Long Beach Press-Telegram
 

Monday, March 5, 2007

City Council to consider QM area growth plan

 

By Mira Jang
Staff writer

Local: Guidelines would cover retail development of 45-acre site near famous docked ship.

LONG BEACH - Months after the city reached a tentative deal with Queen Mary operators to settle a rental dispute, the City Council on Tuesday will consider approving a set of guidelines for potential developers of the 45-acre piece of land near the historic ship.

City staff will ask the council to pass the "Queen Mary Guiding Principles for Development," a five-point, general blueprint for bidders interested in taking over the lease. The minimum bid for the remaining 58 years of the 66-year lease is $40 million.

The principles include recognizing the importance of the Queen Mary to the city by developing projects that support the ship's restoration, maximizing use of the waterfront location by creating a mixed-used project, using energy-efficient techniques, connecting the site to the rest of downtown and complying with land use and zoning laws.

There are at least two bidders, and according to Howard Ehrenberg, a trustee assigned by a judge to run the property near the ship during the bankruptcy phase, several more are interested. A developer could be chosen as early as this summer.

Community Development Director Patrick West said the future of Queen Mary has a significant impact on the rest of the area.

"It's extremely important," he said. "It augments what's happening here."

Downtown has been undergoing a resurgence with developments along Pine Avenue, Shoreline Village and the Pike at Rainbow Harbor. Councilwoman Suja Lowenthal of the 2nd District has suggested adding more walkways, bike paths and public transportation to connect visitors with all of the major downtown attractions.

In December, Lowenthal asked for a study session to figure out how to remake the Queen Mary and its land. She said it's critical for the developer to seek community input and to participate in the Downtown Visioning process.

"These principles do not remove our obligation to engage the community," she said. "This is just the first step."

Councilman Gary DeLong of the 3rd District said the site should integrate both community and business interests.

"It needs to be a blend that is community-serving and revenue-generating," he said. "It should maintain the heritage of the Queen Mary and make better use of the land to create a place where people can live, work and play."

Queen's Seaport Development Inc., which leases the ship and surrounding land from the city, declared bankruptcy in 2005.

As for the two bidders, Ehrenberg said the first came forward in September and requested a 120-day due-diligence period. The second placed its bid Dec. 8 and has not yet met with city officials.

Both bids, Ehrenberg said, cover the full amount of the secured debts against QSDI, which is about $40 million.

Staff writer Wendy Thomas Russell contributed to this report. Mira Jang can be reached at mira.jang@presstelegram.com or at (562) 499-1278.