Loading...
HomeMy WebLinkAbout2014 01-16 PCP CITY OF BROOKLYN CENTER A GREAT PLACE TO START, A GREAT PLACE TO STAY wwwcityofbrooklyncenter.org Planning Commission 763-569-3335 -Direct TO: Chair Burfeind and City Planning Commissioners FROM: Gary Eitel, Director of Business and Development Tim Benetti, Planning & Zoning Specialist/Planning Commission Secreta DATE: January 10, 2014 RE: January 16, 2014 Planning Commission Agenda HAPPY NEW YEAR COMMISSIONERS!!! Attached please find the Planning Commission meeting agenda for the January 16, 2014 regular meeting, along with the December 12, 2013 regular meeting minutes. We do not have any land use applications to review at this next meeting, but do have an election of the Chairperson for Year 2014; and a discussion item regarding the Opportunity Site. As per city commission by-laws and"Rules Defining Duties and Responsibilities of the Planning Commission," the commission must select its Chairperson at the first regular meeting of the new year. At the December 12th meeting, Chair Burfeind expressed his gratitude for serving as the 2013 Chair and willingness to continue to serve for Year 2014. No other Commissioners voiced a similar interest in serving. Assuming all Commissioners are in agreement to have Mr. Burfeind serve as this year's Chairperson, we can simply have a voice vote to reaffirm his selection. If however, the Commission wishes to conduct the election by secret ballot, city staff will be prepared to offer paper ballots as an alternative to the selection process. Upon completion of the election, Planning Staff intends to provide an update of a new conceptual redevelopment plan for the Brookdale Ford and Brookdale Square Mall (combined) sites, located in our city center. An introductory memo and Draft Conceptual Plan is included with this packet. As always, if you have any questions prior to next Thursday night's meeting, please call Gary at (763) 569-3305 or Tim at (763) 569-3319 — OR - email GEitelgci.brooklyn-center.mn.us or TBenetti gci.brooklyn-center.mn.us). Reminder: please let Tim or Rebecca know if you are unable to attend the meeting. Thank you! City Hall Community Center Police&Fire Departments 6301 Shingle Creek Pkwy 6301 Shingle Creek Pkwy 6645 Humboldt Ave N Brooklyn Center,MN 55430-2199 Brooklyn Center,MN 55430-2199 Brooklyn Center,MN 55430-1853 763-569-3300 Fax:763-569-3494 763-569-3400 Fax: 763-569-3434 763-569-3333 Fax: 763-561-0717 MINUTES OF THE PROCEEDINGS OF THE PLANNING COMMISSION OF THE CITY OF BROOKLYN CENTER IN THE COUNTY OF HENNEPIN AND THE STATE OF MINNESOTA DECEMBER 12,2013 CALL TO ORDER The Planning Commission meeting was called to order by Chair Burfeind at 7:10 p.m. ROLL CALL Chair Scott Burfeind, Commissioners Randall Christensen, Benjamin Freedman, Carlos Morgan, and Stephen Schonning were present. Also present were Secretary to the Planning Commission Tim Benetti, Director of Business & Development Gary Eitel, and Planning Commission Recording Secretary Rebecca Crass. Commissioner Michael Parks was absent and unexcused. APPROVAL OF MINUTES—NOVEMBER 14, 2013 There was a motion by Commissioner Morgan, seconded by Commissioner Schonning to approve the minutes of the November 14, 2013 meeting. Motion passed unanimously. CHAIR'S EXPLANATION Chair Burfeind explained the Planning Commission's role as an advisory body. One of the Commission's functions is to hold public hearings. In the matters concerned in these hearings, the Commission makes recommendations to the City Council. The City Council makes all final decisions in these matters. DISCUSSION ITEM — REVIEW PROPOSED 2014 COMMUNITY DEVELOPMENT ACTIVITY MAP Mr. Benetti reviewed the following projects from the 2014 Community Development Activities and Projects: • Maranatha— old nursing home is vacated and the residents have been moved to the new facility. The old building will be demolished once environmental issues are resolved with the removal of asbestos, etc. • Residential lots near 69`x' and Brooklyn Boulevard — redevelopment opportunities are being explored with the removal of several residential properties at the northwest corner. • Luther Brookdale Volkswagen — old building has been removed in preparation for construction of a new Volkswagen site. Luther has also purchased Atlantis Pool to create a five acre site. • Brooklyn Boulevard Market located at 69th and Brooklyn Boulevard — was previously approved for a 6,700 sq. ft. commercial building but currently there is no activity on the site. • Luther Honda and Toyota Dealerships — consideration of EDA approved funds to make improvements to fencing and screening. • Embassy Phase II - site plan previously approved. • Northport Elementary—completed third phase of five and are looking at improvements to student drop off areas,playground and the parking lot. PC Minutes 12-12-13 Page 1 • Howe Fertilizer—additional sampling taking place and the developer is working with the Minnesota Department of Agriculture to clean up contamination on the site. • Bridgeman's Brooklyn Boulevard Center — the City acquired the vacant lot at 63`d and Brooklyn Boulevard and is planning for future development. • Cars With Hearts Site — has been acquired by the city and will be combined with other properties for future development. • 6000 Brooklyn Boulevard — the City has acquired six lots and are working on the remaining two for future development. • 5700 Block of Brooklyn Boulevard — proposed redevelopment of upper half or entire block which would require several acquisitions to create a desirable development. • Opportunity Site — to assemble a desirable parcel, the city is acquiring the Brookdale Square shopping center. The plan for a new development is similar to the Opportunity Site approved in 2005 which includes a mixed use residential/commercial project. OTHER BUSINESS—CHAIRPERSON ELECTION PROCESS Mr. Benetti explained according to the Planning Commission By-Laws and a Resolution Defining Duties and Responsibilities of the Planning Commission, an election must take place at the first regular meeting of the new year, which is scheduled for January 16, 2014. He added the Chairperson selects a commissioner to serve as the Vice-Chairperson as well. Mr. Benetti stated the Commissioners may use this meeting to express their desire to serve as the Chair or Vice- Chair for the 2013 Planning Commission. Chair Burfeind stated it has been an honor to serve as the Chair and he is interested in continuing as the Chair. There was no other business. ADJOURNMENT There was a motion by Commissioner Morgan, seconded by Commissioner Christensen, to adjourn the Planning Commission meeting. The motion passed unanimously. The meeting adjourned at 7:50 p.m. Chair Recorded and transcribed by: Rebecca Crass PC Minutes 12-12-13 Page 2 MTCITY OF BROOKLYN CENTER A GREAT PLACE TO START, A GREAT PLACE TO STAY www.cityofbrooklyncenter.org Planning Commission 763-569-3335 -Direct TO: Chair Burfeind and City Planning Commissioners FROM: Gary Eitel, Director of Business and Development Tim Benetti, Planning& Zoning Specialist/Planning Commission Secretary DATE: January 10, 2014 RE: Review and Discuss the Future Redevelopment within the Southern Portion of the Opportunity Site (Brookdale Ford & Brookdale Square Mall Sites) The Opportunity Site Study Area is an area of approximately 100 acres that lies north of Bass Lake Road, east of Shingle Creek Parkway, south of Summit Drive and west of State Highway 100. In the early 2000's, the Metropolitan Council included this area in a Regional Study (the "2002 Calthorpe Study") which facilitated a comprehensive approach to community planning that focused on transforming underperforming retail areas into vibrant mixed-use neighborhood destinations. In the winter of 2004, Team Brooklyn Center, led by Damon Farber Associates was commissioned by the City of Brooklyn Center to lead an eight member community task force to prepare a master plan, a set of design guidelines, zoning amendments, and a request for proposal for a phase one developer. In 2007, the City began its process of updating its Comprehensive Plan. The Land Use element of the 2030 Comprehensive Plan was amended to provide for a mixed land use of residential, office, retail business, and public & semi-public uses. Appendix B of the 2030 Comprehensive Plan (attached for review) provided and overall review of the Opportunity Site Master Plan and Development Guidelines and acknowledged the fiscal challenges of land assemblage and economic viability of implementing the plan given the current market conditions. In 2008, the EDA acquired the former Brookdale Ford Site, the southern 8.4 acres of the Opportunity Site fronting on Bass Lake Road. The buildings were demolished during the summer of 2008 and numerous attempts to work with the adjacent property owner were made to pursue redevelopment opportunities of the combined properties as a premier 32 acres site. As part of the recent strategic planning efforts, the Opportunity Site has been identified as three unique areas: • The Northern Area: the 23.67 acres lying north of John Martin Drive and west of Summit Drive, anchored by Target. City Hall Community Center Police&Fire Departments 6301 Shingle Creek Pkwy 6301 Shingle Creek Pkwy 6645 Humboldt Ave N Brooklyn Center,MN 55430-2199 Brooklyn Center,MN 55430-2199 Brooklyn Center,MN 55430-1853 763-569-3300 Fax:763-569-3494 763-569-3400 Fax: 763-569-3434 763-569-3333 Fax: 763-561-0717 • The Eastern Area: the 12.78 acres lying east of John Martin Drive, south of Summit Drive and adjacent to Highway 100, anchored by the former K-Mart Building. • The Southern Area: the 47.36 acres lying north of Bass Lake Road and south of John Martin Drive, anchored by the EDA properties (the former Brookdale Square and Brookdale Ford sites) In early 2013, the Business and Development Department contracted with Jim McCombs of the McCombs Group, Ltd., to prepare a residential market demand study for the Opportunity Site. The study was intended to examine and provide an outlook of the City's current housing stock; identify the current apartment market and residential amenities included in today's market; and provide findings and recommendations on a market receptiveness to the development of new apartments with amenities which are currently not part of the City's housing stock. This study was completed in June of 2013. The findings and recommendations of this study are included as part of tis memo packet. In December 2013, the EDA acquired the 23.2 acre Brookdale Square site. Prior to this acquisition, city staff began working with Dennis Sutliff, Principal with ESG Architects as part of a collaborative planning team made up of Mr. Sutliff and certain city staff members to develop a "concept plan" of this area. Mr. Sutliff was part of the original planning design team that prepared the 2006 Opportunity Site Master Plan, and was recommended by the McCombs Group as an architectural firm that could provide a conceptual design concept for the Opportunity Site that would reflect the current housing market and development potential identified in the Housing Market Demand Report. Attached to this memo is the concept plan for a new residential development for the Southern Portion of the Opportunity Site. By the time you meet next Thursday night (January 16th), this concept plan will have been presented to the City Council at the January 13th Work Session, along with a brief PowerPoint presentation on the concept plan and examples of the variety of housing units and design elements included in their conceptual layout. At the meeting next Thursday night, planning staff would like to review with the Commission any comments, suggestions, or findings brought-forth by the City Council; and provide an opportunity for the Commission to make initial comments or suggestions on this proposed southerly area concept plan. This planning item will likely be brought back to the Commission for reconsideration due to the complexity and nature of this redevelopment plans. City Hall Community Center Police&Fire Departments 6301 Shingle Creek Pkwy 6301 Shingle Creek Pkwy 6645 Humboldt Ave N Brooklyn Center,MN 55430-2199 Brooklyn Center,MN 55430-2199 Brooklyn Center,MN 55430-1853 763-569-3300 Fax:763-569-3494 763-569-3400 Fax: 763-569-3434 763-569-3333 Fax: 763-561-0717 i Chapter VI FINDINGS AND RECOMMENDATIONS The Opportunity Area is located in the northwest metro area with convenient access to employment centers in downtown Minneapolis, and the western and northern suburbs, making it an ideal location for households that wish to reduce commuting costs. Housing demand during the short-term period 2015 to 2025 is estimated at 2,076 to 2,737 units, as shown in Table 6-1. Initial market demand is estimated at about 200 to 260 units annually. Longer term demand(2026 to 2035)is estimated at 1,630 to 2,150 units. Table 6-1 STABILIZED RESIDENTIAL UNIT DEMAND;2015 TO 2035 OPPORTUNITY AREA—LOW AND HKGI Short-Term Long-Term Units Units Year Low High Year Low High Short-Term Long-Term 2015 195 257 2026 165 218 2016 196 258 2027 167 220 2017 198 261 2028 168 222 2018 200 264 2029 170 224 2019 202 267 2030 171 226 2020 205 270 2031 156 205 2021 173 228 2032 157 207 2022 174 230 2033 158 208 2023 176 232 2034 159 210 2024 178 234 2035 160 212 2025 179 237 Total 1,631 2,151 Total 2,076 2,737 Source: McComb Croup,Ltd The housing market is cyclical in terms of product types--single family, townhomes, and traditional multi-family, as well as rental and for-sale products. Single family is predominately for-sale products; however, many of the foreclosed homes have been purchased and are being offered as rental homes. Single family for-sale housing demand is recovering and is likely to be about 50 percent of annual housing production in the future. Townhomes, twin homes, and the multiplex units have been offered as both rental and for-sale products. Production of townhome and similar unit types has declined dramatically, only building permits for 14 units were issued in 2012. One factor currently influencing the for-sale townhome market is the narrow cost disparity with single family homes. Another factor is the potential for homeowner association litigation over perceived construction defects, which has caused some developers to avoid for-sale townhomes. Most townhomes and similar products in the future are likely to be rental products. 6-1 The condominium market peaked in 2007 and has been replaced by an apartment boom. Condominium values are recovering; one building is under construction in downtown Minneapolis. Many developers are not interested in developing condominiums due to the potential for homeowner association litigation discussed above. These factors indicate that the likely housing products in the Opportunity Area will be rental products until such time the above concerns are resolved. Rental Market Segments There are six general rental market segments ranging from entry level households to seniors, as shown in Figure 6-1. All of these market segments are suitable for the Opportunity Area with unit features and building amenities that appeal to the prospective tenants. Figure 6-1 RENTAL RESIDENTIAL MARKET SEGMENT Entry-Level Households ■ Frequently prefer to rent ■ Single, couple, or roommates,without children, in early 20s ■ Young professionals seek features and amenities they grew up with Move-Up ■ Rent more upscale apartments ■ Married or cohabitating couples, mid-20s to 30s, most without children ■ Lost home to foreclosure in great recession ■ Lost interest in homeownership and prefer to rent ■ Can afford upscale apartments with features and amenities ■ Generally couples in 50s and 60s ■ Some seek lower maintenance housing products ■ Some will consider renting 6�ounger Independent Seniors • Will consider renting • Generally late 60s or 70s • May have a second home • Often seek lower maintenance housing types • Generally single female (widows) in mid-70s or older • May move from single family home due to physical/health issues To enhance unit absorption over the long-term, Opportunity Area developments should appeal to as many market segments as possible. 6-2 Short- and long-term housing demand is allocated in Table 6-2 between multi-family (90 percent) and townhomes (10 percent). Townhomes may or may not be included in the unit mix depending on developer preferences. Allocations between market rate and income restricted units is also suggested. Income restricted units are allocated at 30 percent of the total. Table 6-2 OPPORTUNITY AREA SHORT-AND LANG-TERM HOUSING DEMAND;2015 TO 2035 MULTI-FAMILY AND TOWNHOMES Multi-Family Townhomes Income Income Year Units Market Rate Restricted Market Rate Restricted Short-Term 2015 195 -257 123 - 162 53 - 69 14 - 18 6 - 8 2016 196 -258 123 - 162 53 - 70 14 - 18 6 - 8 2017 198 -261 125 - 164 53 - 70 14 - 18 6 - 8 2018 200 -264 126 - 166 54 - 71 14 - 18 6 - 8 2019 202 -267 127 - 168 55 - 72 14 - 19 6 - 8 2020 205 -270 129 - 170 55 -73 14 - 19 6 - 8 2021 173 -228 109 - 144 47 -62 12 - 16 5 - 7 2022 174 -230 110 - 145 47 -62 12 - 16 5 - 7 2023 176 -232 111 - 146 48 -63 12 - 16 5 - 7 2024 178 -234 112 - 148 48 -63 12 - 16 5 - 7 2025 179 -237 113 - 149 48 -64 13 - 17 5 - 7 Subtotal 2,076 -2,737 1,308 - 1,724 560 - 739 145 - 192 62 - 82 Long-Term 2026 165 -218 104 - 137 45 -59 12 - 15 5 -7 2027 167 -220 105 - 139 45 -59 12 - 15 5 -7 2028 168 -222 106 - 140 45 -60 12 - 16 5 -7 2029 170 -224 107 - 141 46 -60 12 - 16 5 -7 2030 171 -226 108 - 142 46 -61 12 - 16 5 -7 2031 156 -205 98 - 129 42 -55 11 - 14 5 -6 2032 157 -207 99 - 130 42 -56 11 - 14 5 -6 2033 158 -208 100 - 131 43 -56 11 - 15 5 -6 2034 159 -210 100 - 132 43 -57 11 - 15 5 -6 2035 160 -212 101 - 133 43 -57 11 - 15 5 -6 Subtotal 1,631 -2,151 1,028 - 1,355 440 -581 114 - 151 49 -65 Total 3,707 -4,888 2,335 -3,080 1,001 - 1,320 259 -342 111 - 147 Source: McComb Group,Ltd 6-3 Figure 6-2 MULTI-FAMILY PRODUCT TYPES General i Restricted) ■ Market Rate-Rental ■ Active Adults-Rental ■ Workforce-Rental ■ Congregate ■ Affordable-Rental ■ Assisted Living ■ Subsidized-Rental ■ Memory Care ■ Townhouse The Opportunity Area is suitable for all of the general occupancy product types with for-sale units dependent on future market conditions. Workforce and affordable units should be included in the unit mix to increase absorption. Area Median Income (AMI) limits for two and four person households in the Metropolitan Area for 2013 are shown in Table 6-3. There are no income limits for market rate buildings. Workforce housing, for this example, are households with incomes over$51,550 and$64,400 for two and four person households, respectively. By way of comparison, Brooklyn Center's 2011 median income was estimated at$49,327 and the Metropolitan Area was $62,465. About half of the Metropolitan Area households are eligible for income limited housing at the 80 percent AMI limit or below. Since Brooklyn Center has a large supply of moderate income housing, it is recommended that income restricted units be for households with incomes above 60 percent of AMI. Table 6-3 AREA MEDIAN INCOME(AMI)LIMITS;2013 Income Limit Housing Type 2 Person 4 Person Market Rate None None Workforce(>80%) >$51,550 >$64,400 Low Income(80%) 51,550 64,400 Very Low Income(501/o) 32,950 41,150 Subsidized(301/6) 19,800 24,700 Source: HUD. General Occupancy Apartments Market demand for multi-family units ranges from about 195 to 260 units per year over the next five years. Initial development may be less than estimated based on the developer's desires. The potential unit mix could be similar to the unit mix contained in table 6-4. The unit mix is primarily one and two bedroom units with a few studios and two bedroom/den units. Unit size ranges are similar to apartment communities in St. Louis Park and Minneapolis. Suggested rental rates in 2013 dollars are comparable to St. Louis Park. Brooklyn Center is an untested market and it is suggested that introductory rents are slightly lower in the initial development phase. Market rents can be increased in later phases. 6-4 Table 6-4 OPPORTUNITY AREA MARKET RATE APARTMENT UNIT MIX Percent Unit Size Rent Range of Units Type Baths Sq.Ft.Range Market Introductory 5% Studio 1 500 -600 $1,050 - $1,260 $965 -$1,160 25% One Bedroom 1 700 -800 $1,365 - $1,640 $1,225 -$1,510 20% One Bedroom 1.5 800 - 850 $1,520 - $1,575 $1,395 -$1,445 100/0 One Bedroom/Den 1.5 900 - 1,000 $1,620 -$1,850 $1,490 - $1,700 38% Two Bedroom 2 1,000 - 1,200 $1,860 - $2,232 $1,710 -$2,053 2% Two Bedroom/Den 2 1,190 - 1,300 $2,140 - $2,340 $1,970 -$2,153 Source: McComb Croup,Ltd. Proposed rents for the Opportunity Area are compared to existing rental rates in Brooklyn Center in Table 6-5. Existing rents range from 45 to 70 percent of AMI, reinforcing the point that Brooklyn Center has a significant inventory of affordable housing. Proposed rents range from 75 to 150 percent of AMI. Table 6-5 EXISTING RENTS AND PROPOSED RENTS AS A PERCENT OF AREA MEDIAN INCOME;2013 Annual Required Percent Rent/Mo Rent Income of AMI Brooklyn Center $750 $ 9,000 $ 30,000 45.4 % $900 10,800 36,000 54.6 $1,150 13,800 46,000 69.7 Opportunity Area $1,250 $ 15,000 $ 50,000 75.7 % $1,500 18,000 60,000 90.9 $1,750 21,000 70,000 106.1 $2,000 24,000 80,000 121.2 $2,250 27,000 90,000 136.4 $2,500 30,000 100,000 151.5 Source: HUD and McComb Croup,Ltd Recommended unit features, contained in Table 6-6, are similar to comparable buildings in St. Louis Park and Minneapolis. 6-5 Table 6-6 SUGGESTED APARTMENT UNIT FEATURES T ownhomes M arket Income M arket Income Feature Rate Restricted Rate Restricted Kitchen Dishwasher X X X X M icrowave X X X X Stainless Appliances X X Granite Countertops X x Upgrade Cabinets X X Kitchen Island X X X X Pantry O O Master Bath His/Her Sinks O O Tile Shower X % Walk-in Closet X X X X Oversize Windows X X X X High Ceilings X X X X Patio/Balcony X X X X Fireplace O % Wood Floor X Linen Closet X X X X Washer/Dryer X X X X Air Conditioning-Central X X X X High Speed Internet X X X X WI-FI X X X X Cable X X X X X: Recommended. O: Optional. Source: McComb Group,Ltd. Recommended building amenities, contained in Table 6-7, include items that are comparable to those being offered in Minneapolis and St. Louis Park. As with the unit features, building amenities are designed to position the Opportunity Area as a strong competitor in future years. 6-6 Table 6-7 SUGGESTED APARTMENT BUILDING AMENITIES M arket Income Amenity Rate Restricted iCommon Party Room X X Fireplace X X Lounge O O Coffee Bar O O Theater O O Business Center X X Fitness Center X X Pool X X Sauna O O Hot Tub O O Guest Suite X X Storage Lockers X X Controlled Access X X Parking Under Building X X On-Site Staff X X Concierge O O Common Area Terrace/Courtyard X X Grilling Station X X Sports Area O O Pet Friendly X X Pet Area O O Pet Services O O LEED O O X: Recommended. O:Optional. Source: McComb Group,Ltd. Senior Housing Demand Senior housing in Brooklyn Center is expected to be weak during the short-term period due to demographic trends in the over 55 population. Senior housing is typically referred to as units designed for persons age 55 and above. Experience has shown, however, that seniors typically move to a "senior" housing development, on average, at about age 72 or 73. Senior housing options include independent living, congregate care, assisted living, and memory care. Which option senior households choose depends on the health and mobility of one or both household members. Population trends for senior households in Brooklyn Center, the Opportunity Area Draw Area, and Tier One Communities are contained in Table 6-8. Two different population trends are shown for all three areas. In the younger age cohorts (55 to 64 and 65 to 74), population increased between 2000 and 2011 and is expected to increase during the next five-year period. In the older age cohorts (75 to 84 and 85 plus), a different trend is evident—population is either growing modestly or declining. In Brooklyn Center, population in the older age cohorts is 6-7 estimated to decrease between 2011 and 2016 suggesting a flat to declining demand for senior housing. In the 75 to 84 age cohort, population is estimated at 1,045 in 2011 and is expected to be 1,007 in 2016, a decline of 38. In the 85 plus age cohort,population is estimated to drop from 573 in 2011 to 540 in 2016, a decline of 33 adults. In the draw area and Tier One Cities, population is increasing modestly in the 75 to 84 age cohort and declining in the 85 and older age cohort. Table 6-8 CHANGE IN SENIOR POPULATION AND HOUSING DEMAND 2011-16 Area/Age Cohort 2000 2011 2016 Change Households Brooklyn Center 55-64 2,373 3,270 3,715 445 327 65-74 2,428 1,675 2,139 464 341 75-84 1,569 1,045 1,007 (38) (28) 85 plus 510 573 540 (33) (24) Draw Area 55-64 18,405 24,932 29,634 4,702 3,457 65-74 14,258 12,734 16,767 4,033 2,965 75-84 9,302 7,792 8,027 235 173 85 plus 3,316 3,944 3,912 (32) (24) Tier One Cities - - 55-64 16,679 27,795 32,729 4,934 3,628 65-74 11,239 14,929 19,736 4,807 3,535 75-84 7,207 9,434 9,454 20 15 85 plus 2,617 4,975 4,847 (128) (94) Source: U.S.Census and Scan/US,Inc. Household growth in the 55 to 64 and 65 to 74 age cohorts indicates there may be demand for maintenance free living options that appeal to older adults. These households could be accommodated in the Opportunity Area. Brooklyn Center had 2,369 households over the age of 65 in 2011, as shown in Table 6-9: 1,693 owner-occupied and renter-occupied. At the present time, Brooklyn Center has 440 units of senior rental housing indicating that about 65 percent of the renters are living in senior buildings. In Brooklyn Center, renter-occupied households increase with age from 27.8 percent in the 65 to 74 age cohort to 50.9 percent of the 85 and over age cohort. The trend is the same in the draw area and Tier One Cities. There are a wide variety of social services available to senior households that enable them to remain in their homes. The expansion of these services has reduced the demand for senior housing. As indicated earlier, there is an opportunity for senior housing that provides maintenance free living to empty nesters that can be satisfied in the Opportunity Area. The existing senior housing options in Brooklyn Center face the challenge of adapting their buildings and services to a changing senior demographic with far different needs and expectations. 6-8 Table 6-9 TENURE BY AGE OF HOUSEHOLDER;2011 ESTIMATED BROOKLYN CENTER,OPPORTUNITYI AREA DRAW AREA,AND TIER ONE COMMUNITIES (Number of Households) 65 to 74 75 to 84 85 and over Own Rent Own Rent Own Rent Brooklyn Center 770 297 677 124 246 255 Percent 72.2 % 27.8 % 84.5 % 15.5 % 49.1 % 50.9 % Opportunity Area Draw Area 7,882 1,421 4,681 1,933 860 1,268 Percent 84.7 % 15.3 % 70.8 % 29.2 % 40.4 % 59.6 % Tier One Cities 6,685 1,201 4,063 1,289 1,207 1,413 Percent 84.7 % 15.3 % 75.9 % 24.1 % 46.1 % 53.9 % Source: U.S.Census. Recommendations The Opportunity Area consists of three areas: South, East, and North as described in Chapter I. These areas contain 83.8 acres, not all of which are recommended for redevelopment. The areas recommended for redevelopment are summarized in Table 6-10. Redevelopable area totals 63.1 acres. The South parcel is the largest (39.38 acres) including 8.6 acres owned by the City. The proposed redevelopment area excludes the Minnesota School of Business building. The East parcel, excluding Davanni's which can remain, totals 11.9 acres. The recommended redevelopment area on the North parcel, excluding Target and Shingle Creek Center, is about 11.8 acres. These parcels can be developed in three phases. Table 6-10 OPPORTUNITYAREA REDEVEL.OPABLEAREA Square Assessed Area Acres Feet Value South 39.38 1,715,393 $ 14,244,800 East 11.89 517,928 2,400,000 North 11.84 515,750 4,900,000 Total 63.11 2,749,071.00 $ 21,544,800 Source: Brooklyn Center Assessor and McComb Caoup,Ltd. These three parcels, developed at an average density of 50 dwelling units per acre, could accommodate over 3,100 units. At 200 units per year, this represents a 15-year build out. The South parcel, developed at a similar density,would accommodate almost 2,000 units. The assessed value of the three parcels is about $21.5 million including the land owned by the City. The fact that many of the buildings are vacant or have large vacancies indicates the assessed value may be higher than the cost of a negotiated acquisition. The redevelopment opportunity is to create a development large enough that it creates its own environment. To initiate a development of this magnitude, a prospective developer would like to 6-9 have the assurance of being able to control the redevelopment area so that land prices do not inhibit the overall development plan. Even taking into consideration the City's ownership of the Brookdale Ford site valued at $4.1 million,the land acquisition is likely to require an investment of between $15 and $18 million to acquire land control of the redevelopment area. This will require a financially strong, well funded developer that has the capability to hold the land through the development period. Major developers operating in the Twin Cities that may have the financial capacity and an interest in a development of this magnitude are listed below. Legacy Management & Development Corporation partnered with McCormack Baron Salazar Inc., a national developer, to develop Heritage Park in Minneapolis. — M.A. Mortenson Co. — Ryan Cos. US Inc. — Hines — Doran Cos. — Kraus-Anderson Realty Co. — United Properties — Legacy Management&Development Corporation There are additional national developers that may be interested in the Opportunity Area redevelopment. Implementing a redevelopment plan, with a financially capable developer is likely to require the use of redevelopment tools including tax increment and land acquisition powers. 6-10 APPENDIX B 2030 COMPREHENSIVE PLAN (Calthorpe Study Results) REVIEW OF BROOKLYN CENTER'S OPPORTUNITY SITE MASTER PLAN AND DEVELOPMENT GUIDELINES PAGE INTRODUCTION 2 A. THE OPPORTUNITY SITE& CALTHORPE STUDY AREA & PURPOSES 2 B. THE CALTHORPE PLANNING PROCESS AND PLAN 3 C. OPPORTUNITY SITE CONCEPT AND MASTER PLANNING 4 D. RESTORING SITE'S VIABILITY IN MARKETPLACE 5 E. REDEVELOPMENT ECONOMICS 5 i. Estimating and Funding the Financial Gap 5 ii. Reducing the financial Gap 6 i ` Community Open Space 6 Highway 100 District Configuration 6 Structured Parking :i F. STRATEGIC ACQUISITION APPROACHES 7 G. OTIJER REDEVELOPMENT PROJECTS STUDIED 8 i. Silver Lake Village--St.Anthony 8 ii. Excelsior and Grand—St. Louis Park 8 iii. Village in the Park----St, Louis Park 8 iv. Heart of the City--Burnsville 9 H. OPPOR'T'UNITY PLAN REVIEW FINDINGS 9 1 January 2008 59-S--SOCIATES INTRODUCTION In mid-2007,the City of Brooklyn Center requested qualifications from consultants to update its 2000 Comprehensive Plan. The request indicated that the update should address incorporation of the Opportunity Site Master Plan & Development Guidelines (the"Opportunity Plan") prepared early in 2006 into the Comprehensive Plan. The invitation to submit a formal proposal to prepare the Comprehensive Plan update requested that the Opportunity Plan be reviewed to determine the viability and likelihood of successful implementation.This review considers the viability and likelihood of successful implementation of the Opportunity Plan as well as the Plan's foundation, central objective and economics. In 2002,as part of a"Smart Growth" initiative,Calthorpe and Associates was engaged by the Metropolitan Council and the City of Brooklyn Center to study a large area including the Opportunity Site.That study and plan laid a foundation for the Opportunity Plan and this review summarizes the Calthorpe Plan to provide a frame of reference and historical context for the Plan. This review also provides recommendations concerning changes to the Opportunity Plan that will maximize the impact of the Opportunity Site's redevelopment on its central objective.to enhance and strengthen the economic viability of the area and its status in the regional marketplace. Estimates of the cost of stimulating the project envisioned in the Opportunity Plan to occur and of • the capacity of a 20-year tax increment finance district on the Opportunity site to pay those costs are provided.Changes to the Opportunity Plan that, if made,would result in reducing the financing gap while not compromising design are recommended in the review.Finally,strategic approaches available to redeveloping cities to acquire and assemble property to overcome restrictions on the use of eminent domain are discussed. This review draws on experiences of redevelopment projects in the Twin Cities region that used similar design processes. Specific projects that were studied and are summarized in this review include Silver Lake Village in St.Anthony Village;Excelsior&Grand and Village in the Park in St.Louis Park; and Heart of the City in Burnsville. I?h A.THE OPPORTUNITY SITE& CALTHORPE STUDY AREA&PURPOSES i, The Opportunity Plan addresses redevelopment of a 100-acre area strategically located between >l Brookdale Shopping Center and Interstate 94.It focuses on only part of the 500-acre area that was the subject of a"Smart Growth Twin Cities"study and report completed in 2003 by Calthorpe Associates for the Metropolitan Council and the City of Brooklyn Center that included development of an illustrative plan.The Calthorpe study report included the Opportunity Site as well as the area surrounding it as follows; 1. Brookdale Mall and service uses west of Brookdale; 2, The Hennepin County Library/Service Center, City Hall, Central Park and the multifamily north of County Road 10 and west of Shingle Creek Parkway; 3. The area of office, multifamily and hospitality uses north and northeast of the Opportunity Site; and `i 4. An eight-acre triangle of land owned by the City on the east side of Highway 100 and its intersections with County Road 10 and John Martin Drive. The Opportunity Plan"propose(s)recommendations that will reinforce and guide public/private investment in a manner that will enhance and strengthen the viability of the area and recommend Brooklyn Center as a regional point of destination."The Calthorpe report"illustrate(s)how Smart Growth development in an older suburban commercial area could serve to revitalize the area and ensure its long-term viability."Public transit and transit facilities are integral to Smart Growth and in the Calthorpe Plans. 2 B. THE CALTHORPE PLANNING PROCESS AND PLAN Three alternative sketch concept plans for the 500-acre study area were fomnrlated as follows: • Concept A—Twins Stadium Concept(page 28): Included a 40,000-seat stadium with 9,500 dedicated parking stalls and requirement for an additional 3,000 shared stalls for peak attendance. • Concept B-•---Town Center Concept (page 29): A mixed-use neighborhood forms the heart of the area between Brookdale Mall and the Barle Brown Center,creating a true Town Center.Housing units (1400 total)constructed over a 10-year period,provide a mixture of rental and ownership apartments,townhomes,work-live units. Redevelopment includes a transit center and attractive street frontage facing primary pedestrian routes. Summerchase and Target are retained at their current locations. • Concept C--Regional Center Concept(page 30):Adds regional retail center with high concentration of jobs to the Town Center Concept including upgraded transit services and 1400 housing units.Major retail uses are consolidated in retail core areas surrounding Brookdale."Target relocates to Summerchase, Summerchase residents are accommodated in new affordable housing in mixed-income developments located throughout the Town Center Area. Shingle Creek is daylighted, new full service transit station is located on south side of County Road 10,pedestrian walkways are improved,cultural center civic plaza-parks are located in the Town Center to create a regional attraction.Mixed office and residential uses locate above ground-floor retail that front onto walkable,tree-lined streets. A final illustrative concept plan similar to C above emerged from input received from the public i• at open houses,and from the City Council and Finance Commission.This plan(page 40) includes the following features: • A mixture of the regional retail destination with a citizens' desire for a place that will become the heart of the City. +. • A new town center with new housing, some new and reconfigured streets, two post-secondary schools, and a new system of neighborhood parks. • 1400 new housing units,providing a variety of types(page 41). • Relocation of Summerchase and blending of its residents into the Town Center. • Small-scale grocery store and other shops to serve the neighborhood. • An office park. • 250 room business-class hotel. • New buildings for the Tech Center and Business School. • At the heart of the Town Center is a system of major civic parks and plaza for cultural activities. • A network of new streets that crisscross the Town Center rather than the super blocks of 15-60 acres, • A new transit center on the western portion of the Brookdale Ford site. • Movement of major retail currently at the Town Center site to the Brookdale area. The Urban Design Framework(page 52)sets the direction for placement,orientation,massing of new buildings in the Town Center so that the area redevelops in a pedestrian-friendly manner. 3 The goal is to shape change over time to create a town center with an active street life that mixes shops,workplaces, housing,recreation,and civic uses through design and street connectivity— supporting the community and the pedestrians,enhancing civic spaces and connecting to the fabric of the City(page 52). The Calthorpe study included significant public input, including stakeholder workshops and meetings to gather input on the area and on the concept plans. "Chapter 2: Concept Plan Development"describes these public input processes and the Brooklyn Center City Council and Finance Commission's recommendations concerning the plan are summarized on page 40.The Calthorpe report begins its summary of meetings held with the business community in the summer of 2001 as follows: "There was a concern about a general decline in the area,as the building stock is aging and getting run-down and new retail development further out in the suburbs compete for customers."High retail vacancy rates,particularly in the Opportunity Site, are evidence of the relative economic and physical obsolescence of the area as a retail draw within the trade area.Restoration of the economic viability of the area is the central objective of City involvement in the area and in redevelopment of the Opportunity Site. The Calthorpe Plan devotes much of the implementation chapter on transportation issues, including shared parking,structured parking and transit facilities.The Plan identifies the transit center's location within the area as a limited resource available to influence future development patterns.The Plan discusses implementation issues on pages 60 through 62,though the discussion on the use of eminent domain became out-of-date with changes in state statute. C. OPPORTUNITY SITE CONCEPT AND MASTER PLANNING The Opportunity Plan's objective is to transform the site from an under performing retail area into a vibrant mixed-use neighborhood destination.Six alternatives,as follows,were explored as means of accomplishing this in a manner consistent with the communities' vision: • The Village at Shingle Creek • The Backyard Green • Main Street • The Urban Village • Earle Brown Parkway • Interior Parkway Positive features of the six concept sketch plans identified through review and analysis were synthesized into a master plan providing for five land-use districts as follows: • Mixed-use center(20 acres)—Primarily retail uses on the first floor with housing or office uses above, a pedestrian friendly commercial center and community destination. • Shingle Creek.and Parkway Neighborhoods(15 and 22 acres,respectively)—A range of medium-to high-density housing styles and choices for everyone from empty nesters to young professionals. • Highway 100 Office District(I5 acres)—High-density office to high-density housing according to market demand • Community open space,trails and ponds(20 acres). 4 D. RESTORING SITE'S VIABILITY IN MARKETPLACE The Opportunity Plan is intended to enhance and strengthen the economic viability of the area and its status in the regional marketplace. Of the Opportunity Site,the part north across County Road 10 from Brookdale possesses the greatest potential to create draw to benefit the area. The master plan for the Opportunity Site includes a 20-acre Mixed Use Center District in this location containing retail shops and restaurants on the first floor with office uses (or housing)above-- a 360,000 square foot,pedestrian friendly commercial center and community destination. While demand for this type of retail in the area exists,neither the Opportunity Plan nor the Calthorpe Study project the time period required to absorb this amount of specialty retail and restaus ant.The Illustrative Plan in the Calthorpe report designated the apartment building site directly north across County Road ]0 from Brookdale Mall for redevelopment with anchor retai I.The Opportunity Plan contains no anchor retail. The Opportunity Site Plan does suggest that"big box"and"franchise"retailers in the Mixed Use Center District would be considered,but that they should be conditioned on buildings being wrapped with in-line shops,architecturally treated on all four sides,oriented (facades)to major streets and serviced with structured parking to minimize large surface lots. Streets segment this Mixed Use Center District into six sites on the Opportunity Site Master Plan and two to five-level buildings on each site are suggested.This design is conducive to specialty retail and restaurant on the first floor with office or housing above, but not to anchor retailers. Incorporating anchor retail in the Mixed Use Center District would necessitate making adjustments to the master plan design. E. REDEVELOPMENT ECONOMICS Real estate development and the assumption of financial risks and rewards associated with it are generally viewed as the private sector's role.In a capitalistic market, investment flows to where projected rates of return,adjusted for risk,are the greatest.Extra costs associated with redevelopment as compared to vacant land development include building acquisition and demolition, occupant relocation and soil contamination remediation, These extra costs of redevelopment need to be assumed by a third party in order to give redevelopment the same profit potential as vacant land development.Unless these extra costs of redevelopment are assumed through a public incentive, land values in a redevelopment area need to decline to the point where they are less than bare land values by the value of the building and cost of building demolition and soil contamination remediation before redevelopment will occur. (Without public involvement there would be no legal requirement to compensate occupants for relocation.)This downward spiral of declining land value and building decay can have a blighting impact far beyond the original area in need of redevelopment if the public sector does not act to stimulate redevelopment when high vacancies are first observed.The Opportunity Site has not redeveloped because of the extra costs associated with redeveloping it. The financial gap between a willing developer's investment in the project and the cost of the project needs to be funded,financed or subsidized in order to entice the private sector to undertake the project. i. Estimating and Funding the Financial Gap The extra land cost of redeveloping versus developing on vacant land needs to come from public sources.These funding sources may include tax increment financing,tax increment fund balances or special assessment financing for infrastructure(street,utilities,landscaping,street lights, grading and park improvements)from the City,as well as grants, loans or loan guarantees from the Metropolitan Council,the State of Minnesota or the federal government. Tax increment financing is the funding source relied on most heavily in Minnesota to fill the financing gap. While the vacancy rate in the buildings in the Opportunity Site is relatively high 5 and many are economically and physically obsolete,not enough appear to be sub-standard according to current statutory definition in order to make the findings necessary to create a tax increment financing district. Thus special legislation will likely be required if tax increment financing is to be used to fill the financing gap.Attachment A is an estimate of the capacity for financing project costs assuming special legislation is secured that would allow the City of Brooklyn Center to collect 20 years of tax increments generated from the Opportunity Site from the uses set forth in the Opportunity Plan.Assuming that the cleared land can be sold for$6 per square foot,the project cost capacity ranges from approximately$34 million to$97 million, depending on the intensity level of redevelopment assumed.This compares with project costs of $86 million to$128 million as indicated on cost estimates shown on Attachment B. Thus assuming special legislation can be secured that would allow a 20-year tax increment financing district to be created,assuming a district is created and assuming a redevelopment project of the sort envisioned by the Opportunity Plan there would be a financing gap of$31 to$52 million. ii. Reducing the Financial Gap The uses and design of a redevelopment project impact the size of the financial gap that needs to be filled to make a project economically feasible, Changes to several components of the master plan for the Opportunity Site would reduce the size of the financial gap while not adversely affecting design. Community Open Space The master plan for the Opportunity site includes a 20-acre community open green space running through the center of the site with a roadway running around its perimeter.The open space contains ponds and perhaps an outdoor amphitheater,using the ponds as a backdrop.The ponds serve as rate and quality control for storm water runoff as well as an amenity to the project and they are looped by pedestrian/bike trails. Storm water ponds are also located on the master plan between Highway 100 and its northwest frontage roads.The ponds on the master plan occupy about eight acres of the land within the site,probably somewhat less than what will be required to meet the minimum requirements of the Shingle Creek Watershed.While the 13-I4 acres of green space in the community open space,the trail looping around the ponds and the outdoor amphitheater shown on the master plan are amenities to the project,they take up valuable land and therefore increase the financial gap that needs to be filled.At the same time Central Park,a 48-acre community park within a block of Shingle Creek Parkway west of the project,provides the site with reasonably convenient access to parks and open spaces. Consideration should be given to reducing the size of the green space and enhancing the connection of the project to Central Park in order to reduce the financial gap that needs to be filled to make the project economically feasible. Highway 100 District Configuration With exposure to significant traffic passing the site on—and accessing the site from-- Highway 100,the Highway 100 District will be the signature, image-setting entry to the Opportunity Site Redevelopment Project. A vertical and horizontal mix of office and residential uses,as well as ancillary ground-floor retail will occur in this District,according to the Plan.At least 75% of the required parking for the District will be structured and only 25%of the parking will be allowed in surface lots.The more compact(versus elongated)the parking structure configuration,the lower the cost per parking space,the less detracting aesthetically and the shorter the distance from parking spaces to destination for parkers.This District is about 300 feet in depth measured perpendicular to Highway 100 making it likely that buildings and parking would need to be stretched out along the highway frontage. Consideration should be given to increasing the width of this district so that the parking may be clustered behind buildings to present the buildings to Highway 100.This adjustment to the Highway 100 District could be accommodated by moving 6 the part of the Parkway District adjacent to this District northwesterly and reducing the width-- and therefore size —of the community open space. Structured Parking The Plan encourages structured parking instead of surface parking in both the Mixed Use Center and in the Highway 100 District.As indicated in the Calthorpe Study(page 55)the comparative economics of land value to construction cost do not support structured parking. A surface parking space costs about$7 per square foot or$2,500 per space to build,whereas a structured space costs from$35 to $43 (median$39) per square foot or$12-15,000 per space. Land for parking must cost in excess of$32 per square foot($39 minus$7) in order for economics to support construction of structured parking. Land in the Opportunity Site is worth$8 to$•10(median$9) per square foot and therefore will need to increase by about$23 per square foot in order to make construction of structured parking economic. In other words a public incentive of$23 per square foot of structured parking or about$8,000 per structured parking space would be required to make it economical to construct structured parking.About one off-street parking space is required per 200 square feet of office or retail and the annual tax increment collected from 200 square feet ($290 to$380)would not be adequate to pay off bonds to provide the required$8,000 up front public incentive. Outside funds could be used to offset the$23 per square foot differential to make construction of parking spaces in a ramp economic.The City of St.Louis Park secured funding from the Minnesota Department of Employment and Economic Development and the Metropolitan Council to help fill in the gap to construct structured parking at Excelsior&Grand.Tax increment financing is another possible source of funding that may be used to make up this gap. To some large users,particularly corporate office campuses,this economic gap in construction of structured parking does not necessarily prevent them from building structured parking.For example, it may be difficult to find a site large enough to accommodate such a user in a desirable location and the benefits of consolidating operations in a single location may outweigh the extra cost required to construct the structured parking. F. NEW ACQUISITION APPROACHES Since the Calthorpe study was completed early in 2003, restrictions placed on the use of eminent domain(condemnation) make multiple-parcel redevelopment, like the Opportunity Site,more challenging for cities. in many cases,cities no longer have the threat of eminent domain available to use as leverage in their acquisition negotiations and as a result,cities need to be more strategic in acquisition and assembly of land as part of their redevelopment efforts. Following are strategic approaches that Brooklyn Center as a redeveloping city should consider to overcome restrictions placed on the use of eminent domain: • Cities need to be more open in their communication with owners of property in redevelopment areas so they are looked on as potential buyers when owners are thinking of selling. • Cities need to become more sophisticated in their understanding of the development process to provide opportunities for investor-owners to reinvest in the redevelopment. + Parties occupying one part of a redevelopment site may be good candidates for relocation to a redeveloped part of the redevelopment site. (A couple of strong potential retail anchors are currently located in the northern part of the Opportunity Site. Relocating these users to new buildings in the south part of the Opportunity Site would not only create draw to this area and consolidate new retail with the existing retail in Brookdale 7 Mall but would also free up locations in the north part of the Opportunity Site for additional redevelopment.) G. OTHER REDEVELOPMENT PROJECTS STUDIED The 100-acre Opportunity Site is significantly larger than any of the other redevelopment projects studied as part of this review. Silver Sake Village and I-Ieart of the City are 57 acres and 54 acres in size, respectively,and are a mixture of housing, office and commercial.The St.Louis Park redevelopment projects studied are much smaller and more intensely developed than the other projects.Excelsior&Grand at 15 acres is primarily housing with some first floor retail while Village in the Park is eight acres and exclusively owner-occupied condominiums and row townhomes. Following are summaries of these projects and attached is a table summarizing them. i. Silver Lake Village----St. Anthony This project is located about five miles north of the Minneapolis central business district on Silver Lake Road in St. Anthony Village.This project involved the redevelopment of the Apache Plaza Shopping Center and consists of 57 acres of land.Commercial and residential uses are segregated on the site with commercial located along Silver Lake Road, a major street abutting the east side of the parcel.There is no structured parking in the project and the highest valued commercial land is worth$12 per square foot. Commercial anchors in the project include a Cub foods store,a Wal-mart store and a Walgreens drug store,totaling 238,000 square feet.Additional retail and office of 85,000 square feet bring the total commei•cial in the project to 323,000 square feet.The redevelopment project includes 263 market-rate rental housing units and 156 cottage and condominium housing units located deeper on the site away from Silver Lake Road.The average density of the housing in the project is 33.5 units per acre.The project contains an outdoor amphitheater with seating built into the side of a storm water ponding area with the"stage"also serving as a piece of public art. ii.Excelsior and Grand—St.Louis Park Located about six miles from downtown,this 15-acre redevelopment project is very dense as compared to the Silver Lake Village project.The project consists of 644 housing units,about half condominium units and half rental.Condominium and rental housing are located on three floors above 87,000 square feet of ground floor retail in three separate buildings. Two parking structures in the blocks with rental housing accommodate 850 cars and the condominium structures each accommodate parking underground.The overall housing density on the site is 43 units per acre.At$10 per square foot,the highest valued Iand in the project does not economically support structured parking. The City of St.Louis Park was able to secure funds from the Metropolitan Council and the Minnesota Department of Employment and Economic Development to assist in constructing the parking structures. A green public plaza leads off of Excelsior Boulevard to Wolfe Park and the City's indoor recreation center. A piece of public art is featured in the plaza. iii.Village in the Park—St.Louis Park About six miles from downtown Minneapolis,this project consists of 251 condominium housing units and 77 row townhouses on 7.7 acres of land for an overall density of 42.5 units per acre. There is no structured parking in the project and there are no outstanding public features. It is significant that the condominium units routinely sold for two times the assessor's estimated market value. 8 iv.Heart of the City—Burnsville This 54-acre project is planned to contain a mix of uses including housing,retail and office.The project has significant land area remaining to be redeveloped and is 15 miles from downtown Minneapolis. Housing components constnucted include 84 affordable and 63 market-rate rental apartment units,and 209 condominium housing units.Retail of 38,500 square feet has been constructed,and the project can accommodate significant additional retail. Structured parking has been constructed in the project. H. OPPORTUNITY PLAN REVIEW FINDINGS • The flan and Guidelines are design oriented and have a weak foundation in the realities of the marketplace and redevelopment financing. • The Master Ilan limits the potential contribution that the Opportunity Site's redevelopment could make to the restoration of viability of the area as a retail center. • Adjustments to the master plan to make the Mixed Use Center District conducive to anchor retail should be considered. • Adjustments to the master plan to increase the width of the Highway 100 District while at the same time decreasing the Community Open Space area should be considered. • In conjunction with authorized modifications to the master plan,the Opportunity Plan should be exposed to the development community for solicitation of development interest. • Sources to fund the gap to stimulate the redevelopment of the Opportunity Site, in addition to tax increment financing through special legislative authorization, should be identified and pursued. • Sources of funding to make structured parking more economically feasible should be identified. • Restrictions on the use of condemnation in acquiring the land in the Opportunity Site require the City to operate strategically. 9 Opportunity Site- Project Cost Capacity Estimate ATTCHMENT A 1. After-Development Value, Tax Capacitv and Annual Tax Jan.2008 Units(sq.ft.) Mkt Vai./Unit(sqft) Total Mkt Value Class Tax Capacity Value Tax Annual Tax Increment Use-District Low Hiqh Low Hah Low high Rate Low High Rate Low High Res.-Shingle Cr. 525 900 125,000 175,000 65,625,000 157,500,000 0.01 656,250 1,575,000 1.20 787,500 1,890,000 Res.-Parkway 330 880 200,000 250,000 66,000,000 220,000,000 0.01 660,000 2,200,000 1.20 792,000 2,640,000 Mixed Use 174,000 360,000 60 70 10,440,000 25,200,000 0.02 208,800 504,000 1.20 250,560 604,800 Office-Hwy. 100 490,000 1,675,000 60 80 29,400,000 134,000,000 0-02 588,000 2,680,000 1.20 705,600 3,216,000 TOTAL 171,465,000 536,700,000 2,113,050 6,959,000 2,535,660 8,350,800 11. Less Before-Development Value, Tax Capacity and Annual Tax 39,000,000 39,000,000 0.02 780,000 780,000 1.20 936,000 936,000 Ill. Equals Captured Value, Tax Capacity and Annual Tax Increment 1,599,660 7,414,800 1,333,050 6J79,000 1.20 1,599,660 7,414,800 IV. PLOject Cost Capacity Interest Rate/ Number Years/ Annual Tax Increment Equals Present Value 0.050 20 1,599,660 7,414,800 (19,935,299) (92,404,797) Present Value Divided by Interest Rate+11=1.051 Equals Project Cost Capacity from TIF (Capitalized interest) (17,220,861) (79,822,738) Plus land sale proceeds: 72 acres x 43,560 sqft.facre x S61sqft. Divided by 1.05' Equals (17,068,407) (17,068,407) Equals Total Project Cost Capacity (34,289,268) (96,891,145) 01212ortunily Site- Redevelopment Cost Estimate ATTACHMENT B Jan-08 Structured Parkin-g structured incentive required square feet parking spaces at 11200 sq.ft. minimum% parking spaces at$8,000 per space low high low high structured low high low high Retail- Mixed Use 174,000 360,000 870 1800 0.95 827 1,710 6,612,000 13,680,000 Office-Hwy. 100 490,000 1,675,000 2450 8375 0-75 1,838 6,281 14,700,000 50,250,000 Subtotal 3,320 10,175 2,664 7,991 21,312,000 63,930,000 Property Acquistion and Relocation value x 1.4 TIF#2 acres value acquisition cost Target 9.02 8,300,000 11,620,000 Best Buy 2�90 2,900,000 4,060,000 Brookview Plaza 6.46 2,500,000 3,500,000 Inland Ryan 4.41 4,100,000 5,740,000 Susco Corporation 11.69 4,400,CGO 6,160,000 Brookdale Square 23.20 4,200,000 5,880,000 TIF#3 Brookdale Ford 8.61 4,100,000 5,740,000 Jani King 1.83 1,000,000 1,400,000 Godlend Value 1.61 1,500,000 2,100,000 Tire Plus&Buffet 1.35 1,100,000 1,540,000 Perkins 1,18 600,000 840,000 Health Partners 0.80 800,000 1,120,000 Mn School of Business 7.98 3,600,000 5,040,000 Subtotal 81.04 39,100,000 64,740,000 54,740,000 54,740,000 Subtotal Infrastructure (from Calthorpe Report) 9,800,000 9,800,000 Grand Total 85,852,000 128,470,000 ......... ........ ........... Comparison of Redevelopment Proiects to Opportunity Site Proiec ATTACHMENT C Dec.2007 Proipact: Heart of the City-Burnsville Excelsior&Grand-SLP Village/Park-SLP Silver Lk.Vil-SL Anthony Proposed Opportunity Site Public Features: Community Art ts Center Brass Sculpture none Outdoor Ampitheater Trail around pond Community Park with Ampitheater Town Green Public Art Size: 54 acres 15 acres 7.7 acres 57 acres 92 acres Uses: Housing Units Rental Affordable 84 units 18 units Market rate 63 units 320 units 263 units Owner occupied 209 units 302 units 328 units 156 units Total 356 units 640 328 units 419 units 1030-2080 Hotel Units Retail Square Feet 38,500 sq.ft, 87.000 sq.ft. 322,500 sq.ft. 174,000-360.000 sq.ft. Office Square Feet 490,000- 1,675.000 sq.ft. Structured Parking Ranip yes 850 spaces yes Underground 433 spaces Total 1,283 spaces Calthorpe Opportunity Site Plan rF i--- ----- - lam,,-J' { ` A r M r ,�. LEGEND ... ... •-. .wrn...raw,.. i,y�+� I _.. Ielawl r+.•MI.I,N M,rwl ` 1 "`�+'€ .�'1.� Lrhrd twh.hlnGnw♦; ��FM � umrTS=rm mn» F,&,,.l:is:FINAL C0-,C EPT PLAN�i r?!*raaAj Crnxr oacorm T:tJ une. T&�ma.f,"pt ol..•..«:,.,«.y� ?:aa miriaa:a uz.mixti-xfe r,:x awferard a rnrtslrzl�aT�eT3u'f r.rsil ran. Ptdurrsx��*elT,a j rrnr. . Mlw t� m-r.7 tA.-ara:ti ti,xfmi ana jT tviffG m ruiArgecr rafi:;if^!X aTa fl'.'.'49Ff f^f nua}alts.aTa a mew rro-n't rewo,rOTA::f:fie arrvr 10 fie revfM. ® NNN�nIt Uwlbp ® lln,bf Mn.n� pp�� Q Mw IG c- a IYr.r♦Olv,Ti.� Damon Farber/ESG Opportunity Site Plan s y s 'ice .""etc ".• y,. ' , +• 44 y. t,^ G O° if VI ..;� ` �FtCat of Brooklyn Center EDA � • + o. , Opportunity Sites- Southern ,r �0 50 1000 zoo 300 o, Feet or r s' t. r r� _ 1 y r f r FRI < O lip P ' Tw ijtr 's r - Ai. RjPA t` �► eA n r/ y ' T 'Y-11 • ,d,... '¢ °' A #�� I •. t-/ 3'! •t, C .,� F V,h r �t �i #fir• � .. `��. h v � ' Yr } y. 1[Try '} � " ^ �� f'�.. .J 4��i L � •M•. C'J 1 - M gay. c�..:f: i .t tl�t f,. . .F:•f •� - -.:a, � ., _.. '. -� F UG.. . #t .•�+..... _ . � O �I AFIF I F ON Aw t , " s h c d .� , y t" 4 � = Brookdale Square site w y BOO Ul - n _ w ■ ' T —. 1 , ' 8TH LU - " • (7 ;l O Z - Brookdale Ford Site -< NORTHWAY _ (EDA) ` x , : f r� ra _ t Vf 57th&Logan Site � �• r. (EDA) ` a ,...COUNTY ROAD 10, Y---..-.'ice l � .+ _ 57TH . ,e r Brooklyn Center � `""' f' Opportunity Site p p Y .n. r CONCEPT PLAN AN �{ A New Residential Neighborhood .. I f January 6, 2014 x Y Minnesota �~ _ '�.t• _ i _J',..�%M1 �S; � School _4 !r of Business I a ..`T_" . i t x I t , • f. 1 /Pat fill r SITE METRICS C1 i Block A ffi 144,000 GSF O ce Retail 57,000 GSF Block B Retail 26,000 GSF 277,000 Commercial --` - � ' � Residential 170 DU 179,600 GSF Block C Residential 232 DU 244,440 GSF r 4 t ' Block D Residential 206 DU 216,840 GSF -TO yo ""��""nR" Block E Mid-rise Flats 135 DU 141,900 GSF R n i l� i — �--� r r►�h ' �, Townhomes 80 DU 84,280 GSF M1 A es I, % ,; Block F Mid-rise Flats 162 DU 171,300 GSF _. G -- M ,..T. r Townhomes 73 DU 77,000 GSF a J ' I a, Qj :Retail Townhomes 1,800 RSF Each 128 DU 230,400 RSF 1,345,760 Residential Bass Lake Road TOTAL Buildin g Area 1 622 760 GSF r Di TOTAL Land Area 47.36 Acres 2,063,002 SF r , FLOOR AREA RATIO 1,622,760/2,063,002 .787 City u}' BROOKLYN CENTER MINNESOTA #It BROOKLYN - A GREAT PLACE TO START, A GREAT PLACE TO STAY CENTER architects — ------------------ i City of ` BROOKLYN CENTER N I F City of Brooklyn Center 1, •4. AvE (I °.` "" PALMER LAKE ❑ — Land Use Plan Legend - Land Use I SF-SINGLE FAMILY TF-TWO or THREE FAMILY r -\ tD TH-TOWNHOME(MEDIUM DENSITY) ❑ MF-MULTI-FAMILY(HIGH DENSITY) i m - OS-OFFICE-SERVICE RB-RETAIL BUSINESS I-INDUSTRIAL EM RU-RAILROAD or UTILITIES f / PS-PUBLIC SPACE MIXED-USE yy I' PRO-PARKS, RECREATION or OPEN SPACE 'i REDEVELOPME % £ j. MIXED-OS/RB € 48 JI a I•: � � U L�� MIXED- OS/I ✓-- �, 1 MIXED MIXED-SF/TF/THIMF THIMF/OS/RB/P �° aoo - ❑ y MIXED-I/PRO Y PRIMARY \ MIXED-PRO/RU EDEV LOPMEN _ f� MF-MIXED ENHANCED j + 1 'V AREA ❑ ❑ EM MIXED-TH/MF/OS/RB/PS I �A� � SCHOOLS m ❑PPER � - AIRPORT i rnlN � � � � a 1 LAKE -----=-- —=------ ---- -- ROADWAYS / MIXED THIMFrosIRBlps ® Central Commerce Overlay District iNote: Planned land uses for 2030 are the same as existing land uses(circa 2010). o o.izs o.zs 0.5 0.75 1 md- r-, Approved Land Use Changes(since 2010): N — 1) France Avenue Business Park IV(former Lifetime site-4001 Lakebreeze Avenue N.)-from OS-Office/Service Business to new MIXED USE OS/I(Office/Service Business and Industrial) W�E MIDDLE Res.No.2012-31,adopted February 13,2012. TWIN y, 4 S 2) Maranatha Care Campus Center(5401&5415-69th Avenue N.)-from PS Public and Semi-Public and MF-Multi-Family to J MF-MIXED ENHANCED(Multi-Family Mixed High Density Residential with Enhanced Setbacks). lII � r Created&Updated by the Res.No.2012-72,adopted May 29,2012. J City of Brooklyn Center's Business and Development Department t (December 2013) 3) Luther Auto Properties(3955,4001,and 4007-69th Avenue N.)-from SF-Single Family to RB-Retail Business. s RYAN Res.No.2013-74,adopted July 8,2013 —_ .-.1 LAKE oa.:::en wn.w.�ee.o.Hxe.ra eu.« u o