Mesa Ruling Reversed

A San Diego Superior Court judge reversed her earlier ruling Friday by reinstating much of the Bolsa Chica mesa developer’s lawsuit against the California Coastal Commission.

“We’re pleased with the judge’s ruling,” said Lucy Dunn, executive vice president of developer Hearthside Homes.

Hearthside and landowner Signal Landmark, a sister company, sued the commission over a November decision that restricted development to 1,235 homes on the upper portion of a 230-acre two-tier mesa. The commission had ruled out development on a 140-acre lower area to preserve habitat for hawks, falcons and other raptors.

Judge Sheridan Reed issued a tentative ruling Aug. 24 that tossed out many of Hearthside’s and Signal’s claims, saying they had been decided in previous litigation. But Friday, after receiving written arguments from the developer and Orange County, Reed decided to allow a court to determine whether the commission improperly ruled out development on the lower mesa.

Other allegations, including whether the commission is a constitutional state agency and whether the panel was overreaching in some of the project conditions, were also allowed to stand.

The one remaining question is whether the developer and landowner will be allowed to sue for a “taking” of their property. The two companies have said the commission illegally took the land by so severely restricting its use that development is no longer economically feasible.

This is the latest twist in the three-decade-old tale of the Bolsa Chica, where a marina, hotel and 5,700 homes were envisioned. Plans have repeatedly been scaled back because of legal challenges by environmentalists. The state has purchased 1,200 acres of nearby wetlands, which will be restored at a cost of $100 million.

While allowing the courts to determine the fate of the lower portion of the mesa, Hearthside has submitted plans to the county to build 387 homes, an underground reservoir and 29 acres of open space in the 105-acre upper tier of the mesa.

The Bolsa Chica Land Trust is still working to raise private and government funds to buy the land.