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Moratorium’s end to free up Sport Chalet space for real estate market

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The La Cañada Flintridge City Council opted Tuesday not to extend a 45-day moratorium prohibiting uses of 10,000 square feet or more in the city’s Town Center, including the flagship space formerly occupied by Sport Chalet.

Instead, the temporary urgency ordinance issued on June 7 will simply run its course, lapsing on Friday. The decision will free property manager IDS Real Estate Group to openly market the Sport Chalet location to prospective tenants.

The City Council issued the temporary ban on large land use permits last month out of a concern bankruptcy court proceedings following the Sport Chalet closure might supersede the ability of IDS and city officials to work jointly on finding an appropriate retail tenant.

But on Tuesday, city officials and IDS shared news the purchaser in the bankruptcy process had identified the space among a list of holdings that entity was not interested in taking ownership of.

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City Atty. Mark Steres initially recommended the council consider extending the moratorium by another 10 months and 15 days, ostensibly to allow for the finalization of that process. But members of IDS spoke strongly against that option.

Rob Fuelling, a La Cañada resident who manages leasing responsibilities for the company’s 25-million-square-foot portfolio, urged council members to let the ban lapse.

“My concern from a leasing perspective is that the moratorium, even over the last 45 days or so, has had a negative impact in my conversations with real estate brokers that represent tenants as well as prospective tenants,” Fuelling said. “It’s put a kind of stigma on the community, [on] their ability to work within and really be a tenant within the city of La Cañada.”

After some discussion, council members agreed not to extend the urgency ordinance and allow IDS to market the property to potential new tenants.

“When we put the 45-day moratorium in place, my primary concern was the bankruptcy court and the bankruptcy process, which would have ultimate control over a tenant if any were to be selected,” said Mayor Pro Tem Mike Davitt. “Now that the time has passed and no one has made a bid on the site...I have every confidence IDS will use its best judgment and analysis in finding a suitable tenant to occupy the space.”

Councilwoman Terry Walker agreed, expressing her desire for IDS and the city to continue to work together on a solution.

“We all agree that the longer that building sits vacant, that’s not good for anybody,” she said.

IDS Vice President Matt Traino confirmed that the keys to the building have been returned to the company, which is in the process of removing fixtures and all interior Sport Chalet branding in preparation to show the space.

Fairmount improvements to return to commission

Also on Tuesday, council members decided to back away from an earlier June 21 decision supporting plans to make a series of street improvements on and around Fairmount and Earlmont avenues more permanent.

The issue of pedestrian safety was initially brought to the city’s attention in April 2015, when members of a Brownie Troop claimed parked cars and no sidewalks made walking to and from Palm Crest Elementary School potentially dangerous to walkers.

A pilot program was instituted, which brought temporary parking restrictions and a reconfiguration of striping changes to the area. In the June 21 meeting, no members of the public spoke against the efforts.

But on Tuesday, traffic engineer Steve Libring admitted that neighbors had not been properly notified of the meeting, and so the matter had to be reheard. This time, several residents showed up to speak against the changes.

“Is there really a problem that needs to be solved?” posed Hillard Avenue homeowner Lane Ochi, who appealed the changes, including a landscaped and curbed sidewalk on Fairmount. “What is the effect of this 60-foot sidewalk to nowhere?”

Several residents claimed the changes were ineffective and posed a greater risk by potentially changing pedestrian and driver behaviors for the worse. In council member comments, four out of five panelists agreed, with Dave Spence supporting the improvements for liability reasons.

Ultimately, council members decided to uphold Ochi’s appeal and remand the matter back to the Public Works and Traffic Commission, which had recommended the pilot program and formalized the permanency plans.

“There are identified public-safety issues that need to be addressed, so if you remand it back to the [Commission], you ask them to maybe look at some alternatives,” explained City Manager Mark Alexander.

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Sara Cardine, sara.cardine@latimes.com

Twitter: @SaraCardine

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