Huntington to talk with Newport firm about sale, development of Rodgers Seniors’ Center site

Huntington Beach will enter negotiations with a Newport Beach-based company for possible redevelopment of the Michael E. Rodgers Seniors’ Center site.

The City Council voted 5 to 2 on Monday to have city staff begin talks with Christopher Homes, which can propose a plan to build 22 single-family homes and up to a 17,500-square-foot park on the 2-acre lot at Orange Avenue and 17th Street. The developer plans to offer the city about $11 million for the land.

The council also voted 5 to 2 to approve a reimbursement agreement with Christopher Homes to fund an environmental impact report regarding redevelopment of the site. The developer will owe the city $254,000 for the report, according to city staff.

Christopher Homes also is responsible for paying for a public vote on the issue in November 2016. The election could cost as much as $8,500, according to a city staff report.

In 1990, Huntington Beach voters approved Measure C, which triggers a public vote whenever the city decides to sell open space or a recreational area, like the Rodgers Seniors’ Center, for residential or commercial use.

An environmental report and other documents required by the California Environmental Quality Act must be completed before the project is put to a vote.

A new senior center for Huntington Beach is being built in Central Park near Goldenwest Street and Talbert Avenue and is expected to be completed by next summer. The city has shown interest in selling the Rodgers site since April.

City officials initially planned to negotiate with Shea Homes, city staff’s top recommendation. The Walnut-based company was offering about $14.6 million for the lot.

However, Shea Homes withdrew on Sept. 23 because it was not able to reach an agreement with a business partner, said Kellee Fritzal, the city’s deputy director of business development.

Mission Viejo-based Woodbridge Pacific Group had dropped out of the running in August because it was concerned that its investment advisor might be hesitant to support a project at the Rodgers site.

City staff met with representatives of Christopher Homes, staff’s third choice among the four developers that offered proposals.

A financial consultant for the city determined that the company’s offer for the lot was fair, given that it has to pay for election costs and the environmental impact report, according to city staff.

Christopher Homes is not new to Huntington Beach. It has developed more than 800 homes in town as well as Ralph Bauer Park at Newland Street and Lomond Drive, said Bill Holman, vice president of land development for the company.

“Given our experience and track record of development and homebuilding in Huntington Beach, we jumped at this opportunity to partner with the city in the redevelopment of the Rodgers site and to create a very compatible collection of new homes on this site,� Holman said.

Councilwoman Barbara Delgleize supported the idea and said money from the sale will help the city maintain its parks.

“I don’t think there’s anything else that can be suited for that area,� she said. “It would be nice for the residents who live there currently to have a park and homes similar to theirs that would upgrade their own neighborhoods.�

Mayor Jill Hardy, who has dissented on every vote to redevelop the Rodgers site, including at Monday’s meeting, said the area lacks parks and that she objects to selling the property to build homes.

Councilman Erik Peterson, the other dissenting vote Monday, said the city is “getting rid of our assets too cheap.�