L.A. Times property could bring debate over site's use.

The sale of the Los Angeles Times' 26-acre site in Chatsworth is expected to attract what brokers and developers are calling a beauty contest--the largest and most deep-pocketed developers from across the country.

But another contest may be brewing--a contest of wills over how the site will be used.

The property, which the Times is divesting as part of a consolidation of its printing operation into newer facilities elsewhere, is zoned for industrial use, and city officials would like to keep it that way because, they say, an industrial park would bring hundreds of high-paying jobs to the area.

But a 26-acre parcel in the heart of the San Fernando Valley doesn't come along every day, and it's reasonable to assume that more than a few folks with a variety of redevelopment ideas will be stepping up to the plate.

Since industrial users will not be able to pay as much for the parcel as, say multifamily developers or retail developers, buyers, sellers and the city may be squaring off sometime in the not too distant future.

For now, the marketing assignment has only just been awarded to Trammell Crow Company, and brokers there have only just begun studying it.

"We're in the midst of doing our ordinary pre-disposition due diligence," said Trammell Crow Senior Vice President Onno Zwaneveld, dispelling some rumors that a buyer had already been chosen. "We're not having any discussions with any buyers."

But like any good broker, Trammell Crow wants to get the best price for its client, and the best offer is not likely to come from an industrial developer.

An industrial redevelopment project would price the land at about $24 to $25 per square foot, whereas a multifamily project could fetch as much as $70 a square foot, and a retail project would fall somewhere in the middle.

The high bids coming from multifamily developers have already led to a major transformation in the West Valley, where a number of industrial properties have been or are being torn down to make way for apartments and condominiums.

Meanwhile, large retailers have also been finding space in short supply and have been bidding up the price of land when they find it. Retail too brings in far more tax revenue, a prospect that's tipped the scale in their favor with city officials on a number of occasions.

If the site, located on Prairie Street between Corbin and Winnetka avenues, were redeveloped into an industrial park, it could bring hundreds of new, high paying jobs to an area that lies close to a large population of workers.

Already city officials are lining up to make their presence, if not their voices, heard on the project, and at least one seems indisposed to changing the current zoning on the property.

"With the L.A. Times property in particular, it sits in a unique zone," said Los Angeles City Councilman Greig Smith, whose district includes the site area. "It encourages light industrial uses like information technology and biotechnology. So I am not going to look favorably upon any housing uses for that property."

But Smith is not quite so emphatic about the prospect of some retail use on the land.

"I would look at such a concept if it were mixed use between light industrial and commercial," he said. "I don't know if I'll look at it favorably."

Trammell Crow officials say they are working to evaluate the property and have not yet developed a timetable for the process.

"We want to understand everything we can about the property and what the highest and best use would be," said Zwaneveld.

Burbank Office Building Sold

A Burbank Media District office building has sold to Legacy Partners for $43 million.

The 147,889-square-foot building, at 2600 W. Olive Ave., was just 35 percent leased at the time of the sale.

Kevin Shannon, Rob Hannan and Jim Lindvail, brokers with Grubb & Ellis, and Brad Feld and John Winnek, both with Cushman & Wakefield, represented the buyer, Legacy Partners Realty Fund I, and seller, Carr America Realty Corp.

Valencia Sale

Valencia Park Executive Center, a 66,584-square-foot office property, has sold for $11.7 million.

The property, which includes two buildings and is 70 percent leased, was acquired by The Koll Co., a Newport Beach-based investment company.

It is located at 25115 Avenue Stanford in the Valencia Gateway.

Kevin Shannon, Rob Hannan, Scott Schumacher, Paul Perkins, Michael Moore and Jim Lindvall, all with Grubb & Ellis, represented the buyer and the seller, Fowler Property Acquisitions.

New President for Realtors Group

Richard J. Holloman, a broker with Troop Real Estate in Simi Valley, has been elected president of the Simi Valley/Moorpark Association of Realtors for 2006.

Holloman, who was named realtor of the year by the association in 2004, is an 18-year real estate veteran.

Nicole Romanowski, a broker at Troop's Moorpark office, was chosen as president elect.

Simi Sale

Mortgage Corp. of America has acquired a 17,000-square-foot office building in Simi Valley for $2.4 million.

The residential lending company will use the building, at 4242-4277 Valley Fair St., to expand its operation.

Jim Darin, a broker with Westcord Commercial Real Estate Services, represented the buyer.

Dan Powers and Leslie Ortman, both with Sperry Van Ness, represented the seller, a private investor.

Senior reporter Shelly Garcia can be reached at [phone] or by e-mail at [e-mail].