DMV Site Development Update from Attorney, Mark McGuire.

We have received an update from our attorney, Mark McGuire, regarding the proposed development of the DMV site. According to Mr. McGuire, it is his understanding that Space Investment Partners, the owner of the property, has determined that the site does not qualify for residential development “by right” under California Assembly Bill 2011.

What Is AB 2011?

California Assembly Bill 2011, also known as the Affordable Housing and High Roads Jobs Act, was signed into law in 2022 and became effective in July 2023. The legislation aims to address housing affordability, climate change, and job creation by streamlining the approval process for eligible multifamily housing developments on commercially zoned properties, thereby bypassing the City’s discretionary review process.

Discretionary Application Process Now Required

Initially, the property owner believed AB 2011 applied to the site. However, due to the property’s location within the Coastal Zone and the presence of sensitive resources on or near the site, the owner has concluded that AB 2011 does not apply.

As a result, the landowner now intends to pursue a fully discretionary application process. This would include submitting a General Plan Amendment and a Zone Change request to allow residential development on the property. Mayor Rick Loeffler will notify the community once the developer formally submits its application to the City.

Community Involvement

The Shorecliffs community will have the opportunity to provide input during the discretionary review process. Ultimately, the decision regarding what may be permitted on the site will rest with the San Clemente City Council.

In other words, provided circumstances do not change at the state level, it appears that the worst-case scenario of a high-density, “by-right” residential development is no longer likely.

Parking Lot Easement

The Board has verified that the easement allowing parking in the association’s private parking lot was extinguished through litigation pursued in 1991 by a previous Shorecliffs Board, even though title reports still reflect that easement. The City and the developer have received the recorded judgment.