Community Corner

Sharp Divide Emerges Over DWP Settlement Agreement

Residents filled Seal Beach City Council chambers beyond capacity Monday to show support or outrage at the plans to build 48 homes.

Seal Beach City Council chambers overflowed Monday night as residents came out in equal numbers to support and oppose plans to build homes on the city’s last remaining coastal space.

Emotions ran high as supporters and opponents listed their reasons why the 48-home development on the former DWP property on First Street would either hurt or enhance the community. Supporters called the vacant lot blighted and noted the beauty, jobs and economic boons that could be created by the housing development. Many said that the vacant property is long overdue for development, adding that the project gives the city 6.5 acres of land for use as a park. Opponents, on the other hand, said the plan includes too many homes and expensive concessions from the city. The project would destroy costal open space and take nearly $2 million from city coffers along with roughly 7,000 square feet of city-owned roadway, they said.

The proposed project has barely begun the approval process, which will include an environmental impact report and several public hearings in front of city committees and commissions as well as the California Coastal Commission. However, residents are sharply divided over a lawsuit settlement agreement between the city and DWP property owners, Bay City Partners.

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Inked in March, the settlement agreement essentially commits the city to consider the project “in good faith.” The City Council is not required to approve the project. However, if the project is approved the developers would give the city 6.5-acres for open space and access to a bike trail and the First Street parking lot.

In exchange for the open space, access and a sewer easement, the city will pay Bay City Partners nearly $2 million and give the developers about 7,000 square feet of roadway along First Street. The city would also agree to support the project when it goes before the California Coastal Commission for approval.

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“I am in support of the agreement. I think it has been a long time coming,” said Shelly Bolander. “Now is the time to see what can be done with that property – how beneficial it can be.”

Bolander said she could envision a beautiful open space portion facing the ocean and adjacent San Gabriel River complete with a Gazebo that could be used for weddings.

Similarly, resident and Olympic Diving Gold Medallist Pat McCormick said she envisions a project that would be good for the community, noting that the Bay City Partners are locals invested in the well-being of the community.

The Partnership includes O’Malley’s on Main Owner Brian Kyle, Rocky Gentner, Bob Griffith, Jim Parkhurst, and Cindy Atkinson.

“They really, really care about this community,” she said. “I really am looking forward to this project.”

Conversely, resident Mario Voce was critical of the agreement, arguing that it turns the City Council and staff into a “cheerleading section” for the developer.

“It’s nothing more than a big horrible rip-off,” he added.

Robert Goldberg also objected to the agreement because of the placement of the southern boundary of the proposed residential development. The DWP Specific Plan limits development to “the area north of an imaginary westerly prolongation of Central Way,” he said. Goldberg stated that this should mean that any development would not be on top of this imaginary road. However, the agreement reflects the 2009 opinion of the City’s former Director of Development, Lee Whittenberg that the project could extend across the full width of the imaginary road prolongation.

“This is basically a gift of public lands,” he said. It’s enough land for seven and a half housing lots valued at more than $500,000 a piece, he added.

“I don’t get why you are giving them our land,” said Seal Beach resident Jim Caviola, who presented a slideshow to the City Council outlining his objections to the agreement. He noted that Bay City Partners paid roughly $4 million for the property and is now charging the city $900,000 for a sewer easement.

“You are giving them 25 percent of their purchase price,” he said. “It’s hard not to be critical.”

The land is currently zoned for a 150-room hotel, and the developers will have to get a zone change before the homes can be built. However, the first step will be the completion of a Draft Environmental Impact Report, in which consultants study the project’s impact on the surrounding community including, toxic contamination, traffic, noise, and destruction of wildlife habitat. Residents will have an opportunity to list the concerns they would like addressed in the environmental report at a public meeting at City Hall at 6:30 p.m. June 20th.

The project is not likely to have any contamination issues because it was remediated and given a clean bill of health by the County of Orange Healthcare Agency in a 1987 report, said Ed Selich, a project manager for the investors, Bay City Partners.

The developers plan to build the streets, sidewalks and sewer infrastructure for the project and sell the lots to individual buyers, who would design and build custom homes, said Selich. The custom designs would be in keeping with the Seal Beach aesthetic, he added. If the project is approved, the property owners could begin selling the lots in 2013, said Selich.

Correction: An earlier version of this story mischaracterized Robert Goldberg's objection to the project.


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