Gateway Chula Vista Secures $19M Loan

CHULA VISTA, CA-A collaboration of real estate developers known as Gateway Chula Vista LLC has secured a $19-million permanent loan for Phase I of the 361,000-sf, $80-million office and retail project that it is developing in conjunction with the Chula Vista Redevelopment Agency. A Midwest bank has provided the loan to Gateway Chula Vista LLC in a transaction arranged by Scott Abell and Jesse Lowe of Burnham Real Estate’s Capital Markets Group. Known as Chula Vista Gateway, the office and retail project is being built in three phases that are rising at 303 H Street. The first phase, which was completed in June 2002, is comprised of a five-story facility that houses 102,259 sf of office and retail space. Immediately after completion, Phase I had already attracted such tenants as American Water Works Service Co.; San Diego County Credit Union; Quizno’s; Health Care International, Starbucks Coffee House; Town Pa Ma Express; External Images; Global Fax Network; Chiyoda Integre of America; Velure Land Investments; Mountain West Real Estate; Property Service Management, LLC Executive Suite Center; and the US Attorney’s Office. Currently, the Phase I facility is nearly 100% occupied.Phase II of Gateway Chula Vista broke ground at the beginning of this year and is expected to encompass approximately 129,000 sf of retail and office space upon completion. In addition to the mixed-use building, which will stand six stories high, the second phase will also contain a parking structure. Completion is currently expected for 2005.Work on the third phase of the project is expected to begin as construction on Phase II wraps up. This Phase III component will consist of a six-story facility housing more than 260,000 sf of commercial space.Proponents of Gateway Chula Vista, which is touted as the largest development to rise in Downtown Chula Vista in the past two decades, say the project will help boost the area’s economy.