The property, sold to PacificWest Asset Management Corporation, is the only fully occupied retail center in Malibu
By Barbara Burke
Special to The Malibu Times
“It’s bittersweet to sell The Park at Cross Creek,” said Steve Soboroff, managing director of Soboroff Partners, a shopping center development and leasing company with properties across Southern California that helped develop the retail center. Soboroff managed and co-owned the center with the Gerschel family. “My partners wanted to sell as part of their estate planning.” Soboroff added.
On July 1, Soboroff and the Gerschels announced the sale of the retail center to PacificWest Asset Management Corporation, based in Costa Mesa. Bill Bauman, Vice Chairman of Newmark’s Capital Markets team, represented the purchaser, while Kyle Miller of Newmark represented the sellers. The sale price was not disclosed.
The property, which totals 39,350 square feet on 5.96 acres, is the only retail center in Malibu that is currently fully occupied. The Park at Cross Creek was the first new retail center to open in Malibu in 35 years. Its diverse mix of locally owned small businesses and national retail tenants located in five buildings thoughtfully integrated into their surroundings, along with a sensory garden and multiple park spaces, has proved popular with Malibu locals and visitors alike. In addition to the 24,529-square-foot Whole Foods Market, tenants calling the center home include Blue Bottle Coffee, Howdy’s Sonrisa Café, Barefoot Dreams, and a Tesla showroom.
In addition to the 14 retail tenants, The Park is home to a learning garden operated through a partnership with Big Green, which connects children with real food; a state-of-the-art playground designed by Shane’s Inspiration that can be enjoyed by children with mobility challenges and developmental disabilities; a Horse Hitching Post for the equestrian community’s use; a lounge area with rocking chairs known as The Porch; and an open-air event space.
From controversial to cool — Soboroff reflects on the Park’s success
As many long-time Malibu residents know, Soboroff faced years of vociferous objections and contentious litigation by locals and interest groups who did not want him to develop The Park at Cross Creek.
“It was a labor of love to bring this center to life after the lengthy entitlement process,” said Soboroff. “Our goal was to create a place where all of Malibu felt welcome, and I am gratified that the people living here have embraced it.”
“This project was one of my proudest works,” Soboroff added reflectively. “After some people in Malibu strenuously objected to it being built, and caused us years of delay and millions of dollars, recently, in the past 18 months or so, I’vereceived several letters from some of them telling me they want me to know that they now appreciate The Park. That has been incredible validation.”
From a project “that was extremely controversial to it being cool,” that sums up the journey of The Park at Cross Creek, Soboroff said.
“Many people in Malibu have a knee jerk reaction and immediately object adamantly to a proposed project and they just assume everything is a bad idea,” Soboroff commented. “My goal in building The Park was to have happy tenants and a happy Malibu. It was not so focused on the investors benefiting.”
When asked if he might possibly be involved in future local projects, Soboroff said, “I look forward to continued involvement in helping Malibu’s future. I believe that some other projects in Malibu could also successfully go from initially being controversial to being cool — and they are very needed.”
Such as?
“Most notably, Malibu really needs workforce housing.” Soboroff responded. “Many people love to work here, but theysimply can’t make it happen due to the very long commute.”
In Soboroff’s view, with good urban planning, such workforce housing could be strategically placed somewhere in the center of the city.
“That added density would not ultimately increase traffic, but would increase the quality of services,” he said. “I would love to help with such a project. Either way, I intend to help the world, especially those with special needs and the underserved.”
Howdy’s co-owner, Ian Roven, commented about Soboroff’s tenure managing The Park at Cross Creek.
“We’ve been through a lot, what with the pandemic, fire, and floods,” Roven said. “Steve Soboroff has been a tremendous landlord and his are big shoes to fill. He has been a very compassionate and caring landlord and he has built a good family of tenants here. I’ve met the new landlords and I know they’ll continue his legacy.”
The new owners expressed enthusiasm over their new purchase.
“As a property and asset manager, PacificWest is excited about our client’s acquisition of The Park at Cross Creek and opportunity to be involved with such a beautiful property — a place for shopping, dining, and connecting! Our goal is to enhance its appeal while ensuring it continues to remain a special destination for years to come,” said Mitzi Reyes with PacificWest.