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RES 1997-1736 - Melcher Building redevelopment plan ; . � 4 fom!A, yF , c I ,i .. ; , Planning Department artment o`A B , ,R ,; i_ e ,,. b c,���� " Omaha/Douglas Civic Center /f��.� 43, 1819 Farnam Street,Suite 1100 z �J 9 i ,1�a 2 3 i f } : 3 Omaha,Nebraska 68183-0110 '.r �► r o�,�- �.y a • • (402)444-5200 �0o ,- 4, (402)444-5150 47'Fo FEBIO fC i i y (.,?_ c;i Telefax(402)444-6140 City of Omaha June 3, rifg 0,.7 i f., N r.;t t I c. :; F Hal Daub,Mayor Honorable President and Members of the City Council, The attached proposed Resolution approves the Melcher Building Redevelopment Plan. The former Melcher Building site is located in the South Omaha Business District at 4826 South 24th Street. The redevelopment area is legally defined as the South 9 inches of Lot 4 and the North 20 feet of Lot 5, Block 78, Original City of South Omaha. The area is in a portion of the city that was declared blighted and substandard by the Omaha City Council on June 2, 1992. The original Melcher Building was destroyed by fire and the vacant lot is boarded up to protect public safety. This unsightly void is the only vacant space on either side of 24th Street between"M" and"N"Streets. The Redevelopment Plan proposes that the City acquire the site and seek proposals from developers to construct a new building on the site. The Plan authorizes the use of the eminent domain process to assist in the acquisition of the property. The proposed new structure could provide approximately 3,000 square feet of retail space on the ground level, storage space in the basement and space for apartments on the second floor. The proposed new building would be designed to maintain the integrity of the streetscape along 24th Street. The estimated cost of the project is $295,000. The City has allocated $100,000 in 1997 Community Development Block Grant funds to assist the project. The City Planning Board recommended approval of the Melcher Building Redevelopment Plan at its meeting on May 7, 1997. Your favorable consideration of this Resolution is requested. Sincerely, Referred City Council for Consideration: • ? • ✓ r./y•17 •74/ 4/r? 4141'Planning Department Director Date Mayor's Office/Title Date Ap ved as to Funding: pproved: .-_,af.,jr. . ) stsA., 6--/-3/1 7 �h its Louis A. D'Ercole �/ D to Don W. Elliott, P.E. Date Acting Finance Director Public Works Director P:\PLN2\3961.MAF PUBLICATION OF PUBLIC HEARING: June 5 and June 12, 1997 PUBLIC HEARING: June 24, 1997 '-} :' ., .:. • : , 1 1 MELCHER BUILDING REDEVELOPMENT PLAN 1 Omaha Planning Department April , 1997 O MELCHER BUILDING REDEVELOPMENT PLAN The Melcher Building Redevelopment Plan re-utilizes the former site of the Melcher Building in the South Omaha Business District. The Plan proposes the construction of a new building, which will recreate the historical exterior of the original structure. The proposed structure will provide approximately 3, 000 square feet of retail space on the ground level, 3, 000 square feet of storage space in the basement, and two, 750 square foot apartments on the second floor. The site of the Melcher Building Redevelopment Plan is located in South Omaha' s original business district on the west side of 24th Street between "M" and "N" Streets (See attached Map) . The redevelopment area is a vacant lot at 4826 South 24th Street legally defined as the South 9 inches of lot 4 and the North 20 feet of lot 5; Block 78, Original City of South Omaha. The site was originally developed as the Melcher Building which was destroyed by fire within the last five years. The Redevelopment site is in a portion of the city that was declared a blighted and substandard area by the Omaha City Council in 1992 . The redevelopment area is within the Community Development Block Grant Low and Moderate Income Area and is in the State Enterprise Zone. The Melcher Building Redevelopment Plan site faces east on 24th Street and is flanked by the Clarkson Primary Care clinic on the south and the Cardinal Bar on the north. Across 24th Street are several restaurants and other office/commercial entities . Many of the store fronts along South 24th Street have apartments on their upper levels, much like what is being proposed by this redevelopment plan. For several years the City of Omaha has assisted the redevelopment of the South Omaha Business. _ district through its Community Development Grant (CDBG) program. The City will advertise for a developer for the redevelopment of the Melcher Building site. The Redevelopment Plan calls for the City of Omaha to acquire the property and for the selected developer to construct a new building on the site. The proposed sources of funding include $100, 000 in CDBG funds from the City and approximately $195, 000 in private funds. The Redevelopment site is currently the only vacant lot on either side of the block in that portion of 24th Street. The street frontage is boarded up for safety reasons and the back, or west wall, remains intact to prevent access to the site from the ally. The development project would remove the unsightly and unsafe void left by the fire and demolition of the original building. The new structure will be designed to maintain the integrity of the streetscape along 24th Street and to fit the context of this older commercial district. The project will also add housing and contribute to commercial vitality of the area. 1 'CA7 49 EXISTING CONDITIONS Population and Demographics : The site of the Melcher Building Redevelopment Plan is located in Census Tract 32 in South Omaha. The close proximity of Census Tracts 26 and 27 , which are across 24th Street and to the north, also reflect the demographic conditions around the area. The three Census Tracts will be used as the demographic study area for this redevelopment plan. The population of Omaha increased by 6 .9 percent from 1980 to 1990, while the number of people in the three tract study area declined by 2 . 9 percent during the same period. The racial/ethnic composition of the people living within the study area consists primarily of white residents (87 . 6 percent) , a significant percentage is made up of Hispanic residents (21 . 7 percent) and a small proportion of African Americans (1 . 1 percent) . Economic conditions are somewhat more depressed in the South Omaha study area, compared to the rest of the City. The median housing value of $33 , 952 is 38 percent lower within the study area than the city. Similarly, per capita and median household incomes are approximately 33 percent lower than comparable city figures . The unemployment rate is considerably higher within the study area at 7 percent, compared to a city unemployment rate of 4 percent. In addition, the percent of households with low and moderate incomes is 58 percent within the study area, compared to 36 percent for the city. Census Tracts 26, 27, 32 Omaha 1980 Population 5,969 314,255 1990 Population 5,796 335,795 Gain (Loss) (2.9%) 6.9% White 5, 077 284, 603 Percent 87.6% 83.9% African American 82 43,989 Percent 1.1% 13 .1% Other 543 4, 517 Percent 9.4% 1.3% Hispanic 1,260 10,288 Percent 21.7% 3 .1% 1990 Housing Units 2,661 143, 612 Med. Value Own-Occ. Units $33,952 $54, 600 Per Capita Income $9, 346 $13, 957 Median Household Income $18, 302 $26, 927 2 Percent Low-Mod Income 58.3% 36% Percent Unemployed 6.9% 4.2% The vacant lot on which the redevelopment project is proposed occupies 3 , 000 square feet (20 'x150 ' ) . The 20 foot frontage is located on the west side of block between "M" and "N" Streets. This portion of 24th Street has no other vacant lots . In addition to the parallel parking along 24th Street, a public parking lot is a half block to the south on the same side of the street. Two bus lines along 24th Street provide access to the area using the public transportation system. The zoning for the Melcher Building Redevelopment Plan site and the surrounding area is Neighborhood Business District (NBD) and is well suited for the area (See attached Map) . The NBD zone provides development regulations that preserve the scale and integrity of established local business districts . The surrounding land uses include retail and commercial uses on lower levels and office or residential uses on upper floors. The existing public infrastructure met the needs of the area when the Melcher Building existed, and will be adequate upon its replacement. Gas and water mains, as well as storm and sanitary sewers, are located within street or alley rights-of-way. The South Omaha Business District is well served by the current street system and by public transportation. DEVELOPMENT PLAN The South Omaha business district has been the location of numerous city sponsored commercial, housing, and economic development activities. Previous South 24th Street activities which are similar to what is proposed in this redevelopment plan include: the Singer Building; the Mayfair Hotel; Packers National Bank; the Dale Building; the Metropolitan Church Goods Building; the South Park Building; the West Dodge Building; the Stockman- Brandes Building; the Roseland Theater; and the Vanous Block. The City of Omaha proposes to acquire the site of the former Melcher Building at 4826 South 24th Street. The City of Omaha will have the property appraised and will offer just compensation to the property owner. Every attempt will be made to acquire the property through negotiated agreement between the property owner and the City. In the event that the City is unable to negotiate the purchase, the Redevelopment Plan authorizes the use of the eminent domain process to assist in the acquisition of the property necessary to implement the plan. The City will advertise for a private developer to construct a commercial-residential structure on the former Melcher Building site. The site could accommodate approximately 3 , 000 square feet 3 of retail space on the ground level, two 750 square foot one bedroom apartments on the second floor, and 3, 000 square feet of clear span basement storage. Parallel parking is available along 24th Street and a public lot is less than a half block to the south. Financing for the project is proposed to include developer equity, private financing and City CDBG funds. The total estimated cost of the Redevelopment Plan is $295, 000 . The sources and uses of funds are shown on the following table. proposed Redevelopment Budget Use of Funds* Source of Funds_* Amount Property Acquisition CDBG Funds $15, 000 Construction and CDBG Funds 85, 000 Development Costs Private Funds 199 . 000 $295, 000 * Sources and uses of funds are estimates and may be revised pending final design and cost of improvements. The Melcher Building Redevelopment Plan is consistent with the Omaha Master Plan. The proposed construction of the commercial- residential structure in the South Omaha Business district is supported by the Concept Element' s goal to "Create healthy and diverse neighborhoods throughout the city" . Support for the activities proposed in this redevelopment plan are also found in the Housing Element which further specifies the importance and methods of creating and preserving neighborhoods . In addition, the Housing Element states as basic tenets the development of affordable housing and promotion of economic development activities . 4 • MELCHER BUILDING REDEVELOPMENT PLAN ZONING 1 1 1 i ,, . i n , i 12222 US HWY 275 L ST 2511 12 12 5 4 3 2 1 NBDo C 2 it 11 2 0 o < , �/ 4716 N10 347183 47181/4720 01 coo N 9 4 4722 4721 9 -8-8---4'--- (I) vv y 4724 7723—_—_— 0 • 4725 I 5 n w 8 ME 4727 8 5 a 4729 7 a 4731 6 2420 2416 6 4733 7 6 2422 2418 2412 M ST 2415 4802 2223 in 0 14 4804 14 1 4805 CO N. 4806 - 4808 4805 4807 17 o 4810 13 2 4809 as 3 13 7 8 2 4812 4809 4811 16 4011 m 4815 N 12 3 4816 12 8 Ell. 4817 4815 15 U) a 4819 - N 11 4 4822 4823 1 �.-— 4817 14 4824 4825 2 4822 to n ar ,•:i i.VW°�• ,i 4827 3 13 La 10 4829 1/� m CO 4 CO 5 4828 4831 g9 Enil - - ›- 483I 1/Z 12 N Q 4833 9 m 9 N 6 4832 4835 v 4837 11 X SN2p3�4p .56p 4839 8 7 W wr N N N N N 7 4841 N 10 N ST L M '' 0- N C 4901 n N N N .M 41 ' 1 O N N N 14 N N N 1 2401 4905 4903 14 6 5 4 3 2 1 - 4907 490. 1 - w - - -4910 '4909 . a�o' Z I 13 2 4912 13 4909 Z W 4914 4917 7 _ 4913 (0:0V (� Cr' 1 '"]Q 3 4916 4918 491912 8 4915 LL N / J 4 (V 4923 R (V `7 N 4922 4929 11 0 a_ --— P 14 2 o ,a 10 1 5 NBD-- 13 ri NBD 10 ato tn //� T ) Pr 12 o -V 1 6 4934 9 ---6--- 4929 Sl - ) 4931 �P 8 i 7 4938 - - 72310 • as 2434 _ I 493310 0 ST fiatiti:::::::iRedevelopment Area PUNNING-MAMA ', C-25A , 1 CITY OF OMAHA LEGISLATIVE CHAMBER Omaha,Nebr June 3 19'97 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 investment and development within inner-city neighborhoods; and to eliminate conditions which are detrimental to public health,safety and welfare,by developing underutilized property within these neighborhoods;and, WHEREAS,the Melcher Building Redevelopment Plan area,located at 4826 South 24th Street, is within an area declared"blighted and substandard and in need of redevelopment"by the City Council on June 2, 1992; and, WHEREAS, the Planning Department has prepared the Melcher Building Redevelopment Plan which calls for the acquisition of property and the construction of a new commercial structure; and, WHEREAS,Nebraska State Statute 18-2108 requires that the City of Omaha adopt a redevelopment plan before taking an active part in a redevelopment project; and, WHEREAS,the Melcher Building Redevelopment Plan was approved by the Omaha Planning board on May 7, 1997. NOW THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OMAHA: THAT,the attached Melcher Building Redevelopment Plan,prepared by the Omaha City Planning Department, be and hereby is approved as the Redevelopment Plan for the redevelopment area located at 4826 South 24th Street and legally defined as the South 9 inches of Lot 4 and the North 20 feet of Lot 5,Block 78, South Omaha,now a part of the City of Omaha, Douglas County,Nebraska, as surveyed, platted and recorded. APPROVED AS TO FO P:\PLN2\3962.MAF S ANT CITY /177 By .� Councilmember Adopted JUN 2...4...19.Q7 City Clerk Approved.. `' / ACTING, Mayor, ,Zik,kg V.k 0. . ,_. A) 4, ` N i' liu1HI `C Z I co ro `° �. '�` w ,t\ \ zb. I V�1 ano it t 0 5 c'' o c� c� c� a fit-\I\ `� N o� ri o ro `0 N (-) -.:' s'::4