Title
Request City Council Direction Regarding Disposition of City-Owned Land at Northeast Corner of 16th Street and Buckeye Road
Description
This report requests City Council direction regarding the disposition of City-owned land at the northeast corner of 16th Street and Buckeye Road. Staff is in receipt of a memo (Attachment A) from Mayor Stanton, Vice Mayor Pastor and Councilman Valenzuela asking to place this item on the July 6, 2017, Formal Agenda.
Report
Summary
This approximately 28-acre site, purchased by the Aviation Department in the 1980s, is part of the Sky Harbor Center business park. The site fronts on 16th Street, Buckeye Road, and Sky Harbor Circle North. The property consists of vacant land as well as an historic building, the former Sacred Heart Catholic Church building. The land is zoned A-1, subject to a number of design standards related to the business park, and is surrounded by employment generating development principally focused on office, commerce park, and distribution uses. The Aviation Department’s Rental Car Center is located across Buckeye Road, south of this location.
The memo asks staff to be directed to begin negotiations with Chicanos Por La Causa (CPLC) regarding a long-term ground lease for the site, subject to the following terms:
- The exclusive negotiation period will occur for no longer than 90 days. At the conclusion of the negotiation period, staff shall provide an update to the Downtown, Aviation, Economy and Innovation Subcommittee and the full City Council and present potential lease terms for consideration and possible action.
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- Negotiated lease rates must deliver income at the current fair market value of the property as required by Federal Aviation Administration (FAA) regulations.
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- Development should focus on employment-generating uses with ancillary supportive community-serving uses such as retail, child care, health care and social service delivery. Parking, logistics and distribution as a primary use should not be considered.
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- The City and CPLC should make good faith efforts to engage with the Braun-Sacred Heart Center to consider them as a user for the Sacred Heart Church building and site, and any agreement should ensure that the historic church remains visible from 16th Street.
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- Any agreement should be consistent with the area’s Land Re-Use Plan and -- pursuant to FAA guidelines -- any use must be noise-compatible and cannot contain residential development or any FAA-restricted uses.
- The City and CPLC should outline a community engagement process to hear and consider feedback of local stakeholders.
Upon City Council direction, staff is prepared to begin negotiations with CPLC, subject to the above noted terms, and recognizing that all leases at the Aviation Department are subject to FAA rules and regulations.
Location
Northeast corner of 16th Street and Buckeye Road.
Department
Responsible Department
This item is submitted by Deputy City Manager Paul Blue.