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Record of Proceedings

Walnut Creek Planning Commission Meeting - May 28, 2026: Short-Term Rental Denied, Restaurant Alcohol Hours Extended

City Council — Thursday, May 28, 2026
BodyWalnut Creek, California
SessionCity Council
DateThursday, May 28, 2026
StatusFILED
Video Record
0:00 / 1:41:52

Transcript — VerbatimClick a timed line to jump · ⧉ to share it
0:13

Good evening and welcome to the May 28th Planning Commission meeting.

0:18

Will the Secretary please call the roll?

0:22

Yes.

0:22

Commissioner Moran?

0:24

Here.

0:25

Commissioner Count?

0:26

Here.

0:26

Commissioner Kwok.

0:28

Here.

0:28

And Chair Needing?

0:30

Here.

0:30

And for the record, Vice Chair Klopp and Commissioner Strongman and Commissioner Anderson are absent tonight, and they did notify staff in advance.

0:39

So we have four and we do have a quorum.

0:41

Thank you.

0:42

Thank you.

0:43

I don't see anything, but just to confirm, is there anything on the consent calendar?

0:48

Nothing on the consent calendar.

0:50

Perfect.

0:51

So there are two opportunities for the public to provide comment.

0:55

The first one is during the agenda item as it pertains to the agenda item.

0:59

The second opportunity is when it is not on the agenda item, but it falls within the purview of the planning commission.

1:06

So I did want to ask, since I see some folks in the room, are there any public comments that are not on the agenda?

1:14

Seeing none.

1:19

I want to ask the uh my fellow commissioners if there's been any ex parte communication.

1:26

Seeing a lot of shaking heads.

1:28

Okay, then let's move on to item number four A, which I believe it has been postponed.

1:37

Oh, go ahead.

1:39

That is correct.

1:40

So we are pulling the cash in short-term rental Y25-105 project off the agenda, and it will be scheduled to a date uncertain, so it's continued tonight.

1:52

Thank you.

1:54

Perfect, thank you.

1:55

So now moving on to item 4B, application Y 2506, the Crow Short Term Rental.

2:03

The staff have a presentation.

2:06

And before we begin, I wanted to introduce.

2:14

She is the city's new assistant director, and uh we are very thrilled to have her uh to be a part of our team and also to lead our team.

2:22

So please welcome Malee.

2:24

Welcome to you all.

2:26

Um, press, nope.

2:29

Still learning the buttons.

2:31

Anyways, thank you all so much for welcoming me.

2:33

I really look forward to getting to know all of you more and serving this wonderful community.

2:38

Well, we're glad to have you here.

2:40

Thank you so much.

2:44

Okay, uh, good evening, Chair, Vice Chair, and members of the planning commission.

2:48

My name is Stephen Cook, assistant planner with the city's community development department.

2:53

Uh before you this evening is a request for a conditional use permit to establish a short-term rental within an existing single family home located at 635 Mandarin Lane.

3:05

The associated planning application number is Y25-086.

3:14

The project site is located in the northern portion of the city within the Woodlands neighborhood.

3:20

The property is a 12,000 square foot reverse corner lot with frontages along both Mandarin Lane and Sugarberry Court.

3:28

The site is developed with a single story, approximately 2100 square foot residence and an attached 539 square foot two-car garage.

3:40

The main entrance to the home is oriented toward and accessed from Mandarin Lane, while the garage and driveway access are provided from Sugarberry Court.

3:49

Surrounding land uses include similar single-family residences, Belly Verde Elementary School, and nearby commercial and community serving uses.

4:41

Following the application submittal, additional reports were received by both planning and code enforcement staff indicating that the property may have continued operating as a short-term rental.

4:55

As a result, on March 23rd of 2026 of this year, planning staff issued a letter to the property owner advising that the online advertisements be removed and noting that the operation without the appropriate permit constitutes a violation of the city's municipal code.

5:12

Additionally, on April 14th of 2026, code enforcement staff issued a separate letter directing the property owner to remove all online advertisements and future bookings by April 24th, 2026.

5:26

On April 21st of 2026, the applicant confirmed receipt of this information.

5:32

And as part of staff's due diligence leading up to tonight's planning commission meeting, site visits were conducted on May 1st and May 18th of this year, and during both site visits, staff observed no active on-site activity during daytime hours.

5:49

Transitioning to the project details, the applicant submitted a business operating plan, which is included as attachment 4 to the agenda report.

5:58

This slide summarizes the proposed operational characteristics of the short-term rental.

6:03

The property owner, excuse me, the property would operate as an unhosted accommodation and would be managed by a designated host rather than the property owner.

Discussion Breakdown — Share of Meeting
Zoning and Planning█████████████████████████████████████████████84%
Procedural████7%
Community Engagement██3%
Economic Development█2%
Public Safety█2%
Code Enforcement█2%
Summary of Proceedings

Walnut Creek Planning Commission Meeting - May 28, 2026

The Walnut Creek Planning Commission met on Thursday, May 28, 2026, at 6:00 PM in the Council Chamber. The meeting lasted until 7:40 PM. Commissioners Pamela Nieting (Chair), Brendan Moran, Cherise Khaund, and Steven Kwok were present; Vice Chair Molly P. Clopp, Commissioner Ken Strongman, and Commissioner Brandt Andersson were absent. The commission considered three public hearing items: one short-term rental application that was pulled, one short-term rental that was denied, and one restaurant alcohol hour extension that was approved.

Consent Calendar

  • No items were on the consent calendar.

Public Comments & Testimony

  • Item 4b (Krauss Short-Term Rental): Jan Warren, a neighbor of 40 years, expressed frustration with the city's response and noted ongoing unpermitted activity, including a car parked in front of her driveway. Jim McCamish argued that the draft resolution did not adequately demonstrate consistency with the General Plan, specifically regarding neighborhood protection. Jane McCamish reported being woken up multiple times by loud talking from the property and cited safety concerns due to the house advertised to sleep 14 people.
  • Item 4c (Daryoush Restaurant): No public speakers commented.

Discussion Items

  • Item 4a (Cashion Short-Term Rental): This item was pulled from the agenda and will be rescheduled to a date uncertain.
  • Item 4b (Krauss Short-Term Rental, 635 Mandarin Lane): Assistant Planner Steven Cook presented the staff report. The applicant, Hector Krauss, requested a Conditional Use Permit (CUP) for an unhosted short-term rental (STR) with stays up to 30 days. Staff noted the property had been operating without a permit despite multiple notices from planning and code enforcement in August 2025 and March/April 2026. The applicant gave a presentation arguing the STR benefits the local economy (citing 173 STRs in Walnut Creek generating $7.3 million annually) and emphasized noise monitors, cameras, and guest screening. Commissioners discussed the difficulty of making the required findings, especially Finding C (max stay one week) and Finding 2 (no detriment to public health/safety/welfare). Concerns about the applicant's noncompliance and lack of neighbor dialogue led Commissioner Khaund to move to deny the CUP. Staff clarified that a resolution would be brought to a future meeting to formalize the denial reasons. The motion passed 3-1 (Kwok dissenting).
  • Item 4c (Daryoush Restaurant, 1534 Locust Street): Senior Planner Simar Gill presented a request for a CUP to extend alcohol sales/service hours from 11:00 PM to 12:30 AM (last call) and consumption until 1:00 AM, seven days a week. The restaurant currently operates under an administrative use permit with no police calls for service. Applicant Daryoush Ermagan stated the extension would help retain customers. The commission found the application straightforward and voted unanimously to approve.

Key Outcomes

  • Item 4b – Motion to Deny Krauss Short-Term Rental CUP: Passed 3-1 (Moran, Khaund, Nieting yes; Kwok no). A formal resolution will be presented at a later meeting to articulate the basis for denial.
  • Item 4c – Motion to Approve Daryoush Restaurant CUP: Passed unanimously 4-0 (all present commissioners in favor). The permit allows alcohol sales until 12:30 AM and consumption until 1:00 AM daily.
  • Next Meeting Notes: Staff announced that the June 11, 2026 meeting agenda is full; the June 25, 2026 meeting will be a joint commission session for the General Plan kickoff.

Meeting Transcript

Good evening and welcome to the May 28th Planning Commission meeting. Will the Secretary please call the roll? Yes. Commissioner Moran? Here. Commissioner Count? Here. Commissioner Kwok. Here. And Chair Needing? Here. And for the record, Vice Chair Klopp and Commissioner Strongman and Commissioner Anderson are absent tonight, and they did notify staff in advance. So we have four and we do have a quorum. Thank you. Thank you. I don't see anything, but just to confirm, is there anything on the consent calendar? Nothing on the consent calendar. Perfect. So there are two opportunities for the public to provide comment. The first one is during the agenda item as it pertains to the agenda item. The second opportunity is when it is not on the agenda item, but it falls within the purview of the planning commission. So I did want to ask, since I see some folks in the room, are there any public comments that are not on the agenda? Seeing none. I want to ask the uh my fellow commissioners if there's been any ex parte communication. Seeing a lot of shaking heads. Okay, then let's move on to item number four A, which I believe it has been postponed. Oh, go ahead. That is correct. So we are pulling the cash in short-term rental Y25-105 project off the agenda, and it will be scheduled to a date uncertain, so it's continued tonight. Thank you. Perfect, thank you. So now moving on to item 4B, application Y 2506, the Crow Short Term Rental. The staff have a presentation. And before we begin, I wanted to introduce. She is the city's new assistant director, and uh we are very thrilled to have her uh to be a part of our team and also to lead our team. So please welcome Malee. Welcome to you all. Um, press, nope. Still learning the buttons. Anyways, thank you all so much for welcoming me. I really look forward to getting to know all of you more and serving this wonderful community. Well, we're glad to have you here. Thank you so much. Okay, uh, good evening, Chair, Vice Chair, and members of the planning commission. My name is Stephen Cook, assistant planner with the city's community development department. Uh before you this evening is a request for a conditional use permit to establish a short-term rental within an existing single family home located at 635 Mandarin Lane. The associated planning application number is Y25-086. The project site is located in the northern portion of the city within the Woodlands neighborhood. The property is a 12,000 square foot reverse corner lot with frontages along both Mandarin Lane and Sugarberry Court. The site is developed with a single story, approximately 2100 square foot residence and an attached 539 square foot two-car garage.

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