Since 2008, Regency Theaters, located in Agoura Hills, has been an entertainment hotspot. However, on Feb. 9, 2025, the screens went dark for the last time. Within weeks, the surrounding strip mall was vacated and bulldozed, taking with it a host of small businesses and long-standing community fixtures. In their place, a luxury apartment complex is set to open in 2027, one of many reshaping the suburban fabric of Agoura.
The redevelopment has sparked interest, as residents ponder the loss of community spaces and express concerns over affordability, congestion and how exactly this will fix a pressing issue at hand: the housing crisis.
Community Development Director for the City of Agoura Hills Denise Thomas explained that state laws have limited their ability to make housing decisions that directly impact the community. The law stipulates that if a developer meets the criteria for low-income housing, the city must approve the project.
“This was one of the ones [development projects] that went to staff,” Thomas said. “They offered 20% affordable at lower income ranges … if it meets the code, we approve it.”
As a result, the project never went before the Planning Commission or City Council.
Many residents questioned how such a major change happened without public hearings or council votes. City officials explained that state law requires cities to fast-track affordable housing projects, limiting community involvement in the process.
“If the developer agrees to provide affordable housing units, they don’t have to go through the traditional review process,” Thomas said. “That’s not our choice. That’s the law.”
Agoura Hills is required to approve 318 housing units by 2029 under the Regional Housing Needs Assessment (RHNA). Failure to meet that quota would allow the state to seize control of local zoning.
“The state changed the process,” Agoura Hills Mayor Penny Sylvester said. “If we don’t meet our assigned housing numbers, the state can take over all planning power.”
While city leaders say they’re following the law, residents have voiced frustration over the loss of local identity, rising traffic congestion and increased wildfire evacuation risks. Thomas acknowledged the concerns but noted that economic realities played a role.
“The city didn’t shut down the theater,” she said. “The property owner chose to replace it because it was a losing business. People weren’t going anymore.”
Despite the inclusion of affordable units, the majority of the 278 apartments will be market-rate, prompting concerns about rising housing costs. Market-rate refers to the current rent for a product in an open, competitive, market.
Thomas explained that affordability thresholds are set by regional standards. In Agoura Hills, a family making $99,900 can still qualify as “low income” under state guidelines. Developers, she said, still need to cover costs and make a profit.
“That’s why they go taller,” Sylvester said. “They need more units to offset the cost of offering affordable ones.”
City officials say the project offers new opportunities for young professionals, retired residents seeking to downsize and families priced out of homeownership. Officials also believe it could revive local retail by increasing foot traffic and demand.
“People say, ‘I wish my kids could live here,’” Agoura Hills City Manager Nathan Hamburger said. “Now maybe they can.”
They also pointed to long-term benefits: helping the local school district maintain enrollment, attracting teachers and improving sustainability by cutting commute times for local workers.
“These are the opportunities where they can come back and live in the area,” Hamburger said.
Though the apartment complex brings hope to some and concern to others, city leaders emphasize that change is no longer optional. Agoura Hills is doing what it can to balance progress with preservation.
“We’ve done what we could, and we’ll keep trying,” Sylvester said.
