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HomeMy WebLinkAbout2024/12/02 - ADMIN - Minutes - City Council - Study SessionOfficial Minutes City council study session St. Louis Park, Minnesota Dec. 2, 2024 The meeting convened at 7:26 p.m. Council members present: Mayor Nadia Mohamed, Paul Baudhuin, Tim Brausen, Sue Budd, Yolanda Farris, Lynette Dumalag, Margaret Rog Council members absent: none Staff present: City manager (Ms. Keller), redevelopment administrator (Ms. Monson), economic development manager (Mr. Hunt), planning manager (Mr. Walther), community development director (Ms. Barton) Guests: Andy Bollig, Julia Tollefson of Roers Companies, Bob Loken of ESG Architecture, Jesse Symynkywicz and Tom Whitlock of Damon Farber Discussion item 1. Roers preliminary development agreement discussion – Wooddale Station – Ward 2 Ms. Monson presented the staff report. The policy question before the council is whether council wants to enter into a preliminary development agreement with Roers to redevelop the Wooddale Station site in Ward 2. Council Member Dumalag asked if they use in-house contracting for drywall specifically. Mr. Bollig confirmed that they do and are licensed in all states in which they operate. He stated the company does hire subcontractors and have very rigorous requirements for all who are hired. He added he would review the list of current drywall contractors and return this information to the council. Council Member Dumalag thanked the developer for acknowledging the letter sent to the Council regarding the developer's use of general contractors and subcontractors and their labor practices. Council Member Rog asked whether the representatives from Roers were familiar with the Building with Dignity and Respect Standards Council, and whether they are willing to engage with this group. Mr. Bollig stated that they are open to engagement and Roers Company works on active communication with groups like this. Council Member Dumalag stated that she likes how the restaurant is not located on the corner. She asked the developer to be mindful of how businesses receive deliveries, especially since this is a very busy intersection. Council Member Budd asked if the public plaza is public property. Ms. Monson stated it will be privately owned with a public ingress and egress agreement in place so that the public could enter the space. Council Member Dumalag added walkable amenities are desirable in the neighborhood. Relocating some of the affected retailers would also help retain their businesses in the location. Docusign Envelope ID: 37D3DD71-F652-41FD-8422-677EE15F8186 Study session minutes -2- Dec. 2, 2024 Council Member Budd asked where the green space will be located. Mr. Bob Loken of ESG Architecture indicated the planned area on the presentation slide. Council Member Budd asked about line-of-sight changes to the LRT station platform. Mr. Loken pointed out the area in question on the slide and showed the visibility from 36th Street at street level. Council Member Rog asked about the number of units Roers proposes versus Saturday Properties units. Ms. Monson stated originally, Saturday Properties were proposing around 276 units and then added more units later in the process. Saturday Properties ultimately proposed 315 units in the two buildings, including smaller units. Council Member Rog noted her concerns around affordability and marketable housing along with family-size housing. She stated she is glad to see a smaller number of alcove units and more family-size units. Council Member Rog asked about the data that was gathered during community engagement with Saturday Properties. Ms. Monson stated that the data has already been shared with Roers. Mr. Bollig stated they are also open to more public engagement sessions at the council’s direction. Council Member Rog stated she is happy Roers is confident they can fill the retail spaces and bring current retail businesses into the new space. Mr. Bollig stated Roers is serious about this site and has a long history of designing retail in multi-use buildings such as this. Council Member Dumalag asked about how to enter the site when traveling eastbound. Mr. Bollig stated the residential entrance is off Yosemite Avenue. He noted commercial customer traffic entry is from 36th Street and all traffic exits onto Yosemite. Ms. Monson stated the site is designed to utilize the left light at the Xenwood stop light to direct traffic to 35th Street and Yosemite Avenue. She stated that commercial traffic could take a left-turn into the site from 36th Street, but that the entrance is angled to minimize this movement. Council Member Budd stated the past project was not financially viable at that time, and she asked the developer to speak to this. Mr. Bollig stated higher interest rates are negatively affecting commercial real estate development, however, he said the biggest difference is how Roers uses friend's and family's equity, which allows Roers to raise more equity per project than other developers. He added that Roers is also doing their own construction which lowers costs. He said that Roers works closely with their financial partners and the city; seeing real savings. Council Member Dumalag asked Roers if they plan to use Low Income Housing Tax Credits. Mr. Bollig stated no they do not. Council Member Dumalag asked if there is experience with property management in the 30% area median income (AMI). Mr. Bollig stated yes, they do have experience with this in other markets they have worked in, noting their compliance does a great job. He also noted projects with 30% AMI units in Cloquet and Buffalo, Minnesota, and stated they have experience with all types of programs, including management of affordable units in St. Louis Park. Docusign Envelope ID: 37D3DD71-F652-41FD-8422-677EE15F8186 Study session minutes -3- Dec. 2, 2024 Council Member Rog asked about retail parking and what happens if there is not enough parking. Mr. Bollig stated they have worked with their brokers and are confident they have enough parking. He also noted there is on-street parking as well. Ms. Monson added there is also potential to have valet parking in the ramp, and added that the city does not want to overbuild parking and encourages shared parking during peak demand. She forecast that when light rail arrives, there will hopefully be a reduced need for parking in this area. Mayor Mohamed asked about the loading spaces and if there will be visibility there. Mr. Loken stated the loading spaces will be designed for commercial use and will not look like parking spots. He added some loading spaces will be designated for move-ins and can overlap with parking spots. Council Member Dumalag stated she prefers Concept 2 with the inviting park and public space. Council Member Baudhuin stated he also prefers Concept 2 with the public space. He stated the labor issue is a concern with sub-contractors, and he is hoping they will vet subcontractors well so as to avoid issues with labor laws within the city. He added it would be nice to have something in writing about the steps the developer is taking. Council Member Rog stated she is cautious. She has concerns about the labor issues but appreciates Roers engaging with Building with Dignity and Respect Standards Council, as well as their committing to reporting back to the council. She has concerns about the amount of TIF Roers will be asking for. She prefers Concept 2 and making the public plaza more accessible and more inviting, as well as their expertise in retail. She hopes that it comes to fruition. Council Member Budd stated she also has concerns with labor issues but supports Concept 2. Council Member Brausen is also supportive of Concept 2 and has the same concerns as the other council members. Mayor Mohamed stated there are concerns about the letter received related to labor issues and is pleased to hear that Roers is working on this issue. She also supports Concept 2. Council Member Farris stated she supports Concept 2 also. Council Member Dumalag asked if the purchase agreement for the neighboring building is for one year or how long. Ms. Julia Tollefson with Roers Companies, stated it goes to August 2025, and then there is an extension that goes through December of 2025. It was the consensus of the city council to support Concept 2. Written Report 2. Disposition of public land updates Council Member Rog stated her concerns about public land are that each step taken is a step away from preservation. Docusign Envelope ID: 37D3DD71-F652-41FD-8422-677EE15F8186 Study session minutes -4- Dec. 2, 2024 Communications/meeting check-in (verbal) The meeting adjourned at 8:34 p.m. ______________________________________ ______________________________________ Melissa Kennedy, city clerk Nadia Mohamed, mayor Docusign Envelope ID: 37D3DD71-F652-41FD-8422-677EE15F8186