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MINUTES OF THE HOUSING, PLANNING& DEVELOPMENT COMMITTEE July 12, 2021 Auditorium Present: Councilmembers Shachner (Chair) & Kepple—Rader's absence was excused Also Present: Planning Director Leininger, Chief of Staff John Storey, Councilmember Bullock, Developers Daniel Budish& Betsy Figgie, & Deputy Clerk Lascu taking minutes Call to Order: 6:03 p.m. AGENDA Approval of the minutes of the June 14, 2021 Housing, Planning & Development Committee meeting. Chairman Shachner made a motion to approve the minutes without objection. ORDINANCE 22-2021 -AN ORDINANCE authorizing a development agreement with West 117 Development LLC,West 117 Development Fieldhouse LLC, and West 117 Development Phantasy LLC in connection with the development and redevelopment of certain real property in the City of Lakewood, Ohio as part of a tax increment financing program under Ohio Revised Code Section 5709.41. (11t read& referred to HPD 6/21/21;2'1 reading 7/6/21) Director Leininger gave an overview of the project, which seeks to redevelop the corner of Hird & Detroit by returning the former Phantasy Nightclub to its former use & the Mack Products Building into a recreation fieldhouse. The Mack Products Building will be renamed the Fieldhouse at Studio West and will serve as home to the Stonewall sports community. The Phantasy is a multi-use project, of which portions have been reviewed by the Planning Commission and the Architectural Board of Review. There is a $1 million gap in financing in the Fieldhouse project and a $1.5 million gap in the Phantasy one. The city is seeking to leverage tax-increment financing (TIF)proceeds to provide additional financing to the projects. $5 million dollars is needed to carry the interest on the $2 million gap. The TIF being utilized is a non- school TIF, which pledges tax revenues back to the developer incrementally. This TIF is unique in that it splits the revenues 90% - 10%between the developer and the city to provide the minimal amount of funding requested by the development team. The funds brought back to the developers via the TIF will go directly into the actual construction cost of the project. Director Leininger provided a summary of the key terms specific to the Fieldhouse and the Phantasy. He noted that the minimum investment into the Fieldhouse would be $6 million and $11 million into the Phantasy, with 21 full time jobs being created at the Fieldhouse. The Phantasy is currently in the design process and stands to create 56 jobs at the site. There is a project labor agreement being established with the Cleveland Construction & Building Trades