City Council

11. LIMITED WAIVER OF VESTED RIGHTS PURSUANT TO\nDEVELOPMENT AGREEMENT (DA) 2023-0002 On November 21, 2023,\nthe City Council approved DA 2023-0002 in conjunction with a proposed\ndevelopment of 42 residential units including seven (7) live-work units and\n35 residential condominium units, with two (2) units being affordable to\nvery-low income households, at 14042 Newport Avenue. The\ndevelopment is located in the Downtown Commercial Core Specific Plan\n(DCCSP). As required by Tustin City Code (TCC), the proposed\n6/14/24, 2:23 PM Regular Meeting of the City Council/Closed Session-5:30 pm/Regular Meeting-7:00 pm\ndevelopment must include affordable housing on-site and payment of in-\nlieu fee for one-half of the base units provided on-site. On March 5, 2024,\nthe City Council adopted a policy to temporarily suspend the requirement\nto pay an affordable housing in-lieu fee in conjunction with development\nproposals in the DCCSP and Red Hill Avenue Specific Plan (RHASP) for\n36 months. KB HOME Cal Management Services LLC (KB Home) is\nrequesting a limited waiver of vested rights pursuant to DA 2023-0002 to\nretroactively apply the suspension of the requirement to pay an affordable\nhousing in-lieu fee to their project.\nRecommendation: It is recommended that the City Council grant KB\nHome a limited waiver of vested rights pursuant to DA 2023-0002 and\ndetermine that the current suspension of affordable housing in-lieu fees\nfor residential projects within the DCCSP and RHASP is retroactively\napplicable to the project associated with DA 2023-0002.