Agoura Project OK Paves Way For 101 Repair

Agoura Project OK Paves Way For 101 Repair By SHELLY GARCIA Senior Reporter The fix is in. With the approval of J.H. Snyder Co.’s plans for an $80-million, mixed use development, Agoura Hills will finally get the freeway interchange repairs the city has needed for years. Snyder’s proposal to develop about 38 acres north of the Ventura (101) Freeway along Canwood Street east of Kanan Road includes $5 million to $6 million that will be used to realign Canwood Street. The step is one of several necessary in order to widen the Kanan interchange, typically so congested it has snarled traffic in the area for years. Snyder’s proposed portion is just a fraction of the $21 million needed for the interchange repairs. Agoura Hills will throw in another $5 million of its own money for the project, allowing it to collect matching MTA funds and cover the entire project. “We couldn’t do it at this time if Snyder hadn’t come along,” said Greg Ramirez, Agoura Hills assistant city manager. “Maybe years down the road, if we were able to save up enough money.” Agoura Hills officials had hoped to generate enough revenue for the repairs from a proposed retail development anchored by Home Depot. But in March, Agoura Hills voters passed a measure that effectively blocked the Home Depot project. Instead, city officials dug into about $5 million it had set aside, much of it previously intended for recreation programs. “We’ve been evaluating different financial possibilities to finance this interchange,” Ramirez said. “At the time we approved the last budget, we had funds available and we, as a staff, recommended we set the funds aside (for the roadway improvements). By and large, this is the No. 1 project that needs to happen.” Under the terms of the agreement, Snyder will acquire the needed land and re-build Canwood Street north of its current location. The changes will eliminate the need for one of the traffic lights that have been a significant source of congestion. Snyder is also moving the utility poles underground, removing billboards and buying out and tearing down an existing Denny’s restaurant to clear the path along the new roadway. “It will make it flow a lot easier,” Ramirez said, noting that the design was developed and approved by Caltrans. City officials will solicit bids for the construction of the new off-ramps on both the northbound and southbound sides of the freeway. Agoura Hills city officials had projected annual sales tax revenues of $700,000 from a Home Depot project proposed on freeway frontage along Agoura Road by Selleck Development Group, funding it planned to use for the freeway improvements. With that as seed money, city officials hoped they could repair not only the Kanan interchange but also the Reyes Adobe interchange and still have funding available for recreation programs on their wish list. But the passage of Measure H placed a 60,000-square-foot cap on any new retail establishments. Selleck is now repositioning its development plans, and city officials had to re-think their spending priorities, using most of their nest egg for the most crucial roadway repairs. Snyder first proposed office buildings on the Canwood site about a year and a half ago. But as the office rental market began its decline, the developer repositioned the project. Oak Creek, as it is called, will be comprised of 24 townhouse-like buildings with 336 one- and two-bedroom apartments. Rather than a flat grade, the residences will be built on a hillside with walkways and gardens. Inside, each unit will have washers and dryers and other amenities. “They’re going to be very high end,” said Cliff Goldstein, partner at Snyder Co. Goldstein said it was too early to determine the leasing rates, which will depend somewhat on what happens to home prices in the coming year. Agoura Hills currently has only a handful of mostly small apartment complexes. Oak Creek will likely accommodate between 800 and 1,200 residents. “They’re providing opportunities for housing and they’re helping to pay for the interchange improvements,” said Mike Kamino, director of planning for the city of Agoura Hills. The office portion of the development will consist of two buildings totaling 85,000 square feet. Snyder officials said they will likely build the first building on a speculative basis and delay the start of construction on the second building until they have secured a major tenant. While the soft office market is somewhat troubling, the size of Oak Creek’s office segment makes it less risky, Goldstein said. “We’re building a modest amount of office space,” Goldstein said. “If you wait until times are great, then by the time you complete the project times will be bad.” Nevertheless, Goldstein said the company will focus first on the residential portion of the development and on securing restaurant tenants, because that is where the market is strongest. The company expects to begin shortly and to complete the development by September 2003.