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2025 Budget Recommendation / R42 / General Services / Sale or Joint Development of Surplus Properties for Revenue Generation

Council File 25-0600-S86

Under review — the city identified 24 surplus properties for sale to raise revenue, but the full Council sent it back to committee in August, so the formal designations are still waiting for a final vote.

Introduced
2025-07-30
Last changed
2026-08-18
Status
open
Expires
2028-08-11
Committee
Government Operations Committee
Initiated by
Council
References
Municipal Facilities Committee Report: 0150-13202-0000

Brief

This budget recommendation directs the city to pursue the sale or joint development of surplus properties as a revenue-generating strategy. Introduced by Council in July 2025, the motion (moved by Park and Blumenfield) was referred to the Government Operations Committee, which approved it in August 2026. Council voted 10-0-5 to adopt the measure on August 14, 2026. The file is now closed following final council action.

Full summary

This file originated as a 2025 budget directive requiring the General Services Department (GSD) to identify opportunities to sell surplus city-owned properties or enter joint development and lease agreements to generate revenue. In response, GSD submitted a report to the Municipal Facilities Committee (MFC) in March 2026 cataloguing all surplus properties under its jurisdiction — including vacant buildings and undeveloped parcels — along with a procedural flowchart for disposition, a list of properties eligible for the 'Own A Piece of Los Angeles' (OPLA) direct-sale program, and details on active joint development projects. The report also drew on a prior 2018 City Administrative Officer assessment of surplus properties as background context, and outlined the roles of the Economic and Workforce Development Department and the Los Angeles Housing Department in potentially redirecting some properties toward economic development or affordable housing. The central action taken in this file is the formal designation of 24 specific city-owned properties for disposal. Six properties — five in Playa Del Rey and one in Pacific Palisades — are classified as 'Exempt Surplus Land,' a designation that carries fewer procedural requirements under state law. The remaining 18 properties, concentrated in the Pacific Palisades neighborhood along streets including Porto Marina Way, Castelmmare Drive, and Paseo Mirimar, are classified as 'Surplus Land,' triggering the standard notice and negotiation process required by the California Surplus Land Act. The MFC found that all 24 properties are no longer needed for city use and that disposal serves the public interest. The MFC reported no direct General Fund impact from these recommendations. The MFC report was forwarded to the Government Operations Committee in early June 2026. The committee initially continued the matter after a public hearing in June, then approved all recommendations unanimously on August 4, 2026, with Councilmembers Padilla, Lee, and Jurado all voting yes. When the item reached the full Council on August 14, 2026, Councilmember Traci Park moved to refer it back to the Government Operations Committee rather than adopt it outright; that motion, seconded by Bob Blumenfield, passed 10-0-5. The file remains open and pending in the Government Operations Committee, meaning the formal surplus land designations have not yet received final Council adoption.

Activity (14)

  • 2026-08-18 Council action final.
  • 2026-08-14 Council referred item to Government Operations Committee.
  • 2026-08-14 Council adopted Motion (Park - Blumenfield) to refer to the Government Operations Committee, subject to reconsideration, pursuant to Council 51.
  • 2026-08-11 City Clerk scheduled item for Council on August 14, 2026.
  • 2026-08-04 Government Operations Committee approved item(s) .
  • 2026-06-16 Government Operations Committee continued item to a date to be determined.
  • 2026-06-11 Government Operations Committee scheduled item for committee meeting on June 16, 2026.
  • 2026-06-08 Municipal Facilities Committee document(s) referred to Government Operations Committee.
  • 2026-06-04 Document submitted by Municipal Facilities Committee, dated June 4, 2026.
  • 2025-08-29 Council action final.
  • 2025-08-27 Council adopted item, subject to reconsideration, pursuant to Council Rule 51.
  • 2025-08-22 City Clerk scheduled item for Council on August 27, 2025.
  • 2025-08-15 Government Operations Committee scheduled item for committee meeting on August 19, 2025.
  • 2025-08-05 Council document(s) referred to Government Operations Committee.

Documents (11)

Council votes (2)

  • 2026-08-14 Vote — 10-0-5 · Regular
  • 2025-08-27 Vote — 15-0-0 · Regular

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