Laguna Beach Approves Plan for a Bluff-Top Resort

A plan to transform an empty trailer park in the south end of the city into a $100-million luxury resort won preliminary approval from the City Council after eight years of wrangling.

The redevelopment of Treasure Island mobile home park is the biggest land-use project considered in Laguna Beach in 15 years. The cornerstone of the proposed resort--a hotel and villas with 200 to 275 rooms--could generate nearly $2 million for the city’s $20-million general fund.

“It’s got great benefits for the community, and once it’s done, people are going to love it,” City Manager Kenneth C. Frank said Wednesday.

The plan received council support after a five-hour meeting Tuesday night.

To satisfy the California Coastal Commission, which also must approve the project, the resort would include a number of public amenities, including a bluff-top park, a restaurant, a bar, a spa, a conference center and banquet facilities. For the first time, the strip of coastline at the edge of the trailer park would be easily accessible to beach-goers.

In addition, up to 37 single-family homes, some sitting on million-dollar lots with stunning ocean views, are also planned for the site.

While city officials have embraced the resort proposal, residents have been less enthusiastic. Some want the 30-acre site to become parkland. Others support a hotel project, but say 37 homes would crowd the site.

“Can you honestly say in your private moments that this is the best you can do?” Ron Harris, the president of the South Laguna Civic Assn., a neighborhood group, told the council. “Don’t do this. Don’t do this to yourselves. Don’t do this to the community.”

But officials said the number of homes might be reduced before the project receives final approval. In fact, a majority of council members--Mayor Steve Dicterow, Wayne J. Baglin and Paul Freeman--said they favor a project without any homes.