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HomeMy WebLinkAboutEDA MIN 11-02-05 Special ECONOMIC DEVELOPMENT AUTHORITY (EDA) SPECIAL MEETING MINUTES NOVEMBER 2, 2005 CALL TO ORDER/ROLL CALL President, Murzyn, Jr. called the meeting to order at 7:04 p.m. Present: Don Murzyn Jr., Patricia Jindra, Bobby Williams, Bruce Nawrocki, Tammera Ericson Diehm, Gary L. Peterson and Bruce Kelzenberg PLEDGE OF ALLEGIANCE CONSENT AGENDA Approval of Minutes Financial Report and Payment of Bills Nawrocki asked what account #201-42400 is usedfor. Streetar stated under account 42400 it is inspections, licenses, some of his time, and cher 's, all of Jeff, Larry and Shelley's time, under 46310 is his, randy, kirsten and cher's time, and that some ofcher 's and his comes from Parkview Villa budget also. Nawrocki asked if anyone's time comes from CDBG. Streetar stated it is an account to transfer funds receivedfrom Anoka County and then goes into the redevelopment project account. Nawrocki asked what the checkfor Dahlgren Shardlow and Uban was for. Streetar stated it was for Jennifer Haskamp and Perry Thorvig's time in the interim of hiring a full time planner. Motion by Ericson Diehm, second by Williams, to adopt the consent agenda items as listed. All ayes. Motion Carried. DISCUSSION ITEM A. 39'h & Central Redevelopment Streetar stated this discussion item is to update the EDA on the redevelopment of the 39th and Central Avenue block, as well as request direction for the next steps. The City Council established in January 2002 that this area was a top redevelopment goal. The project area includes the Burger King, Mady's Retail Center, Bowling Alley, and Columbia Heights Rental properties. The planning process done by Dahlgren, Shardlow and Uban (DSU) included two components: 1) to solicit residents and businesses feedback on the redevelopment area; and 2) was to prepare four possible redevelopment concepts for the project area. All three of the properties have completed a Phase one environmental assessment, which is a historical review of the property to determine the likelihood of contamination. The Burger King property is contaminated primarily with construction debris and household garbage. There is a high probability that similar contamination extends south to the Mady's and Columbia Heights Rental properties also. Staff has applied to DEED for a grant to pay for the Phase II environmental assessment, which determines the extent of contamination and the most efficient method of remediation and costs associated with it will be completed in January or February of2006. The cost of this investigation is approximately $62, 745. Any costs not covered by the grant will be covered by funds the City Economic Development Authority Meeting Minutes November 2, 2005 Page 2 of5 required the Nath Companies escrow for investigation and clean up at the time Burger King was acquired. The owners of both Mady's and Columbia Heights Rental have agreed to permit a phase II investigation of their property. A Tax Increment Financing eligibility assessment was preformed on all three properties to determine if conditions exist to establish a TIF district and it was determined that all three were blighted and subsequently qualifY for a 25-year redevelopment TIF district to be developed. The pictures in the packet of the Gateway Project in Shoreview, Silver Lake Village Project in St. Anthony, Golden Valley Town Square in Golden Valley, Excelsior and Grand in St. Louis Park and the Pines and Woodlake Center in Richfield all are successful redevelopment in-fill projects stajJwould like to arrange a tour sometime this month for the board John Slack, DSU, stated they have some history in the area and are also working with the City of Hilltop. Streetar asked if he had any idea when we could see the Hilltop redevelopment concept. Slack stated the plan was presented last week and could get the documents to him. Two public hearings were held at the Library on May 16'h and 19''', where residents and businesses providedfeedback regarding the area between 37'" & 421/d Avenues along Central Avenue. Four of the top components for Negatives, Vision, Opportunities, and Issues that were discussed were: The Negatives were: a) competition from Apache businesses; b) safety; c) poor buildingfm;ade; and d) blighted buildings. The Visions were: a) vibrant business mix; b) a re-energized community with youngfamilies andfamily-focused areas such as parks and a community center; c) a viable retail and small business area through increased tax base and employment opportunities; and d) maintained old look in the area, reinforce character, and continuity along the street front. The Opportunities were: a) bring residents into the business district; b) attract people from outside of the community; c) needfamily restaurants/cojJee shops/American type restaurants; and d) practical stores/trendy restaurant/American type restaurant. In addition, four redevelopment concepts were prepared representing some possibilities for redevelopment, such as Urban Row townhomes, Flats, Townhomes, and Senior Rental units at market rate. All of these concepts are in the City's Comprehensive Plan Goals, which are to strengthen the image of the community, preserve and enhance the existing viable commercial areas, advocating high quality development and redevelopment within the community, providing a variety of life cycle housing opportunities and employment opportunities. Streetar asked Commissioners Nawrocki and Peterson if they had any comments to add, as they were at the meetings. Nawrocki stated most of the people at the meeting were business owners and that out of 35 people no one finding stands out. Streetar stated what that says is the people that came, care and are concerned Nawrocki stated he was very surprised to here they want parking in front as years ago it was determined parking in the rear was much safer. Slack stated in urban areas they are making parkingfor shopping more safe and that he is a member of a group involved in working on ideas to promote people to walk and exercise more, thus moving the parking spaces a little farther away from the business promotes better health. Slack stated in Concept A it defines boundaries, one main access into the site, they looked at a pedestrian connection, sidewalks, enforcing connection to a public parking ramp, which is Economic Development Authority Meeting Minutes November 2, 2005 Page 3 of5 under utilized, felt there was a needfor senior rental, especially as it is close to the clinic, churches, shopping mall, and drug store, provides access into the development, parking behind and along Central Avenue, some small businesses, offices, small restaurants, creates an amenity for the development, shared parkingfrom both the side and behind the theatre, creating a new front door for the church and parking area thqt is shared, urban rowhouse models along the road, which utilizes the space currently unused behind the rental building, and incorporated a community garden. Slack stated in Concept B it is essentially the same, except they moved the housingforward and created a green space for residents behind the building, as they had concerns about parking on Gould and would possibly close off access to Gould, but still obtaining access for fire and police, and emphasizes shared parking. Nawrocki stated with this concept you are essentially eliminating an entrance to the bank and the parking ramp, which comes off of Gould Peterson asked when you come west on Gould could you get through to the bank. Slack stated that is one of the things the concepts bring up, for discussion. Slack stated in Concept C he wanted to focus on continuing the street access through the site, for vehicles, it has generous sidewalks and boulevards, created more shared parking opportunities with the church and apartment building, and tends to open up the site and allow for more residents components. Slack stated in Concept D it is a long term concept, with buildingfronts along Central, expanded the road connection with a long term commitment, looks at the church and parking lot set back, shows urban townhomefiats enhancing the corner, works around the apartments, brings in the road connection, and creates shared parking. Murzyn asked what would we do with the church. Fehst stated it was a small church, with less than 100 members and there is another church in town that is looking to move, maybe they would consider moving to that location, it would certainly be something staff could look into. Peterson stated we should take out the apartments, not the church, as the apartment building has problems. Streetar stated when he met with the church members, they stated they wanted to see senior rental housing and had been talking about an expansion for youth, to their building. Loren Brueggemann, Sherman and Associates, stated as a developer, Concept C gives him the most interest, with more entrances, you could possibly add another row of urban townhomes, in his mind he sees the businesses need people, the homes have real urban appeal, with attached garages, greenery, walkways, it would be very appealing to the mid-range baby boomers. Between now and 2010, what we call the normal household of the 2 adults, l' child demographics will decline by 80,000 units over the entire United States, and the non- traditional household will increase by twelve million units, which is single adults, single adults with children, persons living as room mates, which likes to walk, has a tendency to have two homesteads, senior rental would be a good choice. He could also see some two-story houses, with two or four units connected The idea today is to go into the housing market with Economic Development Authority Meeting Minutes November 2,2005 Page 4 of5 different varieties of housing to attract all types of resident interests. Streetar stated there are two things staff would like the boards feedback on: 1) staff could arrange a tour sometime in November to a couple developments that are already established, if the board is interested; and 2) at this point stqfJwould like to get direction to pursue developers. '. Streetar stated he has talked to Gene Mady, which was very cooperative and would like to see a redevelopment in 12 months on the site. The owners of the Columbia Heights Rental went before City Council for approval to build a new facility behind White Castle, which was approved They have since sent a letter to Council members stating they would like to stay where they are at, which brings up three issues: 1) the property is non-conforming, meaning they would not be able to stay at that site and expand; 2) they have a lot of outdoor storage that isn't allowed, and 3) they have been good to work with, made a decision to move once before, which is a better decision than trying to stay where they are at. Fehst stated one of their main problems was that they bought two acres and really only need one, so maybe we could help them out somehow. Streetar stated he has sent commercial companies to them, but nothing has developed Williams asked if the garden area in Concept C is appealing to people, are they for sale and how many. Slack stated they felt the need to provide community gardens, which are extremely popular and there would be 20 homes, lOon each side for sale. Murzyn stated ifwe got proposals for developing the site, those developers would do a market study to see what we should put there. Streetar stated if you wanted to go that route: 1) we would take these concepts as an idea to see what the board is most interested in; and 2) talk about what the community needs, as we know there is a needfor senior rental housing and commercial, but felt it was important that who ever the EDA decides to work with, has a record of success. Murzyn asked if the board would like to set up a date to take a tour. Fehst stated it would be good to look at something after the last budget meeting on December 12th, but if they wanted to go sometime sooner, that would be okay too. It was determined to set up the tour for Saturday, December 17th from lOam to 1pm. Streetar stated staffwould make the arrangements. Murzyn asked ifwe should direct staff to prepare things for proposals. Nawrocki stated he was against more housing, would like to see more jobs created and wants to go on the tour first. Peterson stated there would be more commercial in two of the big buildings with this project. '. Peterson asked to have developers look at the apartments in that area for possible redevelopment in the future. Economic Development Authority Meeting Minutes November 2, 2005 Page 5 of 5 ADMINISTRATIVE REPORTS Apache Theater Streetar stated he has recently talked to Gerry Herringer, who is working with a developer for the site, but hasn't had time to start any real plans yet. Industrial Park Schumacher stated we are a couple of weeks behind schedule, there are three crews working currently, a fourth crew will be starting tomorrow, the plan is to put the first layer of blacktop on the round-a-bout and down to 5th A venue, they have two pads started, 16 permits have been pulledfor the first two buildings, they will try to work as much as they can before winter, 50 % of the pads are completed, the pilings are complete, a manufactured wall will be going up next week. Phase 1I- has received a lot of good response from DEED and Met Council after the groundbreaking, all of the out buildings have been removed, the back side of the foundry has started coming down. Phase 111- submitted the grant yesterday for the Grief Brothers property at $1.886 million, which we are hoping to hear by the end of December if we have received the funding, there is a City webcam that can be accessed through our City website, that was purchased usingfundsfrom the 1. T. Department. 49th & Central Redevelopment Update Streetar stated Anderson Builders has been working with owners of LaCaberna, Car Wash and Taco Bell. Staff would like to have Anderson come to the EDA meeting in December to update the board on the redevelopment site. Other Businesses Williams reminded the board that they have committed to working on a Community Center with gyms if the school levy passes next week. ADJOURNMENT Motion by Kelzenberg, second by Williams to adjourn the meeting at 8:49 pm. Respectfully submitted, 4'" /.? 4.?-~;!L-- ':.."7" ~. Cheryl Bakken Community Development Secretary H:\EDAminutes2005\ 11-2-2005