Enterprise District – Alameda Point Environmental Report

More cutting edge green energy research and development may be coming to Alameda Point. A startup company called Pacific Fusion was formed in 2023 with the goal of commercializing new energy production technology. The company wants to purchase property at Alameda Point to research, develop and build their demonstration fusion energy machine.

Unlike conventional nuclear power, fusion energy technology seeks to fuse together atoms, rather than split them. The energy is considered a clean, safe, and affordable form of nuclear power that would revolutionize energy production. It has been only in the last two years that U.S. Department of Energy research labs have finally proven on their equipment that fusion energy is possible.

A new state law that took effect in January 2020 has stymied the City’s plan for commercial development on a plot of land at Alameda Point. Assembly Bill No. 1486 requires cities, counties, special districts, and the state to first offer any and all “surplus” land to affordable housing developers before it can be leased for more than one year or sold. This legislation amended the Surplus Lands Act and, unbeknownst to the city when they supported the bill, swept in former military bases.

The city had received proposals from 10 commercial developers as a result of its marketing campaign in 2019. Each applicant was willing to pay at least the minimum listing price of $36.5 million for 22 acres in the Enterprise District and provide a construction timeline. The acreage is within the larger commercial and light industrial zone adjacent to Main Street, and includes the self-storage facilities. This new law meant that the City was unable to proceed with the selection process.

“It’s ironic,” said Nanette Mocanu, Assistant Director of Base Reuse & Community Development. “The City is a proponent for affordable housing and supported this legislation. We and many other communities were caught off guard when the legislation was applied to leasing and base reuse properties,” said Mocanu. “Cities across the state are working to find solutions to the unintended consequences of this legislation.”