AgdaPkt 2020-11-16 Special - Laserfiche WebLink

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An independent financial analysis by a qualified expert should be done of this entire project before considering it further. Other cities have done the same for lesser -sized projects. This should take no more than 30 to 60 days to complete with an estimated cost of $10,000 to $20,000. Using reasonable industry accepted assumptions, I believe the Developer will spend over $1 Billion to complete this project and will generate approximately $3 Billion in positive cash flow over the next thirty years. It could easily be a much higher cash flow and not likely less. The proposed expert financial study is a minor cost and this delay would help to inform your decision. A summary of my estimates is enclosed. Is this a balanced project that addresses our City's needs and is not overly generous to the developer especially given the recent change in zoning which allowed the developer to increase the size of this project by 33%? Before your study session (7/11/19 Project Plans) Pre -Zoning Change 265k Residential 549k Office 28k Retail 9k Childcare 852k TOTAL SQUARE FEET After your study session (11/22/19 Project Plans) Post Zoning Change 571 k Residential 530k Office 28k Retail 8k Childcare 1,138k TOTAL SQUARE FEET The Developer has every right to push for the best return on their investments. However, you have an obligation to both understand their investment, costs and returns AND then to evaluate our needs against this pool of cash and negotiate a fair and balanced solution. You are not required to approve a project that has adverse financial and health and safety impacts on Redwood City and especially one that will aggravate our existing housing and health emergencies. To date the developer has negotiated in bad faith by not providing the basic financial and other information that you, staff, the public and outside experts need to evaluate this information to make an informed and supportable decision.