T
he city of Oakland is questioning the payment from African American Sports & Entertainment Group (AASEG) for its share of the aging Coliseum. The Sacramento-based developer agreed to buy the city's half of the 120-acre property for $105 million in July, but failed to pay a $10 million down payment by September 23. AASEG was given an extension until October 7 to complete the transfer, which they have since agreed to do as part of a revised deal.

    Under the new agreement, AASEG will send the city $10 million by October 7 and another $95 million by May 30, 2025, in addition to the $5 million already received. The Oakland City Council still needs to approve the revised deal, which has been met with skepticism from some council members who are concerned about the delayed payment.

    The sale of the Coliseum site is critical for the city's finances, as Mayor Sheng Thao has staked revenue from the land deal against the city's financial crisis. The city had approved a worst-case scenario budget that would impose severe cuts to city services if AASEG's payment didn't arrive on time.

    AASEG plans to redevelop the Coliseum site into a $5 billion complex with housing, hotels, a convention center, and other amenities. As part of the deal, 25% of the homes built at the site must be affordable. The city is expected to approve or reject the revised deal in the coming weeks.