HomeMy WebLinkAboutResolution No. 4815 COUNCIL RESOLUTION NO. 4815
A RESOLUTION APPROVING A MULTIPLE-UNIT
PROPERTY TAX EXEMPTION FOR RESIDENTIAL
PROPERTY LOCATED AT 1375 OLIVE STREET,
EUGENE, OREGON (1375 OLIVE, LLC).
PASSED: 7/1
REJECTED:
OPPOSED: Taylor
ABSENT:
CONSIDERED: November 22, 2004
RESOLUTION NO. 4815
A RESOLUTION APPROVING A MULTIPLE-UNIT PROPERTY TAX
EXEMPTION FOR RESIDENTIAL PROPERTY LOCATED AT 1375
OLIVE STREET, EUGENE, OREGON (1375 OLIVE, LLC).
The City Council of the City of Eugene finds that:
A. 1375 Olive, LLC, is the owner of real property located at 1375 Olive Street,
Eugene, Oregon, and more particularly described on Exhibit A attached hereto, and has
submitted an application pursuant to the City's Multiple-Unit Property Tax Exemption Program
(Sections 2.945 and 2.947 of the Eugene Code, 1971) with respect to the residential units to be
constructed thereon.
B. A display ad soliciting recommendations or comments from the public was
published in the Register-Guard on October 14, 2004, and advised that written comments would
be accepted for a period of 30 days from the date of publication. Comments from the public,
along with staff's responses, are set forth in the Report and Recommendation, attached as Exhibit
B, which was prepared by the Director of the Planning and Development Department
("Director") as designee of the City Manager.
C. The Director's Report and Recommendation to the Council recommends that the
application be approved and the exemption granted. In making the recommendation, the
Director found that the applicant submitted all materials, documents and fees required by the
application and the City, including, documentation that the construction will be completed on or
before January 1, 2006; that as asserted in the application, the project would not be built without
the benefit of the tax exemption; that one or more public benefits as described in the Report and
Recommendation, as required by the Standards and Guidelines, will be included in the
construction; and that the construction will be in conformance with all local plans and planning
regulations, including special or district-wide plans developed and adopted pursuant to ORS
Chapters 195, 196, 197, 215 and 227.
D. The project consists of a mix of residential and commercial development of 47
residential units (14 one-bedroom, 27 two-bedroom, and 6 three-bedroom units), and three
commercial units, which are not designed and will not be used as transient accommodations.
Only the residential portion of the building qualifies for the tax exemption.
NOW, THEREFORE,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF EUGENE, a
Municipal Corporation of the State of Oregon, as follows:
Section 1. Based upon the above findings which are hereby adopted, and the City
Council's review of the Report and Recommendation of the Director of the Planning and
Resolution - Page 1
Development Department attached as Exhibit B, the City Council hereby approves the
application of 1375 Olive, LLC for an ad valorem property tax exemption under the City's
Multiple-Unit Property Tax Exemption Program for the residential portion of the improvements
to be constructed at 1375 Olive Street, Eugene, Oregon, and more particularly described on
Exhibit A attached hereto, subject to the following conditions:
1. The project shall consist of 47 residential units (14 one-bedroom, 27 two-
bedroom, and 6 three-bedroom units), which are not designed and will not be used as
transient accommodations.
2. The project shall be completed on or before January 1, 2006.
3. The project shall include one or more public benefits as required by the
Standards and Guidelines, and described in the Director's Report and Recommendation
attached as Exhibit B.
4. The project shall be in conformance with all local plans and planning
regulations, including special or district-wide plans developed and adopted pursuant to
ORS Chapters 195, 196, 197, 215 and 227.
Section 2. The residential units to be constructed upon the property described in
Section 1 above are declared exempt from local ad valorem property taxation beginning July 1 of
the year following certification of completion and continuing for a continuous period of ten years
unless earlier terminated in accordance with the provisions of Section 2.947 of the Eugene Code,
1971. The exemption provided for herein does not extend to the portion of improvements
designed and utilized for retail/commercial uses.
Section 3. The City Manager, or the Manager's designee, is requested to forward a
copy of this Resolution to the applicant, and to the other affected taxing districts, within ten days,
and to cause a copy of this Resolution to be filed with the Lane County Assessor on or before
April 1, 2005.
Section 4. This Resolution shall become effective immediately upon its adoption.
The foregoing Resolution adopted and effective the 22nd day of November, 2004.
City Recor~r
Resolution - Page 2
PARCEL I:
Beginning at a point 40 feet North and 174 feet West of the Northeast corner
of Lot 1, Block 1, W~ITNEY'S .ADDITION TO EU~EN~ CITY, as platte4 and recorded
in Book T, ~age 588, L~ne County Oregon Deed Records; and running thence West
160 feet; thence North 40 feet; thence East 160 fe~t; and thence South 40 feet
=o the place of beginning, in Eugene, Lane County, Oregon.
PARCEL II:
Beginning at a point in the East line of Olive Street, in Eugene, Oregon, 80
feet North of the Northwest corner of Fractional Lot 8, Block 1 of W~ITNEY'S
ADDITION TO EU~B~T~ CITY, as platted and recorded in Book T, Page 588, Lane
County Oregon Deed Records; and ru~ning thence North on the East line of Olive
Street in said City, 40.2 feet; thence East 160 feet; thence south 40.2 feet;
and thence ~est 160 feet or to the place of beginning, all situate, lying and
being in Eugene, Lane County, Oregon.
PA/~C~L III:
Beginning at the Northeast corner of Lot 8, Block 1 of that part of the city
of Eugene, originally platted as WHITN~Y'S ADDITION TO EUGENE CITY, as platted
and recorded in Book T, Page 588, Lane County Ore,on Deed Records~ thence West
160 feet, more or less, to the EaSt line of Olive Street; thence North 40
feet; thence East 160 feet or to a point due North of the beginning; and
thence South 40 feet to the place of begir&ning, in Eugene, Lane County,
Oregon.
PARCEL tV=
Beginnin~ at a point 160 ~eet WeSt of a point in the West line of Willamette
Street in the City of ~ugene, Lane qounty, Oregon. 237.24 fee= North o~ the
Northeast corner of Block 1, WHITNE¥'S ADDITION TO EUGENE CITY, a~ platted and
recorded in Book T, Page 588, Lane County Oregon Deed Records; and ruraning
thence Wes~ 175 feet, more or less, to the East line of Olive Street; thence
South along the East line of said street 57.16 feet; thence East 175 feet or
to a point due South of the beginning point; and thence North 57.16 feet to
the place o~ beginning, in Eugene, Lane County, O=egon.
EXCEPT the East ~0.0 feet thereof, in Lane County, Oregon.
ALSO: Beginning at a point 1~0.0 feet West of a point 120.2 fee= North of the
Northeast corner of Block 1, WHITN~Y'S ADDITION TO EUGENE CITY, as platted
and recorded in Book T, Pa~e 588, Lane County Oregon Deed Records; and runnln~
thence West 17~.0 feet to the East line of Olive Street; thence North along
the line of said street, 59.88 feet; thence East 175.0 feet; and thence South
$9.88 feet to the point of beginning, in Lane County, Oregon.
EXCEPT the East 20.0 feet thereof, in Lane County, Oregon.
REPORT AND RECOMMENDATION
of the
Director of the Planning & Development Department
1375 Olive, LLC
Multiple-Unit Property Tax Exemption
The Director of the Planning & Development Department of the City of Eugene
finds that:
1. 1375 Olive, LLC is the owner of real property located at 1375 Olive Street,
Eugene, Oregon, and more particularly described on Exhibit A attached to the Resolution
approving this tax exemption, and has submitted an application pursuant to the City's Multiple-
Unit Rental Housing Property Tax Exemption Program (Section 2.945 and 2.947 of the Eugene
Code, 1971) with respect to the residential improvements to be constructed on the real property.
2. I have reviewed the application and specifically find that the project is an eligible
structure as defined in the Standards and Guidelines, is located within the downtown core area,
and:
2.1 The applicant has submitted all materials, documents and fees required by
the City;
2.2 Design elements that benefit the general public have been included in the
project, which consist of:
2.2.1 Sustainability features. Sustainability features will be included in
this project that will: encourage energy efficiency ("green" features); decrease
dependency on automobiles; foster a sense of community among the residents;
use energy efficient building envelope, light fixtures and appliances; reuse
existing concrete paving as aggregate fill, require recycling of construction
material, and dedicate an area of the building to recycling by residents; use
construction materials with recycled content or those that can be recycled in the
future; use materials such as paints and carpet glues with low levels of volatile
organic compounds; use an underutilized site for the project; and incorporate
landscaping and street trees that will require low water use and maintenance and
will include many native species.
2.2.2 Responsiveness to adjacent historic structures. There are no
adjacent historical structures.
2.2.3 Use of higher quality materials that contribute to longevity.
Construction of the project will use concrete, steel, and brick on the outside, and
concrete and steel on the inside. The windows will be clad with weather-resistant
material. These features will contribute to dureability and enhanced building
design.
Exhibit B to Resolution No. 4815 -- Report and Recommendation - Page 1
2.2.4 Prominent entry facing the public street. The main entrance of the
project will be on Olive Street, and will be dramatic and inviting, enhanced by
attractive landscaping. The commercial spaces will have large windows and
doorways facing Olive Street. All entrances will have attractive pedestrian-
friendly canopies.
2.2.5 Number of units by which minimum density is exceeded. The
project will consist of 47 residential units and, on the ground floor, three
commercial spaces. This number exceeds the required minimum density.
2.2.6 Number of available ADA accessible units that exceed required
standards. All units are ADA-adaptable, with bathrooms, kitchens, environmental
controls and doorways and hardware meeting ADA standards. The building
contains two elevators. All common areas are fully accessible, including an
ADA-accessible bathroom on the ground floor.
2.2.7 Responsiveness to neighborhood character and safety in respect to
height, mass, architectural detail, landscaping and open space. The project
incorporates both residential units and commercial space, which provides a
transition between the residential area and the commercial area of the
neighborhood. Architectural detail will reflect elements of the Eugene Public
Library, Eugene Station Bus Terminal and Fire Station Number 1. The building
height will be approximately the same as the neighboring First Methodist Church
and the Eugene Public Library. Features will be incorporated to reduce the
apparent mass of the structure such as indented areas and landscaping. Public
safety will be facilitated by the use of large window areas, canopies, and exterior
lighting and landscaping which will provide a clear view of the surroundings. A
secure entry and gated parking will help insure safety for residents.
2.2.8 Number of units designed for home ownership. All forty-seven
residential units are designed for home ownership. Sixteen of the units have been
sold, several with the contingency of MUPTE approval.
2.2.9 Solicitation of comments from relevant neighborhood associations.
Jefferson Westside Neighbors held a meeting earlier in 2004 and discussed the
project. The main concern of the neighbors was parking, but they were reassured
when they learned that the parking would be on-site and not on the street. The
neighbors appreciated the architectural features of the building and that the units
have large balconies, creating an "outside space" for each owner.
2.3 The project was monitored through the City's regular processes with
respect to planning, permit and building and safety requirements to insure compliance
with all local regulations;
Exhibit B to Resolution No. 4815 -- Report and Recommendation - Page 2
2.4 There are no structures located on the property. Currently, the site is
paved and is being used as a parking lot; and
2.5 The owner has stated in the application and provided evidence that the
project would not be feasible without the tax exemption. Several of the binding sales
agreements are contingent on receiving the tax exemption.
3. A display ad soliciting recommendations or comments from the public regarding
this project was published in the Register-Guard on October 14, 2004. The period for comment
expired on November 13, 2004. The following written comment was received:
Comment: An e-mail was received from Bruce Cooley who commented that
incentives to build housing in Eugene, especially in the University area, are not necessary
because developers can already command high rent in Eugene. He felt that the projects
would be built even without the tax exemption. He also commented that he rebuilt a
multi-unit property in the University area that had nine bedrooms and five bathrooms,
and didn't get a tax exemption
Findine: Adopted City policies encourage compact urban growth and downtown
area housing. Because it is significantly more expensive to build multi-family housing in
the core area, incentives are needed to help level the playing field. The tax exemption is
only granted if there is evidence that the project would not otherwise be built.
Furthermore, it is only available to the new construction of housing developments of at
least five units. The rehabilitation project that Mr. Cooley refers to is not new
construction and would not qualify. The project proposed for 1375 Olive is not a rental
project but a condominium development which will add owner occupants to the
neighborhood.
Therefore, based upon the above findings, the project is in conformance with all
applicable local plans, planning regulations, the Metropolitan Area General Plan, and the criteria
set forth in the City's adopted Standards and Guidelines for Multiple-Unit Housing Property Tax
Exemption, and I recommend that the application be approved.
~ ,2004. _
Datedthis /~'~'day°f ~~ ( ~
c~tor, Planning ~ D~ent -
Department, City of Eugene
Exhibit B -- Report and Recommendation - Page 3
C ~Documents and Sett~ngs\ceecrdw\Local Settings\Temporary Intemet Ffles\OLK3E\04 MUPTE The Tate Resolution - Ex B (00098058) DOC