Title
Recommendation to Approve Proposed Term Sheet for Development of Alameda Point Site A and Direct Staff to Negotiate a Sixth Amendment to the Disposition and Development Agreement with Alameda Point Partners Based Substantially on the Term Sheet, as well as Directing Staff to Negotiate Amendments to Ancillary Project Agreements. (Community Development 29061822)
Body
To: Honorable Mayor and Members of the City Council
EXECUTIVE SUMMARY
In June 2015, the City Council unanimously approved the "Site A" Development Plan, Development Agreement, and a Disposition and Development Agreement (DDA) with Alameda Point Partners (collectively, the Site A Agreements), the developer (APP). Several unforeseen events and timing issues have occurred over the years, resulting in five prior DDA amendments. After creating an estimated aggregate economic value exceeding $91.4 million since 2015, APP advised the City that the remaining project as approved is not financially viable. With authorization from the City Council, over the last several months, staff has been negotiating a Term Sheet (see Exhibit 1) with APP. The Term Sheet is designed to identify the key business and financial terms, which staff would use to develop a complete DDA amendment. Previously, the site had been entitled for 800 residential units as well as office and retail space. As drafted, the Term Sheet proposes the development of the following items to complete the remaining portion of Phase 1 and all of Phase 2: 416 residential market-rate units, 194 affordable units, one retail space, and the second phase of the waterfront park. Additional community benefits include: completion of a development pad with the infrastructure for a community facility (i.e., a performing arts center), $300,000 for future Site A improvements, such as for a recreational use, and a kayak launch.
By giving direction to staff to negotiate a DDA amendment with APP consistent with the Term Sheet for Site A, the City will have...
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