Planned Development Application 1450 Sherman Avenue Evanston, IL PROJECT NARRATIVE

Transcription

1 Planned Development Application 1450 Sherman Avenue Evanston, IL PROJECT NARRATIVE

2 SECTION 1 PROJECT NARRATIVE INTRODUCTION The applicant, Albion Residential LLC, is a Chicago based real estate investment firm focused on the acquisition, development, and operations of urban and suburban residential communities across the Midwest. Albion Residential analyzes each opportunity from a unique and practiced perspective. The company s objective does not stop at developing or acquiring residential buildings. Instead, Albion Residential focuses on cultivating vibrant environments to live, work, play, entertain, and relax. Albion Residential focuses on three types of real estate investment ground-up development, acquisitions, and adaptive-reuse projects. For ground-up development, Albion Residential concentrates on sites located in dynamic urban and developed suburban neighborhoods with strong employment opportunities and lively entertainment scenes. These new development projects typically require innovative architectural and construction techniques as well as zoning adjustments achieved through collaboration with local neighborhood groups and municipalities. Albion Residential also focuses on adaptive reuse projects throughout the urban core of Midwestern cities. These long-neglected projects result in ideal opportunities to restore underutilized 1900 s buildings. Albion Residential has utilized Federal Historic Tax Credits on numerous conversions and has the experience, knowledge, and relationships to maximize otherwise overlooked opportunities. Lastly, Albion Residential focuses on targeting specific on-market and off-market assets for acquisition. Typical acquisition targets include assets in need of moderate to extensive capital expenditures, including interior unit and common area renovations, property repositioning and improvement in management and marketing efforts. Albion Residential typically acquires garden style, mid-rise or high-rise assets with a minimum of 150 units. Albion is constantly looking for assets in desirable urban and suburban locations with high visibility, within proximity to public transportation, and markets with substantial barriers to entry. Albion Residential is an affiliate of Village Green. Village Green Management, founded in 1919, is one of the nation s largest third-party managers of residential communities and continues to set the standard for residential living. Village Green s portfolio includes approximately 38,500 residential units across the Midwest. Both Albion Residential and Village Green are wholly owned by Compatriot Capital. Established in 2011, Compatriot Capital directs the real estate investment strategy for Sammons Enterprises, Inc. Headquartered in Dallas, Texas, Sammons Enterprises, Inc. is one

3 of the nation s largest privately-owned companies with assets under management exceeding $75 Billion. Albion Residential is very excited about the continued growth and development within downtown Evanston. Albion Residential looks forward to sharing this proposed development opportunity with the City of Evanston and will work diligently towards ensuring that the project is a complete success. PROPOSED DEVELOPMENT Albion Residential is proposing a LEED Silver certified building named The Albion at Evanston. The proposed development is located at the Gateway to Evanston on the northwest corner of Sherman Avenue and Lake Street. Encouraging new development that improves the economy, convenience, and attractiveness of Evanston while simultaneously working to maintain a high quality of life within the community Comprehensive General Plan The Albion at Evanston will consist of a 16-story mixed-use residential project encompassing 287 private residences and 182 parking spaces. The building design is focused on utilizing the trapezoid shaped site by modulating an elongated S-shaped tower with a slight curve in the center that pulls the northern portion of the building off of the eastern lot line and over to the western lot line. The unique design allows the building to accomplish setback and density requirements while creating an arresting composition in the skyline that is instantly recognizable as commuters enter the Gateway to Evanston from the south and from all of the adjacent transit lines. The architectural concept of The Albion at Evanston is derived by its specific site and how that site relates to the grid of the City, the shoreline and the serpentine course of the varied modes of transportation serving Evanston. The building s massing reflects these influences. A detailed masonry base sits square to the street grid to reflect the low-rise character of the adjacent buildings. A transparent floor separates the solid masonry base from the serpentine residential element above allowing the residential portion to float within a heavily landscaped sky park. The solid S shaped tower reflects the curve of the shore as well as the adjacent transportation routes and opens up the gateway view to Fountain Square Park. The combination of glass, brick, and metal panel tie the various components together for a composition that is at once deferential to the surrounding vintage context and expressive of the modern city Evanston has become. Floor 1 contains an interactive residential lobby, +/- 9,500 SF of rentable commercial space demised between three retail tenants, 3 loading docks accessible in the rear alley, parking garage access located off of the alley, a secure bike storage room that fits 1:1 bike parking within the building, and vehicle parking. The proposed development will also include a pocket park open to pedestrians that is located on the southern portion of the site. The

4 pocket park will complement Harper Park situated to the south of the proposed development and will incorporate similar aesthetic qualities and features in an attempt to tie both parks together as one. Floors 2 and 3 are predominantly vehicle-parking stalls with direct access to stairwells and three elevators that exit into the lobby or an egress door. Floor 4 includes a mix of studio, convertible, one, two, and three-bedroom private residences as well as extensive amenity areas that consist of a health & fitness center, outdoor dog run, private landscaped patios, outdoor lounge with seating and a fireplace, Zen garden, and a vibrant outdoor terrace surrounded by flourishing landscaped greenery. Floors 5 to 15 are improved with a mix of studio, convertible, one, two, and three-bedroom private residences. Recessed verandas and projecting balconies will span across all four elevations of the residential floors that combine with harder edge materials tying together the urban locale of downtown Evanston with scenic views of Lake Michigan and downtown Chicago. Floor 16 will showcase a best-in-class resident amenity level that will include an outdoor pool, grilling stations, outdoor seating, and a green roof. The indoor rooftop amenities will include an entertainment kitchen used for events and large gatherings, a rooftop lounge, and co-working office space. The building s design reflects the predominate massing of Sherman Avenue retail at the property line with a continuous open and active retail storefront presence. The retail frontage on Sherman Avenue rests at a zero-lot line area on the eastern elevation of the site s base. The residential tower starts at a zero-lot line area on the southeastern corner of the site and curves away from the site s eastern lot line accomplishing a 40-foot setback at the northeast corner of the residential tower. PUBLIC BENEFITS Albion Residential is committed to providing the best mixed-used experience for residents, pedestrians, and local neighbors within the community. Along with the various required benefits of the proposed development, Albion Residential is committed to proposing several compensating benefits that will have a positive impact throughout the Evanston community. REQUIRED PUBLIC BENEFITS Inclusionary Housing Ordinance Contribution The Albion at Evanston will comply with the Inclusionary Housing Ordinance by contributing $2,900,000 to the City of Evanston Affordable Housing Fund.

5 Environmental Site Clean Up Albion Residential has budgeted +/- $400,000 for the remediation of all environmental issues on the proposed development site. Economic Impact The proposed development is expected to generate an estimated $945,000 in annual property tax revenue to the various local taxing bodies. Building Permit Fees The proposed development will generate several permits and fees that will benefit the City of Evanston, which are being estimated at +/- $1,000,000. Streetscape Improvements Albion Residential has been coordinating with its Landscape Architect and the City of Evanston to implement similar streetscape materials and features that are consistent within downtown Evanston. Albion Residential is mindful of the Fountain Square Project and will work towards ensuring that streetscape materials and patterns remain consistent. COMPENSATING PUBLIC BENEFITS LEED Silver/Gold Certification Albion is committed to achieving LEED Silver Certification or higher, which will include complying with LEED Credit #55 for bird strike glass. The Albion at Evanston has registered for LEED Certification v3 with the U.S. Green Building Council. On-Site Affordable Housing Albion is committed to putting (2) on-site affordable units at 60% Chicago AMI to be selected by the developer in addition to the $2,900,000 IHO contribution. Waived Move-in Fees Albion Residential is committed to waiving move-in fees for Evanston s Top 10 Employers by size. YWCA Collaboration Albion is committed to working with Karen Singer from the YWCA to ensure that a contribution program and volunteer program will be offered to residents and employees. Public Pocket Park The proposed development will include a pocket park located on the northwest corner of Lake Street and Sherman Avenue. The Pocket Park will serve as a designated area for public enjoyment. The Pocket Park will include parkstyle benches, a public art feature, vibrant landscaped greenery, wayfinding signage, and sufficient lighting resulting in a welcoming space for members of the community to relax and enjoy. The Public Pocket Park will be owned and maintained by the ownership reducing any impact on city services required for maintenance. The Public Pocket Park also aims to increase open green space that is publicly accessible. The Public Pocket Park will be permanently separated from the outdoor dining space that will be reserved for the retail tenant situated on the southernmost portion of the proposed development site, as indicated in the Landscape Plans. The retail tenant s outdoor dining space will be enclosed with a landscaped perimeter patio fence that is

6 enhanced with several types of greenery so that the two separate uses can clearly be distinguished. Landscaping and Parks Contribution Albion Residential is committed to contributing $50,000 towards landscaping and greenery initiatives set forth by the planning commission and city council to enhance parks within close proximity to the Albion at Evanston development. Harper Park Maintenance Program Albion s landscape maintenance contract will assist the maintenance of Harper Park to provide a cohesive landscaped appeal around the proposed development. CTA/Metra Viaduct Restoration Albion Residential is aware of the current CTA/Metra viaduct restoration program that is currently in progress by the City of Evanston. Albion Residential is committed to working with the City of Evanston, CTA, and Metra to restore the deteriorating viaduct located on Lake Street just south of the proposed development. Viaduct restoration will consist of new painting and updated lighting aimed at creating a safer and more appealing pedestrian atmosphere. Public Art Contribution Albion Residential has met with Jennifer Lasik, Cultural Arts Coordinator for the City of Evanston, to discuss public art within the project. Albion Residential is committed to a $50,000 contribution towards the implementation of public art throughout the development site and a vibrant Lighting Program that illuminates along Sherman Avenue. Albion has suggested a four-season piece of artwork in the pocket park, which would serve as a fountain in the summer and artwork in the winter. The proposed development will also include a Green Wall that is visible to the public on Sherman Avenue. In addition, Albion will consider other artwork throughout the project with the help of Jennifer Lasik, which could include a chandelier in the lobby and photography of Evanston. All public art will be curated by Evanston residents, if possible. Two Car-Sharing Parking Stalls The proposed development will include two carsharing stalls provided by Maven Car Sharing. Maven has recently signed agreements with new developments in the Evanston marketplace and is eager for more locations. Maven provides all American-made GM cars for hourly rental. Recent statistics provided by KLOA, Albion s third-party parking consultant, indicate that one shared car can help reduce approximately 15 cars off the road. Divvy & Maven Car-Sharing Passes Albion will grant memberships for Divvy and Maven Car Sharing to residents who choose not to bring a car to the project in an effort to reduce traffic volume and promote alternative means of transportation. Training Workshops Albion Residential will coordinate with Shelley Gates to hold on-site and in-class training workshops for Evanston Township High School students interested in engineering, construction, architecture, and horticulture. The Training Program will take place over an 18-month period.

7 Divvy Bike Station The proposed development will include a new Divvy bike station on the northwest corner of Lake Street and Sherman Avenue. The station will consist of a 15-dock terminal with 10 Divvy bikes. Total cost for the Divvy station is estimated at approximately $60,000. TransitScreen Albion Residential has been coordinating with TransitScreen to incorporate a real-time transportation dashboard within the site. The proposed development will display a TransitScreen dashboard that is capable of providing realtime transit information. The TransitScreen will be compatible with Metra, CTA Bus, CTA El, Uber, Lyft, Car-Sharing status within the proposed development, and traffic to nearby points of interest. REQUESTED ZONING APPROVALS The site is currently zoned D-4 Downtown Transition. Albion Residential is seeking development variances allowing relief on FAR, building height, proposed number of dwelling units, parking ratio, and a ziggurat setback within the proposed development. The proposed development is in substantial compliance with the Comprehensive General Plan, Design Guidelines for Planned Development, Evanston Zoning Ordinance, and other pertinent city planning and development policies, as set forth in the enclosed application materials. PROPOSED DEVELOPMENT COMPARISON AS OF RIGHT PROPOSED Units Total Bedrooms* Parking Stalls Parking Stalls Per Unit 2.0x 0.63x Height per Zoning** 145' 167' FAR MLA Average Unit Size*** 2, Projected Residential Occupants**** *Total as of right bedroom count based on 3.5 Average bedrooms **Proposed height includes the parking height reduction **Average unit size as of right based on FAR and MLA calculations ****Projected occupants as of right calculated at 4 people per unit Height Increase As of Right: The maximum permitted height of a building in D4 district is 105 feet with a site development allowance up to 145 feet.

8 Proposed: The proposed development will rise to 192 feet at its tallest point. Excluding garage floors as allowable under the zoning ordinance, the planned development is being proposed at 167 feet. Variance Requested: 22 Feet Justification: In order to meet an appropriate amount of retail, parking, and residential density within the proposed development site, a 16-story structure is required to accommodate all mixed-use components. Instead of building vertical to accommodate residential use, the building properly addresses building height and scale within the context of the transitional district. As a result, the building s mass has been designed horizontally to avoid adding residential floors vertically. Density Increase As of Right: The maximum permitted number of dwelling units based on the lot size of 37,279 square feet and code requirement for a minimum of 400 square feet per dwelling unit is 93 units. Proposed: The proposed development consists of 287 private residences with an MLA of 130. Variance Requested: 194 Units Justification: Albion Residential is proposing a unit mix that will satisfy the demand for smaller sized private residences. The proposed unit count will bring residential density that is capable of supporting the local economy and reactivate a major downtown thoroughfare within Evanston. The proposed unit mix will consist of approximately 80% 1-bedrooms and smaller resulting in typical households of 2 or less occupants. Given the current construction costs and the purchase price for the land, a 93 unit as-ofright building on this particular site would yield mostly 3 and 4-bedrooms with an average unit size of approximately 2,100 SF. Units of this magnitude would attract larger families and households with several occupants posing a greater burden on city services such as District 65 and District 202. It has been estimated that an as-of-right building would attract approximately 372 occupants on this particular development site indicating that residential density is already allowable under current zoning. The proposed development is expected to attract approximately 394 residential occupants. The difference in population between an as-of-right building and the proposed development is approximately 22 occupants, indicating that density in terms of population

9 within the proposed development site is inconsequential when compared to the density that is already allowable as-of-right. Floor to Area Ratio Increase As of Right: The maximum permitted FAR in the D4 district is 5.4 with a maximum site development allowance of 6.0 FAR. Proposed: The proposed FAR is Variance Requested: 0.90 FAR Justification: The proposed development design efficiently utilizes the irregular trapezoid shaped site within the scale and context of downtown Evanston s transitional district. Albion Residential along with its project architect, Hartshorne Plunkard Architecture, have streamlined a design that properly utilizes the space provided and makes an architecturally significant statement within rapidly-changing community. The proposed development utilizes abundant amount of open space on the podium and rooftop levels and additionally outdoor terraces, inset verandas, and affixed balconies which are all included in the FAR calculation. Ziggurat Setback As of Right: A 40-foot ziggurat setback from property line is required above building height of 42 feet. Proposed: On Lake Street, the proposed development will achieve a 40-foot setback from the proposed development southern property line to the ground levels southern exterior façade. On Sherman Avenue, a 40-foot setback is being proposed at the residential towers farthest point on the northeastern corner. The 40-foot setback decreases to a zero lot-line area as the building makes an s-shaped curve towards the southeastern corner of the residential tower. Justification: Due to the irregular shaped site, a Ziggurat Setback is not architecturally feasible within the proposed development site. The proposed development achieves a 40-foot setback on the northeast corner of the residential tower facing Sherman Avenue and a 40-foot setback on Lake Street. The 40-foot setback on Lake Street has enabled Albion to implement a public pocket park that strongly integrates vibrantly landscaped open space into a dense urban environment. The 40-foot setback on the northeastern portion of the residential component clearly helps distinguish the retail and parking base from the residential tower above, resulting in a less onerous pedestrian

10 experience along Sherman Avenue. The 40-foot setback along the northeastern corner of the residential tower also allows the proposed development to incorporate ample space to include an outdoor garden visible from the street level. Parking As of Right: The minimum required number of parking spaces for the proposed residential and retail uses is 389. Proposed: 182 total parking stalls 15 designated retail stalls, 2-car sharing stalls, 5 ADA accessible parking stalls, and 1 ADA accessible van stall. Variance Requested: 207 Parking stalls Justification: Rapid changes in transportation means have shifted the urban supply and demand factors that drive off-street parking within dense downtown destinations. Albion s traffic consultant, KLOA, has conducted analysis on the surrounding parking garages within an 8-block radius of the proposed development and concluded that several of the garages surveyed sit 50% vacant and in some cases higher. Albion Residential is confident that the amount of parking being proposed is an adequate amount to satisfy off-street parking demands within the proposed development. DEVELOPMENT DILIGENCE Albion Residential is committed to creating exceptional and innovative living environments within downtown Evanston. The proposed development site presents a significant opportunity for growth and redevelopment within the Downtown Transitional District by providing a vibrant mixed-use residential and retail experience within the Gateway to Evanston s downtown core. The proposed development will appropriately incorporate residential density that supports local businesses, Evanston employment, increases the city s tax base, and entices new residents to consider Evanston as a long-term home. The proposed development will slightly increase density by approximately 22 individuals when compared to the underlying zoning based on what could be built today as-of-right shown in the proposed development comparison table above. Recent innovations in transportation come at an interesting time as advances in automotive technology and ride-sharing services continue to disrupt car ownership. Census data shows that 52% of residents renting around the proposed development do not own a vehicle. As a result of generational shifts in the preferred means of transportation, transit-oriented development sites have become desirable within urban destinations across the nation. The proposed development will deliver an adequate number of off-street parking spaces and bicycle parking stalls on-site to accommodate residential and retail guest s transportation needs. The proposed development s proximity to the Davis Metra, Davis CTA, and Demptser

11 CTA stations make the site a critical transit-oriented location fit for residential redevelopment. Studies completed by Zipcar have indicated that one shared car can help remove approximately 15 private vehicles from the street system. Several parking and traffic indicators within urban destinations suggest that there are many people who rely on vehicular ownership. However, the rate of car ownership within urban destinations show that different means of transportation such as the Metra, CTA, car-sharing, and bicycle riding are becoming more favorable to the younger demographics that are likely to reside within the proposed development. Recent analysis conducted by our third-party traffic consultant, KLOA, suggests that downtown parking garages within an 8-block radius of the proposed development are at or less than 50% occupied. Albion Residential is confident that the proposed 182 off-street parking stalls will be sufficient for both residential and retail usage on-site. Car Ownership in Chicago Evanston Illinois Skokie Illinois Oak Park Illinois Naperville Illinois Chicago Illinois Vehicles Per 10 Adults Households with no Vehicles 17.1% 8.5% 13.3% 3.6% 27.3% National Household Vehicle Ratio Ranking* National Adult Ratio Ranking** National Carless Household Ranking* Source: Governing.com *Ranking out of 794 Major US Cities **Ranking out of 782 Major US Cities The proposed development is within the scale and context of the surrounding buildings in the D4 Downtown Transitional District when compared to the Rotary Building (237 ), located to the north of the proposed development site, and the Holiday Inn (146 ) located directly east of the proposed development site. The proposed development utilizes the irregular trapezoid shaped site by incorporating residential density horizontally instead of vertically. As a result, the proposed development rises to a height that is far less than the Rotary Building. The proposed development will appropriately complement the existing mid to high-rise buildings that lead up to the downtown Evanston core. The proposed unit mix within the proposed development caters strongly towards entry-level professionals, young families, and baby boomers. Millennials are currently leading the charge for apartment demand nationally. Renters have become accustomed to the apartment lifestyle for various reasons including increases in homeownership costs, a profound opposition to the commitment associated with homeownership, increases in experiential spending, and a maintenance-free lifestyle that offers first class services and amenities to its residents. A significant majority of the proposed unit mix will consist of studio, and one bedrooms that showcase best-in-class unit finishes and the most efficient floor plans in the marketplace.

12 Recent rental comparables throughout Evanston have indicated that the target renter continues to demand efficiently sized units at attainable price points making the proposed development a feasible addition to downtown apartment absorption. Statistically, families with school-aged children have been less inclined to occupy residential apartment communities, which suggests that the total impact on the public-school system by proposed development will be inconsequential. Recent developments within proximity to the proposed development have reported that approximately 6.5% of renter households in downtown Evanston include 1.2 to 1.5 children under 18 years of age and approximately 50% of those renter households include school age children. Based on independent research conducted by SB Friedman, the total school-aged population expected to reside within the proposed development consists of 14 school-aged children. The proposed development is expected to generate approximately $557,100 in annual property tax revenue benefitting District 65 and District 202. Using IBSE s per-student operational spending figures for 2015, SB Friedman estimates an annual cost of approximately $214,000 to educate the project s anticipated 14 school-aged children, assuming all students will attend public school. The proposed development is anticipated to generate sufficient annual property tax revenue to cover operational costs, as well as contribute an additional $343,100 in annual tax payments to District 65 and District 202 that could be used for capital improvement projects or other district related costs. In closing, the proposed development stands to make a significant economic impact on the City of Evanston. The proposed development is expected to create approximately 520 jobs

13 throughout various industries that contribute to the overall productivity of downtown Evanston while supporting the community and local businesses. The proposed development will generate approximately $945,000 in annual property tax revenue, of which approximately $557,100 will benefit the Evanston School District 65 and District 202 based on their proportionate share of taxes. The proposed development will eliminate incompatible uses by building a mixed-use residential and retail project that compliments the community within the D4 Downtown Transitional District. The proposed development is expected to attract local Evanston residents and commuters by supplying residential and retail density that supports the community and focuses on reenergizing a major downtown Evanston corridor.