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HomeMy WebLinkAboutPC Resolution 12-05 - (Housing Element) CITY OF HERMOSA BEACH HOUSING ELEMENT 2008 - 2014 Proposed Final January 2012 Exhibit A City of Hermosa Beach Housing Element iii January 2012 Contents I. Introduction ................................................................................................................................. I-1 A. Purpose of the Housing Element ............................................................................................ I-1 B. Scope and Content of the Housing Element ...................................................................... I-1 C. Public Participation ................................................................................................................... I-2 D. Consistency with Other Elements of the General Plan ...................................................... I-2 II. Housing Needs Assessment ...................................................................................................... II-1 A. Population Characteristics ......................................................................................................II-1 1. Population Growth Trends ................................................................................................... II-1 2. Age .......................................................................................................................................... II-2 3. Race and Ethnicity ................................................................................................................ II-3 B. Household Characteristics .......................................................................................................II-3 1. Household Composition and Size ...................................................................................... II-3 2. Housing Tenure ....................................................................................................................... II-4 3. Overcrowding ........................................................................................................................ II-4 4. Household Income ................................................................................................................ II-5 5. Overpayment ......................................................................................................................... II-6 C. Employment ...............................................................................................................................II-6 1. Current Employment ............................................................................................................. II-6 2. Projected Job Growth .......................................................................................................... II-7 D. Housing Stock Characteristics .................................................................................................II-9 1. Housing Type and Growth Trends ...................................................................................... II-9 2. Housing Age and Conditions ............................................................................................ II-10 3. Vacancy ............................................................................................................................... II-12 4. Housing Cost......................................................................................................................... II-13 E. Special Needs ......................................................................................................................... II-16 1. Persons with Disabilities ....................................................................................................... II-16 2. Elderly..................................................................................................................................... II-17 3. Large Households ................................................................................................................ II-18 4. Female-Headed Households ............................................................................................ II-18 5. Farm Workers ........................................................................................................................ II-19 6. Homeless Persons................................................................................................................. II-19 F. Assisted Housing at Risk of Conversion ............................................................................... II-20 G. Low- and Moderate-Income Housing in the Coastal Zone ........................................... II-21 H. Future Growth Needs............................................................................................................. II-21 1. Overview of the Regional Housing Needs Assessment ................................................ II-21 2. 2006-2014 Hermosa Beach Growth Needs ..................................................................... II-22 III. Resources and Opportunities .................................................................................................. III-1 A. Land Resources ......................................................................................................................... III-1 1. Regional Growth Needs 2006-2014 .................................................................................... III-1 2. Inventory of Sites for Housing Development .................................................................... III-2 B. Financial and Administrative Resources .............................................................................. III-3 1. State and Federal Resources .............................................................................................. III-3 2. Local Resources ..................................................................................................................... III-4 C. Energy Conservation Opportunities ...................................................................................... III-4 IV. Constraints ................................................................................................................................. IV-1 A. Governmental Constraints .................................................................................................... IV-1 1. Land Use Plans and Regulations........................................................................................ IV-1 2. Development Processing Procedures ............................................................................IV-12 3. Development Fees and Improvement Requirements .................................................IV-14 City of Hermosa Beach Housing Element iv January 2012 B. Non-Governmental Constraints ......................................................................................... IV-16 1. Environmental Constraints ................................................................................................ IV-16 2. Infrastructure Constraints .................................................................................................. IV-16 3. Land Costs ........................................................................................................................... IV-17 4. Construction Costs ............................................................................................................. IV-17 5. Cost and Availability of Financing .................................................................................. IV-17 C. Fair Housing ............................................................................................................................ IV-18 V. Housing Plan .............................................................................................................................. V-1 A. Goals, Objectives and Policies .............................................................................................. V-1 B. Housing Element Policies ........................................................................................................ V-1 C. Description of Housing Programs .......................................................................................... V-4 D. Housing Program Implementation Matrix.......................................................................... V-10 Appendix A – Evaluation of the 2003 Housing Element Appendix B – Residential Land Inventory – 2006-2014 Appendix C – Public Participation Summary City of Hermosa Beach Housing Element v January 2012 List of Tables Table II-1 Population Trends, 1990-2007 – Hermosa Beach vs. Los Angeles County ......................II-1 Table II-2 Age Distribution - 2000 ..............................................................................................................II-2 Table II-3 Race/Ethnicity ............................................................................................................................II-3 Table II-4 Household Composition ...........................................................................................................II-4 Table II-5 Household Tenure ......................................................................................................................II-4 Table II-6 Overcrowding ............................................................................................................................II-5 Table II-7 Median Household Income, 1999 – Hermosa Beach and Surrounding Cities ...............II-5 Table II-8 Overpayment by Income Category – Hermosa Beach ....................................................II-6 Table II-9 Labor Force – Hermosa Beach vs. Los Angeles County (2000) ........................................II-7 Table II-10 Employment by Occupation – Hermosa Beach .................................................................II-7 Table II-11 Projected Job Growth by Occupation (2004-2014) – Los Angeles-Long Beach-Glendale Metropolitan Statistical Area ...................................................................II-8 Table II-12 Job Location for Hermosa Beach Residents ........................................................................II-9 Table II-13 Housing by Type – Hermosa Beach vs. Los Angeles County ......................................... II-10 Table II-14 Age of Housing Stock by Tenure – Hermosa Beach vs. Los Angeles County ............. II-11 Table II-15 Kitchen and Plumbing Facilities by Tenure, 2000 – Hermosa Beach vs. Los Angeles County ...................................................................................................................... II-12 Table II-16 Housing Vacancy – Hermosa Beach vs. Los Angeles County ....................................... II-13 Table II-17 Income Categories and Affordable Housing Costs – Los Angeles County ................ II-14 Table II-18 Resale Housing Sales Price Distribution (2006-07) – Hermosa Beach............................ II-15 Table II-19 Rental Market Survey – Hermosa Beach............................................................................ II-15 Table II-20 Persons with Disabilities by Age – Hermosa Beach .......................................................... II-17 Table II-21 Elderly Households by Tenure – Hermosa Beach ............................................................. II-18 Table II-22 Household Size by Tenure – Hermosa Beach .................................................................... II-18 Table II-23 Household Type by Tenure – Hermosa Beach .................................................................. II-19 Table II-24 Regional Housing Growth Needs1 – Hermosa Beach ..................................................... II-22 Table III-1 Net Remaining RHNA – Hermosa Beach ............................................................................. III-2 Table III-2 Land Inventory Summary – Hermosa Beach ....................................................................... III-3 Table IV-1 Residential Land Use Categories – Hermosa Beach General Plan ............................... IV-1 Table IV-2 Residential Development Standards by Zone ................................................................... IV-2 Table IV-3 Permitted Residential Development by Zone .................................................................... IV-3 Table IV-4 Residential Parking Requirements ........................................................................................ IV-8 Table IV-5 City of Hermosa Beach Planning Fees .............................................................................. IV-14 Table V-1 Program Implementation Matrix ........................................................................................ V-12 List of Figures Figure II-1 Population Growth 1990-2007 – Hermosa Beach vs. Los Angeles County .....................II-2 City of Hermosa Beach Housing Element I. Introduction I-1 January 2012 I. INTRODUCTION A. Purpose of the Housing Element The Housing Element describes the City‘s needs, goals, policies, objectives, and programs regarding the preservation, improvement, and development of housing within Hermosa Beach. The Element provides an indication of community housing needs in terms of affordability, availability, adequacy, and accessibility. The Element provides a strategy to address housing needs and identifies a range of specific housing programs to meet identified needs. The Housing Element is an official municipal response to a growing awareness of the need to provide housing for all economic segments of the community, as well as a legal requirement for all California jurisdictions. It provides Hermosa Beach with the opportunity to plan for the existing and future housing needs in the community. This Element has been prepared in compliance with the 2008-2014 six-year planning cycle for cities within the Southern California Association of Governments (SCAG) region. It identifies strategies and programs that focus on: 1) providing diverse housing sites and opportunities; 2) conserving and improving the existing affordable housing stock; 3) removing govern- mental and other constraints to housing development; and 4) promoting equal housing opportunities. B. Scope and Content of the Housing Element The California Legislature recognizes the role of local general plans and particularly the Housing Element in implementing statewide housing goals to provide decent and adequate housing for all persons. Furthermore, the Legislature stresses continuing efforts toward providing affordable housing for all income groups. The California Department of Housing and Community Development (HCD) also sets forth specific requirements regarding the scope and content of housing elements, including the following major components: An analysis of the city‘s demographic and housing characteristics and trends (Chapter II); An evaluation of land, financial, and administrative resources available to address the City‘s housing goals (Chapter III); A review of potential constraints, both governmental and non-governmental, to meeting Hermosa Beach‘s housing needs (Chapter IV); The Housing Action Plan for addressing the City‘s identified housing needs, including housing goals, policies and programs (Chapter V); An evaluation of the appropriateness and effectiveness of previous policies and programs in achieving the City‘s objectives, and the progress in implementing Housing Element programs (Appendix A); and A parcel-specific inventory of vacant and underutilized land (Appendix B). City of Hermosa Beach Housing Element I. Introduction I-2 January 2012 C. Public Participation Public participation is an important component of the planning process, and this update to the Housing Element has provided residents and other interested parties numerous opportunities to be involved in the preparation of the element. Public notices of all meetings and hearings were published in the local newspaper in advance of each meeting, as well as posted on the City‘s website. The draft Housing Element was made available for review at City Hall and posted on the City‘s website prior to public meetings. The document was also circulated to housing advocates and non-profit organizations representing the interests of lower-income persons and special needs groups. After receiving comments on the draft Housing Element from the State Housing and Community Development Department, a proposed final Housing Element was prepared and made available for public review prior to adoption by the City Council. Appendix C provides a listing of opportunities for public involvement in the preparation of this Housing Element update, identification of persons and organizations that were invited to participate, and a summary of issues raised during the process. D. Consistency with Other Elements of the General Plan The Housing Element must be consistent with other elements of the General Plan, which was last updated in 1994. The Housing Element has been prepared within the context of the other General Plan Elements and is consistent with the policies and proposals set forth therein. The Housing Element is closely related to development policies contained in the Land Use Element, which establishes the location, type, and intensity of land uses throughout the City. The Land Use Element determines the number and type of housing units that can be constructed in the various land use districts. Areas designated for commercial and industrial uses create employment opportunities, which in turn, create demand for housing. The Circulation Element establishes the location and scale of streets, highways and other transportation routes that provide access to residential neighborhoods. Because of the requirement for consistency among the various General Plan elements, any proposed amendment to one element will be evaluated against the other elements to ensure that no conflicts occur. If necessary to maintain internal consistency, amendments to other elements of the General Plan will be processed concurrently with future Housing Element amendments. Government Code Section 65302 requires that the Land Use Element be reviewed annually for consistency with Federal Emergency Management Agency (FEMA) and state Department of Water Resources (DWR) flood hazard maps, and that amendments to the Safety and Conservation Elements that are required to address flood hazard issues be adopted upon the first amendment to the Housing Element after January 1, 2009. The City will comply with these requirements prior to or concurrent with Housing Element adoption. SB 1087 of 2005 requires cities to provide a copy of their Housing Elements to local water and sewer providers, and also requires that these agencies provide priority hookups for developments with lower-income housing. The Housing Element will be provided to these agencies immediately upon adoption. City of Hermosa Beach Housing Element II. Housing Needs Assessment II-1 January 2012 II. HOUSING NEEDS ASSESSMENT This chapter examines general population and household characteristics and trends, such as age, race and ethnicity, employment, household composition and size, household income, and special needs. Characteristics of the existing housing stock (e.g., number of units and type, tenure, age and condition, costs) are also addressed. Finally, the City‘s projected housing growth needs based on the 2007 Regional Housing Needs Assessment (RHNA) are examined. The Housing Needs Assessment utilizes the most recent data from the 2000 U.S. Census, the California Department of Finance (DOF), the California Employment Development Department (EDD), the Southern California Association of Governments (SCAG), Los Angeles County (2003-2008 Consolidated Plan), and other relevant sources. Supplemental data were obtained through field surveys and from the California State Department of Finance. A. Population Characteristics 1. Population Growth Trends Located 17 miles southwest of Los Angeles at the southern end of Santa Monica Bay, the 1.3-square-mile City of Hermosa Beach was incorporated in 1907. The city grew very slowly during the 1980s and 1990s, having grown less than 8% from 1980 to 2007. Most of the growth that has occurred consisted of density increases on existing parcels, and demolition and replacement of existing homes. This is in contrast with Los Angeles County, which grew by 18.5% between 1980 and 1990, 8.1% between 1990 and 2000, and an additional 8.2% since 2000 (see Table II-1 and Figure II-1). As an essentially built- out city, there continue to be few opportunities for growth, except through redevelopment/infill on existing parcels. Table II-1 Population Trends, 1990-2007 – Hermosa Beach vs. Los Angeles County Jurisdiction 1990 2000 2007 Growth 1990-2000 Growth 2000-2007 Hermosa Beach 18,219 18,566 19,474 1.9% 4.9% Los Angeles County 8,863,052 9,579,000 10,366,700 8.1% 8.2% Sources: 1990 & 2000 Census; Calif. Dept. of Finance Table E-1 (2007) City of Hermosa Beach Housing Element II. Housing Needs Assessment II-2 January 2012 Figure II-1 Population Growth 1990-2007 – Hermosa Beach vs. Los Angeles County Source: US Census 2000, California Department of Finance, Table E-1 (2007) 2. Age Housing needs are influenced by the age characteristics of the population. Different age groups have different housing needs based on lifestyles, family types, income levels, and housing preference. Table II-2 provides a comparison of the city and county population by age group in 2000. This table shows that the age distribution of the city‘s population is older than Los Angeles County as a whole, with Hermosa Beach‘s population having a median age two years older than Los Angeles County. In addition, the percentage of the city‘s population over age 65 has increased from 5.8% to 7% from 1990 to 2000. An aging population has implications regarding the type and size of future housing needs, as well as accessibility. Table II-2 Age Distribution - 2000 Age Group Hermosa Beach Los Angeles County Persons % Persons % Under 18 years 2,227 12% 2,667,976 28% 18 to 24 years 1,126 6% 980,657 10% 25 to 44 years 10,219 55% 3,099,200 33% 45 to 64 years 3,726 20% 1,844,612 19% 65 to 74 years 717 4% 5% 5% 75 to 84 years 399 2% 324,693 3% 85 and over 152 1% 109,147 1% Total 18,566 100% 9,519,338 100% Median Age 34.2 32.0 Source: 2000 Census, Table QT-P1 City of Hermosa Beach Housing Element II. Housing Needs Assessment II-3 January 2012 3. Race and Ethnicity The racial and ethnic composition of the city differs from the county in that a lower proportion of city residents are Hispanic/Latino or other racial minorities. Approximately 85% of city residents are non-Hispanic white, contrasted with 31% for the county as a whole. The percentage of Hispanics residing in the city, at 6.7%, is significantly lower than that of the county with 45% Hispanic/Latino. Asians, at 4.4%, represent the largest non- Hispanic minority (Table II-3). Table II-3 Race/Ethnicity Race/Ethnicity Hermosa Beach Los Angeles County Persons % Persons % Not Hispanic or Latino 17,313 93.3% 5,277,125 55.4% White 15,822 85.2% 2,959,614 31.1% Black or African American 141 0.8% 901,472 9.5% American Indian/Alaska Native 51 0.3% 25,609 0.3% Asian 809 4.4% 1,124,569 11.8% Native Hawaiian/Pacific Islander 35 0.2% 23,265 0.2% Other Races or 2+ races 455 2.5% 242,596 2.5% Hispanic or Latino (any race) 1,253 6.7% 4,242,213 44.6% Total 18,566 100.0% 9,519,338 100.0% Sources: 2000 Census, SF1 Table P8 B. Household Characteristics 1. Household Composition and Size Household characteristics are important indicators of the type and size of housing needed in a city. The Census defines a ―household‖ as all persons occupying a housing unit, which may include single persons living alone, families related through marriage or blood, or unrelated persons sharing a single unit. Persons in group quarters such as dormitories, retirement or convalescent homes, or other group living situations are included in population totals, but are not considered households. Hermosa Beach had 9,476 households as reported in the 2000 Census. Table II-4 provides a comparison of households by type for the city and Los Angeles County as a whole. Family households in 2000 comprised approximately 38% of all households in the city, over 30% less than the county. Another significant difference in household composition between the city and county is the number of single person households (39% city vs. 25% county). Due to these factors, the city‘s average household size is also lower than Los Angeles County as a whole (1.95 persons per household City vs. 2.98 persons per household county). These statistics suggest that there is less need for large units in Hermosa Beach than are needed for other areas of the county. City of Hermosa Beach Housing Element II. Housing Needs Assessment II-4 January 2012 Table II-4 Household Composition Household Type Hermosa Beach Los Angeles County Households % Households % Total Households 9,476 100% 3,133,774 100% Families 3,558 38% 2,136,977 68% - w/children under 18 1,335 14% 1,152,202 37% Non-family households 5,918 62% 996,707 32% - Single living alone 3,736 39% 771,854 25% - 65 and over living alone 368 4% 223,473 7% Average household size 1.95 2.98 Sources: US Census 2000, SF1 Tables P18 and H12 2. Housing Tenure Housing tenure (owner vs. renter) is an important indicator of the housing market. Communities strive to have an adequate supply of units available both for rent and for sale in order to accommodate a range of households with varying incomes, family sizes and composition, and lifestyles. Table II-5 provides a comparison of the number of owner- occupied and renter-occupied units in the city in 2000 as compared to the county as a whole. It reveals a higher level of renters in the city, approximately 5 percentage points higher than the county, which is common for beach communities. Table II-5 Household Tenure Tenure Hermosa Beach Los Angeles County Units % Units % Owner Occupied 4,068 43% 1,499,744 48% Renter Occupied 5,408 57% 1,634,030 52% Total occupied units 9,476 100% 3,133,774 100% Source: 2000 Census, QT-H1 and H7 3. Overcrowding Overcrowding is often closely related to household income and the cost of housing. The U.S. Census Bureau considers a household to be overcrowded when there is more than one person per room, excluding bathrooms and kitchens, with severe overcrowding when there are more than 1.5 residents per room. Overcrowded households are usually a reflection of the lack of affordable housing (see Section D.4 starting on page II-13 below for a detailed definition of ―affordable‖ housing. Table II-6 summarizes overcrowding for the City of Hermosa Beach in 2000. City of Hermosa Beach Housing Element II. Housing Needs Assessment II-5 January 2012 Table II-6 Overcrowding Household Type Hermosa Beach Los Angeles County Households Percent Households Percent Owner-Occupied 4,033 100.0% 1,499,694 100.0% Overcrowded 33 0.8% 204,345 13.6% Severely overcrowded 0 0.0% 111,667 7.4% Renter-Occupied 5,409 100.0% 1,634,080 100.0% Overcrowded 56 1.0% 516,024 31.6% Severely overcrowded 123 2.3% 359,608 22.0% Source: 2000 Census, Table H20 Based on U.S. Census standards, Hermosa Beach residents live in relatively less crowded housing conditions than the rest of Los Angeles County. In 2000, approximately 2% of all occupied units in Hermosa Beach were considered overcrowded, including less than 1% of owner occupied units and 3.3% of renter occupied units. Overcrowding in both owner- occupied and renter-occupied units in the city is significantly less than the county level. According to SCAG estimates, overcrowding in the city remained at approximately 2% as of September 2006.1 4. Household Income Household income is a primary factor affecting housing needs in a community – the ability of residents to afford housing is directly related to household income. According to the 2000 Census, the median household income in Hermosa Beach was $81,153, over 92% higher than Los Angeles County. However, household income is similar to the adjacent beach communities of Redondo Beach and Manhattan Beach (Table II-7). Table II-7 Median Household Income, 1999 – Hermosa Beach and Surrounding Cities Jurisdiction Median Income Hermosa Beach $81,153 City of Los Angeles $37,338 County of Los Angeles $42,189 Manhattan Beach $100,750 Redondo Beach $69,173 Source: US Census 2000, Table P53 (reports 1999 income) 1 SCAG: Draft Housing Need Allocation Plan (January 1, 2006 to June 30, 2014) City of Hermosa Beach Housing Element II. Housing Needs Assessment II-6 January 2012 5. Overpayment According to state housing policy, overpaying occurs when housing costs exceed 30% of gross household income. Table II-8 displays estimates for overpayment in 1999 by lower- income households. According to SCAG, approximately 75% of all lower-income renter households and 59% of all lower-income owner households were overpaying for housing. While extremely-low-income owners appeared to suffer the greatest cost burden, over 50% of all categories of lower-income households, both renters and owners, were found to be overpaying for housing. Although homeowners enjoy income and property tax deductions and other benefits that help to compensate for high housing costs, lower-income homeowners may need to defer maintenance or repairs due to limited funds, which can lead to deterioration. For lower-income renters, severe cost burden can require families to double up, resulting in overcrowding and related problems. Table II-8 Overpayment by Income Category – Hermosa Beach Income Category Renters Owners Households Percent Households Percent Extremely low households 225 -- 135 -- Households overpaying 114 50.7% 90 66.7% Very low households 165 -- 135 -- Households overpaying 150 90.9% 80 59.3% Low households 339 -- 165 -- Households overpaying 280 82.6% 85 51.5% All lower-income households 729 -- 435 -- Households overpaying 544 74.6% 255 58.6% Moderate-income households* 245 -- 60 -- Households overpaying 145 59.2% 20 33.3% Above-moderate households 4,425 -- 3,545 -- Households overpaying 565 12.8% 875 24.7% *80%-95% AMI Source: SCAG 2006 based on 2000 Census C. Employment Employment is an important factor affecting housing needs within a community. The jobs available in each employment sector and the wages for these jobs affect the type and size of housing residents can afford. 1. Current Employment Current employment and projected job growth have a significant influence on housing needs during this planning period. Table II-9 shows that the city had a workforce of 13,415 persons, or 81% of the working-age population, as reported by Census 2000. This table City of Hermosa Beach Housing Element II. Housing Needs Assessment II-7 January 2012 also shows that the city‘s population has a much higher participation in the workforce than the county (81% city vs. 61% county). About 6% of city residents worked at home, which is twice the county‘s rate of home-based employment Table II-9 Labor Force – Hermosa Beach vs. Los Angeles County (2000) Labor Force Status Hermosa Beach Los Angeles County Persons % Persons % In labor force 13,415 81% 4,312,264 61% -Work at home 765 6% 134,643 3% Not in labor force 3,120 19% 2,810,261 39% With Social Security income 991 6% 618,121 9% Total population age 16+ 16,535 -- 7,122,525 -- Source: 2000 Census SF3 DP-3 In 2000, approximately 61% of the city‘s working residents were employed in manage- ment and professional occupations (Table II-10). A low percentage of workers (under 7%) were employed in service related occupations such as waiters, waitresses and beauticians. Blue collar occupations such as machine operators, assemblers, farming, transportation, handlers and laborers also constituted less than 7% of the workforce. Table II-10 Employment by Occupation – Hermosa Beach Occupation Jobs Percent Management, professional and related 7,870 61.2% Service 894 6.9% Sales and office 3,273 25.4% Farming, fishing and forestry - - Construction, extraction, and maintenance 413 3.2% Production, transportation, and material moving 419 3.3% Source: 2000 Census, DP-3 2. Projected Job Growth Table II-11 shows employment and projected occupational growth for the Los Angeles- Long Beach-Glendale Metropolitan Statistical Area (MSA) along with average salaries for the period 2004-2014. The greatest number of new jobs projected to be produced in Los Angeles County over the next few years will be among the lower-waged occupations. Based on past trends and projections provided by the California Employment Development Department, 65% of these new workers will earn 80% or below of the median area income.2 Because the majority of new jobs created will be low-wage jobs, 2 Los Angeles County 2003-2008 Consolidated Plan City of Hermosa Beach Housing Element II. Housing Needs Assessment II-8 January 2012 there will be a growing demand for units affordable to low income persons, typically below the average home price of the area. As of 2002, the largest employment sectors in Hermosa Beach were accommodation & food services (1,423 employees), followed by retail trade (937 employees) and administrative & support & waste management & remediation service (550 employees).3 The 2002 employment sector data is reflective of employment within the city, not necessarily employment of city residents. Table II-11 Projected Job Growth by Occupation (2004-2014) – Los Angeles-Long Beach-Glendale Metropolitan Statistical Area Occupational Title Annual Average Employment Employment Change Median Hourly Wage* 2004 2014 Numerical Percent Total, All Occupations 4,361,000 4,811,500 450,500 10.3 $15.45 Management Occupations 244,980 274,560 29,580 12.1 $43.06 Business and Financial Operations Occupations 194,650 223,170 29,580 14.7 $27.02 Computer and Mathematical Occupations 83,360 98,520 15,160 18.2 $33.17 Architecture and Engineering Occupations 75,510 81,000 5,490 7.3 $35.38 Life, Physical, and Social Science Occupations 33,530 38,700 5,170 15.4 $28.07 Community and Social Services Occupations 47,990 55,790 7,800 16.3 $18.81 Legal Occupations 45,540 50,770 5,230 11.5 $41.69 Education, Training, and Library Occupations 284,960 343,250 58,290 20.5 $21.79 Arts, Design, Entertainment, Sports, and Media Occupations 224,070 248,600 24,530 10.9 $18.32 Healthcare Practitioners and Technical Occupations 177,920 217,340 39,420 22.2 $30.25 Healthcare Support Occupations 89,460 113,730 24,270 27.1 $11.29 Protective Service Occupations 105,410 117,740 12,330 11.7 $14.42 Food Preparation and Serving Related Occupations 298,080 359,200 61,150 20.5 $8.33 Building and Grounds Cleaning and Maintenance Occupations 117,930 133,020 15,090 12.8 $9.94 Personal Care and Service Occupations 107,160 122,360 15,200 14.2 $9.72 Sales and Related Occupations 438,170 487,690 49,520 11.3 $12.27 Office and Administrative Support Occupations 815,450 842,290 26,840 3.3 $14.29 Construction and Extraction Occupations 160,350 173,240 12,890 8.0 $19.21 Installation, Maintenance, and Repair Occupations 136,080 146,450 10,370 7.6 $18.72 Production Occupations 353,880 323,430 -30,450 -8.6 $10.45 Transportation and Material Moving Occupations 316,070 349,400 33,330 10.5 $11.61 Source: California Employment Development Dept., March 2005 Benchmark (http://www.calmis.ca.gov) *2006 wages According to the 2000 Census, about 92.5% of employed Hermosa Beach residents worked in Los Angeles County, but only 13.2% of all workers were employed within the city limits (Table II-12). 3 U.S. Bureau of the Census, 2002 Economic Census City of Hermosa Beach Housing Element II. Housing Needs Assessment II-9 January 2012 Table II-12 Job Location for Hermosa Beach Residents Job Location Persons % Work in Los Angeles County 11,827 92.5% - Work in city of residence 1,683 13.2% - Work elsewhere in Los Angeles County 10,144 79.3% Work in another California county 779 6.1% Work outside California 178 1.4% Total workers age 16+ 12,784 -- Source: 2000 Census, SF3 Tables P26 and P17 D. Housing Stock Characteristics This section presents an evaluation of the characteristics of the community‘s housing stock and helps in identifying and prioritizing needs. The factors evaluated include the number and type of housing units, recent growth trends, age and condition, tenure, vacancy, housing costs, affordability, and assisted affordable units at-risk of loss due to conversion to market-rate. A housing unit is defined by the Census Bureau as a house, apartment, mobile home, or group of rooms, occupied as separate living quarters, or if vacant, intended for occupancy as separate living quarters. 1. Housing Type and Growth Trends As of 2000, the largest proportion of the city‘s housing stock was comprised of multi-family units, which made up about 48% of all units, while single-family detached units comprised 41% of the total. About 10% of units were single-family attached (condo) units, while mobile homes comprised the remaining 1%. Table II-13 provides a breakdown of the housing stock by type along with growth trends for the city compared to the county as a whole for the period 2000-2007. City of Hermosa Beach Housing Element II. Housing Needs Assessment II-10 January 2012 Table II-13 Housing by Type – Hermosa Beach vs. Los Angeles County Structure Type 2000 2007 Growth Units % Units % Units % Hermosa Beach Single-family detached 4,035 41% 4,145 42% 110 3% Single-family attached 986 10% 1,031 10% 45 5% Multi-family 2-4 units 2,173 22% 2,025 21% -148 -7% Multi-family 5+ units 2,564 26% 2,544 26% -20 -1% Mobile homes 82 1% 82 1% 0 0% Total units 9,840 100% 9,827 100% -13 0% Los Angeles County Single-family detached 1,593,449 49% 1,638,521 48% 45,072 3% Single-family attached 241,575 7% 243,078 7% 1,503 1% Multi-family 2-4 units 287,575 9% 291,406 9% 3,831 1% Multi-family 5+ units 1,091,766 33% 1,151,750 34% 59,984 5% Mobile homes 56,605 2% 56,701 2% 96 0% Total units 3,270,906 100% 3,382,356 100% 111,450 3% Source: Cal. Dept. of Finance, Table E-5 Between 2000 and 2007, single-family detached homes represented about 42% of all units built in the city. However, the city had a net decrease of 13 housing units during this timeframe due to the demolition and replacement of older units. 2. Housing Age and Conditions Housing age is often an important indicator of housing condition. Housing units built prior to 1978 before stringent limits on the amount of lead in paint were imposed may have interior or exterior building components coated with lead-based paint. Housing units built before 1970 are the most likely to need rehabilitation and to have lead-based paint in deteriorated condition. Lead-based paint becomes hazardous to children under age six and to pregnant women when it peels off walls or is pulverized by windows an d doors opening and closing. Table II-14 shows the age distribution of the housing stock in Hermosa Beach compared to Los Angeles County as a whole as reported in the 2000 Census. City of Hermosa Beach Housing Element II. Housing Needs Assessment II-11 January 2012 Table II-14 Age of Housing Stock by Tenure – Hermosa Beach vs. Los Angeles County Year Built Hermosa Beach Los Angeles County Units % Units % Owner occupied 4,033 100% 1,499,694 100% 1990 or later 490 12% 101,563 7% 1980-89 464 12% 173,413 12% 1970-79 581 14% 185,447 12% 1960-69 538 13% 222,641 15% 1950-59 782 19% 403,784 27% 1940-49 437 11% 209,298 14% 1939 or earlier 741 18% 203,548 14% Renter occupied 5,409 100% 1,634,080 100% 1990 or later 119 2% 109,917 7% 1980-89 489 9% 214,549 13% 1970-79 1,305 24% 302,096 18% 1960-69 1,289 24% 333,517 20% 1950-59 927 17% 298,342 18% 1940-49 510 9% 175,275 11% 1939 or earlier 770 14% 200,384 12% Source: 2000 Census H36 This table shows that 61% of the owner-occupied housing units and 64% of rented units in Hermosa Beach were constructed prior to 1970. These findings suggest that there may be a need for maintenance and rehabilitation, including remediation of lead-based paint, for a large percentage of the city‘s housing stock. However, due to the city‘s relatively high household incomes, market forces would be expected to encourage more private maintenance, rehabilitation, and lead paint remediation, as compared to lower-income communities. Table II-15 identifies the number of owner-occupied and renter-occupied housing units lacking complete kitchen or plumbing facilities in the city and the county as a whole. This table shows that no owner-occupied units and only 1% of renter-occupied units lacked complete kitchens. Similarly, no owner-occupied units and less than 1% of renter- occupied units lacked complete plumbing facilities. The lack of complete kitchen or plumbing facilities is often an indicator of serious problems, and housing units may need rehabilitation even though they have complete kitchens and plumbing facilities. As part of the city‘s previous (2003) Housing Element update, a citywide survey of housing conditions was conducted. Units were categorized into the following three groups: Good - housing unit appears to be well-maintained; In Need of Minor Repair - unit exhibits need for repair, which may include repainting or other limited maintenance; or, City of Hermosa Beach Housing Element II. Housing Needs Assessment II-12 January 2012 Major Repair - unit is in need of major repairs, which may include, but not be limited to, foundations, roofing materials, etc. The field survey identified a total of six units in Category 2 and two units in need of major repair (Category 3). Given the relatively large number of housing units in the City, the housing stock overall was found to be very well-maintained. Based on the strong appreciation in the real estate market that occurred from 2000 to 2006, experience has shown a trend toward higher rates of home investment and remodeling in recent years, and it is estimated that the number of housing units in need of repair is equal to or less than found in the 2003 survey. Table II-15 Kitchen and Plumbing Facilities by Tenure, 2000 – Hermosa Beach vs. Los Angeles County Kitchen/Plumbing Facilities Hermosa Beach Los Angeles County Units % Units % Owner occupied 4,033 100% 1,499,694 100% Complete kitchen facilities 4,033 100% 1,493,930 99.6% Lacking complete kitchen facilities 0 0% 5,764 0.4% Renter occupied 5,409 100% 1,634,080 100% Complete kitchen facilities 5,380 99% 1,593,522 97.5% Lacking complete kitchen facilities 29 1% 40,558 2.5% Owner occupied 4,033 100% 1,499,694 100% Complete plumbing facilities 4,024 100% 1,492,247 99.5% Lacking complete plumbing facilities 9 0% 7,447 0.5% Renter occupied 5,409 100% 1,634,080 100% Complete plumbing facilities 5,393 99.7% 1,610,239 98.5% Lacking complete plumbing facilities 16% 0.3% 23,841 1.5% Source: 2000 Census H48, H51 3. Vacancy Housing vacancy rates as reported in the 2000 Census are shown in Table II-16. The table shows that vacancy rates in the city were relatively low, with just 2.5% of rental units and 1.1% of for-sale units available for rent or sale, respectively. The rental vacancy rate for the county as a whole was somewhat higher, at 3.3%, while the rate of for-sale housing was approximately the close to that of the city, at 1.6%. Rental vacancy rates in the 2% range indicate nearly full occupancy, and contribute to upward pressures on rents. City of Hermosa Beach Housing Element II. Housing Needs Assessment II-13 January 2012 Table II-16 Housing Vacancy – Hermosa Beach vs. Los Angeles County Occupancy Status Hermosa Beach Los Angeles County Units % Units % Total housing units 9,840 100.0% 3,270,909 100.0% Occupied units 9,475 96.3% 3,133,774 95.8% -Owner occupied 4,068 41.3% 1,499,744 45.9% -Renter occupied 5,408 55.0% 1,634,030 50.0% Vacant units 364 3.7% 137,135 4.2% -For rent1 140 2.5% 56,089 3.3% -For sale2 44 1.1% 23,874 1.6% -Rented or sold, not occupied 41 0.4% 11,716 0.4% -For seasonal or occasional use 95 1.0% 13,565 0.4% -For migrant workers 0 0.0% 68 0.0% -Other vacant 4 0.4% 31,823 1.0% Source: 2000 Census, Table QT-H1 Notes: 1 Est. % of all rental units 2 Est. % of all for-sale units 4. Housing Cost a. Housing Affordability Criteria State law establishes five income categories for purposes of housing programs based on the area (i.e., county) median income (―AMI‖): Extremely-Low (30% or less of AMI), Very-Low (31-50% of AMI), Low (51-80% of AMI), Moderate (81-120% of AMI), and Above Moderate (over 120% of AMI). Housing affordability is based on the relationship between household income and housing expenses. According to HUD and the California Department of Housing and Community Development, housing is considered ―affordable‖ if the monthly payment is no more than 30% of a household‘s gross income. In some areas, these income limits may be increased to adjust for high housing costs. Table II-17 shows 2008 affordable rent levels and estimated affordable purchase prices for housing in Los Angeles County by income category. Based on state-adopted standards, the maximum affordable monthly rent for extremely-low-income households is $569, while the maximum affordable rent for very-low-income households is $948. The maximum affordable rent for low-income households is $1,516, while the maximum for moderate-income households is $1,795. Maximum purchase prices are more difficult to determine due to variations in mortgage interest rates and qualifying procedures, down payments, special tax assessments, City of Hermosa Beach Housing Element II. Housing Needs Assessment II-14 January 2012 homeowner association fees, property insurance rates, etc. With this caveat, the maximum home purchase prices by income category shown in Table II-17 have been estimated based on typical conditions. Table II-17 Income Categories and Affordable Housing Costs – Los Angeles County 2008 County Median Income = $59,800 Income Limits Affordable Rent Affordable Price (est.) Extremely Low (<30%) $22,750 $569 Very Low (31-50%) $37,900 $948 $135,000 Low (51-80%) $60,650 $1,516 $200,000 Moderate (81-120%) $71,800 $1,795 $250,000 Above moderate (120%+) $71,800+ $1,795+ $250,000+ Assumptions: -Based on a family of 4 -30% of gross income for rent or PITI -10% down payment, 5.5% interest, 1.25% taxes & insurance, $200 HOA dues Source: Cal. HCD; J.H. Douglas & Associates b. For-Sale Housing Housing sales price statistics for the period January 2006 through August 2007 (Table II-18) show that the vast majority of resale homes sold for more tha n $500,000 during this period. The median new home sales price for 2006-07 was about $1,450,000 (single-family dwellings and condo combined), while the median price for resale single-family detached homes was $1,156,000. For resale condos, the median price was $975,000. More recent sales statistics reported by DQ News for calendar year 20084 found that the 2008 median sales price was virtually unchanged from 2007 ($1.15 million in 2008 down 1.25% from $1.16 million in 2007). Based on the estimated affordable purchase prices shown in Table II-17, no for-sale units were affordable to lower-income or moderate- income residents. These data illustrate the fact that in beach communities, very large public subsidies are generally required to reduce sales prices to a level t hat is affordable to low- and moderate-income buyers. At a median price of $975,000 for condominiums, there is a ―gap‖ of over $762,000 between the market price and the maximum price a moderate-income household can afford to pay for a home. For low-income households, this gap is over $790,000. 4 http://www.dqnews.com/Charts/Annual-Charts/CA-City-Charts/ZIPCAR08.aspx City of Hermosa Beach Housing Element II. Housing Needs Assessment II-15 January 2012 Table II-18 Resale Housing Sales Price Distribution – Hermosa Beach Sale Price Category New Resale (All) Condo SFD Under $250,000 0 0 0 $250,000-274,999 0 0 0 $275,000-299,999 0 1 0 $300,000-324,999 0 0 1 $325,000-349,999 0 0 0 $350,000-374,999 0 1 0 $375,000-399,999 0 0 0 $400,000-424,999 0 1 0 $425,000-449,999 0 1 0 $450,000-474,999 0 0 1 $475,000-499,999 0 4 0 $500,000+ 5 65 78 Median $1,450,000 $975,000 $1,156,000 Notes: Data for Jan 2006 through Aug 2007 Source: DataQuick Information Systems c. Rental Housing Table II-19 shows market data for rental apartments unit sizes in Hermosa Beach based on recent surveys of large complexes. Table II-19 Rental Market Survey – Hermosa Beach Unit Size Average Rent Average Square Feet Average Cost per Square Foot All $1,979 784 $2.52 Studio $1,304 397 $3.28 1 bedroom/1 bath $1,719 666 $2.58 2 bedroom/2 bath $2,235 910 $2.46 2 bedroom/2 bath $3,200 1,300 $2.46 Average Occupancy 93.4% Average Year Built 1971 Source: RealFacts, 9/07 As would be expected in a desirable beach community in Southern California, when market rents are compared to the amounts lower-income households can afford to pay (Table II-17, page II-14), it is clear that very-low- and extremely-low-income households have a very difficult time finding housing without overpaying. The gap between market City of Hermosa Beach Housing Element II. Housing Needs Assessment II-16 January 2012 rent and affordable rent at the very-low-income level is over $1,000 per month, while the gap at the extremely-low-income level is over $1,400 per month. An average 2-bedroom, 1-bath apartment in Hermosa Beach rents for about $2,235 while the affordable payment for a 4-person low-income household is $1,516, a gap of about $700 per month. E. Special Needs Certain groups have greater difficulty in finding decent, affordable housing due to special circumstances. Such circumstances may be related to one‘s employment and income, family characteristics, disability, or other conditions. As a result, some Hermosa Beach residents may experience a higher prevalence of overpayment, overcrowding, or other housing problems. State Housing Element law defines ―special needs‖ groups to include persons with disabilities, the elderly, large households, female-headed households with children, homeless people, and farm workers. This section contains a discussion of the housing needs facing each of these groups. 1. Persons with Disabilities I In 2000, approximately 1,125 people between the 16 and 64 years of age, or 15% of the working age population, reported a work-related disability (Table II-20). Of those aged 65 and over, 959 disabilities were reported. Included within these disabilities are persons whose disability hinders their ability to go outside the home (3.3% of the working age population and 17.5% of the senior population). Housing opportunities for the handicapped can be maximized through housing assistance programs and providing universal design features such as widened doorways, ramps, lowered countertops, single- level units and ground floor units. City of Hermosa Beach Housing Element II. Housing Needs Assessment II-17 January 2012 Table II-20 Persons with Disabilities by Age – Hermosa Beach Disability by Age Persons Percent Age 5 to 15 - total persons 1,228 -- Sensory disability 0 0.0% Physical disability 27 2.2% Mental disability 45 3.7% Self-care disability 27 2.2% Age 16 to 64 - total persons 7,340 -- Sensory disability 181 2.5% Physical disability 318 4.3% Mental disability 212 2.9% Self-care disability 51 0.7% Go-outside-the-home disability 239 3.3% Employment disability 1,125 15.3% Age 65 and over* - total persons 1,248 17.0% Sensory disability 170 13.6% Physical disability 273 21.9% Mental disability 132 10.6% Self-care disability 165 13.2% Go-outside-the-home disability 219 17.5% Source: 2000 Census, SF3 Tables P8 and P41 Note: Totals may exceed 100% due to multiple disabilities per person 2. Elderly In 2000, there were 887 households (19% of owners but only 2% of renters) in Hermosa Beach where the householder was 65 or older (Table II-21). Of these, only 36 persons were below the poverty level in 19995. Many elderly persons are dependent on fixed incomes and/or have a disability. Elderly homeowners may be physically unable to maintain their homes or cope with living alone. The housing needs of this group can be addressed through smaller units, second units on lots with existing homes, shared living arrangements, congregate housing and housing assistance programs. 5 2000 Census, SF3 Table DP-3 City of Hermosa Beach Housing Element II. Housing Needs Assessment II-18 January 2012 Table II-21 Elderly Households by Tenure – Hermosa Beach Householder Age Owners Renters Households % Households % Under 65 years 3,263 81% 5,292 98% 65 to 74 years 503 12% 68 1% 75 to 84 years 154 4% 42 1% 85 and over 113 3% 7 0% Total households 4,033 100% 5,409 100% Source: 2000 Census, SF3 Table H14 3. Large Households Household size is an indicator of need for large units. Large households are defined as those with five or more members. The city's average household size has dropped slightly from 1.98 persons in 1990 to 1.95 persons in 2000. Among both owners and renters, more than 70% of all households have only one or two members. Only 1% of renter households had five or more members, while about 4% of owners were large households (Table II-22). This distribution suggests that the need for large units with four or more bedrooms is expected to be less than for smaller units. Table II-22 Household Size by Tenure – Hermosa Beach Household Size Owners Renters Households % Households % 1 person 1,195 30% 2,498 46% 2 persons 1,606 40% 2,084 39% 3 persons 674 17% 571 11% 4 persons 402 10% 212 4% 5 persons 107 3% 44 1% 6 persons 49 1% 0 0% 7+ persons 0 0% 0 0% Total households 4,033 100% 5,409 100% Source: 2000 Census, SF3 Table H17 4. Female-Headed Households Of the 9,442 households in the city, 419 (9%) were headed by a female (Table II-23). While female-headed households represent a small portion of households, they make up a significant portion of households that are below the poverty level. City of Hermosa Beach Housing Element II. Housing Needs Assessment II-19 January 2012 Table II-23 Household Type by Tenure – Hermosa Beach Household Type Owners Renters Households % Households % Married couple family 2,117 52% 1,168 22% Male householder, no wife present 85 2% 176 3% Female householder, no husband present 254 6% 165 3% Non-family households 1,577 39% 4,241 78% Total households 4,033 100% 5,409 100% Source: 2000 Census, SF3 Table H19 5. Farm Workers Farm worker households are considered as a special needs group due to their transient nature and the lower incomes typically earned by these households. Migrant workers, and their places of residence, are generally located in close proximity to agricultural areas providing employment. Although agriculture produces a total annual value of approximately $278 million per year in Los Angeles County, no agricultural activities are found in Hermosa Beach or in the surrounding communities.6 In addition, the 2000 Census did not identify any City residents who were employed in farming (Table II-10, page II-7). 6. Homeless Persons The U.S. Department of Housing and Urban Development (HUD) defines the term ―homeless‖ as the state of a person who lacks a fixed, regular, and adequate night-time residence, or a person who has a primary night time residency that is: A supervised publicly or privately operated shelter designed to provide temporary living accommodations; An institution that provides a temporary residence for individuals intended to be institutionalized; or A public or private place not designed for, or ordinarily used as, a regular sleeping accommodation for human beings.7 Although there are myriad causes of homelessness, among the most common are: Substance abuse and alcohol Domestic violence Mental illness 6 2005 Crop and Livestock Report, Los Angeles County Agricultural Commissioner 7 Stewart B. McKinney Act, 42 U.S.C. §11301, et seq. (1994) City of Hermosa Beach Housing Element II. Housing Needs Assessment II-20 January 2012 According to the 2007 Homeless Count Report by the Los Angeles Homeless Services Authority8, conducted biennially, the estimated homeless population for the entire County of Los Angeles was 73,702 persons on any given day. Of this population, 17% were in shelter facilities and 83% were unsheltered. Approximately 15% of these homeless persons were children under the age of 18. Based on HUD protocols, an estimated 141,737 people in Los Angeles (City and County) experience homelessness sometime during the year. Although the 2007 Homeless Count did not specifically count homeless persons in the City of Hermosa Beach, the city's geographic proportionate share was estimated at approximately 55 persons. The City of Hermosa Beach participated in the 2009 Greater Los Angeles Homeless Count on January 28, 2009, identifying 23 homeless persons within the city. Total figures from the count are not yet available. Shelter and service needs of the homeless population are significantly different depending on the population subgroup. Los Angeles County‘s Continuum of Care approach to homelessness is a coordinated and systematic local approach to meet the needs of homeless individuals and families within these subgroups, including: Chronic Homeless Persons; Episodic Homeless Persons; and Persons at Risk of Becoming Homeless The County‘s focus is to provide funding for access to mainstream resources such as income supports, health care, mental health care, substance abuse treatment programs, child care, and job training placement.9 These resources serve the existing homeless population, and also work toward the prevention of homelessness. Contacts with the City of Hermosa Beach Police Department and the Los Angeles County Departments of Beaches indicate that transients occasionally pass through the City. When transients or homeless individuals are encountered, they are referred to the appropriate agencies for assistance.‖ Senate Bill 2 of 2007 strengthened the planning requirements for emergency shelter and transitional/supportive housing. Unless existing shelter facilities are available to meet local needs, jurisdictions must designate at least one zone where new shelters may be established ―by-right‖ (i.e., without a conditional use permit or other discretionary approval). Program 7 in the Housing Plan (Chapter V) addresses this requirement. F. Assisted Housing at Risk of Conversion As part of the Housing Element update, state law requires jurisdictions to identify assisted units that are at risk of conversion to market rate housing during the 10-year period 2008- 8 www.lahsa.org 9 Los Angeles County Housing and Community Development Consolidated Plan, page 5-21 City of Hermosa Beach Housing Element II. Housing Needs Assessment II-21 January 2012 2018. According to the Southern California Association of Governments and the California Housing Partnership Corporation, there are no units at risk in Hermosa Beach. G. Low- and Moderate-Income Housing in the Coastal Zone The majority of Hermosa Beach located west of Valley Drive is within the Coastal Zone. Government Code Section 65590 et seq. prohibits conversion or demolition of existing residential dwelling units occupied by low- or moderate-income persons or families unless provision has been made for the replacement in the same city or county of those dwelling units with units for persons and families of low- or moderate-income (excludes structures with less than 3 units, or less than 10 units for projects with more than one structure, among other exclusions). Section 65590(d) further requires new housing development in the coastal zone to provide housing units for persons and families of low or moderate income, or if not feasible, to provide such units at another location within the same city or county, within the coastal zone or within three miles thereof. Due to the exemptions noted above, no documented affordable units have been constructed in the Coastal Zone. A total of approximately 792 units were constructed from 1982 through 2007. No affordable units have been demolished or converted within the Coastal Zone since 1982. The Coastal Land Use Plan (LUP) addresses three primary issue areas: access, planning for new development, and the preservation of marine-related resources. The LUP contains policies that may impede the construction of new housing development within the designated coastal zone of the City. These include policies related to the preservation of beach access, adequate parking and controlling the types and densities of residential development within the coastal zone. Coastal policies and standards controlling mass, height and bulk discourage ―mansionization.‖ Policies do not prevent residential units above ground floor commercial as allowed in the C-1 zoning district. H. Future Housing Needs 1. Overview of the Regional Housing Needs Assessment The Regional Housing Needs Assessment (RHNA) is a key tool for local governments to plan for anticipated growth. The RHNA quantifies the anticipated need for housing within each jurisdiction for the 8½-year period from January 2006 to July 2014. Communities then determine how they will address this need through the process of updating the Housing Elements of their General Plans. The current RHNA was adopted by the Southern California Association of Governments (SCAG) in July 2007. The future need for housing is determined primarily by the forecasted growth in households in a community. Each new household, created by a child moving out of a parent's home, by a family moving to a community for employment, and so forth, creates the need for a housing unit. The housing need for new households is then adjusted to maintain a desirable level of vacancy to promote housing choice and mobility. An adjustment is also made to account for units expected to be lost City of Hermosa Beach Housing Element II. Housing Needs Assessment II-22 January 2012 due to demolition, natural disaster, or conversion to non-housing uses. The sum of these factors – household growth, vacancy need, and replacement need – determines the construction need for a community. Total housing need is then distributed among four income categories on the basis of the county‘s income distribution, with adjustments to avoid an over-concentration of lower-income households in any community. 2. 2006-2014 Hermosa Beach Housing Needs The Southern California Association of Governments (SCAG) determined the RHNA housing needs for each city within the SCAG region, plus the unincorporated areas. The total housing need for the City of Hermosa Beach during the 2006-2014 planning period is 562 units. The SCAG allocation for Hermosa Beach is based on zero increase in housing units, rather replacement of units and maintaining a healthy vacancy rate. This total is distributed by income category as shown in Table II-24. Pursuant to Government Code Section 65583(a)(1) it is assumed that the need for extremely-low-income households is half of the very-low-income need. All new units built or preserved after January 1, 2006 may be credited against the RHNA period. Because there are essentially no vacant parcels within the city that are suitable for residential development, it is anticipated that the 562-unit RHNA allocation would need to be met through replacement of existing units and redevelopment of underutilized parcels. A discussion of the city‘s net remaining housing need is provided in the land inventory section of Chapter III. Table II-24 – Regional Housing Growth Needs 2006-2014 – Hermosa Beach Very Low Low Moderate Above Moderate Total 1471 93 98 224 562 26.2% 16.5% 17.4% 39.9% 100.0% Source: SCAG 2007 1. Of these 74 are assumed to be extremely-low-income City of Hermosa Beach Housing Element III. Resources and Opportunities III-1 January 2012 III. RESOURCES AND OPPORTUNITIES A. Land Resources 1. Regional Housing Needs 2006-2014 In accordance with Government Code §65584, projected housing needs for each city and county in the Southern California region are prepared by the Southern California Association of Governments (SCAG) under a process known as the Regional Housing Needs Assessment (RHNA). SCAG‘s Regional Council adopted the final Regional Housing Need Allocation in July 2007 for the 8½-year planning period of January 1, 2006 to June 30, 2014. The RHNA process began with an update of the population, employment and household forecasts for the region as a whole and for each county. These forecasts were largely derived from California Department of Finance (DOF) population and employment forecasts and modified by regional demographic and modeling efforts by SCAG. SCAG then disaggregated the regional and county forecasts to each jurisdiction and estimated the number of dwelling units needed to achieve a regional target vacancy rates (2.3% owner-occupied and 5% rental) and to account for projected housing demolitions. The total housing needed in each jurisdiction was then distributed by income category (very low, low, moderate and upper income). It should be noted that SCAG‘s RHNA methodology, which resulted in the allocation of 562 new housing units to Hermosa Beach (including 240 lower-income units), was based on a pattern of development comprised almost entirely of the replacement of older single-family houses with small condominium projects, which are likely to be occupied by above-moderate income households. There are no residentially-zoned vacant or underutilized parcels of sufficient size or in sufficient number that could accommodate new assisted affordable housing. In addition, there are no vacant commercially-zoned properties (which currently do not allow housing as a permitted or conditional use) that could accommodate housing projects of any appreciable size. Nonprofit housing developers consulted by the City in 2010 indicated that viable assisted housing projects typically consist of at least 20 units. All new units built or preserved after January 1, 2006 are credited in the current RHNA period. Table III-1 shows the net remaining housing need after crediting units built during 2006-2008. (A detailed breakdown of these new units by income category is provided in Appendix B). City of Hermosa Beach Housing Element III. Resources and Opportunities III-2 January 2012 Table III-1 Net Remaining RHNA – Hermosa Beach Income Category Total VL Low Mod Above RHNA (total) 147 93 98 224 562 Units completed 2006-2008 0 0 0 208 208 RHNA (net remaining) 147 93 98 16 354 Source: Hermosa Beach Community Development Department , 2/2009 2. Inventory of Sites for Housing Development Section 65583(a)(3) of the Government Code requires Housing Elements to contain an ―inventory of land suitable for residential development, including vacant sites and sites having potential for redevelopment, and an analysis of the relationship of zoning and public facilities and services to these sites.‖ A detailed analysis of vacant land and potential redevelopment opportunities has been prepared and is described in Appendix B. The results of this analysis are summarized in Table III-2 below. The table shows that while the city‘s land inventory exceeds the total remaining RHNA for this planning period, there are insufficient sites of sufficient size or availability to reasonably accommodate lower-income housing. As discussed in Appendix B, the requirement to demonstrate availability of lower-income sites is met through zoning that allows redevelopment of underutilized sites at densities greater than 20 units/acre. In 2004 state law was amended to establish 20 units/acre as the density deemed appropriate to accommodate housing for lower-income households in small urban cities like Hermosa Beach [Government Code Section 65583.2(c)(3)(B)]. The land inventory analysis in Appendix B contains an estimate of the realistic capacity of potential sites for residential development at densities greater than 20 units/acre. The analysis notes that high land values have resulted in extensive ―recycling‖ of small residential parcels to higher-density projects, including 208 new units during 2006-2008 alone. However, this development has been comprised primarily of the replacement of existing housing rather than a net increase in the number or density of units. Although all zoning districts where residential or mixed-use is permitted (except R-1) allow densities greater than 20 units/acre, HCD did not accept these sites as meeting the lower-income RHNA requirement. In order to obtain HCD approval, Program 7 (Chapter V) includes a commitment to amend the Zoning Code to establish a lower-income housing overlay zone in the C-3, SPA-7 and SPA-8 districts. City of Hermosa Beach Housing Element III. Resources and Opportunities III-3 January 2012 Table III-2 Land Inventory Summary – Hermosa Beach Income Category Total Lower* Mod Above Units approved/under construction - - 34 34 Vacant sites 8 - - 8 Underutilized sites - - - R-1 (units permitted) - - 17 17 Realistic estimate (100%) - - 17 17 R-2/R-2B (units permitted) - 331 331 Realistic estimate (84%) - 278 278 R-3 (units permitted) - 180 180 Realistic estimate (84%) - 151 151 R-P (units permitted) - 14 14 Realistic estimate (75%) - 11 11 C-1 (units permitted) - 12 12 Realistic estimate (80%) - 10 10 SPA-9 (units permitted) - 4 4 Realistic estimate (100%) - 4 4 Subtotal (units permitted) 8 - 592 600 Subtotal (realistic) 8 - 505 513 RHNA (net 2009-2014)** 240 98 16 354 Realistic Net Surplus (Deficit) (232) (98) 489 Sources: Hermosa Beach Community Development Dept., 1/2011 * Lower = Very Low + Low **See Table B-1 Note: This table is the same as Table B-3. A discussion of public facilities and infrastructure needed to serve future development is contained in Section IV.B, Non-Governmental Constraints. There are currently no known service limitations that would preclude the level of development described in the RHNA, although developers will be required to pay fees or construct public improvements prior to or concurrent with development. B. Financial and Administrative Resources 1. State and Federal Resources Community Development Block Grant Program (CDBG) - Federal funding for housing programs is available from the Department of Housing and Urban Development (HUD). During the previous planning period the City has received approximately $93,000 per year. In recent years the City has used CDBG funds for ADA compliance retrofits for the Community Center and Playhouse, City Hall and sidewalk handicap ramps. City of Hermosa Beach Housing Element III. Resources and Opportunities III-4 January 2012 The City does not currently participate in other HUD programs such as HOME, Emergency Shelter Grant (ESG) or Housing Opportunities for Persons with AIDS (HOPWA). Section 8 Rental Assistance – The Section 8 Housing Choice Voucher Program (HCVP) assists very-low-income senior citizens, families and the disabled with the cost of rental housing. Generally, a tenant pays 30% of his or her adjusted income towards the rent and the Section 8 program pays the balance directly to the landlord. Unfortunately, the need for rental assistance is greater than available resources. T he Los Angeles County Section 8 waiting list for assistance in 2008 consists of approximately 117,000 households. 2. Local Resources As a very small jurisdiction, Hermosa Beach has extremely limited resources for housing assistance. There is no redevelopment agency. The only locally-generated source of housing revenue is the Condominium Conversion fund, which is an "infrastructure fee toward the physical and service structure of the community from which the development benefits" (Municipal Code Section 17.22.270). C. Energy Conservation Opportunities As residential energy costs rise, the subsequent increasing utility costs reduce the affordability of housing. Although the City is fully developed, new infill development and rehabilitation activities could occur, allowing the City to directly affect energy use within its jurisdiction. State of California Energy Efficiency Standards for Residential and Nonresidential Buildings were established in 1978 in response to a legislative mandate to reduce California's energy consumption. The standards are codified in Title 24 of the California Code of Regulations and are updated periodically to allow consideration and possible incorporation of new energy efficiency technologies and methods. California's building efficiency standards (along with those for energy efficient appliances) have saved more than $56 billion in electricity and natural gas costs since 1978. It is estimated the standards will save an additional $23 billion by 201310. Title 24 sets forth mandatory energy standards and requires the adoption of an ―energy budget‖ for all new residential buildings and additions to residential buildings . Separate requirements are adopted for ―low-rise‖ residential construction (i.e., no more than 3 stories) and non-residential buildings, which includes hotels, motels, and multi-family residential buildings with four or more habitable stories. The standards specify energy saving design for lighting, walls, ceilings and floor installations, as well as heating and cooling equipment and systems, gas cooling devices, conservation standards and the use of non-depleting energy sources, such as solar energy or wind power. The home building industry must comply with these standards while localities are responsible for enforcing the energy conservation regulations through the plan check and building inspection processes. 10 California Energy Commission (http://www.energy.ca.gov/title24) City of Hermosa Beach Housing Element III. Resources and Opportunities III-5 January 2012 In addition to state-mandated Title 24 requirements, Hermosa Beach is participating in a coalition to collaboratively tackle the issue of energy conservation.11 The South Bay Environmental Services Center (SBESC12) is educating residents, business owners and public agencies and hosting or making available information about the energy conservation programs, retrofits and incentives available in the community and how to incorporate more energy-saving practices into everyday life. Established through funding from the California Public Utilities Commission, the SBESC includes the 15 cities that comprise the South Bay Cities Council of Governments (SBCCOG), and is associated with Southern California Edison and Southern California Gas Company. Member cities include Carson, El Segundo, Gardena, Hawthorne, Hermosa Beach, Inglewood, Lawndale, Lomita, Manhattan Beach, Palos Verdes Estates, Rancho Palos Verdes, Redondo Beach, Rolling Hills, Rolling Hills Estates, Torrance, and the Harbor City and San Pedro communities of Los Angeles. The City of Hermosa Beach has adopted solar energy and wind energy ordinances to facilitate their use, and has reduced building permit fees for solar energy systems and waived the planning fee for wind energy systems. These waivers are reviewed annually. The City has adopted a water conservation ordinance and a water efficient landscape ordinance that is significantly more restrictive than required by state law in that demonstration of drought-tolerant landscaping is required for all new landscaping in connection with all projects regardless of size or tenancy. The City adopted increased energy efficiency requirements (Tier 1) as part of the 2010 CalGreen Code. The City is participating in the Los Angeles County Energy Upgrade Program so that residents and businesses can take full advantage of energy retrofit programs per AB 811. The City has instituted a fee reduction for LEED or Build-It Green certified buildings, with this incentive to be reviewed annually. The City, in concert with the South Bay Environmental Service Center (SBESC) and others, has and will continue to participate and host workshops on green building; the City hosted workshops on solar energy, green building codes, adopted a provision to allow solar energy systems exceeding height limits, waives plan check fees for installation of solar systems, applies a green building checklist to new projects, and is adopting a form- based zoning district mandating and encouraging green building provisions. The City became a member of 'Cool Cities' and the City reformulated its Green Building Committee as a ‗Green Building Task Force', which is preparing a climate action/sustainability plan. In January 2009 the City launched its new Hermosa Beach Green Webpage at www.hermosabch.org and the City is overhauling its entire website which will provide an opportunity to provide housing information updated on a regular basis. 11 http://www.imakenews.com/priorityfocus/e_article001104271.cfm?x=bcHNgMg,b7M8B89t 12 www.sbesc.com City of Hermosa Beach Housing Element IV. Constraints IV-1 January 2012 IV. CONSTRAINTS A. Governmental Constraints 1. Land Use Plans and Regulations a. General Plan Each city and county in California must prepare a comprehensive, long-term General Plan to guide its future. The Land Use Element of the General Plan establishes the basic land uses and density of development within the various areas of the city. Under state law, the General Plan elements must be internally consistent and the City‘s zoning must be consistent with the General Plan. Thus, the land use plan must provide suitable locations and densities to implement the policies of the Housing Element. The Hermosa Beach General Plan Land Use Element includes four residential land use designations, as shown in Table IV-1. Table IV-1 Residential Land Use Categories – Hermosa Beach General Plan Designation Maximum Density* Low Density 13 DU/acre Medium Density 25 DU/acre High Density 33 DU/acre Mobile Home 13 DU/acre The City of Hermosa Beach General Plan is not considered a constraint to the goals and policies of the Housing Element as the City‘s zoning is consistent with the General Plan and adequate sites with appropriate densities have been identified to accommodate the remaining RHNA allocation. b. Zoning Designations The City regulates the type, location, density, and scale of residential development through the Municipal Code. Zoning regulations serve to implement the General Plan and are designed to protect and promote the health, safety, and general welfare of residents. The Municipal Code also helps to preserve the character and integrity of existing neighborhoods. The Municipal Code sets forth residential development standards for each zone district. City of Hermosa Beach Housing Element IV. Constraints IV-2 January 2012 There are five residential zones in Hermosa Beach: R-1 Single Family Residential (R-1A: Two Dwelling Units per Lot) R-2 Two-Family Residential (R-2B: Limited Multiple Family Residential) R-3 Multiple-Family Residential R-P Residential Professional MHP Mobile Home Park In addition to these zones, residential uses are also permitted above ground floor commercial within the C-1 ―Limited Business and Residential Zone‖ (see Table IV-3). A summary of the development standards for these zones is provided in Table IV-2. Table IV-2 Residential Development Standards by Zone Development Standard R-P R-1 R-1A R-2 R-2B R-3 C-1 Minimum Lot Area (sq.ft.) per DU 1,320 4,000 3,350 1,750 1,750 1,320 1,320 Equivalent Density 33 10.9 13 24.9 24.9 33 33 Minimum Front Yard (ft.) n/a 10% of lot depth 10% of lot depth 10% of lot depth 10% of lot depth Per zoning map 0 Minimum Side Yard (ft.) 10% of lot width 10% of lot width 10% of lot width 10% of lot width 10% of lot width 10% of lot width 5' Minimum Rear Yard (ft.) 5 5 (3 if alley) 5 (3 if alley) 5 (3 if alley) 5 (3 if alley) 5 if alley 5' Maximum Building Height (ft.) 30 25 25 30 30 30 30 Source: Hermosa Beach Zoning Ordinance, http://www.hermosabch.org/departments/cityclerk/code/zoning.html Minimum lot area per unit ranges from 1,320 square feet in the R-P, R-3 and C-1 zones to 4,000 square feet in the R-1 zone. The R-P zone provides for mixed-use commercial/residential development with varying densities depending on lot area and dimensions. Density bonuses would permit more units than allowed by the underlying zone pursuant to State law and the implementing ordinance adopted by the City in 2004. The densities within mobile home parks are regulated by Title 25 of the California Administrative Code, subject to a use permit. A summary of the uses permitted in the City‘s residential zoning districts is provided in Table IV-3. Although a range of residential densities are allowed by-right in residential zones, a discretionary precise development plan (PDP) City of Hermosa Beach Housing Element IV. Constraints IV-3 January 2012 is required when more than one unit is developed per lot to ensure site design is compatible with the Code and adjacent development. Program 7 includes a commitment to amend the Zoning Code to clarify that the PDP is a site design tool, rather than providing a means of evaluating whether the type of use should be allowed on a particular site. The City also has adopted nine specific plan areas (SPAs), in many cases to accommodate specific commercial or residential development projects. Residential use is either not allowed in these specific plan areas or the specific plan area was adopted to specifically accommodate a development project which has been constructed. SPA- 7 and SPA-8 provide a significant number of parcels for commercial development fronting Pacific Coast Highway. Table IV-3 Permitted Residential Development by Zone Housing Type Permitted R-1 R-1A R-2 R-2B R-3 MHP R-P C-1 SF Detached P P P P P P 4 Single-Family Attached P* P* P* P* P* 4 Multi-Family P* P* P* C Mobile Home P P P P P P P Second Units C1 C1 C1 C1 C1 C1 Farm Worker Housing Emergency Shelters Transitional Housing Single-Room Occupancy Care Facility (6 or fewer) P P P P P P Care Facility (7+) C2 C2 C2 C2 C3 C2 Assisted Living5 Source: Hermosa Beach Zoning Ordinance P = Permitted P* = Permitted subject to approval of a precise development plan to evaluate site design C = Conditional Use Permit 1 Senior units only 2 Accessory to a single-family detached dwelling; for child care purpose 3 "Group Houses" are allowed. “Group houses” is not defined. There have been no applications for this use and so a final determination as to whether the use is conditional has not been made. 4 Residential uses are allowed above ground floor commercial uses 5 A specific plan area was created to accommodate a senior assisted living center. Zoning for Lower-Income Housing Lower-income housing can be accommodated in all zones permitting residential use in Hermosa Beach. These may include second residential units in the R-1A and R-2B zones, multi-family apartments in the R-3 zone, and commercial/residential mixed-use developments within the C-1 and R-P Zones. Under state law, the ―default density‖ presumed to be adequate to facilitate lower-income housing is 20 units/acre in Hermosa Beach. As noted in Table IV-2 above, the R-2, R-2B, R-3, R-P and C-1 zones all permit development at greater than 20 units/acre and therefore are considered suitable for City of Hermosa Beach Housing Element IV. Constraints IV-4 January 2012 lower-income housing under state law13. Review of development trends confirms that actual densities in all of these zones except R-2 and R-2B are typically greater than 20 units/acre. As shown in Appendix A, Table A-3, during the past three years the average densities for all projects in these zones were as follows: Zone Average Density for Projects Built 2006-08 R-2/R-2B 16 units/acre R-3 26 units/acre R-P 21 units/acre C-1 30 units/acre Source: Appendix A, Table A-3 While the average density of recent projects in the R-2 and R-2B zones was less than 20 units/acre, there were 9 projects that exceeded that density, which demonstrates that development standards are not a limiting factor to achieving the default density. Instead, small lot sizes may make it difficult to achieve the maximum density, or some owners may choose not to build the maximum permitted units for personal reasons. The City of Hermosa Beach has adopted a lot merger ordinance. Chapter 16.24 of the Subdivision Ordinance requires continuous lots in the R-1 zone under the same ownership to be merged if one or both of the lots is substandard (less than 4,00 square feet) in size. The city initiated a residential lot merger program in 1986. The city adopted lot merger provisions in 1986 within the Subdivision Ordinance in response to state law, requiring substandard-size properties under common ownership to be merged. The city completed a citywide lot merger program in 1989. In 2006 the city became of aware of several parcels that were not included in the 1989 program, and conducted another citywide survey (showing 71 lots remained subject to merger —25 separate lots that could be developed, 46 remnant parcels), and conducted another lot merger program. In 2007 the merger ordinance was amended to reduce applicability to the R-1 properties to prevent splitting and separation of lots in R-1 neighborhoods, finding that merging lots in 13 Assembly Bill 2348 of 2004 City of Hermosa Beach Housing Element IV. Constraints IV-5 January 2012 R-2 and R-3 zones has limited or no impact. Therefore, changes to the lot merger program are not necessary. Despite significant land zoned for residential uses, Hermosa Beach is already one of the most densely developed and populated cities in Los Angeles County and is essentially built-out. While rezoning of commercial or industrial areas could be considered to provide additional housing, there are no large commercial or industrial areas that are suitable for this purpose. About 75% of the city is already residentially zoned, with about 35% of this area zoned for high-density R-2 and R-3 development. Approximately 11% of the city has commercial zoning, and just 1% is industrially zoned. The balance of the city is zoned for open space, most of which is the beach area. The percentage of commercial and industrial zoning is well below the neighboring cities in the South Bay and the region in general. The City Council has recognized this imbalance and supports maintaining and where possible aggregating small lots in commercial areas. As a result, there are no significant non-residential parcels that can be re-zoned for high-density residential development. In addition, it is important for the City‘s economic viability that existing commercial and industrial areas be preserved. The residential land inventory reveals that the majority of potential housing sites are underused parcels with older homes. While none of these sites are on the City's inventory of potentially significant historic landmark sites (last updated in the early 1970s), there is a concern that redevelopment of most of these sites would change the character of the city's neighborhoods, which are typically a mix of older, often single-story bungalow style homes, with two- or three-story high-density condo projects, as well as potentially impacting access on narrow residential streets and other infrastructure. With little room for street widening in older beach communities, it is important to note that the added traffic generation of more high-density housing could conflict with other statewide priorities such as facilitating access to the beach. In order to encourage and facilitate the production of higher-density affordable housing, the Housing Plan (Chapter V) includes Programs 5 and 9 that will offer assistance and incentives to developers who provide units affordable to lower-income households. Special Needs Housing Under state law, persons with special needs include those in residential care facilities, persons with disabilities, farm workers, persons needing emergency shelter, transitional or supportive housing, and low-cost single-room-occupancy units. The City‘s regulations regarding these housing types are discussed below. City of Hermosa Beach Housing Element IV. Constraints IV-6 January 2012 Housing for Persons with Disabilities State requirements. Health and Safety Code §§1267.8, 1566.3, 1568.08 require local governments to treat licensed group homes and residential care facilities with six or fewer residents no differently than other single-family residential uses. ―Six or fewer persons‖ does not include the operator, the operator‘s family, or persons employed as staff. Local agencies must allow these licensed care facilities in any area zoned for residential use, and may not require licensed residential care facilities for six or fewer persons to obtain conditional use permits or variances that are not required of other family dwellings. Residential care facilities that serve six or fewer persons are not identified in the Municipal Code as permitted or conditionally permitted uses within any residential zoning district. ―Group houses‖ are permitted in the R-3 district but this use is not defined. Program 8 includes a commitment to amend the Code to identify definitions and standards for group homes and residential care facilities in conformance with state law. Reasonable Accommodation. The City‘s Building Code requires that new residential construction comply with Title 24 accessibility standards. These standards include requirements for a minimum percentage of fully accessible units in new multi-family developments. In order to facilitate the processing of requests to reduce architectural obstacles for persons with disabilities, the City in 2011 amended the Municipal Code to allow the review of requests for reasonable accommodation pursuant to SB 520 of 2001 (see Chapter V – Program 8). Definition of ―Family‖. The Municipal Code defines "Family" as ―two or more persons living together in a dwelling unit, sharing common cooking facilities, and possessing the character of a relatively permanent single bona fide housekeeping unit in a domestic bond of social, economic and psychological commitment to each other, as distinguished from a group occupying a boarding house, club, dormitory, fraternity, hotel, lodging house, motel, rehabilitation center, rest home or sorority.‖ This definition is consistent with state law; however the Zoning Code restricts the number of unrelated people living together to three within single- and two-family units. Unrelated persons within multi-family units are limited to two in a 1-bedroom unit, three in a 2- bedroom unit and four in a 3-bedroom unit (Section 17.42.090). Program 8 in the Housing Action Plan includes a commitment to update the Zoning Code to allow licensed care facilities in conformance with state law, add a definition for ―group houses‖ and conform restrictions on unrelated persons living together to state law. Maximum concentration requirements. There are no concentration or separation requirements for residential care facilities or group homes in the Zoning Code. City of Hermosa Beach Housing Element IV. Constraints IV-7 January 2012 Site planning requirements. There are no special site planning requirements (other than parking, height, and setbacks) for residential care facilities in the Zoning Code. Parking requirements. The Zoning Code does not specify a parking requirement for residential care facilities. The city has not been presented with requests for such facilities, therefore parking demand would be determined on a case-by-case based on comparison with uses having similar parking demand. Farm Worker Housing As indicated in Table IV-3 (page IV-3), the City‘s Zoning Ordinance does not identify farm worker housing separately as a permitted use. However, as discussed in Chapter II, no agricultural activities are found within Hermosa Beach or in the surrounding communities. In addition, the 2000 Census did not identify any City residents employed in farming. Therefore there is no demand for farm worker housing in Hermosa Beach. Emergency Shelters and Transitional/Supportive Housing Emergency shelters are facilities that provide a safe alternative to acute homelessness either in a shelter facility, or through the use of motel vouchers. Emergency shelter is short-term, usually for 30 days or less. Recent amendments to state law (Senate Bill 2 of 2007) require that unless adequate shelter facilities are available to meet a jurisdiction‘s needs, emergency shelters must be allowed by-right (i.e., without discretionary review such as a conditional use permit) in at least one zoning district, but may include specific development standards. Since the Zoning Code does not currently contain a definition or development standards for emergency shelters, Program 8 in the Housing Action Plan (Chapter V) contains a commitment to amend the Code in compliance with SB 2. The C-3, R-3, SPA 7 and SPA 8 zones will be considered for this purpose. The C-3 zone encompasses approximately 28 acres while the R-3 zone encompasses approximately 89 acres. SPA 7 and SPA-8 contain a total of approximately 22 acres. All of these districts provide good access to transit and other services , and the C-3, SPA-7 and SPA-8 zones front Pacific Coast Highway, which provides excellent transit service. Transitional housing is longer-term housing, typically up to two years. Transitional housing generally requires that residents participate in a structured program to work toward established goals so that they can move on to permanent housing. Residents are often provided with an array of supportive services to assist them in meeting goals. Under SB 2 transitional and supportive housing is deemed to be a residential use subject only to the same requirements and standards that apply to other residential uses of the same type in the same zone. Since the Zoning Code does not currently contain a definition or regulations for transitional or supportive housing, Program 8 is included in the Housing Plan to address this issue. City of Hermosa Beach Housing Element IV. Constraints IV-8 January 2012 Single Room Occupancy Single-room-occupancy (SRO) facilities are small studio-type units that typically rent in the very-low- or extremely-low-income category. SROs are not identified by the City‘s Zoning Code as permitted uses within any residential or commercial district, although such facilities may be built in multi -family zones if the applicable development standards are met. The City's Building Code requires a 600 square-foot minimum for one-bedroom multi-family units and the Zoning Code requires a 900 square-foot minimum for condominiums. California Health and Safety Code Section 17958.1 allows jurisdictions to permit efficiency units with a minimum floor area of 150 square feet and partial kitchen or bathroom facilities for occupancy by no more than two persons. In order to facilitate the development this source of affordable housing, Program 7 is included in the Housing Action Plan to add a definition and development standards for SROs consistent with state law. c. Off-Street Parking Requirements The City‘s parking requirements for residential zones vary by residential type and housing product (Table IV-4). Two off-street parking spaces plus one guest space are required for single-family, duplex or two-family dwellings. Multiple dwellings (three or more units) are also required to have two off-street spaces, plus one guest space for each two dwelling units. Mobile homes are required to have two spaces per unit. The City adopted a reduced parking standard for Specific Plan Area No. 6 in conjunction with approval of a senior assisted living facility, and shared and reduced parking may be approved by the Planning Commission on a case-by-case basis. Otherwise, there are no explicit provisions in the Code for a reduction in parking standards for uses that require less parking (such as senior housing) or as an incentive for the provision of affordable housing. State density bonus law (SB 1818) prescribes reduced parking standards for affordable housing developments, however. In order to address these issues, Program 7f is included in the Housing Action Plan to revise parking standards. Table IV-4 Residential Parking Requirements Type of Unit Minimum Parking Space Required Single family residence 2 spaces plus 1 guest space Mobile home park 2 spaces Duplex or two-family dwelling 2 spaces plus 1 guest space Multiple dwellings (3+ units) 2 spaces plus 1 guest space for each 2 dwelling units Detached servant‟s quarters or guest houses 1 space Source: Hermosa Beach Zoning Ordinance, Chapter 17.44 City of Hermosa Beach Housing Element IV. Constraints IV-9 January 2012 d. Accessory and Second Units The Zoning Code limits guest houses and accessory living quarters to space within the main building for someone employed on the premises or temporary use by guests pursuant to a use permit. "Guest house" or "accessory living quarters" means living quarters within a main building for the use of persons employed on the premises, or for temporary use by guests of the occupants of the premises. Such quarters shall have no kitchen facilities and shall not be rented or otherwise used as a separate dwelling unit. Guest houses and accessory living quarters are subject to the issuance of a conditional use permit and are not allowed in accessory buildings. Accessory units differ from second units, which may be rented subject to an age restriction. The second unit ordinance allows a maximum 640 square foot unit occupied by one or two adults 60 years of age or older on an 8,000+ square foot lot subject to a conditional use permit (CUP). Those portions of the city that are presently zoned R-2 and R-3 typically contain parcels that are too small to accommodate second units. As a result, the provisions for a second unit apply only to the R -1 single-family zone. In 1992 the City adopted Ordinance No. 92-1080 which makes all of the required findings under Government Code Section 65852.2 to preclude the creation of second units in single- family and multi-family zones, and the City has determined that second units are not suitable on the residential lots in the City due to impacts on traffic, density, the school system, infrastructure, sewer, loss of open space, increased impervious surfaces, increase of solid waste generation, etc. While the City subsequently conducted an extensive lot merger program these conditions and the reasons to preclude second units continue to exist. Notwithstanding terminology, in order to facilitate production of the additional, second units now allowed in the R-1 zone, Program 7 in the Housing Plan includes a provision to eliminate the conditional use permit requirement in favor of a ministerial approval process. e. Density Bonus Under state law (SB 1818 of 2004), cities and counties must provide a density increase up to 35% over the otherwise maximum allowable residential density under the Municipal Code and the Land Use Element of the General Plan (or bonuses of equivalent financial value) when builders agree to construct housing developments with units affordable to low- or moderate-income households. The Zoning Code has not yet been amended to reflect SB 1818, therefore Program 1 is included in the Housing Plan to address this issue. City of Hermosa Beach Housing Element IV. Constraints IV-10 January 2012 f. Mobile Homes/Manufactured Housing There is often an economy of scale in manufacturing homes in a plant rather than on site, thereby reducing cost. State law precludes local governments from prohibiting the installation of mobile homes on permanent foundations on single- family lots. It also declares a mobile home park to be a permitted land use on any land planned and zoned for residential use, and prohibits requiring the average density in a new mobile home park to be less than that permitted by the Municipal Code. Mobile homes are permitted in each of the residential zones, thereby facilitating the construction of this type of housing. One mobile home park is located in Hermosa Beach (Marine Land Mobile Home Park), which is owned by a private, non-profit corporation. In addition, the adjacent "State RV Park" is occupied by very-low-income households and persons in transition to permanent residency. The City committed to retaining the Marine Land Mobile Home Park by designating it within the General Plan and Zoning Code as a Mobile Home Park (MHP) Zone and in 2008 the City Council allocated over $111,000 from the Condominium Conversion Fund to assist residents with their acquisition of the Marine Land Mobile Home Park. I n December 2008 the project was awarded $1,200,000 subject to conditions under the state‘s Mobilehome Park Resident Owner Program (see Program 3 in Chapter V). g. Condominium Conversions In order to reduce the impacts of condominium conversions on residents of rental housing and to maintain a supply of rental housing for low- and moderate-income persons, the City's Municipal Code provides for a tenant assistance plan that includes the following: a. A option to first purchase units, including tenant purchase discounts. For those who choose not to purchase a unit, the subdivider must provide a method by which tenants will be assisted in finding comparable replacement rental housing within the area of the conversion, including professional relocation assistance. b. A statement of the method by which the subdivider will comply with the requirements of Section 66427.1 of the State Subdivision Map Act. Such method must provide that no tenant shall be required to move from his or her apartment due to the proposed conversion until the expiration of the two- month period for exercise of his or her right of first refusal. City of Hermosa Beach Housing Element IV. Constraints IV-11 January 2012 c. Reimbursement for moving costs incurred, not to exceed $500.00. d. Extension of tenancy to complete school term, if necessary. Because of these requirements, the potential impact of condominium conversions is not a significant constraint on the preservation of affordable rental housing. However, the reimbursement amounts for moving and for rent differentials should be reviewed to ensure costs have not outpaced reimbursements. This review is incorporated into Program 8. h. Nonconforming Uses and Buildings The Zoning Code allows residential uses to be rebuilt in the case of destruction or damage beyond the owner's control provided the nonconformity is not increased. Nonconforming buildings may expand 100 percent in floor area (existing prior to October 26, 1989, up to 3,000 square feet per unit or 5,000 square feet of total floor area for the building site). Nonconforming portions of a building with a nonconforming residential use may be partially modified or altered to the extent necessary to comply with the Uniform Building Code. Specific rules pertaining to nonconforming parking apply. Building sites with three or more dwelling units cannot be expanded in floor area unless two parking spaces per unit plus one guest space for every two units are provided. The Zoning Code also allows the Planning Commission to validate as legal nonconforming residential units that can be shown to have been used for residential occupancy more or less continuously since January 1, 1959 when City records and actual property use conflict. The City will evaluate whether to relax provisions governing validation of residential units that contribute to the supply of affordable rental housing when the residential use is demonstrated to have existed for a shorter period of time (to be determined as part of the city's consideration) than is currently required under the code, provided the units are improved so as to not be substandard and parking adequate for the occupancy can be provided (Program 9). i. Building Codes State law prohibits the imposition of building standards that are not necessitated by local geographic, climatic or topographic conditions and requires that local governments making changes or modifications in building standards must report such charges to the Department of Housing and Community Development and file an expressed finding that the change is needed. The City‘s Building Code incorporates the California Building Code, which includes the Uniform Building Code and Uniform Housing Code. The City‘s City of Hermosa Beach Housing Element IV. Constraints IV-12 January 2012 Building Code also incorporates the California Building, Plumbing, Mechanical and Electrical Codes. These are considered the minimum necessary to protect the public 's health, safety and welfare. The City‘s ordinance details the revisions and amendments to the Building Code that exceed state standards. These amendments are all relatively inexpensive, and most of the revisions are related to fire alarms, smoke detectors, sprinkler systems, a nd other basic safety measures. The City has adopted some local modifications to the 2010 CalGreen Codes to address drainage, increased demolition diversion, and increased energy efficiency, among others, however these were determined to not substantially increase project costs. Building Code as well as Zoning Code provisions that set forth minimum residential unit sizes (Table IV-5) will be evaluated as described in Program 8 to ensure they do not inhibit the provision of affordable and special need housing. Table IV-5 Residential Unit Minimum Size Requirements Bedrooms Building Code Zoning Code MF SF Condominium 1 bedroom 600 1000 900 2 bedroom 900 1300 1100 3 bedroom 1200 1600 1400 4 bedroom 1800 1900 1530 j. Coastal Zone Policies in the Coastal Land Use Plan are likely to aid in the maintenance of affordable housing since they discourage ―mansionization.‖ Since the Zoning Ordinance has not been certified by the Coastal Commission, amendments and projects affecting coastal resources must continue to be submitted to the Coastal Commission for review and approval. 2. Development Processing Procedures a. Residential Permit Processing State Requirements. State Planning and Zoning Law provides permit processing requirements for residential development. Within the framework of state requirements, the City has structured its development review process in order to minimize the time required to obtain permits while ensuring that projects receive careful review. Developer Assistance. Hermosa Beach has prepared permit processing guidelines to assist residential builders in applying for development permits for single-family residences, multi-family, and subdivisions. The guides are comprehensive in nature, address the steps, and check points to be followed. Early consultation with City staff is encouraged to identify issues as soon as possible and reduce processing time. This consultation (at no City of Hermosa Beach Housing Element IV. Constraints IV-13 January 2012 cost to applicants) allows applicants to become acquainted with the information and fees required by each department and agency. Preliminary site and architectural plans are also reviewed for consistency with City standards. This conference allows the applicant to assess the feasibility of the project and make adjustments during the preliminary planning stages to minimize costs. Permit Approval Procedures and Timing. Simultaneous processing of required entitlements (e.g., subdivisions and planned developments permits) is also provided as a means of expediting the review process. Most projects under the purview of the Planning Commission are approved or denied within six weeks of filing; a subsequent process requiring Planning Commission actions to be reported to the City Council and the appeal period typically consumes about 30 days. Therefore, the process is typically completed within 3 months from application filing. Single-Family Detached Units – Applications are reviewed by the Planning Division for zoning clearance, and subsequently by the Building Division. Processing time is typically three to four weeks. Condominiums – A conditional use permit, precise development permit (PDP) design review, and tentative subdivision map must be approved by the Planning Commission; this process is usually completed within three months from the date a complete application is received. Once that approval is obtained, the building permit application can be simultaneously reviewed by the planning and building divisions. The building permit process takes about three to six weeks. Multi-Family Projects – A precise development plan (PDP) design review is conducted by the Planning Commission. If a conditional use permit is also required by the Zoning Code, then it is reviewed by the Planning Commission concurrently. Such review is usually completed within three months from the date a complete application is received. Once approval is obtained, the building permit application can be simultaneously reviewed by the planning and building divisions. A structural plan check is performed by an outside contractor. The building permit process takes about four to six weeks. Mixed-Use Projects – A precise development plan (PDP) design review is conducted by the Planning Commission. If a conditional use permit is required by the Zoning Code, concurrent Planning Commission review is usually completed within three months from the date a complete application is received. The building permit process takes about three to six weeks. Building Plan Check - Plan check for the processing of residential building permits is generally four to six weeks, depending on the City‘s workload. For discretionary permits, there is an initial internal review period of 30 days. Building codes are applied to new construction, and projects are monitored and inspected under the building permit process. Where no permits have been obtained, inspections are made in response to request and complaints. City of Hermosa Beach Housing Element IV. Constraints IV-14 January 2012 Programs 5, 7 and 9 in the Housing Plan (Chapter V) include specific actions the City will take to streamline the development review process to facilitate the production of affordable housing. b. Environmental Review Environmental review is required for all discretionary development projects under the California Environmental Quality Act (CEQA). Most projects in Hermosa Beach are either Categorically Exempt or require only an Initial Study and Negative Declaration. Developments that have the potential of creating significant impacts that cannot be mitigated require the preparation of an Environmental Impact Report. Most residential projects require a Negative Declaration and take an additional three to four weeks to complete. Categorically Exempt developments such as second residential units require a minimal amount of time. As a result, state-mandated environmental review does not pose a significant constraint to housing development. 3. Development Fees and Improvement Requirements State law limits fees charged for development permit processing to the reasonable cost of providing the service for which the fee is charged. Various fees and assessments are charged by the City and other public agencies to cover the costs of processing permit applications and providing services and facilities such as schools, parks and infrastructure. Almost all of these fees are assessed through a pro-rata share system, based on the magnitude of the project's impact or on the extent of the benefit that will be derived. Table IV-6 City of Hermosa Beach Planning & Building Fees Planning Fees/Building Fees Fee Amount Conditional Use Permit (CUP) $1,604 CUP for Condominium (cost/2 units) $1,293 CUP for Condominium (per unit over 2 units) $144 CUP/Parking Plan/PDP (amendment) $1,672 Environmental Assessment $1,318 Extension (tentative map, final map, CUP) $1,517 Final Map $1,476 General Plan Amendment/Zone Change $3,115 Parking Plan $1,770 Precise Development Plan $2,595 Subdivision – Tentative Map $1,974 Variance $1,869 Parks and Recreation Fees (condos excluded)** $3,500/unit Parks and Recreation Fees, in lieu (condos only)** $14,096/unit Building Permit $1,621.44 for first $100,000 plus $9.28 for each additional $1,000 Sewer Use Fee** Same as County Sewer Fee City of Hermosa Beach Housing Element IV. Constraints IV-15 January 2012 Source: City Of Hermosa Beach. 2008-09. *Averages for 3-bedroom, 2 bath single-family home. **Credits available if existing square footage is demolished or dwelling units are replaced. Does not include possible cost for an environmental impact report or related consultant fees. Table IV-6 shows fees associated with new development within Hermosa Beach. As can be seen from the table, Park and Recreation and Building Permit fees represent the largest development fees, although since many projects replace units, credits can be obtained. For a typical 2,000-square-foot single-family dwelling (excluding any demolition or entitlement cost), cumulative permit fees are estimated at approximately $12,000 per unit or $5,000 if the new unit replaced a 1,500-square-foot house as of February 2009. Fees for a 2,000-square-foot condominium unit (part of a typical two-unit project) that replaced a 1,500-square-foot dwelling would be about $19,000, or $22,000 if no replacement was involved. Nearly all multi-family projects are small condominium projects which allow owners to maximize investment on small lots. The City periodically evaluates the actual cost of processing the development permits when revising its fee schedule. The last review was 2001. In addition to City fees, development fees levied by the school districts and special districts include the following as of January 2009: School Fees: $2.63 per square foot L.A. County Sewer Connection Fee: $2,850 (single family home) Aside from parkland fees, no other impact fees have been adopted. The City requires developers to provide on-site and off-site improvements necessary to serve their projects. Such improvements may include water, sewer and other utility extensions, street construction and traffic control device installation that are reasonably related to the project. Dedication of land or in-lieu fees may also be required of a project for rights-of-way, transit facilities, recreational facilities and school sites, consistent with the Subdivision Map Act. The City‘s Capital Improvement Program (CIP) contains a schedule of public improvements, including street improvements and other public works projects, to facilitate the City‘s continued development according to the City‘s General Plan. The CIP helps to ensure that construction of public improvements is coordinated with private development. Although development fees and improvement requirements increase the cost of housing, cities have little choice in establishing such requirements due to the limitations on property taxes and other revenue sources needed to fund public improvements. City of Hermosa Beach Housing Element IV. Constraints IV-16 January 2012 B. Non-Governmental Constraints 1. Environmental Constraints Environmental constraints include physical features such as steep slopes, fault zones, floodplains, or sensitive biological habitat. In many cases, development of these areas is constrained by state and federal laws (e.g., FEMA floodplain regulations, the Clean Water Act, Endangered Species Act, Coastal Act, State Fish and Game Code and Alquist-Priolo Act). The City‘s Coastal Land Use Plan and General Plan have been designed to protect sensitive areas from development, and to protect public safety Environmentally sensitive areas are generally zoned and protected as parklands. However, a significant portion of the City is within the Coastal Zone wherein impacts to coastal resources are always of concern. In addition, portions of the city are located on moderately steep hillsides and some areas are subject to liquefaction. While policies constrain residential development to some extent, they are necessary to support other public policies. 2. Infrastructure Constraints With almost 20,000 people living within its 1.3 square miles and virtually no vacant land, the City‘s growth is limited to redevelopment and replacement of existing structures. This section discusses potential infrastructure constraints on such development. Water and Wastewater. Water and wastewater systems are generally able to serve existing demands. Most new development will continue to be replacement of existing structures, and water and sewer capacities are projected to be sufficient to accommodate this replacement during the planning period. However, significant deficiencies in the sewer system exist and rehabilitation is necessary , and new development may require offsite improvements. In 2009 the City Council approved Sewer System Master and Management Plans identifying the cost to repair the 80-year- old system at $9 million. An analysis of options for funding the cost of improvements is underway. Water infrastructure is replaced and developer improvements are in accordance with the schedules and requirements of the service providers. Streets and Parking. One of the primary infrastructure issues associated with the current level of development is the limited capacity of on-street parking. As a dense beach city inundated by tourists throughout the summer months, the city lacks adequate parking in many areas. The City addresses this constraint incrementally by ensuring that all new developments, both residential and commercial, provide adequate off-street parking so they do not need to rely on on-street parking. Streets in Hermosa Beach are subject to high levels of traffic, which would be further impacted by new development. The great majority of the traffic, especially during the summer months, consists of through-traffic, over which the City has no control. Because of the City‘s location in relation to the regional freeway system, access to the surrounding region is limited to the arterial roadways. The many thousands of visitors to the local beaches also affect parking and other services, in addition to traffic. City of Hermosa Beach Housing Element IV. Constraints IV-17 January 2012 Drainage. Finally, urban storm water run-off is a challenging issue because the City is an ocean front community with over 90% impermeable ground surface. In addition to best management practices (BMPs) implemented through its regional storm water discharge permit, the City also requires infiltration basins, when appropriate, with new developments. The City has adopted rules to allow and encourage pervious surfaces and also adopted Cal-Green building standards in 2010 exceeding state requirements by requiring increased permeability or infiltration in connection with new development. The City has installed an award-winning infiltration project in the downtown area, which should serve as a model for other areas. 3. Land Costs Land represents one of the most significant components of the cost of new housing. Land values fluctuate with market conditions, and have been steadily increasing since 2000. The recent downturn in the housing market is expected to affect land values negatively, however. Per-unit land cost is directly affected by densi ty – higher density allows the cost to be spread across more units, reducing the total price. Most new residential development in the City consists of one to two units per lot Recent trends indicate redevelopment projects have been maximizing density. 4. Construction Costs Residential construction costs are estimated by the Community Development Department at $200 per square foot and higher, usually due to the type of construction and amenities desired by the developer in this market. Construction cost is affected by the price of materials, labor, development standards, and general market conditions. The City has no influence over materials and labor costs, and the building codes and development standards in Hermosa Beach are not substantially different from other cities in the South Bay area. Since most development consists of private redevelopment where impact fees and major infrastructure or offsite improvements are typically not required, it is likely that costs are lower than in many cities. The City adopted the 2010 CalGreen codes with some local modifications; however, no ‗reach‘ codes were adopted and these amendments were carefully reviewed to ensure they were readily achievable and would not add substantial cost, especially given current economic conditions. 5. Cost and Availability of Financing Hermosa Beach is similar to most other communities with regard to private sector home financing programs. The recent crisis in the mortgage industry has affected the availability of real estate loans, although the long-term effects are unpredictable. For buyers with good credit histories, mortgages can be obtained at very favorable interest rates. Under state law, it is illegal for real estate lending institutions to discriminate against entire neighborhoods in lending practices because of the physical or economic conditions in the area (―redlining‖). In monitoring new construction sales, re-sales of existing homes, City of Hermosa Beach Housing Element IV. Constraints IV-18 January 2012 and permits for remodeling, it would not appear that redlining is practiced in any area of the city. C. Fair Housing State law prohibits discrimination in the development process or in real property transactions, and it is the City‘s policy to uphold the law in this regard. Fair housing issues are addressed in Hermosa Beach through coordination with fair housing organizations to process complaints regarding housing discrimination and to provide counseling in landlord/tenant disputes. Anti-discrimination resource materials (handouts, booklets, pamphlets, etc.) are made available to the public at City Hall, the library, and on the City‘s website through links to the Housing Rights Center (see Program 7 in Chapter V - Housing Plan). City of Hermosa Beach Housing Element V. Housing Plan V-1 January 2012 V. HOUSING PLAN A. Goals, Objectives and Policies The purpose of this section of the Housing Element is to identify those policies and programs that will enable the City to accommodate its housing objectives during the 2008-2014 planning period. This section consists of the following: The Introduction to the Housing Plan provides an overview of the components that comprise the Housing Plan; The Housing Policies outlines those policies that serve as the City‘s vision relative to the conservation of existing housing and the provision of new housing; The Housing Programs describes those programs that will be effective in the implementation of the aforementioned policies, including specific actions, objectives and implementation schedule. B. Housing Element Policies This section establishes the City‘s housing policy framework. Section 65583(c) of the Government Code requires that actions and policies included in the housing program address five key issue areas. As a result, the policies that have been included in the City of Hermosa Beach Housing Element respond to the following issue areas: The manner in which the City will assist in the conservation of existing housing resources, including affordable housing; The City‘s strategy in assisting in the development of new housing opportunities; How the City intends to provide adequate sites to achieve a variety and diversity of housing types; How the City proposes to remove governmental constraints that may impact the preservation and development of housing; and, How the City may help to promote equal housing opportunities. Issue Area No. 1 - Conservation of Existing Housing As indicated previously, the City‘s proximity to the Pacific Ocean and its desirability as a place to live and vacation has contributed to the high land and housing costs relative to the surrounding region. The City, nevertheless, has been successful in maintaining its more affordable housing through the adoption of ordinances and special land use regulations. The City of Hermosa Beach remains committed to those efforts designed to preserve and maintain the existing housing resources in the City, including affordable housing. City of Hermosa Beach Housing Element V. Housing Plan V-2 January 2012 This commitment is underscored by the policies listed below. Policy 1.1 The City will continue to encourage the maintenance and improvement of the existing housing stock within the local neighborhoods. Policy 1.2 The City will assist in the preservation and enhancement of the housing supply available to senior citizens. Policy 1.3 The City will work to minimize the conversion of existing lower-cost rental housing in multiple-family developments to condominiums. Policy 1.4 The City will promote and encourage the conservation and maintenance of the existing neighborhoods. Policy 1.5 The City will investigate potential sources of funding and other incentives that will assist in the preservation and renovation of older housing units. Policy 1.6 The City will continue to implement its current code enforcement procedures as a means to ensure the conservation and maintenance of existing housing resources in the City. Issue Area No. 2 - Development of New Housing Opportunities The City‘s ability to directly fund the construction of affordable housing is constrained due to the absence of redevelopment set-aside monies typically used for this purpose. In addition, the construction of affordable public housing within the coastal zone would not represent an efficient expenditure of public money, given the relatively high land and development costs in the City. As a result, the City continues to be an active participant in the development of more affordable housing through the relaxation of land use controls and other incentives. The City of Hermosa Beach will continue to assist in the development of new housing for all income groups through the implementation of the policies listed below. Policy 2.1 The City will continue to promote the development of a variety of housing types and styles to meet the existing and projected housing needs of all segments of the community. Policy 2.2 The City will continue to encourage the development of safe, sound, and decent housing to meet the needs of varying income groups. Policy 2.3 The City will continue to implement the land use policy contained in the City’s General Plan, which provides for a wide range of housing types at varying development intensities. Policy 2.4 The City will continue to support and promote home ownership in the community. Policy 2.5 The City will continue to cooperate with other government agencies, citizen groups, and the private sector, in order to assist in meeting the existing and future demand for housing. City of Hermosa Beach Housing Element V. Housing Plan V-3 January 2012 Issue Area No. 3 - Provision of Adequate Sites for New Housing The majority of the City underwent development during the early 1900s. More intensive development followed, and this intensification has occurred up to the present time. There are few vacant parcels of land remaining in the City, and the majority of the residential construction that has occurred involved the ―recycling‖ of individual properties. Nevertheless, the City of Hermosa Beach will continue to explore potential sites for residential development as a means to achieve a variety and diversity of housing types. Policy 3.1 The City will evaluate new development proposals in light of the community's environmental resources and values, the capacity of the public infrastructure to accommodate the projected demand, and the presence of environmental constraints. Policy 3.2 The City will continue to evaluate the General Plan and zoning to ensure residential development standards are adequate to serve future development. Policy 3.3 The City will continue to review current zoning practices for consistency with the General Plan as a way to facilitate new mixed- use development within or near the commercial districts. Issue Area No. 4 - Removal of Governmental Constraints In previous years, the City has been successful in the conservation of housing, especially affordable housing, through the implementation of land use ordinances and regulations. A key component of the City‘s housing policy is to assist in the development of more affordable housing with the use of incentives and other measures. The City of Hermosa Beach will remain committed to the removal of governmental constraints. Policy 4.1 The City will continue to abide by the provisions of the Permit Streamlining Act as a means to facilitate the timely review of residential development proposals. Policy 4.2 The City will work with prospective developers and property owners to assist in their understanding of the review and development requirements applicable to residential development in the City. Policy 4.3 The City will continue its efforts to educate the community regarding the development standards contained in the City of Hermosa Beach Zoning Ordinance. Policy 4.4 The City will continue to evaluate its Zoning Ordinance and General Plan and remove governmental constraints related to development standards. These may include, but not be limited to, parking requirements, allowing affordable housing on commercial sites, new standards for mixed-use development, lot consolidation incentives, and senior housing requirements. City of Hermosa Beach Housing Element V. Housing Plan V-4 January 2012 Issue Area No. 5 - Equal Housing Opportunities Federal and State laws prohibit housing discrimination based on an individual‘s race, ethnicity, or religion. Enforcement of fair-housing laws generally occurs through the courts, though persons being discriminated against often lack the resources to obtain the necessary legal protections. As a result, alternative means to obtain assistance must be made available. Towards this end, the City will continue to cooperate with other public agencies and non-profit organizations providing this assistance. Policy 5.1 The City will continue to provide information and referral services to regional agencies that counsel people on fair housing and landlord- tenant issues. Policy 5.2 The City will continue to cooperate with the County Housing Authority related to the provision of rental assistance to lower- income households. Policy 5.3 The City will continue to cooperate with other cities and agencies in the area in investigating resources available to provide housing for the area's homeless population. Policy 5.4 The City will support the expansion of shelter programs with adjacent cities and local private interests for the temporary accommodation of the homeless population. The housing programs that will implement these policies are described in Section C below. C. Description of Housing Programs The programs included in this Housing Element focus on those incentives that will encourage the private sector to construct affordable housing in the City. As indicated in Section II – Needs Assessment, the City‘s RHNA allocation calls for the construction of 562 new housing units during the 2006-2014 planning period. The City‘s main challenge in accommodating this need is its lack of vacant land. As a result, the vast majority of new housing development must occur through the ―recycling‖ of older housing units and redevelopment of underutilized parcels. As part of the RHNA process in 2011 the City demonstrated that in fact an equivalent or greater number of replacement units were being constructed in place of units that were being demolished. Providing new housing that is affordable to lower-income housing is particularly difficult since the City does not have a redevelopment agency that could provide set-aside funds. The lack of available programs and resources, coupled with high land and development costs, will be a constraint to the development of new affordable housing to meet these RHNA targets. As a result, the focus of the following programs is to identify strategies to assist the private market in the development of affordable housing. These programs include: A program that encourages the development of more affordable housing through the use of incentives currently required under state law; City of Hermosa Beach Housing Element V. Housing Plan V-5 January 2012 Continuation of support for conversion of the Marine Land Mobile Home Park to a resident owned park and maintenance of the City's Mobile Home Park Ordinance; Programs that promote the implementation of those sections of the City‘s Zoning Ordinance permitting high density, and thus potentially affordable residential development in the R-3, R-P and C-1 zoning districts; A program to create opportunities for affordable housing development in the C-3, SPA-7 and SPA-8 zones which currently do not allow housing development; and Programs designed to promote the maintenance of the existing housing stock and the protection of existing residential neighborhoods from the intrusion of incompatible land uses. 1. Density Bonus Program Description: In 2004 the state legislature adopted SB 1818, which overhauled state density bonus law. The new law requires cities to grant a density bonus of up to 35% and other incentives for qualifying affordable or senior housing developments. The City will update the Zoning Ordinance in conformance with SB 1818 to encourage the development of affordable and senior housing. To help inform developers and contractors of this incentive program, the City will provide brochures at the counter and provide information on the City‘s web site regarding the Density Bonus Program. Timing: The Code amendment will be presented to the City Council for adoption within six months of Housing Element certification. Brochures, website and other outreach elements of this program will be fully implemented during 2012. Funding: City General Fund. No new funding source will be required. 2. Housing Sites Database Program Description: The City will ensure that adequate sites are available to accommodate its new housing need for the 2008 – 2014 planning period, and continue to maintain its comprehensive land use database as means to identify suitable sites fo r new residential development. This database provides zoning and other information for every parcel in the City, and includes information regarding underdeveloped and undeveloped parcels. The City will make the database available to property owners, investors, and builders at the Planning Department counter. Timing: This is an existing program to be continued. Funding: General Fund. City of Hermosa Beach Housing Element V. Housing Plan V-6 January 2012 3. Mobile Home Conservation This program provides for the ongoing maintenance and conservation of the Marine Land Mobile Home Park located at 531 Pier Avenue. The 62-space park provides housing for extremely-low-, very-low- and low-income households. The Hermosa Court Recreational Vehicle Park with 19 pads at 725 10th Street also provides transitional housing space for those persons or households in transition from an RV to apartment or home. The City's MHP Zoning District requires Planning Commission approval in order to add or delete spaces in the park, which helps to preserve affordability by discouraging conversion from single- to double-wide spaces. The Mobile Home Park has obtained state funding to convert to a resident owned park. This program was implemented with City Council allocation of over $111,000 and $1,200,000 awarded under the state‘s Mobilehome Park Resident Owner Program (MPROP). Timing: This program is ongoing. Funding: General Fund. No new funding source will be required. 4. Code Enforcement Program Description: Chapter 8.28 of the Municipal Code provides for the abatement of nuisance conditions relating to private property. To ensure that this goal is achieved, the Code Enforcement Program emphasizes the following: The City actively pursues Municipal Code violations on a complaint basis, with particular emphasis being placed on those areas clearly exposed to public view; All necessary steps are taken to ensure that violations are corrected in an expeditious and voluntary manner; Where appropriate, property owners are informed of available assistance programs for lower-income persons who may not be able to afford needed improvements or corrections; and The City utilizes misdemeanor criminal prosecution only when attempts to gain voluntary compliance have failed. The Code Enforcement Program is responsible for enforcing those sections of the Municipal Code related to property maintenance, including zoning, property maintenance, illegal units, trash container regulations, construction without permits, and sign regulations. The Code Enforcement Officer assists and makes recommendations to other City departments, such as conducting inspections of business licenses, home occupation offenses, and obstructions in public right-of-way. Timing: This program is in place and will continue through the planning period. Funding: General Fund. No new funding source will be required. City of Hermosa Beach Housing Element V. Housing Plan V-7 January 2012 5. Affordable Housing Development Outreach and Assistance Program Description: This program involves the investigation of potential funding sources and administrative support to assist private and non-profit organizations in the development and/or provision of affordable housing. The City will investigate the feasibility of expanding CDBG funding and Section 8 rental vouchers to qualifying households. The Section 8 program is one of the major sources of housing assistance for very-low- and extremely-low-income households. If the City is successful in obtaining increased CDBG funding and/or expanding Section 8 rental vouchers for residents, this information will be posted in the Community Center, on the City‘s website, in handouts provided in the information kiosk in the City Hall lobby, and in the local library. Brochures will also be provided to local service clubs including the local ―Meals on Wheels‖ program, local dial-a-ride service, the local recreation center, and emergency shelters in the area. The City will also provide incentives such as priority processing, fee waivers and deferrals, and modified development standards to projects with low- or moderate-income units, and will assist in preparing and processing grant applications for affordable housing projects to support the development of such units. Project sponsors will be encouraged to include units for extremely-low-income households where feasible. The City in 2010 conferred with a variety of nonprofits to identify specific actions the City can take to facilitate the development of affordable housing, including to extremely-low-, very-low- and low-income households. As a result of this consultation process, the City has added Program 7(k) to allow development of affordable housing within the C-3, SP-7 and/or SPA-8 zones, thereby expanding the lower-income site inventory by approximately 10 acres. The City will inform nonprofits of this program within 60 days of Housing Element adoption. Timing: Inform nonprofits of Program 7(k) within 60 days of Housing Element adoption. Funding: This program will be financed through the City‘s General Fund and grant funds. No new funding source will be required. 6. Fair Housing Program Description: The City provides assistance to local fair housing organizations to address complaints regarding housing discrimination within the City and to provide counseling in landlord/tenant disputes. This program includes a referral service in City Hall whereby a staff person provides materials (handouts, booklets, pamphlets, etc.) to the public. This information is also available to the public at the library and on the City‘s website. Timing: This program is ongoing and will continue through the planning period. Funding: General Fund. No new funding source will be required. City of Hermosa Beach Housing Element V. Housing Plan V-8 January 2012 7. Zoning for Special Needs and Affordable Housing Program Description: The City will update the Zoning Code to remove constraints and encourage the provision of housing for persons with special needs, including regulations and procedures related to group homes, emergency shelters, transitional/supportive housing and persons with disabilities. In addition, the Zoning Code will be amended to create a lower-income housing overlay zone encompassing development sites that can accommodate at least 16 units per site in the C-3, SPA-7 and/or SPA-8 zones to allow affordable housing by-right thereby creating additional development opportunities for lower- income housing commensurate with the RHNA. a. Group Houses and Residential Care Facilities. Amend the Zoning Code to include a definition and regulations for group homes and residential care facilities in conformance with state law. b. Reasonable Accommodation. Implement the Reasonable Accommodation ordinance for persons with disabilities pursuant to SB 520 (the City adopted this ordinance in 2011). c. Emergency Shelters. Amend the Zoning Code to designate a zone where emergency shelters are permitted ―by-right‖ subject to appropriate development standards consistent with SB 2. The R-3 (Multiple-Family Residential), C-3 (General Commercial), Specific Plan Area 7 and Specific Plan Area 8 zones will be considered for this purpose. The R-3 zone contains 89 acres, the C-3 zone contains 28 acres, and the SPAs contain 22 acres. All of these zones have the capacity for at least one shelter and are served by transit and other services required by the homeless population to the degree they exist within the City. d. Transitional/Supportive Housing. Amend the Zoning Code to clarify that transitional/supportive housing is a residential use that is permitted subject to the same requirements and standards that apply to other residential uses in the same zone. e. SROs. Amend the Zoning Code to include a definition and regulations to encourage and facilitate ―single-room-occupancy‖ (SRO) housing. f. On-Site Parking. Amend the Zoning Code to allow reduced on-site parking for residential uses where it is demonstrated that fewer spaces will be required (e.g., senior housing). g. Restrictions on Unrelated Persons in a Household. Amend the Zoning Code to conform or clarify regulations restricting number of unrelated person living together in any zone to state law and for internal code consistency. h. Minimum Unit Size. Review the minimum residential unit size requirements to determine whether they pose an unreasonable constraint to housing for lower- income persons and persons with special needs, and amend the Municipal Code, if appropriate, to revise the limits. City of Hermosa Beach Housing Element V. Housing Plan V-9 January 2012 i. Second Units. Amend the R-1 zone regulations to administratively allow a second unit not exceeding 640 square feet occupied by one or two adults who are 60 years of age or older on lots 8,000 square feet or larger, provided the existing residence in which the second unit is to be located conforms to the City's parking code. A deed restriction restricting occupancy of the second unit is required. j. Housing by right. Amend the Zoning Code to clarify that a Precise Development Plan required in conjunction with a permitted use is a design review, rather than a determination of whether the use may be allowed. k. Affordable Housing Development Opportunity Sites. To accommodate the City‘s regional need of 240 units for lower-income households, General Plan and Zoning Code amendments will be processed to establish an affordable housing development overlay zone as follows: Affordable Housing Overlay 1. Applies to high-potential sites identified in Table B-6 located within the C-3 zone and zones that allow C-3 uses. 2. Owner-occupied and rental multi-family housing affordable to lower- income households is permitted on these sites by-right (subject only to Planning Commission approval of a non-discretionary Precise Development Plan controlling project design).  Base density is 33 units per acre (plus density bonus), and the minimum allowable density is 25 units per acre.  A minimum of 16 units can be accommodated and must be developed per project site. 3. This overlay zone will encompass a minimum of 4 acres comprising suitable sites to accommodate lower-income housing and shall be restricted so that owner-occupied and rental multi-family housing affordable to lower-income households is permitted by-right. Other development requires a conditional use permit, with the exception of the continuation, modification or change of an existing use in an existing structure provided said modification or change of use does not require a discretionary planning permit (e.g., precise development plan, parking plan, conditional use permit, or variance).  Approval of a CUP requires a finding that the non-residential development will not reduce or eliminate the capacity of available land to necessary to accommodate the remaining RHNA for lower- income households.  These sites are intended to satisfy the exclusive residential zoning requirement for 50% of the remaining lower-income RHNA. To implement the statutory requirement that 50% of the RHNA lower- income need is accommodated on sites zoned exclusively for City of Hermosa Beach Housing Element V. Housing Plan V-10 January 2012 residential use, the housing overlay zone will restrict a minimum of 4 acres to be developed exclusively for residential use restricted to lower- income households. The housing overlay zone will encompass a minimum of 4 acres within C-3, SPA-7 and/or SPA-8 zones. Prior to any discretionary conditional approvals for any project other than lower- income housing within the 4-acre restricted areas, specific findings shall be made. At no time will the residential capacity of available sites in the overlay zone be less than the adjusted RHNA need. The City will comply with the ―no net loss‖ provisions of Government Code Section 65863. To ensure the continued availability of residential sites within the housing overlay zone, the City shall implement a RHNA Housing Sites Monitoring System to ensure the capacity of sites is at a minimum equivalent to the remaining lower-income RHNA need. The monitoring system will adjust the site acreage requirements based upon the residential capacity of remaining sites in the overlay zone at a base density of 33 du/acre. The monitoring system shall be updated on a project-by-project basis and an annual monitoring report shall be provided to the City Council in conjunction with HCD‘s annual reporting requirements. Timing: The Zoning Code will be amended to address these objectives within one year of Housing Element certification by HCD. Program 7k will be implemented with adoption of the Housing Element. Funding: General Fund. No new funding source will be required. 8. Non-Conforming Residential Uses Program Description: The Zoning Code also allows the Planning Commission to validate as legal nonconforming residential units that can be shown to hav e been used for residential occupancy more or less continuously since January 1, 1959 when City records and actual property use conflict. The City will evaluate whether to relax provisions governing validation of residential units that contribute to the supply of affordable rental housing when the residential use is demonstrated to have existed for a shorter period of time (to be determined as part of the City's consideration) than is currently required under the code, provided the units are improved so as to not be substandard and parking adequate for the occupancy can be provided. Timing: Submit review and recommendations for City Council consideration within six months from Housing Element certification. Funding: General Fund. No new funding source will be required. 9. Facilitate Efficient Use of Sites that Allow High-Density Residential Development Program Description: This program will facilitate affordable housing development on sites that allow high-density residential development including reducing constraints posed by small lot sizes. City of Hermosa Beach Housing Element V. Housing Plan V-11 January 2012 a. The City will facilitate lot consolidation by: Assisting affordable housing developers in identifying opportunities for lot consolidation using the City‘s GIS system and property database; Continue to expedite processing for lot consolidations processed concurrently with planning entitlements; Amend the Zoning Code to provide a graduated density bonus for lower- income housing on small lots consolidated into a single building site according to the following formula: Combined Parcel Size Allowable Base Density* Less than 0.50 acre 33 units/acre 0.50 acre to 0.99 acre 34.7 units/acre (5% increase) 1.00 acre or more 36.3 units/acre (10% increase) *Excluding density bonus Publicize the program on the City‘s website, at the Planning counter, and by notice to affordable housing providers. b. The City will facilitate affordable housing development by: Facilitating pre-application meetings; Implementing incentives under the Density Bonus law; Reducing on-site property development standards (e.g. reduced setbacks, reduced parking standards) for developments with affordable elderly or disabled housing units for small projects below the threshold of the Density Bonus law; Allowing deferral or waiver of City fees necessary to make the project cost- effective; Facilitating permit processing so that developers can take advantage of funding opportunities; Expediting permit processing through concurrent review through the planning and building processes; Promote programs on the City‘s website and at the Planning Counter and biennially notify affordable housing developers of the City‘s housing incentives. Timing: Process a Zoning Code amendment within six months of Housing Element certification; implementation throughout the planning period. Funding: General Fund. No new funding source will be required. City of Hermosa Beach Housing Element V. Housing Plan V-12 January 2012 D. Housing Program Implementation Matrix Table V-1 indicates the agency or department responsible for overseeing the administration and/or implementation of the aforementioned programs. The table also indicates the funding source for the program, the schedule for the program‘s implementation, and finally, where appropriate, the estimated number of housing units or persons that will be assisted. Table V-1 Program Implementation Matrix Program Funding Source Implementation Schedule Quantified Objectives Responsible Department 1. Density Bonus Program General Fund Code amendment within six months of Housing Element certification Code amendment in conformance with state law Community Development Department 2. Housing Sites Database General Fund 2008-2014 Database complete and being implemented. Community Development Department 3. Mobile Home Conservation General Fund 2008-2014 Continue to support maintenance of mobile home park Community Development Department 4. Code Enforcement General Fund 2008-2014 Ongoing. Community Development Department 5. Affordable Housing Outreach & Assistance General Fund Notify nonprofits of housing opportunities in 2012 Ongoing Community Development Department 6. Fair Housing General Fund Annual assistance to fair housing organization Ongoing Community Development Department 7. Zoning for Special Needs Housing and Affordable Housing General Fund Code amendments within one year of Housing Element certification General Plan and Code amendments Community Development Department 8. Non-Conforming Residential Uses General Fund City Council review within 6 months of Housing Element certification Review and follow-up action, as appropriate Community Development Department 9. Efficient Site Use for High Density Development General Fund Code amendments within six months of Housing Element certification Code amendments Community Development Department Table V-2 Quantified Objectives, 2008-2014 Income Category Ex. Low V. Low Low Mod Upper Totals New construction (1) 74 73 93 98 224 562 Rehabilitation 10 10 Conservation (2) 62 62 1. Quantified objective for new construction is for the period 1/1/2006 - 6/30/2014 per the RHNA 2. Mobile homes City of Hermosa Beach Housing Element Appendix A – Evaluation A-1 January 2012 Appendix A Evaluation of the 2003 Housing Element Section 65588(a) of the Government Code requires that jurisdictions evaluate the effectiveness of the existing Housing Element, the appropriateness of goals, objectives and policies, and the progress in implementing programs for the previous planning period. This appendix contains a review the housing goals, policies, and programs of the previous Housing Element, adopted in 2003, and evaluates the degree to which these programs have been implemented during the previous planning period. This analysis also includes an assessment of the appropriateness of goals, objectives and policies. The findings from this evaluation have been instrumental in determining the City‘s 2008 Housing Implementation Program. Table A-1 summarizes the programs contained in the previous Housing Element along with the source of funding, program objectives, accomplishments, and implications for future policies and actions. Table A-2 evaluates the appropriateness of previous goals and policies, and identifies any changes that are called for in response to the City‘s experience during the past planning period. Based on this evaluation, all of the current Goals and Policies continue to be appropriate and have been retained. Table A-3 shows residential projects built during 2006 through 2008. All of these units are presumed to be above-moderate income. Table A-4 presents the City‘s progress in meeting the quantified objectives from the previous Housing Element. City of Hermosa Beach Housing Element Appendix A – Evaluation A-2 January 2012 Table A-1 Housing Element Program Effectiveness Evaluation City of Hermosa Beach 2001 - 2008 Program Responsible Agency Funding Source Program Objectives Accomplishments Future Policies and Actions 1. Development Bonus Program Community Development Department General Fund To help inform developers and contractors of the incentive program, the City will continue to provide brochures at the counter and provide information on the City‘s web site regarding the Housing Development Incentive Program, and will review its zoning ordinance to ensure consistency with state laws. The Program will provide for the construction of new housing, both affordable and market-rate. Adopted Municipal Code section 17.42.100 (Residential Density Bonuses) in 2004. The City has continued to inform developers at the public counter and posted the applicable Code section on the City website. After the City amended the Municipal Code to comply with state density bonus law, Government Code Sec. 65915-65918 was amended to revise density bonus requirements. (SB 1818 of 2004). Within one year of adoption of the 2008 Housing Element, the City will amend the Municipal Code to comply with SB 1818. 2. Housing Sites Database Program Community Development Department General Fund To bi-annually update the City‘s land use database to reflect the continuing changes in available sites and their available capacity for housing. This program also provides for City staff to consider and, if possible, work with the current property owner to expand the mobile home leases within the park and to work with current property owners of other The City has recently obtained a GIS system and GIS Technician which provides a tool for continuous evaluation of potential housing sites. Also, the City annually tracks new housing construction also used for the Congestion Program successful - continue City of Hermosa Beach Housing Element Appendix A – Evaluation A-3 January 2012 Program Responsible Agency Funding Source Program Objectives Accomplishments Future Policies and Actions potential housing sites. Management Plan. 3. Mobile Home Conservation Program Community Development Department General Fund To provide for the maintenance and conservation of the mobile homes located within the Marine Land Mobile Home Park, the City will adopt a Mobile Home Preservation Ordinance and consult with the State to obtain a mobile Home Inspection Permit authority will be implemented by the end of 2004. The City‘s Mobile Home Park (MHP) General Plan Designation and Zone serves to preserve one of the City‘s housing alternatives. The City investigated obtaining mobile home inspection permit authority from the State, however it was not supported by a majority of the residents of the Marine Land MHP. In 2008 the City Council committed $112,000 to assist tenants in purchasing the park under MPROP. The City will continue to work with the Marine Land MHP residents regarding the resident owned program 4. Second Unit/Granny Flat Program Community Development Department General Fund To review the existing Second Unit ordinance to ascertain its compliance with State laws, including AB 1866. The purpose of this review is to ensure the program‘s effectiveness and to maximize the creation of second units in accordance with state and local laws. The City continued to encourage 2nd Unit construction when in compliance with the Municipal Code. Program successful - continue 5. Code Enforcement Program Community Development Department General Fund To enhance public health, safety, and welfare through the expeditious The City has always maintained a proactive Code Program successful - continue City of Hermosa Beach Housing Element Appendix A – Evaluation A-4 January 2012 Program Responsible Agency Funding Source Program Objectives Accomplishments Future Policies and Actions implementation of an effective code enforcement program. Enforcement program to address public health and safety concerns before they become a hazard. 6. Developer Consultation Program Community Development Department General Fund To assist in expanding housing opportunities in order to aid in the development of affordable housing, the City will continue to consult with developers early in the development process. Adoption of Municipal Code section 17.42.100 (Residential Density Bonuses) in 2004 has added another incentive to encourage the development of affordable housing in the City. Program successful - continue 7. Environmental Review Program Community Development Department General Fund The City will continue to evaluate the environmental impacts of new development and provide mitigation measures prior to development approval, as required by CEQA. The City has and will continue to be extremely aware and meticulous in the review, preparation, and finalization of documents in regard to all applicable State and Federal environmental laws. Program successful - continue 8. Fair Housing Program Community Development Department General Fund To work with appropriate fair housing organizations to process complaints regarding housing discrimination within the City and to provide counseling in landlord/tenant disputes. The City has not received any complaints regarding housing discrimination and the City continues to provide mediation services for disputes, (The City maintains a contract with a Program successful - continue City of Hermosa Beach Housing Element Appendix A – Evaluation A-5 January 2012 Program Responsible Agency Funding Source Program Objectives Accomplishments Future Policies and Actions Dispute Resolution Service company) including landlord/tenant disputes and issues between parties that cannot be resolved through Municipal or Building Code provisions. 9. Residential Commercial Development Program Community Development Department General Fund To provide for ongoing review of the City of Hermosa Beach Zoning Code and Zoning Map to identify opportunities for new housing development within areas designated for commercial development. This year, the City has created a Zoning, General Plan, and other maps using GIS technology. These maps are available on the City website and available via email upon request. The City will continue to convert data into digital files for easier access to the public through the City website and email. Program successful – continue, but merge with Program 2 10. Affordable Housing Outreach Program Community Development Department General Fund To investigate potential funding sources to assist in the development and/or provision of affordable housing for those households in the City currently in need of such housing. The primary focus of the program will be the feasibility of expanding Section 8 rental vouchers to The City has and will continue to apply for Community Development Block Grants and other funds and investigate using these funds through the CDC to assist in the development of affordable housing initiatives. Program successful - continue City of Hermosa Beach Housing Element Appendix A – Evaluation A-6 January 2012 Program Responsible Agency Funding Source Program Objectives Accomplishments Future Policies and Actions qualifying households. 11. Affordable High Density in R-3, R-P and C-1 Zones Program Community Development Department General Fund To encourage innovative high-density housing through the City‘s R-3 and R-P zoning standards, and throughout the C-1 zone, which allows apartments to be constructed above commercial uses. The City will assist developers in expediting plan review for projects in this category, and assist developers in finding opportunities for lot consolidation to maximize development potential in these zones based on our property database and other sources. The City has numerous mixed-use projects proposed, under construction, and completed with a total of 4 residential units already completed in the C-1 zone. Furthermore, the City is conducting preliminary analysis of allowing mixed-use development in the C-2 and C-3 zones. Program successful – continue, but merge with Program 2 City of Hermosa Beach Housing Element Appendix A – Evaluation A-7 January 2012 Table A-2 Appropriateness of 2003 Housing Element Policies City of Hermosa Beach Issue Policy Appropriateness Issue Area No. 1 - The City of Hermosa Beach will remain committed to those efforts designed to preserve and maintain the existing housing resources in the City, including affordable housing. Policy 1.1 - The City will continue to encourage the maintenance and improvement of the existing housing stock within the local neighborhoods . Appropriate - retain Policy 1.2 - The City will assist in the preservation and enhancement of the housing supply available to senior citizens. Appropriate - retain Policy 1.3 - The City will work to minimize the conversion of existing lower -cost rental housing in multiple-family developments to condominiums. Appropriate - retain Policy 1.4 - The City will promote and encourage the conservation and maintenance of the existing neighborhoods. Appropriate - retain Policy 1.5 - The City will investigate potential sources of funding and other incentives that will assist in the preservation and renovation of older housing units. Appropriate - retain Policy 1.6 - The City will continue to implement its current code enforcement procedures as a means to preserve the existing housing resources in the City. Appropriate - retain Issue Area No. 2 - The City of Hermosa Beach will continue to assist in the development of new housing for all income groups Policy 2.1 - The City will continue to promote the development of a variety of housing types and styles to meet the existing and projected housing needs for all segments of the community. Appropriate - retain Policy 2.2 - The City will encourage the development of safe, sound, and decent housing to meet the needs of varying income groups. Appropriate - retain City of Hermosa Beach Housing Element Appendix A – Evaluation A-8 January 2012 Policy 2.3 - The City will continue to implement the land use policy of the General Plan, which provides for a wide range of housing types at varying development intensities. Appropriate - retain Policy 2.4 - The City will continue to support and promote home ownership in the community. Appropriate - retain Policy 2.5 - The City will continue to cooperate with other government agencies, citizen groups, and the private sector in order to assist in meeting the existing and future demand for housing. Appropriate - retain Issue Area No. 3 - The City of Hermosa Beach will continue its commitment to the identification of sites for potential residential development as a means to achieve a variety and diversity of housing types. Policy 3.1 - The City will evaluate new development proposals in light of the community's environmental resources and values, the capacity of the public infrastructure to accommodate the projected demand, and the presence of environmental constraints. Appropriate - retain Policy 3.2 -The City will continue to evaluate the General Plan and zoning to ensure residential development standards are adequate to serve the future development. Appropriate - retain Policy 3.3 - The City will continue to review current zoning practices for consistency with the General Plan as a way to potentially facilitate new mixed -use development within or near the commercial districts. Appropriate - retain Policy 3.4 - The City will continue to examine the Second Unit Ordinance to ensure that its utilization will promote the development of second units as a means to provide affordable housing and evaluate the feasibility of granting some form of amnesty for illegal units (as long as they con form to current applicable health and safety codes). Retain review of nonconforming use provisions. Second units are precluded pursuant to Ordinance 92-1080 per Government Code Section 65852.2 Issue Area No. 4 - The City of Hermosa Beach will continue to remain committed to the removal of governmental constraints. Policy 4.1 - The City will continue to abide by the provisions of the Permit Streamlining Act as a means to facilitate a timely review of residential development proposals. Appropriate - retain City of Hermosa Beach Housing Element Appendix A – Evaluation A-9 January 2012 Policy 4.2 - The City will work with prospective developers and property owners to outline the review and development requirements applicable to residential development in the City. Appropriate - retain Policy 4.3 - The City will continue to implement its efforts to educate the community regarding the development standards contained in the City of Hermosa Beach Zoning Ordinance. Appropriate - retain Policy 4.4 - The City will continue to evaluate its Zoning Ordinance and General Plan as a means to remove governmental constraints related to development standards. These may include, but not be limited to, parking requirements, new standards for mixed-use development, and review of the second unit ordinance and senior housing requirements. Appropriate – retain, excluding second unit ordinance review Issue Area No. 5 - The City will remain committed to promoting equal housing opportunities. Policy 5.1 - The City will continue to provide information and referral services to regional agencies that counsel people on fair housing and landlord-tenant issues. Appropriate - retain Policy 5.2 - The City will continue to cooperate with the County Housing Authority related to the provision of rental assistance to lower -income households. Appropriate - retain Policy 5.3 - The City will continue to cooperate with other cities and agencies in the area in investigating resources available to provide housing for the area's homeless population. Appropriate - retain Policy 5.4 - The City will continue to encourage and promote the expansion of shelter programs with adjacent cities and local private interests for the temporary accommodation of the homeless population. Appropriate - retain City of Hermosa Beach Housing Element Appendix A – Evaluation A-10 January 2012 Table A-3 Residential Development Summary 2006 - 2008 City of Hermosa Beach Street Address Zone New Units Built Lot Area (sq ft) Lot Area (acre) Max. Density Actual Density % of Max. Density Max. Units % of Max. Units Income Category VL Low Mod Above Mod 20 2ND ST HB C-1 1 3,500 0.08 NA 12.4 NA 2 50% 1 40 HERMOSA AV HB C-1 1 1,200 0.03 NA 36.3 NA 1 100% 1 38 HERMOSA AV HB C-1 1 1,200 0.03 NA 36.3 NA 1 100% 1 101 LYNDON ST C-1 1 1,200 0.03 NA 36.3 NA 1 100% 1 Subtotal C-1 4 1,775 30.3 5 80% 4 1210 6TH ST HB R-1 1 4,626 0.11 13 9.4 72% 1 100% 1 1223 7TH ST HB R-1 1 5,000 0.11 13 8.7 67% 1 100% 1 720 PROSPECT AV HB R-1 1 4,279 0.10 13 10.2 78% 1 100% 1 1227 8TH ST HB R-1 1 5,000 0.11 13 8.7 67% 1 100% 1 1111 8TH ST HB R-1 1 4,538 0.10 13 9.6 74% 1 100% 1 1130 9TH ST HB R-1 1 4,908 0.11 13 8.9 68% 1 100% 1 834 PROSPECT AV HB R-1 1 2,590 0.06 13 16.8 129% 1 100% 1 842 PROSPECT AV HB R-1 1 2,810 0.06 13 15.5 119% 1 100% 1 848 PROSPECT AV HB R-1 1 3,010 0.07 13 14.5 111% 1 100% 1 703 30TH ST HB R-1 1 4,545 0.10 13 9.6 74% 1 100% 1 711 30TH ST HB R-1 1 4,178 0.10 13 10.4 80% 1 100% 1 2821 AMBY PL HB R-1 1 9,280 0.21 13 4.7 36% 2 50% 1 635 GOULD TER HB R-1 1 9,934 0.23 13 4.4 34% 2 50% 1 2844 EL OESTE ST HB R-1 1 7,040 0.16 13 6.2 48% 1 100% 1 415 30TH ST HB R-1 1 2,100 0.05 13 20.7 160% 1 100% 1 430 LONGFELLOW AV HB R-1 1 2,100 0.05 13 20.7 160% 1 100% 1 434 LONGFELLOW AV HB R-1 1 2,100 0.05 13 20.7 160% 1 100% 1 354 LONGFELLOW AV HB R-1 1 2,100 0.05 13 20.7 160% 1 100% 1 226 31ST ST HB R-1 1 2,100 0.05 13 20.7 160% 1 100% 1 351 30TH ST HB R-1 1 4,199 0.10 13 10.4 80% 1 100% 1 357 30TH ST HB R-1 1 2,100 0.05 13 20.7 160% 1 100% 1 3410 THE STRAND HB R-1 1 1,662 0.04 13 26.2 202% 1 100% 1 3116 THE STRAND HB R-1 1 2,775 0.06 13 15.7 121% 1 100% 1 3001 THE STRAND HB R-1 1 3,975 0.09 13 11.0 84% 1 100% 1 2314 THE STRAND HB R-1 1 3,555 0.08 13 12.3 94% 1 100% 1 City of Hermosa Beach Housing Element Appendix A – Evaluation A-11 January 2012 Street Address Zone New Units Built Lot Area (sq ft) Lot Area (acre) Max. Density Actual Density % of Max. Density Max. Units % of Max. Units Income Category VL Low Mod Above Mod 2340 THE STRAND HB R-1 1 4,043 0.09 13 10.8 83% 1 100% 1 2440 OZONE CT HB R-1 1 2,997 0.07 13 14.5 112% 1 100% 1 2436 OZONE CT HB R-1 1 2,997 0.07 13 14.5 112% 1 100% 1 542 24TH ST HB R-1 1 6,720 0.15 13 6.5 50% 1 100% 1 429 24TH ST HB R-1 1 4,244 0.10 13 10.3 79% 1 100% 1 580 18TH ST HB R-1 1 4,275 0.10 13 10.2 78% 1 100% 1 1868 VALLEY PARK AV R-1 1 6,599 0.15 13 6.6 51% 1 100% 1 1849 VALLEY PARK AV R-1 1 6,400 0.15 13 6.8 52% 1 100% 1 540 21ST ST HB R-1 1 4,900 0.11 13 8.9 68% 1 100% 1 550 21ST ST HB R-1 1 4,900 0.11 13 8.9 68% 1 100% 1 544 21ST ST HB R-1 1 4,900 0.11 13 8.9 68% 1 100% 1 1911 HILLCREST DR HB R-1 1 4,525 0.10 13 9.6 74% 1 100% 1 1802 RHODES ST HB R-1 1 3,438 0.08 13 12.7 97% 1 100% 1 849 19TH ST HB R-1 1 3,341 0.08 13 13.0 100% 1 100% 1 662 25TH ST HB R-1 1 5,060 0.12 13 8.6 66% 1 100% 1 625 24TH ST HB R-1 1 4,055 0.09 13 10.7 83% 1 100% 1 706 24TH PL HB R-1 1 6,461 0.15 13 6.7 52% 1 100% 1 641 21ST ST HB R-1 1 5,544 0.13 13 7.9 60% 1 100% 1 2308 ARDMORE AV HB R-1 1 4,800 0.11 13 9.1 70% 1 100% 1 2034 SPRINGFIELD ST R-1 1 2,325 0.05 13 18.7 144% 1 100% 1 921 16TH ST HB R-1 1 3,888 0.09 13 11.2 86% 1 100% 1 1632 RAYMOND AV HB R-1 1 3,499 0.08 13 12.4 96% 1 100% 1 1241 OCEAN DR HB R-1 1 3,450 0.08 13 12.6 97% 1 100% 1 1286 BONNIE BRAE ST R-1 1 4,488 0.10 13 9.7 75% 1 100% 1 1252 15TH ST HB R-1 1 3,000 0.07 13 14.5 112% 1 100% 1 1077 10TH ST HB R-1 1 3,110 0.07 13 14.0 108% 1 100% 1 1082 10TH ST HB R-1 1 3,420 0.08 13 12.7 98% 1 100% 1 960 8TH PL HB R-1 1 4,230 0.10 13 10.3 79% 1 100% 1 917 3RD ST HB R-1 1 4,510 0.10 13 9.7 74% 1 100% 1 922 2ND ST HB R-1 1 3,627 0.08 13 12.0 92% 1 100% 1 1218 1ST ST HB R-1 1 3,178 0.07 13 13.7 105% 1 100% 1 106 HILL ST HB R-1 1 2,796 0.06 13 15.6 120% 1 100% 1 511 25TH ST HB R-1A 1 3,830 0.09 13 11.4 87% 1 100% 1 511 25TH ST HB R-1A 1 5,100 0.12 13 8.5 66% 1 100% 1 City of Hermosa Beach Housing Element Appendix A – Evaluation A-12 January 2012 Street Address Zone New Units Built Lot Area (sq ft) Lot Area (acre) Max. Density Actual Density % of Max. Density Max. Units % of Max. Units Income Category VL Low Mod Above Mod Subtotal R-1 & R-1A 59 4,155 12.0 93% 33 179% 59 424 28TH ST HB R-2 1 4,388 0.10 25 9.9 40% 2 50% 1 2818 MORNINGSIDE DR R-2 1 2,400 0.06 25 18.2 73% 1 100% 1 408 29TH ST HB R-2 1 4,371 0.10 25 10.0 40% 2 50% 1 415 28TH ST HB R-2 1 2,400 0.06 25 18.2 73% 1 100% 1 411 28TH ST HB R-2 1 4,771 0.11 25 9.1 37% 2 50% 1 415 28TH ST HB R-2 1 2,400 0.06 25 18.2 73% 1 100% 1 220 34TH ST HB R-2 1 2,250 0.05 25 19.4 77% 1 100% 1 245 33RD ST HB R-2 1 2,250 0.05 25 19.4 77% 1 100% 1 345 34TH ST HB R-2 1 4,605 0.11 25 9.5 38% 2 50% 1 325 33RD ST HB R-2 1 3,000 0.07 25 14.5 58% 1 100% 1 216 33RD PL HB R-2 1 2,394 0.05 25 18.2 73% 1 100% 1 231 29TH ST HB R-2 1 2,400 0.06 25 18.2 73% 1 100% 1 311 28TH ST HB R-2 1 2,400 0.06 25 18.2 73% 1 100% 1 309 26TH ST HB R-2 1 4,224 0.10 25 10.3 41% 2 50% 1 339 26TH ST HB R-2 1 3,332 0.08 25 13.1 52% 1 100% 1 2317 HERMOSA AV HB R-2 1 3,750 0.09 25 11.6 46% 2 50% 1 2131 HERMOSA AV HB R-2 1 4,839 0.11 25 9.0 36% 2 50% 1 2232 HERMOSA AV HB R-2 1 2,788 0.06 25 15.6 62% 1 100% 1 2226 HERMOSA AV HB R-2 1 2,847 0.07 25 15.3 61% 1 100% 1 2226 HERMOSA AV HB R-2 1 2,910 0.07 25 15.0 60% 1 100% 1 2420 HERMOSA AV HB R-2 1 2,400 0.06 25 18.2 73% 1 100% 1 338 26TH ST HB R-2 1 2,950 0.07 25 14.8 59% 1 100% 1 338 26TH ST HB R-2 1 3,000 0.07 25 14.5 58% 1 100% 1 119 16TH ST HB R-2 1 3,957 0.09 25 11.0 44% 2 50% 1 1818 MANHATTAN AV HB R-2 1 2,339 0.05 25 18.6 74% 1 100% 1 1801 MONTEREY BL HB R-2 1 2,700 0.06 25 16.1 65% 1 100% 1 1721 MONTEREY BL HB R-2 1 2,718 0.06 25 16.0 64% 1 100% 1 1634 LOMA DR HB R-2 1 3,346 0.08 25 13.0 52% 1 100% 1 1636 LOMA DR HB R-2 1 3,765 0.09 25 11.6 46% 2 50% 1 1600 MONTEREY BL HB R-2 1 3,330 0.08 25 13.1 52% 1 100% 1 1600 MONTEREY BL HB R-2 1 3,610 0.08 25 12.1 48% 2 50% 1 801 20TH ST HB R-2 1 2,590 0.06 25 16.8 67% 1 100% 1 803 20TH ST HB R-2 1 2,590 0.06 25 16.8 67% 1 100% 1 City of Hermosa Beach Housing Element Appendix A – Evaluation A-13 January 2012 Street Address Zone New Units Built Lot Area (sq ft) Lot Area (acre) Max. Density Actual Density % of Max. Density Max. Units % of Max. Units Income Category VL Low Mod Above Mod 805 20TH ST HB R-2 1 2,590 0.06 25 16.8 67% 1 100% 1 807 20TH ST HB R-2 1 2,590 0.06 25 16.8 67% 1 100% 1 809 20TH ST HB R-2 1 2,340 0.05 25 18.6 74% 1 100% 1 811 20TH ST HB R-2 1 2,340 0.05 25 18.6 74% 1 100% 1 813 20TH ST HB R-2 1 2,340 0.05 25 18.6 74% 1 100% 1 619 10TH ST HB R-2 2 4,108 0.09 25 21.2 85% 2 100% 2 648 9TH ST HB R-2 2 6,602 0.15 25 13.2 53% 3 67% 2 723 8TH PL HB R-2 1 2,508 0.06 25 17.4 69% 1 100% 1 634 8TH PL HB R-2 1 2,508 0.06 25 17.4 69% 1 100% 1 634 7TH ST HB R-2 2 4,325 0.10 25 20.1 81% 2 100% 2 517 LOMA DR HB R-2 1 3,330 0.08 25 13.1 52% 1 100% 1 710 2ND ST HB R-2 2 4,600 0.11 25 18.9 76% 2 100% 2 631 1ST ST HB R-2 2 4,600 0.11 25 18.9 76% 2 100% 2 598 1ST ST HB R-2 4 7,364 0.17 25 23.7 95% 4 100% 4 619 5TH ST HB R-2 2 4,325 0.10 25 20.1 81% 2 100% 2 652 5TH ST HB R-2 2 4,725 0.11 25 18.4 74% 2 100% 2 494 ARDMORE AV HB R-2 3 10,303 0.24 25 12.7 51% 5 60% 3 1928 THE STRAND HB R-2B 1 1,677 0.04 25 26.0 104% 1 100% 1 58 20TH ST HB R-2B 1 3,720 0.09 25 11.7 47% 2 50% 1 58 20TH ST HB R-2B 1 2,820 0.06 25 15.4 62% 1 100% 1 92 16TH ST HB R-2B 1 5,225 0.12 25 8.3 33% 2 50% 1 94 17TH ST HB R-2B 1 2,850 0.07 25 15.3 61% 1 100% 1 1625 HERMOSA AVE R-2B 1 3,370 0.08 25 12.9 52% 1 100% 1 1625 HERMOSA AVE R-2B 1 3,500 0.08 25 12.4 50% 2 50% 1 927 15TH ST HB R-2B 1 3,350 0.08 25 13.0 52% 1 100% 1 929 15TH ST HB R-2B 1 3,100 0.07 25 14.1 56% 1 100% 1 1002 7TH ST HB R-2B 2 4,800 0.11 25 18.2 73% 2 100% 2 817 6TH ST HB R-2B 1 3,030 0.07 25 14.4 58% 1 100% 1 817 6TH ST HB R-2B 1 3,030 0.07 25 14.4 58% 1 100% 1 1056 7TH ST HB R-2B 1 3,030 0.07 25 14.4 58% 1 100% 1 1056 7TH ST HB R-2B 1 3,460 0.08 25 12.6 50% 1 100% 1 412 OCEAN VIEW DR HB R-2B 1 2,120 0.05 25 20.5 82% 1 100% 1 414 OCEAN VIEW DR HB R-2B 1 2,120 0.05 25 20.5 82% 1 100% 1 315 HOPKINS AV HB R-2B 1 2,120 0.05 25 20.5 82% 1 100% 1 City of Hermosa Beach Housing Element Appendix A – Evaluation A-14 January 2012 Street Address Zone New Units Built Lot Area (sq ft) Lot Area (acre) Max. Density Actual Density % of Max. Density Max. Units % of Max. Units Income Category VL Low Mod Above Mod 315 HOPKINS AV HB R-2B 1 2,120 0.05 25 20.5 82% 1 100% 1 Subtotal R-2 & R-2B 81 3,396 15.8 63% 96 84% 81 133 28TH CT HB R-3 1 4,756 0.11 33 9.2 28% 3 33% 1 3130 HERMOSA AV HB R-3 1 2,396 0.06 33 18.2 55% 1 100% 1 3310 HERMOSA AV HB R-3 1 2,550 0.06 33 17.1 52% 1 100% 1 85 15TH ST HB R-3 2 2,850 0.07 33 30.6 93% 2 100% 2 1427 MONTEREY BL HB R-3 2 6,451 0.15 33 13.5 41% 4 50% 2 1522 PALM DR HB R-3 1 2,250 0.05 33 19.4 59% 1 100% 1 1522 PALM DR HB R-3 1 2,220 0.05 33 19.6 59% 1 100% 1 632 25TH ST HB R-3 1 5,053 0.12 33 8.6 26% 3 33% 1 1106 PALM DR HB R-3 2 3,999 0.09 33 21.8 66% 3 67% 2 810 MANHATTAN AV HB R-3 1 2,496 0.06 33 17.5 53% 1 100% 1 1305 LOMA DR HB R-3 1 2,587 0.06 33 16.8 51% 1 100% 1 1221 LOMA DR HB R-3 1 1,744 0.04 33 25.0 76% 1 100% 1 1223 LOMA DR HB R-3 1 1,744 0.04 33 25.0 76% 1 100% 1 1220 SUNSET DR HB R-3 1 1,744 0.04 33 25.0 76% 1 100% 1 1044 SUNSET DR HB R-3 2 2,976 0.07 33 29.3 89% 2 100% 2 918 MONTEREY BL HB R-3 2 1,527 0.04 33 57.1 173% 1 200% 2 919 SUNSET DR R-3 2 1,527 0.04 33 57.1 173% 1 200% 2 836 BARD ST HB R-3 1 1,735 0.04 33 25.1 76% 1 100% 1 838 BARD ST HB R-3 1 1,735 0.04 33 25.1 76% 1 100% 1 848 BARD ST HB R-3 2 1,726 0.04 33 50.5 153% 1 200% 2 850 BARD ST HB R-3 2 1,726 0.04 33 50.5 153% 1 200% 2 726 THE STRAND HB R-3 1 4,397 0.10 33 9.9 30% 3 33% 1 24 8TH ST HB R-3 1 1,425 0.03 33 30.6 93% 1 100% 1 25 8TH CRT R-3 1 1,425 0.03 33 30.6 93% 1 100% 1 403 11TH ST HB R-3 3 4,050 0.09 33 32.3 98% 3 100% 3 1309 CYPRESS AV HB R-3 3 4,420 0.10 33 29.6 90% 3 100% 3 635 MANHATTAN AV HB R-3 2 3,000 0.07 33 29.0 88% 2 100% 2 734 BAYVIEW DR HB R-3 1 2,157 0.05 33 20.2 61% 1 100% 1 706 MONTEREY BL HB R-3 2 3,000 0.07 33 29.0 88% 2 100% 2 708 MONTEREY BL HB R-3 2 3,200 0.07 33 27.2 83% 2 100% 2 520 8TH ST HB R-3 3 7,976 0.18 33 16.4 50% 6 50% 3 38 6TH ST HB R-3 1 2,849 0.07 33 15.3 46% 2 50% 1 City of Hermosa Beach Housing Element Appendix A – Evaluation A-15 January 2012 Street Address Zone New Units Built Lot Area (sq ft) Lot Area (acre) Max. Density Actual Density % of Max. Density Max. Units % of Max. Units Income Category VL Low Mod Above Mod 37 5TH CT HB R-3 1 2,850 0.07 33 15.3 46% 2 50% 1 17 3RD ST HB R-3 1 3,472 0.08 33 12.5 38% 2 50% 1 321 MONTEREY BL HB R-3 1 1,500 0.03 33 29.0 88% 1 100% 1 218 6TH ST HB R-3 1 1,200 0.03 33 36.3 110% 1 100% 1 538 MANHATTAN AV HB R-3 2 2,900 0.07 33 30.0 91% 2 100% 2 164 PALM DR R-3 1 1,450 0.03 33 30.0 91% 1 100% 1 165 MANHATTAN AV R-3 1 1,450 0.03 33 30.0 91% 1 100% 1 160 1ST ST HB R-3 2 5,427 0.12 33 16.1 49% 4 50% 2 311 CULPER CT R-3 2 3,000 0.07 33 29.0 88% 2 100% 2 Subtotal R-3 61 2,852 25.9 78% 73 84% 61 232 1ST CT HB R-P 1 1,805 0.04 33 24.1 73% 1 100% 1 43 MONTEREY BL HB R-P 1 1,805 0.04 33 24.1 73% 1 100% 1 233 LYNDON ST R-P 1 2,850 0.07 33 15.3 46% 2 50% 1 Subtotal R-P 3 2,153 21.2 64% 4 75% 3 GRAND TOTALS 208 211 100% 208 Notes: All projects involved demolition and replacement of existing structures (no vacant land development) City of Hermosa Beach Housing Element Appendix A – Evaluation A-16 January 2012 Table A-4 Progress in Achieving Quantified Objectives City of Hermosa Beach 2001-2008 Program Category Quantified Objective Progress 2001-05 2006-08 New Construction1 Very Low 55 0 Low 12 0 Moderate 11 0 Above Moderate 230 312 208 Total 308 312 208 Rehabilitation2 Very Low 210 Low 183 Moderate 82 Above Moderate 310 Total 785 0 Conservation3 Very Low 55 55 Low 26 26 Moderate 0 Above Moderate 0 Total 81 81 1 Quantified objective and progress for new construction reflect units built 1998-2008, per the previous RHNA cycle 2 Private repairs 3 Mobile Home Park and RV Park units City of Hermosa Beach Housing Element Appendix B – Land Inventory B-1 January 2012 Appendix B Residential Land Inventory – 2006-2014 1. Methodology and Assumptions State law requires each city to include in the Housing Element an inventory of vacant parcels having the potential for residential development, or ―underutilized‖ parcels with potential for additional development or redevelopment. The purpose of this inventory is to evaluate whether there is sufficient capacity, based on the General Plan, zoning, development standards, and infrastructure, to accommodate the City‘s fair share of regional growth needs as identified in the Regional Housing Needs Assessment (RHNA). This analysis represents an estimate of the City‘s realistic development potential. Actual development will depend on the intentions of each property owner, market conditions and other factors. The detailed methodology and assumptions for the residential land inventory discussed in Chapter III are provided below and summarized in Tables B-1 through B-5. As discussed in Chapter III, the City has been allocated a growth need of 562 units during the 2006-2014 planning period. From 2006 through 2008 a total of 208 new units were built, all of which are assumed to be in the above-moderate income category (see Table A-3). Therefore, the City‘s remaining RHNA for the 2009-2014 period is 354 units distributed among income categories as shown in Table B-1. The RHNA methodology, which resulted in the allocation of 562 new housing units to Hermosa Beach (including 240 lower-income units), was based on the pattern of development comprised entirely of small parcel redevelopment. There are no significant vacant parcels in the city that could accommodate new housing developments of any appreciable size, including affordable projects. Table B-1 Net Remaining RHNA 2009-2014 Income Category Total VL Low Mod Above RHNA (total) 147 93 98 224 562 Units completed 2006-2008 0 0 0 208 208 RHNA (net remaining 2009-2014) 147 93 98 16 354 Source: Hermosa Beach Community Development Department , 2/2009 Affordability Assumptions In general, there are three alternative ways for determining the affordability level of new housing units. 1. Affordability Covenants. The most definitive method is through required affordability covenants (i.e., requirements imposed upon or agreed to by the City of Hermosa Beach Housing Element Appendix B – Land Inventory B-2 January 2012 project sponsor) that establish income limits for purchasers or tenants. Such covenants are legally enforceable and binding upon the property owner for a specified time period. 2. Market Prices or Rents. When covenants are not in place, affordability levels for newly-built units are based on actual prices or rents. Table II-17 (page II-14) describes current affordability levels along with the monthly rental costs or estimated sales prices that correspond with each level. Based on rental market data, most surveyed apartments fall into the Above-Moderate income category since the average monthly rent for 2-bedroom apartments was found to be $1,859 and the upper limit of the Moderate-income category is $1,695 for a 4-person household. It is assumed that few, if any, new apartments rent for rates below the average of existing units unless required by affordability covenants. 3. Density. For potential new units in a city‘s land inventory, state law establishes affordability assumptions based on density. The ―default‖ density for small metropolitan jurisdictions, including Hermosa Beach, is 20 units per acre14. This means that if the General Plan and zoning allow development at 20 units per acre or greater, these sites are deemed appropriate to accommodate housing for lower-income households. In Hermosa Beach, the following residential zoning districts allow multi-family development at densities greater than 20 units/acre: District Allowable Density R-2 24.9 units/acre R-2B 24.9 units/acre R-3 33 units/acre R-P 33 units/acre In addition, the C-1 commercial district allows mixed-use development at a density of 33 units/acre. Although the allowable densities in these districts are significantly greater than the state default density of 20 units/acre, in its review of the draft Housing Element HCD did not accept potential new units on underutilized sites in these districts as meeting a portion of the city‘s lower-income housing need. Therefore Program 7k (Chapter V) includes a commitment to amend the Zoning Code to create additional opportunities for affordable housing development in the C-3, SPA-7 and/or SPA-8 districts, adding to the inventory about 10 acres where affordable housing could be developed. The following table shows the proportion of the city that will be represented by each type of zoning district and the districts that allow residential development following implementation of Program 7k. 14 Assembly Bill 2348 of 2004 (Government Code Sec, 65583.2(c)(3)(B)) City of Hermosa Beach Housing Element Appendix B – Land Inventory B-3 January 2012 Zoning District Residential Use Allowed? Total Acreage Percentage of City Total R-1, R-1A, SPA 2-6/9, MHP Yes – 10.9 du/ac 240.0 39% R-2, R-2B Yes – 24.9 du/ac 112.8 19% R-3, R-P, R-3-PD, RPD Yes – 33 du/ac 100.1 17% C-2, SPA-11 No 18.2 3% C-1 Yes – 10 acres at 33 du/ac (mixed use or exclusive residential – see Program 7k) 2.9 0.005% C-3, SPA-7/8 Yes – 33 du/ac (Mixed use or exclusive residential – see Program 7k) 58.9 acres (10 acres residential) 10% (1% residential) M-1 No 7.4 acres 1% OS (all) No 65.1 acres 11% Totals 605 acres 100% As can be seen from this table, upon implementation of Program 7k approximately 75% of the land in the city will be zoned for residential use and over one-third of all land (36%) will accommodate multi-family residential development at densities greater than the state default for lower-income housing. Realistic Capacity As noted above, the R-2, R-2B, R-3, R-P and C-1 zones all permit residential development at greater than 20 units/acre. Review of development trends (see Appendix A, Table A-3) confirms that actual densities in all of these zones except R-2 and R-2B are typically greater than 20 units/acre. Average densities during the past three years for all projects in these zones are shown in Table B-2. Although the average density of recent projects in the R-2 and R-2B zones was less than 20 units/acre, there were nine projects that exceeded that density, which demonstrates that development standards do not preclude owners from achieving the default density. Eight of these projects had parcel sizes of 1/10 acre or less, which indicates that even very small parcels can be developed successfully in Hermosa Beach. Of the seven mixed-use projects built recently, five had densities greater than 20 units/acre and the average density of all projects was 30 units/acre. Small parcel size is clearly not a constraint to mixed-use development since the smallest parcels, several as small as 0.03 acre, had densities greater than 30 units/acre. City of Hermosa Beach Housing Element Appendix B – Land Inventory B-4 January 2012 Table B-2 Realistic Development Capacity Zone Average Density for Projects Built 2006-08 Actual Units Built as % of Maximum* R-1/R-1A 12 units/acre 179% R-2/R-2B 16 units/acre 84% R-3 26 units/acre 84% R-P 21 units/acre 75% C-1 30 units/acre 80% Source: Appendix A, Table A-3 *See Table A-3 In Hermosa Beach, development capacity is controlled by lot size and the required ratio of lot area per unit for the zone. For example, in the R-2 and R-2B zones, a minimum of 1,750 square feet of lot area is required for each unit (as discussed in Chapter IV, Table IV-2). This means that a parcel with 3,500 square feet could accommodate two units, but if the parcel were just slightly smaller – e.g., 3,490 square feet - only one unit would be allowed without a variance or other special approval. The City has not received any such requests, however. The estimate of potential new units shown in Table B-5 is based on the lot area and the minimum area per unit standard for the zone. Due to high land costs, there is significant incentive for owners to build the maximum allowable units. This assumption is supported by the fact that the majority of recent projects did in fact achieve 100% of the maximum allowable units (see Table A-3). 2. Units Approved or Under Construction Table B-4 summarizes projects that have been approved but are not yet completed. These projects are all for-sale condos assumed to be above-moderate income even though all but one have densities greater than 20 units/acre. 3. Vacant and Underutilized Land Inventory Potential sites for residential development are listed in Table B-5 and shown in Figure B-1. The vacant sites have the potential of 8 lower-income units while the underutilized sites have the potential of 558 above-moderate units. This does not take into account vacant and underutilized parcels zoned C-3 and SPA-7/8 that will be included within the overlay zone allowing lower-income residential development by-right (see Program 7k). Many of the underdeveloped sites listed in Table B-5 are occupied by older single-family homes. Private redevelopment of parcels containing single-family homes and replacement with small multi-family projects is an established pattern in Hermosa Beach as a result of high land values. As noted in Appendix A (Table A-3) 208 new housing units were built during 2006-08, all of which involved demolition and redevelopment of small City of Hermosa Beach Housing Element Appendix B – Land Inventory B-5 January 2012 parcels smaller than one-quarter acre. The City‘s unrealistically large RHNA allocation (562 units) relative to its small size (1.3 square miles and virtually no vacant land) was based on this pattern of small-scale redevelopment and SCAG‘s calculation of replacement need, which allocated approximately 40% of these units to the lower- income categories regardless of the type of units demolished or replaced or the size of lots upon which they were located and then replaced. Mixed-Use Development Potential The residential land inventory (Table B-5) includes one vacant parcel and six underutilized parcels with commercial zoning that allows mixed-use development. These underutilized parcels were identified as areas with the greatest potential for mixed-use development based on the nature, age and intensity of existing uses. Most are single-story buildings and are more than 50 years old. Since the ratio of improvements value to land value is likely to be lower than for most other commercial parcels in the city, they were identified as high potential development sites. 4. Land Inventory Summary Table B-3 summarizes the City‘s land inventory compared to the remaining RHNA for each income category. The total capacity of vacant and underutilized sites has been calculated based on the allowable number of units for each site, and also using a realistic estimate based on the factors shown above in Table B-2. Using the realistic estimates of likely development based on recent trends, while there is a surplus of sites with realistic potential for residential redevelopment at a density greater than 20 units/acre (the state default density for lower-income housing in small urban cities) these underutilized sites were not accepted by HCD for purposes of accommodating the RHNA. In order to expand the potential for affordable multi-family housing, staff examined other areas of the city where underutilized sites exist and affordable housing may be feasible. Factors considered included parcel size and configuration, access, ownership, current and recent use, age and condition of structures, tenancy, and similar factors. The analysis focused on the C-3, SPA-7 and SPA-8 zones since these represent most of the non-residential land in the city. As a result of this analysis, Program 7k in the Housing Plan (Chapter V) was added to establish an overlay zone in the C-3, SPA-7 and SPA-8 zones where multi-family lower-income housing is permitted by-right. These districts are located along the City‘s primary transit corridor, Pacific Coast Highway, and are close to services and transportation. In order to assess the realistic capacity of these areas, parcels with the highest potential for lot consolidation and residential development have been further analyzed. This analysis identified five clusters of adjacent parcels having potential for lot consolidation and other characteristics that make them good candidates for residential development, such as common ownership, excellent access to transit and services, and economic underutilization (see Table B-6 and Figure B-2). These five high-potential affordable housing opportunity sites range in size from 0.36 acre to 5.2 acres and comprise a total of approximately 10 acres. At an allowable density of 33 units/acre, these sites could accommodate approximately 323 multi-family units excluding any density bonus, which exceeds the City‘s total RHNA allocation for lower-income housing in this planning period. However, given City incentives for lot consolidation and state- City of Hermosa Beach Housing Element Appendix B – Land Inventory B-6 January 2012 mandated density bonus, actual densities on these sites could be over 45 units/acre. Site characteristics are summarized below and in Table B-6. Site 1 is comprised of five parcels totaling 0.36 acres under single ownership. The building is over 45 years old and currently vacant. Site 2 is comprised of three parcels totaling 1.87 acres, with buildings exceeding 50 years in age. Two of the parcels have a common owner. Site 3 is comprised of four parcels totaling over 5 acres, and is occupied by a church and older grocery store used as a youth center. The church has expressed a desire to relocate. Site 4 is a single parcel occupied by an older recreational vehicle park considered to be underutilized land. Site 5 is a single parcel comprised mostly of an older strip mall and parking lot. The site is adjacent to an older Big Lots store which is located in the adjacent city. This site is considered underutilized and would not require consolidation. Conclusion The Housing Element land inventory demonstrates that adequate sites zoned for residential uses at greater than the default density of 20 units per acre are available to meet the City‘s RHNA allocation, and a lot consolidation program (Program 9) will be implemented to facilitate the aggregation of small lots and groups of lots into larger development sites. Since most of the city‘s large sites are zoned for commercial uses, Program 7k includes a commitment to establish an overlay zone in the C-3, SPA-7 and/or SPA-8 zones encompassing the sites identified in Table B-6 (approximately 9.9 acres) to allow lower-income housing as a permitted use without a commercial component, thereby significantly increasing the high-density residential land inventory. City of Hermosa Beach Housing Element Appendix B – Land Inventory B-7 January 2012 Table B-3 Land Inventory Summary vs. RHNA Income Category Total Lower Mod Above Units approved/under construction - - 34 34 Vacant sites 8 - - 8 Underutilized sites - - - R-1 (units permitted) - - 17 17 Realistic estimate (100%) - - 17 17 R-2/R-2B (units permitted) - 331 331 Realistic estimate (84%) - 278 278 R-3 (units permitted) - 180 180 Realistic estimate (84%) - 151 151 R-P (units permitted) - 14 14 Realistic estimate (75%) - 11 11 C-1 (units permitted) - 12 12 Realistic estimate (80%) - 10 10 SPA-9 (units permitted) - 4 4 Realistic estimate (100%) - 4 4 Subtotal (units permitted) 8 - 592 600 Subtotal (realistic) 8 - 505 513 RHNA (net 2009-2014) 240 98 16 354 Realistic Net Surplus (Deficit) (232) (98) 489 Sources: Hermosa Beach Community Development Dept., 1/2011 City of Hermosa Beach Housing Element Appendix B – Land Inventory B-8 January 2012 Table B-4 Residential Units Approved/Not Completed Project Site Acreage General Plan Zoning Maximum Allowable Units % of Maximum Achieved 2006 – 2007 Total VL/L Mod Above Mod 931 1st St. 500 sf lot HDR R-P 5 80% 4 4 640-650 Hermosa Ave. 8000 sf lot HDR R-3 6 100% 6 6 33 Monterey Blvd. 1730 sf HDR R-P 1 100% 1 1 421 Monterey Blvd. 3000 sf lot HDR R-3 2 100% 2 2 131-135 Hermosa Ave. 4200 sf lot NC C-1 3 66% * 2 2 1520 Manhattan Ave. 3900 sf HDR R-3 2 100% 2 2 427 11th St. 4750 sf lot HDR R-3 3 100% 3 3 42 15th St. 2700 sf HDR R-3 2 100% 2 2 731-739 21st St. 19000 sf LDR SPA-5 8 100% 8 8 719-725 21st St. 5800 sf LDR SPA-10 4 100% 4 4 Totals 36 94% 34 34 *Note: Although all but one of these projects exceed the default density, they are assumed to be above-moderate income because they are for-sale condos. City of Hermosa Beach Housing Element Appendix B – Land Inventory B-9 January 2012 Table B-5 Residential Land Inventory Address Gen Plan Zoning Lot size (sf) Max. Density (units/ac) Existing Units Realistic Capacity Low Mod Above Mod Current Use Vacant Sites 60 Hermosa Ave NC C-1 2,396 33 0 1 1 Vacant (shed?) (adjacent to 66 Hermosa Ave) 1829 Manhattan Ave MD R-2 3,054 24.9 0 1 1 shoring for SF dwelling, permit expired 825 15th St MD R-2B 5,672 24.9 0 3 3 Vacant no address HD R-P 4,000 33 0 3 3 Vacant Subtotal – Vacant Sites 8 8 Underutilized Sites 3232 Manhattan Ave NC C-1 4,905 33 0 3 3 Ocean View Liquors, 1-story bldg, occupies entire block, 2732 sf imp (1953yr) 2700 Manhattan Ave NC C-1 4,796 33 0 3 3 La Sosta Enoteca, 1-story bldg, occupies entire block, 1620 sf imp (1929/1953yr) 3217 Manhattan Ave NC C-1 2,474 33 0 1 1 Chug Salon, 1-story, 1230 and 400 sf of imp (1946/1961yr) (adjacent lot to S across alley zoned C-1 is same owner 54 Hermosa Ave NC C-1 2,396 33 0 1 1 Office, 1-story, 1152 sf improvement (1950yr) 66 Hermosa Ave NC C-1 2,396 33 0 1 1 HB Yacht Club bar, 1071 sf imp (1948yr); adjacent to vacant lot 2 Hermosa Ave NC C-1 5,236 33 0 3 3 Dawn to Dusk Liquor store - 2 story, 4242 sf imp; occupies entire block (1959yr) Subtotal C-1 12 12 739 Longfellow Ave LD R-1 4,996 10.9 0 1 1 1600 sf imp (1955yr)-child care center 522 25th St LD R-1A 7,500 13 1 2 2 1214 sf dwelling (1947) 2491 Valley Dr LD R-1A 7,290 13 1 2 2 1518 sf dwelling (1954) 572 25th St LD R-1A 7,450 13 1 2 2 1688 sf dwelling 566 25th St LD R-1A 7,450 13 1 2 2 1645 sf dwelling 515 25th St LD R-1A 6,700 13 1 2 2 1608 sf dwelling 501 25th St LD R-1A 7,700 13 1 2 2 3036 sf dwelling 485 25th St LD R-1A 8,370 13 1 2 2 1436 sf dwelling 489 25th St LD R-1A 6,760 13 1 2 2 1 sf dwelling City of Hermosa Beach Housing Element Appendix B – Land Inventory B-10 January 2012 Address Gen Plan Zoning Lot size (sf) Max. Density (units/ac) Existing Units Realistic Capacity Low Mod Above Mod Current Use Subtotal R-1/R-1A 8 17 17 1118 Prospect Ave MD R-2 4,650 24.9 1 2 2 2221 sf dwelling (1997) 1105 11th St MD R-2 3,150 24.9 1 1 1 812 sf dwelling 1102 11th Pl MD R-2 3,850 24.9 1 2 2 1016 sf dwelling 520 31st St MD R-2 3,577 24.9 1 2 2 1226 sf dwelling 440 29th St MD R-2 6,399 24.9 2 3 3 1704 sf dwelling 2902 Morningside Dr MD R-2 4,860 24.9 1 2 2 Demo permit issued but not demo-ed yet 416 30th Street MD R-2 2,430 24.9 1 1 1 2295 sf dwelling (1987) 250 35th St MD R-2 3,804 24.9 1 2 2 1926 sf dwelling 3306 Highland Ave MD R-2 6,000 24.9 1 3 3 4124 sf dwelling 214 30th St MD R-2 4,800 24.9 1 2 2 2670 sf dwelling 326 29th St MD R-2 4,800 24.9 1 2 2 2812 sf dwelling 125 26th St MD R-2 5,400 24.9 2 3 3 1154 sf dwelling 1946 Hermosa Ave MD R-2 3,600 24.9 1 2 2 1656 sf dwelling 235 25th St MD R-2 4,193 24.9 1 2 2 2647 sf dwelling 1706 Manhattan Ave MD R-2 3,900 24.9 1 2 2 1606 sf dwelling 1850 Manhattan Ave MD R-2 4,840 24.9 1 2 2 3560 sf dwelling 1840 Pacific Coast Hwy MD R-2 5,590 24.9 1 3 3 1440 sf dwelling 1918 Pacific Coast Hwy MD R-2 3,700 24.9 1 2 2 952 sf dwelling 1924 Pacific Coast Hwy MD R-2 3,700 24.9 1 2 2 1148 sf dwelling 1934 Pacific Coast Hwy MD R-2 3,900 24.9 1 2 2 1039 sf dwelling 830 14th St MD R-2 3,750 24.9 1 2 2 1846 sf dwelling 840 14th St MD R-2 3,750 24.9 1 2 2 1200 sf dwelling 1st MD R-2 3,750 24.9 1 2 2 1326 sf dwelling 825 13th St MD R-2 3,727 24.9 1 2 2 1016 sf dwelling 827 13th St MD R-2 3,750 24.9 1 2 2 1016 sf dwelling 841 13th St MD R-2 3,727 24.9 1 2 2 1978 sf dwelling 36 9th St MD R-2 5,698 24.9 2 3 3 2092 sf dwelling 19 8th St MD R-2 3,794 24.9 1 2 2 2391 sf dwelling City of Hermosa Beach Housing Element Appendix B – Land Inventory B-11 January 2012 Address Gen Plan Zoning Lot size (sf) Max. Density (units/ac) Existing Units Realistic Capacity Low Mod Above Mod Current Use 934 The Strand MD R-2 4,800 24.9 1 2 2 2091 sf dwelling 649 11th St MD R-2 4,752 24.9 1 2 2 1175 sf dwelling 635 11th St MD R-2 4,752 24.9 1 2 2 1256 sf dwelling 642 11th St MD R-2 4,704 24.9 1 2 2 2331 sf dwelling 632 11th St MD R-2 5,600 24.9 2 3 3 2375 sf dwelling 620 11th St MD R-2 4,256 24.9 1 2 2 680 sf dwelling 1010 Ardmore Ave MD R-2 4,104 24.9 1 2 2 1378 sf dwelling 611 10th St MD R-2 4,104 24.9 1 2 2 792 sf dwelling 635 10th St MD R-2 4,104 24.9 1 2 2 1139 sf dwelling 651 10th St MD R-2 4,320 24.9 1 2 2 816 sf dwelling 645 10th St MD R-2 4,104 24.9 1 2 2 1104 sf dwelling 600 10th St MD R-2 4,104 24.9 1 2 2 1300 sf dwelling 626 10th St MD R-2 4,104 24.9 1 2 2 768 sf dwelling 636 10th St MD R-2 4,104 24.9 1 2 2 768 sf dwelling 647 9th St MD R-2 5,400 24.9 1 3 3 1591 sf dwelling 731 9th St MD R-2 4,860 24.9 1 2 2 1188 sf dwelling 601 9th St MD R-2 5,388 24.9 2 3 3 1748 sf dwelling 620 10th St MD R-2 4,400 24.9 1 2 2 2020 sf dwelling 622 10th St MD R-2 4,600 24.9 1 2 2 1834 sf dwelling 620 9th St MD R-2 5,400 24.9 1 3 3 1192 sf dwelling 655 8th Pl MD R-2 5,016 24.9 1 2 2 901 sf dwelling 619 8th Pl MD R-2 5,016 24.9 1 2 2 2036 sf dwelling 724 9th St MD R-2 3,999 24.9 1 2 2 2227 sf dwelling 624 8th Pl MD R-2 3,648 24.9 1 2 2 1572 sf dwelling 616 8th Pl MD R-2 3,648 24.9 1 2 2 1232 sf dwelling 640 8th St MD R-2 2,508 24.9 1 1 1 1372 sf dwelling (1955) 722 Loma Dr MD R-2 4,028 24.9 1 2 2 998 sf dwelling 720 8th St MD R-2 5,016 24.9 1 2 2 2286 sf dwelling 647 7th St MD R-2 3,780 24.9 1 2 2 1859 sf dwelling City of Hermosa Beach Housing Element Appendix B – Land Inventory B-12 January 2012 Address Gen Plan Zoning Lot size (sf) Max. Density (units/ac) Existing Units Realistic Capacity Low Mod Above Mod Current Use 615 7th St MD R-2 4,320 24.9 1 2 2 1126 sf dwelling 616 7th St MD R-2 4,320 24.9 1 2 2 1350 sf dwelling 626 7th St MD R-2 4,321 24.9 1 2 2 1829 sf dwelling 642 7th St MD R-2 4,320 24.9 1 2 2 999 sf dwelling 659 6th St MD R-2 4,320 24.9 1 2 2 1006 sf dwelling 655 6th St MD R-2 4,320 24.9 1 2 2 1006 sf dwelling 611 6th St MD R-2 4,320 24.9 1 2 2 999 sf dwelling 708 2nd St MD R-2 4,600 24.9 1 2 2 866 sf dwelling 640 2nd St MD R-2 4,600 24.9 1 2 2 2352 sf dwelling 625 1st Pl MD R-2 4,255 24.9 1 2 2 772 sf dwelling 705 1st Pl MD R-2 4,600 24.9 1 2 2 576 sf dwelling 646 1st Pl MD R-2 4,600 24.9 1 2 2 1337 sf dwelling 624 1st Pl MD R-2 4,600 24.9 1 2 2 1373 sf dwelling 622 1st Pl MD R-2 4,600 24.9 1 2 2 916 sf dwelling 715 1st St MD R-2 4,600 24.9 1 2 2 1680 sf dwelling 620 1st St MD R-2 4,593 24.9 1 2 2 2416 sf dwelling 608 1st St MD R-2 5,033 24.9 1 2 2 1540 sf dwelling 705 2nd St MD R-2 4,600 24.9 1 2 2 1200 sf dwelling 710 4th St MD R-2 4,600 24.9 1 2 2 816 sf dwelling 629 3rd St MD R-2 4,501 24.9 1 2 2 947 sf dwelling 707 3rd St MD R-2 4,600 24.9 1 2 2 846 sf dwelling 540 Ardmore Ave MD R-2 6,129 24.9 2 3 3 1863 sf dwelling 632 6th St MD R-2 4,320 24.9 1 2 2 793 sf dwelling 646 6th St MD R-2 4,320 24.9 1 2 2 3207 sf dwelling 650 6th St MD R-2 4,320 24.9 1 2 2 1194 sf dwelling 658 6th St MD R-2 4,320 24.9 1 2 2 1104 sf dwelling 666 6th St MD R-2 4,320 24.9 1 2 2 1125 sf dwelling 683 5th St MD R-2 4,320 24.9 1 2 2 1089 sf dwelling 677 5th St MD R-2 4,320 24.9 1 2 2 1932 sf dwelling City of Hermosa Beach Housing Element Appendix B – Land Inventory B-13 January 2012 Address Gen Plan Zoning Lot size (sf) Max. Density (units/ac) Existing Units Realistic Capacity Low Mod Above Mod Current Use 633 5th St MD R-2 4,320 24.9 1 2 2 1089 sf dwelling 625 5th St MD R-2 4,320 24.9 1 2 2 1040 sf dwelling 634 5th St MD R-2 4,720 24.9 1 2 2 951 sf dwelling 101 16th St MD R-2 4,148 24.9 1 2 2 1615 sf dwelling 603 30th St MD R-2B 4,537 24.9 1 2 2 3185 sf dwelling 605 30th St MD R-2B 4,537 24.9 1 2 2 3221 sf dwelling 43 20th St MD R-2B 3,772 24.9 1 2 2 3669 sf dwelling 49 20th St MD R-2B 3,610 24.9 1 2 2 2840 sf dwelling 68 20th St MD R-2B 3,880 24.9 1 2 2 1541 sf dwelling 44 20th St MD R-2B 3,810 24.9 1 2 2 1552 sf dwelling 29 19th St MD R-2B 3,643 24.9 1 2 2 2346 sf dwelling 41 19th MD R-2B 3,705 24.9 1 2 2 5652 sf dwelling 1942 The Strand MD R-2B 4,879 24.9 1 2 2 3436 sf dwelling 44 16th St MD R-2B 3,800 24.9 1 2 2 1393 sf dwelling 34 17th St MD R-2B 3,610 24.9 1 2 2 3709 sf dwelling 40 17th St MD R-2B 3,610 24.9 1 2 2 2785 sf dwelling 33 16th St MD R-2B 3,705 24.9 1 2 2 2501 sf dwelling 39 18th St MD R-2B 3,515 24.9 1 2 2 2066 sf dwelling 1025 17th St MD R-2B 6,856 24.9 1 3 3 1684 sf dwelling 1010 17th St MD R-2B 5,600 24.9 1 3 3 3825 sf dwelling 950 17th St MD R-2B 5,600 24.9 1 3 3 4774 sf dwelling 924 17th St MD R-2B 5,600 24.9 1 3 3 1608 sf dwelling 922 17th St MD R-2B 5,600 24.9 1 3 3 2336 sf dwelling 920 17th St MD R-2B 11,200 24.9 1 6 6 1374 sf dwelling 827 14th St MD R-2B 3,750 24.9 1 2 2 1122 sf dwelling 845 14th St MD R-2B 3,727 24.9 1 2 2 986 sf dwelling 944 15th St MD R-2B 5,670 24.9 1 3 3 1080 sf dwelling 940 15th St MD R-2B 5,670 24.9 1 3 3 2464 sf dwelling 906 15th St MD R-2B 5,670 24.9 1 3 3 850 sf dwelling City of Hermosa Beach Housing Element Appendix B – Land Inventory B-14 January 2012 Address Gen Plan Zoning Lot size (sf) Max. Density (units/ac) Existing Units Realistic Capacity Low Mod Above Mod Current Use 900 15th St MD R-2B 5,670 24.9 1 3 3 2062 sf dwelling 1627 Golden St MD R-2B 6,074 24.9 1 3 3 1089 sf dwelling 1619 Golden St MD R-2B 7,500 24.9 1 4 4 1016 sf dwelling 1620 Golden St MD R-2B 6,836 24.9 1 3 3 2424 sf dwelling 1210 17th St MD R-2B 4,450 24.9 1 2 2 3427 sf dwelling 1734 Prospect Ave MD R-2B 7,109 24.9 1 4 4 4077 sf dwelling 1714 Golden St MD R-2B 4,710 24.9 1 2 2 2022 sf dwelling 1013 7th St MD R-2B 5,200 24.9 1 2 2 888 sf dwelling 917 7th St MD R-2B 4,800 24.9 1 2 2 1029 sf dwelling 911 7th St MD R-2B 4,800 24.9 1 2 2 1035 sf dwelling 832 7th St MD R-2B 4,800 24.9 1 2 2 1176 sf dwelling 914 7th St MD R-2B 4,796 24.9 1 2 2 2914 sf dwelling 938 7th St MD R-2B 4,800 24.9 1 2 2 2178 sf dwelling 942 7th St MD R-2B 4,800 24.9 1 2 2 2178 sf dwelling 925 6th St MD R-2B 6,750 24.9 1 3 3 1429 sf dwelling 1072 7th St MD R-2B 5,197 24.9 1 2 2 1328 sf dwelling 991 6th St MD R-2B 7,500 24.9 1 4 4 1094 sf dwelling 940 6th St MD R-2B 4,320 24.9 1 2 2 2261 sf dwelling 532 Pine St MD R-2B 3,840 24.9 1 2 2 2073 sf dwelling 921 5th St MD R-2B 5,200 24.9 1 2 2 2695 sf dwelling 931 5th St MD R-2B 6,500 24.9 1 3 3 2254 sf dwelling 960 6th St MD R-2B 6,500 24.9 1 3 3 3628 sf dwelling 970 6th St MD R-2B 8,320 24.9 1 4 4 1340 sf dwelling 1018 6th St MD R-2B 5,589 24.9 1 3 3 1118 sf dwelling 501 Prospect Ave MD R-2B 6,990 24.9 1 3 3 2370 sf dwelling 535 Prospect Ave MD R-2B 4,270 24.9 1 2 2 3063 sf dwelling 959 5th St MD R-2B 4,550 24.9 1 2 2 2282 sf dwelling 444 Ocean View Ave MD R-2B 4,408 24.9 1 2 2 1319 sf dwelling 422 Ocean View Ave MD R-2B 4,408 24.9 1 2 2 1231 sf dwelling City of Hermosa Beach Housing Element Appendix B – Land Inventory B-15 January 2012 Address Gen Plan Zoning Lot size (sf) Max. Density (units/ac) Existing Units Realistic Capacity Low Mod Above Mod Current Use 431 Hopkins Ave MD R-2B 8,400 24.9 1 4 4 1021 sf dwelling 311 Hopkins Ave MD R-2B 4,210 24.9 1 2 2 2343 sf dwelling 309 Hopkins Ave MD R-2B 4,210 24.9 1 2 2 2343 sf dwelling Subtotal R-2/R-2B 153 331 331 1221 24th St MD SPA-9 3,746 24.9 1 2 2 1206 sf dwelling 1231 24th St MD SPA-9 3,746 24.9 1 2 2 875 sf dwelling Subtotal SPA-9 2 4 4 2902 Hermosa Ave HD R-3 2,971 33 1 2 2 5216 sf dwelling 3224 Hermosa Ave HD R-3 4,250 33 1 3 3 2410 sf dwelling 133 35th Street HD R-3 1,504 33 1 1 1 1699 sf dwelling (1936) 1516 Monterey Blvd HD R-3 5,000 33 1 3 3 1496 sf dwelling 1901 Pacific Coast Hwy HD R-3 4,722 33 2 3 3 1972 sf dwelling 903 5th St HD R-3 5,998 33 3 4 4 2106 sf- 3 dwelling units 47 10th St HD R-3 2,850 33 1 2 2 1175 sf dwelling 1011 Manhattan Ave HD R-3 4,000 33 1 3 3 2696 sf dwelling 1101 Monterey Blvd HD R-3 3,700 33 1 2 2 2214 sf dwelling 1085 Monterey Blvd HD R-3 4,299 33 2 3 3 1940 sf dwelling 1068 Bayview Dr HD R-3 2,900 33 1 2 2 1781 sf dwelling 1021 Monterey Blvd HD R-3 2,900 33 1 2 2 2307 sf dwelling 1010 Monterey Blvd HD R-3 5,000 33 1 3 3 2235 sf dwelling 1085 Loma Dr HD R-3 3,763 33 1 2 2 1368 sf dwelling 843 Loma Dr HD R-3 2,790 33 1 2 2 821 sf dwelling 821 Loma Dr HD R-3 2,790 33 1 2 2 1430 sf dwelling 811 Loma Dr HD R-3 2,790 33 1 2 2 1131 sf dwelling 936 Monterey Blvd HD R-3 2,800 33 1 2 2 716 sf dwelling 925 Loma Dr HD R-3 2,790 33 1 2 2 648 sf dwelling 832 Loma Dr HD R-3 3,180 33 1 2 2 920 sf dwelling 818 Loma Dr HD R-3 3,180 33 1 2 2 906 sf dwelling 833 Cypress St HD R-3 3,000 33 1 2 2 912 sf dwelling City of Hermosa Beach Housing Element Appendix B – Land Inventory B-16 January 2012 Address Gen Plan Zoning Lot size (sf) Max. Density (units/ac) Existing Units Realistic Capacity Low Mod Above Mod Current Use 839 Cypress St HD R-3 3,000 33 1 2 2 912 sf dwelling 845 Cypress St HD R-3 3,000 33 1 2 2 1344 sf dwelling 856 Cypress St HD R-3 3,150 33 1 2 2 892 sf dwelling 854 Bard St HD R-3 3,450 33 1 2 2 1440 sf dwelling 812 Bard St HD R-3 3,978 33 1 3 3 822 sf dwelling 545 8th St HD R-3 4,680 33 1 3 3 1000 sf dwelling 821 Bard St HD R-3 3,300 33 1 2 2 1007 sf dwelling 52 8th St HD R-3 2,850 33 1 2 2 1468 sf dwelling 57 7th St HD R-3 2,850 33 1 2 2 803 sf dwelling 24 7th St HD R-3 2,850 33 1 2 2 971 sf dwelling 36 7th Ct HD R-3 2,850 33 1 2 2 3827 sf dwelling 612 The Strand HD R-3 4,835 33 1 3 3 4109 sf dwelling 500 11th St HD R-3 5,000 33 1 3 3 1053 sf dwelling 1040 Loma Dr HD R-3 3,600 33 1 2 2 1524 sf dwelling 1212 Loma Dr HD R-3 4,240 33 1 3 3 2439 sf dwelling 1092 Loma Dr HD R-3 3,600 33 1 2 2 1032 sf dwelling 1101 Cypress St HD R-3 5,014 33 2 3 3 1675 - 2 dwelling units 1207 Cypress St HD R-3 4,000 33 1 3 3 1655 sf dwelling 1125 Cypress St HD R-3 3,999 33 2 3 3 2048 sf - 2 dwelling units 1111 Cypress St HD R-3 4,000 33 2 3 3 3488 - 2 dwelling units 1100 Loma Dr HD R-3 4,665 33 1 3 3 1708 sf dwelling 1154 Cypress St HD R-3 3,999 33 2 3 3 1380-2 dwelling units 1160 Cypress St HD R-3 4,000 33 1 3 3 1635 sf dwelling 1308 Cypress St HD R-3 3,200 33 1 2 2 780 sf dwelling 501 11th St HD R-3 5,000 33 1 3 3 1449 sf dwelling 533 11th St HD R-3 5,014 33 2 3 3 1216 sf - 2 dwelling units 545 11th St HD R-3 5,000 33 1 3 3 1044 sf dwelling 551 11th St HD R-3 5,000 33 1 3 3 1053 sf dwelling 647 Manhattan Ave HD R-3 3,000 33 1 2 2 1052 sf dwelling City of Hermosa Beach Housing Element Appendix B – Land Inventory B-17 January 2012 Address Gen Plan Zoning Lot size (sf) Max. Density (units/ac) Existing Units Realistic Capacity Low Mod Above Mod Current Use 526 8th St HD R-3 3,615 33 1 2 2 1764 sf dwelling 502 8th St HD R-3 2,740 33 1 2 2 1454 sf dwelling 78 The Strand HD R-3 5,370 33 2 4 4 2510 sf - 2 dwelling units 35 6th Ct HD R-3 2,849 33 1 2 2 4285 sf dwelling 24 5th St HD R-3 2,850 33 1 2 2 1111 sf dwelling 37 5th Ct HD R-3 2,850 33 1 2 2 4225 sf dwelling 48 5th St HD R-3 2,850 33 1 2 2 1232 sf dwelling 19 4th St HD R-3 3,330 33 1 2 2 1305 sf dwelling 17 3rd St HD R-3 3,472 33 1 2 2 4551 sf dwelling 18 3rd St HD R-3 2,660 33 1 2 2 4235 sf dwelling 300 Manhattan Ave HD R-3 2,900 33 1 2 2 776 sf dwelling 502 Manhattan Ave HD R-3 2,900 33 1 2 2 1724 sf dwelling 423 Monterey Blvd HD R-3 3,000 33 1 2 2 2046 sf dwelling 438 Hermosa Ave HD R-3 3,999 33 2 3 3 2322 sf - 2 dwelling units 107 Manhattan Ave HD R-3 2,900 33 1 2 2 2173 sf dwelling 129 Manhattan Ave HD R-3 2,900 33 1 2 2 1816 sf dwelling 127 Manhattan Ave HD R-3 2,900 33 1 2 2 1816 sf dwelling 114 Monterey Blvd HD R-3 3,220 33 1 2 2 1324 sf dwelling 126 Monterey Blvd HD R-3 3,590 33 1 2 2 924 sf dwelling 142 Monterey Blvd HD R-3 4,262 33 1 3 3 2532 sf dwelling 162 Monterey Blvd HD R-3 5,052 33 1 3 3 1120 sf dwelling 412 Monterey Blvd HD R-3 3,500 33 1 2 2 2304 sf dwelling 408 Monterey Blvd HD R-3 3,000 33 1 2 2 1392 sf dwelling 244 Monterey Blvd HD R-3 3,000 33 1 2 2 965 sf dwelling 216 Monterey Blvd HD R-3 3,000 33 1 2 2 1567 sf dwelling Subtotal R-3 87 180 180 119 Meyer Ct HD R-P 3,360 33 1 2 2 1081 sf dwelling 121 Meyer Ct HD R-P 3,360 33 1 2 2 1140 sf dwelling 931 1st St HD R-P 6,720 33 1 5 5 820 sf dwelling City of Hermosa Beach Housing Element Appendix B – Land Inventory B-18 January 2012 Address Gen Plan Zoning Lot size (sf) Max. Density (units/ac) Existing Units Realistic Capacity Low Mod Above Mod Current Use 1112 Manhattan Ave HD R-P 4,000 33 1 3 3 1500 sf dwelling 161 Lyndon St HD R-P 2,850 33 1 2 2 1738 sf dwelling Subtotal R-P 5 14 14 Subtotals-Underutilized 255 558 0 558 Totals – Vacant + Underutilized 255 566 549 0 558 City of Hermosa Beach Housing Element Appendix B – Land Inventory B-19 January 2012 Figure B-1 Residential Land Inventory City of Hermosa Beach Housing Element Appendix B – Land Inventory B-20 January 2012 Table B-6 Affordable Housing Development Opportunity Sites Overlay Site/APN Address General Plan/ Zoning Imp. Ratio1 Year Built Lot Area (sq.ft.) Floor Area (sq.ft.) Potential Units2 Current Use SITE 1 4169-029-044 3125 Pacific Coast Hwy Gen.Com./C-3 0.13 1964 5279 2375 3 Vacant Building 4169-029-046 3001 Pacific Coast Hwy Gen.Com./C-3 0.00 2640 2500 2 Parking Lot, used as overflow parking while building is vacant 4169-029-047 3001 Pacific Coast Hwy Gen.Com./C-3 0.00 2640 2500 2 Parking Lot, used as overflow parking while building is vacant 4169-029-049 3001 Pacific Coast Hwy Gen.Com./C-3 0.00 2640 128 2 Parking Lot, used as overflow parking while building is vacant 4169-029-048 3001 Pacific Coast Hwy Gen.Com./C-3 0.00 2640 2500 2 Parking Lot, used as overflow parking while building is vacant Site Totals 0.04 15,839 (0.36 ac) 10,003 11 SITE 2 4169-036-019 2775 Pacific Coast Hwy Gen.Com./C-3 2.68 1955 20996 4594 15 South Bay BMW Certified/Pre-owned Dealership 4169-034-021 2851 Pacific Coast Hwy Gen.Com./C-3 0.00 15850 3348 12 Vacant Building 4169-034-020 2901 Pacific Coast Hwy Gen.Com./C-3 0.00 45012 0 34 Vacant Building Site Totals 0.06 81,858 (1.88 ac) 7,942 62 SITE 3 4184-015-003 2420 Pacific Coast Hwy Gen.Com./C-3 1.94 1970 44997 34892 34 Hope Chapel Church Building (Church wishes to relocate) 4184-015-002 2510 Pacific Coast Hwy Gen.Com./C-3 0.00 94961 28200 71 Hope Chapel youth center (was a grocery store, minor improvements made for youth center) 4184-015-008 926 Artesia Blvd Gen.Com./C-3 0.05 1962 43560 27360 33 Surface Parking Lot for Hope Chapel 4184-015-010 950 Artesia Blvd Gen.Com./C-3 0.67 1965 43560 14786 33 3 tenants (real estate and tutoring), plus 1 vacant tenant space Site Totals 0.18 227,078 (5.21 ac) 105,238 172 SITE 4 4187-026-023 725 10th St Gen.Com./C-3 0.01 1939 19458 719 14 RV Park Site Totals 0.01 19,458 (0.45 ac) 719 14 City of Hermosa Beach Housing Element Appendix B – Land Inventory B-21 January 2012 Site/APN Address General Plan/ Zoning Imp. Ratio1 Year Built Lot Area (sq.ft.) Floor Area (sq.ft.) Potential Units2 Current Use SITE 5 4185-017-015 1103 Aviation Blvd Gen.Com./C-3 0.85 1964 61206 23510 46 Restaurant (stand alone building); strip mall with 12 tenants (personal services and a bar); and a portion of the parking lot. A „Big Lots‟ retail store located in the adjoining city anchors the shopping center; data does not include the Big Lots) 4185-017-014 1209 Aviation Blvd Gen.Com./C-3 0.04 1964 24450 24450 18 Parking Lot for strip mall. Site Totals 0.62 85,656 (1.97 ac) 47,960 64 Grand Totals 429,889 (9.87 ac) 323 Notes: 1. Ratio of improvement value to land value per County Assessor 2. Based on 33 units/acre base density City of Hermosa Beach Housing Element Appendix B – Land Inventory B-22 January 2012 Figure B-2a Affordable Housing Overlay Zone City of Hermosa Beach Housing Element Appendix B – Land Inventory B-23 January 2012 Figure B-2b Affordable Housing Overlay Zone City of Hermosa Beach Housing Element Appendix B – Land Inventory B-24 January 2012 Figure B-2c Affordable Housing Overlay Zone 5 Older shopping center, extends into Redondo Beach including Big Lots City of Hermosa Beach Housing Element Appendix C – Public Participation Summary C-1 January 2012 Appendix C Public Participation Summary This summary of Housing Element public-participation efforts describes opportunities for public involvement along with an explanation of how public comments were incorporated into the Housing Element. In addition, prior to the adoption hearings all interested parties were given the opportunity to review the recommended revisions. Public participation is an important component of the planning process, and this update to the Housing Element has provided residents and other interested parties, particularly representatives of lower-income and special needs persons, numerous opportunities for review and comment. Public notices of all Housing Element meetings and public hearings were published in the local newspaper in advance of each meeting, as well as posting the notices on the City‘s website. The draft Housing Element was made available for review at City Hall, posted on the City‘s website, as well as at the Public Library. The document was also made available to housing advocates, mobile home residents, and non-profit organizations representing the interests of lower-income persons and special needs groups. Table C-1 on the following page lists persons and organizations that were sent direct mail notice of public meetings for this Housing Element update. In addition, public hearings are televised on the local cable channel. After receiving comments on the draft Housing Element from the State Housing and Community Development Department, a proposed final Housing Element was prepared and made available for public review prior to adoption by the City Council. The following is a list of opportunities for public involvement in the preparation of this Housing Element update. Planning Commission Study Session July 21, 2009 City Council Study Session July 28, 2009 Planning Commission hearing September 21, 2010 City Council hearing October 12, 2010 City Council hearing June 28, 2011 City Council hearing July 26, 2011 City Council hearing October 11, 2011 Planning Commission hearing _______________ City Council hearing _______________ Table C-2 provides a summary of public comments offered during the public review process, while Table C-3 summarizes comments from affordable housing developers. City of Hermosa Beach Housing Element Appendix C – Public Participation Summary C-2 January 2012 Table C-1 Housing Element Notification List LA Metropolitan Transit Authority Beach Cities Transit Native American Heritage Commission Gabrieleno/Tongva Indians of CA Chumash Tribe Sec For Resources State Of California So Bay Cities COG City Of Manhattan Beach City Of Torrance City Of Redondo Beach Hermosa Beach School District Redondo Beach USD South Bay Assoc Of Realtors Hermosa Beach Chamber of Commerce South Bay Senior Services Marineland Mobilehome Park Sunrise Assisted Living South Bay Adult Center Shelter Partnership Beach Cities Health District Family Crisis Center Social Vocational Services South Bay Ind Visions L.A. County Department of Children & Family Services Wellness Community-South Hermosa Beach Bay Cities Harbor Regional Center Westside Center for Independent Living The Arc-South Bay 1736 Family Crisis Center Emma Hoff-Regional Community Service Coordinator . Rebuild Together So Bay LA Kenny Nickelson Memorial Foundation For Homeless Veterans and Children Salvation Army “His House Family Services” Project Touch South Bay Center for Counseling Hermosa Beach Community Ctr. Foundation Sister Dulce Charitable Foundation Hermosa Beach Kiwanis Club Hermosa Beach Woman's Club Rotary Of Hermosa Beach Hermosa Beach Veterans Los Angeles Homeless Services Authority Hope Chapel Church Catholic Charities Church Of Christ St. Cross Episcopal Church Our Lady of Guadalupe Catholic Church Jewish Community Center Christian Science Church City of Hermosa Beach Housing Element Appendix C – Public Participation Summary C-3 January 2012 Table C-2 Public Comment Summary Comment Response The City‘s RHNA allocation is unrealistic. The RHNA methodology is based on state law and was developed by SCAG. The high number is based on gross new units (not net) which reflects the potential for private redevelopment of existing parcels. The City‘s efforts toward preserving the Marineland Mobile Home Park are appreciated. No response necessary. The Housing Element contains a wealth of information regarding the City‘s housing conditions and policies. No response necessary City of Hermosa Beach Housing Element Appendix C – Public Participation Summary C-4 January 2012 Table C-3 Affordable Housing Developer Comments  Allow high density in commercial zones; small lots can be feasibly developed.  35‘ height can accommodate 3 floors and subterranean parking.  Allow residential in commercial corridors- small footprint units.  The nonprofit developed a 16,000 s.f. lot with 33 units in a commercial corridor, 35‘ height average, 3-4 stories.  Seldom develop residential in residential zones anymore due to NIMBY.  The nonprofit developed along commercial corridors, with ground floor commercial. Developed project with housing over a Walgreens.  30-40 units generally minimum necessary to achieve economies of scale for control and maintenance.  Minimum 0.5 acre sites. Scattered sites problematic due to high cost, ability to acquire sites and additional cost to monitor the project after completion.  The key is working with a nonprofit developer with a track record of good project control and maintenance.  The nonprofit developed small projects in beach cities: Laguna Beach, San Clemente, Long Beach. Typically parking is provided on first floor, also provided community room with residential.  Consider an overlay on Commercial sites allowing housing if a component is affordable.  Typically projects would have at least 20 units if outside resources are leveraged.  Most important factor in developing affordable units: land values which directly impact the overall cost of the project. The preferred scenario would be development on government owned land.  Easiest way to develop affordable housing units are (1) lease agreement on government properties, or (2) flexible zoning policies such as inclusionary housing ordinance providing funding or allowing higher density development‘ However, the cost to built additional units rarely outweighs the benefits of higher density/flexible zoning requirements.  Hermosa Beach, with the existing built -out environment and demographic, is not competitive for affordable housing programs due to the high land costs compared to other cities in LA County.  Options to provide senior housing above existing city facilities (Community Resources Center, Clark Building): Section 108 Loan Guarantee Program offered through CDBG allows cities to borrow against future CDBG funding. However, Hermosa Beach‘s annual CDBG allotment is too low to make development of new construction viable. CDBG funding may be used to rehabilitate homes of income eligible elderly people in the City, but will not generate net affordable housing unit increase.  Habitat for Humanity offers ‗A Brush with Kindness‘ program where volunteers perform exterior upgrades for low-income family/elderly. This may be an option in Hermosa Beach, using CDBG and Section 202 senior support housing grant funding. (http://www.habitatla.org/filebox/ABWK_HG.pdf )