Current:Home > InvestWhy tech billionaires are trying to create a new California city -WealthRoots Academy
Why tech billionaires are trying to create a new California city
View
Date:2025-04-11 20:13:41
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! (7)
Related
- Former Syrian official arrested in California who oversaw prison charged with torture
- South Korea opposition leader Lee says impeaching Yoon best way to restore order
- In a First, Arizona’s Attorney General Sues an Industrial Farm Over Its Water Use
- Dick Van Dyke credits neighbors with saving his life and home during Malibu fire
- What to know about Tuesday’s US House primaries to replace Matt Gaetz and Mike Waltz
- Fortnite OG is back. Here's what to know about the mode's release, maps and game pass.
- Biden says he was ‘stupid’ not to put his name on pandemic relief checks like Trump did
- Is that Cillian Murphy as a zombie in the '28 Years Later' trailer?
- IRS recovers $4.7 billion in back taxes and braces for cuts with Trump and GOP in power
- Ohio Supreme Court sides with pharmacies in appeal of $650 million opioid judgment
Ranking
- Dick Vitale announces he is cancer free: 'Santa Claus came early'
- Deadly chocolate factory caused by faulty gas fitting, safety board finds
- Stock market today: Asian shares retreat, tracking Wall St decline as price data disappoints
- 'Yellowstone' Season 5, Part 2: Here's when the final episode comes out and how to watch
- Woman dies after Singapore family of 3 gets into accident in Taiwan
- PACCAR recalls over 220,000 trucks for safety system issue: See affected models
- 'Vanderpump Rules' star DJ James Kennedy arrested on domestic violence charges
- Arizona city sues federal government over PFAS contamination at Air Force base
Recommendation
Trump's 'stop
What is Sora? Account creation paused after high demand of AI video generator
Not sure what to write in your holiday card? These tips can help: Video tutorial
Austin Tice's parents reveal how the family coped for the last 12 years
New Mexico governor seeks funding to recycle fracking water, expand preschool, treat mental health
Stock market today: Asian shares retreat, tracking Wall St decline as price data disappoints
Hougang murder: Victim was mum of 3, moved to Singapore to provide for family
Rooftop Solar Keeps Getting More Accessible Across Incomes. Here’s Why