Santana Row - 10 Year Anniversary

November 7th, 2012 is going to be a major milestone for Santana Row as it will mark the project's 10th year of existence. I remember those early days leading up to the grand opening well. Much like the San Pedro Square Market has been my favorite project of 2011/2012, back in the early 2000s I was watching Santana Row like a hawk. Well before SR opened its doors I was taking hard-hat tours, researching Federal Realty, and hunting for any available news on what retail was coming.

On August 19th, 2002 I was in London and just as I was getting out of the shower I heard something on TV about a huge fire engulfing an under-construction project in Northern California. Sure enough, it was Santana Row. The news definitely put a crimp in my vacation.

In early November that year, I snuck into Federal Realty's investor preview party with a college friend. Despite the fire they were still opening, and the finished product looked phenomenal--truly unlike any Silicon Valley project I have ever seen before. While only a handful of retail shops and a single restaurant (!) were scheduled to be part of the grand opening, I got the overall vision of what Santana Row could become. I went home, and immediately made plans to move whatever little stock I had at the time to Federal Realty, which ended up becoming the best investment I ever made.

Over the next two years I was at Santana Row at least two or three times a week. Everyone at Blowfish knew me by name and I dragged all my friends there every weekend for drinks. Any out of town guest that came to visit me would get a thorough tour and history lesson of every block in the Row (...did you know that is a real church steeple imported from Italy serving as the entrance to the flower shop?).

Flash forward to 2012, and you have what is undoubtedly the most successful mixed-use project in the United States, with constant activity 7 days a week, flagship retailers, and restaurant revenue per sqft that rivals the busiest streets in New York. The scary thing is it will probably get even busier over the next 2-3 years.

Now it's time to take a look back at the history of Santana Row with the press release below. There will be some special events to commemorate the 10 year anniversary, so stay tuned closer to Nov 7th!

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Silicon Valley’s, Mixed-Use Development Still Booms A Decade Later Santana Row plays its part in Silicon Valley’s current economic resurgence

San Jose, CA (July 5, 2012) - Federal Realty, which helped spearhead the interest among developers in urban Main Street mixed-use environments opened one of the most ambitious projects of its kind in the United States when it developed the $450 million, 42-acre mixed use village-within-a-city, Santana Row. Last year alone, this development contributed approximately $24 million in sales tax revenue for the city of San Jose and Federal Realty has paid $40 million in property taxes since purchasing the land in 1997. Santana Row is a residential, office, shopping, dining, and entertainment district built around a main street in San Jose, California. The size and scope of Santana Row make it Federal Realty's largest development to date and one of the nation's largest mixed-use projects constructed by a single developer.

A decade after opening, and celebrating its 10 year anniversary on November 7th 2012, Santana Row is firmly established as a thriving shopping and dining destination, combining office, residential and a 5-star hotel. The shopping center boasts a lofty 30,000 visitors a day, both local and global, and has created a sense of place in Silicon Valley. Santana Row ranked third among the top 10 local searches by San Francisco residents in 2011, according to the San Francisco Chronicle.

Santana Row's pedestrian-friendly sidewalks consistently draw a desirable demographic of shoppers and diners. The location on the corner of Winchester and Stevens Creek Boulevards in San Jose is what attracted Federal Realty to this project. It is one of the most affluent areas in the country with the average household income more than $94,000 and visitors from Asia and Europe are increasingly spending time and money at Santana Row.

With 70 shops and boutiques, average tenant sales since opening have increased 50% from $400 to $600 per sq ft, reaching levels comparable to the top fortress malls in the US. With over 20 restaurants, total food sales are approaching $100 million, with sit down restaurant sales over $900 per sq ft,, as, or more, productive than restaurants in the country’s top urban locations. As sales increase, so does the revenue generated for the city of San Jose. In step with Silicon Valley's current economic resurgence, Santana Row’s upscale, 403 residential units are highly sought after, and its office space is fully leased to a diverse mix of businesses that value the campus-like amenities the property offers. Federal Realty is underway with a multiphase, $300 million expansion.

“The combination of our close proximity to high‐quality Silicon Valley neighborhoods and the richly varied offerings of Santana Row make this an exciting place to live and work. As a result, our existing office and residential space is currently 100% leased and we continue to receive significant interest from the market says Jan Sweetnam, Vice President, West Coast Chief Operating Officer, Federal Realty Investment Trust.”

Santana Row’s amenities include 20 restaurants, a Club One Fitness Center, two parks, two plazas, Hotel Valencia, 403 luxury rental apartments, 219 residential condominiums, nine spas and salons, on-going events including high-profile fashion shows as well as a wide range of high quality retail shops.

Expansion plans include a resort-style residential community of 212 rental homes, expected to be completed fall 2013. The addition of this residential community will bring the total number of rental homes at Santana Row to 615 which, along with 219 privately owned condos that Federal Realty sold in 2005-6, bring the total number of on-site residents to approximately 1,500. Plans are also being finalized for a Class-A Technology Office Building, to be built on at the corner of Winchester Boulevard and Olsen Avenue. The six‐story tower will house approximately 220,000 square feet of office area along with over 600 parking spaces. The office space is designed with large, open 36,000 square foot floor plates and ceiling heights over 13’ tall to provide superior natural light and is expected to receive LEED Gold certification. The building’s location on Winchester Boulevard in Santana Row provides easy access to and from Highways I‐280, I‐880 and 17. Plans are also being formulated for a “capstone building” at the end of Santana Row which will include a signature plaza, office and retail space, and below-grade parking.

History 

Santana Row's history is as spectacular as its Mediterranean-influenced architectural design, lushly landscaped parks and array of shopping, dining and living choices.

Exactly a month before it was slated to open, an 11-alarm fire raged through the largest structure, destroying 538,000 square feet of retail space and housing units. The Aug. 19, 2002 fire was the largest in San Jose history and cast doubt on the development, conceived during the era of the Internet bubble when Silicon Valley's rising income, influx of new residents and tech dominance seemed endless.

Santana Row was envisioned during those boom years as an upscale neighborhood of shopping and living, with a charming main street and central courtyard, restaurants, theaters and a hotel. It was deemed a "smart growth" strategy for the city and then-Mayor Ron Gonzales was confident in its future.

Construction began in the summer of 2000 at the tired and dated shopping center formerly known as Town & Country Village. Despite the growing shadow of an economic downturn, the project continued, buoyed by statistics that showed the San Jose metropolitan area was still spending above the national average and ranked second in the U.S. in median household income, according to Claritas/Market Statistics. At the same time, the area's large concentration of Asian and Asian Americans and their well-known penchant for designer goods made Santana Row a desirable draw for high-end retailers. “An obsession with quality, aesthetics and brand loyalty seems to define many Asian customers and that should bode well for certain Santana Row shops”, said C. Britt Beemer, founder and senior retail analyst at America's Research Group.

80 days after the Aug. 19th fire, Santana Row opened on Nov. 7 in the midst of the 2002 holiday season with a mix of 35 local retailers and luxury brand stores that included BCBG Max Azria, Gucci, Sur La table, Diesel and Anne Fontaine. Also on The Row: art galleries, salons and restaurants such Left Bank Brasserie and Straits, which had other popular Bay Area locations and saw growth opportunity at this new location. In a short time, it was compared to Rodeo Drive in Beverly Hills by The Robb Report, the global luxury lifestyle magazine.

Shortly after opening in January of 2003, the boutique, 212-room Hotel Valencia opened. Hotel Valencia now attracts nearly 80,000 business, group and leisure travelers annually. Momentum continued to thrive and regional and national coverage of Santana Row attracted additional tenants including big box retailer, The Container Store in fall of 2003 and a six-screen CineArts Cinema in 2004. By the end of September 2004, 92 percent of Santana Row’s retail space was leased to 115 tenants with 101 stores open and operating.

Santana Row began the sale of their 219 residential condos in late 2005. The total gross sales proceeds were approximately $153 million with sell-out completed in 2006.

In 2007, H&M opened their first south bay location at Santana Row.

In April of 2008, Santana Row broke ground on 300 Santana Row, 65,000 sq ft of Class A office space and 15,000 sq ft of ground floor retail. The building received LEED gold certification from the U.S. Green Building Council and is 100% occupied, providing over 250 on-site employees daily to Santana Row. In 2010, Santana Row was awarded the Project of the Decade by the Silicon Valley Business Journal and was given a new media maxi award by the International Council of Shopping Centers for its iPhone application. In April of 2010, Santana Row began construction on 108 luxury rental homes. Within 6 months after completion in October of 2011, the community was 100 percent leased.

Today, Santana Row is a 1.5 million square foot mixed use community that houses 622 residential homes, over 350 office employees, 70 shops and boutiques, 20 restaurants, 9 spas and salons, CineArts movie theatre and the Hotel Valencia. Federal Realty has developed the ultimate neighborhood to live, work and play and the community has embraced this concept for both economic and social reasons. Tenants include a Tesla Motors showroom; Eyeona, a tech start-up; and soon to open a new, two-story 27,570 square foot H&M store reflects its firm place in Silicon Valley as a must-visit destination for locals and visitors in the San Francisco Bay Area.

About Federal Realty 

In 2012, Federal Realty celebrates 50 years of being a proven leader in the ownership, operation, and redevelopment of high quality retail real estate in the country’s best markets. Federal Realty's portfolio (excluding joint venture properties) contains approximately 19.2 million square feet located primarily in strategically selected metropolitan markets in the Northeast and Mid-Atlantic regions of the United States, as well as in California. In addition, the Trust has an ownership interest in approximately 1.0 million square feet of retail space through a joint venture in which the Trust has a 30% interest. Our operating portfolio (excluding joint venture properties) was 93.8% leased to national, regional, and local retailers as of March 31, 2012, with no single tenant accounting for more than approximately 2.5% of annualized base rent. Federal Realty has paid quarterly dividends to its shareholders continuously since its founding in 1962, and has increased its dividend rate for 44 consecutive years, the longest record in the REIT industry. Federal Realty is an S&P MidCap 400 company and its shares are traded on the NYSE under the symbol FRT. For more information, please visit www.federalrealty.com.

New Interactive Art at The Tech!

The Tech is about to get a new interactive exhibit courtesy of Zero1 and they are doing a special opening with the artists. To learn more, just keep reading or click here.

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Be part of our opening of the new art installation Resolution
A newly commissioned work by Zigelbaum + Coelho
Part of the Zero1 2012 Biennial Program

Wednesday, September 12, 2012
General Reception, beverages and hors d'oeuvres: 7:00 - 7:30 p.m.
No host bar
Artists' Talk: 7:30 - 8:30 p.m.
$10.00 / $5.00 for members.
Buy tickets now.

Join contemporary art duo Zigelbaum + Coelho for the opening of Resolution, their newly commissioned work at The Tech Museum. The artists will introduce this new highly interactive and social piece with a talk describing the state of the art in materials and practices in tangible media. Learn how emerging forms of "computational materials" will allow visitors to explore, play, and create dynamic light compositions from the piece's 200 magnetic, physical pixels.

Artists' Talk:
Zigelbaum + Coelho
"Computational Materials"
A new class of objects has emerged — viscerally interactive and embedded with computational tools. As computers permeate whole new ecologies of connected physical objects, the language of interaction now finds itself entirely intertwined with tangible things.

In this presentation, polymath art duo Zigelbaum + Coelho will describe their approach to the physicality of computation. Discover how new modes of interaction are enabling the human body to become an integral part of the computation and communication process. Learn how materials with embedded computing are permeating human interaction — at micro and macro levels — and how this is reshaping the art, design, and technology trichotomy.

From the Artists:
In this world one can program computers to display patterns of light by using a series of tools to modify the electrical flow across doped silicon and one can program copper to display a green patina by applying acetic acid and a healthy dose of waiting around. Both of these programmatic behaviors have components that could be considered digital or analog. The polarized light seeping through the liquid crystal gateways enabling our ubiquitous display surfaces is as analog as any glimmer of sun off a car hood and the chemical mechanism of verdigris, some discrete changes of electron configuration across orbitals during oxidization, is as digital as the pits and valleys encoding music on the active surface of the 1986 compact disc pressing of Kraftwerk’s Computerwelt.

We look forward to discussing our practice and the debut of our new permanent piece for The Tech Museum and Zero1: Resolution.

For more event information please email info@thetech.org or call (408) 294-8324.

The Tech Silicon Valley Innovation Gallery
The Tech Museum
201 South Market Street
San Jose, CA 95113

Saturday Stats: San Jose Leads in Professional Services Pay

San Jose achieves yet another 1st place on a salary comparison, this time for best paying regions for professional services. By professional services we are talking law firms, advertising agencies, accounting firms, scientific research, and most forms of consulting. The numbers weren't even close... San Jose came in at a staggering $115,500 average salary, $15k higher than silver medalist Oxnard, almost $20k higher than our neighbors in the north, and $25k higher than the New York metro. Now the goal is figuring out how to keep as much of that income in the South Bay instead of having it travel elsewhere.

1. San Jose Metro - $111,500
2. Oxnard Metro - $96,000
3. Boston Metro - $95,700
4. Washington Metro - $93,600
5. San Francisco Metro - $92,800
6. Bridgeport Metro - $92,800
7. New York Metro - $86,800
8. Boulder - $84,500
9. Houston Metro - $82,300
10. Durham - $82,100

Source: SJBJ

South FIRST FRIDAYS Art Walk + STREET MRKT Tonight!

from Phantom Galleries by Cherri Lakey

South FIRST FRIDAYS Art Walk + STREET MRKT
Friday, SEPT 7th, 7pm–11pm!
Free & open to the public.
A self-guided evening tour through galleries, museums, and independent creative businesses featuring 18 venues that participate by presenting exciting art exhibitions and / or special performances. In addition to the monthly art walk, September 7th is the nighttime urban faire STREET MRKT that brings together over 40 local artists, creative indie vendors, a special performance by Cielo Vertical Arts and a live music stage with performances by the Ferocious Few, Drop Dead Sixty and Dirty Pillows out on South First Street (between San Carlos and San Salvador streets.)

Street Mrkt participating artists / creatives:
17jewels, 57-33 Clothing, Anointed Apparel, Becca’s Studio, Betwixt, Sandi Billingsley, Blue Dream Project, Boombotix, Mchael Borja, Bugs & Monsters, Keith Bunnell, Buttons by Maria, David Canavese, Cielo Vertical Arts, Crossroads Trading, Death Before Dishonor, Devil Rose Vintage, Francisco Franco, Galactic Romance Clothing, Emo Gonzales, GoodLifeRoots, Ike Greca, Cynthia Gonzales, Andre Hart, Jumbo Jibbles, Matt Lopez, Luna Chalk Arts Fest, Frances Marin, Mejia Arts, LAuruS Myth, Jose Nunez, Old Souls Clothing, Out of Print Vintage, Poetry Center San Jose, Al Preciado, Steven Reece, Rock N The Trend, Matthew Bailey Seigel SLG/Art Boutiki, Social Villains, Tacti Design, TechShop SJ, Visual Confections, Wadl and Zatoon Clothing
In addition to wonderful restaurants and cafés in the SoFA district, the Grilled Cheese Bandits, MoGo BBQ, O Mi Ninja, Quick Dog, Scoopy SJ and the WoW Truck will be on site in the parking lot next to Anno Domini Gallery.

For full listing of events and more information: please visit http://www.SouthFirstFridays.com/ or call 408-271-5155

Slow Mail

More information on the Zero1 events is trickling out and this one seems particularly interesting. The project is called Slow Mail and it's a mix of the western pre-railroad era and the early days of the internet. It's essentially a relay of horses and riders that are going to deliver physical letters between Menlo Park and Los Angeles, with the key stop being in Downtown San Jose. They are doing a pilot ride on September 12th between Menlo Park and San Jose, and letters will be distributed as part of the "Mail Call" Zero1 event.

Anyone can send a letter for the pilot ride through the sslow.net, and pick up the letters at the San Jose Mail Call Event. Letters can be submitted online through tomorrow and in-person at the send off event at the Stanford Red Bard, 9am on Sep 12th.

LA Boxing Coming to West San Jose

Five new boxing, kickboxing, and mixed martial arts gyms are coming to Silicon Valley and the first will be in West Park Plaza on the corner of Winchester and Payne where LA Boxing is signing a 10 year lease for 4,200 square feet. The other four locations will be in Cupertino, Sunnyvale, Milpitas, and Palo Alto.

Source: SJBJ

Wednesday Wishlist: Measure B Compromise

I have tried to avoid this topic, but the recent murder spree and popular opinion that the SJPD is degenerating because of Measure B has made it unavoidable.

First off, I think some incarnation of Measure B was bound to happen sooner or later. People like to scapegoat Chuck Reed, but I think the truth is that he was handed a bad deck of cards with two options: 1.) do nothing and bankrupt the city 2.) reform the pension plans. The decision was clear but I think the execution could have been softened substantially. The reduction in benefits has reduced officer moral and made our force less competitive than our neighbors in retaining top officers. Ideally, SJPD would have been given something in return for the lower pensions.

So my wishlist for the week is a compromise between the city and the SJPD. I think the reforms are here to stay, but the doesn't mean salaries cannot be increased. I would love to see the temporary 10% paycuts officers when the downturn began to be immediately lifted along with a timeline for adding an additional 10% increase in salary. Additional salary can be just as if not more attractive than a better pension. In 2010, Google conducted surveys to see which form of compensation would be more likely to motivate and retain their employees if that benefit were to be increased. They discovered that the answer was not bonuses, free haircuts, or even more Google stock... it was salaries, and they ended up increasing the base salary of all employees by 10%.

I think the same strategy Google took to prevent employees from jumping ship to Facebook (which I bet they are now regretting) can go a long way to keep SJPD officers that have worked long and hard for the city of San Jose from going to other departments. If you look at the map below, there is a lot of work that needs to be done, and having a content and motivated police department is going to be critical to maintaining San Jose as the safest big city in the world.

(As a side note, if you look at the crime map below note that none of the homicides were in Downtown San Jose.)



Image from the Mercury News

¡VivaFest!, The Tech Museum of Innovation, and CasaQ Partner on Film Showcase and new Festival Events

San Jose, CA---  August 20, 2012 -- For the third year, ¡VivaFest! the San Jose Mexican Heritage and Mariachi Festival has partnered with the Tech Museum of Innovation on a series of films celebrating Latino cultural heritage from independent Latino filmmakers. New this year is a partnership for Cine y Cena™ dinner and movie events with CasaQ by Darlene.

“It has been a wonderful partnership for ¡VivaFest! and The Tech Museum to bring culturally appropriate and timely films to the festival,” said Marcela Davison Aviles, Executive Producer of the festival and President and CEO of the Mexican Heritage Corporation (MHC). “and we are delighted at the curatorial additions of Darlene Tenes of CasaQ, with film and food events celebrating the 20th anniversary of the film Like Water for Chocolate and the end of the Maya Calendar. “

An eclectic series of films will launch the week-long ¡VivaFest! from September 8 - 30. Screenings will take place at The Hackworth IMAX® Dome Theater at The Tech Museum.  Schedule and tickets are available at The Tech Museum box office or online atwww.thetech.org

"As The Tech Museum is committed to reflecting Silicon Valley's richly diverse community and collaborating with Bay Area institutions, we are proud to be part of the long-standing tradition of Vivafest!, serving yet again as a stage for America's largest celebration of Mexican culture and customs," said The Tech Museum President Tim Ritchie. "Vivafest! is a wonderful opportunity to recognize a vibrant tradition and culture while building bridges across communities in Silicon Valley and around the world.”

Series highlights include Mosquita y Mari, a Sundance Official Selection, and a screening and panel discussion of the documentaryTijuana Jews with Hollywood director/producer Isaac Artenstein (A Day Without A Mexican) and festival veteran Michael Ronstadt and Ronstadt Generations.

The opening film on Saturday, September 8, is a special screening that also comes from a Hollywood veteran -- Taco Shop, created by comedian/writer/director Rick Najera, will be shown at the Hackworth IMAX Dome Theater at 7 p.m., and will be preceded by actual taco trucks parked outside of The Tech Museum at 5 p.m.

On Monday, September 10, the classic Mexican movie night Doña Bárbara starring Maria Félix, the most iconic leading lady of the Golden Age of Mexican cinema.

On Wednesday, September 12, Tijuana Jews  portrays an authentic and living testimony set against conceptions and misconceptions of this near-mythic border city, and is a personal exploration of this unique community, which blended Jewish and Mexican cultures and customs in an unlikely place and time. Preceding the screening at 6 p.m. will be a musical performance by Ronstadt Generations, whose family is comprised of German, Jewish and Mexican heritage. A panel discussion and Q &A with the film’s director, Isaac Artenstein, Michael Ronstadt and other guests will follow.

Thursday, September 13 features a timely film, The Weight of the Nation™. Presented by Kaiser Permanente, The Weight of the Nation™ documentary series and public health campaign present a unique opportunity to spotlight the severity of the obesity epidemic, to showcase strategies that work and, most importantly, to catalyze action to end obesity.

On Friday, September 14, celebrating the 20^th anniversary of the movie Like Water for Chocolate, the festival screening will include a chocolate tasting.  An event curated for the festival by CasaQ, the evening includes a tempting array of chocolates by Casa de Chocolates.

Saturday, September 15 brings an amazing cross-cultural story of how an American adventurer and self-taught Mexican artist transformed a dying desert village into a home for world-class ceramics. Included in the event is a showing of Mata Ortiz ceramics by Victoria Martino, an expert and a dealer in these fine ceramics. The Renaissance of Mata Ortiz.

All screenings , except Mesquita y Mari, will take place at the Hackworth IMAX Dome Theater at The Tech Museum. Visit www.thetech.org  or www.vivafest.org to see the complete schedule and to purchase tickets.  Ticket prices range from $8 to $20 per event, with discounts available for The Tech Museum members.

Also, on Wednesday September 19, the series screens Mosquita y Mari, the Official Selection 2012 of the Sundance Film Festival, directed by Aurora Guerrero. It tells the story of a “first crush” between two Chicana girls growing up in Los Angeles. This film will be screened on the campus of San Jose State University, Morris Daily Auditorium, and is being sponsored by a Horizons Foundation grant, and the San Jose State Student Union. The film will be followed by a panel discussion with the director and the actors in the film.

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About The Tech Museum:

The Tech Museum is a hands-on technology and science museum for people of all ages and backgrounds. The museum—located in the Capital of Silicon Valley —is a non-profit learning resource established to engage people in exploring and experiencing technologies affecting their lives. Through programs such as The Tech Challenge presented by Cisco, our annual team-design competition for youth, and internationally renowned programs such as The Tech Awards presented by Applied Materials, Inc., The Tech Museum endeavors to inspire the innovator in everyone.

About the Mexican Heritage Corporation:  Now in its 21^st year, VivaFest! is Northern California’s leading Latino cultural destination event. With a mission to affirm, celebrate and preserve the rich cultural heritage of the Mexican community and showcase multicultural arts within the region and nationally, MHC both presents and produces a vibrant array of multi-disciplinary arts programs in theatre, dance, and music education and in the visual arts. Visit www.mhcviva.org or www.vivafest.org.