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2.0. SR 06-27-2005 Item 2. MEMORANDUM TO: Mayor and City Council FROM: Catherine Mehelich, Director of Economic Developmen~ DATE: June 27, 2005 SUBJECT: Downtown Revitalization Project Discussion with MetroPlains Attachments . Staff Report to City Council te: Approval of Construction Plans dated May 16, 2005 . May 16, 2005 City Councill\1eeting J\1inutes . June 6, 2005 Draft HR-A Meeting J\1inutes Background ~At its 11ay 16, 2005 meeting the City Council revie"\ved and approved the Construction Plans for the Jackson Place and Bluffs of Elk Riv"'er projects in accordance 'With the requirements of the Development ~Agreement and described in the attached lVfay 16, 2005 staff report and meeting minutes. The HRA's review and approval of the Construction Plans is not a requirement of the Development Agreement, however the HRA provided comments on the designs to MetroPlains Development at its June 6th meeting as reflected in the attached meeting minutes. Issue Since the approval of the Construction Plans, Council members ha\Te received feedback regarding the designs of the proposed projects, particularly The Bluffs of Elk Ri'7er. Vem Hanson of 11etroPlains Development \'\rill be in attendance at meeting for a discussion 'With the Council. MEMORANDUM TO: Mayor and City Council FROM: Catherine Mehelich, Director of Economic Development DATE: May 16, 2005 SUBJECT: Consider Approval of Construction Plans for Conformance with Development Agreement - MetroPlains Development, LLC Attachments . Construction Plans for Jackson Place and The Bluffs of Elk River projects . Development Program for De\Telopment District No.1 . Memo dated 11ay 16, 2005 from Planner Chris Leeseberg re: Design Review Background The City entered into a Development ...Agreement "\\rith MetroPlains Development, LLC at the end of last year. Since that time staff has been working closely with MetroPlains to make progress on a number of activities leading up to the anticipated summer project construction. Issue Follo'Wing the substantial completion of the parking lot improvement and a number of contingencies outlined in the Development _Agreement, the city-owned Jackson Block property will be transferred to the developer. One of the conditions of the sale is the City Council review and approval of the project Construction Plans.. The Construction Plans include the parking plans for the construction staging period and post construction period. The sworn construction cost statement has been reviewed by the city financial advisor, Ehlers & ..l\ssociates, as evidence that the project is ready to be built. The construction staging plan was approved by the Council at its December 20, 2004 meeting. Representatives from MetroPlains "\\rill be at the meeting to prov~de a brief PowerPoint presentation of the Construction Plans. Analysis Section 4.1 (a) of the Development Agreement states that the City Council shall appro\Te the Construction Plans if: (i) the Construction Plans substantially conform to the terns and conditions of this (De\Telopment) Agreement; (ii) the Construction Plans are consistent with the goals and objecti\les of the (City's Tax Increment Financing) Development Program; and Consider .i\.pproval of Construction Plans - MerroPlains Development May 16,2005 City Council 11eeting Page 2 of3 (ill) the Construction Plans do not violate any applicable federal, State or local laws, ordinances, rules or regulations except as set forth in appro\Ted variances (provided, hO",\\7ever, that a finding of no such violations does not necessarily constitute a finding that the Construction Plans meet all requirements of such federal, State or local laws, ordinances, rules or regulations). The review and approval of the Construction Plans is only a requirement as it relates to the Development ~Agreement and does not constitute review and approvals normally required from the city planning, zoning and building permit process. The Construction Phns substantially conform to the terms and conditions of the Development Agreement which requires the demolition and clearing of existing structures to construct approximately 68 units of owner-occupied housing and approximately 10,820 square feet of retail space, together with related parking facilities (The Bluffs of Elk River); and the construction of approximately 32 units of rental housing and approximately 13,000 square feet of retail space, together with related parking facilities Gackson Place). The Construction Plans for The Bluffs of Elk River includes: . 67 units of owner-occupied housing . 11,000 square feet of retail space . 110 underground parking spaces The Construction Plans for Jackson Place includes: . 32 units of rental housing . 10,695 square feet of retail space . 44 underground parking spaces and 12 surface parking spaces The Construction Plans ate consistent \\i1.th the objectives of the attached Tax Increment Financing Development Program for the City of Elk Ri,Tet, namely to: . Increase employment opportunities by encouraging additional commercial development; . Preserve and enhance the tax base; . Presel\Te and enhance the quality of life; and, . Provide an impetus for residential development The Construction Plans appear to conform to applicable federal, State or localla"\\7s, ordinances, rules or regulations. The City's Planning Department has reviewed the plans for conformance with the Downtown District ordinance and other local ordinances. Planner Chris Leeseberg has written the attached memo regarding staffs re\riew of the building design and suggested changes to the design of Jackson Place. The City Council should determine if the Developer should make these suggested changes. The remaining items before construction can begin are the approval of the final plats and issuance of the building permit. The final plats are scheduled to be considered by the Council at its June 6th meeting. The Construction Plans are currently under review b}7 the City's Building Inspections Department. Consider .i\pproval of Construction Plans - MetroPlains Development May 16, 2005 City Council Meeting Page 3 of3 Recommendation Staff recommends that the City Council consider approval of the Construction Plans as it meets the requirements of the De\Telopment ...t\greement. Item #6.9.c. MEMORANDUM TO: Catherine Mehelich, Director of Economic Development FROM: Chris Le:seberg, Planner ~ DATE: May I 6, 2005 SUBJECT: Design Review of Jackson Place and The Bluffs of Elk River Overview Staff met with the applicant on April 18, 2005 to give feedback on the proposed designs for both Jackson Place and The Bluffs of Elk River. Putpose The intent of the Downtown district is to preserve this distinctive character with the appearance that there ate multiple buildings that are distincrly different from .one another yet allow a uniform mass of building with the appearance of vertical separati9n. Jackson Place Staff felt the "end units" of this building facir?-g J ackson Avenue and Main Street are done exceptionally well and interact with the existing architecture across the street and meet the District's intent. They look like buildings in a small town downtown- The biggest concern raised with this building is the overall mass of it. . The entire roof line has no change in height and about half of the cornice does not have an articulated design. Design applications are implemented in the building between the "end units" (mid section) that tries to create the feel of different height buildings ~th a change in material, but that alone is not enough. The guidelines indicate that "Cornice heights. . . vary in height from unit to unit by at least 24 inches." Staff recommended that both "end units" have the cornice height .raised by at least 24 inches to help create the appearance of different buildings. This recommendation should not affect any of the interior space or stroCtuIal integrity of the building. The repetitive "mid section" should try to create some variation to meet the intent. This could be accomplished with color/material changes and/or changes in comice design and Planning Department Mission: the orderly development of a livable and sustainable Elk River community. . City Council / P 05-04 May 16) 2005 Page 2 detailing, si.mila.t to what is being proposed on the south elevation. An articulated cornice at feast 24 inches in height shall be required for each building unit width. Cornice detailing shall be achieved through, but not limited to, corbelling, varied ornamental moidings and reliefs. . . The same cornice detail shall not be the same as the two a4jacent units to each side. Staff would recommend that further design studies of the "mid section" be provided that help achieve a design more reflective of the District's intent. The Bluffs of Elk River The staff consensus of this building was that it was an appropmte design. The issues staff raised at the April 18th meeting were addressed. Although this building has some si.tn.ihlrities to Jackson Place such as "end units" and a repetitive "mid section", this building does not have existing downtown fabric across the street to interact with and works as a stand alone project Recommendation Staff recommends that further design studies of the west and south facades of Jackson Place be executed and changes to the building exterior be made to comply with District .requirements. c: \ Documents and Settings \ cleeseberg\Desktop \DT Memo.doc City Council1vfinutes May 16, 2005 Page 11 1. AS A CONDITION TO CLOSING ON THE JACKSON BLOCK PROPERTY, METRO PLAINS DEPOSIT $500,000 WITH THE CITY OF ELK RIVER FOR THE ACQUISITION COST OF THE JACKSON BLOCK PROPERTY TO BE RELEASED WHEN THE CLOSING OF THE CONSTRUCTION FINANCING FOR BLUFF BLOCK PROJECT OCCURS. 2. IF CONSTRUCTION OF THE BLUFF BLOCK PROJECT DOES NOT COMMENCE BY DECEMBER 31, 2005, METROPLAlNS WILL NOT RECEIVE ANY TAX INCREMENT FINANCING ASSISTANCE WITH RESPECT TO EITHER THE BLUFF BLOCK PROJECT OR THE JACKSON BLOCK PROJECT PROVIDED THAT IF UNFORESEEN CIRCUMSTANCES ARISE, THEN AT CITY COUNCIL DISCRETION THE PERIOD DATE CAN BE EXTENDED TO NO LATER THAN APRIL 30, 2006. MOTION CARRIED 4-1. Councilmember Farber opposed. Councilmember Farber stated he has never been in support of the Jackson Place project. MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY COUNCILMEMBER GUMPHREYTO AWARD SCHEDULE 1.0 OF THE KING AVENUE PARKING LOT BIDS. MOTION CARRIED 4-1. Councilmember Farber opposed. / /c. Consider ..A.pproval of Construction Plans for Conformance Vlith Development Agreement- MetroPlains Development_ ILC Director of Economic Development Catherine Mehelich submitted the staff report. Ms. Mehelich stated MetroPlains is requesting approval of the construction plans for both the Bluff and Jackson projects as required in the development agreement. She stated the Planning Department included a list of concerns in their staff report. Vern Hanson, of MetroPlains Development-Stated the design of the buildings meet the intent of Elk River's design standards for downtown. Michele Mongeon, of JLG Architects-Gave a presentation of the design for the Bluff and Jackson project. Mayor I<linzing stated both projects are a good design. MOVED BY COUNCILMEMBER GUMPHREY AND SECONDED BY COUNCILMEMBER MOTIN TO APPROVE THE CONSTRUCTION PLANS FOR JACKSON PLACE AND THE BLUFFS OF ELK RIVER. MOTION CARRIED 4-1. Councilmember Farber opposed. 6.10. Discuss Development of City Owned Cargill Land Housing & Redevelopment ~~uthority June 6, 2005 (5)[R1~[Fl Page 3 L' > 1YfetroPlains Develoomenr Liodate-Constroction Plans .... .... ivIs. 1:vlehelich stated that the Council recently approved the construction plans for the project as required by the development agreement. lvIs. Mehelich introduced ,I ern Hanson of lvIetroPlains Development and stated that he \vould be providing an oveme\v of the constrUction plans for the do\vnto\vn Bluff and Jackson projects. Ivf.r. Hanson revie\ved the building renderings for these t\vo proj ects. Commissioner Iieser questioned if feedback \vas received from residents. IvIs. lYfehelich stated that the comments received have been mLxed; both positive and ne~tive. Councilmember I<'uester \vas concerned that t..'l1e proj eet looked too modern. She \vas concerned about the lighter colored materials used on d1e t\vo structures. Commissioner Lieser stated she felt the construction plans looked modem \vhen she first revie\ved d1.em. lvII. Hanson stated the building designs are a blend of historical features \vith some contemporary elements. Chair \\Tilson stated he \vas disappointed \vith d1e design of the turret on the Bluff Block. He stated in the first illustrations of the Bluff project the tw:ret \vas unique, provided a gate\vay to dle do'\vuto\\rn, and that it \vas eye catching. He stated that in the construction plans the turret has lost its appeal and does not look as distinct. CO!Il1nissioner Lieser concurred. lvIt. Hanson stated the architects are still refining some of the \vork on d1e turret. 5.1. Consider .i\cceptance of I(iIlg .l\venue Parking Lot Task Force ReC0!11mendacions Chair \"\iilson commended and dlanked the Task Force ror all the hard "\vork t.h.ey put into their recommendations on dO\\rrlto",,'n parking. 1\'15. Steinmetz also thanked the Task Force and introduced Lisa Raduenz ofLJR Transportation & Planners, Inc. \\~ho facilitated the meetings of the I<ing ..:.-\venue Parking Lot Task Force. 1V1s. Raduenz also thanked dle Task Force and presented the recommendations made by tile Task Force as outlined in her Final Report. Chair \,\Tilson questioned ho'.v many parking spots \vould be in the ICing .-c\yenue lot. fv-Is. Steinmetz stated there are approximately 158 parking spots available to the public. !vIs. Raduenz stated employees \vould be issued parking stickers and employers requested meetings \vith tile city if parking enforcement becomes an issue in d1e future. Commissioner I(uester questioned ho\v many blocks of yello\v striping '\\.:-ere recommended on lvIain Street.