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Home My WebLink About20070116 - VI-17 January 10,2007 V-I7 TO: Honorable Mayor and Council FROM: John Grossman, HRA Director RE: Annual HRA and HPC reports for 2007 The enclosed 2006 reports are submitted for your information. Finances will be provided with the City annual report. HRA ANNUAL REPORT FOR 2006 REDEVELOPMENT - BLOCK 1, BLOCK 16 AND TYLER ST. The purchase and development agreement for Block I and part of Block 29 was signed in 2005. The City Attorney and HRA Staff worked with American Title and Sherman Associates to clear all title objections to Block 1. The final quit claim was received in September and all were recorded by year end. In January Sherman Assoc. reported 10 reservations for the proposed 28 unit condominium, phase one of the redevelopment. The number of reservations declined to 7 of the 12 needed by May. Early 2006 saw a significant decline in the condominium market, particularly in the suburbs. During the year Sherman negotiated with a restaurant operating company to lease the proposed restaurant space on Blockl. The company asked for a subsidy in excess of one million dollars for operating and lease costs. As this was not available, the negotiations were ended. The Block 16 parking lot, a component of the public improvements required by restaurant parking needs, was dropped as a part of the redevelopment when the restaurant negotiations were ended. The existing Purchase and Development Agreements with Sherman were extended to March 31, 2007 by Council and HRA. Special Meetings were held in May and June to discuss options. Sherman decided to stop marketing condominiums and asked if two- story townhouses would be an acceptable alternative. A reduction in the scope of the project would also reduce the funds available for subsidizing a restaurant, for paying street and utility assessments and for making park improvements. The HRA considered this development option required a strong market study, a quiet zone, a reduction in street and utility costs, a destination to replace the restaurant, and public amenities. Generally favorable comments were received at an open house held in October. EWers completed a financial feasibility study for Council Planning Committee and HRA review in December. Council Planning Committee and HRA considered the proposal feasible and asked Sherman to complete a market study for the townhouses for their review. LEVEE PARK Bonestroo Assoc., contracted to provide a Levee Park Plan, worked with a committee composed ofHRA, NRRC and downtown property owners, to prepare concepts for improvements from January through June. The improvements would be funded over time by the sale of property for redevelopment. An open house on the preferred design was held in March. Based on citizen comment, the council deleted some changes in the design and retained other existing features, such as the "Hastings" letters on the slope. The conceptual plan was completed in June. Construction of the park improvements will have to follow redevelopment of adjacent private properties. THREE RIVERS PLACE ON BLOCK 2 A purchase agreement for Lot I, Block 2 was negotiated by the HRA and Robert Abdo and Alan Most, partners in Three Rivers. Execution was contingent on a 39 unit condominium having fmancing and approvals. In March the public hearing was held and the purchase agreement approved. The slump in the condominium market also affected Three Rivers Place, so they closed their sales office will wait for the market to improve. QUIET ZONE HDR completed a report and recommendations for a Quiet Zone on the main line, affecting 3rd Street and 2nd Street in March. They did not recommend proceeding on the Con Agra spur line as there was only one train each way per day. The HRA asked the Council to approve the application and offered to pay the costs. In May the Council approved closing 3rd Street. In August the Council authorized the HRA to prepare plans and specs for Quiet Zone improvements. As a side track would have to be removed to make space for gates at the 3rd Street crossing, CP Rail offered to remove it at HRA expense. As the track was located on HRA property, the HRA agreed and it was removed in November. The plans and specs for crossing work will be completed early in 2007. UNITED BUILDING CENTER The purchase ofthe property was closed in late 2005. UBC leased the downtown buildings from the HRA until May when their new fucility was completed. As required by law, relocation costs were reimbursed after they moved. The City signed a lease to use and maintain buildings two and three, until a redevelopment project was approved or for seven years. Building one was demolished in November. BLOCK 29 AND BUILDING AT 110 E 4TH Sherman Associates asked to delay a public hearing on the sale of the HRA parcel for five townhomes. After the 110 parcel was sold, the HRA decided to ask Sherman to waive his development rights and to advertise an RFP for commercial development on the balance ofthe block. Sherman indicated they would sign a release of their development rights. Dave Berens looked at moving the 110 E 4th building but declined. In April AI Blankenship started to investigate a rehabilitation for commercial use but decided not to proceed in July. Steven McMahon indicated an interest and asked for time to consider the costs. The HRA affrrmed their goal for the building was rehabilitation and reuse, rather than relocation or demolition. In September Mr. McMahon decided not to proceed but Black River Properties made a proposal. This was accepted by the HRA after a public hearing. The parcel was sold and the rehabilitation was completed in early December. OTHER AND PENDING Nonprofit and Housing Revenue Bonds. In October the HRA authorized the issue of $5,000,000 revenue bond for construction ofthe Hastings YMCA. Vermillion (Highway 61) Retaining Walls. These limestone retaining walls were built in the 1870s between 6th and 9th Streets. As the walls are located on MnDOT right of way, and on National Register Historic properties, a historic architectural fInn, McDonald and Mack, prepared a study and recommendations for repair for MnDOT during 2006. Plans and specifIcations for construction will be prepared in 2007. MnDOT has a grant to fund part ofthe costs and other sources are being sought. Street and Utilitv Improvements in District No. I. The HRA committed to provide tax increment from District No.1 for the reconstruction of streets and utilities on those parts on'" and Eddy Streets within the district. A contribution agreement with the City was authorized in October and November. PROGRAMS Two Residential Rehab loans were made in 2006 for 220 E ih Street and for 610 E 6th Two Commercial Rehab Interest Reduction loans were made in 2006 for 213 E Second Street and for 110 E. 4th Street. REAL ESTATE HOLDINGS The City refunded the HRA 1993 Revenue bonds for remodeling City Hall, Police Department and Fire Station and assumed the balance of the debt. The HRA deeded the properties to the City. An attached map shows other HRA property. 2006 MEMBERSHIP Kurt Keena - Chair Robert Hollenbeck - Vice Chair Pam Holzem - Secretary-Treasurer Ronald Toppin Dennis Martodam H Real Estat - - - - - - - 0 DCIl~ - D D ~ - - - - D ll[[Ej [lli[[] [J[] t..,.. j [[lJ 2NDSTE _~ [ITIHJJ! illlilllll r!!JIIIIlQ! m {IT] llJ UTI [IIJ D ~ \Il ~~ L8IJ~ · u D [ill 3RDSTE lJlTJ []]] B l~ LlqJ lIll] [[8 ura Hall B ITJI1j EI ~ CJlliJ OTErnrn ~ w CJ=:J OJ] ffiD [[IIJ OJ dIB ITJ1JTE[[IIJ [] [] - BITI [ill [[] ITBD N City Legend A . of .' " " Under Redevelopment Agreement , . 1'\ " ' Leased or Used by City or CDA ., ,; ~ N For Future Development :. - ' <<-- Hastings Railroad . ~'<t... -= Clr{ OF IIASTUlGS Copyright 2006 City of Hastings HASTINGS HERITAGE PRESERV A nON COMMISSION Annual CLG Report 2006 Fiscal Year 1. Local Designation of Preservation Sites. No new designations. 2. Review of Building Permits 103 E 2nd. Sign design for Briar Patch - approved. 307 E 6th. Porch posts and rail designs - approved. 200 E. 2nd. Sign design for Route Bike Shop - approved. 314/316 E. 7th. Demolition request for fire-damaged property - approved. 201 E. 2nd. Awning and sign design for Edward Jones ~ approved. 220 E. th. Replacement of drip cap - approved. 215 W. th. Fence construction - approved. 1629 Vennillion. Yard light installation - approved. 120 W. 7th. Wmdow replacement - approved. 612 Vermillion. Window hood reconstruction, steps replacement, storm window replacement _ approved. 110 E 4th. Chemical paint removal, tuckpoint, repair masonry, scrape and paint wood work, replace destroyed window sash, remove back porch, construct handicapped access ramp, yard sign, and chimney replacement - approved. 474 Ashland. Remove rotted siding and replacement with wood siding - approved. 3. HPC Membership (on October 1,2006) Mark J. Simacek Katherine Sovik-Siemens David L. Warg Bertrand Goderstad - Dakota County Historical Society representative - Chair Amy Martin - vice chair Christopher Hellie MeI Behnke Bonnie S1. James Julie Hicks - appointed 1/31/2006, application enclosed 4. National Register Nominations There are sixty-three properties within National Register districts or individually listed. 5. Inventory Information All national and local inventories and designation records are kept in City Hall, 101 E 4th St., Hastings. The Pioneer Room is a city-owned collection of local newspapers, books, maps, photographs, illustrations and a few artifacts pertaining to Hastings and its residents over the years. Access to the collection is by appointment with volunteers who care for the collections and serve the public. CLG grant survey, identification and designation materials are available through 10hn Grossman on the City staff. The historic sites inventory includes National Register and Local Preservation designations for the East Second Commercial Historic District (NR), West Second Residential Historic District (NR), thirteen individual NR sites, the Old Hastings Historic District (local), and the 1994 CLG survey of historic sites and places is now available in notebooks of forms and contact sheet prints. 6. Assurances See attached. 7. Annual training. Commissioners Amy Martin, Katherine Sovik-Siemens, and Bert Goderstad attended the Annual Preservation Workshop in Red Wmg on September 19 and 20. John Grossman attended the workshop in Red Wing and a National Trust seminar on the Secretary's Standards in Milwaukee on October 20tb. 8. Other activities. The HPC mailed notices, guidelines and review procedures to owners of all designated properties. The Mayor and Council proclaimed Preservation Week and Hastings Heritage Day. The HPC accepted nominations and awarded plaques recognizing exemplary work in historic preservation to the owners of the following properties at a Council meeting on May 15, 2006: 221 E. 2nd (Gardner House), 719 W. ]'d, 511 W 4th, 402 W th, 121 E 6th, 119 E 8th. ---- l5l I[ ---" I' ill t jfjTYLERSrTj ~j g. ~ ~ $ ~ Cfj U ,= r 'S:: - +-(;5 I~ ......,15 ~ -~ ~~~~~~~~i.Q~=" < 5 'C 5 ,..,. ~ Q) .c (11._ E = 0 ~ "'"'" ou"ou i= W ......:E ~ Q) ..c.s.s - "0 ..c 1: Q.. 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(J) "<t 000 (J) ~~<U o C').....J~ ......:2: "to --- ~ .J I I II I ~ 1- BAILEYST"_ _ I II rrr m~~w~ ~ ~~ ~;... ~~ GO m'" EODYST gIZl.t 1.ot 'C'<I _ - I-- CO'>.... Of --~ ~ ll) t'OS ... ~ R ~~~.. ~J~~~~~~;-~j~~; III l---L- ., I &It & Cl t- .. ~~~ LL ~_ t- ~ ~~ M(OIOZ ... ~ ~ . ~ ~ = R ...... ! = SIB-EYST ; oz, ;; 7i ~ .~ ~Q~~~-;_..e;RINGST t DOJ ~fT.RD FfiGl, ...... t~7 -l~ 'I""'f ~ llOw ~ '0 [ili]QJ ~~I ~ / : ~ g ~ 1 1--1 ~ ~ 0 ~ 'I""'f 1 z ~ - -.--1 1: N ~ ~ II -h-L --P=I 2 ~ l1 ;! 1 -.~ ~ C ~ ASHtANDST 1 u IT ~ l, 0 'I""'f - ~ m liizl - " , ~ [I-- D ~-~Ea:lYST ~ W::-~]-B~ .~ :; ~ .8 eoz ~ :I: ~ .. .;!l = ... " ~ h-i '== ... <<Z - CI) :! ~I ~ ~.. <It I-- C/) ['Q = ozt ~ .~ ctl ~ f--- ASHlANO ST - --. ~:I: N ~ ~8 ~Jj ~1~ ~t.J' ,,:9 .7 ! FOREST ST ., 0 ~ --I--- Annual HPC/CLG Report Hastiol!s HPC Assurances 2006 Fiscal Year l. I hereby certify that the Hastiol!s Heritage Preservation Commission has adhered to The public participation provisions as stipulated under Section D of "Procedures For Applying For and Maintaining Certified Local Government Status" issued by the Minnesota State Historic Preservation Office. 2. I hereby certity that the Hastinl!s Heritage Preservation Commission has adhered to the "Procedures for the Proper Disposal of Govemment Records" pursuant to Minnesota Statutes 138.17 (see Appendix C of "Procedures For Applying For and Maintaining Certified Local Government Status"). Michael D. Werner Mayor, City of Hastings (This form may be used to certity compliance with requirement I.E.E of the Annual Report required for all CLG's) -------