HomeMy WebLinkAboutORD 5416CITY OF RENTON,WASHINGTON
ORDINANCE NO.5416
AN ORDINANCE OF THE CITY OF RENTON,WASHINGTON,
DESIGNATING A PLANNED ACTION FOR SUB-DISTRICT I-B OF THE
BOEING RENTON PLANT PROPERTY,AN APPROXIMATELY 51
ACRE PARCEL BOUNDED BY LOGAN AVENUE N.,GARDEN
AVENUE N.,NORTH 8TH STREET,AND 6TH STREET.
WHEREAS,RCW 43.21C.031 and WAC 197-11-164,-168,and -172 allow and
govern the application of a Planned Action designation;and
WHEREAS,an Environmental Impact Statement (EIS)entitled the "Boeing Renton
Comprehensive Plan Amendment EIS"has been prepared to study the impacts of redeveloping a
portion of Boeing's Renton Plant property;and
WHEREAS,the EIS analyzed the potential environmental impacts of mixed-use
development on that portion of the Boeing Renton Plant known as Sub-District 1-B (see Exhibit
A);and
WHEREAS,by Ordinance No.5026,the City has amended the Comprehensive Plan
Land Use Map for the Boeing Renton Plant from Employment Area -Industrial (EA-I),
Employment Area -Transition (EA-T)and Employment Area Office (EA-O)to Urban Center
North (UC-N);and
WHEREAS,by Ordinance.No.5027,the City has amended the Zoning Map for the
Boeing Renton Plant from Center Office Residential (COR)and Commercial Office (CO),to
Urban Center North 1 (UC-Nl);and
WHEREAS,in 2003,the City and Boeing entered into a Development Agreement based
on the analysis in the EIS,which is recorded under King County recording number
20031210001637 ("Boeing Development Agreement");and
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ORDINANCE NO.5416
WHEREAS,on November 7,2005,the City approved a Conceptual Plan for Sub-
District 1-B ;and
WHEREAS,on October 20,2008,the City approved an Amended Conceptual Plan for
Sub-District 1-B ("Amended 1B Conceptual Plan"),attached as Exhibit B;and
WHEREAS,an Environmental Consistency Analysis has been prepared for Sub-District
1B,which compares the Amended 1B Conceptual Plan to the range of development alternatives
analyzed in the EIS;and
WHEREAS,this Ordinance designates certain land uses and activities within Sub-
District 1-B as "Planned Actions"that are consistent with the Urban Center North 1 (UC-Nl)
designation and zone;
NOW,THEREFORE,THE CITY COUNCIL OF THE CITY OF RENTON,
WASHINGTON, DOES ORDAIN AS FOLLOWS:
SECTION I.Purpose.The City of Renton declares that the purpose of this
ordinance is to:
A.Set forth a procedure designating certain project actions within Sub-District 1-B
as "Planned Actions"consistent with state law,RCW 43.21 C.031;and
B.Provide the public with an understanding as to what constitutes a Planned Action
and how land use applications which qualify as Planned Actions within Sub-District 1-B will be
processed by the City;and
C.Streamline and expedite future land use permit review processes for development
in the Sub-District 1-B area that is consistent with the Amended 1B Conceptual Plan by relying
on existing detailed environmental analysis for this area.
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ORDINANCE NO.5416
SECTION II.Findings.The City Council finds that:
A.The EIS addresses all significant environmental impacts associated with the
scenarios described in the EIS for Alternatives 1,2,3,and 4 as referenced therein,and the
Amended 1B Conceptual Plan is encompassed by and consistent with those Alternatives;and
B.The mitigation measures contained in the Boeing Development Agreement,
together with the City's development standards,and standard mitigation fees (Parks,Fire and
Traffic),are adequate to mitigate any significant adverse environmental impacts of development
pursuant to the Amended 1B Conceptual Plan;and
C.The expedited permit review procedure set forth in this Ordinance is and will be a
benefit to the public,will protect the environment,and will enhance economic development;and
D.Opportunities for public involvement have been provided as part of the
Comprehensive Plan redesignation,the Boeing Plant rezone,the EIS,and the Conceptual Plan
review and approval process for Sub-District I-B.
SECTION III.Designation of Planned Action;Procedure and Criteria for
Evaluating and Establishing Projects as Planned Actions.
A.Planned Action Designated.The Planned Action designation shall apply to the
Sub-District I-B site,as shown on Exhibit A,and associated off-site improvements.Uses and
activities described in the Amended IB Conceptual Plan,attached as Exhibit B,subject to the
thresholds described in Alternatives 1,2,3,and 4 analyzed in the EIS,and subject to the
mitigation measures required by City Codes or contained in the Boeing Development
Agreement,are designated Planned Actions pursuant to RCW 43.21.C.031.Additionally,the
Planned Action designation shall apply to any off-site improvements necessitated by the
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ORDINANCE NO.5416
proposed development on Sub-District 1B,where the off-site improvements have been analyzed
in the EIS.
B.Environmental Document.A Planned Action designation for a site-specific
permit application shall be based on the environmental analysis contained in the EIS.The
Development Agreement,together with existing City codes,ordinances,standard mitigation fees,
and standards,shall provide the framework for a decision by the City to impose conditions on a
Planned Action project.Other environmental documents incorporated by reference in the EIS
may also be utilized to assist in analyzing impacts and determining appropriate mitigation
measures.
C.Planned Action Review Criteria.
1.The Director of Development Services,or the Director's designee,is
hereby authorized to designate a project application as a Planned Action pursuant to RCW
43.21C.031(2)(a),if the project application meets WAC 197-11-172 and all of the following
conditions:
(a)The project is located on Sub-District 1-B,or IS an off-site
improvement directly related to a proposed development on Sub-District 1-B;and
(b)The project is consistent with the Renton Comprehensive Plan
adopted under RCW 36.70A;and
(c)The Director has determined that the project's significant
environmental impacts have been adequately addressed in the EIS by reviewing the
environmental checklist or other project review form as specified in WAC 190-11-315;and
(d)The project complies with the Planned Action threshold described
in this Ordinance;and
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ORDINANCE NO.5416
(e)The Director has determined that the project's significant impacts
have been mitigated through the application of the Boeing Development Agreement,as well as
other City requirements,standard mitigation fees,and conditions,which together constitute
sufficient mitigation for any significant environmental impacts associated with Sub-District I-B
development;and
(f)The proposed project complies with all applicable local,state and
federal regulations,and where appropriate,needed variances or modifications or other special
permits have been requested;and
(g)The proposed project is not an essential public facility.
D.Effect of Planned Action.
1.Upon designation by the Director that the project qualifies as a Planned
Action,the project shall not be subject to a SEPA threshold determination,an environmental
impact statement (EIS),or any additional review under SEP A.
2.Designation as a Planned Action means that a proposed project has been
reviewed in accordance with this Ordinance,and found to be consistent with the development
parameters and environmental analysis included in the EIS.
3.Planned Actions will not be subject to further procedural review under
SEP A.However,projects will be subject to conditions designed to mitigate any environmental
impacts which may result from the project proposal,and projects will be subject to whatever
permit requirements are deemed appropriate by the City under State and City laws and
ordinances.
4.Amendments of the approved Amended Sub-District IB Conceptual Plan
may be approved administratively,so long as such amendments remain consistent with the spirit
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ORDINANCE NO.5416
and intent of the adopted Plan.For development of Sub-District IB qualifying as a planned
action pursuant to this Ordinance,a proposed amendment of the Amended Sub-District IB
Conceptual Plan is consistent with the adopted Plan's spirit and intent if such amendment does
not exceed the maximum development parameters analyzed in the EIS.If amendments of the
Amended Sub-District IB Conceptual Plan exceed the maximum development parameters
reviewed in the EIS,supplemental environmental review may be required under the SEP A rules.
E.Planned Action Permit Process.The Director shall establish a procedure to
review projects and to determine whether they meet the criteria as Planned Actions under State
laws and City codes and ordinances.The procedure shall consist,at a minimum,of the
following:
1.Development applications shall meet the requirements of RMC Chapters
4-8 and 4-9.Applications shall be made on forms provided by the Department and shall include
a SEPA checklist or revised SEPA checklist [where approved through WAC 197-11-315(2)]or
such other environmental review forms provided by the Department of Community and
Economic Development.The checklist may be incorporated into the form of an application.
2.The Director shall determine whether the application is complete as
provided in RMC Chapter 4-8.
3.If the project application is within Sub-District I-B,the application shall
be reviewed to determine whether the proposed application is consistent with and meets all of the
qualifications specified in Section III of this Ordinance.
4.Upon review of a complete application by the City,the Director shall
determine whether the project qualifies as a Planned Action.If the project does qualify,the
Director shall notify the applicant,and the project shall proceed in accordance with the
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ORDINANCE NO.5416
appropriate permit procedure,except that no additional SEPA review,threshold determination,
or EIS shall be required.
5.Public notice for projects that qualify as Planned Actions shall be tied to
the underlying permit.If notice is otherwise required for the underlying permit,the notice shall
state that the project has qualified as a Planned Action.If notice is not otherwise required for the
underlying permit,no notice is required.
6.If a project does not qualify as a Planned Action,the Director shall notify
the applicant and prescribe an appropriate SEPA review procedure consistent with City SEPA
procedures and state laws.The notice to the applicant shall describe the elements of the
application that result in disqualification as a Planned Action.
7.Projects disqualified as a Planned Action may use or incorporate relevant
elements of the EIS,as well as other environmental documents to assist in meeting SEP A
requirements.The Environmental Review Committee may choose to limit the scope of the
SEP A review to those issues and environmental impacts not previously addressed in the EIS.
SECTION IV.Validity Period.This Planned Action Ordinance shall be
reviewed no later than December 31,2018,by the Development Services Director to determine
its continuing validity with respect to the environmental conditions of the subject site and
vicinity and applicability of Planned Action requirements.Based upon this review,the
Ordinance may be amended as needed,and another validity period may be specified.
SECTION V.Conflict.In the event of a conflict between the Ordinance or any
mitigation measures imposed pursuant thereto and any other ordinance,or regulation of the City,
the provisions of this Ordinance shall control,EXCEPT that provision of any Uniform Code
shall supersede.
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SECTION VI.
ORDINANCE NO.5416
Severability.Should any section,subsection,paragraph,sentence,
clause or phrase of this Ordinance or its application be declared unconstitutional or invalid for
any reason,such decision shall not affect the validity of the remaining portions of this Ordinance
or its application to any other person or situation.
SECTION VII.This ordinance shall be effective upon its passage,approval,and
five (5)days after publication.
PASSED BY THE CITY COUNCIL this 27th day of_..........:...o-C:-ct-C:-o.::...:;b.::...:e;:..;;r=--__,2008.
Jason A.Seth,Deputy City Clerk
APPROVED BY THE MAYOR this 27th day of October ,2008.
Jlw~~~-
Denis Law,Mayor
Approved as to form:
et:.v,...~'"?0?G..~..-:.v .,e ~
LawrenceJ.VVarren,CityAttorney
Date of Publication:11/1/2008 (summary)
ORD.1503:9/11108:scr
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ORDINANCE NO.5416
Exhibit A
Department of Community and Economic Development
A.Johnson
November 3,2008
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EXHIBIT A
ORDINANCE NO.5416
Exhibit B
CONCEPTUAL REDEVELOPMENT PLAN
Sub-District I-B
December 2008 Amendment
Renton,Washington
Background
The Boeing Company ("Boeing")has been working with the City of Renton (the "City")
since early 2003 to evaluate potential redevelopment strategies associated with its 737
facility in Renton,Washington (the "Renton Plant Site").In October of2003,Boeing
prepared an Environmental Impact Statement to evaluate potential environmental impacts
associated with redeveloping the Renton Plant Site with a mix of residential and commercial
uses (the "EIS").
In December 2003,Boeing and the City entered into a Development Agreement for Renton
Plant Redevelopment (the "Development Agreement")that established certain roles and
responsibilities for the potential phased redevelopment of all or a portion of the Renton Plant
Site,including:
•Renton commitments to fund and construct certain public infrastructure
improvements;
•Boeing commitments to fund certain private aspects of redevelopment;and
•Boeing commitments to complete Conceptual Plans when it elects to
subdivide,develop,sell,or otherwise alter any property for uses not related to
airplane manufacturing.
Per the terms of the Development Agreement,Conceptual Planning was anticipated to occur
incrementally,and would be completed for three discrete areas of the Site,known as
Sub-Districts I-A and I-B,and District 2 (see Exhibit 1).City Council approved Boeing's
Conceptual Plan for Sub-District I-A in December 2003 and amended it in October 2004.
Boeing subsequently sold this portion of the site to Harvest Partners in December 2004.
Harvest Partners again amended the Conceptual Plan for Sub-District I-A in early 2006.
Sub-District I-A is noW known as "The Landing"and is currently under construction as an
urban retail center,including retail,residential,restaurant,and theatre uses.
Sub-District I-B
Sub-District I-B is located immediately to the south of The Landing,as illustrated on
Exhibit 1,and totals approximately 50.7 acres.A Conceptual Redevelopment Plan for Sub-
District I-B was submitted to the City of Renton in October of2005 and approved in
November of 2005 (the "Original Conceptual Plan").Thereafter Boeing sought a Planned
Action designation for Sub-District I-B and an Environmental Consistency Analysis was
prepared (the "Consistency Analysis").The Consistency Analysis determined that the uses
proposed for Sub-District I-B in the Original Conceptual Plan,together with the cumulative
AMENDED CONCEPTUAL REDEVELOPMENT PLAN
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EXHIBIT B PAGE I
ORDINANCE NO.5416
impacts of the uses approved for Sub-District I-A,were within the range of development
alternatives and associated environmental impacts addressed in the EIS.A Planned Action
was approved by the City in December of 2006 under Ordinance No.5242.In September
2007 the City approved a Master Site Plan for Sub-District I-B and a Binding Site Plan for
the same area under the name "Lakeshore Landing 2"(the "BSP").The BSP resulted in the
creation of eight additional lots within Sub-District I-B:Lots 5A,5B,5C,5D,5E,7A,7B,
and 7C.
The Original Conceptual Plan addressed infrastructure improvements imposed as conditions
of development pursuant to the Development Agreement to support redevelopment of Sub-
Districts I-A and I-B.In particular,a portion of Sub-District I-B was reserved for a
four-lane extension of 8th Avenue between Logan and Park Avenues (the "Extension").The
Extension and related improvements have been completed.
Pursuant to the Original Conceptual Plan,the northern 21.2 acres of Sub-District 1-B (Lots
5A and 7B of the BSP;formerly described as the "ROFO Area,"now referenced as "North 1-
B")were planned for retail uses complementary to the Harvest Partners urban retail center to
the north.Due to a change in market conditions,the expected retail development of North 1-
B did not proceed.Boeing now desires to market North I-B with a greater range of uses (i.e.,
hotel,office,employment,research/development,business and related uses,in addition to
retail)that are permitted within the underlying Urban Center -North,District One zone
("UC-Nl"or "District One").
The remainder of Sub-District I-B contains approximately 29.5 acres and is described herein
as the "Boeing Remainder."The Boeing Remainder is illustrated on Exhibit 1.Portions of
the Boeing Remainder are currently improved with office buildings that Boeing owns and
will continue to utilize as part of on-going airplane manufacturing plant operations.
Interspersed between these existing office buildings are approximately 12.85 acres of the
Boeing Remainder that have been identified as potential development parcels ("DPI"
through "DP4").
This amendment of the Original Conceptual Plan (the "Amended Conceptual Plan")
describes the current redevelopment plan for Sub-District I-B.The Amended Conceptual
Plan retains the retail alternative proposed for North I-B in the Original Conceptual Plan and
also includes office and employment and hotel alternatives for Lots 5A and 7B,respectively,
based upon new market conditions and feedback from the City regarding its redevelopment
goals for the UC-NI zone.
Boeing seeks the City's approval of this Amended Conceptual Plan so that it can market
North I-B to potential developers under a greater range of uses.The timing ofa land surplus
decision by Boeing or redevelopment associated with the majority of the Boeing Remainder
is currently envisioned to occur between 2 and 20 years in the future.
AMENDED CONCEPTUAL REDEVELOPMENT PLAN
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ORDINANCE NO.5416
Submittal
Included within this submittal is a narrative description of Boeing's proposal for Sub-District
I-B,a Conceptual Plan Diagram (see Exhibit 2),and a benefit analysis demonstrating a range
of potential one-time and recurring revenues generated by:
(1)Development illustrated within the Conceptual Plan Diagram on the North 1-
B portion of the Sub-District (beginning in 2009/2010 for Lots 5A and 7B of
the BSP);and
(2)Development illustrated within the Conceptual Plan Diagram on the Boeing
Remainder (beginning in 2010 for DP 1 and 2016 for DP 2 -DP 4).
AMENDED CONCEPTUAL REDEVELOPMENT PLAN
03003-0105/LEGALI4505979.7
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ORDINANCE NO.5416
Aerial,Exhibit 1
AMENDED CONCEPTUAL REDEVELOPMENT PLAN
03003-0105/LEGAL14505979.7
9/11/08
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ORDINANCE NO.5416
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ORDINANCE NO.5416
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AMENDED CONCEPTUAL REDEVELOPMENT PLAN
03003-0105/LEGAL14505979.7
9/11/08
ORDINANCE NO.5416
Conceptual Development Plan
This Amended Conceptual Plan for Sub-District I-B is comprised of two somewhat distinct
parts.The North I-B area makes up the northern portion ofthe property along 8th Avenue,
has been identified as surplus by Boeing operations,and is available for near-term
redevelopment.The Boeing Remainder makes up the southern portion of the Sub-District,
and contains 660,000 square feet of existing office space with re-use potential and
approximately 12.85 acres of land with future redevelopment potential.
North I-B
Boeing recognizes that high-quality development is essential to the successful transition of
the area from its industrial roots to the City's vision for the Urban Center-North..Potential
developers of lots within Sub-District I-B must join with the City to ensure that such
development is well-designed and is of a quality and at a scale that is consistent with the
City's long-term vision for the area.
As planning for Sub-Districts I-A and I-B has progressed,the land south of 8th has been
identified as an important component of the overall project.The area,now known as North
I-B,is addressed within this Amended Conceptual Plan as developing under several
alternative scenarios:Scenario 1,a retail complement to The Landing's urban retail center to
the north;Scenario 2,a combination of office and employment uses (Lot 5A of the BSP)and
hotel uses (Lot 7B of the BSP)undertaken as separate development by potential developers;
or Scenario 3,some combination of Scenarios 1 and 2.Each scenario is described below.
Under all three scenarios,a small portion of North I-B containing a data hub for the Renton
Plant Site (Lot 5E of the BSP),will be retained by Boeing for the foreseeable future.
1.Scenario 1
Under this scenario,North I-B is envisioned to contain a large format "destination"retailer
located along Logan Avenue,with supporting retail shops space concentrated along both
sides of Park Avenue.Generally,the large format retail development (users with footprints
of 50,000 square feet or larger,and building heights up to 45 feet)is planned to occur along
8th and Logan,facing eastward toward Park A venue.The supporting retail shops space
would include a mixture of medium format retailers (ranging between 10,000 and 50,000
square feet in area,with building heights up to 40 feet)and some component of smaller,
specialty retail shops overlooking Park Avenue.
Scenario 1 anticipates pedestrian connections to occur internally within the site both east
toward Park Avenue and south toward 6th Avenue.Vehicle access would occur off of Park
Avenue,with loading and delivery functions relying upon Garden Avenue and an internal
service road running along the southern edge of the North I-B property line.At a maximum
lot coverage ratio of 30%,the North I-B site could accommodate up to 270,000 square feet
of retail space.
AMENDED CONCEPTUAL REDEVELOPMENT PLAN
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ORDINANCE NO.5416
2.Scenario 2
a.Office and Employment Component
Under Scenario 2,Lot 5A would be developed to a maximum of 600,000 square feet of
office and employment uses,which may include technology-related laboratory uses for
research,development,testing and general and professional office uses.Smaller-scale
ground-floor and/or freestanding retail uses may also be included in this development
scenario.At this maximum density,the majority of accessory parking would be provided in
an above-grade structure,and impervious surface coverage would be up to 95%.Buildings
would be three to six stories in height,with floorplates of up to approximately 40,000 square
feet.The build-out of the Office and Employment Component would be phased,with initial
buildings being surface-parked.Depending upon market conditions and demand,future
buildings may include structured parking to achieve density of up to 600,000 square feet on-
site,or build-out may be limited to a fully surface-parked option,in which overall density
would be approximately 300,000 square feet.Development within this range of densities is
also possible.
b.Hotel/Retail Component
Under Scenario 2,Lot 7B would contain a seven to nine story hotel and two separate,small-
scale retail uses,such as restaurants,to complement and support the hotel use.The hotel
would consist of a maximum of 130,000 square feet;the supporting retail uses would total a
maximum of 13,000 square feet (consisting of two buildings,one approximately 5,000
square feet and one approximately 8,000 square feet).All uses would be surfaced parked.
The hotel and retail uses would be oriented toward Park Avenue.
3.Scenario 3
Scenario 3 represents some combination of Scenarios 1 and 2.In particular,this Scenario
anticipates that either Lot 5A or Lot 7B is not redeveloped according to Scenario 2 and is
instead redeveloped with retail uses.Any combination implemented would not exceed the
overall development capacities contemplated for North I-B.
Summary
Redevelopment of the North 1-B parcel as contemplated by this Amended Conceptual Plan is
consistent with the City's overarching goal for the Urban Center North:creation of a large-
scale,mixed-use development including uses such as retail,research and development,labs,
office,employment,residential and commercial.See,e.g.,City of Renton Comprehensive
Plan,Land Use Element,Urban Center North Land Use Designation ("Comp.Plan,LU-
UCN"),Purpose Statement.This Plan is consistent with applicable goals for the Urban
Center North that encourage "a mix of uses to improve the City's tax and employment base"
(Comp.Plan,LU-UCN,Policy LU-266),"support a range and variety of commercial and
office uses"(Comp.Plan,LU-UCN,Policy LU-267)and "allow hospitality uses such as
hotels"(Comp.Plan,LU-UCN,Policy LU-268).The City's vision for District One
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ORDINANCE NO.5416
anticipates similar new development including retail,office,employment,lab,research and
development,and hotel uses that ultimately result in a cohesive mixed-use district (Comp.
Plan,LV-VCN,Vision-District One).
In particular,proposed Scenario 1 supports the City's vision and applicable goals for the
Urban Center North and District One with new retail uses on North I-B that complement
existing retail uses located north of 8th A venue.Scenario 2 similarly supports the City's
goals and vision for the area with a mix of office,employment and hotel uses on North I-B.
Because Scenario 3 consists of some combination of uses from Scenarios 1 and 2,it is also
consistent with the City's vision and goals for the Urban Center North and District One.All
three scenarios would add to the City's tax base,provide additional jobs and help to expand
the overall mix of uses currently located in District One.
Boeing Remainder
This portion of the Amended Conceptual Plan is significantly influenced by the presence of
four,1980s-vintage office buildings that are located throughout the Boeing Remainder (the
10-13,10-16,10-18 and 10-20 buildings).Each structure is five to six stories in height,
ranging between 160,000 and 170,000 square feet in area,with a total area for all four
buildings of 660,000 square feet.Parking is accommodated in separate,structured garages
and in surrounding surface lots,at an overall ratio of 4.5 stalls per 1,000 square feet.Boeing
currently utilizes these four buildings and anticipates no near-term changes that would result
in significant rehabilitation,lease or sale of the structures.
At the time of the Original Conceptual Plan,a 1960s-vintage lab building,known as the
10-71 building,was located along Logan Avenue.The 10-71 building was demolished in
2008,creating a 4.9-acre development parcel between Logan Avenue and the 10-20 building
("DP1";Lot 5B of the BSP).
For purposes ofthis Amended Conceptual Plan,we have assumed that the existing office
buildings remain and that Boeing will continue to occupy such buildings until at least 2015.
If the existing buildings are occupied by other users at some point in the future,such
buildings could be supported by parking at a market-driven ratio of 3.5 stalls per 1,000
square feet,rather than at Boeing's more conservative rate.As a result,surplus parking stalls
exist within the three existing parking garages,and three additional development parcels are
created:a 3.9-acre site between the 10-18 and 10-20 buildings ("DP2";Lot 5D of the BSP);a
1.8-acre site on the west side of Park Avenue north of 6th ("DP3";the property constituting
DP3 was not included in the BSP);and,a 2.2-acre site on the west side of Garden Avenue
north of 6th ("DP4";the property constituting DP4 was not included in the BSP).
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1.DP1
This 4.9-acre parcel is located along Logan Avenue,immediately south of the North I-B
property.Fronting on 6th Avenue,it is also adjacent to the 10-20 office building and
associated parking structure.Given its location and near-tenn (2010)redevelopment
potential,this Amended Conceptual Plan envisions DPI 's redevelopment as either a new
office or laboratory facility consisting of one or more structures and containing
approximately 330,000 square feet of new space.Given its size,DP-l could accommodate
the parking needs of whichever use was ultimately implemented on the site,such that the site
would be self-parked.
2.DP2 and DP4
These two parcels are both infill opportunities that exist when parking requirements for the
existing office buildings are reduced.Currently underutilized and serving for the most part
as overflow parking areas for Boeing employees,this Amended Conceptual Plan envisions
the redevelopment of DP2 and DP4 with new buildings containing either lab or offices uses,
consistent with the current development pattern.
In some instances where new lab uses could be developed,surplus parking within existing
garages could fully support new development,and allow for the creation of new,private open
spaces or campus greens within the neighborhood.In order to create this surplus parking
opportunity,this Amended Conceptual Plan assumes either that the four existing Boeing
office buildings are sold or leased to other users with market-based parking requirements or
that Boeing provides new parking areas on the Renton Plant Site to accommodate its
employees.
The Amended Conceptual Plan contemplates the potential redevelopment of these parcels
with approximately 385,000 square feet of new space in multiple structures.Both DP2 and
DP4 could accommodate structures containing as much as 260,000 square feet on DP2 and
125,000 square feet on DP4.To accommodate parking,a new multi-storied parking garage
could be constructed on DP2,and any additional parking needs would be provided by
ear-marking a portion of the stalls within the 10-20 parking garage.On DP4,sufficient
surplus parking exists within the existing 10-18 parking garage that no new parking would
need to be constructed in this location.
3.DP3
This parcel is located just south of the 10-18 office building,at the comer of 6th and Park
Avenues.This Amended Conceptual Plan envisions the development of this parcel with new
lab or office uses,in both cases housed within a single six-story structure containing 120,000
square feet of new space.If developed as lab space,the building could be supported by
dedicated parking stalls within a new,multi-user garage constructed on DP2.If developed as
office space,parking could either be provided in a new garage on DP3 or accommodated by
providing additional parking levels within a DP2 garage.
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Summary
The redevelopment of the Boeing Remainder proposed by this Amended Conceptual Plan
would be consistent with the City's vision for the Urban Center North and long-range
planning policies,creating a vibrant,commercial corridor south of The Landing between
Logan and Garden Avenues,with mid-rise office or lab buildings along street frontages and
structured parking behind.Whether redeveloped with all office,all lab,or a mix of office
and lab uses,the Boeing Remainder could contain up to 835,000 square feet of new space at
full build-out.This new mix of uses would be at a scale consistent with the 660,000 square
feet of existing office space already located in the Boeing Remainder.
Economic Benefit Analysis Summary
Boeing's Amended Conceptual Plan for Sub-District I-B seeks to both allow for the
near-term redevelopment of Boeing's underutilized assets while advocating for a mix of uses
that significantly improves the City's tax and employment base.Two economic benefit
analyses,one completed in 2005 to support the Original Conceptual Plan (Exhibit 3)and a
supplement addressing the non-retail redevelopment Scenarios for North I-B (Exhibit 4),
have been completed to support this submittal,demonstrating the potential one-time and
recurring revenues generated by:
(1)Development on the North I-B portion of the Sub-District for either retail use
or a combination of hotel and office/employment uses (beginning in
2009/2010 for Lots 5A and 7B of the BSP);and
(2)Development on the Boeing Remainder for office and/or laboratory uses
(beginning in 2010 for DPI and 2016 for DP 2 -DP 4).
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EXHIBIT 3
2005 ECONOMIC BENEFIT STUDY
SUB DISTRICT I-B BOEING DEVELOPMENT PARCELS
RENTON,WASHINGTON
I.PURPOSE
Boeing Realty Corporation (BRC)is seeking to estimate the community economic benefits of
redeveloping four parcels in Boeing Sub District I-B at its Renton,Washington facility into a
new mix of lab and multi-family land uses.The land area of these redevelopment parcels
comprises 12.85 net acres.It is only a portion of the 50.70 gross acres comprising Boeing's
Sub District I-B Renton property.The proposed new land use mix for these four Boeing
redevelopment parcels resulted from an evaluation of the holding capacity of these excess
properties and from market potential considerations.
The specific purpose of this document is to show City of Renton economic benefits derived
from redeveloping these four targeted Boeing Renton parcels if fully developed as follows:
Lab
Multi-Family
Total
900,000
535,500
1,435,500 Sq.Ft.
The analysis presents an estimate of economic benefits if the targeted Renton Boeing parcels
are entirely redeveloped and absorbed between 2008 and 2013 versus no action.Economic
impacts have been measured (one-time and recurring)in terms of:
~Jobs
~Income
~Property values
~Public revenues
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State of Washington
King County
City of Renton
II.LIMITATIONS
The economic benefit findings of redeveloping the four Boeing Renton parcels comprising
12.85 net acres into modem lab and multi-family space are only as valid as underlying
assumptions.1 These assumptions reflect reasonable approximations of actual economic
experience in the marketplace.The economic benefit model developed for this assignment
reflects these assumptions and is the culmination of a series of computer-based sensitivity
analyses.
III.OVERALL ECONOMIC BENEFIT FINDINGS
Redevelopment of the four Boeing Renton parcels into the proposed uses will result in
positive economic impacts for the City of Renton,King County and the State of Washington.
The text,charts and tables that follow summarize economic findings by comparing job,
income and property value differences by year 2013 between "redevelopment"of the four
Boeing parcels versus "no use"scenarios.A summary of key findings follow:
~By 2013 (project stabilization),an estimated 3,300 jobs would be created if the target
12.85 acres comprising four Boeing parcels in Sub District I-B are fully redeveloped
and absorbed into lab and multi-family uses?
~Of this job total,an estimated 1,700 direct jobs would be created in the redeveloped
lab buildings and 1,600 indirect jobs would be created by 2013.
I Although not guaranteed,the economic benefit estimates expressed in this document are intended to reflect
information from sources deemed to be authoritative and reliable.All monetary figures are expressed in 2005
dollars.
2 This job total includes both direct and indirect jobs.Indirect jobs is the measure of secondary job creation
resulting (induced)from expenditures associated with direct job creation.
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~These lab jobs would generate an additional $158 million in recurring annual income
at full occupancy in 2013.
~Of this income total,over $88 million in direct income would be created on the
redeveloped Sub District I-B parcels and over $70 million in indirect income would
be created in 2013 and thereafter.
~The corresponding increase in property values for the four target Renton
redevelopment parcels is forecast at over $550 million by 2013.
~The increase in recurring annual tax revenues by 2013 to the State of Washington is
estimated at over $3.6 million.This is in addition to over $33.5 million in one-time
state revenues collected during redevelopment and absorption of new lab and multi-
family space on the four Boeing parcels at the Renton Sub District I-B site.
IV.RENTON ECONOMIC BENEFIT FINDINGS
The economic benefits to the City of Renton of redeveloping Boeing's four parcels of excess
property in Sub District I-B are now summarized.
~By 2013,it is estimated that over 2,100 jobs would be created in the City of Renton
alone from redeveloping these four Boeing parcels in Sub District I-B.Of this job
total,an estimated 1,700 direct jobs would be created in the new lab buildings and
400 indirect jobs in the City would be created by 2013.
~The City of Renton is estimated to gain one-time tax revenues of over $6.2 million
during redevelopment of the four Boeing Sub District I-B parcels.
~The City is also forecast to receive an increase in recurring annual tax revenues of
over $2.3 million in 2013 and thereafter upon full build-out and absorption of the new
lab and multi-family space.
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Table 1 summarizes these estimated benefits to the City in terms of new jobs,income and
municipal revenues.These data reflect one-time benefits during development as well as
estimates of annually recurring economic benefits.For example,during the assumed 2008
through 2012 development period,accrued City tax revenues are estimated to generate over
$40,000 during land development and over $6,168,000 during construction of lab buildings
and multi-family structures.Sources for these one-time municipal revenues are sales tax and
real estate transfer taxes.
Once the lab and multi-family buildings are completed and absorbed (2013 estimate),
annually recurring tax revenues are projected at over $2,343,000.Nearly $1,953,000 of this
total will result from the City of Renton's share of property taxes.The City's employee head
tax is forecast to generate over $115,000 each year and real estate transfer taxes are estimated
at over $275,000 annually.
Table 1
CITY OF RENTON ECONOMIC BENEFITS
BOEING SUB DISTRICT I-B DEVELOPMENT PARCELS
One-time Land One-time Building Recurring
Redevelopment Scenario Development Development 2008-2012 in 2013
CITY JOBS
DirectJobs 25 381 1,700
Indirect Jobs 9 159 400
Total Jobs 34 540 2,100
ANNUAL INCOME
Direct Income $1,285,625 $49,960,680 $123,146,400
Indirect Income $411,248 $34,962,754 $17,596,700
Total Income $1,696,873 $84,923,434 $140,743,100
CITY TAX REVENUES
Property Tax $1,952,593
Sales Tax $40,234 $3,049,318 $
Employee Head Tax $115,496
Real Estate Transfer Tax $3,118,965 $275,071
Total Tax Revenues $40,234 $6,168,283 $2,343,160
Chart 1 shows that 2,100 permanent jobs are estimated to be created within the City of
Renton.Ofthese,1.700 would be direct on-site lab jots in the City of Renton,resulting in an
estimated 400 additional indirect off-site jobs in the City.This assumes that one quarter of
the indirect jobs created occur within the City of Renton.This compares to no such jobs
without the redevelopment of the four Boeing Sub District 1-B parcels.
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Chart 1
City of Renton Permanent Jobs Created In 2013
3,000
2,100
2,000
1,000
With Project Without Project
Chart 2 illustrates that these jobs will generate new annual income within the City of Renton
estimated at nearly $141 million.This corresponding income reflects both indirect off-site as
well as direct on-site income creation in 2013 and thereafter.
Chart 2
New Job Annual Income in 2013
$150
'".!$100
~
~...o
'"=~$50~
$-
With Project
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Chart 3 shows the increases in City of Renton property values of redeveloping the four
Boeing parcels in Sub-District I-B.After redevelopment completion in 2013,the assessed
value of these parcels is estimated to increase from under $74 million to nearly $624
million-an increase of $550 million.
Chart 3
PROPERTY VALUE INCREASES BY 2013
BOEING SUBDISTRICT 1-B DEVELOPMENT PARCELS
Without Project
With Project $623.8
$0 $200
Dollars in millions
$400 $600
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Chart 4 shows that the City of Renton will accrue one-time tax revenues from sales and real
estate transfer taxes of over $6,208,000 during the estimated 2008 through 2012 development
period.In addition,the City is forecast to increasingly receive annually recurring tax
revenues from redevelopment of the four Sub District 1-B parcels starting in 2009.This will
increase each year until 2013 where it peaks at over $2,343,000 million as an annual flow
into the City.
Chart 4
New City Of Renton Tax Revenues
$3,000,000
~
~=5 $2,000,000t
~
~
~$1,000,000.e-.....u
$-
•Recuning
•Onetime
2008 2009 2010 2011 2012 2013
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ECONOMIC BENEFIT STUDY
(2005)
HARVEST PARTNERS ROFO PARCELS
BOEING SUB DISTRICT l-B PROPERTY
RENTON,WASHINGTON
I.PURPOSE
Boeing Realty Corporation (BRC)is seeking to estimate the community economic benefits of
redeveloping certain Sub District I-B property under option by Harvest Partners at its
Renton,Washington facility into additional retail land uses.This "right of first option"
(ROFO)property is the Phase II expansion of Harvest Partners'development underway on
Boeing's Renton Sub District IB property The ROFO Phase II land area being considered
for redevelopment as retail space by Harvest Partners is comprised of 21.20 net acres.It is
only a portion of the 50.70 gross acres that comprises Boeing's entire Sub District I-B
Renton property.
The specific purpose of this document is to show City of Renton the economic benefits
derived from Harvest Partners redeveloping this target ROFO property if fully developed as
follows:
Retail-Shop Space
Retail-Big Box
Total
91,000
135,000
226,000 Sq.Ft.
The analysis presents an estimate of economic benefits if Harvest Partners excises their
option to purchase the targeted Renton Boeing parcels.The benefits are measured by
comparing the full redevelopment of this property as retail uses between 2006 and 2008
versus no action.Economic impacts have been measured (one-time and recurring)in terms
of:
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>Jobs
>Income
>Property values
>Public revenues
State of Washington
King County
City of Renton
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II.LIMITATIONS
The economic benefit findings of redeveloping Harvest Partners ROFO parcels into retail
space are only as valid as the underlying assumptions.3 These assumptions reflect reasonable
approximations of actual economic experience in the marketplace.The economic benefit
model developed for this assignment reflects these assumptions.It is the culmination of a
series of computer-based sensitivity analyses.
III.OVERALL ECONOMIC BENEFIT FINDINGS
Redevelopment of the Harvest Partners ROFO portion of the Boeing Renton Sub District IB
property into retail uses will result in positive economic impacts for the City of Renton,King
County and the State of Washington.The text,charts and tables that follow summarize
economic fmdings by comparing job,income and property value differences by year 2008
between "redevelopment"of the Harvest Partners ROFO parcels versus "no use"scenarios.
A summary of key findings follow:
»By 2008 (project stabilization),an estimated 1,667 jobs would be created if the target
21.20 acres comprising Harvests Partners ROFO parcels in Sub District I-B are fully
redeveloped and absorbed into shop space and big box retail uses.4
»Of this job total,an estimated 859 direct jobs would be created in the redeveloped
buildings and 808 indirect jobs would be created by 2008.
»These jobs would generate an additional $80 million in recurring annual income at
full occupancy in 2008.
3 Although not guaranteed,the economic benefit estimates expressed in this document are intended to reflect
information from sources deemed to be authoritative and reliable.All monetary figures are expressed in 2005
dollars.
4 This job total includes both direct and indirect jobs.Indirect jobs is the measure of secondary job creation
resulting (induced)from expenditures associated with direct job creation.
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~Of this income total,nearly $45 million in direct income would be created on the
redeveloped Sub District 1-B ROFO parcels and over $35 million in indirect income
would be created in 2008 and thereafter.
~The corresponding increase in property values for the Harvest Partners ROFO parcels
is forecast at nearly $53 million by 2008.
~The increase in recurring armual tax revenues by 2008 to the State of Washington is
estimated at nearly $5.1 million.This is in addition to nearly $3.8 million in one-time
state revenues collected during redevelopment and absorption of the additional retail
space on the Harvest Partners ROFO parcels.
IV.RENTON ECONOMIC BENEFIT FINDINGS
The economic benefits to the City of Renton of Harvest Partners redeveloping this excess
Boeing property in Sub District 1-B are now summarized:
~By 2008,it is estimated that over 1,061 jobs would be created in the City of Renton
alone from redeveloping these Harvest Partners ROFO parcels in Sub District I-B.
Of this job total,an estimated 859 direct jobs would be created in the redeveloped
buildings and 202 indirect City jobs would be created by 2008.
~The City of Renton is estimated to gain one-time revenues of nearly $667,000 during
redevelopment ofthe Harvest Partners ROFO Sub District 1-B parcels.
~The City is also forecast to receive an increase in recurring annual tax revenues of
nearly $856,000 in 2008 and thereafter upon full build-out and absorption of the new
retail space.
Table 1 summarizes these estimated benefits to the City in terms of new jobs,income and
municipal revenues.These data reflect one-time benefits during development as well as
estimates of annually recurring economic benefits.For example,during the assumed 2006
through 2008 development period,accrued City tax revenues are estimated to generate over
$66,000 during land development and over $601,000 during construction of the retail shop
and big box space.Sources for these municipal revenues are sales tax and real estate transfer
taxes.
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Once the retail space is completed and absorbed (2008 estimate),annually recurring tax
revenues are projected at nearly $856,000.Nearly $187,000 of this total will result from the
City of Renton's share of property taxes.Annual sales taxes generated from the retail space
is estimated to exceed $584,000.The City's employee head tax is forecast to generate over
$58,000 each year and real estate transfer taxes are estimated at over $26,000 annually.
Table 1
CITY OF RENTON ECONOMIC BENEFITS
HARVEST PARTNERS ROFO PARCELS
HARVEST PARTNERS SUB DISTRICT I-B
One-time Land One-time Building Recurring
Redevelopment Scenario Development Development 2006-2007 in 2008
CITY JOBS
Direct Jobs 42 92 859
Indirect Jobs 16 39 202
Total Jobs 58 131 1,061
ANNUAL INCOME
Direct Income $2,121,030 $9,432,720 $44,657,600
Indirect Income $678,445 $3,384,707 $8,889,439
Total Income $2,799,475 $12,817,427 $53,547,039
CITY TAX REVENUES
Property Tax $186,873
Sales Tax $66,379 $295,201 $584,225
Employee Head Tax $58,346
Real Estate Transfer Tax $306,257 $26,325
Total Tax Revenues $601,458 $855,769
Chart 1 shows that 1,061 permanent jobs are estimated to be created within the City of
Renton.Of these,859 would be direct on-site jobs in the City of Renton,resulting in an
estimated 202 additional indirect off-site jobs in the City.This assumes that one quarter of
the indirect jobs created occur within the City of Renton.This compares to no such jobs
without the redevelopment of the Harvest Partners ROFO property in Boeing's Renton Sub
District 1-B area.
Chart 1
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ORDINANCE NO.5416
City of Renton Permanent Jobs Created In 2008
1,200
800
400
With Project Without Project
Chart 2 illustrates that these jobs will generate new annual income within the City of Renton
estimated at nearly $54 million.This corresponding income reflects both indirect off-site as
well as direct on-site income creation in 2008 and thereafter.
Chart 2
New Job Annual Income in 2008
$60
$54
'".!$40
'0
~....o
'"=.~$20~
$-
With Project Without Project
Chart 3 shows the increases in City of Renton property values of redeveloping the Harvest
Partners ROFO parcels in Sub-District 1-B.After redevelopment completion in 2008,the
assessed value of these parcels is estimated to'increase from $8.6 million to nearly $61.3
million-an increase of $52.7 million.
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Chart 3
PROPERTY VALUE INCREASES BY 2008
REDEVELOPMENT OF HARVEST PARTNERS ROFO
PROPERTY
Without Project
With Project $61.3
$0 $25
Dollars in millions
$50 $75
Chart 4 shows that the City of Renton will accrue one-time tax revenues from sales and real
estate transfer taxes of nearly $668,000 during the estimated 2006 through 2007 development
period.In addition,the City is forecast to increasingly receive annually recurring tax
revenues from redevelopment of the Harvest Partners ROFO portion of Boeing's Renton Sub
District I-B property starting in 2007.This will increase until 2008 where it peaks at nearly
$856,000 as an ongoing annual cash flow to the City.
Chart 4
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New City Of Renton Tax Revenues
$1,000,000
~$800,000<U==<U;;.-$600,000<U
~
~$400,000~
f-4
.c $200,000...
U
$-
2008 2009 2010 2011 2012 2013
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II Recurring
•Onetime
PAGE 25
ORDINANCE NO.5416
Table 1
CITY OF RENTON ECONOMIC BENEFITS
FOUR BOEING DEVELOPMENT PARCELS
BOEING RENTON SUB DISTRICT I-B PROPERTY
One-time Land One-time Building Recurring
Redevelopment Scenario Development Development 2008-2012 in 2013
CITY JOBS
Direct Jobs 25 381 1,700
Indirect Jobs 9 159 400
Total Jobs 34 540 2,100
ANNUAL INCOME
Direct Income $1,285,625 $49,960,680 $123,146,400
Indirect Income $411,248 $34,962,754 $17,596,700
Total Income $1,696,873 $84,923,434 $140,743,100
CITYTAX~
Property Tax $1,952,593
Sales Tax $40,234 $3,049,318 $
Employee Head Tax $115,496
Real Estate Transfer Tax $3,118,965 $275,071
Total Tax Revenues $40,234 $6,168,283 $2,343,160
HARVEST PARTNERS ROFO PARCELS
BOEING RENTON SUB DISTRICT I-B PROPERTY
One-time Land One-time Building Recurring
Redevelopment Scenario Development Development 2006-2007 in 2008
CITY JOBS
Direct Jobs 42 92 859
Indirect Jobs 16 39 202
Total Jobs 58 131 1,061
ANNUAL INCOME
Direct Income $2,121,030 $9,432,720 $44,657,600
Indirect Income $678,445 $3,384,707 $8,889,439
Total Income $2,799,475 $12,817,427 $53,547,039
CITYTAX~
Property Tax $186,873
Sales Tax $66,379 $295,201 $584,225
Employee Head Tax $58,346
Real Es tate Trans fer Tax $306,257 $26,325
Total Tax Revenues $66,379 $601,458 $855,769
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COMBINED ECONOMIC BENEFITS
HARVEST PARTNERS ROFO PARCELS &BOEING DEVELOPMENT PARCELS
BOEING RENTON SUB DISlRICT 1-B PROPERTY
One-time Land One-time Building Recurring
Redevelopment Scenario Development Development 2006-2012 in 2013
CIIYJOBS
Direct Jobs 67 473 2,559
Indirect Jobs 25 198 602
Total Jobs 92 671 3,161
ANNUAL INCOME
Direct Income $3,406,655 $59,393,400 $167,804,000
Indirect Income $1,089,693 $38,347,461 $26,486,139
Total Income $4,496,348 $97,740,861 $194,290,139
CIIYTAX REVENUES
Property Tax $2,139,466
Sales Tax $106,613 $3,344,519 $584,225
Employee Head Tax $173,842
Real Estate Transfer Tax $3,425,222 $301,396
Total Tax Revenues $106,613 $6,769,741 $3,198,929
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TOTAL CITY OF RENTON ECONOMIC BENEFITS
BOEING &HARVEST PARTNERS PARCELS
COMBINED DEVELOPMENT IN SUB DISTRICT l-B
City of Renton Pennanent Jobs Created In 2013
4,000
3,161
3,000
2,000
1,000
With Project Without Project
$200
~$150
.!
~...$100=fa.s=$50~
$-
New Job Annual Income in 2013
With Project Without Project
$4,000,000
Q;=$3,000,000=<l>
~
P!$2,000,000:-l
~
Eo-<
.e-$1,000,000U
$-
New City Of Renton Tax Revenues
2006 2007 2008 2009 2010 2011 2012 2013
•Recurring
•Onetime
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EXHIBIT 4
ECONOMIC BENEFIT STUDY,2008 SUPPLEMENT
SUB DISTRICT I-B,NORTH IB COMPONENT
BOEING DEVELOPMENT PARCELS
RENTON,WASHINGTON
This Economic Benefit Study (Exhibit 4)was prepared to help align,support and provide
context for recent land use amendments applicable to Sub-District I-B as reflected in the
attached Conceptual Redevelopment Plan.
The analysis included in this Exhibit 4 was developed by CB Richard Ellis in an effort to
conform to prior analyses performed for the Lakeshore Sub District I-B.
CB Richard Ellis obtained the information contained herein from sources we believe to be
reliable.However,we have not verified its accuracy and make no guarantee,warranty or
representation about it.It is submitted subject to the possibility of errors,omissions,and
change of conditions.Any projections,opinions,assumptions or estimates used are for
example only and do not represent the current or future performance of the property.
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EXHIBIT 4
ECONOMIC BENEFIT STUDY,2008 SUPPLEMENT
SUB DISTRICT l-B,NORTH lB COMPONENT
BOEING DEVELOPMENT PARCELS
RENTON,WASHINGTON
I.HISTORY
The original Conceptual Plan for Sub-District I-B ("SDIB"),approved by the City of
Renton,included a mix of multi-family and retail development.Over the past two years,
however,the Puget Sound real estate market has changed.Highest and best use for the north
21.2 acres of SDIB (referenced by the original Plan as the "ROFO"area;now referenced as
"North IB"),has shifted away from retail and multifamily to office/commercial and hotel
uses.The redevelopment now anticipated for North IB includes a hotel and restaurants on
Lot 7B and office/business/R&D uses on Lot 5A.
This analysis supplements the Economic Benefit Analysis performed in 2005 to support the
original Conceptual Plan for SDIB by generally assessing the economic benefit associated
with redevelopment of North IB for office and hotel uses.As discussed in greater detail
below,we conclude that the anticipated hotel and office redevelopment of SDIB will benefit
the City,County and State at a rate equal to or greater than the retail redevelopment program
assumed by the original Conceptual Plan.
II.SCOPE OF PROPOSED DEVELOPMENT
HOTELIRESTAURANT
Lot 7B is approximately 5.07 acres.On the south side of N 8th Street,the property is
bordered by Park and Garden Avenues North.The parcel is currently subject to a purchase
and sale agreement with a regional hotel management and development company with more
than 20 years of experience in the Pacific Northwest..A hotel and commercial development
is planned according to the following program:
)0-Residence Inn by Marriott;"Extended Stay"
)0-170 rooms
)0-130,000 sq.ft
)0-Total employees -approximately 45 to 50
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~Average Daily Rate (ADR)-approximately $165
~Annual beginning revenue of approximately $8,500,000
~Completion is projected in early 2010
~2 restaurant pads
~2 "sit down"style restaurants;one approximately 5,000 sq.ft.,the second
approximately 8,000 sq.ft.
~Total employees for both restaurants -approximately 100
~Annual beginning revenue of approximately $3,500,000 (for both restaurants)
~Completion is projected in early 2010
The combined value of the hotel and restaurant development is projected to exceed $42
million (land +construction).
OFFICE
Lot 5A is approximately 14.21 acres.On the south side of N 8th Street,the property is
bordered by Logan and Park Avenues North.The parcel is currently subject to a purchase
and sale agreement with one of the largest publicly traded office and industrial property
developers in the United States.An office/business/R&D development is planned according
to the following program:
~Class "A"office project for general office use
~4 buildings @+/-150,000 sq.ft each;total office of300k to 600k sq.ft.
~Project to be 100%built out by 2014
~2,000 to 3,000 employees/jobs
~Parking is planned to be a combination of structural and surface,based on the
ultimate size of the office buildings
~Construction is projected to start in 2009 with completion of the initial phase in 2010
The combined value of the office development is projected to exceed $165 million (land +
construction).
III.ANALYSIS
The 2005 Economic Benefit Study addressed and quantified the original Conceptual Plan's
positive effect on jobs,annual income and city tax revenues.That analysis continues to be
relevant to Scenarios 1 and 3 of the Amended Conceptual Plan now proposed.With respect
to Scenario 2,which assumes redevelopment of the North 1B portion of Sub-District 1B for
office/businesslR&Dlhotel/commercial uses as described above,we conclude the following:
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•Proposed sit-down restaurants and hospitality components complement the current
retail development at The Landing.Proposed additional hotel lodging near the
downtown core encourages revenue generating traffic and a tourism multiplier that
will be beneficial to the City.
•Washington state sales tax on the improvements and excise tax on the sale of the land
should exceed $15 million.Using an industry standard of 200 square feet for each
employee,the office portion should directly bring 3,000 jobs to Renton in additions to
the 150 jobs created by the hotel and restaurants.
•While there are many variables,we conclude that the current/revised conceptual plan
for SD 1B essentially substitutes some hotel and restaurant development for retail and
multi-family uses and continues to provide similar economic benefits to those
anticipated as part of the original conceptual plan.
Proposed changes to the original Conceptual Plan provide for an increasingly diverse
redevelopment of downtown Renton.A new hotel,restaurants,retail space and additional
class A office space will continue to draw people to the downtown area.The city,county
and state will continue to benefit via additional jobs,increased property values and public
revenues.
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