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Published on January 15, 2025
Alameda County Advances Toward Sale of Oakland Coliseum Site to AASEG, Aiming for Economic RevitalizationSource: Quintin Soloviev, CC BY 4.0, via Wikimedia Commons

Alameda County's unanimous decision to begin final negotiations on selling its interest in the Oakland Coliseum Complex marks a significant movement in the ongoing saga of the site's future. The Board of Supervisors has entered 30 days of talks with the African American Sports and Entertainment Group (AASEG) aimed at purchasing the 112-acre site, comprising the stadium, arena, administrative offices, and parking areas; the action follows June's approval by Oakland to sell its half to AASEG for $125 million, an effort to mitigate a harsh $130 million budget deficit, as reported by the San Francisco Chronicle.

Interim Oakland Mayor Kevin Jenkins has expressed his support for this development, noting the positive impact it could potentially have on the city's economy, as the deal promises jobs and hope within the community. Jenkins's thoughts were echoed through public comments during the board's session, where the vast majority favored the sale and AASEG's ambitious $5 billion development proposal, which includes housing, a convention center, restaurants, and an amphitheater all underscored by the city's commitment that 25% of any housing built will be affordable under the term sheet, a sentiment also championed by Mayor Jenkins, as per the City of Oakland.

Negotiations are complex, involving not only the transfer of ownership but also addressing existing obligations and environmental liabilities. An example is the requirement for AASEG to assume responsibility for any necessary cleanup costs for redevelopment, which is essential given the site's history and the prevailing community concerns. Moreover, the county is addressing a lawsuit from Communities for a Better Environment regarding previous sale proceedings, adding another layer to the ongoing discussions.

Suppose the negotiation with AASEG concludes successfully within the stipulated 30-day window. In that case, an additional $10 million payment will be placed into Oakland's escrow account as part of the intricate financial arrangements. At the same time, the city anticipates access to funds post-sale, which is scheduled to be finalized by the end of May. All these developments are closely monitored by local stakeholders, including Keith Brown, president of the Alameda Labor Council, who has highlighted the considerable potential for job and tax base creation in addition to the larger revitalization of the East Bay region as chronicled by the San Francisco Chronicle.