Raising questions about the future of Clarett Group's Blvd 6200 project, a fully entitled apartment development in Hollywood, last week the developer shut down its New York headquarters, according to the Real Deal. The closure follows the departure of its founder, staff layoffs, and an “inability to line up financing for new projects," according to the publication.
But details are vague on the company's West Coast plans: “Clarett's other two offices, in Washington and Los Angeles, where the company has projects in the works, will stay open but rename themselves, according to sources, though calls for comments to both of them were unsuccessful," reports the Real Deal.
In late 2010, Clarett filed building permits with the city to begin work on Blvd6200, a six-story, Van Tilburg, Banvard & Soderbergh-designed apartment and retail project that rise on Hollywood Boulevard, between Argyle and El Centro Avenues. At the time, attorney Ben Reznik, who represents Clarett, said the developer would likely break ground in January. If and when it did break ground, the project would be the first major development in Hollywood to start construction since the start of the recession. It's unclear what issues have delayed the start of the project.
Frank A. Stephan, Senior Managing Director of Clarett Group, didn't return an email. Calls to the Washington, DC office weren't returned.
Asked about the Real Deal article, Julie Wong, spokesperson for Eric Garcetti, who represents the Hollywood neighborhood wrote in an email, "As far as we know, the NYC action has not had an impact on the progress of the Blvd 6200 project."
Meanwhile, Clarett has been in negotiations for a payout agreement to Margarita Allen, an 80-year-old resident who lives near the proposed project, and must sign off on a deal to turn over her part of the street to the developer. Last week, the city council delayed a hearing on an Allen’s appeal of the trucking haul route for construction of the project.
· Clarett shutters NY office, future in doubt [Real Deal]
· Let's Make a Deal? Blvd6200 Faces Silverstein-Led Challenges* [Curbed LA]
· Clarett's Blvd6200 Looking to Break Ground in January [Curbed LA]