REPORT TO PLANNING COMMISSION
SUBJECT
Title
Proposed Project: Related applications on a 4.44-acre site:
SPECIAL DEVELOPMENT PERMIT: to demolish the existing 96,410 square foot one-story industrial building and construct 137 townhome style condominiums within 13 three-story buildings.
VESTING TENTATIVE PARCEL MAP: to create 137 condominium units and subdivide into four lots.
Location: 1484 Kifer Rd (APN: 216-27-023)
File #: PLNG-2025-0451
Zoning: Flexible Mixed-Use II (MXD-II)
Applicant / Owner: City Ventures / Fortinet Inc.(applicant/owner)
Environmental Review: The environmental impacts of the project are addressed in the 2016 Lawrence Station Area Plan Environmental Impact Report (EIR - State Clearinghouse No. 2013082030) and 2021 Lawrence Station Area Plan Update/Intuitive Surgical Corporate Campus Project Subsequent Environmental Impact Report (SEIR - State Clearinghouse No. 2019012022). No additional review is required pursuant to California Environmental Quality Act (CEQA) Guidelines Sections 15162 and 15182.
Project Planner: Aastha Vashist, (408) 730-7458, avashist@sunnyvale.ca.gov
Report
REPORT IN BRIEF
General Plan: Transit Mixed-Use
Existing Site Conditions: One-story industrial building
Surrounding Land Uses
North: Industrial buildings across Kifer Road
South: One-story industrial buildings
East: Industrial buildings across Uranium Drive
West: One-story industrial buildings
Staff Recommendation: Approve the Special Development Permit based on Recommended Findings in Attachments 3 and Recommended Conditions of Approval in Attachments 4.
BACKGROUND
Description of Proposed Project
The 4.44-acre corner lot at the intersection of Kifer Road and Uranium Drive is currently developed with a 96,419-square-foot, one-story industrial building and a surface parking area. The proposed project includes demolition of the existing building and construction of 137 two-story, townhome-style residential units distributed across 13 buildings.
Attachment 1 provides a map of the project vicinity and the mailing notification area. Attachment 2 includes the project Data Table.
A Special Development Permit (SDP) is required for new construction of permitted uses within the Lawrence Station Area Plan (LSAP). A Tentative Parcel Map is also required to subdivide the property into four lots and to establish 137 condominium units.
State Housing Legislation
The applicant is utilizing the California Density Bonus Law (Government Code Section 65915), which incentivizes the production of affordable housing in projects that provide at least 10% of units for moderate-income households. By proposing 28 affordable units (approximately 20.4%, exceeding the minimum 15% requirement under SMC 19.67.050), the applicant qualifies for the following benefits under the Density Bonus Law:
Previous Actions on the Site
The applicant filed an SB 330 Preliminary Application (PLNG-2025-0546) for the site’s redevelopment, including 136 residential units and related improvements on September 24, 2025. Per state law, the application is only subject to the City’s fees, ordinances, policies, and standards adopted and in effect at that time.
EXISTING POLICY
General Plan Goals and Policies: Key goals and policies from the Land Use and Transportation and Housing Chapters of the General Plan that pertain to the proposed project are provided in the Recommended Findings in Attachment 3.
Applicable Design Guidelines: A complete list of goals, policies, and design guidelines from the Lawrence Station Area Plan and Citywide Objective Design Standards that pertain to the proposed project are also in Attachments 3.
ENVIRONMENTAL REVIEW
A program‑level Environmental Impact Report (EIR) was prepared for the Lawrence Station Area Plan (LSAP) upon its original adoption in 2016 (State Clearinghouse No. 2013082030), in accordance with the California Environmental Quality Act (CEQA). The EIR evaluated the broad environmental effects associated with the development intensities allowed under LSAP. Certification of the 2016 EIR included adoption of a Mitigation Monitoring and Reporting Program (MMRP) to reduce potentially significant impacts to less‑than‑significant levels where feasible. Some impacts-specifically air quality and traffic-were determined to be significant and unavoidable even with mitigation, and a Statement of Overriding Considerations was adopted in conjunction with the LSAP.
The LSAP was updated in 2021 to expand the plan boundary and increase housing capacity. The City prepared a Draft and Final Subsequent Environmental Impact Report (SEIR) for the LSAP Update (State Clearinghouse No. 2019012022). The SEIR provided a program‑level analysis of the proposed amendments and included an updated MMRP and Statement of Overriding Considerations for air quality and wastewater impacts. The applicable LSAP MMRP requirements have been incorporated into the Recommended Conditions of Approval in Attachments 4.
To evaluate the proposed project’s consistency with the certified 2016 EIR and 2021 SEIR, the City’s consultant, Ascent Environmental, prepared an environmental checklist for the site (Attachment 6). The checklist analyzes whether the project’s environmental impacts fall within the scope of the prior EIRs or whether changed circumstances or new information would result in new or substantially more severe impacts than previously disclosed. Several project‑specific technical studies were also prepared, including a noise study, Phase I Environmental Site Assessments, a geotechnical investigation, a biological resources assessment, an archaeological study, and an arborist report.
Based on staff’s review of the project and supporting technical studies, the proposed development is consistent with the environmental analysis contained in the certified LSAP EIR and LSAP Update SEIR. No new significant impacts or substantially more severe impacts were identified that would require additional environmental review under CEQA Guidelines Sections 15162 and 15182.
DISCUSSION
Present Site Conditions
The project site is located at 1484 Kifer Road, at the southwest corner of the intersection of Kifer Road and Uranium Drive. The site lies east of Lawrence Expressway and is approximately 0.75 miles east of Lawrence Station. The property is currently developed with an approximately 96,410-square-foot, one-story industrial building with partially subterranean parking and asphalt surface parking, accessed from a driveway on Uranium Drive.
The immediate surrounding area includes a mix of industrial uses, and the site is situated at the border between the cities of Sunnyvale and Santa Clara.
Site Design and Layout
The proposed project includes 13 three‑story residential townhome buildings and a one‑story community building. Together, the buildings contain a total of 137 units. Two buildings front Kifer Road, two front Uranium Drive, four are located near the center of the site, and the remaining five buildings are situated along the southern and western property lines.
The unit mix consists of four one‑bedroom units, four two‑bedroom units, and 129 three‑bedroom units. Unit sizes range from 478 to 2,105 square feet, with an average size of approximately 1,280 square feet. All units, except the one‑bedroom units, include an attached one‑ or two‑car garage. The project also provides five centrally located unassigned surface parking spaces.
Vehicular access is proposed through two driveways with one on Kifer Road and the second on Uranium Drive. Internal pedestrian pathways connect residential buildings to the common open space areas and both street frontages.
The site includes three distinct common open space areas. The two larger central spaces feature outdoor seating, bicycle parking, and lawn areas for resident use. A smaller publicly accessible open space is located near the southwest portion of the site and includes bicycle parking, outdoor seating, and the community building. Additional landscaping is proposed along the site perimeter. Consistent with LSAP policy, the applicant also proposes a publicly accessible, Class I shared‑use path along the southern side of the property.
Architecture
The proposed architectural style is contemporary. Building designs feature hip roofs with composition shingle tiles, rectilinear floor plans, varied wall planes, and a mix of stucco, stone veneer, and horizontal siding. Architectural articulation is provided through projecting balconies, windows, entry porches, and wall plane offsets. A complementary, earthy color palette is used across the buildings to create visual interest throughout the site. Street-facing units include individual entries and walkways that connect directly to the public sidewalk.
The recreation building, located within the common open space near the southwest corner of the site, also incorporates a hip roof with composition tiles and a combination of stucco and stone veneer materials.
Staff finds that the proposed architectural design is substantially consistent with the Citywide Objective Design Standards for Multi-family and Mixed-Use Development (ODS), as demonstrated through the use of high-quality materials, varied architectural forms with depth and accents, and pedestrian-scaled elements that create an engaging ground-floor environment. See Attachment 5 for architectural and site plans.
Development Standards
The project complies with applicable development standards, including lot coverage, building height, parking, and solar access. The applicant is utilizing the State Density Bonus Law and is requesting waivers from 16 development standards. The Project Data Table in Attachment 2 summarizes the project’s compliance with the development standards of the Sunnyvale Municipal Code (SMC).
State Density Bonus Law
The project will include 28 units available for sale to moderate-income households (20% affordable). This level of affordability qualifies the project for the State Density Bonus Law and allows the applicant to request two concessions and an unlimited number of waivers of physical development standards.
Concessions
The project is entitled to two concessions, which permit relief from objective regulatory requirements when such relief results in identifiable and actual cost reductions. The applicant is requesting concessions related to two Below Market Rate (BMR) requirements including unit size and location.
Unit Size
Under SMC Section 19.67.070(d), BMR units must be at least 75 percent of the average size of market-rate units with the same number of bedrooms. The average market-rate unit in the project is 1,404 square feet, resulting in a minimum required BMR unit size of 1,053 square feet. The proposed BMR units are 795 square feet which is approximately 57 percent of the average market-rate unit size. The applicant states that providing smaller three-bedroom BMR units would reduce the cost of development as smaller units require fewer materials and is necessary to achieve the minimum required density within a townhome configuration. They further assert that the reduced unit size allows them to meet both the minimum density and the bedroom count requirements for BMR units.
1.
2. Unit Location
SMC Section 19.67.070(a) requires BMR units to be evenly distributed throughout the project. In the proposed layout, half of the BMR units are located within two buildings along Kifer Road; three are located in a building along Uranium Drive; three in a building along the west property line; and the remaining eight in two interior buildings. The applicant states that a more dispersed distribution of units with varying depths across the site would reduce the total number of units that could be accommodated. They further state that clustering units helps reduce construction costs, as it is more efficient to construct townhome buildings when all units within a building are the same size.
Waivers
Unlimited waivers of development standards may be granted under the State Density Bonus Law when an applicant demonstrates that compliance with the standards would physically preclude construction of the proposed development at the permitted density. The applicant has provided a letter and exhibits supporting these requests (Attachment 7). The applicant is requesting the following 16 waivers:
1. Minimum Distance Between Main Buildings
SMC 19.48.030 requires a minimum 26-foot separation between main buildings. The project proposes a minimum separation of 12 feet.
2. Minimum Front Yard Setback
SMC 19.35.070 requires a minimum 15-foot front setback. The project proposes a 3’-6” setback along Kifer Road and an 8-foot setback along Uranium Drive.
3. Minimum Parking Lot Landscaping
SMC 19.46.120 requires parking lot landscaping of at least 20%. The project provides approximately 2%, noting that the development includes only six uncovered parking spaces and no conventional parking lot.
4. Minimum Parking Lot Shading
SMC 19.46.120 requires at least 50% shading of parking lot areas. The project provides approximately 10% shading due to having only six uncovered parking spaces and no conventional parking lot.
5. Minimum Landscape Frontage
SMC 19.37.040 requires a minimum 15-foot landscaped frontage. The project provides a 3’-6” landscaped frontage.
6. Maximum Tandem Parking Spaces
SMC 19.46.060 limits tandem parking to 50% of total spaces. The project proposes approximately 52% tandem spaces.
7. Undergrounding of Transformers
SMC 19.38.090 requires transformers located between a public street and the front of buildings to be underground. The project proposes above-ground transformers along Kifer Road and Uranium Drive.
8. Transformer Location and Screening
SMC 19.38.020 prohibits mechanical equipment, including transformers, from being located between the building frontage and required screening. The project proposes transformers along the Kifer Road and Uranium Drive frontages.
9. Minimum Dimension of Shared-Use Path
LSAP SU-UDG1 and SU-UDG2 recommend a 22-foot-wide publicly accessible Class I shared-use path with separate pedestrian and bicycle routes. The project proposes a 16-foot-wide easement containing a 10-foot multi-use path with 2-foot and 4-foot shoulders. The applicant also proposes a 0.03-acre parkette north of the path to enhance usability. The applicant states that meeting the full requirement would physically preclude the development at the permitted density.
10. Ground-Floor Plate Height
ODS Standard 2.2 requires a minimum 14-foot ground-floor plate height. The project proposes a 9-foot plate height, consistent with typical townhome construction.
11. Service-Restricted Parking Spaces
ODS Standard 5.2.4 requires each building to include a dedicated 350-square-foot service-restricted parking space within 10 feet of the building. This would require 13 such spaces, which the applicant states would physically preclude the project at the allowed density.
12. Undergrounding Exception Requirements
ODS Standard 5.6.2.2 requires specific measures when electrical transformers cannot be undergrounded. The applicant requests a waiver from these measures, stating that application of the standard would physically preclude the project as permitted under State Density Bonus Law.
13. Tree Canopy Coverage
ODS 7.4.4 requires trees, shrubs, or vegetated structures to shade at least 50% of all hardscaped areas. The applicant states meeting this requirement would require significantly more landscaped area, reducing the number of units below the minimum allowed density.
14. Internal Pathway Landscaping
ODS 7.5.5 requires multi-use pathways in common open space areas to include 10-20% non-asphalt/concrete materials, 75% deciduous tree plantings spaced 25-50 feet apart, and restrictions on fruiting/flowering trees near walkways. The applicant states the site does not have sufficient area to meet these requirements while maintaining density, and strict compliance would make the project physically infeasible.
15. Minimum Tree Planting in Common Open Space
ODS 7.4.4 requires one tree per 300 square feet of landscaped area. The project proposes 102 trees (approximately one per 1,000 square feet). Meeting the requirement would necessitate reconfiguring the site and reducing unit count below the minimum density.
16. Garage Door Landscaping Requirement
ODS 3.6.1.2 requires 3- to 6-foot-wide landscaped strips between consecutive at-grade garages. Fourteen units propose a 2’-6” strip, which is 6 inches below the minimum.
Parking
The project is subject to the State Density Bonus Law parking standards, which require a total of 202 parking spaces (1.5 spaces per two- and three-bedroom unit, one space per one-bedroom unit, and no requirement for unassigned spaces). The project provides 244 parking spaces, including six uncovered, unassigned spaces within the development. This exceeds the State Density Bonus Law requirement by 42 spaces.
Most townhomes include private garages, with 24 of the three-bedroom units and all two-bedroom units featuring one-car garages, and 105 of the three-bedroom units featuring two-car garages. Garage sizes range from approximately 320 square feet (one-car) to 605 square feet (two-car).
The project meets the minimum bicycle parking requirement by providing eight Class I spaces (located within garages) and ten Class II spaces (provided on racks).
Approximately 60 percent of the garage parking spaces are tandem, exceeding the 50-percent maximum allowed under SMC 19.46.060. The enclosed two-car garages also satisfy the secured bicycle parking and lockable storage requirements. For one-bedroom units, the requirement is met by providing 216 cubic feet of lockable storage space. For units with one-car garages, the project provides 300 cubic feet of lockable storage within the garage, satisfying the requirement.
Landscaping and Tree Preservation
The project exceeds the minimum landscaped area requirement by providing 40,145 square feet of landscaping (20.7% of the site), compared to the required 38,109 square feet (20%). The project also exceeds the minimum usable open space requirement by providing 213 square feet per dwelling unit, where 50 square feet per unit is required. The conceptual landscape plan includes trees, shrubs, and groundcover along the site’s periphery and within common open space areas.
The applicant submitted an arborist report evaluating the health and condition of all 14 onsite and street trees. Existing trees that meet the City’s definition of “protected” under SMC Chapter 19.94 (38 inches or greater in circumference, measured 4.5 feet above grade) were identified. The applicant proposes removing five trees due to conflicts with the proposed site layout. Protected trees must be replaced in accordance with the City’s Tree Replacement Standards. The applicant proposes 92 new 24-inch box trees and five 36-inch box trees, which exceeds the replacement requirements.
Trash and Recycling Access
The project will utilize single-family recycling and garbage service, with individual carts staged on-site during collection either in front of garage doors or along the private streets. The applicant has coordinated with Environmental Services and Public Works staff, who have confirmed that the internal circulation layout meets the requirements for solid waste and recycling collection vehicles.
Vesting Tentative Map
The Vesting Tentative Map calls for subdivision of the existing lot into four lots with 137 condominiums. A Homeowners Association (HOA) will ensure ongoing maintenance of common areas such as public pedestrian access, private utilities, and public utilities
Off-Site Improvements
The project includes installation of new curb and gutter, a ten-foot-wide sidewalk along Kifer Road, and a six-foot-wide sidewalk along Uranium Drive, as well as new driveway approaches, streetlights, street trees, and slurry seal along the project frontage. The applicant will upgrade water, sewer, storm drain, and dry utilities in accordance with the Sunnyvale Municipal Code. In addition, the applicant proposes a new six-foot-wide bike lane along Uranium Drive.
Effective July 1, 2023, the Regional Water Quality Control Board updated stormwater regulations to require treatment of impervious surface areas created or replaced within the public right-of-way, including new sidewalks and driveway approaches. The applicant has coordinated with DPW staff to ensure the proposed stormwater management plan complies with these requirements.
Fiscal Impact
The project is subject to payment of a park in-lieu fee, transportation impact fee, Lawrence Station Area Plan (LSAP) residential wastewater and sense of place fee. School impact fees must also be paid to the school district. Other standard fees and taxes apply.
Public Contact
The Planning Commission meeting agenda is available on the City’s website and posted on the City's official-notice bulletin board at City Hall. In addition, the agenda and this report are available at the City Hall reception desk located on the first floor of City Hall at 456 W. Olive Avenue (during normal business hours).
330 public hearing notices were sent to surrounding property owners and residents within a1,000-foot radius of the subject site in addition to standard noticing practices including advertisement in the Sunnyvale Sun Newspaper and on-site posting. No letters or calls were received from the public by staff.
Neighborhood Outreach Meeting
The applicant held a community outreach meeting on December 17, 2025, and notified property owners and residents within 1,000 feet of the site. The meeting was held in person, and no members of the public attended.
Planning Commission Study Session
On January 26, 2026, the Planning Commission reviewed the project at a study session and raised the following key concerns with the project as then proposed:
• Applicants were proposing the minimum number of units based on minimum required density;
• Concerns were raised regarding the requested BMR unit bedroom count, size, and location; and
• Questions regarding the details of the proposed Class I shared use path.
At the time of the study session, the applicant proposed 24 BMR units, including three three-bedroom units, eleven one-bedroom units, and ten studio units. A significant concern for the Planning Commission was the inclusion of studio units that were only 260 square feet in size, all of which were proposed as BMR units. Since then, the applicant has worked closely with City staff and revised the proposal to include 28 BMR units comprised of four two-bedroom units and 24 three-bedroom units. With these revisions, the project no longer requires a concession related to the average bedroom count requirement and the applicant is no longer proposing studio units.
The applicant stated that the proposed density is necessary to maintain project financial feasibility. The applicant also worked with the Traffic Division to refine and finalize details of the proposed 16-foot-wide Class I shared-use path. The path will be further improved and expanded upon future development of the property to the south. Staff has included a condition of approval requiring the applicant to allow expansion and enhancement of the shared-use path when the adjacent property redevelops.
ALTERNATIVES
1. Determine that the project is consistent with the Lawrence Station Area Plan (LSAP) EIR and LSAP Update Subsequent EIR pursuant to CEQA Guidelines Sections 15162 and 15182 and approve the Special Development Permit and Vesting Tentative Parcel Map based on Recommended Findings in Attachment 3 and Recommended Conditions of Approval in Attachment 4.
2. Determine that the project is consistent with the Lawrence Station Area Plan (LSAP) EIR and LSAP Update Subsequent EIR pursuant to CEQA Guidelines Sections 15162 and 15182 and approve the Special Development Permit and Vesting Tentative Parcel Map based on Recommended Findings in Attachment 3 and with modified Recommended Conditions of Approval in Attachment 4.
3. Do not make the required findings and direct staff where changes should be made.
STAFF RECOMMENDATION
Recommendation
Alternative 1: Determine that the project is consistent with the Lawrence Station Area Plan (LSAP) EIR and LSAP Update Subsequent EIR pursuant to CEQA Guidelines Sections 15162 and 15182 and approve the Special Development Permit and Vesting Tentative Parcel Map based on Recommended Findings in Attachment 3 and Recommended Conditions of Approval in Attachment 4.
JUSTIFICATION FOR RECOMMENDATION
The proposed project furthers and promotes the vision, guiding principles, goals, and policies of the City of Sunnyvale General Plan and Lawrence Station Area Plan (LSAP) by providing 137 ownership housing units and a project design that contributes toward an improved quality of life, a more balanced job-to-housing ratio, and minimizing sprawl. The project would also add to the City’s affordable housing stock by reserving 28 units for moderate income households.
The project also contributes to a vibrant, attractive community, with a positive image, high standards of architectural design (complying with most of the objective design standards for multi-family and mixed-use developments), and an enhanced pedestrian experience along the streetscape. It also contributes to the City’s diversity of housing stock, providing townhome style condominium type ownership housing for Sunnyvale residents. The project would enhance the image of the City of Sunnyvale and would create a vital and attractive environment for businesses, residents, and visitors within the LSAP plan area.
Levine Act
LEVINE ACT
The Levine Act (Gov. Code Section 84308) prohibits city officials from participating in certain decisions regarding licenses, permits, and other entitlements for use if the official has received a campaign contribution of more than $500 from a party, participant, or agent of a party or participant in the previous 12 months. The Levine Act is intended to prevent financial influence on decisions that affect specific, identifiable persons or participants. For more information see the Fair Political Practices Commission website: www.fppc.ca.gov/learn/pay-to-play-limits-and-prohibitions.html
An “X” in the checklist below indicates that the action being considered falls under a Levine Act category or exemption:
SUBJECT TO THE LEVINE ACT
_x__ Land development entitlements
___ Other permit, license, or entitlement for use
___ Contract or franchise
EXEMPT FROM THE LEVINE ACT
___ Competitively bid contract*
___ Labor or personal employment contract
___ Contract under $50,000 or non-fiscal
___ Contract between public agencies
___ General policy and legislative actions
* "Competitively bid" means a contract that must be awarded to the lowest responsive and responsible bidder.
Staff
Prepared by: Aastha Vashist, Principal Planner
Approved by: Shaunn Mendrin, Planning Officer
ATTACHMENTS
1. Noticing and Vicinity Map
2. Project Data Table
3. Recommended Findings
4. Recommended Conditions of Approval
5. Architectural and Site Plans
6. Environmental Checklist prepared by Ascent
7. State Density Bonus Justification Letter by Applicant