The conglomerate of Silicon Valley billionaires buying up land in a remote county outside of San Francisco, California, could be thwarted in its attempts to build a new city due to bureaucratic obstacles and local policies.
The group, identified as Flannery Associates last week, is backed by Silicon Valley hotshots — including Marc Andreessen and Laurene Powell Jobs — and has been quietly buying up tens of thousands of acres in Solano County, California, since 2018.
But the effort could face some significant logistical challenges tied to county ordinances and state policies, The New York Times reported.
According to court documents, the company has spent some $800 million to buy 52,000 acres of farmland, offering up to $15,000 an acre. With the land purchased, the group's plot of land has started to encircle Travis Air Force Base nearby, according to The Wall Street Journal.
But at least one California developer has sounded the alarm, echoing a series of logistical reality checks that the group may soon face before breaking ground.
"I hope they succeed," Mark Friedman, real estate developer in Sacramento, told the Times. "But this just seems like a lot of tech guys with a lot of money and a ton of hubris diving into another business that they can't possibly understand."
One of those challenges is that Solano County has a slow-growth ordinance in place, meaning that to start building projects, voters would have to approve getting rid of the law altogether, according to the Times.
Environmentally, potential construction would be accountable to California government rules dealing with air, water, and public utilities, per the San Francisco Chronicle.
Getting the adequate approvals to begin construction in the area could delay any plans a decade or more, and require constant engagement with a local planning commission, the Times reported.
It's still unclear what the group is planning. But in 2017, before beginning to buy the plots, the group pitched the idea of transforming part of Solano County into a walkable city, the Times previously reported.
Democratic Congressman John Garamendi — who represents the county — said he requested that the FBI and the Treasury look into what the purpose of the land purchases are, per the Times.
An attorney for Flannery Associates did not immediately return Insider's request for comment.
They're also not the first Silicon Valley billionaires using their extreme wealth to chase bold developing ambitions only to be met with grinding bureaucracy.
Elon Musk for years pitched his Boring Company tunnel as a method to eradicate "soul-destroying traffic" in major cities but has backtracked as local and federal officials have asked for permits and environmental reviews that the company didn't provide, according to The Wall Street Journal.
