VOTERS OK NEW MALL CARUSO CLAIMS VICTORY IN AMERICANA FIGHT.

Byline: Naush Boghossian Staff Writer

GLENDALE - Developer Rick Caruso declared victory late Tuesday as voters narrowly approved his $264 million Americana at Brand outdoor mall, according to early election returns.

The three measures that would set the zoning for his center all passed with slightly more than half the vote: Measure A passed with 51.8 percent, Measure B with 51.4 percent, and Measure C with 50.9 percent.

The tally as of 11 p.m. Tuesday reflected 39 of 39 precincts reporting.

``I'm thrilled that my belief in this community was validated against the opposition of a big, faceless company in Chicago,'' Caruso said, referring to Glendale Galleria owner General Growth, which funded the opposition campaign.

``They can try more tactics and tricks, but now everybody understands where they're coming from. From the standpoint of the amount of money spent on a negative campaign, I think we've done very well.''

An ecstatic Mayor Bob Yousefian said the votes send a message to the Glendale Galleria that the residents of Glendale want the Caruso center.

``It was not by one vote; the victory was by a large number,'' he said. ``The people sent a message to an out-of-town corporation that this is our town and they should let us decide what we want and they should stay out of our way and let us build this center.''

The special election, which traditionally draws a low number of voters, had a very high turnout with about one-third of registered voters showing up at the polls.

More than 12,000 residents voted by absentee ballot - the results of which were nearly split with about 51 percent supporting the measures - and at least 17,000 voters went to the polls.

The city has about 85,000 registered voters, and regular Glendale elections typically draw about 18,000 to 22,000 voters, officials at the city clerk's office said.

The opposition said they will evaluate some reports they heard throughout the day of voting irregularities, and will then decide the next step.

``We will continue to work with the citizens of Glendale to achieve the right Town Center project and clearly when the vote is this close, no one can claim a mandate of the people,'' said Arthur Sohikian, spokesman for the opposition campaign. ``The city is still divided on the Caruso Town Center project.''

There will likely be an election challenge, officials said. Recounts must be requested within five days of the election's certification, which city officials expect to be Tuesday.

Plans for the development by Caruso Affiliated Holdings call for four ``mini-anchor'' stores, stadium-seat movie theaters, a midrange store like Pottery Barn, smaller retail stores, 238 apartments, 100 condominiums and about two acres of park space.

The three measures on the ballot challenged zoning decisions by the City Council on the 15.5-acre dining, shopping and housing complex to be located next to the Glendale Galleria.

The City Council unanimously passed the ordinances in April after the Redevelopment Agency unanimously approved Caruso's plans in July 2003.

But General Growth Properties, owners of the Glendale Galleria, led a petition drive forcing a citywide vote on the project, the first referendum in Glendale's history.

Galleria officials argued the Americana at Brand center, in which the city would invest at least $77 million, would be incompatible with surrounding businesses, would worsen traffic and was too costly for the city.

The city maintained its investment, which supplements Caruso's $170 million investment, is fair and necessary to turn a blighted area that produces little tax revenue into a vibrant part of downtown.

Caruso has spent at least $1.8 million to defend his development, while General Growth spent at least $1.5 million. The campaign included print ads, television commercials, direct mail, telephone polls and campaign consultants.

Both sides hired some of the nation's top campaign consultants, including some who worked on George W. Bush's presidential campaign as well as that of Gov. Arnold Schwarzenegger.

``We've never seen anything like this before, and we'll never see anything like this again - a national campaign being run at the local level,'' said veteran City Councilman Dave Weaver.

The project has been one of the most divisive in the city's history and filled with drama.

General Growth began actively opposing the project in August 2003, launching a community public relations campaign.

As part of its challenge, company officials submitted to the city an unsolicited counterproposal for the project that called for less retail space, more housing and more emphasis on links to the Galleria.

Then in March, Caruso - whose previous projects include the successful Grove at Farmers Market, the Calabasas Commons and The Promenade in Westlake Village - angrily walked off, stunning supporters and city officials. He returned to the project 10 days later.

Two lawsuits have been filed over the project.

One suit was by Caruso in February alleging that General Growth threatened and intimidated tenants he had lined up for his project and that the mall giant tried to force his company to partner with them and divide tenants between the Galleria and Caruso's project.

In May, General Growth filed suit against the city challenging its approval of the environmental impact report for the open-air mall, saying it didn't adequately reflect problems like traffic and parking.

Caruso had hoped for a spring 2006 opening.

Naush Boghossian, [phone]

naush.boghossian(at)dailynews.com

CAPTION(S):

3 photos, 2 boxes, map

Photo:

(1 -- color) Project developer Rick Caruso

(2 -- color) no caption (AMERICANA AT BRAND)

(3) Developer Rick Caruso, left, and Glendale Mayor Bob Yousefian celebrate early returns Tuesday night at the Glendale Hilton.

Gus Ruelas/Staff Photographer

Box:

(1) AMERICANA AT BRAND

SOURCE: City of Glendale

Warren Huskey/Staff Artist

(2) GLENDALE

Map:

Proposed site of open-air development