Lennar Homes of California will pay Encinitas $1.8 million to use nearly an acre of city-owned land for a future housing development’s entranceway, retaining walls and a bio-filtration basin.
The easement agreement, which allows the private developer to have access to publicly owned land, was approved during a special City Council meeting Wednesday. The vote was 4-0 vote, with Councilmember Bruce Ehlers absent.
In their motion to approve the proposed agreement, council members included a requirement that $1.8 million be spent on improvements to the region around the project site — a vacant hillside at the northeast corner of Piraeus Street and Plato Place.
Mayor Tony Kranz said both the easement agreement and the council’s stipulation about how $1.8 million will be spent were highly unusual for Encinitas. Usually, the city holds easements over private land, but in this case, Encinitas actually owns the land under Piraeus Street and Plato Place, he said.
Also, Kranz added, when Encinitas has previously received development mitigation money, it has not mandated that the money be spent in a specific area of the city.
“This is an unusual situation,” Councilmember Joy Lyndes said as she made the motion to accept the settlement agreement with the condition about how the money would be spent.
Her neighborhood improvement spending suggestions included funding a Safe Routes to School pathway to Capri Elementary and a pedestrian walkway to La Costa Avenue. Councilmember Allison Blackwell also suggested getting cost estimates for under-grounding utilities along the back side of the project site and testing to see if some of the excess sandy soil on the site could be placed on area beaches.
However, attorney Marco Gonzalez, who represents the developer, cautioned that the company has other uses for the site’s excess sandy soil.
”Lennar has a specific need for this dirt in another project,” he said.
Council members weren’t the only ones calling the $1.8 million agreement with Lennar highly unusual. During public comment on the item, neighboring homeowners urged the council to reject the deal and force Lennar to redesign its proposed housing project, thus reducing the number of units and requiring less soil removal on the development site.
“I have no idea why you are so in love with this project, it makes no sense,” area resident Jim Brakas, a real estate agent, said.
Under the settlement agreement, Lennar will receive the use of .71 acres along Piraeus Street and .25 acres along Plato Place for its project entranceway, retaining walls and a storm water detention basin.
Lennar is now proposing to put 134 townhomes split between 14 buildings on its project site. Originally, plans called for 149 townhomes in 15 buildings. The development also now covers less area — 5.99 acres instead of 6.58 acres. Those changes, which the council also approved Wednesday night, were the result of a settlement agreement reached after the Endangered Habitats League sued the developer and the city.