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2026-01-13 WS City Council Agenda
Richfield City Council Agenda January 13, 2026 -- 6:00 PM Richfield Municipal Center Bartholomew Conference Room 6700 Portland Avenue South 1. Call to Order 2. Item Discussion a. Presentation of a revised housing development proposed by Lupe Development for the American Legion site, 6501 Portland Avenue. 3. Adjournment Auxiliary aids for individuals with disabilities are available upon request. Requests must be made at least 96 hours in advance to the City Clerk at 612-861-9739. Includes Materials - Materials relating to these agenda items can be found in the Council Chambers Agenda Packet book located by the entrance. The complete Council Agenda Packet is available electronically on the City of Richfield website. Page 1 of 31 City Council Meeting 1/13/2026 Agenda Section: Item Discussion Agenda Item: 2.a. Report Prepared By: Julie Urban, Assistant Community Development Director Melissa Poehlman, Community Development Director Sam Crosby, City Planner Department Director: Melissa Poehlman, Community Development Director Item for Consideration: Presentation of a revised housing development proposed by Lupe Development for the American Legion site, 6501 Portland Avenue. EXECUTIVE SUMMARY On June 10, 2025, Lupe Development (Developer) presented a development concept for the American Legion site, 6501 Portland Avenue, at a joint work session. The development concept included two phases. Phase I proposed a 6-story, 177-unit affordable building with 129 parking spaces and Phase 2 proposed a 5-story, 152-unit affordable senior building with 98 parking spaces. The overall development concept included 329 units with a parking ratio of 0.69 spaces per unit. Policymakers shared concerns about the amount of parking proposed and the potential spillover into parking lots at Vets Park, the height and mass of the buildings, a fully income-restricted development, the relationship of the buildings to Portland Avenue, and pedestrian connections from Portland Avenue and throughout the site. Several questions were also raised, including what impact the project might have on City infrastructure, how the project could accommodate a future roadway to the south, if a commercial component was considered, and whether park land along Portland Avenue to the north could be "swapped" with part of the development site. The Developer has made revisions to the plans, lowering the building height to the five stories allowed by the Zoning Code, adding step backs, and increasing the overall parking ratio to 1.07 spaces per unit (note that this parking would be reduced by accommodation of the Code-required north-south roadway connection). The total number of housing units has been reduced to 296 (136 units in Phase I and 160 units in Phase 2). The office and activity areas of the senior building have been moved to the Portland Avenue side of the building. The Developer requested a second work session to focus exclusively on the site and building design (land use requirements). The Zoning Code provides for Council flexibility without a variance on some items (parking, step backs, green space buffering) and based on the Developer's submittal, variances are also anticipated (EV charging requirements, accommodation for a future north-south roadway connection, and potentially more). Typically, this level of project design review is addressed at a staff level through the land use entitlement process. Work sessions are opportunities for Page 2 of 31 policymakers to provide general feedback on a development concept to help guide the design review process. The Developer is requesting additional Council direction on items over which they have flexibility, and design concerns raised at the June work session. Additional details from staff's review of the revised plans are provided in Attachment A; however, many of these items still require additional study. The Developer is asking that discussion of the project's financial viability and affordability levels wait to take place until after design parameters are identified. They are, however, asking policymakers to consider resolutions of support for upcoming, non- City funding applications. Because several of the applications require specific information about a project's affordability, staff would not recommend that the policymakers support applications until further clarity is provided and affordability and tax-base implications have been considered. While a request for land use entitlements alone allows for limited discretion by the Council, a request for partnership with the City through infrastructure cost-sharing, HRA financial assistance, or in-kind assistance through staff time to apply for and administer grant funding, allows for the highest levels of discretion. RECOMMENDED ACTION No formal action is to be taken. However, policymakers should consider the revised proposal and provide feedback, especially on the following questions: 1. The Zoning Code allows for Council flexibility without a variance in some areas. Does the revised plan warrant Council flexibility? • Lower parking ratio; • One missing building step back (south wall of east building); and • Parking in green buffer space adjacent to the park. 2. Does the proposed affordability levels of, "80% of each building being at or below 60% Area Median Income (AMI) with the remaining 20% to be determined pending further design review and financing," address the Housing and Redevelopment Authority's (HRA's) concern that the project not be 100% income- restricted? 3. Does the project design meet the HRA's expectations for funding consideration? 4. Are Council and HRA members willing to consider resolutions of support for funding applications at this time, given the lack of specificity regarding the project's affordability and tax-base implications? HISTORICAL CONTEXT • The American Legion site was first proposed for redevelopment in 2020. Recognizing the value of the site to Veterans Memorial Park to the community as a whole, the City Council adopted the Veterans Park Area Overlay Zoning District (Overlay District) for the Legion site and other properties located in and around Vets Park. Page 3 of 31 • The Legion originally proposed to redevelop the site itself as a "Veterans Village," including Legion offices, a restaurant, banquet space, and 180 units of rental housing. Unable to obtain financing for the proposal, the Legion began marketing the property for sale in 2024. • In December of 2024, MSP Commercial, in cooperation with Lupe Development (Developer), purchased the property. The Developer presented a development concept at a work session on June 10, 2025. The concept included 329 units in a two-phased housing development. Phase I included 177 units of family housing with a mix of bedroom sizes (studio to four bedrooms). Phase II included 152 units of senior housing. Proposed housing affordability levels were between 30% and 80% of the AMI with an average just under 60% AMI. • In June 2025, the Metropolitan Council awarded a TBRA-SEED grant to the City on behalf of the Developer for environmental investigations of the Legion site. The City entered into a Subgrantee Agreement with the Developer in August 2025. The City supported the TBRA-SEED grant application because the program did not require a specific development project to be associated with the application. • In July, the Developer offered to provide policymakers tours of an income- restricted senior building they developed in Edina. EQUITABLE OR STRATEGIC CONSIDERATIONS OR IMPACTS • Redevelopment of the Legion site offers the opportunity to diversify the City's tax base, as envisioned by the Strategic Plan; however, any units restricted to households earning less than 60% AMI will qualify for 4(d) tax status, which taxes qualified affordable units at a reduced tax class rate of 0.25%. Market rate multifamily units have a regular tax class rate of 1.25%. • The Strategic Plan also seeks to maintain Richfield as an affordable place to live, and the proposed plan offers a range of affordability levels and includes larger units for families and units specific to seniors. POLICIES (RESOLUTIONS, ORDINANCES, REGULATIONS, STATUTES, ETC.) • The 2040 Richfield Comprehensive Plan recognizes Veterans Memorial Park as one of the City’s premier destinations and envisions ways to strengthen development in the area. • The property is zoned MR-3 and guided high-density residential and is also subject to the Veterans Park Area (VPA) Overlay Zoning District. • A "swap" of development and park land was not considered feasible by either the Recreation Department or the Developer. • The Developer is also asking for Council feedback regarding stormwater management requirements. However, the site is located within the Minnehaha Creek Watershed District, and while administered by the City, the requirements are those of the District and not subject to Council discretion. • Additional details related to Code compliance can be found in Attachment A. CRITICAL TIMING ISSUES The request for Council support of enabling resolutions and applications for grant Page 4 of 31 funding will have deadlines throughout 2026. FINANCIAL IMPACT • The Developer has not requested any financial assistance at this time, but the Developer's Attorney states in the attached letter that they will be fully prepared to discuss the Affordable Housing Trust Fund and tax increment financing following final design approval. • High density development cannot occur on the site without improvements to the current sanitary sewer system. The cost for increasing capacity could be borne by the City, by the development, or through a cost-sharing agreement. • Affordable housing that receives financial assistance will qualify for a reduced 4(d) tax classification. A City Council / HRA work session to discuss the impact of the 4(d) tax classification on the City's tax capacity and potential policy considerations is scheduled for February 17. LEGAL CONSIDERATIONS • The project's affordability is not a criterion the City Council can use to approve or deny land use entitlements. • When determining whether to adopt resolutions of support and/or agree to apply for grant funding, the City Council / HRA can request information regarding the project's affordability and assess whether a project furthers City goals and policies. • The HRA has discretion over the use of financial assistance and can and should consider affordability when considering the use of any public funding. ALTERNATIVE RECOMMENDATION(S) NA ATTACHMENTS 1. MSP-Lupe Richfield, LLC - Richfield - LT to M. Poehlman, Comm Dev Director, and J. Urban, Asst Comm Dev Director 2025.12.01 2. 011316 - 6501 Portland Avenue Development_Lupe PDG 3. 011326 - Lupe Market Study Key Notes 4. Code Compliance Details Page 5 of 31 December 1, 2025 City of Richfield Attn: Melissa Poehlman, Community Development Director 6700 Portland Avenue Richfield, MN 55423 VIA EMAIL mpoehlman@richfieldmn.gov City of Richfield Attn: Julie Urban, Assistant Community Development Director 6700 Portland Avenue Richfield, MN 55423 VIA EMAIL jurban@richfieldmn.gov Re: MSP Lupe Richfield, LLC – Request for City Council Work Session Review Dear Ms. Poehlman and Ms. Urban: Our firm represents MSP Lupe Richfield, LLC (“Lupe”) with respect to its proposed multi-family project (“Project”) located at 6501 Portland Avenue South, Richfield, MN 55423. On behalf of Lupe, we respectfully request that the City Council schedule the Project for its January 13, 2025 work session to review the updated concept plan, foster collaboration, and align on the design elements critical to timely approvals. We believe a focused work session will help resolve design- dependent variables, clarify the City’s expectations, and position the Project for success. We appreciate the comments and suggestions of City staff to this point and are committed to continued collaboration with City staff and the Council to address any ongoing concerns. As such, we write to outline the items we would like to address to chart a clear path forward. Financial Need A revised pro forma cannot be finalized until the Project’s design-dependent costs are known. Key cost drivers remain contingent on City Council discretionary determinations, including (i) step- back requirements, which effects unit bedroom design; (ii) parking counts and associated stall configuration; and (iii) stormwater management requirements. Until those design parameters are identified, any financial model would be preliminary and subject to substantial revision. A work session will provide valuable guidance on these elements and allow the Lupe team to develop an accurate financial model. Affordability and Grant Funding The current proposal provides that 80% of each building will be restricted at 60% area median income (AMI), with the remaining 20% to be determined based on design and financing outcomes. We request that the work session proceed on this basis so that design can advance in parallel with financing. To explore non-City financial support, we respectfully request that the City Council consider taking the following enabling actions to facilitate the Project and related applications: Page 6 of 31 City of Richfield December 1, 2025 Page 2 Adoption of enabling resolutions for Housing Revenue Bonds; Authorization to apply for Metropolitan Council Livable Communities Demonstration Account (LCDA) grant funding; Authorization to apply for Hennepin County Environmental Response Fund (ERF) grant funding; and Authorization to apply for Department of Employment and Economic grant funding. These items do not carry a cost for the City, but will require action from the City Council to facilitate. Pursuing funding from these sources, with enabling action from the City Council, will give greater certainty to the ultimate Project costs. We are happy to discuss the need for these actions in more detail at the requested work session. City Financial Assistance We acknowledge that potential financial assistance from the City of Richfield—specifically the Affordable Housing Trust Fund and Tax Increment Financing—have been identified as tools that could be applicable to the Project. Consistent with prior discussions, we will submit formal requests for such assistance after final design review, when the design-dependent cost elements are sufficiently defined to finalize Project costs and needs. We are fully prepared to discuss Affordable Housing Trust Fund and Tax Increment Financing considerations following final design approval. Next Steps To efficiently achieve an agreeable design, we request that the work session proceed on the basis of 80% of each building being at or below 60% AMI, with 20% undetermined pending further design review and financing. We are prepared to submit an updated site plan and attend a City Council work session as soon as possible to receive design feedback. We believe scheduling a work session as soon as possible will allow finalization of the design elements (including step- back, parking, and stormwater parameters) necessary to fix project costs and complete the revised pro forma. We would be willing to come back for a third work session to discuss the Affordable Housing Trust Fund and Tax Increment Financing considerations once we have an approved final design with ascertainable costs. We appreciate the City’s continued collaboration and stand ready to coordinate scheduling and materials for the working group. Please let us know as soon as you can confirm that the Project is scheduled for the January 13th, 2026 work session. Sincerely, Jacob W. Steen, for Larkin Hoffman Direct Dial: 952-896-3239 Direct Fax: 952-842-1738 Email: jsteen@larkinhoffman.com Page 7 of 31 City of Richfield December 1, 2025 Page 3 cc: Steve Minn (via email - Steve.Minn@lupedevelopment.com) Mary D. Tietjen (via email – mtietjen@kennedy-graven.com) 4897-7491-2889, v. 2 Page 8 of 31 AMERICAN LEGION SITE Affordable Housing Development 6501 Portland Avenue South Page 9 of 31 Lupe Development - 6501 Portland Ave. S. | RICHFIELD, MN | 12.22.2025 | COMM# 47621-25062 Hand-Sketched Ground View from Portland Ave Page 10 of 31 Lupe Development - 6501 Portland Ave. S. | RICHFIELD, MN | 12.22.2025 | COMM# 47621-25062 Hand-Sketched Ground View from Portland Ave Page 11 of 31 Lupe Development - 6501 Portland Ave. S. | RICHFIELD, MN | 12.22.2025 | COMM# 47621-25062 The Site - Full Context Page 12 of 31 Lupe Development - 6501 Portland Ave. S. | RICHFIELD, MN | 12.22.2025 | COMM# 47621-25062 Site Diagram FUNERAL HOME CITY POOL SITE PORTLAND AVEE 66TH STREET HOCKEY ARENA MEMORIAL PARK Page 13 of 31 Lupe Development - 6501 Portland Ave. S. | RICHFIELD, MN | 12.22.2025 | COMM# 47621-25062 Site Perspectives - Aerial Views - Phase 1 + 2 Page 14 of 31 Lupe Development - 6501 Portland Ave. S. | RICHFIELD, MN | 12.22.2025 | COMM# 47621-25062 Site Plan - Enlarged ZONING DATA LOT AREA Parcel 4.16 Acres (181,044.26 SF) Zoning District High-density residen�al (MR-3) Overlay Veteran’s Park area overlay Building Setbacks Front 15’-0” min, 25’-0” max Side 30’ or the height of the building, whichever is greater Rear 35’-0” or the height of the building, whichever is greater Side and rear setbacks adjacent to Veteran’s Park shall priori�ze greenscape. Minimum Lot Coverage:40% (principal structure) Height Useable Open Space 20’ min, 55’ max (or 5 stories, whichever is less) measured from avarage grade plane eleva�on 15% of parcel area Total Required: 27,197 SF Total Provided: 65,010 SF 1 - PARK CONNECTION 2 - WALK UP UNIT PATIOS 3 - PICKLEBALL COURT 4 - PLAY AREA 5 - AMENITY PATIO 6 - COMMUNITY GARDEN7 - PET RELIEF AREA KEY PHASE 1PHASE 2 Page 15 of 31 Lupe Development - 6501 Portland Ave. S. | RICHFIELD, MN | 12.22.2025 | COMM# 47621-25062 Ground Level 3 BED UNIT 2 BED UNIT 1 BED UNIT STUDIO UNIT AMENITY CIRCULATION OUTDOOR AMENITY 4 BED UNIT PHASE 115'-0"BUILDING HEIGHT = SETBACK55'-0"15'-0"55'-0" 70'-0"BUILDING STEPBACK AT LEVELS 4& 5 LOBBY 611 1 BED 651 1 BED 651 1 BED 611 1 BED 651 1 BED 651 1 BED 831 2 BED 613 1 BED 653 1 BED 613 1 BED 653 1 BED 853 2 BED 653 1 BED 613 1 BED 681 1 BED 652 1 BED 652 1 BED 435 STUDIO 830 2 BED 830 2 BED 652 1 BED 652 1 BED 826 2 BED 681 1 BED 653 1 BED 653 1 BED 653 1 BED 635 1 BED635 1 BED 635 1 BED 421 STUDIO 421 STUDIOLOBBY 652 AMENITY PHASE 2 1242 3 BED 613 1 BED 450 STUDIO 1116 3 BED 652 1 BED 828 2 BED 787 2 BED 653 1 BED 1247 4 BED 1076 3 BED 827 2 BED 1057 3 BED 826 2 BED 652 1 BED 648 1 BED 1039 3 BED 811 2 BED 771 2 BED 811 2 BED 811 2 BED 1100 3 BED 486 STUDIO 1136 3 BED 1242 3 BED 1116 3 BED 1343 4 BED14' ROW15' MIN SETBACK25' MAX SETBACK30' STEPBACKD E S I G N G R O U P C:\Users\gnorris\Documents\Revit Locals\2025-11-19 - Lupe Am. LegionRichfield_R23_building_gnorrisXDDUA.rvt LUPE DEVELOPMENT - AMERICAN LEGION SITE - RICHFIELD | SITE ANALYSIS - GROUND FLOOR RICHFIELD, MN | 12/11/25 | M24-244 PLAN KEY 1" = 30'-0" GROUND LEVEL FAMILY SENIOR OVERALL RATIO: 1.2 RATIO: 1.0 SURFACE PARKING PH1 - FAMILY Count PH1 UG 105 PH1 56 161 MIN. 280 OVERALL BUILDINGS Name Count Area AMENITY 3 4,950 SF CIRCULATION / BOH 41 35,898 SF PARKING 2 76,379 SF 117,227 SF SURFACE PARKING PH2 - SENIOR Count PH2 UG 103 PH2 53 156 PH 1 - FAMILY: 165 PH 2 - SENIOR: 153 TOTAL: 318 LOT COVERAGE PRIMARY STRUCTURE: 58,599 SF TOTAL LOT AREA: 181,315 SF MAX LOT COVERAGE: 40% COVERAGE: 32% USEABLE OPEN SPACE 15% OF PARCEL AREA TOTAL REQUIRED: 27,197 SF TOTAL PROVIDED: 65,010 SF PARKING REQUIREMENTS REDUCTION FOR 60% AMI UNITS TOTAL UNITS: 296 80% OF UNITS AT 60% AMI = 237 UNITS 237 UNITS @ 1:1 RATIO = 237 SPACES 59 UNITS @ 1:1.25 RATIO = 74 SPACES 311 SPACES TRANSIT REDUCTION (10%) = 280 SPACES PARKING REQUIRED = 280 SPACES LANDSCAPED PARKING AREA PARKING LOT AREA: 37,690 SF LANDSCAPED ISLAND AREA REQUIRED: 1,885 SF LANDSCAPED ISLAND AREA PROVIDED: 1,937 SF ZONING CODE DATA UNIT ANALYSIS - EAST Unit Type Quantity Percentage 1 BED 31 22.8% 2 BED 48 35.3% 3 BED 39 28.7% 4 BED 8 5.9% Studio 10 7.4% 136 100.0% UNIT ANALYSIS - WEST Unit Type Quantity Percentage 1 BED 110 68.8% 2 BED 35 21.9% Studio 15 9.4% 160 100.0% OVERALL - UNIT ANALYSIS Unit Type Quantity Area Percentage 1 BED 141 90,675 SF 47.6% 2 BED 83 67,831 SF 28.0% 3 BED 39 42,998 SF 13.2% 4 BED 8 10,266 SF 2.7% Studio 25 11,056 SF 8.4% 296 222,824 SF 100.0% PHASE 2 PHASE 1 Page 16 of 31 Lupe Development - 6501 Portland Ave. S. | RICHFIELD, MN | 12.22.2025 | COMM# 47621-25062 Typical Floors (2-3)14' ROW15' MIN SETBACK25' MAX SETBACK30' STEPBACK815 2 BED 450 STUDIO 611 1 BED 651 1 BED 651 1 BED 611 1 BED 651 1 BED 651 1 BED 831 2 BED 613 1 BED 653 1 BED 613 1 BED 653 1 BED 853 2 BED 653 1 BED 613 1 BED 681 1 BED 652 1 BED 652 1 BED 435 STUDIO 830 2 BED 830 2 BED 652 1 BED 652 1 BED 826 2 BED 671 1 BED 653 1 BED 653 1 BED 653 1 BED 635 1 BED635 1 BED 635 1 BED 825 2 BED 1256 3 BED 1256 3 BED 612 1 BED 449 STUDIO 1116 3 BED 652 1 BED 1116 3 BED 826 2 BED 786 2 BED 652 1 BED 1247 4 BED 786 2 BED 827 2 BED 1076 3 BED 827 2 BED 1057 3 BED 653 1 BED 827 2 BED 652 1 BED 648 1 BED 1039 3 BED 811 2 BED 771 2 BED 811 2 BED 811 2 BED 1100 3 BED 486 STUDIO 1343 4 BED 1136 3 BED 405 STUDIO 421 STUDIO 421 STUDIO 64'-0" 3 BED UNIT 2 BED UNIT 1 BED UNIT STUDIO UNIT AMENITY CIRCULATION OUTDOOR AMENITY 4 BED UNIT D E S I G N G R O U P C:\Users\gnorris\Documents\Revit Locals\2025-11-19 - Lupe Am. LegionRichfield_R23_building_gnorrisXDDUA.rvt LUPE DEVELOPMENT - AMERICAN LEGION SITE - RICHFIELD | SITE ANALYSIS - PLANS RICHFIELD, MN | 12/11/25 | M24-244 1" = 30'-0" SECOND - THIRD LEVEL LOT COVERAGE PRIMARY STRUCTURE: 56,861 SF TOTAL LOT AREA: 181,315 SF MAX LOT COVERAGE: 40% COVERAGE: 31% USEABLE OPEN SPACE 15% OF PARCEL AREA TOTAL REQUIRED: 27,197 SF TOTAL PROVIDED: 36,284 SF PARKING REQUIREMENTS REDUCTION FOR 60% AMI UNITS TOTAL UNITS: 315 80% OF UNITS AT 60% AMI = 252 UNITS 252 UNITS @ 1:1 RATIO = 252 SPACES 63 UNITS @ 1:1.25 RATIO = 79 SPACES 331 SPACES TRANSIT REDUCTION (10%) = 298 SPACES PARKING REQUIRED = 298 SPACES LANDSCAPED PARKING AREA PARKING LOT AREA: 36,247 SF LANDSCAPED ISLAND AREA REQUIRED: 1,812 SF LANDSCAPED ISLAND AREA PROVIDED: 1,981 SF ZONING CODE DATA PLAN KEY FAMILY SENIOR OVERALL RATIO: 1.2 RATIO: 1.0 SURFACE PARKING PH1 - FAMILY Count PH1 UG 105 PH1 56 161 MIN. 280 OVERALL BUILDINGS Name Count Area AMENITY 3 4,950 SF CIRCULATION / BOH 41 35,898 SF PARKING 2 76,379 SF 117,227 SF SURFACE PARKING PH2 - SENIOR Count PH2 UG 103 PH2 53 156 PH 1 - FAMILY: 165 PH 2 - SENIOR: 153 TOTAL: 318 UNIT ANALYSIS - EAST Unit Type Quantity Percentage 1 BED 31 22.8% 2 BED 48 35.3% 3 BED 39 28.7% 4 BED 8 5.9% Studio 10 7.4% 136 100.0% UNIT ANALYSIS - WEST Unit Type Quantity Percentage 1 BED 110 68.8% 2 BED 35 21.9% Studio 15 9.4% 160 100.0% OVERALL - UNIT ANALYSIS Unit Type Quantity Area Percentage 1 BED 141 90,675 SF 47.6% 2 BED 83 67,831 SF 28.0% 3 BED 39 42,998 SF 13.2% 4 BED 8 10,266 SF 2.7% Studio 25 11,056 SF 8.4% 296 222,824 SF 100.0% PHASE 2 PHASE 1 Page 17 of 31 Lupe Development - 6501 Portland Ave. S. | RICHFIELD, MN | 12.22.2025 | COMM# 47621-25062 Typical Floors (4-5) 612 1 BED 449 STUDIO 653 1 BED 1116 3 BED 826 2 BED 1116 3 BED 786 2 BED 652 1 BED 1247 4 BED 786 2 BED 826 2 BED 1076 3 BED 652 1 BED 826 2 BED 653 1 BED 826 2 BED 831 2 BED 768 2 BED 648 1 BED 1039 3 BED 1027 3 BED 930 3 BED 486 STUDIO 782 2 BED 782 2 BED 15' BUILDING STEPBACK AT LEVELS 4 & 5 15' BUILDING STEPBACK AT LEVELS 4& 5640 1 BED 854 2 BED 616 1 BED 616 1 BED 802 2 BED 613 1 BED 653 1 BED 613 1 BED 653 1 BED 853 2 BED 653 1 BED 613 1 BED 681 1 BED 652 1 BED 652 1 BED 843 2 BED 887 2 BED 826 2 BED 826 2 BED 681 1 BED 653 1 BED 653 1 BED 653 1 BED 635 1 BED 635 1 BED 768 2 BED 421 STUDIO 609 1 BED 635 1 BED 3 BED UNIT 2 BED UNIT 1 BED UNIT STUDIO UNIT AMENITY CIRCULATION OUTDOOR AMENITY 4 BED UNIT D E S I G N G R O U P C:\Users\gnorris\Documents\Revit Locals\2025-11-19 - Lupe Am. LegionRichfield_R23_building_gnorrisXDDUA.rvt LUPE DEVELOPMENT - AMERICAN LEGION SITE - RICHFIELD | SITE ANALYSIS - PLANS RICHFIELD, MN | 12/11/25 | M24-244 1" = 30'-0" FOURTH - FIFTH LEVEL PLAN KEY LOT COVERAGE PRIMARY STRUCTURE: 56,861 SF TOTAL LOT AREA: 181,315 SF MAX LOT COVERAGE: 40% COVERAGE: 31% USEABLE OPEN SPACE 15% OF PARCEL AREA TOTAL REQUIRED: 27,197 SF TOTAL PROVIDED: 36,284 SF PARKING REQUIREMENTS REDUCTION FOR 60% AMI UNITS TOTAL UNITS: 315 80% OF UNITS AT 60% AMI = 252 UNITS 252 UNITS @ 1:1 RATIO = 252 SPACES 63 UNITS @ 1:1.25 RATIO = 79 SPACES 331 SPACES TRANSIT REDUCTION (10%) = 298 SPACES PARKING REQUIRED = 298 SPACES LANDSCAPED PARKING AREA PARKING LOT AREA: 36,247 SF LANDSCAPED ISLAND AREA REQUIRED: 1,812 SF LANDSCAPED ISLAND AREA PROVIDED: 1,981 SF ZONING CODE DATA FAMILY SENIOR OVERALL RATIO: 1.2 RATIO: 1.0 SURFACE PARKING PH1 - FAMILY Count PH1 UG 105 PH1 56 161 MIN. 280 OVERALL BUILDINGS Name Count Area AMENITY 3 4,950 SF CIRCULATION / BOH 41 35,898 SF PARKING 2 76,379 SF 117,227 SF SURFACE PARKING PH2 - SENIOR Count PH2 UG 103 PH2 53 156 PH 1 - FAMILY: 165 PH 2 - SENIOR: 153 TOTAL: 318 UNIT ANALYSIS - EAST Unit Type Quantity Percentage 1 BED 31 22.8% 2 BED 48 35.3% 3 BED 39 28.7% 4 BED 8 5.9% Studio 10 7.4% 136 100.0% UNIT ANALYSIS - WEST Unit Type Quantity Percentage 1 BED 110 68.8% 2 BED 35 21.9% Studio 15 9.4% 160 100.0% OVERALL - UNIT ANALYSIS Unit Type Quantity Area Percentage 1 BED 141 90,675 SF 47.6% 2 BED 83 67,831 SF 28.0% 3 BED 39 42,998 SF 13.2% 4 BED 8 10,266 SF 2.7% Studio 25 11,056 SF 8.4% 296 222,824 SF 100.0% PHASE 2 PHASE 1 Page 18 of 31 Lupe Development - 6501 Portland Ave. S. | RICHFIELD, MN | 12.22.2025 | COMM# 47621-25062 Parking STEPBACK 69'-4 205/256" 55'-0"PORTLAND AVECONNECTION TO VETERAN'S PARK CONNECTION TO VETERAN'S PARK FENCE UTILITY EASEMENT FROM 66TH 199'-5 1/16"200'-0"24'-0"D E S I G N G R O U P C:\Users\gnorris\Documents\Revit Locals\2025-11-19 - Lupe Am. LegionRichfield_R23_building_gnorrisXDDUA.rvt LUPE DEVELOPMENT - AMERICAN LEGION SITE - RICHFIELD | SITE ANALYSIS - PARKING RICHFIELD, MN | 12/11/25 | M24-244 1" = 30'-0" PARKING LOT COVERAGE PRIMARY STRUCTURE: 56,861 SF TOTAL LOT AREA: 181,315 SF MAX LOT COVERAGE: 40% COVERAGE: 31% USEABLE OPEN SPACE 15% OF PARCEL AREA TOTAL REQUIRED: 27,197 SF TOTAL PROVIDED: 36,284 SF PARKING REQUIREMENTS REDUCTION FOR 60% AMI UNITS TOTAL UNITS: 315 80% OF UNITS AT 60% AMI = 252 UNITS 252 UNITS @ 1:1 RATIO = 252 SPACES 63 UNITS @ 1:1.25 RATIO = 79 SPACES 331 SPACES TRANSIT REDUCTION (10%) = 298 SPACES PARKING REQUIRED = 298 SPACES LANDSCAPED PARKING AREA PARKING LOT AREA: 36,247 SF LANDSCAPED ISLAND AREA REQUIRED: 1,812 SF LANDSCAPED ISLAND AREA PROVIDED: 1,981 SF ZONING CODE DATA FAMILY SENIOR OVERALL RATIO: 1.2 RATIO: 1.0 SURFACE PARKING PH1 - FAMILY Count PH1 UG 105 PH1 56 161 MIN. 280 OVERALL BUILDINGS Name Count Area AMENITY 3 4,950 SF CIRCULATION / BOH 41 35,898 SF PARKING 2 76,379 SF 117,227 SF SURFACE PARKING PH2 - SENIOR Count PH2 UG 103 PH2 53 156 PH 1 - FAMILY: 165 PH 2 - SENIOR: 153 TOTAL: 318 UNIT ANALYSIS - EAST Unit Type Quantity Percentage 1 BED 31 22.8% 2 BED 48 35.3% 3 BED 39 28.7% 4 BED 8 5.9% Studio 10 7.4% 136 100.0% UNIT ANALYSIS - WEST Unit Type Quantity Percentage 1 BED 110 68.8% 2 BED 35 21.9% Studio 15 9.4% 160 100.0% OVERALL - UNIT ANALYSIS Unit Type Quantity Area Percentage 1 BED 141 90,675 SF 47.6% 2 BED 83 67,831 SF 28.0% 3 BED 39 42,998 SF 13.2% 4 BED 8 10,266 SF 2.7% Studio 25 11,056 SF 8.4% 296 222,824 SF 100.0% PHASE 2 PHASE 1 Page 19 of 31 Lupe Development - 6501 Portland Ave. S. | RICHFIELD, MN | 12.22.2025 | COMM# 47621-25062 Hand-Sketched Rendering View from Veteran’s Memorial Park Page 20 of 31 Lupe Development - 6501 Portland Ave. S. | RICHFIELD, MN | 12.22.2025 | COMM# 47621-25062 Hand-Sketched Rendering Park Bird’s Eye View Page 21 of 31 LINE PARALLEL WITH THE E-W CENTERLINE OF SEC. 26W. LINE OF SEC. 26, TWP. 28N, RGE. 24W LINE PARALLEL WITH THE W. LINE OF SEC. 26LINE PARALLEL WITH THE E-W CENTERLINE OF SEC. 26509.12 280.30280.3075.00 200.00 LINE PARALLEL WITH THE E-W CENTERLINE OF SEC. 26964.125LINE PARALLEL WITH THE N-S CENTERLINE OF SEC. 26POINT 320.43 W. OF THEN-S CENTERLINE OF SEC. 26509.12 113.55JUDICIALLANDMARK540.00540.00709.12 JUDICIALLANDMARK123.51 499.96 POINT 319.81 W. OF THEN-S CENTERLINE OF SEC. 2626.49 859.12 960.96150200 EXISTINGBUILDINGEXISTINGBUILDINGTERMINUSUNKNOWNPORTLAND AVE. S.(VARIABLE WIDTH DEDICATED PUBLIC RIGHT OF WAY)33.0033.0050.0033.0050.0033.00RE=846.24IE 12" CONC=841.24RE=848.68IE N/S 8"CONC=835.88RE=827.24IE N/NW 12" CONC=823.04IE SW 15" CONC=823.64IE SE 18" CONC=822.94RE=829.24IE SW 4" METAL=827.04(FULL OF DEBRIS)TERMINUSUNKNOWN540.00FENCE CORNER0.8' WEST OFPROPERY LINEFENCE LINE0.5' EAST OFPROPERY LINEFENCE LINE0.2' WEST OFPROPERY LINEFENCE LINE0.4' NORTH OFPROPERY LINEFENCE LINE0.4' NORTH OFPROPERY LINE964.125JUDICIALLANDMARKHYDRANTEXHIBITC300DATEPROJECT #PROJECT STATUSDRAWN BYCHECKED BYI hereby certify that this plan, specification orreport was prepared by me or under mydirect supervision and that I am a dulyLicensed Professional Engineer under thelaws of the state of Minnesota.DateLic. No.NOT FORCONSTRUCTIONKEY PLANADDRESSADDRESSRICHFIELD, MN16176.5SDINVER GROVEAFFORDABLEHOUSING12345RevisionsNo. DescriptionDateLicenseexxxxxxxWHC byxxxx26176.5© 2025 BKBM EngineersBakke Kopp Ballou & McFarlin, Inc.All rights reserved. This document is an instrumentof service and is the property of BKBM Engineersand may not be used or copied without prior writtenconsent.BKBM Project No.6120 Earle Brown DriveSuite 700 Minneapolis,MN 55430 Phone:763.843.0420bkbm.comPage 22 of 31 Lupe Development - 6501 Portland Ave. S. | RICHFIELD, MN | 12.22.2025 | COMM# 47621-25062 Lupe Development Experience - Intergenerational campus offering 195 total units of affordable housing. - Brings much-needed affordable housing to the neighborhood, and bridges this need by accommodating various demographics including aging seniors, entry-level workers, and families. - Close proximity to transit, jobs, retail and services. Parking Stalls: 111 stalls, 0.56 ratio Snelling Yards Affordable Housing & the Hillock (Minneapolis, MN) The Flats at Malcolm Yards (Minneapolis, MN) 550 W. Lake Street Apartments, AKA the Lakefield (Minneapolis, MN) - Project brings 110 total units of affordable housing to Minneapolis’ Lyn-Lake neighborhood as part of broader mixed-income housing campus. - Close proximity to transit, jobs, retail and services. Parking Stalls: 62 stalls, 0.56 ratio - 143-unit income-qualified apartment within Malcolm Yards community - All units at 60% medium income or less, & 16 units of supportive housing for those at immediate risk of homelessness - Amenities: sky deck community room, rooftop patio with grill station, fitness center, pet wash, EV parking stations, bike storage, etc. Parking Stalls: 57 stalls, 0.4 ratio Page 23 of 31 Lupe Development - 6501 Portland Ave. S. | RICHFIELD, MN | 12.22.2025 | COMM# 47621-25062 Lupe Development Experience - 118-unit affordable 55+ apartment community, filling a gap within an otherwise high-rent district. - Studio, 1- and 2-bedroom units at or below 30%-80% AMI. - Redevelopment of vacant site walkable to nearby neighborhoods, transit, medical, & retail amenities. Parking Stalls: 93 stalls, 0.8 ratio Forty-Forty Flats (Edina, MN) Wirth on the Woods Campus, the Eloise & the Theodore (Minneapolis, MN) - 200 total 55+ units (100 senior affordable, 100 senior market-rate) in Bryn Mawr neighborhood. - 1-, 2-, and 3-bedroom units. Parking Stalls: 50 stalls (The Theodore (Affordable), 0.50 ratio), 100 stalls (The Eloise, shared) Page 24 of 31 Lupe Development - 6501 Portland Ave. S. | RICHFIELD, MN | 12.22.2025 | COMM# 47621-25062 Lupe Development Experience Page 25 of 31 Page 26 of 31 Lupe Development - 6501 Portland Ave. S. | RICHFIELD, MN | 12.22.2025 | COMM# 47621-25062 THANK YOU! Page 27 of 31 Market Study Key Notes: Prepared by Kinetic Valuation Group dated 1/27/25 The primary market area (PMA) for the Subject consists of the city of Richfield, large portions of the cities of Bloomington and Edina, and a small portion of southwest Minneapolis. The boundaries include the following: • North – City of Edina northern boundary (45th Street) • South – Hennepin County Border • East – Cedar Avenue • West – City of Edina western boundary (Hwy 169) The Subject will address two major community needs in Richfield and the Minneapolis- Saint Paul metropolitan area: the need for an increased supply of affordable workforce housing and affordable senior housing. Based on the absorption rate of recently developed properties as well as the lack of affordable senior housing in the area, we anticipate an absorption period of four to six months for the workforce housing units and seven to 10 months for the senior units, which is equivalent to a rate of 29 to 43 units per month and 15 to 21 units per month, respectively. The demographic data demonstrates that both the population and the number of households in the PMA have increased from 2020 to 2024 and are forecast to continue to increase through 2029. Growth in the SMA is expected to continue into 2029 as well. This growth indicates a need for additional housing options such as the Subject. The PMA is comprised of approximately 32.9 percent renter households and 21.5 senior renter households. This bodes well for the Subject’s affordable units. The comparable properties within the PMA reported a vacancy rate of 0.0 to 2.0 percent, with an overall vacancy rate of 0.3 percent. We expect the Subject to maintain a vacancy level of less than five percent based on the performance of the comparable properties in this analysis. A penetration rate analysis was performed in order to establish the percentage of age- appropriate income-qualified renter households that all existing and under construction affordable properties within the PMA must capture to achieve a stabilized level of occupancy within the PMA. The penetration calculation is: Page 28 of 31 Existing LIHTC Units + Proposed Units + Units Under Construction / Number of Qualified Households = Penetration Rate The penetration rate is 8.6 percent for the affordable workforce housing units and 21.0 percent for the senior units, which appears to be reasonable and indicates there is adequate demand for the Subject and the existing and proposed affordable units. We anticipate that the Subject would be fully absorbed within one to three months of completion, without affecting the occupancy levels of existing affordable developments. There is limited affordable housing available for the local workforce in the Subject’s PMA. The affordable housing developments in the Subject’s PMA illustrate stable occupancy with some lengthy waiting lists. We concluded that the Subject will be competitive with the market rate competition, and achievable rents are within the rental range. Achievable rents represent net rent levels that we believe a project of the Subject’s condition and quality could reasonably achieve. Page 29 of 31 Page 30 of 31 Attachment A Additional Code Compliance Details: • The Code requires 333 parking stalls for 296 units and the current plan provides 317 (1.07 stalls/unit), which is a 16-stall deviation. The Code states that the Council may reduce parking requirements for projects designed to serve seniors or other low-driving populations and the Developer has submitted a package that they believe supports this reduction. Accommodation of a future roadway connection to the south would remove approximately 37 planned parking stalls. If parking is determined to be adequate, a traffic impact study will be needed to determine how the project will function until such time that a connection is constructed, or whether there are other methods needed/preferred to serve the site. An ordinance amendment would likely be needed to remove the requirement for a connection. • The Overlay District requires that buildings be stepped back when adjacent to public streets and public land, which encompasses the site's entire perimeter except for the west half of the south side, which abuts private property. The revised plans provide all but one step back. The south side of the eastern building does not step back but does provide a larger setback of approximately 30 additional feet. The Code states that step-backs may be adjusted depending on site conditions, subject to Council approval. • The Overlay District requires the site design to prioritize green space and landscaping in the side and rear setbacks when adjacent to the park (north, east and the east half of the south side). The current plan fills approximately half of these areas with parking; however, Fire Department access must also be considered. • The sanitary sewer service in the area is close to capacity. High density development cannot occur on the site without improvements to the current system. Public Works is exploring solutions and anticipates having a preferred option selected later in 2026. The cost for increasing capacity could be borne by the City, by the development, or through a cost-sharing agreement. • The design of the building cannot be analyzed without building elevations to review, but it is assumed the intent is to comply with building height, separation, material and articulation requirements. Due to the site's change in grade, staff would recommend additional design attention be paid to the ground level of the east elevation of both buildings. • Based on the Developer's submitted materials, a variance request related to EV charging requirements is anticipated. Page 31 of 31