Item 13 - Additional Material posted 12-07-21M EMQRAN DLJ M City of Poway
ADDITIONAL MATERIALS
(Agenda Related Writings/Documents provided to City Council or Staff after distribution of the
Agenda Packet for the December 7, 2021 Council Meeting)
DATE:
TO:
FROM:
CONTACT:
SUBJECT:
December 7, 2021
Honorable Mayor and Members of the City Council
Carrie Gallagher, City Clerk
(858) 668-4535 or cgallagher@poway.org
Item 13 -Development Review 21-003 -Outpost: a Request to Modify an
Approved Mixed-Use Development (Development Review 17-010) at 13249-
13253 Poway Road
Attached please find correspondence received after the agenda posting deadline.
Reviewed/Approved By:
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Assistant City Manager
1 of 2
Reviewed By:
Alan Fenstermacher
City Attorney
Approved By:
City Manager
December 7, 2021, Item #13
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E'XTERNAL EMAIL
ADDITIONAL MATERIALS
Danny Sherlock
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Dan Sherlock: Craig Ruiz
City Council item # 13 -permit for Capexco
Monday, December 6, 2021 2:18:16 PM
The Boys & Girls Club was asked by City staff to provide space in the Community Park parking lot to
Capexco for the purpose of storing materials for their building project. Therefore, the Club and
Capexco entered into a sublease. In January of 2021, Capexco stopped making payments to the
Boys & Girls Club and ignored all efforts by Club staff to reach them to confirm their continued use
of the site and to get their payments current. Meanwhile, their materials remained on the site
behind a locked gate. By December 1, Capexco owed the Boys & Girls Club $32,595.46 in rent and
late fees. On November 19, 2021 the Club received a check in the amount of $5,234.00 from
Capexco. On November 29, Walter Fritz of Nuera Group, contacted me on behalf of Capexco to
discuss the sublease. We met on December 2 at the site. I was told that Capexco was forced into
bankruptcy by a lender. I was told that Capexco had moved the property to another subsidiary, so it
couldn't be seized by the lender. I was told that Capexco couldn't pay us at this time for the period
of January 1 through September 13, 2021, due to ongoing litigation with the lender.
Later on December 2, I received an email from Mr. Fritz asking if the Boys & Girls Club "Would
accept 1/3 now, 1/3 at the end of January and the balance end feb with no additional rent
accrued?" My questions are: Why did Capexco wait until a week before they sought a new permit
from the City to respond to the Boys & Girls Club? Are they offering to pay us before the litigation
has been decided? Won't our payment be up to the bankruptcy court, not Capexco? If they played
a shell game with the lender, how trustworthy are they to honor their offer to make three
installment payments by the end of February? How can we be assured that the Club and the Poway
children we serve receive the money owed?
The Boys & Girls Club petitions the City Council to add a condition to the proposed revised permit:
For Capexco to remit the balance due to the Boys & Girls Club for this project by December 31,
2021. Note: the amount due is currently $27,361.46.
Thank you for your consideration.
Danny Sherlock
President/CEO
Boys & Girls Clubs of Greater San Diego
Mailing: PO Box 178569 San Diego, CA 92177
Office: 4635 Clairemont Mesa Blvd., San Diego, CA 92117
Phone: 858.866.0591 x 206
2 of 2 December 7, 2021, Item #13