2004-08-04 Special CIC PacketCITY OF ALAMEDA•CALIFORNIA
SPECIAL MEETING OF THE COMMUNITY IMPROVEMENT COMMISSION
WEDNESDAY - - - AUGUST 4, 2004 - - - 5:35 P.M.
Location: Council Chambers, City Hall, corner of Santa Clara Avenue
and Oak Street.
Public Participation
Anyone wishing to address the Commission on agenda items or
business introduced by Commissioners may speak for a maximum of 3
minutes per agenda item when the subject is before the Commission.
Please file a speaker's slip with the Deputy City Clerk if you wish
to speak on an agenda item.
ROLL CALL
AGENDA ITEM
1. Update on the Catellus /Bayport Project.
ADJOURNMENT
Beverly Jo ns
Community I
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ir
C t
eme t Commission
City of. Alameda
Inter - department Memorandum
July 21, 2004
To: Honorable Chair and Members of the Community Improvement Commission
From: James M. Flint
Executive Director
Re: Informational Presentation on the Bayport Residential Project
Background / Discussion
The CIC will be provided with an informational PowerPoint presentation on the Bayport Project
at a special CIC meeting, scheduled for August 4, 2004. The proposed PowerPoint presentation
will provide a general overview of the Project, highlighting the following:
• The Approved Catellus Master Plan and Entitlements;
• CIC and Developer Project Obligations;
• Major Project Approvals to Date;
• How Changes in the Office Market have led to a Residential Only Project;
• Summary of Estimated Obligations and Revenues; and
• Projected Residential Completion Schedule.
Fiscal Impact
Informational only.
Recommendation
The Executive Director recommends that the CIC accept the informational presentation.
Reupe• Illy submit d
Leslie Little
Development Services Director
By: ' 1Yebbi Potter
Base Reuse and Redevelopment Manager
JF/LLJDP: dc
Attachment: Bayport Residential Project Update PowerPoint Presentation
Dedicated to Excellence, Committed to Service
Bayport Residential
Project Update
Development Services Department
Presentation to the CIC
August 2004 1
0
•
Alameda Point Master Plan
Alameda Point
Master Planned Community
Enterprise 11\
Landing(
Bay Port
Proposed Alameda
National Wildlife Refuge
F'\
San Francisco B a y
LSA
c)
0
1250 2503
FEET
00110C11: I,rL:TT G 1111 :0I1T. 2001
ALAMEDA
P O I N T
August 2004
FISC / East
Housing
Project Area
2
FISC / East Housing Project Area
,_a t Housing & FISC Annex
August 2004
3
Approved Catellus Master Plan
COAST GUARD
HOUSING
(EXISTING)
WOODSTOCK NEIGHBORHOOD
(EXISTING)
August 2004
Major Land Use Components
A — Commercial
B - Single Family Neighborhood
w /new Park & School
C - Affordable Housing
4
Approved Catellus Master Plan - A
COAST GUARD
HOUSING
(EXISTING)
COLCEGi 01
ALAMEDA
ARAM, AV AO
WOODSTOCR NEIGHBORHOOD
(EXISTING)
August 2004
Commercial Development
at the FISC (128 acres)
Waterfront park & promenade (11
acres)
700,000 sq.ft. of office
600,000 sq.ft. of research &
development space
5
Approved Catellus Master Plan - B
COAST GUARD
HOUSING
(EXISTING)
COLLEGE OF -
ALAf1EDA
WOODSTOCK NEIGHBORHOOD
(EXISTING)
August 2004
Residential Development at
East Housing & the FISC
Annex (81 acres):
485 single family homes and four
mini -parks
A joint use public park & new
elementary school
6
Approved Catellus Master Plan - C
COLLEGE Of
ALAMEDA
WOODSTOCK NEIGHBORHOOD
(DIMING)
August 2004
Affordable Housing
39 unit affordable rental housing at
the FISC (2.5 acres)
62 unit affordable housing
development at East Housing and the
FISC Annex (3 acres)
7
Approved Catellus Master Plan Summary
Land Uses East Housing FISC Total
SF (units) 310 175 485
Affordable (units) 24 78 101
Total Housing Units 334 253 586
Park/School (acres) 11
Waterfront Park (acres) 11
Office /R &D (s.f.) 1.3M 1.3M
August 2004
8
Major Project Approvals
Selected Master Developer
12/1998
Certified EIR / Approved Development Agmts.
05/2000
Approved Master Consulting Agmts.
Issued BWIP (Redevelopment Project Area) Bonds
Settlement Agmt. (1St Amendment to Agmts.)
06/2001
08/2001
12/2001
Amendment to Master Consulting Agmts.
01/2003
2nd Amendment to DDA (Shortfall Lending)
Conveyance Blocks A, B & C (197 Tots in EH)
04/2003
06/2003
August 2004
9
Major Project Approvals
Established Special Tax District (Maintenance)
BWIP Bond Refinance (Taxable to Tax Exempt)
3rd Amendment to DDA (ACET)
Amendment to Master Consulting Agmts.
10/2003
10/2003
11/2003
04/2004
Conveyance Blocks D & E (20 Tots in East
Housing, 135 Tots in FISC)*
06/2004
*20 lots deferred pending resolution of Navy's remediation plan for Benzene
Plume
August 2004
10
II
The Approved Master Plan has been
Impacted by 3 Major Factors
Delay due to Renewed Hope and Arc Ecology Lawsuit against
the NAS Alameda Reuse Plan EIR;
Discovery of additional chlordane during demolition; and
A significant downturn in the office market
August 2004
11
The Renewed Hope and Arc Ecology
Lawsuit Settlement Agreement
Required amending the EIR, General Plan, Master Plan,
Development Agreement, Tentative Map, Disposition and
Development Agreement.
Caused interest on project predevelopment costs to accrue.
Delayed issuance of BWIP (Redevelopment Area Project)
bond proceeds needed for demolition.
August 2004
12
Discovery of Additional Chlordane
During Demolition
Discovered at depths greater than what was originally tested
for, delaying the completion of demolition by four months
Reduce availability of $7.2M BWIP (Redevelopment Project
Area) bond funding for demolition and infrastructure
improvements by approx. $3.4M, accelerating the need for
shortfall funding from Catellus
AIG insurance claims submitted — initial reimbursement
received approx $400K, final payment approx. $3M pending.
August 2004
13
Major Changes in the Office Market
The Project was conceived when the office market was
exceptionally strong
High vacancy rates in the office market are expected to
continue over the next 5 to 7 years
The change in market conditions has resulted in changes in
the phasing of demolition, infrastructure improvements and the
take -down of residential and commercial land
August 2004
14
Where we are today....
Changes in the office market have led to deferring
development of office R &D indefinitely w /exception of 30,000
sq.ft. bio -tech incubator (ACET)
In order to take advantage of a stronger residential market, the
original phasing for demolition and backbone infrastructure
improvements for office, R &D and residential has been re-
designed
Because residential has to bear more of the demolition and
infrastructure cost burden, increased shortfall funding
requirements necessitated revisions the DDA
August 2004
15
•
Bayport Alameda
...Model Homes Open or Viewin
August 2004
16
Residential Project
Bayport
437 Market Rate Single Family Homes (280 in EH / 157 in FISC)
48 Moderate - income Single Family Homes (30 in EH / 18 in FISC)
4 Neighborhood Mini -Parks (2 in EH / 2 in FISC)
Joint educational and recreational facilities
7 acre elementary school (in EH)
4 acre public park (in EH)
Affordable Housing
39 multi - family units (FISC)
62 multi - family & homeownership units (24 in EH / 38 in FISC)
August 2004
17
CIC Obligations
CIC Obligations will be funded from project revenues which
include bonds, land sales proceeds, reimbursements and
profit participation (approx. $73.8M)
Project obligations include demolition, new public
infrastructure, assistance for the construction of a new
elementary school and public park ( approx. $70.8M)
August 2004
18
CIC Obligations
Net proceeds (approx. $3M) will be used to partially fund
additional infrastructure improvements, for later project phases
(e.g., Tinker/Webster Interchange est. $14M)
Posey
Tube
Tinker Avenue
August 2004
College
rat 5.ft of a .� _._
�
�
4��.w..��. 0.,. 1n Alam
1.
Webster Street
19
Catellus Obligations
Catellus in partnership with Warmington Homes will construct
residential in -tract infrastructure improvements and new
homes
Pay impact fees to assist development of affordable housing
and elementary school
Establish a special tax assessment district to pay for
maintenance within the public right -of -way and park
August 2004
20
Estimated 2008 Residential Net Revenue
Proforma Summary
Total Sources and Uses Amount
Project Revenues (approx. $48.4M EH / $25.4M
FISC)
Project Obligations (approx. $46.4M EH / $24.4M
FISC)
Estimated Net Project Revenue (to partially fund the
Tinker / Webster Interchange)
$73.8M
$70.8M
$3.0M*
* 2008 projection contingent upon actual Project costs, cost of construction, and actual home
purchase prices
August 2004
21
Estimated Residential Project Revenues
Revenue Source
East
Housing
ARRA (Redevelopment Project Area) Bonds $0.6M
BWIP (Redevelopment Project Area) Bonds $4.6M
BWIP Affordable Housing Bonds $0.2M
Land Sales Proceeds ($58,744 per lot) $18.3M
AIG Haz -Mat Insurance Reimbursement $3.8M
Profit Participation (approx. $40,500 /home) $12.6M
New Residential Tax Increment
Allocation Bond
$8.3M
Estimated Total Residential Project Revenues
Percent of Total
August 2004
$48.4M
66%
FISC
$0.M
$2.6M
$0.7M
$10.3M
0
$7.1M
$4.7M
$25.4M
34%
Total Schedule
$0.6M Expended 0
$7.2M Expended
$0.9M Expended
$28.6M (2003 -05)
$3.8M (2004)
$19.7M (2004 -07)
$13.0M (2007 -08)
$73.8M
100%
22
Estimated Residential Project Obligations
Project Obligations
Predevelopment (includes interest)
Total Estimated Cost of Demolition
& Infrastructure
City Admin, Consultants & General Conditions
Shortfall Loan Interest
Assistance for New Public Park &
K -8 School
Affordable Housing Shortfall Loan
Traffic Mitigation Costs
Estimated Total Residential Project Obligation
Percent of Total
East Housing FISC Amount
$7.8M $4.5M $12.3M
$26.7M
$4.9M
$3.0M
$2.9M
$0.3M
$0.8M
$13.0M
$2.8M
$1.8M
$1.6M
$0.2M
$0.5M
$39.7M
$7.7M
$4.8M
$4.5M
$0.5M
$1.3M
$46.4M $24.4M $70.8M
66% 34% 100%
August 2004 23
Residential Completion Schedule
Catellus Bayport Housing Targets
1st Conveyance (190 Tots in EH) 06/2003
1st Conveyance (7 Tots in EH) 06/2004
2nd Conveyance (20 Tots in EH / 115 in FISC) 07/2004
Model construction (10 homes in EH) 07/2004
Phased home production (300 in EH / 175 in FISC) 10/2004 to
07/2007
August 2004 24
Residential Completion Schedule
Affordable Housing
Targets
62 unit construction (24 homes in EH / 39 in FISC) 07/2005
39 unit construction (FISC) 12/2006
August 2004 25