Developer granted prescreening to pursue general‑plan amendment for Simi Valley Town Center; council OKs formal application process

The Simi Valley City Council authorized a developer to move forward with a formal application to change parts of the Simi Valley Town Center’s mall district from commercial zoning to high‑ and very‑high‑density residential, after a prescreening presentation and public hearing.

Principal planner Narayan (Naren) Gunasekera told the council the prescreening request would not itself approve any project but would allow the applicant one year to file a formal general‑plan amendment. The applicant, Steel Wave LLC, presented a concept that would remove roughly 312,000 square feet of existing mall space and add between about 291 and 375 residential units under the applicant’s proposal; staff matrices show a broader regulatory range that could permit significantly more units under state density bonus rules.

Why it matters: The proposal would permanently convert portions of a major regional commercial district to residential uses, reducing retail square footage while aiming to reinvigorate the remaining retail through a mixed‑use plan. Council members and residents focused on potential loss of sales tax base, the relationship between housing and retail viability, and how to preserve local control over unit counts and site design.

What the applicant said: Greg Hall, managing director at Steel Wave, said the proposal aimed to “right‑size” the center and reinvest in retail that fronts the site while placing housing in underperforming parking and anchor areas. “Nothing is happening at this site tonight with any vote,” Hall told the council, saying the prescreening was intended to solicit feedback and shape a formal application.

Staff and council concerns: Staff noted the change would require general‑plan land‑use amendments and could conflict with the Town Center Specific Plan’s objectives unless redevelopment produced a genuine mixed‑use environment and sufficient retail to support new residents. Council members pressed the developer on unit type (for‑sale townhomes versus rental apartments), sequencing (ensuring retail improvements proceed with housing), parking, view corridors and steps to limit state density bonus outcomes they did not intend.

Development agreement and local control: Several council members said a development agreement would be the city’s primary tool to lock in a unit cap, phasing, design standards and commitments to preserve and improve retail frontage. The developer agreed to discuss a development agreement and to return with an economic study and more detailed plans.

Public comment: Merchants, community groups and residents gave mixed feedback; some supported redevelopment to reverse long‑running retail decline, while others urged limiting residential conversions and preserving the town center as a regional commercial hub.

Council action: The council voted to authorize GPPS‑2025‑0001 for formal processing as a general‑plan amendment and directed staff and the applicant to incorporate the council’s feedback into any formal application. The motion passed with Council member Litzler voting no.

Next steps: If the developer files a formal application within one year, the council will receive a full project package that could include a general‑plan amendment, specific entitlements and, if negotiated, a development agreement; the council retains the right to deny any formal application.