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VI. ELINIINATION OF BLIGHT The site of the proposed new automobile lube and tune center is located in the Plaza 2 Redevelopment Project Area. The subject Site is a separate parcel occupying a portion of a larger 16 acre site fronting on Davis Street, which was assembled by the Redevelopment Agency of the City of San Leandro as part of the agreement with Costco. Prior to the City's land assemblage, the larger site consisted of several parcels held in multiple ownerships, and the properties were occupied by severely dilapidated and underutilized industrial properties or vacant parcels. Additionally, some parcels did not have access to a public street, and there were parcels that were contaminated with toxics. The existence of multiple ownerships and other factors hindered the economically viable use of this site and were all conditions that caused this area to be blighted. The Site is a commercial parcel west of the new Shell/Burger King and the entrance to the new Costco store. It is also across from the Westgate Shopping Center. In 1995, the City of San Leandro sold 13.75 acres of the assembled site to Costco for a new membership warehouse store. The City retained 2.25 acres for future retail development, a portion of which (1.26 acres) was sold to Shell in 1996 for a co -branded Shell/Burger King development. The 23,000 sq.ft. (0.53 -acre) parcel (the Property) to be transferred to the Developer is a portion of this 2.25 acres. Subsequent to this acquisition and assemblage, the overall 16 acre site has been parcelized and development of the Castro and Shell/Burger King parcels have been completed. The Redevelopment Agency's previous acquisition/assemblage of the subject Site and sales of the other sites to Costco and Shell were intended to help eliminate the blighted conditions. The proposed sale of the Site to the Developer for additional commercial development will continue the • transformation of this blighted industrial site. The proposed Project will improve this underutilized area, supporting the Agency's goal by expanding the commercial center started with the Westgate Shopping Center and providing a catalyst for additional private investment in the Project Area. Demolition of older buildings, undergrounding of utilities, public improvements, landscaping, etc. has eliminated blight via better access, highest and best use of property, aesthetics, safety, traffic flow, economic stimulus, etc. The elimination of blight by this Project is consistent with the redevelopment plan and the implementation plan. Thus, the Agency is entering into an agreement in order to achieve its objective to complete its effort to remove blight and to reinforce its existing commercial centers. KEYS ER MARSTON ASSOCIATES INC. 19104\0001-002.DOC Page 8