Category: Economic Development

Eastlake Community Group Says “Fight Continues” to Stop E. 12th Street Luxury Tower

A coalition of protesters opposing the E. 12th Street luxury tower shut down the Oakland City Council meeting on May 4. Photo courtesy of ABC7

A coalition of protesters opposing the E. 12th Street luxury tower shut down the Oakland City Council meeting on May 4. Photo courtesy of ABC7.

By Ken Epstein

A group of neighbors who are leading the fight against the luxury apartment tower by Lake Merritt – Eastlake United for Justice – is saying it is determined to keep public pressure on the City Council to ensure that “they are making a is a sincere effort to secure low-uncome affordable housing on E. 12th St.”

Members of the Eastlake group said they were heartened by the city’s decision to issue a “Notice of Intent and Offer to Convey Property,” dated July 14, which implies that the city “has decided to comply with the law and put the parcel back out to bid, as the community has demanded from the very beginning,” according to the East Lake group’s media release.

But at the same time, “the fight continues,” the news release said, because they find a number of reasons for concern that the city is not seriously seeking affordable housing proposals to develop the parcel.

Complicating the process, the new notice is not a formal “Request for Proposals,” the usual way the city seeks applicants to purchase or lease property.

In addition, the press release said, “The city’s notice to developers does not mention an affordable housing requirement or priority. It gives just 60 days for proposals to be developed and submitted. And the notice was quietly distributed to a very limited list of agencies including very few housing developers and a handful of agencies that do not develop housing

“This looks like an attempt to comply with the bare minimum of the law to avoid a lawsuit, then hand the parcel back to UrbanCore for a luxury tower,” the news release said.

Asked about the new offer and the still existing proposed agreement with UrbanCore, Council President Lynette Gibson McElhaney told the Post on Wednesday, “I have no comment on this project.

According to Councilmember Abel Guillon, who represents the district where the proposed project would be built, “The 60-day notice is not a cover for anything. It is merely an extra step of due diligence,”

He added: “I think the city’s practice is to consider all proposals, solicited and unsolicited.  The next step will depend on the nature of any responses the city receives to the notice.”

Guillen said the City Administrator and City Attorney will be reporting back to the council on the. parcel and its potential development.

Also questioned about the new project and why he city had not issued an RFPP was Patrick Lane, city Development/Redevelopment Program Manager of the Department of Economic and Workforce Development.

“It is what it is,” Lane told the Post. “It is letting people know there is an option for the site.”

He said the contract withi UrbanCore had not been passed by the City Council because the final vote had been postponed.

Lane said he had referred the Post’s questions to the City Attorney last week but had not received a reply.

The Post had asked: How will offers be prioritized? Will offers to build affordable housing be privileged? What is the city going to do with the agreement with UrbanCore , which was already approved by council at the first of two meetings?

Will UrbanCore have a priority for consideration under this notice?

The city had sent out its new offer to 18 agencies including the CA State Parks Department, AC Transit, P.G.& E., CALTRANS, the Oakland Unified School District , the East Bay Regional Parks District., Port of Oakland , BART and East Bay Municipal Utilities District.

 Courtesy of the Oakland Post, July 25, 2015 (postnewsgroup.com)

Health Dangers of Coal Spark Local Debate

Operators at the Spring Creek Mine near Decker, Mont., apply a topper agent as rail cars are loaded with coal to reduce the amount of dust and coal lost during transportation.Photo courtesy of Jo Dee Black, Great Falls Mont.Tribune

Operators at the Spring Creek Mine near Decker, Mont., apply a topper agent as rail cars are loaded with coal to reduce the amount of dust and coal lost during transportation.Photo courtesy of Jo Dee Black, Great Falls Mont.Tribune.

By Tulio Ospina

As hundreds rallied at Oakland City Hall Tuesday protesting possible coal shipments through the developing Oakland Army Base, health concerns were one of the key issues that people raised.

In particular, the effects of exporting 5 million tons of coal per year on the respiratory health of West Oakland residents—who already suffer from some of the highest asthma rates in Alameda County—have been at the forefront of the debate.

According to experts, Alameda County has the third highest asthma-related hospitalization rates of all California counties and 24 percent of children in West Oakland suffer from asthma.

This health disparity has been mostly attributed to a combination of urban poverty, lack of routine healthcare and diesel pollution caused by constant cargo ship and truck traffic.

Dan Jaffe, professor of atmospheric and environmental chemistry at the University of Washington-Bothell, says that after years of studying the impacts of coal in the atmosphere, he believes there are environmental reasons to be concerned.

Regardless of whether coal dust is ever exposed to California air, the west coast of the U.S. would be contributing to its own air and sea pollution by shipping coal to Asia, where dust, ozone smog and mercury would be carried over on westerly winds.

“Pollutants can be transported in 7 to 10 days at high elevations and then touch down here in the US to contribute to the pollution that we breathe,” said Jaffe. “The amount of ozone coming from Asia can cause cities to go beyond their own ozone standards.”

Jaffe also claims that the majority of human-produced mercury found in seafood consumed by the United States comes from Asian coal burning.

The Sierra Club, a leader in the anti-coal fight, has taken a strong position on the carbon fuel’s health dangers.

“Transporting the coal via rail car to the port will increase train traffic and pollution in an area already overburdened by bad air,” according to a press release from the Sierra Club’s Bay Area chapter.

“Each open-top rail car of coal can lose up to one ton of dust between the mines and the port, resulting in the release of 60,000 pounds of toxic fine particulate matter in communities near the rails,” the press release said.

According to Brian Beveridge, co-director of the West Oakland Environmental Indicators Project (WOEIP), coal dust contains carcinogen and is most likely the cause of black lung and can lead to respiratory ailments such as asthma and lung cancer.

However, supporters of a coal deal claim shipping coal out of Oakland will not harm residents or workers, citing proposals to transport the coal in sealed cars and load cargo ships in ways that limit coal particles being released into the air.

In a statement released Thursday, Oakland Army Base developer Phil Tagami emphasized that no commitment has been made yet to transport any particular commodity through the bulk export terminal.

Tagami said that with whatever commodity shipped through Oakland, all rail transport “will occur utilizing newly designed covered rail cars and other measures to minimize and potentially eliminate fugitive dust issues.”

Dr. Washington Burns, executive director of the Prescott-Joseph Center and founder of the mobile asthma clinic, called the Breathmobile, says he is neutral on passing coal through Oakland but supports the export if the promised physical protections are fully implemented.

(To read Phil Tagami’s July 23 statement, go to http://postnewsgroup.com/blog/2015/07/23/op-ed-developer-phil-tagami-responds-debate-coal-transport-army-base/)

Courtesy of the Oakland Post, July 19, 2015 (postnewsgroup.com)

“No Coal, No Way,” Say Protesters

Protesters rally to stop the coal shipments from Utah to the Oakland Army Base, for export to Asia. Photo courtes of Oakland Elects.

Protesters rally to stop the coal shipments from Utah to the Oakland Army Base, for export to Asia. Photo courtes of Oakland Elects.

By Ashley Chambers

A coalition of environmental groups, concerned residents and local leaders held a rally on the steps of City Hall Tuesday demanding, “No coal in Oakland,” opposing a potential project to export the fossil fuel from the Oakland Army Base.

“When City Council Oakland made plans to boost our economy for the public benefit, then public health and safety must be a primary factor in these decisions,” said Margaret Gordon, co-founder of West Oakland Environmental Indicators Project (WOEIP), speaking at the protest.

“For all the citizens of Oakland, we hope that our public officials will stand by this policy and put an end to this dirty, backroom deal,” she said.

The plan to bring coal to Oakland has become public in the last few months, after Phil Tagami’s California Capital Investment Group (CCIG) became involved in a $53 million investment with four Utah counties with the potential of transporting coal by train and exporting up to 5 million tons of the commodity from a terminal at the Oakland Army Base.

Citing dire health and environmental risks to West Oakland and other parts of the city, local environmental groups including the Sierra Club, WOEIP, 350 Bay Area, and Communities for a Better Environment have called for keeping fossil fuels out of Oakland.

Youth added their voices to the protest, talking about the damaging impacts a coal terminal on already overburdened communities.

“Not all of us have the resources to live a healthy life, but exporting this coal in the city is allowing pollution to happen, making it difficult for a future,” said Allyson Dinh, 16, with the Summer Climate Justice Leadership Academy, speaking at Tuesday’s rally.

“The color of our skin, where we live or how much we make should not dictate if we get to live a long, healthy lifestyle,” she said. “I deserve to live better, we all do.”

Community members called on the City Council and the mayor to do everything in their power to stop the coal terminal.

Courtesy of the Oakland Post, July 24, 2015 (postnewsgroup.com)

The San Francisco Foundation Donates $34 Million to Oakland Nonprofits

Huge grant will mean jobs, training and affordable housing

(L to R): Dominique Parker, Renelle Malone, Kiyle Adams, Regina Jackson, Mayor Libby Schaaf, Destin Colbert and Fred Blackwell at the East Oakland Youth Development Center. Photo by Tulio Ospina.

(L to R): Dominique Parker, Renelle Malone, Kiyle Adams, Regina Jackson, Mayor Libby Schaaf, Destin Colbert and Fred Blackwell at the East Oakland Youth Development Center. Photo by Tulio Ospina.

By Tulio Ospina

The San Francisco Foundation (TSFF) announced on Tuesday that it is donating $34 million dollars to a number of Oakland nonprofit community organizations, a gift of an anonymous donor.

TSFF, now headed by Fred Blackwell, former Oakland City administrator, is one of the largest community foundations in the country and gives out millions of dollars every year through grants and fellowship programs.

According to Jane Sullivan, the foundation’s vice president, this is the first time TSFF has made a donation of this scale.

“The foundation wanted to invest heavily in Oakland’s key organizations and infrastructure,” said Sullivan. “We know people in Oakland are being displaced and being withheld from tech opportunities. We are looking to help create the opportunities for those in Oakland that need it the most.”

The grants are estimated to result in 731 new affordable housing units being built, 2,502 new jobs created and ultimately 62,570 people served.

The foundation made the announcement of its awards at a well-attended press conference at the East Oakland Youth Development Center (EOYDC), which provides support under-served youth in poor neighborhoods and one of the recipients a large donation.

Having recently made renovations and additions to their facility—including a more expansive wellness center, a dance room, and martial arts dojo—EODYC will use its $1 million grant to pay off the debt it accrued with one-third of what it is receiving from TSFF, said Regina Jackson, president of the center.

“With the $ 2 million grant we acquired from the foundation, Asian Health Services is devoted to expanding access to health services for underserved communities, newly-arrived immigrants and sexually exploited minors,” said Sherry Hirota, CEO of Asian Health Services.

“This includes establishing school-based clinics that help address issues of trauma that so many of youth experience in Oakland.”

The Unity Council received $3 million in support of building the second phase of the Fruitvale Transit Village, which will develop 270 units of housing in Fruitvale, 80 of which will be affordable housing.

Other beneficiaries included:

The EastSide Arts Alliance, which received $1 million to secure its building;

Urban Strategies Council, which was awarded $1.2 million to pay for CEO transition and low-income housing development;

Ella Baker Center for Human Rights, which received $1 million to support its Restore Oakland/Restaurant Opportunity Center;

Destiny Arts Center, which was awarded $1.3 million to eliminate the organization’s debt service, expand its work with incarcerated youth at the Alameda Juvenile Justice Center and increase participation of LGBTQ youth in the organization’s “Moving the Movement” program; and

A $4 million grant, which will support seven Oakland based high-tech programs: Black Girls Code, David Glover Center, Hack the Hood, Hidden Genius Project, Qeyno Labs, #YesWeCode and Youth Impact Hub – designed to ensure that a diverse workforce is available for technology employers.

Courtesy of the Oakland Post, July 17, 2015 (postnewsgroup.com)

City Council May Abandon Controversial East 12th Street Development

Protesters stayed late Wednesday night to oppose the sale of the East 12th STtreet property. Photo by Ken Epstein

Protesters stayed late at a recent City Council meeing to oppose the sale of the East 12th STtreet property. Photo by Ken Epstein

By Post Staff

The City of Oakland has quietly issued a new notice offering to sell or lease a city-owned parcel on East 12th Street near Lake Merritt that has been in limbo since the council pulled the final decision on the contract.

The “Notice of Intent and Offer to Convey Property,” dated July 14, tells agencies “If you submit a response, the city will enter into good faith negotiations with your agency or organization to discuss your proposed development.”

The city has been under intense pressure for the last six months from protesting residents and has been challenged on the legality of the sale of the East 12th street property to UrbanCore Development to construct a luxury apartment tower.

The City Council has still not released a statement about what it intends to do about its former agreement to sell the property to UrbanCore, which passed the council once but was tabled before the final vote.

“We are very exited about the city’s decision to comply with the law and address community concerns by reopening the process,” said Monica Garcia, a member of the neighborhood group Eastlake United for Justice.

“The council has stepped up to do the right thing and we’ll be watching to make sure that they comply fully with the law this time around,” said David Zisser, attorney with Public Advocates.

Courtesy of the Oakland Post, July 16, 2015 (postnewsgroup.com)

City Council Mum After Exposure of Confidential Legal Opinion

Council ignored City Attorney’s advice that sale of Lake Merritt parcel was illegal

Josh Healey, an Eastlake resident, spoke Tuesday against the City Council's decision to sell the East 12th property to a private developer. Photo by Tulio Ospina.

Josh Healey, an Eastlake resident, spoke Tuesday against the City Council’s decision to sell the East 12th property to a private developer. Photo by Tulio Ospina.

By Tulio Ospina and Ken Epstein

The Oakland City Council was uncharacteristically at a loss for words this week after public exposure that it had moved ahead on a controversial sale of city property near Lake Merritt to UrbanCore Development, ignoring the confidential legal opinion of its own attorney.

The council had approved the sale of the property in a 6-0 vote last month, and the motion was scheduled for final approval at Tuesday night’s council meeting and was expected to be a formality.

Robbie-Clark-300x199

Robbie Clark speaks at City Council meeting.

But without a word of explanation, councilmembers pulled the final decision from the agenda. They never once referred to the exposure of the city attorney’s legal opinion, though it was discussed by a number of speakers at the meeting.

The final vote was postponed to the council’s July 21 meeting.

Oakland City Attorney Barbara Parker’s written opinion, issued on Feb. 17, had warned councilmembers their plan to sell the parcel across from the lake on East 12th Street to build a 315-unit luxury apartment tower would be in violation of state law – California’s Surplus Land Act.

In the confidential document that was obtained by the East Bay Express and released Monday, Parker told the council that the East 12th Street parcel “qualifies as surplus land, and the California Surplus Land Act requires the city to offer the property to ‘preferred entities’ designated in the act, for 60 days before agreeing to convey the property to UrbanCore.”

Under the law, the developer would be required “to rent or sell at least 15 percent of project units to lower income households at an affordable rent or housing cost,” according to the Parker’s written opinion.

The deal approved by the council on June 17 would sell the property to UrbanCore for $5.1 million, plus an additional $8 million to build other affordable housing elsewhere in Oakland with some additional community benefits. None of the units in the proposed building would be rented at a rate affordable to most Oakland residents.

One of those who spoke at the council meeting on Tuesday night was David Zisser, an attorney at Public Advocates, which is representing the community members who are fighting the sale of the property.

“We were not surprised by the city attorney’s opinion,” he said. “After all, we have been saying the same thing for months.”

“What is surprising is that the council decided to go ahead with the sale anyway,” he said, adding that he was glad councilmembers had pulled the property sale from the agenda.

Local resident Oscar Fuentes criticized City Attorney Parker, an elected official, for keeping silent – never revealing her legal opinion to the public.

“Wasn’t the city attorney obligated by her duty to the City of Oakland to give (the people) her actual interpretation of the law? I think the people deserve an answer,” he said.

Robbie Clark, an activist in local fights in opposition to gentrification and displacement, said that the council’s Lake Merritt property deal “is the kind of decision that helps gentrification continue.”

Instead of selling public property for private development, the city needs to “set aside land for affordable housing,” Clark said. “Those are the kinds of laws we need to enforce.”

“It’s hard to say we’re going to crack down on crime when some of that crime comes down from the city,” said Josh Healey, Eastlake resident.

One city hall observer stated, “Barbara Parker is supposed to be the city’s ultimate watchdog as city attorney. But since she is not seeking re-election, she doesn’t care enough to save taxpayers money and legal hardship.”

“If she were running again, she would be hyper-vigilant rather than denying the public its right to know what is going on,” according to the observer.

In an interview with the Post this week, Monica García, a member of the neighborhood group Eastlake United for Justice, spoke about her organization’s reaction to the exposure of Parker’s opinion.

“I’m shocked to see this in black and white, knowing that City Councilmembers went against their own legal opinion,” she said.

“As taxpayers, we want to know why they’d go against it,” she said, “It’s the taxpayers who pay every time the city loses a lawsuit.”

In addition to postponing the vote on the property sale, the council should “offer an explanation for why they chose to defy the legal opinion,” said García.

Opponents of the project have repeatedly told the council that the sale was in violation of the California Surplus Land Act and warned that a decision to go ahead with the sale would lead to a lawsuit.

Mayor Libby Schaaf – a member of the city council when a number of the decisions were made related to the sale of the parcel – did not respond to the Oakland Post’s request for a comment on the public exposure of Parker’s confidential opinion.

Courtesy of the Oakland Post, July 11, 2015 (postnewsgroup.com)

Mayor Says No to Coal

“We will not have coal shipped through our city,” Says Schaff

Environmental activists rally recently in front of Oakland Army Base developer Phil Tagami ‘s office in Frank Ogawa Plaza. Photo courtesy of Occupy Oakland.

Environmental activists rallied recently in front of Oakland Army Base developer Phil Tagami ‘s office in Frank Ogawa Plaza. Photo courtesy of Occupy Oakland.

 By Tulio Ospina

In a sharp email exchange, Oakland Mayor Libby Schaaf has blasted local developer Phil Tagami for moving ahead with a deal to export coal out of the former Oakland Army Base.

Libby Schaff

Libby Schaff

The digital dispute was documented in an email exchange that the Sierra Club obtained through a Public Records Act request.

In 2013, Tagami had said use of the Army Base to bring coal to Oakland by rail and ship it abroad was the farthest thing from his mind. He said that his company, California Capital and Investment Group (CCIG), had “no interest or involvement in the pursuit of coal-related operations at the former Oakland Army Base.”

But that was then.

Schaaf wrote in an email to Tagami, dated May 11, that she was “extremely disappointed to once again hear” mention of the “possibility of shipping coal into Oakland” during a community breakfast.

Phil Tagami

Phil Tagami

“Stop it immediately,” Schaaf wrote. “You have been awarded the privilege and opportunity of a lifetime to develop this unique piece of land. You must respect the owner and public’s decree that we will not have coal shipped through our city.”

In response to the mayor’s email, Tagami explained that by entering into a binding contract with Terminal and Logistics Solutions (TLS), he and the city had agreed to “a complete transfer of our rights and obligations with respect to the terminal operations under the ground lease.”

Additionally, he states the scope of the binding deal “is not driven or defined by any single commodity, product, or good in transit,” claiming that the city cannot legally restrict what products flow through the rail terminal development.

What is essential to the new facility’s financial and legal viability, said Tagami, is “the ability to accommodate the full universe of bulk goods,” which includes coal.

Tagami claims that the binding legal contract signed by the city gives it no control over what commodities can be shipped. But according to a number of community members, under the contract’s “Regulation for Health and Safety” clause, the city can apply regulations for health-related reasons.

Sierra Club image

Sierra Club campaign

The clause states that the city has the right to apply regulations at any time after the agreement’s adoption if failure to do so “would place existing or future occupants or users of the project, adjacent neighbors, or any portion thereof, or all of them, in a condition substantially dangerous to their health or safety.”

According to Brian Beveridge, co-director of the West Oakland Environment Indicators Project (WOEIP) and an West Oakland resident, there is ample evidence that shipping coal through Oakland would be detrimental to residents’ health.

“Coal dust is related to diesel pollution and the burning of fossil fuels,” said Beveridge. “It contains carcinogens and is likely the cause of black lung disease and asthma.”

“The whole community’s health is at stake,” he said. “Our advances in cleaning air in West Oakland are at stake. The city’s pride in calling itself a green city is at stake.”

Community observers have also criticized the city’s lack of transparency in negotiations with developers of city land. The examples, they say, include the Oakland Army Base and sale of the parcel at Lake Merritt and East 12th Street.

“It’s completely in line with all these other development deals happening behind closed doors where the public is being cut out of the conversation,” said Jess Dervin-Ackerman of the Sierra Club’s San Francisco Bay Area chapter.

“All these proposals are on city-owned land and should be used for community benefits. What City Council is doing is just letting developers have at it.”

“We’re ready to back Mayor Schaaf if she’s ready to stand up and say ‘no’ to coal,” said Beveridge. “Oakland is unanimously opposed to shipping coal to or out of our city.”

Courtesy of the Oakland Post, July 10, 2015 (postnewsgroup.com)

Oakland City Council Set to Choose Developer to Renovate Kaiser Convention Center

Rendering of proposed hotel between the Kaiser Convention Center and the Oakland Museum of California.

Rendering of CDP’s proposed hotel between the Kaiser Convention Center and the Oakland Museum of California.

By Ashley Chambers

The Henry J. Kaiser Convention Center, a historic Oakland landmark that has been shuttered and vacant for a decade, will undergo a transformation as the City Council is expected to vote next week on which of two developers will restore the building.

The convention center previously housed large-scale events, concerts, and prominent speakers – Dr. Martin Luther King who spoke there in 1962, Stokely Carmichael in 1968, the Grateful Dead, James Brown, and the Oakland school district’s annual Martin Luther King, Jr. Oratorical Fest.

The building includes a 45,000-square-foot arena that seats up to 6,000 people and the Calvin Simmons Theater that seats 1,900, two banquet rooms and a ballroom.

City staff is recommending that the city enter into a contract and long-term lease with Orton Development, Inc., which is based in Emeryville, to rehabilitate the convention center and its historic architecture.

Under the city plan, the developer would foot the bill for the entire project and would recoup its investment by using at least part of the building for profit-generating purposes.

The city’s RFP requires restoration of the Calvin Simmons Theater as a performance space and for the entire project to include “as many community benefits as possible,” including “local and small business participation, commitment to living and prevailing wages, commitment to labor peace and opportunities for job training and mentoring, a high number of jobs created for a range of training and education levels, and provision of high quality public facilities and amenities,” according to the city report.

Orton’s proposal, which is in accord with the city RFP, includes restoration of the Calvin Simmons Theater as an event space, and use of the arena as a “multi-floor rehab combining office, flex, public access, and food uses.”

The plan also proposes to use the surrounding outdoor space for community gardens, barbeque areas, public art and entertainment.

A coalition of community members and arts enthusiasts is opposing to the Orton proposal, saying the project would transform the arena – which is the majority of the interior of the building – into offices for private businesses.

The city’s RFP has suggested that the building could be used for offices, technology, design and private commercial use as well as entertainment, conference and event space, retail uses, performance space, and light industrial uses such as a brewery, maker spaces, and artist studios.

The alternative proposal came from Creative Development Partners (CDP), based in Oakland. It includes restoration of the Calvin Simmons Theater as a world-class performing arts center and use of the arena for sporting and other large events, and paying for the project by building a 15-story hotel adjacent to the Convention Center.

The hotel would be nestled in between the Oakland Museum and the convention center on park land that is presently a parking lot, incorporating a green design.

The CDP proposal is built around community benefits, including: creating more than 1,700 jobs and a career training program in partnership with Laney and Merritt Colleges for jobs in hospitality, culinary arts, creative arts, and landscaping, as well as a partnership with the Oakland Unified School District’s Linked Learning program.

The CDP proposal, called “One Lake Merritt,” envisions the building as a hub for local music, cultural and performing arts companies to use as rehearsal and performance space.

The proposal has garnered significant support from the local arts community. But while city staff found the CDP proposal “compelling,” they are recommending that the city go with the Orton plan and look for other potential sites for a hotel.

The City Council is expected to vote on the issue on Tuesday, July 7.

Courtesy of the Oakland Post, July 5, 2015 (postnewsgroup.com)

 

Oakland’s Housing Market Spikes, Prices May Be Rising Faster Than San Francisco

Alliance of Californians for Community Empowerment (ACCE) and Causa Justa are two of the organizations fighting foreclosures and supporting tenant protection in Oakland.  Photo courtesy of localprogress.org.

Alliance of Californians for Community Empowerment (ACCE) and Causa Justa are two of the organizations fighting foreclosures and supporting tenant protection in Oakland. Photo courtesy of localprogress.org.

By Tulio Ospina

Oakland’s housing market continues to skyrocket, making the city one of the fastest-moving housing markets in the country, according to a new city report.

The report finds that rent prices in Oakland increased dramatically over the last 18 months – about 22 percent higher than in April 2014, pointing to growth that may be outpacing San Francisco’s market, according to the city’s Quarterly Report on Foreclosure Issues presented Tuesday at the City Council Community and Economic Development (CED) committee meeting.

Home sales prices in Oakland have also escalated by 17 percent in the past year – the median home price is now at $507,750.

According to the report, the city’s growing housing market is being fueled by “an influx of international capital,” and homebuyers who have been priced out of San Francisco continue to find Oakland attractive as a more affordable alternative.

“Real folks can’t buy a house around here,” says Anya Svanoe, lead organizer at Alliance of Californians for Community Empowerment (ACCE). “Speculator activity is high in this area, and they’re the reason prices are going up so rapidly.

“So if I go to an auction to buy a home,” she claims, “I’m going to find there are a ton of big developers with cash on hand who are going to outbid any regular person.”

Meanwhile, foreclosure rates have continued to decline over the past few years since 2012 when foreclosed homes were being auctioned at an average of 98 homes per month.

Over the past three months, the average fell to 20 foreclosed homes sold per month. However, compared with several years ago, most of those who are losing their homes now are longtime homeowners, including elderly residents whose houses have been in their families for several generations, the report said.

Despite the decrease in Oakland’s foreclosure rates this quarter, there were 160 new notices of default, 12 of which were short sold.

ACCE has joined a coalition of community organizations currently in the middle of a budget fight to allocate more funds to Oakland’s Tenant Protection Ordinance so that two fulltime staff members can be hired to respond to landlord harassing behavior.

“The ordinance right now has no teeth for tenant protection,” said Svanoe, “There is currently no staffing if anybody calls in with violation complaints. We’re fighting to get more money to support the ordinance so that Oakland can quickly act when tenants need it.”

Courtesy of the Oakland Post, June 30, 2015 (postnewsgroup.com)

Reid Announces 59 Units of Affordable Housing on International Boulevard

Rendering of new affordable housing on International Boulevard

Rendering of new affordable housing on International Boulevard

By Ken Epstein

Seven years in the making, a 59-unit affordable housing development will break ground before the end of the year at International Boulevard and 94th Avenue, the culmination of the work of City Council President Pro Tem Larry Reid and Bishop Bob Jackson of Acts Full Gospel Church in East Oakland.

“This is a good day,” said Reid, speaking at press conference Wednesday in a parking lot at the site of the future project.

Larry Reid

Larry Reid

“This is the beginning of change along the International Boulevard corridor, creating opportunities to build affordable for our families who live and work in the city, so they can stay in Oakland, he said.

Bishop Jackson thanked Reid others who have helped make this development a reality, including developer, Related California, Oakland Housing Authority and the Department of Housing and Community Development of the City of Oakland.

“We believed we could do it, but we didn’t have the hookup to do it,” said Bishop Jackson. “This project has brought a lot of wonderful people together.”

“We are partnering long term in this community,” said William Witte, chairman and CEO of Related California.

Work on the 1.26-acre affordable housing development will begin in December and is scheduled to be completed in February 2017. The project will contain 18 one-bedroom units, 23 two-bedroom units and 18 three-bedroom units.

There will also be a computer room, laundry facilities and a tot-lot, as well as 3,500-square-feet of commercial space on International.

The project will be financed with conventional debt, low-income housing tax credit equity, a $7.7 million residual receipt loan from the city and a $2.6 million residual receipt loan from the Oakland Housing Authority.

Courtesy of the Oakland Post, June 28, 2015 (postnewsgroup.com)