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Staff Summary Special Joint Meeting with Minnetonka City Council and Hopkins December 12, 2006 '� a a „� � STAFF SUMMARY CITY OF HOPKINS SPECIAL JOINT MEETING MINNETONKA CITY COUNCIL AND HOPKINS CITY COUNCIL TUESDAY, DECEMBER 12, 2006 Council Present: Minnetonka Council Members Bob Ellingson, Terry Schneider, AI Thomas, Tony Wagner, and Brad Wiersum. Hopkins Mayor Gene Maxwell, Hopkins Council Members Kristi Halverson, Bruce Rowan, Jay Thompson and Cheryl Youakim (arrived 6:50 p.m.) Staff Present: Minnetonka: John Gunyou, Ron Rankin, Lee Gustafson, Julie Wischnack. Hopkins: Rick Getschow, Jim Kerrigan, Steve Stadler, Kersten Elverum. Others Present: Mark Koegler of Hoisington-Koegler, Jim McComb of McComb Group, Craig Twinem of Hennepin County Transportation Department, Hennepin County Commissioner Linda Koblick (arrived 6:40 p.m.), EDA President Peter St. Peter, EDA Members Dan Duffy, Dave Larson, Bunny Robinson and Bob Walker and EDA Student Representative Liz Bayer. Others: Ed Ring, Gary Johnson. , Mayor Maxwell called the meeting to order at 6:30 p.m. 1. JOINT DISCUSSION REGARDING SHADY OAK ROAD IMPROVEMENT PROJECT Gunyou explained the funding cut by Hennepin County and announced Phil Eckert will replace Larry Blacksted. He stated that the economic development planning should be wrapped up at the end of January, and there should be a joint Council meeting January 29 or 30. He said the numbers should be ready at that time for Hennepin County budget planning. He said Hennepin County is committed to road construction money but there is no capacity for early takings. He assumes we will get money in next year's County budget, but if not there will be a long-term hole. In response to a question from Mayor Maxwell, he stated he did not think there was a chance the road will be reduced to 3 lanes. Twinem stated that roadway and portion of acquisition is funded. Gustafson stated that if community works money is never replaced, cities may have to find money. We should know in 9-12 months. Thomas suggested discussing money from cities at a later time. Maxwell stated Hopkins has larger portion of acquisitions so will have to consider carefully. Maxwell asked if road is set as planned. Gunyou replied "yes." Getschow stated that we are orr a shorter time line now, but will get it done. We lost $9 million community works portion. Thompson stated he supported project based on County support; how long before we get information from County? St. Peter asked how much roadway construction was embedded in County money. Gunyou replied we'll • have numbers in a month, but won't know County commitment. Koegler stated they'll � � have produ�t both cities can use by end of January, but not as detailed as design -: �:, �; guidelines. Schneider suggested extending time line for sufficient detail. Duffy asked �,�,�' about other options. Maxwell asked about state or Met Council possibilities. Gunyou & Maxwell commented that road project without development may not make sense. Robinson asked what projects ours was bumped for. Gustafson, in response to a comment, said the north service drive was not impacted—already cheapest option. Getshow said abbreviated redevelopment study was planned to be presented to County, but I'm hearing there will be a problem if the cities have to put money in. Where is the breaking point? Gustafson stated we have time to figure out, opportunities to work out, i.e., swap property, even with just the transportation money. Schneider concurred with Thompson regarding roadway without redevelopment, suggested maybe time line should be extended. Wiersum concurred. Koegler began his presentation by introducing McComb, who he said will give an overview of the market condition. Koegler explained that the planned station stops are '/2 mile from the roadway project, which is an opportunity for the site. He said his plan has two components: areas most impacted (most takings) and areas for long-term planning. The community works funds wou)d be most useful to acquire the VFW, which would open up the most opportunity for redevelopment. McComb, in his overview, stated that many of the businesses are convenience and service types patronized by locals and those who drive by on Shady Oak Road. The destination businesses are the bowling alley, VFW, appliance and ammunition shops. :� He said taking 60 feet from the shopping strip doesn't leave room to do anything ��� creative. The convenience-type business will lose customers if they relocate. The NW �'�"� quadrant appears to be a good relocation site for the convenience businesses. He said that in the last 5-6 years office condos have taken off below the radar—the use is very diverse and parking demand is low. Users prefer amenities in the back, and there is wetland behind this area (west) that would fill this requirement. He envisioned office or residential to the NE; residential or other to the SE. Replying to Mayor Maxwell, McComb stated there is a long-term market for office condos, rental and owner- occupied. Schneider asked about conflicts with Mainstreet businesses; McComb stated that this area is not related to the downtown. Regarding housing, he said demand would be there if it was built. St. Peter asked how the light rail would impact the area. McComb said it was independent, that it's more about what doesn't happen near station stops. It becomes a bonus for retail, but doesn't change it. Coffee stores, for instance, don't succeed. He stated NW quadrant would be first phase to relocate strip shops. Mayor Maxwell asked about reaction from homeowners to the south; McComb said he anticipates new building, which would be a plus for them, and otherwise they are somewhat removed so there would not be much impact. Koegler presented 3 land use concepts, with varying densities and residential/mixed/commercial ratios. He defined terms: medium density is 9-13 units; high density is 3 stories (maybe mixed use), refers to building form; mixed use, i.e., Excelsior & Grand; office is office condos (can take residential feel); and retail is mixed „� _. � : �: _ , - - � � use or separate 1-story (because of parking restrictions). He stated his concepts were based on discussions with the staffs of the cities and the EDA and on current zoning. Koegler then elaborated on 4 redevelopment concepts. Following are notes on each: Concept 1: in-kind replacement; suburban pattern; VFW would be impediment-- purposely did not add circulation behind. Shady Oak will not be a pedestrian street, even though it will be improved with sidewalks, etc. Concept 2: attempts urban street presence-built up to street; mixed use; more office; NW quadrant housing would be affected by transit station. Concept 3: interjects housing in Shady Oak commercial area. Concept 4: maximizes development by structured parking; attracts larger retail; parking ramp could have lower level; architectural elements could be coordinated in all buildings; parity in buildings flanking parking ramp so ramp isn't dominant. Koegler also showed elevations on the concepts. He stated that it is planned to take the options to the public for fe.edback, assemble that with other sources and comments and present a recommendation in the end of January. • St. Peter questioned the drainage and water table problems on the property across from the pond. Gustafson stated the property will be brought up with the round-about, which will solve the problem. Thompson commented that Concept 4 may conflict with Mainstreet. McComb stated that he feels the parking ramp is not feasible economically for the tenants; however, what would go there would be so small-space that it wouldn't threaten the downtown. Schneider stated that the options presented to the public should all be options we can be comfortable with. He had reservations about Concept 4 with a lot of commerical and a ramp on the west side. Also agreed economically not feasible. Youakim stated she favors residential and office, not retail, near the transit station. Ellingson mentioned considering entertainment, citing the 2 major entertainment businesses in the area (VFW & bowling). McComb stated that adding entertainment compounds the parking problem. Office condos that could be used as retirement living was brought up—zoning would prohibit this. Ellingson asked whether VFW was designated for acquisition; Koegler replied, "yes," with community works money. Twinem concurred. • � . Mayor Maxwell asked for a show of hands to take Option 4 from consideration. Several An ; ;� persons raised hands. Duffy stated he would like to see it revised without the ramp and ',,,, % maximizing residential. Mayor Maxwell removed the board illustrating Option 4 from the display. Koegler stated that he could include more mixed use in Concept 3 before bringing it to the public. Gunyou asked Koegler to include in his report the implications for the area without community works money. Youakim asked if the road could be straightened where it meets Mainstreet to create more visual appeal; neighbors expressed this idea to also avoid unintentional traffic. � Mayor Maxwell asked about end January meeting. Getschow stated it would be similar to this meeting with a wrap-up process and coordination of inessage to the County: Staffs will make sure the presentation is good, even if it takes it to February. Larson asked if there was enough green space. Koegler stated he can get good aesthetics along the street, but can't get a lot more green space, but it will be better than it is now. Mayor Maxwell called a recess to end this portion of the meeting at 8:15 p.m. RespectFully submitted, �� Shannon Smith � ::'' :: i j I - - - - _ --- - - - - - - _ , , ,.,._ . . . �