Anaheim Officially Annexes Much-Disputed Canyon : Development: Mountain Park, an 8,000-home community, is planned by the Irvine Co. The county long hoped to build a new jail and place a landfill there.

During a brief meeting Friday morning, the City Council formally completed its long-awaited and hard-won annexation of Gypsum Canyon, clearing the way for a huge, 8,000-home residential community.

Just three council members were present, Mayor Fred Hunter, William D. Ehrle and Bob D. Simpson. They unanimously approved the annexation during the two-minute session. The vote came two days after a local planning organization gave its blessing to the annexation.

Although county officials could still try to turn the canyon into a landfill, they signaled this week that they are backing away from the idea. A county lawsuit challenging the housing development has quietly been put on a back burner, and the Board of Supervisors is expected to reject the landfill proposal next month.

Just weeks ago, the supervisors officially abandoned a four-year, $7.3-million effort to build a new county maximum-security jail in Gypsum Canyon, a proposal that had been vehemently opposed by city officials and residents.

City Manager James Ruth said Friday’s council vote marked “the end of a long, tough battle” with the county and environmentalists. Also, Ruth said, the city’s development plan “addresses their outstanding concerns” over traffic, open space and transportation.

“We think it’s a great action by the council this morning,” he added. “We’re excited. We think it’s going to be a real plus for the community (and will stimulate) retail and commercial development in the area.”

On Wednesday, the Local Agency Formation Commission approved the annexation and the Mountain Park residential development, which has been proposed by the Irvine Co., owner of the land.

The company has promised to keep 60% of the area as open space, but environmentalists pleaded with LAFCO to reject the proposal, saying the project could endanger mountain lions and Tecate cypresses, among other factors.

Dawn McCormick, a spokeswoman for the Irvine Co., said the company is “pleased with the city’s action,” but she noted that “it’s just one step in a very long process” to develop the canyon.

Among other issues remaining, the company and city have to contend with a lawsuit filed by the Friends of the Tecate Cypress, an group seeking to block the houses or at least to persuade planners to modify the project.

McCormick said that construction will begin within a few years if all goes well and that the development could take 10 or 15 years to complete.