Oakland Port Project Slated for Retail Shops
The retail prospects look good in California’s Bay Area—at least to one area developer. San Francisco–based Simeon Commercial Properties LLC recently closed on a 23-acre property with the Port of Oakland and will build a 275,000-square-foot retail center off Interstate 880 and Hegenberger Road.
Developers initially intended the property, known as MetroPort, to become a transit-oriented project with BART (Bay Area Rapid Transit) trains whisking customers to and from a 300-room, four-star hotel and about 1.3 million square feet of office space, but the dot-com bust and the struggling tourist trade shifted the focus to retail.
“Quite frankly, we have allowed the market to dictate the direction, and right now retail development looks like it will be a top priority for Oakland,” said Simeon Chief Executive Officer J. Russell Pitto in a statement.
The company, which has partnered with Raleigh, N.C.–based Cherokee Investment Partners LLC, paid $15 million for the land. Pitto said the company expects to have site plans ready by the end of the month and intends to start construction by the end of the year.
The center will include regional retailers, shops and restaurants. Letters of intent are under negotiation with some key prospective tenants, Pitto added.
The Oakland Port development is one of a number of retail projects for Simeon, which has been primarily a residential and commercial developer. The company recently hired Rajiv Parikh to become its first vice president of retail development. Parikh came to the company from Syufy Enterprises, which operates theater chains under the Century Theaters brand.
Simeon executives said they hope to open stores by Thanksgiving 2004. —Robert McAllister
