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nancing of site preparation, design and feasi- bility studies, and/or financing of on- or off - site improvements. Often are agency wi11 negotiate and eater into a DDA with a thud -party developer be- fore it has actually acquired the property, or decided to acquire the property. This pre - dictably creates problems for owners in that they are electively frozen out of the process because of the cloud created by the DD& Own- ers are unable to take steps to develop their property since lenders and potential develop - ment partners are unl&dy to become involved in a proposed project if a redevelopment agency with the power of condemnation— has entered into an agreement with someone else to develop it. Such preco mitnxents to ac- quire and develop the property, before the property has been acquired from the owners, axe dangerous, and leave the agency vulnera- ble to a challenge to its right to tam the prop- erty, based on failure to allow owners to par- ticipate, and failure to publicly discuss and critically consider the merits of condemnation. Although agencies often have valid reasons for entering into a development agreement with a third -party developer before acquiring the property---such as the need to sure funding to acquire the property and the desire to avoid a vacancy period after they acquire the property— agencies that do not explore and exhaust owner participation opportunities be- fore entering into such agreements are walk- ing themselves into trouble. Owner participation can occur in a variety of different ways, and agencies need to be cre- ative in providing these opportunities. For example, if development involves a project larger than the owners parcel, relocation to an- other site within the project or exchange of the owners property with other property under i the control of the agency should be considered. Allowing owners to participate under the um- brella of a master developer responsible for the entire project also is sometimes feasible and eliminates many of the problems associated v6th multiple ownerships. Encouraging own- ers to collaborate with other developers with more experience and capacity can also result m success in that such an approach keeps the owner mvalved, while also obtaining the ben - efit of the outside developer's expertise - A redevelopment agency may consider var- ious criteria when deciding whether and to what e€tent mvners can participate in redevel- opment of their property. These criteria incite n al capabdity, experience, and expertise. The agency should be d.em'ble in conside- ring these issues, recogni�.ing that if one element is lacking, it can sometimes be remedied.. For ex- ample, if a property owner has the financial ca- pability and motivation but not the requisite expertise, the owner could form a partnership with a developer who has the expertise to do the work. Owner participation is mhms the commu- nity in the redevelopment, which in turn re- sults in greater cooperation and fewer legal challenges; the specialized knowledge of local expertise; benefits to the local economy by virtue of local involvement; and the vested in- terest that owners have in the success of the development of their property. However, for their parkipation to be effective, owners must clearly understand what the agency wants} and they must have---or be Dvea--the incentive and tools to participate. Once owners become stakeholders to the redevelopment, the rede- vdopr nt process can become sianpler} qtr} and more predictable. In short, the more community -based the redevelopment prod is, the better it works. Urban L n n d October =3