Title
Final Passage of Ordinance Amending the Encinal Terminals Master Plan and Development Agreement (Entered into by the City Council on February 1, 2022) to Modify Interim Milestones and Related / Conforming Amendments Pursuant to Alameda Municipal Code (AMC) Section 30-4 and Sections 30-91 Through 30-95. General Plan: Mixed Use. Zoning: MX, Mixed Use.
California Environmental Quality Act (CEQA) Determination: Exempt - prior environmental review was conducted for the project and none of the circumstances necessitating further CEQA review are present. Amending the implementation timeline has no foreseeable effect on the environment. (Planning, Building and Transportation 20962710)
Body
The staff report for this ordinance was included when the ordinance was introduced and is available at the following link:
<https://alameda.legistar.com/LegislationDetail.aspx?ID=7077287&GUID=5C8BF07C-EE8B-46AF-A0C7-BE9FA0807345&Options=&Search=&FullText=1>
This ordinance was not revised when it was introduced.
Due to the size of the exhibit, the full ordinance is attached. Ordinance text without exhibit:
CITY OF ALAMEDA ORDINANCE NO. _____
AMENDING THE ENCINAL TERMINALS MASTER PLAN AND DEVELOPMENT AGREEMENT (ENTERED INTO BY THE CITY COUNCIL ON FEBRUARY 1, 2022) TO MODIFY INTERIM MILESTONES AND RELATED / CONFORMING AMENDMENTS PURSUANT TO ALAMEDA MUNICIPAL CODE (AMC) SECTION 30-4 AND SECTIONS 30-91 THROUGH 30-95. GENERAL PLAN: MIXED USE. ZONING: M-X, MIXED USE
WHEREAS, North Waterfront Cove, LLC (the Developer) owns approximately 26 acres of real property commonly known as the Encinal Terminals site, with an address of 1521 Buena Vista Avenue, City of Alameda, County of Alameda (APN 072-0382-001,
-002, and 72-0383-03); and
WHEREAS, the City of Alameda (the City) owns approximately 6.4 acres of real property in trust for the State of California within the center of the Encinal Terminals site (APN 072-0382-009); and
WHEREAS, the Encinal Terminals site is designated in the City General Plan as Mixed Use, suitable for a residential, commercial, maritime and open space mix of uses; and
WHEREAS, the Encinal Terminals site is designated as a multifamily housing opportunity site in the City of Alameda General Plan Housing Element; and
WHEREAS, the Encinal Terminals site is designated MX (Mixed Use) and MF (Multifamily Residential) in the Alameda Municipal Code (AMC) Zoning Map; and
WHEREAS, in 2018, the City approved a Master Plan to facilitate redevelopment of the property consistent with the General Plan and zoning designations. The Master Plan provided for public waterfront parks and promenades adjacent to the Oakland Estuary where no public access currently exists. Further, the Plan allowed for the conversion of the site, which was previously used for shipping container storage, to a transit-oriented mixed use development with market-rate and affordable deed-restricted housing opportunities, retail and maritime commercial job opportunities and services, pedestrian, transit and bicycle facilities and other amenities and features to ensure that the site is pedestrian, bicycle and transit-friendly; and
WHEREAS, on February 1, 2022, the City Council adopted the Encinal Terminals Tidelands Exchange Master Plan, Development Agreement (DA), Disposition and Development Agreement (DDA) and Tidelands Exchange Agreement to facilitate a viable redevelopment of the property that included certain milestones within the overall 15-year term of the DA/DDA to ensure completion of intermediate steps within the overall timeframe; and
WHEREAS, the City Council’s 2022 approval allows for a mixed use plan for up to 589 multifamily housing units, 80 of which would be deed restricted affordable units, up to 50,000 square feet of commercial and maritime commercial space, a 160-slip marina, and 4.5 acres of public open space; a Density Bonus application; and a Development Agreement vesting the entitlements for 15 years in exchange for additional public benefits that could not be achieved without the Development Agreement and Tidelands Exchange Agreement; and
WHEREAS, on November 14, 2024, the Developer filed an application (PLN24- 0639) to request an amendment to the intermediate milestones while retaining the overall 15-year timeline for implementation due to “circumstances beyond our control, specifically an economic environment that has obliterated the present residual land value of the property”; and
WHEREAS, on December 9, 2024, the Planning Board held a duly noticed public hearing, and examined all submitted materials including a request for specific modifications to milestones for the developer to perform certain actions in furtherance of the Master Plan, DA, DDA and Tidelands Exchange and recommended that the City Council approve the requested amendments; and
WHEREAS, this Ordinance was considered at a duly noticed regular, duly noticed public hearing of the City Council on January 7, 2025, and all interested parties were provided an opportunity to participate in said hearing and express their views.
NOW, THEREFORE, the City Council of the City of Alameda does hereby ordain as follows:
Section 1. Findings. In enacting this Ordinance, the City Council finds as follows:
1. Modifying interim milestones contained in the documents does not require making new findings pursuant to Alameda Municipal Code (AMC) section 30- 4 and sections 30-91 through 30-95.
2. Modifying interim milestones is not a project under the California Environmental Quality Act (CEQA) because it can be seen with certainty that there is no potential for impacts to the physical environment.
Section 2. Amendment. City Council adopts the amendment to the Encinal Terminals Tidelands Exchange Master Plan as shown in Exhibit A, and approves, authorizes, and directs the City Manager to execute the First Amendment to the Development Agreement, subject to the following conditions:
1. Assessment District Formation
a. By the 11th month of the proposed extension of select DA and Master Plan interim milestones, OR prior to the property being sold by the Developer to a third party, whichever comes sooner, Developer will enter into a reimbursement agreement with the City of Alameda. The reimbursement agreement will require a $75,000 deposit (“Deposit”) to reimburse City for staff and consultant services incurred as part of the effort to formulate an assessment district or equivalent funding source.
b. Developer and City shall hold kickoff meeting no later than August 2026
c. Draft RMA shall be completed no later than December 2026
d. First Formation Document Hearings no later than June 2027
2. Documentation of Progress and Economic Viability
a. Twice per year, Developer shall submit a written report to City staff documenting project progress, including all marketing efforts and any other pertinent disposition efforts and demonstrating whether the project is commercially viable using the following market condition metrics and 2022 benchmarks described above:
i. Apartment rents
ii. Townhome sales prices
iii. Condominium sales prices
iv. Absorption rates
v. Capitalization rates
vi. Mortgage rates
vii. Construction costs
b. Biannual reports will be evaluated by an economic consultant of the City’s choosing. Consultant costs will be borne by the Developer.
Section 3. Severability. If any provision of this Ordinance is held by a court of competent jurisdiction to be invalid, this invalidity shall not affect other provisions of this Ordinance that can be given effect without the invalid provision and therefore the provisions of this Ordinance are severable. The City Council declares that it would have enacted each section, subsection, paragraph, subparagraph and sentence notwithstanding the invalidity of any other section, subsection, paragraph, subparagraph or sentence.
Section 4. Effective Date. This Ordinance shall be in full force and effect from and after the expiration of thirty (30) days from the date of its final passage.
Section 5. Authority. This Ordinance is enacted pursuant to the City of Alameda’s general police powers, Section 1-2 of the Charter of the City of Alameda, and Article XI of the California Constitution.
Presiding Officer of the City Council
Attest:
Lara Weisiger, City Clerk
City of Alameda
* * * * *
I, the undersigned, hereby certify that the foregoing Ordinance was duly adopted and passed by the City Council of the City of Alameda during its Regular Meeting on this 21st day of January 2025, by the following vote:
AYES:
NOES:
ABSENT:
ABSTENTIONS:
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City this 22nd day of January 2025.
Lara Weisiger, City Clerk
City of Alameda
APPROVED AS TO FORM
Yibin Shen, City Attorney
City of Alameda