Title
Adoption of Resolution Declaring Fourteen City-Owned Properties at Alameda Point Including Buildings 2, 3, 4, 16, 18, 19, 20, 21, 22, 41, 77, 94, 115, and 130 to be Exempt Surplus Land Under the Surplus Land Act.
The streamlining provisions of Public Resources Section 21083.3 and Section 15183 of the California Environmental Quality Act (CEQA) Guidelines apply and no further environmental review is required. (Base Reuse and Economic Development 29061822)
Body
To: Honorable Mayor and Members of the City Council
From: Adam W. Politzer, Interim City Manager
EXECUTIVE SUMMARY
The recommended Surplus Lands Act Resolution declares fourteen (14) properties at Alameda Point exempt Surplus Land under the Surplus Land Act. Declaration of these properties as exempt Surplus Land will allow staff and consultants to proceed with preparing for the disposition of these Properties, such as engaging in negotiations with prospective transferees, in alignment the City of Alameda’s (City) Master Infrastructure Plan and Disposition and Leasing Strategy.
The City Council shall be responsible for approval or disapproval of the disposition of any property by Ordinance at a future City Council meeting.
BACKGROUND
Prior to taking any action to dispose of (i.e., sell, option to lease, or lease for a term of five years or more) land owned by a local agency, the Surplus Land Act (California Government Code Sections 54220 et seq.) (SLA), requires the local agency to follow prescribed notification and negotiation procedures intended to encourage housing development, including affordable housing.
However, SLA’s notification and negotiation procedures do not apply to the local agency’s disposal of land that qualifies as “exempt surplus land” as set forth in the SLA. Prior to taking any action to dispose of land, Government Code Section 54221(b)(1) requires the local agency to declare the land “surplus land” or “exempt surplus land” as supported by written findings.
Government Code Section 54221(f)(1)(M) sets forth an SLA exemption which defines “exempt surplus land” as “Surplus land that is a former military base that was conveyed by the federal government to a local agency, and is subject to Article 8 (commencing with Section 33492.125) of Chapter 4.5 of Part 1 of Division 24 of the Health and Safety Code, provided that certain conditions pertaining to the military base’s geographic size, expected residential unit count, affordable housing requirements, as well as requirements related to the local agency’s project stabilization agreement, among others.
DISCUSSION
Prior to entering into any negotiations with a developer or long term tenant, the City Council must declare public lands surplus. The following fourteen (14) properties at Alameda Point are identified in the resolution (collectively, the Properties) and are properties for which the City may potentially negotiate.
• Building 2. Located at 2550 Monarch Street, Building 2, along with Buildings 3 and 4, comprises the Bachelors Enlisted Quarters or BEQ. The BEQ complex is a 518,219 square foot group of three buildings that formerly served as dormitory and dining facilities for enlisted naval personnel and associated office and support services. The total site area is approximately 957,043 square feet, which includes the building footprint and the surrounding parking and landscaping.
• Building 3. Located at 2651 Lexington Street. See Building 2.
• Building 4. 2701 Lexington Street. See Building 2.
• Building 16. Located at 2600 Saratoga Street, Building 16 is a currently vacant 39,130 square foot concrete structure with adjacent parking area. The building is not currently habitable.
• Building 18. Located at 2700 Saratoga Street, Building 18 is a currently vacant 25,747 square foot former theater that has received inquiries to the leased.
• Building 19. Located at 2175 Monarch Street, Building 19 is an approximately 23,706 square foot concrete structure currently leased by Rain Industries Inc.
• Building 20. Building 20 is a 65,547 square foot former aircraft hangar located at 2701 Monarch Street. The building is currently leased to Auctions by the Bay.
• Building 21. Building 21 is located at 2601 Monarch Street and is a 66,014 square foot former aircraft hangar currently leased to St. George Spirits.
• Building 22. Located at 2501 Monarch Street, Building 22 is a 65,547 square foot hangar currently leased to Faction Brewing.
• Building 41. Building 41 is located at 650 W Tower Avenue. The 118,041 square foot building formerly used for aircraft maintenance is currently partially leased to DOER Marine Operations.
• Building 77. Located 2151 Ferry Point between Building 41 and the former taxiway, Building 77 currently houses the Alameda Naval Air Museum.
• Building 94. Located at 2790 Saratoga Street, the former 9,180 square foot chapel is currently vacant.
• Building 115. Building 115 is Located at 2601 Todd Street and consists of a 2,800 square foot building currently used for vehicle storage.
• Building 130. Located at 2599 Todd Street, Building 130 was originally used for environmental preventative medicine and consist of a wood-frame 10,250 square foot structure that is not currently habitable.
The recommended resolution declares that the identified Properties are “exempt surplus land” under the Surplus Land Act based on the following findings prescribed by Government Code Section 54221(f)(1)(M):
(i) Former Military Base. The Properties are located on the former Alameda Naval Air Station (Alameda NAS), which has an aggregate area greater than five acres, and is expected to include a mix of residential and nonresidential uses, and is expected to include no fewer than 1,400 residential units upon completion of development or redevelopment on the Alameda NAS; The Properties were conveyed to the City by the United States Department of the Navy pursuant to that certain Memorandum of Agreement for the Conveyance of Portions of the Alameda Naval Air Station dated June 6, 2000. The Properties are located on the former Alameda NAS and are subject to Article 8 (commencing with Section 33492.125) of Chapter 4.5 of Part 1 of Division 24 of the Health and Safety Code.
(ii) Affordable Housing. The affordability requirements for residential units on the Alameda NAS are governed by a settlement agreement entered into on March 20, 2001 (the Renewed Hope Settlement Agreement) which agreement restricts (a) 10% of all residential units development on Alameda NAS to lower income households, as defined in Health and Safety Code Section 50079.5 with an affordable sales price or an affordable rent, as defined in Sections 50052.5 and 50053 of the Health and Safety Code, for a minimum of 55 years for rental housing and 45 years for ownership housing and (b) 15 percent of all residential units developed on Alameda NAS in accordance with Health and Safety Code Section 33413(b)(2). The City has granted approvals for developments and has agreements with the developers of those developments that contemplate the development of 2,082 residential units on Alameda NAS, 632 or 30% of which units are required to be occupied by lower income households as defined in Health and Safety Code Section 50079.5 at affordable rents, as defined in Sections 50052.5 and 50053 of the Health and Safety Code for a minimum of 55 years and of the initial 1,400 residential units expected to be constructed on Alameda NAS at least 25% are required to be occupied by lower income households as defined in Health and Safety Code Section 50079.5 at affordable rents as defined in Sections 50052.5 and 50053 of the Health and Safety Code for a minimum of 55 years;
(iii) Labor. As a condition of the conveyance of, and prior to the disposition of any of the Properties, the City will require that the recipient to negotiate a project labor agreement consistent with the City’s Project Stabilization Agreement resolution, as adopted on February 2, 2021 and any succeeding ordinance, resolution, or policy regardless of the length of the agreement between the City and the recipient of any of the Properties;
(iv) Annual Report. The City does and shall continue to include, in its annual report required by paragraph (2) of subdivision (a) of Section 65400 of the Government Code, the status of development of residential units on the Alameda NAS, including the total number of residential units that have been permitted and what percentage of those residential units are restricted for persons and families of low or moderate income, as defined in Section 50093 of the Health and Safety Code or lower income households, as defined in Section 50079.5 of the Health and Safety Code.
The City Properties are listed on, or determined by the State Office of Historic Preservation to be eligible for, the National Register of Historic Places. As such, consistent with subdivision (b) of Section 54222, City staff has provided a written notice of availability for open-space purposes to the following:
• To any park or recreation department of any city within which the surplus land is located.
• To any park or recreation department of the county within which the surplus land is located.
• To any regional park authority having jurisdiction within the area in which the surplus land is located.
• To the Natural Resources Agency or any agency that may succeed to its powers.
No entities responded to the notice of availability for open-space purposes.
ALTERNATIVES
• Approve the Surplus Lands Resolution as Recommended. This will facilitate and expedite the City’s continued efforts to redevelop Alameda Point including the financing and constructing of new infrastructure for the businesses and properties.
• Direct Staff to Modify the Surplus Lands Resolution. City Council may decide to direct staff to modify to the recommended Surplus Lands Resolution.
• Deny Surplus Lands Resolution. If City Council does not want to move forward with declaring the identified Properties as exempt surplus land, City Council should identify the reasons for the denial.
FINANCIAL IMPACT
There is no direct fiscal impact from the recommended resolution. Any future dispositions of the Properties will require City Council approval under a separate Ordinance.
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
The recommended resolution is consistent with the City’s General Plan policies related to the redevelopment and reuse of Alameda Point.
ENVIRONMENTAL REVIEW
The streamlining provisions of Public Resources Section 21083.3 and Section 15183 of the California Environmental Quality Act (CEQA) Guidelines apply and no further environmental review is required.
CLIMATE IMPACT
This resolution will facilitate and expedite the City’s continued efforts to redevelop Alameda Point as a mixed-use, transit-oriented community, which is consistent with and supports the City’s Climate Action Plan and regional and statewide Climate Protection and Greenhouse Gas Emission reduction strategies, including the Bay Area’s Sustainability Strategy, Plan Bay Area.
RECOMMENDATION
Adopt a resolution declaring fourteen City-owned properties at Alameda Point including Buildings 2, 3, 4, 16, 18, 19, 20, 21, 22, 41, 77, 94, 115, and 130 to be exempt Surplus Land Under the Surplus Land Act.
Respectfully submitted,
Abigail Thorne-Lyman, Base Reuse and Economic Development Director
By,
Walker Toma, Community Development Manager
Financial Impact section reviewed,
Ross McCarthy, Finance Director
Exhibit:
1. Map of 14 Properties