Redevelopment Commission

TOWN OF GILBERT REDEVELOPMENT COMMISSION Gilbert Municipal Center Council Chambers 50 E. Civic Center Drive, Gilbert, AZ May 21, 2025 COMMISSION PRESENT: STAFF PRESENT: Casey Kendel, Chair John Baird, Deputy Town Attorney Cassandra Updike, Vice Chair Jim Torgeson, Council Liaison Adam Baugh Dan Henderson, Economic Development Director, Office Boe Bigelow of Economic Development TJ Claassen PRESENTER: Kristen Devine, Senior Planner, Development Services Sydney Bethel Price, Redevelopment Program Manager, Office of Economic Development CALL TO ORDER OF THE STUDY MEETING Chair Kendel called the study meeting of the Redevelopment Commission to order at 6:00 p.m. 1. DR25-24 SOUTH ANCHOR HERITAGE DISTRICT: Site plan, landscaping, grading and drainage, elevations, floor plans, lighting, and colors and materials for approximately 2.8 acres, generally located at the northwest corner of Gilbert Road and Elliot Road, and zoned Heritage Village Center (HVC). Kristen Devine (480) 503-6742. Commissioner Baugh recused himself from the presentation and discussion. Planner Devine shared the vicinity map and summarized the requirements in the development agreement for the project in question. She shared the site plan for the area of approximately 2.8 acres, zoned HVC within the Heritage District. The applicant is proposing a two-story commercial building at the corner of Gilbert and Elliot Roads, and a four-story residential building with a parking structure containing approximately 359 parking spaces. The commercial building is a total of 14,600 square feet and intended for retail and restaurant use. The residential building will contain 175 units, including studio, one- Redevelopment Commission May 21, 2025 1 bedroom, and two-bedroom. There will be a paseo-style walkway between the commercial and residential buildings. There is one access point to the site from Gilbert Road, which will lead to surface parking spaces and the parking structure. The applicant is proposing a total of 368 parking spaces, and 377 are required. The applicant has applied for a parking reduction to the commercial portion of the site. The application meets the requirements for an administrative use permit, and it has gone through one review with staff, with a resubmittal received on May 20, 2025. The applicant is proposing Chinese pistache trees along the roads and live oaks along the alleyway to the north side of the property. Live oaks are not part of the landscape palette within the Heritage District guidelines, so they will need to be approved. Planner Devine summarized the progression of the project over the last four years and shared images supplied as part of the request for proposal (RFP) process, the design submittal, and recent renderings. The staff is working with the applicant on the appearance of the units. Planner Devine shared the elevations. The staff has raised concerns regarding improving the elevations facing Ash Street as well as the parking structure, which is visible from Gilbert Road. Planner Devine noted that the staff has not had time to review the second submittal received on May 20, 2025, but shared the updated images of the elevations from all sides, and the colors and materials. On the first floor, there is 5,470 square feet of retail, 3,930 square feet of restaurant, and 10,860 square feet of residential indoor amenities, as well as parking and a rideshare zone. On the second floor, there is 2,600 square feet of indoor restaurant use and 2,600 square feet of outdoor rooftop patio space. Planner Devine requested general feedback, particularly regarding the elevations. The staff liked some aspects of the elevations but believe the sense of arrival to the district is lacking. COMMISSION QUESTIONS/COMMENTS At the request, and prompt from Chair Kendel, Council Liaison Torgeson noted that the recent renderings look nothing like the RFP. He noted that the residential building resembles a dormitory with a parking garage and asked what the staff’s opinion was. Planner Devine responded that the proposal has undergone a number of changes. The elevations were discussed during the establishment of the development agreement, and the proposal to change the integration from vertical to horizontal mixed use was permitted in the appropriate circumstances. The staff would like to see more of a sense of arrival. Redevelopment Commission May 21, 2025 2 Council Liaison Torgeson stated that the design is unsightly, there is no sense of arrival, and he would like the staff to express their opinions more frankly on the matter. Commissioner Bigelow agreed that the renderings look completely different from the RFP. Brick and steel are costly, and they also look too modern and bland rather than inviting like the original design, especially the elevations facing Ash Street and the back side of the building. If one is leaving the Civic Center and heads north toward Elliot Road, the white stucco parking garage is highly visible. He noted that there is insufficient greenery and suggested combining the old and new designs. He asked why the design was completely changed. Planner Devine responded that she is unsure why the design was changed, but the horizontal mixed-use integration decision was cost-based for construction purposes. Commissioner Bigelow noted that the horizontal integration could have been used with a similar design to the original RFP. He noted that the most significant issue is the parking garage and suggested that some greenery, planters, or art be added. He noted that this is an important piece of land, and the design should be varied. He noted that the live oaks are a good idea and requested that the applicant make the corner of Gilbert and Elliot Roads look more inviting. Commissioner Claassen noted the height change in the second submittal and asked whether the building now meets the requirements for rooftop signage. He noted that the horizontal integration lends itself better to a successful retail and restaurant component, which will improve the property. He suggested that the identities between the retail and restaurant portions be better delineated, possibly using different materials, and that the parking garage’s appearance be improved. The residential portion contains some good features, such as the steps, but the design lacks sufficient articulation, as well as the character and charm that were in the original application. Planner Devine responded that for a development to qualify for rooftop signage, it is necessary that the building be three stories. Commissioner Bigelow noted that cost-effective ways to improve the overall look and feel of the elevations would be to add greenery and do something different in the middle of the south elevation fronting Gilbert Road. He suggested that the building be made to look as good as possible. He asked whether the winding bridge over the railroad tracks and the large paseo project were still being planned. Project Manager Bethel Price responded that the paseo project is now called Water Tower Way and has been divided into five separate capital improvement projects, a portion of Redevelopment Commission May 21, 2025 3 which is included in Heritage Park. There is a phased approach to the Veterans Memorial Bridge, but it is 10 years away. Vice Chair Updike asked whether the proposal meets all of the square footage requirements in the original RFP, and whether the row house aesthetic was a condition of the RFP or inspired by the renderings. Planner Devine responded that she is unsure whether the proposal meets the square footage requirements in the original RFP, but it meets those in the development agreement. Staff Liaison Henderson responded that the staff wanted to ensure the aesthetics of the buildings facing the Lacy Tract residential area would complement the area. The concept of row houses was not in the RFP, but it developed over the years through conversations between residents, the developer, and staff. Vice Chair Updike noted that the Lacy Tract area has unique architecture, but the updated rendering of the project does not look like a row house. The lines are regimented, and the materials and textures are too consistent, more like an apartment complex. She noted that even with the horizontal integration, it is possible to create more dimensions and mix materials. She noted that the garage needs a more intentional design, and a mural is not an answer to an unfinished design. She noted that the loss of the rooftop sign feels significant and asked about the commercial vacancy rate in the Heritage District. Commissioner Claassen estimated that the stated commercial vacancy was 5% but noted that the story behind the scenes is different, and tomorrow it could be 15%. Staff Liaison Henderson noted that, according to CoStar 2024, office vacancy is 13%, retail vacancy is 3%, and multifamily vacancy is 3.89%, but agreed that the numbers might not reflect the actual situation. Vice Chair Updike suggested that the applicant get more creative with the façade design, with less repetitive patterns, perhaps a row house concept with more than a step or two. Commissioner Bigelow noted that a more creative design facing the Lacy Tract area would be inspiring to that neighborhood, which has more leniency in design due to narrow lot sizes. Chair Kendel noted that this piece of land, commonly referred to as the south anchor, is one of the most important and valuable in Gilbert, and perhaps in the state. It is essential to ensure the design is right before any work is performed. The brick façade makes the building look like a project. Gilbert residents are not fond of apartment buildings, especially when they are bland. The entrance to the area should be welcoming, similar to that of the north anchor. The parking garage in particular needs to be reevaluated. Redevelopment Commission May 21, 2025 4 2. UP25-15 SOUTH ANCHOR HERITAGE DISTRICT: Request to approve a conditional use permit for approximately 2.8 acres located at 25 West Washington to allow ground floor residential in the Heritage Village Center (HVC) zoning district. Kristen Devine (480) 503- 6742. Commissioner Baugh recused himself from the presentation and discussion. Planner Devine noted that the applicant is requesting a conditional use permit for the ground-floor residential units, which will face Ash Street and the alleyway. COMMISSION QUESTIONS/COMMENTS Commissioner Bigelow noted that the conditional use permit makes sense. The window sizes and visibility will be discussed later. CALL TO ORDER OF THE REGULAR MEETING Chair Kendel called the regular meeting of the Redevelopment Commission to order at 6:35 p.m. ROLL CALL Staff Liaison Henderson conducted a roll call, and the quorum was confirmed. COMMUNICATIONS FROM CITIZENS At this time, members of the public may comment on matters not on the agenda. The Commission's response is limited to responding to criticism, asking staff to review a matter commented upon, or asking that a matter be put on a future agenda. There were no citizen comments. ADMINISTRATIVE ITEMS 3. Meeting Minutes: Consider approval of the minutes of the regular meeting held on February 19, 2025. MOTION: Vice Chair Updike moved to approve the minutes of the regular meeting of the Redevelopment Commission held on February 19, 2025, as presented, seconded by Commissioner Bigelow. Motion passed 5-0. Redevelopment Commission May 21, 2025 5 Redevelopment Commission May 21, 2025 6 4. Revisions to Redevelopment Committee Bylaws – Review and consider the updated Redevelopment Commission bylaws for approval. Project Manager Bethel Price noted that the main reason for the revision of the bylaws is to add one alternate Redevelopment Commission member, who will have the same attendance requirements as regular Commission members, will serve a one-year term rather than a four- year term, and will act in the place of a regular Commission member only in the absence or recusal of a regular Commission member. All other revisions to the bylaws are clarifications, administrative updates, or updates to align with other town codes. Project Manager Bethel Price presented the history of the revisions. On April 22, 2025, the Town Council approved amendments to the Land Development Code and Gilbert Municipal Code to add an alternate Commissioner to the Redevelopment Commission. If the Redevelopment Commission recommends approval, the Town Council will vote on the final approval in the last hearing of June, 2025, after which it will be enacted. The recruitment process has begun, and the Town Council will complete interviews at the end of fiscal year 2025 and appoint the alternate Commission member. MOTION: Commissioner Baugh moved to recommend approval to the Town Council for the updated Redevelopment Commission bylaws to add one alternate Redevelopment Commission member, seconded by Commissioner Bigelow. Motion passed 5-0. COMMUNICATIONS REPORT FROM THE CHAIR ON CURRENT OR FUTURE EVENTS Chair Kendel had no updates to report. REPORT FROM THE COUNCIL LIAISON ON CURRENT OR FUTURE EVENTS Council Liaison Torgeson reported that the first phase of the Heritage Park project is officially breaking ground at the end of May, 2025. Construction is expected to take approximately 18 to 24 months, with the commercial portion opening in the fall of 2026. It will be a combination of retail, office, and residential, with amenities such as a park and a splash pad. Additional information can be found at diggingthedistrict.com. REPORT FROM COMMISSIONERS ON CURRENT OR FUTURE EVENTS Redevelopment Commission May 21, 2025 7 Chair Kendel reported that the Veterans in Business Expo will take place on June 11, 2025, from 10:00 a.m. to 3:00 p.m. in the Park University building. There will be vendors and a panel of various professionals. The keynote speaker will be Town Manager Patrick Banger. REPORT FROM STAFF LIAISON ON CURRENT OR FUTURE EVENTS Staff Liaison Henderson had no updates to report. ADJOURN REGULAR SESSION Chair Kendel adjourned the meeting at 6:46 p.m. _______________________________ Casey Kendel, Chair Redevelopment Commission May 21, 2025 8 Redevelopment Commission May 21, 2025 9