Redondo Beach USD rejects Knob Hill bid
A proposal for a 40,000 sq. ft. Whole Foods Market at a former school site was unanimously rejected by the Redondo Beach Unified School District Board of Education Tuesday night.
The bid was the only one submitted after the district issued a request for proposals for its property at 320 Knob Hill, the former Patterson School site that currently houses the city’s Knob Hill Community Center and a small private school, Carden Dominion. The 3.25 acre property has been declared surplus by the district.
The school board has sought to increase its lease revenue from the property. The city currently pays $302,000 with a lease that ends in June 2011.
But the bid, by a development company called the Paragon Commercial Group that has previously worked with Whole Foods, fell far short of the minimum bid of $700,800 in annual rent outlined in the request for proposals. Paragon’s bid was $405,000 per year over a 20 year lease.
Board president Drew Gamet said from the outset that the bid could not be accepted.
“This bid is below our minimum bid point,” said Gamet. “So really, at this point, we kind of need to reject it…That is the big issue – not to say we wouldn’t go out [to bid] again.”
“We cannot accept this bid because of the law,” said board member Arlene Staich.
Several residents expressed opposition to any such project.
“My concern is you are turning a residential area into a huge market area, and one that is going to bring a huge amount of traffic,” said resident Linda Moffat.
Resident Jess Money noted that the project would require a zoning change, which would require a public vote under a recent change in the City Charter enacted through the “slow growth” Measure DD.
“Before the bulldozer clears one scrap of dirt down there, you are going to have to get it by a citizen’s vote, and I’m telling you now that ain’t going to happen,” Money said.
Resident Christie Forshey said that a Whole Foods would damage neighborhood property values, with up to 17 truck deliveries each week and a 160 car parking lot accompanying the store.
“My R-1 neighborhood would change,” Forshey said.
Board member Jane Diehl said that old school buildings are rapidly deteriorating and could themselves damage the neighborhood’s property values.
“As it is, your property values are going to go down…It’s not going to be in your interest if nothing happens to that property,” Diehl said.
Board members reiterated that that they have little interest in selling the property. But the district, which has endured millions of dollars in budget cuts from the state in recent years, is in desperate need of additional revenue. And with the city leaving the property in a year, the board indicated a desire to quickly go out to bid once again.
“We need income streams,” board member Carl Clark said. “We are not going to sell lands.” ER