By RICK HENDERSON

Staff Reporter

USC, which prides itself on community outreach, has acquired the 14.6-acre University Village Shopping Center for $25 million from L.A. University Village Inc.

With about 200,000 square feet of lease-able space and 685 parking spaces, the center initially opened in 1975. Over time it has fallen into disrepair; many tenants have left or gone out of business. It was placed in financial receivership in 1997 and was refinanced in 1998.

USC spokesman Alfred Kildow said the school considers the center “a troubled holding we wanted to stabilize. It’s a very active part of our campus.”

Since the center was refinanced, new tenants locating there include Starbucks, Radio Shack, Foot Locker, and Payless Shoes.

In addition, the center contains the University Village 3 Theaters, the only cinemas in the area other than the Magic Johnson Theaters, which are about four miles from campus.

“I think it’s exciting USC bought it,” said Brad Luster of Major Properties Realtors. “It needs an upgrade in the tenant mix and needs to be fixed up. The parking there is tremendous, but the (street) access is bad.”

The school got in some hot water with local residents some years back when it built its four-story bookstore, a Carl’s Jr. fast-food restaurant, and several other retail businesses on campus, rather than in the neighborhood.

There’s also some concern that the university might attract stores that cater more to students than to other Hoover-area residents, whose median family incomes are about the same as a year’s tuition at USC.

But those worries seem minor, for now. “This should increase the center’s value to the community, especially to USC’s students, faculty and staff,” Luster said.

He added that USC recently had expressed interest in purchasing a neighborhood car dealership. Luster, who brokered the sale on behalf of the previous owner, ended up selling the dealership property to another buyer.

Some community observers said USC’s purchase may signal a resurgence of interest in further investments in the neighborhood. The university in the late 1980s had planned to develop a major hotel and office complex a few blocks off campus, but the recession ended those plans.

City Councilman Mark Ridley-Thomas considers the purchase “a good move. It is an indication that the university is making another sound investment in the community.” He says he’s convinced USC will “invest in improving the appearance as well as the quality” of the center.