By Jorge Casuso

November 10, 2025 -- Six months before the public was notified, top City officials learned that a transitional housing program for mentally ill homeless was slated to open on Ocean Avenue in Santa Monica.

According to a timeline released by the City Friday, City Council members were then briefed by City staff between April 24 and May 31 on "the County’s proposed project and its privately owned sites" at 413 and 825 Ocean Avenue.

The timeline for the now-cancelled facilities was released Friday after the Council voted on October 28 to make the process for new behavioral health facilities more transparent.

According to the City's timeline, in late March, LA County staff representatives met with the City’s Housing and Human Services Department staff "to share preliminary thoughts regarding a proposed behavioral health project."

The City -- which cannot deny the projects under California law -- took the position "that if the project moves ahead, beds (should) be reserved for Santa Monica residents," according to the timeline.

On April 7, a land use attorney representing the project's developer, Leo Pustilnikov, contacted the City’s Planning Division "to confirm that no discretionary City approvals or entitlements" were required.

The attorney noted the applicant had "been in contact with City and County representatives."

On April 24, City staff was informed that Pustilnikov, "who has site control of both proposed Ocean Avenue properties, has executed agreements with (Venice-based) St. Joseph Center to operate the facilities and is pursuing" funding from the LA County Department of Mental Health (DMH).

Over the next five weeks, City staff provided "summary briefings for all members of the Santa Monica City Council on the County’s proposed project and its privately owned sites."

on June 4, Pustilnikov and his attorney met with the City’s Community Development Department, stating that County DMH approvals had "been secured and that operations will proceed without the need for City action."

Then interim City Manager Elaine Polachek's office was notified about "the particular meeting" with the Community Development Department, then headed by Director Arminé Chaparyan, who resigned one month after City Manager Oliver Chi assumed the top post on July 24.

On Sunday, August 3, Chi sent an internal email update to the Council "noting that St. Joseph Center, with County funding" planned to operate 49 beds at the two Ocean Avenue facilities "for individuals experiencing serious mental illness."

"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," Chi wrote.

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

Seven weeks later, on Sunday, September 21, Chi provided the Council with a second email update about the project, "reiterating that the facilities are set to be privately operated and County-funded."

The email noted that the projects would move forward "with no City approval role, and were expected to open before the end of the month."

After an analysis of the projects by the City Attorney’s Office, "and consistent with City Council direction," a legal review of the situation was shared with the City Council on October 13.

The review concluded that "there is no legal requirement for project-specific community outreach prior to County approval."

It also concluded that the City "cannot deny these projects, as supportive housing is a permitted use by right in the applicable zones under State law."

According to the review, the City "must continue to comply with fair housing obligations, ensuring equal access to supportive housing opportunities across all neighborhoods."

On Monday, October 27, County Commissioner Lindsey Horvath terminated the two transitional housing facilities after community outcry and intensive lobbying from Mayor Lana Negrete ("Ocean Avenue Mental Health Projects Pulled," October 27, 2025).

The following day, the Council unanimously approved steps to make the process for new homeless housing facilities more transparent ("Council Votes to Make Homeless Housing Projects More 'Transparent,'" November 3, 2025).

It also directed staff to publish "a detailed chronology of the City’s awareness and communications related to the proposal" for the Ocean Avenue projects.