Google and San Jose sign land deals for a large village in the city center

SAN JOSE – Google and the City of San Jose have reached an agreement to sell land in downtown San Jose – worth up to $ 220 million – as a major step for a focused community on public transit and on the verge of becoming a game changer for the largest municipality in the Bay Area, city officials announced Friday

The transactions involve the sale to Google of several government and city properties in the vicinity of Diridon station, as well as the options being considered by the search giant for the large car parks near the entertainment and sports complex. SAP.

"It's a crucial step, but we're still in the first stages of a long game," said San Jose Mayor Sam Liccardo on Friday. "Between now and when the city will approve the zoning of these sites, there will be a lot of work to do for the city, Google and the community."

The San Jose City Council is due to vote on December 4 on this deal. The properties should be officially sold and the options officially registered in public registers by the end of the year. Some people in the city think that Google could submit proposals in 2019 regarding specific elements of the development of the site.

"Unlike many other cities in South Bay, San Jose does not have enough jobs for our very large resident population," said Friday City Manager San Jose David Sykes. . "This makes San Jose the most financially affected city in South Bay, resulting in long trips for residents. We appreciate the fact that a large company like Google is willing to invest in the city center and build partnerships to achieve the urban development goals of the Diridon station area. "

Among the remarkable properties that the city proposes to sell to Google, either directly or via subsequent sale options: several surface parking lots, a cocktail bar site, the city's fire training complex and, optionally, a future transaction, the large surface car parks adjacent to the SAP center.

Properties that would be purchased directly by Google would be transferred for a price of about $ 109.9 million, while the option that Google would get for SAP surface lots would be accompanied by a maximum price up to $ 111 million, according to Kim Walesh, Director of Economic Development, San Jose.

The price of $ 111 million should be eventually reduced because Google will likely be awarded a final amount due to the many environmental protection measures and insurance that the parking requirements for the Sharks of San Jose are satisfied with the location of the current surface car parks, Walesh. I said.

Some community groups have expressed concern about the impact of development on traffic, affordable housing, travel and gentrification.

"It's great that we've arrived here, but anxiety about the housing crisis will cause more people to do more stunts to advance their program," said Bob Staedler, senior director of Silicon Valley Synergy, a land use and planning program. Advice. "The city really has to come to a conclusion on broader mitigation elements."

This week, two non-profit groups, Working Partnerships USA and First Amendment Coalition, filed a lawsuit in a Santa Clara County Court that was targeting non-disclosure agreements signed by several local officials, including Liccardo. the framework of this project.

Some observers believe, however, that the development of Google Transit is precisely what San Jose needs to help him plan for thousands of well-paying jobs near a station that already has light rail , Amtrak, Caltrain, Capitol, Capitol Corridor, the future should have a BART stop.

"Instead of creating jobs in another state or another country, Google not only wants to invest in downtown San Jose, but pays the full market value of that land, has never sought a single deal or a tax relief, and is committed to working with the mayor and the government. Advice on additional benefits for our community too, "said Carl Guardino, president of the Silicon Valley Leadership Group.

In addition, Google, based in Mountain View, and the city, have also launched a process to engage the residents of San Jose.

"We are looking forward to the December 4th City Council meeting, where we will continue our open dialogue with the community and the city," said Javier Gonzalez, Google's Public Affairs Officer. "Google is committed to paying the city of San Jose a fair market value for public land and providing community benefits as part of our development project."

This engagement process has involved numerous public meetings and public meetings, blogs, public memos and town meetings, City officials said.

"Because it's Google and we realize that everyone says it's going to make a difference for San Jose, we've done everything in our power to promote inclusion and set up of a public process, "said councilman Lan Diep. "San Jose is about to turn the corner and Google is somehow the main anchor company that will make things happen."