October 14, 2005

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Palo Alto Online

Police headquarters in Heritage Park?

by Bill D'Agostino

It took residents in Palo Alto's University South Neighborhood years of lobbying the city to get their own park.

Now Amoroso Construction wants to build Palo Alto's next police headquarters in Heritage Park, which the city opened on Homer Avenue last year amidst much fanfare.

That proposal is one of six from four developers and construction companies submitted to the city last week.

In August, the city asked companies to submit applications to construct a new 60,000-square-foot police headquarters; the deadline was Oct. 4.

Two of the applicants offered multiple proposals but one -- from Turner Construction -- did not identify any specific sites. The costs of the six proposals range from $36.1 million to $59.3 million, although most appear to have major stumbling blocks.

Two of the three proposals from Amoroso Construction, for instance, would place the building in a Palo Alto park. The company's preferred proposal would tear up part of El Camino Park, next to the Red Cross headquarters, and would cost $55.3 million.

Although city officials say they've only begun analyzing the proposals, they readily admit submissions using parks are probably nonstarters. Lalo Perez, the assistant director of administrative services, pointed out that any piece of Palo Alto parkland requires a vote of the electorate to alter.

George Leonoff, a vice president with Amoroso Construction, defended his company's proposal for El Camino Park, noting the project wouldn't remove any fields actively in use.

"This proposal utilizes previously underutilized land primarily occupied by street people," the application noted. Stanford University owns the land and leases it to the city.

Leonoff also complained that the city had, mid-way through the process, shortened the timeframe for submitting applications from two months to one month.

The City Council is scheduled to review the applications on Nov. 21.

City officials say the current police headquarters is way too small, among other shortcomings. Last year, the building received numerous poor grades in a report from the Santa Clara County Civil Grand Jury.

Amoroso Construction submitted a third proposal that would combine various properties on Hamilton Avenue and Waverley Street, across from the downtown post office. That would use both a city parking lot and five private parcels. Those spots include the current homes of the Prolific Oven and Palo Alto Sport and Toy World. The latter has a beloved Greg Brown mural on it, also making it an unlikely spot. Amoroso Construction does not own any of the private parcels and would have to purchase them.

In its application to the city, Amoroso Construction, perhaps unaware that its proposal is a public record, asked for the location to remain secret.

"If the city elects to proceed with this location, it is imperative that this Project remain in strictest confidence in order that negotiations for the land at reasonable costs can be conducted," it requested.

Since the location of the property is now public, the price of the properties will probably be blown "out of proportion," Leonoff admitted. The company offered the project for $59.3 million.

The proposal with the best chance is probably the one that began the whole process, from local real estate developer Chop Keenan. He's offered to build the headquarters on a combination of properties owned by himself and by the city, across from City Hall on Bryant Street.

In his formal application, Keenan offered to build the headquarters for $47.8 million. Jim Baer, who's consulting for Keenan, said the final cost would depend on the eventual size of the building and the exact services housed within, both of which could be altered at the city's request.

"It's a complex submittal," Baer said.

For years, the city had been working to rebuild the police headquarters at its current site, behind City Hall. But in May, Keenan unexpectedly offered a proposal to build the headquarters on Bryant Street, for $5 million to $10 million less than the city's $50 million estimate.

Part of the savings would come because the city would not need to spend money on a temporary location during the construction. The city currently has no funding set aside for the project, but officials are currently considering a range of options, including bonds and new tax measures.

Barry Swenson Builder is the fourth applicant. Its proposal cited two spots away from downtown, even though the city warned it was "preferable" for the site to be downtown. Barry Swenson Builder proposed building on properties that were neither owned by the city nor by the developer, also hurting its chances.

Its first choice is to build the headquarters at 270 and 231 Grant Ave., currently parking garages, located near California Avenue and owned by Santa Clara County.

"It is our belief that due to the current ownership, a land swap between the City and County is optimal for this project," Barry Swenson Builder wrote in its application. The company offered the project for $41.8 million.

The city, earlier this year, considered placing the police headquarters near California Avenue, also by replacing parking lots. But that plan was abandoned after the area's businesses opposed it, due to the loss of parking.

The second application from Barry Swenson Builder is to build the police headquarters at 2585 and 2595 East Bayshore Road, near Oregon Expressway and Highway 101. There are currently office buildings there.

"We are currently in oral and written discussions with the property owners for the purchase of the properties," the applicant wrote.

This proposal is the cheapest, offered for $36.1 million. However, the site is in a liquefaction zone, meaning it's particularly at risk during a large magnitude earthquake.

Representatives with Barry Swenson Builder and Turner Construction did not return calls for comment about their proposals by the Weekly's deadline.

Both of those company's applications were submitted a few minutes after the 3 p.m. deadline last Thursday. As a result, the City Council will vote on Monday night whether it can consider those tardy applications. It's expected the council will give the OK.

The two other proposals -- from Keenan and Amoroso Construction -- were submitted on time, and will be considered regardless of the council's action Monday night.

Even Baer said the council should consider all four proposals: "Don't penalize somebody because they couldn't find the mezzanine at City Hall."

Staff Writer Bill D'Agostino can be e-mailed at bdagostino@paweekly.com.

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