhance pedestrian activity;

      (4)   create harmonious transitions from the commercial areas to adjacent residential areas; and

      (5)   where applied in conjunction with Chapter 16.49 of the Palo Alto Municipal Code, preserve historic buildings.

(Ord. 4923 § 4 (part), 2006)

   (a)   Applicable Chapters

   The specific regulations of this chapter and the additional regulations and procedures established by other relevant chapters of the Zoning Code shall apply to the CD commercial downtown district, including subdistricts designated as CD-C (community), CD-S (service) and CD-N (neighborhood) and site development areas within the CD district, as shown on the City's Zoning Map. The term "abutting residential zones," where used in this chapter, includes the R-1, R-2, RMD, RM-20, RM-30, RM-40, or residential Planned Community (PC) districts, unless otherwise specifically noted.

   (b)   Applicable Combining Districts

   The combining districts applicable to the CD district shall include, but shall not be limited to, the following districts:

      (1)   The pedestrian shopping (P) combining district regulations, as specified in Chapter 18.30(B), shall apply to the area of the CD district designated "P" combining district as shown on the City's Zoning Map.

      (2)   The ground floor (GF) combining district regulations, as specified in Chapter 18.30(C), shall apply to the area of the CD district designated "GF" combining district as shown on the City's Zoning Map.

(Ord. 5460 § 15, 2019: Ord. 4923 § 4 (part), 2006)

   (a)   For the purposes of calculating floor area ratio for nonresidential uses under this chapter, "gross floor area" includes not only the area defined in Chapter 18.04, but also all covered at-grade or above-grade parking for nonresidential uses, no matter how slightly above grade such parking is.

   (b)   As used in this chapter, “historic rehabilitation” means returning a property to a state of utility, through repair or alteration, which makes possible an efficient contemporary use while preserving those portions and features of the property which are significant to its historic, architectural, and cultural values. “Historic rehabilitation” shall remedy all the known rehabilitation needs of the building, and shall not be confined to routine repair and maintenance as determined by the director of planning and development services.

   (c)   As used in this chapter, “certification” means certification, by the director of planning and development services, of floor area eligible for transfer to another site as described in Section 18.18.070.

   (d)   As used in this chapter, "receiver site" means a site which receives floor area pursuant to the provisions of Section 18.18.080.

   (e)   As used in this chapter, “sender site” means a site which has received a certification by the director of planning and development services of floor area eligible for transfer to another site pursuant to the provisions of this chapter.

   (f)   “Transferable development right” or “TDR” means the floor area eligible for transfer to a receiver site as described in Section 18.18.080 of this code.

(Ord. 5494 § 3, 2020: Ord. 4923 § 4 (part), 2006)

   The uses of land allowed by this chapter in each commercial zoning district are identified in the following table. Land uses that are not listed on the tables are not allowed, except where otherwise noted. Where the last column on the following tables ("Subject to Regulations in") includes a section number, specific regulations in the referenced section also apply to the use; however, provisions in other sections may apply as well.

   Permited and conditionally permitted land uses for the CD district are shown in Table 1:

 

   (a)   Exclusively Non-Residential Use

   Table 2 specifies the development standards for new exclusively non-residential uses and alterations to non-residential uses or structures in the CD district, including the CD-C, CD-S, and CD-N subdistricts. These developments shall be designed and constructed in compliance with the following requirements and the context-based design criteria outlined in Section 18.18.110, provided that more restrictive regulations may be recommended by the architectural review board and approved by the director of planning and development services, pursuant to Section 18.76.020:

 

   Table 3 specifies the development standards for new residential mixed use developments and residential developments. Housing Development Projects shall be designed and constructed in compliance with the following requirements and the objective design standards in Chapter 18.24, except that sites designated as Housing Element Opportunity Sites shall meet the development standards as modified in Chapter 18.14.020 and projects utilizing the Housing Incentive Program or Affordable Housing Incentive Program shall meet the development standards specified in Sections 18.14.030 and 18.14.040, respectively. Non-Housing Development Projects and Housing Development Projects that elect to deviate from one or more objective standards in Chapter 18.24 shall meet context- based design criteria outlines in Section 18.18.110, provided that more restrictive regulations may be recommended by the architectural review board and approved by the director of planning and development services, pursuant to Section 18.76.020:

 

   (1)   Nonresidential uses that involve the use or storage of hazardous materials in excess of the exempt quantities prescribed in Title 15 of the Municipal Code, including but not limited to dry cleaning plants and auto repair, are prohibited in a mixed use development with residential uses.

   (c)   Exclusively Residential Uses

      (1)   Exclusively residential uses are allowed in the CD-C subdistrict, except in the ground floor (GF) combining district. However, GF combining district use regulations and design and development standards shall not apply to exclusively residential projects on Housing Element opportunity sites designated to accommodate lower income households. See Section 18.14.020 for details.

      (2)   Exclusively residential uses are generally prohibited in the CD-N and CD-S subdistricts. Such uses are allowed, however, where a site is designated as a housing inventory site in the Housing Element of the Comprehensive Plan.

   (d)   Hotel Regulations

      (1)   The purpose of these regulations is to allow floor area for development of hotels in excess of floor area limitations for other commercial uses, in order to provide a visitor-serving use that results in an enhanced business climate, increased transient occupancy tax and sales tax revenue, and other community and economic benefits to the city.

      (2)   Hotels, where they are a permitted use, may develop to a maximum FAR of 2.0:1, subject to the following limitations:

         (A)   The hotel use must generate transient occupancy tax (TOT) as provided in Chapter 2.33 of the Palo Alto Municipal Code; and

         (B)   No room stays in excess of thirty days are permitted, except where the city council approves longer stays through an enforceable agreement with the applicant to provide for compensating revenues.

      (3)   Hotels may include residential condominium use, subject to:

         (A)   No more than twenty-five percent of the floor area shall be devoted to condominium use; and

         (B)   No more than twenty-five percent of the total number of lodging units shall be devoted to condominium use; and

         (C)   A minimum FAR of 1.0 shall be provided for the hotel/condominium building(s); and

         (D)   Where residential condominium use is proposed, room stays for other hotel rooms shall not exceed thirty days.

      (4)   Violation of this chapter is subject to enforcement action for stays in excess of thirty days not permitted under the provisions of this chapter, in which case each day of room stay in excess of thirty days shall constitute a separate violation and administrative penalties shall be assessed pursuant to Chapters 1.12 and 1.16.

   (e)   Exempt Floor Area

      (1)   When an existing building is being expanded, square footage which, in the judgement of the chief building official, does not increase the usable floor area, and is either necessary to conform the building to Title 24 of the California Code of Regulations, regarding disability related access, or is necessary to implement the historic rehabilitation of the building, shall not be counted as floor area. For the purposes of this section disability related upgrades are limited to the incremental square footage necessary to accommodate disability access and shall be subject to the Director’s approval not to exceed 500 square feet per site. Disability related upgrades shall only apply to remodels of existing buildings and shall not qualify for grandfathered floor area in the event the building is later replaced or otherwise redeveloped.

      (2)   Buildings located in the CD-C subdistrict that are noncomplying for height or gross floor area shall be permitted to increase height and expand floor area to the minimum degree necessary to provide rooftop access and related amenities. Such access and amenities may include features such as stairs, elevators, trellises, outdoor furniture, railings, lighting, and other similar features. For the purposes of this section rooftop access floor area shall not be counted as gross floor area. Rooftop access-related features may be located only on portions of buildings located at least 150 feet from a residential zone which, for the purposes of this section, includes the R-1, R-2, RMD, RM-20, RM-30, RM-40, and SOFA districts or Planned Community (PC) districts that permit residential uses. Any request for a rooftop access exception under this section shall be subject to a conditional use permit. The Planning Director may initiate a formal review pursuant to Chapter 18.77 (Processing of Permits and Approvals) of any conditional use permit granted under this section if the site is the subject of multiple complaints in violation of Chapter 9.10 (Noise). For buildings requesting increased height, all fixtures and structures shall remain below a plane measured at a forty-five degree angle beginning from the edges of the building, nearest the rooftop deck surface, and sloping upward and inward toward the center of the building.

   (f)   Restrictions on Office Uses

      (1)   New construction and alterations in the CD-C zoning district shall be required to design ground floor space to accommodate retail use and shall comply with the provisions of the Pedestrian (P) combining district.

      (2)   In the CD-S and CD-N subdistricts, the following requirements shall apply to office uses:

         (A)   No new gross square footage of a medical, professional, general business, or administrative office use shall be allowed, once the gross square footage of such office uses, or any combination of such uses, on a site has reached 5,000 square feet.

         (B)   No conversion of gross square footage from any other use to a medical, professional, general business, or administrative office use shall be allowed once the gross square footage of such office uses, or any combination of such uses, on a site has reached 5,000 square feet.

   (g)   Restrictions on Size of Commercial Establishments in CD-N Subdistrict

   In the CD-N subdistrict, permitted commercial uses shall not exceed the floor area per individual use or business establishment shown in Table 4. Such uses may be allowed to exceed the maximum establishment size, subject to the issuance of a conditional use permit in accordance with Chapter 18.76. The maximum establishment size for any conditional use shall be established by the director and specified in the conditional use permit for such use.

 

 

   (h)   Outdoor Sales and Storage.

   The following regulations shall apply to outdoor sales and storage in the CD district:

      (1)   CD-C Subdistrict

      In the CD-C subdistrict, the following regulations apply:

         (A)   Except in shopping centers, all permitted office and commercial activities shall be conducted within a building, except for:

            (i)   Incidental sales and display of plant materials and garden supplies occupying no more than 2,000 square feet of exterior sales and display area,

            (ii)   Outdoor eating areas operated incidental to permitted eating and drinking services or intensive retail uses,

            (iii)   Farmers' markets which have obtained a conditional use permit, and

            (iv)   Recycling centers that have obtained a conditional use permit.

         (B)   Any permitted outdoor activity in excess of 2,000 square feet shall be subject to a conditional use permit; parklets on public property approved via permit per PAMC Chapter 12.11 are exempt from this section.

         (C)   Exterior storage shall be prohibited, except recycling centers which have obtained a conditional use permit.

      (2)   CD-S Subdistrict

         (A)   Outdoor sales and display shall not occupy a total site area exceeding the gross building floor area on the site, except as authorized by a conditional use permit.

         (B)   Areas used for outdoor sales and display of motor vehicles, boats, campers, camp trailers, trailers, trailer coaches, house cars, or similar conveyances shall meet the minimum design standards applicable to off-street parking facilities with respect to paving, grading, drainage, access to public streets and alleys, safety and protective features, lighting, landscaping, and screening.

         (C)   Exterior storage shall be prohibited, unless screened by a solid wall or fence of between 5 and 8 feet in height.

      (3)   CD-N Subdistrict

   In the CD-N subdistrict, all permitted office and commercial activities shall be conducted within a building, except for:

         (A)   Incidental sales and display of plant materials and garden supplies occupying not more than 500 square feet of exterior sales and display area, and

         (B)   Farmers' markets that have obtained conditional use permits.

            (i)   Employee Showers

   Employee shower facilities shall be provided for any new building constructed or for any addition to or enlargement of any existing building as specified in Table 5.

 

   All uses, whether permitted or conditional, shall be conducted in such a manner as to preclude nuisance, hazard, or commonly recognized offensive conditions or characteristics, including creation or emission of dust, gas, smoke, noise, fumes, odors, vibrations, particulate matter, chemical compounds, electrical disturbance, humidity, heat, cold, glare, or night illuminations. Prior to issuance of a building permit, or occupancy permit, or at any other time, the building inspector may require evidence that adequate controls, measures, or devices have been provided to ensure and protect the public interest, health, comfort, convenience, safety, and general welfare from such nuisance, hazard, or offensive condition.

      Vehicular access to CD-C zoned sites on University Avenue which requires vehicular movement across the sidewalk on University Avenue shall be prohibited, except where required by law and as applied to parcels owned, leased or controlled by the City.

(Ord. 5651 § 7, 2025: Ord. 5650 § 6, 2025: Ord. 5594 § 5, 2024: Ord. 5587 § 22, 2023: Ord. 5554 § 10, 2022: Ord. 5548 § 5, 2022: Ord. 5542 § 21, 2022: Ord. 5517 § 6, 2021: Ord. 5494 § 3, 2020: Ord. 5464 § 1, 2019: Ord. 5460 §§ 7 and 15, 2019: Ord. 5373 § 15 (part), 2016: Ord. 5065 § 4, 2009: Ord. 5035 § 3, 2009: Ord. 4923 § 4 (part), 2006: Ord. 5608 § 8, 2024)

   (a)   A housing development project as defined in paragraph (2) of subdivision (h) of Section 65589.5 of the Government Code of the State of California that is in a CD Districts shall be allowed to increase its floor area ratio as follows:

      (i)   A housing development project of three to seven units shall have a maximum residential floor area ratio of 1.0:1.

      (ii)   A housing development project of eight to ten units shall have a maximum residential floor area ratio of 1.25:1.

   (b)   This bonus shall not apply within a historic district or property included on the State Historic Resources Inventory, as defined in Section 5020.1 of the Public Resources Code of the State of California, or within a site that is designated or listed as a city or county landmark or historic property or district pursuant to a city or county ordinance.

   (c)   For mixed use development in the CD-N and CD-S subdistricts, total floor area ratio shall be increased to the extent necessary to accommodate a non-residential floor area ratio of 0.4:1 for retail and retail-like uses only.

   (d)   In no event shall total floor area ratio exceed 3.0:1 in the CD-C subdistrict, or 2.0:1 in the CD-N and CD-S subdistricts.

(Ord. 5587 § 23, 2023: Ord. 5542 § 22, 2022)

   (a)   Available Floor Area Bonuses

      (1)   Minor Bonus for Buildings Not Eligible for Historic or Seismic Bonus

      A building that is neither in Historic Category 1 or 2 nor in Seismic Category I, II, or III shall be allowed to increase its floor area by 200 square feet without having this increase count toward the FAR, subject to the restrictions in subsection (b). Such increase in floor area shall not be permitted for buildings that exceed a FAR of 3.0:1 in the CD-C subdistrict or a FAR of 2.0:1 in the CD-N or CD- S subdistricts. This bonus is not subject to transfer and must be fully parked. In addition to any applicable parking provisions, this bonus may be parked by the payment of in lieu parking fees under Section 18.18.090.

      (2)   Seismic Rehabilitation Bonus

      A building that is in Seismic Category I, II, or III, and is undergoing seismic rehabilitation, but is not in Historic Category 1 or 2, shall be allowed to increase its floor area by 2,500 square feet or 25% of the existing building, whichever is greater, without having this increase count toward the FAR, subject to the restrictions in subsection (b). Such increase in floor area shall not be permitted for buildings that exceed a FAR of 3.0:1 in the CD-C subdistrict or a FAR of 2.0:1 in the CD-N or CD-S subdistricts. This bonus area must be fully parked. In addition to any applicable parking provisions, this bonus may be parked by the payment of in lieu parking fees under Section 18.18.090.

      (3)   Historic Rehabilitation Bonus

      A building that is in Historic Category 1 or 2, and is undergoing historic rehabilitation, but is not in Seismic Category I, II, or III, shall be allowed to increase its floor area by 2,500 square feet or 25% of the existing building, whichever is greater, without having this increase count toward the FAR, subject to the restrictions in subsection (b). Such increase in floor area shall not be permitted for buildings that exceed a FAR of 3.0:1 in the CD-C subdistrict or a FAR of 2.0:1 in the CD-N or CD-S subdistricts, except as provided in subsection (5). This bonus area must be fully parked, In addition to any applicable parking provisions, this bonus may be parked by the payment of in lieu parking fees under Section 18.18.090.

      (4)   Combined Historic and Seismic Rehabilitation Bonus

      A building that is in Historic Category 1 or 2, and is undergoing historic rehabilitation, and is also in Seismic Category I, II, or III, and is undergoing seismic rehabilitation, shall be allowed to increase its floor area by 5,000 square feet or 50% of the existing building, whichever is greater, without having this increase count toward the FAR, subject to the restrictions in subsection (b). Such increase in floor area shall not be permitted for buildings that exceed a FAR of 3.0:1 in the CD-C subdistrict or a FAR of 2.0:1 in the CD-N or CD-S subdistricts, except as provided in subsection (5). This bonus area must be fully parked. In addition to any applicable parking provisions, this bonus may be parked by the payment of in lieu parking fees under Section 18.18.090.

      (5)   Historic Bonus for Over-Sized Buildings

      A building in Historic Category 1 or 2 that is undergoing historic rehabilitation and that currently exceeds a FAR of 3.0:1 if located in the CD-C subdistrict or 2.0:1 if located in the CD-S or CD-N subdistricts shall nevertheless be allowed to obtain a floor area bonus of 50% of the maximum allowable floor area for the site of the building, based upon a FAR of 3.0:1 if in the CD-C subdistrict and a FAR of 2.0:1 in the CD-S and CD-N subdistricts, subject to the restrictions in subsection (b) and the following limitation:

         (A)   The floor area bonus shall not be used on the site of the Historic Category 1 or 2 building, but instead may be transferred to another property or properties under the provisions of Section 18.18.080.

   (b)   Restrictions on Floor Area Bonuses

      The floor area bonuses in subsection (a) shall be subject to the following restrictions:

      (1)   All bonus square footage shall be counted as square footage for the purposes of the annual square foot limit on office development specified in Section 18.40.210.

      (2)   All bonus square footage shall be counted as square footage for the purposes of the project size limit specified in Section 18.18.060 (a).

      (3)   In no event shall a building expand beyond a FAR of 3.0:1 in the CD-C subdistrict or a FAR of 2.0:1 in the CD-S or CD-N subdistrict.

      (4)   The bonus shall be allowed on a site only once.

      (5)   For sites in Seismic Category I, II, or III, seismic rehabilitation shall conform to the analysis standards referenced in Chapter 16.42 of this code.

      (7)   For sites in both Seismic Category I, II, or III and Historic Category 1 or 2, no bonus shall be granted unless the project includes both seismic and historic rehabilitation conforming to the standards in subsections (5) and (6).

      (8)   For sites in both Seismic Category I, II, or III and Historic Category 1 or 2, a bonus granted under this section that will be used on-site is subject to the following requirements:

         (A)   The city council must approve on-site use of such a FAR bonus. Such approval is discretionary, and may be granted only upon making both of the following findings:

            (ii)   The on-site use of the FAR bonus would not otherwise be inconsistent with the historic character of the interior and exterior of the building and site.

         (B)   The applicant for on-site use of a cumulative floor area bonus shall have the burden of demonstrating the facts necessary to support the findings required for council approval.

   (c)   Transfer of Floor Area Bonuses

      The floor area bonuses described in subsection (a), except the floor area bonus in subsection (a)(1), may be transferred to a non-historic receiver site as described in Section 18.18.080. Such transfer shall not be subject to the discretionary council approval set forth in subsection (b)(8).

   (d)   Procedure for Granting of Floor Area Bonuses

      The floor area bonuses described in subsection (a), except the bonus described in subsection (a)(1), shall be granted in accordance with the following requirements:

      (1)   An application for such floor area bonus(es) must be filed with the director of planning and development services in the form prescribed by the director, stating the amount of such bonus(es) applied for, the basis therefor under this section, and the extent to which such bonus(es) are proposed to be used on-site and/or for transfer. An application for floor area bonus for rehabilitation of a Category 1 or 2 historic building shall include a historic structure report, prepared by a qualified expert, retained by the city, at the applicant’s expense, in accordance with the standards and guidelines of the California State Office of Historic Preservation. It shall also include a plan for rehabilitation; if any part of the existing building is proposed to be removed or replaced, the historic rehabilitation project plans submitted for review shall clearly show and identify any and all material proposed for removal or replacement.

      (2)   The city may retain an expert in historic rehabilitation or preservation, at the applicant’s expense, to provide the city with an independent evaluation of the project’s conformity with the Secretary of the Interior’s “Standards for Rehabilitation and Guidelines for Rehabilitation Historic Buildings.”

      (3)   The historic resources board shall review the historic structure report, the historic rehabilitation project plans, and, if required, the expert independent evaluation of the project, and make a recommendation to the director of planning and development services on the project’s conformity with the Secretary of the Interior’s “Standards for Rehabilitation and Guidelines for Rehabilitation Historic Buildings.”

      (4)   Upon completion of such an application, written determination of the sender site’s eligibility for bonus(es) shall be issued by the director of planning and development services or the director’s designee, based upon the following:

         (A)   In the case of a floor area bonus for seismic rehabilitation, the chief building official has made a determination that the project complies with or exceeds the analysis standards referenced in Chapter 16.42 of this code;

         (B)   In the case of the floor area bonus for historic rehabilitation of a building in Historic Category 1 or 2, the director, taking into consideration the recommendations of the historic resources board, has found that the project complies with the Secretary of the Interior’s Standards for Rehabilitation and Guidelines for Rehabilitating Historic Buildings (36 CFR §67,7); and

         (C)   In the case of a bonus for both seismic and historic rehabilitation that is proposed to be use on-site, the city council has made the findings set forth in subsection (b)(8) of this section.

      The floor area bonuses described in subsection (a), except the bonus described in subsection (a)(1), may be used on the site of the proposed seismic and/or historic rehabilitation project and a building permit issued therefor only upon satisfaction of all the requirements in subsection (d) above. Upon determining that the project has been completed as approved, or in the case of city-owned buildings upon completion of all of the requirements of Chapter 18.28, the director or director’s designee shall issue a written certification which shall state the total floor area bonus utilized at the site (in the case of buildings in the CD-Commercial Downtown District), and the amount (if any) of remaining floor area bonus which is eligible for transfer to another site pursuant to the provisions of this chapter. The certification shall be recorded in the office of the county recorder and a copy shall be provided to the applicant.

      The purpose of this section is to implement the Comprehensive Plan by encouraging seismic rehabilitation of buildings in Seismic Categories I, II, and III, and encouraging historic rehabilitation of buildings or sites in Historic Category 1 and 2, and by establishing standards and procedures for the transfer of specified development rights from such sites to other eligible sites. Except as provided in subsection (e)(1) and for city-owned properties as provided in Chapter 18.28, this section is applicable only to properties located in the CD district, and is the exclusive procedure for transfer of development rights for properties so zoned.

   (b)   Establishment of Forms

      The city may from time to time establish application forms, submittal requirements, fees and such other requirements and guidelines as will aid in the efficient implementation of this chapter.

      Transferable development rights may be transferred to an eligible receiver site upon:

      (1)   Certification by the city pursuant to Section 18.18.070 of the floor area from the sender site which is eligible for transfer; and

      (2)   Compliance with the transfer procedures set forth in subsection (h).

      The city does not guarantee that at all times in the future there will be sufficient eligible receiver sites to receive such transferable development rights.

      A site is eligible to be a receiver site only if it meets all of the following criteria:

      (1)   It is located in the CD commercial downtown district, or is located in a planned community (PC) district if the property was formerly located in the CD commercial downtown district and the ordinance rezoning the property to planned community (PC) approves the use of transferable development rights on the site.

      (2)   It is neither an historic site, nor a site containing a historic structure, as those terms are defined in Section 16.49.020(e) of Chapter 16.49 of this code; and

      (3)   The site is either:

         (A)   Located at least 150 feet from any property zoned for residential use, not including property in planned community zones or in commercial zones within the downtown boundaries where mixed use projects are.

         (B)   Separated from residentially zoned property by a city street with a width of at least 50 feet, and separated from residentially zoned property by an intervening property zoned CD-C, CD-S, or CD-N, which intervening property has a width of not less than 50 feet.

   (f)   Limitations On Usage of Transferable Development Rights

      No otherwise eligible receiver site shall be allowed to utilize transferable development rights under this chapter to the extent such transfer would:

      (1)   Be outside the boundaries of the downtown parking assessment district, result in a maximum floor area ratio of 0.5 to 1 above what exists or would otherwise be permitted for that site under Section 18.18.060, whichever is greater, or result in total additional floor area of more than 10,000 square feet.

      (2)   Be within the boundaries of the downtown parking assessment district, result in a maximum floor area ratio of 1.0 to 1 above what exists, or would otherwise be permitted for that site under Section 18.18.060, whichever is greater, or result in total additional floor area of more than 10,000 square feet.

      (3)   Cause the annual office limitation set forth in Section 18.40.210 to be exceeded.

      (4)   Cause the site to exceed 3.0 to 1 FAR in the CD-C subdistrict or 2.0 to 1 FAR in the CD-S or CD-N subdistricts.

   (g)   Parking Requirements

      Any square footage allowed to be transferred to a receiver site pursuant to this chapter shall be subject to the parking regulations applicable to the district in which the receiver site is located.

   (h)   Transfer Procedure

      Transferable development rights may be transferred from a sender site (or sites) to a receiver site only in accordance with all of the following requirements:

      (1)   An application pursuant to Chapter 18.76 of this code for major ARB review of the project proposed for the receiver site must be filed. The application shall include:

         (A)   A statement that the applicant intends to use transferable development rights for the project;

         (B)   Identification of the sender site(s) and the amount of TDRs proposed to be transferred; and

         (C)   Evidence that the applicant owns the transferable development rights or a signed statement from any other owner(s) of the TDRs that the specified amount of floor area is available for the proposed project and will be assigned for its use.

      (2)   The application shall not be deemed complete unless and until the city determines that the TDRs proposed to be used for the project are available for that purpose.

   (3)   In reviewing a project proposed for a receiver site pursuant to this section, the architectural review board shall review the project in accordance with Chapters 18.76 and 18.77 of this code; however, the project may not be required to be modified for the sole purpose of reducing square footage unless necessary in order to satisfy the findings for approval under Chapter 18.76 or any specific requirement of the municipal code.

      (4)   Following ARB approval of the project on the receiver site, and prior to issuance of building permits, the director of planning and development services or the director's designee shall issue written confirmation of the transfer, which identifies both the sender and receiver sites and the amount of TDRs which have been transferred. This confirmation shall be recorded in the office of the county recorder prior to the issuance of building permits and shall include the written consent or assignment by the owner(s) of the TDRs where such owner(s) are other than the applicant.

   (i)   Purchase or Conveyance of TDRs - Documentation

      (1)   Transferable development rights may be sold or otherwise conveyed by their owner(s) to another party. However, no such sale or conveyance shall be effective unless evidenced by a recorded document, signed by the transferor and transferee and in a form designed to run with the land and satisfactory to the city attorney. The document shall clearly identify the sender site and the amount of floor area transferred and shall also be filed with the department of planning and development services.

      (2)   Where transfer of TDRs is made directly to a receiver site, the recorded confirmation of transfer described in subsection (h)(4) shall satisfy the requirements of this section.

(Ord. 5494 § 3, 2020: Ord. 5373 § 15 (part), 2016; Ord. 5356 § 2, 2015: Ord. 5214 § 3, 2013: Ord. 4923 § 4 (part), 2006)

The provisions of Chapters 18.52 and 18.54 shall apply within the CD district. In particular, on-site and off-site parking for non-residential uses within an assessment district wherein properties are assessed under a Bond Plan G financing pursuant to Title 13 shall be provided in accordance with Section 18.52.070.

   In addition to the standards for development prescribed above, all Housing Development Projects in the CD districts shall comply with the objective design standards outlined in Chapter 18.24 , as defined therein. All other developments, and Housing Development Projects that elect to deviate from one or more objective design standards in Chapter 18.24 , shall meet the Context Based Design Criteria, as determined by the Director pursuant to the Architectural Review process.

   (a)   Contextual and Compatibility Criteria

   Development in a commercial district shall be responsible to its context and compatible with adjacent development, and shall promote the establishment of pedestrian oriented design.

      (1)   Context

         (A)   Context as used in this section is intended to indicate relationships between the site's development to adjacent street types, surrounding land uses, and on-site or nearby natural features, such as creeks or trees. Effective transitions to these adjacent uses and features are strongly reinforced by Comprehensive Plan policies.

         (B)   The word "context" should not be construed as a desire to replicate existing surroundings, but rather to provide appropriate transitions to those surroundings. "Context" is also not specific to architectural style or design, though in some instances relationships may be reinforced by an architectural response.

      (2)   Compatibility

         (A)   Compatibility is achieved when the apparent scale and mass of new buildings is consistent with the pattern of achieving a pedestrian oriented design, and when new construction shares general characteristics and establishes design linkages with the overall pattern of buildings so that the visual unity of the street is maintained.

         (B)   Compatibility goals may be accomplished through various means, including but not limited to:

            (i)   the siting, scale, massing, and materials;

            (ii)   the rhythmic pattern of the street established by the general width of the buildings and the spacing between them;

            (iii)   the pattern of roof lines and projections;

            (iv)   the sizes, proportions, and orientations of windows, bays and doorways;

            (v)   the location and treatment of entryways;

            (vi)   the shadow patterns from massing and decorative features;

            (vii)   the siting and treatment of parking; and

            (viii)   the treatment of landscaping.

   (b)   Context-Based Design Considerations and Findings

   In addition to the findings for Architectural Review contained in Section 18.76.020(d) of the Zoning Ordinance, the following additional findings are applicable in the CD district and subdistricts, as further illustrated on the accompanying diagrams:

      (1)   Pedestrian and Bicycle Environment

   The design of new projects shall promote pedestrian walkability, a bicycle friendly environment, and connectivity through design elements such as:

   A.   Ground floor uses that are appealing to pedestrians through well-designed visibility and access (Figure 1-1);

   B.   On primary pedestrian routes, climate and weather protection where possible, such as covered waiting areas, building projections and colonnades, and awnings (Figure 1-2);

   C.   Streetscape or pedestrian amenities that contribute to the area's streetscape environment such as street trees, bulbouts, benches, landscape elements, and public art (Figure 1-3);

   D.   Bicycle amenities that contribute to the area's bicycle environment and safety needs, such as bike racks, storage or parking, or dedicated bike lanes or paths (Figure 1-1); and

   E.   Vehicle access from alleys or sidestreets where they exist, with pedestrian access from the public street.

      (2)   Street Building Facades

   Street facades shall be designed to provide a strong relationship with the sidewalk and the street(s), to create an environment that supports and encourages pedestrian activity through design elements such as:

   A.   Placement and orientation of doorways, windows, and landscape elements to create strong, direct relationships with the street (Figure 2-1);

   B.   Facades that include projecting eaves and overhangs, porches, and other architectural elements that provide human scale and help break up building mass (Figure 2-2);

   C.   Entries that are clearly defined features of front facades, and that have a scale that is in proportion to the size and type of the building and number of units being accessed; larger buildings should have a more prominent building entrance, while maintaining a pedestrian scale;

   D.   Residential units and storefronts that have a presence on the street and are not walled-off or oriented exclusively inward;

   E.   Elements that signal habitation such as entrances, stairs, porches, bays and balconies that are visible to people on the street;

   F.   All exposed sides of a building designed with the same level of care and integrity;

   G.   Reinforcing the definition and importance of the street with building mass; and

   H.   Upper floors set back to fit in with the context of the neighborhood.

      (3)   Massing and Setbacks

   Buildings shall be designed to minimize massing and conform to proper setbacks through elements such as:

   A.   Rooflines that emphasize and accentuate significant elements of the building such as entries, bays, and balconies (Figure 3-1);

   B.   Design with articulation, setbacks, and materials that minimize massing, break down the scale of buildings, and provide visual interest (Figure 3-1);

   C.   Corner buildings that incorporate special features to reinforce important intersections and create buildings of unique architectural merit and varied styles (Figure 3-1);

   D.   Building facades articulated with a building base, body and roof or parapet edge (Figure 3-2);

   E.   Buildings set back from the property line to create an effective 12' sidewalk on El Camino Real, 8' elsewhere (Figure 3-4);

   F.   A majority of the building frontage located at the setback line (Figure 3-3); and

   G.   No side setback for midblock properties, allowing for a continuous street facade, except when abutting low density residential (Figure 3-3).

      (4)   Low-Density Residential Transitions

   Where new projects are built abutting existing lower-scale residential development, care shall be taken to respect the scale and privacy of neighboring properties through:

   A.   Transitions of development intensity from higher density development building types to building types that are compatible with the lower intensity surrounding uses (Figure 4-1);

   B.   Massing and orientation of buildings that respect and mirror the massing of neighboring structures by stepping back upper stories to transition to smaller scale buildings, including setbacks and daylight planes that match abutting R-1 and R-2 zone requirements (Figure 4-2);

   C.   Respecting privacy of neighboring structures, with windows and upper floor balconies positioned so they minimize views into neighboring properties (Figure 4-3);

   D.   Minimizing sight lines into and from neighboring properties (Figure 4-3);

   E.   Limiting sun and shade impacts on abutting properties; and

   F.   Providing pedestrian paseos and mews to create separation between uses.

      (5)   Project Open Space

   Private and public open space shall be provided so that it is usable for the residents, visitors, and/or employees of a site.

   A.   The type and design of the usable private open space shall be appropriate to the character of the building(s), and shall consider dimensions, solar access, wind protection, views, and privacy;

   B.   Open space should be sited and designed to accommodate different activities, groups, active and passive uses, and should be located convenient to the users (e.g., residents, employees, or public)

   C.   Common open spaces should connect to the pedestrian pathways and existing natural amenities of the site and its surroundings;

   D.   Usable open space may be any combination of private and common spaces;

   E.   Usable open space does not need to be located on the ground and may be located in porches, decks, balconies and/or podiums (but not on rooftops) (Figure 5-1);

   F.   Open space should be located to activate the street façade and increase "eyes on the street" when possible (Figure 5-1);

   G.   Both private and common open space areas should be buffered from noise where feasible through landscaping and building placement;

   H.   Open space situated over a structural slab/podium or on a rooftop shall have a combination of landscaping and high quality paving materials, including elements such as planters, mature trees, and use of textured and/or colored paved surfaces (Figure 5-2); and

   I.   Parking may not be counted as open space.

      (6)   Parking Design

   Parking needs shall be accommodated but shall not be allowed to overwhelm the character of the project or detract from the pedestrian environment, such that:

   A.   Parking is located behind buildings, below grade or, where those options are not feasible, screened by landscaping, low walls, etc.;

   B.   Structured parking is fronted or wrapped with habitable uses when possible (Figure 6-1);

   C.   Parking that is semi-depressed is screened with architectural elements that enhance the streetscape such as stoops, balcony overhangs, and/or art;

   D.   Landscaping such as trees, shrubs, vines, or groundcover is incorporated into surface parking lots (Figure 6-2);

   E.   For properties with parking access from the rear of the site (such as a rear alley or driveway) landscaping shall provide a visual buffer between vehicle circulation areas and abutting properties (Figure 6-3);

   F.   Street parking is utilized for visitor or customer parking and is designed in a manner to enhance traffic calming;

   G.   For properties with parking accessed from the front, minimize the amount of frontage used for parking access, no more than 25% of the site frontage facing a street should be devoted to garage openings, carports, or open/surface parking (on sites with less than 100 feet of frontage, no more than 25 feet);

   H.   Where two parking lots abut and it is possible for a curb cut and driveway to serve several properties, owners are strongly encouraged to enter in to shared access agreements (Figure 6-4); and

   I.   Parking is accessed from side streets or alleys when possible.

      (7)   Large (Multi-Acre) Sites

   Large (in excess of one acre) sites shall be designed so that street, block, and building patterns are consistent with those of the surrounding neighborhood, and such that:

   A.   New development of large sites maintains and enhances connectivity with a hierarchy of public streets, private streets, walks and bike paths (integrated with Palo Alto's Bicycle Master Plan, when applicable);

   B.   The diversity of building types increases with increased lot size (e.g., <1 acre = minimum 1 building type; 1-2 acres = minimum 2 housing types; greater than 2 acres = minimum 3 housing types) (Figures 7-1 through 7-3); and

   C.   Where a site includes more than one housing type, each building type should respond to its immediate context in terms of scale, massing, and design (e.g., Village Residential building types facing or abutting existing single-family residences) (Figures 7-2 and 7-3).

      (8)   Sustainability and Green Building Design

   Project design and materials to achieve sustainability and green building design should be incorporated into the project. Green building design considers the environment during design and construction. Green building design aims for compatibility with the local environment: to protect, respect and benefit from it. In general, sustainable buildings are energy efficient, water conserving, durable and nontoxic, with high-quality spaces and high recycled content materials. The following considerations should be included in site and building design:

   A.   Optimize building orientation for heat gain, shading, daylighting, and natural ventilation (Figure 8-1).

   B.   Design landscaping to create comfortable micro-climates and reduce heat island effects.

   C.   Design for easy pedestrian, bicycle, and transit access.

   D.   Maximize onsite stormwater management through landscaping and permeable pavement (Figure 8-2).

   E.   Use sustainable building materials.

   F.   Design lighting, plumbing, and equipment for efficient energy and water use.

   G.   Create healthy indoor environments.

   H.   Use creativity and innovation to build more sustainable environments. One example is establishing gardens with edible fruits, vegetables or other plants to satisfy a portion of project open space requirements.

   I.   Provide protection for creeks and riparian vegetation and integrate stormwater management measures and open space to minimize water quality and erosion impacts to the creek environment.

   J.   Encourage installation of photovoltaic panels (Figure 8-3).

   (a)   Noncomplying (Grandfathered) Uses

   (1)   The following uses and facilities may remain as legal noncomplying (grandfathered) uses, and shall not require a conditional use permit or be subject to the provisions of Chapter 18.70:

      (A)   Any use which was being conducted on August 28, 1986; or

      (B)   A use not being conducted on August 28, 1986, if the use was temporarily discontinued due to a vacancy of 6 months or less before August 28, 1986; or

      (C)   Any office use existing on April 16, 1990 on a property zoned CD and GF combining, which also existed as a lawful conforming use prior to August 28, 1986, notwithstanding any intervening conforming use.

   (2)   The legal noncomplying uses in subsection (1) shall be permitted to remodel, improve, or replace site improvements on the same site, for continual use and occupancy by the same use, provided such remodeling, improvement, or replacement complies with all of the following:

      (A)   shall not result in increased floor area;

      (B)   shall not relocate below grade floor area to above grade portions of the building;

      (C)   shall not result in an increase of the height, length, building envelope, building footprint or any other increase in the size of the improvement. For purposes of this section, “building envelope” shall mean the three dimensional shape and size occupied by an existing building. It is not the maximum, buildable potential of the site;

      (D)   shall not increase the degree of noncompliance, except pursuant to the exceptions to floor area ratio regulations set forth in Section 18.18.070; or

      (E)   in the case of medical, professional, general business or administrative office uses of a size exceeding 5,000 square feet in the CD-S or CD-N district that are deemed legal noncomplying pursuant to subsection (1), such remodeling, improvement, or replacement shall not result in increased floor area devoted to such office uses.

      (F)   The Director may approve minor changes to the building’s footprint, height, length, and the building envelope through Architectural Review of minor aesthetic architectural improvements and to improve pedestrian-orientation provided there is no increase to the degree of any non- complying feature.

   (3)   If a legal noncomplying use deemed existing pursuant to subsection (1) ceases and thereafter remains discontinued for 12 consecutive months, it shall be considered abandoned and may be replaced only by a conforming use.

   (4)   A use deemed legal noncomplying pursuant to subsection (1) which is changed to or replaced by a conforming use shall not be reestablished, and any portion of a site or any portion of a building, the use of which changes from a legal noncomplying use to a conforming use, shall not thereafter be used except to accommodate a conforming use.

(b)   Noncomplying (Grandfathered) Facilities

   (1)   Any noncomplying (grandfathered) facility existing on August 28, 1986 and which, when built, was a complying facility, may remain as a legal noncomplying facility and shall not be subject to the provisions of Chapter 18.70.

   (2)   The legal noncomplying facilities in subsection (1) shall be permitted to remodel, improve, or replace site improvements on the same site, provided such remodeling, improvement, or replacement complies with all of the following:

      (A)   shall not result in increased floor area;

      (B)   shall not relocate below grade floor area to above grade portions of the building;

      (C)   shall not result in an increase of the height, length, building envelope, building footprint, or any other increase in the size of the improvement;

      (D)   shall not increase the degree of noncompliance, except pursuant to the exceptions to floor area ratio regulations set forth in Section 18.18.070;

      (E)   The Director may approve minor changes to the building’s footprint, height, length, and the building envelope through Architectural Review of minor aesthetic architectural improvements and to improve pedestrian-orientation provided there is no increase to the degree of any non- complying feature, except as provided for rooftop access and amenities in Section 18.18.060(e).

      (F)   The residential portion of any legal noncomplying facility shall not be converted to a non- residential land use or reduced in gross floor area or number of units. An applicant asserting that the operation of this subsection (F) is preempted by state or federal law shall submit a statement of its position with all claims and all supporting documentary evidence at the time it applies for a change of use. The City Council shall hold at least one noticed public hearing in accordance with the procedures set forth in PAMC 18.77.080 to consider whether to waive or adjust the requirements of one or more provisions of Titles 18 or 21. The City Council may seek additional information including, without limitation, third party peer review paid for at the applicant’s expense.

(Ord. 5462 §2, 2019: Ord. 5464 §2, 2019: Ord. 5373 §15 (part), 2016; Ord. 4923 § 3 (part), 2006)