Independent Alameda News. Support us!

Council Studies Development Strategies for Alameda Point Enterprise District

Updates on Oakland Alameda Access Project and paid ferry terminal parking, leases retail suite to barbershop

On October 1, City Council held a study session on development strategies for the Enterprise District, an Alameda Point zone envisioned for job generation. The City plans an aggressive marketing campaign, including direct outreach to businesses.

Council also received an update on substantial construction impacts from the Oakland Alameda Access Project, in which a new onramp will connect the Posey Tube to Highway I-880, approved a paid parking system at the Harbor Bay and Seaplane Lagoon Ferry Terminals, and authorized a lease for the It’ll Do barbershop to operate in the historic Alameda Theater Building.

Alameda Post - a map of Alameda Point with zoning designations for the Enterprise Zones, as well as other zones like Nature Reserve and Waterfront town Center
Zoning Map of Alameda Point including the Enterprise District. Image presented at the October 1, 2024, City Council meeting, Agenda # 7-B, Presentation.

Enterprise District background

The Enterprise District is a 180-acre section of Alameda Point entitled for commercial development. The City has undertaken various efforts to advance development for over a decade, but has been challenged by the need to replace core infrastructure, environmental contamination (the former Navy base is a Superfund site), policy restrictions, and market realities.



In 2019, Council directed staff to market a 23.9-acre portion (Site B) for commercial development. However, following a successful Request for Proposal (RFP) process in which the City received eight proposals, the State of California modified the Surplus Land Act, requiring publicly owned land to be offered first for affordable housing. This caused the solicitation process to fail.

In addition, the City discovered tarry refinery waste in part of the site. The waste remained from the area’s pre-Navy use as an oil refinery. Since then, the City has worked with Chevron, the site’s former owner, and expects to implement a remediation strategy by the end of 2024. In 2022, Assembly Bill 2319, introduced by Assemblymember Mia Bonta, amended the Surplus Land Act to allow specific exemptions for Alameda Point.

With two barriers addressed, the City intends to reignite development interest. The need to replace core infrastructure throughout the Enterprise District and the difficult post-pandemic commercial market continues to challenge plans, however. Infrastructure costs estimated at $26 million in 2019 now cost $40 million.

Marketing campaign

The City’s broker, Cushman and Wakefield, contacted developers who successfully submitted proposals in 2019. Some still expressed an interest in development but noted that the project’s economic realities had changed. They would need to renegotiate terms if they were to proceed. Specifically, project delivery would be contingent upon first securing a tenant. There is no longer a market for a “speculative” campus.

Consequently, staff proposed that the City, in partnership with its broker, engage in an aggressive marketing campaign including direct outreach to businesses rather than focusing solely on engaging developers. Outreach will convey the opportunities available and target industries with a greater need for a build-to-suit building or campus, such as research and development, maritime/blue tech, and institutions.

Staff recommended the following parameters:

  • In consideration for land received, the development must pay for and build replacement infrastructure to support the project.
  • Proposals must have a clear timeline.
  • Preferred industries are life sciences, clean/green/high tech, blue tech and maritime, retail and restaurants, tourism and hospitality, artists, and small manufacturers. However, the City will entertain proposals in all sectors.
  • The project should have a moderate to high density of people to increase area activity. The City is not interested in storage, data centers, or other uses with few employees.
Alameda Post - a map of Alameda Point with the label "Alameda Point Improvement Package Enterprise District Site B"
Enterprise District Site B development area. Image presented at the October 1, 2024, City Council meeting, Agenda # 7-B, Exhibit 2.

Council feedback

Exchanging land for infrastructure construction is increasingly challenging, given that construction costs have risen faster than land values. (See Post contributing writer Richard Bangert’s editorial on this topic.)

Councilmember Malia Vella suggested the City may have to consider where it could invest or co-invest in its own infrastructure to differentiate Site B from other sites in the Bay Area. She stated that she doesn’t want the City to chase business trends but rather to allow a mixture of different industries to coexist. As proposals arise, she wants the City to look at the quality of jobs provided, not just their quantity.

Mayor Marilyn Ezzy Ashcraft agreed, saying that the City wants to foster job opportunities “across the spectrum” from entry-level to PhDs. She wants to attract businesses that emphasize local hiring and coordination with the school district, such as for internships. She suggested creating networking events where regional businesses could discover Alameda.

Councilmember Trish Herrera Spencer agreed with the strategy of aggressive marketing and sending a clear message about the City’s parameters for development. She said it is critical to bring jobs to Alameda.

Given the economic environment, Councilmember Tracy Jensen said an aggressive marketing campaign is premature. She said the upcoming Oakland Alameda Access Project would cause large employers to hesitate to locate there.

Vice Mayor Tony Daysog said he wanted to consider rezoning some of the District to a residential and light industrial mix, arguing that a residential element could defray infrastructure costs. With its spectacular views, he suggested that West Hornet Avenue would be attractive for housing. He cautioned against letting short-term leases preempt long-term opportunities.

Alameda Post - a map of the Oakland Alameda Freeway Access Project's project area including Alameda, Alameda's two tubes, part of Oakland, and 880
OAPP project area. Map Alameda County Transportation Commission OAAP Face Sheet.

Oakland Alameda Access Project update

Council also received an update on the construction impacts of the Oakland Alameda Access Project (OAPP), a $152 million regional project to improve connectivity between Interstate 880, Interstate 980, and the cities of Oakland and Alameda. (Ken Der covered the update for the Post when it was presented to the Transportation Commission.)

Recent construction plans estimate two years of continuous single-lane closures in the Posey Tube (Alameda to Oakland) and eight months in the Webster Tube (Oakland to Alameda), far exceeding what the Cities of Alameda and Oakland and AC Transit expected to be intermittent, off-peak tube closures. City staff and the mayor have raised substantial concerns about the impacts on the Alameda community of such long-term, continuous lane closures.

Staff have proposed solutions to minimize daytime lane closures, such as constructing more components simultaneously to reduce the months of lane closures in the Posey Tube. For the Webster Tube, they have proposed construction during full closures at night and placing precast curbs to open both lanes during the day. The Alameda County Transportation Commission (CTC) directed staff to analyze these and other opportunities to reduce impacts.

Senior Transportation Coordinator Lisa Foster said the City will continue working with all stakeholders to make construction solutions viable. City Manager Jennifer Ott discussed potential mitigation efforts, such as increased ferry service and water taxi options. Mayor Ashcraft said the project highlighted the need for the Oakland-Alameda Bicycle-Pedestrian Bridge to alleviate traffic congestion. The City expects construction to begin in August or September 2025.

Alameda Post - a photo of the Seaplane Lagoon Ferry Terminal
Photo Wong Logan Architects.

Paid parking at ferry terminals

Council received an update on a parking pricing strategy for the Harbor Bay and Seaplane Lagoon ferries to manage high parking occupancy. The City proposes a baseline cost of $3/day or $0.75/hour to encourage riders to take non-driving modes to the ferry. Parking prices would be modified incrementally at limited intervals (quarterly at most), increasing by $1/day, up to $7/day, if the parking lot is 90% full after the last morning ferry but reduced by $1/day if the parking lot is 60% occupied or lower.

Physical pay stations will be available and mobile pay options by app, text, or browser will allow riders to pay even after they get on the ferry. Parking revenues will fund security guards to deter parking lot vehicle break-ins.

Responding to public comment, Councilmember Vella and Mayor Ashcraft called for the addition of cargo-bike parking at the terminals, allowing, for instance, parents to drop off children at daycares and schools before heading to the ferry. Councilmember Vella also requested a parking reservation system, allowing reservations 24-48 hours in advance to enhance convenience. Implementation is expected in early 2025. Parking will remain free at the Main Street Ferry Station, where occupancy is low.

Alameda Post - A black and white photo of It'll Do barbershop
Photo It’ll Do / Facebook.

It’ll Do barbershop at Alameda Theater Building

Council authorized a lease with Shear Terror, LLC, doing business as It’ll Do, for a 700-square-foot retail space in the Historic Alameda Theater Building at 2315 Central Avenue, Suite 122. (Park Street Wine Cellars vacated the location in January 2024.)

It’ll Do has been in business in Alameda since 2019, is owned and operated by Alameda residents, and specializes in men’s haircuts, beard trims, and shaves. The business will relocate from their current location on Santa Clara Avenue to this larger space, allowing them to expand their services, including serving cold brew coffee and Faction beer during services and offering grooming products for sale. Their lease will begin on January 15, 2025.

Contributing writer Karin K. Jensen covers boards and commissions for the Alameda Post. Contact her via [email protected]. Her writing is collected at https://linktr.ee/karinkjensen and https://alamedapost.com/Karin-K-Jensen.

KQED Curated Content
Thanks for reading the

Nonprofit news isn’t free.

Will you take a moment to support Alameda’s only local news source?