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Proposed Millworking District Status ReportTHE CITY OF DUB E ~~~ MEMORANDUM March 27, 2007 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Proposed Millworking Historic District -Status Report The City Council previously approved submission of a National Register Historic District nomination of the Millworking Historic District for those property owners who wanted to be in the District. Jeld-Wen and John White expressed opposition to being included. Jeld-Wen is at the southeast corner of the proposed district and can be left out of the nomination. John White's property, 955 Jackson Street, is in the middle of a block, and may not be left out as easily. Planning Services Manager Laura Carstens believes that John White's property needs to be in the district in order for the rest of the block to be included. I respectfully recommend Mayor and City Council approval to proceed with the nomination process with John White's property included. ,~2i< . ~ ~~ h1 ~ Michael C. Van Milligen MCVM/jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager Laura Carstens, Planning Services Manager 'i'H8 C1TY Ofi DuB E ~,°~-~~ MEMORANDUM March 23, 2007 TO: Michael C. Van Milligen, City Manager FROM: Laura Carstens, Planning Services Manager <~ RE: Proposed Millworking Historic District -Status Report Introduction This memorandum transmits a status report on the National Register nomination of the Millworking Historic District proposed by the Historic Preservation Commission (HPC) and the Envision 2010 Warehouse District Committee. Background In Phase III of the Historic/Architectural Survey/Evaluation, the Millworking Historic District was identified as a historic district eligible for the National Register of Historic Places. The Millworking Historic District is characterized by large red brick industrial buildings associated historically with the millworking industry in Dubuque. A map of the property owners in the proposed Millworking Historic District is enclosed. The Millworking Historic District lies within the Warehouse District identified as an expansion area for Dubuque Main Street, Ltd. In the City's 2004 Downtown Master Plan, the warehouse district is identified as an "area of influence" adjacent to the central business district. The Downtown Master Plan notes that the character of this warehouse district reflects an industrial-to-loft transition. The Envision 2010 Community Visioning Process selected revitalization of the Warehouse District as one of the top 10 ideas to be implemented by 2010. A stakeholder group has been meeting monthly to understand the resources, opportunities, and challenges to implementing this Envision 2010 goal. Proposed Millworking Historic District March 23, 2007 Page 2 Nomination to the National Register of Historic Places is proposed for the Millworking Historic District. A review of the reasons for and impacts of national Register listing are discussed below. National Register of Historic Places Listing in the National Register makes properties eligible for Federal and State historic preservation tax credits. Information on these tax credits is enclosed. Owners of properties listed in the National Register may be eligible fora 20% Federal investment tax credit for the certified rehabilitation of income-producing certified historic structures such as commercial, industrial, or rental residential buildings. The tax credits represent adollar-for-dollar reduction of federal taxes owed. This credit can be combined with astraight-line depreciation period of 27.5 years for residential property and 31.5 years for nonresidential property for the depreciable basis of the rehabilitated building reduced by the amount of the tax credit claimed. Federal tax deductions are also available for charitable contributions for conservation purposes of partial interests in historically important land area or structures. Owners of properties listed in the National Register may be eligible fora 25% State tax credit against the owner's state income taxes for certain rehabilitation costs. For a residential property, the cost of a qualified rehabilitation project must exceed either $25,000 or 25% of the fair market value (less the land value) - whichever is less. For commercial properties, the rehabilitation project must exceed 50% of the fair market value of the property (less the land value) before rehabilitation. Several properties located throughout Downtown Dubuque have taken advantage of these tax credits, including: Bricktown, Grand Opera House, Town Clock Building, Henry Stout Senior Apartments, the Ziepprecht and Bell Block Buildings (Heartland Financial project), and the Upper Main Historic District (Gronen Restoration project). Listing in the National Register, however, does not interfere with a private property owner's right to alter, manage or dispose of property. Under federal law, owners of private property listed in the National Register are free to maintain, manage, or dispose of their property as they choose provided that there is no Federal involvement. In a National Register Historic District, the property owners can continue to make interior and exterior improvements to their buildings as well as expand their operations and their facilities. No City reviews are required beyond what is presently needed for a building permit or site plan approval. The City's Historic Preservation Commission does not review exterior changes to properties. State Proposed Millworking Historic District March 23, 2007 Page 3 or Federal reviews are not required unless federal funding or a federal permit is part of a project, or if the property owner wants to use the State or Federal historic preservation tax credits. A property owner can demolish a structure in a National Register Historic District without review by the Historic Preservation Commission or the City Council. Listing of the Millworking Historic District on the National Register will foster opportunities for retention of existing businesses as well as recruitment and expansion of new businesses into the substantial floor space that the existing large warehouses offer. The existing industrial uses, and the growing adaptive reuse of these warehouses into office, commercial, entertainment, and even residential uses, can all continue with establishment of a National Register district. Discussion In January 2006, the HPC directed staff to initiate the process for nominating the Millworking Historic District to the National Register of Historic Places. After meeting with the Envision 2010 Warehouse District Committee and gaining their support, this request was reviewed and approved by the City Council in May 2006. The City Council has approved a budget of $10,000 from the Historic District Public Improvement Program (HDPIP) for hiring a consultant to prepare the Millworking Historic District nomination. In December, 2006, I sent a letter to all property owners in the proposed Millworking District after a meeting with Dan McDonald and Dan LoBianco. Dan McDonald then contacted the local plant manager at Jeld-Wen prior to my letter going out to the property owners. In January, 2007, t followed up with phone calls as needed for property owners that did not respond to my letter. The results are that only two are in opposition: Jeld-Wen (see enclosed fax) and John White. Jeld-Wen is at the southeast corner of the proposed district and can be left out of the nomination. Wayne Stewart's building will be left out as well. His building is non-contributing, so Wayne will not be able to use the preservation tax credits anyway. John White's property is in the middle of a block, and may not be left out as easily. I believe his property needs to be in the district in order for the rest of the block to be in. I am ready to proceed with submitting an RFP for the nomination process to be approved by the City Council. We would hire a preservation consultant to prepare the nomination, and then advocate for listing at the State and Federal levels. Proposed Millworking Historic District March 23, 2007 Page 4 We initially told the City Council we would proceed with the nomination for those property owners who wanted to be in a National Register Historic District. We need to decide how to proceed -- with or without John White. If the majority of private property owners in a proposed district objects to the nomination, the historic district cannot be listed in the National Register. In this case, only a minority have objected. Requested Action Please provide direction on how to proceed with the nomination process for the proposed Millworking Historic District. Enclosures cc Cindy Steinhauser, Assistant City Manager Dave Heiar, Economic Development Director Dubuque Main Street Limited Warehouse District F ~ ~~ ~ i~ -; ~~ ~1~ ,,.~ L-~ ~ %~C -~ CTI'Y OF ~LJUBi~QUE ~`"`~.~ h:1Planning ServiceslDistricts\Warehouse\GIS\Projeds\DMSL V1Farehouse District (zoning) 04_28_06 8.5 x 11 map DMSL Warehouse District C-4 Zoning District HI Heavy Industrial District .~ ~~ Potential Millworking -' Historic District Property Owners KEY POTENTIAL MILLWORKING HISTORIC DISTRICT PROPERTY OWNER - FINCEL, MICHAEL J JAKD LLC - JELD-WEN INC D!B/AJELD-WEN ® MABUSTH, STUART W & MARY P - MID AMERICA HOLDINGS MONTAGUE, RYAN ® PLASTIC CENTER INC DESIGN CENTER REDMOND, MARK S ® RETTENMAIER, JOHN STATE OF IOWA _ STEWART, WAYNE C TSCHIGGFRIE EXCAVATING CO -WAREHOUSE REDEVELOPMENT LLC O WHITE, JOHN H `a WILMAC PROPERTY COMPANY ~I ~1 I - _. 0 ,~ ,% .~ N ntial Millworking District Property Owners 12-22-2006 Base data provided by Dubuque County GIS 1 tl 6 Potential Mill working Hist oric Distric t -- Propert y Owne rs Building Property Owner Attention Mailing City State Zip Telephone Address Address 850 Fincel, Michael 850 Dubuque IA 52001 563-556- Jackson St. J. Jackson 0430 St. 168 E. 10 JAKD LLC Attn: 2448 Dubuque IA 52001 563-582- St. James D. Central 2662 Ave Ave. 250 E. 8 Jeld-Wen Inc Steven 250 E. 8 Dubuque IA 52001 563-557- St., 300E Wolf, St. 1603 9rn St. General Mana er 1098 Mabusth, Stuart 713 Dubuque IA 52001 563-582- Jackson & Mary Lincoln 0649 St., Ave. Washinq~ton ' &E. 11 St. 375 E. 9 Mid America Go Robert 1079 Elm Dubuque IA 52001 563-599- St. Holdin s Johnson St. 1102 975 Montague, Ryan 975 Dubuque IA 52001 319-294 Jackson St. Jackson 5360 St. 7 & Plastic Center Tony Pfohl 290 Main Dubuque IA 52001 563-583- Jackson, Inc. !Design St. 3526 750 White Center St. 898 Redmond, Mark 1905 Dubuque IA 52001 563-557- Jackson St. S. Asbury 1782 Rd. 220 E. 9 Rettenmaier, 1105 Dubuque IA 52001 563-583- St. John Loras 8876 Blvd. 221 E. 8 Stewart, Wayne P.O. Box East IL 61025 815-663- St. C. 49 Dubuque 0931 900 Tschiggfrie Ed 400 Dubuque IA 52001 563-557- Jackson St. Excavating Co. Tschiggfire Julien 7450 Dubuque Dr. 375 E. 9 Warehouse Go Robert 1079 Elm Dubuque IA 52001 563-599- St. Redevelopment Johnson St. 1102 LLC 955 White, John L. 409 Dubuque IA 52001 563-580- Jackson St. Burch St. 0957 801 Wilmac Property Tim 801 Dubuque IA 52001 563-556- Jackson Co. McNamara Jackson 8881 St., 1000 St. Jackson St. JELDiNEN Wood Fiber Dmisian zgo East 8~ St. Dubuque, IA szom•7oy9 USA 563 557.3603 Te! 563 557-9737 Fax www.jeld•wen.com I0 3~Jdd FAX TRAp5MtSS10N Date: January I8, 2047 To: Laura Carstens Tel: S 89-4210 Fax: 589-4221 Pages (+ cover); I lte: proposed 1Vlillworldr-g Historic District From: Steve Wolf Tel.: 563-557-1603 Fax: 563-557-9732 CONF~ENT W.lTY NOTICE: THIS MESSACaE IS INTENDED FOR THE USE OF THE p~glVlp{JAL OR ENTn'Y TO WNICM, IT IS ADDRESSED AND MAY CONTAMI MIFORMATION THAT 18 pR1Yll.E('IED, OONFIDENTUIL AND PROTECTED BY LAW. IF YOU ARE NOT THE INTENDED RECIPIENT OR AGENT RESPONSIBLE FOR DEWERING THE MESSAGE TO THE INTENDED RECIPIENT, YOU ARE NEREBY NOTIFIED TMIAT ANY DISSEMINATION, DISTRIBUTION, OOPYING, OR TAKING OF ANY OTHER ACTION W RELIANCE ON THE CONTENTS OF THIS COMMUNICATION IS PROHIBITED, lF YOU HAVE RECE11tE0 7Ni$ GOMMUNICA'1'ION IN ERROR, PLEASE NOTIFY US IMM®uITELY eY TELEPfIOtdE Ate RETURN TF1E ORIGINAL MESSAt3E TO US AT THE ABOVE ADDRESS. THANK YOU. Dear Ms. Carstens, We received your letter inviting us to join the Millworking Historic District. We appreciate the invitation to join, but after much discussion with out Corporate Group we have decided to decline. We will not be interested in joining the Millworking Historic pistrict. We do want to express ooncem in developing these properties into residential areas, since we are zoned heavy industrial. Our experience shows that having these two types of areas next to one and other usually leads to problems. l hope that the Planning Services Department considers these things as they look at this type of development. Thank you for the consideration. Best ar s, teven oJf Genera! Manager ~EL6L59E95 L0~80 L00Z/8t/Z0