2024-02-20 EDA Minutes - Approved

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City of Centerville EDA Meeting Minutes February 20, 2024 Motion by Commissioner Swenson and seconded by Commissioner Mosher to approve the February 20, 2024, meeting minutes. All in favor. Motion carried. V. BILLS AND COMMUNICATIONS 1. Bills a. Check List Executive Director Lewis reviewed the bills as presented in the packet. Motion by Commissioner Smith and seconded by Commissioner Smith to approve the bills. All in favor. Motion carried. 2. Communications a. Hotel Executive Director Lewis reported that staff met with Apollo Development to discuss the prospect of a hotel on the site north of NorBella. The proposed project would have 90-100 rooms and be a premier brand. Staff shared the market study with Appollo and their hotel operator (new proposed project partner). VI. PRESENTATION a. Mike Brass, Titus Commercial Real Estate Mike Brass, the city’s realtor, reviewed the financial analysis he prepared for construction of a 5,480sf building, at the1737 Main Street site, noting that on a $2M building with a 7.5% interest rate, 20% down for 25-years, the return on investment would be about 1.5%. He noted that this would be difficult to make work. He reviewed alternative scenarios with the EDA, such as a shared space concept where his business is located. Titus Commercial Real Estate shares a building with a tenant and several other businesses that are operating out of executive suites; Mike noted that rents are manageable with a shared kitchen space. Mike also noted that the numbers could work on 3500sf building with apartments on the top floor, if the conditions were right, such as the use of HRA funding, appropriate rents, and the elimination of taxes for about ten years. Mike reported that one of the owners at the Max Storage reached out to him to get help renting their bays – he reported that the process to get the units rented is complex. Discussion ensued about tenants that require conditional use permits versus automatic approvals. The building design was approved for storage, so uses outside this scope may require changes to individual bays. Staff reported that the Planning and Zoning Commission is looking at updates to the Zoning Ordinance to clarify verbiage on “similar uses” in the Table of Allowable Uses - Table 156-A. Staff reported that last month The Planning and Zoning Commission approved an auto detailer and an ATV company. A cabinet maker requires a conditional use permit (CUP) due to needed changes to the bay the business would occupy. VII. REPORTS 1. Partner Agency Reports 2