SUBJECT
ADOPTION OF RESOLUTION OF INTENTION TO SELL SURPLUS REAL PROPERTY - 4.4 ACRES LOCATED ON OLD HIGHWAY 80, IN BOULEVARD (REAL PROPERTY #2017-0128-A) APN 612-091-17, AND 0.67 ACRES LOCATED ON AVOCADO BOULEVARD, IN VALLE DE ORO (REAL PROPERTY #2021-0200-B) APN 502-150-44; AUTHORIZATION TO CONDUCT PUBLIC AUCTION AT COUNTY OPERATIONS CENTER; AND CEQA EXEMPTION (DISTRICTS: 2 & 4)
Body
OVERVIEW
On September 26, 2017 (06), the San Diego County Board of Supervisors (Board) declared Real Property Number 2017-0128-A (Boulevard Property) surplus to County of San Diego (County) needs. The Boulevard Property, also identified as Assessor’s Parcel Number (APN) 612-091-17, consists of approximately 4.4 acres of vacant land at Old Highway 80 in the unincorporated community of Boulevard, California. The property was formerly operated by the County Department of Public Works (DPW) as the Boulevard Bin Transfer Station and is zoned S-92 (General Rural). On December 20, 2024, the County issued a 60-day Notice of Availability to other public agencies, and affordable housing developers as required by State of California Surplus Land Act, Government Code Section 54220 et seq. (SLA). No responses were received during the noticing period. If the Board takes the recommended actions today, then the County will market the Boulevard Property for sale, and any proceeds will be deposited into Department of Public Works Closed Landfill Special Revenue Fund 63950.
On February 28, 2024 (2), the Board vacated the right-of-way and declared Real Property Number 2021-0200-B surplus to County needs. The vacated parcel has been assigned as Real Property Number 2021-0200-B (Avocado Property) and is also identified as APN 502-150-44 consisting of approximately 0.67 acres of vacant land near Avocado Boulevard and State Route 94 in the unincorporated community of Valle de Oro, California. The Avocado Property is zoned S-94, Transportation and Utility Corridor, and was previously leased to California Department of Transportation (Caltrans) for the Avocado Boulevard Park-and-Ride. On August 29, 2024, the County issued a 60-day Notice of Availability to all local public agencies and affordable housing sponsors as required by SLA. Three responses were received during the noticing period. However, 90-day good-faith negotiations were terminated after receiving no response following County’s request for additional information. If the Board takes the recommended actions today, the County will market the Avocado Property for sale, and any proceeds will be deposited into the Department of Public Works Road Fund 11100.
As required by Section 54233 of the California Government Code, at the time of sale, the County will record a restrictive covenant (“Restrictive Covenant”) against the Boulevard Property and Avocado Property. The Restrictive Covenant will state that if 10 or more residential units are developed on the property then at least 15 percent of the total units shall be rented or sold at affordable housing cost or affordable rent to lower income households as such terms are defined in Section 54233.
Today’s request is for Board approval to take the actions necessary to sell the Boulevard Property and the Avocado Property via a public auction including: 1) approving the California Environmental Quality Act exemption; 2) adopting a Resolution declaring its intention to sell the Boulevard Property (Attachments E and I); 3) adopting a Resolution declaring its intention to sell the Avocado Property (Attachments F and J); 4) directing the Clerk of the Board to post and advertise the adopted Resolutions; and 5) in accordance with Section 25539 of the California Government Code, authorizing Department of General Services Director, or designee, to conduct the bid openings and select the highest bidders at the County Operations Center Chambers. If the Board takes the actions recommended on August 26, 2025, then on September 17, 2025, the Director of General Services, or designee, will conduct the bid openings for the sale of the Boulevard Property and the Avocado Property, open bids from bidders, open the floor for oral bids, select the highest responsible bidder for each property, and return to the Board on November 18, 2025 for final acceptance of each property’s selected bidder and approval of the sale with the selected bidder of each property.
The minimum bid for the Boulevard Property is one hundred thousand dollars ($100,000) representing an as-is value based on an appraisal dated March 1, 2024, and reviewed on April 5, 2025. County internal appraiser concluded that there was no need to update the appraisal because in her opinion, the value of the Boulevard Property likely did not change since the initial appraisal in 2024. The minimum bid for the Avocado Property is nine hundred five thousand dollars ($905,000) representing an as-is value based on an appraisal dated April 24, 2025, and reviewed on April 28, 2025.
RECOMMENDATION(S)
CHIEF ADMINISTRATIVE OFFICER
1. Find, in accordance with Section 15312 of the CEQA Guidelines, that the sale of Real Property Number 2017-0128-A (APN 612-091-17) and Real Property Number 2021-0200-B (APN 502-150-44) is categorically exempt from CEQA as the action involves the sale of surplus government property that is not located in an area of statewide, regional, or areawide concern identified in Section 15206(b)(4) of the State CEQA Guidelines.
2. Approve and adopt the Resolution entitled: RESOLUTION OF INTENTION TO SELL REAL PROPERTY AND NOTICE INVITING BIDS FOR REAL PROPERTY NUMBER 2017-0128-A. (4 VOTES)
3. Approve and adopt the Resolution entitled: RESOLUTION OF INTENTION TO SELL REAL PROPERTY AND NOTICE INVITING BIDS FOR REAL PROPERTY NUMBER 2021-0200-B. (4 VOTES)
4. Direct the Clerk of the Board of Supervisors to post the adopted Resolutions and advertise the County’s Notice of the Adoption of the Resolution of Intention to Sell Real Property Number 2017-0128-A and the County’s Notice of the Adoption of the Resolution of Intention to Sell Real Property Number 2021-0200-B in accordance with the Government Code Sections 25528 and 6063.
5. Authorize the Director, Department of General Services, or designee, to conduct the bid openings and select the highest bidders for Real Property Number 2017-0128-A and Real Property Number 2021-0200-B on September 17, 2025, at the County Operations Center Chambers, and return to the Board for the final approval of the highest bidders.
EQUITY IMPACT STATEMENT
It is anticipated that the revenue resulting from the sales of the Boulevard Property and the Avocado Property can be used for any development, improvement, operation, and/or maintenance of Department of Public Works Roads and Closed Landfill projects in the County, which will benefit the community. The County’s sale of the properties will be competitively and publicly advertised and bid, and a sale could help advance opportunities for economic growth to all individuals and the community when the property is sold.
SUSTAINABILITY IMPACT STATEMENT
Implementing effective sustainability objectives is crucial to advance and ensure safe and healthy communities and contributing to the overall success of the region. The approval of the sales supports the County’s Strategic Initiative of Sustainability to align its available resources with services to maintain fiscal stability and ensure long-term solvency.
FISCAL IMPACT
Funds for this request to sell real property are included in the Fiscal Year 2025-26 Operational Plan in the Department of Public Works. If approved, this request will result in DGS staff costs of approximately $60,000 in Fiscal Year 2025-26. The funding sources are State Highway User Tax Account ($30,000) and Environmental Trust Fund ($30,000).
If the sale of each property is completed, this request will result in a minimum revenue of $1,005,000, anticipated in the Fiscal Year 2025-26. The net proceeds of $100,000 from the sale of Boulevard Property will be deposited to the Department of Public Works Closed Landfill Special Revenue Fund 63950, and the net proceeds of $905,000 from the sale of the Avocado Property will be deposited to the Department of Public Works Road Fund 11100. There will be no change in net General Fund cost and no additional staff years.
BUSINESS IMPACT STATEMENT
If the requested actions are approved, it is expected that any successful purchaser will develop the properties in a manner that is consistent with the Restrictive Covenant for each property and the allowable uses per zoning restrictions. The development would employ full-time construction workers and create demand for additional services and materials during construction and could create permanent jobs based on the decisions and activities of the developer.
Details
ADVISORY BOARD STATEMENT
N/A
BACKGROUND
County-Owned Property in Boulevard
Real Property Number 2017-0128-A, also identified as Assessor’s Parcel Number (APN) 612-091-17-00, (Boulevard Property) encompasses a 160-square-foot fee booth, a storage shed, a 3,000-gallon capacity fire suppression storage tank, and a 900-gallon capacity water supply storage tank on approximately 4.4 acres of land located at Old Highway 80 in the unincorporated community of Boulevard. The location of Boulevard Property is shown in Attachment A. This parcel is the site of the former County of San Diego (County) Department of Public Works (DPW) Boulevard Bin Transfer Station. The facility was leased to Allied Waste through April 2009 after the County ceased all daily transfer station operations in 1997. The facility has remained unused since 2009. For these reasons, the property became excess and considered no longer necessary for County purposes. The current zoning is S-92 (General Rural).
On May 30, 2017, County departments and elected officials were notified of the property’s availability, but no interest was expressed. Subsequently, on September 26, 2017 (06), the San Diego County Board of Supervisors (Board) declared the Boulevard Property surplus to County needs. On October 12, 2017, the County issued a Notice of Availability to California Housing and Community Development, State Parks and Recreation, Mountain Empire Unified School District, and owners of the adjacent parcel and no responses were received.
On December 20, 2024, the County issued a Notice of Availability to all local and State public agencies and affordable housing sponsors as required by State of California Surplus Land Act Government Code Section 54220 et seq. (SLA). No responses from public agencies or affordable housing developers were received during the 60-day noticing period. On May 22, 2025, the California Department of Housing and Community Development issued written findings declaring all requirements under the SLA have been met per Government Code section 54230.5. The County plans to market the property for sale to generate revenue. The Boulevard Property is managed by the DPW Closed Landfill Program and the revenue will be deposited in the DPW Closed Landfill Special Revenue Fund 63950.
The minimum bid for the Boulevard Property is one hundred thousand dollars ($100,000) representing an as-is value based on an appraisal dated March 1, 2024, and reviewed on April 5, 2025. The County internal appraiser concluded that there was no need to update the appraisal because in her opinion, the value of the Boulevard Property likely did not change since the initial appraisal in 2024.
County-Owned Property in Valle de Oro
On February 28, 2024 (2), the Board approved a vacation and declared a portion of the public right-of-way at Avocado Boulevard and State Route 94 in the unincorporated community of Valle de Oro (Avocado Property) surplus to County needs. The right-of-way was originally acquired by the County through a fee relinquishment in the document entitled Relinquishment of Highway Right of Way in the County of San Diego, Road 11-SD-94-10.8-13.6, Request No. 19022, recorded in the Office of the County Recorder of San Diego County, on August 28, 1970, as File/Page No. 156376, of Official Records. The right-of-way was leased back to the State of California Department of Transportation (Caltrans) for construction and use as a Park-and-Ride facility until August 12, 2021. On July 19, 2023, the County issued a Notice of Availability to County departments and elected officials and no interest was received.
Avocado Property, which is managed by DPW Transportation Division as part of the Road Fund, consists of approximately 0.67 acres of vacant land, improved with a parking lot, and is further identified as APN 502-150-44-00 and Real Property Number 2021-0200-B. The location of Avocado Property is shown on the attached Map (Attachment B) and zoned S-94, Transportation and Utility Corridor.
On August 29, 2024, the County issued a Notice of Availability to all local public agencies and affordable housing sponsors as required by SLA. Three responses were received during the noticing period. However, 90-day good-faith negotiations were terminated after receiving no response following County’s request for additional information. On June 11, 2025, County staff submitted the request to the California Department of Housing and Community Development to issue written findings declaring all requirements under the SLA have been met per Government Code section 54230.5. The County plans to market the Avocado Property for sale to generate revenue for the Road Fund. The Road Fund is a special revenue fund for road and transportation purposes used by DPW to improve and maintain public roads and infrastructure on the County-maintained road system.
The minimum bid for the Avocado Property is nine hundred five thousand dollars ($905,000) representing an as-is value based on an appraisal dated April 24, 2025, and reviewed on April 28, 2025.
Bid Openings for Both Properties
If the Board takes the actions recommended on August 26, 2025, then on September 17, 2025, the Director, Department of General Services, or designee (Director), will conduct the bid openings for the sale of the Boulevard Property and the Avocado Property in accordance with Government Code Sections 25539 and County Administrative Code Section 73.2(a). The Director will open written bids (Attachments G and H) submitted by prospective buyers, if any, and the highest bid will be announced. At that time, prospective buyers will have the opportunity to orally bid at least one hundred five percent of the highest written bid submitted or if there were no written bids submitted, the oral bidder for each property will continue until the highest bid is identified. Each bidder shall submit a bid deposit for the respective property, and may submit a written bid, an oral bid, or both. The bid deposit of the successful bidder will become part of the deposit required at the opening of escrow and will be applied to the purchase price. Bid deposits will be returned to each unsuccessful bidder.
The Director will return to the Board on November 18, 2025, for final acceptance of each property’s highest bidder and approval of the sale with the highest bidder of each property. If the Board accepts the highest bidder and approves the sale, each successful bidder shall execute a Purchase and Sale Agreement within five business days after the approval of the sale by the Board. At the opening of escrow, the selected bidder shall deposit into the escrow the greater of $3,000 or 3.0% of the selected highest bid minus the $3,000 bid deposit that was retained by County for the Boulevard Property and the greater of $27,150 or 3% of the selected highest bid minus the $10,000 bid deposit that was retained by the County for the Avocado Property. Each deposit will be applied to the purchase price of the respective property at the close of escrow or paid to the County as liquidated damages if escrow does not close and the sale is cancelled due to a buyer default.
The close of escrow will occur no later than one hundred eighty days after the opening of escrow; however, the close of escrow may be extended at the discretion of the Director of DGS (Director). Additionally, the buyer will have three options of 30 days each to extend the close of escrow, at a cost of one percent of the purchase price or as determined by the Director in the Director’s discretion.
As required by Section 54233 of the California Government Code, at the time of sale, the County will record a restrictive covenant (Restrictive Covenant) against the Boulevard Property and Avocado Property. The Restrictive Covenant will state that if ten (10) or more residential units are developed on the property then at least fifteen percent (15.0%) of the total units shall be rented or sold at affordable housing cost or affordable rent to lower income households as such terms are defined in Section 54233.
ENVIRONMENTAL IMPACT
Today’s proposed action to sell surplus Real Property Number 2017-0128-A (APN 612-091-17) and Real Property Number 2021-0200-B (APN 502-150-44) is categorically exempt from environmental review pursuant to Section 15312 of the California Environmental Quality Act (CEQA) Guidelines as the actions involve the sale of surplus government properties that are not located in an area of statewide, regional, or areawide concern identified in Section 15206(b)(4) of the State CEQA Guidelines. Additionally, no exceptions listed in CEQA Guidelines Section 15300.2 apply to the proposed actions. See Attachments C and D for Notices of Exemption. There are no development plans currently in place for the two sites, and any potential impacts would be too speculative to analyze at this point. Any future changes to the properties that may result in direct or indirect physical changes in the environment will be contingent upon CEQA compliance, once proposed.
LINKAGE TO THE COUNTY OF SAN DIEGO STRATEGIC PLAN
The proposed actions support the Sustainability Strategic Initiative in the County of San Diego’s (County’s) 2025-2030 Strategic Plan by aligning services to available resources to maintain fiscal stability by promoting development and economic vitality while helping the County generate revenue, including increased tax revenue, through the sales of the County’s Former Boulevard Bin Transfer Station and the Former Avocado Park-and-Ride, that are not needed for County purposes.
Respectfully submitted,
ebony n. shelton
Chief Administrative Officer
ATTACHMENTS
Attachment A - Boulevard Location Map
Attachment B - Avocado Location Map
Attachment C - Boulevard Notice of Exemption
Attachment D - Avocado Notice of Exemption
Attachment E - Boulevard Resolution
Attachment F - Avocado Resolution
Attachment G - Boulevard Bid Package
Attachment H - Avocado Bid Package
Attachment I - Boulevard Notice of Adoption of Resolution
Attachment J - Avocado Notice of Adoption of Resolution