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15 September 2006

Coliseum extension talks die

Any time it takes several months to essentially repeat a pre-existing financial arrangement, something must be amiss. And so tonight it's being reported that talks between the A's and Coliseum JPA over a three-year lease extension have broken down. This obviously sets the stage for the A's last season in Oakland to be 2010. Here are some links:
This puts the A's in a little bit of a bind. Wolff admitted in the Aguirre interview (worthwhile read - Wolff explains the funding mechanism) that it would take at least a year for environmental and other studies to be completed. That's an indicator that the previous EIR's for the original Pacific Commons wouldn't simply be accepted with addenda or other changes that reflected the modified scope of the project. Assuming everything went smoothly from this point forward, it's possible construction could start either in the spring or summer of 2007, but any number of things could delay the project. 48 months is plenty of time to build a ballpark - especially are smaller-than-MLB-normal park. The A's will be helped by the fact that there's no demolition involved.

Should the delay push the groundbreaking out, the team could still get started by the end of the 2007 season without significant impact. If it goes beyond the end of the 2008 season, the A's would be faced with a number of options, none of which are terribly palatable:
  • Ask for a short-term extension of the Coliseum lease for 3 months or so. They'll likely pay through the nose for such an option, and it's possible that it wouldn't even be on the table if the JPA and the Raiders are already talking about a Coliseum renovation that makes the bowl even more of a football-specific venue (don't expect the Raiders to bolt for LA). Precedent: the Seattle Mariners used the Kingdome for the first part of the 1999 season when delays pushed the opening of Safeco Field until July 15.
  • Use Raley Field as a temporary home for the first half of the season. This would be similar to the how the A's were forced to play at Las Vegas' Cashman Field for the first few weeks of the 1996 season. At least the facilities at Raley are in significantly better shape than utilitarian Cashman. Raley could conceivably be expanded by some 5-10,000 seats, but that would have to be negotiated since the A's-River Cats deal ends in 2010. Impact to the River Cats' schedule is unknown.
  • Ask the Giants to use SBC Park temporarily. While there is precedent to crosstown rivals using each others' parks (Precedent: the Yanks used the Mets' Shea Stadium in 1975-76 while the House that Ruth Built was getting modernized), don't count on it happening.
My guess is that the greatest opposition will come from environmental and land use advocates, as well as Fremont residents who either don't want a large project like a ballpark in town and/or don't support any potential subsidies for the A's - regardless of what shape those subsidies take. There promises to be an outcry from the stay-in-Oakland crowd, but it remains to be seen exactly strong it will stay or how it will evolve over the next year or so.

One other thing - Lew put a price tag on the stadium without land: $400 million (thanks James).

14 September 2006

Hope for Sacramento?

The A's recently signed a four-year extension to their development agreement with the Sacramento River Cats. The key here is that the agreement runs through 2010. That's pretty much the same year that the A's other agreements - leases, radio, television - run out.

From a strategic standpoint, it puts the A's in an extremely flexible position once the current arrangements end, whether it's in the Bay Area or beyond. But does that mean a potential exodus to Sacramento? Bee columnist Marcus Bretón, who has been championing the A's moving to Sac for several years, says it's possible but isn't counting on such a development.

Any talk about Sacramento has been complicated by joint efforts of downtown Sacramento business leaders and the Kings to build a downtown arena. The arena would be located on the site of a 240-acre, abandoned Union Pacific railyard. Two measures are on the November ballot for a 1/4-cent sales tax hike in Sacramento county as well as a plan to develop the railyard, which would conceivably include the arena. However, yesterday the Maloofs broke off talks with the city/county over the size and scope of the arena piece. Supposedly the plan is short on parking for the arena, among other things.

Does this provide an opening for the A's? It's possible, but it would be a long shot. First off, a ballpark alone could have double the physical footprint of an arena (in this plan the arena is 8.5 acres, a ballpark could be 12-18 acres). While parking requirements in the area adjacent to a ballpark may not be as large as what the Kings are looking for, there'd still be a requirement of some 1,200 spaces or more. That would stretch the ballpark's scope to around 20 acres, which is exactly the amount of land being allocated for the entire arena/entertainment district area.

For Sacramento to even be able to entertain the A's in this regard, several things would have to happen:
  • Measures Q (authorizes usage of funds from Measure R) & R (1/4-cent sales tax hike over 15 years) must pass
  • The Kings choose not to go with a downtown arena (possible, given a recent statement by Joe Maloof)
  • Downtown interests redo their redevelopment plan to include a ballpark instead of an arena
  • City/county allow the Kings to build elsewhere without being required to provide public funds - this could mean in or out of Sacramento
Supposedly the tax would generate some $1 billion or more over the 15 years of the tax hike. Keep in mind that this money would not just go towards a ballpark. It would go towards the development of the remaining 220 acres, and that means large amounts of infrastructure. Cleanup of the land is expected to be costly. The land purchase is still under negotiation. I would be surprised if the various parties would be able to turn around and get something done in a year. My guess is that it won't.

Bretón misreads the A's situation in his article. He writes that the A's have been faithful to the East Bay by virtue of the talks with Fremont, but based on Lew Wolff's speech for the San Jose Chamber last week, it's only true if "East Bay" were replaced by "Greater Bay Area."

13 September 2006

News from around the land

One more "Choose or Lose the A's" event is slated for this Friday at 5:00 in the Coliseum B-Lot. More info can be found at the Green Stampede and A's Fan Radio myspace pages.

In SI's annual Fan Value Index (ratings based on surveyed attendees at various games), McAfee Coliseum came in 20th out of the 30 MLB parks. As usual, there's a cheap shot at the idea of the A's moving to Vegas or Louisville (???), but these days that comes with the territory. The Coliseum scores high in terms of Accessibility (public transportation, parking) and Team (of course) but low in Neighborhood. Wrigley Field, of all places, scores lower - but that's due to the Cubs being so awful this season. One thing that deserves reading further: the Accessibility section of each ballpark is quite telling. Compare the two Bay Area ballparks' results to the LA parks. If Fremont is the place, the challenge will be in convincing the public that the experience will be more like the former than the latter.

There are a slough of articles (Merc, Chron, Ratto) about the opening of the new Stanford Stadium this weekend. The privately-financed project, which has taken just over 9 months and $100 million, is considered a minor miracle in stadium development parlance. I'll go into why next week after I check the place out during its inaugural game on Saturday night.

In St. Louis, the Cardinals have stretched out their hands for what could be $100 million in subsidies to fund their updated version of a ballpark village. This project is one to watch for it could provide a blueprint as to how an A's ballpark village might look, even if the funding methods aren't the same.

06 September 2006

Lew reveals tidbit on Extra Innings

Remember how Lew Wolff in the beginning of the season that he expects to make an announcement about the A's future home by the end of the season? Well, it appears that he now expects to push that date out until perhaps the end of the year. He admitted as much during Robert Buan's interview with him after today's comeback victory. Wolff said that things are progressing on the ballpark front, but didn't get into any specifics. He also mentioned that he's part of baseball's Enterprise committee (which covers branding among many business-related aspects), and that he wants to be part of the Advanced Media committee (internet).

Honestly, this shouldn't shock anyone. These deals can take a long time to gestate even if on the surface they appear simple. The possible delay may be interpreted any number of ways. I'll stay away from that kind of speculation for now.

05 September 2006

Pacific Commons Wetlands

On my way to the Coliseum over the weekend I stopped off at Pacific Commons to see if anything has happened at the site. No surprises there. Earthmoving equipment was in the same place as before. The Auto Mall is filling in nicely with a new Lexus dealership almost completed at the south end. A Claim Jumper location opened while I was away. And cows are grazing on the meadows that intermingle with the marsh.

What? Cows in Fremont? (queue the old Berkeley Farms ad)

The CHP building whose sign is visible in the top left corner is the one you pass on the left when heading south on 880. It is across the freeway from Pacific Commons.

Cows make for pretty effective growth control. You'll see them frequently on hillsides on both sides of the bay acting as a natural fire retardant. Decades ago, the irrepressible Charles O. Finley had goats manicure the grass at KC Muni. As part of the Pacific Commons wetlands preservation and restoration project, maintenance has to be kept up on some of the grassy areas of the tidal marsh. Enter a non-native species to take care of the growth. The cows seem to like hanging out closer to the freeway. This is probably due to taller grasses the further inland one goes.

In the comments thread of another post, James asked about the wetlands area and whether it would be developed to any degree. To that end I refer you to the following links from Wetland Tracker:
The map contains the development map and historical detail, including mentions of the old Sky Sailing Airport and an abandoned drive-in theater. A 390-acre preserve has been created, and a 49-acre park is planned. That park is near the location of a planned Amtrak/ACE station.

Here's a map of the project site, divided into the development parcel and the preserve.

The yellow area is considered the development area. Any other white area has already been developed. The gray area is the preserve. The green area is a bit of a question mark. Informal calculation of the yellow area has it sized at around 120-130 acres, while the green area (if included) adds 35 more. I'll need to verify this with the city and county. The green area has been cleared out and flattened, so at least it looks like it's waiting for something to be built on it.

I intentionally left "existing landfill" in the cropped map. FYI, it has not smelled any time I have gone into the Pacific Commons area. That's at least a couple dozen times over the past year.

If the green area is truly part of the development area, it's where I think the ballpark should go. Here's why:
  • 35 acres is sufficient for the immediate ballpark village area, which would include the stadium, museum, hotel, and premium/priority parking.
  • The parcel would as a buffer between the residential area and the preserve.
  • The area is the closest usable point to the planned Amtrak/ACE station, slightly under a mile away.
  • Depending on the types of buildings erected, a view to the outfield could have a mini-city of towers framed by Mission Peak and the surrounding hills.
  • Traffic can be routed along Cushing Parkway, which would help prevent fans from invading the parking lots of the big box stores. Traffic from the north could run through the Auto Mall (dealers will love the traffic), and traffic from the south would reach the area directly from Cushing.
By planning in this manner, residential buildings could be placed in the northeastern corner (the yellow area that juts out to the left). There's room there for 1000-2000 units based on typical densities. That would leave almost 100 acres remaining for other commercial development and parking. Want to build a Santana Row/Bay Street type of development between the ballpark and the residential area? No problem. Does Cisco want to build a set of signature towers in the outfield? Sure thing. Even with the negotiations that will most certainly have to commence with the change in development plans, there are ways to mitigate impacts that benefit the public, the wetlands, and the developers.

Which gets me to the last topic tonight. James also asked about trails or beautification that would occur at the existing wetlands, which would be beautiful except for the landfills and salt ponds that currently take up much of the area. As you may already know, many of the salt ponds are being reclaimed as part of the SFO runway extension deal. Cargill sold much of their salt ponds to the government, which in turn is starting the transformation of salt ponds back into wetlands. The Alviso portion of the project abuts the southern tip of the Pacific Commons area. As the project moves forward, one of the goals is to complete the Bay Trail, the network of trails and paths that will ring the bay.

Currently there are a number of disjointed and often difficult-to-access trails of varying shape. The double-orange line shows an unimproved trail. The gray dotted lines show planned trails. Red lines are existing trails or bike paths. Station Island, which is also known by the name Drawbridge, once had inhabitants and a thriving frontier town economy, but with the changes made by the creation of the salt ponds, eventually started to sink into the bay. Now it's no longer safe to walk on the islands (believe me, I know this firsthand) even though Amtrak/ACE/Union Pacific trains run through it on an elevated track everyday. The first step is to replenish the wetlands. Afterwards, we can talk trails. While there may be a park buffer between the developed area and the wetlands, it'll be a thin sliver compared to the thousands of acres of wetlands.
I'm a bit afraid that the picture of cattle at the top will cause people to deride Fremont as a cowtown, a la Sacramento. Is that better or worse than being called a bedroom community?

31 August 2006

San Jose: Wolff throws in the towel

When I posted a few weeks ago on Lew Wolff's SJ Chamber talk, I discussed the possibility that he may once and for all eliminate Downtown San Jose from all future discussions. On Wednesday, Wolff finally made it official. Rumors of this were present as early as six months ago, but I wanted to see something official first.

Barry Witt's article in the Merc sheds light on a few new items that fill in the gaps quite a bit:
  • Wolff tried to broker deals to get the rights to Santa Clara County, but Giants ownership was unwilling to give them up.
  • He tried even before he had become managing partner.

This is certainly different from Wolff's "We're focusing on Oakland" stance of April 2005, when he took control of the team. Then again, it's consistent with his statements that he wouldn't challenge the Giants' rights. It's possible that discussions over territorial rights date back to when Wolff was given the VP of Venue Development title.

Chris De Benedetti's wrap-up of the event has a more East Bay-tinged flavor and includes quotes from Fremont City Manager Fred Diaz, Oakland City Council member Larry Reid, and Mike Healy, spokesman for Oakland mayor-elect Ron Dellums.

There have been clues that pointed to this. Chief among them is #1 San Jose backer Mark Purdy's change from Fremont as a negotiating ploy to Fremont as the best alternative given the circumstances. This didn't happen overnight. Purdy's newest article sounds like a sales pitch to the many Baseball San Jose supporters who need to be convinced to support the Fremont ballpark - it won't work financially unless their corporate dollars buy those suites, ads, and club seats.

Purdy dives further into the rumor mill with the following:

"There are plenty of murmurs in Silicon Valley circles that Cisco is smitten with the idea of a partnership with the A's, on many levels -- including naming rights to the ballpark. There are rumblings out of Cisco's offices that concepts for a 'ballpark of the future' have already been brainstormed and game-planned. The project allegedly has support from the highest levels, including CEO John Chambers."

Even though I'm a nerd who works in high tech, I hope "ballpark of the future" doesn't lend itself to dehumanizing the game. All I want is for AM radio reception to work in the ballpark.

I was supposed to attend the event this morning but had to attend to some personal matters. Jay Hipps from Soccer Silicon Valley has audio from the event if you're interested. There is some news from the soccer/Quakes front as well.

26 August 2006

Fremont's budget woes

A handful of articles have been put out over the past few months questioning how infrastructure will be paid for at Pacific Commons should a ballpark come in. Chief among these concerns is the extra policing that will be required for event security, traffic control, and additional presence in the new “entertainment district” that should be expected. Officer.com, a police industry website, has the Argus story from June detailing Fremont’s budget woes. In the story are the following nuggets:
  • AT&T Park typically has 18 SFPD officers on staff for a Giants game, 24 for Giants-Dodgers games
  • The Giants pay for security inside the park, SF City/County pays for traffic/crowd control outside the park.
  • In 2005, overtime for Giants games cost $250,000.
  • Fremont typically has only 16 officers deployed at any one time throughout the entire city.
  • Fremont has slashed its budget by cutting $25 million and 220 jobs over the past few years.
  • Fremont may have to dip into its reserve fund to pay for 2006-07 city services.
Sounds daunting, doesn't it? It does, but only when viewed through the prism of those facts above. There are several things to keep in mind:
  • Population has grown 1-2% in the past 5 years. That along with the state's budget crunch have severely limited appropriations to Fremont. With the creation of new housing at Pacific Commons (5,000-10,000 new residents), by law appropriations will grow proportionally.
  • Rezoning and reassessment of the remaining Pacific Commons should increase property tax revenues significantly, on the order of several million dollars per year. Fremont gets 15% of every property tax dollar, while Alameda County gets 20% into its general fund.
  • New retail development will increase sales tax revenue. Of the 8.75% sales tax rate in Alameda County, a 0.5% chunk automatically goes towards local public safety. Should 250,000 new square feet be built, that small 0.5% chunk would translate to as much as $500,000 per year alone for local public safety (based on $400 per square foot, per year in sales).
  • Hotel tax revenue growth has been flat since the dot-com bust. The creation of a new hotel (a new Hilton to replace the old Fremont Hilton?) and buzz in the South Fremont area could translate into increased revenues, especially the Fremont Marriott. Fremont's hotel tax is 8%, lower than both Oakland (11%) and San Jose (10%), so there is room for a hotel tax hike if it's warranted.
If all of that fails to bring in the necessary revenue, there is always one possibility: a ticket tax. Historically, such a tax has proven unappealing to teams because they see a ticket tax as eating into their own ticket revenue. However, even a nominal tax - say, 50 cents per ticket - should produce upwards of $1 million per year depending on attendance. That should go a long way towards funding the necessary police presence at Pacific Commons. The introduction of such a tax will be a bone of contention. The good thing about it is that the tax wouldn't be used to pay down any bond-related debt, only for budgeted services.

If anything, the big question is where the staffing will come from. Fremont certainly isn't going to hire a dozen or so police officers just to staff A's games. Much of the time stadium detail is overtime work and is charged accordingly. It's possible that staff will have to come from neighboring jurisdictions such as Newark and Union City. The Alameda County Sheriff's department may be tapped as well. The Sheriff's department has grown as a result of the closure of the Oakland City Jail, though I'm no expert as to how prison guard work translates into stadium detail.

Fire and emergency services are no small requirement either, and both of those have been hit by the budget crunch. Again, the incremental increases in revenue should help this even if the state's budget problems remain. The fact is that the city needs to grow economically to insulate itself against future crises.

As Fremont celebrates its 50th anniversary, its leaders need to plot how the next 10, 20, 50 years will look. A decision on the ballpark development will go a long way towards establishing that legacy.

22 August 2006

Six Degrees of Lew

NBC11's Raj Mathai ended the sports section of the tonight's late newscast with a mention of a Merc article about the Sharks' pursuit of a pro hoops franchise. Mathai noted that the Sharks' failed bid for the Seattle Sonics involved one particular big-money guy at the end: Oracle's Larry Ellison. The Sonics have already been sold to business interests from Oklahoma City, who last season played gracious and enthusiastic part-time hosts to the Katrina-displaced New Orleans Hornets. New owner Clay Bennett sounds diplomatic so far but just about everyone sees the skids being greased for a hasty exit.

The Sharks' initial bid appeared dead a few weeks ago, but now it appears that the Sharks will go to the City of San Jose looking for upgrades to HP Pavilion, which could make the Tank more attractive for an NBA team. The actual request is to authorize a study to see what improvements would be required, similar in scope to the ballpark study - though precluding an entirely new arena. While some technological upgrades would be welcome - particularly in the form of upgraded video boards, fascia boards, and HDTV monitors - I sincerely doubt that mere upgrades will make a NBA team leap to SJ. To make a deal attractive for a non-Sharks-owned team, the NBA team would be looking for a large piece of the Pavilion's current revenue stream, a piece that the Sharks would be loathe to give up. This would apply to the Sacramento Kings should their efforts to build a downtown Sac arena wither. If the Maloof brothers were to show interest in selling the team to San Jose interests, it would be a different story. There are problems with the Warriors, who aren't going to take a new competitor to their market lying down. Then there's the overlord himself, David Stern. From a strategic standpoint, it makes little sense to use SJ as anything more than a stalking horse. Stern has been more vociferous in his complaints than Sonics ownership, which tells me that he's actually interested in keeping them there. If he simply wanted a stress-free arena deal (market notwithstanding), the Sonics, Kings, or Hornets would already be signed long term to OKC, Vegas, Anaheim, or ahem, San Jose.

Speaking of the Warriors, they and the Coliseum Authority still haven't gotten a naming rights deal in place for the Oakland Arena. There isn't officially a naming rights sponsor for the new Arizona Cardinals stadium, but there is at least one suitor who has been turned down: hip mexican restaurant chain pink taco. pink taco is not some mom-and-pop taqueria. It's run by Harry Morton, son of Hard Rock Cafe/Hotel/Casino and Morton's Steakhouse proprietor Peter Morton. They're apparently serious, according to a press release and an article in The Business Journal of Phoenix. The Morton family just sold off the Hard Rock brand for some $700 million.

Interestingly enough, a Morton's location is scheduled to open in downtown San Jose as part of a huge refurbishment of Park Center Plaza. The complex, which was once a major part of Lew Wolff's portfolio, could soon spawn a big name competitor to Wolff's existing restaurants. And on the morning of August 30, Wolff will speak about the future of downtown San Jose a block away from Park Center Plaza at Adobe.

(Yes, I could've mentioned Wolff's previous stint as a part owner of the Warriors, but I chose the more circuitous route.)

15 August 2006

Wednesday night "rumble"

Wednesday night's game against the M's might not turn into Sharks vs. Jets, but it should still be fairly compelling. While the day is officially Fremont Day at the A's (with full pregame regalia), a "There is No 'A' in Fremont" rally will be held outside the stadium. I don't come back from overseas until this weekend, so I won't be there. Whatever happens, please keep it civil folks, and focus on the action on the field.

In related news, the Argus's Chris De Benedetti has a non-update of the Pacific Commons situation, but also has a quote from a NUMMI spokesperson that indicate that the A's and NUMMI have not had talks regarding the Warm Springs site. We'll have to wait until Wolff's speech at the end of the month for anything substantive.

08 August 2006

Lew to speak at SJ Chamber

Today's check of the BigSoccer forums netted a thread titled "Lew Wolff to speak at SJ Chamber." The first post has the following blurb from member JayCee:
Taken from the Chamber Advocate Newsletter, August 2006

The Oakland A's owner, Lew Wolff, will be the guest speaker at the San Jose Chamber's, Silicon Valley Buzz, on Wednesday August 30th.

He will discuss hot topics, including the future of baseball in San Jose and the possibility of securing a professional soccer team for Silicon Valley, etc, etc.

The Silicon Valley Morning Buzz will be held at Adobe in the Gallery Room, 345 Park Ave, San Jose from 8am-9:30am. The event is free for Chamber members and $15 for prospecitve members. For more information and registration, call (408) 291-5286.
With less than two months to go in the season, this is about the right time for the machine to get going again. It was roughly one year ago that the Coliseum North presentation was made, and Wolff has publicly stated that he wants to have everything wrapped up by the end of the season.

What will Lew say to all those people who are by-in-large quite familiar and friendly with him? Will he drive a stake in the heart of San Jose's downtown ballpark dreams? Will he publicly say that the team's name will be changed to the San Jose A's? Will he completely confirm the Fremont project? In a summer that has generally lacked action on the ballpark front, the potential for news is huge. Then again, the man knows how to play the media game, so don't get your hopes up.

There was also an article on Wolff and his "remote" ownership of the A's from the LA Times.

25 July 2006

Third Deck Closure Revisited (again)

Articles from both the Contra Costa Times and the Sacramento Bee attempt to assess at midseason the effects of the third deck closure. In both pieces, A's President Michael Crowley explains that the decrease in average attendance is what was expected, as long as the customer experience was enhanced - which according to them, it has. The Bee's article has quotes from a Vacaville fan who misses the ability to walkup on gameday to get third deck seats - as do I. The net effect - increased advanced ticket sales - was alluded to but not expounded upon.

There's a sense of overstatement when looking at the numbers, especially because anyone who looks at them will have a particular perspective - that of a lamenting, displaced fan, or that of a fan who likes the crowd feel more, or even a person like me who dispassionately views the change. With that in mind, here are a couple of (uh-oh, here it comes) graphs that might give you a better understanding.


The graph above (click the pic for a larger version) shows the volatility of the A's attendance over the last 1 1/2 seasons. Also included is the Giants' 2005 trend, which thanks to high numbers of season ticket holders is not nearly as volatile as the A's. I wrote in April that one of the big points was to make the demand curve less elastic, and while that's happened in part due to the artificial capping of the Coliseum's capacity, I imagine that the effect may not be as good as desired. Excuses abound from the wet, cold spring to the A's usual May slide to the lack of a big time, in-his-prime slugger. Frankly, if Eric Chavez had 25 HR and 75 RBI by now the A's attendance would be better, since their record would probably be better as well.

This graph shows the change in average attendance over the season. In this case, it's much easier to see how the May doldrums affect the A's and how things trend up as the weather heats up. Normally, the A's go on a tear in June and July that translates into increased interest for August. Injuries resurface towards the end of August, and despite the team usually being in a pennant race, performance and attendance both tend to peter out by the end of September. The occasional blip or uptick comes from one of the big series with the Giants, Yankees, or BoSox, or from a promotional night such as a fireworks show or bobblehead giveaway.

From the average attendance graph, the picture doesn't look as bad since the difference between the A's attendance this season and last season at the 47-game mark is less than 1,800 per game, or a whopping 7%. However, the A's would have to average 31,000 per game from now until the end of the season to eclipse last season's total - though that's not the goal. The problem is now the same as always: will the A's turn on the jets in the second half and pull away, or will the injuries and generally poor hitting bite them come the last two weeks of the season? That will be the true deciding factor. This is the Bay Area, after all. We are a fickle bunch (Sharks fans aside) and we don't suffer mediocre play gladly. And with the BoSox offering retribution for the A's surprising performance last week at Fenway, it's just more reason for fans to scratch their heads and sit on the fence. Fencesitters don't always head out to ballgames, not even during a heatwave.

24 July 2006

SJ Bizjournal articles

Update:
I've had a chance to read the articles (thanks to all who have helped) so I can now give me take on them:

  • The NUMMI article introduces a new factor that I hadn't been aware of - the building of a hybrid car plant. If Toyota's smart they'll move forward with the hybrid plant, despite the high costs of doing business here. The fact that a Prius or Highlander hybrid is actually built here in California is pure PR gold for Toyota and should increase sales volumes, especially within the state. They'd also finally be able to do something constructive with the land without worrying about encroaching development. If NUMMI is still concerned about residential development next to the plant, having another plant running 24/7 next door should eliminate the threat. Whatever their plans are, a plant sounds better than having a parts distribution center, which was under consideration when I called NUMMI last year.
  • Still, the NUMMI site has to look attractive just for the potential to a future BART, even if there's no timeframe for BART to come to Warm Springs right now. As I understand it, Santa Clara County leaders are redoing their plan to scale the Santa Clara extension back to Milpitas or Berryessa. That would impact ridership estimates, but at least this time they could look realistic. Since VTA's light rail ridership is up and should continue to rise, it might be a good time to explore and emphasize a LRT-to-BART link at the Great Mall. Fremont Mayor Wasserman seems to have his preference of sites - Pacific Commons.
  • Some of you have asked me if there's a possible that both sites (or portions thereof) could be used - one for the ballpark and village (NUMMI) and the other for housing (PacCom). I suppose it could be done, but it would require two new and completely different environmental impact reports, marketing changes and new infrastructure requirements. I won't rule it out, but it looks prohibitively expensive unless someone can figure out a way to divvy up the land appropriately.
  • As for Santa Clara County Assessor Larry Stone, he's always been the head cheerleader. As one of the leaders of Baseball San Jose he's always been out in front, despite the political machinations that have occurred within. Notice that he stops short of outright slamming Fremont, other than to say that downtown (San Jose, that is) is preferable to suburban. There's a reason why...

As I am not a print subscriber, I don't have access to the new articles from today's edition of the Silicon Valley/San Jose Business Journal. And considering the fact that I am nearly 7,500 miles away from a local newstand or vending machine that carries the paper, I'm pretty much S.O.L. on the articles. In fact, last week I was asked if they could use one of my overhead graphics. Alas, I was "in the bush" so to speak. If one of you gentle readers would be nice enough to recap the articles and send me your thoughts, it would be much appreciated.


Here are the links:
Absent the actual text, I'll refrain from commenting on the articles, except that the headlines are rather salacious.

17 July 2006

Two words: UGH. LEE.

I just got a look at HNTB's concept for the new 49ers stadium:



How uninspiring. It doesn't help that the gold seats appear beige in the picture. Gone are the sweeping lines of the HOK design. So is the Mills mall, and with it, probably the $100 million that was promised for the project by the city (because of the jobs that come with the mall). The boxy layout is eerily reminiscent of work done by HNTB across the bay, otherwise known as Mount Davis. In fact, take the entire sideline section in shadow. Does it not look just a little like the Coliseum outfield?

It should be pointed out that like the A's ballpark concept by 360, there's no exterior treatment on this stadium, so it can't be judged by a face that doesn't exist. Still, while stacking the suites and boxes on one side of the field is commendable for cost-cutting and better sightlines for fans, the whole package can't help but look a bit like a bloated SEC college football stadium. The concept works well for Ford Field, where it's wrapped in a neat gimmick - the use of an office building in the stadium bowl covered by a dome - but it doesn't look right in this case. That big structure behind the suites looks like a retaining wall to prevent the nearby hill from collapsing onto it.

Supposedly the design is flexible enough to work as an Olympic stadium should the time come in 2016. I can see where the use of large numbers of portable seats (also like Mt. Davis) could make such a concept work. The open north end should facilitate this as well. But does anyone remember what Atlanta's Olympic Stadium looked like prior to its conversion to Turner Field? Thought so. This design just deadpans "bland."

12 July 2006

Fox/TBS ink new national TV deal

In case you missed it in the past couple of days (I did while I was flying back to Australia - again), MLB sewed up its national broadcasting rights for the next seven years by inking deals with Fox and TBS. The actual money being doled out to MLB by the networks is actually going to be about the same if not less than the previous Fox-only contract. Let's tally up the national TV money:
  • Fox - ~$250 million per year for 7 years. Includes World Series, All Star Game, national Saturday broadcasts, and alternating ALCS and NLCS based on the year.
  • TBS - ~$150 million per year for 7 years. Includes ALDS and NLDS, and whichever LCS Fox does not pick up. Deal includes 26 Sunday afternoon games (new schedule, not the ESPN Sunday night game) per season. Atlanta Braves broadcasts will be reduced, which probably means Turner South will take over many of the Braves' games.
  • ESPN - $296 million per year for 7 more years (new deal started this season). Includes Sunday night and Wednesday night broadcasts along with certain marquee and late season matchups (usually Yankees-Red Sox). Does not include playoff games.
Combined, it comes to upwards of $700 million per year through 2013 ($5 billion total), not including money gotten from the Japanese TV deals, internet streaming through MLB Advanced Media, and various other rights fees. Still, this pales in comparison to the NFL's whopping $3.7 billion per year in national TV rights. Of course, that's comparing apples with oranges since MLB makes up the difference with tremendous amounts of locally generated revenue, including local TV rights.

The news sets the table for the upcoming CBA negotiations, which as mentioned before, are more a battle between big and small market owners than between owners and labor.

07 July 2006

Alioto named Quakes Exec VP

In a move that foretells the A's acquisition of Earthquakes v. 3.0, the team's sales and marketing veep, David Alioto, has accepted the newly created position of Executive VP of Earthquakes Soccer, LLC. According to the press release, Alioto "will oversee business operations, sponsorship opportunities, develop sponsorship opportunities and assist in venue development surrounding A's ownership's attempt at securing a soccer specific stadium in the Bay Area for a Major League Soccer franchise."

Basically, it means Alioto will be doing for the Quakes what Michael Crowley currently does as President of the A's - except there's no team yet, of course. Good luck to Alioto on negotiating the extremely murky waters that define San Jose politics. Alioto may end up leaning a bit on both Crowley's and Lew Wolff's South Bay local status to get the SSS deal done. I'd like to see the Quakes get the benefit of some clever McCann-Erickson ad campaigns, the same kinds used for the A's the last couple of years.

From a strategic standpoint, there's something attractive about being able to pool certain parts of operations for the two teams. The seasons run concurrently, so some stadium operations can be consolidated. Sponsorship opportunities can be pitched to cater to the different audiences. Packages of club seats and suites may look attractive if they're for two teams (and all related venues' events) instead of just one. The ballpark financing concept is already out-of-the-box, why not sales as well? (Trivia note: According to Andrew Zimbalist's splendid book In the Best Interests of Baseball?, MLB Advanced Media runs the MLS website.)

06 July 2006

Coliseum BART lot mockup

I promised this a couple weeks ago, so here it is:

According to city records the combined parcels that make up the BART lot make up some 8-9 acres, 10-11 acres including some the extra streets that run through the lot. The neighborhood northeast of the ballpark has no real buffer separating it from the lot aside from some small auto shop/garage-type buildings. Residents there would be impacted by noise and possibly light pollution. The only ways to orient the field are north (shown), east (similar to the Coliseum's field orientation), or south/southeast (field facing Hegenberger Road).

02 July 2006

Purdy puts Wolff at top of power player list

The Merc's newest edition of their "Bay Area's Most Powerful Sports Figures" is due, and columnist Mark Purdy has placed Lew Wolff at the very top. That's not surprising. Wolff currently controls the fates of two sports franchises - the A's and the future Quakes - and his deals may indirectly affect revenues for all other major pro sports teams in the region due to club/suite and ad revenues.

While A's ownership including Wolff (and family, I'm sure), President Michael Crowley, and GM Billy Beane have been living it up in Germany recently while attending the World Cup. Undoubtedly, they've gotten pointers looking at new and refurbished stadia, many of which hold a baseball-friendly capacity of 40,000. Before soccer fans get their hopes up, costs will prohibit a European-style fully-enclosed, mostly roofed stadium from being constructed here (unless someone other than the A's is willing to foot the bill). In the meantime, putting out a shingle for an Earthquakes office and retail store could help salve the wound created when the team Mayflowered its way to Houston.

Purdy takes a position that is a definite shift from what he has argued in the past. Instead of pitching Fremont as a diversionary tactic while the A's deal with San Jose, Fremont is meriting real consideration. As the greatest media flagwaver for the San Jose effort, this is almost downright earthshattering.

Back to the list. Bay Area sports history has had a huge range of personalities and styles among its power brokers, whether they were brilliant (Wally Haas, Peter Magowan, Eddie DeBartolo), inept (John York, Chris Cohan, Steve Schott), or somewhere in between (Al Davis, Bob Lurie). Superstar players and coaches also inhabit the list, as do some non-print media types. Wolff's ascent to the top of the list is a testament to how Wolff understands and plays the media game. Other than Trib columnist Art Spander, Wolff has Bay Area media eating out of his hand. He's skillfully given bits and pieces of his vision, never giving too much away and always leaving the curious (like me) wanting more.

Purdy ends the piece with could be interpreted as a bit of foreshadowing:

"A year from now,'' Wolff says, "I'd like to be deep into the process of getting environmental approvals for a baseball park. And for soccer, I'd like a place we can play for the following season, even if it is just temporary.''

To me that sounds like a Fremont ballpark and Spartan Stadium (temporarily for the Quakes). Even if Ron Dellums' staff starting work on a proposal the minute Ignacio De La Fuente conceded the mayoral election, an EIR/study couldn't get fast-tracked to start in Oakland before the end of 2007.

20 June 2006

Estuary plan moves forward

After a long give-and-take process between developer Signature Properties and Oakland-based environmental and affordable housing groups, the long-awaited Estuary (Oak-to-Ninth) development appears to be moving forward. Only a city council vote next Tuesday remains, and once that happens, you can officially cross one more site (one touted by Ignacio De La Fuente last year) off the list.

I was excited by the Estuary site last year as well, at least until I understood the grueling process it took to get to the actual planning of the development. This included passing legislation at the state level to approve of the land sale and numerous hearings with the aforementioned community groups so that they could have a say in the plan. Issues such as the height and placement of buildings as they related to the view from the hills, the amount of public parkland, traffic, and the preservation of historic structures all came into play.

One of the keys to getting this deal done was Signature's willingness to pay for site cleanup. However, they got a huge discount in the land price as a result. The Estuary plan's size makes it a better comparison to a potential Wolff-Fisher development somewhere than anything else in the works in the Bay Area. Compromises were made by all parties to get it done, and it took a long gestation period (ongoing). One neat little concession is that Signature is going to allow around 15% of the housing to be termed low income and senior housing - but it doesn't have to build it all at the Estuary. It could shift some of the units to one of its other Oakland projects, though it would have to build more of them. Considering the prime waterfront location, this shift sounds likely.

19 June 2006

Dellums wins outright

Thankfully, cooler heads prevailed in an election whose winner had a 154-vote margin. Ron Dellums is now Oakland's mayor-elect, and in a press conference at the Oakland City Center Marriott, he continued his message of hope that, unfortunately, lacked much detail. He argued that predecessor Jerry Brown's 10K plan was not enough, and that he wanted to have 100,000 new residents in the downtown area - though he didn't say when. And when I saw that Dellums will create task forces to study a variety of issues, I cringed. For Oakland's sake, I hope Dellums really follows through on his promise to be a galvanizing, uniting force for the city. Talk about public-private partnerships could set off some heated debate, as Oakland residents may not take too kindly to certain types of projects - of which a ballpark and ancillary development may be one. Note: An A's development simply won't be about throwing some land at Lew Wolff. Wolff has set the price that he's willing to pay for land - around 25 cents on the dollar. The question is, "Is this doable in Oakland?"

Dellums' speech apparently contained nothing about the local sports franchises, so it's hard to say where he's leaning. In the end, the A's future in Oakland may well depend upon whether or not Dellums believes Wolff/Fisher want to keep the team there. Hopefully, Dellums will recognize how much pride the team brings to the city, and that the team is worth the mayor-elect trying to "break his pick" to keep the team in Oakland.

15 June 2006

OUSD site finds a developer

Oakland Unified School District is on its way back to being on its own feet, with labor issues put to bed and money that will come in from the sale of OUSD's 8.25-acre mini-campus near Lake Merritt. According to new reports, a partnership of East Coast firms Terramark and Urban America have put together the winning bid on the property. They intend to build a mixed-use development containing 1,000 housing units and commercial space. The district needs to pay off an emergency $100 million loan the state lent a few years ago, so it's likely much of the sale price will go towards that debt. The price of the land is expected to be between $55 million and $70 million.

OUSD had originally intended to share the space with the eventual developer, but it now appears that will not be the case. At the bottom of the district's memo (first link above) is a mention of moving into or building new facilities somewhere, including downtown Oakland. Unclear is the fate of the five (mostly small) schools residing on the campus, though the memo states that La Escuelita Elementary will be kept in the area.

Long-time readers may remember that over a year ago, I declared the OUSD site unsuitable for a ballpark due to its size and unusual "J" shape. So it's not as if there were some major opportunity to build a stadium on the OUSD site. The link is more tangential - it's less one prime site on which a decent-sized "village" concept could be built, even if it weren't co-located with a ballpark And if you're looking to get something like that done in Oakland, you'll need to assemble some decent, easy-to-acquire land to make it happen.

One other thing - thanks to those who have been responding with the latest news on the Oakland mayoral race. It looks like the final tally won't be out until the end of the week, and so far everything points to a runoff in November. That could reduce a key advantage Oakland would've had even though Dellums couldn't take office until January. Now he'll have to throw considerable resources into a fall campaign instead of lining up a transition staff well in advance. However, we should still remember that as important as this political jostling is, it doesn't supplant the two most important factors: Is there a good site? and Who pays for it? Everything else, including transportation concerns, pales next to those questions.