La Quinta City Council unanimously approved the purchase of 5.2 acres just northeast of Highway 111 and Dune Palms Road for a price of $3.6 million. The City is facing a state mandate to add 1,530 housing units by 2029 and will pay for the purchase with unassigned reserves and bond funds.

This purchase is the second parcel near Highway 111 that the City has purchased with the intent of affordable housing development. In February 2022, the City purchased 15 acres for $8.6 million. The City envisions the 15 acres as a mixed-use development with retail and affordable housing, although development is not yet underway. The City hopes to find a single development partner to build on both lots in a phased development. City officials say is too early to say how many units will be built.

The City has discussed a revitalization of the Highway 111 corridor into a “retailtainment” destination for the Coachella Valley. The Highway 111 corridor provides an ideal opportunity for mixed-use development and higher-density residential due to close proximity to schools, employers, public transit, and other services, according to the City’s 2013 General Plan