DISTRICT MAY LOSE SCHOOL SITE GREYSTONE HOMES PULLS OUT OF DEVELOPMENT DEAL.

Byline: Naush Boghossian Staff Writer

CASTAIC - After months of postponements, Greystone Homes has dropped out of escrow in a deal that would supply a much-needed elementary school site for the Castaic Union School District.

District officials got the word late Wednesday and aren't certain yet if they must find another site. Greystone Homes, offering the school site as part of a 40-home development, couldn't say Thursday what's next.

``We'd optioned 79 acres, and the option expired,'' company spokesman Tom Dees said, noting the developers have 15 days to renegotiate with the seller, Jack Boskovich. ``If after negotiations it doesn't make good business sense, then there's nothing we can do about it.''

The district had hoped to open the school in 2003, one year after opening a campus in the new North Lake development. The latter already is bogged down with legal complications, leaving the district with no solid plan as the student population continues to grow.

Still William McDermott, a member of the Castaic school board, said he's holding out hope.

``It doesn't mean a whole lot because properties can go back into escrow,'' said McDermott. ``It's still a possibility, but chances of it happening are getting smaller all the time.''

In December, the board ranked the Greystone site as its top choice for its fourth elementary school, with three other developers vying for the distinction. The 11-acre site would eventually be part of a 70-acre development of 40 single-family homes on large lots.

The Castaic Town Council became concerned that another school site would fall through when Greystone kept postponing a meeting with members to discuss plans.

``They've delayed it many times - they were supposed to come to the Town Council months ago,'' Councilman Bob Lewis said.

``Now, we have no school site that's readily available,'' Lewis said.

Currently, the district is feeling the pinch for a new school as the enrollment swells beyond 2,800, all crowded in two elementary schools and one middle school. About 50 percent of the students are in temporary classrooms. In fact, all fourth and fifth grades in the district are in relocatable classrooms.

Demographic studies project that the district will have 3,487 students by 2003 and 4,306 students by 2007.

McDermott also remains optimistic that the North Lake school will open by the 2003 school year.

In the meantime, until another school opens, the district's advisory committee is considering different options to deal with the overcrowding.

``We're looking at the possibility of changing to multitrack year-round schools, adding more emergency relocatables, and evaluating ways to lobby local, county and state legislators to assist us in this issue,'' McDermott said.

The district is still considering alternate sites while officials wait to see what happens with Greystone, McDermott said.

Meanwhile, district officials will revisit the other three sites proposed for schools.

Two of the sites are in Sloan Canyon and the third is in Hasley Canyon. The 11.5 acres south of Sloan Canyon Road were offered by Sloan Canyon LLC, which was planning 76 homes in the area.

Castaic school board member Greg Ferrier, who supports that site, said it is favorable because its availability is not contingent upon a housing development.