Port Disappointed in Gaylord's Withdrawal From Project

Monday, 17 November 2008
Contact: John Gilmore (619) 686-7206 (619) 341-5684

The Port of San Diego said today it is disappointed by Gaylord Entertainment's decision to end its plans for a $1 billion hotel and convention center on the Chula Vista bay front.

The Nashville, Tenn.-based company, which operates several resorts and country music's Grand Ole Opry, announced today that it was withdrawing from the project that figured prominently in the Port of San Diego's Chula Vista Bayfront Master Plan. The company and Port have been negotiating a lease for the property and the 1,500 to 2,000-room hotel and convention center.

"We're deeply disappointed," Board of Port Commissioners Chairman Michael Bixler said. "This was a project that could have provided a much-needed economic stimulus to Chula Vista and the South Bay area. Obviously, we will seek other opportunities."

Gaylord said the Chula Vista plan was being dropped because of complicated regulatory and legal requirements, off-site infrastructure costs and prolonged planning.

The Port acknowledged the stringent regulatory requirements that are unique to California. Approval was required by at least 10 regulatory agencies, including the California Coastal Commission, the state Lands Commission, the state Air Resources Board, and the local water board.

The infrastructure costs for preparing the land for the Chula Vista project is estimated to be about $200 million.

In May, the Port released a revised Environmental Impact Report for the 556-acre project. It received more than 900  comments and since then Port staff has been working to answer each one.

Representatives from the Port's Land Use and Environmental divisions are assessing the impact of Gaylord's withdrawal from the project and determining the next step in planning for the bay front development.

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