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Habitat for Humanity under contract for Coles Valley parcel as council discusses land‑use agreement
Summary
Council discussed a draft land‑use agreement for the 40‑acre Coles Valley parcel that would allow up to 65 single‑family lots plus cottage tracts; the property owner and Habitat for Humanity representatives said increased density is necessary to make permanently affordable housing financially viable and that funding and phasing would take several years.
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City officials and the property owner discussed a proposed land‑use agreement for roughly 40 acres known as Coles Valley, south of the Langley water treatment plant, and heard from Habitat for Humanity representatives who are under contract to purchase the parcel contingent on approval of the agreement.
The owner (Southwoodby LLC, associated with Bob Leiboldt) described a long history of attempts to find an economically viable development path and said the revised agreement would increase buildable density from previously constrained levels. “I purchased the property along with other partners back in 2005 after it was annexed,” the owner said, noting prior annexation conditions limited development density and made typical projects infeasible.
Representatives from Habitat for Humanity of Island County said that approving an agreement to allow 65 single‑family lots plus two cottage tracts (10 units each) creates the scale needed to deliver permanently affordable homeownership opportunities for teachers, first responders and other local workers. “This opportunity will allow us to build homes that working families in this community can actually afford,” said the Habitat representative.
Council did not take formal action on the land‑use agreement at the meeting; staff said they expect to return to council for a formal decision at the next regular meeting on June 1. Council members and planning staff stressed phasing, funding contingencies and the need for further review of traffic, environmental and utility impacts as part of the long‑plat review.

