Min - Economic Development Corporation - 2004 - 11/17 - RegularALLEN ECONOMIC DEVELOPMENTCOR.PORATION (AEDC)
BOAJID OF DIRECTORS
REGULAR MEETING
Board
Kurt Kizer
Tini Wood
Ken Fulk
Maxine Sweet
Carl Clenicricich
November I7, 2004
Staff
Charisse Canfield
Jennifer Grimin
Dan Bowman
Call to Order and n,tl unQ 1, 1
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Guests
Robby Ilefton
Greg Christison
Bill Armstrong
P'rcd Gans
Mike Villalobos
With a quorum of the Board present, the Regular Meeting of the: Allen. Econornic Development
Corporation (AI DC') called to order by President Kurt Kizer at. Cid 12p.m. on Wednesday,
November 17, 2004 at the AEDC Office. The rollowing items were discussed:
Approw-.,in., t,_e, S-of-Allie,October 20, 2004 egralar Meetin of the: AM C". Board of Directors,
The minutes of the October 20, 2004 Regular Meeting of the AIDC" Board of Directors were approved
as submitted on a motion by Carl, Clemencich, seconded by Kcii Fulk.
Convene into Closed Executive Session.
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The Board convened into closed executive session at 6:1 p.m. to deliberate commercial and financial
information and economic incentives to support, the retention of Project WiFi in Allen and. to deliberate
C01111DUcial and financial information and economic incentives to support the retention of Prqject
Book in Allen.
Reconvene into Regular Session
The Board reconvened into regular session at 8:13 pan,,
Consider and take J,19,11!9_Re�enlion QfT.rQ*t, iFi in .Alen.
Project Wi-Fi is a start-up venture currently located in approximately 3,000 Sl' in Allen, The company)
founded in 2003, is a fabless semierniductor company and is expanding rapidly, "They recently received
a $15 million round of financing giving them the ability to add criginecrs..This growth will require
approximately 8,000-10,000 SF in the short -tern) With additional space in, the long -teen,
Allen currently has a shortage of office/tech space for these types of users; therefore, the company has
researched other conimunitics and has a contract pending on space in Plano at a very competitive rate,
'T'he CEO of Project WiTi has stated that if the company leaves Allen, it would be unlikely that they
Would return.
Allen Economic Development Corporation
Rugular Meeting, November 17', 2004
Page 2
The company is considering on taking sublease space in the IC BS building. This space will
acconiniodate tile company for up to 18 months; at which firne they will move: into penmanentspaQc
planned to be constructed in Allen.
`-file company is seeking incentives to assist in their move into the short-term space and then future
consideration for when they locate into permanent space.
On a motion by Maxine Sweet, seconded by Tim Wood, the Board apl)i-(,)vcd as relocation incentive of
$50,000, to be distributed oil the following schedule:
a $30,000 upon the issuance of a Certificate of Occupancy oil the space in tile IC13S building.
0 $20,000 on the first anniversary of the, Certificate of Occupancy.
Tile: incentive is contingent upon Project Wi-Fi signing an 18-inonth lease with [CBS on a minimum of
8,000 SF and maintaining 10 employees and 550,000 in taxable business personal property value for
the 18-month period. The President of the AEDC Board was authorized to execute the appropriate
documents.
Consider and take Action Rcga!r "lin JnqpntJYizs5Supportj the Retention,of Project Book in Allen.
Project Book, founded in August 1999, is a publishing and production services company located in
approximately 4,000 SF in the Allen Central Business District. The company is researching options to
accommodate their future growth including relocating to Richardson or retrofitting their existing
space,. Brokers in Richardson are offering below, market rents ind moving allowance%.
Project Book is requesting incentives in the amount of $7,000 to assist in making modifications to then*
existing space to facilitate their expansion, Their current landlord is willing to work with there oil
a4jacent space and will permit them to make the modifications.
The AEDC Board considered the company's location in Allen's Central Business District and
audio/videc, production services that the cornpany has provided to tile City of Allen in the past.
Oil a motion by Maxine Sweet, seconded by Ken Fulk, the Board approved an incentive of $7,000,
contingent upon Project Book providing a copy of a 5-year lease on their existing space, maintaining a
mininuan of 5 fiflItime employees and maintaining at least $3,000 on the local tax rolls for 5 years.
The Board authorized the President to QXCQUtC the appropriate documents.
Approval of the Architectural Renderi gs
11 _XIdQpp5 -11clion Materials for an Office Building for
Pro i cct Security to be ConstructO _n o A
Ipproximately-4.2 Acres on AEDC-Owned, I friid at the
Southeast Corner of id enuirlit
R Drive and US 75�
A mortgage -related company is interested in having a two-story, 50,000 SF corporate headquarters
constructed on approximately 4.2 acres. They are focused oil the southernportion of tile AEDC-owned
Darnel at tile SEC of Ridgeniont Drive and US 75. The company selected Fred Gans, Cornerstone
Development:, to construct tile building.
The company will occupy approximately 30,000 SF with the remainder available for lease.They
would like to take occupancy by December 1, 2005 and will ultimately own the building. Gans will
initially purchase tile land that will then be conveyed to the company oil the, closing of the interim
construction loan.
Allen Economic Development Corporation
Regular Meeting, November 17, 2004
Page 3
Ken Fulk and,rim Wood (the AEDC subcoininiace working with Cornerstone) provided input to Gans
oil building design and rnatcriat& Cornerstone also met with Project Security officialsand has,
incorporated their input ilito the renderings as well.
Gans asked for approval of the final revised renderings. f le provided samples of the construction
materials for the AEDC Board to review. The general consensus oftlic Board was for the building to
be constructed using Diamond Back Chalk, a specific conibimation of shaded stones made by Lone
Star Stones, Inc.
Gans explained that a 4 foot parapet wall will screen tile electrical work oil top of the building and that
the band around the top of the building will be tilt -wall, but will have stucco -like quality.
On a motion by Carl Clernencich, seconded by Maxine Sweet, the Board approved tile architectural
renderings as presented by Fred Gans and authorized the President to execute the necessary documents
(including the land sale contract).
Consider and take Action for theAppror t the Landscgpill Lip-litinizand Architectural Desi lls for
ald . . .....................
McDermott Rus.J.Piess Par k-1.,orated -at the Southwest _Cornqi_qf.UcDernlott Drive and Ash Drive.
The AEDC Board previously approved a $150,000 incentive to assist PRG Capital Investment, L.P.
(Mike'Viltalobos) in the redevelopment of approximately 3 acres at the southwest corner of
McDerniott and Ash Drive. As part of the incentive agreernent with AEDC, Villalobos must receive
approval from the AEDC Board on the architectural, lighting and landscaping plans for the project.
Villalobos presented the final architectural, lighting and landscape plans, describing changes that have
taken place since the Board last saw the plans. All landscaping and lighting requirements set forth by
the City oaf" Allen have been met.
Oil a motion by Maxine Sweet, seconded by Carl Clenielncichthe Board approved the architectural,
lighting and landscaping plans as presented by Mike Villalobo&
A
Upto.vAl kf—AVEDC a�AngiAL&Pinrrls
Dan Bowman presented the AEDC financial reports and distributed the redesigned AEDC
Grants/Incentives shect.The AN )C Payback Analysis was also distributed to the Board. Oil a motion
by Maxine Sweet, seconded by Carl Clenlencich, the Board approved [lie AFDC Financial Reports as
presented.
Discuss Adininistrative and Markefing_"yities of the AEDC,
Jennifer Grinun updated the Board on marketing activities of the AEDC and distributed new AEDC
folders/niarketing materials. Board nienibers, were invited to attend (lie AEDC Holiday Open House
on December 9"' arthe AEDC office.
Charisse updated the Board on a prospective tenant that is interested in a shortAcrin lease oil tile,, space
in the RCL warehouse building. The company is also considering two other locations in Lewisville
and would be interested in ultimately finding permanent space they would own. If they decide to
Allen E ,cononlic Development Corporation
Regular Meeting, November 17, 20X04
Page 4
pursue the Allen location, a Special Called Meeting of the AEDC Board of Directors may be held the
week of November 29"' to consider possible relocation incentives.
Schedulin of Next AF.DC Roard of Directors Meetin
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The next Board meeting was scheduled for Wednesday, January 19, 2005 ua 6:00 Im'n.
<ljaaruna
On a motion by Ken Fulk, seconded by Maxine Sweet, the meeting was officially adjourned at
9:10 p.m.
These minutes approved this 19"" day of.lana ary, 2005.
Kurt Kizer, Pre [it
KkeFu4Ik,Sefcret-mry