By day, the derelict San Xavier Fish Reduction plant at 484 Cannery Row looks exactly like what it is: ruins of a bygone era when sardine fishing was king on the Monterey Peninsula.
But at night, with Christmas a month away, it is bejeweled with lights like many other properties on Cannery Row, and it seems like maybe – just maybe – the property has come back to life.
If only it were so simple.
The property has sat vacant for decades, a tantalizing slice of prime coastal real estate where it seems like something – anything – should have cropped up there by now. But alas, the ruins remain.
Behind the scenes, however, there have been some developments: For years, there’s been litigation over who actually owns the property. That’s now settled, per a decision by the state Court of Appeal in May, which granted ownership to Ruby Falls, LLC, and remanded the issue back to Monterey County Superior Court for the ministerial step of cleaning up a clerical error in the property’s deed.
Aqualegacy Development, LLC, which was in litigation with Ruby Falls over who owned the property, petitioned the state Supreme Court to overturn the lower court’s ruling, but on July 13, the Supreme Court denied that request. On Aug. 8, Monterey County Superior Court Judge Thomas Wills signed an order that fixed the error in the property’s deed, and Ruby Falls now owns the property free and clear.
But there remains one major problem, and it contains multiple smaller problems: The proposed development on the site, which the Coastal Commission approved in 2008, no longer has a coastal development permit. Ruby Falls (and Aqualegacy) asked for an extension of the permit, but in 2019 the commission denied the request. The proposed project – which includes 87,000 square feet of retail and restaurants, 38 market-rate condos, 13 workforce housing units, 377 parking spaces and an onsite desalination plant – still has an active permit with the City of Monterey, but without a permit from the Coastal Commission, it’s meaningless.
Ruby Falls is in litigation with the Coastal Commission over denying the extension, and a trial is set for April.
Bob Faulis, principal of Ruby Falls, believes the extension wasn’t granted because there was a cloud over ownership, and thus he believes Ruby Falls will prevail in the case.
But that’s not what Coastal Commission’s documents say in a report from 2019. The reasons to deny the extension, the report says, are that circumstances have changed.
One is that the state’s policy regarding desalination projects, adopted in 2015, requires that all desal facilities in a marine sanctuary create no harm to marine life – something only achievable, theoretically, with a slant well, which would be impossible at the Cannery Row site.
Another reason was a change in understanding of climate change-induced sea level rise.
Yet instead of trying to come up with a new project – perhaps one that could be served by a different water source, such as Pure Water Monterey – Faulis is forging ahead, and is starting a letter-writing campaign to the Coastal Commission.
“Maybe I’ve got a pipe dream, who knows,” Faulis says. “Letters do work, and speaking does work. Hopefully our public officials will listen to us.”
(7) comments
It's disheartening to witness the increasing polarization, aggression, and misinformation prevalent in our society today, even in a charming community like the City of Monterey. Allow me to clarify my role—I am not an out-of-town developer but a local who has called Monterey home for the past six years. Like many residents, my return to this city was motivated by cherished memories, particularly the special weekends spent with my dad on Cannery Row.
The driving force behind my current project stems from those precious bonding moments with my father. In 2015, When I stumbled upon the dilapidated lot at the heart of Cannery Row—marked by a decaying warehouse, fences, graffiti, and weeds—I felt compelled to take action. Upon investigating, I learned that this blighted space had remained vacant for six decades, and a development project had languished for 21 years (now 27). The permits were on the verge of expiration when I stepped in. My goal is to revive this project, which others deemed impossible, and bring it to completion as originally planned. Failure would condemn the space to decades of continued neglect.
My vision for this project extends beyond construction; it focuses on community, education, entertainment, jobs, and a gathering place for families. I am not merely a developer seeking profit; I am a local committed to the betterment of our community.
Addressing the misconception of being a "non-local" or a "big, rich, greedy developer," I urge you to inquire before making such assumptions. I am actively involved in the community—I chair the Monterey National Day of Prayer Breakfast, lead the WePrayMonterey.com monthly interdenominational prayer vigils, participate in the weekly Wise Guys Think Group, attend the Monthly Stillwater Club, contribute to homeless feedings on Saturdays, engage in beach cleanup efforts, and attend City Council meetings to provide input on various issues. I am working towards bringing together over eight nonprofits under one roof to enhance their impact on our community.
I am not a stranger to local events; I am well-known among friends and peers. My mission is to transform this currently fenced-off property into a hub for the community, generating employment, tax revenues, and breathing new life into Cannery Row. The risks and pressures are significant, but my motivation is rooted in a desire to serve God and families. While financial gain may be a byproduct of success, the true reward lies in making a positive impact on our community without causing harm.
I
appreciate your consideration and hope to foster understanding rather than perpetuate division within our community.
I rather see a "big gaping hole" than have another smug developer take away what little we have left of the original Monterey. Developers are ruining the area just to fill their pockets. This guy isn't even local.
:D you and me both Thomas!!
Maybe some local residents do not want " 87,000 square feet of retail and restaurants, 38 market-rate condos, 13 workforce housing units, 377 parking spaces and an onsite desalination plant." Maybe retail seems to be shuttering, as online marketplaces continued to outpace in-person shops. Maybe MCW should consider that development is at odds with their purported environmental stance.
Firstly, I must clarify one thing; lest our lender becomes upset. As for “free and clear,” it is a clear title but not free as one of our priorities is to pay off our lenders. Second, I don’t quite recall “pipedream.” I am quite analytical and calculated. Just as when I purchased the property, I studied all legal concerns and knew what the ultimate ruling would be. The same is true with our Calif. Coastal Commission (CCC) lawsuit.
The Writ of Mandamus is not about the change of circumstances, but instead about the legal requirements that the CCC transfer the then valid permit before any decision of “changed circumstance.”
This suit is about Property Rights, which ultimately, we should prevail – for the good of the community and all property owners.
Bob Faulis,
Local Developer
They should let him develop it. And thank him for developing that abandoned lot. This will not only make Cannery Row even better, it will also create more jobs.
I support reasonable growth that would eliminate blight, and present a wonderful attraction to add to the Cannery Row charm and the tourism it attracts. It would seem that those two parties should be able to reach some kind of compromise on water - indeed, one could even truck in potable water, and it should not be a stumbling block for advancement. I wish them success.
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