ULIOctober 28, 2010

SCAGCity of Los AngelesFriends of Park 101

AECOM Design + PlanningThe Robert Group

2008 EDAW Summer Intern Program _ PARK 101 Endorsements

Southern California Association of GovernmentsCompass Blueprint

Working with local governments to accommodate expected growth while improving regional mobility, prosperity, livability and sustainability

SCAG has completed nearly 100 Demonstration Projects

• Technical assistance for local planning that

– Demonstrates the local benefits of regional goals

– Creates models to replicate throughout the region

– Applies innovative planning tools

SCAG

LA R

iver

Uni

on S

tatio

n

Gra

nd

Ala

med

a

Temple

Cesar Chavez

PARK SUB-DISTRICTS

THE BIG IDEAS

CONCEPTUAL PLAN

Gra

nd A

ve

Ala

med

a S

tree

t

Vig

nes

Str

eet

Temple Street

Cesar Chavez

LA R

iver

EAST GATEWAY PLAZA

THE AMPHITHEATER

OVERVIEW • Case study findings

• Value creation opportunities

• Cost estimates

• Funding options

• Next Steps

OVERVIEW

Park 101 DistrictEconomic Feasibility

CASE STUDIES

VALUE CREATION• Infrastructure investments spur commercial activity

• Initial opportunity sites: parking lots, existing streets, ramps, & right-of-ways

• New parks, streets, lighting, pedestrian linkages, transit options >>> new hotel, office, retail, and residential development

VALUE CREATION

NO RECENT TRANSACTIONS

NO ACTIVE PROPERTY LISTINGS

KEY COMPONENTS

• Development sites

• Cap Park

• Park (not over cap)

• Streetscape

• Existing urban development, cultural amenities, private holdings

KEY COMPONENTS

• Phase 1: El Pueblo Gateway

• Phase 2: Hotel & Mixed Use

• Phase 3: Spring Street

• Phase 4: Alameda/Station

• Phase 5: Cathedral

PARK DISTRICT PHASING

Phase 1_UNION STATION PROMENADE

Capital Costs for InfrastructureRequired Infrastructure: $2.5 million

New Development Value: $0 million

Less Development Costs: ($0 million)

Net Land Value Created: $0 million

Capital Funding for Infrastructure

Public Funding: $2.5 million (100%)

City of Los Angeles: $1.25 million

Transportation Funds: $1.25 million

Land Program Redevelopment:

Public only

Public Improvements

1.1 acre park

Streetscape: 0.25 miles

Timeframe: 12-24 months

Phase 1_UNION STATION PROMENADE

MAIN STREET CAP PLAZA

Capital Costs for InfrastructureRequired Infrastructure: $34 million

New Development Value: $145 million

Less Development Costs: ($119 million)

Net Land Value Created: $26 million

Capital Funding for Infrastructure

Land Value Capture: $18 million (55%)

Potential TIF: $13 million

Fees & Exactions: $5 million

Other Funding: $16 million (45%)

Transportation Funds

State & Local Sources

Federal Funds (Stimulus, ARRA, etc.)

Land Program Redevelopment: 4.5 acres

250-room hotel

Mixed use office/retail: 280K SF

1,200 new full-time jobs

Public Improvements

1.1 acre park

1.3 mile streetscape

Timeframe: < 5 years

PHASE 2: HOTEL & MIXED USE

Capital Costs for InfrastructureRequired Infrastructure: $77 million

New Development Value: $252 million

Less Development Costs: ($207 million)

Net Land Value Created: $45 million

Capital Funding for Infrastructure

Land Value Capture: $31million (40%)

Potential TIF: $21 million

Fees & Exactions: $10 million

Other Funding: $46 million (60%)

Transportation Funds

State & Local Sources

Federal Funds (Stimulus, ARRA, etc.)

Land Program Redevelopment: 9.9 acres

Mixed use office/retail: 350K SF

420 Apartments & Condos

1,600 new full-time jobs

Public Improvements

6.4 acre park

1.3 miles streetscape

Timeframe: < 5 years

PHASE 3: SPRING STREET

Infrastructure Costs Phase 1 Phase 2 Phase 3 Phase 4 Phase 5 Total

Freeway Cap Park 0% 76% 79% 90% 88% 85%

Park 43% 1% 6% 2% 2% 3%

Streetscape & New Roads 57% 23% 15% 8% 10% 12%

Total Cost ($ millions) $2.5 $34 $77 $59 $215 $387

Induced Private Investment $ - $119 $208 $ - $81 $408

Infrastructure Funding

Private Value Capture $ - $18 $31 $ - $12 $61

0% 53% 41% 0% 6% 16%

Other Funding Required $2.5 $16 $46 $59 $202 $325

100% 47% 59% 100% 94% 84%

All values in millions of dollars

INFRASTRUCTURE COST

Components Park Station River Total

Residual Value Created $83 m

Redevelopment (acres) 18.2

Redevelopment (million SF) 1.5 m SF

Residual Value per Acre ($ million) $4.5 m

Implied FAR 2.0

New Park (acres) 22 13 10

Potential Development Rights (million SF) 1.9 1.1 0.9

Potential new value ($million) $100 $59 $49

Potential Capture (10-20%) $10-$20m $6-12 m $5-10 m $21-42 m

TDR Funding Option

Components Park Station River Total

Cap Park ($millions) $328 $111 $0 $439

Park ($m) $12 $51 $63 $126

Streetscape($m) $47 $98 $20 $165

Total Infrastructure Costs($m) $387 $260 $83 $730

DIRECT COST SUMMARY

IMMEDIATE NEXT STEPS

• Political Champions

• High Speed Rail Design & Implementation

• Union Station Gateway:

– $1.1 million for park improvements

– $1.4 million for roadway improvements

– Potential Sources: City of LA, Metro, CalTrans

• Park 101 District-wide Environmental Documents

– Non-capital transportation funding

– Caltrans/METRO: CMAQ, TE Grants, STP, etc.

– HSR Mitigation

IMMEDIATE NEXT STEPS

THE GREEN