Pasadena City Council
April 16, 2025

City Manager – Economic Development DivisionCITY OF PASADENASPECIAL JOINT MEETINGOF THE PASADENA CITY COUNCIL ANDLOS ANGELES COUNTY SUPERVISOR KATHRYN BARGERItem #3Project Update: 434-470 North Lake Avenue April16, 2025 City Manager – Economic Development DivisionBackground •Located at the southeast corner of North Lake Avenue and Villa Street. •Consists of three, one-story medical/office buildings with a combined area of 24,871 SF on approximately 2.38 acres. 2 City Manager – Economic Development DivisionProperty Subject to Surplus Land ActReason for Acquisition •To provide affordable housing and mental health outpatient services within a community-focused mixed-use Transit Oriented Development.State Surplus Land Act (SLA)•Disposition of this property is subject to the State Surplus Land Act (SLA). The SLA requires local agencies to engage in a process to solicit interest for affordable housing when selling or leasing publicly owned land, ensuring community benefits from surplus properties.3 City Manager – Economic Development DivisionTimeline of Key Events •November 7, 2023: City took formal ownership of the property. •March 19, 2024: Request for Information (RFI) released, seeking responses from qualified firms to gauge interest from developers. •July 8, 2024: City Council passed a resolution declaring the Property as Surplus Land.•July 24, 2024: Notice of Availability (NOA) was released to affordable housing developers in accordance with the SLA. •September 23, 2024: The sixty (60) day period under the SLA for entities to respond to the NOA closed; thirteen (13) groups responded. •September 24, 2024: Good-faith negotiation period of no less than ninety (90) days under the SLA commenced; City required per SLA to negotiate on price and terms. •December 16, 2024: Staff updated the City Council and was directed to conduct a community meeting to solicit community feedback. 4 City Manager – Economic Development DivisionMarch 27 Community Meeting 5 City Manager – Economic Development DivisionProposing Firms (in alphabetical order) 6 Proposing Firms 7. LAFHBUILDS North Hollywood1. BRIDGE Housing CorporationSan Francisco8. Mercy Housing California Los Angeles2. City Ventures & Mercy HousingLos Angeles 9. The Olson CompanySeal Beach 3. Community Builders GroupPasadena10. The Urban Coalition Desert Hot Springs 4. Cypress Equity Investments LLC Los Angeles 11. USA Properties and Waterford CompanyRoseville & Newport Beach5. Fidelis AdvisorsCarlsbad 12. West Hollywood Community Housing Co.West Hollywood6. Holos Communities & Heritage Housing North Hollywood & Pasadena City Manager – Economic Development DivisionCommunity Meeting Themes1. Affordable Housing Focus•Prioritize affordable housing for seniors, working-class families, and vulnerable groups.•60-80% of units should be affordable, with a focus on low-income and workforce housing.2. Features and Key Amenities•Community spaces: Community rooms, art & music spaces, green areas, and playgrounds.•Mixed-use spaces: Neighborhood-serving retail (cafes, small businesses).•Sustainable design: Native landscaping, green building practices, and water-efficient features.•Public amenities: Gym, community garden, dog park, and co-working spaces.•Parking:Safe, accessible parking with subterranean or podium options.7 Community Meeting Themes
City Manager – Economic Development DivisionCommunity Meeting Themes(cont’d.)Community Meeting Themes3. Essential Neighborhood Services•Supportive services: Mental health, job training, education programs, and case management.•Health services: Medical clinic and wellness center.•Food access: Food bank and community kitchen space.4. Public Right of Way Improvements•Wider sidewalkswith bike lanes and tree-lined walkways.•Pedestrian-friendly design: Benches, well-lit areas, and shade.•Improved bus stopswith covered shelters and accessibility.5. Design & Economic Impact•Architectural design: Complement Pasadena’s style (e.g., craftsman, Spanish Colonial).•Public spaces: Open spaces, parks, and community gathering areas.•Economic catalyst: Local businesses, retail incubators, and job creation.8 City Manager – Economic Development DivisionSLA Evaluation Criteria and Next StepsAffordable Housing Requirement•Not less than 25% of the total number of units developed shall be affordable housing. Priority Evaluation items, per SLA •Priority is given to the entity that proposes to provide the greatest number of affordable units. •If an equal number of units are proposed, priority shall be given to the entity that proposes the deepest average level of affordability for the affordable units. Next Steps •Continue with good faith negotiations with firms that submitted proposals with due consideration given to community feedback, ensuring a project aligned with community input and return to City Council with a recommendation to select a developer.9 City Manager – Economic Development DivisionGood Faith Negotiations (SLA)Good faith negotiation activities include, but are not limited to: •Make a serious effort to meet at reasonable times and attempt to reach an agreement.•Respond to letters of interest.•Respond to and consider reasonable offers to purchase or lease.•Not require that development proposals significantly deviate from the NOA. •Do not arbitrarily end active negotiations after 90 days.10 City Manager – Economic Development DivisionEnd of Presentation 11