Irvine city leaders approved a controversial land swap with property developer FivePoint on October 3, 2023, allowing for the construction of 1,300 market-rate housing units that will not be subject to affordable housing requirements. The decision, made in a 4-3 vote, involves the city transferring 26.4 acres of land within the Great Park to FivePoint in exchange for 35 acres at the Crescent site, which is strategically located near the Irvine Spectrum.
The planned development is expected to generate over $200 million in special taxes, with funds earmarked for school expansions and public infrastructure improvements benefiting Great Park residents. During a city council meeting, Stephanie Frady, the city’s director of community development, emphasized the economic benefits of the project, stating that it represents a significant boost for the local area.
The Crescent site is envisioned as a transit-oriented development that will enhance connectivity between Great Park and the bustling Irvine Spectrum, which attracts approximately 17 million visitors annually. Pete Carmichael, the assistant city manager, noted the importance of the site in linking these two major hubs, adding, “This creates an exciting opportunity for transit-oriented development and an important linkage between the Great Park and the greater Spectrum area.”
Despite the anticipated benefits, the approval of the land swap has raised concerns among community advocates. The city council’s decision to waive state affordable housing requirements for FivePoint has been a focal point of criticism. According to Elizabeth Hansburg, co-founder of People for Housing OC, this move could limit the city’s ability to ensure that developments near transit centers include adequate affordable housing options. She remarked, “When the city becomes the owner of the land adjacent to the transit center, then the city will be held to a higher percentage of affordable than a private entity would be.”
The exchange also includes a financial component, with FivePoint contributing an additional $15 million to the city. Initially, there were suggestions by Mayor Larry Agran to allocate this money towards a final resting place for veterans. However, public sentiment during the meeting favored using the funds for library development instead. In response, Councilmember Melinda Liu introduced a motion to approve the land swap while prohibiting the use of any portion of the $15 million for a columbarium project, which eventually passed with a 4-3 vote.
The decision has sparked dialogue among residents and city leaders about the future of housing and development in Irvine. As the city evolves, the balance between economic growth and community needs remains a critical concern. City officials assert that the development will not only provide new housing options but also stimulate economic activity and infrastructure improvements in the area.
