Dear Soccer Silicon Valley member, On Tuesday, San Jose Mayor Chuck Reed and the city council voted unanimously to endorse the city staff's work to date and to continue negotiations through as late as June 30, 2008, on Lew Wolff's proposed plan to build a privately-financed soccer stadium as part of a $1.3–$1.4 billion investment in San Jose. The proposal would entail the rezoning of Wolff's site in the Edenvale district of San Jose from industrial and retail use to residential use, thereby increasing its value by an estimated $80 million. That property would be sold to residential developers and those funds would be incorporated wholly into the construction of a new, 15,000 to 20,000 seat soccer stadium on the Airport West property. That land, which is currently owned by the city, would be acquired at fair market value by Wolff and his investment partners, who would build two hotels, offices, and retail to complement the stadium. The presentation given by Paul Krutko, director of the Office of Economic Development, also provided insight on a number of details that have already been incorporated to the potential plan: - Any potential for job loss by the conversion of the Edenvale property will be mitigated by increasing the allowable densities of neighboring commercial and industrial properties, thereby eliminating the possibility that the city's balance of jobs-producing and residential lands will be disrupted. - The blighted Airport West site, which saw extensive environmental damage during its use by the FMC corporation, currently costs the City of San Jose over $7 million in general fund revenues each year in the form of payments the city is making on the purchase of the land. By contrast, the development of the FMC site with hotels, office/R&D, and retail space will generate revenues for San Jose in the form of property taxes, hotel taxes, and sales taxes. - The appraisal currently being conducted on the Airport West property to determine its current market value will likely indicate that the city will make money on the property sale, in addition to allowing San Jose to get out from under those annual purchase payments. - Wolff has also already agreed to pay for any cost overruns associated with the stadium's construction, as well as operations and maintenance of the stadium for the next 55 years — even if the Earthquakes stop playing soccer there. - Bill Sherry, the aviation director of Mineta San Jose International Airport, explained to the mayor and city council during Tuesday's meeting that the Airport West site is no longer part of the airport's plans, essentially giving the green light to the city council to do whatever they wish with the property. - In response to a question from a council member during the meeting, city attorney Richard Doyle specifically stated that no tax dollars would be involved in the construction of the stadium. The city council also directed staff to provide a status report on the negotiations and the timing of the city's environmental review to the Community and Economic Development Committee in March, as well as an update to the full city council at the annual General Plan review hearing next year. Finally, the council agreed to waive, if necessary, the city's policy to consider zoning changes only once per year, due to the nature of the potential economic benefits in Wolff's proposal. Considering that the successful conclusion of these negotiations would mean the transfer of the Airport West site from public to private ownership, and would therefore allow the city to cease making payments on the site, it would seem this in in the best economic interests of both parties. All in all, it was an extremely positive outcome for the region's soccer fans. Thanks to everyone who has written San Jose's elected officials to voice support for the project and especially to the hardy Quakes supporters who came out to the meeting after it was rescheduled. Yours in soccer, SSV's Board of Directors: Don Gagliardi Jay Hipps Freddy Adames David Chamberlain Lori Hibbett John Jussen Colin McCarthy Mike Turco Ned Zuparko
I think that letter and its facts really should answer anything in the Murk or any ill informed people who try to oppose the stadium. Can't argue with facts. They should all read it and shut up.