Loading...
HomeMy WebLinkAbout1987-01-21 EURA MINUTES• • • CLTY OF. ENGLEWOOD URBAN RENEWAL AUTHORITY JANUARY 21~ 1987 SPECIAL MEETING I. CALL TO ORDER. 9 B J The Special Meeting of the Englewood Urban Renewal Authority was called to order by Chairman Robert Voth at 5:50 P. M. Members present: Members absent: Also present: Minnick, Totton, VanDyke, Voth, Cole, Keena Powers, Executive Director/Executive Secretary Mcintyre Daugherty, Non-voting Alternate Member Mayor Eugene L. Otis Councilman Vobejda Assistant Director Wm. Richard Hinson Public Relations Specialist Dalquist Rus Hackstaff, Ross Investment Group Ann Sperling, Trammell Crow Bill Rothacker, Trammell Crow Bill Baker, Trammell Crow Chairman Voth asked that all persons in at tendance introduce themselves. II. ROSS INVESTMENT GROUP/TRAMMELL CROW Ms. Powers stated that the purpose of the meeting is for members of the Urban Renewal Authority to meet representatives of Trammell Crow, which company is proposed as a joint venture partner with Ross Investment Group on the develop- ment of Phase III in the Downtown Redevelopment project. Ms. Powers turned the meeting over to Mr. Hackstaff. Mr. Hackstaff stated that members of the Ross Investment Group have been dis- cussing the downtown development project with the Urban Renewal Authority and staff members for approximately one year. He wanted to bring the Authority up-to-date on the proposed joint venture partnership with Trammell Crow. Mr. Hackstaff stated that Ms. Sperling and Messrs. Baker and Rothacker represent the retail division of Trammell Crow in Denver. Trammell Crow is the largest developer in the country, and will be a great asset as a joint venture partner in the development project . Mr. Hackstaff stated that Trammell Crow has been able to get space leased in both good and bad markets, and are able to rely on both their local and national offices in doing the leasing. Mr. Hackstaff reiterated that Trammell Crow will bring great strength to this project. Mr. Rothacker stated that the Authority has not yet considered or approved the agreement between Trammell Crow and Ross Investment Group which will designate Trammell Crow as a joint venture partner with Ross Investment Group on this project. He stated that Trammell Crow wants to cooperate with the Urban Re- newal Authority and do whatever is required to make this project move easily to completion. Mr. Rothacker stated that he is a partner in the company in charge of the retail operations in Denver. Mr. Bill Baker is the marketing -1 - principal with Trammell Crow, and will serve as the "point person" on this project. Ms. Sperling is a partner in the retail division of Trammell Crow, and is, in fact, the first woman partner in Trammell Crow. Ms. Sperling will also be involved with this project in marketing and leasing. Mr. Rothacker stated that Trammell Crow has been involved with the Ross Investment Group projects in Edgewater and Arvada as joint partners. Trammell Crow has also done other projects in Jefferson County, Arapahoe County, and throughout the metro area. Several brochures depicting the Trammell Crow developments were distributed to the members present for their perusal. Mr. Rothacker stated that it is the policy of Trammell Crow to act quickly, decisively, to keep the Authority abreast of progress on the project, and to let the Authority know the facts. Mr. Rothacker stated that Trammell Crow policy is that of "conser- vative", and they try to exceed whatever "promises" are made. Mr. Rothacker discussed the responsibilities of Trammell Crow vs. the respon- sibilities of Ross Investment Group if the joint venture agreement is approved by the Urban Renewal Authority. Ross Investment Group has pre-planned the center and have created the framework for the development of the new center. Trammell Crow is now assuming the responsibility for the actual construction, marketing and leasing and will be the primary contact on the development. Ms. VanDyke asked if the architectural renderings of the proposed development were "generic", or fairly realistic. Does Trammell Crow plan to follow the preliminary design proposed by Ross Investment Group, or will changes entail further modification of the proposed waterway improvements on Little Dry Creek. Mr. Rothacker stated that Trammell Crow will be using the same ar- chitectural firm and architect, Mr. Don Slack; he stated that he felt the water features will be a positive element of the development, but that if a tenant feels there needs to be modification in the location of their building, or that the visibility or signage needs to be improved, they will listen to the prospective tenant and try to make the adjustments accordingly. Mr. Rothacker stated that the construction will probably be brick, as depicted on the architectural renderings. Mr. Totton asked if Trammell Crow is "comfortable" with the terms and condi- tions of the Disposition and Development Agreement between Ross Investment Group and the Englewood Urban Renewal Authority. Mr. Rothacker stated that they are comfortable with 99% of the Agreement; they are not thinking about changing the Agreement at this point in time. Trammell Crow plans to comply with the Agreement as written, subject to the market conditions. Ms. Daugherty entered the meeting at 6:20 p.m. Ms. Cole asked whether the Trammell Crow projects in Arvada and Edgewater are fully leased. Mr. Rothacker estimated that the Arvada project is 90% con- structed, and 80% leased. They have two major tenants signed for the project in Edgewater. Mr. Rothacker emphasized that they do not want to open an "em- pty" development; this is much more difficult to lease. Rather, they will construct the portion of the center for which they have committed leases, and will progress with construction as leases are signed. Ms. Keena stated that from the discussion that has occurred, it is her under- standing that the project will be built in phases as the leases are signed; and that Ross Investment Group and Trammell Crow will be partners on this -2 - , • • • • • • project. Is this understanding correct. Mr. Rothacker stated that it is cor- rect; Trammell Crow will be the lead general partner in the joint venture with Ross Investment Group. Ms. Powers asked if Trammell Crow retained ownership of the centers they have built, or do they sell off pads to retail establishments. Mr. Rothacker stated that Trammell Crow prefers to retain ownership; however, if a tenant indicates that they definitely prefer to own the "pad" on which their business is located, they will sell to that tenant. Mr. Rothacker estimated that in the last four years, Trammell Crow has sold approximately 18,000 feet in pads to tenants. Mr. Minnick asked about the contractors used by Trammell Crow; are the proj- ects put out to bid, or are there specific contractors that Trammell Crow prefers to use on their projects. Mr. Rothacker stated that there are specific contractors that Trammell Crow prefers to engage; they have tried putting projects out to bid, but were not satisfied with the experience on that project. Ms. Powers stated that she has talked to people in Edgewater and in Arvada about the Trammell Crow/Ross Investment Group developments, and the comments she has received have all been positive. Ms. Powers stated that regarding the public improvements on Little Dry Creek, the final design has been approved, and the project will be going out to bid in March. She suggested that if representatives of Trammell Crow want to sug- gest any changes that it be done now, because once the project is out to bid and under construction, it will not be modified. The improvements on Little Dry Creek are to be completed by July 15, 1987, to facilitate the construction of the private improvements on the site. Mr. Hackstaff stated that he has been discussing the amendment of the Agree- ment between Ross Investment Group and the EURA to include Trammell Crow as a joint venture partner with EURA Counsel Paul Benedetti. These amendments should be ready for consideration by the Authority within the next couple of weeks. Ms. Dalquist asked about the Trammell Crow policy on press releases and other communication with the media. Ms. Dalquist stated that the people of Engle- wood are anxious to know what is going on, and she wants to be able to give the facts to the public. Mr. Rothacker and Mr. Baker both indicated that Trammell Crow tries to keep a "low profile'' and do not do a lot of press releases. It was indicated that they will be willing to work with Ms. Dalquist in getting the information out to the public. Mrs. Cole asked what role Ross Investment Group will have once the joint ven- ture with Ross and Trammell Crow is approved. Mr. Rothacker stated that Tram- mell Crow will rely on Ross Investment Group for information and analysts; Ross representatives will be attending meetings with Trammel Crow representa- tives, and it will be a close working relationship between the two companies. Ms. Powers asked how Trammell Crow envisioned the relationship between this proposed development and the existing developments of Cinderella City and Trolley Square. Ms. Sperling stated that this is difficult to answer at this time; she stated that Trammell Crow will be recruiting tenants which will be ''regional" in nature, as well as convenience oriented. Mr. Baker stated that - 3 - while Trammell Crow has not been involved in the project except in the pre- 1 iminary marketing efforts, they are seeing significant interest from several good quality tenants. Mr. Rothacker stated that there will be a definite relationship to Cinderella City; he emphasized that the Phase III site is very interesting because of the high traffic volume on U.S. 285, the proximity to a major regional shopping center, and the population density the area draws from. Mr. Hackstaff reiterated that they will be working with Ms. Powers and Mr. Benedetti on the amendment of the Redevelopment Agreement, and this amended agreement should be to the Authority for their consideration at the next meet- ing. Mr. Hackstaff thanked the members of the Authority for their time and expressed the appreciation of the Trammell Crow representatives and himself for meeting with them. The meeting was declared adjourned at 7:00 p.m. - 4 - • • •