California challenges LA over denied 398-home project citing mountain lion habitat

California's Department of Housing and Community Development (HCD) accused Los Angeles city planners of improperly denying a 398-home project, including 97 very-low-income units, on 20 acres at Woodland Hills Country Club, citing endangered Southern California mountain lion habitat, HousingWire reported.

The denial violated a three-year-old state law requiring by-right approval of affordable housing on commercially zoned land, which was expanded last year to include underused commercial land and transit-oriented development, according to HousingWire.

The HCD letter sets a November 25 deadline for the city to respond and represents the first step in a process that could lead to the country club suing the city and seeking monetary damages, as stated by the club's attorney Dave Rand.

Rand criticized the city for responding to politics and illegally denying housing projects, noting previous successful lawsuits against Los Angeles. He is preparing a letter threatening legal action and a government claim for damages based on a recent appellate court ruling.

Los Angeles Councilmember Bob Blumenfield, representing the district including the country club, argued the developer sought shortcuts around necessary review and said the city's decision did not kill the project, which remains eligible for a normal review process, according to an Orange County Register commentary.

This case highlights ongoing tensions in California's efforts to increase housing supply amid local resistance using environmental and procedural claims, with lawmakers adjusting laws in response to such challenges.