HomeMy WebLinkAboutRiverside Drive Riverfront Crossings Urban Renewal PlanAmendment #1
Riverfront Crossings URA
name change to
Riverside Drive URA
March 20, 2012
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City of Iowa City
Riverfront Crossings
Urban Renewal Plan
2011
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Table of Contents
Section 1 – Introduction
Section 2 – District Designation
Section 3 – Base Value
Section 4 – Urban Renewal Plan Objectives
Section 5 – Description of Urban Renewal Area
Section 6 – Proposed Urban Renewal Activities and Proposed Projects
Section 7 – Conformance with Land Use Policy and Zoning Ordinance
Section 8 – Relocation
Section 9 – Financial Data
Section 10 – Urban Renewal Plan Amendments
Section 11 – Property Acquisition/Disposition
Section 12 – Effective Period
Addendum No. 1 – Legal Description
Addendum No. 2 – Riverfront Crossings Urban Renewal Area Map
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Section 1- Introduction
This Riverfront Crossings Urban Renewal Plan (“Plan”) for the Riverfront Crossings
Urban Renewal Area (“Urban Renewal Area” or “Area”) has been developed to help
local officials reduce blighted areas and promote economic development within Iowa
City, Iowa. The primary goal of the plan is to stimulate, through public involvement and
commitment, private investment in the revitalization of the Riverfront Crossings Urban
Renewal Area.
The goals outlined in this Riverfront Crossings Urban Renewal Plan include the
following, which include goals detailed in the Iowa City Comprehensive Plan – 1997, as
amended:
Remediation of blighted areas;
Diversify and increase the property tax base by (1) encouraging the retention and
expansion of existing businesses and (2) attracting businesses that have growth
potential and are compatible with existing businesses;
Increase employment opportunities consistent with the available labor force;
Provide and protect areas suitable for future commercial development;
Improve the environmental and economic health of the community through the
efficient use of resources;
Consider financial incentives and programs to facilitate achieving the above goals;
Focus commercial development in defined commercial centers;
Increase sidewalk and trail connectivity to promote walkability and encourage
bicycling and other alternative forms of transportation;
Improve connections between commercial retail uses and adjacent residential
neighborhoods, and
Beautify the commercial corridor through better landscaping and streetscaping,
rehabilitation of old buildings and improvement of building facades.
In order to make development sites attractive to new and expanding businesses,
communities are frequently called upon to provide financial incentives and programs.
Other development sites in the metro area, which already cater to commercial and office
uses, make tax increment financing available to qualifying businesses. The City has
identified the Riverfront Crossings Urban Renewal Area to be a blighted area, as defined
by Iowa Code 403.17 (2011). It is in the interest of its citizens to provide financial
incentives and programs in order to encourage blight remediation and revitalization of
such areas.
Redevelopment of property within the the Riverfront Crossings Urban Renewal Area was
of particular interest to residents of the Miller Orchard neighborhood due west of
Riverside Drive during the planning of the Miller Orchard Neighborhood Plan in the Fall
of 2008 and Spring of 2009. Residents of the neighborhood expressed a desire for
reinvestment in the Riverside commercial area, with better streetscapes and landscapes
and increased diversity of businesses. Commercial redevelopment of this area would
coincide with the residential neighborhood improvements occurring as part of the Miller
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Orchard neighborhood plan.
The Riverfront Crossings Urban Renewal Plan is one component of broader
redevelopment efforts that will eventually encompass the east side of the Iowa River.
Those broader redevelopment efforts are planned to include significant investment in new
residential, mixed-use and commercial properties.
The City intends to make available the use of tax increment financing as a means to
finance the construction of some of the necessary public infrastructure improvements
within the Riverfront Crossings Urban Renewal Area. In addition, the City may make
available the use of tax increment financing to provide direct grants, loans, rebates or
other incentives for qualifying commercial or residential developments that help achieve
the goals and objectives set forth herein.
To achieve the primary objectives of this Plan, the City of Iowa City shall undertake the
urban renewal actions as specified in this Urban Renewal Plan, pursuant to the powers
granted to it under Chapters 15A and 403 of the 2011 Code of Iowa, as amended.
Section 2- District Designation
With the adoption of this Plan, Iowa City designates this Urban Renewal Area as as
appropriate for elimination and remediation of blight.
This Urban Renewal Area is located within the Southwest District of the City. The
Southwest District Plan, a component of Iowa City’s Comprehensive Plan, addresses the
need for changes and improvements in this area, citing the lack of attention to the
interface between commercial and residential uses having contributed to general
disinvestment and declining property values in the Southwest District. Updated in 2002,
the Southwest District Plan calls for buildings that would better blend the business with
the residential neighborhood. The 2008 flood of the Iowa River exceeded the 100-year
flood level and inundated much of the Urban Renewal Area. Most of the area east of
Riverside Drive and much of the area west of Riverside Drive was under water for a
period of approximately 30 days. This event exacerbated the blighted condition of this
Urban Renewal Area.
Several buildings west of the Iowa River and east of Riverside Drive were inundated in
the historic flood of 2008 causing several businesses to close or relocate and necessitating
considerable rehabilitation of existing buildings. Although there are a few properties that
rebuilt after the flood or are of newer construction, a substantial number of structures and
properties are appropriate for blight remediation.
In addition, many properties along Orchard Street south of Benton Street and along either
side of Riverside Drive sit on small lots that do not provide adequate or attractive spaces
for development. These lots also lack efficient access from neighboring streets and are
plagued by restricted traffic flow. The configuration of Sturgis Corner Drive off of
Riverside Drive has contributed to the accessibility problems in particular for businesses
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in the southeast portion of the Urban Renewal Area. The overall lot configuration and
lack of accessibility reduces the usefulness of these properties, leading to a general
diminution of property values.
The disinvestment that has plagued the Urban Renewal Area is circular; the decision by
existing property owners to not reinvest in their property reduces the likelihood that
neighboring property owners will choose to invest. This cycle, spurred on by the flood of
2008, inadequate lot sizes, poor traffic flow and lack of site accessibility, substantially
impairs or arrests the sound growth of this area, constitutes an economic and social
liability in its present condition and use.
The Area does contain several well-established, successful businesses that nevertheless
do not conform with the City’s current design standards, and may benefit from substantial
rehabilitation or redevelopment of certain site improvements. Access from Riverside
Drive is difficult due to lack of turn lanes and proliferation of driveways in the corridor.
Sidewalk accessibility is discontinuous and inadequately designed. Curb ramps are
inconsistent and absent in places. Landscaping and pedestrian amenities are nearly
nonexistent. Cross-access easements between lots are largely absent. All of these features
could be enhanced through incentives enabled by the Urban Renewal Area, which would
foster economic development in the area.
Overall, the area is designated for blight remediation due to the presence of a substantial
number of deteriorated or deteriorating structures, defective or inadequate street layout,
faulty lot layout in relation to size, adequacy, accessibility or usefulness, deterioration of
sites, and the existence of conditions which endanger property by various causes,
including a combination of the foregoing factors. Such conditions substantially impair or
arrest the sound growth of the City, retard the provision of housing accommodations, or
constitute an economic or social liability and are a menace to the public health, safety or
welfare of the City in the area’s present condition and use.
Section 3- Base Value
If the Riverfront Crossings Urban Renewal Area is legally established and debt is
certified prior to December 1, 2011, the taxable valuation within the Area as of January 1,
2010 will be considered the “base valuation”. If the debt is not certified until a later date,
the “base value” will be the assessed value of the taxable property in the Urban Renewal
Area as of January 1 of the calendar year preceding the calendar year in which the City
first certifies the amount of any debt.
Section 4- Urban Renewal Plan Objectives
The overall goal of this Plan is to formulate and execute a workable program using public
and private resources to develop the Urban Renewal Area for retail, office, and other
commercial or residential uses. The following objectives are hereby established for the
proposed Urban Renewal Project Area:
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To assist with blight remediation efforts;
To encourage and support development that will expand the taxable values of
property within the Urban Renewal Project Area;
To reverse the deterioration of commercial properties within the Urban Renewal
Project Area;
To encourage new development of commercial businesses in the Urban Renewal
Project Area, in particular high-quality restaurants, retail stores to serve the
surrounding community, banks and hotels.;
To make public improvements as deemed necessary by the City to support
commercial and recreational activity within the Urban Renewal Project Area;
To provide financial incentives and assistance to qualifying projects and businesses as
necessary;
To continue redevelopment along the Iowa River;
To assist and promote development of green space and recreation trails along the
Iowa River;
To establish an attractive, vibrant southern highway corridor to the city;
To provide for the orderly physical and economic growth of the city;
To provide other support as allowed under Iowa Code Chapters 15, 15A and 403.
Section 5- Description of Urban Renewal Area
The legal description of this proposed Urban Renewal Project Area is included in the
Plan as Addendum No. 1 – Legal Description.
The location and general boundaries of the Riverfront Crossings Drive Urban Renewal
Plan Area are shown on Addendum No. 2 – Location Map: Riverfront Crossings Urban
Renewal Project Area. This area is approximately 44 acres.
Section 6- Proposed Urban Renewal Activities and Proposed Projects
To meet the objectives of this Plan and to encourage the development of the Area, the
City intends to utilize the powers conferred upon it pursuant to Iowa Code Chapters 15A
and 403 (2011) and to make available financial incentives, including but not limited to,
tax increment financing for the following activities and Proposed Projects:
1. Undertake and carry out urban renewal projects though the execution of
contracts and other instruments;
2. Make or have made surveys and plans necessary for the implementation of the
Urban Renewal Plan or specific urban renewal projects;
3. To acquire and dispose of property for urban renewal projects;
4. Make loans, forgivable loans, grants, rebates, or other incentives to private
persons or businesses for economic development purposes on such terms as
may be determined by the Iowa City City Council, in its sole discretion;
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5. Provide for the installation of infrastructure and roadway improvements;
6. Use any or all other powers granted by the Urban Renewal Act to develop and
provide for improved economic conditions in Iowa City;
7. Encourage the incorporation of energy efficient building techniques such as
those specified in the Iowa Green Building Standards, or those attaining
LEED certification, through the use of tax increment financing, in the sole
discretion of the City Council;
8. Private Site Improvements: Private site improvements may include, but are
not limited to, demolition of existing buildings and site preparation; design
and construction of buildings; grading for building construction and
amenities; paving and parking; landscaping; and installation of on-site
utilities. Tax increment financing may be granted to qualifying entities to
finance these private site improvements, at City Council’s discretion. Any
development projects receiving tax increment financing or other public
funding assistance may be subject to review by the Staff Design Review
Committee. Design review approval may be based on compliance with design
consistent with the goals of the Southwest District Plan. In addition, the City
Council may designate Riverside Drive a "Design Review District," whereby
all improvements to buildings or property within the district would be subject
to Design Review according to the aforementioned design guidelines;
9. Public Infrastructure Improvements: Public infrastructure improvements may
include, but are not limited to, storm water management facilities, public
streets and sidewalks, trails, parks, sanitary sewers, storm sewers, and open
space and streetscape improvements. Tax increment financing may be
available to finance the construction of these improvements, in whole or in
part, at the City Council’s discretion;
10. Financial Incentives: At the City Council’s discretion and as permitted by
Iowa Code Section 403.19 (2011), tax increment financing may be available
for providing direct grants, loans, property tax rebates, or other incentives for
qualifying projects and businesses in the Urban Renewal Area;
11. Tax increment financing may be used for, but is not limited to, financing the
private site improvements and public infrastructure improvements listed
above. Qualifying projects and businesses shall be determined by the City
Council on a case by case basis.
Section 7- Conformance with Land Use Policy and Zoning Ordinance
Comprehensive Plan
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The Urban Renewal Area is located within the area designated by the Iowa City
Comprehensive Plan as the Southwest Planning District. The Iowa City Comprehensive
Plan designates the Urban Renewal Project Area as appropriate for general commercial
and residential uses.
This Plan is consistent with the Iowa City Comprehensive Plan, particularly the
Southwest District Plan, last amended in 2002.
Current and Proposed Zoning and Land Uses
The Area is currently zoned CC-2, as defined by the Iowa City Zoning Code. The current
land use for the project area is commercial. The proposed land uses include retail, office,
and other commercial uses permitted in the CC-2 zones. The City may amend its zoning
code to create a new Design Review District and/or a new, mixed-use zoning
classification appropriate for Riverside Drive and may rezone the area to be so
designated. Any rezoning to this area, including the creation of a new zoning category
under the Zoning Code, will be consistent with the Comprehensive Plan.
Section 8- Relocation
The City does not expect there to be any relocation required of residents or businesses as
part of the proposed urban renewal projects; however, if any relocation is necessary, the
City will follow all applicable relocation requirements.
Section 9- Financial Data
1. Constitutional Debt Limit: $ 131,337,980
2. Current general obligation debt: $ 91, 155,000
3. Proposed amount of indebtedness to be incurred: Although a specific amount of
tax increment debt to be incurred (including direct grants, loans, advances,
indebtedness, or bonds) for projects over time has not yet been determined, it is
anticipated that the cost of the Proposed Projects and activities identified in
Section 6 above will be between $5 to $10 million. In no event will debt be
incurred that would exceed the City’s debt capacity. It is further expected that
loans, advances, indebtedness or bonds to be incurred for the Proposed Projects or
subsequent projects, including interest on the same, will be financed in whole or
in part with tax increment revenues from the Urban Renewal Area. The City
Council will consider each request for financial assistance or a project proposal on
a case-by-case basis to determine if it is in the City’s best interest to participate.
Section 10- Urban Renewal Plan Amendments
This Urban Renewal Plan may be amended from time to time for a number of reasons,
including, but not limited to changes in the boundary, to add or change land use controls
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or regulations, to modify goals or types of renewal activities, or to amend property
acquisition and disposition provisions.
If the City of Iowa City desires to amend this Urban Renewal Plan, it may do so after
providing public notice, holding a public hearing on the proposed change, and
undertaking other required actions, all in conformance with applicable state and local
laws.
Section 11 - Property Acquisition/Disposition
The City may provide incentives for land acquisition in the Area. The City will follow
applicable procedures for the acquisition and disposition of property.
Section 12 - Effective Period
This Urban Renewal Plan will become effective upon its adoption by the City Council of
Iowa City and will remain in effect as a plan until it is repealed by the City Council. The
use of tax increment financing revenues (including the amount of grants, loans, advances,
indebtedness or bonds which qualify for payment for the division of revenue provided in
Section 403.19 of the Code of Iowa) by the City for activities carried out under the Urban
Renewal Plan is not limited due to the designation of the area as blight. However, the use
of tax increment financing incentives shall be limited as deemed appropriate by the
Council and consistent with all applicable provisions of law.
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Addendum No. 1
Legal Description of the
Urban Renewal Project Area
The Riverfront Crossings Urban Renewal Area includes the following:
Beginning at a point on the southeast corner of Sturgis Corner Addition Part II;
Thence southerly to the centerline of U.S. Highway 6;
Thence westerly along said centerline to its intersection with S. Riverside Drive;
Thence continuing westerly along the centerline of State Highway 1 to a point where it
intersects with the centerline of Orchard Street extended;
Thence northerly along the centerline of Orchard Street to the centerline of the Iowa
Interstate Railroad;
Thence easterly along said railroad centerline to a point that is 190’, more or less, west of
the point of intersection of the railroad and the centerline of State Highway1/Riverside
Drive;
Thence northerly to the north right-of-way line of said railroad;
Thence north 118’ to the south right-of-way line of S. Riverside Court;
Thence north 12.5’ to the centerline of S. Riverside Court;
Thence west along said centerline to where it intersects with the extension of the west
boundary of property described as follows:
Commencing 459.5’ east of the SW corner of Lot 1; N100’; E60’; S100’; W60’,
Ryerson’s and Sharp’s Subdivision.
Thence northerly along said west property line extended to the centerline of Myrtle Ave;
Thence east along said centerline, continuing east to the west bank of the Iowa River;
Thence southerly along the west bank of the Iowa River to the point of beginning;
And the right of way of all adjacent roads.
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Addendum No. 2
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