Planning Commission approves demolition and new home at 302 Grand Avenue with variances

The Capitola Planning Commission on July 17 voted to approve a demolition and rebuild of the single‑family property at 302 Grand Avenue, granting a Coastal Development Permit, design approval and variance requests that reduce required parking and rear/street‑side setbacks. Staff told the commission the property had recently been removed from the city’s list of potential historic resources after review by a contracted architectural historian, freeing the owner to seek demolition. Staff also described a geologic hazard overlay landward of the bluff and noted the front of the property is treated as the bluff side for zoning purposes. The project proposes to demolish the existing residence (saving the detached garage) and construct a new home that reuses some architectural elements of the prior house. The owner proposes one on‑site covered parking space (where code requires two) and requested reduced setbacks for the garage because the lot has limited street access: Grand Avenue is abandoned in this segment and Saxon Avenue has a closure and fence that limit vehicle access. Staff said previous lot‑line adjustments and flag‑lot patterns along this stretch have created recurring nonconforming conditions. Staff reviewed the variance findings, focusing on unique circumstances (limited access, retained mature olive trees that would be removed if the garage were relocated, and the site’s flagged lot geometry) and concluded the requests did not constitute special privileges because similar nonconformities exist along adjacent bluff properties. Commissioners asked about drainage and geotechnical protections; the applicant’s representatives said geotechnical and civil engineers will use light equipment and static compaction methods to reduce vibration risks, and drainage will be directed toward the Saxon side into a seepage pit to avoid directing runoff toward the bluff. A motion to approve the project passed on roll call: Commissioner Howard (yes), Commissioner Que (aye), Chair Esty (aye). Staff said final conditions and findings will govern construction, mitigation measures and required engineering reports. The commission noted the owners had engaged nearby neighbors and that the project retained two mature olive trees as proposed. The planning staff confirmed the historian engaged for the delisting was Seth Bergstein and that the historic review documents are available at the planning office.