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Home My WebLink AboutMAY 15,1990 1 I, tJIIS-. 50 Ot/s-'f?O /iRf1 32:0l01 CITY COUNCIL PROCEEDINGS ARE TAPE RECORDED AND ON FILE IN THE OFFICE OF THE CITY CLERK ROLL CALL FIRST AVENUE/ SANTA CLARA REDEVELOP. PROJECT SITE 0680A? I ~ t./N NT 1. MINUTES CITY COUNCIL OF THE CITY OF ARCADIA and the ARCADIA REDEVELOPMENT AGENCY ADJOURNED REGULAR MEETING (ARA STUDY SESSION) MAY IS, 1990 The City Council and the Arcadia Redevelopment Agency met in an Adjourned Regular Session at 5:30 p, m., May IS, 1990, in the Arcadia City Hall Council Chambers and immediately convened as the Redevelopment Agency. PRESENT: Agency Members Ciraulo, Fasching, Harbicht" and Young ABSENT: Agency Member Gilb MOTION by Chairman Young, seconded by Member Harbicht and CARRIED that Member Gilb be EXCUSED. The primary purpose of this meeting was to receive presentations from developers for the development of the southeast corner of First Avenue and Santa Clara Street. On February 9, 1990, the Agency solicited proposals for this site. Upon close of the bid period (March 23, 1990), proposals had been received from three developers; A. F. Incorporated; K. B. Construction; and Unicon Development, Inc. The RFP to which these developers responded marketed an 8,920 square foot triangular piece of surplus property currently owned by the City of Arcadia, and was designed to attract proposals from smaller developers, The RFP established a minimum suggested offer price for the land of $152,OOO ($17.04/sq.ft.), An analysis of the proposals, and background information relating to each firm, is contained in the May I, 1990 staff report. PRESENTATIONS A, F, INCORPORATED, proposes to construct a two story office building of 3,322 square feet on the southwest corner of the property. The design is of modern styling and features a grey stucco finish and blue accents, The "L" shaped building has a heavily landscaped center courtyard opening out to the northeast toward the railroad tracks, AFI has offered the City $152,000 ($17.04/sq. ft,) for the property and indicates that it will cost approximately $200,000 to construct the intended improvements for a total project value of $352,000, Staff estimates the value of the project to be $368,000. Gary Arndt, owner and operator of A. F, Incorporated, stated, in part, that he has developed five properties in the City of Arcadia. His computer sales business, now located at his 310 Foothill Boulevard building, will be moved to the Santa Clara site, With respect to comments of the Planning and Public Works Departments (May l, 1990 staff report), Mr. Arndt related that he will fully comply with all requirements set -1- 5/15/90 _ ~i' '~~~~r:' ....' . ;~.,~: . ~,*'f.M 32:0102 forth by the City such as additional landscaping; removal of the windows along the southerly wall of the proposed building; driveway location; and drainage patterns. Mr. Arndt explained that his company will provide very sophisticated computer programming software systems for auto body shops, Pittsburgh Plate and Glass will provide the computers for the software and will give the computers as a $12,000 gift to the body shops. The software is coded to order paint and equipment from Pittsburgh Paints. Mr. Arndt stated also that although the computers were to be given away, the body shops would still pay the sales tax. The software programming update will cost $I,OOO a year per customer and will also generate sales tax, In reviewingAFI's plans for the site, Mayor Young noted that the stairway was on the outside of the building, Mr, Arndt responded that he liked this design, and he would have more square footage inside the building if the stairwell were not included in the inside gross square footage. 2. K, B. CONSTRUCTION, proposes to construct a two story office building of approximately 2,700 square feet along the southerly property line designed in a "Cape Cod" style. The building will be constructed using brick and tan stucco materials. KBC is offering the Agency $165,000 ($18,49/sq. ft.) for the property and estimates that construction cost will run an additional $257,000 for a total projected cost of $422,000. KBC places the value of the project at ~486,OOO upon completion, Keith Brown, K. B. Construction principal, stated, in part, that he has been a long term resident of Arcadia since the mid 1970's. In response to several concerns expressed in the May 1, 1990 staff report, Mr. Brown reported that his architect has completed a redesign of the site and has provided the required number of parking spaces for a building of approximately 3,000 square feet; also they are not going to put in the two covered parking spaces; the new design modifie5 the building on the south elevation to include fake windows and doors to break up the large expanse of wall ... also stucco or brick veneer could be used, In response to a question from staff, Mr. Brown stated that they would be willing to use brick veneer if the Agency,were to select their proposal for the site; also they would not be adverse to adding fake doors and windows, shutters or canopies to further dress up the right side elevation, 3. ' UNICON DEVELOPMENT. INC., proposes to build the largest of the developments being considered for this site. They would commit to build a two story office building of 4,750 square feet. UDI design locates the building on the northern half of the property near the railroad retaining wall and contains a second floor overhang above ground level parking, The building would be located directly adjacent to the First Avenue sidewalk and contains landscaping only in the parking areas. Architecturally, UDI plans to finish the traditional style building in red brick and tan stucco, They have offered the Agency $l60,000 ($17.94/sq. ft.) for the property and estimate that the project will cost an additional $38I,OOO to complete for a total improved value of $541,150. Staff estimates that the project will cost $297,000 to finish, bringing the total value to $457,000. Mr, Richard Chu. Unicon Development principal, stated, in part that Unicon proposes to construct an attractive office building to accommodate small businesses such as a real estate office, investment company and the like. They will comply with all City requirements, in particular; the drainage channel will be incorporated within the design of the building to ensure that it will function correctly; also the land- scaping will meet City requirements; if the watermain has to be relocated, they will pay this cost. Mr. Chu also reported -2- 5fl5f90 I I I I CLOSED SESSION ADJOURNMENT , ATTEST: J ~1) Alford, 32:0l02(a) that his company is interested in purchasing the Avis Car Rental property situated adjacent to the project site. Unicon has not received a response from the Avis people to Unicon's proposal to purchase this property. In response to this information, staff informed Mr. Chu that if Unicon should purchase the Avis property, the Redevelopment Agency would then be involved with a private property in the acquisition process and somebody may be displaced as a result of that, this may trigger legally what is called "relocation and good- will" benefits, which in this case the developer would then have to take the financial responsibility for paying these costs, In the discussion following the presentations by the developers, Member Harbicht noted that he is in favor of negotiating with K. B, Construction for two reasons: I) They offer the most money for the property and, 2) they propose to construct a 2,700 square foot building which is smaller than the other two proposals, and is the most suitable for this site. Chairman Young agreed with Member Harbicht, Member Fasching commented that all three projects were representable and creditable, however, he would also go with the highest bidder, K. B, Construction at $l65,OOO. Member Ciraulo noted that the site is a very difficult piece of property to build on, ,. the K, B, Construction building fits in better with the neighborhood and it would not overwhelm the corner, ~e price offered is a greater return to the City; and he would be in favor of going with that development, Member Harbicht then MOVED that the Agency DIRECT staff to open negotiatins with K. B. Construction, seconded by Member Fasching and CARRIED on roll call vote as follows: AYES: NOES: ABSENT: Members Ciraulo, Fasching, Harbicht and Young None Member Gilb Chairman Young expressed the Agency's appreciation to the developers for their presentations and wished them all well. Chairman Young announced that the City Council/Redevelopment Agency would now move to the City Manager's Office for a Closed Session, The Redevelopment Agency ADJOURNED at 6:03 p, m" RECONVENED as the City Council and entered the CLOSED SESSION, RECONVENED AND ADJOURNED sine die at 6:30 p, m, :87,!4#;J.~./~ ary .. Y ng, M or ~ -3- 5/15/90