Google Land Deal Approved During Raucous Meeting

SAN JOSE, CA -- In a tumultuous meeting almost topping half a day and ending after midnight, the City Council finally approved the proposed land sale deal with Google amounting to about $110 million in developing six parcels near the Diridon transit station near downtown San Jose.

The unanimous vote includes option agreements, the land deal and a memorandum of understanding, which seeks to aid exploring what the search engine giant based in Mountain View will construct on the site.

The vote on the mega campus that supporters claim did not come easy and without controversy.

More than 100 speakers voiced concern, support and opposition to the tech giant's future in the city. From 2:30 p.m. to 8 p.m., Mayor Sam Liccardo called speakers to the podium in advance of the City Council's deliberation.

Longtime residents, small business owners, students, teachers, parents and activists voiced distinctly different perceptions of the "Google Effect," or what would happen after the business set up shop in the center of the city. Many said its presence would amplify gentrification, clog traffic and spike high rent prices in a city already in the depths of a housing crisis.

For others, Google's mega-campus would bring a revitalized downtown to the "bedroom community" and create beneficial partnerships through a community benefits agreement.

But their support has been drowned out by about 40 people who staged a hunger strike beginning Sunday in opposition to the sale, and over the course of the meeting, several audience
members were removed from the meeting for clapping, booing or protesting during a heated, emotional session of public comment.

"We have an affordable housing crisis regardless of whether Google decides to purchase land here or not," Liccardo said at the close of public comment, beginning council discussions shortly after 8 p.m. "In the meantime, we have to build a lot more housing. It has nothing to do with Google, it has to do with the people who are here."

The city contends five of the six parcels are required to be sold now for economic development purposes anyway as part of the dissolution of redevelopment agencies statewide in 2011. The land consists of parking lots, a few industrial buildings and an nearly obsolete fire training facility, which is due to be moved.

Many options are floating around regarding what Google will build on the land. In addition to a likely office complex to house workers, other mixed-use projects have been discussed ranging from housing and retail to public plazas and parks on the west side of downtown San Jose.
Subscribe
The city has insisted Google construct a quarter of the property with affordable housing and rent-restrictive units to combat the ever-increasing housing problems. The median price for a home in the area numbers about the same as the population at $1.1 million.

Housing and what to do about it appears to be the hot-button issue when it comes to dissent and disgruntlement among the city's naysayers.

But those in favor of the Google land deal contend the search engine giant is not to blame for the housing issue and won't make it worse. Further, Liccardo reported 68 percent of San Jose residents support a Google-built transit village to surround the Diridon station.

The South Bay has produced six times as many jobs as housing units. With the Google complex, the city not only expects to provide no subsidy to the company but also anticipates the firm will foot the bill for costly infrastructure such as water, sewer and road improvements.

Still, despite the appearance of a win-win between city government and its citizens, the proposal has not been well-received by everyone. The First Amendment Coalition, in conjunction with Working Partnerships USA, has sued the city in Santa Clara County Superior Court over disclosure of "secret details" of its negotiations to sell the public land. The accusation is one the city flatly denies.

The Silicon Valley business community has come out as a staunch supporter of the project, many in groups that showed up for the marathon meeting.

Silicon Valley Organization President Matt Mahood told Patch right before heading to the meeting that the proposal should be "the envy of other jurisdictions." He calls the dissent a cross between "creative, social activism" and "NIMBYism," the latter standing for "Not in my back yard."

As for other tech giants' plans to build in other places, Mahood was referring to Amazon's quest for another corporate site that sent some cities into a frenzied bidding war to have the successful company consider it as its next site.

The Los Gatos resident contends Google's request to build another eight million square feet of office space will do more than give high tech staffers a place to work. The spillover into the neighborhood commercial opportunities is great and creates a vibrant core where those workers can spend money.

"What I would argue is what's the alternative?" he told Patch Tuesday. "Without successful business, communities cannot thrive. Look at Pittsburgh and the coal state towns."

Mahood's sentiment was joined by the Silicon Valley Leadership Group Vice President of Transportation, Housing & Community Development Jason Baker.

Baker also insists many cities would clamor to have Google approach them with their construction ideas. He also noted how the $237.50 per square foot is more than a fair market value for the company to pay. As a community development guru, Baker also points to the proximity of the proposal as one of its shining attributes.

--Image courtesy of city of San Jose; Bay City News contributed to this report