Sordid politics may hurt economy

Dave Brooks

Huntington Beach has all the makings for an economic renaissance, but

budget problems in Sacramento and an image of political corruption at

City Hall could be roadblocks to growth, city leaders said.

About 150 city and business leaders attended the 18th annual

Huntington Beach Economic Conference at the Hilton Waterfront Tuesday

and walked away with a general positive outlook for the city’s

future. The event, sponsored by the Huntington Beach Chamber of

Commerce, focused on the city’s commitment to developing its tourism

sector, although one speaker said the city could be facing a

leadership deficit.

“The time for leadership is now,” said Steve Bone, president of

the Robert Mayer Corp., which owns the Hyatt Regency Huntington Beach

Resort & Spa and the Hilton Waterfront. “We need these individuals to

step to the plate now.”

Although Bone made no specific references to city government, his

comments came just one day after Huntington Beach Mayor Pam Julien

Houchen pleaded not guilty to mail and wire fraud charges in an

Orange County federal courtroom. Her plea comes just a few years

after former Mayor Dave Garofalo pleaded guilty to one felony and 15

misdemeanor conflict of interest charges.

Despite the bad publicity, the city will continue to move ahead

with its plan to market Surf City as a beach destination. Conference

and Visitors Bureau President Doug Traub said his agency launched a

survey of 40,000 Orange County visitors, with the help of the Orange

County Tourism Council, and found that the Huntington Beach Pier was

the fifth most visited attraction in the county behind Disneyland and

Knott’s Berry Farm theme parks.

The survey found that about 30% of visitors to Huntington Beach

make more than $100,000 a year, but the city needs to continue to

pursue ways to capture more of that money.

“Our survey found that only 75% of visitors to the pier actually

cross [Pacific Coast Highway] and visit Main Street,” Traub said.

“That means that we’re losing out earning potential from one-fourth

of our visitors.”

Hopefully that will change with the new Downtown retail projects,

said Economic Development Director David Biggs, who hopes two new

developments, The Strand and Pacific City, slated to be built along

Pacific Coast Highway, will help the city capture a larger share of

the county’s retail business.

Officials from both projects were on hand to answer questions

about the developments.

The Strand, bordered by Main Street, Walnut Avenue, Pacific Coast

Highway and 6th Street, will include a 149-room Residence Inn. Jeff

Kreshek of CIM, the development firm handling The Strand, said his

group has signed leases with Urban Outfitters, Pacific Sunwear,

Abercrombie and Fitch and Johnny Rockets.

He said the project should be finished by the beginning of 2006.

“We hope this project fills in a missing piece of Downtown,” he

said.

Pacific City, slated to be built along Pacific Coast Highway

between Huntington and First streets, would provide a retail

experience that couldn’t be found elsewhere, developer Makar

properties representative Lisa Streidl said.

Although she would not name specific retailers, Streidl said the

project would include vendors offering an unparalleled shopping

experience. She estimated Pacific City would be ready by early 2007.