GARDEN GROVE, CA-San Diego-based Douglas Wilson Cos. has been named court-appointed receiver for the eight-story, 126,510-square-foot Garden Grove Galleria in Garden Grove. As court appointed receiver, DWC is responsible for operating, preserving and managing Grove Galleria the partially constructed building.
Located at 10080 Garden Grove Blvd., the structure’s first four levels feature two, double-height commercial floors at the front, with four floors of parking at the rear. The fifth floor will be used for parking while floors six through eight will offer 66 residential condominiums.
According to CEO Douglas Wilson, "The Garden mixed-use property has the potential to become an anchor project and economic engine for this section of Garden Grove’s Korean District." He tells GlobeSt.com that unfortunately today, the building is partially built, so although it isn’t an economic engine right now, in the future, "when someone is in place that wants to proceed and complete the project, it is a pretty significant project in the area."
The Garden Grove Galleria was a "pretty significant mixed-use project" with a development projected to cost around $50 million, Wilson tells GlobeSt.com. Although he didn’t mention who the developers were, he says that they were a local entity. "It is just unfortunate because as with many of these similar projects, it was a result of some pretty bad timing due to all these macroeconomic conditions."
As for his company’s plan, he says that his firm is currently going through an analysis of what it would cost to complete the building, which is now at about 25% to 30% complete. "At this point, we don’t have an endgame…we are in the evaluation phase" he says. In a lot of the more standard residential projects, he says, his company has stepped in and completed construction and sold off the project, but in this case, due to the size and complexity, it’s a little early to say. "The other option would be to sell the project in its current condition and then allow someone else to come in and complete it," he adds.
This particular project, Wilson says, "is somewhat symptomatic of what’s happening right now. You have financial institutions sitting on a lot of partially built projects," he says. "We have a number of them around the country that we are actually stepping in and completing construction and selling the asset in a completed state, but in this one, my gut tells me we probably won’t because of the complexities of the mixed-use nature of it, but you never know."
Douglas Wilson Companies operates six offices around the US, including Atlanta, Las Vegas, Miami, Orlando and San Francisco. To date, the company has provided problem resolution for more than 600 projects involving assets valued in excess of $12 billion.
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Natalie Dolce
Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.
