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RES 2001-0809 - Bradford Investment Group LLC redevelopment plan -31••� OMA NF R E C E I V E Cl Planning Department :-i` =. Omaha/Douglas Civic Center u A*7:11ii�f�w� O 1 F E B 16 P r 2: 11819 Farnam Street,Suite 1100 Omaha,Nebraska 68183-0110 h (402)444-5200 pym2' ..'c'• AoR ,-�" February 27, 2001 C 1 T Y CLERK (402)444-6150 Telefax(402)444-6140 4TFDFEBRlr OMAHA, NEBRASKA Robert C.Peters City of Omaha Acting Director Hal Daub,Mayor Honorable President and Members of the City Council, The attached proposed Resolution approves the Bradford Investment Group LLC Redevelopment Plan for the development of a retail shopping center at the southeast corner of the Northwest Radial Highway and Military Avenue. The project involves the demolition of vacant buildings, clearance of the site and construction of a 10,000 to 18,000 square foot shopping center with public improvements and landscaping. The Plan proposes that the City participate in the development by providing $106,800 in Tax Increment Financing. The total project cost is estimated to be $1,124,000. The redevelopment project will clear a blighted property and create a viable commercial center. The Radial Plaza Shopping Center will provide additional retail services and new job opportunities to area residents. • Your favorable consideration of this Resolution will be appreciated. Sincerely, R e to Cit�►uncil C sideratio ✓ 2- • �S' e/ I (. z,z Vol Robert C. Peters ked4 Date Mayor's Office/Title 45 Date Acting Planning Dire6tor Approved as to Funding: Approved „di": dP/0/ 21dg/a/ Stanley P. fmin Date ,�t_on``W.`Elliott, P. E. Date Acting Finance J Director � " Public Works Director Notice of Publication and Public Hearing: March 1 and March 8, 2001 Public Hearing: March 20, 2001 P:\PLN 1\11469z.doc Attachment 1 Radial Plaza Shopping Center Legal Description Address Baker Place Lot 26 Block 3 44 x 128 4542 Grant Street Lot 25 Block 3 44 x 128 4544 Grant Street S 83 Ft Lot 24 Block 3 4546 Grant Street Lot 10 Block 3 22 x 132 4525 Military Ave Lot 11 Block 3 22 x 132 4527 Military Ave Lots 12 & 13 Block 3 4529 Military Ave Lots 14 through 18 Block 3 4533 Military Ave Lot 19 Block 3 22 x 132 4543 Military Ave Ex Irreg N Wstly 21.9 Ft Lot 20 & Ex Irreg N Wstly 55.66 Ft Lot 21 Block 3 4553 Military Ave Lot 22 Block 3 3267 Sq Ft 2319 NW Radial Lot 23 Block 3 44 x 118 2311 NW Radial N 45 Ft Lot 24 Block 3 2309 NW Radial S. . Exhibit "A" BRADFORD INVESTMENT GROUP, L.L.C. 1 RADIAL PLAZA SHOPPING CENTER Northwest Radial Highway and Military Avenue REDEVELOPMENT PLAN OMAHA'N F oF" 4 I ,84 ' a s r i 0 *4, D FEER‘Ir+� February, 2001 PLANNING OMAHA City of Omaha City of Omaha Hal Daub,Mayor Planning Department Omaha/Douglas Civic Center 1819 Farnam Street Omaha, Nebraska 68183 BRADFORD INVESTMENT GROUP LLC RADIAL PLAZA SHOPPING CENTER REDEVELOPMENT PLAN Southeast Corner of NW Radial Highway and Military Avenue PROJECT SUMMARY Bradford Investment Group, LLC, in conjunction with Magnum Development Corporation, is proposing to redevelop a site at the southeast corner of NW Radial Highway and Military Avenue as a retail shopping center. Plans include the demolition of existing buildings, clearance of the site, and construction of a 10,000 to 18,000 square foot shopping center with public improvements and landscaping. The intersection of the Northwest Radial Highway and Military Avenue also has Fontenelle Boulevard entering the intersection from the north. This site location provides high traffic exposure along with valuable access to the surrounding neighborhoods. The approximately 1.5-acre site is in a General Commercial district. The project site currently contains vacant and dilapidated buildings that will be demolished. Small elevation changes and a hilly terrain will necessitate special engineering solutions for site development. The project will require the vacation of two alleys that cross the site. The approval of Tax Increment Financing of approximately$106,800 as a portion of the $1,124,000 total project cost will make it feasible for the Bradford Investment Group, LLC to redevelop this blighted and underdeveloped site. Other financing including owner equity and bank financing are committed. The TIF funds may be expended on public improvements, acquisition, demolition, site preparation and other eligible TIF costs. The TIF will be retired over 15 years. Excess ad valorem taxes resulting from the development would produce approximately $16,998 per year. The owner will be responsible for all improvements on the project site and any public improvements. Utilities suitable to the proposed development are available to the site; the owner will be responsible for any new utility leads and on-site infrastructure. The complete legal description of the redevelopment site is attached. See Exhibit "A". This property would eventually include portions of the existing alleys that will require vacation. The excess ad valorem taxes from this project will be computed from the base tax value assessed on this site for the year prior to the passage of this Redevelopment Plan. Attached maps show the project location (Exhibit"B"), zoning(Exhibit"C") and site plan (Exhibit "D") of the redevelopment project. PROJECT DESCRIPTION Bradford Investment Group, LLC is a limited liability company with a record of investment in successful commercial redevelopment in older areas of Omaha. The proposed project site is an assemblage of multiple legal lots controlled by Bradford. The intersection of the Northwest Radial Highway and Military Avenue also has Fontenelle Boulevard entering the intersection from the north. This site location provides high traffic exposure, along with valuable access to the surrounding neighborhoods. The site contains vacant and dilapidated buildings including an abandoned convenience store on Military Avenue. The developer will demolish all existing structures and clear the site for development. Small elevation changes and a hilly terrain will necessitate special engineering solutions for site development, such as retaining walls and appropriate design of drives and drainage. In conjunction with Magnum Development Corporation, the site will be developed into a retail center consisting of approximately 10,000 to 18,000 square feet within one or more buildings. The final size and site plan will be determined by the retailers' uses and parking requirements. This project will provide an economic stimulus for this area of north Omaha by clearing a blighted property and creating a viable commercial center at a highly visible location while providing new job opportunities to area residents. UTILITIES/TRANSPORTATION Existing gas, water and electrical utilities adequately serve the project site. The developer will be responsible for any new leads onto the site. Access to the project site will be from northbound Northwest Radial Highway on the west, Military Avenue on the northeast and Grant Street on the south. Final plans for curb cuts and public improvements will be subject to approval by the City Public Works Department. Public improvements may include a turning lane off the NW Radial, curbs, gutters and sidewalks and site drainage as necessary. DEVELOPMENT FINANCING PLAN SUMMARY Sources of Funds Primary Financing $843,000.00 75% Owner Equity $174,200.00 15%' Tax Increment Financing $106,800.00 10% Total $1,124,000.00 Tax Increment Financing at 9.0%. 2 • Uses of Funds Acquisition and related costs $300,000.00 * Engineering, demolition and site preparation $ 75,000.00 * Site improvements $ 49,000.00 * Building costs $700,000.00 Total $1,124,000.00 * Eligible costs for payment with TIF funds. BLIGHT AND SUBSTANDARD CONDITIONS The project site is in an area previously designated as blighted. Based on the last published census, the unemployment in this census tract is 6.08%, which is greater than 120% of the state average. The area per capita income is $6,111 lower than the City of Omaha average and the area showed population loss in the last published census. The average year of construction of housing in the area was 1939. The site itself currently contains vacant and dilapidated buildings and overgrowth of trees and brush and has shown a pattern of declining real property assessments. The site has substandard conditions for development as one commercial property due to the relatively steep grade across the land. LAND USE/ZONING/PARKING The proposed land use is in compliance with the Master Plan. The site is zoned General Commercial (GC) which is appropriate for the proposed use. The uses immediately adjacent to the site include three residential properties, a union headquarters office and a construction company office and yard. Additional General Commercial and R4, R5 and R7 residential districts surround the site. The development will comply with the following site development regulations: Lot Area 5,000 square feet minimum Lot width 50 feet minimum Floor area ratio 2.0 maximum Front yard The greater of 15 feet or 50 feet from the centerline of the fronting street Street side yard The greater of 15 feet or 50 feet from the center line of the fronting street Interior side yard No requirement Rear yard 15 feet Height 75 feet maximum; 45 feet maximum where building is within 100 feet of an R6 or lower intensity district Building coverage 70 percent maximum Impervious coverage 90 percent maximum 3 Project landscaping will comply with zoning requirements, as approved through the permit process. The parking requirement for general retail services or multitenant retail centers with greater than 10,000 square feet of gross retail floor area is 1 space per 250 square feet. The project site contains sufficient area to exceed parking requirements for the proposed use. Parking spaces will be designed to meet the needs of the eventual tenants and comply with zoning requirements, as approved through the permit process. COST/BENEFIT ANALYSIS This use of Tax Increment Financing will not result in tax shifts. The current level of taxes will continue to flow to taxing entities and only added value revenues resulting from the improvements will be applied to the cost of the improvement. The developer will provide any necessary public improvements such as traffic turn lanes and sidewalks. The site is adequately served with streets and utilities. No significant impact on public services such as schools and public transportation is anticipated. The firm receiving this tax incentive will be enabled to obtain financing sufficient to accomplish this redevelopment project which involves unusual development costs due to the substandard conditions of the site. This redevelopment project will positively impact the residential neighborhoods in the area by providing new retail services. Existing businesses in the area will benefit from the physical improvements and the enhanced retail draw to the area. This redevelopment of a blighted area at a highly visible location will provide new retail services,jobs and physical improvements, all of which will enhance the economic vitality of this north Omaha neighborhood. The project meets all mandatory criteria and four discretionary criteria for the use of tax increment financing as follows: Mandatory Criteria: 1) the project site is located in an area previously designated as blighted. 2) The project furthers the objectives of the City's Master Plan by providing infill development utilizing existing infrastructure. 3) This use of Tax Increment Financing will not result in a loss of pre-existing tax revenues. The current level of taxes will continue to flow to taxing entities and only added value revenues resulting from the improvements will be applied to the cost of the improvement. 4) The developer has demonstrated that the project would not be economically feasible without the use of TIF, as the return on investment will be minimal even with TIF. 5) This project will clear up a site that is substandard and blighted including the demolition of dilapidated structures and the removal of overgrowth of trees and shrubs from the site. Discretionary Criteria: Criteria 2) the project is located in a previously designated blighted area in north Omaha. Criteria 5) At least 51% of jobs created will be held by or available to low-and moderate-income people—retail stores typically employ individuals in the low-to-moderate income range. Criteria 6) The building or site that is to be redeveloped itself displays conditions of blight with vacated and dilapidated buildings on site. Criteria 7) the development will allow for several new retail businesses to open within the City of Omaha. Criteria 8) the redevelopment site displays a pattern of declining real property assessments, as measured by the Douglas County Assessor's Office. 4 . Exhibit"A" Radial Plaza Shopping Center Legal Description Address Baker Place Lot 26 Block 3 44 x 128 4542 Grant Street Lot 25 Block 3 44 x 128 4544 Grant Street S 83 Ft Lot 24 Block 3 4546 Grant Street Lot 10 Block 3 22 x 132 4525 Military Ave Lot 11 Block 3 22 x 132 4527 Military Ave Lots 12 & 13 Block 3 4529 Military Ave Lots 14 through 18 Block 3 4533 Military Ave Lot 19 Block 3 22 x 132 4543 Military Ave Ex Irreg N Wstly 21.9 Ft Lot 20 & Ex Irreg N Wstly55.66 Ft Lot 21 Block 3 4553 MilitaryAve Lot 22 Block 3 3267 Sq Ft 2319 NW Radial Lot 23 Block 3 44 x 118 2311 NW Radial N 45 Ft Lot 24 Block 3 2309 NW Radial Bradford Investments Group LLC Radial Plaza Shopping Center Redevelopment Area Vicinity Map Exhibit "B" I- SPENCEb > , WIRY yr r— w W (Ni WIRY U) > __I W > BINNEY Z Q F-- I— I— W MAPLE ST w '-` Lu a Z Q (n CORBY ST Q O F- (Ni co W d- M I A N I ST co • OHIO ST in Lo \'4 RA3 = A _ HWY ' I- .q- LA < E ST )rj.;:,. ERSKINE ST c-9� .❖. •r- GRANT ST > > c u SSi, BURDETTE ST o 9 f-- Q c n r r� �` PPTRICK AVE 3 _ ON3O ST 9 /BLONDO 0- Cr CC co a PARKER c f- PARKER CECATUR n AT R DEC U ' 9� co N ERANKLIN 'i- d- O 1--1, SEWARD o y w O > �E' CHARLES Q c/9 HAVLLT \ ST O 1 LEGEND 1 (IN •:❖:•'.•:-:•:• Subject Property - Radial Hwy and Military Ave °Y- 1 AAA.mad i. PINiI+O•OWIY Bradford Investment Group LLC Radial Plaza Shopping Center Redevelopment Area Zoning Map Exhibit "C" atimil F= -1 k W=MEI R4'35, MIAMI ST ST 11 11 1� 11 � 111� R4 - . °° 1 1_ ---i P4'35) R4 11 1� GC !3 5) 1�'1 11 1� EMMEN w 111=IIIIIIIII OHIO ST n 11.11111111 J 11 W 11 1� 11 0 s'.' R4l3 1 _� 11 11 1lFL�?, UMW11 1MIIII — N�rNrrr1T41F sr 11 1_ LAKE ST MilROrq� 1 1� GC R �� "wY 11141111r, 1� ____ t3 414. i•Oi•:•io ERSKINE ST .•:,i•i;:•.:•c rill ERSKINE ST Rl. 51 3 ::....•:o ... ....ow., GRANT ST GRANT ST ST \� — I R41.35.+ Ru i!351 .. if.�'1 , R51 ) a hill „ .„ BUROETTE ST — BURGETTE ¢ ST �\ R7 CI L uIuJ':! 3 I�1 Q . zPATRICK AVE - , 1111 I( S-T B ONh:-- •8T aV \ R• \1 I i "1 1 1 ¶4(3 ) R ('3bJ NIIIi=- '_ Lcc" R4 PARKER ST 4, R l l � (35) R4 \i I I I I--I I i HI i t I I I 1 1 1 1 \ 1 1 1 1 1 1 LEGEND /` • • Subject Area - Radial Hwy and Military Ave o� 1.5 Acres I , . . . r). EXHIBIT "D" en nm cm ,•'° ,731` mom 1.mo 7/0 01, 1•C r.t. . Ag 01'21' rf71..)F1 x* Eln Win.,,T• Z C, Ati 0,)., 72° NW RADIAL HAPPY HOLLOW SLY° o —1- ----- ..._..2-• .._--- A • '' /4?------- ---. ---- . . ----,-.-- —=-=..7-..—/-=-.:-4,------4 --7..,„....N , -4:-BAGGS10. Ell. . 1-, _..5;(1 .... ,,...••••=::71\ ... „. • l• " ' A - • . I • I .A. 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NEBR nSK.A j. 11 ..aw....aam. <sv. e y -7- p La C-25A r r CITY OF OMAHA LEGISLATIVE CHAMBER Omaha,Nebr February 27, 2001 RESOLVED BY THE CITY COUNCIL OF THE CITY OF OMAHA: WHEREAS, the primary objectives of the City of Omaha's Master Plan and Community Development Program are to encourage additional private investment and infill development within inner-city neighborhoods; and to eliminate conditions which are detrimental to public health, safety and welfare, by developing vacant, underutilized property within these neighborhoods; and, WHEREAS, the approximately 1.5 acre Bradford Investment Group LLC Redevelopment Area is located at the southeast corner of the Northwest Radial Highway and Military Avenue (see Attachment 1 for complete legal description); and, WHEREAS, this Redevelopment Plan is located within an area previously declared "blighted and substandard and in need of redevelopment" by City Council Resolution No. 1445, adopted June 2, 1992; and, WHEREAS, The Bradford Investment Group LLC Redevelopment Plan is for the purpose of developing a retail shopping center as described in Exhibit "A",attached hereto and made a part hereof; and, WHEREAS,the Bradford Investment Group LLC Redevelopment Plan provides for the use of Tax Increment Financing for public improvements, demolition and site preparation; and, WHEREAS, an Industrial Development Bond issue may be used in this blighted and substandard area to assist with project financing; and, WHEREAS, Section 18-2108 of the Nebraska Revised Statues requires the City of Omaha to adopt a redevelopment plan before taking an active part in a redevelopment project; including the division of ad valorem taxes under Sections 18-2147 through 18-2150, Revised Statutes of Nebraska; and, WHEREAS,the Bradford Investment Group LLC Redevelopment Plan was approved by the City of Omaha Planning Board on February 7, 2001. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OMAHA: By Councilmember Adopted City Clerk Approved Mayor r 1 c-25A + CITY OF OMAHA . LEGISLATIVE CHAMBER Omaha,Nebr ' PAGE 2 THAT, the attached Bradford Investment Group LLC Redevelopment Plan,prepared by the Omaha City Planning Department,containing a provision for the division of ad valorem taxes under Section 18-2147 through 18-2150, Revised Statutes of Nebraska,be and hereby is approved as the Redevelopment Plan for the Bradford Investment Group LLC Redevelopment Area located • at the southeast corner of the Northwest Radial Highway and Military Avenue. APPROVED AS TO FORM: , 4W~` 0-g( CITY ATTORNEY DATE P:\PLN1\5634pjm.doc i W a 7,`, — 1. By df.. ..j,.... .\. .f ,. _-._ . 7 - - ounc.: i member MI1 �: 2U01 -. - Adopted \ � - o2 ---- - - _ '':City Clerk 3/0 Approved A. , or / .� ' . a N o ,4:-:,Lc D L k O ----. ,: 0 2.) 0 . O n ,,c-is "tt & CL < p) 5 v) AD 0 cp 'Zt..q \ a nu) 8 4 .' Ci 77, t z `i CD ,-s -P ,4 5 JCD a5' • r ` , • -r • . f THE DAILY RECORD "NOTICE PUBLIC" OF O A NOTICE OF PUBLIC HEARING ON THE BRADFREDDEVELEOPMEE T7PLAN GROUP LLC RONALD A. HENNINGSEN,Publisher Notice is hereby given that the Omaha PROOF OF PUBLICATION' City Council has set Tuesday, March 20, 2001 at 2:00 o'clock P.M. as the date of Public Hearing on the Bradford Investment UNITED STATES OF AMERICA, group LLC Redevelopment Plan. The Bradford Investment Group LLC The State of Nebraska, Redevelopment Plan is an approximately 1.5 District of Nebraska, 9S. acre site located at the southeast corner of County of Douglas, Northwest Radial Highway and Military City of Omaha. Avenue. The Redevelopment Plan is located within an area declared blighted and substandard and in need of redevelopment JOHN P. EGLSAER by the City Council on June 2, 1992. being duly sworn,deposes and says that he is The Bradford Investment Group LLC Redevelopment Plan proposes the development of a retail shopping center at the location. The project involves the ADVERTISING MANAGER demolition of vacant buildings, clearance of the site and construction of a 10,000 to of THE DAILY RECORD,of Omaha,a legal newspaper,printed and 18,000 square foot shopping center with published daily in the English language, having a bona fide paid public improvements and landscaping. The shopping center will provide additional retail circulation in Douglas County in excess of 300 copies, printed in services and new job opportunities to area Omaha,in said County of Douglas,for more than fifty-two weeks last residents. The plan proposes $106,800.00 in Tax past; that the printed notice hereto attached was published in THE Increment Financing. The total project cost is estimated to be $1,124,000.00..A copy of DAILY RECORD,of Omaha,on said plan is available for public inspection in the City Clerk's Office. Public Hearing will be held before the City March-1-and••8 ••20.01 Council of the City of Omaha, in the Legislative Chambers,Omaha/Douglas Civic Center, 1819 Farnam Street, Omaha, Nebraska. BUSTER BROWN, CALL REQUESTS FOR SIGN LANGUAGE • Tha :-. 4,�� aper during that time was regularly published and INTERPRETERS(SIGNERS) WILL REQUIRE A in =````•� ani `� ion in the Count of Douglas, and State of MINIMUM OF 48 HOURS ADVANCE NOTICE. 'i>mg ................`-1'i IF ALTERNATIVE FORMATS ARE NEEDED F-.QN-.."*. VIE • i ALL REQUESTS WILL REQUIRE A MINIMUM • - `_• (l OF 72 HOURS ADVANCE NOTICE. • ,r •is Fee •. •.1. PLEASE NOTIFY TAMMY BIODROWSKI— t11 • ••" ri •"• •'•' ^ 444-5553, IF ARRANGEMENTS NEED TO BE .AOditloOtffliY : 4,.. Abed in nay p ce and .• to MADE. • ,i4 OU t i I' • O` n3-iri 8-01 PIRL S } i before me this• at ....day of _ SIs f� •' Mar h Z • , . yi,`..E — Notary l ib ,r County, State of Nebras 1 • 'NOTICE TO PUBLIC• PROOF OF PUBLICATION NOTICE OF PUBLIC HEARING ON THE i BRADFORODUuINVESTMENT REDEVELOPMENT PLAN i . Notice Is ity given that AFFIDAVIT the Omaha City Council has set Tuesday, March 20,20011 at 2:00 o'cick P.M. as the • thee of Investment Group State of Nebraska, County of. Douglas, ss: Group LLC Redevelopment, Plan. The Bradford Investment, Group LLC Redeveiopmentl Michelle Revis Plan Is an approximately 1.5 acre site located at the beingdulysworn deposesand says southeast corner of, Northwest Radial Highway; and eeMultarr Avenue. The, that he is an employee of The Omaha World-Herald, a legal daily newspaper locatedi Redevelopment aPlan area declare substandard llandhte In de�a o printed and published in the county of Douglas and State of Nebraska, and of redevelopment by the City Cound)_an June z 1992. general circulation in the Counties of Douglas and Sarpy and State of Nebraska, `The Bradford -investment Group LLC Redevelopment and that the attached printed notice was published in the said newspaper on the `Plan proposes the development of o retail shopping center at the I , ,l, day of March A.ll. 20.CV. loco tIon. The prolect Involves the demolition of vacant buildings, clearance and that said newspaper is a legal newspaper under the statues of the State of of the site and construction toot shopping lcen erQwith Nebraska. The above facts are within mypersonal knowledge. The Omaha public Improvements and g landscaping. The shopping 228,763 279178 center will provide World-Herald has an average circulation of daily, ' 'additional retail services and new lob opportunities to 2 area residents. Sunday,in- b.�j The plan proposes ', S106,800.00 in Tax Increment Financing.The total prolect I iiiia io00.Wis cop of saic Advertising plan is available for public (Signed) . . . ltle• inspection in the City Clerk's Office. Public Hearing wilt be held before the City Council of the City of Omaha, In the Legislative Chambers, Omaha/Douglas Civic Subscribed in mypresence and sworn to before me this Center, 1819 Farnam Street, Omaha,Nebraska. BustterBrown day of rY 00^C.J4,_ 20 0.1 city Clerk ALL REQUESTS FOR SIGN LANGUAGE INTERPRETERS (SIGNERS)WILL REQUIRE A MINIMUM OF J 48 HOURS ADVANCE I ^ /� IF ICE.ALTERNATIVE I QyY lr FORMATS ARE NEEDED ALL REQUESTSg WILL I • 5110 21fl 1 IAEP!IM S[EL 3 Notary Public !pal says moj lE pakElcii III GENERAL NOTARY-State of Nebraska DEBRA L. MARCO Printer's Fee$ _>,... My Comm.Exp. Sept. 13,2003 Affidavit Paid by 313-G8-007