Current:Home > FinanceWhy tech billionaires are trying to create a new California city -WealthSync Hub
Why tech billionaires are trying to create a new California city
View
Date:2025-04-12 09:20:00
Starting back in 2017, something mysterious was going on just 90 minutes northeast of San Francisco: a secretive group was purchasing farmland – lots of it, some 60,000 acres – in rural Solano County. Many feared it might be a Chinese government plot to try to set up shop near Travis Air Force Base.
But as The New York Times' Conor Dougherty (who helped break the story) found out, the truth was even stranger than the rumors.
"Like a lot of people, I was chasing it and running into the usual locked doors," said Dougherty. "I got a tip from someone that what was behind the locked doors was the richest people in the world quietly buying all this farmland: Reid Hoffman, the founder of LinkedIn and a venture capitalist; Laurene Powell Jobs, the founder of the Emerson Collective and Steve Jobs' widow; Marc Andreessen of Andreesen Horowitz, venture capital firm, just really a who's-who of Silicon Valley was involved in this."
- The Silicon Valley elite who want to build a city from scratch (New York Times)
Something else surprising: Within hours of Dougherty's big scoop, this mysterious company launched a website and publicly identified itself as California Forever, an ambitious plan to build a brand-new kind of city for as many as 400,000 residents.
Jan Sramek, a 37-year-old Czech-born, former Goldman Sachs trader-turned-aspiring city-builder, is trying to convince the public that the project isn't just an oasis for billionaires or some high-tech city of the future. His vision: turn all this farmland into a walkable city in the mold of Savannah, Philadelphia, or New York City's West Village.
"Instead of taking all of these well-paying jobs that are being created in Northern California and sending them to Texas or Florida, let's create a place where we can send them to Solano County," he said.
So, how could such a city remain a place that middle-class people could even afford? "By continuing to build for a long time," said Sramek. "If we look at why places have become unaffordable, it's because they've just stopped building."
The project's fate will ultimately be decided this November by the voters of Solano County, who have to decide whether or not to overturn a three-decades-old law restricting where new development can go. Sremek's charm offensive have been met with, let's just say, a healthy amount of skepticism by many locals.
"We're gonna have total gridlock," said one man at a public meeting about the proposal.
- California Forever says new Solano city plan has enough signatures for November ballot
Locals Al Medvitz and Jeannie McCormack are two of the last holdouts here. Most of their neighbors have sold to California Forever (at far over market value), but they've turned down millions to keep farming the 3,700-acre ranch that has been in Jeannie's family for more than a century. "Having developers come was always a fear [throughout] my whole childhood," said McCormack, "because California was just changing so fast with development in farm areas."
Many of their neighbors who didn't sell have been sued by California Forever, who has accused them of colluding to raise land prices in the area (a charge they deny).
"The housing is important, there's no question about it," said Medvitz. "But there are appropriate ways to do it."
California Forever is sparing no expense to try to win over county residents, in what The New York Times' Conor Dougherty says could be the most expensive political campaign in the history of Solano County.
Burbank asked, "The idea that this tech money is being redirected to this very kind of brick-and-mortar thing as an investment is kind of weird to me. Is it just that there's that much money to be made potentially?"
"Everyone thinks I'm crazy when I say this, but I just don't think it's principally about money," said Dougherty. "I think that many of the people involved are extremely frustrated that the pace of change in the physical world has lagged so far behind the pace of change in the digital world." He believes California Forever's motivation is, "If we could redesign everything and not have to deal with all the inherited problems that cities come with, then that would make everything so much easier."
California Forever still has plenty of hurdles to clear, some that may prove impossible.
But Sramek insists this idea of designing and building a relatively-affordable walkable city within the nation's most unaffordable and car-centric state is in fact possible. He says his company has the know-how, the patience, and (critically) the deep pockets to make it a reality.
"To me, success is that, in 10 or 15 years, Solano County is this incredible economic success story that people all over America are looking at and saying, can we replicate that here?" Sramek said.
And does he see himself living there? "Yeah, I'll be moving in the first house!" he replied.
For more info:
- California Forever: East Solano Plan
- "Golden Gates: Fighting for Housing in America" by Conor Dougherty (Penguin Press), in Hardcover, Trade Paperback, eBook and Audio formats, available via Amazon, Barnes & Noble and Bookshop.org
Story produced by Mark Hudspeth. Editor: Ed Givnish.
- In:
- California
- Silicon Valley
veryGood! (4246)
Related
- California DMV apologizes for license plate that some say mocks Oct. 7 attack on Israel
- MLS Matchday 5: Columbus Crew face surprising New York Red Bulls. Lionel Messi out again for Inter Miami.
- New York City won’t offer ‘right to shelter’ to some immigrants in deal with homeless advocates
- 7 Alaska Airlines passengers sue over mid-air blowout, claiming serious emotional distress
- NHL in ASL returns, delivering American Sign Language analysis for Deaf community at Winter Classic
- Is Jason Momoa Irish? 'Aquaman' actor stars in Guinness ad ahead of St. Patrick's Day
- Jimmy Garoppolo signs one-year contract with Los Angeles Rams, per reports
- Fasting at school? More Muslim students in the US are getting support during Ramadan
- Retirement planning: 3 crucial moves everyone should make before 2025
- Prosecutor says southern Indiana woman shot 3 kids dead before killing herself
Ranking
- Trump invites nearly all federal workers to quit now, get paid through September
- Watchdogs worry a Nebraska Supreme Court ruling could lead to high fees for open records
- Up to 5.8 million kids have long COVID, study says. One mother discusses the heartbreaking search for answers.
- 'Manhunt' review: You need to watch this wild TV series about Lincoln's assassination
- Juan Soto praise of Mets' future a tough sight for Yankees, but World Series goal remains
- Energy Department conditionally approves $2.26 billion loan for huge lithium mine in Nevada
- Interest in TikTok, distressed NY bank has echoes of Mnuchin’s pre-Trump investment playbook
- College Football Playoffs new six-year contract starting in 2026 opens door to expansion
Recommendation
Friday the 13th luck? 13 past Mega Millions jackpot wins in December. See top 10 lottery prizes
Q&A: What’s So Special About a New ‘Eye in the Sky’ to Track Methane Emissions
Supreme Court lays out new test for determining when public officials can be sued for blocking users on social media
Luis Suárez scores two goals in 23 minutes, Inter Miami tops D.C. United 3-1 without Messi
Warm inflation data keep S&P 500, Dow, Nasdaq under wraps before Fed meeting next week
Republican lawmakers in Kentucky approve putting a school choice measure on the November ballot
Kelly Ripa’s Trainer Anna Kaiser Wants You to Put Down the Ozempic and Do This to Stay Fit
Home sellers cut list prices amid higher mortgage rates as spring buying season begins