Exempt Surplus Land Declaration – 6845 Atlantic Avenue
City Council Meeting – August 2, 2022
Surplus Land Act
Government Code Section 54220 et seq.
• Purpose: Intended to prioritize reuse of surplus land for affordable housing, parks, and schools. • Application: All public land declared surplus.
• Notable Assembly Bill (AB) 2135 Amendments (effective January 1, 2020):
✓ Expands definition of a local agency to include agencies not previously subject to the SLA. ✓ Clarifies disposition to include leasing and not just sales. ✓ Clarifies local agency use does not include commercial or industrial uses, including nongovernmental retail, entertainment, or office development. ✓ No longer allows exceptions but expands exemptions available (i.e., size, affordability). ✓ Requires City Council action to declare a property “surplus” or “exemptsurplus” prior to disposition. ✓ Requires written notice of availability to State of California Department of Housing and Community Development as well as housing sponsors.
✓ Requires local agency to submit process to HCD for compliance verification, does include a 60-day cure period if noticed of violation.
✓ Imposes penalties if property disposition found in violation of SLA. 2 6845 Atlantic Avenue
Property History
• Location: 6845 Atlantic Avenue.
• Ownership: City purchased in 2019 and utilized
rear portion of the property as the Atlantic
Bridge Community Shelter.
• Proposed Development Concept: City
approached by adjacent property for the
development of a large affordable
housing/homeless services campus, including
the continued operation of the ABC Shelter.
• Surplus Land Act Compliance: Prior to
approving an Exclusive Negotiating Agreement
and entering into negotiations, City must
comply with Surplus Land Act.
3 Surplus Land Act Exemption
4 • Government Code Section 54221(f)(1)(A) allows the property to be declared “exempt surplus” if the project meets certain requirements:
Not less than 80 percent of building area
will be used for housing.
No less than 40 percent of total number of
housing units will be affordable to lower
income households and half of said 40
percent must be affordable to very low-
income.
Recorded regulatory agreement providing
for above stated minimum standard run
with the land for 55 years.
1 2
3 Current building area is 97,282 sf; proposed
residential will need to be at least 82,195 sf
Total units have yet to be determine but a
minimum of 40 percent of the total units will
be available to lower income household
and at least 20 percent to very low-income
households.
A regulatory agreement will be recorded.
Next Steps
5 Adopt Resolution
declaring 6845
Atlantic Avenue
“Exempt Surplus”
Property.
Submit Resolution
to HCD for
compliance
verification.
Bring Exclusive
Negotiating
Agreement to City
Council for
consideration.
Commence
negotiations and
evaluation of
potential
development.
Recommendation
Recommend the City Council:
• Adopt a Resolution declaring City-owned property located at 6845 Atlantic Avenue (APN 7116-019-907) as “exempt surplus land” as defined in Government Code Section 54221(f)(1)(A); and authorize the City Manager, or designee, to take any actions and execute any documents necessary to ensure compliance with the Surplus Land Act and State regulations relating thereto.
6 Thank you.