By Jeff Simons

It was quite interesting to read the perspectives of the Browman Development Group and city of Davis officials regarding the empty downtown storefronts. As a 20-year tenant in downtown, I offer a different account of the past year in hopes that the community will gain a better understanding of what actually transpired and why so many long-standing, quintessentially Davis businesses have opted to close or move.

I was shocked and saddened when Watermelon Music received notice from John Brinley in August of 2015 that he would be selling off all of his downtown properties. I began exploring the possibility of purchasing the building that we are in and learned that the estimated value of the property almost certainly would be well beyond my means.

Other tenants (including Dick Luna) met early on to explore similar options, and discussed pooling resources and seeking local investors to purchase all four buildings, hoping to keep the independent and vibrant downtown community intact, but again the numbers were not realistic. Some very knowledgeable local professionals were able to give us predictions of what the properties likely would sell for, and what this probably would mean for us in terms of occupancy costs in the future.

Upon learning that the Browman Development Group had entered escrow on the properties, tenants scrambled to learn whatever we could about the group and their business history, and were dismayed to see how they represent themselves on their website.

They proudly develop and operate the enormous, generic, beige big-box retail sites that exist up and down major highways, each filled with a seemingly identical mix of Targets, Walmarts, Safeways, Walgreens, McDonald’s, Starbucks, etc. — a type of retail and development that runs completely counter to the locally owned and operated, uniquely independent businesses in the Brinley buildings.

I have met with nearly all of the Brinley tenants, and believe that Watermelon Music was the only tenant approached by Jim Stephens and the Browman Group before escrow closed. We were told that they wanted us to stay, and were given an opportunity to let them know “what it would take” to keep us.

I thought long and hard about it, and gave them a maximum amount that I believed could work for Watermelon Music in the long term. I also indicated that I did not want to be the only independent left in downtown and needed some way out of a long-term lease if other merchants could not or would not stay. The only response I received was a “thank you for this, it helps our decision.”

I learned that escrow closed on Feb. 19. Stephens approached me later with an offer that was significantly higher than the maximum amount that I had indicated, and told me it was a particularly special deal, and that I would not be able to share the details with any other tenants, as they would not be receiving any special deals. Having few other options, I told him I would consider it.

Meanwhile, I learned that a suitable building in West Davis was coming on the market for sale and it looked like a potential good fit for my store. I entered into escrow and am preparing to move when our lease downtown comes up at the end of this year. Stephens was not happy to learn of our moving, as we occupy (I believe) the largest space in the portfolio.

In early July of this year, five months after the sale of the buildings, tenants received a letter indicating that the Browman Group “was pleased to inform us” that they had finished calculating our new common area maintenance charges. Under our existing lease, tenants are expected to pay, in addition to the price-per-square-foot rent, our portion of the property taxes, property insurance and building maintenance.

Under John Brinley, this amount was about $400 per month for Watermelon Music. The letter from Browman indicated that our new charge would be more than $4,200 per month. There was no breakdown or explanation of these new charges. Adding insult to injury, the letter also told us that we owed more than $18,000 in retroactive charges, for the period from Feb. 19 to July 1, and that we had until the end of our lease or the end of the year (whichever comes first) to pay them back.

When we called to get an accounting of these seemingly ridiculous new charges, we were informed that the property manager who signed and sent the letters out had just left for vacation. Being a college town, Davis slows way down in the summer months, and sending tenants an unexpected $20,000 bill right as we begin our slowest retail season is not a great way to instill confidence or loyalty.

When we finally (about four weeks later) received an accounting of the new fees, it was clear why they did not want to send them with the initial letter. Contrary to the impression given recently by Stephens and accepted as fact by city staff, property taxes and insurance account for less than 50 percent of the 10-fold increase to the tenants. The rest is boilerplate “maintenance” assessments for things like pest control, steam cleaning, landscaping, exterior lighting repair, etc.

Since Feb. 19, the only “maintenance” I’m aware that Browman has done for our building was to replace a faulty lock in our garbage area, and that took six weeks, three phone calls and two emails to get done. We now clean our own roof, sweep our own sidewalk and maintain the property as best we can. In essence, we are asked to pay 10 times the cost to get less than 1/10 the service we received under Brinley.

I would encourage local residents to speak with other tenants and get accurate information about what has happened. Not a single tenant had plans to move or shut down prior to the announcement that the buildings were being sold. Aaron Patella of Davis Sport Shop tried multiple times over several months to find out from Browman whether he could extend and renew his lease, finally receiving a response after 6 p.m. on the day his lease expired. Unsurprisingly, he had already made other plans.

Jenny Decker of Outdoor Davis told me multiple times that she could not get her calls and emails returned, and finally opted to shut down, as any kind of negotiation to renew or extend her lease seemed futile. Dick Luna did not want to retire at the end of 2015 — he wanted his legacy to endure, and hoped to put another couple of years in before passing on the operation to his employees.

I am glad that Stephens and the Browman Group seem to finally be reaching out and actively communicating with the remaining tenants. I sincerely hope that remaining businesses will be able to negotiate terms and rates that enable them to succeed for many more years.

Our funky, independent downtown is what convinced me to stay in Davis after I graduated from UC Davis, and I would be devastated if it were all lost in a single $20 million real estate transaction. I look forward to forging new relationships and partnerships with businesses in West Davis, and hope that people from all over town will come visit us in our new location once it opens in November or December.

— Jeff Simons is owner of Watermelon Music at 207 E St. in downtown Davis.