Mayor to Discuss Chinese Investment in San Francisco Reuse Projects on Overseas Trip
San Francisco Mayor Ed Lee will try to help close a deal between the state-supported China Development Bank and Lennar Corp. to invest $1.7 billion in two base redevelopment projects during his eight-day trip to China that began Friday.
Lee is expected to sit down with officials from the Chinese bank to discuss the investment in the redevelopment of two former Navy bases, Treasure Island and Hunters Point Naval Shipyard, reported the San Francisco Examiner. In December, the bank had indicated it would approve the loan, but the deal still has not been completed.
Sources close to the negotiations say the holdup is over the bank’s insistence that a Chinese contractor — in this case, the state-run Chinese Railway Construction Corp. — be a general contracting partner in the two projects, according to the Examiner.
If the loan is approved, Hunters Point reportedly would receive $1 billion to begin construction and Treasure Island would get $700 million.