Shapell Leasing Up Plaza at Gale Ranch

SAN RAMON, CA-Tenants are following Safeway to the Plaza at Gale Ranch, a mixed-use neighborhood center here that is being developed by Shapell Homes, which is building a nearby master-planned community called Gale Ranch. The 126,000-sf development includes 103,000 sf of retail and 23,000 sf of office space.

Safeway is opening a 60,000-sf store on the property this week. The remainder of the center is under construction. The remaining retail is about 55% preleased and several other retail leases are under negotiation, a company source tells GlobeSt.com. Leases are being negotiated for about half of the office space.

The 11-acre development is located at the intersection of Bollinger Canyon and Dougherty roads. Other retail tenants include a Safeway gas station, Wells Fargo Bank, Union Bank, Ascona Pizza, Gale Ranch Dental Group, Gale Ranch Pediatric Dentistry and Gale Ranch Orthodontics, Peet’s Coffee & Tea and Fat Cactus Bar & Grille. Kelly Erardi, vice president of Shapell’s commercial division, says additional leases are under negotiation with a nail salon, dry cleaner, family hair salon/barbershop and sandwich shop. Shapell is also working with an ethnic-food restaurant operator to lease one of the restaurant sites.

Some of the merchants should be open by late September, while most of the shop space should be occupied and open by early 2008. The asking lease rate for the retail shop space and office space is $54 per sf per year plus $9.25 per sf in annual operating expenses. Michael Messinger or Ryan Warner of Meacham/Oppenheimer have the leasing assignment.

Gale Ranch is part of the master-planned Dougherty Valley community of more than 11,000 homes, consisting of single-family and attached for-sale residences and rental/lease apartments. There are currently 6,000 homes in the Gale Ranch development. In September, Shapell Homes plans to open the third phase of Gale Ranch, Mosaic, which will comprise 1,400 homes.