The document discusses strategies for assembling land for urban redevelopment projects without using eminent domain. It describes how graduated density zoning, which allows greater density for larger assembled parcels, can incentivize voluntary land assembly. Jersey City has used this strategy in Journal Square and McGinley Square redevelopments. The Canal Crossing redevelopment project aims to find a new model for large-scale redevelopment by addressing infrastructure issues and ensuring an equitable process. Rincon Hill in San Francisco also used owner participation agreements and rules to encourage cooperation in redevelopment.
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NJ Future Forum 2012 Dealing With Reality Antonicello
1. NJ Futures Forum 2012
March 2012
Evolving strategies for land assemblage, urban redevelopment
without eminent domain.
The Evolving Jersey City Experience.
8. Moving toward “Voluntary” land assemblage.
The “goal” is real market based incentives to land assembly.
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9. The “greed and avarice” scenario.
The difficulty of assembling sites large enough to redevelop at higher
density can and has hindered renewal in city centers and accelerate
suburban sprawl onto large sites already in single ownership. A number
of cities are looking at new redevelopment strategies encouraging
voluntary land assembly. Graduated Density is one strategy now being
used in California and Jersey City. Others are Land Assembly Districts
“with the power, by a majority vote, to approve or disapprove the sale of
the neighborhood to a developer or municipality seeking to consolidate
the land in a single parcel”. Land Pooling and Land Adjustments are
other scenarios being looked at in the United States and other countries.
Canal Crossing is evolving to include a little of everything.
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10. Graduated Density can create a new fear of being left out.
Graduated density zoning which allows higher density on larger sites. This
strategy can increase the incentive for owners to cooperate in voluntary
land assemblage that can create higher land values. Graduated density
zoning will not eliminate the incentive to hold out, but it can create a new
fear of being left out.
Holdouts who are left with sites that cannot be combined with enough
contiguous properties to trigger higher density lose a valuable economic
opportunity.
Jersey City is presently using this strategy in Journal Square and McGinley
Square Redevelopment Areas.
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11. Journal Square Redevelopment Plan
The original Journal Square Plan called for the an increase beyond the
underlying zoning districts’ maximum FAR would be permitted through a
District Improvement Bonuses (DIBs) and the Inclusionary Housing Bonus.
Both of these tools were meant to provide more development options in the
Square without overly enriching the existing property owner.
The central purpose DIB was to “even the playing field” between the
property owner and the developer, while providing much needed funds for
infrastructure improvements.
Journal Square is the ultimate “fragmented ownership” scenario.
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17. District Improvement Bonuses (DIB)
EXAMPLE
Base FAR of 10, eligible for an
additional bonus FAR of 20
In this scenario, a 36 story building
using the total site area is proposed
on a parcel with a base floor area
ratio of 10. By contributing to the
DIB fund they were awarded
additional floor area of 20. This
bonus is applied by adding an
additional 20 stories to the
development. By setting aside 10%
of the gross floor area to workforce
housing, the developer earned an
additional 10% to the building area.
18. District Improvement Bonuses
1. Streetscapes and landscape improvements
2. Construction and maintenance of parks
and plazas.
3. New Transit systems to service Journal Sq.
4. Infrastructure improvements
5. Deck over rail road cut
6. Remote and Local Parking intercept facilities
7. Street and intersection improvements
8. Intelligent transportation systems
9. Bicycle improvements
10. Preservation of Historical and cultural
resources
11. Solar, wind and green roof technologies
12. Provision of work-force housing
23. Journal square zone 3, allowing up
to 25 stories.
Lot Area Minimum Building Maximum Building
Approximate up to: Height Height
Lot Dimension (square feet) (stories)/(feet) (stories)/(feet)
0 to 2499 3 / 32' 3 / 34'
25x100 2500 to 4999 3 / 32' 5 / 54'
50x100 5000 to 7499 4 / 42' 8 / 85'
75x100 7500 to 9999 5 / 52' 10 / 105'
100x100 10000 to 12499 5 / 52' 18 / 195'
125x100 12500 and up 5 / 52' 25 / 265'
24. McGinley Square
Redevelopment Plan
Approximate Lot Area Minimum Building Maximum
Lot up to: Height Building Height
Dimension (square feet) (stories)/(feet) (stories)/(feet)
0 to 2499 2 / 22' 3 / 34'
25x100 2500 to 4999 2 / 22' 4 / 44'
50x100 5000 to 7499 3 / 32' 5 / 54'
75x100 7500 to 9999 3 / 32' 6 / 64'
100x100 10000 and up 4 / 42' 8 / 85'
26. In October 2010, the Agency received a $2.3
million Tiger Planning Grant ( DOT/HUD) for
development studies to work out the details
and cost associated with the redevelopment of
Canal Crossing, this work includes a funding
and equity mechanism.
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27. Revitalization of this area has been hampered by
outdated infrastructure, large tracts of contaminated
former industrial lands, and a road system that fails to
sufficiently link up with the local regional rail network.
The project focus will be to create a residential, mixed-
use, transit-oriented development with access to open
space amenities in a community with a significant low-
income population. The process will also develop a
formal legal framework to ensure that redevelopment is
equitable
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36. RELOCATION
• As outlined, the Canal Crossing Redevelopment Plan converts
former old industrial sites into new blocks for mixed use residential
development. Wherever practical, it is the preference of the
Jersey City Redevelopment Agency for existing property
owners to participate in such manner that development of the
proposed blocks can occur in accordance with this Plan. To
that extent, this Plan and the Agency encourage the
cooperation among the existing property owners in order for
any block to realize its full development potential. Under this
scenario, the relocation of persons or businesses should be
significantly reduced. In terms of relocation, the vast majority of
relocations will only affect businesses, since only one residentially
occupied property is currently listed for acquisition.
37. The Challenge is!
This doesn’t get us where we need to go
as a community of property owners and as
a city. It doesn’t address the brown field
issue/chromium clean up. It doesn’t
address the flooding and other serious
infrastructure issues, not to mention
planning issues of new grid and transit.
39. B. Owner Participation
• To the extent compatible with the purposes of the Plan and
appropriate redevelopment of the Project, owners of real property in the
Project may, subject to rules and regulations including standards for
rehabilitation promulgated by the Redevelopment Agency, be accorded the
opportunity to participate in the redevelopment of the Project. Such
participation shall be contingent upon execution by such owner of a binding
agreement (hereinafter called “owner participation agreement”) by which the
property retained or acquired will be developed, maintained, or rehabilitated
for use in conformity with the Plan, the Declaration of Restrictions, and the
Owner Participation Rules promulgated by the Agency.
• Owner participation necessarily will be subject to and limited by such factors
as the nature, condition, and use of the existing improvements; the
reduction of the total number of individual parcels in the Project; the
elimination of certain land uses; the realignment of streets; the construction
of new public facilities and improvement in accordance with the Plan, the
declaration of restrictions and in accordance with such controls as may be
found necessary to ensure that redevelopment is carried out pursuant to
this Plan.
40. D. Acquisition of Real Property
• Any real property located within the Project Area may be acquired by the
Agency by purchase, gift, devise, exchange, condemnation, lease, or any
other lawful method, including utilization of the power of eminent domain, if
one or more of the following conditions are met.
• The building is substandard to a degree requiring clearance as
demonstrated by a structural inspection of the property.
• The property must be acquired in order to eliminate an environment
deficiency, including but not limited to: incompatible land uses, small and
irregular lot subdivision, or overcrowding of the land.
• The property must be acquired in order to eliminate impediments to land
development through assembly of land into parcels of reasonable size and
shape, served by an improved street system and public utilities.
41. D. Acquisition of Real Property
• The building must be removed in order to effect a
change in land use as provided in this Plan.
• Without the consent of an owner, the Agency shall not
acquire any real property on which an existing building is
to be continued on its present site and in its present form
and use unless such building requires structural
alteration, improvement, modernization or
rehabilitation, or the site or lot on which the building is
situated requires modification in size, shape or use or it
is necessary to impose upon such property any of the
standards, restriction and controls of the Plan and the
owner fails or refuses to agree to participate in the
Redevelopment Plan.
42. Anaheim Platinum Triangle.
• The City Council identified a few criteria for the plan:
• First, private property owners should drive development within the
Platinum Triangle.
• There would be no subsidies or other public incentives to achieve
development goals.
• Second, new mixed-use developments could not turn existing
properties into nonconforming uses or buildings. Property owners
would still retain the rights to develop and use property pursuant to
existing zoning.
• Third, recognizing that the area was composed of dozens of
individually owned parcels, the private sector would have to
assemble parcels if larger sites were to be developed. The city
would not use eminent domain to acquire property.
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44. Anaheim Platinum Triangle.
Setting the table for development!
Easier Permitting.
First-Come, First-Served
Permits. Winner take all
scenario!
Broad-based EIR. Eminent Domain
Reduced Building
Requirements.
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45. Curt Pringle
Mayor of the City of Anaheim
While many owners decided to
redevelop or sell their properties, other
small businesses have decided to stay
where they are, which is exactly what our
plan allows them to do—keep their
businesses with out the threat of eminent
domain.
46. Six areas where public private partnerships
create value in contemporary real estate
development.
47. Site:
Lower ownership,
entitlement access,
risk cleanup
Co-investment: Debt
infrastructure and Funding
facilities
Equity
Gap funding Funding