Is TIC feeling any pain?

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I stopped worrying about TIC's profit margins since they own almost everything. Who do they have to pay rent to for that space?

A closer look from their end could be that Fox Sports was an eye sore. That place had been empty for a long time.

There's speculation on the negotiations, terms, and how it went down, who's fault etc. But in the end...



Fox Sports was Empty (Bad for Fox, bad for TIC, bad for us)

Fox Sports goes to Anaheim (Cheaper rent for Fox)

We might get a new place to hang out with Ten and his people (maybe in a year)

So it's a win situation for the patrons of IRVINE. I'm hoping for more BEER cause we cant get enough.



Who would we like to see occupy that space? Who would make you visit the Spectrum again?





[quote author="graphrix" date=1215581129]

Profit margins on restaurants are small. So, when TIC decides to double their rent from $50k to $100k a month, it could kill the profit. IMO that was a very dumb move by TIC. That place will be vacant for at least six months, and they could have leased it to Fox for $75k like they wanted. But, instead it will take them 18 months to recover from that loss for being vacant for six months. They are being greedy, and they need to stop, otherwise they will not be making the money that they could make if they would just lease the place for what businesses can to make a profit.</blockquote>
 
[quote author="rickhunter" date=1215584593]

Who would we like to see occupy that space? Who would make you visit the Spectrum again?

</blockquote></blockquote>


A Burke Williams in that space would be nice.

I hate having to drive up to the Block and the Mission Viejo location is tiny.

Not even sure if the MV location is still around.
 
[quote author="rickhunter" date=1215584593]Who would we like to see occupy that space? Who would make you visit the Spectrum again?</blockquote>


From the sounds of it we'd like to see a brick and mortar financial institution that provides sound fiscal advice and products during the day (that could be rented at well below an appropriate commercial multiplier rate). As a bonus, it must convert to a Sushi place/Casino/Dance Hall/Pizza Parlor during the evenings.



Any investor interest?
 
[quote author="rickhunter" date=1215584593]

Who would we like to see occupy that space? Who would make you visit the Spectrum again?



This is just pure hallucination.

This would fit perfect in the Fox Sports slot.

How about a Card Casino ?

Lets call Larry Flynt and set him up with TIC.

The new Hustler Casino Irvine.

All the Asians would just go nuts for a local Pai Gow game.

They almost did it in Garden Grove ?
 
[quote author="rickhunter" date=1215584593]Who would we like to see occupy that space? Who would make you visit the Spectrum again?</blockquote>


I would love to have a real restaurant, <a href="http://www.starchefs.com/chefs/MSamuelsson/html/bio.shtml">with a real chef (not a cook) like Marcus Samuelsson</a>, and not some lame ass, crappy food, stupid chain.
 
[quote author="25w100k+" date=1215587083]Maybe indymac can open up another branch in the big vacancy. They just opened one up on alton.</blockquote>
Are you talking about the one near Jeffery by the El Pollo Loco? That branch gets no foot traffic whenever I drive by around 4-6pm.
 
[quote author="PadreBrian" date=1215660635]I think that branch is closed...but not sure. Give them a a few weeks, and they will be closed.</blockquote>
Either that or the Feds will come occupy it until Indymac is sliced and diced. =op
 
[quote author="PadreBrian" date=1215605416]Thanks for the link. Yeah, we knew Bren had the $$. I loved the link on the bottom.

"O.C. rents 6th highest in the nation"

http://lansner.freedomblogging.com/2008/07/08/oc-rents-6th-highest-in-the-nation/





That's explains why Bren is building 1000 units over by Woodbury.</blockquote>
Don't forget about the 500 or so that will be built by the Spectrum in additon to the ones already there. Does Don know something that we don't???
 
Well as usual TIC is working with the deck in THIER favor. They have been sitting on tons and tons of cash generated by the bubble and probably cashed out before the crash. OR has had a policy of operating with a HEAVILY positive cashflow instead of trying to get as much leverage as everybody will allow. Just stay the course and when the time comes it will go to reasonable level (like it has a time or two or three before).



Just good common practice. And one final OR... OR they are cleaning up to sell off everything, just a though.

-bix
 
This recession is hitting The Irvine Company much harder that the last one.



When TIC decided to expand its empire outside of the ranch it made numerous high profile property acquisitions in the Silicon Valley, Century City, La Jolla, and Downtown San Diego. Most of the locations are the entertainment and tech market with high disposable income. It also started construction on a high rise office tower designed by IM Pei in downtown SD. It borrowed a lot of money for these purchases. The numerous massive layoffs of extremely experienced veterans are definitely distress sign of cash flow. The layoffs are much more extensive than initially predicted.
 
[quote author="bkshopr" date=1243940392]This recession is hitting The Irvine Company much harder that the last one.



When TIC decided to expand its empire outside of the ranch it made numerous high profile property acquisitions in the Silicon Valley, Century City, La Jolla, and Downtown San Diego. Most of the locations are the entertainment and tech market with high disposable income. It also started construction on a high rise office tower designed by IM Pei in downtown SD. It borrowed a lot of money for these purchases. The numerous massive layoffs of extremely experienced veterans are definitely distress sign of cash flow. The layoffs are much more extensive than initially predicted.</blockquote>
I thought TIC was like the Terminator...they don't feel any pain and just keep marching forward through whatever is thrown their way. Interesting that they also make the same mistakes that greedy property chasers were making (guess they just have stuck with what they know best...THE IRVINE RANCH). TIC is a rock solid company but they are not immune to what is going on in the economy, hence my doubt about them having any success getting that $375/sf prices for new construction.
 
Well, I think the layoffs could be a convenient excuse to get rid of some overhead as TIC transitions into a property management company. I figure that's their ultimate goal since they are a private and have a limited supply of developable land already owned. At least if I were Bren, that's what I'd do, probably a gross cash flow of $billion a year, no pressure to grow, why risk losing a good thing?



I think the San Diego deals were made at a time where they saw an opportunity in a down market, I also think a lot of these acquisition deals (not just TIC's) were promoted internally by a few upper management people to keep themselves employed.
 
[quote author="usctrojanman29" date=1243940948][quote author="bkshopr" date=1243940392]This recession is hitting The Irvine Company much harder that the last one.



When TIC decided to expand its empire outside of the ranch it made numerous high profile property acquisitions in the Silicon Valley, Century City, La Jolla, and Downtown San Diego. Most of the locations are the entertainment and tech market with high disposable income. It also started construction on a high rise office tower designed by IM Pei in downtown SD. It borrowed a lot of money for these purchases. The numerous massive layoffs of extremely experienced veterans are definitely distress sign of cash flow. The layoffs are much more extensive than initially predicted.</blockquote>
I thought TIC was like the Terminator...they don't feel any pain and just keep marching forward whatever is thrown their way. Interesting that they also make the same mistakes that greedy property chasers were making (guess they just have stuck with what they know best...THE IRVINE RANCH). TIC is a rock solid company but they are not immune to what is going on in the economy, hence my doubt about them having any success getting that $375/sf prices for new construction.</blockquote>


When the Empire of the Sun tried to expand its empire outside of its territories by invading all other countries in Asia and even across the Pacific. It spreads its resource too thin and eventually succumbed to its own ambitious demise. The expansion certainly damages TIC's invincible terminator immune system. The massive layoff is a possible distressed sign.



Ambition and trophy benchmark pricing is still a goal for tic. I still support my benchmark pricing assessment.
 
[quote author="bkshopr" date=1243941517][quote author="usctrojanman29" date=1243940948][quote author="bkshopr" date=1243940392]This recession is hitting The Irvine Company much harder that the last one.



When TIC decided to expand its empire outside of the ranch it made numerous high profile property acquisitions in the Silicon Valley, Century City, La Jolla, and Downtown San Diego. Most of the locations are the entertainment and tech market with high disposable income. It also started construction on a high rise office tower designed by IM Pei in downtown SD. It borrowed a lot of money for these purchases. The numerous massive layoffs of extremely experienced veterans are definitely distress sign of cash flow. The layoffs are much more extensive than initially predicted.</blockquote>
I thought TIC was like the Terminator...they don't feel any pain and just keep marching forward whatever is thrown their way. Interesting that they also make the same mistakes that greedy property chasers were making (guess they just have stuck with what they know best...THE IRVINE RANCH). TIC is a rock solid company but they are not immune to what is going on in the economy, hence my doubt about them having any success getting that $375/sf prices for new construction.</blockquote>


When the Empire of the Sun tried to expand its empire outside of its territories by invading all other countries in Asia and even across the Pacific. It spreads its resource too thin and eventually succumbed to its own ambitious demise. The expansion certainly damages TIC's invincible terminator immune system. The massive layoff is a possible distressed sign.



Ambition and trophy benchmark pricing is still a goal for tic. I still support my benchmark pricing assessment.</blockquote>
I got an offer to go work for TIC as a senior analyst in their retail property group back in 2001 coming out of PwC as a senior auditor and almost went to work for them. I ended up going to work at Pac Life across the way from TIC instead.
 
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