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HomeMy Public PortalAboutMinutes - 2007/04/17 - RegularCOMMUNITY REDEVELOPMENT AGENCY TEMPLE CITY, CALIFORNIA REGULAR MEETING MINUTES APRIL 17, 2007 1. CALL TO ORDER Chairman Wong called the Community Redevelopment Agency Regular Meeting to order at 7:52 p.m. in the Council Chambers located at 5938 Kauffman Avenue, Temple City. 2. ROLL CALL PRESENT: Member - Capra, Vizcarra, Wilson, Gillanders, Wong ABSENT: Member -None ALSO PRESENT: Executive Director /Agency Counsel Martin, Acting Assistant Executive Director Lambert, Agency Secretary Flandrick 3. CONSENT CALENDAR Mrs. Wilson moved to approve the Consent Calendar, seconded by Vice Chairman Gillanders and unanimously carried by the following roll call vote: AYES: Member - Capra, Vizcarra, Wilson, Gillanders, Wong NOES: Member -None ABSENT: Member -None ABSTAIN: Member -None A. APPROVAL OF MINUTES Approved the Minutes of the Regular Meeting of April 3, 2007, as presented. • B. ADOPTION OF RESOLUTION NO. CRA 07 -910 — APPROVAL OF PAYMENT OF BILLS Adopted Resolution No. CRA 07 -910, a RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF TEMPLE CITY ALLOWING CLAIMS AND DEMANDS IN THE SUM OF $105,285.92 DEMAND NOS. 3389 THROUGH 3394. 4. UNFINISHED BUSINESS A. CONSIDERATION OF A REQUEST FOR AN EXEMPTION FROM THE 15% CAP ON RESTAURANT USES WITHIN THE TEMPLE CITY MARKETPLACE Executive Director Martin said a request was made by Susan Lew, Administrator of the shopping center in Block A, at a previous meeting and set for discussion tonight for exemption of the 15% cap on restaurant uses in Block A. As directed by the Agency, he drafted a proposal to Ms. Lew and she has responded that she wishes to have the Agency consider amending the cap to some other number. Susan Lew, Administrator of Temple City Marketplace, stated at the meeting of March 20th she requested waiver of the 15% cap on restaurant uses in the shopping center. At that time, the Agency directed that she meet with the Executive Director, which she did. She again requested the cap on restaurant use be lifted and was available to answer questions. Mrs; Wilson stated that there is not enough parking in Block A, especially with restaurants. There is also the matter of employee parking. Unless a parking structure is put in or more money invested into the center, there will still be a lot of problems. Agency Minutes April 17, 2007 Page 2 Ms. Lew said prospective tenants are concerned that their business may not survive if the lot is empty and feel that a full lot is good. She has not heard from any current tenants that parking is a problem. The lease provides that she, as the landlord, has the right to do parking maintenance, including making the employees park off -site, or imposing time - limited parking, if problems arise. If the problem does arise, she will address it. Mr. Capra said, looking at the agreement that Ms. Lew and the Executive Director put together, it mentions $100,000 in onsite improvements and capital improvements to the center paid by the landlord, and questioned why hasn't money been put back into the center to make it more attractive, and if the request is not approved, will these improvements still be made? Ms. Lew responded the building that was formally the Mens' Wearhouse has been empty for over four years and that loss of revenue amounts to $.5M. A restaurant use in that location would bring in about $3M resulting in tax revenue to the City and her ability to put more money into the center. Mr. Capra replied that in the course of that time, typically the property owner would keep the center clean and reinvest the money that current tenants, like Applebees and Togos, are providing to improve the property. In response to Mr. Capra, Ms. Lew indicated she has had interest from prospective tenants for other than restaurant uses, including health care facilities, retail and non - retail uses, real estate offices and children's gym. Vice Chairman Gillanders asked what percentage Ms. Lew was proposing, as the cap is currently 15% or more. Ms. Lew stated she would like to have no restriction and would use her best judgement to have a good center to bring in customers. Vice Chairman Gillanders felt there would have to be some kind of limit on restaurant use which is very hard on available parking, especially at lunchtime. He didn't feel the center's parking could support restaurant uses. He recently was in the center at lunchtime and there were only 3 spaces available in the whole center. Ms. Lew stated there may not be spaces right in front of a restaurant, requiring the customers to park 30 feet away and walk. That is why there is a common area, not designated parking for each shop. In response to Mr. Vizcarra, Executive Director Martin agreed that enforcement of parking would be a problem, even if it is designated 2 or 4 hour parking. In addition, Block A has no curb parking or a parking structure. Mr. Vizcarra said he was ambivalent regarding the restaurant issue, but disagreed with Ms. Lew regarding the parking issue. There are at least six businesses in the center that he frequents, and he always finds parking difficult. There is a parking problem and the parking spaces are small. He finds the whole center looks dirty and unkempt. He has talked to tenants who say the management company is not responsive. The appearance of the whole center is not acceptable. Ms. Lew stated she comes up every week from San Diego and polices the tenants herself. She does retain janitorial service 7 days a week to clean the sidewalks and 1 1 1 Agency Minutes April 17, 2007 Page 3 pick up trash. They steam clean the sidewalks twice a week. If that is not enough, she would increase the service or hire a new vendor. Mr. Capra again asked if she would be putting money into the center, even if her request were not granted. Ms. Lew replied that she would. In response to Chairman Wong, Ms. Lew stated she has on site management who foresees problems and oversees the vendors and potential tenants, but that she answers all inquiries and contacts. The on site manager is a tenant and is there 7 days a week and the tenants know he is the manager. Executive Director Martin noted the percentage of restaurant use is now in excess of 15% and is probably closer to 20 %. Ms. Lew stated, if the Agency were to impose a new percentage, she would request 30 %. Mr. Capra suggested Ms. Lew put $100,000 to $200,000 into the center now to spruce it up and with the Piazza coming in, maybe she would get new tenants. Ms. Lew responded that the problem is that she cannot even entice a potential tenant to consider space for uses other than retail because she has to tell them of the restrictions and most will back out because they don't want to waste time or money if the Agency does not approve it. The agreement was made over 25 years ago and things have changed. Parking is not just the center's problem; it is a City problem. Not helping it's partner in this agreement not only hurts the center but penalizes the City by not getting the tax revenue it would have. Mr. Capra said he could not see going any further with this. There are problems at the center and he felt we should stick with the agreement. He was sorry if Ms. Lew is losing money now, but the center has made a lot of money over the course of years. Mary Kokayko, 6149 N. Camellia Avenue, said she has been to lots of meetings where restaurants were turned down because of parking problems. Regarding Las Tunas, there are parking problems there also. Maybe if rents were lowered we could get someone in there. It is saturated with restaurants and we need to get some other type of business in there. Matthew Wong 9015 Hermosa Drive, stated the 15% cap made 20 years ago seems really low and is, restricting the center. He thought 30% was reasonable. He understood parking is a problem, but maybe employees could be asked to park in the K -Mart area. The City needs to do something about the tax revenue and he didn't know if the Piazza would ever be built. The City itself is facing a huge parking issue, but should envision what it can do to generate business. If Ms. Lew is being asked to invest in the center and fix the problems, then the City needs to fix the revenue and bring in new business. There are not enough shops here. Mr. Capra responded regarding the Piazza that the grading plans have been submitted and they are close to getting started with that. They do have tenants. He appreciated the enthusiasm brought up at the last Planning Commission meeting and the Commission will take a lead role in envisioning what will be planned for the City. A lot of questions will be answered through the open sessions to be held by the Planning Commission. Agency Minutes April 17, 2007 Page 4 Jerry Jambasian, 9136 Las Tunas Drive, questioned if the 15% cap were still in effect. Executive Director Martin said it has crept up over the years to about 20 %. Community Development Manager Lambert added that the Agency, in 2002, approved an increase in restaurant use for two specific businesses, not a higher percentage. Mr. Capra said he wished to hold the landlord on record that they will be putting money into that center. Mr. Vizcarra said he felt the biggest concern is the appearance of the whole center, which does not help the image of Temple City. He could live with an increase of 10% for a cap up to 25 %, but would want to see upgrades of the whole center before that. Mrs. Wilson said she felt the same, to see what happens with improvements to the center before she would want to approve an increase. Vice Chairman Gillanders said the percentage is already over the 15% and has been operating over for some time. Parking availability is very low. Business owners must be taken in hand to release more parking before we can do anything. He recommended rejecting the current request and ask the landlord to come up with another plan. Mr. Vizcarra ,said his only concern was that if they walk away without the Agency deciding to do anything than the center will deteriorate further. He didn't know of a solution other than a compromise predicated on a substantial amount of improvements to the center. . Ms. Lew asked the Agency to lift the restriction so she could better market the center. Mr. Vizcarra stated the overall look of the center facade needs improvement, so something has to be done. Chairman Wong concurred with Mr. Vizcarra, suggesting maybe a 10% increase now on the condition that the Agency would approve any new business coming in. Mr. Vizcarra moved that, if the owner came forward with a detailed plan of improvements acceptable to the Agency, including when those improvements would . be completed, the Agency would approve a 10% increase in the cap on restaurant use, putting the cap at 25 %. Chairman Wong seconded the motion, which failed by the following roll call vote: AYES: Member- Vizcarra, Wong NOES: Member- Capra, Wilson, Gillanders ABSENT: Member -None ABSTAIN: Member -None Mr. Gillanders moved to table this item without prejudice to be brought back for reconsideration at a later date after improvements have been made, seconded by Mrs. Wilson and carried by the following roll call vote: AYES: NOES: Member - Capra, Wilson, Gillanders Member - Vizcarra, Wong 1 1 1 1 1 Agency Minutes April 17, 2007 Page 5 ABSENT: Member -None ABSTAIN: Member -None 5. NEW BUSINESS — None 6. COMMUNICATIONS — None 7. PUBLIC COMMENTS — None 8. UPDATE FROM EXECUTIVE DIRECTOR — None 9. MATTERS FROM AGENCY MEMBERS — None 10. CLOSED SESSION — None 11. ADJOURNMENT The Community Redevelopment Agency Regular Meeting was adjourned at 8:36 p.m. ATTEST: Agency Secretary cr vt2. Chairman