Planning Commission Approves Extension for Palm Restaurant Project

Going against the recommendations of City Hall staff, the Planning Commission voted at its Thursday night meeting to approve an extension for the and deny the addition of an affordable housing unit to a proposed condominium building.

Normally, a first request for an extension is automatically granted. However, staff was recommending the denial of a two-year extension for the proposed 55-foot tall, 42-unit mixed-use Palm Restaurant project at 9001 Santa Monica Blvd. (beside the supermarket), because it went against City Council preferences for the proposed General Plan.

At its Aug. 15 meeting, the council expressed a desire to keep residential units away from Santa Monica Boulevard between Larrabee Street and Almont Drive. Due to a concentration of nightclubs in that area, the council said it wants to avoid future complaints about noise from residents.

Despite the council's concerns, Commissioner Marc Yeber believes policy cannot be made based on an idea that has not been adopted yet. “I don’t think we should make a decision solely based on potential policy that hasn’t even started discussion,” Yeber said.

Commissioner Lauren Meister agreed. “[The General Plan] is still going to council. There’s still discussion, so it’s not law,” Meister said. “For us to recommend against the project would just not be right.”

Yeber went on to chastise staff for the way the item was handled. “One of the biggest complaints from applicants and developers in the city is sometimes it’s not a level playing field,” he said. “I think this is a perfect example of that. I would like to see us act more even handed with applications.”

Yeber then made a motion to recommend approval, which Commissioner Donald DeLuccio seconded. The commission voted 6-0 for the approval. Commissioner Roy Huebner was absent – his second absence since taking office in June.

Since there is a development agreement tied to the Palm Restaurant project, the extension request will now go to the City Council, which has final approval over all development agreements.

1040 Spaulding

The commission also voted to deny the addition of a 615-square foot affordable studio apartment for the proposed five-unit condominium building at 1040 N. Spaulding Ave.

When the project was originally approved in February 2008, the owner opted to pay an in lieu fee of $161,800 instead of including an affordable unit on the property. Since that time, the original developer has gone out of business and a new developer has taken over the project.

That new developer now wants to take advantage of certain concessions granted under state law (SB1818) by adding an affordable housing unit. The developer also requested slight modifications to the project including reduction of setbacks from the sidewalk and adjoining properties and a reduction in the size of the affordable unit.

The commissioners were troubled by the requested modifications. “Each modification might be minor, but together [the four modifications] are not minor,” said Meister. “There is a cumulative effect.”

Commissioner Donald DeLuccio added, “I understand under SB 1818 they get concessions, but on top of that they want modifications. That’s what really disturbs me about this.”

Yeber questioned why the developer was taking “the strategy of incurring more cost, because it costs more to build the [affordable] unit than the in lieu fee.”

A spokesperson for the developer said it was merely about giving the city another affordable unit. The spokesperson also said that if the affordable unit was not approved, the developer would simply pay the in lieu fee and stick with the original plan.

The commission voted unanimously to deny the request.

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