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HomeMy WebLinkAbout065-R-21 Intergovernmental Agreement with the Housing Authority of Cook County for the Redevelopment of 501-14 South Blvd.06/28/2021 65-R-21 A RESOLUTION Authorizing the City Manager to Enter into an Intergovernmental Agreement with the Housing Authority of Cook County for the Redevelopment of 504 — 514 South Boulevard, Evanston, Illinois WHEREAS, the Housing Authority of Cook County ("HACC") owns certain parcels of property commonly known as 508, 510, 512, & 514 South Boulevard, in Evanston, Illinois ("the HACC Site"), and WHEREAS, the City of Evanston ("City") owns a parcel of property commonly known as 504 South Boulevard, in Evanston, Illinois ("COE Site"), which is adjacent to the HACC Site; and WHEREAS, the City and HACC (collectively "the Parties") wish to enter into an Intergovernmental Agreement for the purpose of redeveloping the HACC Site and COE Site, commonly known as 504 — 514 South Boulevard, located in Evanston, Illinois ("the South Boulevard Project"); and WHEREAS, the Parties plan for the South Boulevard Project to provide a significant number of family units and enhanced sustainability features; and WHEREAS, Article VII, Section 10 of the 1970 Illinois Constitution and the Illinois Intergovernmental Cooperation Act, 5 ILCS 220/1, et seq., authorize and encourage intergovernmental cooperation; and WHEREAS, the Parties desire to enter into the attached Agreement; and WHEREAS, the Evanston City Council has determined that it will serve and be in the best interest of the City to enter into the Agreement with HACC; 65-R-21 NOW BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF EVANSTON, COOK COUNTY, ILLINOIS: SECTION 1: Recitals. The City Council hereby adopts the foregoing recitals as its findings, as if fully set forth herein. SECTION 2: The City Council hereby approves, pursuant to the City of Evanston's home rule power, the Agreement in the form attached to this Resolution as Exhibit A. SECTION 3: The City Manager is hereby authorized to sign the "Intergovernmental Agreement by and between the City of Evanston and the Housing Authority of Cook County for the Redevelopment of 504 — 514 South Boulevard, Evanston, Illinois" attached hereto as Exhibit A. SECTION 4: This Resolution shall be in full force and effect from and after its passage and approval in the manner provided by law. Attest: yy� Stephanie Mendoza, City Clerk Adopted: June 28 , 2021 —2— ha./u�! ,Bliss Daniel Biss, Mayor Approved as to form: ,/✓cc/fola,J E. Cunlnuiig,J Nicholas E. Cummings, Corporation Counsel 65-R-21 EXHIBIT A INTERGOVERNMENTAL AGREEMENT BY AND BETWEEN THE CITY OF EVANSTON AND THE HOUSING AUTHORITY OF COOK COUNTY FOR THE REDEVELOPMENT OF 504 - 514 SOUTH BOULEVARD. EVANSTON. ILLINOIS -3- RESOLUTION NO.2021-HACC - XX A RESOLUTION AUTHORIZING THE EXECUTION OF AN INTERGOVERNMENTAL AGREEMENT WITH THE CITY OF EVANSTON FOR THE DISPOSITION AND REDEVELOPMENT OF PROPERTIES ON SOUTH BOULEVARD IN EVANSTON, ILLINOIS WHEREAS, the Housing Authority of Cook County ("HACC") owns certain parcels of property commonly known as 508, 510, 512, & 514 South Boulevard, in Evanston, Illinois ("the HACC Site"), and WHEREAS, the City of Evanston owns a parcel of property commonly known as 504 South Boulevard, in Evanston, Illinois ("COE Site"), which is adjacent to the HACC Site; and WHEREAS, the HACC and the City of Evanston mutually desire to combine the HACC Site with the COE Site in order to jointly develop a mixed -income residential project to be located at 504-514 South Boulevard in Evanston ("the South Boulevard Project" or "the Project"); and WHEREAS, the City of Evanston and the HACC plan for the South Boulevard Project to provide a significant number of family units and enhanced sustainability features. The Project will meet or exceed 30% of all project units at below market rate; and WHEREAS, an RFP was issued by the City of Evanston on April 13, 2021 in search of a pre -qualified developer for the South Boulevard Project, and WHEREAS, the City of Evanston and the HACC will jointly meet to review the submitted proposals and cooperatively choose the successful Developer; and WHEREAS, the City of Evanston and the HACC will jointly select and agree upon the developer's proposed land transfer plan and acquisition price, subject to Housing and Urban Development ("HUD") approval; and WHEREAS, the South Boulevard Project contemplates that the City of Evanston and the HACC agree to transfer land ownership of the Project Site to a non-HACC entity, which will require HUD approval; and WHEREAS, in order to proceed with the South Boulevard Project, the City of Evanston and the HACC have prepared an Intergovernmental Agreement to establish the general terms of the proposed Project, a copy of which is attached hereto; and WHEREAS, Section 5 of the Illinois Intergovernmental Cooperation Act [5 ILCS 220/5] requires the governing boards of both the City of Evanston and the HACC to approve any Intergovernmental Agreements between them; NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of the Housing Authority of Cook. County: 1, The Executive Director is authorized to enter into the attached intergovernmental agreement with the City of Evanston, Illinois for the development of the South Boulevard Project. 2. The Executive Director is authorized to take the necessary steps to dispose of the parcels of property commonly known as 508, 510, 512, & 514 South Boulevard, in Evanston, Illinois as contemplated in the Intergovernmental Agreement. The undersigned Duly Qualified Secretary of the Board of Commissioners of the Housing Authority of Cook County hereby certifies that the above Resolution was duly adopted and passed by the Board of Commissioners of the Housing Authority of Cook County on June 17, 2021. June 17, 2021 Richard J. Monocchio Executive Director and Secretary RESOLUTION NO.2021-HACC - A RESOLUTION AUTHORIZING THE EXECUTION OF AN INTERGOVERNMENTAL AGREEMENT WITH THE CITY OF EVANSTON FOR THE DISPOSITION AND REDEVELOPMENT OF PROPERTIES ON SOUTH BOULEVARD IN EVANSTON, ILLINOIS SUMMARY TO BOARD OF COMMISSIONERS ISSUE STATEMENT: The Executive Director requests that the Board of Commissioners authorize the execution of an Intergovernmental Agreement with the City of Evanston for the transfer of HACC-owned properties and property owned by the City of Evanston to a non-HACC entity and for a collaborative search of a Developer to build a mixed -income project with a significant number of family units and enhanced sustainability features. BACKGROUND: The City of Evanston (COE), in collaboration with the Housing Authority of Cook County (HACC), is seeking proposals from qualified developers for the redevelopment of 504-514 South Boulevard ("the Site") in Evanston, IL. The proposed South Boulevard Project will meet or exceed 30% of all project units at below market rate. The development will take place on HACC and COE owned lots. The proposed Intergovernmental Agreement provides that, upon selection of Developer, the HACC and the City of Evanston will initiate the transfer of their respective parcels to a non- HACC entity, subject to HUD Approval. The Site is located in close proximity to amenities, transit, and employment opportunities. The Chicago Transit Authority (CTA) Purple Line station is approximately 400 feet to the west. Lake Michigan and South Boulevard Beach are approximately %2 mile east of the Site. The Main and Chicago business district is i2 mile north, while downtown Evanston is 1.5 miles north. One of Evanston's largest employers, AMITA Health Saint Francis Hospital, is a ten-minute walk west of the Site. Northwestern University is 1.5 miles north. Northshore University Health System corporate headquarters and Evanston Hospital are three miles north and a short trip away on the CTA's Purple Line. This southeast Evanston neighborhood has an engaged and socio- economically diverse population that is committed to the local public school. A successful proposal will be a mixed -income residential development. The proposed plan shall replace the four existing Public Housing units with four replacement units ("the Replacement Units") occupied either by the former public housing residents or by households with incomes not exceeding 30% of Area Median Income (AMI) at initial occupancy, and in all cases with household rents calculated as if they were Project Based Vouchers (PBV). Inclusive of the Replacement Units, the project requires additional affordable units so that the total number of below -market rate units meet or exceed 30% of total project units. These additional affordable units shall be affordable to households with incomes that do not exceed 60% AMI at initial occupancy. Proposals must include the provision of family -sized units (e.g. three -bedrooms) and consider amenity spaces such as community rooms, computer rooms, or/and children's play room, as permissible. Developers shall provide a proposal for how they would propose to redevelop the property, including site plans of the proposed redevelopment, renderings of the proposed concept, letters of commitment from proposed capital sources, and proposed acquisition price. A collaborative five -person panel will review and rank proposals to the submission for consideration by the HACC Board of Commissioners and the Evanston Economic Development Committee and the Evanston City Council. A copy of the proposed Intergovernmental Agreement is attached to the resolution. .STAFF RECOMMENDATION: The HACC Staff therefore respectfully recommends that the Board approve and authorize the Executive Director to execute an Intergovernmental Agreement to collaborate with the City of Evanston on the disposition and redevelopment of the South Boulevard sites. ALTERNATIVE CONSIDERATIONS: None. <attach a copy of the proposed IGA> AN INTERGOVERNMENTAL AGREEMENT BY AND BETWEEN THE CITY OF EVANSTON AND THE HOUSING AUTHORITY OF COOK COUNTY FOR THE REDEVELOPMENT OF 504 — 514 SOUTH BOULEVARD, EVANSTON, ILLINOIS This intergovernmental agreement ("Agreement") is entered into by and between THE CITY OF EVANSTON, an Illinois Municipal Corporation ("COE") and the HOUSING AUTHORITY OF COOK COUNTY, an Illinois Municipal Corporation ("HACC"). The effective date of this Agreement shall be the last date this Agreement is fully executed by the Parties ("Effective Date"). WITNESSETH WHEREAS, HACC owns parcels of property commonly known as 508, 510, 512, & 514 South Blvd, Evanston, Illinois ("HACC Site"), the subject property's Permanent Index Number 11-19- 419-010-0000; and WHEREAS, COE owns the parcel of property commonly known as 504 South Blvd., Evanston, Illinois ("COE Site"), the subject property's Permanent Index Number 11-19-419-009-0000; and WHEREAS, COE and HACC agree to combine the HACC Site and COE Site for a mixed - income redevelopment project ("the Project"). The Project consists of the COE Site along with the adjacent HACC site; and WHEREAS, an RFP was issued by the COE on April 13, 2021 in search of a pre -qualified developer, RFP described in Exhibit A, a copy of which is attached hereto and incorporated by reference in its entirety; and WHEREAS, this Agreement is meant to provide a mutual understanding of the extent of participation and responsibility by both COE and HACC in the RFP issuance, search and selection of a qualified developer ("Developer") for the redevelopment of 504-514 South Boulevard ("Project Site"); and WHEREAS, COE and HACC seek a Developer to build a mixed -income project with a significant number of family units and enhanced sustainability features. The Project will meet or exceed 30% of all project units at below market rate; and WHEREAS, COE and HACC will jointly meet to review the submitted proposals and cooperatively choose the successful team; and WHEREAS, COE and HACC will jointly select and agree upon the developer's proposed land transfer plan and acquisition price, subject to Housing and Urban Development ("HUD") approval; and WHEREAS, COE and HACC agree to transfer land ownership of the Site to an agreed upon qualified developer, subject to HUD approval; NOW, THEREFORE, in consideration of the foregoing recitals, the mutual promises and covenants contained herein, and for other good and valuable consideration, the receipt and sufficiency of which hereby acknowledged, the parties, intending to be legally bound, hereby agree as follows: 1. Incorporation of Recitals. The foregoing recitals and findings are true and correct and are made a part of this Agreement as if fully set forth herein. 2. HUD requirements. The parties acknowledge that the HACC Site is a public housing site and as such may be transferred only on terms and conditions approved by HUD as the result of a property disposition application to be submitted by HACC. In the event of any conflict between the terms of this Agreement and HUD requirements for disposition of the HACC Site or other HUD requirements, the HUD requirements shall prevail. 3. Land Transfer. Upon selection of Developer, HACC will initiate the transfer of the HACC Site to a non-HACC entity. All land transfer transactions are subject to HUD approval. a. Developer must abide by the approved HUD Disposition Use Agreement b. COE and HACC are open to considering donation of the site for the purposes of leveraging Illinois Affordable Housing Tax Credits with significant public benefit in the form of family units affordable to households with incomes below the area median c. Should a Developer propose an acquisition price, proceeds will be split 50 %/ 50% between the COE and the HACC. 4. Affordable Units: The proposed plan shall replace the 4 existing Public Housing with 4 replacement units ("the Replacement Units") occupied either by the former public housing residents or by households with incomes not exceeding 30% of the area median income (AMI) at initial occupancy and in all cases with household rents calculated as if they were Project Based Vouchers (PBV). The Replacement Units will be two 2-bedroom and two 3-bedroom units. In addition, additional affordable units are required so the total number of below -market rate units (inclusive of the 4 Replacement Units) meets or exceed 30% of total project units. These additional affordable units shall be affordable to households with incomes that do not exceed 60% of the AMI at initial occupancy. If Developer chooses to use income averaging for Low Income Housing Tax Credits ("LIHTC") purposes, they will apply Illinois Housing Development Authority ("IHDA") Qualified Allocation Plan ("QAP") required conditions on AMI. This may allow units up to 80% AMI but require a unit average of 57% AMI across all affordable units Family units with 2 and 3 bedrooms are a priority for the affordable units. iii. All below -market units shall remain affordable for a minimum of 40 years; compliance will be maintained by recording a Land Use Restriction Agreement on the property title and subject to HUD -approved Use Agreement. 5. COE aqrees: a. To lead RFP effort, issue, distribute and market RFP material, coordinate Request for Information ("RFI") responses, and schedule interviews. b. To compile RFI questions and coordinate responses with HACC. c. To provide HACC up to five business days to review material that will be distributed externally in relation to the Project. d. To hold $100,000 in Developer deposit for out-of-pocket costs and expenses incurred in negotiating and preparing a Purchase and Sale Agreement. Eligible costs include but are not limited to: consultant fees, title reports, appraisal cost, surveys, and legal services costs. COE will reimburse HACC within 30-days of reimbursement request for eligible reimbursable costs 6. HACC aarees: a. To provide responses and approval to COE within five business days of request. b. To coordinate with and seek approval from HUD for land transfer of HACC site to non-HACC entity c. To manage tenant transfers from HACC site with any applicable HUD approval d. To coordinate between HUD and Developer as needed e. To provide COE with invoices for all reimbursable cost associated with the Purchase and Sale Agreement. Eligible costs, include, but are not limited to, the costs noted above. 7. COE and HACC Mutuallv Aaree: a. If the selected Developer will pay an acquisition price, HACC and COE agree to split proceeds 50% / 50%. b. All transactions are subject to any applicable HUD approval. c. All below -market units shall remain affordable for a minimum of 40 years; compliance will be maintained by recording a Land Use Restriction Agreement on the property title and subject to a HUD -approved Use Agreement. d. A collaborative five -person panel will review and rank proposals prior to the submission for consideration by the HACC Board of Commissioners, Economic Development Committee and the Evanston City Council. The panel shall be made up of: One individual from each of the following: 1) City of Evanston Community Development, 2) Public Works, and 3) City Manager's Office Two individuals from the Housing Authority of Cook County e. COE and HACC agree a successful proposal will be a mixed income residential development with units affordable to a wide range of households at various tiers including market rate, PBV units, affordable units to households with incomes that do not exceed 60% AMI and a minimum of 4 Replacement Units at 30% AMI. f. COE and HACC agree that a successful proposal must include the provision of family -sized units (e.g. three -bedrooms) and consider amenity spaces such as community rooms, computer rooms, or/and children's play room, as permissible. The project design must fit within the neighborhood. g. COE and HACC shall mutually select the qualified developer with a plan that satisfies the below project primary objectives. The primary objectives for the Project are as follows: Family units (2- and 3- bedroom) must be included in the development. A minimum of 30% of all units must be restricted as below market rate for forty (40) years; compliance will be maintained by recording a Land Use Restriction Agreement on the property title and be subject to the HUD - approved Use Agreement iii. Retention of community permit parking spaces to relieve on street parking congestion. iv. HACC is unable to guarantee Project Based Vouchers (PBVs); Developers will need to apply for PBVs during the annual PBV RFP process. i. However, the HACC is able to guarantee PBVs for units owned by HACC, which can be accomplished using a condo -out process or providing HACC another form of ownership interest that HACC determines to be acceptable. Developers will propose an ownership structure for below market -rate units that most effectively achieves project goals and financing. V. Proposals should include high quality design with setbacks and massing respecting existing neighborhood scale including a height limit of 67ft. vi. The project will not exceed C1a or R5 zoning limits established by city code. Project will be a Planned Development vii. A project that meets the goals outlined in the City's Climate Action and Resilience Plan (CARP) viii. The new development must include 20 permit parking spaces, equal to the average number of permits issued for the existing parking lot ix. Developers must provide equity in this project and not fully rely on government funding. X. Provide an equitable land transfer plan and/or acquisition price and funding of the land transfer from HACC and COE to the Developer The City of Evanston (COE) and Housing Authority of Cook County (HACC) by their authorized representatives below and agents hereby agree to the terms of this MOU. The COE and the HACC shall review all submitted RFP responses jointly and have input and decision -making authority on the successful developer bidder: City of Evanston: Erika Storlie, City Manager estorliee-citvofevanston.orq Housing Authority of Cook County: Richard Monocchio, Executive Director RMonocchio(@thehacc.orq Erika Storlie, City Manager, City of Evanston Richard Monocchio, Executive Director, Housing Authority of Cook County Dated EXHIBIT A COPY OF RFP ISSUED BY THE CITY OF EVANSTON REQUEST FOR PROPOSALS FOR MIXED INCOME AFFORDABLE RESIDENTIAL DEVELOPMENT 504-518 South Boulevard, Evanston, Illinois �} ..,.. '°�.. _i « s em .'�'• "fix ". .A ,i m Issued by: the City of Evanston and the Housing Authority of Cook County Issuance Date: Tuesday, April 13, 2021 Deadline for Responses: Monday, July 16, 2021 Additional Information will be available on the City's website at: cityofevanston.org/504-518SouthBou levard City of "../ Evanston TABLE OF CONTENTS ProjectSummary...................................................3 Introduction and City Objectives .....................4 Project Timeline.....................................................6 SiteOverview..........................................................7 Environmental Sustainability / CARP.............14 Developer's Responsibility................................16 Submittal Format..................................................18 Evaluation Criteria.................................................20 Addendum - Public Process History................21 K PROJECT SUMMARY 504-518 SOUTH BOULEVARD, EVANSTON, IL The City of Evanston and the Housing Authority of Cook County are seeking a developer to build an affordable residential project with a significant number of family units, enhanced sustainability features, and quality / contextual design. The site is perfect for a showcase development that delivers on our mutual goals to provide high quality affordable housing near transit, jobs, excellent schools, and retail/service amenities. • Ownership - Housing Authority of Cook County and City of Evanston • Parcel Identification Numbers (PINs)-11-19-419-010-0000 and 11-19-419-009- 0000 • Ward - Evanston's Third Ward • Alderman - Melissa Wynne • Square Footage - 42,000 +/- • Zoning - R4, but will be a Planned Development. Assume maximum C1a or R5 rezoning. • Tax Increment Financing - Property is not in a TIF District • Historic District - The property is not in a historic district • CDBG Target Area - The area is not a CDBG target area • Appraised Value - HACC and City of Evanston not releasing appraised value at this time 3 INTRODUCTION AND CITY OBJECTIVES The City of Evanston ("the City") in collaboration with the Housing Authority of Cook County (HACC) is seeking proposals from qualified developers for the redevelopment of 504-518 South Boulevard ("the Site") in Evanston, IL. The Site is located in close proximity to amenities, transit, and employment opportunities. The Chicago Transit Authority (CTA) Purple Line station is approximately 400 feet west. Lake Michigan and South Boulevard Beach are approximately 1/ mile east of the Site. The Main and Chicago business district is Y2 mile north, while downtown Evanston is 1.5 miles north. One of Evanston's largest employers, AMITA Health Saint Francis Hospital is a ten-minute walk west. Northwestern University is 1.5 miles north. Northshore University HealthSystem corporate headquarters and Evanston Hospital are three miles north and a short Purple Line trip away. This southeast Evanston neighborhood has an engaged and socio- economically diverse population that is committed to the local public school. A successful proposal will be a mixed income residential development with units affordable to a wide range of households at various tiers including market rate and 30% to 100% of Area Median Income (AMI). Proposals must include the provision of family - sized units (e.g. three -bedrooms) and consider amenity spaces such as community rooms, computer rooms, or/and children's play room, as permissible. The project design must fit within the neighborhood context in terms of height, massing, and materials. The Site is currently zoned R4. The project will be a Planned Development which provides some flexibility. However, no proposal will be accepted that exceeds the C1a or R5 zoning limits established in the City Code. The new development must include 20 permit parking spaces, equal to the average number of permits issued for the existing parking lot, to limit parking impact in the neighborhood. 4 Developers shall provide a proposal for how they would propose to redevelop the property, including site plans of the proposed redevelopment, renderings of the proposed concept, letters of commitment from proposed capital sources, and proposed acquisition price. The City and HACC are open to considering donation of the site for the purposes of leveraging Illinois Affordable Housing Tax Credits. Significant public benefit in the form of family units affordable to households with incomes below the area median will be required for this. A successful proposal will demonstrate how the development will meet the goals outlined in the City's Climate Action and Resilience Plan (CARP). The primary focus will be to design a property with net -zero greenhouse gas emissions and will also include improved waste diversion services and electric vehicle charging access, and ecologically beneficial landscaping. A collaborative multidisciplinary review panel made up of City of Evanston Community Development, Public Works, and City Manager's Office staff, and Housing Authority of Cook County staff will review and rank proposals prior to their submission for consideration by the Economic Development Committee and the City Council. It is likely that the Alderman of Evanston's 3rd Ward will request a community meeting with the finalist prior to consideration at the City Council. Following Council review, the City will initiate negotiations with the team with the highest -ranked proposal.The timeline on the following page summarizes the steps anticipated for this project and is subject to change. Criteria that will be taken into consideration during the review include past development success, experience working with municipalities of similar scale as Evanston, financial capacity of development team, quality of previous development projects, and demonstration of success assembling multiple funding sources to deliver complex mixed -income developments. In conclusion, we are seeking a strong affordable housing mix, contextual design, and family units. The City of Evanston and Housing Authority of Cook County believe that the site is perfect for a showcase development that delivers on our mutual goals to provide high quality affordable housing near transit, jobs, excellent schools, and retail/service amenities. 5 LOT I RFP TIMELINE (SUBJECT TO CHANGE) lbate. tv":e:'n't�Ackia it April 12, ,202-1 Staff seeking authority to issue a RFP April 13,2021 Staff iissu-es:RFP July 16, 2021 RFPs Due July 1,9,, 2:021 - RFP ires1ponse review, analysis, and interviews July 3 0, 2,02 1 August 9, 20121 Staff presents recom mein dati on for finalist for RFP and requests ,authority to negotiate safe of city ,owned 'property tothe deve[oper August 10:, 21021 Zoning and Financing Process Begins 6 SITE OVERVIEW The neighborhood is primarily residential in nature. To the north is Evanston Courts townhome development (Zoned C1a) and a mix of two flats, courtyard walk ups, and modern apartment buildings (zoned R5). As illustrated in the map below, the development site (in red) is adjacent to the Calvary Catholic Cemetery, located to the south, residential to the east and north. Immediately west of the HACC property is a maintenance garage owned by Catholic Cemeteries (in purple). St. Francis Hospital (in blue) is a ten minute walk (.5 miles) from the site. West of the maintenance garage lining Chicago Avenue are two mixed use residential / commercial properties and a single family home. These properties are zoned C1a. The South Boulevard CTA Purple Line station is within 300 feet of the HACC property (in yellow) Context Aerial rM Respondents are encouraged to contact Catholic Cemeteries to determine feasibility of including the maintenance garage property in the development. Earlier conversations with Catholic Cemeteries' management indicated that the garage is important to operations at Calvary Catholic Cemetery. However, it is possible that a maintenance garage could be maintained at the base of a mixed -income residential development, achieving the mutual benefits of adding additional affordable housing units while also providing space for the equipment needed to maintain the cemetery. Development Site The proposed 504-614 South Boulevard development site is actually two parcels and an undeveloped right-of-way that total approximately 42,000 square feet in size. The Housing Authority of Cook County owns four affordable townhouse units, two 2- bedroom and two 3-bedroom, on the 508-514 parcel. The City of Evanston operates a 69-space parking lot on the adjacent city -owned property at 504 South Boulevard. Included in the lot is a portion of an undeveloped extension of Hinman Avenue. Combined Development Parcels - 42,000 eq ft +I- Hinman Avenue Right -of Way and 504 South Boulevard The city -owned property is located at 504 South Boulevard, where Hinman Avenue terminates into South Boulevard. The property is known as Lot 1 It is approximately 27,000 sq ft in total and provides off-street parking for up to 69 permit holders. In practice, the city issues permits for less than 50% of the spaces. Occasionally, the lot is used for snow emergency parking and off-street parking for vacationing residents. Both of these periodic uses can be accommodated in the City's downtown parking garages. Considerations for the development of the site include determining the appropriate setback from South Boulevard and/or the Hinman right-of-way. In addition, the developer may consider if extending Hinman Avenue south of South Boulevard with similar parkway, trees, and sidewalk right of way, or terminating it at South Boulevard and using a narrower alley to provide access to the development and to the properties to the east is appropriate. Hinman Right-of-way 504 South Boulevard Owner; City of Evanston Current Use: Underutilized parking ;lot, partial Hinman Avenue ROW, partial encroachment from adjacent residential in ROW. Zoning: Not zoned (!but assume R4) .Square Footage: 12,000 +/- Owner. City of Evanston Current Use: 69-space paved residential permit parking lot Average # of .Permit issued: 22 spaces at $90 per month Zoning: R4 Square Footage-. 15,400 +i- E 508-514 South Boulevard The Housing Authority of Cook County (HACC) property adjacent to the west of Lot 1 features four public housing units, with two 2-bedroom and two 3-bedroom family units. The parcel is approximately 15,500 square feet. HACC requires that these four family units be replaced and additional affordable units are included in the new development. Current residents will have the right of first refusal. .505'-514 South Route and Owiner: Housing Autharity of Caok ,Count. Current Use: Four IHACC family townhomes Zoning: R4 Square Footage:-15,300 sq, ft +Y.. 10 Housing Authority of Cook County The City of Evanston and the Housing Authority of Cook County will enter into an Intergovernmental Agreement (IGA) Prior to the issuance of a contract award. The IGA will be incorporated into a final award letter. Housing Authority of Cook County requires the proposed plan to contain a minimum of 6 Public Housing units, with at least two 2-bedroom and two 3- bedroom units. In addition, the City of Evanston requires at least 10 additional units affordable to households with incomes that do not exceed 60% of the area median income, for a total of at least 16 below -market rate units. If the total project unit count exceeds 63 units, then additional affordable units are required so the total number of below -market rate units (inclusive of the 6 Public Housing units) meets or exceeds 30% of total project units. Family units with 3 bedrooms are a priority for the affordable units. All below -market units shall remain affordable for a minimum of 40 years; compliance will be maintained by recording a Land Use Restriction Agreement on the property title. HACC is unable to guarantee Project Based Vouchers (PBVs); Developers will need to apply for PBVs during the annual PBV RFP process. However, the HACC is able to guarantee PBVs for units owned by HACC, which can be accomplished using a condo -out process. Developers will propose an ownership structure for below market -rate units that most effectively achieves project goals and financing. 11 Zoning It is anticipated that to be economically feasible, the development will need to be taller than the current zoning of R-4, which severely limits the number of units that could be developed and therefore will limit the development's contribution to meeting the housing needs of lower income households. This also limits its development for the highest and best use. The site is approximately 275 feet from the CTA South Boulevard Purple Line station, so offers the benefits of transit -oriented development (TOD). Therefore, staff recommends the City Council consider rezoning the property to C1a prior to the issuance of an RFP, with the following limits and considerations: • Maximum building height of 67 ft. at the rear (south portion) of the development, stepped back from the building fronting South Boulevard. Proposals with 67ft heights at the South Boulevard street frontage will not be accepted • No zoning relief for building placement, setbacks, and overall bulk. • Potential ground floor uses such as a daycare center and amenity space for residents. • Encourage enclosed parking to allow for additional landscaping and greenspace. • Consideration of C1a zoning is intended to provide flexibility to incorporate the highest quality design, not to maximize the overall unit count. Responses that follow this construct will be viewed favorably. Rezoning the property would have minimal impact on the cemetery property to the south and commercial properties to the west that are already zoned C1a. For reference, the Courts of Evanston development at the corner of South Boulevard and Chicago Avenue is also zoned C1a. There is an 80 foot separation from the closest residential properties on the north side of South Boulevard. Two residential properties to the east are approximately 60 feet from where a new development would likely rise. Staff will guide developers to use setbacks, ziggurats and other design elements to ensure appropriate development scale and appearance. The redevelopment would be subject to the City's Planned Development process due to the size of the development site of approximately 36,000 sq ft. The zoning classifications from the Evanston Municipal Code are summarized below. More detail may be found at: http/www.cityofevanston.org/home/showpublisheddocument?id=14940 12 Zoning Classifications R4 General Residential District Provides for a mix of residential types at a moderate density including multiple - family, two -flats, townhouses, and single-family attached and detached dwellings. Maximum building height is 35 feet / 2.5 stories. R5 General Residential District Provides for the infill development of a mix of multi -family residential structures at a medium density, including townhouses, two -flats, three-story walk-ups and courtyard apartment buildings that characterize the traditional multiple -family housing development found in this district. Maximum building height is 50 feet / 5 stories. C1a Commercial Mixed Use District The C1a commercial mixed use district is intended to provide locations for the development of mixed -use buildings consisting of retail oriented and office uses on the ground level with office uses and/or residential dwellings above, as well as multi- family residential developments. The maximum mean building height in C1a districts is 67 feet. Parking Off-street parking spaces to accommodate existing permit holders is needed. As of October 2020, the City issued 22 permits for the 69 spaces in Lot 1. A new residential development would likely have a similar total number of parking spaces, requiring no change from the current number of spaces, and resulting in minimal differences in traffic than if all the parking spaces were leased. However, a traffic study will be required during the entitlement process. Developers are required to maintain 20 neighborhood permit parking spaces in the development, as well as provide indoor bike storage and external bike parking. 13 ENVIRONMENTAL SUSTAINABILITY / CLIMATE ACTION RESILIENCE PLAN (CARP) • At least 10% of parking spaces must include level II or higher electric vehicle charging stations. An additional 20% of spaces must be designed to be electric vehicle ready, meaning they will have the necessary infrastructure in place to add level II or high charging stations in the future as demand increases. • Proposals must include building designs that prioritize on -site solar on the primary building and any support or accessory structures. The City is interested in solar installations that maximize solar energy output and therefore reduce the building's overall energy demand and greenhouse gas emissions. Combination solar thermal and solar PV and solar PV only will be accepted in proposals. Solar thermal only installations will not be considered. • Proposed properties must be all -electric; proposals that include natural gas infrastructure will be deemed unresponsive. The primary building or any accessory structures shall not have natural gas service lines. Any existing natural gas service lines entering the site must be disconnected and removed as a part of the redevelopment. • The design and operations of the building must include amenities for composting, recycling and landfill material. These amenities must be co -located throughout both individual living spaces and common spaces. • The property's landscaping and design must be compatible and comply with the provisions of the Community Wildlife Habitat Certification and prioritize the use of native plants and trees. 14 ENVIRONMENTAL SUSTAINABILITY / CLIMATE ACTION RESILIENCE PLAN (CARP) • The property's landscaping design should include no- or low -mow plantings and require minimal to no pesticides for maintenance. Developers are encouraged to consider landscape design practices that minimize the use of gasoline powered equipment for maintenance and do not require leaf blowers. • Developers are encouraged to integrate reclaimed material in the building design and construction. • Developers must demonstrate the capacity and willingness to comply with the Cook County Debris Demolition Debris Ordinance. • Proposals must demonstrate they are able to provide renewable energy. • Buildings that are designed as net -zero energy buildings may be eligible for additional funding through the Illinois Clean Energy Community Foundation's Net Zero Energy Building Program. 15 DEVELOPER'S RESPONSIBILITY • Entitlements. The Developer shall be responsible for all aspects of the Project including pre -development planning, environmental review and design. The Developer shall be responsible, at its sole expense, for obtaining all land use entitlements and other government approvals required for its proposed Project. During the Negotiation Period, the selected Developer shall prepare and process an Initial Study and undertake all other actions required for City approval of the Project, at Developer's cost. In addition to the Initial Study, Developer may, during the Negotiation Period, without any guarantee of approval thereof, seek City approval of a zoning change and/or planned development allowances that may be required for the development of the project. • Proposer(s) Expenditures. The Proposer(s) understand and agree that any expenditures they make in preparation and submission of responses, or in the performance of any services requested in connection with the responses to this RFP, are exclusively at the expense of the Proposer(s). The City of Evanston and HACC shall not pay or reimburse any expenditure or any other expense incurred by any Proposer(s): 1) in preparation of a Response and/or anticipation of a contract award; and/or 2) to maintain the approved status of the Successful Proposer(s) if an Agreement is awarded; and/or 3) administrative or judicial proceedings resulting from the solicitation process. • Predevelopment Costs. The selected Developer shall bear all predevelopment costs relating to this project including fees or expenses for engineers, architects, financial consultants, attorneys, planning or other consultants or contractors retained by Developer. 16 • Deposit. The selected Developer shall reimburse the City and HACC for out-of- pocket costs and expenses incurred (consultants' fees, title reports, and appraisal costs) in negotiating and preparing the Purchase and Sale Agreement and fulfilling its obligations under this Agreement ("Reimbursable Costs"). Developer shall deposit with the City the sum of One Hundred Thousand Dollars ($100,000.00) ("Deposit Funds"). The Deposit Funds shall be used and applied from time to time by the City to pay itself and HACC for the Reimbursable Costs. • Legislative Action. City and Developer acknowledge that the City must exercise its independent legislative authority in making any and all findings and determinations required of it by law concerning the City and HACC Parcels. Developer selection does not restrict the legislative authority of the City in any manner whatsoever and does not obligate the City or HACC to enter into the Exclusive Right to Negotiate Agreement or to take any course of action with respect to the Project. • Financing. The Developer shall be responsible for providing funding for the Project, whether it be in the form of debt financing, equity, tax credits or a combination of these methods. Project will not be wholly financed through tax credits. Projects with developer equity in the capital stack and minimal government subsidies are preferred. No financial risk or credit risk shall be imposed upon or borne by the City or HACC. • Construction. The Developer shall be responsible for demolition, construction and commissioning of the Project including obtaining all permits, fees, and approvals necessary for construction of the Project 17 SUBMITTAL FORMAT The goal of this RFP is to select a developer or a development team for the development of the Property in a manner satisfactory to the local community, the City of Evanston and the Housing Authority of Cook County. The proposals should present a comprehensive, well -articulated development for the Property, complete with supporting documentation to include qualifications and experience, a development concept, financing plan, references, and user commitments and local community support. To that end, the following provisions shall be applicable: 1. Cover Page: Show the Proposer(s) name, address, telephone number, name of contact person, date, and proposed name and RFP number. 2. Table of Contents: Include a Table of Contents with clear identification of the material by section and by page number. 3. Qualifications and Experience: Provide a narrative statement describing all team members and entities responsible for the development and management of the project. Proposers must also provide an organizational chart along with a directory listing the contact information for each person. 4. Proposed Development Concept, Analysis, and Public Benefits. The development concept should include at least the following: a.A detailed description of the project, site plan, and renderings including but not limited to number and size of units and affordability levels. b. Provide any public benefits for the properties described herein and a due diligence analysis that discusses land use & zoning, attainable housing, and development capacity. c. Proposed programming to align with non -market unit requirements set forth above. d. A timetable for implementation of the project, from the execution date of a development agreement and other documents through project occupancy, including a development schedule with a timetable for review and approval of design and construction documents, capitalization schedule, construction commencement date, occupancy date, and phasing plan, if applicable. e. Property management plan. 18 �111 051 in I I i ITIM ;101 5. Financing Plan: The financing plan shall include at least the following: a. Development pro forma showing project budget/breakdown of all hard and soft costs required to implement the project including, but not limited to property due diligence tasks, approvals, professional fees, construction, marketing, legal fees, etc. b. Provide sources and uses of funds, subsidy requests, and commitment to defer a percentage of developer fee. A proposed transaction structure for the project, i.e., purchase, lease, or ground lease, specifying the financing structure c.Operating pro forma cash flow statement, with documentation of assumptions for a 30-year period. 6. Certifications: a. Certification Regarding Lobbying b.Certification Regarding Debarment, Suspension and other Responsibility Matters c. Non -Collusion Affidavit d. Certification of all Federal The City of Evanston and HACC may request proposers to submit revised, updated, or a more detailed financing plan as deemed helpful or relevant, at the sole discretion of the City of Evanston and HACC, in evaluating the Proposer or any aspect of its proposal. References: Provide four (4) references of which at least two (2) shall be from a financial institution and the others preferably from municipalities where developments are located, all to include addresses and telephone numbers. 19 20 ADDENDUM - PUBLIC PROCESS HISTORY Staff first sought approval to initiate an RFQ/P process on February 4, 2019. However, based on community feedback, the City Council agreed with Third Ward Alderman Melissa Wynne's recommendation to implement a more comprehensive public process before issuing the RFP. At the Transportation and Parking Committee meeting on July 25, 2018, staff summarized the potential collaboration with Housing Authority of Cook County (HACC) to redevelop the estimated 35,500 square foot properties as a denser mixed income residential development taking advantage of the area's existing relative density (condos, courtyard buildings, etc.). The following is a summary of that public process leading up to staff's current recommendation: • Spring 2019 - public meeting • 5/9/19 - participants completed a visual preference study, summarized here: https: docs.google.com/spreadsheets/d/1JZgXvW- XaD9gWy_vyCa4yfJr7Aldtdej56W-yW3c4yoU/edit?usp=sharing • 7/30/20 - a virtual meeting with the Courts of Evanston Board sketchup model 1,14 R5 Development Potential and site +aonfiguraU ►n 21 ADDENDUM - PUBLIC PROCESS HISTORY Y t ti } r H r i R5 development potential with top floor step'back to reduce street -facing bulk AN 1 � 0 R5 Development potential with reduced height and front setback moth stepback • 8/26/20 - virtual meeting with a larger group of residents from the Courts of Evanston 22