Saving What Remains of the Coast

Reposted from - http://www.independent.com/news/2010/dec/16/saving-what-remains-coast/



Saving What Remains of the Coast

Just When You Thought Naples Was Safe, Developer Resurfaces

By Sandy Lejeune, Phil McKenna

Thursday, December 16, 2010

In just over two generations, 280 of the 300 miles of Southern California coastline have been lost to development forever. Only 20 miles remain undeveloped—all that’s left for generations to come.

At the symbolic heart of these last 20 miles—which are known as the Gaviota Coast—lies the Santa Barbara Ranch. Commonly known as Naples, it is a parcel that for 123 years has confounded the dreams of numerous speculators.

So when an Orange County developer lost ownership of the Santa Barbara Ranch in a foreclosure sale last May, many Santa Barbara locals breathed a collective sigh of relief. After 11 years of our unrelenting work to preserve the Gaviota Coast—during which the community has come up against the developer’s Orange County millions, legal wrangling, a million pages (really!) of planning documents, and assertions of a last-minute deal between development interests—it appeared that the plan to build 71 McMansions at Naples was finished.

Is it?

The developer resurfaced in July, suing the bank that had acquired the Naples property in foreclosure. It is possible that his plans are back on track.

The legal drama continues, but regardless of who owns Santa Barbara Ranch and regardless of who wants to develop it, Surfrider, the Naples Coalition, and the Environmental Defense Center (EDC) want to reaffirm our long-standing goal: to preserve Naples and the Gaviota Coast.

Here are the plain facts about Gaviota:

• Development at Naples still represents the gravest threat to preserving the Gaviota Coast.

The development plan at Naples allows more than 600,000 square feet of building and miles of roads. It destroys and fragments agriculture. It forces urban sensibilities and infrastructure onto the rural Gaviota Coast. It is not the threat of urban sprawl; it is urban sprawl.


Paul Wellman (file)

Naples coastline

Surfrider, the Naples Coalition, and EDC sued the project proponents for numerous defects in the approved development plan, including the failure of the County of Santa Barbara to comply with the California Environmental Quality Act (CEQA). The local citizenry overwhelmingly supports preservation of Naples; during two years of public hearings, not a single member of this community who was unaffiliated with development interests provided testimony backing development. For that matter, a majority of Gaviota Coast landowners also favor preservation.

• Naples isn’t the only development proposal that impacts the rural and agricultural character of the Gaviota Coast. Here is an inventory of coastal projects either in the pipeline or under conceptual consideration:

Paradiso del Mare, the site of the denied Arco golf course that Surfrider fought for 10 years, has undergone financial restructuring and reemerged under new management. It has applied to build two mansions on the property between the Bacara Resort and Naples.

Las Varas Ranch seeks to develop seven new houses.

Zacara Ranch (formerly El Capitán Horse Ranch), under scrutiny for unpermitted uses, contemplates significant development of polo operations, offices, and residences.

El Capitán Canyon Campground has proposed developing 40 additional campsites.

Eagle Canyon has a long-standing, incomplete application for four new building sites.

The Bacara Resort proposes building 55 time-share condos adjacent to the hotel—on ground that was originally preserved as mitigation for construction of the hotel.

Waiting in the wings are the Bixby and Cojo Ranches: 24 square miles surrounding Point Conception. These ranches were bought by Coastal Management Resources in 2007 for $155 million, with financing provided by the Baupost Group, a Boston hedge fund.

• The 20 miles of coastline between Goleta and Gaviota are all that remains of Southern California’s once unspoiled coast.

In our lifetimes, Southern California has forever lost thousands of acres of prime coastal land, native plants and animals and their habitat, and vibrant coastal watersheds, all destroyed by luxury condos, gate-guarded enclaves, yacht harbors, and unbridled sprawl. From San Diego to Santa Barbara, developers have taken our public resources—our coastline, our views, our beach access—for their own massive private gain. Now, there is no new ground for them to break on the Southern California coast but here. And they want this, too.

For more than 40 years, local residents dedicated to preserving the rich biodiversity and incomparable beauty of the Gaviota Coast have fought off development. We stand on the shoulders of all who have protected this coastline before us. That same will to preserve the few miles that are left lives today in the effort to save Naples and other nearby parcels from development. Please support Surfrider, the Naples Coalition, and EDC as we continue our efforts into 2011 and beyond. Twenty miles is all that we have left of the Gaviota Coast, and we will never give it up.

Sandy Lejeune is the chair of the Santa Barbara Chapter of the Surfrider Foundation, and Phil McKenna is a board member of the Naples Coalition and the Gaviota Coast Conservancy

2nd Annual Preserve Gaviota Holiday Party

Surfrider Foundation's Santa Barbara Chapter

invites you to join them for their
2nd Annual Holiday Fundraiser

Friday, December 3, 2010 - 8pm - late!
SOhO Restaurant and Music Club

Silent auction featuring 11 custom painted miniature surfboards from Kim Hamrock, Matt Moore, Sean Kirkpatrick, Nathan Paul Gibbs, the Anderson Art Collective (Ron, Ben and Sean!), Wyatt Perkins, and more! Unique artwork by Ned Evans and local Santa Barbara artisans. There will be great surfing gifts, wine, and unique gifts to choose from!

Live music by The Tridents, a four piece instrumental rock and surf band who began playing together in 1960. In surf music parlance, they are bona fide “first wavers,” who began playing the rock instrumental classics that preceded surf music and were later covered by every first generation surf band in southern California.

Funds raised will support the Chapter's 10+ year effort to Preserve the Gaviota Coastline. Please sign the petition and pass it on, thanks!

View the Event webpage for event details and images of all the silent auction items!

SEE YOU THERE!

Allowing mega-developments on the Gaviota coast would be a "Nightmare"

THE GAVIOTA COAST in southern Santa Barbara County is being threatened by development due to expanding urbanization. It stretches from Point Sal at the north down through Coal Oil Point at the south. From Point Conception to Coal Oil Point is only about 15% of Southern California’s coastline, yet it contains almost 50% of the remaining rural coast. Development along this beautiful coastline would reduce public access, create a loss in native biological diversity and an overall decline in the health of our ocean and coastal ecosystems.

Allowing mega-homes along this stretch of coastline would be a "NIGHTMARE!"

Surfrider Foundation has been working to stop development along the Gaviota Coastline for over 10 years, and is committed to continue this effort for the long-haul.

On FRIDAY, OCTOBER 29, Surfrider Foundation Chapters in San Diego, Laguna, Malibu, and Santa Barbara will host "Nightmare At Gaviota" Halloween Fundraisers. With support from many other chapters, Surfrider Foundation was able to save Trestles, so our SoCal Chapters are coming together again to raise public awareness of the threats to the Gaviota Coast and raise funds needed to continue this 10+year effort to stop development.

Mark your calendars now!!!

Join your local Surfrider Foundation Chapter for some Halloween festivities, all for a great cause!

SAN DIEGO - 6PM
The Beach Club
1903 S Coast Hwy
Oceanside, CA 92054

LAGUNA - 7pm
Mozambique
1740 South Coast Hwy
Laguna Beach, CA 92651

MALIBU - 7pm -
Duke's Malibu
21150 Pacific Coast Hwy
Malibu, CA 90265

SANTA BARBARA - 8pm
SOhO Restaurant
1221 State Street
Santa Barbara, CA

** Click on the flyers below - link to the Surfrider Foundation Chapter hosting these events **

New Owners for Naples?

reposted from the Santa Barbara Independent:
http://www.independent.com/news/2010/jul/29/new-owners-naples/

Osgood Files Suit Against FirstBank, Claims Bad Behavior as It Works to Resell Gaviota Property

Thursday, July 29, 2010

The strange and increasingly epic odyssey that is Matt Osgood’s quest to build Naples took yet another turn as the would-be coastal developer filed a lawsuit this Tuesday against the very bank that helped him purchase the historic eastern Gaviota holding several years ago.

The suit alleges that St. Louis-based FirstBank — which loaned Osgood some $63 million in 2005 to help make his Naples vision a reality and then, after he missed a series of mortgage payments, foreclosed on him earlier this spring — has not only been ignoring a backroom deal that allowed him to retain managing interests and first-refusal buyer rights, but charges that the bank has actively been shopping the property to a series of potential buyers (including a couple past and present Las Vegas hoteliers) without disclosing Osgood’s continued connection to the 1,100-acre ranch.

Paul Wellman (file)

Matt Osgood

“I would rather not have this type of attention surrounding me,” explained Osgood in the wake of the filing, “but we had an agreement in writing with the bank that has not been honored and, in a few instances, in a rather flagrant way.”

Within the 86-page filing, Osgood and his attorneys allege FirstBank — specifically its Executive Vice President Alan Rye and a few other employees — has been working behind-the-scenes to not only sell the land to potential groups like the Commonwealth Opportunity Fund and another group headed up by Vegas hotelier Phillip Ruffin, but has also failed to disclose to interested parties that Osgood has both first-refusal rights and a limited buy-back option. The suit also claims that FirstBank, in some instances, explicitly said no such agreement even exists.

Moreover, Osgood’s legal team contends agents of FirstBank (whose representatives did not immediately return calls for comment on this story) have worked to influence a current Naples Ranch employee, Shannon Conn, numerous times in the wake of the foreclosure, promising the single mom financial security if she would help convince part-time Montecito resident Steve Posner to consider buying the property on his own rather than, as it has been rumored, pursuing it in tandem with Osgood.

William B. Dewey

An aerial view of Naples, on the Gaviota Coast.

Widely reported at the time of the foreclosure on May 13, the terms of the actual backroom deal between Osgood and FirstBank are detailed in the lawsuit (as is a copy of a letter signed by Rye and Osgood on May 12) and explain how Osgood, for a period of six months, would retain the rights to manage the property, the rights to access it, the option to purchase it back for $50 million, and a first refusal right should an outside party make an offer to FirstBank. “Basically, they are ignoring those agreements and outright telling other people that those agreements don’t even exist,” summed up Osgood.

The lawsuit further alleges that FirstBank, without Osgood participating, has taken meetings with both Santa Barbara County — which currently has several Naples-flavored lawsuits hanging around its neck as well as a stalled but very real 3-2 vote of approval by the County Board of Supervisors in 2008 for Osgood to put 70-plus luxury homes on the property — and “environmental groups which oppose such development” to discuss a potential willingness “to agree to alternative plans to develop the property that would substantially reduce the value of the property.”

Also revealed in the documents was Osgood’s attempt, with the help of an outside investor, to buy the land back after the May 13 foreclosure for around $38 million, and the fact that FirstBank declined the offer and reportedly refused to make a counter.

Marc Chytilo, Naples Coalition lawyer who represents the grassroots outfit of eco-minded organizations and individuals in strong and longstanding opposition to Osgood’s development dream at the easternmost gates of the Gaviota Coast, would not comment on any possible meetings between FirstBank and Coalition members. He did, however, say he was aware of the lawsuit and was anxious to find out more about it, though, as he put it, “The bottom line is, we don’t care who owns it. We will fight any and all development plans at Naples.”

Naples Development on the Santa Barbara Coastline Delayed

Photo: Environmental Defense Center

The Surfrider Foundation Santa Barbara Chapter has led the 10 year fight to block development of a key Gaviota Coast property, along with its partner organizations the Environmental Defense Center and the Naples Coalition. So last week they were overjoyed at the news of a bank auction/foreclosure sale of a 1,035 acre parcel known as Naples, located on the Gaviota Coast.

First Bank, who initiated the foreclosure proceeding, set a minimum bid of $50 million for the property. No one entered a bid, including the land's former owner, Orange County developer Matt Osgood, thereby making First Bank the new owner of the property. Naples had been slated for a massive development of 71 luxury-style homes averaging 8,000 square feet in size. Following last week's foreclosure sale, Osgood's development plans are uncertain at best.

"Last week's forced foreclosure sale of Naples is a testament to the work of our chapter, our partners, and all those who have never given up on preserving the Gaviota Coast," said Surfrider Santa Barbara chair Sandy Lejeune. "That an overwhelming majority of citizens both in and outside of Santa Barbara oppose development on the Gaviota Coast cannot be overestimated," Lejeune also said.

After 10 long years of struggle this victory has re-energized the Surfrider Foundation Santa Barbara Chapter! They continue to be on constant alert for any threats to the Gaviota Coast and are vigilant in their strategy of "constant pressure endlessly applied" to preserve the last remaining 20 miles of undeveloped coastline in southern California.

...ANYONE HAVE A SPARE $50 MILLION?

You can help the Santa Barbara Chapter in their efforts to permanently preserve the Gaviota Coast’s rural character and unspoiled nature for future generations to enjoy?

Sign the Petition to Preserve The Gaviota Coast.

Surfrider Foundation Isla Vista Chapter Presents: Concert for the Coast!

Featuring:
-Thy Squid
-Soul Minded
-Sprout
-Return of Charles
-Boombox Orchestra
-Stick Figure

Come and enjoy a day full of free awesome music, great environmental groups tabling, sick raffle, and MORE! (21+ BYOB)

All proceeds from the raffle will go to the Naples Coalition!

Check out our facebook page:
http://www.surfrider.org/islavista/index.php
and our website: http://www.surfrider.org/islavista

Naples Foreclosure Sale - Update

On Thursday, March 13, 2010, the County of Santa Barbara administered a bank auction/foreclosure sale of 1,035 acres of the Santa Barbara Ranch on the Gaviota Coast. First Bank, who initiated the foreclosure proceeding, set a minimum bid of $50,000,000.00 for the property.

No one present entered a bid, including the land’s former owner, Orange County developer Matt Osgood, who attended the foreclosure sale. As the institution foreclosing on the property, First Bank is the new owner, and will receive all the conditional permits and tentative entitlements according to the deed of trust.

The property, commonly referred to as “Naples”, had been slated for a massive development of 71 luxury-style homes averaging 8,000 square feet in size – double the current average Gaviota Coast home size – just two miles west of the urban limit line. Following today's action, the future of Mr. Osgood’s development plans is now, at best, uncertain.

Mr. Osgood has retained ownership of two of the parcels on the Santa Barbara Ranch that were part of a development approved by the Santa Barbara County Board of Supervisors in October, 2008. Interviewed after the foreclosure sale, Mr. Osgood indicated that he will likely attempt to regain control of the foreclosed property in the future.

While the value of the Naples property remains uncertain, it seems clear from today’s action that it is less than $50 million; how much less is still an open question.

Whatever happens, we now have an open door to begin discussions with First Bank. We hope those discussions can lead to an opportunity to purchase all or some portion of the property in fee and/or easement.

We look forward to this challenge as we are confident that the Santa Barbara community can and will rise to this large conservation effort as they did with the Carpinteria Bluffs, the Wilcox property, and Ellwood Mesa.

Recognizing that our efforts to preserve this property will require constant vigilance and resourcefulness, the Santa Barbara Chapter of the Surfrider Foundation will continue to monitor all aspects pertinent to today's action, as well as work toward permanent solutions for preserving both Naples and the entire Gaviota Coast - the last remaining stretch of undeveloped coastline in southern California.

Reception for preserving the Gaviota Coast a success

There is one single, public area in Southern California that is still pristine. It is virtually untouched. It's the Gaviota coast, just north of Santa Barbara. The local Santa Barbara chapter, which is currently being led by the extremely capable and passionate Sandy Lejune, has been fighting to protect this area for over a decade.

Last night in Montecito, at the home of Olaf and Eva Guerrand-Hermes, supporters of preserving the Gaviota Coast came together for a special evening reception benefitting the Santa Barbara Chapter of the Surfrider Foundation. Guests in attendance learned about the very real and pressing threats to this stretch of coast, and why it is so important to preserve the Gaviota Coast for future generations to enjoy.

The reception was organized by Steve Blank, Shaun and Carla Tomson and Sandy Lejeune... and special thanks to the Guerrand-Hermes family and Barefoot Wines.

Please sign our Petition to Preserve the Gaviota Coast

THE GAVIOTA COAST, located in southern Santa Barbara County, includes the coastal watersheds between Coal Oil Point in Goleta, to Point Arguello on Vandenberg Air Force Base, and the remainder of Vandenberg’s coast to Point Sal. Surfrider’s Santa Barbara chapter is working to preserve the 20-mile stretch of the Gaviota Coast between Goleta and Gaviota, which draws more than a million visitors to its beaches, coastal canyons and mountain trails every year.

WHAT'S AT STAKE:
In just over two generations, more than ninety percent of southern California's once-unspoiled coastline has been lost to development forever. Expanding urbanization has displaced agriculture on fertile coastal plains, reduced public beach access, and stressed coastal watersheds and marine ecosystems. Rapid population growth in the region has led to dramatic loss of native biological diversity, and a general decline in the health of ecosystems we depend on. The Gaviota Coast’s intact ecosystems, riparian and wildlife corridors, important coastal farmland, rare and endangered animals, unique tidal wetlands, and Native American cultural sites are all gravely threatened by development.

YOU CAN HELP!
Please sign our petition to permanently preserve the Gaviota Coast for future generations to enjoy! Thanks so much for your support. Spread the word, and please consider joining Surfrider Foundation so we can continue to work on important issues like this.

MONEY, SPACE AND THE NAPLES PROJECT

http://www.santaynezvalleyjournal.com/archive/8/16/6267/

As the city of Goleta continues to grow with new housing tracts and luxury hotels now tucked along its coastline, many wonder will there be any open spaces left up and down this vast state. There is a continuous demand for more housing, businesses and recreation in the region as more people begin to migrate into the area – but at what cost?

The Naples region lies just 2 miles west of Goleta on the Gaviota coast, and is home to a variety of wildlife such as badgers, mountain lions, sea otters and peregrine falcons. It is also home to a farming community that has learned to coexist with nature and its surroundings.

“If you draw the urban limit line to include Naples, where does it stop?” questions Greg Helms, president of the Naples Coalition, an organization formed in 2000 in response to the Naples Project, brought forth by Orange County developer Matt Osgood as a proposal to develop the land into 88 houses north of the 101.

“There is a need on the Gaviota coast for agricultural-support facilities, or we may even need a regional slaughterhouse,” explains Helms of alternative-land developments that will promote the sustainability of agriculture that has existed in the region for many generations.

Osgood’s proposal, which has been reduced to 72 homes and is now referred to as the Santa Barbara Ranch Development, is far from Helms’ vision for the region. The “Naples Town Site” would span some 800 acres and could include houses larger than 13,000 square feet, an equestrian center and coastal access trails. “The mansionization of the Gaviota coast is the quickest way I can think of to destroy the viability of agriculture,” assures Helms. It could also put a strain on the local water supply and lead to water runoff contamination.

He goes on to add that the result of the project would “substitute mansions for rural homes, landscaping for native grasses and orchards, and fences for wide-open spaces, all for the benefit of a private developer and 72 families.”

Helms also believes that there are very few Goletans who are in favor of the project, as he has witnessed standing-room-only crowds at various hearings positioning themselves against the developer in favor of preserving the land. “There’s an economic value in open space,” confirms Helms, indicating that the area often attracts visitors who enjoy activities such as surfing, hiking and bird watching.

The project has also hit a financial roadblock, as it was reported back in February of this year that the bank issued a notice of default to the developer for failing to make a $3.1 million payment on a $63 million loan.

Time is running out on the development that is now 10 years old, this latest setback could lead to foreclosure of the property. It has yet to receive approval from the Coastal Commission, and the adequacy of its Environmental Impact Report (EIR) has been challenged in the form of a lawsuit courtesy of the Coalition.

For Helms, it’s a project that just isn’t suitable for the vicinity. “We will take every measure to see that it’s (the development) drastically reduced or eliminated,” and he is certain that his views reflect the best interests of Goleta.

Future of Gaviota Coast Still Shrouded in Discussion

By Ben Preston, Noozhawk Staff Writer

From left, Naples Coalition president Phil McKenna, ranch manager Jose Baer, real estate lawyer Charles Kimball, Paul Van Leer of the Santa Barbara County Agricultural Advisory Board and rancher Guner Tautrim led the latest round of discussion on the future of the Gaviota coast. (Ben Preston / Noozhawk photo)

Latest stakeholders meeting tackles agricultural viability and visual impacts of development

Driving west on Highway 101, it’s easy to let the stress of city life slip away as Santa Barbara’s bustling urban center dissolves into a truly stunning rural coastline. Over the years, developers, agricultural interests and environmentalists alike have eyed the nearly pristine strip of land — stretching from the western end of Goleta all the way to Hollister Ranch near Point Conception — each with their own vision of what its future holds.

In a continuing effort to create a general plan for the Gaviota coast, Santa Barbara County’s Gaviota Planning Advisory Committee met at Brandon School in Goleta last week to bat ideas back and forth and field comments from the public.

Comprised of Gaviota coast stakeholder representatives, the committee — known as GavPAC — held an all-day workshop in March to allow stakeholders and community members to voice ideas and concerns related to the planning process. A major issue touched upon at Wednesday’s meeting was the viability of agriculture, which currently dominates the landscape. As a result of ever-increasing land values, several Gaviota coast ranchers and farmers suggested that unless the regional business model for food distribution changes to one more focused on local food production instead of national commodities, the future of agriculture faces a dubious future in the area.

“If you really want to make money on agriculture, the land prices in Fresno are cheaper and the products have a higher value there,” said GavPAC member Mark Lloyd, a development consultant who has been assisting Santa Barbara Ranch developer Matt Osgood, whose Naples project is currently making its way through the county’s regulatory process.

Gaviota rancher Gunner Tautrin countered that if Santa Barbara area businesses were more supportive of local food production, agriculture would be financially feasible on the Gaviota coast.

“I’m not sure I want the county government designing the local food distribution system,” said GavPAC member Michael Feeney. “I’d rather see the farmers do that.”

Making the transition from agriculture to the often discussed issue of visual impacts of development on the coast, Feeney asserted that developers haven’t properly addressed visual impacts in most project proposals.

“Dealing with visual impacts isn’t as simple as pushing houses back into the canyons where they can’t be seen,” he said, noting that more roads and infrastructure would have to be built to accommodate more remote construction.

GavPAC will continue its discussion, again inviting public participation, at its next meeting, scheduled for 6:30 p.m. April 21. The meeting will be held at Vista de las Cruces School, 9467 San Julian Road, just north of the Gaviota Pass on Highway 101.

— Noozhawk staff writer Ben Preston can be reached at bpreston@noozhawk.com.

http://www.noozhawk.com/noozhawk/article/041110_gaviota_coast/

TAKE PART IN PLANNING THE FUTURE OF THE GAVIOTA COAST!

Gaviota Coast Planning Area Public Workshop
Saturday, March 20, 2020
9:00 a.m. to 3:00 p.m.
Goleta Union School District - Board Hearing Room
401 N. Fairview Ave. in Goleta

The City of Santa Barbara and the Gaviota Coast Planning Advisory Committee (GavPAC) will host a public forum to discuss topics and planning issues critical to the ongoing Gaviota Coast long range planning process. Discussion topics include agricultural use, zoning, land use & housing, resource stewardship & open space, public recreation, energy, transportation, housing and plan area boundary. This is your opportunity to voice your opinion about the future of our coast! Naples Coalition and Gaviota Coast Conservancy encourage you to participate. For more information call Janet Koed at (805) 683-6631 or David Lackie at the Santa Barbara City office of Long Range Planning at (805) 568-2023

Gaviota Coast Educational Workshop

WEDNESDAY, MARCH 10, 7pm
State Street Conference Room, UCSB University Center (UCEN), 1st Floor

The University of California, Santa Barbara Ocean and Coastal Policy Center is pleased to invite you to join us in taking a closer look at the stunning Gaviota coast and the current issues threatening its protection.

With two major planning efforts underway in Santa Barbara County—the Gaviota Coast Rural Planning Process and the Climate Action Strategy—there has never been a more critical time to be informed of the key issues affecting Gaviota!

This educational workshop will offer insight on the present policies and concerns surrounding the future Gaviota coast, as well as provide an assortment of possible solutions geared towards protecting this pristine stretch of shore.

more info:
http://climatesantabarbara.blogspot.com/
Jessica L. White - JLWhite234@gmail.com - (805) 234-0603

Rick Rietveld painted fin up for auction to support the Save Gaviota campaign!

Rick Rietveld has generously donated this one-of-a-kind painted surfboard fin to raise $ for the Save Gaviota campaign!

100% of money raised from this auction will go towards the 10+ year campaign to stop all development South of Highway 101 and preserve the pristine beauty of the Gaviota Coastline for future generations to enjoy.

http://cgi.ebay.com/ws/eBayISAPI.dll?Vie..wItem&item=200441579637

PLEASE PASS IT ON!

Rick Rietveld - http://www.rietveldart.com

Naples Development Hits Major Financial Snag

Crumbling Cash Foundation?
Naples Development Hits Major Financial Snag

Wednesday, February 17, 2010
by ETHAN STEWART

http://www.independent.com/news/2010/feb/17/crumbling-cash-foundation/

Wednesday, February 17, 2010


Paul Wellman (file) - Matt Osgood

Already mired in a development delay of epic proportions, Matt Osgood and his controversial plan to put several dozen luxury homes at the eastern gate of the Gaviota Coast recently have run into an entirely new financial roadblock. According to public documents, the Orange County-based Osgood missed a roughly $3.1 million mortgage payment last May and, as a result, was served with a notice of default in early December from his primary creditor, First Bank. In short, unless Osgood can figure out a way to renegotiate his $63 million loan and/or come up with some serious cash by the March 12 deadline, he runs the very real risk of the historic Naples property going into foreclosure.

“We will have to wait and see, but it certainly looks like this whole thing is starting to crumble,” said Naples Coalition lawyer Marc Chytilo this week, pointing to a decision made by the county’s Board of Supervisors four months ago to rescind a portion of Osgood’s hard-earned development approvals, a series of lawsuits swirling around the debate, and the recent financial woes.

Fully acknowledging the less-than-ideal fiscal turbulence currently rocking his 71-mansion vision for Naples, Osgood was confident on Tuesday that his issues with First Bank would be resolved. Balking at notions of bankruptcy or even possible foreclosure, Osgood opined, “This doesn’t put Naples at risk. … In fact, I would say this is fairly common in these current financial times. It might take three days or three months, but we will get this thing restructured.”



Paul Wellman (file) - Naples coastline

To him, the aforementioned money crisis ravaging the country, the loss of property value in Santa Barbara County (Osgood figured this week that Naples had lost 30 to 58 percent of its value), and, of course, the publically popular vote by the Supes last October basically to erase the coastal portions of the development approvals and permits all suggest that a restructuring was in order for his massive loan, even without the missed mortgage payment late last spring.

According to Osgood, he not only is in “ongoing negotiations” with First Bank as the deadline approaches, but he also recently worked out a restructuring for his other Naples-specific loan (this one for about $18 million) held with a “private individual.” “It is hardly ever a smooth process,” added Osgood.

Though Osgood said it isn’t necessarily related to the default situation, real estate firm Kerry Mormann and Associates began advertising late last week two configurations of lots for sale at Naples. In and of itself, Naples lots on the market is far from new news—not only has Osgood repeatedly threatened to start selling off individual lots if things don’t work out in his favor, but Mormann and Associates have, on previous occasions, offered up various incarnations of Naples listings—but the timing of the newest properties does seem to be more than mere coincidence. Specifically, two chunks are on the market: The 110-acre coastal bluff is priced at a cool $55 million, and a 90-acre “horse facility” property at $15 million.

As for the project itself, with its future tossed into an unprecedented state of limbo thanks to the Board of Supervisors’ vote to take back the coastal part of their approval, things, at least in Osgood’s words, “still have a long way to go.” While the inland area development approval still stands, it has not yet begun to move forward as the California Coastal Commission is slated to hold a hearing, sometime this year, on the lot mergers required to make it a reality; Osgood’s once-upon-a-time approved plans for the coastal potion of his several-hundred-acre property essentially are back to square one.

For their part, both Chytilo and the folks from the Environmental Defense Center (who are representing the Surfrider Foundation in the fight against development at Naples) relished the apparent money trouble currently facing the developer. “We thought the thing was financially unstable from the beginning,” stated Chytilo, “and this only confirms that belief.”

Naples Project Status Report

reposted from: http://www.santabarbarasurfer.com/index.php/news/article/naples_project_status_report/

BY JANET KOED

Wednesday, February 3rd, 2010

The Naples Coalition applauds and thanks the legion or volunteers and supporters that have played important roles in the fight to save Naples. We are in the midst of battle on a number of fronts, and making significant positive progress. Saving coastal open space lands that others want to develop is never simple or quick. But so long as we can fight at every step, the developers will be held at bay and a permanent solution will eventually be achieved.

This is a status report to give you background on where the key battles are being fought today and will be in the future. We close with some simple “talking points” to answer questions other people may ask you about Naples. It is important that we state clearly our resolve to fight each and every inappropriate development at Naples and elsewhere on the Gaviota Coast. Naples and the Gaviota Coast are community treasures that cannot and will not be destroyed while we watch. We are committed for the long haul to saving these lands.

Naples Development Status: We have been whittling away at the County’s tentative approvals for the 71 houses the Supervisors approved in December 2008, immediately before the retirement of Brooks Firestone. The new supervisor for the 3rd District, Doreen Farr, is more protective of the Gaviota Coast and led the charge to rescind the development agreement for the 16 coastal lots. The County concluded the development agreement for the inland area had taken effect and couldn’t thus be rescinded without potential County liability. We believe the County has mis-read the operative documents, and are continuing to advocate for rescinding the inland development agreement as well.

The development agreements are long term contracts (30+ years) that lock the approvals in, preventing additional requirements and forcing future Boards of Supervisors to support the approvals regardless of changed circumstances.

The tentative County approvals remain in place, but all of the development requires approval of either infrastructure (roads, water lines) or the houses themselves from the California Coastal Commission. The Coastal Commission has demanded, in accordance with Coastal Commission practice, that the County recognize the act of merging the substandard lots as a form of development, since they facilitate development on the site. The Coastal Commission position requires additional County approvals that are now less certain due to the changed makeup of the Supervisors. This issue will go to the Coastal Commission first, probably in the next year, for an unusual “dispute resolution” hearing. The public will be alerted and asked to participate in that Coastal Commission hearing.

Assuming the County clears that hurdle, the Coastal Commission will then consider the revisions to the Local Coastal Plan and the permits themselves. The Naples Coalition, along with our allies the Santa Barbara Chapter of the Surfrider Foundation and EDC, consider the County approvals defective due to a number of Coastal Act and Local Coastal Plan inconsistencies, and the Coastal Commission hearing will be an important forum to air and resolve those claims, including concerns that the County failed to protect public access and require a trail network that enables public use in those areas where historic public use has created a prescriptive easement. The Naples Coalition and Gaviota Coast Conservancy are collecting surveys of the public’s areas of use that will be important to the Coastal Commission.

The Naples Coalition, Santa Barbara Chapter of the Surfrider Foundation and Environmental Defense Center filed a lawsuit challenging the County’s approval of the development on a number of grounds. This lawsuit will be heard sometime later this year.

At the moment, there are no buyers for the mansions proposed at Naples, and it appears there will not be for many years. The Santa Barbara Ranch developer, Matt Osgood from Orange County, is currently experiencing financial difficulties and may be unable to fund the many expenses required to perfect his approvals. It is unknowable at this time what may happen and who may own the property in the future. Numerous attempts to sell even parts of the project have been unsuccessful, and the Naples Coalition believes strongly that applicable policies and land use constraints render virtually all the Naples lots unbuildable. In any case, any development proposed on Naples lots will face staunch opposition and be scrutinized from every angle.

Naples and the eastern Gaviota Coast should be preserved as public open space, not be used for a wasteful and inefficient subdivision of gated, second homes. For over 100 years, many developer’s dreams have died at Naples, and the land is figuratively littered with their broken pick-axes. The Naples Coalition seeks to preserve Naples for future generations as an example of the undeveloped Gaviota Coast, and will continue its efforts for as long as it takes to preserve in perpetuity the rural character.

In a related development, another Orange County developer, Makar, has proposed 2 mega mansions next to Naples. Those houses are under review at the County. Makar also owns 25 additional Naples lots, but has not formally proposed development on those lots yet. The Naples Coalition and Gaviota Coast Conservancy are collecting evidence of the public’s historical use of the Makar lands as well. Any development would have to be approved by the County Supervisors and the Coastal Commission. Makar lost in a lawsuit filed by Gaviota Coast Conservancy and the Santa Barbara Chapter of the Surfrider Foundation, and may not have a water supply for half of the project. That decision is on appeal.

Other Gaviota Coast developments have faced opposition. GCC successfully stopped a mega mansion on Farren Road known as the Ballantyne residence and coined a “massive house and wall of dirt” by local journalists. The house was approved by the Supervisors at the behest of Brooks Firestone, but blocked shortly after. The Court of Appeal recently upheld the trial court decision to stop the project.

The Gaviota Coast Conservancy is monitoring and engaged in a number of other development proposals along the coast, and is active in the GavPac, the General Plan Advisory Committee that is reviewing land use protections on the Gaviota Coast.


Generic Naples Messaging:

► The development was poorly conceived and the approvals deeply flawed. The community will fight to preserve Naples for as long as it takes

► Any attempt to develop an individual grid lot will be subject to a series of obstacles and staunch opposition

► This property should be open space open to the public. Eastern Gaviota Coast must be protected, not developed

► Past public use of eastern Gaviota Coast has created permanent public rights of use by implied dedication. The Naples Coalition is collecting surveys from individuals that have used the area.


For more information contact Janet Koed at (805) 683-6631

Surfrider Gaviota Fundraiser Goes Big!

The Santa Barbara Chapter's recent "Save Gaviota" Holiday Party was an overwhelming success, raising more than $9,000.00 to preserve the Gaviota Coast - the last remaining stretch of undeveloped coastline in southern California. The event featured 1977 World Champion surfer and Santa Barbara resident Shaun Tomson as Master of Ceremonies, as well as a unique silent auction of hand-painted surfboard fins (graciously donated by Chuck Ames of True Ames Fins) by artists Ned Evans, Jesse Balmer, Rob Havassy, and Rick Rietveld, along with Santa Barbara locals Ryan Moore, Larry Iwerks, Sean Kirkpatrick, Rebecca Lovejoy-Stebbins, and Robert Heeley.

L to R - Matt Wallace, Shaun Tomson, Katie Tannenbaum, Sandy Lejeune, Scott Bull

In addition, original works created especially for the fundraiser by artists Nathan Paul Gibbs and Santa Barbara artists Jeremy Harper, John Klippenstein, and potter Scott Chatenever were part of the silent auction, along with an iconic print of legendary Hawaiian surfer and waterman Eddie Aikau by photographer Dan Merkel. All artists generously donated their time and talents.