Panel to Decide Fate of Treasure Island Plan

The latest chapter in the history of Treasure Island will be written Thursday, when the California Coastal Commission reviews a development plan for the scenic coastal strip south of Laguna Beach.

Treasure Island most recently housed a mobile home park, which closed a year ago. The area and its breathtaking coastal views once served as the backdrop for movies; it earned its name from a 1937 production of the Robert Louis Stevenson classic filmed there.

For nearly eight years, residents, developers, environmentalists, city officials and others have wrangled over the fate of the choice strip off South Coast Highway.

“It’s a very unique and special site,” Mayor Steve Dicterow said. “We all want to make sure it’s as good a site as possible.”

In June, the City Council approved a tentative plan that would allow a 200- to 275-room hotel, 37 homes, 25 villas and a bluff-top park on the 30-acre site.

Officials expect the hotel to bring the city about $1.5 million annually in tax revenue. Dicterow said Treasure Island is important because it’s one of the last areas in the city that can fit a project to generate that kind of income.

The latest plan came after city negotiations with the landowner, Merrill Lynch Hubbard Inc., to reduce the number of homes from 268.

Opponents say the plan still calls for too much density and doesn’t leave enough green space. They also contend that it allows buildings as high as 30 feet above South Coast Highway, which would block ocean views.

“We would love to see a beautiful project here,” said Johanna Felder, a board member of Village Laguna, a group opposed to the development. “We’re very hopeful the Coastal Commission will listen to us.”

The Coastal Commission, at the behest of residents and the city, quashed a previous plan by Merrill that called for a gated community on the site because there was no public access to the beach.

If the commission approves the tentative plan, it will return to the City Council for approval of final details.

The commission hearing is scheduled for 9 a.m. Thursday at the Waterfront Hilton Beach Resort, 21100 Pacific Coast Highway, Huntington Beach.

Information: (562) 590-5071.