Mercury News
From the article:
OAKLAND -- In a surprising and possibly landmark deal for Bay Area development, a Chinese firm is reviving a $1.5 billion project that would transform 65 industrial acres south of Jack London Square into a new waterfront neighborhood.
Zarsion Holdings Group, a Beijing-based real estate and investment firm, is teaming up with Oakland-based Signature Development Group to build 3,100 homes, 200,000 square feet of shops, 30 acres of park space and a marina with 200 boat slips.
The partnership announced Wednesday by Gov. Jerry Brown during a ceremony at the U.S. Embassy in Beijing, is a huge boost to Oakland's already red-hot real estate market and a harbinger of increased Chinese investment in California real estate.
"The massive influx of Chinese investment will put thousands of Californians to work and dramatically improve Oakland's waterfront," Brown said.
Kevin Van Voorhis, a senior vice president with Colliers and a veteran in the commercial property purchases market, called it a "mega deal."
"This is one of the largest investments in Bay Area real estate that I've heard of by a Chinese investor," he said. The project, known for years as Oak-to-Ninth but now dubbed Brooklyn Basin, never got off the ground after the City Council approved it over significant community opposition in 2006.
The financial collapse killed demand for new housing. When the market picked up, domestic banks still were hesitant to provided needed capital to get the project moving, Signature Senior Vice President Paul Nieto said.