{"id":2854,"date":"2026-06-23T11:38:00","date_gmt":"2026-06-23T11:38:00","guid":{"rendered":"https:\/\/nextcitydigest.com\/?p=2854"},"modified":"2026-06-23T11:38:00","modified_gmt":"2026-06-23T11:38:00","slug":"legal-standoff-blocking-progress-on-san-leandro-marina-redevelopment","status":"publish","type":"post","link":"https:\/\/nextcitydigest.com\/?p=2854","title":{"rendered":"Legal standoff blocking progress on San Leandro Marina redevelopment"},"content":{"rendered":"<div>\n<div>\n<p>The redevelopment of San Leandro Marina is caught in a legal deadlock, delaying plans to bring hundreds of new affordable homes, a hotel, and community upgrades to the waterfront property.<\/p>\n<p>Read more <a href=\"https:\/\/nextcitydigest.com\/?p=2852\">\u2018San Jose gave us a chance to rebuild, America gave us a chance to live free\u2019: Stolen monument stirs emotions in Vietnamese community<\/a><\/p>\n<p>At issue is a golf course.<\/p>\n<p>The developer, Cal Coast, claims the city\u2019s bureaucratic bottleneck delayed permits to redesign the site, leading to the collapse of a $68 million real estate deal. The city, meanwhile, demands Cal Coast pay its $24.9 million debt to the city and relinquish ownership.<\/p>\n<p>\u201cI\u2019ve never been strong armed in all these years in dealing with major cities across the country like this,\u201d Ed Miller, CEO of Cal Coast, said. \u201cThe city has used this golf course to delay the processing. They continue to use it. This is blatant.\u201d<\/p>\n<p>Cal Coast\u2019s most recent bankruptcy court filing represents an ultimatum.<\/p>\n<p>If the city approves the golf course plan, Cal Coast will pay back the city\u2019s loan within a year. But if the city moves ahead with selling the property, then Cal Coast will use bankruptcy rules to withhold payment for up to five years and simultaneously force the city to restart the development process from square one.<\/p>\n<p>The city refused to comment on active litigation.<\/p>\n<p>In 2012, the city of San Leandro entered into an exclusive negotiating agreement with Cal Coast to redevelop the 75-acre waterfront.<\/p>\n<div>\n<\/div>\n<p>In June 2022, the city and Cal Coast agreed to a formal development plan to build 144 single-family homes, 62 townhomes, a hotel, and to replace and upgrade the existing 9-hole golf course. Cal Coast, in return, would secure the necessary permits to redevelop the area, then flip the newly entitled land to a major homebuilder.<\/p>\n<p>Cal Coast transferred the property to an affiliate, Monarch Bay For Sale LLC, a legally separate entity from Cal Coast, on Dec. 20, 2022. Monarch Bay then paid $5.2 million to San Leandro on Dec. 22, 2022, and executed a $24.9 million promissory note \u2013 a city loan functioning as a corporate I.O.U. \u2013 to complete the purchase.<\/p>\n<p>The city\u2019s loan was originally to be paid off in six months, but could be extended up to two years, according to court documents.<\/p>\n<p>A few months into the project, the city\u2019s senior engineering staff stated they lacked the internal \u201cmanpower\u201d to process voluminous permit applications. And by June 2023, Cal Coast was already falling behind schedule, according to court documents.<\/p>\n<div>\n<\/div>\n<p>Cal Coast notified the city that it had not received approval for several \u201ccritical\u201d permits and requested the city provide an extension \u201cuntil such time the city processed and approved the necessary permits,\u201d according to court documents.<\/p>\n<p>\u201cWe were virtually told that if (city staff) worked seven days a week and never took a vacation, they couldn\u2019t keep up with the amount of work necessary to provide the information to our consultants to even develop plans,\u201d Miller said \u201cForget about getting into plan check, we\u2019re just talking about developing plans.\u201d<\/p>\n<p>San Leandro did not provide an extension, however, and recorded Cal Coast\u2019s first default payment on the loan in February 2024. At the same time, the city began to pressure Cal Coast to re-zone the golf course for another 500 homes, a deviation from the original development, Miller said.<\/p>\n<p>Enter Craig Bettencourt, a senior adviser to the city on the project, who met privately with Miller on March 6, 2024, to discuss how to move forward. According to Miller\u2019s notes from the meeting, Bettencourt said Cal Coast had moved too slowly on the development, but if \u201cwe can get on the same page,\u201d he could work with the city to provide an extension.<\/p>\n<p>Read more <a href=\"https:\/\/nextcitydigest.com\/?p=2849\">Walters: Single-payer health care in California is possible. An economic and political thicket stands in way.<\/a><\/p>\n<p>Miller said he would not accommodate the request.<\/p>\n<p>\u201cAt some point in time, they decided they didn\u2019t want to build a golf course,\u201d Miller said. \u201cBut they didn\u2019t decide to talk to the developer who had already done this work.\u201d<\/p>\n<p>The city hired an outside engineering firm in April 2024 to help process the redevelopment permits \u2014 just a month before the May 22, 2024, foreclosure date and a public auction scheduled for June 21, 2024, according to court documents.<\/p>\n<p>Left without time or alternatives, Cal Coast\u2019s affiliate Monarch Bay For Sale LLC declared bankruptcy on June 20, 2024, to halt the foreclosure sale, according to court documents.<\/p>\n<p>Meanwhile, Cal Coast continued to pursue a real estate deal with Century Communities of California, one of the nation\u2019s largest homebuilders.<\/p>\n<p>In January 2024, Cal Coast simultaneously executed a letter of intent to sell the property to Century Communities of California for $68 million and submitted its site plan to remodel the critical golf course element in January 2025, according to city documents. But a condition of the real estate deal hinged on the city\u2019s approval of the golf course.<\/p>\n<p>After six months, Cal Coast was nowhere close to a public hearing required to move forward. It hadn\u2019t even been scheduled.<\/p>\n<p>\u201cAll we were asking for was that meeting. I can\u2019t call a public hearing, only the city can. And the city basically continued to slow roll us,\u201d Miller said. \u201cWhy are you delaying this?\u201d<\/p>\n<p>By December 2025, Century Communities of California, citing the uncertainty caused by the city\u2019s failure to approve the golf course layoff, officially terminated its $68 million purchasing agreement. Court documents state that Century Communities of California maintains interest in the site if the golf course should gain approval.<\/p>\n<p>The case now heads to bankruptcy court in Los Angeles on July 29 where a judge will determine whether to accept Cal Coast\u2019s bankruptcy restructuring plan.<\/p>\n<p>The city of San Leandro has set a public hearing for July 30 to review the golf course.<\/p>\n<p>Miller emphasized that he did not want to pursue bankruptcy, but he was not ready to drop the project after more than a decade of effort.<\/p>\n<p>\u201cA couple months ago I was in front of the City Council and I said, \u2018I\u2019ve been in front of 35 councilmembers, four mayors, and five city managers. And the only thing that\u2019s consistent with all that is we\u2019re here,\u201d Miller said. \u201cWe don\u2019t want any of this bankruptcy. They forced us to do it because they want to take the value we have created.\u201d<\/p>\n<p>Read more <a href=\"https:\/\/nextcitydigest.com\/?p=2847\">Horoscopes June 23, 2026: Melissa Rauch, be precise to eliminate confusion<\/a><\/p>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>The redevelopment of the San Leandro Marina has been halted as the city and developer are at a legal standoff over a golf course.<\/p>\n","protected":false},"author":1,"featured_media":2853,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-2854","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.6 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Legal standoff blocking progress on San Leandro Marina redevelopment - Next City Digest<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/nextcitydigest.com\/?p=2854\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Legal standoff blocking progress on San Leandro Marina redevelopment - 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