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CITY COUNCIL AGENDA REPORT
City of Anaheim
PLANNING AND BUILDING DEPARTMENT
DATE: MARCH 24, 2026
FROM: PLANNING AND BUILDING DEPARTMENT
SUBJECT: THE ANAHEIM HILLS FESTIVAL PROJECT
DEVELOPMENT APPLICATION NO. 2023-00043
(SECOND READING)
ATTACHMENT (Y/N): YES ITEM # 25
GOVERNMENT CODE § 84308 APPLIES: YES
RECOMMENDATION:
That the City Council, by Ordinances:
1. Approve and adopt Amendment No. 6 to the Anaheim Hills Festival Specific Plan No. 90-1 and the Zoning and Development Standards (Chapter 18.108 of Title 18) (Attachment 1); and
2. Approve and adopt Development Agreement No. 2025-00001 by and between OTR, an Ohio Partnership, and the City of Anaheim (Attachment 2).
DISCUSSION:
On January 13, 2026, the City Council commenced the public hearing for the Anaheim Hills Festival project, completing public comments, initiating discussion, and ultimately continuing action to the February 3, 2026 meeting. On February 3, 2026, at the request of the applicant, the City Council voted to continue the item to March 3, 2026. On March 3, 2026, the City Council ultimately approved the Anaheim Hills Festival project and introduced ordinances amending the Anaheim Hills Festival Specific Plan No. 90-1 and the Zoning and Development Standards (Chapter 18.108 of Title 18) (Attachment 1) and approving Development Agreement No. 2025-00001 by and between OTR, an Ohio Partnership, and the City of Anaheim.
The proposed specific plan amendment would establish a new Mixed Use Development Area (DA 5) within the existing Specific Plan boundaries to accommodate the project, which includes demolition of the existing 62,676 square- foot vacant cinema building and construction of a new 447-unit multiple-family The Anaheim Hills Festival Project Development Application No. 2023-00043 (Second Reading) March 24, 2026
building. Likewise, the amendment would also amend Chapter 18.108 (Festival Specific Plan No. 90-1) of the Municipal Code, in its entirety, to incorporate the proposed changes to the Specific Plan. The proposed Development Agreement, which is a contract between the City and a property owner that provides certainty to the developer that the approved project will be exempt from future changes to zoning laws in exchange for provision of benefits to the City beyond what would otherwise be required by existing regulations and ordinances, includes a number of public benefits, such as the cohesive and coordinated renovation of the existing shopping center, enhanced outdoor gathering spaces that would be open and available for use of the general public, a variety of high-quality construction jobs and long-term retail and property management jobs, revenues for the City, monetary contribution to the Anaheim Fire and Rescue and Police Department, funding and installation of emergency response system (CCTV and Emergency Vehicle Preemption system), and contribution to the City’s Regional Housing Needs Assessment (RHNA) obligation.
Copies of the January 13, 2026 and March 3, 2026 City Council Staff Reports, including complete descriptions of the project, subject ordinances, and additional information, are provided as Attachments 3 and 4 to this report. If adopted, the subject ordinances will become effective in 30 days.
Environmental Impact Analysis: All environmental impacts associated with the proposed project, including the actions described in the ordinances, were analyzed in Final Environmental Impact Report No. 358, which was certified by City Council Resolution No. 2026-015 on March 3, 2026.
IMPACT ON BUDGET:
There is no budgetary impact. The costs associated with this hearing will be incurred by the project applicant.
Respectfully submitted,
Heather Allen
Planning and Building Director
Attachments:
1. Ordinance – Anaheim Hills Festival Specific Plan No. 90-1 and Chapter 18.108
2. Ordinance – Development Agreement No. 2025-00001
3. January 13, 2026 City Council Staff Report (without attachments)
4. March 3, 2026 City Council Staff Report (without attachments)