West End TIF District

[Lynn Farris]

I missed the meeting last night, but I heard lots about it today. I'm always excited to hear about growing Lakewood. I have some questions and need some clarifications.

1 Does the new TIF district now includes All of Sloane to Keniworth and half of Rio and Scenic and All the Apartments in the West End.

2 Residents assume that this is only for the Foran Development Condo's on Sloane to reinforce the hillside. That they can not take advantage of this in any way by fixing up their homes or businesses. Is this true and are any other projects involved?

3 There is not yet a memorandum of understanding or a development agreement - but there should be one by Monday night. Is this correct?

4 There will be no eminent domain - is that correct? Mayor George has been great about getting new development without eminent domain.


5 Is there a pro forma? What is the ROI? What is the payback period?

6 Is it true that the increase in Property tax in the entire TIF area will pay off the TIF for Foran Project, not just the increase in property tax in the development.

7 Are they just reinforcing the hillside where the Foran Development is going in or are they doing the entire hillside for all the properties in Lakewood along the river?

8 Did they do this when Captains Cove went in? If so do we have figures on that and the date?

9 Are there options on other properties on Sloane - (The Walker Properties) and is that part of this development or another development?

10 Is the vote on the development agreement Monday night? Is this just the first reading?

Thanks for any help.

[Jim O'Bryan]

This is an artist rendering of how The Cliffs will look when finished in 3 years. It will be announced Monday, with construction starting 8 weeks later. First residents will be able to move in in 12 months.

Prices for these beautiful condos overlooking the river and the lake start at $275,000 and will run up to $1,000,000.

This is the first water front development in 40 years.


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[Lynn Farris]

Thanks Jim for posting the rendering. It looks very cool. How many units?

And if council is supposed to approve a TIF, do they have to do it Monday night to begin in 8 days? Does that mean they have to suspend the rules and not have 3 readings How much is the TIF?

[Jim O'Bryan]

The Cliffs on Rocky River, a 46-unit multi-level luxury condominium and boat marina development on a unique 1.6 acre site at the former site of the Krumreig Marina.

Total value of the project is estimated to be over $20,000,000 when completed in three years. Construction is due to begin in 8 weeks, with first occupants moving in this time next year.

The site is located across from the Cleveland Yacht Club and the Westlake Marina and is just 1000 yards from the mouth of the river and the historic mansions of Clifton Park and the Lagoons.

The waterfront location, just north of the Detroit Bridge, spans a 90-foot vertical drop from Sloane Avenue to the docks below, alongside the Rocky River. The 45-degree angled cliff is comprised of centuries-old bedrock which will support condominiums which terrace up, closely following the profile of the hillside as it rises.

The building will be constructed into the cliffside and steps back with each floor level to create huge terraces and glass-walled residences with spectacular views of the boat traffic to the north and west, and views of the MetroParks to the south.

However, the building will rise only 35 feet above grade on Sloaneâ€â€￾about the height of a single family home.

[Jeff Endress]

This is the first Lakefront development in 40 years

I know we're all excited Jim, but the area in question, while potentially having a view of the Lake, is really a RIVERFRONT development>

Jeff

[Jim O'Bryan]

This is the first Lakefront development in 40 years

I know we're all excited Jim, but the area in question, while potentially having a view of the Lake, is really a RIVERFRONT development>

Jeff

Jeff

OK I am sorry for correcting you on the Frank's Hotsauce comment.

As i go back and look at the release the term waterfront does seem to be there instead of Lakefront.

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[Grace O'Malley]

I'm confused about this project. Will this be instead of, or in addition to, the hotel project that was being proposed for the area of Sloan near the underpass?

Would that proposal have also benefitted from the TIF district?

What happened to that hotel proposal, anyway? I thought that would have been a great boon to the area. The entire Clifton Lagoon area is ripe for development and a hotel, especially one with access to boat dockage, would draw a lot of high income people to Lakewood. It could be a resort destination with the boating and lake access.

A hotel and resort would then draw restaurants and shops and other services to the area. Wow, talk about a catalyst.

The Foran development already has acquired the land, no? Its the old Krumreig docks. How is that part of a TIF district? Was that "blighted?"
I'm not sure I see why they need public assistance to build there.

Oh, so many questions. Will Lakewood Alive have any programs discussing these development proposals? I missed the one they had at Lakewood Hospital the same night they had the council meeting.

[Jeff Endress]

Grace

The entire Clifton Lagoon area is ripe for development

The homes/boathouses in the lagoon are some of the highest priced real estate in the city, if not the county (certainly based on lot size!). I don't think you could ever redevelope that area due to the zillions of dollars required for acquisition.

There would also be the issue of Clifton Beach being owned by the Clifton Park Trustees and a private Lakefront in trust for Clifton Park. It goes back to the prior discussions...We've got this great Lake. We've got precious little access to it.

Jeff

[ryan costa]

When did it become cool to have glass walled residential buildings?

It's kind of smart to have thicker brick or stone walled residential buildings when you are building next to Lake Erie: There is very cold wind coming off the lake in Winter. When I walk across the the Detroit-Superior bridge in winter I notice this. I also notice the condos next to the bridge look very uncomfortable and insecure.

Will the terraced roofs be used as patios?

[Jim O'Bryan]

When did it become cool to have glass walled residential buildings?

It's kind of smart to have thicker brick or stone walled residential buildings when you are building next to Lake Erie: There is very cold wind coming off the lake in Winter. When I walk across the the Detroit-Superior bridge in winter I notice this. I also notice the condos next to the bridge look very uncomfortable and insecure.

Will the terraced roofs be used as patios?

Will be posting more tomorrow after the announcement.

I have lived in mostly glass condos on the lake. It was really not that bad. Also facing west they will get a ton of solar heat.


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[Grace O'Malley]

What announcement?

That a wealthy developer wants to build an upscale residential complex on land they already own and make a ton of money but they need some extra money from a cash strapped city, (read: average Lakewood taxpayer), so they can make even more money?

[Jim O'Bryan]

What announcement?

That a wealthy developer wants to build an upscale residential complex on land they already own and make a ton of money but they need some extra money from a cash strapped city, (read: average Lakewood taxpayer), so they can make even more money?

Grace

There is an announcement to the media tomorrow.

I already have a call in with City Hall to get an answer to your questions.

I have found that the Hotel project is living on. One of their stumbling blocks is they are trying to acquire the Unger's House. I am not sure if you are familiar with that piece of property or the family. I know at one point they needed access through Clifton Park and believe that was shot down. Clifton Park Association has a "rule" that nothing is allowed in the way of development without 100% approval of everyone in the association. Perhaps, Jeff, DL, Rhonda, Mary Anne or the Ferris could jump in on this one.

The Ungers are one of Lakewood's great families. He is a war hero with at least one book written about him. He was honored this year with 440 other Lakewoodites as an outstanding volunteer.

To my knowledge The Cliffs/Foran Development have no interest in the Unger property.

I believe, but could be wrong that Tom George has gone on record in saying no eminent domain, and I know for a fact that Foran Development has acquired all the property they need for this.

Maybe it is a similar deal to the one also awarded to Rosewood and Rockport. This is more a tax break for the new buyers as opposed to the developer. Of course that helps sell Condos.

You know I will do my best to get these answers from the Building Department and City Hall.


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[Ivor Karabatkovic]

Only in Lakewood do you have people excited about the building of a residential complex and the demolishion 5 of schools.

i hope they build a gift shop for the place so that lakewood can make some money off of it

[Grace O'Malley]

http://www.cleveland.com/news/plaindealer/index.ssf?/base/cuyahoga/1147768584206150.xml&coll=2

According to the article in the PD, the TIF seems to have already been approved.

Though George and the developers emphasized the appeal of the condos, George also said the city is offering a financing break.

Called a TIF, for tax increment financing, the developers will use the city's borrowing power for a $1.7 million loan to prepare the property, said Thomas J. Jordan, the city's director of planning and development.

A large portion of additional tax revenue that otherwise would be raised for governments because of the project will instead be used to repay the loan.

Rick Berdine, treasurer of Lakewood schools, said the district backs the financing deal and expects to gain, not lose, tax dollars over the years.

Berdine said the property has a tax value of $185,780 generating $9,200, a year in real estate taxes. Once built, the schools will receive $86,000 a year until the TIF expires, when they will get $288,000 a year, based on current tax rates, Berdine said.

The developers ALREADY own the property. They are businessmen. Unless they are foolish, they plan to make money on this project.

Do we need to provide them with this extra money?

I'm glad the schools are so quick to jump in and "approve" the TIF. I don't know if that's a good idea given that the schools will ask for an operating levy soon and the additional bond money.

[Joan Roberts]

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I'm glad the schools are so quick to jump in and "approve" the TIF. I don't know if that's a good idea given that the schools will ask for an operating levy soon and the additional bond money.

I'm no expert on TIFs but this one seems like a no-brainer.
Right now the property is a boarded-up gas station for boats. The schools immediately get a ten-fold increrase in revenue, with a thirty-fold increase down the line.
Only surprise here is Mr. O's thinly-veiled admission that he is not immune to 'new house fever'. Verrrrrrryy interesting.

Also to Mr. K. Your comment would make it seem as though Lakewood is abandoning its schools. It's actually investing $100 million in its school system with this program. That's a pretty substantial commitment, I'd say.