Title
Update and Discussion on North Mesa Housing - Transportation and Utilities Study
Body
The 30-acre North Mesa tract, situated between Los Alamos Middle School and the North Mesa Sports Complex, was originally acquired by Los Alamos Public Schools (LAPS) in 1967 via a federal land transfer from the Department of Energy. While long reserved for future school facilities, the site’s purpose shifted in 2019 to address the community’s dire need for affordable workforce housing.
Between 2019 and 2022, Dekker, a land use planning consultant, developed the North Mesa Housing Study which was a conceptual land use plan that included extensive public dialogue. In November of 2020, LAPS and Los Alamos County (LAC) formalized their partnership through a Memorandum of Understanding (MOU) to further explore development concepts for the site. The Housing Study determined that the site could potentially support a mix of housing types ranging between 210 and 360 low-, medium-, and higher-density housing units.
A feasibility analysis by EPS (2022-2023) found that the North Mesa site should target housing options and price points meeting the needs of LAPS teachers and others in the community workforce. This led to both the LAPS Board and County Council approving a Memorandum of Agreement (MOA) in December 2023, officially defining the roles, responsibilities, and timelines for development.
In addition, the County completed its Affordable Housing Plan which further supported the development of additional housing units throughout the community. The plan specifically recommends the need to develop between 1,300-2,500 new units of housing targeted to the “missing middle” with compact, efficient, and higher-density housing options. These additional units would constructed throughout the community. Strategies outlined in the plan include utilizing public and institutional land through public-private partnerships that lease or sell land in support of housing development.
In 2024, in support of the previous planning efforts, the County engaged Wilson and Company to conduct a Transportation and Utilities Study. Completed in August 2025, this study provides the data necessary to discuss the development of the site, address needed infrastructure, and potentially begin a process to solicit a public-private partnership.
It should be noted that the study area evaluated the impacts of the LAPS North Mesa project in addition to the Arbolada and Pondarosa neighborhoods for planning purposes. However, cost estimates and recommendations for Area A are limited to the LAPS property.
Key Study Findings
Transportation & Transit:
Traffic Operations: Analysis of 11 key intersections along the Diamond Drive corridor confirms that traffic volumes will remain within acceptable Levels of Service (LOS) through the 2045 horizon year.
Multi-Modal Needs: The study identifies a need for buffered bike lanes on Diamond Drive, a new shared-use trail along North Mesa Road, and safety upgrades to the San Ildefonso Road underpass.
Transit: Development must include integrated bus stops for Atomic City Transit (ACT) to ensure connectivity to the Los Alamos Transit Center.
Utilities & Infrastructure:
Wastewater: The system is generally adequate but requires a critical replacement of "Sewer Drop B." The Department of Public Works is targeting this repair for the 2028 budget.
Water System: This requires the most significant investment. Approximately 11,600 linear feet of piping must be upsized to ensure adequate fire flow and pressure. These costs are typically developer-borne but may offer opportunities for County participation under affordable housing ordinance.
Financial Overview & Milestones
Multiple initial due diligence items have been completed including an Environmental Site Assessment (ESA) and an ALTA Property Survey. Both of which are required in support of future development.
Category Area A (North Mesa) Area B (Arbolada) Combined Total
Offsite Water/Sewer (Potential CIP) $1,200,000.00 $1,625,162.00
Onsite Water/Sewer (Subdivision) $7,341,455.00 $4,538,383.00
Total Project Costs $8,541,455.00 $6,163,545.00 $14,705,000.00
(Note: Totals include a 20% contingency for future cost escalations)
Next Steps for LAPS Board and County Council:
The proposed development aims to alleviate local housing shortages by adding significant inventory to the County’s constrained market, specifically through targeted options for LAPS and County employees, as well as local workforce, via deed restrictions or other qualification measures.
Beyond addressing housing needs, the project offers a financial benefit to the District, as a potential land sale or lease would generate direct proceeds for LAPS. The current concepts are for a phased build-out of 210 to 360 mixed-density units on the LAPS-owned tract (Area A), with an additional 186 units across the adjacent Arbolada and Ponderosa Estates developments.
The LAPS-owned North Mesa site is physically and operationally viable for housing. To move the North Mesa project forward, the LAPS Board and County Council should discuss desired outcomes and formalize their commitment to the project, specifically agreeing on LAPS Board objectives for the development of the parcel, specific housing targets, and a commitment by the County to provide for necessary utility infrastructure and support under the County’s affordable housing plan. This would include a new agreement leveraging previous planning studies and initiating the selection process for a private development partner.
Attachments
A - North Mesa Transportation and Utilities Study
B - North Mesa Housing School Board Presentation