Council approves reduced parking at 1040 South Coast Highway after developer agrees to transportation demand measures

Laguna Beach — The City Council on Tuesday approved a conditional use permit and coastal development permit that allows a one‑space reduction in required off‑street parking for an infill project at 1040 South Coast Highway, provided the commercial tenant implements a transportation demand management plan (TDM).

Planning staff told the council the project — a 1949 building being updated with a new upper‑floor residential addition and retained ground‑floor retail — requires seven parking spaces under city code but provides six. The developer proposed mitigation in the form of secured bicycle lockers (four on site and four off site), transit vouchers for employees, and tenant education on transit and bike commuting. Planning staff recommended approval of the CUP and CDP, concluding the measures would offset the requested one‑space reduction.

The applicant’s architect, Anders Lassiter, confirmed the commercial tenant would be required to implement the TDM measures. Council member Whelan asked staff to make that obligation explicit; planners added a condition of approval requiring that any commercial tenant “shall comply with and implement the transportation demand management strategies” set out in the permit. The council adopted the resolution with that added condition.

Ending — Staff said the project will improve a long‑underutilized downtown property and provide four new residential units while maintaining retail activity, and the TDM conditions aim to reduce local vehicle demand rather than add parking pressure downtown.