Mayor: Housing Plan for Former Hospital Deficient

Mayor Gavin Newsom weighed-in on the side of Richmond residents in their battle with the Presidio Trust over a large housing development the Trust wants to build at the site of the former Public Health Service Hospital by calling the project's environmental study a deeply-flawed document.

Newsom's message came in a scathing 13-page analysis of the Trust's environmental study for the impacts a large housing project would have on a 42-acre parkland site and the adjacent Lake Street neighborhood that was sent to Trust officials last month. In a letter, the mayor said he was concerned the project would negatively impact the neighborhood and require the City to provide additional services it could not afford, including a new fire station.

Craig Middleton, executive director of the Presidio Trust, said he agrees that the document lacks information and that he intends to work with the City to find answers.

"This letter carries a lot of weight. We are going to address their concerns in a final document," Middleton said.

Tension between the community and the Trust erupted after Trust officials signaled their preference to build a 350-unit housing complex, the largest of four plans under consideration.

Although the Trust continues to say no decision has been made on the size of the project, neighbors have repeatedly called for the project to be scaled back to 200 units and for the construction of a dedicated road to the site from Park Presidio Boulevard to spare the neighborhood from excessive traffic the project is expected to generate.

New Intersection Could Cost Millions

The new intersection is a source of concern to Trust officials, who will learn in mid-December whether Caltrans will grant their request for a new entrance.

In documents sent to Caltrans last month, the Trust asked for nine exemptions, which, if denied, could add millions of dollars in costs to the bottom line of the project.

Nidal Tuqan, regional project manager at Caltrans, agreed that the cost of the project would increase without the exemptions.

"Costs can be impacted by the design. If certain design exemptions are not approved, then it could add millions to the cost of the project," Tuqan said.

The project will likely remain on-hold for the immediate future because the Trust is still waiting for cost estimates from Forest City Development Company, the developer chosen to build the project.

The developer has had some setbacks on the $410 million Bloomingdale project that recently broke ground after five years of delays. Costly lawsuits filed by preservationists, the dot-com bust, recession and charges of cronyism between Forest City and then-Mayor Willie Brown contributed to the delays and may have added to the project's bottom line.

- Carol Dimmick