2025 APR IO PM 2: 27
FILED APPROVED AS TO FORM AND LEGALITY
1CE Of THE CITY CLERK OM{LAND
INTRODUCED BY COUNCILMEMBER REBECCA KAPLAN & KEN HOUSTON ��
CITY ATTORNEY'S OFFICE
OAKLAND CITY COUNCIL
ORDINANCE NO. IP:� 13 8 '-l 2
AN ORDINANCE:
C.M.S.
(1) AMENDING ORDINANCE NO. 13801 C.M.S. AUTHORIZING THE SALE OF THE CITY OF OAKLAND'S UNDIVIDED 50 PERCENT
INTEREST IN PROPERTY LOCATED AT 7000 COLISEUM WAY,
OAKLAND, CALIFORNIA, TO REMOVE THE RESTRICTION
REQUIRING PAYMENT OF A PORTION OF THE PURCHASE PRICE
PRIOR TO JULY 1, 2025 TO FACILITATE SIMULTANEOUS CLOSING WITH THE COUNTY OF ALAMEDA'S SALE OF ITS UNDIVIDED 50
PERCENT INTEREST IN THE PROPERTY AFTER THE BOND DEBT
RELATED TO THE PROPERTY IS PAID IN FULL;
(2) DECLARING REAL PROPERTY LOCATED AT 695 HEGENBERGER
ROAD "SURPLUS PROPERTY" PURSUANT TO THE SURPLUS LAND
ACT (GOVERNMENT CODE SECTION 54220-54233); AND
(3) ADOPTING CALIFORNIA ENVIRONMENTAL QUALITY ACT
FINDINGS
WHEREAS, the City of Oakland ("City") owns a fifty percent (50%) undivided interest (the "City's Interest") in that certain real property located at 7000 Coliseum Way, located in the City of Oakland, California (the "Property"); and
WHEREAS, the Property is approximately 112-acres in size and abuts the Damon Slough Channel to the North and East, S. Elmhurst Creek Channel to the South and Coliseum Way and I- 880 to the West, and consists of two parcels with improvements thereon including an arena (the "Arena"), a stadium (the "Coliseum"), parking areas and related structures, roadways, sidewalks, loading areas and other improv�ments ( collectively, the "Coliseum Complex"); and WHEREAS, the County of Alameda ("County") owns the other fifty percent (50%) undivided interest (the "County's Interest") in the Property and on December 23, 2019, the County entered into a disposition and sale agreement with the Coliseum Way Partners, LLC, a Delaware limited liability company ("Coliseum Way Partners") ("Disposition Agreement"), which is an entity affiliated with the Oakland Athletics, for the sale of the County's Interest whereby Coliseum Way Partners shall make installment payments to the County over a number of years for the purchase of the County's Interest; and
WHEREAS, the Oakland-Alameda County Coliseum Authority ("JPA") is a joint powers authority established by the City and County, which manages the Property on behalf of the City and the County pursuant to an Amended and Restated Management Agreement, dated as of May l, 2000;and
WHEREAS, the Coliseum Complex had outstanding lease revenue bond debt ("Bond Debt") managed by the JP A on both the Coliseum and the Arena existing from bond issuances for Property renovations and improvements. The final payment of the Bond Debt related to the Coliseum has been paid and the process for closing out the Coliseum Bond Debt, including clearing bond-related document from title is underway. The final Bond Debt related to the Arena is scheduled to be fully paid in February and the similar close-out process is anticipated to be completed by June 30, 2026; and
WHEREAS, on March 31, 2015, pursuant to Resolution No. 85491 C.M.S., the City Council certified the Environmental Impact Report, made California Environmental Quality Act ("CEQA") findings, and adopted the Coliseum Area Specific Plan, which included related General Plan amendments (the "Specific Plan"). The Property falls within the boundaries of the Specific Plan; and
WHEREAS, on June 26, 2024 the City Council adopted Ordinance No. 13801 C.M.S. ("Original Ordinance"), which authorized the City Administrator to negotiate and execute a purchase and sale agreement with AASEG Land LLC, a Delaware limited liability company ("AASEG Land") or its affiliate, with certain proposed minimum terms for the purchase and sale of the City's Interest, including the requirement that at least Sixty Million Dollars ($60,000,000) of the One Hundred Five Million Dollar ($105,000,000) purchase price (the "Purchase Price") would be paid prior to July 1, 2025 ("Payment Timing Restriction"); and WHEREAS, on August 31, 2024, the City entered into that certain Real Property Sale Agreement (Coliseum Complex - City's Interest) with Oakland Acquisition Company, LLC, a Delaware limited liability company ("OAC"), an affiliate of AASEG Land (the "Original Agreement"), pursuant to which OAC provided a Five Million Dollar ($5,000,000) nonrefundable deposit toward the Purchase Price; and
WHEREAS, the City and OAC amended the Original Agreement pursuant to that certain First (Administrative) Amendment of Real Property Sale Agreement (Coliseum Complex - City's Interest) (the "First Amendment", together with the Original Agreement, the "Agreement"), which among other things, increased the Purchase Price to One Hundred Ten Million Dollars ($110,000,000) and added post-closing additional payments in the amount of Fifteen Million Dollars ($15,000,000) (the "Additional Payments"); and
WHEREAS, OAC has been negotiating with the County and Coliseum Way Partners to facilitate a coordinated purchase and sale of both the City's Interest and the County's Interest simultaneously; and