HomeMy WebLinkAboutSP July 9, 1997
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CITY of ANDOVER
Andover City Council
Special Meeting Agenda
July 9, 1997
Andover City Hall
6:00 p.m. 1. Call to Order
2. Focus Session - Andover CommerciallIndustrial Park
3. Adjournment
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CITY of ANDOVER
1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304· (612) 755-5100
SPECIAL CITY COUNCIL MEETING - JULY 9, 1997
MINUTES
A Special Meeting of the Andover City Council was called to order on
Jul y 9, 1997, 6:18p.m., at the Andover City Hall, 1685 Crosstown Hanson
Boulevard NW, Andover, Minnesota, for a Focus Session regarding the
Andover Commercial/Industrial Park.
Councilmembers present: Mayor McKelvey (arrived at 6:27 p.m.), Dehn,
Knight (left at 7:10 p.m.), Kunza, Orttel
Councilmembers absent: None
Also present: City Engineer, Scott Erickson
City Planner, John Hinzman
Community Development Director, Dave Carlberg
City Administrator, Richard Fursman
FOCUS SESSION - ANDOVER COMMERCIAL/INDUSTRIAL PARK
Colleen J. Nelson and Sara Rothholz Weiner of The Leonard Parker
Associates and William C. Tobin of Tobin Real Estate Company conducted
the focus session for the Andover Commercial/Industrial Park. Those
present introduced themselves and stated their expectations for this
session.
(Mayor McKelvey arrived at this time, 6 :27 p.m.)
Mr. Tobin then outlined the obj ecti ves for the evening: create a vision
for the Ci ty of Andover; market realities and examples; articulate a
vision for the 80-acre commercial site; define specific objectives; and
discuss the next step.
Create a Vision for the City of Andover:
The discussion centered around describing what Andover should be in ten
years. The following suggestions and comment.s were made~
- Preserve the reason people moved to Andover, that is for space.
Maintain the rural setting.
- No commercial development beyond what the community needs.
- Orderly development.
- Commercial development will not be heavy because the transportation
system will not support it.
- The majority of the residents are professionals.
- Very little rental housing. Mostly single family housing and some
senior housing. Less dense housing.
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Special Andover City Council Meeting
Minutes - July 9, 1997
Page 2
- possibly some cultural amenities will develop within the next ten
years.
- Focal point will be the City Hall complex, park and schools, but
there will not necessarily be a downtown retail center.
- Commercial area of the City would center around the Hanson
Boulevard and Bunker Lake Boulevard corridors. This industrial
park will be the prime business district. Architecture should
include low and high buildings with a campus atmosphere.
- Population of Andover projected for 40,000.
- Growing up in Andover, children will remember the schools and
family oriented recreational facilities with some unique
attractions to bring in other visitors to the community.
- Mass transit.
Market Realities and Examples:
Mr. Tobin advised in developing the commercial park, three issues must
be kept in mind: 1} macro trends; 2) economic feasibility; aad 3}
nature. Markets are cyclical, and the last five years have been very
good for commercial. It is a good cycle now. Andover is already
realizing that now with two health care facilities coming to the City.
The retail market seems to be going back to the neighborhood shopping
center and away from the regional malls. He suggested one thing the
Council should consider is jump starting the commercial park, that is
building the first building for either rent or sale.
Mr. Tobin stated another point to consider is staying with the plan even
in the lean years. In marketing the park, decide what points of
differentiation this park has and sell them hard. That differentiation
could be perceived labor availability; the economics of moving to this
park because of taxes, economic incentives or the cost of the land; or
the response time from the request through the approval process.
The Council preferred clean high-tech businesses in the park, leanin]
toward setting high standards through covenants and restrictions. They
also felt they would be willing to wait for those types of businesses no
matter how many years it takes to fully develop the park.
(Councilmember Knight left at this time, 7:10 p.m.)
Ms. Weiner then showed a series of slides on various commercial parks
developed since the 19S0s, how they are incorporated into the community
and their compatibility with the surrounding neighbors, how nodes of
activities can be provided to connect with the remainder of the
community, and how parks can be incorporated into the commercial park
layout.
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Special Andover City Council Meeting
Minutes - July 9, 1997
Page 3
The Council felt a unique feature of this park could be park and trail
amenities for the employees in the Commercial Park. Ms. Weiner also had
several slides showing the layout of parkins and trails to illustrate
their compatibility.
The Council recessed at this time, 8:00; reconvened at 8:10 p.m.
Articulate a Vision for the 80-Acre Commercial Park:
The discussion then centered on creating a vision for the Commercial
Park. The following comments and suggestions were made:
- Bunker Lake Boulevard is slated to be four lane with limited access
to this site and a lighted intersection at Jay Street. The county
has said it would improve the road sooner if the City is willing to
contribute financially to that project.
- Consideration may be given to having the major entry to the park at
the side street, not off Bunker Lake Boulevard.
- Setbacks and screening are needed along Bunker Lake Boulevard.
- Create district areas or zones within the park for retail, office,
and light industry.
- Need to dedicate an interior road within the 80 acres for access to
individual parcels.
- After the roads and ponding, about 60 buildable acres will remain.
- Use the large pond in the area as a central retention pond for
storm drainage for the entire site. Develop it as an amenity to
the area.
- It will be an integrated development with mixed heights, mixed uses
in a campus setting.
- Possible use of a pet clinic, bowling alley, off-sale liquor,
theater or others should be clustered.
- Users should be long-term, professional, paper oriented, high tech.
Legal, banking, insurance and data processing are possibilities.
- Mr. Tobin felt the market would want a high quality area for office
buildings, which would be this site as opposed to north of Bunker
Lake Boulevard.
- Limit signage to monuments.
- Develop design covenants.
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Special Andover City Council Meeting
Minutes - July 9, 1997
Page 4
- Industry would be light trucks and trailers; no outside storage; no
auto-related services except possibly new car dealers.
- Develop amenities of a trail system, picnic areas, landscaping,
etc. , for the employees of the park.
- Buildings should be related in some manner to provide a campus
atmosphere. Brick. Landscaping. Voca~ulary of materials.
- No housing units in the park. The taller buildings most likely
will be office buildings.
- Compatible designs for businesses adjacent to the residential
areas.
- The park should contribute to a focus on Andover.
- The area would support a hotel or motel.
- There was a concern over food franchises because of their tendency
to go out of business. Also, there was no desire to have a fad food
store on every corner. Mr. Tobin suggested restrictive zoning or
deed restrictions which would provide for specific uses at specific
locations in the park. Covenants could require the buildings to be
of multipurpose design compatible with the rest of the park.
- Big box retail is not consistent with the type of development:
desired here.
Specific Objectives:
Capital improvements: Mr. Tobin asked how much capital is the City
prepared to invest for land acquisition, infrastructure
improvements, etc. Mr. Fursman estimated $14 million with
capitalized interest. That amount is supported by the Tax
Increment Financing district and would not necessarily need to be
paid back. The payback is not in dollars; it is an attitude that
the blighted junkyard area is gone. The desired payback is
whatever the market will bear.
Given that, Mr. Tobin stated then the City can afford to wait until
the businesses it wants come along, or it can give the land away or
provide other incentives if it desires.
Time frame: The Council felt it wanted some immediate development, that
is within one to two years, but wanted full development within 15
years, the length of the TIF program.
Risk: Mr. Tobin asked if the City would want to construct the first
building and then either rent or sell it off. The Council felt
that would be unlikely. The City will have to indemnify for the
environmental risks, though it is waiting for a release from the
PCA.
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Special Andover City Council Meeting
Minutes - July 9, 1997
Page 5
Job creation: The Council felt the quality of jobs is important, that
the jobs must be such that they can support a family. They were
interested in quality jobs to enable the City to access state
economic incentives, though they would not necessarily seek out
those incentives.
TIF incentives: Mr. Tobin noted the most common approach has been t"
give the land for free. He reviewed the difference between the
front end and back end approach, stating the back end allows the
City more control. The back end is really a pay-as-you-go method
where a business would buy the land, then each year they would get
back a certain amount of the taxes. He emphasized the City must
decide the kinds of economic support it will provide in terms of
land give away, TIF funding, site improvements.
The Council noted the businesses in the first Commercial Park paid
$0.55 to $0.65 per square foot for their lots. Mr. Tobin stated
that is very competitive for industrial land. To do anything less
may be justified by the fact that this is a redevelopment area. He
encouraged the Council to decide what the competitive edge for this
park will be.
Natural environment: Ms. Weiner pointed out there is a tremendous
opportunity to leverage existing resources for a parkway system
that has already begun to be implemented. It starts at the Bunker
Lake recreational facility, a trail system west along Bunker Lake
Boulevard and through this 80-acre commercial park, continuing west
down Bunker Lake Boulevard to the Crooked Lake facility, to Round
Lake and the Kelsey-Round Lake Park and eventually to the Rum
river. It is potentially a beautiful trail system.
The Council suggested one of the unique features of the commercial
park could be the open space amenitie'3 which would be used by
employees during the week and utilized by the residents in the
evenings and on weekends.
Next Step:
Mr. Tobin stated they will summarize the results of this meeting, and
from that a specific land use plan and master plan should be created.
Off-site issues must also be addressed such as the traffic. Is the City
willing to contribute to the upgrading of Bunker Lake Boulevard? Then a
physical rendering of the master plan can be done and a marketing and
financial strategy determined.
The Council felt a goal would be to have the master development plan and
platting done by December 31, 1997. EPA approval or indemnification by
the City of the environmental risks is to be determined, though Staff
anticipated EPA approval shortly.
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Special Andover Ci ty Council Meeting
Minutes - July 9, 1997
Page 6
The Council also suggested the item be placed on the August 5 regular
meeting to consider authorizing the remainder of the contract proposed
by The Leonard Parker Associates and Tobin Real Estate Company. In the
mean time Staff will meet with the consultants, review the proposal,
determine if there are areas that can be done in-house; and if so,
redesign the contract.
The meeting was adjourned at 10:00 p.m.
Respectfully b~~tt~ª,
\,~~~
Marcella A. Peach
Recording Secretary
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