March 22, 2022
Economic Development
DATE: March 22, 2022
TO: Mayor Butt and Members of the City Council
FROM:
Shasa Curl, Interim City Manager
James Atencio, Senior Assistant City Attorney
Lina Velasco, Director of Community Development
Thomas Omolo, Management Analyst II
Subject:
Presentation of a Potential Revised Project for the
Terminal One Site.
FINANCIAL IMPACT: There is no financial impact from receiving this presentation
PREVIOUS COUNCIL
ACTION:
July 15, 2014 – Item H-8.- APPROVE the Land Disposition Agreement (LDA) with Terminal One Development, LLC
(Suzhou Weibang Property Management, LLC) regarding
the disposition of the Terminal One property (Approval of the LDA does not constitute City Council approval of the project; the proposed development plan must be finalized by the Developer; an Environmental Impact Repor t (EIR) must also be prepared and certified prior to approval of a final development plan) - City Manager's Office (Bill
Lindsay 620-6512)
STATEMENT OF THE
ISSUE:
In August 2014, the City of Richmond entered into a Land Disposition Agreement (“LDA”) with Terminal One
Development LLC (“Developer”) to develop the Terminal
One site. The Developer has requested to present an
alternative site plan
AGENDA
REPORT
March 22, 2022
RECOMMENDED ACTION: RECEIVE a presentation regarding a potential revised project for the Terminal One site from Terminal One
Development LLC – City Manager’s Office/ Community
Development Department (Shasa Curl/Lina Velasco 510-
620-6512).
DISCUSSION:
Background
The Terminal One site is a City of Richmond property, comprised of three parcels (APNs: 560-420-010, 560-420-007, and 561-010-007), located at 1500 Dornan Drive, totaling approximately 14.4 acres. In August 2014, the City of Richmond, and Terminal One Development LLC (“Developer”) entered into the Land Disposition Agreement (“LDA”) to develop a residential community consisting of a mix of flats, townhomes, and single-family homes. In July 2016, the City Council approved a General Plan Amendment, Rezoning, and Vesting Tentative Map for the Terminal One project, consisting of 295 flats and 21 single-family homes, totaling 316 dwelling units (“Project”). The Developer obtained Design Review approval for their Project in February 2018 and Bay Conservation and Development Commission permits in March 2020.
On March 16, 2021, the City sent a notice of default to the Developer, citing their failure to close on the purchase of the Terminal One site within the timeframe provided in the LDA. The notice also acknowledged that Developer was seeking approval for an alternate Project design and requested that Developer submit their proposed alternate site plan for City Council consideration. On July 15, 2021, Developer submitted their alternative project proposal and asserted that the original Project was economically infeasible.
Updated Site Plan
The Developer has proposed a new project alternative that they believe is economically feasible. The Developer has submitted a new site plan that would include 160 homes with 56 accessory dwelling units (ADU), totaling 216 dwelling units. The new site plans will have four-unit types: duet units, 2 story single-family homes, 3-story single-family homes, and 3-story single-family homes with an attached ADU on the ground floor. The submitted plan will include approximately five (5) acres of public park, park access, and parking. Additionally, the developer proposed two plans, one which includes a new Shoreline Road that goes along the waterfront and one which has a publicly accessible park and Bay Trail segment only along the shoreline (removes the Shoreline Road).
March 22, 2022
Comparison Chart
August 6, 2014,
Executed LDA
Proposed Revised Terms
Laconia
Development Program 295 midrise condominiums
over podium parking and
21 single-family units for a
total of 316 units
214 dwelling units – 160 units
and 54 Accessory Dwelling
Units (AU)
• 58 duplexes, 82 three-
story single-family
homes (54 ADUs), 18
two-story single-family
homes, and 2 flats over
retail
Affordable Housing 32 condominium units Full compliance with the City's inclusionary housing
requirements
Design Considerations Shoreline Road to connect
Dornan Dr and Brickyard
Cove Rd
Inclusion of Shoreline Road
Road Closure The closure of a portion of
Brickyard Cove Road once
the Shoreline Road is
completed
No such closure is planned
Conclusion:
Terminal One Development LLC would like to provide the City Council and public a presentation of the updated site plans for the Terminal One site, which the developer believes would be financially feasible and could be built. If the City Council ultimately approves the revised site plan, next steps would include preparing amendments to the LDA and the Developer securing new and/or revised project entitlements.
DOCUMENTS ATTACHED:
None