Title
Raising Cane's Gateway Park (P24-027) [Noticed 01/09/2026; Published 01/09/2026]
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FileID
File ID: 2026-00361
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Location
Location: 3801 Gateway Park Boulevard, APN(s): 225-0160-098-0000 & -099-0000, District 3
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Recommendation
Recommendation: Conduct a public hearing and upon conclusion, pass a Motion denying the project: 1) Addendum to an adopted Mitigated Negative Declaration and Mitigation Monitoring Program; 2) Conditional Use Permit to authorize a drive-through restaurant use on a 1.77-acre project site within the Shopping Center (SC-PUD) zone and Coral Business Center Planned Unit Development (PUD); and 3) Site Plan and Design Review for construction of a 3,329 square foot restaurant building with double drive-through lanes and necessary site improvements.
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Contact
Contact: Zach Dahla, Senior Planner, (916) 808-5584, zdahla@cityofsacramento.org;
Stacia Cosgrove, Principal Planner, (916) 808-7110, scosgrove@cityofsacramento.org; Community Development Department
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Presenter
Presenter: Zach Dahla, Senior Planner, (916) 808-5584, zdahla@cityofsacramento.org, Community Development Department
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Applicant
Applicant: Raising Cane’s Restaurants LLC, Kelly Agnor, 6800 Bishop Road, Plano, TX 75024
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Property Owner
Property Owner: Ethan Conrad Properties, Inc., Ethan Conrad, 1300 National Drive, Suite 100, CA 95834
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Attachments
Attachments:
01-Description/Analysis
02-Background
03-Findings of Fact (Denial)
04-Findings of Fact and Conditions of Approval
05-Exhibit A: Project Plans
06-Agency Comment
07-Applicant’s Hours of Operation Request Letter
08-Public Comments
09-SacRT Letters
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Description/Analysis
IssueDetail
Issue Detail: The applicant is requesting to construct a 3,329 square foot Raising Cane’s drive through restaurant on a 1.77-acre project site within the Shopping Center (SC-PUD) zone and Coral Business Center Planned Unit Development (PUD). The proposal includes dual-lane drive-through lanes with decorative screening, a 1,554 square foot outdoor covered patio, and 29 parking stalls.
The requested entitlements include:
1. Conditional Use Permit (CUP) to authorize a drive-through restaurant; and
2. Site Plan and Design Review for construction of a 3,329 square foot restaurant building with double drive-through lanes and necessary site improvements.
The project site is approximately 950 (walking) feet north of the future light rail station at the intersection of Gateway Park Boulevard and Truxel Road. Under the 2040 General Plan and current Planning and Development Code, drive-through restaurants located within ¼ mile of an existing or future light rail station are prohibited; however, the site is subject to the Natomas Fountains Development Agreement, adopted by the City Council on January 5, 2017 (Agreement No. 2019-1014). The Development Agreement vests subsequent entitlements to be reviewed under the lens of the 2035 General Plan and Title 17 of the Sacramento City Code (SCC) as it existed on January 5, 2017. It is for this reason that the applicant is able to request a CUP for a drive-through restaurant in the SC-PUD zone.
Staff does not support the request to establish a drive-through restaurant at this location. Staff recommend the Planning and Design Commission deny the project for the following reasons:
• A drive-through restaurant at this site is inconsistent with 2035 General Plan policies and objectives. The 2035 General Plan discouraged low-intensity and auto-oriented uses like this one around transit stations. The 2035 General Plan stated that the City shall actively support and facilitate mixed-use retail, employment, and residential development around existing and future transit stations, such as this one.
• A drive-through restaurant within a ¼ walking distance of a future light rail stop does not support the long-term economic viability of transit service in the Natomas area and will not contribute significantly to future ridership.
• A drive-through restaurant within ¼ mile walking distance of a light rail station is contrary to the long-term vision and goals in the North Natomas Community Plan related to sustainable development patterns, transit-oriented development, centers served by transit, and multimodal choices.
• Because of the low employment intensity and auto-oriented features, drive-through restaurant uses do not generate substantial light rail ridership and do not contribute to a healthy pedestrian environment. While such uses may provide near-term employment and economic benefits, they compromise long-term goals found in the City’s General Plan and complicate the ability of the City to meet these goals, particularly since uses incompatible with transit may continue to operate for many years to come.
Thus, staff is recommending denial of all project entitlements based upon the project’s inconsistency with the 2035 General Plan and North Natomas Community Plan, as described in this report.
Prior Actions - Planning and Design Commission
On November 13, 2025, the Planning and Design Commission (PDC) first heard the proposed project where staff brought forward a denial recommendation. As described in the report, staff was unable to make the necessary findings related to consistency with the 2035 General Plan and North Natomas Community Plan and the site’s suitability for the proposed use due to its proximity to a future light rail stop. After a lengthy deliberation, the Commission passed a motion (11 ayes, 0 noes, 2 absent) directing staff to return to the Commission at a future date with the necessary findings of fact and applicable conditions for project approval. The motion also included a request that City staff reach out to Sacramento Regional Transit (SacRT) to ask SacRT staff to weigh in on the project in writing or by attending a future hearing.
The following section highlights the updates to the project’s staff report.
• The Environmental Determination has been amended to identify the CEQA approach for the project as an addendum to the adopted Mitigated Negative Declaration and Mitigation Monitoring Program (SCH Number 2016082045) for the previously approved Natomas Fountains retail project (P16-012).
• Attachment 4 contains findings of fact for project approval provided by Commission members on November 13, 2025. The rationale for project approval included the following:
o The drive-through restaurant use creates jobs and supports economic development.
o The project supports 2035 General Plan policy ED 1.1.1 (Economic Development Strategy) by enticing more businesses to the area.
o The location of the drive-through restaurant use is suitable because it will offer a dining option in an area with industrial, residential, and retail uses.
• Attachment 4 also contains the applicable conditions of approval for the project. Staff has highlighted two conditions of approval for the Commission below.
o Condition B9 is related to hours of operation. Staff has limited the drive-through element of the business to the hours of 7:00 AM to 10:00 PM, because the site is contiguous to residential (SCC section 17.228.109.B.6). The applicant team is requesting to operate the drive-through facility from 9:00 AM to 3:30 AM seven days a week, as outlined in Attachment 7.
§ If approved, staff recommend maintaining the condition of approval as written. Hours of operation restrictions are consistently applied to drive-through uses adjacent to residential uses and staff does not find an extraordinary circumstance that should allow for the operation of the drive-through lanes past 10:00pm. The restaurant itself (absent the drive-through function) would have no restriction on hours of operation.
• Attachment 9- After the hearing on November 13th, at the behest of the Commission, Planning staff asked Sacramento Regional Transit (SacRT) staff to provide written comments on the project and to specifically address if auto-oriented uses (like a drive-through restaurant) could potentially impact SacRT’s ability to obtain future grant funding or expand transit services to the North Natomas area. Staff received the letter included as Attachment 9 (December 10, 2025). The letter indicates support for the project while at the same time identifying that a proposed drive-through component is not typically considered transit supportive. The letter does not address the question regarding grant funding viability.
In order to address the Commission’s question, Planning staff went back through SacRT comments on two recent proposed projects at this same Natomas Fountains site and those letters are provided within Attachment 9 for the Commission’s review.
o August 23, 2022- The same property owner had submitted an application for a 12-pump gas station, convenience market, and car wash on the site (P22-034). SacRT’s letter on the project states that they oppose the project because SacRT’s transit-oriented development (TOD) guidance opposes auto-oriented projects within ¼ mile of an existing or planned transit station. The letter also states that SacRT fully supports the City’s TOD ordinance which prohibits auto-oriented uses within ¼ mile of station locations in favor of promoting transit-oriented uses. This project application was ultimately withdrawn by the property owner.
o November 26, 2014- The same property owner submitted an application for Preliminary Review of restaurant and retail project on the site called “Natomas Fountains” (IR14-231). Page 2 of the SacRT letter states the following:
“Surrounding land uses, the urban design, and their collective ability to generate high ridership are critical factors in RT’s ability to be competitive for federal funding to build the light rail extension.”
Subsequent to the Preliminary Review application, the property owner submitted an application for the Natomas Fountain Retail Center at the site (P16-012). It was approved by City Council in January 2017, along with a development agreement. The project did not include any drive-through uses and staff supported the project.
In conclusion, Staff’s recommendation of denial has not changed. A drive-through restaurant within a ¼ mile of a future transit stop, whether light rail or bus rapid-transit, does not align or comply with the goals and policies of the 2035 General Plan or the North Natomas Community Plan. Staff is maintaining its original recommendation as outlined in Attachment 3.
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Public/NeighborhoodOutreachComments
Public/Neighborhood Outreach and Comments: Staff routed the proposal to community groups within 500 feet of the site including: Civic Thread, Sacramento Area Bicycle Advocates, Preservation Sacramento, Natomas Community Association, North Natomas Community Association, North Natomas Community Coalition, and Natomas Chamber of Commerce. Staff received a response from the Sacramento Metropolitan Air Quality Management District, who noted that automobile-oriented uses are not transit supportive and a more transit supportive use would be ideal at this site given the proximity to future transit. This letter is available in Attachment 6.
Public Comments - November 13, 2025 Commission Hearing
The community groups listed above as well as property owners and current residents/businesses within 500 feet of the project site were sent a notice prior to the Planning and Design Commission meeting and a public hearing notice was posted at the project site. Prior to the hearing, staff received 11 comments in support from the North Natomas Community Coalition, local businesses, and residents. These letters are available in Attachment 8
Public Comments - January 22, 2026 Commission Hearing
The community groups listed above as well as property owners and current residents/businesses within 500 feet of the project site were sent a notice prior to the Planning and Design Commission meeting and a public hearing notice was posted at the project site. Staff has not received any additional comments.
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PolicyConsiderations
Policy Considerations:
General Plan
The 2035 General Plan Update was adopted by City Council on March 3, 2015. The 2035 General Plan’s goals, policies, and implementation programs define a roadmap to achieving Sacramento’s vision to be the most livable city in America. The 2035 General Plan designates the subject site as Regional Commercial Center. The General Plan recognizes that Sacramento’s regional commercial centers represent a significant opportunity for transportation and enhancement (i.e., increased residential and employment uses) by creating more compact development patterns that create regional destinations for living, working, and shopping. The urban form of this designation is characterized by large scale, regional shopping centers integrated with a mix of major retail stores, offices, restaurants, services, and multi-family dwellings, with building heights ranging from one to six stories. Regional Commercial Centers require a floor area ratio (FAR) of 0.15 to 3.0 for non-residential development.
As explained below, staff believe the proposed drive-through restaurant conflicts with the General Plan and find the proposal is inconsistent with the following General Plan goals and policies:
• Goal LU 2.6 (City Sustained and Renewed). Promote sustainable development and land use practices in both new development, reuse, and reinvestment that provide for the transformation of Sacramento into a sustainable urban city while preserving choices (e.g., where to live, work, and recreate) for future generations.
o Policy LU 2.6.1 (Sustainable Development Patterns). The City shall promote compact development patterns, mixed use, and higher-development intensities that use land efficiently; reduce pollution and automobile dependence and the expenditure of energy and other resources; and facilitate walking, bicycling, and transit use.
o Policy LU 2.6.2 (Transit-Oriented Development). The City shall actively support and facilitate mixed-use retail, employment, and residential development around existing and future transit stations.
• Goal LU 5.1 (Centers). Promote the development throughout the city of distinct, well-designed mixed-use centers that are efficiently served by transit, provide higher-density, urban housing opportunities and serve as centers of civic, cultural, and economic life for Sacramento’s neighborhoods and the region.
o Policy LU 5.1.2 (Centers Served by Transit). The City shall promote the development of commercial mixed-use centers that are located on existing or planned transit stops in order to facilitate and take advantage of transit service, reduce vehicle trips, and enhance community access.
o Policy LU 5.1.5 (Vertical and Horizontal Mixed-Use). The City shall discourage low-intensity and auto-oriented uses around transit stations.
• Goal LU 5.4 (Regional Commercial Centers). Establish major mixed-use activity centers through development and reinvestment in existing regional commercial centers that are vibrant, regionally-accessible destinations where people live, work, shop, and congregate in a mix of retail, employment, entertainment, and residential uses.
o Policy LU 5.4.1 (Incorporating Housing and Employment Uses). The City shall promote the introduction of housing and employment uses in the city’s existing regional commercial centers as a means of enhancing retail viability, establishing pedestrian-oriented shopping districts, creating more attractive buildings and public spaces, supporting transit viability, and reducing vehicle trips.
Staff Response: The proposed project is inconsistent with the goals and policies above in that it would establish a drive-through restaurant within 950 (walking) feet of the future Truxel Road/Gateway Park Boulevard Light Rail Station. This area is intended to grow employee-intensive and supportive uses that would take advantage of the area’s proximity to the light rail station.
The proposal to redevelop this vacant site with a with a drive-through restaurant use would interfere with the long-term General Plan vision for the Regional Commercial Center designation. Specifically, the project would construct a 3,329 square-foot restaurant building with dual drive through lanes on a 1.77-acre parcel, which results in a FAR of 0.04, far below the minimum FAR requirements in the General Plan in a location where higher FAR or ridership-generating uses should be encouraged.
The low development intensity coupled with auto-centric use on-site runs contrary to the vision for the Regional Commercial Center designation, which discourages low-intensity and auto-oriented uses around transit stations to reduce pollution and automobile dependence. The areas nearest to light rail stations (within ½ mile) that are walkable and bikeable represent the areas of the City where there is the greatest potential of return on investment if high-density housing and job-intensive uses are implemented. Staff find that the proposed drive-through restaurant use and its operating characteristics prioritizes the convenience needs of automobiles, which is highlighted by the double drive-through lane design.
• Goal ER 6.1 (Improved Air Quality). Improve the health and sustainability of the community through improved regional air quality and reduced greenhouse gas emissions that contribute to climate change.
o Policy ER 6.1.7 (Greenhouse Gas Reduction in New Development). The City shall reduce greenhouse gas emissions from new development by discouraging auto-dependent sprawl and dependence on the private automobile; promoting water conservation and recycling; promoting development that is compact, mixed use, pedestrian friendly, and transit oriented; promoting energy-efficient building design and site planning; improving the jobs/housing ratio in each community; and other methods of reducing emissions.
Staff Response: The proposed project is inconsistent with the goal and policy above in that it establishes an auto-centric use in the proximity of six other auto-centric uses that are all within ¼ mile of the future light rail station. Auto-centric uses are high-impact uses, and the 2035 General Plan encourages the City to avoid the concentration of high-impact uses and facilities in a manner that disproportionately affects a particular neighborhood, center, or corridor to ensure that such uses do not result in an inequitable environmental burden. In this case, the project site is adjacent to four existing drive-through restaurants and two, 12 pump gas stations with accessory car washes. The proposal to establish another drive-through restaurant in an area concentrated with auto-uses contributing to auto-dependent sprawl, is contrary to the City’s goals and policies surrounding greenhouse gas reduction. Further, this area is intended to grow employee intensive and supportive uses that would take advantage of the area’s proximity to the light rail station. However, the proposed use does not generate substantial light rail ridership and does not contribute to a long-term healthy pedestrian environment which focuses on compact, mixed-use and transit-oriented development.
General Plan - North Natomas Community Plan
The subject property is located within the North Natomas Community Plan Area of the General Plan. The North Natomas Community Plan Area is located in the northwest portion of the City of Sacramento, which is part of the greater Natomas Basin. The community is bounded by Elkhorn Boulevard on the north, I-80 on the south, the Natomas East Main Drainage Canal on the east, and the West Drainage Canal, Fisherman’s Lake, and Highway 99 on the west. The North Natomas Community Plan includes an integrated mixture of residential, employment, commercial, and civic uses. Residential development is predominantly suburban single-family with some multi-family dwelling units. Neighborhoods including Natomas Creek, Regency Park, Heritage Park, Natomas Meadows, Valley View Acres, Natomas Park, Terrace Park, Creekside, Natomas Central, Westlake, Sundance Lake, Natomas Crossing, and Gateway West are spread throughout the Plan Area.
The Community Plan envisions an urban form for North Natomas that includes a well-integrated mixture of residential, employment, commercial and civic uses, interdependent on quality transit service and a radial network of connections linking activity centers with streets, transit routes, and linear parkways with pedestrian/bike trails. The Downtown-Natomas-Airport (DNA line) light rail transit (proposed as of 2009) will eventually link the employment centers and the airport to the greater Sacramento area. The community seeks to be interdependent on transit with high-density residential uses and intense employment generators near transit to provide riders for the light rail stations and bus transit centers.
The following are relevant policies from the North Natomas Community Plan:
Policy NN.LU 1.10 (Density Near Transit). Because of the interdependence of the community on transit and the desire to promote transit ridership, the City shall allow the residential land areas within ¼ mile of a light rail station or bus transit center to exceed the maximum high-density range.
Policy NN.M 1.7 (Phasing the Transit System). The City shall provide for the development of a community based on high accessibility to transit services as a primary goal of this community plan. Transit planning must be sensitive to the ways in which alignment, stop/station location, and access affect development potential and long-term economic viability of the community. Likewise, the concentration of land uses shall be sufficient to support quality transit service. With the advent of the first development, express bus service shall serve the inter-community transit needs. The second phase of development would see the advent of local bus service and shuttle service. The third phase shall see development along the rail corridor in sufficient intensity to warrant extension of electric trolley and/or light rail service. Regional Transit, the North Natomas Business Association, or Transportation Management Association (TMA) should periodically evaluate transit services to determine if ridership is sufficient to warrant an upgrade in the type of service provided to the community.
Staff Response: The project is inconsistent with this policy and the North Natomas Community Plan in that the project proposes an auto-centric use within a ¼ of a future light rail stop, which does not support the long-term economic viability of transit service. The Community Plan identifies that North Natomas will benefit from a symbiotic relationship between transit and land use. To this end, the transit system must be sensitively planned to provide a valuable, convenient service to residents and workers. Land uses must also be planned to provide the ridership base necessary to support a successful transit system that includes Regional Transit light rail, bus transit, and a community shuttle system. The areas nearest to light rail stations (within ½ mile) that are walkable and bikeable represent the areas of the City where there is the greatest potential of return on investment if high-density housing and job-intensive uses are implemented. Auto-oriented uses (such as drive-through restaurants) near light rail stations contradict both the density and walkability needed to support transit use and are inconsistent with the North Natomas Community Plan’s vision to encourage and facilitate quality pedestrian, bicycle, and transit access -rather than exclusive automobile access and prioritization. For these reasons, staff find the proposed use is inconsistent with the North Natomas Community Plan.
Coral Business Center Planned Unit Development
The subject site is located within the Coral Business Center PUD which was originally adopted in 1990. No goals or policies specific to the Coral Business Center PUD have been adopted.
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EnvironmentalConsiderations
Environmental Considerations: On January 5, 2017, the City Council adopted a Mitigated Negative Declaration (SCH Number 2016082045) and approved entitlements for the Natomas Fountains retail project, which would develop approximately 115,960 sf of retail, restaurant, and other commercial uses on a 12.54-acre site that includes the 1.77-acre project site subject to the current development proposal. Since approval of the Natomas Fountains retail project, the project site has not been developed. The site remains vacant and is periodically disced to remove vegetation.
Environmental Planning Services determined that environmental review for the project would require only minor technical changes to the previous environmental documents, and that none of the circumstances set forth in CEQA Guidelines section 15162 were present. These circumstances include changes in the project or circumstances that would result in a new significant effect, or an increase in the severity of a significant effect. An Addendum to the previously approved MND was prepared. The Addendum, original Mitigated Negative Declaration, and the resolution with the adopted Mitigation Monitoring Program (MMP) have been posted and are available on the Community Development Department web site for environmental documents at:
https://www.cityofsacramento.gov/community-development/planning/environmental/impact-reports
200-Year Flood Protection: State Law (SB 5) and Planning and Development Code chapter 17.810 require that the City must make specific findings prior to approving certain entitlements for projects within a flood hazard zone. The project site is within a flood hazard zone and is an area covered by SAFCA’s Improvements to the State Plan of Flood Control System, and specific findings related to the level of protection have been incorporated as part of this project. Even though the project site is within a flood hazard zone, the facilities of the State Plan of Flood Control or other flood management facilities protect the project to the urban level of flood protection. This is based on the SAFCA Urban Level of Flood Protection Engineer’s Reports accepted by the City Council on October 21, 2025 (Resolution No. 2025-0283).
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RationaleforRecommendation
Rationale for Recommendation: Staff recommend the Planning and Design Commission deny the requested entitlements to establish a drive-through restaurant use in the Shopping Center (SC-PUD) zone, within the Corral Business Center PUD. The proposed project does not align with the vision, goals and policies of the General Plan and the North Natomas Community Plan related to transit-oriented development, regional leadership, sustainable development patterns, centers served by transit, and multimodal choices, as discussed above.
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FinancialConsiderations
Financial Considerations: Not applicable.
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LocalBusinessEnterprise
Local Business Enterprise (LBE): No goods or services are being purchased under this report.
EconomicImpacts
Economic Impacts: Not applicable.
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Sustainability
Sustainability: Not applicable.
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Commission/Committee Action
Commission/Committee Action: On November 13, 2025, the Planning and Design Commission (PDC) passed a motion 1) directing staff to return to a future hearing date with the necessary Findings of Fact and Conditions of Approval to allow for project approval; and 2) requesting staff reach out to SacRT staff to weigh in on the project.
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