Encinitas denies group’s appeal of Moonlight Apartments

ENCINITAS — The Encinitas City Council denied a group’s appeal of the recently approved Moonlight Apartments project during its Sept. 13 meeting.

The 202-unit development, approved by the city’s Planning Commission and proposed for the corner of Encinitas Boulevard and Quail Gardens Drive, was appealed by the Oakland-based environmental group Supporters Alliance for Environmental Responsibility, or SAFER.

The group’s appeal argued the project needed additional environmental review and discretionary approvals, such as a coastal development permit, and was not exempt from the California Environmental Quality Act.

“This project requires more than just a design review,” said Brian Flynn of SAFER. “The coastal development permit is a discretionary decision that triggers CEQA regardless of the project’s ‘by-right’ label.”

In the appeal, the group said the project requires four discretionary approvals: density bonus, design review permit, boundary adjustment permit, and coastal development permit. According to Flynn, city staff falsely claimed the project was exempt from CEQA and the city was prohibited from requiring any discretionary actions other than design review since the project met the following conditions: (1) the project site is designated for “by right” approval, (2) 20% of units are affordable, and (3) the project does not require a subdivision.

“There is no basis under (state law) for the staff report’s fabricated three-factor exemption test,” Flynn wrote in the notice of appeal. “Simply put, (the law) provides no such exemption from CEQA, and the Planning Commission must reject staff’s interpretation.”

But city staff and the developer maintained the project, offering 172 market rate and 30 low-income units, is exempt from CEQA review as a by-right affordable housing project under state density bonus law.

“To be blunt, the appeal effectively says that your housing element and zoning code are invalid,” said Jeffrey Chine, who represented the developer Raintree Partners.

Raintree Partners CEO Richard Price said the project would help address the city’s housing shortage and make a positive impact on the community.

“As a long-term owner and operator, we maintain ongoing involvement in the communities we develop,” Price said.

The City Council ultimately sided with staff and denied the appeal in a unanimous vote.

“We have been very consistent in handling all similar projects,” Mayor Tony Kranz said.

Still, SAFER argued the impacts on wildlife and increased traffic and pollution were not fully analyzed.

Local groups, business consortiums, residents and former city officials have raised objections to the Moonlight Apartments and several other nearby housing developments slated for construction along Quail Gardens Drive.

The Four Corners Consortium, a collective of homeowners associations along Quail Gardens Drive, has expressed concerns about the addition of more than 1,000 residential units along the 2.5-mile stretch of road, including Fox Point Farms (250 units), Sunshine Gardens Apartments (140 units), Moonlight Apartments (202 units) and Quail Meadows (485 apartments).

According to the state Department of Housing and Community Development, housing should be evenly distributed throughout a city for fairness and full integration. However, 40% of the city’s housing sites are found along a one-mile section of Quail Gardens Drive, which the group says is an inequitable distribution of the city’s housing, creating an overconcentration of development in a relatively small area.

Sheila Cameron, former mayor of Encinitas, said the traffic and parking structure would bring increased gridlock, accidents and crime to a quiet residential neighborhood.

“This monstrous project to be built, as presented with 202 units, is a resort complex to be plopped down in a quiet residential neighborhood,” Cameron wrote in written comments. “It in no way reflects the community character of Encinitas in any respect. Please deny this project and support the appeal filed in good conscience by your constituents.”

The council’s denial of the appeal means construction can begin.