Stories indexed with the term ‘Dahlmann’

DDA Takes on Transit, Energy

Ann Arbor Downtown Development Authority board meeting (May 7, 2014): The board’s meeting highlighted two main themes – transportation and energy – the day after a new public transportation millage was approved by voters in Ann Arbor, Ypsilanti and Ypsilanti Township.

Fourth & William parking structure viewed from the Fourth Avenue side, where Greyhound buses will likely be staging, when a lease of space in the structure is finalized. Currently that's where AAATA buses stage, but they'll be moving when the driveway is poured for the new Blake Transit Center in the next few weeks.

Fourth & William parking structure viewed from the Fourth Avenue side, where Greyhound buses will likely be staging, when a lease of space in the structure is finalized. Currently that’s where AAATA buses stage, but they’ll be moving when the driveway is poured for the new Blake Transit Center in the next few weeks.

Though the board did not take action on adding circulator bus service to the downtown, the idea was brought up and referred to the operations committee. That was not unexpected, as the board had previously passed a resolution pledging possibly to increase the DDA’s support of transportation, if the Ann Arbor Area Transportation Authority’s new millage were to be approved. One specific idea mentioned at the May 7 meeting was to provide a shuttle on Saturdays between the Ann Ashley parking structure and the Ann Arbor farmers market.

The board did take action on two other transportation-related items: a lease to Greyhound for use of office space to be built out in the Fourth & William parking structure; and the setting of a $5 million project budget for  renovations at that same parking structure.

The Greyhound lease would provide a temporary location for Greyhound over the next two years as the bus company will not be able to remain in its Huron Street location – because the property owner, First Martin Corp., is planning a hotel at that spot. After assessment of operations at AAATA’s new Blake Transit Center (BTC), when construction is complete, Greyhound could eventually find a home at the BTC – if it turns out to be feasible.

Establishing a $5 million project budget for the Fourth & William parking structure renovations will allow the creation of construction drawings, and after that a request from the city council to approve the issuance of bonds to cover the cost of the project. The renovations are prompted by a need to replace the aging elevator in the southwest corner of the building, but will likely include improvements to facades and possibly a build-out of ground-floor area for use as retail space.

The Fourth & William parking structure was also part of the meeting’s energy theme. It already includes two parking spaces that are equipped with chargers for electric cars. During public commentary, the board heard from a monthly permit holder at Fourth & William, who wanted to transfer her monthly parking permit to the Library Lane structure. The two spaces at Fourth & William are often occupied, she reported, and she thinks she might have better luck at Library Lane, which offers six electric vehicle chargers.

In another energy-related action, the board delayed a decision on paying roughly $100,000 for the conversion of DTE-owned streetlights in the downtown area to LED technology. In delaying, board members cited the fact that the roughly $20,000 in energy savings would not be realized by the DDA, but rather by the city of Ann Arbor’s general fund. The resolution could be approved at the board’s June meeting and still meet a DTE deadline.

Among other information reported at the meeting, the DDA has decided that it will not lease the former Y lot back from Dennis Dahlmann so that it can continue to be used as part of the public parking system until Dahlmann develops the property. Under the terms of the purchase agreement between the city of Ann Arbor and Dahlmann a certificate of occupancy for a new building on that site is required by January 2018.

In other business, the board voted to deny an appeal made under Michigan’s Freedom of Information Act. [Full Story]

Old Y Lot: 2 More Years of Surface Parking?

Starting this past weekend, the city-owned 87-space surface parking lot at Fifth and William streets in downtown Ann Arbor – known as the former Y lot – was closed. And it might sit unused for a year or longer.

View to the east from Fourth & William parking structure, overlooking the Old Y lot on March 30, 2014. The lot had been closed off to any vehicle access.

View to the east from the Fourth & William parking structure, overlooking the former Y lot on March 30, 2014. The lot had been closed off to any vehicle access.

For the parcel to remain in use as part of the city’s public parking system, the pending purchaser of the property, Dennis Dahlmann, would need to reach an agreement on a leasing arrangement with the Ann Arbor Downtown Development Authority. The DDA manages the city’s public parking system under a contract with the city.

Eventually, Dahlmann intends to build a mixed-used development on the parcel, but wants to provide surface parking while the project is in the planning stages. A site plan could easily take a year to design, and to obtain necessary approvals from the planning commission and city council. The city council approved the sale of the land to Dahlmann last year at its Nov. 18, 2013 meeting.

Ben Dahlmann, senior vice president with Dahlmann Properties, attended the March 26, 2014 meeting of the DDA’s operations committee to present a revision to the leasing proposal that Dahlmann had made in January. The original proposal had been for the DDA to lease the property back from Dahlmann for $150,000 a year.

The revised proposal would be for Dahlmann and the DDA to split the net income (after expenses) from the parking lot for the next two years. Dahlmann ballparked that number at around $180,000, which would translate to a $90,000 share for Dahlmann – less than the $160,000 per year that Dahlmann figured he’d owe in property taxes.

The final sale of the property by the city to Dahlmann – at a purchase price of $5.25 million – is scheduled for April 2. No agreement on Dahlmann’s offer to lease property to the DDA was reached at the March 26 meeting. But the committee will be taking up the issue again at its April meeting. [Full Story]