Notice-of-Default

Outline

Background
Two Remaining Mandatory Milestones
.Finalized Navy Term Sheet
.Disposition and Development Agreement

Discussion
.Denial of SunCal Modified OEAOptional Entitlement Application
..Findings for Denial
...Lack of Commitment to Mixed-Use Transit-Oriented Development
...Jobs/Housing Imbalance
...Need for Economic Development Strategy
...Traffic Impacts
...Impacts to Endangered Species
...Risk of Project Infeasibility and Adverse Outcomes
...Lack of Community Support

..Responses to Questions from Alameda's July 7, 2010 Meeting

Excerpt:

Suncal Co.s is threatening to take legal action against the city of Alameda and its interim city manager for “jeopardizing its efforts” to redevelop a 770-acre portion of a former Navy base on the island city.

The developer wants the city to investigate Ann Marie Gallant, the interim city manager, for acting in bad faith during its negotiations with the city on the project. Gallant says Suncal’s claims against her are false.

“This is a personal attack against me because (Suncal) holds me responsible for what’s happened with this project in the past year,” she said.

Memo includes responses to the following questions raised at the June 1, 2010 City Council Meeting.

1. What is the status of ongoing negotiations between SunCal and Alameda
regarding project economics and assumptions in the SunCal Project Proforma?

2. Can the project financially support the proposed transportation improvements
and program, public benefits, fiscal neutrality, and significant land payment to
the Navy?

3. Does SunCal project comport with definitions of transit-oriented development
(TODTransit Oriented Development)?

Includes discussion of SunCal management meeting with Navy officials at the Pentagon.

Excerpt:

The environmental impact of redeveloping Alameda Point remains on the agenda now that SunCal is no longer in default of its exclusive negotiating agreement with the city, the City Council was told this week.

Interim City Manager Ann Marie Gallant also told the council Tuesday that the city would be sending the developer a letter with questions about its application.

The letter, which was to go out Wednesday, addresses transportation, sustainability and other issues that would stem from redeveloping the former Navy base, Gallant said Tuesday.

Series of questions from City Manager to SunCal regarding the modified Optional Entitlement Application (OEAOptional Entitlement Application) submitted by SunCal. Questions cover the following issues:
Density bonus option
Transportation and sustainability
Third party agreements
Affordable housing
Market and financial feasibility

Excerpt:

City officials announced late Tuesday night that SunCal is no longer in default of its exclusive deal to negotiate a development agreement at Alameda Point and that they are moving forward with plans to study the environmental impact of redeveloping the former Naval base.

Excerpt:

Representatives from SunCal have told city officials that they intend to negotiate for the right to use a state affordable-housing law to implement the developer’s original plan for Alameda Point – a move that could allow the developer to build its non-Measure A(1973) The actual text of what is known as Measure A is article 26 of the Alameda City Charter. It reads as follows: "Sec. 26-1. There shall be no multiple dwelling units built in the City of Alameda. Sec. 26-2. Exception being the Alameda Housing Authority replacement of existing low cost housing units and the proposed Senior Citizens low cost housing complex, pursuant to Article XXV of the Charter of the City of Alameda. Sec. 26-3. The maximum density for any residential development within the City of Alameda shall be one housing unit per 2,000 square feet of land. This limitation shall not apply to the repair or replacement of existing residential units, whether single-family or multiple-unit, which are damaged or destroyed by fire or other disaster; provided that the total number of residential units on any lot may not be increased. This limitation also shall not apply to replacement units under Section 26-2." compliant plan without taking it back to voters.

Report presented at the Special Joint Meeting of the City Council, Alameda Reuse and Redevelopment Authority (ARRAAlameda Reuse and Redevelopment Authority. The City Council acts in this capacity.) and Community Improvement Commission (CICCommunity Improvement Commission (Alameda's redevelopment agency). The City Council acts in this capacity.)
April 6, 2010
7:01 PM
City Council Chambers
City Hall

City Manager/Executive Director Communication

3-A. Update on SunCal Negotiations [City Council, ARRA, CIC]