Shapell Builds on Popularity of Northridge Porter Ranch Project
By CONOR DOUGHERTY
Staff Reporter
When the Los Angeles City Council approved the Porter Ranch project in 1990, it represented the largest single development in the city’s history and included plans for 3,400 homes and six million square feet of commercial and office space on 1,300 acres.
More than a decade later, the Northridge development is still paying dividends for Shapell Industries/S & S; Construction, which last year received approval for the construction of 200 new homes the most active residential development in L.A. County.
Shapell’s development is divided into three divisions, each with a different style of home: Renaissance, Portofino and Sorrento. The Renaissance homes are the most expensive, ranging from $750,000 to $900,000. Portofino homes are $600,000 to $700,000, and Sorrento homes are in the $500,000 range.
Elaine Mason, a company sales manager, said sales commenced on Portofino homes in February 2001, and Shapell has several more models to be released later this year.
The city approved the first phase of construction, 725 homes, in 1993. The project stalled during the recession of the early ’90s but gained momentum in 1998, when grading began for a 660,000 square foot shopping center. Shapell spent $57,599 lobbying to gain approval for the shopping center, which had been scaled back from 2.1 million square feet.
In addition to building and selling homes in Northern and Southern California, Shapell provides home financing for its customers and also offers interior design services. The company builds luxury townhouses and single-family homes in the $400,000 to $1 million range.
The company, which has built more than 62,000 homes since its founding, went public in 1969. After years of losses, the company returned to profitability in 1983, at which point co-founder Nathan Shapell returned it to private status by buying back outstanding shares for $33 million.
Most Active Residential
Project: Renaissance, Portofino and Sorrento homes at Porter Ranch.
Player: Nathan Shapell, Shapell Industries/S & S; Construction.
The Deal: Shapell gained approvals on 200 new homes in Northridge, slated to sell for between $600,000 and $900,000. Sales commenced on the first of the three models, Portofino, in February 2001, and Shapell plans several more models to be released later this year.
