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HomeMy WebLinkAboutrda min 1980/06/05 8 PM M INUnS OF A WORKSHOP MEETING Œ' THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA Thursday - 8:28 p.m. June 5, 1980 A workshop meeting of the Redevelopment Agency of the City of Chula Vista was held on the above date beginning at 8:28 p.m. in the Council Chambers of the Public Services Building, 276 Fourth Avenue, Chula Vista, California with the following: MEMBERS PRESENT Chairman Hyde; Members McCandliss, Scott, Gillow, Cox Members Absent None STAFF PRESENT Executive Director Cole, Conmunity Development Director Desrochers, Special Counsel Reed, Community Development Coordinator Sanseverino, Development Services Adminis- trator Robens, Planning Director Peterson, City Attorney Lindberg ALSO PRESENT Richard Zogob, Nick Turk, Rick Wise, Larry Rogers, Mike Morris INTRODUCTION Community Development Director Desrochers discussed the purpose of the workshop. The Focus Area developer and representati ves from Al pha Beta were present to descri be their plans. The director briefly discussed the failure of last year's UDAG applica- tion. He also commented that acquisition of various properties downtown is progres- sing satisfactorily. PRESENT ATION: ZOGOB - PLANS #9 AND #10 Mr. Zogob informed the Agency that his firm has developed two alternate plans for the Focus Area called "The Village" in his marketing program. The developer described Plan #9 stating that United Artists has conmitted a six-plex theater, along with Monterey Bay Canners and a Marie Callender Restaurant. Of the 37,000 square feet of retail space available, half of the land is conmitted to various tenants. He explained that the key to this layout is a tri-level parking structure consisting of 800 cars. Plan #10 provides for surface parking with the anchor tenant, a financial institution. This plan could include the Bernes/1sham properties. Scheme 5, one of the developer's earlier plans, was displayed for comparison purposes. Member McCandliss questioned the impact of the United Artists Theater on the Vogue and Fiesta Twin Theaters currently in operation in Chula Vista. Community Development Director Desrochers remarked that United Artists is also interested in a site at 1-805, and it was noted that the Mann Theater will be going into the Bonita center. Di scuss i on fo 11 owed on the possi bi 1 ity of the fi rst-run movi e theater showi ng "X- rated" features. Mr. Desrochers stated that the theater would not be in the proper zone for this type of activity. 6/5/80 -2- Redevelopment Agency Workshop June 5, 1980 Further discussion involved the probability of a UDAG and the condominium complex proposed in Plans #9 and #10. Mr. Zogob commented that the idea of the condominium offices materialized due to foreseen court complex business. Mr. Zogob informed Agency members that the most positive aspect of Plan #10 would be no UDAG requirement. He requested direction from the Agency as to the UDAG if Plan #9 is chosen, and he indicated that the problem would be with financial commit- ments. Discussion ensued relative to IDB financing; the director referred to a letter by bond advisors Drexel Burnham Lambert, Inc. UPDATE AND COMMENT: ALPHA BETA RICK WISE, DIRECTOR - REAL ESTATE ALPHA BETA Mr. Wise explained the history leading up to Alpha Beta's involvement in this rede- velopment project. He emphasized of prime significance to Alpha Beta's 58,000 square foot market proposal is the necessity to face the main artery--Third Avenue. LARRY ROGERS ALPHA BETA Mr. Rogers gave a detailed presentation on Alpha Beta's marketing concept, particu- larly as to the types of merchandise that would be sold at the subject site. MIKE MORRIS C. W. CLARK, INC. 3211 Holiday Court, Suite 200 La Jolla, CA Mr. Morris discussed how Alpha Beta would be a traffic generator as an anchor tenant in the present shopping center and the need to have such a facility in this project. In response to Chairman Hyde's concerns, Mr. Wise indicated that Alpha Beta still feels that if they are to rebuild in the Third and "F" vicinity, the 58,000 square foot store would be the most feasible and would have to be of a superdrug/market combination unit. In answer to Member Cox's question, Mr. Desrochers stated that if the Alpha Beta plan was selected, the DDA would have to be restructured, Alpha Beta would not necessarily be responsible for building out the balance of the center, and parking costs with the develope~such as Mr. Zogob and his associates,would have to be shared. COMMUNITY DEVELOPMENT ASSESSMENT: UDAG POSSIBILITIES Community Development Coordinator Sanseverino commented on the UDAG comparison chart on display. He explained that the private sector dollar to UDAG dollar ratio would be 6:1. He noted that now IDB's would meet the UDAG criteria. During previous UDAG submittals, IDB legislation was not in effect in California. 6/5/80 ----~--------- -3- Redevelopment Agency Workshop June 5, 1980 Mr. Sanseverino further explained the timeframe involved for the UDAG application submittal. The application must be submitted to CPO in mid-June and to HUD in mid-July for their review for the September round. Mr. Desrochers pointed out that the developer's financial commitment must be solid- ified when the application goes to Washington. In answer to Member McCandliss' question, Mr. Sanseverino remarked that portions of the previous UDAG application may be salvaged but HUD has revised the forms, there- fore, an entirely new application will have to be written. The director commented if UDAG direction is given, Mr. Sanseverino would be assigned, along with a department analyst, to work full time for the next two weeks only on the UDAG. BERNES/ISHN<1 PROPERTIES As of this date, neither property owner has been presented with a formal offer. They have, though, been provided with an appraisal evaluation. It is important that a decision on these parcels be made with regard to acquisition in the near future. Special Counsel Reed further explained the need for the Agency to decide on this matter. PLAN EVALUATION AND STAFF RECOMMENDATION A proposed "Parking Evaluation" for the three plans was displayed with parking deficiencies noted. The conclusion, according to the plan, was that all three plans could function with regard to parking as proposed by each plan. Also displayed was a "Plan Evaluation" with symbols depicting "above average," "standard," and "below average." The Project Area Committee's recommendation was definitely in favor of Plan #9 and against Alpha Beta's plan. PUBLIC C(}1MENTS BILL UPHN<1 VOGUE THEATER 226 Third Avenue Chula Vista, CA Mr. Upham spoke in opposition towards Plan #9 citing the congested parking problems. He commented that United Artists was turned down in Mission Valley because they would not agree to reciprocal parking. JERRY WILLITS FIESTA TWIN CINEMAS 475 Fifth Avenue Chula Vista, CA Mr. Willits spoke against Plan #9. He pointed out that his organization could not compete with an outfit as large as United Artists and proceeded to describe the 6/5/80 --------- -4- Redevelopment Agency Workshop June 5, 1980 bidding process involved. He also commented that the three-level parking structure woul d be a crime target. JOY SHERESH 688 Robert Avenue Chula Vista, CA Mrs. Sheresh spoke in favor of Plan #9 and expressed her gratitude to the City for trying to bring more amiable conveniences for the citizens of Chula Vista. FARRELL'S ICE CREAM PARLOR 481 Fi fth Avenue Chula Vista, CA The representative from Farrell's spoke in opposition of Plan #9 stating that he is also planning to operate next to the new Mann Theater complex in National City. CHULA VISTA PHARMACY 299 Thi rd Avenue Chula Vista, CA The representative from the Chula Vista Pharmacy spoke in opposition towards the Alpha Beta plan on behalf of the various pharmacies located in and around the focus area. There were no further public comments. Member McCandliss stated that she had reservations about the Alpha Beta plan when it was first presented, but now is in complete opposition to it. She further em- phasized the need for a thorough traffic study by the Traffic Engineer and the Environmental Review Coordinator relative to Plan #9. Development Services Administrator Robens told the Agency that Third Avenue would not be a "free flowing" street. He noted that the purpose of Third Avenue is to attract shoppers and was not specifically designed to attract "thru traffic." He did point out that the only problem intersection would be at Third and "F," and that probably the traffic control devices would not be accurate. Mr. Desrochers remarked that before a UDAG application is awarded, a complete environmental study will have to be made. Mr. Zogob described the tri-level parking structure and pointed out that this area would have to be more adequately patrolled. Member Cox commented that Plan #9 seems to best address the initial concerns of the City. He expressed concern though that a supermarket to serve the clientele needs to be provided. In response to Member McCandliss' question, Community Development Director Desrochers stated that nothing has been done to upgrade the condition of the vacated Alpha Beta site mainly because of the firm's continued interest in the project. Mr. Wise indicated that Alpha Beta is still paying rent and hasn't subleased the property due to the potential development. 6/5/80 -5- Redevelopment Agency Workshop June 5, 1980 Special Counsel Reed commented that the executor of the Berenson estate and Mr. Berenson's beneficiaries are beginning to show more interest in the property as they become aware of the economic opportunities available to them. Relative to Plan #9, Member Scott expressed reservations towards parking. He di d feel, however, that this plan does meet the City's criteria. Chairman Hyde commented on the response from citizens with regard to obtaining an- other supermarket in the downtown area. He stated that a supermarket/drug combina- tion would not be appropriate in this area. Member Gillow discussed Plan #9. He felt that another theater would create traffic problems and he wasn't sure that a theater was the best use of the site. Plan no would defer us from going through the federal hassles. Mr. Desrochers pointed out that Plan #10 would be the fall back proposal if Plan #9 is defeated because of UDAG. MOTION TO ACCEPT PLAN #9 It was moved by Member Cox and seconded by Member McCandliss to accept Plan #9 and authorize staff to apply for a UDAG for the parking structure and to acquire the Bernes/Isham properties. The motion passed, 4-1, with Member Gillow voting "no." REQUEST FOR EXECUTIVE SESSION Chairman Hyde told members that the City Manager had requested a brief executive session following tonight's workshop. ADJOURNMENT Chairman Hyde adjourned the meeting at 10:12 p.m. Pa