Burnham Plans Restaurants
for Anaheim Site; No Rest for Malliet With
Several Projects Going
The Aliso Viejo office of Lennar Corp. is
betting big on housing near sports centers,
and not just in Anaheim.
The Miami-based builder and partner LNR
Property Corp. are set to pay $80 million
to Anschutz Entertainment Group for the last
developable parcel next to Staples Center,
according to sources of Los Angeles Business
Journal reporter Andy Fixmer.
Word is that Lennar plans three condominium
towers and a 250,000-square-foot retail center.
The 4-acre parcel borders Figueroa Street.
Michael Roth, an Anschutz Entertainment
spokesman, confirmed that his company was
working on a deal with LNR Property.
“AEG is currently in discussions,” Roth
told Fixmer. “However, our policy
is not to comment on specifics of negotiations.”
Anschutz Entertainment, which owns most
of Staples Center, has been planning an entertainment
and retail complex around it.
The $1 billion project could include a 1,200-room
hotel, a 7,000-seat live theater, radio and
television broadcast studios, a nightclub
and several restaurants.
As for Lennar, it has more ambitious high-rise
plans in Anaheim. It seeks to build 11 housing
towers ranging in size from 23 to 33 stories,
according to the city.
As it stands
now, Lennar plans 2,681 housing units
and 133,216 square feet of shops and
offices. The builder’s Anaheim plans
are somewhat fluid at this stage. It’s
repeatedly come back to Anaheim with plans
for more housing.
Lennar isn’t
the only big player in the Platinum
Triangle these days.
D.R. Horton Inc., based in Fort Worth, Texas,
bought an office building and a medical building
on 3.5 acres in the area near Anaheim Stadium.
The homebuilder plans to raze the two buildings,
which total 65,000 square feet, to make room
for housing.
The sale price
of the land at 2100 E. Katella Ave. wasn’t
disclosed. One can assume it went for a
pretty penny, since D.R. Horton plans about
70 condominiums to the acre.
The more houses, condos or apartments a builder
can squeeze on an acre of land, the more it can
pay for it.
Lennar is said to have paid up to $4 million
an acre for land in the Triangle. It plans some
very dense housing in the form of the high-rises.
D.R. Horton is set to build 251 condos or apartments
and 9,764 square feet of shops, according to
the city.
Carl Johnson
of Voit Commercial Brokerage LP’s
Irvine office represented the builder in the
sale. Trent Walker of Voit’s Irvine office
represented the seller, Kayco Plaza Partners
LP.
Not every site near Angel Stadium is going to
housing developers.
Newport Beach’s Burnham USA Equities Inc.
recently bought about 3 acres on Katella Avenue
from Chicago’s Equity Office Properties
Trust with an eye to putting up two buildings
and leasing them to eateries.
Scott Burnham, who heads the developer, said
he plans 22,000 square feet of new restaurants
and cafes on the site. A Hooters restaurant,
which occupies a freestanding 7,000-square-foot
building, is set to stay, he said.
Jeff Moore of CB Richard Ellis Group Inc. brokered
the sale, and Andrew Buie of CB is marketing
the buildings for lease.
The project
is dubbed The Shops at Stadium Towers,
though it won’t
have much shopping. Burnham said Equity
likes his plan, which it sees as a good
fit to its 12-story tower at Stadium Towers
Plaza.
Equity has entitlement for another tower at
the site.
The
deal is Burnham’s
second buy from Equity in the area. He
declined to give the sale price of the
land.
In a previous deal, Burnham picked
up 5 acres of land in Orange near The Block from
Equity. He built a 46,000-square-foot building
and leased it to Best Buy Co., which opened earlier
this year.
Burnham said he has some other projects in
the works in the area.
One project: He plans to replace a bowling
alley with housing in Orange.
Deal Maker
Brian Malliet recently paid $3.3 million for
a 24,000-square-foot building in Costa Mesa
that will serve as the new headquarters for
his BKM Development Co., according to his broker
Louis Tomaselli of Voit.
Not content
to simply enjoy his new digs, Malliet
has a plan to generate income at 3188
Pullman Ave. He’s set to renovate the
building and lease out the space he’s
not using, which is most of it.
Tomaselli,
Mitch Zehner and Mike Boomer of Voit’s Orange office, and John Collins
of Voit’s Irvine office, represented
both the seller, Redhill Pullman LLC, and
BKM.
Malliet also has bought three other buildings
at Red Hill Pullman Business Center next to
his new headquarters. They total 150,000 square
feet.
He’s
set to divide those three buildings
into 19 condominium-style office units
and resell them.
This is the
guy who paid $40 million in May for
Panasonic Corp. of North America’s
540,000-square-foot office and distribution
campus in Cypress—one of the biggest
industrial deals of the past few years.
Malliet plans to renovate the two buildings
and sell them.