HomeMy WebLinkAbout2021-12-20-I02B The Quarter at Waukee Development Agr Second Amendment_Set PH AGENDA ITEM:
CITY OF WAUKEE, IOWA
CITY COUNCIL MEETING COMMUNICATION
MEETING DATE: December 20, 2021
AGENDA ITEM: Consideration of approval of a resolution fixing date for a public hearing
on the proposal to enter into a Second Amended and Restated Agreement
for Private Development with The Quarter at Waukee, LLC, and Waukee
Prairie Apartments, LLC
FORMAT: Consent Agenda
SYNOPSIS INCLUDING PRO & CON: The City entered into a development agreement with
Midtown Waukee Holdings, LLC in November 2019 related to a
development project proposed to be constructed at the intersection of
Grand Prairie Parkway and SE Ashworth Road followed by an
amendment in August 2020 which included an assignment of the
agreement to The Quarter at Waukee, LLC and Waukee Prairie
Apartments, LLC.
Additional changes are necessary to the development agreement and staff
is recommending a public hearing be set for January 3, 2022 to further
discuss the proposed changes.
FISCAL IMPACT INCLUDING COST/BENEFIT ANALYSIS:
COMMISSION/BOARD/COMMITTEE COMMENT:
STAFF REVIEW AND COMMENT:
RECOMMENDATION: Approve the resolution setting the date of public hearing.
ATTACHMENTS: I. Proposed Resolution
PREPARED BY: Brad Deets, Development Services Director
REVIEWED BY:
I2B
RESOLUTION NO. ____________________
RESOLUTION FIXING DATE FOR A PUBLIC HEARING ON
THE PROPOSAL TO ENTER INTO A SECOND AMENDED
AND RESTATED AGREEMENT FOR PRIVATE
DEVELOPMENT WITH THE QUARTER AT WAUKEE, L.L.C.
AND WAUKEE PRAIRIE APARTMENTS, LLC, AND
PROVIDING FOR PUBLICATION OF NOTICE THEREOF
WHEREAS, by Resolution No. 19-402, adopted November 4, 2019, the City approved and
adopted Amendment No. 1 to the Waukee Consolidated Urban Renewal Plan (the "Plan" or "Urban
Renewal Plan"), which unified the existing Gateway Economic Development Urban Renewal
Area, Waukee West Urban Renewal Area, and Waukee Central Urban Renewal Area into the
Waukee Consolidated Urban Renewal Area (the "Area" or "Urban Renewal Area") described
therein, which Plan has been subsequently amended several times, most recently by Amendment
No. 5 to the Plan approved by Resolution No. 2021-476 adopted on November 15, 2021, and which
Plan, as amended, is on file in the office of the Recorder of Dallas County; and
WHEREAS, it is desirable that properties within the Area be redeveloped as part of the
overall redevelopment area covered by said Plan, as amended; and
WHEREAS, the City of Waukee, Iowa (the "City") and Midtown Waukee Holdings, LLC
(the "Original Developer") entered into an Agreement for Private Development on November 4,
2019 (the "Original Agreement"), pursuant to which the Original Developer was to cause certain
Minimum Improvements to be constructed in connection with the redevelopment of certain real
property located within the Urban Renewal Area (the "Development Property"); and
WHEREAS, the Original Agreement included a Minimum Assessment Agreement
between the City and Original Developer also dated November 4, 2019; and
WHEREAS, the Development Property was subsequently transferred to The Quarter at
Waukee, L.L.C. (the "Developer"), and the City, Developer, and Waukee Prairie Apartments, LLC
subsequently entered into an Amended and Restated Agreement for Private Development (the
"First Amended and Restated Agreement") along with a revised Minimum Assessment Agreement
(the "First Amended and Restated MAA"), both dated August 3, 2020; and
WHEREAS, the City and Developer desire to amend and restate the terms of the First
Amended and Restated Agreement and replace the First Amended MAA, by a proposed Second
Amended and Restated Agreement for Private Development (the "Second Amended and Restated
Agreement") and proposed new Minimum Assessment Agreement, to (i) remove Waukee Prairie
Apartments, LLC as a party, (ii) change the description of the Development Property and
Minimum Improvements, (iii) change the terms for construction and operation of the Minimum
Improvements on the Development Property, and (iv) change the minimum assessed values and
maximum rebate amounts on the various commercial buildings and the surface parking lot to be
constructed as the Minimum Improvements; and
WHEREAS, pursuant to the terms and conditions of the Second Amended and Restated
Agreement, the City would make payments of Economic Development Grants to Developer, with
the amounts of the payments to be calculated based on the Tax Increment generated by the various
buildings and parking lot included in the Minimum Improvements and collected by the City under
Iowa Code Section 403.19, under the formulas and schedules for the various buildings set forth in
the Second Amended and Restated Agreement and subject to the terms and conditions of the
Second Amended and Restated Agreement, with the cumulative maximum amount of all
Economic Development Grants under the Second Amended and Restated Agreement not to exceed
$34,002,834; and
WHEREAS, Iowa Code Chapters 15A and 403 (the "Urban Renewal Law") authorize cities
to make grants for economic development in furtherance of the objectives of an urban renewal
project and to appropriate such funds and make such expenditures as may be necessary to carry
out the purposes of said Chapter, and to levy taxes and assessments for such purposes; and
WHEREAS, the Council has determined that the Second Amended and Restated
Agreement is in the best interests of the City and the residents thereof and that the performance by
the City of its obligations thereunder is a public undertaking and purpose and in furtherance of the
Plan and the Urban Renewal Law and, further, that the Second Amended and Restated Agreement
and the City's performance thereunder is in furtherance of appropriate economic development
activities and objectives of the City within the meaning of Chapters 15A and 403 of the Iowa Code,
taking into account the factors set forth therein; and
WHEREAS, neither the Urban Renewal Law nor any other Code provision sets forth any
procedural action required to be taken before said economic development activities can occur
under the proposed Second Amended and Restated Agreement, and pursuant to Section 364.6 of
the City Code of Iowa, it is deemed sufficient if the action hereinafter described be taken and the
City Clerk publish notice of the proposal and of the time and place of the meeting at which the
Council proposes to take action thereon and to receive oral and/or written objections from any
resident or property owner of said City to such action.
NOW THEREFORE, BE IT RESOLVED, BY THE CITY COUNCIL OF THE CITY OF
WAUKEE IN THE STATE OF IOWA:
Section 1.That this Council meet in the Council Chambers, City Hall, 230 West Hickman
Road, Waukee, Iowa, at 5:30 P.M. on January 3, 2022, for the purpose of taking action on the
matter of the proposal to enter into a Second Amended and Restated Agreement for Private
Development with The Quarter at Waukee, L.L.C. and Waukee Prairie Apartments, LLC.
Section 2.That the City Clerk is hereby directed to cause at least one publication to be
made of a notice of said meeting, in a legal newspaper, printed wholly in the English language,
published at least once weekly, and having general circulation in said City, said publication to be
not less than four (4) clear days nor more than twenty (20) days before the date of said public
meeting.
Section 3.The notice of the proposed action shall be in substantially the following form:
(One publication required)
NOTICE OF PUBLIC HEARING OF THE CITY COUNCIL OF
THE CITY OF WAUKEE IN THE STATE OF IOWA, ON THE
MATTER OF THE PROPOSAL TO ENTER INTO A SECOND
AMENDED AND RESTATED AGREEMENT FOR PRIVATE
DEVELOPMENT WITH THE QUARTER AT WAUKEE, L.L.C.
AND WAUKEE PRAIRIE APARTMENTS, LLC, AND THE
HEARING THEREON
PUBLIC NOTICE is hereby given that the Council of the City of Waukee in the State of
Iowa, will hold a public hearing on January 3, 2022, at 5:30 P.M. in the Council Chambers, City
Hall, 230 West Hickman Road, Waukee, Iowa, at which meeting the Council proposes to take
action on the proposal to enter into a Second Amended and Restated Agreement for Private
Development ("Second Amended and Restated Agreement") with The Quarter at Waukee, L.L.C.
(the "Developer") and Waukee Prairie Apartments, LLC ("Additional Property Owner").
The City, Developer, and Additional Property Owner previously entered into an Amended
and Restated Agreement for Private Development dated August 3, 2020 (the “First Amended and
Restated Agreement”) for the development of certain Minimum Improvements on certain real
property within the Waukee Consolidated Urban Renewal Area (the "Development Property").
The First Amended and Restated Agreement replaced an Agreement for Private Development
dated November 4, 2019 by and between the City and Midtown Waukee Holdings, LLC. The
proposed Second Amended and Restated Agreement would amend and restate the terms of the
First Amended and Restated Agreement, modifying the terms for the project to (i) remove the
Additional Property Owner as a party, (ii) change the description of the Development Property and
Minimum Improvements, (iii) change the terms for construction and operation of the Minimum
Improvements on the Development Property, and (iv) change the minimum assessed values and
maximum rebate amounts for the various commercial buildings and the surface parking lot to be
constructed as the Minimum Improvements.
The Second Amended and Restated Agreement would obligate the City to make payments
of Economic Development Grants to Developer, with the amounts of the payments to be calculated
based on the Tax Increment generated by the various buildings and parking lot included in the
Minimum Improvements and collected by the City under Iowa Code Section 403.19, under the
formulas and schedules for the various buildings set forth in the Second Amended and Restated
Agreement and subject to the terms and conditions of the Second Amended and Restated
Agreement, with the cumulative maximum amount of all Economic Development Grants under
the Agreement not to exceed $34,002,834.
A copy of the Second Amended and Restated Agreement is on file for public inspection
during regular business hours in the office of the City Clerk, City Hall, City of Waukee, Iowa.
At the above meeting the Council shall receive oral or written objections from any resident
or property owner of said City, to the proposal to enter into the Second Amended and Restated
Agreement with the Developer. After all objections have been received and considered, the
Council will at this meeting or at any adjournment thereof, take additional action on the proposal
or will abandon the proposal to authorize said Second Amended and Restated Agreement.
This notice is given by order of the City Council of the City of Waukee in the State of
Iowa, as provided by Section 364.6 of the City Code of Iowa.
Dated this 20th day of December, 2021.
Rebecca D. Schuett
City Clerk, City of Waukee in the State of Iowa
(End of Notice)
PASSED AND APPROVED this 20th day of December, 2021.
Mayor
ATTEST:
City Clerk