SCV Business Journal January 2016 by Signal

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

SANTA CLARITA VALLEY BUSINESS JOURNAL www.scvbj.com

$2.00 · Volume 7 · Number 9

january 2016

Laemmle Mixed-Use Project Page 5

■ JSB Development. Courtesy rendering.

JSB Development Readying to Start Second MixedUse Project By Jana Adkins SCVBJ Editor

fter holding onto a parcel of land for some 10 years, JSB Development plans to build a mixed-use project off of McBean Parkway, nearby where The Greens’ miniature golf and restaurant once stood. The project is planned for land just to See JSB page 19

■ Serrano Development Group. Courtesy rendering.

SCV Firms Breathe a Sigh of Breeding Success: Ktech Launches Second Company Relief as Export-Import Bank By Jana Adkins is Revived SCVBJ Editor

By Jana Adkins

product manufacturer for digital broadcasting network and cable companies, Ktech Telecommunications, Inc. relocated to Valencia, earned a state business tax credit, and is preparing to launch a new branch of business all within the space of a few months. Founded 20 years ago, the company recently moved from Chatsworth to an 8,000 square foot space on Ave. Crocker in Valencia. The company needed more space to expand, said Founder and President Steve Kuh. Quite simply, the area offered a larger ﬂoor space for manufacturing and at better terms, he said. And that worked well for Kuh’s expansion plan.

iXT On Nov. 1, Kuh formed a separate ﬁrm with partner Gene Agron called iXT Manufacturing Solutions, LLC. Serving as an electronics contract manufacturer, it will provide engineering and circuit assembly services to other companies. A USC-trained engineer, who formerly worked with the telecommunications

SCVBJ Editor

■ Circuit board and HDTV decoder box at Ktech in Valencia. Photo by Dan Watson.

company Motorola, Kuh ﬁrst branched off on his own two decades ago because he wanted to develop microchip technology used for high-deﬁnition television (HDTV). Ktech became one of the first companies to produce equipment for that industry. Expanding into new areas, Ktech and iXT operate out of the same building, but the owners of iXT are focusing on LED-based lighting products for See KTECH, page 8

fter having been shut down for nearly five months when Congress allowed the Export-Import Bank’s charter to expire for the first time in its 81-year history, President Obama signed legislation in late November reviving the federal bank. A measure extending the charter through 2019 was included in a massive transportation bill that both the House and Senate finally passed. The bank was first established in 1934 and is now a small federal agency that makes and guarantees loans to help foreign customers buy U.S. goods. But, conservatives said the free market doesn’t need any help, a campaign led by the

■ A man walks past the Export-Import Bank of the United States, in Washington, D.C. Congressional backers of the Export-Import Bank are close to reviving it four months after conservative foes ensured that its charter expired. AP image.

billionaire Koch Brothers, tea party activists and Sen. Marco Rubio, a 2016 presidential candidate. “As a lifetime Republican, I was appalled See BANK, page 10

Movie Ranches to Qualify as Production Facilities Under State’s Film Incentive Program By Jana Adkins SCVBJ Editor

he California Film Commission is preparing to include movie ranches under the definition of an “approved production facility,” said an official with the state commission. Under the current definition, studios with indoor sound stages were typically considered as approved facilities.

Santa Clarita has many movie ranches, including Melody Ranch, Blue Cloud and Disney’s Golden Oak Ranch, that have served as backdrops to feature ﬁlms. But not all movie ranches in the area will meet the approved criteria, said Amy Lemisch, executive director for the California Film Commission. “A movie ranch has to be properly primarily used for ﬁlm and TV commercial production,” Lemisch said. See MOVIE, page 19

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JANUARY 2016

SANTA CLARITA VALLEY BUSINESS JOURNAL

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

SANTA CLARITA VALLEY BUSINESS JOURNAL www.scvbj.com

$2.00 · Volume 7 · Number 9

january 2016

Cover JSB Development Readying to Start Second Mixed-Use Project Laemmle Mixed-Use Project Breeding Success: Ktech Launches Second Company SCV Firms Breathe a Sigh of Relief as Export-Import Bank is Revived Movie Ranches to Qualify as Production Facilities Under State’s Film Incentive Program

Editorial

Features

661-287-5564

The Quest to Create a Legacy. . . . . . . . . . .6

Major and National Accounts -

SCVBJ Editor

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

Advertising

Air Travelers Won’t Have to Rely on Airport Angel if Burbank Airport Gets a New Terminal . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Second Newhall Building Sold to Investors . . . . . . . . . . . . . . . . . . . . . . . . . . . .8

Marketing Director

Maureen Daniels maureen@signalscv.com 661-287-5566

Outlook 2016: Jobs and Connecting with Employees . . . . . . . . . . . . . . . . . . . . . . . . . 9 Wesco Aircraft Extends Agreement with Triumph . . . . . . . . . . . . . . . . . . . . . . . . . . . .9 City and County Proclaims “Princess Cruises Day” . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .10 KB Homes Awarded by the EPA for its Water-Wise Homes . . . . . . . . . . . . . . . . . .11 Outlook 2016: Filming in Santa Clarita . . . . . . . . . . . . . . . . . . . . . . . . . . . . .13 December Recap . . . . . . . . . . . . . . . . . . . . .14 Outlook 2016: New Housing. . . . . . . . 15 California is a Good Place to Do Business . . . . . . . . . . . . . . . . . . . . . . . . 16 Valencia Technologies Given 2015 Patrick Soon-Shiong Innovation Award . . . . . . . . . . . . . . . . . . . . . . . . . 16

Sales Manager

Michael Madigan michael@signalscv.com 661-287-5561 Multi-Media Account Executives

Alesia Humphries Toni Sims Darmon McGruder Andy Lentz ■ Technician Jeff Kim works on a video encoder box at Ktech Telecommunications in Valencia. Photo by Dan Watson.

movie ranches qualify as an “approved production facility” – an added protection to the local film industry which has broken record after record for five straight calendar years. As we launch 2016, here’s wishing all the firms and employers in the Santa Clarita Valley a prosperous new year.

JCI Junior Chamber International . . . . . . .25

s we reviewed a year’s worth of newsworthy business stories in 2015, we concluded it had been a very good year. As we dig into developing stories in the Santa Clarita Valley and speak with some experts regarding their outlook for 2016, the SCV Business Journal believes this will be an equally good year. We have companies relocating to the SCV, investors buying into the revitalization of the historic business district in downtown Newhall, and developers getting under way with more new projects. And we also ﬁnd the state’s ﬁlm commission is onboard with ensuring our local

Business Data Central

Index of Products and Services

SCV Voices: Guide to Planning in 2016 . . .12 SCV Voices: General Pavement . . . . . . . . .16 Column: VICA . . . . . . . . . . . . . . . . . . . . . .21

SCV Business Services The List . . . . . . . . . . . . . . . . . . . . . . . . . . . .20 VIA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .22 SCVEDC . . . . . . . . . . . . . . . . . . . . . . . . . .23 Chamber of Commerce . . . . . . . . . . . . . . .24

Residential Real Estate . . . . . . . . . . . . . . . .18 Commercial Real Estate . . . . . . . . . . . . . . .26

■ Courtyard. Serrano courtesy rendering.

Brookﬁeld Residential . . . . . . . . . . . . 2 California Bank & Trust . . . . . . . . . . 2 Colliers International . . . . . . . . . . . . 27 General Pavement . . . . . . . . . . . . . . . 4 JJ’s Bar & Grill . . . . . . . . . . . . . . . . . 4 LBW Insurance Financial Services. . . 4 Mission Valley Bank . . . . . . . . . . . . 12 NAI Capital . . . . . . . . . . . . . . . . . . . 27 Poole & Schaffery . . . . . . . . . . . . . . . . 15 Randal G. Winter Construction, Inc. . 27

Media Support Specialist

Jennifer St. Clair

From the Editor

Is It Really Made in the U.S.A.? . . . . . . 18

Articles

Cindy DeHerrera

Art/Production Creative Supervisor

Deborah Runions Photographers

Daniel Watson Katharine Lotze Executive Staff Publisher

Jana Adkins SCVBJ Editor jana@signalscv.com

RJB Law Ofﬁces . . . . . . . . . . . . . . . 9 RM Business Solutions . . . . . . . . . . . 6 SCVEDC . . . . . . . . . . . . . . . . . . . . . 9 SCVEDC: Laurel Shockley . . . . . . . . 7 SCVEDC: Don Fleming . . . . . . . . . .10 SCVEDC: Roger Seaver . . . . . . . . . 13 SCVEDC: Calvin Hedman . . . . . . . .19 Stay Green . . . . . . . . . . . . . . . . . . . . 2 Valencia Acura . . . . . . . . . . . . . . . . . .11 Valencia Park Executive Center . . . . .18

Santa Clarita Valley Business Journal (a Signal publication), © 2015, is published monthly by the Santa Clarita Valley Signal newspaper, a Morris 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. POSTMASTER: Send address change to SCV Business Journal, P.O. Box 801870, Santa Clarita, Ca. 91380-1870.

Chuck Champion chuck@signalscv.com 661-287-5578 Executive Editor

Jason Schaff jason@signalscv.com 661-287-5515

Online www.scvbj.com

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SANTA CLARITA VALLEY BUSINESS JOURNAL

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SANTA CLARITA VALLEY BUSINESS JOURNAL

A Laemmle theater: The decision By Jana Adkins SCVBJ Editor

s Santa Clarita considers whether or not to bring a Laemmle movie theater into the historic downtown Newhall district, city officials are weighing the question of whether the benefit of providing incentives to get the independent theater is worth the investment. Residents have been down a similar road in the past, when the city council stopped a plan to entice the retailer Nordstrom to open a store at the local mall – back when the city was only some 10-plus years old, and population was far less than it is now. With many retailers contracting, not expanding, attracting a Nordstrom in the future seems unlikely. A similar fate hit the city of St. Louis, Missouri half a century ago when Walt Disney envisioned building an indoor Disney theme park in the city. St. Louis was booming at the time, the Gateway Arch was under construction, and Busch Stadium was being built a few blocks away from the site where Disney wanted to locate his theme park, just a few blocks from the Mississippi River. Disney met with the city’s mayor in 1963, but the deal fizzled. Disney was willing to pay for the rides and attractions, but wanted the St. Louis redevelopment corporation to pay for the building. It declined to do so and Disney backed out in 1965, the Associated Press recently reported. St. Louis’s loss became Orlando, Florida’s gain. Today some 21 million people visit St. Louis. Walt Disney World in Orlando draws some 52 million visitors annually. While no one would compare the magnitude of drawing a Laemmle theater to that of a Disney theme park in terms of sales tax revenue and benefits to a local economy, the concept is the same in both scenarios -- is the Laemmle project a linchpin in revitalizing the downtown Newhall area which will eventually attract other higher-end entertainment venues, restaurants and other businesses? Is it worth the investment?

Laemmle/Mixed-Use project “We do surveys every year about stores and entertainment options residents would like to see in Santa Clarita,” the city’s economic development manager, Jason Crawford, said in July when news of the project first broke. “Laemmle is always at the top of the list, along with Nordstrom and

Cheesecake Factory.” A look at 2014 survey results, both online and by telephone, does show residents asking for more theaters as well as for the retailer and restaurant. Residents have also said they want access to adult films – not the pornographic kind, but movies that stimulate adult curiosity and intelligence; similar to the plays produced by the Newhall theater groups. That is the type of fare offered at Laemmle theaters. Santa Clarita has long worked to reimagine downtown Newhall. Its earlier efforts were stymied, leaving downtown Newhall in limbo, when the state shut down redevelopment agencies which gave cities a tool to reinvigorate aging retail districts. The city’s redevelopment agency purchased the property in 2008 with the hopes of partnering with a developer to build the project, Crawford said. And so, under current review by city staff, and to be presented to Santa Clarita’s city council for approval later in January, is a plan to develop a two-acre parcel off Lyons Blvd. and Main Street across the street from the city’s newest library. Whereas the two theaters, Canyon Theater Guild, the Repertory East Playhouse, and the successful Newhall Refinery food and brew eatery anchor one end of Main Street, the mixeduse project would anchor the opposite end. Simply, the project consists of a public parking garage to be built by the city; a 45- resident unit mixed-use project with retail restaurant space on the ground floor to be built by the Serrano Development Group; and a six-screen Laemmle theater. The city would provide some incentives to bring the independent chain, six-screen theater to Santa Clarita. “As we look at a proposal for the Laemmle theater and Serrano project, the estimated $5.8 million (to be) spent at those neighboring businesses gets me really excited about the impact this project could have on the community,” said Jason Crawford, economic development manager for the city of Santa Clarita. And while many in the community are anxious to see a Laemmle come to town; others are not so convinced the project is worth the city’s investment.

Economics of the deal While the details of the proposed mixeduse project are still under negotiations to lower the price tag, according to Crawford, early estimates said the city would invest some $10 million to build a parking garage, providing more visitor spaces for

■ Vacant lot for the proposed new development at the corner of Lyons Avenue and Main Street in Newhall as viewed from the Old Town Newhall Library. Photo by Dan Watson.

■ Plan for the Serrano Development’s mixed-use project and Laemmle Theater, and the city’s public parking garage. Courtesy of Serrano Development Group.

those businesses along Main Street. Serrano would build a mixed-use residential housing project with street-level spaces for shops and restaurants in a courtyard area allowing for patio dining. The developer will buy a portion of the two-acre parcel at fair market value, and provide underground parking for its residential units, the city said earlier. James Tolleson, principal at Serrano development, estimates the theater, parking and mixed-use project combined will run around $38 million to build. As for the Laemmle, the city is proposing to help the independent theater chain with some form of incentives or subsidiaries to the tune of $4 million – or less if the city is successful lowering its share of the investment. In exchange, the theater guarantees it will continue operating in the city for a specified period of time. Assistance could involve financing some cost of construction or other financial incentive. Or the help could even be as simple as deeding over the portion of the land the theater will occupy. The Newhall project is similar to a mixed-use development by the Serrano group and Laemmle in the city of Glendale – and the incentives they are offering Laemmle are slightly higher, around $5.1 million according to Crawford and city documents found online. When the city first drafted estimated benefits to the surrounding businesses in Newhall, it conservatively estimated an additional $4 million – or a 20 percent increase in sales - would flow into surrounding businesses; with those located closer to

the project expected to benefit more than those farther away. Subsequent economic studies by Applied Economics and a Kosmont analysis put the dollar benefits much higher. Applied Economics looked at the possible extra revenue the project might generate for surrounding businesses in Newhall. It estimated some 9-businesses in the downtown district would see an additional $5.8 million in sales in total – more than the $4 million the city earlier projected. Again, Crawford cautioned some businesses would see higher sales the closer they are located to the new project. The study also estimates an additional $800,000 would be spent at other businesses spread throughout the city as a result of the new project. “Generating an extra $5.8 million at local businesses, mostly mom-and-pop owned stores, has a greater benefit,” Crawford said. “We know that when money gets spent at local small businesses, that has a greater rebounding effect on the local economy because those owners live and shop in the city themselves, generating more sales in return at other local businesses.” As for the two-acre parcel itself, that’s another revenue generator. Kosmont estimates the project would drive more than $8 million in new taxable sales annually on the site of the project itself. The property, for which the city as a governmental entity does not pay any property taxes on, would then generate an estimated $26.2 million in property taxes once part of it is sold and See LAEMMLE, page 21

SANTA CLARITA VALLEY BUSINESS JOURNAL

JANUARY 2016

Business Makeover:

The Quest to Create a Legacy

By Ken Keller

Ken Keller, owner of Strategic Advisory Boards, conducts business reviews of Santa Clarita Valley firms for the SCVBJ. In this edition, he reviewed JRL Electric Supply at their request.

t some point, most owners come to the difficult and perhaps unpleasant realization that they won’t live forever and that the torch of ownership needs to be passed on. Having been in business for thirty years, Joe Levis now recognizes that he, his company and the employees have to change if they are to continue the company for the next generation of family. Having the technical knowledge of a few product lines and an understanding of an industry or two has often been enough to successfully launch and grow a business. And so it was for JRL Electric Supply. Starting out in a two car garage connected to their small home, with $3,000 as seed money and an old beat-up truck, the husband and wife team of Joe and Mary worked long hours and brought their children into the business at a young age to help out. The business grew through the years despite the cycles of new building construction, and the children who took on added responsibilities. An early adopter of web marketing, the company’s websites and affiliations through major retailers like EBay, Amazon and the like now account for a vast

majority of sales revenue. But like many businesses in mature industries, there are two things taking place impacting the business in ways never before imagined or experienced. The first is the continued consolidation of both manufacturers and distributors. The second is that online competitors are continually surfacing and using price as their competitive advantage. No one survives in business for thirty years unless they are doing many things right. Despite some tough years, JRL has been fortunate to maintain volume, revenue and margins in existing verticals, but the competitive pressures will only increase as time passes. Located in the Commerce Center, the family-owned and operated company sells electric parts, primarily circuit breakers in industrial panels. The company wants to grow and is currently looking at adding solar generators for homeowners as a new product line. After reviewing the current situation and the potential for future growth, the following were recommended as action steps.

both ownership and leadership. Result: while this vision statement is a work in progress, the owners and employees have gained new energy and commitment as a result of seeing their desires in writing. Second, the old Chinese fortune cookie of “Hard work pays off in the future; complacency

pays off now” provides a clear picture of the state of the business as it currently exists. Few businesses take the time required to map out the desired future because the primary focus is on the here and now. Having a vision statement is one part of the process, See QUEST, page 13

Action steps First, establish a clear vision for the business and for the family members that own and are working in it. A draft was created: “Together, continue to build a successful, growing and profitable enterprise that will thrive during and after the transitions of ownership.” The most immediate result of this is with a vision statement that reflects the desires of two generations by providing a clear focus on continued growth and profits, all the while preparing for the eventual changes in

■ Joe Levis, founder and president, checks an order of industrial circuit breakers in the warehouse of JRL Electric Supply in Valencia. Photo by Dan Watson.

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■ National Sales Manager. Evan Barnard, left, Purchasing Manager. Paul Levis, right, and COO Roxanne Krokos, seated, check the online model numbers for a circuit breaker order. Photo by Dan Watson.

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■ Joe Levis, founder and president of JRL Electrical Supply, works on a new JRL product, a portable solar generator in Valencia. Photo by Dan Watson.

JANUARY 2016

SANTA CLARITA VALLEY BUSINESS JOURNAL

Air Travelers Won’t Have to Rely on Airport Angel if Burbank Airport Gets a New Terminal By Jana Adkins SCVBJ Editor

fter years of delayed plans, if all goes according to plan, Santa Clarita residents and business travelers should be able to make use of a new terminal at the Bob Hope Burbank Airport in the early 2020s. While the number of gates (14) will remain the same, the 85-year old terminal will be rebuilt farther from the runways for safety reasons, and have 69 percent more space added to it to provide travelers with more of the amenities they are demanding, said Lucy Burghdorf, director of public affairs and communications for the Burbank Airport. The proposed new terminal will be a minimum of 232,000 square feet in size, but no more than 355,000 square feet. “The current facility needs updating and our passengers are looking for more restaurants, restrooms, concessions, and seating; people are currently sitting on the ﬂoor at times,” Burghdorf said. “The new terminal will also create larger TSA screening areas, waiting rooms for people picking up travelers, larger hallways, enhanced indoor baggage claim areas, and improved facilities for passengers with disabilities.” As for location to the runway, that’s a big deal.

Runway safety Many remember the Southwest Airlines jet carrying 137 passengers and ﬁve crew members that careened off a Burbank Airport runway onto a city street in March 2000, breaking through airport barriers and stopping a few yards away from a gas station. Miraculously, no one was killed. “We think we have an airport angel,” Burghdorf said. “That plane landed on Hollywood Way without hurting one soul on the

■ A proposal calls for a new terminal at the Bob Hope Burbank Airport. Courtesy photo.

no cost to taxpayers, she said.

User-funded Airport improvements are user-money funded, she said. There are ﬂyer surcharges, airlines pay fees to land and rent space in the terminal for gates, and the airport – which really acts as a giant landlord, Burghdorf said – also rents out all of its spaces to the retailers, eateries and restaurants in the airport, as well as collects parking fees. And, the airport leases hangars out to private businesses and companies who have their own jets. Saying the airport is an entity unto itself, if it makes money it keeps it, if it loses money it loses it – just as a private business.

We thin think we have an airport angel. That plane landedd on Hollywood Way without hurting one soul on the ground. It landed right in front of a gas station. Had that plane blown a tire it could have veered right into terminal.” – Lucy Burghdorf, Director, Public Affairs And Communications, Bob Hope Burbank Airport ground. It landed right in front of a gas station. Had that plane blown a tire it could have veered right into terminal.” Built in 1937 when planes were smaller, slower and big jets didn’t exist, the distance between the runways and the current terminal is only 250 feet, she said. A Boeing 747 itself is 250 feet long. “The Federal Aviation Administration standard for distance between a terminal and runway is 750 feet,” Burghdorf said. “The FAA gave us until December 2015 to move the rental car area away from the taxi runway.” The new multi-story rental garage sits closer to Hollywood Way now. The existing terminal is so old, Burghdorf said, it’s not very green or energy efﬁcient and has over 100 air conditioners on the roof just to cool passengers inside. And portions of the terminal don’t meet current seismic standards. The projected cost to replace the terminal is $400 million and is at

“Our job is to stay in the black and stay in business,” Burghdorf said. “The airport has money in the bank and will also apply for airport funds through the FAA. There’s no plan to tax residents.” Steeped in history, the airport once belonged to Lockheed Aircraft and Amelia Earhart used Burbank as the base for many of her flights in the 1930s. Lockheed later sold the airport in 1977 to a joint authority when it ran into financial difficulties. In 1978 the cities of Burbank, Glendale and Pasadena formed a joint airport authority to oversee the airport. Each city appoints three commissioners to form the airport authority. As Burbank residents are most affected by the airport, Burbank voters have a supermajority vote to approve, or disapprove, of any changes at the airport. Residents can retain the flight curfews, keep the number of gates to existing levels, and more, giving

them increased protections. If all goes according to plan, once the new terminal is built and operating on either the northeast or southwest quadrant of the airport land, depending on where it is built, the old terminal will be demolished along with the short term parking garage and a cargo building on the south side of the airport, Burghdorf said. As for those

who might pine for the historic architectural style, it’s way too early in the game to know what architects will come up with. “In the best case scenario, if voters pass the airport expansion plan, federal environmental reports will have to be done,” she said. “And we’ve been told we might be able to have a groundbreaking in 2020 or by 2021. Then it’ll take two to three years to build a terminal.” ■

SCVEDC recognizes the leadership shaping our local economy.

Laurel Shockley Executive Committee Member Board of Directors

L AUREL SHOCKELY is currently serving as Southern California Edison’s Economic Development Consultant for the San Fernando Valley, Santa Clarita Valley, Antelope Valley, San Joaquin Valley, Owens Valley, and Ventura and Santa Barbara Counties. Prior to joining Southern California Edison, she was Director of Strategic Location and Expansion Services for KPMG covering the eleven western states. She also served as Director of the California Trade and Commerce Agency’s Southern California Regional Office for eleven years, and prior to that time, did economic development for the Santa Fe Railway Company.

Regional leadership for a regional economy.

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SANTA CLARITA VALLEY BUSINESS JOURNAL

JANUARY 2016

Second Newhall Building Sold to Investors By Jana Adkins SCVBJ Editor

historic building in the heart of Old Town Newhall has sold to a group of investors for close to asking price, said a commercial broker who handled the transaction. Located on the corner of Main and Market streets, the 8,450 square foot, two-story retail and office building is perhaps most recognizable as home to Work Boots Warehouse, with its French-styled balconies and double doors on the second level. This is the second report of a downtown Newhall building being acquired by investors. “They (investors) see there is tremendous opportunity in the area,” said Tim Crissman, of Crissman Commercial Services, Inc. “They’ve seen the renaissance that has been ongoing and it’s only going to get stronger.” Currently the building is occupied by Los Angeles County which houses some services in the building, and the retailer Work Boots Warehouse. The retailer, however, will be relocating within the next three to six months, Crissman said. He’s looking for a new location for them. “The new owners are looking to find a good quality restaurant for the ground floor,” he said. Somewhat of a historic building, it was built on the site that an old hotel once occupied before it burned down decades ago. The Southern Hotel, a semi-colonial style, two-story hotel, once operated at that location in 1887. Crissman said he didn’t know when it burned down, but a mural of the

KTECH

Continued from page 1 industries, and plan to serve as an electronics contract manufacturer as well. New equipment had to be purchased to accommodate the expansion into new growth areas. Moving into production of LED (Light-Emitting Diode) products, the owners are targeting commercial customers in the medical industry to industrial clients in need of high-reliability products. Both Kuh and Agron feel confident about moving into the contract manufacturing arena, they each said.

Sub-contracting “We have been preparing for the last 12 months,” Kuh said. “We have the inhouse engineering know-how and experience of designing, on top of manufacturing expertise.” That expertise includes circuit designs, circuit board layouts and writing software. “What makes us unique is we are first an engineering manufacturer,” said coowner Gene Agron. “That’s our caveat; our leverage is our level of technical expertise.” And iXT can help a customer move an idea through an entire life cycle by providing conceptual drawings, through

■ The property housing the Work Boots Warehouse on Main Street in downtown Newhall sold to a group of investors. Photo by Jana Adkiins.

hotel is painted on the side of the building. Sometime after the hotel was destroyed in a fire, the current building was constructed. Prior owners of the current retail and office building installed an elevator to the building, he said. There is rear and street parking, and the building abuts one of the street corners the City of Santa Clarita landscaped with trees and western style fencing before the state shut down the

redevelopment agencies. “I consider it to be one of the most unique buildings in downtown Newhall,” Crissman said. “It’s also ground zero on Main Street in proximity to the Metrolink station and other amenities in the area.” On the market for six months and sitting on Main Street, the building is right in the heart of the historic downtown district, near two local performance theaters and a

popular new eatery that opened within the past couple years. There is also a smaller boutique hotel in the works for the area, hopefully with groundbreaking to occur soon, Crissman said. And just down the street are the proposed mixed-use residential and retail development, parking garage, and Laemmle movie theater to be considered by the city council in January. ■

engineering and producing a prototype, through to actual production, Agron said. “Not too many contract manufacturers offer design and engineering; it’s either - or, but they don’t do both,” he said. “We currently do business as a subcontractor, with some of the big guys doing aerospace.” If Ktech continues to operate solely in the high-definition broadcasting arena, the firm will limit itself, Agron said. Thus, the thrust behind the expansion. And that new growth has also earned the company a state tax credit as a business incentive.

Tax credit

■ Steve Kuh, president of iXT and founder of Ktech, uses a volt meter on a circuit board as he demonstrates a new commercial LED lighting product at Ktech in Valencia. Photo by Dan Watson

In the second round of the newly launched California Competes Tax Credit program this year, Ktech is only the second Santa Clarita company to have earned the credit. California granted Ktech Telecommunications a $100,000 tax credit in exchange for the firm committing to an investment of $720,000 and hiring at least four full-time employees over the next four years. No doubt some of that money comes in handy for the acquisition of some expensive new manufacturer equipment. But, it will also help build up their staff. “We can use it to hire people as we expand into the contract manufacturing arena,” Kuh said. ■

■ Steve Kuh, left, president of iXT and founder of Ktech, and Gene Agron, co-founder and vice president of Sales and Marketing for iXT on the manufacturing floor at Ktech in Valencia. Photo by Dan Watson

JANUARY 2016

SANTA CLARITA VALLEY BUSINESS JOURNAL

Outlook 2016:

Jobs and Connecting with Employees By Jana Adkins

Growth areas

Hiring dilemma

SCVBJ Editor

According to the SCVEDCâ&#x20AC;&#x2122;s economist, Schroeder said, the greatest growth is in the transportation, warehousing and utilities sector - a lot of logistics-oriented activities, along with growth in construction and government. â&#x20AC;&#x153;Growth in the latter two categories is clearly a reďŹ&#x201A;ection of a strong overall econ-

With the predicted continued growth, the next step is for the companies in the key industry sectors to ďŹ nd out how to connect with the right people to hire, Aaver said. While technology is great, sometimes face-to-face encounters work out better. Think back to pre-Monster.com and LinkedIn. Aaver recalls a recruiting event she attended where Virgin hired a person who appeared not to be as qualiďŹ ed on paper, but that person was much more convincing in how much they wanted the job, she said. The employer was able to experience the applicantâ&#x20AC;&#x2122;s attitude in terms of how much they wanted to grow and was impressed. Now that personâ&#x20AC;&#x2122;s been with the ďŹ rm for a year and the company is really pleased. Face-to-face can be much more effective, she said. Employers are going to have to be more diverse in their approach to hiring in the future. Some are keeping their eyes out for people they meet that might be a good ďŹ t for the job or company; others are encouraging their employees to make referrals, Aaver said. â&#x20AC;&#x153;I think weâ&#x20AC;&#x2122;re going to see employers using paid internships and apprenticeships more in the trades,â&#x20AC;? she said. â&#x20AC;&#x153;That will become more visible as a pathway to employment. And ďŹ rms are going to have to create them (â&#x20AC;&#x2DC;grow employeesâ&#x20AC;&#x2122;) if they want to ďŹ nd them.â&#x20AC;? â&#x2013;

ob growth will be strong in 2016 for the Santa Clarita Valley, said Holly Schroeder, president and CEO for the SCV Economic Development Corp. Itâ&#x20AC;&#x2122;s been running in excess of 1.5 percent for the past couple years and she said that pace should continue in the new year. â&#x20AC;&#x153;In 2015 weâ&#x20AC;&#x2122;ve gained 1,380 jobs through October. Weâ&#x20AC;&#x2122;ll probably add another 2,000 jobs in 2016,â&#x20AC;? Schroeder said. Weâ&#x20AC;&#x2122;ve now reached our pre-recession employment levels. And weâ&#x20AC;&#x2122;re on course to move into the new highest levels of employment in the Santa Clarita Valley.â&#x20AC;? The hiring activity has created a dilemma for hiring companies, however. In the coming year, the greatest challenge the employers have is that they are struggling to ďŹ nd the people theyâ&#x20AC;&#x2122;re looking for; people who often live right here in Santa Clarita, said Keri Aaver, director of the local WorkSource Center. She describes the challenge as people standing back-to-back who canâ&#x20AC;&#x2122;t ďŹ nd each other â&#x20AC;&#x201C; job seekers and hiring companies. Posting a job on a big job board may get a lot of resumes, but it takes time to ďŹ lter through them. â&#x20AC;&#x153;A lot more employers are moving away from job board applicant tracking systems which show a match of a candidate to job,â&#x20AC;? Aaver said. â&#x20AC;&#x153;Sometimes they rule out really strong candidates and the employer ends up with a pool of candidates theyâ&#x20AC;&#x2122;re not really looking for. Thereâ&#x20AC;&#x2122;s an art to using those tools effectively.â&#x20AC;? While the companies and the community work on ďŹ guring out better ways to connect, Santa Clarita Valley ďŹ rms are looking for candidates.

Weâ&#x20AC;&#x2122;ve now reached our W pre-recession employment levels. And weâ&#x20AC;&#x2122;re on course to move into the new highest levels of employment in the Santa Clarita Valley. â&#x20AC;? â&#x20AC;&#x201C; Holly Schroeder, President/CEO, SCV Economic Development Corp omy,â&#x20AC;? she said. â&#x20AC;&#x153;When you have stronger output, it creates more need for the logistics sector. And the fact that government and construction are growing shows the continuing economic recovery because the government sector lags behind (recovery of the) the private sector.â&#x20AC;? As for the regionâ&#x20AC;&#x2122;s key industry clusters of aerospace and defense, advanced manufacturing biomedical devices, ďŹ lming, and information technology, those sectors will remain stable in 2016, Schroeder said. Thereâ&#x20AC;&#x2122;s been good growth in the private sector over the past few years and revenue is up.

Wesco Aircraft Extends Agreement with Triumph By SVBJ Staff

esco Aircraft Holdings Inc. in Santa Clarita, a provider of comprehensive supply chain management services to the global aerospace industry, extended its agreement with Triumph Group,Inc. Triumph manufactures and overhauls aerospace structures, systems and components. The new multi-year agreement extends Wescoâ&#x20AC;&#x2122;s current contract to provide integrated supply chain services

for C-class aerospace hardware, and expands its relationship with Triumph to manage additional sites. â&#x20AC;&#x153;We are very pleased to announce this expanded relationship with such a longstanding and valued customer,â&#x20AC;? Dave Castagnola, Wescoâ&#x20AC;&#x2122;s president and chief executive ofďŹ cer, said in a statement. â&#x20AC;&#x153;We believe that our new agreement with Triumph demonstrates Wescoâ&#x20AC;&#x2122;s strong value proposition and our ability to grow revenue through a broad portfolio of products and services,â&#x20AC;? Castagnola said. â&#x2013;

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SANTA CLARITA VALLEY BUSINESS JOURNAL

JANUARY 2016

City and County Officials Proclaim “Princess Cruises Day” for Local Firm By SVBJ Staff

he city of Santa Clarita, hometown of Princess Cruises’ world headquarters, and the County of Los Angeles proclaimed "Princess Cruises Day" on Dec. 3, marking the year-end celebrations to the cruise line’s 50th anniversary. To celebrate 50 years, Princess Cruises entered its first-ever float in the iconic Rose

Parade on New Year's Day in 2015, and entered into partnerships with Broadway lyricist and composer Stephen Schwartz, and awardwinning chef and restaurateur Curtis Stone. And the leisure and travel firm also introduced its Discovery at Sea program in the past year. It also brought together the original cast from the TV Show “The Love Boat” – which reportedly launched both Princess Cruises and the cruise industry – to celebrate the cruise

■ “The Love Boat” cast reunited aboard Pacific Princess in the Port of Los Angeles to celebrate the 50th anniversary of Princess Cruises. From left: Bernie Kopell (Doc), Fred Grandy (Gopher), Ted Lange (Isaac), Gavin MacLeod (Captain Stubing), Lauren Tewes (Julie) and Jill Whelan (Vicki Stubing). Princess Cruises courtesy photo.

SCVEDC recognizes the leadership shaping our local economy.

Don Fleming

Co-Chair, Board of Directors

DON FLEMING was born and raised in

Texas. He moved to Southern California after he was discharged from the USMC. He and his wife, Cheri, have an entrepreneurial spirit and have owned various businesses; however, the car business "hooked" them in 1985. In 1997, Cheri and Don purchased Valencia Acura. At that time Valencia Acura ranked dead last nationally in sales and customer satisfaction. With no place to go but up, Don and Cheri began treating customers the way they would want to be treated, and became a vital force in the Santa Clarita community. Today, Valencia Acura is one of the highest ranking customer satisfaction dealerships in the country. Valencia Acura’s sales penetration in their primary market area and customer loyalty ranks among the highest in the nation.

Regional leadership for a regional economy.

www.stillgolden.org

line company’s five decades in the business of offering cruise vacations to millions of people around the world. The pilot episode of "The Love Boat" was shot aboard the 730-passenger Sun Princess, with Pacific Princess and Island Princess then becoming the primary floating stars of the show. The show aired from 1977 to 1986 and introduced viewers to modern day cruising. Today the company is the third largest

cruise line in the world with a fleet of 18 ships, taking 1.7 million travelers each year to destinations around the globe. More than 30,000 employees both ashore and at sea work to offer guests enriching and relaxing cruise vacation experiences. "We celebrate our successes over the last 50 years and I know our future is bright as we chart a course for the next 50 years," said Jan Swartz, Princess Cruises president. ■

■ Princess Cruises President Jan Swartz, left, and everyone’s favorite captain, Gavin MacLeod, accept a proclamation from the City of Santa Clarita Mayor Pro Tem Bob Kellar declaring December 3, 2015 “Princess Cruises Day” in honor of the cruise line’s 50th anniversary. Princess Cruises courtesy photo.

BANK

Continued from page 1 at not voting for something that means American jobs,” said Steve Griffith, president of Lamsco West in Santa Clarita. Griffith travelled to Washington, D.C., a couple of times to lobby for the charter to be renewed. Revival of the bank was cheered by business groups, like the U.S. Chamber of Commerce, which say the Export-Import Bank is necessary for U.S. competitiveness since most overseas competitors rely on similar government help. Locally, aerospace manufacturers say the Export-Import Bank helps level the playing field since other countries provide likesupport to companies operating within their countries. “It was a nightmare,” Griffith said. “We’re down 11 percent from last year and we shouldn’t be. The U.S. Congress almost gave away America’s most dominant industry.” As a supplier, Boeing represents 98 percent of Lamsco West’s business, and sales at Boeing dropped while sales at Airbus – a France-based firm supported by a European consortium of countries – beat out Boeing in 2015. Lamsco did $40 million worth of business last year. And Griffith said other local manufacturers like Wesco were affected, as well. “I really think the lack of loans to foreign buyers affected our business and it was killing suppliers in the satellite business,” Griffith said. “My sales were down at a time when they shouldn’t really be.” “Many firms in the Santa Clarita Valley operate in a global market”, said Holly

Schroeder, president and CEO of the Santa Clarita Valley Economic Development Corp., and changes in export levels can have a big impact in the bottom line of those firms. “During the impasse about the ExportImport Bank, we heard from several companies about the opportunities they missed out on,” Schroeder said. Now that the bank can operate again, it provides important working capital for companies trying to fill export orders, she said. “We brought the Export-Import Bank back to life, so American manufacturers and workers can compete against our foreign competitors on a level playing field,” GOP Sen. Mark Kirk of Illinois told the Associated Press. The bank authorized $20 billion worth of transactions last year, which supported $27.5 billion of U.S. exports and 164,000 U.S. jobs, Kirk said. “We view re-funding of the Ex-Im Bank as positive,” said Marty Glass, president of Airframe Systems, Woodward Inc. in Santa Clarita. “Our major customers use things to support their sales, which ultimately flow to us.” If the opponents have their way, however, people like Griffith may find themselves back in Washington, D.C., again, fighting to keep the bank alive because both the conservatives and Koch Brothers have said they expect to defeat the bank when the charter is up for renewal in four years time. In the meantime, Griffith, who worked with Congressman Steve Knight (R-Palmdale), and got his help, said that when Knight voted in favor of reviving the bank,Griffith thanked him and told his employees that “Knight is a man of the people.” ■

JANUARY 2016

SANTA CLARITA VALLEY BUSINESS JOURNAL

KB Home Awarded by the EPA for Water-Wise Homes By Jana Adkins SCVBJ Editor

he U.S. Environmental Protection Agency has given the nod to homebuilder, KB Home, for a second time this year by awarding it with a 2015 WaterSense Sustained Excellence Award. This is the fourth consecutive year the Los Angeles-based builder has been recognized as an EPA WaterSense partner, and the first year it has won the Sustained Excellence Award. The EPA honored KB Home for continuing to press forward with residential water efficient homes. In 2014, the builder increased the number of WaterSense labeled homes it built and provided educational outreach to consumers on the value and benefits of these products. Such products are produced by various manufacturers, but only efficient ones earn the WaterSense label by the EPA. Those products exceed federal standards for savings. Cumulatively, KB Home's WaterSense labeled homes and installation of water-efficient features save an estimated 3 million gallons of water daily, or the equivalent of four-and-a-half Olympic-sized swimming pools, compared to typical existing homes that don't have water-saving features.

California was named Energy Star Partner of the Year Sustained Excellence winner by the EPA for the ﬁfth straight year. "Through our sustainability journey, we have often found that what is good for the environment is also good for our customers and our company, and this prestigious award serves as an extraordinary recognition of our efforts," Bridleman said. ■

■ Plum Canyon home. KB Home courtesy photo.

Local benefits KB Home has continuously built new homes in the Santa Clarita Valley for more than two decades. On a 2014 tour of the builder’s latest projects in Plum Canyon, Canyon Heights and Canyon Crest, the homes featured WaterSense labeled faucets, toilets and showerheads. And, the dishwashers installed in the homes were not only Energy Star certified, but also used significantly less water. Both communities also had tankless water heaters. "KB Home's sustainability principles have been a significant focus of our business for many years, and it is an incredible honor to have earned the WaterSense program's Sustained Excellence designation this year for our ongoing commitment to water efficiency," Dan Bridleman, senior vice president of Sustainability, Technology and Strategic Sourcing at KB Home, said in a statement. More than 262 California utilities, manufacturers, retailers, builders, and organizations partner with WaterSense; however, only a select few are recognized for their significant program contributions, according to the EPA. There are 1,700 nationwide. KB Home is one of only a handful of builders in the state to partner with the EPA WaterSense program, and the only builder on the list constructing new homes in the Santa Clarita Valley. Among the municipal and utility partners the EPA WaterSense acknowledges locally are the City of Santa Clarita; Castaic Lake Water Agency, which owns the Santa Clarita Water Division; Newhall County Water District; and the Valencia Water Company. Earlier this year, KB Home Southern

Welcome friends. The all-new 2016 lineup is here. To our old friends, welcome back. To our new friends, we invite you to discover how pleasant a trip to the dealer can be. From the affordable ILX to the thrilling TLX and versatile MDX, come see the new 2016 lineup at Valencia Acura— where shopping for a car is like shopping with a friend.

valenciaacura.com | (661) 255-3000

SANTA CLARITA VALLEY BUSINESS JOURNAL

JANUARY 2016

SCV VOICES

Guide to Planning in 2016 By Tamara Gurney President & CEO Mission Valley Bank

s 2016 quickly approaches, a common New Year’s resolution is to take control of your ﬁnances. This year, resolve to plan ahead. First things ﬁrst – if you haven’t already, consider making the switch to an independent, community business bank to take advantage of the services of a trusted advisor who can assist and advise every step of the

way, any day, all year long. To stay on track with your resolution, here are a few simple steps that I have learned from one of my own trusted advisors – Darlynn Morgan (President of the Morgan Law Group). These are simple steps to take each month that will allow you to achieve your goals at year’s end. Divide your ﬁnancial planning into quarters and easily streamline your ﬁnancial future.

First Quarter: January- February- March The ﬁrst step to planning ahead is

looking back. Major changes in your personal life in the past year can affect this year’s finances. If you got married, divorced, had a child or grandchild, review and revise financial and legal considerations that may arise. Estate planning can be difficult but is crucial to financial peace of mind. Since estate tax rules and plans can change every year, take the opportunity to update outdated documents. Review major changes in your professional life, as well. If you started a new

YOUR SUCCESS IS OUR MISSION

business, changed jobs, or retired, adapt and adjust your budget accordingly.

Second Quarter: April-May-June Reevaluate retirement plans and ask yourself how much you have now and how much you need in the future. Consult your trusted advisor to ensure that saving and investment strategies answer those questions and align with personal goals, particularly if you have had a change in your life or circumstances. Adequate insurance coverage provides ﬁnancial reassurance. Review and update all policies: homeowners, auto, investment, property, disability and casualty. An important but often overlooked aspect of personal ﬁnancial planning is online banking accessibility. Compile a comprehensive list of accounts, usernames and passwords for your reference. As with all sensitive information, store the list in an extremely secure location.

Third Quarter: July-August-September

Tamara Gurney

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Vice President and Relationship Manager 2014 T Trusted Advisor – Business Banker

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Vice President and Relationship Manager 2015 T Trusted Advisor – Business Banker

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Conduct a mid-year review of income and expenditures. Review January to June and adjust accordingly for August through December. Check your credit report and report any discrepancies to appropriate agencies. A mid-year evaluation can also reveal if anyone else is using your identity and trying to obtain credit. Request a Personal Earnings and Beneﬁt Estimate Statement from the Social Security Administration that summarizes your social security earnings history and provides an estimate of the beneﬁts to which you are entitled. It is important to verify that you have been credited for all of your earnings.

Fourth Quarter: October- November-December Get a jump on your taxes in October. Estimate taxes and take the appropriate steps to minimize them before year’s end. Consider making gifts and charitable donations in the fourth quarter to ensure timely deductions. In November, start year-end planning and resolve major issues before December 31st. Finally, review your progress for the year. Recalculate net worth and compare against the beginning of the year to see how well you did throughout the year. While some of these ideas may not apply to your particular situation, professional guidance is always advisable to determine whether, how and when to implement any ﬁnancial strategies. ■ Mission Valley Bank is a locally-owned, full service community business bank headquartered in Sun Valley, California with a Business Banking Center & Branch Ofﬁce in Santa Clarita. Tamara Gurney was named “Most Trusted Advisor -- Business Banking” and “Trailblazer” by the San Fernando Valley Business Journal. She is also past president of the California Independent Bankers Association and can be reached at (818) 394-2300. For more information visit www.MissionValleyBank.com.

JANUARY 2016

SANTA CLARITA VALLEY BUSINESS JOURNAL

Outlook 2016:

Filming in Santa Clarita By Jana Adkins SCVBJ Editor

&A with Evan Thomason, Economic Development Associate, Santa Clarita Film Office. The interview was conducted in mid-December for the January edition of the SCV Business Journal. The numbers cited below apply only to “location filming” - filming in and around the city of Santa Clarita - and not activity that took place in the studios. SCVBJ: Measuring January through November of this year, year-over-year how did the city fare with regards to filming? Evan Thomason: We had a really good year; we already exceed what we did in 2014 which was a record-breaking year.

SCVBJ: Compare the number of film permits issued in that same period during 2015 vs. 2014. Thomason: Through November of this year, we issued 533 permits vs. 460 in the same time period last year. In all of 2014, however, we issued 502 permits and we’re already ahead of that number. SCVBJ: What about the number of film days then? Thomason: We’re on pace to beat the 2014 numbers, too. We had 1,292 ﬁlm days in the ﬁrst 11 months of 2015 vs.

QUEST

Continued from page 6 but it is the responsibility of the leader to see and to create a viable future for the company they are responsible for. Despite having some tough years, JRL has been successful by many measures. But, over time, when the necessary hours are not put in; when key decisions are not made or are delayed; when the investments in systems, people, and marketing are postponed or not deemed necessary for the here and now; any company will suffer. Spending on the future of the business was generally deemed an expense not an investment and so the resources were not allocated. Good current ﬁnancials mask the fact that this company would be an excellent company for a bank to provide lines of credit for; but investors looking beyond the next year or two would be unlikely to take the risk because the company has no plan for growth. Result: the company is aware of the need for a targeted growth plan for both existing clients and to seek out new market opportunities. The plan will be drafted and executed once the company has addressed internal issues that might hinder successful growth. Third, as mentioned, there are essential areas of strategic importance in need of attention internally. The adage about not ﬁxing things that aren’t broken doesn’t apply here. Because spending on the future of the business was deemed an expense the resources necessary to internally manage the inventory, client base and marketing were not allocated. Among the areas in need of attention

1,256 during the same period in 2014. In all of 2014, there were 1,339 ﬁlm days. (Editor’s note: In the calendar year 2015, there were nearly four ﬁlm or TV projects per day, for every day of the year. Even more productions took place at local studios and movie ranches.) SCVBJ: How do you think those numbers will affect the estimated economic impact to Santa Clarita businesses and residents?

W ha We had a really good year; we already exceed what we did in 2014 which was a recordbreaking year.” – Evan Thomason, Santa Clarita Film Office Thomason: We don’t know if we’ll beat last year’s numbers, but we’re on course so far to be over $30 million. In 2014 $32 million flowed out to local businesses and residents who either rented their property for filming or worked in the industry and received a paycheck. include “more love and care of the inventory;” using some type of CRM system (customer relationship management); building a more secure and flexible technology system; enhancing the current company website; creating an organizational chart with clear roles and responsibilities delineated; updating job descriptions; and spending authorization limits. Result: each member of the management team is taking ownership of at least one key area to improve how the business operates internally in 2016. Fourth, company ownership needs to be open to change and set a new tone for the future. The best leaders lead by example. Leaders set company goals (revenue, volume, cash flow, profitability and other key indicators including inventory levels and turns, customer acquisition and retention goals) and then put into place the tools to manage the implementation, management and accountability of these metrics. Result: a one page business plan, known as the Strategic Growth Navigator, was provided to Mr. Levis for use with his employees. Summary: new energy and focus within the company have been made within the last thirty days and the company is starting to see the results of being more focused with having more highly engaged managers who want the company to continue to succeed. There is a lot of work and sweat that will need to be expended over the course of the next year. If this team can stay focused on the larger picture, the vision that the founders and the second generation now have will become a reality.

SCVBJ: What would account for the lower number? Thomason: We had more feature films in 2014. And the economic impact from feature films tends to be higher. SCVBJ: So if you had a crystal ball, what’s the outlook for filming in 2016? Thomason: If I put my fortune teller hat on I see great things for filming in Santa Clarita in 2016; we’re looking for another great year of activity. There’s no indication of any downward trends, so we are hoping to maintain the activity. It’s great for the local economy. SCVBJ: Do you think the state’s revamped film and TV incentive will help since, for the first time, it will be in effect for the full year in 2016? Thomason: Yes, not just for us, but for all of California. And certainly Southern

California is going to benefit. We’ve talked about it quite extensively in trade groups – the state film program is breathing new life in terms of film production returning to the state. And with the annexation of the seven movie ranches into our overlay zone, we’re breaking new ground in the film office in terms of numbers. The movie ranches saw an increase in filming activity. SCVBJ: Any trends you see emerging such as the two smaller studios that opened out here in 2015? Thomason: Studio space, sound stage space is at a premium throughout all of L.A. County and we’ve certainly seen productions take advantage of Santa Clarita in that regards. There’s only so much room for production studios in L.A. and we have seen a few of them move to Santa Clarita in the last year. We’re also seeing an uptick with webbased production, as well. ■

SCVEDC recognizes the leadership shaping our local economy.

Roger Seaver Executive Committee Member Board of Directors

ROGER SEAVER was appointed to the position of President and CEO of Henry Mayo Newhall Hospital, a 238-bed, notfor-profit, independent community hospital in Valencia, California, in 2001. The growing hospital serves the Santa Clarita Valley’s emergency, acute care, inpatient and outpatient needs. Mr. Seaver previously served at Northridge Hospital Medical Center as President and CEO. Additionally, he served at Glendale Memorial Hospital consecutively as CFO, COO and CEO. Mr. Seaver began his health care career in 1973 as an analyst/financial officer with the Lutheran Hospital Society/Pacific Health Resources. He is actively involved in industry issues around healthcare policy and transparency in comparative reporting.

Regional leadership for a regional economy.

www.stillgolden.org

SANTA CLARITA VALLEY BUSINESS JOURNAL

JANUARY 2016

December Recap By Jana Adkins

group, bringing a regional connection to the board. “We’re looking at sub-regional approaches, so having leadership from these regions at the table helping us make decisions and connecting us to businesses and industries as partners helps to really meet the needs of local communities,” Verches said. The L.A. County Workforce Development Board is the second largest in California and the fourth largest in the entire country, serving 58 of 88 cities in the county, he said. The population is about 4 million and the annual budget ranges from $33 to $60 million.

SCVBJ Editor

Editor’s Note: The following are a few of the stories published in The Signal newspaper during the month in which the SCV Business Journal published its “Book of Lists.”

Progress at glacial speed: Newhall Ranch

he California Supreme Court has rejected the Newhall Ranch Environmental Impact Report after 20 years of preparation by the developer, Newhall Land. Sitting on almost 12,000 acres along the Santa Clara River west of the City of Santa Clarita, Newhall Ranch proposes to build up to 20,885 dwelling units to house nearly 58,000 residents. The community would be built out incrementally over a number of years. Saying the company’s EIR reports would probably fill a 200-square-foot office, Jim Backer, founder of JSB Development and a former executive with Newhall Land, said the company will probably have to look at doing the project differently to see any progress. And he pointed out the enormous costs the company has had to bear over the years – paying property taxes, employees, consultants and experts, attorney fees and permits - without ever getting a single dollar in return on the project. Rulings like that could put a company out of business in California, he said. “Newhall Ranch is probably one of the most analyzed and reviewed projects in California history,” said Holly Schroeder, president and CEO for the Santa Clarita Valley Economic Development Corp. “To have it sent back after decades of scrutiny by dozens of government agencies shows that the process is clearly broken.” One of the two objections the justices had to the Newhall Ranch environmental report was its failure to address the greenhouse gases that would be emitted by residents living in the outlying community. But in his dissenting opinion, Justice Ming W. Chin noted, “CEQA does nothing to control California’s population growth. The 58,000 or so people the proposed project is intended to accommodate will not just go away. They will be living and working somewhere.” In other words, those people will still be emitting greenhouse gases somewhere, he argues. And perhaps they will be emitting even more man-made gases by commuting further to reach their employers in the Santa Clarita Valley. Justice Ming also wrote that “the harm is in delay,” saying litigation has already delayed implementing the EIR by some five years or so. He predicted that kicking the

■ Haggen.

■ Restaurant Row view of signs looking south from Beef O’Brady’s parking lot. Photo by Dan Watson.

EIR issues back to the lower court will only create more litigation. “Given the glacial pace of litigation, this will easily take years,” Ming wrote. “Delay the project long enough and it has to meet new targets and then perhaps new targets after that. All this is a recipe for paralysis.”

MannKind Executive Steps Down MannKind Corp. announced that Hakan Edstrom had stepped down as President and CEO. Edstrom was appointed to the position in January, when founder Alfred Mann announced his retirement and transition to a new role as executive chairman of the company. Previously, Edstrom had served as president and COO of MannKind since 2001. After a decade of research and development, and clinical trials on its diabetes treatment Afrezza – replacing insulin injections with an inhaler – MannKind signed a deal with Paris-based distributor Sanofi last year after it received FDA approval. But, sales have been an uphill climb since first going to market and MannKind’s stock has steadily dropped. One of the hurdles for the treatment approach has been to get insurance companies to cover the inhaler; they tend to find the old prick with a needle method cheaper to cover. Also, because the inhaler consists of a dry powder, a lung test is mandatory before prescription, six months after, and every year after that, making Afreeza very restrictive for diabetes sufferers tired of looking for a fresh place to stick themselves with a needle each time they need insulin. Stock had fallen below $1.50 a share by mid-December. A committee of the board will commence an immediate search for a successor CEO.

Santa Clarita Haggen Stores Closed; Albertsons Wins Bid on One As part of the Haggen bankruptcy process, two Santa Clarita grocery stores went

on the auction block, and Albertsons won the bid to take over the location formerly occupied by Vons in Saugus before Albertsons acquired Safeway, parent company of Vons. The irony is, Albertsons had been forced to give up the store by the federal Trade Commission to prevent a monopoly in the market. Albertsons has its branded store a mile down the street on Bouquet Canyon and while it won’t confirm if it is reopening Vons, it says it is working to reopen the stores as they originally operated. What no one bid on was the 51,000 square foot mega grocery store Pavilions, also owned by Vons/Safeway and forced to close by the FTC. Until the FTC made clear what would happen to that location, the landlord’s hands are tied and it can’t even market the property – which it lost money in via leasing while Haggen operated in the space for only four months. The retail center owner was left waiting to hear if the U.S. Bankruptcy court would return the store to the property owner. The irony in the mess was that Safeway still guaranteed the lease that Haggen took over at the former Pavilions store, according to John Cserkuti, a broker with NAI Capital which represents the owner. Although Haggen signed for the lease when it took over the Pavilions, Safeway signed and guaranteed the original lease. So while, in theory, the retail center is protected, the owner is due lease payments on the store as a result of the bankruptcy which brought all transactions to a halt while the mess is sorted out. The owner of the Valencia Promenade shopping center, at least, will most likely have to file some kind of legal action for compensation due on the property.

EDC president appointed to county board Holly Schroeder, president and CEO of the Santa Clarita Valley Economic Development Corporation, was appointed by Los Angeles County Supervisor Mike Antonovich to a county-wide board that focuses on creating real jobs through economic growth. The newly re-fashioned board takes on a new role in shaping the creation of a single workforce development system, realigning all of the resources and systems, which focus on meeting the needs of businesses and employers in high-growth industries, said Richard Verches, executive director of the L.A. County Workforce Development Board. Schroeder was elected as vice-chair of the

Former Beef O’Brady’s site sold to medical practice After standing vacant for two years, the site of the former Beef ‘O’ Brady’s restaurant on the Old Road at Interstate 5 has been sold to a medical practice. Sitting on 2.6 acres of land, the 7,665 square foot building has had a series of restaurants close over the past 10 years – a Chinese restaurant, Hamburger Hamlet, a Brazilian-cuisine eatery Rio, Bella Cucina, Game Day Sports Bar, and last Beef ‘O’ Brady’s. Despite sitting vacant for two years, sale of the building and land generated a bidding war, said Yair Haimoff, executive vice president with NAI Capital which represented the seller. The firm did not disclose the sales price but said it was “close to, but over the asking price.” The property at one point had been listed for $3.35 million. Originally the brokerage firm had worked with a hotel developer, but the developer asked for too much time to get per-

■ Holly Schroeder, president and CEO of the Santa Clarita Valley Economic Development Corporation

mits and conditional use permits, Haimoff said. A couple of other restaurant users were also interested in the property, but also dragged their feet. In studying the market, Haimoff and NAI Capital colleague Randy Cude found there was a huge void in available spaces for medical offices with sufficient parking, so they targeted the medical market. Medical offices typically have five parking spaces per every 1,000 square feet, he said. None were available in that range. But, the Beef ‘O’ Brady’s spot offers 10 parking spaces per 1,000 square feet. And there’s ample space for more parking or to build another 6,000- to 7,000-square-foot building. Needing more space to expand their practice, Valencia Sports Medicine on Town Center Drive purchased the site. ■

JANUARY 2016

SANTA CLARITA VALLEY BUSINESS JOURNAL

Outlook 2016:

New Housing By Jana Adkins SCVBJ Editor

&A with Michelle Weedon, Senior Vice President, Advisory, Meyers Research. Weedon, travelling for business, replied to our questions via email. SCVBJ: Year-end 2015, where do you think the Los Angeles/Ventura counties area will end up (ballpark) with regards to new housing starts?

Michelle Weedon: 20,690 units with multi-family units making up nearly threequarters of those starts.

steadily, but slowly, throughout the 90s. They began picking up in 1998 and shot up to slightly over 25,000 new housing starts by 2005 during the same time the housing market became over-heated. Housing starts dropped considerably in 2007 and plunged to just over 5,000 by 2009 – the lowest level recorded in more than two decades. In the years 2011 through 2012, housing starts began to climb cautiously, and began to jump upward by 2014. Over 20,000 housing starts are expected by year-end 2015 with slight declines in 2016. ■

■ Crews began grading the land in preparation to build homes and a mixed-use retail/office complex at the new Vista Canyon project for which JSB Development broke ground in July 2015 in Canyon Country. Photo by Dan Watson.

SCVBJ: How does that compare to 2014? Weedon: That’s an increase of 20.4 percent. SCVBJ: If you had a crystal ball, what do you think new housing will look like in 2016 – e.g. new housing starts will be static, higher or lower?

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Weedon: Static, although the make-up will be slightly different in 2016. We expect single-family starts will gain ground, led by single-family detached inﬁll development throughout Los Angeles/Ventura in the form of small lot ordinance (SLO) coupled with new inﬁll opportunities along the I-10 corridor into San Gabriel Valley, and also more traditional single family homes in the suburbs such as the Santa Clarita Valley. Multi-family numbers start looking to level off in 2016, almost in an effort to catch up, before they surge again in 2017. SCVBJ: What makes the region look strong (if it does)?

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Weedon: The rental market is extremely tight. There is no submarket in L.A. with an average occupancy under 95 percent. For-sale inﬁll opportunities, which come in the form of small-lot detached and/or new innovative attached product, will keep price points “relatively” affordable and give people an option to stay closer to the urban cores. Density is the focus moving forward.

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SCVBJ: What might be the biggest challenges next year? Weedon: Building and delivering homes at an attainable price point. We have very limited new home/rental inventory; we can’t build enough homes to house our growing population. Affordability is the greatest challenge in bringing new product to market. SCVBJ: Is there anything else you can share? Michelle Weedon provided two charts from Economy.com showing building permits and housing starts in the Los Angeles/ Ventura area. Residential building permits held steady throughout the 1990s at close to 18,000 per year. Permits spiked in the 2000s, peaking around 29,000 in 2004. Throughout the Great Recession, however, building permits dropped back to the levels seen in the 90s hovering annually at around 18,000, which might say something about the artiﬁcial market that was created earlier this century. Permits began picking up again in 2014, and 2015 and 2016 appear to be headed for the 23,000 or more mark. The second chart reﬂected housing starts, shows new housing starts climbed

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California is a Good Place to Do Business By Jana Adkins SCVBJ Editor

espite California’s reputation as not being business-friendly due to its higher tax structure, a study that examined other trends showed the state is still a good place to do business. The study found that the state is attractive for creating and sustaining successful businesses, and also that California is creating jobs faster than the national average. While many of those new jobs are created by existing businesses, many are also coming from new firms, the report said. The study relied on the U.S. Census Bureau’s Business Dynamic Statistics to calculate exactly where California ranks, compared to other states, across a comprehensive range of economic indicators. The study, California New Business Creation, was commissioned by the nonprofit group Next 10, and prepared by Beacon Economics. The study ranked all of the states and found California often ranked near the top of the ratings. The report found that in 2013, California ranked fourth in job creation stemming from new business startups, with a growth rate of 5.5 percent. It also found the state ranked fifth in the creation of new businesses. And, the state landed in the No. 10 spot for the highest number of new, small businesses. “California consistently outpaces the country in business creation, including smallbusiness startups. It also excels in job creation, both in terms of net new jobs and jobs at new firms,” said Christopher Thornberg in a statement. Thornberg co-authored the report and is the founding partner of Beacon Economics. “While the state continues to face some of the same significant economic challenges facing the nation as a whole, overall it offers a solidly pro-business environment,”

■ A new study shows that Californai is still one of the best states to do business in, despite its reputation for higher taxes. Above, the Yahoo headquarters in Sunnyvale, Calif. in June 2012. AP photo.

Thornberg said. Next 10 is an independent organization that says its mission is to educate, engage and empower Californians to improve the state’s future. It was founded by venture capitalist and philanthropist F. Noel Perry. The group also launched a Compare 50 website this week, providing data for all fifty states. Created by Next 10 with data compiled by Beacon Economics, it shows strong growth for new and existing businesses alike, the group said. Using the site, users can look at a comparative state-by-state business index by selecting from 145 economic and demographic indicators.

SCV Voices

General Pavement:

First Impressions By Valeria Velasco

first impression doesn’t solely pertain to meeting other people. Houseguests have a first impression of a friend’s home, consumers of a shopping center, and homebuyers of a potential neighborhood. Many property owners focus their attention on property upgrades like new exterior paint color and updated landscaping. Often, pavement, one of the most critical components of a property, is overlooked. For businesses looking to retain and attract new consumers, curb appeal is of utmost importance. A parking lot is the welcome mat into your business. But when pavement fades from black to gray, parking space lines disappear, and potholes fill the parking lot, the property appears neglected and undesirable to potential visitors. An unsightly lot can result in uncomfortable sentiment towards your shopping center and the corresponding businesses. For residential neighborhoods with

private streets, potential buyers judge the neighborhood’s curb appeal and financial stability by their appearance. Faded, heavily cracked streets with a patchwork quilt of repairs throughout may indicate a poorly managed or financially struggling association. Ultimately, it is a detriment to property values. Not only is battered and broken pavement displeasing to the eye, it is also a liability! Proper maintenance of concrete and asphalt pavement is a property owner’s responsibility. In the event of damage to a vehicle or injury caused by neglected pavement, property owners can be held liable. With proper maintenance every 3 to 5 years, pavement will look refreshed, functional, and beautiful, and liability risk will be mitigated. It only takes seven seconds for a person to make their first impression, an impression that can last for years to come. With proper pavement maintenance, you too can ensure that the welcome mat for customers, homebuyers and guests is always up to par. ■

Included in the data gathered, California continued to still attract new residents between 2007 and 2014 it found. Nearly 49,000 people with bachelor’s degrees or higher arrived in the state. That number represents a net positive migration of individuals who earn over $50,000 annually. Most residents leaving California, on the other hand, earn less than $50,000, the data shows. And in 2014, venture capital investment totaled $28.9 billion in California, outpacing its nearest competing state by over $24 billion. As for innovation, on a per capita basis, California, Massachusetts, and Washington

are waging a three-way race as the most ingenious state in the country. Since 2007, the three states have traded places for the lead in the number of new patents granted each year, the report said. “This report analyzes the most relevant available data, and provides a more comprehensive look at California’s business climate than is typically presented,” Perry said. “Often the characterization of California as not friendly to business is based on the state’s high tax rates alone. A broader examination of business and labor indicators places California above average.” This story first published in The Signal newspaper Dec. 12, 2015. ■

Valencia Technologies of SCV Given 2015 Patrick Soon-Shiong Innovation Award By Jana Adkins SCVBJ Editor

alencia Technologies Corporation was selected as one of five recipients of the 2015 Patrick Soon-Shiong Innovation Awards in late November. The firm was awarded for its coin-sized bio-electronic device for the treatment of major chronic conditions including high blood pressure. Valencia Technologies created a device it termed as being “radically small” when profiled in the Santa Clarita Valley Business Journal in 2014. The firm’s device is implanted into the patient in a simple procedure in a doctor’s office. The company has secured 11 patents and in 2014 opened its books, intellectual property as the company planned to launch one of the first authorized crowd funding campaigns from accredited investors only per Securities and Exchange Commission rules that went into effect that year. The company set out to raise $30 million. Launched in 2011 by Jeff Greiner, who was formerly with Advanced Bionics, the firm found a body of literature that showed just 30 minutes of stimulating the brain per week

was enough for the brain to remap or remodel itself, keeping hypertension at bay. In essence, the biomedical firm challenged the assumption of other medical devices in the field that the stimulation needs to be continuous. Double-blinded clinical trials showed a significant change in a person’s hypertension. Billionaire medical entrepreneur Patrick Soon-Shiong is a Los Angeles-based surgeon, medical researcher, businessman and philanthropist. He made a fortune developing an important cancer drug. The event was hosted by the Los Angeles Business Journal. Greiner said his firm was “truly humbled and grateful for this recognition as Patrick Soon-Shiong is one of the world’s most important visionaries in the field of healthcare.” “We’ve built a culture of innovation at Valencia by recruiting the top creators in our field, by publicly praising and rewarding their inventions, by encouraging open discussions where the purpose is to get the best solution, and by appreciating deeply that patients’ lives are improved through fearlessness and imagination,” Greiner said in a statement. The device will be tested for the treatment of resistant hypertension in a trial to begin early 2016. ■

JANUARY 2016

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JANUARY 2016

Is It Really Made in the U.S.A.? Residential Real Estate

By Chris S. Jacobsen Poole & Shaffery, LLP

or many Americans, keeping it local and buying American is an important part of their purchasing decisions. In this regard, we have all seen labels and advertising touting that an item was â&#x20AC;&#x153;Made in U.S.A.,â&#x20AC;? but what does that really mean and who sets the standards for determining if the item was really made in the U.S.A.? Senate Bill 633, effective Jan. 1, 2016, makes an important change in Californiaâ&#x20AC;&#x2122;s regulation of manufacturers and retailers of products made in America. Previously, California Business and Professions Code Section 17533.7 provided that it was unlawful to sell any merchandise on which appears the word â&#x20AC;&#x153;Made in U.S.A.,â&#x20AC;? â&#x20AC;&#x153;Made in Americaâ&#x20AC;? or similar words when â&#x20AC;&#x153;the merchandise or any article, unit or part thereof, has been entirely or substantially madeâ&#x20AC;? outside of the United States. Accordingly, if any individual component â&#x20AC;&#x201D; no matter how small â&#x20AC;&#x201D; of an item offered for sale in California was not made in the United States, it could not be labeled â&#x20AC;&#x153;Made in America.â&#x20AC;? The California standard was more stringent than the Federal Trade Commission standard for such labeling. The FTC requires that â&#x20AC;&#x153;all or virtually allâ&#x20AC;? of a product be made in the United

States, examining the content of the product as a whole. The FTC guidelines provide that â&#x20AC;&#x153;all or virtually allâ&#x20AC;? means that â&#x20AC;&#x153;all signiďŹ cant parts and processing that go into the product must be of U.S. origin.â&#x20AC;? Californiaâ&#x20AC;&#x2122;s stricter standard has meant that manufacturers either had to meet Californiaâ&#x20AC;&#x2122;s standard for its nationally distributed products to carry the â&#x20AC;&#x153;Made in Americaâ&#x20AC;? label, or the manufacturer had to produce different versions of its products depending on whether they were to be sold - inside or outside California. And, for unsuspecting manufacturers, they could have been hit with lawsuits in California for failure to comply with Section 17533.7 although they were in compliance with the FTC standard. Manufacturers and retailers will feel some relief from this double standard with Senate Bill 633â&#x20AC;&#x2122;s amendment of Section 17533.7. Effective Jan. 1, 2016, that Section does not apply to three classes of merchandise produced in the United States that have one or more articles, units or parts from outside the United States: (1) Merchandise of which all of the foreign articles, units and parts constitute not more than ďŹ ve percent (5%) of the ďŹ nal wholesale value of the manufactured product; (2) The manufacturer shows that it can neither produce in the United States, or obtain from a domestic source, the article, unit or part and all of the foreign articles, units and parts constitute not more than ten percent (10%) of the ďŹ nal wholesale value; and (3) Merchandise to be sold for resale to consumers outside California. Manufacturers will still need to determine whether their products meet the new California foreign content standards. However, the amended statute should go a long way toward allowing manufacturers to market uniform products with de minimus foreign content both inside and outside California without the risk of claims of unfair methods of competition or deceptive practices. â&#x2013;

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

Oct â&#x20AC;&#x2DC;15

Sep â&#x20AC;&#x2122;15

500,000 315,000 205 93 79 546

515,000 325,000 210 102 77 606

Oct â&#x20AC;&#x2122;14

457,000 289,000 191 104 77 607

Source: Santa Clarita Valley Economic Development Corporation.

November Sales

Acton New Listings . . . . . . . . . . . . . . . .9 Total Active Listings . . . . . . . . .50 New Escrows Closed. . . . . . . . . .7 Median Sale Price . . . . . $450,000

Newhall New Listings . . . . . . . . . . . . . . .33 Total Active Listings . . . . . . . . .61 New Escrows Closed. . . . . . . . .30 Median Sale Price . . . . . $300,000

Agua Dulce New Listings . . . . . . . . . . . . . . . .3 Total Active Listings . . . . . . . . .23 New Escrows Closed. . . . . . . . . .6 Median Sale Price . . . . . $505,000

Saugus New Listings . . . . . . . . . . . . . . .53 Total Active Listings . . . . . . . . .84 New Escrows Closed. . . . . . . . .46 Median Sale Price . . . . . $425,000

Canyon Country New Listings . . . . . . . . . . . . . . .46 Total Active Listings . . . . . . . .117 New Escrows Closed. . . . . . . . .54 Median Sale Price . . . . . $442,000

Stevenson Ranch New Listings . . . . . . . . . . . . . . . 10 Total Active Listings . . . . . . . . . 32 New Escrows Closed. . . . . . . . . 18 Median Sale Price . . . . . $489,000

Castaic New Listings . . . . . . . . . . . . . . .14 Total Active Listings . . . . . . . . .43 New Escrows Closed. . . . . . . . .20 Median Sale Price . . . . . $480,000

Valencia New Listings . . . . . . . . . . . . . . .76 Total Active Listings . . . . . . . .137 New Escrows Closed. . . . . . . . .73 Median Sale Price . . . . . $502,000 Source: Southland Regional Association of Realtors. Nov. 1 - 30, 2015

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MOVIE

Continued from page 1 But, the benefit of including movie ranches under the umbrella of approved production facilities is for those production companies seeking tax credits for a film or TV project.

Tax credit incentive A number of factors are weighed when production companies apply for the state’s film tax credits, such as the budget of the project and how many jobs a film project will create. Applicants, however, also accrue bonus points that help them on their way to earning a tax credit – such as the number of days they’ll shoot at an approved production facility. Productions, of course, aren’t limited to approved facilities, Lemisch pointed out. Film and TV projects are free to shoot anywhere, even “in your backyard,” she said. An approved production facility only comes into play when a production company is trying to earn extra points to become eligible to earn the state’s film incentive tax credits. After years of runaway film and TV productions, state legislators approved a new program in 2014 which took effect this year, doing away with the old lottery system; upping the money allotted to level the playing field as to which type of film and TV project could be eligible, luring more productions back home; and putting more emphasis on jobs created. But, with many movie ranches in the area, Assembly members Scott Wilk (RSanta Clarita) and Adrin Nazarian (DSherman Oaks) held an informational hearing on the status of the film tax credit, and Wilk recently led a tour of some of Santa Clarita’s movies ranches for legislators. Knowing that movie ranches had inadvertently been left out of the approved production facility definition, Wilk and Nazarian spoke with Lemisch about the omission.

California Film Commission The California Film Commission got to

JSB

Continued from page 1 the north of the access road to the transit center, said Jim Backer, founder and president of JSB Development. Approved as a five-story project, the mixeduse building has 60 apartments ranging in size from studio to two-bedroom units. The residential units will sit atop 10,000 square feet of commercial space which will contain both retail and office space. An underground parking garage will complete the project. “I called it Monticello,” Backer said. “We expect to start it in the first half of 2016; more likely in the second quarter.” After famine time during the recession when no speculative building, and very little new building, took place it’s now time to start up projects that have been in a holding pattern. Backer refers to it as a “neat project that I’ve worked on for a long time.” The property is also near the corner of

■ Location Manager Tony Salome waiting for Sound Mixer Dave Schneider to wrap a scene being shot for “NCIS Los Angeles” at the Sable Ranch movie ranch in Santa Clarita in September 2014. Photo by Richard Cartwright/CBS Broadcasting courtesy photo

work on correcting the oversight. When the legislation was passed by Gov. Jerry Brown, the commission had a very short period of time to completely re-write the state’s film incentive regulations. Essentially, Lemisch said, emergency regulations were put in place on an interim basis to get the program up and running so quickly. Now the commission is engaged in making lots of tweaks and changes. It’s been a long process because the new program is more complex. Prior, it was little more than a lottery. “We had a very tight timeline to get them (regulations) together for the May TV season,” she said. “Now we are working on the program to create permanent regulations and we’re changing the definition of production facilities to include movie ranches.” Calling Santa Clarita “film-friendly,” the state film commission works with Santa

McBean and Valencia Blvd., where a developer plans to build a hotel called The Oliver. Meetings with the community to solicit input on the hotel project have already begun. The mixed-use project is a benefit for those who want to live close to the transit station, access the paseos, or walk across the street to the Westfield Valencia Town Center or Town Center Drive. “We’re excited about it,” Backer said. “And it will be a nice view for residents overlooking the Valencia Country Club and golf course.” JSB Development is a Santa Clarita firm with multiple projects in the works including the masterplan community of Vista Canyon, another mixed-use project that will include homes, apartments, retail and office space, entertainment and a new Metrolink train station on the east side of town. Backer’s firm also has plans in the works to construct an office building on Tourney Road across the street from the Valencia Country Club. ■

Clarita’s film office, Lemisch said. She rattled off a few projects that received film credits in Santa Clarita, such as “Stitchers,” “Switched at Birth,” “Westworld,” “Justified” and “Wicked City.” “Switched at Birth” has now been airing for five years and filming in Santa Clarita all that time. Ditto for “Justified,” which has filmed locally for six years. “Wicked City” just aired this year, but the project

won’t be a drain on the film incentive program as the network, ABC, just cancelled the show after three episodes. As for including Santa Clarita movie ranches in the definition of approved production facilities, that will take effect in early 2016, Lemisch said. Just in time for the new TV season and in plenty of time for film projects that may have been planning to shoot on “outdoor” stages. ■

SCVEDC recognizes the leadership shaping our local economy.

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Co-Chair, Board of Directors

C ALVIN HEDMAN has over twenty-five

years of experience as a Certified Public Accountant. As President of Hedman Partners, he is responsible for all aspects of quality assurance and client service. In addition to providing audit and tax services to his clients, Calvin provides consulting expertise in a variety of areas including strategic planning, acquisition due diligence reviews, and estate planning. With his extensive merger and acquisition experience, Calvin holds a Certified Merger & Acquisitions Advisor credential, as well as a California real estate broker’s license and a Financial Industry Regulatory Authority license for investment banking transactions. Prior to founding Hedman Partners, Calvin was an audit partner in the Los Angeles office of Grant Thornton, an international CPA firm.

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SANTA CLARITA VALLEY BUSINESS JOURNAL

JANUARY 2016

Medical Device Firms (Ranked by No. of Employees)

THE LIST

Company

First Name

Last Name

Title

Address

City

Zip

Employees

Quest Diagnostics

Sonya

Engle

Director Of Operations

27027 Tourney Rd

Valencia

91355

1,000

Boston Scientific

Maulik

Nanavaty

Principal

25155 Rye Canyon Loop

Valencia

91355

875

Advanced Bionics

Jim

Robinson

Vice President - Operations

28515 WestinghouseÂ Place

Valencia

91355

700

Specialty Laboratories Inc

R Keith

Laughman

President

27027 Tourney Rd

Valencia

91355

633

Shield-Calif Health Care Ctr

Jim

Snell

President

27911 Franklin Pkwy

Valencia

91355

260

Flextronics

Mike

Mcnamara

CEO

28454 Livingston Ave

Valencia

91355

189

Classic Wire Cut Company Inc

Brett

Bannerman

President

28210 Constellation Rd

Valencia

91355

130

Cardinal Health

Pamela

Smaldone

Site Manager

27680 Avenue Mentry

Valencia

91355

100

Alfred E Mann Foundation

David

Hankin

CEO

25134 Rye Canyon Loop

Valencia

91355

Cicoil Llc

Howard

Lind

Managing Member

24960 Avenue Tibbitts

Valencia

91355

Implant Direct LLC

Ginger

Page

Office Manager

26330 Diamond Pl # 100

Santa Clarita

91350

Eckert Ziegler Isotope Pdts Inc

Frank

Yeager

CEO

24937 Avenue Tibbitts

Valencia

91355

Mannkind Corporation

Alfred E

Mann

Chairman Of The Board

28903 Avenue Paine

Valencia

91355

A & M Electronics Inc

Ron

Simpson

President

25018 Avenue Kearny

Valencia

91355

Talladium Inc

Edward J

Harms

President

27360 Muirfield Ln

Valencia

91355

Trimed Incorporated

David

Medoff

CEO

27533 Avenue Hopkins

Santa Clarita

91355

Westwood Group

Arthur

Kennedy

President

24832 Avenue Rockefeller

Valencia

91355

Cellestis Inc

Mark

Boyle

Senior VP

28358 Constellation Rd #698

Valencia

91355

Medallion Therapeutics

Don

Deyo

CEO

28575 Livingston Avenue

Santa Clarita

91355

Neotech Products Inc

Thomas R

Thornbury

President

27822 Fremont Ct

Valencia

91355

Pharma Alliance Group Inc

Marvin

Delgado

President

28518 Constellation Rd

Valencia

91355

Setpoint Medical

Tony

Arnold

President & CEO

27441 Tourney Road, Suite 200

Santa Clarita

91355

Costech Analytical Tech

Bruno

Lavettre

President

26074 Avenue Hall Ste 14

Valencia

91355

Palyon Medical Corporation

Luis

Malave

CEO

28368 Constellation Rd #390

Valencia

91355

Telic Company

Arthur

Kennedy

President

24832 Avenue Rockefeller

Valencia

91355

Innovision Devices LLC

Douglas

Domel

Member

26360 Ruether Ave

Santa Clarita

91350

DME Direct

Gloria

Everett

President

28486 Westinghouse Pl

Valencia

91355

Sunmed USA LLC

Greg

Higgins

Founder

28910 Avenue Penn

Valencia

91355

UTaK Laboratories Inc

James

Plutchak

COO

25020 Avenue Tibbitts

Valencia

91355

Cal Biomedical, LLC

Gene

Zamba

Director of R&D

28494 Westinghouse Place, Ste. 305

Santa Clarita

91355

Hayden Medical Inc

Scott

Clelland

CEO

19425 Soledad Canyon Rd

Santa Clarita

91351

Masscus Technologies

Suresh

Jayanthi

President

24335 Alyssum Pl

Santa Clarita

91354

Backjoy Orthotics LLC

William

Howenstein

Principal

25852 McBean Pkwy Ste 508

Valencia

91355

Greatbatch, QiG Group

Les

Halberg

Exec. Dir. R&D

27943 Smyth Drive, Suite 204

Santa Clarita

91355

Sun Hitek Inc

Winn

Hong

Principal

25876 The Old Rd 131

Stevenson Ranch

91381

Western Scientific Company Inc

Jeff

Jensen

President

25061 Ave Stanford Suite 110

Valencia

91355

Valley Institute Of Prosthetics

Maria

Ochoa

23033 Lyons Ave #6

Santa Clarita

91321

Advanced Coating Tech Inc

Edwardo

Pimentel

President

29035 The Old Rd

Valencia

91355

Bioness Inc

Todd

Cushman

President

25103 Rye Canyon Loop

Valencia

91355

N/A

Valencia Technologies

Jeff

Greiner

President

28464-28466 Westinghouse Pl

Valencia

91355

N/A

SOURCE: Santa Clarita Valley Economic Development Corp.

JANUARY 2016

SANTA CLARITA VALLEY BUSINESS JOURNAL

VALLEY INDUSTRY & COMMERCE ASSOCIATION VICA

Stuart Waldman

SCVBJ

ith 2015 nearly wrapped up like gifts exchanged over the holidays, it’s time to look forward to ﬁgure out what will be in store for 2016. There are a few things the Valley Industry and Commerce Association (VICA) will be in high anticipation for, such as the upcoming Olympic bid, and things we’d rather see sit on the shelf a while longer, such as the statewide wage mandates that are being discussed in Sacramento. All in all, we anticipate another busy year of advocacy as we work for a better business climate. Here are a few key things to watch.

Measure R2 It’s not every day a business organization stands up behind a sales tax. However, if Metro follows the funding formula proposed, recognizes our identiﬁed transportation needs on what could be Measure R2 and uses the potential sales tax revenue to build light rail to help North Los Angeles County transportation, we feel that relieving Interstate congestion on Interstate 5 and Interstate 405 is a worthy investment. To put it in context, the average Los Angeles commuter spends about 90 hours a year in trafﬁc. It would be tough to quantify the personal cost in terms of lost time, productivity and damage to air quality. However, all those factors make dramatically reducing

LAEMMLE

Continued from page 5 transferred to commercial use. This is all new money that would flow into the hands of business owners, and tax revenues into city coffers. It’s a “potential cash capture,” according to Crawford. Bottom line, the proposed project would increase sales, sales taxes for the city, property values and therefore property taxes – a portion of those taxes which flow into the city’s general fund to provide the kind of services residents have become accustomed to. In fact, in the past couple of months, investors have purchased two downtown Newhall properties, in each case saying they like the revitalization that is happening and see value in acquiring the buildings, one located on Walnut and the other on Main Street. “Response to the Laemmle project has been overwhelmingly positive,” said Tim Crissman of Crissman Commercial Services. “Everybody we have discussed the new project with is thrilled and can’t wait for it to go forward. “I think the next years are ahead of us as far as Newhall goes. It’s just now getting the momentum it needs and hopefully we’ll see it break ground soon,” Crissman added. But some opponents believe the city’s money could be better put to use for the benefit of residents other ways.

Community investment As reported in December, the City of Santa Clarita’s revenue is expected to be almost $13 million more than initially expected for the ﬁscal year. Of that extra

A Few Issues to Watch in 2016 the amount of cars on the road by producing a reliable, affordable alternative seem like a worthwhile investment. Of course, the proviso is that Metro follows through and uses the tax dollars to fund what VICA’s Valley on Track transportation coalition and the San Fernando Valley Council of Governments – including thenSanta Clarita Mayor Marsha McLean – have asked for: light rail transportation in North Los Angeles County and a tunnel to alleviate Sepulveda Pass trafﬁc.

The LA 2024 Olympic Bid This is one of the most exciting opportunities the Los Angeles region has seen in decades, and we know it will be amazing for the city of L.A., as well as the county and surrounding areas. Why? Because this will not only bring the significant investment ahead of time, but also projected revenues that will greatly help address the transportation concerns for North Los Angeles County residents. The last time Los Angeles hosted the Olympics in 1984, the games made a quarter-billion dollars in profit and set the standard for host countries. We have a chance at that opportunity again and should definitely seize it. The tax revenues generated could go a long way to supporting the aforementioned transportation infrastructure from which every Los Angeles area commuter would benefit.

■ Courtesy photo

While it might be too early to ﬁgure out the presidential race, there are some

“down-ticket” votes that will be absolutely crucial to the future of industry and commerce in our region. While VICA and other business groups were able to put the brakes on the Legislature to stop it from following the city and county of Los Angeles with a statewide wage hike, lawmakers have all but promised the issue will come up again. And now, there are also two ballot measures gaining steam that would raise the minimum wage statewide. Let’s be clear, a statewide hike would not level any playing ﬁelds for California cities. It would exponentially raise the cost of every state service, make an already underfunded state pension system that much more unmanageable and drive

more jobs across state lines. This effort – either by the ballot or the Legislature – should be ardently watched and opposed. While we once again have quite the year of advocacy work cut out for us, this challenging climate gives us no shortage of ways to work for our members. So here’s to hope for a new year and a better business climate for all of California in 2016. ■ Happy New Year from VICA. The mission of the Valley Industry & Commerce Association (VICA) is to enhance the economic vitality of the greater San Fernando Valley region by advocating for a better business climate and quality of life. Visit www.vica.com for more information.

revenue, $3.4 million of that will go into the general fund to provide ongoing infrastructure support. On top of the additional revenue, the city has a 19 percent cash operating reserve for emergencies. In other words, this triple-A rated city is ﬁscally prudent and manages cash and expenses well. But should the city invest up to $4 million for a Laemmle theater? Saying he’s very familiar with the downtown district as manager of the Canyon Theater Guild – on which he doesn’t expect this project to have much positive or negative impact in any way, City Councilman TimBen Boydston argues the money to build a parking structure and incentivize a theater could be put to better use for the public. “My proposal is to build the same amount of commercial space and residential units, but not spend money on the theater,” Boydston said. “My vision for Newhall is more like Montrose and less like Westwood.” He believes the project is over-kill for the quaint downtown district, saying it would create too much density with a ﬁve-story mixed-use building, and that the parking garage is very expensive really serving only as a subsidy to the theater since the residential units will have their own underground parking spaces. He also says the amount of parking to be provided to residents and commercial space might not be enough. He prefers that the theater be nixed and an open space parking lot be built instead, bringing the cost to taxpayers for parking down to under $1 million. Boydston doesn’t believe there will be

enough of a payback on the city’s investment, and doesn’t think the city should be in the business of supporting private entities, although others cities routinely provide incentives, he admits. “If we spend $13 or $14 million on this project, we don’t have that money to spend on a year-round homeless shelter, senior center, transitional care unit, adult day care center, a new sheriff’s station, or the Saugus library and Canyon Community Center,” he said. The city does, in fact, already have some money set aside for some of the projects he mentioned, but the cost to build them is much higher, Boydston said. He estimates a library will cost as much as $30 million, ditto for a new sheriff’s station when the city only has some $37 million set aside in a fund, he said. “You have to balance one need against another.” And indeed economic studies on community service investments – something Santa Clarita has always favored – do show a return on investment. That calculation is called a Social Return On Investment. The task of assigning a dollar value to social impact is a little trickier, however, experts say. But various methods for calculating the return, depending on what is being measured, have been developed. For instance, a 2006 study by the Coalition for the Homeless in Washington, D.C. showed it helped 333 formerly homeless people get jobs, resulting in annual taxable incomes of more than $4.8 million. In other words, community services aren’t necessary evils, but can help to revitalize a population segment. Not all projects are easy to quantify though.

Commercial vs. community investment

The November 2016 Ballot

As for investing in an art-house theater, the economic benefit to a community can potentially be greater, said one expert in the industry. Depending on the developer and how a project is operated a project like thisisd nearly always s benefit, said Jim Rabe, senior principal with Keyser Marston Associates. The firm often works with redevelopment projects through out Southern California, though it was not involved with the Santa Clarita project. From what he understands of the Santa Clarita project, Rabe said it’s a smart mix based on projects they’ve worked on in Glendale, Yorba Linda, and Long Beach for instance. And, he adds, almost all of their projects have required some type of municipal investment to get off the ground. It is routine for cities to provide incentives. The fact that the city owns the property in question and can sell it at fair market value is an even greater boon for the city, he said. “The (existing) businesses in the area usually benefit from two things. The theater brings additional people downtown who usually spend additional money in those stores and restaurants,” Rabe said. “Having the residential component there means those people who live in those units tend to frequent the stores in their immediate area. Both of these activities generate increased spending in the local area.” As for now, no one knows what the final negotiations will yield until city staff presents the proposal to the city council in late January. ■

SANTA CLARITA VALLEY BUSINESS JOURNAL

JANUARY 2016

Meet VIA’s 2016 Board of Directors

the Year” by the Valley Industry Association in 2014. In other changes, the VIA Board of Directors bids farewell and extends their appreciation to Alan DiFatta, Elizabeth Lake Golf Club, for his many years of service to the organization. The Valley Industry Association’s Board of Directors is comprised of 23 members with staggered election years. Each year, one-third of the organization’s directors are up for election. Ballots are distributed in November and tallied prior to year-end.

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

d Masterson, sales and marketing manager with SOS Entertainment, was selected as the 2016 Chairman of the Board. With a background in entertainment, Masterson sports a long list of accolades and accomplishments in the local business community. He has served as Chairman of the Board (2005) and as Interim President/CEO (2010) for the Santa Clarita Valley Chamber of Commerce. More recently, Masterson was the recipient of the 2014 SCV Chamber of Commerce, “SCV Community Volunteer” award, and SOS named “VIA Business of

Business professionals interested in attending any or all of the upcoming luncheons 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.

Tim Burkhart, Six Flags Magic Mountain, (Incumbent) J.C. Burnett, Courier-Messenger, Inc. (Incumbent) Denise Covert, City of Santa Clarita (Incumbent) Hillary Broadwater, QM Design Group (New board member) Carl Kanowsky, Kanowsky & Associates (Incumbent) Greg Wells, California United Bank (Incumbent)

VIA Luncheon Planning Calendar 2016 SPEAKER SERIES

Tuesday, January 19

Ken Striplin, Santa Clarita City Manager, provides an overview of the City’s 2015 successes and outlines happenings for 2016. Tuesday, February 16

Brian Koegle and David Poole, Poole & Shaffery, LLP, provide the 2016 update on Employment Law.

Welcome to New VIA Members! VIA is growing and we’re proud to add these new members to our organization. Welcome aboard everyone!

Shift Media Labs

Mark Wasyl 28760 Kathleen Avenue Santa Clarita, CA 91390 shiftmedialabs@gmail.com (661) 513-3456

Legacy Christian Academy Tim Borruel 27680 Dickason Drive Valencia, CA 91355 www.legacy-christian.com (661) 257-7377

Marston’s Restaurant

Jim McCardy 24011 Newhall Ranch Road Santa Clarita, CA 91355 www.MarstonsRestaurant.com marstonschef@aol.com (661) 253-9910

Point of View Communications

Teresa Todd, MBA, MA 24405 Chestnut Street, Suite 203 Santa Clarita, CA 91321 www.povpr.com ttodd@povpr.com (661) 257-4440

Newly Elected Board Members (alphabetical)

Returning Board Members Ed Masterson, SOS Entertainment, 2016 Chairman of the Board Byron Alvarado, The Strategy Partners Dr. Jerry Buckley, College of the Canyons Chris Chapleau, Mercury Document Imaging James Davis, Logix Federal Credit Union

When identifying potential board members, the nominating committee measures candidates’ qualifications in terms of established criteria. The committee looks for diversity among industries and the type of position candidates hold in their organizations. VIA strives to achieve complete skill sets on the Board to ensure members are able to bring skills in the areas of finance, organization, operations, marketing, and fundraising, among others. A candidate’s willingness to oversee committees and ability to contribute to VIA is also considered. ■

Jeanne Duarte, Storm Water Resources Anna Frutos-Sanchez, Southern California Edison Laura Kirchhoff, American Diabetes Association Fred Kreger, American Family Funding Michael Little, Poole & Shaffery, LLP Terry Mayfield, Landsberg Packaging Jill Mellady, Mellady Direct Marketing Gloria Mercado-Fortine, Global Education Solutions, Inc. Andrei Nikitin, Henry Many Newhall Memorial Health Foundation Henry Rodriguez, Henry Rodriguez State Farm Chris Schrage, LBW Insurance & Financial Services

VIA Sales Academy Returns

fter a sell-out crowd in its first year, the VIA Sales Academy returns for another six week engagement starting Jan. 28. “It’s a low investment of time and finances for the potential

of a big payoff down the road when the principles learned are put into practice,” said Kathy Norris, VIA CEO/President. Each 90-minute session will focus on a specific selling technique: -- Creating a customer-focused agenda -- Overcoming objections -- Negotiating win-win outcomes -- Managing and organizing your time -- Selling to different behavioral styles -- Avoiding aggressive/pushy stereotype selling Space is limited and is expected to fill quickly. Special pricing is available to VIA members and a discount available to participants who sign up for all six sessions. Sign up by calling the VIA office at 661.294.8088 or by email to admin@via.org. ■

Photos by Josh Premako/Mellady Direct Marketing

VIA Education in Action

ime to pass the baton as long-time VIA Education Committee Chairwoman and Vice Chair of Education Diana Meyer with Logix Federal Credit Union prepares to turn over the reins to committee chairwoman Sue Tweddell, Primerica Financial, and co-chair Melissa Mendoza,

Logix Federal Credit Union. Meyer is assuming a new role as Vice President of Payments for Logix Federal Credit Union. She served as VIA’s Chairwoman of the Board in 2012 and will remain active in VIA. ■

JANUARY 2016

SANTA CLARITA VALLEY BUSINESS JOURNAL

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

Cluster-based Economic Development

ncouraged by the leadership of our investors, the Santa Clarita Valley Economic Development Corp. (SCVEDC) employs a cluster-based job creation and retention strategy. Clusters are geographic concentrations of interconnected businesses, suppliers, service providers and associated institutions in a particular industry sector. The “clustering” of businesses can improve the possibility of quality job creation by fueling proximity and competition in the local economy. Close proximity of interconnected businesses can create a highly-skilled and versatile workforce due to employee transfers from one segment of the industry to another with ease. Increased competition amongst cluster businesses can encourage the right environment for continuous improvement and rampant innovation. The SCVEDC has targeted its economic development efforts on the following ﬁve industry clusters.

Advanced Manufacturing The Santa Clarita Valley is home to businesses involved in the production of high-value added, technical, and capitalintensive goods that require advanced

inputs and manufacturing processes. The outputs produced by ﬁrms such as Stratasys (250 employees) and Honda Performance Development Inc. (180 employees) are very diverse and range from 3D printing technology to engines and industrial machinery.

Aerospace & Defense The Aerospace & Defense industry has a notable presence in the Santa Clarita Valley and is focused on aerospace parts manufacturing, space research and national security/international affairs. Some of the SCV’s larger employers include Woodward (700 employees) and Aerospace Dynamics International (600 employees). We are also home to the College of the Canyons Center for Applied Competitive Technologies (CACT), which has placed students in full time positions at The Spaceship Company / Virgin Galactic, SpaceX, ITT Aerospace and others.

Medical Devices The Santa Clarita Valley enjoys a reputation as a national leader in the discovery and engineering of noteworthy advancements in the medical device ﬁeld, with great opportunities to grow at the Mann Biomedical Park, a 167-acre business park

in town. LA County has launched a new Bioscience initiative to grow the cluster in LA County. SCVEDC will be emphasizing the advanced workforce, high quality of life and strong training infrastructure that make the SCV a productive location for ﬁrms such as Boston Scientiﬁc (770 employees) and Advanced Bionics (650 employees).

Digital Media & Entertainment The SCV hosts production companies of all sizes for dozens of commercials, television shows and feature films, representing hundreds of shooting days each year. Our community of artists and technicians is supported by the world’s premier academic institutions for the arts, the California Institute of the Arts (CalArts). SCV firms such as Dangling Carrot Creative. (20 employees) support studios such as Santa Clarita Studios (25 employees plus hundreds of production employees) and the many movie ranches that make the SCV one of the most filmed communities in Southern California.

Information Technology (IT) The rapidly evolving landscape of IT requires ﬁrms to engage in new software

publishing techniques, telecommunications, data processing and cloud design. The SCV has a unique set of lifestyle and amenities that encourages IT top talent to locate here. Firms such as Scorpion Design, LLC (280 employees) and Nexus (100 employees) are ﬁnding new markets to expand both here at home and abroad. Moreover, the wind is at our back in the economic growth/decline cycle. On an annual average basis, non-farm employment is on pace to rise sharply in 2016. If trends from the ﬁrst quarter persist throughout the year, the Santa Clarita Valley will gain more than 4,200 non-farm jobs. The graph below indicates the positive movement in employment in the SCV. According to the California Economic Forecast, the Santa Clarita Valley is creating several hundred jobs per month, with the rate of growth accelerating over the last 18 months. The region’s employment is now eclipsing the pre-recession peak in employment that prevailed in 2007. Please contact the SCVEDC to learn more about our cluster-based economic development strategy. Also, let us know if you are interested in the many incentives the SCV facilitates on behalf of the city, county, state and nation. ■

SAVE THE DATE

March 10, 2016 1:30 – 5:00 pm, followed by cocktail reception Sponsorship Opportunities Now Available www.scvedc.org/outlook

Source: Labor Market Information Division / California Economic Forecast

Econo Watch Santa Clarita Valley

Source: Santa Clarita Valley Economic Development Corporation

Q3 ’15

Q2 ’15 Sq Ft

Commercial Vacancy Rates

Local Company Stock Prices

Oct ‘15

Sep ’15

% Change

Bank of Santa Clarita (BSCA)

9.8

9.4

4.26%

Mannkind (MNKD)

3.31

3.21

3.12%

Ofﬁce Space

12.20%

592,170

Carnival Corp. (CCL)

54.08

49.7

8.81%

Industrial Space

2.50%

4.60%

493,423

Mission Valley Bank (MVLY)

6.65

7.00

-5.00%

Retail Space

4390%

5.80%

604,835

Six Flags * (SIX)

52.05

45.78

13.70%

Woodward (WWD)

45.50

40.70

11.79%

Lennar (LEN)

50.07

48.13

4.03%

Oct ‘15 5.4% 8.0% 6.6% 5.7% 5.9% 5.8%

Sep ’15 5.68% 8.3% 6.9% 6.0% 6.5% 6.1%

% Change -3.57% -3.61% -4.35% -5.00% -9.23% -4.92%

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

35.03%

19.00%

N/A

Industrial Space - as a % of Vacancy

29.19%

50.90%

N/A

Retail Space - as a % of Vacancy

35.78%

30.11%

N/A

Oct ‘15

Sep ‘15

Sep ’14

Commercial/Industrial Building Permits

Residential Building Permits

Building Permits

Unemployment Rates Santa Clarita Palmdale Lancaster Glendale LA County State

SANTA CLARITA VALLEY BUSINESS JOURNAL

JANUARY 2016

January Milestone Members 43 Years

15 + Years

Six Flags Magic Mountain and Hurricane Harbor

Hyatt Regency Valencia Wal-Mart Stores Inc. #2297 Santa Clarita Valley Escrow, Inc. Linda Fleischmann - Stress Free Mortgage Bouquet Canyon Senior Apartments

25+ Years Best Western Valencia Inn Southern California Edison Woodward HRT Newhall Land Henry Mayo Newhall Hospital College of the Canyons - Valencia Campus Union Bank of California - Valencia Town Center The Signal 1st Image Photography

20+ Years Westﬁeld Valencia Town Center Universal Electric Co. Union Bank - Newhall Union Bank of California - Canyon Country Chiquita Canyon Dana J. Turner Insurance Services, Inc Kaiser Permanente

10+ Years Holiday Inn Express Hotel & Suites

5+ Years Advanced Medical Care - Providence Medical Group Provence at Valencia Home Instead Senior Care College Planning Experts, Inc. MannKind Corporation L.A. Film Locations Gothic Grounds Management Pension Paperworks Brad Management HotSpot SCV McNamara Law Firm, PC Top of the Line Tax Service The Paciﬁca Company Jersey Mike’s Subs - Saugus

Ribbon Cuttings

JANUARY 2016

SANTA CLARITA VALLEY BUSINESS JOURNAL

JUNIOR CHAMBER INERNATIONAL Membership Vice President, Joey Levy at joey.b.levy@gmail.com | Content provided by JCI

Often times we are presented with an opportunity with a chance to give back to our community and all sorts of questions race through our minds. Is this something or someone I want to help? Does this person need the help that I can give them? How much money, if that is what is being asked for, can I give? Then the question we all think about but sometimes just ignore, or other times makes us walk the other direction … is this person or organization trustworthy? Am I actually giving to an organization that is going to make good on their promise? At ﬁrst thought we might feel bad that we’re asking ourselves this question, as surely this person, with some type of visible designation, as a representative of the organization I am being asked to give to, is not asking me for something they should not be asking for or the organization should not be asking for. It is a question though that deserves thought

especially when dealing with larger amounts of money. Then there are those that also have the thought, “this is a good idea, I can even write this off on my taxes.” There are not many things better than watching that tax bill go down and it is a great beneﬁt of charitable giving. But consideration should also be given to the question of whether or not you can deduct your donation. Donations themselves only become tax deductible when given to an actual registered, nonproﬁt charitable organization. So those questions that you may ask yourself and even feel kind of guilty about, if even for a second, have bigger implications than what crosses your mind when deciding whether or not to trust the person asking. What can you do though to be sure that the money you are giving is going to the intended destination and whether or not you can claim it?

There are the clear deductions that no one questions such as: Good Will, Salvation Army or other large and well known organization. As we all know, however, we also get approached frequently by someone or some organizations we have never heard of or whose name maybe only rings a bell. These are the organizations and people that we should be more careful about and often times a quick search on the internet can get us the peace of mind we are looking for. A good place to start is: http://oag.ca.gov/charities/ charity-research-tool#Location:Default This is a website where you can look up many charities and determine their tax exempt status with the State of California. It’s a simple tool and an easy step to take to make sure that the money you are giving is going to, at the very least, an organization that has done the work to register and maintain their tax exempt status. An organization’s status must be

renewed continuously for them to maintain their tax exempt status. What this means is, just because your donation last year to an organization met requirements it does not necessarily mean that the organization has done the proper paperwork this year to maintain their status for your deduction. While it’s human nature to question someone asking you for money, it is good to know that you can take some easy steps to eliminate some of the unease that comes with doing so, and at the same time do some housekeeping when the time comes to answer to the Tax Man. If you still have questions about the organization use your resources to research them further or even better, ask to volunteer. After all if giving them money feels good, perhaps physically helping them will feel even better. ■

Thank you to the Paseo Club for their Santa’s Helpers donation

JCI Dareoke 2015 Santa’s Helpers fundraiser, all donations were tax deductible!

SANTA CLARITA VALLEY BUSINESS JOURNAL

JANUARY 2016

Commercial, Industrial & Retail Real Estate Retail Buildings 23329 Lyons Avenue

Old Orchard Plaza

Sq.Ft.

Sale/Lease

900, 3,600, 7,600

Lease

$1.65 SF/MO/NNN

10,300

Lease

$1.25 SF/MO/NNN

1,999 - 2,800

Lease

$2.50-$3.00 SF/MO/NNN

23154 Valencia Boulevard Valencia Mart

25830-25848 McBean Parkway Granary Square

Price

21515 Soledad Canyon Road

1,200 - 3,600

Lease

$1.25 SF/MO/NNN

26477-26557 Golden Valley Road

1,022 – 3,600

Lease

$2.50 SF/MO/NNN

2,250

Lease

$2.00 SF/MO/NNN

19923 – 19931 Golden Point

1,479 – 2,074

Lease

$2.75 SF/MO/NNN

27737 Bouquet Canyon Road

1,020 – 2,191

Lease

$1.85 SF/M0/NNN

24254 – 24407 Main Street

500 – 6,000

Lease

$1.65 SF/MO/MG

23120 – 23130 Lyons Avenue

900 – 3,250

Lease

$1.30 - $1.60 SF/MO/NNN

1,000

Lease

$1.25 SF/MO/Gross

26865 – 26889 Sierra Highway

1,350 – 1,907

Lease

$2.65 SF/MO/NNN

25269 The Old Road 24003 Newhall Ranch Road

1,300 – 2,442 3,053

Lease Lease

$1.50 SF/MP/NNN $3.35 SF/MO/NNN

Golden Oak Plaza

Centre Pointe Marketplace

18597 – 18607 Soledad Canyon Road Canyon Square

The Plaza Golden Valley

Sutter Point Plaza Patti Kutschko (Daum Commercial) 661-670-2003 • Kevin Tamura (Daum Commercial) 661-670-2001 • Ron Berndt (Daum Commercial) 661-670-2000 Old Town Newhall Properties

Wayman Court

23638 Newhall Avenue San Fernando Plaza Riverview Plaza

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

Office/Commercial Buildings (cont.) Sq. Ft. Gateway Plaza

24200 Magic Mountain Parkway

VTC IV David Solomon (CBRE) 818-907-4628

Sale/Lease

Price

1,300 - 6,000

Lease

$2.25 SF/MO/NNN

982 - 5,032

Lease

$2.35 SF/MO/FSG

Lease Lease

$2.30 SF/MO/FSG $2.70 SF/MO/FSG

27201 Tourney Road

Valencia Executive Plaza

23030 Lyons Avenue Neiditch Building

170 - 2,362 650

Branson Brinton (SCV Commercial) 818-414-7657

24525 Town Center Drive

53,517

Sale/Lease

14,292 1,814 5, 551

Lease Lease Lease

$11.9M/$222 SF

Spectrum Club Fitness Center

$1.48 SF/MO/NNN

25161 Rye Canyon Loop

Mann Biomedical Park

Building #1 Building #2 Building #41 Build-to-Suits also available

$1.35 SF/M0/NNN $1.35 SF/M0/NNN $2.05 SF/M0/NNN

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

25115 Avenue Stanford

709 - 10,600

Lease

$1.75-$1.85 SF/MO/FSG

28470, 28480, 28490 Ave. Stanford

1,230 – 8,474

Lease

$2.55 SF/MO/FSG

23734 Valencia Boulevard

1,523 -1,860

Lease

$1.95 SF/MO/FSG + J

23838 Valencia Boulevard

988-2,674

Lease

$2.50 SF/MO/NNN

Valencia Park Executive Center

Valencia Corporate Plaza Craig Peters (CBRE) 818-907-4616 • Richard Ramirez (CBRE) 818-907-4639 • Robert Valenziano (CBRE) 818-907-4663 Valencia Financial Center Atrium Medical Building

28207- 313 Newhall Ranch Rd.

1,275 - 8,090

Lease

$2.75 SF/M0/NNN

25050 Peachland Avenue

800-4,000

Lease

$2.20 SF/MO/NNN

28112 - 36 Newhall Ranch Rd.

1,090 - 2,550

Lease

$2.75 SF/M0/NNN

25078 Peachland Avenue

1,000

Lease

$1.95 SF/MO/MG + E + J

23502- 23504 Lyons Avenue

1,205 - 8,944

Lease

$1.45 SF/MO/FSG + J

23542- 23560 Lyons Avenue

420 - 4,000

Lease

$1.10 SF/MO/NNN

1,049 - 1,842

Lease

$2.05 SF/MO/MG +E + J

Sq. Ft.

Sale/Lease

1,201 – 6,682 1,043 – 4,559

Lease Lease

Gateway Village

Highridge Crossing

27923 – 59 Seco Canyon Rd.

1,500 - 1,600

Lease

$2.50 SF/M0/NNN

27023 McBean Parkway

1,360 - 3,495

Lease

$3.50 SF/M0/NNN

Seco Canyon Village

The Promenade John Cserkuti (NAI Capital) 661-705-3551

24525 Town Center Drive

53,517

Sale/Lease

$11.9 M/$222 SF

Spectrum Club Fitness Center Craig Peters (CBRE) 818-907-4616

19045 Golden Valley Road. #115

$1.48 SF/MO/NNN

4,040

Sub-Lease

$2.25 SF/MO/NNN

31675-31783 Castaic Road

1,063 - 6,015

Lease

$1.50 SF/MO/NNN

23754 Valencia Boulevard

4,350

Lease

$2.50 SF/MO/NNN

1,700 – 7,000 997 – 8,565 660 – 2,337

Lease Lease Lease

Negotiable $2.20 -$3.50 SF/MO/NNN $3.00 SF/MO/NNN

The Plaza at Golden Valley The Vine at Castaic

Chris Munyon (NAI Capital) 661-705-3556

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

Cody Chiarella (CBRE) 818-502-6730

27430 Golden Valley

4,040

Lease

$2.25 SF/MO/NNN

Yair Haimoff (NAI Capital) 818/742-1659

Office/Commercial Buildings 20605 Soledad Canyon Road

Sq. Ft.

Sale/Lease

1,500

Sale/Lease

Price $2.00 SF/M0/NNN, $825,000

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

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

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

Sale Lease Lease Lease Lease Lease

$6.8M $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

22620 Market Street

1,685

Lease

$1.75 - $2.00 SF/MO/MG

28455 Livingston Avenue

5,600

Lease

$1.25 SF/M0/MG

Yair Haimoff (NAI Capital) 818-742-1659

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

Doug Sonderegger, (CBRE) 818-907-4607 • Sam Glendon (CBRE) 818-502-6745

28001 Smyth Drive

700 & 900

Lease

$1.80 SF/MO/FSG+

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

28494 Westinghouse Pl.

736 - 2,208

Lease

$2.15 SF/MO/MG

1, 758 - 22,919

Lease

$2.20-$2.55 SF/MO/FSG

25129 The Old Road

862 - 4,275

Lease

$2.35 SF/MO/FSG

23822 Valencia Blvd.

776 - 6,130

Lease

$2.25 SF/MO/FSG

23929 Valencia Blvd.

767

Lease

$2.35 SF/MO/FSG

25600 Rye Canyon Rd.

910

Lease

$ 1.50 SF/MO/MG

Valencia Atrium

27200 Tourney Rd. Tourney Pointe

Sunset Pointe Plaza Valencia Oaks

Bank of America Tower

Executive Center Valencia Kevin Fenenbock (Colliers Int.) 661-253-5204

27202, 27220 & 27240 Turnberry

1,425 - 29,028

Lease

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

25020 - 25061 Avenue Stanford

$2.15 SF/MO/FSG

Lease

$1.05-$1.75 SF/MO/FSG

2,810

Lease

$2.50 SF/MO/NNN

27413 Tourney Road

1,290 - 3,243

Lease

$2.55 SF/M0/FSG

26650 The Old Road

1,892- 4,291

Lease

$2.65 - $2.80 SF/M0/FSG

25152 - 25154 Springfield Court

1,187 - 20,000

Lease

$2.75 SF/MO/FSG

25350 - 25360 Magic Mountain Parkway

1,500 - 8,000

Lease

$2.85 SF/MO/FSG

24501 Town Center Drive; Suite 103

Craig Peters (CBRE) 818 907-4616 and Sam Glendon (CBRE) 818/502-6745 Tourney Business Park

Westridge Executive Plaza Richard Ramirez (CBRE) 661-907-4639 The Commons at Valencia Gateway

Peachland Medical Arts Lyons Plaza

Plaza Posada Cameron Gray (NAI Capital) 661-705-3569

24961The Old Road Matt Sreden (NAI Capital) 661-705-3552

Office/ Medical Buildings 25775 McBean Parkway 25880 Tournament Road

Price $2.76 SF/MO/NNN Negotiable

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

Land (Commercial, Industrial & Retail) Acres Sale SWC Golden Valley Rd./Centre Pt. Pkwy.

Price

1.5

Sale

$27.17 SF ($2.3M)

149.0 (Com.)

Sale

$0.61 SF ($3.9M)

1.7 ac.

Sale

$22.50 SF

SWC Copperhill Drive & Rio Norte

8.65

Sale

$22 SF

Placerita Canyon Road

9.9

Sale

$7.42 SF/$3.2M

38.26 148.75 14.5 38.30 10,743

Sale Sale Sale Sale Sale

$2.11 SF/$3.5M $0.60 SF/$3.9M $3.48SF/$2.2M $0.37 SF/$629,000 $55.75SF/$599,000

Industrial Buildings

Sq. Ft.

Sale/Lease

27778 Avenue Hopkins

39,474

Lease

$0.58 SF/MO/NNN

28312 Constellation Road

5,404

Sale

$215 SF/$81.2M

25334 Avenue Stanford 28305 Constellation Road 28338 Constellation Road 26450 – 25470 Ruether Avenue 28452 Constellation Road 28506 Constellation Road 28486 Westinghouse Place #110 26340 Diamond Place

17,775 6,766 3,320 2,089 3,180 4,595 7.513 2,154

Sale Sale Lease Lease Lease Lease Lease Lease

$123 SF ($2.2M) $185 SF($1.3M) $0.90 to $1.15 SF/MO/NNN $0.99 SF/MO/NNN $0.85 SF/MO/NNN $0.89 SF/MO/NNN $0.89 SF/MO/NNN $1.50 SF/MO/NNN

24820 Avenue Tibbitts

13,045

Lease

$0.75 SF/MO/NNN $0.63 SF/MO/MG

Nigel Stout (JLL) 818-531-9685

15112 Sierra Highway

Randy Cude (NAI) 661-705-3553

SEC Newhall Ranch Rd. & Rye Canyon Rd.

Craig Peters (CBRE) 818-907-4616 • Doug Sonderegger (CBRE) 818-907-4607 West Creek John Z. Cserkuti (NAI Capital) 661-705-3551

Randy Cude (NAI Capital) 661-414-2004 Placerita Canyon/Sierra Canyon 15112 Placertia Canyon Bouquet Canyon/Vasquez Canyon 14825 Sierra Highway 24605 Railroad Avenue Yair Haimoff (NAI Capital) 818/742-1659

Price

Kevin Tamura (Daum Commercial) 661-670-2001 • Ron Berndt (Daum Commercial) 661-670-2000 Matt Sreden (NAI Capital) 661-755-6654

Yair Haimoff (NAI Capital) 818-742-1659

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

26000 Springbrook Avenue #202

27,000

Lease

29023 The Old Road

14,536

Lease

Pamela Verner (SCV Commercial) 661-714-5271

990 - 4,281

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

Peachland Medical

Richard Ramirez (CBRE) 818-907-4639

27525 Newhall Ranch Rd., Unit 7 27525 Newhall Ranch Rd.; Unit 9

5,524 7,584

Lease Lease

8,284 17,455 10,214 1,561 - 3,131 2,025 37,766 1,440 1,244

Lease Lease Lease Lease Lease Sale/Lease Lease Sale

$0.79 SF/MO/NNN $0.70 SF/MO/NNN $0.70 SF/MO/NNN

Nigel Stout (JLL) 818-531-9685

28478 Westinghouse Place 25615 Hercules 27795 Avenue Hopkins 26074 Avenue Hall 26943-26951 Ruether Ave. 28430 Witherspoon Pkwy. 25040 Avenue Tibbits 28212 Kelly Johnson Pky.

$0.63 SF/MD/MG $0.59 SF/MO/IG $0.55 SF/MO/NNN $0.90-$1.00 SF/MO/IG $0.79 SF/MO/IG $139.00/$0.59 SF/MO/IG $0.88 SF/MO/MG $397.00 SF; $495,000

JANUARY 2016

SANTA CLARITA VALLEY BUSINESS JOURNAL

Industrial Buildings (cont.)

Sq. Ft.

Sale/Lease

Price $0.75 SF/MO/NNN $825,000 $1.05 SF/MO/IG $0.95 SF/MO/IG $1.05 SF/MO/IG

Santa Clarita Valleyâ&#x20AC;&#x2122;s Largest

$0.59 SF/MO/NNN $0.67 SF/MO/NNN

Now Recruiting Quality Brokers

25215 â&#x20AC;&#x201C; 25217 Rye Canyon Road 24,048 - 12,048 28368 Constellation Rd., Bldg C, Unit 360 4,017 26074 Avenue Hall, Unit #5 3,131 Unit #12 3,082 Unit #21 3,177

Lease Sale Lease Lease Lease

28334 Industry Drive 29145 The Old Road

35,310 77,064

Lease Lease

28210 N. Avenue Stanford 25060 Avenue Tibbitts

116,143 21,147

Lease Sale

$0.58 SF/MO/NNN $135.00 SF

24700 Avenue Rockefeller 24730 Avenue Rockefeller 27460 Avenue Scott

50,261 42,960 20,866

Lease Lease Lease

$0.55 SF/MO/NNN $0.55 SF/MO/NNN $0.63 SF/MO/NNN

John Erickson (Colliers Int.) 661-253-5202 â&#x20AC;¢ Chris Erickson (Colliers Int.) 661-253-5207

Full Service Commercial Real Estate Firm Serving North Los Angeles

Matt Dierckman (CBRE) 818-502-6752

Craig Peters (CBRE) 818-907-4616

Craig Peters (CBRE) 818-907-4616 â&#x20AC;¢ Doug Sonderegger (CBRE) 818-907-4607 â&#x20AC;¢ Richard Ramirez (CBRE) 818-907-4639

25158 Avenue Stanford 44,548 Sale/Lease 26308 Spirit Court 44,944 Sale 28340-28400 Avenue Crocker 71,268 Lease 28340 Avenue Crocker Rexford Industrial Center (various combinations)

Unit A Unit B Unit C Unit D Unit E

22,288 22,712 25,325 48,037 70,325

Lease Lease Lease Lease Lease

$111.47 SF; $0.55 SF/MO/NNN $115 SF $0.65 SF/MO/NNN

$0.60 SF/MO/NNN $0.63 SF/MO/NNN $0.60 SF/MO/NNN $0.62 SF/MO/NNN $0.62 SF/MO/NNN

Chris Jackson (NAI Capital) 818-933-2368 â&#x20AC;¢ Todd Lorber (NAI Capital) 818-993-2317

28358 Constellation Road Unit B 8 4,984 28338 Constellation Rd. Unit 920 3,328

Lease Lease

$0.65 SF/MO/NNN $0.76 SF/MO/NNN

Sale

$135 SF

James Ebanks (Realty Advisory Group Inc.) 661-702-8880 x12 â&#x20AC;¢ Lauren Ebanks (Realty Advisory Group Inc.) 661-702-8882 x18

24971 Avenue Stanford

20,415

Mark Sokolowski (NDKF) 310-491-2075, 818-497-8815 â&#x20AC;¢ Sean Oâ&#x20AC;&#x2122;Leary (NDKF) 310-491-2010

4,119 4,119

Lease Lease

$0.80 SF/M0/Gross $0.82 SF/M0/Gross

25159 Avenue Stanford

79,701

Sale

$115.00 SF

28381 Constellation Road 28446 Constellation Road

21,650 3,480

Lease Sale

$0.79 SF/MO/NNN $210.00 SF

28029 Smyth Drive 26635 Valley Center Drive, Unit 106

4,790 1,584

Sale Lease

$870,000 $1.35 SF/MO/NNN

24922 Anza Drive, Unit C 24922 Anza Drive, Unit D Unit F

6,668 6,688 11,600

Lease Lease LEASE

$0.80 SF/MO/GROSS $0.80 SF/MO/GROSS $0.80 SF/MO/IG

28903 Avenue Paine 28308 Industry Drive 25161 Rye Canyon Loop Mann Biomedical Park Building #61 26037 Huntington Lane 25540 Avenue Stanford 25540 Avenue Stanford

146,000 54,060

Sale Lease

$142 SF + 1.8 ac. Land $0.64 SF/M0/NNN

28926 Hancock Parkway 27911 Franklin Parkway 28623 Industry Drive

17,245 39,975 27,101

Lease Lease Lease

Sq. Ft.

Sale/Lease

Todd Lorber (NAI Capital) 818-933-2376

Randy Cude (NAI Capital) 661-705-3553

For more information, contact:

Yair Haimoff, SIOR

26017 Huntington Lane Unit B Unit F

Sam Glendon (CBRE) 818-502-6745

We expand your potential and deliver results

Executive Vice President, Branch Manager 27451 Tourney Road, Suite 200 Valencia, CA 91355 (661) 705-3550

naicapital.com

Ron Berndt (Daum Commercial) 661-670-2000 â&#x20AC;¢ Kevin Tamura (Daum Commercial) 661-670-2001

Nigel Stout (JLL) 818-531-9685

38,465 22,557 15,000 30,000

Lease $0.60 SF/MO/NNN Sale/Lease $0.63 SF/M0/NNN/$139 SF Lease $0.68 SF/MO/Gross Sale $135 SF

Craig Peters (CBRE) 818-907-4616 â&#x20AC;¢ Doug Sonderegger (CBRE) 818-907-4607

Doug Sonderegger (CBRE) 818-907-4607

Future Industrial Projects

$0.65 SF/MO/NNN $0.54 SF/MO/NNN $0.63 SF/MO/NNN

Price/Availability

West of I-5/SR 126/Commerce Center Drive Gateway V (Phase 1) IAC Commerce Center (Phase 1)

Sierra Highway/Newhall Avenue/14 Freeway

60,923 - 105,407 Sale /Lease 93,500 - 250,000 Lease

TBD;1Q 2016 TBD; 3Q 2016

Needham Ranch (Phase 1) 16,000 - 223,530 Sale /Lease TBD; 1Q 2017 Craig Peters (CBRE) 818-907-4616 â&#x20AC;¢ Doug Sonderegger (CBRE) 818-907-4607 â&#x20AC;¢ Richard Ramirez (CBRE) 818-907-4639

28608 Hasley Canyon Road

20,499 - 44,162

Lease

TBD

42,159

Sale

$134 SF/TBD

Sq. Ft.

Sale/Lease

100,000

Lease

Avalon Business Center JamesEbanks(RealtyAdvisoryGroupInc.)661-702-8880x12â&#x20AC;¢LaurenEbanks(RealtyAdvisoryGroupInc.)661-702-8882x18

28528 Industry Drive

Gateway Industrial Doug Sonderegger (CBRE) 818-907-4607 â&#x20AC;¢ Craig Peters (CBRE) 818-907-4616

Future Office Projects 27750 North Entertainment Drive

Entrada Gateway Center Ryan House (JLL) 818-531-9677 â&#x20AC;¢ Dan Sanchez (JLL) 818-531-9682 â&#x20AC;¢ Jim Lindvall (JLL) 818-531-9678

Note: Parties interested in properties should contact listing broker or agent for more information. To list here:

Price TBD

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

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SANTA CLARITA VALLEY BUSINESS JOURNAL

JANUARY 2016

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