CORONA DEL MAR : Developer Gets More Time to Remove Dirt

For almost seven months, residents and city officials have been irked by a giant mound of dirt excavated at the construction site of a five-story housing project for senior citizens on East Coast Highway.

Despite the developer’s failure to comply with earlier deadlines to remove the 30,000 cubic yards of earth, the city of Newport Beach has offered Emerald Associates of Irvine more time to get rid of the eyesore.

Under the 30-day extension, Emerald must give Newport Beach $3,000 for costs incurred by the city when its workers covered and sandbagged the hill in October to help check erosion.

Jon Christeson, a principal of Emerald Associates, said Monday that the project, at 3901 E. Coast Highway, has had a hard time getting financing and that he appreciates the city’s decision to grant more time. About $2 million has already been invested in the 48,000-square-foot residential facility with ocean views.

“It’s like looking for a dodo bird,” Christeson said of the search for funding. “And we’ve been on the expedition for the last 18 months.”

Ray Schuller, the city’s building director, said grading at the site began last spring but suddenly came to a halt because of soil problems and construction bids that were higher than anticipated.

In November, the city granted Emerald Associates a 60-day extension to finish the grading, but the deadline lapsed on Jan. 15 without the work being done. Complicating matters further, a pension fund that owned the property backed out of the deal.

On Jan. 16, Christeson asked the city for another 30 days to give him time to form a new partnership and obtain financing.

“It’s just one of those projects that seems to always be on the cusp of failure,” Schuller said. “But they do still have a vested interest in the project, so we are offering them this extension.”

Still, some residents, who are tired of blowing dust and the unsightly mound, are annoyed by the city’s patience. They say the developer has had more than enough time to remove the excavated soil.

“I hate it,” said Sally Peterson, 56, whose house overlooks the mound and its scattered ribbons of torn green plastic. “This project is doomed for failure, and it’s been doomed from the beginning. It’s time to say this isn’t going to work.”

When Emerald Associates started the city permit process in 1988, Peterson participated in the public hearings for the project. She argued, along with several other opponents, that the building would be unattractive to residents and threaten the environment.

After revisions in the development’s design and size, a conditional use permit was approved by the City Council in May, 1989, and a sign was erected on the site reading “SummerHouse--To open in 1992.”

“Yes, the size was reduced, and the architecture was really lovely,” Peterson said. “But old people are not going to pay $3,500 a month to live in a little room hanging over the canyon on a major highway.”

Christeson called the accusations “silly statements and an insult to senior citizens.” He estimated that more than 500 people, most of them from Corona del Mar, have already expressed an interest in the development, which will include 84 hotel suites, a licensed nurse, underground parking and 10,000 square feet of common space.

“People who look objectively at this say it’s a fantastic project,” Christeson said. “We plan to be back out there in three or four weeks and finish 12 months later.”