Written by KRISTYN HALBIG ZIEHM
Wednesday, 04 March 2015 21:43
Officials weigh cost impact but remain confident that financing district is viable for Cedar Vineyard development
Although the final report isn’t completed, the possibility of creating a tax incremental financing district for the Cedar Vineyard subdivision proposed for Port Washington’s south side still looks good, City Administrator Mark Grams said Tuesday.
The city is continuing to look at both the cost of infrastructure improvements such as utility extensions, a bike path, road repair and land acquisition, he said, as well as the potential boundaries of the district.
That’s because the city may try to connect a portion of the industrial park to the TIF district to accommodate such projects as an expansion of Construction Forms, Grams said.
But to do this, he said, the city will have to work with Anchor Bank to create a connection between the subdivision on the former VK Development land and the industrial park.
“They have indicated they’re willing to work with us,” Grams said.
Grams said the city is struggling to come up with reliable cost estimates for the extension of sewer and water service to the Cedar Vineyard subdivision on Highway C.
The Cedar Vineyard subdivision would have 73 home sites, a 100-acre nature conservancy, vineyard and winery on the former VK Development property.
Officials have said the Cedar Vineyard development is expected to be valued at more than $50 million when completed, with the value of the homes and lots expected to range from $650,000 to $880,000.
In his preliminary calculations, Grams said, he looked at the worst-case scenario, with the utilities costing $6 million and the value of the lots being 25% less than the developer anticipates.
But, Grams said Tuesday, the cost estimate to extend the utilities has been fluctuating as the project engineers look at different ways to extend those services.
“There are ways to cut costs, and that’s what we’re looking at,” Grams said.
Despite the changes, Grams said he still believes the $6 million figure is “probably in the ballpark.”
And that number means a TIF district is still feasible, he said, noting that he still hasn’t included the value of the project’s vineyard and winery in those calculations.
“That gives us a little wiggle room,” he said.
The city is looking at whether it can include a $1 million contribution toward the purchase of a 101-acre nature preserve as a TIF project in the plan, Grams said.
If Ozaukee County balks and won’t help fund the project, the city will consider whether it can contribute the entire $2 million needed, he added.
“We would look at it and see if we can handle it,” he said. “I don’t know if the TIF could handle it.”
Mayor Tom Mlada said that while the city is willing to consider that option, he is confident the county will contribute half the funding for the nature preserve.
“I know you’re not going to move everybody to the yes camp,” he said. “But I think when people really consider the impact this could have not only to the city but to the county, I’m confident this will happen.”
Grams said he hopes to have a draft TIF plan and district borders for the March 17 Common Council meeting.
Written by KRISTYN HALBIG ZIEHM
Wednesday, 25 February 2015 20:08
Port aldermen voice enthusiasm for lakefront project that calls for Paramount museum, entertainment complex
The Port Washington Common Council greeted plans for a Paramount blues-themed entertainment complex on the waterfront with enthusiasm last week, saying the proposal meets every goal officials have set for the city-owned property.
Ald. Doug Biggs, noting the city is expected to seek proposals from developers for the property on the north end of the north slip, said the Blues Factory concept “really sets a high bar for the process, and for anyone else who might be interested in that space.”
Aldermen were enthused about the fact the concept includes a museum, restaurant, entertainment venue and banquet facility.
“Frankly, I think it’s about time,” Ald. Bill Driscoll said, noting a banquet facility is sorely needed in the city. “I like this.”
Ald. Mike Ehrlich said, “I really like the idea. It touches on Port’s history, a part of Port’s history that many residents don’t know about. It’s a rich history.”
“It would fit well with our community,” Ald Dan Becker said. “I love the historical tie. I love the concept.”
To facilitate the sale of the city-owned parking lot, aldermen agreed to spend $1,600 to conduct a phase one environmental assessment of the parking lot and to obtain an appraisal of the property.
The city is expected to seek proposals to develop the land next month.
The Blues Factory concept is the brainchild of Christopher Long of Madison, president and CEO of the Blues Factory, who is working in partnership with Port Washington developer Gertjan van den Broek.
Long, a blues aficionado, said the story of the Wisconsin Chair Co. and Paramount Records has a worldwide following that needs to be commemorated.
The Blues Factory would capitalize on that, providing a destination for tourists and residents alike, Long said, adding that in addition to regular concerts the facility would host an outdoor music festival in summer.
The Blues Factory would primarily sponsor blues and jazz performances — which could be recorded in the performance hall — and focus on emerging artists, Long said.
Long said that before he came to Port Washington, he knew only that the city is home to Allen Edmonds and Paramount Records.
When he first visited, he said, he looked for a monument to the Paramount Records and the Chair Co. and was astonished there wasn’t one.
“The purpose of the Blues Factory is simple, to preserve and celebrate the remarkable story of Paramount Records and the Wisconsin Chair Co.,” Long told the Common Council Feb. 18.
Long said he came up with the idea of the Blues Factory before the city decided to sell the parking lot and was looking at other sites. But, he said, when the city made its controversial decision to seek development proposals for the parking lot, everything fell into place for him.
That’s because the city-owned parking lot is the former home of the chair company, he said, adding he plans to submit a development proposal to the city.
Long said he would like to open the Blues Factory in 2017, noting it is the centennial of the founding of Paramount Records.
The Paramount story is one of a true American art form, as well as one of business and commerce, of technology struggling to find its place in the marketplace and of music, Long said.
The two-story building, which is being designed by the Cedarburg firm of Kubala Washatko Architects, would take up the entire parking lot, he said.
The four aspects of the building — the museum, restaurant, performance space and banquet hall — would incorporate separate but interconnected spaces that could be used alone or in concert with one another, he said.
For example, someone could rent the banquet facility, have their event catered by the restaurant and include a performance in the entertainment hall, he said.
Long said he plans two rounds of equity funding for the project — an initial private offering followed by a direct public offering under Wisconsin’s new crowdfunding laws. This, he said, would allow the community to take ownership of the facility.
Randy Tetzlaff, the city’s director of planning and development, called the proposal “something pretty extraordinary.”
“It’s something that could only go in Port Washington,” he said.
The proposal also meets the city’s goals for the parking lot, Mayor Tom Mlada said. It is in line with the city’s master redevelopment plan, includes a sustainable business and makes efficient use of the lakefront space, is a destination that would bring people and business to downtown and help spur further development.
“It really does check every one of those boxes,” Mlada said.
Written by KRISTYN HALBIG ZIEHM
Wednesday, 18 February 2015 18:46
Port council wants needs assessment to help determine fate of facility that some officials want closed
Port Washington aldermen were expected on Wednesday to hire a company to conduct a needs assessment that will help determine the fate of the senior center.
Two companies have submitted proposals to conduct the study, which is expected to cost $13,000.
The need for the study became apparent when officials said the city will no longer provide a senior center facility when the lease to the current building expires in two years, but it will continue to offer services for older adults.
Even as the city takes the initial steps to eliminate the senior center, some seniors are letting officials know how important the facility is to them.
“I just want to express my happiness at having a senior center,” Bev Schleg, 1102 N. Stanford St., told the Common Council Feb. 3. “I like the trips. I go to exercise class there. I’m a member of the Chicks with Sticks.
“All the friends I have made there — I would be lost without my senior center.”
The needs assessment, which is expected to gather information on what services seniors want from the city, is expected to poll people of all ages.
The Commission on Aging has recommended the city hire MSA Professional Services to conduct the assessment, which will include everything from the results of a senior services survey to a listing of senior services offered by other groups in the area.
A summary of potential courses of action for the city will also be offered, along with the advantages, disadvantages and general feasibility of each.
MSA estimated it will complete its report in July.
The Common Council agreed earlier this year to spend as much as $6,000 on the assessment, supplementing a $3,000 contribution from the Senior Center, $4,500 from the Friends of the Senior Center and $500 from the Green Felt Club.
The needs assessment will help officials determine what senior services are needed in the future as they grapple with the question of what the senior center will look like in the years to come.
Officials have said a number of seniors are dissatisfied with the current center building on Foster Street, saying the parking is inconvenient and there are too many steps in the building.
The Commission on Aging last year created an ad hoc committee to look at the center’s needs and plan for the future knowing that the current center isn’t necessarily a long-term home for the facility.
“We need to gather evidence to help guide our decision,” Senior Center Director Catherine Kiener said earlier this year, noting the center is a quality-of-life issue for residents. “Hopefully this will draw everything together, the past and present and bring us into the future.”
Written by KRISTYN HALBIG ZIEHM
Wednesday, 04 February 2015 18:24
City to have bluff property appraised as plans for nearby vineyard project progress
Port Washington is bracing for a lakefront building boom as officials begin the process to sell a prime piece of city-owned land off Highway C.
The Common Council on Tuesday agreed to get a formal appraisal of the value of a roughly 44-acre parcel east of Highway C — the first step in marketing the land, which the city has eyed as an ideal site for a subdivision.
City Administrator Mark Grams said two parties have approached the city about the property in recent months, prompting aldermen to seek the appraisal.
That move comes just weeks after the city approved the concept plan for Cedar Vineyard, which calls for 73 home sites, a vineyard and winery and a 100-acre preserve farther south on Highway C.
The city is expected to begin work on a tax-incremental financing district that would facilitate that development next month, Grams said.
“It’s really an exciting time,” Mayor Tom Mlada said.
Tuesday’s Common Council discussion revolved around the 44-acre site, which the city acquired as part of a sweeping agreement in which officials agreed to back the conversion of the We Energies power plant from coal to natural gas.
The city had sought cost estimates from two appraisers for an appraisal of the property, but only one offered a price of between $500 and $1,000.
The other, Peter Didier of Re/Max United, offered an estimated value of the bluff land of between $2 million and $2.5 million, Grams said.
Both appraisers noted that setting a value for the land would be difficult because there are few comparables in the area, he added.
In a letter to the city, Didier noted that the property has about 2,300 feet of lake frontage that would allow the development of 23 100-foot-wide lots, similar to those on Noridge Trail. Those lots, he said, were selling in the $300,000 range before the recession but now sell in the low $200,000 range.
The average sale price for a lot on the city land is likely to be $300,000, Didier said, noting the total value of the lots would then be $6.9 million.
After development costs are subtracted, he came up with his valuation, Grams said.
Ald. Bill Driscoll said he did not believe a formal appraisal was needed.
“I think what we’ve been given from Pete is as good as we’re going to get,” he said. “I can’t imagine we’re going to get anything better by paying for it.”
But Ald. Doug Biggs disagreed, saying a formal appraisal is necessary so the city can properly evaluate any offer for the land.
“I think it’s important we have a good idea of the value of the land before making a final sale decision,” he said.
The city can agree to sell the land for less than the appraised price if the proposed development offers other benefits to the community.
City Atty. Eric Eberhardt agreed an appraisal is needed, saying, “I don’t know how you can sell a car, a boat or a multi-million-dollar piece of property without knowing what it’s worth.
“Do it — that’s all I’m saying. It’s public property and you want to get it right. You don’t want to be surprised later.”
Aldermen agreed to get a formal appraisal, saying it is needed so any offers the city receives can be weighed against it.
When asked if any offers for the property are imminent, Grams said, “That might be a little strong. Is there interest in the property? Yes.”
Grams said the city has been approached by two parties — one in the last six months and the other in the last month — to discuss the parcel. The two have different concepts for the land that combine business and residential uses, he said.
The proposals would complement the Cedar Vineyard development, Grams said.
The Cedar Vineyard proposal is likely to spur more interest in the city’s land, Mlada said.
“It’s really outstanding land,” he said. “I think some of what we’re doing with Cedar Vineyard is setting the stage for it.
“You don’t want somebody to say, ‘How many units can we jam in there.’ I think we’re setting the standards. Developers know we’re looking for the right kind of development in terms of density. Connectivity to downtown is a long-term goal. It would be great to have some public access along the bluff and beach.”
The city hasn’t yet talked about how it wants to sell the land, whether to put it out for bids or seek a request for proposals from developers, Mlada added.
“We’re just in the exploring mode right now,” he said.
Any development on the city-owned land would likely add significantly to the tax base, but it probably wouldn’t be included in the TIF that’s expected to be created for the Cedar Vineyard development, officials said.
In a TIF district, increased taxes that result from new development are used to pay for infrastructure costs, such as the extension of sewer and water to the Cedar Vineyard development.
A preliminary analysis of the proposed TIF district is expected to be presented to the council when it meets Wednesday, Feb. 18, Grams said, with a formal report ready for action on March 3.
If the council accepts the report and moves ahead with the district, a TIF committee that includes representatives of the city, Ozaukee County, Port Washington-Saukville School District and Milwaukee Area Technical College, as well as an at-large member, would be created, Grams said.
The TIF district would need to be approved by the committee before it is implemented, he said, adding that the process of creating a TIF district takes about three months.