Two articles – one a blog post by Mark Purdy, the other a SFBT piece by Cory Weinberg – provide a tiny amount of news on Coliseum City. Citing confidentiality agreements, New City and Renaissance head Floyd Kephart provided few new details. He did take time to trumpet that the project’s progress, which is better than no progress, I guess. The other “big” takeaways:
- Kephart threw Colony Capital and HayaH under the bus for getting its documentation wrong.
- He’s optimistic, saying that New City is “probably between 60 and 70 percent there.” That last 30-40% is a major sticking point, since it involves convincing at least the Raiders to sign on and a master developer as well.
- Wolff had a discussion with Kephart. Kephart didn’t offer details to Wolff. Wolff reiterated his “wait-and-see” stance.
- According to Purdy, both Wolff and Mark Davis would prefer to keep surface parking instead of building garages for various reasons.
- The financing model – and whether includes paying off the Coliseum’s existing debt – remains unknown, at least publicly.
Next week the 90-day “project” will hit its midway point. Kephart is to be commended for getting the meetings, talking to potential principals, and for ably playing catchup, cleaning up the mess left for him by Colony. That still doesn’t mean there’s a deal in place, and Kephart may have to pull a rabbit out of his hat to convince Davis to commit. Private interests would be fools to give Davis any kind of revenue guarantee – that’s how Oakland get into this mess to begin with – since it could add considerable risk for them.
Meanwhile, the LA options for Davis may be dwindling. LA sportscaster Jeanne Zelasko said yesterday that the Rose Bowl and LA Coliseum want nothing to do with the Raiders, leaving Davis with possibly Dodger Stadium in the short term and perhaps Farmers Field in the long term. AEG, which bought a piece of the Lakers when Staples Center was built, is offering a similar “Lakers deal” to a prospective NFL team. AEG was even reportedly hiring a PR person for the NFL stadium effort, which the company is denying. Of course, it was AEG that asked for and received a six month extension to attract a team to Farmers Field.
Anyone following this story knows that Davis will have to give up some percentage of the team in exchange for tenancy in a new stadium anywhere, whether it’s Oakland, LA, or even San Antonio if a new stadium is built there. Here’s how I assess the Oakland vs. LA:
- Oakland: Steadier fanbase, limited market potential, difficult financing plan, greater civic/government support
- Los Angeles: Less stable fanbase, greater market potential, known financing plan, less civic/government support
I honestly don’t know how to handicap that. There are no deal terms available.
As for the parking issue, if you really want to read into this it’s quite possible that the Coliseum City alternative that Wolff is putting together is a low-density development like the original Fremont Pacific Commons plan. No high-rises, few parking garages. If true, that’s a huge departure from Coliseum City, though the infrastructure buildout would project to be much less intense, and therefore less expensive for Oakland/Alameda County since the public sector is expected to fund that part. Assuming that Wolff gets a chance to pitch his plan, it’ll be up to City/County to determine whether that’s good enough.