For the Planning Commission Meeting of February 19, 2025
TO: Honorable Chairman and Planning Commissioners
APPROVAL: Colby Cataldi, Director of Community Development
REVIEWED BY: Paul Gonzales, Community Development Manager
FROM: Daniel Rosas, Senior Planner
Title
Conditional Development Permit No. 2024-0018 and Environmental Assessment Review 2025-0002 (Master Case No. 2024-0037): A request to operate an overstock/discount store located at 560 West Foothill Boulevard within an existing 3,205 square foot commercial inline unit of an existing shopping center (APN: 0127-572-38) and consideration of a CEQA Exemption pursuant to Section 15301 (Class 1), Existing Facilities. The site is located within the Commercial Pedestrian (C-P) land use designation of the Foothill Boulevard Specific Plan.
Body
APPLICANT:
Fouad Habashy, 6173 La Costa Pl., Fontana, CA 92336.
LOCATION:
The project site is located at 560 West Foothill Boulevard (APN: 0127-572-38) within an existing commercial center (Exhibit A).
BACKGROUND:
Surrounding Land Use and Zoning

General Plan Designations
|
Location |
General Plan Designation |
|
Site |
Specific Plan with a Specific Plan Overlay (Foothill Boulevard SP) |
|
North |
Residential 6 (2.1 - 6.0 dwelling units per acre) |
|
South |
Specific Plan with a Specific Plan Overlay (Foothill Boulevard SP) |
|
East |
Specific Plan with a Specific Plan Overlay (Foothill Boulevard SP) |
|
West |
Specific Plan with a Specific Plan Overlay (Foothill Boulevard SP) |
Surrounding Area
The properties north of project site are zoned as Single-Family Residential (R-1C). The properties to the south, across Foothill Boulevard, are commercial businesses zoned as Commercial Mixed Use (CMU) in the Foothill Boulevard Specific Plan. The properties to the east and west of the project site are commercial businesses zoned as Commercial Pedestrian (C-P) in the Foothill Boulevard Specific Plan.
ANALYSIS/DISCUSSION:
Project Proposal
Fouad Habashy, the applicant, proposes to operate an overstock/discount store within a currently vacant 3,205 square-foot unit located in the center of the commercial retail center (Exhibits B & C). The proposed discount store is not a national chain operation, but instead is sole proprietor owned. The proposed store will engage in the sale of overstock/discontinued and returned items that have been acquired from national chain stores such as Walmart, Costco, etc. The proposed operating hours requested are from 10:00 a.m. to 6:00 p.m. Monday through Saturday consisting of one full-time employee and three part-time employees.
Entitlement Requirements
Per Section 18.66.030.Q of the Rialto Municipal Code, the establishment of a single-price overstock/discount store is subject to the approval of a Conditional Development Permit. The applicant complied with this requirement and filed a completed Conditional Development Permit (CDP2024-0018) application on November 12, 2024.
Locational Requirements
On March 14, 2012, the Planning Commission instituted a policy requiring a one-half (0.5) mile separation between sole proprietor owned single-price overstock/discount stores, and a one (1) mile separation between national chain single-price overstock/discount stores. Since the proposed discount store is a sole proprietor operation, the Planning Division staff reviewed the proposed location and found there is no other sole proprietor owned overstock/discount store located within one-half (0.5) mile. Planning Division staff and has determined that the addition of the proposed discount store will not create an over-proliferation serving the immediate area beyond what the Planning Commission has previously approved.
Land Use Compatibility
The existing commercial retail center accommodates various retail establishments. Other tenants include a credit union, gas station, dentist, barber shop, laundromat, tax office and other similar retail/service establishments. With the approval of the Conditional Development Permit, the proposed discount store can be subject to a Planning Commission review within six (6) months from the date of approval to ensure compliance of all Conditions of Approval, and to ensure that the establishment has not become a nuisance.
GENERAL PLAN CONSISTENCY:
The project is consistent with the following goals of the Economic Development Element of the Rialto General Plan:
Goal 3-1: Strengthen and diversify the economic base and employment opportunities and maintain a positive business climate.
ENVIRONMENTAL IMPACT:
The discount store is proposed at a currently vacant commercial space in an existing commercial center. The project is Categorically Exempt per Section 15301 (Class 1) Existing Facilities of the California Environmental Quality Act (CEQA).
PUBLIC NOTICE:
The City mailed public hearing notices for the proposed project to all property owners within 660 feet of the project site, posted public notes at the site and City Hall, and published the public hearing notice in the San Bernardino Sun newspaper as required by State law.
RECOMMENDATION:
The Planning Division recommends that the Planning Commission:
1. Determine the project is Categorically Exempt per Section 15301 (Class 1) Exiting Facilities of the California Environmental Quality Act (CEQA); and,
2. Adopt the attached Resolution (Exhibit D) to approve Conditional Development Permit No. 2024-subject to the findings and conditions therein.