SAN FRANCISCO Billionaires out Silicon Valley who were behind a secret land purchase in the north worth $800 million California have finally released some details about their plans for a new ecocity. But they still need to win over skeptical voters and local leaders.
After years of eschewing scrutiny, Jan Sramekformer dealer at Goldman Sachs Whoever is leading the project started a website called “California Forever”. The website describes the project as “an opportunity for a new community, goodpaying local jobs, solar farms and open space” in Solano, a rural county in between San Francisco and Sacramento, where 450,000 people live today.
He also began meeting with key politicians in the region who had unsuccessfully tried to find out who was behind the secret Flannery Associates LLCwhen she purchased large tracts and became the largest landowner in the county.
A group of Silicon Valley stars, including the philanthropist Laurene Powell JobsCofounder of LinkedIn Reid Hoffman and the investor Marc Andreessen, supports the project. The New York Times was first to report on the group’s investors and plans.
California Forever, Flannery’s “parent company,” has purchased more than 80 square miles of farmland in Solano County since 2018, mostly in the southeast, with parcels stretching from Fairfield to Rio Vista. According to the website, Sramek fell in love with the area on fishing trips and he and his wife recently purchased a home in the county for their family.
The region’s residents must agree to the use of rural areas for urban purposes in order for the city to emerge. Photo: Terry Chea/AP
The project conducted a resident survey last month to gauge support for “a new city with tens of thousands of new homes,” a solar farm and new parks funded entirely by the private sector.
But to build something like a city on farmland, the group must first convince Solano County voters to approve at the ballot box an initiative allowing urban uses on that land, a protection that has been in place since 1984. Local and federal officials still have doubts about the group’s intentions.
Two local congressmen who have spent years trying to determine whether foreign adversaries or investors are behind the purchase of land around a U.S. Air Force base critical to national security and the local economy are angry that Flannery has kept his identity secret for so long has held. The website states that 97% of funds come from US investors and the rest from the UK and Ireland.
“The FBI, the Treasury Department, everyone has been working to find out who these people are,” Rep. Mike Thompson, who represents much of the county, said after meeting with Sramek. “Their secrecy caused many problems, wasted a lot of time and incurred high costs.”
Farm in Solano County, a region where investors want to build a city. Photo: Godofredo A. Vasquez/AP
The investor group said secrecy was necessary until enough land was acquired to avoid shortterm speculation, but it was now willing to hear from Solano residents through a mail survey and the creation of a community advisory board. Previous surveys showed that parents in the region were worried about their children’s future, the website said.
“Instead of watching our children leave, we have the opportunity to build a new community that attracts new employers, creates goodpaying local jobs, builds homes in affordable neighborhoods, leads the way in protecting the environment, and has a growing tax base to support it “The district as a whole,” he said.
California desperately needs more housing, especially affordable housing for teachers, firefighters, service and hospitality workers. But cities and counties are unable to determine where to build because residents of established neighborhoods oppose new homes, saying they will clog their streets and ruin their peaceful lifestyles.
Solano County is ideal for development in many ways. It is located 60 miles northeast of San Francisco and 35 miles southwest of California’s capital, Sacramento. Homes in the county are among the cheapest in the San Francisco Bay Area, with an average sales price of $600,000 last month.
However, Suisun City Acting Mayor Princess Washington said that because of its importance, residents made a conscious decision to protect open spaces and keep the area around Travis Air Force Base free of occupation.
The region where billionaires want to build a city is almost 100 km from San Francisco. Photo: Terry Chea /AP
She suspects that the group’s true purpose is to “create a city for the elite” under the guise of more housing.
“Economic decline is everywhere. So why do you have to spend over a billion dollars to create a whole new city when there are so many other things that can be accomplished throughout the Bay Area?”
Flannery further angered residents in May when it sued several landowners, accusing them of conspiring to fix the prices of their properties. The company said it had purchased or entered into a purchase agreement for approximately 140 properties for more than $800 million.
Then, last week, residents began receiving a survey to gauge voter support for “a major new project” that would include “a new city with tens of thousands of new homes.” The survey asked whether they would be more likely to support the project if county residents were given priority and financial assistance to rent or purchase one of the new homes.
Thompson, the congressman, was less impressed after meeting with Sramek, saying the developer was silent on details and showed no understanding or appreciation for the county or its values.
Around 140 properties were purchased in the region. Photo: Godofredo A. Vasquez/AP
When asked how he would help residents finance new homes, Thompson said Sramek planned to use “all of his knowledge as a financial man” to generate savings. Development in California is complicated, but Thompson said Sramek expects expedited approvals “because his design is so good and his intentions are so noble.”
“He doesn’t have a plan, he’s not there yet,” Thompson said.
Rep. John Garamendi, whose district includes Travis and the immediate area, said base and county officials contacted about five years ago and asked for help to find out who bought the land. Garamendi was shocked when he found out who supported the project.
“You rich billionaires from Silicon Valley are in there. Is this how you want to proceed?” he said. “They managed to completely poison the well.”
Hoffman and Andreessen did not respond to emailed requests for comment, nor did Jobs through his company, Emerson Collective. The project’s developers have said they will protect the military base and that farmers who want to continue farming on their properties can do so.
Flannery bought virtually all of the land surrounding the small town of Rio Vista, said Mayor Ron Kott. He suspects that older people, who make up half of the city’s 10,000 residents, don’t appreciate the increased traffic and noise, but others like the improved medical care, nightlife and shopping that a nearby luxury city could bring.
“If it’s done right, I think there’s a lot of opportunity for the county. The tax base will increase significantly. So this will result in a big profit. Property values here would probably increase even more. And so I think it’s good from that perspective,” Kott said.
“But again, I think you are giving up a quality of life that is unique to this region.”