Campbell council approves 173-unit West Hamilton project under state density bonus; members press for affordable-unit guarantees

The Campbell City Council voted unanimously Jan. 20 to approve a major housing development permit and tentative subdivision map for a 3.8-acre site at 700 West Hamilton Avenue, authorizing a 173-unit project that uses California's density bonus provisions and seeks multiple concessions and waivers from local development standards.

Senior planner Steven Rose told the council the development would combine townhomes and a podium building and exceed the city's local inclusionary requirement by proposing 17 very-low- and 9 moderate-income units (the city's 15% inclusionary requirement would equate to an estimated 26 units). The applicant is requesting a concession to alleviate the ground-floor commercial requirement along Hamilton Avenue and is pursuing reduced parking and other waivers enabled by state density bonus law.

Council members repeatedly pressed staff and the applicant about where the affordable units would be located, and what guarantees exist to ensure those units are built on time. "It seems like the city's priority to develop affordable housing is not really the priority when you're allowing a concession possibly to have all of the affordable units in one building," one council member said, seeking protections against the affordable units becoming a last-phase item that may be delayed.

Staff said the concession framework allows negotiation of an alternative affordable-housing agreement that would be established by the community development director and the city attorney, with firm timelines and conditions of approval required before final subdivision map recordation and certain elements (such as right-of-way vacations) returning to council for separate action. Steven Rose emphasized that timing for affordable-housing construction often depends on outside financing; staff cited Low Income Housing Tax Credit processes and funding rounds as critical variables.

Developer Pamela Salas Neding of City Ventures, the project's applicant, said the original proposal had aimed for a 50% affordable building in partnership with an affordable-housing developer, but that the site falls outside designations (QCT/DDA) that can materially improve LIHTC financing. She said the proposal was revised to add deeper affordability so the developer could secure a second concession and create a path to partner with an affordable-housing provider. "No matter what, the city would be protected," she said, adding that the team would negotiate firm timing and financing plans.

The project calls for Spanish-style four-story townhomes and a podium building with a range of unit sizes; staff noted exemptions under the California Environmental Quality Act (a categorical exemption was identified in the staff report) and said the Planning Commission recommended approval at its Dec. 9 meeting. Staff also noted an existing rooftop cellular lease (Verizon) that may remain for up to about a year, requiring phasing and accommodations during construction.

Resident Steve Saunders spoke in public comment raising traffic and construction-route concerns for trucks accessing the site from Hamilton Avenue, urging council to require clear truck routing and traffic mitigation in construction plans.

Council Member Lopez moved to approve staff's recommendation; the motion was seconded and passed on a unanimous roll call. Council members said they would monitor staff's negotiations to protect the delivery of affordable units and the timing of construction milestones.

Under the council's action, staff will continue to negotiate the alternative affordable-housing agreement with the applicant and, where required by conditions (for example right-of-way matters), return to council for subsequent approvals.