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HomeMy WebLinkAbout00-041 Crystal Care Concept PURCHASE ORDER CITY OF PRIOR LAKE, MINNESOTA (612) 447-4230 Fax: 447-4245 NO. 00 -{13~ IMPORTANT. This no. MUST appear on all packages, packing slips, shipping papers, invoices & correspondence. The Center of the Lake Country INVOICE TO: City of Prior Lake 16200 Eagle Creek Ave. S. E. Prior Lake, Minnesota 55372 SHIP TO: (Same as "Invoice To" unless otherwise noted below) PURCHASE FROM: w~. ~O ~ ~~I[t~S DATE tJoV I 0-0 I DO IMPORTANT QUOTE THIS ORDER NUMBER ON INVOICE TOTAL ORDER if 1051.5D ORDERED BY: ~. APPROVED BY: TO BE USED FOR: Dept. Acct. #: 4 tLJ S- 0 t) CITY MANAGER CASH 0 CHARGED REMARKS: NOTE: The City is not subject to penalty for late payment on bills. White. Vendor Yellow - Receiving Pink. Accounting & Purchasing City of Prior Lake 16200 Eagle Creek Ave SE Prior Lake MN 55372-1787 November 10, 2000 PE100-04 Crystal Care Invoice # 17829 Professional Services Hours Amount 1.00 120.00 1.50 187.50 1.00 125.00 1.00 125.00 2.00 250.00 2.00 250.00 8.50 $1,057.50 8/18/00 RF Meet with staff & developer 8/31/00 RF Meet with staff and developer 9/6/00 RF Memo on TIF 2-4 and Crystal Care 917/00 RF Meet with staff + developer 10/12/00 RF Prepare/attend lunch w/ Frank + Mayor 10/27/00 RF Meet w/ staff + developer Total Due This Month: Status of Account: Current $1,057.50 30 Days $0.00 60 Days $0.00 90 Days $0.00 120+ Days $0.00 Total $1,057.50 PLEASE KEEP WHITE COPY FOR YOUR FILE AND REMIT PINK COPY WITH PA YMENT TO: . EHLERS & ASSOCIATES INC. 3060 Centre Pointe Drive Roseville, MN 55113-1105 651.697.8500 A'" . ,/ City of Prior Lake Development Project Issues Crystal Care August 31, 2000 1. Review of proposed development 2. Amount and need for proposed City assistance 3. Options for providing assistance 4. Other issues 5. Next steps LEADERS IN PUBLIC FINANCE 3060 Centre Pointe Drive, Roseville, MN 55113-1105 651.697.8500 -t_ 00 ~O ~ ( ------ BHLERS & ASSOCIATES INC l' Equal Opportunity Employer Charter Member of the National Association of Independent Public Finance Advisors fax 651.697.8555 www.ehlers-inc.com Prior Lake City Council May 1, 2000 Workshop Session Discussion Item: Assisted Livin! Proiect Park Nicollet Clinic Property Proposed by Crystal Care. LLC C, C1JJ.sta1 ~are, LLC ;.. A Clear Vision in Senior Living I. Introduction Crystal Care, a Minneapolis-based senior living company, proposes to develop an assisted living community adjacent to the Park Nicollet clinic in Prior Lake. Preliminary plans consist of 40 assisted living units and 20 memory care units. Services include 24-hour staffing, registered nurse supervision, three daily meals, housekeeping and laundry service, planned activities and transportation service. The north wing of the building (serving memory care residents) is one story, stepping up to three stories at the main building. Common areas such as lobby, kitchen and dining rooms are situated in the central portion of the building. A covered entrance allows convenient drop off between the two Ring Road access points. A service drive provides delivery to the rear (east) of the building. The one-story north wing is compatible to the surrounding neighborhood and provides relief against the balance of the structure. A variety of exterior building materials such as brick and vinyl siding, combined with a hip asphalt roof, results in a design that complements the Park Nicollet Clinic, the existing apartments, and any future campus development. II. Market Senior housing demand is not satisfied by the existing inventory in Prior Lake. An independent market study concludes there is an unmet demand for 103 - 142 units of senior housing with services (Senior Housing Assessment of the City of Prior Lake, AdMark Resources, Inc., March, 2000). Crystal Care perceives Prior Lake to be an excellent community for senior housing. It is a developing suburb on the outer ring of the Metro Area without congregate housing or assisted living options. It has a small town atmosphere that older aduhs identify with and feel secure in. III. Location The location of the proposed senior community is strong: A. Proximity to Park Nicollet Clinic B. Proximity to Downtown Shopping and Services C. Access to Ring Road and Hwy 13 D. Neighborhood Compatibility (Senior/Health Care Campus) E. NeighborhoodS~ety -1- 5200 Willson Road, Suite 150, Edina, MN 55424 Tel: 612.836.2790 Fax: 612.836.2794 E-mail: crystalcareIlc@aol.com '. IV. Acquisition ofthe TJ Towing Site The Project includes the site currently owned and operated by TJ Towing. Acquisition of this .9-acre parcel removes an incompatible use and enhances project visibility from Franklin Trail. The site is most likely contaminated and will require environmental remediation. Does City wish to remove this use? Would City pursue a "quick take" condemnation? V. Zoning The site is currently zoned C-l Commercial. The proposed use requires rezoning to a high density residential zoning classification. Alternatively, City Council may decide to adopt a resolution allowing senior assisted living buildings as a conditional use under Commercial zoning classifications. The assisted living conditional use fits under a commercial classification due to the extent of services provided in such a facility. VI. Ring Road A. Timing of Extension to Project B. Cost to Abutting Property Owners C. Park Nicollet Clinic / Private Road VII City Assistance: Tax Increment Financing Crystal Care respectfully requests the City's assistance in offsetting certain costs associated with developing this site. The Project will help create an attractive campus at the north end of the Ring Road, provide needed housing options to seniors, bring jobs into the community (25 positions) create more demand for downtown merchants, and remove an obsolete use from a highly visible comer. Crystal Care requests the City's financial assistance with respect to the following items: A. Land Acquisition ofTJ Towing B. Demolition ofTJ Towing Structures C. Environmental Remediation D. Parking Garages for Project E. Surface Parking and Sidewalks F. Utility Connection and Development or Impact Fees G. Extension of Ring Road 2 Project construction cost is estimated at $4.5 - $5 million. At stabilization, the project should generate approximately $135,000 in annual taxes, based on the following formula: Building Cost: x Tax Capacity $4,500,000 2.4% $ 108,000 x Tax Rate Annual Taxes: 1.24286 $ 134,228 Depending on the costs of acquisition, demolition, and remediation relating to TJ Towing, we estimate the costs financed through tax increment financing (TIF) as itemized above, will range $500,000 - 700,000. Assuming eligible TIF costs were $600,000, the City would recover its investment in less than 7 years (including the two years of construction and lease-up to stabilization). Crystal Care would prefer the City fund these costs and recover its investment through the added tax revenue the Project will generate. Alternatively, there could be a combination involving a traditional TIF program and "Pay-As- You-Go" TIF. Under this approach, the City would fund those costs associated with TJ Towing and Crystal Care would fund other eligible costs and look to a reduction in tax liability until such costs are recovered. Tax increment financing allows the Project to succeed at this particular site. We believe the Project not only improves the site to its highest use, but also benefits the neighborhood and furthers the City's objectives relative to downtown redevelopment. 3 Prior Lake City Council Concept Review of Assisted Livina Community Crystal Care at Park Nicollet Addn March 19. 2001 Council Forum C, C1]dstal t:.are, LLC A Clear Vision in Senior Living A. What is Assisted Living? 1. A special combination of housing, personalized supportive services and health care designed for seniors that need assistance with activities of daily living (e.g. toileting, bathing, medication administration, housekeeping, laundry) but do not require an acute care environment such as a nursing home; 2. In addition to individual dvv'elling units, common spaces and shared amenities, residents receive three nutritious meals per day as well as social, recreational, fitness and spiritual programs; 3. The Community is secured and staffed 24-hours per day. The housing director oversees a staff divided into three separate shifts. B. Overview of the Prior Lake Assisted Living Community 1. Amenities and Common Areas include: a) Memory Care . Lobby . Dining Room . Media Room . Activity Kitchen . Activity "Playhouse" . Living Room . Porch . Memory Care Courtyard b) Assisted Living . Lobby w/ Fireplace . Dining Room . Cafe . Solarium . Resident Laundry (each floor) . Media Center . Beauty/Barber Salon . Card/ TV Room . Staff Dining/Locker Room . Activity Room / Chapel 5200 Willson Road, Suite 150, Edina, MN 55424 Tel: 612.836.2790 Fax: 612.836.2794 E-mail: crystalcarellc@aol.com 2. Unit Mix: 1. Assisted Living (3 levels) 40 Units: . 23 Studios (kitchen & bath wI shower) . 15 One-BRs (kitchen & bath wI shower) . 2 Two-BR (kitchen & 2 baths wI shower) 2. Memory Care (1 level) 20 Units: . 17 Studios (wI bath) . 3 Luxury Studios (wI bath) C. Status of the Crystal Care Project 1. The Original Crystal Care Project: a. When Crystal Care appeared before Council on May 1, 2000, we: . Proposed assisted living that included acquisition of the T J Towing property; . Requested tax increment financing assistance of $500,000 to $700,000 to help offset eligible costs; b. On October 26th, 2000 the City informed Crystal Care T J Towing 'NOuld not be condemned and TIF assistance 'NOuld not be available 2. The Current Crystal Care Project: a. Crystal Care and Park Nicollet have structured a new agreement that locates the Property at the southeast corner of the Park Nicollet Addition and contemplates the extension of the Ring Road; b. Together wI Park Nicollet, we are applying for Preliminary Plat; c. Crystal Care is applying for Conditional Use Permit; d. Crystal Care has applied for HUD Financing; e. Crystal Care requests City assistance to help offset fees, including acreage fees and hook-up fees . Amount of Assistance Requested: . Estimated Development Cost: $ 200,000 $6,000,000 D. Planning and Design Considerations . Bob Davis, of Design 1; . Enclosures: Site Plan, Floor Plan & Elevations CRYSTAL CARE PROJECT TUESDAY, FEBRUARY 27,2001 SIGN IN SHEET f=v-~k- ~ ~ <1 \"2-- q.\("I -~ ~ 0 I V{\'or LrJa. PhY\.~ q~- 4-tt"t - 8'1';>"- ~t~t /..z{..}1 ~ \ ~ Q Dl~ f1., L&-k. ) I-td{~{C q.s~ - 440' I?>b? 152- '33~ .l-71 () " I.. ~ ~V-Q. l{C(? -9[1/ '(L ~l~ ~ ~~lt-S t ~~ro.kt-s ~S:/.. 't1. ~.so~ DfrVl D~:S\~~ i 952.. 9D3"?29~ Mc.Q(~ Q; oQ p~ ~ QS2/L/L./, - Cj831 1?u~ ;:1 &f () Os ~ vr AJ/J5o"J II ?SL-f~7-r6 C/o 7710 Computer Avenue, Suite101 Minneapolis, Minnesota 55435 (612) 831.3341 Fax (612) 831.4552 Mr. Michael Lewis Crystal Care, LLC 5200 Willson Road Suite 150 Edina, Minnesota 55424 July 26, 2000 RE: Proposed Crystal Care Housing Development Southeast of Highway 13 and Toronto Avenue Prior Lake, Minnesota Dear Mr. Lewis: Enclosed are two copies of the draft Phase I Environmental Site Assessment report for the Prior Lake site. The following is a summary of the environmental issues related to both the subject property and the TJ's Tire and Towing site: Subject Property . Three areas of surficial debris were identified on the subject property. Debris Areas 1 and 2 were located on the northern portion of the property, immediately south ofTJ's Towing property. Debris Area 3 was located on the central portion of the property. No evidence of significant amounts of buried debris (e.g. hummock ground surface or material partially buried or protruding from the ground) were noted on the debris areas. . Materials located in Debris Areas 1 and 2 (i.e. a drum of unknown contents, parts washer, oil stained carpet and oil soaked sorbant material in Area 1 and the roofing material and a car battery in Area 2) appear to contain or have previously contained petroleum products and potential hazardous substances such as solvents. Although no evidence of a specific release was observed in these areas (with the possible exception of the oil soaked sorbant material observed on the ground surface in Area 1), this potential for a release represents a recognized environmental condition. / Limited Phase II investigation in the Debris Areas 1 and 2 appears warranted to confirm that no significant releases of petroleum products or hazardous substances have occurred in these areas. . Small amounts of discarded debris was observed at several other locations on the property and included items such as tires, rusted metal, and an empty rusty drum. Due the presence of dense vegetation which obscured direct observations of the ground surface at all locations, there is a potential that other debris than observed during the site reconnaissance and noted in this report could be present on the subject property . Peer Env ronmental & Eng neer ng Resources, I n c. Michael Lewis Crystal Care, LLC Page 2 July 26, 2000 . All identified debris should be properly characterized and removed from the property prior to its development. Because the various materials may contain residual product or may be contaminated with petroleum products or other hazardous substances, some of these materials will require special handling and disposal procedures. . Based on review of the MPCA files regarding the TJ's Tire and Towing and the EZ Stop service station petroleum releases, it appears there is a low potential that shallow groundwater at the subject property has been contaminated by these sources. However, should the future development require construction dewatering or permanent dewatering, sampling and testing of the groundwater would be prudent. TJ's Tire and Towing Site . Two gasoline underground storage tanks (USTs) were removed from the site in 1992. The USTs were located adjacent to the existing building. Releases were reported from both of the USTs and were investigated in 1993. The MPCA has issued file closure for the releases in 1993 and did not require any cleanup. Groundwater occurs a depth of about 7 feet. Ground water testing was conducted and no ground water contamination was identified, however the testing completed was very limited in scope and there is a potential that ground water contamination exists. In addition, groundwater on this site may have been impacted by the adjacent EZ Stop service station site. Petroleum contaminated soil is present in both of the former tank basins. Should site development require excavation and dewatering, additional investigation may be warranted and some soil cleanup may be required as part of the development. . A waste oil UST is apparently present at the site. The UST will require removal and environmental monitoring prior to development of the property. If a release is identified from the waste oil UST, it will need to be investigated and cleaned up as required by the MPCA and as needed to facilitate the site development. . The site has had a history of auto repair operations which likely involved use and handling of petroleum products and hazardous substances. The majority of the site is unpaved and has apparently been used for storage and repair operations. There is a potential that surficial contamination may exist on the exterior areas of the site. Prior to acquisition of this site, investigation of the surficial soils at the property will likely be required. Should surficial soil contamination be identified, it may need to be cleaned up as part of site development. ,. Michael Lewis Crystal Care, LLC Page 3 July 26, 2000 Closing Remarks After you reviewed the enclosed report, we should meet to discuss the findings. If you have any questions in the interim, please feel free to call us at (952) 831-3341. S7~7n-: KristiaalCh, P.G. Environmental Geologist :.;- o o :n 0- ~ o o CIl = .g: n j CIl ! ~. g i:>. o (") ~ ....... o en ~ (D ~~'-'"'t;1> g-S~~g ,<(D~",O S&:~ ~g- <enNoo.. (D ~ VI g. ..... p... ~ en ~8Nap) .g ::to 0 en CD (D ~ 0 :=.' :4: en OCI :-' !1l (D r-fo. ...... ""'"t 8.:aa;:~ ..... (D ....... ""I 0 O~ ~~3 g p) '0 ..... t:J ..... ....... (D a(DS~~ .g~S~~ ~Se:g:::.: p) S- ~ ~ [(D ~ ~. S '<Sen:::::en . 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