City Council - February 2, 2026

Council signals support for Encina housing concept while raising traffic concerns

The City Council gave generally positive but informal feedback to a proposed 158-unit rental development at 44 and 88 Encina Avenue, while emphasizing that traffic, parking, design, utilities and site access require further work. The prescreening was nonbinding, and no land-use approval was granted.

The concept calls for rezoning the north parking lot of Town and Country Village from Community Commercial to Planned Community/Planned Home Zoning. It would place the apartments in two seven-story buildings reaching 85 feet, compared with the district's 50-foot height allowance. The plan includes 315 parking spaces—150 replacement commercial spaces and 165 residential spaces—and would be required to provide 32 below-market-rate units, representing 20% of the homes at 80% of area median income.

The applicant said it is under contract to acquire the previously approved townhouse site at 70 Encina Avenue and anticipates filing a unified proposal with closer to 200 homes. Council members supported pursuing a combined project but acknowledged that the acquisition is not complete.

Council members called for detailed study of traffic, construction parking, the Encina Avenue entrance, bicycle and pedestrian connections, rideshare and loading access, and accessible bicycle parking. They also sought more context-sensitive massing, landscaping and roof design near Town and Country Village, along with attention to setbacks and daylight planes. Public comments were mixed, with support for housing near transit, jobs and retail alongside concerns about parking, safety, zoning and retail access.

A formal application would face environmental review and analysis of historic-resource effects, circulation, parking and development standards. The applicant and city staff must also address utility easements near the Caltrain tracks, undergrounding requirements and the feasibility of building across nine unmerged parcels. Questions about the applicability of SB 79, which takes effect July 1, also remain unresolved.

Council approves commission work plans with housing and utility amendments

The council voted 7-0 to approve the fiscal year 2026 work plans for the Architectural Review Board, Historic Resources Board, Planning and Transportation Commission and Utilities Advisory Commission. Amendments added implementation of SB 79 to the architectural and planning commissions' work, endorsed expanding objective design standards to townhomes, and supported closer coordination among the architectural, historic resources and planning bodies.

The Utilities Advisory Commission's plan was amended to include review of specific utility-reliability goals. Council did not set reliability targets. The commission's broader work includes rates, grid modernization, wildfire mitigation, fiber service, natural-gas transition planning and data-center impacts. Staff said a reliability and resiliency strategic plan is expected to return to council in March 2026.

A separate Sustainability Climate Action Plan work-plan item was deferred until March 2.

TheaterWorks expresses interest in a Cubberley partnership

Council received an update that TheaterWorks has expressed interest in partnering with the city and relocating its activities to Cubberley Community Center. It could become a second potential partner for the long-term Cubberley initiative; Friends of Palo Alto Recreation and Wellness already has a letter of intent. The update did not include a council decision.

Primary sources

Watch the meeting on YouTube · Read the official meeting packet