Business support for CityDesign Studio's West Dallas vision

8/7/2019 Business support for CityDesign Studio's West Dallas vision

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January 17, 2011 Page

THE Business COMMUNITYS Support FOR theCityDesign Studios Urban Structure Plan


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January 17, 2011 Page 2

Putting it All Together THE Business COMMUNITYS Support FOR the CityDesign Studios Urban Structure Pla

index

Executive Summary 3

Introduction 6

A Case for Support 7

The Process 9

How the City can Make this Vision Come to Pass 12

1. Revisions to City Guidelines That Will Kick-Start

New Development Projects 13

2. Revisions to City Guidelines That Will Stimulate

Incremental Use of Existing Structures 16

3. Significant City of Dallas Participation in a

Catalyst Project 17

4. Greater City of Dallas Participation in Changes

to the Zones Infrastructure 20

5. Refinements to the Citys Existing

Financial Incentives 22

6. Adoption of New Financial Incentives 23

7. Establishment of a Concierge for the Dallas

City Council Urban Innovation Zone 26

Conclusion 28

Contributors 29

Putting it all togetherTHE Business COMMUNITYSSupport FOR theCityDesign StudiosUrban Structure Plan

Creative thinking was essential tothe plan for West Dallas that has beencreated by the Dallas CityDesign Studio.

Creative thinking will also be essentialto the implementation of that plan.

This document, developed by the

business community most affected bythe plan, launches the creative thinkingthat must occur for the plan to becomea reality.

Larry Beasley, C.M.Consultant, CityDesign Studio


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D allas is a mighty city with a majestic profile.However, most of its premier assets are clustered onone side of the city. The western, southern andsoutheastern sections of the city in particular havevery few of the same assets. However, the vast expanses ofundeveloped land there represent outstanding opportunitiesto add tax revenue to the city so long as those areas getdeveloped in a way that produces communities that willsustain for many years to come.

Many factors are responsible for this imbalance.

Developments in Dallas over the past 25 years havegenerally emphasized separation from the street rather thanconnection to the street, a single use rather than mixed usesand access only by automobile rather than access byautomobile, foot, bicycle, trolley and/or light rail.

As a result, people over time have found manydevelopments in Dallas to lack character and have movedfarther away from the city core in search of somethingbetter.

The good news is, a new vision of how cities can grow andprosper is taking root all over the world. That vision isembedded in an accompanying document from the DallasCityDesign Studio targeting a new urban-planning modelfor a section of West Dallas adjacent to the Trinity River.

We, the business stakeholders in this area, urge the DallasCity Council to approve the innovative plan crafted for ourarea by the Dallas CityDesign Studio and adopt severalrecommendations for its implementation that we outline inthis document. We ask the council to designate the areagoing forward as the Dallas City Council UrbanInnovation Zone, a laboratory where innovative urbandesign strategies get tested.

Most important, we hope the councilwill endorse the work of the DallasCityDesign Studio as a model that will bereplicated over the next several years inother underserved neighborhoods locatedin every council district city-wide.

Since August 2009, the CityDesign Studio has been workingwith us, and listening to us, with the goal of crafting aninnovative strategy for the redevelopment and revitalizationof that specific slice of West Dallas bounded by:

the Trinity River on the north and east,

Interstate 30 on the south and

Sylvan on the west.

Why should this West Dallas Study Area be the beta sitefor an entirely new approach to urban planning in Dallas?Primarily because of its location. This segment of WestDallas is immediately surrounded by the Medical District,the Market Center District, the Design District, the JusticeComplex, the Kennedy Tourist District, Downtown Dallasand the affluent neighborhoods of North Oak Cliff.

A revitalized West Dallas will not have to look far for localsand visitors eager to enjoy its amenities.

More important, though, is the areas proximity to theTrinity River Corridor Project. Access to several of theprojects key recreational venues will be from the study area.

And two of the three Santiago Calatrava-designed bridgesthat will traverse the Trinity River will land in this area. So,we feel this section of West Dallas is truly the slice of Dallasmost on the front lines of the changing inner city.

Led by world-renowned urban planner Larry Beasley, theDallas CityDesign Studio has facilitated more than 30meetings over the past 18 months that have elicited a visionfor the study area from its residents, business owners,

Executive summary


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landowners, and investors, as well as from city staff, electedofficials and community leaders from adjacentneighborhoods.

An exciting re-imagining of this area incorporating thelatest urban-planning philosophies is described in detail inthe document from the CityDesign Studio that accompaniesthis one.

Based on that plan, we are asking this Dallas City Council totake four steps as quickly as possible:

Designate the West Dallas Study Area as anofficial beta site for new urban design principles, asite to be called the Dallas City Council UrbanInnovation Zone.

Approve the CityDesign Studio Plan as thedesired blueprint for this Urban InnovationZone.

Charge city staff to deliver to the council withinsix months a toolkit of incentives and land-useguidelines that will motivate developers andbusiness owners to make the CityDesign StudioPlan a reality and to re-assess that menu everyyear or two and revise it as needed.

Commit to replicating in other similarneighborhoods across Dallas the mostsuccessful aspects of the process theCityDesign Studio has used in theWest Dallas Study Area, as well as the mostsuccessful parts of the toolkit the city appliesto the Urban Innovation Zone.

To the third point, we strongly urge city staff to includesome, or all, of the following, as part of its menu of toolsthat will apply exclusively within the Dallas City CouncilUrban Innovation Zone:

Revisions to the citys land-use and building-code guidelines to kick-start new developmentprojects that reinforce the vision outlined in theCityDesign Studio Plan.

Revisions to the citys land-use and building-code guidelines to allow and stimulate theincremental use of existing structures asdescribed in the CityDesign Studio Plan.

Significant City of Dallas participation in a

catalyst project for the zone.

Greater City of Dallas participation in theimprovement of existing infrastructure andthe installation of new infrastructure throughoutthe zone.

Refinements to the citys existing financialincentives so more development will be drawnto the zone.

Adoption of new financial incentives likely

to spur developers to invest in the zone and putDallas on a par with the cities it competes against.

Establishment of a concierge for the DallasCity Council Urban Innovation Zone, whowill be dedicated to minimizing the bureaucracydevelopers encounter when bringing projectsforward.

In this document, we offer several ideas for each of theabove categories, ideas gleaned from area developers andinvestors, as well as from many of the cities Dallas

competes against for development.

We believe that by approving the recommendations putforth in the CityDesign Studio plan, this Dallas City Councilwill re-establish a long-overlooked and underservedneighborhood as an exciting destination offering a highquality of life for its residents and visitors.


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And, as the process used by the Dallas CityDesign Studiotransfers to other, similar neighborhoods across Dallas incoming years, this council will see it established as part of itslegacy a vision that:

dramatically reshaped for the better howDallas neighborhoods developed goingforward.

transformed dormant communities isolatedby freeways and levees into vibrant villagesconnected by and to the Trinity River.

turned Dallas away from its fabledtipping point.

refashioned its entire urban core into adevelopment magnet that fortified the citystax base for generations to come.


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I ts a muggy April morning and the citys ozone levels arehigher than usual. So, several residents of the CedarCrest and Highland Hills neighborhoods in South OakCliff meet at a van stop near their homes to take theelectric-powered shuttle to their jobs at the newgovernment complex along South Lancaster Road.Afterward, theyll either bike directly to the nearby trails in

Kiest Park, or perhaps shoot hoops at the state-of-the-artbasketball center nested deep within the heart of thecomplex.

Two weeks later, families in Arlington Park ride DARTsGreen Line to Maple Avenue to take in the mariachicompetition at their neighborhoods Cinco de MayoFestival. In Oak Cliff, the residents of Winnetka Heightsand Wynnewood North walk or take a bus to their festivalon Jefferson Boulevard.

On a steamy evening in August, retirees in the Munger

Place section of Old East Dallas stroll from their condocomplex to an art-house cinema on Greenville Avenue via aserpentine walkway cooled by misters and elms.Meanwhile, seniors in the Red Bird neighborhood ofSouthwest Dallas beat the heat with iced coffees and frozenyogurt beside an ice rink inside a re-imagined SouthwestCenter Mall.

And, on a spectacular crisp October morning, scores ofthose living in Kessler Park, La Bajada, Downtown Dallasand the Design District choose to walk or bike to their jobsat the new technology campus situated along Fort WorthAvenue. That evening, they meet friends at one of the cafesalong the perimeter of the esplanade that runs fromInterstate 30 to Singleton Boulevard, or at one of the kayaklaunches alongside the Trinity River at Sylvan Avenue.

Sadly, not one of these scenarios takes place today.However, we the business stakeholders in and around WestDallas believe the unique vision and innovative tools beingrecommended by the CityDesign Studio can turn thosedesirable dreams into definitive realities. And, we believe

the recommendations can revitalize not just West Dallas(and the other communities mentioned above), but alsosimilar neighborhoods of potential found in every DallasCity Council district.

We believe that by approving the recommendations putforth in the CityDesign Studio plan, this Dallas City Councilwill establish as part of its legacy a vision that:

dramatically reshaped for the better howDallas neighborhoods developed going

forward.

transformed dormant communities isolated byfreeways into vibrant villages connected by ariver.

triumphantly turned Dallas away from itsfabled tipping point and refashioned its entireurban core into a development magnet thatfortified the citys tax base for generations tocome.

Lets now look at why we feel Dallas can benefit from thisgame-changing approach to development

INTRODUCTIONA Game-changing visionfor all of Dallas


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More SustainableNeighborhoods and aMore Unified City


D allas is a mighty city with a majestic profile.Stunning architecture defines not just downtown butalso those business corridors in Uptown, acrossNorth Dallas and along the Dallas North Tollway. Nearbyare some of the citys premier shopping districts fromWest Village, to NorthPark, to Preston Center, to theGalleria.

Major recreational amenities also define the city. The KatyTrail, stretching from Victory Park to the Park Cities, is apopular gathering place for people of all ages. And WhiteRock Lake and its adjacent arboretum offer additional

opportunities for those who want to engage in exercise ...or merely relish a spectacular sunset.

These assets are all impressive but are all locatedon the same side of the city. Like the bodybuilder whohas emphasized his chest at the expense of his legs, ourcity has grown in a lopsided way. In particular, thetaxpayers in the citys western, southern and southeasternsections enjoy few, if any, amenities comparable to thosementioned above.

Now, some of the traditionally desirable neighborhoods onthe citys north side are starting to show their age as well.Unless we rethink how those communities are to evolve incoming years, the city may find residents abandoning themtoo, further eroding the citys tax base.

How did we get here?Dallas confronts the challenge it faces partly because ashas been the case in many cities across North America many of the developments that sprung up across the

city over the past 25 years were short-sighted in theirdesign. These developments emphasized separationfrom the street (expansive parking lots, or multi-level garages)rather than connection to the street (angle-in parking,parking lots behind the businesses), and a single use (big-box, ormulti-family apartments) rather than a mix of uses (condos aboveretail, or work/live arrangements).

Residents found their experiences at these places morewoeful than wonderful. So they quickly moved on tothe next development that promised to be moreexciting, a development that most likely was farther fromthe citys core. The result: vacant storefronts and crackedasphalt at projects that hosted enthusiastic ribbon-cuttingsjust a few years before.

Also contributing to the current problem is the fact thatDallas development mindset over the past 25 years hascreated a city that forces most of its residents to use anautomobile to travel from where they live, to where they

work, to where they play. Yes, DART is changing howsome of our residents conduct their daily activities. Still,most people in Dallas view the citys retail, office andentertainment complexes as temporary touch pointsdetached from their neighborhoods, rather than desirabledestinations braided into their communities.

A remedy is at handThe encouraging news: a new vision of how cities cangrow and prosper is taking root all over the world.And by endorsing the recommendations of the CityDesignStudio, Dallas can put that vision to work toward the

transformation of overlooked neighborhoods south, west,east AND north.

Its a vision that infuses into the planning of keydevelopments the needs and insights of the citizensaffected by them. We believe that will minimizethe pushback projects often encounter late inthe development cycle and increase the supportthey receive from neighbors once they open.

A CASE FOR THE

CITYDESIGN STUDIO plan


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Its a vision that encourages developers to designcommunities so everything can be accessed by foot,bus, bike, streetcar, light rail as wellas byautomobile. We believe that will reduce theamount of dollars the city must spend to abatethe pollution caused by vehicular congestion.

Its a vision that insists that deserted sidewalksbecome vibrant streetscapes. We believe that willentice motorists to pull over and spend theirmoney in the urban core rather than racethrough the urban core on their dash home tothe suburbs.

Its a vision that says temporary uses (orpermanent re-uses) of existing architecture are

superior to no uses at all and are often thefirst steps toward a more sustainableneighborhood over time.

And, its a vision that replaces the expensive cycle of build/deteriorate/scrape/build again with one that designs smartcommunities that endure for generations. In short, avision that we believe will convert swaths of propertycontributing little to the tax base into dynamic enginesof economic vitality.

Over the past year, we and the CityDesign Studio have been

quietly pursuing this vision in a historically overlooked butstrategically important area of West Dallas. Now we feel itis time to accelerate that vision, so it can soon benefit notjust West Dallas but also neighborhoods in Oak Cliff, SouthDallas, East Dallas, Pleasant Grove ... and beyond.

By adopting the recommendations offered by theCityDesign Studio, the Dallas City Council will show itis committed to revitalizing neighborhoods in theurban core in a way that will sustain them for years tocome. It will also set into motion a process that canseamlessly connect those neighborhoods to one anotherand to what will soon become a world-class urban attraction the Trinity River Corridor Project.

Lets take a brief look at the path-finding work theCityDesign Studio has undertaken over the past year, andhow the business community and residents of West Dallashave worked with the studio to help it craft its vision andrecommendations.


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Listening toand Working AlongsideThe Community


The vision and tools proposed by the CityDesign Studio

plan are not pie-in-the-sky suggestions submitted by loftyacademics possessing little direct knowledge of thecommunity they have studied.

They are, instead, the result of a planning project unlike anyundertaken before in this city a project that has broughttogether:

urban plannerswho possess world-classcredentials,

with neighborhood leaderswho feel

passionate about their communities,

with hundreds of businesspeople and residentswho own property in (or adjacent to) the firstneighborhood to be re-imagined.

Since August 2009, the CityDesign Studio has been workingwith us and listening to us with the goal of crafting aninnovative strategy for the redevelopment and revitalizationof that specific slice of West Dallas bounded by:

the Trinity River on the north and east,

Interstate 30 on the south andSylvan Avenue on the west.

(In this document, we subsequently refer to this area as theWest Dallas Study Area).

Why West Dallas?Historically, West Dallas has been a depressed pocketisolated from the rest of the city and defined prominentlyby the lead smelter and several housing projects once putthere by outsiders. It has also, at times, been a place heldback by political and commercial malaise.

However, West Dallas is also a well-defined neighborhood

loved deeply by its long-term residents. And it is an areathat has abundant open land and, as a result, has alreadystarted to see an uptick in commercial development. Thesedays, new opportunities for (and new perceptions of) WestDallas are definitely flourishing ... and the property ownerswithin that area are sensing the change and embracing it asthey look to make their solid community an even betterplace to live.

Perhaps the best reason, however, formaking West Dallas the beta site for theCityDesign studios work is ... location,

location, location.

More than many other areas of the city that want todevelop, West Dallas is surrounded by a host of next-doorneighbors who can significantly support its success.

Immediately to its northwest, just over the HamptonRoad Bridge, is the Medical District.This area employsthousands of medical professionals and hosts hundreds ofvisitors a day to the Parkland Hospital complex, theChildrens Medical Center, the UT Southwestern MedicalCenter campus, and other medical facilities.

Immediately to its north, just over the Sylvan RoadBridge, is the Market Center area.The wholesale marketcomplex brings thousands of fashion, gift and homeaccessory buyers to the area each year. Several major hotels,including the massive Hilton Anatole, also are in this area.

The Process Behind

the New Vision


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Immediately to its northeast, just over the ContinentalPedestrian Bridge, is the Dallas Design District, amecca for art and antique shoppers.

Immediately to its east, over the Commerce StreetBridge, is the Justice Complex and Downtown Dallas.And just a few hundred yards to its south are theestablished neighborhoods of North Oak Cliff, as wellas the Methodist Medical Center complex.

We are confident a revitalized West Dallas will not haveto look far for locals and visitors eager to enjoy itsamenities. Especially since these micro-communities arealready linked by such well-traveled thoroughfares asInterstate 30 West, Sylvan Avenue, Fort Worth Avenue, andSingleton Boulevard.

But most important of all is the West Dallas StudyAreas proximity to the Trinity River Corridor Project.Access to several of the projects key recreational venueswill be from West Dallas. And two of the three SantiagoCalatrava-designed bridges that will traverse the TrinityRiver will land in West Dallas. So, we feel West Dallas istruly the area of Dallas most on the front lines of thechanging inner city.

Somewhat-walkable communities complete with mixed-

use developments and convenient DART stations already

exist to downtowns north (Uptown), east (Deep Ellum)and south (South Side on Lamar). It is this area west ofdowntown that is best-positioned to be the blank slateupon which Dallas freely writes the story of the newway it wants to develop going forward.

The Steps Taken Thus FarWest Dallas has not been the CityDesign Studios onlysphere of interest. The studio has also facilitated two designworkshops for Martin Luther King, Jr. Boulevard hosted byCouncilmember Carolyn Davis. It helped the city developits design for Riverfront Boulevard on the east side of the

Trinity River. And in July 2010, the studio partnered withthe local chapter of the Congress for New Urbanism to hostan Urban Conversation at the Belmont Hotel that drewmore than 100 attendees.

However, the studios primary task since its inception hasbeen convening the key constituents of West Dallas andadjacent neighborhoods to help us envision how the WestDallas Study Area might develop in coming years soeveryones desires for the area get realized.

To that end, the studio has facilitated more than 30meetings, most of which have involved West DallasStudy Area residents, business owners, landowners,and investors.

Launching that series of meetings was a Dream Session inAugust of 2009, which involved 110 people from WestDallas and Oak Cliff, as well as design professionals and citystaff. Since then, the CityDesign Studio has spearheadedmultiple smaller meetings about the redevelopment of theWest Dallas Study Area that have fostered dialogue andgenerated insights from:

the residents of La Bajada and Los Altos in WestDallas;

the residents of East Kessler, Kessler Park, StevensPark, Kings Highway, Wynnewood North andWinnetka Heights in North Oak Cliff;

key West Dallas landowners such as West DallasInvestments, Oaxaca Investments LLC, CiendaPartners, Sowell Company, the Americas CablePark Group and Options Real Estate;

leaders of such organizations as the West DallasChamber of Commerce, the Fort Worth AvenueDevelopment Group, the West Dallas Coalition of

Neighborhood Associations, and the Oak CliffChamber of Commerce;

City Manager Mary Suhm and key staffers from thecitys offices of economic development, housingand code enforcement, among others;

Mayor Tom Leppert, Councilmember DaveNeumann (District 3), Councilmember SteveSalazar (District 6) and Councilmember AngelaHunt (District 14).

In these sessions (many of which were conducted inSpanish as well as English) the participants identified theaspects of the West Dallas Study Area they wanted to seeremain, and the new amenities they most needed. Theydiscussed the types of new developments they would bemost comfortable with, and the types of incentives thatcould ensure such developments arrive.


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They articulated the barriers that prevent such developmentfrom occurring in the study area today and effective optionsfor dismantling those barriers in the future. Most of all,they discussed what they want the overall personality of the

study area to be in ten

and even 20

years.

The meetings have helped theCityDesign Studio craft an excitingblueprint for the development of thecommunity. A separate documentoutlines that blueprint in detail.

However, that blueprint can only take shape if the cityreconsiders how it supports development through its code,zoning and economic incentives. Lets now explore thetools and incentives we the business community believe will

make it easier to both realize this vision in West Dallas ...


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Different Toolsfor a UniqueUrban Destination


Its time to turn the West Dallas Study Area into a world-

class success story.

Stakeholders have expressed their dreams for the area, andpremier urban planners have translated those dreams intoa tangible, attainable and desirable destination for all.

Whats needed now is a city council thats willing to exercisethe vision to endorse both the process and product towhich hundreds of people who care about West Dallas havecommitted almost 18 months of their time councilwilling to endorse an urban-planning model that other citiesworldwide will want to emulate.

To that end, we ask this Dallas City Council to take thesefour steps as quickly as possible:

designate the West Dallas Study Area as anofficial beta site for new urban design principles,a site to be called the Dallas City CouncilUrban Innovation Zone

approve the CityDesign Studio Plan as the desiredblueprint for this Urban Innovation Zone

charge city staff to deliver to the council withinsix months a toolkit of incentives and land-useguidelines that will motivate developers andbusiness owners to make the CityDesign StudioPlan a reality and to re-assess that menu everyyear or two and revise it as needed. Chief among thosetools: a plan for city involvement in the creation of theHerbert Street development spine outlined in the plan, as

well as two other underpasses beneath the Union Pacific RailLine needed to effectively connect the neighborhoods north andsouth of it.

commit to replicating in other, comparableneighborhoods across Dallas the most successfulaspects of the process the CityDesign Studio hasused in the West Dallas Study Area, as well as themost successful parts of the toolkit the city appliesto the Urban Innovation Zone

A different toolkit for a new urban destination

A simple refrain has emerged from the many meetings theCityDesign Studio has conducted with those who currentlyown property in and those who would like to develop in the West Dallas Study Area.

That refrain: we can help the area provide for its residents amuch higher quality of life, AND generate for the city amuch higher level of tax revenue, but only if we canchoose from a different menu of financial incentivesand encounter far-less-burdensome bureaucracy.

Many innovative incentives offered by other cities (both in

the DFW area and nationwide) are not now in the City ofDallas toolkit. And many of the codes and bureaucratichoops developers grapple with here have been abandonedby many of the cities that Dallas competes with.

How the City Can

Make This Vision Come to Pass


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So, we ask the Dallas City Council to charge city staffto develop within six months a menu of guidelines andincentives to at first be offered just within the Dallas CityCouncil Urban Innovation Zone. This menu will address

some or all of the following seven preferences expressed bythe business community:

Revisions to the citys land-use and building-code guidelines to kick-start new developmentprojects that reinforce the vision outlined in theCityDesign Studio Plan.

Revisions to the citys land-use and building-code guidelines to allow and stimulate theincremental use of existing structures asdescribed in the CityDesign Studio Plan.

Significant City of Dallas participation in acatalyst project for the district.

Greater City of Dallas participation in theimprovement of existing infrastructure and theinstallation of new infrastructure throughout thedistrict.

Refinements to the citys existing financialincentives so more development will be drawn tothe district.

Adoption of new financial incentives likely tospur developers to invest in the district and putDallas on a par with the cities it competes against.

Establishment of a concierge for the DallasCity Council Urban Innovation Zone, who willbe dedicated to minimizing the bureaucracydevelopers encounter when bringing projectsforward.

Starting on the right, you will find detailed

recommendations associated with each of these innovationsthat can guide city staff as they develop a menu for citycouncil consideration in the coming weeks.

These ideas stem from brainstormingsessions that involved city staff, areabusiness owners, investors anddevelopers

The business owners and developers who participated inour brainstorming sessions all agreed that many of the cityscurrent codes and zoning guidelines inhibit their ability tobring quality projects to Dallas urban core. Such guidelinesseem especially irrelevant in pockets like West Dallas thathave difficulty attracting development in the first place. Inaddition, many of the current guidelines have either beenabandoned by Dallas competitors or were neveradopted in the first place.

We recommend that in designing the menu of guidelinesexclusive to the Dallas City Council Urban InnovationZone, city staff give serious consideration to thefollowing ideas:

Rethink current parking requirementsCurrently, each structure in Dallas must provide a certainnumber of parking spaces based on the square footage ofthe property and/or its use. We would like to see market-driven parking prevail within the Urban Innovation Zone,a concept found in many parts of Seattle, San Francisco,San Diego and Alexandria, Virginia, among other locations.Market-driven parking would allow for such new optionsas on-street parking, spaces allotted to more than onebusiness at the same time, and lots that serve one set ofbusinesses by day and another set by night.

The result: a more walked neighborhood and a morevibrant street life. Why? Because rather than pull up to aspecific location, experience it and then leave, drivers willpark wherever they can and then walk to their destination,

usually passing other places they decide to visit on the sametrip or in the future.

Once the Urban Innovation Zone achieves a certainamount of density, city staff may also want to considercharging significantly more at city-operated parkingstructures within the zone than it does at the parkingstructures it operates elsewhere in the city. The increased

1.Revisions to CityGuidelines That WillKick-Start NewDevelopment Projects


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charge/revenue could both encourage more people to usealternative forms of transportation (walk, bike, bus) andfund transportation-related initiatives within the zone (area-wide bike racks, enhanced bus stops, etc.).

Rethink the zoning that

regulates much of the areaGoverning much of the Urban Innovation Zoneis either an IM (industrial manufacturing or IR (industrialresearch) designation. These categories dont just discouragenon-industrial developments they also inhibit manyinnovative developments that are common in the citiesDallas competes with.

Such developments include spaces where, for example:

Lawyers, accountants, etc. have an office on theground floor and a residence above that.

Different but related businesses work side-by-sideas a co-op.

Sculptors or potters manufacture their artwork inthe back and sell it in a retail shop up front.

The CityDesign Studios document outlines in detail thezoning categories needed to create the mix of businessesand uses envisioned by the plan. We support their zoningrecommendations and urge city staff to adopt them as partof the menu of supportive measures they will provide theCity Council in coming weeks.

Creating new zoning designations for the area will require areconsideration of PD714, a zoning overlay establishedseveral years ago to spur development along the Fort WorthAvenue corridor in particular. We are supportive of thisplanned development district being opened up and alteredto ensure the zoning within its boundaries align with thoserecommended by the CityDesign Studio Plan.

Allow cumulative zoning across the areaToday, the city stipulates that each specific property belimited to a very specific use. Like other mechanismsmentioned above, this zoning philosophy stifles innovativedevelopments from coming to an area.

Why? When land is rezoned to allow a higher use at thatlocation, land values can instantly skyrocket, even if there isno one interested in developing the land at that time.Developers actually turn away from the area in question.

Also, developers wanting to rejuvenate large tracts want theflexibility to change over time, based on market demand,what goes into certain structures or at certain locations. Alocation that works fine as a metal fabrication shop in 2010might be great for townhomes in 2015, should the housingmarket recover. But if that spot is zoned solely for lightindustrial, developers might very likely drop the townhomeproject, given the hassle they know they will encounter tochange the zoning.

We would like to see Cumulative Zoning allowed

throughout the Dallas City Council Urban InnovationZone. Under this scenario, the overall form (size, height,relationship to the street, relationship to other structures) ofthe buildings and public spaces throughout the zone wouldbe specified up-front. And some uses (environmentallydangerous or sexually-oriented businesses, for example)would be disallowed. Otherwise, however, specific uses forspecific properties would not be set in stone.

This form-based model for zoning would allow the areato evolve organically over time, but with general guidelinesin place to ensure new developments do not compromise

the zones overall quality of life. The CityDesign StudioPlan calls for this type of overlay for the area and wesupport their call for the city to make Cumulative Zoningthe norm in the Urban Innovation Zone.

Alter landscaping requirements so the Urban

Innovation Zone can become an Urban Green ZoneDevelopments that respect the environment cost the cityless long-term than do those that consume water, trees, etc.in a wasteful way. Also, a community is more likely tosucceed long-term when thought has been given toincorporating green spaces, rather than extensive swaths of

concrete, into its overall layout and design.

However, several developers and business owners told usDallas current landscape ordinance feels restrictive andtherefore discourages economic development. We want anarea like the Urban Innovation Zone to do the opposite encourage developers and neighbor-friendly businesses toenthusiastically revitalize the area.


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At the same time, our abiding interest is in developing agreen area that:

helps reduce the urban heat island effect,helps contribute to air quality,enhances pedestrian appeal, andprovides a green gateway to the Trinity RiverProject.

Therefore, as city staff designs the menu of options forapplication in the Urban Innovation Zone, we strongly urgeit to revisit some key provisions within the landscapeordinance. We believe in some instances, the city candevelop some equivalencies for this beta site, a testingground for new thinking and new technologies.

For example:

The current landscape ordinance states that a ten-foot, perimeter-landscape buffer strip containingspecific planting materials must be providedalong the length of the perimeter betweencommercial and residential uses and adjacent tostreets. While we recognize the appropriateness ofthis substantial green divider in more opensuburban settings, we feel what better suits adenser, more urban area is more subtle and randomlandscaping thats more likely to connect

properties, people and the street to one anotherthan divide them.

Likewise, current requirements for screening andparking lot trees may be ideal for a big-boxdevelopment along an interstate highway. But suchrequirements only feel suburban and out-of-placein the denser, New Urbanist-style of community wehope the Urban Innovation Zone becomes.

The current landscape ordinance also stipulates thatall plants must be within 100 feet of a verifiable

water source. We believe there is room here toallow for common water sources targeted to awider coverage area as well as alternative irrigationsystems (such as shared and hidden rain-collectioncisterns).

Finally, we have the opportunity in the Urban InnovationZone to save time, money and maintenance by includingmore energy-efficient landscaping strategies and forward-thinking elements like green roofs and rain gardens, as wellas architectural or sculptural components that assist withshading, windbreaks and water conservation.

Strengthen the enforcement of those

laws/codes associated with quality of lifeProperty owners and developers in our brainstorming

meetings also pointed out that several quality-of-life factorsin the Urban Innovation Zone that are overseen by codejust do not measure up when compared to those samefactors in the cities Dallas competes against. Greaterenforcement of those codes will not just lead to a betterquality of life in the zone; they will also lead to moredevelopers wanting to put projects there, they said.

These issues include panhandling, stray dogs, groundsmaintenance, illegal signage and graffiti, among others.Codes are in place to regulate these problems yet developerssaid the city just isnt enforcing those codes diligentlyenough in the area to make many developers feelcomfortable about bringing new projects forward.

One option we recommend is that of allowing some formof citizen-led code enforcement to take place within theDallas City Council Urban Innovation Zone. Althoughthere has been resistance in Dallas to letting neighborssnitch on neighbors, the fact remains such programs aresuccessful in the cities Dallas competes against.

For example, the Denver area has empowered citizens tobecome volunteer code enforcement officers. These citizencode officers are trained by code enforcement staff and are

able to report on, and follow through on, code violationscity-wide. Meanwhile, Bradenton, Florida, and other citieshave formed code-enforcement boards whose membersinclude citizens who oversee enforcement of codes in place.

We also recommend looking at improvements that can bemade at the individual-violation level. For example, westrongly urge the city to ban panhandling across the DallasCity Council Urban Innovation Zone the same way it justbanned it in the West End, Deep Ellum and DowntownDallas.

We also believe a group of artists, architects, etc. could beeasily recruited to oversee the sign ordinances governing thezone, to ensure goal of the CityDesign Studio to make thearea more aesthetically pleasing remains intact.


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Another major component of the CityDesign Studio Plan isencouraging existing structures to enjoy a new life. That cancome about by someone putting into such a structure atemporary use of some sort (a caf that intends to be openjust over the summer months, for example, or an art showdesigned to coincide with the Super Bowl), or a permanentre-use of the space (the transformation, for example, of a

former tire shop on Fort Worth Avenue into therestaurant/live music spot Jacks Backyard.

We believe many of the recommendations we put forwardin the previous section of this document will apply to thisgoal as well. Specifically, new uses are more likely to cometo existing structures in the Urban Innovation Zone if thecity: rethinks its current parking requirements, rethinks theindustrial zoning governing much of the area, allowscumulative zoning to occur across the zone, altersrequirements that prevent the area from being an UrbanGreen Zone and strengthens in the zone the enforcement

of the codes associated with quality of life.

However, we offer two other recommendations specificallydesigned to stimulate the increased and innovative use ofexisting structures:

Establish a new Temporary Use permitCurrently, the city offers two types of permits: a SpecialEvent permit geared to one-time events, and a Long-TermUse permit geared to businesses that expect to operate foryears in a location.

What developers told us they need is a hybrid of the two atemporary use permit that will allow for short-term (onemonth, four months, nine months) use of an existingbuilding. Such permits can be found in Austin, San Diego,and Orange, California, among other cities.

The Orange, California, example is an especially applicableone, as that city that has successfully revitalized its core overthe past 15 years. The city recognizes that certain uses of

land require special individual review. The intent of itstemporary permit is to accommodate reasonable requestsfor interim, temporary or seasonal uses within any zoningdistrict, when such activities are desirable for the

community in the short term. However, temporary usespermitted must be sensitive to the health, safety and generalwelfare of persons residing and working in the communityand not cause long-term detrimental effects on thesurrounding properties or community.

Perhaps a theater company wants to stage a production inan abandoned warehouse for two or three weeks. Or anartists cooperative wants to stage a show for one month inan old motel. Other cities make it easy for such spiritedventures to thrive. But the codes of Dallas make it almostimpossible for them to take place.

Over its six-month run, the highly successful restaurant 48Nights at Sylvan and Fort Worth Avenue generated tens ofthousands of dollars for local charities. However, it almostdid not come to be, for inspectors originally interpreted thecitys code to say that the restaurant needed to installexpensive exhaust-release equipment just because it was anew (although short-term) occupant in the space.

Meanwhile, the owner of an abandoned warehouse onSingleton Boulevard, which hosted a landmark art exhibitfor three weeks, had to hire a Dallas Fire Rescue employee

for the length of the show just because the originalindustrial use of the building mandated much moreextensive fire regulations.

By allowing Temporary Use Permits to be issued for certainbusinesses wanting to come to the Dallas City CouncilUrban Innovation Zone, the city can both increase itsrevenue from permits AND inject immediately a heightenedsense of energy and creativity all throughout the zone.

Allow equivalencies that can

help A developer satisfy code

Say a property owner wants to put a nicer retail shop intoan existing building within the Urban Innovation Zone.The retail shop will just be open from October to Januaryto sell Christmas, Chanukah and Kwanzaa ornaments andgifts crafted by local residents. Fire codes most likely woulddemand that owner install expensive firewalls before theshop can ever open for business. Guess what? There goesthe shop.

2.Revisions to CityGuidelines That WillStimulate incrementaluse of existingstructures


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Or, someone wants to open a diner in a former gasolinestation on a small, unusually shaped parcel of land. Currentlandscape regulations demand they plant trees in a way thatwould likely make it difficult for them to develop the

property.

In other cities, people wishing to rehab existing structureshave the flexibility of coming up with equivalencies, thatenable them to satisfy the citys code but in a more creativeand flexible way.

The retail shop is allowed to open because the ownerinstalls a fire alarm and three fire extinguishers, rather thanthe firewalls mandated otherwise. And, the diner goesforward because the city allows an exception ormodification to the tree requirement because of the

problems posed by the odd shape of the lot.

We recommend that in devising the menu of new optionsthat will apply in the Dallas City Council Urban InnovationZone, city staff explore what creative equivalencies propertyowners might use to satisfy code. We also ask city staff toconsider an overlay for the zone that would allow propertyowners to just meet 50% of the guideline in place (forexample, if you remove a tree that is 12 inches in diameter,you need only replace it with a tree or trees totaling sixinches in diameter).

Give priority to the improvement of infrastructureadjacent to existing buildings in the zoneJust because a smaller, older building sits vacant does notmean it is worthless. Such buildings can house small shops,cafes, artists studios, etc. and often do in other cities.

The City of Dallas can increase the chance life returns tosuch buildings all across the Urban Innovation Zone byensuring the infrastructure around such buildings isappealing and functional. Specifically, we ask city staff toconsider a system by which any bond money dedicated toinfrastructural improvements within the zone (replacement

of curbs and sidewalks, streetscaping, etc.) go first towardthe infrastructure surroundingexisting architecture.

When it comes to the Dallas City Council Urban InnovationZone, will the City of Dallas have any skin in the game?Developers have told us they will be much more likely tobring projects to the area if they are confident the city isalso planning to be involved in the areas renaissance.

Historically, the biggest challenge to the completion of deals

in areas like West Dallas has been lack of capital bothequity and debt. That challenge is especially heightened intodays ultra-tight financing market. Increasing thatchallenge even further are the higher equity requirementslenders now demand, as well as a dearth of comparables.

The City of Dallas can help mitigate these challenges byidentifying ways in which it might participate in potentialprojects. In particular, we encourage city staff to explorehow the city might kick-start development in the UrbanInnovation Zone by participating in a catalyst project some large development likely to trigger other developers to

consider the area.

We understand and support the fact that the city must: 1)participate only in catalyst projects that advance a publicobjective, 2)evaluate such projects on a case-by-case basis,and 3)consider the fiscal benefit to the city of participatingin any such project.

That catalyst project could be:

InstitutionalA school, museum, library, government office building, etc.

In keeping with the theme of the area, perhaps the cityhelps fund a charter high school devoted to architecture andurban design. Or perhaps it helps establish a New UrbanistMuseum, the Bonnie & Clyde Museum or a Museum ofTexas Music in the area.

3.SignificantCity of Dallasparticipation in acatalyst project


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On a large scale, the Pompidou Centre in Paris, France,and The Guggenheim Museum in Bilbao, Spain, areexceptional examples or institutional projects that havebeen enormous catalysts for neighborhood that were

formerly bleak and dreary. And The New Museums new(opened in 2007) building in the Bowery has helpedtransform that traditionally dreary nook of New York into adynamic nexus of cultural and commercial development.Closer to home, The Missouri Research Park in suburbanSt. Louis is a 200-acre research and development complexthat has spawned scores of smaller R&D operations alongHighways 40 and 61.

InfrastructuralA major investment in the areas roads, parks, etc.Perhaps the city commits to creating grand gateways intothe zone, at Sylvan and Canada Drive, Singleton andBeckley, West Commerce and Beckley and Interstate 30 andSylvan. Or perhaps it chooses to help fund the grand plazaenvisioned at the west end of the Continental PedestrianBridge or pursue a streetcar line that would carry passengersfrom the Urban Innovation Zone to the Design District tothe Justice Complex to the Kennedy Tourist District to theConvention Center Hotel to Methodist Hospital andback again.

One of the more noted examples of this type of catalystproject is the High Line in New York City. The city has

helped transform the former rail line into an aerialgreenway. Since the opening of the park on ManhattansLower West Side in June of 2009, more than 30developments alongside the line have either beenannounced or have begun construction.

Similarly, the Katy Trail in Dallas is slowly evolving into acatalyst projects, as condo and retail projects increasinglyget sited near or alongside it and adopt the Katy Trail intotheir name.

The most important infrastructural

project the city could help undertake,however, is the creation of some or all ofthe three punch throughs of theUnion Pacific line the plan calls for.

These connectors will serve as a major catalyst fordevelopment in the area and link the neighborhoods northand south of the line that now are completely sequesteredfrom one another by the line.

ResidentialCondos, townhomes, etc. Some of which

perhaps positioned as WORKFORCE housing

Small condo buildings, townhome communities, etc. partially funded by the city or county can go a long wayto stimulating additional economic activity in an area.

For example, Palmers Dock, along a formerly blightedsection of the waterfront in Brooklyns Williamsburgneighborhood, has attracted multiple retail establishmentssince opening in 2008. The apartment building offers 113affordable-housing units. The city extended a $5.9 millionloan to subsidize the projects various rent levels (whichrange from $400-600 a month).

More important, Palmers Dock also has a ground floordevoted to retail. More than 80 percent of that space hasbeen leased to a dry cleaners, Duane Reade drug store andrestaurant, businesses not before found near the site whichfor years served as a garbage-transfer station. Meanwhile,the complex has persuaded both a wine bar and delito open nearby.

Yet another example of a residential catalyst project isDudley Village, a 50-unit multi-family project in BostonsDorchester neighborhood. The community is credited forhaving revitalized this previously blighted area of Boston,spurring investment by not-for-port, private and public

entities. Since the project (coordinated by the city andfunded by low-income housing tax credits) opened twoyears ago, the Dudley Street corridor has become a vibrant,multicultural district teeming with new life.

Closer to home, the tornado-damaged Bank One Towerwas successfully refashioned in 2008 into condos andtownhomes that have helped spur nearby retail in andaround downtown Fort Worth. A public/privatepartnership brought that building back to life after severalyears of dormancy.


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CommercialA shopping complex, outdoor marketplace, etc.Many view the Sylvan/Thirty mixed-use shopping complex

set to rise at Sylvan Avenue, Fort Worth Avenue andInterstate 30 as having the potential to be a catalyst projectthe way the flagship Whole Foods Market in Austin hasbeen a catalyst for development on the west side of thatcitys downtown. There is still opportunity for theCity of Dallas to become more engaged financiallyin Sylvan/Thirty (or any other shovel-ready project).

Other possibilities in this category would be a grandoutdoor farmers market; a mixed-use complex offeringneeded retail, residential units and small office space; and acourt full of trailers that sell fresh food and display artwork.

The Navy Yard, in a formerly dreary section ofPhiladelphias South Side, is one example of a successfulcommercial catalyst development. The project has attractedcondos and the corporate headquarters of Urban Outfittersand Tasty Baking Company since its opening a few yearsago. Yet another is SouthSide Works in Pittsburgh. Apublic/private partnership there has transformed anabandoned and environmentally hazardous factory complexinto a mixed-use village employing 5,400 people andfeaturing more than ten apparel shops and ten restaurants,as well as an 11-screen movie theatre.

In committing to participate in a catalyst project within theDallas City Council Urban Innovation Zone, the city couldassume one of several roles:

The developer of a catalyst project. Under thisscenario, the City would actually develop a majorproject intended to attract smaller satellite projectsover time. An example of this is the Special EventsCenter in Allen, Texas. In that instance, the City ofAllen, using Economic Development Fundsavailable from its sales tax revenue, developed amulti-purpose facility to attract sports events, youth

leagues, and other special events.

This venue is located in the citys newest retailcenter and has a convention center hotel attachedto it. It has attracted: the Texas Stampede Rodeo,the Allen American's Minor League Hockey team,the Allen Wranglers minor league football team,two ice skating rinks, conventions, musicals andother special activities.

An equity investor in a catalyst project. In thisinstance, the City would actually invest its ownfunds in a project that it deems worthwhile to sparkinterest in the Urban Innovation Zone.

The latest example of injecting equity into aproject is the City of Dallas' recent decision toinvest $2MM from general bond funds to acquireland for infill developments across North OakCliff. In this instance, the amount invested issecured by real estate, so that if the project doesnot move forward, the City will have collateral tobe repaid.

A guarantor of the debt associated with acatalyst project. Under this scenario, the City

would use its bond rating to borrow funds atfavorable rates.

The most recent example of using this financialvehicle to advance a catalyst project would be theDowntown Dallas Convention Center Hotel.Because of the City's superior credit rating, thisdevelopment was able to borrow $480MM ata rate of 4.78% well below the target rate of5.5%. This saved the city $3MM per year for 30years of interest.

Elsewhere, the city of Indianapolis is issuing bondsto help fund a $150 million mixed-use developmentthat will include an upscale hotel and YMCA onland owned by Eli Lilly Corporation.

The lender to a catalyst project. In this scenario,the City would actually loan money to a developerto facilitate a development in the Urban InnovationZone. Hamilton County, Ohio, has loaned some$2.3 million to an Atlanta development firm to helpit complete The Banks on Cincinnatis riverfront.And the Los Angeles City Council just approved a$19.3 million loan to help a developer complete aretail complex in that metropolis Mid-City district.

As it prepares a menu of development options for theDallas City Council to consider vis a vis the UrbanInnovation Zone, we encourage city staff to explore thefour roles described above. Any of the above scenarioswould likely increase the number of landowners and


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The Dallas CityDesign Studio Plan does call for a few largerprojects coming to the area over time. However, largerprojects in an area like the Urban Innovation Zone presenta daunting challenge a decaying infrastructure that,depending on the size of the project, must be repaired orreplaced by the developer.

We urge city staff to identify practical ways by whichthe city can assume a greater responsibility in theimprovement of existing infrastructure, or the installationof new infrastructure, associated with new projects thatpropose to come to the Urban Innovation Zone.

Again, we believe the creation of some orall of the three punch throughs of theUnion Pacific line that the CityDesignplan calls for represents an outstandingopportunity for the city to meaningfullycontribute to the improvement of the

areas infrastructure.

Here are some additional ideas regarding infrastructureimprovement that current property owners and interestedinvestors offered during our brainstorming sessions:

AConsider including within the citys next bond packagefunds targeted toward the following projects ... items wethe business stakeholders in West Dallas deem priorities

within the Urban Innovation Zone:

NEW URBANIST street Grid

Design and construction of the New Urbanist-style streetgrid proposed by the CityDesign Studio and City of DallasBike Plan. Design is to include wider sidewalks, restingbenches, pedestrian-friendly intersectional signals, bicyclelanes, on-street parallel parking, and corner ramps for thedisabled, among other street improvements.

4.Greater City of Dallasparticipation in changesto the zonesinfrastructure

developers who would submit development proposalswithin the zone and, long-term, other promising butoverlooked neighborhoods all over Dallas.

Of course, we believe the City ofDallas has a right to expect abeneficial return on whatever form ofparticipation it decides to make in acatalyst project.

This idea is by no means new to Dallas, however. The cityhas already demonstrated its willingness to use creative toolsto attract attention and/or catalyst projects to certain areasof the city. These include:

The public/private partnership that enabled the

Convention Center Hotel to be built.

The TOD TIF, which allows incremental propertytaxes from affluent areas to be used to jump-startmajor development in areas such as the Lancastercorridor.

These outside-the-box financing models supported bythe City of Dallas have enabled these projects to moveforward. By demonstrating similar creativity, the City ofDallas can greatly increase the likelihood catalyst projectslike those we all hope to see will truly rise in the Urban

Innovation Zone and eventually other overlookedneighborhoods city-wide.


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TIFs, PIDs, MMDs, New Market Tax Credits ... all theseincentives and others play vital roles in the citys effortsto lure development to Dallas. However, the city has manyopportunities to refine those incentives so they are moreeffective, particularly in an area like the Urban InnovationZone.

As city staff develops a menu of options for the city councilto apply to the zone, we recommend it consider includingsome or all of the following alterations to some currentincentives:

TIFsCurrently, someone developing a project within a TIFinvests money in a project and then gets reimbursed by theTIF after land values have increased. We recommend thecity instead explore a TIF structure just within the UrbanInnovation Zone wherebydevelopers receive the fundsthey seek from the TIF directly from the city at the

beginning of the project and then the city getsreimbursed by the TIF.

A few years ago, the City of Chicago received a $5 millionloan from the Local Initiatives Support Corporation. Thecity has since distributed that money to its TIF districts,which can extend those funds upfront to developers whoseprojects create jobs and/or provide some form of jobtraining. Over time, the increased value of properties in theTIFs paid off the initial $5 million and continues toreplenish the $5 million fund as an ongoing source ofmoney for developers coming to the TIFs.

And Rogers, Minnesota, a growing suburb of Minneapolis,recently provided TIF financing up-front for a market-ratesenior residential community called Heritage Place.

Another way the city might revise its TIF mechanism justfor the Urban Innovation Zone would be to have it grant alarger reward to those who first develop within the TIF.Currently someone developing a 100,000-sqaure-foot

property in a TIFfive yearsafter its establishment receivesthe same percentage of the increment as does someonedeveloping a 10,000 square foot property within the firstyear of the TIF. By weighting pioneer developments within

the Urban Innovation Zone more heavily, the city is muchmore likely to kick-start the area.

Yet a third way the citys TIF structure might be altered justfor the Urban Innovation Zone involves its affordable-housing requirement. Currently any new residentialdevelopment within a TIF must set aside 20% of its unitsfor affordable housing. That requirement is off-putting tosome developers. More important, the Urban InnovationZone already has more than its share of affordable housing to bring balance to the area, more housing units outsidethe affordable housing category are whats needed.

So, options (for projects in the Urban Innovation Zone thathave affordable housing within a two-mile radius) include:eliminating the 20% requirement altogether, eliminating itfor a period of time (five years, ten years), reducing therequirement to 5% or 10%, or eliminating it altogether forten years and then gradually stair-stepping the requirementback up to 20% in increments over the next 15-20 years.

Finally, a fourth way TIFs within the Urban InnovationZone can be improved, we feel, is by revising them so theyincent smaller, more entrepreneurial developments.

Currently TIFs favor larger developments because suchprojects are the ones that will turbo-boost land valueswithin the TIF district most quickly. The city mightrebalance the benefit TIFs bring to the zone by saying acertain percentage (10%-20% perhaps) of a TIF districtsoverall increment will be dedicated solely to developmentswhose footprints are less than 25,000 square feet.

Chapter 380 GrantsHistorically, these grants have carried with them anexpectation that the recipient will be creating jobs in someway. We believe the city might consider broadening how it

applies Chapter 380 grants within the Urban InnovationZone so they act in a capacity similar to incentivesassociated with an economic development corporation.Perhaps the grants can also go toward land acquisition orthe demolition of existing, derelict properties.

5.Refinements to thecitys existing financialincentives


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Its important to point out, however, that such districtsoften fail if they do not have a major retail business/complex to support them. The Chicago suburb ofHammond, Indiana, converted 80 acres of what was the

Woodmar Country Club (which generated only a smallamount of sales tax) into a pad for a suburban-styleCabelas. The substantial sales tax generated by the Cabelas(and other retail businesses that subsequently chose to setup shop nearby) have been kept within the county for floodcontrol programs, thanks to the Sales Tax IncrementDistrict established by Hammond. Support for the conceptwas strong in Hammond, since it did not increase propertytaxes or create a new tax.

And in the event of a recession, the city would not be ableto rely on as much reinvestment money for the zone.

However, it would still be able to rely on MORE moneythan it would if it chooses NOT to devote ANY of the onecent collected on purchases in the zone, as is the case now.

Target some Bond Program Funds toward

key Developments Within the ZoneIn this case, the city would agree to apply some of the fundsrequested in an upcoming bond program toward keyeconomic development initiatives within the UrbanInnovation Zone. On pages 20-21, you will find a list ofwhat we the business community in West Dallas consider tobe the priorities for the area.

Guaranteed City LoansEarlier, we discussed how the city could offer loans tokick-start a catalyst project in the Urban Innovation Zone.The city could also offer guaranteed loans to thoseinterested in developing projects beneath the level ofcatalyst, as well as businesses wanting to locate/relocate tothe zone. The funds for these loans might come fromcounty, state or federal sources (such as HUD, theDepartment of Energy, etc.).

For example, Clevelands Economic Development Loan

Program offers long term, fixed-rate financing at 4%interest. This provides a lower debt service on overallfinancing and can help a company expand its operations.Loans range from $35,000 to $500,000 and cannot exceed40% of the total project's cost. Terms are typically 5-7 yearson equipment and up to 15 years on land and buildings.

A related aspect of this general idea would be designatingthe Urban Innovation Zone as a Green DevelopmentZone, a place where the city offers grants and/or low-interest loans to property owners specifically interested in

installing energy-efficient features in existing buildings, or todevelopers willing to build new structures that incorporatethe latest in environmentally friendly features.

It is important to note that we feel any incentives/rewards offered to developers for green-buildinginitiatives should go ONLY to projects that performbeyond the requirements outlined by existing cityprograms, like the Dallas Green BuildingOrdinance.

The City of Columbus has established just such a

Green Columbus Fund, which offers low-interest loans forcommercial-building owners who want to install betterwindows, furnaces, air conditioners or other energy-savingequipment. Each loan offers up to $200,000 per recipientand the program has resulted in the renaissance of manyformer gas stations, factories and polluted sites throughoutthe city into tax-generating businesses.

Meanwhile in Seattle, Green Building Grants (fundedthrough the King County Department of Natural Resourcesand Parks) go toward projects that meet stringent criteriafor resource conservation.

Reapplication of Certain Tourist Taxes Toward

the Urban Innovation ZoneAt the end of 2011, the City of Dallas will pay off its debton the American Airlines Center. Revenues from taxesassessed to hotel guests and those renting cars here havepaid for the center. Rather than allow that revenue to lapse,we recommend two possibilities allow all of those fundsto go toward development initiatives in the UrbanInnovation Zone OR split the funds 50/50 betweenprojects in the Downtown Arts District and arts-relateddevelopment in the Urban Innovation Zone. This would

require a city-wide vote.

Creating an Economic Development Corporation

for the ZoneCities large and small across the country have establishedEconomic Development Corporations to give a boost tothe economic climate, and tax revenues, within theirboundaries. City staff might want to consider as part ofthe palette of options it hand the City Council the


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creation of an Economic Development Corporation ofsome sort just for the Urban Innovation Zone.

One of the most successful urban EDCs is the Portland

Development Commission. That body took a blightedindustrial area of the city and used TIF fund, local andfederal grants, contracts for services and private donationsto transform it into a fresh, vibrant, high-density multi-usecommunity. The Commission accomplished this byinvesting their funds in properties that were not, at the time,attractive to the private sector. They subsequentlyreinvested the profits and cash-flow from theirinitial successes into other projects.

The San Diego Regional Economic DevelopmentCorporation has a different emphasis from many other

EDCs. It focuses primarily on: A) ensuring the areaworkforce has the skills necessary to maintain the area as ahigh-tech center and B) ensuring the region meets its needsin six infrastructure categories: water, housing, energy,transportation, economic competitiveness andenvironmental stewardship.

An Economic Development Corporation for the UrbanInnovation Zone could take on that profile as well.

Although Dallas has at times shown a reluctance to formsuch corporations, it cannot help but acknowledge the

achievements made by the EDCs in two of its biggest localcompetitors.

In its four years of operation the Allen EconomicDevelopment Corporation has negotiated andclosed at least 58 projects that have brought 8,000primary jobs to the city and added approximately$856 million to Allens tax rolls. Those projectshave enabled the City of Allen to provide morethan $157-million in public facilities and amenities.

Friscos Economic Development Corporation hasachieved similar success. Since 2000, thatorganization has lured at least $1.4 billion worth ofnew investment, and some 3,000 new jobs, toFrisco. As a result, the citys sales tax revenuesmore than doubled, and its overall tax base tripled,between 2002 and 2008.

We believe one way the city could fund such a corporationwould be through a half-cent increase in the city sales tax.This would of course require approval from the state.However, a host of funding mechanisms could apply.


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If city departments treat the Dallas City Council UrbanInnovation Zone like any other potential area fordevelopment, the world-class vision crafted by theCityDesign Studio will never come to be. Fast-tracking thesuccess of the study area will greatly increase the likelihoodof its success and enable the model to move to othercouncil districts as quickly as possible.

To that end we encourage the creation of a Fast TrackConcierge for the study area. This individual, who will belocated at the Oak Cliff Municipal Center on JeffersonBoulevard, will work one-on-one to help developers morequickly launch a project within the study areas boundaries.

This concierge will speed such steps as:

assessing how compatible proposed projects arewith current zoning

determining which permits, special reviews,(if any) will be required

preparing a draft time line and the order of stepsnecessary for completion of the Permit-reviewprocess

coordinating with the Express Plan Review staff(if that option is used)

monitoring and coordinating with thosedepartments that need to review plans

answer questions from the developer and keepthem apprised of progress

Today, a developer can pay $500 an hour for just such aconcierge, who can truncate the time required to getprojects permitted, etc. from 12 months to 30 days or less.Generally the total cost a developer incurs under this plan is$1,000- $2,000.

We are recommending that for the Study Area only, the cityeither:

waive that fee altogether to kick-startdevelopments in the study area

reduce the fee substantially (at least 50%)for projects in the study area

defer payment of the fee until the projectgoes vertical (or collect it immediately if a projectfails to materialize)

recruit payment of the fee from The TrinityTrust, the Southern Dallas DevelopmentCorporation, the West Dallas, Oak Cliff or

Dallas Regional chambers of commerce,an area TIF or MMD, the Fort Worth AvenueDevelopment Group, or a private foundation thatwishes to see development occur in the TrinityRiver Corridor (Meadows Foundation/Communities Foundation etc.)

The ultimate goal?

Make the permitting and approval processso streamlined that developers have noreason to say no and help developments

in the Urban Innovation Zone proceedat the pace the development of theDowntown Dallas Convention CenterHotel has proceeded.

The good news is, the city already has a precedent for justsuch an arrangement. When a neighborhood comes to thecity seeking Historic or Conservation status, thatneighborhood receives a concierge of sorts who walks themthrough the process step by step (albeit not on a fast trackbasis as this document proposes for developments in thestudy area).

And when the first neighborhood received Historic status,the concierge concept was not in place it emerged asmore and more neighborhoods began to go through theprocess. This underscores the fact that the concept as weare recommending it for the West Dallas could also beexpanded over time to other corridors of potential in othercouncil districts.

7.Establishment of aconcierge for theDallas city councilurban innovation zone


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The Dallas City Council Urban Innovation Zone A Laboratory for

Testing New Approaches

Many other innovative tools for turbo-charging the Urban

Innovation Zone may surface as the evolution of the areaoccurs. At the same time, some of the tools unleashed inthe area may not take hold at all.

That is the exciting personality we hope to create for thezone: that of an innovative laboratory where much is testedand the most successful live on to benefit otherneighborhoods all across Dallas.


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T his Dallas City Council now has before it anopportunity unlike that provided to any previouscouncil.By endorsing the Dallas CityDesign Studios plan for theWest Dallas Study Area and authorizing city staff toformulate a menu of innovative tools that will pertainexclusively to the area this council will launch an excitingnew chapter for the urban core of Dallas.

But we envision this chapter to be the first of many that will

transform multiple neighborhoods in multiple councildistricts in years to come.

We, the business stakeholders in the area that will be mostaffected by the CityDesign Studio plan, support itsobjectives and have indicated so on the following page.We appreciate how the studio listened to our aspirationsfor the area (as well as those of its long-time residents)and how they have diligently worked to craft a plan forthe betterment of us all.

We also hope the information weve provided in thisdocument illustrates that enacting the plan will be not justthe right thing to do but also a worthwhile businessdecision that, long-term, can reap millions of dollars ofadditional tax revenue for the city.

Its a calculated risk, but one conceived by world-classexpertise. We look forward to working with the City ofDallas and the CityDesign Studio to bring to vivid realitythe studios thoughtful, inclusive vision for the promisingpart of our city known as West Dallas.

conclusion


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B eginning in August, 2007, the West Dallas businesscommunity rallied behind the Dallas CityDesignStudios inclusive and innovative planning process.While Studio planning was underway, key businessstakeholders simultaneously began a 15-month explorationof how the plans economic development potential could befully realized.

This business stakeholder effort culminated with a series oflarger meetings, brainstorming sessions, and follow-up

interviews which produced the ideas and recommendationsproposed in this consensus document.

Our thanks to Jeff Herrington Communications andElettore for their pro bono support in facilitatingbrainstorming sessions as well as writing, researching, andproducing this final document.

Contributors included:

Victor ToledoPrincipal, BridgeviewChairman, West Dallas Chamber of Commerce

Randall WhitePresident, ElettoreChairman, Fort Worth Avenue TIF District BoardVice Chairman, West Dallas Chamber of Commerce

Bob StimsonPresident, Oak Cliff Chamber of Commerce

Larry Butch McGregorPrincipal, West Dallas Investments

Stewart FittsPrincipal, West Dallas Investments

Phil RomanoPrincipal, West Dallas Investments

Brent JacksonPrincipal, Oaxaca Investments LLCPrincipal, Sylvan|Thirty

Jimmy GrishamPresident, Drexel Realty PartnersPrincipal, Sylvan|Thirty

Philip WisePartner, Cienda Partners

contributorsBarry HancockPartner, Cienda Partners

Terese EversonVice President, Cienda Partners

Monte AndersonOwner, Belmont HotelPresident, Options Real Estate

Kathy JackOwner, Jacks Backyard

John Marcucci, PhDOwner, Haley-Henman

Maria GomezOwner, Salon Las Americas

Doug HeyerdahlCFO at Blanks Printing & Imaging

Will AdamsVice President, Drexel Realty Partners

Christopher JeffersCo-Owner, Smoke Restaurant

Joe McElroy IIIPrincipal, Square Foot

Chad Lacerte

Principal, Dallas Watersports Complex

Jamie CorneliusPrincipal, Sowell & Co.

Jeff HerringtonPresident, Jeff Herrington Communications

Matt StevensGreater Dallas Hispanic Chamber

Keith CargillPresident, Texas Capital Bank

Mary BaileyUnit Chief Executive Officer, Texas Capital Bank

Warren RutherfordLife Board Member, Oak Cliff Chamber of Commerce

Jill TiernanThe Retail Connection

Documents

Business support for CityDesign Studio's West Dallas vision