In a tight spot, developer looks up. (Commercial Real Estate - Best Moves/Top Movers).MOST developers are used to problem solving problem solving Process involved in finding a solution to a problem. Many animals routinely solve problems of locomotion, food finding, and shelter through trial and error. , but when Doerken Properties Inc. acquired Encino Courtyard, the company bought itself nearly every obstacle imaginable. The shopping center shopping center, a concentration of retail, service, and entertainment enterprises designed to serve the surrounding region. The modern shopping center differs from its antecedents—bazaars and marketplaces—in that the shops are usually amalgamated into , at 17401 Ventura Blvd., was not located at a major intersection, it offered only partial visibility from the street, it had no anchor tenant and there was not enough parking, let alone surface space, to accommodate an anchor. As a result, tenants turned over at an alarming rate, and Encino Courtyard had never managed more than a 65 percent occupancy rate Noun 1. occupancy rate - the percentage of all rental units (as in hotels) are occupied or rented at a given time pct, per centum, percent, percentage - a proportion in relation to a whole (which is usually the amount per hundred) since it was built in 1989. "We started looking at it in 1998, and when we finally moved forward we were looking at a situation where that center was functionally obsolete," said Allen J. Lynch, executive vice president and a co-principal of Santa Monica-based Doerken Properties Inc. Lynch assembled a team of architects that included principal Brian Wolfe and associates Nguyen Le and Keith Mericle at Perkowjtz + Ruth, as well as Peter Paszterko, who has since left the firm to form his own company in La Habra La Habra (lə hăb`rə), city (1990 pop. 51,266), Orange co., S Calif.; inc. 1925. A suburb of Los Angeles, La Habra was settled in the 1860s by Basque sheepherders. Heights, and leasing agent Chris Wilson, president of Wilson Commercial Real Estate to address both the center's design and its tenant mix. The center needed an anchor tenant that would attract not only traffic, but other tenants as well. And there would be no anchor tenant unless the team could overcome the center's design limitations, namely a size that could not accommodate a large retailer. "We made design decisions based on leasing input. We made leasing decisions based on design input," Lynch said. "Everybody had to contribute in lots of ways." To attract Bed Bath & Beyond, the architects devised a two-story floor plan that gives the retailer sufficient selling space and still fits into the center's smaller format. The developer also sacrificed square footage originally intended for retail use to add enough parking for all the tenants. The center's entrance was remodeled with a paseo that connects the retailers to Ventura Boulevard Ventura Boulevard is one of the primary east-west thouroughfares in the San Fernando Valley; as it was originally a part of the El Camino Real (the trail between Spanish missions), Ventura Boulevard is the oldest route in the San Fernando Valley. It was also U.S. , increasing the tenants' visibility. But the team still had to address the problem of the center's location: It simply would not work for the kinds of stores that rely on foot traffic for customers. In other words Adv. 1. in other words - otherwise stated; "in other words, we are broke" put differently , shoppers were not likely to pull up to Encino Courtyard and spend the day strolling around the center. So Wilson and Lynch took a risky step. Most developers accept any and all creditworthy cred·it·wor·thy adj. Having an acceptable credit rating. cred  it·wor takers when they are leasing a property, but Lynch
and Wilson limited their leasing strategy to service retailers, those
that shoppers are willing to make a special trip to visit.
The resulting center, which opened in 2002, has a tenant mix that includes a day spa A day spa is a business establishment which people visit for personal care treatments such as massages and facials. It is similar to a beauty salon in that it is only visited for the duration of the treatment. , beauty salon, nail salon A nail salon is a beauty services establishment that offers nail care services such as manicures, pedicures, and nail enhancements primarily. Often, nail salons also offer skin care services. There are approximately 38,000 nail salons in the U.S. and other service businesses. And Encino Courtyard, which was remodeled at a cost of somewhere between $5 million and $10 million (officials would not disclose the exact cost) now boasts a 90 percent occupancy rate for the first time in its 13-year history. RELATED ARTICLE: MOST CREATIVE USE OF INFILL in·fill n. 1. The use of vacant land and property within a built-up area for further construction or development, especially as part of a neighborhood preservation or limited growth program. 2. SPACE Developer: Allen J. Lynch, Executive vp/Co-principal Doerken Properties Inc. Architects: Brian Wolfe, Nguyen Le, Keith Mericle Perkowitz + Ruth, Long Beach Peter Paszterko Peter Paszterko, Architect Broker: Chris Wilson, President Wilson Commercial Real Estate |
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