REPORT TO CITY COUNCIL
SUBJECT
Title
Public Hearing: Rezoning To Remove The Historic Combining District From 1341 Homestead Road (906 Monroe Street To Remain In Historic Combining District) In Connection With A Tentative Parcel Map Application To Subdivide The Property Into Two Parcels, Each Containing One Of The Existing Residences. CEQA Status: Determination of Consistency with the Downtown Precise Plan Final EIR. Continued from the June 23, 2026, City Council Meeting
Report
SUMMARY
At staff’s request the proposed project was continued from June 23, 2026, City Council Hearing. At the hearing, Council opened the public hearing and continued the item to the July 14, 2026, City Council Meeting.
This application is to rezone and subdivide the property at 906 Monroe Street and 1341 Homestead Road to allow the two existing residences to be sold separately, with no new construction or site improvements proposed. The residence at 906 Monroe Street will remain on the Historical Resource Inventory (HRI) and will be subject to its existing Mills Act Contract. Currently, the applicant does not propose any site improvements or construction. Approval of this application will enable the applicant to sell the two residences separately.
At its regularly scheduled meeting on June 10, 2026, the Planning Commission recommended approval (7-0 vote) of the rezoning to the City Council. The Planning Commission does not make recommendations on subdivisions that result in less than five parcels.
Both the rezoning and the Tentative Parcel Map are subject to final action by the City Council.
BACKGROUND
On June 11, 2025, the Applicant, Paul Tai, representing 950 Monroe St. REO, LLC, submitted an application to rezone (File No. PLN25-00516) and subdivide (File No. PLN25-00304) the subject property, which is currently developed with two existing single-family residences as 906 Monroe Street and 1341 Homestead Road. The residence at 906 Monroe Street will remain on the City’s Historical Resource Inventory and will continue to be subject to an existing Mills Act Contract. Currently, the applicant does not propose any site improvements or construction. Approval of this application will enable the applicant to sell the two residences separately.
The project was deemed complete at the Project Clearance Committee (PCC) on February 24, 2026. The project was heard at a regularly scheduled Historical and Landmarks Commission (HLC) meeting on April 7, 2026. The HLC found that the proposed rezoning request to remove the Historic Combining District from 1341 Homestead Road (906 Monroe Street to remain in Historic Combining District) would not destroy or have a significant adverse effect on the integrity of the HRI property. The HLC voted unanimously to recommend approval to the Planning Commission and the City Council.
Review by the Planning Commission and a recommendation to the City Council are required for Rezoning applications in accordance with Santa Clara City Code (SCCC) Section 18.142.010.C.3. However, the Planning Commission does not make recommendations on subdivisions that result in less than five parcels. Both the rezoning and Tentative Parcel Map are subject to final action by the City Council pursuant to SCCC Chapters 17.05 (Subdivisions) and 18.142 (Amendments).Following City Council approval of a Tentative Parcel Map, the applicant would be required to submit a final parcel map to by the City’s Engineering Division for ministerial review to confirm compliance with the approved Tentative Map.
On June 10, 2026, the Planning Commission reviewed the rezoning request. The Planning Commission’s review and recommendation to the City Council is required under Code Section 18.142.010 B. Zoning Code Amendments and Section 18.142.030 B. Public Hearings Required. Rezonings are ultimately approved by the City Council. The Planning Commission voted to recommend approval of the rezoning to the City Council (7-0 vote). The Planning Commission staff report is available as Attachment 5.
DISCUSSION
Project Summary
The existing site is located within the boundaries of the Downtown Precise Plan and consists of one parcel zoned Downtown (DT) and Historic Combining (HT). The parcel contains two single-family residences addressed as 906 Monroe Street and 1341 Homestead Road. The residence at 906 Monroe Street is listed on the City’s Historic Resource Inventory; the residence at 1341 Homestead Road does not qualify to be listed on the City’s HRI.
The applicant proposes to subdivide the parcel, resulting in each residence sited on their own separate parcel. The residence at 906 Monroe Street will remain unchanged, while the residence at 1341 Homestead Road will be rezoned to remove the Historic Combining designation and will continue to be zoned as Downtown.
As a note, in 2020, the subject parcel at 906 Monroe Street was one of three parcels that were a part of a proposed mixed use multi-family development. However, in 2024 that proposed application was withdrawn. The current project is only for the rezoning and subdivision of the site to allow for each single-family residential unit to be located on its own property.
Consistency with General Plan, Zoning Code and Subdivision Map Act
Tentative Parcel Map applications are reviewed for General Plan consistency, conformance with the Zoning Code and Chapter 17.05 of the City Code (Subdivisions), and conformance with the Subdivision Map Act. Rezonings are reviewed for General Plan consistency and conformance with the Zoning Code. The rezoning process to amend the City’s zoning map is detailed in Chapter 18.142 of the City Code.
The Subdivision Map Act requires that all maps be consistent with the General Plan, Government Code § 66474(a). On February 24, 2026, the City’s Subdivision Clearance Committee reviewed the Tentative Parcel Map and determined it to be complete. The project is consistent with the General Plan, as it does not propose a change in use and does not include any site improvements.
Mills Act Contract Update for 906 Monroe Street
The project at 906 Monroe Street has been the subject of a Mills Act contract cancellation at City Council. The contract is between the City and the property owner and is in place to preserve the historical integrity of the HRI property and in return, the property owner receives property tax reductions. On January 27, 2026, staff brought the request to the City Council and then subsequently removed the item from a scheduled hearing, as the property owner, 950 Monroe St. REO, LLC, stated they will work with staff on implementation of the required improvements to maintain their Mills Act contract.
Proposed City Council Action
The project is now presented for City Council consideration and action. The following specific actions are required:
1) CEQA Determination
Determine the project to be consistent with the Environmental Impact Report (EIR) and Mitigation Monitoring and Reporting Program (MMRP) that the City Council adopted for the Downtown Precise Plan on December 5, 2023, in accordance with the California Environmental Quality Act (CEQA).
2) Tentative Parcel Map Approval
A Tentative Parcel Map is proposed to subdivide the singular lot into two separate lots. The required findings, and facts supporting them, are as follows:
• General Plan Consistency: The subdivision would be consistent with the General Plan land use designation of Downtown and does not propose any new development. The subdivision would respect the scale and character of the adjacent historic Old Quad Neighborhood per Policy 5.4.2-P7 and both structures on the parcel currently meet Policy 5.4.2-P12.
• Zoning Code Compatibility: The subdivision meets the applicable development standards of the Zoning Code and all aspects of the City’s Downtown Form-Based Code.
• Site Suitability: The site is physically suitable for subdivision, in that no development is proposed and the subdivision will meet all regulations listed in for the Downtown Zoning District and General Plan designation.
• No Adverse Effects: The subdivision does not propose any development and therefore will not cause substantial environmental damage nor result in adverse health effects. Any future development shall comply with Building Code requirements and applicable provisions of the City’s Reach Code.
• Conflicts With Easements: As designed, the project would not conflict with any recorded public easements for access through or use of the proposed subdivision.
• Natural/Passive Heating and Cooling: The project does not propose any development, although all future development shall adhere to CALGreen energy efficiency measures to conserve energy through building design and site planning.
3) Rezoning
Determine that the zoning map amendment is in conformance with the General Plan Designation of the parcel and Adopt a Resolution to approve a Rezoning to remove the Historic Combining District from 1341 Homestead Road (906 Monroe Street to remain in the Historic Combining District).
Recommendation
Staff and the Planning Commission recommend that the City Council approve the Project by approving all the above-described actions because the Project would be compatible with adjacent land uses, and the project is consistent with the General Plan and applicable zoning standards. Findings can be made to support the approval of the Tentative Parcel Map and the Zoning Map Amendment. Conditions of approval are proposed for the Project and are contained in Attachment 3.
As an alternative, the Council has the option to deny the project, or to refer the matter back to staff for modifications.
ENVIRONMENTAL REVIEW
The Rezoning action being considered is consistent with the previously adopted Environmental Impact Report (EIR) and Mitigation Monitoring and Reporting Program (MMRP) that was approved for the Downtown Precise Plan on December 5, 2023, at a City Council meeting in accordance with the California Environmental Quality Act (CEQA) and no additional environmental review is required.
FISCAL IMPACT
There is no fiscal impact to the City for processing the requested application other than administrative time and expense typically covered by processing fees paid by the applicant.
COORDINATION
This report was coordinated with the City Attorney’s Office.
PUBLIC CONTACT
Hearing Noticing
Public contact was made by posting the City Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov or at the public information desk at any City of Santa Clara public library.
On May 7, 2026, a notice of public hearing to be held on June 23, 2026 was mailed to 278 property owners and tenants within 500 feet of the Project site. A newspaper notice of the June 23, 2026 hearing was also published in The Weekly, a newspaper of general circulation, on April 29, 2026. On June 23, 2026 the City Council opened the public hearing and then voted to continue the item to July 14, 2026. At the time of this staff report, no comments have been received by the Planning Division in support of or opposition to the project.
RECOMMENDATION
Recommendation
1. Determine the project to be consistent with the Environmental Impact Report (EIR) and Mitigation Monitoring and Reporting Program (MMRP) that the City Council adopted for the Downtown Precise Plan on December 5, 2023, in accordance with the California Environmental Quality Act (CEQA);
2. Adopt a Resolution to approve a Rezoning to remove the Historic Combining District from 1341 Homestead Road (906 Monroe Street to remain in Historic Combining District), subject to conditions of approval; and
3. Adopt a Resolution to approve a Tentative Parcel Map (PLN25-00304) to subdivide the 906 Monroe Street property into two parcels addressed as 1341 Homestead Road and 906 Monroe Street, making the required findings and subject to conditions of approval.
Staff
Prepared by: Daniel Sobczak, Associate Planner, Community Development Department
Reviewed by: Afshan Hamid, Director of Community Development Department
Approved by: Jovan Grogan, City Manager
ATTACHMENTS
1. Vicinity Map
2. Resolution to Approve a Rezoning
3. Resolution to Approve a Tentative Parcel Map
4. Conditions of Approval
5. PC Staff Report, 6/10/26
6. Tentative Parcel Map