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CITY OF SAN LEANDRO <br />STAFF REPORT <br />DATE: <br />TO: <br />VIA: <br />FROM: <br />October 20, 2008 <br />Steve Hollister, Interim City Manager <br />APPROVED AND <br />FORWARDED <br />TO CITY COUNCIL <br />Stephen L. Hollister <br />Interim City Manager <br />Luke Sims, Community Development Director <br />Cynthia Battenberg~''Business Development Manager <br />SUBJECT PROJECT/PROJECT DESCRIPTION <br />RESOLUTION APPROVING AN EXCLUSIVE NEGOTIATING RIGHTS AGREEMENT <br />WITH CAL COAST DEVELOPMENT, LLC. RELATING TO DEVELOPMENT OF THE <br />SHORELINE-MARINA AREA <br />RECOMMENDATION <br />In response to a Request for Qualifications (RFQ) for a Master Developer, Cal Coast <br />Development, LLC (Cal Coast) is being recommended to master develop 40-acres of the City of <br />San Leandro's shoreline. Staff has been negotiating an Exclusive Negotiating Rights Agreement <br />(ENRA) with Cal Coast for the past few months. This ENRA sets the stage for negotiating a <br />development project which will likely include restaurants and a hotel and may also include a <br />conference center, office and/or residential development. Staff recommends City Council <br />adoption of the Resolution approving an ENRA with Cal Coast for development of the <br />Shoreline-Marina Area. <br />BACKGROUND <br />In November 2007, the City released a RFQ for a Master Developer for the Shoreline-Marina <br />Area with a February 1, 2008 deadline. Six responses were received from development teams <br />interested in the opportunity site, and five of the six teams were found to meet the qualifications. <br />Staff interviewed the five teams and in April 2008 provided a two member Ad Hoc Committee, <br />established by the Shoreline-Marina Committee, with a detailed report on the teams' <br />backgrounds and experience. The report included details on how the four teams scored on the <br />evaluation criteria approved by the Shoreline-Marina Committee, and information on one team's <br />decision to withdraw from consideration. <br />The Ad Hoc Committee, consisting of Councilmembers Prola and Starosciak, reviewed the <br />proposals and staff report and decided to interview two development teams -Cal Coast <br />Development LLC. (Cal Coast) and The Innisfree Companies. Although both teams were well <br />qualified, Cal Coast had experience developing a similar project in partnership with the Port of <br />Los Angeles -the Cabrillo Marina, which includes a hotel, conference center, office and <br />restaurants. Additionally, Cal Coast's partner, Withee Malcolm Architects, LLP, offered <br />experience building attractive, LEED-certified commercial buildings. At the June 10, 2008 <br />Shoreline-Marina Committee meeting, the Ad Hoc Committee recommended staff negotiate an <br />