Palo Alto ARB reviews preliminary design for new commercial building at 530–540 University Ave., flags zoning and rooftop issues

The Palo Alto Architectural Review Board on April 17 reviewed a preliminary proposal to demolish the buildings at 530 and 540 University Avenue and construct a new three‑story commercial building with ground‑floor retail, office space above and a private rooftop terrace.

City planner Christina Dupkaviches told the board the project as shown would be about 30,375 square feet and would use roughly 7,799 square feet of transferred development rights (TDRs). Dupkaviches said the proposal exceeds the zoning district height limit and would reach about 57 feet where the downtown code limits buildings to 50 feet: “The proposed improvements exceed the height of both the existing buildings and the height, restrictions in the zoning district, which is 50 feet, ... they’re proposing 57 feet.”

Why it matters: the design raises multiple code and permitting issues that must be resolved before a formal application — including whether the applicant will rely on costly TDRs, pursue a downtown zoning text amendment, or change the project to meet current envelope and daylight‑plane rules. Those choices affect whether the board’s future design comments can be implemented as shown.

What the board reviewed and what staff said

Dupkaviches said the applicant presented two lot‑merger options: (1) merge 530 and 540 University only, or (2) merge 530, 540 and the adjacent 500…