Major Construction Projects Moving Ahead
The San Fernando Valley’s biggest development--Walt Disney Co.’s proposed $2-billion Glendale campus--moved forward with the release of its environmental impact report during the third quarter, while a host of other projects were started, completed or announced.
Among the busiest developers of projects already under construction in the Valley is Trammell Crow Co., which is focusing on infill sites.
Infill is real estate terminology for the few undeveloped parcels of land sometimes found in otherwise fully developed areas--or for renovation of existing buildings in highly developed areas.
“There is not a lot of raw land for development in the Valley, but we feel there is quite a bit of demand for office as well as industrial, so we have looked for infill opportunities,” said Tom Bak, a Trammell Crow managing director.
Bak said Trammell Crow sees a continuing demand for two- and three-story office space that is relatively inexpensive to build and is aimed at tenants who “are focused more on functionality than image.”
He said the Valley office market is also driven by demand from tenants who are growing but want to stay in the Valley rather than move elsewhere to find larger spaces.
The high demand for office space is pointed up by the pre-leasing of most of the first phase of the LNR Warner Center office project in Woodland Hills, according to brokers John Sabourin and Marc Spellman of Colliers Seeley, who are marketing the development on behalf of owner Lennar Partners of Irvine.
Health Net recently signed a 10-year, $100-million lease for 288,000 of the 356,000 square feet in the project at Canoga Avenue and Burbank Boulevard, where construction of one 178,000-square-foot building is nearly finished and construction of the second began in the third quarter.
Construction of the second phase--three buildings totaling 310,000 square feet--is scheduled to begin in March, with completion slated for late 2002, according to Sabourin and Spellman. The entire four-phase, 1.2 million-square-foot project is tentatively slated to be finished by 2005.
The following is a list of other major office, industrial and shopping center projects that were started, completed, announced or moved toward governmental approvals during the third quarter:
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Project: Grand Central Creative Campus
Location: Grand Central Business Center, Glendale
Size: 3.6 million square feet on 125 acres
Type of building: offices and sound stages
Developer: Walt Disney Co.
Cost: $2 billion
Status: draft environmental impact report released, approval pending by Glendale City Council
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Project: LNR Warner Center
Location: Canoga Avenue and Burbank Boulevard
Size: two buildings of 178,000 square feet each
Type of building: office
Developer: Lennar Partners
Cost: $70 million for the two-building, first phase
Status: construction began on the second building and was nearly completed on the first
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Project: Burbank Airport Business Park
Location: Hollywood Way and Empire Avenue
Size: 650,000 square feet
Type of building: industrial
Developer: Zelman Development Co.
Cost: $65 million
Status: announced
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Project: Corporate Pointe at West Hills
Location: 8533 Fallbrook Ave., West Hills (former Coast Savings headquarters)
Size: 381,000 square feet
Type: office
Developer: Trammell Crow
Cost: $55 Million
Status: five buildings totaling 331,000 square feet completed in the second and third quarter of 2000. Construction began on one additional building of 50,000 square feet
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Project: Airport Business Park at Van Nuys
Location: 16555 Saticoy St., Van Nuys (former Marquardt site)
Size: 689,000 square feet (200,000 square feet existing, 489,000 to be built)
Type of building: industrial
Developer: Trammell Crow
Cost: $45 million
Status: renovations completed on existing buildings, construction begun on first phase of new buildings.
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Project: Media Studios North, Phase IV
Location: Empire Avenue and Ontario Street, Burbank
Size: 200,000 square feet
Type of building: office
Developer: M. David Paul
Cost: $40 million
Status: construction started
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Project: Airport Plaza
Location: 2940 N. Hollywood Way, Burbank
Size: 160,000 square feet
Type of building: office
Developer: Trammell Crow
Cost: $30 million
Status: demolition of existing structures completed and new construction begun, slated for completion in mid-2001
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Project: Vista Business Park
Location: 28945 N. Avenue Williams, Valencia Commerce Center
Size: 206,930 square feet
Type of building: industrial
Developer: Investment Development Services
Cost: $30 million
Status: construction started
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Project: Sunquest
Location: 12450 Branford St., Sun Valley
Size: four buildings, 100,000 to 150,000 square feet each
Type of building: manufacturing and warehouse
Developer: Sunquest Development/The Hewson Co.
Cost: $15 million
Status: announced
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Project: Cascades Business Park
Location: Balboa Avenue and Foothill Boulevard, Sylmar
Size: three buildings totaling 36,000 square feet
Type of building: warehouse and office
Developer: Royal Clark
Cost: $8.5 million
Status: construction started
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Project: Valencia Commerce Center
Location: 29011 Commerce Center Drive, Valencia
Size: 140,000 square feet
Type of building: warehouse and office
Developer: Sares-Regis Co.
Cost: $4.5 million
Status: construction completed
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Project: Interamerica Motor Corp.
Location: 8901 Canoga Ave., Chatsworth
Size: 144,000 square feet
Type of building: warehouse and office
Developer: The Hewson Co.
Cost: $1.2 million
Status: construction started
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Project: Aquafine
Location: 29010 Avenue Paine
Size: 100,157 square feet
Type of building: industrial, office
Developer: Aquafine
Cost: n/a
Status: construction completed
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Project: Hewson Valencia Gateway III
Location: 29120 Avenue Paine, Valencia Commerce Center
Size: 174,303 square feet
Type of building: industrial
Developer: The Hewson Co.
Cost: n/a
Status: announced
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Project: Hewson Valencia Gateway III
Location: 29132 Avenue Paine, Valencia Commerce Center
Size: 84,320 square feet
Type of building: industrial
Developer: The Hewson Co.
Cost: n/a
Status: announced
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Project: Hewson Valencia Gateway III
Location: 29125 Avenue Paine, Valencia Commerce Center
Size: 66,724 square feet
Type of building: industrial
Developer: The Hewson Co.
Cost: n/a
Status: announced
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Project: Sheldon Appel
Location: Commerce Center and Industry drives, Valencia
Size: eight buildings of 13,554 to 132,398 square feet
Type of building: industrial
Developer: Sheldon Appel
Cost: n/a
Status: announced
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Project: shopping center
Location: Truman and Lazard streets, San Fernando
Size: 12 acres
Type of building: retail
Developer: Zelman Development Co.
Cost: n/a
Status: announced
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Project: Plaza del Valle
Location: Chase Street and Van Nuys Boulevard, Panorama City
Size: 220,000 square feet, including renovations and new construction
Type of building: retail
Developer: Agora Realty
Cost: $20 million
Status: renovated portion of project completed
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Project: Howard Business Park
Location: Golden State Freeway and San Fernando Road, Burbank
Size: 240,000 square feet in four buildings
Type of building: industrial
Developer: Brad Howard
Cost: $18 million
Status: obtained Burbank city approval
