HMD Work Session Slide PresentationHistoric MiIIwQrk 'istrict
City Council Work Session June 17, 2013
History of the Millwork District
• Area was once the largest concentration of Millworking in
the Nation
• Late 1800s early 1900s
• Most closed in the 1960s and 1970s
• Decades of disinvestment
• Poor infrastructure
• Over 1 million square feet
underdeveloped
Area has sat mostly vacant since that time
J. P. FARLEY, Preadent.
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Sash, Boors, Blinds, Mouldings, Brackets, Stair and Church Work
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French and Amrrlran Platt. and Window Maus, and Building t'npper. A large stock of Alr- SenannM Ilardwnod Lumber ronatantl7 on
hand, aueh as Aa, Mark Walnut, Butternut, Red Oak, Maple and Uhrrry.
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OEIrc and Fedor,' Southwest Corner Eighth and Jadaoa yta., DUBUQUE, IOWA.
Community Visioning - 2005/2006
•
ertJf5iOv FINAL 10 IDEAS
TEN COMMUNITY PROJECTS BY 2010
• America's River Phase II
• Bilingual Education Curriculum
• Community -wide Wireless
• Community Health Center
• Indoor /Outdoor Performing Arts Center
• Integrated Walking / Biking/Hiking Trail System
• Library Services Expansion
• Mental Health and Substance Abuse Services
• Passenger Train Service
•
Warehouse District Revitalization
Strong Urban Core
Historic Millwork District Master Plan
2008 -2009
• Mixed use
• Over 700 residential units /350,000 sq. ft. of Commercial
Space
• Infrastructure improvements /Complete Streets
• Improved traffic flow (one way to two way)
• Live, Work, Play
• Additional Parking Needs
• Green Space
• Hub for Art's Community
• Sustainable Development
Millwork District is Sustainable
"The most sustainable building is the one that
is already built."
Richard Moe, President
National Trust for Historic Preservation
SUSTAINABLE
DUBUQUE
viable - linable - equitable
Millwork District
CP
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Project Size: 72 Residential Units • 35,000 SF Commercial /Retail Space •
18,000 SF Arts /Non - profit Center
Project Cost: $28,000,000
Projected Tenant Improvement: $3,000,000
/State Historic Tax Credits
•$599,438
/Federal Historic Tax Credits
•$4,795,504
/Community Development Block Grant
•$10,237,200
/City Development Agreement
/Construction Financing
/Permanent Financing
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• Construction completed
August 2012
• Lease -up began
September 1, 2012
• Currently at 74% occupancy
• Additional applications pending
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Strategic Tenant
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Novelty Iron Works
2nd Major Building — Poised to Launch
1— Predevelopment is Complete
2 — Final Two Sources Secured:
- New Market Tax Credits
- Long Term Debt Financing
3 — Development Agreement ready
for Council consideration
4 — Delivery Team Assembled
Intermodal
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Foundry Square
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Novelty Iron Works
South Facade
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Novelty Iron Works — Project Overview
The redevelopment was divided into two major phases that will be carried out
back -to -back assuming absorption meets plan in Phase One.
NIW Complex - Project Scope Highlights:
- 261,000 total gross SF
- 82,971 net SF commercial
- 112 apartments
- 61,500 SF parking (indoor and outdoor)
Phase 1:
Phase 1: 154,303
42,835
Phase 1: 76 units
Phase 1: 112 spaces
100% Market Rate Apartment Pricing & Average Sizes:
- One Bedroom /One bath $800 /month
- Two Bedroom /Two bath $1100 /month
- Three Bedroom/Two-Three bath $1400 /month
Commercial Space Pricing:
- Base price - average $10.00/SF /year
- CAM /taxes /insurance $ 2.50/SF /year
780 SF
1,150 SF
1,350 SF
Novelty Iron Works — Project Overview
OUR EXTENDED TEAM: INVESTORS, ADVISORS, DELIVERY PARTNERS:
AIIan Thoms — Cedar Rapids (investor and advisor)
Eliot Protsch — Cedar Rapids (investor and advisor)
Charles Stoltz — Dubuque (investor and advisor)
Russell Construction — Davenport (investor /Construction Manager)
Modern Plumbing — Cedar Rapids (investor /plumbing contractor)
Giese Companies — Dubuque (investor and HVAC contractor)
BSSC — Quad Cities (investor and walls and floors contractor)
Deloitte /Novogradac — Washington, DC — Entity Strategy, Accounting, Closing
US Bank — St. Louis — NMTC & Federal HTC Investor
DavisBrown — Des Moines — Closing legal representation
MFA PLLC — Kingsport, TN — Historic Consultant /SHPO Park Service liaison
IIW Architects and Engineers — Dubuque — Architect and Engineer of Record
The GYM — Novelty Iron — Strategic Partner
Committed long term partner to Novelty Iron vision
Early Mover
- Established at Novelty Iron in 2008,
- Acquired in 2010
Full Service Fitness Center
- State of the art fitness equipment
- Cross -Fit facility
- Mixed Marshal Arts facility
- Spin studio and multiple class offerings
- Juice /Smoothie Bar
WILMAC PROPERTY CO.
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LINSEED OIL
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901 Jackson (Betty Building)
WILMAC PROPERTY CO.
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Project Size: 4 floors • 16 residential units
Anticipated Project Cost: $4,355,000
State Historic Tax Credits
• $900,000 awarded in 2009 (Expires Oct. 2014)
Based upon preliminary project costs of $3,600,000
VFederal Historic Tax Credits
• $780,000
❑Community Development Block Grant
• Request submitted for: $2,248,813
VCity Development Agreement
VConstruction Financing (Subject to Award of CDBG Funding)
VPermanent Financing (Subject to Award of CDBG Funding)
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Betty Building
Pre - development
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✓ Schematic Drawings
❑ Design Development
❑ Construction Drawings
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Project Size: 68 units • 185,000 sq. ft. of Commercial /Residential Space
Anticipate Project Cost: $28,000,000
State Historic Tax Credits
•$6,250,000 awarded in 2009 (Expires Oct. 2014)
Based upon preliminary project costs of $25,000,000
❑Federal Historic Tax Credits
✓City Development Agreement
❑Construction Financing
❑Permanent Financing
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Project Size: Approx. 5,000 sq. ft.
Anticipate Project Cost: $2,623,425
✓State Historic Tax Credits
• $500,000 awarded in 2012 (Expire Sept. 2017)
Based upon preliminary project costs of $25,000,000
VFederal Historic Tax Credits
• $400,000
❑City Development Agreement
❑Construction Financing
❑Permanent Financing
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Power Plant
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✓ Programmatic Design
✓ Schematic Drawings
✓ Design Development
❑ Construction Drawings
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Project Size: Approx. 5,000 sq. ft.
Anticipate Project Cost: Unknown
✓State Historic Tax Credits
• $400,000 awarded in 2009 (Expires Oct. 2014)
Based upon preliminary project costs of $1,600,000
VFederal Historic Tax Credits
• $320,000
❑City Development Agreement
❑Construction Financing
❑Permanent Financing
✓ Programmatic Design
✓ Schematic Drawings
❑ Design Development
❑ Construction Drawings
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Historic Millwork District
Complete Streets Project
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Phase 1 was completed in 2032,
Phase 2 will begin with the
reconstruction of 7th Street between
Iowa Street and Washington Street
Historic Millwork District 0
Schedule for Projects
Schedule Budget
9th, 1 0th, 11th One -way to Two -way
Aug 2013 — June
2014
$ 1,5001000
Elm Street Recon (9th — 12th) Aug 2013- Dec 2013 $ 1,277,020
White Street Resurfacing Apr 2014 — July 2014 $ 1,080,000
Historic Millwork District 0
Improvements
9th, 10th,11t , Elm and
Pine Street One -way to
Two -way Conversion
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Federal
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9th, 10th, 11th, Pine 1 -way to 2 -way
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Improvements
Elm Street
Reconstruction (9th to
12th Streets)
Budget
Federal
Funding
Elm Street Reconstruction
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Historic Millwork District
Improvements
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MARCH 22
CARADCO BUILDING I CORNER OF JACKSON AND 10TH STREET
6:30 -7:30 CITY AT WORK EXHIBIT NEW IMAGES
TOUR OF THE CARADCO BUILDING
HORS D'OEUVRES & CASH BAR
7130 -9130 MUSICAL PERFORMANCE
TICKETS ARE AVAILABLE ONLINE AT
WWW.SEATYOURSELF .BIZ /RISINGSTARTHEATRECOMPANY
512- PREMIUM TICKET. WHICH INCLUDESA RESERVED SEAT
SIS - GENERAL ADMISSION AT THE DOOR
'PRICES DO NO1 INCLUDE POSSIBLE SERVICE CHARGES
QUESTIONS? CALL 563.588.4400.
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Resource Development
Grants /Tax Credits Awarded
• State:
— Great Places: $150,000
— Historic Tax Credit: $14,000,000
— Brownfield /Greyfield: $1,000,000
• Federal:
— CDBG: $10.2 million
— TIGER: $5.6 million
— Intermodal: $8 million
— EPA Brownfield Assessment: $400,000
— Historic Tax Credit: $11,200,000
— New Market Tax Credit: $27,750,000
SMARTGROWTH
DEVELOPMENT
Partnership with Smart Growth
Development
Established in 2008, Smart Growth Development, is a Iowa non - profit bi- partisan
coalition that advocates for policies promoting smart growth practices with historic
rehabilitation at its core.
Smart Growth Development boasts a diverse membership — developers, municipalities,
Main Street programs, Chambers of Commerce, architects, contractors, accountants,
attorneys, preservation organizations, and economic development groups.
Key Achievements
*Increase in the annual Historic Tax Credit Cap from $2OMM to $5OMM
*Additional 24 months from projects to be placed in service
*Addition of "Disproportionate Allocation" for State Historic Tax Credits
*Increase in Historic Tax Credit Small Project Fund Cap
2013 Legislative Success
• SF436
— Redefines "Substantial Rehabilitation"
• Opens program to more projects
— Small Project Cap Raised to $750,000
• Many main street projects now qualify
— 12 month extension
• 50% of QRE threshold
• Historic Tax Credit Cap Increase
— $55million /yr for FY15, 16, 17
— $50 million /yr beginning in FY18
State Legislative /Policy Priorities
• LIHTC Per Unit Cost Cap Increase
— Cap was lowered in 2012
• 1 bedroom reduced to $150,000
• 2 bedroom reduced to $175,000
— Limits ability to provide "Quality" units
• No inventive for projects to use credit
• Funding for "Workforce Housing"
— Iowa Finance Authority directed grant program
— 80% to 120% of AMI
— State level program authorized but has no
appropriation
Federal Legislative /Policy Priorities
• Boardwalk Ruling Guidance
— Court ruling has led to banks freezing investments.
— SGD & city staff and private partners are actively
working with NTHP and Obama administration.
• Preservation of the Federal Historic Tax Credit
— Real threat to the program exists.
— Working with IA Congressional Delegation, NTHP,
Congressman Kind and Chairman Camp.
Millwork District Awards
• Millwork District Redevelopment:
— "From industrial wasteland to hip hangout: 10 choice
neighborhoods." by MSN Real Estate.
— Millwork District Master Plan: "2009 Best Leadership
Award" by 1000 Friends of Iowa.
— Millwork District Branding: "2013 Best Image
Promotion Campaign" by Dubuque Main Street.
Millwork District Awards
• Complete Streets Project:
— "Top 10 Roads of 2012" by Roads and Bridges
Magazine.
— "Project of the Year in Transportation" by the IA
chapter of the American Public Works Association.
— "2013 Best Public Improvement Project" by Main
Street Iowa.
Millwork District Awards
• CARADCO:
— "2013 Best Total Rehabilitation Project over
5,000sgft." by Main Street Iowa.
— 2013 Ken Kringle Historic Preservation Award.