DEL MAR — The city of Del Mar could face penalties from the state if it continues refusing to process the Seaside Ridge housing project application, California Attorney General Rob Bonta’s office said in a Dec. 5 letter to city officials.
Carol Lazier, who owns the 929 Border Avenue property on the bluff overlooking Del Mar Dog Beach, first proposed the 259-unit Seaside Ridge project back in 2022. Of the 259 units, it proposes 42 units for low- to extremely low-income households.
While Lazier argued that the city was required to process the application administratively, city staff have repeatedly stated that the application cannot proceed because it is missing required materials, including a rezoning application, a Local Coastal Program Amendment, a coastal development permit, and conditional use permits.
Bonta’s letter follows Lazier’s re-filing of a lawsuit against the city to compel it to process the application. Lazier originally sued the city in 2024, but a judge dismissed the case, ordering the developer to first exhaust all available remedies by appealing the city’s determination that the application was incomplete.
At a September meeting, the Del Mar City Council unanimously declined to order a de novo hearing to consider an appeal formally. Lazier re-filed her lawsuit in San Diego County Superior Court in October, asking the court to step in once again.
Bonta’s office argues that Del Mar has effectively blocked Seaside Ridge developers from any straightforward process to seek an appeal from the City Council or courts, stating that this approach is “untenable.”
“Our letter simply tells the City that it must either narrow its questions and process the application without further delay, or deny the application so the project applicant can seek relief in court,” the AG’s office said. “Lowering the cost of rent and homeownership for Californians has been a top priority for Attorney General Bonta since taking office, and he is committed to ensuring that cities and counties comply with state housing laws to get us there.”
City Manager Ashley Jones acknowledged Bonta’s letter in a Thursday statement.
“While the City was not contacted by the DOJ prior to receiving the comment letter, we are currently evaluating the DOJ’s comments and will continue to adhere to the procedures set forth in State housing law regarding our review of the Seaside Ridge development application,” Jones said.
Seaside Ridge developers argue that because their preliminary application was submitted while Del Mar’s Housing Element was uncertified, the city is required to process the project under the state builder’s remedy law.
However, Del Mar staff contend that the builder’s remedy does not apply in this case because the project’s square footage changed by more than 20% between the preliminary application and subsequent applications.
Bonta pushed back against this argument.
“The City’s conduct to date could be seen as a deliberate attempt to avoid an adjudication regarding the applicability of the Housing Accountability Act’s Builder’s Remedy provisions,” Bonta said.
He also said Del Mar could be assessed financial penalties under Assembly Bill 712. This law takes effect at the start of 2026 and states that when housing developers prevail in a lawsuit against a public agency for noncompliance with housing reform laws, they are entitled to reasonable attorneys’ fees and costs, and the court must impose a fine on the public agency.
Other builder’s remedy cases have resulted in favorable outcomes for developers, such as the recent case against the city of La Cañada Flintridge.
Last year, a Los Angeles Superior Court judge sided with a housing developer in their lawsuit against the city, ruling that La Cañada Flintridge violated housing law by refusing to process an application for an affordable housing project that qualified under builder’s remedy.
The city initially appealed the ruling, but dropped the appeal in March after being told it would have to pay a $14 million bond to continue litigation. This is an element of the Housing Accountability Act, which states that cities that pursue appeals after being found to have improperly denied a housing development are liable for the costs of delay to the project caused by the appeal.