Title
Subject: Billboard Relocation Agreement
From: Community and Economic Development Agency
Recommendation: Adopt an Agency Resolution authorizing the Redevelopment Agency to enter into a Billboard Relocation Agreement with Clear Channel Outdoor Advertising Signs to waive their rights to compensation, including all real property and personal property interests associate for six Billboards located at 1998 and 1972 San Pablo Avenue, 605 Thomas Berkeley Way (20TH Street) and 1975 Telegraph Avenue in the Central District Urban Renewal Area and two double faced billboard structures containing four outdoor advertising signs located at 1414 73rd Avenue, in exchange for the relocation and reconstruction of a prior Billboard along Hegenburger Road in the Coliseum Redevelopment Area
Body
,@%CE OF -HE CiTY CLERK
CITY OF OAKLA :- ' '. L @ ND
Agenda Report 2003 JUL -3 AM 12: 33
TO: Office of the Agency Administrator
ATTN: Robert C. Bobb
FROM: Community and Economic Development Agency
DATE: July 15, 2003
RE: AGENCY RESOLUTION AND CITY RESOLUTION AUTHORIZING
THE CITY TO ENTER INTO A BILLBOARD
RELOCATION AGREEMENT WITH CLEAR CHANNEL OUTDOOR
ADVERTISING SIGNS TO WAIVE THEIR RIGHTS TO
COMPENSATION, INCLUDING ALL REAL PROPERTY AND
PERSONAL PROPERTY INTERESTS FOR SIX BILLBOARDS
LOCATED AT 1998 AND 1972 SAN PABLO AVENUE, 605 THOMAS
BERKLEY WAY (20TH STREET) AND 1975 TELEGRAPH AVENUE IN
THE CENTRAL DISTRICT URBAN RENEWAL AREA, IN EXCHANGE
FOR THE RELOCATION AND RECONSTRUCTION OF A
PRIOR BILLBOARD ALONG HEGENBERGER ROAD IN THE
COLISEUM REDEVELOPMENT AREA
SUMMARY
The Redevelopment Agency's (Agency) acquisition of the six billboards located at 1998 and
1972 San Pablo Avenue, 605 Thomas Berkley Way (20th Street) and 1975 Telegraph Avenue
from Clear Channel Outdoor Advertising Signs (ClearChannel) is required to obtain all the
necessary property rights for land banking purposes in connection with the Central District
Urban Renewal Plan. The Agency has previously acquired numerous properties and various
property interests for development in the Uptown area. The acquisition of these six property
interests is consistent with the Agency's overall objective of ownership and control in the
Uptown area in order to provide a future developer with site control at the earliest possible time.
The proposed Billboard Relocation Agreement would permit ClearChannel to relocate and
reconstruct a prior two-sided advertising sign located in the Union Pacific Rail Road (UPRR)
right-of-way adjacent to Hegenberger Road in East Oakland in exchange for waiving their rights
to compensation, including all real property and personal property interests, thereby eliminating
six existing legal, non-conforming advertising signs in the Uptown area of Oakland. (See Exhibit
A). UPRR's addition of a new third railroad track in their existing Right of Way requires
ClearChannel to relocate an existing advertising sign approximately 20 feet to the west of its
previous location in order to accommodate the track expansion (See Exhibit B). The proposed
Billboard Relocation Agreement complies with existing City regulations that permit relocated
and wholly reconstructed advertising signs pursuant to a Billboard Relocation Agreement.
Item#: 07 7
City Council/ORA
July 15, 2003
Robert C. Bobb Page 2
July 15, 2003
Staff recommends adoption of these Resolutions that authorizes the City and the Oakland
Redevelopment Agency to enter into a Billboard Relocation Agreement with Clear Channel
Outdoor Advertising Signs to waive their rights to compensation, including all real property and
personal property interests for six Billboards located at 1998 and 1972 San Pablo Avenue, 605
Thomas Berkley Way (20th Street) and 1975 Telegraph Avenue in the Central District Urban
Renewal Area, in exchange for the relocation and reconstruction of a prior same size Billboard
along Hegenberger Road in the Coliseum Redevelopment Area. Adoption of this Resolution
satisfies Mayor and City Council Priority Goal #2 (Develop a Sustainable City) and Goal #3
(Improve Oakland Neighborhoods).
FISCAL IMPACTS
The proposed Billboard Relocation Agreement would not result in any direct fiscal impacts,
since ClearChannel would be waiving their rights to compensation, including all real property
and personal property interests for the six Billboards, which will result in a substantial saving in
the potential acquisition of those property interests. The City would lose a negligible amount of
General Purpose Fund revenue from foregone property tax when the six Billboards are
removed but that the ORA would gain in lease revenues until that occurs.
The Redevelopment Agency currently has fee title and ownership of three of the Billboard
properties, the remaining three Billboard properties will need to be acquired as part of the
Agency's overall objective of ownership and control in the Uptown area. The ftinding for the
remaining fee acquisitions is available from the Central District Capital Budget, Uptown Project
(Fund 9516, Org. 94800, Project P221530).
BACKGROUND
The Agency has previously acquired numerous properties and various property interests for
development in the Uptown area. The acquisition of these six property interests is consistent
with the Agency's overall objective of ownership and control in the Uptown area in order to
provide a future developer with site control. The potential financial expense to the Agency would
be significantly higher if these property interests were to be purchased out right or acquired
through a condemnation proceeding. Therefore, it is in the Agency's best interest to enter into
the proposed Billboard Relocation Agreement, since ClearCharmel would be waiving their fights
to compensation, including all real property and personal property interests for the six
Billboards, and acquire the property interests through a mutually acceptable acquisition
agreement.
Currently, the Planning Code, with few exceptions, prohibits the construction of new advertising
signs in Oakland. However, advertising signs are permitted subject to Relocation Agreements.
The City's General Plan policy calls for a reduction of advertising signs throughout Oakland. In
addition, the legislation further restricts advertising signs pertaining to alcohol and tobacco
products within certain General Plan land use categories (specifically, Business Mix, General
Industrial/Transportation, Mixed Use Waterfront, and Regional Commercial).
Item#: o@ 7
City Council/ORA
July 15, 2003
Robert C. Bobb Page 3
July 15, 2003
In July 2002, the City adopted an Ordinance to amend the Oakland Municipal Code (OMC) to
permit relocated and wholly reconstructed advertising signs pursuant to Relocation Agreements.
The amendments to the OMC provide flexibility in changing circumstances while still
maintaining strict controls over placement of advertising signs. For example, the relocation and
reconstruction of the advertising sign located near Hegenberger Road would not in-and-of-itself
reduce advertising signage. However, by agreeing to allow the sign relocation in exchange for
waiving their fights to compensation and the ultimate removal of these six advertising signs
would effectively result in a net decrease in advertising signagc and a substantial savings to the
Agency.
KEY ISSUES AND IMPACTS
Site control is one of the key impediments in the implementation of future redevelopment in the
Uptown area. Time is of the essence; the acquisition of this property will add one more parcel to
the Agency owned properties in the Uptown area. Since this is a friendly acquisition, the
Agency will also save resources by avoiding potentially expensive and costly litigation with
ClearChannel.
SUSTAINABLE OPPORTUNITIES
Economic: The acquisition of these property interests will ultimately contribute to a
redevelopment infill project, which will take blighted and underutilized sites
and turn them into a large-scale housing and mixed-use project which will
contribute to job creation and increased tax revenue for the City. The
completion of the project will create a large residential community in the
downtown area, which will in turn increase retail spending in the area.
Environmental: The excellent location of the Uptown area in proximity to major public
transportation nodes will likely encourage use of BART and AC Transit by
project residents and retail customers, which will ease general pressure on the
region's congested transportation infrastructure. Lastly, the development of a
large, mixed-use project in the area will be required to incorporate green
building techniques into design and construction.
Social Equity: The Agency will also require that any housing development in the Uptown
area provide at least 20 percent affordable housing. This requirement is
designed to attract a socio-economically diverse population to the downtown.
DISABILITIES AND SENIOR CITIZEN ACCESS
Approval of this Resolution will have no direct impact on disabled and senior citizen access.
However, when the property is redeveloped, public improvements will be required through both
state and local provisions that will ensure equal access, such as sidewalks and parking spaces for
disabled citizens and senior citizens.
Item#:a7
City Council/0RA
July 15, 2003
Robert C. Bobb Page 4
July 15, 2003
ACTION REQUESTED OF THE CITY COUNCIL
Staff recommends adoption of these Resolutions that authorizes the City and the Oakland
Redevelopment Agency to enter into a Billboard Relocation Agreement with Clear Channel
Outdoor Advertising Signs to waive their rights to compensation, including all real property and
personal property interests for six Billboards located at 1998 and 1972 San Pablo Avenue, 605
Thomas Berkley Way (20'h Street) and 1975 Telegraph Avenue in the Central District Urban
Renewal Area, in exchange for the relocation and reconstruction of a prior same size Billboard
along Hegenberger Road in the Coliseum Redevelopment Area.
Respectfully submitted,
RqZERT/C. BOBB
Agency Administrator for the
Community and Economic Development Agency
APPROVED FOR FORWARDING TO THE
REDEVELOPMENT AGENCY
Prepared by:
Frank Fanelli, Manager
Real Estate Services
Catherine Payne, Major Projects Unit
Planning and Zoning Division
Item#:
City Council/ORA
July 15, 2003
Exhibit A
Clear Channel Billboards - Central District Urban Renewal
Number Location Parcel Owner Company Size
2277 1972 San Pablo Schwyhart Clearchannel I 5' sf
2278 605 20th Street CEI Clearchannel 12' X 25'sf
7260 605 20th Street CEI Clearchannel 6'X 12'sf
Sign has no number 1998 San Pablo ORA Glearchannel 10.5'X 36'sf
2280 1975 Telegraph ORA Clearchannel 12' X 25' sf
1975 t@@graph ORA
2279 T Clearchannel 12' X 25'sf
A
Exhibit B
Al
232'0@ 61 PI. S
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OFFICE OF CLERP
REDEVELOPMENT AGENCY
2003 JUL - 3 AM 12: 3 2 OF THE CITY OF OAKLAND
RESOLUTION No. C.M.S.
INTRODUCED BY COUNCILMEMBER
RESOLUTION AUTHORIZING THE REDEVELOPMENT AGENCY TO ENTER INTO
A BILLBOARD RELOCATION AGREEMENT WITH CLEAR CHANNEL OUTDOOR
ADVERTISING SIGNS TO WAIVE THEIR RIGHTS TO COMPENSATION,
INCLUDING ALL REAL PROPERTY AND PERSONAL PROPERTY INTERESTS
FOR SIX BILLBOARDS LOCATED AT 1998 AND 1972 SAN PABLO AVENUE, 605
THOMAS BERKLEY WAY (20TH STREET) AND 1975 TELEGRAPH AVENUE IN THE
CENTRAL DISTRICT URBAN RENEWAL AREA, IN EXCHANGE FOR THE
RELOCATION AND RECONSTRUCTION OF A PRIOR BILLBOARD ALONG
REGENBERGER ROAD IN THE COLISEUM REDEVELOPMENT AREA
WHEREAS, the Redevelopment Agency's (Agency) acquisition of the six billboards
located at 1998 and 1972 San Pablo Avenue, 605 Thomas Berkley Way (20 1h Street) and 1975
Telegraph Avenue from Clear Channel Outdoor Advertising Signs (Clear Channel) is required to
obtain all the necessary property rights for land banking purposes in connection with the Central
District Urban Renewal Plan; and
WHEREAS, the acquisition of these six property interests is consistent with the
Agency's overall objective of ownership and control in the Uptown area in order to provide a
developer with site control at the earliest possible time; and
WHEREAS, the proposed Billboard Relocation Agreement would permit Clear Channel
to relocate and reconstruct a prior two-sided advertising sign located in the Union Pacific Rail
Road (UPRR) right-of-way adjacent to Hegenberger Road in East Oakland; and
WHEREAS, Clear Channel would waive their rights to compensation including all real
property and personal property interests, thereby eliminating the six existing legal, non-
conforming advertising signs in the Uptown area of Oakland; and
WHEREAS, the proposed Billboard Relocation Agreement complies with existing City
regulations that permit relocated and wholly reconstructed advertising signs pursuant to a
Billboard Relocation Agreement; and
WHEREAS, the proposed Billboard Relocation Agreement would not result in any
direct fiscal impacts, since Clear Channel would be waiving their rights to compensation,
including all real property and personal property interests for the six Billboards, which will result
in a substantial saving in the potential acquisition of those property interests; and 6P 7. / ORA
ANTyr
WMREAS, approval of this Resolution will save the Agency valuable resources by
avoiding potentially expensive and costly litigation in the implementation of the Uptown
Redevelopment Area; now therefore be it
RESOLVED: That the Oakland Redevelopment Agency authorizes the Agency
Administrator or his designee to enter into a Billboard Relocation Agreement with Clear Channel
Outdoor Advertising Signs to waive their rights to compensation, including all real property and
personal property for six Billboards located at 1999 and 1972 San Pablo Avenue, 605 Thomas
Berkley Way (20'h Street) and 1975 Telegraph Avenue for the relocation and reconstruction of a
prior Billboard along Hegenberger Road in the Coliseum Redevelopment Area; and be it
FURTHER RESOLVED: That the Agency Administrator or his designee is authorized
to complete all required negotiations regarding the terms of, and to execute, a Billboard
Relocation Agreement with Clear Channel Advertising Signs in accordance with the intent of
this Resolution; and be it;
FURTHER RESOLVED: That the Agency Attomey shall approve the Billboard
Relocation AgreemeDt as to form and legality.
IN AGENCY, OAKLAND, CALIFORNIA PASSED BY THE FOLLOWING VOTE:
AYES- BROOKS, BRUNNER, CHANG, NADEL, REID, QUAN, WAN, AND
CHAIRPERSON DE LA FUENTE
NOES-
ABSENT-
ABSTENTION-
ATTEST:
CEDA FLOYD
Secretary to the Redevelopment Agency
of the City of Oakland, California
C2-7.10k&
ORA/CoUNCII
JUL I 5 2003