11-26-2019 CC, HRA, and PC Work Session AgendaC IT Y C O U N C IL, H R A AN D P LAN N IN G C O MMIS S IO N W O R K S E S S IO N
B AR TH O LO MEW R O O M
N O V E MB E R 26, 2019
6:00 P M
C all to order
1.C onsider a proposal for a 112-unit multi-fami ly redevelopment by NorthB ay at 6345 Lyndale Avenue S outh,
520/22, 600/02 and 608/10 64th S treet.
A djournment
Auxiliary aids for individuals with disabilities are available upon request. R equests must be made at least 96
hours in advance to the C ity Clerk at 612-861-9738.
AGENDA SECTION:Work Session Items
AGENDA ITEM #1.
S TAFF ME MO NO. 16
WORK SESSION
11/26/2019
RE P O RT P RE PA RE D B Y: J ohn S tark, C ommunity D evelopment D i rector
D E PA RTM E NT D IRE C TOR RE V IE W: J ohn S tark, C ommunity D evelopment D i rector
11/19/2019
O TH E R D E PA RTM E NT RE V IE W:
C ITY M A NA G E R RE V IE W: K atie Rodriguez, C ity Manager
11/20/2019
I T E M F O R WO RK S E S S I O N:
Consider a proposal for a 112-unit multi-family r edevelopment by NorthB ay at 6345 Lyndale Avenue
South, 520/22, 600/02 and 608/10 64th Street.
E X E C UT IV E S UM M ARY:
NorthBay (Developer) has entered into purchase agreements for the properties at 6345 Lyndale Avenue
South, 514, 520/22, 600/02 and 608/10 64th S treet (see attached "c ontext map") and is proposing to
rehabilitate the existing 22-unit apartment building at 6345 Ly ndale Avenue South and build a new 5-story 90-
unit building on the remainder of the property. The area in whic h the new building and its associated
parking is proposed is c urrently oc cupied by three duplexes and a single-family home.
The majority of the existing property is guided as Medium Density Residential in the Comprehensive Plan and
designated as MR-2 Multi-Family Residential in the Zoning Ordinance. One parcel (514 E. 64th St) is
currently zoned Single-Family Residential. A s proposed the projec t would need a C omprehensive Plan
Amendment (to High Density Residential) and would need to be rezoned (likely to P MR - Planned Multi-
Family Residential).
Due to the high cost of land assembly, structured parking and other subsurface c onstruc tion c osts, the
Developer has determined that they would almost certainly require some degree of public financial assistance
to make the project feasible. The most appropriate public funding identified by staff would be a Housing Tax
I nc rement Financing (TI F) Distric t. A Housing TI F Distric t would require that either 20% of the units be
affordable to households earning up to 50% of the Area Median I ncome (A MI ) or 40% of the units to be
affordable to households earning up to 60% of the A MI .
As proposed, the development is short on parking (by approximately 17 spac es if applying a 1.15space/1unit
expectation), but the abutting apartment complex (at 6301-6335 Ly ndale Avenue South) appears to have
excess parking and the Developer is looking into ways in which to utilize that parking capacity for their
development.
The development also abuts Garfield Park. C urrently, this elongated park does not have acc ess to 64th
Street. To remedy this, the Developer is proposing an acc ess with a trail on their development property and
would be open to either preserving that as an easement to the C ity or deeding it outright to the City.
D IRE C T I O N NE E D E D :
Staff is seeking a first reaction from policy-makers. If the initial reaction is overwhelmingly positive,
then staff would recommend progressing to the H ousing and Redevelopment Authority for the
consideration of a Preliminary Development Agr eement in January. If policy makers are less
enthusiastic in their support, then staff would direct them to either modify or further refine their
proposal and r etur n for an additional W ork S ession to continue the dialog.
B AC K G RO UND INF O RM AT IO N:
A.H IS TOR IC AL C ON TEXT
NorthBay is also the developer of the Henley apartments at 6324 Lyndale Avenue South. Staff has
found the D eveloper to be responsible, responsive and timely on that project.
B.P OL IC IE S (resolutions, ordinances, regulations, statutes, etc):
C.C R IT IC AL T IMIN G ISSU E S:
The Developer has entered into contingent purc hase agreements with the owners of the required
properties. S taff is unaware of the details of those agreements, but the dates c ontained in them may
impact the timing of the Developer.
D.F IN AN C IAL IMPAC T:
The Developer has determined that they would almost certainly require some degree of public financial
assistanc e to make the projec t feasible. The most appropriate public funding identified by staff would be
a Housing TI F D istrict. At this point, it is far to early to determine either the amount of TI F needed to
make the projec t viable or the amount of TI F that the proposed project would generate.
E.L E GAL C ON S ID E R AT ION :
N/A
ALT E R N AT IV E (S ):
P R IN C IPAL PAR TIE S EXP E C T E D AT ME E T IN G:
AT TAC H ME N TS :
D escripti on Type
C ontext Map C over Memo
11/26/19 City Council/HRA/Planning Commission Work Session
Context Map
Garfield Park 6345 608/10 600/02 520/22 514