25 years after closing, ex-McClellan base draws $600M investment

Peacekeeper Gate at McClellan Air Force Base in 1995 (Image Credit: Wikipedia)

When McClellan Air Force Base closed in July 2001, the decision threatened thousands of jobs and raised concerns about the economic future of the surrounding Sacramento community.

A quarter-century later, the former military installation has become McClellan Park, a business and industrial hub with around $600 million in investment, 10 million square feet of buildings and a public-use airport. According to the U.S. Air Force Civil Engineer Center (AFCEC), the redevelopment has involved partnerships between the Air Force, Sacramento County and private developers, alongside environmental restoration.

A 2020 McClellan Park fact sheet documents the scale of investment and the site's transformation into a centre for businesses, transport and community services.

From military installation to commercial centre

McClellan Air Force Base was once one of the Sacramento region's major employers. The base supported military logistics and maintenance operations for more than six decades, employing thousands of military and civilian workers. Its closure was announced in 1995 under the federal Base Realignment and Closure process.

The decision was expected to cost the local economy thousands of jobs and disrupt businesses that depended on the installation.

Before the base officially closed, private businesses were brought into vacant buildings through a process known as a “hot transfer”. This helped retain some employment and allowed redevelopment to begin before the closure, according to McClellan Park’s historical account.

$600 million investment and millions of square feet

The scale of the redevelopment is reflected in the site's infrastructure and commercial activity.

McClellan Park's 2020 fact sheet records approximately $600 million in total economic investment, 10 million square feet of buildings and an occupancy rate of 90%. The site accommodates a mix of private businesses, government agencies, industrial facilities, offices and community organisations. Its large buildings have been adapted for different uses, allowing existing structures to serve new commercial purposes instead of requiring every business to start with new construction.The park's development potential also extends beyond its existing buildings. The 2020 fact sheet identifies another five million square feet of potential development, indicating that the property still had room to expand. The same document estimates that the site attracts between 15,000 and 17,000 daily visitors. These figures illustrate how a former military installation has become a major employment and business destination for the surrounding region.

A military airport becomes a public-use facility

One of the most significant changes has been the conversion of the former military airport into a public-use airport serving general aviation. According to McClellan Park's fact sheet, the airport has a 10,600-foot runway. The property also contains seven miles of on-site railway connected directly to Union Pacific and BNSF rail lines, providing transport infrastructure alongside its commercial and industrial facilities.Former military buildings have found new purposes, too. The Air Force officers' club became The Officer's Club restaurant, while the former fitness centre now houses California Family Fitness. A former bowling alley has been converted into a classroom and learning centre operated by Gateway Community Charters. These adaptations demonstrate how existing facilities can support civilian businesses, education, recreation and public services after a military installation closes.

Environmental cleanup remains part of the transformation

The redevelopment has required more than attracting businesses and renovating buildings. Past military operations, waste disposal and chemical spills left soil and groundwater contamination that needed to be addressed.The Air Force has continued environmental restoration alongside the property's transition to civilian use. In 2007, the Air Force and Sacramento County established an agreement designed to accelerate cleanup and allow land to be transferred for redevelopment sooner.

The arrangement brought together government agencies, environmental regulators and the private developer. The Air Force Civil Engineer Center reported in 2018 that McClellan's restoration programme had involved 325 sites requiring investigation.

Cleanup measures included groundwater treatment, soil remediation and protective caps over contaminated areas. The project also received a US Environmental Protection Agency award recognising efforts to restore former federal facilities for productive reuse.McClellan Park's transformation illustrates how a closed military base can become a long-term economic asset when redevelopment, infrastructure investment and environmental restoration proceed together. Twenty-five years after the base shut down, the Sacramento site continues to serve businesses and the public while demonstrating a different future for land once dedicated to military operations.