TO:Andrew P. Powers, City Manager
FROM:Akbar Alikhan, Deputy City Manager
DATE:December 2, 2025
SUBJECT: Declaration of Exempt Surplus Lands at 401/403 W. Hillcrest Drive
RECOMMENDATION:
1. Adopt a resolution declaring that pursuant to Government Code Section 54221 that certain real property located at 401/403 W. Hillcrest Drive Assessor Parcel Numbers (APNs 525-006-0125, 525-005-3115, 525-005-3175, 525-006-0135, 525-005-3195, 525-006-0095, 525-006-0115, 525-006-0085) is exempt surplus land.
2. Find that this action is not a project as defined under the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines, Section 15060(c)(3), or in the alternative, even if the actions contemplated herein constituted a “project” under CEQA, they involve the sale or lease of surplus land which is exempt from environmental review under CEQA pursuant to CEQA Guidelines, Section 15312.
LEVINE ACT ITEM: No
FINANCIAL IMPACT:
No Additional Funding Requested. Minimal staff time required to prepare the report is included in the Adopted FY 2025-26 General Fund Budget.
BACKGROUND:
Since the adoption of the Downtown Core Master Plan (DCMP) in 2018, the creation of an activated, pedestrian-friendly, public space has remained a key community and City Council priority. In June of 2025, City Council endorsed the revised conceptual plan for the “Downtown Project” and authorized staff to pursue entitlement for the Project.
One of the cornerstones of the Downtown’s funding strategy is the disposition of the former City Hall site at 401/403 W. Hillcrest Drive. The 403 Hillcrest building is currently leased by the City to Conejo Recreation and Park District (CRPD) for its
Declaration of Exempt Surplus Lands at 401/403 W. Hillcrest Drive December 2, 2025
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headquarter office and Hillcrest Center for the Arts (HCFA). The 401 Hillcrest building is currently vacant and was most recently leased by the National Park Service. At the March 20, 2025, CRPD Board Meeting, City staff presented an update on the Downtown Project and the possible disposition of 401/403 Hillcrest.
During discussion, the CRPD Board expressed an interest in remaining at 401/403 Hillcrest as the permanent home for its headquarters and HCFA.
In light of CRPD Board preference, staff engaged CRPD leadership on a general framework for a potential sale of 401/403 Hillcrest to CRPD. On May 20, 2025, City Council authorized the City Manager to explore disposition terms with CRPD leadership for the 401/403 Hillcrest property.
Prior to the sale of City-owned parcels, the City must first declare them surplus.
When disposing of surplus lands, the Surplus Lands Act (SLA) requires all local agencies to first make those lands available to other public agencies and affordable housing developers via notification. Before a local agency takes any action to dispose of land, the land must be declared either “non-exempt surplus land” subject to the notification of availability requirements of SLA or “exempt surplus land,” requiring no notification of availability.
One of the exemptions under the SLA is for property that is sold/transferred to another public agency. Given that the potential transaction is between the City and CRPD, the sale of 401/403 Hillcrest to CRPD would qualify as exempt surplus land.
DISCUSSION ANALYSIS:
The table below summarizes the parcels that are recommended to be declared as exempt surplus land. A map outlining the parcels below is shown in Attachment #1 along with the required resolution declaring the areas as exempt surplus. The parcels below encompass the land underlying the two main buildings on the property, the driveway entrance, parking lot areas, and adjacent open space parcels. Altogether, the areas shown below comprise the totality of the Specific Plan 17 area.
APN Street Address Acreage
525-006-0125 26.99
525-005-3115 8.86
525-005-3175 3.50
525-006-0135 5.00
525-005-3195 2.11
525-006-0095 403 W. Hillcrest Drive 5.52
525-006-0115 6.40
525-006-0085 401 W. Hillcrest Drive 3.29
Total 61.67
Declaration of Exempt Surplus Lands at 401/403 W. Hillcrest Drive December 2, 2025
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Adoption of the resolution does not obligate the City to transact the property or convey any real property interest. Pending City Council adoption of the resolution, City staff will prepare a draft purchase and sale agreement (PSA) of the parcels listed in the table above for CRPD staff’s review. The price and terms of the sale will be contained in the PSA. Staff anticipates returning to City Council with the proposed PSA in January 2026.
Top Ten Council Priorities FY 2025-26
The recommended City Council action and staff efforts are in alignment with one of the City Council’s top ten priorities – Contemplate funding strategies for project design and construction and provide direction | Consider key design and engineering decisions for phased development of Downtown Project | Consider targeted alterations to Thousand Oaks Boulevard within the downtown core | Complete environmental review and prepare for public hearing | Continue robust ongoing community engagement.
COUNCIL GOAL COMPLIANCE:
Meets the following City Council goals:
C. Operate City government in a fiscally and managerially responsible and prudent manner to ensure that the City of Thousand Oaks remains one of California's most desirable places to live, work, visit, recreate, and raise a family.
G. Continue City's commitment to community and cultural programs and services (such as Performing Arts/Theatres, Libraries, TOTV, Visual Arts, Youth and Senior Programs).
Attachments:
Attachment #1 – Resolution Declaring Certain City-owned Areas as Exempt Surplus Lands
CMO: 670-80\aa\City Council\Council Items\2025\120225\Declaration of Exempt Surplus Lands at 401 403 W Hillcrest Drive Staff Report