Loading...
HomeMy WebLinkAbout11/05/2003AGENDA WHEAT RIDGE URBAN RENEWAL AUTHORITY November 5, 2003 Notice is hereby given of a Special Meeting to be 6eld before the City of Wheat Ridge Urban Renewal Authority Wednesday, November 5, 2003, at 5:30 p.m., in the City Council Chambers of the Municipal Buitding at 7500 West 29th Avenue, Wheat Ridge, Colorado. (The first part of this meeting including Ezecutive Session is scheduled to take approximately 30 minutes with New Business to begin at approximately 6:00 p.m.) 1. Call the Meeting to Order 2. Roll Call of Members 3. Approval of Minutes - October 21, 22 & 27, 2003 4. Publie Forum (This is the time for any person to speak on any subject not appearing on the agenda. Public comments may be limited to 3 minutes.) 5. Executive Session under C.R.S. Section 24-6-402(4)(e) for the purpose of determining matters that may be subject to negotiations, developing strategy for negotiations and/or instructing negotiators regarding financing for the 38th Avenue & Sheridan Boulevard redevelopment project. 6. New Business A. Approval of Financing Agreement B. Approval of 3`d Amendment to DDA 7. Adjournment MINUTES OF WHEAT RIDGE URBAN RENEWAL AUTHORITY October 21, 2003 1. 2. 3. 4. CALL THE MEETING TO ORDER The Wheat Ridge Urban Renewal Authority meeting was called to order by Chair Hashem at 630 p.m. The meeting was held in the council chambers of the Municipal Building, 7500 West 29th Avenue, Wheat Ridge, Colorado. ROLL CALL OF MEMBERS Commissioners present: Norm Burkpile Vance Edwazds (arrived at 8:25 p.m.) Mary Hashem Elwyn Kiplinger Tom Mallinson Tenel] Williams Commissioners absent: Mazgy Platter Janet Leo Also attending: Alan White, WRURA Executive Director Jim Windholz, WRURA Attomey Ann Lazzeri, Recording Secretary APPROVAL OF MINUTES There being no additions or corrections, the minutes of October 15, 2003 were approved as written. PUBLIC FORUM Prior to opening the public forum, Chair Hashem informed those present that a revised financial package has been received from the developer since the last Urban Renewal meeting and will be considered during executive session. She requested a representative from Comerstone Group to address the audience. Jeff Bailey Cornerstone Group Mr. Bailey stated that it has been the developer's intent to learn what concems the neighborhood has in order to try to alleviate those concerns. In response to concerns about the proposed alley vacation, it is now proposed to simply relocate the alley in addition to adding speed humps on Ames Street. The site plan has been reworked to provide access to the store in a manner which would prevent WRURA Minutes Page 1 10-21-03 motorists from winding through the neighborhood. At the neighborhood meetings, he stated he has heazd from individuals who were in favor of the project and from individua(s who were opposed to the project. Walgreens has also agreed that no liquor sales will take place at this location. Scott Martin 3635 Ames Street Mr. Martin asked if access would be allowed to Walgreens from the relocated alley. Mr. Bailey expiained that the drive-through would be adjacent to the alley and a restriction would be placed to prevent southbound tums onto Ames from the alley. In response to Mr. Martin's request for a copy of the revised site plan, Mr. Bailey stated that he would provide Mr. Martin with a copy. Tim Sullivan 1101 Lake Street, Chicago, IL Mr. Sullivan stated that it is the developer's intent to restrict left turns onto Ames in addition to installing speed humps on Ames. Henry Nichol 3625 Ames Mr. Nichol expressed concern that Ames Street has twelve turns while Sheridan only has six making Ames and 38`h a main intersection rather than 38`h and Sheridan. He was concerned about safety for neighborhood children. Mr. Bailey stated that there are existing curb cuts and an alley which presently ailow southbound turns onto Ames. Walgreens would restrict the southbound tums onto Ames from the alley. Mr. Nichol expressed concern about reduction in property values if Walgreens is built. He suggested that Walgreens could instead locate in a vacant building at 38'h and Benton. Charles Durbin 3703 Ames Mr. Durbin stated that residents of the azea like the existing businesses and do not want them replaced by Walgreens. He expressed concern about the cost to the city from this project. Mr. Bailey asked Mr. Durbin if he would be in favor of the project if the existing businesses were satisfied with it. Mr. Durbin replied that it was his understanding that existing business owners aze not satisfied with it and do not want to sell their businesses. He further stated that he did not feel the project was financially feasible for the city. WRURA Minutes Page 2 10-21-03 Elise Brougham 3545 Allison Court Ms. Brougham stated her opposition to the project because business owners aze unwilling to sell and stated that the Authority should back off immediately. The surrounding neighborhood is opposed because of increased traffic on Ames Street and the project does not meet the Comprehensive Plan for Village Center designation while the existing businesses do meet that designation. She was opposed to the additional 1% public improvement fee for sales at the Walgreens and expressed concern that customers wili not realize they aze paying an additional 1% that is not applied to other stores in Wheat Ridge. Further, the city will not receive any economic benefit for at least five yeazs. Rob Oye 3512 Ames Street He spoke in opposition to the project. He suggested the developer pay business owners enough money for their businesses to enable them to retire. He asked why new traffic counters have been installed on Ames. He requested a copy of the traffic study. Chair Hashem advised that he could obtain a copy from Alan VJhite's office. Alan White stated that he would find out about the most recent traffic counts and make that information available also. Chuck Mandril 5208 West 38~h Avenue Mr. Mandril expressed fiustration that the Authority, Planning Commission and City Council seem to be ignoring neighborhood opposition to this project. He expressed concern that he would not be adequately compensated for his property if the project goes through. He believed increased revenue from Walgreens would be offset by lost revenue from King Soopers and the three existing businesses. He did not believe the project was financially feasible. Jeff Bailey explained that Walgreens prefers to be located neaz other businesses for the synergy involved. They also hope to pick up traffic coming from I-70 southbound onto Sheridan and noted that sales tax will be generated from other communities in addition to that generated from Wheat Ridge. This will generate sales tax revenue to the city that would otherwise not occur. Kim Oye 3512 Ames She voiced her opposition to the project and expressed concern about neighborhood children's safety due to increased traffic on Ames. In answer to a question from Jeff Bailey, she stated she did not believe speed humps would alleviate the traffic situation on Ames. She also expressed concern that teenagers in the area will have no place for entertainment if the billiards hall is removed. There were no other individuals who wished to address the Authority at this tune. WRURA Minutes Page 3 10-21-03 Chair Hashem advised the audience that no definitive action would be taken by the Authority this evening. Therefore, it was decided that this meeting would be continued to Wednesday, October 22, at 5:00 p.m. 5. EXECUTIVE SESSION It was moved by Terrell Williams and seconded by Norm Burkpile to move into Executive Session under CRS Section 24-6-402(4)(e) for the purpose of receiving legal advice on speciCc legal questions and, further, for the purpose of determining matters that may be subject to negotiaHons, developing strategy for negotiations and/or instrucring negotiators regarding financing for the 38'n Avenue and Sheridan Boulevard redevelopment project. The motion passed unanimously. The regulaz meeting was continued to October 22, 2003 at 5:00 p.m. and adjoumed into executive session at 7:30 p.m. The executive session was convened in the second floor conference room at 7:45 p.m. The executive session was adjourned and recessed at 9:15 p.m. Those attending the executive session were: Tim Sullivan, Jeff Bailey (both left the executive session at 835 p.m.), Vance Edwazds (arrived at 825 p.m.), Elwyn Kiplinger, Norm Burkpile, Terrell Williams, Mary Hashem, Tom Mallinson, Alan White, Jim Windholz, Arne Ray and Ann Lazzeri. Mary Hashem, Chair Ann Lazzeri, Secretazy WRURA Minutes 10-21-03 Page 4 MINUTES OF WHEAT RIDGE URBAN RENEWAL AUTI30RITY October 22, 2003 (Continued from October 21, 2003) 1. 2. 3. 4. CALL THE MEETING TO ORDER The Wheat Ridge Urban Renewal Authority meeting was reconvened by Chair Hashem at 5:15 p.m. The meeting was held in the council chambers of the Municipal Building, 7500 West 29th Avenue, Wheat Ridge, Colorado. ROLL CALL OF MEMBERS Commissioners present: Commissioners absent: Also attending: PUBLIC FORUM Norm Burkpile Vance Edwards Mary Hashem (left at 5:55 p.m.) Elwyn Kipiinger Tom Mallinson (arrived at 5:33 p.m.) Terrell Williams Margy Piatter Janet Leo Alan White, WRURA Executive Director Jim Windholz, WRURA Attorney Arne Ray, Szymanski and Ray Ann Lazzeri, Recording Secretary No one indicated a desire to address the Anthority. EXECUTIVE SESSION It was moved by Vance Edwards and seconded by Terrell Williams to move into Executive Session under CRS Section 24-6-402(4)(e) for the purpose of determining matters that may be subject to negotiations, developing strategy for negotiations and/or instructing negotiators regarding financing for the 38th Avenue and Sheridan Boulevard redevelopment project. The motion passed unanimously. The regulaz meeting was recessed to executive session at 5:20 p.m. The executive session was convened in the second floor conference room at 5:25 p.m. The executive session was adjourned at 6:05. The regulaz meeting was reconvened at 6:08 p.m. WRURA Minutes Page 1 10-22-03 Those attending the executive session were: Tim Sullivan, Jeff Bailey (both left the executive session at 5:40 p.m. and retumed at 6:00 p.m.), Vance Edwazds, Elwyn Kiplinger, Norm Burkpile, Terrell Williams, Mary Hashem (left at 5:55 p.m.), Tom Mallinson (arrived at 533), Alan White, Jim Windholz, Arne Ray and Ann Lazzeri. 5. NEW BUSINESS A. Designation of Vice Chair Due to Chair Hashem's absence, it was necessary to designate a vice chair to serve in her place. It was moved by Norm Burkpile and seconded by Elwyn Kiplinger to designate Vance Edwards to serve as vice chair for the remainder of the meeting. The motion passed unanimously. B. Approval of Financine Proposal Jim Windholz requested the Authority to consider the financing proposal submitted by the developer. It was moved by Norm Burkpile and seconded by Elwyn Kiplinger to approve the financing proposal with Cornerstone's lender, Midwest Bank, subject to a formal contract to that effect to be approved by the Authority (WRURA) at a subsequent meeting. Arne Ray stated that one of the objectives of a financing agreement has been to have adequate coverage for the WRURA to minimize risks and to pay off the debt as quickly as possible. The financing agreement being considered would involve a capital commitment by WRURA of some of its present funds and a loan commitment of up to $1,980,000 that will be drawn down as needed with an additiona] contingency, if needed, based on ultimate costs of the project. Repayment would come from some of the remauung Safeway tax increment funds for the next several yeazs plus all of the incremental funds, sales and property taxes from Walgreens, and the Walgreens public improvement fee. Debt service wiil be defined to allow twice yeazly payments at a minimuxn with the option for WRURA to make additional payments in any amount at any time to be credited against any accrued interest and then drive down the principal. Accrued expenditures would be property acquisition, relocation, contingency fund, project legal and professional fees, loan origination fees, loan closing costs and a contribution toward any required environmental remediation on the property. In addition, WRURA would be able to maintain a sepazate general fund account to fund other operations and seed money for any other projects. The loan is estimated to be paid off by mid 2007 based.on present estimate of costs and revenues for the project. However, the loan could be paid off at an eazlier time ~ WRURA Minutes Page 2 10-22-03 no prepayment penalty. At that time, revenues wouid be freed up for WRURA or the city. A vote was taken on the motion which passed unanimously. C. Resolution Authorizin¢ Acquisition of Prouerties Jim Windholz advised the Authority that a resolution may now be considered to authorize acquisition of properties now that a financing agreement has been approved. This will allow negotiations to begin to acquire properties. It was moved by Elwyn Kiplinger and seconded by Terrell Williams to adopt Resolution No. 03-2003, authorizing the acquisition of properties including the utilization of eminent domain, related to t6e Walgreens project. The motion passed unanimously. D. Resolution Approvins Intereovernmental Aereement (IGA) with Citv Jim Windholz explained that this resolution will approve a proposed IGA to be considered by the city on Monday, October 27 and provides for the continuation of sales tax increment revenues from the Town Center project. Its pwpose is, if necessary, for these revenues which are to be available solely to the city after 2006 to be made available to the Authority for its debt service related to 38`h Avenue corridor redevelopment projects. In addition, the IGA provides for collection and distribution of the public improvement fee to the Authority to be used for its financial obligations incurred in the Walgreens project. It was moved by Norm Burkpile and seconded by Elwyn Kiplinger to adopt Resolution No. 04-2003 approving an intergovernmental agreement with the City of Wheat Ridge, regarding sales tax increment and the collection of a public improvement fee. The motion passed unanimously. E. Review of Consolidation Plat and Special Use Permit for Conformance with WRURA Plan. Vice Chair Vance Edwazds advised the Authority that he could not heaz this case before it goes to City Council on October 27`h. Since Mazy Hashem lefr the meeting eazlier, his absence would leave the Authority without a quorum to vote on this matter. Therefore, it became necessary to recess the meeting to a time a quorum could be present. This must be done prior to the October 27`h Council meeting. Discussion was held regarding the recessing of this meeting to another date and time. Vance Edwazds took a poll of Authority members who indicated they could attend a meeting on Monday, October 27, at 10:00 a.m. WRURA Minutes Page 3 10-22-03 Vance Edwazds stated he would entertain a motion to recess the meeting at this time to be reconvened Monday, October 27, at 10:00 a.m. It was moved by Norm Burkpile and seconded by Elwyn Kiplinger to recess the meeting to be reconvened Monday, October 27, at 10:00 a.m. The motion passed unanimously. Vance Edwazds declared the meeting to be recessed at 6:18 p.m. Mary Hashem Chair Vance Edwards, Vice Chair Ann Lazzeri, Secretary WRURA Minutes Page 4 10-22-03 MINUTES OF WHEAT RIDGE URBAN RENEWAL AUTHORITY October 27, 2003 (Continued from October 22, 2003) 1. 2. 3. 4. DESIGNATION OF VICE CHAIR Alan White informed all present that Terrell Williams would be participating by telephone. Due to Chair Hashem's absence, it was necessazy to designate a vice chair to serve in her place. It was moved by Elwyn Kiplinger and seconded by Norm Burkpile to designate Tom Mallinsoa to serve as vice chair for the meeting. The motion passed unanimously. INSTRUCTIONS FOR TERRELL WILLIAMS Mr. Williams acknowledged that by participating on the telephone, he was waiving his personal appearance at the meeting. He confirmed that he was able to hear the participants and that if he should be unable to hear discussions, he would let the Authority know. Alan White reviewed the agenda for Mr. Williams. CALL THE MEETING TO ORDER The Wheat Ridge Urban Renewal Authority meeting was reconvened by Vice Chair Mallinson at 10:12 a.m. The meeting was held in the councii chambers of the Municipa( Building, 7500 West 29th Avenue, Wheat Ridge, Colorado. ROLL CALL OF MEMBERS Commissioners present: Norm Burkpile Elwyn Kiplinger Janet Leo Tom Mallinson Terrell Williams (via telephone) Commissioners absent: Mazgy Platter (resigned 10/23/03) Vance Edwazds (excused) Mazy Hashem (excused) Also attending: Alan White, WRI.TRA Executive Director Kathy Field, Recording Secretary WRURA Minutes Page 1 10-27-03 5. NEW BUSINESS A. Review of Consolida6on Plat and Snecial Use Permit for Conformance with WRURA Plan. This item was presented by Alan White. He stated that the City's development regulations require review by WRURA for certain land use applications when they are located in an urban renewal area. The case under consideration concerns consolidation of five pazcels and an alley in the 38"' and Sheridan redevelopment project. The alley is being relocated and the parcels aze being consolidated into one development lot. The special use is required for the drive-through phannacy proposed for the Walgreens. The site plan has been reviewed by staff and all standazds for parking and landscaping have been met. The traffic engineer has reviewed and approved the access plan for the Walgreens. It is necessary for the Authority to make written findings as to the conformance of these items with the urban renewal plan. These findings will be forwazded to city council. (Tenell Williams indicated that he understood the presentation.) It was moved by Norm Burkpile and seconded by Elwyn Kiplinger that the Urban Renewal Authority finds the consolidation plat and special use permit are in conformance with the Urban Renewal Plan for 38th Avenue. (Terrell Williams indicated that he understood the motion.) A vote was taken and the motion passed unanimously. Vice Chair Mallinson asked if there were any present who wished to address the Authority. Charles Durbin 3703 Ames Nlr. Durbin asked about legality of platting before ownership. Alan White replied that city council approved an ordinance several months ago that allows a quasi public entity to submit land use applications prior to owning the property. The Authority cannot give approval to the platting but can give a written finding that these applications aze in conformance with the Urban Renewal Plan. The caveat to city council is that there is a certain length time wherein ownership must be obtained by the AuthoriTy or the approval is essentially null and void. (Terrell Williams indicated he did not hear the discussion. Alan White then summarized the discussion for him.) WRURA Minutes. Page 2 10-27-03 Robert Wallace 3749 Sheridan Mr. Wallace asked to know the time limit. Alan White replied that the ordinance states that ownership must be obtained within sixty days of the grant of final approval by city council. (Terrell Williams indicated he heard the question and the response.) 6. ADJOURNMENT It was moved by Elwyn Kiptinger and seconded by Janet Leo to adjourn the meeting at 10:25 a.m. (Terrell Williams indicated he heazd the motion.) The motion passed unanimously. Tom Mallinson, Vice Chair Kathy Field, Secretary WRURA Minutes Page 3 10-27-03 THIRD AMENDMENT TO DDA EFFECTIVE OCTOBER 15, 2003 The parties to the Disposirion and Development Agreement ("DDA"), Effective May I, 2003, hereby agree to the amendment of Exhibit B(Schedule of Performance) of the DDA extending the time requirement for the Authority's Financing and the Closing as provided in the revised Exhibit B document attached hereto. Wheat Ridge Urban Renewal Authority By: Chair The Comerstone Group, XXII, L.L.C. By: The Cornerstone Group I, Inc. Manager By: ATTEST Secretary STATE OF COLORADO ) )ss. COUNTY OF JEFFERSON ) The foregoing instrument was acknowledged before me the day of , 2003, by as Chair, and as Secretary of the WHEAT RIDGE i7R13AN RENEWAL AUTAORITY. WITNESS my hand and official seal. My commission expires: Notary Public STATE OF ILLINOIS ) ) ss COUNTY OF COOK ) I, a Notary Public, do hereby certify that , personally known to me to be the of 1'HE CORNEILSTONE GROUP I, INC., an Illinois corporation, the sole Manager of THE CORNERSTONE GROUP XXII, L.L.C., a Delawaze limited liability company, and personally known to me to be the person whose name is subscribed in the foregoing ivstrmnent, appeared before me this day in person and acknowledged that he signed and delivered the said instrument as of The Cornerstone Group I, Inc, the sole Manager of The Comerstone Group XXli, L.L.C, pursuant to authority, as his free and voluntaiy act, and as the free and voluntary act and deed of said corporation and lunited liabflity company, for the purposes therein set forth. Given under my hand and notarial seal the day of , 2003. Notary 2 EXHIBIT B Schedule of Performance EVENT TIME 1. Execution Of Agreement And Deposit Of Eamest Money (Effective Date) May 1, 2003 2. Conclusion Of Due Diligence July 31, 2003 CONDITIONS PRECEDENT TO CLOSING: 1. Securing Of Developer's Project Financing July 31, 2003 2. Securing Of Authority's Financing November 14, 2003 3. Preluninary Description and Boundary Survey to Developer August 15, 2003 4. Inspection Of Properiy Regazding Contamiuation July 18, 2003 5. Detemunation Regarding Contau7ination Remediation, If Necessary August 15, 2003 6. Developer's Securing of Vehicular Access To Properiy Including Traffic Study to CDOT September 19, 2003 7. Compierion Of Due Diligence By Developer July 31, 2003 8. Title Commitment And Survey To Developer By AuthoriTy Upon Acquisition of Property by Authority 9. Acceptance/Rejection Of Title/ Survey By Developer Fourteen (14) After Receipt of Tifle CommihnendSurvey from Authority 10. Satisfaction of Title/Survey By Fourteen (14) Days Authority After Notice of Defect from Developer 11. City Approvals Of Land Use Matters/Permits Granted Five (5) Days before Closing 12. Binding Written Commitment From Walgreen's May 27, 2003 13. Completion Of Acquisition Of Property/ Relocation Of TenantsBusinesses By Authoriry Twenry (20) Days before Closing 14. CLOSING May 5, 2004 15. Commencement Of Construction Of Improvements By Developer Ninety (90) Days after Closing 16. Completion Of Construcrion (Subject To Force Majeur) Eight (8) months after City Approves building plans and issues building pemut 17. Certificate Of Occupancy For Walgreen's Two (2) months after complerion of Construction 18. CommencementOfBusiness Operations by Walgreen's Sixty (60) Days after Certificate of Occupancy 19. Issuance Of Certificate Of Completion By Authority Five (5) Days after Commencement of business by Walgreen's ALL "I'IME REQIJIREMENTS ARE SUBJECT TO REASONABLE EXTENSIONS BY WRITTEN AGREEMENT(S) BETWEEN THE PAR'I'IES.