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Council approves Mills Act historic‑preservation agreements for two Capistrano Beach properties

3207693 · May 7, 2025
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Summary

The council authorized Mills Act agreements for 26805 Calle Real, a 1929 Doheny‑era house, and 34862 Coast Highway (El Caminante Bar and Bungalows / formerly Swallows Motel), recognizing both properties as eligible for historic preservation tax incentive participation.

The Dana Point City Council on May 6 voted to allow two Capistrano Beach properties to enter the state Mills Act historic preservation program.

Staff said the first property, at 26805 Calle Real, is a 1929 single‑story Spanish Colonial Revival residence identified in the city’s historic inventory and previously added to the city’s historic register. The staff report described exterior stucco, deep‑set wood windows, exposed wood ceilings and original tile roofs as character‑defining features that support Mills Act eligibility.

The second property, 34862 Coast Highway — known historically as the Swallows Motel and recently rehabilitated as El Caminante Bar and Bungalows — was also found eligible. Staff told the council the property retains design features associated with the motor‑inn era and has documented ties to regional hospitality history; staff noted the recent rehabilitation complied with the Secretary of the Interior’s standards and that the planning commission added the site to the city’s historic register earlier in 2024.

Under the Mills Act, qualifying owners enter a contract with the city and the state program in exchange for property tax relief tied to agreed maintenance and restoration obligations. Staff explained the program typically provides significant property tax savings intended to finance continued maintenance and preservation of historic structures.

Council members praised the owners and the restorations. The council approved the resolutions to enter both properties into the Mills Act program by voice votes. Staff will finalize the Mills Act contracts with the property owners following standard city practice.