Crest Real Estate has its name at three possible developments in Pacific Palisades: the homes on the Tramonto Slide, a proposed single-family residence on Mt. Holyoke and a development off Paseo Miramar.
The neighbors at all three sites have said repeatedly they are not NIMBY’s (not in my backyard). That they welcome responsible development, but say these projects are out-of-proportion with the rest of the neighborhood. All three are slated to be built on landslides.
Many residents are upset with Crest, but when Circling the News spoke with Crest President Steve Somers in late June, he clarified that his company are not the owners or developers of the three properties, but rather expeditors/consultants.
Crest provides expertise about legal land use and how to expedite permitting through the City.
“We’re hired by developers,” Somers, a UCLA alumni said. “There are so many regulations and rules that projects are required to obtain approval from the City. We can offer succinct guidance about going through the process.”
Unlike a novice new builder, who has never sought a permit from the City, Crest is an expert on the permitting process. They know the steps that need to be taken and the correct order. They serve as a middleman between the city and property owners.
“It is becoming increasingly more complex,” Somers said. “Sometimes a project may have to go through 10 or more agencies.”
One reader wrote in early June that, “425 Holyoke makes me really, really sad. It is pure pay to play City and State politics and the Crest Real Estate group has connections and are using it all over.”
Somers emphasizes Crest does not make the final decision. Their “marching” orders come from the developers who pay them to expedite the process.
What if the community is against a certain project? “We take the comments and concerns back to the developer, but ultimately they are the ones making the decision,” he said.
A project in Mandeville Canyon that would have included building a mega mansion by dramatically cutting into a hill, was hotly contested by the neighbors.
The entire neighborhood came together with lawyers, geologists and land-use experts and presented Crest with what they felt were reasonable safety concerns. They included dirt hauling, dust control, flag person, truck size and a “slew” of other conditions and restrictions – that are now attached to the property.
“We did not say you cannot build here. The owner has the right to develop their property,” one resident said. “But we said, ‘here’s how you will be accountable to us if there’s a problem.’”
The neighbor said that “Tony [Russo] was good to work with even though they were opponents.
She said that Tony worked hard for his client, but that ultimately “We [the neighbors] felt we accomplished everything we wanted to.”
Ed Hieronymous, a member of the California Riveira HOA Architectural Review Committee (ARC), has worked on different project with Somers for about 10 years.
The Architectural Guidelines are set forth in the covenants, conditions and restrictions and all building plans must be approved by the ARC before construction begins (even if the City has already approved it).
He told CTN that “Steve understands the rules and regulations and helps people understand what they can and can’t do. It’s an open and transparent process.”
The L.A. Business Journal in an October 2023 story (“Permit Experts Making Waves”) wrote that Jason Somers, Crest’s founder and chief executive said the brothers “are capitalizing on L.A.’s notoriously difficult permitting process, guiding the design process and working to get projects greenlit for their high-end clients in the most expedited fashion.
“It’s not a very known industry – this code-consulting, land-use blend of law and architecture,” Jason said. “So that was the fortune of our career paths, but it’s a skill set that fits both of ourselves perfectly.”
The journal added that brothers Jason and Steve are typically brought in by clients on a referral basis and charge on an hourly basis against an estimated contract. But, “due diligence is typically a fixed fee, however.”
While Somers was at UCLA, during the summer, he worked for a land use consultant based in Calabasas. He planned to go to law school, and had been accepted at Columbia, but discovered he liked the industry. He and Jason started their own company in 2012.
“It’s been growing ever since,” he said, noting that they now have about 30 people working for them.
Working on a development, they often become the face of the project. “There are going to be people who don’t like a project,” he said. “We want to be transparent and answer questions from neighbors.”
And what if neighbors have legitimate concerns or issues? They can bring it to expeditors, who will take it to the developer, but ultimately, “We’re not the ones that make the final decision,” Somers said.
Some people in the Marquez area may remember Sommers had tried to discourage Los Angeles DWP from implementing the large pole-top distribution station (61-foot poles) at Marquez Avenue and Sunset and instead use a pad mount option.
As an expeditor, he was trying to help the developer who wanted to build three homes on the old Bernheimer Garden site, at 16980 Sunset. He argued in 2017 “Nobody wants to see this massive industrial installation suspended in air. Given that this installation could remain for many years, we find it shocking that LADWP is unwilling to explore our offer further for the benefit of the community and adjacent homeowners.
CTN also spoke to another expeditor, who did not wish to be identified, who verified that developers hire geologists and construction experts, who then write the reports that are presented to the City, which then either approves them or not.
This expeditor was asked what if neighbors hire an expert who disagrees with the developer’s report.
It appears that the City does not register the conflicting report. That report might only come into effect in a subsequent lawsuit – or maybe if the project goes to the California Coastal Commission.