The City of Oakland has reached an agreement to sell its share of the Oakland Coliseum complex to the African American Sports and Entertainment Group (AASEG), with the site set to undergo major redevelopment.
The complex includes the Coliseum ballpark, the current home of Major League Baseball’s Oakland Athletics. The A’s will depart the stadium at the end of the season and will spend two years in Sacramento before moving into a new 33,000-seat ballpark in Las Vegas.
The site also includes the Oakland Arena, the former home of the NBA’s Golden State Warriors, who relocated to San Francisco in 2019.
AASEG has agreed to purchase Oakland’s share for a minimum of $105m (£82.6m/€96.9m), with the deal set to pave the way for future development of thousands of new units of affordable housing, increased outdoor space, and the preservation of the Oakland Arena.
AASEG has pledged to engage with East Oakland residents to develop a strong community benefits agreement. This commitment has been supported by representatives from the Black Cultural Zone, who emphasised the potential to create jobs and foster economic growth.
The City of Oakland entered into an exclusive negotiating agreement with AASEG for its 50% stake in the complex in February 2023. AASEG is an African American-founded, Oakland-based group focused on creating economic opportunity for East Oakland.
AASEG’s proposal included bringing a WNBA women’s basketball franchise to Oakland, along with other sports and entertainment projects. The complex sits on a 200-acre site, making the deal the largest transfer of public land to African Americans in Oakland’s 172-year history.
Oakland Mayor Sheng Thao said: “The City of Oakland is committed to bringing new investments to our communities to help boost economic growth that includes strong community benefits, builds desperately needed affordable housing, and invests in local jobs for Oaklanders. This agreement puts us on a path towards a more equitable and resilient Oakland.
“Collaborating with Ray Bobbitt (AASEG founder and managing member) and the AASEG team, we are determined to ensure that this project serves as a catalyst for positive change in historically underinvested areas. We are encouraged by AASEG’s local leadership and their unwavering focus on the well-being of our city.”
Bobbitt added: “We are thrilled to partner with Mayor Sheng Thao and the City of Oakland to bring this vision to life. This project is not just about building structures; it’s about building communities and opportunities for future generations.”
The A’s hold the remaining 50% stake in the complex and the team was not mentioned in the City of Oakland’s news release to announce the deal with AASEG.
The Oakland City Council must now pass an ordinance authorising the city administrator to sign a purchase and sale agreement with AASEG.
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