Thursday, May 3, 2018

[Shasta County] Redding will negotiate sale of Stillwater Business Park to developer 

Blog note: this article references a grand jury report on the subject and follows up on an article published a few days ago.
Redding officials will see whether they can ink a deal with a Southern California developer to offload the remaining 15 vacant lots in Stillwater Business Park.
“The city manager has been authorized to negotiate the sale of (15 lots) in Stillwater Business Park to the Panattoni group,” City Attorney Barry DeWalt said Tuesday night.
The announcement came after the council met for about 30 minutes in closed session, where it discussed union negotiations and interest in Stillwater from Panattoni Development, which has offices in the United States, Canada and Europe.
Headquartered in Newport Beach, Panattoni, per its website, has worked with more than 2,500 companies across the globe while developing millions of square feet of industrial and office space.
Earlier Tuesday night, Redding resident Dale Ball addressed the council while carrying a sign that read "Stillwater Sell-Baby Sell."  
"I lost a bet," Ball said before urging the sale. “I know most of you were not around back when this was originally sought out. The Grand Jury report said ‘hey it’s not a great idea’ but I’m not here to hold any of you accountable for that. Let’s get out of the real estate business. Let’s get focused on public safety. Whatever deal you guys have to make, please, in the best (interest) of our community, let’s get this albatross off our back and be done with it.”
Moving forward, Development Services Director Larry Vaupel and Colliers International, real estate broker for the park, will work with Panattoni to craft a deal, the city said late Thursday afternoon on its website.
The company recently expressed interest in the park. In a non-binding letter of intent to the Economic Development Corp. of Shasta County, it details how Panattoni would like to structure a purchase agreement to develop the park.
The city also received a letter, outlining a purchase price of the appraised value of the park. Stillwater was last appraised in 2014 at $14 million, which exceeds the debt owed on the park, City Manager Barry Tippin has said.
A new appraisal is needed, officials have said.
Once an agreement is reached, Panattoni will issue $500,000 deposit bond, which starts a 36-month clock to compel lease agreements from prospective tenants, the city's statement reads.
Panattoni will also abide by the city's design guidelines for the park, according to the city's statement.
To date, the city has sold a single lot at Stillwater, to Lassen Canyon Nursery, but the Redding company last year postponed its plans to build due to the economy. Lassen Canyon paid $840,000 for 16.75 acres in late 2015.
The remaining 15 lots in Stillwater range in size from 3.3 acres to 91.85 acres.
May 1, 2018
Record Searchlight
By Sean Longoria


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