STAFF REPORT
Lancaster Housing Authority
HA CC 3
8/26/2025
TN
Date: August 26, 2025
To: Chairman Parris and Housing Authority Board Members From: Larissa De La Cruz, Assistant City Manager
Michael Flores, Coordinator II – Economic Development
Subject: Disposition and Development Agreement with Pacific West Communities, Inc.
Recommendations:
1. The Board should only consider this item if it has first approved the Agreement for Exchange of Real Property between City of Lancaster and Lancaster Housing Authority (Agenda Item No. JCC 1.).
2. Adopt the Planning Commission’s findings and decision to adopt the Initial Study/Mitigated Negative Declaration (SCH#2025070610), and approve the Mitigation Monitoring and Reporting Program, consistent with the Notice of Determination filed on on August 19, 2025.
3. Approve the Disposition and Development Agreement (DDA) with Pacific West Communities, Inc., for the sale of a 10-acre parcel located near Avenue K-8 and 15th Street West.
4. Authorize the Executive Director, or his designee, to execute (i) the DDA in substantially the form presented, subject to non-substantive changes approved by the Executive Director and City Attorney; and (ii) all documents necessary or appropriate to complete the transaction.
G.C. Section 84308: No
Fiscal Impact:
Approval of the DDA will result in revenue of $2,940,000.00 to the Lancaster Housing Authority Low and Moderate Income Housing Asset Fund (LMIHAF), representing appraised value of the property.
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Background:
The City of Lancaster and the Housing Authority have strategically acquired certain parcels over time to support high quality developments throughout the City. Pacific West Communities, Inc., submitted an offer to purchase the parcel located near Avenue K-8 and 15th Street West, known as Assessor’s Parcel Number (APN) 3125-009-908, for the development of a multifamily affordable housing project. The project will bring approximately 228 affordable housing units to the community, serving households earning between 30% and 60% of the Area Median Income (AMI). Planned amenities include a recreation building, green open space areas, and onsite community facilities, offering residents a vibrant and supportive living environment. The proposed project was approved by the Lancaster Planning Commission on August 18, 2025.
Prior to entering into negotiations, the subject parcel was declared surplus by City Council via Resolution 20-49 on September 8, 2020. A Notice of Availability was distributed in accordance with the Surplus Land Act on September 10, 2020. On October 7, 2022, the California Department of Housing and Community Development (HCD) issued a letter confirming the City had complied with the Surplus Land Act and was authorized to dispose of the property.
If approved, the sale of the property will bind Pacific West Communities, Inc. to develop the site in accordance with the scope and schedule of performance.
Pacific West Communities, Inc., will acquire the site at fair market value, with no subsidies or financial assistance. The proposed project supports Lancaster’s broader housing goals and furthers compliance with state housing obligations.
MF/hb
Attachment:
Draft DDA with Pacific West Communities, Inc.