Business & Tech
Downtown Gateway Project Almost Final
Parking is still an issue, but otherwise plans for a mixed commercial and residential development received unanimous support from Dunedin commissioners.
Six years in the making, Gateway project is finally just one public meeting from becoming a key transformative development to downtown Dunedin.
But the almost-done deal did not come without some concern for parking and the legalities of approving a design that is not yet acceptable in code. City leaders also had some questions about the financial effects of the proposed incentive package, packed with unprecedented discounts, that help the project developers, Pizzuti Companies, get it rolling in a sluggish economy.
The $15 million project, which leaders hope sets a development trend, stands to have significant impact, not just architecturally. It would bring an estimated $952,000 to city coffers in its first year, according to city documents.
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City leaders cast their final vote in a second reading on the deal during a public hearing set for 7 p.m. on Aug. 15 at City Hall.
Commissioners unanimously agreed Thursday that the three-story, mixed retail, restaurant and apartment project planned for the years-vacant, 4.1-acre parcel at Main Street and Milwaukee Boulevard would fit into Dunedin’s charming downtown landscape, even though some critics say the building's design disregards city architectural codes that require a 10-foot setback on the top floor, creating a “wedding cake” effect. Its purpose is to prevent tall buildings from making downtown feel like a “canyon."
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City development officials have not yet written it into existence, but say they do plan to amend code language to allow for design exceptions should developers include awnings, balconies and outdoor seating that break up the building.
City Attorney Tom Trask said he wasn’t happy that the code wasn’t in place yet, but it was legal for the commission to approve the project as-is.
Parking — or lack thereof — was a major point of contention for Mayor Dave Eggers. Pizzuti intends to tuck a 207-space, shared parking lot for residents in the 124-unit apartment buildings and retail customers out of sight behind the storefronts. But with several city parking lots on the market, many officials and neighbors fearing it won't be enough for 124 high-end apartment residents and 24,000-square-feet of retailers.
Eggers threw around the idea of adding a parking deck to the Gateway development, but Pizzuti says it's a rather expensive feature considering it doesn't generate income for them.
Eggers criticized the city's codes that he believes make it more difficult for the developer to create what Dunedin residents want. Instead of building a parking deck, something residents are crying for, Pizzuti is required by city code to donate a more than $100,000 piece of land to be a passive park.
"That’s not even what we want for our own community," Eggers said.
Jim Russell, an official for Pizzuti, said they're planning a mix of businesses, retail and restaurants, that will attract cars at alternating times of the day. Retail shops would keep traditional 9 a.m. to 5 p.m. hours, while restaurants would keep later hours, he said. The company already have letters of intent for 40 percent of the retail-restaurant space, all of which would front Main Street.
The incentive package contained a slew of discounts and an unprecedented 25-year lease, with option to buy at its appraisal value, that concerned Julie Ward Bujalski, vice mayor, on one fine point.
The remaining city-owned, 1.31 acres of the Gateway parcel would be leased at a total price of $4.7 million over a 25-year period, unless Pizzuti buys it anytime within that period for $998,000, its appraisal value. Payments made toward the 25-year lease will be credited to the final sale price.
She appreciated the package because it helps Pizzuti push over the hurdles of getting started in a down economy, and also because the developers have worked closely with the city over the years and come up with a concept that, while may not be the most lucrative for them, was something that would fit Dunedin's criteria.
Bujalski just wanted it written into the agreement that if Pizzuti sold the property off, the next company wouldn't inherit the same good deal Dunedin gave Pizzuti.
"If they get a great buyer for the development I want to know the city is made whole at that time, not 25 years from now," she said, adding that she didn't want that lease to be a "carrot" for someone else to buy it.Legal counsels for both Pizzuti and the city will iron out more of the contract details before commissioners cast their final vote at second reading on Aug. 15, Trask said.
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