Publication

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Publication

Canyon Country · Newhall · Saugus · Valencia · Stevenson Ranch · Castaic · Agua Dulce
Santa Clarita Valley Business Journal
Santa Clarita’s Only Business Publication
www.scvbj.com
$2.00 · Volume 7 · Number 12
april 2016
■ Rendering of Phase I of new building
construction to begin in April at the 116acre business park IAC (International
Airport Centers) Commerce Center
signifies the first new industrial space
construction in nearly a decade. The
new center sits adjacent to the Valencia
Commerce Center off the Interstate-5 and
Highway 126 intersection in Santa Clarita.
First Significant
Industrial Building
in A Decade to
Commence
I
n little more than a year after the
initial groundbreaking, Phase I of
new building construction of the
IAC (International Airport Centers)
Commerce Center begins in April.
New construction of the 116-acre business park marks the first significant
See INDUSTRIAL page 22
Special Report:
Crushing the Wine Industry
Page 6
■ Juan Alonso displays a selection of his wines available at Le Chene restaurant in Santa Clarita. Photo by Dan Watson
Film Location Firm Has News
Magnate William Randolph
Hearst to Thank for its Beginnings
Business Makeover: Hold,
Differentiate, Build through
Diversification
By Ken Keller
S
■ Hollywood Locations got is start in 1989 when it secured the rig; built by legendary
newspaper magnate William Randolph Hearst. Courtesy photo.
By Jana Adkins
SCVBJ Editor
H
ollywood Locations had newspaper magnate William Randolph Hearst’s grandiose vision
for building the Los Angeles newspaper,
Herald Examiner, in Mission Revival and
Spanish Colonial Revival styles to thank for
its launch into the movie locations business.
In fact, not only did the film location
company have Hearst to thank for building
the newspaper’s headquarters – ornately
designed with gold, marble hand-painted
floor tiles in downtown Los Angeles in
1914, it had Hearst’s contentious, near
decade-long battle with striking unions to
thank for the newspaper’s demise in 1989
when it folded.
“We were one of the first companies to
specialize in the commercial world,” said
Santa Clarita resident since 1986, Pete
Brosnan, a principal of Hollywood Locations and Los Angeles Center Studios.
“We lobbied the Hearst Corp. for their
old Los Angeles building in 1989 when
it went out of business. Julia Morgan
See HOLLYWOOD, page 23
ome owners see only trailing indicators
but some are fortunate to be at the leading edge and can see the future before
many recognize what is happening.
Almost twenty years ago, a man who had
been delivering for a furniture store got the
idea to start his own moving company. In just
a few years the company expanded into a full
moving and storage company, capable of packing, crating, storage and delivery anywhere in
the world. Through the years the business grew
and weathered the economic ups and down of
the North Los Angeles economy.
While his business has grown over the past
half a dozen years or so, the core reason for
Daniel O’Brien’s business to exist is slowly
disappearing. He is in the residential moving
■ Watford Moving and Storage owner Daniel
O’Brien stands in the company’s warehouse,
next to the stacks of wooden vault storage
containers. Photo by Katharine Lotze
business and his consumer target market is not
moving into California, they are leaving it.
With a shrinking inbound market, in-state
residential moves are becoming more price
competitive, with resulting reduced margins.
See WATFORD, page 24
Auto Club moving its Valencia
insurance claims unit
T
he Automobile Club of Southern
California is relocating its Tourney
Road insurance claims operation in
Valencia to an office building on Turnberry
Place, a broker for the deal said. Currently, the
operations unit is located on Tourney Road.
Representing the landlord, Great Point
Investors, Colliers International Senior Vice
Presidents, Kevin Fenenbock and John Erickson, leased the entire ground floor, some
29,000 square feet, in one of the buildings
at the Summit at Valencia business park
on Turnberry Place. The lease represented
roughly one-half of the entire building.
“This will be the largest new lease transaction (renewals excluded) in Santa Clarita for
over 10 years,” Fenenbock said. “There have
been a lot of renewals and expansions over
the years, but in terms of new deals we were
unable to identify any new lease transitions as
large as this in terms of a new tenant coming
into a building.”
AAA is expected to move a regional insurance claims unit and other related groups to
the new office by the third quarter of this year,
See AAA, page 16
Prstd Std
U.S. POSTAGE
PAID
Santa Clarita, CA
Permit No. 34
2
SANTA CLARITA VALLEY BUSINESS JOURNAL
APRIL 2016
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APRIL 2016
3
Canyon Country · Newhall · Saugus · Valencia · Stevenson Ranch · Castaic · Agua Dulce
Santa Clarita Valley Business Journal
Santa Clarita’s Only Business Publication
www.scvbj.com
$2.00 · Volume 7 · Number 12
Cover
First Significant Industrial Building
in A Decade to Commence
Crushing the Wine Industry
13
Film Location Firm Has News
Magnate William Randolph Hearst
to Thank for its Beginnings
661-287-5564
Major and National Accounts Marketing Director
SPECIAL REPORT: WINE INDUSTRY
Maureen Daniels
County’s Wine Crushing Rules May
Soon Change, Boosting Region’s Wine
Industry . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
[email protected]
661-287-5566
Wine Heist History Raises Funds for New
Museum . . . . . . . . . . . . . . . . . . . . . . . . . . 7
Multi-Media Account Executives
Alesia Humphries
California’s Winery Industry Leads
the Nation in Output and Economic
Benefit to Surrounding Communities . . . . 5
Monica Jaffe
Darmon McGruder
Direct Wine Shipments to Consumers
Grow 4X Faster than Wine Retail Market
in 2015 . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
Toni Sims
Administrative Assistant
Celebrity Vintners . . . . . . . . . . . . . . . . . . . . . 9
Jennifer St. Clair
■ Movie horse Ranger nuzzles Peter Sherayko at the Caravan West Productions. The ranch
has 12 movie horses, 100 head of cattle, donkeys, pigs, chickens and goats ready to work on
the 2400 acre ranch in Auga Dulce. Photo by Dan Watson.
Charles Krug Winery’s Peter Mondavi,
Sr. Passes Away at 101 . . . . . . . . . . . . . . . 11
From the Editor
Judgment against Gruber Systems and
its CEO secured . . . . . . . . . . . . . . . . . . . . 11
Whether you make it, gift it, or drink it –
the wine industry in Los Angeles County has
been crushed by burdensome rules imposed
by the county’s health department – and, not
only do we shed light on the issues, we are
able to announce major changes coming in
our Special Report this month.
We also took a moment to share quotes
some of the experts in the biomedical space
gave us in tribute of Alfred E. Mann, who
died last month after decades of service to improve the lives of people.
And, we picked up two film industry stories – both interesting in their own right from
$3.1 Million Loan to Finance Apartment
Renovation in Santa Clarita . . . . . . . . . . . . 14
Palmdale’s Commercial Building
Activity Heating Up. . . . . . . . . . . . . . . 15
Economists: No hints of a recession . . . . 17
Wine Industry Stats . . . . . . . . . . . . . . . . . 19
Tribute: Alfred E. Mann, Investor and
Philanthropist, 1925 – 2016 . . . . . . . . . . 20
State’s film program reaping early results . . 23
Hospital’s Foundation Appoints New
Board Members . . . . . . . . . . . . . . . . . . . . . 23
Planning Commission approves new
parking structure as part of Kaiser project . 23
SCV Business Services
Column: VICA. . . . . . . . . . . . . . . . . . . . . . 24
VIA. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25
SCVEDC. . . . . . . . . . . . . . . . . . . . . . . . . . 26
Chamber of Commerce. . . . . . . . . . . . . . . 27
The List. . . . . . . . . . . . . . . . . . . . . . . . . . . . 30
Business Data Central
Commercial Real Estate. . . . . . . . . . . . . . . 28
Residential Real Estate. . . . . . . . . . . . . . . . 32
Jana Adkins
Advertising
Features
Cowboy at Heart, Actor Serves Up
Western Film Props, Horses and Movie
Ranch . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
SCVBJ Editor
661-287-5599
Auto Club moving one of its Valencia
insurance claims unit
Californians want rum-crazy Cuba to start
drinking wine . . . . . . . . . . . . . . . . . . . . . . . 10
Editorial
[email protected]
Business Makeover: Hold, Differentiate,
Build through Diversification
California Wine Exports Set Record in
2015: Worldwide Demand Grows Despite
Strong Dollar . . . . . . . . . . . . . . . . . . . . . . . . 9
april 2016
Graphic Design Supervisor
Deborah Runions
Photographers
a historical perspective.
We hope you enjoy; and we thank the
many readers who continue to call with praise
or asking to subscribe to the SCVBJ – the
only publication focused exclusively on Santa
Clarita’s business and commerce industries.
Daniel Watson
Katharine Lotze
Executive Staff
Publisher
Charles F. Champion II
[email protected]
661-287-5578
Jana Adkins
SCVBJ Editor
[email protected]
Index of Products and Services
AAA . . . . . . . . . . . . . . . . . . . . . . . . . 14
Brain Balance. . . . . . . . . . . . . . . . . . . . 2
Brookfield Residential. . . . . . . . . . . . . 2
Castaic Lake Water Agency. . . . . . . . . 4
City of Santa Clarita . . . . . . . . . . . . . . 4
Colliers International. . . . . . . . . . . . . 32
Corporate Strategy. . . . . . . . . . . . . . . . 4
D&L Roofing . . . . . . . . . . . . . . . . . . 18
JD Systems. . . . . . . . . . . . . . . . . . . . . . 8
JRL Electric. . . . . . . . . . . . . . . . . . . . 23
LBW Insurance Financial Services. . . . 9
Mission Valley Bank . . . . . . . . . . . . . 12
Art/Production
NAI Capital. . . . . . . . . . . . . . . . . . . . 32
Poole & Schaffery . . . . . . . . . . . . . . . 16
Randal G. Winter Construction, Inc.. . 32
RJB Law Offices . . . . . . . . . . . . . . . . 7
SCVEDC: Rosalind Wayman. . . . . . . 7
SCVEDC: Craig Peters. . . . . . . . . . . 11
SCVEDC: Dale Donohoe. . . . . . . . . 15
SCVEDC: Ken Wiseman. . . . . . . . . 17
SCVEDC . . . . . . . . . . . . . . . . . . . . . 19
Valencia Acura. . . . . . . . . . . . . . . . . . 10
Watford Moving & Storage. . . . . . . . 32
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.
Assistant to the Publisher
Ethel Nakutin
Vice President and Editor
Jason Schaff
[email protected]
661-287-5515
Online
www.scvbj.com
A PROUD PUBLICATION OF
APRIL 2016
IRS
California’s Wine Industry Leads the
Nation in Economic Benefit
Tax Problems?
L.A. County Rules Leave Region Dry
By Jana Adkins
SCVBJ Editor
T
he nation’s multi-billion dollar wine,
grape and grape product industries
in the United States contribute more
than $162 billion annually to the American
economy, according to industry research firm
MKF Research. Results of the study were presented Jan. 17 on Capitol Hill by the Congressional Wine Caucus – a 182-member
body consisting of U.S. Representatives and
Senators.
Nationally, the industry accounts for some
1.2 million jobs and $3.5 billion in agricultural sales from grape growers alone. Add in
multi-billion dollars generated in wine sales,
production and distributor fees, retail and
restaurant sales, and the wine-related tourism
revenue generated and you have an industry
ripe for the picking by any state or county willing to help support the burgeoning industry.
More significantly, perhaps, of those vine
crushing numbers – California accounts for
roughly 90 percent of the nation’s wine production, according to the report. And statewide, counties are reaping the bounty produced by the wine industry – except for Los
Angeles County with what vintners refer to as
restrictive regulations by the county’s health
department, many requirements of which
overlap state and federal compliance rules. In
fact, when researching this story, nary a research report for Los Angeles County’s wine
industry could be found.
So stifled does the industry appear to be in
the county, it is not even recognized by the
L.A. Economic Development Corp. as one
of the key business clusters in the region. Yet,
numerous economic benefit reports produced
for the state of California and many of its
counties document dramatic numbers generated by the wine industry.
California
Wineries in the state were responsible for
just over 100,000 jobs in the 2012, according
to a report prepared for the California League
of Food Processors last year. Those jobs exceeded the number of jobs in each of the top
food and beverage processing industries in the
state, such as bakery products, fruit and vegetable canning, milk production and the soft
drink industry. Grape production in the state
accounts for the second largest agricultural
industry.
California wineries represent the second
largest food and processing sector, accounting for some $7.4 billion in direct and indirect
spending alone in 2012 – and that was just
for the wine making. Another $26 billion was
estimated as the total economic benefit to the
state. And many counties take advantage of
the benefits created by the industry.
San Luis Obispo
Home to the Paso Robles wine region, the
county realized some $1.785 billion in economic benefits from the region’s wine industry
which included more than 8,100 jobs, wages
of $241 million and more than $86 million in
state and local taxes. Industry jobs accounted
for nearly 8 percent of the county’s jobs, more
than 9 percent of the private sector jobs, and
represented the major share of job creation in
2012, according to MKF Research.
While wine grapes represented one-third
of the county’s total agricultural output, there
are other perks besides those being cited in
health studies of the benefits of moderate wine
drinking.
Tourism in the industry drew 1.2 million
visits in which visitors to wineries, vineyards
and tasting rooms spent more than $113
million, creating more than 1,800 jobs. And
wineries and vineyards paid $10.5 million in
property taxes.
Those same business entities, however,
contributed more than $1.1 million in charitable contributions – a conservative estimate
the report said.
Sonoma County
Farther north, the wine industry in Sonoma County contributed $13.4 billion to
the economy in 2012, according to a report by
Stonebridge Research Group. Because Moody
Analytics pegged the entire Sonoma County
economy at $20 billion, the Stonebridge report suggested the wine industry dwarfed
other sectors in terms of economic benefits.
Two-thirds of wine industry and wine-inspired tourism accounted for that $20 billion.
The success has led to rapid growth in the
industry, as well. There were 550 wineries in
the county in 2014, up from 200 in 2005.
The business cluster was responsible for more
than 54,000 full-time jobs supporting $3.2
billion in total wages.
And transit occupancy tax collections from
tourists staying at hotels reached $24 million
by 2012. The wine industry accounted for 60
percent of that tourism, the report found. And
the tourism economy had grown another 2.4
percent in 2014.
Napa Valley
The region’s wine production had reached
$13.3 billion, according to a 2012 report by
the Napa Valley Vintners. The industry provided 46,000 full-time equivalent jobs and
wine tourism generated more than $1 billion
annually.
Another $1.3 billion was generated in local, state and federal taxes. And Napa Valley
vintners generated $84 million annually in
charitable contributions. In total, the report
pegged the industry’s total economic impact
in the region at more than $50 billion. ■
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SCVEDC recognizes the leadership
shaping our local economy.
Rosalind Wayman
Executive Committee Member
Board of Directors
ROSALIND WAYMAN is the Senior Deputy
for Supervisor Michael D. Antonovich in the
Santa Clarita Valley, including the communities
of Gorman, Agua Dulce, Val Verde, Castaic,
Sunset Pointe, Southern Oaks, Westridge,
Stevenson Ranch and the City of Santa Clarita.
She has worked for Supervisor Antonovich for
the past 3 years and is responsible for community
affairs, linking with local elected officials and
representing the Supervisor at Town Council,
Chamber, Civic Association, not-for-profit organizations throughout the
Valley and the City of Santa Clarita. She focuses on the issues of governance, planning, roads, libraries, constituent services and delivering
results to residents and businesses that improve their quality of life.
She is the eyes and ears for the Supervisor in the Santa Clarita Valley.
Rosalind has worked in the political arena for over 20 years spending
most of her career with elected officials in the City of Los Angeles
including Mayor Richard Riordan. She is also a member of the Zonta
Club of the SCV and is on the Board of the SCV Youth Project.
Rosalind is a graduate of CSUN with a Bachelor of Arts in Religious
Studies with an emphasis in Jewish History. She has lived in the Santa
Clarita Valley all of her life and is proud to serve Supervisor Antonovich’s
constituents throughout the Santa Clarita Valley.
Regional leadership for a regional economy.
■ Co-owner and co-wine maker Steve Lemley moves barrels of wine in the Pulchella Winery
wine cellar in Santa Clarita, Los Angeles County. Photo by Dan Watson.
www.stillgolden.org
5
6
APRIL 2016
County’s Wine Crushing Rules May Soon
Change, Boosting Region’s Wine Industry
■ Juan Alonso walks through his five-acre wine vineyard in the Santa Clarita Valley, the Alonso Family Vineyards. Photo by Dan Watson.
By Jana Adkins
SCVBJ Editor
K
nown for its fine wines, California has
become a major player in the wine
market worldwide, generating billions
of dollars in economic benefits to areas like
San Luis Obispo, Santa Barbara, Napa Valley
and Sonoma County. Decades-long burdensome rules imposed on wineries in Los Angeles County by the Department of Environmental Health, however, have literally placed
a chokehold on the local industry.
But, some of the rules which have been
crushing the wine industry – pun intended
– may all change soon thanks to a group of
persistent wine growers and makers in the
Santa Clarita Valley. After countless meetings
with officials over the years and an in depth
review by the county, wineries may soon be
as exempt as breweries from burdensome, redundant regulations that have had the wine
industry in a vise grip, preventing the industry from flourishing as it has in other counties
throughout the state.
“By 1900 we were the largest wine growing
region in the United States,” said Juan Alonso
of Alonso Family Vineyards and Le Chêne
French Cuisine in Santa Clarita. “This was the
birth of the wine industry in the United States
by the Spaniards. Now we have rules going
back to prohibition and the early 1950s.”
Production of wine in Los Angeles County
became classified as a food and milk plant,
causing crush facilities to be treated as food
processing plants and imposing very expensive, undue regulations on crush plants, which
resulted in very few such facilities in Los Angeles County. The misclassification also forced
professional and home-grown winemakers to
leave Los Angeles County for production and
storage – keeping the area dry in terms of options for producing wine.
A group of Santa Clarita Valley vintners,
however, were persistence in their efforts by
meeting with past and present regulators for
than the major mega-producing brewers in
the county such as Anheuser-Busch in Van
Nuys, which wine producers felt were being
given unfair advantages.
Crushing grapes
After years of meeting with former health
department and county officials to no avail,
some of the original group of professional
lobbyist-vintners even moved on to greener
pastures. But a local group stuck by their goal
to make the region a friendly wine-producing
county, allowing the industry to flourish.
While economic studies show the industry
generates billions of dollars in economic activity
in other California counties, not a single report
could be found documenting the health of
the wine industry in Los
Angeles County.
Efforts of the group,
however, finally paid off
when they caught the
– Juan Alonso, Alonso Family Vineyards and Le
attention of a health deChêne French Cuisine, Santa Clarita Valley
partment manager who
more than a decade. They wanted the classi- listened to their reasoned arguments that ferfication changed and costly burdens removed menting wine is vastly different than the food
to accurately reflect wine production and all processing industry which brings the risk of
sickening the public.
that it entails. And, they were very clear that
“I worked for Cisco Foods and understand
they did not want to be treated differently
the need for the health department to make
By 1900 we were the largest wine
growing region in the United
States. This was the birth of the
wine industry in the United States
by the Spaniards. Now we have
rules going back to prohibition and
the early 1950s.”
sure food is processed and stored correctly,”
said wine producer Steven Hemmert with Stephen Hemmert Wines. “When food is stored
incorrectly, it can sicken people. But, wine is
one of the oldest products in the world. When
it goes bad, it just turns to vinegar.”
As costly as it is for the wine growers and
producers in the region, the cost of setting up
a crush facility in the county is astronomical
for a small vintner, making it an industry only
for the wealthy, the group contends. Just ask a
local facility owner in Santa Clarita.
Pulchella Winery
Producing wines originally in Paso Robles,
Steve Lemley and Nate Hasper joined forces
and built a crush facility in the Valencia Industrial Center in early 2012. Producing wine
under their own label, Pulchella Winery, the
pair also opened a tasting room in historic
downtown Newhall on Main Street, helping to revive one end of Main Street that had
fallen into disrepair as the city grew up around
it and the masterplanned community of Valencia was developed.
“It cost us over $100,000 more than it
should have to open the winery just to meet
health department standards that were redundant and unnecessary,” Lemley said. “Yet,
some of the largest brewery plants in Los Angeles County since the 1960s have been exempt from the same regulations that strangle
us. That makes no sense; beer has only half the
alcohol content of wine.”
See WINE INDUSTRY, page 7
APRIL 2016
7
WINE INDUSTRY
Continued from page 6
Lemley points out that there are multiple
wineries in Ventura County, right outside the
boundary of Los Angeles, 80 percent of which
he says are owned by people who live in Los
Angeles County.
Pulchella, on the other hand, had to pay
$35,000 for blueprints and architectural
drawings of an empty warehouse to place its
fermenting tanks and wine barrels in. Another
$4,500 was spent in fees for a plan check.
Then they had to install equipment needed
for a food or milk processing plant – neither
of which they were producing – such as air
curtains costing some $6,000 to hang over
doorways; special sealants for the concrete
floor; and special tiles – all dictated by the
health department – and a janitorial sink to
let grapes soak in large vats. The owners also
had to install special three-compartment sinks
– one to rinse, one to wash, and one to sanitize
– which they didn’t need since they weren’t
processing food.
And then there was the concrete floor. Pulchella’s owners were forced to bust out all of
the concrete floor and install special drainage,
then re-cement the floor with a specified slope
to the tune of another $25,000. To finish
the job, a special eight-hour water permeable
paint at the cost of $275 a gallon was required
to paint the warehouse just in case a hose or
pipe burst so it wouldn’t affect their wine – except their wine wasn’t sitting out in the open,
it was all encased in containers as the grapes
fermented. All of these requirements, and expense, came on top of the costs to purchase
the equipment to produce wine in their crush
facility.
“As a result, we are one of the few wineries in Los Angeles County,” Lemley said, who
once spent three months creating a 75-page
report documenting wine industry standards
throughout the state – few of which place
wineries under the supervision of their county
health departments.
And many of the multitude of regulations
are redundant, he said. The wine industry is
already regulated by the federal government’s
Department of Agriculture, for instance. The
only difference, he points out, is that while the
USDA requires wineries to maintain sanitary
conditions at all times, they don’t tell vintners
how to achieve it in minute detail. For instance, the USDA doesn’t hand out detailed,
specific rules for installing a three-compartment sink.
It cost us over $100,000 more than it should have to
open the winery just to meet health department
standards that were redundant and unnecessary. Yet,
some of the largest brewery plants in Los Angeles
County since the 1960s have been exempt from the
same regulations that strangle us.”
– Steve Lemley, Co-owner, Pulchella Winery
■ Co-owners and co-wine makers Steve Lemley, left, and Nate Hasper of Pulchella Winery in
Valencia. Photo by Dan Watson.
“The rules really impact how we work and
how competitive we can be with everybody
else in the state,” he said.
Reyes Winery
Robert Reyes of Reyes Winery in Agua
Dulce agrees. He explained the three-compartment sink is useless because their wine
barrels don’t even fit in the sinks. And he was
required to get a 100-gallon water heater –
which he doesn’t use. Acquiring his winery in
2002, and planting his vineyard in 2004, the
winery finally was able to open for business
in 2011 – nearly a decade after first buying
the property. He spent four-and-a-half years
creating the infrastructure and cultivating the
vineyard to the tune of around $1.5 million,
he said. Even smaller permitting issues such as
getting clearance from the Fish and Wildlife
(formerly Fish and Game) was an extra burden, adding he is 60 miles from the ocean.
Without a healthy industry in the county,
it’s very difficult for local vintners to promote
their wines, Reyes said. One way the vintners
find to promote their wine and the industry
is by joining forces for wine tasting events,
which also benefits local SCV charities – as is
the case in counties throughout the state. The
fourth annual Sierra Pelona Valley Wine Festival is again being held at the Reyes Winery
in Agua Dulce April 10 from 12 to 4 p.m. It
benefits the SCV Senior Center.
“We promote the viticulture ourselves in
this county, but it’s been a difficult process,”
Reyes said. “To promote wine in this region
of Los Angeles County requires the help of cities like Santa Clarita and Palmdale to promote
the industry as a destination.”
Promoting the wine industry locally would
keep tax dollars local, as well, said Beth
See WINE INDUSTRY, page 19
Wine Heist History Raises Funds for New Museum
A
wine tasting event to benefit a nonprofit group’s new museum project
on March 19 toasted not only the
wine, but Santa Clarita Valley’s history as
well. And there was also a twist of irony to
the whole project.
The SCV Historical Society held a fundraiser at the old Saugus train depot, located in Heritage Junction Historic Park
inside William S. Hart Park in Newhall,
to raise funds to move to its permanent
location inside the Pardee House, also located in the park.
“Right now our museum is in the baggage
room of the train station,” said Board Member Barbara Martinelli. “It doesn’t allow us
to show off the baggage room. And we have
a gift shop in the waiting room. You don’t
get a good feel for what it really looked like
as an old train depot.”
According to local lore, a big wine heist
allegedly took place at the Saugus Train
Station during the Prohibition era. When
a train stopped at the former location of
the Saugus station, the crew stepped off to
travel across the street to the Saugus Café
for a meal. And rumor has it that with the
crew eating lunch across the street, a group
of locals broke into the rail car containing
a shipment of wine from the San Antonio
Winery siphoning off some of the wine into
their own containers.
At the time, no one was the wiser, the
heist was not discovered immediately, and
hey, it was Prohibition after all – no one
filed a police report. But, decades later at a
barbecue one of the heist participants confessed, telling family and friends how he and
his buddies had gotten away with the wine.
Now, ironically, the new home of the museum, the Pardee House, was originally built
as a Good Templars Hall in October 1890
by Henry Clay Needham, who ran for U.S.
Senator on the Prohibition ticket. Needham
founded the Newhall Water Company, according to the SCV Historical Society.
The Templars advocated prohibition,
and today the International Organization
of Good Templars still promotes the idea of
temperance, educating people “around the
world on a lifestyle free from alcohol and
other drugs.”
Well, a good old-fashioned wine heist
story and a wine tasting event don’t really
serve as any conflict for opening the historical museum in the old Pardee House.
■ Howard Pointer, left, pours samples of Mystic Hill wines for attendees during The Wine
Heist fundraising event for the SCV Historical Society held in the Saugus Train Station at
Heritage Park in Newhall. Photo by Dan Watson.
The house will serve an admirable cause:
to preserve and protect all of Santa Clarita
Valley’s history.
When sufficient monies are raised to open
the new museum, it allows the SCV Historical Society to use the train station for exhibits
that have more to do with the history of trains
and rails in the depot, Martinelli said. And the
money for the new home is much needed.
“We need to finish updating the electrical,
do a little construction and painting,” she said.
“Moving the gift shop and museum will allow
us to enlarge the museum overall.” ■
By Jana Adkins, SCVBJ Editor
8
SCV Voices
Five Tips for Saving
Money on your IT
By James Deck, CEO
JD Systems
S
aving a little on your technology can
go a long way, but cutting too many
corners can lead to additional problems and expensive downtime. Here are a
few ways you can cut costs without creating
long term issues.
Don't be Afraid to Replace
Got an older PC that's causing you a
lot of issues? Older technology is typically
more expensive to run; and, after a while,
it's cheaper to simply buy a new desktop
than it is to continue pouring money into
something that always seems broken. It’s a
great time to buy workstations, and if things
are tight you can even buy refurbished desktops to keep costs low.
Enforce Energy Efficiency
If you reduce the amount of energy your
technology uses each day, your utility bill
from the electric company will decrease as
well. Switching to LCD monitors (if you
are still using old CRT dinosaurs), and enforcing company-wide policies to turn off
monitors or put workstations to sleep at
night can make a big difference.
Stop Dealing with Vendors
You hired your employees to work, not
JDS_Half_SCVBJ_0316.indd 1
APRIL 2016
sit on the phone with a PC manufacturer
because your hard drive crashed. Businesses
waste money by paying employees to go
around in circles with vendor tech support
all the time. IT firms like JD Systems build
relationships with vendors and are able to
get things done faster. This means issues get
resolved quickly and your employees don't
need to deal with less-than-helpful support.
Stop Paying your Phone Bill
Yes, you heard us right. Cease paying
your phone company by switching over to a
VoIP solution instead. Small businesses save
up to 80 percent on their telephone communication expenses, so the investment
pays for itself quickly. Many VoIP systems
allow your users to take their phone and use
it anywhere; giving you increased flexibility
and functionality.
Get Proactive Monitoring
and Maintenance
Nearly all day-to-day IT issues can be
completely prevented with just a little bit of
maintenance. With some proactive maintenance, companies can reduce the amount
of downtime they experience. Traditional
computer support only fixes computer issues when they arise. Seek an IT service
company that provides proactive monitoring and maintenance to ensure fewer issues
plague your business. ■
Direct Wine Shipments to
Consumers Grow 4X Faster than
Wine Retail Market in 2015
I
n the United States, 43 out of the 50
states allow direct shipment of wine to
consumers, and these consumers continue to embrace this wine-by-mail option. The
newly released 2016 Direct-to-Consumer
Wine Shipping Report issued by ShipCompliant and Wines & Vines shows the volume
of winery shipments to consumers grew at a
rate four times greater than the overall U.S.
retail off-premise wine market grew in 2015.
The report announced that in 2015, the
volume of wine shipped from wineries to
consumers increased by 8.5 percent over
2014. This is a rate of growth four times
that of the 2 percent sales volume increase
off-premise channels experienced, according
to Nielsen. Wineries shipped over 4.2 million cases of wine in 2015, which represented
$1.97 billion in sales, an 8.1 percent increase
over 2014.
Other highlights in the
report include:
• Napa wineries reached an all-time high
shipping record in 2015 – over $1 billion worth of wine was shipped directly
to consumers.
• Consumers continued to embrace Oregon wine, with its shipments increasing
by 14.6 percent in 2015.
• Massachusetts wine lovers ordered $27.5
million worth of wine in the first year of
legal direct-to-consumer shipping.
• Shipments of Cabernet Sauvignon led all
other varietals, representing 30 percent of
all sales of direct-shipped wines.
• The District of Columbia, California,
Oregon, Washington, and Wyoming
saw the most wine shipped directly to
consumers on a per capita basis.
• Wines shipped directly to consumers
remain an expensive proposition, with
the average bottle of wine shipped costing $38.23.
“We are seeing the direct distribution
channel for wine continuing to be a significant source of sales for wineries, and
an increasingly desirable way for consumers to obtain wines that they can’t find in
their local retail outlets,” said Jeff Carroll,
Vice President of Compliance & Strategy,
ShipCompliant.
The annual Direct-to-Consumer Wine
Shipping Report is based on millions
of anonymized transactions, processed
through ShipCompliant’s compliance
platform and Wines & Vines’ exclusive
database of all 8,638 wineries, which depict the total sales volume and value of
wines shipped directly from wineries to
consumers in the United States. ■
– Business Wire
3/15/16 9:07 AM
APRIL 2016
9
Celebrity Vintners
Frances Ford Coppola
Joel Cox
Mario Andretti
Fame: Film director, producer and screenwriter
Fame: American film editor
Fame: Legendary race car driver
Records: Coppola is perhaps most widely known for directing the three-Academy Award-winning film, “The
Godfather.” But Coppola is also known for “Apocalypse
Now,” “Patton,” “The Outsiders,” “Rumble Fish, “The
Cotton Club” and “Bram Stoker’s Dracula.”
Vineyard: Francis Ford Coppola Winery in Geyserville in
Sonoma County, California
Love of Wine: Winemaking has been a Coppola family
tradition for several generations. His grandfather, Agostino
Coppola, used to make wine in the basement of his New
York apartment building.
Records: Perhaps best known for collaborating with Clint
Eastwood in over 30 films, Cox first served as an assistant editor for Sam Peckinpah’s film, “The Wild Bunch.” He won the
2015 Academy Award for Film Editing for “American Sniper,”
and in 2008 was presented with the Ignacy Paderewski Lifetime Achievement Award.
Vineyard: Mystic Hills in Paso Robles, California
Love of Wine: In the late 80s and early 90s Cox would take
trips to Paso Robles and fell in love with the rolling hills lined
with beautiful trees, grazing cattle, and the vineyards. In 2004,
his and his family’s dream of owning property in Paso Robles
came true when they bought 14 acres just 20 minutes from the
heart of downtown Paso Robles, planting grape vines on nine
of those acres.
California Wine Exports Set Record
in 2015: Worldwide Demand
Grows Despite Strong Dollar
U
.S. wine exports, 90 percent from
California, reached $1.61 billion
in winery revenues in 2015, an alltime record and a 7.6 percent increase from
2014. Volume was up 4.1 percent from the
previous year to 461 million liters or 51.2
million cases.
"California wines appeal to consumers across the globe who recognize the
unique quality and excellent value of our
wines. Consumers are also attracted to
California's trend-setting lifestyle, innovative cuisine, beautiful wine country destinations and emphasis on environmental
responsibility—all of which are reflected in
our wines," said Robert P. (Bobby) Koch,
Wine Institute President and CEO.
Of the top five export markets for
California wines, the European Union's
28-member countries were the largest, accounting for $622 million, followed by
Canada, $461 million; Hong Kong, $97
million; Japan, $96 million; China, $56
million.
"More than 170 California wineries participate in the Wine Institute's California
Wine Export Program and export to 138
countries supported by 15 representative
offices around the world which develop
markets in 25 countries," said Wine Institute Vice President of International Marketing, Linsey Gallagher. “California wine
exports have increased 91 percent by value
in the last decade and we're seeing a ‘premiumization’ trend with dollar sales outpacing volume growth. This growth is occurring despite heavily-subsidized foreign
competitors, high tariffs and strong dollar."
"Removing obstacles to trade and ensuring that California wines have fair and
equal access to international sales channels
remain our top focus," said Tom LaFaille,
Wine Institute Vice President and International Trade Counsel. "Unfortunately,
more and more countries and provinces are
‘modernizing’ their laws to benefit only local wine producers.
The Wine Institute's Export Program
offers many tools to support California
Wines category building efforts around
the world, including a consumer website
(discovercaliforniawines.com) in eight languages and, social media campaigns in 16
countries, and a strong partnership with
Visit California to increase tourism to California wine regions.
The program organizes California's participation in international trade shows and
trade missions. Last year's active schedule
of California wine country visits brought in
150 international media and wine buyers
from 15 countries.
For more information, see: Wine Institute's California Wine Export Program ■
Released by PRNewswire-USNewswire
Records: Andretti is one of only two drivers to win races in the European Formula One, U.S.-based IndyCar,
World Sportscar Championship and NASCAR. To date,
he remains the only driver ever to win the U.S.-based
Indianapolis 500 (1969), Daytona 500 (1967) and the
European series Formula One World Championship. He
retired from active driving at the end of 1994.
Vineyard/Wine: Andretti Winery in Napa, California
Love of Wine: Mario’s racing career led to his love of wine
as he traveled the world to race in Asia, Africa, Europe,
North America and South America. ■
10
APRIL 2016
Californians want rum-crazy Cuba to start
drinking wine at two-day symposium
T
he 3.5 million tourists who flooded
Cuba last year downed oceans of
mojitos, lakes of daiquiris and rivers
of thin, sour beer. Only an odd few accompanied their ropa vieja and croquetas with
wine - mostly overpriced, low- to mid-grade
vintages from Chile, Argentina and Spain.
That may be about to change, at least
around the margins of Cuba’s once-dismal
dining scene. Some of the United States’
largest vintners want to turn this island of
sweet rum and flat state-brewed beer into
a haven for robust California zinfandel,
oaky chardonnay and powerful cabernet
sauvignon.
Thousands of private restaurants have
cropped up around Cuba in recent years
under economic reforms designed to soften
the shock of cutbacks in the troubled statecontrolled economy. Particularly on the
high end, those restaurants’ clients are increasingly American, part of a 76 percent
surge in U.S. tourism “to 161,174 last year
“ that followed Presidents Raul Castro and
Barack Obama’s declaration of detente at
the end of 2014.
Hoping to ride both trends, about 100
California wine producers, distributors and
exporters descended on Havana this week
for a two-day symposium to introduce
Cuban restaurant owners and managers to
their products.
The California Wine Symposium was
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organized by the California Wine Institute,
associations of Napa Valley and Sonoma
Valley wine producers, and Sonoma-based
U.S. Cava Exports, a two-year-old company founded to export California agricultural products to Cuba. The event featured
tastings, talks on California’s vineyards,
and one-on-one meetings between U.S.
business people and Cuban restaurateurs
and state officials.
“This is a spectacular meeting,” said
Orlando Rodriguez, owner of Waoo!!, a
three-year-old, 20-employee restaurant in
Havana’s trendy Vedado neighborhood.
“It arouses interest, which prompts business, which creates profits.”
Some 50 private restaurants, or paladares, and hundreds of sommeliers and
buyers for state-run restaurants attended
the conference, whose participants included representatives of the E&J Gallo and
Francis Ford Coppola wineries.
It’s been legal for Cuba to buy wine
and other agricultural products from the
U.S. for years, but Cuban officials say they
stopped importing California wine in 2005
because the U.S. trade embargo prohibits
American producers from selling agricultural goods to Cuba on credit. Obama allowed sales of most goods to Cuba on credit through executive action last week, but
lifting the ban on credit for farm products
would require an act of Congress.
Cuba has never been a big wine-drinking
country, but it imports some 360,000 cases
of wine a year from countries that allow
sales on credit.
Darius Anderson, head of U.S. Cava Exports, said he hopes to be shipping California wine to Cuba by the end of the year.
“We’re working on the shipping, we’re
working on the financing, and we hope to
have them all solved by mid-year, have two
or three containers on the water and get
them here by the holidays,” he said.
Only a small number of Cuban government agencies are allowed to import goods,
creating a chokepoint of inefficiency and
bureaucracy that makes it virtually impossible for private businesses to bring in large
quantities of goods from other countries.
Paladar owners depend on black-market
goods, items bought at retail stores or supplies brought in the suitcases of people paid
to “mule” products from the U.S. and other countries. The lack of a legal wholesale
market is widely seen as one of the main
hindrances to the efficient development of
private enterprise in Cuba.
“It doesn’t matter to me if a private person or the state does the importing. What
matters is that there’s somewhere to buy
this wine,” said Julio Valdes, a representative of the Five Corners Trattoria in Old
Havana. “It’s important for us to have a
variety for our clients. Right now we have
Chilean, Italian and Spanish wine that we
buy in stores bit by bit.”
Francisco Chacon, sommelier of the
state-run Hotel Conde de Villanueva, said
he is focused on the ratio of price to quality
and the U.S. being just 90 miles from Cuba
offers a major advantage.
“It makes much more economic sense
for us to bring a wine from the United
States than from Spain,” he said. ■
– Business Wire
APRIL 2016
11
Charles Krug Winery’s Peter Mondavi, Sr.
Passes Away at 101
P
eter Mondavi, Sr., a Napa Valley innovator who steered his family’s Charles
Krug Winery through more than a halfcentury of revolutionary change in the industry, died on February 20th at his home in St.
Helena, California, on the Charles Krug estate
surrounded by his family. He was 101.
Mondavi began his career in wine when
Napa Valley was chiefly known for inexpensive jug wine, or “vin ordinaire,” as he would
refer to it. In 1943, his parents purchased
Charles Krug Winery, which even then enjoyed a long pedigree. Prussian emigrant
Charles Krug founded his eponymous winery
in 1861, making it the oldest operating winery
in the Napa Valley today. Mondavi worked
the property with his family and eventually assumed the role of president and CEO upon
his mother’s death in 1976.
Known for introducing a number of significant advancements to California winemaking, Mondavi earned legendary status among
Napa Valley vintners. As a student, he studied
the effects of cold fermentation on white and
rosé wines, which were then being fermented
at higher temperatures and losing their distinct characteristics through oxidation. His
revolutionary research and practical methods
resulted in the production of exceptionally
crisp, fruity white wines.
A winemaker above all else, Mondavi was
quoted in the Wine Spectator speaking to his
joy, which was “to linger in the laboratory,
testing and experimenting.” A recent review
in sommelier Kelli White’s tome, Napa Valley Then & Now, refers to his 1959 Vintage
Selection Cabernet Sauvignon as: “Simply
stunning, this impossibly youthful wine is incredibly vibrant and powerful.”
To advance his wine knowledge and
winemaking prowess, Mondavi toured the
wine regions of Europe with fellow vintners.
Under Mondavi’s tutelage in 1963, Charles
Krug was the first winery in Napa Valley to
import French oak barrels for ageing, a common practice among today’s winemakers. In
addition, he was among the pioneering vintners who planted pinot noir and chardonnay
where dairy cows had previously dominated
in the Carneros region of the valley.
Mondavi was proud of his insight and
drive to amass prime land parcels for vineyard production. He acquired more than
800 acres of premium Napa Valley land in
the late 60s and early 70s at a mere fraction
of current land values. This land-buying
spree established the foundation for the winery’s estate-driven wines.
Fiercely determined to keep the winery
family owned in the midst of corporate buyouts happening up and down Napa Valley,
Mondavi led an effort to preserve the family’s
estate vineyards. During a nine-year period
ended in 2010, Mondavi invested $22 million in replanting 400 prime acres of vineyards
U.S. Labor Department obtains
$1.1M Judgment against Gruber
Systems and its CEO
T
he U.S. Department of Labor won
a million-dollar judgment against
Santa Clarita-based Gruber Systems
Inc., Gruber Systems Inc. Employee Stock
Ownership Plan, and CEO John Hoskinson,
accused of misusing employee retirement account funds,.
Hoskinson also briefly served as the director of the Small Business Development Center in Santa Clarita.
A suit, filed as a result of an investigation
by the U.S. Department of Labor’s Employee Benefits Security Administration, alleged
that the defendant’s actions resulted in losses
to the Gruber employee retirement plan.
It claimed money should have been set
aside to fund the retirement accounts of
Gruber retirees, but was instead steered into
stock purchases to prop up the financially
distressed company.
Actions by the defendants allowed for the
purchase of company stock at prices significantly more than fair market value, the Department of Labor charged.
“Employee Stock Ownership Plans are
intended to promote employee ownership
and fund employees’ retirements, not to bail
out a plan sponsor experiencing financial
distress,” Crisanta Johnson, regional director
for the Employee Benefit Security Administration in Los Angeles, said in a statement.
The suit sought a reversal of the prohibited
stock transactions, the restoration of any related plan losses, and a court order requiring
the defendants to account for and restore
losses to plan participants.
District Judge Stephen V. Wilson ordered
Gruber and Hoskinson to pay the company’s
employee retirement fund $1.1 million within 30 calendar days of the Jan. 28 judgment.
They were fined $220,000 in civil money penalties.
Trustees were newly appointed to distribute the plan’s assets to the participants
and beneficiaries.
The judge also permanently barred
Hoskinson from serving in the role of a fiduciary to any employee benefit plan protected by the Employee Retirement Income
Security Act.
An attorney for the defendants did not respond to a request for comment.
Hoskinson was appointed as director of
the Small Business Development Center on
March 2 of last year. The charges were announced May 29.
In September 2015, Catherine Grooms
replaced Hoskinson as director of the small
business assistance center.
“We will vigorously pursue plan fiduciaries who engage in transactions with employer securities that are prohibited by ERISA,”
Johnson said. ■
This story originally published in The Signal
newspaper on March 4, 2016.
with primarily red Bordeaux varietals, instituting sustainable farming practices and implementing state-of-the-art winemaking equipment in the process.
Mondavi invested a lifetime in building,
growing and protecting his family’s business. Asked late in life to note his proudest
accomplishment, he replied, “Never losing
control of our family winery. If I could, I
would tell my father: I did the best I could
during the difficult years. I was determined
and we held on.”
He officially retired in 2015 but he was
a fixture at the winery years after he turned
over the day-to-day operations to his sons,
regularly climbing two flights of stairs to his
office to settle in to work. When asked by a
group of visiting Nike executives, he credited
his stamina to “living a good life and drinking
great wine.”
Mondavi was born in Virginia, Minnesota, on Nov. 8, 1914, to Cesare and Rosa
Grassi Mondavi, natives of Sassoferrato in the
Marche region of Italy. He was the youngest
of four children, and his parents originated
from very modest means and had no winemaking lineage.
Prodded by the local Italian community at
the onset of Prohibition, Mondavi’s father,
Cesare, became a wine-grape buyer, traveling
to California to purchase fruit for his homewinemaking neighbors in Minnesota. The
burgeoning success of his wine-grape shipping
■ Peter Mondavi, Sr. Courtesy photo.
business brought the family to Lodi, California, in 1922. Peter Mondavi got his start as a
boy nailing boxes for his father’s wine-grape
shipping business. He later went on to earn a
degree in economics from Stanford University
in 1938, but was drawn to winemaking, performing research in oenology at the University
of California, Berkeley.
Mondavi left an indelible impression on the
California wine industry, but also passed on
the legacy to the next generations of winemakers within his family. ■
– Business Wire
Craig Peters
Member
Board of Directors
CRAIG PETERS is the top industrial real
estate professional in the Santa Clarita and
San Fernando Valley and has consistently
performed at the highest level on both a
regional and national basis. Craig has been
recognized on multiple occasions as the
San Fernando Valley Broker of the Year
and the prestigious Colbert Coldwell Circle
(top brokers nationally), as well as been honored by SCVEDC
each year as a Top Broker in the Santa Clarita Valley.
Craig leads one of the top performing industrial teams in the
nation and received the title of Executive Vice President of
CBRE in 2004. His team of 11 professionals and support
members prides itself on hard work, excellence and
exceeding client expectations.
www.stillgolden.org
12
APRIL 2016
SCV Voices
Looking to Purchase, Refinance or
Renovate Commercial Real Estate?
By Robert Scott
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the Small Business Administration’s 7(a) the purpose of the loan program, owner/ many borrowers.
n today’s competitive financing marDue to the inherent nature of SBA fiLoan Program.
user is defined as a minimum of 51% of
ket there are a number of options
nancing, in some instances qualifying for
While not widely known or understood total occupancy.
available to business owners seeking
outside the lending
industry,
SBA
7(a) ONLY
With a maximum loan amount of an SBA loan may actually be easier than
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It is important to understand that the
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CALL US TODAY: 877.394.2306
help guide you through the process and
FULL-SERVICE BUSINESS BANKING
identify what type of program may best
fit the needs of your company.
ACCOUNTS RECEIVABLE LENDING
SBA 7(a) loans and other types of speVisit
y Bank’s
lle
Va
cialized
lending make it possible for qualon
MERCHANT
BANKCARD
SERVICES
si
is
M
L
IA
C
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ified
businesses
to get the financing they
E
COMM ING
COMMERCIAL LENDING
LEND
need, often times with much more flexCENTER.com/
ible terms than more conventional loan
leyBank
EQUIPMENT FINANCING
MissionVal ending-Center
l-L
options. Two resources to help you learn
Commercia
about SBA and other forms of specialized
SBA FINANCING
lending are available at www.sba.gov or
www.MissionValleyBank.com. ■
Robert Scott is executive vice president
M I S S I O N VA L L E Y B A N K . C O M
and chief credit officer of Mission Valley
Bank which is a full-service, independent,
Branches located in:
SAN FERNANDO VALLEY
SANTA CLARITA VALLEY
commercial bank with Preferred SBA
CORPORATE HEADQUARTERS
CENTRE POINTE BUSINESS BANKING CENTER
Lender status serving the San Fernando and
9116 Sunland Blvd., Sun Valley
26415 Carl Boyer Drive, Santa Clarita
818.394.2324
661.775.4113
Santa Clarita Valleys. Bob can be reached
at (818) 394-2300.
I
SBA FINANCING
Bank with a
trusted source.
APRIL 2016
13
Cowboy at Heart, Actor Serves Up Western
Film Props, Horses and Movie Ranch
By Jana Adkins
SCVBJ Editor
A
ctor and Caravan West Productions
owner, Peter Sherayko, parlayed his
movie career, love of acting and many
western film roles into a one-stop film ranch
in Agua Dulce for “everything western.”
Perhaps best known for his role in the movie “Tombstone,” credited with a who’s who
list of actors, this old cowboy walks, drives and
rides by horse the some 2,400 acres of his Agua
Dulce ranch - or caravans around the country
buying antiques and western memorabilia with his sidekick Karma, a rescued Australian
Shepherd, to survey the property and ensure
everything remains pristine and authentically
western to the film and television industry.
Preserving a virtual museum collection
of western guns and rifles, more than 185
old western saddles, 400 cowboy hats,
historic costumes, props in an old general
store and a library of 5,000 on the Old
West and American history – not to mention the farm animals and 17 horses that
he cares for – make Caravan West Productions the one-stop shop for everything from
movies to commercials to documentaries.
“We’re the only company that supplies everything for a western,” Sherayko said. “I call
myself the Wal-Mart of westerns. I can put
out a loss leader and charge less than others
because I have everything onsite.”
If you need buckaroos who know how
to ride his horses or shoot the antique rifles,
Sherayko can wrangle those extras up, as well.
It’s cost-effective, he said, because filmingtime costs money and on his ranch production crews don’t need to track down any kind
of props from around the country because
he’s got them all stored on the ranch. As one
director for the History Channel said when
filming at the ranch, “If Peter doesn’t have
it, we don’t need it.” Right now, Sherayko’s
waiting to hear back on a TV series as to
whether it will be filming on the ranch. But,
it stays busy enough handling one or two film
projects a month.
One-stop shop
Last year Caravan West Productions hosted
47 movies, TV shows, and commercials on
the ranch. The history network filmed four
seasons of “Top Shot,” where sharpshooters
compete for a prize, at the ranch. “Any Bullet
■ Peter Sherayko stands with some of the hundreds of period-correct props on site at Caravan West Productions in Agua Dulce. Photo by Dan
Watson
Will Do” filmed there – the Agua Dulce
ranch stood substitute for Montana. And
the newly released movie, “Traded,” starring
Michael Pare, Trace Adkins, Kris Kristofferson and Tom Sizemore, filmed there, as well.
Moreover, while other prop companies have
hourly workers, Sherayko serves 24/7.
“We were doing a commercial one night
and the director asked me if I could get chickens for him at 5 a.m. the next morning,” he
said. “I said no problem, because I live on the
property. We just rounded them up and gave
him chickens the next morning.”
When film productions need extras for a
film, or people with the experience to ride the
horses – some trained to rear on their hind
legs, allow gunslingers to shoot off them and
to not bolt with the loud noises, Sherayko
meets those needs as well.
“I hired 100 people for ‘Deadwood,’” he
said. “They all know how to handle the old
weapons. It’s a better deal than Central Casting – I have the people, the costumes, the
weapons and the horses.”
Of course, with acting in his blood, Sherayko takes a turn playing roles in film projects, as well. A short film on Civil War history
■ Property master Arman Gosparini, left, and Peter Sherayko with his dog Karma, walk past
the original old house built in the 1890s which stands on the 2,400 acre ranch at Caravan West
Productions in Agua Dulce. Photo by Dan Watson
,being filmed at the property was short one
key part – that of General Grant. They asked
him to play the role, which he did. For another film project involving a young couple
wanting to buy and restore an old house – one
that is haunted – Sherayko was so colorful
showing the house to the production crew,
they asked him to play the actual Realtor in
the film. He did.
Furthermore, Sherayko has set his business
up in a way that distributes profits to many.
The ranch property he manages is owned outof-state. The owner gets film payments for use
of the ranch, Sherayko gets money acting in
films both on and off the ranch, the extras he
hires make money, and the money Caravan
West Productions earns all go back into the
business to buy more authentic props. But, it
was a personal disaster that led him to set up
shop in Agua Dulce.
Mudslide
Sherayko and his wife, Susan, an executive in charge of production for Hallmark
Channel’s "Home & Family," bought a horse
property in the 1980s and lived there for 20
years while Sherayko continued collecting
western memorabilia. He was outgrowing the
property and kept saying “I have to move.”
Ultimately, a mudslide destroyed the house,
forcing that decision.
“I always said, God came in and said ‘I’ll
help you move,’” he said.
He and Susan drove out to the Santa Clarita Valley weekly until they found a house on
a secluded dirt road. Six months later, they
stumbled upon an adjacent ranch property –
perfectly located within Hollywood’s beneficial 30-Mile Zone nearly a decade ago.
Originally intended to be a movie ranch
by someone affiliated with Metro-GoldwynMayer Studios, the ranch was eventually
willed to someone who lives in Tennessee.
Like a skilled cowboy, Sherayko tracked the
owner down and made him a deal. He would
live on the property and run it as a western
prop house and movie ranch. In exchange, the
owner would get one-half of all the proceeds.
“We partnered up,” he said, no pun intended. “I run everything and he gets half of
all the proceeds,” he said. “His wife calls me
the ‘money tree.’”
Now Sherayko manages 2,400 acres – a
bonus because everyone involved originally
thought the property was only 1,700 acres.
He refers to himself as the property’s overseer.
Between projects, he packs up his other
companion, Karma, pops a cigar in his month,
and drives cross-country collecting antiques.
When the van is filled with memorabilia, he
returns home saying he feels “like an Okie
during the dust bowl driving back across the
country’s back roads.”
We live on a dirt road,
which I love. It’s an analogy
of life,” Sherayko said. “If
you drive too fast, it’ll be
bumpy and you’ll damage
your car. If you take it slow
easy you’ll get through it and
have a good time.”
– Peter Sherayko, owner,
Caravan West product
In his spare time, Sherayko played a oneman show, “Buffalo Bill” at Santa Clarita’s
Cowboy Festival last year. He also tends to
the chickens, goats, miniature burros and pigs,
and his horses that he views as family. “They
stay with me until they die.” He also manages
to write collector books such as “Tombstone:
The Guns and Gear.”
But, mostly he enjoys the film-friendly
community in the Santa Clarita Valley. He
helped train an intern to become a prop master for the Sable Ranch movie ranch located
in the city’s movie ranch overlay zone which
grants credits to film productions, he said.
And, he loves the rural nature of Agua Dulce.
“We live on a dirt road, which I love. It’s
an analogy of life,” Sherayko said. “If you
drive too fast, it’ll be bumpy and you’ll damage your car. If you take it slow easy you’ll get
through it and have a good time.” ■
528
1
14
in value
APRIL 2016
$3.1
Million
Loan
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RECEIVE
RECEIVE
RING AAA TRAVEL’S EXCLUSIVE
Finance Apartment
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528 inin value
528
value
ALOHA
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1 1
By Jana Adkins
CVBJ Editor
DURING
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ALOHA
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LTON WAIKOLOA VILLAGE
WAIÌ, THE BIG ISLAND
IGHT GETAWAY FROM
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Hilton Waikoloa Village®, Hawaiì , the Big Island
L
ending company iBorrow made $3.1
million available to an undisclosed
party for the purchase and renovation
of two residential properties in Newhall, said
the lending company’s executive.
Built in 1995, the property sits on about
a one-third acre and has four buildings on it,
with four units each, said Brian Good, CEO
of iBorrow.
“We provide debt for opportunities for
buyers who want a quick close,” Good said.
“The kind of deals where a buyer has two to
three weeks to close and can’t go to a bank, or
it takes too long to close with an institutional
lender, or their credit has been impaired over
the last 10 years.”
The loan on the apartment complex includes a 26,747 square foot lot with 16 oneand two-bedroom units. It also includes four
two-car parking garages and an additional 24
surface parking lots. The new owner is gutting
each unit, and rehabbing it, he said.
“We financed the loan so the borrower
could buy the property with private money,”
Good said. “It’s an L.A. broker who invests
in real estate as an operator/developer. We’ve
worked with the investor many times before.”
The borrower has purchased more than 20
commercial real estate properties throughout
the southwestern United States, a spokesperson for the company said.
While “private money,” or hard money,
loans aren’t cheap – interest rates run higher
than conventional loans , in the old adage of
“time is money” these loans can save a deal
maker money when time is of the essence.
The short-term bridge loans are usually secured by first trust deeds on a property. And
these types of loans have accounted for an
1005 OFF
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increasing number of deals as banks pulled
back the reigns on lending during the recession. The loans help borrowers move quickly
when conventional lenders might move too
slowly to cement a deal.
The property purchase was a savvy one
for a couple of reasons. For one, lease rates
for the property are currently below market
value. And revitalization of the downtown
Newhall area made the investment that
much more attractive.
“Everything’s getting upgraded,” Good
said. “A lot of people are hoping to upgrade
the whole area. That’s what you like to see
when you make an investment or loan.”
As for iBorrow, the direct lender formerly
operated under the name Eagle Group Finance for 15 years until the owner changed
the name recently.
“I changed the name one month ago,”
Good said. “I just wanted to upgrade the name
and make it more modern. And there were
too many different types of lenders around the
country using the word ‘Eagle’ in their name
that had done some bad things. We just didn’t
want to be associated with them.”
The company believes the new name better communicates its activities and updates its
approach to loan originations that make for
more efficient and quicker deal closings, it said
in a February press release. iBorrow handles a
multitude of loans ranging from $1 to $20
million, with a fixed yield that currently ranges between 8-12 percent.
“When we started the business, our average loan size was $1 million,” Good said in
the release. “Today, average balances on our
loans are trending towards $6 million and we
expect both the size and quantity of our loans
to increase as investors interested in yield and
borrowers interested in capital contribute to a
more robust opportunity.” ■
APRIL 2016
15
Palmdale’s Commercial Building
Activity Heating Up Post-Recession
By Jana Adkins
SCVBJ Editor
R
etail, energy, educational and aerospace companies are helping to generate a lot more building in Palmdale
with the activity visible on streets all around
the city. And for those buildings constructed
just before the recession that forced spec
buildings to stand partially or fully vacant,
those are all filling up now, said city officials.
“A lot of the building completed in 2007
or 2008 on 10th Street north of Rancho
Vista Blvd. was all filled up now,” said John
Mlynar, communications manager for the
city of Palmdale. “There’s a lot going on
right now between hotels, manufacturers
and medical facility construction,” he said,
“and, more projects that aren’t yet official are
in the works.
“The biggest thing to hit Palmdale is that
Northrop Grumman was awarded the Long
Range Strike Bomber from the Department
of Defense,” said Kari Blackburn, economic
development manager for the city. “We’ve
partnered with Antelope Valley College and
WorkSource Center to increase the aerospace training programs we have now for
entry level aerospace jobs.”
Those jobs will bring a demand for everything from housing to retail to local services.
Just last July, the Palmdale Regional Medical Center announced it was expanding and
groundbreaking for that project is expected
to occur in April or May. Three spec buildings were already completed and another
three are awaiting construction. Space in the
60,000 foot buildings was built expressly for
medical and other healthcare services, according to the medical center.
“There were several spec buildings just
completed on 5th Street,” Mlynar said.
“They were built because of a wave in the
medical microeconomy up here. The approach is regional; it’s not just for Palmdale.
They’re expecting to reach Santa Clarita and
Lancaster. The buildings were completed
and sold and are occupied by four different
medical facilities.”
A demolition and reconstruction project
is planned for 10th West and Technology
Drive, as well. And the Oasis Medical Campus facility is expected to break ground soon.
It will house everything from new offices for
doctors to wellness, physical therapy and rehab operations. It’s a 420,000 square foot
development that will “bring some name
brands to Palmdale,” Mlynar said.
Unitis Contractor Supply, a wholesale distributor of construction and industrial supplies and building materials, just opened in
January to serve construction, government,
manufacturing, and industrial accounts.
There are two Unitis locations in San Diego
County, but the Palmdale location will serve
Los Angeles County.
The Palmdale Aerospace Academy on
Palmdale Blvd. and 35th Street East is breaking ground in April, and the Antelope Valley
College is planning rehab work and expansion. The city also has a hybrid power plant
planned for construction that it sold to the
Summit Power Group. They’re reconfiguring it to be a breaker plant-backfill when
renewables are no longer producing. It’s
■ A new shopping center on West Rancho Vista Blvd. in Palmdale, future home to Aldi’s grocery store, built by the Tone Development Corp.
Firm of Lancaster. Courtesy photo
a power plant that can fire up quickly and
get energy back out to the grid, Mlynar said.
And there’s a 600 acre parcel they hope to
break ground by year-end that is getting a lot
interest from companies seriously looking at
the property.
On the retail front, the Transplants
Brewing Company is one of two breweries
that also opened in Palmdale, focusing on
“hoppy” west coast ales and creative specialties. Work is just about completed on a
free-standing Rancho Vista project that will
house retailers, eateries and a Dunn-Edwards
Paints store. The Antelope Valley mall, located in Palmdale, is pretty much backfilled
now at the once empty spaces at the mall,
Mlynar said. Four to five new retailers are yet
expected, but it’s too soon to announce, he
said. One is a possible destination restaurant.
There is also a new retail center built by
Santa Clarita contractor, Intertex. On Palmdale Blvd., the center is housing auto parts
retailers like O’Reilly’s. And two hotels, an
Embassy Suites and Element Hotel by Westin, have completed their grading, with a
Home2 Suites by Hilton coming to the market, as well. Enterprise Rental Car is rehabbing the old Baker’s Square.
A tractor supply company is going in at
40th East and Palmdale Blvd. A CarMax
dealer is also breaking ground this year,
Blackburn said.
Plus, some pretty big manufacturers land
in Palmdale, she said, because the city has
available land and there is very little land
left farther south. The Northrop Grumman contract is going to hasten those deals,
she predicts.
“As for a lot of our workforce, we can say
to residents, ‘Hey, here’s your life back,’”
Mlynar said, referring to the number of people who live in Palmdale but commute to the
Santa Clarita and San Fernando valleys. ■
Dale Donohoe
Member
Board of Directors
DALE DONOHOE has been married to his
lovely wife Tamara for the last 27 years.
Together they have four children: Beau, Morgan,
Jordan and Chad. Dale was raised in Santa
Clarita and went through the local school
system. He takes pride in making meaningful
contributions that benefit the city and its
residents. He founded Intertex General
Contractors, Inc. in 1984 and has become one
of the largest general contractors and commercial developers in the
area, with projects valuing over $1,000,000,000 to date, bringing jobs
and benefits to the local community.
Mr. Donohoe’s leadership skills also benefit his community. He has
served as a former Board Member of the following organizations:
The SCV Boys and Girls Club; the SCV Child & Family Center and
the American Heart Association. He currently serves as a Board
Member for Henry Mayo Newhall Hospital and the SCVEDC.
Through personal and corporate donations he continues to support
many Santa Clarita non-profit organizations.
www.stillgolden.org
APRIL 2016
Economists: No hints of a recession
I
n the absence of a crystal ball, economists at the Santa Clarita Economic
Outlook Conference Thursday said key
economic measurements do not point to a
recession occurring anytime soon.
But if anything is hindering growth locally, it has been the absence of new construction – residential and commercial – in
the Santa Clarita Valley, according to Mark
Schniepp, director of the California Economic Forecast.
“Don’t pack up the recession bags yet,”
Schniepp said. “We just don’t see it.”
As for the risk of the United States slipping into another recessionary period,
Mark Vitner, senior economist for Wells
Fargo, pegged the risk at somewhere between 23 and 25 percent – a number he
deemed to be very low risk. The lowest the
risk of recession ever gets is 15 percent,
he said.
Also, due to over-production, oil prices
have most likely not yet bottomed out, with
Vitner predicting that the price of oil will
fall to less than $20 a barrel by mid-year.
“Continue to look for economic growth
of 2 percent this year,” he said.
Despite the fact that many people still
reserve a somewhat pessimistic perspective
of the recovery, the economists pointed
to ongoing job growth, wage increases
that began in the fourth quarter of 2012,
steadily increasing home prices and interest rates still near record lows, the smallest household debt in a generation, stock
market highs last year, and flush corporate
bank accounts as signs that the economy is
still healthy.
As for California’s and Santa Clarita’s
unemployment rate, Schniepp said the jobless rate alone is not the full measure of a
healthy labor force.
“The true gauge is when employers are
having trouble finding the right people to
fill jobs, which is the situation employers
are in today,” he said. “We’re back at the
point where if you can fog a mirror, you
can get a job,” Schniepp said.
In a conference packed wall to wall with
attendees, an interactive query tool allowed people to text replies to questions
which punctuated the three-hour event –
assembling and displaying instantaneous
responses on screens at the front of the
conference.
Responses like “fabulous” and “great”
were the leading one-word answers conference participants gave when asked to
describe their outlook for business in the
coming year.
“To the economists in the room, I hope
you took note,” said Holly Schroeder, president and CEO of the Santa Clarita Valley
Economic Development Corp. as she invited Schniepp to address the local economy.
Santa Clarita
The Santa Clarita Valley is following
much the same recovery path as California
economically. But job creation is affected
by the lack of existing office space, industrial building, and new and affordable housing, Schniepp said.
In addition to the lasting effect the recession had, the price of land and building
costs, coupled with myriad growth measures such as the California Environmental
Quality Act, pockets of community resistance, and government regulations have led
to relatively little new construction in the
■ Holly Schroeder introduces the Economic Development Council’s plan for expanding business here in Santa Clarita at the Economic
Outlook Conference at the Hyatt in Valencia. Photo by Katharine Lotze
SCV during the past eight years.
Restrictive building situations have had
“unintended consequences,” and Schniepp
cited the delays in getting the masterplanned Newhall Ranch community off
the ground as one example with housing.
The shortage of housing drives prices up,
undermining affordable housing options;
restricts the ability of families to live in the
same community; makes it more difficult
for firms to attract skilled employees locally; and forces residents to commute for
work, adding more traffic on the freeways.
“Housing controls constrain economic
growth,” he said.
Schniepp also pointed to data showing
traffic on Valencia Blvd. to have reached
an all-time high by 2014; housing prices to
have shot up 34 percent over the past three
years; and apartment rents to be at an alltime high, having increased 16 percent over
the past three years.
And the virtual lack of new office, retail
and industrial building over the last eight
years has created one of the tightest markets
in the entire state with industrial vacancy
rates at 1.5 percent.
“As a result, tens of thousands of people
are on the I-5 commuting to work each
day,” Schniepp said. “The jobs should be
(located) here, and they would be if we
were building.”
That scenario could become even more dire.
With several years of population growth
running at 4 to 5 percent per year, he said,
the population in the Santa Clarita Valley
should reach 315,000 in the next five years,
he said. ■
This story first published in The Signal
newspaper on March 11, 2016. Written by
Jana Adkins, Business Editor.
Ken Wiseman
Member
Board of Directors
KEN WISEMAN is CEO and co-owner of
AMS Fulfillment and oversees multiple
Distribution Centers in the Valencia Commerce
Center which currently employs over 350
people. Of these, approximately 18 are
developmentally disabled adults. Ken has a
long history of supporting those with special
needs; in the 1980s, Ken worked on the
Connecticut Governor’s Committee on the hiring of individuals
with disabilities. He started his career with a teaching degree,
and a graduate degree towards teaching Special Education, and
in 1991 earned an MBA from the University of Hartford.
Ken is President of the SCV Sheriff’s Foundation, and an
active volunteer on the SCV Search & Rescue Team. He was
named a “Los Angeles County Volunteer of the Year” in 2008.
He also sits on the Board of the SCV Economic Development
Corporation, and is actively involved with several local, not-forprofit community organizations. Ken, along with his wife BettyLou, has proudly resided in Santa Clarita for the past 17 years.
www.stillgolden.org
17
◗ Generates wine-related tourism
expenditures of $2 billion in
18
California.
◗ Gives $115 million in annual
Tons Harvested of Winegrapes
3.2 million
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$1.82 billion
APRIL 2016
Source: 1 Wine Institute and MKF Research LLC.
charitable contributions from
SPECIAL REPORT: WINE
INDUSTRY
California
wineries.
California’s Wine Industry
Benefits the State and Nation
◗ Produces $51.8 billion in
economic value for California.
◗ Generates $125.3 billion for the
U.S. economy.
◗ Creates 309,000 jobs in California
and a total 875,000 jobs
nationwide.
◗ Pays $10.1 billion in wages in
California and a total $25.2 billion
nationwide.
◗ Makes $13 billion in state and
federal tax payments.
◗ Attracts 19.7 million tourists
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California’s
Wine
Industry
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California Wine and
Benefits to Communities:
◗ Enhance the quality of life.
◗ Promote farming and winemaking
practices that are socially and
environmentally responsible.
◗ Offer cultural attractions such as
music, festivals, theater, gardens
and museums.
◗ Support local retailers,
restaurants, hotels and other
businesses.
◗ Preserve open space and provide
scenic pastoral landscapes.
◗ Build pride for rural communities.
◗ Bring positive visibility to
California and the U.S. worldwide.
Up 233% from 807 wineries in 1990
Number of California Grape Growers
4,600
marketplace.
4,600
California
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192 million cases in 2007
◗ Fair taxation and science-based
regulation.
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from 156 million cases in 1990
192 million cases in 2007
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APRIL 2016
19
WINE INDUSTRY
Heiserman, sales and marketing director for
Reyes Winery. “Why let residents leave the
valley and go to Santa Barbara or other parts
of the state on wine tours when there are over
100 tasting rooms, or vineyards, or wineries in
the greater county region?”she asked. For the
economic health of the region and the wine
industry – it should be promoted to keep
tourism and sales taxes local, not send the
money to neighboring counties.
Alonso Family Vineyards
A group of wine producers first began appealing to the county 14 or 15 years ago,
Alonso said. Between costly conditional use
permits, annual inspection fees, equipment
that’s not needed or practical – on top of federal and state regulations – it’s an added layer
of regulation. And conditional use permits
can be revoked every ten years, forcing wine
growers to jump back through the same hoops
they went through to get up and running after
investing all that time and money in a small
business, he said.
While permits may generate revenue for
the county, they really amount to lost revenue
opportunities, he said. The spending that
would be generated from wine sales, tourism,
labor wages and more would far exceed that
of the permits. The wine industry could be a
very successful micro-economy in the county,
Alonso pointed out, if only it were helped to
flourish and not crushed by regulation.
Last year Alonso approached Rosalind
Wayman with Supervisor Antonovich’s office
the process of winemaking.
The high alcohol content in wine combined with the fermenting process destroys
any pathogens or bacteria in the process, he
said. There’s an industry that’s taking off out
here with a lot of good wines being made by
people who have to produce their wines in
crush facilities, and store them, in specially
approved plants outside of Los Angeles
County because the rules are so burdensome
inside the county that wine makers don’t
have access to local resources. And, “I’ve
never seen a cow make some wine,” Hemmert said, referring to wineries being classified as a food or dairy plant.
“When you think about wine making –
the small French, Spanish and U.S. wineries started small and grew,” Hemmert said.
“But it’s a rich man’s game in L.A. County
because of the regulations and cost. It’s killing the wine industry.”
But, after years of effort, the winemakers
finally got a receptive audience with someone who listened to the logic of the very
frustrated vintners. And slowly, changes are
being put in place.
Anything a person would ingest is considered food in L.A. County, said Freddie Agyin,
Environmental Health Services Manager for
the county. That’s why wineries fell under
food and milk by county code. While it still
does, applying food processing requirements
to the industry are hopefully about to change.
“We looked at the industry and did an assessment,” Agyin said. “We considered everything that went into making wine or beer and
asked what the difference was; we asked why
a brewery was exempt and not a winemaking
We promote the viticulture ourselves in this county,
but it’s been a difficult process. To promote wine in
this region of Los Angeles County requires the help of
cities like Santa Clarita and Palmdale to promote the
industry as a destination.”
– Robert Reyes, Reyes Winery, Agua Dulce
in Santa Clarita. From there, the local vintners
were able to meet with one of the higher-ups
at the health department, who finally agreed
to review the regulations and look at changing
some of the regulations.
“Wine has been drunk since the dawn
of civilization; it’s not a danger to anyone’s
health, it even has proven health benefits,”
Alonso said.
A member of a loosely formed group of
vintners, Alonso has campaigned along with
others in the Santa Clarita Valley to change
regulations that don’t make sense in their industry, and all of their efforts may be about
to pay off.
Dinner and a dream
There is a glimmer of hope, winemaker
Hemmert said. The health department
changed the head of their department; the
original head had been unfriendly to the industry. After meeting with the new head,
reviews of the industry began in 2014. Later
the local winemakers met with an official at
Le Chêne one night for dinner and explained
how arcane the regulations are; so unfitting for
facility. We decided a winery should be no
different.”
So, currently his department is in the process of exempting wineries as well, he said.
That means,they would not need to meet the
costly plan check requirements. In doing his
research, Agyin found only two counties who
placed oversight of the wineries in Southern
California under the health department – one
being Los Angeles and the second being Orange County. The department felt confident,
by the very nature of how wineries operate,
that they could exempt wineries as well as
breweries, ending a two-tiered system that has
been in place for decades.
“Anything we can do to make the public
safe and work with our partners to not only
protect the public but to be fair, is important,”
Agyin said. “That’s why we conducted extensive reviews.”
With new regulations drafted, Agyin’s department will present its recommendations
to the L.A. County Board of Supervisors for
review approval. Among them, wine crushing
facilities will be treated similar to breweries,
■ Juan Alonso examines the young buds on the vines at his five-acre vineyard in the Santa
Clarita Valley. Photo by Dan Watson.
and will no longer have to undergo plan check
approvals or annual inspections. Wine storage
facilities, however, will still need a permit just
as breweries are required to secure one. The
goal, he said, is to have the new regulations become effective July 1, the start of the county’s
fiscal year.
And in an effort to be consistent with other
statewide counties, wineries are no longer being inspected as if they were processing food
or milk, said a spokesperson for the health
department. However, if they store wine, permits would still be required. And that poses a
problem, Lemley said, as that permit currently
requires many of the same unnecessary pieces
of equipment they had to install, such as the
three-compartment sinks.
“Taking wine out of the particular category
that is imposing all sorts of extra requirements
that make no sense for wine is good,” said
Holly Schroeder, president and CEO with the
Santa Clarita Valley Economic Development
Corp. “The cottage wine industry in SCV
could get a big boost by changes in classifications and regulations that would recognize the
uniqueness of these facilities.” ■
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20
Tribute:
APRIL 2016
ALFRED E. MANN
Investor and Philanthropist
1925 – 2016
Alfred E. Mann, a beloved philanthropist and entrepreneur who was a pioneer in the
biomedical, aerospace and pharmaceuticals fields, died Feb. 25, 2016. He founded multiple companies in his lifetime, but more so his personal support and funds helped to inspire firms to save and enhance people’s lives. Santa Clarita is home to many companies
he helped to launch, as well as the Mann Biomedical Park which he purchased in 2002.
The following are tributes from Mann’s colleagues, former and current.
Al Mann was a unique pioneer whose
contributions profoundly impacted thousands of
lives and his legacy will impact many more. At
Second Sight, we are honored to have worked
alongside such a remarkable individual. The
world is a little darker without his presence, but
his spirit will live on in every blind person who
is brought back into the light by our products.”
– Dr. Robert Greenberg, Chairman of Second Sight, Sylmar
Al Mann was a great man a man of action,
not just words. Al was a kind gentleman (in
the truest sense of the word), caring,
empathetic, loyal and tenacious. He treated
everyone with the same dignity and respect no
matter the person’s station in life. Al had a
great sense of humor and loved to laugh he
had a deep, contagious laugh. His work and
the work of the companies he started and
supported have improved (and continue to
improve) the lives of thousands and thousands
of people around the globe. This was his
passion, his mission and life work. Al’s grace
and style set the culture and tone for the
numerous organizations he created, especially
AMF. And, Al’s enthusiasm for aggressive,
meaningful science was infectious. Al was
consumed with creating solutions for unmet or
poorly met medical needs it is not a
coincidence that this is AMF’s mission.”
– David Hankin, CEO, Alfred Mann
Foundation, Santa Clarita
Al was the most amazing man I ever met. He was
absolutely brilliant, but that was only the start of his many
amazing attributes. He was admittedly a very successful
entrepreneur, but the least motivated by money than anyone
I ever met. He had a sincere and profound interest in
helping people and making the world a better place. He
had a lot of success changing peoples’ lives when he
developed the first rechargeable pacemaker, allowing
patients to avoid traumatic replacement surgery every 1824 months. Well into his 60s, when most peoples’ careers
were coming to an end, Al’s was just getting started in the
medical space fields. He constantly saw unmet medical
needs all around them and resolved to find solutions.
Money was never a result to Al, but rather a means to an
end. He had no qualms about putting whatever he made
into one endeavor to work it in the next one, leaving little
for himself. He was tireless and more persistent, even when
faced with considerable obstacles, than anyone I have ever
known. I have lost a man who was by turns a mentor, a
friend, and a surrogate father, depending on the
circumstances. The world is a lesser place without him.”
– Matt Pfeffer, CEO, MannKind Corp., Santa Clarita
Alfred Mann was an amazing visionary in the
field of biomedical research. His contributions
to humanity will be felt for generations to come.
We are honored to own the biomedical park
that bears his name.”
– Dale Donohoe, owner,
Mann Biomedical Park, Santa Clarita
APRIL 2016
I came to know Al Mann six years ago when I began my tenure as General Counsel for
the Al Mann Foundation. I always knew Al to be a genuinely kind, loving and humble
man. He was a very smart engineer and an astute businessman, a combination that is
not often seen. In comments I made to the staff at AMF, I pointed out that throughout
his life he took on epic challenges – hearing loss, limb loss, loss of sight, paralysis, diabetes
– each one a mountain to be climbed in its own way. Some he succeeded at better than
others, but what I always found remarkable was his persistence; with most of us, just
one of those highly successful victories enjoyed by him would have been enough to make
us feel as if we’d won the lottery and perhaps decide to take it easy. But not Al Mann –
when one success had been logged, he went right on to the next challenge, driven by a
fire within to do more and more and more and help more and more people instead of
simply enjoying the benefits of his success. Very seldom in history has a single person had
such a profound, direct impact in a single technological area – medical devices – and
had such a beneficial impact on the quality of life for hundreds of thousands, if not
millions of people.”
Alfred Mann was a pioneer and
prolific contributor to the development
of medical technology and therapeutic
treatments. His decades of work
led to healthcare innovations that
help many people worldwide. As
a founder of Advanced Bionics,
Mr. Mann helped develop cochlear
implant technology that improves
lives by restoring the sense of hearing.
AB sends our condolences to Mr.
Mann’s family and friends.”
– John Petrovich, CEO, Medallion Therapeutics, Santa Clarita
I have worked closely with Al for
many years and just recently met
with him to review all the great
progress we are making at Bioness
to fulfill his mission to advance the
state of Physical Medicine and
Rehabilitation. Al Mann
contributed more to the
development of medical devices
than any single individual in
history and pioneered the field of
neuromodulation. He was a
world recognized expert in diabetes
management and saved thousands
of lives with his breakthroughs in
insulin delivery systems. In an
unassuming and mild mannered
way, Al dedicated his life to
inventing products that became
businesses that later evolved into
multibillion dollar industries. His
contribution to inventing and
advancing medical devices is
unparalleled.
On a personal note, I will miss
Al very much. He has left a
permanent impact on the world
and I am honored to have been
able to work closely with such a
kind man. I doubt I will ever
meet someone like Al again in my
life, but it’s my hope that many
will follow in his footsteps.”
– Todd Cushman, President,
Bioness, Santa Clarita
21
– James Robinson, Managing Director
and VP of Operations for Advanced
Bionics LLC, Santa Clarita
Al Mann’s body of work
developing medical technologies
for those with heart disease,
diabetes, deafness, and pain
separates him from other
entrepreneurs over the last 50
years. He was a person of
immense talent, rare persistence,
and true gentleness for those on
his team.”
– Jeff Greiner, Founder and CEO,
Valencia Technologies and former
Operational Leader of Advanced
Bionics, Santa Clarita
■ Alfred E. Mann poses with his wife Claude Mann, left, and daughter
Cassandra Mann at the third annual Alfred Mann Foundation Innovation
and Inspiration Gala in Beverly Hills. He was 90. His death was announced
by MannKind Corp., where Mann served as chairman of the Valencia office.
AP photo.
Al Mann was a great visionary and scientific
pioneer, and much of his innovation and
philanthropy was directed toward addressing
unmet clinical needs. His inspiration and
work in neuromodulation, among many
other disciplines, lives on today and has
helped provide hundreds of thousands of
patients worldwide with relief from chronic
pain. Boston Scientific appreciates his
dedication and contributions to humanity
in advancing science that improves lives.”
– Maulik Nanavaty, Sr. V.P. and President
and President of Neuromodulation, Boston
Scientific Corp., Santa Clarita
Having pioneered technologies
and founded companies that
provide hearing for the deaf
and vision for the blind and
that improve the lives of
people suffering from diabetes
and heart disease, Al Mann’s
contributions to humanity are
monumental. He was blessed
with a drive and brilliance,
and will continue to stand
as an inspiration to all of us
in the med-tech industry.”
– Anthony Arnold, CEO, Setpoint
Medical and formerly with
Advanced Bionics, Santa Clarita
22
APRIL 2016
State’s Film Program
Reaping Early Results
Hospital’s Foundation Appoints
New Board Members
N
H
eed to shut a freeway down to
film? The California Film Commission makes it happen, and
they do so about eight times per year as
part of their ongoing effort to protect the
film industry, said the executive director
at the Economic Outlook Conference in
Santa Clarita on Thursday.
And the efforts are paying off.
Alluding to Hollywood’s historic industry, the birthplace of motion pictures,
Executive Director Amy Lemisch refers to
it as “our heritage” in terms of the state’s
efforts to protect the industry.
It’s the fifth largest industry in Southern California, and the base of highly
skilled crews.
“In the last 10 to 15 years, competition
for the industry ramped up exponentially,” Lemisch told a packed crowd at the
event produced by the SCV Economic
Development Corp. “We’ve been impacted very heavily by runaway production.
The competition is global, and it has hurt
small businesses and production crews
(employees).”
In 2009, the state began fighting to get
its homegrown industry operating back in
California again. And last year, the state
tripled the incentive dollars of the tax
credit program, which will see $330 million worth of tax credits available in the
next fiscal year.
The result is that five TV shows are returning to California, the state’s film office
announced this week.
In terms of cash for state coffers, the
industry was responsible for generating
$5.35 billion in revenue during the past
eight years of the tax credit program. The
new tax incentive program has already
generated $1.68 billion in direct spending
and $660 million in paychecks in the first
year, Lemisch said.
It isn’t the only state vying for the industry, though.
“The majority of U.S. states now have
an incentive program,” she said. “Louisiana and Georgia offer very lucrative
incentives.”
However, it remains to be seen whether
those states are just throwing money at the
industry or actually producing increased
revenues.
“California’s incentive program applies to below-the-line spending. Incentives are applied to the nuts and bolts of
a production; what it costs to produce a
movie or a show and pay crews, excluding
INDUSTRIAL
industrial park to be built in the Santa
Clarita Valley in a decade. The first phase is
expected to be completed in the first quarter of 2017.
Sitting on the hills overlooking a portion of the valley, adjacent to the Valencia
Commerce Center off Witherspoon Parkway, the IAC Center will ultimately offer
■ The Executive Director of the California
Film Commission, Amy Lemisch, talks about
the film industry incentives in California
and the industry’s presence in Santa Clarita
during a speech at the Economic Outlook
Conference at the Hyatt in Valencia. Photo
by Katharine Lotze
high-salaried actors,” Lemisch said. “Georgia pays based on actors’ salaries, too. We
don’t believe it’s sustainable, and we’re
watching programs like that.”
The film industry in California creates
170,000 jobs and produces $30 billion
in spending, of which $15 billion is in
the form of wages to the crews, generating $1.5 billion in tax revenues – some of
which is returned to local governments
such as Santa Clarita.
“Santa Clarita has become quite a production hub for filming.” Lemisch said.
“It has a great film office and very diverse
backdrops.”
To make her point, Lemisch showed a
photo from the Disney film, “Saving Mr.
Banks,” portraying a family in the Australian Outback region. But the photo was
shot in Santa Clarita, Lemisch said. Indoor
scenes were also filmed at the Avenue Scott
Stages in the Valencia Industrial Center.
“The Santa Clarita Film Office has provided $340,000 in refunds to (film) productions since the program began back in
2009,” she said. “It has the infrastructure
to support the film industry with film studios and 10-plus movie ranches, plus Disney’s Golden Oaks Ranch with two urban
backlot streets.”
Growth has come, in part, by word-ofmouth because the “industry talks a lot,”
she said. There isn’t much more the city
needs to do to attract filming.
“I think Santa Clarita is pretty aggressive
in getting a lot of production,” Lemisch
said. “Most production executives are pretty aware of what you do out here.” ■
This story first published in The Signal
newspaper March 12. Written by Jana Adkins, Business Editor.
1.3 million square feet of warehouse space
that has been in dire need in the region.
Vacancy rates have remained at record lows
as the recession brought construction nearly to a halt, yet the lack of new building
put a stranglehold on some SCV businesses
who continued to expand – and for other
companies choosing Santa Clarita as their
new home.
“We are excited to be approaching our
vertical construction start date and are
By SCVBJ Staff
enry Mayo Newhall Hospital
Foundation appointed three
new directors to its 2016 Board
of Directors: Nick Mitchell, Holly Schroeder and Myles McNamara.
Mitchell is the corporate counsel at
Logix Federal Credit Union; Schroeder is
the CEO and president of the SCV Economic Development Corp.; and McNamara is the president and owner of Comfort Keepers.
“We are very grateful to have these ■ Holly Schroeder
three, committed individuals join our
Board of Directors,” Foundation President Marlee Lauffer said in a statement.
“They bring with them valuable experience and we’re sure that they will serve as
great ambassadors for the hospital to the
Santa Clarita Valley as we continue to
build for the health of the community.”
Mitchell, a resident of Santa Clarita for
30 years, has volunteered for a number of
non-profit and charitable organizations.
His experience with Henry Mayo inspired him to serve when his mom diagnosed and treated with stage IV cancer in
2014. The level of care by hospital staff ■ Myles Macnamara
impressed him.
“The hospital is something all of us will
need at some point in our lives. I believe
it’s important that we can access high quality healthcare here in Santa Clarita, without having to leave the valley to find the
services we need,” he said. “Henry Mayo
is providing that care, and the Foundation
fills a critical role by providing funding for
continuous improvement and expansion
of those needed services.”
Schroeder has lived in Santa Clarita
since 2005, and has more than 20 years
of management and executive experience
with private sector, government, and non■ Nick Mitchell
profit organizations. She sees her role with
the hospital as a natural fit – she comes since 1998, providing in-home care for
from a family of doctors; both of her sisresidents in the Santa Clarita and San Ferters and brother-in-law are physicians.
nando Valley for the last 15 years. While
“As a board member, my goal is to
he has also been a longtime supporter of
help the hospital grow and to be a leader
Henry Mayo, McNamara also credits
in the healthcare field,” she said. “It’s an
important institution in the Santa Clari- Henry Mayo for saving is life after a nearta Valley. It’s unique in this day and age fatal accident two years ago.
“After my accident I wanted to step it
that we still have a community-owned
up
by bringing awareness of the commuhospital and that is very special and a
nity
of the great things going on over there
great value for our Valley. We want to
put that asset to the best possible use to at the hospital with patient care,” he said.
Once I stayed there as a patient it gave me
serve our residents.”
McNamara has lived Santa Clarita a different perspective.” ■■
seeing great interest in the project,” said
Michael Perlmutter, vice president, leasing
for IAC. “The IAC Commerce Center will
offer the most state of the art buildings in
North Los Angeles County and be an employment hub for thousands.”
Brokers Craig Peters and Doug Sonderegger, both executive vice presidents
with CBRE, are representing the property.
While build-to-suits are an option at the
park, initial construction under Phase I
includes nine speculative buildings ranging
in sizes from 93,600 to 216,320 square feet.
At the time of the November 2014
groundbreaking, sources said the lack of new
space had caught some local companies in a
bind when expanding, causing one company
to leave the area, another to lose a major client, and others to opt for regions outside the
SCV when looking to relocate. ■
Written by Jana Adkins, SCVBJ Editor■
24
WATFORD
Meanwhile, the cost of doing business continues to rise.
Located in the center of Santa Clarita, the
company – owned and operated by Daniel
O’Brien - operates in spacious and modern
quarters. The staff is dedicated, hard-working
and ready to be part of a company on an upward trajectory of growth. With new services,
more moves and long-term and short-term
storage rentals, there is strong upside potential.
At present, the company does ninety percent of its business in residential moves and
10 percent in commercial business. Adding
manpower, space and vehicle capacity is not an
issue, but searching for the right kind of clients
is a challenge.
After reviewing the current situation and the
potential for future growth, the following are action steps that were recommended along with a
recap of results generated to date for each:
First, better planning will yield better results. To this point, the company has not had
a formal written business plan. It was recommended that the company start using several tools to more effectively plan and execute
growth.
For strictly financial planning, QuickBooks
(accounting and financial software used by
the company) has budgeting and forecasting
options and modules. The Strategic Growth
Navigator, a one-page planning document,
was also provided for use.
Results: The company is considering the
use of these tools, but no significant progress
has been made. Specific goals need to be established in each service area so that the company’s financial future can be better predicted.
Research shows that the mere existence and
publication of goals have been shown to improve performance.
Second, new media matters. Consumers
and businesses today use the Internet for education and validation before they purchase. It
was recommended that the company website,
which is attractive and engaging, be regularly
updated with fresh and useful content. That
would mean the addition of more blog entries,
content from other sources (giving full attribution), more testimonials and video. YouTube
is now the second most used search engine,
which is why video matters.
Along these same lines, because the consumer target market and the potential business
market decision makers are becoming younger, the company was advised to address issues
on Yelp. On other social media platforms, the
company had a presence which was being regularly updated with new postings.
Results: The company has addressed the
negative Yelp postings and improved the rating to 4.5 on the 5.0 scale, and is now vigilant
on addressing postings there. The company is
actively researching outsourcing to potential
third party providers to perform this service.
Third, the company sends out four or five
marketing pieces a year to the current customer database (Thanksgiving or Christmas cards;
a postcard promoting storage capabilities, and
usually two other flyers), plus occasional emails
to the database using Constant Contact.
The company has done a good job securing
referrals and repeat business, which represents
80 percent of the company’s volume. This information is tracked using QuickBooks.
The business model of the residential moving business is a hard one. Moving is not all that
common. Only 11 percent of the population
moves each year and that number has been declining for demographic and economic reasons.
To counter these trends, it was recommended that the company take time to analyze
how it could increase its share of commercial/
business moves. Currently, about 10 percent
of the company’s revenue comes from these
types of moves. The Santa Clarita Valley is a
very desirable place for business startup and
growth, given the high business taxes of surrounding cities. In addition, the Santa Clarita
Valley Economic Development Corporation
has targeted specific industry clusters for business attraction to the SCV.
Business moves are generally easier and more
profitable than residential moves. Budgets are
higher and the moves can be done after-business hours, over weekends and on holidays.
There is also less emotion involved because
the person managing the move from the client
side is an employee, not a resident. Residents
are much more emotionally involved in how
their personal belongings are wrapped, packed,
shopped and placed.
APRIL 2016
■ Watford Moving and Storage owner Daniel O’Brien stands in the company’s warehouse,
next to wrapped furniture waiting to be packed into a wooden vault storage container. Photo
by Katharine Lotze
In addition, meeting human resources
managers through PIHRA (Professionals in
Human Resources Administration) may be
another way to learn about opportunities for
upcoming company moves and expansions.
Often, human resources professionals either
serve as, or supervise, the facilities management
function.
Results: The company is networking
within the business community and at the
SCVEDC to see how they can leverage their
expertise and increase the volume of business
moves in 2016. The PIHRA opportunity has
not yet been explored.
Fourth, expand the network of residential
real estate agents in the desired target areas.
The company has indicated that it would
prefer to move away from multi-family (apartment) moves, and even smaller residential
moves which are not always in the desired
profit margin once workers compensation
and other expenses are factored in. Ideally,
the company would like to have more upscale
single family relocations. To help achieve that
objective, they have done the preliminary work
of identifying specific zip codes to target.
Results: Some progress has been made
within the SVC, but only a limited effort has
been made outside of the area. The company
understands the need to be more visible with
real estate agents and the need to maintain relationships. The company will soon be hosting
an event for agents at its facility.
Fifth, seek out passive income possibilities.
The company has almost unlimited physical space for storage. This opportunity is not
limited to storage of household items. Many
businesses seek temporary space during busy
seasons for short periods of time. Networking
within the local business community should
be explored. Also, museums are seeking safe,
dry and insured space to safely store artwork.
That may be another option given the number of museums in the greater Los Angeles area
and the closeness of the SCV to them.
Results: Under consideration and limited
progress to date.
Summary: Many companies were battered
and bruised by the Great Recession, but that
needs to be put in the rear view mirror. New
energy, commitment to growth and a sharper
focus on expansion by the owner are required
to take this company, which has a tremendous
upside for growth, to the next stage of profitability. After all of his hard work and efforts,
and having a dedicated team standing with
him, he deserves a better financial return than
he has earned so far. ■
Valley Industry & Commerce Association
Celebrating a Community
SCVBJ Store Homecoming
VICA
Stuart Waldman
F
or anyone wondering about the importance of a business building brand
identity, customer relations and community presence, the recent changes surrounding a local grocery store in the Santa
Clarita Valley provide an excellent case
study.
The Vons store on Bouquet Canyon
Road in Saugus briefly changed ownership
last June, handing the keys and signage over
to a Northwestern chain that had purchased
several area stores. There were tears, both
from employees and customers.
The emotion wasn’t just about job loss
or a fear of change. For longtime employees who had started their careers at the store,
and even for a few of the younger ones who
had been a part of generations whose first
job was at Vons, it was a sad ending to a past
full of positive customer service experiences.
For many customers, it was like watching family members leave. Many drove to
other locations to find what they were accustomed to, whether it was pricing, selection
or friendly faces.
The sales of the stores were the result
of a Federal Trade Commission decision
prompted by a concern with fairness and
market share; but ironically, the move
seemed like it had the opposite effect on
pricing and customer service for many who
were upset by the change.
Because whether it’s the memory of shopping for Halloween candy with your young
children, the time an employee could sense
your concern without you having to ask,
and carried your groceries out to your car;
or that time you watched a checker miraculously calm an upset child in a checkout line
-- these timeless supermarket moments and
experiences stay with us.
And, perhaps unsurprisingly, when the
Vons changed names and ownership, there
was fear, concern and even some anger.
While several of the friendly, neighborhood faces that customers have relied upon
for years changed, many also became upset
about a rise in prices that seemed to be prevalent at the new chain.
People’s reactions were natural. Many
take for granted the incredibly important
ties we have to, not just our food, but the
meal – and the experience of everything from
preparation to table setting. But what was
somewhat surprising was the speed with which
people’s reactions to the departure of their grocery store had a real effect. What the FTC and
legislators can’t always take into account is the
intangible connection that businesses create
within the communities in which they operate.
Within just a few months, the grocer that
had purchased this Vons location, as well as the
Pavilions in the area, was forced to file bankruptcy, leaving dozens, again, in search of work
and many, many more in search of the kind of
local grocer they once had on Bouquet.
And another unfortunate side effect, as
reported in The Signal, was that the oncepopular store location sat vacant for months,
“forcing residents living and working near the
city center to drive farther distances to reach
neighboring supermarkets.”
While Santa Clarita Valley residents reacted
to the perceived changes with their feet, finding a Vons or Albertsons location they felt they
knew and trusted, the Washington state-based
chain that had purchased the SCV stores eventually put them up for auction, and the Vons
store in Saugus was re-purchased by the more
familiar name that had been there before.
Which means that the whole situation has
come full circle, and Santa Clarita Valley residents once again can access all of the grocery
store options they knew and loved, with two
Albertsons and four Vons locations now fully
operational.
We’d like to join the chorus of voices in welcoming Vons back to the community.
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. ■■
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.
APRIL 2016
Valley Industry Association
25030 Avenue Tibbitts | Suite K | Valencia, CA 91355 | (661) 294-8088 | www.via.org | Content provided by VIA
VIA Awards Season
Just Beginning
VIA Luncheon Planning
Calendar 2016
and accomplishments of its members.
While nominations will not officially
open until late July or early August,
it’s never too soon to start thinking
about those individuals and members of distinction deserving in one of
three award categories.
SPEAKER SERIES
Luncheons begin at 11:45 a.m. at
the Valencia Country Club, 27330
North Tourney Road in Valencia
unless otherwise noted.
Business professionals interested in
attending 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.
Tuesday, April 19
Representatives from Henry
Mayo Newhall Hospital preview
their new health and fitness center.
H
ollywood doesn’t hold all the
glitz and glamour in the Southland when it comes to awards
season. Celebrating its 35th year, the
Valley Industry Association is readying the nomination pool for the 2016
VIA Awards to be presented at the VIA
BASH gala on October 28, 2016 at the
Hyatt Regency Valencia.
Each year, VIA celebrates the diversity
VIA VOLUNTEER OF THE YEAR
This is an individual affiliated with
VIA and is a member in good standing for a minimum of two years and
has demonstrated strong support of the
organization through committee involvement or chairmanship, member
recruitment, fundraising and/or the
creation of increased visibility for the organization. This member will have been
an active member of one or more VIA
Committees for no less than two years,
and have made major volunteer contributions to the organization.
VIA BUSINESS OF THE YEAR
This cornerstone VIA member business will have been affiliated with VIA
for no less than five years and demonstrated consistent support not only for
the organization but to the business
community and the Santa Clarita Valley
as a whole.
RISING STAR
A VIA member for no less than 12
months, this company will have shown substantial new growth and visibility through
the development and launch of a new product or service, significant increases in job
Connecting to Success Call for Facilitators
Welcome to New VIA
Members!
VIA is growing and we’re proud
to add these new members to our organization. Welcome to Santa Clarita’s premier business and industry
connection!
Northwestern Mutual
Harry Avetisyan
21800 Oxnard Street, Suite 800
Woodland Hills, CA 91367
(818) 887-9191
[email protected]
Who:
Need up to 100 business professionals to volunteer as facilitators for Connecting to Success, a workplace readiness business conference for high school students
What: Facilitate breakout sessions for high school junior class students from all area high schools in the curriculum areas of
Building Your Image for Success, Ethics: Doing the Right Thing or Money Smarts
When:
Volunteers to help facilitate the program are needed for the following Thursdays (choose one or more dates):
Oct. 13, 2016
Oct. 27, 2016
Nov. 10, 2016
Where: Grace Conference Center, 22833 Copper Hill Drive, Santa Clarita, CA 91350
Why:
Perhaps one of the easiest and most rewarding ways to give back and help shape the incoming workforce is to become
a facilitator in one of VIA’s signature Connecting to Success series this Fall. The annual event delivers a high impact
workforce preparation program for students. Each year, students benefit from time spent with working professionals as
they prepare to interview for their first job or ready themselves for college applications the following year. They are
also able to grasp real-world issues that may challenge their ethics, and receive guidance on how to handle money.
A-1 Party
Kim Kurowski
26893 Bouquet Canyon Road
Santa Clarita, CA 91350
661-297-2275
[email protected]
Sign-A-Rama
Lee Thompson
24730 Avenue Tibbitts, #130
Valencia, CA 91355
(661) 260-3522
[email protected]
SCV Cleaners
Antoinette Naber
26547 Golden Valley Road
(661) 255-3678
[email protected]
Pramik Entertainment
John Pramik
P.O. Box 801945
(661) 702-8928
[email protected]
Ameriprise Financial
Justin Duncombe
5850 Canoga Avenue #120
Woodland Hills, CA 91367
(818) 592-3373
[email protected]
Contact: Kathy Norris
(661) 294-8088 or [email protected]
Advance Sneak
Peek: City Council
Candidates Forum
T
he furor of election
season is not lost on
VIA as the Nov. 8,
2016 ticket will impact Santa
Clarita with city elections
held for the first time on the
traditionally heavy November ballot. Soon after the
candidate filing period closes,
VIA will host a City Council
Candidates Forum as part of
its monthly program series on
Tuesday, August 16 starting
at 11:45 a.m. The forum will
provide an excellent opportunity to listen to each candidate and learn their vision for
the city moving forward. ■
25
26
APRIL 2016
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
Business Tools That Help Companies
Figure Out the True Cost of Offshoring
T
here are many reasons for
American manufacturers to reevaluate offshoring and consider
reshoring. Companies are increasingly
recognizing that costs, risks and strategic impacts previously ignored are
large enough to overcome the shrinking emerging market wage advantages.
They are seeing the benefits of proximity
when the home market is the U.S., still
the world’s largest.
Today, many U.S. manufacturers are
reevaluating their production and sourcing locations and are taking a closer
look at the benefits of reshoring. Some
of the most commonly cited advantages
include higher product quality, shorter
delivery times, rising offshore wages,
lower inventory and the ability to be
more responsive to changing customer
demands.
The number of jobs brought to the
U.S. from offshore, according to the Reshoring Initiative data is 248,000 from
January 2010 to December 31 of 2015.
Access Costs Everywhere
(ACE) Tool
Assess Costs Everywhere (ACE) provides manufacturers with the top reasons
for investing and sourcing in the United
States. With its analytic framework,
links to public and private resources,
and case studies, ACE is now available to help businesses assess total costs
more accurately and enable informed
decision-making.
The ACE tool is based on the premise
that a business should not decide where
to establish manufacturing facilities
based on the current labor cost alone.
Instead, the outsourcing decision should
be made after careful consideration of an
array of factors such as labor cost growth
trends, the cost of operating an business
abroad, freight costs and shipping time,
inventory holding cost, special financing
arrangement, product quality concerns,
intellectual property protection or lack
thereof, costs to comply with local red
tapes, as well as overall political and security risks.
When considering all factors, the United States actually offers many competitive advantages, from a strong business
climate to a highly-skilled and productive
workforce. Additionally, companies that
are expanding their workforce within
the United States or bringing jobs to the
United States may be eligible for assistance from the Commerce Department's
Manufacturing Extension Partnership,
Commercial Service offices, SelectUSA,
Economic Development Administration,
or other agencies.
The ACE tool is one of multiple activities being carried out by the Department
of Commerce to encourage businesses
to bring production back to the United
States or expand their operations here.
The Department encourages re-shoring
by creating incentives, securing access
to markets for U.S. exports, providing
financial and technical support for companies to grow and expand, and improving education and training opportunities
to develop a skilled workforce.
To learn more about the tool, please
visit http://acetool.commerce.gov/
Total Cost of Ownership
Estimator
Many companies make sourcing decisions based solely on manufacturing
prices, often resulting in a 20 to 30 percent miscalculation of actual offshoring
costs. The Total Cost of Ownership
(TCO) Estimator is a free online tool
that helps companies account for all
relevant factors — overhead, balance
sheet, risks, corporate strategy and other
external and internal business considerations — to determine the true total cost
of ownership. There are also inputs for
factors such as political instability risk,
inflation, and intellectual property risk
to ensure that the data computed is as
accurate as possible by taking into consideration these variables.
Recognized by the U.S. Commerce
Department, the Total Cost of Ownership Estimator is designed for businesses of all sizes and allows users to
determine which sources best meet their
company’s profitability and strategic
objectives. Company users include supply chain managers, accounting, manufacturing management, industrial engineering, strategic planning, and line
management.
Benefits of the Total Cost of Ownership Estimator include customized
calculations based on each company’s
unique data, flexibility for users who
may skip values that are not essential,
ability to make direct comparisons by
providing a total cost for each source,
complete consideration of up to 30 cost
Econo Watch
Santa Clarita Valley
Source: Santa Clarita Valley Economic Development Corporation
Q4 ’15
Q3 ’15
Q4 ’15 Sq Ft
Commercial Vacancy Rates
Office Space
10.20%
12.20%
582,345
Industrial Space
2.70%
2.50%
530,150
Retail Space
5.60%
4.90%
696,152
Total Marked Sq. Ft. Vacancy Percentage
Office Space - as a % of Vacancy
32.20%
19.00%
N/A
Industrial Space - as a % of Vacancy
29.31%
50.90%
N/A
Retail Space - as a % of Vacancy
38.49%
30.11%
N/A
Jan ‘16
Dec ‘15
Jan ’15
Commercial/Industrial Building Permits
0
0
0
Residential Building Permits
12
14
33
Building Permits
and risk factors, forward-looking projection based on the user’s forecast of wage
and currency changes, and automatic
calculation of freight rates for 17 countries and explanations and references for
Input factors. Last but not the least, the
tool is free to use.
Once you input your unique data into
the calculator, you will receive your total
cost of ownership analysis complete with
calculations of 30 cost factors for each
source, an accumulation of all costs into
cost categories, the TCO for each source,
line charts showing each source’s current
price and TCO and a 5-year TCO forecast, line charts showing your cumulative cost by category for each source.
For more information about this tool,
please visit http://www.reshorenow.org/
tco-estimator/
If you have any questions about
how to use these two tools, please contact SCVEDC at [email protected]
or 661 288 4407 ■
Local Company Stock Prices
Bank of Santa Clarita (BSCA)
Mannkind (MNKD)
California Resources Corp
California United Bank
Carnival Corp. (CCL)
Mission Valley Bank (MVLY)
Six Flags * (SIX)
Woodward (WWD)
Lennar (LEN)
Feb ‘16
9.05
1.03
0.56
21.88
47.96
8
50.86
46.95
41.74
Jan ’16
10.05
1
1.43
22.85
48.13
8
50.27
49.19
42.15
% Change
-5.47%
-3.00%
-43.17%
-5.80%
-0.35%
0.00%
1.17%
-4.55%
-0.97%
Unemployment Rates* Santa Clarita Palmdale
Lancaster
Glendale
LA County
State
Jan ‘16
Dec ’15 % Change
5.4%
5.3%
1.89%
8.0%7.8% 2.56%
6.7%6.5% 3.08%
5.8%5.6% 3.57%
5.9%
5.8%
1.72%
5.8%5.8% 0.00%
*Due to the late release of unemployment rates, February unemployment rates are not available.
APRIL 2016
SCV Chamber of Commerce
27451 Tourney Road | Suite 160 | Santa Clarita, CA 91355 | (661) 702-6977 | www.scvchamber.com | Content provided by the SCV Chamber
March
Milestone
Members
25+ Years
Green Thumb Garden Center
AAA Of California
Santa Clarita Concessions
Anitech Systems, Inc.
Bartlein & Company, Inc.
Exclusive Sedan Service
Keep It Self Storage
20+ Years
Assistance League
of Santa Clarita
Facey Medical Group
15 + Years
CBC Cleaning & Restoration
2016 Chamber of Commerce off to a great start
Y
our 2016 SCV Chamber of commerce is off to a great start with the
92nd Recognition and Installation
Dinner and the Santa Colorita Run under
our belt, we are positioned well to focus
on issues affecting you and your business.
We have formed a new Chamber subgroup called our Chairman’s Circle which
will be concentrating on these issues and
communicating them to Sacramento.
This new group is made up a large cross
section of our top Santa Clarita Valley
businesses. We would like to thank Chiquita Canyon-John Musella, JSB Development- Jim Backer, AAA Companies-Brian
Higgins, Newhall Land- Sandy Sanchez,
Princess Cruises- Brian O’Conner and
Signal Multimedia- Russ Briley for being
part of this team. If you would like to join
this group, please contact Terri Crain at
the Chamber for all the details.
On March 14th members of this newly
formed team will be accompanying your
President and CEO Terri Crain to Sacramento to discuss the many topics that
are critical to the businesses of the Valley
with members of your state legislature.
On March 4th we met with California Assemblyman Scott Wilk. He gave us a very
educational and informative update on
the landscape and climate in Sacramento.
He explained to us the new bills for consideration had just been released and we
will be meeting with other members of the
legislature as well as Assemblyman Wilk
shortly to review the bills that are importance to your business in Santa Clarita.
We have also set up a meeting with the
CalChamber during our trip to Sacramento to address those bills and other issues that potentially affect California businesses. Topics covering potential changes
Dance Studio 84
Princess Cruises
Spirit Holding, Inc.
Special Olympics Santa Clarita
Preferred Glass & Windows
William S. Hart UHSD
Realty Executives Santa Clarita
Salt Creek Grill
10+ Years
Logix Federal Credit Union Valencia Promenade
Kim Thomson – Re/Max
of Santa Clarita
SCV Commercial Real
Estate Services
Galpin of Santa Clarita –
Lincoln, Mazda, Subaru
Advanced Imaging Center
Calminsense Hypnotherapy
5+ Years
SCV Mayor’s Comm. for Emplt
of Individuals w/Disabilities
SCV Concierge
SOS Entertainment
Myers, Widders, Gibson, Jones,
& Feingold, LLP
Ullman Investments, LTD
Old Republic Title
Avison Young Southern
California, Ltd.
The SCV Beacon
Legal Shield & Identity
Theft Shield
Santa Clarita Technology &
Career Development Center
Whitening Lightning Inc.
Old Town Newhall Ice
Eternity Day Spa Inc.
Ribbon Cuttings
in the wage and hour laws and minimum
wage will be on the top of our agenda.
We at the Santa Clarita Valley Chamber of Commerce are dedicated to keeping your business concerns at the forefront
and together look for solutions to make
the business climate much better for all of
us. With this new group as well as all of
our board we intend to be very vocal and
maintain engaged with Sacramento and
continue to work with and through our
local elected officials.
As always we value your feedback and
encourage you to give us your thoughts
and concerns from your perspective as a
local business. In the next Santa Clarita
Business Journal we will give a synopsis
of these meetings and a look at some of
the pending bills that we feel would be of
interest and concern to businesses in the
Santa Clarita Valley. ■
27
28
APRIL 2016
Commercial, Industrial & Retail Real Estate
Retail Buildings
Sq.Ft.
Sale/Lease
23329 Lyons Avenue 900, 3,600, 7,600 Lease $1.65 SF/MO/NNN
Price
10,300
Lease $1.25 SF/MO/NNN
Old Orchard Plaza
23154 Valencia Boulevard Valencia Mart
25830-25848 McBean Parkway 1,999 - 2,800
Lease $2.50-$3.00 SF/MO/NNN
1,200 Lease $1.25 SF/MO/NNN
Granary Square
21515 Soledad Canyon Road Golden Oak Plaza
26477-26557 Golden Valley Road $2.75 SF/MO/NNN
Bank of America Tower
Kevin Fenenbock (Colliers Int.) 661-253-5204
1,020 – 2,191 Lease $1.85 SF/MO/NNN
27202, 27220 & 27240 Turnberry Lease $1.65 SF/MO/MG
900 – 3,250 Lease $1.00 - $1.60 SF/MO/NNN
1,000 Lease $1.25 SF/MO/Gross
1,350 – 1,907 Lease $2.35 SF/MO/NNN
Riverview Plaza
25269 The Old Road 1,300 – 2,442 Lease $1.50 SF/MO/NNN
Sunset Pointe Plaza
24003 Newhall Ranch Road 3,053 Sub-Lease $3.35 SF/MO/NNN
Bridgeport Village
Tim Crissman (Crissman Commercial Services) 661-295-9300
28207- 313 Newhall Ranch Rd. 1,275 - 8,090 Lease $1.95 - $12.90 SF/MO/NNN
1,195 - 1,825 Lease $2.75 SF/M0/NNN
Highridge Crossing
27923 – 59 Seco Canyon Rd. 1,500 - 1,600 Lease $2.50 SF/M0/NNN
54,000 Lease Negotiable
Seco Canyon Village
27095 McBean Parkway The Promenade
John Cserkuti (NAI Capital) 661-705-3551
19045 Golden Valley Road. #115 4,040 Sub-Lease $2.25 SF/MO/NNN
1,063 - 6,015 Lease $1.50 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 Vine at Castaic
23754 Valencia Boulevard 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 Yair Haimoff (NAI Capital) 818/742-1659
23922 Summerhill Lane 552 - 4,275 Lease $2.35 SF/MO/FSG
776 - 6,130 Lease
$2.25 SF/MO/FSG
Valencia Oaks
23929 Valencia Blvd. 767 Lease $2.35 SF/MO/FSG
1,425 - 29,028 25020 - 25061 Avenue Stanford 990 - 4,281 Lease $1.05-$1.75 SF/MO/FSG
24501 Town Center Drive; Suite 103 27413 Tourney Road 1,290 - 3,243 Lease $2.55 SF/M0/FSG
915- 5,206 Lease $2.65 - $2.80 SF/M0/FSG
1,187 - 20,000
Lease $2.75 SF/MO/FSG
1,500 - 8,000 Lease $2.85 SF/MO/FSG
1,300 - 6,000 Lease $2.25 SF/MO/NNN
Lease Lease Negotiable
Negotiable
Lease Lease $1.35 SF/M0/NNN
$1.35 SF/M0/NNN
Tourney Business Park
26650 The Old Road Westridge Executive Plaza
Richard Ramirez (CBRE) 661-907-4639
The Commons at Valencia Gateway
25350 - 25360 Magic Mountain Parkway Gateway Plaza
24200 Magic Mountain Parkway VTC IV
David Solomon (CBRE) 818-907-4628
27201 Tourney Road 982 - 5,032 Lease $2.35 SF/MO/FSG
23030 Lyons Avenue Neiditch Building 170 - 2,362 650 Branson Brinton (SCV Commercial) 818-414-7657
25161 Rye Canyon Road
Mann Biomedical Park
Building #1 Building #2 Build-to-Suits also available
14,292 1,814 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
1,230 – 8,474 Lease $2.65 SF/MO/FSG
Valencia Park Executive Center
28470, 28480, 28490 Ave. Stanford Lease $2.75 SF/MO/NNN
23734 Valencia Boulevard 2,900 Lease $1.75 SF/MO/NNN
23838 Valencia Boulevard 1,512 Lease $3.50 SF/MO/NNN
25078 Peachland Avenue 1,523 -1,860 Lease $1.95 SF/MO/FSG + J
988-2,674 Lease $2.50 SF/MO/NNN
1,000 Lease $1.95 SF/MO/MG + E + J
1,205 - 8,944 Lease $1.45 SF/MO/FSG + J
420 - 4,000 Lease $1.10 SF/MO/NNN
1,842 Lease $2.05 SF/MO/MG
540
576 Lease Lease $2.00 SF/MO/MG
$2.15 SF/MO/MG
720 Lease $2.00 SF/MO/MG
948 Lease $2.00 SF/MO/MG
Lease Lease Lease $1.85 SF/MO/FSG
$0.99 SF/MO/NNN
$2.55 SF/MO/FSG
Valencia Financial Center
Atrium Medical Building
Peachland Medical Arts
23502- 23504 Lyons Avenue 1,051 Lease $3.25 SF/MO/NNN
1,005-1,830 Lease $1.95 SF/MO/MG
Lyons Plaza
23542- 23560 Lyons Avenue Plaza Posada
Cameron Gray (NAI Capital) 661-705-3569
24961The Old Road Office/Commercial Buildings
Matt Sreden (DAUM Commercial) 661-705-3552
Sq. Ft.
1,500 Sale/Lease
Price
Sale/Lease $2.00 SF/MO/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
1,685 Lease $1.75 - $2.00 SF/MO/MG
Lease $1.25 SF/M0/MG
Yair Haimoff (NAI Capital) 818-742-1659
22620 Market Street Tim Crissman (Crissman Commercial Services) 661-295-9300
28455 Livingston Avenue $2.15 SF/MO/FSG
Paragon Business Center
John Erickson (Colliers Int.) 661-253-5202
20605 Soledad Canyon Road Lease Summit at Valencia
Kevin Fenenbock (Colliers Int.) 661-253-5204 • John Erickson (Colliers Int.) 661-253-5202
1,000 Baywood at Bridgeport
Kevin Fenenbock (Colliers Int.) 661/253-5204
25065 – 25067 Peachland $2.20-$2.55 SF/MO/FSG
$2.85 SF/MO/NNN
Bridgeport Marketplace
John Cserkuti (NAI Capital) 661-705-3556
24125 Baywood Lane Lease Lease Plaza Del Rancho
24021 Newhall Ranch Road 1, 758 - 22,919 1,195 Valencia Village
27544 Newhall Ranch Road $2.15 SF/MO/MG
Valencia Corporate Plaza
Craig Peters (CBRE) 818-907-4616 • Richard Ramirez (CBRE) 818-907-4639 • Robert Valenziano (CBRE) 818-907-4663
Summerhill Village
27560 Newhall Ranch Road Lease Valencia Executive Plaza
The Plaza at Golden Valley
31675-31783 Castaic Road 23822 Valencia Blvd. 25152 - 25154 Springfield Court Gateway Village
28112 - 36 Newhall Ranch Rd. 736 - 2,208 Craig Peters (CBRE) 818-907-4616 and Sam Glendon (CBRE) 818-502-6745
San Fernando Plaza
26865 – 26889 Sierra Highway $1.80 SF/MO/FSG+
Sunset Pointe Plaza
Lease Wayman Court
23638 Newhall Avenue 25129 The Old Road 1,479 – 2,074 500 – 6,000 Price
Lease Tourney Pointe
$2.00 SF/MO/NNN
Old Town Newhall Properties
23120 – 23130 Lyons Avenue 27200 Tourney Rd. Lease Sutter Point Plaza
Patti Kutschko (Daum Commercial) 661-670-2003
Sale/Lease
Valencia Atrium
2,250 The Plaza Golden Valley
24254 – 24409 Main Street 28494 Westinghouse Pl. $2.50 SF/MO/NNN
Canyon Square
700 & 900 John Erickson (Colliers Int) 661-253-5207 • Chris Erickson (Colliers Int) 661-253-5202
Lease 18597 – 18607 Soledad Canyon Road 27737 Bouquet Canyon Road 28001 Smyth Drive 1,022 Centre Pointe Marketplace
19923 – 19931 Golden Point Office/Commercial Buildings (cont.) Sq. Ft.
5,600 Doug Sonderegger, (CBRE) 818-907-4607 • Sam Glendon (CBRE) 818-502-6745
2405 Chestnut Street The Chestnut Building
Jeff Lui (SCV Commercial Real Estate Services) 661-478-5227
22800 Lyons Avenue The Tanner Building
24303 Walnut Street Tim Crissman (Crissman Commercial Services) 661- 295-9300
27502 Avenue Scott 28546 Constellation Road 27413 Tourney Road 3,893 5,734 1,290 Craig Peters (CBRE) 661-907-4716 Richard Ramirez (CBRE) 661-907-4639
24840 Avenue Stanford, #300
Richard Ramirez (CBRE) 661- 907-4639
6,187 Lease Negotiable
APRIL 2016
29
Commercial, Industrial & Retail Real Estate
Office/ Medical Buildings
25775 McBean Parkway 25880 Tournament Road Sq. Ft.
Sale/Lease
1,201 – 6,682 1,043 – 4,559 Lease Lease Price
$2.76 SF/MO/NNN
Negotiable
Cody Chiarella (CBRE) 818-502-6730 • Troy Pollet (CBRE) 818-907-4620
25050 Peachland Avenue 8
00 – 4,000 Lease $2.20 SF/MO/NNN
Patti Kutschko (Daum Commercial) 661- 670-2003 Matt Sreden (Daum Commercial) 661 705-3552
Land (Commercial, Industrial & Retail)
SWC Golden Valley Rd./Centre Pt. Pkwy. AcresSale
1.5 Sale $27.17 SF ($2.3M)
149.0 (Com.) Sale $0.61 SF ($3.9M)
1.7 ac. Sale
$22.50 SF
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
SWC Copperhill Drive & Rio Norte 8.65 Sale $22 SF
West Creek
John Z. Cserkuti (NAI Capital) 661-705-3551
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
1.19 1.90 2.29 2.67 3.86 4.96 6.15 Sale Sale Sale Sale Sale Sale Sale Industrial Buildings
Sq. Ft.
Sale/Lease
27778 Avenue Hopkins 39,474 Lease $21 SF/$1.1M
$23 SF/$1.9M
$21 SF/$2.1M
$21 SF/$2.5M
$21 SF/$3.5M
$21 SF/$4.5M
$21 SF/$5.6M
Price
$0.58 SF/MO/NNN
Kevin Tamura (Daum Commercial) 661-670-2001 • Ron Berndt (Daum Commercial) 661-670-2000
5,404 Sale $215 SF/$1.1M
Matt Sreden (NAI Capital) 661-755-6654
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
17,000 Lease $0.75 SF/MO/MG
24820 Avenue Tibbitts Pamela Verner (SCV Commercial) 661-714-5271
29023 The Old Road Richard Ramirez (CBRE) 818-907-4639
27525 Newhall Ranch Rd.; Unit 9 Nigel Stout (JLL) 818-531-9685
28478 Westinghouse Place 8,284 25615 Hercules 17,455 27795 Avenue Hopkins 10,214 26074 Avenue Hall 1,561 - 3,131 26943-26951 Ruether Ave. 2,025 28430 Witherspoon Pkwy. 37,766 25040 Avenue Tibbits 1,440 28212 Kelly Johnson Pky. 1,244 25215 – 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 Lease Lease Lease Lease Sale/Lease Lease Sale Lease Sale Lease Lease Lease $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
$0.75 SF/MO/NNN
$825,000
$1.05 SF/MO/IG
$0.95 SF/MO/IG
$1.05 SF/MO/IG
John Erickson (Colliers Int.) 661-253-5202 • Chris Erickson (Colliers Int.) 661-253-5207
28334 Industry Drive 35,310 Lease $0.59 SF/MO/NNN
116,143 21,147 Lease Sale $0.58 SF/MO/NNN
$135.00 SF
24700 Avenue Rockefeller 50,261 Lease 24730 Avenue Rockefeller 42,960 Lease (Buildings above can be combined for a total of 93,221 SF in space)
$0.57 SF/MO/NNN
$0.57 SF/MO/NNN
Matt Dierckman (CBRE) 818-502-6752
28210 N. Avenue Stanford 25060 Avenue Tibbitts Unit A Unit B Unit C Unit B & C Unit A, B & C $111.47 SF;
$0.55 SF/MO/NNN
$115 SF
22,288 22,712 25,325 48,047 70,325 Lease Lease Lease Lease Lease $0.61 SF/MO/NNN
$0.62 SF/MO/NNN
$0.62 SF/MO/NNN
$0.62 SF/MO/NNN
$0.62 SF/MO/NNN
Craig Peters (CBRE) 818-907-4616 • Doug Sonderegger (CBRE) 818-907-4607
28358 Constellation Road, Unit B 28338 Constellation Rd. Unit 920 24971 Avenue Stanford 25159 Avenue Stanford 8 4,984 3,328 Lease Lease $0.65 SF/MO/NNN
$0.76 SF/MO/NNN
20,415 Sale $135 SF
79,701 Sale $115.00 SF
21,650 3,480 Lease Sale $0.79 SF/MO/NNN
$210.00 SF
4,790 106 1,584 Sale Lease $870,000
$1.35 SF/MO/NNN
Todd Lorber (NAI Capital) 818-933-2376
28381 Constellation Road 28446 Constellation Road 28029 Smyth Drive 26635 Valley Center Drive, Unit Ron Berndt (Daum Commercial) 661-670-2000 • Kevin Tamura (Daum Commercial) 661-670-2001
24922 Anza Drive, Unit F Craig Peters (CBRE) 818-907-4616
Craig Peters (CBRE) 818-907-4616 • Doug Sonderegger (CBRE) 818-907-4607 • Richard Ramirez (CBRE) 661-907-4639
11,600 Lease $0.80 SF/MO/IG
146,000 54,060 Sale Lease $142 SF + 1.8 ac. Land
$0.64 SF/M0/NNN
Nigel Stout (JLL) 818-531-9685
28903 Avenue Paine 28308 Industry Drive 25161 Rye Canyon Loop
Mann Biomedical Park Building #61 26037 Huntington Lane 10,000 - 38,465 22,557 Lease $0.60 SF/MO/NNN
Sale/Lease $0.63 SF/M0/NNN/$139 SF
Craig Peters (CBRE) 818-907-4616 • Doug Sonderegger (CBRE) 818-907-4607
27911 Franklin Parkway 39,975 Lease $0.54 SF/MO/NNN
Doug Sonderegger (CBRE) 818-907-4607
28650 Braxton John Erickson (Colliers Int.) 661- 253-5202 Chris Erickson (Colliers Int.) 661- 253-5207
28029 Smyth Drive 4,790 Sale $181 SF/$870,000
Ron Berndt (Daum Commercial) 661-670-2000 Kevin Tamura (Daum Commercial) 661-670-2001
26858 Ruether Avenue 2,132 Lease $1.05 SF/MO/MG
Lease $0.57 SF/MO/NNN
24700 – 24730 Avenue Rockefeller Tim Crissman (Crissman Commercial Services) 661-295-9300
26000 Springbrook Avenue #17 25158 Avenue Stanford 44,548 Sale/Lease 26308 Spirit Court 44,944 Sale 28340-28400 Avenue Crocker
Randy Cude (NAI Capital) 661-705-3553
Kevin Tamura (Daum Commercial) 661-670 -2001 Ron Berndt (Daum Commercial) 661-670-2000
28312 Constellation Road Price
Mark Sokolowski (NDKF) 310-491-2075, 818-497-8815 • Sean O’Leary (NDKF) 310-491-2010
SWC Soledad Canyon Rd/Golden Valley Rd Valley Business Center Sale/Lease
James Ebanks (Realty Advisory Group Inc.) 661-702-8880 x12 • Lauren Ebanks (Realty Advisory Group Inc.)
661-702-8882 x18
Randy Cude (NAI Capital) 661-414-2004
Placerita Canyon/Sierra Canyon 15112 Placertia Canyon Bouquet Canyon/Vasquez Canyon 14825 Sierra Highway 24605 Railroad Avenue Sq. Ft.
Rexford Industrial Center (various combinations)
Price
Nigel Stout (JLL) 818-531-9685
15112 Sierra Highway Industrial Buildings (cont.)
93,221 Craig Peters (CBRE) 661- 907-4616 Doug Sonderegger (CBRE) 661-907-4607 Richard Ramirez (CBRE) 661- 907-4639
28034 Industry Drive. Unit A 9,973 Lease $0.79 SF/MO/Gross
Doug Sonderegger (CBRE) 818- 907-4607
20711 Centre Pointe Parkway Craig Peters (CBRE) 661- 907- 4616 Sam Glendon (CBRE) 818- 502-6745
27420 Avenue Scott Unit C &D 68,592 Lease $0.53 SF/MO/NNN
Craig Peters (CRRE) 661- 907-4615 Doug Sonderegger (CBRE) 661- 907-4607
21515 Centre Pointe Parkway 16,773 Sale $215 SF/$3.6M
Chris Jackson (NAI Capital) 818-933-2368 Todd Lorber 818-933- 2376 Matt Ehrlich 818-933- 2364
Future Industrial Projects
Sq. Ft.
Sale/Lease
Price/Availability
West of I-5/SR 126/Commerce Center Drive
Gateway V (Phase 1) 60,923 - 105,407 Sale /Lease IAC Commerce Center (Phase 1) 93,500 - 250,000 Lease Sierra Highway/Newhall Avenue/14 Freeway
Needham Ranch (Phase 1) 16,000 - 223,530 Sale /Lease TBD;1Q 2016
TBD; 3Q 2016
TBD; 1Q 2017
Craig Peters (CBRE) 818-907-4616 • Doug Sonderegger (CBRE) 818-907-4607 • Richard Ramirez (CBRE) 818-907-4639
28608 Hasley Canyon Road 20,499 - 44,162 Lease TBD
Avalon Business Center
JamesEbanks (RealtyAdvisoryGroupInc.) 661-702-8880x12• LaurenEbanks (RealtyAdvisoryGroupInc.) 661-702-8882x18
28528 Industry Drive 42,159 Sale $134 SF/TBD
Gateway Industrial
Doug Sonderegger (CBRE) 818-907-4607 • Craig Peters (CBRE) 818-907-4616
Future Office Projects
Sq. Ft.
Sale/Lease
27750 North Entertainment Drive
100,000
Lease
Price
TBD
Entrada Gateway Center
Ryan House (JLL) 818-531-9677 • Dan Sanchez (JLL) 818-531-9682 • Jim Lindvall (JLL) 818-531-9678
Note: Parties interested in properties should contact listing broker or agent for more information. To list here:
James E. Brown, Manager Business Attraction, SCVEDC, 661-288-4413, [email protected]
30
THE LIST
APRIL 2016
Aerospace and Defense (Ranked by Total Employees)
Company Name
Name
Title
Address
Employees
Woodward Inc
Ted Papenthien
Manager
25200 Rye Canyon Rd , Santa Clarita 91355
738
Aerospace Dynamics International
John Wall
President
25540 Rye Canyon Road, Santa Clarita 91355
583
Wesco Aircraft
Davecastagnola
President & Ceo
27727 Avenue Scott, Valencia 91355
461
Itt Aerospace Corporation
Robert Briggs
Manager
28150 Industry Dr Unit S , Valencia 91355
450
Regent Aerospace Corporation
Reza Soltanian
President
28110 W Harrison Pkwy , Valencia 91355
316
Asc Process Systems
Dave Mason
President
28402 Livingston Ave, Valencia 91355
254
Bayless Engineering & Manufacturing
Earl Bayless
President
26100 Avenue Hall, Santa Clarita 91355
250
Forrest Machining Inc
Joanne Butler
President
27756 Avenue Mentry , Valencia 91355
240
Crissair, Inc.
Mike Alfred
President
28909 Avenue Williams , Valencia 91355
220
B & B Manufacturing
Fredduncan
President
27940 Beale Court, Santa Clarita 91355
215
Triumph Actuation Systems
Bill Boyd
President
28150 Harrison Pkwy , Valencia 91355
200
Kirkhill-Ta Co
Jim Sweeney
President
28065 Franklin Pkwy , Valencia 91355
180
Semco Instruments Inc
Michael G Moore
President
25700 Rye Canyon Rd , Valencia 91355
177
25111 Anza Dr, Valencia 91355
176
Novacap
Knowles
Mark Skoog
President
25111 Anza Dr , Valencia 91355
173
Ppg Aero
Barry Gillespie
Chief Executive Officer
24811 Ave Rockefeller , Valencia 91355
160
Del West Engineering Inc
Al Sommer
President
28128 Livingston Ave , Valencia 91355
152
Sgl Technic Inc
Scott Carlton
President
28176 Avenue Stanford , Valencia 91355
145
Classic Wire Cut Company Inc
Brett Bannerman
President
28210 Constellation Rd , Valencia 91355
130
Donaldson Company Inc
Paul Akian
President
26235 Technology Dr , Valencia 91355
130
Lamsco West Inc
Gladden J Baldwin
President
24823 Anza Dr , Santa Clarita 91355
105
Curtiss-Wright Controls
Tom Cuda
Branch Manager
28965 Avenue Penn , Santa Clarita 91355
100
Ta Aerospace
Jim Sweeney
President
28065 Franklin Pkwy , Valencia 91355
100
True Position Technologies Inc
Allen Sumian
President
24900 Avenue Stanford, Valencia 91355
82
Cicoil Llc
Howard Lind
Managing Member
24960 Avenue Tibbitts, Valencia 91355
68
Hrd Aero Systems Inc
Tom Salamone
President
65
National Technical Systems Inc
Aaron Cohen
Manager
20970 Centre Pointe Pkwy, Santa Clarita 91350
65
All American Products
Art Benyasri
President
50
Rah Industries Inc
Ron Hansen
Ceo
24800 Avenue Rockefeller, Valencia 91355
50
Sunvair Inc
Tim Waschak
Ceo
50
Whitmor Plastic Wire & Cable
Michael Weiss
President
27737 Avenue Hopkins, Santa Clarita 91355
50
Aero-Design Technology Inc
John Wetzel
President
24908 Avenue Kearny, Santa Clarita 91355
45
Flight Line Products Inc
Michael Muschenheim
President
28732 Witherspoon Pkwy, Valencia 91355
40
Galaxy Die And Engineering Inc
Jawahar Saini
President
40
Hamby Corporation
Bill L Hamby
President
27704 Avenue Scott, Valencia 91355
40
Sun Valley Machine Works Inc
John Waschak
President
40
Tri Tek Electronics Inc
Jim Gillson
President
40
Aero Engineering & Mfg Co Cal
Dennis L. Junker
President
28217 Avenue Crocker, Valencia 91355
38
Air Frame Mfg & Supply Co Inc
Yoshi Kawamura
Ceo & Founder
26135 Technology Dr, Valencia 91355
35
Paragon Precision Inc
Allan Smith
President
25620 Rye Canyon Rd Ste A, Valencia 91355
35
Schrey & Sons Mold Co Inc
Walter Schrey
President
24735 Avenue Rockefeller, Valencia 91355
35
Performance Machine Tech Inc
Dennis Moran
President
25141 Ave. Stanford, Valencia 91355
33
A & M Electronics Inc
Ron Simpson
President
25018 Avenue Kearny, Valencia 91355
30
Valley Precision Metal Product
Howard R. Vermillion Jr
President
27771 Avenue Hopkins, Santa Clarita 91355
30
SOURCE: Santa Clarita Valley Economic Development Corp.
APRIL 2016
THE LIST
31
Aerospace and Defense (Ranked by Total Employees) Cont.
Company Name
Name
Aircraft Components Repair Co
Roger Meyerstein
Nextpoint Bearing
John Burroughs
Pacific Metal Stampings
Donald Schlotflat
Able Aero Inc
Licia
Aircraft Hinge Inc
Title
Employees
25058 Anza Dr., Santa Clarita 91355
29
28364 Ave. Crocker, Santa Clarita 91355
28
President
28415 Witherspoon Pkwy., Valencia 91355
24
President
25032 Anza Dr , Santa Clarita 91355
20
Olga Halcomb
President
24930Avenue Tibbitts, Valencia 91355
20
Applied Companies, Inc.
Betsy Klinger
President & Owner
20
Mp Tool Inc
Eduardo Pimentel
President
29035 The Old Rd # 26, Valencia 91355
20
Pacific Aerodyne
Ann Seow
Owner
25334 Avenue Stanford, Santa Clarita 91355
20
Troll Systems Corporation
Michele Scott
President
24950 Anza Dr, Valencia 91355
20
V P Mfg Inc
Donald Volkmann
Owner
20732 Soledad St # A, Canyon Country 91351
20
Luran Inc
Terry Decker
President
18
Aero Sense Technologies Inc
Sohail Tabrizi
President
26074 Avenue Hall Ste 18, Valencia 91355
17
Pacific Testing Laboratories
Myong C Shin
President
17
Advanced Technology Machining
Joe Howton
Vice President
15
Ameron Global Inc
J Frederick Huckvale
President
28402 Livingston Ave, Valencia 91355
15
Pacific Air Logistics Inc
Billy J Neighbors
President
26763 Oak Ave, Santa Clarita 91351
13
Precision Center Aircraft Mfg Inc
Eloi Arias
President
28064 Avenue Stanford, Suite J, Valencia 91355
13
Montgomery Systems Technology
H Steve Montgomery
President
28402 Livingston Ave., Valencia 91355
12
Sun Air Parts Inc
Dennis Nobile
President
26007 Huntington Ln Ste 4, Valencia 91355
11
Adept Fasteners
Gary Young
Owner
28709 Industry Dr., Valencia 91355
10
Bill Thomas Assoc
Bill Thomas
Owner
25072 Anza Dr., Valencia 91355
10
Crater Industries Llc
Carol Donaldson
Owner
28827 Industry Dr., Valencia 91355
10
G4 Aerospace & Mfg
Victor Manuel Castaneda
President
29071 The Old Rd., Valencia 91355
10
Job Shop Managers
Sanjeev Kapoor
Owner
28966 Hancock Pkwy., Valencia 91355
10
Koito Aviation Llc
Chitoshi Fujii
President
29069 Avenue Penn., Valencia 91355
10
Meschkat Precision Machining
Bodo Meschkat
Owner
27555 Avenue Scott, Valencia91355
10
Morris Precision Products
Beverly Morris
President
26732 Oak Ave Ste C, Santa Clarita 91351
10
Mp Aerospace Manufacturing Inc
Edwardo Pimentel
President
29035 The Old Rd., Valencia 91355
10
Ryan Sales Inc
Mark Ryan
President
24540 Desert Ave., Santa Clarita 91321
10
Onena Tool Co
Irene Onena
Owner
27003 Edgewater Ln 4, Valencia 91355
9
Atmospheric Systems Corp
Kenneth Howard
Underwood
President
26017 Huntington Ln Ste F, Santa Clarita 91355
7
Fo Engineering Inc
Bob Deller
President
7
Aerospace Manufacturing Inc
Joe Reyes
President
28316 Constellation Road, Santa Clarita 91355
6
Franmar Manufacturing Inc
Paul Kendera
President
6
Hansen Marvin
Marvin Hansen
Owner
25570 Rye Canyon Rd Ste B, Santa Clarita 91355
6
Pacific Aero Components Inc
David Bill
President
28887 Industry Dr, Valencia 91355
6
W K Engineering International
Sam Korn
President
25157 Avenue Stanford, Santa Clarita 91355
6
Apogee Aviation Services Inc
Peter A. Ricciardi
President
5
Cbk Aviation Inc
William Steck
President
28958 Hancock Pkwy., Valencia 91355
5
Hawk Instruments Inc
Greg Kuric
President
20732 Soledad St Ste J, Santa Clarita 91351
5
Western Airparts Corporation
Robert E Benjamin
President
5
3-R Sales
John Davis
Owner
26751 Oak Ave., Canyon Country 91351
3
Aptek Laboratories, Inc.
Joseph Vaccaro
President
28570 Livingston Avenue, Valencia 91355
N/A
Electro Enterprises Inc.
Bill Carrasco
Sales
27965 Smyth Dr. Ste. 102, Valencia 91355
N/A
Hartzell Aerospace
David
President
25395 West Rye Canyon Road, Valencia 91355
N/A
Kapco Global
Mike Boone
Vp Business Development 26501 Summit Circle, Santa Clarita 91350
N/A
L&M Precision
Lorenzo Zavalva
President
N/A
Ahed-Ram
Schmidt
Chairman Of The Board
Address
28210 Avenue Crocker #201, Valencia 91355
SOURCE: Santa Clarita Valley Economic Development Corp.
32
APRIL 2016
Residential Real Estate
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
February Sales
Feb ‘16
530,000
3335,000
136
55
84
443
Jan ’16
Feb ’15
530,000 490,000
306,500 300,000
113
142
55
47
93
82
443
362
Source: Santa Clarita Valley Economic Development Corporation.
Acton
New Listings. . . . . . . . . . . . . . . 27
Total Active Listings . . . . . . . . . 46
New Escrows Closed. . . . . . . . . . 5
Median Sale Price. . . . . . $409,000
Newhall
New Listings. . . . . . . . . . . . . . 402
New Escrows Closed. . . . . . . . . 18
Agua Dulce
New Listings. . . . . . . . . . . . . . . 11
New Escrows Closed. . . . . . . . . . .0
Saugus
New Listings. . . . . . . . . . . . . . . 74
Canyon Country
New Listings. . . . . . . . . . . . . . . 73
Total Active Listings . . . . . . . . 102
Stevenson Ranch
New Listings. . . . . . . . . . . . . . . 17
New Escrows Closed. . . . . . . . . . 7
Castaic
New Listings. . . . . . . . . . . . . . . 21
Valencia
New Listings. . . . . . . . . . . . . . 106
Total Active Listings . . . . . . . . 142
Source: Southland Regional Association of Realtors. Feb. 1 - 29, 2016
Santa Clarita Valley’s Largest
Full Service Commercial Real Estate Firm
Serving North Los Angeles
Now Recruiting Quality Brokers
- - ) ' , % $-0
We expand your potential and deliver results
555G,-02&*-ɒ!#1.!#G!-+
For more information, contact:
Yair Haimoff, SIOR
Executive Vice President, Branch Manager
27451 Tourney Road, Suite 200
Valencia, CA 91355
(661) 705-3550
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