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Minutes - City of San Leandro City Council and Page - 8 - <br /> Redevelopment Agency Meeting - September 3, 1996 <br /> The following Motion was then introduced: <br /> Minute Order No. 96 -34, Matter of Downtown Ice Skating Rink. (2207) <br /> The City Council will not support the downtown ice skating rink <br /> during the December holidays and directed staff to identify and <br /> report back on other possible activities. <br /> M /S /C Loeffler and Glaze. Ayes: 5 Noes: 0 Absent: Lothrop <br /> Abstain: Corbett <br /> 6.6 Report on Closed Session actions taken. <br /> The City Attorney, Steve Meyers, announced that the Closed Session <br /> pertained to the proposed Renaissance Conference Center. He noted <br /> that direction was given to staff and that Mr. Jeff Davenport and Mr. <br /> Dan McFadden were in the audience and available for questions at this <br /> time. <br /> Mr. Davenport explained the name change to Network Conference <br /> Company. <br /> Council Member Galvan requested information about the financial risk, <br /> the total project costs, and the level of private financing. Mr. <br /> Davenport stated that the company is in the process of packaging <br /> $22.5 million for the project. He said $6 million is in equity, and <br /> they are in conversation with three pension funds and two banks for <br /> long -term financing. Mr. McFadden said they are still developing the <br /> final budget, somewhere near $38 million. Of that, $19 million would <br /> come from the City; he said the City could not exceed that amount per <br /> agreement. <br /> Council Member Glaze emphasized that it would be a loan. He <br /> questioned who would receive the Center in the case of default. Mr. <br /> Davenport noted that the City would then be in the position of <br /> negotiation with other parties. <br /> Mayor Corbett asked why they were willing to take the risk. Mr. <br /> Davenport noted the size of the project, that the area is <br /> underserved, and that the company has a strong track record for <br /> successful projects. He introduced Dan Marks, who is in charge of <br /> sales, to provide further clarification. Mr. Marks cited the success <br /> at San Jose's Hayes Mansion project. He noted the importance of <br /> location and that San Leandro can be successful due to accessibility. <br /> Council Member Glaze asked for a comparison between the proposed San <br /> Leandro project and the Hayes Mansion site. Mr. Marks described how <br /> the project would be marketed. <br /> Council Member Galvan asked about competition in the East Bay. It <br /> was noted that competition is not as much local as national and gave <br /> examples of the Napa Valley wine country and the Tahoe areas. A <br /> facility in San Leandro will be superior in providing amenities, as <br /> well as easier to access. <br />