HomeMy WebLinkAboutMin - Economic Development Corporation - 2003 - 01/08 - RegularALLEN ECONOMIC DEVELOPMENT CORPORATION (AEDC)
BOARD OF DIRECTORS
REGULAR MEETING
January 8, 2003
Board.
Staff:
Jim Brazeal
Chansse Resume
Tim Wood
Jennifer Grimm
Ken Fulk
Josie Zendejas
Maxine Sweet
Kurt Kizer
Call to Order and Announce a Ouomm Present
Others:
David Tarrant, McRoberts & Company
Murl Richardson, Richardson Properties
With a quorum of the Board present. the Regular Meeting of the Allen Economic Development
Corporation (AEDC) was called to order by President Jim Brazeal at 6.05 p.m. on Wednesday,
January 8, 2003 in the Conference Room of the Allen Economic Development Corporation, 100
Allentown Parkway, Suite 211, Allen, Texas The following items were discussed.
Approve Minutes of the November 20 2002 Regular Meeting and the December 19 2002 Special
Called Meeting of the AEDC Board of Directors
The minutes of the November 20, 2002 Regular Meeting and the December 19, 2002 Special Called
Meeting of the AEDC Board of Directors were approved as submitted on a motion by Maxine Sweet,
seconded by Tim Wood.
Consider Economic Development Incentives for the Development of Office/Tech Space in Allen
Commerce Center Located on the North Side of Allen Premium Outlets.
Murl Richardson. Richardson Properties. and David Tarrant, McRoberts & Company, visited with the
Board and provided information and renderings for an office/tech complex in Allen Commerce
Center. Corridor Commercial zoning has been granted, which allows a mix of hotel, retail, and office.
Infrastructure improvements of $1.8 million will include paving, water lines, etc. for the park.
Richardson anticipates constructing two 56,500 square foot office/tech buildings (totaling 113,000
square feet) with a 4:1000 parking ratio He expects the project to have approximately $8 million real
property with improvement values of approximately $5 million. Richardson said that the minimum
lease space would be 5,000 square feet and the building would be approximately 25-50°% office finish
with the balance in warehouse,assembly space. Anv truck entrances would be in the rear of the
budding.
On a motion by Maxine Sweet. seconded by Burt Kizer, the Board approved making a
recommendation of a 40%_ ten year tax abatement to the local taxing entities contingent upon the
AEDC Board's approval of the architectural, landscape, and lighting plans for the project. The
recommendation is also conditional upon the developer constructing both buildings simultaneoush
and will not be initiated until the developer closes on the Oncor project in the park.
Allen Economic Development Corporation
Regular Meeting, Januar} 8- 2003
Paee 2
It was suggested that the Board approve to recommend is contract now continent on the completion of
the Oncor contract with Richardson Properties. Maxine Sweet made a motion to approve a
recommendation for 40% tax abatement for 10 years upon approval b) the AFDC Board of the
architectural, landscape. and lighting plans. Kurt Kizer seconded the motion adding that the
improvement should include a rock fagade. The motion vias approved.
Consider an Amendment to the Economic Development Agreement for Chelsea Prooero, Gran
There have been ongoing conversations relating to the interpretation of the economic development
contract between Chelsea Property Group and the City of Allen, AEDC and Allen Community
Development Corporation. The primary issue is the calculation of the grant payments (plus interest)
and when spaces become eligible for calculation
Addnionall), there have been converserious between Chelsea. the City and AEDC representatives
concerning the prepay merit of the road grant and the pay ment of ad valorem taxes based on the
.onvact s minimum value.
The Board considered approval ofthe major "deal" points of the compromise negotiated. A detailed
exp!anznon of each point was prov ided. Cha: ic_se ezpia.nad that Pete Smith, AEDC Attorney, has the
majority of the contract written and will have it completel by the end of this week. Kevin Hamnieke,
Cin Finance Director, is working to clarify some nems for him. Chelsea has agreed to pav
approxmtate'ty $530.000 in to, deficitncies in two payments (one now and the balance in October
2003). The `_ by Marta ger ai.d Chelsea have agreed to the "deal" points as outlined (see below).
On a motion by Maxine Sweet, seconded by Tim vAbod, the Board approved the "deal" points as
outlined (see below) and authCrIzed the President to exe<ate the appropriate documents.
A primary change in the document is that neth:rg is tied to the Certificate of Oeaupancv. Each section of
the current contract is outlined below:
ARTICLE 111 - THE CENTER
Taxable Value - All parties agree the deficient, is rave, is due for Phase IA & I K The base amount in the
contract is $42 million for the bmldmg value and Chelsea Fad aperevimmeh e22 million A draft tae statement
„ dl be sent to Chelsea dwidmg the tmo, - dun gob:oseparate pa�men-s- the first to be issued Immediately
and the second statement to be issued in October '003 h teas agreed to drop any ad valorem tax requirement
beyard this (i.e. no. requirement for Phase III) The compar, met their obli_sation for Phase II
.ARTICLE 14 - STACY ROAD
\o changes to this section
ARTICLEF- GRANT
Eliminate vt'ordine rc latim, to cem Gcate of cccupancy The „rant (and ;merest) ill be _generated as each nee
tenant recenes a Commercial Final document from the Cin- lNbre This document is t,picall, given to the
compan7 prior to a Certificate of Occupant, 1 The Cin has accepted the luted Opinlnw Dates pro, ided o)
Chelsea for the tenants ahead, in place The remaining space %,11 be calculated as listed abo,e There is no
requirement to reach a certain, square footasc per 4ria,e as pie, iously stated Item 5.5 Maximum Grant
Amount - E,tend the deadline for qualib irg square footage to se, en O i ,ears and elimmate the min,ntum
square footage required for the grant to be pro,ided
Allen Economic Development Corporation
Regular Meeting, January 8. 2003
Page 3
Approve the Economic Development Section of the Proposed City of Allen 2002-2022
Comprehensive Plan
Tile Board discussed the Economic Development section of the Proposed City of Allen 2002-2022
Comprehensive Plan and recommended that the AEDC staff communicate recommendations for
changes to the Citv's Planning and Zoning Department. On a motion made by Maxine Sweet and
seconded by Ken Fulk, the Board approN ed fie following changes to th? Economic Development
section:
The removal of Priority 3 (in its entirety) as it is already covered under the Central Business
District section of the Comprehensive Plan: and
The removal of Table 6.5, Table 6.6. Priority I -paragraphs iv and v and other wording as it
relates to alcohol sales The Board recommended these items be placed elsewhere in the Plan
and that the City and its Boards and Commissions should remain neutral in the petitioning for
an alcohol -related referendum, as it is not a function of the City
Discuss the Development of a Four -Story. Class A Office Building in Millennium Corporate Center.
After discussing various options as cost-saving measures for the construction of a four-story, class A
office building in Millennium Corporate Center, the Board agreed to consider the following
modifications -
I Structural System — do not need to decide now.
Floor -to -Floor Height — agreed on 14' on upper floors and 15' on the ground/first
floor.
Floor Live Loads — agreed with BOKA Powell's recommendation of 100 lbs/sf li%e
load which will also yield approximately CO lbs/sf live load in the core areas. Also
make sure that criteria are set to limit deflection.
4. Parking Ratio/Parking-4.1000 including the underground parking
S. Floor Plates — Keep same footprint; 125- x 225
6. Core Design/Elevators —No decision was made and is willing to look at other options
the developer may have. Developer needs to show the fimshout of cabs
7 Offset Structure — Agreed to reduce the offset by approximately 3 feet to be more
aligned with the building's structural support.
8 Glazing/Glass — The developer must show the Board renderings if something
different than the original design is desired. -
9 Hat — If the offset is reduced (as listed abo%e) then the hat w ill be reduced. The
eleNation of the hat is to stay as designed at 5 feet tail
The Board's consensus on the modifications "ill be discussed with the developer to see if he is still
interested in pursuing the project. If so the subcommittee will meet further w ith the de%eloper to
discuss financing and the AEDC's participation in the project.
Anti al of AFDC Financial Reports
Josie Zendejas presented the financial statements for November and December'_00'_. On a motion
made by Tim Wood and seconded by Ken Fulk. the Board approved the financials as provided.
Allen Economic Development Corporation
Regular Meeting, January 8, 2003
Page 4
Discuss Administrative and Marketing Activities of the AFDC
Jennifer Grimm reminded the Board that Ted & Larry's ribbon cutting is scheduled for Thursday,
January 9, at 4 p.m , Collin County Day event in Austin is on February 17-19, and the Texas
Economic Development Council meets in Austin on February 19-20.
Charisse Resume updated the Board on various projects
Scheduli ne of Next AEDC Board of Directors Meeting
The next board meeting was scheduled for Wednesday, February 12, 2003.
Adioum.
On a motion made by Maxine Sweet and seconded by Ken Fulk, the meeting was officially adjourned
at 8,50 p.m.
These minutes approved this 12" day of February 2003. ^
i
Ji Brazeal, President enneth Fulk, Secretary