Latest Guides

Government

Affordable Housing Project on North Lake Avenue Could Move Forward on Council Vote Today

Published on Monday, January 12, 2026 | 5:25 am
 

As part of Monday’s consent calendar, the City Council will consider an agreement to enter exclusive negotiations with a development team for a major mixed-use affordable housing project on city-owned property at 434–470 North Lake Ave.

A City Council agenda report recommends approval of an Exclusive Negotiation Agreement, or ENA, with Holos Inc. and Heritage Housing Partners to pursue redevelopment of the 2.38-acre site at the southeast corner of North Lake Avenue and Villa Street.

The property, which includes three vacant one-story medical office buildings once used by Kaiser Permanente, was acquired by the city in 2023 to support a community-focused, transit-oriented development.

Under the proposed agreement, the city would negotiate in good faith for up to six months toward a disposition and development agreement.

If the council passes the item, the City Manager would be authorized to execute the ENA, which officials say is an administrative action and not a project under the California Environmental Quality Act.

The site is designated Medium Density Mixed-Use in the City’s General Plan, allowing residential, retail and health-related uses. City officials have said the long-term goal is to create a development that combines affordable housing with space for health and mental health outpatient services.

The property was declared surplus land in July 2024, triggering the state Surplus Land Act process.

The city issued a notice of availability to affordable housing developers and received 12 proposals by September 2024. After a required good-faith negotiation period and further discussions, staff narrowed the field and evaluated projects based on affordability, feasibility, experience, and alignment with city and community goals.

Nearly 150 residents attended a city-hosted public meeting in March 2025, where feedback helped shape development priorities.

Those goals included at least 200 residential units, 60% to 80% affordability with deeper affordability encouraged, on-site health and mental health services, community-serving amenities, and compliance with the North Lake Specific Plan.

Holos and Heritage Housing Partners were selected as the preferred team following a review conducted by city staff with financial consulting support from Keyser Marston Associates. Their proposal, titled “Los Peldanos,” envisions 213 units, including 160 affordable rental units and 53 affordable ownership units. About 80% of the rental units and 90% of the ownership units would be designated as affordable.

The plan also includes more than 14,000 square feet of commercial space, a targeted net-zero energy design, sustainability features, and space for integrated health and mental health services.

Heritage Housing Partners has previously developed affordable housing projects in Pasadena, including Lincoln at Orange Grove, Decker Court, Gill Court and Walnut Crossing.

Other developers were designated as backup candidates if negotiations fail, while several proposals were not selected to advance.

City officials said there is no direct fiscal impact tied to approval of the ENA. The developer would provide a $10,000 deposit to reimburse the city for out-of-pocket costs such as legal and consultant fees during the negotiation period.

If negotiations result in a development agreement, the project would return to the City Council for approval and would undergo future public review processes, including subsidy hearings and design and environmental review.

Here are the remaining items on Monday’s consent calendar.

  • $1.8 Million Contract For Downtown Traffic Signal Upgrades

The contract with Elecnor Belco Electric Inc. would upgrade traffic signals and communication systems at up to 35 intersections in the city’s central business district, a move aimed at improving traffic flow, reducing delays and modernizing the city’s transportation network.

The contract provides Intelligent Transportation System projects and traffic flow improvements within Pasadena’s core commercial area. The contract carries a not-to-exceed amount of $1,825,289, including a base bid of $1,659,354 and a contingency of $165,935.

The work will focus on major downtown corridors south of the 210 Freeway, including Orange Grove Boulevard, Colorado Boulevard, Green Street and Holly Street. Public Works officials say the project will install new traffic signal equipment and upgrade fiber-optic communications, allowing the city to develop more effective signal coordination plans and actively manage traffic speeds.

The upgrades are designed to complement Pasadena’s ongoing deployment of “smart” signal technology that can respond to real-time traffic conditions. Officials say the improvements will strengthen traffic management capabilities in the city’s core while supporting broader goals of a more efficient and reliable transportation system.

Construction is expected to begin in April 2026 and be completed by September 2026. Officials said the contract complies with competitive bidding, prevailing wage and living wage requirements. The contractor reported that no new hires are anticipated, though Pasadena residents are encouraged to be given preference if positions are created.

  • Five-Year Equipment Service Contract For City Fleet

The contract allows for the purchase of parts, service and repair of John Deere construction equipment used in daily public works and utility operations.

The City Council is being asked to authorize the City Manager to enter into a contract with Bragg Investment Company Inc., doing business as Coastline Equipment, for an amount not to exceed $360,734. The total includes a base contract of $327,940 and a $32,794 contingency to cover unforeseen service and parts needs over the life of the agreement.

The contract would support the maintenance of a mixed fleet of nine John Deere construction units, including loaders and backhoes operated by the Department of Public Works and Pasadena Water and Power. City officials say the equipment is essential for excavating, trenching, material handling and street repair work across Pasadena.

Most routine maintenance and many repairs are performed in-house by city fleet staff. However, officials say certain specialized services and components must be handled by authorized John Deere providers. Some equipment systems, including engine controls, hydraulics and emissions components, require proprietary diagnostic software, factory-trained technicians and specialized tools only available through certified dealers.

Public Works staff said using original equipment manufacturer parts helps prevent incompatibility, reduces unplanned downtime and protects long-term equipment reliability and safety. Certain repairs performed outside authorized networks could risk improper servicing or voiding manufacturer warranties, according to the agenda report.

The city has paid the company more than $1.1 million since fiscal year 2016 for similar services.

  • $739,200 Contract For Citywide Tree Watering

The contract is part of an ongoing efforts to maintain and expand the city’s urban forest.

The contract with Greenfield Landscaping and Maintenance Inc. is for an amount not to exceed $739,200. The total includes a base contract of $672,000 and a $67,200 contingency for potential change orders.

The City has about 60,000 street trees and has been recognized as a Tree City USA community for 35 years, with 25 Tree City Growth Awards. Over the past three years, the Department of Public Works has planted more than 1,400 new street trees, and another 600 are planned for fiscal year 2026.

Newly planted trees require weekly watering in the absence of rainfall for their first three years. Under the proposed contract, Greenfield would water new trees during years one and two, while city crews would handle watering in year three. The contract could cover up to 1,200 trees, watered weekly over a 40-week period, totaling about 48,000 watering visits annually.

Funding would come from existing Street Maintenance operating budget appropriations, with no additional fiscal impact identified.

  • Pasadena to extend employee parking contract near police headquarters

Pasadena city officials are preparing to approve an amendment to a long-running parking agreement to continue providing dedicated parking spaces for city employees near Police Department headquarters.

The contract with ABM Industry Groups LLC, would increase by $90,000 bringing the total not-to-exceed amount to $333,000. The amendment would extend the agreement for an additional 12 months, from Jan. 1 through Dec. 31.

The contract provides 100 parking spaces for city employees at the Judicial Council of California parking facility at 245 Ramona St., located near the Pasadena Police Department.

The arrangement dates back to the closure of the Holly Street Garage, which the city had operated under a 51-year agreement with the First Baptist Church. That agreement expired in February 2023, displacing about 422 city employees and 41 city vehicles that had parked at the garage.

While the city has since secured alternative parking for several departments, officials said the Police Department has unique needs, including proximity to headquarters and 24-hour access for employees working rotating shifts.

The City Council first approved a short-term agreement with ABM in January 2023 to provide replacement parking spaces. Since then, the city has relied on a series of extensions as longer-term options have not been available. The proposed amendment represents the longest extension ABM has been able to offer to date.

Although individual departments pay for their employees’ parking, the Department of Transportation oversees the agreements and coordinates parking needs across city operations. The ABM contract is used specifically for police employee parking.

  • City Could Launch Citywide Active Transportation Plan With Federal Grant

The $891,000 contract would develop a comprehensive Citywide Active Transportation Plan aimed at improving safety and accessibility for people who walk, bike and roll.

The contract with Fehr & Peers would not exceed $890,989, including a contingency. The plan would be funded largely through a Federal Highway Administration Safe Streets and Roads for All grant, with $712,791 in federal funds and a $178,198 local match.

The Active Transportation Plan will integrate and update several existing efforts, including the city’s Bicycle Transportation Action Plan, Pedestrian Plan, Pedestrian Transportation Action Plan and Safe Routes to School work. City officials said the goal is to produce a single, community-driven blueprint for safer and more accessible non-vehicular travel throughout Pasadena.

The plan focuses on building connected walking and bicycling networks, improving traffic safety, guiding infrastructure investments and aligning future projects with Pasadena’s Mobility Element and its recently adopted roadway safety strategy. Equity and transportation safety will be central to the effort, which supports the city’s goal of eliminating traffic fatalities by 2035.

Fehr & Peers has previously worked with Pasadena on several transportation safety initiatives, including the city’s federally funded Focused Local Roadway Safety Action Plan adopted last year. The firm also developed pedestrian safety studies and crossing treatment guidance used by the city.

The Active Transportation Plan project would begin in February.

Funding would be added to the Department of Transportation’s fiscal year 2026 budget, and future implementation projects would be subject to separate review and approval.

Get our daily Pasadena newspaper in your email box. Free.

Get all the latest Pasadena news, more than 10 fresh stories daily, 7 days a week at 7 a.m.