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Anaheim, CA 92805
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CITY COUNCIL AGENDA REPORT
City of Anaheim
PLANNING AND BUILDING DEPARTMENT
DATE: SEPTEMBER 29, 2026
FROM: PLANNING AND BUILDING DEPARTMENT
SUBJECT: REVIEW OF DEVELOPMENT AGREEMENT NO. 2005-00008
FOR THE A-TOWN METRO PROJECT
ATTACHMENT (Y/N): YES ITEM # 03
GOVERNMENT CODE § 84308 APPLIES: NO
RECOMMENDATION:
That the City Council, by Motion, determine that the A-Town mixed-use project is not in compliance with the terms and conditions of Amended and Restated Development Agreement No. 2005-00008 with respect to the tenth anniversary milestone, as amended on January 27, 2026, and provide notice of City Council’s intent to proceed with a public hearing to be held within 45 days on modification or termination by July 31, 2027 of Amended and Restated Development Agreement No. 2005-00008.
DISCUSSION:
A development agreement is a contract between the City and property owner that provides certainty to the developer that the approved project will generally be exempt from future changes to zoning laws and requires the developer to provide benefits to the city in exchange for the certainty. In October 2005, the City of Anaheim and Lennar Platinum Triangle, LLC executed Development Agreement No. 2005-00008 (Original Agreement), which governs the development of the A-Town Metro project on a 41.4-acre site located west of State College Boulevard between Katella Avenue and Gene Autry Way. The Original Agreement entitled the developer to construct 2,681 residential units, 150,000 square feet of commercial development and two public parks.
In December 2009, the City Council approved an Amendment to the Original Agreement to extend the initial term of the Agreement from five years to ten years and to reflect the transfer of ownership of the property from Lennar Platinum Triangle, LLC to Platinum Triangle Partners, LLC. Subsequently, Platinum Triangle Partners, LLC conveyed and transferred the property to PT Metro, LLC (the “Developer”).
Review of Development Agreement No. 2005-00008 for the A-Town Project September 29, 2026
In October 2015, the City Council approved an Amended and Restated Development Agreement (Revised Agreement) in conjunction with the Developer’s request to revise the size of the A-Town Metro project. The Revised Agreement allows for development of between 1,400 and 1,746 residential units, a range of commercial area between 38,000 and 50,000 square feet, and a revision to the size and locations of the public parks. In addition, the Developer modified the name of the project from “A-Town Metro” to “A-Town.”
In May 2018, the City Council approved Amendment No. 1 to the Revised Agreement (Amendment No. 1), which is included as Attachment 1. Exhibit “G” (Term Extension Milestones) of Amendment No. 1 provides a schedule for the commencement and completion of major milestones for the ATown project, including phased construction. The Developer requested this amendment to modify certain performance milestones in Exhibit “G” to occur throughout incremental periods within the overall term of the Revised Agreement. The changes to the milestones did not change the overall term of the Revised Agreement but provided additional flexibility for the benefit of the City and Developer. Specifically, milestones were established at the fifth (2020), seventh and one half (2022), tenth (2025), and fifteenth (2030) anniversary dates of the Revised Agreement. Completion of the milestones for each anniversary date grants the next corresponding extension.
As shown in Figure 1, streets, infrastructure, two public parks, and 638 units in Development Areas A, G, and H have been completed. Completion of these areas authorized extensions of the Revised Agreement term through October 2025. The next milestone in the Revised Agreement required completion of an additional 462 residential units by October 2025. In April 2026, 73 additional units were completed in Area F, and 257 units are currently under construction and expected to be completed within the next year in Development Area E, leaving 132 units outstanding to meet this milestone. Final Site Plans, including the outstanding units in Development Area B (270 units and 21,669 square feet of ground floor commercial space) and Development Areas C & D (508 units and 17,277 square feet of ground floor commercial space), were approved by the Planning Commission in 2022 and early 2023. Building permits were submitted for Development Area B, however due to challenges related to financing large-scale mixed-use podium projects, the Developer was unable to complete the plan check process and as such, did not commence construction.
Figure No. 1: A-Town Project General Layout and Conceptual Development Review of Development Agreement No. 2005-00008 for the A-Town Project September 29, 2026
Pursuant to the Revised Agreement, the City Council is required to determine annually if the Developer has complied in good faith with the terms and conditions of the Agreement.
Demonstration of good faith compliance includes conformance with all terms and timing schedules set forth in the Agreement. On December 16, 2025, the City Council conducted the required annual review of the Revised Agreement to determine if the Developer has complied in good faith with the terms and conditions of the Agreement. Demonstration of good faith compliance includes conformance with all terms and timing schedules set forth in the Agreement. At this meeting, the City Council determined that the Developer was not in compliance with the terms and conditions of the Revised Agreement for the 2025 review period as 132 units were still outstanding and directed staff to provide notice to the Developer of the Council’s intent to establish new development timeframes at a future public hearing. In compliance with the 45-day time limit established in Resolution No. 82R-565 that governs the consideration of development agreements (Procedures Resolution), staff sent the notice on December 23, 2025, informing the Developer of the City Council’s determination and that the public hearing would be scheduled for January 27, 2026.
The Developer subsequently submitted a term extension request, dated January 14, 2026, requesting to extend the timing for the development milestones associated with the tenth anniversary of the Agreement, and indicating their intent to apply for amendments to the Revised Agreement and Master Site Plan for future consideration by the Planning Commission and City Council. To provide adequate time to submit a formal application, conduct staff review, and prepare for public hearings for the anticipated amendments to the Revised Agreement, the Developer requested extending the tenth anniversary milestone approximately nine months. At the January 27, 2026 City Council meeting, the City Council adopted Resolution No. 2026-004 (Attachment 2) to establish a new performance timeline for the tenth anniversary of the Agreement, moving the deadline from October 20, 2025 to July 31, 2026.
To date, the Developer has not filed a formal application for amendments to the Revised Agreement and Master Site Plan. Due to the Developer’s failure to file a formal application and complete the public hearing process in advance of the newly established tenth anniversary milestone (July 31, 2026), the City Council may determine on the basis of substantial evidence that the Developer has not complied in good faith with the terms and conditions of the Revised Agreement for the tenth anniversary milestone. In accordance with the Procedures Resolution, the City Council may then initiate proceedings to establish a new time schedule for compliance, modify, or terminate the Development Agreement.
In accordance with the Procedures Resolution, notice was provided to the Developer on August 10, 2026 of the City Council’s intent to review the Revised Agreement at this meeting. In response, the Developer has submitted the attached letter (Attachment No. 3), dated September 10, 2026, identifying the public and private improvements constructed to date and currently under construction in compliance with the Revised Agreement and in furtherance of the approved Master Site Plan.
Additionally, the Developer requests an amendment to the Revised Agreement in order to allow for the completion of the A-Town mixed-use project.
Review of Development Agreement No. 2005-00008 for the A-Town Project September 29, 2026
Conclusion:
Although a formal application for amendments to the Revised Agreement and Master Site Plan has not yet been filed, staff believes these amendments could be considered to allow for the completion of the A-Town mixed-use project. Therefore, staff recommends that the City Council determine that the Developer, despite good faith efforts to this point, is not in compliance with the terms and conditions of the Revised Agreement with respect to the tenth anniversary milestone and direct staff to provide notice of the City Council’s intent to modify or terminate the Revised Agreement at a subsequently noticed public hearing to be held within 45 days after such notice is provided. Staff further recommends establishing July 31, 2027 as the date on which the Revised Agreement would terminate if modifications to the Revised Agreement have not been achieved. This recommendation supports a focused final effort of the parties intended to facilitate the completion of the A-Town mixed use project, which would provide a defined period of no more than approximately 10 months to pursue negotiations, technical review, and consideration of amendments to the Revised Agreement and Master Site.
IMPACT ON BUDGET:
The costs associated with this item are funded by the Planning and Building Department’s FY 2026/27 General Fund budget.
Respectfully submitted,
Heather Allen
Director of Planning and Building
Attachments:
1. Amended and Restated Development Agreement & Amendment No. 1
2. Resolution No. 2026-004
3. Letter of Request