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To the Editor: 

Councilmember Miraim Hawley says developers are nobody special at City Hall, but it’s clear from events concerning the project at Acton Street and University Avenue that developers are flying first class while citizens are stuck in coach. In this case it cost Berkeley citizens $157,433 (Daily Planet, May 17). Meanwhile Berkeley schools go begging and the city budget is so bust the city can’t afford the red ink. 

Here is how it played out. The state of California owned a piece of property at 1392 University Ave. with a value estimated between $700,000 and $1 million. (You may remember it was once part of a proposed deal with Maxam/Pacific Lumber in exchange for old growth redwoods.) The state of California transferred that parcel to Panoramic Interests and Jubilee Restoration charging only a transfer fee of $40,000 with the understanding it would be used to create 20 units of affordable housing – the maximum residential density for the parcel size. Fast forward to July 2001, the city of Berkeley, deaf to neighborhood appeals, approves the project (currently under construction) that added 51 housing units (71 total) reduced required setbacks, reduced required parking, reduced required open space and calls for the entire ground floor to be retail space. (This is double the residential density as outlined in the Berkeley General Plan.) 

The state of California now sees that what was earmarked to be a charitable land transfer to support affordable housing has instead gone to make a shopping plaza with apartments stuck on top. Since commercial space was never a part of their transfer, the state of California demanded payment for the proportion of the parcel used for commercial space: $78,000. You might think since it was Panoramic Interests and Jubilee Restoration that drew up the plans contrary to the wishes of the state and since they profit handsomely from the development, it should be their responsibility to pay the money. Not so. The Berkeley City Council paid the money. 

Edwin Allen 

Berkeley