Navy to Transfer Parts of Shipyard as It’s Cleaned Up

U.S. Navy and city officials have ironed out their differences over transferring a polluted former shipyard to the city, a deal that paves the way for the one-of-a-kind waterfront property to be cleaned up and developed.

The agreement signed Wednesday by the Navy appeared to end more than a decade of friction between federal and local officials over Hunters Point Naval Shipyard, which closed in 1974 and has been on the list of highly contaminated Superfund sites since 1989.

The 936-acre site, of which about 443 acres is usable, is the largest tract of undeveloped land in San Francisco. Located in the city’s southeastern corner, it abuts the bay and a neighborhood that once housed shipyard workers but is now plagued by poverty and persistent violence.

City officials hope their plans for the parcel will serve as an economic engine to help revitalize the Bayview-Hunters Point area.

“Finally getting this document approved by the Navy means we can move forward with economic development,” said Jesse Blout, director of the city’s Office of Economic and Job Development. “We are talking about jobs affordable housing ... open space.”

The plan has been in the works for years, but repeatedly stalled as the Navy and the city haggled over who would pay to rid the site of radioactive waste, asbestos and PCBs. Under the agreement, the Navy will be responsible for the cleanup, giving selected parcels to the city when they meet environmental standards for their various future uses, Blout said.

The first 78 acres, which is close to receiving regulatory approval, could be transferred to the city’s control as soon as late May, he said. The city’s plans call for housing units and commercial space to be built by a private developer on the parcel. Other parcels will be ceded to the city over the next few years as they are cleared of hazardous materials from past military activity.