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HomeMy WebLinkAbout4.1 Economic Development Update/Business Inquiry Development Inquiry To: Honorable Mayor Bailey and EDA Members From: Christine Costello, Economic Development Director and Matt Wolf, Economic Development Specialist Date: September 7, 2018 Activites that have taken place in the community that may have a potential impact on economic development activity: Discussion Staff Action Chamber Member Economic Director Costello attended the Chamber’s Member Appreciation, July 10, 2018 Appreciation cookout at Peter Thompson Park Dennis Brothers Liquors Economic Development Specialist Wolf and Administrative Business Retention & Intern Aaron Sathers interviewed Dennis Brothers Liquors as Expansion (BR&E) Interview, part of the City’s BR&E Program. July 10, 2018 Gardenworld Business Economic Development Specialist Wolf and Administrative Retention & Expansion Intern Aaron Sathers interviewed Gardenworld as part of the (BR&E) Interview, July 12, City’s BR&E Program. 2018 Former City Hall Site/Library Staff from the City, County and the Library consultant and Working Group Meeting, July potential developer met to discuss site design layouts. 12, 2018 Cottage Grove Auto & Economic Development Specialist Wolf and Administrative Collision Business Retention Intern Aaron Sathers interviewed Cottage Grove Auto & & Expansion (BR&E) Collision as part of the City’s BR&E Program. Interview, July 17, 2018 Lodging Tax Meeting, July Staff met with the Chamber, and fellow City’s that are a part 18, 2018 of the Chamber to discuss their participation in a lodging tax. HyVee Business Retention & Economic Development Specialist Wolf and Administrative Expansion (BR&E) Interview, Intern Aaron Sathers interviewed HyVee as part of the City’s July 23, 2018 BR&E Program. Chamber Event Coffee’s On, Economic Director Costello attended Coffee’s On hosted by July 25, 2018 ReMax Professionals. It was an opportunity to network with Cottage Grove businesses. MN Real Estate Journal East Economic Director Costello and Economic Development Metro Summit, July 27, 2018 Specialist Wolf attended the East Metro Summit. Economic Development Director Costello spoke about Cottage Grove and the development opportunities. Greater MSP Event, August Economic Director Costello and Economic Development 2, 2018 Specialist Wolf attended the 2018 Business Investment Summit at Mystic Lake Casino. The event included discussions on how a corporate site selection deal actually works, addressing the different public and private sector Development Inquiry Update September 7, 2018 Page 2 processes and how to navigate through potential deal barriers. Mtg with Gene and Louise Met with the Smallidges to discuss the Metro Ag Preserve Smallidge, August 6, 2018 Program. Currently requires 8 years to remove a property from the program. Wanted to meet with staff to discuss potential opportunities to change this State program. Will revisit after the November election. Leafline Labs Business Economic Development Specialist Wolf and Administrative Retention & Expansion Intern Aaron Sathers interviewed Leafline Labs as part of the (BR&E) Interview, August 8, City’s BR&E Program. 2018 Ace Hardware Business Economic Development Specialist Wolf and Administrative Retention & Expansion Intern Aaron Sathers interviewed Ace Hardware as part of (BR&E) Interview, August 10, the City’s BR&E Program. 2018 Integrity Dental Care Economic Development Specialist Wolf and Administrative Business Retention & Intern Aaron Sathers interviewed Integrity Dental Care as Expansion (BR&E) Interview, part of the City’s BR&E Program. August 14, 2018 Meeting with Met Council, Meeting with Met Council and ULI to discuss the proposed August 14, 2018 Neighborhood Typology Index Change and the demographic and market inputs and community clusters. Purpose of meeting was to gain feedback and guidance on the usefulness of the tool. Former City Hall Site/Library Staff from the City, County and the Library consultant and Working Group Meeting, potential developer continued to meet to discuss site design August 15, 2018 layouts. Fabricators Choice Business Economic Development Specialist Wolf and Administrative Retention & Expansion Intern Aaron Sathers interviewed Fabricators Choice as part (BR&E) Interview, August 16, of the City’s BR&E Program. 2018 Manufacturing Solutions of Economic Development Specialist Wolf and Administrative MN Business Retention & Intern Aaron Sathers interviewed Manufacturing Solutions of Expansion (BR&E) Interview, MN as part of the City’s BR&E Program. August 17, 2018 MN Marketing Partnership Economic Director Costello attended the Chicago FAM Tour FAM Tour, August 21-24, with other communities in Minnesota. Meetings were held 2018 with site selectors and real estate brokers and consulates from various countries to discuss the benefits of locating a business in Minnesota. MN Real Estate Journal, Economic Director Costello attended the summit in which a Hotel and Hospitality Summit, market overview and current and future projections were September 7, 2018 discussed as well as potential new concepts in the hotel market. TO: Economic Development Authority FROM: Jennifer Levitt, Community Development Director/City Engineer Christine Costello, Economic Development Director DATE: September 6, 2018 RE: Development Update Building Permits Building Permit Statistics Between August 1 and August 31, 2018, there were 338 building permits issued with a total valuation of $10,086,476, including 14 new homes valued at $4,342,097. Commercial Permit Valuation Comparison By Month 2017-2018 45,000,000 40,000,000 35,000,000 30,000,000 25,000,000 20,000,000 15,000,000 10,000,000 5,000,000 - JanFebMarAprMayJunJulAugSepOctNovDec 2018 Valuation2017 Valuation Economic Development Authority Development Update September 6, 2018 Page 2 of 12 Commercial/Industrial Construction Activity 120000000 100000000 80000000 60000000 40000000 20000000 0 1997199819992000200120022003200420052006200720082009201020112012201320142015201620172018 yearpermitsvaluationLinear (permits) Residential Permits -New construction 1996 to 2018 350 300 250 200 150 100 50 0 199520002005201020152020 Economic Development Authority Development Update September 6, 2018 Page 3 of 12 Current Project Updates Oltman Middle School The school will be open for students on September 5. The Certificate of Occupancy final inspection was conducted on August 30. The ribbon cutting event and open house will be September 23. Norris Square The Independent Living and Town Center are nearing completion; the target date for the certificate of occupancy inspection is September 10. The Care Center building will be occupied soon after. T.J. Maxx and HomeGoods This renovation project is gearing up for interior merchandising during the month of September with a target of opening in November. Planet Fitness The interior tenant improvement plan was submitted and is in the process of being reviewed. They intend to use 18,025 square foot of the east side of the exiting Home Depot building. The construction value has not yet been determined. Economic Development Authority Development Update September 6, 2018 Page 4 of 12 Ice Arena Locker Room Construction has begun on the 3,024 square foot addition on the west side of the existing ice arena building. The construction value for this project is $416,000. Muddy Cow The building permit for the remodel of the former Ruby Tuesday site was submitted and is currently being reviewed. They have been approved for interior demolition. Sushi Café The building permit for remodel of the former River Town Cakes space was issued and construction is ongoing. Park Place Storage This project is well under way with underground utilities and concrete being completed and exterior structural walls and steel being erected for Buildings A and B. Storm sewer installations were completed during the month of August. McDonalds Construction at the McDonalds site started on August 13, beginning with demolition of the building. During the week of August 27, work related to the new water service connection began in East Point Douglas Road. Footings for the building were also poured in the end of August. Building Demolition New McDonalds Footings Economic Development Authority Development Update September 6, 2018 Page 5 of 12 Modern Automotive Performance All underground plumbing is complete. The contractor is currently erecting exterior walls and roof systems. Triple Angels Care Center All underground utility and concrete work has been completed. Building framing work has commenced. Grading work was completed during the month of August, along with the installation of utilities. This project is scheduled to be complete in early spring 2019. North Star Sheets The certificate of occupancy should be issued for the building at the end of this week. The manufacturing equipment is being delivered and moved into the building. Curb & gutter and pavement was completed in August. Final completion is anticipated by early fall 2018. Economic Development Authority Development Update September 6, 2018 Page 6 of 12 WAG Farms Dog Park The underground water line has been installed. This project should be completed soon. 3M Building 147 An application for the construction of a 1,800 square foot building with a construction valuation of $1.9 million has been submitted for review. HERO Center The HERO Center is an integrated public safety training facility to be located on 9.1 acres at the southeast corner of 85th Street and Keats Avenue (CSAH 19). The project has been in the planning process since May of 2011 and is a joint venture between the Cities of Woodbury and Cottage Grove. Final plans were brought to the City Council on August 1 for approval, with a bid date of September 6 and the recommendation of bid awards on September 19. The building plans have been reviewed with comments forwarded to the architect, Leo A Daly; waiting on a set of construction drawings with the noted revisions. This project is anticipated to begin construction in September. HERO Center Conceptual Elevations HERO Center Site Plan HERO Center Training Space Detail Ravine Parkway During the month of August, all utilities were installed from Jamaica Avenue to Military Road. The turn lanes from Jamaica Avenue onto Ravine Parkway were completed during the weeks of August 13 and 20. Construction on the pedestrian bridge crossing started the week of August 20, with the first footing poured the week of August 27. The City has continued to work with the MnDNR to approve the release of the DNR easement area near Keats Avenue. The City will be attending the LCCMR hearing on September 13 to obtain approval of the release. Economic Development Authority Development Update September 6, 2018 Page 7 of 12 Ravine Pkwy street grading, looking east from Jeffery Ave Hadley Avenue Street & Utility Improvements Project Hadley Avenue was closed to traffic on May 21, 2018, and will remain closed during construction, with a detour on 65th Street/County 13 (Hinton Avenue)/Glen Road. Restoration of the boulevards in Phase 1 was completed during the first two weeks of August. Utility installation has been completed in Phase 2, with curb & gutter being placed the week of August 27. The City continues to work with private utility companies to complete the necessary related work, which should be complete by September 10. Street light work, restoration in Phase 2, signage, and paving of the wear course will take place in September prior to opening the roadway. Phase 1 Pavement/Phase 2 Curb & Gutter Looking north to Woodbury 2018 Trail Improvement Project Public Works completed the seeding of the East Point Douglas Road and Hamlet Park trails during the month of August. This seed will continue to be monitored until it is fully established, with any spot re-seeding to take place in September. New seeding along East Point Douglas Road Economic Development Authority Development Update September 6, 2018 Page 8 of 12 Calarosa 2nd Addition Lennar Calarosa 2nd Addition includes the development of 49 lots for single family and villa style homes, located north of Calarosa 1st Addition, south of the Woodbury border, and west of Inwood Avenue. The final grading work in the area of the homestead was completed during August. Sanitary sewer installation started on August 27 and will continue into September. This addition will offer single family homes similar to those in the Cayden Glen neighborhood and villa style homes similar to those in Calarosa 1st Addition. Sanitary sewer installation on Idsen Avenue Eastbrooke Bancorp Group/Gonyea Homes The Eastbrooke development will include 124 single family homes. Phase 1, which will be constructed in 2018, has 50 single family lots. Storm sewer installation was completed in early August, with street work ongoing. Curb & gutter and pavement was completed on the first portion on 61st Street in August. Placement of class 5 in the remainder of the development has been completed as well, with curb & gutter scheduled for the first week of September. Construction of this development is occurring concurrently with the Hadley Avenue Reconstruction Project. Paved section of 61st St. and Gonyea model home construction Mississippi Dunes Estates 5th Addition Donnay Homes This is the final addition to the Mississippi Dunes single family development. This addition will include the development of 44 single-family homes. During the month of August, sidewalk, street light, and private utility installations were completed. Trail construction will be done during September. Model home construction began in mid-July. Economic Development Authority Development Update September 6, 2018 Page 9 of 12 New sidewalk along Mississippi Dunes Blvd Summers Landing 2nd Addition Summergate Development/Capstone Homes The Summers Landing 2nd Addition includes 91 lots for single family home, located near the inter- section of Hadley Avenue and 95th Street. The project was awarded to Northwest Asphalt at the February 21 City Council meeting. Pavement was placed on both the north and south portions of the development during the month of August. Private utility installations are in progress and scheduled to be complete in early September. Work on the model homes by Capstone will be complete prior to the Parade of Homes. 92nd St. Entrance off Hadley Ave. & Capstone model homes Summers Landing 2nd Addition Hamlet Heights Eternity Homes The Hamlet Heights development includes 24 lots for single family homes. This development is lo- cated on the existing dead end of Hamlet Avenue, just south of the Hamlet Park entrance. Mass site grading started the week of August 27, with utility installation scheduled to start in September. Economic Development Authority Development Update September 6, 2018 Page 10 of 12 Mass site grading activities Kingston Fields DR Horton This subdivision will consist of 121 single family lots. Phase 1, which is being constructed in 2018, will include 87 single family lots. Utility installation was completed throughout the development in August. Curb & gutter and pavement was placed in south portion of the development this past month as well. Model home construction will occur throughout the fall. 67th Street, looking towards Jamaica Avenue Planning Division Planning Commission The Planning Commission did not meet in August 2018 as no applications were received. The next meeting will be held on September 24, 2018; the tentative agenda includes the following applications: 61 Marine & Sports Expansion Case CUP2018-051: 61 Marine & Sports, 11730 Point Douglas Drive South, has applied for a conditional use permit to allow construction of 4,800 square foot building to be used for boat storage. 7310 Lamar Bed & Breakfast Case HPCUP2018-052: Wayne and Angi Butt have applied for a Historic Places Conditional Use Permit to construct a 10-bedroom home that would look similar to a house that was originally on the property at 7310 Lamar Avenue South, which will be used as a bed and breakfast as part of the John P. Furber Wedding & Event Center. Economic Development Authority Development Update September 6, 2018 Page 11 of 12 Draft 2040 Comprehensive Plan Update The Cottage Grove City Council, on August 1, 2018, authorized the distribution of the draft 2040 Comprehensive Plan update for comment by neighboring communities and agencies, which can be viewed at: http://www.cottagegrovemn.gov/docs/2040-comp-plan-draft-20180726.pdf. Neighboring communities and agencies were asked to submit their comments to the City by November 5, 2018. To date we have received the following comments: Community/Agency Comments FMR support the transitional planning area land use designation for the Lower Grey Cloud Island and the potential to provide new riverfront open space. FMR is also interested in the development in the business park ex- pansion area to insure good environmental practices are utilized in protect- ing neighboring bluffs and Grey Cloud Dunes Scientific and Natural Area. Friends of the Mississippi (FMR) FMR requested that the Pine Bend Bluffs SNA in Inver Grove Height be Island, and adding a policy that identifies replacing invasive species with native species as a restoration priority for land within MRCCA. Objected to the 2040 Future Land Use Map showing their property south of Flint Hills Resources Include text describing the relationship between Mississippi National River and Recreation Area (MNRRA) and Mississippi River Critical Corridor Area (MRCCA); reference Shore Impact Zones; describe Bluffs and Bluff Impact National Park Service Zones; describe Public River Corridor Views; and incorporate text that is South Washington Watershed District (LSWMP). Develop a more racially equitable and inclusive economy as a comprehen- sive plan goal; embed a racial equity tool for the design, implementation, and evaluation of all policy and investment decisions; and collect disaggre- Center for Economic Inclusion gate and publicly report data by race to track the impacts of policies through- out the life of the plan. On page 27, remove that portion of land in Grey Cloud Township from the Grey Cloud Township River Trail on page 66. Dakota County Soil and Water Conservation District Lower Mississippi Water Management Organization No comment. (LMRWMO) No specific comment other than continuing to work with the city on trail and City of Newport roadway connections and stormwater management. No comment. City of Rosemount MnDOT agrees with the need for some type of continuous frontage road system between Innovation Road/Keats Avenue and Trunk Highway 95; and that MnDOT has no plans for a river crossing between Wakota and Minnesota Department of Transportation Hastings and has no plans for any additional grade-separated intersections south of Innovation/Keats Avenue at this time. Economic Development Authority Development Update September 6, 2018 Page 12 of 12 At the end of the comment period, responses will be prepared for each of the comments received and a report will be submitted to the City Council. The final adoption of the 2040 Comprehensive Plan is tentative scheduled for some time in the February-March 2019 timeframe. April 1, 2019 is the deadline to submit the adopted Plan to Metropolitan Council. Economic Development Ribbon Cuttings A ribbon cutting for the renovation and remodeling of Thrivent Financial offices, 8750 90th Street South, will be held on Thursday, September 13 at 11:30 a.m., with an open house from 3:00 p.m. to 7:00 p.m. The grand opening for the new Oltman Middle School, 6625 Goodview Avenue South, will be held on Sunday, September 23, from 2:00 p.m. to 4:00 p.m. There will be a short presentation at 2:00 followed by tours of the school led by school staff. Summary of Economic Activity Employment and Wages - Prices - - I-1 - Consumer Spending and Tourism - - Manufacturing Services - Agriculture, Energy, and Natural Resources - Construction and Real Estate - - I-2