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6. HRSR 06-04-2007ITEM # 6. ~.~~ •~..- ver MEMORANDUM TO: Housing & Redevelopment Authority FROM: Catherine Mehelich, Director of Economic Development DATE: June 4, 2007 SUBJECT: Discuss HRA Intentions for 716 & 720 Main Street Buildings Issue Staff requests that the HRA discuss and provide direction regarding its intentions for the 716 and 720 Main Street buildings, in light of the announcement from O'Reilly Automotive of their relocation in June. In the short term, the City Park & Recreation Department has requested the use of the building as a backup location for its summer entertainment in the park series. The primary purpose of the HRA's purchase of the property at the end of 2006 was to take advantage of the non-leveraged sale as part of a long term positioning strategy to be able to expand surface and possible deck parking downtown. The City Council recently authorized the completion of an independent Downtown Parking Study that will include an analysis of current and future parking needs, identify alternatives, and develop concepts for parking solutions. The final report is anticipated the end of August. Recommendation Staff recommends that removal of the buildings for the creation of up to 21 surface parking stalls would be premature until the results of the parking study axe complete and justifies the need and location as a solution option. In the meantime, staff recommends that the space continue to be utilized for short term public and private uses in order to maintain an image of positive activity in the downtown area. Staff has been exploring a series of options to accomplish this goal and will be prepared to discuss at a future HRA meeting.