Monday, September 22, 1997 The men who play with Westwood
WESTWOOD: Developers and residents fancy village’s
revitalization
By Patrick Kerkstra
Daily Bruin Senior Staff
Little Westwood Village is suddenly the locale of big deals, big
money, big politics and big drama.
For years, the village has lagged behind other L.A. retail
centers, bogged down in failed developments and plagued by a poor
reputation.
Among boosters, talk of Westwood’s imminent revitalization is an
annual phenomenon. For most of the ’90s, local businesses have been
seeking to reclaim some of the village’s past luster as an
entertainment and retail hot spot.
Now, however, the talk isn’t empty. This time, the money’s
coming to Westwood, and suddenly everyone — from politicians to
developers to wary residents — is taking notice of the
village.
In recent months, Westwood’s seen some unprecedented real-estate
deals, remarkably ambitious building plans and the requisite amount
of back-room maneuvering and public-relations magic.
Although there are dozens of players and constituencies
jockeying to determine Westwood’s direction, much of the current
debate centers around two large-scale developments, both in the
planning stages, on opposite ends of the village. The larger of the
two projects was proposed almost two years ago by Los Angeles-based
developer Ira Smedra.
The first fish to bite
When Smedra first brought his game to town, Westwood Village’s
prospects for recovery were, on the surface, bleak. Empty
storefronts lined the streets. Local shoppers had largely abandoned
Westwood for Third Street in Santa Monica and local malls.
Smedra, a developer with a decidedly mixed track record, was
seen by many as Westwood’s potential savior. His publicity focused
on the village’s problems, portraying his proposed project as the
antidote. He found support among community members desperate for
development of any kind.
Smedra didn’t think small. His Village Center Westwood, located
on a five-acre plot on the east side of the village, originally
called for waterfalls, an IMAX theatre, 16 movie screens, an ice
skating rink, a large senior citizen’s housing component, the
conversion of Glendon Avenue into a plaza and ample room for retail
space and restaurants.
But if local merchants were pleased with the thought of renewed
development, local residents were apoplectic about the project.
Homeowner associations lined up to attack Smedra. They claimed his
project would attract the wrong clientele to the village, cause
massive overcrowding, and was, in the end, illegal anyway because
of its violation of numerous village growth guidelines.
Since then, Smedra’s scaled back his plans considerably, but
residents have continued their objections, and opposition to
Smedra’s project has grown in many quarters.
Part of the reason behind the growing opposition to Smedra has
been the emergence of other village developers and investors.
Suddenly, Westwood denizens have the unusual luxury of choosing
which kind of growth to support. Indeed, in recent months, all
segments of the Westwood real-estate market have exploded.
In the residential market, Donald Sterling, owner of the
Clippers and a major Southland real-estate player, has recently
bought three luxury Westwood apartment buildings and an exclusive
local hotel.
Office space in Westwood is at over 90 percent occupancy, and
two major Wilshire office towers, the Oppenheimer Tower and Saban
Plaza, were recently snatched up by Beacon Properties. The Westwood
Center Building, probably best known to Bruins as the site of Jim
Harrick’s infamous Monty’s meal with recruits, is about to be sold
to the Beverly Hills-based Arden Realty Group, which plans to sink
millions into renovating the property.
Mann Theatres, which operates all the movie screens in the
village, is working on a combined theater-retail project for the
west village, along Broxton Avenue, that would directly compete
against Smedra’s planned development.
And perhaps most importantly, developer Larry Taylor has bought
$50 million in retail space in the village itself — a record
purchase. Taylor has already come out as an opponent of Smedra’s
project, and has said he will challenge Smedra legally if Glendon
Avenue is converted to a plaza.
The developments have Westside newspapers and community weeklies
abuzz with debate over the worth of the various projects, and more
importantly, the overall direction the village should take.
One model: the tony cultural district
The village is a geographical and demographical gem. Wealthy
residents from Bel-Air, Westwood and Brentwood live nearby. The
Wilshire office corridor provides a steady influx of well-off
businesswomen and men, and UCLA lends the village cultural and
intellectual weight through its libraries, playhouses and museums.
Village boosters love to praise the area’s historic architecture
and "pedestrian nature."
"Westwood has always been special," said Steven Fink, vice
president of Christina Development Corp., the organization owned
and run by Taylor. "It’s a shame that other people haven’t noticed
that."
Because of the village’s inherent qualities, an improving local
economy and a refurbished Westwood infrastructure, Taylor and his
partners felt the time was right for a heavy investment in the
village.
The handsome prices they paid for their recently acquired
properties raise the already-high stakes of Westwood real estate
even higher. Taylor is reportedly considering some of the highest
leasing rates in the city for his properties.
Partially because of the probable high leasing costs, and
partially because he feels the market demands it, Taylor is
pursuing high-end tenants like Armani, Versace and Tiffany’s. And
unlike other developers, Taylor feels that Westwood’s salvation is
not tied to the movie business, but rather in bringing the area’s
natural customers — residents in particular — back to the
village.
"I think the last thing anyone wants to see in the village is
liquor stores and laundromats," Fink said.
Taylor is exactly the kind of developer that local homeowner
associations have been dreaming of.
Friends of Westwood, one of the most outspoken and influential
resident groups, has been hoping for a move toward a more upscale,
culturally oriented village for years.
"Nobody has really been offering anything for residents in the
village. A few long-standing merchants are an exception, but most
of them have been replaced by an infinite number of hair and nail
salons, coffee shops. It’s fast-food central," said Laura Lake,
president of Friends of Westwood.
Lake would like an artistic, cultured village, populated with
community events like the Farmer’s Market and the free summer jazz
series at the Armand Hammer Museum.
Lake’s dream for Smedra’s property is close to the antithesis of
what he wants to build. Her development would include a
European-style food market inspired by the legendary Les Halles in
Paris, a Tavern-On-The-Green style restaurant, a ritzy garden
hotel, a live theatre and upscale retail shops — a reality pretty
far removed from the Subbies Roll-In and Maloney’s circuit
frequented by many students.
A second model:
Malls, movies and Mann
For Taylor and wealthy local homeowners, Smedra’s project
threatens their chances for an upscale, artistic, pedestrian
village.
His Village Center — essentially an open-air, mixed-use mall —
is not exclusive enough for some Westwood boosters.
It would include a Ralph’s supermarket, a drug store, an
unspecified number of theaters and 130,000 square feet of retail
space.
Although Smedra’s plans have scaled back considerably from his
earliest hopes, the project still violates Westwood’s Specific
Plan, which sets guidelines for the village’s growth. The
violations of the Specific Plan, which is often held up as a
quasi-divine document, bother controlled-growth activists like Lake
the most.
For his part, Smedra has said he expects to lease space to
high-end retailers of the sort homeowners are hoping for. He
believes his project will offer services, such as the supermarket
and a full-service bookstore, that the village lacks today.
Lake has not been assuaged by Smedra’s assurances.
"You have to ask, ‘Does this retailer have a track record of
attracting high-end retail and dining tenants?’ The answer is no.
He does strip malls," Lake said.
"The sunken pit they’re calling a pedestrian plaza is two
stories underground. It’s an open-air basement," Lake says of
Smedra’s landscaping plans. "It may be good for suicide jumps now
that the roof of Bunche Hall is closed off, but not much else."
Westwood, one of the bastions of Los Angeles’ controlled-growth
movement, is a notoriously difficult area for developers to build
in. Smedra was not surprised at the reaction.
"I don’t think (the opposition) comes as any surprise. Friends
of Westwood has a history of opposing every project, whether it’s
good for the community or not," Smedra said.
But Friends of Westwood and other homeowner groups have reacted
differently to a competing project located across the village from
Smedra’s site.
The proposed Mann Theatre project is far smaller than Smedra’s.
It would hold movie theaters and some retail space. Local
residents, although not ecstatic, are supporting it over Smedra’s
project
Adding further spice to the competition between the Smedra and
Mann Theatres would-be projects is a long history of lawsuits and
disagreements between the two.
For months, Smedra negotiated with Mann Theatres to have them
operate the movie houses in his project. Talks broke down several
times, and in July, Mann issued the public-relations equivalent of
a slap in the face, courtesy of Chuck Goldwater, president of Mann
Theatres.
"We understand why Mr. Smedra would want Mann Theatres
involved," Goldwater said.
"Bringing in a long-time village business with a decades-long
commitment to improve the area would have helped legitimize this
project. In the end … (we) decided the Village Center Westwood
made no sense for us and even less for the village as a whole."
Caught in the middle
The lucky politician caught in the middle of the fracas is L.A.
City Councilman Mike Feuer.
For Feuer, Westwood’s fortunes as a retail area and community
are vitally important. Westwood is a powerful neighborhood, a
wealthy neighborhood, and its residents are politically active —
and very vocal.
"Westwood is a very key point of focus for me," Feuer said.
Feuer’s ideal village combines the pedestrian, upscale,
culturally oriented model with the more accessible, entertainment
oriented Westwood promoted by the movie houses and Smedra.
With institutions like the Getty Museum, UCLA, the Geffen
Playhouse and Armand Hammer Museum all located in or near the
village, Feuer, like Lake and other homeowners, sees a future for
Westwood in the arts.
But unlike Lake and Taylor, Feuer still feels that movies play
an important role in Westwood’s appeal, and he is also more willing
to re-consider the Specific Plan when it doesn’t fit with
development goals.
Although he adamantly denies having taken a final position on
Smedra’s project, Feuer does say: "I do think, in general, it’s
moving in the right direction."
Feuer’s opinion is an important one. The city council must
approve exemptions to the Specific Plan, and that is only likely to
happen if Feuer supports the changes. Similarly, if Feuer requests
changes, the council will most likely agree to them.
"On the council, typically if a member has done his homework on
a land-use issue, other council members pay deference," Feuer
said.
Whither Westwood?
In the end of course, either Smedra’s project will be built or
defeated. The same for Mann Theatre’s complex.
But the difference between Westwood today and the Westwood of
only a few years ago is the broad-based recovery that’s taking
place. The village is no longer dependent on any one developer, or
even on any single industry, for its success.
Westwood will soon be back. All that’s left to be determined is
what it will look like when it finally arrives. THE PLAYERS IRA
SMEDRADeveloperUCLA Alumni Ira Smedra wants to reshape Westwood.
His development proposal would add a plaza full of movie theaters,
grocery and drug stores, and retail shops. His project has been
crticized by Westwood homeowners’ associations, who want a shopping
district more along the lines of Rodeo Drive. The question: will
Westwood eventually cater to students or residents?