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HomeMy WebLinkAbout6.h. Authorization to Submit an Application to the Dakota County Community Development Agency Redevelopment Incentive Grant 4 ROSEMOUNT 4 EXECUTIVE SUMMARY CITY COUNCIL E ` City Council Regular Meeting: January 17, 2012 ,. AGENDA ITEM: Authorization to Submit an Application to the Dakota County Community AGENDA SECTION: Development Agency Redevelopment Consent Incentive Grant., PREPARED BY: Eric Zweber; Senior Planner , AGENDA NO. Lo. 1/1 _ ATTACHMENTS: Resolution; Grant Application APPROVED BY: RECOMMENDED ACTION: Motion to Adopt a Resolution approving the Submittal of the Application for Underground Parking for the Steeple Center Senior for the Dakota County Community Development Agency Redevelopment Incentive Grant. ISSUE The Dakota County Community Development Agency (CDA) has made $1,000,000 available to the Dakota County cities during 2012 for redevelopment grants. The application for the Redevelopment Incentive Grant (RIG) is to construct a portion of the underground parking for the Steeple Center Senior Housing. The City has been considering the redevelopment of the site into senior housing including a possible Senior Center. The City has received a previous CDA RIG for one -third of the demolition costs of the former St. Joseph's School and a Metropolitan Council Livable Communities Demonstration Account (LCDA) for site and infrastructure improvements. A Resolution authorizing the submittal of the application is required'as a part of the CDA application process. This application includes the developer's construction costs as the matching funds and the City would not financially contribute the matching funds. RECOMMENDATION Staff recommends a motion to adopt the resolution to submit an application for the CDA Redevelopment Incentive Grant. } �' f CITY OF ROSEMOUNT DAKOTA COUNTY, MINNESOTA RESOLUTION 2012 - A RESOLUTION APPROVING THE SUBMITTAL OF THE APPLICATION FOR UNDERGROUND PARKING AT THE STEEPLE CENTER SENIOR HOUSING FOR THE DAKOTA COUNTY COMMUNITY DEVELOPMENT AGENCY REDEVELOPMENT INCENTIVE GRANT WHEREAS, the City of Rosemount has identified construction of the underground parking at the Steeple Center Senior Housing as a proposed project within the City that meets the Dakota County Community Development Agency (CDA) Redevelopment Incentive Grant program's purposes and criteria; and WHEREAS, the City has established the Redevelopment Framework for Downtown Rosemount, a Redevelopment Plan, which establishes goals and policies to create a pedestrian friendly, mixed uses, transit orientated Downtown; and WHEREAS, the City has the capability and capacity to ensure the proposed project be completed and administered within the Redevelopment Incentive Grant program guidelines; and } WHEREAS, the City has the legal authority to apply for financial assistance; and WHEREAS, the City is supportive of affordable housing and of the CDA's mission to improve the lives of Dakota County residents through affordable housing and community development. NOW THEREFORE BE IT RESOLVED that the City of Rosemount approves the application, . for funding from the Dakota County CDA Redevelopment, Incentive Grant program. BE IT FURTHER RESOLVED that upon approval of its application by the Dakota County CDA, the City Administrator of the City of Rosemount, is hereby authorized to execute such agreements as are necessary to receive and use the funding for the proposed project. ADOPTED this 17th day of January, 2012, by the City Council of the City of. Rosemount. William H. Droste, Mayor ATTEST: { Amy Domeier, City Clerk Dakota County Community Development Agency CDA Redevelopment Incentive Grant Application k f General Information 9 Project Name: Steeple Center Senior Housing Applicant City: Rosemount Applicant Address: 2875 145 Street West, Rosemount,- MN 55122 Application/Project Contact: Kim Lindquist, Community Development Director Contact Email Address: kim .lindquist @ci:rosemount.mn.us Phone Number: (651) 322 -2020 Fax Number: (651) 423 -4424 Authorized Official(s) for Execution of Contracts (name and title): Dwight Johnson, City Administrator How much funding are you requesting? $240,000 Project Site Information Site Address(es): 14375 South Robert Trail, Rosemount, MN 55122 Acreage of Site: 3.15 Acres Number of Parcels: Six, will be combined and split into two parcels Is the site publicly or privately owned? Publicly Current Site Owner(s): City of Rosemount /Port Authority of Rosemount Current Appraised or Assessed Value of the Site: $2,061,500 assessed value Projected appraised or Assessed Value of the Site after redevelopment: About $6,950,000 based on the assessed value of similar market rate assisted living buildings in Dakota County Attach the appraisal or assessor's current and projected values. After redevelopment is complete, will the site be publicly or privately owned? Site will be divided with about 2.15 acres in private ownership and about 1 acre remaining in public ownership. Post- redevelopment Site Owner(s): Currently unknown. The City is working, with a team on the redevelopment project. A project owner has not been identified at this time When has /will the acquisition be completed? Development anticipated to be complete by the end of 2013. Legal Description of Site (may be separate, attachment): See attachment How many residential buildings are on site? None Institutional buildings?. Presently three; two will be demolished :shortly How many residential buildings are vacant? None Institutional buildings? One of the two 1 , E Project Information Describe the city's goals and need for this project. The grant request is to provide additional parking at the Steeple Center redevelopment site. The site currently has 45 spaces, which will be reconfigured as part of the redevelopment plan.. The redevelopment also brings additional uses to the site: senior center, senior housing,-and a pocket park. Space is made available on the property by demolishing the obsolete school and redesigning the site However, increasing the density on the site means there will be more activity and hence more parking demand on the site, while there will be less land to provide surface parking. For -that reason, the City is strongly encouraging underground parking within the senior housing project. That parking will mean that independent living residents will have sheltered space for their autos, and some'employees may also be able to utilize the underground parking. Due to security issues, the underground parking would not be available for the public and would be designated for senior housing use only. However, ensuring that the senior housing use primarily utilizes the underground parking helps reduce the demand on the site's surface parking. The intent of the redevelopment project is to bundle like uses that complement each other and benefit from close proximity. It is hoped that the senior housing residents will use the adjoining library and senior center, reducing vehicular trips to the site. Larger gatherings of seniors that would exceed the space within the senior center or the housing project can be accommodated at the Steeple Center. And it is intended that all uses on the site will be able to enjoy the pocket park amenities. While shared trips from on -site residents can reduce parking demand compared with each of the individual uses, it is recognized that the uses will also attract a population that must travel to the site by automobile. And at times the demand could be great, such that on -site surface parking cannot accommodate all of the site development. J The City recognizes that in periods of high demand, alternate parking locations will be used. They include on Cameo Avenue; across Hwy 3 in a public parking lot; shared parking with the library; and even some parking along other residential streets and at the school parking lots on off hours. However, during lighter daily use it would be preferable that on -site facilities can accommodate property land uses so as not to detract from the surrounding neighborhood residential experience. By ensuring that tenants of the senior housing project will not occupy public surface parking, those spaces can be used for other on -site uses. Has an end user committed to redevelopment of site? The City went through a RFQ process in which a senior housing development team was chosen. City staff has been working with the team to F. develop a plan that includes a private senior housing project, shared - surface parking, public senior center and the current Steeple Center. Identification of project' funding and of an eventual owner by the development team is currently underway. Describe how the project will make more efficient use of the site. In the previous grant request relating to demolition of the school portion of the Steeple Center complex, the City application stated the following, which still holds true: 2 There are many civic and service uses Downtown (including the Robert Trail Library, City Hall, f , the post office, a bank, dentists, and yarn and quilt shops) that would be.within'walking'distance of the future senior housing residents. In addition, to the north and west of this'site are +' Rosemount Elementary, Middle, and High Schools and the Rosemount Community Center. There is current transit service to the site and transit services Downtown will be expanded with the completion of the Rosemount Depot park and ride. These nearby uses and facilities make senior housing a very efficient use of the site. 1 G The redevelopment of the site allows for 'compact use of the strategically located site. Unfortunately, all envisioned uses demand parking. The proposed surface lot provides some parking opportunities, but when all buildings are being used, the site parking demand cannot be accommodated. The addition of underground parking for the senior housing use will ensure that residents, and perhaps'some employees, do not need to utilize public on -site stalls. Describe the larger redevelopment project to which this projectwill be a part. Include details of anticipated businesses, housing units, and other proposed components. Redevelopment of the St. Joseph's Complex continues the redevelopment efforts of the City in the Downtown area. The anticipated introduction of residential uses on the site is'consistent with the Downtown Framework; which encouraged additional medium- and higher - density residential development in the Downtown. The current senior housing concept plan envisions senior housing units, a 5,000- square foot senior center, 48 surface parking stalls and a 6,100- square foot public park. The City owns approximately 2.5 acres, three blocks south of this'site, at the former Genz Ryan property. The redevelopment plan for the Genz Ryan site is service commercial and /or professional offices. The City has demolished the existing buildings and is actively marketing the site through a broker. a t 4 { The City owns approximately 1.2 acres about two blocks south and east at Burnley Avenue and 145t , Street for a park and ride site called the Rosemount Depot. The Rosemount Depot will be a 100 -stall park and ride that will have an enclosed shelter and provide both local and express bus service. The Rosemount Depot has CMAQ funding for 2013 but the City is actively pursuing advance funding to construct the facility in early 2012. Describe redevelopment phase(s) already completed and/or other adjacent development/redevelopment. The St. Joseph's complex was purchased in 2004. In 2007, the southern third of the property was given to Dakota County for the construction of the Robert Trail Library, which opened in early 2009. In the greater Downtown area, additional development has also occurred. Stonebridge Development has constructed a three -story building with 13,000 square feet of commercial space and 108 rental units called Waterford Commons which was completed in the summer of 2009. Twenty percent of the units are affordable to people making less than fifty,percent of the median income. Describe how owners, tenants, and businesses will be temporarily or permanently relocated. There are no tenants to be relocated. St. Joseph's parish had previously relocated to its new site at Biscayne Avenue and Connemara Trail. J t �F a Y T Itemize all other funding sources. Source of Funds Amount Committed Pending Dakota County CDA $120,000 .X Metropolitan Council. $440,000 Dakota County Environmental $50,000 X Management/ EPA City of Rosemount $4,325,725 X Developer $10,500,000 X • Total: $15,435,725 Itemize project expenses. Be as detailed as possible. Funding Itemized Use of Funds /Expenses Costs Source Sixteen (16) Underground Parking Stalls $240,000 CDA Building Construction $10,500,000 Developer Total: $10,740,000 any zoning amendments or variances needed? No What is the status? The Downtown zoning district allows for senior housing. The final site plan is not complete so it is unclear if variances are required for development. Is a comprehensive plan amendment required? No What is the status ?. Is an environmental review required? Yes What is, the status? Dakota County is assisting with a Phase I and Phase II over the entire site. Will a market or feasibility study be performed? Yes What is the status? A senior housing demand study has been conducted by Maxfield Research dated 4/5/2011. 4 Indicate the number of housing units planned in the project. r { Total # of # of Owner #, of Rental Proposed Rents /Sales Units Units Units Prices Single Family Townhouse Apartments /Condominiums 68 68 Likely $1,400 and up Duplexes Other: } Will any existing affordable housing be demolished? No If yes, please explain. „ Will there be any mechanisms to ensure long -term affordability? If affordable housing is created, the City will work with the provider to maintain affordability into the future. If yes, please describe: What are the current property taxes for the project site? $0 Pay Year 2011 What will the <estimated property tax be after redevelopment? $108,420 Pay Year-' 2014 How was this figure determined? Based on the ;1.56% tax paid by apartments in Rosemount in Pay Year 2011. Who determined it? Eric Zweber, Senior Planner Project the number of new jobs created after redevelopment. Total new jobs = 12 FTEs. Number of new jobs with wages greater than $15.00 per hour = , 12 Project the number of jobs retained after redevelopment. Total retained jobs = n/a FTEs. Number of retained jobs with wages greater than $15.00 per hour = n/a Has the project site been found or suspected to be contaminated ? The church was constructed on this site in 1924 and the school building was constructed in 1953. With the long history on this site, it is expected that some contamination in the structure will'be found, such as asbestos building products and mercury electrical equipment. Currently the City is partnering with the County and EPA, which are conducting a hazardous materials review of the building and conducting a Phase I and II. The City is committed to any cleanup necessary based on the findings of these studies. ° f Does your project include the clean up of contaminated soils, hazardous waste or materials? Yes. If found, materials would be abated and cleaned up. 5 { pp • Describe other positive environmental impacts the project will have The City has been implementing a number of environmental improvements as sites' redevelop a rtes redevelo Y P p Downtown. Both the library and Waterford Commons employed rain_ gardens in their site designs. It is expected that the final site plan will upgrade stormwater quality, as the property was developed before existing quality standards. The site design will-also reflect a denser and more compact development befitting`a Downtown. That will provide more focused use of land and existing utilities, which is a tenet of Smart Growth. Describe how the project incorporates smart growth concepts, including proximity to public transit, friendly design, maximizing green space, mixed land uses, and community building element. Transit is provided to Rosemount through the 420 flex route operated by the Minnesota Valley Transit Authority. The 420 runs east to west along 145` Street West, a half block south of the St. Joseph's Complex, from the Rosemount City Hall to the Apple Valley Transit Center. If residents with special needs required direct service to the St. Joseph's Complex, a call to MVTA would allow the 420 route to "flex" its route directly to the Complex. There is also express service at the Community Center through the 476 and 478 routes. It is anticipated that the new park and ride, south of City Hall, will be available in the summer of 2012, which will allow senior housing residents a transit alternative: More importantly, the property location is within walking distance of many of the public buildings in Rosemount: 20 feet from the Robert Trail Library, 200 feet from Rosemount Middle School, 600 feet from Rosemount Elementary School, 850 feet from Rosemount City Hall /Police Station, 1 300 feet from Y > Rosemount High School, and 1,850 feet from the Rosemount Community Center. The St. Joseph's Complex is also located directly across the street from the South Robert Trail access to Central Park, which leads to the Koch Trail, City Hall, and Erickson Park. The project intent, bringing complementary uses to one parcel, is consistent with Smart Growth ideals as there is no need for vehicular - travel between uses and the site is well used Overall, it is not expected that the site plan will have more green space than the previous condition, since the five houses that comprised the property had substantial open lawn. However, by combining uses on the site, the seniors, steeple center, -and library patrons can share site amenities such as the pocket park that will be incorporated into the design. The anticipated site design is more consistent with a Downtown's dense development, rather than a suburban setting.