Council Approves Added Transparency Measures for Behavioral Health Facilities in Santa Monica

November 7, 2025 1:59 PM

Santa Monica releases project timelines and details following the County's cancelation of their proposed Ocean Avenue behavioral health housing project

SANTA MONICA, Calif. (Nov. 7, 2025) - The Santa Monica City Council has directed the public release of additional information and timelines related to the now-cancelled behavioral health housing facilities that had been proposed on Ocean Avenue.

The proposed facilities on Ocean Avenue were initiated, funded, and led by the Los Angeles County Department of Mental Health (DMH) and private property owner Leo Pustilnikov. The City of Santa Monica had no approval authority or funding role in the initiative, which was ultimately discontinued by order of County Supervisor Lindsey Horvath in late October 2025.

While the project was a County undertaking, the Santa Monica City Council voted on October 28 to ensure full transparency by publishing a detailed chronology of the City's awareness and communications related to the proposal. The Council also directed that the City develop an open and transparent community engagement process for any future County-driven or privately funded supportive or behavioral health housing projects that may arise within City limits.

Project Background and Timeline

Late March 2025

• LA County staff representatives meet with the City's Housing and Human Services Department staff to share preliminary thoughts regarding a proposed behavioral health project, during which time the City advocates that if the project moves ahead, beds be reserved for Santa Monica residents.

April 7, 2025

• A land use attorney representing the project applicant contacts the City's Planning Division to confirm that no discretionary City approvals or entitlements are required. The attorney notes the applicant has been in contact with City and County representatives.

April 24, 2025

• City staff are informed that developer Leo Pustilnikov - who has site control of both proposed Ocean Avenue properties - has executed agreements with St. Joseph Center to operate the facilities and is pursuing DMH funding.

April 24-May 31, 2025

• City staff provides summary briefings for all members of the Santa Monica City Council on the County's proposed project and its privately owned sites.

June 4, 2025

• Pustilnikov and his attorney meet with the City's Community Development Department, stating that County DMH approvals have been secured and that operations will proceed without the need for City action. The City Manager's Office is notified about this particular meeting.

August 3, 2025

• Staff sends an internal email update to the City Council noting that St. Joseph Center, with County funding, plans to operate 49 beds at 413 and 825 Ocean Avenue for individuals experiencing serious mental illness. That update email read as follows:
• • CITY COUNCIL ONLY - ST. JOSEPH'S CENTER SET TO OPEN NEW PERMANENT SUPPORTIVE HOUSING FACILITIES AT 413 & 825 OCEAN, PROJECT UTILIZES COUNTY FUNDS TO ESTABLISH 49 BEDS FOR SMI PATIENTS

    This past week, staff identified that St. Joseph's Center is set to open new facilities at 413 Ocean and 825 Ocean, that together will result in the establishment of 49 beds for those who have serious mental illness (SMI).

    The permanent supportive housing project was developed with funding from LA County, and our team in the Housing & Human Services Department, upon learning about this private project, was able to secure access to a portion of the beds for Santa Monica residents to use. Of note, the project includes the deployment of staff on-site 24/7, and based on the information we heard this past week, will open in September.

    If you have any questions about this matter, please don't hesitate to let me know.

September 21, 2025

• Staff provides the Council with a second email update about the project, reiterating that the facilities are set to be privately operated and County-funded, with no City approval role, and were expected to open before the end of the month. That update email (which incorrectly noted that the project was set to include 47 beds, as the project ultimately involved 49 beds) read as follows:
• • CITY COUNCIL ONLY - SAINT JOSEPHS SET TO OPEN 47 UNITS OF SUPPORTIVE HOUSING FOR SEVERELY MENTALLY ILL AT 413 OCEAN + 825 OCEAN

    Just a quick note to let the City Council know… before the end of September 2025, Saint Joseph's Center is set to being operating two facilities located on Ocean (at 413 Ocean and 425 Ocean), which will create 47 beds for those who have serious mental illness (SMI).

    These permanent supportive housing units were developed with funding from LA County, and while this is a private project that doesn't require nor allow any City oversight, we were able secure access to a portion of the beds for Santa Monica residents to use. Of note, the project includes the deployment of staff on-site 24/7, and based on the information we heard this past week, will be opening within the next week or so.

    Of course, please don't hesitate to let me know if you have any questions about this matter! 

Further, based on an analysis of the proposed Ocean Avenue projects conducted by the City Attorney's Office, and consistent with City Council direction, a legal review of the situation identified the following considerations that were shared with the City Council on October 13, 2025:

• There is no legal requirement for project-specific community outreach prior to County approval.
• The City cannot deny these projects, as supportive housing is a permitted use by right in the applicable zones under State law.
• The City must continue to comply with fair housing obligations, ensuring equal access to supportive housing opportunities across all neighborhoods.

For more or more information on the City Council's transparency action, or to watch the full discussion visit this link.

Media Contact

Tati Simonian Public Information Officer [email protected]

Categories

Housing, Programs, Transparency, Your City Hall

Departments

City Council