State Property

A Malibu beach house once used by MTV, the aging San Quentin State Prison and Los Angeles Memorial Coliseum have been included on a list of properties estimated to be worth more than $4 billion that California could sell or remake into more profitable enterprises, state officials announced Thursday.

The historical plaque on the reconstructed Palace of the Bishops of Krakow in central Warsaw gives no hint that it's stolen property, but to Joanna Beller, heir to the massive building, that's exactly what it is. Ever since the 1989 collapse of communism here, Beller, 65, has been battling the Polish state for the return of this prime real estate, now housing a branch office of Poland's social security agency.

Gov. Arnold Schwarzenegger wants to sell the Los Angeles Memorial Coliseum, San Quentin State Prison, the Orange County Fairgrounds and other state property to raise cash amid the state's growing fiscal crisis, according to a copy of a proposal reviewed by The Times. Sale of the properties, to be included in the governor's revised budget plan today, would raise between $600 million and $1 billion, although it would not provide financial relief for two to five years, according to the proposal.

It was a big, early test for Gov. Jerry Brown. And he passed with an "A. " He opted for prudence rather than expedience. Brown essentially walked out of escrow Wednesday on arguably the worst real estate deal the state of California had ever conjured up. It was a transaction authorized by a wimpy Legislature ? trying to avoid deeper spending cuts and higher taxes ? and negotiated by the Schwarzenegger administration. Former Gov. Arnold Schwarzenegger ? a play now, pay later type of guy ?

Reporting from Sacramento Gov. Jerry Brown pulled the plug Wednesday on the planned sale of two dozen state office buildings, calling the proposal negotiated by his predecessor a raw deal for taxpayers. Brown's announcement came after the state had struck an agreement to sell 11 properties, including the Ronald Reagan State Building in downtown Los Angeles, and rent space in the same buildings for decades. The transaction would have generated $1.2 billion to help balance California's budget, but independent experts had warned that it would cost taxpayers far more over time.

Over the objection of the state's top two fiscal officials, the Schwarzenegger administration on Monday pushed through a controversial plan to sell state properties to raise money for cash-strapped California. The sale of 24 buildings at 11 locations, including the Ronald Reagan State Building in downtown Los Angeles, is expected to generate $1.2 billion to help shrink the budget deficit. The state is obligated to lease back the properties for at least 20 years. A recent report from the nonpartisan Legislative Analyst's Office said the costs involved in the transaction over the long run will be roughly equivalent to borrowing at 10% interest for 35 years ?

A decision by the State Bar of California to move its longtime headquarters in downtown Los Angeles has cleared the way for a $250-million apartment and retail complex on what is now the State Bar's parking lot near Staples Center. Beverly Hills developer Sonny Astani and parking lot giant L&R Group of Cos. bought the 3-acre property from the lawyers' group for $29 million. It is surrounded by Olive Street, Grand Avenue, Pico Boulevard and 12th Street. “This is probably the last large parking lot downtown that is unentitled and undeveloped,” Astani said.

William J. Kenney of Donahue/Schriber has been elected chairman of the board, and John J. Caldecot of Carter Hawley Hale Stores has been elected president of the California Business Properties Assn. Other officers elected at the organization's annual membership meeting in Sacramento were: Alan Roodhouse, Reininga Corp., vice president; Tod Ridgeway, SDC Development, vice president; Brent Howell, Coldwell Banker, secretary/treasurer, and Jo Anne Bernhard, legal counsel.

A Sacramento County Superior Court judge Wednesday ruled against a group of California cities in their battle with the state over hundreds of millions of property tax dollars that used to flow to local redevelopment agencies. Judge Timothy M. Frawley said he would not grant the request from Glendale, Pasadena, Huntington Beach and other cities for an injunction that would have prevented the payout of property taxes on Friday to schools and counties. Cities believe some of the money belongs to them and should be used to pay for such projects as parks, affordable housing and freeway intersections that had been agreed upon before Gov. Jerry Brown won his battle to eliminate California's 400 municipal redevelopment agencies late last year.

The plan by state park officials to use state land in Orange County for a boutique private resort is the wrong way to raise revenue for a strapped parks system. Public coastal land should be available to the public. Plans for the resort at Crystal Cove State Park, north of Laguna Beach, were developed in secret. They call for average rentals of $225 a night, going as high as $400, to stay in renovated cottages. There could be as many as three swimming pools.