PRESS RELEASE

September 29, 2011

FOR IMMEDIATE RELEASE

Contact:

Jennifer Ott, Chief Operating Officer – Alameda Point

(510) 747-4747

City of Alameda to Approve Term Sheet with Navy for No-Cost Transfer of
Entire 918-Acre Alameda Point

The City of Alameda and the Department of the Navy (Navy) have come to a milestone agreement (Attachment A) on the terms of a no-cost conveyance for 918 acres of the former Naval Air Station Alameda (NAS Alameda), commonly referred to as Alameda Point, fourteen years after closure of the former base.

The Alameda Reuse and Redevelopment Authority (ARRA), the City’s governing body in charge of overseeing Alameda Point, is scheduled to approve the Term Sheet on October 5, 2011 at 7:00 p.m. in the Council Chambers at City Hall located at 2263 Santa Clara Avenue, 3rd Floor.

Alameda City Manager John Russo said, “This agreement represents an essential first step to move Alameda Point out of federal ownership and onto the private tax rolls.” Overall, the renaissance of Alameda Point has the potential to create between 6,000 to 9,000 permanent jobs and countless more temporary construction jobs, as well as millions of dollars in local and state tax revenues. Additionally, Alameda Point is strategically located in the highly urbanized, land-constrained San Francisco Bay Area region and presents a great opportunity for a more sustainable economic recovery for the Bay Area. The property offers extraordinary potential for new mixed-use development, which can help the region address environmental concerns regarding greenhouse gas emissions.

“This is a watershed moment – now we can make Alameda Point an economic engine for the City once again,” said Mayor Marie Gilmore. “After 14 years of talk, the City will soon realize significant benefits from new business activity at Alameda Point which will create thousands of jobs and generate millions of dollars in tax revenues,” added Mayor Gilmore.

Kimberly Kesler, Director of the Department of the Navy’s Base Realignment and Closure Program Management Office stated, “We are extremely pleased to have reached agreement with the ARRA on the comprehensive transfer of the former NAS Alameda. This agreement provides a framework for the expeditious transfer of the former NAS Alameda to the ARRA so the property can be used for job creation and other productive reuse.”

The Term Sheet also includes a conveyance schedule that contemplates that approximately 140 acres will be conveyed to the City by mid-2012 and most of the remaining property by the end of 2012.

Additionally, the first transfer of property slated for mid-2012 includes the land proposed for the University of California (UC)/Lawrence Berkeley National Lab’s Second Campus (LBNL Second Campus), which the City is trying to attract to the base. This agreement removes any impediment to transferring property at Alameda Point to UC for the LBNL Second Campus.

The former NAS Alameda was listed for closure as part of the 1993 Base Realignment and Closure Act (BRAC) and decommissioned in 1997. As a result of the closure, the City lost approximately 14,000 military and civilian jobs and experienced a significant adverse impact to its local economy. While the City has taken significant measures to revitalize the local economy after the base closed, such as developing the Bayport project, which included 586 housing units, an 11-acre community park and K-5 elementary school, there is much more to do.

Senator Dianne Feinstein praised the agreement saying, “This is exactly what our regional and State economy needs right now – the expeditious conveyance of the former NAS Alameda property will allow the City and State to generate much-needed tax revenues and jobs during a tenuous period of economic recovery.” Feinstein’s support of the passage of the National Defense Authorization Act of 2010, which included provisions related to economic development conveyances, was vital in advancing this agreement.

Please contact Jennifer Ott, Chief Operating Officer – Alameda Point, at (510) 747-4747 for any questions about the Term Sheet between the Navy and the ARRA.

Alexander Nguyen
Deputy City Manager
City of Alameda, CA