Print The Melbourne, Australia developer seeking to replace downtown’s decaying California Theatre with a 41-story, boutique hotel and condo tower successfully sidestepped an effort by affordable housing proponents to invalidate the project’s permits. Tuesday, the City Council OK’d the permits with district representatives voting unanimously to affirm a February decision by San Diego’s Planning Commission. The decision came in spite of dozens of public testimonials challenging the commission’s earlier determination. Several council members also expressed reticence at signing off on a housing project in which just 2 percent of the for-sale units, or seven condos, will be set aside for buyers making 100 percent of the area’s median income.