Each are distinct things authorized by Washington State Law to accomplish specific purposes.

a. Community Renewal Areas. Washington law (RCW 35.81) permits the City to establish a Community Renewal Area to help areas that need renewal. With the CRA designation, the City gained a toolkit designed to help it facilitate renewal. For example, while Washington law typically limits cities from working with private enterprise, cities are encouraged to partner with private enterprise to rejuvenate a Community Renewal Area.

b. Planned Actions. Washington law (RCW 43.21C) permits the City to simplify and expedite environmental review by developing a Planned Action Environmental Impact Statement (EIS) that analyzes, in advance, environmental impacts that may arise from redevelopment and then designating an area as a Planned Action. By analyzing the impacts and determining the necessary mitigation projects, future property owners generally will not have to conduct a new environmental analysis, reducing the length of time before a building permit can be issued. This important early step makes properties more attractive to potential buyers given the time savings.

c. Development Agreements. Washington law (RCW 36.70B) permits the City to enter into a contractual arrangement with a private property owner for the development of land. A Development Agreement sets forth the standards and conditions for the development of a specific property. The purpose of a Development Agreement is to provide assurances to the property owner that the applicable development regulations will not change during the term of the Development Agreement, which can be many years. A development Agreement also strengthens the planning process, encourages private participation, and reduces the economic costs of development.

RCW 35.81 describes what an area that needs economic renewal looks like, and the City Council affirmed that four of the five reasons aptly described the CRA:

a. “Old, obsolete buildings” such as the vacant Sears Catalogue Sales building and the three vacant buildings on the Westminster/155th triangle, where construction is now underway on the Trammel Crow Alexan apartments. The Sears retail building, even while occupied, reflected a shopping experience of decades ago.

b. “Defective or inadequate street layout” and “faulty lot layout.” Shoppers cannot walk or drive easily between buildings, and traffic on Aurora and N 160th Street has difficulty accessing the site. In addition, the lot layout and topography of the site work against the retail function of the businesses.

c. “Excessive land coverage.” Acres of parking in inaccessible or unnecessary locations, a lack of landscaping, and inadequate storm water management pose costly hurdles for additional development.

d. “Diversity of ownership.” Property divided among eight different ownership groups resulted in the inability to make changes at the speed necessary to respond to opportunities.

Shoreline Place can become a model of the new urban lifestyle, with sustainable infrastructure, residences, offices, and generous public spaces tied to transit, neighborhoods, and the Interurban Trail. Given its size, location, demographics, and transportation access, Shoreline Place is unique among urban redevelopment opportunities in the rapidly growing Puget Sound. The City regularly surveys its residents about ways to improve Shoreline. A broader array of housing and dining choices, and better shopping and entertainment are frequently mentioned. Shoreline Place is an opportunity to add all these amenities.

As outlined in the Aurora Square CRA Renewal Plan, the City can initiate tailored assistance based on the needs of the site and its interaction with the property owners. Examples include:

a. Designing area-wide storm water management or energy systems that allow individual lots to take advantage of economies of scale;

b. Commissioning traffic and parking studies to justify more development through right-sizing parking and providing improved access;

c. Creating a special signage district to offset the fact that the Interurban Trail pedestrian bridges tend to block site visibility from passing motorists on Aurora;

d. Reworking N 160th Street with hopes of giving Shoreline Place another “front door” and of better engaging Shoreline Community College’s 9,000+ students;

e. Tailoring zoning in special districts that will generate new investment from tenants or users that aren’t currently on site;

f. Designating central, consolidated plazas and public spaces that serve the entire center and become focal points for community gatherings;

g. Financing major infrastructure improvements that allow for more predictable and intensive development.

No, the CRA itself doesn’t change anything. It is merely a toolkit for the City to use for the very limited purpose of bringing about renewal.

In a limited way; the City partnered with the community as well as Shoreline Place property owners to envision connections and the infrastructure necessary to serve the site. This is articulated in the Aurora Square CRA Plan. However, even with the CRA Plan, the City has limited authority over how private property owners will use or develop their sites.

Two common property rights objections often surface when cities create CRAs: the dislocation of residents and the use of condemnation or eminent domain for economic development. Since no residents live in the CRA, the first objection doesn’t apply. As for condemnation, when the City Council originally designated the Aurora Square CRA, it explicitly stated that condemnation will not be used for economic renewal at Shoreline Place, even though RCW 35.81 provides the City with that tool.

The full Revised Code of Washington addressing Community Renewal areas is available to review: RCW 35.81. Questions can also be directed to Nathan Daum at ndaum@shorelinewa.gov or (206) 801-2218.

The Development Agreement proposed by Merlone Geier spans 20 years to allow the projected 10-year market absorption of residential units planned as well as any down time caused by unforeseen challenges, such as a potential recession or other constraint on financial markets. If approved, the Development Agreement would establish expectations for both the City and the developer over this longer period of time. It will be recorded on the title of the land, ensuring that the standards and conditions will remain in place no matter the owner.

Yes. A development agreement is an optional process to allow for the development of property under specific terms and conditions. The former Sears property could alternatively be redeveloped one building at a time based on a project-owner’s evaluation of market conditions at the time, in accordance with the City’s development regulations that exist at the time. The property is currently zoned mixed-business, which allows a variety of uses including residential and commercial with no square-footage minimums or maximums. The City’s development regulations do limit development to 70-feet in height, with some exceptions, and establish open space, set-back, and parking requirements.

No. A development agreement does not exempt a developer from the City’s development regulations. The development agreement may modify development standards contained in the Shoreline Municipal Code, but the development still must meet the intent of the regulations.

 To approve a development agreement, the City Council must consider the public benefit arising from the Development Agreement. In addition, Shoreline Municipal Code Chapter 20.30.355(c) lists the decision criteria that an applicant must meet before the City Council may consider approving a development agreement. The criteria are:

a. The project is consistent with goals and policies of the Comprehensive Plan.

b. The proposed development uses innovative, aesthetic, energy-efficient, and environmentally sustainable architecture and site design.

c. There is either sufficient capacity and infrastructure to meet the City’s adopted level of services standards in the transportation and utility systems for all phases of the project or that there will be adequate capacity and infrastructure by the time each phase of development is completed. If additional infrastructure or capacity must be increased to support the proposed development agreement, then the applicant must identify a plan for funding their proportionate share of the improvements.

d. The development agreement proposal contains architectural design and site design standards, landscaping, provisions for open space and/or recreation areas, retention of significant trees, parking/traffic management and multimodal transportation improvements and other features that minimize conflicts and create transitions between the proposed site and property zoned R-4, R-6, R-8 or MUR-35’.

e. The project is consistent with the standards of the City’s critical area regulations.

The proposed public spaces, labeled as the “Open Space System” by Merlone Geier, total 3.47 acres of public gathering places, plazas, and lawns. The City’s development regulations require Merlone Geier to provide a certain square footage of public open space for its redevelopment. The public open space proposed as part the Merlone Geier Partners Development Agreement exceeds the minimum required by the City’s development regulations by 2.91 acres. The proposed public open space is not traditional “open space” as the term is commonly understood, and as seen in the natural areas outside of, or scattered throughout, a city. Instead, the term “open space” refers to space not taken by buildings in a developer’s plan. Merlone Geier has chosen to use this phrase in some of the naming and descriptions of its public spaces, which, while public, are more similar to urban plazas and landscaping areas than typical “open space.”

a. The “Central Plaza” (East and West Plazas) is approximately 0.66 acres and will provide for informal active and passive recreation as well as more prescribed uses such as festivals, community gatherings, concerts or other event staging.

b. The “Community Open Space” is approximately 0.9 acres and will have a park-like character and allow for active play and lounging. It will act as a pedestrian gateway from the more residential upper areas of the site to the retail core.

c. The “North Promenade” is an eight-foot wide separated pedestrian and bicycle path that meets ADA standards parallel to the existing sidewalk within the N. 160th Street right-of-way, which will remain, allowing for the preservation of a mature row of large conifer trees.

d. The “Westminster Way Plaza” is approximately 0.49 acres and will provide a gateway from Westminster Way N. inviting people into the “Open Space System.” Wide open pedestrian paths create space for outdoor dining and gathering.

Based on the the City’s current park impact fees (PIF) and the projected number of dwelling units included in the proposal, the total park impact fee due to the City would be over $3.6 million (see Table 1). This would be paid over time as each phase of the development goes through the permitting process.

Table 1: Park Impact Fee Calculation

Proposed number of units	1.358
Park Impact Fee (PIF) / unit	$2,683
Total PIF Due	$3,643,514

 

A reduction (credit) in the amount of PIF to be paid by Merlone Geier is proposed as part of the Merlone Geier Partners Development Agreement. To obtain the credit, Merlone Geier is required to dedicate certain areas of public space to the public. This dedication means that these areas will be open to the public at no cost to the City because Merlone Geier would be responsible for maintenance. This credit incentivizes the creation of public space as envisioned in the CRA Plan while also alleviating some of the City’s need to develop and maintain parks and open space.

Staff looked closely at each area of open space proposed by Merlone Geier to determine its suitability as a public park or open space. Many of the areas deemed open space by the developer are primarily ‘transportation’ oriented, appeared to provide more amenities for the on-site residents, and/or were not conducive to public gathering and interaction. Those spaces were not deemed suitable for PIF credits. The woonerf, promenades and smaller retail plazas were also considered not suitable for PIF credits.

The City will only apply the PIF credit if required amenities are provided to make them interesting gathering places based on specific criteria approved by the City of Shoreline’s Director of Parks, Recreation, and Cultural Services. The proposed areas and associated PIF credit are summarized in Table 2. The proposed Merlone Geier Partners Development Agreement would provide a PIF credit of $1.4 million. The remaining PIF would be $2.2 million The areas deemed suitable for PIF credit each are large enough that, if they include appropriate amenities, are likely to become gathering places separate from the residential units and retail stores that they are adjacent to. Westminster Plaza is a unique opportunity to move forward with an implementation strategy in the City’s Public Art Plan 2017-2022 to “install more visible art in highly visible places such as … Aurora Avenue…” Requirements for each park and open space are included in the Development Agreement and list below in Table 2.

Table 2: Calculation of park impact fee requirements:

Public Space Feature (Referred to as "open space" in SMC)	Acres	Credit (acres x land value)	Cumulative Credit	Remainder
			$0	$3,643,514
"Community Open Space"	0.9	$774,110	$774,110	$2,869,404
"East Plaza"	0.43	$369,852	$1,143,962	$2,499.552
"West Plaza"	0.23	$197,828	$1,341,790	$2,301,724
"Westminster Plaza"	0.11	$94,613	$1,436,403	$2,207,111
Total	1.67	$1,436,403

 

Yes. Merlone Geier Partners will be required to submit a construction management plan that states how impacts will be limited, mitigated, and monitored related to such things as noise, parking, and traffic. This is a requirement for any construction project in the City and will be required at the time the developer applies for building permits for each phase of the project.

Yes. The Merlone Geier Partners Development Agreement in and of itself does not authorize construction. Merlone Geier will still be required to submit building permit applications. Unless the approved Development Agreement expressly provides for modification, the Development Agreement does not change the requirements placed on any developer to comply with the City’s land use and building codes with respect to design, aesthetics, access, and life-safety. This is a requirement for any construction project in the City and will be addressed at the time Merlone Geier Partners applies for building permits for each phase of the project.

In addition to requirements to comply with City parking, traffic, and access regulations, there are private contractual documents that control the parking requirements between the various property owners. Such private agreements are a common practice for multiple-owner shopping centers across the country.

Sound Transit’s Light rail contractor SKH will use the building as a base of construction operations until late 2023 when the light rail stations at NE 145th and NE 185th are expected to open. After that, the Sears building will be available for demolition and the advancement of future phases. While the CRA Plan contemplated the potential adaptive reuse of the Sears building, Merlone Geier has focused exclusively on, and invested heavily in, designs predicated on the removal of the Sears building. Merlone Geier will determine the timing of demolition of the building as it advances its phased development.

No. Merlone Geier Partners only owns 25% of the property located at Shoreline Place. Merlone Geier Partners’ proposal is a mixed-use development with residential and retail uses clustered around a series of public gathering spaces. The residences will support the new and existing shops and restaurants that will replace the now closed Sears.

The rest of the CRA, including the current anchor Central Market, is not owned by Merlone Geier Partners. Other redevelopments underway on CRA properties owned by Trammel Crow Residential and Washington State Department of Transportation, will provide living space for hundreds of new residents and office space for hundreds of new workers.

With the conversion of a former department store into a new, vibrant, urban neighborhood, it is hoped more redevelopment will follow, including more office and retail. While there is currently no other redevelopment planned at this time, the entire CRA is zoned Mixed Business, a zone which allows for development of office, commercial, residential, and other uses. The ultimate use of the property will be the decision of the property owner(s).

No. Merlone Geier Partners’ proposed Open Space System, totaling 3.47 acres of public gathering places, plazas and lawns, is not proposed in exchange for taller buildings. The City’s development regulations require Merlone Geier to provide a certain square footage of open space for its redevelopment. The public space proposed as part the Merlone Geier Partners Development Agreement exceeds the requirement.

Merlone Geier has identified market demand for three basic types of buildings, all of which are similar to existing buildings located in other commercial areas of the City.

a. Restaurant/Retail Commercial space:

i. Two (2) one-story commercial buildings forming a new gateway to Shoreline Place and framing a signature entry plaza at the corner of 155th and Westminster Way, and

ii. One (1) one-story commercial building extending the “in-line retail” adjacent to the north end of Central Market.

b. Mixed Use: Two (2) mixed-use, mid-rise buildings with 5-6 floors of residential above a 1-2-story podium of commercial use, leasing office/lobby/mail room space, and parking entries.

c. Residential: Two (2) mid-rise buildings with 5-6 floors of residential above a 1-2-story podium of leasing office/lobby/mail room space, and access to parking located beneath.

The Mixed Business zoning of the CRA does not permit High-rise towers, defined as buildings of 12 stories or taller. The proposed buildings will be comparable in height to other recent multifamily projects in Shoreline (65 to 80 feet). The buildings will be shorter than the adjacent WSDOT building.

Yes. The City’s development regulations still apply and Merlone Geier has not requested a departure from the setback requirement pertaining to the low-density residential zoning across 160th street. Merlone Geier’s proposed multifamily buildings are of greater distance from the residential zoning across the street (160th) than is required for a set-back. The setback area on Merlone Geier Partners’ property will include a densely vegetated frontage with a non-motorized pathway separated from vehicular traffic parallel to the street.

• The addition of a new entrance at 160th between Fremont and Evanston, as proposed by Merlone Geier, is a high priority for the City as set forth in the CRA Plan. This entrance, if agreed upon by the adjacent property owners, will serve the WSDOT property, the loading area for Central Market, and one of Merlone Geier’s proposed residential buildings.
• A new entrance to the CRA on 160th Street will create a more permeable, accessible edge for Shoreline Place where the current entrance, separate from other access points by over 1,000 feet, discourages pedestrians. The new entrance results in a configuration that is a more-widely accepted ideal maximum block length for vibrant, walkable, retail-oriented urban environments. Longer distances tend to discourage walking and window-shopping, while encouraging driving.
• The eastern leg of 160th, where multiple driveways are needed within close proximity, a single consolidated curb-cut would be preferable, however, this could limit access to existing commercial loading and unloading areas.
• The CRA goal for access points along 160th is to increase flexibility, permeability, and convenience by reducing the reliance on a limited number of access points, which tend to funnel vehicles into more intense traffic flows.
• Recognizing the use of the driveway located between Linden and Fremont by ROIC tenants, Merlone Geier has proposed, at its own cost, to create a new driveway to provide direct access to ROIC loading areas along with an updated easement to allow delivery trucks to travel across Merlone Geier property. The next driveway, one of two on ROIC’s property, is less than 140 feet away. The second is nearly 300 feet to the east and approximately 220 feet from Aurora.

Yes. A revitalized Shoreline Place will be busier, and, as such, less attractive to cut through traffic. However, multiple internal ways for multimodal (pedestrian, bike, vehicle) access into the heart of Shoreline Place and will also allow travel from all directions through the area. While the transportation network internal to Shoreline Place will continue to be private property subject to the private property owner agreements, the streets will also have easements for public access, allowing a free flow of movement for visitors from throughout the community.

No. Delivery trucks will always be able to access Central Market as would be required with any site development permit and subject to agreement between the private property owners. Internal connections are proposed to prioritize the comfort of shoppers, families, and children in the interior and prominent Westminster-Way-facing edge, with delivery trucks routed out of the way along primarily the backs of buildings. This circulation pattern prioritizes efficiency in alignment with existing loading docks while separating freight from pedestrian, bicycle, shopper, and other vulnerable visitors to a renewed, vibrant community and commercial center.