The Alameda City Council voted in April to award Catellus Development Group and Lennar Urban the rights to develop a 700- acre former naval station known as Alameda Point. The two developers are partnering to buy the land for $108.5 million and create a mix of residential and commercial buildings. Alameda, an island of about 75,000 residents, is located a few miles south of Oakland.

“There’s a housing crunch throughout the Bay Area,” says Lisa Goldman, deputy city manager.

The city envisions construction of up to 1,800 single-family homes on the Alameda property. No plans have been drafted for Alameda Point, but the two developers say green building will be an important aspect of the proposed designs. Both have experience with the U.S. Green Building Council’s LEED (Leadership in Energy and Environmental Design) certification, and Lennar Urban has committed to using solar energy in all of its new Bay Area residential developments.

Lennar Urban is also leading another Bay Area redevelopment project, Treasure Island, which draws more than 50 percent of its energy from renewable sources [see “Rescue at Treasure Island,” SIJ, March 2006].

The decision ends a several-year effort to find a developer for Alameda Point. A community partnership was selected to buy the land in 2005, but ultimately withdrew, citing a softening housing market. The search reopened last October. SunCal Companies, the third remaining candidate, was not selected for the final partnership.

Residential development at Alameda Point must comply with the city’s low-density ordinance, Measure A, which bans anything but single-family homes and duplexes.

The two companies have until July to negotiate a development plan with the city.