TOWN OF LEE NOBLE FARM DEVELOPMENT PARTNERSHIP
NOBLE FARM - APPROX 90 ACRES
DEVELOPMENT PROCESS WHAT WE ARE Local Developer with a track record in Lee and the area Innovative & imaginative Experienced Embracing new Tech WHAT WE ARE NOT Deep pockets development Here today - gone tomorrow
SHORT HISTORY WHAT HAVE WE DONE IN THE PAST?
Nobel K Peterson Dr. Durham NH 13 lots 15 units
Lee Lock it Inn 60,000 sq.ft. self storage facility
Lee Lock it Inn.
American Truck site plan
American Truck Conceptual
American Truck under construction
American Truck completed
Innovation Close proximity to aquifer, design and completion of Bio-Retention drainage system to eliminate any runoff contamination. All filtered into a pond as clean as drinking water. State of the art facility with interior waste management of the latest in design and technology.
30,000 Sq. Ft. Strip Center
Retail Complex Conceptual
15 Lot Commercial/Professional Office Development
View from the Highway
Conceptual Med Office Space
Madbury Commons (16 lots)
Madbury Commons
Cottonwoods (39 lots)
Cottonwoods Drive
99 Madbury Road - Durham
99 Madbury Road Durham Conceptual View
Madbury Road Approvals - This project was never built. The abutters appealed the planning board approval and won on a technicality. It was a 78 unit 50 plus housing facility. It was designed with Porous pavement, state of the art drainage,state of the art building and a full parking garage under the building. Total site was 5 acres of construction.
WHAT IS SUCCESS? THE GOAL TO provide a project that delivers on R&D light industry to help the tax base, create more diverse tax base, and transform a non-performing asset into a longer term cash flow for the town. HOW? - Create a diverse and vibrant campus with amenities by creating, business, recreational and social opportunities for users on this site, and for the general community, which leverage Community assets consistent with the desire to create value in new business and conservation.
How do we work together? COLLABORATION! COMMUNICATION! 60 Day progress reports Approximate 6 month time frame phase 1 Written agreement on goals for each phase Define what success is.. When we have success, we move to phase II
Define the Planning Process Three Phases Phase 1 Inventory and Assessment Phase 2 Master Planning Preliminary development concepts Phase 3 Final Design and Development of Individual projects.
PHASE 1 Inventory & Assessment Approximately One - Four Months Data compilation -private source -public source Organization/ categorization Data analysis Political Atmosphere Impact on Community Do we have the same vision? Site attributes Site constraints Markets : identification/ niche markets Markets : Analysis what works what does not Community what works and what does not Do they mesh?
Phase 2 Preliminary Development Concepts Approximately three to six Months Create schematic Master Plan within the limits of zoning and variances obtained and market influences Potential Land Uses Medical Research and Development Light industrial - Office Commercial/industrial Warehousing - Educational Retreat/Spa - Recreational Commercial Kitchen - Small amount of workforce housing possible Preliminary layouts for roads, utilities, individual project areas Identification of open space and specialized land uses Obtain Community buy-in to the concepts Presentation of Master Plan (concept plan enclosed )
Phase 2 What is SUCCESS? The potential projects are complimentary to the community, it s way of life, it s image! They dovetail with the Master Plan and the Long Range Plan They meet the mutual goals of the Community and the Developer The potential projects are supported by Market Studies and/or secured tenants Finance-able - Economically Sound Reality Check - Entitlement Feasibility Initialize Development Agreement Move on to Phase 3
Phase 3 Final Design & Development Varied by Market and Project. Implementation of findings and recommendations in phase 2 Identification of most viable & timely projects to proceed with first Identification and selection of strategic partners Investors Builders Tenants Obtain zoning entitlements and state & federal permits Land Sales & / or Leases Construction of individual projects Adjust master plan and expectations with changing markets and demographics as time progresses
FINAL REVIEW Collaborative process as much as possible Phased process to assure desired outcomes Complexities are many there are a multiplicity of tasks and potential projects and each will carry its own challenges and benefits Both parties interests must work hand in hand, and both parties interests must be protected at each level Flexibility and creativity are key, both of
The Proposal - Highlights Potential concept plan a place to start then refine with input from the community Go to ZBA for use variances and other variances required with support of the selectman and PB. Secure at least one tenant to start within a year to eighteen months
CONCEPT
The Proposal Some specifics The structure of this proposal is simplified for presentation purposes. The thrust of the proposal is to provide what the town, through the selectmen is seeking in development of the non-performing asset known as the Noble Farm. This proposal is a first step in the monetization of a dormant or fallow community asset. This proposal assumes that a maximum of 200,000 square feet of potential building space for warehouse, light commercial and R&D is attainable on the site. This is based on size, potential effluent volume, and the desire to continue with some amount of green space and buffer around the property. It further assumes that a potential exists for a solar field, and that there may be a recreational area and the continuation of the open space area from the abutting Thurston Woods. In addition, an area has been allocated to some minor amount of Workforce Housing. This is an option to be explored, rather than a sector cast in stone. Because of the rural nature of the location of the parcel, a pricing structure for the land on a per acre basis of net developable land is not immediately apparent. Based on other areas in the seacoast, a pricing range of light industrial land is varied from $30,000 per net acre to as much as $100,000 per net acre.
If an assumption is made that there may end up being approximately 40 net acres for all uses, and approximately 30 net R&D/warehouse acres, then the approximate value if using an average of $50,000 per acre might be $1,500,000 gross dollars. Subtract $700,000 for roads, utilities and amenities, leaving approximately $800,000 for land revenue. This would be obtained over a period of years. This proposal would suggest that when the first lot is ready for development, the entirety is transferred at no cost ($1) to the developer, which in effect is the loss leader providing a financial incentive to the prospective tenant, because the developer can get the tenant in at below market numbers, which is what will be needed to attract the first tenant to the site. Subsequently, the land value is to be split between the developer and the town with sixty per cent to the developer, and forty per cent to the town, when the income is derived from a sale, or lease of a site.
If 200,000 square feet of building is attained, an approximate revenue stream based on an assessed value of $80 per square foot would be approximately $16 million of new assessed (conservative numbers). This would equate to approximately $450,000 in new annual tax revenue, without the town expending any new dollars. If specialized tenants are obtained, then the per square foot numbers could be substantially higher, with corresponding higher revenues for the town. This is not going to happen overnight. It will take a period of years to reach full maturity for the site. Given the volatility of the market, we will not even hazard a prediction as to time frame. It would appear from the next graph below (source:nhpfc Website ) that Lee s commercial valuation is approximately $60 million out of a total of approximately $535 million, or approximately 11 % of the total. If $16 million were attained, it would add another 3.75% of commercial value to the tax roll
ASSESSED VALUE TOWN OF LEE
The second area of revenue generation is to be the solar farm/field. New technology is driving less expensive solar electric generation, creating new opportunities for Solar Farms. There are no numbers currently available on assessed values for solar farms, but it would most likely be based on cost and revenue analysis. Though not huge financially for the town, it is a use that could benefit others on site and is low impact to the land. It is green in the sense that it does not use water, create a waste stream or use fossil generated electric. The third area is not one of revenue generation, but of social capitalization. That would be the inclusion of workforce housing, and playgrounds and recreational opportunities. The key would be to take advantage of the ability to use the open space component to create walking trails to be used by both tenants and by the general public. The concept is one of carefully cleaning up the pond area which is already subject to a conservation restriction, and adding to it the balance of the open space to the west. This could in concept create more of a continuation of the Thurston Woods open space, helping to define a corridor. Depending upon wetlands and soils, a potential access to Rt. 125 is available to this developer, as there is some site control for the Darby Field apartments. This would be dependent upon the conservation value, dollar cost, DOT and numerous other factors, but is something to be considered in the potential success of the project.
BOTTOM LINE The town sells the land for $1 and other valuable consideration. The town receives revenue from the sale or lease of land on a percentage basis, as each new building is occupied. The town receives revenue from taxes on the created inventory of new structures.
NOBLE FARM Thank you for your time, We look forward to a rewarding relationship in completing this project. SUBMITTED BY: GARVEY & COMPANY, LTD. PO BOX 935 DURHAM NH