The document is not legally binding, but is a sign that the city is ready to move ahead with the project, which has been in the works for years. The Contra Costa Transit Authority set aside $6.7 million for the parking garage project in 1988. Regency Realty Group Inc., the owner of the land, selected Forest Plaza to develop the project.

The council's memorandum details how the development will be built and operated. Forest Plaza will buy the land from Regency and build, own and operate a 400-space garage near the El Cerrito Plaza BART station on a three-acre site. In addition, Forest Plaza will develop a mixed-use project, which will include 10,000-sf of retail space, a 15,000-sf fitness center and 100 residences. The total cost of the project has not yet been determined.

Once the project is completed, the city will buy the right to reserve the garage for BART users from Forest City for $6.7 million. According to city officials, BART and the CCTA must approve the memorandum before construction can begin.