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HomeMy WebLinkAboutCity Council - 04/04/2023 - Workshop APPROVED MINUTES CITY COUNCIL WORKSHOP & OPEN PODIUM TUESDAY, APRIL 04, 2023 CITY CENTER 5:00 – 6:25 PM, HERITAGE ROOMS 6:30 – 7:00 PM, COUNCIL CHAMBER CITY COUNCIL: Mayor Ron Case, Council Members Kathy Nelson, Mark Freiberg, PG Narayanan, and Lisa Toomey CITY STAFF: City Manager Rick Getschow, Police Chief Matt Sackett, Fire Chief Scott Gerber, Public Works Director Robert Ellis, Community Development Director Julie Klima, Parks and Recreation Director Jay Lotthammer, Administrative Services/HR Director Alecia Rose, Communications Manager Joyce Lorenz, City Attorney Maggie Neuville, and Recorder Kelsey Engelen Workshop - Heritage Rooms I and II (5:30) A. ECONOMIC DEVELOPMENT UPDATE Dave Lindahl, Economic Development Manager for City of Eden Prairie, began by overviewing the various topics he would discuss throughout the presentation. Lindahl mentioned the Innovation Sandbox; Economic Development (ED) Fund Infrastructure Projects; Development Activities; Leasing Updates; High Profile Vacancies in Eden Prairie; Chamber of Commerce Collaborations; and a SouthWest Light Rail Transit (SWLRT) Construction Update. The Innovation Sandbox, Lindahl explained, began about four years ago with the goal of doing more to support entrepreneurship in Eden Prairie (EP). It evolved into a space that the EP School District plans to build at the EP High School (EPHS) as a collaboration between the City, EP Schools, the Chamber of Commerce, and 1Million Cups. The new dedicated space will provide educational programing around entrepreneurship; opportunity for collaboration between students and entrepreneurs; after hours availability to entrepreneurs, and for meetings and events; guest instructors; potential office space for start-ups; and a “point of sale” for student-based products. Lindahl showed the Council concept images of the Innovation Sandbox located inside the south entrance of EPHS, and explained that EPHS would potentially be under construction in late 2024 so the space might be available for the beginning of the 2025 school year. Lindahl moved on to discuss several ED funded infrastructure projects, beginning with improvements at Singletree Lane and Prairie Center Drive. The project will reconfigure the right turn for improved safety and redesign the corner plaza area for enhanced aesthetic value. Next, Lindahl provided an update on the Town Center Place Plaza with Flying Red Horse project. Mayor Case, with agreement from Councilmembers, suggested using the word “historic” in place of “iconic” on the sign. Lindahl explained that the City has applied for a $160,000 grant through City Council Workshop Minutes April 4, 2023 Page 2 Hennepin County (HC) to cover half of the total Plaza cost. Discussion ensued around text and lighting of sign. The next project Lindahl highlighted was the Golden Triangle Station Trail Connection. The new trail would stretch from Golden Triangle Area (GTA) Station to Valley View Road, which is approximately a half mile, and would connect with the existing City trail network. The trail would provide pedestrian, bike, and micro mobility access to approximately 9,000 jobs and 300 housing units, and is identified in the Aspire 2040 Comprehensive Plan as well as HC’s Transitional Station Area Action Plan as a priority connection and opening day improvement. The City is applying for a $500,000 HC Transit-Oriented Development (TOD) Grant to help fund the project. The final ED Fund assisted infrastructure project Lindahl covered was the West 70th Street (East) Extension, which provides access to GTA Station. In 2015, the City obtained a $470,000 HC Grant to help fund east and west segments, and the west segment was completed in 2016. The East segment construction is expected to take place in 2024, for which the ED Fund is providing $560,000 for its completion. Next, Lindahl moved on to discuss various development activities in Eden Prairie, beginning with the former Vikings and Winter Park property. Over the last four years the City has engaged in discussions with the owner regarding development options. The concept plan shared last December showed apartments and commercial redevelopment. Staff is encouraging property density similar to Elevate and Paravel apartments. The Crosstown Core Industrial Building project involves redevelopment of former Kabuki Restaurant and the adjacent parking lot. The 65,000 square foot multi-tenant spec building is currently under construction with projected completion in 2023. Lindahl then introduced the new Bush Lake Vet Clinic project currently under review. Located at Hennepin Town Road and Pioneer Trail, the vet clinic would take up about 4,000 square feet of the 5,367 square foot building; the remaining space would be open for commercial use. Another project under review is Baker Road Senior Living which consists of 126 senior assisted living units on the southwest corner of Baker Road and West 62nd Street. This development project would repurpose of the existing 9,000 square foot office building and add a 32,000 square foot addition. Next, Lindahl discussed the highly successful Asia Mall development project which opened in November 2022. This project involved major renovation of the former Gander Outdoors building, and they continue to work through parking challenges. City Council Workshop Minutes April 4, 2023 Page 3 Lindahl outlined two car washes that are under review for each of the former Burger King sites. The first is Mister Carwash on Crystal View Road, and the other is Crew Car Wash on Terry Pine Drive. Lindahl noted that the Burger King franchise will not sell their properties for a food use. The grocery box building which is part of the Flying Cloud Commons redevelopment by Oppidan Development, remains vacant. It is unclear at this point if the 40,000 square foot grocery store building, for which Oppidan has a lease for Amazon, will become an Amazon Fresh. Amazon is apparently pausing all new store rollouts to reevaluate their concept. There is currently no word from Oppidan regarding alternative uses if Amazon backs out. Discussion ensued regarding alternative options for the building. Construction is underway at the former Jakes restaurant site which may include a relocation of another vet clinic. The balance of the space would most likely be available for a food-related space. Lindahl provided an overview of the Fat Pants Patio Expansion which is currently under review. The project would include an expansion to their current patio space with an area for music and increased landscaping. Moving on from the various development activities, Lindahl dove in to the leasing activities in Eden Prairie. Smith Coffee’s lease term runs through 2027 and has several projects starting Spring 2023. Both rain gardens will be completely restored, new lighting has been installed and new furniture and seating is in the works. Lastly, they are planning new landscaping along the north property line. The landscaping proposal for this City-owned property was developed by the City and represents a strong design plan which takes into account the future of the property. At 8098 Glen Lane, The EP Montessori School’s lease term runs through September 2027. One of two Montessori schools operated in EP, it is a thriving business and successful location. Lotus Nails, located at the Den Road EP municipal liquor building, has a lease term that runs through September 2024. Lindahl explained that the business has struggled coming out of the Covid pandemic, and the City will likely learn later this year or early 2024 if they intend to renew their lease. Chuck and Don’s, with a lease term through 2029, is doing very well despite the parent company filing bankruptcy in early 2023. The Eden Prairie store is expected to stay open at the Den Road municipal liquor building. Lindahl briefly discussed the City Center space formerly occupied by UNFI and EP Schools which is being considered for new Police Department headquarters and parking. This remodel would open the current police department area as leasable building space. City Council Workshop Minutes April 4, 2023 Page 4 Lindahl went on to touch on various high profile building vacancies. One of the largest is the 450,000 square foot Prairie Commons building at 13625 Technology Drive, currently occupied by Optum. Their lease expires in December 2023 and the property is on the market with Cushman Wakefield looking to lease. At 12125 Technology Drive, a 155,000 square foot former Optum building is on the market which the company had put a lot of money into before finding that the space was unneeded after the Covid pandemic. The Eden Bluff Corporate Center is a 150,000 square foot building that is on the market for lease and is currently occupied by CH Robinson. It is unclear at the moment if CH Robinson intends to extend their lease agreement with the building owners. Lindahl explained that UNFI intends to sell their entire campus in on the southwest side of Bryant Lake. Their situation is a common one; occupying only about 20 percent of their building as more people are working from home, they intend to find a much smaller building which will meet their needs. One 175,000 square foot building occupies 105 acres and has been occupied by UNFI since the 1970s. Most of the land is zoned for office; and part of property is guided for medium density residential, but the land would be difficult to develop due to wetlands and hills. The developable land is likely to be desirable for housing development of apartments or townhomes. Discussion ensued regarding north side lake frontage land and potential pushback from residents on the other side of the lake. The American Family Insurance Campus by Opus Park has been on the market for almost a year. Like so many companies, they no longer need the space. The campus includes two buildings totaling 208,000 square feet, on 14 acres. The land presents potential for residential development. Due to its proximity to Minnetonka, this would require collaboration with City of Minnetonka as it would impact their road system. Next, Lindahl provided an EP Chamber of Commerce collaboration update. Lindahl touched on various events including the Economic Development Bus Tour; Annual Career Expo at EPHS; Session Priorities Event and Dinner; Congressman Dean Philipps Luncheon; Annual Golf Fundraiser; and the Annual Meeting. Community Development Director Julie Klima explained that Dave Lindahl was presented the President’s Award from the EP Chamber for his longstanding service to the community and for being such a strong proponent and supporter of the EP Chamber and the City’s efforts. Lindahl offered a brief update on SWLRT construction, stating that the new passenger waiting area will be open for SouthWest Transit in April or May of 2023 City Council Workshop Minutes April 4, 2023 Page 5 The Green Line LRT Extension project will force closure of the Highway 212 Prairie Center Drive ramp for 12 weeks beginning April 10. Lindahl detailed detour routes, including the preferred route for EP Center traffic. Lastly, Lindahl discussed the Eden Prairie Realtor’s Forum which will take place May 12, 2023. The forum is a collaboration between the City, Schools, and Metro Area Realtors (MAR), intended to keep local realtors informed of community developments. The event includes a bus tour of recent developments in addition to a classroom session, and it offers continuing education credit for local Realtors. Past forums have taken place in 2011, 2013, 2016, and most recently in 2019. Discussion ensued about various business and non-profit town hall meetings and opportunities. Council also discussed the trend of business office buildings diminishing following Covid. Open Podium - Council Chamber (6:30) I. OPEN PODIUM III. ADJOURNMENT