324 N. Santa Cruz Ave - Staff Report and Exhibits 1-6
PREPARED BY: AZHAR KHAN
Assistant Planner
Reviewed by: Planning Manager and Community Development Director
110 E. Main Street Los Gatos, CA 95030 ● 408-354-6874
www.losgatosca.gov
TOWN OF LOS GATOS
PLANNING COMMISSION
STAFF REPORT
MEETING DATE: 03/14/2018 ITEM NO: 4
DATE: MARCH 6, 2018 TO: PLANNING COMMISSION FROM: JOEL PAULSON, COMMUNITY DEVELOPMENT DIRECTOR SUBJECT: CONDITIONAL USE PERMIT APPLICATION U-18-003. PROJECT LOCATION:
324 N. SANTA CRUZ AVENUE. PROPERTY OWNER: TAYCON PROPERTIES TWO, LLC. APPLICANT: GAMES WORKSHOP RETAIL, INC. REQUESTING APPROVAL FOR A FORMULA RETAIL BUSINESS (GAMES WORKSHOP) ON PROPERTY ZONED C-2. APN 529-04-039.
DEEMED COMPLETE: FEBRUARY 12, 2018 FINAL DATE TO TAKE ACTION: AUGUST 12, 2018
RECOMMENDATION:
Approval, subject to the recommended conditions of approval.
PROJECT DATA:
General Plan Designation: Central Business District
Zoning Designation: Central Business District, C-2
Applicable Plans & Standards: General Plan
Parcel Size: 3,230 square feet
Surrounding Area:
Existing Land Use General Plan Zoning
North Commercial Central Business District C-2
East Commercial Central Business District C-2
South Commercial Central Business District C-2
West Commercial Central Business District C-2
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CEQA:
The project is Categorically Exempt pursuant to the adopted Guidelines for the Implementation
of the California Environmental Quality Act, Section 15301: Existing Facilities. No significant
effect on the environment will occur since the project uses an existing structure with no
increase in floor area.
FINDINGS:
As required, pursuant to the adopted Guidelines for the Implementation of the California
Environmental Quality Act, this project is Categorically Exempt, Section 15301: Existing
Facilities.
As required by Section 29.20.190 of the Town Code for granting a Conditional Use Permit.
ACTION:
The decision of the Planning Commission is final unless appealed within ten days.
BACKGROUND:
In November 2002, the Town Council adopted an ordinance defining a “formula retail business”
as a retail business which, along with seven or more other business locations is required by
contractual or other arrangement to maintain any of the following: standardized merchandise,
services, décor, uniforms, architecture, colors, signs or other similar features. Town Code
Section 29.20.185 requires a Conditional Use Permit (CUP) for a formula retail business of any
size in the C-2 zone. The proposed business (Games Workshop) is a formula retail business and
therefore requires a CUP.
The proposed project would occupy a commercial space that was last occupied by a retail
stationery store (Out of the Envelope), but has been vacant for four months. The subject space
is one of four commercial suites located on the property.
The applicant is requesting approval of a CUP for a formula retail store (Games Workshop) in an
existing 770-square foot tenant space.
DISCUSSION:
A. Location and Surrounding Neighborhood
The project is located at 324 N. Santa Cruz Avenue, on the east side of N. Santa Cruz
Avenue, between Los Gatos-Saratoga Road and Bachman Avenue (Exhibit 1). Adjacent
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properties and those directly across the street are located in the C-2 zone and are
developed with commercial buildings.
B. Conditional Use Permit
The applicant is requesting approval of a CUP to operate a formula retail business (Games
Workshop) in the tenant space that was previously occupied by a retail stationery store
(Out of the Envelope). The hours of operation would be seven days a week, from 10:00
a.m. to 8:00 p.m. The applicant has provided a letter of justification which includes a
description of their business plan (Exhibit 4).
When reviewing a CUP, the deciding body should consider the information in the applicant’s
business plan; however, the key consideration should be the explicit proposed use since the
business plan can change from owner to owner. The explicit use may be, and is often,
defined in the recommended conditions of approval as a “use” condition. The CUP runs
with the land, and the deciding body should review applications based on the explicit use as
opposed to the applicant or the applicant’s business plan.
C. Zoning Compliance
The proposed business is a formula retail use because the business currently operates at
more than seven locations. Pursuant to the Table of Conditional Uses (Town Code Section
29.20.185), a CUP is required for a formula retail use in the C-2. Pursuant to Town Code
section 29.20.750, the Planning Commission is the decision-making body for formula retail
uses proposed to be located in the C-2 zone.
ANALYSIS:
A. Project Summary
The proposed business (Games Workshop) would occupy a 770-square foot commercial
space within an existing commercial building. The business would be selling collectable,
miniature figures for table top warrior role play. There are no exterior alterations to the
existing building proposed as part of the proposed use (Exhibit 4).
The hours of operation would be seven days a week, from 10:00 a.m. to 8:00 p.m. and the
maximum number of staff will be one on-site.
The applicant has provided a letter of justification (Exhibit 4), and development plans
(Exhibit 5) describing the proposal.
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B. Formula Retail
The Town Code requires a CUP for a formula retail business of any size in the C-2 zone
(Section 29.20.185). The proposed formula retail business will occupy a space not
previously occupied by a formula retail business.
The General Plan states that retail uses should be emphasized in the Central Business
District where the subject space is located. Games Workshop has more than 100 locations
nationwide, thirteen of which are in California. The applicant’s business description/letter
of justification (Exhibit 4) states the following: “As a business with stores all over the world,
we are proud to continue to keep the small family business feel. A lot of that is due to our
single person business model.”
C. Parking and Traffic
The tenant space was previously occupied by a retail use (Out of the Envelope) and there
will be no increase in traffic impacts or required parking.
D. Conditional Use Permit Findings
In order to grant approval of a CUP, the deciding body must make the following findings:
1. The proposed use of the property is essential or desirable to the public convenience or
welfare; and
2. The proposed use would not impair the integrity and character of the zone; and
3. The proposed use would not be detrimental to public health, safety or general welfare;
and
4. The proposed use of the property is in harmony with the various elements or objectives
of the General Plan and the purposes of the Town Code.
In regards to the first finding, the proposed use is desirable to the public convenience
because it would provide a space for an enjoyable pastime with a retail component, thereby
increasing the diversity of commercial uses in the downtown. As required by the second
finding, the proposed use would not impair the integrity of the zone, in that the proposed
use is a commercial use and would be located in a commercial zone. In regards to the third
finding, the proposed use would not be detrimental to public health, safety, or general
welfare, as the conditions placed on the permit would maintain the welfare of the
community. In regards to the final finding, the proposed use would be in conformance with
the Town Code and would be consistent with the General Plan and the Town Code because
it would contribute to the variety of commercial uses in the Central Business District.
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E. General Plan
The formula retail use is consistent with the Central Business District General Plan land use
designation for the property which envisions a mixture of retail, office, and residential in a
mixed-use setting, along with lodging, service, auto-related businesses, non-manufacturing
industrial uses, recreational uses, and restaurants.
The goals and policies of the 2020 General Plan applicable to this project include, but are
not limited to:
• Policy LU-2.1 – Minimize vehicle miles traveled for goods and services by allowing and
encouraging stores that provide these goods within walking distance of neighborhoods
in Los Gatos.
• Policy LU-9.2 – Maintain a variety of commercial uses, including a strong Downtown
commercial area combined with Los Gatos Boulevard and strong neighborhood
commercial centers to meet the shopping needs of residents and preserve the small-
town atmosphere.
• Policy LU-9.6 – Encourage development that maintains and expands resident-oriented
services and/or creates employment opportunities for local residents consistent with
overall land use policies of the Town.
• Goal LU-10 – To preserve Downtown Los Gatos as the historic center of the Town with
goods and services for local residents while maintaining the existing Town identity,
environment, and commercial vitality.
F. Environmental Review
The project is Categorically Exempt pursuant to the adopted Guidelines for the
Implementation of California Environmental Quality Act, Section 15301: Existing Facilities.
No significant effect on the environment will occur since the project uses an existing
structure with no increase in floor area.
PUBLIC COMMENTS:
No public comments have been received.
CONCLUSION:
A. Summary
Staff has recommended conditions of approval for the proposed business (Exhibit 3). The
subject property has adequate parking in the parking assessment district to accommodate
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the proposed use. The proposed use is in conformance with the Town Code and is
consistent with the General Plan.
B. Recommendation
Based on the analysis above, staff recommends approval of the CUP application subject to
the recommended conditions of approval (Exhibit 3). If the Planning Commission finds
merit with the proposed project, it should:
1. Find that the proposed project is categorically exempt, pursuant to Section 15301 of the
California Environmental Quality Act as adopted by the Town (Exhibit 2); and
2. Make the findings as required by Section 29.20.190 of the Town Code for granting
approval of a CUP (Exhibit 2); and
3. Approve CUP application U-18-003 with the conditions contained in Exhibit 3.
C. Alternatives
Alternatively, if the Commission has concerns with the proposed project, it can:
1. Approve the application with additional and/or modified conditions of approval; or
2. Continue the application with direction to a specific hearing date; or
3. Make the findings for denial of a formula retail business (Exhibit 2) and deny the
application. If the Commission makes the findings for denial, the Commission must
provide support for those findings.
EXHIBITS:
1. Location Map
2. Required Findings (two pages)
3. Recommended Conditions of Approval (four pages)
4. Letter of Justification, received February 8, 2018 (two pages)
5. Development Plans, received February 8, 2018 (one page)
6. Formula Retail Map (one page)
Distribution:
Games Workshop Retail, Inc., 6303 Commerce Drive, Suite 175, Irving, TX 75063
Taycon Properties Two LLC, 2626 Hanover Street, Palo Alto, CA 94304
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324 N. Santa Cruz Avenue
Ü 0 0.250.125 Miles
EXHIBIT 1
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PLANNING COMMISSION – March 14, 2018
REQUIRED FINDINGS FOR:
324 N. Santa Cruz Avenue
Conditional Use Permit U-18-003
Requesting approval for a formula retail business (Games Workshop) on property
zoned C-2. APN: 529-04-039.
PROPERTY OWNER: Taycon Properties Two, LLC
APPLICANT: Games Workshop Retail, Inc.
FINDINGS:
Required finding for CEQA:
■ The project is Categorically Exempt pursuant to the adopted Guidelines for the
Implementation of the California Environmental Quality Act, Section 15301: Existing
Facilities. No significant effect on the environment will occur since the project uses an
existing structure with no increase in floor area.
Required findings for a Conditional Use Permit:
■ As required by Section 29.20.190 of the Town Code for granting a Conditional Use Permit:
The deciding body, on the basis of the evidence submitted at the hearing, may grant a
conditional use permit when specifically authorized by the provisions of the Town Code if it
finds that:
1. The proposed use is desirable to the public convenience because it provides a space for
an enjoyable pastime, with a retail component, thereby increasing the diversity of
commercial uses in the downtown; and
2. The proposed use would not impair the integrity of the zone, in that the proposed use is
a commercial use and would be located in a commercial zone; and
3. The proposed use would not be detrimental to public health, safety or general welfare,
and the conditions placed on the permit would maintain the welfare of the community;
and
4. The proposed use is in harmony with the General Plan and Town Code because it
contributes to the variety of commercial uses in the Central Business District.
Required findings for Denial of a Conditional Use Permit for a Formula Retail Business:
■ As required by Section 29.20.190 of the Town Code for denying a Conditional Use Permit:
(b) The deciding body, on the basis of the evidence submitted at the hearing, may deny a
conditional use permit for a formula retail business or a personal service business if any
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of the following findings are made:
(1) The proposed use of the property is not in harmony with specific provisions or
objectives of the general plan and the purposes of this chapter;
(2) The proposed use will detract from the existing balance and diversity of businesses in
the commercial district in which the use is proposed to be located;
(3) The proposed use would create an over-concentration of similar types of businesses,
or;
(4) The proposed use will detract from the existing land use mix and high urban design
standards including uses that promote continuous pedestrian circulation and
economic vitality.
If the Planning Commission makes findings to deny the project, the Commission must provide
support for the findings for denial.
PLANNING COMMISSION – March 14, 2018
CONDITIONS OF APPROVAL
324 N. Santa Cruz Avenue
Conditional Use Permit U-18-003
Requesting approval for a formula retail business (Games Workshop) on property
zoned C-2. APN: 529-04-039.
PROPERTY OWNER: Taycon Properties Two, LLC
APPLICANT: Games Workshop Retail, Inc.
TO THE SATISFACTION OF THE DIRECTOR OF COMMUNITY DEVELOPMENT:
Planning Division
1.APPROVAL: This application shall be completed in accordance with all of the conditions of
approval and in substantial compliance with the approved plans. Any changes or
modifications to the approved plans shall be approved by the Community Development
Director, DRC or the Planning Commission depending on the scope of the changes.
2.EXPIRATION: The approval will expire two years from the approval date pursuant to
Section 29.20.320 of the Town Code, unless the approval has been vested.
3.LAPSE FOR DISCONTINUANCE: If the activity for which the Conditional Use Permit has
been granted is discontinued for a period of one (1) year, the approval lapses pursuant to
Section 29.20.340 of the Zoning Ordinance.
4.USE: The approved use is for a formula retail business selling collectable, miniature
figurines.
5.HOURS OF OPERATION: Maximum hours of operation are 10:00 a.m. to 8:00 p.m.
6.CERTIFICATE OF USE AND OCCUPANCY: A Certificate of Use and Occupancy must be
obtained prior to commencement of use.
7.BUSINESS LICENSE and CERTIFICATE OF USE AND OCCUPANCY: A business license and
Certificate of Use and Occupancy must be obtained prior to commencement of use.
8.SIGN PERMIT: A Sign Permit from the Los Gatos Community Development Department
must be obtained prior to any changes to existing signs or installation of new signs.
9.ROOFTOP EQUIPMENT: Any new or modified roof mounted equipment shall be fully
screened prior to issuance of an occupancy permit.
10.TOWN INDEMNITY: Applicants are notified that Town Code Section 1.10.115 requires that
any applicant who receives a permit or entitlement from the Town shall defend,
indemnify, and hold harmless the Town and its officials in any action brought by a third
party to overturn, set aside, or void the permit or entitlement. This requirement is a
condition of approval of all such permits and entitlements whether or not expressly set
forth in the approval, and may be secured to the satisfaction of the Town Attorney.
11.COMPLIANCE MEMEMORANDUM: A memorandum, in compliance with standard Town
practice, shall be prepared and submitted with the building permit detailing how the
conditions of approval will be addressed.
EXHIBIT 3
Building Division
12. PERMITS REQUIRED: A Building Permit shall be required for all interior modifications and
alterations to the existing commercial building as well as the change of use and occupancy
classification.
13. APPLICABLE CODES: The current codes, as amended and adopted by the Town of Los
Gatos as of January 1, 2017, are the 2016 California Building Standards Code, California
Code of Regulations Title 24, Parts 1-12.
14. CONDITIONS OF APPROVAL: The Conditions of Approval must be blue-lined in full on the
cover sheet of the construction plans. A Compliance Memorandum shall be prepared and
submitted with the building permit application detailing how the Conditions of Approval
will be addressed.
15. PLANS: The construction plans for this commercial building tenant improvement shall be
prepared under the direct super vision of a California licensed Architect or Engineer.
16. SIZE OF PLANS: Submit four sets of construction plans, minimum size 24” x 36”, maximum
size 30” x 42”.
17. BUILDING & SUITE NUMBERS: Submit requests for new building addresses to the Building
Division prior to submitting for the building permit application process.
18. DEMOLITION REQUIREMENTS: Obtain Building Department Demolition Applications and
Bay Area Air Quality Management District Applications from the Building Department
Service Counter. Once the Demolition Forms have been completed, all signatures
obtained, and written verification from PG&E that all utilities have been disconnected,
return the completed Forms to the Building Department Service Counter with the Air
District’s J# Certificate(s), PG&E verification, and three (3) sets of Site Plans showing all
existing structures, existing utility service lines such as water, sewer, and PG&E. No
demolition work shall be done without first obtaining a Permit from the Town.
19. TITLE 24 ENERGY COMPLIANCE: All required California Title 24 Energy Compliance Forms
must be blue-lined (sticky-backed), i.e. directly printed, onto a plan sheet.
20. BACKWATER VALVE: The scope of this project may require the installation of a sanitary
sewer backwater valve per Town Ordinance 6.50.025. Please provide information on the
plans if a backwater valve is required and the location of the installation. The Town of Los
Gatos Ordinance and West Valley Sanitation District (WVSD) requires backwater valves on
drainage piping serving fixtures that have flood level rims less than 12 inches above the
elevation of the next upstream manhole.
21. HAZARDOUS FIRE ZONE: All projects in the Town of Los Gatos require Class A roof
assemblies.
22. SPECIAL INSPECTIONS: When a special inspection is required by CBC Section 1704, the
Architect or Engineer of Record shall prepare an inspection program that shall be
submitted to the Building Official for approval prior to issuance of the Building Permit. The
Town Special Inspection form must be completely filled-out and signed by all requested
parties prior to permit issuance. Special Inspection forms are available from the Building
Division Service Counter or online at www.losgatosca.gov/building.
23. BLUE PRINT FOR A CLEAN BAY SHEET: The Town standard Santa Clara Valley Nonpoint
Source Pollution Control Program Sheet (page size same as submitted drawings) shall be
part of the plan submittal as the second page. The specification sheet is available at the
Building Division Service Counter for a fee of $2 or at ARC Blue Print for a fee or online at
www.losgatosca.gov/building.
24. DEPARTMENT OF ENVIRONMENTAL HEALTH CLEARANCE: Please provide evidence of
approval from Santa Clara County Environmental Health Department for the proposed
scope of work for this food sales facility. Evidence shall be in the form of stamped
“approved” plans and/or letter from the County Environmental Health Department
indicating their approval of the proposed project stating that this facility does or does not
require a permit to operate.
25. APPROVALS REQUIRED: The project requires the following departments and agencies
approval before issuing a building permit:
a. Community Development – Planning Division: (408) 354-6874
b. Engineering/Parks & Public Works Department: (408) 399-5771
c. Santa Clara County Fire Department: (408) 378-4010
d. West Valley Sanitation District: (408) 378-2407
e. Santa Clara County Environmental Health Department: (408) 918-3400
f. Local School District: The Town will forward the paperwork to the appropriate
school district(s) for processing. A copy of the paid receipt is required prior to
permit issuance.
TO THE SATISFACTION OF THE DIRECTOR OF PARKS AND PUBLIC WORKS:
Engineering Division
26. GENERAL: All work shall conform to the applicable Town ordinances. The adjacent public
right-of-way shall be kept clear of all job-related construction debris at the end of the day.
The storing of goods and materials on the sidewalk and/or the street will not be allowed
unless an encroachment permit is issued by the Engineering Division of the Parks and
Public Works Department. The Applicant's representative in charge shall be at the job site
during all working hours. Failure to maintain the public right-of-way according to this
condition may result in the issuance of correction notices, citations, or stop work orders
and the Town performing the required maintenance at the Applicant/Owner's expense.
27. APPROVAL: This application shall be completed in accordance with all of the conditions of
approval listed below and in substantial compliance with the latest reviewed and
approved development plans. Any changes or modifications to the approved plans or
conditions of approvals shall be approved by the Town Engineer.
28. CHANGE OF OCCUPANCY: Prior to initial occupancy and any subsequent change in use or
occupancy of any non-residential condominium space, the buyer or the new or existing
occupant shall apply to the Community Development Department and obtain approval for
use determination and building permit and obtain inspection approval for any necessary
work to establish the use and/or occupancy consistent with that intended.
29. STREET/SIDEWALK CLOSURE: Any proposed blockage or partial closure of the street
and/or sidewalk requires an encroachment permit. Special provisions such as limitations
on works hours, protective enclosures, or other means to facilitate public access in a safe
manner may be required.
30. PLANS AND STUDIES: Any post-project traffic or parking counts, or other studies imposed
by the Planning Commission or Town Council shall be funded by the Applicant.
31. CONSTRUCTION STREET PARKING: No vehicle having a manufacture’s rated gross vehicle
weight exceeding ten thousand (10,000) pounds shall be allowed to park on the portion of
street which abuts property in a residential zone without prior to approval from the Town
Engineer.
32. CONSTRUCTION HOURS: All construction activities, including the delivery of construction
materials, labors, heavy equipment, supplies, etc., shall be limited to the hours of 8:00
a.m. to 8:00 p.m., weekdays and 9:00 a.m. to 7:00 p.m. weekends and holidays. The Town
may authorize, on a case-by-case basis, alternate construction hours. The Applicant shall
provide written notice twenty-four (24) hours in advance of modified construction hours.
Approval of this request is at discretion of the Town.
33. CONSTRUCTION NOISE: Between the hours of 8:00 a.m. to 8:00 p.m., weekdays and 9:00
a.m. to 7:00 p.m. weekends and holidays, construction, alteration or repair activities shall
be allowed. No individual piece of equipment shall produce a noise level exceeding
eighty-five (85) dBA at twenty-five (25) feet from the source. If the device is located
within a structure on the property, the measurement shall be made at distances as close
to twenty-five (25) feet from the device as possible. The noise level at any point outside
of the property plane shall not exceed eighty-five (85) dBA.
34. GOOD HOUSEKEEPING: Good housekeeping practices shall be observed at all times during
the course of construction. All construction shall be diligently supervised by a person or
persons authorized to do so at all times during working hours. The Applicant
representative in charge shall be at the job site during all working hours. Failure to
maintain the public right-of-way according to this condition may result in penalties and/or
the Town performing the required maintenance at the Applicant's expense.
35. COVERED TRUCKS: All trucks transporting materials to and from the site shall be covered.
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MONTEBELLO WYMASSOL CTLOS GATOS BL
0 240 480 720 960120Feet
Sub Area A:N. Santa Cruz Ave. from Highway 9 to Royce St.
Sub Area B:N. Santa Cruz Ave. from Main Street to Royce St.
Sub Area C:Retail Uses on University Avenue (mainly Old Town)
Sub Area D:South Santa Cruz Avenue
Sub Area E:Main Street east of Santa Cruz Avenue
C-2 Zone
26
9
10
11
4 5 7
®
1 White House/Black Market2 Chicos3 Talbot's4 Banana Republic (Women)5 Banana Republic (Men)6 Gap/Gap Baby/Body7 Anthropologie8 Papyrus9 Sur La Table10 Title 9 Sports11 Williams-Sonoma 12 Restoration Hardware13 Gymboree 14 Apple15 J. Crew16 Lucy17 Jos A. Bank18 Pharmaca Integrative19 Francesca's Collection20 California Closets21 Mike's Bikes22 Benefit23 Blue Illusion24 We Olive25 Lolli and Pops26 J.McLaughlin27 Urban Remedy28 Games Workshop (pending)15
16
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21
23
Revised 07/18/17
24
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25
14 12
831
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Town of Los GatosLocation of Formula Retail Businesses in the C-2 Zone
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EXHIBIT 6