Dealer first Greenlight casualty
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Paul Clinton and Mathis Winkler
NEWPORT BEACH -- The owner of Toyota of Orange considered bringing a
Lexus dealership to Newport Beach but scuttled the plans in part because
he was unwilling to wait out a possible citywide Greenlight vote on the
project.
“I’m a small-business owner,” said David Wilson on Friday, “not a big
developer like the Irvine Co. with years and years to wait.”
Wilson added that it would probably take him five years and an
investment of $15 million to $20 million to open shop in the city.
“What strikes me [as] silly is that Newport is built-out,” he said,
adding that he couldn’t find land for a car dealership, either. “I don’t
know why they’d need a slow-growth initiative now.”
Wilson’s decision plays out the bleak scenario Greenlight opponents
painted during last fall’s election, when the measure passed
overwhelmingly.
The new law requires a citywide vote on any development that allows an
increase of more than 100 peak-hour car trips or dwelling units, or
40,000 square feet more than the general plan allowance.
“It’s discouraging to me,” said Wilson, who also owns South Coast
Toyota in Costa Mesa and Tustin Lexus.
Now, however, Greenlight opponents are saying not many business owners
seemed discouraged by the law so far.
“I have just heard the opposite,” said Richard Luehrs, the president
and chief executive of the Newport Harbor Chamber of Commerce, adding
that he’d talked to developers who wanted to test Greenlight and move
their projects through the process.
Luehrs said Wilson’s decision disappointed him, adding that the
chamber -- one of the main Greenlight opponents -- had predicted such
actions by business owners last year.
But missing out on tax revenues from a car dealership should concern
council members, Luehrs said, adding that he’d like to talk to Wilson to
see if he could convince him to reconsider.
Some on the council said that losing out on business was a reality the
city had to face.
“Ultimately, [Greenlight] is likely to have an economic impact on us,”
Councilman Steve Bromberg said. “It’s unfortunate that this is something
we’re going to have to deal with, and there’s not a lot we can do about
it.”
Others said Wilson’s decision didn’t have them concerned at all.
“I would think that they have a good chance of getting through the
process,” said Councilman Dennis O’Neil, adding that it wasn’t even clear
if the car dealer would have to face a citywide vote.
“The Greenlight initiative was wrong in my opinion,” O’Neil said. “I
did not support it, and it’s not necessary. But now that it’s the law,
I’m going to comply with it. . . . I will enforce it. It’s not within my
jurisdiction to debate.”
Other developers with Greenlight-sized projects before the city said
they hadn’t decided on how to proceed.
Tim Strader, one of the partners in the 250,000-square-foot Koll
Center expansion project, said he’d have a better idea on what’s going to
happen at the end of the month.
Tim Quinn, the project manager for the Newport Dunes Resort, said he’s
been too busy building a $40-million hotel in San Diego to really
consider the future of his 581,000-square-foot expansion project in
Newport Beach.
By eliminating about 26,000 square feet, the Dunes could avoid a
Greenlight vote.
Officials for Conexant Systems Inc. said they’d put plans for a
566,000-square-foot expansion on hold for the moment while focusing on
business initiatives. Lisa Briggs, a company spokeswoman, added that the
chip maker has managed to secure more office space on its current campus
in the meantime.
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