09/18/1991 Meeting - Laserfiche WebLink

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--- ---------- -----~~---- --- e ing environment, and asked that the council remain flexible with the time line dates. Ms. Bascom asked whether the economic climate is as difficult in the North- west as it is in other areas. Mr. Hoffman responded that while the Northwest economy is slightly better than other areas, most of the stringent regula- tions originate at the Federal level and do not take into account differences in regional economies. Lee Bodenhammer, Division Manager for Real Estate at US ~ancorp, said that US Bancorp rem~ins committed to the project. At present, US Bancorp plans to occupy approximately 40 to 50 percent of the building and has structured its present occupancy in Eugene so that it would be able to move into the project once the building has been constructed. Mr. Bodenhammer said that US Bancorp has negotiated a joint venture agreement with Lorig Associates, Inc., and is in the process of finalizing a commercial lease agreement. He explained that the acc is a Federal institution with the authority to govern major decisions of all national bank facilities. Responding to questions from Mr. MacDonald, Mr. Bodenhammer said that Lorig Associates, Inc., has communicated informally with the acc to attempt to determine what it will require within the joint venture agreement. Once the lease agreement has been finalized, both agreements will be sent to OCC for approval; the approval process is expected to take 90-120 days. Mr. Bodenhammer said that while initially the acc expressed its reservations with the project, it has recently been more favorably disposed. It is his feeling e that the acc has lessened its opposition to the project because of US Bancorp's willingness to remain flexible in its negotiations with the OCC to get the project completed. Responding to a question from Mr. Boles, Mr. Bodenhammer said that the acc weighs a bank's Community Reinvestment Act (CRA) performance very heavily in the determination process. Mr. Nicholson asked whether Lorig Associates, Inc., has sufficient prelease commitments which, when combined with US Bank's commitment, would be suffi- cient to go ahead with the project. Mr. Hoffman said that it is difficult to obtain such commitments at this stage of the process and is unlikely that it would obtain many more lease commitment's prior to acc approval. Mr. Rutan asked about other major obstacles to the project. Mr. Hoffman said that the site does have some constraints; Lorig Associates, Inc., will have to work within those constraints to make the project move forward. He said that while less expensive office space will be available in Eugene, it will not be the same quality. Lorig Associates, Inc., has conducted a site analy- sis and is proposing that the building be sited on the corner of 8th and Will amette. It does not anticipate the need to open Willamette Street to traffic. Mr. Boles asked what steps local officials could take to expedite the _ project. Mr. Bodenhammer responded that the OCC is sensitive to community e - MINUTES--Eugene City Council September 18, 1991 Page 2 -- -