Minutes

New Brighton Economic Development Commission

Regular Meeting – April 10, 2001

7:30 a.m.

Members/Liaisons Present:

Rakesh Agarwala, Bob Benke, Dennis Flahave, Linda Harmon, Ken Johnson, John Kaufhold, Steve Larson, Char Samuelson.

Members/Liaisons Absent:

Eugene Delaune, Mark Nelson, Maxine Pierson, Jeanne Smith.

Staff Present:

Matt Fulton, Kevin Locke, David Black.

Others Present:

Phil Carlson, Roger Conhaim.

Call to Order

Ken Johnson called the meeting to order at 7:40 a.m.

Approval of Minutes

The minutes of the March 13, 2001 meeting were presented for approval. All approved.

Announcement

Larson announced that Arly Gunderman had recently announced his resignation from the City Council due to health concerns. He has been active in service to New Brighton for 41 years, the first 25 working with the parks program and the last 16 years on the City Council. The new park shelter at Freedom Park will be dedicated to Arly at a ceremony next week.

Northwest Quadrant

Master Development Plan: Black introduced Roger Conhaim, Conhaim & Associates, who had studied the housing market in the NW Quadrant on behalf of CPDC. He noted that City had closed the purchase of the bowling alley since last month's meeting, and was proceeding on obtaining appraisals to guide future acquisitions. A court order had been obtained to gain the right of entry to the Midwest Asphalt site.

Fulton noted that rumors were spreading concerning the future of area businesses, particularly Beisswenger's. Larson indicated that he had talked to Mark Beisswenger, assuring him that the City would not do anything to alarm his employees. Agarwala suggested that the appropriate message was that there is a place in the area for the business.

Conhaim noted that infill development of "brownfield" sites had been very successful in other locations. This area has the potential for a synergistic relationship between the NW Quadrant and the downtown area, particularly the Family Service Center, and good accessibility to freeways and the regional park. He noted how unique it would be for any new housing site to be situated adjacent to a major regional park, much less one that is an infill redevelopment.

Infill locations are resistant to downturn in a recession, especially with the prospect of higher gas prices favoring close-in locations. There is a huge employment base in all directions, including the new Medtronic headquarters in Fridley and the Veritas campus in Roseville. Very few close alternatives can be anticipated; the nearest one, in Shoreview, is 4-5 miles farther out, and sold out quickly. A market can be identified for young (25-34) first-time homebuyers, singles, as well as "empty-nesters."

Johnson asked whether higher values couldn't be expected, considering all of the site advantages. Conhaim noted that the prices given in his report ($120,000-180,000) were base prices. With larger units and added options, the total price could increase by $15,000-40,000, perhaps more. Larson suggested that many potential buyers would be selling a larger home, and could easily afford units at $225,000-250,000.

Samuelson asked whether any part of the area would be conducive to single-family development. Conhaim replied that this was a small site, with close proximity to an industrial area, and therefore single-family wouldn't be likely. Kaufhold asked whether there was anything that would limit the valuations. Conhaim suggested that New Brighton's image was somewhat less desirable than Shoreview's, and the higher-price areas in the City were older and less visible.

Benke suggested that the workforce presented excellent opportunities to live and work in the same area. Conhaim indicated that there was an opportunity to provide for a very diverse mix of residents, which would be desirable. He suggested that a café and a convenience store would be desirable additions to the area.

Brighton Village Planning Study

Carlson summarized the results of the second community planning forum. Almost 20 percent of the attendees clearly indicated that they didn't want a hotel. (He suggested that they might have a somewhat unrealistic idea of what a hotel would bring.) The second strong conclusion was that there should not be an east-west street connecting mid-block to Thorndale Ave. Kaufhold, who attended the meeting, didn't think that Kraus-Anderson's proposal was presented very clearly. Johnson suggested that people were objecting to particular uses, not to any particular layout of the buildings.

Carlson noted two significant challenges that would be faced in coming up with a final plan. Noting the developer's strong objective to include a hotel and senior housing, he suggested that it would be difficult to balance neighborhood and city concerns. Secondly, the residents expressed a desire for a community focal point, or gathering place, and he questioned whether the owner can "deliver" this type of space.

Larson noted that many residents continue to express a desire for a grocery store, but that all information indicated that a store is unlikely. Black noted that one positive development from the community meeting was a strong consensus on the road alignment, which was also supported by Kraus-Anderson. Benke asked whether a mixed-use building with housing over retail would be feasible. Larson suggested that the retail component would be necessary in order for the neighborhood to support senior housing. Harmon noted that the housing is also necessary in order to support the market for the retail development. Samuelson, agreeing, expressed the concern that plans would call for too much retail, which could lead to vacant spaces as we have now.

Kaufhold asked whether attendees to the Town Hall Meeting had provided any opinions on a hotel. Larson indicated that some thought it would be a good idea. He noted that most people want to see a high-quality, long-lasting development. Samuelson suggested that a hotel could be sited farther away from the adjacent residents. Johnson noted that the hotel is proposed to be only three or four stories, not a "high-rise" as it had been referred to. He suggested that additional information be provided in order to help people understand the tradeoffs and overcome the negativity.

Marketing Plan

Black suggested that the City would benefit from a comprehensive marketing plan to guide our efforts in economic development and elsewhere. He noted that he had completed an excellent course on the subject and successfully guided a group through the process in the City of West St. Paul. With the late hour, he asked members to consider the questions in the handout for future discussion.

Johnson agreed on the importance, and expressed a desire to be involved in further discussions. Benke pointed out that earlier work had been completed. Black indicated that he would review the files.

Adjournment

The meeting was adjourned at 9:15 a.m.