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3.1 HANDOUT -7/9ll3 wee/,`- Granite Shores Permanent Sign Application Background of Granite Shores On April 30, 2012,Jim Soderberg, president of Soderberg Apartment Specialists of Brooklyn Center, closed on the purchase of Granite Shores. Granite Shores is a four story mixed use building in downtown Elk River which has over 10,000 square feet of commercial space on the first floor, and 67 residential apartment units which encompass the top three fours of the building.These luxury apartments are complete with granite counters with oversized slabs, stainless steel appliances, stylish track lighting, washer and dryer in unit, heated underground parking and much more. Formally known as The Bluffs, this project went through foreclosure in 2006 and was acquired by MinnWest Bank. Only a handful of the 67 apartments units were completed, and for the most part,the building sat empty for several years until it was purchased by Soderberg Apartment Specialists. Since the purchase, all the apartment units have been completed, and Soderberg has been aggressive in his attempt to fill the commercial space. The residential portion of the building is 100%occupied. Soderberg Apartment Specialists is an active member in the Downtown River's Edge Business Association, not only supporting local businesses and community events, but worked with the Elk River Area Arts Alliance to find them a permanent home in Granite Shores. The community room in Granite Shores is often utilized (free of charge) by community organizations, included, but not limited to the Downtown River's Edge Business Association and Elk River Area Chamber of Commerce. Since their arrival in Elk River, Soderberg Apartment Specialists have quickly become active in the downtown and greater Elk River community, continuing to lend time and capital to projects which benefit downtown businesses and the community at large. Purpose of Sign Being located in close proximity and US HWY 10, Soderberg is proposing to construct an electronic message board free standing sign in downtown Elk River to not only advertise his commercial space, but to draw attention to beautiful downtown Elk River. Once constructed, Soderberg will donate up to 20%of the sign to be used to advertise downtown community events.These events include, but are not limited to: • Thursday concerts in River's Edge Commons, sponsored by The Bank of Elk River • All Elk River Parks & Recreation events (Chalk-it-Up, Kidstock, Movies in the Park) • Farmer's Market, sponsored by The Bank of Elk River • Elk River Area Arts Alliance ArtSoup event • Elk River Area Arts Alliance Annual Art Crawl • Downtown River's Edge Sidewalk Sales • Downtown River's Edge Santa in the Park • Downtown River's Edge Trick-or-Treat in the Park • Downtown River's Edge Pumpkin Roll Page 1 $ • McCoy's Annual St. Patrick's Day 5k for CAER Because the electronic portion of the freestanding sign is larger than 30 square feet, a conditional use permit (CUP) is required by the city. We will begin this process once the appeal of zoning decision process is finished. Support for Sign Recent MNDOT studies funded by the city have shown that future transportation changes will have a major impact on the downtown, specifically, the accesses to the downtown will decrease, which makes it imperative that promotion and awareness for downtown Elk River is maximized. In fact, the Mississippi Connections Redevelopment Framework Plan states "the downtown area of Elk River is the oldest part of the city and has long been considered the heart of the city. This area, the businesses in particular, have seen shopping patterns change, impacting the successes of their businesses. Further, the downtown businesses...will be impacted by expected changes to Highway 10...unaddressed; these changes can be devastating to fragile neighborhoods and businesses that are important to the Community of Elk River". Permitting the construction of the sign will assist in promoting the future viability of the community. City Investment The City of Elk River has already invested a considerable amount of time and money into downtown Elk River which include, but are not limited to the following: • numerous TIF districts • reinvestment through Microloans (Nicole's Salon, Daddy-Os, Blue Egg Bakery, Waterfall Salon, Olde Main Eatery, Diamond City Bread, Sweet P's Candies & Ice Cream, Nicole's Salon Pompeii Pizzeria, etc.) • River's Edge.Commons Park • Main Street Parking Plaza (includes acquisition/demolition of two buildings, and construction of new parking lot) Not only has there been extensive public and private investment, but city staff, outside consultants and businesses and downtown Elk River businesses have spent considerable time to ensure downtown Elk River thrives. In addition, permitting the sign will support endless goals and objectives outlined in multiple plans approved by the City of Elk River: Mississippi Connections Redevelopment Framework Plan This plan was finalized by staff in late 2012 to develop a plan to redefine downtown Elk River and promote future viability of the Elk River Community and intended to provide guidance to property owners, stakeholders and community leadership to position the area in such a way Page 2' that strengthens the area to survive the impacts of time and change, methods to re-establish the downtown area as a destination and desirable area to do business. Additionally, the purpose of this plan was to encourage private re-investment and "enhancing opportunities for connections with the community". Permitting the proposed sign will help achieve the philosophy as outlined on the Executive Summary of the plan (pages 2-3) as outlined below. The philosophy points are listed in bold, with supporting italicized comments below each goal. 20 Year Vision- ...framework is designed by necessity to have a long term horizon for completion...however, should not serve as deterrence to starting the plan or waiting for ideal market conditions. Working hard in the first three years to establish momentum and excitement will serve to propel the vision forward with commitment and conviction. A community sign will assist in establishing momentum and excitement for the downtown and will serve to propel the vision forward with commitment and conviction. Redefine- ...the intent of the framework is to respond to time and market changes that have already occurred, and to redefine a context for present and future development/redevelopment opportunities, offering guidance and opportunity for the area to survive these changes, many of which establish a development pattern much different from what the area was formed under...redefine becomes both the vision and the intrinsic value of recognizing the need for careful and guided change. A community sign will not only respond to the changes that have already occurred(Granite Shores), but will assist the entire downtown in strengthening their survival with the future changes of US HWY 10/169. As indicated in the philosophy, this will establish a development pattern much different than what the area was formed under, therefore, the proposed sign in front of a building built in 2004 is not having a negative impact on any perceived history of the downtown. The sign will assist in re-defining the greater downtown area by recognizing the need for additional business and community event and support to continue to draw people to the downtown. Core Downtown-the plan attempts to provide opportunities to draw people to the core downtown through festivals, markets, music events to promote the core as a destination, a characterization that will be more and more important as travel patterns evolve away from the direct access currently employed. A sign displaying community event information located mere feet from the intersection of US HWY 10/169 and Main Street Elk River, and at the entrance of downtown Elk River, constructed of complementing building materials will welcome those when they enter not only downtown Elk River, but the city in its entirety.Additionally, the sign provides the opportunity to promote Page 3 all downtown events, in turn, promoting the core as a destination, which is defined verbatim as a core philosophy of the downtown plan. Commitment to Implement- no redevelopment framework has value until commitment to implement is agreed upon Approved by the City Council and all other applicable parties in late 2012, this framework has value, and permitting the sign helps offset the total cost of public investment necessary to execute the plan and preserve and promote downtown Elk River. Additional supporting verbiage as pulled from the downtown plan: Characteristics of the Downtown • When asked; what the downtown should have but doesn't', task force members responded that the downtown should have informative signing. • When asked 'how do you know you're downtown', task force members indicated `signage' as a response. • When asked 'what does downtown mean to you', task force members responded a 'balance of old and new' as a response. Goals of the Plan- Maximize long term public investments within the study area by encouraging significant amount of private investment in a way that benefits the community as a whole. The community sign represents significant private investment that benefits the community as a whole through the promotion of downtown, downtown businesses and community events. Elk River Vision and Goals Various staff members participated in a two-day visioning seminar in September of 2010 which resulted in setting a vision and four supporting goals for Elk River.These were approved by the City Council in October of 2010 and have subsequently been updated by staff to highlight key initiatives to be completed or reviewed.The vision and goals are utilized when constructing the budget and were utilized in the creation of the 2013 budget for Elk River. Permitting the proposed SIGN will help achieve three of the five goals as outlined below.The goal and definitions are listed in bold, with supporting italicized comments below each goal. Innovation-develop new programs and services to meet the needs of the community A community sign has been talked about over the years by staff-in fact, during a phone conversation with Mr. Barnhart and Ms. Deckert in February of 2013, Mr., Barnhart indicated the city had discussed the idea of having an electronic message board sign and would be open to the idea if someone was willing to build it for the city. This shows a need for this type of sign; Page 4 permitting the sign would achieve developing a new service to meet the needs of the community. This sign would publicize and advertise all community events downtown. Community Development-enhance and expand and diversify public education and outreach A sign displaying community event information(a good portion of community events are held in downtown Elk River) will only enhance and diversify the city's current efforts to promote community events downtown Beautification- have attractive, welcoming streetscapes and city entrances and primary corridors, improve, revitalize, and invest in streetscaping along primary corridors and entrances A sign displaying community event information located mere feet from the intersection of US HWY 10/169 and Main Street Elk River, and at the entrance of downtown Elk River, constructed of complementing building materials will welcome those when they enter not only downtown Elk River, but the city in its entirety. Per the MN Department of Transportation, in 2010, there were an average of 28,000 cars a day which crossed the intersection of Main Street and HWY 10, and an average of approximately 8,000 a day which crossed over Parish Avenue and Main Street in downtown Elk River. An attractive welcoming sign seen by that many people each day will bring awareness to the Elk River community, local businesses and community events, helping achieve the city's goal of investing along primary corridors and entrances to the city. Brand Implementation Plan Adopted in September of 2010, permitting the sign would assist in supporting/fulfilling the following as identified in Powered by Nature Brand Plan. Plan recommendations are bold and supporting text is italicized below. Champion Gateway Signage-during the branding process, it was observed and remarked upon that there was no sense of arrival in Elk River, and little, if any, attention to diverting traffic off the highways and into the downtown area-this is a poor economic development and marketing strategy given Elk River's opportunities and strategic location. Gateway signage creates a good first impression, signals arrival and raises curiosity among travelers;therefore it is recommended the city establish downtown arrival. The convergence of the highways at the turnoff into downtown Elk River must be optimized as a priority marketing and business opportunity. Seek collaboration to lobby for appropriate signage that helps driver's find their way into downtown Elk River. The proposed sign will clearly provide a sense of arrival into Elk River, and will divert traffic off highways into the downtown area, in addition to providing a good first impression. The proposed sign will clearly establish downtown arrival, and its proposed location is optimal, which takes advantage of this priority marketing and business opportunity and helps driver's find their way into downtown Elk River Page 5 Elk River should consider a timed message during peak seasons when travelers go up north to maximize outbound marketing to non-residents A total of 20%of sign time will be devoted to messages about the Elk River Community. Downtown Elk River is the destination-focused center of community social life. While social living in Elk River is found in many places,the place where the community desires to congregate is the downtown-people speak of its role in an affectionate manner, but with mild disappointment (empty commercial space) The purchase of Granite Shores and no vacancy rate of the residential portion is helping to change this- the construction of the sign will draw light to the downtown and assist in filling the empty commercial space. Elk River's downtown serves as Elk River's sense of place and identity.This is, and should be, the center of Elk River's community voice. Proposed signage includes community brand, Powered by Nature 2013-2016 Economic Development Strategic Plan In September of 2012, the Elk River EDA authorized staff to utilize existing plan findings, recommendations and goals to create the 2013-2016 Economic Development Strategic Plan. Adopted in January 2013, permitting the SIGN would assist in supporting/fulfilling the following as identified in the Economic Development Strategic Plan. Goals/objectives are bold, with supporting italicized comments below each goal. Business Development- attract new businesses and support existing businesses to increase the city's industrial tax base, commercial base and employment base through the following strategies: • promote available sites, encourage business retention and expansion to grow existing commercial base with business recruitment and attraction techniques • diversify economic base to include a wide variety of retail and service industries, as well as fine dining opportunities The proposed sign will help promote the available commercial space in Granite shores, promote retaining and growing existing Elk River downtown businesses(commercial base) and in turn, diversify the economic base to include a wide variety of retail and service industries through the marketing of available space and community events-potential businesses will learn more about the community and the people generating activities downtown, therefore increasing the attractiveness of the available space. Community Brand- utilize community brand strategies to effect necessary changes to strengthen and enhance community image through the following strategies: Page 6 • continue to implement and enhance marketing plan that reflects the Powered by Nature brand, identifies desired target market(s), and complements other local efforts to promote community internally and externally • maintain existing and build new community support for the Powered by Nature brand The proposed sign will enhance the marketing plan that reflects the Powered by Nature brand through the electronic messaging and permanent Powered by Nature verbiage on the SIGN. Additionally, the sign will help maintain existing and build new community support for the Powered by Nature brand through the brand awareness it will generate with those driving past the sign on Parrish Avenue, Main Street and US HWY 10. Page 7