Council approves Marinapark agreement

Mathis Winkler

NEWPORT BEACH -- Greenlight played its first role in city government

Tuesday as council members approved a three-year exclusive negotiation

agreement with a developer for the city-owned Marinapark site on the

Balboa Peninsula.

Councilwoman Norma Glover, who pulled the item from the meeting’s

consent calendar, cast the only dissenting vote and said she didn’t think

the proposed $30-million luxury hotel would get voters’ approval.

“I consider myself a capitalist. I consider myself to be

pro-business,” Glover said, adding that she thought the project was

“good.”

“But I do not believe that this project will have community

acceptance,” Glover said. “In my opinion, it’s not worth it for the

community to tear itself up now that we’ve just gone through Measure S.”

Measure S, overwhelmingly approved by the city’s voters Nov. 7, will

put before a citywide vote any development that allows an increase of

more than 100 peak-hour car trips or dwelling units or 40,000 square feet

over the general plan allowance.

The city tentatively chose Newport Beach-based Sutherland Talla

Hospitality as its exclusive negotiating partner last August after eight

other proposals had not met a July deadline to submit more information.

The approval was contingent on whether the developer could reach a

compromise with members of American Legion Post 291, whose hall sits on

the site, on the future of the post at Marinapark.

The project would include 156 rooms in 18 Italian-style villas, as

well as two vintage 1950s yachts with luxury suites. Also proposed are a

spa, tennis, sailing and rowing clubs, and shops and restaurants.

The city could earn as much as $30 million in lease payments, hotel

taxes, and food and beverage taxes over the first decade, according to

the proposal.

While Stephen Sutherland, a planner with the company, has said a new

Legion hall would be built in a different location on the site, the

legionnaires so far have insisted on staying put.

Tim Bercovitz, one of the Legion’s board members, even asked council

members to postpone a decision until the Nov. 28 meeting so legionnaires

could have more time to review the agreement.

Newport Beach resident and environmental activist Nancy Skinner also

suggested that it was premature for the city to enter an agreement with

the developer.

“I don’t understand why you would take the second step before the

first,” she told council members, adding that the developer should first

reach an agreement with the legionnaires before getting a chance to enter

into an exclusive agreement with the city.

Others on the council argued that Measure S would ensure that

residents had the final say on the matter.

“All the meetings, all the agreements -- it’s not going to go anywhere

unless the people of this city think it’s a good idea,” said Councilman

Dennis O’Neil, who described this “supreme safeguard as the very

foundation of Measure S.”

“You are taking a tremendous risk,” O’Neil told Sutherland at

Tuesday’s meeting. “But if that’s what you want to do, be my guest.”

City Atty. Bob Burnham said the developer will have to come back to

the city after 180 days and present a draft proposal of the project. At

that point, council members and the public will be able to comment on the

project and council members could decide to either reject, modify or

approve the proposal.

Since the project likely will trigger a vote under Greenlight,

residents would decide on the proposal once it has been subjected to

public hearings and city review.