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Hopkins Park Plaza Concept Discussion; Elverum CITY OF HOPKINS Memorandum To: Honorable Mayor and City Council Mike Mornson, City Manager From: Kersten Elverum, Planning & Economic Development Director Jason Lindahl, City Planner Date: March 8, 2022 Subject: Hopkins Park Plaza Concept Discussion _____________________________________________________________________ PURPOSE Hopkins Park Plaza, LLC would like to discuss redevelopment of a portion of their current site located on Mainstreet between 5th and 6th Avenues. No action is necessary by the City Council for this item. INFORMATION The ownership of the Hopkins Park Plaza property has presented a concept for a redevelopment of a portion of their property that also includes three City of Hopkins- owned parcels: 501 & 525 Mainstreet and 15 - 6th Avenue North. Attached please find the property owner’s narrative and concept drawings. According to this information, the property owner would like to acquire the three HRA lots on this block, demolish three of their existing buildings and develop two new multiple unit apartment buildings on approximately 1.7 acres of the block. They would leave three of the existing buildings in place and have indicated a willingness to make additional improvement to these buildings and guarantee a certain level of affordability for a percentage of these units. According to the property owner, one building will consist of 85 units and will be restricted to tenants 55 years of age and older. This building will consist of one bedroom, one bedroom plus den, two bedroom and two bedroom plus den units ranging in size from 760 to 1,350 square feet. The larger unit sizes respond to the demands of the 55+ age group in the Hopkins area. This building will feature numerous amenity and common areas, including an outdoor recreational plaza. The second building will have 87 units, primarily studio and alcove-style apartments ranging in size from 475 to 630 square feet, with a small number of one bedroom units. The concept was refined to reflect feedback provided at the January 7th City Council goal setting session. Initially they had contemplated a redevelopment of the entire existing development and a building height of 5 stories. The feedback from the City Council was a concern over the height, preferring a 4-story development at Mainstreet and dropping down to 3 stories at 1st Street North. There was also a feeling that without affordability or any other community benefit, there was not a compelling case Planning & Economic Development Department for the creation of a Tax Increment Financing District or land donation. The revised concept that the owner’s representatives would like to share at the March 8, 2022, City Council work session attempts to address these concerns. In order to move forward with development, the owner would need cooperation from the City of Hopkins on the transfer of City-owned property and as indicated in the attached narrative, the use of Tax Increment Financing. The amount of financial assistance is unknown at this time. According to the property owner, their timeline for beginning the city review process for this concept is at least the 3rd quarter of 2022. Given that timeline, staff has informed them they should be applying the working draft of the new zoning code to their plans. The attached plans appear generally consistent with the anticipated new zoning standards (use, height, setback, exterior design and parking) for this area. Staff will process any land use applications received using the zoning regulations in place at the time and if a new zoning code is not in place would anticipate the use of a planned unit development (PUD) for any potential zoning deviations. FUTURE ACTION The owner is asking for feedback from the City Council on the willingness to partner on this development proposal before they move forward with a more refined concept and a review of a project proforma that would indicate the level of public financial assistance needed. If the City Council indicates support, future action would include land use approvals and the negotiation of a development agreement. ATTACHMENTS • Site Location Map • Narrative • Concept Drawings Site Location Map - Hopkins Park Plaza Subject property PROJECT OVERVIEW Hopkins Park Plaza – 5th on Main Concept Proposal Hopkins Park Plaza LLC proposes to redevelop a portion of its current site located on Mainstreet between Fifth and Six Avenues in downtown Hopkins. The Developer currently owns six buildings on the block. The Hopkins Housing and Redevelopment Authority (HRA) owns three lots on the same block interspersed among the Developer’s buildings. The Developer proposes to acquire the three lots from the HRA, demolish three of the current buildings on the current campus and develop two new buildings on an approximately 75,351 square feet of the block. The development will be comprised of two buildings, each four stories in height. One building will consist of 85 units and will be restricted to tenants 55 years of age and older. This building will consist of one bedroom, one bedroom plus den, two bedroom and two bedroom plus den units ranging in size from 760 to 1,350 square feet. The larger unit sizes respond to the demands of the 55+ age group in the Hopkins area. This building will feature numerous amenity and common areas, including an outdoor recreational plaza. Hopkins has a strong demand for units of this type. Rents will likely average $2.33 per square foot, depending on unit size and location. The second building will have 87 units, primarily studio and alcove-style apartments ranging in size from 475 to 630 square feet, with a small number of one bedroom units. Rents will likely average $2.74 per square foot. It, too, will have common amenity areas and an outside plaza. The two buildings will serve different communities and will generally feature separate amenity areas. The buildings will share a common parking platform providing approximately 300 parking spaces. Storm water will be managed with underground storage and filtration tanks; one on the north side of the site and one on the south side. The Project can be constructed within the parameters of the new zoning code currently being finalized without major variance requirements. A key element of the Project design is the ability to create the desired housing within a four story profile and at the same time enhance the Project’s Mainstreet presence. The Developer seeks input and guidance from the City Council as it develops the Project’s concept design. As part of the entitlement package, the Developer will ask the City to convey to the Project the three HRA-owned lots and to approve tax increment financing for specified TIF qualified site improvements. Given the density limits imposed on the site and the high cost of construction, TIF support will be an essential component of the Project and but for TIF the Project will not be viable. 2 The Project meets a number of key City priorities and objectives, providing a strong rationale for City participation in the Project through the conveyance of the HRA lots and TIF support. These priorities and objective include: · The enhanced and activated use of Mainstreet while furthering the Mainstreet design plan and standards; · Providing added housing density at the levels desired by the City; · Removing three aging and past their prime structures and, if TIF is implemented, the rehabilitating and improving the interiors and exteriors of the remaining buildings and the landscaping surrounding them; · Providing needed market rate housing to Hopkin’s residents 55 and older; · Providing competitively priced market rate housing in smaller units matching the housing and economic requirements of the Hopkin’s workforce segment; · If TIF is supported, ensuring that the current Naturally Occurring Affordable Housing (NOAH) units are improved and enhanced; · If TIF is supported, committing that a portion of the NOAH units remain affordable for the long term by imposing an affordable covenant on units equal to 10% of the number of new units developed. We look forward to presenting the Project to the City Council and receiving the Council’s feedback and comments. MAINSTREET AND 5TH AVE N, HOPKINS, MN ZONING CURRENT PRIMARY ZONING B-3: General Business R-4: PUD CURRENT DOWNTOWN OVERLAY N/A PROPOSED REZONING PUD PARKING REQUIRED PARKING REQUIRED 260 STALLS (173 UNITS x 1.5) PARKING PROVIDED INT 317 STALLS 8 ADA STALLS 177 STANDARD STALLS 132 COMPACT STALLS PARKING PROVIDED TOTAL 317 STALLS BIKE PARKING REQUIRED 87 SPACES (1 per 2 UNITS) PROVIDED 87 SPACES SITE* TOTAL AREA 75,351 SF SITE AREA -BUILDING FOOTPRINT (55+ BUILDING) 29,400 SF SITE AREA -BUILDING FOOTPRINT (MICRO BUILDING)17,125 SF Copyright 2022 DJR Architecture, Inc. CONCEPT MATRIX MAINSTREET AND 5TH AVE N, HOPKINS, MN 5TH ON MAIN 21-124 02.28.2022 AREA SCHEDULE (55+) Name Level Area 1BR LEVEL 1 2,309 SF 1BR+D LEVEL 1 4,554 SF 2BR LEVEL 1 9,220 SF AMENITY LEVEL 1 3,272 SF CIRCULATION LEVEL 1 3,172 SF LOBBY LEVEL 1 5,001 SF MEP LEVEL 1 345 SF TRASH LEVEL 1 105 SF LEVEL 1 27,979 SF 1BR LEVEL 2 2,309 SF 1BR+D LEVEL 2 4,554 SF 2BR LEVEL 2 16,259 SF 2BR+D LEVEL 2 1,358 SF CIRCULATION LEVEL 2 3,172 SF MEP LEVEL 2 345 SF TRASH LEVEL 2 105 SF LEVEL 2 28,103 SF 1BR LEVEL 3 2,309 SF 1BR+D LEVEL 3 4,554 SF 2BR LEVEL 3 16,259 SF 2BR+D LEVEL 3 1,358 SF CIRCULATION LEVEL 3 3,172 SF MEP LEVEL 3 345 SF TRASH LEVEL 3 105 SF LEVEL 3 28,103 SF 1BR LEVEL 4 2,309 SF 1BR+D LEVEL 4 4,554 SF 2BR LEVEL 4 16,259 SF 2BR+D LEVEL 4 1,358 SF CIRCULATION LEVEL 4 3,172 SF MEP LEVEL 4 345 SF TRASH LEVEL 4 105 SF LEVEL 4 28,103 SF Grand total 112,287 SF AREA SCHEDULE (MICRO) Name Level Area ALCOVE LEVEL 1 8,850 SF CIRCULATION LEVEL 1 2,767 SF LOBBY LEVEL 1 2,371 SF MEP LEVEL 1 349 SF STUDIO LEVEL 1 1,943 SF TRASH LEVEL 1 273 SF LEVEL 1 16,553 SF ALCOVE LEVEL 2 10,774 SF CIRCULATION LEVEL 2 2,112 SF MEP LEVEL 2 349 SF STUDIO LEVEL 2 3,130 SF TRASH LEVEL 2 273 SF LEVEL 2 16,639 SF ALCOVE LEVEL 3 10,774 SF CIRCULATION LEVEL 3 2,112 SF MEP LEVEL 3 349 SF STUDIO LEVEL 3 3,130 SF TRASH LEVEL 3 273 SF LEVEL 3 16,639 SF ALCOVE LEVEL 4 10,774 SF CIRCULATION LEVEL 4 2,112 SF MEP LEVEL 4 349 SF STUDIO LEVEL 4 3,130 SF TRASH LEVEL 4 273 SF LEVEL 4 16,639 SF Grand total 66,468 SFPARKING SCHEDULE Type Level Count LEVEL P2 8' x 16' - COMPACT LEVEL P2 5 8' x 20' - COMPACT LEVEL P2 9 9' x 16' - COMPACT LEVEL P2 52 9' x 20' - ADA LEVEL P2 4 9' x 20' - STANDARD LEVEL P2 93 163 LEVEL P1 8' x 16' - COMPACT LEVEL P1 5 8' x 20' - COMPACT LEVEL P1 12 9' x 16' - COMPACT LEVEL P1 49 9' x 20' - ADA LEVEL P1 4 9' x 20' - STANDARD LEVEL P1 84 154 Grand total: 317 AREA SCHEDULE (P1-P2) Name Level Area BIKE LEVEL P2 1,440 SF CIRCULATION LEVEL P2 1,797 SF MEP LEVEL P2 1,781 SF PARKING LEVEL P2 57,529 SF STORAGE LEVEL P2 1,265 SF LEVEL P2 63,811 SF BIKE LEVEL P1 2,026 SF CIRCULATION LEVEL P1 1,797 SF MEP LEVEL P1 1,037 SF PARKING LEVEL P1 58,585 SF TRASH LEVEL P1 651 SF LEVEL P1 64,096 SF Grand total 127,906 SF AREA SCHEDULE (55+) TOTAL UNITS Name Level Area Count 1BR LEVEL 1 2,309 SF 3 1BR+D LEVEL 1 4,554 SF 5 2BR LEVEL 1 9,220 SF 8 LEVEL 1 16,083 SF 16 1BR LEVEL 2 2,309 SF 3 1BR+D LEVEL 2 4,554 SF 5 2BR LEVEL 2 16,259 SF 14 2BR+D LEVEL 2 1,358 SF 1 LEVEL 2 24,479 SF 23 1BR LEVEL 3 2,309 SF 3 1BR+D LEVEL 3 4,554 SF 5 2BR LEVEL 3 16,259 SF 14 2BR+D LEVEL 3 1,358 SF 1 LEVEL 3 24,479 SF 23 1BR LEVEL 4 2,309 SF 3 1BR+D LEVEL 4 4,554 SF 5 2BR LEVEL 4 16,259 SF 14 2BR+D LEVEL 4 1,358 SF 1 LEVEL 4 24,479 SF 23 Grand total 89,521 SF 85 AREA SCHEDULE (MICRO) TOTAL UNITS Name Level Area Count ALCOVE LEVEL 1 8,850 SF 14 MEP LEVEL 1 349 SF 1 STUDIO LEVEL 1 1,943 SF 4 LEVEL 1 11,141 SF 19 ALCOVE LEVEL 2 10,151 SF 16 MEP LEVEL 2 349 SF 1 STUDIO LEVEL 2 3,130 SF 6 LEVEL 2 13,630 SF 23 ALCOVE LEVEL 3 10,151 SF 16 MEP LEVEL 3 349 SF 1 STUDIO LEVEL 3 3,130 SF 6 LEVEL 3 13,630 SF 23 ALCOVE LEVEL 4 10,151 SF 16 MEP LEVEL 4 349 SF 1 STUDIO LEVEL 4 3,130 SF 6 LEVEL 4 13,630 SF 23 Grand total 52,031 SF 88 03.03.2022 Copyright 2022 DJR Architecture, Inc. EXISTING CONDITIONS -SURVEY MAINSTREET AND 5TH AVE N, HOPKINS, MN 5TH ON MAIN 21-124 02.28.202210" Sanitary (Per Rec.)8" Sanitary (Per Rec.) 8" Sanitary (Per Rec.)15" Storm (Per Rec.)15" (Rec.)15" (Rec.)12"(Rec. )15"(Rec.)15"(Rec.)12"(Rec.) 15" (Rec.) 15" Storm (Per Rec.)12" W.M. (Per Rec.)6" W.M. (Per Rec.) 6" W.M. (Per Rec.)N89°30'27"E 63.69N89°09'53"E 122.66N03°23'41"E 245.93S89°08'43"E 122.45S03°23'41"W 542.23 S89°15'24"W 307.79N03°09'50"E 300.78 1.06 S03°23'41"W P.I.D. 24-117-22-42-0005 Address: 33 6th Ave N Owner: Puntnam Properties LLC 5TH AVENUE NORTH (A Public R/W) P.I.D. 24-117-22-42-0009 Address: 501 Mainstreet Owner: Hsg/Redeve Auth City of Hopkins P.I.D. 24-117-22-42-0016 Address: 10 5th Ave N Owner: Hopkins Park Plaza LLC P.I.D. 24-117-22-42-0015Address: 24 5th Ave NOwner: Hopkins Park Plaza LLCP.I.D. 24-117-22-42-0013Address: 30 5th Ave NOwner: Hopkins Park Plaza LLCP.I.D. 24-117-22-42-0014 Address: 36 5th Ave N Owner: Hopkins Park Plaza LLC P.I.D. 24-117-22-42-0012 Address: 44 5th Ave N Owner: Hopkins Park Plaza LLC P.I.D. 24-117-22-42-0017Address: 15 6th Ave NOwner: Hsg/Redeve Auth City of HopkinsP.I.D. 24-117-22-42-0018Address: 13 6th Ave NOwner: Hopkins Park Plaza LLCP.I.D. 24-117-22-42-0019Address: UnassignedOwner: Hopkins Park Plaza LLCP.I.D. 24-117-22-42-0018 Address: 13 6th Ave N Owner: Hopkins Park Plaza LLC 6TH AVENUE NORTH (A Public R/W)MAINSTREET(A Public R/W)1ST STREET N(A Public R/W)Bituminous Parking Lot Bituminous Parking Lot Bituminous Parking Lot Bituminous Parking Lot Concrete Concrete Sidewalk Concrete Sidewalk Concrete SidewalkGuard Rail ConcreteConcrete Wall C.L. Fence C.L. Fence C.L. Fence 30.5 35.911.27.913.115.16.012.214.5 22.614.622.575.2 48.474.948.048.2 75.248.175.246.079.8 46.480.1 45.6 2 0 . 9 8.4 3.671.4 0.73.8 32.2149.248.148.1 75.346.575.213.9 17.31.9 25.91.9 35.918.278.9N 60153001530 SCALE IN FEET = HOPKINS PARK PLAZA OWNED LOTS = HRA OWNED LOTS 03.03.2022 NCopyright 2022 DJR Architecture, Inc. EXISTING CONDITIONS -SATELLITE VIEW MAINSTREET AND 5TH AVE N, HOPKINS, MN 5TH ON MAIN 21-124 03.03.2022 1" = 100'-0" EXISTING CONDITIONS -SATELLITE VIEW 6th AVE N MAINSTREET1st ST N150' 40' 35' 35' 7th AVE N 5th AVE N 48' 49'NCopyright 2022 DJR Architecture, Inc. CONCEPT SITE PLAN -LEVEL 1 MAINSTREET AND 5TH AVE N, HOPKINS, MN 5TH ON MAIN 21-124 03.03.2022 1" = 100'-0" CONCEPT SITE PLAN -LEVEL 1 6th AVE N MAINSTREET5th AVE N 1st STREET NEXISTING BUILDING EXISTING BUILDING EXISTING BUILDING EXISTING BUILDING EXISTING BUILDING STORAGE TRASHMEPCIRCULATION AMENITY AMENITY ACTIVE COMMON AREA 1BR 1BR 1BR+D 1BR+D 2BR 2BR CIRCULATION AMENITY 1BR+D 2BR 2BR2BR 2BR 2BR2BR1BR+D1BR+D1BR CIRCULATION ACTIVE COMMON AREA CIRCULATION STUDIO + ALCOVE STUDIO + ALCOVE STUDIO + ALCOVE TRASH MEP STUDIO + ALCOVE STUDIO + ALCOVE STUDIO STUDIO + ALCOVE STUDIO + ALCOVE STUDIO STUDIO STUDIO STUDIO + ALCOVE STUDIO + ALCOVE STUDIO STUDIO + ALCOVE STUDIO + ALCOVESTUDIO + ALCOVE STUDIO + ALCOVE STUDIO + ALCOVE MEP AMENITY DECK AMENITY DECK DN NCopyright 2022 DJR Architecture, Inc. CONCEPT FLOOR PLAN -LEVEL 1 MAINSTREET AND 5TH AVE N, HOPKINS, MN 5TH ON MAIN 21-124 03.03.2022 1" = 40'-0" CONCEPT FLOOR PLAN -LEVEL 1 2BR+D2BR2BR1BR+D1BR+D1BR1BR2BR 2BR 2BR 2BR 2BR 2BR CIRCULATION 1BR 1BR+D 1BR+D 2BR 2BR MEP 1BR+D 2BR 2BR 2BR2BR STUDIO STUDIO + ALCOVE STUDIO + ALCOVE STUDIO CIRCULATION STUDIO + ALCOVE STUDIO + ALCOVE STUDIO + ALCOVE TRASH MEP STUDIO + ALCOVE STUDIO + ALCOVE STUDIO STUDIO + ALCOVE STUDIO + ALCOVE STUDIO STUDIO + ALCOVE STUDIO STUDIO + ALCOVE STUDIO + ALCOVE STUDIOSTUDIO + ALCOVE STUDIO + ALCOVESTUDIO + ALCOVE STUDIO + ALCOVE STUDIO + ALCOVE STORAGE TRASHMEP AMENITY CIRCULATION CIRCULATION CIRCULATION AMENITY CIRCULATION CIRCULATION NCopyright 2022 DJR Architecture, Inc. CONCEPT FLOOR PLAN -LEVELS 2-4 AND ROOF MAINSTREET AND 5TH AVE N, HOPKINS, MN 5TH ON MAIN 21-124 03.03.2022 1" = 40'-0" CONCEPT FLOOR PLAN -LEVELS 2-4 1" = 40'-0" CONCEPT FLOOR PLAN -ROOF UP UP BIKE BIKE BIKE CIRCULATION MEP CIRCULATION MEP CIRCULATION PARKING PARKING MEP CIRCULATION CIRCULATION MEP CIRCULATION STORAGE DN DN BIKE BIKE BIKE TRASH CIRCULATION MEP CIRCULATION CIRCULATION BIKE MEP CIRCULATION TRASHCIRCULATION MEP CIRCULATION PARKING PARKING NUP Copyright 2022 DJR Architecture, Inc. CONCEPT FLOOR PLAN -LEVEL P2 AND P1 MAINSTREET AND 5TH AVE N, HOPKINS, MN 5TH ON MAIN 21-124 03.03.2022 1" = 40'-0" CONCEPT FLOOR PLAN -LEVEL P2 1" = 40'-0" CONCEPT FLOOR PLAN -LEVEL P1 Copyright 2022 DJR Architecture, Inc. CONCEPT EXTERIOR ELEVATION AND PERSPECTIVE VIEWS MAINSTREET AND 5TH AVE N, HOPKINS, MN 5TH ON MAIN 21-124 03.03.2022 1/16" = 1'-0" CONCEPT ELEVATION -MAINSTREET CONCEPT VIEW -CORNER OF MAINSTREET AND 6TH AVE NORTH CONCEPT VIEW -CORNER OF MAINSTREET AND 5TH AVE NORTH Copyright 2022 DJR Architecture, Inc. CONCEPT EXTERIOR ELEVATION AND PERSPECTIVE VIEWS MAINSTREET AND 5TH AVE N, HOPKINS, MN 5TH ON MAIN 21-124 03.03.2022 1" = 20'-0" CONCEPT ELEVATION -6th AVENUE NORTH CONCEPT VIEW -CORNER OF 6TH AVE NORTH AND MAINSTREETCONCEPT VIEW -6TH AVE NORTH FACADE AT MID-BLOCK