Fee Waived for Mall Builder

The developers of a factory outlet in Oxnard have won approval for a deferment of nearly $700,000 in fees they told City Council members they could not immediately afford.

Council members this week unanimously approved an amendment to the development agreement between the city and the builders of the Oxnard Factory Outlet Center, which is slated for construction on land south of the Ventura Freeway between Rose and Rice avenues.

“It’s been a very difficult year for us,” said project consultant James Cahill. “We’ve had a hard time securing financing for the project.”

The deferment of the “mitigation fees”--assessments to developers to cover the cost of street and other city improvements--means the outlet developers were essentially granted a loan that is to be secured by a promissory note.

The money is scheduled to be repaid at 4% interest beginning in five years.

Cahill said work has begun at the site but that the first phase of the project probably would not open until late spring. More than 30 shops will be included in the first phase, with scores more when the center is completed, Cahill said.

City officials estimated the development would bring in $4 million to $8 million in sales tax revenue each decade.