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40-08 OrdinanceRECORD OF ORDINANCES Inc. 40-08 Or~linance No. Pn.cscd av AN ORDINANCE AUTHORIZING THE CITY MANAGER TO EXECUTE AN AMENDED DEVELOPMENT AGREEMENT WITH THE STONEHENGE COMPANY FOR THE BRIDGE AND HIGH DEVELOPMENT, AND DECLARING AN EMERGENCY. WHEREAS, a goal of Dublin City Council is to increase the vibrancy of the Dublin Historic District through the construction of a mixed use development at the corner of Bridge and High Streets, which will be known as the BriHi Square; and WHEREAS, the City desires to execute, and has determined that it is in the City's best interest to execute, the Second Amendment to Development Agreement in a form substantially similar to the draft Second Amendment attached hereto as Exhibit "A", as a means for the City to reach its goal of improving the Dublin Historic District; to provide Stonehenge with additional space necessary for storage, location of coolers, and building support functions such as maintenance, janitorial services, elevator shafts, and mechanicals; and to provide the City with space to place mechanicals and equipment necessary for the proper operation of a water wall feature which will be installed within the public areas of the BriHi Square development. NOW, T~REFORE, BE IT ORDAINED by the Council, of the City of Dublin, State of Ohio, of the elected members concumng, that: Section 1. Dublin City Council hereby authorizes the City Manager to execute a Second Amendment to the Development Agreement with The Stonehenge Company in a form substantially similar to the draft Second Amendment attached as Exhibit "A." Section 2. This ordinance is hereby declared to be an emergency necessary for the immediate preservation of the public peace, health, safety, or welfare and for the further reason that emergency action is necessary to facilitate the commencement of the improvement to the property in the 2008 construction season. Therefore, this ordinance shall be effective upon passage. ATTEST: Clerk of Council Passed this ~Sfi day of , 2008. CITY Or DtiBL[\ Office of the City Manager 5200 Emerald Parkway, Dublin, Ohio 43017-1090 Phone:614-410-4400 Fax: 614-410-4490 TO: Members of the Dublin City Council Memo FROM: Jane S. Brautigam, City Manager DATE: June 12.2008 INITIATED BY: Fred Hahn, Director of Parks and Open Space r: Sara Ott. Sr. Project Manage>~= RE: Ordinance 40-08 Authorizing the City Manager to Execute an Amendment to the Development Agreement with the Stonehenge Company Summary The City of Dublin and the Stonehenge Company entered into a development agreement on June 22, 2007 for the development of city-owned property at Che intersection of Bridge Street and High Street. The agreement outlines the terms for the sale and purchase of land, design of spaces, and construction activity. Ordinance 40-08 proposes a second amendment to the original agreement to address two items. First, the amendment will allow the Stonehenge Company to construct an additional 10,416 square feet of basement space for support related activities to the building uses. These uses have been recommended for approval by the Planning Commission and are before Council for consideration in Ordinance 38-08, with the condition that the development agreement be amended to permit the additional sub-grade square footage. Second, the amendment commits the City and the Stonehenge Company to work in good faith to arrange basement space to support the mechanical needs of the intended water features. The specific size, location, cost and terms for this space will be determined once preliminary engineering and design is complete for the water features. Exhibit A contains the proposed second amendment language. There is no text being deleted from the original agreement. A full copy of the original agreement is located in the Council Planning Room. Recommendation Staff seeks emergency approval at the second reading/public hearing to expedite the commencement of construction during favorable weather. Staff recommends passage of Ordinance 40-08 by emergency on July 1, 2008. Exhibit A SECOND AMENDMENT TO DEVELOPMENT AGREEMENT This SECOND AMENDMENT TO DEVELOPMENT AGREEMENT ("Second Amendment") is made and entered into on the day of July, 2008, by and between THE STONEHENGE COMPANY, an Ohio corporation ("Stonehenge"), whose mailing address is 147 North High Street, Gahanna, Ohio 43230, and the CITY OF DUBLIN, OHIO, an Ohio municipal corporation (the "City"), whose address is 5200 Emerald Parkway, Dublin, Ohio 43017. Background Information A. The City and Stonehenge entered into a certain Development Agreement dated June 22, 2007 ("Development Agreement") for the construction by Stonehenge of a mixed-use development at the corner of North High Street and Bridge Street in the Historic District of the City of Dublin. B. The City and Stonehenge amended the Development Agreement on November, 14, 2007, to extend the Contingency Date, as defined in Article I, Section 4 of the Development Agreement, pursuant to the terms thereof. C. The City and Stonehenge now desire to enter into this Second Amendment to, among other things, incorporate into the Development Agreement the terms of certain revisions to the zoning text approved by the City for the subject development, as further set forth herein. Statement of Agreement NOW THEREFORE, for valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereby agree to the foregoing Background Information and as follows: 1. Capitalized Terms. Capitalized and defined terms used in this Second Amendment shall have the same meanings as those ascribed to them in the Development Agreement. 2. Spuare Footage of the Buildings. Whereas the text of the Development Agreement limits the amount of square footage of the Buildings to no more than 11,000 square feet each, with a combined total square footage of no more than 22,000 square feet, the terms and provisions of Ordinance 38-08 of the City of Dublin are hereby incorporated into the Development Agreement and hereby amend Article I, Section I of the Development Agreement to permit a total of 10,416 square feet of basement space within the Buildings as follows: (a) High Street Building. The High Street Building may be constructed with no more than 6,510 square feet of total basement space, and of that amount, (i) up to 4,010 square feet maybe used for storage, location of coolers, and building support functions such as maintenance and janitorial services, and (ii) up to 2,500 square feet may be dedicated to building mechanicals, stairwells, {xassozo.i ~ elevator shaft and mechanicals, and water feature mechanicals and equipment. Use of the basement area for purposes of assembly, including dining areas, food preparation, office space, etc., is prohibited. (b) Bridge Street Building. The Bridge Street Building may be constructed with no more than 3,906 square feet of total basement space, and of that amount, (i) up to 2,406 square feet may be used for storage, location of coolers, and building support functions such as maintenance and janitorial services, and (ii) up to 1,500 square feet may be dedicated to building mechanicals, stairwells, elevator shaft and mechanicals, and water feature mechanicals and equipment. Use of the basement area for purposes of assembly, including dining areas, food preparation, office space, etc., is prohibited. (c) Access. (i) Access to the basements of the High Street Building and the Bridge Street Building basement spaces shall be limited to The Stonehenge Company or its designees and assignees, the Washington Township Fire Department, and City of Dublin Building Standards and Parks & Open Space Officials. The City of Dublin Building Official or the Building Official's designee shall be granted the permanent right of entry to the structure for any purpose which shall include, but not be limited to, compliance with the restrictions on the use of the basement space identified above. (ii) Portions of the basement space dedicated to water feature mechanicals shall be fully partitioned from the remaining space, with access limited to City of Dublin Building and Parks & Open Space Officials via a dedicated exterior door as further set forth in the Declaration. 3. Assitmment. Article X, Section 10 of the Development Agreement is hereby amended to permit Stonehenge to assign all of its rights, interest, duties and obligations in the Development Agreement to Bridge & High Limited, an affiliate of Stonehenge. 4. Water Wall Mechanicals. Stonehenge agrees to permit the City to use a portion of the basement(s) to store and operate any and all mechanicals and equipment necessary for the proper operation of the water wall feature which the City will install in the Public Area_ Stonehenge and the City agree to work cooperatively and in good faith with each other in determining the exact amount and location of the space and costs for the space to be used by the peizssozo.~ ~ Z City for the forgoing purpose, provided, in any event that such space, cost and location shall be reasonably acceptable to the City and sufficient to operate the water wall installation. 5. Full Force and Effect. Unless otherwise amended herein, all of the terms and conditions as set forth in the Development Agreement shall remain unmodified and in full force and effect and are hereby ratified by the parties. In the event there is a conflict or ambiguity between the terms of the Development Agreement and this Second Amendment, the terms of this Second Amendment shall control. The City and Stonehenge have signed this Second Amendment to be effective as of the date first written above. THE STONEHENGE COMPANY, an Ohio corporation BY: PRINT NAME: ITS: CITY OF DUBLIN, OHIO, an Ohio municipal corporation BY: Jane Brautigam, City Manager {H 1255020.1 ~