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$60M needed to prep southeast Lathrop for jobs
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The 315-acre development in the southeast portion of Lathrop is expected to bring massive industrial development in the form of million-plus square foot warehouses that will further expand the city’s burgeoning business base.
But it’ll take a lot of money to service that property to make it suitable for development. Next week the Lathrop City Council will formally discuss the implementation of a series of capital facility fees intended to serve the area known as the South Lathrop Specific Plan to make sure that the necessary infrastructure and facilities are in place.
The total estimated cost for transportation (roads), water, and storm drainage for the entire project is just over $60 million, with almost $45 million coming from other developments. With just over $5 million in SLSP CFD funds, that leaves just over $10 million that will need to be generated by a series of fees that will offset the existing costs.
And the infrastructure goes beyond just the standard roads to and from the site and the necessary water hookups.
According to the capital facility fees study prepared for the City of Lathrop by Goodwin Consulting Group – which will be discussed and considered when the council meets again on Monday, Feb. 12 at 7 p.m. at Lathrop City Hall, located at 390 Towne Centre Drive – the transportation facilities for the SLSP include interchanges at the Highway 120 Bypass and Yosemite Avenue to service the property, as well as an interchange at I-5 and Lathrop Road. Transportation upgrades also include roadway, intersection and railway improvements for both Yosemite and McKinley Avenues. The total cost of the transportation projects is $55.3 million – $12.9 of which, according to the city’s traffic consultant, will have to be picked by the SLSP itself. The remaining $42.2 million is allocated to the Lathrop Gateway Specific Plan area, the McKinley Corridor, the Crossroads Business Park and other Lathrop Development. Of the $12.9 million that SLSP has to shoulder, $5.4 million will be financed through a community facilities district bond issue while the remaining $7.5 million will be funded through SLSP transportation fees.
A 1-million-gallon storage tank and booster pump for Well 21 is also needed for the site, and will cost approximately $3.3 million – 62 percent of which, or $2.1 million, is the responsibility of the SLSP and will be funded through water system fees.
Of the $1.7 million storm drainage capacity needed, SLSP will be responsible for $574,000 of the project and will cover that through storm drainage fees.
The council will review the fee study and determine whether to approve it as the next step in preparing the massive tract of land for development.

To contact reporter Jason Campbell email or call 209.249.3544.