Branding a new Can
Paul Clinton
Luxury home developer Kevin Weeda rolled the dice a bit when he began
developing the concept for the Cannery Lofts, on schedule for an
August completion.
The spacious high-end lofts in Cannery Village have no precedent
in the area. Weeda has used a modern, somewhat edgy, architectural
style. And even their ritzy price tags, starting at slightly more
than $1 million, haven’t slowed a stream of interest in them.
“If you talk to any standard home developer, this would be
financial suicide,” Weeda said. “Our goal was to have the project
sold before completion, and we’re slightly ahead of that right now.”
Weeda, since receiving the California Coastal Commission’s
approval on the project in July, has sold 14 of the 22 lofts and
maintains a waiting list of 500 potential buyers. Weeda has set up an
office in the village that simulates the look of the lofts, but these
14 buyers have essentially bought in sight unseen.
Bob Beers, a retired aerospace executive, was the first to
purchase a loft last year.
Beers retired in 1999 and has wanted to get back to his first love
-- painting. Beers earned a master’s in fine arts before getting into
the aerospace field as a marketing executive. He said he is excited
to move into the “live-work” loft, which will be given an industrial
look, so he can create a working studio for his art.
“It’s pretty much a blank canvas,” Beers said. “You can start to
do things and give them their own personality.”
As the first customer in line, Beers has first choice on one of
the lofts, which are expected to be completed in two stages, in
August and October. Of the 22, four will be on the Rhine Channel
waterfront and 18 will be somewhat inland, at 30th Street, between
Villa Way and LaFayette Avenue.
Weeda has said he will complete the four waterfront lofts first --
by Aug. 1. Those are expected to retail for as much as $2.8 million.
The inland lofts are selling for $1.3 million to start.
In addition to Beers’ studio, Weeda said the project should
attract artists, graphic designers, architects and other
professionals. The two-story lofts could also attract some high-end
retail uses.
“They are more affluent, creative professionals than business
professionals,” Weeda said. “It’ll really be a village within a
village.”
With their high ceilings, 3,000-square-foot floor plans, enviable
location and proximity to the area’s top restaurants and shopping,
the lofts have won the admiration of other Realtors.
“It’s very different from anything you’ve seen built in Newport
Beach before,” said Steve High, president of Strada Properties. “It
looks like a fun place to live.”
From a lending standpoint, Weeda has also strayed from the norm.
Financing for the project was in place before the Coastal
Commission’s July 8 approval. Weeda needed special approval from the
commission to exceed the 26-foot height limit by 7 feet.
Weeda pinned down financing from Bank of America. He said the
project required intense lender scrutiny, especially from former
regional manager Tom Farrell and senior loan consultant Teri Brown.
Finding comparable properties to set the market value on the lofts
was a struggle, Weeda said.
“There’s nothing like them in the area,” Weeda said. “But there’s
a lot of residential to buoy value.”
* PAUL CLINTON covers the environment, business and politics. He
may be reached at (949) 764-4330 or by e-mail at
paul.clinton@latimes.com.
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