Santa Monica Removed Land Sale Procurement Procedures

The city council repealed municipal code requirements for property sales to modernize local procurement policies.

Updated on Oct. 9, 2026 in City Hall

Santa Monica Removed Land Sale Procurement Procedures

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On March 10, 2026, the Santa Monica City Council adopted Ordinance 2849, effectively removing Chapter 2.24 from the city municipal code. The change eliminates previous mandates for competitive bidding and specific affirmative vote counts for property sales.

Why it matters

The removal of these legacy requirements aims to modernize procurement procedures for city-owned land assets. This shift occurs as the city negotiates long-term leases and future development plans for key sites like the 5.6-acre Bergamot Station.

Ordinance 2849 removed Chapter 2.24, which formerly required published notice and a five-vote supermajority for final property sales. The city currently holds 192 acres of airport land and downtown sites valued between $100 million and $200 million.

The players

Oliver Chi

He has served as the Santa Monica city manager since July 14, 2025.

Santa Monica City Council

This body governs the city of Santa Monica and manages municipal property, zoning, and administrative policy.

The details

The council also directed staff to explore establishing a city-aligned nonprofit to manage future housing development. These policy shifts follow the designation of several city properties as surplus land in 2025, including Parking Structure 1 and the 4th/5th and Arizona sites.

Timeline

  1. Ordinance 2849 was introduced as a consent item on February 24, 2026.

  2. The council adopted the ordinance on March 10, 2026.

  3. The city held closed-session negotiations for Bergamot Station on September 8, 2026.

  4. The Santa Monica airport is scheduled to close on December 31, 2028.

Political Context

Critics of the ordinance point to the removal of competitive bidding protections as a reduction in transparency for public asset sales. Opponents argue that shifting land management to a potential nonprofit could circumvent traditional oversight mechanisms previously required by the municipal code.

Residents may see changes in how city-owned properties like the 4th/5th and Arizona sites are developed or sold in the coming years. These legislative adjustments directly impact how public resources are managed and potentially alter the timeline for future housing or park projects.

The takeaway

The city is aggressively restructuring its land-use and procurement framework ahead of the 2028 airport closure. Residents should monitor future council agendas for updates on the formation of the proposed housing development nonprofit.

Further reading

For more information on local government decisions, visit City Hall.

Source note: This article includes information reported by Santa Monica Observer.

Live Poll

Should residents have mandatory public hearings before the city can sell or lease public land?