Hearing examiner to decide whether 3‑unit common‑wall building at 625 Sunset Ave NE can be subdivided for individual sale

Yoshi Kumar, hearing examiner with Laminar Law, opened a July 8 hearing on a conditional‑use permit application to subdivide a three‑unit common‑wall residential structure at 625 Sunset Avenue Northeast so each unit could be sold separately. Marshall Reed, lead city planner for the City of Ocean Shores, said the application (CUP 25‑00005) and staff report were submitted in June and that staff had admitted the prefiled exhibits into the record.

The property is about 0.23 acres (approximately 10,000 square feet) and zoned R‑5 (multifamily). Reed said the R‑5 zone allows multifamily dwellings with a minimum lot size of 2,100 square feet per dwelling unit, meaning the parcel could permit up to five dwelling units as a permitted use under the city's density rules. The narrow question before the hearing examiner, Reed said, is whether subdividing the land so individual units can be owned (rather than the units remaining under single ownership and rented) meets the conditional‑use criteria in the Ocean Shores Municipal Code.

The staff analysis cites Ocean Shores Municipal Code provisions allowing “row house and other common wall residential developments where the underlying land is subdivided to allow ownership of the individual lot and home” and found the proposed use consistent with the city's 2020 comprehensive plan housing policies and the moderate‑density land use designation. Reed summarized standard conditions the city would require if the examiner approves the subdivision: compliance with building and fire codes; provision of adequate parking under OSMC 17.54.060; approved storm drain plans; required utility assessments or charges and system development charges under Title 13; and compliance with landscaping requirements.

Larry Butler, a professional land surveyor representing the owner, testified that he concurred with the staff report and conditions and said the owner had no issues complying. When asked about off‑street parking, Butler said the building is set back about 50 feet from the right‑of‑way centerline and "there's plenty of roof parking in front of the structure." No members of the public testified on the application.

Kumar said the record for the matter was closed and that he intended to issue a written decision within 10 business days of the record closing. The decision will be based on the admitted exhibits, testimony, and the hearing examiner's written findings.

Background details from the staff report entered into the record include the applicant identified as Roundup Square, Incorporated (P.O. Box 2246, Ocean Shores), a site plan and staff analysis dated June 19, 2025, and mailed notices to owners within 300 feet per OSMC. The staff report also notes the project is SEPA exempt under the minor new construction provisions and that the building would otherwise be permitted in the R‑5 zone if not subdivided.