HomeMy WebLinkAbout09-05-23 JDASpecial Joint Development Authority Work Session
Tuesday , September 5, 2023
Arden Hills City Council Chambers
Minutes
5:30 pm
Roll Call
Joint Development Authority: Chair Jon Wicklund, Commissioner Nicole Frethem,
Commissioner Victoria Reinhardt, Commissioner Tena Monson
JDA Members Absent: Commissioner Tom Fabel
Also present: Dave Perrault (Arden Hills); Kari Collins (Ramsey County)
Roll call taken.
Approval of Agenda
The agenda was approved as presented.
Public Input
None.
Review Road Map
Director Collins reviewed the road map for the months of September and October with the JDA.
She stated the theme for this fall was Outlot A along with a community outreach event.
Director Perrault reported the JDA would be holding a special meeting with the developer on
September 27 to review density scenarios.
Schedule Community Engagement Meeting
Director Collins stated staff was working to execute a contract with a community engagement
consultant who will help plan and facilitate a community open house. An evening or weekend
day in mid to late October has been discussed as a potential time.
Ella Mitchell reviewed potential meeting dates for the community engagement meeting as
being October 25, October 26, November 1, November 2 or November 6.
Commissioner Monson reported it would be important for the JDA to have a developer
onboard with an MOU signed before planning this event. She stated until an MOU was signed,
she did not believe a date could be set. Director Collins commented as of last Friday, the
developer was seeking some form of compensation in the event this body cannot get to a
development agreement. She explained she discussed this further with the developer and was
proposing to bring the old preliminary development agreement before the JDA for
consideration. She reported this agreement would between the JDA and the developer. She
explained another agreement would be drafted (and run parallel with the MDA) between the
County and the developer to address a scope of deliverables.
Commissioner Monson encouraged the developer to bring renderings to the September 27 JDA
meeting.
Commissioner Frethem supported the JDA selecting a date for the community engagement
event to ensure the event happens. She did not want to delay the process and noted she has
faith in Alatus. She explained she preferred to hold the community engagement event on
October 26.
Commissioner Monson suggested the community engagement event be held on November 1 or
2.
Commissioner Reinhardt supported holding the community engagement event on November 1.
She anticipated the County Board would like to learn more about the compensation/scope of
deliverables that were being pursued with Alatus. Director Collins reported she made it clear to
Mr. Lux that the County Board would have to approve a compensation/scope of deliverables
agreement and he understood this. She explained the trajectory of this project was unique and
she understood the risks Alatus would be assuming in order to move this project forward.
Commissioner Monson encouraged the board to be sensitive to the timeline and to have an
alternative in mind for this project. She recommended the JDA have a date in mind on when an
alternative will be pursued.
Chair Wicklund recommended staff reach out to Commissioner Fabel to see if he would be able
to attend a community engagement event on November 1, with the alternative date being
November 2.
Real Estate Market Presentations
Director Collins stated experts on the local real estate market have been invited to present to
the JDA. She explained there will be four presentations, followed by a time for questions and
discussion.
Amanda Taylor, GREATER MSP Partnership, introduced herself to the JDA commented on the
public and private sectors that support GREATER MSP. She provided a presentation on the
current growth opportunities and industrial market needs in the Minneapolis/St. Paul metro
area. She discussed how the Rice Creek Commons project was an economic opportunity for all.
She explained the vision for GREATER MSP was to lead the world in inclusive economic growth
by welcoming all, empowering talent and igniting innovation. She discussed how Ramsey
County has both an inflow and outflow of workers. She stated Arden Hills was already a major
employment center in the metro area. She reported there was a growing need to manufacture
while the need for office space was declining. She commented further on the emerging
technologies and industries that were growing in the region. She encouraged the JDA to
consider sustainability within the Rice Creek Commons development while having flexible uses
that will accommodate multi-tenant spaces and to target industries while also connecting to
housing.
Bruce Nustad, Minnesota Retailers Association, introduced himself to the JDA and explained he
works with retailers across the State. He discussed what makes retail successful in a
community. He noted there were 52,636 retailers in Minnesota and made up 20% of the State’s
economy. He reported Minnesota has long been a hub of innovation in retail from the creation
of the first modern mall to the largest retail shopping mall (Mall of America). He explained
consumer spending continues to grow going forward. He then reviewed the number of retailers
located in Blaine and Roseville. He discussed how retail was destination-centric in Minnesota.
He commented on how retail needed a healthy eco-system with a mix of retailers. He noted
balanced communities have a strong retail backbone and reported infrastructure was
important to Minnesotans in order to continue support in store shopping and delivery/pickup.
Anne Mavity, Minnesota Housing Partnership, introduced herself to the JDA and commented
on the housing market in Ramsey County. She reported all housing types were in need in
Minnesota at this time. She described how the cost to build homes was now higher than some
people could afford. She discussed how the housing supply was disrupted when the housing
bubble that burst in 2007 and 2008. She explained the State was currently 106,000 units short
on low income housing, which was a system failure for workers. She commented further on
how the housing system in Minnesota was broken and how there were ownership disparities
for minorities. She discussed how housing insecurity was impacting homeowners in Ramsey
County and reported full-time jobs still can’t pay for an average home. She reported there was
a rising need for housing within reach for families and indicated the City would have to be
intentional in order to bring more of these units to fruition. She stated housing was a
fundamental need and noted the State legislature put $2 billion towards housing in 2023.
Professor Thomas Fisher, University of Minnesota, introduced himself to the JDA and noted he
runs a research center that focuses on urban design and transportation. He explained he
recently wrote a book on living through the pandemic and reported pandemics bring about
permanent changes to communities that take decades to unfold. He stated density is
economically essential and it comes in a variety of forms. He encouraged the JDA to consider
housing options for the two biggest demographics which are the boomers and millennials. He
urged the JDA to work with building code officials and lenders to encourage more “missing
middle” housing while also allowing for flexibility in how people live and work with mixed-use
buildings and neighborhoods. He commented on how neighborhood clubhouses, spaces where
people may work and also provide amenities, were emerging in the post-pandemic world. He
discussed how the JDA should recognize the demand for parking will change dramatically over
the coming decade because of autonomous vehicle technology, while also recognizing how the
digital environment should interact with and complement the physical one.
Chair Wicklund thanked the guests for their detailed presentations.
Commissioner Monson explained she was not planning for today in this development, but
rather was thinking, three, five or ten years down the road. She questioned how timelines were
forecasted and how does density play into what was presented.
Ms. Mavity indicated she was always thinking in the future as well. She anticipated the
legislature would be rethinking zoning in 2024.
Professor Fisher discussed how the world has permanently changed since the pandemic and
technology was accelerated. He reported cities would have to ensure their policies were also
accelerated to match this change.
Ms. Taylor agreed the pace with which technology was changing was key and should be taken
into consideration for research and development (R&D) or industrial spaces.
Mr. Nustad stated being flexible with tiered development would be crucial going forward along
with considering how buyers needs were changing.
Commissioner Frethem commented the most exciting prospect for her with this development
was taking one of the most polluted sites in the country and making it a leader in energy and
redevelopment. She questioned if a sustainable green community were pursued would the
market support this.
Ms. Taylor reported this would attract interest from companies who care about this from all
industries. She believed this type of a development would be highly marketable.
Professor Fisher agreed this would be an incredible opportunity.
Ms. Mavity commented on how sustainable housing would provide housing options with lower
utility costs for those who were most cost burdened, which was a win.
Commissioner Reinhardt explained when the energy goals and guiding principles for this
development are considered, she believed they should be bold. She stated having a
development that was net zero was the goal. She anticipated trying to find developers that
would work towards this goal may be challenging. She supported the JDA working on the
perception of affordable housing. She stated she believed in mixed income housing and further
addressing equity issues when it comes to housing. She believed if this development was done
right, it would become a destination. She looked forward to hearing from the community as to
what they would like to see on this site. She explained she wanted to see this development
walkable, forward-thinking and sustainable.
Ella Mitchell read several questions from Commissioner Fabel and asked the guest speakers to
speak to the current price ranges for housing and if the ongoing water remediation would cause
any problems for homeowner financing.
Ms. Mavity stated the average home in the MSP area was north of $400,000. She explained the
greatest gap in need for home ownership was for first time homebuyers and the lack of homes
within the $250,000 to $300,000 range.
Commissioner Monson asked what the appetite was for different types of housing styles.
Ms. Mavity discussed how the greatest gap that needs to be considered is with the lower end
housing, for both owner-occupied and rental. She reported two- and three-bedroom
townhomes or cottage homes were not available and there was a demand for boomers trying
to downsize.
Professor Fisher explained in Europe they were just building space with considerable flexibility
and were not considering the zoning. He stated that by not putting space into categories, the
market was then dictating how the space could be used.
Ms. Mavity commented further on how the water remediation could be a win as this would
demonstrate water safety within the development.
Commissioner Monson stated she preferred mixed-use within Rice Creek Commons and hoped
the development would have mixed-use potential. She questioned what type of housing would
support small business and sustainability of authenticity.
Ms. Mavity commented on how communities feel vibrant when there are more people milling
about. She stated the more walkability and connected a community was the safer and more
vibrant it would be.
Chair Wicklund summarized the themes from the comments that were made. He believed these
themes centered on the need for flexibility, affordable units/meeting the low-end gap, racial
gaps, connectivity for transportation and walkability, and the need for strong partnerships
throughout the development process. He anticipated further discussions would have to be held
regarding future zoning decisions that would have to be made by the City.
Commissioner Monson stated one of her biggest concerns was the fact that the developer was
not in attendance. She explained if he was in attendance, he would be able to understand how
the JDA’s thoughts could or could not be applied. She commented on how the JDA can learn
from other sustainable communities or developments. She hoped the JDA could set certain
metrics and goals with the developer to see how to bring about its vision for a sustainable
community.
Further discussion ensued regarding the timeline and challenges of approving potential zoning
code changes that may be required from the City of Arden Hills.
Commissioner Frethem explained this development would take time. She encouraged the JDA
to focus on the vision and goals along with the range of housing for the project. She believed
with these goals set a term sheet could then be established.
Commissioner Reinhardt thanked the guest speakers for their presentations. She appreciated
them sharing with the JDA what is possible. She reported this property was ready for
development and she looked forward to the long-lasting sustainable possibilities for this site.
Approve Energy Advisory Committee Goals and Guiding Principles
Director Perrault stated the Energy Advisory Committee drafted a goal statement and guiding
principles for the JDA’s review and approval. He explained these goals would be brought back
to the JDA in October for approval.
Commissioner Reinhardt discussed how these goals and guiding principles would provide the
developer with valuable information on how unique this project would be.
Commissioner Monson explained the Energy Advisory Committee hopes to work with a
consultant to assist with guiding the goals and metrics for the developer, which would also
assist in guiding Xcel Energy. She hoped that a budget would be created yet in 2023. She
commented on how the white paper that was previously drafted were updates and
reconsidered to include sustainable benefits for the greater community.
Commissioner Frethem stated she believed the consultant was necessary. She recommended
the goals and guiding principles be concise and tightened up. She supported the statements for
this development being bold and innovative. In addition, she wanted the development to be
forward-facing, while being sustainable, resilient and self-sufficient.
Commissioner Reinhardt discussed how the committee was trying to stay true to the
community input and the amount of time that went into it.
Commissioner Monson explained the goal was not to bring in a consultant that would overlap
the scope of the previous consultant. She reported she could support minor edits to the
language. However, she would be hesitant straying too far from the original white paper.
Commissioner Frethem recommended language be added to ensure this project was bold,
innovative and unique.
Chair Wicklund requested Commissioner Monson revise the goals and guiding principles and
have these ready for the JDA to review in October.
Director collins stated public works was looking to secure an engineering firm to complete the
traffic analysis. She explained she would be working to complete a one pager in preparation for
the upcominB legislative session.
Director Perrault explained he spoke with the Mounds View School District regarding increased
density scenarios. He reported the school district believes they have the capacity to handle the
density over the proposed buildout schedule. He indicated the County was reviewing the
necessary documents with Alatus as the master developer. He commented staff and the
developer has been reviewing different density scenarios and noted the highest density level
that could be considered is 1,960. He stated the developer would be speaking further to the
density scenarios on September 27. He explained the Energy Advisory Committee met on
August 3l where the group discussed goals and guiding principles. He indicated this group
would meet next on September 28.
None.
Meeting adjourned at 7:44 pm.
Approved t?-6 7-
Jon Wicklund, Chair Date
Ad m in istrative Director's Report
Develooment Director's Reoort
Commissioner Uodates
Adiournment
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