The combined Hunter's Point-Candlestick development plan calls for a new NFL football stadium, which remains in doubt, as well as firmer plans for two million sf of office space, 700,000 sf of retail and entertainment uses, up to 10,000 housing units, 350 acres of open space and an 8,000 to 12,000 seat performance venue. Lennar initially planned to have only 25% of the housing units be affordable, but upped the percentage to 32% to help ensure voters approval.
Despite voters' overwhelming approval – 61% for F and 62% against G -- the project still must be approved by the City of San Francisco Board of Supervisors, which includes Chris Daly, who spearheaded Proposition F, and Lennar and the city must comes to terms for a development agreement. An environmental review is currently under way that will help city officials determine what infrastructure improvements will be necessary to lessen the development's impact the existing Bayview-Hunter's Point neighborhood.
A development agreement is expected to be up for the Board of Supervisors approval by the end of 2009. The tentative deal is this: In exchange for free land, Lennar would spend approximately $1.2 billion on infrastructure for the 720 acres to be remade with homes, retail shops and a "green" office park surrounded by 300 acres of parkland; rebuild a nearby run-down public housing development; donate $27.3 million to residents of Bayview-Hunters Point to assist in housing purchases, either in the new development or the existing neighborhood; and provide a site for the construction of a new stadium for the San Francisco 49ers at Hunters Point, if they choose to remain in the city rather than move to Santa Clara.
If the city and Lennar come to agreement and the development moves forward – with or without the NFL stadium -- it would be the largest San Francisco redevelopment project since World War II, according to city officials. Lennar, which broke city funding records for a local ballot measure by spending an estimated $3.4 million, also is part of a team preparing to develop public land on Treasure Island.
Outside of the agreement, the city previously transferred a hillside parcel within the Hunter's Point Shipyard to Lennar, which has installed the infrastructure and graded pads for a 1,600-unit housing development that will include parks but not retail or commercial. That development will move ahead independent of the agreement.
As for the rest of the land, its development will be slow. Before any vertical construction can begin existing buildings on the properties, some of them substantial, will have to be removed; any ground contamination will have to be remediated; and then all new utilities and roads will have to be installed and structurally protected from potential earthquake damage. The land is expected to be scraped, cleaned and transferred to Lennar in phases.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
