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BACKGROUND The proposed project is for the construction of 193,481 square feet of commercial building area, including a Home Depot building supply store and garden center, a Longs Drugs with adrive-through, and miscellaneous retail stores and services including one drive-through restaurant/cafe, on an approximately 16.0-acre property located on the southeast corner of Bernal Avenue and Stanley Boulevard. Stanley Business Park Although technically a part of the Stanley Business Park, the large size and location of the project site on a gateway intersection/entrance to the City, separated from the business park by Bernal Avenue, have always qualified it for a large commercial development anchored by a large business with a variety of smaller retail businesses and services. Reflecting the wishes expressed by the community, the property owners have in the past worked closely with the City to bring asupermarket-based commercial development to the site comparable to the Amador and Oak Hill shopping centers. These efforts, however, were not successful. The property owner then presented the proposed development to staff, which has undergone review and revision arriving at its present form. As a result of this review, the project includes measures to mitigate its impacts and to ensure that it is compatible with the area. It is consistent with the General Plan land use designation for this site. Anchored by a Home Depot, the development also proposes a Longs Drugs with a 24-hour drive-through and a variety of businesses oriented towards the residential areas to the south, southwest, and southeast and reflecting the existing and planned commercial uses on the west side of Bernal Avenue. City Approvals Required This project will require a modification to the Stanley Business Park PUD for the permitted and conditional uses, a conditional use permit approval for the operations of the Home Depot store and garden center, and design review approval for the proposed building and site design. Ordinarily, the decision on a design review or a conditional use permit application is rendered by the Planning Commission and not by the City Council. However, since the PUD modification requires Council approval, all of the applications included in the project are being forwarded to the City Council. Planning Commission Review The Planning Commission reviewed the proposal at two public work sessions held on January 11, 2006 and May 24, 2006. As a result of these work sessions, the Planning Commission's and community's concerns on traffic, noise, uses, character, and operation were identified. Direction on building design -reflect Pleasanton's character and the project`s location at a gateway site -was provided. The Planning Commission heard the project at its public hearing held on December 13, 2006 and recommended approval. Page 3 of 22