EPA Region 9 Brownfields Program Success Stories Kwikset Housing • Anaheim, CA United States Environmental Protection Agency Anaheim Residents Get New Homes in Colony Park Colony Park in Anaheim Project Description Property Address: 516 East Santa Ana Street Anaheim, CA 92805 Property Size: 16.0 acres Former Uses: Metal plating and manufacturing Contaminants Found: Petroleum, volatile organic compounds (VOCs), lead, polychlorinated biphenyls (PCBs), polycyclic aromatic hydrocarbons (PAHs) Current Use: Residential complex; recreational park Current Owner: Anaheim Housing Authority Project Partners • Anaheim Redevelopment Agency (ARA) • City of Anaheim • U.S. EPA • Kwikset • Brookfield Homes Highlights • One of the first successful projects under the ARA's Affordable Housing Strategic Plan • The ARA combined idle properties with contamination issues into a cleaned, residential complex, in a city where space for residential development is limited • Utilized a variety of federal and state resources to provide the funding needed for redevelopment Property History From 1948 through 1998, the 16-acre site at the focus of this redevelopment project contained a manufacturing facility with a metal-plating operation, which produced residential hardware for the Kwikset Corporation. In 2001, with operations ceased and the site idle, Kwikset sold the property to an interim owner, a private corporation. While the ARA hoped to purchase and use the property as a catalyst for a planned, 40-acre residential development project in downtown Anaheim, the interim purchase contract stipulated that if residential development was determined to be infeasible, the ARA would be able to buy the site at a lower price, while the private corporation could use the site for industrial development. Prior to the ARA's acquisition, the ARA initiated environmental assessments that confirmed the presence of petroleum, lead, VOCs and PAHs in the soil. The ARA knew that this property would have to be cleaned up to residential standards before this redevelopment effort could proceed. Drivers for Redevelopment The reuse of idle land for residential development has been a priority for the City of Anaheim in recent years, with an expanding population and very little undeveloped land remaining. While this project was considered an essential part of Anaheim's residential redevelopment goals, the city recognized that it had many complex hurdles to overcome given the property's industrial past and known contamination issues. Though the ARA had received a $1,450,000 ------- Brownfields Cleanup Revolving Loan Fund (RLF) grant from EPA in 2003, estimated cleanup costs were much higher, and the city knew that it would need financial assistance and cooperation from a number of sources, including the site's former owner. Project Results With areas of contamination defined through its environmental assessments, the ARA loaned itself $600,000 from EPA's RLF grant to initiate cleanup of the property. As expected, cleanup costs were significant—approximately $11 million. The ARA contributed an additional $3 million (paid for in part by tax increment financing), while the remainder was funded by the former landowner. Cleanup involved the removal of approximately 86,000 tons of contaminated soil. Remediation took almost six years, during which time a 16-acre, adjacent parcel unexpectedly became available; the ARA partnered with developer Brookfield Homes to purchase this property. Now known as the "Colony Park" project, this redevelopment effort grew far beyond the city's original expectations—with a total of 444 residential units planned across 40 acres. More than 230 homes have already been built, with the remainder either in the construction or design stage. Colony Park also features a new public park, as well as substantial improvements to the area's roads and utility infrastructure. A $200,000 Brownfields Assessment grant awarded to the ARA in 2007 is being used to define any contamination issues on as- yet undeveloped areas. In addition to transforming an idle, blighted region of Anaheim into beautified, residential space, the Colony Park project is a significant boon to the city's tax base; its impact is not only positive, but permanent. Funding Information $200,000 Assessments, from EPA's 2007 Brownfields Assessment grant $480,000 Assessments from the ARA $600,000 Cleanup, as a loan from EPA's 2003 Brownfields Cleanup RLF grant $3,000,000 Cleanup from the Anaheim Redevelopment Agency, paid with tax increment funds $7,400,000 Cleanup from the former landowner $14,300,000 For purchase of the 16-acre site by ARA, using tax increment funds In addition, the ARA continues to contribute funding to this project for both public space improvements and homebuyer assistance Project Timeline 2001 The ARA enters into a 5-year escrow period with Kwikset; assessments of the property begin 2005-2009 The rest of the 40 acres that make up the 40- acre Colony Park were acquired by the ARA and its project partners 2006 The ARA takes ownership of the site 2007 Construction begins on the Colony Park development For additional information, please contact: Clare Fletcher • Community Development Manager • Anaheim Redevelopment Agency • (714) 765-4337 cfletcher@anaheim.net Brownfields Region 9 Success Story May 2012 Anaheim Redevelopment Agency, Anaheim, CA www.epa.gov/brownfields ------- |