Explanation
BACKGROUND
This legislation authorizes the Director of the Department of Development to enter into an Economic Development Agreement (the “EDA”) with North Pearl Holdings, LLC and CH Executive Investments, II, LLC (hereinafter the “Developer”) to outline the plans and certain commitments of the Developer and the City as it relates to the North Pearl development project.
The Developer is proposing to invest approximately $83.5 million to construct a mixed-use development on real property located at the northwest corner of North Pearl Street and East 16th Avenue and currently identified as Franklin County Auditor Tax Parcel ID 010-299024-00 (the “Subject Property”). The Subject Property is currently owned by Redstone Realty Company, LLC, a wholly-owned subsidiary of Campus Partners for Community Urban Redevelopment (“Campus Partners”), who is actively engaged in the redevelopment of a +/- 9 acre area in the vicinity of 15th Avenue and North High Street in the University District known as University Square. Campus Partners has selected the Developer to undertake the next phase of the University Square project, which will include a 141-key hotel, 5,500 square feet of commercial office/retail space (which may be incorporated into the hotel), 121 multi-family residential units and a 430 space structured parking garage (the “Project”). In support of the Project meeting City policy goals related to housing and public parking, the Department of Development will submit for City Council consideration, subsequent legislation to establish a 30-year, non-school Tax Increment Financing (TIF) area and a contribution in the amount of $5,000,000.00 to assist with the costs of financing the structured parking garage and any ancillary roadway improvements.
FISCAL IMPACTS
There is no fiscal impact for this legislation.
Title
To authorize the Director of the Department of Development to enter into an Economic Development Agreement with North Pearl Holdings, LLC and CH Executive Investments, II, LLC to outline the mutual plans and certain commitments of the parties as it relates to the North Pearl development in the University District. ($0.00)
Body
WHEREAS, North Pearl Holdings, LLC and CH Executive Investments, II, LLC (the “Developer”) is proposing to invest approximately $83.5 million to construct a mixed-use development on real property located at the northwest corner of North Pearl Street and East 16th Avenue and currently identified as Franklin County Auditor Tax Parcel ID 010-299024-00 (the “Subject Property”); and
WHEREAS, the Subject Property is currently owned by Redstone Realty Company, LLC, a wholly-owned subsidiary of Campus Partners for Community Urban Redevelopment (“Campus Partners”) who is actively engaged in the redevelopment of a +/- 9 acre area in the vicinity of 15th Avenue and North High Street in the University District (“University Square”); and
WHEREAS, Campus Partners has selected the Developer to undertake the next phase of the University Square project, which will include a 141-key hotel, 5,500 square feet of commercial/retail space (which may be incorporated into the hotel), 121 multi-family residential units and a 430 space structured parking garage (the “Project”); and
WHEREAS, in support of the Project meeting City policy goals related to housing and public parking, the Department of Development will submit for City Council consideration, subsequent legislation to establish a 30-year, non-school Tax Increment Financing (TIF) area and a contribution in the amount of $5,000,000.00 to assist with the costs of financing the structured parking garage and any ancillary roadway improvements; and
WHEREAS, the City's commitment to provide financial assistance for the Project is contingent upon either appropriation and/or authorization pursuant to subsequent passage of legislation submitted for City Council consideration; and
WHEREAS, the City and the Developer desire to memorialize their understanding and commitments with respect to such cooperation by entering into an Economic Development Agreement (the “EDA”); and
WHEREAS, it has become necessary in the usual daily operation to authorize the Director of the Department of Development to enter into an EDA with the Developer in support of the North Pearl project; NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. That the Director of the Department of Development, or his or her designee, (the “Director”), on behalf of the City, is authorized to enter into an Economic Development Agreement with North Pearl Holdings, LLC and CH Executive Investments, II, LLC presently on file with the Department of Development, along with any changes or amendments thereto not inconsistent with this Ordinance and not substantially adverse to the City and which shall be approved by the Director and the City Attorney, provided that the approval of such changes and amendments thereto, and the character of those changes and amendments not being substantially adverse to the City, shall be evidenced conclusively by the execution and delivery of said Economic Development Agreement by the Director.
Section 2. That this ordinance shall take effect and be in force from and after the earliest period allowed by law.