Laserfiche WebLink
ATTACHMENT A <br /> <br />M I N U T E S <br /> <br /> <br />Eugene City Council <br />Work Session <br />McNutt Room – City Hall <br />777 Pearl Street—Eugene, Oregon <br /> <br /> April 16, 2008 <br /> Noon <br /> <br />COUNCILORS PRESENT: Andrea Ortiz, Chris Pryor, Betty Taylor, Bonny Bettman, Mike Clark, <br />Alan Zelenka, Jennifer Solomon. <br /> <br />COUNCILORS ABSENT: George Poling. <br /> <br /> <br />Her Honor Mayor Kitty Piercy called the work session of the Eugene City Council to order. <br /> <br /> <br />A. WORK SESSION: <br /> Beam Development Proposal <br /> <br /> <br />City Manager Jon Ruiz introduced Denny Braud, senior development analyst for the Planning and <br />Development Department (PDD), and asked him to review the information. <br /> <br />Mr. Braud provided an overview of the Beam Development Proposal with the aid of power points. He <br />stated that currently the project was in its due diligence period, scheduled to be completed by May 8. He <br />said Beam Development was in negotiations with a variety of potential tenants, including the Oregon <br />Research Institute (ORI). He noted that ORI would be a significant tenant. He reported that Beam planned <br />to build a five-story building on the vacant lot, with parking underneath. He said Beam had indicated that a <br />commitment from a potential tenant would be necessary for the building to go forward. He added that Beam <br />intended to refurbish the Centre Court building prior to construction of the new building. <br /> <br />Mr. Braud reported that the Eugene Redevelopment Advisory Committee (ERAC) had reviewed the pro <br />forma for the project, which included cost estimates. He said Beam continued to refine its construction cost <br />estimates. He related that the ERAC had expressed concern that the construction costs in the pro forma <br />seemed low. He noted that the projection that the building would rent for $2 per square foot for retail was <br />considered to be an aggressive assumption. <br /> <br />Mr. Braud reviewed the proposed Urban Renewal Agency (URA) terms. He commented that the profit <br />margin projection appeared to be small even with aggressive assumptions in regard to revenue. He stated <br />that Beam was not willing to make a financial commitment prior to May 8. <br /> <br />Mr. Braud summarized three options for the council to consider: <br />1. The URA would purchase the property and sell it to Beam and assist with the financing of the <br />project. <br /> <br /> <br />MINUTES—Eugene City Council April 16, 2008 Page 1 <br /> Work Session <br /> <br />