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012589 Planning WorksessionAGENDA PLANNING COMMISSION MEETING OF JANUARY 25, 1989 CITY OF NEW HOPE, MINNESOTA 7:00 p.m. Work Session #1 1. CALL TO ORDER 2. ROLL CALL 3. DISCUSSION REGARDING NEW HOPE VACANT LAND STUDY RELATED TO INDUSTRIALLY ZONED PROPERTIES LYING EAST OF WINNETKA AVENUE NORTH, NEW HOPE, MINNESOTA, AND INCLUDED IN ORDINANCE 88- 18. 4. OTHER BUSINESS 5. ADJOURNMENT City of New Hope Memorand%lm DATE: TO: FROM: SUBJECT: January 21, 1989 Planning Commission M. Jeannine Dunn, Administrative Assistant Vacant Land Study The purpose of the January 25, 1989 work session is to discuss the Vacant Land study as it relates to the properties owned by the Soo-Line Railroad located at 49th and Winnetka Avenues; and the property owned by Minnegasco located at 3900 Winnetka Avenue. You will notice in the January 19, 1989, Northwest Associated Consultants' planning reports that development of these properties may have an impact on adjacent properties. Staff asked the consultant to review a number of alternatives for development of these sites and prepare an analysis of each option. These reports, along with the Planning Commission's comments and recommendations, will be forwarded to the City Council in consideration of the Vacant Land Study as an amendment to the New Hope Comprehensive Plan. In addition to the reports contained in the packet, some additional informatiOn on the use of the Soo-Line railroad property under the industrial zoning classification will also be presented. If you have questions prior to the meeting, please contact me. northwest associated consultants, inc. PLANNING REPORT TO: FROM: DATE: RE: FILE NO: Dan Donahue/Jeannine Dunn Robert' Kirmis/Alan Brixius 19 January 1989 New Hope - Sites K, L Development 131.00 - 88.17 BACKGROUND The following report responds to the City's request to expand the development possibilities of Sites K and L as presented in the February 1986 New Hope Vacant Land Study. Two additional development scenarios will be provided based on the existing conditions and opportunities of the sites. These development scenarios are to be reviewed and evaluated by the City to determine the most desirable development patterns for the City. STUDY AREA The study area consists of three lots owned by the Soo Line Railroad. For the purpose of providing a better understanding of the area under study, Sites K and L have been combined into a single concept. As shown in Exhibit A, the area of the study for this report lies north of 49th Avenue North and east of Winnetka Avenue. The site is bounded on the north and east by Soo Line Railroad. ISSUES AND OPPORTUNITIES In preparation of the development scenarios, the following issues were identified as parameters for this study. Planninq History The site is located in Planning District 11 as described in the New Hope Community Development Plan, 1977, and is currently the largest vacant site in the City. The plan suggests that this area be developed exclusively for industrial uses. The 1986 4601 excelsior blvd., ste. 41 O, minneapolis, mn 55416 (612) 925-9420 STUDY AREA LOCATION new hope, minn. EXHIBIT A Vacant Land Study presented two site development options both including multiple family developments. It is believed that a lack of good highway access and visibility, in conjunction with adjacent residential development, make industrial marketability difficult. Therefore, the two additional concept plans presented in this report will investigate multiple family development as well. Land Use Compatibility The study area is located in the northern one-half of the City near the intersection of Winnetka Avenue and 49th Avenue. The surrounding land uses and zoning are as follows: Direction Zoninq North R-1 South R-i, I-1 East R-1 Land Use Park/single family Single family/light industrial Single family Currently the entire study area is zoned I-2, General Industrial District. According to the New Hope Zoning Ordinance, the purpose of the "I-2" General Industrial District is to provide for the establishment of heavy industrial and manufacturing development and use which because of the nature of the product or character of activity requires isolation from residential or non- compatible commercial uses. The "I-2" District is also intended to provide for large scale activities of a sociological nature not suited to other districts, but reasonablY compatible with the same characteristics suitable for general industrial use. Physical barriers such as Winnetka Avenue, the Soo Line Railroad and the northerly park area provide some degree of separation between this industrially zoned area and the surrounding residential uses. However, full industrial development of the area at the I-2 intensity presents some land use compatibility concerns. Extraneous activities associated with industrial development (i.e., traffic, noise, odors, dust, outdoor storage, etc.) can negatively impact the neighboring residential development. In this regard, the City must take the necessary precautions to insure the use and site design within the study area are high quality and compatible with existing land uses. Development must not over burden City streets or utilities in the area. Existing Development As shown on Exhibit B, the existing land uses in the study area are very diverse and segregated. Industrial development has occurred along Winnetka Avenue facing single family homes to the west. The existing railroad spur serving Distron Industries serves as a physical barrier that divides the study area and complicates site access and development patterns. Model Readi Mix occupies the eastern portion of the study area. This heavy industry is consistent with the I-2 Zoning District. The traffic and other extraneous characteristics present compatibility problems for the surrounding residential area. The Wingate Apartments serve as a residential transition between industrial area and the single family homes south of 49th Avenue. The study area also contains a small industrial and single family home lot along 49th Avenue. Future access into the study area may require redevelopment of these two smaller sites. The study area contains approximately 30 acres of vacant land. This is the largest contiguous vacant area in New Hope. Physical Limitations: Development of the available vacant land is complicated by the existing general features of the area. The following features will influence and dictate the land use and development layout of the available land. Site Configuration: While vacant parcels in the study area offer lot configurations suitable to a variety of developments, they provide limited accessibility and visibility. The specific size and configuration of the individual lots 'also dictate the development of these sites. If the property under study is not subdivided, the area limits its land use options to larger developments which may be out of character with neighboring uses. Property Ownership: The majOrity of vacant land in the study area is owned by Tri-State Land Company (5000 Winnetka Avenue and 7400 49th Avenue). Three other properties contained in the study area lie developed and account for 7.1 acres of land. A summary of Sites K and L property ownerships is shown below. NDUSTRIAL ITl SINGLE FAMILY .. ,. WONDER BREAD NORTHLAND CONTAINER · ' RAILROAD SPUR DISTRON · FAMILY · HOME WINGATE APARTMENTS INAPA SITE ACCESS 49T. AvE. 'I~:(COLLECTOR) SINGLE FAMILY DWELLING INDUSTRIAL MODEL READY MIX EXISTING CONDITIONS Address 5000 Winnetka Avenue North 7400 49th Avenue North 7300 49th Avenue North 7600 49th Avenue North 7550 49th Avenue North Owner Land Use Acreage Tri-State Land Co. Tri-State Land Co. Soo Line Railroad Richard Krohn Joseph Jacobwith Vacant 16.9 Vacant 12.7 Industrial 5.03 (Model Readi Mix) Commercial 1.0 (NAPA) Residential 1.1 (single family home) Conceptual plans for the vacant and developed land in the study area must recognize the land use, design and the financial implications that it may have on the various lots. Conflicts between the City's desired uses and the property owners development intentions can result in obstacles that may prevent implementation or add to the development costs. Soils and Topography: The lots slope downward toward the railroad tracks. The site topography will influence building location, utility extensions and site access from 49th Avenue. Soil conditions of the area present no major problems with regard to limiting buildable area. Utilities: The study area has access to a full range of municipal utilities including sanitary sewer, water, storm sewer, gas, electric and cable television. Sanitary sewer can be extended to the vacant land in the study area from two locations. There is a sanitary sewer trunk line that parallels Winnetka Avenue. A sewer lateral is located north of the Wingate Apartments and could be extended to serve new development. Water is available to the vacant land in the study area via a twelve inch main that parallels Winnetka and an eight inch main that extends east from Winnetka Avenue to 49th Avenue. Railroad Spur: The study area contains a railroad spur which lies north of the Distron site. While the rail spur is an attractive amenity to attract industrial development, it also serves as a physical barrier that may discourage a cohesive development design. Accessibility: Street access to the vacant areas within the study area is currently provided directly from Winnetka Avenue. Winnetka is designated as a minor arterial that is designed with sufficient capacity to accommodate traffic generated by industrial development in the study area. The site location and traffic generation from industrial development do present a number of traffic concerns that complicate site access to the vacant land in the study area from Winnetka Avenue. The study area is zoned for industrial development. As such it can be expected to produce employee and heavy truck traffic. To access the study area parcels, this traffic must pass through a variety of neighborhoods to reach the major commuter thoroughfares like Highways 18, 100, 55 or 1- 94. While the employee traffic will blend into the daily traffic on the City collector street system, the truck traffic generated by the industrial use is not compatible travelling through residential areas. o Development of the remaining vacant land in the study area independently will require direct driveway access from Winnetka Avenue. The study area's two southern most parcels are located at the crest of a hill on Winnetka Avenue. The street grades in this area present traffic visibility problems for automobiles entering and exiting either of these two lots. The County Highway Engineers in their review of the Brighton Apartment proposal in 1987, recommended that any independent curb cut access into the Minnegasco site should be along its northern lot line to provide the most advantageous sight lines .along Winnetka. Access into the site is limited to access from Winnetka and 49th Avenue North. Railroad lines bounding the north and east sides of the study area hinder any possibility of access into those areaS. Access from 49th Avenue is recommended to align with Quebec Avenue North. The alignment would intersect a lot containing a single family home raising all the issues involved with the relocation process. DEVELOPMENT OPTIONS In this report, four development options have been developed to show a variety of land use patterns and design options for Sites K and L. These development concepts also may be suggestions for the redevelopment of a number of currently occupied sites including Model Readi Mix, NAPA and Joseph Jacobwith's properties. Due to the land use and traffic flow patterns of the neighborhoods surrounding the study area, the concepts make recommendations to change the zoning in portions of the study area from industrial to residential. The design option attempt to respond to the existing conditions on the site. OPTION 1 (see Exhibit C) Option 1 was developed in 1986 with the Vacant Land Study. This concept uses the existing rail spurs as a physical barrier that separates different land uses. The western portion of the site will be developed as industrial consistent with existing industrial uses along Winnetka Avenue. East of the railroad spur, high density residential development is suggested. Through this development, the redevelopment of the three existing properties would be redeveloped. OPTION 2 (see Exhibit D) Option 2 was also developed and evaluated in the 1986 Vacant Land Study. This concept of residential land use over both Site K and L using a through street design. Option 2 also proposes a medium density residential use rather than the high density types illustrated in Option 1. Upon review of Option 2, the City felt there was a need to segregate the residential and industrial uses as such, though the street layout concept was not viewed favorably. OPTION 3 (see Exhibit E) Option 3 illustrates a development scheme using a combination industrial development and medium density residential developments. The development concept proposes a 200,000 square foot industrial warehouse building occupying the western portion of the study area. A medium density residential development consisting of 84 quadraminium units is proposed for the eastern end of the study area. This concept uses the rail spur to separate the two different land uses. The site lay promotes the use of a looped street system for ease of traffic access. The benefits and detriments of this option are outlined below. I-' T_ .............. '__-.TZ D-f~'1'Cz~2kl-- _T 2Z7 -0.: DISTRON ...... WINGATE APARTMENTS ; -- 49TH AVENUE NORTH II NEW HOPE ICE'.~RENA OPTION 3 Benefits The concept plan illustrates a mixed use development that allows for increased land use compatibility to occur not only with the potential future uses, but also with neighboring existing uses. The residential use would provide a land use transition between the remaining industrial development and the residential districts to the south, north and east. The residential development would attract more people to live in New Hope. The proximity of this type of land use to the City Center area complements the commercial uses. The residential land use truck traffic on Winnetka from industrial uses. would reduce Avenue that the amount of large would be generated The multiple family development is able to provide an abundance of open space through building clustering and also maintain the existing rail spur into the Distron property. Clustering also allows for surrounding railroad tracks. maximum buffering from Main entrance into multi-family development is with Quebec Avenue. in alignment Industrial development maintains consistency of industrial uses along Winnetka Avenue while also providing 35 percent open space for maximum compatibility to residential uses to the east. Detriments The implementation will~ require redevelopment efforts including land acquisition, building demolition, business relocation, and land disposition. Medium density residential development may not provide sufficient density and value to generate required TIF to make redevelopment efforts feasible. The industrial development of the site will generate greater employee and truck traffic on City streets than exists today. Existence of railroad tracks that surround the multi-family development could pose compatibility concerns. Second entrance required for multi-family development located within 200 feet of railroad crossing. Open space located between the proposed multi-family and industrial uses is questionable in its usability due to location of rail spur. OPTION 4 (see Exhibit F) The Option 4 Concept Plan illustrates a potential development scheme for sites K and L. The development concept consists of 270 multiple family units and. an industrial/warehouse use of approximately 200,000 square ,feet. The multiple family use represents a potential R-4 development that would occur primarily on Site L while the industrial/warehouse use would be located upon Site K. The multiple family layout responds to the existing rail spur into the Distron property through clustering and allows for a loop circulation pattern to occur that positions the main entrance to be in alignment with Quebec Avenue. The industrial/warehouse use represents a potential I-2 development. However, it should be noted that the concept plan illustrates 35 percent open space to improve compatibility with the neighboring residential uses. Below is a specific listing of the benefits and detriments of the Option 4 Concept Plan, Benefits The concept plan illustrates allows for increased land only with the potential neighboring existing uses. a mixed use development that use compatibility to occur not future uses, but also with The multiple family development is able to provide an abundance of open space through building clustering and also maintain the existing rail spur into the Distron property. Clustering also allows for surrounding railroad tracks. maximum buffering from Main entrance into multi-family development is with Quebec Avenue. in alignment Industrial development maintains consistency of industrial uses along Winnetka Avenue while also providing 35 percent open space for maximum compatibility to residential uses to the east. . . DISTRON . .. WiNGATE APARTMENTS 49TH AVENUE NORTH '" ,' ×i?~./II / It NEW HOPE ICE ARENA OPTION 4, Detriments Existence of railroad tracks that surround the multi-family development could pose compatibility concerns. Second entrance required for multi-family development located within 200 feet of railroad crossing. Open space located between the proposed multi-family and industrial uses is questionable in its usability due to location of rail spur. o · The implementation will require redevelopment efforts including land acquisition, building demolition, business relocation, and land disposition. IMPROVEMENT COSTS Each of the various concept plans require a varying range of site improvements. In discussion with the City Engineer, the following elements were described as being required to service development on the remaining vacant land in the study area. Streets: The development shows four different proposed street patterns. Three of the proposed street systems are within public right-of-way, while Option 4 consists of a private circulation system. To serve the residential development, the City Engineer indicates a 32 foot wide street with a 7 ton load bearing capacity would be necessary. A cost of $140.00 per linear foot is suggested for this type of street, including grading and storm sewer improvement. Cost for the development of the private street system would be the responsibility of the property owner. To provide one of the proposed streets, as shown in Options 1-3, a street right-of-way will have to be acquired. If any or all of the involved properties voluntarily participate in the resubdivision of the properties, the street rights-of-way may be acquired through dedication. Howeer, if the City must acquire necessary rights-of-way through negotiation or condemnation, it will have to purchase these rights-of-way. For the purpose of this study, the assumed right-of-way costs were taken from the 1989 land values proided by the Hennepin County property tax information. Sanitary Sewer: A trunk sewer main and sewer lateral exist within the subject site. All of the development options recognize the location of these facilities and the building restrictions within their easement. Sanitary sewer connections may be easily provided to future developments via these existing facilties. Sanitary sewer extensions are estimated to cost approximately $30.00 to $40.00 per linear foot. Water: Water lines exist along Service to the site(s) may existing lines. both 49th and Winnetka Avenues. be easily accommodated via these Rail Spur: A rail spur off of the Soo Line track exists servicing the Distron property. All four of the concept plans recognize this spur and plan around it accordingly. Opt 1 2 3 4 SUMMARY OF IMPROVEMENT COSTS Development Costs Redevelopment Costs Street, Storm Sani- Sewer, tary Water Land Relocation & Grading Sewer Main Acquistion Cost Total 100,800 192 330 24,120 35,000 160,442 428,400 745 1,278 138,840 35,000 604,263 266,000 532 912 72,180 35,000 374,624 N.A. 570 978 N.A. 35,000 36,548 SUMMARY OF CONCLUSIONS There has been concern expressed over both the industrial development and the residential development of the vacant land in the study area. The decision as to what is the most appropriate land use for this area remains a policy decision that is left to City leaders. Industrial/Residential Development In evaluating the industrial and residential land use options, the City must weigh the benefits that each development brings to the City, including tax base and new employment opportunities against the land use issues these development raise in this area of the City. Based on the land use options, it becomes apparent that development of the available vacant land in the study area, as illustrated in Option 4, does provide site sensitive planning. By producing a high residential density, the option warrants tax increment financing consideration. While Option 1 proposes an adequate residential density for TIF consideration, the problems associated with traffic volumes and access make it somewhat undesirable. Development Option 2 creates some undesirable land use configurations where proposed residential development along Winnetka Avenue lies between two large scale, industrial uses. Option 3 fails to allow a residential density high enough to warrant tax increment financing considerations. The implementation of Option 4 will rely on the City's ability to gain the cooperation of the affected property owners. The following recommendations are suggested if industrial/high density residential development is to be pursued by the City. Rezone the projected residential property from I-2 to R-4. Due to the study area's location within the City and the surrounding land uses, any industrial and residential development that occurs should be of the type, intensity and design that is compatible and complementary to the City's commercial and industrial land uses. The City should initiate a feasibility study that would allow the City Engineer to conduct a more detailed analysis of the costs of the physical improvements necessary to implement Option 4. In order to assist in the financing of necessary improvements, the City should consider establishing a tax increment redevelopment district over the entire study area. This will allow the tax generation of any new development to pay for site improvement costs. The City should identify all available financing resources and prepare an incentive package to be used in negotiating with the affected property owners. Organize meetings with property owners cooperation for the implementation of Option 4. to solicit northwest associated consultants, inc. PLANNING REPORT TO :' F ROM: Dan Donahue/Jeannine Dunn Alan BrixiuS/Bob Kirmis DATE: 18 January 1989 RE: Minnegasco Site Development FILE NO: 131.00 - 88.14 BACKGROUND In 1987, Minnegasco relocated its gas storage tank facility located along Winnetka Avenue outside of the City. With this relocation, the 12.3 acre site became available for redevelopment. Two zoning districts divide the site. I-l, Limited Industrial District covers the western 3.0 acres and I-2, General Industrial District covers the eastern 9.3 acres. The former gas storage tank facility was a low intensity industrial use that compatibly existed in this area of the City. Now as a redevelopment site, the range of land uses available through the existing zoning presents concerns over the potential impact that a new industrial use may have on.the surrounding land uses, transportation system and utility systems in this area of New Hope. Due to the availability of the Minnegasco site and other undeveloped industrial zoned land to the north, the City has implemented a building moratorium to allow for a comprehensive study of land uses and site development potential of this area of New Hope. The following report provides a number of development scenarios for the study area that are based on the existing conditions and opportunities. These development scenarios are to be reviewed and evaluated by the City to determine the most desirable development patterns for this area of the community. 4601 excelsior blvd., ste. 410, minneapolis, mn 55416 (612) 925-9420 STUDY AREA The area of study for this report includes that property lying east of Winnetka Avenue and bordered on the west by the Soo Line Railroad formerly known as the Minneapolis, Northfield, Southern Railroad, bordered on the south by Bethel Cemetery and bordered on the north by a line extending the centerline of 41st Avenue northwest to Winnetka Avenue North (see Exhibit A). ISSUES AND OPPORTUNITIES In preparation of the various following issues were identified (see Exhibit B). development scenarios, the as parameters for this study Planning History The site is located in Planning District 21 as described in the New Hope Community Development Plan, 1977. The suggested land use for this site is industrial development as per the Development Plan. In October 1987, Asphalt Construction Company filed an application with the City of New Hope requesting that the Minnegasco site be rezoned from I-l/I-2 to R-4, High Density Residential. The application also requested a conditional use permit planned unit development to construct two, 103 unit apartment buildings on the site. In review of the applications, the Planning Commission recommended denial of the rezoning request, citing traffic and land use compatibility concerns. During this review, the City reconfirmed the concept of industrial land uses for this site. The application was withdrawn prior to final action by the City Council. The New Hope Vacant Land Study included a conceptual land use plan for the new vacated Minnegasco site. During the review of the Vacant Land Study, the Planning Commission recommended approval of the industrial concept plan for the site. They also suggested some flexibility for a mixed land use concept through a PUD, provided the developer could demonstrate that the use could be compatible with the adjoining industries. Based on past decisions and recommendations, most of the concept plans attempt to provide for industrial development for the available land in the study area. Some of the concepts, however, offer a land use alternative. STUDY AREA LOCATION new hope, minn. ,,.,, ,..m.,mi=mI lEI lllll;[[ ri_Il IIII1[[ III Ill I l l I il]ljl] F3(HIBIT A ~-.~ SIGNALIZED f [ iiii:/:::: ~'~ INTERSECTION 42ND AVENUE NORTH (MINOR ARTERIAL i:~iii:!:!:~!~,/,:.'..:::::. ...;' II · . '~'" '"'"'"':S!:i::""""" ...... SCHOOL- -~i~::':'. ' ' ::i!il " " .............. :'¥':': .......... . 2 : ~:: .:. .... ' i ~:~ ~ I~~ ~KING /~ XI I I # ~ ~.,' ~u.~..oc~ss i I ~"~! ~[ .' Ill~,lll I-1 ZONING I-2 ZONING CEMETARY EXISTING CONDITIONS EXH!!~.~'r .m Land Use Compatibility The study area is located in the center of the City near the intersection of Winnetka Avenue and 42nd Avenue. The surrounding land uses and zoning are as follows: Direction Zoning Land Use North I-l, I-2, R-0 Commercial/office South R-1 Bethel Cemetery East R-1 Soo Line Railroad/ Single Family West R-i, R-2 Winnetka Avenue/ Single Family As shown on Exhibit B, physical barriers such as Winnetka Avenue, the Soo Line Railroad, and Bethel Cemetery provide some degree of separation between this industrial area and surrounding land uses. However, additional industrial development in close proximity to the New Hope City Center and residential neighborhood presents some land use compatibility concerns. Extraneous activities associated with industrial development (i.e. traffic, noise, odors, dust, outdoor storage, etc.) can negatively impact shopping and residential environments. In this regard, the City must take the necessary precautions to insure the use and site design within the study area are high quality and compatible with existing land uses. Development must not over burden City streets or utilities in the area. Currently, two zoning districts divide the 'study area. "I-l" Limited Industrial District covers the eastern one-third of the study district. The purpose of the I-1 Zoning District is to provide for the establishment of industrial development in a well planned, residentially compatible setting. To accomplish this purpose, the I-1 zoning allows for a variety of industrial and commercial uses regulated under stringent performance standards. I-1 regulations addressing green area, parking setbacks, screening and landscaping are imposed to enhance site development and to buffer adjacent land uses. "I-2" General Industrial District covers the eastern two-thirds of the study area. According to the New Hope Zoning Ordinance, the purpose of the "I-2" General Industrial District is to provide for the establishment of heavy industrial and manufacturing development and use which because of the nature of the product or character of activity requires isolation from residential or non-compatible commercial uses. To allow for a full range of industrial uses, the I-2 District does not impose special performance standards. The "I-2" District is also intended to provide for large scale activities of a sociological nature not suited to other districts, but reasonably compatible with the same characteristics suitable for general industrial USe. Due to the study area's location in the center of the City in close proximity to the City Center and residential neighborhoods, the City may choose to rezone the entire study area to I-1 if industrial development is ultimately found to be the most suitable land use for the area. Existinq Development Within the Study Area land use and development patterns are very diverse and segregated. Commercial development has occurred along 42nd Avenue. This development is oriented toward the other commercial uses in the City Center area and away from the more intense industrial operations to the south. Small industrial uses occupy lots along the east side of Quebec. These lots are developed under the I-2 zoning standards and include outdoor storage. These industrial lots are separated from the larger industrially zoned areas to the south by City stormwater detention ponds and property ownership patterns that serve as an obstacle to extending Quebec Avenue to the south. The ponding area provides approximately 400 feet of open space between the industrial use along Quebec Avenue and the available industrial zoned properties to the south. The balance of the Study Area consists of larger industrially zoned lots that abut and access Winnetka Avenue. While these lots contain some industrial uses, there is a. large.amount of land available for new development. 4184 Winnetka owned by Independent School District 281 has approximately two acres of undeveloped land on the south end of their property. 3940 and 3960 Winnetka is an 11.1 acre site owned by Winnetka Properties that contains two industrial buildings. These buildings occupy approximately one-third of the site, leaving 7.6 acres undeveloped. 3900 Winnetka is the recently vacated Minnegasco site which provides an additional 12.3 acres of undeveloped land. Physical Limitations Development of the available vacant land is complicated by the existing general features of the area. The following features will influence and dictate the land use and development layout of the available land. Site Configuration: The lots along Winnetka Avenue are long and narrow extending eastward from the street. The narrow configuration of these individual lots discourages resubdivision because it would only permit a single loaded public street. The costs involved in street and utility improvement versus the number of lots created through single lot subdivision is inefficient from both a financial and land use perspective. A subdivision involving two contiguous lots allows for a more effective and cost efficient land use pattern. The size and configuration of the individual lots also dictates the development layout of these sites. If the lots are not subdivided, the parcel must be developed as a single use or a planned unit development. This creates a concern of the size and intensity of a single industry in this area of the City. The Minnegasco site is a 12 acre site that if developed as one acre could support a building ranging in size from 156,000 square feet to 209,000 square feet based on a lot coverage range of 30% to 40%. An intense industrial use of this size could be out of character with the residential and commercial uses surrounding the study area. Property Ownership: Ail the sites in the stUdy area are individually owned. Any type of area-wide development scheme or resubdivision will require the cooperation and coordination of the various property owners. Conceptual plans for the vacant land in the study area must recognize the land use, design and the financial implications that it may have on the various lots. Conflicts between the City's desired uses and the property owners development intentions can result in obstacles that may prevent implementation or add to the development costs. Soils and Topography: The lots downward toward the railroad tracks. to the northeast into stormwater topography will influence building and site access from Winnetka Avenue. along Winnetka Avenue slope Stormwater drainage flows collection ponds. The site location, utility extensions Poor soils surround the drainage ponds and extend south into the rear of the Winnetka Properties lot. These poor soils may serve to reduce the buildable area of the east end of this parcel. Utilities: The study area has access to a full range of municipal utilities including sanitary sewer, water, storm sewer, gas, electric and cable television. Sanitary sewer can be extended to the vacant land in the study area from two locations. There is a sanitary sewer trunk line that parallels Winnetka Avenue. A sewer lateral may be extended eastward to serve new development, however, the site topography would mandate the installation of a lift station to service the eastern end of these parcels. A six inch sewer connection has been extended from Oregon Avenue and stubbed under the railroad to the northeast corner of the Winnetka Properties parcel. Gravity sewer could extend from this point to serve all the remaining vacant land if utility easements through the adjacent properties can be obtained. Water is available to the vacant land in the study area via a 12 inch main that parallels Winnetka and a 24 inch main that extends east from Winnetka Avenue to Oregon Avenue. As mentioned earlier, stormwater drainage flows to the northeast into two City detention ponds. The impact of additional stormwater runoff generated from new industrial developments present a concern for the storage capacity of the existing ponds. To. avoid down stream flooding, a development scheme must include stormwater drainage controls that will prevent overburdening of existing facilities. Railroad Spur: The Minnegasco site contains a railroad spur along its northern property line. While the rail spur can be an attractive amenity to attract industrial development, it also serves to segregate the Minnegasco site from the other industrial sites to the north. The railroad spur serves as a physical barrier that may discourage a cooperative effort between property owners to develop the sites in a joint cohesive design. Accessibility: Street access to the vacant areas within the study is currently provided directly from Winnetka Avenue. Winnetka is designated as a minor arterial that is designed with sufficient capacity to accommodate traffic generated' by industrial development in the study area. The site location and traffic generation from industrial development do present a number of traffic concerns that complicate site access to the vacant land in the study.area from Winnetka Avenue. The study area is zoned for i~dustrial development. As such it can be expected to produce~ employee and heavy truck traffic. To access the study area parcels, this traffic must pass throUgh a variety of neighborhoods to reach the major commuter thoroughfares like Highways 18, 100, 55 or 1- 94. While the employee traffic will blend into the daily traffic on the City collector street system, the truck traffic generated by the industrial use is not compatible travelling through residential areas. Development of the remaining vacant land in the study area independently will require direct driveway access from Winnetka Avenue. The study area's two southern most parcels are located at the crest of a hill on Winnetka Avenue. The street grades in this area present traffic visibility problems for automobiles entering and exiting either of these two lots. The County Highway Engineers in their review of the Brighton Apartment proposal in 1987, recommended that any independent curb cut access into the .Minnegasco site should be along its northern lot line to provide the most advantageous sight lines along Winnetka.- Single family homes abut Winnetka Avenue across from the study area. These homes directly access Winnetka Avenue. Traffic generation and movement from the Minnegasco site will conflict with the accessing and egressing of these single family homes. Conflicts will most likely occur during peak hour traffic. DEVELOPMENT OPTIONS In-an attempt to respond to the development issues that are applicable to the study area, 'the following concept plans were prepared to illustrate the potential use of the available vacant land. OPTION #lA (See Exhibit C) The Option #iA Concept Plan illustrates the development potential of both the Winnetka Properties site and the Minnegasco site developed independently of each other. The concept plan shows the Winnetka Properties site developing as a Planned Unit Development with four buildings being served by a private roadway system. The Minnegasco site is shown with a single industrial use occupying the entire site. Based on the I-1 zoning standards, the 12.3 acre site could accommodate a building of approximately 150,000 square feet in size. The benefits and detriments of this concept plan are cited below. Benefits The development consists of industrial uses which are consistent with the past City land use recommendations. The development can occur"without government intervention other than processing the necessary permit application. 3. Ail site improvements would be privately financed. 4. The site plan provides for 35% open space and on-site ponding for stormwater retention. 5. The concept plan illustrates the potential use of the existing rail spur. 6. The concept plan causes the site conditions. least disruption of existing Detriments The orientation of the Minnegasco building segregates this industrial use from the other industrial uses to the north. The building orientation exposes the loading, parking and other activity areas to the surrounding residential zones and Winnetka Avenue. This site design highlights the land use incompatibility of industrial development adjacent to residentially zoned properties and detracts from a cohesive unified industrial development design. The size of the single building on the Minnegasco site presents a concern for user type and intensity of industrial use. The building size and character is not complementary to the other industrial development in the area or compatible with the residential and commercial area that surrounds the site. The independent development of the two sites create two curb cut access points onto Winnetka Avenue. The traffic generation from the two industrial sites could present conflicts with existing traffic movement on Winnetka, especially during rush hour periods. Industrial development of employee and truck traffic today. this size will generate greater on City streets than exists Due to the site configuration, building orientation and Winnetka Avenue sight lines, the concept plan shows a long, narrow driveway serving the various industrial uses. This internal site circulation design is poor as the long, narrow driveway provides the only site access' for all employee traffic, truck traffic and emergency vehicle access. OPTION #lB (see Exhibit C) Option lB attempts to respond to the traffic concerns presented in Option lA. Option lB proposes to channel all traffic generated from the site developments to a local street that intersects with Winnetka Avenue at the 40th Avenue alignment. The benefits and detriments of this concept plan are cited as follows: Benefits The development consists of industrial uses which are consistent with the past City land use recommendations. The provision of the cul-de'sac street provides a single street access point onto Winnetka Avenue. This design directs traffic from the Minnegasco site away from the residential areas to the south. The site plan provides for 35% open space and on-site ponding for stormwater retention. The concept plan illustrates the potential use of the existing rail spur. Detriments The orientation of the Minnegasco building segregates this industrial use from the other industrial uses to the north. The building orientation exposes the loading, parking and other activity areas to the surrounding residential zones and Winnetka Avenue. This site design highlights the land use incompatibility of industrial develOpment adjacent to the residentially zoned properties and detracts from a cohesive unified industrial development design. The size of the single building presents a concern for user type and intensity of industrial use. The building size and character is not conducive to the residential and commercial area that surrounds the site. The City may have some difficulty demonstrating benefit to the properties being served by the cul-de-sac street for the following reasons: Both properties now have access to Winnetka. The street is contained solely in the Winnetka Properties parcel, but does not allow for further subdivision. Traffic congestion problems may still exist at the site entrances into the cul-de-sac. While the traffic congestion problems are removed from Winnetka Avenue, they may still occur internally due to poor site circulation layouts and numerous curb cuts into the cul-de-sac. Due to the site configuration and building orientation, the concept plan shows a long, narrow driveway serving the various industrial uses. This internal site circulation design is poor as the long, narrow driveway provides the only site access for all employee traffic, truck traffic and emergency vehicle access. I~0,000 - oPTION I~A OPTION 1-B EXHIBIT 'C-' ' OPTION #2A (See Exhibit D) Option 2A provides an extended cul-de-sac to the eastern end of the Winnetka Properties and Minnegasco sites. This street extension is intended to improve traffic access to Winnetka Avenue by providing a full intersection at 40th Avenue. This concept option also allows for further subdivision of the two lots containing vacant land. The benefits and detriments of Option 2A are outlined below. Benefits 1. The development consists of industrial uses which are consistent with the past C~ty land use recommendations. This concept plan was developed under the I-1 zoning performance standards to provide adequate green space and buffering f.rom the residential areas. This plan shows office uses along Winnetka Avenue with heavier industrial activities to the east. Option 2A concept orients the industrial buildings and activities toward a local street. This building orientation creates a cohesive and unified industrial image for the area. This concept plan attempts to internalize the industrial activities within the industrial area to avoid land use conflict with adjacent residential areas. The provision of the local street will allow for further subdivision of the two sites. Option 2A shows a seven lot subdivision with lots ranging in size from 1.6 acres to 5.6 acres. Subdivision of the two sites offer greater flexibility in the marketing and deveiopment' of the remaining vacant land. The smaller lots also would reduce the size of the individual developments. This would be more in character with the surrounding land uses. The proposed local street is aligned with 40th Avenue, providing a full intersection with Winnetka Avenue. This street alignment takes advantage of the safest sight lines along Winnetka and channels traffic into and out of this industrial area at one curb cut location. These features are expected to improve traffic congestion and safety problems identified in Option lA and lB and move traffic further north away from the residential neighborhoods to the southwest. With the creation of a full intersection, signalization may occur if traffic warrants are met along with Winnetka Avenue and 40th Avenue. Additional traffic control would further improve the traffic circulation in this area of the City. Individual site access would be provided from a local street rather than a arterial street. The concept plan shows that the curb cut spacing and driveway lengths provide for functional on-site circulation. Water is currently available to all of the new lots. Through the site subdivision, gravity sanitary sewer could be extended from the northeast corner of the Winnetka Properties site to serve each of the lots. 10. The Option 2A concept plan provides some on-site stormwater retention ponding. The resubdivision and improved street and utility access are definite benefits to the existing sites and property owners. A such, special assessment can be utilized to finance the improvements. To solicit voluntary cooperation, the City may offer financial incentives to subsidize the improvement costs. Detriments Industrial development of these sites will generate greater employee and truck traffic on City streets than exists today. The cul-de-sac street offers a single street entrance into an industrial subdivision. Without through street access concerns exist over traffic congestion and emergency vehicle access into the area. It should be noted that while the cul-de-sac is not ideal, it is an improvement over the use of private driveways. Option 2A requires the elimination of a portion of the railroad spur. Railroad access would be limited to a single lot. The loss of this amenity may be detrimental to the marketing of this site. The implementation of Option 2A requires the cooperation of the two property owners. The City will have to intervene to obtain the cooperation of these property owners. OPTION #2B (See Exhibit D) Option 2B is a variation of Option 2A in that it shows the Minnegasco site being developed as a single industrial use. This option was designed to allow the site to be marketed and developed as a single use. The benefits and detriments of Option 2B are outlined below. Benefits 1. The development consists of industrial uses which are consistent with the past City land use recommendations. 2. This concept plan was developed under the I-1 zoning performance standards to provide adequate green space and office uses along Winnetka Avenue with heavier industrial activities to the east. 3. The Option 2B concept relocates the existing rail spur to the south. As a result, the industrial buildings and activities exhibit an inward orientation toward a local street. This building orientation creates a cohesive and unified industrial image for the area. This concept plan attempts to internalize the industrial activities within the area by using the larger Minnegasco building as a visual screen to avoid land use conflict with adjacent residential areas. 4. The provision of the local street will allow for further subdivision of the two sites. Option 2B shows the Winnetka Properties site divided into four lots with the Minnegasco site remaining intact. The subdivision potential offers greater flexibility in the marketing of the available vacant land. .. The proposed local street is aligned with 40th Avenue, providing a full intersection with Winnetka Avenue. This street alignment takes advantage of the safest sight lines along Winnetka and channels traffic into and out of this industrial area at one curb cut location. These features are expected to improve traffic congestion and safety problems identified in Option lA and lB and move traffic further north away from the residential neighborhoods to the southwest. With the creation of a full intersection, signalization may occur if traffic warrants are met along with Winnetka Avenue and 40th Avenue. Additional traffic control would further improve the traffic circulation in this area of the City. Individual site access would be provided from a local street rather than a arterial street. The concept plan shows that the curb cut spacing and driveway lengths provide for functional on-site circulation. 10. Water is currently available to all of the new lots. Through the site subdivision, gravity sanitary sewer could be extended from the northeast corner of the Winnetka Properties site to serve each of the lots. The Option 2B concept plan provides some on-site stormwater retention ponding. The resubdivision and improved street and utility access are definite benefits to the existing sites and property owners. As such, special assessment can be utilized to finance the improvements. To solicit voluntary cooperation, the City may offer financial incentives to subsidize the improvement costs. Detriments Industrial development of these sites will generate greater employee and truck traffic on City streets than exists today. The cul-de-sac street offers a single street entrance into an industrial subdivision. Without through street access concerns exist over traffic congestion and emergency vehicle access into the area. It should be noted that while the cul-de-sac is not ideal, it is an improvement over the use of private driveways. The size of the single building with the Minnegasco site presents a concern for user type and intensity of industrial use. The building size and character is not conducive to the residential and commercial area that surrounds the site. Option 2B proposes the relocation of the railroad to the south. While this maintains an existing industrial amenity, the relocation will be an additional site improvement expense. The implementation of Option 2B requires the cooperation of the two property owners. The City will have to intervene to obtain this cooperation. Minnegasco may not readily accept Option 2B as benefitting their property in that they can currently develop their site under Option lA scenario without the same site improvement expenses. The relocation of the rail improvement expense. spur will present an added CEMETARY OPTION 2-A LU CEMETARY OPTION 2-B ~ I=~'HIRIT ~ OPTIONS #3A AND #3B The traffic generation and circulation concerns highlighted in the previous sections of this report mandated some investigation of a through street development concept. Options 3A and 3B illustrate how a through street design may be implemented. These concepts propose an extension of 40th Avenue from Winnetka Avenue to intersect with an extension of Quebec Avenue. While there are physical obstacles to this street design that will add to the cost of this street improvement, the City Engineer has stated that the extension of these streets is possible. The benefits and-detriments of Concepts 3A and 3B are outlined below. 3A Benefits 1. The land use and utility benefits described for Option 2A also apply in full to the Option 3A concept. 2. The proposed street layout provides two entrance points into this industrial area. This will help to further disperse the traffic to major collector streets and help relieve some of the peak hour traffic congestion. The two entrances will also improve site accessibility for emergency vehicles and street maintenance equipment. 3. The proposed east-west local street is aligned with 40th Avenue, providing a full intersection with Winnetka Avenue. This street alignment takes advantage of the safest sight lines along Winnetka and channels traffic into and out of this industrial area from one curb cut location. These features are expected to improve traffic congestion and safety problems identified in Option lA and lB and move traffic further north away from the residential neighborhoods to the southwest. 4. With the creation of a full intersection, signalization may occur if traffic warrants are met along with Winnetka Avenue and 40th Avenue. Additional traffic control would further improve the traffic circulation in this area of the City. 5. The proposed north-south extension of Quebec Avenue outlet onto 42nd Avenue at a signalized intersection. This traffic signal will improve traffic movement efficiency by providing interruptions to traffic flows on 42nd Avenue to allow the industrial traffic to access this minor arterial. 6. The land uses along Quebec and 42nd Avenues are commercial and industrial in nature. The impact of additional traffic on these uses will not be as detrimental as on residential uses found along Winnetka Avenue south of the study area. Individual site access would be provided from a local street rather than a collector street. The concept plan shows that the curb cut spacing and driveway lengths provide for functional on-site circulation. The City Engineer has indicated that the proposed street layout is physically feasible. 3A Detriments Industrial development of these sites will generate greater employee and truck traffic on City streets than exists today. The proposed street system illustrated in Option 3A will be expensive due to the following factors: Right-of-way acquisition for Quebec Avenue must occur from three properties: YMCA, J.E.K. Investments and Old Dutch Foods. With the exception of the Old Dutch Foods parcel, these other lots already have street access. J.E.K. Investments has a parking lot constructed south of the existing Quebec Avenue cul-de-sac. Any street extension will require the relocation of this parking lot. The southern end of the YMCA lot and the Old Dutch Food lot contain storm drainage easements over detention ponds. These ponding areas have limited development potential and as such receive little benefit from the proposed street. The City may not'be able to finance this portion of street by means of special assessments. The stormwater ponds and associated soils present soil correction costs. The City Engineer, however, has indicated that the soils in this area do prohibit street construction. Due to the factors described'above, the City may have to utilize tax increment financing to cover the costs of the public street improvements for this segment. Option 3A requires the elimination of a portion of the railroad spur. Railroad access would be limited to a single lot. The loss of this amenity may be detrimental to the marketing of this site. The implementation of Option 3A requires the cooperation of a number of property owners. The City will have to intervene to obtain the cooperation of these property owners and to financially assist in the site improvements. 3B Benefits 1 The land use and utility benefits outlined for Option 2B are the same for Option 3B. 2. The transportation benefits outlined for Option 3A are the same for Option 3B. 3B Detriments 1. The Option 3A detriments would also apply to Option 3B. 2. The size of the single/ building on the Minnegasco site presents a concern for user type and intensity of industrial use. The building size and character is not conducive to the residential and commercial area that surrounds the site. 3. Option 3B proposes the relocation of the railroad to the south. While this maintains an existing industrial amenity, the relocation will be an additional site improvement expense. 4. The implementation of Option 3B requires the cooperation of the two property owners. The City will have to intervene to obtain this cooperation. Minnegasco may not readily accept Option 3B as benefittng their property in that they can currently develop their site under Option lA scenario without the same site improvement expenses. 42ND AVE, N. CEMETARY OPTION .3-A EXHIRIT E 42ND AVE. N, LLI ..... CEMETARY. OPTION 3-B EXHIBIT F INDUSTRIAL OPTION IMPROVEMENT COSTS Each of the various industrial concept plans require a varying range of site improvements. In discussion with the City Engineer, the following elements were described as being required to service development on the remaining vacant land in the study area. Streets The development shows three different proposed street patterns. Although the length of street varies for each concept plan, the street standards remain the. same. To serve industrial development, the City Engineer. indicates a 40 foot wide street with a 9 ton load bearing capacity would be necessary. A cost of $140.00 per linear foot is suggested for this type of street, including grading and storm sewer improvement. In options 3A and 3B, street cost may be slightly higher, where they pass by the ponding areas, however, without a detailed soil study these costs cannot be identified. A partial road bed has already been established in this area. To provide the proposed streets, a street right-of-way will have to be acquired. If both properties voluntarily participate in the resubdivision of the properties, the street rights-of-way may be acquired through dedication. However, if the City must acquire necessary rights-of-way through negotiation or condemnation, it will have to purchase these rights-of-way. For the purpose of this study, the assumed right-of-way costs were taken from the 1989 land values provided by the Hennepin County property tax information. Sanitary Sewer A six inch sanitary sewer has been stubbed under the railroad to extend to the northeast corner of the Winnetka Properties site. Due to the drainage patterns in the area, this sewer stub could provide gravity sewer to the entire study area. Through the subdivision of the available vacant land, this sanitary sewer could be extended to serve the new development. Sanitary sewer extensions are estimated to cost approximately $30.00 to $40.00 per linear foot. Water A 24 inch water main extends along the northern lot line of the Minnegasco site. This existing utility should be able to service all new development. Rail Spur Site Options 2 (A,B) and 3 (A,B) require either the relocation or partial removal of the rail spur located along the northern border of the Minnegasco property. Mr. Ed Dahlby, a Manager for the Soo Line Railroad Industrial Development Division, indicated that they typical relocation of a rail spur will cost approximately $35.00 per linear foot. The moving of the rail switch associated with the spur relocation will cost an additional $20,000. Mr. Dahlby stated that simple removal of the spur typically costs about $5.00 per linear foot. Option IA lB 2A 2B Right-o f -Way Acquisition IMPROVEMENT COSTS Street/Storm Sewer Grading Improvements Sanitary Rail Removal/ Sewer Relocation Total N.A. N.A. '$52,500 N.A. $52,500 ($35 a L.F. x 1500) $12,900 $35,000 $52,500 N.A. $100,400 .34/AC ($140 a L.F. ($35 a L.F. x 250) x 1500) $44,900 $140,000 $52,500 $4,000 $241,400 1.37/AC ($140 a L.F. ($35 a L.F. x 1000) x 1500) $44,900 $140,000 $52,500 $59,000 $296,400 1.37/AC ($140 a L.F. ($35 a L.F. '($35 a L.F. x 1000) x 1500) x 1113 + $20,000) *3A $113,700 $378,000 $52,500 $4,000 2.46/AC ($140 a L.F. ($35 a L.F. ($5 a L.F. x 2700) x 1500) x 800) *3B $113,700 $378,000 $52,500 $59,000 2.46/AC ($140 a L.F. ($35 a L.F. ($35 a L.F. x 2700) x 1500) x 1113 + $20,000 $548,200 $603,200 *Options 3A and 3B street configurations may qualify as a State Aid roadway and therefore may be eligible for an improvement cost subsidy. OPTION #4 Option 4 provides a residential development concept for the Minnegasco site. While the Planning Commission has already commented on the appropriateness of residential development in this area of the City, there also is some question as to the appropriateness of heavy industrial uses for these sites. The Planning Commission suggested a mixed use development for the area. As in the case of the previous industrial development concepts, the study area characteristics also complicate any mixed use or residential use development concepts. In review of the study area for residential development, one must recognize the amount of vacant land available and the densities that it may support. Additionally, any site design must also respond to site access and land use compatibility concerns. Density and Cost Per Unit In consideration of a residential development for the available vacant land, the site density, land use compatibility, cost per unit and access must be evaluated. The following table provide some comparison of density and cost 'per unit. STUDY AREA RESIDENTIAL DENSITY POTENTIAL Total Area (Sq. Ft.) Net R-1 & R-2 R-2 R-3 R-3 R-4 (1) Area 9,500 TF TH MF MF (Sq. Ft. ) (Sq. Ft. ) 7,500 5,000 4,000 3,000 Minnegasco Site 535,788 Minnegasco and Winnetka Properties Site 1,033,738 428,630 45 56 85 108 142 Units Units' Units units units 826,990 87 110 165 206 275 units units units units units (1) Net area is calculated by deducting 20% of the land area for streets. (2) R-4 density calculation does not include density bonus for architectural or site features. 1989(1) Market Value COST PER UNIT R-l/R-2 R-2 TF R-3 TH R-3 MF R-4 MF Density/ Density/ Density/ Density/ Density/ Cost Cost Cost Cost Cost Minnegasco Site $1,108,444 4s/ s6/ 8s/ 108/ 14~_/ $24,632 $19,794 $13,040 $10,263 $7,805 Minnegasco and Winnetka Properties' Site $2,828,666 (~) 87/ 110/ 16s/ 206/ 27s/ $3~,s13 s2S,?lS$17,~.43 $13,731 s~.0,206 This is the estimated value derived from 1989 estimated market value from Hennepin County tax rolls plus a 10% increase. These values do not inclu site improvement cost or redevelopment costs necessary to prepare the sit for development. The land costs alone indicate that the lower density residential alternatives may be cost prohibitive. Land Use Compatibility In the City's 1987 review of the Brighton Apartments, the Planning Commission found that the proposed residential use was incompatible with the adjacent industrial uses. In considering residential development in this area of the City, the City must give some attention to this concern. Two options appear to be available in this light. If the Minnegasco site is developed as a residential use independent of the balance of the study area, the site design must provide the buffering and screening to insure a compatible coexistence. ~ This can be done through building orientation, increased setbacks between the two different uses, screening and landscaping. The second option the City may consider is the redevelopment of the Winnetka Properties site in conjunction with the Minnegasco site. This would expand the development area from 12.3 acres to 23.7 acres, allowing greater development flexibility, improved street design, and a more compatible land use pattern. With this site expansion, the residential land use would still abut Dura Processing on the north, however, the existing ponding area to the northeast provides a buffer area between the residential land uses and the industrial and commercial uses to the northeast. If the site compatibility and access concerns can be resolved, the residential development can become a complementary use to the New Hope City Center commercial uses. The residents occupying the new housing would provide new customers in close proximity to the City Center. Site Access As in other development scenarios, site access remains a critical element in the site design. If the Minnegasco site is developed independently from the balance of the study area, a separate curb cut on Winnetka Avenue would be necessary. The traffic generation and movements again become an issue. If residential development is spread over two sites, system and circulation patterns can improve. the street Redevelopment Including the Winnetka Properties in a residential development would require City intervention through redevelopment efforts. Some of the cost involved in this type of project include: Property Acquisition Business Relocation Building Demolition $1,720,222 50,000 80,000 TOTAL $1,850,222 While these costs are only rough estimations, they provide some indication of the expense involved in implementing this type of redevelopment project. Land resale and tax increment financing provide two of the most direct sources of financing these improvements. The density and value of the new development will be the critical element necessary to determine if the City can finance the redevelopment project with tax increment financing. The following options 4A and 4B have been prepared to illustrate residential development concepts. Option 4A addresses solely the Minnegasco site, while Option 4B includes the Winnetka Properties Parcel in the residential layout. 4A Benefits The residential use would provide a land use transition between the remaining industrial development and the residential districts to the south and west. The residential development would attract more people to live in New Hope. The proximity of this type of land use to the City Center area complements the commercial uses. .The residential land use would reduce the amount of large truck traffic on Winnetka Avenue that would be generated from industrial uses. The Option 4A concept plan is designed to provide some on- site buffering between the residential and industrial uses. The site access is located at the northern edge of the property to take advantage of the safest street sight lines along Winnetka. Option 4A provides green space and recreational facilities to serve the facility's residents. This concept conforms with' the R-4 zoning standards. 4A Detriments The long narrow configuration of the prevents subdivision and the provision of system. Minnegasco site a public street 2. The site abuts an industrial zoning district which can lead to compatibility problems. Option 4A does not help facilitate the development or resubdivision of the Winnetka Properties vacant land. 4. Option 4A requires direct street access onto Winnetka Avenue. The land value may require density incentives to attract development. 4B Benefits The residential use would provide a land use transition between the remaining industrial development and the residential districts to the south and west. The residential development would attract more people to live in New Hope. The proximity of this type of land use to the City Center area complements the commercial uses. The residential land use would reduce the amount of large truck traffic on Winnetka Avenue that would be generated from industrial uses. Option 4B uses the existing ponding areas as for the land use change. a buffer area 5. .The enlarged site provides system. for an improved circulation The Option 4B concept provides a land use high density and medium density housing. transition with Option 4B allows for local street access to Winnetka Avenue at the 40th Avenue alignment. 4B Detriments Option 4B will require City redevelopment of the Winnetka Properties site. These efforts will be expensive due to the cost of land acquisition, business relocation and building demolition. The implementation of Option 4B will require the cooperation of the property owners to efficiently implement this option. Removal/ Option Total RESIDENTIAL IMPROVEMENT COST ESTIMATES Street/Storm Right-of-Way Sewer Grading Sanitary Acquisition Improvements Sewer Rail Relocation 4A N.A. N.A. $52,500 $5,500 $58,000 ($35 a L.F. ($5 a L.F. x 1500) x 1100) 4B $84,500 $266,000 $52,500 $5,500 $408,500 2.56/AC ($140 a L.F. ($35 a L.F. ($5 a L.F. x 1900) x 1500) x 1100) u..I EXISTING CEMETARY OPTION 4-A I.IJ EXISTING CEMETARY. OPTION 4-B EXHIBIT G SUMMARY OF CONCLUSIONS There has been concern expressed over both the industrial development and the residential development of the vacant land int he study area. The decision as to what is the most appropriate land use for this area remains a policy decision that is left to City leaders. Industrial Development In evaluating the industrial, land use options, the City must weigh the benefits that industrial development brings to the City, including tax base and new employment opportunities against the land use issues industrial development raises in this area of the City. Based on the land use options, it becomes apparent that independent development of the available vacant land in the study area, as illustrated in ©ptions lA and lB, does provide site sensitive planning. In fact, this type of development scheme may serve to aggravate existing land use conditions in this area. Development Options 2 and 3 attempt to resolve some of the land use and traffic concerns by providing a more cohesive and unified industrial development pattern. Options 2 and 3 provide the most desirable development scenario. Their implementation will rely on the City's ability to gain the cooperation of the affected property owners. The following recommendations are suggested if industrial development is pursued for the study. Rezone the remaining vacant land in the study area from I-2 to I-1. Due to the study area's location within the center of the City and the surrounding land uses, any industrial development that occurs should be of the type, intensity and design that is compatible and complementary to the City's commercial and industrial land uses. The City should initiate a feasibility study that would allow the City Engineer to conduct a more detailed analysis of the costs of the Physical improvements necessary to implement Options 2 and 3. In order to assist in the financing of necessary improvements, the City should consider establishing a tax increment redevelopment district over the study area. This will allow the tax generation of any new development to pay for site improvement costs. The City should identify all available financing resources and prepare an incentive package to be used in negotiating with the affected property owners. Organize meetings with property owners to solicit cooperation for the implementation of either Option 2 or 3. Residential Development If upon review of the development options, the City finds that residential development is the most appropriate long range land use for this area of the City, the following recommendations are offered: Strong consideration should be given to the endorsement of Option 4B to provide an expanded development site and a more cohesive land use pattern. Although redevelopment of the Winnetka Properties site increases project costs, additional industrial development of this site in the future may aggravate compatibility problems and will increase future cost to the point that will make future redevelopment prohibitive. o Detailed TIF analysis should be conducted to determine if the redevelopment cost and the TIF revenues are necessary to make the project feasible. This analysis will also influence the appropriate residential density for the site. 3. Rezone the property to the appropriate residential district. Establish a tax increment redevelopment district to establish the financing mechanisms necessary to implement the redevelopment efforts. Organize meeting with property owners to solicit cooperation for the implementation of area redevelo'~ment.