Northeast development pause scoped by San Carlos

Northeast San Carlos, about 120 acres of land historically referred to as the Harbor Industrial Area, is the most recent focus of city officials who are looking to get ahead of what they suspect to be a development boom in the area, according to staff.

Since annexing the land in 1997, the city has not developed planning guidance for the area but prohibited nonindustrial uses in its 2030 General Plan, a guiding document prepared in 2009 that includes an environmental study for future development.

If an influx of development enters the northeast area as staff suspects, the city would be on track to surpass the 3.4 million square feet of commercial, office and industrial space studied in the General Plan for the entire city.

In response, the council has invested $1.5 million into a Northeast Area Specific Plan, a study intended to gather feedback from residents, business and property owners and other stakeholders in the area. Staff is recommending the council place a moratorium on most development until that study is complete, potentially spanning up to two years.

If approved, the ordinance, as written, would not apply to an 18-acre parcel owned by the Palo Alto Medical Foundation, which has a development agreement with the city to build a hospital within the next 10 years, precluding officials from hindering its efforts.

A proposed 401,072-square-foot research and development project at 642 Quarry Road could also be exempt given that its application has been deemed complete, however, the council could ask staff to amend the ordinance to apply to that project.

The moratorium would be a similar approach the city took toward development when developing its East Side Innovation District Vision Plan. The council spent about $500,000 to study its east side area after 10 developers, largely from biotech companies, submitted proposals that would have drastically changed the makeup of the district through nearly 3 million square feet of development.

Councilmembers agreed to pause the city’s review of those proposals to take a more holistic approach to welcoming development in the area. Specifically, the city was interested in determining what types of services local residents were eager to see welcomed.

From that 12-month process, staff developed the “10 Big Moves,” a collection of initiatives developers will be tasked with helping bring to life including adding more open space, developing a Green Boulevard down Industrial Road, improving Pulgas Creek, reducing traffic congestion, growing a vibrant business hub and supporting environmental initiatives such as recycled water infrastructure and toxin removal from soils.

But, to the dismay of residents and elected officials, the plan largely left out the development of housing as a stated objective despite facing a state-determined goal to help facilitate the construction of 2,735 new homes by 2031, a substantial increase from its current missed goal of about 600 new homes.

Alternatively, housing has been directly called out as focus for the Northeast Area Specific Plan despite staff’s assurances that the city can meet its new goal in other areas where housing is already allowed. Another key focus will be on studying the presence of toxins in soils in the area that could prohibit residential uses if not removed.

“It is imperative that the city consider the Northeast Area holistically in order to ensure that ad hoc development does not impair the city’s ability to maximize the area within the Northeast Area that is ‘suitable, feasible, and available for the development of housing sufficient to meet the locality’s housing need for all income levels,’” read the staff report.

The City Council will meet remotely via Zoom at 7 p.m. Monday, April 25, and will be streamed live at www.sancarlosca.iqm2.com and on Comcast Channel 27 and AT&T U-verse Channel 99. Remote public comments will be received by telephone during the meeting, prior to the close of public comment on an item. *67 (669) 900-9128, Meeting ID: 882 5614 0939.

sierra@smdailyjournal.com

(650) 344-5200, ext. 106