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Troy Local Development Corporation

Regular Meeting

Troy, NY · September 11, 2015

AgendaMinutes

Minutes

TROY LOCAL DEVELOPMENT CORPORATION Board of Director Meeting Minutes September 11, 2015 8:30 a.m. BOARD MEMBERS PRESENT: Kevin O’Bryan, Bill Dunne, Dep. Mayor Pete Ryan, Andy Ross and Hon. Ken Zalewski ABSENT: ALSO IN ATTENDANCE: Justin Miller, Andy Piotrowski, Barrye Cohen, Barb Nelson, Jim Lewis, Michael Barrett, Kathleen Tesnakis, Steph Pettit, James Pettit, Mary Nicklas, Sandra Rouse, Jim Lozano and Denee Zeigler Minutes The Chairman called the meeting to order at 8:30 a.m. I. Minutes The board reviewed the minutes from the July 10, 2015 board meetings. Bill Dunne made a motion to approve the July 10, 2015 board meeting minutes. Andy Ross seconded the motion, motion carried. II. 50/50 Façade Grant Requests The Chairman advised that the façade grants have all been reviewed ahead of time. He asked if the board members had any of questions for the applicants before they vote and asked that they vote on all of the façade grants as one. Andy Ross clarified that all taxes and City bills must be current before the grant can be awarded. Bill Dunne advised a check is done prior to the award letter going out. Bill Dunne made a motion to approve the Façade grants listed below:  160 1st Street, Jim Martin and Heather Hamlin  164 1st Street, Jim Martin and Heather Hamlin  2 Northern Drive, Old Daley Inn Catering  46 3rd Street, Daily Grind 1  159 1st Street, Sandra Rouse  1 E Industrial Pkwy, Hudson Mohawk Gateway  420 Grand Street, Mary C. Nicklas Andy Ross seconded the motion, motion carried. The chairman thanked the applicants and advised they will be sent approval letters and a check list of items that will be needed throughout the process. III. BDAP Loan request E ko logic – Bill Dunne introduced Kathleen Tesnakis of E ko logic to the board members and advised that this loan will be similar to the short term loan she received last year. Ms. Tesnakis spoke about the Grand Central Holiday Show that she participates in and what this loan will be used towards. She advised the loan will assist her in the participation fee, working capital and booth improvements. Mr. Ross asked about the show at Grand Central. Ms. Tesnakis advised it is the biggest show that she participates in. She advised that her sales last year increased by 20% because of the show. Ms. Tesnakis advised she anticipates another growth year. This year they are encouraging the artists to be present for the full show this year which should further increase the sales. The chairman asked how much is outstanding from the previous year. Ms. Tesnakis advised she paid the loan off immediately following the Holiday Show. Mr. Miller advised that a resolution can be approved at our next meeting. Mr. Dunne advised that due to application fee deadlines, we will try to expedite the process. The board agreed. Mr. Miller advised he will draw up paperwork similar to last year and review the updated loan term sheet that was presented. Ms. Tesnakis advised she will give an updated Certificate of Good Standing. Andy Ross made a motion to approve the BDAP loan for E ko logic in the amount of $10,000. Hon. Ken Zalewski seconded the motion, motion carried. Troy Kitchen – Mr. Dunne advised that at this time, we will not be reviewing the loan request for Troy Kitchen, but to look for it next month. IV. Financial Services Consultant The Chairman advised that following the recent audit of one of the other boards, it was suggested that we would benefit from a hiring someone to oversee the financials for both boards. Mr. Dunne spoke to the board about the process they have gone through looking for a CFO. He advised that Jim Lozano’s firm responded to the proposal and we are setting up a meeting in the next week to discuss the transition. Mr. Dunne advised that this will help to lessen the burden of City services. Mr. Zalewski asked if we had sent an RFP out for these services. Mr. Dunne advised that the proposal was sent out by the IDA, but the services will also be utilized by this 2 board. The Chairman advised that there will be some upcoming discussions about the details for reimbursement. Dep. Mayor Pete Ryan made a motion to enter into an agreement with James Lozano of CFO for Hire for fiscal oversight of the Troy LDC. Andy Ross seconded the motion, motion carried. V. Funding Requests Troy BID – Mr. Dunne spoke about the Downtown Troy BID’s request for $25,000 annual sponsorship to be used for marketing the downtown and promotional materials. He advised that part of our mission is to lessen the burden of government and the BID is a quasi-governmental agency. A packet was given to the board outlining the proposal. The board questioned if the City makes an annual donation. Mr. Dunne advised yes, in the form of in kind donation of DPW services. The board noted that the BID is not located in any other part of the City, only the downtown. Mr. Dunne noted that the funds should be used towards promotional materials, not salaries or other benefits. He added that the LDC’s logo will be on all printed material. Mr. Ross asked about their other funding sources. Mr. Dunne advised that they have other sponsorships and grant funding. Mr. Zalewski questioned the wording on the request that states annual sponsorship. The Chairman advised that they will come to us annually, but we are only approving for funding for one year. Bill Dunne made a motion to authorize a sponsorship in the amount of $25,000 to the Downtown Troy BID. Andy Ross seconded the motion, motion carried. Transport Troy – Barbara Nelson spoke to the board about the grant request in front of them. Mrs. Nelson advised that Transport Troy is completely volunteer citizens work group. Mrs. Nelson noted that they are looking into becoming either a not for profit or incorporating in the near future. Mrs. Nelson advised that the past three years’ worth of their accomplishments is listed in the packet. She advised that they have worked closely with several community groups; Troy Bike Rescue, Capital Roots and TAP. Mr. Miller advised that we have done work with TAP. Mrs. Nelson noted that this is the 3rd Annual Collar City Pre-Ramble is coming up and while getting together paperwork for funding, they realized that there are small amounts of funding needed for each of the groups they work with. She advised that they decided to put all of the amounts together in one request. The board asked for the total amount they are asking for. Ms. Nelson advised $22,750 is needed for the four different activities. Mrs. Nelson advised that there is a direct link to bikeable/walkable communities and economic development. She advised that our community is on the edge of being that community that people will come to bike, and use alternative transportation to 3 live and work. Mrs. Nelson noted that there are a good percentage of residents that do not own cars. She advised Transport Troy has been working with CDTA, Capital Roots and the Independent Living Center. Mrs. Nelson noted the biggest accomplishment of her group has been drafting and getting passed the complete streets ordinance. The board members asked about the other stakeholders. Mrs. Nelson noted NE Health, NYSCA and Stewart’s to name a few. The board noted that the funding being asked for by the LDC is much more than the funding requested of other groups. Mrs. Nelson agreed and advised that this is their first attempt at a large funding request. Mr. Ross asked if they have the horsepower to carry out the items listed in the request. Jim Lewis spoke about the strong base of people they have to working on the projects listed. Mrs. Nelson advised that the pre-rambles will eventually lead up to the Collar City Ramble in a few years that will link to the other trails and community events. Mrs. Nelson spoke about the importance about being able to step out your door in an urban environment with more people moving back into cities. Mr. Lewis spoke about the different demographics that they looked at; urban inner city that does not have access to transportation, young entrepreneur’s that are looking for a 21st Century City that is connected and has healthy activities available. He also noted that they are working with an artistic spirit. The creative crosswalks project was able to get the community involved in a fun way, helping to create a place that they want to live. Mr. Lewis spoke about other community’s creative use of open spaces. He advised that we don’t have a lot of open space, but can make what we have great. The board members spoke in general about the amount of the request and suggested that they start at $12,500. The chairman wanted to note that he sits on the board of one of the other sponsors. He also advised that a lower donation from us may help with leverage with some the other sponsors. Mrs. Nelson and Mr. Lewis agreed and thanked the board for the amount they suggested. Mr. Zalewski asked if they are a currently a nonprofit. Mrs. Nelson advised not right now, but they are working on it. The chairman advised they should strongly consider it. Not having that status could limit what other groups are able donate. She added that they have been holding core leadership organizational meetings throughout the summer. Mrs. Nelson advised one of her greatest assets has been working with the National Parks Services. They have received a grant from NPS for the past two years in the form of time from one of their employees. They have made a lot of progress with his assistance. Dep. Mayor Pete Ryan noted that this group has been working closely with the City on the Riverfront Trail Program and was instrumental in re-resurrecting the grant funding. Mrs. Nelson spoke about the process they have gone through bringing back the bike trail grant. Mr. Zalewski asked if bike fix-up stations was part of her program. Mr. Lewis advised that the project he is asking about was offered through one of the local fraternities. Dep. Mayor Pete Ryan made a motion to approve a grant to Transport Troy in the amount of $12,500. Hon. Ken Zalewski seconded the motion, motion carried. 4 Victorian Stroll – The board members had a general discussion about the request in front of them for sponsorship of the 2015 Victorian Stroll. They were all familiar with the event and had no questions. Andy Ross made a motion to approve sponsorship in the amount of $5,000 to the Victorian Stroll. Hon. Ken Zalewski seconded the motion, motion carried. City of Troy – Dep. Mayor Pete Ryan spoke about the funding request from The City of Troy to assist with Police overtime. Mr. Ryan advised that the Troy BID is very active throughout the summer with multiple events. Events such as Rockin’ on the River have been taken to a whole new level and they realized that additional police presence was needed. Mr. Ryan advised that this additional police presence put a strain on The City budgets so the BID was asked to fund some of the costs. He advised that The City is asking for $18,000 to help offset the costs. The board asked if this is factored in when they are creating their budget. Mr. Ryan advised that he is not sure how the budget is put together, but they have had a discussion with the BID to limit the number of officers and to help come up with a better way to manage. Mr. Zalewski noted that we just approved a $25,000 grant to sponsor the Troy BID and here is another request to fund them. He thought that the taxpayers in the business district helped to fund and sustain the BID. Mr. Zalewski added that he feels as if the LDC is becoming a financing arm of the BID. The board agreed and asked if the BID could come directly to them for the request so they can ask them a few questions about the funding request and ask budget questions. Mr. Ross asked if they could hire security instead of using the Police. Mr. Ryan advised that a Police presence is needed at the events. Mr. Ross asked if it had to be overtime that is used. Mr. Ryan advised due to contractual reasons and the time of the events it works out to be overtime. Hon. Ken Zalewski made a motion to table the funding request from The City of Troy in the amount of $18,000 to assist with cost of Police OT during Troy BID events. Andy Ross seconded the motion, motion tabled. VI. Former E-lot building Mr. Dunne advised he has been approached by the City to possibly utilize the site of the former E-lot building to store road salt. Mr. Ryan advised that there is a deep bay that a truck can fit into. Mr. Dunne questioned the wear on the concrete floor. Mr. Ross added that there may be some wear on the building itself. Mr. Ryan advised that they can have the City Engineer look into it. Mr. Ryan advised they used to use the Sperry Warehouse, but the walls are starting to show some wear and it is becoming unstable. Mr. Miler advised if they would have to set up a license agreement. He suggested adding the Alamo into the agreement because there is currently no agreement for the City’s use of that site. 5 VII. Surveillance Notification signs for King Fuels site Mr. Dunne advised that the King Fuels site currently has no tenants. Security cameras have been installed. Andrew Kreshik has asked that signs be installed to notify people that there are surveillance cameras on site. Mr. Dunne noted that the cost of furnishing and installing the signs is $775.00. Hon. Ken Zalewski made a motion to approve $775.00 in funding for surveillance notification signs at the King Fuels site. Andy Ross seconded the motion, motion carried. VIII. Temple University Mr. Dunne spoke to the board about the success of the Temple University student project that took place last year. He advised one of the byproducts was a book detailing the students work. Mr. Dunne noted that several of the ideas will be used in the CFA applications. He noted that he has a copy for each of the board members and one will be donated to the Troy Public Library. Mr. Dunne wanted to note that the students did a great job with this project. IX. Financials Andrew Piotrowski went over the financials with the board members. He noted that there is a big decrease listed on the first page of the balance sheet due to the Portec mortgage payoff approved in December. Mr. Piotrowski advised that there are no other large items. He advised that there was not much activity on the operating statement. He noted the new income item relating to the donation of 2265 Fifth Avenue. Mr. Dunne explained that the property was donated to us by Wells Fargo along with $10,000. Mr. Miller advised if that donation is noted on the financials. Mr. Piotrowski advised yes, under cash deposits. Mr. Dunne noted that an outside engineer was hired to do a structural analysis of the building and it was determined that the building is not salvageable. Mr. Dunne advised that the report is currently on the City Engineer’s desk to move forward on demolition. Mr. Ryan asked for a breakdown of the $32,500. Mr. Piotrowski advised that $22,500 is for the assessed value of the property and the $10,000 is the donation. Mr. Ryan asked about back taxes. Mr. Miller advised that would have been taken care of by the bank. X. Old Business Mr. Dunne spoke about the current status of the façade grant funding. He noted that there are currently four separate grant funds; three designated areas and one general area. Mr. Dunne asked to move funding from the designated areas to replenish the general grant fund. The Chairman asked if it is segregated on the financials or if they are all listed together. Mr. Piotrowski advised they are all noted in the cash to time deposits. Mr. Dunne advised that $75,000 would cover the deficit and leave some available for recently awarded and future grants. Mr. Zalewski asked about the current status of the funds in each of the areas. Mr.Dunne advised Little Italy has $45,000 available, 2nd Avenue has $35,000 available, Pawling Avenue has $40,000 available. The general fund is in a deficit of $55,000.01. None of the amounts reflect the grants approved today. The board had a general discussion about the areas that have responded to the grant and the success of the program. 6 Mr. Zalewski noted that we can use this information to help spread the word in some of the areas that are not utilizing the grant. Hon. Ken Zalewski made a motion to move $75,000 from the three designated façade grant areas to the general façade grant fund. Andy Ross seconded the motion, motion carried. XI. New Business 444 River Street- Mr. Miller spoke about the recent purchase of 444 River Street by Vecino Group New York, LLC. He noted that we had set up an LDA that defined the project and outlined a specific mix of units. Vecino Group recently applied to the Department of Housing and Community Renewal for additional funding and has been asked to modify the mix of units. Mr. Dunne explained that originally they were going to have a total of 75 apartments; 57 of the units market rate and the remaining 18 up to 90% AMI. The supplementary round of funding will allow them to move through the process quicker. Mr. Dunne explained that HCR asked that of the 18 subsidized units, 8 of them be at 60% AMI. Mr. Dunne noted that he is not opposed to those numbers and it will help to move the project along. The Chairman asked why a change in the makeup of the units requires action from this board. Mr. Miller advised that the LDA and the loan agreement define the project to be what we previously conceived it to be. The omnibus agreement in front of them will change the definition of the project, but hold them to the obligations. The board had a general discussion on the small parcel of land that is across the street. Mr. Dunne advised that it was in front of the City Council at one point, but there was some confusion and it was not voted on. Mr. Miller advised that parcel will have to go in front of the City Council again at some point. Hon. Ken Zalewski made a motion to approve the omnibus resolution for 444 River Street. Andy Ross seconded the motion, motion carried. 701 River Street – Mr. Miller gave an update to the board about the property at 701 River Street that the LDC planned on receiving as a donation last year. Since that time, the property was donated to another group who has engaged with a developer to put in senior living style apartments. The City is currently in litigation because the donation of the property goes against the reverter that was attached to the building. Mr. Miller advised that the City, the seller and buyer have been in conversation to work out all of the details and possibly keep the reverter clause for the new buyer. Mr. Miller advised that an omnibus settlement agreement was put together that they would like the LDC to be a party to. The settlement agreement has a monetary value that favors the City and the LDC for $30,000 placeholder to cover costs and fees. The board had a general discussion about the City’s reverter clause and questioned if going through this process will be worthwhile. The Chairman asked if there were any other questions or concerns about the agreement. 7 Hon. Ken Zalewski made a motion to approve the omnibus settlement agreement regarding 701 River Street. Andy Ross the motion, motion carried. XII. Adjournment The meeting was adjourned at 9:41 a.m. Andy Ross made a motion to adjourn the meeting. Hon. Ken Zalewski seconded the motion, motion carried. 8 AUTHORIZING RESOLUTION (`e ko logic, Inc. – Loan Agreement) A regular meeting of the Troy Local Development Corporation was convened on September 11, 2015, at 8:30 a.m. The following resolution was duly offered and seconded, to wit: Resolution No. 09/15 #1 RESOLUTION OF THE TROY LOCAL DEVELOPMENT CORPORATION AUTHORIZING (i) THE ISSUANCE OF A $10,000 LOAN TO `E KO LOGIC, INC.WITH RESPECT TO A CERTAIN PROJECT (AS DEFINED HEREIN) AND (ii) THE EXECUTION AND DELIVERY OF A LOAN AGREEMENT AND RELATED DOCUMENTS. WHEREAS, The Troy Local Development Corporation (the “Corporation”) is a duly- established, not-for-profit local development corporation of the State pursuant to Section 1411(h) of the Not-for-Profit Corporation Law (“N-PCL”) and a Certificate of Reincorporation filed on April 5, 2010 (the “Certificate”) established for the charitable and public purposes of relieving and reducing unemployment, promoting and providing for additional and maximum employment, bettering and maintaining job opportunities, instructing or training individuals to improve or develop their capabilities for such jobs, by encouraging the development of, or retention of, an industry in the community or area, and lessening the burdens of government and acting in the public interest; and WHEREAS, `E KO LOGIC, INC. (the “Company”), has requested assistance from the Corporation in connection with a certain project (the “Project”) consisting of the use of working capital to (i) acquire business equipment, product materials, and marketing materials, and (ii) expand Company workforce and off-site retailing opportunities; and WHEREAS, in furtherance of the Project, the Company has requested financing from the Corporation in the form of a $10,000.00 Loan (the “Loan”) to assist the Company undertake the Project; and WHEREAS, the Corporation desires to authorize the issuance of the Loan, the terms of which have been presented at this meeting, and approve the execution and delivery of a Loan Agreement (“Agreement”), along with related documents, to memorialize the terms and conditions by which the Loan shall be extended by the Corporation, including the repayment thereof and security therefore. NOW, THEREFORE, BE IT RESOLVED BY THE DIRECTORS OF THE TROY LOCAL DEVELOPMENT CORPORATION AS FOLLOWS: Section 1. The Corporation hereby authorizes the provision of the Loan to the Company in furtherance of the Project. The Chairman, Vice Chairman and/or the Chief Executive Officer of the Corporation are hereby authorized, on behalf of the Corporation, to execute and deliver a Loan Agreement, along with related documents (collectively, the “Loan Documents”), in such form as prepared and approved by counsel to the Corporation and as approved by the Chairman, Vice Chairman and/or the Chief Executive Officer. Section 2. The Secretary or Assistant Secretary of the Corporation are hereby authorized, where appropriate, to affix the seal of the Corporation to the Loan Documents and to attest the same, all with such changes, variations, omissions and insertions as the Chairman, Vice Chairman and/or Chief Executive Officer of the Corporation shall approve, and the execution thereof by the Chairman, Vice Chairman and/or Chief Executive Officer of the Corporation to constitute conclusive evidence of such approval. Section 3. The officers, employees and agents of the Corporation are hereby authorized and directed for and in the name and on behalf of the Corporation to do all acts and things required and to execute and deliver all such checks, certificates, instruments and documents, to pay all such fees, charges and expenses and to do all such further acts and things as may be necessary or, in the opinion of the officer, employee or agent acting, desirable and proper to effect the purposes of the foregoing resolutions and to cause compliance by the Corporation with all of the terms, covenants and provisions of the documents executed for and on behalf of the Corporation. Section 4. These Resolutions shall take effect immediately. The question of the adoption of the foregoing Resolution was duly put to a vote on roll call, which resulted as follows: Yea Nea Absent Abstain Kevin O’Bryan [ X ] [ ] [ ] [ ] William Dunne [ X ] [ ] [ ] [ ] Hon. Kenneth Zalewski [ X ] [ ] [ ] [ ] Andrew Ross [ X ] [ ] [ ] [ ] Peter Ryan [ X ] [ ] [ ] [ ] The Resolution was thereupon duly adopted. 2 OMNIBUS AMENDMENT AGREEMENT THIS OMNIBUS AMENDMENT AGREEMENT (hereinafter, the “Agreement”), dated as of the 11th day of September, 2015, by and between the TROY LOCAL DEVELOPMENT CORPORATION, a not-for-profit local development corporation duly existing under the laws of the State of New York (the “State”) with offices at 433 River Street, 5th Floor, Troy, New York 12180 (the “Corporation”) and VECINO GROUP NEW YORK, LLC, a foreign limited liability company duly formed and validly existing under the laws of the State of Missouri and authorized to do business in the State with offices at 305 W. Commercial Street, Springfield, Missouri 65803 (the “Company”). WITNESSETH: WHEREAS, reference is made to that certain Land Disposition Agreement with Exclusive option and License, dated as of December 21, 2014 and entered into by the Corporation and the Company (as assignee), as amended by that certain First Amendment to Land Disposition Agreement with Exclusive option and License, dated as of January 14, 2015 (collectively, the “LDA”), such LDA relating to the acquisition and development of a certain Primary Property and Secondary Properties (as each are defined within the LDA); and WHEREAS, reference is further made to that certain Purchase Money Loan Agreement, dated as of March 31, 2015 and entered into by the Corporation and the Company (the “Loan Agreement”), wherein the Corporation and Company memorialized the terms of a certain Loan made by the Corporation (as lender) to the Company (as borrower) in connection with the Company’s acquisition of the Primary Property and 88 King Street in the City of Troy, New York; and WHEREAS, in furtherance of the Company’s redevelopment of the Primary Property, the Company has requested the Corporation’s approval of certain modifications to the definition of “Project” and “Facility within the LDA and Loan Agreement to facilitate the Company’s application for and receipt of financing and low income housing tax credits through New York State Housing Finance Agency (“HFA”) and Division of Housing and Community Renewal (“DHCR”); and WHEREAS, the parties hereto desire to amend the LDA and Loan Agreement for the exclusive purpose of modifying to the definition of “Project” and “Facility within the LDA and Loan Agreement. NOW THEREFORE, for and in consideration of the premises and the mutual covenants hereinafter contained, and other good and valuable consideration the receipt and sufficiency of which is hereby acknowledged, the parties hereto formally covenant, agree and bind themselves as follows: Section 1. The definition of “Project” and “Facility” within the LDA and Loan Agreement are hereby amended to read as follows: The Project shall consist of: (A) the acquisition of the Primary Property and certain Secondary Properties (as defined herein) from the Corporation; (B) the planning, design, rehabilitation, construction, reconstruction and renovation of the Primary Improvements and upon the Primary Property and Secondary Properties of a mixed-use commercial facility that will include (i) 74 units of residential apartments, with (a) 24 of such units to be leased to households that, in accordance with the Internal Revenue Code of 1986, as amended (the “Code”) and applicable regulations promulgated by the United States Department of Housing and Urban Development (“HUD”) and New York State Housing Finance Agency (“HFA”) and/or Division of Housing and Community Renewal (“DHCR”), have no more than 90% of area median income (“AMI”) and (b) 6 of such units to be leased to households that have no more than 60% AMI, (ii) approximately 7,600 square feet of commercial and retail spaces on the first floor along with related amenities, along with renovations to the building structure, common areas, kitchen areas, laundry areas, heating systems, plumbing, roofs, elevators, windows, and other onsite and offsite parking, curbage and infrastructure improvements (collectively, the “Improvements”); (C) the acquisition and installation in and around the Primary Property, Secondary Properties and Improvements of certain machinery, equipment and other items of tangible personal property (the “Equipment”, and collectively with the Primary Property, Secondary Properties, Improvements and the Equipment, the “Facility”). Section 2. All other provisions of the LDA and Loan Agreement shall remain unchanged and in full force and effect. IN WITNESS WHEREOF, the Corporation and the Company have caused this Agreement to be executed in their respective names, all as of the date first above written. TROY LOCAL DEVELOPMENT CORPORATION By: _______________________________ William Dunne, Executive Director VECINO GROUP NEW YORK, LLC By: _______________________________ Name: Richard Manzardo Title: Authorized Member State of New York ) ) ss.: County of Rensselaer ) On the 11th day of September in the year 2015 before me, the undersigned, personally appeared William Dunne, personally known to me or proved to me on the basis of satisfactory evidence to be the individual(s) whose name(s) is (are) subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their capacity(ies), and that by his/her/their signatures on the instrument, the individual(s), or the person upon behalf of which the individual(s) acted, executed the instrument. Notary Public State of New York ) ) ss.: County of ) On the 11th day of September in the year 2015 before me, the undersigned, personally appeared Richard Manzardo, personally known to me or proved to me on the basis of satisfactory evidence to be the individual(s) whose name(s) is (are) subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their capacity(ies), and that by his/her/their signatures on the instrument, the individual(s), or the person upon behalf of which the individual(s) acted, executed the instrument. Notary Public

Agenda

Kevin O’Bryan, Chairman Andrew Ross, Vice Chairman Ken Zalewski Bill Dunne Deputy Mayor Pete Ryan TROY LOCAL DEVELOPMENT CORPORATION Board of Directors Meeting Planning Department Conference Room City Hall 433 River Street, Suite 5001 Troy, New York 12180 September 11, 2015 8:30 a.m. AGENDA I. Approval of Minutes from July 10, 2015 board meeting. II. Façade Improvement grant program (Bill)  160 1st Street, Jim & Heather Martin  164 1st Street, Jim & Heather Martin  2 Northern Drive, Old Daley Inn Catering  46 3rd Street ,Daily Grind  159 1st Street, Sandra Rouse  1E Industrial Pkwy, Hudson Mohawk Gateway  420 Grand Street, Mary C Nicklas III. BDAP Loan Application (Bill)  Ekologic, 1 Fulton Street  Troy Kitchen IV. Financial Services Consultant (Bill) V. Troy BID funding request (Bill) VI. Transport Troy funding request (Bill) VII. Victorian Stroll funding request (Bill) VIII. City of Troy funding request (Bill) IX. Former E-lot building use by City of Troy (Bill) X. Surveillance Notification Signs for King Fuels site (Bill/Andrew) XI. Temple University final product (Bill) XII. Financials XIII. Old Business XIV. New Business XV. Adjournment TROY LOCAL DEVELOPMENT CORPORATION Board of Director Meeting Minutes July 10, 2015 8:30 a.m. BOARD MEMBERS PRESENT: Kevin O’Bryan, Bill Dunne, Dep. Mayor Pete Ryan and Hon. Ken Zalewski ABSENT: Andy Ross ALSO IN ATTENDANCE: Joe Mazzariello, Monica Kurzejeski, Sharon Martin, Kelly Kendall, Ken Crowe, Justin Miller, Andrew Kreshik, Michael Flynn, Alane Hohenberg, Bernice Bornt Ledeboer, Mark Miller, Jennifer Krausnick, Mr. Manupella, Steven Bay, Steve Madden and Denee Zeigler Minutes D The Chairman called the meeting to order at 8:32 a.m. I. Minutes R The board reviewed the minutes from the June 12, 2015 board meetings. T Hon. Ken Zalewski made a motion to approve the June 12, AF 2015 board meeting minutes. Bill Dunne seconded the motion, motion carried. II. 50/50 Façade Grant Requests The Chairman advised that the façade grants have all been reviewed ahead of time. He asked if the board members had any of questions for the applicants before they vote. Mr. Zalewski asked Michael Flynn if he was the owner of 2 Washington Place. Mr. Flynn advised yes he has owned the property for a little more than a year. Mr. Zalewski noted that we recently approved a grant for one of his other addresses. Mr. Flynn advised that he wanted to try and get the work done for all of the properties while he had the equipment. Mr. Zalewski asked Mark Miller if he was the owner of 41 2nd Street. Mr. Miller advised yes. The Chairman asked if there were any other questions for the applicants and asked that they vote on all of the façade grants as one. Dep. Mayor Pete Ryan made a motion to approve the Façade grants listed below: 1  Michael Flynn, 2 Washington Place  Alane Hohenberg, 62 2nd Street  Bernice Bornt Ledeboer, 245 2nd Street  Mark, Miller, 41 2nd Street  Mary Manupella, 704 2nd Avenue  Steven Bay, 40 4th Street  DeVito Properties, LLC, 451 Hoosick Street  Jennifer Krausnick, 12 Parkview Court Hon. Ken Zalewski seconded the motion, motion carried. Mr. Dunne explained that each applicant will get an approval letter in the mail along with a checklist of items that will need to be collected. III. BDAP Loan request Steven Bay, 40 4th Street – The board reviewed the loan request form for Steven Bay for 40 4th Street. Mr. Dunne asked if he was asking for a loan in addition to the grant. Mr. Bay advised that he is looking for a loan to cover for the balance of the $5,000 façade grant. Mr. Zalewski asked if the $5,000 is his own money. Mr. Bay advised yes. Mr. Dunne clarified that the façade grant program requires that D the property owner is required to match the grant amount; the LDC is unable to provide the match. He advised that they may be able to meet and discuss the project R Hon. Ken Zalewski made a motion to table the BDAP loan for Steven Bay of 40 4th Street. Hon. Pete Ryan seconded the motion, motion carried. IV. BDAP Loan Resolutions T AF The board members reviewed the BDAP loan resolutions for Neil Pelone Architecture, PLLC, The Balance Loft and the Illium Café. Mr. Dunne advised the loans had been previously approved. The resolutions would finalize the process and allow for a closing date to be set. Bill Dunne made a motion to approve the BDAP loan resolution for Neil Pelone Architecture, PLLC in the amount of $15,000. (See attached Resolution 07/15 #1) Hon. Ken Zalewski seconded the motion, motion carried. Bill Dunne made a motion to approve the BDAP loan resolution for The Balance Loft, LLC in the amount of $20,517. (See attached Resolution 07/15 #2) Hon. Ken Zalewski seconded the motion, motion carried. Bill Dunne made a motion to approve the BDAP loan resolution for The Illium Café, LLC in the amount of $20,000. (See attached Resolution 07/15 #3) Hon. Ken Zalewski seconded the motion, motion carried. V. Scolite site Andrew Kreshik advised the site investigation for the pre-demolition survey has been completed and finalized. He advised the paperwork is ready to be 2 submitted to NYS DOL for the variance for the demolition. A variance will be needed in order to get an accurate demolition contractor cost. Mr. Dunne asked what the cost of the variance will be. Mr. Kreshik advised that it is approximately $3,000; which includes the cost for preparing the variance and NYS DOL filing fee. Mr. Kreshik advised that completing this survey helps lessen the burden of the government and creates an opportunity to reclaim this spot through a Brownfields opportunity grant. He added that the Scolite site is pending remediation by NYS DEC and they have been waiting to see if we would be able to take this building down before they move forward with remediation of this and four other sites in the area. Mr. Zalewski asked what kind of work will be done with this funding. Mr. Kreshik advised no construction work. The $2,600 is for the development of the variance and submittal fee to NYS DOL. He advised that the report will establish how the building will have to be taken down and will help determine demolition costs. Mr. Kreshik advised that this building has been a problem for a long time. It is not condemnable, but is a nuisance and attracts vandals. Hon. Ken Zalewski made a motion to authorize up to $3,000 for the preparation and submittal of a variance for the demolition of the building located on the Scolite site. Dep. Mayor Pete Ryan seconded the motion, motion carried. VI. D Former E-lot building Mr. Dunne advised the board that they have in front of them an asbestos survey for the building that E-lot was located. Mr. Dunne advised that they R are asking for up to $4,500 in order to see what type of exposure the building contains. Mr. Kreshik advised it is unlikely that there is a high exposure in this building. He added that having this proposal will be good information to have going forward with the National Grid remediation. T Bill Dunne made a motion to approve up to $4,500 for an AF asbestos survey of the former E-lot building on the King Fuels site. Dep. Mayor Pete Ryan seconded the motion, motion carried. VII. The Enchanted City Mr. Dunne introduced Susan Dunckel to the board to speak on behalf of her festival “The Enchanted City”. Mrs. Dunckel spoke to the board about the idea behind the steampunk festival held last year on lower River Street. She explained that she wanted to create an event that would be inviting for families with children and students. Mrs. Dunckel advised that one of the things that really caught people’s eye last year was an invention that her husband had made for the event. The Center of Gravity and Mohawk-Hudson Industrial Gateway suggested partnering with the event and holding an Inventor’s Challenge that could showcase our history as being the birthplace of the American Industrial Revolution and where we are going as a tech center. She advised that the Center of Gravity will assist with the Inventor’s Challenge and added that she would like to add a children’s inventor’s challenge. Mr. Dunne advised that this is a great way to showcase what is happening in this area with the creative class. Mr. Dunne noted that the Capital District seems to be a nexus 3 of Art and Technology and this would be a great way to support and encourage both of these ideas. Mrs. Dunckel advised they are asking for a $10,000 sponsorship. The board had a general discussion on the budget and what has been raised to date. Mr. Zalewski voiced concern with the holes in the budget and preferred for us to make a significant donation, but does not want to fill the gap. Dep. Mayor Pete Ryan made a motion to approve a sponsorship to Susan Dunckel d/b/a The Enchanted City in the amount of $10,000. Bill Dunne seconded the motion. Ken Zalewski voted no. Andy Ross was absent. Kevin O’Bryan, Bill Dunne and Dep. Mayor Pete Ryan voted yes, motion carried. VIII. Engineering Services Mr. Dunne spoke to the board about the upcoming CFA. He advised that there are several projects that the City plans on applying for. Monica Kurzejeski advised that there are several grant opportunities coming up that they plan on applying for. She advised they are planning on focusing on the D waterfront and how it will play out in our region. Mrs. Kurzejeski explained that there are five areas that we are looking at, but the waterfront will be our main focus. In order to have the projects shovel ready, they are asking for funding for design and engineering funding. Mrs. Kurzejeski advised the R funding would be used for finishing up Riverfront Park, Riverfront Park North Extension, Riverfront Park North Extension II, Green Island Bridge Gateway, Lansingburgh Waterfront and Ingalls Ave Boat Launch. The board asked if it has already been decided who will be used. Mrs. Kurzejeski advised that will T be using Chazan based on previous work done at Riverfront Park. She added that the total being asked for is $5,500 and includes reimbursable AF services. Mrs. Kurzejeski advised that the deadline is July 31st. Mr. Zalewski asked if this was the total amount needed. Mrs. Kurzejeski advised yes. Mr. Ryan asked about the boat launch in Lansingburgh. Mrs. Kurzejeski advised that there were conversations about possibly bringing some of the docks up there. Mr. Dunne advised that there is a pedestrian path that would potentially stretch from the boat launch to 126th Street. Mrs. Kurzejeski added that there would be natural spill over from the events that happen in Waterford. Mr. Dunne advised that the Troy LDC has committed funds for façade grants in that district. Mr. Ryan noted that the river provides different activities north of the dam. He added that it will be great to have the projects outlined for when the work it ready to be done. Mr. Zalewski wanted to clarify that this funding will be used by the Planning Department. Mrs. Kurzejeski advised yes for community improvements and economic development. Bill Dunne made a motion to approve $5,500 in funding to the City of Troy Planning Department for engineering and design services related to upcoming grant applications. Dep. Mayor Pete Ryan seconded the motion, motion carried. IX. Financials 4 Joe Mazzariello presented the financials to the board members. He advised that the activity has been consistent with last year. He noted the cash deposit held for $25,000 for Monument Square for a parking study. He advised the loans are current except for some late fees. The fixed assets section shows a large investment in the King Fuels site. The pre-paids are all as of June 30th. Accounts payable shows $25,000 due at the end of June 30th and shows all accounts current. Mr. Mazzariello advised there is about $195,000 in grants payable awaiting disbursement. The board had a general discussion on how the balance sheet is set up. Mr. Mazzariello noted that the amount listed under deferred revenue is the balance of the BEDI grant money and the deferred revenue is the Hudson River Natural products advanced rent payment Mr. Mazzariello presented the operating statement to the board members. He advised of the interest earnings, rent on real property and penalty charges on late payments. He pointed out that there is a negative amount listed for one of the sites due to E-lot’s agreement after leaving the site. Mr. Zalewski asked if we would see zero in this section from now on. Mr. Mazzariello advised Waste Connections is still at that site. Mr. Dunne wanted to note that there are four pools of money for the façade D grant program. We will work on breaking the grants down into their appropriate target areas and reallocate funds into the general grant account as needed. R Mr. Zalewski questioned why the sale of 444 River Street was broken out and listed in the income expense section. The board advised that it is a one shot payment and should be considered below the line. Mr. Miller advised there is a loan receivable on that as well. T Hon. Ken Zalewski accepted the financials as presented. AF Dep. Mayor Pete Ryan seconded the motion, motion carried. X. Old Business To-Do Development - Mr. Miller advised the board that we have been granted an order of foreclosure and have been assigned a receiver to deal with the property. Expect an auction of the building in the next month. Mr. Dunne advised that the main goal is to get all of the creditors paid. XI. Adjournment The Chairman asked if there was any other business to discuss. With no other items, the meeting was adjourned at 9:29 a.m. Hon. Ken Zalewski made a motion to adjourn the meeting. Dep. Mayor Pete Ryan seconded the motion, motion carried. 5 AUTHORIZING RESOLUTION (Neil Pelone Architecture, PLLC – Loan Agreement) A regular meeting of the Troy Local Development Corporation was convened on July 10, 2015, at 8:30 a.m. The following resolution was duly offered and seconded, to wit: Resolution No. 07/15 #1 RESOLUTION OF THE TROY LOCAL DEVELOPMENT CORPORATION AUTHORIZING (i) THE ISSUANCE OF A $15,000.00 LOAN TO NEIL PELONE ARCHITECTURE, PLLC WITH RESPECT TO A CERTAIN PROJECT (AS DEFINED HEREIN) AND (ii) THE EXECUTION AND DELIVERY OF A LOAN AGREEMENT AND RELATED DOCUMENTS. WHEREAS, The Troy Local Development Corporation (the “Corporation”) is a duly- D established, not-for-profit local development corporation of the State pursuant to Section 1411(h) of the Not-for-Profit Corporation Law (“N-PCL”) and a Certificate of Reincorporation filed on April 5, 2010 (the “Certificate”) established for the charitable and public purposes of relieving and reducing unemployment, promoting and providing for additional and maximum R employment, bettering and maintaining job opportunities, instructing or training individuals to improve or develop their capabilities for such jobs, by encouraging the development of, or retention of, an industry in the community or area, and lessening the burdens of government and acting in the public interest; and T AF WHEREAS, NEIL PELONE ARCHITECTURE, PLLC (the “Company”), has requested assistance from the Corporation in connection with a certain project (the “Project”) consisting of the use of working capital to acquire materials, equipment and services necessary to complete a tenant fit-up for a new office location located at 16 Second Street, 1st Floor, Troy, New York; and WHEREAS, in furtherance of the Project, the Company has requested financing from the Corporation in the form of a $15,000.00 Loan (the “Loan”) to assist the Company to undertake the Project; and WHEREAS, the Corporation desires to authorize the issuance of the Loan, the terms of which have been presented at this meeting, and approve the execution and delivery of a Loan Agreement (“Agreement”), along with related documents, to memorialize the terms and conditions by which the Loan shall be extended by the Corporation, including the repayment thereof and security therefore. NOW, THEREFORE, BE IT RESOLVED BY THE DIRECTORS OF THE TROY LOCAL DEVELOPMENT CORPORATION AS FOLLOWS: Section 1. The Corporation hereby authorizes the provision of the Loan to the Company in furtherance of the Project. The Chairman, Vice Chairman and/or the Chief Executive Officer of the Corporation are hereby authorized, on behalf of the Corporation, to execute and deliver a Loan Agreement, along with related documents (collectively, the “Loan Documents”), in such form as prepared and approved by counsel to the Corporation and as approved by the Chairman, Vice Chairman and/or the Chief Executive Officer. Section 2. The Secretary or Assistant Secretary of the Corporation are hereby authorized, where appropriate, to affix the seal of the Corporation to the Loan Documents and to attest the same, all with such changes, variations, omissions and insertions as the Chairman, Vice Chairman and/or Chief Executive Officer of the Corporation shall approve, and the execution thereof by the Chairman, Vice Chairman and/or Chief Executive Officer of the Corporation to constitute conclusive evidence of such approval. Section 3. The officers, employees and agents of the Corporation are hereby authorized and directed for and in the name and on behalf of the Corporation to do all acts and things required and to execute and deliver all such checks, certificates, instruments and D documents, to pay all such fees, charges and expenses and to do all such further acts and things as may be necessary or, in the opinion of the officer, employee or agent acting, desirable and proper to effect the purposes of the foregoing resolutions and to cause compliance by the Corporation with all of the terms, covenants and provisions of the documents executed for and R on behalf of the Corporation. Section 4. These Resolutions shall take effect immediately. T The question of the adoption of the foregoing Resolution was duly put to a vote on roll AF call, which resulted as follows: Yea Nea Absent Abstain Kevin O’Bryan [ X ] [ ] [ ] [ ] William Dunne [ X ] [ ] [ ] [ ] Hon. Kenneth Zalewski [ X ] [ ] [ ] [ ] Andrew Ross [ ] [ ] [ X ] [ ] Peter Ryan [ X ] [ ] [ ] [ ] The Resolution was thereupon duly adopted. 2 T AF R D AUTHORIZING RESOLUTION (The Balance Loft LLC – Loan Agreement) A regular meeting of the Troy Local Development Corporation was convened on July 10, 2015, at 8:30 a.m. The following resolution was duly offered and seconded, to wit: Resolution No. 07/15 #2 RESOLUTION OF THE TROY LOCAL DEVELOPMENT CORPORATION AUTHORIZING (i) THE ISSUANCE OF A $20,517 LOAN TO THE BALANCE LOFT LLC WITH RESPECT TO A CERTAIN PROJECT (AS DEFINED HEREIN) AND (ii) THE EXECUTION AND DELIVERY OF A LOAN AGREEMENT AND RELATED DOCUMENTS. WHEREAS, The Troy Local Development Corporation (the “Corporation”) is a duly- D established, not-for-profit local development corporation of the State pursuant to Section 1411(h) of the Not-for-Profit Corporation Law (“N-PCL”) and a Certificate of Reincorporation filed on April 5, 2010 (the “Certificate”) established for the charitable and public purposes of relieving and reducing unemployment, promoting and providing for additional and maximum R employment, bettering and maintaining job opportunities, instructing or training individuals to improve or develop their capabilities for such jobs, by encouraging the development of, or retention of, an industry in the community or area, and lessening the burdens of government and acting in the public interest; and T AF WHEREAS, THE BALANCE LOFT LLC (the “Company”), has requested assistance from the Corporation in connection with a certain project (the “Project”) consisting of the use of working capital to acquire materials, equipment and services necessary to complete a tenant fit- up for a new hot yoga and TRX fitness studio located at 11 State Street, Troy, New York; and WHEREAS, in furtherance of the Project, the Company has requested financing from the Corporation in the form of a $20,517.00 Loan (the “Loan”) to assist the Company to undertake the Project; and WHEREAS, the Corporation desires to authorize the issuance of the Loan, the terms of which have been presented at this meeting, and approve the execution and delivery of a Loan Agreement (“Agreement”), along with related documents, to memorialize the terms and conditions by which the Loan shall be extended by the Corporation, including the repayment thereof and security therefore. NOW, THEREFORE, BE IT RESOLVED BY THE DIRECTORS OF THE TROY LOCAL DEVELOPMENT CORPORATION AS FOLLOWS: Section 1. The Corporation hereby authorizes the provision of the Loan to the Company in furtherance of the Project. The Chairman, Vice Chairman and/or the Chief Executive Officer of the Corporation are hereby authorized, on behalf of the Corporation, to execute and deliver a Loan Agreement, along with related documents (collectively, the “Loan Documents”), in such form as prepared and approved by counsel to the Corporation and as approved by the Chairman, Vice Chairman and/or the Chief Executive Officer. Section 2. The Secretary or Assistant Secretary of the Corporation are hereby authorized, where appropriate, to affix the seal of the Corporation to the Loan Documents and to attest the same, all with such changes, variations, omissions and insertions as the Chairman, Vice Chairman and/or Chief Executive Officer of the Corporation shall approve, and the execution thereof by the Chairman, Vice Chairman and/or Chief Executive Officer of the Corporation to constitute conclusive evidence of such approval. Section 3. The officers, employees and agents of the Corporation are hereby authorized and directed for and in the name and on behalf of the Corporation to do all acts and things required and to execute and deliver all such checks, certificates, instruments and documents, to pay all such fees, charges and expenses and to do all such further acts and things as may be necessary or, in the opinion of the officer, employee or agent acting, desirable and D proper to effect the purposes of the foregoing resolutions and to cause compliance by the Corporation with all of the terms, covenants and provisions of the documents executed for and on behalf of the Corporation. Section 4. R These Resolutions shall take effect immediately. The question of the adoption of the foregoing Resolution was duly put to a vote on roll call, which resulted as follows: T AF Yea Nea Absent Abstain Kevin O’Bryan [ x ] [ ] [ ] [ ] William Dunne [ x ] [ ] [ ] [ ] Hon. Kenneth Zalewski [ x ] [ ] [ ] [ ] Andrew Ross [ ] [ ] [ x ] [ ] Peter Ryan [ x ] [ ] [ ] [ ] The Resolution was thereupon duly adopted. 2 T AF R D AUTHORIZING RESOLUTION (The Illium Cafe – Loan Agreement) A regular meeting of the Troy Local Development Corporation was convened on July 10, 2015, at 8:30 a.m. The following resolution was duly offered and seconded, to wit: Resolution No. 07/15 #3 RESOLUTION OF THE TROY LOCAL DEVELOPMENT CORPORATION AUTHORIZING (i) THE ISSUANCE OF A $20,000.00 LOAN TO THE ILLIUM CAFE WITH RESPECT TO A CERTAIN PROJECT (AS DEFINED HEREIN) AND (ii) THE EXECUTION AND DELIVERY OF A LOAN AGREEMENT AND RELATED DOCUMENTS. WHEREAS, The Troy Local Development Corporation (the “Corporation”) is a duly- D established, not-for-profit local development corporation of the State pursuant to Section 1411(h) of the Not-for-Profit Corporation Law (“N-PCL”) and a Certificate of Reincorporation filed on April 5, 2010 (the “Certificate”) established for the charitable and public purposes of relieving and reducing unemployment, promoting and providing for additional and maximum R employment, bettering and maintaining job opportunities, instructing or training individuals to improve or develop their capabilities for such jobs, by encouraging the development of, or retention of, an industry in the community or area, and lessening the burdens of government and acting in the public interest; and T AF WHEREAS, THE ILLIUM CAFE (the “Company”), has requested assistance from the Corporation in connection with a certain project (the “Project”) consisting of the use of working capital to acquire materials, equipment and services necessary to expand its current restaurant and kitchen into the vacant adjacent space located at 7 Broadway, Troy, New York; and WHEREAS, in furtherance of the Project, the Company has requested financing from the Corporation in the form of a $20,000.00 Loan (the “Loan”) to assist the Company to undertake the Project; and WHEREAS, the Corporation desires to authorize the issuance of the Loan, the terms of which have been presented at this meeting, and approve the execution and delivery of a Loan Agreement (“Agreement”), along with related documents, to memorialize the terms and conditions by which the Loan shall be extended by the Corporation, including the repayment thereof and security therefore. NOW, THEREFORE, BE IT RESOLVED BY THE DIRECTORS OF THE TROY LOCAL DEVELOPMENT CORPORATION AS FOLLOWS: Section 1. The Corporation hereby authorizes the provision of the Loan to the Company in furtherance of the Project. The Chairman, Vice Chairman and/or the Chief Executive Officer of the Corporation are hereby authorized, on behalf of the Corporation, to execute and deliver a Loan Agreement, along with related documents (collectively, the “Loan Documents”), in such form as prepared and approved by counsel to the Corporation and as approved by the Chairman, Vice Chairman and/or the Chief Executive Officer. Section 2. The Secretary or Assistant Secretary of the Corporation are hereby authorized, where appropriate, to affix the seal of the Corporation to the Loan Documents and to attest the same, all with such changes, variations, omissions and insertions as the Chairman, Vice Chairman and/or Chief Executive Officer of the Corporation shall approve, and the execution thereof by the Chairman, Vice Chairman and/or Chief Executive Officer of the Corporation to constitute conclusive evidence of such approval. Section 3. The officers, employees and agents of the Corporation are hereby authorized and directed for and in the name and on behalf of the Corporation to do all acts and things required and to execute and deliver all such checks, certificates, instruments and documents, to pay all such fees, charges and expenses and to do all such further acts and things as may be necessary or, in the opinion of the officer, employee or agent acting, desirable and D proper to effect the purposes of the foregoing resolutions and to cause compliance by the Corporation with all of the terms, covenants and provisions of the documents executed for and on behalf of the Corporation. Section 4. R These Resolutions shall take effect immediately. The question of the adoption of the foregoing Resolution was duly put to a vote on roll call, which resulted as follows: T AF Yea Nea Absent Abstain Kevin O’Bryan [ x ] [ ] [ ] [ ] William Dunne [ x ] [ ] [ ] [ ] Hon. Kenneth Zalewski [ x ] [ ] [ ] [ ] Andrew Ross [ ] [ ] [ x ] [ ] Peter Ryan [ x ] [ ] [ ] [ ] The Resolution was thereupon duly adopted. 2 T AF R D Scope of Work Building Address: I~D _ -r J 111' IV.1Ai-I I ~~.j"Yl'-'V I .,., ­ Contact Information:!"'" ~o/T)+-eI<C Phone:J It' r- 3 /1 (0..,,- Email: b..py~.h~II.v·I.Ar;;; J. <.S (Y1 cc- . ~ S v» I 1. Describe Proposed Work: (Please estimate amounts where applicable) Upgrade New New Repair Removal Estimate Existing Replacement Installation Existing Roofing Masonry Windows I Doors / . I I' I t./ D.o o Storefront Detailing I Restoration 1 I ~OO.'IV Painting I Siding IrDDO .J)rJ HandicapAccessibility Other: 1....,/( or ~ .5" so. d~ Total: /1.fLjo,OO 2. Attachments • Photographs of building - all sides & roof. if applicable. Detailed photos of problem Areasare recommended • Estimates/Quotes of proposed work • An estimated project schedule • Evidence of insurance I, the applicant, herebyagreeto performthe work in accordance with the permit guidelines established by Bureauof CodeEnforcement in the City of Troy. For properties located in the City of Troy's local HistoricDistrict,I herebyagree to performthe work in accordance with the historical technical specifications for maintenances and repairwork. q-l-/ (­ AppUeant's Signature Date Overview: Troy Kitchen is a gourmet food court, located in Downtown Troy. The concept pairs food vendors, music, wine, and craft beer to create a unique dining and entertainment experience. Guests of Troy Kitchen will be able to select from 4 permanent food vendors, a coffee bar, and a variety of craft beers and wines. The space will be not only a food destination, but also a sought out entertainment space in the Capital Region. The daytime target demographic includes the growing Downtown Troy workforce, as well as the various college students nearby. The afterhours and weekend crowd will extend to all reaches of people in the Capital Region that often find themselves in Troy's beautiful downtown for nightlife and a lively social atmosphere. Troy Kitchen will greatly benefit the modern day food entrepreneur, by reducing the barrier of entry into the industry, offering lower cost rent, and providing full access to an onsite commercial cooking facility. Food based businesses that may not have the capital to open an independent brick and mortar location will have the opportunity at Troy Kitchen to both produce and sell their product at a prominent central location in Downtown Troy. Each vendor in Troy Kitchen will employ a minimum of 3 people bringing the total number of minimum jobs created within Troy Kitchen to 18. Operations Summary: Troy Kitchen will be owned and managed by Troy Kitchen LLC. As an operator, Troy Kitchen LLC will rent 5 spaces to individual food and coffee vendors. Troy Kitchen LLC will operate a full beer and wine bar within the space. Each vendor will have full access to an on-site shared commercial kitchen, allowing them to prepare food to be sold at their vending stations. Vendors will pay a flat monthly fee. Hours of Operation: Vendors will be allowed access the space before and after the hours of operation for food preparation. Monday 12:00pm – 11:00pm Tuesday 12:00pm – 11:00pm Wednesday 12:00pm – 11:00pm Thursday 12:00pm – 11:00pm Friday 12:00pm – 11:00pm Saturday 12:00pm – 11:00pm Sunday 12:00pm – 11:00pm Troy Kitchen Pro Forma Vendor Rental Income Vendors Size SF Lease Per month Annual Troy Lobster 72 1 year $675 $8,100 Berben & Wolf (Vegan) 72 1 year $675 $8,100 Jon Ramen 72 1 year $675 $8,100 Le Crepe 72 1 year $675 $8,100 Stacks Espresso 60 1 year $475 $5,700 Total: 348 $3,175 $38,100 Beer & Wine Income Monthly $91,667 Annually $1,100,000 Troy Kitchen Lease Triple Net (NNN) Monthly Rent Annual Rent Lease in Years Annual Esc. $3,500 $42,000 7 2% Construction Loan Debt 100% Construction Cost: $50,000 Amount Financed Loan Amount Rate Total Interest Payback in years Monthly Annually 100% $50,000 4.50% $2,377.37 2 $2,182.39 $26,188.69 Troy Kitchen Annual Operating Expenses Building Taxes $18,000.00 Insurance $13,000.00 Bar Payroll $103,022.40 Trash $8,784.00 Utilities $30,000.00 Maintenance $6,000.00 Accounting & Legal $10,000.00 Lease $42,000.00 Construction Debt $26,188.69 $26,188.69 Alcohol product $330,000.00 Total $586,995.09 Troy Kitchen Projected Total Cash Flow Monthly $45,925.41 Annual $551,104.91 Startup Cost Construction Cost Breakdown Exterior Paint (50 Gallons) $1,200 Spray Paint $25 Canopy sheet metal cover $280 Painted Sign by local artist $400 Kitchen 4 Gas stoves $5,348 4 comp sink $1,540 Plumbing re attachment $105 Walk in cooler repair $5,700 kitchen hood inspection $135 Vendor Stations Vendor booth frames $1,860 Vendor booth sheet rock $480 4 hand wash sinks + plumbing $995 Vendor electricity & lighting $2,600 Bar Frame $277 Face & Bartop $2,100 Sink $260 Glass $1,545 Seating area Tables $4,580 Benches $2,000 Bar stools $1,400 Floor polyurethane $600 Epoxy $1,470 Lighting Interior Led Strips $1,600 Exterior bulbs $100 Sound system Speakers & base $2,700 Associated fees legal $5,400 Insurance $300 Misc $3,000 Marketing $2,000 Total: $50,000 Construction Repayment Schedule Construction Loan Data Principal $50,000 Loan Term (Years) 2 Interest Rate 4.50% Payments per year 12 Payment $2,182.391 Month (2 Years) Payment Interest Principal Principal Balance 0 $50,000 1 $2,182.391 $187.50 $1,994.89 $48,005.11 2 $2,182.391 $180.02 $2,002.37 $46,002.74 3 $2,182.391 $172.51 $2,009.88 $43,992.86 4 $2,182.391 $164.97 $2,017.42 $41,975.44 5 $2,182.391 $157.41 $2,024.98 $39,950.46 6 $2,182.391 $149.81 $2,032.58 $37,917.88 7 $2,182.391 $142.19 $2,040.20 $35,877.68 8 $2,182.391 $134.54 $2,047.85 $33,829.83 9 $2,182.391 $126.86 $2,055.53 $31,774.30 10 $2,182.391 $119.15 $2,063.24 $29,711.07 11 $2,182.391 $111.42 $2,070.97 $27,640.09 12 $2,182.391 $103.65 $2,078.74 $25,561.35 13 $2,182.391 $95.86 $2,086.54 $23,474.82 14 $2,182.391 $88.03 $2,094.36 $21,380.46 15 $2,182.391 $80.18 $2,102.21 $19,278.24 16 $2,182.391 $72.29 $2,110.10 $17,168.15 17 $2,182.391 $64.38 $2,118.01 $15,050.14 18 $2,182.391 $56.44 $2,125.95 $12,924.18 19 $2,182.391 $48.47 $2,133.92 $10,790.26 20 $2,182.391 $40.46 $2,141.93 $8,648.33 21 $2,182.391 $32.43 $2,149.96 $6,498.37 22 $2,182.391 $24.37 $2,158.02 $4,340.35 23 $2,182.391 $16.28 $2,166.11 $2,174.24 24 $2,182.391 $8.15 $2,174.24 $0.00 Erin Pihlaja Executive Director Downtown Troy BID 251 River St. Troy, NY 12180 Erin.Pihlaja@TroyBID.org 518.279.7997 August 31, 2015 Troy Local Development Corporation Board of Directors 433 River St. Suite 5001 Troy, NY 12180 To the esteemed Board of Directors of the TLDC: Please find attached a proposal for Troy Local Development Corporation’s sponsorship of 2016 Downtown Troy Business Improvement District programming. We believe that the mission of the TLDC and the Downtown Troy Bid align often and that the outlined programming specifically addresses components of the TLDC’s mission in the city of Troy. The Downtown Troy BID is a 501(c)3 dedicated to improving the quality of life in downtown Troy and its neighboring districts. We hope to expand our programming and services in 2016 while refining our existing programming to better meet the needs of residents, students, employees, business and property owners, and visitors to the city of Troy. The funding sought in this proposal with go directly towards accomplishing those goals. If you have any questions whatsoever regarding this proposal or the initiatives of the Downtown Troy BID, please do not hesitate to contact me at the above listings. Thank you in advance for your time and your consideration, Erin Pihlaja Executive Director 2016 Annual Sponsorship of the Downtown Troy Business Improvement District for the Troy Local Development Corporation Downtown Troy BID mission: The Downtown Troy BID is a 501(c)3 located in downtown Troy that strives to accomplish its organizational mission: “The BID cultivates and advocates the economic growth of Downtown Troy by creating an inviting, dynamic, and sustainable community that celebrates the City’s history while building towards its future. The BID is dedicated to improving the quality of life within the District to further enhance and make our community a vibrant, attractive destination for visitors, businesses, residents, property owners, the daily workforce, and students.” Excerpt from the Troy Local Development Corporation’s mission: The objective of the Tory Local Development Corporation is to construct, acquire, rehabilitate and improve buildings or sites and to assist financially with the construction, acquisition, rehabilitation and improvement of buildings or sites, for use by others, that are located in the City of Troy. From meeting with existing businesses and discussing how we can best support the retention of jobs, and facilitate growth and expansion, to attracting new investors who have the need to create new jobs and the desire to contribute to our commercial tax base, to reclaiming and redeveloping the most underutilized and under appreciated locations along our waterfront, the TLDC’s an active economic development agent of the City of Troy. The Downtown Troy BID, a 501(c)3 agency that works actively in Troy to better the quality of life in the city of Troy, seeks annual sponsorship for the TLDC totaling $25,000. The award would be used to fund the following programming: Title sponsor of the redevelopment of the Downtown Troy BID website to create a better tool for community outreach in Troy. As the downtown district continues to grow, the needs of the community grow with it. The BID, in its fourth year of funding, maintains a staff of four regular employees and struggles to keep up with community outreach. Our website (downtowntroy.org) is the main search result for “downtown Troy” and the second for “Troy, NY.” We are a gateway for many people looking into Troy and the current site fails to meet many of those initial inquiries, and the concerns of people living, working, and studying within the district. Yearly we receive over 250,000 page views and about half of our unique visitors are ages 18-34. The BID would like to use the momentum and traffic from the website to help better comment visitors to other Tory agencies within the city, including the City of Troy and the TLDC. Currently our site is not mobile- responsive, nor does it encourage student or resident engagement. Funding would be used to overhaul the existing website to make it easier to access both from a mobile device and from a desktop, and to build up the available content to include more forms for the reporting of quality of life issues (light outages, garbage/code/graffiti issues), to offer information and possible virtual tours of rental space, to include tourism attractions and self-guided tours, and to incorporate links to other non-profits and agencies in Troy. Also included would be revenue-building options within the website for sponsors of BID programs, which would hopefully grow our staff and programming to meet and expand our mission’s objectives for future years. Much of this overhaul would be used to expand the presence of already existing and proven programs such as our For Rent event, and Business Development pages. The TLDC would help fund the rebuild of the site and would be a title sponsor with logos and links within multiple pages over the course of one year, and then on the home page as a sponsor of the rebuild indefinitely. The TLDC could also have a section inside the site under business development and retention to outline TLDC programs, initiatives and link back through to TLDC materials. Presenting and title sponsor of the (TLDC) Revitalize Troy award at the BID Annual Dinner and Sammy Awards. The (TLDC) Revitalize Troy Award is given to someone who has taken on a challenging project in Troy and completed it to high standards and in a way that will have a positive impact on Troy. (One suggested nominee is David Bryce and the Tech Valley Center of Gravity of the Quackenbush project) Representatives would present this title award to winner at the event, be included in all printed and promotional materials at event, would receive a commemorative Sammy Award, and would receive a TLDC-sponsored table and 8 tickets included to event. Sponsorship would also include a special TLDC Sammy Awards ticket. Fifty tickets will be set aside at half price for small businesses and non-profit or community organizations to make it easier to attend this networking and celebratory event. Sponsorship of the following Business Development and Retention Committee events: Mysteries and Mayhem tour (Oct. 30 Troy Night Out) which partners with the Hudson-Mohawk Industrial Gateway and is an effort to promote tourism of Troy’s fabled and historically values properties. The tour would be documented with photographs and limited historic content on the new BID website with links to the Gateway to book in-person tours for the future. TLDC logo on all printed and promotional materials. Presenting sponsor of the For Rent event with an addition of a residential component and an after event symposium to offer prospective tenants funding options and other business tools. Presenting sponsor of our new Discover Troy event (will be in its 2nd incarnation). This was a huge hit and we could see this growing into a great program for the city. This is a great recruitment tool for companies who wish to offer their employee base a walkable, varied downtown such as Troy. TLDC Involvement could be used as a launch for development in other Troy areas as well. TLDC to have exhibition space to discuss past and upcoming projects and how they impacted Troy, and would be included on all printed and promotional materials. Title Sponsor of newly printed and updated Troy brochures and maps for 2016- 2017 The Downtown Troy BID acts as the Central Business Improvement District’s unofficial visitor’s center. We get requests for hundreds of maps and brochures from area hotels, schools, transit centers, and visitors yearly. Funding would go to print new maps to promote walkability and update and print a new brochure to highlight Troy as a destination city. These materials attract visitors and potential new residents, students, and businesses to Troy on a daily basis. TLDC’s logo would be on both printed materials and digital versions on web as a title sponsor. Presenting Sponsor of all 2016 Signature Downtown BID Special Events Yearly Presenting events sponsor (Troy Night Out, Restaurant Week, Chowderfest potential to 2015/2016, Rockin’ on the River, Pig Out, River Fest). Estimated visitors brought to Troy annually: 100,000 For each event: Measured Media  Presentation Rights “Presenting Sponsor, The Downtown Troy BID & the TLDC Present …”  Featured in print media including but not limited to The Times Union, Metroland, Troy Record  Featured on local radio stations as Presenting Sponsor. Including but not limited to Albany Broadcasting, Clear Channel, & WAMC.  Featured on web partners sites as Presenting sponsor In-House Media  Featured ID & Logo in Monthly ‘Downtown Happenings’ e-newsletter. Sent to over 7,200 readers per month  Featured ID & Logo linked from all event pages on Downtowntroy.org. Year round user views of nearly 250,000  Featured ID & Logo linked on all official social media pages such as Facebook, Instagram, Twitter Reach up to 20,000 individuals  Featured ID & logo on official event video uploaded to social media sites, YouTube and shared with media outlets.  Featured ID & Logo on official event posters displayed around the Capital Region  Featured ID & Logo linked on the official event page of the EventStroll app. 1,500 downloads to date On-Site Signage and Live Mentions  Featured ID & logo on official event programs  Featured ID & logo on the official T-shirt  Featured ID & Logo on (1) 10 x 3’ banner on event stage  Featured ID & Logo on (5) 4’ x 2’ banners throughout the event site  (8) sponsor mentions by emcee during each event  (1) 10 x 10 exhibit space on-site ($500 value)  VIP tent for Employees, Friends, Family in Events Stage Sight Line  Featured ID & Logo on event posters distributed throughout Capital District  Featured ID & Logo on event videos (average of 10,000 social media views per week) 48"w x 36"h 4"x4" posts

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