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REQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: NOVEMBER 15, 2010 TITLE: EXTENSION OF CONDITIONAL USE PERMIT NOS. 2008 -27 AND 2008 -31 TO ALLOW THE CONSTRUCTION OF A NEW PHARMACY AT 115 NORTH HARBOR BOULEVARD 1'/ aye, CITY MANAGER RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: APPROVED ❑ As Recommended ❑ As Amended ❑ Ordinance on 151 Reading ❑ Ordinance on 2"d Reading ❑ Implementing Resolution ❑ Set Public Hearing For_ CONTINUED TO FILE NUMBER Adopt a resolution approving the extension of Conditional Use Permit Nos. 2008 -27 and 2008 -31. DISCUSSION On November 17, 2008, the City Council approved Conditional Use Permit Nos. 2008 -27 and 2008 -31 to allow the construction of a new Rite -Aid Pharmacy at 115 North Harbor Boulevard. The conditional use permits allowed a drive through window operation for the pharmacy and a Type 21 (off -sale beer, wine and distilled spirits) Alcohol Beverage Control license for the pharmacy. Due to a significant shift in the local, state and national economies over the past two years, Rite -Aid recently made the decision to abandon the project. The property owner has since secured an agreement with KZ DevCo, LP, who has been working with CVS Pharmacy in an effort to occupy the site. The project negotiations are nearly completed; however, the entitlements for the site are ready to expire. Pursuant to Section 41 -647 of the Santa Ana Municipal Code (SAMC), conditional use permits (CUP) automatically become void should the property owner fail to institute an action to comply with the provisions of the CUP within two years of its approval. This section of the code also allows the property owner to request an extension of the entitlement up to a period of three years from the date of expiration. Since construction has yet to begin, the applicant would like to maintain the entitlements for the conditional use permits and is requesting an extension (Exhibit 1). Although the applicant is requesting a two year extension, it is the Planning Division's policy to recommend one year extensions, mainly in an effort to encourage the construction of previously approved projects. The applicant retains the ability to request another extension next year in the event construction still has not commenced. Therefore, the Planning Division and Police Department recommend that the entitlements for the pharmacy building and ABC license be extended by a period of one year from the date of approval to November 16, 2011. 55A -1