NORTH DESCRIPTION AND INFORMATION August, 2013

Executive Summary

North Mare Island is a 157 acre commercial and industrial development opportunity located along the Bay, 30 minutes from downtown Oakland, 45 minutes from downtown San Francisco and one hour from Sacramento, with direct ferry access to San Francisco, and freeway access via Highway 37 to I-80. This remarkable site is at the gateway to the Napa and Sonoma Valleys, with views and access to Bay and River on either side. The site is approved (EIR certified) for 1.2 million square feet of commercial/industrial development. Roughly 125 acres are currently owned by the City of Vallejo, with another 32 acres due to be transferred to the City by the Navy, much of it as soon as late 2014, and the remainder by March 2017.

While the site is unique, its development faces some important constraints: Existing highly deteriorated and unsightly buildings left from the Naval base must be demolished; while the City is making progress toward demolishing the worst buildings, City resources are limited. North Mare Island was created by placing fill over Bay mud; this relatively unstable land will require geo-technical design mitigations. Much infrastructure, including sewer, water and power, will need to be redeveloped.

For the right development entity, North Mare Island presents a remarkable opportunity to acquire a significant piece of a fast dwindling resource: developable commercial/industrial land within the inner- Area market. The City of Vallejo welcomes any bona fide proposal for commercial/industrial use. Residential uses will not be considered.

1. Site Description and Context

North Mare Island (NMI) consists of approximately 157 acres, of which the City owns 125.3 acres and the federal government owns approximately 31.8 acres. Transfer of the federally owned portion from the Navy to the City is expected in 2017, but much of that land could be transferred as eary as 2014 if necessary. The Site is subject to the land use regulations contained in the Mare Island Specific Plan (EIR/ EIS have been certified) and is approved for development of 1,222,000 square feet of commercial mixed-uses (light industrial, warehouse, office) and 6,000 square feet of educational/ civic space. 29 acres have been dedicated as a conservation easement. Notwithstanding the current land use regulations, development concepts that achieve the City’s goals will be considered. Key goals for North Mare Island include:

Job creation, especially jobs that pay a living wage Revenue generation “Green” industries and businesses

The Council has made clear that residential uses will not be considered at this time for North Mare Island..

There are nearly 27 additional acres available located adjacent to the Site but not included in the Specific Plan area. However, this land has no defined land use designation, was not part of the EIR, and requires environmental assessment for potential constraints, especially possible wetlands. North Mare Island Description and Information

Figure 1: Reuse Area 1A Location

Source: maps.google.com; AECOM

Regional Setting Vallejo is a dynamic community located in southern Solano County within the Bay Area. A strategic location, mid-way between San Francisco and Sacramento, at the confluence of the and the San Francisco Bay, and at the entrance to the Napa Wine Country, has shaped Vallejo's history and contributed to its present status as a "gateway" city. Vallejo's location is further enhanced by its transportation infrastructure, offering freeway and ferry access to regional centers of employment and recreational attractions.

Figure 2: Regional Setting Map

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Source: maps.google.com; AECOM North Mare Island Description and Information

City Setting

Mare Island is located on the western edge of the City of Vallejo. The Island is bounded by (part of the ) on the east, on the west, on the south, and Napa Marsh, State Route 37 and San Pablo Bay National Wildlife Refuge on the north. The entire site lies within the incorporated boundaries of the City of Vallejo. The two existing points of access are from State Route 37, the primary route across the North Bay connecting U.S. Route 101 and Interstate 80, and across the Mare Island Causeway from Tennessee Street, one of Vallejo’s main arterials and a primary connection with Interstate 80.

Figure 3: City Setting Map

Source: San Francisco Chronicle and maps.google.com; AECOM

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North Mare Island Description and Information

Local Setting Mare Island is approximately 3.5 miles long by one mile wide. It comprises approximately 5,250 acres, of which 1,448 acres are Reuse Areas identified for development and recreational uses, including conservation easements, and 3,787 acres of dredge disposal ponds, wetlands, and submerged lands. Generally speaking, the Island is relatively flat, ranging in elevation from sea level to 284 feet above sea level at the southern end. The “Hill”, a large upland open space at the southern end of Mare Island, is part of the original .

Figure 4: Local Setting Map

Source: maps.google.com; AECOM

Mare Island Overview

Mare Island is one of the largest industrial/commercial campuses in Solano County. In 2002, Lennar Mare Island, LLC (LMI) acquired approximately 650 acres of the Island for the construction and redevelopment of industrial, office, commercial, and residential properties. Today, the Island is home to more than 90 businesses, nearly 2,000 jobs, and three million square feet of occupied commercial space. LMI has entitlements for over seven million square feet of industrial/office product (with workable inventory of approximately 5.5 million square feet available for lease or sale), and plans for more residential development in the future. In addition, Touro University has over 1,400 full time students at its campus on Mare Island.

Commercial real estate brokers marketing Mare Island cite the many advantages of locating a business on the island:

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North Mare Island Description and Information

. Mare Island is strategically located midway between the cities of San Francisco and Sacramento on the western edge of Solano County. The Island is minutes from Napa Valley and has striking views of the San Francisco Bay.

. A fast and easy commute; driving to Mare Island is a reverse commute from many directions; Interstates 80, 780 & 680, as well as Highways 37 & 29, provide convenient access.

. Major ferry and bus links provide public transportation alternatives to the Vallejo Ferry Terminal. o Bay Link Ferry to San Francisco o Solano Express o Solano Transit (Soltrans)

. Major Bay Area airports are within one hour o San Francisco International o Oakland International o Sacramento International

. Other Island Features o 18-hole golf course with views of the Bay o Portions of Mare Island are on the National Register of Historic Places o Mare Island Elementary School o Touro University o Views and access to the Napa River front to the east, and access to the western Mare Island Preserve and views of the Marin Coastal hills (Mount Tamalpais) to the west.

. Labor Pool o Over 7 million people to draw from within a 50-mile radius o Proximity to UC Davis, UC Berkeley, the Maritime Academy, and Solano Community College o Majority of Vallejo’s citizens have attended college o Diverse and skilled local labor force

Source: CBRE (http://www.discovermareisland.com/PDF/MareIsland_Overview.pdf)

With an infrastructure investment to date of more than $100 million, Lennar has finished construction of three new residential neighborhoods on Mare Island, consisting of approximately 270 homes. With approvals for 1,400 homes, the already-vibrant community will continue to grow and enhance Mare Island and the City of Vallejo.

Figure 5: Lennar Mare Island Residential Community

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North Mare Island Description and Information

Mare Island Specific Plan The Mare Island Specific Plan (adopted in 1999, restated in 2005, and amended most recently in 2008) establishes a vision of Mare Island as a vibrant civilian employment center and balanced new neighborhood for the City of Vallejo. The Specific Plan designates land uses and establishes development standards for identified reuse areas and provides an implementation program to guide all subsequent planning activities.

Figure 6: Mare Island Specific Plan Reuse Areas Map

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North Mare Island Description and Information

The area subject to development in North Mare Island is referred to in the Specific Plan as “Reuse Area 1A”.1 The site has direct access to the State Route 37 interchange. State Route 37 and the North Gate form the northern boundary; G Street and the Causeway form the southern boundary. Most of the existing structures sited in Reuse Area 1A are in disrepair and will require demolition. The City is in the process of identifying the resources to undertake demolition of the deteriorated buildings.

To the west is Reuse Area 1B, now home to Alco Iron & Metal Company and Earthquake Protection Systems, and wetland areas. To the east are wetlands and Mare Island Strait.

A large pier extends from the Reuse Area 1A Property into Mare Island Strait. The pier is held in the Public Trust and shall be preserved for potential future public access.

Figure 7 presents the Reuse Area 1A property boundary, existing roads, and structures.

Figure 8 presents the individual parcel boundaries of the Reuse Area 1A Property. It includes detail concerning the existing railroad infrastructure adjacent to the Reuse Area 1A Property boundaries. Figure 8 also displays the 26.7 acre “optional” parcel. This parcel was not included in the Specific Plan area and currently has no defined land use designation. It was also not part of the EIR and will require environmental assessment for potential constraints, especially possible wetlands.

1 Parcel acreages vary slightly due to updated land survey data.

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North Mare Island Description and Information

Figure 7: Reuse Area 1A Property Boundary

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North Mare Island Description and Information

Figure 8: Reuse Area 1A Property Parcel Detail

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North Mare Island Description and Information

a. Land Use When the Mare Island Specific Plan was adopted in 1999, Reuse Area 1A was originally intended to be developed primarily with light industrial, warehouse, and office uses in a contemporary office park. A small commercial area was to serve primarily office park users located at the entrance. A proposed Waterfront Promenade was to extend the length of the eastern edge of the area on the upland portion. While the Specific Plan Land Use Policies allow flexibility within the overall land use development program in order to fine tune development intensities, a relatively low-intensity business park concept is still the adopted plan, and the EIR/EIS approved with the Specific Plan is for this development concept.

Since that plan was adopted, it has become clear that site constraints may not allow that plan to be implemented due to the high costs of addressing geo-technical conditions and of developing infrastructure.

b. Ownership As shown in Figure 9, the Reuse Area 1A Property contains five distinct parcels. The City owns four parcels, totaling 125.3 acres. The Federal Government owns one parcel, totaling 31.8 acres. The City anticipates that all the Federal property contained within Reuse Area 1A will be transferred to the City by March, 2017,with approximately half of the Federal parcel transferred by the end of 2014. All Federal land in Reuse Area 1A is available for lease by private parties, with the City’s approval.

Figure 9: Reuse Area 1A Parcels

Parcel Name Ownership Acreage XV-A (1) City 67.2 XV-B (1) Federal 31.8 II City 25.7 XV-A (2) City 27.9 XV-B (2) City 4.5 Total 157.1 Source: City of Vallejo

c. Environmental Conditions The City-owned parcels are considered environmentally clean for commercial/industrial uses. City of Vallejo has received a letter of No Further Action from the California Department of Toxic Substance Control. The City anticipates that the Federal property contained within Reuse Area 1A will be certified environmentally clean and formally transferred to the City by March, 2017. The physical clean up of the federal property is substantially complete and the Navy has indicated a willingness to transfer a significant portion of the site that is clear of contaminants to the City by the end of 2014. d. Geotechnical Conditions Geotechnical conditions at Reuse Area 1A will affect the cost of development. Earth materials encountered during subsurface explorations consist of fill and San Francisco Bay mud. The depth of the fill and Bay mud varies, with the land toward the intersection of G Street and Azuar, being the most shallow, and the depth increasing to the north and east.

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North Mare Island Description and Information

e. Infrastructure Conditions The property requires a significant infrastructure investment. Infrastructure conditions are presented in Appendix A of the Mare Island Specific Plan, Infrastructure Master Plan. While the total costs of necessary infrastructure improvements are significant, there may be options for near term use of existing infrastructure, especially at the southern end of Reuse Area 1. Additional Information

Interested parties may want to review the following additional information sources available on the City’s website, in the Economic Development Library.

Mare Island Specific Plan (Amended 2008) Disposal and Reuse of Mare Island Naval Shipyard Final EIS/EIR, Executive Summary (website) MIRIS, Mare Island Utilities, Operations, Maintenance and Capital Improvement Plan, 1997 Mare Island Transportation Plan 1997

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