Oregon developer eyes airport site
Thursday, August 02, 2007
BY CAMI JONER, Columbian staff writer
The developer of shops near Portland International Airport has turned his attention to a former airfield on the Washington side of the river.
Vancouver's former Evergreen Airport could become his company's next lifestyle-oriented retail development, said Fred Bruning, president of Tigard, Ore.-based CenterCal Properties, developer of the IKEA-anchored Cascade Station near PDX. Bruning called Vancouver officials last week after learning that a $215 million development plan had fallen through for the old Evergreen airstrip on East Mill Plain Boulevard. Bruning is intrigued by the site.
"I think it could be a unique mixed-use project with retail and office components. It's hard to say without having talked to the city," he said.
Bruning said his company has not approached the site's owners, the family of the late Wally Olson, the airport's founder and longtime operator. The facility closed in July 2006, earmarked for shops, offices and housing called The Landing at Evergreen.
That project was proposed by Seattle-based Opus Northwest, which announced it was backing out of those plans last week, after losing planned anchor tenants Whole Foods and a major bookstore. Opus Northwest's project housing partner, Matrix Development, also pulled out of an agreement to purchase the western tract of the 60-acre parcel for a 221-townhome development.
Vancouver's business development director, Gerald Baugh, sees CenterCal's interest as a chance to bring already formulated plans forward.
"If they ask for a similar concept, there may not be a lot for us to do," Baugh said.
More homework
After a yearlong process to iron out a development agreement between the city and Opus Northwest, "I would study how it was all put together if I was CenterCal," Baugh said.
On the other hand, he said CenterCal's plans could differ dramatically from the Opus proposal.
"There's a lot of homework to be done in order for them to come up with their vision," Baugh said.
He expected to meet with developers later this month, and said city planners would hold an internal meeting beforehand.
Bruning said Vancouver lacks newer retail projects such as those being developed by CenterCal, a real estate investment firm backed by the wealthy pension plan of the California State Teachers' Retirement System, or CalSTRS. The entity controls more than $171 billion in assets, according to its Web site.
"Our goal is to build a portfolio of shopping centers and mixed-use projects," Bruning said.
In addition to Cascade Station, CenterCal owns Bridgeport Village in Tigard, Ore., home to trendy retailers such as Crate & Barrel, Ann Taylor Loft, Chicos and J Crew. CenterCal co-developed Bridgeport with Opus Northwest.
"We bought Opus' interest out of the project," Bruning said, adding that his company is not likely to partner with Opus to develop the former Evergreen Airport site.
Calls to the Portland and Seattle offices of Opus Northwest were not returned.
CenterCal has recently launched construction on a host of large - 250,000 square feet and larger - Portland-area developments called "lifestyle" retail centers. Development costs range between $215 million and $250 million for upscale centers which include: Nyberg Woods, near the Tigard-area Bridgeport Village, The Rivers at Oregon City, and Gresham Station.
The company is also developing experience-oriented shopping centers in California, Utah, Idaho and Montana, which are developments that are poised to attract trend-setting boutiques like those at Bridgeport, Bruning said.
CenterCal's Web site lists population statistics and a range of income and age data about the areas surrounding each newly proposed development, but when asked, Bruning said very little about the households within the radius of the former Evergreen Airport.
"I wouldn't be looking at it if I didn't see the potential," he said.
Those familiar with the deal between Opus Northwest and the Olson family said the property sale would have been an estimated $15 million.
Bruning said he contacted the city first, rather than the Olsons, to discuss how his company's plans might fit in with previous agreements.
"I didn't want to interfere with anything the city had going on," he said. "If the city feels it's appropriate, we'd be happy to enter into discussions with the family."
Update
Previously: Opus Northwest said last week it was canceling plans to purchase the former Evergreen Airport site for a $215 million retail, office, hotel and housing development.
What's new: An official from Oregon-based developer CenterCal Properties said he sees potential in the site and has contacted the city of Vancouver about pre-arranged development plans.
What's next: If the city agrees with the new development plan, CenterCal could approach the property owners about purchasing the site.
http://www.columbian.com/business/bu...news177166.cfm