After a discussion stretching through months and dozens of detailed documents, the Cypress city council finally voted 3-1 Monday to allow Shea Properties to move forward with a controversial mixed-use development for the city-owned parcel they are selling to the company.
The fate of the 13.3-acre parcel has been the subject of much controversy since the end of the redevelopment movement nearly a decade ago. In recent months, city officials have entertained proposals seeking to determine the best use of the site.
With the approval of the disposition and Development agreement, city officials on Tuesday have given Shea Properties the right to move forward on a proposal for a mixed-use development they claim will enhance Cypress now, and in the future.
Mayor Stacy Berry voted against the motion, even unsuccessfully asking the council to postpone the vote until member Mariellen Yarc, whom she said was very familiar with the project, could be present.
Mayor Pro-tem Rob Johnson, along with, council members Jon Peat and Paulo Morales voted to allow the project to move forward.
“The digital economy is calling for a mixed-use project,” said city manager Peter Grant in his summary report before the vote, as he explained that the after a long wait, the city staff concluded the Shea proposal was potentially the best use of the city’s 13.3-acre tract.
Grant clarified, however, that the city will indeed have another chance to give final approval, or rejection of the project once Shea finishes the environmental review and other final planning measures that must come back to the council for final approval.
Grant said the mixed-use development conforms to the same density as the Cypress Town Center project recently approved by voters.
In June of 2018, residents voted overwhelmingly (63.5 percent to 36.5 percent) to approve a
plan to develop a town center, housing, and public park space in parts of the Los Alamitos Race Course, the former Cypress Golf Club, and adjacent property, as well as related zoning amendments and changes.
Also, said Grant, the city thinks the sales price of $15.25 million was fair, given the site’s construction impediments such as high groundwater tables and its earthquake requirements.
Grant said simply that “today’s market wants a mixed-use project that provides experiential living.” Similar developments are trending across the country which he said developer’s feel is required to attract today’s buyers.
“Mixed-use is the future of development,” said Kevin McCook, Vice President of Retail Acquisitions and Development for San Diego based Shea Properties. Though he claimed the project has been subject to a significant amount of “misinformation,” McCook said the project is consistent with the city’s demographics.
Nationwide trends indicate millennials seek “experiential” living, said McCook, noting the 251 residential units included in the development will be within walking distance to a theatre, restaurants and parking.
Also, he said the site would also include a hotel, likely a Hilton flagged brand, and a commercial office space.
McCook acknowledged the company is willing to spend the large amount of money needed to develop the project through its final phase and was aware that the investment could be lost if, for any reason, the city did not grant final approval in 2020.
Grant acknowledged that if the project was ultimately rejected, the city would have to refund Shea’s deposits but would have no other consequence. Also, he noted the city was providing “no financial assistance” to the company.
Berry questioned McCook on its planned “outreach” efforts in the months ahead, asking whether or not the company was truly looking for input or rather simply informing citizens of its progress. McCook said it they are “open” to suggestions from the community because it was important to have total buy-in as the project moves forward.
Citizens have been actively expressing opinions, both for and against the project for months.
Many citizens had expressed concern about the density of the 251-unit project, some saying the city would have been better off accepted an offer from Los Al Race Track owner Ed Allred, that could have produced a higher purchase price and lower densities.
The city, however, suggested the Shea Properties proposal was exactly the kind of project required to bring Cypress into the future. Some city officials said they had visited other such new-age Shea developments to get an idea of what their proposed Cypress project might look like when complete.
McCook said the company would not only try to attract young professionals, first responders and others, but also would be open to boomers who want to sell the house and step down to a mixed-use development.
Both Councilman Peat and Mayor Pro-Tem Johnson specifically asked McCook and Grant to explain the density and zoning requirements in detail to confirm that the project did indeed conform to city zoning specifications.
McCook confirmed that the density is based on the entire site development acreage, not just those on which the housing units are being built. Based on that calculation, said Peat, the 18.9 units per acre in the proposed development fall well within city zoning requirements.
Peat acknowledged that “strong opinions” have been expressed on both sides of the Shea development, but he said he felt like the project could add a “strong revenue base” to the city. Estimates indicate the development would generate about $800,000 per year for the city, said Grant, although acknowledging there are variables that cannot be known at this time.
Also, said Peat, when looking at a history of the city, courageous steps forward have generally produced social and financial dividends.
McCook said the company will add a public “dog park” for both large and small dogs, which is a feature not yet shown on the drawings. Shea has created a website for the project to keep citizens informed at www.cypresscitycenter.com.
Berry said city officials will watch carefully to ensure that the project, when it does come back to the council for final approval (expected at some point in 2020) has not significantly changed.
Anne Hertz, a longtime resident of Cypress, said she was excited to see the project come to Cypress, “bringing more entertainment and dining options,” along with additional services.
Bonnie Peat, a member of the Cypress School Board, assured the council that the local school system would be prepared for the influx of new students if the development becomes a reality.
Steve Moss said while he was “not opposed to the project,” that he would be watching carefully to ensure zoning and density answers provided during the debate would translate into reality as the project moves to the next phase.
In other action, the council;
- Honored Cypress veteran Mai Kimura, a former nurse at the Long Beach Veterans hospital and later, as an accomplished nurse at Los Al Medical Center, for her selfless dedication to others.
- Thanked retiring engineer Bob Decker for more than two decades of service. “God Bless the city of Cypress” said Decker, citing his amazement how the city transformed itself from “strawberry fields” 21 years ago to what it is today.