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HomeMy WebLinkAbout05/21/1990 MPDD MinutesMINUTES MOUNT PROSPECT DOWNTOWN DEVELOPMENT STRATEGY SESSION MAY 21, 1990 VILLAGE HALL 100 SOUTH EMERSON STREET I. ROLL CALL There was a box supper beginning at 6:00 p.m. The meeting was called to order at 6:30 p.m. Present were: Mayor Gerald Farley; Trustees Ralph Arthur, Timothy Corcoran, Leo Floros, George Van Geem and Theodore Wattenberg. Business District Development and Redevelopment Commission members present were: Chairman Hal Predovich, Irvana Wilks, Paul Hoefert, John Eilering (at 6:55 p.m.), Bart Keljik and Joseph Janisch. Also present were: Village Manager John Dixon, Finance Director Dave Jepson, Director of Planning and Zoning Dave Clements, Economic Development Director, Ken Fritz, Police Chief Ron Pavlock, Fire Chief Ed Cavello, Assistant Village Manager John Burg, Chamber of Commerce Executive Director Janet Hansen, University of Illinois Professor Charles Hoch, three members from the print media, two citizens and Consultant Jack Gorguechon (at 7:05 p.m.). 11. DOWNTOWN DEVELOPMENT Mayor Farley made opening remarks and asked if the downtown property should be developed as a full package or on a smaller scale. He said the best site for the Public Safety Building is the current site. Village Manager Dixon gave an overview of downtown development, indicating that three parties had been interested in the Public Works building only. Planning and Zoning Director Clements distributed a handout showing a possible design for the block including the Aldi property and Public Works site. If the building were torn down, there would be room for retail stores and three-story residential. Mr. Clements said the advantages are: No up -front costs for the Village since the developer wants to buy the Public Works building; and Real Estate Taxes would begin immediately followed by Sales Tax. The disadvantages include: No flexibility on the development of the Northwest Electrical block; and Police and Fire could not use the Public Works building temporarily if development occurred immediately. Ken Fritz said a larger parcel may bring more interest from developers. Village Manager Dixon said the project would not be economically feasible if the Village had to pay $2 million for the property. Hal Predovich favored developing in a modular fashion. Finance Director David Jepson said there is very little payback on residential. There is about a $1.50 per square foot payback on Sales Tax; i.e., a 32,000 square foot retail store would generate about $50,000 Sales Tax revenue. Mayor Farley preferred the modular approach to downtown development. There used to be discussion about developing office, retail and residential but Mayor Farley felt that perhaps only retail and residential uses should be considered. Trustee Arthur was still in favor of the Public Safety Building being on Pine Street. There was a discussion about temporary sites for Police and Fire. Village Manager Dixon said Fire must be centrally located. The location is not as critical for Police. A pole barn could be constructed but this would add to the cost. Paul Hoefert thought the Village should make a decision about the untouchables and then let the developer put the property together. Jack Gorguechon arrived at 7:05 p.m. Dave Clements said the TIF District originally was expanded to accommodate Northwest Electrical. The Village would prefer to see Northwest Electrical expand to the west toward Wille Street and would like to work with them toward this end. There was a question as to which properties were the untouchables. Village Manager Dixon said some of the owners have expressed a desire to know what the Village plans are so they can make business decisions. Trustee Van Geem asked why this development is important to the community. He would like to see good retail uses that complement rather than compete with existing businesses. Also, the development must make economic sense. Consultant Jack Gorguechon said he would concentrate on larger principles of downtown development and help to facilitate a decision if possible. He outlined the area under discussion, the triangle formed by Main, Central and Northwest Highway. Those three streets should be opened up for visibility. We should concentrate on retail, without dilution by offices and so on. In an attempt to clarify the issues, Mr. Gorguechon asked: Have we limited our thinking in redevelopment with constraints we've placed on ourselves? He listed these constraints: Carte Blanche to Northwest Electrical; other untouchables; limited TIF; reluctance to use condemnation; density/height limitations and economic impact. -2- I There appeared to be a consensus that the TIF expansion is for larger redevelopment objectives, not for any particular property owner. In response to a question, Mr. Jepson said Northwest Electrical is one of the top 10 Sales Tax producers. Trustee Floros said that from a practical viewpoint, it does not make sense to ask them to leave. Mr. Clements said the Village wants Northwest Electrical to stay but would like to leave the property to the north available for retail uses rather than warehouse space. Max Ulrich also questioned whether a warehouse would be a good use for the property to the north. Hal Predovich suggested making that block a home improvement area (paint, hardware, etc.) to blend in with Northwest Electrical. Paul Hoefert was concerned that if the wholesale operation were to expand and Northwest Electrical were to leave, the warehouse would be a white elephant. Mr. Gorguechon asked if all of Main Street should be in the project. Trustee Van Geem felt the ' gas station is compatible with retail uses. Trustee Wattenberg agreed. There was a consensus that there were no real untouchables on Main Street. With regard to the Central frontage (mostly service businesses), the consensus was there were no untouchables. Village Manager Dixon cautioned that the Village may not be able to afford the properties. With regard to Northwest Highway frontage, the consensus was there were no untouchables. Mr. Gorguechon noted that in an RFP, the Village would reserve the right to negotiate or reject any offer. Mayor Farley was reluctant about assembling properties ahead of time. Trustee Floros was not willing to make a blanket statement that the Village will assemble all the properties or condemn properties. Trustee Corcoran said the Board is here to listen, not to make policy about people's livelihoods. Bart Keljik said the Village must leave open the possibility of condemnation but use it only as a last resort. There appeared to be a consensus that condemnation could be used but only as a last resort. -3- Trustee Van Geem was concerned about the cost and economic feasibility. Manager Dixon said it would be a loss on the first two blocks if the Aldi property had to be purchased. Trustee Floros wondered why we should worry about the rest of the triangle at this time. A major landowner is interested in the Public Works property. Why not allow this property to develop right now? Trustee Van Geem said he does not see anyone greatly interested in redeveloping the triangle. He sees so much down -side risk, so little up -side potential. He- suggested obtaining an economic feasibility analysis. Trustee Corcoran felt the facts have changed recently; i.e., the Aldi owner is willing to work with the Village. He felt the Village should identify good parcels and assemble an attractive package. Trustee Wattenberg felt a plan for the entire triangle is needed. Trustee Arthur felt the staff should put out an RFP on the property the Village owns (the Pine Street property). Trustee Floros agreed. Manager Dixon suggested putting the Village -owned block (Public Works) plus the north two-thirds of the Wille block (in the TIF District) on the RFP. Trustee Corcoran supported this. Dave Clements said that to attract developers, we need to let them know what land can be acquired. Mr. Gorguechon said we can write an RFP on land we don't own. Mr. Gorguechon attempted to summarize the next steps: A study of economic feasibility, identifying and quantifying public benefits, and a plan for the triangle. He said the plan must have very clear and specific policies. Trustee Corcoran asked how many meetings would be required to develop a plan and complete an RFP. Mr. Gorguechon estimated three meetings to get to the point of writing an RFP and suggested October as realistic. Mayor Farley wants this process to be speeded up. He set Labor Day as the timetable for completion of the RFP. There was a suggestion to hold meetings every three weeks. The next meeting will be June 4 at 6:00 p.m. to discuss the principles and ground rules for a triangle plan. KIS Trustee Corcoran moved, seconded by Trustee Arthur, to ask staff to work with Northwest Electrical to expand the warehousing and retail operation to the west. Motion carried unanimously. III. ADJOURNMENT The meeting adjourned at 9:45 p.m. JPB/rcw Respectfully submitted, JOHN P. BURG Assistant Village Manager -5-