OAKLAND – A sweeping, multiphase redevelopment of the Oakland Coliseum site led by Ray Bobbitt, president of the African American Sports and Entertainment Group (AASEG), and businessman James “Jim” Reynolds Jr., could eventually attract between $3 billion and $5 billion in investment.
Reynolds said the first phase, estimated at $1 billion to $1.5 billion, could include housing, hotels, restaurants, entertainment venues, open space and opportunities for local small businesses.
“We are going to transform the entire area with housing, hotels, with an infrastructure that benefits the community,” Reynolds said.
He also wants to attract major entertainment partners and position Oakland to compete with venues in San Francisco and San Jose. Reynolds said the city already possesses natural assets that other cities spend fortunes trying to create.
“One of the most naturally beautiful cities I’ve ever been to,” he said. “In Oakland, if you do nothing, it’s beautiful naturally: lakes, the mountains, the scenery, the open space, the weather.”
Reynolds’ vision, however, extends beyond buildings and entertainment. He is also focused on which businesses receive contracts and which residents benefit from the jobs and economic opportunities the project creates.
Reynolds said Black and Brown contractors have historically lacked the bonding, insurance, equipment and staffing required to compete for large contracts because they were denied opportunities to expand.
“Why would you build a big business when you know no one was going to hire you to do the job?” Reynolds asked.
He recalled working with longtime business partner Earvin “Magic” Johnson to encourage minority-owned firms to compete for larger contracts. About 1,000 businesses attended one outreach event after receiving assurances that opportunities to serve as prime contractors were real.
Reynolds wants to bring the same approach to Oakland.
“I don’t need goals and set-asides to figure out how to give Black companies a chance to be a prime,” he said.
He also wants Black businesses to move beyond seeking only small portions of projects or subcontracting roles.
“When we run the concessions, we pick who has a concession,” Reynolds said, citing partnerships involving Johnson, LL Cool J and Stephen A. Smith.
The same principle should apply to construction, entrepreneurship and workforce development, he said.
“Job training and opportunities to have Blacks lead something like this matter,” Reynolds said.
Reynolds also wants young Oakland residents connected to the jobs and career pathways created by the redevelopment.
“They’re going to have jobs, job training, and opportunities to work,” Reynolds said.
He rejects assumptions that Black youth and Black-owned companies cannot manage major responsibilities.
“I’m not going to sit here like others who have been in positions like this and doubt that Black people can do certain things,” Reynolds said.
For Reynolds and Bobbitt, the Coliseum redevelopment is an opportunity to create more than a replacement for the professional sports teams Oakland lost. Bobbitt contributes deep Oakland roots, community relationships and years of persistence, while Reynolds brings capital-market experience, global business relationships and a record of structuring enormous transactions.
Together, they envision a destination that attracts visitors while creating jobs, businesses and ownership opportunities for Oakland residents.
“Thank you, Jim, for believing in Oakland and investing,” Bobbitt said.
CEO of the Oakland African American Chamber of Commerce Cathy Adams, who wrote a letter of support for AASEG at a time when many doubted the feasibility of their goals, said the Coliseum area development plan will become the example of how Black-owned businesses and contractors can help close the disparity gap in Oakland.
Next week, Part 2: Len Turner and local business owners can benefit.
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