Santa Barbara Council upholds Planning Commission approval for Hilton expansion, denies Unite Here Local 11 appeal

The Santa Barbara City Council on Sept. 23 denied an appeal by Unite Here Local 11 and upheld the Planning Commission’s approval of the Hilton Santa Barbara Beachfront Resort expansion at 633 East Cabrillo Boulevard.

The council’s 6-0 vote (Council Member Oscar Gutierrez absent) adopts the planning staff recommendation to deny the appeal and uphold the commission’s decision to allow a net increase of 73 guest rooms and the transfer of more than 43,000 square feet of approved floor area to the Hilton. Council Member Jordan moved to deny the appeal; Council Member Harmon seconded. The motion passed unanimously by members present.

Why it matters: the hearing focused on whether the project relied on an expired development agreement and whether the project circumvents city and Coastal Act policies meant to protect “lower cost” visitor accommodations. Appellants said a 100‑bed hostel that was part of the original Park Plaza approvals and later related development agreements has been allowed to operate as a high‑end boutique property rather than providing low‑cost beds, and that the city should require mitigation before approving transfer of vested square footage. Project proponents and staff said the development agreement was valid and the hostel obligation had been satisfied as a condition of the waterfront project, so the Hilton may receive the vested square‑foot transfer as a matter of contract and municipal code.

Staff outline and evidence Kathy Kennedy, the city project planner, told council the project seeks a net increase of 45,928 square feet and 73 rooms, demolition and reconfiguration of portions of the existing site, and discretionary approvals that include a parking modification, development plan for transfer of development rights (TEDR), a coastal development permit and an addendum to a previously certified EIR. She summarized background going back to the Park Plaza Specific Plan (SP‑1) and the 2016 development agreement that memorialized vested floor‑area rights for the waterfront hotel and allowed a transfer of excess square footage should that waterfront project be reduced in size.…