Money Will Kick-start Development of Nation's Largest Urban Infill Site

Sacramento, CA - Thomas Enterprises, developer of the massive 244-acre downtown Sacramento Railyards redevelopment, will file an application with the state Department of Housing and Community Development on Friday to seek a $30 million infill funding grant.  As a large, multi-phased, brownfield infill project, the Railyards will be densely populated, adjacent to an urban area and close to transit, which are key areas of consideration for funding.

The money is available to local governments and developers following voter approval of Proposition 1C in 2006.  The state will announce the recipients of the Prop 1C infill grant in June.

“This funding is a critical part of our plan to revitalize the Railyards, restore some magnificent historic brick structures on the site and transform the area into a urban treasure,” said Suheil Totah, vice president, Thomas Enterprises. “If we are selected by the state, we can begin construction of needed infrastructure immediately.”

The Railyards development in the heart of Sacramento is strategically situated to complement, integrate and connect to the existing downtown. The Railyards will create a vibrant new neighborhood of mixed-use, high density housing with entertainment and retail venues, a transportation hub, offices, a public market, open space and cultural offerings in a setting that celebrates the connection to Sacramento’s historic past.

Two independent forecasts prepared for the City of Sacramento project that development of the property will result in 2,800 annual construction jobs and 19,000 permanent jobs over a 20-year period. The Economic and Planning Systems (EPS) analysis projects an ongoing annual economic impact of $2.7 billion.  Additionally, the study shows a net surplus (after city service costs are deducted) to the City general fund every year ranging from $500,000 to $2 million.

At present, about 80 percent of the Railyards property is ready for immediate site development. According to the department of Toxic Substances Control, the agency overseeing the cleanup of the site, soil remediation activities on large portions of the site have been completed, allowing for the planned installation of infrastructure, building foundations and associated structures.  About 260,000 tons of soil has been excavated and about 50 million gallons of groundwater has been extracted and discharged.  The soil cleanup remains ahead of schedule and should be completed before the end of the year.