DATE: September 25, 2025
TO: Planning Commission
FROM: Steve Kowalski, Senior Planner
SUBJECT
Title
Proposal to Operate a Commercial Cannabis Retail Dispensary in a Vacant Tenant Space in a Shopping Center at 21463 Foothill Boulevard (Assessor Parcel No. 414-0086-056-02) in the General Commercial (CG) Zoning District, Requiring Approval of Conditional Use Permit Application No. UP-25-0011 and a Finding that the Project is Categorically Exempt from the Provisions of the California Environmental Quality Act (CEQA) Pursuant to Section 15301 of the CEQA Guidelines. Esther Lopez and Angilbert Sarkis, Gream Enterprises, Inc. [DBA Phenos Hayward] (Applicant/Operator); Foothill-Grove LLC (Property Owner).
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RECOMMENDATION
Recommendation
That the Planning Commission recommend that the City Council find the proposed project to be categorically exempt from CEQA pursuant to CEQA Guidelines Section 15301, Existing Facilities, and approve Conditional Use Permit (CUP) Application No. UP-25-0011 to allow the establishment of the commercial cannabis retail dispensary as shown in the proposed plans in Attachment V and described in the applicant’s project description in Attachment IV, based on the analysis set forth in this staff report and the required findings contained in Attachment II, and subject to the conditions contained in Attachment III.
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SUMMARY
The applicant is requesting approval of a Conditional Use Permit to operate a Commercial Cannabis Retail Dispensary in the vacant tenant space previously occupied by a Walgreens drugstore at 21463 Foothill Boulevard. The dispensary would be open seven days a week from 9:00 AM to 8:00 PM and would offer cannabis and cannabis-based products to customers 21 years of age and older for recreational use, and 18 years of age and older for medicinal use, as allowed under State law. The project includes a robust security plan which includes the presence of two professionally licensed security guards on the premises during all business hours that has been reviewed and approved by the Hayward Police Department, which the applicant will be required to implement and adhere to at all times, and would include minor alterations to the interior and exterior of the subject tenant space.
The applicant, Esther Lopez, was one of three operators selected by the City Council to operate a retail cannabis dispensary in 2018 and has been looking for a suitable location for several years following the previous approval a Conditional Use Permit in 2020, which has since expired.
ATTACHMENTS
Attachment I Staff Report
Attachment II Draft Findings for Approval
Attachment III Recommended Conditions of Approval
Attachment IV Proposed Business Plan
Attachment V Project Plans
Attachment VI Public Correspondence