The goal is to create for digital media the kind of industry cluster that has been created for biotech at Mission Bay. The preliminary discussion is about the city giving the building to the university. A university source tells GlobeSt.com that a formal agreement is not imminent. "Both sides are very interested but it's early and how this will play out isn't clear yet," she says. A city official did not return a phone call seeking comment.

The city-selected master developer for the overall shipyard redevelopment is Lennar Corp. The 66-acre first phase, now underway, includes 1,200 homes, 25 acres of parks and open space and an undetermined amount of retail space including an African International Marketplace. The $100-million phase is slated for completion in late 2007.

The transformation of Building 813 into a center for digital arts would be part of the 80-acre second phase of the project, which will focus on industry and job creation. All told, upwards of 2 million square feet of R&D and office space approved to be built at the shipyard, which borders some of the highest area of unemployment in the city.

Part of the need for the digital arts center is the success of the LucasFilm Letterman Digital Arts Center in the Presidio. The campus reportedly does not have room for several digital arts companies said to be looking for space in the city. Likely consultants for development of the new center will are existing digital arts companies in the city, including Wild Brain Entertainment, Orphanage and Giant Killer Robots.

Established as commercial shipyard in 1870, Hunter's Point Naval Shipyard was acquired by the Navy 11 days before Pearl Harbor. The Navy ceased operations there in 1974 and leased it to a commercial ship repair company that operated until 1986.

NOT FOR REPRINT

© Arc, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to TMSalesOperations@arc-network.com. For more information visit Asset & Logo Licensing.