SHERMAN OAKS : Street Improvements Near Mall to Begin

Street improvements promised five years ago by the now-bankrupt developer of a Sherman Oaks shopping mall will begin within two weeks, according to a spokesman for the current owner of the mall.

“We’ll be starting this work inside of two weeks,” said Stephen Hlebasko, president of Trans-Pacific Partners Co., the San Francisco-based real estate consulting firm that manages the La Reina Fashion Plaza at 14622 Ventura Blvd.

The improvements, designed to accommodate increased traffic created by the mall, include widening Ventura Boulevard at its intersection with Van Nuys Boulevard, inserting a turn lane and re-signaling the intersection.

Hlebasko said the work would take about two months to complete and cost an estimated $250,000. He said that in addition to the $187,000 the city obtained by suing the original developer, the current owner has put down a $139,000 bond for construction and $23,000 in cash for building-permit fees.

Hlebasko said the additional funds serve as a guarantee to the city that the work will be done and could be used if the cost of the project exceeds its budget.

In exchange, city officials issued the mall a 90-day temporary permit of occupancy on Friday, replacing a similar permit that expired last month. Two additional permits were issued to Starbucks Coffee and Moby Disc Records, which will open in the mall this weekend. “They have shown good faith. They’ve been following through all along,” said Vivian Rescalvo, planning deputy for Los Angeles City Councilman Zev Yaroslavsky. Nonetheless, Rescalvo said she favored the issuance of a 90-day permit over a permit for one year as a means of ensuring that the improvements are made quickly.

But Richard Close, president of the Sherman Oaks Homeowners Assn., has said that he is opposed to any permits being issued until the improvements are complete.