KB Home Wants to Produce Roxbury Sequel at the Promenade in Dublin, CA
KB Home and Charter Properties recently unveiled their plans at a community meeting for the new homes they want to build on land that was originally approved for commercial and public/semi-public use at the Promenade in the heart of Dublin Ranch Villages. The meeting, held at Grafton Station’s Cellar 9 Restaurant & Bar, drew roughly 30 residents. No official from the City of Dublin attended. When Regent Properties held a similar meeting for the Sorrento residents at their community club house, Consultant Planner Mike Porto was present.
Assuming City approval is secured for this controversial project, KB Home intends to build 82 single family homes without driveways on a 4.7 acre parcel by 2014. At 17.4 homes per acre, this new project would be about double the density of the neighboring Sorrento and look like a compressed version of the Roxbury community off Tassajara Road.
What’s in it for the Residents?
“Why would any residents want more homes to be built on this land?” asked Sorrento resident Tim Hall. “I’d rather see that land remain vacant.” Other meeting attendees echoed Hall’s sentiment and noted that at least the undeveloped land is serving a public use by providing overflow parking for residents of the Dublin Ranch Villages.
In addition to negatively impacting current residents’ quality of life, these new homes would likely reduce the property values of existing homes in the area. The 82 new homes would also impose unexpected burden on Kolb Elementary school by adding an estimated 150 students to the classrooms.
A KB Home representative claimed that his company would graciously build out some of the streets within the Promenade to provide short-term relief to the parking crunch. Many of the additional spaces would likely become overflow parking for the future residents of these 82 new homes.
The City Bullying Tong into Making the Rezoning Request?
Attendees from Sorrento and the Dublin Ranch Villages also wondered why Charter Properties president Jim Tong is so eager to turn land currently zoned as retail and public/semi-public space into residential, when he already has approval to build Phase I of the much anticipated Promenade. Tong explained that he is caught in a Catch 22, because banks will only finance projects with a minimum of 60% leases signed, and businesses are only comfortable signing the leases when they know that a project has financing.
Tong reminded attendees that he would love to build the Promenade. Unfortunately, the project would cost $50M to complete, and he does not have $50M in his bank account. While Tong may not have $50M sitting in a bank somewhere, he does have enough money, according to rumors, to buy the entire 1,400 acres of the Weyerhaeuser parcel that sits to the north of Livermore.
Tong also implied that the idea to turn the retail and public/semi-public space at the Promenade into residential came from Dublin City Hall. In his original development agreement with the City of Dublin, Tong weaved in a time-bomb clause that is now allowing him to request the public/semi-public zoning at the Promenade be turned into residential. According to Tong, that time-bomb clause should no longer be in effect, since his discussion with the City did not start until after the ten-year time limit has expired. Tong seems to be claiming that the City of Dublin is making him go through with this unpopular request anyway, so it can collect on the $120,000 impact fees for each new home. While the attendees understand the time-bomb clause is rendering the public/semi-public space vulnerable to additional homes where none had been planned, they cannot fathom why Charter Properties and the City of Dublin are also including land that has always been promised to the residents as retail in this request. To that question, Tong had no answer.
Jim Tong of Charter Properties Calls Santana Row a Failure
Sorrento resident Tom Padalutch encouraged Charter Properties president Jim Tong to look ahead three to five years into the future, when all of the new homes at Sorrento East, Positano, and Jordan Ranch are completed and add to the demand for high-end retail at the Promenade. Padalutch went on to share his experience at a master-planned community in Illinois called The Glen in Glenview. At The Glen in Glenview, the developer built the commercial component before the residential component. According to Padalutch, having the commercial element boosted property values and demand for the homes at The Glen.
Tong replied that he does not know anything about Illinois, but in California, “you need to see rooftops before retail.” Tong conveniently left out the fact that he has already secured an agreement with the City of Dublin to build 58 executive homes, 78 traditional single family homes, 121 cluster homes, and 678 condos at Wallis Ranch, which sits across from the 210 homes at Silvera Ranch along Tassajara Road. If Tong truly believes that more rooftops are needed before he can break ground on the Promenade, he has the blessing from City Hall to build nearly 1,000 more homes within Dublin’s borders. When Tong tried to get his 21-story towers approved at Grafton Plaza five years ago, many residents remember he touted his mega towers as the “missing piece of the puzzle” he needed to build out the Promenade. Tong is now trying to convince residents that cramming 82 homes into an area currently zoned as commercial and public/semi-public may kickstart the Promenade, yet he is reluctant to deliver any firm promise that the Promenade will ever happen.
Tong also dropped a bombshell by asserting that the high-end retail project Santana Row in San Jose is a flop. According to Tong, the failure of Santana Row proves that high-end retail could not work in Dublin. This revelation suggests that Tong is now planning either to downgrade his vision for the Promenade from high-end retail to a strip mall with chain discount stores like the Dollar Tree, more higher density housing, or a combination of the two.
Next Steps
Despite the public outcry about the plans to built higher density residential on land previously approved for commercial and public/semi-public use, KB Home and Charter Properties appear to have the three City Council votes needed to get the project approved. Councilmembers Kevin Hart, Eric Swalwell, and Don Biddle have so far been unwilling to stand up for the residents. Instead, they have put the blame for the parking crisis squarely on the shoulders of the residents.
Residents should also remember they are not necessarily guaranteed to have the support of Mayor Tim Sbranti and Councilmember Kasie Hildenbrand on blocking the unpopular residential development at the Promenade. The appearance of additional temporary parking spaces may provide these two with sufficient pretext to change their opinions on this controversial residential project, as they praise Charter Properties for making a good-faith effort to resolve the parking crisis they have helped to create and exacerbate.
The next step for KB Home and Charter Properties is to present their plans to Dublin’s Planning Commission. Residents will have to take matters into their own hands to save the promise of the Promenade.
2:35 AM on February 21st, 2012
Tong also said he didn’t want to build commercial/retail when his Grafton Station project is still 50% vacant. But with all the businesses that continue to move into Dublin, one has to wonder why he is having so much trouble filling in Grafton station.
There is no bigger eyesore than an empty retail /shopping center (take the Nob Hill market shopping center on Santa Rita for example). However, this is not an economy where most businesses – especially smaller/ local businesses and medical offices can commit to moving into a location 5 years down the line. Tong needs to be actively talking about building the structures soon in order to get businesses to commit to moving in.
3:15 PM on February 24th, 2012
The answer to that, my friend, is that he is not trying to help Grafton Station at all, he is just worried about cramming more homes into the area!
I know for a FACT that every business at Grafton Station VERY MUCH wanted to have The Promenade there. They see it as an investment in their own businesses and would love nothing more than to have a bustling center such as Santana Row.
Even the Clubsport that was going to be put there would’ve been helpful.
7:54 AM on February 21st, 2012
As someone who was looking to open a business in Grafton Station, I can tell you why it’s empty.
The per square foot price is outrageous compared to similar properties and few concessions are made to people who want to start up something. Before you even open your doors you are way behind the 8-ball. I honestly have no idea how Cellar 9 is doing it and if they’ll be able to sustain it.
It’s the main reason we ended up locating our business in Livermore.
10:39 AM on February 21st, 2012
Look at the sign from the freeway, they don’t even allow business to put their sign up. Lowes was the only sign there for a long time.
1:35 PM on February 21st, 2012
Well, actually they just put Vito’s sign there as well. I wonder how much they’ve asked for that sign.
3:17 PM on February 24th, 2012
He doesn’t allow them to put their sign up unless they’re a “big name” like Lowes.
11:01 AM on February 21st, 2012
I can’t believe Dublin will permit more of these silly 3-story Dr. Suess houses to be built in the city. They look preposterous on their postage-stamp lots. Families may be fooled by the builders into buying one of these tottering, skinny-a** homes, but I am sure they will have buyer’s remorse once they start living in a home that requires them to hike up and down multiple flights of stairs every time they want to do anything.
Yikes, the laundry needs checking!
Crikey, my stir-fry is burning!
Dang, someone’s at the front door!
Crap, the baby’s crying!
Darn, I need a tool from the garage!
Oops, gotta check my email again!
Argh, the dryer is beeping!
Blimey, the baby’s at the top of the stairs!
Aaaaaaaaaaaaah!
Resales must be very difficult with these silly homes. Plus there’s no way a baby-boomer would buy one of these, because of all the stairs. OK, I guess maybe they’d be good training for couples that compete in triathlons or rockclimbing. Are there a lot of those looking for homes in Dublin right now?
11:58 AM on February 21st, 2012
Timothy- I think that was the general assumption and does not make it look good for commercial / retail development in the Promenade section.
12:18 PM on February 21st, 2012
They allow it. I hear it’s massively expensive though. It’s stupid.
12:20 PM on February 21st, 2012
I meant this as a response to Annon 10:39
1:27 PM on February 21st, 2012
give it up guys. even caruso will not build the promenade even if the land is free. it is just going to be a flop. better build a garage, gas station, convenience store and a starbucks there. i mean that’s all you want right, a coffee shop and store that is walking distance?
1:43 PM on February 21st, 2012
I guess you should ask Caruso first to be assure about his intentions. I don’t think he would pass free land opportunity.
Back on the topic. I think we should really raise our voices and show Crapter Properties, Mr Tong and the City that their rears will be sued until they scream. Promises are promises and Mr Ton is unable to back his case with studies or documents besides his own lies about Catch 21. I personally don’t buy it. Business across 480 are doing well and all vacant retail spaces get filled up. Santa Row was a financial rack once because builder could not sell lofts. Retail and restaurants have been doing pretty good over there.
2:23 PM on February 21st, 2012
most people in dublin dont care about their own neighborhood, that’s why this will happen. too bad. when the highway, street and classroom are all backed up, then people will understand.
4:45 PM on February 21st, 2012
To elaborate on my quote in the article, what I expressed at the meeting was that I’d rather see that land remain vacant UNTIL the economy improves and the time is right to develop it for the retail & semi-public uses that were planned for it. I don’t want it to remain vacant forever, but if it is covered with high-density homes now, it will never become what was promised for the site. The last thing we need is more high-density housing shoehorned into an already over-congested area with depressed home values.
So, yes, I’m willing to wait patiently, in the interest of the long-term quality of life in the neighborhood, rather than see the developer go for the quick buck because things didn’t turn out exactly like he’d hoped when he made his speculative land purchases. From the sentiments expressed by the other homeowners at the meeting, the feeling seems to be unanimous. If it’s true that the city is pushing this development merely in the pursuit of precious fees, let’s tell our city leaders how we feel about their callous disregard for current Dublin homeowners and their relentless desire for the almighty dollar no matter the long-term consequences.
I see nothing positive for the neighborhood from this proposal, and plenty of negative.
Tim Hall
Dublin, CA
4:51 PM on February 21st, 2012
Now about the parking. Based on the parking spaces shown in the proposal, I believe this project will make the parking situation in the Dublin Ranch Villages worse rather than better. I believe that the additional homes will produce more cars outside of their garages than the dedicated parking spaces will accommodate. Keep in mind that these are 3 & 4 bedroom homes, not 1 & 2 bedroom condos. Where are the teenage kids going to park their cars?
Don’t be fooled by the parking spaces located OUTSIDE of the proposed development. Those spaces will not belong to the new homeowners, they will eventually be used by Promenade patrons, and they are almost all parking spaces that will eventually be created whether or not this development gets built, so the developer should not be taking credit for them. If they really want to avoid worsening the parking situation, they should cut down the number of homes, increase the number of dedicated parking spaces, and intersperse the spaces throughout the development on private property rather than locate them outside of the development on public roads.
Tim Hall
Dublin, CA
10:06 PM on February 21st, 2012
I completely concur with the sentiments, no more shoe homes in this area.
6:50 AM on February 22nd, 2012
I am done with the effect of 66% multi unit home development in the last 10 years and its impact on Dublin home prices. My numbers will back up my contention that an increasing price separation is occurring between Dublin and San Ramon/Pleasanton. Our home price problem in our city is really a grave issue. These numbers separates the impact of school API’s. My numbers support the gap caused by overdevelopment of multi unit housing. It clearly backs up my theory that city council and planning commission violated our home ordinance regarding providing “economic advantage” to Dublin home owners. ADB will be publishing my findings soon. I will also release my numbers to our area newspapers.
5:52 PM on February 22nd, 2012
Hi Jing, How do I get a hold of you to help lend my support. I agree, we need to mobilize and not just blog.
2:50 PM on February 22nd, 2012
Who are the morons running the City of Dublin!?? I wish elections were tomorrow so that I could let my voice be heard by voting them OUT of office. Let’s not flush our City down the drain – let’s instead focus on what will be the best for Dublin 3, 5, 7, 10, 20 years from now. Think about the future – not what will bring in a few tax dollars today. To the Dublin City Council Members, please listen to our voices and put a stop to this. Seems like there is a trend where you are just walking over our wishes, our voices – and ruining OUR city. Please stop your actions that will truly limit the true potential of this beautiful city for the future.
4:13 PM on February 22nd, 2012
Concerned Dublin Resident;
After I publish my report, and you feel you want make a change. Join our cause in putting an end to this. Join WELD as we need a lot of volunteers. We cannot put a stop to this if we keep blogging. A citizen action movement is what we need.
8:43 PM on February 22nd, 2012
Email me at jaef0730@yahoo.com. I am about to email everyone on time and place of kick off meeting. Thanks for lending a hand. We need everyone’s support in stopping multi unit housing in our city that kills our property values. I am targeting kick off meeting first or second weekend of March. I am just finishing up my report to release soon.
7:47 AM on February 23rd, 2012
Jing; I want to join the movement too. I just emailed you.
10:53 PM on February 23rd, 2012
Santana row a flop? Could someone forward this article in today’s Mercury news to Mr. Tong? Santana Row is expanding and Mr. Tong is reaching new lows in credibility.
http://www.mercurynews.com/real-estate/ci_20029961
12:06 AM on February 24th, 2012
Hi Anonymous,
We saw the same story online and on CBS5 evening news. None of the residents at the Cellar 9 community meeting believed Jim Tong when he made the outrageous claim that Santana Row is a flop.
11:04 AM on February 24th, 2012
The only problem with Santana Row is the insufficient parking for the thousands of shoppers going there every day. The same thing will happen at The Promenade (and KB Home’s proposed housing project) because parking spaces are abhored by Charter Properties and Dublin’s city leaders. That’s because parking spaces don’t fatten the developer’s bottom line or the city’s residential building fees. Don’t forget that it was the developers’ campaign contributions that got the city leaders elected, not the votes of future residents. That tells all you need to know about who’s calling the shots in Dublin.
Has everyone noticed how Dublin’s city officials behave just like developers? They are only interested in short-term impact fees and have little regard about the long-term quality of life in the new neighborhoods. They’ll just move on to the next development for more revenue.
11:26 PM on February 23rd, 2012
Santana Row concept has potential to be successful. Not all multi unit development are a detriment to home pricing overall. Developments that enhances the city, its uses, and contributes to businesses success including jobs are good contributors. Definitely building the villages, and mixing density to great locations for high end homes have been bad for our city. In the past, I presented to key members of the city council a concept that I truly believe will enhance the city and our home prices went to deaf ears. Someday I want to present Mr James Tong a concept that may work for Promenade. The current plans is just not right for our city. We need fixes that has damaged our housing market prices in our city. That we need to concentrate. We cannot put more multi unit housing without any commitment for high end homes. We need to lower the 66% ratio that damaged our home prices the last 10 years. We need to lower that ratio.
7:58 AM on March 6th, 2012
I was wondering if Tong is the right person for our city, I can think about more than 10 reasons to vote for a better person to serve our community.