Greg Wilson

Greg Wilson

My column last week dealt with Jay Paul Company’s proposed Harbor View project, a three-building office complex that would be located just east of Highway 101 on parcels formerly occupied by Lyngso Garden Materials, Malibu Grand Prix, Malibu Golf & Games, and a handful of other businesses. In that column I expressed some uncertainty around the size of the donation Jay Paul Company intends to make to St. Francis Center as part of its community benefits package, money that would be used to secure a number of desperately needed units of affordable housing. Thanks to an email I received from Adam Alberti, who apparently handles corporate communications for Jay Paul Company, I now have a much clearer picture of the current state of the project’s community benefits package.

My uncertainty centered around the size of the donation to St. Francis Center. For background, St. Francis Center, which is located in North Fair Oaks just beyond Redwood City’s borders, aims to “provide the opportunity for families living in North Fair Oaks and surrounding communities to live with dignity while accessing essential services and becoming self-sufficient members of the community.”

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(5) comments

Ray Fowler

Hello, Greg

Thanks for your recent informative columns concerning commercial development in Redwood City.

So, the Jay Paul Company cuts an ice rink from its Harbor View proposal, but elsewhere in the proposal it ups the amount it will "donate" for affordable housing. Jay Paul will transfer $36 million to the St. Francis Center's affordable housing program, and those monies will be earmarked for use by St. Francis to acquire 64 affordable apartments in Redwood City.

Correct me if I'm wrong, but Jay Paul's $36 million will translate into 64 affordable apartments, however, those apartments will not be new construction. If Redwood City has a goal of encouraging the development of nearly 6,900 new housing units by 2030, a proposal that allows a developer to "buy" existing apartments is not a very positive step in the direction of achieving that goal.

Earlier this month, Longfellow Real Estate Partners submitted its proposal to tear down a one million square foot business park in Redwood City and replace it with 3.3 million square foot technology campus. Part of the deal is an $85 million "donation" for affordable housing. That money will be spread out over the project's "development horizon" which may extend 15 years past Redwood City's 2030 goal to create thousands of new affordable housing units. Maybe someone should put together a column about Longfellow's project.

Tafhdyd

Good morning Ray,

Reading the column and your comments triggered a couple of questions I have that you may or may not know but someone else may know the answer to.

When these big corporate projects come to town and offer (or are told by way of ordinance) to include X amount for the public good, do they get to take that amount for a tax deduction. If they do or do not get a tax break my guess is the amount is figured into the overall cost of the project and the end user is going to be the one actually paying the “donation”.

A thought comes to mind that cities could use a particularly generous offer to leverage other companies to do the same. While discussing the project they would say company ABC did this and you don’t want your competitor company to make you look like a piker do you. I have seen this at charity auctions when a couple of people bid against each other because they don’t want their friend (or enemy) to make them look cheap.

Ray Fowler

Thanks, Tafhdyd... those are good points.

Something else to consider... The Jay Paul Company will pay for a local non-profit to purchase 64 apartments. The company is not contributing to new affordable housing. Question... how many of the employees who may work in Jay Paul's new three-building Harbor View complex will qualify for those affordable apartments? I thought the idea was to develop affordable housing to help attract and keep workers in Redwood City (as well as other cities on the Peninsula). It's beginning to look like developers are dealing Three-card Monte to local planning commissions and city councils.

Hughesy

Lot's of promises reneged upon by dumping the ice rink proposal. So who can citizens trust when promises are made in the future or for the ones in the past? Russ Hughes

Barb Valley

Housing instead of an ice rink? Yes, please.

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