Laguna Hills is expected to see 180 apartments built for senior housing after council members approved a housing project commonly referred to as a “builders’ remedy” because state law allows it to bypass local zoning rules.
Builder’s remedy is part of California’s Housing Accountability Act and allows developers to circumvent certain general plan and zoning limitations in cities if the project provides a certain number of affordable housing units.
That means cities can’t deny builder’s remedy projects just because they don’t think it’s a good fit for the community, or if they have issues with things like density or parking.
Denying a builder’s remedy project could open a city up to lawsuits from a number of parties, including affordable housing organizations and the California attorney general.
Builder’s remedy can only be used if a city’s long-term housing development planning document, known as the housing element, is not in compliance with state law — which was the case in Laguna Hills when the initial project application was submitted.
Cities like Huntington Beach have gotten into hot water in the past for opposing builder’s remedy.
Laguna Hills council members approved the senior housing development, expected to be built in the La Paz Village shopping center, on a 3-1 vote with Councilmember Erica Pezold voting against it.
Councilmember Jared Mathis recused himself due to a conflict of interest since he has ownership and financial interests in the nearby Moulton Ranch Center.
The project is expected to replace some retail spaces with 180 studio, one- and two-bedroom apartments for tenants ages 55 and up. Of those units, 10% — 18 in total — will be dedicated to very low-income tenants.
To be considered very low-income in Orange County, a one-person household must make less than $59,250 a year, according to state income limits. A very low-income two-person household must have a combined annual income less than $67,700.
The project is also expected to be 61-feet tall and include activity areas, a theater, gym, pool, salon and community courtyards.
Laguna Hills council members who approved the development said they were reluctant and concerned about the project’s impact on the area and nearby neighborhoods.
“Your concerns about this project’s density, the height, the potential strain on traffic and resources, they’re not just valid, but they’re the same worries that keep me up at night,” Mayor Joshua Sweeney told residents at the Sept. 23 meeting that went into the early hours of Wednesday morning.
“But here’s the painful truth that we must face together as a community: the state of California, through Sacramento’s relentless push of laws like the Housing Accountability Act, AB 1893 and now AB 130, which was the final nail in the coffin, has systematically stripped away all our local control, and they have tied our hands in a way that feels profoundly unfair, leaving us in checkmate.”
He said the project “clashes with the community’s heart and soul,” but it’s not worth the risk to potentially invite legal challenges if they were to deny it.
“If we fight it outright, we’d invite lawsuits from the attorney general, advocacy groups and many others,” Sweeney said, “and we simply cannot risk bankrupting Laguna Hills and draining our city’s funds.”
Councilmember Dave Wheeler called the project a “monstrosity” before ultimately voting to approve.
“I have to think about not only the group in here,” he told residents at the meeting. “You’re maybe 20% of the city’s population. There’s the other 80% out there that’s not here, but I also have to consider spending all their money to defend you with the probable likelihood of not winning.”
Councilmember Erica Pezold voted no due to concerns about the project creating hazards in the city.
“I can’t stomach the idea of this,” she said just before voting against the project. “I still believe there’s something we can do.”
The project is proposed by Nick Buchanan, who already owns the property at La Paz Village.
He said retail isn’t generating money like it used to, and senior housing is needed as people in the city get older.
“As baby boomers start to age, there’s a chronic shortage of senior housing, so we decided that senior housing would generate less traffic,” Buchanan said at the meeting. “It would have no impact on the schools, and it would have less impact to the surrounding community than a larger apartment project.”
He also said he considered a much larger, 400-unit apartment complex before bringing it down to the 180-unit senior-focused development.
“Even though there is a traffic problem out there on La Paz from time and time, everyone’s talked about that, the proposed project shouldn’t make that any worse,” he said.
Speakers at the meeting voiced strong concerns about the project’s impacts on local communities.
“High-density housing at La Paz Village will have a negative impact because it does not have the infrastructure to support it,” one resident said at the meeting. “The proposed 61-foot, high-density, 180-unit apartment structure on top of a hill does not conform to the surrounding residential area and will create a bad image for the city of Laguna Hills.”
Council members also were concerned that if they were to deny this project, it could put their housing element in jeopardy — potentially opening the door for more builder’s remedy projects in the future.
“We only have one builder’s remedy project in existence in Laguna Hills right now,” Councilmember Don Caskey said at the meeting.
“We’re exempt because we have a certified housing element, which I want to protect with my life. I really believe if they take that away from us for whatever reason — the state is really good at that and the legislature might want to just do it anyway — but the point is that if they do that, then I predict we’ll have five of these overnight.”
Angelina Hicks is the Voice of OC Collegiate News Service Editor. Contact her at [email protected] or on Twitter @angelinahicks13.