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HomeMy WebLinkAboutRA Minutes 1999-01-19SRRA MINUTES (Regular) 2/1/99 Page 1 IN THE COUNCIL CHAMBER OF THE CITY OF SAN RAFAEL, TUESDAY, JANUARY 19, 1999 AT 7:30 PM Regular Meeting: San Rafael Redevelopment Agency: Present: Albert J. Boro, Chairman Barbara Heller, Member Cyr N. Miller, Member Gary O. Phillips, Member Absent: Paul M. Cohen, Member (arrived during latter part of discussion of Item #3) Also Present: Rod Gould, Executive Director Gary T. Ragghianti, Agency Attorney Jeanne M. Leoncini, Agency Secretary ORAL COMMUNICATIONS OF AN URGENCY NATURE: 7:30 PM None. CONSENT CALENDAR: Member Phillips moved and Member Heller seconded, to approve the following Consent Calendar items: ITEM RECOMMENDED ACTION 1. Approval of Minutes of Regular Meeting of Minutes approved as Monday, January 4, 1999 (AS) submitted. 2. Unapproved Minutes of Citizens Advisory Committee Accepted report. Meeting of Thursday, January 7, 1999 (RA) - File R-140 IVB AYES: MEMBERS: Heller, Miller, Phillips & Chairman Boro NOES: MEMBERS: None ABSENT: MEMBERS: Cohen AGENCY CONSIDERATION: 3. UPDATE ON THE CINEPLEX PROJECT (RA) - File R-407 Senior Planner Katie Korzun reported that in August, 1998, the Redevelopment Agency approved an Exclusive Right to Negotiate with Century Theatres, and was considering an eight to twelve screen theater on the site of the City's existing parking lot behind San Rafael Joe's Restaurant. Ms. Korzun noted the Agreement was signed and went into effect on August 25th, and since that time, Century Theatres has been evaluating alternative project sizes and lot configurations, and contacting adjacent property owners and tenants. She stated they have also been looking at site planning issues, and were in the process of contracting for a variety of needed services, such as a Parking Analysis, a Traffic Study, and geotechnical work. Ms. Korzun reported the Agency has been busy on this project, as well, noting they have been pursuing a "quiet title" action on the alley. She SRRA MINUTES (Regular) 21/1/99 Page 1 SRRA MINUTES (Regular) 2/1/99 Page 2 stated the Agency had found there was confusion concerning this property, stemming from the 1800's, noting the City Attorney's office was assisting the Agency in this matter. Ray Syufy, Chief Executive Officer, reported this project was extremely important to Century Theatres and Syufy Enterprises, stating it was an absolute priority with them to complete this project as quickly as possible. He noted they had been moving with that in mind during the past several months, and would continue to do so in the coming months, while at the same time respecting the fact that this was something that had to fit into and compliment the Downtown. He also stated he fully expected to get various community groups and other interests involved in the aesthetics of this theater, and the project overall, noting they were looking forward to that. Mr. Syufy stated the next step would be the environmental and traffic studies, noting they had already begun that process, and looked forward to bringing it to the Agency as soon as possible. Highlighting what they have been doing the last few months, Mr. Syufy reported that since September, they have been trying to design a theater that would be something both Century Theatres and the City of San Rafael would be proud of, noting that when they responded to the RFP last May, they stated this would be the "flagship" of the Century Theatres circuit, and they continued to believe that. Mr. Syufy acknowledged there were quite a few challenges they needed to overcome. He pointed out this theater was going to be above a parking structure, and because it was, in essence, up in the air, the parking structure had to be designed in such a fashion that would hold it up in the air, and still be an efficient and a cost effective parking structure. Referring to the theater itself, he stated the issue of exiting the theater was important, noting they had to be able to get people out of the structure; and in addition, he stated there were ADA considerations, which were absolutely paramount in the industry at this time, explaining the industry was currently trying to accommodate handicapped patrons in stadium seated facilities, and that would be compounded by this project being "up in the air". Mr. Syufy described what they had come up with, conceptually, noting they were very close to committing this to paper, and the Agency should see it within the next few weeks. He stated the project, as it stands today, was going to deliver approximately 300 plus cars, the theater itself would be 45,000 to 50,000 square feet and have twelve screens, and they anticipated having 2,000 seats. He reported the lobby would contain not only Century Theatres' signature snack bar, but also a street level cinema cafe, as well, which was an amenity they were happy to find they were able to include. In addition, they hoped the entire project would include approximately 11,000 square feet of Retail, and 7,000 to 15,000 square feet of Office. He stated the project would have a significant Fourth Street orientation, noting that if they are successful, there would be over 100 feet of Fourth Street frontage. Mr. Syufy stated they believed this was a do -able project, an affordable project, and hoped to move forward, pending the outcome of the various studies. He noted they had engaged a parking lot design consultant, someone who had a lot of experience in designing structures with buildings above them. In addition, they had begun the Soils Report on the actual parking structure, and had completed a soils study on the property they already own at Fourth Street and Lootens Place, which was currently being reviewed. Mr. Syufy reported they had been working with the City on formulating a scope of work for the Traffic and Parking studies, noting it had been narrowed down to two consultants, and the City has indicated that either would be acceptable. He stated they were planning on choosing one SRRA MINUTES (Regular) 21/1/99 Page 2 SRRA MINUTES (Regular) 2/1/99 Page 3 of them next week, to begin work on the Traffic and Parking studies, to make certain this project will fit in the Downtown. Mr. Syufy reported, most importantly, their Architect was currently developing a formal site plan, and would begin preliminary massing studies in order to show the Agency what the building was going to look like, noting that while there would not be a great deal of detail regarding the aesthetics, which would come a little later, it would show the size of the various components of the building, the parking structure, theater, office, and retail. Mr. Syufy pointed out this project was on track from their point of view, and they remained committed and excited about doing it. He stated nothing had come up during the past few months that would, in any way, make them believe this was not something that could happen, or to believe it would not be good for Downtown San Rafael, or for their companies. Chairman Boro noted we were approximately four months into the Exclusive Right to Negotiate process, and asked when it was expected that something would be brought back for formal ratification? Economic Development Director Jake Ours explained the Agency was currently waiting on Century Theatres. Ms. Korzun explained the Agency had to have a signed DDA (Disposition and Development Agreement) within one year; therefore, there would have to be a signed DDA by August 25th of this year. Mr. Ours stated they expected to have it much sooner than that. Chairman Boro noted he had been in Reno, Nevada a couple of weeks ago, and read an article in a local newspaper concerning Century's success. He noted a spokesman for their company had been discussing theatres they would be opening in 1999 and 2000, and San Rafael was listed as having a theater opening in the year 2000. Therefore, Chairman Boro stated he assumed the Agreement would be signed and approved rather quickly, so they can move forward with that. Mr. Syufy stated that was their intent. Chairman Boro asked what thoughts they have had regarding the Rafael Theatre, which he noted was about to open, and whether they had begun to discuss how Century Theatres might cooperate with them in the future? Chairman Boro pointed out that had been one of the earlier issues, and the Agency was looking forward to both of them not only coexisting, but really supporting each other. He noted the Rafael Theatre would be opening in March or April. Mr. Syufy stated they have not had a meeting with representatives of the Rafael Theatre since approximately October, noting that had been more of a fundraising meeting than actually sitting down to discuss how their two businesses were going to be able to compliment each other and work together. Mr. Syufy stated this was something they absolutely would do if representatives of the Rafael Theatre were interested in doing it, and noted nothing had come up that would, in any way, deter them from working with the Rafael Theatre. He pointed out that in their response to the RFP, they suggested a number of ways this could be done. Chairman Boro asked if this was something the Agency could expect to see in the Development Agreement when it comes back, as well as some specificity about it, so they have a sense of what the working arrangement might be? Economic Development Director Ours stated that was correct. Member Heller asked if Century Theatres had done a Mixed -Use project such as this before, combining Retail and Office, and what type of Retail they envisioned for this project? Mr. Syufy stated they were currently focusing on a restaurant, noting that was the most obvious choice. He explained they had not yet spent a lot of time going out into the community to see who would be interested in the space, although they have had people call to tell them they would like to be there once the theater is opened. He stated they have been spending most of their time trying to define what it SRRA MINUTES (Regular) 21/1/99 Page 3 SRRA MINUTES (Regular) 2/1/99 Page 4 is they are going to have. He stated it could be almost any kind of retail, noting it could be a GAP store, a restaurant, or anything that was legitimate retail. Member Phillips noted Mr. Syufy had referred to 300 parking spaces, asking how many spaces currently exist, and whether the 300 spaces Mr. Syufy was referring to was the number they discussed when he first came to the Agency with this project? Mr. Syufy believed that currently there were approximately 190 to 197 parking spaces in the structure, noting that in the RFP they responded that they would deliver 311 parking spaces, which they were endeavoring to do. He stated he did not anticipate it would be significantly more than that, but it would not be less, noting they knew what they had to deliver, in terms of parking, and that it had to be validated by the Parking and Traffic Consultants. He stated parking was a vital component for any movie theater, pointing out that if it was not properly parked, they could not afford to be there; therefore, they were looking forward to the parking study. Member Miller asked how the parking associated with this project fit within the Agency's total strategy for parking Downtown? Ms. Korzun stated the current strategy was that the Agency would only entertain having a building on this parking structure if it were "off-peak" use, noting they anticipated that with off-peak use, they would be able to use more than just the 100 spaces there. She explained with the other buildings that are coming on-line, such as the Macy's building across the street, use of that lot would go close to capacity. She stated there were now 100 empty spaces there, and the entire second deck was virtually unused, with the exception of four hardy parkers; therefore, she explained they would be keeping what they have, adding at least 100 spaces, and using it off-peak. She stated they would back into the size of the theater from the amount of parking that is there; for example, if 2,000 seats could not be adequately parked, they would be looking at more parking, fewer seats, or some semblance thereof. Ms. Korzun stated staff would be bringing forward a parking analysis, based on the Annual Parking Surveys she has been doing Downtown since 1995, and would also look at attempting to go to the next step, which is providing even more parking, not on this site necessarily, but elsewhere in the Parking District. (Member Cohen arrived at meeting.) Member Miller asked if there had been any consideration of being able to use parking at the Macy's site, perhaps the public parking underneath? Ms. Korzun stated there was no public parking underneath. She explained the Macy's proposal was Residential, Retail, and Office, noting the residential parking would be secured parking, accessible only to the residential tenants, and the office parking, which would be a separate level underground, would be only for the offices. She stated they assumed the approximate 100 retail parking spaces would go over to the theater's parking structure. Ms. Korzun noted there could be some private agreements between Century Theatres and Samuelson/Schafer, or perhaps Courthouse Square, but those would be private agreements, and would not be included in any parking calculations for required parking, as far as the City was concerned. Member Miller asked if this meant that in terms of the private sector, they were looking for some creative cooperation, and in terms of the public, there could be negotiations and relationships made among Macy's, Courthouse Square, and Century Theatres? Ms. Korzun stated staff would encourage that, with the proviso that Residential parking remain Residential parking. Mr. Ours stated they would mainly be looking at the Office portion, and would encourage that very strongly. SRRA MINUTES (Regular) 21/1/99 Page 4 SRRA MINUTES (Regular) 2/1/99 Page 5 Chairman Boro noted Ms. Korzun had stated the number of parking spaces required would determine the size of the seating capacity. He pointed out there were a number of structures that would not be used at night, such as the Office portion of the Macy's building, a good portion of Courthouse Square, part of the Oacis Building, and even the Kaiser Building, all within walking distance of this theater. He asked, if the Developer could produce valid agreements, why would the Agency not want to consider that as part of the parking count? Ms. Korzun explained the reason that had not been done in the past was because valid agreements, as far as the Agency was concerned, were usually extremely hampering to a Developer. She explained the Agency assumed the building was going to be there for approximately forty to fifty years, and if they asked a Developer to secure parking on another building for forty to fifty years, the response was usually, "No, we cannot"; therefore, the Agency usually shied away from that. Ms. Korzun stated she felt secure that with the number of spaces that are on the street and in the other vacant City structures, the Agency will not find itself in a position where it could not park this project publicly; therefore, rather than put an unwarranted imposition up on them, she believed they could do it publicly. Chairman Boro noted they also would not reject any agreement they might come up with, and Ms. Korzun stated that was correct. SRRA MINUTES (Regular) 21/1/99 Page 5 SRRA MINUTES (Regular) 2/1/99 Page 6 Member Phillips moved Member Miller seconded, to accept the report. AYES: MEMBERS: Heller, Miller, Phillips & Chairman Boro NOES: MEMBERS: None ABSENT/ABSTAINING: MEMBERS: Cohen (due to absence from most of the discussion of this item). 4. AGENCY MEMBER REPORTS: None. There being no further business to come before the Redevelopment Agency, the meeting was adjourned at 7:55 PM. JEANNE M. LEONCINI, Agency Secretary SRRA MINUTES (Regular) 21/1/99 Page 6