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By Karen Robes Meeks
LONG BEACH - An NFL player and Long Beach native is one step closer to developing the site of a former blighted recycling center in Central Long Beach.
The Long Beach Redevelopment Agency board Monday voted to enter into an exclusive negotiating agreement with professional linebacker Willie McGinest's company, Wilmac Enterprises, Inc., for the development of a commercial project on the northeast corner of Pacific Coast Highway and Pine Avenue.
The agency and Wilmac, a private real estate firm established in 1998 that specializes in neighborhood retail, will spend the next 120 days (with an optional 120-day extension) to discuss the terms of the project, including what could be developed on the site.
The vacant 17,188-square-foot lot was a former recycling center that drew homeless people and drug dealers to the neighborhood. The agency purchased the lot a few years ago for about $1 million.
McGinest, who spoke at Monday's RDA meeting, said he is excited and enthused to be part of the vision for bettering Long Beach.
"I've been wanting to put my footprint in Long Beach for a long time," said the former Long Beach Poly and USC star who played on three Super Bowl championship teams with the New England Patriots.
Before approving the agreement, board members each spoke favorably about the collaboration with McGinest.
"I hope this is just the beginning," said board member Vivian Tobias. "Long Beach sent a lot of
wonderful people out into the world to put Long Beach on the map. ... And I am very, very happy to see that you have come back to invest in the community that desperately needs that investment."Asked about future projects in town, McGinest said he is definitely interested.
"One at a time," he said. "Of course we have other projects that we're interested in, but you have to crawl before you can walk."
Vault loan OK'd
The RDA also voted to lend $500,000 in Downtown Project Area funds to Rudy Medina and Luis Kaloyan of 350 Entertainment Group for the development of The Vault 350.
The loan, which would not be doled out until the collateral needed is in place, would be used for "working capital and to purchase furniture, fixtures and equipment" for the entertainment venue at 350 Pine Ave.
Medina and Kaloyan's company would receive a $500,000 loan with a 3.5 percent fixed annual interest payable in 10 years or amortized over 15 years. Developers would pay about $3,574 a month.
A credit analysis was done "to assure that this loan was a loan that is not at risk to the Redevelopment Agency," said Redevelopment Bureau Manager Amy Bodek.
"It is a stable loan and it is a loan that is worthy of our investment from a financial standpoint," she said.
Medina said he and Kaloyan - who owns X1 FM Network Radio, an interactive live broadband radio station - "are deep in this deal," spending more than $5 million in renovating the building, which they hope will be a multifaceted venue that could house concerts and private and public events when it opens in early 2010.
They also are in the midst of securing "major league commitments" from performers such as Natalie Cole and expect to start selling tickets on the Web next month for Vault 350's 2010 lineup, said Medina, who owns Medina Investments and Development, a boutique urban infill firm.
Board members supported the loan, saying the project will help beautify and enliven the northern portion of Pine.
The developers also received a $250,000 facade improvement grant the agency supported in September, which will be used to outfit the exterior with a cinematic marquee, box office and presentation case to announce programming and merchandising opportunities.
San Diego natives Medina and Kaloyan purchased the venue for $3.5 million from foreclosure about a year after its last owner, Mitchell Stewart of Network Development LLC, died of a heart attack.
karen.robes@presstelegram.com, 562-499-1303