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HomeMy WebLinkAbout05/28/1985 DOWNTOWN MINUTES REGULAR JOINT MEETING DEVELOPMENT COMMISSION/COMMUNITY REDEVELOPMENT 117 WEST FOURTH STREET SANTA ANA, CALIFORNIA MAY 28, 1985 AGENCY t The Regular Joint Meeting of the Downtown Development Commission and the Community Redevelopment Agency was called to order at 7:10 PM in the lower level conference room of the Standard Concrete Building at 117 West Fourth Street, Santa Ana, California. Clerk of the Council conducted roll call as follows: PRESENT ABSENT John Acosta Daniel Griset, Chairman Wilson B. Hart P. Lee Johnson, Vice Chairman Patricia McGuigan Scott Morgan (ex-officio alternate) Robert Luxembourger Daniel H. Young Others in attendance: . _INUTES Robert C. Bobb, City Manager Rex Swanson, Deputy City Manager/Development Edward J. Cooper, City Attorney Janice Guy, Clerk of the Council Hank Cunningham, Acting Executive Director/Economic Development Agency Robert Hoffman, Economic Development Agency Real Estate Manager Roger A. Kooi, Downtown Development Commission Director Edward V. Henning, Downtown Development Commission Assistant Director Gary Craig, Downtown Development Commission Administrative Assistant Janet Grane-Evans, Downtown Development Commission Secretary Joe Elias, Chairman, Downtown Santa Ana Business Association Don Cross, Executive Manager, Downtown Santa Ana Business Association Jack McCulloch, Downtown Property/Business Owner Zika Djokovich, Downtown Property/Business Owner Hal Butts, Warner, Huston, and Butts Johannes Van Tilburg, Architect, Johannes Van Tilburg and Partners Kevin D. Wieck, Urban Pacific Development Corporation Jay Meehan, C.M. Properties Kathy Les, Heritage Orange County, Inc. Frank Boerring, Orange County Farm Bureau It was moved by Commissioner McGuigan, seconded by Commissioner Acosta and carried unanimously (5:0) that the minutes of the Regular Joint Meeting of April 23, 1985 be approved as received. EXCLUSIVE RIGHT TO NEGOTIATE TO URBAN PACIFIC DEVELOPMENT CORPORATION (A-11) Roger Kooi, Downtown Development Commission Director, identified the A-11 Site using ~ a Downtown development site map. The site is bounded by First Street on the south, . Main Street on the east, Third Street on the north, and by Sycamore Street on the west. The site excludes the historic Builders Exchange building. Kevin Wieck, Vice President of Development with the Urban Pacific Development Corporation, described the proposal for this site. The proposal consists of 124 one and two bedroom apartments; 112,000 square feet of office space; and 38,000 square feet of retail space. Johannes Van Tilburg, AIA and project designer, narrated a slide presentation outlining the site area and further describing the proposal. Mr. Van Tilburg projected the proposal for a mixed-use development inclusive of a six-story office tower at Third and Main Streets, specialty shops, boutiques, restaurants and having a total development value of $ 19 - 20 million. Ms. McGuigan inquired regarding parking, and Mr. Van Tilburg stated that the project includes one subterranean parking garage. Ms. McGuigan expressed concern that unreasonable demands are being made of the Downtown Parking Garage. Rex Swanson, Deputy City Manager/Development, asserted that the site cannot be developed economically with extensive on-site parking provisions and that the Downtown is different from suburbs in that a central city undergoes changing demands during the day. Mr. Swanson stated that the Agency will shortly be contracting for a Downtown parking management study. Jay Meehan, of CM Properties, addressed the Agency in support of the proposed development and emphasized the importance of this site to the entire Downtown. Hal Butts, of Warner, Huston, and Butts, urged caution in Downtown development with regard to parking, and . voiced the opinion that too much of a demand is currently placed on the parking structure. Zika Djokovich, Downtown business and property owner, stated that he is disappointed in the proposed use of the A-11 site, that there is simply not enough parking in the area, and that residential use is proposed on the same corner of First and Main Streets. Mr. Swanson reassured the Agency that the results of the pending parking study will be available prior to any request for a development agreement for this site. Contingent upon receipt and perusal of a parking management study, it was moved by Mr. Johnson, seconded by Mr. Hart and carried unanimously (5:0) to grant a 90-day Exclusive Right to Negotiate to the Urban Pacific Development Corporation for development of the A-11 site. EXCLUSIVE RIGHT TO NEGOTIATE FOR REHABILITATION OF 302 CAFE BUILDING Mr. Kooi deferred to Edward V. Henning, Downtown Development Commission Assistant Director, for background on this matter. Mr. Henning recalled that this structure, located at 302 North Main Street, had originally been included within the A-11 site boundaries. Pursuant to a commercial rehabilitation feasibility study performed by Heritage Orange County, however, the desirability of the Agency adopting a proactive and facilitative role in the rehabilitation of the highly visible structure became apparent. Through a joint venture arrangement with CM Properties, Heritage Orange County has made repeated attempts to acquire the building at a fair market value from 4IÞ its present owner, Arthur Jensen, to no avail. Mr. Jensen has indicated no desire to sell the property, as well as an absence of any effort to improve the exterior appearance of the building or the current tenant mix. Mr. Henning introduced Ms. Kathy Les, of Heritage Orange County, and Mr. Jay Meehan, of CM Properties. Ms. Les explained that the 302 Cafe building, when completed, would be one of the few Art Deco style buildings in the Downtown. Mr. Hart was excused in consideration of the possibili ty that Mr. Jensen may be a client of Mr. Hart's private legal practice. Jack McCulloch, a Downtown property and business owner, expressed strong opposition to restoring this structure rather than using the parcel for parking. Mr. McCulloch read briefly from an undated letter to himself from A. J. Wilson, in which the former City Manager expressed his support for the development of parking in the Downtown < " area. Ms. McGuigan asked how soon the Community Development Block Grant funding for this proposal needs to be used. Mr. Swanson stated that the funds must be allocated by the end of this fiscal year, and added that past studies had indicated that the ~ parcel in question would yield a relatively insignificant 18 parking spaces. . Discussion shifted to the issue of the current owner's apparent reluctance to sell the property. Mr. Meehan explained that he has offered from $ 30 to $ 40 per square foot, but that the owner seems to be holding out for a "friendly eminent domain" action on the City's part. The possibility of securing written verification from the owner stating such was discussed. Ms. McGuigan moved to continue this item to the next regularly scheduled meeting of June 25th. The motion was seconded by Mr. Acosta and carried unanimously (4:0). Following this action, Mr. Hart rejoined the assembly. AGREEMENT BETWEEN THE REDEVELOPMENT AGENCY AND ORANGE COUNTY FARM BUREAU FOR FRIDAY AND SATURDAY FARMERS' MARKET ON THE A-2 SITE Robert Bobb, City Manager, expressed his support for this item. Following brief discussion, it was moved by Mr. Acosta, seconded by Mr. Hart, and carried unanimously (5: 0) to authorize use of the A-2 Downtown Development Site for the purpose of an Agricultural Farmers' Vending Market and authorize the Chairman to execute an agreement between the Agency and the Orange County Farm Bureau for the Farm Bureau to manage the Farmers' Market. ORAL COMMUNICATIONS 4IÞ Commissioner McGuigan inquired as to whether it is necessary for City Council to act upon parking rate changes, expressing some concern pursuant to the recent increase in rates perpetrated by the Downtown Development Commission Administrative Staff. Edward J. Cooper, City Attorney, stated that Council involvement is not required under the present parking management process. ADJOURNMENT There being no further business to come before the Redevelopment Agency and the Downtown Development Commission, these bodies were adjourned by the Chairman at 8:35 PM to 7:00 PM, June 25th, in City Council Chambers at 20 Civic Center Plaza. ðv l.6i ~ Daniel E. Griset, Chairman Deputy City Manager/Development .