Laserfiche WebLink
ITEM ~ 6. <br />ver <br />MEMORANDUM <br />TO: Economic Development Authority <br />FROM: Jeremy Barnhart, Planning Manager <br />DATE: March 12, 2007 <br />SUBJECT: Gateway Business Park <br />As part of the ongoing process to develop the Gateway Business Park, to be opened by <br />Summer, 2008, the City commissioned Maxfield Research, Inc to complete a Market Study <br />for the city owned land. The preliminary draft of that completed study was received by Staff <br />on Monday, March 5`h. This market study will aid the city is laying out the plan, specifically, <br />lot size, etc. <br />Staff is working with the author to address or clarify comments raised during the preliminary <br />review; the full draft will be forwarded to the EDA on or around March 19, 2007. <br />Based on this review, the main findings appear to be: <br />1. There is limited market for retail uses; property on the east side lacks visibility but <br />has better access, property on the west side has increased visibility but poor access. <br />2. There is limited market for strictly office uses. <br />3. The industrial development of the entire 60 acre site is more practical, although the <br />likely uses appear to be focused on the sectors currently serving Elk River: <br />Construction, Transportation, Warehousing, Manufacturing. <br />4. This industrial development will likely see an 80/20 split owner occupied/ leased. <br />The owner occupied spaces would likely include 20-30,000 square foot buildings. <br />5. The owner occupied sites should be around 5 acres, and the leased space sites about <br />6.5 acres. <br />6. The expected annual absorption rate is approximately 12 acres citywide, 25% of <br />which could be captured by Gateway. <br />7. There appears to be no benefit to deferring development of the property 5-10 years. <br />In an April EDA work session, the EDA and staff will discuss the report, and develop goals <br />and objectives for the property. These goals will be consolidated with concurrent Planning <br />Commission discussion and be used to prepare and review three development concepts for <br />consideration, to be reviewed in May. <br />