presentations. amazing presentations on the grand silos and we are honored to be with you for this project. i represent a team, the port is represented today by myself, jonathan stern and byron and city council john sack and mike martin and civil lot 337 associates, jack bear and ron nolts. again, quickly to bring you up to speed. this is what you have seen before. it should be familiar. it a points 1.7

million square foot of open office space and approximately 2000 square foot of retail space. as you have heard in the press yourself an announcement has been made about the first tenant for the project anchor brewing and we are excited about that potential and what it means for the project in terms of phasing for pier 38 and a good match for the city. infrastructure in the project is phased over time and privately funded and publically owned and paid for with the unique financing mechanism and we have shared with you in previous presentation. as part of an overview, port revenues, one of our endeavors is to

increase the ports land value return for the site to recognize it's true asset value and take that forward over time to benefit the port as a whole. we do that through participation rent and through other structures you will see in a future slide and of course our project risks we've talked about those with you as well. we believe we've done due diligence to share those risk and also down side protection to the port going forward. again, a slide you have seen before, a land use summary that shows a flexible approach which i will go into some detail in a moment and this shows a general location of the open spaces and shows the fine grain nature of the site as opposed to the mission bay of the site to the water, both on the north

side and to the east and centralizes the parking to the site and across the channel in the southwestern corner of the side of the parcel d . a little bit on phasing and how we plan and proceed with different aspects on the project. this is a proposal that really takes advantage and recognizes the proximity of existing infrastructure and 3rd street. 3rd street for point of reference is right here is more or less full of city utilities from sewer and power and other necessary utilities for a development this size. again looking at feasibility for the project and planning out a performance that makes sense takes advantage of proper utility and cost upfront which

has been a view from the beginning. however depending on market demand and actual uses we see come to fruition that could change. there has been interest in the parcels for interest along the park at the north edge of the project which will celebrate that component and alter the phasing. the important concept is we have to take bite size chunks to take from the structure and also take into account the facing. the port is aware of the benefits of open space for this site. generally to the community, to the region and particularly to this site as providing value to these parcels. we have proposal to

the extend possible for the general bond. the successful geo bonds that we have seen with the parks and rec's department. overview of where we've been starting 2007 through today 2013. and really coming up with the time to come up with a land use and what you are being asked to approve today. and to entitle the site to rezone it and go through the sequence project. the chart below shows the efficiency of waiting as long as possible to spend money on infrastructure so it's completed in concert with

adjacent with development. this is a 2 dimensional representation of the flexible zoning that we've been talking about. again the prime use is being residential and zoning commercial it's an approach to mash market demands, pin down uses for sure, blockade for instance is a residential location and optimal location at the water front and block d is for parking structure of this site and in this scenarios blocks b c and e for the other pads. not to compete the cap they mentioned 1.7 million for office space and additional units. looking at this graphically this is one scenario that shows

how this can look as far as mapping of the site and the parks and responds to things like shadows and sunlight exposed on the parks. we brought this and other mapping concept and we continue to bring this to the public for comment and information. i think you will see this is a site evolving. but we want to share with you this representation how to show the densing and creates a true destination on the water front. of course all this work will result in significant amount of jobs for san francisco and i stress san francisco because we are working as hard as we can to encourage a significant percentage of local hires and local workers for these jobs.

numbering approximately excess of over a thousand jobs. to these local enterprise points, the developer has met with the contract monitoring division formally known the human rights commission to discuss and create targets for the project as far as goals on the lde equal opportunity program and to date, those goals are in the 20 percent area for the overall project and a 10 percent which is about to start now which is the entitlement phase. and i think importantly the project's equal opportunity program, it

will have a permanent home to survive the project and memorialize it going forward. on march 8th and attached to the report that you have today is report of findings and feasibility. quickly on this slide i want to give you an overview of that. it lists importantly new on going revenues that the project will generate totaling $25 million per year. on top of that we anticipate 1 time development fees of approximately $60 million and the job has mentioned other benefits to the city and to the reasonable are parks and open space mentioned

pedestrian and bicycle path and water craft access for the area. the horizontal development is here to show the sources that will fund those cost of approximately $154 million and how those sources are paid for. you see developer equity contributing $100 million for two of our parse parcels on this site. beyond that proceeds contribute to the total sources. i will go into more detail on developer equity and developer return. this gives you a snapshot of the over all capital flows going into the project and also

you see at the beginning of this slide represents a time line of about 2030 and there is more detail on a future slide. you see the initially the equity investment is what's funding the early infrastructure. as the site is built out and you see a developer return off that. as i mentioned earlier the port's revenue for this site is a primary goal and we focus on base rent, for civil lot 337 and pier 48 component. the rent is also an important component and that is reflected on the next slide graphically. i hope you can make this out. it shows the whole project in total duration and shows projected

rents. for the blue that will continue to receive as parcels are taken down and taken into lease with their party and the base rent start to grow. pier 48 rent, participation rent on top of our base rent and the capital events occurring throughout the lifestyle of the project and parcels experience refinancing and participates in. >> and finally another item before you today is your approval of a second amendment to the exclusive negotiations agreement with the giants with the rock team. there are 3 main issues that we want to highlight for you for your consideration today. the first is the extension of the phase 1 work period in e n a which

expires march 15th. we need a little bit more time and we are suggesting we extend to august 15 to have adequate time to get to the board scheduling process and if there are other delays for the project we are asking for 2-6 months extensions upon payment of that fee. another item on the amendment that is here to consider today is the ports additional oversight in developers technique calling staff capacity. we believe these are important as we go forward. we have a budget in hand that makes sense that we checked and confirmed and confident at the predevelopment cost are accurate, but with the time extensions we are looking

at an unforeseen circumstances. we have want to be measures to give port oversight for additional budget expenditures in exchanges for developers team. and finally, the ena seeks to expand the site slightly almost from the beginning of our presentation from the site, the developer has envisioned expanding the site. one is parcel c 20 which is say sliver of property that is currently redevelopment open space parcel and taking this site and moving it to the interior allows better access to the south and opens access from the property from mission rock street. we have to work with the agency, with the redevelopment agency and state land to accomplish that

revision with your approval of course. and secondly channel plaza, approximately a half acre marginal wharf is proposed to be added to the sight to enhance it's site and value from public access and public viewing perspective. so today we are before with you this unique opportunity. we want to highlight that there has been sound due diligence done over since 2007 as described earlier. this is one of the best locations in san francisco and bay area throughout the west coast for development of this magnitude, of this caliber and quality. we also believe that with that development comes public benefits that are to be expected and the public benefits that we are looking at

and discussing are very high in quality and will bring visitors and locals to the water front of this location. next steps, following today's meeting should you approve the term sheet and e n a amendment we will present to the board for the board to endorse and following that endorsement we will begin the entitlement phase and includes state lands and the study that is required by fda 15 and the plan amendment. following that, port staff with your guidance over the next several months or longer, we'll negotiate the following documents for your approval after project

entitlement for the master lease and the form of the parcel lease for each type. that concludes my presentation. thank you very much. we are available if you have any questions. >> thank you. motion to approve? >> second. >> approved. >> if you have any questions. >> good afternoon commissioners, i will be brief. i'm a resident and homeowner and commonly known as the building called the glass works. i can here to come before to you voice my support on this project. the giants have been our neighbors, we are the giants neighbor, i have been president of our home

owners association. when ever quality of life issues have come up the giants are always very responsive and quick on it. i have also personally witnessed the amazing community participation the giants have demonstrated over the years. they have given back to not only the local community but the community at large throughout california. i cannot say enough what an amazing corporate citizen the giants have been. i support this, thank you. >> good afternoon, commissioners. my name is katie ladle. i have lived in south beach. i want to tell you what great neighbors the giants are. the great community builders. i'm the founder of the home

owners associations and they contacted us a while back to do a presentation. they very nicely stayed until after 8 to answer questions. i'm really excited because this project is pedestrian friendly and much smaller scale than the mission bay. it's very exciting. thank you. >> i live on rincon hill. i'm really excited about this. especially with no open space and no retail. that part of the project is really exciting to me. as i said the whole area

will definitely benefit. families, visitors, i think it's great. thank you. >> commissioners, building and construction trades council. we had to be a little bit everywhere today. at the public utilities commission in sacramento and i will have to be at the school board at 6:00. however, we thought it was important to be here on behalf of this project to tell how excited we are about it and to thank your staff for it's good work and urge your approval for this staff's work. thank you. >> hi, woods. we've been work wth giants for quite a few years on this project and as

neighbors to the ballpark, i want to echo what everybody else has said that they are great neighbors and have listened if not totally responded to some of our problems. i'm really glad to see in the staff report that you recognized the importance of early construction of the park, mission rock park, sorry, no, it's china basin park. we've been going back and forth on these. it is a really critical piece of this development and whether we have to go for geo bonds or grants, whatever, i think we'll be more than happy to get to whatever we need do to get this done early in the development because it will really add a tremendous amount. as i said at the last meeting, i think the

port really needs to look at the financial terms based on a publically acceptable level of height and density in this project. i know how desperately the port needs money, there is no question about that, but i think that i really would like you to look at reducing these maximum heights to a level that won't trigger what i'm seeing along the water front which is a super negative reaction to height. and i don't want to see this project stalled or fail because the community is unhappy about the heights that they are seeing. i would rather see a compromise that perhaps gives the ports less revenue, but that is achievable in the

neighborhood context. i also want to talk about this just in time infrastructure plan. having worked on the mission bay project now for many many years, it doesn't happen that fast. you have so many different agencies that have to approve infrastructure. just as one example, it's taken us two 26 -- two years. be careful. make sure that you understand the complications of any kind of infrastructure project in san francisco and you talk about hag having a maximum

contract. one of the things we discussed with the other constructions involved that a maximum term contract terms to result in value engineering. value engineering can really change your design. be very careful that you don't end up with something you really don't want to see because of these maximum value contracts. thank you. >> good afternoon. the committee's mission is to consider projects that are citywide significant and primarily based on urban design but other factors as well and it's a first step in pursuing

an endorsement. the giant came last year and presented the mission project to us. i'm not going into all of that because i think you have it. i hope your staff has it and transmitted it to you. by and large our comments are extremely positive. we think this is a great project and giants have developed a really strong vision to this site, we think this has a potential to be a world class project and really excited to see it starting to take shape. in our letter we also offer constructive criticism because we like to do that and we hope the giants will take those comments into consideration as well as they continue to move forward if their project continues to take shape. so all in all i think this is pretty exciting and there is going to be a really great mixed use

neighborhood, a truly mixed use neighborhood on this 16 acre sight that is a gaping hole mount fabric of street and we look forward for considering it for endorsement at the appropriate time. >> steve and then michael mcken a. >> good afternoon, my name is steve chloriteey. i'm the director for the membership development. we represent electrical workers in san francisco. i'm here to voice our support for the amendment between the port and the lot

337. not only will this project provide and secure jobs to construct workers in san francisco but will also provide permanent jobs for many people in all professions nr here in san francisco. thank you. >> my name is anthony , i'm in support for the project. i'm with the sheet metal, we design, fabricate, install, heating and cooling and ventilation systems and metal roofing. we have 600 plus members and in our union here

in san francisco which half qualify as locals. we support this project. this project will put many of our members to work. it will give apprenticeship opportunities and give locals a chance to earn wages and health care. this is a great project for this city. thank you. >> good afternoon, commissioners. my name is tony and i represent the painters in trade. we have several hundred workers here in san francisco area and we are in favor of the mission rock project. our workers live here and they also

spend their money here. project like this would be a great thing for our members. thank you. >> i have been a resident of south park. homeowner since 2002, my wife and i. the giants have been very good neighbors. there are bums and bruises along the way but when we have a problem we talk to them and they have been really good about it. i would like to thank the giants for their due diligence for the many years and for getting public comment well in advance unlike some more recent projects who haven't paid attention to that. i think the giants are to be