Port San Luis Harbor District to seek new bid for Harbor Terrace campground project

The Port San Luis Harbor District will try to renegotiate a new bid to operate its planned Harbor Terrace campground development from Red Tail Acquisitions of Newport Beach.

The district’s Board of Commissioners voted Tuesday to try to get the development company to submit an updated bid to build and operate the $20 million campground project after its preferred bidder HomeFed Corp. recently withdrew from the project, said Steve McGrath, harbor manager.

In December, Red Tail Acquisitions and HomeFed were the only two companies to bid on the project. Although the commission selected HomeFed as the preferred bidder, the company decided the project could not be profitably built given the environmental and construction requirements imposed on it.

McGrath recommended requesting an updated bid from Red Tail Acquisitions as the quickest way to get the project back on track. The development permit requires that the construction of the project begin by June 24, 2017, a short period of time to design the project and obtain development permits.

The Harbor Terrace project calls for creating 184 camping units on 32 acres, including tent camping and recreational vehicle spaces. It would be built on 32 acres next to the entrance to Diablo Canyon nuclear power plant.

This story was originally published August 26, 2015 at 11:34 AM with the headline "Port San Luis Harbor District to seek new bid for Harbor Terrace campground project."