Attachment No. 2
RESOLUTION NO. 24–62
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NORWALK
DECLARING REAL PROPERTY EXEMPT SURPLUS LAND PURSUANT
TO GOVERNMENT CODE SECTIONS 54221(f)(1) AND 37364 AND
APPROVING A DISPOSITION AND DEVELOPMENT AGREEMENT BY
AND BETWEEN THE CITY OF NORWALK AND LEWIS LAND
DEVELOPERS, LLC FOR THE DISPOSITION AND DEVELOPMENT OF
REAL PROPERTY LOCATED AT 13200 BLOOMFIELD AVENUE
WHEREAS, the City of Norwalk (“City”) has entered into a purchase and sale agreement with the State of California, acting by and through its Department of General Services, (“State”) to acquire the former Southern Youth Correctional Reception Center and Clinic which is comprised of certain property consisting of approximately ±32 acres including, without limitation, approximately 35-40 structures and ancillary improvements, located at 13200 Bloomfield Avenue in the City of Norwalk, Los Angeles County, State of California, Assessor’s Parcel No. 8045-008-902, and is legally described in Exhibit A (the “Property”); and
WHEREAS, the City will acquire the Property pursuant to Assembly Bill (AB) 518 enacted in 2020 and codified in California Government Code Section Government Code Section 11011.28 (“AB 518”) authorizes the State to sell the Property to the City of Norwalk; and
WHEREAS, the City and Lewis Land Developers, LLC (“Developer”) (by assignment from its affiliate Lewis Acquisition Company, LLC) are parties to that certain Exclusive Negotiation Agreement dated July 11, 2019, as amended (the “ENA”), with a current term that expires January 10, 2025, under which the City and Developer to, among other things, (i) conduct extensive site investigations of the Property to determine its feasibility for development and the extent of all environmental remediation work required for development, (ii) undertake comprehensive stakeholder and community outreach and visionary programs to solicit ideas for the future development of the Property, (iii) design a Transit Oriented Development project consistent with the results of the outreach efforts that meets mobility and greenhouse gas reduction goals and affordable housing goals of the City, (iv) negotiate the terms of a disposition and development agreement (“DDA”) for Developer’s purchase of the Property from the City and Developer’s development of (a) a for-sale and/or for-rent market-rate residential project on approximately 10-12+/- acres of the Property consisting of a maximum of 462 market-rate residential units (the “Developer Residential Project”) and (b) a neighborhood commercial/retail project on approximately 3.2+/- acres of the Property consisting of a maximum of 66,647 Sq.Ft. of building area (0.5 floor area ratio) together with a possible hotel (the “Hotel”) containing a maximum of 150 rooms (the “Developer Retail Project”) (collectively, the “Developer Project”), and (v) provide for the development an affordable for-rent housing project consisting of rental units affordable to lower income and very low income households on the Property and consisting of a minimum number of affordable residential units which Resolution No. 24–62 Page 2 of 4
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equals 40% of the total number of all residential units constructed in the Project (the “Affordable Housing Project”) (Developer Project and Affordable Housing Project are collectively referred to herein as the “Project”); and
WHEREAS, the City desires to purchase the Property from State and sell the Property to the Developer for the development of the Project pursuant to Government Code Sections 54221(f)(1) and 37364, which requires not less than 80 percent of the area of the Property be used for development of housing and not less than 40 percent of the total number of those housing units developed on the Property be affordable to households whose incomes are equal to, or less than, 75 percent of the maximum income of lower income households, and at least half of which shall be affordable to very low income households; and
WHEREAS, the City has determined that the Property is a suitable site for the development of affordable housing and the development of the Property with affordable and market rate housing and will address a significant need within the City for additional housing; and
WHEREAS, surplus land means land owned in fee simple by any local agency for which the local agency’s governing body takes formal action in a regular public meeting declaring that the land is surplus land and is not necessary for the local agency’s use; and
WHEREAS, pursuant to Government Code Section 54221(f)(1)(A), “exempt surplus land” includes surplus land that is transferred pursuant to Government Code 37364; and
WHEREAS, on November 25, 2024, the City of Norwalk Planning Commission made findings that the disposition of the Property by the City is consistent with the City’s General Plan pursuant to Government Code 65402.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF NORWALK HEREBY DETERMINES, FINDS, AND RESOLVES AS FOLLOWS:
Section 1. The facts set forth in the Recitals, above, are true and correct and incorporated into the findings below.
Section 2.CEQA. The City Council hereby finds that the adoption of this Resolution approving the DDA by and between the City and Developer is exempt from the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines Section 15312 – Class 12 (Surplus Government Property Sales) and CEQA Guidelines Section 15061(b)(3) (Common Sense Exemption), which states that an activity is covered by the common sense exemption that CEQA only applies to projects that have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant on the environment, the activity is not subject to CEQA review. The adoption of this Resolution Resolution No. 24–62 Page 3 of 4
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is limited to the approval of the DDA and associated findings and will not result in a physical change in the environment and none of the exceptions under CEQA Guidelines Section 15300.2 apply. Lastly, the adoption of this Resolution is consistent with those actions taken by the City Council on November 19, 2024 during which the City Council certified the Final EIR and approved a Mitigation and Monitoring and Reporting Program, and adopted a Statement of Overriding Considerations in connection with the Norwalk Transit Specific Plan through City Council Resolution No. 24-58. The acquisition and disposition of the Property by the City was evaluated and contemplated by the Final EIR and is in compliance with the requirements of CEQA.
Section 3. Exempt Surplus Land. The City Council hereby finds and declares the Property Exempt Surplus Land pursuant to Government Code Section 54221(f)(1) on the basis that the City, upon acquiring the Property, shall dispose of the Property for the development of affordable housing consistent with the requirements of Government Code Section 37364.
Section 4. Findings. Pursuant to the information included in the above recitals and the associated Agenda Report, the City Council finds that:
A. The City’s disposition of the Property to Developer is in conformity with the City’s adopted General Plan. Specifically, the disposition of the Property is in conformance with the Housing Element because the Property will be used to for the development of housing which further progress toward the City’s Regional Housing Needs Assessment (“RHNA”) obligations and the 2021-2029 Housing Element identifies the Subject Site and as proposed and contributing to the City’s required 5,034 RHNA obligation. The Norwalk Transit Village Specific Plan allows up to 770 housing units.
The City is requiring that the Project proposed on the Property comply with Government Code Section 37364, which requires that a minimum of 40 percent of the units built on the Property to be designated as affordable. As such, disposition of the Property by the City would further goals and policies of the City’s Housing Element by increasing affordable housing opportunities, increase homeownership, create safe and integrated neighborhoods, encourage and facilitate a range of housing to encourage a variety of housing types to meet the existing and future needs of City residents, and assist in the development of adequate housing and provide resources to meet the needs of low-and moderate income households.
Moreover, the development of up to 770 new residential housing units would assist the City in meeting its RHNA obligation and eliminate blight and enhance public safety.
B. The disposition of the Property is in conformance with the Land Use Element Objectives and policies in that the disposition would provide for a larger comprehensive development along the City’s major arterials which will enhance Resolution No. 24–62 Page 4 of 4
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the overall character of the streetscape and will include adequate parking, buffering, and landscaping consistent with Objectives and Policy 4a.
Section 5. The City Council hereby approves the DDA by and between the City of Norwalk and Developer in connection with the disposition and development of the property located at 13200 Bloomfield Avenue, in the City of Norwalk, California (Accessor’s Parcel Number: 8045-008-902) in substantially the same form as attached to the staff report accompanying this Resolution. The City Council further authorizes the City Manager to the execute the DDA and any ancillary documents, including but not limited to, escrow instructions, deeds, covenants, seller affidavits, other customary documents consistent with and reasonably necessary to effectuate the intent of this Resolution, record or cause to be recorded such documentation, or make such necessary amendments to the DDA and associated exhibits consistent with the intent of this Resolution, in a form as approved by the City Attorney.
Section 6. If any section, subsection, paragraph, sentence, clause, phrase, or portion thereof of this Resolution is declared by a court of competent jurisdiction to be unconstitutional or otherwise invalid, such decision shall not affect the validity of the remaining portions of this Resolution. The City Council declares that it would have adopted this Resolution, and each section, subsection, paragraph, sentence, clause, phrase, or portion thereof, irrespective of the fact that any one or more sections, subsections, paragraphs, sentences, clauses, phrases, or portions thereof be declared invalid or unconstitutional. To this end, the provisions of this Resolution are declared to be severable.
Section 7.The Mayor is hereby authorized to execute this Resolution signifying its adoption by the City Council of the City of Norwalk.
Section 8. This Resolution shall become effective immediately upon its adoption and the City Clerk shall certify to the passage and adoption of this Resolution.
APPROVED AND ADOPTED on this 17th day of December 2024.
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TONY AYALA
MAYOR
ATTEST:
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THERESA DEVOY, CMC
CITY CLERK