On Tuesday, the Walnut Creek City Council will discuss a 3-story Porche dealership and approve changes that provide alternative definitions to accommodate a modern vertical dealership.
The proposed project would demolish the existing buildings to redevelop the site into a three-level, full-service car dealership offering new and used vehicle sales and service repairs. Access would be provided from both N. Main and 2nd Avenue.
The 2.42-acre site requires assembling three parcels located at the northwest corner of 2nd Avenue and N. Main Street, bounded by the Contra Costa Canal to the north and three single-family homes on Vartan Court to the west. The site is developed with a mix of older buildings, including the two-story Masses Sports Bar & Grill, a former single-family home, and a vacant service building. All existing improvements would be demolished, and all trees would be removed. The project would require dedicating right of way to meet the future street setbacks: 50-foot half-width along N. Main Street and 30-foot half-width on 2nd Avenue.
According to the staff report, the site has topographic challenges as it slopes downward to the north from the 139-foot elevation near the 2nd Avenue and N. Main Street intersection to 124 feet near Masses Sports Bar. The high point is the 139-foot elevation at the peak of a knoll near the intersection. Elevations along the western edge are approximately four feet higher than the adjacent residence at 8 Vartan Court, creating a distinct grade separation. The N. Main Street frontage has curb, gutter, and sidewalk, while 2nd Avenue’s frontage is partially improved. The surrounding area includes commercial uses to the north, south, and east, with residential uses to the west
The proposed dealership is a three-level building with a partially open-air rooftop inventory deck and consists of the following:
- Lower Level (partial basement) is designed to provide structured vehicle inventory storage for 83 vehicles. It is located beneath the main showroom and vehicle service areas. Access is provided along the east side of the building for employee use only. This level also provides bicycle parking, and support functions (parts storage, car wash, detailing).
- Level 1 (main floor) is organized into three primary areas: the customer showroom, the service shop, and associated support spaces. The showroom faces both N. Main Street and 2nd Avenue, featuring extensive glazing at the curved corner that showcases the customer reception area and amenities. To the south, the floor includes a 22-bay service repair facility, accessible from the south elevation. The showroom floor elevation is approximately 2 feet higher than the service/repair side, with an internal ramp accommodating the grade transition between the two levels. Outside the building are 48 surface parking spaces for customers, employees, and vehicle display wrapping around three sides of the building.
- Level 2 (showroom and offices) includes a secondary showroom with customer amenities, offices, and lounge areas, as well as a partially open-air rooftop parking deck with 75 inventory spaces. The roof deck is screened by parapet walls, and the rooftop lighting is designed to be fully shielded and directed downward.
Documents:
- 5a Agenda Report
- Attachment 1 Draft Resolution CEQA Exemption with Exhibits A-D
- Attachment 2 Draft Ordinance with Exhibits A and B
- Attachment 3 Draft Resolution Design Review and Entitlements
- Attachment 4 PC Adopted Resolutions
- Attachment 5 Aerial Images and Vicinity Map
- Attachment 6 Project Arborist Report
- Attachment 7 City’s DRSG Checklist
Fiscal Year 2027 Budget Balancing Recommendations
The city is looking to close the gap on a $2.3 million deficit that may occur in FY 2027, if estimates are correct.
According to the staff report, the budget was developed from a baseline that incorporated cost increases for insurance premiums, utilities, animal services, legal services, and subscription-based services. Required contributions to pension obligations, and increases related to labor agreements and minimum wage were included, alongside revenue projections based on historical trends and development activity.
Initial projections showed deficits of $4.98 million in FY 2026 and $6.33 million in FY 2027, driven by slower revenue growth and rising costs, which were addressed through budget balancing strategies to maintain service levels and support Council priorities. Those strategies
On February 18, 2026, the proposed FY27 budget balancing options and staff recommendation were presented to the Finance Committee for their feedback. The Committee supported staff’s budget balancing recommendation and referred the report to City Council for consideration.
Recommendation: Staff recommends maintaining the 10-11% vacancy rate to achieve the necessary savings to close the deficit in FY27. This approach provides a short-term solution that preserves community service levels while allowing time for key financial uncertainties to be resolved, including CDTFA’s sales tax reporting changes, completion of the Citywide Fee Study, and updates to the 10-year General Fund forecast. While service levels to the public would remain largely unchanged, internal operations would require sustaining these levels with fewer staff. Compared to ongoing reductions of about 2%, which would have immediate and significant service impacts, maintaining vacancies offers flexibility and minimizes disruption.
If You Go
Walnut Creek City Council Meeting
March 3, 2026
6:00 pm
1666 N Main St, Walnut Creek
Full Agenda: Click Here
