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HomeMy WebLinkAboutMin - Economic Development Corporation - 2007 - 02/21 - RegularA I ALLEN ECONOMIC DEVELOPMENT CORPORATION (AEDC) BOARD OF DIRECTORS REGULAR MEETING February 21, 2007 Board Kurt Kizer Tim Wood Carl Clemencich Mark Pacheco Maxine Sweet Staff Robert Winningham Daniel Bowman Call to Order and Announce a Ouorum Present. Guests Pete Smith David Hoover David Baldwin Ben Appleby Blair Oden Murl Richardson Barry Knight Steve Bielewicz Kent Oelkers Chris Flanigan With a quorum of the Board present, the Regular Meeting of the Allen Economic Development Corporation (AEDC) was called to order by President Kurt Kizer at 6:12 p.m. on Wednesday, February 21, 2007 at the AEDC Office. Consent Aaenda On a motion by Tim Wood, seconded by Maxine Sweet, the Board voted unanimously to remove Agenda Items No. 2 and No. 3 from the consent agenda and adopt the consent agenda as follows: 1. Approval of Minutes of the January 17 2007 Reeular Meeting 4 Consider and Take Action for Modification of the Economic Development Aereement with PRG Capital Investments, L.P. The motion carred. 2 Consider and Take Action for Modification of the Economic Development Aereement with Allen Towne Square, L.P. Allen Towne Square L.P is planning to construct a multi -use `town community center" development at the southwest comer of Cedar Drive and McDermott Drive. The AEDC Board previously approved an Economic Development Agreement for the payment of incentives to support this development. Eric Benavides, developer for the project, has requested that the AEDC Board extend the deadline for commencement of construction on the project from January 31, 2007 to May 31, 2007 Mark Pacheco noted that the AEDC Board previously approved a similar extension for this project in October, 2006. Pacheco also stated his concern that AEDC funds are being `locked up" for long periods of time with these types of projects. If AEDC funds are committed to small projects, there may not be money left to fund large projects when they occur. Allen Economic Development Corporation Regular Meeting, February 21, 2007 Page 2 David Hoover informed the Board that Allen Towne Square is the first project to be subject to the new Central Business District (CBD) zoning regulations. The delay in commencing construction on the facility was caused primarily by • the City of Allen planning process not flowing smoothly. • "busts" in previous surveys for various properties included in the development. These "busts" had to be corrected before the development could proceed. Hoover also noted that Allen Towne Square L.P has agreed to rebuild Cedar Street, which is not a requirement from the City of Allen. The project has progressed to the point in the City of Allen planning process where the burden is now completely on the developer going forward to complete the project. Mark Pacheco stated that this is the last extension that will be granted for this project. Maxine Sweet noted that it is important to support this project because it is in Allen's CBD. On a motion by Maxine Sweet, seconded by Tim Wood, the Board voted unanimously to approve changing the required date for the commencement of construction on Allen Towne Square from January 31, 2007 to May 31, 2007 3. Consider and Take Action for Modification of the Economic Development Agreement with �• Bradford Development Company i The Bradford Company has purchased approximately 12 -acres in Twin Creeks Business Park at the `I northwest comer of Exchange Parkway and Raintree Circle for the construction of Phase I of Twin Creeks Business Center, a development that will include approximately 180,000-sf of office/warehouse space. The AEDC Board previously approved an Economic Development Agreement for the payment of incentives to support this development Kevin Santaularia, Bradford Development Company, has requested that the AFDC Board extend the deadline for commencement of construction on the project from January 31, 2007 to May 31, 2007 and change the definition of"Commencement of Construction" to remove the requirement for the commencement of construction on the vertical elements by or before February 28, 2007 Bradford received approval from the City of Allen for site development on February 14, 2007 and also received approval from the City of Allen to proceed with the construction of the "vertical elements" on February 15, 2007 The developer will not be able to break ground until Monday, February 19, 2007 In addition, construction of the vertical elements of the improvements cannot commence until May or June, 2007 On a motion by Maxine Sweet, seconded by Carl Clemencich, the Board voted four (4) for, one (1) abstained with Mark Pacheco abstaining, and none (0) opposed to approve modifying the Amended and Restated Economic Development agreement with Bradford Company to change the required date for commencement of construction from February 15, 2007 to February 28, 2007, and to change the definition of"Commencement of Construction" to remove the requirement for the commencement of construction on the vertical elements by or before February 28, 2007 i Allen Economic Development Corporation Regular Meeting, February 21, 1007 Page 3 Regular Agenda 5. Citizens' Comments No citizen comments were made. Chris Flanigan with the City Engineering Department and the Allen Leadership Class was recognized as a visitor at the meeting. 6. Approval of AEDC Financial Reports Daniel Bowman presented the AEDC Financial Reports. Carl Clemencich requested that AEDC staff show projected values and variances for each AEDC account as part of the AEDC Financial Reports On a motion by Carl Clemencich, seconded by Mark Pacheco, the Board unanimously approved the AEDC Financial Reports as presented. 7. Consider and Take Action for Approval of Changes to the Design of the Landscaped Common Park Area in Allen Central Park Duke Realty purchased approximately 7 7 acres from the AEDC in Allen Central Park at the northwest comer of Bethany and US 75. The AEDC Board offered incentives and the City of Allen offered tax abatement to support the development of an approximately 150,000-sf, Class A office building in the Park. As required by the agreement, Duke Realty previously received approval of the design of the landscaped common area park in Allen Central Park from the AEDC Board. Blair Oden, Duke Realty, appeared before the Board to request approval of changes to the design of the landscaped common park area to Allen Central Park. The original park design approved by the Board was created by The Brickman Group. It was recently discovered that the funds committed by Duke Realty and the AEDC for construction of the common park area are not sufficient to cover the construction costs associated with the original design. David Baldwin, Landscape Architect, appeared before the Board to present Duke's revised design for the common area park. Baldwin originally designed the landscaping for Allen Central Park. He updated the Board on the following details of the new design: • It creates a circulation space between the two proposed buildings. • It takes advantage of the property's 16 -foot drop in elevation between the US 75 frontage road and Epoch Drive. This is done by creating terraces and steps in the common area park. • The portion of the Park adjacent to the US 75 frontage road would contain a statue/sculpture. This would be a significant piece of art that would draw attention to the Park from US 75. The possibility of including a water feature in this area was also mentioned, although it was noted that water restrictions and budgetary restraints would make this option difficult. Oden explained that Duke Realty plans to create a multi -phase common area park that can he upgraded in the future. He also noted that the current design proposal is the most attractive design that could be implemented within the $500,000 budget for the park. Carl Clemencich inquired why the western portion of the Park could not be used as a complete amphitheater with a stage. Baldwin stated that the 1 design could possibly be changed to accommodate such an amphitheater. Oden mentioned that puking will be made available to support public events in the common park as the business park develops. Allen Economic Development Corporation Regular Meeting, February 21, 2007 Page 4 The proposed statue will not be included in the initial phase of the park. Oden recommended that a Bowerbed be planted on the eastern portion of the park and remain in place until the statue is put in place. Clemencich expressed his displeasure with the absence of a water feature in the new park design. He anticipates that the water supply shortage will no longer exist within a few years, hence the park should not be designed based upon an expected future shortage. Maxine Sweet also expressed her displeasure with the new common area park design. Oden believes that the water supply shortage will not disappear within the foreseeable future. The water feature proposed by Baldwin would cost $500,000 - $1,000,000 (in addition to the current cost of the Park). Baldwin mentioned that the budget for Allen Civic Plaza was $1.8 million. Clemencich explained that he believes the common area park in Allen Central Park will be a more central gathering area for the Allen community than the Allen Civic Plaza. Kurt Kizer mentioned that future incentives for development of the business park could be tied to improving the common area park. Kizer also requested that Oden provide alternative designs that incorporate the Board's feedback. Oden distributed the budget for Phase I and Phase II of the Park. Tim Wood stated that he believes the new design being proposed by Duke Realty is the most attractive design that can be implemented within the $500,000 budget. The Board tabled the nem. Mark Pacheco abstained from discussion on this item. 8. Convene into Closed Executive Session. The Board convened into closed executive session at 7:14 p.m. to deliberate commercial and financial information and economic incentives for the following: • Discussion of Allen Commerce Center • Discussion of Project G • Recruitment of Project Tel-Dmg Reconvene in Open Session. The Board reconvened into regular session at 8:46 p.m. 9. Consider and Take Action for the Development of Allen Commerce Center Marl Richardson, Richardson Properties, appeared before the Board to request assistance with the development of Allen Commerce Center. Allen Commerce Center is an approximately 96 -acre park located north of Stacy Road and west of US 75. No action was taken on this item. 10. Consider and Take Action for the Recruitment of Proiect Tel-Drue AEDC staff updated the Board on the status of Project Tel -Drug. No action was taken on this item. Allen Economic Development Corporation Regular Meeting, February 21, 2007 Page 5 11. Administrative and Marketing Activities of the AEDC / Executive Director's Report Robert Winningham updated the Board on data center projects interested in Allen, specifically addressing Project Fortress. Mark Pacheco believes that most of the data center development will occur within the next 18 months. Daniel Bowman updated the Board on the expansion of Allen Business Center. 12. Scheduling of Next AEDC Board of Directors Meeting. The next Regular Board meeting was scheduled for Much 21, 2007 at 6:00 p.m. 13. Adioum. On a motion by Carl Clemencich, seconded by Maxine Sweet, the meeting was officially adjourned at 9:02 p.m. These minutes approved this 21' day of March, 2007 j�L�lC77 Kun Kizer, PreAdent Cart Clemencich, Secretary