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1995-11-07 Special CIC Minutes20 MINUTES OF SPECIAL COMMUNITY IMPROVEMENT COMMISSION MEETING NOVEMBER 7, 1995 The meeting was convened at 7:25 p.m. with Chair Appezzato presiding. The Pledge of Allegiance was led by Commissioner Lucas. Reverend Lois "Suji" Hochenauer, The Home of Truth, Alameda, gave the invocation. ROLL CALL - MINUTES PRESENT: Commissioners Arnerich, DeWitt, Lucas, Mannix and Chair Appezzato - 5. ABSENT: None. (95-127) Minutes of the Special Community Meetings held June 20, 1995 and October 9, Commissioner Lucas moved approval of the Arnerich seconded the motion, which carried - 5. REPORT AND RECOMMENDATION Improvement Commission 1995. Approved. minutes. Commissioner by unanimous voice vote (95-128) Report from Community Development Director recommending Authorization for Executive Director to Execute an Exclusive Negotiation Agreement between the Community Improvement Commission (CIC) and Browman Development Company for Properties Located at 1916 Webster Street and at the South West Corner of Atlantic Avenue and Constitution Way. Accepted. Don Bergen, Alameda, inquired why the property could not be sold and monies deposited in the General Fund; stated that the addition of a drugstore creates further saturation on Webster Street; referred to various drugstores in the City; stated that another drugstore was not needed; and stated that he did not believe there would be pedestrian activity at Constitution and Webster. Neil Patrick Sweeney, Alameda, spoke in support of the proposal; and stated that the City should welcome all new business. Darryl Browman, President of Browman Development Company, discussed the project and provided background information on Browman Development Company. Special Meeting, Community Improvement Commission November 7, 1995 204 Commissioner Arnerich stated that he would like to receive a list of Browman Development Company projects. In response to Commissioner Arnerich's inquiry, the City Manager stated that State law indicates that Housing Authority property must be offered to Park and School Districts, and other similar entities for 90 days prior to sale of property; that the rationale is that the Housing Authority is in need of property for housing; that this is, perhaps, not the best property for housing; that the City Attorney has indicated that it is possible to trade the property for equal value of property at another location; and that that is what is being recommended in lieu of selling the property which would then have to be offered to other entities and would cause a delay of approximately six months. In response to Mr. Bergen's inquiry (why the property could not sold and monies deposited in the General Fund), the City Manager stated that the majority of the land is not General Fund property and belongs to the Housing Authority; that after a period of time the property could be sold if there were any buyers; that monies could go to the Housing Authority's Fund but not to the City's General Fund; that having the Exclusive Negotiation Agreement would allow the developer to negotiate with the other entities involved; and that we are looking at the East Bay Municipal Utility District and the Alameda Belt Line that owns property that needs to be assembled for this project. Commissioner Lucas stated that she was pleased that Mr. Browman expressed commitment to providing a quality project; that it was impressive that Mr. Browman has been able to conduct business during depressed times; and that she was pleased that Mr. Browman was an Alameda resident. Commissioner Lucas moved acceptance of the report and recommendation. Commissioner Arnerich seconded the motion. Commissioner Mannix stated that, although he believed the project had good viability curve, he had concerns about inundating the area with one type of business; requested that additional information be brought back to the Commission, during the 60-day interim period, on the Plan, including any impacts on other retailers and the overall business district mix. Commissioner Mannix moved to reopen the public comment portion of the meeting. Commissioner DeWitt seconded the motion, which carried by unanimous voice vote - 5. Shelia McElroy, Executive Director, West Alameda Business Association (WABA), stated that WABA is pro-development; that WABA is sensitive to the need for development on the site; expressed concern that the project was not discussed with any WABA Special Meeting, Community Improvement Commission November 7, 1995 2 205 representative; requested that a WABA representative be an active participant in the structuring of the development; stated that Walgreens would compete directly with current, nearby businesses and does NOT fill a retail market gap; requested that a survey be conducted of what the market demands were for the area; and expressed concerns for other businesses in the area. In response to Ms. McElroy, Chair Appezzato stated that he had no problem with a member of the Association being an active participant in the structuring of the development. Ed Clark, West Alameda Business Association (WABA), spoke in support of the property being developed; opposed to City endorsing a competing business; suggested that the City consider new businesses that will bring people to West Alameda, not compete with existing businesses, and lead to further development of the Historic Webster Street area; suggested that new concepts be initiated; stated that Walgreens was the worst tenant for the development; stated that if Walgreens is in, Longs Drugstore and Payless Shoe Store is out, which would result in empty structures; and encouraged a stimulated business district. Chair Appezzato stated that Council faced a difficult decision; that if Council did nothing, the area which is somewhat blighted, would remain so with no hope in sight for further development and criticized; that if the Council allows the development, the City may be criticized for showing lack of concern for the small businesses on Webster Street; and that it was a difficult decision and it would not please everyone. In response to Commissioner Arnerich's inquiry, Mr. Browman stated that Trader Joe's was contacted and indicated that they [Trader Joe's] had no interest in participating in the project due to their Emeryville location; and that Walgreens was an integral part of the development plan. Commissioner Lucas stated that she has reviewed various surveys as to why companies were hesitant to bring their business to the area; that the survey indicated that it had to do with the household income in the area; that she admires Mr. Browman's courage to initiate a development at the site; that she is encouraged that a company the size of Walgreens is willing to locate at the site; that Mr. Brownian is also making another 10,000 square -foot building available for other tenants; spoke in support of Mr. Clark's idea to pursue high quality food store tenants; that other developers, including the developers of Marina Village, have tried to attract upscale stores to the West End to no avail; that said project was the beginning for Webster Street and greatly improve it; and that hopefully other tenants will come' along at a later time and the Naval Air Station developed. Special Meeting, Community Improvement Commission November 7, 1995 3 206 The motion carried by unanimous voice vote - 5. ADJOURNMENT There being no further business before the Commission, Chair Appezzato adjourned the meeting at 7:51 p.m. Respectfully submitted, DIANE B. FELSCH, CMC Secretary The agenda for this meeting was posted in advance in accordance with the Brown Act. Special Meeting, Community Improvement Commission November 7, 1995 4