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Planning commission backs renovation of San Carlos Elms, approves design review and conditional use permit
Summary
The Planning & Transportation Commission unanimously recommended council approval of design review, a conditional use permit and a PD amendment for 707 Elm Street (San Carlos Elms), approving a 6,200 sq ft addition and interior remodel that yields three net new units and updates resident services.
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The Planning and Transportation Commission on March 2 recommended the City Council approve entitlements for 707 Elm Street, the San Carlos Elms senior living facility, including design review, a conditional use permit and an amendment to the planned development to allow a 6,200‑square‑foot addition and interior remodel that will yield three net new units.
Assistant planner Diana Skaggs presented the staff report, saying the project proposes to add two new floors to the center wing, expand dining facilities, add a fitness center and salon, and install a new emergency generator. Skaggs said the existing facility serves roughly 126 residents in about 103 units, including 21 below‑market‑rate units and 14 memory‑care units, and that the entitlements would update permit conditions to allow up to 130 residents and modernize building operations. She noted the project qualifies for a categorical exemption under CEQA Section 15301 for existing facilities.
Kristen Anderson, president of the San Carlos Development Corporation, urged the commission to approve the renovation to keep the Elms competitive and preserve affordability. "We really do need this in order to keep competitive and keep up with the needs of our residents and their families going forward," Anderson said. Board member Mike Garvey described the project's history and said the facility fills a local need: "We would like to have another 30 successful years where local residents feel comfortable moving here."
Commissioners focused on construction phasing, resident relocations and the proposed diesel backup generator. Applicant representatives said the generator will be sited below grade with a four‑foot concrete screen and that vents will be placed 12 feet above adjacent walking surfaces; staff and the applicant said required permitting will include the Air Quality District and fire marshal reviews. "We've actually created ... a fireplace on the patio outside the generator ... to hide the flue," the project architect said when explaining screening for neighbors.
A remote neighbor, Donna Lira, said she was concerned about generator noise and emergency response access during construction: "There's a lot of noise that echoes out of that garage ... I do have my concerns about that generator and being below ground and how it'll penetrate through the garage," Lira said. Applicants responded that phasing and temporary relocations will be used to manage resident safety and comfort and that incentives will be offered to residents who accept temporary moves.
A commissioner moved to adopt a resolution recommending City Council introduce an ordinance to amend the planned development and to approve the conditional use permit and design review for the San Carlos Elms (707 Elm Street). Both parts of the motion passed unanimously on roll call. The commission's action is final unless appealed to the City Council within 10 days; the deadline to file an appeal is 5 p.m. Thursday, March 12, 2026.
The next step is a City Council hearing; staff said HUD financing review is underway and that building permits and additional agency approvals (Air Quality District, fire marshal) will be required before construction begins.

