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HomeMy WebLinkAbout2007-09-13 ACE MINUTES• • • ALLIANCE FOR COMMERCE IN ENGLEWOOD September 13, 2007 I. CALL TO ORDER The regular meeting of the Alliance for Commerce in Englewood {ACE) was called to order at 11 :42 a.m. in the City Council Conference Room of the Englewood Civic Center, Chair Schalk presidin g. Pr ese nt: Schalk, Panetta, McDermott {entered 11 :46), Lonborg {entered 11 :48), Espinoza {alternate) Absent: Guinther (excused), Vasilas (excused), Verbeck (unexcused) Also present: Jim Woodward, Councilman (entered 12:03) Staff present: Alan White, Community Development Director Darren Hollingsworth, Economic Development Coordinator Mark Graham, Senior Planner APPROVAL OF MINUTES July 26, 2007 Chair Schalk stated that the Minutes of July 26, 2007 were to be considered for approval. It was determined there was not a quorum. II. ACE BUSINESS INTRODUCTION -ALAN WHITE, COMMUNITY DEVELOPMENT DIRECTOR Chair Schalk welcomed Mr. White and thanked him for attending the ACE meeting. Mr. White said he has been with the City now for five weeks and has been working on lon g range plans and the work program for 2007 for the department. He noted a good deal has been accomplished, but there is still more to do. He said he is impress ed with the City and has a very ambitious staff that does extreme ly good work. He said there is a lot of potential in th e City in various places ; we just need to figure out how to make it happen. Chair Schalk agreed. H e said ACE would have more questions for Mr. White in the future . Mr. Panetta said he would lik e to invite Mr. White to visit individually with each of the ACE m e mbers to get their thou g hts. Mr. White said he would be contacting each member to set up a time to meet. Ms. McDermott said there are a number of ACE members who have been on the Board for a numb er of years and have seen a lot happen in the City. She too sa id it would be good for all members to meet with Mr. White indi v idu ally. 1 • • • Chair Schalk asked why there isn't a better balance between the businesses in the City and City Council. He said he feels it would be beneficial for Englewood it that could be accomplished . A lot of times the business concerns and the business needs, which is the foundation of our capital , are not met as much as some of the smaller residential needs that do not drive any business and /or keep the City going. He said the more that City Council can be pro-business the better off we will be . He said he feels we are headed in that direction, but not as quickl y as he would like. HOT EL STUDY Mr. Hollingsworth stated he is providing a follow-up discussion that ACE had in the spring. At that time, ACE endorsed moving ahead with the hotel study to assess the demand for a hotel in Englewood . Horwath consulting group was hired to look at what demand Englewood might generate and what ty pe of hotel might come into this area. ACE 's request was taken to City Council and Council endorsed the request. Horwath looked at demographics, interviewed employers, looked at industry standards, demand patterns and other factors to develop the Hotel Demand Anal y sis . Hopefully, the analysis will generate discussions with development groups and the City on a substantive level. If a developer wants to go farther than what the hotel study suggests Staff would encourage them to do so . The hotel study says there is a demand for a hotel of approximately 75 -100 rooms with small meeting rooms and a 24-hour fitness center. Suggested categories would be Holiday Inn Express, Holiday Comfort Inn, Fairfield, Hampton Inn , LaQuinta, and Country Inns and Suites. Possible sites would be along the 285 corridor, the Santa Fe intersection or possibly on Broadway near the 285 intersection. The Flood Middle School site and the Acoma property are possible sites . City Council will hold a study session on this topic on Monday, October 1 st at 6 :00. Mr. John Montgomery, of Horwath, will attend to present and answer any questions Council might have. Mr. Hollingsworth thanked ACE for supporting the idea . He said Staff has already had some phone calls from development groups taking a look in the area. Mr. Panetta asked how the hotel community became aware of the study. Mr. Hollingsworth stated it had been mentioned at a Chamber of Commerce function . There is a hotel and tourists board on the Chamber. It has also been mentioned at several development group meetings with local developers that are interested in this area. Mr. Graham said the Englewood Urban Renewal Authority has discussed it since they have property to develop. Also, there is a professional society that consists of development people from the construction compan ies and architect's offices that meet monthly. They are out looking for projects and when he spoke to that group about the study they were very interested. They are waiting for the final draft. There is interest in the community. The Glenarm Partners group that is partnering with Englewood Arts for the Acoma property specifically wanted a hotel study. They would like to include hote l/restaurant/banquet facilities in their project to compliment the performing arts use of that site . 2 • • • Ms. McDermott stated she was a little disappointed about the type of hotel that the study recommends. She said when ACE first started talking about hotels they thought Englewood could support more of a boutique hotel. She said ACE was thinking part of that support would include the new development going in at Hampden and University as well as the hospitals. Ms. Lonborg said she was one of the "industry people " interviewed for the study. She said both Swedish and Craig hospitals have a fair number of room nights, but the hospitals have negotiated such good deals with the Marriott Tech Center and the Sheridan Town Place that it is hard for anyone else to compete . The amenities they supply are substantial, the free shuttle services are substantial and most of the patients pay no more than $50 per night. Staff nights are few and far between and physicians looking to relocate are typically staying in Cherry Creek. Mr. Panetta said the report stated annu al occupancy rates from 54% to 64 %; there 's a lot of unused nights that, if it made sense to come down, they could do a hospital special. If they could stay here in Englewood it would be a lot closer and would save the patients and families commuting time. Chai r Schalk said the Gothic has quite a bit of demand from artists . He said he now sends them to LaQuinta, the Tech Center or the Sheridan. Mr. Panetta asked him if the type of hotels the study suggests would be acceptable. Chair Schalk said they would not be. He said his customers are from outside Englewood and are lookin g for a nicer place to stay . Mr. Hollingsworth said Staff asked Mr. Montgomery how we take it up a notch . He said you need to work with the developer to show the interest. It is ultimately their financing that will drive it beyond here. As a Phase I this is the base level of demand. The Study doesn 't shut out the more upscale hotels, it just means we are going to have to work even harder to get them to see the opportunities. Ms. Lonborg said it will have to be someone with a really good vision . Mr. Hollingsworth agreed. Mr. Hollingsworth again said this subject will be discussed at Council on October 1st . Once it is confirmed, Staff will send a memo to ACE to invite the members to have a discussion with Council. Mr. Panetta said he would hate to see it die without the support of ACE because it doesn 't meet ACE 's vision of what type a hotel ACE would like to see built. Ms . Lonborg asked if ACE needed to have an official endorsement of the study or does it matter. Mr. Hollingsworth said it is a draft and will be going to Council on October 1st . ACE endorsed the study on the front end, which was powerful in taking it to Council in the first place . Mr. Panetta said he believes ACE should and could take a stand that ACE has reviewed the report and we strongly encourage and would hope that City Council will view it favorably . 3 • • • Lonborg moved: Panetta seconded: ACE endorses the fact a hotel is needed in Englewood and encourages the City and the City development staff to take the study, when it is finalized , and go out and leverage securing a hotel in Englewood. Mr. Woodward noted that most citizens who have guests have to send them out of the City to find a place to stay all night. He also believes that the eastern portions of Cherry Hills and Greenwood Village and Porter Hospital should be included in the study. Mr. Panetta said one item not covered in the study is , if there is a hotel built, what ancillary businesses would that draw. Suggestions included flowers shops and restaurants. The motion carried unanimously. CO M MUNITY DEVELOPME NT CORPOR ATIO N Mr. Graham noted that the Community Development Corporation has been discussed before and Staff provided some examples of how they are used in other areas . He said the housing program seems to be the place to start because there are resources already associated with them and there are problems with the way the housing program is currently ran. Specifically, there are timeline problems in several areas. Those problems could be cleaned up by having a small organization that can make decisions more quickly and that can legally buy and sell properties. It also would provide an organization that can do other types of projects such as land banking, CDC's are eligible for grants and foundation funding, and they can expand the current housing programs, which is not allowed under the current Charter or by TABOR. The members were all in favor of a CDC. Mr. Panetta said if there are funds available from grants and private foundations that will jump start the program , housing would be a natural launch pad . It improves the housing stock, improves the look of the community, and it gets distressed property off the market quicker. Ms. Lonborg said she likes the idea mentioned by Chair Schalk .... that it allows the City to be more flexible .... able to get things done. Mr. Graham said he spoke to the City Attorney's office regarding the formation of the CDC and there are several things that are likely to be issues. One is how the board is made up and the C DC will not have sovereign immunity like the City does for running the education program, but the issues can be worked through. Mr. Graham suggested there be representation by the business community on the board if business programs are ever to be added into the CDC. Someone with housing or lending background would be ideal. Mr. Panetta asked Mr. White for his opinion. Mr. White said the City of Wheat Ridge recognized the need for a CDC about a year and a half ago. It was . set up for the same purposes that have been mentioned today ... land banking, land assemblage , to facilitate economic development projects and housing. The tough part is land banking and 4 • • • assemblage. Capital is needed and he stated he did not know if grants and foundation sources are going to be able to contribute enough to do some of the larger deals. The City of Wheat Ridge staked the CDC 1.5 million dollars over a five year period to get started. After that they need to be self sufficient. They started loan programs for business rehabs and housing rehabs at a low interest rate and offered consulting services to land owners as income generators. The downside he saw at the City of Wheat Ridge is there were too many people on the board of directors. Mr. Woodward asked if a CDC has the ability to partner with the private sector for land banking. Mr. White said he believed they do; they don't have any of the restrictions that the government has. Mr. Panetta asked Staff where they stand on the issue. Mr. Graham stated he felt it should definitely be set up. He said he feels with the resources involved with the housing program Council will need to give the approval to allow those resources to move to another program. Those programs will have to contract with the CDC to run the loan servicing or continue the programs we are committed to. If the housing program is the way we are going to start the program we will need Council support. Chair Schalk asked Mr. Graham if the Community Development Department would be the one to create the CDC. Mr. Graham said yes, CD could do it. In a way, it is a paper change for the City. Staff that currently works under the housing program would work under the Community Development Corporation in the future. The City currently has several groups that are set up in a somewhat similar manner. Lonborg moved: McDermott seconded: To recommend to City Council they initiate the process to form a Community Development Corporation. Chair Schalk said he feels a CDC should be pursued and City Council should work with Community Development in the formation and come back to them and ACE if they have questions. Mr. Woodward recommended after City Council finalizes the CDC, it be brought back to ACE for their review. Chair Schalk asked if Staff could assemble a simple outline of how Staff would recommend setting up the program with maybe one, two and five year goals to take to Council. Mr. Panetta said he assumes one of the questions will be how much money is it going to take for the CDC to have an impact on the City and assumes Council will want to know if the City of Englewood is going to have to commit to any money. He suggests Staff provide the minimum amount of dollars needed to get the CDC started and where those funds are coming from . 5 • • • Mr. Woodward said because of this being an election season it is not going to come up in front of Council until at the earliest December. If Staff is able to assemble an outline and bring it to ACE first to look at it may save some steps in making the recommendation. Mr. Woodward asked if the CDC would apply to the entire City or only to certain geographical areas. He said he would like to see redevelopment north of Dartmouth, or District 1. Mr. Panetta made a friendly amendment to include in the motion that Community Development Staff provide more details in terms of funding, goals, and specific structure of the proposal and bring it back to ACE for further review for ultimate presentation to City Council. Ms . Lonborg accepted the friendly amendment. The motion carried unanimously. Mr. Graham asked for clarification ..... he asked if his goals are limited to housing or should he include business goals too. The members asked for both, but housing would be the immediate proposed first option. Ms. Lonborg said she would like to see some long-range vision in th e proposal. GENERAL IRONWORKS UPDATE Mr. White stated the members of the Englewood Environmental Foundation met with RTD about three weeks ago. Th ey also met with Mr. Winslow, one of the owners of the property, and his developer. RTD is very interested in making good their commitment to the City to provide the parking that was promised under Fastracks. The owners stated they had not looked at the project in the recent past, but would go back and look at some of the numbers. They have not gotten back to us to date . Right now they are not moving forward, but that could change in the near future. Mr. Woodward said he recalled there was to be 450 parking spaces on the Winslow site with people being shuttled down to the station or having parts of Inca redone so passengers could walk to the station. He finds that option absurd and not workable. He said he understands to do a light rail stop it will now cost approximately $10 million, pa y able one-third by the City, one-third by the developer and one-third by RTD. He said he has heard RTD does not want to build the station . Based on their committed number of 3.3 million dollars, RTD could put the 450 parking stalls at the current station. The General Iron property is the City of Englewood's biggest potential assemb lage of developable land. To put 450 parking spaces that probably won 't be used since it is a half mile walk to the train station makes absolutely no sense. He asked Mr. White if they are still considering that option. Mr. White said they did look at it as one of the options, but dismissed it due to the cost of the shuttle. Alternatives are being looked at, one of which is to build a structure with retail on the ground floor at the current station . Hopefully, there will be follow-up meetings with RTD in the future . 6 • Ms. Lonborg asked if anyone knew how much of the parking by the light rail station is consistently by the same people . Mr. White said he did not believe those statistics were kept. Ms. Lonborg wanted to know if there was a way to sell the parking spaces so they become a revenue source . • • Mr. Graham stated there was a change in rules recently, he believes, by the RTD Board as a result of State legislation that gave them more latitude in structuring parking. He believes they could charge for parking. They have done surveys before and people have indicated they do not want to be charged for parkin g, but a reserved, covered spot might be attractive to the public. Mr. White stated he had attended a conference this past week where parking was discussed. Cities all over the state are getting into the parking business. Mr. Graham suggested the City renegotiate with RTD regarding the development of Bates Station. He said at the time the deal was struck the demand for the station was about 200 riders per da y. If you build a 450 -500 car park n ride for RTD , they become the dominant generator of demand for the station and in his mind that makes them the developer. He suggested their portion of the development cost then becomes two-thirds and the City would pay the remaining third. Mr. Woodward said Bates Station was originally set up at a Kiss n Ride station similar to Oxford Station with no parking . 111. COMMENTS & EVENTS CHAMBER Of COMMERCE Ms. Mendel was not present. ACE MEMBERS APPROVAL Of MINUTES July 26, 2007 Chair Schalk stated that the Minutes of July 26 , 2007 were to be considered for approval. It was determined there was now a quorum. Lonborg moved: Panetta seconded: The Minutes of July 26, 2007 be approved. The motion carried unanimousl y. Mr. Panetta noted at a past meeting there was discussion regarding a brochure on Micro Business Development. He asked if the attachment to the meeting packet was that brochure. Mr. Hollingsworth said it was not. MBD is still working on it. ACE will get a copy when it is finalized. Mr. Panetta also asked if the City was going to hold MBD to quarterly 7 • reports. Mr. Hollingsworth said yes, the first one is due at the end of September. Mr. • • Panetta asked Mr. Hollingsworth to look into ACE's in volvement in the City Budget. He also asked about the issue of testimonials from businesses that had been addressed at a previous meeting. Mr. Hollingsworth said that the issue will be addressed in a new marketing strategy for 2008. One of the ways to market the community is through testimonials. The is sue wi ll be brought back following the completion of the 2008 marketing strategy. Mr. Schalk said he knows it takes staffing to do the larger marketing projects, but suggested someth in g on a smaller, simpler level be done now such as a comment from several recent businesses that have located in Englewood. The members agreed. Suggested companies to contact are Kacey Fine Furniture, Vitamin Cottage, and Sportique Scooters. Mr. Hollingsworth will follow-up on the comments and bring them back to ACE at a later date. Chair Schalk said he attended Englewood Days and the car show. He said it went very well. Mr. Woodward said the Taste of Englewood was very successful according to Ms. Mendel. Chair Schalk also made mention of th e great banners along Broadway the BID has installed. He said they look fantastic. BID COMMENTS Mr. Vasilas was not present. STAFF COMMENTS Mr. Hollingsworth said Sun Country is opening for business next week in Dartmouth Industrial Park. They bring 1 5 jobs to the community. They will hold a grand opening next week. All ACE members are invited to attend. No further business was brought forth for consideration . The meeting was adjourned at 1 :07 p.m. The next meeting is scheduled for October 11, 200 7 . 8