Will West L.A. Type Complex Play in O.C.? : Entertainment: Developer proposes enclosed retail center with up to 16 movie screens plus upscale restaurants to lure affluent South County residents.

Gambling that a West Los Angeles-style entertainment complex will play in south Orange County, a Los Angeles developer is moving forward with plans to build an enclosed retail center featuring up to 16 movie screens and several restaurants.

Plans for “Kaleidoscope,” an upscale, entertainment-oriented complex that hopes to draw affluent South County residents with its 3,300-seat cinema and high-end restaurants, were unveiled to the Planning Commission on Monday night.

The proposed movie theater could be the largest in Orange County, overshadowing cinema complexes such as the 11-screen Century Cinedome 11 in Orange and the 10-screen Cinemapolis in Anaheim, which has 2,700 seats.

To be located on a highly visible, 16-acre site on Crown Valley Parkway next to Interstate 5, the project has drawn generally favorable reviews from planning commissioners and city staff.

Although concerned about potential traffic problems, city officials are enthusiastic about the revenue potential from the proposed mall, which would have a total of 351,000 square feet.

“This could be a real winner,” Commissioner Joseph Lowe said. “Of course, you have to be concerned about the traffic generated by this project, but I think it will be real good for the city.”

The developer, Pacific Development Inc. of Los Angeles, which is operating as Kaleidoscope Partners, has not revealed what company would operate the movie theaters or the names of any other potential tenants. City officials speculate that the mall could include specialty clothing stores, high-end electronics and video stores.

In an interview on Friday, Phillip Thrain of Pacific Development said the mall will “draw people who are interested in going to the theater and dinner. It’s commercial/retail entertainment. That’s why it doesn’t necessarily compete with a mall.”

Site plans show a four-level building that would include a 68,000-square-foot food court with enough room for performances and community events. The project would have a total of 249,120 square feet of leasable space.

Industry analysts say the entertainment concept has worked well in West Los Angeles, particularly at the Beverly Center, a 900,000-square-foot-mall in Los Angeles.

However, two area commercial real estate brokers, who asked to remain anonymous because of ties with the landowner, the Mission Viejo Co., said they had serious doubts that the mall could be successful in a retail industry that has been hard-hit by the recession.

Another concern is whether the surrounding area is oversaturated with cinemas. More than 40 screens already exist or are planned within about 10 miles of the proposed mall.

“Retailers around here are having a hard time making it as it is. I just don’t see the need,” said one broker. “We have retail space we’re having a tough time leasing. Until the economy gets back on its feet, I don’t see why anything should be built there.”

The second broker called the mall project “a calculated gamble. This is going to be something new to the area, and it could work because it’s in a great location.” He did, however, suggest that a 16-screen theater may be overly optimistic.

“It seems like a lot of screens, maybe twice as many as is needed,” he said. “I don’t know if people are willing to pass up all those other theaters on the way to this cinema.”

Lowe said that 10 or 12 screens might be sufficient for the Kaleidoscope project, but he isn’t worried that the area might already be flooded with movie theaters.

“I’m not worried about how many theaters we have close to each other,” he said. “Every one I see is full. And the (Kaleidoscope’s) location is so great here, I don’t think it’ll have any problems” with attendance.

Officials for the Mission Viejo Mall, which is one block east of the proposal mall, declined to comment on the potential competitor.

Pacific Development is also building a similar project in Costa Mesa. Known as Triangle Court, the approximately 180,000-square-foot plaza also is centered around an entertainment/dining theme.

Costa Mesa planning officials say the project should be complete by the summer.

Despite a lethargic economy, both sites could be successful, said Bob Lewis, a senior associate with CB Commercial Real Estate Brokerage in Laguna Hills.

“They’re both outstanding locations,” Lewis said. “It’s a fresh, new idea, but with the right tenant mix, it could be viable.”