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File #: 14-1056   
Type: Real Property Sale
In control: City Council A Session
On agenda: 6/12/2014
Posting Language: An Ordinance authorizing the closure, vacation, and abandonment of a 0.542 of an acre improved portion of Gillmore Avenue, located at Billy Mitchell Boulevard in Council District 5, as requested by Port San Antonio; And waiving associated fees to allow for new development as part of the Ports’ expansion plan. [Peter Zanoni, Deputy City Manager; Mike Etienne, Officer, Eastpoint & Real Estate Services Office]
Indexes: EastPoint Disposition
Attachments: 1. ExhibitA, 2. Exhibit B, 3. Survey, 4. Fiscal Impact Form, 5. Ordinance 2014-06-12-0429
DEPARTMENT: EastPoint & Real Estate Services      
  
DEPARTMENT HEAD: Mike Etienne
      
COUNCIL DISTRICTS IMPACTED: 5
SUBJECT: Disposition: Closure of an improved portion of Gillmore Avenue
SUMMARY:
 
An ordinance authorizing the closure, vacation, and abandonment of a 0.542 of an acre (23,597 square feet) improved portion of Gillmore Avenue Public Right of Way adjacent to NCBs 7530 and 12608, located between Billy Mitchell Boulevard and five feet south of the northwest corner of the property described as NCB 7530, Block, Lot Tract East and Lot 36 in Council District 5, as requested by Port San Antonio.
 
BACKGROUND INFORMATION:
 
Port San Antonio (Petitioner) is requesting the closure, vacation and abandonment of an improved portion of Gillmore Avenue Public Right of Way adjacent to NCBs 7530 and 12608 in  Council District 5, as shown on attached Exhibit "A."  The proposed closure consists of 0.542 of an acre or 23,597 square feet. Petitioner owns the property to the east, south and west of the proposed closure. The proposed closure is located between Billy Mitchell Boulevard and five feet south of the northwest corner of the property described as NCB 7530, Block, Lot Tract East and Lot 36. Part of Petitioner's project includes the closure and abandonment of Billy Mitchell Boulevard (which is under Petitioner's jurisdiction) from General McMullen Drive to General Hudnell Drive. Once Petitioner closes Billy Mitchell Boulevard, Gillmore Avenue will become a dead end at the intersection of Billy Mitchell Boulevard and Gillmore Avenue.  To improve area traffic circulation and provide multiple routes for emergency vehicles, Petitioner has recently opened General McMullen from Calgary Avenue to Billy Mitchell Boulevard.
 
Petitioner is engaged in a long-term program of infrastructure improvement to support the mission of its aerospace, rail industry hub and platform for international commerce. A portion of the infrastructure improvement includes the development of the Kelly Center which is a project on over 300 acres that will provide support services, amenities and resources to employees and visitors.  The Kelly Center development will also include office space for new and expanding businesses as well as living options on multi-family properties.  Petitioner has indicated that the proposed development will strengthen and support surrounding neighborhoods by providing accessible opportunities which have been non-accessible to them in the past.  
 
The Gilmore Street closure will create a unique development opportunity and have a positive impact on the future of the commercial parcel located at the intersection of General Hudnell and General McMullen.  The proposed closure will also allow a concept plan to develop a mixed-use office/retail park. The additional acreage will complete the contiguous site needed to add additional office buildings and supporting retail amenities to meet the needs of existing and future Port San Antonio customers.  Given the size of the site, the expected investment will be a minimum of $15 million and have the space to accommodate 375 new jobs. In addition, this positive economic impact will benefit the surrounding area by attracting jobs and providing needed retail amenities accessible to the workforce on and off Port San Antonio. Once the closure and vacation are complete, Petitioner estimates a timeline of 12 months to complete the site plan and office building design and an additional 12 months to complete construction.
 
Exhibit "B" depicts a 26 acre development site plan which illustrates a portion of the proposed Kelly Center development along with the connection of Croyden Avenue to Gillmore Avenue which will provide a continuous route between General McMullen Drive and General Hudnell Drive to serve the existing and redeveloped neighborhoods.  Petitioner has indicated the project will consolidate development areas currently divided by Billy Mitchell Boulevard, eliminate the awkward and skewed intersection of Billy Mitchell Boulevard, and also eliminate the existing traffic signal at Gillmore Avenue and Billy Mitchell Boulevard due to recent upgraded traffic signal at Billy Mitchell Boulevard and General McMullen Drive. Petitioner is prepared to construct the Croyden Avenue extension to Gillmore Avenue and has the plans prepared for bid solicitation.
 
ISSUE:
 
An ordinance authorizing the closure, vacation, and abandonment of a 0.542 of an acre (23,597 square feet) improved portion of Gillmore Avenue Public Right of Way adjacent to NCBs 7530 and 12608, located between Billy Mitchell Boulevard and five feet south of the northwest corner of the property described as NCB 7530, Block, Lot Tract East and Lot 36 in Council District 5, as requested by Port San Antonio.
 
The Gilmore Street closure will create a unique development opportunity and have a positive impact on the future of the commercial parcel located at the intersection of General Hudnell and General McMullen.  The proposed closure will also allow a concept plan to develop a mixed-use office/retail park. The additional acreage will complete the contiguous site needed to add additional office buildings and supporting retail amenities to meet the needs of existing and future Port San Antonio customers.  Given the size of the site, the expected investment will be a minimum of $15 million and have the space to accommodate 375 new jobs. In addition, this positive economic impact will benefit the surrounding area by attracting jobs and providing needed retail amenities accessible to the workforce on and off Port San Antonio. Once the closure and vacation are complete, Petitioner estimates a timeline of 12 months to complete the site plan and office building design and an additional 12 months to complete construction.
 
ALTERNATIVES:
 
The closure, vacation and abandonment of an improved portion of Gillmore Avenue will allow Petitioner to incorporate the public right of way with its adjacent property for the development of the Kelly Center which is a project on over 300 acres that will provide support services, amenities and resources to employees and visitors.  City Council could choose not to approve this item; however, disapproval of this request would disallow Petitioner from incorporating the proposed closure with its adjacent property and using it for the development of the Kelly Center.
 
FISCAL IMPACT:
 
The established fees for this street closure is $67,694.00, which staff is recommending be waived.  Staff recommends that the fee be waived since Gillmore Avenue is an integral part of the new Kelly Center Development encompassing 26 acres at Port San Antonio and will help facilitate the infrastructure improvement that currently exists to improve development of office space for new and expanding businesses and multifamily properties. The fees being waived includes the property's assessed value of $65,000.00, plus $2,500.00 for the appraisal report, $144.00 for the posting of two signs to notify the public of the proposed closure and $50.00 for the recording fees.
RECOMMENDATION:
 
Staff recommends approval of the closure, vacation and abandonment of a 0.542 of an acre (23,597 square feet) improved portion of Gillmore Avenue Public Right of Way and to waive the fee of the closure
 
The City of San Antonio Planning Commission approved the request to close, vacate, and abandon 0.542 of an acre (23,597 square feet)  improved portion of Gillmore Avenue Public Right of Way at its regular meeting on May 28,2014.
 
In accordance with Municipal Code Chapter 37, one letter was sent to the property owner within a 500-foot radius of the closure and two signs were posted at the proposed closure to notify the public of the proposed closure which includes the dates and times of the public hearings.