Excerpt:

On Feb. 3, residents of the island city voted down a proposal, Measure B, that would have allowed SunCal to override current density limitations to build more housing units.

Now, the city has issued the Irvine-based developer a notice of default for the site after reviewing an a request from SunCal to entitle the project outside of the city's specific plan guidelines.

Alameda has an exclusive negotiating agreement with SunCal that is set to expire on July 15. Under the agreement, SunCal has 30 days to resolve the notice of default.