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City negotiates Landing brownfield for affordable housing; Rite Aid site and Danco project draw developer interest

Mount Shasta Planning Commission · October 22, 2025
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Summary

Planning staff said the city is negotiating with a developer during a 90-day Surplus Lands Act window to include affordable housing at the Landing brownfield; staff also reported interest in redeveloping the vacant Rite Aid parcel and described construction delays at the Danco project after crews encountered groundwater.

City planning staff told the Mount Shasta Planning Commission on Tuesday that work is underway to find a developer to repurpose a city-owned brownfield known as the Landing and that leftover EPA cleanup funds are available to support planning.

"So we're within that 90 day window right now in negotiations with that land developer to see if we could pencil something that includes capital A affordable housing," planning staff said, summarizing the Surplus Lands Act process the city must follow before opening the site to broader offers.

Staff said the Landing is a substantial site — commissioners referenced roughly 44 acres — and that the city plans to use remaining EPA grant money to fund a master plan and a public-engagement process to shape future uses. Under the Surplus Lands Act, the city first negotiates with respondents who propose affordable housing; if no acceptable deal is reached the property can be offered publicly.

Separately, staff said the former Rite Aid building on Lake is vacant and zoned C2 commercial, generating phone inquiries from potential developers interested in commercial reuse or conversion to multifamily housing. "Housing could go into commercial land, yes," staff said when asked whether housing would be allowed at that location.

On the Danco construction project, staff reported that building permits are approved and work has started but crews have encountered unexpected groundwater, producing intermittent pauses. Commissioners and commenters discussed engineering responses such as sealed deep piles and rock/fabric layering as potential mitigation methods.

Staff also asked residents to report construction Best Management Practice (BMP) infractions such as soil being tracked into streets; enforcement follow-up will be pursued when the city receives calls.

Planning staff said the Landing master-planning process will include community engagement to author a framework for highest-and-best uses; staff expects to report progress in future meetings.