Exclusive Negotiating Agreement (ENA) Signed for LH Parking Lots

Exclusive Negotiating Agreement (ENA) Signed for LH Parking Lots

March 14, 2018

PRESS RELEASE
Exclusive Negotiating Agreement (ENA) Signed for LH Parking Lots
Clearing the way for community engagement by Development Team GTM Holdings/WORKS

Los Angeles, CA–Councilmember Gil Cedillo applauds the signing of the Exclusive Negotiating Agreement (ENA) between the City of Los Angeles and the Development Team consisting of GTM Holdings and WORKS, for the Lincoln Heights Parking Lots affordable housing project.

As part of the Fiscal Year 2016-17 Adopted Budget, both the Mayor and Council affirmed the City’s commitment to addressing the housing shortage, proposing the use of city-owned land to build affordable or homeless housing. In July of 2016, the Chief Administrative Officer (CAO) release a Request for Qualifications/Proposals (RFQ/P) that would identify and prequalify firms engaged in housing development as well as secure viable potential development strategies for which an exclusive negotiating agreement could be executed. The RFQ/P allowed for other housing types to ensure a mix of units on sites with more than one parcel and also to ensure that the qualified list would identify developers for future City-owned sites for future development. The GTM Holdings and WORKS development team was selected by a five-member selection panel for all five lots located in Lincoln Heights, based on their affordable housing expertise.

Councilmember Cedillo had serious concerns about the lack of meaningful community outreach when the CAO originally accepted responses to the RFP/Q from housing developers in September, 2016. When the CAO recommendations came to the full City Council in December, 2016, the Councilmember removed the recommendations for the parking lots from consideration. Upon further review, the Councilmember decided that it would be acceptable to proceed with the recommended development team, but only if a robust community engagement process were implemented.

The council office was forbidden from communicating with any development team during the RFP/Q or selection process. On March 8, 2018, the ENA was officially signed by the development team and the City of Los Angeles. GTM Holdings and WORKS are now at liberty to commence the public engagement process, working with the Office of Councilmember Cedillo, to build a vision for the five lots in Lincoln Heights.

“I’d like to thank everyone involved in this process thus far. We were all in the dark, and forbidden from communicating with one another until the ENA was signed. Now that we have a signed ENA, the real work begins. We are starting at step one, engaging the community to build a plan for the five lots. There is no done deal, we are at the beginning of the beginning. Market forces are at work in Lincoln Heights and the surrounding communities. We have an opportunity here to determine what type of housing goes up in Lincoln Heights, and provide better and more affordable housing for the residents that already live here. This is how we fight displacement,” stated Councilmember Gil Cedillo.

"This is an important milestone in the process to utilize city owned properties for the creation of affordable housing. Now that the development team is on board and the ENA signed, we start the community engagement process to move the Lincoln Heights community forward. We invite the community to help the City and the developer create a vision for these five sites," stated Richard H. Llewellyn, Jr., City Administrative Officer.

“A journey of a thousand miles starts with the first step. All of us at GTM Holdings are pleased to finally be able to take that first step with our partner, WORKS, as well as with everyone from Lincoln Heights.
Together, collectively, we hope to provide the community with an array of housing, as well as replacement parking and community benefits that works for Lincoln Heights,” stated Mark Walther, GTM Holdings, LLC.

Councilmember Gil Cedillo currently represents the 1st Council District, which includes all or parts of the neighborhoods of Glassell Park, Cypress Park, Highland Park, Mt. Washington, Solano Canyon, Sycamore Grove, Elysian Park, Echo Park, Westlake, Angelino Heights, Temple Beaudry, Lafayette Park, Chinatown, Forgotten Edge, Lincoln Heights, Montecito Heights, Pico Union, Adams-Normandie, University Park, Rampart Village, Mid Cities and Mac Arthur Park. For more information, please visit www.GilCedillo.com.

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