700 Affordable Homes Could Transform Santa Monica's Bergamot Station

SANTA MONICA, CA — More than 700 affordable homes could reshape Bergamot Station Arts Center as Santa Monica negotiates with developers over the future of the city-owned property that has been home to galleries and other cultural businesses for more than three decades.

The city has committed to planning for at least 707 affordable residences at the 5.6-acre site at 2525 Michigan Ave., part of a broader effort to develop affordable housing on publicly owned land under Santa Monica's 2021-29 Housing Element.

Exactly what that redevelopment would look like — and what it would mean for Bergamot's existing galleries and other businesses — remains undecided. City Council members met behind closed doors Sept. 8 to discuss the property with prospective developers, including Bridge Housing and Michaels, as the city considers proposals submitted through its affordable-housing development process.

The closed-session discussion concerned the price and terms of a potential agreement, not approval of a development project. After the meeting, the city clarified that Bergamot Station is not being sold and that negotiations concern a long-term ground lease.

The talks have nevertheless intensified uncertainty over the future of the arts center. About 15 galleries remain at Bergamot, down from more than 30 at its peak, and gallery owners told the Los Angeles Times that years of uncertainty and the prospect of redevelopment are already hurting business.

Why 707 Homes?

The potential transformation of Bergamot stems from Santa Monica's state-mandated housing planning. The city's Housing Element commits Santa Monica to planning for at least 1,880 affordable residences on city-owned properties as part of meeting its Regional Housing Needs Assessment allocation. Bergamot accounts for 707 of those homes.

In February 2025, the City Council declared Bergamot and two other city-owned properties surplus land and directed staff to begin soliciting development proposals. The move triggered a process under California's Surplus Land Act, which requires local agencies disposing of surplus public property through a sale or lease to prioritize certain uses, including affordable housing.

The city followed on June 30, 2025, with a formal Notice of Availability to affordable housing developers. Under that notice, developers are asked to provide at least 707 affordable residences for households earning up to 80 percent of area median income.

That number is not absolute. The city said proposals containing fewer than 707 affordable apartments may be considered if a developer explains why the target is not financially feasible and demonstrates reasonable efforts to maximize the number of affordable homes. Santa Monica may also consider proposals containing market-rate, middle-income, moderate-income or other housing while maintaining affordable residences as a priority.

The city's housing objectives for Bergamot also call on developers to explore setting aside part of the project as affordable housing for artists. The subsequent June development notice says developers should explore the potential for up to 15 percent of the residences to serve as artist affordable housing.

What Happens To The Galleries?

The development process does not call simply for Bergamot's arts uses to disappear. Santa Monica's guidelines tell developers to explore ground-floor commercial uses that prioritize arts and cultural activities and consider preserving existing uses in whole or in part. The city also gives preference to proposals that prioritize keeping existing tenants onsite.

Mayor Caroline Torosis and Councilmember Ellis Raskin told the Times that they want the arts to remain part of Bergamot's future, with Raskin saying any future use of the property should include existing tenants along with other arts and performance spaces.

Torosis told the Times that the city wants to find ways for galleries to return after temporary relocation at the same rental rates and described Bergamot as a cultural anchor worth preserving. Gallery owners remain concerned that the disruption caused by a large redevelopment could permanently damage the arts center.

Rose Shoshana, owner of the Rose Gallery, told the Times that temporarily leaving and later returning would be unrealistic for galleries already dealing with uncertainty and high rents. Douglas Marshall, whose Marshall Gallery has operated at Bergamot for 14 years, said questions surrounding the property's future are creating confusion among collectors and hurting business.

The city-owned site contained approximately 62,000 square feet of space across five buildings and housed about 30 small businesses when Santa Monica issued its development notice in June 2025. Those businesses included art galleries, a nonprofit theater company, a comedy club and a restaurant, with commercial leases extending through 2027. Santa Monica has said it prefers to allow existing tenants to continue operating for as long as possible while a developer obtains the necessary approvals and financing.

No Project Has Been Approved

The city's June notice contemplates a 55-year ground lease, with two possible 22-year extensions that could bring the total lease term to 99 years. The development process is also far from complete.

A city presentation outlining the process said proposals would undergo evaluation and negotiations before the City Council selects a development team. After that selection, the city anticipates entering into an exclusive negotiating agreement, followed by further community outreach and eventual consideration of a final development proposal by the council.

The city's development guidelines call for four additional community meetings — two in person and two virtual — to gather input on design and potential community uses, in addition to other public engagement required under city and state law. Any proposal must also account for Bergamot's location beside the Metro E Line and consider the planned extension of the Michigan Avenue Neighborhood Greenway.

The city has not publicly released the proposals currently under negotiation or selected a final development plan, meaning there is not yet an approved design showing how much of the existing arts center would remain, what would be demolished or when construction could begin. If negotiations ultimately succeed, the final development proposal and negotiated deal terms would still return to the City Council for consideration and approval.

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