Claremont Insider: Condo Projects on Hold

Tuesday, January 15, 2008

Condo Projects on Hold

Will Bigham reported yesterday in the Daily Bulletin that four condo projects in Claremont are now on hold after being approved last year.

The projects were to be located on College Ave. at the old Claremont Courier building property, at the Old School House site at Indian Hill and Foothill, and along Base Line Rd.

The downturn in the housing market has apparently slowed condo sales way down, and the developers are worried about the units sitting on the market. One developer, the Olson Company, is trying to work out a cost-sharing deal with the city for the College Ave. project, according to the Bigham article:

Mayor Peter Yao said the Olson Co., slated to develop the 67-unit College Walk at the Village development on College Avenue, approached the city about setting up a cost-sharing arrangement before beginning construction.

That development, in the works for more than two years, is on hold indefinitely, said Tony Nguyen, Olson Co. director of acquisitions.

Assistant City Manager Tony Ramos said the city is doing a financial analysis of the Olson Co.'s cost-sharing proposal and will present the idea to the City Council for consideration.

The poor housing market seems to be causing lots of folks seem to be jumping on the city dole for their construction projects. The developer for the affordable housing project on Base Line Rd. may be trying to get additional funding from the city to help underwrite that proposal.

Before last week's city council meeting to certify the project's Environmental Impact Report, the council held a closed session meeting with the developer, Mark Gelman of Enhanced Affordable Development. The matter listed for discussion was "Price and Terms."

No reportable actions came out of the closed session meeting.