Oakley Set to Talk Bridgehead Industrial Project, CUP on Data Centers

On Tuesday, the Oakley City Council is set to discuss the Bridgehead Industrial Project which could bring 3.1 million square feet of industrial warehouses and logistic buildings to the city.

The project would sit on the 164-acre site with 10 buildings ranging from 117,180 sf to 936,680 sf.  The exact tenants and operations for the proposed buildings are unknown at this time.

The project comes before the city council after the project was approved by the planning commission in January in a 3-2 vote. While the project was approved, the commission did recommend adding a Conditional Use Permit (CUP) when it comes to data centers.

During the planning commission meeting, much of the discussion was focused on data centers, however, many Oakley community members expressed other concerns which included:

• Air quality, Environmental removal of trees
• Impact on Big Break Regional Shoreline and Big Break Marina
• Design/eye sore
• Health concerns (multiple)
• Infrastructure – water/energy, Ironhouse Sanitary District & Delta Diablo Water
• Noise/Blight
• Traffic

According to the staff report (see documents below), as a result of the Planning Commission’s recommendation, on February 9, 2026, the applicant (Oxfoot Oakley) agreed to amend their proposed PUD and Staff modified the PUD to require Data Center to require approval of a conditional use permit per the Oakley Municipal Code. The modified version of the PUD is included as the proposed PUD for City Council consideration and attached to this Staff Report. Since the PUD was modified to require a data center to a conditionally permitted use, no such condition of approval is included in the proposed Rezone ordinance that would approve the PUD.

Since the Planning Commission Meeting, the City received two letters of withdrawal of objection to the project were submitted. The first by the Golden State Environmental Justice Alliance saying the developer has addressed their concerns. The second, by the Advocates for the Environment saying they reached an agreement with the developer.

According to the Project Description, as submitted March 25, 2025, The following is a brief description of the entitlement applications submitted to the City Oakley:

• Rezoning the North Development Area from Business Park Low (BPL) to Planned Unit Development (P-1) to allow for uses in compliance with the General Plan designation of Light Industrial (LI).
• Rezoning of the South Development Area from Commercial (C) to Planned Unit Development (P-1).
• General Plan Amendment for the South Development Area from Commercial (CO) to Light Industrial (LI).
• Adoption of a Planned Unit Development (PUD) providing development standards, design guidelines, and implementation details for the development of the 164-acre project with warehouse, logistics, and data center buildings totaling 3.1-million square feet of building area.
• Tentative Subdivision applications to divide the entire project site into 10 lots to create a cohesive master plan for development of the overall property. This would create lots to facilitate phase one development of the Industrial area, as well as road dedications and backbone utility infrastructure.
• Design Review (Development Plan) Application for the development of the entire 164-acre site to include all buildings, site plan including parking and internal circulation, building architecture, civil engineering including grading, storm drainage, utilities, and site details, and preliminary landscape architecture.
• Signage program as included in the PUD.
• Development Agreement

Project Site Details:

The Project site is divided into two distinct development areas, north and south, as described in the PUD. The project envisions the development of approximately 3.1-million square feet of industrial warehouse and logistic buildings and potentially data center uses.

Project construction for the entire development is anticipated to be completed within 6 to 10 years. It will include the construction of approximately 3.1 million SF of warehouse, logistics, and data center buildings, as well as all related on-site improvements, including the associated parking areas, circulation, stormwater features, landscaping, and off-site street improvements.

It is anticipated that the Project facilities will likely function 24 hours a day, seven days a week

According to the Development Agreement (Item 7), WHEREAS, the Project’s Existing Development Approvals set forth in detail on Exhibit “C” and incorporated herein by this reference, the Project generally permits 3.1 million square feet of light industrial warehouse and logistic buildings and potentially data center uses on the Property, as well as utility facilities, associated roadways and other necessary infrastructure; and

However, according to the Economic Impact Analysis (Item 8), at buildout, Bridgehead is estimated to yield a net fiscal surplus for the City’s General Fund ranging from approximately $1.1 million to $1.4 million annually. Meanwhile, the largest General Fund revenues generated by the Project, including $587,000 a year in property taxes and $619,000 annually in property tax in-lieu of vehicle license fees, are directly tied to new assessed value. The Project’s estimated impact on General Fund expenditures for Police ranges from approximately $158,000 per year under a distribution-focused scenario, with relatively fewer on-site employees, to $434,000 per year under a manufacturing- focused scenario.

Within the Proposed Resolution Recommending the Oakley City Council Certify the Project EIR (Item 11), it again highlights the project objective is to construct and operate light industrial and logistics buildings and potentially data centers to provide for an underserved local demand

STAFF RECOMMENDATIONS

Staff recommends the City Council approve the Project through the following actions:

• Adopt a resolution certifying the Project’s Environmental Impact Report, (SCH No. 2024050471), making certain findings concerning mitigation measures, adopting a Mitigation Monitoring and Reporting Program, making findings considering alternatives, and adopting a Statement of Overriding Considerations; and
• Adopt a resolution approving the Project’s General Plan Amendment application (GPA 02-23), as conditioned; and
• Waive the first reading and introduce an ordinance approving the Project’s Rezone application (RZ 04-23), as conditioned; and
• Adopt a resolution approving the Project’s Tentative Map, Design Review, and Master Sign Program applications (TM 10-23, DR 11-23, MSP 01-23), as conditioned; and
• Waive the first reading and introduce an ordinance approving the Project’s Development Agreement application(DA 2025-01), as conditioned

Documents: 

Staff Report: Click Here

Previous

• Jan 21, 2026 – Split Vote: Oakley Planning Commission Makes Recommendation on Bridgehead Industrial Project
• Jan 20, 2026 – Oakley Planning Commission Set to Talk Bridgehead Industrial Project
• Dec 14, 2025 – Oakley Receives 3.2 Million Square Feet Bridgehead Industrial Project Application