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HomeMy WebLinkAbout4.1 Business Inquiry/Development Update Business/ Inquiry To: Honorable Mayor Bailey and EDA Members From: Christine Costello, Acting Community and Economic Development Director and Matt Wolf, Economic Development Specialist Date: April 4, 2019 Activites that have taken place in the community that may have a potential impact on economic development activity: Discussion Staff Action Bus Circulator Meeting with Economic Development Specialist Wolf and Administrative DARTS – Tuesday, May 12 Assistant Hetland met with DARTS to discuss the proposed Bus Circulator LOOP in Cottage Grove. ICSC Kick-Off Meeting – Mayor Bailey, Councilmember Dennis, City Administrator Thursday, May 14 Levitt, Acting Community and Economic Development Director Costello and Economic Development Specialist Wolf met to discuss the logistics for the upcoming ICSC event in May. ICSC Promotional Video – Economic Development Specialist Wolf and Thursday, May 14 Communications Manager Seroka worked with SWCTC to shoot a promotional video for the upcoming ICSC event with Culver’s, HyVee, and Planet Fitness Airgas Meeting - Thursday, Acting Community and Economic Development Director May 14 Costello and Economic Development Specialist Wolf met with Airgas to discuss the purchase agreement and wetland delineation for the site. Senior Center Meeting – Economic Development Specialist Wolf met with staff from Monday, March 18 the School District Senior Center to discuss the proposed DARTS Bus Circulator LOOP. Annual Business Breakfast – The Annual Business Breakfast was held at 3M on Tuesday, Tuesday, March 26 March 26 from 7:00 am to 9:00 am, which included members of the business community and Senator Karla Bigham. This year’s guest speaker was Matt Birk from the Minnesota Vikings. Matt is a Super Bowl winner and author. Matt related his experiences in the NFL on how to become a better leader and create effective teamwork. Muddy Cow Ribbon Cutting – Muddy Cow officially opened for business and held their Tuesday, March 26 grand opening/ribbon cutting celebration on Tuesday, March 26 at 11:00 am. Muddy Cow is owned by Frank Greczyna and Pat Conroy. After opening their first successful restaurant in Coon Rapids they have opened locations in Shakopee, Litchfield, Oak Park Heights, Burnsville and now Cottage Grove. Development Inquiry Update April 4, 2019 Page 2 Lodging Tax Meeting with Staff met with the Cottage Grove Area Chamber of Chamber of Commerce – Commerce to begin the process of establishing the Cottage Thursday, March 28 Grove Area Tourism and Visitor’s Bureau (Bureau). Once a Board of Directors is preliminary established the Bureau will apply to the State of Minnesota and Internal Revenue Service for 501c6 non-profit status. When that process is complete a lodging tax ordinance will be brought before the Cottage Grove City Council. Business Park Newsletter Staff met to discuss the Business Park Newsletter that will Meeting – Friday, March 29 be emailed out to brokers, developers and potential investors to promote the City of Cottage Grove Business Park. Façade Improvement Acting Community and Economic Development Director Meeting – Tuesday, April 2 Costello and Economic Development Specialist Wolf met to discuss the final façade improvement applications that were submitted and next steps. Access to Employment, Economic Development Specialist Wolf attended the Access Workgroup – Thursday, April to Employment Workgroup hosted by Washington County to 4 discuss workforce issues in the County. Discussion of Cottage Grove Economic Development Specialist Wolf met with Sheila Bus Circulator – Friday, April Holbrook-White, Washington County Mobility Manager, and 5 Sally Anderson from Community Thread to discuss the proposed Bus Circulator LOOP in Cottage Grove. TO: Economic Development Authority FROM: Christine Costello, Acting Community & Economic Development Director DATE: April 4, 2019 RE: Development Update Building Permits Building Permit Statistics: Between March 1 and March 31, 2019, there were 241 building permits issued with a total valuation of $5,367,700, including 13 new single-family homes valued at $3,690,358 and 4 quad homes in one building with a valuation of $696,344. Commercial Permit Valuation Comparison By Month 2018-2019 25,000,000 20,000,000 15,000,000 10,000,000 5,000,000 - JanFebMarAprMayJunJulAugSepOctNovDec 2019 Valuation2018 Valuation Economic Development Authority Development Update April 4, 2019 Page 2 of 9 Commercial/Industrial Construction Activity 120000000 100000000 80000000 60000000 40000000 20000000 0 yearvaluation Residential Permits -New construction 1996 to 2019 350 300 250 200 150 100 50 0 1995200020052010201520202025 Economic Development Authority Development Update April 4, 2019 Page 3 of 9 Current Project Updates The HERO Center: Exterior and interior masonry walls were constructed between January and Feb- ruary. During the month of March, precast wall panel and structural steel installation neared comple- tion. Contractors anticipate having the gun range dried in by the end of April with interior finishes, site, and power utility construction beginning in late April. 85th Street looking south Northwest corner of building looking south HERO Center Conceptual Elevations Ice Arena South and Main Ice Rink Improvement: This project consists of removing both ice rink surfaces completely and adding new refrigeration for both rinks. Total Mechanical is the contractor for this project with a construction value of $1,567,745. Economic Development Authority Development Update April 4, 2019 Page 4 of 9 Target: The façade and minor interior remodeling project is nearing completion. Park Place Storage Unit Building C: The construction plans for third building of this project (64,800 square feet with a valuation of $2,980,800) were reviewed and approved. The building permit is ready for issuance. Menards: The building plans for a 43,904 square foot storage building with a construction value of $843,176 have been submitted for review. Park High School Bleachers: South Washington County Schools has proposed a bleacher replace- ment project at Park High with a value of $136,544. Triple Angels: The Certificate of Occupancy was issued. Spring Flooding Engineering worked with Public Works and Public Safety in March to address significant inland flood- ing and ongoing river flooding. A quick melt, extended rain event, and frozen ground led to unprece- dented local high water levels in many drainage and ponding areas during the week of March 11. A quick response by the City mitigated any serious issues during the event, and recent dry conditions have allowed the high water to subside. The City is still dealing with flooding on the Mississippi River, with the Grey Cloud Trail Bridge being closed bridge when water is within one foot of the bottom girder and to place the necessary jersey barriers to weigh down the bridge. While the slower melt within the upper Minne- sota and Mississippi River water- sheds has resulted in a lower crest, it also greatly lengthens the time the water will remain high. Currently the river was predicted to crest on April 1 and maintain a higher level through the first week of April. The bridge will remain closed until the water level is low enough to remove debris that is caught on it and have an inspection completed. Based on the current predicted crest, the Grey Cloud Economic Development Authority Development Update April 4, 2019 Page 5 of 9 Island Drive causeway will remain open and give access to the island. Below is a photo of the bridge on March 27. Hinton Avenue & 70th Street Roundabout During the month of January, Washington County completed the project plans for the Hinton & 70th Roundabout and put the project out to bid. These improvements will enhance safety and mobility through the intersection. The roundabout will be built for two lanes of traffic to accommodate a poten- tial widening of 70th Street to four lanes in the future. In the near term, the roundabout will be striped to function as a single-lane facility. The project was awarded by the Washington County Board during March. The County will hold an Open House during the month of April, with work anticipated to start in May. The current construction plan includes maintaining access to local business by constructing the roundabout in five phases. Hamlet Park Improvements As shown in the CIP, the City plans to begin the first part of a four-phase expansion of Hamlet Park in 2019. The first phase will include grading and utility work to extend sanitary sewer and watermain required to facilitate future phases. The plans & specs were approved by the City Council on March 20, and the project is currently out for bid. Calarosa Development (3rd Addition) The Calarosa development includes three separate additions totaling 230 lots. The 3rd Addition, which will include 110 lots, is scheduled to begin construction in April 2019 and be complete by fall of 2019. Economic Development Authority Development Update April 4, 2019 Page 6 of 9 This phase will also include construction of the Association clubhouse and outdoor pool. The development is located northeast of the Ideal Avenue-65th Street/Ravine Parkway intersection, south of the Woodbury border and west of Inwood Avenue. The pre-construction meeting for Calarosa 3rd Addition was held on March 27. Manning Avenue Safety Improvements MnDOT accepted bids for the second phase of the Manning Avenue Safety Improvements Project in March. This phase will involve reconstruction from 70th Street to Highway 61 and will be completed in two phases between 2019 and 2020. MnDOT is holding an open house on April 9 and will provide more information regarding the phasing and detour plan at that meeting. A City representative will also be present at the open house. Planning Division Planning Commission Meeting The Planning Commission met on March 25, 2019, and reviewed the following applications: Verizon Antennas on West Draw Water Tower Case CUP2019-012: The Planning Commission held the public hearing on the request by Verizon Wireless to install antennas and equipment on the Meadow Grass water tower at the corner of Meadow Grass Avenue and 70th Street. Verizon has a Economic Development Authority Development Update April 4, 2019 Page 7 of 9 current lease for their equipment on the communications towner at the old City Hall location. The City has requested to terminate the lease agreement, which necessitates that Verizon relocate their com- munications equipment. There would be six antennas added to the water reservoir that would extend approximately eight feet from the guardrail, the same height as existing antennas. Additional equip- ment storage cabinets would be located within the water reservoir. A temporary location may be required to be constructed at ground level near the water reservoir to allow continued service while state and federal permitting processes are completed. The temporary structure would be approximately 400 square feet with equipment cabinets and a monopole tower to support the antennas. The temporary location would be removed at such time the permanent equip- ment installation is completed. The Planning Commission unanimously (5-0 vote) recommended approval of the conditional use permit. This request will be heard at the April 17, 2019, City Council meeting. Danner Grading Permit Apache Site Case ICUP2019-013: The Planning Commission held a public hearing for the request by Danner, Inc. to grade approximately 500,000 cubic yards on 54 acres of land at the northwest corner of Keats Avenue and East Point Douglas Road. Danner, Inc. has been operating similar activities at the site for approximately the past 15 years, including the site to the north. Approximately 600,000 cubic yards of material has been removed. This request is the second phase of the project to fine tune areas for future development. The Planning Commission unanimously (5-0 vote) recommended approval of the conditional use permit. This application will be on the April 17, 2019, City Council agenda. Economic Development Authority Development Update April 4, 2019 Page 8 of 9 Economic Development Annual Business Breakfast The Annual Business Breakfast was held at 3M on Tuesday, March 26, from 7:00 a.m. to 9:00 a.m. (but not with the Vikings) and author. Matt related his experiences in the NFL on how to become a better leader and create effective teamwork. Muddy Cow Muddy Cow officially opened for business and held their grand opening/ribbon cutting celebration on Tuesday, March 26, at 11:00 a.m. Muddy Cow is owned by Frank Greczyna and Pat Conroy. After opening their first successful restaurant in Coon Rapids, they have opened locations in Shakopee, Litchfield, Oak Park Heights, Burnsville, and now Cottage Grove. Lodging Tax The Letter of Intent between the City of Cottage Grove and the Cottage Grove Area Chamber of City Council Meeting. The Cottage Grove Area Chamber of Commerce is beginning the process of reaching out to potential members for the Board of Directors of the Bureau. Once a Board of Directors is preliminary established, the Bureau will apply to the State of Minnesota and Internal Revenue Service for a 501(c)(6) non-profit status. When that process is complete, a lodging tax ordinance will be brought before the Cottage Grove City Council. Economic Development Authority Development Update April 4, 2019 Page 9 of 9 Airgas This $54 million dollar project to develop an Air Separation Plant in the Cottage Grove Business Park was approved at the March 20 City Council meeting. The project was featured on March 26, 2019, in an article by Finance & Commerce: https://finance-commerce.com/2019/03/cottage-grove- to-get-54-million-airgas-plant/. The project is tentatively scheduled to begin in early summer of 2019. Access to Employment Workgroup With funding from the Minnesota Department of Transportation, Washington County formally accepted the Transit Needs Study and its priorities on February 2018. To further advance these priorities, the County is developing a Transportation Consortium. The Transportation Consortium will focus on Access to Health & Wellness, Access to Employment, Access to the Community and Region, and Access to the County. Staff will be participating in the Access to Employment Workgroup, which will meet the first Thursday of every month starting in April. The Access to Employment Workgroup will focus on initiatives that increase economic self-sufficiency, including increased access to job readiness, training, hiring, and retention supports through outreach, data sharing, financial support, and collaborative solutions development. Washington County Economic Development Workgroup City of Cottage Grove staff attended the Washington County Economic Development meeting on March 6, 2019, at the Washington County Community Development Agency. The meeting focused on being shovel-ready for development with a presentation from Amanda Taylor, Director of Research, from GreaterMSP. It was a great opportunity to hear that Cottage Grove is already doing most of the items that are required to be ready for development. Specifically, as the City of Cottage Grove has undergone the process twice on over 50 acres to get them shovel-ready certified through the Department of Employment and Economic Development and Xcel Energy.