Starbucks at Eureka Gateway opens

LRE & Companies announced the grand opening of Starbucks, the first tenant of the highly anticipated Gateway Project in Eureka, earlier this week in a news release. The new Starbucks, built on the site of a repurposed building, marks a significant milestone in the revitalization of this area, providing a hub for community engagement, job creation, and economic growth, the company stated in the release.

Starbucks closed another location in Eureka not far from the new site.

“We’re excited to see the Gateway Project come to fruition with Starbucks as our first tenant,” said Akki Patel, founder and CEO at LRE & Companies. “This project required close cooperation with the Coastal Commission to ensure that we not only adhered to environmental protections but also contributed to the community’s needs and economic future.”

Working with the Coastal Commission was a critical part of the development process, as it ensures that projects meet California’s high environmental standards. Although the process can be lengthy, it is vital for preserving coastal ecosystems while supporting development that benefits the community. LRE & Companies was able to meet these requirements through innovative approaches and solutions that harmonized the needs of the environment and the people of Eureka.

San Rafael, CA – LRE & Co., a family-owned real estate development company, proudly marks its 25th anniversary, celebrating a legacy of innovation, resilience, and community impact in Marin County and beyond. Since its founding in 1999, the San Rafael-based firm has grown from humble beginnings into a dynamic
enterprise recognized for its distinctive projects and deep-rooted values.

Reflecting on the company’s journey, LRE & Co. has achieved significant milestones, including standout developments in Roseville and Fernley. “Our growth has been steady, but we pride ourselves on remaining small and nimble,” said Akki Patel, Founder and CEO of LRE & Co. “Winning the Roseville RFP was a major milestone, where we delivered on our promise to think outside the box with 11 acres of innovative development.”

LRE & Co.’s evolution is deeply tied to its family heritage and commitment to core values. “Real estate runs in our blood,” said Patel. This connection, combined with lessons learned from weathering multiple recessions, has shaped LRE & Co.’s patient, long-term approach to real estate, particularly in the dynamic Bay Area market. This approach has allowed the company to stay nimble, fostering strong relationships while expanding into new markets and industries.

Looking ahead, LRE & Co. is poised for continued growth and diversification, exploring opportunities in self-storage and multi-family projects. The company remains committed to creating value for the communities it serves while staying true to its roots. As LRE & Co. celebrates this milestone, it continues to drive creativity, collaboration, and community engagement, paving the way for the next 25 years and beyond.

About LRE & Co.
LRE & Co. is a family-owned real estate development and construction company based in San Rafael, California. Since its founding in 1999, the company has established itself as a leader in commercial real estate, with a diverse portfolio that includes partnerships with national hotel brands, franchise restaurants, and
innovative developments across Northern California and northwest Nevada. With a focus on agility, community impact, and a deep connection to its heritage, LRE & Co. remains committed to creating value for the communities it serves.

For more information, please visit https://lrecompanies.com or call (415) 491-1500.

As a CEO, I navigate the high-stakes world of California’s commercial real estate, where aspirations often meet formidable challenges. I have learned to navigate the complexities alongside many dedicated agents, developers, and community members. Here in the Bay Area, I’ve faced the same tough regulations and fierce competition, and through these experiences, I’ve gathered some insights on how to thrive in this demanding environment. Here are my strategies for turning California’s obstacles into profitable ventures and transforming difficulties into opportunities for success.

What is CEQA?

The California Environmental Quality Act (CEQA) is a cornerstone of the state’s regulatory framework, designed to protect the environment by requiring state and local agencies to identify and mitigate the environmental impacts of their actions. For developers like myself, CEQA is a double-edged sword —essential for sustainable development but often a source of significant delays and added complexity.

In my nearly 25 years in the commercial real estate sector, navigating CEQA has been akin to running a marathon blindfolded. While I appreciate its intent to safeguard our environment, the process can feel overwhelmingly intricate and protracted, especially for those who are new to CRE in California. Here are some insights and strategies that have helped me manage this “necessary evil” more effectively.

1. Start with thorough preparation

Before diving into any project, it’s crucial to understand the full scope of CEQA requirements. Engage with environmental consultants early to conduct preliminary assessments and identify potential red flags. This proactive approach can save time and resources in the long run.

2. Build strong relationships with regulatory agencies

Cultivating positive relationships with local and state regulatory bodies can be immensely beneficial. Regular communication and transparency can help streamline the approval process. Agencies appreciate developers who are cooperative and committed to adhering to environmental standards.

3. Engage the community

Community involvement is a critical aspect of the CEQA process. Host public meetings, provide transparent information about your project’s benefits, and be open to feedback. Gaining community support can mitigate opposition and facilitate smoother navigation through the regulatory landscape. You may also have the opportunity to build community allies who will help to push your projects through the finish line.

4. Leverage legal expertise

CEQA regulations are complex and ever-evolving. Having a legal team with expertise in environmental law can help you navigate potential legal challenges and ensure compliance. They can also assist in preparing robust environmental impact reports (EIRs) that withstand scrutiny.

5. Plan for delays

Delays are an inherent part of the CEQA process. Incorporate potential delays into your project timeline and budget. This realistic planning helps manage expectations and reduces the pressure of meeting unrealistic deadlines.

6. Embrace sustainable practices

Aligning your project with sustainable practices not only benefits the environment, but also positions your development favorably under CEQA. Innovations in green building, energy efficiency, and resource management can expedite approvals and enhance your project’s appeal.

The broader regulatory environment

CEQA is just one piece of the puzzle in California’s intricate regulatory environment. Zoning laws, building regulations, and high costs of living add additional layers of complexity. However, these challenges also present opportunities for those willing to navigate them with patience and strategy.

Entering California’s real estate market is not for the faint-hearted. It requires a unique mindset, boundless patience, and relentless effort. However, for those willing to navigate its complexities, the rewards can be substantial. As I often say, California is a long game — embrace the journey, adapt to the challenges, and transform them into opportunities for success.

By embracing preparation, community engagement, legal expertise, and sustainable practices, one can navigate this challenging landscape and emerge victorious. In the end, it’s about resilience, innovation, and a relentless pursuit of turning dreams into reality.

The space will be surrounded by shipping container walls, which act as canvases for local artists, according to LRE & Companies.

Vote Followed by 10-day Appeal Period with No Objections

Rocklin, Calif. – LRE & Companies, a full spectrum real estate development, asset manager, construction, and hotel management company, announces that it has received approval from the City of Rocklin to move forward with its plans for “University Square”-a 10-acre mixed-use development project at the intersection of Sunset Boulevard and University Avenue.

University Square is the developer’s first project in Rocklin and second in Placer County, and will provide great opportunities for retailers in this growing community. The project is scheduled to be completed by the end of 2025.

RESOLUTIONS ADOPTED

During the Feb. 13, 2024, City Council meeting, the Council moved to adopt the following resolutions of the City Council of the City of Rocklin:

1. Approving a Design Review of University Square; and
2. Approving a Conditional Use Permit for University Square.

The meeting was followed by a 10-day appeal period, during which time there were no objections raised by the public.

RETAIL, RESTAURANTS AND MORE…

The site will have more than 20,000 square feet of retail space and 5,000 square feet of space for quick service restaurants with drive-thrus; a 123-room Hilton Garden Inn; a 10,000 square-foot daycare center; a 3,700-square-foot convenience store; and a car wash. Circle K, a convenience store and gas station chain offering a wide variety of products, will be 3,700 square feet and also sit on a site. University Square has lined up some exciting tenants, with leases to be finalized in coming weeks.

“The City of Rocklin has been an amazing partner and we could not be more thrilled and honored to get the green light for this project,” says Akki Patel, CEO of LRE & Companies.

“UNIVERSITY SQUARE IS ANOTHER EXAMPLE OF US FOLLOWING THROUGH WITH OUR APPROACH OF DEVELOPING AT DYNAMIC INTERSECTIONS IN GROWING MARKETS WE HAVE IDENTIFIED OVER THE YEARS AS A DEVELOPER ON THE WEST COAST.”

Akki Patel, CEO of LRE & Companies

ADJACENT TO TOWNHOME COMMUNITY

The project is adjacent to Estia at Rocklin, a build-to-rent townhome community with 181 units, and located across the street from William Jessup University, a private Christian university with more than 3,000 students. It is also just east of the 8,497-acre Sunset Area development, whose plan is centered around a new California State University, Sacramento and Sierra College campus.

BECOME A TENANT

Currently, LRE & Companies is reviewing letters of intent from interested tenants to fill the remaining spaces. Interested parties can contact Ariel Fox afox@rightsite.com. The project is scheduled to be completed by the end of 2025 and will be a retail hub complemented with hospitality components.

A new hotel is moving into Sacramento — and this one comes with a continental breakfast.

AC Hotels by Marriott will unlock the doors to its newest project, AC Hotel Sacramento, in March at 905 Seventh St. in downtown Sacramento, according to a news release.

“We couldn’t be more excited to expand into California’s Capital City and welcome business and leisure travelers,” said Zuzana Strouhalova, general manager with AC Hotel Sacramento.

“The hotel’s location is ideal for everyone who chooses to visit the great city of Sacramento… there’s something for every visitor just minutes away from AC Hotel Sacramento,” she said in a news release.

In an email on Thursday, spokeswoman Stephanie Brown with the Marriott brand said the building has been in the works for roughly three years and under construction for the past 18 months.

“Every moment has been designed, refined, crafted and considered to create a comfortable, elegant and unobtrusive experience,” she added.

Here’s how much it costs to stay the night at AC Hotel in downtown Sacramento, as well as what to expect when you settle into your room.

HOW MUCH DOES NEW DOWNTOWN HOTEL COST A NIGHT?

The sleek eight-story hotel — in walking distance from the Golden 1 Center, SAFE Credit Union Convention Center and the Old Sacramento waterfront — features 179 rooms.

Brown said rooms start at $172 per night.

There is no flat rate, meaning prices are based on the market.

The hotel is designed for both locals and travelers, AC Hotels said, from its food and drinks to its “thoughtful” amenities.

Slices of meat and bread served at AC Hotels by Marriott. The lodging chain will open a new location at 905 7th St. in downtown Sacramento in March 2024. Anne Ousey AC Hotels by Marriott

WHAT ARE THE AMENITIES AT AC HOTEL SACRAMENTO?

The hotel features free wifi, “flexible” workstations, digital check-in, a laundry facility, a fitness center and pet-friendly accommodations, according to a news release.

The gym has stair climbers, rowing machines, treadmills and strength-training equipment.

“The brand focuses on details and experiences that genuinely matter to provide a seamless, intuitive experience that lets travelers live life by design, not by default,” the lodging company wrote on its website.

The AC Kitchen serves an “elevated” continental breakfast for $23 a person. The menu includes muesli, a breakfast cereal with dried fruits, sliced meats and cheeses, pastries, egg tarts, yogurts, coffee, fruit and croissants.

The AC Lounge is a workspace during the day and a hangout spot at night with signature cocktails and local brews.

The menu highlights Spanish-style cuisine with dishes such as patatas bravas, fried potatoes drizzled with spicy red sauce and tortilla española, an omelet stuffed with potatoes and onion.

A coffee drink served at AC Hotels by Marriott. The lodging chain will open a new location at 905 7th St. in downtown Sacramento in March 2024. AC Hotels by Marriott

WHAT DO THE ROOMS LOOK LIKE? The rooms exude sophistication, AC Hotels said, from the sleek furniture to the curated artwork. WHEN WILL THE HOTEL OPEN? AC Hotel Sacramento will open in early March.

WHEN WILL THE HOTEL OPEN? AC Hotel Sacramento will open in early March.

Get Directions to this location on Google Maps

ROSEVILLE, CALIF. — LRE & Co. and American Hospitality Services have broken ground on Roseville Junction, a mixed-use development at 290 Conference Center Drive in Roseville, a suburb northeast of Sacramento.

Functioning as a sports and entertainment complex in Placer County, Roseville Junction will include two select-service hotels, three restaurants, an outdoor gathering place and The Electric Pickle, which will offer a bocce ball court, 10 pickleball courts and dining venues.

Caption by Hyatt Roseville will feature 112 rooms and suites, a fitness center, meeting facilities and a reimagined hotel lobby with an on-site restaurant and beverage venue, an all-day café, market and bar with a lounge and social space. Hyatt House Roseville will offer 126 rooms, including studios and one-bedroom suites, public spaces, workout spaces and a rooftop bar.

LRE & Company and American Hospitality Services kick off New Year with groundbreaking

Roseville, Calif. – LRE & Companies, a full spectrum real estate development, asset manager, construction, and hotel management company, in partnership with the American Hospitality Services, announces the groundbreaking ceremony for its highly anticipated project, Roseville Junction.

The event took place Thursday, January 11 at the project site: 290 Conference Center Drive, adjacent to the Galleria Mall and Highway 65. The event was attended by Roseville Mayor Bruce Houdesheldt, Economic Development Manager Wayne Wiley, Roseville City Council members, and community leaders.

HIGHLY ANTICIPATED PROJECT

“I’m thrilled that we can start 2024 with a green light to move forward, signaling to the community that this will be the future home of something amazing,” says Akki Patel, CEO of LRE & Companies.

“THE CITY OF ROSEVILLE HAS BEEN AN AMAZING PARTNER THROUGHOUT THE PROCESS, AND WE ARE GRATEFUL TO BE PART OF THIS GROWING COMMUNITY.”

Akki Patel, CEO of LRE & Companies

PHASE 1

“We’re grateful that the Roseville Planning Commission approved the Roseville Junction Hotels, clearing the way for this Phase 1 groundbreaking of our project,” adds Rohit Ranchhod, President and CEO of American Hospitality Services. “We look forward to its completion and having this space serve as a family-friendly gathering place for locals and visitors.”

The groundbreaking event provided an opportunity for the community to witness the beginning of a new era. Attendees engaged with the project’s visionaries and contributed to the excitement surrounding this transformative initiative.

“ONE-OF-A-KIND BEER GARDEN”

A core highlight of the site will be “Social Connection”-a one-of-a-kind beer garden that will feature a variety of food and beverage venues for locals and tourists. Already signed on as an anchor tenant will be Fieldwork Brewing Company, a popular brewery in Northern California. Roseville Junction’s strategic location adjacent to the Galleria Mall and Highway 65amplifies its significance within the community. The project is poised to offer a seamless blend of entertainment and hospitality, creating a dynamic destination that caters to diverse interests.

“It’s great to see the progress we’re making,” says Victor Chiang, VP, development, LRE & Companies. “When we first assessed the site, the first thing we noticed was its outstanding location. It’s centrally situated amongst so much amazing retail, including Westfield Galleria, The Fountains and Creekside Town Center. With so much retail surrounding us, there’s plenty of opportunity to attract shoppers from all over. Roseville Junction is the perfect place for them to connect and gather, enjoy the California sunshine, grab a bite to eat and raise a glass.”

HYATT HOTELS

Roseville Junction will function as a sports and entertainment complex in Placer County. The new mixed-use development will include two select-service hotels – Caption by Hyatt Roseville and Hyatt House Roseville, which were recently approved by Roseville’s Planning Commission.

Caption by Hyatt Roseville will consist of 122 rooms and suites, a fitness center, meeting facilities and a reimagined hotel lobby that will include an onsite F&B venue, an all-day café, market and bar with a lounge and social space. Meant for accommodations for short- and long-term stays, Hyatt House Roseville will feature 126 rooms, including studios and one-bedroom suites, public spaces, workout spaces and a rooftop bar.

THE ELECTRIC PICKLE

The Electric Pickle, Roseville Junction’s entertainment and sports complex, will comprise a bocce ball court and 10 pickleball courts, along with dining venues. Roseville Junction will include three restaurants, currently under negotiation, and an outdoor gathering space. The mixed-use development will also include multiple dining venues.

“As Roseville Junction breaks ground, LRE & Co. along with American Hospitality Services, Inc. invite the community to join in celebrating the progress and possibilities that lie ahead,” says Patel. “This event marks the realization of a vision that will shape the city’s future, creating an enduring legacy for generations to come.”

Dive Brief:

• The Habit Burger will open its first restaurant with a mobile pickup lane on Dec. 13 in Garden Grove, California, the company said in a press release this week.
• The 2,800-square-foot restaurant will provide dine-in, takeout and delivery in addition to mobile pickup. The restaurant also offers self-serve kiosks for ordering.
• The company said the mobile pickup lane is expected to “offer a faster, on-demand service, enhancing the efficiency and convenience of the drive-thru experience.”

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Dive Insight:

Habit Burger joins a growing cohort of fast casual restaurants to add mobile pickup lanes, including Chipotle, which started adding these lanes in 2019, Sweetgreen and Cava. Shake Shack has also been adding drive-thrus to its system, and had 21 company-operated drive-thru restaurants open at the end of the third quarter. Habit Burger offers traditional drive-thrus at 96 units, so this marks a shift in its off-premise strategy.

Mobile pickup lanes can dramatically decrease wait times. Chipotle, for example, boasts pickup times of around 30 seconds, which is far faster than a traditional drive-thru. Because Habit Burger typically cooks burgers to order, it has long been plagued by long waits of six to eight minutes, or more depending on the line.

Habit Burger added 33 gross new units last year, a 10% year-over-year increase. As of Q3 2023, the company had grown to 369 units compared to 341 in the year-ago quarter, according to an SEC filing. A majority (85%) of its units are company-owned. The move toward mobile pickup lanes could help support this ongoing growth. The chain reported negative same-store sales of 5% last quarter, and despite growing system sales by 4% and units by 8%, the brand’s operating loss was $2 million.

The company brought on new leadership this year with a new CEO and its first-ever global CMO. Leadership has been focusing on building strong unit-level economics, Yum Brands CEO David Gibbs said during the company’s November earnings call. The team is also working on creating a “cost-effective packaging range designed for off-premise occasions, along with a new prototype store to optimize CapEx and pre-opening costs,” Gibbs said. The chain also launched its first everyday value platform in November, Simple Crafts, for a limited time.

“We have tremendous confidence in the long-term prospects of this brand and are encouraged by the improvements that the team is making to deliver success in the future,” Gibbs said.