ࡱ> ` $Mbjbj iDGXXXX$0*0*0*P*d*oP+d,z,z,z,---OOOOOOO$GRhTrP7-"-77PXXz,z,9)P;;;7X8z,z,O;7O;;.ILz,+ RO0*7 L@:M?P0oPJLd!U8!UL!UL-_0;/2t3a---PPl;^---oP7777d"0*0*XXXXXX COMMUNITY PROJECT/ZONING Ordinance Fact Sheet Ordinance Number Case No. 624-S Brief Title Approval Deadline Reason To consider approval of the Valentine-Broadway General Development Plan and to declare the area a blighted and insanitary. Details Positions / Recommendations Specific Address About 9 acres generally bounded by 21st Street and Southwest Boulevard on the north and northwest, Broadway/West Pennway Viaduct on the east, the Kansas City Terminal Railway on the south and Interstate 35 on the westSponsorBob Langenkamp, AICP, Acting Director, City Development Dept. Reason for Project To approve the area as a PIEA area and allow for tax abatement on improvements. Programs, Departments, or Groups AffectedCouncil District(s): 4th (Glover, Rowland) Other districts: Kansas City School District HISTORY: Planned Industrial Expansion Authority (PIEA), Resolution No. 953, passed February 11, 2005, approved and recommended to the City Council that the Valentine-Broadway Planning Area be designated by ordinance as blighted, insanitary or an undeveloped industrial area, as defined by RSMo sections 100.310(2), 100.310(11) and 100.310(18), and that the General Development Plan for the Valentine-Broadway PIEA Project Area be approved. Ambassador Hotel Historic District: Ordinance No. 53709 on March 12, 1982 and revised in 1988 with Ordinance No. 61440, designated this area as an Historic District in Kansas City. Uptown Tax Increment Financing District (TIF) approved May 1994 with Ordinance No. 940715 with further amendments. The subject area from 36th Street to the south is currently within this district. PLAN Review: The PIEA General Development Plan for the Valentine-Broadway Area includes about 2.5 acres, nine (9) parcels and five (5) owners. The area is generally located between Broadway Avenue on the west, Central Street on the east, a line about 150 feet north of 36th Street on the north and a line about 400 feet south of 36th Street on the south. Applicants/ ProponentsPlanned Industrial Expansion Authority, represented by Alfred J. Figuly, Executive Director, Suite 200, 20 E. Fifth Street, Kansas City, MO 64106Opponents Groups or individuals None known Basis of Opposition: Staff Recommendation  FORMCHECKBOX  For, with conditions  FORMCHECKBOX  Against Reason Against: Board or Commission RecommendationBy: City Plan Commission, 04/19/05, 5-0, Cook, Jenks, Martin, Myers & Diaz.  FORMCHECKBOX  Approval  FORMCHECKBOX  Approval, with conditions  FORMCHECKBOX  DenialCouncil Committee Actions FORMCHECKBOX  Do pass  FORMCHECKBOX  Do pass (as amended)  FORMCHECKBOX  Committee Sub.  FORMCHECKBOX  Without Recommendation  FORMCHECKBOX  Hold  FORMCHECKBOX  Do not pass  Discussion Policy / Program Impact The benefits of developing within a PIEA general plan area are: 1) the PIEA receives the power of eminent domain from the City Council and may operate on the designated developers behalf to acquire property (not expected to be used in this case), and 2) developers may receive tax abatement as allowed for in Chapter 353 for a period of up to 25 years. The City Council has already acted on most of the subject area in two actions. The entire area has been listed as an historic district and the area south of 36th Street is in the Uptown Tax Increment Financing District. The plan area includes a large apartment building and surface parking lot on the north side of 36th Street. The area also includes a series of two story commercial and office structures along the east side of Broadway, surface parking lots behind the shops and a Blockbuster Video store. The 9-story residential structure is the Hyde Park Apartments, an apartment building used for Section 8 elderly housing. The shops along Broadway include the Garret Building (3601), Betsy Ross Building (3611), Barclay Building (3619) and Blockbuster (3625), and include the businesses of: Crabs on Broadway, Pocos Grill, Cultural Beauty and Bridal, Peking Restaurant, Bobbys New Cocktail Lounge and the vacated Sydneys Restaurant. Policy or Program Change  FORMCHECKBOX  No  FORMCHECKBOX  YesOperational Impact Assessment  FinancesCost & Revenue Projections Including Indirect Costs Financial Impact Fund Source and Appropriation Account Costs Is it good for the children  FORMCHECKBOX  Yes  FORMCHECKBOX  No Project Start Date Plan Amendment filed: February 28, 2005 CPC date: April 19, 2005 Revisions resubmitted: April 26, 2005 Project Completion or Occupancy Date Fact Sheet Prepared by: Date: May 2, 2005 John Eckardt Planner Reviewed by: Date: May 2, 2005 Virginia L. Walsh, Manager Development Management Division Reference or Case Numbers: 624-S Proposed Land Use: The plan states that the proposed land uses that are allowed will be as authorized by Section 100.310(9) RSMo. This section essentially allows all land uses except single family residential uses. The plan also states that Land Uses within the planning area are identified within the Westport Area Plan as being Commercial. Proposed land uses within the PIEA plan conform to the specified uses within the Westport Plan, therefore no land use changes are required. These are the only references given as to proposed land use. It is however assumed that the multi-story residential use will remain in this use and further that commercial uses will also stay as commercial along Broadway. The plan identifies the Westport Land Use Plan and Focus as the guiding area plans. The Main Street Corridor Land Use Plan also offers guidance to this area. Planned Industrial Expansion Authority plans must be found to be in conformance with the Citys area plans. The only question as to conformance to the area plan is with the existing residential use. The Main Street Corridor Land Use and Development Plan recommends "commercial" land use at this location. The position of the City Development Department is that the existing multi-family residential building, which is proposed to be renovated and remain residential, is consistent with this land use designation because the use is generally less intense than the proposed commercial land use and because residential uses are generally permitted in commercial zoning districts. Therefore, residential uses are considered to be generally compatible in areas designated for commercial use. Furthermore, the FOCUS Kansas City Urban Core Plan supports higher density residential and mixed-use development in the Midtown District and in the "Central Business Corridor" (CBC). The plan recommends that, New residential development should be incorporated into mixed-use patterns that combine commercial and retail into the same area and even the same buildings. The FOCUS Land Use Concept Plan, which is intended to supplement and not replace the Main Street Corridor Land Use and Development Plan, recommends Mixed-use up to 4 stories at this location. This supports the inclusion of residential uses at this location. Broadway is also designated a Great Street in the FOCUS plan, which recommends that development patterns on the Great Streets through Midtown will be encouraged to include higher density mixed-use facilities with pedestrian oriented activities in the lower floors. Relationship with TIF: The plan area is within the Uptown Tax Increment Financing (TIF) plan which was approved in May of 1994. The Redevelopment Coordinating Committee requested information regarding the proposed relationship between the existing TIF plan and the proposed PIEA plan, specifically in how the new taxes would be divertedeither to area development with TIF or to the developer with PIEA. Stan Counts with the Economic Development Corporation replied that the Uptown TIF that is overlaid by the proposed PIEA, has missed the statutory requirement to be activated within 10 years of the TIF being created. Therefore, these TIF project areas will be eligible for PIEA tax abatement. There is no overlap in incentives. Zoning: The plan shows that the area is within three (3) separate zoning districts: R-4, C-3a2 and URD. The R-4 area is located over the surface parking lot on the north side of 36th Street. District C-3a2 is located over the Hyde Park Apartment Building located at the NE corner of 36th and Broadway. District URD is the zone for all of the area located south of 36th Street. This area was zoned to District URD with the prior TIF plan and has remained in place. Page 39 of the plan listed under Proposed Changes, states the intent to rezone to District URD under standard circumstances (new construction or expansion). The applicants representative states that it is the intent of the plan to revise this language to state that the entire area be rezoned to District URD. The RCC supports this request. The plan must be revised to require this immediate zoning. Development Strategy: The plan states the following development strategy: * Revitalize vacant and underutilized buildings, * Bring all structures up to building code, * Increase safety in the area by decreasing crime, vandalism and vagrancy through the use of improved lighting, fencing, general maintenance and neighborhood watch groups, * Increase safety in the area by decreasing crime, vandalism, and vagrancy through the use of improved lighting, fencing, general maintenance, and neighborhood watch groups, * Provide safe, convenient surface parking, * Increase commercial business opportunities within the area, * Beautify the area by improving streetscapes, cleaning up the Planning Area, and generally removing the existing blighting elements. The project is to be completed within 15 years. The RCC recommended that the time frame for completion be reduced to 10 years. The applicants representative agreed. Current Conditions and Findings of Blight: The entire area to the south of 36th Street within the plan was found to be a blighted area with the approved TIF plan in 1994. All newly created PIEA plans however require that blight be designated by the City Council with the proposed project. The Blight Study was completed by Development Initiatives, Inc. and states that the following are aspects which lead to a blight finding in this area: Insanitary or unsafe conditions, Deteriorating site improvements, Economic liability/economic under-utilization Insanitary or unsafe conditions * Open, exposed, malfunctioning sewer-line systems in some facilities * Trash, tires and debris * Lighting. Lack of adequate surface parking lighting * Lack of adequate guard rails and separation of surface parking areas from alleyways and streets * Lack of adequate window systems * Lack of modern fire prevention equipment in some structures. * Lack of emergency egress in some structures. * Lack of proper elevator service in the multi-story building. * Environmental: asbestos and lead-based paint. Deteriorating site improvements * Emergency Egress. Lack of proper emergency egress systems. No modern emergency egress systems are present in any portions of the Redevelopment Area. These systems include, but are not limited to; emergency exit lighting and emergency stairwell lighting. * Lighting. Lack of adequate surface parking lighting * Inadequate, inefficient floor designs. * Lack of adequate passenger elevators. * Insufficient ADA compliance. * Inadequate, deteriorated and unsafe sidewalk and curb/gutter systems. * Deteriorated paving existing throughout the surface parking areas. * General degrading and deteriorating building systems. * Other deteriorating roof structure systems The file contains a letter from Edgar J. Jordan, Jr., with the City Development Department, dated April 11, 2005. After reviewing the Blight Study and visiting the site, Mr. Jordan has advised the Redevelopment Coordinating Committee that this site is a blighted area as defined in Section 100.310. Analysis: The area as a whole appears to City staff and the Redevelopment Coordinating Committee to be a blighted area. Over 75% of the area has already been found to be blighted by the City Council in the past with a TIF project. Many of the buildings were constructed prior to 1930. Blockbuster, constructed within the past 10-years is the only building with questionable blight and therefore, questionable inclusion within the plan. The applicant states that Blockbuster was included because it possesses an entry from Broadway which connects to other adjoining parking lots behind the Broadway commercial shops. This makes sense to the RCC to include. The RCC is supportive of the change in the Plan to require rezoning for the entire area to District URD. This will affect two properties north of 36th Street, as the entire area south of 36th Street was rezoned to District URD with the TIF plan. There was a concern by the RCC of the potential non-conformance of the PIEA plan to the general guidelines of the prior-approved historic district. Since this area is located within an historic district, the Landmarks Commission must approve new construction and can delay demolition for a period of time. Concern was raised regarding an owner waiting until the delay period from the Landmarks Commission was over, then requesting tax abatement for new construction. It appeared that with this scenario there were competing City policies. To address this potential issue, the RCC recommended that the PIEA grant no abatement to any entity without the approval of the proposed construction by the Landmarks Commission for any contributing building. The RCC disagreed that the plan allowed for the possibility of 100% abatement over 25 years and also allowed for the possibility of no Payment in Lieu of Taxes (PILOT) payments. PIEA staff has agreed to reduce these requests to the standard maximum abatements. With this in mind, the existing taxes will be frozen and there will still be taxes paid even following rehabilitation and tax abatement. Therefore, taxing jurisdictions are left no worse off from a taxes received position, following tax abatement. The RCC was concerned that existing businesses would receive tax abatement with little economic improvement. To address this, the RCC recommends that as a minimum, the Plan require that all of the blighting factors identified in the Blight Analysis, be removed in order to receive tax abatement. Recommendations: At its regularly scheduled meeting on April 19, 2005, the City Plan Commission recommended in the following manner: That the area be found to be a BLIGHTED AREA as set forth in the Blight Analysis for the Valentine-Broadway PIEA Redevelopment Area; and, APPROVAL of the Valentine-Broadway PIEA General Development Plan subject to the following revisions and conditions: 1. That the redevelopment plan be revised as follows: a. Include PIEA Resolution 953 b. Include statements referring to access for the reason that Blockbuster was included and add reasoning for Hyde Park Apartments. c. Identify all of the pertinent City plans, state the recommendations of each plan and state that the proposed PIEA plan land uses will be in conformance with the area plans. See John DeBauche. d. Include wording from the FOCUS plan as provided by Gerald Williams, City staff. e. Page 24, Conformance, Major Street Plan, remove generally from the first sentence. f. Page 33, Proposed Land Use. Be more specific about the proposed land uses for the site. The wording is currently too general. g. Change the eligibility for tax abatement when there is a billboard, to the same language found in the recently approved 25th and SW Boulevard PIEA plan. h. Page 35, State how the monitary amounts were arrived at. i. Page 35, Land Acquisition, State how the monitary amounts were arrived at. j. Page 36, Tax Abatement, remove the last sentence--unless otherwise merited by the nature of a particular project. k. Page 36, PILOTS, change The Authority can, to The Authority shall.require PILOTS. l. State the relationship between this proposed PIEA plan and the existing TIF plan regarding the tax abatement. m. Page 39, State that it is required for any applicant to rezone the entire property to District URD in order to qualify and be granted tax abatement and remove all of the other rezoning language. n. Page 42, Public Improvements, add that the applicant should refer to Chapters 52 and 64 when the requirement of infrastructure is involved. o. Page 45, Change the 15 year plan date to 10 years. p. State that in order to receive tax abatement, any work on a site for any contributing building within the boundaries of the Ambassador Hotel Historic District must be reviewed by and approved by the Landmarks Commission. q. In the plan area, state that in order to receive tax abatement, the applicant at a minimum must remove all of the blighting aspects identified within the Blight Study. r. Blight Study, Page 87, Environmental, either substantiate the environmental hazard or remove this section. s. Blight Study, Page 87, Environmental, add the results of the Type One environmental study. t. Blight Study, be more specific regarding the blighting aspects of each building. u. Blight Study, add the blighting aspects of the Hyde Park Apartments. The vote was 5-0. Voting Aye was Cook, Diaz, Jenks, Myers & Martin. 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