RESIDENTIAL
Irvine-based master developer SunCal Cos. is searching for a “Plan C” to push ahead on the massive redevelopment plan it has in the works for the Bay Area.
A ballot measure that would have cleared the way for SunCal to start redeveloping about half of the 1,500-acre former Alameda Naval Air Station was soundly shot down by that city’s voters about a month ago.
Now the city of Alameda is reportedly threatening to end SunCal’s exclusive negotiating agreement for the site, now known as Alameda Point, if a better plan isn’t drawn up soon by the developer.
Nearly 85% of voters said no to SunCal’s “Yes on Measure B” proposal to increase density limits for the former air station—a plan that had seen plenty of local opposition during the past year.
The company proposed to build more than 4,000 homes and apartments and more than 3 million square feet of commercial space on 750 acres of Alameda Point. The plan also called for 150 acres of open space.
SunCal hasn’t thrown in the towel on its plans, even though the city recently added another roadblock after the Feb. 2 vote: serving the developer with a notice of default on its exclusive negotiating agreement.
The city claimed SunCal failed to meet specific development milestones and gave the company 30 days to come up with a new plan.
The effect of the default notice on proceedings is a bit unclear. The city still is obligated to pursue alternative development plans for Alameda Point with SunCal until July 20, according to some local reports.
SunCal officials said in a letter to the city that “the legal argument for determining the default is specious and relies on alleged requirements that simply do not exist” in its negotiation agreement.
“We will not abandon this plan and this city,” SunCal spokesman David Soyka said in a statement in response to the vote.
Alameda Point has been in development limbo since the Navy left the site in 1997.
The project hasn’t been directly affected by bankruptcy cases surrounding more than a dozen other SunCal projects in California.
COMMERCIAL
Orange County’s newest commercial broker-age is bringing on one of the area’s top brokers for small and midsize office properties.
Irvine-based 360 Commercial Partners, which began operations about a month ago, recently announced it hired Steve Economos, formerly a senior vice president at NAI Capital Commercial Real Estate Services, to be the director of the company’s office brokerage division.
Two other members of Economos’ brokerage team at NAI Capital, Geoff DeWolf and Ethan Jacobs, are also joining 360 Commercial’s office advisory group.
“Our day-to-day business is still going to be the same—and that’s to sell office buildings,” Economos said.
In terms of the number of sales, the team had been among the top sellers in Southern California in recent years.
They’re the first brokerage team that the new company has brought on, other than 360 Commercial’s founder, Louis Tomaselli, who left Voit Real Estate Services late last year to start the business.
Most of Economos’ deals had been in South OC, while Tomaselli’s office and industrial practice at Voit had focused on the northern part of the county.
The goal is to bring on about a dozen brokers to the company, according to Economos.
One broker not joining 360 Commercial is Steve’s father, George Economos, who is remaining at NAI Capital.
More Hawaii Dealings
An affiliate of Irvine’s Thompson National Properties that focuses on retail is under contract to buy a mall in Hawaii.
Thompson’s TNP Strategic Retail Trust Inc., a real estate investment trust that kicked off operations last summer, said it is nearing a deal to buy the Waianae Mall, an 11-building center in Honolulu.
The purchase price of the center is set
to be $25.7 million for the 170,275-square-foot mall, including the assumption of debt. The deal works out to about $151 per square foot.
Hawaii’s been a busy place for local retail investors. Last month Newport Beach’s Stoneridge Capital Partners paid about $50 million, or $277 per square foot, for an 180,300-square-foot retail center in Oahu.
