With the ARRA set to re-hear discussion on Alameda Point tonight, I figured I’d post this article I stumbled upon about a month ago. There’s a myth being created that the housing market is terrible (it is, that’s not the myth, though Alameda is so far holding up well) and therefore we should be looking at commercial/industrial as the way forward, but things aren’t any better in that regard (and the recent daily announcements about massive layoffs aren’t going to help it get stronger.Tonight is the night for the council to start to give actual input and direction as a body, not just ask questions for future discussion, but actually start lending support to something. The master plan will be submitted on Dec. 19th, lets not waste people’s time (and I mean the council’s time as well) pretending to support plans that have no chance of garnering support. Clarity is called for, tonight should be the beginning of that call.
I’ll maintain that we need to be working on a plan for what we want, not what the market of today (or next year, or in five years) can bear. At the end of the process we are in now, we should have a plan so that whatever happens with SunCal (they declared bankruptcy at Oak Knoll yesterday (link via The Island Blog), of course it was financed by Lehman Bros. so it’s not a huge surprise), we have a roadmap for moving forward that we can act on when the market will support action.
Speaking specifically about the industrial market, Moghadam said net absorption for the industrial market nationally was negative to the tune of eight million sf in the third quarter. “Ironically, this was the best quarter of the year,” he said.