Bay Area News Group reporter Lisa P. White has the latest on the negotiations that would allow Lennar Urban to redevelop the Concord Naval Weapons Station in Northern California's Contra Costa County.
Before it selects Lennar, the town wants funds for affordable housing, off site roadway improvements, use of binding arbitration, the right to develop future phases of the project, and is questioning the firm's use of a limited liability corporation structure. A city councilman has suggested that city employees "provide information about how Concord could act as its own master developer or form a joint powers authority to develop the former military base if the city, ultimately, is unable to reach an agreement with Lennar."
The Concord Reuse Project Area Plan calls for building up to 12,272 housing units and 6.1 million square feet of commercial space on about 2,300 acres of the former military base.
Lennar's proposal for the first phase of the project includes two compensation options -- a guaranteed $60 million over 10 years with additional profit-sharing once the company earns a 25% return on its investment, or $36 million guaranteed over 10 years with shared profit once a 20% investment return threshold is reached, writes White.