THRIVE Santa Ana, Inc.
Community Land Trust
1907 West Walnut Street, Unit 100
Santa Ana, CA 92703
thrivesantaana.org
December 3, 2025
VIA ELECTRONIC MAIL
City of Santa Ana
20 Civic Center Plaza
Santa Ana, CA 92701
Attn: Mike Garcia
Economic Development Agency
Re: 1901 W Walnut Street
Dear City of Santa Ana, Staff and Council,
Thank you for providing the appraisal of the property. Per the City’s letter and appraisal (attached for reference), the appraised value of the property is $1,030,000. The state grant that THRIVE will be using provides $852,000 for the acquisition of this property. Pursuant to California Government Code Section 53038, THRIVE is requesting an economic development subsidy of $178,000, equivalent to the difference between the appraised value of the property and the grant amount. In other words, THRIVE would acquire the property from the City for $852,000, which is below market value.
We believe this subsidy would result in a tremendously positive fiscal impact for the City. The City would generate $852,0001 in unrestricted revenue directly to the General Fund, whereas under the current ground lease the City would only generate $1,152 over the next 96 years.
Furthermore, the proposed purchase would support the City’s commitment to community land trust strategies in Santa Ana. When the original Disposition and Development Agreement was approved, the City supported an Option to Purchase, such that THRIVE could fully acquire the site and grow the community land trust. This, in turn, builds capacity for affordable and community-led economic development in the future.
La Colmena has already proven to revitalize a vacant, City-owned property into a vibrant community hub that improves the safety and quality of life of the surrounding neighborhood.
The project has already generated at least 3 full-time jobs, 5 part-time jobs, and more than 30 temporary jobs throughout the duration of construction. THRIVE anticipates at least 10 part time jobs and many local contracts will be created as a result of the project over the next 5 years. 1 Minus cost of appraisal, and any closing costs.
EXHIBIT 3
We believe the above described fiscal impact to the City and economic development through job creation
not
only
justify
the
subsidy,
but
will
also
have
positive,
compounding
benefits
to
the
local
community.
If
the
City
has
any
questions
or
alternative
suggestions,
THRIVE
is
readily
available
to
discuss.
Thank you for your consideration, Luis Sarmiento THRIVE Santa Ana (714)987-2009 c (714)425-5562