Memo from City Manager to City Council regarding 6-Month Status Update on the Enterprise District Development Approach, February 21, 2017
1. Approach to Development Document
2. Marketing Brochure
3. Inquiry Tracking Sheet (July 1, 2016 - December 31, 2016)
On October 20, 2015, the City Council approved a new approach for development at the Enterprise District at Alameda Point that focuses on attracting major commercial businesses or “end users,” instead of commercial developers. A three-phase approach tied closely to the Site A development milestones over the next 24-36 month period uses their progress to draw attention to the Enterprise District. This approach provides the greatest flexibility in marketing and use of the site until an interested commercial user is identified. The Council also approved staff’s recommendation to use Cushman & Wakefield to market the Enterprise District and leverage their existing knowledge and experience at Alameda Point and their many connections throughout the Bay Area. The City Council asked that staff report back every 6 months with a status update.
The approach to attracting new jobs in the Enterprise District builds upon the strong leasing activity in the Adaptive Reuse area and leverages the City’s current leasing strategy at Alameda Point of targeting high-profile and attractive tenants, such as Google, and clusters of industries, such as clean-tech, food and beverage manufacturing users and artisan makers. This leasing strategy and activity lays the foundation for commercial expansion and attraction elsewhere in Alameda Point, including the Enterprise District. The Alameda Point leasing program currently consists of 1.8 million square feet of commercially leased space for approximately 66 businesses and 1,000 employees.
At the September 20, 2016 City Council meeting, at the request of City Council, staff presented a single stand-alone document that consolidated information about the Enterprise District’s previous solicitation process, vision and goals, and the approach to development. The document also includes the roles and responsibilities of Cushman & Wakefield and the tasks and deliverables required of them to evaluate the effectiveness of the approach. This document (Exhibit 1) is available on the Alameda Point website <https://alamedaca.gov/alameda-point/enterprise-district>.
At the September 20 meeting, staff also gave a 6-month update on the performance of the new approach. Cushman & Wakefield successfully completed all of the deliverables for Phase 1 of the Awareness Phase, except one. The deliverables included: producing a marketing brochure, sending out eight broker blasts to a mailing list of 1,600 potential users, making seven presentations to seven different brokerage houses, making weekly phone calls to follow up on mailing recipients, keeping Enterprise District information active on online marketing portals and their own website. In the six month period, they received 100 inquiries from a variety of industries. The feedback from the inquiries provided insight about the concerns and interests for development at Alameda Point. Access to the Enterprise District and potential risks about the timing of infrastructure were among the concerns. The amount of available land and the future residential and ferry terminal projects are of keen interest. The City Council asked that additional information about the inquiries be included in the next report to better assess the effectiveness of the approach to development.