Rebuilding of Beach Boulevard set to take another step forward with lease for future grocery site

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ANAHEIM, Calif. (Dec. 15, 2022) — A ground lease that would allow for a grocery and home improvement store at the long vacant west Anaheim corner of Beach Boulevard and Lincoln Avenue is set to be considered by Anaheim’s City Council on Tuesday.

If approved, the ground lease would be the next step in the development of a shopping center alongside a townhome community that got under construction in 2021 and is nearing completion.

Known as 39 Commons, development of the 30-acre site is a key part of Anaheim’s multiyear effort to revitalize Beach in the heart of west Anaheim.

Pending finalized leases, plans for the 39 Commons retail center call for a Sprouts Farmers Market and a Lowe’s Home Improvement store.

The home improvement store and the grocery store, which is a city requirement on the site based on resident requests, would be on land covered by the proposed 8.1-acre ground lease, which would run for 55 years.

Rent under the lease would be determined upon the developer’s finalization of leases with a grocery and home improvement store.

Construction of the retail spaces of 39 Commons are expected to start in early 2023 and finish later in 2023 and in 2024.

The center is also set to include restaurants and services immediately along Beach Boulevard.

An In-N-Out Burger, a drive-thru Starbucks, an additional drive-thru restaurant and stores and services are also expected, pending finalized leases.

Along with townhomes, the retail development will transform a site that once included a former landfill. The corner has been largely empty for nearly 20 years.

39 Commons is part of Rebuild Beach, our effort to transform Anaheim’s stretch of Beach into an inviting, walkable, livable street with thriving businesses.

The problems of Beach are all too familiar to nearby residents, businesses and anyone who has been to the area.

They include human trafficking and prostitution, hard drug use and distribution, illegal gambling, transiency, blight and other public safety and quality of life issues.

Anaheim is addressing the problems of Beach with strict, targeted law enforcement and proactive enforcement of the Anaheim Municipal Code.

We recently completed installing new brighter streetlights and are working to relocate overhead utility lines underground for better reliability and appearance.

We are also working with motels to improve operations and working with other businesses to improve the appearance of commercial buildings.

Long term, Anaheim is looking to redevelopment to transform the area, just as we have seen in downtown Anaheim, the Anaheim Resort and the Platinum Triangle.

In December, Anaheim concluded the $6.6 million purchase of the former Covered Wagon motel, which the city shut down in March for code violations and unsafe and inhuman conditions.

The motel is set to be demolished in January with the site set to be redeveloped as homes, including affordable apartments and townhomes for sale.

Redevelopment along Beach is happening now and will play out over the next few decades.

A summary of the ground lease for City Council consideration can be found here.