DEPARTMENT: Neighborhood and Housing Services
DEPARTMENT HEAD: Verónica R. Soto, AICP, Director
COUNCIL DISTRICTS IMPACTED: 2
SUBJECT:
Ordinance authorizing the execution of a Development Agreement for the Brooklyn StrEAT Food Park Project, a 3 story mixed-use food park development, in an amount not to exceed $350,000. Project is located at 201 Burnet Street in Council District 2 and within the Inner City Tax Increment Reinvestment Zone 11 (TIRZ).
SUMMARY:
City Council is being asked to consider an Ordinance authorizing the execution of a Development Agreement in an amount not to exceed $350,000.00 between the City of San Antonio, Inner City TIRZ Board of Directors and StrEAT Parks, LLC. The development is located within the Inner City TIRZ at 201 Burnett Street in Council District 2. Funding will facilitate the renovation and construction of a 3 story mixed-use food park development.
BACKGROUND INFORMATION:
On March 13, 2018, StrEAT Parks, LLC submitted a TIRZ funding request for reimbursement of eligible project costs for the Brooklyn StrEAT Food Park Project.
On May 8, 2018, the TIRZ Board approved a resolution authorizing Staff to negotiate an agreement in an amount not to exceed $350,000.00 to be used for project costs related to site work for public improvements. The overall cost for the project is estimated at $2,700,000, which includes public infrastructure, such as additional open space, streets and sidewalks.
On August 14, 2018, the Board approved a Resolution authorizing the execution of a Development Agreement to provide funding in an amount not to exceed $350,000.00, in available tax increment from the TIRZ fund to StrEAT Parks, LLC for the Brooklyn StrEAT Food Park Project. Funding will be expended for public infrastructure such as additional open space, streets and sidewalks.
ISSUE:
The Inner City TIRZ was designated in 2000 and has a termination date of September 30, 2025. The Brooklyn StrEAT Food Park Project is located at 201 Burnet Street in Council District 2. The proposed $2,700,000.00 development will feature a 3 story mixed-use food park. The project will include a 1,673 SF roof top dining, a community garden, expanded sidewalks for pedestrians, and live entertainment. The project will include a total of at least six pad parking spaces for mobile food trucks.
The overall project cost is approximately $2,700,000.00 which includes public infrastructure such as additional open space, streets and sidewalks. StrEAT Parks, LLC has received city permit fee waivers of $8,992.00.
The project is anticipated to commence on October 31, 2018 with tentative completion date of August 31, 2019. The $350,000.00 in the Inner City Tax Increment Reinvestment Zone funding is necessary to ensure that the project is completed, as well as economically feasible.
ALTERNATIVES:
If the City does not approve the Inner City TIRZ Board of Director’s recommendation, the Developer will be unable to implement and complete the proposed project as it will become economically unfeasible.
FISCAL IMPACT:
If approved, this action will authorize the reimbursement in an amount not to exceed $350,000 from the Inner City TIRZ fund for eligible expenses related to Brooklyn StrEAT Food Park Project between the City of San Antonio, StrEAT Parks, LLC and the Inner City TIRZ Board of Directors. The funds will be paid solely from the Inner City TIRZ fund and will have no impact to the City’s General Fund.
RECOMMENDATION:
Staff recommends approval of an Ordinance authorizing execution of a Development Agreement in an amount not to exceed $350,000.00 for the Brooklyn StrEAT Food Park Project located at 201 Burnet Street in Council District 2.