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Planning Commission approves three‑year extension for Avenue of the Arts Hotel master plan
Summary
The commission granted a three‑year time extension for the Avenue of the Arts Hotel master plan, vesting the approved project (388 rooms, 249 permanent parking, 78 valet spaces, 115 ft max height, 2.1 FAR) until November 2028, citing economic and financing delays.
The Costa Mesa Planning Commission on Jan. 26 approved a three‑year time extension for the Avenue of the Arts Hotel master plan (ZA22-08), a previously approved master plan that the staff said includes 388 hotel rooms, 249 permanent parking spaces plus 78 valet stalls, a maximum height of 115 feet and a 2.1 floor‑area ratio.
Senior planner Chris Yeager told commissioners the applicants cited unforeseen economic and financing challenges — including elevated interest rates and supply‑chain issues for custom materials — as the reasons for seeking additional time. Paul Sanford, the applicant, said the hospitality market has been through a difficult cycle but the development team expects financing conditions to improve and requested additional time to secure permits and partners.
If approved, Yeager said, the permit would be vested until November 2028; building permits will permanently vest the project. Commissioners moved and seconded to approve the extension and to determine that no subsequent or supplemental EIR is required because the previously certified EIR adequately addresses the project's environmental impacts. The motion carried 6‑0.
The commission expressed support for the project's role in the city's visitor-serving economy and urged the applicants to move forward as market conditions stabilize.
