Santa Ana’s Metro Town Square mall near South Coast Plaza will soon be converted into thousands of new homes, senior housing, cafes, shops, restaurants, hotel rooms, a grocer and open space.
It’s a development that officials say will be an economic driver for the city.
It comes as cities across Southern California like Brea, Westminster, Buena Park and Laguna Hills have been moving to redevelop into a mix of homes and retail shops.
[Read: Are Aging Malls Key to Boosting Affordable Housing Opportunities Across Southern California?]
On Tuesday, Santa Ana City Council members voted 6-0 on the project, dubbed Related Bristol, which they expect will bring in millions in annual tax revenue as officials brace for a massive decrease in Measure X, a 1.5% sales tax increase approved in 2018.
Originally slated to be approved last month, council members kicked the vote back by a couple weeks after some labor union leaders said they didn’t have agreements with the developers – giving the developers more opportunities to meet with labor union leaders.
[Read: Should Large Housing, Retail Developments Built in OC Require Local Union Labor?]
Councilwoman Thai Viet Phan, who is running for reelection and is endorsed by labor unions like the LA/OC Building and Construction Trades Council, recused herself from the vote due to a conflict of interest with her employer Rutan & Tucker, a law firm.
Councilman Phil Bacerra, who represents the ward the development project will be built in, said the development will help the city meet its state-mandated housing goals and bring in millions in new taxes.
“This project will be a walkable community filled with residences, shops, restaurants, cafes, outdoor spaces and experiences just across the street from an international shopping destination – that being South Coast Plaza,” said Bacerra, who was also endorsed by the building trades council in 2022.
“The project – I’m very sure will be a destination of its own.”
Related California, the developers behind the proposal, say the project will be the largest private investment in the city, creating almost 6,000 construction jobs and is expected to bring in close to $11 million new tax revenue for the city.
Beyond that, developers are also offering $40 million to the city, which includes $22 million as part of a community benefit fund and $18 million for affordable housing.
It comes after officials warned earlier this year of losing $30 million in annual sales tax when Measure X begins sunsetting in five years.
Bacerra asked that a portion of the $22 million be prioritized for a community center in the ward he represents to offset the impact the project will have on the life of residents living there.
“Every other part of the city has the ability to enjoy a community center. So I’m hoping that Ward Four, through such a transformative project, will have its opportunity to finally secure a community center,” he said.
Councilman David Penaloza, also backed by the building trades council in 2022, spoke in support of the project, arguing officials have to look at the bigger picture.
“There’s going to be a lot of economic drive for this city once this is all said and done,” he said at Tuesday’s meeting. “It’s going to bring hundreds and hundreds of jobs to the area.”
Officials were expected to approve the development last month, but instead voted to delay approving the project after some union representatives raised concerns that developers hadn’t reached an agreement with the LA/OC Building trades council.
Meanwhile, representatives from the Hispanic Chamber of Commerce OC, a local hotel worker union, and the OC Business Council have spoken at public meetings in support of officials approving the project.
Sylvia Pizarrosa, a former chairwoman for the local Hispanic Chamber of Commerce, spoke on behalf of current chamber CEO Reuben Franco at Tuesday’s meeting, saying the city needs Related Bristol.
“The growth and prosperity of Santa Ana is crucial to Orange County’s future. Related Bristol will attract new investment and opportunity to the heart of Orange County for decades to come,” she said.
An attorney on behalf of the Western State Regional Council of Carpenters also wrote a letter to the council in support of the project.
But not all local labor representatives were on board with the project Tuesday evening.
Doug Mangione, political director for International Brotherhood of Electrical Workers Local 441, said he was still against the redevelopment because that union didn’t get a contract.
“My members aren’t going to work there. The sheet metal workers aren’t going to work there. Iron workers, operating engineers – there are some people that aren’t going to work there,” he said. “So we are not all that happy about this.”
Hosam Elattar is a Voice of OC reporter and corps member with Report for America, a GroundTruth initiative. Contact him at helattar@voiceofoc.org or on Twitter @ElattarHosam.
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