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San Luis Obispo council revokes planned-development overlay for 1144 Chorro Street
Summary
The City Council voted 5-0 to remove a planned development (PD) overlay that had enabled a 2020 mixed-use project at 1144 Chorro Street, returning seven parcels to their previous zoning to clear the way for individual development proposals.
The San Luis Obispo City Council voted 5-0 to introduce and adopt an ordinance revoking a planned development (PD) overlay associated with the 1144 Chorro Street mixed-use project, returning seven downtown parcels to their previous CD and CDH zoning.
City Associate Planner Hannah Hahn told the council the PD overlay was originally adopted to transfer unused density credits and allow a six-story Jamestown project approved in 2020 to be built at the desired density. Hannah Hahn said the property changed hands in 2023 and the new owner "is not pursuing the development project and has instead obtained permits to allow different uses at the site." She added the development approval itself has expired and that all affected property owners supported revocation as a zoning cleanup.
The action removes the overlay from seven properties along Truro, Hagera, Marsh and Monterey and restores the underlying CD and CDH zones. Council members framed the vote as a cleanup measure to reduce confusion on the zoning map and to allow individual properties to pursue separate projects.
Architect Greg Wen, who said he had chaired the Architectural Review Commission when the project originally came before ARC, urged the council to consider lessons learned from the lengthy approval process but said he supported the recommendation to release the zoning and return density rights to individual properties.
Council member Marx moved the ordinance; Vice Mayor Shoresman seconded. After roll call the motion passed 5-0. Mayor Erica A. Stewart announced the motion carried and the council recessed. The staff recommendation and vote will remove references to the expired project on the zoning map and allow applicants and staff to apply the standard CD/CDH regulations to new proposals.
The revocation affects only the PD overlay map designation; any future development proposals on the parcels will still need to follow applicable city processes including building permits, design review and any required environmental review.
Council members said the change could prompt new development opportunities downtown, while some acknowledged the earlier project reflected significant public and staff effort that ultimately did not proceed.
No amendments to the ordinance were made at the hearing; the action was presented as a cleanup item to the zoning map and approved by the council.
