Flagship South Pas Redevelopment Stalled

Shamrock Holdings, the chief financier for a major mixed-use redevelopment project in downtown South Pasadena, has pulled out, citing economic concerns. Developer Decoma, was relying on the $8.8 million in equity pledged by Shamrock for the $50 million plus project. The 310,000 sf project was to be the flagship property in a major revitalization of the central business district along Fair Oaks Ave. But the unavailability of short-term construction loans in the midst of a development-unfriendly economic climate forced the Burbank holdings company to pull out.

The development was to contain 60 condo units, including 12 affordable units, and underground parking for 380 cars. The Decoma plan was attractive to the community because it was aimed at smaller scale retail. Community members looked forward to public plazas, water features, and street furniture to help improve a neighborhood where blocky bank buildings and 'For Rent' signs have become the norm. It is unclear whether Decoma Developers, whose website includes an extensive description of the project, will stick through despite the financial setback.

The city and the chamber of commerce certainly hope they will. The project was approved by the city council in May 2008. Since then, civic leaders have been courting developers and financial sources, begging for investment in their "blighted" CBD. Scott Feldmann, president of the chamber of commerce, said Shamrock's withdrawal "feels awful," and will try to stay hopeful that they can attract new interest. But not everyone was disappointed with this latest turn of events. Some residents, especially those in the immediate vicinity, necessitated 80 public scoping meetings and even filed an unsuccessful lawsuit in the last few months. Their concerns? You guessed it - traffic and parking.