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HomeMy WebLinkAboutResolution 605 tAl RESOLUTION ZTT1U:\T PILE 4. --� _ _ A Resolution i RECOMMENDING CITY COUNCIL APPROVAL OF THE APPLICATION OF THE I CITY OF FORT WORTH TO THE U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT TO FUND A PEDESTRIAN PLAZA AND PARKING GARAGE. IN CONJUNCTION WITH THE PRIVATE REDEVELOPMENT PLANS OF WOODBINE DEVELOPMENT CORPORATION FOR THE HYATT-REGENCY HOTEL COMPLEX PROJECT UNDER THE URBAN DEVELOPMENT ACTION GRANT. WHEREAS, the City Council of the City of Fort Worth has charged the Economic Development Policy Board to review economic development proposals to determine their compatibility with the City' s adopted economic development plans; and WHEREAS, the Board, in a public hearing, reviewed a proposal by Woodbine Development Corporation to renovate and refurbish the historic Hotel Texas, contingent upon public improvements which include a pedestrian plaza and parking garage being concurrently constructed by the City; and I WHEREAS, the Board has determined that the proposal submitted by Woodbine E Development Corporation to renovate the existing hotel structure while maintaining its historic character furthers the goals and objectives, as established in Fort Worth's Overall Economic Development Plan (OEDP), Comprehensive Economic Development Strategy (CEDS); and WHEREAS, the Board has determined that the expenditure of public funds is necessary and desirable to facilitate this renovation of the Hotel Texas by providing necessary public improvements; NOW, THEREFORE, LET IT BE RESOLVED that the Economic Development Policy Board determines that the Hyatt-Regency Hotel Complex project is consistent with Fort Worth's OEDP and CEDS and thus recommends that the City Council of the City of Fort Worth approve application by the City for $6,070,000 to the U.S. Department of Housing and Urban Development for the purposes outlined heTeil"., •ank Sherwood, Chairperson Economic Development Policy Board LI cr 2 3 Date 'iT [7 sil _—,n--,F-1 F"E a"S°N + C y of Fort Worth, T9exas HERCHERT �� // /�n,,vnf pA 7uvfg�pf nMp�1n `may' �]BAILIFF Mayor and Council cil Communication WU tl unicat6/on SMITH ✓ DATE REFERENCE SUBJECT: Hyatt Regency HoteMrban Develop- PAGE O'DELL NUMBER ment Action Grant Project EPPERSON 5/l/79 G-4150 1 of 2 Economic Development Strategy Two important aspects of the City's Comprehensive Economic Development Strategy (CEDS) are the emphasis on stimulation of private development and linking policy objectives to implementation. Specific high priority projects on the CED Stra- tegy include development of a downtown hotel and stimulation of the tourist/ convention industry. Previous actions related to the CED Strategy involved a cooperative effort between the City and Bass Brothers Enterprises to develop a new hotel near Tandy Center and to improve Main Street significantly. The tool to accomplish this joint effort is the Federal Urban Development Action Grant (UDAG) program. Hyatt Regency Hotel Complex Project The progress of the Main Street Project, the private investment commitments for downtown development, and the City's willingness to cooperate and participate in solving problems have all been a stimulus to another related major private development, the renovation of the Sheraton Hotel site into a Hyatt Regency Hotel For some time, Woodbine Development Corporation has studied the feasibility of renovating the former Texas Hotel (now Sheraton) site into a hotel of the highest quality. The positive results of Woodbine's feasibility studies and the City's progressive attitude towards economic development have resulted in the proposed Hyatt Regency Project. The proposed development project includes three parts: 1. $32,620,000 private renovation of the hotel site and conversion to a Hyatt Regency Hotel; 2. $4,770,000 public construction of an underground valet parking facility between the Convention Center and the hotel; and 3. $1,300,000 public improvements to provide landscaped plaza improvements above the parking facility and improvements to 8th Street adjacent to the hotel. OFFICIAL RECORD ,2y S.1RETARY FT. WORTH, TEL DATE REFERENCE SUBJECT: Hyatt Regency Hotel an Develo PAGE NUMBER ment Action Grant Project 5 1 79 G-4150 2 or 2 Project Benefits The project represents a combined $38,680,000 investment and continues implemen- tation of the City's Comprehensive Economic Development Strategy. Other project benefits include: A. Provision of over 550 permanent jobs, the majority of which will be available to low and moderate income persons; B. Creation of 800 construction jobs, the majority of which will be available to low and moderate income persons; C. An annual amount of $188,000 in City hotel tax revenues, plus additional sales taxes; D. An estimated increase in City property tax revenues of $51,000; E. The continuation of the Main Street area developments and the creation of a redevelopment corridor from the Convention Center to the Courthouse which will generate other private developments. Project Costs The public facilities are proposed to be funded through an Urban Development Action Grant. The total estimated project cost is: Private Funds $32,610,000 Federal Funds 6,070,000 City Funds -0- TOTAL $38,680,000 Recommendations It is recommended that the City Council: to Adopt a resolution specifying the City's intent to apply for an Urban Development Action Grant from the U. S. Department of Housing and Urban Development in the amount of $6,070,000 to implement the Hyatt Regency Hotel Project; and 2, Authorize the City Manager to accept the grant, if offered. WRH:plg rfy. 701RACTME REORD Attachment CRETARY SUBMITTED FOR THE CITY MANAGER'S DISPOSITION COUNCIL: PROCESSED BY OFFICE BY: PPROYED j ORIGINATING ❑ OTHER (DESCRIBE) ^+ DEPARTMENT HEAD: Wo Ralph Hardy CI SECRETARY FOR ADDITIONAL INFORMATION CONTACT: Butch Saxton, Ext, 8180 DAT A RESOLUTION RESOLUTION AUTHORIZING SUBMITTAL OF A GRANT APPLICATION TO FUND A PEDESTRIAN PLAZA AND PARKING GARAGE IN CONJUNCTION WITH THE PRIVATE REDEVELOPMENT PLANS OF WOODBINE DEVELOPMENT CORPORATION FOR THE HYATT REGENCY HOTEL COMPLEX PROJECT UNDER THE URBAN DEVELOPMENT ACTION GRANT PROGRAM OF THE U. S . DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT WHEREAS, a healthy and vital Central Business District is both necessary and desirable to contribute to and maintain the economic health of the inner city;. and WHEREAS, development of a downtown hotel near the Convention Center through joint public and private efforts and stimulation of the tourist/convention industry are high priority pro- jects of the City' s Comprehensive Economic Development Strategy; and WHEREAS , Woodbine Development Corporation has interest and capacity to renovate the existing Hotel Texas to the Hyatt Regency Fort Worth contingent upon public participation; and WHEREAS , the U.S. Department of Housing and Urban Development has a program tool in Urban Development Action Grants which may be- used to participate in such private/public projects ; and WHEREAS , the Economic Development Policy Board unanimously approved the project at its April 23 , 1979 , meeting; NOW, THEREFORE LET IT BE RESOLVED, the City Council authorize the City Manager to apply for and accept an Urban Development Action Grant in the amount of $6,070,000 to provide for a pedestrian plaza and parking garage to complement the renovation of the. historic Hotel Texas proposed by Woodbine Development Corporation. OFFICIAL RECORD city S:CRETARY f T. WORTIC TOL