Catellus Prepared to Walk away from Concord Competition

first_img Dan Cohen AUTHOR Catellus Development Corp. has agreed to withdraw from the master developer competition for the former Concord Naval Weapons Station in northern California in return for a refund of its $250,000 deposit, an offer the Concord City Council will consider Monday night.The compromise was reached after city staff resisted Catellus’ request to change its term sheet and the negotiating agreement, reported the Contra Costa Times. Staff is recommending the council reject the firm’s request, which they say would shift up to $700,000 in risk to the city, and accept its offer to withdraw.Catellus’ departure would leave only Lennar Urban in the running to lead the first phase of the property’s redevelopment.“Catellus would prefer to continue moving forward in this process, yet every week, there seem to be new mistruths, fabricated by certain individuals, which makes it difficult for us to have confidence that the city wants a successful, long-term partnership with Catellus,” Ted Antenucci, the firm’s president, wrote City Manager Valerie Barone last week.Last September Catellus questioned whether Lennar had lobbied council members in violation of the negotiating agreement governing the competition. The firm demanded the city pursue the matter after it learned the city staff’s recommendation favoring the developer was removed from its final report to the council.“It’s just a lack of trust, and we get it,” Guy Bjerke, Concord’s director of community reuse planning, told the paper. “They, for several reasons I believe, now don’t feel comfortable taking the kind of risk that is normally taken by a developer on this type of project.”The city council still plans to meet April 5 to discuss the developers’ proposals to become the master developer, even if Catellus drops out. The council could select Lennar, request more information or start the selection process anew, Bjerke said.last_img

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