SAN JUAN CAPISTRANO : Developer May Get Back Some Dig Funds

A developer who spent thousands of dollars on city-ordered archeological digs before putting up a new development in the historic downtown area should be reimbursed part of the money, a city official has proposed.

City Manager Stephen B. Julian, in a recommendation that will go before the City Council tonight, said that developer Paul L. Farber & Associates should be reimbursed $277,365 because the archeological investigations were ordered by the city before work could begin on the controversial Franciscan Plaza development.

Farber spent $379,047 to pay for the underground exploration before he was allowed to build the 18,000-square-foot, upscale plaza that includes restaurants, boutiques and a five-screen cinema. Construction was also delayed by nine months because of the study, he said.

The Spanish-style plaza at the corner of Verdugo Street and Camino Capistrano will be open by Christmas, Farber said Monday.

As part of the proposed reimbursement deal that the City Council will consider tonight, Julian will also suggest that all artifacts that were uncovered at the Franciscan Plaza be turned over to the Community Redevelopment Agency.

The historic finds include foundations from the former Valenzuela family adobe house, believed to date back to the early 1800s, and foundations from the Juan Avila adobe, built in the 1840s and destroyed by fire in 1879. Other artifacts documented by archeologists were a 1904 eagle nickel and old religious medals.

“Legally, there are limits to what you can ask a developer to do,” Julian said, explaining why the city is offering to reimburse Farber. “The costs associated with the archeology work were extraordinary.”

If the reimbursement package is approved, the redevelopment agency would pay 50% of the amount Farber spent in testing the site and 75% of what he will spend to preserve the finds. State law requires cities to reimburse developers a maximum of 50% of the costs associated with archeology.

“I think it’s very fair,” Farber said of the arrangement for the city to own the resources earmarked for display in his shopping center.

“The findings should belong to the community and not to a developer,” Farber added. “Hopefully, someday, they can be displayed in a museum. I’m very happy to hand them over.”

The proposed agreement between the city and Farber would also give the city control of 131 parking spaces in a four-level structure adjacent to the plaza. The spaces would be available during the day to rail commuters using the nearby Capistrano Depot.