Title
[Pass for Publication] Birchway at Natomas Apartments Rezone (P24-033)
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FileID
File ID: 2025-01143
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Location
Location: APN: 225-2110-028-0000, 225-2110-055-0000, 225-2110-056-0000, 225-2110-059-0000, 120 Promenade Circle, District 3
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Recommendation
Recommendation: 1) Review: a) a Resolution adopting the addendum to the previously approved Natomas Recirculated Environmental Impact Report (Per Public Resources Code section 21166 and CEQA Guidelines sections 15162 and 15164); b) an Ordinance approving the Birchway Apartments Development Agreement between the City of Sacramento and Kaiser Foundation Health Plan, Inc. (the “landowner”); c) an Ordinance to rezone 12.9 acres from Employment Center (EC-50-PUD) zoning to Multi-Unit Dwelling (R-3A-PUD) zoning; d) a Resolution for: i) a Planned Unit Development (PUD) Schematic Plan Amendment to designate the site for residential and park-and-ride uses in the Promenade at Natomas PUD; and ii) PUD Guidelines Amendment to allow residential uses; and e) a Resolution for: i) Site Plan and Design Review for the construction of 378 multi-unit dwellings, resident amenities, 165 park-and-ride vehicle parking spaces, and other site improvements totaling 350,050 square feet; and ii) Tree Permit for the removal of four private protected trees and six city-owned trees; and 2) pass for publication the ordinance titles per City Charter section 32(c) to be considered August 26, 2025.
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Contact
Contact: Jose Quintanilla, Associate Planner, (916) 808-5879, jquintanilla@cityofsacramento.org; Stacia Cosgrove, Principal Planner, (916) 808-7110, scosgrove@cityofsacramento.org; Community Development Department
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Presenter
Presenter: Jose Quintanilla, Associate Planner, (916) 808-5879, jquintanilla@cityofsacramento.org, Community Development Department
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Applicant
Applicant: Kris Steward, Plan Steward, Inc., 5716 Folsom Boulevard, #339, Sacramento, CA 95819
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Property Owner
Property Owner: Joseph Crist, Kaiser Foundation Health Plan, Inc., 1 Kaiser Plaza, 22nd Floor, Oakland, CA 94612
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Attachments
Attachments:
1-Description/Analysis
2-Background
3-Resolution: Environmental Determination
4-Ordinance: Development Agreement
5-Exhibit A: Development Agreement
6-Ordinance: Rezone
7-Exhibit A: Rezone Exhibit
8-Resolution: Promenade at Natomas PUD Amendment
9-Exhibit A: Schematic Plan Amendment
10-Exhibit B: Guidelines Amendment
11-Resolution: Entitlements
12-Exhibit A: Project Plans
13-Exhibit B: Tree Permit
14-Community Comments
15-Presentation
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Description/Analysis
IssueDetail
Issue Detail: The applicant is requesting entitlements to construct 378 multi-unit dwellings, resident amenities, 165 park-and-ride vehicle spaces, and other site improvements totaling 350,050 square feet in size.
The following entitlements are requested:
1) Development Agreement: Ordinance approving a Development Agreement between the City of Sacramento and the Landowner, Kaiser Foundation Health Plan, Inc.
2) Rezone: Ordinance rezoning 12.9 acres from Employment Center (EC-50-PUD) zoning to Multi-Unit Dwelling (R-3A-PUD) zoning and Promenade at Natomas Planned Unit Development (PUD).
3) Amendments to the Promenade at Natomas PUD: Resolution amending the Promenade at Natomas PUD schematic plan to designate the site for residential and park-and-ride uses and the PUD guidelines to allow residential uses.
4) Site Plan and Design Review: Site Plan and Design Review for the construction of 378 multi-unit dwellings, resident amenities, 165 park-and-ride vehicle parking spaces, and other site improvements totaling 350,050 square feet.
5) Tree Permit: Tree Permit for the removal of four private protected trees and six city-owned trees.
Rezones and development agreements require approval from the City Council. In accordance with City Code section 17.808.310, all permits associated with a single development project are reviewed and decided at the highest level required for the project.
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Public/NeighborhoodOutreachComments
Public/Neighborhood Outreach and Comments: As part of the application review process, the proposed project was routed to the following neighborhood groups: Natomas Community Association, Natomas Chamber of Commerce, North Natomas Community Coalition, North Natomas Community Association, Preservation Sacramento, Civic Thread, Sacramento Area Bicycle Advocates, and Region Builders.
Staff also mailed hearing notices to all property owners, residents, and neighborhood groups within 500 feet of the project site and posted the site 20 days prior to the public hearing. Staff received a letter from North Natomas Jibe providing recommendations that the applicant should incorporate into their project, including repair of an existing narrow pedestrian entrance at Gateway Park Blvd., recommendations to improve the proposed pedestrian connections, and information on a bicycle and scooter ride share company that the developer could partner with to provide a fleet of rideshare bikes and scooters at the project site.
The pedestrian entrance that Jibe recommended to be fixed is not located on the applicant’s property, and as such the City cannot obligate the developer to repair walkways on another property.
The applicant revised the pedestrian connections in response to comments from Jibe and Planning staff.
The applicant has been working with a bike and scooter rideshare provider to identify location where a fleet of vehicles can be accommodated.
Staff received no additional comments.
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PolicyConsiderations
Policy Considerations:
2040 General Plan
The 2040 General Plan designation for the project site is Office Mixed Use (OMU). The General Plan recognizes that the Office Mixed Use designation is intended to provide space for job centers, office buildings, and business parks, with complementary commercial and service uses that cater to employees throughout the day. Residential development in a standalone format is an allowable use within the OMU designation. The proposed project is a dense residential product in a location where daily errands can be accomplished at nearby commercial centers and corridors and near a proposed light rail station.
Staff finds that the project is consistent with the following General Plan goals and policies:
Goal LUP-1. A compact urban footprint and sustainable development pattern with infrastructure that supports efficient delivery of public services while protecting surrounding open space lands.
Policy LUP-1.8 Jobs-Housing Balance. The City shall encourage a balance between job type, the workforce, and housing development to reduce the negative impacts of long commutes and provide a range of employment opportunities for all city residents.
The proposed apartment development will be located in proximity to a future light rail station which will provide residents with high-quality public transit connections to the rest of the regional light rail and bus system. The residences will be located near a variety of regional shopping centers, office parks, and highway commercial uses, placing residents near job centers.
Goal LUP-2. Balanced and connected community with thriving neighborhoods and centers and development intensities linked to transit.
Policy LUP-2.1 Overall Balance of Uses. The City should encourage a balance and a mix of employment, residential, commercial, cultural, and tourism-related uses, as well as a full range of amenities and services necessary to support a thriving city.
The project site is located near a variety of regional shopping centers, office parks, and highway commercial uses, placing residents close to jobs and services, contributing to a healthy balance of uses.
Policy LUP-2.2 Interconnected City. The City should establish a network of interconnected activity centers, corridors, parks, and neighborhoods that promotes walking, bicycling, and mass transit use as viable alternatives to private vehicles.
The proposed apartment development will be located in proximity to a future light rail station which will provide residents with high-quality public transit connections to the rest of the regional light rail and bus system. The site has been designed to provide multiple pedestrian connections from the project site onto the surrounding public streets.
Policy LUP-2.4 Development Intensity Linked to Transit. The City shall plan for higher development intensities around current and planned transit to optimize public investments and support an accessible, convenient network.
Rezoning the site to allow for multi-unit development takes advantage of the site’s convenient location along the proposed green line. The rezone and PUD amendments acknowledge the reality of the declining office market by providing much needed housing around areas designated for transit-oriented development.
Policy LUP-2.5 Design for Connectivity. The City shall require that all new development maximizes existing and new connections with surroundings and with centers, corridors, parks, and neighborhoods to enhance efficient and direct pedestrian, bicycle, and vehicle movement. When feasible, grid patterns should be utilized to facilitate multiple routes.
The proposed residential development will integrate with the existing commercial developments to the west, east, and south by connecting to the existing street network, including Promenade Circle. The bulk of the site is encumbered with access easements which allows this development to access Promenade Circle and the surrounding driveways.
Goal LUP-4. Walkable, transit-oriented centers and corridors that concentrate new jobs, housing, and entertainment opportunities to support frequent, reliable transit service and foster connected, accessible neighborhoods.
Policy LUP-4.1 Transit-Supportive Development. The City shall encourage increased residential and commercial development intensity within ½-mile of existing high-frequency bus stops and existing and planned light rail stations, bus rapid transit stations, and commuter rail stations to support more frequent, reliable transit service and vibrant, walkable neighborhoods.
Policy LUP-4.10 Multi-Modal Access. The City shall require that new development provide bicycle, pedestrian, and transit access where appropriate to reduce the need for onsite parking and to improve the pedestrian experience within corridors and centers with street trees and landscaping.
Rezoning the site to allow for multi-unit development takes advantage of the site’s convenient location along the proposed green line. The rezone and PUD amendments acknowledge the reality of the declining office market by providing much needed housing around areas designated for transit-oriented development.
North Natomas Community Plan
The project site is located within the South Natomas Community Plan Area of the General Plan. The vision of the Community Plan Area is to exemplify a culturally diverse, healthy, and friendly place to live, with safe neighborhoods, walkable and bikeable streets, vibrant and unique public spaces and attractions, and high-quality new development. This project is consistent with the vision of the community plan Area in that the use provides a high-quality new development and improves existing bicycle and pedestrian connectivity. Staff also finds that the project is also consistent with the following North Natomas Community Plan (NNCP) policy:
Policy NN-LUP-1 Mixed Use Nodes. The City shall continue to increase mixed-use, high-intensity activity centers near planned light rail stops that serve as focal points of the North Natomas Community, and include commercial, employment, residential, civic, and park uses.
The proposed project is within the Promenade at Natomas PUD, of which a majority of the development is regional commercial or highway commercial, including large retail anchors like Target, hotels, and stand-alone restaurants. To the south is the Natomas Marketplace PUD, another large commercial development. The addition of multi-unit residential provides further diversity of uses to the area and will create a mixed-use node around the future light rail station.
Policy NN-LUP-3 Financing Plan. The City shall require all property owners in the Plan area to: 1) participate equitably in the financing mechanisms necessary to finance the design, engineering, and construction of all library, fire, police, street, traffic, water, sewer, drainage improvements and all monitoring programs provided for in this Plan, and 2) pay an equitable share of all the costs incurred in the process of development of the Financing Plan. Guarantees for this shall be via development agreements or other means acceptable to the City staff. All property owners in North Natomas will be required to reimburse the City in an equitable manner for all planning expenses incurred in developing this Community Plan and related documents. The costs will be divided equally by each acre receiving urban land use designations by this Plan. Payment of this cost will be a condition of the development agreements.
All properties in North Natomas are required to enter into a Development Agreement with the City, which serves as the primary mechanism requiring participation in the North Natomas Finance Plan. This PUD was previously under a Development Agreement (Contract 2004-0153) which expired in 2019. Development of this property requires approval of a new development agreement.
Policy NN-M-5 Light Rail Stations. The City shall encourage transit-oriented development around existing and planned light rail stations.
Rezoning the site to allow for multi-unit development takes advantage of the site’s convenient location along the proposed green line. The rezone and PUD amendments acknowledge the reality of the stagnant office market by providing much needed housing around areas designated for transit-oriented development.
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 purpose is to ensure that new development will have protection from a 200-year flood event or will achieve that protection by 2025. 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 local flood management agency, SAFCA, has made adequate progress on the construction of a flood protection system that will ensure protection from a 200-year flood event or will achieve that protection by 2025. This is based on the SAFCA Urban level of flood protection plan, adequate progress baseline report, and adequate progress toward an urban level of flood protection engineer’s report that were accepted by City Council Resolution No. 2016-0226 on June 21, 2016, and the SAFCA 2024 Adequate Progress Annual Report accepted by City Council Resolution No. 2024-0311 on October 22, 2024.
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EconomicImpacts
Economic Impacts: Not applicable.
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EnvironmentalConsiderations
Environmental Considerations: On September 28, 2004, pursuant to the California Environmental Quality Act (Public Resources Code §21000 et seq. (“CEQA”), the CEQA Guidelines (14 California Code of Regulations §15000 et seq.), and the City of Sacramento environmental guidelines, the City Council certified a recirculated environmental impact report (REIR) and, having reviewed and considered the information contained in the REIR, adopted findings of fact and findings of overriding consideration, adopted a mitigation monitoring program, for the Promenade at Natomas (P00-033) PUD project (Project), Resolution No. 2004-0773.
On October 23, 2008, the Planning Commission approved the Gateway Corporate Center project (P08-048) Addendum to the Promenade at Natomas REIR. The Gateway Corporate Center Project amended the Promenade at Natomas PUD Schematic Plan to include 663,200 sf of regional retail use, 155,765 sf of hotel use, and a 1,415-stall parking garage and 350-space park-and-ride lot. The Gateway Corporate Center Project also increased the employment uses from 590,000 sf of existing office space to a total of 650,000 sf of office space. The Gateway Corporate Center Project was not constructed and approvals expired in October 2011.
Based on its review of the Birchway at Natomas Apartments Rezone project application (Project Modification), the Environmental Services Manager has determined that the proposed changes to the previous projects do not require the preparation of a subsequent EIR (see CEQA Guidelines 15162). The proposed modifications to development of the project site with the revised site plan do not trigger the criteria set forth in CEQA Guidelines Section 15162. Thus, an Addendum is the appropriate CEQA document. The Promenade at Natomas REIR, Gateway Corporate Center Addendum, and the Birchway at Natomas Apartments Addendum are available on the City’s EIR webpage at:
https://www.cityofsacramento.gov/community-development/planning/environmental/impact-reports
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Sustainability
Sustainability: Not applicable.
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Commission/Committee Action
Commission/Committee Action: On July 28, 2025, the Planning and Design Commission voted to forward a motion to approve the proposed project.
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RationaleforRecommendation
Rationale for Recommendation: Staff recommends the City Council approve the requested entitlements based on the findings of fact and subject to the conditions listed within Attachments 3-11. The proposal complies with the goals and policies of the 2040 General Plan in that this residential development will make use of a vacant parcel and provide much needed housing adjacent to future transit. The creation of additional for-rent housing opportunities furthers the city’s goal of encouraging additional housing choices, while also designing an interconnected neighborhood with pedestrian and bicycle amenities for a family-friendly neighborhood.
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FinancialConsiderations
Financial Considerations: Not applicable.
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LocalBusinessEnterprise(LBE)
Local Business Enterprise (LBE): No goods or services are being purchased under this report.
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