The Committee of the Whole met on August 4, 2025, to review and discuss two ordinances related to the redevelopment of the former Lakewood Hospital site (approximately 5.7 acres). The meeting included a presentation from Planning Director Angela Byington, updates from developer representatives, and council questions. No public comments were made. Both ordinances were referred favorably to full council.
All right, we will call committee of the whole to order. Um, first I'll move to approve the minutes of the July 21st committee of the whole meeting without the necessity of a reading. Second. Motion's been made and seconded. Any discussion? Hearing none. All those in favor? Aye. And that motion passes. Okay, so we have three items on the docket tonight, all related. Um is the ordinance for the purchase and sale agreement, um, and the other is for the TIFF, the tax increment financing, um, and then the communication explaining the TIFF essentially. Um, I'll head to Director Bington. Do you I think you have some slides for us? Yes. Thank you, President Count uh President Keppel and members of council. Um for tonight, this presentation is going to cover both of the ordinances that are before you. Uh the first authorizes the transfer of title to the downtown development site, currently comprised of the parcels on the screen. There's three parcels now. It has been replatted. And the second ordinance is regarding the establishment of an urban redevelopment tax increment equal equivalent fund and authorization of a service payment agreement with Bell AV LLC. Just recapping a little. Um, as you recall, council approved the planned development for the old hospital site in December by way of ordinance 20 2024. The plan includes approximately 25,000 square feet of new commercial or retail space, renovation of the Curtis block, 298 apartments, a 567 space parking garage, public plaza, and two public park spaces. Also in December, council approved ordinance 21 2024, which authorized execution of the development agreement. Uh key items in that development agreement included completion of the approval. Well, getting the planned development approved, 20% of the apartments to be deemed affordable, public access retained for the plaza, pocket and linear parks, and pedestrian and vehicular access, cooperation in regard to the public public art and sustainability, participation by MBE Female Women Business Enterprises, DBA and SBA. Providing commercially reasonable efforts to work with the Cleveland Building and Construction Trades, commercially reasonable efforts to utilize prevailing wage, public parking garage to be completed with 100 public spaces and 75 spaces for the clinic. A non-school TIFF, an 85% TIFF, and a 100% TIFF. The 85 is for the commercial and the 100% is on the parking garage. Along with the approval of the development plan and the development agreement, a school compensation agreement was approved and has been executed by the school at this time. Key items in that school compensation agreement included sharing of income taxes during the construction period, a 15-year CRA, and a non-school TIFF on the apartments, 85% TIFF on the commercial, 100% TIF on the parking garage, sharing by thirds, any excess revenue generated on the TIFF, collection of new levies, and 50% share on all permanent income tax generated. So the first ordinance before you tonight is proposed ordinance 24-2025. This would authorize a transfer of the title to Bell AV Partners LLC. The sale price is 1.5 million. That price is that amount is due 30 days after the issuance of the final certificate of occupancy for building A. However, forgiveness will be given if it is determined by the city that the developer has completed the parking facility, the community space and public parks, and that declarations or easements providing public access to the parking facility has been provided. The development agreement requires certain things prior to the conveyance of the site. Those items are the following. Payment by the developer of all customary closing costs, simultaneous closing for commercial loans to finance the commercial and retail components, and the first building of the residential component. This has been agreed upon and execution is imminent. An operations and maintenance plan for the community space in a form acceptable to the city, which we have agreed on. The developer has completed the necessary rezoning and lot splits for consolidation, which has occurred. Recording of easements or declarations necessary to establish public benefits related to the parking facility, community space, and public parks. The easements have been recorded and the declaration has been agreed upon and will be recorded soon. And then approval from the planning commission and the architectural board of review, which has occurred. The next ordinance is in regard to the TIFF agreement. Ordinance 25-2025 declares that a hundred percent of the improvement to the property is for a public purpose. It provides for the creation of the TIFF, and the purpose of a TIFF is to provide subsidy for the development, which will include the public parking, public plaza, and public parks. The term is 100% for 30 years. Payments, which is payments in lieu of taxes, regarding the agreed upon terms, when the exemption begins, and how and when they are paid, the developer will pay the amount equal to what the taxes would have been without the TIFF to the county, who will then pay the city that amount.