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Dawn of a new day Print E-mail
Written by James Leonard | Patterson Irrigator   
Friday, 10 October 2008

Optimism reigns as World International acquires Diablo Grande for $20M

For more on Diablo Grande, read Our Voice.
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The seven-month bankruptcy ordeal endured by Diablo Grande owners and residents is over, sparking hope for both buyers and homeowners. Photo by Elias Funez/Patterson Irrigator
The sun shined a little more brightly on Diablo Grande on Wednesday morning. The grass was a little greener. The birds sang with more joy.

Or perhaps it just seemed that way to the employees and residents of troubled golf resort and housing development in the hills west of Patterson. After all, a trying seven-month bankruptcy process had finally ended.

Resort developer World International LLC, with the help of co-developer Laurus Corporation, acquired Diablo Grande late Tuesday in a $20 million bankruptcy sale.

The new owner of the troubled development announced many of its plans for the development in a Tuesday press release.

The most surprising? World intends to change Diablo Grande’s name to give the property “a fresh start, seeking inspiration from the surrounding beauty and its Californian heritage.”

Laurus marketing director Frederique C. Szita said the new developers are mulling possibilities for the new name but said a date for the change has not been determined.

The change got at least one thumbs-up this week, though, from Jonathan Homes CEO Gary Chase, a longtime Diablo Grande resident and member of its homeowners association.

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Bright future: The sun rises Wednesday morning over the Diablo Grande community in the hills west of Patterson. After months of negotiations and uncertainty, resort developer World International LLC bought Diablo Grande in a $20 million bankruptcy sale. Photo by Elias Funez/Patterson Irrigator
“I think homeowners will agree that with that new blood and new ideas and new vision, changing the name would probably be quite appropriate,” Chase said.

“Diablo Grande needs to be revitalized, and it couldn’t be done with the existing ownership. And with this new group, which has the capital to make it work, Diablo Grande will be a new community.”

Big plans
Many of World’s plans for the “new” Diablo Grande are a continuation of the goals set forth by founder Donald Panoz. Those plans, however, were derailed in part by numerous lawsuits regarding environmental issues, which combined with a slumping housing market to doom Diablo Grande.

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Finally sold: Tightly packed condos continue to fill the Salado Creek Canyon along with the two existing golf courses and hillsides of rolling vineyards, which was recently bought by a resort developer. Photo by Elias Funez/Patterson Irrigator
“I am pleased that World International LLC is purchasing the property,” Panoz said in a statement. “I know that the principals will move forward to make the development a success and will follow through on our vision that started 20 years ago — to make this the best development in California.”

Szita said in the press release that World’s plans for Diablo Grande include a five-star resort, spa and convention center, Spanish-style villas, townhouses and single-family residences, an equestrian center and bike trails.

The plans also call for a new country club for Diablo Grande’s two golf courses and a “residence club” membership that will include access to many outdoor activities. World also plans to create a shopping village with a grocery store, dining options, banking services and office suites.

In an e-mail to the Irrigator, Szita said the resort will likely be the top priority, with the shopping plaza and a new entrance gate to follow.

“We will be working closely with the city and county to share our ideas and plans to seek their approval,” Szita said. “We all want to be on the same page going forward.”

Gary DeSantis, president of the Diablo Grande Legends West Board of Golfers and a longtime resident, is hopeful the new ownership can take Panoz’s vision and overcome a slumping economy to complete the project.

“This area just has so much going for it,” DeSantis said. “With proper planning and an aggressive strategy to develop, it can define itself as a total destination. We’re excited about it.”

World International’s group of investors includes Mexican builders with more than 60 years of experience in resort development. And Laurus’ portfolio includes major resort projects in the United States and around the world.

Chase, who has been in contact with Laurus regarding the homeowners association, said he thinks the company has what it takes to make Diablo Grande shine.

“These are complicated times with complicated issues,” Chase said. “(Laurus is) a very bright group, very intelligent, and they already have a major proven track record. I’m convinced they’re going to do all the right things.”

Avoiding past mistakes

Part of the optimism surrounding the new ownership comes from the perceived failures of the original owners.

Panoz, along with vice president of development Dwain Sanders, have been blamed for various aspects of the project’s undoing.

“My wife and I are just totally delighted that Panoz and Dwain Sanders are out of the picture and have nothing to do with the project anymore,” DeSantis said. “The housing downturn was just the final nail in the coffin. The project hadn’t been run right for a long, long time.”

Szita later said that Sanders, who declined to comment for this story, will continue in his current role. His official title has not yet been determined.

DeSantis specifically cited mismanagement of Diablo Grande’s golf membership. Panoz, he said, drew up a new membership plan that disenfranchised members and led to a 50 percent drop in membership.

Then there’s the water situation. Diablo Grande has consistently been out of compliance with state regulations regarding the presence in the water of trihalomethanes — a chemical compound that can lead to cancer or other serious diseases — and some residents have reported health problems they believe to be related to the water.

Those residents have been critical of the way Sanders — who is also president of the Western Hills Water District, which provides and treats the development’s water — has handled the situation.

It’s already something Laurus is working to correct.

“We are in the process of reviewing a number of proposed solutions and will act quickly to resolve the situation,” Szita said. “The homeowners’ satisfaction is a priority for the new owners, and solving the water quality situation is paramount.”

To contact James Leonard at the Irrigator, call 892-6187 or e-mail This e-mail address is being protected from spam bots, you need JavaScript enabled to view it .
Comments (32)add
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written by Laughing at the whole mess , October 11, 2008
Finally some good news that the water will be a priority issue. Lets hope this all works. I would love to see it all happen. What would be an added bonus is to enable residents a choice in utility and gas companies, JS West are robbers and they are ripping off residents with their rediculous amounts per month for propane. Other propane and gas companies do NOT charge 4 and over per gallon. Oh well water first lol
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Conflicting statements
written by Me , October 13, 2008
Interesting that Mr. Sanders per Mr. DeSantis is no longer with the project yet World says that he is. THere is no doubt that both the golfers group and the HOA have no respect for him.

No one can fault him for the problems that Diablo Grande encountered. But it is his attitude and arrogance that makes everyone mad. If Laurus wants a fresh start, they should make changes, otherwise, I suspect that they will meet resistance from homeowner groups for one.

WE will have to see what happens
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Hoping for Change
written by Mark G Weller , October 13, 2008
Sander's definitely has a bad attitude and has to go.I agree that the development needs a "Fresh Start" and the HOA along with Mr. Sanders must be replaced.

I also hope World also takes a look at the obvious monopolies that JS West and Turlock Irrigation District have here.There is no choice as of now and The rates for Propane are ridiculous.

We will see what happens soon I guess and I look forward to having solutions to these issues.
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HOA?
written by Me , October 13, 2008
Why does the HOA need to be replaced? Whom do you mean? ARe you saying that you want individual Board members to be replaced? Or do you mean to get rid of the whole a*sociation?
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written by Mark G Weller , October 13, 2008
Personally I would prefer to have the a*sociation be done away with altogether. This has nothing to do with the individuals (Except Dwayne Sanders)and is not meant as a attack on any individual. I just feel that a*sociations are unnecessary.

I for one would rather care for my own yard (I can do it far better than the existing gardeners that do nothing really)and I don't need anyone telling me where/when/how to park my car. And the people that live here with their own businesses don't need to be told weather they can park a "Commercial" vehicle at their own home.

Considering that majority of residents are families with children I feel the direction needs to be re thought. Panoz in my opinion should have built the hotel, the recreation (Equestrian Center) and the business/shopping center at the time the development was started to give golfers and others a reason to come here besides homes. There needs to be parks for the children, a public pool for the residents etc.

I would love for the board members to announce who they are here and speak their thoughts but so far most comments here are "ficticious names".

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Mark
written by Me , October 13, 2008
I think you are going to see the opposite moving forward. More and more restrictions trying to make the area very upscale. The guard house will be redone making it trully gated, more restrictioins on parking, etc.

The a*sociations cannot go away. They are here forever, and they will police the rules. Although shopping centers in the beginning would be nice, it is not feasible financially.
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You'll never be happy Mark, will you?
written by Kitsap , October 13, 2008
You just complain, complain, complain! Keep the HOA we pay for Security, wildlife environment and a way of life. Yes some of the rules need to be adjusted but with an increase in population we can get folks on the HOA board who have families and own businesses and we can talk openly about whats going to be acceptable and not. Why don't folks with (kids) apply for the HOA open positions? They just want to complain. Why don't you apply for a seat MARK? Oh or forgot you can't... So now that it been purchased and they are going to fix YOUR water issue you still want people fired and do away with this or that. I should have ignored you as I have the last year but you got to stop with all of the neg......
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To: Kitsap
written by Mark G Weller , October 13, 2008
Actually I was answering a simple question from "Me". My posts were and are constructive. If you think that posting positive thoughts on the direction this development should take in response to a direct question are complaints than I suggest you go back to school and learn how to read and interpret the english language.

It's fools like you that always try to turn these comments into something besides what they are intended.

I don't have to and will not stop with my opinion. If you don't like it don't read it.

And I am not interested is a seat on anyone's board. The board is unnecessary in my opinion and that is that smilies/smiley.gif
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written by Laughing at the whole mess , October 13, 2008
In regards to "me" policing the rules? isn't that what the real police are for? something tells me you are a member of the HOA lol - If you are then may I suggest you worry about how the idiots moving in here now have the driving skills of a fly. People drive faster through here than they do on the indy. Mark my word someone's child is going to get hit by a car because these idiots think they own the damn road. It is out of control. Even in the mornings the cars do not stop for the bus but pa*s it while it is loading children. Where will the HOA be then?
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HOA Necessary...
written by DG , October 13, 2008
I think all homeowners need to attend the next meeting as I will make an effort to be there to bring up the serious issue of people driving way to fast up here. I'm not sure what HOA can do but the point is having a forum, a place for residents to be heard and share their concerns. We can all make a difference if we all ban together and have a civilized discussion. HOA can keep all of our properties looking nice because if someone is lazy and doesn't like to do yard work or parks his/her car wherever they want it will just bring down the area. I think with the many different types of people living here or anywhere for that matter you need rules in place or people will just take advantage of the area. Not having HOA in place is reckless and irresponsible. I'm not a HOA member and I've seen good and bad in this but I rather have some structure in place and rules/regulations enforced than not. At least there is some recourse if someone doesn't take care of their home or abuses the parking! The police can only do so much.
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board seats
written by what say you , October 13, 2008
hard to compete with the board for a seat. i have no ill words for h.o.a board members or the h.o.a. however i know from personal experience that until more residents accept the fact there are families/kids up here the attitude will not change. i have a family and when i compared my resume for a board seat to others i was way out of my league. what i offered was not in line with what a majority of members were looking for. i will not get into details but i hope laurus helps change the tone of diablo grande from this is a golfers getaway to this is a family friendly development where golfers come to enjoy. both ideas can work together.
im glad for h.o.a i've lived and been places where there are cars parked on the gra*s ,where someone decided to paint their house an ugly neon green and let their car leak oil all over the driveway and street...
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resident
written by Gary DeSantis , October 14, 2008

Having our HOA acting on behalf of the residents and owners is crucial. While not perfect they have done a very good job of overseeing important items such as yard maintenance, road issues and security. I think with the election of the new HOA officers we continue to have good people who are willing to spend their free time working for us. Just take a drive through the Walker Ranch area where many yards are not maintained and you will see the difference. We will need a responsible and active HOA as this project develops. Our HOA's interaction with Laurus and World will be very important in the future. If any of you want to make changes I suggest you get involved and find constructive ways to contribute.
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To Laughing at the whole mess
written by Me , October 14, 2008
My mistake. When I said police the rules, I meant to govern and enforce the CC&R's. That is the sole purpose of the HOA and its board. Yes, I am a member of the HOA.

As to the speed, that is a real problem that I do not think that the HOA can enforce but certainly can educate and speak against. Within the gates, I would suggest radar to let people know how fast they are going. Outside the gates, the only source of enforcement is the sheriff and the HOA can ask them to patrol more.
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Condos at Diablo Grande? No, not yet at least
written by Resident , October 15, 2008
"Finally sold: Tightly packed condos..."

Correction: These are single family homes that are in a courtyard type setting but are NOT condos. Condos are attached units with typically no garages and/or no yard. Also, the only "tightness" are the driveway situation but the yard and square footage are roomy. Pretty much we all have great views of the hills from our windows that are unlike regular homes in the town of Patterson.
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written by Laughing at the whole mess , October 15, 2008
I can agree about the cars that park everywhere but where they actually belong and the yards as well as the outer maintanence on the homes. But I feel strongly about some things such as decorating outer exteriors such as lights, inflatables etc. Is it not nice for the children to see? I am not talking over done but within taste. Some people like to start decorating after thanksgiving. Diablo is a very nice family oriented community with many parents in the vinyards taking the time to do wonderful things for the children. Most agreed upon is the speed. I am very concerned as a mother not only for my own childrens safety but for all of the kids up here. It is sad if people cannot leave earlier before the bus comes up or cannot wait and fly's by it while children are boarding it. Even workers up here are guilty of doing that. Workers here also drive very fast. There needs to be something put in place to ensure all residents safety.
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Condos
written by Me , October 15, 2008
You are correct. I did not catch that error. It is just the Irrigator's mistatement. Condo's versus townhomes have many differences. But I think they are pretty tightly put together but that is why they are priced the way they are. It is just part of a mixed use development.
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speeders....
written by Resident , October 15, 2008
I know that is very troubling about our children and these thoughtless speeders. Just last night a black Infinity zoomed pa*sed me on Diablo Grande Parkway 1/2 mile before the Guard Shack and sadly hit an animal. It was still alive when we came up to it and looked like it was suffering. All this because the Infinity was in a hurry to get home. I really get upset when animals are killed. If people would just slow down and go about 40 mph, less accidents would occur. I understand there may be times where animals just jump out at you all of a sudden and one can't help but hit the animal to avoid the alternative like hitting an oncoming car or going over the edge. However, when you go the speed limit you have a better chance of observing before hand if something is going to cross the road thus resulting in a better outcome. It's just being responsible and doing everything you can to avoid unnecessary accidents. HOA has the right to hire a patrolled security company that uses radars and has ability to issue speeding tickets. Of course, this will come at a cost for us homeowners. Also, speed bumps can certainly slow people down if put in the right spots. At least HOA won't have to pay the speed bumps to do their job unlike a patrol company.
I think if we don't have efforts made visible to deter speeders they will keep on racing up the hill.
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To Resident about speeders
written by Me , October 15, 2008
Regarding the speed limit, I agree that people go too fast, but I do not agree that the speed limit should be 40 MPH the whole way. From Oak Flat to the guard gate, I can understand a 45-50 MPH speed limit. From Oak Flat to I-5, I think it should be 55 MPH. So, I support realistic limits and enforecement.

I can set my cruise control at 60 MPH and go from I-5 to the guard gate without any loss of control except minorly near the pumping station. However, I set it for 50 MPH and make a compromise. I use cruise control since it seems like an easy road to go faster without realizing it.
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To Resident
written by Me , October 15, 2008
Your quote "HOA has the right to hire a patrolled security company that uses radars and has ability to issue speeding tickets. Of course, this will come at a cost for us homeowners."

I a*sume that you know that this is not true from the guard gate to I-5 as this is not property owned by the development. I think it is true from the Gate and within the development.
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written by Resident , October 15, 2008
Correct, within Diablo Grande limits is HOA responsibility. I've seen speeders take off after going through the guard shack and all the way down the main road into DG. If we can have speed bumps throughout the streets in DG it would make a difference. That is one aspect of the big problem with speeders. I would like to know if HOA has had any discussions with the City of Patterson stressing that something needs to be done with regards to speeders form I5 to the guard shack by making recommendations for speed bumps and/or speed traps, etc. I wonder how far this issue has gone and if any plans are in the works. If anyone knows please share. Thanks.
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speeders
written by what say you , October 15, 2008
how about we police each other..right? the best form of enforcement is letting each other know when one of us is in the wrong for speeding. i know i have sped from time to time.nothing crazy like i've seen and it's wrong and i really make an effort to go easy on the pedal.i know i would be tottaly embarrased if someone described my car as a culprit.
just like the person stated a black infinty was speeding what if we set up a speeders blog and reported cars that speed. no plate numbers but simply by saying something such as "hey, you in the mini coupe, that was real dangerous of you to blow by me at 90mph on a bend at 10:00 pm" and "YOU know there are deer darting out in the street". "not to mention if you had lost control you would have killed yourself and anybpdy coming down the hill".if you were wondering people yes, this is a true story! the mini coupe knows who they are do they care maybe not but now all other residents know and maybe that pressure will cause them to slow it down... remember no plate numbers or names! be respectful.do we always need to waste money on soemthing that can be done on the cheap such a community pressure for driver saftey..especially those who speed around a school bus..is getting to work 10min faster worth a vehicle manslaughter conviction and carrying the burden of a mothers/fathers pain when their child is hit??? self police i think is a way to go smilies/wink.gif
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written by what say you , October 15, 2008
http://www.msnbc.msn.com/id/27...?GT1=43001

tthm's found again in drinking water read this article..
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Regarding the TTHM's in Bottled Water
written by Mark G Weller , October 16, 2008
It has been known for many years that the claims of the water bottlers is/was false. The interesting thing everyone here should take note oif is that the California safe level of TTHM's is only 10 PPB and the Federal Level is 80PPB.

Western Hills Water District has since the beginning not even met the Federal level much less the State level.
In past comments people here have bashed me and others for stating similar facts about the water quality and what the safe level is. I have researched and read reports as I said before that levels as low as 20PPB cause (Not can cause but do cause)serious birth defects and highly increased risks of cancer. It seems that this article supports my statements and that California is wiser than the Feds in this issue.


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Regarding the HOA
written by Mark G Weller , October 16, 2008
I have been in every major city and many many minor cities in the USA and I can tell you that there are good and bad neighborhoods wherever you go.
The statements that we need an HOA to "Police" and guide this development are just not factual.

The determining factor in any neighborhood's appearance is it's residents care and attitude.

The presence of some governing board makes no difference for the simple reason that they have no real authority to police anything.

As with any other area of human existence the attitude of the people involved is what makes the difference.

Those of you that want rules and guidance would be much better of if Diablo Grande (or whatever the new name will be) incorporated and became a real city. That would allow the development of police and fire services dedicated to the area. Or allow the contracting of services from county and or Patterson agencies.

Of course none of this comes free, you all would pay increased taxes to have such services. So the choice is to pay your a*sociation fees for a board that takes care of your yards and not much more or pay taxes for real services.

Just My Opinion of course smilies/wink.gif
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written by Laughing at the whole mess , October 16, 2008
In response to "what say you", I am in total agreeance on this. I have been tailgated continuously by those damn yellow hummers as well as several other hummers. I see them speed through here and no child would have a chance if hit by one. Friday just as I was approaching the guard shack some woman in too much of a damn hurry pa*sed me right before the gate in a black suv tahoe or suburban whichever, only to have to stop at the blasted gate. What is wrong with people? cannot enjoy the gorgeous scenery here because too much in a hurry. Speed bumps would work well up to a point we need them desperately near the bus stops or if that fails put a camera up to catch those who are thoughtless and disregard childrens safety. My nephew was hit by a speeding car some years back when he was 8. Luckily he survived, and the driver had a revoked license for 4 dwi's. I also think of the wildlife here as well and enjoy seeing the animals, they too do not stand a chance against those in too much of a damn hurry. As a community we need to pull together on these issues and address them and do something about it. Identifying vehicles is a smart move and as you said leave plate numbers out of it as they most surely do know who they are.
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Speeders
written by Me , October 16, 2008
After reading all these posts, I wonder if we can hire Don Knotts and have him patrol and make his "citizens arrest".
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written by what say you , October 16, 2008
ha!ha! i love don knotts only if he can be a h.o.a board member, works at the club house, do landscaping, and works at wwhd....just like in the scooby doo movie where he ran the whole town..
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more speeders...
written by Resident , October 17, 2008
Another crazy speeder: White Toyata Rav 4 raced up the hill last night between 9:30-10:00pm

I think we need to create the blog someone suggested above and post this types of things. Should this be brought up at the next HOA meeting? We need to inform everyone if this is launched so that we get maximum benefit from it.
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written by Resident , October 17, 2008
*Excuse the typo in my previous post above. Should have read: Toyota
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Speeders Blog
written by Me , October 17, 2008
If we all decide to create a blog, can I be the moderator?




So, I can delete my car.
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written by what say you , October 17, 2008
please someone start the blog..speeders reports only no other b.s! and no personal attacks!
i know who the rav 4 is...i will reach out to them... and "me" yes you may moderate..and no, do not bring it up at the h.o.a let them handle yard,parking,stuff. this is something that can be dealt with on our own.dont need h.o.a for everything were all grown smilies/smiley.gif
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speed racers
written by speed watcher , October 18, 2008
I for one would like to contribute to the blog lol no cars deleted please lol. Maybe if people know they are being watched and their vehicles being displayed minus the license plates then maybe they will start to realize they are actually putting others in harms way, especially the children up here. I would like to see signs up here saying caution children at play. I may not be a homeowner but I am a resident with small children here and share the same concerns whether I am angry mom or laughing at the whole mess I am one in the same and have some fears for my children who play with the other children out and about. We all share the same view on this one it seems.
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