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HOUSING AUTHORITY AGENDA REPORT
City of Anaheim
HOUSING AND COMMUNITY DEVELOPMENT
DEPARTMENT
DATE: AUGUST 12, 2025
FROM: HOUSING AND COMMUNITY DEVELOPMENT DEPARTMENT
SUBJECT: ADOPT A RESOLUTION DECLARING CERTAIN PROPERTY
LOCATED AT 703 AND 705 SOUTH ANAHEIM BOULEVARD
EXEMPT SURPLUS LAND IN ACCORDANCE WITH THE
SURPLUS LAND ACT AS AMENDED BY ASSEMBLY BILL 1486
AND AUTHORIZATION TO ENTER INTO AN AGREEMENT
FOR SALE OF REAL PROPERTY AND JOINT ESCROW
INSTRUCTIONS WITH RENAISSANCE PACKING HOUSE
TOWNHOMES, LLC FOR $1,115,000
ATTACHMENT (Y/N): YES ITEM # 06
GOVERNMENT CODE § 84308 APPLIES: YES
RECOMMENDATION:
That the Governing Board of the Anaheim Housing Authority, following a public hearing, by separate Resolutions:
1. Declare certain Authority-owned real property located at 703 and 705 S.
Anaheim Boulevard (Site), Anaheim, California, as exempt surplus land pursuant to the Surplus Land Act, California Government Code Sections 54220 et seq.; making certain findings under the California Environmental Quality Act (CEQA) pursuant to Guidelines Section 15060(c)(3), Section 15312, and Section 15061(b)(3); and
2. Approve the Agreement for Sale of Real Property and Joint Escrow Instructions (Agreement), with Renaissance Packing House Townhomes, LLC, authorize the Executive Director of the Housing Authority to finalize such Agreement for Sale of Real Property; authorize the Executive Director of the Housing Authority to implement such Agreement for Sale of Real Property; determine that said Agreement for Conveyance is exempt from CEQA pursuant to CEQA Guidelines Section 15312; and make certain findings in connection therewith, for the disposition of the property, in the amount of $1,115,000, pursuant to Health and Safety Code Sections 33433 and 34312.3; and authorize the Executive Director of the Anaheim Housing Authority, or designee, to execute the final Agreement and any related documents necessary to complete the sale, subject to review and approval by the City Attorney’s Office.
703 & 705 S Anaheim Blvd - Exempt Surplus Land & Sale of Real Property and Joint Escrow Instructions August 12, 2025
DISCUSSION:
On March 29, 2001, the former Redevelopment Agency acquired a 0.31-acre site located at 703 and 705 South Anaheim Boulevard in the City of Anaheim (Site). The former Redevelopment Agency intended to assemble the Site with adjacent parcels to bring forward a comprehensive redevelopment of the commercial block. Following the dissolution of redevelopment agencies in 2012, the property was transferred to the Anaheim Housing Authority (Authority) as the Housing Successor, in accordance with California Health and Safety Code Section 34176. Due to the small parcel size and lack of resources to acquire adjacent property, the Site has remained undeveloped.
On October 9, 2019, Governor Newsom signed Assembly Bill 1486 (AB 1486), which significantly amended the Surplus Land Act (SLA) and became effective on January 1, 2020. Among material changes to the SLA that will affect the project, AB 1486:
(a) expanded the definition of “local agency” to include a housing authority (among other local agencies), (b) amended and/or added definitions, including “surplus land” and “exempt surplus land”, (c) requires property owned by a local agency to be declared either “surplus land” or “exempt surplus land” before the local agency may take any action to sell or lease the property.
Under the SLA Government Code Sections 54220–54234, public agencies must follow specific notification and negotiation procedures before disposing of surplus land unless the property qualify as “exempt surplus land”. Parcels less than half-acre in area and are not contiguous to land owned by a state or local agency that is used for open-space or low- and moderate-income housing purposes qualifies as exempt surplus land under Code Section 54221(f)(1)(B). The Site is 0.31 acres and is not contiguous to state or local agency-owned land used for open space or affordable housing, thereby qualifying for this exemption. Under the proposed exemption, the Authority is permitted to directly negotiate with developers.
The Authority received a Letter of Interest from a developer, Renaissance Packing House Townhomes, LLC, a California limited liability company (Developer), to acquire the Authority-owned Site for the development of for-sale townhomes in conjunction with three other privately-owned parcels located at 601 through 623 South Anaheim Blvd (Developer Site). The Developer is currently under contract to acquire the Developer Site and has submitted an entitlement application to construct a 34-unit for- sale townhome community, of which 28 units are planned on the Developer Site and six units on the Authority-owned Site. The overall development would include four units for Moderate income households, inclusive of three units on the Developer Site and one on the Authority-owned Site. The Authority's consideration of the site disposition is distinct from, and does not predetermine, land use approvals by the Planning Commission and/or City Council.
Given the challenging nature of developing the Authority-owned site as a stand-alone project and the ability to achieve homeownership opportunities through a larger residential project, the Authority proposes to enter into a Sale of Real Property and Joint Escrow Instructions (Agreement) with the Developer for the sale of the Site in the amount of $1,115,000. The Authority commissioned an independent MAI appraiser to 703 & 705 S Anaheim Blvd - Exempt Surplus Land & Sale of Real Property and Joint Escrow Instructions August 12, 2025
determine the fair market valuation of the Site based on recent, comparable land sales.
The Developer plans to integrate the Authority-owned Site into a larger residential project and, as a condition of the sale, will restrict one of the proposed units on the Site for purchase by a Moderate-income household at an affordable housing cost.
The Agreement outlines key terms, including the purchase price, due diligence period, performance milestones, and provisions ensuring the inclusion of an affordable housing component. In accordance with the Surplus Land Act (SLA) and State HCD guidelines, the Agreement includes a condition precedent to the close of escrow that prohibits closing until at least 30 days after the Authority declares the property exempt surplus, and the transaction is contingent upon HCD’s written determination that the exemption resolution complies with SLA requirements. Closing escrow is further conditioned on the approval of all necessary entitlements by the Planning Commission and/or City Council.
The proposed actions are exempt from the California Environmental Quality Act (CEQA) pursuant to Class 12 (Section 15312 – Surplus Government Property Sales), which provides a categorical exemption for the sale of surplus government property when the property does not have significant value for wildlife habitat or other environmental resources and Section 15060(c)(3) (not a project as defined by CEQA Guidelines Section 15378), and Section 15061(b)(3) (no possibility that the action will have a significant effect on the environment). Additionally, no financial assistance will be provided to the Developer under this agreement, as confirmed in the summary report included as Attachment 5. This analysis was prepared in accordance with California Health and Safety Code Section 33433 and was made available for public review with the draft Agreement on July 24, 2025.
Staff recommends approval of the SLA exemption and authorization to execute the Agreement with the Developer to facilitate new for-sale housing, including affordable units.
Sale of property for the anticipated development purpose is in line with City’s Strategic Plan Goal B Enhance Livability, Strategy 2 -Develop strategies to stabilize and expand affordable, workforce, and home ownership housing options for low-income residents.
IMPACT ON BUDGET:
As a Housing Successor asset, the $1,115,000 sale proceeds will be deposited into Low Moderate Housing Asset Fund to be reinvested into future affordable housing programs and developments, consistent with State housing successor requirements.
Respectfully submitted,
Grace Ruiz-Stepter
Executive Director of
Anaheim Housing Authority
703 & 705 S Anaheim Blvd - Exempt Surplus Land & Sale of Real Property and Joint Escrow Instructions August 12, 2025
Attachments:
1. Surplus Land Act Resolution
2. Sale of Real Property and Joint Escrow Instructions Resolution
3. Location Map
4. Sale of Real Property and Joint Escrow Instructions Agreement
5. Health and Safety Code Section 33433 Summary Report