Read the Superintendent’s Complete Recommendation and Rationale
May 18, 2011 — Superintendent George Russell has recommended to the school board that the district move forward with a proposal from Master Development LLC and Powell Development Co. to develop the Civic Stadium property. The board will vote on June 1.
In addition, the superintendent recommended that the board consider working with the Eugene YMCA to explore options to help alleviate parking needs for the Y facility to be reconstructed on its current site.
He also recommended that the board consider potential relocation options for the stadium grandstands in collaboration with Save Civic Stadium and the City of Eugene. Relocation would need to limit the district’s financial exposure. The Master/Powell proposal offers $250,000 toward relocating the structure, if it proves feasible.
Rationale
In considering acquisition proposals for the Civic Stadium site, the board must weigh financial risk and return as well as neighborhood and community benefit.
The board’s May 16 presentations and conversations with the proposers were informative and helped clarify the proposals. While each proposal has merits and shortcomings, in the end Master and Powell’s emerged as the strongest and most viable proposal.
Master and Powell:
• This proposal provides the greatest financial benefit and the least financial risk to the district.
• Master and Powell have demonstrated experience with similar developments and have the financial capability to complete the development and thereby fulfill their financial commitment to the school district.
• The proposal addresses neighborhood interests by including street and pedestrian improvements and an outdoor community gathering place.
• The proposal addresses community interests by utilizing portions of the Civic Stadium structure in its design and by offering $250,000 toward the relocation of much of the Civic Stadium structure to nearby city property, if that proves feasible.
• The development would pay property taxes.
Other Proposals:
The YMCA proposal and the Save Civic Stadium proposal offer some appealing community benefits. However, both raise questions of financial risk and viability and neither would provide the same level of financial benefit to the district.
Eugene YMCA:
While the community perception of the Eugene YMCA proposal has centered on the construction of a new Y, this piece is the minority element of the proposal (40%) and appears to be contingent upon successful fundraising and pending transactions with their housing partner regarding their current property.
The student housing complex represents 60% of the development, consisting of 4-story buildings that would house 550 students.
The board was informed during the presentation that if the construction of the Y was not able to materialize, that the remaining portion of the site would be further developed as student housing.
The financial risk to the district appears to be much greater and the financial proposal is more complex with many more variables.
It is not clear at this time whether the YMCA would be successful in securing funding for a new building. Another concern is that the district would be in a secondary position should Valeo Companies (the Y’s housing partner) default on financing for student housing development.
Save Civic Stadium:
This proposal would preserve the stadium, however, the group has little experience with the complexities of development and cannot demonstrate the financial capability to accomplish stadium restoration and the development and operation of the other facilities that are envisioned to provide a revenue stream to the district.
Additionally, SCS is depending on successful fundraising effort in order to meet its financial commitments.
All three proposers recognize the importance of the Civic Stadium site to the district and to the community. They all worked in earnest to provide the district with answers to our questions and to demonstrate the benefits of their proposals. We respect and appreciate their efforts and their proposals.
Read the Superintendent’s Complete Recommendation and Rationale
