Daily Business Report-Aug. 7, 2018
SDSU football game at SDCCU Stadium (Credit: Ernie Anderson/GoAztecs)
SDSU extends SDCCU Stadium lease
to allow Aztec football for another 2 years
San Diego State University on Monday extended its lease with the city of San Diego to allow the university to continue playing football at SDCCU Stadium through the 2020 season.
The deal was immediatley attacked by City Councilman Scott Sherman, who described it as an “epic failure (that) follows a long and shameful local tradition of subsidizing sports at taxpayers’ expense,” in a prepared response.
As part of the lease terms, SDSU will pay $1.1 million per season and all of the game-day operating costs associated with the university’s use of the stadium, where it has been a tenant since 1967. Additionally, all net concessions and parking revenue generated during Aztec football games will go directly to the city to assist in covering the operating costs of the stadium year-round.
In addition to the annual rent and revenue obligations, SDSU will also assist the city in marketing the stadium and finding additional revenue-generating events.
The two-year lease extension provides SDSU with a short-term solution until the long-term future of the stadium site is determined.
“During our negotiations we always placed a high importance on assisting the city in reducing its financial investment in the stadium,” said Tom McCarron, vice president for business and financial affairs and chief financial officer at SDSU. “The agreement approved today acknowledges our commitment to being a good partner with the city.”
Councilman Sherman said the stadium site is an annual loser for San Diego taxpayers, costing the city over $7 million a year. “If the stadium was shut down as previously planned,” he said, “those funds could be used to improve neighborhood services such as public safety or road repair. Instead, the City Council decided to fund a football program.”
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RM Realty acquires Enclave
at Lake Murray for $10.25 million
RM Realty has acquired SENTRE’s 35-unit apartment property Enclave at Lake Murray for $10.25 million. The newly renovated, garden-style property is in La Mesa.
Enclave at Lake Murray is located at 5476 Kiowa Drive. Originally purchased by SENTRE for $7.1 million in December 2013, the property features two-story townhome-style units with one- and two-bedroom floor plans totaling 28,950 rentable square feet and common area amenities, including a swimming pool, spa, grilling area, dog park and fitness center. The property was 94 percent occupied at closing.
HFF exclusively marketed the property on behalf of SENTRE
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Four Points by Sheraton San Diego to undergo
$3 million renovation under RAR Hospitality
RAR Hospitality has signed a contract to manage Four Points by Sheraton San Diego, 8110 Aero Drive, and will spearhead a $3 million hotel renovation.
The hotel has 223 rooms, plus Citrus, a contemporary restaurant and bar offering breakfast, lunch, and dinner, over 12,000 square feet of meeting space including two ballrooms, on-site, nine-hole executive golf course, theater and learning center, and fitness center.
“An ongoing multimillion-dollar renovation and changes to the service profile guided by RAR will help to reposition and elevate the hotel in every aspect,” said Bob Rauch, CEO and founder of RAR.
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Scrapping the Big E could cost
Navy as much as $1.5 billion
Navy Times
Scrapping the world’s first nuclear-powered aircraft carrier could cost the Navy as much as $1.5 billion and take more than a decade to complete, according to the Government Accountability Office. But the final price tag and the future timetable for dismantling the decommissioned Enterprise ultimately will depend on whether the Navy can contract with a private shipyard to finish the job or make its Puget Sound Naval Shipyard do the work. The private sector option would be cheaper and faster, but the project is tangled in bureaucratic red tape, the federal watchdog agency warned in a report released on Thursday.
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ACADIA and Neuren Pharmaceuticals
to develop product for Rett syndrome
San Diego-based ACADIA Pharmaceuticals Inc. and Neuren Pharmaceuticals Limited, an Australian company, announced an exclusive agreement for the development and commercialization of trofinetide for Rett syndrome and other indications.
Rett syndrome is a debilitating neurological disorder that occurs primarily in females following apparently normal development for the first six months of life. Rett syndrome has been most often misdiagnosed as autism, cerebral palsy, or non-specific developmental delay.
Neuren retains rights to develop and commercialize trofinetide for all indications outside of North America. Under the agreement, it is to receive $10 million upfront for potential milestones of up to $455 million and royalties.
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Jesse Perez named director of Old Globe
and USD Shiley Graduate Theatre Program
Celebrated actor and choreographer Jesse J. Perez has been named the new director of The Old Globe and University of San Diego Shiley Graduate Theatre Program. Perez comes to San Diego after 12 years of teaching at The Juilliard School in New York.
Perez will join the faculty of the University of San Diego’s Department of Theatre and oversee the internationally renowned master of fine arts in acting program, which is a joint effort between the university and The Old Globe.
His list of credits includes acting roles in Off Broadway productions, international exhibitions, dance productions, television shows, and movies, including Party People (The Public Theater), The Father and A Doll’s House (Theatre for a New Audience), Up Against the Wind (New York Theatre Workshop), Lucia di Lammermoor (The Metropolitan Opera), Venice Biennale, Salzburg Festival, “Law & Order,” “Life on Mars,” American Splendor, and Adopt-a-Highway. He has been company choreographer for the Lake Lucille Project since 2003, choreographing all of Anton Chekhov’s major plays under the direction of Brian Mertes and Melissa Kievman.
In advance of his role with the Shiley Graduate Theatre Program, Perez will play Richard III in La Jolla Playhouse’s world premiere production of “Seize the King by Will Power,” running Aug. 21-Sept. 16.
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Gubernatorial Appointments
Richard H. Leib, 61, of Solana Beach, has been appointed to the University of California Board of Regents by Gov. Jerry Brown. Leib has been president and chief executive officer at Dunleer Strategies since 2018. He was executive vice president and general counsel at Liquid Environmental Solutions from 2002 to 2017. Leib was vice president at Lockheed Martin IMS from 1999 to 2001 and executive vice president and general counsel at U.S. Public Technologies from 1994 to 1999. Leib was co-founder of the Investment Management Group at Stone and Youngberg LLC from 1992 to 1994.
He was a legislative assistant in the Office of California State Sen. Gary Hart from 1982 to 1988 and executive director at Agenda for the ‘90s from 1988 to 1990. Leib was a Coro fellow from 1979 to 1980. He is a member of the Solana Beach School District Board of Education.
Leib earned a Juris Doctor degree from Loyola Law School and a Master of Public Policy degree from Claremont Graduate University. The position requires Senate confirmation and there is no compensation. Leib is a Democrat.
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Personnel Announcements
Jay Carter and John Homan join Shoreline Partners
Shoreline Partners announced the addition of Managing Directors Jay Carter and John Homan. They bring more than 50 years of combined business owner, securities, legal and M&A experience to the firm that serves businesses between $5 million and $200 million in revenue.
Before Shoreline, Carter spent more than 20 years in Charlotte, N.C., where he was the founder of Remington Capital Securities, a FINRA licensed broker-dealer serving middle-market clients across the Southeastern U.S. He is a veteran investment banker with experience across many industries, including manufacturing, industrial distribution, food and beverage, consumer products, technology and business services.
Carter also spent more than 10 years in commercial banking and private banking and was senior vice president at Bank of America prior to founding Remington Capital.
Homan’s career includes acting as chief operating officer of a venture capital firm. He also founded a company that he guided through the IPO process on NASDAQ. Additionally, Homan played a role in the development and commercialization of the magnetic resonance imaging (MRI) technology. He graduated from the University of Akron with a bachelor’s degree in accounting and marketing.
Homan is also a graduate of Cleveland Marshal Law School, earning a Juris Doctorate. He completed the Executive Management Program at Case Western Reserve University, the executive course in marketing at the American Management Association.
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Renée Lawrence joins Burwood Group
Burwood Group Inc., an IT consulting and integration firm, announced the addition of Renée Lawrence as director of product marketing.
Lawrence joined Burwood in June 2018 and is responsible for product marketing and go to market programs for managed operations, cloud orchestration, and Burwood’s as-a-Service solutions.
Lawrence has extensive experience with data center operations and infrastructure technologies. Prior to joining Burwood, she held senior product marketing, product management, and global alliance roles with Ingram Micro, VCE, EMC Corporation, Centurylink, and Exodus Communications. She holds an MBA from University of San Diego and a BA from University of California, San Diego, and has studied Strategic Marketing Management at Stanford University.
