SFVBJ.COM SAN FERNANDO VALLEY BUSINESS JOURNAL Vol. 25, No. 3 THE COMMUNITY OF BUSINESS™ February 3 – 16, 2020 • $4.00 A Peek Inside REAL ESTATE QUARTERLY Skunk Works AEROSPACE: Lockheed expands secret R&D operation. By MARK R. MADLER Staff Reporter Lockheed Martin Corp. broke ground in De- cember on an expansion of its top-secret Skunk Works facility in Palmdale. The new 208,000-square-foot manufacturing factory is the first new building in 30 years at Air Force Plant 42, the military-owned property where Lockheed and other large aerospace com- Please see AEROSPACE page 37 Outdoor Amenities: Office campus at Hospital Needs 4500 Park Granada in Calabasas. Building Funds HEALTH CARE: AV ’s r e p l a c e m e n t REAL ESTATE 2020 facility may cost $650 million. By AMY STULICK Staff Reporter Business Journal takes crystal ball approach to commercial markets. Residents within the Antelope Valley Health- care District will vote on a $350 million bond By MICHAEL AUSHENKER industrial, FivePoint Holding’s massive towers in Burbank. measure next month that will determine the fate Staff Reporter Valencia project in residential and Shapell But the economy poses a question mark. of the region’s hospital. Properties’ Vineyards in Porter Ranch “We are long in the tooth in the market,” A proposed replacement hospital, to be built t the start of the new decade, the for retail. At the same time, a presidential broker John DeGrinis with Woodland on district-owned land southwest of the existing Business Journal asked developers election and slower growth in the econo- Hills-based Newmark Knight Frank told A and brokers what’s ahead in com- my could damper to outlook. the Business Journal. “We’ve gone 10 or 11 Please see HEALTH CARE page 36 mercial real estate. Gazing into the future, Mian years without a cycle change.” Several projects coming online in Development Corp. has several regional ECONOMIC FORECAST 2020 will impact the region, includ- hotels in the pipeline and Warner Bros. Please see REAL ESTATE QUARTERLY ing Santa Clarita’s Needham Ranch in Entertainment will build “iceberg” office SPECIAL REPORT page 23 The economy of the PHOTO BY THOMAS WASPER San Fernando Valley will grow by 3.4 percent this year – faster than the nation as a whole, Nissan Accused of Double-Dealing on Car Lot according to the Center AUTOMOTIVE: Did Carlos Ghosn Byron Moldo, the court-appointed receiv- for Economic Research er for Sage Automotive Group alleges and Forecasting at California Lutheran and allies deflate price? Nissan, under Ghosn’s leadership, concealed Fienup a “corrupt” financial relationship with Trophy University in Thousand By ANDREW FOERCH Staff Reporter Automotive Dealer Group LLC in Glendale, Oaks. Economists from which bought the Universal City dealership the center delivered their forecast at a Business The receiver for the company that former- and three others, including Mercedes-Benz of Journal breakfast on Jan. 15 at the Hilton ly owned Universal City Nissan alleges that Valencia. Woodland Hills hotel. Matthew Fienup, the Carlos Ghosn, the former chief executive of A lawsuit was filed in December against center’s executive director, said the the “outlook Nissan, and his allies conspired to devalue the Nissan and two of its subsidiaries. for the nation has eroded dramatically.” dealership so a hidden partner could buy it at a PHOTO BY DAVID SPRAGUE BEGINNING ON PAGE 13 greatly reduced price. Please see AUTOMOTIVE, PAGE 4 Dealership: Universal City Nissan. Kobe Bryant’s Conejo Valley Business MAIL TO: LIST p. THE It’s unclear what impact the passing of NBA icon will have on Mamba Sports Academy. 6 BUSINESS IMPROVEMENT DISTRICTS Cooperation Key for Tourism Promoters Ranked by 2019 budget Crew at Ventura County Lodging Association, p. 5See page 11 right, works with other groups to improve results. 10 Ranked as one of America’s Best PPBI.com/LosAngeles Banks by Forbes ©2020, Forbes Media LLC. Used with permission. Pacific Premier Bank is a registered trademark. All rights reserved. 001_sfvbj_cover+JUMPS (36-37).indd 1 1/30/20 3:19 PM 2 SAN FERNANDO VALLEY BUSINESS JOURNAL FEBRUARY 3, 2020 SAN FERNANDO VALLEY BUSINESS JOURNAL ® LOS ANGELES • GLENDALE • SANTA CLARITA • BURBANK • CONEJO VALLEY • SIMI VALLEY • SAN FERNANDO • CALABASAS • AGOURA HILLS • ANTELOPE VALLEY 2.00 FEBRUARY 3 - 16, 2020 VOLUME 25, NUMBER 3 8-MONTH CD SPECIAL Deal for dealership 4 Camarillo developer 26 AEROSPACE 27 OFFICE Entertainment and e-commerce are driving office and industrial leasing in West 1 DEFENSE Lockheed Martin’s secret Skunk Works research and development center in Valley amid decreased inventory. Antelope Valley gets bigger. 29 SUBMARKETS A breakdown of real estate AUTOMOTIVE deals and data. 4 DISTRIBUTION Local auto franchisee claims SPORTS former Nissan chief executive Carlos Ghosn and his cronies forced it to sell dealerships. 6 TRAINING What will become of Mamba Sports Academy in Newbury Park without DIGITAL partner Kobe Bryant? 8 FINANCE College savings app U-Nest gets TOURISM $3.5 million in venture capital investment. 3 TRAVEL Viking Cruises launches ECONOMY “Expeditions” division with smaller ships and extreme locations. 13 FORECAST Economists at Business Journal breakfast say the San Fernando Valley’s 10 MARKETING Valley Business Improvement economic growth will slow in 2020. Districts collaborate with each other. FINANCE VALLEY INSIDER 6 SOFTWARE Analyst predicts BlackLine Inc. 3 PEOPLE Musella Group president joins will see increased revenue per customer Forbes Agency Council. YOU’RE KIND OF A through the decade. 9 INVESTMENT FloQast gets $40 million THE LISTS PIG DEAL in Series C to create close management and 11 BUSINESS IMPROVEMENT DISTRICTS Ranked automation products. by 2019 budget BUT HOW DO YOU STACK UP AMONGST YOUR COMPETITION? HEALTH CARE REGULAR FEATURES 1 CONSTRUCTION Antelope Valley Hospital 31 COMMUNITY OF BUSINESS anticipates a $600 million overhaul. 32 MERGERS & ACQUISITIONS LAW 33 VALLEY 50 How Valley-based companies 7 EMPLOYMENT Lewitt Hackman hosts performed on the stock market. seminar to parse impact of AB5 on gig workers. 34 AROUND THE VALLEYS SPECIAL REPORT: 35 CALENDAR Events around the Valley. REAL ESTATE QUARTERLY 39 INDEX 23 DEVELOPMENTS What to expect ahead for the Valley’s office, industrial, retail and COMMENTARY multifamily markets. 38 ONE MORE THING Carlos Ghosn may be right 26 HOSPITALITY Mian Development Corp. about Japan’s “unfair” legal system and undertakes hotel projects in Camarillo, clubby business culture. Calabasas and Ventura. 38 OPED Higher minimum wage affects businesses in unforeseen ways. CORRECTION In the Jan. 6 edition’s story “Warehouse Leases More Profitable Than Retail,” the CUSTOM CONTENT photo caption for the story should have stated 35 PEOPLE & COMPANIES ON THE MOVE that Karina Beltran and Patrick Conn work 36 BUSINESS MARKETPLACE at Charles Dunn Real Estate Services Inc. MARKETING STRATEGY San Fernando Valley Business Journal (ISSN 1526-0712) is published biweekly by San Fernando Valley Business Journal, 21550 Oxnard, Suite 540, Woodland Hills, CA 91367. Periodicals postage paid at 11150 Santa Monica Blvd., Suite 350, Los Angeles, CA 90025. Subscription price: 26 issues: $49.95. BUSINESS EXECUTION COWE CONSULTING To subscribe or for customer service, call (855) 856-4749. All other inquiries (818) 676-1750. Single copies, $4.00. Mailed copies, $6.00. Back issues, $9.00. Address and subscription inquiries to: Circulation Department, 11150 Santa Monica Blvd., Suite 350, Los Angeles, CA 90025. This BUSINESS & BRAND DEVELOPMENT newspaper is designed to inform decision-making executives, investors and managers on trends, growth and ideas important to commerce and industry in PUBLIC RELATIONS the San Fernando Valley area. Information in San Fernando Valley Business Journal is gathered from sources considered to be reliable, but the accuracy of this information cannot be guaranteed. Neither that information nor any opinion which may be expressed here constitutes a solicitation for the purchase or sale of any securities. Opinions expressed in letters to the editor and commentaries are those of the authors and not necessarily those of the San Fernando 1-800-527-3646 [email protected] coweconsulting.com Valley Business Journal. POSTMASTER: Send address changes to San Fernando Valley Business Journal, Circulation Department, 11150 Santa Monica Blvd., Suite 350, Los Angeles, CA 90025. 002_sfvbj_toc.indd 2 1/30/20 12:43 PM FEBRUARY 3, 2020 SAN FERNANDO VALLEY BUSINESS JOURNAL 3 VALLEY Viking Expeditions INSIDER Seek Distant Shores JOEL RUSSELL Ships take small groups to rugged destinations for a higher price. New PR Council Member By ANDREW FOERCH Staff Reporter John Musella president of public rela- , Around 350 guests turned out at the Bev- tions agency Musella Group in Valencia and erly Hilton hotel last month to see Viking Los Angeles, has joined the Forbes Agency Cruises officially launch its “Expeditions” Council, an invi- division and name two new ships. tation-only group The Expeditions line will be a series of of owners and small-ship cruises to more extreme, less executives in the accessible destinations than are available on PR, media and ad- the Woodland Hills company’s traditional vertising industries. ocean and river cruises. So far, Expeditions In connection with will take travelers to Antarctica, the Arctic Rendering: Penguin watching on Viking Expeditions division voyage to Antarctica. the council, Musella and the Great Lakes. can share his “Our guests are curious explorers. They watercraft are currently under construction as wildlife appearances, or simply to explore expertise in original want to continue traveling with us to famil- by Italian shipmaker Fincantieri and will be something new. iar and iconic destinations, but they would delivered in Norway in a few years. Kahn said people who want to go on Musella articles on Forbes. com. … West Hills- also like to travel further,” said Viking The Octantis will begin sailing to Ant- expedition cruises are generally willing to Chairman Torstein Hagen in a statement.