SacRT is in the process of selling several surplus properties in Midtown Sacramento. In 2023, these properties were declared surplus by the SacRT Board of Directors in accordance with state and federal regulations.  

Why Are These Properties Being Sold? 

SacRT identified nine properties in Midtown that are no longer essential to our transit operations. To ensure transparency and compliance, SacRT has followed all requirements of the California Surplus Land Act (SLA) and federal regulations, including giving affordable housing developers and public agencies the first opportunity to purchase the land. 

What Has Been Done So Far? 

• Property parcels declared surplus in July and September 2023. 

• Notice of Availability issued in January 2024, resulting in 19 expressions of interest. 

• Six proposals were submitted for further consideration. 

• In August 2024, SacRT’s Board reviewed top proposals and directed staff to negotiate a Purchase and Sale Agreement (PSA) with The Code Solution, Inc. for affordable housing development. 

• The Board approved the PSA in November 2024, and escrow opened in March 2025. 

• In July 2025, during due diligence, The Code Solution elected to withdraw, and SacRT received confirmation from the state that it had fulfilled all SLA requirements. 

What’s Next? 

with SLA requirements now satisfied, SacRT is now accepting proposals from the open market beginning 9/18/25 through 11/17/25. SacRT has listed it’s properties through CBRE: MidtownSacRT.com.

Two of the parcels currently house important SacRT operations and will require buyers to allow for continued use or relocation support. 

Key Guidelines for Future Development 

• An affordability covenant will remain in place: if 10 or more residential units are developed on any of the parcels, at least 15% must be affordable to low-income households. 

• Certain land use will be prohibited to ensure development aligns with community goals (e.g., no gas stations, storage facilities, or drive-through restaurants). 

• Fair market value will be required for all sales, and Federal Transit Administration approval will be needed for certain parcels. 

Documents and Resources 

SacRT Board of Directors – July 28, 2025 – Midtown Surplus Electronic Update – Agenda Item 4.3