The Sunnyvale Sun

News

Divorce may be imminent between city, FourthQuarter

Developer is in breach of its contract to revamp downtown

By JASON GOLDMAN-HALL

The "marriage analogy" once commonly used to describe the partnership between the city of Sunnyvale and Fourth Quarter Properties was again heard on June 19, in the same building, the Sunnyvale Senior Center, where it was first used.

But now, according to Sunnyvale residents, the honeymoon is over, and it's time for marriage counseling.

It's been more than two weeks since the city received its last response from Fourth Quarter Properties regarding the continued delays on the Town Center Mall redevelopment project.

The city is still wrestling with the developer's response, which did not offer reasons for the delays, but instead proposed additions and changes to the plan, which include raising the number of houses to just under 500 and possible adding a grocery store and boutique hotel.

At a community meeting June 12, Sunnyvale communications officer John Pilger addressed a small group of concerned citizens and shared what information he could. He also addressed a number of floating rumors.

"Part of the misinformation has been that the project has changed," Pilger said. "It hasn't."

According to the June 20 City Council meeting agenda, the council met before June 20 meeting to discuss Fourth Quarter's response. Vice Mayor Otto Lee said the directions were given at that meeting, but no action was taken. Because the meeting was a closed session, no further information was given.

But with continued delays, Pilger said the city has missed any chance to open in 2006 or 2007, and therefore a 2008 or later opening is a best-case scenario.

While this means the mall remains empty for that time, it also means the city is losing what could have been as much as $2 million in annual sales tax revenue.

Pilger said the city is going to work to update the redevelopment website, www.sunnyvale.ca.gov/Departments/Community+Development/Downtown+Development, more often to make sure the public is up-to-date on the process.