Innovative Transit Oriented Development April 4, 2014

Transcription

1 Innovative Transit Oriented Development April 4,

2 State of MARTA 9th largest transit system in U.S. Approximately 418,000 weekday boardings 4,536 total employees Major contributor to regional and state economy 2

3 State of MARTA: Challenges Employee furloughs Salary and wage freezes Reduced bus routes 131 to 91 Increased headways Closed some restrooms Fare increases Negative public perception 3

4 State of MARTA: MARTA Transformation Initiative Based KPMG audit results 5 year strategic Transformation Program focused on reducing costs and enhancing revenues through 12 initiatives Success measured by: 1. Employee/Customer Security and Value the business transformation must bring value to the organization, balanced with enhanced security to employees and customers. 2. Measurable Financial Results Each transformation initiative will define and deliver measurable savings that will enhance fiscal sustainability of MARTA's financial business model. 3. Earned Trust MARTA must earn the trust of its stakeholders with continuous and transparent communication. 4

5 TOD Overview MARTA s overarching strategic goals for Transit Oriented Development include: To generate greater transit ridership a natural consequence of clustering mixed-use development around stations and along corridors; To promote a sustainable, affordable and growing future for the people of Metro Atlanta; and To generate a return on MARTA s transit investment-through enhanced passenger revenues, greater federal support, and development on MARTA property. 5

6 TOD Overview: Lessons Learned Determine replacement parking needs prior to seeking proposals Identify funding sources for infrastructure needs Include performance clauses to incentivize subsequent phases, if appropriate Include appraisal resets keeps funding at market rates Identify ongoing manager as part of development team evaluation Identify retail partner in development team evaluation 6

7 TOD Overview: Policies 1. Joint Development Procurement and Land Disposition 2. Access to Stations 3. Parking and TOD 4. Affordable Housing 5. Sustainable Building Practices 6. Intergovernmental Activities 7. Participation in Station-Area Development Reviews 7

8 TOD Overview CURRENT JOINT DEVELOPMENT/TOD WORK PROGRAM RFP RELEASE TIMEFRAME Station RELEASED 6-12 MONTHS MONTHS 2-5 YEARS Brookhaven/Oglethorpe King Memorial Edgewood/Candler Park Avondale Medical Center Lindbergh Hamilton E Holmes Chamblee Lakewood/Ft. McPherson Kensington

9 King Memorial Station 4-acre site in City of Atlanta adjacent to Oakland Cemetery Entered into negotiations with Walton Communities in December 2013 Proposed development: 386 apartments 14,996 sf retail 334 parking spaces Open space 20% affordability -age restricted affordable senior living community Total project costs $57 million: % LIHTC award, private conventional debt, tax increment financing, private equity Challenge: poor connection to station Opportunities: well-located intown site, no replacement parking 9

10 Avondale Station 7.5-acre site in east Decatur Entered into negotiations with Decatur Development Authority / Columbia Ventures in March 2014 Proposed development: 530 apartments 74 condominiums 24,500 sf retail 792 parking spaces 20% affordability -age restricted affordable senior living community Total project cost: $95 million % LIHTC award, private conventional debt, soft subordinate debt, EB-5 mezzanine debt, private equity Challenges: 300 replacement parking spaces, bus intermodal relocation Opportunities: well-located intown site 10

11 Edgewood/Candler Park Station Executed Letter Agreement with Invest Atlanta in July 2013 Request for Proposals released on February 26 Proposals due April 28 Property characteristics: Approximately +/-5 acres on south side of station Includes one active parking lot (Lot 5) and an unused parking lot Walking distance of the Edgewood Retail Shopping Center to the west, the Schwan s Bakery to the east, with the surrounding community primarily consisting of residential uses Challenge: replacement parking spaces Opportunities: well-located intownsite, City of Atlanta proactively rezoning to MRC-3, Mixed Residential and Commercial 11

12 X-Team s Vision for the Future WORTH THE INVESTMENT