Loading...
HomeMy WebLinkAboutDowntown Development Authority - Minutes - 05/04/2000DdINNTOWN � DEVELOPMENT AUTHORITY 19 OLD TOWN SQUARE, SUITE 230 FORT COLLINS, CO 80524 Mary Brayton, Chair Chuck Wanner, Council Liaison Anne Garrison, Staff Liaison MINUTES OF MAY 4, 2000 484-1401 (W) 484-0810(H) 484-2020 (W) DOWNTOWN DEVELOPMENT AUTHORITY Regular Directors' Meeting Telephone (970) 484-2020 Telefax (970) 484-2069 REGULAR MEETING The Board of Directors of the Downtown Development Authority met in regular session at 7:30 a.m. on May 4, 2000 in the conference Room at Home State Bank, 303 East Mountain Avenue. PRESENT There were present: Mary Brayton, Chair Larry Stroud, Vice Chair Jason Meadors, Secretary/Treasurer Steve Slezak Greg Belcher Carey Hewitt John Pitner Chuck Wanner Margaret Brown STAFF GUESTS CALL TO ORDER APPROVAL OF MINUTES Jay Hardy, Executive Director Anne Garrison Lucia Liley, Counsel John Fischbach, Mikal Torgerson, Mimako Sato, Bill Sears Ms. Brayton called the meeting to order at 7.30 a.m. and roll call was taken. Mr. Meadors moved to adopt the minutes of April 6, 2000 as written, this was seconded by Mr. Belcher and carried unanimously. DDA MINUTES PAGE SEARS TROSTEL CONCEPTUAL REVIEW Mr. Hardy introduced Mikal Torgerson who made the presentation, using a model to convey the scope of this project. The Board's thoughts and input only were sought at this juncture; a request for funding will be made at a later date. This represents the first major project to be erected within the Poudre River Corridor area, and Mr. Torgerson shared that it would be constructed on the site of the Sears Trostel structure, built in 1928 and slated to be razed. The design intent is that of the Tedmon House, built in 1880 which stood on the comer of Linden and Jefferson, and was tom down to make way for the railroad. The cost of building will approximate twenty million dollars and will offer 25,373 square feet of retail space, the some amount for office space, complete with 21 lofts and 2 penthouses of roughly 1,000 to 1,400 square foot each. Within the next three weeks the conceptual review will take place by the City, the entire process will require about 18 months for approval. Ms. Brayton invited the Board to discuss high -end housing as it relates to tax increment dollars. Mr. Hardy cited two examples of ways to keep tax dollars in the district while effecting a mix of high, low and affordable housing. Information obtained from a like organization in San Diego indicated that of the tax increment dollars generated from any residential project in the District, 20% of the return is identified for use in other affordable housing projects within the District. In Denver there is a 'set aside' program in which a portion of the complex is captured for use as affordable units. Mr. Pitner spoke to the fact that the contribution of high -end homeowners in the downtown is enormous for business people. Mr. Slezak observed that projects such as this one are a solution to the public's dislike of sprawl and density, and that this, and similar projects fit perfectly the mission of the Downtown Development Authority. Mr. Wanner declared it an excellent in -fill project which makes good use of an area in which little is being done, at present. He also noted that it contributes to urban compactness. Mr. Hewitt observed the critical need for housing downtown, and asked to what extent we can support this endeavor. Ms. Brown considers this a very worthwhile project and would encourage the Board's support of it. Mr. Hardy pointed out that the tax increment from this project would provide an excellent source of funding for many other projects in the downtown. Since this project is about eighteen months out, DDA could already have received an affirmative vote to extend its life, or even discard the 2006 date. Mr. Fischbach conjectured that if DDA was successful in establishing a new district and this was the first project, the tax increment would run for 25 years. Mr. Stroud expressed an interest in a workable formula for parking needs. It Is understood that the Authority cannot participate in private parking. Mr. Stroud expressed concern regarding the owner's profitability margin. Due E DDA MINUTES PAGE 3 to a soft retail and office space market, it appears as if high -end housing would be the most financially beneficial segment of this project. Mr. Meadors believes that this project meets the goals of the Authority by helping to extend the corridor from downtown to the river, and by providing the type of public improvements which encourages further growth. Mr. Hardy noted that the facade would probably not be part of DDA's funding for this project. Ms. Brayton summarized the comments, observing that the Board is supportive of this project and noting that the focus rests on public improvements and not the structure itself. POUDRE RIVER These regulations remain an issue in progress to be brought before FLOODPLAIN City Council on June 6, 2000 which falls after the next DDA Board meeting. REGULATIONS Mr. Fischbach encouraged the Board with the knowledge that there is still the possibility for change and fine tuning. He confirmed that the hazardous waste issue has been addressed. The second reading is June 20, and Mr. Fischbach offered to work with Mr. Hardy to ensure that informational packets could be released as soon as possible so that the Board may address the issues. DDA WESSITE The City has presented DDA with an extremely attractive offer which the committee recommends the Board accept. By way of background, in January when the subject was first considered the Board was supportive of the idea but expressed concern about the cost. Through the courtesy of Mr. Fischbach and the City, our needs have been met and while we will have our own site, we will also have a fie to the City. Mr. Meadors moved to accept the City's offer of a web site along the general lines presented by City Staff. The motion was seconded by Mr. Hewitt and carded unanimously. LPC UPDATE Angela Milewski expressed regret for LPC's absence at one or two recent meetings, and suggested some new guidelines for attendance. If LPC needs to address the Board they will call and request to be placed on the agenda. In addition, if there is nothing on our agenda which relates to LPC they may decide not to attend. OTHER BUSINESS P i Z BOARD LETTER At a recent work session by the P & Z Board, Mikal Torgerson was named as representative to the Future of the DDA Planning Committee. The Board would like to be briefed on any issues or concerns relating to the DDA and downtown which were expressed during the work session. ADJOURN There being no further discussion, the meeting adjourned at 9:05 a.m. Jason Meadors, Secretary ddD11MVTOWN 0 DEVELOPMENT AUTHORITY 19 OLD TOWN SQUARE, SUITE 230 Telephone (970) 484-2020 FORT COLLINS, CO 80524 Telefax (970) 484-2069 To: DDA Boar Directors From: Jay Hard Date: June 1, 2000 000 RE: Wright Life Building — 200 Linden Street Bill Wright, owner of The Wright Life as well as the building located at 200 Linden Street will be present to introduce a mixed -use project planned for the corner of Linden and Walnut Streets. The project requires razing the existing structure currently on site. A community mural, which the DDA participated in funding will be removed and relocated. The final location of the mural requires the approval of the DDA. Plans for this project call for four floors, totaling 20,100 SF of retail and residential use. The basement and ground -level floors will house The Wright Life, and one additional tenant still to be determined. The upper three floors will feature 8 residential rental units. Estimates for the completion of the project are $2,519,778, with a projected opening in Fall, 2001. If the Board chooses to participate in this project, a facade acquisition might be the best way to ensure our interest in the property. Estimated costs for the facade are $471,216. The property owner understands our mission m this area and has agreed to grant a 20- year easement on the facade. For the sake of comparison, I asked Bill to detail out the facade costs as well as the public improvement costs. This information is located on the final page of the project packet. Tax increment is the most likely funding source, should the Board choose to participate. Of the total cost, $2,477,778 are estimated as taxable improvements. Commercial: 9,500 SF (47% of total improvements) $1,164,556 x .29 (commercial factor) x .097 (mill levy)_ $32,759 Residential: 10,600 SF (53% of total improvements) $1 313 222 x 08 (residential factor) x .097 (mill levy) _ $9,875 $42,634 Total estimated annual property tax $42,634 Annual Property tax increment ,034 Total estimated increment available $166,653 Estimated costs (Cost of bond issuance + interest) ($27,975) Tax increment less expenses $138,678 As the DDA continues to commit to projects which involve housing in the downtown area, the addition of 8 units, while not using any additional land, is a wonderful project. In conclusion, the addition of a building of such substance on this prominent corner, is a coup for the downtown area. This project exemplifies all the elements of the DDA mission, while supporting a long time Fort Collins business which has been through the good times and bad in downtown Fort Collins. ddoDdlivrvrowry • DEVELOPMENT AUTHORITY 19 OLD TOWN SQUARE, SUITE 230 Telephone (970) 484-2020 FORT COLLINS, CO 80524 Telefox (970) 484-2069 To: DDA Board of Directors From: Jay Hard} Date: June 1, 2000 U RE: 201 S. College Ave Building (Old Post Office) The building located at 201 S. College Ave. (Old Post Office) is currently in the final phase of an extensive renovation, which has spanned almost 5 years. The owners of the building One West Art Center, Inc. have inquired whether the DDA would commit some level of funding toward this final phase, which involves both internal and external improvements. The DDA has participated in an earlier phase of the renovation of this building, in the amount of $6,000. Additionally, the DDA office will process any Enterprise Zone contributions received toward the funding of this renovation. The Board is asked to determine whether it wishes to review this project at our July meeting. It is important to note the timeline will be after all improvements are completed. Financial totals for the renovation are not available at this time. However, if the Board chooses to review the project, all elements will be presented at that time. ddDIIVNTOWN 0 DEVELOPMENT AUTHORITY 19 OLD TOWN SQUARE, SUITE 230 Telephone (970) 484-2020 FORT COLLINS, CO 80524 Telefox (970) 484-2069 To: DDA Board of Directors From: Jay Hard Date: June 1, 2000L' RE: Poudre River Floodplain Regulations As discussed at our May meeting, the Poudre River Floodplain Regulations will be reviewed and voted on by City Council during the month of June. The first reading is scheduled for June 6, 2000. The second reading follows two weeks later. Contrary to our discussion in May, the packets for distribution were not available to the DDA until Tuesday, May 30'e. Attached is a resolution supporting Option B (the sub -committee's recommendation) with a few suggested changes to the City staff recommendation These changes were a result of the DDA sub -committee reviewing this topic. Also in your packet is the final information sent to City Council for review. RESOLUTION 00-02 OF THE FORT COLLINS, COLORADO DOWNTOWN DEVELOPMENT AUTHORITY RECOMMENDING TO THE CITY COUNCIL THE ADOPTION OF OPTION B OF THE POUDRE RIVER FLOODPLAIN REGULATIONS WITH THE FOLLOWING AMMENDMENTS WHEREAS, the Fort Collins Downtown Development Authority has been duly organized in accordance with the Colorado Revised Statutes 31-25-804, 1973 as amended; and, WHEREAS, a committee composed of members of the Board of Directors has met in both regular and special session in an effort to devote the necessary time to adequately evaluate its recommendations to the City Council with regard to the proposed Poudre River Floodplain Regulations; and, WHEREAS, the Board of Directors, has reviewed the proposed changes to the existing regulations of Poudre River Floodplain, and finds that: 1. Consideration of the health and safety issues integral to these regulations is deemed important to the DDA; 2. The protection of real property within the DDA district as it relates to the Poudre River is evidenced in the Authority's mission; 3. Adoption of Option B of the Poudre River Floodplain Regulations with the following changes: A. Allowing for property acquisition at Fair Market Appraised Value between a willing buyer and a willing seller, within the category designated "Property Purchase" R Allowing for mixed use (commercial and residential) structures within the category identified as "Residential/Commercial Development" NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE FORT COLLINS DOWNTOWN DEVELOPMENT AUTHORITY, that it hereby recommends to the City of Fort Collins City Council to approve Option B of the Poudre River Floodplain Regulations with the aforementioned changes. Passed and adopted at a regular meeting of the Downtown Development Authority Board of Directors this 1' day of June, 2000. Mary Brayton, Chair ATTEST: Jason Meadors, Secretary ddoD&rvTowry • DEVELOPMENT AUTHORITY 19 OLD TOWN SQUARE, SUITE 230 FORT COLLINS, CO 80524 To: DDA Board of Directors From: Jay Hardy Date: June 1, 2000� RE: Wal-Mart Annexation Telephone (970) 484-2020 Telefox (970) 484-2069 In April, 1999 the DDA agreed to sign an annexation agreement with Goldberg & Associates (the proposed developer of Wal-Mart) upon their acquisition of the land on the northeast corner of Lemay and Mulberry St. As is the case will all DDA annexations to date, the agreement was entered into voluntarily. The annexation agreement does not bind the DDA in any way. It enables the Authority to enforce the annexation, and at the same time allows it to decide against that course of action if desired. All requirements of this document (included in your packet) are scheduled to be fulfilled by June 22, 2000. Annexation would require the Board to select a recommended annexation flagpole, due to the lack of any land contiguous to the district. Therefore, the Board needs to review the following items: 1. Does the DDA wish to accept the annexation petition? 2. If so, should any or all of the money be `earmarked' for specific projects that may be presented to City Council as part of the annexation? 3. Where should DDA propose a `flagpole' (Mulberry or Lincoln As this issue has been debated for almost five years, it appears to have cleared its final hurdle. In doing so, it offers the single largest opportunity for the DDA since Old Town Square. Annexation of this property into the DDA will involve approximately $1 million per year in tax increment, as well as between $40,000-$50,000 in administrative support through the mill -levy. If the Board chooses to move forward with the process, it is important that all procedural elements are conducted prior to construction so as to secure the maximum tax increment. In terms of process, the DDA would arrange with the City Manager to appear as an agenda item at City Council to review the annexation. As City Council nears the review process of the Poudre River Corridor plan, the Authority has a tremendous opportunity to leverage the completion of projects, and/or develop a plan for laying infrastructural groundwork for this next step in downtown's progression. ANNEXATION AGREEMENT THIS AGREEMENT is made and entered into this I St day of AfelL, , 1999, by and between FORT COLLINS DOWNTOWN DEVELOP- MENT AUTHORITY ("DDA") and FT. COLLINS PARTNERS I, LLC, a Colorado limited liability company ("Ft. Collins Partners"). WHEREAS, Springer -Fischer, Inc., is the owner of the real property described on Exhibit "A" attached hereto and incorporated herein by reference ("the Property"). WHEREAS, Ft. Collins Partners has entered into an Agreement with Springer -Fischer, Inc., pursuant to which Ft. Collins Partners has agreed to purchase the Property. WHEREAS, Ft. Collins Partners has submitted an application to the City of Fort Collins ("the City") for approval of a plan to develop the Property for use primarily as a Wal-Mart store ("the Development Application"). WHEREAS, Ft. Collins Partners is willing to annex the Property to the DDA if Ft. Collins Partners acquires the Property and obtains final approval of the Development Application. NOW, THEREFORE, the parties hereto agree as follows: 1. Within thirty (30) days after all of the following events have occurred, Ft. Collins Partners shall petition to annex the Property to the DDA: (a) Ft. Collins Partners shall have acquired the Property; (b) the City shall have given final approval to the Development Application; and (c) any applicable period for appeal, court challenge, or voter referral of the final approval of the Development Application shall have expired. Ft. Collins Partners shall comply with all legal requirements and conditions necessary to annex the Property to the DDA and shall execute any and all petitions, maps, documents, and other instruments reasonably required by the DDA to annex the Property to the DDA. 2. The DDA shall have the right to specifically enforce the obligation of Ft. Collins Partners to annex the Property to the DDA pursuant to the terms of this Agreement if the conditions to annexation set forth in paragraph 1 above are satisfied. 3. In the event of any litigation arising out of this Agreement, the prevailing party in such litigation shall be entitled to recover its costs and reasonable attorneys fees. 4. Nothing contained in this Agreement shall be construed to obligate Ft. Collins Partners to acquire the Property or to pursue approval of the Development Application. Ft. Collins Partners shall have the right, at its sole and absolute discretion, to withdraw the Development Application. If Ft. Collins Partners does not acquire title to the Property and obtain final approval of the Development Application on or before September 1, 2000, this Agreement shall terminate, shall be of no further force or effect, and shall be null and void; all parties shall be released from all obligations hereunder; and the Property shall be free and clear of the burdens of this Agreement. 5. Nothing contained in this Agreement shall be construed to obligate the DDA to annex the Property to the DDA. IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year first above written. FORT COLLINS DOWNTOWN DEVELOPMENT AUTHORITY / BY: Title: -- FT. COLLINS PARTNERS I, LLC, a Colorado limited liability company , / -I. f 4�rn�1.����ri �� Request for Annexation into the Fort Collins, Colorado Downtown Development Authority District ®1P 01� Y4 The undersigned, being the owner of record of the property located at the northeast corner of Mulberry Street and Lemay Avenue, Fort Collins, Colorado, more particularly described as: Lots 1, 2 and 5 of the City of Fort Collins, County of Larimer, State of Colorado do hereby request annexation into the Fort Collins Downtown Development Authority District. State of Colorado LU County of Petitioner and Owner of Record: Ft. Collins Partners I, LLC, a Colorado limited liability company By: Goldberg Property Associates, Inc. Its: Managing Member Dated: Vice President The foregoing instrument was acknowledged before me this ___ day of 2000, by Mark A. Goldberg, Vice President of Goldberg Property Associates, the Managing Member of Ft. Collins I, LLL, a Colorado limited liability company My commission expires: Notary Public SEAL 1ADeve10pnent\Ft "ins. CDWDA Request for Annexation into the Fort Collins.doo TI,Trl 0 ddaD&NTOWN 0 DEVELOPMENT AUTHORITY 19 OLD TOWN SQUARE, SUITE 230 FORT COLLINS, CO 80524 To: DDA Board of Directors From: Jay Hardy Date: June 1, 2000� RE: Larimer County Ballot Issue Telephone (970) 484-2020 Telefax (970) 484-2069 During the November, 1997 election, Larimer County voters approved a tax, which included approximately $12 million for renovation of the existing courthouse. Since that time, the County has determined through a study, that it would be more efficient to construct a new building on the same site. However, the language in the 1997 initiative does not allow for this option. Larimer County recently sent out a mail -in ballot asking Larimer County voters for permission to construct rather than renovate the existing facility. This does not call for any additional tax other than what was approved by voters in 1997. Included in your packet is a resolution supporting Referred Issue I -A for you consideration. P RESOLUTION 00-03 OF THE FORT COLLINS, COLORADO DOWNTOWN DEVELOPMENT AUTHORITY SUPPORTING REFERRRED ISSUE i-A ALLOWING LARIMER COUNTY TO REBUILD AN ADMINSTRATION FACILITY ON THE CURRENT SITE OF THE LARIMER COUNTY COURTHOUSE WHEREAS, the Fort Collins Downtown Development Authority has been duly organized in accordance with the Colorado Revised Statutes 31-25-804,1973 as amended; and, WHEREAS, the Board of Directors has considered the Ballot issue regarding the renovation or construction of a building on the current site of the Larimer County Courthouse, at its regular June 1, 2000 meeting; and, WHEREAS, the Board of Directors considers the passage of said ballot issue a prudent use of resources, and allows for the most efficient County facility. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE FORT COLLINS DOWNTOWN DEVELOPMENT AUTHORITY, THAT IT SUPPORTS A VOTE BY THE RESIDENTS OF LARIMER COUNTY, ALLOWING FOR THE NEW CONSTRUCTION OF AN ADMINISTRATION BUILDING, IN PREFERENCE TO REMODELING THE EXISTING COURTHOUSE. Passed and adopted at a regular meeting of the Downtown Development Authority Board of Directors this 1" day of June, 2000. Mary Brayton, Chair ATTEST: Jason Meadors, Secretary D&NTOWN � d do DEVELOPMENT AUTHORITY 19 OLD TOWN SQUARE, SUITE 230 Telephone (970) 484-2020 FORT COLLINS, CO 80524 Telefax (970) 484-2069 To: DDA Board of Directors From: Jay Hardy J Date: June 1, 2000� RE: Updates Museum/Imax: It would seem that the developers schedule for exhibitions and a realistic timeline for construction are in conflict. The developers are now looking for a temporary site for a 3-4 year period, while a downtown site is further explored/buih. The temporary location would not include an Imax theatre. We identified the Montgomery Ward site as a possibility, and the construction company will be reviewing both the blueprints and the facility in the near future. The feasibility study now has a total of $20,000 committed ($1 OK DDA, $5K Bill Neal, $5K developer). White Oak Associates, Inc., the firm, which seems to have the most experience in Imax has agreed to do this portion for approximately $10,400. Unfortunately their schedule precludes them from undertaking the museum portion until at least fall, 2000. I am still in conversation with Kruzic Communications (the Denver firm) about performing the work on the museum DDA Future Committee: As we continue to meet, many elements have surfaced regarding the legislative issues surrounding the DDA as well as the financing issues. We are in the process of determining the right timeline and process due to these new factors. The Committee did not meet in May, but will resume on June 28°i. All minutes of the past meetings are included in your Board packets.