By Jorge Casuso
February 6, 2026 -- The City Council will meet in closed session Tuesday to discuss leasing space from an adult residential facility for the mentally ill in the Pico Neighborhood.
The item concerns negotiations between City Manager Oliver Chi and the executive director of The Manor, a transitional housing facility at 1905 and 2019 Pico Boulevard.
Licensed by the State of California, The Manor has provided "room, board, care and supervision since the 1960’s for persons with mental illness, and for those with developmental disabilities," according to the non-profit's website.
The three-story property at 1905 Pico Boulevard has 155 beds, according to CareListings.com, while the property at 1921 Pico Boulevard has 16 units, according to the Rent Control Board.
Both buildings are occupied, although no rent is listed for the second property on the Rent Board's website, which indicates it may have received an exemption from the Rent Board.
The Manor, according to its website, "offers supportive community based living for transitional periods of a few months, to a year or two, to a lifetime, whatever their needs might be.”
Located across the street from Santa Monica College's main campus, The Manor is "conveniently situated with easy access to Third Street Promenade, restaurants, parks, beaches, theatres, hospitals, clinics, and other community support services."
“Residents have the freedom to come and go and many places in the neighborhood to go to,” the website states.
As is the case with closed session items, the agenda provides no information on the purpose of the lease, except to say it is " under negotiation" for "price and terms of payment."
The item was placed on Tuesday's agenda three and a half months after LA County Commissioner Lindsey Horvath terminated two transitional housing facilities for the mentally ill homeless on Ocean Avenue ("Ocean Avenue Mental Health Projects Pulled," October 27, 2025).
The County-funded projects that would have been operated by Venice-based St. Joseph Center were pulled after community outcry and intensive lobbying from then Mayor Lana Negrete.
Run out of two properties at 413 and 825 Ocean Avenue owned by developer Leo Pustilnikov, the housing program called for a total of 49 beds and services for homeless individuals with serious mental illness.
In January, the Council took the unusual step of disclosing the privileged discussion of a potential real estate deal involving Pustilnikov and Community Corporation of Santa Monica (CCSM), the city's largest affordable housing provider.
The Council revealed CCSM had been considering selling the property at 419 Ocean Avenue deeded to them by the City ("Council Reveals Closed Session Negotiations," January 15, 2026).
The day before the meeting, CCSM's board voted not to engage in any discussions or negotiations with Pustilnikov, who the Council's report said was considering other interim/transitional housing uses at his neighboring property at 413 Ocean Avenue.