1. NJ Futures Forum 2012March 2012Evolving strategies for land assemblage, urban redevelopmentwithout eminent domain.The Evolving Jersey City Experience.

2. 2 3. 3 4. 4 5. 5 6. 6 7. Our Goal is trying to avoid this!7 8. Moving toward Voluntary land assemblage.The goal is real market based incentives to land assembly. 8 9. The greed and avarice scenario. The difficulty of assembling sites large enough to redevelop at higherdensity can and has hindered renewal in city centers and acceleratesuburban sprawl onto large sites already in single ownership. A numberof cities are looking at new redevelopment strategies encouragingvoluntary land assembly. Graduated Density is one strategy now beingused in California and Jersey City. Others are Land Assembly Districtswith the power, by a majority vote, to approve or disapprove the sale ofthe neighborhood to a developer or municipality seeking to consolidatethe land in a single parcel. Land Pooling and Land Adjustments areother scenarios being looked at in the United States and other countries.Canal Crossing is evolving to include a little of everything. 9 10. Graduated Density can create a new fear of being left out. Graduated density zoning which allows higher density on larger sites. Thisstrategy can increase the incentive for owners to cooperate in voluntaryland assemblage that can create higher land values. Graduated densityzoning will not eliminate the incentive to hold out, but it can create a newfear of being left out. Holdouts who are left with sites that cannot be combined with enoughcontiguous properties to trigger higher density lose a valuable economicopportunity. Jersey City is presently using this strategy in Journal Square and McGinleySquare Redevelopment Areas. 10 11. Journal Square Redevelopment Plan The original Journal Square Plan called for the an increase beyond theunderlying zoning districts maximum FAR would be permitted through aDistrict Improvement Bonuses (DIBs) and the Inclusionary Housing Bonus.Both of these tools were meant to provide more development options in theSquare without overly enriching the existing property owner. The central purpose DIB was to even the playing field between theproperty owner and the developer, while providing much needed funds forinfrastructure improvements. Journal Square is the ultimate fragmented ownership scenario.11 12. The Study AreaRedevelop Journal Square 12 13. Journal Square Study Area13 14. 15. Journal Square Density 16. Base - FAR Plan 17. District Improvement Bonuses (DIB)EXAMPLEBase FAR of 10, eligible for anadditional bonus FAR of 20In this scenario, a 36 story buildingusing the total site area is proposedon a parcel with a base floor arearatio of 10. By contributing to theDIB fund they were awardedadditional floor area of 20. Thisbonus is applied by adding anadditional 20 stories to thedevelopment. By setting aside 10%of the gross floor area to workforcehousing, the developer earned anadditional 10% to the building area. 18. District Improvement Bonuses1. Streetscapes and landscape improvements2. Construction and maintenance of parks and plazas.3. New Transit systems to service Journal Sq.4. Infrastructure improvements5. Deck over rail road cut6. Remote and Local Parking intercept facilities7. Street and intersection improvements8. Intelligent transportation systems9. Bicycle improvements10. Preservation of Historical and culturalresources11. Solar, wind and green roof technologies 12. Provision of work-force housing 19. Base - FAR Plan 20. Bonus - FAR Plan 21. Base- Maximum Height Plan 22. Bonus - Maximum Height Plan 23. Journal square zone 3, allowing up to 25 stories. Lot AreaMinimum BuildingMaximum Building Approximateup to:HeightHeightLot Dimension(square feet)(stories)/(feet)(stories)/(feet)0 to 2499 3 / 32 3 / 34 25x1002500 to 4999 3 / 32 5 / 54 50x1005000 to 7499 4 / 42 8 / 85 75x1007500 to 9999 5 / 5210 / 105100x100 10000 to 124995 / 5218 / 195125x100 12500 and up5 / 5225 / 265 24. McGinley SquareRedevelopment PlanApproximate Lot AreaMinimum BuildingMaximumLot up to: Height Building Height Dimension(square feet)(stories)/(feet) (stories)/(feet)0 to 24992 / 22 3 / 34 25x100 2500 to 4999 2 / 22 4 / 44 50x100 5000 to 7499 3 / 32 5 / 54 75x100 7500 to 9999 3 / 32 6 / 64 100x10010000 and up 4 / 42 8 / 85 25. Canal Crossing Redevelopment AreaFinding a new model for large scale urbanredevelopment.25 26. In October 2010, the Agency received a $2.3million Tiger Planning Grant ( DOT/HUD) fordevelopment studies to work out the detailsand cost associated with the redevelopment ofCanal Crossing, this work includes a fundingand equity mechanism.26 27. Revitalization of this area has been hampered byoutdated infrastructure, large tracts of contaminatedformer industrial lands, and a road system that fails tosufficiently link up with the local regional rail network.The project focus will be to create a residential, mixed-use, transit-oriented development with access to openspace amenities in a community with a significant low-income population. The process will also develop aformal legal framework to ensure that redevelopment isequitable 27 28. 28 29. 29 30. 30 31. 31 32. 32 33. 33 34. 34 35. 35 36. RELOCATION As outlined, the Canal Crossing Redevelopment Plan convertsformer old industrial sites into new blocks for mixed use residentialdevelopment. Wherever practical, it is the preference of theJersey City Redevelopment Agency for existing propertyowners to participate in such manner that development of theproposed blocks can occur in accordance with this Plan. Tothat extent, this Plan and the Agency encourage thecooperation among the existing property owners in order forany block to realize its full development potential. Under thisscenario, the relocation of persons or businesses should besignificantly reduced. In terms of relocation, the vast majority ofrelocations will only affect businesses, since only one residentiallyoccupied property is currently listed for acquisition. 37. The Challenge is!This doesnt get us where we need to goas a community of property owners and asa city. It doesnt address the brown fieldissue/chromium clean up. It doesntaddress the flooding and other seriousinfrastructure issues, not to mentionplanning issues of new grid and transit. 38. Rincon Redevelopment Plan,San Francisco, Ca. 39. B. Owner Participation To the extent compatible with the purposes of the Plan andappropriate redevelopment of the Project, owners of real property in theProject may, subject to rules and regulations including standards forrehabilitation promulgated by the Redevelopment Agency, be accorded theopportunity to participate in the redevelopment of the Project. Suchparticipation shall be contingent upon execution by such owner of a bindingagreement (hereinafter called owner participation agreement) by which theproperty retained or acquired will be developed, maintained, or rehabilitatedfor use in conformity with the Plan, the Declaration of Restrictions, and theOwner Participation Rules promulgated by the Agency. Owner participation necessarily will be subject to and limited by such factorsas the nature, condition, and use of the existing improvements; thereduction of the total number of individual parcels in the Project; theelimination of certain land uses; the realignment of streets; the constructionof new public facilities and improvement in accordance with the Plan, thedeclaration of restrictions and in accordance with such controls as may befound necessary to ensure that redevelopment is carried out pursuant tothis Plan. 40. D. Acquisition of Real Property Any real property located within the Project Area may be acquired by theAgency by purchase, gift, devise, exchange, condemnation, lease, or anyother lawful method, including utilization of the power of eminent domain, ifone or more of the following conditions are met. The building is substandard to a degree requiring clearance asdemonstrated by a structural inspection of the property. The property must be acquired in order to eliminate an environmentdeficiency, including but not limited to: incompatible land uses, small andirregular lot subdivision, or overcrowding of the land. The property must be acquired in order to eliminate impediments to landdevelopment through assembly of land into parcels of reasonable size andshape, served by an improved street system and public utilities. 41. D. Acquisition of Real Property The building must be removed in order to effect achange in land use as provided in this Plan. Without the consent of an owner, the Agency shall notacquire any real property on which an existing building isto be continued on its present site and in its present formand use unless such building requires structuralalteration, improvement, modernization orrehabilitation, or the site or lot on which the building issituated requires modification in size, shape or use or itis necessary to impose upon such property any of thestandards, restriction and controls of the Plan and theowner fails or refuses to agree to participate in theRedevelopment Plan. 42. Anaheim Platinum Triangle. The City Council identified a few criteria for the plan: First, private property owners should drive development within thePlatinum Triangle. There would be no subsidies or other public incentives to achievedevelopment goals. Second, new mixed-use developments could not turn existingproperties into nonconforming uses or buildings. Property ownerswould still retain the rights to develop and use property pursuant toexisting zoning. Third, recognizing that the area was composed of dozens ofindividually owned parcels, the private sector would have toassemble parcels if larger sites were to be developed. The citywould not use eminent domain to acquire property. 43. Anaheim Platinum Triangle.Setting the table for development!Easier Permitting.First-Come, First-ServedPermits. Winner take allscenario!Broad-based EIR. Eminent DomainReduced BuildingRequirements.44 44. Curt Pringle Mayor of the City of Anaheim While many owners decided toredevelop or sell their properties, othersmall businesses have decided to staywhere they are, which is exactly what ourplan allows them to dokeep theirbusinesses with out the threat of eminentdomain. 45. Six areas where public private partnerships create value in contemporary real estate development. 46. Site: Lower ownership, entitlement access, riskcleanupCo-investment:Debtinfrastructure andFundingfacilitiesEquity Gap fundingFunding 47. Thank You