The Redondo Beach Unified School District Board of Education Tuesday night awarded the lease of the district’s property at 320 Knob Hill to an aspiring Christian high school.
Ambassador High School won the lease with a dramatic last minute bid increase to $528,000 annually over 30 years. The bid surpassed that of a proposed affordable housing proposal by local development firm Mar Ventures, which had offered $502,027 and hoped to build a roughly 100-unit condo/loft complex aimed at entry-level workforce buyers.
Both projects were submitted last week, and Mar Ventures – co-developers of several local projects including the Plaza El Segundo mall – seemed to be on the cusp of approval at a dramatic meeting packed with neighborhood residents who vehemently opposed the residential project. But after a heated public hearing, Ambassador CEO Michael Barker upped his $500,000 sealed bid proposal from a week ago with a last minute oral bid.
“We want to be a light to the community,” Barker said, noting that Ambassador intended to vastly upgrade the facility, thereby raising local property values, and that the school’s students would engage in public service. “We want to make a difference in the community.”
The board accepted the bid in a 3-2 vote, despite concerns over the financial viability of the offer.
Board member Carl Clark and president Drew Gamet both questioned Ambassador’s financial wherewithal.
“My position is a bid for $528,000 is not supported by the bank accounts I have seen, the money I have seen in their bid….I don’t feel they are a responsible bidder,” Clark said.
Board member Arlene Staich earlier in the meeting had sharply questioned Ambassador’s finances. The high school at this point is little more than a non-profit with a six-member board who for the last half-decade has sought a site for a Christian high school in the South Bay. Staich noted that Ambassador had only $1,000 in its bank account and a single pledge of $21,000. She said that basic infrastructure upgrades alone would cost $1 million.
“To me, that is not a responsible bidder…even though it’s a great idea,” Staich said.
Barker, who said he currently works in public education, was forthright about Ambassador’s lack of immediate financial wherewithal. He said that people were hesitant to invest in a school that didn’t yet have a site, and by winning the lease, fundraising could begin. Barker said at least 30 parents had committed their support to Ambassador, and that the school hoped to open up with an initial class of 50 students.
“Yes, you are absolutely right, our finances are not there,” Barker said. “That is one thing I have been very honest about from the first thing.”
Several parents backed Barker’s assertion, saying that they’d just learned of Ambassador and would support the school should it win the bid.
“I assure you, people in the community just found out about this,” said Jean Zimmer, who said she had a son at a private Christian middle school. “Yes, we would like to send our children to a Christian high school and can give many donations….That is not an issue you should be so concerned about.”
Several people shouted, “Give the school a chance!”
The school’s stated mission in its bid is to “provide a rigorous academic education from a Biblical Worldview through excellence in academics, athletics, and artistic pursuits to the glory of God.”
Board member Jane Diehl said she believed Ambassador was a responsible bidder. She made the motion to accept the bid.
“I know this has been talked about a long time,” Diehl said. “I agree it’s a good use for the community. I agree you would be able to generate the funds to do it.”
Staich seconded the motion, and board member Todd Loewenstein also backed it. After its approval, an emotional Staich implored Ambassador to make good on its offer.
“I just hope Ambassador can come up with the money, for the students of this district,” she said, near tears.
Earlier, Staich had forcefully made the case that the district needed to accept a bid – at the time, it appeared Mar Ventures was the highest bid – because after taking $8.8 million in state budget cuts a reliable new source of revenue was desperately needed.
“My concern is the students,” she said. “They need small classrooms to be competitive, they need teachers….We can’t count on federal stimulus money. We have got to get our own money, and the reason we are doing this is we need some money we have total control over.”
Although some residents opposed both bids, most of those present at the meeting were focused on the impact the affordable housing project could have on their neighborhood. The mood was frequently angry, as Gamet repeatedly had to pound the gavel and ask that board members be allowed to speak. Residents argued that affordable housing would ruin the quality of life in the neighborhood.
“Certainly the housing option is not a feasible scenario,” said resident John Rosenberg. “The concern is the increase in congestion that it will cause…an increase in crime issues, potential gang-related activities. This will decrease our property values.”
Kelly Martin, the leader of the Knob Hill Community Group, which formed specifically to advocate for the neighborhood on this issue, backed the Ambassador proposal.
“There is not one person in this room who is supportive of Mar Ventures,” she told the board. “I hope you do not ignore that.”
Loewenstein said that the board did not take the decision lightly and understood neighbor concerns. But he noted that the loss of the city as a tenant at the site – which will occur next year – meant that turning down a potential new lease represented an $800,000 swing, as the city pays $300,000 annually.
“There are no ulterior motives here,” he said. “We are trying to do the right thing for kids, and parents.”
The meeting ended with a loud round of applause after the approval of the Ambassad
