HomeMy WebLinkAboutMinutes - City Council - 2010-01-25 - Special Meeting (2)
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City Council, Special Meeting
Council Chambers
777 Cypress Avenue
Redding, California
January 25,2010 5:15 p.m.
The meeting was called to order by Mayor Jones with the following Council Members
present: Dickerson, McArthur, and Stegall. Council Member Bosetti was absent.
Also present were City Manager Starman, City Attorney Duvernay, Assistant City Manager
Tippin, Assistant to City Manager Clark, Redevelopment Manager Thompson, Senior
Redevelopment Project Coordinator Haddox, Associate Redevelopment Project Coordinator
Bade, Assistant Redevelopment Project Coordinator Rudolph, Deputy City Clerk Mize, and
Executive Assistant Tipton.
At the hour of 6: 15 p.m., Mayor Jones convened the Special Meeting of the Redding City
Council for a joint meeting with the Redding Redevelopment Agency.
POTENTIAL SALE OF CITY-OWNED PROPERTY LOCATED AT 1613.1625. AND
1637 PINE STREET (PARKING LOT NO.3) TO THE AGENCY AND EXCLUSIVE
NEGOTIATING AGREEMENT BETWEEN MERCER CONSTRUCTION LP AND THE
AGENCY.
[C-070-200 / R-030-145-010]
Assistant City Manager Tippin provided an overview ofthe Report to City Council (Council)
and Redding Redevelopment Agency (Agency) dated January 19, 2010, incorporated herein
by reference, relative to the purchase of City of Redding (City)-owned property located at
1613, 1625, and 1637 Pine Street, collectively known as Parking Lot No.3. These three
parcels of land were acquired by the City in the 1950s to provide public parking in
Downtown. The properties were subsequently declared surplus in 1996 due to their
historically sparse usage.
Mr. Tippin indicated that on September 14, 2009, Brent Weaver of Mercer Construction LP
(Mercer), submitted a proposal to partner with the Agency to acquire Parking Lot No.3 from
the City for the development of a multi-story, mixed-use, mixed-income project on the
subject site. Mercer's proposed development would incorporate commercial/retail space on
the ground floor and approximately eight to 12 residential units, which would be a
combination of market-rate and affordable residential units on the upper floors.
Subsequently, at its meeting on October 20, 2009, the Council, in closed session, directed
staff to attempt to negotiate an Exclusive Negotiating Agreement (ENA) between the Agency
and Mercer for the proposed development.
Mr. Tippin explained that while near-term Downtown parking issues are anticipated to be
minimal should the subject site be redeveloped, the potential long-term impacts on parking
in the Downtown are a key consideration. Since uses within the Market Street Promenade
area, formerly known as the Downtown Mall, will likely remain the major drivers of parking
needs in Downtown, it is staffs opinion that Parking Lot No.3 is not likely to be a
significant parking resource due to its location.
Mr. Tippin recalled that in 2006, the City created an ad hoc Downtown Parking Committee
(Committee) to study Downtown parking issues. In January 2007, the Committee presented
the culmination of its work, the Downtown Parking Committee Summary Report to the City
Council. In summary, the report states that there is adequate parking capacity today in
Downtown to accommodate smaller scale developments. Additionally, the report
recommended that Parking Lot No.3 be retained for public parking purposes in light of the
then proposed sale of Parking Lot No. 4 for the Theatre Square project, which has
subsequently been abandoned. Accordingly, in September 2009, a letter was sent to each
member of the former Committee inviting comments regarding the potential sale and
development of Parking Lot No.3. The only former Committee Member to respond was
Michele Goedert, of the Midtown Mall Benefit Corporation, recommending that if Parking
Lot No.3 is sold, the City commit to preserving Parking Lot No.4 for public parking.
Mr. Tippin explained that to facilitate ongoing negotiations with Mercer, it is proposed that
the Agency acquire Parking Lot No.3 from the City. The purchase price of the property
would be $210,000, the fair market value of the property as determined by an appraisal
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prepared by Ryan Real Estate Appraisers and Consultants dated December 1, 2009.
Acquisition of the property would allow the Agency to enter into an ENA with Mercer for
a six-month period. During this time, the terms can be negotiated governing the scope,
process, and timing of the redevelopment effort; stating the terms of the property purchase;
detailing the development to occur and the uses permitted; and specifying the terms and
amount of any Agency assistance contemplated. Once negotiated, the DDA will come back
to the Agency's Board of Directors (Board) for consideration.
It was recommended that the Council authorize the sale of City-owned property located at
1613,1625, and 1637 Pine Street to the Agency. It was further recommended that the Board
authorize the acquisition of Parking Lot No.3 and authorize the Chair to execute an ENA
between the Agency and Mercer which provides for the negotiation of a Disposition and
Development Agreement for the potential redevelopment of Parking Lot No.3 as a mixed-
use project.
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Council Member/Agency Chair McArthur related that she contacted Evelyn Jacobs of US
Bank, Kenny Breedlove, a Downtown Business Owner, John Truitt of Viva Downtown, and
Michele Goedert of Midtown Mall Benefit Corporation, for their input relative to parking
issues in Downtown. Ms. McArthur noted that Evelyn Jacobs was supportive ofthe project,
but would like to see Parking Lot No.4 retained for public parking.
John Truitt, Executive Director of Viva Downtown (Viva), expressed his organization's
support of more housing and retail in Downtown. Mr. Truitt explained that this particular
parking lot is underutilized during the day and the lack of lighting does not invite night
usage. Mr. Truitt emphasized that although Viva endorses the use of Parking Lot No.3 for
redevelopment purposes as a mixed-use project and would like to see Parking Lot No.4
preserved for public parking, it in no way is suggesting that one parking lot be tied to the
other.
Mayor/Agency Member Jones stated that he favors keeping Parking Lot No.4 for public
parking should Parking Lot No.3 ultimately be redeveloped.
Mr. Tippin noted that staff would support looking at each parking lot on a case-by-case basis,
not necessarily retaining a parking lot exclusively for public parking.
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A MOTION WAS MADE BY Council Member Stegall, seconded by Council Member
Dickerson, to authorize the sale of City-owned property located at 1613, 1625, and 1637 Pine
Street, collectively known as Parking Lot No.3, to the Redding Redevelopment Agency.
The Vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Council Members - Dickerson, McArthur, Stegall, and Jones
Council Members - None
Council Members - None
Council Members - Bosetti
A MOTION WAS MADE BY Agency Member Stegall, seconded by Agency Member
Jones, to authorize the acquisition of City-owned property located at 1613, 1625, and 1637
Pine Street, collectively known as Parking Lot No.3, and authorize the Chair to execute an
Exclusive Negotiating Agreement with Mercer Construction LP for the potential
development of Parking Lot No.3 as a mixed-use project. Voting was as follows:
AYES: Agency Members - Dickerson, Jones, Stegall, and McArthur
NOES: Agency Members - None
ABSTAIN: Agency Members - None
ABSENT: Agency Members - Bosetti
ADJOURNMENT
There being no further business, at the hour of 6:25 p.
adjourned.
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01/25/2010
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City Council, Special Meeting
Council Chambers
777 Cypress Avenue
Redding, California
January 25,20105:15 p.m.
The meeting was called to order by Mayor Jones with the following Council Members
present: Dickerson, McArthur, and Stegall. Council Member Bosetti was absent.
Also present were City Manager Starman, City Attorney Duvernay, and Assistant City
Manager Tippin.
At the hour of 6:40 p.m., Mayor Jones announced that the City Council would adjourn to
closed session to discuss the following:
Closed session pursuant to California Government Code Section 54956.8:
CONFERENCE WITH REAL PROPERTY NEGOTIATOR
Proposed sale of City-owned property located at 5555 Venture Parkway (APN 054-
220-015)
Negotiating parties: City of Redding and 2322 Dunavant Street, LLC
Agency Negotiator: Kurt Starman
Under negotiation: Price and Terms
[C-070]
Closed session pursuant to California Government Code Section 54957.6:
CONFERENCE WITH LABOR NEGOTIATOR
Designated Agency Representative: Personnel Director Speer
Employee Organizations: Local Union 1934 of International Association of Fire
Fighters - AFL-CIO and Unrepresented Employees
[P-l 00-050-050/P-l 00-050-1 00]
At the hour of7:40 p.m., Mayor Jones reconvened the Special Meeting to open session and
announced that no reportable action had been taken by the City Council.
There being no further business, at the hour of7:43 p.m., Mayor Jones declared the meeting
adjourned.
ATTEST:
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Deputy City Clerk .
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