Old Air Force Base Site Rockets into the Future with Grand Opening of New Urban Neighborhood

Business Wire, Oct 11, 2007

ThreeSixty at South Bay Celebrates Opening of 27 Model Homes on Oct. 13

HAWTHORNE, Calif. -- It doesn't take a rocket scientist to know that an old Air Force base site, located between the city and the sea, makes an ideal landing spot for a new urban neighborhood.

In fact, William Lyon Homes, the developer of ThreeSixty at South Bay (http://www.360southbay.com), a new 625-unit resort-style residential community, hopes rocket scientists, computer specialists and engineers from the nearby Space and Missile Systems Center will be among the first buyers.

Located on land that once housed the Los Angeles Air Force Base, ThreeSixty at South Bay will open 27 new model homes in five different neighborhoods at 10 a.m. Saturday, Oct. 13. The new community is located at 5540 El Segundo Blvd. in the city of Hawthorne.

"There's a lot of aerospace history surrounding this place and the community is thrilled that the base has been saved and that this site has been given a new lease on life," said Carl Morabito, vice president and Los Angeles division manager of William Lyon Homes. "ThreeSixty at South Bay will deliver a new type of urban lifestyle in a location convenient to LAX, West Los Angeles and the beach communities."

The 40-acre site was part of the Los Angeles Air Force Base - considered by many to be the birthplace of the aerospace industry. During the past half-century, the base just south of Los Angeles International Airport has spawned such innovations as the first-generation Atlas and Titan missiles to the latest military satellite communications systems that send up-to-the-second information to troops in Iraq.

Saving The Base

The new ThreeSixty residential development marks the final chapter of a complicated land negotiation between the cities of El Segundo and Hawthorne that was designed to keep the Los Angeles Air Force Base off federal closure lists.

It had long been considered a target for closure because of its location amid office parks and warehouses just south of Los Angeles International Airport. The base houses no runways or military barracks and until recently was home only to scientists and engineers who do research and development for missiles, rockets, satellites and other systems and equipment for the Pentagon.

To many, however, the Los Angeles Air Force Base is one of the key economic engines in the region, providing approximately 13,000 jobs directly and indirectly through government contracts valued in excess of $8 billion to local aerospace companies.

Five years ago in a move to save the thousands of jobs and billions in revenues, city boosters and private developers joined forces in an all out effort to modernize the base and keep it from being shuttered.

El Segundo ceded the land once occupied by the base to Hawthorne in 2003. A development team consisting of San Francisco-based Catellus Development Corp., Los Angeles-based Kearny Real Estate Co. and Morgan Stanley Real Estate Fund IV built a new Space and Missile Systems Center to replace outdated and seismically unsafe buildings at the base.

In return for the $115 million state-of-the-art complex - which was completed in 2006 and currently employs more than 3,000 military and civilians and has an annual total budget in excess of $6.5 billion - the developer group received nearly 60 acres of land at the base.

"I'm proud and honored to have worked with former El Segundo Mayor Mike Gordon and Lt. General Brian Arnold to save the base," said Hawthorne Mayor Larry Guidi. "It took a strong leadership effort from all three of us and resulted in keeping jobs and revenues plus adding much needed housing to this vibrant area."

Residential Revival

In the fall of 2005, William Lyon Homes was selected by the development team to build one of the two residential projects slated for the 60-acre site. In place of the monolithic Cold War-era structures that once dotted the land, the Newport Beach-based homebuilder is providing a wide choice of residential living options at ThreeSixty at South Bay.

Located on the corner of Aviation and El Segundo boulevards, the project comprises 625 units within five different attached product types, and boasts resort-style amenities that rival the best Las Vegas hotels.

"With a variety of floor plan options, prospective buyers are sure to find an urban home to fit any lifestyle or budget," said Morabito, noting that units range from 957-square-foot studios to 2,729-square-foot luxury town homes with prices starting in the high $400,000s.

A 2.5-acre entertainment complex offers residents an abundance of indoor and outdoor attractions, including three pools, full gym, basketball and paddle tennis. Inside the posh center are party rooms and a billiard lounge with a wine tasting bar and several big-screen plasma TVs. Outside entertaining areas offer a fireplace, waterfall, barbecues and covered lounge areas.

"With its premier address near the beach and city, combined with its stylishly contemporary floor plans and red-hot resort-style amenities, ThreeSixty provides much needed new housing and contemporary urban lifestyles in the dynamic South Bay area," said Morabito.