Berkeley, BART Reach Deal on Transit-Oriented Housing

Berkeley and Bay Area Rapid Transit (BART) have reached an agreement that will facilitate the development of hundreds of new housing units on two parcels in proximity to the Ashby Station.

The City Council voted this week to authorize the city manager to enter into an agreement negotiated over the past 18 months that enables two transit-oriented housing developments to move forward, The Mercury News reported.

“This will deliver hundreds of units of affordable housing along a major transit corridor, enabling Berkeley to continue its efforts to address affordability and homelessness through smart growth strategies that reduce traffic and environmental impacts,” Berkeley Mayor Jesse Arreguin said, in a release announcing the deal.

Under the terms of the agreement, the city will relinquish its right to air rights over a 4.4-acre BART-owned parcel bounded by Adeline Street, Ashby Avenue and Martin Luther King Jr. Way in exchange for city ownership of another 1.9-acre parcel bounded by Woolsey, Tremont, Adeline and Essex streets.

Berkeley has had the option to purchase the air rights of the larger parcel, known as the West Lot, for $55,000 since 1964. However, city real estate advisors warned that an acquisition of the air rights would result in dual ownership between the city and BART, making it difficult to acquire project funding, according to a city staff report.

Both of the parcels will be developed for housing, with BART committing to dedicate at least 50% of the first 602 units built on the West Lot as affordable. At least 301 units of the homes built and a minimum of 35% of the total units must be affordable if more than 602 are built, The Mercury News reported.

A total of $26.5M from Berkeley’s affordable housing fund will be invested in the transit-oriented projects, with $18.5M allocated to the West Lot development and $8M to the East Lot. Investments in public infrastructure will include sidewalks, plazas and streetscaping.

Central to the agreement is a commitment by BART to “reverse and repair the intergenerational harm that resulted from the development of the Ashby BART station and redlining,” with a focus on Berkeley’s Black residents.

Equitable Black Berkeley, an initiative of the mayor’s office in partnership with the organization Healthy Black Families, has proposed to put an unspecified portion of revenue generated from the projects into a fund that will be used for and by the greater South Berkeley community.

BART also has committed to give the Berkeley Flea Market a permanent home and preserve 5,000 SF of ground floor space for nonprofits, community-based or minority-owned businesses to rent at 50% market rate prices or below.

“This agreement is a reflection of BART’s goals of addressing climate and equity challenges and prioritizing affordable housing in areas that have seen historic displacement of African American families,” BART director Lateefah Simon said, in a statement. “[Transit-oriented development] projects such as Ashby will help invigorate the local and regional economy and create new opportunities for people who live, work, and play near our stations.”