SCV Business Journal August 2016

Canyon Country · Newhall · Saugus · Valencia · Stevenson Ranch · Castaic · Agua Dulce

Santa Clarita Valley Business Journal Santa Clarita’s Only Business Publication

$4.50 · Volume 8 · Number 4

www.scvbj.com

august 2016

Behind the Cover SCVBJ – National news group gives the Santa Clarita Valley Business Journal a first place award for business coverage Scorpion – Snags new building, keeping headquarters and jobs in Santa Clarita Hotel – The Oliver Hotel Group LLC acquired nearly 4 acres of land to build a hotel next to the Hyatt Regency Retail Center – Valencia shopping center sold for $58 million MannKind – The biomedical device maker is working on turning around a wrecked deal with a new strategy Minimum Wage – How one company is countering the rising minimum wage Jeeps – Local enthusiasts turned “Jeeping” into profitable manufacturing businesses Wine Industry – Los Angeles County vintners still waiting for the end of a two-tiered system Water - The management association for the Valencia Commerce Center and CLWA strike a deal Pranks –Massachusetts Institute of Technology (MIT) is known for its epic pranks and this former student tells all

Multigenerational Family-Operated Manufacturing Companies Page 5: By Paul Parcellin

■ Left to right: John Angelastro, Cinde Angelastro, Sarah Hunt, Sandy Cummins, Mason Hunt, Josh Carter, John Reynolds in sPod’s Valencia assembly facility and offices. Photo by Katharine Lotze.

Fiber Optic and Data Center Firm to Help Build High-Speed Internet Highway in Santa Clarita

■ Wilcon has signed a 10-year deal with the city of Santa Clarita to lease unused fiber optic cables. It plans to invest in helping to build a high-speed internet highway in Santa Clarita bringing more 21st Century technology to businesses. Above, The Valencia Industrial Center, Santa Clarita’s oldest business park. Photo by Dan Watson.

By Jana Adkins SCVBJ Editor

F

iber optic connections to the highspeed internet highway may be coming to your business in the near future, based on a deal the city of Santa Clarita inked with Los Angeles-based internet service provider, Wilcon, on June 28.

Wilcon is fronting the investment to build out the infrastructure, said an executive with the fiber optic and data center connections provider. It will pay for the cost to build the infrastructure, said Glenn Nieves, general counsel and vice president of government affairs for Wilcon.

Wilcon is one of the largest fiber optic networks in Southern California, with the most dense fiber and interconnection infrastructure in downtown Los Angeles. It delivers fiber and ultra-broadband services for businesses, wireless carriers, and other communications service providers, as well as owns and operates leading data center and carrier-neutral facilities in downtown Los Angeles, including its key hub at One Wilshire where several entities operate out of a single location.

“Our agreement with Santa Clarita potentially opens up the (high-speed internet) highway for Santa Clarita as well for See FIBER OPTIC, page 11

Q2 Solutions Names Valencia as Top U.S. Laboratory Site New jobs will be a mix of scientific, medical and lab operations staff

 Quest Diagnostics on Tourney Road; one of two Quest facilities in Santa Clarita. With some 44,000 employees nationally. Quest serves one in three Americans and half the physicians and hospitals in the United States. Photo by Jana Adkins

By Paul Parcellin SCVBJ Writer

V

alencia has been chosen as the national flagship location for Q2 Solutions, a clinical trial laboratory jointly owned by research giant Quintiles and lab services provider Quest Diagnostics.

Launched in July of last year, Q2 Solutions (pronounced “Q Squared Solutions”) maintains a large laboratory network focused on helping pharmaceutical companies find more specific treatments for diseases. The company currently shares space

with Quest’s two Santa Clarita facilities.

Q2 Solutions CEO Costa Panagos says that he and other management personnel have been looking for key talent to hire in Valencia.

“We will continue to do that in the short- and medium-term, and will obviously evaluate where we are as a business and meet our staffing needs accordingly in the years to come.”

New jobs will be a mix of scientific, medical as well as traditional laboratory operations staff.

“In key areas, such as molecular testing and flow cytometry, we will have the more See QUEST page 18

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SANTA CLARITA VALLEY BUSINESS JOURNAL

5

Canyon Country · Newhall · Saugus · Valencia · Stevenson Ranch · Castaic · Agua Dulce

Santa Clarita Valley Business Journal Santa Clarita’s Only Business Publication www.scvbj.com

$4.50 · Volume 8 · Number 4

august 2016

18

Cover Multigenerational Family Operated Manufacturing Companies Fiber Optic and Data Center Firm to Build High-Speed Internet Highway in Santa Clarita Q2 Solutions Names Valencia as Top U.S. Laboratory Site

Editorial SCVBJ Editor

Jana Adkins jana@signalscv.com 661-287-5599

Features

Advertising

Multigenerational Family Operated Manufacturing Companies. . . . . . . . . . . . . . 7

661-287-5564

Jeep Enthusiasts Start Their Own Manufacturing Firms. . . . . . . . . . . . . . . . 11

Advertising Director

Valencia retail shopping center sells for $58 million . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13

Steve Nakutin snakutin@signalscv.com

Santa Clarita Valley Business Journal Wins National Award.. . . . . . . . . . . . . . . 13

661-287-5561

4-Acre Property Sold to the Oliver Hotel Group. . . . . . . . . . . . . . . . . . . . . . . . . 14

Major and National Accounts -

Accurate Freight Leases More Warehouse Space. . . . . . . . . . . . . . . . . . . 14

Maureen Daniels

Marketing Director maureen@signalscv.com

Valencia industrial complex sold. . . . . . . 14

661-287-5566

Countering Minimum Wage Increases

by Investing in Employees Group. . . . . . 15

Multi-Media Account Executives

Wine makers still waiting for county rules to be updated . . . . . . . . . . . . . . . . . . . . . . 16 Large Industrial Park Steps Up to Save H2o . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16

Dawn Begley Toni Sims Monica Jaffe

Holistic Pet Food Company Leases Larger Space. . . . . . . . . . . . . . . . . . . . . . . . . . 16

Administrative Assistant

MannKind Launches New Campaign to Promote Its Inhalable Insulin . . . . . . . . . . . . 18

Courtney Briley

County Eyes Prospect for Business Park Development. . . . . . . . . . . . . . . . . . . . . . 20

Circulation

Scorpion Lands New HQ; Keeps Jobs Local . . . . . . . . . . . . . . . . . . . . . . . . 21

■ MannKind CEO Matthew Pfeffer, left, meets with scientists Colleen Schweitzer, center, and Victor Tam in the lab at MannKind in Valencia. Photo by Dan Watson.

From Aerospace Engineer to Life as a Spy. . 22

From the Editor

SCV Business Services

Welcome to August, where in this edition we update you on several pending stories such as what the city’s fiber optic lease with Wilcon means for local companies, and to where vintners stand with regards to county regulations.

And we also share with you how one local company is managing minimum wage increases; to the story of an entire business park striking a deal to save massive amounts of water; and update you on the plans of a biomedical company to re-boot and re-launch its medical device.

There have also been several commercial

The List – Auto Dealerships. . . . . . . . . . . 23 Appointments . . . . . . . . . . . . . . . . . . . . . 24 Walter Schrey’s Death Leaves a Family Legacy and 2 Manufacturing Firms . . . . . 24 Column: Real Clear Business Advice. . . . 24 How the $15/Hour Minimum Wage Law Might Apply to Your Business. . . . . . . . . . . . 25 SCV Chamber of Commerce. . . . . . . . . . 25 SCVEDC. . . . . . . . . . . . . . . . . . . . . . . . . 26 VIA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27

Real Estate Section Commercial Real Estate. . . . . . . . . . . . . . . . . 28

real estate transactions, and possibly a big project slated for the future. Lastly, but most interesting, we profile several multigenerational manufacturing businesses that beat the odds of doing business in California – daily.

■ MIT graduate Steve Altes demonstrates the skill he perfected with his classmates of lock picking. Photo by Dan Watson.

Pam Conley 661-287-5580 Art/Production Graphic Design Supervisor

Deborah Runions Photographers

Daniel Watson Katharine Lotze Executive Staff

Jana Adkins SCVBJ Editor jana@signalscv.com

Publisher

Charles F. Champion II cchampion@signalscv.com 661-287-5578

Residential Real Estate. . . . . . . . . . . . . . . . . . 30

22

Circulation Manager

Index of Products and Services

Assistant to the Publisher

America Family Funding. . 24Brookfield

Poole Shaffery . . . . . . . . . . . . . . . . . . 20

Vice President and Editor

Residential. . . . . . . . . . . . . . . . . . . . . . 6

Randall G. Winter Construction. . . . 30

Jason Schaff

Colliers International. . . . . . . . . . . . . 30

SCVEDC . . . . . . . . . . . . . . . . . . . . . 12

jason@signalscv.com

Corporate Strategies. . . . . . . . . . . . . . 15

SCVEDC: Casey Kirkman. . . . . . . . 19

Exclusive Service Directory Group. . . . 30

SCVEDC: Mike Shepperd . . . . . . . . 19

Hyatt Regency Valencia. . . . . . . . . . . . 4

SCVEDC: Helen Han. . . . . . . . . . . . 20

JD Systems. . . . . . . . . . . . . . . . . . . . . . 6

SCVEDC: Gary Saenger. . . . . . . . . . 20

LBW Insurance Financial Services. . . . 13

SCV iRepair . . . . . . . . . . . . . . . . . . . 14

Mission Valley Bank . . . . . . . . . . . . . 20

Valencia Acura. . . . . . . . . . . . . . . . . . 18

Santa Clarita Valley Business Journal (a Signal publication), © 2015, is published monthly by the Santa Clarita Valley Signal newspaper, a Paladin Multimedia company, 24000 Creekside Rd., Santa Clarita, Ca. 91355. The SCV Business Journal is intended to provide business executives with a cross-section of industry news and information, trends and statistics that impact our growing community. Information gathered in the pages of the SCV Business Journal has been collected from what is considered reliable sources, and is believed to be accurate, but cannot be guaranteed. Articles may not be reprinted without publisher’s written permission. For reprint requests, please call 661-259-1234.

Ethel Nakutin

661-287-5515

Online www.scvbj.com

A PROUD PUBLICATION OF

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AUGUST 2016

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SPECIAL REPORT

Santa Clarita Manufacturing: Multigenerational Firms

 Ivy Hirth programs the CNC mill/turn machine at Hirth Machining in Valencia. Photo by Dan Watson.

 Switchboards await assembly at sPOD’s facility in Valencia. Photo by Katharine Lotze.

 Josh Carter tests merchandise before it is shipped out from sPOD’s Valencia facility. Photo

by Katharine Lotze.

 Zach Rice sews buckles to webbing at Safari Straps. Photo by Dan Watson.

By Paul Parcellin SCVBJ Writer

I

n this edition, we profile six Santa Clarita manufacturing firms that have not only survived, they have managed to hand the firms down through generations of family members – from fathers to daughters and fathers to sons. These multigenerational, family-owned and operated firms are small businesses that have all helped keep the economic wheels turning in the manufacturing industry.

While manufacturing slipped from the grasp of the American landscape over the decades, innovations have also helped to keep it alive in this country. And although industry studies give California’s business climate poor grades, these small businesses have managed to support two or more generations of family members while keeping the art of manufacturing alive.

Despite the fact that California consistently receives poor grades for the high cost of doing business – everything from increasing minimum wages to what some

manufacturers refer to as over-regulation in the state – there are benefits to manufacturing in California. These firms are living proof.

According to the 2016 Manufacturing & Logistics Report Card, conducted by Conexus Indiana for the Ball State University Center for Business and Economic Research, a robust logistics industry for the movement of goods is key to the manufacturing industry. In that regard, California ranks well for its logistics industry with its existing or planned transportation networks of roads, railroads, waterways, ports, and airports. Santa Clarita sits in the nexus of all of these networks.

One area measured in the report is access to skilled labor, noting they are the source of most innovation and process improvements. Today’s machine shops are highly technical and complex, and they are dependent on workers with the ability to work with increasingly complex production processes and managed mostly by computers and specialized software.

Finding or developing a qualified workforce is perhaps

even more accessible to manufacturers in Santa Clarita – located in Los Angeles County, the heart of the aerospace industry. For one, a highly educated workforce exists in Santa Clarita, with 54 percent of the residents having at least a 4-year college degree. But as manufacturing technology evolves, the College of the Canyons has operated a number of training programs for local firms offering a CNC Machinist training program, lean manufacturing, and engineering and manufacturing programs, among others.

Where the state excelled, according to the study, was in the area of productivity and innovation. California was only one of six states in the country to receive an A grade in this category. But California doesn’t just have Silicon Valley – Santa Clarita is home to the invention of the 3D printer.

We invite readers to enjoy the profiles of these local multigenerational families – and think of them first when in need of a new innovation or product to be manufactured. 

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SANTA CLARITA VALLEY BUSINESS JOURNAL

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SPECIAL REPORT

Multigenerational Family-Operated Manufacturing Companies

 Al Hirth with daughter Ivy and granddaughter Raven at Hirth Machining in Valencia. Photo

by Dan Watson.

Al Hirth Machining Inc.

 Joe Howton, Vickie Howton, Lacey Masoner, Brian Gruhlke, Danielle Gruhlke, and Jeremy Howton stand in their family business, Advanced Technology Machining, in Valencia. Photo

by Katharine Lotze.

Advanced Technology Machining/TECC Grinding

Owner’s Name: Ivy Hirth Year Firm Began: 1980, as Fraser Industries Founded By: Tom Fraser. Al Hirth, Ivy’s father, purchased the company in 1996.

Founder’s relationship to you: No relation How Many Generations: Two How many Employees: Six How Many Family Members are Employees: None others presently.

Annual Gross Earnings: $500,000 to $600,000 Brief Description of Business: The company performs high-precision, short-production-run machining and manufacturing of parts for the Department of Defense, the aerospace industry, and other kinds of businesses.

Owner’s Name: Joseph Howton, Vice President, Advanced Tech, President, TECC Grinding Year Firm Began: 1987 Founded By: Joseph Howton Founder’s relationship to you: He is the founder.

How Many Generations: Two How many Employees: 28 at Advanced Technology Machining, 5 at TECC Grinding How Many Family Members are Employees: Advanced Technology Machining: wife Vickie Howton, daughter Lacey Masoner, son-in-law Brian Gruhlke. TECC Grinding: son Jeremy Howton, daughter Danielle Gruhlke.

Annual Gross Earnings: Both companies, approximately $5.5 million Brief Description of Business: Advanced Technology Machining is an aerospace manufacturer of precision parts. TECC Grinding does precision cylindrical grinding for the aerospace and other industries.

 Al Hirth and daughter, Ivy in the workshop at Hirth Machining in Valencia. Photo by Dan Watson.

 Quality Control Manager Jen Sherman, left, and Ivy Hirth discuss an aluminum mounting plate made in the workshop at Hirth Machining in Valencia. Photo by Dan Watson.

 Joe Howton, Vickie Howton, Lacey Masoner, Brian Gruhlke, Danielle Gruhlke, and Jeremy Howton stand in their family business, Advanced Technology Machining, in Valencia. Photo

by Katharine Lotze.

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SPECIAL REPORT

Multigenerational Family-Operated Manufacturing Companies

 Roger and Chad Hess of marathon Industries. Photo by Dan Watson.

 John Angelastro, right, pulls grandson Mason, 1, on a pallet mover in sPOD’s Valencia facility.

Photo by Katharine Lotze.

Marathon Industries

Precision Designs, doing business as sPOD

Owner’s Name: Chad Hess, President, CEO; Roger Hess, Chairman

Owner’s Name: John Angelastro, Cinde Angelastro

Year Firm Began: Purchased Satellite Truck Body in 1993, and changed the company name to Marathon Industries.

Year Firm Began: 2006

Founded By: Roger Hess

Founder’s relationship to you: They are the founders

Founder’s relationship to you: Father

How Many Generations: First generation

How Many Generations: Two

How many Employees: Six

How many Employees: 165 How Many Family Members are Employees: Father, Roger Hess; sister, Stacy Sabine

How Many Family Members are Employees: Sson Josh Carter, daughter Sarah Hunt, John’s cousin John Reynolds, Cinde’s sister-in-law Sandy Cummins .

Annual Gross Earnings: $30 million range

Annual Gross Earnings: Just over $2 million last year

Brief Description of Business: Manufacture, distribute and repair all kinds of truck bodies and truck equipment.

Brief Description of Business: Manufacturers of power distribution systems for automobiles, RVs and other motored vehicles.

Founded By: John Angelastro, Cinde Angelastro

 Josh Carter tests merchandise as Cinde Angelastro, right, looks on while holding grandson Mason, 1, at sPOD’s Valencia facility. Photo by Katharine Lotze.

 Roger and Chad Hess in the manufacturing area of Marathon Industries. Photo by Dan Watson.

 Sandy Cummins, left, and Cinde Angelastro, right, pack up merchandise to be shipped at sPOD in Valencia. Photo by Katharine Lotze.

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SPECIAL REPORT

Multigenerational Family-Operated Manufacturing Companies

 From left, Maral, Kevin and Hatch Antablian at Safari Straps in Valencia. Photo by Dan Watson.

 Family members from left, Terry Decker, Jr. Terry Decker, Brenda Spradlin, and Freda Decker in the Luran Inc. machine shop. Photo by Dan Watson.

Safari Straps Inc.

Luran Inc.

Owner’s Name: Maral Antablian

Owner’s Name: T.J. (Terry) Decker, CEO, President

Year Firm Began: 2009

Year Firm Began: 1970

Founded By: Maral and Hatch Antablian Founder’s relationship to you: Maral and Hatch Antablian are the founders.

Founded By: Charles Decker, Terry Decker, Sr. Founder’s relationship to you: Grandfather and father

How Many Generations: First generation

How Many Generations: Three

How many Employees: Four

How many Employees: 20

How Many Family Members are Employees: Husband, Hatch Antablian, and son Kevin Antablian.

How Many Family Members are Employees: Father, Terry Decker, Sr.; Terry Decker, Jr.; mother, Freda Decker; sister, Brenda Spradlin

Annual Gross Earnings: Declined to state Brief Description of Business: Manufacturers of webbing products, including Jeep nets. The netting is designed to secure cargo in Jeeps, especially when traveling with the top down.

Annual Gross Earnings: $2.2 million Brief Description of Business: They manufacture precision metal parts and minor assemblies for the aerospace industry.

 From left, Maral, Kevin and Hatch Antablian lay out a cargo net at Safari Straps in Valencia. Phloto

by Dan Watson.

 Kevin Antablian uses a hot glue gun on a cargo net in the work shop of Safari Straps in Valencia.

Photo by Dan Watson.

 Terry Decker, seated is pushed by Terry Decker Jr. Freda Decker, left, and Brenda Spradlin follow in the Luran Inc. machine shop. Photo by Dan Watson.

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SANTA CLARITA VALLEY BUSINESS JOURNAL

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Jeep Enthusiasts Start Their Own Manufacturing Firms

Safari Straps Nets a A Hobby Leads to a Profit by Holding Your Business for Electrical Gear in Place Engineer and Kin

By Paul Parcellin SCVBJ Writer

W

hen you’re driving your Jeep on a beautiful day, it’s a shame not to be able to put the top down and enjoy the fresh air and sunshine. But if your vehicle is filled with cargo, you might think twice.

Maral and Hatch Antablian are local Jeep enthusiasts who came up with a simple idea that makes it safe to soak up some rays while keeping your cargo in place: barrier nets for Jeeps.

If you don’t do much off-road driving, this might seem like a trivial concern, but consider this scenario: You’re motoring along the trails and all of your gear is in the back. You stop suddenly, or you drive onto a trail with a steep downward pitch. All of the stuff in the back comes flying forward – you take a sleeping bag to the head and the Coleman stove lands in your passenger’s lap.

A lot of campers probably wondered why someone hadn’t figured out a way to fix that.

So did the Antablians, and they did something about it.

Enjoying the Outdoors Together The story of Safari Straps Inc. begins with a family camping trip. The Antablians like to spend time outdoors. They used to ride dirt bikes and quads – motorcycles with four large tires. Their son, Kevin, had an accident and he was unable to ride anymore, so they searched for another kind of off-road vehicle that the family could enjoy together. They were out camping one day and met up with some friends who were “Jeeping,” as gettogethers among Jeep owners are known.

The Antablians went out with them for the day. Hatch had already been initiated into the off-road culture – he used to Jeep back in the 1970s and 80s.

“When he found out what the new Jeeps could do, he kind of got the bug again,” says Maral.

They bought a Jeep and started attending events, although they’ve tapered off in recent years. They traveled to get-togethers as far away as Georgia and Florida and met a lot of people who love the vehicles as well as the social life of Jeeping.

“When we go camping, our vehicle is

usually packed to the gills,” says Maral.

They saw a need for a product that would separate the gear in the back from the passenger compartment to keep passengers safe.

The Company Launches In 2009, they came up with the idea for Jeep nets. They did some research and looked into the materials and machinery needed to begin making a product.

“We kind of played around and came up with the cage net system,” says Maral.

The cage net for Jeeps goes over the roll cage. When you’re out on a nice day and going camping, grocery shopping, moving boxes or even if you have a dog – they sell a lot of them to dog owners – you can have the top down but still have a net around the roll cage so nothing can escape. “When you’re driving down the highway, your hat doesn’t go flying out,” she says.

For the first few years, they made Jeep nets and the different accessories that Jeepers would need, such as tie-down straps. Then they expanded into cargo nets.

Cargo nets are designed for trucking. If you have items on a pallet in the back of your truck, you throw the net over it and tie down the four corners rather than use a ratchet tiedown for every item you want to secure.

Besides commercial use, they can be pressed into service on trailers, roof racks and in the back of a car. The company has made nets for the military, as well as for city, state, local and federal government agencies.

The Future Looks Bright Safari Straps are used across the country, and the Antablians are proud not only of their products but also that they’re strictly a local business.

“Everything we make is made here in Valencia,” she says.

As for the future of Safari Straps, Maral says she hopes the company will do more commercial sales. Now, it’s mostly retail. They sell through their online store and Amazon, as well as through distributors who have both online and brick and mortar stores.

But most importantly, the business is a family endeavor that they’re all involved in.

“The big part is that we work for ourselves, and it’s something that we can build and pass on to our son,” says Maral.. 

 Hatch Antablian, left, and Maral discuss the display of tie downs, door hand straps and pet accessories at Safari Straps in Valencia. Photo by Dan Watson.

By Paul Parcellin SCVBJ Writer

J

ohn and Cinde Angelastro have been Jeep enthusiasts for well over three decades and, with their technical finesse and a penchant for socializing and networking with like-minded folks, have turned their passion into a $2 million business. The company, Precision Designs, does business as sPod. They both like Jeeps, the sturdy vehicles used for street and off-road motoring.

John owned a 1947 “Willys Jeep,” one of the models developed by Willys-Overland for civilian use after World War II, but he sold it and went two years without a Jeep.

Then, he bought a newer modelin 2003.

“That’s when the Jeeps really changed a lot,” he says.

He wanted to add an onboard air compressor to his new Jeep and found out he couldn’t attach it to the electrical system. An electrical engineer by trade, John Angelastro decided to design his own switch panel and fabricate it.

“I installed it in my Jeep and went on my happy way,” he says.

A couple of friends saw what he did and asked, “Where’d you get that switch panel?”

“I said I made it, so they asked me if I could make them a couple. Then more people started asking. I thought, maybe I could sell these.”

had a thing pop up on my PayPal saying I’d made a sale, and that’s how it all started.”

They now ship between 70 and 150 full systems a week throughout the world.

People began asking at their local stores, “Where can I get an sPOD?” But even the shop owners didn’t know where to lay their hands on them.

Avoiding the Big Box Store Route Although many entrepreneurs would jump at the chance to get their products into retail outlets, the Angelastros decided to do things differently. Retailers made offers and John says he was tempted but is glad he resisted. Avoiding the big box stores enables them to work at their own pace and control the quality of their products, he says.

It’s a small, family business, and that’s the way they like it. Their workforce is mostly made up of relatives. Aside from John and Cinde Angelastro, other family employees include their son Josh Carter, their daughter Sarah Hunt, John’s cousin John Reynolds, and Cinde’s sister-in-law Sandy Cummins.

Keeping It Local

Getting It Out There

Being such a close-knit group, it’s no wonder the company has a lot of hometown pride.

“Everything is 100 percent made here in California, down to the PCB, wire harnesses and machine parts,” says Angelastro. He notes that every piece is made within a 60mile radius of the company.

“We want to keep it that way; we don’t want to import. We want to keep the American jobs here.”

All the machine shops that make their equipment are in Santa Clarita. The most distant vendor is a circuit board maker in Simi Valley.

Reflecting on how the enterprise has grown over a relatively short time, Angelastro says,“Our little hobby turned into a very nice business,” and he adds that the company doesn’t owe any investors, to boot. “We did it all on our own and never got ourselves in debt.”

But he’s the first to admit that he couldn’t have done it without help.

“My wife has been the backbone of this operation,” he says. “It’s phenomenal what she does. I’m just the inventor and broom pusher and she does the rest.” 

With their new product in hand, it was time to start a marketing campaign.

“I said if I really want this to work, I’d better start really pounding the pavement and find a way to sell these.”

Essentially, word of mouth drove sales.

There are a lot of Jeep events around the country and they started attending them.

“We show our faces at these events because people like to meet us and see us,” he says.

Like hot rod meets, Jeep gatherings attract a lot of people who are looking for new ideas for their vehicles and asking questions.

Aside from Jeeping events, they decided to get the word out through a website. Angelastro wrote the html code for their site and signed up with PayPal. “We had dinner, and then after dinner I

 John Angelastro removes a cover to reveal one of sPOD’s products installed in a Jeep.

Photo by Katharine Lotze.

Birth of the sPOD He made drawings, had 100 of them made, and was selling one or two a week.

Later, he added improvements, and after a couple of years the product evolved into a complete power distribution center.

The system gives Jeep owners, who are notorious for adding accessories to their vehicles, an easy way to power lighting, welding equipment, air compressors, water pumps, fans and just about anything that runs on a 12 volt current. In addition to Jeeps, the sPOD, as it’s called, can be used with RVs, emergency vehicles, farm equipment, and other vehicles.

You can install it yourself with basic tools – a socket set, a Philips screwdriver and a Torx bit – and it takes less than an hour for the basic setup. More complex jobs can take longer, says Angelastro.

12

SANTA CLARITA VALLEY BUSINESS JOURNAL

AUGUST 2016

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SANTA CLARITA VALLEY BUSINESS JOURNAL

Valencia Retail Shopping Center Sells For $58 Million

By Jana Adkins SCVBJ Editor

A

Valencia shopping center anchored by Ralphs grocery store located on McBean Prkwy. and Decoro Drive sold for $58 million.

The Northpark Village Square retail center includes tenants such as Rite Aid, a branch of Wells Fargo Bank, Starbucks, a Circle-K conve-  Ralphs at Northpark Village Square. Courtesy photo. nience store and a Mobil gas station. A McDonald’s restaudramatically,” said Michelle Schierberl, senior rant sits next door to the property. vice president with Colliers.

After receiving multiple offers, Colliers InSchierberl, along with Senior Vice President ternational sold the property to Oak Brook, Don Ellis, represented TIAA. Matthew Tice, Illinois-based Inland Retail Property Fund LP. senior vice president of Inland Real Estate AcIt’s a newly formed investment fund sponquisitions Inc. advised ICAP. sored by Inland Institutional Capital Partners This Valencia center is the fourth retail cenCorporation. ter this year to be sold in the Santa Clarita ValColliers represented the property owned ley. Creekside Place, home to Barnes & Noble; by a pension fund, but would not disclose the Stevenson Ranch Plaza, with Ralphs, LA Fitidentity the seller.

However, a source familiar with the deal said ness, PetSmart and Stein Mart as tenants, and the property was owned by the teacher’s pen- the Bouquet Center anchored by Vons, CVS sion fund giant Teachers Insurance and Annu- Pharmacy and Ross Dress for Less in Saugus have all sold within the past four months. ity Association (TIAA).

“It’s location in one of L.A. County’s afflu“With both a high-performing Ralph’s groent suburban communities where the average cery and a national chain drug store anchor in place, and with a dwindling supply of such du- annual income is $123,000 within a mile of al-anchor centers available in Southern Califor- the center, only increased interest among invesnia, the center’s attractiveness to investors rose tors,” Ellis said in a statement. 

FIBER OPTIC

Continued from page 1

businesses that are looking to enhance connectivity and have their data get out in an efficient and economical way,” Nieves said.

“We create private networks, and customers have the ability to have unlimited bandwidth and also connect multiple offices in a secure fashion,” he said. “They’ll have access to high speed data.”

Long-term Lease Santa Clarita signed a 10-year agreement leasing the city’s ‘dark fiber’ – excess, but unused, fiber optic cables already installed underground – to Wilcon to allow for long-term investment in the region.

The city’s fiber optic network was gradually installed over 10 years to power city facilities, as well as to interconnect and manage all traffic signals and cameras in Santa Clarita. Installation is required to be placed underground, and because that’s costly, the city had additional fiber optic cable installed to account for growth.

Wilcon has worked with the city before.

It previously used fiber optic connections to provide better cell phone service to carriers in Santa Clarita. Now it is looking at how it can benefit local businesses, according to Benny Ives, a technology specialist with the city of Santa Clarita.

“We’ve had a great relationship with them since we launched a pilot program a few years back,” said Jason Crawford, the city’s economic development manager. “That led to this agreement. We had a great relationship; they delivered everything they told us they would and have been good to work with.”

Firms have service provider choices under the deal as well. Wilcon plans on opening the door to the 21st century for users by building, and making, a high-speed internet highway available to businesses and other service providers alike. A firm can connect directly with

Wilcon or through their own carrier.

“We will not only provide our services to end-user businesses but also provide the ability for other competitive local exchange carriers to use our highway,” Nieves said.

Building the Highway While other internet service providers (ISPs) have looked at the Santa Clarita market, the biggest hurdle has been the construction costs, Nieves said. The infrastructure has to be built; one has to create trenches and dig up the streets. It’s very capital-intensive.

“ISPs don’t have an appetite for big capital expenditures,” Nieves said. “We’ll provide the fiber connections and make our highway available to others.”

Tying into the existing dark fiber and infrastructure that Wilcon already has in place, it becomes much less of a capital expenditure for the firm, he said. It only needs to recoup trenching expenses of a couple 100 feet using the city’s existing fiber.

“A function of that (existing) network is you have more competitive prices. The prices are not necessarily inflated to recoup capital expenditure,” Nieves said. “Once we go into a building, we can provide the services directly to the business. But many times we have other carriers or ISPs that reach out to us for service connections they resell to the end-user.”

The first step, however, is finding out where demand is and what kind of requests come in to Wilcon, he said. From there, the company has the ability to service high-speed data traffic not only in Santa Clarita but also connect firms with multiple locations in or outside of the region.

“We’re looking forward to having a new entrant into the market; especially one that is an L.A.-based company who understands that the business growth of the region is going to be in the Santa Clarita Valley,” said Holly Schroeder, CEO and president of the Santa Clarita Valley Economic Development Corp. “They now have a long term stake in the valley.” 

13

Santa Clarita Valley Business Journal Wins National Award

By SCVBJ Staff

T

he Santa Clarita Valley Business Journal won a first-place national award for its coverage of the business community’s frustration over the lack of high-speed internet infrastructure in the valley.

Competing against news publications from throughout the country, the SCVBJ was awarded a first-place spot by the National Newspaper Association for its series titled “A Disconnected Valley,” which first began in May 2015. The award makes the publication a national journalism award winner for the first time.

A series of stories brought the complaints of many businesses throughout the region to the surface about their inability to access or afford the high-cost of infrastructure connections to high-speed internet services in operating their businesses.

“In this awards competition, the publication went up against other publications from throughout the country,”said Jason Schaff, vice president and editor of Signal Multimedia, which owns the SCVBJ. “This is a big deal.”

Following up in May of this year, the SCVBJ re-visited the topic to see if

conditions for businesses had improved.

They had not. However, many business owners were optimistic that the series had the effect of helping to speed up plans to tackle the problem.

By the end of June, the city of Santa Clarita signed a deal with Los Angelesbased internet service provider Wilcon, providing the firm with a 10-year lease of the city’s ‘dark fiber’ – or excess fiber optic cables - to begin the process of building a high-speed highway of sorts throughout the city at least.

“I’m really proud of the work the Business Journal did on behalf of the Santa Clarita Valley business community,” said Jana Adkins, SCVBJ Editor. “Firms didn’t feel like anyone was listening to them, and they lacked a collective voice. They were hungry for someone to bring the issue to the forefront.”

The series “A Disconnected Valley” also won a statewide award earlier this year from the California Newspaper Association.

The National Newspaper Association awards will be presented Sept. 24, 2016, at the Better Newspaper Contest Awards Breakfast in Franklin, Tennessee. 

14

SANTA CLARITA VALLEY BUSINESS JOURNAL

AUGUST 2016

4-Acre Property Sold to the Oliver Hotel Group

By Jana Adkins SCVBJ Editor

T

he Oliver Hotel Group LLC, developers of the proposed Valencia hotel adjacent to the Hyatt Regency Valencia, purchased the 3.75 acre site from the State Bank of Texas. Brown Nester Hospitality Services represented both the seller and the buyer. The deal closed June 30. Terms of the deal were not disclosed.

The site of the proposed hotel is located off McBean Parkway at Valencia Blvd., where a Sheraton Hotel was once proposed. Development of the hotel hit a snag in June, however, when Santa Clarita’s city council discovered it must officially conclude an appeal that was brought on after the city approved the original Sheraton proposal in 2009.

The appeal called for developers to solicit more community input and return at a future meeting. The Sheraton applicants never returned and the project came to a standstill. The city’s planning commission said a public hearing is needed to end the old project before the city can visit the new hotel project.

As the hotel project proposed by the Oliver Group is different than the Sheraton, city planners recommended the revised project return to the Planning Commission. The Sheraton proposal was for a 136,000 square foot, 88 foot tall, 200 room hotel. The hotel proposed by the San Diego-based hotel developer is a 101,000 square foot, 60 foot tall hotel with 134 rooms. The project also calls for a stand-alone 4,000 square foot restaurant.

Chuck Nester, president of Westlake Village-based Brown

 The Oliver Hotel Group has purchased the land off McBean Parkway, where The Greens restaurant and golf course once operated, for it’s proposed new hotel. Above, a photo showing the neglected property. Photo by Dan Watson.

Nester Hospitality Services brokered the deal. Founded in 1948, the firm is experienced in managing, branding, insuring, and selling hotel properties. It also works with banks holding hotel properties in default.

Accurate Freight Leases More Warehouse Space

“We had a great experience with Chuck Nester,” Sushil Patel, executive vice president, State Bank of Texas, said in a statement. “When confronted with challenges, he was quick to find solutions.” 

Valencia Industrial Complex Sold

By Jana Adkins SCVBJ Editor

A

 Accurate Freight Systems of Valencia purchased the 21,650 square foot building in the Rye Canyon Business Park on Constellation Road. Photo courtesy of NAI Capital

By SCVBJ Staff

A

ccurate Freight Systems of Valencia has leased nearly 22,000 square feet of space in the Rye Canyon Business Park. Located at 28381 Constellation Road, the warehouse also has 1,500 square feet of office space built out, and the property allows for 42 parking spaces. The building was constructed in 2003.

A full-service transportation company,

SCV

Accurate Freight Systems operates with customers locally, regionally and nationwide offering a variety of carrier services, same day pickup and delivery, airfreight, regional distribution, warehousing and fulfillment. It has some 19 employees.

With a ceiling height of 26 feet, the 21,650 square feet warehouse space was formerly the home of amusement company Jump 5150 Trampoline Center. Opened to the public in 2012, it closed early last year. 

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Jones Lang LaSalle Income Property Trust in Chicago acquired the property from Clarion Partners.

The deal closed June 30.

“The portfolio’s prime infill location in close proximity to Interstate 5 should allow us to attract and retain tenants and capture this market’s strong rent growth potential,” Allan Swaringen, CEO and president of JLL Income Property Trust, said in a statement.

Located at 28145 Harrison Parkway, the warehouses total nearly 400,000 square feet of space. The property is 95 percent leased, according to JLL’s filings.

It was funded with cash-on-hand and a $25 million draw on JLL’s line of credit.

“For some time the Santa Clarita Valley has been very attractive for investments; there’s been a lot of investor interest,” said Holly Schroeder, CEO and president of the Santa Clarita Valley Economic Development Corp.

Low vacancy rates in both the Los Angeles and SCV markets have played a factor as well, as demand for space has exceeded supply.

“And within the L.A. market, Santa Clarita is attractive to investors because of its master planned business parks and the high quality of the industrial buildings,” Schroeder said.  This story first broke in The Signal July 19, but has been updated with more information here.

 A five-building; multi-tenant warehouse property - dubbed the Valencia Industrial Portfolio - was acquired by JLL Income Property Trust on June 30 for $64.5 million.

Photo courtesy of JLL; multi-tenant warehouse property.

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SANTA CLARITA VALLEY BUSINESS JOURNAL

15

Countering Minimum Wage Increases by Investing in Employee Development

By Jana Adkins SCVBJ Editor

F

acing increasing minimum wages for hundreds of employees, one Valencia company took a step back and won-

dered how it would survive; how it could possibly manage the rising costs.

“We’re in the service business. Our revenue comes from labor output. We don’t have goods to sell,” said Ken Wiseman, co-owner of AMS Fulfillment. The company is a fullservice order fulfillment firm operating as a third-party resource for orders and warehouse management as well as fulfillment. AMS also leases space in several warehouses around the Santa Clarita Valley to accommodate the entire inventory they hold for customers.

“It’s one thing to sit and cry about spilled milk or move your business out of state, but we enjoy having our business here in Santa Clarita,” Wiseman said. “So then you ask yourself, ‘How do we make this work for us?’” The solution was to get creative and, as a result, help develop a strong workforce.

 In light of the increase in minimum wage, AMS Fulfillment of Valencia decided if they would be paying employees more – they wanted to invest more in their training and career development. AMS is now offering employees training in classes like Lean Manufacturing, Six Sigma English as a Second Language, Excel and more. AMS Courtesy photo.

Smarter about hiring “We said if we’re going to be paying more for positions, we’d better be smarter about the recruiting process,” he said.

“We hired a talent acquisition manager and then identified all the resource groups in the community that we felt were working aggressively to make placements of individuals who wanted to get into the workforce, who were motivated.”

AMS’s plan of attack was a multi-tiered approach. They identified all the organizations that placed unemployed, at risk, or disadvantaged workers, and those who just plain hit a bad patch in life and needed to be able to turn their life around.

The firm vetted potential employees carefully and got to know about them thoroughly, Wiseman said, because they wanted people who would become their partners. They next identified all of the placement programs that helped subsidize employee wages through various periods of employment.

However, this plan of attack was not short-term, nor shortsighted. AMS also looked at how they could reinvest in their workforce through training and development to make stronger employees. Together Wiseman and his partner, Jay Catlinm worked with a number of employee training programs – many offered by College of the Canyons, and many subsidized through grants to keep cost down for the business.

Employee training AMS began offering educational and training classes at night on topics ranging from learning Excel, English as a Second Language, up to lean management and Six Sigma courses.

In some cases, there was no expense to the company to provide the training. In other cases, the firm was able to offer a Six Sigma course costing $2,500 per person – for only $250 per person with the help of the college. Already 18 employees have gone through the latter class, Wiseman said. The employees work all day and attend schooling two nights a week in classes AMS has set up at its facilities.

“Everyone is so energized by it. Thirty-three employees showed up to register for the first semester of classes. They’re now starting their second semester without even a week’s break,” he said. “So, we showed up with pizzas and sodas one

night for everyone. The students said they wanted to get their scores first before getting pizza.”

Investing in their employees not only increases skill sets – the company has invested in more automation – but it also boosts their confidence and helps them move up in their career. The end result is that AMS has a highly productive and motivated workforce with employees who are happy for the opportunities to advance. The company also lets its employees “try out a job” to see if they like it, without the risk of losing their job if it doesn’t work out, Wiseman said.

“We want the word out in the community that when you work here, you can get promoted in three or six months, or even go elsewhere and be more marketable,” Wiseman said.

“We believe it’s a partnership with the community and we should be doing both. We see that as our mission.” 

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Investment in future “The more people feel you’re part of their career path, that you’ve taken an active interest in it, the more of an interest they take in the success of the company,” he said.

Neither Wiseman nor Catlin worries about training employees only to have them move on to jobs with other companies in the Santa Clarita Valley. He said they believe that if they give people the skills that allow them to move on to one of these aeronautical or medical companies perhaps making $5 more an hour, that’s a success for the employee and for their company. It only helps AMS “attract more good folks,” he said.

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SANTA CLARITA VALLEY BUSINESS JOURNAL

AUGUST 2016

Wine Makers Still Waiting for County Rules to be Updated

By Jana Adkins SCVBJ Editor

S

anta Clarita wine makers had hoped the rules for making wine would be updated by now that would allow them to compete with other regions in the state. However, the proposed changes are still squeezing their way through the review process by the Los Angeles County’s Office of County Counsel. The office provides advice and counsel to the Board of Supervisors on any ordinance change.

While California has been a major player in the wine market worldwide, wine makers in Los Angeles County have been held back by what they call “archaic,” decades-old rules that classify wine crush facilities as food processing plants. The classification imposes very expensive, undue regulations, the wine makers say, who have been lobbying for change for the better part of a decade.

“When food is stored incorrectly, it can sicken people,” Steven Hemmert with Stephen Hemmert Wines told the SCVBJ in March. “But, wine is one of the oldest products in the world. When it goes bad, it just turns to vinegar.”

The county’s health department, Environmental Health Services, is working diligently on seeing that revisions are made to the county requirements, said an official, and

is committed to seeing the proposed changes through the end, said Environmental Health Services Manager, Freddie Agyin. Unfortunately the county counsel’s review process can take anywhere from one to six months, he said.

“Our goal is to expedite as quickly as possible,” Agyin said. “We’re working with the industry and staying in touch with industry people. I called Juan Alonso (Alonso Family Vineyards) and connected with him.”

After a decade of complaining, a loosely formed group of Santa Clarita Valley vintners lobbied the county again in 2014 and finally got a receptive audience when they met with Agyin, they said. His department has worked with the wine makers since then to improve regulations for the winemaking industry. But, he said, it doesn’t have any control over the county counsel process.

While details of the proposed rule changes haven’t been made public yet, the basic change involves ending a two-tiered system that has been in place for decades whereby breweries and wineries are regulated differently despite both involving alcoholic beverages. The county agency has decided a winery should be no different.

When the counsel does recommend the rule changes to the Board of Supervisors, however, it usually takes 30 days to approve a change, Agyin said. “But we’re confident it will be approved.” 

Large Industrial Park Steps Up to Save H2o

By Jana Adkins SCVBJ Editor

T

hree parties working behind the scenes for the better part of a year brokered a deal to save water on a giant scale when the Castaic Lake Water Association (CLWA), Valencia Commerce Center Association, and the Santa Clarita Valley Economic Development Corp. (SCVEDC) sealed a five-year deal to replace lawns and save water. We’re talking “big water savings” here – water savings that might put a dent in the pressure to save that homeowners in the valley have felt over the past couple years.

The water savings translate to 16.3 million gallons annually, according to Dirk Marks, CLWA’s water resources manager. How much water is that? An average 20 x 40 foot in-ground pool is estimated to hold 21,600 gallons of water. The amount of water businesses at the Valencia Commerce Center will save roughly equals 755 pools worth of water – per year.

“A lot of money is spent on water for the business park’s landscaping,” said Holly Schroeder, president and CEO of the SCVEDC. “It’s an unnecessary expense. The point is to have an attractive business park, and that can still be done without acres of grass.”

Schroeder said the SCVEDC works with the business park on other issues and just happened to get involved in the water issue.

Aware of CLWA’s turf replacement program, Schroeder said her group introduced the management association to the people at CLWA. And the SCVEDC worked behind the scenes to help broker the deal on behalf of the business park, business owners, and landlords.

“There had been some similar projects in Los Angeles,” Schroeder said. “We have some major business parks out here and it just seemed that we ought to be doing the same thing.” The big advantage to this deal, she said, is that the water wholesaler only needed to negotiate with one party to achieve such a big savings. The resulting deal showcases the business park as a role model for others to follow.

Schroeder said, is so that as business owners and the association gradually outlay capital to re-landscape the business park, they are assured of rebates as they work toward revamping the landscaping – rebates that don’t expire in a year. The traditional rebate programs would have been a deal-killer for a park this size.

“In the end, we expect they will ultimately end up using less than half the water they’re currently using to irrigate turf,” Marks said. “We’re hoping this is the first of the larger projects; we hope this would serve as a model for other associations that have a large potential for water savings.”

CLWA previously completed a similar deal with College of the Canyons.

“This is significant when we can get a larger commitment like this,” Marks said, “There has basically been a default (mode) of using lots of turf in Santa Clarita in places that really aren’t all that appropriate. There are a lot of aesthetically pleasing alternatives to turf.”

The huge water savings also helps the water agency meet a state mandated requirement to cut water use by 20 percent by the year 2020. If they don’t, the hammer will come down on them, Marks said. The deal becomes a win-win-win for all parties – water agencies, businesses, and homeowners.

“The Valencia Commerce Center Board, as the representative of the more than 200 commercial and industrial sites contained in the Valencia Commerce Center, had been directed to explore opportunities for energy efficiency and conservation. We are pleased to have arrived at a long-term solution with the CLWA that also reduces water use in the business park and enables the association to better control its current and future landscape costs,” said Richard Aronoff, president of the Board of Directors for the association.

“The results of this conversion initiative will benefit all owners and tenants who call the Commerce Center their business homes.” 

50% Water Savings

 Juan Alonso walks through his five-acre wine vineyard in Santa Clarita. Photo by Dan Watson.

Under terms of the five-year deal, CLWA will rebate $2 for every square foot of grass removed using grants it has secured. The rebate will help offset the cost to replace turf and put in new plants, Marks said. Rebates will potentially max out at nearly $1.1 million when done, replacing 540,229 square feet of turf.

The reasoning behind a five-year deal,

 The Valencia Commerce Center sign sits at the entrance to the center off of Highway 126 and Commerce Center Drive. Photo by Katharine Lotze.

Holistic Pet Food Company Leases Larger Space

By Jana Adkins SCVBJ Editor

H  Pets Global Inc. leased industrial space on Industry Drive for its burgeoning pet food business. Photo courtesy of CBRE.

olistic dog and cat food company, Pets Global Inc. of Santa Clarita, leased a 35,310 square foot industrial building on Industry Drive.

The deal closed June 1, but was not made public until mid-July.

Matt Dierckman of CBRE represented the landlord.

The Aronoff Brothers own the building. David Hoffberg at Delphi Business Properties represented the tenant Pets Global. The lease is for five years. The property is located at 28334 Industry Drive.

Pets Global is comprised of 33 people including 10 core members, 7 operations personnel, and a staff of 16 sales representatives. The most important members of

the team, however, are the Chief Canine Officer Ziggy (a dog), and Chief Feline Officer Mr. Mau (a cat). Their headshot photos are featured prominently on the company’s website along with all the human personnel.

Their pet foods are branded as Zignature for canine companions and Fussie Cat for the feline companion.

The foods are also AAFCO - Association of American Feed Control Officials – approved. Ziggy and Mr. Mau also approve of them.

Although the firm operates out of Santa Clarita they use third party logistics firms for inventory, however, they might try to move their warehousing operations locally, Dierckman said.

“It was a pretty straight forward deal,” he said. “There is very little vacancy in the market. And we had another offer. They came in aggressive and got the deal.” 

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SANTA CLARITA VALLEY BUSINESS JOURNAL

17

A New Weapon in the Battle to Protect Against Stolen Trade Secrets – The 2016 “Defend Trade Secrets Act”

By David S. Poole

Poole & Shaffery LLP

E

mployers have long been frustrated by the impacts of departing key employees who walk off with the corporate “gold” – customer lists, technical drawings, formulas and the like – and then set up shop down the street chasing the same customers, undercutting the old employer’s pricing and doing so without the same outlay of start-up capital and sweat equity that normally would have been required to start such a business from scratch.

California can be particularly difficult on employers because, as a “right to work state,” state law here favors the free mobility of the work force and outlaws many restrictions (such as covenants not to compete) that would otherwise benefit the jilted employer.

California has, for many years, had in place the state’s version of the Uniform Trade Secrets Act (“UTSA”) which has been the primary tool used to protect against the “light fingered” departing employee. Now the federal government has jumped in with its own version. Both the United States Senate and House passed the “Defend Trade Secrets Act” (“DTSA”) and it was signed into law by President Obama on May 11, 2016.

The DTSA amends the federal criminal code to create a

federal private cause of action for trade secret misappropriation. The federal legislation borrows significantly from the UTSA, but does have some differences. A plaintiff suing for trade secret misappropriation under DTSA can file a federal court civil action seeking relief for a trade secret misappropriation relating to a product or service involved in interstate or foreign commerce.

The remedies parallel many of the remedies under UTSA, but contains a new remedy - seizure - which allows the federal court judge to make in its discretion an ex parte seizure order (without prior notice to the defendant) to prevent dissemination of trade secrets if the court finds that there will be irreparable injury absent the seizure order. The court, presumably through local law enforcement, can take custody of the seized materials and then hold a seizure hearing within seven days.

There are damages remedies available against the party obtaining a wrongful or excessive seizure.

The DTSA also contains a new requirement that some of the available remedies will not be available to the aggrieved employer unless the employer has notified all employees of their right to disclose trade secrets as “whistleblowers” in furtherance of a government investigation. This should be another provision added to all employer’s 2016 employee handbooks and policies.

The key differences between UTSA and the DTSA are:

(a) UTSA does not have a specific ex parte seizure provision; (b) the DTSA, unlike UTSA, has “employment protection,” namely, it does not prevent a person from accepting employment even if an injunction is issued to prevent misappropriation; (c) the DTSA does not contemplate an end to an injunction once a trade secret has ceased to exist; (d) royalties under the DTSA are awardable only where an injunction is inequitable; (e) the DTSA awards treble damages in exemplary damages, compared to two-times damages under UTSA; (f) the DTSA imposes an additional condition for damages recovery, namely, a prejudice element with respect to detrimental change in position by the defendant; (g) the DTSA, outside of the ex parte seizure area, is not as protective in preserving secrecy during the course of litigation; (h) the DTSA has a fiveyear statute of limitations compared to UTSA’s 3-year statute; and (i) the DTSA does not preempt any law, whereas UTSA has preemption impact on certain claims.

The DTSA is not likely to change the landscape for trade secret litigation in California but, because of the availability of the new remedy of ex parte seizure, does provide an additional tool to combat trade secret misappropriation and certainly should be considered as a preferred claim where the situation requires immediate action to prevent a catastrophic dissemination of critical trade secrets. 

Philanthropy Matters: Give Where You Live SCV

By Marianne Cederlind

Executive V.P. and Chief Business Banking Officer Mission Valley Bank

T

here is a growing movement in public opinion for consumers to seek out businesses identified with causes they relate to and shun companies whose activities violate their values. This concept is amplified on social media with the emergence of millennials as informed consumers who place even more importance on corporate philanthropy than with past generations.

A strong community is built on a foundation of lasting personal and professional relationships. A business that prides itself on strong relationships strengthens both its own position and the community it serves.

Philanthropy – the act of giving back – should be a key component of every business operating within a local market area, and these efforts should align with the strategic goals of the business.

Not only does charitable giving develop meaningful relationships within the community, but it can also help distinguish and reinforce a company’s mission and culture, as well as introduce it to new ideas, partners and innovations.

Beyond doing good for others, charitable giving can create goodwill among consumers, regulators, investors, employees, and business partners.

Give where you live SCV

At Mission Valley Bank, people are our greatest asset. In

addition to financial support, the management team lends its leadership skills to many nonprofits within the community.

The bank prides itself on involvement in charitable works that help individuals, along with economic development initiatives to attract and retain businesses within the region.

In response to the growing needs of our nonprofit partners, Mission Valley Bank hosts the Give Where You Live SCV initiative. Participating organizations include Carousel Ranch, Boys and Girls Club of SCV, Samuel Dixon Family Health Center, College of the Canyons Foundation and the Santa Clarita Valley Family YMCA. Each month Mission Valley Bank features a nonprofit client on its website, in advertising and articles, and throughout its social media platforms. Bringing awareness to the needs and work of these organizations, while connecting each cause with residents, strengthens the community as a whole. (www.GiveWhereYouLiveSCV.com)

Carousel Ranch’s ‘Heart of the West’

Lassoing our cultural and philanthropic hearts while transforming lives, Carousel Ranch provides equestrian therapy for children with disabilities, creating a unique and individualized program to meet each child’s specific needs and goals.

What makes Carousel Ranch such a special place within the Santa Clarita Valley? Simply, it’s transformative. A place where therapy is disguised as fun in an atmosphere where every child can succeed.

Meet Sebastian, a young boy who has only been riding at the ranch for a little over one year. He suffers from symptoms of an extremely rare dysfunctional gene known as CLN8, a disorder

characterized by degeneration of the central nervous system. It causes seizures and progressive mental retardation, loss of motor function and visual decline to blindness. There is no known cure for this disorder. Sebastian is now legally blind. His motor skills are declining, and he has difficulty walking, speaking and chewing. Horse therapy helps Sebastian forget about his disorder and all of his limitations. His time on a horse has helped to promote self-confidence and given Sebastian more assurance of what he’s able to accomplish both on the horse and in life.

Each year there are children like Sebastian with special needs on a waiting list for the opportunity to improve their health and quality of life, and every lesson is subsidized thanks to the tireless efforts and generosity of donors and supporters. With the community’s support, Carousel Ranch can help more children like Sebastian succeed. Together, we can make a difference . . .one very special child at a time.

How can your business get involved? On August 27, 2016, the 20th Annual Heart of the West Dinner, Auction and Children’s Demonstration will be held for the first time on the grounds of Carousel Ranch. You can help make this successful by attending, donating or volunteering at the event. All hands are welcome! (www.CarouselRanch.org) Celebrating 15 years serving the community, Mission Valley Bank is a locally-owned, full service community business bank headquartered in Sun Valley, California with a business banking office in Santa Clarita. Marianne Cederlind serves as president of the Carousel Ranch Board of Directors and can be reached at (818) 394-2300.

For more information visit www.MissionValleyBank.com.

Why the Cloud is the Best Option for Your Data Backup Policy

By James Deck, CEO

In general, the tape backup process is inefficient, especially in light of more modern backup solutions.

W

The Benefits of Cloud Backup

JD Systems

hile the Cloud is a great tool that can help your business fully leverage its technology solutions, many people believe the Cloud is not nearly as secure as a private in-house IT network. On the contrary, the Cloud is a very secure medium for your data storage and deployment, particularly for your data backup needs.

The Shortcomings of Tape

One common way to store data backups is on tape. Although businesses have backed up to tape for a very long time, this manual data backup method relies on human interaction to work properly. This means it’s a process prone to user error.

Furthermore, processing a backup is a resource-intensive task. It shouldn’t be done during normal work hours. Also, data backups typically take up a ton of space on your in-house network.

The benefits of a Cloud backup solution are overwhelming when compared to the typical tape backup solution. While tape requires staff to manually set and perform backups, a Cloudbased data backup solution automatically takes snapshots of data that has been changed since the last backup was taken.

This eliminates the chance of user error, and ensures that the backups are made without a hitch. Unlike tape backups, which effectively record ALL data on the network, a Cloud backup solution only tracks changes made to files. This means there’s less strain placed on the system during the backup, and data can be backed up multiple times without the severe repercussion of downtime.

The Cloud makes storing data both more efficient and more secure, especially for backup and disaster recovery

processes. A backup and disaster recovery (BDR) solution, such as the one employed by JD Systems, is a device that’s capable of changing the way your business handles data backups. With this type of BDR device, your organization can take advantage of multiple backups that are made periodically throughout the day. Then, thanks to your data’s convenient location in the Cloud, the BDR device can rapidly deploy the backed-up copy of your data to your business’s infrastructure. In the event of a hardware failure or similar disaster, the BDR can act as your server, allowing you time to find a more permanent solution to the problem.  James Deck is the Chief Executive Officer of JD Systems and an innovator in the information technology field for nearly two decades specializing in Managed Services, Cloud Solutions, and mobile and web application development. The content for this article is produced by Directive. James can be reached at jdeck@jdsystemsinc. com or (626) 486-9330.

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SANTA CLARITA VALLEY BUSINESS JOURNAL

AUGUST 2016

MannKind Launches New Campaign to Promote Its Medical Device: Inhalable Insulin

By Paul Parcellin SCVBJ Writer

A

fter a disappointing start in its partnership with pharmaceutical giant Sanofi, Valencia-based MannKind Corporation is launching its own campaign to market Afrezza, its inhalable insulin product for diabetics.

Paris-based Sanofi gave notice on Jan. 5 that the company intended to terminate its licensing agreement with MannKind for global distribution of the medication.

Since then, MannKind has been

developing a sales and marketing force of its own to pick up where Sanofi left off – a first for the Valencia firm. Newly hired Chief Commercial Officer Michael Castagna is building and heading up the nascent sales and marketing operation.

“He’s put together an amazing team in what must be record time, filling the regional and district sales leadership positions,” says MannKind CEO Matthew Pfeffer. Castagna has also hired the company’s roughly 70-person sales force in the field to take over where Sanofi left off.

Expectations dashed In 2014, Sanofi agreed to pay MannKind up to $925 million, mostly in milestone payments, for the rights to market the recently approved Afrezza. By ending the agreement when it did, Sanofi capped its 2015 losses at roughly $230 million.

Sanofi said that despite substantial marketing efforts, the product was unlikely to reach even the lowest patient levels anticipated. The product, launched in the U.S. in February of last year, brought in just $7.8 million in sales in 2015.

MannKind, a publically traded company, lost $91.4 million in the first nine months of last year and only had about $33 million in cash on hand as of Sept. 30, according to a regulatory filing. That was down from $121 million cash on hand as of Dec. 31, 2014.

But, even those numbers pale in comparison to what it cost to develop the innovative treatment device during the firm’s research and development days.

A Local Success Story The company’s recent turn of bad luck stands in contrast to it heady earlier days.

Entrepreneur Alfred Mann, who passed away in February, initiated and personally financed the launch of multiple biomedical companies, and he founded MannKind in 1991. He earned a large part of his fortune when he sold insulin pump maker MiniMed and Medical Research Group to Medtronic for $3.7 billion in 2001. He spent a reported $975 million of his own money to develop Afrezza.

Now MannKind is taking the lead on ensuring the success of Afrezza.

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With the departure of Sanofi, some might wonder whether or not MannKind’s new sales force can cost-effectively promote just one product and keep the company afloat.

“Obviously, it’s better to have more than one,” says Pfeffer. “But the product is too good and too important to not continue to make it available to people.” The CEO maintains that MannKind’s strategy will differ from Sanofi’s in a number of ways.

“Their focus was in the general practitioner space rather than specialists, which requires a much, much larger sales force,” he says.

In addition to specialists, MannKind will concentrate on high subscribers of insulinbased products. Pfeffer says that strategy allows the firm to work with a more “manageable-sized” sales force,which will make the new arrangement practical.

In addition, sales force distribution will be geographically broad. It will go coast to coast, but without covering every region of the country. Instead, they’ll focus on the more likely targets where there are higher concentrations of patients. The goal is to slowly expand outward. And focusing on specific coverage areas requires a strategic plan.

Getting the Message Out Pfeffer believes the new strategy will reduce the amount of work it will take to familiarize doctors with Afrezza.The plan is to start with specialists and other recognized experts in the field.

“They tend to have a disproportionate amount of influence on the broader doctor audience,” says Pfeffer. “Getting them onboard first is not only more practical financially but will ultimately, we believe, be more successful.”

In addition to strategic sales force deployment, frequent data presentations such as the one at the American Diabetes Association meeting in June are part of the strategy. Data presented at the ADA conference indicates that Afrezza is faster acting than other insulin products and stays active in the system for a shorter duration. Injected insulin can take an hour to become active in the system, and it stays active a couple of hours longer than the inhalable alternative. The “fast in, fast out” quality of Afrezza performs like the pancreas. The data

See MANNKIND, 17

AUGUST 2016

MANNKIND Continued from 16

supports Afrezza’s use for rapidly controlling elevated glucose levels. The next step is to get over the hurdles that have slowed adoption.

Overcoming Problems Some speculate that safety concerns and reimbursement issues may have dissuaded physicians from adopting Afrezza in the past, a notion that Pfeffer disputes. The FDA-issued black box warning on the product states that there are risks associated with using Afrezza for patients with certain respiratory problems.

Pfeffer notes that some of the most successful products on the market have black box warnings, and he does not foresee problems due to the FDA notice.

“It doesn’t really change anything, because if you have COPD (chronic obstructive pulmonary disease), for example, you shouldn’t be using an inhaled medication of this type.”

Another issue is that most health insurers in the United States have Afrezza in a Tier 3 reimbursement category. That generally means that co-payments are higher than with other medications.

Pfeffer says that MannKind provides a prescription co-pay card that gives patients their first month’s medication free, and then limits the co-pay to something similar to Tier 2 levels.

“There is no disadvantage to the patient being in Tier 3,” he says.

Lung Testing Required The FDA-required screening for respiratory problems for potential Afrezza users has created another minor problem for the pharmaceutical company. Screening patients may be tricky in some locales because many doctors do not own the required “spirometry” lung testing equipment needed to ensure patients are healthy enough to use Afrezza.

To counter that deficit, each member of MannKind’s sales force will direct doctors who don’t have the machines to sources

SANTA CLARITA VALLEY BUSINESS JOURNAL

where inexpensive spirometry equipment can be purchased. MannKind isn’t selling the machines directly, but they’ve negotiated an arrangement with an equipment maker.

“It’s typically a reimbursed procedure, so the payback on the equipment is pretty short,” says Pfeffer. “It’s not full-blown pulmonary testing, so it’s a relatively simple test.”

In addition, the sales force will stay well versed on where the procedure can be done cheaply in the regions they represent. In the end, MannKind believes the less invasive, rapidacting Afrezza will catch on in the medical and patient communities.

Substantial Benefits Despite questions surrounding the medication, MannKind is banking on the notion that the significant benefits that Afrezza offers will make it attractive to physicians and a desirable treatment option for many.

Although it won’t eliminate the need for long-acting injected insulin, the benefits Afrezza offers, such as eliminating the need to time injections in relation to mealtimes and the kind of food about to be eaten, can offer patients a significant improvement in the quality of life. And that advantage will help benefit the biomedical device maker in return.

Funding in the Future Pfeffer believes that MannKind will have enough funds to get through the ramping up period and into profitability, and he thinks a turnaround could come relatively quickly.

“We can certainly get into next year with no problem whatsoever. At the same time, we’re taking some steps to extend that runway even further just in case we need a little more rampup time, just to demonstrate that this product can be the success we believe it can be.”

“We would obviously want to do that before we consider raising more money,” he says.

In all, he remains steadfastly optimistic about Afrezza’s future.

“When I took this job, I promised Al (Alfred Mann) that I’d help make this product be all that it should be, and I intend to fulfill that promise.” 

SCVEDC recognizes the leadership shaping our local economy.

CASEY KIRKMAN Member Board of Directors

C ASEY KIRKMAN relocated to the Santa

Clarita Valley after a fulfilling career in baseball, and became involved in the local community. When the opportunity to purchase a business presented itself, Casey purchased what was then a small “mom & pop shop” moving company. Now employing nearly fifty individuals and relocating families all over the world, Affordable Quality Moving and Storage (AQMS) has quickly become one of the most successful moving companies in Los Angeles County.

The immense growth of AQMS has been attributed to Casey’s generosity and involvement in a multitude of charities within Santa Clarita Valley. In 2012, Casey was named the 38th most influential individual in Santa Clarita’s 40 Under Forty. As the father of two beautiful daughters and the husband to his adoring wife Kelly, Casey feels very fortunate that not only has he been able to bless the lives of many through his incredibly giving heart, but he too has been blessed with a life beyond his dreams.

Regional leadership for a regional economy.

www.stillgolden.org

SCVEDC recognizes the leadership shaping our local economy.

MIKE SHEPPERD Member Board of Directors

MIKE SHEPPERD brings over 14 years of

experience in the financial services industry to his position as an Executive Director in the LA North Division of Chase Middle Market Banking, where he serves the banking needs of clients with revenues between $20 million and $500 million.

Mike began his banking career with the Wells Fargo HSBC Trade Bank in Houston, TX covering Middle Market companies with a significant trade finance component to the business. In 2008, he moved to the Wells Fargo Commercial Banking group in Los Angeles covering middle market companies in the San Fernando and Santa Clarita Valleys. In 2014, Mike joined JPMorgan Chase to help build out the firm’s Middle Market group in North Los Angeles.

Mike graduated summa cum laude from St. Edward’s University with a BS in Business Administration. He is a board member of the Valley Industry & Commerce Association (VICA) and the Santa Clarita Economic Development Corporation.

Regional leadership for a regional economy.

 The refillable diabetes inhaler device. Courtesy photo.

www.stillgolden.org

19

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SANTA CLARITA VALLEY BUSINESS JOURNAL

AUGUST 2016

County Eyes Prospect for Business Park Development

By Jana Adkins SCVBJ Editor

I

n an ongoing effort to take a fresh look at county-owned land that has been underutilized, or properties which have contributed to the blight of surrounding urban areas, the County of Los Angeles authorized a study of 125 acres of land it owns east of Interstate 5 in Castaic – also known as the Honor Ranch.

The property is located south of Tapia Canyon Road and north of Biscaliluz Drive, adjacent to the Pitchess Detention Center.

The county is eyeing the open land for possible development of a business park, seen as an economic development project that is in keeping with the county’s vision for small business and workforce development. A feasibility study has been authorized to the tune of $455,000 to

fully survey the site and analyze it for development opportunities – prospects that might also provide a revenue stream to the county.

“There is still demand for business space; we have a history of low vacancy rates,” said Holly Schroeder, president and CEO of the Santa Clarita Valley Economic Development Corp (SCVEDC). The SCVEDC has worked closely with the Board of Supervisors and has spoken in support of the project.

“For our long-term economic vitality we need to have a plan for the future development that will support jobs. Much of what has already been approved for construction will have been absorbed by the time it is completed and we’ll need further development to fill future jobs.”

An urban project that kicked off last year, called the Vermont Corridor Plan in Los

Angeles, opened for bids to tear down some of the county’s most dilapidated office buildings along a stretch of Vermont Ave. between 4th and 6th Streets. The plans are to build a new headquarters for the Department of Mental Health and redevelop more than 1 million square feet. Retail and office space as well as affordable residential units may become part of the vision.

In the case of the vacant land in the Santa Clarita Valley, its use is envisioned as a business park, not residential or retail, Schroeder said.

Once a feasibility analysis has been conducted for the property, then the county would solicit proposals from developers who are interested in entitling and building on the property.

“There’s a lot of interest in this park from developers both within and outside of the Santa Clarita Valley,” Schroeder said. 

QUEST

Continued from page 1 traditional bench scientist staff across a couple of different disciplines,” says Panagos. “Opportunities at the entry level (will be) in areas such as sample processing or biorepository.”

Number of Jobs The CEO declined to confirm rumors that the company’s increased activity in the area will bring as many as 200 new jobs locally.

“I hear a lot of numbers, so I’d be uncomfortable validating or refuting that,” he says.

“But we do have opportunities for staff along scientific and operational areas.”

Apart from Valencia, Q2 Solutions laboratory network includes sites in Marietta, Georgia; San Juan Capistrano, California; and Teterboro, New Jersey, as well as in Asia, South Africa, the United Kingdom, and South America.

As hiring picks up steam in Valencia, the company’s site in Marietta may pare down some of its operation as a result, although Panagos declined to discuss the details.

“We’ll maintain a presence in the Marietta facility,” he says. “We will maintain support staff out of Atlanta. We will maintain certain kinds of testing out of Atlanta, so Atlanta will remain part of the footprint of Q2 Solutions.”

But he added, the company is “augmenting the test menu out of Valencia on a goforward basis.”

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The augmentation process includes sharing the approximately 100,000 square feet of space in the two facilities with parent company Quest Diagnostics, where it will use the facilities for laboratory testing and operations.

The two Quest locations are about two miles apart. One, known as Nichols Valencia, is located on Tourney Road, and the other is on Avenue Hall. Recent upgrades to the properties were made in part to accommodate Q2Solutions’ expanding operations.

As the company’s flagship location, the Valencia operation will be the primary facility for clinical testing in the United States. But Panagos notes, that doesn’t necessarily imply that the company’s executive offices will also move to Valencia from their present location in Morrisville, North Carolina, in the Raleigh-Durham region. The company also has an international headquarters in West Lothian in the United Kingdom.

Optimizing Facilities Rather than focus on moving the top brass to Valencia, the relocation is part of the company’s effort to optimize its laboratory facilities.

“We would have central laboratory services capabilities out of the Valencia facility,” says Panagos. That includes “safety testing” and more complex testing, called “mid-level” testing, as well as specialty testing, also known as“esoteric” testing. Examples include complex operations such as amino oncology and companion diagnostics.

Apart from centralizing its laboratory operations, choosing Valencia as the site for its flagship operation has its strategic advantages.

“Over and above the staff we’ve observed in Valencia, and I mean staff that are obviously Q2 Solutions’ specific staff, including some of our leadership there, we are proud of the test menu and the operational excellence of that facility that we bring to bear.”

Location is Key Panagos notes that Valencia is strategically located in relation to Quest Diagnostics. Q2 Solutions may work with Quest for very specific esoteric testing.

“Even though Q2 Solutions is a standalone entity and clinical-trials specific, and Quest Diagnostics is more of a traditional diagnostics provider, we do have key areas where we partner with each other,” he says.

See QUEST, 19

AUGUST 2016

SANTA CLARITA VALLEY BUSINESS JOURNAL

Scorpion Lands New HQ; Keeps Jobs Local

SCVEDC recognizes the leadership shaping our local economy.

HELEN HAN

Member Board of Directors

HELEN HAN is a Business Development

 Internet marketing firm Scorpion has opted for a brand new building to call home. The plan is to be able to consolidate all employees under one roof. Photo by Dan Watson.

By Jana Adkins SCVBJ Editor

A

fter spending considerable time looking for suitable office space, Scorpion has selected a site for its new building to house the firm’s burgeoning internet marketing business.

The firm has opted to move next to Sunkist headquarters on Entertainment Drive – keeping the tech company firmly rooted in Santa Clarita, along with the hundreds of jobs they support.

“We secured the property with the intention to build our headquarters there,” said Kylie Patterson, director of public relations.

“We love being part of the Santa Clarita Valley community and look forward to creating more jobs here.”

In March, Scorpion Chief Financial Officer Matthew Shepherd said the company had been looking for the right property for a couple years. The company currently operates out of six different office suites in two different buildings on Avenue Stanford – a setup that is not ideal for collaboration, he said. As the company has grown, they’ve been looking for a place where they can move everyone under one roof.

With office vacancies running in the 10 to 11 percent range, and very little new construction in recent years, firms have struggled to find buildings with the right floor plans and square footage. Local experts have said that despite the high desirability of the region, the risk to Santa Clarita is always that a firm will look outside the area if they can’t find a suitable building.

Remaining Local “We’ve definitely considered other areas, but most of our employees are based locally and this is our home,” Patterson said. “Our CEO resides here; the majority of our executive team is in the area. Santa Clarita has been and for the foreseeable future always will be

QUEST

Continued from 18 The Nichols Valencia location on Tourney Road will provide esoteric testing, although the arrangement will allow the company to accept work at either Valencia location as needed.

our top place for a headquarters. We did our homework and tried to find best location to suit our needs.”

Among those needs is the desire to hire more people and build a customized interior to fit the needs of Scorpion’s culture – a large open environment to allow for constant interaction between staff members designing savvy internet marketing campaigns for clients. The company has 318 employees but plans to be at 400 in the near future, and is planning for its growth over the next 10 to 20 years.

“We’re excited Scorpion wants to continue to call the Santa Clarita Valley their home,” said Holly Schroder, president and CEO of the SCV Economic Development Corp. “Scorpion is a great company and their expansion here helps raise the tech sector. We’re actively working with them on their expansion plans.”

Those plans, Patterson said, include designing a high-tech oriented, eco-friendly building, and work on an expedited building schedule. The company is planning to have the building move-in ready by the third quarter of 2017.

Schroeder is hopeful those plans can be expedited because they had already been approved for the building when the market tanked. The Sunkist building was one of two buildings planned for the site. She hopes the most that will be needed is to bring the plans up to date with current codes.

As for Scorpion embarking on its first venture designing their workspace from scratch, the company is pleased with having found a solution to remain in the valley – where the majority of the employees also live.

“To be able to bring jobs to people’s homes, as opposed to bringing people elsewhere to complete their jobs, is an amazing opportunity for people and their families,” Patterson said. “When we can help our employees spend optimal time with us and with their families, that’s a job well done.”  Another advantage is the relative closeness of the San Juan Capistrano Quest Diagnostics facility, which serves as a hub for esoteric diagnostic testing for the Quest network in the United States.

“Valencia may not be a stone’s throw from San Juan Capistrano, but (it provides) ease of logistics from a geographic proximity perspective,” says Panagos. 

Manager with R&D Incentives Group. She has been assisting CPA firms and their clients with identifying and securing various tax incentives since 2011. Her experience in state and federal tax incentives encompasses servicing a wide variety of clients across a broad range of industries including: consumer goods, manufacturing, aerospace & defense, architecture & engineering, construction, food & beverage, software development, and technology.

Helen is a frequent guest speaker on the topic of R&D tax credits for CPA firms, tax practitioners, financial management teams, and other industry executives. Since 1981, the R&D tax credits have been one of the few tax incentives available to businesses to reduce their tax liability dollar-for-dollar for incurring expenses related to both product/process developments and improvements. Helen is able to quickly identify and ascertain whether businesses may benefit from this lucrative tax credit.

Regional leadership for a regional economy.

www.stillgolden.org

SCVEDC recognizes the leadership shaping our local economy.

GARY SAENGER Member Board of Directors

GARY SAENGER is Founder and President

of Saenger Associates. His past experience includes President of the executive recruiting firm R. J. Watkins & Company and Executive Vice President of the international consulting firm of Right Management Consultants.

Previously, he held senior management positions with Security Pacific Corporation, CitiBank and American Hospital Supply Corporation. Gary was involved with numerous senior engagements in these organizations and other client companies.

Currently, Gary serves as Board Member of the College of the Canyons Foundation, Santa Clarita Valley Economic Development Corporation and Single Mothers Outreach. A longtime member of ProVisors, he was also a member of TEC and Vistage. Gary has volunteered as a Big Brother, in addition to serving for 25 years as a Board Member of the Boys and Girls Club of Santa Clarita. He holds both a Bachelor of Arts degree and a Master of Arts degree from Idaho State University.

Regional leadership for a regional economy.

www.stillgolden.org

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SANTA CLARITA VALLEY BUSINESS JOURNAL

AUGUST 2016

From Aerospace Engineer to Life as a Spy

By Jana Adkins SCVBJ Editor

I

t’s hard to tell where the truth ends and the humor begins with this former Massachusetts Institute of Technology graduate. It’d be easy to understand why a publisher might reject his work at first blush, deeming it couldn’t possibly be true. So when Steve Altes of Santa Clarita set out to write about the grandiose pranks practiced by his college coeds and fraternity brothers in his latest book, “Geeks and Greeks,” he said he included 120 footnotes to explain the real-life events that inspired it.

Altes didn’t start out his professional

life intending to be a writer. Emerging from a family of male and female engineers, he followed the same path. But he could never get rid of that “round peg in a square hole” feeling.

While entombed in the life of an aerospace engineer, Altes spent his work days writing technical papers, documenting events like a rocket that blew up when it wasn’t supposed to. Stuck in the deep recesses of his mind, however, were the heady days of life as an MIT student in the 1980s.

Back when student pranks were so outrageous, they’d do things like build a life-size campus police car replica atop the school’s 150-foot-high “Great Dome” that adorned

the top of the Barker Engineering Library, under the cover of night. Technical writing eventually gave way to creative writing.

“I was fighting with myself,” Altes said.

“I had two different hats – my creative side and my engineering side.” His creative side won out. “I’d write drunk and edit sober,” Altes quipped.

That must have been the state he was in when he wrote a humorist essay, published by the Los Angeles Times in 2003, titled “My Short, Sorry Career as a Spy.” Altes claims to have been hired by the CIA, only to have been fired 19 hours and 13 minutes later. Who knows?

What we do know is that Altes has long

GIVE WHERE YOU LIVE SCV

Heart of the West 20th Annual Dinner, Auction and Children’s Demonstration Carousel Ranch 34289 Rocking Horse Road, Santa Clarita

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 Steve Altes. Former engineer and MIT grad, documented his experiences and those of other MIT students, in a graphic novel Geeks & Greeks - A Graphic Novel which was optioned as a movie, which includes stories of MIT students doing high-tech pranks to the type of fraternity hazing that he personally witnessed. Photo by Dan Watson.

since moved on, from life as an engineer to an actor – ironically often playing law enforcement roles and even a Secret Service agent on 2000 “The West Wing” series (check out his IMDB profile) – to humorist and author. Of course, he does keep a day job. Altes works as a creative director for a marketing consultant company – and having briefly operated as a spy, he won’t reveal the name.

Describing his book as a kind of “Good Will Hunting” meets “Animal House,” he tells of the brazen acts committed by MIT students – like commandeering the Sheraton Hotel’s massive rooftop sign in downtown Boston to make it spell “ATO,” their fraternity initials.

But Altes kept these stories tucked in the back of his memories for years because, as he puts it, one didn’t want to be on the receiving end of “ratside” (cryogenically frozen dead rats used for batting practice in a victim’s bedroom). Now it seems much safer to recount the tales from a distance – of miles and years. In fact, some MIT graduate reviews think Altes captured the quirkiness of the error in his loosely autobiographical book. “’Geeks & Greeks’ is a crackling insider look into the world of MIT fraternities.

If you’ve ever wanted to peek behind the doors where young geniuses hack and haze, let whip-smart Steve Altes be your guide,” wrote Dottie Zicklin, MIT alum and cocreator of “Dharma & Greg” and “Caroline in the City.”

When asked if Altes actually participated in any hacks or hazing episodes featured in his book, he writes, “Let me check the statute of limitations and get back to you.”

Getting his book to print was a labor of love, with a little help from illustrator Andy Fish and a Kickstarter campaign which raised $43,000 for the book.

“I always enjoyed writing stories, but I write more with a feeling that I never get it perfect. I write a sentence pretty darn good, but I come back the next day and improve it, then set it aside,” Altes said. “I like the relentless pursuit where you never really cross the finish line.”

He likes writing exactly because it is not scientific. In engineering, it’s always 1+1=2, he said. In writing, he can let go. Perhaps fittingly, Altes describes his book by saying, “The only thing scarier than John Belushi from ‘Animal House’ is John Belushi from ‘Animal House’ with a 160 IQ.”  Steve Altes lives in Santa Clarita with his wife and two sons.

AUGUST 2016

SANTA CLARITA VALLEY BUSINESS JOURNAL

THE LIST Rank

23

SCV Auto Dealerships (Ranked by Cars Sold)

Dealership

# Of Cars Sold in 2015

New/ Used

On-site service center

Year est. in SCV

Top local executive

Contact information

1

Frontier Toyota Scion

5,100

Y/Y

Y

1986

Bob Corson, G.M.

23621 Creekside Rd., Valencia, CA 91355 661-255-7575 www.frontiertoyota.com

2

Valencia BMW

3,939

Y/Y

Y

1999

Chuck Coia, GM

23435 Valencia Blvd. Valencia, CA 9135 661-254-8000 www.valenciabmw.com

3

Parkway Motorcars Valencia (GM, Hyundai, VW)

3,134

Y/Y

Y/Y

1991

Steve O'Keefe, G.M.

24050 Creekside Rd., Valencia, CA 91355 661-253-4441 www.goparkway.com

4

Autonation Honda Valencia

2,668

Y/Y

Y

1999

Sam Dimaggio, GM

23551 Magic Mountain Pkwy., Valencia, CA 91355 661-200-9110 www.autonationhondavalencia.com

5

AutoNation Ford Valencia

2,184

Y/Y

Y

1978 (1996 as Autonation)

Chance Corbett, G.M.

23920 Creekside Rd., Valencia, CA 91355 661-255-6600 www.autonationfordvalencia.com

6

Lexus of Valencia

2,004

Y/Y

Y

2000

Robert Rizzo, GM

24033 Creekside Rd., Valencia, CA 91355 661-260-2000 www.lexusofvalencia.com

7

Galpin Subaru and Mazda

1,996

Y/Y

Y

2004

Dan Sterkel, G.M.

23645 Creekside Rd., Valencia, CA 91355 888-510-2004 www.santaclaritasubaru.com

8

AutoNation Chevrolet Valencia

1,929

Y/Y

Y

1978

Mark Lecompte, GM

23649 Valencia Blvd., Valencia, CA 91355 661-877-4076 www.autonationchevroletvalencia.com

9

Valencia Chrysler Dodge Jeep RAM

1,500

Y/Y

Y

2010

Carlos Dominguez, G.M.

23820 Creekside Rd., Valencia , CA 91355 661-259-8770 www.autonationchryslerdodgejeepramvalencia.com

10

Mini of Valencia

1,202

Y/Y

Y

2013

Eric Tran, G.M.

24135 Creekside Rd, Valencia, CA 91355 661-666-2980 www.miniofvalencia.com

11

Nissan of Valencia

1,200

Y/Y

Y

1978

Fred Luna, G.M.

24111 Creekside Rd., Valencia, CA 91355 661-255-2020 www.nissanofvalencia.com

12

Valencia Acura

1,010

Y/Y

Y

1989

Cheryl and Don Fleming, President/Owner

23955 Creekside Rd., Valencia, CA 91355 661-255-3000 www.valenciaacura.com

scvbj.com

24

$

annually

Only $2 per month Act now to receive 56% off the cover price Subscribe at: www.scvbj.com

24

SANTA CLARITA VALLEY BUSINESS JOURNAL

Appointments

Steve Forrest

Appointed: Vice President, Economic and Workforce Development, College of the Canyons Formerly: Interim Dean, Business and Human Development Division, St. Louis Community College

AUGUST 2016

(In Alphabetical Order)

Walter Schrey’s Death Leaves a Family Legacy and 2 Manufacturing Firms

Adnan Hyder

Appointed: Fitness Director, Henry Mayo Fitness and Health Formerly: Fitness Manager, Equinox Fitness, Los Angeles  From left, Walt Schrey and his sons Tom, and Bill display Ideal Pet Products doggy doors at Schrey & Sons Mold Co. Inc. in Valencia. Photo

by Dan Watson.

By Jana Adkins SCVBJ Editor

W

Steve Nakutin

Appointed: Advertising Director, Signal Multimedia Formerly: Worked with a number of newspapers in Southern California including the Los Angeles Times, L.A. Daily News

Bill Sweeney

Appointed: Executive Vice President, Sales and Marketing, Troll Systems Corp.

Formerly: Vice President, Worldwide Sales and Marketing, Broadcast Microwave Services

Submit Hirings, Appointments and Promotions to scvbj@signalscv.com with “SCVBJ Appointments” in the Subject line.

alter B. Schrey, the founder of Schrey & Sons molding company and Ideal Pet Products in Santa Clarita, died April 24, his family said. With no job and savings of $4,000, Schrey moved his family from Pittsburgh to California in 1952. In 1969, he began a molding company in North Hollywood working with two handoperated milling machines out of a garage.

Training his two sons and inducting them into the family business, he formed Schrey & Sons Mold Company Inc. and moved the business into a larger building.

Becoming very successful at building exotic

wax injection molds for the aerospace company, Schrey moved his business into a larger facility in Chatsworth. The firm also manufactured special orders for the medical industry by making molds for knee and hip joints for key customers like Johnson & Johnson, said his son Tom Schrey.

With a growing business, the company relocated to Santa Clarita in 1994 when it purchased a 53,000 square foot building.

Expansion included buying additional equipment, adding to its ability to manufacture very large molds for various industries. Business flourished and the company grew into one of the largest mold companies in the U.S. at the time, supplying high quality molds for the aerospace industry.

By 1979, the family parlayed their love of pets – having owned six Great Danes over their lifetime – into reinventing the wheel by making easier-to-install, rust-proof plastic dog doors for homes. The niche business grew rapidly by tapping into the multi-billion pet industry. Eventually, it designed and manufactured over 200 different pet doors. Previously, doors had been made out of steel or metal. The company grew into an $18 million company, with annual growth of 10 percent by 2014.

Today both companies occupy some 71,000 square feet of space in two buildings, which also include warehouse operations for shipping pet door products out to big box chain retailers from its Valencia operation.

Schrey’s sons, Tom and William, went on to run both of the family businesses started by Walter Schrey. 

Real Clear Business Advice BUSINESS CONSULTING Ken Keller

SCVBJ

J

ohn Lennon said, “Life is what happens while you are busy making other plans.”

Like many of you, I planned an exciting 2016. In addition to my monthly column for the Santa Clarita Valley Business Journal, I was going to finish my third book by year end.

One item on my to-do list was to finalize my ten year Vision Board.

The stress and toll of having and growing a business is onerous. I’ve witnessed many lose the balance between life and work. I always subtly counseled my clients to keep their personal health on a dashboard front and center.

One longtime client told his Strategic Advisory Board, “If you don’t have your health, you have nothing.” He addressed his health issues and has been a poster child for a healthy lifestyle since.

Primarily, I was in good health, but like many men, I discounted my health issues.

My 2016 “Go-Go” plans ended one February morning during a routine physical. My doctor said something did not look right. This lead to a mammogram, a scan, a visit with a surgeon, a biopsy, a second mammogram, a pre-surgery consult, outpatient surgery and a treatment plan.

I was diagnosed with Stage 2B breast cancer. Following the early May mastectomy of my left breast, I am undergoing chemo, to be followed by months of radiation therapy and then to a five year prescription of hormonal pills.

Breast cancer is rare in men. Research suggests only one percent of men will have breast

The unexpected journey

cancer although the numbers are increasing.

The brutal facts are that about 42 percent of men are at risk of developing cancer in their lives. For women, the numbers are slightly below 40 percent.

It will either be a total surprise when diagnosed or it will confirm your suspicions that something was not right with your body.

Facing Reality Only the lucky few will be able to ignore the five stages of grief: denial, anger, bargaining, depression and acceptance.

I played at the margins of all five stages and shed tears in the privacy of my office one Saturday afternoon as all this came down.

Then it was time to face the music and deal with, as author Jim Collins would say, “The Brutal Facts of My Current Reality.”

I kept revisiting that unfinished Vision Board and the pictures not of all the places I wanted to visit that I hadn’t had a chance to go, but to the pictures of my family.

I wanted to be healthy; to regain my strength and spend time creating and enjoying the memories that that my loved ones would treasure for the rest of their lives.

The Things That Matter Three things count as you deal with cancer. They aren’t physical things; losing your hair, losing weight or even being nauseous.

Hair grows back. When you don’t feel bad, you feel better.

Most important is attitude. It’s how you chose to deal with what you face. For me, it’s like getting on a plane. I’d rather be the pilot,

because I have some control over things when I have a seat in the cockpit, but on this journey, I am the passenger. My main thing is getting to the destination.

I simply need to endure this journey to arrive where I want to be: cancer – free.

The second is the people around you. I say to those who participate in my Strategic Advisory Boards, you want people surrounding you who have “been there and done that” so you can skip the pains of learning the hard way and the expensive way.

This is far more than the medical providers directing and supporting your care. I am referring to the people who are on your side, pulling for you in every possible way.

When people say they will pray for me, I thank them for their faith, friendship and support.

People have opened their calendar of good days and not so good days following chemo.

Others have shared radiation therapy experiences so I would have an idea what to expect.

I’ve learned of cancer experiences from long ago and what people do to make sure there is not a return engagement.

All of this is invaluable.

The final thing is that having an attitude of gratitude works.

You will be angry at the situation. Yet, as the owner, your responsibilities never go away.

You will expect others to know what is going on with you and they won’t unless you tell them. Even then, it might not register.

Everyone is in their own world, as hard as that might be to accept.

Only you are in your world on this journey.

The Journey What you will find is that those surrounding you (employees, clients, business partners, friends and family) will step up and assume greater responsibilities.

You’ll discover that much of you how you spent your time was inconsequential.

You’ll realize that you have been majoring in the minors.

This can be an awakening, a breakthrough moment for you to restart your life and perhaps your business. For the better.

Near the end of the movie Wall Street, Lou Mannheim, played by Hal Holbrook, the wise mentor in the investing firm, counsels young up and comer, Bud Fox, played by Charlie Sheen. Lou says, “Man looks in the abyss, there’s nothing staring back at him. At that moment, man finds his character. And that is what keeps him out of the abyss.”

I pray that no one reading this will ever have to endure what I am going through.

Sadly, far too many will. Thank you for your support of my column through the years and I look forward to writing many, many more for you.

Ken Keller is the CEO of Strategic Advisory Boards. Strategic Advisory Boards guides leaders to their desired future through use of peer perspective, best business practices and leadership tools while reducing risk and unnecessary expense. For a complimentary leadership assessment, please visit www.strategicadvisoryboards. com/. Keller’s column reflects his own views and not necessarily those of The SCVBJ.

AUGUST 2016

SANTA CLARITA VALLEY BUSINESS JOURNAL

25

How the $15/Hour Minimum Wage Law Might Apply to Your Business

By Carl Kanowsky

S

o, the state of California passed a $15.00 minimum wage bill to be implemented in steps over the course of several years. So, that’s all a California employer needs to know to make sure they are compliant with the law about how much they have to pay their employees, right?

Wrong. Some cities and some counties have adopted their own version of the minimum wage law. Okay, understanding that, kids working at Magic Mountain follow the same wage scale as those working at Lazy Dog at the mall (sorry, Valencia Town Center), right?

Wrong. Not all cities within the same county have the same laws as each other or even the same as the county. Well, what about the counter help at In-N-Out Burger on Bouquet Canyon Road? Are they required to make the same as the counter help at the In-N-Out in Northridge? After all, they work for the same employer and they’re both in Los Angeles County, so they should be paid the same.

This time “Three time’s a charm” does not apply. To determine the minimum wage law you must look at the location of the place of employment.

Thus, a minimum wage worker in the city of Los Angeles follows a different scale than one in Santa Clarita which follows a different one in the unincorporated areas of Los Angeles County (like all the retail and restaurants on The Old Road).

And to make it just a bit more complicated, for some jurisdictions you need to need to see how many employees there are at that particular business. The magic number is 25. Twentysix or more employees at a business in certain locations will reach $15/hour sooner that the neighboring business with only twenty employees.

Looking at the table you can see that the city of Santa Clarita follows California state law about the timing of the steps to the minimum wage law. However, keep in mind that this is true only for the incorporated areas of Santa Clarita. This means

Source: Kanowsky & Associates.

that businesses in the Tesoro del Valle region and on The Old Road and in Castaic follow different rules than the ones within city boundaries.

This system of different rules for businesses in different parts of the Santa Clarita Valley (that is, the city and the unincorporated parts) results in a cashier at the Wal-Mart on The Old Road having a higher minimum wage than the Wal-Marts in either Centre Pointe or off of Copperhill. Will we see employees at the city stores demanding to be moved to the stores in the unincorporated area so they can have a higher pay check?

On the flip side, does the city suddenly look more attractive

than the county areas to a relocating business? After all, it’s arguably cheaper to do business in the city than in the county.

These are some of the questions businesses and their employees will have to wrestle with for the next six or seven years.  Carl Kanowsky of Kanowsky & Associates is an attorney in the Santa Clarita Valley. He may be reached by email at cjk@kanowskylaw.com. Mr. Kanowsky’s column represents his own views, and not necessarily those of the SCVBJ. Nothing contained herein shall be or is intended to be construed as providing legal advice.

SCV Chamber of Commerce 27451 Tourney Road | Suite 160 | Santa Clarita, CA 91355 | (661) 702-6977 | www.scvchamber.com | Content provided by the SCV Chamber

Ribbon Cuttings

Sweat It Out

Santa Clarita Soccer Center

Gentle Dental Thinking Tree

Marciano’s Chicago Style Deli

26

SANTA CLARITA VALLEY BUSINESS JOURNAL

AUGUST 2016

Economic Development Corporation Santa Clarita Valley

Content provided by

26455 Rockwell Canyon Road | UCEN 263 | Santa Clarita, CA 91355 | (661) 288-4400 | www.scvedc.org

SCVEDC Courts Foreign Investors Who Continue to Flock to US

W

ith foreign direct investment becoming a key growth driver both at a national and regional level, the SCVEDC recently participated in two back-to-back high-impact events devoted to foreign investors.

SCVEDC Promotes Santa Clarita at Investment Summits On June 17, the SCVEDC team attended the 2016 SELECT LA, Southern California’s premier international trade event that brought together global investors and business and governmental leaders from Southern California to facilitate and secure foreign direct investment (FDI). The event was a great opportunity for foreign investors to gain exclusive insights on market trends and opportunities in the Los Angeles region. The participation of the SCVEDC team at this county-wide event ensured that the Santa Clarita Valley was actively promoted during this annual event while new business leads were collected during networking sessions.

In the following week, Select USA Investment Summit took place in Washington DC, welcoming close to 3000 participants from 70 international markets. The SCVEDC was an exhibitor as part of the California booth sponsored by the California Governor’s Office of Business and Economic Development (GO-Biz), joining nine other city and county economic development organizations in California.

According to Holly Schroeder, President and CEO of SCVEDC, “with businesses relocating to the region at an accelerated pace, the easily accessible Santa Clarita

Valley has become a prime business destination in Los Angeles County thanks to its abundance of land, modern facilities, the business-friendly environment and educated workforce.” As a first-time exhibitor at this global event, the SCVEDC actively promoted the SCV region to investors who visited the California booth while engaging in active networking during many business receptions during the two-day summit.

Foreign Direct Investment (FDI) in Southern California Increased global connectedness not only means increased trade in goods and services, but also increased foreign direct investment (FDI), which can take many forms, such as the direct purchase of an existing firm, investment into a joint venture, direct investment into a new venture or construction and outfitting of a facility.

According to a latest report by Los Angeles Economic Development Corporation, there are more than 9000 foreign owned enterprises (FOEs) in Southern California, which directly employ 366,415 people. The economic impact (direct and indirect) is equivalent to 8.1% of all jobs in the region. LA County leads in both total number of FOE firms and FOE employment. The top three source nations measured by employment are Japan, UK and Germany. China is a major trading nation, but ranked only 13 in FOE employment contribution. Manufacturing is the sector in which foreign owned firms employ the most workers in SoCal, with 116,721 workers, providing

iStock

$6.8 billion in estimated wages.

FDI at National and State Levels The Southern California experience mirrors a global trend which sees increasing level of foreign direct investment (FDI) and US continuing to be the center of attention for foreign investors. According to statistics from UN, global FDI flows reached $1.7 trillion in 2015, the highest level of international capital flows since 2007. Of the total FDI amount, US received $384 billion in 2015, the highest level since 2000 and making it the largest recipient nation.

In 2013, the most recent year for which data is available, an estimated 6.1

Econo Watch Santa Clarita Valley

Source: Santa Clarita Valley Economic Development Corporation

Q2 ’16

Q1 ’16

Q2 ’16 Sq Ft

Commercial Vacancy Rates Office Space

10.40%

11.10%

499,410

Industrial Space

3.10%

3.10%

307,046

Retail Space

5.20%

5.20%

659,566

Total Marked Sq. Ft. Vacancy Percentage Office Space - as a % of Vacancy

28.28%

30.05%

N/A

Industrial Space - as a % of Vacancy

34.37%

33.25%

N/A

Retail Space - as a % of Vacancy

37.35%

36.69%

N/A

June ‘16

May ‘16

June ’15

Commercial/Industrial Building Permits

4

4

0

Residential Building Permits

15

7

7

Building Permits

million people were employed at foreign owned establishments (FOEs) in the United States, or 4.4% of national payroll employment. The top source nations of FOE jobs in the US are UK, Japan, Germany, France and Canada.

At the state level, California, with the highest number of FOE employees, accounted for 10.3% of all FOE employment in the United States, followed by Texas (8.4%) and New York (67%).

Japan is the largest source of FOE employment in California, followed by UK, France, Germany and Switzerland.

To learn more about how your companies can benefit from foreign investment opportunities, please contact SCVEDC at 661 288 4400 or chenyao@scvedc.org

Local Company Stock Prices Bank of Santa Clarita (BSCA) Mannkind (MNKD) California Resources Corp California United Bank Carnival Corp. (CCL) Mission Valley Bank (MVLY) Six Flags * (SIX) Woodward (WWD) Lennar (LEN)

June ‘16 9.88 1.16 12.2 22.73 44.2 7.65 57.95 57.64 46.1

May ’16 9.75 0.95 15.2 23.1 47.74 8.05 57 56.94 45.57

% Change 1.33% 22.11% -19.74% -1.60% -7.42% -4.97% 1.67% 1.23% 1.16%

Unemployment Rates* Santa Clarita Palmdale Lancaster Glendale LA County State

June ‘16 May ’16 % Change 4.7% 3.9% 20.51% 7.0% 5.8% 20.69% 5.8% 4.8% 20.83% 5.0% 4.1% 21.95% 5.2% 4.3% 20.93% 5.4% 5.2% 3.85%

AUGUST 2016

SANTA CLARITA VALLEY BUSINESS JOURNAL

Valley Industry Association 25030 Avenue Tibbitts | Suite K | Valencia, CA 91355 | (661) 294-8088 | www.via.org | Content provided by VIA

Inside VIA’s Advocacy Committee the speed, security and flexibility to sat-

have questions or would like to know if

isfy the requirements of today’s business

your property is in one of the two areas

environment. As the demand for higher

in question or like to be part of a discus-

bandwidth and flexibility grows, many

sion about options, please contact the

companies are forced to pay higher costs

VIA Office at (661) 294-8088.

VIA Luncheon Planning Calendar 2016 SPEAKER SERIES

ber (optical fiber infrastructure – cabling

There is strength in numbers, so let

and repeaters – that is currently in place

your voice be heard. Contact Kathy Nor-

By Carl Kanowsky

but not being used) could help create

ris (661) 294-8088 or Carl Kanowsky

Luncheons begin at 11:45 a.m. at the Valencia Country Club, 27330 North Tourney Road in Valencia unless otherwise noted.

Business professionals interested in attending should plan to reserve their seat well in advance. Reservations and payment can be made at www.VIA.org/Calendar or by contacting the VIA office at (661) 294-8088.

Kanowsky & Associates and VIA’s

more effective high speed internet ser-

(661) 290-2656 if you have questions or

Tuesday, August 16

vices for Santa Clarita, and the first step

want to get involved.

to expand their networks and are often limited by the few choices available. Utilizing the city of Santa Clarita’s dark fi-

Advocacy Chairman

Get Involved

toward opening faster and less expensive

Carl Kanowsky is a local attorney with

T

internet possibilities for the business

Kanowsky & Associates whose practice has

community.

been instrumental in spearheading grass-

he simple definition of advocacy is the act or process of supporting a cause or proposal. A more

VIA’s efforts to expand internet con-

roots representation on such issues as planned

complex definition involves a high de-

nectivity options to local businesses has

growth and toxic environmental cleanup.

gree of care to act in the best interest

gained traction and hit some pay dirt!

He can be reached at 661.290.2656 or at

of an organization and the members it

At the June 28, 2016 Santa Clarita City

cjk@kanowskylaw.com.

serves. Practically speaking, at the Val-

Council meeting, the council voted to

ley Industry Association, the Advocacy

accept a lease of the dark fiber at the

committee provides a platform for local

city’s intersections to Wilcon, a provid-

businesses to have their voices heard.

er, which will allow alternatives to the services currently offered by AT&T and

Local Elections Matter As a business organization, VIA wants to keep its membership informed about the issues and the candidates running for office in upcoming elections. Save the dates for two candidate forums to take

Time Warner. At the urging of VIA, city staff was directed to report on more ways to utilize the dark fiber, including the possibility of the city becoming an internet provider itself as is being done in over 400 cities in the nation now.

place during our monthly luncheons prior to the November election.

On Tuesday, August 16, 2016 at

“You Don’t Look a Day Over 50”

the Valencia Country Club, VIA hosts

Business and building owners may

a Santa Clarita City Council candidate

not be aware that the Valencia Industrial

forum featuring two incumbents facing

Center – the largest industrial complex

off a yet-to-be-determined number of

in Los Angeles County – faces a logis-

challengers.

tical problem as to how to maintain its

The September VIA luncheon will

high standard of appearance and op-

host a Los Angeles County Supervisor

eration. Specific CC&Rs (Covenants,

Candidates Debate featuring Kathryn Barger and Darrell Park on Tuesday, September 20, 2016.

Conditions and Restrictions) exist in all areas of the Industrial Park, but two particular areas have now exceeded or will shortly exceed the 50 year enforcement term that Newhall Land provided when

The Internet of Things

the park was built. With no current en-

Adequate high speed internet has

forcement agency at work, VIA is work-

been an issue for many areas within the

ing actively to alert property owners and

Santa Clarita Valley for the last several

gathering input to keep the Center a

years. Traditional networks often lack

world-class location for business. If you

City Council Candidate Forum

Tuesday, September 20

Los Angeles County Supervisor Fifth District Candidate Forum

Tuesday, October 18

Dr. Mariane Doyle, director of career technical education in the William S. Hart Union High School District, discusses opportunities in Career-Tech Education.

27

28

SANTA CLARITA VALLEY BUSINESS JOURNAL

AUGUST 2016

REAL ESTATE SECTION – Commercial, Industrial & Retail Retail Buildings

Sq. Ft.

Sale/Lease

23154 Valencia Boulevard

10,300

Lease

Valencia Mart

25830-25848 McBean Parkway

1,999 - 2,800 - 3,000

Lease

Granary Square

21515 Soledad Canyon Road

2,552

Lease

Golden Oak Plaza

26477-26557 Golden Valley Road

916, 922, 1,022, 1,239

Lease

Centre Pointe Marketplace

18597 – 18607 Soledad Canyon Road

2,250 - 3,500

Lease

Canyon Square

25739 Wayne Mills Place

1,061

Lease

The Shops at Tourney

20605 Soledad Canyon Road

1,500

Lease

Free Standing Building

23323 - 23453 Lyons Avenue

2,575, 2,280, 3,600, 7,600

Lease

Price

28111 Bouquet Canyon Road

$2.50 - $3.00 SF/MO/NNN

26111 Bouquet Canyon Road

$1.25 SF/MO/NNN

18710 Soledad Canyon Road

$2.00 SF/MO/NNN

278737 Bouquet Canyon Road

$1.50 - $2.00 SF/MO/NNN $3.00 SF/MO/NNN Negotiable $1.50 - $3.25 SF/MO/NNN

Old Orchard Shopping Center Patti Kutschko (Daum Commercial) 661-670-2003

23333 Cinema Drive

2,733

Lease Lease Lease Lease Lease

Laemmle Theatre Project

24271 Main Street

900 - 2,160

Lease

Old Town Newhall Properties

23120 – 23130 Lyons Avenue

900 – 5,000

Lease

Wayman Court

25065 - 25067 Peachland Ave 26865 – 26889 Sierra Highway

1,830 1,350 – 1,907

Lease Lease

Riverview Plaza

25269 The Old Road

1,300 – 2,442

Lease

Sunset Pointe Plaza

24003 Newhall Ranch Road

3,053

Sub-Lease

Bridgeport Village

25810 - 25852 West

1,298 - 2,596

Lease

$2.50 SF/MO/NNN $1.65 SF/MO/MG $1.50 SF/MO/NNN $2.25 - $3.00 SF/MO/MNN $2.25 - $3.00 SF/MO/MNN

600 - 2,362

Lease

Office/Commercial Buildings 20605 Soledad Canyon Road 28005 Smyth Drive

1,195 - 3,650

Lease

Highridge Crossing

27923 – 27959 Seco Canyon Rd.

1,500 - 1,600

Lease

Seco Canyon Village

27095 McBean Parkway

18,000 - 54,000

Lease

The Promenade

SEC Newhall Ranch Rd. & Rye Canyon Rd. 1,500 - 10,000

Lease

Copper Ranch Plaza

23600 Valencia Boulevard

5,000

Lease

Creekside Place

23360 Valencia Boulevard

1,000

Lease

Cinema Center

27647 Bouquet Canyon Road

1,200 - 4,800

Lease

Bouquet Canyon Plaza

23922 Summerhill Lane

1,195

Lease

Summerhill Village

27560 Newhall Ranch Road

1,000

Lease

Valencia Village

27544 Newhall Ranch Road

1,500

Lease

28494 Westinghouse Place, Suite 305

4,040

Sub-Lease

2,200 2,200 2,200 1,150 1,100

Sale Sale Sale Sale Sale

1,700 – 7,000 997 – 8,565 660 – 2,337

Lease Lease Lease

$3.35 SF/MO/NNN $2.00 - $2.25 SF/MO/NNN

$1.65 SF/MO/NNN

$1.95 SF/MO/NNN $2.75 SF/M0/NNN $2.50 SF/M0/NNN Negotiable $2.50 - $3.25 SF/MO/NNN $2.75 SF/MO/NNN $2.75 SF/MO/NNN $2.50 SF/MO/NNN $2.75 SF/MO/NNN $2.75 SF/MO/NNN $2.50 SF/MO/NNN

7,200 990 2,000 - 6,500 11,057

Sale Lease Lease Sale

Yair Haimoff (NAI Capital) 818-742-1659

18926 - 18932 Soledad Canyon Road

900 - 3,000

Lease

Knoll Shopping Center

24250 Lyons Avenue

1,200

Sub-Lease

The Moss Center

$1.80 - $2.00 SF/MO/NNN

Sq. Ft. 1,500 8,946

Sale/Lease

Price

Sale/Lease $825,000; $2.00 SF/MO/NNN Sale TBD

1,656

Sublease

$2.07 SF/MO/NNN

18,074 1,414 1,084 2,829

Lease Lease Lease Lease

$1.50 SF/MO/FSG $1.50 SF/MO/FSG $1.50 SF/MO/FSG $1.50 SF/MO/FSG

25,200 5,000 2,332 2,332 5,562 3,460

Sale Lease Lease Lease Lease Lease

$270.00 SF/$6,800,000 $1.45 SF/MO/MG $1.10 SF/MO/NNN $1.15 SF/MO/NNN $1.55 SF/MO/NNN $1.15 SF/MO/NNN

Yair Haimoff (NAI Capital) 818-742-1659

488

Sublease

$3.35 SF/MO/NNN

Tim Crissman (Crissman Commercial Services) 661-295-9300

23542 - 23560 Lyons Avenue

420 - 1,637

Lease

Plaza Posada

28486 Westinghouse Place Unit #110

1,790

Sublease

$1.65 SF/MO/NNN $1.15 SF/MO/NNN

Yair Haimoff (NAI Capital) 818-742-1659, Matt Sreden (NAI Capital) 818-742-1660, Cameron Gray (NAI Capital) 661-705-3569

28494 Westinghouse Place

736 - 2,208

Lease

Valencia Atrium

1, 758 - 22,919

Lease

Tourney Pointe

552 - 4,275 776 - 6,130

Lease Lease

Valencia Oaks

23929 Valencia Blvd.

767

Lease

Bank of America Tower

27202, 27220 & 27240 Turnberry

1,425 - 29,028

Lease

$2.15 SF/MO/MG $2.20-$2.55 SF/MO/FSG $2.35 SF/MO/FSG $2.25 SF/MO/FSG $2.35 SF/MO/FSG $2.15 SF/MO/FSG

Summit at Valencia Kevin Fenenbock (Colliers Int.) 661-253-5204, John Erickson (Colliers Int.) 661-253-5202

25020 - 25061 Avenue Stanford

990 - 4,281

Lease

$1.05-$1.75 SF/MO/FSG

Paragon Business Center John Erickson (Colliers Int.) 661-253-5202

24501 Town Center Drive, Suite 103

2,810

Lease

$2.50 SF/MO/NNN

Craig Peters (CBRE) 818-907-4616, Sam Glendon (CBRE) 818-502-6745

26650 The Old Road

1,872 - 4,291

Lease

$2.65 - $2.80 SF/M0/FSG

Westridge Executive Plaza Richard Ramirez (CBRE) 818-907-4639, Craig Peters (CBRE) 818-907-4616

25152 - 25154 Springfield Court

1,187 - 20,000

Lease

The Commons at Valencia Gateway

25350 - 25360 Magic Mountain Parkway 1,500 - 8,000

Lease

Gateway Plaza

24200 Magic Mountain Parkway

1,300 - 6,000

Lease

$2.75 SF/MO/FSG $2.85 SF/MO/FSG $2.25 SF/MO/NNNVTCIV

David Solomon (CBRE) 818-907-4628

$2.00 SF/MO/NNN

$63.00 SF/$139,000 $63.00 SF/139,000 $63.00 SF/139,000 $56.00 SF/$65,000 $117.00 SF/129,000 Negotiable $2.20 -$3.50 SF/MO/NNN $3.00 SF/MO/NNN

Cody Chiarella (CBRE) 818-502-6730

24048 Newhall Avenue 20655 Soledad Canyon Road 27516 The Old Road 27510 The Old Road

Lease

$2.25 SF/MO/NNN

Richard Ramirez (CBRE) 818- 907-4639, Robert Valenziano (CBRE) 818- 907-4663, Craig Peters (CBRE) 818- 907-4616

24001 Newhall Ranch Road

Sarkis Ghazaryan (NAI Capital) 661-705-3550

27630 The Old Road 24300 – 24305 Town Center Drive 24510 Town Center Drive

1,021 - 2,191

Rexford Valencia Business Center

Unit 200 Unit 224 Unit 226 Unit 170

$1.50 SF/MO/NNN

The Plaza at Golden Valley Yair Haimoff (NAI Capital) 818-742-1659, Matt Sreden (NAI Commercial) 818-742-1660, Randy Cude (NAI Commercial) 661-414-2004

27530 Newhall Ranch Road 20655 Soledad Canyon Road 23323 Aqua Dulce Road 19971 Soledad Canyon Road 18517 Soledad Canyon Road

Lease

28159 Avenue Stanford

$1.90 SF/MO/MG $2.35 SF/MO/NNN

$1.10 - $1.60 SF/MO/NNN

Plaza Del Rancho John Cserkuti (NAI Capital) 661-705-3551

19045 Golden Valley Road, Unit #115

1,250 - 3,000

$1.75 - $2.00 SF/MO/NNN

Kevin Tamura (Daum Commercial) 661-670-2001, Ron Berndt (Daum Commercial) 661-670-2000, Patti Kutschko (Daum Commercial) 661-670-2003

25129 The Old Road 23822 Valencia Blvd.

28112 - 28136 Newhall Ranch Rd.

Lease

Price $1.35 - $2.50 SF/MO/NNN

Randy Cude (NAI Capital) 661-705-3553

28207- 28313 Newhall Ranch Rd.

Lease

1,000 - 3,000

Soledad Entertainment

27200 Tourney Road

8,090 - 11,090

Lease

Santa Clarita Plaza

Plaza Posada Matt Sreden (NAI Capital) 818-742-1660, Cameron Gray (NAI Capital) 661-705-3569 Gateway Village

Sale/Lease

Santa Clarita Place

25322 Rye Canyon Road 25230 Avenue Stanford 26320 Diamond Place #110 26320 Diamond Place #170 26320 Diamond Place #200 26330 Diamond Place #190

$1.75 SF/MO/MNN

Stevenson Ranch Plaza Tim Crissman (Crissman Commercial Services) 661-295-9300

23542-23560 Lyons Avenue

Sq. Ft. 850 - 3,000

Pamela Verner (SCV Commercial) 661-714-5271

Keith Bowers (NAI Capital) 661-705-3563

24254 – 24409 Main Street 500 – 6,000 24406 Main Street 1,550 24406 Main Street - Mixed Use Project 800 - 20,000 22520 Lyons Ave 1,000 - 2,200

Retail Buildings

$1.25 SF/MO/NNN

$283.00 SF/$2,040,000 $1.57 - $1.85 SF/MO/NNN Negotiable $325.00 SF/$3,600,000 1.75 SF/MO/NNN $2.00 SF/MO/NNN

27201 Tourney Road

2,389

Lease

$2.35 SF/MO/FSG

Valencia Executive Plaza Branson Brinton (SCV Commercial) 818-414-7657

21704 Golden Triangle Road

200 - 850

Lease

$1.75 SF/MO/FSG

Hillside Professional Center Dan Robinson (Archer Real Estate) 661-255-0154

24001 Newhall Ranch Road, Suites 208 & 209 486

Lease

$3.65 SF/MO/FSG

Mann Biomedical Park

Build-to-Suits also available

Craig Peters (CRRE) 818-907-4616, Doug Sonderegger (CBRE) 818-907-4607

25115 Avenue Stanford 1,701 - 10,600 Lease Valencia Park Executive Center 28470 - 28490 Avenue Stanford 1,230 - 8,836 Lease

$1.75 SF/MO/FSG $2.65 SF/MO/FSG

Valencia Corporate Plaza Craig Peters (CBRE) 818-907-4616, Richard Ramirez (CBRE) 818-907-4639, Robert Valenziano (CBRE) 818-907-4663

23734 Valencia Boulevard

1,523 - 1,860

Lease

Valencia Financial Center

23838 Valencia Boulevard

1,110 - 2,674

Lease

Atrium Medical Building

25078 Peachland Avenue

1,000

Lease

Peachland Medical Arts

23502- 23504 Lyons Avenue

692 - 5,710

Lease

Lyons Plaza

$1.95 SF/MO/FSG + J $2.25 SF/MO/NNN

$1.95 SF/MO/MG + E + J $1.55 SF/MO/FSG + J

AUGUST 2016

SANTA CLARITA VALLEY BUSINESS JOURNAL

29

REAL ESTATE SECTION – Commercial, Industrial & Retail Office/Commercial Buildings 23542- 23560 Lyons Avenue

Sq. Ft.

Sale/Lease

450 - 4,000

Lease

Price $1.10 SF/MO/NNN

Plaza Posada

28097 Smyth Drive

1,655

Lease

$2.45 SF/MO/FSG + J

Cameron Gray (NAI Capital) 661-705-3569

24303 Walnut Street

200 - 770

Lease

$2.00 SF/MO/MG

Tim Crissman (Crissman Commercial Services) 661-295-9300

27502 Avenue Scott

3,893

Lease

$1.85 SF/MO/FSG

Craig Peters (CRRE) 818-907-4616, Richard Ramirez (CBRE) 818-907-4639

27955 Smyth Drive

800 - 850

Lease

$1.90- $2.00 SF/MO/FSG

Rebel Suites

25050 Avenue Kearny

750

Lease

Rebel Professional

19042 Soledad Canyon Road

603 - 1,340

Lease

25775 McBean Parkway 25880 Tournament Road

Sq. Ft.

Sale/Lease

1,201 - 6,682 1,043 – 4,559

Lease Lease

Sq. Ft.

Sale/Lease

28368 Constellation Road, Bldg C, Unit 360 26074 Avenue Hall; #20 Unit #15 28079 Avenue Stanford

4,017 3,082 6,164 25,130

Sale Lease Lease Lease

John Erickson (Colliers Int.) 661-253-5202, Chris Erickson (Colliers Int.) 661-253-5207

28334 Industry Drive

35,310

Lease

25060 Avenue Tibbitts

21,147

Sale

28358 Constellation Road, Unit B

$2.10 SF/MO/FSG

James Ebanks (Realty Advisory Group, Inc.) 661-702-8880 x 12, Lauren Ebanks (Realty Advisory Group, Inc.) 661-702-8882 x 18

Price $2.76 SF/MO/NNN Negotiable

24971 Avenue Stanford

84,984

20,415

Lease

Sale

25159 Avenue Stanford

79,701

Sale

28446 Constellation Road 27955 Smyth Drive, Suite 107

23929 McBean Parkway

1,252 - 11,149

Lease

$2.25 SF/MO/NNN $2.75 - $3.65 SF/MO/NNN

Henry Mayo Hospital Campus Randy Cude (NAI Capital) 661-705-3553

25050 Peachland Avenue

800 - 4,000

Lease

$2.20 SF/MO/NNN

22777 Lyons Avenue

150 - 1,700

Lease

Negotiable

The Lyons Building Andrew Ghassemi (NAI Capital) 661-705-3039, Yair Haimoff (NAI Capital) 818-742-1659

28338 Valencia Boulevard

1,110 - 2,674

Lease

$2.25 SF/MO/NNN

Land (Commercial, Industrial & Retail) Acres

Sale

SWC Golden Valley Rd./Centre Pt. Pkwy.

Sale

1.5

Price $35.20 SF/$2,300,000

Nigel Stout (JLL) 818-531-9685

23600 Sierra Highway 15112 Sierra Highway 23658 Sierra Highway Placerita Canyon Sierra Highway

10 149 6 10 30,000

Sale Sale Sale Sale Sale

$14.35 SF/$6,250,000 $0.61 SF/$3,900,000 $18.00 SF/$4,700,000 $6.88 SF/$3,000,000 $23.00 SF/$700,000

Randy Cude (NAI Capital) 661-705-3553

SEC Newhall Ranch Rd. & Rye Canyon Rd. 74,000

Sale

$22.50 SF/$1,655,000

Craig Peters (CBRE) 818-907-4616, Doug Sonderegger (CBRE) 818-907-4607

SWC Copperhill Drive & Rio Norte

8.65

Sale

West Creek

NEC Bouquet Canyon Road & Plum Canyon Road 1.86 Bouquet Canyon/Madrid Road 3.71

Sale Sale

$22.00 SF/$8,500,000 $30.00 SF/$2,430,000 $30.00 SF/$4,848,000

John Z. Cserkuti (NAI Capital) 661-705-3551

15112 Placertia Canyon Bouquet Canyon/Vasquez Canyon 14825 Sierra Highway 24605 Railroad Avenue 15112 Sierra Highway 21145 Centre Pointe Parkway

149 15 38 10,743 149 65,775

Sale Sale Sale Sale Sale Sale

$0.60 SF/$3,900,000 $3.48 SF/$2,300,000 $0.37 SF/$612,000 $55.75 SF/$2,600,000 $.60 SF/$3,900,000 $15.20 SF/$1,000,000

Yair Haimoff (NAI Capital) 818-742-1659

SWC Soledad Canyon Rd/Golden Valley Rd Valley Business Center Valley Business Center Valley Business Center Valley Business Center Valley Business Center Valley Business Center

1.19 1.9 2.29 2.67 3.86 4.96 6.15

Sale Sale Sale Sale Sale Sale Sale

$21.00 SF/$1,100,000 $23.00 SF/$1,900,000 $21.00 SF/$2,100,000 $21.00 SF/$2,500,000 $21.00 SF/$3,500,000 $21.00 SF/$4,500,000 $21.00 SF/$5,600,000

Kevin Tamura (Daum Commercial) 661-670 -2001, Ron Berndt (Daum Commercial) 661-670-2000

Industrial Buildings

Sq. Ft.

Sale/Lease

28620 Livingston Avenue

34,330

Lease

Price $0.65 SF/MO/NNN

Doug Sonderegger (CBRE) 818- 907-4607

25014 Anza Drive

11,352

Lease

$0.75 SF/MO/NNN

Richard Ramirez (CBRE) 818-907-4639

28348 Constellation Road

4,857

Sale

$216.00 SF/$1,050,000

3,563 850

Lease Lease

$115.00 SF/$9,200,000 $1.15 SF/MO/NNN $2.10 SF/MO/FSG

22,565

Lease

$0.80 SF/MO/NNN

Yair Haimoff (NAI Capital) 818-742-1659

24955 Avenue Kearny

69,219

Lease

$0.63 SF/MO/NNN

Rexford Industrial Business Park Craig Peters (CBRE) 818- 907-4616, Robert Valenziano (CBRE) 818- 907-4663

24922 Anza Drive Unit F

Atrium Medical Building Cameron Gray (NAI Capital) 661-705-3569

$135.00 SF/$2,800,000

Randy Cude (NAI Capital) 661-705-3553

27772 Avenue Scott

Plaza Posada Medical Center Matt Sreden (NAI Capital) 818-742-1660, Cameron Gray (NAI Capital) 661-705- 3569

$0.65 SF/MO/NNN

Mark Sokolowski (NDKF) 310-491-2075, 818-497-8815, Sean O’Leary (NDKF) 310-491-2010

24355 Lyons Avenue

Lease

$140.00 SF/$2,950,000

Craig Peters (CBRE) 818-907-4616

Cody Chiarella (CBRE) 818-502-6730, Troy Pollet (CBRE) 818-907-4620

1,200 - 5,200

$0.59 SF/MO/NNN

Matt Dierckman (CBRE) 818-502-6752

Todd Lorber (NAI Capital) 818-933-2376

Lyons Professional Building

Price $205.00 SF/$825,000 $0.95 SF/MO/NNN $0.95 SF/MO/NNN $0.70 SF/MO/NNN

$1.75 SF/MO/FSG

Randy Cude (NAI Capital) 661-705-3553

Office/ Medical Buildings

Industrial Buildings

11,600

Lease

$0.80 SF/MO/IG

Nigel Stout (JLL) 818-531-9685

28210 N. Avenue Stanford 28903 Avenue Paine 25161 Rye Canyon Loop; Building #61

116,143 146,000 23,292

Sale/Lease $14,500,000/$0.58 SF/MO/NNN Sale $142 SF + 1.8 ac. Land Lease $0.60 SF/MO/NNN

Mann Biomedical Park Craig Peters (CBRE) 818-907-4616, Doug Sonderegger (CBRE) 818-907-4607

28650 Braxton

52,260

Lease

$0.65 SF/MO/NNN

John Erickson (Colliers Int.) 661- 253-5202, Chris Erickson (Colliers Int.) 661- 253-5207

25371 Rye Canyon

81,190

Sale

TBD

Bill Pentz (DAUM Commerical R/E) 818-449-1625 and Kevin Tamura (DAUM Commercial R/E) 818-449-1631

28368 Constellation Road, Bldg. C, Unit 300 6,131 26374 Ruether Avenue 2,994

Sale/Lease $1,380,000/$1.10 SF/MO/MG Lease $1.00 SF/MO/MG

Bernards Centre Point Park

25110 Rye Canyon Canyon Loop

8,384

Sublease

$0.61 SF/MO/NNN

Mann Biomedical Park Tim Crissman (Crissman Commercial Services) 661-295-9300

28034 Industry Drive. Unit A

9,973

Lease

$0.79 SF/MO/Gross

Doug Sonderegger (CBRE) 818-907-4607

27460 Avenue Scott Unit D 24700 Avenue Rockefeller

20,866 50,261

Lease Lease

$0.63 SF/MO/NNN $0.57 SF/MO/NNN

Craig Peters (CBRE) 818-907-4616, Doug Sonderegger (CBRE) 818-907-4607

21515 Centre Pointe Parkway

16,773

Sale

$215.00 SF/$3,606,000

Chris Jackson (NAI Capital) 818-933-2368,Todd Lorber 818-933- 2376, Matt Ehrlich 818-933- 2364

27756 Avenue Hopikins 28348 Constellation Road

21,884 4,857

Lease Sale

$0.64 SF/M0/NNN $216.00 SF/$1,100,000

Kevin Tamura (DAUM Commercial), Ron Berndt (DAUM Commercial) 818-333-2207

29017 Avenue Penn

8,220

Sale

$219.00 SF/$1,800,000

James Ebanks (Realty Advisory Group Inc.) 661-702-8880 x 12, Lauren Ebanks (Realty Advisory Group Inc.) 661-702-8882 x 18

Future Industrial Projects

Sq. Ft.

Sale/Lease

VCC; West of I-5/NE SR 126 Gateway V 60,923 - 105,407 Lease IAC Commerce Center (Phase 1) 93,500 - 250,000 Lease Sierra Highway/Newhall Avenue/East/SR14 Freeway Needham Ranch (Phase 1) 16,000 - 223,530 Sale /Lease

Price TBD; 3Q 2016 TBD; 3Q 2016 TBD; 1Q 2017

Craig Peters (CBRE) 818-907-4616, Doug Sonderegger (CBRE) 818-907-4607, Richard Ramirez (CBRE) 818-907-4639

Michael Corbin (DAUM Commerical) 661-670-2004, Kevin Tamura (DAUM Commercial) 818-449-1631

28608 Hasley Canyon Road Avalon Business Center

Sam Glendon (CBRE) 818-502-6745

James Ebanks (Realty Advisory Group Inc.) 661-702-8880 x 12, Lauren Ebanks (Realty Advisory Group Inc.) 661-702-8882 x 18

28311 Industry Drive

28462 Constallation Road 28486 Constallation Road 28452 Constellation Road 26340 Diamond Place

2,786

3,584 7,513 3,180 2,000 - 7,000

Lease

$1.05 SF/MO/G

Sale/Lease $807,000/$0.99 SF/MO/NNN Sale $199.00 SF/$1,500,000 Lease $0.85 SF/MO/NNN Lease $1.15 SF/MO/NNN

Yair Haimoff (NAI Capital) 818-742-1659

27525 Newhall Ranch Rd., Unit 9

7,584

Lease

Nigel Stout (JLL) 818-531-9685

24820 Avenue Tibbitts

13,045

Lease

$0.70 SF/MO/NNN $0.75 SF/MO/NNN

Tim Crissman (Crissman Commercial Services) 661-295-9300

28528 Industry Drive

44,162 20,499, 23,668

42,159

Lease Lease

Sale

$0.72 SF/MO/NNN $0.74 SF/MO/NNN

$134.00 SF/$5,649,306

Gateway Industrial Doug Sonderegger (CBRE) 818-907-4607, Craig Peters (CBRE) 818-907-4616

Future Office Projects

Sq. Ft.

Sale/Lease

Price

-None- Note: Parties interested in properties should contact listing broker(s) or agent(s) for more information. To list here:

James E. Brown, Manager Business Attraction, SCVEDC, 661-288-4413, JimBrown@scvedc.org

30

SANTA CLARITA VALLEY BUSINESS JOURNAL

AUGUST 2016

REAL ESTATE SECTION – Residential Housing Stats - Santa Clarita Valley

SCV Median Home Value SCV Median Condo Value SCV Home Sales SCV Condo Sales SCV Avg. # of Days on Market (SF) SCV Single Family Home Inventory

June ‘16

May ’16

575,000 340,000 265 127 71 629

550,000 521,000 349,500 315,000 252 253 101 110 74 74 474 632

Find a better place...

You deserve better

June ’15

Source: Santa Clarita Valley Economic Development Corporation.

June Sales

Acton New Listings. . . . . . . . . . . . . . . 15 Total Active Listings . . . . . . . . . 52 New Escrows Closed. . . . . . . . . . 6 Median Sale Price. . . . . . $515,000

Newhall New Listings. . . . . . . . . . . . . . . 38 Total Active Listings . . . . . . . . 541 New Escrows Closed. . . . . . . . . 38 Median Sale Price. . . . . . $485,000

Agua Dulce New Listings. . . . . . . . . . . . . . . 10 Total Active Listings . . . . . . . . . 30 New Escrows Closed. . . . . . . . . . .3 Median Sale Price. . . . . . $709,500

Saugus New Listings. . . . . . . . . . . . . . . 97 Total Active Listings . . . . . . . . 107 New Escrows Closed. . . . . . . . . 85 Median Sale Price. . . . . . $491,000

Canyon Country New Listings. . . . . . . . . . . . . . . 91 Total Active Listings . . . . . . . . 122 New Escrows Closed. . . . . . . . . 86 Median Sale Price. . . . . . $420,000

Stevenson Ranch New Listings. . . . . . . . . . . . . . . 26 Total Active Listings . . . . . . . . . 28 New Escrows Closed. . . . . . . . . 29 Median Sale Price. . . . . . $593,000

Castaic New Listings. . . . . . . . . . . . . . . 30 Total Active Listings . . . . . . . . . 45 New Escrows Closed. . . . . . . . . 25 Median Sale Price. . . . . . $520,000

Valencia New Listings. . . . . . . . . . . . . . 134 Total Active Listings . . . . . . . . 161 New Escrows Closed. . . . . . . . 120 Median Sale Price. . . . . . $549,000

Kevin Fenenbock 661 253 5204 kevin.fenenbock@colliers.com DRE # 01165115

www.northlaofficespace.com

Source: Southland Regional Association of Realtors. June 1 - 30, 2016

Canyon Country · Newhall · Saugus · Valencia · Stevenson Ranch · Castaic · Agua Dulce

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