City Council Agenda and Packet 2021 02 02

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SUBJECT: RESOLUTION 6, SERIES 2021 DATE: FEBRUARY 2, 2021 PAGE 2 OF 3 • Seeks to enhance the relationship between this property and the adjacent Village Square Shopping Center as well as nearby residential areas; • Raises future property values well above current level and will generate new sales tax revenue for the City; • Encourages a mix of uses on the subject property as well as a combination of indoor and outdoor space; • Has an existing shared parking arrangement and can utilize existing parking rather than creating significantly more surface parking; • Seeks to enhance pedestrian connectivity; • Will address lacking streetscape and landscaping elements, as well as replace aging infrastructure; and • Would act as a public -private partnership with the LRC. Based on the LRC's direction, the City Attorney prepared an agreement for public infrastructure assistance, which was reviewed by LRC in January. The proposed agreement with Corvus Nidus LLC has been structured similar to the agreement for public infrastructure assistance with 824 South Inc. that was adopted by the LRC in 2020. Specifically, the applicant would perform the planned work, obtain appropriate warranties, and submit the improvements for inspection and approval. The LRC would then rebate the applicant for work performed according to the actual invoice, up to a total amount of $134,758. As the applicant is providing the project warranty, the agreement outlines the LRC will provide the financial guarantee ($134,758 multiplied by 1.15). After the warranty period expires, the additional .15 of the guarantee will go back to the LRC if it has not been used. Since the applicant has indicated planned completion in late summer 2021, the agreement provides for termination if the project has not been completed by December 31, 2021. In January, the LRC directed staff to bring forward the resolution and agreement (included as Attachment #1) for City Council approval. If Council approves, the agreement will go back to the LRC for final approval at the February 10 regular meeting. As background to LRC's evaluation, the application for assistance and project proposal are also included as Attachment #2. FISCAL IMPACT: The proposed public infrastructure agreement provides assistance to Corvus Nidus LLC in the amount of $134,758 for the project at 511 E. South Boulder Road. The LRC will also be responsible to provide the financial guarantee for the project work during the warranty period. CITY COUNCIL COMMUNICATION 17