Ordinance 3327CITY OF ALAMEDA ORDINANCE NO. 3327
New Series
AUTHORIZING THE INTERIM CITY MANAGER, OR DESIGNEE, TO
EXECUTE A SIXTH AMENDMENT TO THE DISPOSITION AND
DEVELOPMENT AGREEMENT AND ALL OTHER NECESSARY
DOCUMENTS BETWEEN THE CITY OF ALAMEDA AND ALAMEDA
POINT PARTNERS, LLC FOR THE SITE A DEVELOPMENT AT
ALAMEDA POINT
WHEREAS, the City of Alameda ("City") and Alameda Point Partners, LLC
("Developer") entered into a Disposition and Development Agreement for Alameda Point
Site A dated as of August 6, 2015 ("Original DDA"), authorized by City of Alameda
Ordinance No. 3127, whereby the City agreed to convey to the Developer Property
described in the Original DDA and located at the former Naval Air Station Alameda under
certain terms and conditions and Developer agreed to develop the Project described in
the Original DDA and on the Property all in accordance with a Milestone Schedule
incorporated into the Original DDA; and
WHEREAS, the City and Developer entered into that certain First Amendment to
Disposition and Development Agreement dated as of February 8, 2017, and authorized
by City Ordinance No. 3174 (the "First Amendment"), that certain Second Amendment to
Disposition and Development Agreement dated as of July 19, 2017, and authorized by
City Ordinance No. 3185 (the "Second Amendment"), that certain Third Amendment to
Disposition and Development Agreement dated as of March 7, 2018, and authorized by
City Council Resolution No. 15352 (the "Third Amendment"), that certain Fourth
Amendment to Disposition and Development Agreement dated as of October 2, 2018 and
authorized by City Council Resolution No. 15437 (the "Fourth Amendment"); and
WHEREAS, the Developer and Eden Housing, Inc. ("Eden") entered into that
certain Partial Assignment and Assumption Agreement dated as of March 7, 2016,
whereby the Developer assigned to Eden certain obligations with respect to the DDA
including the obligation to construct 130 units of the very low- and low-income housing
included within the Site A Project (as defined below); and
WHEREAS, the City and Eden entered into that certain Fifth Amendment to
Disposition and Development Agreement dated as of October 2, 2018 and authorized by
City Council Resolution No. 15438 (the "Fifth Amendment"; and together with the Original
DDA, the First Amendment, the Second Amendment, the Third Amendment, the Fourth
Amendment, and the Fifth Amendment, the "DDA"); and
WHEREAS, on February 4, 2014, by Resolution No. 14891, the City Council
certified the Final Environmental Impact Report ("FEIR") (State Clearinghouse No.
201312043) under the California Environmental Quality Act ("CEQA"), California Public
Resources Code Section 21000 et seq. and adopted written findings and a Mitigation
Monitoring and Reporting Program ("MMRP") for the Alameda Point project, including the
Town Center Plan area, which contains the project site (Alameda Point EIR); and
WHEREAS, on November 30, 2021, by Resolution No. 15841, the City Council
certified a FEIR (State Clearinghouse No. 2021030563) under CEQA, and adopted
written findings, a Statement of Overriding Considerations, and a MMRP for the General
Plan Amendment to update the Alameda General Plan (General Plan EIR), which
evaluated the environmental impacts of 12,000 additional housing units in Alameda over
20 years, including 5,353 housing units to accommodate the RHNA between 2023
through 2031; and
WHEREAS, the City has prepared an Environmental Checklist for Streamlined
Review, which documents the application of the criteria for streamlining in Public
Resources Code Section 21083.3 and CEQA Guidelines Section 15183 and concludes,
based on substantial evidence, that no further review under CEQA is required; and
WHEREAS, the DDA contemplates development of a 68 -acre area within Alameda
Point that extends generally from the Main Street entrance of Alameda Point to the
eastern edge of the Seaplane Lagoon and includes 800 housing units (200 affordable),
600,000 square feet of commercial development, and extensive parks and utility
infrastructure (Site A Project); and
WHEREAS, the City issued a notice of default under the DDA, contended that it
had not been cured, and contended that the default entitled the City to exercise certain
rights and remedies under the DDA, including but not limited to the right of reverter and
termination in 17.35 of the DDA and the option to repurchase, reenter, and repossess in
Section 17.6; and
WHEREAS, the City and Developer agreed to a Tolling Agreement effective May 20,
2021, subsequently extended through April 30, 2022, further extended through July 31,
2022, and further extended through October 31, 2022; and
WHEREAS, the Developer has requested that the City prepare and approve a
Sixth Amendment to the DDA to allow the Developer to extend the date for close of escrow
on Phase 2 to no later than December 31, 2022; and
WHEREAS, the DDA authorizes the Developer to extend the date for close of
escrow on Phase 2 by making certain payments to the City, the amount of which are
dependent upon the stage of completion for the Phase 1 Backbone Infrastructure; and
WHEREAS, the Developer has paid the Extension Fee that would have been due
if 50% or more of the Phase 1 Backbone Infrastructure was complete even though at the
time of the request less than 50% of the Phase 1 Backbone Infrastructure was complete
on the basis that Developer has been delayed as a result of the unforeseen infrastructure
conditions existing at the Site; and
WHEREAS, the City and Developer wish to revise the DDA to increase the number
of residential units to be constructed at Site A; and
WHEREAS, on July 25, 2022, the Planning Board approved an amended
Development Plan, which includes the following components:
a. Approximately 1,300 residential units, of which 25% will be affordable units
as more specifically defined in the DDA;
b. A minimum of 300,000 square feet and up to 360,000 square feet of
permitted and conditionally permitted non-residential uses (including but not limited to,
retail, commercial, civic and other commercial space) and, which may include the
adaptive reuse of some of the existing structures on the Property; and
WHEREAS, the City has determined that approval of the Sixth Amendment to the
DDA is in the best interest of the City because it will allow the Developer to continue to
proceed in a diligent manner with the construction of Phases 1 and 2 of the Site, and
further the City's progress toward its Housing Element goals; and
WHEREAS, the Developer and the City desire to amend the DDA in accordance
with the terms and conditions of the Sixth Amendment to the DDA.
NOW, THEREFORE, BE IT ORDAINED, that after hearing all qualified and
interested persons and receiving and considering all relevant evidence, the City Council
of the City of Alameda finds and determines as follows:
Section 1. The Sixth Amendment to the DDA substantially in the form on file with the City
Clerk, subject only to such changes as are approved by the City Attorney and the Interim
City Manager, is hereby approved.
Section 2. The Interim City Manager, or designee, is authorized to execute the Sixth
Amendment to the DDA and to take such other actions as are contemplated and
consistent with the Sixth Amendment to the DDA.
Section 3. 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. 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.
r
Presiding,Office- gf.the City Council
Attest:
Lara Weisiger, City Clerk
I, the undersigned, hereby certify that the foregoing Ordinance was duly and regularly
adopted and passed by the Council of the City of Alameda in a regular meeting assembled
on the 20th day of September 2022 by the following vote to wit:
AYES: Councilmembers Daysog, Knox White, Vella and Mayor Ezzy
Ashcraft — 4.
NOES: Councilmember Herrera Spencer - 1.
ABSENT: None.
ABSTENTIONS: None.
IN WITNESS, WHEREOF, I have hereunto set my hand and affixed the seal of said
City this 21st day of September 2022.
APPROVED AS TO FO
Yibin en,
City of Ala
ttorney
eda
Lara Weisiger, City Clerk
City of Alameda