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HomeMy WebLinkAbout2019 04-11 PCMPC Minutes 04-11-19 -1- MINUTES OF THE PROCEEDINGS OF THE PLANNING COMMISSION OF THE CITY OF BROOKLYN CENTER IN THE COUNTY OF HENNEPIN AND THE STATE OF MINNESOTA APRIL 11, 2019 1. CALL TO ORDER The Planning Commission meeting was called to order by Chair Christensen at 7:00 p.m. 2. ROLL CALL Chair Randall Christensen, Commissioners Alexander Koenig, Jack MacMillan, Stephen Schonning, Rochelle Sweeney, and Susan Tade were present. City Planner and Zoning Administrator Ginny McIntosh, Community Development Director Meg Beekman, City Engineer Mike Albers, and Mary Mullen, TimeSaver Off Site Secretarial, Inc. were also present. 3. APPROVAL OF AGENDA – APRIL 11, 2019 There was a motion by Commissioner Tade, seconded by Commissioner Schonning, to approve the agenda for the April 11, 2019 meeting as presented. The motion passed unanimously. 4. APPROVAL OF MINUTES a. March 14, 2019 Regular Session Meeting Minutes There was a motion by Commissioner Koenig, seconded by Commissioner Sweeney, to approve the minutes of the March 14, 2019 meeting as presented. The motion passed unanimously. b. March 21, 2019 Special Session Meeting Minutes There was a motion by Commissioner Schonning, seconded by Commissioner MacMillan, to approve the minutes of the March 21, 2019 meeting as presented. The motion passed unanimously. 5. CHAIR’S EXPLANATION Chair Christensen 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. 6. PLANNING APPLICATION ITEMS 6a) Planning Commission Application No. 2019-005 Applicant: Mike Albers PC Minutes 04-11-19 -2- Property Address: 5139 Brooklyn Boulevard Summary: The applicant is requesting preliminary and final plat approval of the currently un-platted Subject Property located in the vicinity of 5139 Brooklyn Boulevard. This request is associated with improvements underway as part of Brooklyn Boulevard Corridor Project Phase I. Ms. McIntosh request Planning Commission consideration of preliminary and final plat approval for Brookdale Covenant Addition, 5139 Brooklyn Boulevard. She stated the City Council authorized a land exchange agreement in December 2017 with Brooklyn Covenant Church to complete improvements as part of Phase 1 of the Brooklyn Boulevard Corridor project. She added certain vacations are required on the east side of the property for streetscape projects that will improve roadway safety, enhance traffic improvements, and develop trails and sidewalks. She noted a new traffic signal is planned for Lilac Drive and Highway 100. Ms. McIntosh stated the City is the applicant in this case and is requesting to plat what is currently 5139 Brooklyn Boulevard with the stipulation that the Lila Drive parcel would be re- platted and deeds recorded to reflect all changes on the property. Ms. McIntosh stated a public hearing is required and has been published in the Sun Post on March 28, 2019, as well as notices sent to surrounding properties. Ms. McIntosh stated the City will work with Hennepin County to complete vacation of the County’s interest in the Brooklyn Boulevard right of way. She added separate encroachment agreements might be required. She noted a certified Abstract of Title must be provided before submission to the County. Ms. McIntosh stated City Staff are requesting that the Planning Commission recommend City Council approval of the preliminary and final plat. She added approval would be contingent upon compliance with conditions in City Engineer’s report, Exhibit C, Platting Ordinance, and Hennepin County requirements. OPEN TO PUBLIC COMMENTS – APPLICATION NO. 2019-005 Chair Christensen recognized residents in the audience who wished to speak on this matter and called for comments from the public. There was a motion by Commissioner Sweeney, seconded by Commissioner Tade, to open the public hearing on Application No. 2019-005, at 7:13 p.m. The motion passed unanimously. There were no other individuals in attendance who wished to make comments at this time. MOTION TO CLOSE PUBLIC COMMENTS (HEARING) PC Minutes 04-11-19 -3- There was a motion by Commissioner MacMillan, seconded by Commissioner Koenig, to close the public hearing on Application No. 2019-005 at 7:14 p.m. The motion passed unanimously. The Commissioners interposed no objections to approval of the Application. ACTION TO RECOMMEND APPROVAL OF PLANNING COMMISSION APPLICATION NO. 2019-005 SUBMITTED BY MIKE ALBERS FOR PRELIMINARY AND FINAL PLAT APPROVAL FOR BROOKDALE COVENANT ADDITION AND DEDICATION OF CERTAIN RIGHT-OF-WAY There was a motion by Commissioner Koenig, seconded by Commissioner Sweeney, to recommend approval of Planning Commission Application 2019-005 Submitted by Mike Albers for Preliminary and Final Plat Approval for Brookdale Covenant Addition and Dedication of Certain Right-Of-Way. Voting in favor: Chair Christensen, Commissioners, Koenig, MacMillan, Schonning, Sweeney, and Tade. And the following voted against the same: None The motion passed unanimously. The Council will consider the application at its April 22, 2019 meeting. The Applicant must be present. Major changes to the application as reviewed by the Planning Commission will require that the application be returned to the Commission for reconsideration. 6b) Concept Review: Redevelopment of Former Jerry’s Foods Site Applicant: Real Estate Equities Property Address: 5801 Xerxes Avenue North Summary: Proposal to construct approximately 270 new dwelling units in a two-building development on approximately 4.8 acres. The units would comprise a mix of senior and workforce housing. Meg Beekman stated a concept review is being requested by Real Estate Equities, the developer of the former Jerry’s Foods site. She added the intention is to review the concept before the applicant makes formal application for land use approvals. She noted the Planning Commission has the opportunity to provide feedback on the site plan and layout and provide input on use and other details. Ms. Beekman stated this will be a non-binding discussion, and no vote or action will be taken. She added a similar concept review was also held by the City Council at a recent meeting, and input was provided to the developer. Ms. Beekman stated the proposal is for two multi-family residential buildings with approximately 267 units at the former Jerry’s Foods site at 5801 Xerxes Avenue N. She added PC Minutes 04-11-19 -4- the site is approximately 5 acres and has been vacant for quite some time. She noted the proposal is for a mix of affordable independent senior living and workforce units with rents affordable at 50-60% Area Median Income (AMI), or between $47,000-$66,000 per year. Ms. Beekman stated the developer has submitted an application package that includes a request for Tax Increment Financing (TIF). She added City Staff is reviewing the application. She added the total cost of the development will be $60 million, a combination of public financing, bonds, TIF, low income tax credits, and other sources. She added the current market value of the site is $1.6 million, and after construction, it will generate approximately $360,000 in annual property taxes. She noted the developer is finalizing the site plan and preparing land use applications, including a PUD request and amendment to the Central Commerce Overlay District. Ms. Beekman stated the requests will be ready for presentation to the Planning Commission at their May 2019 meeting, at which a public hearing will be held for the Zoning code amendment. She noted the City’s public finance consultants are reviewing REE’s financing package. Ms. McIntosh introduced Alex Bisanz, representing the developer, Real Estate Equities. Mr. Bisanz thanked the Planning Commission for their review of this project. He added The Planning Commission’s feedback and comments are requested before the final plan submittal which is planned for May 2019. He presented an overview of the project, a mix of 127 workforce housing units and 143 senior living units. Mr. Bisanz stated he is a Partner at Real Estate Equities (REE), a local development company since 1972. He added they have a portfolio that includes developments in Minnesota, Illinois and Wisconsin. He noted REE currently has over 10,000 units, and 1,200 units currently under construction. Mr. Bisanz stated the apartment rents will be in the 50-70% (AMI) range. He added the proposed development is in an exceptional location, with transit, retail, amenities and proximity to downtown Minneapolis. He noted this development is a large investment for REE and will be something the City of Brooklyn Center and its residents can be proud of. He added REE plans to own and manage the property for the long term. Mr. Bisanz stated 270 affordable units are proposed – 39 – 1-bedroom; 52 – 2-bedroom; and 36 – 3-bedroom units. He added the senior component will have 95 – 1-bedroom and 48 – 2-bedroom units. He noted the combined parking ratio will be 1.26, with 200 underground and 139 surface spaces, for a total of 339 spaces. Mr. Bisanz stated the development will have an on-site management team, secure entrance for residents, package receiving and storage area, community spaces, and potential for a rooftop PC Minutes 04-11-19 -5- patio. He added the senior component will have an arts and crafts center. He noted there will be secure underground parking available for both buildings. Mr. Bisanz stated another REE development, Press House, is located in the renovated Pioneer Press building, and is approximately 75% leased. He added this building was vacant for many years, and the community will be a good fit for its downtown St. Paul neighborhood. He noted the unit types and finishes are very comparable to what will be developed in Brooklyn Center. Mr. Bisanz stated REE recently closed on the Winslow, an affordable senior housing community in West St. Paul. He added that site has many features in common with the proposed development, including style, number of units and walkable proximity to retail, amenities and transit. He noted two projects are currently under way in Rochester. Commissioner MacMillan requested clarification regarding parking spaces per unit. Mr. Bisanz stated underground spaces will be available for $75, and $15 for storage spaces. He added surface parking will be free. Commissioner MacMillan asked whether there will be enough storage bays for all the units. Petro Megits, Kaas Wilson Architects, stated there will be storage for approximately 1/3 of residents, and the senior component will have more available storage. He added the family units will be larger and have more closet space than senior apartments. Commissioner Tade asked whether REE has a portfolio that is predominantly affordable and senior housing. Mr. Bisanz stated REE currently manages many older properties, which are naturally affordable housing. He added their portfolio is approximately 40% market rate and 60% affordable housing. Chair Christensen stated underground parking might be difficult at this location. Mr. Bisanz stated REE has done research including soil borings and geotechnical evaluations, and the current design with underground parking is based on evaluation of that research. Mr. Bisanz stated the City Council mentioned the water table at a recent meeting when they reviewed the proposed development, and REE engaged Braun Intertec to begin researching the issue right away. Commissioner MacMillan asked whether there will be balconies. Mr. Bisanz stated the possibility has been discussed. He added the West St. Paul development does not have balconies, but a combination of both is a possibility. He noted people often end up using their balconies for additional storage which can be problematic. Mr. Megits stated balconies are being considered along Bass Lake Road, but space is limited on the interior courtyard. He added good on-site property management is important when residents have balconies. PC Minutes 04-11-19 -6- Mr. Bisanz stated the proposed rooftop deck would probably have great views of downtown Minneapolis. He added the Luxe Apartments which just opened in Brooklyn Center have a perfect view of the downtown skyline. Ms. Beekman stated the REE team could try to get a tour of the Luxe, although it is fully leased. Ms. McIntosh stated the tot lot and pond area have been moved from the previous plans. Mr. Bisanz confirmed this, adding a dog run is also planned. Ms. Beekman asked where the front entrance of the building will be located. Mr. Megits stated the main entrance is planned at the central courtyard space, and each building will have their own main entry. Commissioner MacMillan asked whether there will be gated access only to the parking lot. Mr. Megits stated that is not typically done with senior housing as access needs to be open for transportation providers. He stressed the importance of creating spaces that are part of the community, rather than giving the appearance of keeping people out. Commissioner MacMillan stated this is a very active and busy area, and he can envision the parking lot becoming a cut-through to avoid traffic. He added there could also be activity that is not desirable. Mr. Megits stated security cameras and lighting are planned for the parking areas, as well as access-controlled fobbed entrances to the buildings. He added a speed bump could be considered to deter cut-through traffic. He noted gates are not being considered. Mr. Bisanz stated security issues can be combatted with lighting, interior and exterior cameras and good on-site management, as well as thorough screening of potential residents. He added REE builds strong relationships with local police, to create open and ongoing dialogue. Commissioner MacMillan requested clarification regarding senior living age guidelines. Mr. Bisanz stated the senior component will be for adults aged 55 and over. He added this includes retired, independent seniors living on a fixed income. Mr. Megits stated the senior component will not be assisted living, but there will be staff and activities. Commissioner MacMillan asked whether rents will be subsidized. Mr. Bisanz stated Section 8 tenant vouchers will be accommodated to a certain percentage, but there is project-based Section 8. Ms. Beekman stated the construction will be the same quality as market-rate construction. She added the units will be rented at 40-60% less than market rate, which creates a gap in the financing structure. She noted this is filled with a number of different public financing sources, including tax exempt bonds, low-income housing credits, and State subsidized funding. PC Minutes 04-11-19 -7- Commissioner Tade asked whether the developer applies for subsidies. Ms. Beekman confirmed this, although the City helps with TIF financing. Mr. Bisanz stated REE obtained a bonding allocation for the workforce portion of the project to ensure economic feasibility, as bond rating is very competitive due to increased construction projects. He added bonds for the senior portion will be obtained in August 2019. Commissioner Tade stated she is glad to see a development at this location, which has been vacant for some time. She added she feels that Brooklyn Center has a lot of affordable and senior housing. She asked whether the developer is concerned about being able to fill both the senior living and workforce components. She noted she wants the development to be successful. Commissioner Tade stated the 2040 Comprehensive Plan guides this area for mixed use. She asked whether the developer had considered retail on the main floor, which would provide a different look and feel. She noted she is pleased with the development although it is different from what has been considered for that area in the past. Mr. Bisanz stated retail component is not an option for low-income tax development projects, and this development is no exception. He added they have surveyed and researched the market, and the market data shows a strong demand for both types of housing. Ms. Beekman stated there is no other independent affordable senior living development in Brooklyn Center. She added the Sanctuary is an assisted living development. Ms. McIntosh stated Maranatha added 20 units that are also independent living. Ms. Beekman stated the Maranatha units are not affordable. Commissioner Tade asked whether tenants need to qualify for affordable housing. Mr. Bisanz confirmed that rigorous underwriting is State-mandated. He added this is handled by REE’s Compliance Department. Commissioner MacMillan stated he hopes REE can create an appealing community amenity, especially since they plan to continue to manage it for 20 years. Chair Christensen agreed, adding a new apartment complex, regardless of its format, will help to enhance the image of the neighborhood and the City in general. He added there has not been a new apartment building in Brooklyn Center since 1971. Mr. Megits agreed, adding high density areas attract retail and spending, which provides economic stimulus that is beneficial for the City. Mr. Bisanz stated other recent development projects in Brooklyn Center were a motivation for REE to propose this development. PC Minutes 04-11-19 -8- Commissioner Schonning stated he was originally opposed to the development. He added he now agrees that this is a great place for apartments, as there are not many uses that would work there. He noted this is a very walkable part of the community with nearby retail and amenities. Commissioner Schonning stated there are many challenges in the community. He added a new apartment complex with many new residents will create a positive change by turning the neighborhood from an empty lot to a community. He noted he appreciates the buildings’ appearance, and he is glad the developers will be around for a long time. Commissioner Koening requested clarification regarding the zoning change from commercially zoned mixed retail to residential use. He asked what effect that will have on the tax base, in terms of what the City is trying to accomplish. Ms. Beekman stated calculations determine an appropriate balance of commercial, mixed and residential use for this District. She added the end goal will be to have a balance of use. Ms. Beekman stated the Police Dept has involved in discussions regarding this project and will continue to review the plans with the developer. She added Police Department staff are certified in Crime Prevention Through Environmental Design, which takes into consideration landscaping, lighting, location of buildings and amenities. Ms. Beekman stated Metro Transit has put significant investment into the transit hub, including site improvements as well as on-site Police staffing, and the City can leverage from this investment. She added the C-line officially opens on June 8, 2019 with 12 new officers, including four officers stationed throughout the day, 7 days a week. She noted this has resulted in a marked decrease in the number of police calls. Chair Christensen suggested the garage entrance on the site might be more appropriate on the east side, where there is less foot traffic. He expressed his overall support for the project. He added he looks forward to seeing the results. Ms. Beekman stated the deadline for REE to submit their preliminary plans is April 16, 2019. She introduced Jane Kansier, Senior Planner with Bolton & Menk, who will be working with City Staff on planning issues during Ms. McIntosh’s absence. She stated Ms. Kansier has been working with City Staff on the Zoning Code update. Mr. Megits stated, with regard to comparable affordable senior properties, there is generally a waiting list due to shortage of available senior living units. Chair Christensen stated he would like to see additional community space in the senior living component, as many seniors like to reserve space for family parties. Mr. Bisanz agreed, adding both buildings will have community spaces, but the senior building will have larger space so they can stay active and enjoy their home and their community. PC Minutes 04-11-19 -9- Mr. Megits stressed the importance of incorporating development aspects that will create a sense of family and community for the residents of the senior living component. 7. DISCUSSION ITEMS a. City Council Meeting Updates Ms. Beekman stated the City Council approved three Preliminary Development Agreements (PDA) at their last meeting. She added Centra Homes is proposing a residential development called Eastbrook Estates on an 8-acre EDA-owned property at Highway 252 and 68th Avenue N. She noted this PDA covered a revised site plan based on negotiations with adjacent property owners and issues with City right of way encroachment. Ms. Beekman stated the development was reduced from 35 lots to 30-32 lots, and the builder anticipates moving forward with the preliminary final plat. Ms. Beekman stated the second PDA renewal was from Alatus LLC for Phase 1 development in the Opportunity Site. She added City Staff meets with Alatus weekly to review the extremely high-level framework of land use and transportation. She noted Three Rivers Park District has been involved in discussions regarding trail connections in the site, and significant park space that the District would acquire and maintain as a regional park. Ms. Beekman stated the public engagement process continues, with the next design workshop to be held Wednesday April 17, 2019. She added the developer will be there, along with an affordable housing developer, to provide additional input and information. She noted both rooms are reserved, and City Staff are anticipating a lot of attendees. Commissioner Sweeney asked whether the various developers talk to each other about what they are proposing, and if they are aware of each other’s plans. Ms. Beekman confirmed this, adding Mr. Bisanz had made reference to the Alatus development, as well as Mr. Soderbergh. She added they are in contact with each other. Commissioner Tade asked about the balance of affordable housing, and whether this development will have an impact on the Alatus development. Ms. Beekman stated that is a question of policy, and at present no affordability requirement has been placed on the Opportunity site. Chair Christensen asked whether this is addressed in the 2030 Comprehensive Plan. Ms. Beekman stated there is nothing related to affordability but that will be identified in the master planning process. She added there could be a mix of senior and workforce housing, but there are also many other options. PC Minutes 04-11-19 -10- Commissioner Tade stated she is thrilled that there will be development at this location. She added she would support market-rate development to have options other than low-income housing. Ms. Beekman stated the third development is with Brady Real Estate Development for an 81,000-square foot office building on EDA-owned property at 1601 James Circle. She added the City Council rejected a proposal from an electrical union to develop the property. She noted the proposed use would be for a business tech incubator, and an anchor tenant has been identified. Ms. Beekman stated the developer wants to leverage the Opportunity Zone status of the property. She added a cooperation agreement is being sought between the developer and the owner of the former Earle Brown Bowl, for collaborative use of the properties and to increase building size and parking allocation. Commissioner Schonning stated he appreciates the use of a single parking area for separate parking use during the day and at night. b. Reminder: LISC | CDI Workshops #3 and #4 for Opportunity Site at Brookdale Library (April 17 and May 1, 2019) Ms. McIntosh stated a flyer regarding the Opportunity Site design workshops is available for distribution. She added City Staff is hoping to get a diverse group for the two remaining meetings. Ms. Beekman stated food will be provided by the new Jamaican restaurant. She encouraged the Planning Commissioners and all residents to attend. Commissioner Sweeney stated she will not be available to attend. c. Upcoming City of Brooklyn Center Neighborhood Engagement Program Meetings Ms. McIntosh stated Communication Coordinator Angel Smith is organizing the Neighborhood Engagement Program, a series of neighborhood meetings that are designed to help residents get to know other people in their neighborhood. She added City Staff will provide support to bring neighbors together through engagement opportunities. She noted the City’s Neighborhood Liaisons will be facilitating the meetings, and Ms. Smith is the main contact. Ms. McIntosh stated most meeting locations have been determined, but meetings scheduled in May 2019 are yet to be determined. She urged residents to attend their Neighborhood Engagement Meeting. Commissioner Schonning stated he attended a neighborhood meeting with his wife, and it was a very positive experience. He added meeting attendees felt a sense of community, and potentially PC Minutes 04-11-19 -11- planting a seed that can grow into something interesting. He noted it will be fun to see how it works out, and recommended residents attend their neighborhood meeting, 8. OTHER BUSINESS Chair Christensen requested clarification regarding the open seat on the Planning Commission. Ms. McIntosh stated at least 2 applications have been received. She agreed to follow up with City Clerk Barb Suciu. 9. ADJOURNMENT There was a motion by Commissioner MacMillan, seconded by Commissioner Sweeney, to adjourn the Planning Commission meeting. The motion passed unanimously. The meeting adjourned at 8:48 p.m. _______________________________ _______________________________ Joe Hartmann, Interim Secretary Randall Christensen, Chair