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FINANCIAL STATEMENT The project is an infill subdivision involving no new proposed development. The project will, therefore, have no fiscal impact on the City. BACKGROUND The project site is an approximately 10,699-square-foot (0.23-acre) lot situated at the northwest corner of Saint Mary Street and Peters Avenue. The subject property is located within the Downtown Specific Plan Area and the Core Area Overlay District. The property is essentially flat with a joint access driveway off of Peters Avenue. The site is at the eastern end of ahigh-density residential district adjacent to the Downtown's central commercial district. Immediately to the west of the subject property is asingle-family home and two rental units on a 0.28-acre property zoned R-1-6,500; to the south, across Saint Mary Street, is an eight-unit condominium complex zoned PUD-HDR (PUD -High Density Residential) on a 0.28 acre property; to the east, across Peters Avenue, is A Touch of Health Day Spa zoned C-C (Central Commercial); and to the north lies an 11,271-square-foot parcel that is currently developed with a single-family home, but has an approved development plan (PUD-37) for four single-family homes and two apartments. The zoning for the PUD to the north is PUD-HDR. The subject site is developed with a 1,120-square-foot single-family home (403 Saint Mary Street) that, per the County Assessor's data, was constructed in 1915. The home is not listed as a resource of primary or secondary importance with the City. On January 15, 2003, the applicants received approval (PADR-684/PCUP-68/PV-76) to construct a 1,200-square-foot detached second unit in the rear yard area of the subject property. The second unit fronts Peters Avenue (730 Peters Avenue). As a condition of approval, in accordance with the restrictions placed on secondary units at the time, the applicants were required to file deed restrictions requiring that one unit would be owner- occupied; that the second unit would not be occupied by more than two adults and only the number of children permitted by law; and that the second unit should not be sold, subdivided, or held under different legal ownership from the primary residence. In addition, a condition of approval prohibited the second unit to have a second floor. Project Description The proposed application is to rezone the approximately 10,669-square-foot subject property from the R-1-6,500 zoning district to Planned Unit Development -High Density Residential (PUD-HDR) and for PUD development plan approval to subdivide the lot into two lots with the existing 1,118-square-foot single-family home on a 6,036-square- foot parcel and the existing 1,200-square-foot second unit and detached garage on a 4,533-square-foot parcel. No new construction is proposed as part of the application. Page 2 of 5