In 2017, Michael Moritz, the billionaire enterprise capitalist, despatched a notice to a possible investor about what he described as an uncommon alternative: an opportunity to spend money on the creation of a brand new California metropolis.

The web site was in a nook of the San Francisco Bay Area the place land was low cost. Mr. Moritz and others had desires of reworking tens of 1000’s of acres right into a bustling metropolis that, in accordance with the pitch, may generate 1000’s of jobs and be as walkable as Paris or the West Village in New York.

He painted a type of city clean slate the place all the things from design to development strategies and new types of governance might be rethought. And it might all be a brief distance from San Francisco and Silicon Valley. “Let me know if this tickles your fancy,” he mentioned within the notice, a duplicate of which was reviewed by The New York Times.

Since then, an organization referred to as Flannery Associates has been shopping for massive plots of land in a largely agricultural area 60 miles northeast of San Francisco. The firm, which has little data public about its operations, has dedicated greater than $800 million to safe 1000’s of acres of farmland, courtroom paperwork present. One parcel after one other, Flannery made gives to each landowner for miles, paying a number of instances the market charge, whether or not the land had been listed on the market or not.

The purchases by an organization that nobody within the space had heard of and whose enterprise was a thriller have change into the topic of heavy hypothesis and creating news stories, rattling landowners, native supervisors, the close by Air Force base and members of Congress. Was Disney shopping for it for a brand new theme park? Could the purchases be linked to China? A deepwater port?

Flannery is the brainchild of Jan Sramek, 36, a former Goldman Sachs dealer who has quietly courted among the tech business’s largest names as traders, in accordance with the pitch and other people conversant in the matter. The firm’s ambitions increase on the 2017 pitch: Take an arid patch of brown hills reduce by a two-lane freeway between suburbs and rural land, and convert into it right into a neighborhood with tens of 1000’s of residents, clear vitality, public transportation and dense city life.

The firm’s traders, whose identities haven’t been beforehand reported, are a who’s who of Silicon Valley, in accordance with three individuals who weren’t licensed to talk publicly concerning the plans.

They embrace Mr. Moritz; Reid Hoffman, the LinkedIn co-founder, enterprise capitalist and Democratic donor; Marc Andreessen and Chris Dixon, traders on the Andreessen Horowitz enterprise capital agency; Patrick and John Collison, the sibling co-founders of the funds firm Stripe; Laurene Powell Jobs, founding father of the Emerson Collective; and Nat Friedman and Daniel Gross, entrepreneurs turned traders. Andreessen Horowitz can also be a backer. It was unclear how a lot every had invested.

Brian Brokaw, a consultant for the investor group, mentioned in a press release that the group was made up of “Californians who believe that Solano County’s and California’s best days are ahead.” He mentioned the group deliberate to begin working with Solano County residents and elected officers, in addition to with Travis Air Force Base, subsequent week.

In California, housing has lengthy been an intractable downside, and Silicon Valley’s moguls have lengthy been annoyed with the Bay Area’s actual property scarcity, and the issue of constructing in California typically, as their work forces have exploded. Companies like Google have clashed with cities like Palo Alto and Mountain View over increasing their headquarters, whereas their executives have funded pro-development politicians and the “Yes in my backyard” activists who’ve pushed for looser improvement and zoning legal guidelines in hopes of constructing it simpler to construct sooner and taller.

The sensible want for more room has at instances morphed into lofty visions of constructing total cities from scratch. Several years in the past, Y Combinator, the start-up incubator, introduced an initiative with desires of turning empty land into a brand new economic system and society. Years earlier than that, Peter Thiel, the PayPal co-founder and billionaire Facebook investor, invested within the Seasteading Institute, an try to construct a brand new society on lily pad-like buildings within the law-and-tax-free open ocean.

But whereas these concepts have garnered numerous consideration and curiosity — lauded in some corners for imaginative and prescient and derided in others for hubris — they’ve been little greater than discuss.

As Flannery started searching for property, it purchased a lot land, so quick, that it spooked locals who had no concept who the client was or the plans it had in thoughts. Catherine Moy, the mayor of Fairfield, Calif., began posting concerning the venture on Facebook a number of years in the past after she bought a name from a farmer about some thriller purchaser making gives all through the county. In an interview, Ms. Moy mentioned she had gone to the county assessor’s workplace and located that Flannery had bought tens of 1000’s of acres.

John Garamendi, a Democrat who together with Mike Thompson, one other Democrat, represents the encompassing area in Congress, mentioned he had been attempting to determine the corporate’s id for 4 years.

“I couldn’t find out anything,” he mentioned.

On Friday, he mentioned that had all of the sudden modified. This week representatives for Flannery reached out to him and different elected officers requesting conferences about their plans. That assembly is now being scheduled, he mentioned.

“This is their first effort, ever, to talk to any of the local representatives, myself included,” he mentioned.

The land that Flannery has been buying shouldn’t be zoned for residential use, and even in his 2017 pitch, Mr. Moritz acknowledged that rezoning may “clearly be challenging” — a nod to California’s notoriously tough and litigious improvement course of.

To pull off the venture, the corporate will virtually actually have to make use of the state’s initiative system to get Solano County residents to vote on it. The hope is that voters shall be enticed by guarantees of 1000’s of native jobs, elevated tax income and investments in infrastructure like parks, a performing arts heart, purchasing, eating and a commerce faculty.

The monetary beneficial properties might be large, Mr. Moritz mentioned within the 2017 pitch. He estimated the return might be many instances the preliminary funding simply from the rezoning, and much more if and once they began constructing.

“If the plans materialize anywhere close to what is being contemplated, this should be a spectacular investment,” Mr. Moritz wrote.

The Bay Area is among the many nation’s costliest areas, even after hire and residential costs fell after the pandemic. Economists and housing consultants have for many years blamed a longstanding housing scarcity and California’s incapability to construct sufficient to fulfill demand.

Mr. Moritz nodded to this within the e-mail to the investor, arguing that “this effort should relieve some of the Silicon Valley pressures we all feel — rising home prices, homelessness, congestion etc.” He added that his group had secured some 1,400 acres for lower than $5,000 per acre. The value per acre has since escalated, and the corporate’s most up-to-date purchases have neared $20,000 per acre, in accordance with courtroom paperwork and other people conversant in the matter.

The purchases burst into public view this spring when legal professionals for Flannery filed a lawsuit in U.S. District Court, accusing landowners of colluding to inflate costs.

The group centered on Jepson Prairie and Montezuma Hills, an agricultural patch of japanese Solano County between the cities of Fairfield and Rio Vista, in accordance with the lawsuit. This space is usually unpopulated and lined with ranches, windmills and energy strains.

In November 2018, the corporate despatched gives to “most landowners in this area,” the lawsuit mentioned, and included incentives resembling permitting sellers to retain revenue from wind generators, in addition to keep on the properties rent-free beneath long-term lease-back agreements. Over the 5 years, the corporate bought some 140 properties from 400 homeowners, the lawsuit mentioned.

This month, a lawyer representing landowners collectively filed a movement to dismiss the case. In July, three landowners mentioned that they had reached a possible settlement with Flannery. Other homeowners couldn’t be reached for remark this week, or had declined to take action.

As the gives continued and costs escalated, landowners in Solano County began buzzing about who was shopping for a lot land for a lot cash.

“They would come with an offer of four and five times over the market at the time,” Ms. Moy mentioned. “They were deals that they couldn’t pass up.”

Flannery’s gives have been creating multimillionaires throughout the county, however nobody appeared to know what the mysterious firm supposed to do with land that now amounted to a big chunk of the complete county.

That modified final week, when residents began receiving texts and emails with a ballot gauging their opinions on various questions. One requested them to charge the favorability of a number of names together with “Joe Biden,” “Donald Trump” and “Flannery Associates.” Another query started with an outline of a potential poll initiative for a venture that “would include a new city with tens of thousands of new homes, a large solar energy farm, orchards with over a million new trees, and over 10,000 acres of new parks and open space.”

Ms. Moy cited poor infrastructure, together with the two-lane freeway bisecting the area that she mentioned was already clogged by super-commuters driving to the perimeters of the Bay Area and past. The space can also be vulnerable to common droughts and is at excessive danger for wildfires.

“It seems very pie in the sky,” she mentioned.

Sheelagh McNeill contributed analysis. Yiwen Lu contributed reporting.