Poway City Council approves changes to troubled The Outpost project

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A plan from mixed-use project developer The Outpost to increase the number of homes to a total of 72 was approved in a 4-1 vote by Poway City Council on Tuesday evening.

But that was after a lick from city council members about delays in the much-anticipated project and a September bankruptcy filing.

The outpost, which opened on Poway Road in August 2018, was meant to set the tone for the region and serve as an example, board member Caylin Frank said.

“It has had a negative impact on our community,” Frank said. “We want you to be a good neighbor. “

Board member Dave Grosch, who voted against the plans, said he needed more time to think about the changes. He asked the developers for a timeline, which he could post online to hold them accountable.

“We’ve been taking shit for two years – at least two years,” he said.

Revised plans for the three-story project include a reduction of 24,342 square feet to accommodate the new units – an addition of 19 homes for a total of 72 residential units.

The project will look like what the city council previously approved, according to a staff report. Nine of the units will be affordable for low-income residents, according to the report.

The original city-approved plan called for 53 residential units, a food court, a fitness center, and two floors of underground parking. Under this plan, residential would have accounted for 60 percent of the total 100,000 square feet and commercial uses would have occupied 40 percent.

Under the revised plans, the dining room will be reduced by almost half and will now be shared as an outdoor space for the dining room and residential units. Instead, the space in the fitness center will be used for 13 additional living units.

The project, once touted as a model for the development of a pedestrian precinct along Poway Road, is about 25 percent complete, a lawyer for the developer said. The underground car park and the foundations are 80 percent complete.

Howard Blackson, who spoke on behalf of the developers, said he was sorry for any inconvenience to the project, including the closed sidewalks.

“We sincerely apologize,” he told the council. ” We move forward. It has been a difficult time for everyone.

Blackson said the project is expected to be completed by summer 2023.

Mayor Steve Vaus has said he has been a cheerleader for the project from the start.

“I was happy to defend him here,” Vaus said, adding that the new plan was not so exciting for him. “It’s embarrassing to have a hole in the ground.”

The 1.58 acre business is located on the south side of Community Road, east of Bowron Road.

The proposed changes include two four-bedroom townhouses, four three-bedroom lofts, 12 two-bedroom residences, 29 three-bedroom homes, one four-bedroom, three two-bedroom mezzanines, 17 four-bedroom mezzanines, and four four-bedroom mezzanines. four bedrooms. flex.

The revised plans include the conversion of 6,345 square feet of commercial office space on the second floor into seven residential units.

Blackson said the project will continue successfully despite filing for Chapter 11 bankruptcy. Poway Property LP, the owner-developer of the project, filed for bankruptcy on September 13. The largest amount, $ 21 million, is owed to UC Poway Post Holder, LLC.

The developer has listed assets of $ 50,000 or less, depending on the bankruptcy filing.

The project, the first of its kind to be approved as part of a specific Poway Road plan update, has suffered some setbacks since construction began. In 2019, the developer announced that completion would be delayed for a year due to complications from removing more groundwater than expected during excavation.

In July of this year, a subcontractor for the project, PERI Formwork Systems Inc., filed a lawsuit against Poway Property LP, Capexco and the general contractor for the project, KD Stahl Construction Group Inc., alleging that it had failed not been paid for the concrete formwork and shoring materials he provided for the project.

Also at Tuesday’s meeting, Danny Sherlock, president and CEO of the Boys & Girls Club of Greater San Diego, told board members that the developers had rented space at Community Park to store equipment. Sherlock stated that they still owed money for the use of the property.

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