Title
Demonstration Project Grant Application for Historic Dud R. Day Motor Company - Phoenix Motor Company Building, 401-447 W. Van Buren St. (Ordinance S-43529)
Description
Request to authorize the City Manager, or his designee, to enter into necessary agreements and conveyances related to a Historic Preservation Demonstration Project grant in the amount of $250,000. Further request authorization for the City Controller to disburse all funds related to this item.
Report
Summary
The request is to provide the ownership of SoHo on Van Buren, LLC, with a Historic Preservation Demonstration Project grant in the amount of $250,000 to assist with rehabilitation of the historic building. The total cost of the proposed work is $506,319 and the applicant will be responsible for the matching funds. The grant amount would be split between Historic Preservation Bond Funds ($75,000) and Community and Economic Development Downtown Community Reinvestment Funds ($175,000). Once completed, the former automobile dealership, constructed in 1930, will be converted to an 1,800-seat entertainment venue.
Contract Term
In exchange for the grant funds, the City will receive a 30-year conservation easement on the property. The conservation easement will require that the historic character of the property be preserved and that the property be insured and maintained in good condition. The contract also requires that 10 percent of the total grant be withheld as contingency until the grant-funded work is 100 percent completed.
Financial Impact
The City’s funding for this agreement is available in the Historic Preservation and Community and Economic Development CIP budgets. The applicant intends to match the $250,000 in City grant funds with approximately $3.5 million in private funds to complete the rehabilitation of the property.
Location
401-447 W. Van Buren St.
Concurrence/Previous Council Action
The Historic Preservation Commission recommended approval of this item on March 20, 2017. The Downtown, Aviation, Economy and Innovation Subcommittee recommended approval of this item on April 26, 2017, as a consent item by a vote of 3-0.
Department
Responsible Department
This item is submitted by Deputy City Managers Mario Paniagua and Paul Blue, and the Planning and Development and Community and Economic Development departments.