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Exhibit 22 - Required Findings and ConsiderationsS:\PLANNING COMMISSION REPORTS\2025\10-29-2025 SPECIAL\Item 1 - N40 Phase II\Exhibit 22 - Required Findings and Considerations.docx PLANNING COMMISSION – October 29, 2025 REQUIRED FINDINGS AND CONSIDERATIONS FOR: 14859, 14917, 14925, and 16392 Los Gatos Boulevard; 16250, 16260, and 16270 Burton Road; and Assessor Parcel Number 424-07-116 Architecture and Site Application S-23-031 and Subdivision Application M-23-005 Consider a Request for Approval to Construct a Mixed-Use Residential Development (450 Units), a Vesting Tentative Map, Site Improvements Requiring a Grading Permit, and Removal of Large Protected Trees Under Senate Bill 330 (SB 330) on Property Zoned North Forty Specific Plan: Housing Element Overlay Zone. Located at 14859, 14917, 14925, and 16392 Los Gatos Boulevard; 16250, 16260, and 16270 Burton Road; and Assessor Parcel Number 424-07-116. APNs 424-07-009, -052, -053, -081, - 094, -095, -115, and -116. Additional Environmental Review is Necessary Pursuant to CEQA Guidelines Section 15183: Projects Consistent with a Community Plan, General Plan, or Zoning Since the Proposed Project’s Environmental Impacts were Adequately Addressed in the 2040 General Plan EIR. Property Owner: Yuki Farms LLC Applicant: Grosvenor Property Americas c/o Steve Buster Project Planner: Jocelyn Shoopman FINDINGS Required finding for CEQA: ■ An Initial Study was prepared for the project concluding that additional environmental review is not necessary pursuant to California Environmental Quality Act (CEQA) Guidelines Section 15183: Projects Consistent with a Community Plan, General Plan, or Zoning since the proposed project’s environmental impacts were adequately addressed in the 2040 General Plan EIR. Required finding for consistency with the Town’s General Plan: ■ That the project is consistent with the General Plan with the incentives, concessions, waivers, and parking reductions requested pursuant to State Density Bonus Law. Required findings to deny a Subdivision application: ■ As required by Section 66474 of the State Subdivision Map Act, the map shall be denied if any of the following findings are made: None of the findings could be made to deny the application. EXHIBIT 22 S:\PLANNING COMMISSION REPORTS\2025\10-29-2025 SPECIAL\Item 1 - N40 Phase II\Exhibit 22 - Required Findings and Considerations.docx Instead, the Town Council makes the following affirmative findings: a. That the proposed map is consistent with all elements of the General Plan. b. That the design and improvement of the proposed subdivision is consistent with all elements of the General Plan. c. That the site is physically suitable for the type of development. d. That the site is physically suitable for the proposed density of development e. That the design of the subdivision and the proposed improvements are not likely to cause substantial environmental damage nor substantially and avoidably injure fish or wildlife or their habitat f. That the design of the subdivision and type of improvements is not likely to cause serious public health problems. g. That the design of the subdivision and the type of improvements will not conflict with easements, acquired by the public at large, for access through or use of property within the proposed subdivision. Required compliance with the Zoning Regulations: ■ The project meets the objective standards of Chapter 29 of the Town Code (Zoning Regulations) with the concessions, waivers, and parking reductions requested pursuant to State Density Bonus Law. Required compliance with the North Forty Specific Plan: ■ The project meets the objective standards of the North 40 Specific Plan with the concessions, waivers, and parking reductions requested pursuant to State Density Bonus Law. Required compliance with the Town of Los Gatos Objective Design Standards for Qualifying Multi-Family and Mixed-Use Residential Development: ■ The project meets the Town of Los Gatos Objective Design Standards for Qualifying Multi- Family and Mixed-Use Residential Development with the waivers requested pursuant to State Density Bonus Law. Required for granting concession and waivers pursuant through State Density Bonus Law: Concession(s) or incentive(s) ■ CA Government Code Section 65915: (d) The Town shall grant concession(s) or incentive(s) requested by the applicant unless the Town makes a written finding, based upon substantial evidence, of any of the following: (A) The concession or incentive does not result in identifiable and actual cost reductions, consistent with subdivision (k), to provide for affordable housing costs, S:\PLANNING COMMISSION REPORTS\2025\10-29-2025 SPECIAL\Item 1 - N40 Phase II\Exhibit 22 - Required Findings and Considerations.docx as defined in Section 50052.5 of the Health and Safety Code, or for rents for the targeted units to be set as specified in subdivision (c). (B) The concession or incentive would have a specific, adverse impact, as defined in paragraph (2) of subdivision (d) of Section 65589.5, upon public health and safety or on any real property that is listed in the California Register of Historical Resources and for which there is no feasible method to satisfactorily mitigate or avoid the specific, adverse impact without rendering the development unaffordable to low-income and moderate-income households. (C) The concession or incentive would be contrary to state or federal law. Waivers ■ CA Government Code Section 65915 (a)(2): The Town shall grant waivers to the Town’s development standards requested by the applicant unless the Town makes a written finding, based upon substantial evidence, that the development standard for which the waiver is requested would not physically preclude the construction of the development at the densities and with the concession permitted through State Density Bonus Law. Required finding pursuant to state density bonus law and the state Housing Accountability Act for imposition of the condition regarding construction of the affordable housing units: 1. In accordance with Government Code Section 65915(d)(1)(C), the Town finds that the applicant’s requested incentive/concession to phase or delay development of the below market price units until after all of the market rate townhomes have been developed, with no schedule for developing the affordable units or evidence that financing can be obtained for the affordable units, is contrary to state law, as follows: a. The Housing Crisis Act of 2019 (Government Code Sections 66300.5 and 66300.6) provides that the Town shall not approve a housing development project that proposes to demolish one or more protected units (as that term is defined in state law) unless the housing development project will replace each demolished protected unit with a comparable new unit in the new development and provide each lower-income household that is displaced with a right to return to a comparable unit in the new development at a rent and housing cost that is affordable to their household. There are currently eight residential dwelling units on the project site, which will be demolished in order to develop the project. Four of these units qualify as a “protected unit” because they have or have been occupied by a lower-income household in the past five years. As proposed with the requested incentive/concession, the project is contrary to state law because the protected units will be demolished with no assurance that they will ever be S:\PLANNING COMMISSION REPORTS\2025\10-29-2025 SPECIAL\Item 1 - N40 Phase II\Exhibit 22 - Required Findings and Considerations.docx replaced with comparable and affordable units in the new development and that the lower-income households residing in those protected units will be provided with a right to return. b. State density bonus law requires that the applicant agree to construct housing development containing specified percentages of affordable units to be eligible for incentives, concessions, and waivers. As proposed, the requested incentive/concession is contrary to state law, because the applicant has not agreed to construct the required affordable units needed to entitle the project to two concessions and numerous waivers of development standards. 2. Because the requested concession is contrary to state law, the Town denies the concession. 3. To ensure that the project complies with state law and to maintain the project’s eligibility for the requested concessions and waivers, the Town is adopting a condition of approval to require that the affordable units be constructed concurrently with the rest of the project. 4. In accordance with Government Code Section 65589.5, the Town finds that the condition of approval related to the provision of affordable units is necessary for the project to comply with state law and the Town’s standards and policies, which are consistent with meeting the Town’s share of the regional housing need pursuant to Section 65584, because: a. Government Code Section 65915 (b)(1) and (d)(2) required that the applicant provide 17% of the total units in the project as affordable to lower-income households in order to be eligible for a density bonus, two incentives/concessions, and waivers; and b. The Town’s Below Market Price housing regulations require that 20% of the market-rate housing units be affordable to low-income households. Required finding for consistency with California Government Code Section 65863 regarding state RHNA requirements, the Town’s Housing Element Sites Inventory, and No Net Loss Law: As required by Government Code Section 65863 to approve this housing development project, the Town makes the following No-Net-Loss findings: ▪ The applicant proposes a housing development project on one or more parcels identified in the Sites Inventory of the Town’s Housing Element; ▪ The applicant proposes to provide fewer units by income category than was identified for those parcels in the sites inventory. Specifically, the project will provide fewer Very Low- and Moderate-Income units than identified in the Housing Element Sites Inventory, but will provide more Low- and Above Moderate-Income units; ▪ The remaining sites identified in the Sites Inventory of the Town’s Housing Element are not adequate to meet the requirements of Section 65583.2 and to accommodate S:\PLANNING COMMISSION REPORTS\2025\10-29-2025 SPECIAL\Item 1 - N40 Phase II\Exhibit 22 - Required Findings and Considerations.docx the Town’s regional housing needs allocation (RHNA) for the planning period by income category, specifically its RHNA for the Very Low- and Moderate-Income categories pursuant to Section 65584; ▪ The remaining unmet need for the Town’s RHNA at each income level and the remaining capacity of the sites in the Town’s Housing Element are quantified in the table below, which is incorporated in the Town’s findings; and ▪ Within 180 days of approval of the project, the Town will identify and rezone additional site(s) to accommodate its remaining RHNA for the Very Low- and Moderate-Income categories. No Net Loss Evaluation Evaluation of the Proposed Project’s Impact on the Cumulative Housing Element Sites Inventory Surplus Units by Income Category Very Low Low Moderate Above Moderate Net Total Housing Element Sites Inventory Surplus 101 78 138 558 601 Net Site-Level Impact from the Proposed Project to Housing Element Assumed Development Potential -117 -79 -92 286 -14 Remaining Housing Element Sites Inventory Surplus with Project Approval -16 33 -6 122 898 CONSIDERATIONS Required considerations in review of Architecture and Site applications: ■ As required by Section 29.20.150 of the Town Code, the applicable considerations in review of an Architecture and Site application were all made in reviewing this project. This Page Intentionally Left Blank