By Roland Murphy for AZBEX
Avondale officials are identifying the next steps to develop City-owned parcels as part of its downtown vitalization cornerstone project The BLVD.
The City issued a request for proposals in February for a developer for a 16-acre commercial property with office space at Avondale Blvd. and Van Buren Street. Over the summer, Avondale announced it had selected Blueprints Capital and Whitten Development as its partners for the project, which is targeting development of an entertainment, retail and restaurant hub.
Development of three parcels was granted to Blueprints Capital, while the fourth was granted to Whitten for a hospitality-centric project. City documents from October state, “The City will now enter formal negotiations with Blueprints Capital to define the scope and details of the project. The development agreement and lease to purchase agreement will follow in the coming months.”
The greater site for The BLVD covers 356 acres and has been in development for more than 20 years. Several projects—including multifamily housing, entertainment and other hospitality outlets—have already been built in the area, which is roughly anchored at Interstate 10 and Avondale Blvd.
According to recent City documents, “Officially dubbed ‘The BLVD.’ in 2018, Avondale’s epicenter has grown exponentially, boasting four hotels, four multifamily housing developments and over 23 retail and restaurant establishments, including the American Sports Center, located in the Park District, which attracts over 500,000 visits annually.”
Discussion of New Plans
On Oct. 20, staff will make a presentation to Avondale City Council about The BLVD and Blueprints Capital.
A primary topic of next Monday’s presentation will be the necessary public investment needed to support the project’s infrastructure improvements. According to the report issued to Council in advance of the meeting, Blueprints Capital has requested reimbursement costs for key infrastructure in phases.
The first phase includes completing 114th Avenue to Fillmore Street, completing Fillmore Street from Avondale Blvd. to Park Avenue, and constructing a “Great Lawn” with restrooms, a stage, a play area and fencing. The developer will take responsibility for maintaining the Great Lawn area after construction.
Phase II will include extending Park Avenue to Van Buren. The total improvement cost is estimated at $6.6M.
In exchange for the infrastructure investment, Blueprints Capital plans to build out and develop three of the four City-owned parcels in The BLVD Park Avenue District to “activate the open space area surrounding The BLVD Lakes and include more than 50 public events annually, representing an estimated public benefit of $2.5M over seven years. The proposed development will include approximately 22KSF of retail space, 40KSF of restaurant and bar space with lakefront dining, 65KSF of entertainment and ‘eatertainment’ uses, and approximately 13KSF of office space.”
Phase I will include a 10KSF full-service restaurant and bar, the office space and the lakefront restaurants. The parcels will close when permits are pulled. Phase II will include the seven-acre hard corner at the NEC of Avondale and Van Buren.
The expected benefits include a projected $5M in new net local sales taxes and $9.5M in property taxes, in addition to a total economic impact of approximately $40M, according to submitted projections.
The presentation will be for information only. No action will be taken.
The Whitten Development Component
In the same meeting, Council plans to discuss Whitten Development’s plans for its parcel and to consider a request to adopt a notice of intent to enter an economic development agreement with sales tax rebates to facilitate the construction of an Embassy Suites Hotel.
According to the meeting documents, “The developer is proposing to build and operate a six-story, 180-key full-service hotel that will include over 10KSF of conference and meeting space, as well as a rooftop bar offering dining and event opportunities with expansive views of the surrounding area.”
When the NOI is approved, staff will finalize the terms of a development agreement, which will include project phasing, construction timelines, performance milestones, public infrastructure obligations, and the framework for any participation by the City of Avondale.
