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Another multi-story development in downtown Grover Beach? See the plans

Developer Gorman Post, LLC, is planning to build a four-story, 55-foot mixed-use building featuring 30 units and ground-floor commercial space at 501 and 551 West Grand Ave. in Grover Beach.
Developer Gorman Post, LLC, is planning to build a four-story, 55-foot mixed-use building featuring 30 units and ground-floor commercial space at 501 and 551 West Grand Ave. in Grover Beach.

A new mixed-use development planned on Grover Beach’s West Grand Avenue made its first appearance before the city’s Planning Commission this week.

On Tuesday, the applicant Gorman Post, LLC, introduced its pre-application for a four-story high-density mixed-use building at 501 and 502 West Grand Ave., the first step toward getting the project approved.

Consisting of 30 residential condominiums and 2,392 square feet of ground-floor commercial space, the project is the latest to join a growing list of mixed-use developments looking to redevelop West Grand Avenue.

Tuesday’s presentation marked the first step in the project’s path toward approval, though it’s currently unclear when the project will appear before the Planning Commission for its approval hearing.

Resident Kelvin Coveduck, one of the proponents of the “No More Tall Buildings” ballot measure, surprisingly said he was in support of the project, which meets the city’s current 55-foot maximum height limit, but is taller than the ballot measure’s the proposed height restrictions.

Coveduck said the initiative would not apply to the project because it includes several units of deed-restricted affordable housing — a component that most of the other multi-story buildings that have sprouted along the downtown core lack — and said that carveout would likely incentivize more multi-story buildings to include affordable options.

“I’m assuming these four units are going to be for working people,” Coveduck said. “I am looking forward to that initiative passing and having projects like this, and the fact that it’s not in a residential area like Front Street is very encouraging because it won’t block our scenic views and vistas from the public roads.”

Developer Gorman Post, LLC, is planning to build a four-story, 55-foot mixed-use building featuring 30 units and ground-floor commercial space at 501 and 551 West Grand Ave. in Grover Beach.
Developer Gorman Post, LLC, is planning to build a four-story, 55-foot mixed-use building featuring 30 units and ground-floor commercial space at 501 and 551 West Grand Ave. in Grover Beach. Courtesy of Eddie Herrera Design Studio

30 new units planned on West Grand Avenue

As has been the case with many of the mixed-use developments on West Grand Avenue, the project makes use of the state’s density bonus law, which allows developers to request concessions in exchange for deed-restricting some of the units as affordable homes.

In this project’s case, the project received a 30% density bonus that increased the allowable number of units from 17 “density units” to 23 in exchange for making four units affordable housing for very low-income households, according to the meeting staff report.

All units would be on the second, third and fourth floors, featuring private balconies topped with a private rooftop deck along the West Grand Avenue side of the building, according to the staff report.

The building would stand 55 feet tall, with elevator and stair towers tacking on an additional 8 feet in some places, according to the staff report.

Developer Gorman Post, LLC, is planning to build a four-story, 55-foot mixed-use building featuring 30 units and ground-floor commercial space at 501 and 551 West Grand Ave. in Grover Beach.
Developer Gorman Post, LLC, is planning to build a four-story, 55-foot mixed-use building featuring 30 units and ground-floor commercial space at 501 and 551 West Grand Ave. in Grover Beach. Courtesy of Eddie Herrera Design Studio

The project would also include 45 on-site parking spaces, exceeding the 42-space requirement, according to the staff report.

Access to those parking spots would be made via a two-way driveway on North 5th Street and a one-way exit driveway onto West Grand Avenue, according to the staff report.

Sharing a lot border with the two-story Sea View Inn to the north, the project will be set back by 40 feet from the hotel to provide adequate separation, according to the staff report.

Developer Gorman Post, LLC, is planning to build a four-story, 55-foot mixed-use building featuring 30 units and ground-floor commercial space at 501 and 551 West Grand Ave. in Grover Beach.
Developer Gorman Post, LLC, is planning to build a four-story, 55-foot mixed-use building featuring 30 units and ground-floor commercial space at 501 and 551 West Grand Ave. in Grover Beach. Courtesy of Eddie Herrera Design Studio

Development to replace existing businesses

As is, the 0.46-acre property is home to a residential building at 551 W Grand Ave. and a building at 501 W Grand Ave. that contains the restaurant Mr. Noods, Vintage Finds thrift store and formerly Beads Beads Beads.

Development of the project site will require the demolition of those buildings, which were bought by the applicant in recent years.

Applicant representative Bob Stewart said tenants of the existing buildings were “paid a nice fee” to shorten their leases, and they will be offered right of first refusal for the new commercial space.

However, it doesn’t look like the current tenants are taking the developer up on that offer.

The storefront of Mr. Noods is overshadowed by the Encore development by Coastal Community Builders on West Grand Avenue in Grover Beach on June 12, 2026. The business is facing relocation as its lot is redeveloped into another multi-story, mixed-use building.
The storefront of Mr. Noods is overshadowed by the Encore development by Coastal Community Builders on West Grand Avenue in Grover Beach on June 12, 2026. The business is facing relocation as its lot is redeveloped into another multi-story, mixed-use building. Joan Lynch jlynch@thetribunenews.com

Beads Beads Beads opted to move into a space at 151 N 7th St. earlier this summer.

It’s immediate neighbor, Mr. Noods, is looking for a new place to set up shop, as it would be costly to reinstall a kitchen and dining room into multi-story buildings’ commercial spaces, owner Peter Leng told The Tribune last month.

Even though he was offered a five- to 10-year lease and startup money to cover some initial improvements, ground-floor commercial spaces often lack existing ventilation for stove hoods, which increases the startup costs beyond what he’s able to pay, Leng said.

“The owner will pay us up front the money to put in all the equipment, but there’s nothing there,” Leng said, adding that there’s “not even a light working, so you’ve got to work from scratch.”

Joan Lynch
The Tribune
Joan Lynch is a housing reporter at the San Luis Obispo Tribune. Originally from Kenosha, Wisconsin, Joan studied journalism and telecommunications at Ball State University, graduating in 2022.
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