In a recent government meeting, the Planning Department presented a proposal for a conditional use authorization to demolish an existing three-story building at 249 Texas Street and replace it with a new four-story structure containing two rent-controlled dwelling units. The project, which had previously been discussed on May 23, received renewed attention after the homeowners reached an agreement with local opposition groups, although no changes were made to the original proposal.

The new building design includes two units: a larger three-bedroom unit occupying the upper floors and a one-bedroom unit on the lower levels, complete with a code-compliant sleeping area. An elevator will be installed for internal access, but it will be secured to prevent inter-unit access. The existing upper unit is currently occupied by tenants who plan to vacate in line with the project timeline, while the unauthorized dwelling unit has been unoccupied for five years.

The proposal is significant as it aligns with the Housing Crisis Act (SB 330), which mandates that both new units remain rent-controlled, thereby contributing to the city’s housing stock. The Planning Department emphasized that the project meets all planning code requirements and adheres to the residential design guidelines, ultimately recommending approval.

During the meeting, the project sponsor addressed concerns raised by opponents, clarifying that the unauthorized unit was disclosed from the outset and that the project was compliant with the Housing Accountability Act. They also refuted claims of tenant mistreatment, stating that the property was acquired unoccupied and that the current tenants had voluntarily requested to leave.

Public comments included concerns about the potential impact on neighboring rent-controlled units and the adequacy of the proposed design. However, the Planning Commission ultimately voted to approve the project, with a 5-2 majority, indicating a commitment to enhancing the city’s housing options while navigating community concerns. The meeting then moved on to discuss another conditional use authorization for a religious institution at 1060-1090 Randolph Street.