Excerpt:

The California State Lands Commission has approved a land exchange with the city that Alameda officials are hailing as a "milestone" in the redevelopment of the former U.S. Navy base since it will pave the way for creating a public trust for property along the waterfront.

Along with placing tidelands and wetlands into the trust -- a first step toward opening up the shoreline for paths and open space -- the agreement turns over interior land at the former base to the city, a key step for redeveloping the site now known as Alameda Point.

The commission's approval on Friday follows California lawmakers enacting legislation in 2000 that authorized the exchange.