Shopping Center Considered for Lockheed Parcel : Burbank: City officials and the developer say such a project on the 86-acre site would provide a needed shot in the arm for the area’s economy.
A major developer has proposed building a $100-million shopping center on 86 acres of the Burbank site being vacated by the Lockheed Corp., city officials said Tuesday.
Kornwasser & Friedman Shopping Center Properties, in association with the Price Club, is negotiating with Lockheed and the city of Burbank to buy and develop a parcel that would include a Price Club store, a home improvement store such as Home Depot or Home Club, and a number of other specialty retailers, a company spokesman said.
The proposed site covers more than one-third of the property being abandoned by Lockheed, which is moving almost all of its offices and factory out of Burbank this year.
Although Burbank officials and executives of Kornwasser & Friedman called the discussions “informal, premature and sensitive,” they agreed that such a project would provide a much-needed shot in the arm for Burbank’s economy, shaken by the planned departure of Lockheed and other employers.
“It would definitely generate a lot of sales tax,” Assistant City Manager Steve Helvey said. “Financially, it has the potential to be a very positive thing for Burbank.”
But he added that such a project would also probably require financial assistance from the city, as well as traffic mitigation and environmental clearances.
“A strong retail base would be good for Burbank, but it would have to be negotiated on the right terms,” Helvey said.
Joseph Kornwasser, general partner of the development company, said: “We have been in discussions with Lockheed, and we seem to be getting closer with the city. We would all like this project to go ahead.”
Lockheed is planning to move a large part of its operations out of Burbank by this year as it transfers virtually all manufacturing, parts fabrication and engineering activities to newer facilities in Palmdale, Rye Canyon and Marietta, Ga.
The firm will sell about 225 acres adjacent to Burbank Airport. Commercial land brokers have said the property is worth more than $1.5 million per acre.
The proposed shopping complex is the second such center proposed in the last several years by Kornwasser & Friedman. The company in 1988 offered to build a retail and entertainment complex on 41 acres in downtown Burbank. The city instead decided to award the contract to the Alexander Haagen Co., which is building the Media City Center mall.
Burbank already has a Price Club, one of the city’s highest sales tax generators. Kornwasser said the proposed new store and the center would serve the west San Gabriel Valley, while the present store serves the east San Fernando Valley.
Kornwasser said the Lockheed site, generally bounded by Empire Avenue, the Golden State Freeway, Brighton Street and the Southern Pacific railroad tracks, is a prime location for a retail center.
“The location from a regional standpoint is very good,” he said. “It’s right off the Golden State Freeway, and the service radius of population is generally upscale in nature.”
