RDA Min 1984-06-18 - Laserfiche WebLink

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Page 2 - Item 1 (continued) In response to question, he said that for rehabilitation either method might work, but they are not realistic for redevelopment and assembling several blocks into one redevelopment plan is difficult. He added that another possibility, although rarely carried out, is to bring in the owners as participants in the amount of the value of their property. In response to questions, Mr. Rosenthal said that tenants have some legal rights and arrangements could probably be made for a major tenant who wanted to remain in a rehabilitation program, even if the property owner did not, but it is rare. Mr. Rosenthal said the most common redevelopment approach is to bring in an outside developer, bearing in mind that the Agency should select what it wants or what fits its plan, and there is no competitive bidding. In response to question, he said that plans are usually prepared by the City, but may be fairly general in order to allow flexibility, and noted that in selecting a developer, experience, financial capability and the economic feasibility of the development for the site are most important. Relocation and Acquisition - Mr. Rosenthal said that it is necessary to make the block ready for redevelopment, noting there is State law governing residential relocation that is quite specific and often the persons forced to move are able to go into better housing. He said that for relocated businesses, there are also certain benefits which can prove to be advantageous to the relocated businessman. Discussion followed and Mr. Rosenthal replied to questions and commented concerning value of leases to tenants required to move; the kind of business items for which a businessman would be would be reimbursed; the option of taking allowances instead of reimbursement; the value of IIgood wi 1111; the need for commitment to use of emi nent doma in; the effect of IIhold outsll on a project and whether the fair market values of their property might increase; the tax benefits which might cause a property owner to prefer eminent domain proceedings against him; and the variety of relocation benefits offered to property owners related to the size and type of their business. Public Improvements - Mr. Rosenthal said that the question of responsibility for public improvements depends upon the specific redevelopment project, observing that when many developers are anxious to construct a project in a particular area, the circumstances are very favorable to the city, but it is more common for the agency to bear much of the cost in order to cause the development to proceed. He noted that substantial assistance in the way of providing parking structures, etc, may have to be provided by the agency, but it is considered worthwhile in order to have the overall improvement to the city. Re-Entry - Mr. Rosenthal said that the agency must give preference to relocated businessses with regard to their re-entry into the newly redeveloped area, assuming their business is appropriate. He observed that in the one to five years that the project may take, most of the affected businesses would be successfully relocated elsewhere. He pointed out that experts in relocation are usually employed to assist property owners to relocate and they often improve the circumstances of the businessman who has relocated. Redev . AQ...en cy &/18r~4 MINUTE BOOK NO. 45' Page No. 60