Under the term of the agreement, Oakland will receive $11.6 million for the use of 52 acres south of the Bay Bridge Toll Plaza at Pier 7 for Caltrans construction.

Two years ago, federal officials seized former Navy property on Yerba Buena Island so that the state could use it to permanently anchor the new eastern span of the bridge. This year, federal agents used the same law to seize land from the military and give it to the state for further expansion.

The city and port of Oakland filed a lawsuit, saying that this hinders their development plans for the property, which is a former Army base, and will keep Oakland from future lease revenues.

The state originally said that it would not pay rent but has agreed to pay Oakland $11.6 million to avoid further delays in construction.

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