header image

[Sign Up Now] to Receive Our FREE Daily SCVTV-SCVNews Digest by E-Mail

Inside
Weather
Santa Clarita CA
Sunny
Sunny
85°F
 
Calendar
Today in
S.C.V. History
August 8
1769 - Portolá expedition crosses Newhall Pass at Elsmere Canyon, camps at Chaguayanga village (Rye Canyon/Castaic Junction). [story]
Portola


As the COVID-19 crisis sparks increased demand and innovation in the healthcare industry, Five Point Holdings LLC is telling healthcare businesses to “Come Home to Valencia.”

Company CEO Emile Haddad told investors in a letter Tuesday, filed with the SEC, that Five Point is looking to the healthcare sector to fill commercial space in its Valencia expansion west of Interstate 5.

“At our Great Park (Irvine) and Valencia communities, we have been focused on healthcare users/strategic partners for development opportunities on our non-residential land,” Haddad wrote. He pointed to City of Hope, which will anchor a large healthcare campus in Irvine, as “just one example of a blue-chip healthcare strategic partner.”

Even before the current crisis, healthcare was one of the key industries targeted for expansion by the SCV Economic Development Corporation. As an industry sector, it’s one of the area’s biggest employers. Five Point and its previous iteration, Newhall Land, have had considerable success in luring healthcare businesses to Valencia, and Haddad said he predicts even more demand for healthcare innovation and uses in the future. Here already with a major presence are Advanced Bionics, Boston Scientific, Bioness, Quest Diagnostics and the Alfred Mann Foundation.

According to the EDC, “Santa Clarita Valley’s strong private sector presence in medical devices, especially the abundance of researchers and other skilled professionals, is an incredible asset for the area. These skilled professionals, and similarly many entrepreneurial ventures within the industry, tend to seek out communities that are viewed as being supportive and innovative  environments.”

CEO Emile Haddad

As reported previously, Five Point has said it is well positioned to weather the current economic slowdown. Been there, done that.

“Our management team has been together through several market cycles,” he wrote. “During the Great Recession period of 2008-09, this same team repositioned the company’s current assets through some of the most complicated workouts. As such, it is in the DNA of the company to be prepared for unseen market shifts.”

Five Point’s long-term loans don’t come due until 2025, and “none of the company’s master-planned communities (such as Valencia) is encumbered with project debt,” the letter said.

Five Point has had most of its employees work from home since March 16, when the company implemented what Haddad called its “3-6-9 Plan.”

“It is simply a plan that assumes that revenues are going to be pushed back 3, 6, or 9 months and then assess which variable expenditures should be pushed back, accordingly. We immediately started implementing the first 3-month delay. As we monitor developments related to COVID-19, we will decide whether there is a need” for a 6- or 9-month delay. “Our hope is that this crisis will be over soon and that we will be able to go back to our original plan.”

The company has previously reported that it’s not a big problem if continued Valencia development is pushed back to the end of the year.

Five Point has scheduled an annual meeting by webcast on June 10. Shareholders will be asked to reelect former state Treasurer Kathleen Brown, former Irvine Company executive Gary Hunt and retired hedge fund manager Michael Winer to the company’s board of directors.

Luxor Capital Group LP, a New York-based hedge fund management company, continues to increase its position in Five Point; it now holds 17.7 of Class A common shares, equating to 8.2 percent of all outstanding common shares. As of Tuesday, Five Point’s biggest “owners” in terms of shares are the Florida-based developer Lennar Corp. with 39 percent, the private equity firm Castlelake LP with 17 percent, Luxor with 8.2 percent, and the equity firm Third Avenue Management LLC with 7.9 percent. Haddad owns 3 percent.

 

Comment On This Story
COMMENT POLICY: We welcome comments from individuals and businesses. All comments are moderated. Comments are subject to rejection if they are vulgar, combative, or in poor taste.
REAL NAMES ONLY: All posters must use their real individual or business name. This applies equally to Twitter account holders who use a nickname.

0 Comments

You can be the first one to leave a comment.

Leave a Comment


Latest Additions to SCVNews.com
The Santa Clarita Community College District Board of Trustees will hold a Business Meeting Wednesday, Aug. 10.
Aug. 10: COC Board to Consider Van Hook Salary Increase
1769 - Portolá expedition crosses Newhall Pass at Elsmere Canyon, camps at Chaguayanga village (Rye Canyon/Castaic Junction). [story]
Portola
1901 - Giant meteor seen over SCV skies; possibly makes landfall in Bouquet-Texas canyon area [story]
meteor
1892 - Western actor and Saugus rodeo owner Hoot Gibson born in Nebraska [story]
Hoot Gibson
Spectrum announced a donation of $5,000 to Single Mothers Outreach through the company’s national community philanthropic program, Spectrum Employee Community Grants.
Single Mothers Outreach Receives $5,000 Spectrum Employee Community Grant
The Los Angeles County Department of Public Health confirmed 19 new deaths throughout L.A. County, 4,864 new cases countywide and 146 new cases in the Santa Clarita Valley.
Friday COVID Roundup: Public Health Urges Unvaccinated to Consider Novavax
Senator Scott Wilk, R-Santa Clarita has announced that more than $2 million in funding from the Housing Navigators Program will go to child welfare services in Los Angeles and San Bernardino Counties.
Wilk: New Funds Will Offer Important Service for Foster Youth
While we are in the middle of the long, hot days of summer, what better way to beat the heat than go to The Cube – Ice and Entertainment Center?
Laurene Weste | Stay Cool, Come to the Cube
State Superintendent of Public Instruction Tony Thurmond has announced a plan to highlight new grant opportunities available for aspiring mental health clinicians to support California students.
State Superintendent Secures Funds for 10,000 New School Counselors
The Santa Clarita Valley Blues Society will host live music Sunday Aug. 14 from 5-8 p.m. at the American Legion. The American Legion is located at 24527 Spruce St., Newhall, 91321.
Aug. 14: SCV Blues Society Hosts Live Music at American Legion
Los Angeles County Department of Parks and Recreation invites residents to better connect with the more than 550 miles of beautiful public trails across the county.
County Parks, Recreation Encourages Use of Public Trails
California Department of Public Health Director and State Public Health Officer Dr. Tomás J. Aragón issued a statement Aug. 4 on the national public health emergency declaration on the monkeypox outbreak.
CDPH Responds to National Public Health Emergency Declaration on Monkeypox
Castaic Animal Care Center will accept cats needing to be spayed or neutered at the Neighborhood Cat Spay and Neuter Clinic Thursday, Aug. 11 at the Castaic Animal Care Center.
Aug. 11: ‘Neighborhood Cat Spay, Neuter’ at Castaic Animal Care Center
The office of California State Senator Scott Wilk, R-Santa Clarita, will host an informational virtual program with the California Department of Insurance on wildfire preparedness on Wednesday, Aug. 10.
Aug. 10: Wilk Hosts Virtual Program on Wildfire Preparedness
The Friends of Castaic Lake will hold a ‘Pride in the Lake’ event, Saturday, Aug. 6 starting at 9 a.m.
Aug. 6: Friends of Castaic Lake to Host ‘Pride in the Lake’ Event
The COVID-19 pandemic interrupted many facets of daily life, including routine health screenings, vaccinations and medical check-ups.
CDPH Urges Californians to Catch-up with Vaccinations, Check-ups, Screenings
1891 - Surrey post office established inside Saugus train station; Alexander Fraser, postmaster [story]
Surrey postmark
Foster parenting is a meaningful way to provide children at-risk with safe, nurturing support and resources to thrive.
Aug. 18: Children’s Bureau Foster Parenting Zoom Orientation
The Los Angeles County Fire Department battled a brush fire Thursday along Soledad Canyon Road and Commuter Way.
Firefighters Battle Blaze Near Soledad Canyon Road, Commuter Way
Anthony Bell, store manager at the CVS Pharmacy on Seco Canyon Road in Santa Clarita, was awarded a 2022 Paragon Award from CVS Health.
Santa Clarita CVS Manager Awarded Store’s Highest Honor
The Valley Industry Association has a keen interest in our local, state and federal elected officials.
VIA Hosting Candidates Forum
Relay For Life of the Santa Clarita Valley team “got cure?” is sponsoring a Painting with a Purpose fundraiser on Saturday, Aug. 13, beginning at 3 p.m.
Aug. 13: Relay for Life Painting With a Purpose Fundraiser
Saugus High School’s cheerleading squads will host a youth cheer clinic fundraiser Sunday, Sept. 18, from 1:15 p.m. to 4:30 p.m, for kindergartners through eighth grade.
Sept. 18: Saugus High to Host Youth Cheer Clinic
The Los Angeles County Department of Public Health confirmed Thursday one new death and 158 new cases in the Santa Clarita Valley, with a total of 22 new deaths and 4,930 new cases countywide.
Thursday COVID Roundup: 158 New SCV Cases, One Additional Death
SCVNews.com
%d bloggers like this: