HomeMy WebLinkAboutRS1-Redevelopment Agency
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REt: VELOPMENT AGENCY .Rr lUEST FOR ( )MMISSION/COUNCIL A( JON
t: Redevelopment Agency
Subject: CONSIDER. PRIORITY PROJECTS FOR
INCLUSION IN OEDP REPORT (OVERALL
ECONOMIC DEVELOPMENT PLAN)
. From: Glenda Saul, Executive Director
Date: January 29, 1987
Synopsis of Previous Commission/Council action:
None
Recommended motion:
(MAYOR AND COMMON COUNCIL)
Move to recommend approval of priority projects to be included in the Overall Economic
Development Plan (OEDP) 1986/87 Report to be submitted by the OEDP Committee to the
Economic Development Administration.
~t-~~
,
Signature
Glenda Saul
FUNDING REQUIREMENTS:
Amount: $
NA
Phone: 383-5081
All
Ward:
P. All but SV
rOJect:
Date: 2/2/87
Contact person:
YES
Supporting data attached:
No adverse Impact on City:
Council Notes:
Agenda Item No. 125 - /
"'
"REL"" .lVELOPMENT AGENCY.1l ~UEST FOR" JMMISSION/COUNCIL A~ ..ION
STAFF REPORT
Submitted for your review is the 1986/87 Overall Economic Development Plan. This
Plan is scheduled for review by the OEDP Committee, February 3,1987. Staff is
seeking your review and recommendation for approval of the priority projects in
Section VII, pages S - 12.
BACKGROUND
In order to be eligible for EDA funding, the Economic Development Administration
must be in receipt of the current Overall Economic Development Plan for the
Special Impact Area of the City. The Plan must specify the needs within this area
and the projects that would promote economic benefit for this area, if these needs
were addressed.
The Agency has had discussions with Haagan Development regarding the possibility
of obtaining EDA funding for a portion of the cost for the Baseline/Medical Center
Drive shopping center. Ms. Marilyn Williams of EDA advises us that upon receipt
of an updated OEDP report, she will provide the proper preliminary application
forms.
Currently the OEDP Board of Directors is the Executive Board of the Economic
Development Council. A meeting has been called of the OEDP committee to review
and approve prior to submission to EDA.
Section VII sets forth the needs of the Special Impact Area and projects that
would produce an economic benefit relating to the need.
An outline of these follows:
Priorities
1. Baseline/Medical Center Drive Shopping Center.
2. South "E" Street bridge.
Other Projects - Not prioritized
1. I-21S/Mill Street/off ramp.
2. I-21S/Second Street off ramp and signalization.
3. I-21S/Sth/Base1ine/on-off ramps.
4. Freeway Widening - I-21S/Mi11 to Rt. 30.
5. I-21S/Waterman off ramp.
6. Public Infrastructure - Enterprise Zone, Industrial Area.
7. Extension of Sewer trunk line.
8. Replacement of Mr. Vernon bridge.
9. Marketing - Enterprise Zone.
10. Technical Assistance Program - Enterprise Zone.
11. Pumping Station - Infiltration System.
The projects above are recommended by staff of Economic Development council,
Redevelopment Agency, Community Development and Public Works.
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2/2/87
.~OJECT SAN BERNA .NO
OVERALL ECONOMIC DEVELOPMENT PLAN
OEDP UPDATE 86/87
I. THE OEDP COMMITTEE
Attached to this Report is a complete listing of the San Bernardino
Economic Development Council Board of Directors (OEDP Committee).
II. REPORT OF PAST YEAR'S ACTIVITIES - 1985-86
The five agencies in the City receiving public funds list the following
accomplishments for this reporting period:
A. City of San Bernardino Redevelopment Agency (RDA)
Eleven of the twelve RDA projects are located in part within the
City's Special Impact Area. During fiscal year 85/86, over
1,000,000 square feet of new commercial structures, 300,000 square
feet of new industrial structures and 60,000 square feet of
rehabilitated office structures have been built within the
Redevelopment Project Area, increasing assessed values by
approximately $60,000,000. Using standards of 700 square feet per
job, 1950 jobs will have been created by this year's growth.
Of significant importance this past year is the receipt by the City
of an EDA grant for the extension of Hospitality Lane, which
included a bridge across San Timoteo Creek. The grant was approved
in September, 1985. The street improvements were completed in May
1986. The extension of this street allowed access to a 153 acre
site. During the year a 80,000 SF corporate office building and a
9,000 SF TGI Fridays Restaurant were constructed on this new site.
These two developments alone have produced 150 new jobs.
The developer of t 's 153 acre site' ~ entered into an Agreement
with the Agency to construct over $50.000.000 of new development
within the next 5 years. He project an approximate 1200 additional
jobs will be created. The Agency has agreed to assist in funding a
new off ramp along 1-10 which will additionally benefit this
development as well as surrounding areas. This off ramp is
explained further in the Needs section of this report.
Attached is a copy of the RDA activity update for Fiscal Year 85-86
and anticipated projects for 86-87 (Exhibit #1).
B. SAN BERNARDINO ECONOMIC DEVELOPMENT COUNCIL (SBEDC)
During 85/86 SBEDA made five loans to minority businesses totaling
$172.314. Three of the five loans were funded by the Community
Block Grant (CDBG) money from the revolving loan fund. The balance
was funded by Industrial Development Bond (lOB) fees. A total of 27
jobs were created.
Loan Mt. No. Empd.
l. Community Financial Center $ 60.000 5
2. Progressive Mortgage Corporation* 27.314 3
3. Cajun's Seafood Restaurant* 20.000 5
4. Tullas Ent. Inc. 30.000 12
5. Mt. Vernon Hardware* 35.000 2
*CDBG Funds
$172.314
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Marketing act1v1t' by SBEDC cont1r to concentrate pr1mar11y on
promoting the Employment L1nkage Program. Over 8,000 brochures were
d1rect-ma11ed to Ca11forn1a and Ar1zona bus1nesses. He rece1ved 75
responses. Three resulted in Employment Linkage agreement~ :w1th the
Redevelopment Agency and created 150 new entry level jobs for San
Bernardino unemployed residences.
C. HESTSIDE COMMUNITY DEVELOPMENT CORPORATION
See attached summary (Exhibit #2)
D. CITY OF SAN BERNARDINO OFFICE OF COMMUNITY DEVELOPMENT
See attached summary (Exhibit #3)
E. OPERATION SECOND CHANGE (OSC)
Operat10n Second Chance has filed for reorgan1zat10n in bankruptcy,
and its Chapter 11 f1l1ng has been converted to Chapter 7
proceed1ng by the Bankruptcy Court. Its Pub11c Enterpr1se Center
bu11d1ng has been transferred to the Redevelopment Agency of the
City of San Bernard1no by order of the bankruptcy court. The School
of Advanced Technology 1s not operating and title to the property
and the Bank of Amer1ca's 11en thereon are be1ng contested 1n
court. The Bankruptcy Trustee plans to market this building for
economic development purposes 1n conjunct10n w1th the RDA, the EDA
and the bankruptcy court. The Pub11c Enterprise Center is presently
being ut1lized by the RDA for a job training school under a pr1vate
entrepreneur (Golden State School) and a request for proposals for
long term utilizat10n of that building for purpose consistent with
econom1c development.
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III. THE AREA AND ITS Ecor y
The San Bernardino County area continues to grow due to the influx of
people and firms from Los Angeles and Orange Counties. Low cost
housing in the area is the main attraction. Also. a more relaxed life
style away from the elements of a densely populated coast line is
another strong factor.
San Bernardino City has available commercial and industrial vacant land
at reasonable prices.
IV. POTENTIALS FOR ECONOMIC DEVELOPMENT
The City of San Bernardino recognizes it's potential for development.
In 85/86 Southland Corporation opened. employing over 200 employees and
is the City's first Fortune 500 Company. Southland is the distribution
center for 7-11 stores in Southern California.
Our first foreign investor. C & M Fine Pack. Inc.. began construction
of their new plastic manufacturing company during this period. The
plant was completed 12/86 and will initially hire 60 employees. They
eventually will employ approximately 200 people. C&M has entered into
an Employment Linkage agreement with the Redevelopment Agency to hire
80 unemployed entry level San Bernardino residences. These two new
firms have generated considerable interest in San Bernardino by the
Japanese banking community and by other Fortune 500 Company watchers.
As indicated in Section II.A. an approximate 1950 new jobs have been
created by new development in FY 85/86. 150 of which are directly
attributed to funds received from the Economic Development
Administration for the extension of Hospitality Lane.
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Standing development _.~reements with th~ Redevelopment Agency and
construction in progress should add 1.700 new jobs in calendar year
1987 within the Special Import Area (Refer to Exhibit #1).
A great potential exists for the development of a major shopplrig center
on the westside of San Bernardino. This proposed center will employ
approximately 240 persons. We have address this much needed center in
Section VII which follows.
V. DEVELOPMENT STRATEGY
The marketing of the City has been redirected away from the foreign
markets and toward Southern California specifically and the continental
U.S. in general. Attracting firms from high cost areas of Orange
County and Los Angeles County promises to be more successful than
concentrating on foreign interest.
VI. PLAN FOR IMPLEMENTATION OF MARKETING
During this period the primary source of new business contact by SBEDA
was through the Employment Linkage Program. In addition. SBEDC worked
very closely with the RDA in meeting new business contacts and
assisting in relocations and expansions. EDC is now working on a
marketing plan for the City of San Bernardino as a whole.
VII. SPECIFIC NEEDS OF SPECIAL IMPACT AREAS AND PROJECTS TO SATISFY NEED
Of top priority are the following two needs & projects.
1. Community Shopping Center - Baseline/Medical Center Drive
In April 1985. the City. recognizing particular needs within the
community and targeted a section of the City as the Enterprise
Zone. The majority of this area lies West of 1-215. The entire
area is within the Special Impact area.
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Although the City J~d not receive st..e designation, the City has
committed itself to a local Enterprise Zone Program. Although. not
completed, a preliminary review of a needs assessment study
conducted by California State University. for the Redevelopment
Agency. indicates that there is a definite need for a community
shopping center.
A site located at the Northeast corner of Baseline and Medical
Center Drive has been targeted for a shopping center to include a
grocery store. drug store. bank and satalite retail. Currently,
residences within this section of our City must travel outside their
neighborhood to shop.
In an attempt to satisfy this need the Redevelopment Agency
solicited proposals for development of the site. An Exclusive Right
to Negotiate has been entered into with Haagon Development to
construct a 82,000 SF shopping center. with an anticipated value of
$10,000.000. The development anticipates hiring 248 persons. The
Employment Linkage Program will be offered to all tenants in an
attempt to hire unemployed San Bernardino residences.
The proforma analysis for the development proposed indicates that
the project can only proceed with a sizable amount of public
assistance.
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2. "E" Street Bridge
The Commerce Center area is the westerly section of the Southeast
Industrial Park Redevelopment Project Area. This area has grown
from virtually undeveloped land seven years ago to the fastest
growing area of our City. Over the past seven years new development
in this area has increased by $90.000.000 and has created an
estimated 3600 new jobs. Twenty six acres still remain undeveloped.
Other than by freeway the main access to this ever growing area is
along "E" Street. The entry and exit to this area is by way of a
36' wide bridge across the Santa Ana River. The continual growth of
the area as well as the "E" Street corridor to the north of the
bridge is such that the existing facility will not service existing
needs let alone potential growth.
The City has recognized the need for an additional bridge over the
Santa Ana River. In this way one would be used for Southbound
traffic and the other for Northbound traffic.
The City is currently soliciting proposals for a
traffic/signalization study for this area. It is feared that
traffic congestion could become so great that it could discourage
continual growth and enjoyment of the area.
The following are additional qualified needs within the Special Impact Area
which have not been prioritized in their order of listing.
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1. 1-215/Mill Street ,/Off Ramp
The City (this year) adopted an Overlay Zone for that area bounded
by Ria1to Avenue. "E" Street. Inland Center Drive and 1-215. This
area linking our two major malls is a prime area for new commercial
development. Approximately 80~ of the area is undeveloped.
Within the next 10 years the growth within this area could produce
new development exceeding $89.000.000 and produce 2200 new jobs.
Mill Street is located at the southerly portion of our Overlay Zone
area. Of prime importance to this area is a new Diamond on/off
ramp. The current existing on & off ramps are not contiguous and
are causing traffic congestion within this growing area. This ramp
is also used by people in route to the Orange Show Grounds. as well
as Norton Air Force Base.
2. 1-215 Second Street Off Ramp and Signalization
The northerly entrance to the new Overlay Zone area from 1-215 is
the Second Street off-ramp. This off-ramp is used by people
entering the downtown civic center as well as our downtown shopping
mall. Caltrans has recognized an immediate congestion problem. It
has been determined that widening of the off-ramp and signalization
with a left turn lane deserves immediate attention.
3. I-2l5/5th Street/Baseline On/Off Ramps
The Enterprise Zone Community has been concerned for quite some time
as to the lack of on & off ramps on the west side of 1-215. They
have expressed their opinion that in order for growth to occur
within this area the existing ramps should be modified to Diamond
on/off ramps. The two ramps addressed are located at Fifth Street
and Baseline Street.
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4. Freeway Widening . ~-215/1-10 to R-:
The local Ca1trans office has recognized a need for the widening of
Interstate 215 from 1-10 to Route 30. With the proposed plan to
market and develop the Overlay Zone area this already existing
traffic congestion problem downtown will only get worse. This
widening will include that area along the freeway addressed in
Number 1,2 & 3 above.
5. 1-10/Waterman Avenue Off Ramp
Subarea II of the Tri-City project incompasses 283 acres lying
Northerly of 1-10, Easterly of Waterman Avenue and Westerly of
Tippecanoe. Two years ago the area was completely undeveloped with
the exception of streets, curbs and gutters which were installed
through an assessment district. In September 1985, EDA approved a
grant for the extension of Hospitality Lane, which included a bridge
across San Timoteo Creek - providing access to the undeveloped
area. Two major development agreements have since been executed.
One with Haagon Development for a 160,000 SF retail center and one
with Rancon Development for $50,000,000 worth of new development
over the next five years. Throughout the entire negotiation period,
the need for relocation of the Waterman Avenue off-ramp was foremost
on both the developers and City's minds. The Commerce Center area,
immediately west of Tri-City, during the last seven years has
increased in valuation by over $90,000,000 and has created 3600 new
jobs. The impact of this area alone with the new proposed
$50,000,000 worth of development on the east side of Waterman Avenue
and its new projected employment of an additional 1200 jobs brought
us to negotiations of a Regional Facilities Agreement.
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:eed to commH funding of a
Ca1trans will construct the
Under thi s agreem, ,the Agency has
relocated Waterman Avenue off-ramp.
adjacent on-ramp.
6. Public Infrustructure - Enterprise Zone
Within the Enterprise Zone Area is an approximate 500 acre
industrial site. approximately got undeveloped. Public improvements
- streets. curbs. cutters. sewer and two bridges are needed in order
to make this area viable for development. These two bridges are
needed to allow access over existing flood control channels.
allowing development to occur.
The stimulation of new development and new jobs is of great
importance to the success of the Enterprise Zone.
7. Extension of Sewer Trunk Line
In 1982 the city conducted a master plan of the sewer system. This
study identified a major deficiency in the communities west side. A
21 inch trunk sewer was needed generally following G street and
California northerly from about 13th street. This trunk sewer would
service the northwest industrial area and the as yet undeveloped
areas in the northwest section of the city. The city has been
allocating funds for the construction but the costs are such that
sufficient funds have not been secured.
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8. Replacement of Mt ernon Brldge
The exlsting bridge along Mt. Vernon Ave. across the railroad switch
yards has been identified on the Federal Bridge Replacement program
as a deficient structure. Mt. Vernon is a major north/south
arterial serving the cities west side. Business and redevelopment
are suffering due to the congestion along thls arterial. While the
Federal program can supply 80t of the funds. the clty must generate
the remaining 20t estimated to be $800.000.00. Mt. Vernon also is
the maln access corridor to the city from the adjacent communities
of Colton and Grand Terrace.
9. MarKeting - Enterprise Zone
In order to stimulate new development wlthin the Enterprise Zone
area. a marKetlng plan must be developed and lmplemented. A needs
assessment study and marKeting plan is currently being prepared by
California State University.
10. I-10/Tlppecanoe Traffic Slgna1lzation
1-10 at Tippecanoe Avenue is the major access to Norton Air Base and
to the East portion of the Tri-City Development and the Haagan
Development. The off ramps are presently not signalized and with
increaslng development in the area, congestion will increase. The
city has expended funds on the bridge over the Santa Ana River, the
widening of the railroad crosslng and the widening of the Mission
creeK channel to accomodate the increase traffic and encourage
development along Tippecanoe Ave. Although the need is recognlzed.
funds for the insta11atlon of signals at the ramps and for the
interconnection of slgna1s along Tippecanoe at Hospltallty and Brier
is not presently aval1ab1e.
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11. Traffic Signal Up~ je and Interconn ;ion for Baseline
Baseline is a major east west arterial street serving both the east
and west side of the community and the established retail district.
The present signal system is outdated. unrepairab1e and does not
provide for sufficient interconnection to control traffic. As a
result. the business district suffers as the public is unwilling to
deal with the traffic to reach the retail outlets. Ultimately
planned as a access way from the freeway, the needs and problems
will increase as development continues.
12. Technical Assistance Programs - Enterprise Zone
It was determined that a technical assistance plan should be
developed to assist existing and new businesses within the
Enterprise Zone. It has been recognized that many marginal
businesses could be successful with special training programs
designed for this particular needs. Retention of existing
businesses is of primary importance within the Enterprise Zone. The
Redevelopment Agency has entered into an agreement with San
Bernardino Community College district to provide these services to
the Enterprise Zone Community. The Agency will be incurring the
cost. A calendar of training programs is currently being developed
for implementation through calendar year 1987.
13. Pumping Stations - Infiltration System
The City of San Bernardino has a very high water table - at times
flooding basements of existing building and/or preventing
construction from taking place at particular times of the year. San
Bernardino Municipal Hater District is proposing the construction of
pumping stations to pump the water from the bastn. The cost for
such a project could exceed $10.000,000.
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SAN BERNARDINO ECONOMIC DEVELOPMENT COUNCIL
BOARD OF DIRECTORS
January 1986
Mr. Bruce Varner, Chairman*
Gresham, Varner, Savage, Nolan
, Tilden
600'North Arrowhead Ave.
San Bernardino, CA 92401
884-2171
Mr. Robert Curci
295 Central City Mall
San Bernardino, CA 92401
884-0106
Mr. Wesley Jefferson, Vice Chrmn.*
W B Jefferson , Co.
1968 Oakdale Avenue
Ria1to, CA 92376
875-5909
Mr. Sam Johnson
Samuel Auto Works
1708 N. Mt. Vernon Avenue
San Bernardino, CA 92411
887-2409
Mr. Denny Shorett, Treasurer*
Crown Printers
250 W. Ria1to Ave.
P.O. Box 6560
San Bernardino, CA 92412
888-7531
Jack Reilly
Councilman, Second Ward
300 North D Street
San Bernardino, CA 92418
383-5222
Mayor's Appointee
Esther Estrada *
Councilwoman, First Ward
300 North "0" Street
San Bernardino, CA 92418
383-5268
Six Directors to be appointed
by the Citizens Advisory Council
(CAC)
l)an Frazier *
Councilman, Sixth Ward
300 North "0" Street
San Bernardino, CA 92418
383-5378
Mr. Gene Wood *
Security Pacific National Bank
402 North "0" Street
San Bernardino, CA 92401
383-6525
Mr. Ron Skipper *
323 West Court Street, Ste. 305
San Bernardino, CA 92401
888-5791
Mr. Sam Henley
Executive Vice President
Economic Development Council
330 North "0" Street, Ste. 420
San Bernardino, CA 92401
381-4327
As. Jacque Takano
Executive Secretary
Economic Development Council
330 North 0 Street, Ste. 420
San Bernardino, CA 92401
381-4327
*Executive Committee
EXHIBIT #1
REDEVELOPMENT PROJECT AREA ACTIVITY
The following is a summary of project area activities over the past fiscal
year (1985/86) and anticipated upcoming projects for next fiscal yea~ ~
(1986/87 >.
MEADOHBRooK/CENTRAL CITY - SPECIAL IMPACT AREA
During 1985/86, the 45.000 square foot Tallman office building was
constructed. The Agency participated in a portion of the off-site costs.
Also. completed this year was the rehabilitation of the Andreson Building on
IIEII Street adjacent to our Central City Mall. The bul1ding is 30t leased.
In early 1985, the 165,000 square foot downtown hotel was completed. The
owners and City are very confident that a new buyer and operator will be
designated in the latter part of FY86/87 with the hotel fully operational
before the close of the fiscal year. Also planned for the upcoming year is
the aggressive marketing of the Court and IIEII Street site. adjacent to the
City Hall complex. Plans are underway for the solicitation of proposals for
development of this area that will compliment the downtown and bring about at
atmosphere of open space, relaxation and entertainment.
He will also be looking forward to the complete renovation of the 16.000
square foot Plastino Bul1ding at 2nd and 11011 Streets. The bul1ding should be
completely remodeled. including a pedestrian covered ramp leading to the 5th
level of the 5 level parking structure, by the close of 1986/87.
CENTRAL CITY EAST - SPECIAL IMPACT AREA
During 85/86 Cliff Carel Development completed the construction of forty-eight
rental housing units within the project area. providing needed housing for low
to moderate income families. The Agency participated in the development by
contributing towards the cost of the off-site improvements.
In addition to the new rental units, a new 20.000 square foot office bUilding
has been constructed this year on Haterman Avenue.
CENTRAL CITY SOUTH - SPECIAL IMPACT AREA
Developments completed in fiscal year 1985/86 include a $15,000.000 retail
center just south of the Central City Mall. The center constructed by
Schurgin Development includes a Best and Marshall's department stores. Agency
participation included site assembly and assistance to the developer in the
form of a low interest loan for a portion of the off-site costs.
During this year the Agency enacted a special study team to review that area
within the project bounded by Rialto Avenue, IIEII Street, Inland Center Drive
and Interstate 215. This area, linking our two major malls, was seen as a
prime area for development. An overlay zone is being prepared to set forth
land uses, traffic circulation design. streetscape and landscape criteria.
Three developments are currently being scheduled for construction within this
designated area for fiscal year 86/87.
The financing for one of the ~rojects (Sima Dev~lopment) was through the
Agency's Industrial Development Bond Program. Sima will be constructing
approximately 18 light industrial/commercial office buildings. Hixen Pipe &
Supply should start construction of their new office and warehouse by mid of
1987.
CENTRAL CITY NORTH - SPECIAL IMPACT AREA
During fiscal year 1985/86 the new 64.000 square foot Central library was
constructed in Pioneer Park. The library features a 200-seat lecture hall and
the nation's first microcomputer lab. The Agency assisted in the construction
of the library by the issuance of lease Revenue Bonds and the administration
of these bond proceeds during the construction process.
Completed this year is the new County Superintendent of Schools building. the
40.000 square foot condominium administrative office building is shared with
San Bernardino Community College District. The Agency participated in the
project by site assembly demolition and site clearance and participation in
the cost of off-site improvements. Through this effort the downtown area was
able to retain a major employer.
STATE COLLEGE - 401 IN SPECIAL IMPACT AREA
The Shandin Hills Public Golf Course was leased the later part of 1984. and
was operating profitably within the first 90 days of operation. In 1985/86
the Agency provided to the 1easee a low interest loan for the purpose of
expanding the clubhouse facilities to include full banquet capabilities. The
faCility will be complete and operating by August 1986.
Construction is complete on the 120.000 square foot C&M Fine Pack
manufacturing faCility in the State College Industrial Park. C&M manufactures
plastic food containers. It is estimated that 60 people will be employed at
this new faCility by mid 1987. Agency's participation includes reimbursement
to the developer for certain off-site costs. employment linkage and rebate of
utility taxes paid during the first year of their operation. C&M is our first
industrial project in the City's Enterprise zone.
College Parkway Associates has completed a Motel 6 on Ostrem Hay just off
State COllege Parkway. In December 1986 their coffee shop was completed. The
developer has committed to construction of an additional 160.000 square feet
of development in fiscal year 1986/87 and 225,000 square feet more by 1990.
The Agency participated in this venture by offering a low interest loan for
the cost of the off-site public improvements.
During this fiscal year. the Agency entered into an agreement with Darmor
Development for the construction of 150 low/moderate apartment units on
Kendall Drive near Cal State University. The Agency will be participating in
the landscaping of a one-acre site which will be donated to the University.
Also during this fiscal year we have entered into an agreement with Villa
Cielo for the construction of 160 apartment units within the same vicinity.
The Agency's participation again is for landscaping of a three-acre public
open space area adjoining the development.
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During the upcoming year we h.11 be looking fo. ..ard to development of a 64.000
square foot office building to be constructed adjacent to our new Shandin
Hills Golf Club. The facility IIShandin Hills Professional Center.1I is being
constructed by Property Ventures.
Also planned is the construction of a new supermarket along Kendall Qrive to
service an expected 900 units of new residential development along Shandin
Hills over the next five years.
SOUTHEAST INDUSTRIAL PARK - SPECIAL IMPACT AREA
Developments completed in 1985/86 include Arrowhead Magazine's 50.000 square
foot warehouse facility. a 28.000 square foot Six-Plex movie theatre. 117-room
Easy 8 Motel. Sizzler and El Torito restaurants. and an industrial building on
Cooley Avenue and the Neal Baker office building.
In 1984 the Agency entered into an agreement with Sunset Development for the
construction of 12 office buildings within the project area. three of which
were already completed. Since the date of the agreement. buildings 4. 5 and 6
have been completed. Building 7 is well underway. Each of the buildings is
an average of 60.000 square feet each. The development also included the
extension of Hospitality Lane in order that this westerly section of the
project could flow into the already well developed IIRestaurant Row" area of
Hospitality Lane. The Agency's participation in the development was in the
form of assistance for public improvements.
The 8.000 square foot Lotus Gardens Restaurant has been computed, as well as a
5.000 square foot Tony Roma's Restaurant. Also under construction is an
18.500 square foot commercial area adjacent to Tony Roma's.
During 85/86 the Agency finalized negotiations with Orange Show Plaza
Associates for the development of the San Bernardino Auto Center. The auto
center will be located west of 1-215 at Orange Show Road and Camino Real.
Escrows have been opened for six franchises. Negotiations are underway for
three additional franchises. Also to be included in the center are related
retail shops and service centers. The Agency is contributing $1.200.000
towards the project to assist in the cost of off-site improvements to enable
two sites to be sold at a competitive price.
Many new developers are on line for 1986/87. Through a Development Agreement.
Miles & Hall Partnership will be constructing 150.000 square feet of
industrial buildings on Cooley Court. The development will be completed in
three phases - the last phase to be complete by July 1987. Audiographic
Systems will be constructing their new 20.000 square foot warehouse by early
of 1987. Mr. Dan Salter is proposing the construction of 60,000 square feet
of industrial buildings on Cooley Drive. Approximately 30.000 square feet
should be complete by the end of 86/87. Two new industrial buildings. having
a combined 40.000 square feet. have recently been approved to be constructed
north of the new Highway Patrol Building on Brier Avenue.
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NORTHWEST - SPECIAL IMPACT A"..A
In November. 1985. the City adopted an ordinance establishing an Enterprise
Zone. The majOrity of the Northwest project lies within this zone. Special
City and Agency incentives are offered to encourage new and expanding
businesses within the zone.
Development completed in fiscal year 85/86 includes the 60.000 square foot San
Bernardino Steel in Area B and San Bernardino Community Hospital expansion in
Area A.
The Agency is aggressively working on the development of a shopping center
include a major grocery chain drug store. bank and satelite retail. It is
anticipated that negotiations will be finalized and construction started by
early 1988. It is evident that the construction of this much needed shopping
area will need the public participation.
Another exciting development anticipated to be well underway before the close
of 1986/76 is a new four-story 100,000 square foot medical office building
just west of the new Community Hospital building.
Negotiations are also underway for street improvements within Area B. Area B
is the "Northwest'Industrial Park". Certain infrastructure improvements are
needed to encourage development within the areas. The owners of certain
parcels within this area are investigating the possibility of assessment
district financing.
Dorjil Estates has completed construction of Phase II. consisting of
seventy-nine rental housing units.
TRI-CITY - SPECIAL IMPACT AREA
Subarea I
The Agency entered into an agreement in 1984 with NuTech Developers for the
construction of resedential units. One hundred Sixty apartment units were
completed in December 1985.
Subarea II
During this fiscal year the Agency/City received funding from EDA for the
extension of Hospitality lane. This extension. including a bridge across San
Timoteo Creek, was completed in May 1986. The extension of this street
provided access to Subarea II of the Tri-City project.
Subarea II. encompases 283 areas. Tri-City Corporate Center is planning build
out of their 104-acre project within the next ten years. Over $50.000.000 of
development is scheduled to be complete by 1997.
During 1985/86 their 80.000 square foot corporate office building was
completed as well as a 10.000 square foot TGI Friday's restaurant.
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The Agency and C1ty are curl_.t1y plann1ng the _~velopment of a new 5,000
square foot f1re stat10n to serv1ce Subarea II. The Agency has acqu1red the
site and denoted same to the City for this use.
SOUTH VALLE - OUTSIDE IMPACT AREA
In 1984 the Agency entered 1nto an agreement with S.P. Community Development
for the construction of eight industr1a1/commercia1 retail bu11d1ngs. During
1984/1985/1986 three of the eight bu11dings were completed. The Home Club is
a 100,000 square foot home improvement center. Camping World 1s one of the
country's largest distributors of camping equipment. Also complete is a
64,000 square foot mini storage facility. The remain1ng buildings are
scheduled for completion within the next ten years. The Agency participated
by issuing certificates of participation to fund the public improvements.
Two addit10na1 developments have been completed. Gate City Beverage is an
83,000 square foot warehouse and distribution center. Financing for this
project was provided by the Agency's Industrial Development Bond Program. The
17,000 square foot Heller Industrial Building on Industrial Way is complete
and leased. Agency provided assistance in the form of off-site cost
reimbursement.
Several agreements are currently being negotiated for the upcoming year.
UPTOWN - 40t IMPACT AREA
The Uptown Project Area, our most recently adopted project area, was adopted
in June 1986. It encompasses approximately 433 acres and is divided into two
subareas:
Subarea A comprises 348+ acres and generally includes those properties along
Highland Avenue and Baseline Street between Interstate 215 on the west and
Waterman Avenue on the east, and along "EI' Street south of Highland Avenue and
north of Eighth Street.
Subarea B, comprised of 84+, is bounded by Interstate 215 to the east, Mt.
Vernon Avenue to the west and south to the Santa Fe Railroad yards to Rialto
Avenue.
A 15-member Citizen Advisory Committee was elected by the property owners and
residences with1n the project area to advise the Agency and council in
decisions regarding the preparation of the plan. The committee will meet on a
regular basis with staff to make recommendations on redevelopment related
activities within the area.
The single largest land use in the project is retail commercial.
Approximately 91 percent of the land is developed. The project as envisioned
is one pr1marily of rehabilitation with emphasis on streetscape, signage and
urban des1gn.
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SUMMARY OF ANTICIPATED PROJECTS
The Agency has entered into numerous development agreements within its project
areas. Many of these are scheduled for completion in calendar year 1987.
Below is a summary of these projects together with on-going projects_~ow under
construction within our areas that are not under agreement. -
Reta i1
472.000
Convnerc1a1
120.000
Office
383.000
Industria 1
485,000
$1,460,000 SF - $69,000,000 Value
2,000.000 New Jobs Created
851 of the above is within the Special Impact Area -
$1,241,000 SF
$58,650,000 Value
1700 Jobs
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EXHIBIT .2
WESTSIDE COMMUNITY DEVELOPMENT CORPORATION
1. Summary of the San Bernardino West Side Community Deve1~~ment
Corporation's 1986 Activities: Construction of CDC's 15,000 square
foot commercial office building was begun in 1984. Construction was
completed in November 1985. Tenant improvement activities and 1ease-
up are ongoing with full occupancy expected by the second quarter of
1987. West Side CDC has leased up 13,000 of the 15,000 square feet
available. An additional 8.5 acres adjoining the CDC office building
has been optioned for a second project. This new development when
fully completed in two (2) separate phases will comprise 104 units of
senior citizen handicapped and family housing. The project is called
the West Winds Village. A financing proposal for the project has
already been submitted to the California housing Finance Agency and
the project is scheduled for inducement early in 1987. Construction
will commence in the 1987 calendar year. In addition, CDC will
continue its housing rehabilitation program in acquiring vacant
abandoned housing and rehabilitating the dwellings for Section 8
eligible tenants. Westside CDC will continue its property management
activities in residential, industrial and commercial properties.
In the commercial area, plans for a west side shopping center are
continuing. Planning and financing of the project will continue
through 1987. In conjunction with CDC's shopping center project, our
agency will continue planning franchises which will locate within the
new facilities. A new light manufacturing facility (industrial
building) is also being planned for the west side by CDC during
1986/1987. West Side CDC's ongoing energy conservation and solariza-
tion activities are scheduled to continue into the foreseeable
future. West Side CDC's weatherization inspection program, under a
contract with Southern California Gas, will continue through 1990,
while a similar contract with Southern California Edison is currently
in negotiation. A possible corporate spinoff of an energyou-siness
is a good possibility. Also, CDC's School of Vocational Technology
is scheduled to continue with curriculum expansion during the next
two (2) years.
2. Strate9ies and Actions Started or Completed:
a) Commercial Strategy will continue to focus upon managing CDC's
modern office building and developing a new shopping center.
West Side CDC has been retained by Haagen-Golding Development
to assist in preparing an Economic Development Administration
application for financial assistance for a fourteen (14) acre
west side shopping center. Financing and planning the neigh-
borhood shopping center will continue through 1986 and 1987.
b) Residential Strategy will continue to center around the
rehabilitation of low-income units to create new affordable
housing projects within CDC's target areas. Section 8
eligible tenants will remain as our primary target population.
A close working relationship with the County Housing Authority
is being maintained. In addition, CDC will receive tax-exempt
bond financing from California Housing Finance Agency for the
West Winds Village senior citizen and handicapped and family
housing. This planned residential development for 104 units
will be continued by CDC in the residential housing field. We
will also develop strategies to aid the homeless.
c) Business Development Strategy will continue to focus on
developing new franchises that will be established in the
City's Enterprise Zone and in particular the new planned
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neighborhood shopping center. A new industrial building is
being planned for the west side by CDC. West Side CDC's own
ongoing energy business will continue as supported by state
and utility funds.
d) Employment Development Strategy is now focusing upon the
construction trades and solar energy/conservation fields. In
addition, CDC is planning to expand the training activities
into the property maintenance and janitorial fields during the
current year. The State Office of Private Postsecondary
Education has approved CDC's course offerings since 1978.
Focus in job placement is in the private industrial sector.
3. Evaluation of Strategies and Actions/Benefits: West Side CDC's
economic development strategies work in tandem focusing upon the
economic weaknesses and opportunities of the west side of San Bern-
ardino. The strategies are listed and outlined in Section 2 of this
report and they are as follows:
a) Commercial Strategy.
b) Residential Strategy.
c) Business Development Strategy.
d) Employment Development Strategy.
Each of the above separate strategies directly addresses a
particular weakness in the local economy. They collectively are
designed to improve the local business and social climate.
All four (4) strategies are ongoing and have been approved for
several years under the OEDP. Each strategy has been evaluated by
local, state, and federal agencies including foundations, and has
met in every case with approval.
The west side shopping center is needed since no comparable
shopping center currently exists on the west side. Over the last six
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(6) months, a considerable amount of research has been completed
which we hope will provide important marketing data for the decision
making processes of CDC, the City, HUD, EDA and financialinstitu-
tions. The West Winds Village senior citizen project is sorely
needed to fill the gap in the local rental housing needs. Low cost
affordable housing is critically needed to aid low income families
and those who are needy. West Side CDC's School of Vocational
Technology will go on serving the hard core unemployed in training
low income youth through the County's JTPA Program for industrial and
commercial placements. West Side CDC will continue its energy
conservation, solarization and auditing.
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EXHIBIT 13
CITY OF SAN BERNARDINO
DEPARTMENT OF COMMUNITY DEVELOPMENT
For Fiscal Year 1986/1987, the City of San Bernardino received an
annual entitlement of $1,718,000 in CDBG funds. In addition, for
Fiscal Year 1986/1987 the CDBG program received some $330,000 in
program income, making the total CDBG proceeds $2,000,000. It is
important to note the City was cutback some $300,000 in its entitlement
grant.
According to the Statement of Community Development Objectives for
Fiscal Year 1986/1987, funding was requested in the following cate-
gories for projected activities:
1. Housina Rehabilitation -- $650.000: No funds were allocated by
the Mayor and Common Council for this specific purpose. However,
the program income noted above plus previous years allocations
were utilized to make loans totalling $550,000 to low-income
owners of single family dwelling units. Fair Housing programs
were granted $50,000, the Infill Housing Program received
$50,000 and Demolition of vacant substandard structures was
allocated $50,000. The focus of the Infill Housing and
Demolition is the City's locally designated Enterprise Zone.
Additionally, twenty-percent (20%) set-aside funds are being
used to assist developers participating in the City's Infill
Housing Program.
2. Capital Improvements -- $863.487
Parks. Recreation and Community Services -- $491.772: These
funds were used to further develop Rio Vista Park, provide
handicap accessibility at various City Parks, provide archi-
tectural and engineering services for a senior center and
lighting at Fiscalini Field for San Bernardino minor league
baseball team.
Public Works Deoartment -- $421.002: These funds were used
primarily for significant street lighting projects on major City
corridors as follows: Mt. Vernon Avenue, Waterman Avenue from
Central to Mill and Baseline Street from 9th to 21st Street.
Public Services Department -- $75.160: These funds are to be
utilized for sidewalk fill-in on Mt. Vernon Avenue from Fifth to
Highland and sidewalk reconstruction in an area bounded by the
1-215 Freeway to the east, Baseline to the south, Highland to
the north and the City limits to the west.
3. Economic Development -- $90.000: Funding was allocated to or
granted for the Employment Linkage Program and West Side CDC to
conduct economic development activities which would create jobs
for low and moderate income persons, and promote small and
minority business enterprise. Additionally, the City sold an
old fire station ($1.00) to the Hispanic Chamber of Commerce and
is planning to provide the Chamber an $81,000 rehabilitation
loan to address health, safety and structural problems.
Department staff also assisted in the preparation and submission
of an Urban Development Action Grant Application to the
Department of Housing and Urban Development for the partial
financing of a fourteen (14) acre west side shopping center.
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4. Public Services -- 1275.700: Agencies funded included
Assistance League (dental treatment for low/moderate income
children), Inland Counties Regional Center, Inc., (disabled
services), Victim Support Services Program, Rolling Start (deaf
services), Rolling Start (lifeline), Casa Ramona/Dental Clinic,
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Easter Seal Society, Highland District Council on Aging (seniors
program) and Project Early Outreach (school drop-out
intervention for low/moderate income children).
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