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RRA - Item 2 - Eaton Village Presentation (Robert McCoy)ROSEMEAD REDEVELOPMENT AGENCY TO: HONORABLE CHAIRMAN AND MEMBERS ROSEMEAD REDEVELOPMENT AGENCY FROM: G. TRIPEPI, EXECUTIVE DIRECTOR DATE: SEPTEMBER 7, 2000 RE: EATON VILLAGE PRESENTATION-ROBERT Mc COY At the Agency Meeting of September 120, Robert McCoy will provide the Agency with an update on his proposal to develop Eaton Village on Valley Boulevard. Following his presentation at the May 30'e joint meeting of the El Monte City Council and the Rosemead City Council, Mr. McCoy has further defined the project and the project economies. Staff requested that Mr. McCoy provide the new information to the Agency for their consideration. He will be presenting information on the project's need for assistance in acquiring portions of the site as well as a need for economic assistance from both cities to help construct structured parking. Attached, please find the preliminary proforma information submitted to the staff on September 6m. The document illustrates a need for over $21 million in public assistance to construct structured parking. Additionally, Mr. McCoy will be requesting acquisition assistance from the Agency and a proposed future parking district to help assemble the site because private negotiations with the property owners have proceeded less successfully than anticipated. With respect to potential tenants, the developer states they are discussing the potential project with several tenants but are unable to identify specific tenants at this point in the process. Also attached is a copy of the minutes from the May 30'h joint meeting. E _ E P 12 2000 I @^.F Y F 8838 VALLEY BLVD., ROSEMEAD, CA 91770 • (818) 288-6671 • Telecopier 8183079218 Eaton Village- Project Development Status 1. Community Shopping Center- with 100,000 SgFt Major Tenant • Buildings 743,900 SgFt e Land 1;294,319 SgFt • Urban Land @ Pad Ready Cost • Standard Shopping Center Land @ Lease Value Urban Land Premium & Redevelopment Costs • Estimated Project Cost $110,000,000 • Parking Structure Costs $21,200,000 • Est. Annual Project Rental Revenue $13,000,000 • Est. Additional City Sales Tax Revenue $1,900,000 2. Project Redevelopment Status (Parcels Under Developer's Control) $35,500,000 ($27.50 per Sq.Ft.) $10.300,000 ($8.00 per Sq.Ft.) $25,200,000 Parcel By City SgFt % Assessed Value Rosemead Parking Dist. 164,537 78% $859,000 66% Rosemead Redevelopment 115,575 32% $1,585,104 30% El Monte Parking Dist. 519.744 77% $5.366,118 57% Total 783,166 61% $7,910,222 49% Annual Rents $ 13,108,389 Less Vacancy Factor 10% (1,310,839) $ 11,797,550 Project Capitalization Rate 10'00% Cap Lease Project Valuation $ 117,975 497 LTV% @ Project Completion _ 75.00% Permanent Loan Funding - $ 86,481,622 City Redevelopment Participation $ 17,261,250 Total Project Funding Required S 105,742,672 Total Project Cost @ Completion $ 110,047 768 Rosemead/El Monte City Redevelopment Participation 3uilding 6 8 F Parking Structure Cost $ 21,161,250 Maximum Revenue Bond supported by estimated sales tax increase. $ 23,092,250 Reduced City Contribution to 75% of Tax Revenue $ (3,9D0.000) Avg. SalealFt $ 270.00 City Revenue Bond Financing $ 17.261250 City Redevelopment Bond Funding $ 17,261,250 % of Additional Tax Revenue Committed to Bond Financing 75A Loan Rate Assumptions 25 9.2% End of month Loan Constant- annual 0.10346065 Loan Constant- monthly 0.008529343 Amount Financed 9.20% $ 88 481,622 25 Year Amortization Input Data - Amortization Constant 0.008529 $ 754,690 Vacancy Factor Estimates ' 12 10% 15% 20% Annual Loan Payments $ 9,056,281 $ 9.056,281 $ 9,056,281 $ 9,056,281 Annual Rental income $ 13,108,369 $ 11,797,550 $ 11,142,130 $ 10486,711 Gross Difference 5 4,052,107 $ 2,741,268 $ 2,085,849 $ 1,430,430 Coverage Ratio (Gross RenWLwn Payments) 1,45 1.30 1.23 _ 1.16 EVPF36 Howards.)ls Project Cost 914/00 4:21 PM Building Costs N. Net larE Lane Comfru:ea, Ar exal Ran Corc~on Butlbj~ Q ,,OOOn L....ue L.... w ~,mm Rata/ So Ft Cost mlr Ft Cd l1 1 A 1 M. Reneer - 100,000 - 3 1.10 $ 45.00 S 1.320.000 S 4,5=,000 A 2 Lease SInpS 10.000 S 2.00 S 45.= S 240.000 S 450,000 A 3 leased ResunanGrOnO $ S. - 5 - 5 . A 4 Manemrne A.. 7,000 E 75.00 S - S 525.000 B I Rnnvan 28,500 $ 1.50 5 55.00 E 513,000 $ 1,587.500 B 2 RMail Stash 21,71M $ 2.25 E 45.0) 5 505.800 5 616,5= B 3 R.USOon - 3 . $ 45.00 E - S B 3 Roof TOM. SM m 75,000 E 1.10 $ 45.00 $ 880,000 S 3.375.000 B4 msennenrHoA% 15.000 5 150 S 5500 5 1,3500= S 4.125,000 Panung (1.e00 cart) 536,000 $ 2'w S 13.200.000 S 8250 330 FeCar Slur C 101 Reed Slnn 28000 115 $ 4500 E 420,000 $ 1280.000 C 102 ROW Sin= 21,000 $ 125 S 45.00 S 315.000 S 815,000 C 103 Retail SnOgn 1,000 $ S 2,50 S 45.00 S 210,000 S 315.500 C 101 S Ree 3.300 5 250 5 4500 E "000 3 148,500 C 105 l sh%O Retai15roP1 4.800 3 2.00 S 4500 S 111,000 S 216,030 C 108 Real Stases 5.000 2.50 S 4500 $ 150,000 5 M 225..0= C 107 Retail Sys 4.500 $ 3 2.50 S 4500 5 135.000 S 202500 i 4 000 5 2.50 S 45.00 S 120,000 $ 1000= C IN Res t SMw . 000 2 S 3.00 S 4500 S 72,000 3 80.000 C 108 Ranh 5rop4 . s . 3 45.00 S - S - C Bea I)s. Hal 000 20 $ 200 S 7500 S 480.000 5 1,500,0= C 201 OIBm U. , D I Mahaebnp 13%pOld 80.000 800= E 2750 $ 214,500. Iana Reaer.ee 13%yR111 20,8= $ 27.50 E 74,918 L..Wv Doo. Arm 13%ymin 080 5 27.50 5 16,731 E1 Fist FW, RaU0 %7= S 2.00 3 85,00 E 882000 S 3,123,750 201 Secore Floor puce 36,750 5 2.= S 85.00 E 882.=0 S 3,123 ]50 F 1 Fast Fw, ROW 81,800 E 125 E 45,00 $ 824000 E 2772000 2 Fist Fb - Reed 30,000 3 1.25 3 45.00 S 450,000 3 11350,=0 3 FOst Fwr. Retail 25,000 E 125 S 45.00 S 375,0= S 1,125.000 4 Fnt Fn - Mist Seel ROW WOOD S 2.00 S 45.= 5 1,140,000 S 1,710,=0 G 210= $ 125 $ 4500 5 315.000 S 675,000 I R 15 0= S 1.50 $ 45.00 5 270,000 S 875,0= 3 . ResB . 0 000 $ 2 00 S 45.00 S 240,000 S 450,00D 3 Pebil 1 , . Peninp(B85.n) 318450 E 25.00 S 7,881250 3 8250 330 FvCer 5/mr H 101 Box Type ROW 3 1.= S 45.= E - - $ 102 Ben Type Retil $ 1.50 S 45,00 S - $ 105 Box Type Reed S 1.50 3 4500 3 - $ 104 Box Type ROW E 150 $ 4500 5 - S - I ROatlnd Sh%e Re.4seo %n $ 1.50 3 45.00 3 - S - Pan PReae II &ikLO,[ PMraeE 500 3 3 2.15 S 80,3= - $ A Berg . 4 000 S t.BB S 80240 t - 8 C , 3.825 $ 2= 3 - S ' D 5400 S 2.= 5 - $ ' E 0 g 4225 $ 2= $ S - 7=1 853 <50 743,000 106,538 E13,108.389 S 57,0%.]50 PaMpSb,xgVe Cosh 1(21.101250) RestS.. Commceon Coss S 35,875500 ]43.800 Semle F.S.. 1y750 A.maBe Anne) ReraM R. 3 1782 Nat Are. U. Bul v 555,150 R Average M.M* Rental Ran 5 1.47 Renll Retal Rates 2630,000sga S 1.25 1&20,000 aq8 5 1.50 ],5061 5.000 me s 200 2506T.500 aq 0 S 250 Lesstlren2.5=eq8 S 300 E F36 Hlrrrn Dpn~ COS, E Lease Ramp 9/aA0 3'58 PM 1. Traditional Power Center • Buildings 348,300 SgFt • Land 1,094,871 SgFt • Urban Land @ Pad Ready Cost • Standard Shopping Center Land @ Lease Value Urban Land Premium & Redevelopment Costs • Estimated Project Cost $58,000,000 • Parking Structure Costs $0 • Est. Annual Project Rental Revenue $5,550,000 • Est. Additional City Sales Tax Revenue $700,000 2. Parcel Redevelopment Status (Under Developer's Control) $30,100,000 ($27.50 per Sq.Ft,) $8,750,000 ($8.00 per Sq.Ft) $22,350,000 Parcel By City SgFt % Assessed Value % Rosemead Parking Dist. 164,53778% $882,900 61% Rosemead Redevelopme nt 115,575 32% $1,585,104 32% El Monte Parking Dist 332,493 62% $3,446,418 56% Total 612,605 56% $5,914,422 43% . Building Costs Non Net Land Lease Construction Annual Rent Construction Builcing # Description Leasable easable Leasable Rate/ Sg. Ft. Cost Per So. FL Estimates Coll Est. A 1 Major Retailer - - - $ 1.10 S 45.00 E - 3 - A 2 Lease Shops 60,000 $ 1.30 5 45.00 S 936,000 $ 2,700.000 A 3 Leased RestautarNShops - $ t.a5 $ 35.0 $ - $ - A4 Mandenanm Area 7,000 S 75.00 $ - S 525,000 B 1 Ground Floor Retail 60,000 $ 1.20 $ 45.00 $ 864,0DO $ 2,7DO,00D 8 3 Rod Topllce Skating - $ 1.10 $ 45.00 $ - $ - B 4 Basemenl/BaNing Parking (1,750 cars) 575,000 329 FVCar C 101 Retail Shops C 102 Retail Stops C 103 Retail Shops C 104 Retail Shops C 105 Retail Shops C 105 Retail Shops C 107 Retail Shops C 106 Retail Shops C 201 AtNetic Club C 202 Ballroom Dance Hall C 203 Office Uses D 1 Restaurant Lard Reserved Loading Dock Area E 1 Fiat Floor 201 Second Floor F 1 First Floor- Retail 201 Second Floor- Offices G 100 Retail 101 Real 102 Retail 103 Relail 104 Rest/FoodrSmall Specialty 1D5 Rest/FoodlSmall Specialty 106 ResVFood/Smatl Specialty 107 ResVFcod/Small SpedaBy 108 ResVFood/Smail Specially 109 ReSVFOOd/Small Specialty 110 ReSUFOOd/Smell Specialty 111 Tobacco 112 SpeoaltyNJine 113 UquorStore 114 Reltsed Ran Space Parking (600 cars) H 101 Boa Type Retail 102 Box Type Retail 103 Box Type Retail 104 Box Type Retail I Rowland Shops Revised Ran Pads Phese II Build-Out Planned A Bank B C D E 40,000 S S S f S $ S S 3 S S 13,300 S 13% yield 13% yield $ 60,000 E - E 40,000 S - S 40,000 $ S S S S a S E E S - S S s t E 0 FUCw 35,000 $ S S S S - S 7,500 $ 7,500 3 7,500 $ 0 0 7,500 $ Total Parking Structure Costs Retail Space Construction Cost Pad Space Rented Second Floor Space Net Area Under Bulldirg 582,000 348,3DD 30.ODD 1.20 S 165 $ 1.65 $ .1.65 $ 1.65 $ 1.65 $ 1.65 $ 1.65 $ 1.00 $ 0.75 S 2.00 S 2.00 $ 27.50 27.50 1.10 $ 2.130 $ 1.20 $ 1.50 $ 1.20 $ 1.50 S 1.50 S 1.50 S 1.8.5 S 1.85 $ 1.85 S 1.85 5 1.85 E 1.85 S 1.85 $ 1.50 $ 1.50 S 1.50 $ 1.50 $ S 1.30 $ 1.50 S 1.50 E 1.50 $ 1.50 S 1.00 1.00 1.00 1.D0 1.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 75.00 45.00 45.00 85.00 45.00 45.OD 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.OD 45.00 45.00 25.00 45.00 45.OD 45.00 45.00 45.00 30.000 _ Average Annual Rental Rate 378,300 Average Monthly Rental Rate $ 576,000 S - S b - E - E - S - S S - S - $ 319,200 E - S - $ 792,000 S - $ 576,000 i - 576,000 S 1,800,OOD S E - E - S a - s - E - S - S - S 598.500 $ 2,700,000 a - S 1,80,000 s 1.80,000 s - S 546,000 3 1,575,000 $ S E - S - S 3 $ 3 $ 90,000 S $ 90.000 S $ 90,000 $ $ 90.000 $ S 5,545,200 $ 16,198,500 3- 3 16,198,500 348.300 $ 15.92 t2 $ 133 EVPF25 Power Center.As Construction Cost 3 Lease Recap 914/00 5:06 PM Annual Rents $ 5,545,200 Less Vacancy Factor 10% (554,520) $ 4,990,680 Project Caprtalmation Rate 10.00% Cap Lease Project Valuation $ 49,906,800 LTVO/ @ Project Completion 75.00% Permanent Loan Funding 37,430,100 City Redevelopment Participation $ 8,628,604 Total Project Funding Required $ 46,058,704 Total Project Cost @ Completion - $ 57,751,764 Developer Project Equity Needed (11 693 060) Rosemead/El Monte City Redevelopment Participation bdraordinary site costs ,ity Redevelopment Participation 2oMand Residence Land Cost Buy-Down to avg. cost City Redevelopment Bond $ $ $ $ 2,889,000 4,287,308 1,452,296 8,628,604 Lid on Wash Utility Relocations OffsHe street improvements Aadmum Revenue Bond supported by sales taz estimate. _ $ 8,628,604 $ 203.10 Avg. Sales/Ft Imposed City Revenue Bond Financing $ 8,628,604 % of Additional Tax Revenue Committed to Bond Financing 100% Amon. Term Int Rate Payment at -oan Rate Assumptions 25 9.2% End of month Loan Constant- annual 0.10346065 Loan Constant- monthly 0.008529343 %mount Financed 9.20°/ $ 37,430,100 25 Year Amortization Input Data 4mortization Constant 0.008529 $ 319,254 Vacancy Factor Estimates 12 10% 15% 20°/ Annual Loan Payments $ 3,831,050 Annual Rental Income $ 5,545,200 $ 4,990,680 $ 4,713,420 $ 4,436,160 Gross Difference $ 1,714,150 $ 1,159,630 $ 882,370 $ 605,110 3overage Ratio (Gross Rents/Loan Payments) 1 45 1.30 1.23 1.16 $ 150,000 $ 594,000 EVPF25 Power Center.)ls Project Cost 914/00 5:09 PM CITY O F OSEMEAD DATE/4 MINUTES OF THE ADJOURNED REGULAR ME) ROSEMEAD CITY COUNCIL AND EL MONTE CITY COUNCIL JOINT MEETING MAY 30, 2000 The adjourned regular meeting of the Rosemead City Council and El Monte City Council was called to order by Councilman Vasquez at 5:00 p.m. in the Conference Room of the City Hall, 8838 E. Valley Boulevard, Rosemead, California. The Pledge to the Flag was led by Councilman Vasquez The Invocation was delivered by Councilman Bruesch ROLL CALL OF OFFICERS: ROSEMEAD CITY COUNCIL: Present: Councilmembers Bruesch, Taylor, Vasquez, Mayor Pro Tern Imperial (arrived at 5:10 p:m.), and Mayor Clark (arrived at 5:10 P.M . ) Absent: None EL MONTE CITY COUNCIL Present: Councilmembers Barrios, Jimenez, Thurston, Vice-Mayor Fellow, and Mayor Montes Absent: None 1. JOINT MEETING A. BRIEFING BY DEVELOPER ADDRESSING A JOINT MEETING WITH EL MONTE CITY COUNCIL REGARDING A DEVELOPMENT PROJECT PROPOSED TO BE PARTIALLY LOCATED IN ROSEMEAD AND EL MONTE (NORTHEAST CORNER OF VALLEY AND TEMPLE CITY BOULEVARDS) Robert 'McCoy, developer of the proposed project, gave a presentation on developing the 28 acre parcel into a "power-retail center". Mr. McCoy stated that as of today, there are 19 purchase agreements under contract in escrow, with 7 under negotiation. Councilman Taylor asked where the 19 parcels will be located. Mr. McCoy responded that the parcels are split evenly between the two cities as is most of the project. Mr. McCoy continued with his presentation and stated that the demographics show that the annual income for that area is approximately $50,000 per year and about half of the population are high school graduates plus and that overall, the demographics are very favorable for this project. They are in discussion with major prospective tenants, not with minor shops, and that the center is designed to draw people in on a regular basis during the day and evening, i.e., come for coffee, read the paper, use shaded areas for table games, etc. Mr. McCoy referred to the architectural rendering and stressed again that they want to develop a user friendly site where people can come to sit, buy flowers, get a shoe shine, or a place to meet or wait for your kids. Councilman Bruesch asked what would be the draw of attraction to prospective tenants? Mr. McCoy responded that they are looking for tenants that would draw people on an almost daily basis, such as a supermarket, skating rink, movie theatre, laundry, dry cleaners and other community services. Other entertainment uses might be a bowling alley. CCIOINT AITG WITH EL MONTE 5.30-00 Nge 41 Councilman Taylor asked if the structures will span the Rio Hondo wash and has L.A. County made any structural changes in the wall? Mr. McCoy responded that L.A. County owns about 21,000 square feet of the wash, and that the wash can handle about 18,000 cubic feet of water per second, which exceeds the anticipated design flow by about 4500 cubic feet. Councilman Taylor expressed his concern with the actual supporting structure spanning the wash, and with the heavy truck volume driving over the bridge. Mr. McCoy responded that the supports are completely self-supporting and the design load is sized for the highest credible weight, such as a fire truck loaded with water. Councilman Taylor asked who is paying for this. Mr. McCoy responded that the developer is. Councilman Bruesch expressed his concern about relocating the people from the eastern side of the project. Mr. McCoy responded that this area is not in any redevelopment area, and in most cases, they have been able to acquire the properties without having to make any relocation arrangements. Mayor Pro Tern Imperial stated that what is being presented tonight is certainly an improvement over what is currently there, and the development will be an asset to both cities. Vice-Mayor Fellow stated that this project is aesthetically beautiful and hopefully will spur development in both cities. Mr. McCoy explained that from anywhere in the center, there is an elevator within 300'. Mr. McCoy continued that each of the big users, has a corner entrance with the smaller users inside the project to encourage patrons to walk around. The architectural mix is a blend of early California/mission, with some Spanish and Alhambra feel to it that will blend both communities. Councilman Bruesch asked about bringing in high end restaurants. Mr. McCoy responded that there will be several ranges of middle to high end restaurants. Mr. McCoy stated that he will resubmit the Project Schedule (as provided in the packet) for approval in the near future, and requested that at that time, a joint resolution be adopted by both Council's approving such schedule. Councilman Bruesch stated that through the years constituents living in the proposed project area have continually asked him about having another supermarket in that area. Councilman Thurson pointed out that currently one has to leave the City of El Monte to patronize high end restaurants or for meeting places. Mr. McCoy stated that this development will not have any fast food or drive through restaurants. Mayor Montes stated that she agrees with the comments of both Councils and that this project will certainly be an asset. Ms. Montes continued that both Councils are addressing and meeting the needs of the residents. CCJO NT MTG WITH EL MONTE 5-30-00 Page k2 MOTION BY COUNCILMAN BRUESCH, SECOND BY MAYOR PRO TEM IMPERIAL to support in principal the design scheme for this project and to work in conjunction with the City of El Monte. Vote resulted: Yes: Bruesch, Clark, Vasquez, Imperial No: None Absent: None Abstain: Taylor The Mayor declared said motion duly carried and so ordered. Councilman Taylor stated that he voted to abstain there are many decisions that have not been made yet, such as sales tax revenues and other details that need to be clarified. Mr. Taylor stated that he is in favor of the concept overall, but wants to see how the final plans designate which city receives the stores and which receives the parking lot portions. MOTION BY COUNCILWOMAN JRAENEZ, SECOND BY VICE-MAYOR FELLOW to support in principal the design scheme for this project and to work in conjunction with the City of Rosemead. Vote resulted: Yes: Montes, Fellow, Barrios, Jimenez, Thurston No: None Absent: None Abstain: None The Mayor declared said motion duly carried and so ordered. H. CITY OF EL MONTE AGENDA ITEM A. The following is an added agenda item acted upon by the City Council of the City of El Monte. The need to take action arose after the posting of the May 30, 2000 City Council agenda. MOTION BY VICE-CHAIRMAN FELLOW, SECOND BY COUNCILWOMAN JIMINEZ to add Resolution No. 8024 to the agenda as the need to take action arose after the posting of the May 30, 2000 City Council agenda. Vote resulted: Yes: Montes, Fellow, Barrios, Jimenez, Thurston No: None Absent: None Abstain: None The Mayor declared said motion duly carried and so ordered. B. RESOLUTION NO. 8024 OF THE CITY COUNCIL OF THE CITY OF EL MONTE OPPOSING AB 2544 REVISING THE SCOPE OF ACTIVITIES OF THE SAN GABRIEL BASIN WATER QUALITY AUTHORITY MOTION BY COUNCILMAN THURSTON, SECOND BY VICE-MAYOR FELLOW that the Council adopt Resolution No. 8024. Vote resulted` Yes: Montes, Fellow, Barrios, Jimenez, Thurston No: None Absent: None Abstain: None The Mayor declared said motion duly carried and so ordered. MOINT MTG WITH EL MONTE 5-30-00 Page a3 M. ORAL COMMUNICATIONS FROM THE AUDIENCE Juan Nunez, 2702 Del Mar, Rosemead, asked if any provisions have been made regarding unlicensed vendors selling their items in or near the project. . Mr. McCoy responded that they are aware of that problem and will not allow any of those types of activities. IV. ADJOURNMENT There being no further action to be taken at this time, the meeting was adjourned at 6:10 p.m. The next regular adjourned meeting for the Rosemead City Council is scheduled for June 6, 2000, at 6:00 p.m. in the City Hall Conference Room. Respectfully submitted: Rosemea City Clerk MAYOR,✓CITY OF ROSEMEAD EI Monte City Clerk CCJOINT A1TG WITH EL MONTE 5-30-00 9 -1 & ' MAYOR, CITY OF EL MONTE Page g4 I~1 V , • '~i C~,1 ROSEMEAD REDEVELOPMENT AGENCY 6836 VALLEY BLVD., ROSEMEAD, CA 917700 (818) 288-6671 • Telecopier 8183079218 AGENCY MEMORANDUM FROM: EXECUTIVE DIRECTOR DATE: SEPTEMBER 1 I, 2000 RE: AGENCY AGENDA ITEM- ADDITIONAL INFORMATION REGARDING EATON VILLAGE PRESENTATION - ROBERT McCOY Attached is a copy of a revised proforma project budget that was faxed today to our redevelopment consultant, Steve Copenhaver. Mr. McCoy will be at the Agency Meeting tomorrow evening. Sep 11 00 02:25p GRC RSSOCIRTES INC 9093967714 September 7, 2000 Mr. Stephen .A, Copenhaver President - GRC Associates.. brc. 1340 Valley Vista Drive, Suite- 120 Diamond Bar, CA 91765 Dear Steve: 1 egjoyed meeting you on Wednesday morning. At your request, 1 have enclosed a copy of the proforma project budget, its well as an additional copy of both the Construction Cost & Lease Recap, and the ULl Average Rent schedule. (I had a problem at my end trying. to send these schedules t1u-cnteh e-mail.) These schedules drive the cost and revenue estimates un the Prgject Dcvelupmen Status Unit we disulssed. I will be out of town all of next week. Robert is available to answer atn, questions that you may have prior to the Rosemead City Counsel meeting on Tuesday evening. - Sincerely, '-C Frik Watis Vice President Finance p.2 Cc: Robert McCoy 417 SOUIH HlIt STREET, SUIIE ?OO t05 ANitItb, l~ OI URN[MA. u3013-1114 CHORE Y13u1 ZESJ01 fni_ Yli el ).Np05 Sep 11 00 02:26p GRC ASSOCIATES INC SOS3SG7714 p.3 Eaton Village- Project Development Status 1. Community Shopping Center- with 100,000 SgFt Major Tenant • Buildings 743,900 SgFt Land 1,294,319 SgFt • Urban Land @ Pad Ready Cost 535,500,000 (527.50 perSq.Ft.) • Standard Shopping Center Land @ Lease Value 510.300.000 (x8.00 per Sq.Ft.) Urban Land Premium & Redevelopment Costs S25 200,000 • Estimated Project Cost 5110,0,00po • Parking Structure Costs 521,200,000 • Est. Annual Project Rental Revenue $13,000.000 • Est. Additional City Sales Tax Revenue 51,900,000 2. Project Redevelopment Status (Parcels Under Developer's Control) Parcel By City SgFl % Assessed Value % Rosemead Parking Dist. 164,537 18% 5859,000 66% Rosemead Redevelopment 115,575 32% 51,585;104 30% El Monte Parking Dist 519 744 72!. 55.366.1 I8 571'; Total 783,166 61% 57,910,122 49°'. Sep 11 00 02.:26p GRC RSSOCIRTES INC 9093967714 Eaton Village Community ShoppingCenter- With 100,000 Sq Ft Major Land Ram' Land Costs 5 22.14 $ 28,650,084 Land Acauisition Success Fee 5% $ 1,779,689 Relocation Expenses 25 $ 10,000. $ 250,000 Demolition $ 150,000 Lid on Wash (Linear Ft.'100ft@ $16.501s 1,300 100 $ 16.50 s 2.145,000 Rough Grade 150,000 $ 10,00 $ -1.500,000 Pad Ready $ 34,474,773 Utility Relocations Storm Sewer (to Abilene) 600 tin ft. $ 250.00 $ 150,000 Misc Contingency $ 75,000 $ $ 225.000 Land Offsite Costs Survey Title Reports Closing Costs & Escrow Fees Soils Reports Hazard E Materials Reports Mi5C Casts Offsite Street Improvements Improve Strang Traffic Signal @ Valley & Strang/Eaton Village Traffic Signal @ T.C.6 & Eaton Village Tragic Signal @ Valley & Rawland Center Islands Valley Blvd Misc curb cuts etc. - - " Offsite Street Improvement Costs Subtotal- Land Acquisition Cost Land Cost Financed Onsite Improvements New Eaton Village Drive Plaza General Site Landscaping Net Area Under Building Area to be landscaped Onsite Improvement Costs Parking Structure Costs Retail Building Construction Costs Subtotal- Building & Site Costs Lease Commision Costs Capitalized Interest Costs Finance & Legal Costs Prglect Contingency Cost $ sD,DDD $ 50,000 $ 75,000 $ 15,000 $ 35,000 $ 75,000 $ 300,OD0 110 fin ft. $ 400.00 $ 44.000 $ 125,000 $ 125,000 $ 125,000 1,400 (in ft $ 100.00 $ 140.0DO $ 35,000 S 594.000 1.294,319 sq ft of land $ 35,593,773 $ 27.50 /ft Total land sq ft . s 27.50 1,294,319 $ 35.593,773 1,45D in ft. $ 300.00 $ 435.000 236,000 sq. ft. $ 7.50 $ 1,770,000 1.294,319 (555,150) 739,169 sq. ft. $ 2.50 3 1,847,923 743,900 sq. ft. S 48.23 per.Ft 4% 10 Year Avg. 3% (Land + Bulldinq & Site Costs) Total Project Construction Cost s 4,052 923 $ 21,161,250 $ 35,875,500 $ 61,089.573 4,991,380.40 $ 4,245,215 $ 1,327,224 $ 2,900,503 $ 0) $ 13.354.323 $ 110 047,766 p.4 EVPF36 Howards.)ds Praect Cost 90100 3:48 PM Sep 11 00 02:26p GRC ASSOCIATES INC 9093967714 p.5 Annual Reins L 13,108.389 Less Vacancy Factor 10% (1.310,839) 4 11.797.550 Project Capitalization Rate 10.0091 Cap Lease Project Valuation $ ',17.975.497 LTV% C Project Complelion 7500% Permanent Loan Funding 5 85,481,622 City Redevelopment Participation S 17,261,250 Total Project Funding Required $ 105,74 2,872 Total Project Cost @ Completion S 110,047,768 Devalaoer Proerl Eauity Needed $ (4,304,898) RosemeadtEl Monte Cry Retlevelooment Panicipation uilding B 8 F Parking Structure Cost 5 21,161,250 Maximum Revenue Bond supported by estimated sales lax increase. $ 23,092.25[ Reduced City Contribution to 75% of Tax Revenue $ (3.900.000) Avg. SaleslFt $ 270.00 City Revenue Bond Financing S 17,261,25( 'lv Redeveloomem Bond Funding S 17,261,250 % of Additional Tax Revenue Committed to Bono Financing 759 Amort. Temr Int RatE ! aymcm at Loan Rate Assumptions 25 9.2% End of month Loan Constant- annual 0.10346065 Loan Constant-monthly - 0.008529343 Amount Financeo 9.20% $ 88,481.622 25 Year Amortization Input Data Amortization Constant 0.000529 S 754,590 Vacancy Factor Eslimates 12 10% 15% 20% Annual Loan Payments $ - 9,055.281 $ 9,056,281 S 9,056,281 $ 9,055,281 Annual Rental Income $ 13.109.389 $ 11 797,550 5 11.142,130 $ 10486.711 Gross Difference $ 4,052,107 $ 2.741,268 S 2,085,549 $ 1 430,430 Coverage Ratic (Gross RentslLoan Payn en[s) 145 1.30 1.23 116 EVPF36 Hrnvaras.xls Project Cost 917100 3:52 PM Sep 11 00 02:27p GRC ASSOCIATES INC 9093967714 Building cost. Nit Lora oon tees. a.'Ram Cmmmuam Non aNS L¢a lvSatC Lsaiatlf B o.,-, s aVSSl`! ran _c E slimafef zs ~1c~^v p~j°, . ' 00 10 ! 110 S 1500 E 1,320.000 S 4500,00 0.t MejOrflealer . 10 00 I 2W f 45.00 £ ]40,000 1 45000 h : Lmse SIUPZ , E - 3 - £ } A 3 L...d RalNUnN5ta0z 5 750 E - 3 525000 F a hAaireervmce .free _ 1.00 2A00 3 1 50 1 rv5 0 1 513,000 S 1,567 500 8 1 Ra uNam 21 70 i 225 1 45 W S 595.900 1. 910.500 6 2 Recall SFaP< , S 1 45.00 S s B 3 Ra!ai!4vFS 15 00 S 1.10 } at DO 3 . 9S1.00" S 3 015 M) 9 ] ]Ldarp Roo! toMCZ . 15 00 S 150 L 55.00 S 1 ]50.00. F 4125.00 E J BzsenlerWHOVdsV . £ W 25 , S 133(X0090 f E25C Parkira 1150 cusl 525(X)O . Lw. - )3P FVCar 00 20 S 125 S 45.0 F 42000 S 1760,000 C 101 R.ls0SlvRs . 000 21 f 135 } 450 1 915.000 a E`4,000 O 102 R1.9s1ued , 7 00 F 2.50 5 15,00 S 210,00 1 31509 C 102 Reu05Wo, , 3 30 f 7N) S 450 -1 99.000 5 14,500 C 104 Rein SmPS , 480 5 250 S 450 s 144,00 $ 21C.(W1 G'M R.otasmM COD S 5 2,50 L 45.0 S 10,000- F 22500 C 106 RalaRRA,p,. . 4 wo 3 2.50 b 450 f 155,00 S 201.50 C 107 ReOii< ' ' 4 000 1 2.00 E 1500 E 120.000 F 100.00 ' 0108 RB18115WM , LIAM f am s 1500 I 72.00 f 00,000 C 100 Reull5!mpa ! 3 4500 3 1 C EL4oarn D.i Har 20 00 5 200 5 750 f 480.00 S 1$0000 C 201 OHrce Uf05 . D 1 MareeVDruD 13%,ld 0.00 90.00 f 2750 f 214,500 lvN Re>erwO 13%ymx 20.90 L -1750 I 74710 Lmceq Doo,M- 1341 1.ow } 2750 1 10x1 9G?60 S 7 w F 0500 f 89200 S 3122.10 E 1 Fast Floor Regal S 2Do S 850 b 06200 S .12270 201 SeeoMFbor015re 50 81 5 129 5 45.0 3 fR4000 £ 2.7;.00 F 1 Faa!F.- ReW . 90 00 S 125 1 450 f 450.000 I ?35000 FFsl Fbo1-Rem'. . 0 5 11. 5 450 S 315.00 I 11251000 Fmt Fbor-Reuel 25.0 0 S 00 x 2 45 nn S 140.00 F. 1'1000 a FvilFbar-Yizc $avl ReuO 350 . 11 000 5 1.15 1 450 5 315,000 $ 975,030 t ne'al , 15 00 S 1.50 1 1500 3 270.000 f 815000 2 fielal , LOJ 1V 3 200 1 930 $ 240,L110 f aF,U30 J fi<tal , ParM21985 orsj 919!'10 S 28.1K S ]891¢0 } 910ll Smvr 300 Ft u S - H 101 Bo. Tope Reu! } 1 3 4500 5 45W 5 5 I 101 Eox iyq: Ham: 0 S 150 1 3 103 Box Type Rene 9 1.50 I 4`00 ; IVU !fox lyu keWl 3 t5C• 3 45.0 k Ro+aara Srrom R.xsea PN~ z 150 S e6Do 3 4 PM, Pllme 1151ibON FWU.'tJ 3 500 5 2.15 3 03w L E 6e~A . 4000 4 196 f 90.2" L 9825 3 2.50 S - E C 400 5 3 1.50 S 5 C G p , 4,225 f 2 50 E 150 TJ39W 85° 10.590 S 1 i.1063tl9 3 5 ,0E.750 iuW, S (211617501 parkiry S+rcchrt' Co.. S v}a]S,y00 R.0 Soo" O.Mvto ,Cost 1d3900 $o. Fbor SPoce 18_750 Pvera9t MU81 R.1 Rao S ALL Net Ma Um816uSAlr9 55:,150 s Ld] ilerage llorc+l Rarml Rate v RemH ka:«._ 0,000 SFh s 1,25 lE -2000 sa a f 1,50 7.5()015.000 -qtI 3 2 - .500 2 f,30 se At S w 2 50 L-i . r.d vu2.500 w h 3 3.OC • p.6 cVPF)5 Rwava:.ws ralllaeCWn 005:5 Fame R.t. 917M 1 a4 PM Sep 11 00 02:27p GRC ASSOCIATES INC 9093967714 p.7 Average Median Sales Median Total Annual Sales Annual Rent Number Median GLA $/Sq Ft. R ent/Sq Ft Per Sq Ft Per Sq Ft Tenant Classification Rank of Store GLA o/GLA GLA GLA General Merchandise Discount Dept Stare 3 0.5 80,477 1 15715 $ 442 $ 12,646,961 $ 355708 Pow Supermarket 4" 0.5 45,945 $ 374.85 S 6.83 $ 17,222,858 5 313,811 Food Service Restaurant wl liquor 1 0.b 4,9b3 F 232.37 £ 1m:l $ 1,150,929 S 57.509 Sandwich shop 14 0.3 1,275 S 265.17 S 15.94 5 336,092 S 20,324 Pizza 17 0.3 1,600 $ 205.16 14.16 S 328,255 $ 22,655 Clothing & Specialty Women's specialty 18 0.3 2,725 F 17e.i7 £ 14.00 $ 485,513 S 38.150 Women's ready to wear 2 0.6 4,000 5 139.60 $ 1207 $ 558,400 $ 48,280 Shue - Family Slices 7 0.4 3,432 $ 176.20 Y 13.00 $ ' 604,718 F 44.616 Home Furnishings Fumhure 15 0.3 4,860 5 192.00 Y 1040 3 933,120 $ 50.544 GiRstspecielty Cards & gifts 8 0.4 3,824 S 151,00 S 11.04 S 577,424 $ 42,217 £ Jewelry Jewairv - 12 0.3 1,355 $ 351.22 S 17.99 $ 489,453 S 24,376 Drugs Drugstorefpharmacy 11 0.3 10,935 5 319.29 S 7.97 5 3491436 5 67,152 Other Retail Eyeglass/optician 20 0.3 1,523 £ ^.57.04 S 16.66 $ 391.472 $ 25,676 Cosmeticsrbeauty suppliF 19 0.3 1,649 S 254.05 $ 13.98 S 416,928 S 23,053 Paschal Services Women's hair Sala) 13 0.3 1,344 $ 15115 $ 12.58 $ 203,146 $ 17,042 Dry cleaner 9 04 1,680 $ . 124.88 $ 15.22 $ 209798 F 25,570 Unisex hair 6 04 1,287 5 192,75 $ 15.70 5 248,069 $ 20,206 Nail Salon 16 0.3 1,078 $ 7624 $ 12.85 S 82,187 S 13,852 Financial Banks 10 0.3 2,955 £ 14.88 $ 43,970 Offices Medical & dental 5 0.4 1.789 S 265.77 £ 12.50 S 475,463 S 22.363 Total ULI Estimates 17e,557 S 228.65 $ 7.31 $ 40.856.223 £ i,$D7,077 ULI estimate without market sales Non-market Project Project Sq FL 743,900 S 270.00 $200,853,000 Annual Saes Est (11,539,315) L ess 57% of market Soles Taxable Estimated Taxable Revenue to C ities Si 89,313,685 1 % Ci ty Tar Revenue - S 1,893,137 Aodllional Tax Revenue Bond Amortization Period 25 Bond Interest Rate 6.50% Annual Debt Service Constant 0.08198148 Maximum Bond Amortized w/ T ax Revenue $ 23,092;250 EVPF36 Howards.als ULI Avg. Pent 91T/00 3:54 PM pp ~p L ~J Q Q R 3 OSEMEDAD SEREDEVELOPMENTe1eCAGe e ENCY o 9 AGENCY MEMORANDUM FROM: EXECUTIVE DIRECTOR DATE: SEPTEMBER 11, 2000 RE: AGENCY AGENDA ITEM- ADDITIONAL INFORMATION REGARDING EATON VILLAGE PRESENTATION - ROBERT McCOY Attached is a copy of a revised proforma project budget that was faxed today to our redevelopment consultant, Steve Copenhaver. Mr. McCoy will be at the Agency Meeting tomorrow evening. Sep 11 00 02:25p GRC RSSOCIRTES INC 9093SG7714 p.2 September 7, 2000 Mr. Stephen A. Copenhaver President GRC Associates, b1c. 1340 Valley Vista Drive; Suite 120 Diamond Bar, CA 91765 Dear Steve: I enjoyed meeting you or. Wednesday [Wonting. At your request, I have enclosed a copy of the proforma project budget as well as an additional copy of both the Construction Cost & Lease Recap, and the ULi Average Rent schedule. (1 had a problem at my end trying to send these schedules till-ough e-mail.) These schedules drive the cost and revenue estimates un the Project Development Status tlutt we discussed. I will be out of town all of next week. Robert is irvailable to answer any questions that you may have prior to the Rosemead City Counsel meeting on Tuesday evening. Sincerelv, cC J/~~ Rrik Watts Vice President Fatance Cc: Robert McCov 417 SOWH HILL STPEET, >Linl 4_iU FJS^NULL16, LAI I H VNIl Ujll 13-111 PHONE :i3'o17.8001 V2: 413 ot).aOOi Sep 11 00 C2:26p GRC RSSOCIRTES INC 9093967714 - p.3 Eaton Village- Project Development Status 1. Community Shopping Center- with 100,000 SgFt Major Tenant • Buildines 743,900 SgFt • Land 1,294,319 SgFt • Urban Land @ Pad Ready Cost $35,500,000 ($2750 per Sn.Ft.) • Standard Shopping Center Land @ Lease Value 510300.000 ($8.00 per Sq.Fl.) Urban Land Premium fit Redevelopment Costs S25.200,000 • Estimated Project Cost $110.000,000 • Parking Structure Costs $21,200,000 • Est. Annual Project Rental Revenue $13,000,000 • Est. Additional City Sales Tax Revenue S1,900,000 2. Project Rcdeveloptnent Status (Parcels Under Developer's Control) Parcel By City SuFt % Assessed Value % Rosemead Parking Dist. 164,53,77/8% 5859,000 669i6. Rosemead Redevelopment 115,575 32% S 1,585,104 30% El Monte Parking Dist. 519 74g M $:.366,118 574e Total 783,166 61% 57,910,222 49% Sep 11 00 02-:26p GRC ASSOCIATES INC 9093667714 Eaton Village Community ShoppingCenter- With 100,000 Sq Ft Major Land Raw Land Costs $ 22.14 $ 28,550,084 Land Acouisition Success Fee 5% $ 1,779,669 Relocation Epenses 25'S 10,000 $ 250.00D _ Demolition $ 150,000 Lid on Wash (Linear Ft.'100ft@ 515.501: 1,300 100 $ 16.50 S 2145,000 Rough Grade 150,D00 $ 10, DD S 1,500,000 Pad Ready - $ 34.474.773 Utility Relocations Storn Sewer (to Abilene) 600 lin ft. S 250.00 $ 150,000 Misc Contingency $ 75,000 $ $ 225,000 Land Offsite Costs Survey Title Reports Closing Costs & Escrow Fees Soils Reports Hazard & Materials Reports Misc Costs $ 50.000 S 50.000 S 75,000 $ 15,000 $ 35,000 S 75.000 $ 300,000 Offsite Street Improvements Improve Strang Traffic Signal @ Valley & Strang/Eaton Village Traffic Signal @ T.C.B & Eaton Village Traffic Signal @ Valley & Rowland Center Islands Valley Blvd Misc curb cuts etc. - Off site Street Improvement Costs Subtotal- Land Acquisition Cost Land Cost Financed Onsite Improvements New Eaton Village Drive plaza General Site Landscaping Net Area Under Building Area to be landscaped Onsite Imorovement Costs Parkino Structure Costs Retail Building Construction Costs Subtotal- Building & Site Costs Lease Commision Costs Capitalized Interest Costs Finance & Legal Costs Prc)ect Contingency Cost 110 linft . S 400.00 $ 44,000 $ 125,000 $ 125,000 $ 125,000 1.400 lin ft. $ 100.00 S 140.OD0 $ 35,000 $ 594.000 1.294,319 sq ft of land $ 35,593,773 S Total land sq ft $ 27.50 1,294,319 1.450 fin ft. $ 300.00 $ 435.000 236,0D0 sq. ft. S 7.50 $ 1,770,000 1,294,319 (555,150) 739,169 sq. ft. $ 2.50 5 1,847,923 743,900 sq. ft. $ 48.23 per.Ft. 4% 10 Year Avg. 3% (Land + Building & ,Site Costs) Total Project Construction Cost 27.50 /ft S 35,593,773 S 4,052,923 $ 21,161,250 S 35.875,500 S 61,089,573 4,691,380.40 $ 4,245.215 $ 1,327,224 $ 2,900,503 S 73.364.323 S 110 047,768 p-4 EVPF36 Howards.bs Project Cost 9/7100 3,48 PM Sep 11 00 02:26p GRC ASSOCIATES INC Annual Rents S. 13,106,359 Less Vacancy Factor 10% (1.310,839) £ 11.797.550 Project Capitalization Rate 10.00% Cap Lease Project Valuation 5 117,97 5,497 LTV% C Project Completion 75.00° Permanent Loan Funding S 86481,622 City Redevelopment Participation £ 17,261,250 Total Project Funding Required S 105,742,872 Total Project Cost 0 Completion S 110.047 766 9093967714 p.5 RosemeadS Monte City Redevelopment Padicioation Wilding B 8 F Parking Structure Cost S 21,161,250 Maximum Revenue Bond supported by estimaled sales lax increase. S 23;092,25C Reduced City Contribution to75%ot Tax Revenue S (3,900.000 ) Avg. Sales/Ft S 270.00 City Revenue Bond Financing 5 17.261,250 'il) Redevelopment Bond Funding S 17 261 250 % of Additional Tax Revenue Committed to Bono Financing 759 Loan Rate Assumptions 25 9.2% End at month Loan Constant- annual 0.10346065 Loan Constant- montnly - - - 0.008529343 Amount Financed 9.20% S 88,481.622 25 Year Amortization Input Data Amortization Constant 0.008529 S 754,690 Vacancy Facto r Eslimates 12 10% 15% 20%! Annual Loan Payments $ 9,056.261 S 9.056,281 S 9,056.281 S 5,056,281 Annual Rental Income $ 13,108,389 51 11,797,550 0 11.142,130 $ 10486,711 Gross Difference S 4,052,107 S . 2.741,266 S 2,085,849 S 1,410.43C, Coverage Ratic (Gross Rentsil-oa Payments) 1.45 1.30 1.23 1.16 _VPF36 Howards.xls Protect Cost 9x!00 3:52 PM Sep 11 00 02:27p Building costs m, 41v Mapr ReldBC GRC ASSOCIATES INC 9093967714 Non Net Lena Leas. Coniuictien Lee,"- Le.l., 1.92222 ROWS. P, • c- F 100,000 1 1.10 S s ISM h2 Lee:e St. 10000 3 k 3 Le,eeea Rvcmwent Swn - 3 ..4 'hMiMervecR Arse 2000 e , Raluwv4 26.50) - x - s 2 R.."15 DoR 21,7W S E e Reme SSem 3 b 3 - ROm !Ogle. 5ta0rp 75.000 3 E a Bele..IeLS.AM 25.000 S F9r6uq I1,8W cost 526.000 330 Fticw c 101 Remo Stop 2E,000 F C. 102 ftnOUSI- i 21,000 k C toe Remit SnDp4 2,000 F C IN Recoil Slvpi 3300 L C'. 105 Remll Slap] 4000 S C 106 Re.115t4 LOCK 3 C 10' A.WlbTOpi 4.500 S D 100 Rvme Srom 4000 3 C 106 R.Wlsl. n 2000 3 BeLmin Dmce Nee 3 C 201 off.. Uies 21D'000 3 D 1 M^tVOrvO 134 yrob 60,000 to, OW 1 -v,SReseno4 134 ymw 20,900 S L..11 IDU NVV ID%pule e'M 3 E 1 First Fbor Rein 00250 $ 201 Seemed Fbor LH M Y,750 S F 1 Feat F., R.W 61,600 ! Feel POP, Re W. MOOD 3 Fnt Gbon Reui 25.000 S a Feet Fb•1-Mlac Sntel Pema MSOD 5 1 Reuel 21.000 1 Rem, 15,0)0 s PSMiq 1965 Rera! N 10, 6v.1pxR.W 102 Box 21515: ROW ,03 8.r Type Few 1124 eM.l yce FmAI RevMM $MOS Reveea P 'e, rods Fuse 115uWDw FUe.Ke 6e•T B C L 31Bg5D 330 PVC. } S f 3 2.00 S 45.00 s x 2sW s ss w 225 b 4500 . x 4500 1.19 3 4590 150 S 55:30 5 ,cSO 125 x 6..00 125 3 4P00 2.50 s 4500 25n s 450) 250 S 4500 250 S 45.00 25D s 6500 25U L 45M IN 3 45 W s 71500 200 3 %S0) 22.50 2/50 2250 200 S 65.00 2 00 $ 65W v L 45.00 125 $ 45,00 25 E 15W 2.50 s 4500 125 S 4500 150 I 4500 200 1 4500 f 260V 0600 £ 4.000 f 38.:5 S 5,4011 f g 4 e.22s 5 65£450 s<3.eo0 1ODSID 1 W S 4500 150 1 45M 150 S 500 Y' 3 4500 50 s 4500 215 1 BE 2 50 2.50 2 50 T..1 Periirp Sna'>4e Coati Remll SWI. c..VDe5m1 Cos, Second Floor Spode Net Area UnD•r 15.1de B 166.250 A11.1 .1 Re lA-te 555,150 A,v., MO131Vy Rent Rau R -n Rees R em,' 20-50.00LIecft f 1.25 153D.DW zen S 1.50 7,50U 15,000 soft 3 2,00 2,5052,500,01 S 200 .vd.112.500 1- ft 3 3.00 A.1 Rem CmsuuNm P...ef Co+I EsL S 1,320.000 4 4500,000 S 24D,000 S 450,000 s s ! s 525.uDU f 513,000 S 1561 500 x s&5,900 £ 976,500 f 1 s 950.0xl 1 S175 No S 1350.000 1 3,225.000 S 13 200.000 S E?50 Slci } 4200W S t?00,000 £ s+5.000 L 4 1;,000 $ 210,000 s 315,000 1 99.000 s 140.500 S 144,000 I 215.OW f 1501000- S i25,000 £ 135.000 1 202,500 5 120.000 1 100.00) 3 22.000 1 00.000 S - s 4so.= s Iboo o0) S 214,500 s 24.21B 15,]51 S 692.000 1 3.12] 123,750 s 062000 S :121]50 f V4.OW f 2722 ,000 S 450.000 S 1350000 S 95.00) 1 1.125.000 s 1140.000 S. i,210nW ' 315000 £ 945:DW 3 270.000 1 625,000 f 240090 k ..'UN b ] BM,2?V b V,25V SYA! ] S S S f ] ] ] S S f 60.300 S BU 24L` L ' s x S f b f t i Nti.]tlY 1 59.0]: 250 f (21.1512001 S 3E92'v,SIXI 245 900 S .;.63 S E 1.4' p. S EV^=36 K.nft-r C.11 "W,0119 Leese Rec60 90100 3'iK PIA Sep 11 00 02:27p GRC ASSOCIATES INC 9093967714 p.7 Average Median Sales Median Total Annual Sales Annual Rent Number Median GLA $r5q Ft. R antlSq Ft Per Sq Ft Per Sq Ft lenam Classuication Rank of Store GLA of GLA GLA GLA General Merchandise Discoum Dept Store 3 05 80,477 4 157,15 b 4 42 4 12.646.961 4 355.708 Pow Supermarket A - 0.5 45,946 S 374.85 S 6.83 $ 17,222,858 5 313,811 Food Service Restaurant w( liquor 1 0.5 4,953 $ 232.37 1 13.53 5 1,150,929 $ 57.502 Sandwich shop 14 - 0.3 1,275 $ 265.17 S 15.94 S 336,092 $ 20.324 Pizza 17 0.3 1,600 $ 205.15 $ 14.16 $ 328.255 $ 22.555 Clothing 8 Speualty Women's specialty 18 0.3 2,725 S 178.17 £ 14.00 S 485.513 $ 38,150 Women's ready to wear _ 0.6 4,000 £ 139.60 b 1207 $ 558,400 $ 46,260 Shoe: Family Shoes 7 0.4 3,432 $ 176.20 $ 13,00 $ 604,718 $ 44,516 Home Furnishings Furniture 15 0.3 4,860 S 192.00 $ 1040 $ 933,120 $ 50.544 Giltstsoaci6lty Cards 6 gifts 8 .04 3,824 S - 151,00 £ -11.04 S 577,424 S 42.217 $ Jewelry Jewel, 12 0.3 1,355 $ 361,22 $ 17.99 $ 489,453 $ 24.376 Druos Drugstorwpharmacy 11 0.3 10,935 $ 319.29 'S 7.97 b 3491436 $ 87,152 Other Retail EyeglassroPtician 20 0.3 7,523 S 257.04 $ 16.86 $ 391472 $ 25,676 Cosmelicsroeauty supplit 19 05 1,649 £ 254.05 b 13.98 $ 418.928 b 23,053 Pesonal Services Women's hair catch 13 0.3 1,344 $ 151.15 $ 12,68 $ 203,146 $ 17,042 Dry cleaner 9 04 1.660 S 124.88 5 15.22 $ 209,798 $ 25,570 Unisex hair 6 04 1,287 S 19275 $ 15.70 5 24E,069 $ 20,206 Nail Salon 16 0.3 1,076 S 76.24 S 12.85 S 82,187 S 13,852 Financial Banks 10 0.3 2955 b 14.06. $ 43,970 Offices Medical 8 dental 5 0.4 1,789 S 265.77 S 12.50 5 475,463 S :2.363 Total ULI Estimates 178,687 $ 226.65 $ 7.31 S 40,856,223 5 1,307,077 ULI estimate wilhout marker sales Non-market Project Project Sq Ft 743,900 S 270,00 $200,853,000 Annual Saes Est _ (11;539,315) L ess 57% of market Sales Taxable Estimated Taxable Revenue to Cities $189,313,685 1'G. Ci ty Tar Revenue S 1.893.137 Additional Tax Revenue Band Amortization Pence 25 Bond Interest Rate 6.50% Annual Deal Service Constant 0.08198148 Maximum Bond Amortized wr T ay Revenue S 23,092,250 EVPF36 Howards.lds ULI Avg. Rent 90,100 3:54 PfV. ROSEMEAD REDEVELOPMENT AGENCY 8836 VALLEY BLVD., ROSEMEAD. CA 91770 • (818) 288-6671 • Telecopier 8183079218 1 AGENCY MEMORANDUM FROM: EXECUTIVE DIRECTOR DATE: SEPTEMBER 11, 2000 RE: AGENCY AGENDA ITEM- ADDITIONAL INFORMATION REGARDING EATON VILLAGE PRESENTATION - ROBERT McCOY Attached is a copy of a revised profon-na project budget that was faxed today to our redevelopment consultant, Steve Copenhaver. Mr. McCoy will be at the Agency Meeting tomorrow evening. Sep it 00 02:25p GRC RSSOCIRTES INC 9093967714 p-2 September 7, 2000 Mr. Stephen A. Copenhaver President GRC .Associates, bLc. 1140 Valley Vista Drive; Suite 120 Diamond Bat; CA 91765 Dea( Steve: I enjoyed meeting y6u on Wednesday morning. LOS 4RURR~, lnLI It~RfdlA UV O1j.111'? PHONE 713617.8001 GP: 21, 41.a0?3 At. VOUT request, I have enclosed a copy of the proforma project budget, as well as an additional copy of both the Construction Cost & Lease Recap, and the ULI Average Rent schedule. (I had a problem at illy end trying to send these schedules through e-mail.) These schedules drive the cost and revenue estimates on the Prujcu Development Status that WC discusscd, I will be out of town all of next week. Robert is available to answer any questions that you may have prior to the Rosemead City Counsel meeting on Tuesday evening. Sincerely, lv/ %~f F.ril: Watts Vice President FuLance Cc: Robert McCoy 417 SCMH HILL STZEF, jd117E1DC Sep 11 00 C2:26p GRC ASSOCIATES INC 9093967714 p.3 Eaton Village- Project Development Status 1. Community Shopping Center- with 100,000 SgFt Major Tenant • Buildin.-s 743,900 SqFt • Land 1:294,319 SqFt • Urban Land Co) Pad Ready Cost 535,5007000 ($27.50 per Sq.Ft.) • Standard Shopping Center Land @ Lease Value $10,300.000 (.28.00 per Sq.h.) Urban Land Premium R Redevelopment Costs 525,200,000 • Estimated Project Cost SI 10,000,000 • Parking Structure Costs 521,200,000 • Fst. Annual Project Rental Revenue 513,000,000 • Est. Additional City Sales Tar Revenue S1,900,000 2. Project Redevelopment Status (Parcels Under Developer's Control) Parcel BvCi v SqFt "_a Assessed Value °.a Rosemead Parking Dist. 164,537 18% 5859,000 66% Rosemead Redevelopment] 15,575 32% 51,585;104 30% El Monte Parking DisL 519 744 720,% 55,366.118 5794 Total 783,16661% 57,910222 49% Sep 11 00 02:26F GRC RSSOCIRTES INC Eaton Village Community ShoppingCenter- With 100,000 Sq Ft Major Land 9093967714 P.4 Raw Land Costs $ 22.14 $ 28,650,084 Land Aceuisilion Success Fee 5% $ 1,779,689 Relocation Epenses 25 $ 10,000 $ 250.000 Demolition $ 150,000 Lid on Wash (Linear FL'l00h@ $16.501 1,300 100 $ 16.50 $ 2,145,000 Rough Grade 150,000 S 14.00 S 1,500,000 Pad Ready $ 34474773 Utility Relocations Storrs Sever (to Abilena) 600 lin ft. $ 250.00 $ 150,000 . Misc Contingency $ 75,000 $ $ 225,000 Land Offsite Costs Survey Title Reports Closing Costs & Escrow Fees Soils Reports Hazard & Materials Reports Misc Costs Offsite Street Improvements Improve Strang Traffic Signal @ Valley & Strang/Eaton Village Traffic Signal @ T.C.B & Eaton Village Traffic Signal @ Valley & Rowland Center Islands Valley Blvd Misc curb cuts etc. - Offske Street Improvement Costs Subtotal- Land Acquisition Cost Land Cost Financed Onsite Improvements New Eaton Village Drive Plaza General Site Landscaping Net Area Under Building Area to be landscaped Onsiter Improvement Costs Parking Structure Costs Retail Building Construction Costs Subtotal- Building & Site Costs Lease Commision Costs Caoital¢ed Interest Casts Finance & Legal Costs Pro)ect Contingency Cost $ SD,DOD $ 50.000 $ 75,000 $ 15,000 $ 35,000 $ 75.000 $ 300,000 110 lin ft. $ 400.00 $ 44,000 $ 125,000 $ 125,000 $ 125,ODO 1,400 lin ft. $ 100.00 $ 140.ODO $ 35,000 $ 594,000 1,294,319 sq ft of land $ 35,593,773 $ 27.50 /ft Total land so ft . $ 27.50 1,294,319 $ 35.593,773 1,450 tin ft. $ 300.00 $ 435,000 236,00D sq. ft. $ 7.50 $ 1,770,000 1,294,319 (555.150) 739,169 sq. ft. $ 2.50 $ 1,847,923 743,900 sq. ft. $ 48'23 per.FL 4% 10 Year Avg. 3% (Land t Building & Site Costs) Total Project Construction Cost $ 4,052,923 $ 21,161,250 $ 35,675,5DO $ 61,069,673 4,691,380.40 $ 4.245.215 $ 1,327,224 $ 2,900,503 $ 13,35x,323 $ 110,047,768 EVPF36 HowardsAs Project Cost 97t100 3 :45 PM Sep 11 00 02:26p GRC RSSOCIRTES INC Annual Rents S 13,108,389 Less Vacancy Factor 10% (1,310,839) S 11.797,550 Project Capitalization Rate 10.00-lb Cap Lease Project valuation $ 117,575,497 LTV% C- ProjecA Completion 75.00% Permanent Loan Funding S 86,481,622 City Redevelopment Participation £ 17.261250 Total Project Funding Required S 105.742.872 Total Pejec! Cost C Completion S 110,047 768 Developer Proiect Equity Needed S (4,304,896) 9093967714 p.S Rosemead!El Monte City Redevelopment Panicioation luilding B 8 F Parking Structure Cost b 21,161 250 Maximum Revenue Bond supported by estimated sales tax inoease. S 25.092,250 Reduced City Contnbutior to 75%o1 Tax Revenue S (3,900,000) Avg. SaleslFt S 270.00 City Revenue Bona Finanonc F 170261 P250 "ity Redevelopment Bond Funding S 17P261 250 % of Additional Tax Revenue Committed to bond Financing 759 Amon. i em1 ml nare raymem a, Loan Rate Assumptions 25 92% End of month - Loan Constant- annual 0.10346065 Loan CalstanF monthly 0.008529343 Amount Financed - 9.20% S 88,481.622 25 Year Amortization Input Data Amcr!ization Constant 0.008529 S 754,690 Vacancy Factor Estimates - 1 10;8 15% 20%, Annual Loan Payments $ 9,056.261 S 9.056.281 S 9,056,281 S 9,056,281 Annual Rental Income 5 13108.389 S 11797,550 $ tit142,130 S 10486.711. Gross Difference S 4,052,107 S 2.;41,268 S 2,085,B49 S 1 430,430 r n-. - en.,..... -1 e--1.1 1 45 1,30 1.23 1.16 EVP1736 Havards.xls Proiect Cost 917!00 3:52 PM Sep 11 00 02:27p Building Costs kA I QL]EDBNIPP n Mapr ftewiler GRC 95SOCIATES INC Non Nal Lana Lee>e Gorwvucnm ! e eq^ L..". Lea0.3lltl R,1'5a FI Coe ce Sc F! 100.000 1 1.10 S 45 W A 2 Le It S. a 10,000 2 A 3 Leowd RacwuarWSbar R „ . Maintacte Aar" 7,000 e t Rea. 28 7 S 6I H.."wa Slopz 00 2i W b 6 3 R.tal!Sna 5 6 3 Rao, Tamil. Same 75.000 3 E 4 BasentertG.Wm 75.000 3 ParkmO(1900 ads) 526.0x 330 FtlCw C tot RewiiOom 26.WD F C. 102 Rewl SluW 21000 3 C 10? Rewl 5"a, 7,000 E C 104 Revd Stow '100 1 C. im RaadSroaa 4[100 S C 106 RYwa Slt 5,0011 S C 1D: Robi16TOPf 4.500 3 C 106 R.W!51.. 4WD E C 100 Rewflsa. 2,000 3 C iiwW..n Dnta Hel 1 C 201 Dote Ums 20.000 E D t MarkeNJrup 13%ywb W00D BO, WO S LaN Reterw0 13%yW 20,900 f Lmtla9 DUU.AnY 13% net i.0a0 b E., Fira: Fbor Rewil 3G,'. e_0 5 201 Secant Fbor Offia 35,7x S F I Firal Fbor-RCW 61,600 3 FeatR1.1 M.= S 3 Fast Fbor. ROW 25.000 3 a Feat Fbv- mill Saul Reese 3°WD S G 1 fie,ad 21 000 1 2 Rew11 15,000 E 3. fiebJ tv,UW 3 Parkiq 1965 any 315!50 930 Ftc., H 101 Bm. Tt Raul 102 Son TSU Rawl 103 BCr Tyll9 Rewa 104 M.l Y, keWl 1 Rex>ea PNn Row0n1data, Pali Pleia6115Ila-clrPUYR- A 6aA B C L' iaYl Patev10 struli a , c... Rawl S", c..UuChM Call ' Slta15 Fbor Spxe Nel Area Uroer 6uilda[ 165.750 AWfagl Rnrwel Renal Raw 555,150 AvsragY Moroyy Rm Raw kRa!e 2430.0Wactl S 125 15.20.DM .II S 1.5D 7,x415,00( sell 5 2.W - 2,5007, x0 su 11 1 2.00 Len UUnS5001.h S 3.00 R 1 5 b 2.00 3 45.00 y F 7500 1 sn s 5; DD 2E5 1' 4500 I 4500 Ile R asx 0 S 55 x s 25x 135 3 45.00 ! SS 3 45.00 2.50 $ 4500 7x 3 45W 2.50 s 4500 =x 3 45.00 ,.so a 45W 2.50 1 45.00 500 s 45.00 . y 45w 200 5 7500 27 50 277 2:30 200 s 115,00 200 $ 8500 t 45.00 i 2E ,25 S 4500 25 S A5 W 2,515 S 450n 1,25 5 4500 1.50 1 4500 2.W 1 9500 1 25AC 11, 3 4500 ^v0 y 4500 15U I 45.00 IM, 5 45M ISO 3 4500 2 15 1& 2.50 250 2 50 5500 S 4,000 1 3.625 S 5.400 i q q 4,125 b w3,E0: 103.510 953i5G 9093967714 My Mahe C.1a,,Wn aluasaw, can Fal b 1,320,000 S l'scoo60 F 24D.M S 450.000 S 5 - 1 S 525.WD f 513,000 S 1567500 R 565.900 1 076,.500 3 S 4 991.0W R 1175nn S 1.350.000. 1 4,125.000 . S 132x.ax S 5350 $1la: x 420.000 5 1260,000 E 915.050 a 946"00 3 210,000 S 315,000 1 90.000 S 14"D S 144,900 S 215.000 s 1x,000- F ~S.= S 135,000 S 203.500 S 120,00 1 190,000 S 72WD S Made a 1 400.000 S 1$00,000 3 214500 5 74,710 3 16,:31 S 682.000 S 3.12'.7:0 S 062600 S 3,122.7w 3 92IWD S 2772"00 3 450,000 f 1350,000 S 95.000 I 1,115,000 s 140.000 b t]1D,W S 315,000 S B45,030 S 270.000 1 675,510) 3 240.00 1 Yso,uoe 3 5 b b f 90.)00 F 9D 34 S ' 3 5 f 13.1U6.3tl0 7F 900 I u.E2 E t d7 s 7 RFi.'>l1 R u: 011 SfA~ S S S 1 L b F S L 1,'0]5%Sn Q1 t6135P. S 5597E,SW` p.6 EvPF35 HO ra:.ks Camni,260n COS16 Laase RNLae 917AG3 4 Mai Sep 11 00 02:27p GRC ASSOCIATES INC 9093967714 p.7 Average Median Sales Median Total Annual Sales Annual Rent Number Median GLA $1Sq Ft. R anVSq Ft Per Sq Ft Per Sq Ft Tenant Classification Rank of Store GLA of GLA GLA GLA General Merchandise Discount Dept Store 3 05 80,477 S 157.15 S 4 42 S 12,646,961 S 355,708 Focc Supermarket 4 0.5 45,946 $ 374.85 S 6.83 S 17,222,858 S 313,811 Food Service Restaurant w.' liquor 1 0.6 4,903 S 232.37 $ 13.63 $ 1,150,929 It 67,509 Sandwich shop 14 0.3 1,275 S 265.17 S 15.94 $ 336,092 S 20,324 Pizza 17 0.3 1,600 $ 205.15 $ 14.15 % 328,255 $ 22,655 Clothing & Specialty Women's specially 18 0.3 2,725 S 178.17 $ 14.00 S 405,513 $ 38,150 Women's ready to wear 2 0.6 4,000 $ 139.60 S 12.07 S 558,400 $ 48.280 Shues Family Shoes 7 0.4 3,432 $ 176.20 $ 13.00 $ 604,778 $ 44,516 Home Furnishings Furniture 15 0.3 4,850 5 192.00 It 1040 S 933,120 $ 50.544 GIRs!Specialty Cards & gifts 8 GA 3.824 $ 151,00 $ 1 i.04 $ 577,424 $ 42.217 $ Jewelry Jewel, 12 0.3 1,355 $ 351.22 S 17.99 $ 469453 $ 24,376 Drugs Drugstore.'pharmacy 11 0.3 10,935 $ 319.29 S 7.97 £ 3,491,4 S 87,152 Other Retail Eyeglnssloptician - 20 0.3 1.5:3 S 2257.04 $ 16 .BG $ 391,472 S 25,W8 Cosmeticsroeauty supplit 19 0.3 1.649 S 254.05 S 13.98 S 416,928 $ 23.05£ Pesonal Services Women's hair Sala) 13 0.3 1,344 $ 151.15 $ 12.68 S 203,146 $ 17,04: Dry cleaner 9 04 1,680 S 124.88 S 15.22 $ 209,798 S 25,57( Unisex hair 6 04 1,287 S 192.75 S 15.70 S 248,069 $ 2020( Nail Salon 16 0.3 1,078 $ 76.24 $ 12.85 $ 62,187 $ 13.85: Financial Banks 10 0.3 2.955 $ 14.88 S 43,970 ORmes Medical & dental 5 0.4 1.789 $ 205,77 S 1250 $ 475,463 S 22.363 Total ULI Estimates 176,687 S 228.65 $ 7.31 S 40.856,223 S 1,307,077 ULI estimate without market sales Non-market Project Project Sq Fl. 743,900 S 270.00 5200,853,000 Annual Saes EsL - 111:539,)151 Less 67% ut...arke1Sales Taxable Estimated Taxable Revenue to Cities 8189,313.685 1 % City Tar Revenue S 1,893,137 Additional Tax Revenue Bond AmontZaWn Period 25 Bond Interest Rate 6.50% Annual Dent Service Constant 006198148 Maximum Bond Amortized wl Tax Revenue S 23.092 250 FVPF36 Howards.xis ULI Avg. Rent 9irl00 3:54 PM,