Placement: New Business
Action Requested: Discussion
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City Center Master Plan Economic Impact and Disposition Scenarios
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Submitted By: Jennifer Davis, Director, Community Redevelopment Agency
Strategic Plan Link: The City’s Vision for a diverse local economy and employment options.
Executive Summary (General Business):
In April 2022, the City of Port St. Lucie entered into an interlocal agreement with the Treasure Coast Regional Planning Council (TCRPC) for the development of a City Center Master Plan. A detailed financial analysis was conducted based on programming and design options presented to City Council in August 2023. The financial analysis report shows the economic impacts and tax increment estimates based on a phased buildout, and provides disposition scenarios.
Presentation Information:
City staff will provide an introduction, followed by a presentation by TCRPC and PFM.
Background:
The City of Port St. Lucie acquired twenty-two (22) parcels at City Center in March 2022. In April 2022, the City of Port St. Lucie entered into an interlocal agreement with the Treasure Coast Regional Planning Council for the development of a City Center Master Plan. In addition, the City secured the services of PFM Financial Advisors, LLC, to provide a financial analysis and market study related to City Center, which was complete in November 2022. Concurrently, the MidFlorida Event Center secured the services of HVS (a convention, sports and entertainment consulting group) to conduct a market and needs analysis on the current and future event center operations (completed in December 2022). As a follow up to the November 21, 2022 City Council Meeting, staff engaged HVS on an additional study focused on hotel needs for the site, which was delivered to the City in early June 2023. A conceptual Programming and Design Update was presented to City Council in August 2023. Since inception of the master planning efforts, the City held numerous individual stakeholder sessions, focus group meetings and broadcast several online public input surveys, garnering data from nearly 2,000 sources. The first Public Input Meeting was held at the MidFlorida Event Center on December 7, 2022, and a second Public Input Meeting was held on June 20, 2023.
Issues/Analysis:
Before the acquisition of the additional parcels at City Center, the City initiated a Small Area Plan on City Center in 2020, guided by Kimley-Horn. In response to the City’s intention of purchasing the City Center parcels from the Receiver, the City paused the Small Area Plan efforts. In April 2022, the City engaged the Treasure Coast Regional Planning Council to develop a comprehensive plan for the entirety of the City Center parcels, helping to identify the appropriate uses and an implementation strategy that will yield the best return on investment. City Center is envisioned as a multi-year redevelopment project to create a vibrant, walkable destination consisting of retail, restaurant and residential uses, all anchored by the MidFlorida Event Center and Village Square.
Financial Information:
Financial data has been assembled in response to City Council direction on approved uses / programming. The analysis includes direct, indirect and induced effects of the development plan, a summary of the tax increment revenue that could be achieved over a thirty (30) year period, and multiple disposition scenarios for City Council to consider.
Special Consideration:
The development of the City Center Master Plan is one of the City Council’s highest strategic priorities. City staff continues to work collaboratively with TCRPC on the creation of the plan and, in particular, how the plan is implemented as it relates to development strategy and timeline.
In the last two months, an economic development project known as Project Ebenezer was brought forward for consideration on a portion of the City Center parcels. As such, our team worked to analyze the financials of the site with the Project Ebenezer parcels carved out from the whole of the property. A separate analysis was conducted excluding the Project Ebenezer parcels from the financial analysis and can be presented, if requested.
Location of Project:
City Center is located at the southeast corner of US Highway One and Walton Road.
Attachments:
1. PFM Presentation - City Center Master Plan Economic Impact and Tax Increment Estimates & Disposition Scenarios, November 2023
2. PFM Presentation - City Center Master Plan Economic Impact and Tax Increment Estimates *Alternate Scenario*, November 2023
3. TCRPC - City Center Master Plan Project Memorandum 3.1, October 2023
4. TCRPC - City Center Master Plan Project Memorandum 3.1 - Attachment 1 - Public Workshop #1
5. TCRPC - City Center Master Plan Project Memorandum 3.1 - Attachment 2 - Public Workshop #2
6. TCRPC - City Center Master Plan Project Memorandum 3.1 - Attachment 3 - City Council Summer Workshop Presentation
7. TCRPC - City Center Master Plan Project Memorandum 3.1 - Attachment 4 - City Center Conceptual Design
8. HVS Market and Feasibility Study, December 2022
9. PFM - PSL City Center Master Plan Project Analysis, November 2022
10. HVS Hotel Study, dated June 2023
NOTE: All of the listed items in the “Attachment” section above are in the custody of the City Clerk. Any item(s) not provided in City Council packets are available upon request from the City Clerk.
Internal Reference Number: N/A
Legal Sufficiency Review:
N/A