Los Angeles City Councilman David Ryu said Tuesday the city will no longer pursue affordable housing for people who are homeless at a Sherman Oaks parking lot on Dickens Street, but said there is another location under consideration.

The decision came after top city staffers recommended against continuing to study the site at 15314 Dickens St. The lot is owned by a state agency, Caltrans, and leased to the Los Angeles Department of Transportation for operation as a city parking lot.

The Dickens Street site was part of a motion Ryu introduced in August to look into providing housing options for people experiencing homelessness at two locations in Sherman Oaks.

The proposal of the site for homeless housing has drawn intense opposition from some Sherman Oaks residents who have expressed anger about the location being near schools and a busy intersection.

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Staffers pointed to the challenges of building at the site, after visiting it and looking into its ownership.

“This office does not recommend that the city proceed with further evaluation of the site for use as permanent supportive housing because the city does not own the property, and housing is not an allowed use under the lease,” City Administrative Officer Richard H. Llewellyn, Jr. wrote in a Nov. 13 memo to Ryu.

The nearly 20,000-square-foot space is made up of “two irregularly shaped lots” that are “reduced” to a total of 14,409 square feet once the areas improved for highways, sidewalks and streets have been removed, city staffers said.

The lot has an average weekday parking occupancy of 50 percent that becomes 91 percent during lunch and 80 percent in the evening, and it generated an annual gross revenue of $82,302 last fiscal year, according to their memo.

The city had been considering whether to do a further study of the site that would have required spending more money and manpower.

Ryu released the memo along with a letter that also gave updates on the other sites that are being considered.

Ryu said that his office is talking with a nonprofit about the possibility of building affordable housing for seniors at another privately owned site in Sherman Oaks. He did not identify the nonprofit, nor provide the address of the site.

“More information will be forthcoming in the near future, and we will be having discussions with the community,” he said.

Ryu was scheduled to speak at Sherman Oaks Homeowners Associations meeting on Wednesday evening.

In his letter, Ryu also gave updates on other efforts to create more housing in his district, including the federally owned Army Reserve facility at 5161 Sepulveda Blvd that is being considered for a temporary shelter.

The city has not been allowed onto the premises for a site visit, despite efforts from Mayor Eric Garcetti and Sen. Dianne Feinstein, according to Ryu.

Meanwhile, a parking lot site at Oxnard and Sepulveda boulevards that was recently proposed by the Sherman Oaks Neighborhood Council’s Vision Committee may also face similar challenges, because it is owned by another federal agency, the Army Corps of Engineers.

“This is a complicated crisis that needs multi-faceted solutions, and I want to thank everyone who has stepped up to become involved in this dialogue,” he said.

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