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Ikea mulls options after Calif. rezoning effort fails

By Furniture Today Staff -- Furniture Today, November 25, 2001

Ikea's plans for a 320,000-square-foot store here have been complicated by a failed attempt to rezone property, but the home furnishings giant isn't writing off the site yet.

Pat Merwin, project leader for the East Palo Alto store, said the retailer is considering other options after the rezoning failed to get City Council approval last week.

One is to include the rezoning request as a referendum for a city vote on a March ballot, something council members are showing initial support for, but which Ikea still is deciding whether to pursue. Ikea also is considering other sites in the San Jose/Silicon Valley area, she said, adding there are other communities that would welcome the store.

Ikea, with 15 stores in the United States, has done so well with its Emeryville, Calif., store since its April 2000 opening that it wants two more units in the greater San Francisco Bay area. Both proposed units — in East Palo Alto and another in the Pleasanton, Calif., area — were planned to open around the fall of 2003, Merwin said.

The failed zoning bid has not changed the timetable, she added.

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