Eagan Council approves concept for Cedar Grove; some want more

  • Article by: JOY POWELL , Star Tribune
  • Updated: March 17, 2009 - 10:44 PM

The retail, green space and walkways in the plan are on hold because of the economy, drawing concern at a hearing Tuesday.

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Give us more green space, more retailers and the sense of community that you promised, Eagan residents told developers this week about the Cedar Grove redevelopment along Hwy. 13.

The Eagan City Council on Tuesday night unanimously approved a concept plan for the mixed-used development in a prime location touted as the "gateway to the city."

But slowed by a sluggish economy, the plan has been whittled back and split into phases. In the first, developers propose market-rate apartments, senior housing and an extended-stay motel.

Retail, green space, walkways and more will come in later phases, said developers, stressing that they want to move ahead with what the market can support now. They said they'll introduce more elements as the economy and construction activity rebounds.

"It's important because it is a step in the process and they've identified some things they think will be market supportable, even in our tough economy," said Jon Hohenstein, the city's economic development director.

"It would be unusual at any time for someone to attempt to develop a 65-acre parcel in one phase but especially in the current economy, it would be unreasonable to expect that," he said.

Developer Len Pratt, co-owner of Pratt Homes, said he and partner Kelly Doran of Doran Companies have three developers ready to build.

They include the NetHertz Corp. of Fargo and its plans to build a 160-room Candlewood Suites hotel, Hohenstein said.

Tuesday night, Pratt told residents he was willing to rework plans to provide more park space, which had been scaled back since the 65-acre project was envisioned in 2007.

The plans had begun a decade ago with a study of Cedar Avenue and Hwy. 13. Business owners, residents, Chamber of Commerce representatives and others worked with a consultant to identify a vision.

It was a set of design principles and expectations of an "active-living" urban approach that centers on transit, given a new transit station is to be built in the west end of the development. "Walkability" is another key feature, along with plenty of public space.

Among those at Tuesday's hearing on the concept plan was a 7-year-old girl who had moved into the Nicols Ridge townhouses with her mother and now has no sidewalk for bicycle riding. Their front porch overlooks Cedarvale, where a shopping center was razed and most businesses are gone. The girl's mother called for a park and plazas along walkways.

Other citizens implored the council to ensure affordable housing gets built. And some warned against building too many condos at market rate.

"I hate to see something like Burnsville," resident Darcy Kupczak told Pratt, referring to a high vacancy rate among new condominiums in Burnsville. Some were auctioned off at fire-sale prices.

The current Eagan plan does not include condos, though a previous developer had a large number of condos as a basis of his plan. That developer dropped out.

Pratt told Kupczak that he knew of the condo situation in Burnsville and that it was a lesson for his firm. He said research shows that the Eagan market can now support 250 new market-rate apartments, a senior housing complex with 128 units and the motel.

The retail development will incorporate the existing Jensen's Supper Club and Cedarvale Lanes bowling center near Silver Bell Road, he said.

A 2007 Cedar Grove vision had called for retail services, food, restaurants and shopping to serve neighborhood needs, including gathering spots.

The problem, Hohenstein said, is that "nobody is building in retail right now."

The partners have not yet formally applied to the city to rezone and build but have provided a concept to gauge City Council and citizen feedback.

Mayor Mike Maguire said the city faces tension as it pushes to start building so the city can increase property values in the new tax increment financing district. Those higher property values are to generate greater tax revenue which the city will use to pay for project costs.

Now that the concept has been approved, the developers will incorporate suggestions and submit their zoning and subdivision applications. On April 7, the developers are to update the council.

Joy Powell • 952-882-9017

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