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Thursday, Mar 28, 2024

Walmart Rolling Forward After Favorable Ruling

Now that a state appeals court has reversed a lower court ruling that delayed a Walmart in Burbank, the city is proceeding with street improvements that were a key issue in the case. The city will add more lanes to critical intersections surrounding the Empire Center – one of its busiest shopping centers where the Walmart will occupy the site of a long-closed store. “We’re definitely complying with the judges’ order and reviewing environmental documents to make sure we’re in compliance,” said Drew Sugars, city spokesman. The Second District Court of Appeal in a 40-page decision released April 14 ruled that the city had not implemented traffic mitigations that were required due to the growth of the Empire Center. But it also found that that fact alone was no reason to rescind the Wal-Mart Stores Inc. building permits. “At the time the city was reviewing the Empire Center development project – which was plainly envisioned as a broad-based retail destination – everyone from public officials to the general public recognized that retailers such as Walmart might operate in the overall retail area,” the ruling stated. The Bentonville, Ark. retailer plans to open a 143,000-square-foot superstore featuring a full grocery section at the site of a closed Great Indoors store. It would employ about 300 workers. Three residents filed the lawsuit in 2012, claiming the city violated the California Environmental Quality Act by not making promised street improvements around the power center. The opponents noted these improvements were required as part of the approval of the shopping center in 2001. The suit was handled by Los Angeles attorney Gideon Kracov, who represented a group called Burbank Residents Allied for a Vibrant Economy at earlier City Council hearings on the issue. He also has represented the United Food and Commercial Workers Union Local 770 and opponents of Walmart stores proposed for downtown Los Angeles and Torrance. Labor groups contend that the chain’s low-priced groceries are predicated on low-wage employees and take away business from traditional supermarkets with union workers. Kracov would not disclose whether he would be filing an appeal, which would be due May 26 before the California Supreme Court. But he did say he was pleased the appeals court ruled that the city should make the necessary street improvements. “This is a victory for quality of life in Burbank,” he said. “This decision upholds the principles of accountability and demands the city remain consistent with its own environmental protection measures for projects like the Walmart superstore, whether it opens or not.” Presuming an appeal does not put the store on hold again, there still are some legal hurdles for the project. The appellate court remanded the case back to the Los Angeles Superior Court to issue a new judgment finding that the store is an appropriate use for the property at 1301 N. Victory Place and would not require a variance for its parking needs. Sugars said the city hopes to begin street improvements before construction on the project is complete. They include adding more lanes at the intersections of Buena Vista Street at Victory Boulevard and at Empire Avenue, with the City Council expected to vote on the precise work plan in the next few months. “We’re not thumping out there next week with jackhammers or anything,” Sugars said. “But we would hope in the next few months or certainly this calendar year that construction will begin.” Walmart purchased the building in 2012 from Sears Holdings Corp. –operator of the now defunct Great Indoors chain – as part of its strategy to expand its footprint in Los Angeles County. There are about a dozen Walmart’s open in the greater Valley, with the closest locations to Burbank nearly 10 miles away in Panorama City and Altadena. Walmart was in the process of beginning work on the store’s interior when the initial court decision halted work in 2012. The store originally was supposed to open in January 2013. Company spokeswoman Delia Garcia declined to comment on when work would resume or the new target opening date. “We’re pleased with the appeal court’s ruling validating that the permits initially granted for the Burbank store were done so properly,” Garcia wrote in an email statement. “We’re excited to move one step closer to eventually opening a new store to serve our customers in Burbank and the surrounding communities.”

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