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Item A: City Council Priority Issue - City Hall Complex
ECC UGENE ITY OUNCIL AIS GENDA TEM UMMARY Work Session: City Council Priority Issue - City Hall Complex Meeting Date: September 20, 2006 Agenda Item Number: A Department: Central Services Staff Contact: Mike Penwell www.eugene-or.gov Contact Telephone Number: 682-5547 ISSUE STATEMENT The purpose of the September 20, 2006, work session is to narrow the site options for use in developing concept designs for a new Eugene City Hall. BACKGROUND The third of four Community Forums was held Thursday, August 24, 2006, from 6–8:30 p.m. at the First United Methodist Church. Nearly 100 people participated. The program included an introductory presentation on site selection criteria and site planning elements to consider when evaluating the 25 potential sites for a new City Hall. After the presentation, attendees participated in small group exercises, large group discussions, and indicated their preferences regarding each site option. The forum was videotaped and copies are available at Eugene’s three libraries. Refer to Attachment A for a map of sites, Attachment B for the indication of preferences tally, and Attachment C for a Summary Report of Community Forum #3. Results from the Indication of Preferences at the Community Forum In a small group format, community members discussed the 25 sites and were asked to consider the pros and cons of each. After small and large group discussions and using remote control technology, attendees indicated their preferences as to whether each site should be carried forward into concept design, or be removed from further consideration. From approximately 75 voting participants, three sites were clearly ranked above other sites to carry forward into concept design (receiving over 50 votes each; the next highest grouping received votes in the 30s). The three sites are Site 8 (Rock N’ Rodeo/Butterfly Lot), Site 9 (existing City Hall), and Site 26 (a combination of Site 17, Broadway and Charnelton, and Site 19, former Sears Site) which was requested as an additional voting option from many participants during the forum. Refer to Attachment B for a complete tally of all sites. The question “Which size of lot should be used for the City Hall?” was also asked and yielded the following results: Half block site: 20 people ? Full block site: 52 people ? Reasons given for a full-block site preference included a lower-scale building, space for horizontal expansion, more opportunity for open space, and better potential for sustainable design. L:\CMO\2006 Council Agendas\M060920\S060920A.doc Additional Cost Information The council asked the design team to provide additional cost information on fully renovating the existing City Hall, and seismically upgrading the existing City Hall. The design team compiled a Statement of Probable Cost to responsibly and fully renovate the existing City Hall as part of previous research efforts to cost model the renovation options. The conservative range of this study identified $37 million in construction costs and $13 million in soft costs, for a project cost total of $50 million. Refer to Attachment D for a City Hall Refurbishing Statement of Probable Cost (outlining construction costs), and note that all cost models received a consistent 1.35 soft cost multiplier to arrive at total project costs. The same study identified a line item cost for seismic upgrades. As an isolated number including construction, contingencies, markups and soft costs, the figure totals approximately $4.3 million, but excludes significant related items such as abatement and demolition, architectural repairs, mechanical and electrical system repairs or relocations, and a reasonable contingency for unforeseen costs to perform the upgrade completely. Estimating the cost of a seismic upgrade in the context of its related work would require a separate research effort, but an approximate cost model range is $8 million – $10 million. Interest in the Existing City Hall Facility Management staff contacted over 300 non-profit agencies in an attempt to gauge community interest in the re-use of the City Hall building for a purpose that would provide community benefit in some manner. Staff invited agencies to submit Statements of Interest in City Hall, provided information packets on the facility, and held an open house to allow interested parties to ask questions and tour the building. Only one Statement of Interest (from DIVA – Downtown Initiative for the Visual Arts) was received and is included as Attachment E. Simultaneously, Community Development staff sought to gauge interest in the value and potential of the City Hall site for private, market-rate development opportunities by conducting individual interviews with six local private developers. Based on these interviews, it appears that the demand for private re-use of the building may be low and the financial feasibility for re-use would be challenging. Non-profit uses that do not require a return on investment, or office uses that required only minor building improvements were cited as the most likely redevelopment scenario. There was speculation that the lease of the building’s below-grade parking may have greater economic value than the lease of the building. There was a general consensus among the interviewees that the block would likely have greater redevelopment potential if the building is removed. However, there was little confidence that such redevelopment would occur in the near future given current market conditions, including construction costs, lease rates, and vacancy rates. A detailed summary of the interview questions and responses is included in Attachment F. Police Consolidation Options At the April 26, 2006, work session, the council adopted three Police consolidation options for use in ongoing planning efforts related to the City Hall Complex: 1) Option B that consolidates all Police functions with the rest of City Hall on a single site; 2) Option C that consolidates all Police functions except patrol with the rest of City Hall and provides for a separate patrol facility nearby; and 3) Option D that consolidates all Police functions except patrol with the rest of City Hall and provides for a separate patrol facility in a more remote location outside the downtown area. Because all the potential City Hall sites can support any of the Police consolidation L:\CMO\2006 Council Agendas\M060920\S060920A.doc options, the consultant team recommends that exploration of how the three Police options affect specific sites be conducted during conceptual design rather than trying to narrow Police options further at this time. RELATED CITY POLICIES The City Hall Complex master planning and public participation process relates to the council goals of an effective, accountable municipal government, a safe community, and sustainable community growth and change. COUNCIL OPTIONS The council may decide to narrow the site options for use in concept designs for a new City Hall. CITY MANAGER’S RECOMMENDATION The City Manager recommends that the project team narrow the site options for City Hall to two: 1) Site 8 (Rock N Rodeo/Butterfly Lot) and 2) Site 9 (existing City Hall). Site 26 (combined sites 17, Broadway and Charnelton, and Site 19, former Sears Site) is not recommended for further consideration as the City expects to receive viable RFP responses for the former Sears Site on September 15, five days prior to the September 20, 2006, work session. SUGGESTED MOTION Move to eliminate all sites except Site 8, the Rock N Rodeo/Butterfly Lot site, and Site 9, the existing City Hall site, for use in developing concept designs for a new City Hall. ATTACHMENTS A.Map of Sites B.Indication of Preferences tally C.Summary Report of Community Forum #3 D.City Hall Refurbishing Statement of Probable Cost E.DIVA Proposal for re-use of City Hall building F.Report on development potential and interest of City Hall site FOR MORE INFORMATION Staff Contact: Mike Penwell, Facilities Design and Construction Manager Telephone: 682-5547 Staff E-Mail: michael.j.penwell@ci.eugene.or.us L:\CMO\2006 Council Agendas\M060920\S060920A.doc ATTACHMENT B Eugene City Hall Master Plan Site Options - Indication of Preferences Tally Site Option Carry the site forward Remove from consideration 1: State Motor Pool 0 people 70 people 2: EWEB 6 people 65 people th 3: 6 & Willamette 14 people 56 people 4: County Health Building 15 people 55 people th 5: 6 & Charnelton 5 people 66 people 6: Good Times/Fed Parking Lot 14 people 57 people 7: Goodyear Site 9 people 64 people 8: Rock N Rodeo/Butterfly 54 people 20 people 9: Existing City Hall 54 people 19 people 10: East of Existing City Hall 37 people 35 people 11: East of Federal Courthouse 8 people 65 people th 12: 8 & Charnelton 5 people 75 people th 13: 8 & Olive 9 people 65 people th 14: 8 & Pearl Sites 32 people 41 people 15: Courthouse District SW 22 people 51 people 16: Courthouse District SE 7 people 66 people 17: Broadway & Charnelton 25 people 47 people 18: Atrium/Broadway & Olive 12 people 60 people 19: Former Sears Site 38 people 34 people 20: Greyhound and Parking Lots 24 people 48 people 21: U of O Baker Center 7 people 65 people 22: South of Library 9 people 64 people th 23: 10 & Pearl 6 people 67 people th 24: 11 & Charnelton 8 people 63 people 25: PeaceHealth Sites 11 people 62 people 26: (added) Combined 17 & 19 52 people 21 people Attachment C City of Eugene City Hall Complex Master Plan Community Forum #3 Report INTRODUCTION ̸» Ý·¬§ ±º Û«¹»²» ¸»´¼ ¬¸» ¬¸·®¼ ±º º±«® ݱ³³«²·¬§ Ú±®«³ô ©¸·½¸ ¿®» ¬®«½¬«®»¼ ¬± ¿¼¼®» ¬¸» ·«» ¬± ¾» ®»±´ª»¼ ¼«®·²¹ ¬¸» §»¿®ó´±²¹ Ü»ª»´±°³»²¬ д¿² и¿» ±º 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Pros Þ»¿«¬§ 窻® ¿½½» º±® °«¾´·½ ݱ¬ »ºº·½·»²¬ Þ«·´¼·²¹ · ¿´®»¿¼§ ¬¸»®» ¿²¼ ¾§ ¬¸» Ú»¼»®¿´ ½±«®¬¸±«» Cons λ³±¬» Ю±¾¿¾´§ º´±±¼·²¹ ìð §»¿® º´±±¼ °´¿² Site #3 (6th and Willamette) Ç»æ ïì Ò±æ ëê Pros Ú±® °±´·½» ¬¿¬·±² Û¿¬ ¿²¼ ©»¬ ±®·»²¬¿¬·±² º¿½·²¹ Ó¿·² ͬ®»»¬ ß½®± ¬¸» ¬®»»¬ º®±³ ¿ ¾¿® Ò±¬ ³¿²§ ¾«·²»» ©±«´¼ ¾» ¸«®¬ Ò»¿® ¬¸» °±¬ ±ºº·½» Ѳ Ø·¹¸©¿§ çç »¿§ ½¿® ¿½½» ݱ³¾·²» Í·¬» í ¿²¼ ì øî÷ Cons Ϋ´» ±«¬ ̱± ³¿´´ º±® Ý·¬§ Ø¿´´ «²´» ·¬ ¬¿´´ Ò± ¬®±²¹ °»¼»¬®·¿² ½±²²»½¬·±² Ú®±²¬ ¼±±®ÿ Ý«¬ ±ºº º®±³ ¿ ´±¬ ±º ¾«·²» Site Number #4 (County Health Building) Ç»æ ïë Ò±æ ëë Pros Ú±® °±´·½» ¬¿¬·±² Þ»¬¬»® ¬¸¿² Í·¬» í Ù±±¼ ´±½¿¬·±² ¿²¼ ¿½½» ø²± °±´·½»÷ ݱ³¾·²» Í·¬» í ¿²¼ ì Cons Ϋ´» ±«¬ ̱± ³¿´´ º±® Ý·¬§ Ø¿´´ «²´» ·¬ ¬¿´´ ̱± º¿® ¿©¿§ th Site Number #5 (6 & Charnelton) Ç»æ ë Ò±æ êê Pros Ú±® °±´·½» ¿²¼ ½±«®¬ »°¿®¿¬» º®±³ ¬¸» ½·¬§ ¾«®»¿«½®¿½§ ©¸·½¸ ©±«´¼ ¾» ³±®» ½»²¬®¿´ò Cons Ϋ´» ±«¬ Site Number #6 (Good Times/Federal Parking Lot) Ç»æ ïì Ò±æ ëé Pros Ê··¾´» ß½½»·¾´» Ú±® °±´·½» Ý´±» ¬± ¬¸» Ú»¼»®¿´ ½±«®¬¸±«» Cons Ϋ´» ±«¬ 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(Broadway & Charnelton) Ç»æ îë Ò±æ ìé Pros Ѱ¬·±² ¬± ¸¿ª» º«´´ ¾´±½µ ±°»² °¿½» ø½·¬§ ¿´®»¿¼§ ±©² ·¬»÷ øí÷ Ý´±» ¬± Þ®±¿¼©¿§ д¿½» ¿²¼ Ý·¬§ °¿®µ·²¹ ©·´´ µ·½µ ¬¿®¬ ®»¼»ª»´±°³»²¬ ·² ¬¸» ¿®»¿ øî÷ Ý·¬§ ¿´®»¿¼§ ¸¿ º«²½¬·±² ·² ¬¸» ¿¬®·«³ ¿½®± ¬¸» ¬®»»¬ øî÷ Ë» ¿ ³·¨»¼ «» ¾«·´¼·²¹ Ý´±» ¬± Ô¿²» Ì®¿²·¬ Ü·¬®·½¬ øÔÌÜ÷ ײ ¹®±«° ¬±° í д¿¦¿ ±°°±®¬«²·¬§ Ý·¬§ ±©²»¼ ß´´±© ±°»² °¿½» Ò·½» ½±³°¿²·±² ¬± ½·¬§ ´·¾®¿®§ Ø¿ª» »¿¬ ¿²¼ ©»¬ ±®·»²¬¿¬·±² Ù®»¿¬ ¿½½» º®±³ ¾« ¬¿¬·±² Ù®»¿¬ ½±²²»½¬·±² ¬± ´·¾®¿®§ ¿²¼ ²»© º·®» ¬¿¬·±² Ú«´´ ¾´±½µ º¿½» ´·¾®¿®§ ¿²¼ ¾« ¬¿¬·±² Û´·³·²¿¬» ¾´·¹¸¬ Ý¿² ·²½±®°±®¿¬» ®»º·´´ ±² Þ®±¿¼©¿§ ݱ«´¼ Í·¬» ïé ¿²¼ ïç ¾» ½±³¾·²»¼ º±® ¿ º«´´ ¾´±½µ º±«® ¬±®§ ¾«·´¼·²¹ Ú±® °±´·½» ¿²¼ ½±«®¬ »°¿®¿¬» º®±³ ¬¸» ½·¬§ ¾«®»¿«½®¿½§ ©¸·½¸ ©±«´¼ ¾» ³±®» ½»²¬®¿´ò Í·¬» ïéô ïèô ¿²¼ ïç ½±«´¼ ©±®µ ¬±¹»¬¸»® ¿ ¿ ´¿®¹» ½±³°´»¨ Ó·¨»¼ «» °±·¾·´·¬·» Cons Ú»»´ ·¬ ¸±«´¼ ¾» ½±³¾·²»¼ ©·¬¸ ïç ¿²¼ ïé øê÷ Ô·¾®¿®§ ª·»© ¸»¼ Ò±¬ ²»¿® ¬¸» ݱ«²¬§ ½±«®¬¸±«» ±® º»¼»®¿´ ¾«·´¼·²¹ Ú¿®¬¸»® º®±³ ½»²¬»® ¼±» ²±¬ «°°±®¬ ½±³³»®½·¿´ ¬®»»¬ ´·º» ß½¯«··¬·±² 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Charnelton) Ç»æ è Ò±æ êí Pros Ú±® °±´·½» ¿²¼ ½±«®¬ »°¿®¿¬» º®±³ ¬¸» ½·¬§ ¾«®»¿«½®¿½§ ©¸·½¸ ©±«´¼ ¾» ³±®» ½»²¬®¿´ Cons Ϋ´» ±«¬ Site Number #25 (PeaceHealth Sites) Ç»æ ïï Ò±æ êî Pros Ô±¬ ±º °¿½» øî÷ л¿½» Ø»¿´¬¸ Ò»¿® º·®» ¬¿¬·±² Ú±® °±´·½» ¿²¼ ½±«®¬ »°¿®¿¬» º®±³ ¬¸» ½·¬§ ¾«®»¿«½®¿½§ ©¸·½¸ ©±«´¼ ¾» ³±®» ½»²¬®¿´ Ô±¬ ±º ®±±³ Cons Ϋ´» ±«¬ Ò± ½±²²»½¬·ª·¬§ ß©¿§ º®±³ ½±®» Site Number #26: Combination of sites 17 &19 (Broadway & Charnelton/ Former Sears Site) Ç»æ ëî Ò±æ îï Which size of lot should be used for City Hall? Ø¿´º ¾´±½µæ îð Ú«´´ ¾´±½µæ ëî Ú«´´ ¾´±½µ ¬± »½«®» ª»²¬·´¿¬·±² ¿½½» Ú«´´ ¾´±½µ ·¬» º±® º«¬«®» îë ¬± ëð §»¿® Site #27: Combination of 3 & 4 (6th & Willamette/ County Health Building) øÍ¸±© ±º ¸¿²¼ ¿ ®»¯«»¬»¼ ¾§ °¿®¬·½·°¿²¬÷ λ«´¬æ ¿ º»© §» ¿²¼ ¿ º»© ¼±¦»² ²± All Sites п®µ·²¹ · ¿ ½±²½»®² Ó¿µ» ´¿®¹»® º¿½·´·¬·» º±® ´¿¬»® »¨°¿²·±²ô ¾«¬ ½«®®»²¬´§ °®±ª·¼» ¿°¿®¬³»²¬ ±® ½±²¼±ô ¿²¼ ³«´¬·ó«» º¿½·´·¬·»ò ײ¬»¹®¿¬» °«¾´·½ ¿²¼ °®·ª¿¬» «»ò Ï«»¬·±²æ ܱ ©» °´¿² ±² ½±²±´·¼¿¬·²¹ ³¿·²¬»²¿²½» ©·¬¸ Ý·¬§ Ø¿´´á ɸ¿¬ ¿¾±«¬ ³¿·²¬»²¿²½» ¿²¼ °±´·½» ª»¸·½´»á Other Comments on Worksheets ̸» Ú»¼»®¿´ ½±«®¬¸±«» · ¿ ¹·ª»² ²»»¼ ¬± °®±ª·¼» ½±²²»½¬·±²ô ¿²¼ 謸 ߪ»²«» · ¿ ¼»·¹²¿¬»¼ ½±²²»½¬·±²ò Ô±±µ º±® °±·¾´» ·¬» ©·¬¸ ½±²²»½¬·±² ¬± 謸 ߪ»²«» ¿²¼ ±°°±®¬«²·¬ º±® ¿ ©·¼»²»¼ 謸 ߪ»²«»ò øÓ¿§¾» ¿² »¨¬®¿ ïë ¬± í𠺻»¬ º®±³ °¿®µ ¾´±½µ »¿¬÷ Ú«¬«®» °¿®µ ɸ±´» Ú±±¼ Û¿¬ ¿²¼ ©»¬ ¿´·¹²³»²¬ ׺ »¨½» °¿®µ·²¹ »¨·¬ô ²± ²»»¼ ¿ °¿®µ·²¹ Û¨·¬·²¹ Ý·¬§ Ø¿´´ ·º °´·¬ °±´·½» ¿²¼ ¾«®»¿«½®¿½§ Appendix A Community Forum #3 Site Analysis Presentation (following) High Pearl 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CITYHALLBUILDINGCOMPLEX 1,610,446 Seismicupgrades 0 SF 909,360 Seismicupgradesfootings/shearwalls/plaster 15,156 60.00 SF 481,950 Seismicupgradesdemo/replaceCMUwalls 22,950 21.00 EA 124,000 Seismicupgradeswrapcolumns 62 2,000.00 LB 95,136 Seismicupgradesstructuralsteel 47,568 2.00 0 779,000 Demolition 0 SF 380,000 Hazardousmaterialsabatementleadpnt/asbestos/pcb's/cfc's 209,300 1.82 SF 399,000 Demolitionx_interiorwalls,finishes,etc. 79,800 5.00 0 511,500 Concrete,Carpentry,andSecurity 0 PlazaSF 200,000 Pondfeatureremoveandinfill 8,000 25.00 PlazaSF 47,500 Paversclean/seal/replaceasreq'd 47,500 1.00 LS 50,000 Loadingdockallowance 1 50,000.00 LS 20,000 CMUtrashenclosureallowance 1 20,000.00 LF 148,000 ExteriorfinsreplacedD-Fir_select_painted 13,680 10.82 LF 6,000 Securityfencingchain-lk_12'ht_vinylcoated 200 30.00 PR 40,000 Securitygatesmotorizedw/cardreader 2 20,000.00 0 1,049,400 Thermal&Moisture 0 SF 358,020 Insulationunderslabfurring/rigidinsul/gypbd/vp 45,900 7.80 SF 135,405 Insulation@extwallsfurring/rigidinsul/gypbd/vp 22,950 5.90 SF 468,000 Roofingsingleply/taperedinsul 62,400 7.50 SF 78,000 Sheetmetalflashings 62,400 1.25 LedgeSF 9,975 Sealantsonconcreteepoxy 2,850 3.50 0 1,014,500 DoorsandWindows 0 ExteriorSF 790,000 Windowsalumdblglaz/operablevents 10,620 74.39 ExteriorEA 96,500 Doorsalumframe/glazing/hdwr 30 3,216.67 CouncilC.SF 128,000 ClerestoryKalwall-insulated 1,280 100.00 0 5,466,705 Finishes 0 70%ofareaSF 3,175,200 Interiorinfillpackagestandardfinishes 52,920 60.00 30%ofareaSF 1,814,400 Interiorinfillpackagecivic-qualityfinishes 22,680 80.00 CouncilC.SF 420,000 Interiorinfillpackagecivic-qualityfinishes 4,200 100.00 SF 27,000 Ceiling@parkingsuspgrid/heavyduty/firerated 6,000 4.50 SF 30,105 Painting,exterior2cts@walls,trim,railings 40,140 0.75 0 215,000 Specialties&Equipment 0 LS 5,000 Elevator_existingupgrade 1 5,000.00 LS 210,000 Elevator_newdemo/excav/pit/2-stop_onedoor 1 210,000.00 0 7,535,110 Mechanical&Electrical 0 SF 653,956 Firesprinklersriser/piping/heads_wet/dry 118,901 5.50 SF 1,458,744 Plumbingpipingandfixtures 79,800 18.28 SF 2,915,094 HVACequipment&ductwork 79,800 36.53 SF 2,507,316 Electricalpower/lighting/VD/firealarm 79,800 31.42 0 18,181,661 HARDCOSTTOTAL ESTIMATEDATE:May8,06 ARCH:HackerCONSTRUCTIONFOCUS,INC.REVISION#:1 DWGDATE:N/A541-686-2031CONST.START:2Qtr-06 DESIGNLEVEL:ConceptualEUGENE,OREGON 2/3 CityofEugene,Oregon CityHallRefurbishing StatementofProbableCost LOCITEMDESCRIPTIONQNTYUNIT$/UNITTOTAL$ TheaboveHARDCOSTTOTALdoesnotincludetypicalgeneralcontractormarkups. ThosepluscontingenciesarelistedbelowaspartofaLow-HighRange. Variablesincludefluctuationsinmarketconditions,materialselections,anddesignconsiderations. TheCostEstimateRangewillbeconsolidatedaswemoveclosertotheactualBidDate. LOWRANGEHIGHRANGE Markups: @20%:3,636,332Contingency@35%:6,363,581 1,527,259GenRequirements@7%:1,718,167 1,167,263Profit&Overhead@5%:1,313,170 1,225,626LEEDRatingPremium@5%:1,378,829 190,367PerfomanceBond&BOLI:212,723 MarkupSubtotals: 7,746,84710,986,470 25,928,507CONSTRUCTIONTOTAL29,168,131 LOWRANGEHIGHRANGE ADAIMPROVEMENTS Allowancefor25%oftheConstructionTotal(HighRange)7,292,033 ALTERNATE Alt#1:EmergencyServicesUpgrade:447,834 (Increasethecostofshearwalls,dragstruts,andelectricalservices) CONSTRUCTION+ADA+ALTERNATETOTAL36,907,998 NOTES Constructionstartdateisassumedtobe2ndquarter,2006 Refertothe"ScopeofWork"formoredetailedinformation. EXCLUSIONS Designfees,permitfees,systemdevelopmentfees,utilityhookupcharges,testing. Inflation,movingexpenses. ESTIMATEDATE:May8,06 ARCH:HackerCONSTRUCTIONFOCUS,INC.REVISION#:1 DWGDATE:N/A541-686-2031CONST.START:2Qtr-06 DESIGNLEVEL:ConceptualEUGENE,OREGON 3/3 CityofEugene,Oregon CityHallRefurbishing StatementofProbableCost LOCITEMDESCRIPTIONQNTYUNIT$/UNITTOTAL$ PROJECTPARAMETERS 209,300 SF GrossArea 79,800 SF BuildingOccupiedFlrArea 47,500 SF PlazaArea 82,000 SF ParkingArea 12 LF WallHeight(OccupiedAreas) 40,140 SF ExteriorClosure 3,345 LF BuildingExteriorPerimeter 62,400 SF TotalRoofArea 0 14,000 SF SouthWingArea 600 LF SouthWingPerimeter 10,500 SF EastWingArea 490 LF EastWingPerimeter 17,200 SF NorthWingArea 650 LF NorthWingPerimeter 2,800 SF WestWingArea 240 LF WestWingPerimeter 4,200 SF CouncilChambersArea 260 LF CouncilChambersPerimeter 13,700 SF FireStationArea 350 LF FireStationPerimeter 1,400 SF NorthWingLowerLevelArea 145 LF NorthWingLowerLevelPerimeter 16,000 SF EPDBasementArea 610 LF EPDBasementPerimeter ESTIMATEDATE:May8,06 ARCH:HackerCONSTRUCTIONFOCUS,INC.REVISION#:1 DWGDATE:N/A541-686-2031CONST.START:2Qtr-06 DESIGNLEVEL:ConceptualEUGENE,OREGON ATTACHMENT F City Hall Reuse Scenario Summary of Private Developer Feedback September 20, 2006 In response to a City Council request to obtain feedback from non-profit and private entities regarding the community value and potential uses for the existing City Hall building, interviews with six local private development professionals were conducted. A list of the individuals interviewed and a summary of the questions and responses follows. Hugh Prichard, Prichard Partners Clayton Walker, C.W. Walker & Associates Scott Diehl and Mark Miksis, Arlie & Co. Greg Brokaw and John Rowell, Rowell Brokaw Architects Michael Coughlin, McKenzie Capital Rob Bennett, Bennett Management 1.From a developer standpoint, does the existing City Hall building have reuse potential? The ability to generate income is limited; so much unusable space, outmoded; parking ? is a huge asset, structural issues are a concern (especially for southeast corner) The 200 parking spaces may have more value than the existing building; could leave ? top vacant and just rent parking Class C office might be possible, depending on the acquisition cost and rehab cost ? Can only determine after you look at cost, highest and best use, and projected return on ? investment Building has a very unique and specific configuration, which calls for a very specific ? use; for example, the building might be able to be used as a school with parking – chamber used as lecture space, classrooms on edges, kids in open space protected from street; however, there is only a small set of possible users for this type of programming th Would be interesting to evaluate the building for a retail use, similar to 5 Street ? Market; need to determine if seismic upgrade would be required for change to retail use Building has no adaptive economic reuse given that the land is not used efficiently and ? the systems are likely to be outdated Parking is good feature of existing building, and the surrounding area does need more ? parking 2.If yes, what is the likely highest and best use for the existing building? Most likely an office use, except for fire end of the building; hard to imagine that cost ? to get the building into move-in shape would balance out the income potential Office and parking ? Office, not retail; cultural center/public building because of open areas and odd ? building configuration Building configuration might work for a consolidated arts use, but there is value in the ? current configuration of art venues because it gets people to walk around town, street interaction is important for arts; difficult for non-profit to harness inefficient, high building operation costs School, other non-traditional uses ? Possibly retail, depending on the condition of the building and rehab costs; interior ? overhangs and open space would make it interesting If acquiring building at market rate, would not look to reuse but rather would look at ? demo 3.Can you (roughly) anticipate what the cost per square foot might be for conversion of the building into another use? $100 per square foot for tenant improvements; cost approx. $160 per square foot to ? build Class A office space ? Non-profit rent would be $0.60 – $0.80 per square foot; any tenant improvements ? minimum is $50 per square foot in general It would be roughly as much to retro existing building as to build new (without ? factoring in parking) Need to split up space and do something with council chambers; assume asbestos; ? wouldn’t guess without engineer studies first; $100 per square foot would be a very safe minimum; lease for $1.40 wouldn’t support the tenant improvements Recently built new office space for $130 per square foot, which is probably similar to ? the rehab cost for the building Would expect rehab cost to be at least 15-20% of building value; seismic upgrade, ? asbestos abatement would increase the cost 4.What are some of the challenges associated with re-use of the existing building? Visibility, access, no way to describe where shop is within building, general façade ? ugliness The way the building is sited, half in ground/ramps are an issue for entrances; shame to ? use full block for 1-story building, numbers lead to having multiple floors, a lot of unusable space, small amount of rentable space, seismic issues Building not suitable for retail or residential; office too risky given glut of office ? currently available Leasable value is lower because there is no street level access, no interaction with the ? street; Not pedestrian friendly; four block faces of elevated blank walls ? Building faces inward, sits up above street level ? Systems are likely outdated, useful life of the building is probably limited ? No current market for additional office space ? The price of keeping the building because of the claims that it is historic or significant ? for period of architecture is too high given the value of the property, may end up regretting keeping it; wouldn’t be cultural asset over time, too big, too valuable, not big enough cultural asset 2 5.Does the City Hall block have greater redevelopment potential with or without the existing building structure? Without ? Without; but wouldn’t want to prematurely tear down the building ? Without; however there is probably no immediate demand for new development ? Value of the property may be land value less demo cost ? Could save the parking, and consider an interim use for the building ? Probably wouldn’t pencil out to build anything now if the building were removed; ? would probably look at a retail use for the next ten years, then consider something with greater density 6.From a developer’s standpoint, what is the highest and best use for the City Hall block? City hall or office building with substantial mass with associated surface parking which ? is prohibited; likely that the building would be scraped and lot left vacant; need anchor tenant to take 50% of new building; probably not housing for this location City hall or retail/mixed-use ? Mixed-use to fit with fabric of downtown, ground retail and floors above with office ? and housing City hall not interesting use for street level of the entire block; half block city hall with ? half-block other use Mixed-use, possibly housing; office demand is probably five years out ? 7.If the City Hall property were to become available, would you have an interest in acquiring the property? If so, would you anticipate re-using the building? Would possibly be of interest to buy for parking value and sit on it ? Yes, would look at it; like it better than Sears site; would likely demo once engineering ? studies were reviewed Strong interest, willing to invest time in doing plans; if required to keep building, ? interest would depend on other information about building Assume there would be interest for land banking; it is a civic portion of downtown ? which makes it less attractive because of a lack of synergy, Whole Foods and other such developments in area could change the civic concentration of the area Yes, retail potential would be interesting; easy to run the numbers to see if would work ? Maybe interested; it is a large site that would need to consider multiple uses or phased ? development 3