MEMO - Re development of SuperValu
I Economic Development I
MEMORANDUM
TO: J; ~onorable Mayor and City Council
FROM: I [vJim Kerrigan, Director Planning & Economic Development
DATE: January 3, 2001
SUBJECT: Redevelopment of Supervalu North Annex Property, Medica Project
Purpo e of Memo
This memo will provide an overview of various issues for discussion by the Council at
the January 9 work session. At this session, staff is proposing a discussion of the
following three items:
· Site plan/traffic issues
· Public financial assistance
· 3-acre site north of Second Street
Representatives of Medica and their various consultants will be present at this meeting.
Overview
As the Council is aware, Medica is proposing a project that would locate their corporate
headquarters on the Supervalu North Annex property. The preliminary site plan, which
has been submitted to staff, details a total build-out on this property of approximately
600,000 square feet. 325,000 square feet would be occupied by Medica, with an
expansion at a future date of approximately 125,000 square feet. The other 150,000
square feet would probably be a separate building operated by an associated use.
Medica has contracted with a number of consultants to address the various aspects of
the proposed project. It is anticipated that the site plan as submitted will be revised to
address issues and concerns based on input from Medica, the City Council, the Zoning
& Planning Commission, the Park Board, and abutting neighborhoods.
Medica and their consultants have now held one informational meeting with the affected
neighborhoods. Over 500 notices of this meeting were mailed and only 35 persons
Memo to Mayor and City Council, January 3,2001 - Page 2
attended the meeting. Most of the comments related to traffic impacts. It is anticipated
that a second meeting will be scheduled in the near future.
The Zoning & Planning Commission reviewed the project on a concept basis at their
January 3 meeting. Attached are the minutes from that meeting.
The Park Board will also be discussing the proposed site plan at their next regular
meeting on January 22,2001.
I ues to Consider
Traffic
With a project the size being discussed, traffic management will be a major issue that
needs to be addressed. Medica has contracted with URS/BRW to address this matter.
Staff will utilize the services of Benshoof and Associates to review traffic design
elements. Consistent with previous discussions on the redevelopment of the North
Annex property, Medica will be looking at securing a new full-movement intersection at
Excelsior Boulevard. This would require coordination with both Hennepin County and
the CP Railroad.
Three curb cuts are detailed on Second Street North (one is restricted to service
vehicles). URS/BRW has estimated that approximately 25 percent of the vehicles
entering/exiting the site would use these access points.
Financial ,assistance
Medica has stated that to make this project feasible they will need to receive public
assistance. Specifically, they have discussed assistance with the following:
· Land costs
· Construction of structured parking
· Off-site improvements
· Building demolition
Medica is working with its consultants to define the specific amount of assistance that
will be required. Once this information is in an acceptable form and adequately
reviewed, staff will propose that the Council consider a preliminary tax increment
application.
Three acres north of Second Street North
Site plans as presented by Medica detail possibly constructing a small warehouse on
this property. Staff, on the other hand, has stated in discussions both with Supervalu
and Medica that there is a desire for the city to gain ownership of this property for a
snow storage lot. At the work session staff will discuss improvements that could be
made to this property if it was under City ownership.
Memo to Mayor and City Council, January 3,2001 - Page 3
Conclusion
No action is being requested at this time. The Council should detail any specific
information that they feel is necessary to proceed with this project. Also, it may be
appropriate to discuss future meetings.
Attachments
Letter from Hoisington Koegler dated 12-29-2000
Letter from Benshoof and Associates dated 12-26-2000
Plan proposal from RSP Architects dated 12-12-2000
Draft development schedule dated 1-3-01
Estimated changes in average daily traffic - URS
Estimated distribution of new site trips - URS
Minutes of 1-3-01 Zoning and Planning meeting
-Dee 2~ 00 OS:58a
p.2
Creative Solutions for Land Planning and Design
Hoisington Koegler Group Inc.
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December 29, 200.0
Mr. Ji1n Kerrigan
Planning and Economic D~velopment Director
City of Hopkins
1010 First Street South
Hopkins, MN 55343-7573
Re: Consultant Fees - Medica Project
Dear Jim:
Hoisington Koegler Group would be pleased to assist the City of Hopkins in its review of the
Medica Project consistent with the items that you outlined in your letter of December 19th.
Based on what I know at this tilne, our involvement in the project would likely include the
following tasks:
^,
Site Plan Review - Work with city statIto review site plan submittals required by Hopkins' City
Codes. Reviews would focus on overall layout, landscaping, signage and building materials as
appropriate. AU site plan review \-vork would be under the direction and coordination of Nancy
Anderson and would likely include review meetings with City staff and possible attendance at
Zoning and Planning C01tul1ission and/or City COllllCil meetings. The estimate of costs
associated with the site plan review services including three meetings with staff, the Commission
or the Council is $3,000.00. Services will be billed on an hourly basis consistent with the
attached fee schedule.
EA W or AUAR Review - At this time, it is yet to be determined if the proposed project will
require an EA W or an AU AR. In either case, HKGi will assist the City of Hopkins in the review
of the document and all supporting materials. The review will focus on the adequacy and
technical merit of the submitted docunlents and on a final recommendation to both the Zoning
and Planning Commission and City Council.
It is our understanding the B~n5hoof & Associates will review transportation issues and
information. If other specific disciplines are necessary for the environmental review, HKGi has
ongoing working relationships with consultants with expertise in wetlands, air quality, noise,
storm water runoff and other issues that may arise. We have worked directly with these
consultants in the past in preparing both EA W's and AUAR's. If needed, the services of these
consultants can be added to the project team.
'5:'
l'
The estimated fee for the EA W or ADAR review is $3,500.00 based on a "typical" review of the
environmental docunlents and nleetings with City staff. This fee does not include meetings with
State agency personnel or the services of other consultants that may be needed.
t..; \
123 North Third Street, Suite 100, Minneapolis, MN 55401-1659
Ph (612) 338-0800 Fx (612) 338-6838
"Dee 29 00 OS:58a
Mr. Jim Kerrigan
December 29,2000
Page 2
The estimates of tasks and co~ts that are identified herein are based on facts that are known at the
present time and are subject to change depending on specific project details. During the
completion of the work, we will keep the City ~pprised as to adherence to the proposed budget.
We will provide advanced notice if costs are likely to rise above the stated amounts or if
specialized assistance from outside consultants beconles necessary during reviews.
I appreciate this opportunity to provide this proposal for professional services to the City of
Hopkins. Plt~ase let me know if you !lave any questions or if I can provide any additional
information.
Sincerely,
~~~
R. Mark Kpegler, RLA
President
RMK:dbm
Attachment
p~ 3~,
nee 2~ 00 09:59a
ATTACHMENT 'A'
2001 HOURLY RATES
HOISINGTON KOEGLER GROUP INC.
Senior Principal.................. ......... ....... ..... ....... $90-13SIhr
Principal......:..................... ............................... $80-95/hr
f .
Professional II t..... ... ... ... ... ....... ....... .................. $60-75/hr
Professional I ...... .......... .... .......... .... ........... ...... $45-55/hr
Technical.............................. .............. .... .......... $35-501hr
Secretarial.............. ................. .............. ............ .... $40/hr
Testimony........................... ......,....... ......... .... ..... $150/hr
REIMBURSABLE EXPENSES
Mileage......................................... ............. ....... 33 ~/mile
Photocopying................ ....................... ............. 15~/page
Outside Printing. ..................... .............. ........Actual Cost
Diazo Printing.... ........... ..... .......... ............... ..Actual.Cost
Draft Plots.........................,........... ..:.............. $5.00 each
Vellum Plots. ....... ............... ......... ................. $10.00 eachoColor Plots ................................................... $20.00 each
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BENSH.OOF&ASSOCIATES, INC.....
TRANSPORTATION ENGINEERS AND PLANNERS,
1041'7 EXCELSIOR BOULEVARD, SUITE TWO' / HOPKINS, M~ 5~3431 (952) 238-1667 / FAX (952) ,23~~ 1671 ,
r~~ I
, ',December 26, 20.00
REFER TO FILE:
00 ~ 92
, Mr. Jim Kerrigan
City ofHopkfuS
1016 First Street S:
Hopkins, MN 55343
, , :RE:, Preliminary, Traffic Corinnents E..egarcli11;g Proposed Medic~ Develop~ent
Dear Jim:
.., ,-
, ,In' respons~ to your requeSt; this ,is' to provide our preliminary comments regardiQg tiaffic '
- considerations for the proposed Medica development~ For the past several weeks, we haY~
parti~ipated ~nthe CitY's behalf in reviewing traffic aspects of the proposed Medica '
'development. DUring this_ period of time, we havep'articipated in two meetings with C~ty staff'
and devel9pment team members, have reviewed a preliminary memo and worksheets' submitted
, 'by th~ developer's traffic consultant, URSIBRW, and have reviewedthe traffic portion ,of the '
development booklet submitted on December 18,2000.
, '
I
, -
, 'In addition tc? the inv()lvements describ~d in the preceditig,pa,ragraph, we also ~ve prepared two
, items ~o assist in e~blishing a appropriate' framework fof, the traffic analysis. These two it~ms,
both' of which are enclosed, are: ' , '
/ ,," ',- ,
, "
. - Draft ~crelated issues for propo~edMedica development in ~ity'ofHQpidns; ,
Novemb~r 27,2000, ' ' , __ , ' ,
. ,Sugg~sted prinCipal pa~eters for traffic analysis of propos'~d Medica Development" '
, December 15;2000 ,'-
, We are satisfied that $e'traffic portion of the development.booklet ~ted Decembe! l,~~ 2000,
'pro~ides ,an appropriate tr3ffic overvie'Y' and, demon~~ates the developer's cotnmitmtmt to '
, complete a detailed traffic study, whi~h will iddress the 'issues and parameters identified in 'ollr
enc1osed,s~bnuttals~ . " ,- ,- j" " '
We will3:wait further communica~ons 'from you, in terms' of any qu~stions about thi~'letter anelfor' ,
,next 'steps to,accompljsh., l '
Sincerely, " "
.
t\~~H? '& ASSOCIATES, INC.
, -,~:~. Benshoof
l,
Enc. ,Traffic Issues,and A1?alysis Parameters Sheets, dated November 27; 2000, 'and Dec~mber
" ' ,15, 2000,-re~pectively', " " , " ',' - " " , ',' -' , , 'c, . " ,,", ' ,
-.,
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BENSHOOF & ASSOCIATES, INC.
TRANSPORTATION ENGINEERS AND PLANNERS
10417 EXCELSIOR BOULEVARD, SUITE TWO 1 HOPKINS, MN 553431 (952) 238~16671 FAX (952) 238-1671
REFER TO FILE:
December 15, 2000
00 - 92
SUGGESTED PRINCIPAL PARAMETERS FOR TRAFFIC ANALYSIS
OF PROPOSED MEDICA DEVELOPMENT
CURRENT DEVELOP1ffiNT CONCEPT
As we understand, the current development concept consists of the following three components:
a) Initial Medica headquarters of 325,000 sq. ft. to be occupied in late 2003.
b) Building of 125,000 sq. ft. to accommodate future Medica growth. This building likely would
be occupied by late 2008 or early 2009.
c) Office building of 150,000 sq. ft. to be occupied by late 2003 with one or more tenants other
than Medica.
TRAFFIC ANALYSIS SCENARIOS
Based on the preceding development parameters; the traffic analysis should be conducted for the full
development scenario. According to normal procedures, the analysis would be for conditions in 2010, year
after full completion. The analysis should account for 450,000 sq. ft. of corporate headquarters space
occupied by Medica and a non-Medica office building of 150,000 sq. ft. We would suggest that the non-
Medica building be considered as a multi-tenant office use.
TRAFFIC ANALYSIS P AMMETERS
We would suggest that the traffic analysis should account for the following items:
a) Analyze conditions during both the weekday a.m and p.m peak periods.
b) Analyze potential traffic impacts at the following intersections:
St. Louis Street/site access/connecting road to Excelsior Blvd.
Excelsior Blvd. and west ramps for TH 169
Excelsior Blvd. and east ramps for TII 169 "
Excelsior Blvd. and new full access intersection serving site
Excelsior Blvd. and Blake Road
TH 7 and Blake Road
TH 7 and 5th Avenue
5th Avenue and Minnetonka Mills Road
c) Account for metering of entrance ramps to TH 169.
d) Account for potential diversion of trips that nonnally would use TH 169 to alternative local
routes.
e) Account for items listed on Draft Traffic Related Issues sheet dated November 27, 2000.
BENSHOOF & ASSOCIATES, INC.
TRANSPORTATION ENGINEERS AND PLANNERS
10417 EXCELSIOR BOULEVARD, SUITE TWO 1 HOPKINS, MN 553431 (952) f38-1667 1 FAX (952) 238-1671
November 27, 2000
00 - 92
DRAFT TRAFFIC RELATED ISSUES FOR PROPOSED MEDICA
DEVELOPMENT IN CITY OF HOPKINS
a) Need to address traffic implications and candidate solutions on a broad basis,
including all roadways, intersections, and neighborhoods that may be affected.
b) Provide a full access intersection on Excelsior Boulevard that:
- Provides adequate level of service for all movements during the a.m. and p.m.
peak hours
- Provides safe operations
- Does not cause serious adverse impacts for the neighborhood to the south
- Effectively correlates with planned improvements for Excelsior Boulevard
- Effectively correlates with the City's overall roadway system
- Provides effective crossing of Excelsior Boulevard for the regional trail and
for a potential future busway
- Provides a positive response to criteria applied by the County, MnlDOT, and
railroad companies
c) Avoid adverse impacts on Minnetonka Mills Road west of TH 169, on 2nd Street east
to Blake Road, and on nearby neighborhoods.
d) Avoid adverse impacts on other nearby properties (e.g. Alliant Tech).
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ZONING AND PLANNING COMMISSION MINUTES
January 3, 2001
A regular meeting of the Hopkins Zoning and Planning Commission was held on Wednesday,
January 3, 2001, at 6:30 p.m. in the Council Chambers of Hopkins City Hall.
Present were Commission Members John Szuba, Ross Bartz, Bruce Rowan, Maura Swanson, Jay
Thompson, and Eric Rudolf. Maureen Allen was absent.
Also present were City Planner Nancy Anderson, Director of Planning and Economic Development,
Jim Kerrigan, and Public Works Director Steve Stadler.
CALL TO ORDER
Ms. Swanson called the meeting to order at 6:30 p.m.
APPROVAL OF MINUTES
Mr. Bartz moved and Mr. Szuba seconded the motion to approve the minutes of the November 28,
2000, regular meeting. The motion was approved on a 6-0 vote.
CASE NO: ZCROO-l CONCEPT REVIEW - MEDICA
Jim Kerrigan gave an update on the Medica development.
Steve Elison of Medica appeared before the Commission. Mr. Elison stated that they are working
with Supervalu towards a purchase agreement. Medica is proposing to move in the fourth quarter of
2003.
Rich Barda of RSP Architects appeared before the Commission. Mr. Barda reviewed the site plan
with the Commission. The Phase I for Medica would include three buildings with the ability to
construct another building for expansion. There is space on the site for another user. The site plan
indicates this building would be located on the south side of the building.
John Dietrich of RLK Kuusisto L TD appeared before the Commission. Mr. Dietrich stated that the
existing site is almost 100 percent impervious. The new site will have green space and the drainage
will be directed to the ponds to the west and the discharge will be controlled. The area drainage
will be improved with the new development.
Miles Lindberg, the traffic consultant from URSIBRW, appeared before the Commission. Mr.
Lindberg stated that the detailed design issues have not been determined. Mr. Lindberg is
anticipating that 75 percent of the traffic enters/exits the site from Excelsior Boulevard. Mr.
Lindberg was asked why Monroe was the preferred controlled intersection. Mr. Lindberg stated
that there was an existing railroad crossing and if the intersection were made at Jackson an
additional railroad crossing, would be needed. Also, the Monroe intersection required no
acquisition of additional land.
Ms. Anderson reviewed Benshoof and Associates' and Hoisington Koegler's review of the concept
plan. Ms. Anderson noted that Mr. Koegler is suggesting that building (s) be constructed along
Excelsior Boulevard and not a parking lot.
MINUTES OF THE ZONING AND PLANNING MEETING
Page 2
Steve Levy, the neighborhood president for the Presidents Avenues, appeared before the
Commission. Mr. Levy was concerned with the intersection of Monroe Avenue and does not like
the parking lots abutting Excelsior Boulevard.
Vince Schreier of Madison Avenue North appeared before the Commission. Mr. Schreier was
concerned about the three-acre parcel, north of Second Street. Mr. Schreier was also concerned
about the traffic on Second Street.
Rob Healy of Van Buren Avenue North appeared before the Commission. Mr. Healy was
concerned with the additional traffic on Second Street and the traffic that would be generated if the
Alliant Tech use changes. Mr. Healy suggested making Tyler a through street.
Steve Shaw of Monroe Avenue appeared before the Commission. Mr. Shaw was concerned with
the access points on Second Street and also the affect on fire and police response time.
Pete Barta of218 Herman Terrace appeared before the Commission. Mr. Barta was concerned with
the traffic and speed on Second Street.
ITEM: RECAP OF 2000 ACTIVITIES
Ms. Anderson reviewed the 2000 activities of the Commission.
ADJOURN
Ms. Rowan moved and Mr. Bartz seconded the motion to adjourn the meeting. The motion was
approved unanimously. The meeting was adjoined at 8:30 p.m.
MEMBERS
ATTEST:
Maura Swanson, chair